As Passed by the House

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


Representative Dolan 

Cosponsors: Representatives Peterson, McGregor, R., Hottinger, Bacon, Evans, Hite, Budish, Strahorn, Yates, Chandler, Stewart, D., Boyd, Hagan, R., Skindell, Brown, Bolon, Adams, Aslanides, Barrett, Beatty, Blessing, Bubp, Celeste, Collier, Combs, DeBose, DeGeeter, Domenick, Fende, Flowers, Gibbs, Goodwin, Goyal, Hagan, J., Harwood, Healy, Heard, Jones, Koziura, Letson, Luckie, Mallory, Miller, Otterman, Patton, Redfern, Schindel, Schlichter, Setzer, Szollosi, Uecker, Ujvagi, Wagoner, White, Williams, B., Williams, S., Zehringer 



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, 173.85, 173.86, 9
174.03, 174.06, 183.01, 183.021, 183.17, 183.33, 10
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, 3313.603, 3313.615, 3313.64, 3313.646, 25
3313.66, 3313.661, 3313.98, 3314.015, 3314.02, 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, 3317.06, 31
3317.08, 3317.16, 3317.20, 3317.201, 3318.12, 32
3318.15, 3318.26, 3319.55, 3323.01, 3323.11, 33
3327.05, 3333.04, 3333.122, 3333.38, 3357.01, 34
3365.01, 3375.05, 3375.121, 3375.40, 3375.85, 35
3381.04, 3501.17, 3701.74, 3701.741, 3701.83, 36
3702.52, 3702.5211, 3702.5212, 3702.5213, 3702.57, 37
3702.68, 3704.03, 3704.14, 3705.24, 3709.09, 38
3709.091, 3721.51, 3721.541, 3721.56, 3734.57, 39
3735.672, 3745.11, 3769.087, 3770.03, 3770.06, 40
3905.36, 4123.35, 4141.09, 4301.43, 4503.06, 41
4503.061, 4503.064, 4503.065, 4503.066, 4503.067, 42
4503.10, 4503.102, 4503.35, 4505.06, 4513.263, 43
4513.35, 4519.55, 4715.251, 4717.07, 4723.621, 44
4723.63, 4723.64, 4723.65, 4723.66, 4731.142, 45
4731.22, 4736.01, 4743.05, 4755.03, 4766.05, 46
4775.08, 4921.40, 5101.162, 5101.21, 5101.211, 47
5101.212, 5101.213, 5101.24, 5101.242, 5101.244, 48
5101.26, 5101.51, 5101.571, 5101.572, 5101.58, 49
5101.59, 5101.802, 5101.98, 5104.30, 5107.02, 50
5107.03, 5107.05, 5107.10, 5107.12, 5107.14, 51
5107.16, 5107.17, 5107.281, 5107.30, 5107.36, 52
5107.41, 5107.42, 5111.01, 5111.014, 5111.016, 53
5111.019, 5111.0112, 5111.023, 5111.03, 5111.06, 54
5111.084, 5111.10, 5111.101, 5111.163, 5111.17, 55
5111.172, 5111.20, 5111.871, 5111.8814, 5111.891, 56
5111.95, 5111.96, 5112.341, 5115.12, 5119.611, 57
5123.01, 5123.043, 5123.045, 5123.047, 5123.048, 58
5123.049, 5123.0411, 5123.051, 5123.19, 5123.196, 59
5123.198, 5123.20, 5123.211, 5123.38, 5123.41, 60
5123.51, 5123.60, 5123.602, 5123.603, 5123.604, 61
5123.99, 5126.038, 5126.042, 5126.046, 5126.054, 62
5126.055, 5126.056, 5126.057, 5126.06, 5126.11, 63
5126.12, 5126.15, 5126.18, 5126.19, 5126.25, 64
5126.40, 5126.42, 5126.43, 5126.45, 5126.47, 65
5139.27, 5139.271, 5139.43, 5302.30, 5528.54, 66
5531.10, 5537.04, 5537.16, 5537.99, 5705.28, 67
5705.281, 5705.29, 5705.30, 5705.31, 5705.32, 68
5705.321, 5705.37, 5705.44, 5709.68, 5709.882, 69
5715.36, 5719.041, 5725.151, 5725.24, 5727.45, 70
5727.81, 5727.84, 5727.85, 5727.87, 5733.12, 71
5733.98, 5739.02, 5739.033, 5739.12, 5739.21, 72
5741.02, 5741.03, 5743.01, 5743.20, 5743.331, 73
5745.02, 5745.05, 5745.13, 5747.03, 5747.46, 74
5747.47, 5747.48, 5747.50, 5747.501, 5747.51, 75
5747.52, 5747.53, 5747.54, 5747.55, 5747.98, 76
5748.01, 5748.02, 5748.021, 5748.04, 5748.08, 77
5751.20, 5751.21, 5751.23, 5907.15, 6109.21, 78
6111.04, 6111.44, 6121.04, 6121.043, and 6131.23; 79
to amend, for the purpose of adopting new section 80
numbers as indicated in parentheses, sections 81
1521.20 (1506.38), 1521.21 (1506.39), 1521.22 82
(1506.40), 1521.23 (1506.41), 1521.24 (1506.42), 83
1521.25 (1506.43), 1521.26 (1506.44), 1521.27 84
(1506.45), 1521.28 (1506.46), 1521.29 (1506.47), 85
1521.30 (1506.48), 3702.63 (3702.591), 3702.68 86
(3702.59), 5111.95 (5111.033), 5111.96 (5111.034), 87
and 5126.057 (5126.0511); to enact new sections 88
3318.47 and 5123.16 and sections 122.051, 122.071, 89
122.076, 122.174, 126.04, 126.24, 126.40, 131.51, 90
183.51, 183.52, 901.261, 991.08, 1713.031, 91
3123.23, 3301.162, 3303.20, 3310.51 to 3310.63, 92
3314.016, 3314.086, 3314.087, 3314.19, 3317.161, 93
3323.052, 3327.17, 3333.50, 3333.55, 3345.02, 94
3353.20, 3353.21, 3353.22, 3353.23, 3353.24, 95
3353.25, 3353.26, 3353.27, 3353.28, 3353.29, 96
3353.30, 3357.13, 3701.135, 4766.22, 4923.26, 97
5101.541, 5101.573, 5101.574, 5101.575, 5101.591, 98
5107.04, 5111.0119, 5111.028, 5111.029, 5111.031, 99
5111.032, 5111.085, 5111.102, 5111.165, 5111.84, 100
5111.861, 5123.033, 5123.0414, 5123.0415, 101
5123.0416, 5123.161, 5123.162, 5123.163, 5123.164, 102
5123.165, 5123.166, 5123.167, 5123.168, 5123.169, 103
5123.605, 5126.059, 5126.0510, 5126.0512, 104
5323.011, 5533.91, 5733.48, 5739.029, 5739.213, 105
5747.77, 5748.022, 5907.16, and 6111.0381; to 106
repeal sections 125.95, 183.02, 183.27, 183.32, 107
3318.47, 3318.48, 3318.49, 3333.29, 3718.01, 108
3718.02, 3718.021, 3718.03, 3718.04, 3718.05, 109
3718.06, 3718.07, 3718.08, 3718.09, 3718.10, 110
3718.99, 4911.021, 5111.161, 5123.16, 5123.182, 111
5123.199, 5126.035, 5126.036, 5126.053, 5126.431, 112
5126.44, 5126.451, 5747.61, 5747.62, 5747.63, and 113
6111.441 of the Revised Code; to amend Section 114
310.10 of Am. Sub. H.B. 67 of the 127th General 115
Assembly; to amend Section 252.70 of Am. Sub. H.B. 116
530 of the 126th General Assembly, to amend 117
Section 153 of Am. Sub. H.B. 117 of the 121st 118
General Assembly, as subsequently amended, to 119
amend the version of section 127.16 of the Revised 120
Code that is scheduled to take effect July 1, 121
2007, and to repeal the version of section 3702.68 122
of the Revised Code that was to have taken effect 123
July 1, 2007, to make operating appropriations for 124
the biennium beginning July 1, 2007, and ending 125
June 30, 2009, and to provide authorization and 126
conditions for the operation of state programs; to 127
confirm and order implementation of sections 128
9.833, 9.90, 3311.19, 3313.12, 3313.202, 3313.33, 129
4117.03, and 4117.08 and to confirm and order 130
complete implementation of section 9.901 of the 131
Revised Code as the sections result from Am. Sub. 132
H.B. 66 of the 126th General Assembly; to repeal 133
Section 611.03 of Am. Sub. H.B. 66 of the 126th 134
General Assembly; and to amend sections 9.90, 135
9.901, 3313.202, 3313.33, and 4117.03 of the 136
Revised Code to make other specifications 137
pertaining to that implementation as have become 138
necessary; and to terminate operation of section 139
5101.213 of the Revised Code on July 1, 2008, by 140
repealing the section on that date.141


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, 142
107.12, 107.40, 109.57, 109.572, 109.93, 111.18, 118.01, 118.08, 143
118.17, 118.20, 118.23, 119.07, 120.33, 122.17, 122.171, 122.602, 144
124.152, 125.45, 125.93, 125.96, 125.97, 125.98, 126.07, 126.08, 145
126.16, 126.21, 126.22, 127.14, 127.16, 131.44, 133.01, 133.10, 146
133.25, 135.35, 135.352, 151.08, 151.40, 152.31, 156.02, 164.03, 147
164.05, 164.051, 164.08, 164.09, 166.08, 173.04, 173.35, 173.85, 148
173.86, 174.03, 174.06, 183.01, 183.021, 183.17, 183.33, 183.34, 149
183.35, 307.021, 307.37, 307.695, 307.6910, 307.98, 307.981, 150
308.04, 317.08, 319.202, 319.281, 319.54, 321.08, 322.01, 323.151, 151
323.152, 323.153, 323.154, 325.31, 329.04, 329.05, 329.14, 340.03, 152
505.376, 517.08, 521.01, 709.191, 711.05, 711.10, 711.131, 718.13, 153
742.301, 1503.05, 1504.02, 1506.01, 1506.99, 1521.01, 1521.20, 154
1521.21, 1521.22, 1521.23, 1521.24, 1521.25, 1521.26, 1521.27, 155
1521.28, 1521.29, 1521.99, 1531.06, 1531.35, 1548.06, 1555.08, 156
1557.03, 1901.34, 2151.362, 2913.40, 2921.42, 2927.023, 2935.03, 157
3109.04, 3109.041, 3119.022, 3119.023, 3119.27, 3119.29, 3119.30, 158
3125.12, 3301.0711, 3301.0714, 3301.53, 3302.03, 3302.10, 3311.24, 159
3313.41, 3313.603, 3313.615, 3313.64, 3313.646, 3313.66, 3313.661, 160
3313.98, 3314.015, 3314.02, 3314.074, 3314.08, 3314.26, 3317.01, 161
3317.012, 3317.013, 3317.014, 3317.015, 3317.016, 3317.017, 162
3317.02, 3317.021, 3317.022, 3317.023, 3317.024, 3317.025, 163
3317.026, 3317.027, 3317.028, 3317.029, 3317.0216, 3317.0217, 164
3317.03, 3317.04, 3317.06, 3317.08, 3317.16, 3317.20, 3317.201, 165
3318.12, 3318.15, 3318.26, 3319.55, 3323.01, 3323.11, 3327.05, 166
3333.04, 3333.122, 3333.38, 3357.01, 3365.01, 3375.05, 3375.121, 167
3375.40, 3375.85, 3381.04, 3501.17, 3701.74, 3701.741, 3701.83, 168
3702.52, 3702.5211, 3702.5212, 3702.5213, 3702.57, 3702.68, 169
3704.03, 3704.14, 3705.24, 3709.09, 3709.091, 3721.51, 3721.541, 170
3721.56, 3734.57, 3735.672, 3745.11, 3769.087, 3770.03, 3770.06, 171
3905.36, 4123.35, 4141.09, 4301.43, 4503.06, 4503.061, 4503.064, 172
4503.065, 4503.066, 4503.067, 4503.10, 4503.102, 4503.35, 4505.06, 173
4513.263, 4513.35, 4519.55, 4715.251, 4717.07, 4723.621, 4723.63, 174
4723.64, 4723.65, 4723.66, 4731.142, 4731.22, 4736.01, 4743.05, 175
4755.03, 4766.05, 4775.08, 4921.40, 5101.162, 5101.21, 5101.211, 176
5101.212, 5101.213, 5101.24, 5101.242, 5101.244, 5101.51, 177
5101.571, 5101.572, 5101.58, 5101.59, 5101.802, 5101.98, 5104.30, 178
5107.02, 5107.03, 5107.05, 5107.10, 5107.12, 5107.14, 5107.16, 179
5107.17, 5107.281, 5107.30, 5107.36, 5107.41, 5107.42, 5111.01, 180
5111.014, 5111.016, 5111.019, 5111.0112, 5111.023, 5111.03, 181
5111.06, 5111.084, 5111.10, 5111.101, 5111.163, 5111.17, 5111.172, 182
5111.20, 5111.871, 5111.8814, 5111.891, 5111.95, 5111.96, 183
5112.341, 5115.12, 5119.611, 5123.01, 5123.043, 5123.045, 184
5123.047, 5123.048, 5123.049, 5123.0411, 5123.051, 5123.19, 185
5123.196, 5123.198, 5123.20, 5123.211, 5123.38, 5123.41, 5123.51, 186
5123.60, 5123.602, 5123.603, 5123.604, 5123.99, 5126.038, 187
5126.042, 5126.046, 5126.054, 5126.055, 5126.056, 5126.057, 188
5126.06, 5126.11, 5126.12, 5126.15, 5126.18, 5126.19, 5126.25, 189
5126.40, 5126.42, 5126.43, 5126.45, 5126.47, 5139.27, 5139.271, 190
5139.43, 5302.30, 5528.54, 5531.10, 5537.04, 5537.16, 5537.99, 191
5705.28, 5705.281, 5705.29, 5705.30, 5705.31, 5705.32, 5705.321, 192
5705.37, 5705.44, 5709.68, 5709.882, 5715.36, 5719.041, 5725.151, 193
5725.24, 5727.45, 5727.81, 5727.84, 5727.85, 5727.87, 5733.12, 194
5733.98, 5739.02, 5739.033, 5739.12, 5739.21, 5741.02, 5741.03, 195
5743.01, 5743.20, 5743.331, 5745.02, 5745.05, 5745.13, 5747.03, 196
5747.46, 5747.47, 5747.48, 5747.50, 5747.501, 5747.51, 5747.52, 197
5747.53, 5747.54, 5747.55, 5747.98, 5748.01, 5748.02, 5748.021, 198
5748.04, 5748.08, 5751.20, 5751.21, 5751.23, 5907.15, 6109.21, 199
6111.04, 6111.44, 6121.04, 6121.043, and 6131.23 be amended; 200
sections 1521.20 (1506.38), 1521.21 (1506.39), 1521.22 (1506.40), 201
1521.23 (1506.41), 1521.24 (1506.42), 1521.25 (1506.43), 1521.26 202
(1506.44), 1521.27 (1506.45), 1521.28 (1506.46), 1521.29 203
(1506.47), 1521.30 (1506.48), 3702.63 (3702.591), 3702.68 204
(3702.59), 5111.95 (5111.033), 5111.96 (5111.034), and 5126.057 205
(5126.0511) be amended for the purpose of adopting new section 206
numbers as indicated in parentheses; and new sections 3318.47 and 207
5123.16 and sections 122.051, 122.071, 122.076, 122.174, 126.04, 208
126.24, 126.40, 131.51, 183.51, 183.52, 901.261, 991.08, 1713.031, 209
3123.23, 3301.162, 3303.20, 3310.51, 3310.52, 3310.53, 3310.54, 210
3310.55, 3310.56, 3310.57, 3310.58, 3310.59, 3310.60, 3310.61, 211
3310.62, 3310.63, 3314.016, 3314.086, 3314.087, 3314.19, 3317.161, 212
3323.052, 3327.17, 3333.50, 3333.55, 3345.02, 3353.20, 3353.21, 213
3353.22, 3353.23, 3353.24, 3353.25, 3353.26, 3353.27, 3353.28, 214
3353.29, 3353.30, 3357.13, 3701.135, 4766.22, 4923.26, 5101.541, 215
5101.573, 5101.574, 5101.575, 5101.591, 5107.04, 5111.0119, 216
5111.028, 5111.029, 5111.031, 5111.032, 5111.085, 5111.102, 217
5111.165, 5111.84, 5111.861, 5123.033, 5123.0414, 5123.0415, 218
5123.0416, 5123.161, 5123.162, 5123.163, 5123.164, 5123.165, 219
5123.166, 5123.167, 5123.168, 5123.169, 5123.605, 5126.059, 220
5126.0510, 5126.0512, 5323.011, 5533.91, 5733.48, 5739.029, 221
5739.213, 5747.77, 5748.022, 5907.16, and 6111.0381 of the Revised 222
Code be enacted to read as follows:223

       Sec. 9.821.  (A) The department of administrative services224
shall direct and manage for state agencies all risk management and225
insurance programs authorized under section 9.822 of the Revised226
Code.227

       (B) The office of risk management is hereby established228
within the department of administrative services. The director of229
administrative services, or a deputy director appointed by the230
director, shall control and supervise the office.231

       (C) The office may take any of the following actions that it232
determines to be in the best interests of the state:233

       (1) Provide all insurance coverages for the state, including, 234
but not limited to, automobile liability, casualty, property, 235
public liability, and, except as provided in division (C)(6) of 236
this section, fidelity bond insurancebonding. The cost of237
insurance coverage shall be paid from appropriations made to the238
state agencies that the office has designated to receive the239
coverage.240

       (2) Provide coverage of legal expenses that are necessary and 241
related to the legal defense of claims against the state;242

       (3) Purchase insurance policies consistent with sections243
125.01 to 125.111 of the Revised Code, develop and administer244
self-insurance programs, or do both;245

       (4) Consolidate and combine state insurance coverages;246

       (5) Provide technical services in risk management and247
insurance to state agencies;248

       (6)(a) Establish and administer a self-insured fidelity bond249
program for a particular class or subclass of state officer,250
employee, or agent, if, prior to the establishment and251
administration of this program, the director does both of the252
following:253

       (i) Holds a hearing in accordance with Chapter 119. of the254
Revised Code to determine whether fidelity bond insurance for that255
particular class or subclass of state officer, employee, or agent256
is available in the voluntary market;257

       (ii) If, as a result of that hearing, the director determines 258
that fidelity bond insurance for a particular class or subclass of 259
state officer, employee, or agent is unavailable in the voluntary 260
market and that the absence of this insurance threatens the 261
operation of state government and will be detrimental to the 262
general welfare of the citizens of this state, adopts rules in 263
accordance with Chapter 119. of the Revised Code to establish 264
standards and procedures governing the establishment,265
administration, and termination of the fidelity bond program for266
that particular class or subclass of state officer, employee, or267
agent.268

       (b) Division (C)(6)(a) of this section does not apply to any269
self-insured blanket fidelity bond program that, on September 20,270
1993, has been established pursuant to section 9.831 of the271
Revised Code.272

       (7) Except as provided in division (C)(6) of this section,273
adoptAdopt and publish, in accordance with section 111.15 of the274
Revised Code, necessary rules and procedures governing the275
administration of the state's insurance and risk management276
activities.277

       (D) No state agency, except a state agency exempted under278
section 125.02 or 125.04 of the Revised Code from the department's279
purchasing authority, shall purchase any insurance described in280
this section except as authorized by the department, when the 281
office of risk management determines that the purchase is in the 282
best interest of the state pursuant to division (C)(1) of this 283
section, and in accordance with terms, conditions, and procurement 284
methods established by the department.285

       (E) With respect to any civil action, demand, or claim286
against the state that could be filed in the court of claims,287
nothing in sections 9.82 to 9.823 of the Revised Code shall be288
interpreted to permit the settlement or compromise of those civil289
actions, demands, or claims, except in the manner provided in290
Chapter 2743. of the Revised Code.291

       Sec. 9.822.  (A) The department of administrative services292
through the office of risk management shall establish an insurance293
plan or plans that may provide for self-insurance or the purchase294
of insurance, or both, for anyeither of the following purposes:295

       (1) Insuring state real and personal property against losses296
occasioned by fire, windstorm, or other accidents and perils;297

       (2) Insuring the state and its officers and employees against 298
liability resulting from any civil action, demand, or claim 299
against the state or its officers and employees arising out of any 300
act or omission of an officer or employee in the performance of 301
official duties, except acts and omissions for which302
indemnification is prohibited under section 9.87 of the Revised303
Code;.304

       (3) Insuring(B) The department of administrative services 305
through the office of risk management shall establish one or more 306
insurance plans that provide for the purchase of insurance for the 307
purpose of insuring the state through the fidelity bonding of308
state officers, employees, and agents who are required by law to309
provide a fidelity bond. Nothing in this section shall be 310
construed to allow the department of administrative services 311
through the office of risk management to administer the state's 312
fidelity bonding program through a program of self-insurance.313

       (B)(1) Prior to the establishment of any self-insured314
fidelity bond program for a particular class or subclass of state315
officer, employee, or agent authorized pursuant to division (A)(3)316
of this section, the director of administrative services shall317
follow the procedures for holding a hearing and adopting rules set318
forth in division (C)(6)(a) of section 9.821 of the Revised Code.319

       (2) Division (B)(1) of this section does not apply to any320
self-insured blanket fidelity bond program that, on September 20,321
1993, has been established pursuant to section 9.831 of the322
Revised Code.323

       (3) The director shall prepare annually a written report324
detailing any self-insured fidelity bond program established325
pursuant to division (A)(3) of this section. The report shall326
include, but is not limited to, information relating to premiums327
collected, income from recovery, loss experience, and328
administrative costs of the program. A copy of the report,329
together with a copy of those portions of the most recent reports330
submitted under division (D) of section 9.823 of the Revised Code 331
that pertain to any such self-insured fidelity bond program, shall332
be submitted to the speaker of the house of representatives and333
the president of the senate by the last day of March of each year.334

       Sec. 9.823.  (A) All contributions collected by the director 335
of administrative services under division (E) of this section 336
shall be deposited into the state treasury to the credit of the 337
risk management reserve fund, which is hereby created. The fund 338
shall be used to provide insurance and self-insurance for the 339
state under sectionsections 9.822 and 9.83 of the Revised Code. 340
All investment earnings of the fund shall be credited to it.341

       (B) The director, through the office of risk management,342
shall operate the risk management reserve fund on an actuarially343
sound basis.344

       (C) Reserves shall be maintained in the risk management345
reserve fund in any amount that is necessary and adequate, in the346
exercise of sound and prudent actuarial judgment, to cover347
potential liability claims, expenses, fees, or damages. Money in348
the fund may be applied to the payment of liability claims that349
are filed against the state in the court of claims and determined350
in the manner provided for under Chapter 2743. of the Revised351
Code. The director may procure the services of a qualified352
actuarial firm for the purpose of recommending the specific amount 353
of money that would be required to maintain adequate reserves for 354
a given period of time.355

       (D) A report of the amounts reserved and disbursements made 356
from the reserves, together with a written report of a competent 357
property and casualty actuary, shall be submitted, on or before 358
the last day of March for the preceding calendar year, to the 359
speaker of the house of representatives and the president of the 360
senate. The actuary shall certify the adequacy of the rates of 361
contributions, the sufficiency of excess insurance, and whether 362
the amounts reserved conform to the requirements of this section, 363
are computed in accordance with accepted loss reserving standards, 364
and are fairly stated in accordance with sound loss reserving 365
principles. The report shall include disbursements made for the 366
administration of the fund, including claims paid, cost of legal 367
representation of state agencies and employees, and fees paid to 368
consultants.369

       (E) The director shall collect from each state agency or any 370
participating state body its contribution to the risk management 371
reserve fund for the purpose of purchasing insurance or 372
administering self-insurance programs for coverages authorized373
under sectionsections 9.822 and 9.83 of the Revised Code. The 374
contribution shall be determined by the director, with the 375
approval of the director of budget and management, and shall be 376
based upon actuarial assumptions and the relative risk and loss 377
experience of each state agency or participating state body. The 378
contribution shall further include a reasonable sum to cover the 379
department's administrative costs.380

       Sec. 9.83.  (A) The state and any political subdivision may 381
procure a policy or policies of insurance insuring its officers 382
and employees against liability for injury, death, or loss to 383
person or property that arises out of the operation of an384
automobile, truck, motor vehicle with auxiliary equipment,385
self-propelling equipment or trailer, aircraft, or watercraft by386
the officers or employees while engaged in the course of their387
employment or official responsibilities for the state or the388
political subdivision. The state is authorized to expend funds to 389
pay judgments that are rendered in any court against its officers 390
or employees and that result from such operation, and is391
authorized to expend funds to compromise claims for liability392
against its officers or employees that result from such operation. 393
No insurer shall deny coverage under such a policy, and the state 394
shall not refuse to pay judgments or compromise claims, on the 395
ground that an automobile, truck, motor vehicle with auxiliary 396
equipment, self-propelling equipment or trailer, aircraft, or 397
watercraft was not being used in the course of an officer's or 398
employee's employment or official responsibilities for the state 399
or a political subdivision unless the officer or employee who was 400
operating an automobile, truck, motor vehicle with auxiliary 401
equipment, or self-propelling equipment or trailer is convicted of 402
a violation of section 124.71 of the Revised Code as a result of 403
the same events.404

       (B) Funds shall be reserved as necessary, in the exercise of 405
sound and prudent actuarial judgment, to cover potential expense, 406
fees, damage, loss, or other liability. The superintendent of 407
insuranceoffice of risk management may recommend or, if the state408
requests of the superintendentoffice of risk management, shall 409
recommend, a specific amount for any period of time that, in the 410
superintendent's opinion of the office of risk management, 411
represents such a judgment.412

       (C) Nothing in this section shall be construed to require the 413
department of administrative services to purchase liability414
insurance for all state vehicles in a single policy of insurance415
or to cover all state vehicles under a single plan of416
self-insurance.417

       (D) Insurance procured by the state pursuant to this section 418
shall be procured as provided in section 125.03 of the Revised 419
Code.420

       (E) For purposes of liability insurance procured under this421
section to cover the operation of a motor vehicle by a prisoner 422
for whom the insurance is procured, "employee" includes a prisoner 423
in the custody of the department of rehabilitation and correction 424
who is enrolled in a work program that is established by the 425
department pursuant to section 5145.16 of the Revised Code and in 426
which the prisoner is required to operate a motor vehicle, as 427
defined in section 4509.01 of the Revised Code, and who is engaged 428
in the operation of a motor vehicle in the course of the work 429
program.430

       (F) There is hereby created in the state treasury the vehicle 431
liability fund. All contributions collected by the director of 432
administrative services under division (I) of this section shall 433
be deposited into the fund. The fund shall be used to provide 434
insurance and self-insurance for the state under this section. All 435
investment earnings of the fund shall be credited to itrisk 436
management reserve fund created in section 9.823 of the Revised 437
Code to the credit of the vehicle liability program.438

       (G) The director of administrative services, through the 439
office of risk management, shall operate the vehicle liability 440
fund on an actuarially sound basis.441

       (H) Reserves shall be maintained in the vehicle liability442
risk management reserve fund to the credit of the vehicle 443
liability program in any amount that is necessary and adequate, in 444
the exercise of sound and prudent actuarial judgment, to cover 445
potential liability claims, expenses, fees, or damages. Money in 446
the fund may be applied to the payment of liability claims that 447
are filed against the state in the court of claims and determined 448
in the manner provided in Chapter 2743. of the Revised Code. The 449
director of administrative services may procure the services of a 450
qualified actuarial firm for the purpose of recommending the 451
specific amount of money that is required to maintain adequate 452
reserves for a specified period of time.453

       (I)(H) The director of administrative services shall collect 454
from each state agency or any participating state body its 455
contribution to the vehicle liability fundprogram for the purpose 456
of purchasing insurance or administering self-insurance programs 457
for coverage authorized under this section. The amount of the 458
contribution shall be determined by the director, with the 459
approval of the director of budget and management. It shall be 460
based upon actuarial assumptions and the relative risk and loss 461
experience of each state agency or participating state body. The 462
amount of the contribution also shall include a reasonable sum to 463
cover administrative costs of the department of administrative 464
services. The amounts collected pursuant to this division shall be 465
deposited in the risk management reserve fund to the credit of the 466
vehicle liability program.467

       Sec. 107.12. (A) As used in this section, "organization" 468
means a faith-based or other organization that is exempt from 469
federal income taxation under section 501(c)(3) of the Internal 470
Revenue Code of 1986, 100 Stat. 2085, 26 U.S.C. 1, as amended, and 471
provides charitable services to needy residents of this state.472

       (B) There is hereby established within the office of the 473
governor the governor's office of faith-based and community 474
initiatives. The office shall:475

       (1) Serve as a clearinghouse of information on federal, 476
state, and local funding for charitable services performed by 477
organizations;478

       (2) Encourage organizations to seek public funding for their 479
charitable services;480

       (3) Act as a liaison between state agencies and 481
organizations;482

       (4) Advise the governor, general assembly, and the advisory 483
board of the governor's office of faith-based community 484
initiatives on the barriers that exist to collaboration between 485
organizations and governmental entities and on ways to remove the 486
barriers.487

       (C) The governor shall appoint an executive assistant to 488
manage the office and perform or oversee the performance of the 489
duties of the office.490

       (D)(1) There is hereby created the advisory board of the 491
governor's office of faith-based and community initiatives. The 492
board shall consist of members appointed as follows:493

       (a) The directors of aging, alcohol and drug addiction494
services, rehabilitation and correction, health, job and family 495
services, mental health, and youth services shall each appoint to496
the board one employee of that director's department.497

       (b) The speaker of the house of representatives shall appoint 498
to the board two members of the house of representatives, not more 499
than one of whom shall be from the same political party and at 500
least one of whom shall be from the legislative black caucus. The 501
speaker of the house of representatives shall consult with the 502
president of the legislative black caucus in making the 503
legislative black caucus member appointment. The president of the 504
senate shall appoint to the board two members of the senate, not 505
more than one of whom shall be from the same political party.506

       (c) The governor, speaker of the house of representatives,507
and president of the senate shall each appoint to the board three 508
representatives of the nonprofit, faith-based and other nonprofit509
community.510

       (2) The appointments to the board shall be made within thirty 511
days after the effective date of this section. Terms of the office 512
shall be one year. Any vacancy that occurs on the board shall be 513
filled in the same manner as the original appointment. The members 514
of the board shall serve without compensation.515

       (3) At its initial meeting, the board shall elect a516
chairperson. The chairperson shall be a member of the board who is 517
a member of the house of representatives.518

       (E) The board shall do both of the following:519

       (1) Provide direction, guidance, and oversight to the office;520

       (2) Publish a report of its activities on or before the first 521
day of August of each year, and deliver copies of the report to 522
the governor, the speaker and minority leader of the house of 523
representatives, and the president and minority leader of the 524
senate.525

       (F) No member of the board or organization that the member is 526
affiliated or involved with is eligible to receive any grant that 527
the office administers or assists in administering.528

       Sec. 107.40.  (A) There is hereby created the governor's 529
residence advisory commission. The commission shall provide for 530
the preservation, restoration, acquisition, and conservation of 531
all decorations, objects of art, chandeliers, china, silver, 532
statues, paintings, furnishings, accouterments, and other 533
aesthetic materials that have been acquired, donated, loaned, or 534
otherwise obtained by the state for the governor's residence and 535
that have been approved by the commission. In addition, the 536
commission shall provide for the maintenance of plants that have 537
been acquired, donated, loaned, or otherwise obtained by the state 538
for the governor's residence and that have been approved by the 539
commission.540

       (B) The commission shall be responsible for the care, 541
provision, repair, and placement of furnishings and other objects 542
and accessories of the grounds and public areas of the first story 543
of the governor's residence and for the care and placement of 544
plants on the grounds. In exercising this responsibility, the 545
commission shall preserve and seek to further establish all of the 546
following:547

       (1) The authentic ambiance and decor of the historic era 548
during which the governor's residence was constructed;549

       (2) The grounds as a representation of Ohio's natural 550
ecosystems;551

       (3) The heritage garden for all of the following purposes:552

        (a) To preserve, sustain, and encourage the use of native 553
flora throughout the state;554

        (b) To replicate the state's physiographic regions, plant 555
communities, and natural landscapes;556

        (c) To serve as an educational garden that demonstrates the 557
artistic, industrial, political, horticultural, and geologic 558
history of the state through the use of plants;559

        (d) To serve as a reservoir of rare species of plants from 560
the physiographic regions of the state.561

        These duties shall not affect the obligation of the 562
department of administrative services to provide for theand adopt 563
policies and procedures regarding the use, general maintenance,564
and operating expenses of the governor's residence.565

       (C) The commission shall consist of eleven members. One 566
member shall be the director of administrative services or the 567
director's designee, who shall serve during the director's term of 568
office and shall serve as chairperson. One member shall be the 569
director of the Ohio historical society or the director's 570
designee, who shall serve during the director's term of office and 571
shall serve as vice-chairperson. One member shall represent the 572
Columbus landmarks foundation. One member shall represent the573
Bexley historical society. One member shall be the mayor of the 574
city of Bexley, who shall serve during the mayor's term of office. 575
One member shall be the chief executive officer of the Franklin 576
park conservatory joint recreation district, who shall serve 577
during the term of employment as chief executive officer. The578
remaining five members shall be appointed by the governor with the 579
advice and consent of the senate. The five members appointed by 580
the governor shall be persons with knowledge of Ohio history, 581
architecture, decorative arts, or historic preservation, and one 582
of those members shall have knowledge of landscape architecture, 583
garden design, horticulture, and plants native to this state.584

       (D) Of the initial appointees, the representative of the585
Columbus landmarks foundation shall serve for a term expiring586
December 31, 1996, and the representative of the Bexley historical 587
society shall serve for a term expiring December 31, 1997. Of the 588
five members appointed by the governor, three shall serve for 589
terms ending December 31, 1998, and two shall serve for terms 590
ending December 31, 1999. Thereafter, each term shall be for four 591
years, commencing on the first day of January and ending on the 592
last day of December. The member having knowledge of landscape 593
architecture, garden design, horticulture, and plants native to 594
this state initially shall be appointed upon the first vacancy on 595
the commission occurring on or after June 30, 2006.596

        Each member shall hold office from the date of the member's597
appointment until the end of the term for which the member was598
appointed. Any member appointed to fill a vacancy occurring prior 599
to the end of the term for which the member's predecessor was 600
appointed shall hold office for the remainder of the term. Any 601
member shall continue in office subsequent to the expiration of 602
the term until the member's successor takes office.603

       (E) Six members of the commission constitute a quorum, and 604
the affirmative vote of six members is required for approval of 605
any action by the commission.606

       (F) After each initial member of the commission has been 607
appointed, the commission shall meet and select one member as 608
secretary and another as treasurer. Organizational meetings of the 609
commission shall be held at the time and place designated by call 610
of the chairperson. Meetings of the commission may be held 611
anywhere in the state and shall be in compliance with Chapters 612
121. and 149. of the Revised Code. The commission may adopt, 613
pursuant to section 111.15 of the Revised Code, rules necessary to 614
carry out the purposes of this section.615

       (G) Members of the commission shall serve without 616
remuneration, but shall be compensated for actual and necessary 617
expenses incurred in the performance of their official duties.618

       (H) All expenses incurred in carrying out this section are 619
payable solely from money accrued under this section or 620
appropriated for these purposes by the general assembly, and the 621
commission shall incur no liability or obligation beyond such 622
money.623

       (I) TheExcept as otherwise provided in this division, the624
commission may accept any payment for the use of the governor's 625
residence or may accept any donation, gift, bequest, or devise for 626
the governor's residence or as an endowment for the maintenance 627
and care of the garden on the grounds of the governor's residence 628
in furtherance of its duties. The commission shall not accept any 629
donation, gift, bequest, or devise from a person, individual, or 630
member of an individual's immediate family if the person or 631
individual is receiving payments under a contract with the state 632
or a state agency for the purchase of supplies, services, or 633
equipment or for the construction, reconstruction, improvement, 634
enlargement, alteration, repair, painting, or decoration of a 635
public improvement, except for payments received under an 636
employment contract or a collective bargaining agreement. Any 637
revenue received by the commission shall be deposited into the 638
governor's residence fund, which is hereby established in the 639
state treasury, for use by the commission in accordance with the 640
performance of its duties. All investment earnings of the fund 641
shall be credited to the fund. Title to all property acquired by 642
the commission shall be taken in the name of the state and shall 643
be held for the use and benefit of the commission.644

       (J) Nothing in this section limits the ability of a person or 645
other entity to purchase decorations, objects of art, chandeliers, 646
china, silver, statues, paintings, furnishings, accouterments, 647
plants, or other aesthetic materials for placement in the 648
governor's residence or on the grounds of the governor's residence 649
or donation to the commission. No such object or plant, however, 650
shall be placed on the grounds or public areas of the first story 651
of the governor's residence without the consent of the commission.652

       (K) The heritage garden established under this section shall 653
be officially known as "the heritage garden at the Ohio governor's 654
residence."655

        (L) As used in this section, "heritage garden" means the 656
botanical garden of native plants established at the governor's 657
residence.658

       Sec. 109.57.  (A)(1) The superintendent of the bureau of659
criminal identification and investigation shall procure from 660
wherever procurable and file for record photographs, pictures, 661
descriptions, fingerprints, measurements, and other information 662
that may be pertinent of all persons who have been convicted of 663
committing within this state a felony, any crime constituting a 664
misdemeanor on the first offense and a felony on subsequent665
offenses, or any misdemeanor described in division (A)(1)(a) or 666
(A)(10)(a) of section 109.572 of the Revised Code, of all children 667
under eighteen years of age who have been adjudicated delinquent 668
children for committing within this state an act that would be a 669
felony or an offense of violence if committed by an adult or who 670
have been convicted of or pleaded guilty to committing within this 671
state a felony or an offense of violence, and of all well-known 672
and habitual criminals. The person in charge of any county, 673
multicounty, municipal, municipal-county, or multicounty-municipal 674
jail or workhouse, community-based correctional facility, halfway 675
house, alternative residential facility, or state correctional 676
institution and the person in charge of any state institution 677
having custody of a person suspected of having committed a felony, 678
any crime constituting a misdemeanor on the first offense and a 679
felony on subsequent offenses, or any misdemeanor described in 680
division (A)(1)(a) or (A)(10)(a) of section 109.572 of the Revised 681
Code or having custody of a child under eighteen years of age with 682
respect to whom there is probable cause to believe that the child 683
may have committed an act that would be a felony or an offense of 684
violence if committed by an adult shall furnish such material to 685
the superintendent of the bureau. Fingerprints, photographs, or 686
other descriptive information of a child who is under eighteen 687
years of age, has not been arrested or otherwise taken into 688
custody for committing an act that would be a felony or an offense 689
of violence if committed by an adult, has not been adjudicated a 690
delinquent child for committing an act that would be a felony or 691
an offense of violence if committed by an adult, has not been 692
convicted of or pleaded guilty to committing a felony or an693
offense of violence, and is not a child with respect to whom there 694
is probable cause to believe that the child may have committed an 695
act that would be a felony or an offense of violence if committed 696
by an adult shall not be procured by the superintendent or 697
furnished by any person in charge of any county, multicounty, 698
municipal, municipal-county, or multicounty-municipal jail or 699
workhouse, community-based correctional facility, halfway house, 700
alternative residential facility, or state correctional 701
institution, except as authorized in section 2151.313 of the 702
Revised Code.703

       (2) Every clerk of a court of record in this state, other 704
than the supreme court or a court of appeals, shall send to the705
superintendent of the bureau a weekly report containing a summary 706
of each case involving a felony, involving any crime constituting 707
a misdemeanor on the first offense and a felony on subsequent 708
offenses, involving a misdemeanor described in division (A)(1)(a) 709
or (A)(10)(a) of section 109.572 of the Revised Code, or involving 710
an adjudication in a case in which a child under eighteen years of 711
age was alleged to be a delinquent child for committing an act 712
that would be a felony or an offense of violence if committed by713
an adult. The clerk of the court of common pleas shall include in 714
the report and summary the clerk sends under this division all 715
information described in divisions (A)(2)(a) to (f) of this 716
section regarding a case before the court of appeals that is 717
served by that clerk. The summary shall be written on the standard 718
forms furnished by the superintendent pursuant to division (B) of 719
this section and shall include the following information:720

       (a) The incident tracking number contained on the standard 721
forms furnished by the superintendent pursuant to division (B) of 722
this section;723

       (b) The style and number of the case;724

       (c) The date of arrest;725

       (d) The date that the person was convicted of or pleaded 726
guilty to the offense, adjudicated a delinquent child for 727
committing the act that would be a felony or an offense of 728
violence if committed by an adult, found not guilty of the729
offense, or found not to be a delinquent child for committing an 730
act that would be a felony or an offense of violence if committed 731
by an adult, the date of an entry dismissing the charge, an entry 732
declaring a mistrial of the offense in which the person is 733
discharged, an entry finding that the person or child is not 734
competent to stand trial, or an entry of a nolle prosequi, or the 735
date of any other determination that constitutes final resolution 736
of the case;737

       (e) A statement of the original charge with the section of 738
the Revised Code that was alleged to be violated;739

       (f) If the person or child was convicted, pleaded guilty, or 740
was adjudicated a delinquent child, the sentence or terms of 741
probation imposed or any other disposition of the offender or the 742
delinquent child.743

       If the offense involved the disarming of a law enforcement 744
officer or an attempt to disarm a law enforcement officer, the 745
clerk shall clearly state that fact in the summary, and the 746
superintendent shall ensure that a clear statement of that fact is 747
placed in the bureau's records.748

       (3) The superintendent shall cooperate with and assist749
sheriffs, chiefs of police, and other law enforcement officers in 750
the establishment of a complete system of criminal identification 751
and in obtaining fingerprints and other means of identification of 752
all persons arrested on a charge of a felony, any crime 753
constituting a misdemeanor on the first offense and a felony on 754
subsequent offenses, or a misdemeanor described in division755
(A)(1)(a) or (A)(10)(a) of section 109.572 of the Revised Code and 756
of all children under eighteen years of age arrested or otherwise 757
taken into custody for committing an act that would be a felony or 758
an offense of violence if committed by an adult. The759
superintendent also shall file for record the fingerprint 760
impressions of all persons confined in a county, multicounty,761
municipal, municipal-county, or multicounty-municipal jail or 762
workhouse, community-based correctional facility, halfway house,763
alternative residential facility, or state correctional 764
institution for the violation of state laws and of all children 765
under eighteen years of age who are confined in a county, 766
multicounty, municipal, municipal-county, or multicounty-municipal 767
jail or workhouse, community-based correctional facility, halfway 768
house, alternative residential facility, or state correctional769
institution or in any facility for delinquent children for 770
committing an act that would be a felony or an offense of violence 771
if committed by an adult, and any other information that the 772
superintendent may receive from law enforcement officials of the 773
state and its political subdivisions.774

       (4) The superintendent shall carry out Chapter 2950. of the775
Revised Code with respect to the registration of persons who are 776
convicted of or plead guilty to either a sexually oriented offense 777
that is not a registration-exempt sexually oriented offense or a 778
child-victim oriented offense and with respect to all other duties 779
imposed on the bureau under that chapter.780

       (5) The bureau shall perform centralized recordkeeping 781
functions for criminal history records and services in this state 782
for purposes of the national crime prevention and privacy compact 783
set forth in section 109.571 of the Revised Code and is the 784
criminal history record repository as defined in that section for 785
purposes of that compact. The superintendent or the 786
superintendent's designee is the compact officer for purposes of 787
that compact and shall carry out the responsibilities of the 788
compact officer specified in that compact.789

       (B) The superintendent shall prepare and furnish to every790
county, multicounty, municipal, municipal-county, or791
multicounty-municipal jail or workhouse, community-based 792
correctional facility, halfway house, alternative residential 793
facility, or state correctional institution and to every clerk of 794
a court in this state specified in division (A)(2) of this section 795
standard forms for reporting the information required under 796
division (A) of this section. The standard forms that the 797
superintendent prepares pursuant to this division may be in a 798
tangible format, in an electronic format, or in both tangible 799
formats and electronic formats.800

       (C) The superintendent may operate a center for electronic, 801
automated, or other data processing for the storage and retrieval 802
of information, data, and statistics pertaining to criminals and 803
to children under eighteen years of age who are adjudicated804
delinquent children for committing an act that would be a felony 805
or an offense of violence if committed by an adult, criminal 806
activity, crime prevention, law enforcement, and criminal justice, 807
and may establish and operate a statewide communications network 808
to gather and disseminate information, data, and statistics for 809
the use of law enforcement agencies. The superintendent may 810
gather, store, retrieve, and disseminate information, data, and 811
statistics that pertain to children who are under eighteen years 812
of age and that are gathered pursuant to sections 109.57 to 109.61 813
of the Revised Code together with information, data, and814
statistics that pertain to adults and that are gathered pursuant 815
to those sections. In addition to any other authorized use of 816
information, data, and statistics of that nature, the 817
superintendent or the superintendent's designee may provide and 818
exchange the information, data, and statistics pursuant to the 819
national crime prevention and privacy compact as described in 820
division (A)(5) of this section.821

       (D) The information and materials furnished to the822
superintendent pursuant to division (A) of this section and823
information and materials furnished to any board or person under824
division (F) or (G) of this section are not public records under 825
section 149.43 of the Revised Code.826

       (E) The attorney general shall adopt rules, in accordance827
with Chapter 119. of the Revised Code, setting forth the procedure 828
by which a person may receive or release information gathered by 829
the superintendent pursuant to division (A) of this section. A 830
reasonable fee may be charged for this service. If a temporary 831
employment service submits a request for a determination of 832
whether a person the service plans to refer to an employment833
position has been convicted of or pleaded guilty to an offense834
listed in division (A)(1), (3), (4), (5), or (6) of section 835
109.572 of the Revised Code, the request shall be treated as a 836
single request and only one fee shall be charged.837

       (F)(1) As used in division (F)(2) of this section, "head838
start agency" means an entity in this state that has been approved 839
to be an agency for purposes of subchapter II of the "Community 840
Economic Development Act," 95 Stat. 489 (1981), 42 U.S.C.A. 9831, 841
as amended.842

       (2)(a) In addition to or in conjunction with any request that843
is required to be made under section 109.572, 2151.86, 3301.32, or844
3301.541, division (C) of section 3310.58, or section 3319.39, 845
3701.881, 5104.012, 5104.013, 5123.081, 5126.28, 5126.281, or 846
5153.111 of the Revised Code, the board of education of any school 847
district; the director of mental retardation and developmental 848
disabilities; any county board of mental retardation and 849
developmental disabilities; any entity under contract with a850
county board of mental retardation and developmental disabilities; 851
the chief administrator of any chartered nonpublic school; the 852
chief administrator of a registered private provider that is not 853
also a chartered nonpublic school; the chief administrator of any 854
home health agency; the chief administrator of or person operating 855
any child day-care center, type A family day-care home, or type B 856
family day-care home licensed or certified under Chapter 5104. of 857
the Revised Code; the administrator of any type C family day-care858
home certified pursuant to Section 1 of Sub. H.B. 62 of the 121st859
general assembly or Section 5 of Am. Sub. S.B. 160 of the 121st860
general assembly; the chief administrator of any head start 861
agency; or the executive director of a public children services 862
agency may request that the superintendent of the bureau 863
investigate and determine, with respect to any individual who has 864
applied for employment in any position after October 2, 1989, or 865
any individual wishing to apply for employment with a board of 866
education may request, with regard to the individual, whether the 867
bureau has any information gathered under division (A) of this 868
section that pertains to that individual. On receipt of the 869
request, the superintendent shall determine whether that 870
information exists and, upon request of the person, board, or 871
entity requesting information, also shall request from the federal 872
bureau of investigation any criminal records it has pertaining to 873
that individual. The superintendent or the superintendent's 874
designee also may request criminal history records from other 875
states or the federal government pursuant to the national crime 876
prevention and privacy compact set forth in section 109.571 of the 877
Revised Code. Within thirty days of the date that the 878
superintendent receives a request, the superintendent shall send 879
to the board, entity, or person a report of any information that 880
the superintendent determines exists, including information 881
contained in records that have been sealed under section 2953.32 882
of the Revised Code, and, within thirty days of its receipt, shall 883
send the board, entity, or person a report of any information 884
received from the federal bureau of investigation, other than 885
information the dissemination of which is prohibited by federal 886
law.887

       (b) When a board of education or a registered private 888
provider is required to receive information under this section as 889
a prerequisite to employment of an individual pursuant to division 890
(C) of section 3310.58 or section 3319.39 of the Revised Code, it 891
may accept a certified copy of records that were issued by the 892
bureau of criminal identification and investigation and that are893
presented by an individual applying for employment with the894
district in lieu of requesting that information itself. In such a 895
case, the board or provider shall accept the certified copy issued 896
by the bureau in order to make a photocopy of it for that 897
individual's employment application documents and shall return the 898
certified copy to the individual. In a case of that nature, a 899
district or provider only shall accept a certified copy of records 900
of that nature within one year after the date of their issuance by 901
the bureau.902

       (3) The state board of education may request, with respect to 903
any individual who has applied for employment after October 2,904
1989, in any position with the state board or the department of905
education, any information that a school district board of906
education is authorized to request under division (F)(2) of this 907
section, and the superintendent of the bureau shall proceed as if 908
the request has been received from a school district board of 909
education under division (F)(2) of this section.910

       (4) When the superintendent of the bureau receives a request 911
for information under section 3319.291 of the Revised Code, the 912
superintendent shall proceed as if the request has been received 913
from a school district board of education under division (F)(2) of 914
this section.915

       (5) When a recipient of a classroom reading improvement grant 916
paid under section 3301.86 of the Revised Code requests, with 917
respect to any individual who applies to participate in providing 918
any program or service funded in whole or in part by the grant, 919
the information that a school district board of education is 920
authorized to request under division (F)(2)(a) of this section, 921
the superintendent of the bureau shall proceed as if the request 922
has been received from a school district board of education under 923
division (F)(2)(a) of this section.924

       (G) In addition to or in conjunction with any request that is 925
required to be made under section 3701.881, 3712.09, 3721.121, or 926
3722.151 of the Revised Code with respect to an individual who has 927
applied for employment in a position that involves providing 928
direct care to an older adult, the chief administrator of a home 929
health agency, hospice care program, home licensed under Chapter 930
3721. of the Revised Code, adult day-care program operated 931
pursuant to rules adopted under section 3721.04 of the Revised 932
Code, or adult care facility may request that the superintendent 933
of the bureau investigate and determine, with respect to any 934
individual who has applied after January 27, 1997, for employment 935
in a position that does not involve providing direct care to an 936
older adult, whether the bureau has any information gathered under 937
division (A) of this section that pertains to that individual.938

       In addition to or in conjunction with any request that is 939
required to be made under section 173.27 of the Revised Code with 940
respect to an individual who has applied for employment in a 941
position that involves providing ombudsperson services to 942
residents of long-term care facilities or recipients of 943
community-based long-term care services, the state long-term care 944
ombudsperson, ombudsperson's designee, or director of health may 945
request that the superintendent investigate and determine, with 946
respect to any individual who has applied for employment in a 947
position that does not involve providing such ombudsperson 948
services, whether the bureau has any information gathered under 949
division (A) of this section that pertains to that applicant.950

       In addition to or in conjunction with any request that is 951
required to be made under section 173.394 of the Revised Code with 952
respect to an individual who has applied for employment in a 953
position that involves providing direct care to an individual, the 954
chief administrator of a community-based long-term care agency may 955
request that the superintendent investigate and determine, with 956
respect to any individual who has applied for employment in a 957
position that does not involve providing direct care, whether the 958
bureau has any information gathered under division (A) of this 959
section that pertains to that applicant.960

       On receipt of a request under this division, the961
superintendent shall determine whether that information exists962
and, on request of the individual requesting information, shall 963
also request from the federal bureau of investigation any criminal 964
records it has pertaining to the applicant. The superintendent or 965
the superintendent's designee also may request criminal history 966
records from other states or the federal government pursuant to 967
the national crime prevention and privacy compact set forth in 968
section 109.571 of the Revised Code. Within thirty days of the 969
date a request is received, the superintendent shall send to the 970
requester a report of any information determined to exist, 971
including information contained in records that have been sealed 972
under section 2953.32 of the Revised Code, and, within thirty days 973
of its receipt, shall send the requester a report of any974
information received from the federal bureau of investigation,975
other than information the dissemination of which is prohibited by 976
federal law.977

       (H) Information obtained by a government entity or person 978
under this section is confidential and shall not be released or 979
disseminated.980

       (I) The superintendent may charge a reasonable fee for981
providing information or criminal records under division (F)(2) or 982
(G) of this section.983

       (J) As used in this section, "registered private provider" 984
means a nonpublic school or entity registered with the 985
superintendent of public instruction under section 3310.41 of the 986
Revised Code to participate in the autism scholarship program or 987
section 3310.58 of the Revised Code to participate in the special 988
education scholarship pilot program.989

       Sec. 109.572. (A)(1) Upon receipt of a request pursuant to 990
section 121.08, 3301.32, 3301.541, 3319.39, 5104.012, or 5104.013 991
of the Revised Code, a completed form prescribed pursuant to 992
division (C)(1) of this section, and a set of fingerprint 993
impressions obtained in the manner described in division (C)(2) of 994
this section, the superintendent of the bureau of criminal 995
identification and investigation shall conduct a criminal records 996
check in the manner described in division (B) of this section to 997
determine whether any information exists that indicates that the 998
person who is the subject of the request previously has been 999
convicted of or pleaded guilty to any of the following:1000

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1001
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1002
2905.01, 2905.02, 2905.05, 2907.02, 2907.03, 2907.04, 2907.05, 1003
2907.06, 2907.07, 2907.08, 2907.09, 2907.21, 2907.22, 2907.23, 1004
2907.25, 2907.31, 2907.32, 2907.321, 2907.322, 2907.323, 2911.01, 1005
2911.02, 2911.11, 2911.12, 2919.12, 2919.22, 2919.24, 2919.25, 1006
2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 2925.04, 2925.05, 1007
2925.06, or 3716.11 of the Revised Code, felonious sexual 1008
penetration in violation of former section 2907.12 of the Revised 1009
Code, a violation of section 2905.04 of the Revised Code as it 1010
existed prior to July 1, 1996, a violation of section 2919.23 of 1011
the Revised Code that would have been a violation of section 1012
2905.04 of the Revised Code as it existed prior to July 1, 1996, 1013
had the violation been committed prior to that date, or a 1014
violation of section 2925.11 of the Revised Code that is not a 1015
minor drug possession offense;1016

       (b) A violation of an existing or former law of this state, 1017
any other state, or the United States that is substantially 1018
equivalent to any of the offenses listed in division (A)(1)(a) of 1019
this section.1020

       (2) On receipt of a request pursuant to section 5123.081 of 1021
the Revised Code with respect to an applicant for employment in 1022
any position with the department of mental retardation and 1023
developmental disabilities, pursuant to section 5126.28 of the 1024
Revised Code with respect to an applicant for employment in any 1025
position with a county board of mental retardation and 1026
developmental disabilities, or pursuant to section 5126.281 of the 1027
Revised Code with respect to an applicant for employment in a 1028
direct services position with an entity contracting with a county 1029
board for employment, a completed form prescribed pursuant to 1030
division (C)(1) of this section, and a set of fingerprint 1031
impressions obtained in the manner described in division (C)(2) of 1032
this section, the superintendent of the bureau of criminal 1033
identification and investigation shall conduct a criminal records 1034
check. The superintendent shall conduct the criminal records check 1035
in the manner described in division (B) of this section to 1036
determine whether any information exists that indicates that the 1037
person who is the subject of the request has been convicted of or 1038
pleaded guilty to any of the following:1039

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1040
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1041
2903.341, 2905.01, 2905.02, 2905.04, 2905.05, 2907.02, 2907.03, 1042
2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 2907.12, 1043
2907.21, 2907.22, 2907.23, 2907.25, 2907.31, 2907.32, 2907.321, 1044
2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12, 1045
2919.22, 2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02, 1046
2925.03, or 3716.11 of the Revised Code;1047

       (b) An existing or former municipal ordinance or law of this 1048
state, any other state, or the United States that is substantially 1049
equivalent to any of the offenses listed in division (A)(2)(a) of 1050
this section.1051

       (3) On receipt of a request pursuant to section 173.27, 1052
173.394, 3712.09, 3721.121, or 3722.151 of the Revised Code, a 1053
completed form prescribed pursuant to division (C)(1) of this 1054
section, and a set of fingerprint impressions obtained in the 1055
manner described in division (C)(2) of this section, the 1056
superintendent of the bureau of criminal identification and 1057
investigation shall conduct a criminal records check with respect 1058
to any person who has applied for employment in a position for 1059
which a criminal records check is required by those sections. The 1060
superintendent shall conduct the criminal records check in the 1061
manner described in division (B) of this section to determine 1062
whether any information exists that indicates that the person who 1063
is the subject of the request previously has been convicted of or 1064
pleaded guilty to any of the following:1065

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1066
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1067
2905.01, 2905.02, 2905.11, 2905.12, 2907.02, 2907.03, 2907.05, 1068
2907.06, 2907.07, 2907.08, 2907.09, 2907.12, 2907.25, 2907.31, 1069
2907.32, 2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 1070
2911.12, 2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 1071
2913.31, 2913.40, 2913.43, 2913.47, 2913.51, 2919.25, 2921.36, 1072
2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 2925.11, 2925.13, 1073
2925.22, 2925.23, or 3716.11 of the Revised Code;1074

       (b) An existing or former law of this state, any other state, 1075
or the United States that is substantially equivalent to any of 1076
the offenses listed in division (A)(3)(a) of this section.1077

       (4) On receipt of a request pursuant to section 3701.881 of 1078
the Revised Code with respect to an applicant for employment with 1079
a home health agency as a person responsible for the care, 1080
custody, or control of a child, a completed form prescribed 1081
pursuant to division (C)(1) of this section, and a set of 1082
fingerprint impressions obtained in the manner described in 1083
division (C)(2) of this section, the superintendent of the bureau 1084
of criminal identification and investigation shall conduct a 1085
criminal records check. The superintendent shall conduct the 1086
criminal records check in the manner described in division (B) of 1087
this section to determine whether any information exists that 1088
indicates that the person who is the subject of the request 1089
previously has been convicted of or pleaded guilty to any of the 1090
following:1091

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1092
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1093
2905.01, 2905.02, 2905.04, 2905.05, 2907.02, 2907.03, 2907.04, 1094
2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 2907.12, 2907.21, 1095
2907.22, 2907.23, 2907.25, 2907.31, 2907.32, 2907.321, 2907.322, 1096
2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12, 2919.22, 1097
2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 1098
2925.04, 2925.05, 2925.06, or 3716.11 of the Revised Code or a 1099
violation of section 2925.11 of the Revised Code that is not a 1100
minor drug possession offense;1101

       (b) An existing or former law of this state, any other state, 1102
or the United States that is substantially equivalent to any of 1103
the offenses listed in division (A)(4)(a) of this section.1104

       (5) On receipt of a request pursuant to section 5111.95 or 1105
5111.965111.032, 5111.033, or 5111.034 of the Revised Code with 1106
respect to an applicant for employment with a waiver agency 1107
participating in a department of job and family services 1108
administered home and community-based waiver program or an 1109
independent provider participating in a department administered 1110
home and community-based waiver program in a position that 1111
involves providing home and community-based waiver services to 1112
consumers with disabilities, a completed form prescribed pursuant 1113
to division (C)(1) of this section, and a set of fingerprint 1114
impressions obtained in the manner described in division (C)(2) of 1115
this section, the superintendent of the bureau of criminal 1116
identification and investigation shall conduct a criminal records 1117
check. The superintendent shall conduct the criminal records check 1118
in the manner described in division (B) of this section to 1119
determine whether any information exists that indicates that the 1120
person who is the subject of the request previously has been 1121
convicted of or, has pleaded guilty to, or has been found eligible 1122
for intervention in lieu of conviction for any of the following:1123

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1124
2903.04, 2903.041, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 1125
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02, 1126
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 1127
2907.21, 2907.22, 2907.23, 2907.24, 2907.25, 2907.31, 2907.32, 1128
2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 1129
2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31, 1130
2913.40, 2913.43, 2913.47, 2913.48, 2913.49, 2913.51, 2917.11,1131
2919.12, 2919.22, 2919.24, 2919.25, 2921.13, 2921.36, 2923.02,1132
2923.12, 2923.13, 2923.161, 2923.32, 2925.02, 2925.03, 2925.04, 1133
2925.05, 2925.06, 2925.11, 2925.13, 2925.14, 2925.22, 2925.23, or 1134
3716.11 of the Revised Code, felonious sexual penetration in 1135
violation of former section 2907.12 of the Revised Code, a 1136
violation of section 2905.04 of the Revised Code as it existed 1137
prior to July 1, 1996, a violation of section 2919.23 of the 1138
Revised Code that would have been a violation of section 2905.04 1139
of the Revised Code as it existed prior to July 1, 1996, had the 1140
violation been committed prior to that date;1141

       (b) An existing or former law of this state, any other state, 1142
or the United States that is substantially equivalent to any of 1143
the offenses listed in division (A)(5)(a) of this section.1144

       (6) On receipt of a request pursuant to section 3701.881 of 1145
the Revised Code with respect to an applicant for employment with 1146
a home health agency in a position that involves providing direct 1147
care to an older adult, a completed form prescribed pursuant to 1148
division (C)(1) of this section, and a set of fingerprint 1149
impressions obtained in the manner described in division (C)(2) of 1150
this section, the superintendent of the bureau of criminal 1151
identification and investigation shall conduct a criminal records 1152
check. The superintendent shall conduct the criminal records check 1153
in the manner described in division (B) of this section to 1154
determine whether any information exists that indicates that the 1155
person who is the subject of the request previously has been 1156
convicted of or pleaded guilty to any of the following:1157

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1158
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1159
2905.01, 2905.02, 2905.11, 2905.12, 2907.02, 2907.03, 2907.05, 1160
2907.06, 2907.07, 2907.08, 2907.09, 2907.12, 2907.25, 2907.31, 1161
2907.32, 2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 1162
2911.12, 2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 1163
2913.31, 2913.40, 2913.43, 2913.47, 2913.51, 2919.25, 2921.36, 1164
2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 2925.11, 2925.13, 1165
2925.22, 2925.23, or 3716.11 of the Revised Code;1166

       (b) An existing or former law of this state, any other state, 1167
or the United States that is substantially equivalent to any of 1168
the offenses listed in division (A)(6)(a) of this section.1169

       (7) When conducting a criminal records check upon a request 1170
pursuant to section 3319.39 of the Revised Code for an applicant 1171
who is a teacher, in addition to the determination made under 1172
division (A)(1) of this section, the superintendent shall 1173
determine whether any information exists that indicates that the 1174
person who is the subject of the request previously has been 1175
convicted of or pleaded guilty to any offense specified in section 1176
3319.31 of the Revised Code.1177

       (8) On a request pursuant to section 2151.86 of the Revised 1178
Code, a completed form prescribed pursuant to division (C)(1) of 1179
this section, and a set of fingerprint impressions obtained in the 1180
manner described in division (C)(2) of this section, the 1181
superintendent of the bureau of criminal identification and 1182
investigation shall conduct a criminal records check in the manner 1183
described in division (B) of this section to determine whether any 1184
information exists that indicates that the person who is the 1185
subject of the request previously has been convicted of or pleaded 1186
guilty to any of the following:1187

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1188
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1189
2905.01, 2905.02, 2905.05, 2907.02, 2907.03, 2907.04, 2907.05, 1190
2907.06, 2907.07, 2907.08, 2907.09, 2907.21, 2907.22, 2907.23, 1191
2907.25, 2907.31, 2907.32, 2907.321, 2907.322, 2907.323, 2909.02, 1192
2909.03, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12, 2919.22, 1193
2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 1194
2925.04, 2925.05, 2925.06, or 3716.11 of the Revised Code, a 1195
violation of section 2905.04 of the Revised Code as it existed 1196
prior to July 1, 1996, a violation of section 2919.23 of the 1197
Revised Code that would have been a violation of section 2905.04 1198
of the Revised Code as it existed prior to July 1, 1996, had the 1199
violation been committed prior to that date, a violation of 1200
section 2925.11 of the Revised Code that is not a minor drug 1201
possession offense, or felonious sexual penetration in violation 1202
of former section 2907.12 of the Revised Code;1203

       (b) A violation of an existing or former law of this state, 1204
any other state, or the United States that is substantially 1205
equivalent to any of the offenses listed in division (A)(8)(a) of 1206
this section.1207

       (9) When conducting a criminal records check on a request 1208
pursuant to section 5104.013 of the Revised Code for a person who 1209
is an owner, licensee, or administrator of a child day-care center 1210
or type A family day-care home, an authorized provider of a 1211
certified type B family day-care home, or an adult residing in a 1212
type A or certified type B home, or when conducting a criminal 1213
records check or a request pursuant to section 5104.012 of the 1214
Revised Code for a person who is an applicant for employment in a 1215
center, type A home, or certified type B home, the superintendent, 1216
in addition to the determination made under division (A)(1) of 1217
this section, shall determine whether any information exists that 1218
indicates that the person has been convicted of or pleaded guilty 1219
to any of the following:1220

       (a) A violation of section 2913.02, 2913.03, 2913.04, 1221
2913.041, 2913.05, 2913.06, 2913.11, 2913.21, 2913.31, 2913.32, 1222
2913.33, 2913.34, 2913.40, 2913.41, 2913.42, 2913.43, 2913.44, 1223
2913.441, 2913.45, 2913.46, 2913.47, 2913.48, 2913.49, 2921.11, 1224
2921.13, or 2923.01 of the Revised Code, a violation of section 1225
2923.02 or 2923.03 of the Revised Code that relates to a crime 1226
specified in this division or division (A)(1)(a) of this section, 1227
or a second violation of section 4511.19 of the Revised Code 1228
within five years of the date of application for licensure or 1229
certification.1230

       (b) A violation of an existing or former law of this state, 1231
any other state, or the United States that is substantially 1232
equivalent to any of the offenses or violations described in 1233
division (A)(9)(a) of this section.1234

       (10) Upon receipt of a request pursuant to section 5153.111 1235
of the Revised Code, a completed form prescribed pursuant to 1236
division (C)(1) of this section, and a set of fingerprint 1237
impressions obtained in the manner described in division (C)(2) of 1238
this section, the superintendent of the bureau of criminal 1239
identification and investigation shall conduct a criminal records 1240
check in the manner described in division (B) of this section to 1241
determine whether any information exists that indicates that the 1242
person who is the subject of the request previously has been 1243
convicted of or pleaded guilty to any of the following:1244

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1245
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1246
2905.01, 2905.02, 2905.05, 2907.02, 2907.03, 2907.04, 2907.05, 1247
2907.06, 2907.07, 2907.08, 2907.09, 2907.21, 2907.22, 2907.23, 1248
2907.25, 2907.31, 2907.32, 2907.321, 2907.322, 2907.323, 2909.02, 1249
2909.03, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12, 2919.22, 1250
2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 1251
2925.04, 2925.05, 2925.06, or 3716.11 of the Revised Code, 1252
felonious sexual penetration in violation of former section 1253
2907.12 of the Revised Code, a violation of section 2905.04 of the 1254
Revised Code as it existed prior to July 1, 1996, a violation of 1255
section 2919.23 of the Revised Code that would have been a 1256
violation of section 2905.04 of the Revised Code as it existed 1257
prior to July 1, 1996, had the violation been committed prior to 1258
that date, or a violation of section 2925.11 of the Revised Code 1259
that is not a minor drug possession offense;1260

       (b) A violation of an existing or former law of this state, 1261
any other state, or the United States that is substantially 1262
equivalent to any of the offenses listed in division (A)(10)(a) of 1263
this section.1264

       (11) On receipt of a request for a criminal records check 1265
from an individual pursuant to section 4749.03 or 4749.06 of the 1266
Revised Code, accompanied by a completed copy of the form 1267
prescribed in division (C)(1) of this section and a set of 1268
fingerprint impressions obtained in a manner described in division 1269
(C)(2) of this section, the superintendent of the bureau of 1270
criminal identification and investigation shall conduct a criminal 1271
records check in the manner described in division (B) of this 1272
section to determine whether any information exists indicating 1273
that the person who is the subject of the request has been 1274
convicted of or pleaded guilty to a felony in this state or in any 1275
other state. If the individual indicates that a firearm will be 1276
carried in the course of business, the superintendent shall 1277
require information from the federal bureau of investigation as 1278
described in division (B)(2) of this section. The superintendent 1279
shall report the findings of the criminal records check and any 1280
information the federal bureau of investigation provides to the 1281
director of public safety.1282

       (12) On receipt of a request pursuant to section 1322.03, 1283
1322.031, or 4763.05 of the Revised Code, a completed form 1284
prescribed pursuant to division (C)(1) of this section, and a set 1285
of fingerprint impressions obtained in the manner described in 1286
division (C)(2) of this section, the superintendent of the bureau 1287
of criminal identification and investigation shall conduct a 1288
criminal records check with respect to any person who has applied 1289
for a license, permit, or certification from the department of 1290
commerce or a division in the department. The superintendent shall 1291
conduct the criminal records check in the manner described in 1292
division (B) of this section to determine whether any information 1293
exists that indicates that the person who is the subject of the 1294
request previously has been convicted of or pleaded guilty to any 1295
of the following: a violation of section 2913.02, 2913.11, 1296
2913.31, 2913.51, or 2925.03 of the Revised Code; any other 1297
criminal offense involving theft, receiving stolen property, 1298
embezzlement, forgery, fraud, passing bad checks, money 1299
laundering, or drug trafficking, or any criminal offense involving 1300
money or securities, as set forth in Chapters 2909., 2911., 2913., 1301
2915., 2921., 2923., and 2925. of the Revised Code; or any 1302
existing or former law of this state, any other state, or the 1303
United States that is substantially equivalent to those offenses.1304

       (13) Not later than thirty days after the date the 1305
superintendent receives the request, completed form, and 1306
fingerprint impressions, the superintendent shall send the person, 1307
board, or entity that made the request any information, other than 1308
information the dissemination of which is prohibited by federal 1309
law, the superintendent determines exists with respect to the 1310
person who is the subject of the request that indicates that the 1311
person previously has been convicted of or pleaded guilty to any 1312
offense listed or described in division (A)(1), (2), (3), (4), 1313
(5), (6), (7), (8), (9), (10), (11), or (12) of this section, as 1314
appropriate. The superintendent shall send the person, board, or 1315
entity that made the request a copy of the list of offenses 1316
specified in division (A)(1), (2), (3), (4), (5), (6), (7), (8), 1317
(9), (10), (11), or (12) of this section, as appropriate. If the 1318
request was made under section 3701.881 of the Revised Code with 1319
regard to an applicant who may be both responsible for the care, 1320
custody, or control of a child and involved in providing direct 1321
care to an older adult, the superintendent shall provide a list of 1322
the offenses specified in divisions (A)(4) and (6) of this 1323
section.1324

       (B) The superintendent shall conduct any criminal records 1325
check requested under section 121.08, 173.27, 173.394, 1322.03, 1326
1322.031, 2151.86, 3301.32, 3301.541, 3319.39, 3701.881, 3712.09, 1327
3721.121, 3722.151, 4749.03, 4749.06, 4763.05, 5104.012, 5104.013, 1328
5111.95, 5111.965111.032, 5111.033, 5111.034, 5123.081, 5126.28, 1329
5126.281, or 5153.111 of the Revised Code as follows:1330

       (1) The superintendent shall review or cause to be reviewed 1331
any relevant information gathered and compiled by the bureau under 1332
division (A) of section 109.57 of the Revised Code that relates to 1333
the person who is the subject of the request, including any 1334
relevant information contained in records that have been sealed 1335
under section 2953.32 of the Revised Code;1336

       (2) If the request received by the superintendent asks for 1337
information from the federal bureau of investigation, the 1338
superintendent shall request from the federal bureau of 1339
investigation any information it has with respect to the person 1340
who is the subject of the request and shall review or cause to be 1341
reviewed any information the superintendent receives from that 1342
bureau.1343

        (3) The superintendent or the superintendent's designee may 1344
request criminal history records from other states or the federal 1345
government pursuant to the national crime prevention and privacy 1346
compact set forth in section 109.571 of the Revised Code.1347

       (C)(1) The superintendent shall prescribe a form to obtain 1348
the information necessary to conduct a criminal records check from 1349
any person for whom a criminal records check is required by 1350
section 121.08, 173.27, 173.394, 1322.03, 1322.031, 2151.86, 1351
3301.32, 3301.541, 3319.39, 3701.881, 3712.09, 3721.121, 3722.151, 1352
4749.03, 4749.06, 4763.05, 5104.012, 5104.013, 5111.95, 5111.961353
5111.032, 5111.033, 5111.034, 5123.081, 5126.28, 5126.281, or 1354
5153.111 of the Revised Code. The form that the superintendent 1355
prescribes pursuant to this division may be in a tangible format, 1356
in an electronic format, or in both tangible and electronic 1357
formats.1358

       (2) The superintendent shall prescribe standard impression 1359
sheets to obtain the fingerprint impressions of any person for 1360
whom a criminal records check is required by section 121.08, 1361
173.27, 173.394, 1322.03, 1322.031, 2151.86, 3301.32, 3301.541, 1362
3319.39, 3701.881, 3712.09, 3721.121, 3722.151, 4749.03, 4749.06, 1363
4763.05, 5104.012, 5104.013, 5111.95, 5111.965111.032, 5111.033, 1364
5111.034, 5123.081, 5126.28, 5126.281, or 5153.111 of the Revised 1365
Code. Any person for whom a records check is required by any of 1366
those sections shall obtain the fingerprint impressions at a 1367
county sheriff's office, municipal police department, or any other 1368
entity with the ability to make fingerprint impressions on the 1369
standard impression sheets prescribed by the superintendent. The 1370
office, department, or entity may charge the person a reasonable 1371
fee for making the impressions. The standard impression sheets the 1372
superintendent prescribes pursuant to this division may be in a 1373
tangible format, in an electronic format, or in both tangible and 1374
electronic formats.1375

       (3) Subject to division (D) of this section, the 1376
superintendent shall prescribe and charge a reasonable fee for 1377
providing a criminal records check requested under section 121.08, 1378
173.27, 173.394, 1322.03, 1322.031, 2151.86, 3301.32, 3301.541, 1379
3319.39, 3701.881, 3712.09, 3721.121, 3722.151, 4749.03, 4749.06, 1380
4763.05, 5104.012, 5104.013, 5111.95, 5111.965111.032, 5111.033, 1381
5111.034, 5123.081, 5126.28, 5126.281, or 5153.111 of the Revised 1382
Code. The person making a criminal records request under section 1383
121.08, 173.27, 173.394, 1322.03, 1322.031, 2151.86, 3301.32, 1384
3301.541, 3319.39, 3701.881, 3712.09, 3721.121, 3722.151, 4749.03, 1385
4749.06, 4763.05, 5104.012, 5104.013, 5111.95, 5111.96, 5123.081, 1386
5126.28, 5126.281, or 5153.111 of the Revised Code shall pay the 1387
fee prescribed pursuant to this division. A person making a 1388
request under section 3701.881 of the Revised Code for a criminal 1389
records check for an applicant who may be both responsible for the 1390
care, custody, or control of a child and involved in providing 1391
direct care to an older adult shall pay one fee for the request. 1392
In the case of a request under section 5111.033 of the Revised 1393
Code, the fee shall be paid in the manner specified in that 1394
section.1395

       (4) The superintendent of the bureau of criminal 1396
identification and investigation may prescribe methods of 1397
forwarding fingerprint impressions and information necessary to 1398
conduct a criminal records check, which methods shall include, but 1399
not be limited to, an electronic method.1400

       (D) A determination whether any information exists that 1401
indicates that a person previously has been convicted of or 1402
pleaded guilty to any offense listed or described in division 1403
(A)(1)(a) or (b), (A)(2)(a) or (b), (A)(3)(a) or (b), (A)(4)(a) or 1404
(b), (A)(5)(a) or (b), (A)(6)(a) or (b), (A)(7), (A)(8)(a) or (b), 1405
(A)(9)(a) or (b), (A)(10)(a) or (b), or (A)(12) of this section 1406
that is made by the superintendent with respect to information 1407
considered in a criminal records check in accordance with this 1408
section is valid for the person who is the subject of the criminal 1409
records check for a period of one year from the date upon which 1410
the superintendent makes the determination. During the period in 1411
which the determination in regard to a person is valid, if another 1412
request under this section is made for a criminal records check 1413
for that person, the superintendent shall provide the information 1414
that is the basis for the superintendent's initial determination 1415
at a lower fee than the fee prescribed for the initial criminal 1416
records check.1417

       (E) When the superintendent receives a request for 1418
information from a registered private provider, the superintendent 1419
shall proceed as if the request has been received from a school 1420
district board of education under section 3319.39 of the Revised 1421
Code. The superintendent shall apply division (A)(7) of this 1422
section to any such request for an applicant who is a teacher.1423

       (F) As used in this section:1424

       (1) "Criminal records check" means any criminal records check 1425
conducted by the superintendent of the bureau of criminal 1426
identification and investigation in accordance with division (B) 1427
of this section.1428

       (2) "Home and community-based waiver services" and "waiver 1429
agency" have the same meanings as in section 5111.95 of the 1430
Revised Code.1431

       (3) "Independent provider" has the same meaning as in section 1432
5111.96 of the Revised Code.1433

       (4) "Minor drug possession offense" has the same meaning as 1434
in section 2925.01 of the Revised Code.1435

       (5)(3) "Older adult" means a person age sixty or older.1436

       (4) "Registered private provider" means a nonpublic school or 1437
entity registered with the superintendent of public instruction 1438
under section 3310.41 of the Revised Code to participate in the 1439
autism scholarship program or section 3310.58 of the Revised Code 1440
to participate in the special education scholarship pilot program.1441

       Sec. 109.93.  The attorney general education fund is hereby 1442
created in the custody of the treasurer of state treasury. The 1443
fund shall consist of gifts and grants received by the attorney 1444
general for the purposes of the fund. The fund shall be 1445
administered by the attorney general and shall be used to support 1446
various educational programs. These educational programs may 1447
include programs for consumer protection, victims of crime, 1448
environmental protection, drug abuse, child abuse, peace officer 1449
training, crime prevention, and law. The fund may also be used to 1450
pay costs associated with the solicitation of gifts and grants for 1451
the purposes of the fund, and the costs of administering the fund. 1452
The fund shall not be used to replace money spent by local 1453
programs for similar purposes.1454

       Sec. 111.18.  (A) The secretary of state shall keep a record1455
of all fees collected by the secretary of state and, subject to1456
division (B) of section 1309.528 of the Revised Code and except as 1457
otherwise provided in the Revised Code, shall pay them into the1458
state treasury to the credit of the corporate and uniform1459
commercial code filing fund created by section 1309.528 of the1460
Revised Code.1461

       (B) The secretary of state may implement alternative payment1462
programs that permit payment of any fee charged by the secretary1463
of state by means other than cash, check, money order, or credit1464
card; an alternative payment program may include, but is not1465
limited to, one that permits a fee to be paid by electronic means1466
of transmission. Fees paid under an alternative payment program1467
shall be deposited to the credit of the secretary of state1468
alternative payment program fund, which is hereby created. The1469
secretary of state alternative payment program fund shall be in1470
the custody of the treasurer of state but shall not be part of the1471
state treasury. Any investment income of the secretary of state1472
alternative payment program fund shall be credited to that fund1473
and used to operate the alternative payment program. Within two1474
working days following the deposit of funds to the credit of the1475
secretary of state alternative payment program fund, the secretary1476
of state shall pay those funds into the state treasury to the1477
credit of the corporate and uniform commercial code filing fund,1478
subject to division (B) of section 1309.401 of the Revised Code1479
and except as otherwise provided in the Revised Code.1480

       The secretary of state shall adopt rules necessary to carry1481
out the purposes of this division.1482

       Sec. 118.01.  As used in this chapter:1483

       (A) "Advance tax payment notes" means the notes authorized by 1484
section 118.24 of the Revised Code.1485

       (B) "Appropriation measure" means any appropriation measure, 1486
amendment of an appropriation measure, or supplement to an 1487
appropriation measure of a municipal corporation, county, or 1488
township referred to in sections 5705.38 and 5705.40 of the 1489
Revised Code and any other action of a municipal corporation, 1490
county, or township authorizing expenditure of money not1491
previously included in any appropriation measure.1492

       (C) "Bond anticipation notes" means notes issued in1493
anticipation of the issuance of bonds.1494

       (D) "Certificate of estimated resources" means the official 1495
certificate of estimated resources of the county budget commission 1496
and amendments of the certificate certified to the municipal 1497
corporation, county, or township as provided for in Chapter 5705. 1498
of the Revised Code.1499

       (E) "Commission" means a financial planning and supervision 1500
commission created by section 118.05 of the Revised Code with 1501
respect to a municipal corporation, county, or township.1502

       (F) "Construction funds" means proceeds from the sale of debt 1503
obligations restricted by law or pursuant to the proceedings for 1504
the issuance of such debt obligations to use for permanent1505
improvements as defined in division (E) of section 5705.01 of the1506
Revised Code, including acquisition, construction, or extension of 1507
public utilities, and moneys from any other sources restricted to 1508
such purpose.1509

       (G) "County auditor" means the county auditor with whom tax1510
budgets of the municipal corporation, county, or township are to 1511
be filed in accordance with section 5705.30 of the Revised Code.1512

       (H) "County budget commission" means the county budget1513
commission to which the tax budget of the municipal corporation, 1514
county, or township is to be submitted in accordance with section 1515
5705.31 of the Revised Code.1516

       (I) "Current revenue notes" means debt obligations described 1517
in section 133.10 or Chapter 5705. of the Revised Code or any 1518
other debt obligations issued to obtain funds for current1519
operating expenses.1520

       (J) "Debt limits" means the limitations on net indebtedness 1521
provided in sections 133.05, 133.07, and 133.09 of the Revised 1522
Code, and also includes the limitation, known as the "indirect 1523
debt limit," upon the issuance of unvoted bonds, notes, or 1524
certificates of indebtedness resulting from the ten-mill 1525
limitation provided for in section 5705.02 of the Revised Code.1526

       (K) "Debt obligations" means bonds, notes, certificates of1527
indebtedness, bond anticipation notes, current revenue notes,1528
local government fund notes, local communities fund notes, or 1529
other obligations issued or incurred in borrowing money, or to 1530
renew, refund, fund, or refinance, or issued in exchange for, such 1531
obligations, and any interest coupons pertaining thereto other 1532
than bonds or other obligations issued under authority of Section 1533
13 of Article VIII, Ohio Constitution.1534

       (L) "Default" means failure to pay the principal of or the1535
interest on a debt obligation, or failure to make other payment to 1536
be made to the holder or owner of a debt obligation, in the full 1537
amount and at the time provided for in the contractual commitment 1538
with respect thereto, unless the time for such payment has been 1539
extended by the owner or holder of the debt obligation without 1540
penalty or premium and without the effect of subjecting the 1541
municipal corporation, county, or township to the initiation of 1542
remedies pertaining to such debt obligation or other debt 1543
obligations.1544

       (M) "Deficit fund" means the general fund or any special fund 1545
that, as at the time indicated, has a deficit balance or a balance 1546
that is less than the amount required to be in such fund pursuant 1547
to law or pursuant to contractual requirements, demonstrating that 1548
over a period of time expenditures charged or chargeable to the 1549
fund have exceeded moneys credited to the fund, or that moneys 1550
credited to the fund have not been in the amounts required by law 1551
or contractual requirements.1552

       (N) "Effective financial accounting and reporting system"1553
means an accounting and reporting system fully in compliance with1554
the requirements prescribed by and pursuant to Chapter 117. of the 1555
Revised Code, with such modifications and supplements as are to be 1556
provided pursuant to this chapter in order to meet and deal with 1557
the fiscal emergency, provide to the auditor of state, the1558
commission, the financial supervisor, and the county budget1559
commission the information needed to carry out their functions,1560
and better ensure the implementation of the financial plan.1561

       (O) "Financial plan" means the financial plan approved by the 1562
commission in accordance with section 118.06 of the Revised Code, 1563
as it may from time to time be amended in accordance with this 1564
chapter.1565

       (P) "Financial supervisor" means the auditor of state.1566

       (Q) "Fiscal emergency" means the existence of fiscal1567
emergency conditions determined as provided in section 118.04 of1568
the Revised Code.1569

       (R) "Fiscal emergency conditions" means any of the events or 1570
occurrences described in section 118.03 of the Revised Code.1571

       (S) "Fiscal emergency period" means the period of time1572
commencing on the date when the determination of a fiscal1573
emergency is made by the auditor of state pursuant to section1574
118.04 of the Revised Code and ending when the determination of1575
termination is made and certified pursuant to section 118.27 of1576
the Revised Code.1577

       (T) "Fiscal watch" means the existence of fiscal watch 1578
conditions as determined in accordance with section 118.022 of the 1579
Revised Code.1580

       (U) "Fiscal officer" means the fiscal officer of the1581
municipal corporation, county, or township as defined in division 1582
(D) of section 5705.01 of the Revised Code.1583

       (V) "Fringe benefits" means expenditures for goods and1584
services furnished to municipal, county, or township officers or1585
employees by the municipal corporation, county, or township,1586
including, but not limited to, such benefits as food, temporary 1587
housing, and clothing, and the provision of pension, retirement, 1588
disability, hospitalization, health care, insurance, or other 1589
benefits to employees requiring the advance payment of money other 1590
than directly to employees or other beneficiaries, or the deposit 1591
or reservation of money for such purpose.1592

       (W) "General fund" means the fund referred to in division (A) 1593
of section 5705.09 of the Revised Code.1594

       (X) "General fund budget" means aggregate revenues available 1595
in the general fund during the applicable fiscal year as shown by 1596
the certificate of estimated resources.1597

       (Y) "Mayor" means the officer of the municipal corporation 1598
designated as such by law or the chief executive officer under the 1599
charter of the municipal corporation.1600

       (Z) "Payroll" means compensation due and payable to employees 1601
of the municipal corporation, county, or township, other than 1602
fringe benefits.1603

       (AA) "Revenue estimates" means the estimates of revenue1604
receipts to the credit of the general fund and special funds as1605
estimated and supplemented, modified, or amended by the municipal 1606
corporation, county, or township, or the county budget commission.1607

       (BB) "Special funds" means any of the funds, other than the 1608
general fund, referred to in sections 5705.09 and 5705.12 of the 1609
Revised Code, and includes any fund created from the issuance of 1610
debt obligations pursuant to Section 3 or 12 of Article XVIII,1611
Ohio Constitution, and any fund created in connection with the1612
issuance of debt obligations to provide moneys for the payment of1613
principal or interest, reserves therefor, or reserves or funds for 1614
repair, maintenance, or improvements.1615

       (CC) "Tax budget" means the tax budget provided for in1616
section 5705.28 of the Revised Code.1617

       Sec. 118.08.  (A) The members of the financial planning and1618
supervision commission shall serve without compensation, but shall1619
be paid by the commission their necessary and actual expenses1620
incurred while engaged in the business of the commission.1621

       (B) All expenses incurred for services rendered by the1622
financial supervisor for a period of twenty-four months shall be1623
paid by the commission pursuant to an appropriation made by the1624
general assembly for this purpose. Expenses incurred for services1625
rendered by the financial supervisor beyond this period shall be1626
borne by the municipal corporation, county, or township unless the1627
director of budget and management waives the costs and allows1628
payment in accordance with the following:1629

       (1) If the continued performance of the financial supervisor1630
is required for a period of twenty-five to thirty months, the1631
municipal corporation, county, or township is responsible for1632
twenty per cent of the compensation due.1633

       (2) If the continued performance of the financial supervisor1634
is required for a period of thirty-one to thirty-six months, the1635
municipal corporation, county, or township is responsible for1636
fifty per cent of the compensation due.1637

       (3) If the continued performance of the financial supervisor1638
is required for a period of thirty-seven months or more, the1639
municipal corporation, county, or township is responsible for one1640
hundred per cent of the compensation due except as otherwise1641
provided in division (B)(4) of this section.1642

       (4) If the continued performance of the financial supervisor1643
has been required longer than eight fiscal years for any municipal1644
corporation, county, or township declared to be in a fiscal1645
emergency prior to fiscal year 1996, that municipal corporation,1646
county, or township is responsible for fifty per cent of the1647
compensation due in its ninth fiscal year while in fiscal1648
emergency and one hundred per cent of the compensation due in its1649
tenth fiscal year and every fiscal year thereafter while in fiscal 1650
emergency.1651

       (C) If the municipal corporation, county, or township fails1652
to make any payment to the financial supervisor as required by1653
this chapter, the financial supervisor may certify to the county1654
auditor the amount due, and that amount shall be withheld from the1655
municipal corporation, county, or township from any fund or funds1656
in the custody of the county auditor for distribution to the1657
municipal corporation, county, or township, except for those1658
reserved for payment of local government fund or local communities1659
fund notes. Upon receiving the certification from the financial 1660
supervisor, the county auditor shall draw a voucher for the amount 1661
against those fund or funds in favor of the financial supervisor.1662

       Sec. 118.17.  (A) During a fiscal emergency period and with 1663
the approval of the financial planning and supervision commission, 1664
a municipal corporation, county, or township may issue local 1665
governmentcommunities fund notes, in anticipation of amounts to 1666
be allocated to it pursuant to division (B) of section 5747.50 of 1667
the Revised Code or to be apportioned to it under section 5747.51 1668
or 5747.53 of the Revised Code in a future year or years, for a 1669
period of no more than eight calendar years. The principal amount 1670
of the notes and interest on the notes due and payable in any year 1671
shall not exceed fifty per cent of the total amount of local 1672
government fund or local communities fund moneys so allocated or 1673
apportioned to the municipal corporation, county, or township for1674
the year preceding the year in which the notes are issued. The1675
notes may mature in semiannual or annual installments in such1676
amounts as may be fixed by the commission, and need not mature in1677
substantially equal semiannual or annual installments. The notes1678
of a municipal corporation may be authorized and issued, subject 1679
to the approval of the commission, in the manner provided in 1680
sections 717.15 and 717.16 of the Revised Code, except that, 1681
notwithstanding division (A)(2) of section 717.16 of the Revised 1682
Code, the rate or rates of interest payable on the notes shall be 1683
the prevailing market rate or rates as determined and approved by 1684
the commission, and except that they shall not be issued in 1685
anticipation of bonds, shall not constitute general obligations of 1686
the municipal corporation, and shall not pledge the full faith and 1687
credit of the municipal corporation.1688

       (B) The principal and interest on the notes provided for in 1689
this section shall be payable, as provided in this section, solely 1690
from the portion of the local governmentcommunities fund that 1691
would otherwise be apportioned to the municipal corporation,1692
county, or township and shall not be payable from or constitute a 1693
pledge of or claim upon, or require the levy, collection, or 1694
application of, any unvoted ad valorem property taxes or other 1695
taxes, or in any manner occupy any portion of the indirect debt 1696
limit.1697

       (C) Local governmentcommunities fund notes may be issued 1698
only to the extent needed to achieve one or more of the following 1699
objectives of the financial plan:1700

       (1) Satisfying any contractual or noncontractual judgments, 1701
past due accounts payable, and all past due and payable payroll 1702
and fringe benefits to be taken into account under section 118.03 1703
of the Revised Code;1704

       (2) Restoring to construction funds or other restricted funds 1705
any money applied from such funds to uses not within the purposes 1706
of such funds and which could not be transferred to such use under 1707
section 5705.14 of the Revised Code;1708

       (3) Eliminating deficit balances in all deficit funds,1709
including funds that may be used to pay operating expenses.1710

       In addition to the objectives set forth in divisions (C)(1)1711
to (3) of this section, local governmentcommunities fund notes 1712
may be issued and the proceeds of those notes may be used for the 1713
purpose of retiring or replacing other moneys used to retire 1714
current revenue notes issued pursuant to section 118.23 of the 1715
Revised Code to the extent that the proceeds of the current 1716
revenue notes have been or are to be used directly or to replace 1717
other moneys used to achieve one or more of the objectives of the 1718
financial plan specified in divisions (C)(1) to (3) of this 1719
section. Upon authorization of the local governmentcommunities1720
fund notes by the legislative authority of the municipal 1721
corporation, county, or township, the proceeds of the local1722
governmentcommunities fund notes and the proceeds of any such 1723
current revenue notes shall be deemed to be appropriated, to the 1724
extent that the proceeds have been or are to be so used, for the1725
purposes for which the revenues anticipated by any such current1726
revenue notes are collected and appropriated within the meaning of 1727
section 133.10 of the Revised Code.1728

       (D) The need for an issue of local governmentcommunities1729
fund notes for such purposes shall be determined by taking into1730
consideration other money and sources of moneys available therefor 1731
under this chapter or other provisions of law, and calculating the 1732
respective amounts needed therefor in accordance with section 1733
118.03 of the Revised Code, including the deductions or offsets 1734
therein provided, for determining that a fiscal emergency 1735
condition exists, and by eliminating any duplication of amounts 1736
thereunder. The respective amounts needed to achieve such 1737
objectives and the resulting aggregate net amount shall be1738
determined initially by a certification of the fiscal officer as1739
and to the extent approved by the financial supervisor. The1740
principal amount of such notes shall not exceed the aggregate net1741
amount needed for such purposes. The aggregate amount of all1742
issues of such notes shall not exceed three times the average of1743
the allocation or apportionment to the municipal corporation, 1744
county, or township of moneys from the local government1745
communities fund in each of the three fiscal years preceding the 1746
fiscal year in which the notes are issued.1747

       (E) The proceeds of the sale of local governmentcommunities1748
fund notes shall be appropriated by the municipal corporation, 1749
county, or township for and shall be applied only to the purposes, 1750
and in the respective amounts for those purposes, set forth in the 1751
certification given pursuant to division (D) of this section, as 1752
the purposes and amounts may be modified in the approval by the 1753
commission provided for in this section. The proceeds shall be 1754
deposited in separate accounts with a fiscal agent designated in 1755
the resolution referred to in division (F) of this section and 1756
released only for such respective purposes in accordance with the 1757
procedures set forth in division (D) of section 118.20 of the 1758
Revised Code. Any amounts not needed for such purposes shall be 1759
deposited with the fiscal agent designated to receive deposits for 1760
payment of the principal of and interest due on the notes.1761

       (F) An application for approval by the financial planning and 1762
supervision commission of an issue of local governmentcommunities1763
fund notes shall be authorized by a preliminary resolution adopted 1764
by the legislative authority. The resolution may authorize the1765
application as a part of the initial submission of the financial1766
plan for approval or as a part of any proposed amendment to an1767
approved financial plan or at any time after the approval of a1768
financial plan, or amendment to a financial plan, that proposes1769
the issue of such notes. The preliminary resolution shall1770
designate a fiscal agent for the deposit of the proceeds of the1771
sale of the notes, and shall contain a covenant of the municipal 1772
corporation, county, or township to comply with this chapter and 1773
the financial plan.1774

       The commission shall review and evaluate the application and 1775
supporting certification and financial supervisor action, and1776
shall thereupon certify its approval or disapproval, or1777
modification and approval, of the application.1778

       The commission shall certify the amounts, maturities,1779
interest rates, and terms of issue of the local government1780
communities fund notes approved by the commission and the purposes 1781
to which the proceeds of the sale of the notes will be applied in 1782
respective amounts.1783

       The commission shall certify a copy of its approval, of the1784
preliminary resolution, and of the related certification and1785
action of the financial supervisor to the fiscal officer, the1786
financial supervisor, the county budget commission, the county1787
auditor, the county treasurer, and the fiscal agent designated to1788
receive and disburse the proceeds of the sale of the notes.1789

       (G) Upon the sale of any local governmentcommunities fund 1790
notes issued under this section, the commission shall determine a1791
schedule for the deposit of local governmentcommunities fund 1792
distributions that are pledged for the payment of the principal of 1793
and interest on the notes with the fiscal agent or trustee 1794
designated in the agreement between the municipal corporation, 1795
county, or township and the holders of the notes to receive and 1796
disburse the distributions. The amounts to be deposited shall be 1797
adequate to provide for the payment of principal and interest on 1798
the notes when due and to pay all other proper charges, costs, or 1799
expenses pertaining thereto.1800

       The amount of the local governmentcommunities fund moneys 1801
apportioned to the municipal corporation, county, or township that 1802
is to be so deposited in each year shall not be included in the 1803
tax budget and appropriation measures of the municipal 1804
corporation, county, or township, or in certificates of estimated 1805
revenues, for that year.1806

       The commission shall certify the schedule to the officers1807
designated in division (F) of this section.1808

       (H) Deposit of amounts with the fiscal agent or trustee1809
pursuant to the schedule determined by the commission shall be1810
made from local governmentcommunities fund distributions to or 1811
apportioned to the municipal corporation, county, or township as 1812
provided in this division. The apportionment of local government1813
communities fund moneys to the municipal corporation, county, or 1814
township for any year from the undivided local government1815
communities fund shall be determined as to the municipal 1816
corporation, county, or township without regard to the amounts to 1817
be deposited with the fiscal agent or trustee in that year in1818
accordance with division (G) of this section. After the amount of 1819
the undivided local governmentcommunities fund apportioned to the1820
municipal corporation, county, or township for a calendar year is 1821
determined, the county auditor and the county treasurer shall 1822
withhold from each monthly amount to be distributed to the 1823
municipal corporation, county, or township from the undivided1824
local governmentcommunities fund, and transmit to the fiscal 1825
agent or trustee for deposit, one-twelfth of the amount scheduled 1826
for deposit in that year pursuant to division (G) of this section.1827

       (I) If the commission approves the application, the municipal 1828
corporation, county, or township may proceed with the issuance of 1829
the notes as approved by the commission.1830

       All notes issued under authority of this section are lawful1831
investments for the entities enumerated in division (A)(1) of1832
section 133.03 of the Revised Code and are eligible as security1833
for the repayment of the deposit of public moneys.1834

       Upon the issuance of any notes under this section, the fiscal 1835
officer of the municipal corporation, county, or township shall 1836
certify the fact of the issuance to the county auditor and shall 1837
also certify to the county auditor the last calendar year in which 1838
any of the notes are scheduled to mature.1839

       (J) After the legislative authority of the municipal1840
corporation, county, or township has passed an ordinance or 1841
resolution authorizing the issuance of local government1842
communities fund notes and subsequent to the commission's1843
preliminary or final approval of the ordinance or resolution, the 1844
director of law, prosecuting attorney, or other chief legal 1845
officer of the municipal corporation, county, or township shall1846
certify a sample of the form and content of a note to be used to1847
issue the local governmentcommunities fund notes to the 1848
commission. The commission shall determine whether the sample note 1849
is consistent with this section and the ordinance or resolution 1850
authorizing the issuance of the local governmentcommunities fund 1851
notes, and if the sample note is found to be consistent with this 1852
section and the ordinance, the commission shall approve the sample 1853
note for use by the municipal corporation, county, or township. 1854
The form and content of the notes to be used by the municipal 1855
corporation, county, or township in issuing the local government1856
communities fund notes may be modified at any time subsequent to 1857
the commission's approval of the sample note upon the approval of 1858
the commission and the director of law, prosecuting attorney, or 1859
other chief legal officer of the municipal corporation, county, or 1860
township. The failure of the director of law, prosecuting 1861
attorney, or other chief legal officer of the municipal 1862
corporation, county, or township to make the certification 1863
required by this division shall not subject that legal officer to 1864
removal pursuant to the Revised Code or the charter of a municipal 1865
corporation. If the director of law, prosecuting attorney, or1866
other chief legal officer fails or refuses to make the1867
certification required by this division, or if any officer of the1868
municipal corporation, county, or township fails or refuses to 1869
take any action required by this section or the ordinance or 1870
resolution authorizing the issuance or sale of local government1871
communities fund notes, the mayor of the municipal corporation or 1872
the board of county commissioners or board of township trustees 1873
may cause the commencement of a mandamus action in the supreme 1874
court against the director of law, prosecuting attorney, or other 1875
chief legal officer to secure the certification required by this 1876
division or other action required by this section or the ordinance 1877
or resolution. If an adjudication of the matters that could be 1878
adjudicated in validation proceedings under section 133.70 of the 1879
Revised Code is necessary to a determination of the mandamus 1880
action, the mayor, the board of county commissioners, or the board 1881
of township trustees or the mayor's or board's legal counsel shall 1882
name and cause to be served as defendants to the mandamus action 1883
all of the following:1884

       (1) The director of law, prosecuting attorney, or other chief 1885
legal officer, or other official of the municipal corporation, 1886
county, or township, whose failure or refusal to act necessitated 1887
the action;1888

       (2) The municipal corporation, through its mayor, or the 1889
board of county commissioners or board of township trustees;1890

       (3) The financial planning and supervision commission,1891
through its chairperson;1892

       (4) The prosecuting attorney and auditor of each county in1893
which the municipal corporation, county, or township is located, 1894
in whole or in part;1895

       (5) The auditor of state;1896

       (6) The property owners, taxpayers, citizens of the municipal 1897
corporation, county, or township and others having or claiming any 1898
right, title, or interest in any property or funds to be affected 1899
by the issuance of the local governmentcommunities fund notes by 1900
the municipal corporation, county, or township, or otherwise 1901
affected in any way thereby.1902

       Service upon all defendants described in division (J)(6) of1903
this section shall be by publication three times, with at least1904
six days between each publication, in a newspaper of general1905
circulation in Franklin county and a newspaper of general1906
circulation in the county or counties where the municipal 1907
corporation, county, or township is located. The publication and 1908
the notice shall indicate that the nature of the action is in 1909
mandamus, the name of the parties to the action, and that the 1910
action may result in the validation of the subject local 1911
governmentcommunities fund notes. Authorization to commence such 1912
an action by the legislative authority of the municipal 1913
corporation, county, or township is not required.1914

       A copy of the complaint in the mandamus action shall be1915
served personally or by certified mail upon the attorney general. 1916
If the attorney general has reason to believe that the complaint1917
is defective, insufficient, or untrue, or if in the attorney1918
general's opinion the issuance of the local governmentcommunities1919
fund notes is not lawful or has not been duly authorized, defense 1920
shall be made to the complaint as the attorney general considers 1921
proper.1922

       (K) The action in mandamus authorized by division (J) of this 1923
section shall take priority over all other civil cases pending in 1924
the court, except habeas corpus, and shall be determined with the 1925
least possible delay. The supreme court may determine that the 1926
local governmentcommunities fund notes will be consistent with 1927
the purpose and effects, including not occupying the indirect debt 1928
limit, provided for in this section and will be validly issued and 1929
acquired. Such a determination shall include a finding of 1930
validation of the subject local governmentcommunities fund notes 1931
if the court specifically finds that:1932

       (1) The complaint in mandamus, or subsequent pleadings,1933
include appropriate allegations required by division (C) of1934
section 133.70 of the Revised Code, and that the proceeding is in1935
lieu of an action to validate under section 133.70 of the Revised1936
Code;1937

       (2) All parties described in divisions (J)(1) to (6) of this 1938
section have been duly served with notice or are otherwise1939
properly before the court;1940

       (3) Notice of the action has been published as required by1941
division (J) of this section;1942

       (4) The effect of validation is required to provide a1943
complete review and determination of the controversy in mandamus,1944
and to avoid duplication of litigation, danger of inconsistent1945
results, or inordinate delay in light of the fiscal emergency, or 1946
that a disposition in the mandamus action would, as a practical 1947
matter, be dispositive of any subsequent validation proceedings 1948
under section 133.70 of the Revised Code.1949

       (L) Any decision that includes a finding of validation has1950
the same effect as a validation order established by an action1951
under section 133.70 of the Revised Code.1952

       (M) Divisions (J) and (K) of this section do not prevent a1953
municipal corporation, county, or township from using section 1954
133.70 of the Revised Code to validate local government1955
communities fund notes by the filing of a petition for validation 1956
in the court of common pleas of the county in which the municipal 1957
corporation, county, or township is located, in whole or in part.1958

       (N) It is hereby determined by the general assembly that a1959
validation action authorized by section 133.70 of the Revised Code 1960
is not an adequate remedy at law with respect to a municipal 1961
corporation, county, or township that is a party to a mandamus 1962
action pursuant to divisions (J) and (K) of this section and in 1963
which a fiscal emergency condition has been determined to exist 1964
pursuant to section 118.04 of the Revised Code because of, but not 1965
limited to, the following reasons:1966

       (1) It is urgently necessary for such a municipal1967
corporation, county, or township to take prompt action to issue 1968
local governmentcommunities fund notes for the purposes provided 1969
in division (C) of this section;1970

       (2) The potentially ruinous effect upon the fiscal condition 1971
of a municipal corporation, county, or township by the passage of 1972
the time required to adjudicate such a separate validation action 1973
and any appeals thereof;1974

       (3) The reasons stated in division (K)(4) of this section.1975

       Sec. 118.20.  Pursuant to section 118.19 of the Revised Code:1976

       (A) The ordinance or resolution authorizing the debt 1977
obligations may provide for the pledge of, and covenants to levy, 1978
charge, collect, deposit, and apply ad valorem property taxes, 1979
income taxes, excises, utility revenues, local government1980
communities fund receipts, permit and license fees, and any other 1981
receipts from taxes, permits, licenses, fines, or other sources of 1982
revenue of the municipal corporation, county, or township; accrued1983
and capitalized interest and premium from the proceeds of the sale 1984
of the debt obligations, lawfully available for the purpose, to 1985
the payment of the debt service and costs of issuing, carrying, 1986
redeeming, and retiring such debt obligations; covenants in 1987
respect of the establishment, investment, segregation, and 1988
maintenance of any funds or reserves in connection with the debt 1989
obligations and any other funds of the municipal corporation, 1990
county, or township. No pledge may be made in a manner which1991
impairs the contract rights of the holders of any outstanding debt 1992
obligations.1993

       (B) The ordinance or resolution authorizing the debt 1994
obligations may designate a fiscal agent for the debt obligations, 1995
or the fiscal agent may be designated by other ordinance or 1996
resolution of the legislative authority of the municipal 1997
corporation, county, or township. The fiscal agent may be a 1998
purchaser of such debt obligations or other debt obligations of 1999
the municipal corporation, county, or township.2000

       (C) The ordinance or resolution authorizing the debt 2001
obligations may provide for immediate or periodic deposit of 2002
pledged receipts or a portion thereof in one or more separate bank 2003
accounts, funds, or other accounts established with the fiscal 2004
agent. Provision may be made therein for pledged receipts that are 2005
collected by the state, the county, the township, or any agency 2006
for the municipal corporation, county, or township to be2007
transferred by the appropriate officer of the state or county or2008
agency having charge of the collection or distribution of such2009
pledged receipts directly to the fiscal agent for deposit under2010
the ordinance or resolution. Such officers of the state and county 2011
or agent shall transfer such pledged receipts in accordance with 2012
this section and the ordinance. The fiscal agent shall disburse 2013
funds so held for payments when due in accordance with the 2014
ordinance or resolution, including the transfer of funds to paying 2015
agents for the debt obligations at the times and in the amounts 2016
required. Until needed for such purposes, the fiscal agent shall 2017
invest the funds on behalf of the municipal corporation, county, 2018
or township in obligations that are lawful for the investment of 2019
public funds of the municipal corporation, county, or township, 2020
including provisions for such investments in a municipal charter, 2021
in the manner provided for in the ordinance or resolution. Funds 2022
held by the fiscal agent and all moneys and securities therein and 2023
pledged receipts payable thereto in accordance with the ordinance 2024
or resolution are hereby declared to be property of the municipal 2025
corporation, county, or township devoted to essential governmental 2026
purposes and accordingly shall not be applied to any purpose other 2027
than as provided herein and shall not be subject to any order, 2028
judgment, lien, execution, attachment, setoff, or counterclaim by 2029
any creditor of the municipal corporation, county, or township 2030
other than a creditor for whose benefit such fund is established 2031
and maintained and who is entitled thereto under and pursuant to 2032
this section.2033

       (D) The ordinance or resolution authorizing the debt 2034
obligations shall provide that proceeds of the debt obligations 2035
shall be deposited with a fiscal agent in a special and separate 2036
bank account and held in trust and expended only for the object or 2037
purpose for which such debt obligations were issued. A copy of the 2038
ordinance or resolution authorizing the debt obligations shall be 2039
filed with such fiscal agent at or prior to the time the proceeds 2040
are made available to the municipal corporation, county, or 2041
township. No moneys shall be withdrawn from such account unless 2042
there is filed with such fiscal agent a written requisition of the 2043
fiscal officer of the municipal corporation, county, or township 2044
or the fiscal officer's authorized deputy, setting forth the item 2045
number of the requisition or the account to be charged, the name 2046
of the person to whom payment is due, the amount to be paid, a 2047
statement to the effect that the obligation in the stated amount 2048
has been incurred by the municipal corporation, county, or2049
township and is a proper charge against such account, and such 2050
other information as may be required by the ordinance or2051
resolution. Pending such withdrawals, the moneys shall be 2052
invested for and on behalf of the municipal corporation, county, 2053
or township by the fiscal agent in obligations which are lawful 2054
for the investment of public funds of the municipal corporation, 2055
county, or township, including provisions for such investments in 2056
a municipal charter, in the manner as provided for in the2057
ordinance or resolution.2058

       (E) Amounts held by fiscal agents shall be accounted for in 2059
the appropriate special funds of the municipal corporation, 2060
county, or township as if held in the treasury of the municipal 2061
corporation, county, or township, and the fiscal agents shall2062
provide such information to the municipal corporation, county, or 2063
township as is necessary for the purpose.2064

       (F) The ordinance or resolution authorizing the debt 2065
obligations may contain covenants of the municipal corporation, 2066
county, or township to protect and safeguard the security and 2067
rights of the holders of such debt obligations, and without 2068
limiting the generality of the foregoing, such ordinance or 2069
resolution may contain covenants as to:2070

       (1) Establishment and maintenance of the funds to be held by 2071
fiscal agents as provided in this section and section 118.23 of 2072
the Revised Code, the times, amounts, and levels for deposits to 2073
such funds, and the obligations in which the proceeds of such2074
funds may be invested pending their use, subject to such2075
limitations on investment of public funds otherwise provided for2076
by law or pursuant to the charter of a municipal corporation;2077

       (2) The appointment, rights, powers, and duties of the fiscal 2078
agent, including limiting or abrogating the right of the holders 2079
to appoint a trustee pursuant to section 118.21 of the Revised 2080
Code and vesting in the fiscal agent all or any of such rights, 2081
powers, and duties, in trust;2082

       (3) The execution of a credit agreement with the fiscal agent 2083
for the benefit of holders of such debt obligations and for the 2084
benefit of any other holders of other debt obligations of the2085
municipal corporation, county, or township then outstanding, 2086
provided, however, that such benefit conferred on such holders of 2087
such outstanding debt obligations shall not be deemed to restrict, 2088
preclude, or otherwise impair any rights that such holders 2089
otherwise may assert;2090

       (4) Filings, review, and correction of tax budgets,2091
appropriation measures, annual reports, audits, and other matters2092
of financial record;2093

       (5) Compliance with the provisions of this chapter and the2094
financial plan and other laws applicable to the municipal 2095
corporation, county, or township including Chapters 133. and 5705. 2096
of the Revised Code, and with further restrictions on the powers, 2097
rights, and duties of the municipal corporation, county, or 2098
township necessary, appropriate, or desirable for the proper,2099
provident, and efficient management of financial affairs that the2100
municipal corporation, county, or township, with the approval of 2101
the commission or, when authorized by the commission, the 2102
financial supervisor, determines will assure prompt payment when 2103
due of its debt obligations;2104

       (6) Conditions that would give rise to an event of default2105
under the terms of such ordinance and actions and remedies that2106
the fiscal agent may take or assert on behalf of the holders of2107
such debt obligations;2108

       (7) Restrictions on the issuance of other debt obligations.2109

       Sec. 118.23.  (A) This section shall be applicable to current 2110
revenue notes approved by the financial planning and supervision 2111
commission or, when authorized by the commission, the financial 2112
supervisor pursuant to section 118.15 of the Revised Code and 2113
issued by a municipal corporation, county, or township pursuant to 2114
section 133.10 of the Revised Code and this section during a 2115
fiscal emergency period.2116

       (B) In the case of the issuance of such current revenue notes 2117
in anticipation of ad valorem property taxes, the county auditors 2118
of the counties in which the municipal corporation, county, or 2119
township is located, at the time of and from each distribution to 2120
the municipality of the proceeds of the anticipated taxes, 2121
including any payments from the state pursuant to sections 321.24 2122
and 323.156 of the Revised Code, whether such distribution be in 2123
the form of an advance or settlement that would otherwise have 2124
been paid to a fund or funds of the municipal corporation, county, 2125
or township, shall draw a separate warrant for payment to the 2126
county auditor for deposit in a special account to be held and 2127
applied pursuant to this section by the county auditor as fiscal 2128
agent and entitled "....... (insert name of municipal corporation, 2129
county, or township) current tax revenue note retirement account," 2130
that portion of such distribution as provided for in the ordinance 2131
or resolution authorizing such notes pursuant to this section.2132

       (C) In the case of the issuance of such current revenue notes 2133
in anticipation of revenues other than ad valorem property taxes, 2134
the ordinance or resolution authorizing such notes shall provide 2135
for the times and amounts of deposits with the fiscal agent by the2136
municipal corporation, county, or township of moneys from the 2137
revenues anticipated that shall be deposited in a special account 2138
to be held and applied by the fiscal agent pursuant to this 2139
section and entitled ".......... (insert name of municipal 2140
corporation, county, or township) current revenue note retirement2141
account." Such ordinance or resolution may provide for the direct 2142
deposit to such account by the auditor of state and the county 2143
auditor or county auditors of the receiving counties, as 2144
appropriate, of such portions as therein specified of local 2145
governmentcommunities fund distribution to be made to the 2146
municipal corporation, county, or township.2147

       (D) The moneys in the accounts provided for in divisions (B) 2148
and (C) of this section are pledged and shall be used, so long as 2149
any portion of the debt service on such notes payable from the 2150
respective account is unpaid, solely for the purpose of paying 2151
such debt service, and for any reserves for debt service provided 2152
for in the ordinance or resolution authorizing such debt2153
obligations. If accumulated payments into either account produce 2154
an amount less than that needed to make a timely payment of debt 2155
service or to such reserves, the full amount needed to make up any 2156
such deficiency shall be paid, in the case of the current tax 2157
revenue note retirement account, by the county auditor into such 2158
account from the last distribution or distributions to the2159
municipal corporation, county, or township of the proceeds of the 2160
anticipated taxes to be received prior to the date of such 2161
payment, and in the case of the current revenue note retirement 2162
account, by the fiscal officer from the anticipated revenues 2163
received prior to the date of such payment.2164

       (E) The amounts to be deposited in each respective account2165
pursuant to divisions (B), (C), and (D) of this section must be2166
sufficient, in time and amount, to pay the principal of and2167
interest on current notes payable from such account at their2168
stated payment dates and to develop and maintain the required2169
amounts in any such reserves.2170

       (F) The municipal corporation, county, or township shall not 2171
be entitled to receive from the fiscal agent any moneys held in 2172
the current tax revenue note retirement account or current revenue 2173
note retirement account, except that any surplus moneys remaining 2174
in either such account after the payment in full of the debt 2175
service on the notes payable therefrom shall be paid to the 2176
municipal corporation, county, or township, to be used for any 2177
lawful purpose of the municipal corporation, county, or township 2178
for which the anticipated revenues themselves might have been 2179
used.2180

       (G) Current revenue notes of a municipal corporation, county, 2181
or township issued during a fiscal emergency period may mature on 2182
or before the thirty-first day of December of the calendar year in 2183
which issued, may, when issued in anticipation of the collection 2184
of current tax revenues, anticipate one-half of the amount that 2185
the budget commission estimates the subdivision will receive from 2186
all property taxes that are to be distributed to the subdivision 2187
from all settlements of taxes that are to be made in the remainder 2188
of that year, other than taxes to be received for the payment of2189
debt charges, and less all advances, and may, if issued during the 2190
last two months of the calendar year in which the fiscal emergency 2191
period commenced, anticipate one-half the estimated amount of ad 2192
valorem property taxes levied in that year for the tax budget of 2193
the following year which were authorized to be levied by the 2194
municipal charter or otherwise authorized by vote of the 2195
electorate of the municipal corporation, county, or township and 2196
may mature not later than the thirty-first day of December of the 2197
year following the year in which such notes are issued, 2198
notwithstanding section 133.10 of the Revised Code.2199

       (H) Pursuant to section 118.19 of the Revised Code, the2200
municipal corporation, county, or township may utilize any of the 2201
special provisions of sections 118.20 to 118.22 of the Revised 2202
Code in connection with such current revenue notes.2203

       (I) Before any such current revenue notes may be authorized, 2204
the municipal corporation, county, or township shall submit to the 2205
commission and the commission or, when authorized by the 2206
commission, the financial supervisor shall approve:2207

       (1) A schedule of projected revenues and expenses of the2208
municipal corporation, county, or township during the period in 2209
which such notes would be outstanding, demonstrating an 2210
anticipated cash flow deficit during such period, the amount of 2211
such anticipated cash flow deficit, and the necessity for the 2212
issuance of such current revenue notes to avoid the occurrence of 2213
such a cash flow deficit;2214

       (2) The terms of the proposed notes, including the interest 2215
rate or rates to be paid thereon;2216

       (3) The schedule, showing times, amounts, and sources of2217
payment, for deposits into the account from which such notes are2218
to be paid;2219

       (4) Other documents and data required under section 118.15 of 2220
the Revised Code.2221

       Sec. 119.07.  Except when a statute prescribes a notice and2222
the persons to whom it shall be given, in all cases in which2223
section 119.06 of the Revised Code requires an agency to afford an 2224
opportunity for a hearing prior to the issuance of an order, the 2225
agency shall give notice to the party informing himthe party of 2226
histhe party's right to a hearing. Notice shall be given by 2227
registered or certified mail, return receipt requested, and shall 2228
include the charges or other reasons for the proposed action, the 2229
law or rule directly involved, and a statement informing the party 2230
that hethe party is entitled to a hearing if hethe party2231
requests it within thirty days of the time of mailing the notice. 2232
The notice shall also inform the party that at the hearing hethe 2233
party may appear in person, by histhe party's attorney, or by2234
such other representative as is permitted to practice before the2235
agency, or may present histhe party's position, arguments, or2236
contentions in writing and that at the hearing hethe party may 2237
present evidence and examine witnesses appearing for and against 2238
himthe party. A copy of the notice shall be mailed to attorneys 2239
or other representatives of record representing the party. This 2240
paragraph does not apply to situations in which such section 2241
provides for a hearing only when it is requested by the party.2242

       When a statute specifically permits the suspension of a2243
license without a prior hearing, notice of the agency's order2244
shall be sent to the party by registered or certified mail, return 2245
receipt requested, not later than the business day next succeeding 2246
such order. The notice shall state the reasons for the agency's2247
action, cite the law or rule directly involved, and state that the 2248
party will be afforded a hearing if hethe party requests it2249
within thirty days of the time of mailing the notice. A copy of 2250
the notice shall be mailed to attorneys or other representatives 2251
of record representing the party.2252

       Whenever a party requests a hearing in accordance with this2253
section and section 119.06 of the Revised Code, the agency shall2254
immediately set the date, time, and place for the hearing and2255
forthwith notify the party thereof. The date set for the hearing2256
shall be within fifteen days, but not earlier than seven days,2257
after the party has requested a hearing, unless otherwise agreed2258
to by both the agency and the party.2259

       When any notice sent by registered or certified mail, as 2260
required by sections 119.01 to 119.13 of the Revised Code, is 2261
returned because of failure of delivery the agency shall send the 2262
notice by ordinary mail to the party at the party's last known 2263
address and shall obtain a certificate of mailing. Service by 2264
ordinary mail is complete when the certificate of mailing is 2265
obtained. If a notice sent by ordinary mail is returned showing 2266
failure of delivery, the agency shall notify the attorneys or 2267
other representatives of record representing the party of the 2268
failure of delivery and serve a copy of the notice upon them, by 2269
ordinary or registered or certified mail; if ordinary mail is 2270
used, the agency shall obtain a certificate of mailing. Service 2271
upon the attorneys or other representatives of record is complete 2272
when the notice is mailed. If there are no attorneys or other 2273
representatives of record representing the party, the agency 2274
either shall make personal delivery of the notice by an employee 2275
or agent of the agency or shall cause a summary of the substantive 2276
provisions of the notice to be published once a week for three2277
consecutive weeks in a newspaper of general circulation in the2278
county where the last known place of residence or businessaddress2279
of the party is located. When notice is given by publication, a 2280
copy of the newspapera proof of publication affidavit, with the 2281
first publication of the notice markedset forth in the affidavit,2282
shall be mailed by ordinary mail to the party at the party's last 2283
known address and the notice shall be deemed received as of the 2284
date of the last publication. An employee or agent of the agency 2285
may make personal delivery of the notice upon a party at any time.2286

       Refusal of delivery by personal service or by mail is not 2287
failure of delivery. Failure of delivery occurs only when, with 2288
reasonable diligence, a party cannot be found to make personal 2289
service of a notice, or if a mailed notice is returned by the 2290
postal authorities marked undeliverable, addressee unknown, or 2291
forwarding address unknown or expired. A party's last known 2292
address is the mailing address of the party appearing in the 2293
records of the agency.2294

       The failure of an agency to give the notices for any hearing 2295
required by sections 119.01 to 119.13 of the Revised Code in the 2296
manner provided in this section shall invalidate any order entered 2297
pursuant to the hearing.2298

       Sec. 120.33.  (A) In lieu of using a county public defender2299
or joint county public defender to represent indigent persons in2300
the proceedings set forth in division (A) of section 120.16 of the2301
Revised Code, the board of county commissioners of any county may2302
adopt a resolution to pay counsel who are either personally2303
selected by the indigent person or appointed by the court. The2304
resolution shall include those provisions the board of county2305
commissioners considers necessary to provide effective2306
representation of indigent persons in any proceeding for which2307
counsel is provided under this section. The resolution shall2308
include provisions for contracts with any municipal corporation2309
under which the municipal corporation shall reimburse the county2310
for counsel appointed to represent indigent persons charged with2311
violations of the ordinances of the municipal corporation.2312

       (1) In a county that adopts a resolution to pay counsel, an2313
indigent person shall have the right to do either of the2314
following:2315

       (a) To select the person's own personal counsel to represent2316
the person in any proceeding included within the provisions of the2317
resolution;2318

       (b) To request the court to appoint counsel to represent the2319
person in such a proceeding.2320

       (2) The court having jurisdiction over the proceeding in a2321
county that adopts a resolution to pay counsel shall, after2322
determining that the person is indigent and entitled to legal2323
representation under this section, do either of the following:2324

       (a) By signed journal entry recorded on its docket, enter the 2325
name of the lawyer selected by the indigent person as counsel of 2326
record;2327

       (b) Appoint counsel for the indigent person if the person has 2328
requested the court to appoint counsel and, by signed journal2329
entry recorded on its dockets, enter the name of the lawyer2330
appointed for the indigent person as counsel of record.2331

       (3) The board of county commissioners shall establish a2332
schedule of fees by case or on an hourly basis to be paid to2333
counsel for legal services provided pursuant to a resolution2334
adopted under this section. Prior to establishing the schedule,2335
the board of county commissioners shall request the bar2336
association or associations of the county to submit a proposed2337
schedule. The schedule submitted shall be subject to the review,2338
amendment, and approval of the board of county commissioners.2339

       (4) Counsel selected by the indigent person or appointed by2340
the court at the request of an indigent person in a county that2341
adopts a resolution to pay counsel, except for counsel appointed2342
to represent a person charged with any violation of an ordinance2343
of a municipal corporation that has not contracted with the county2344
commissioners for the payment of appointed counsel, shall be paid2345
by the county and shall receive the compensation and expenses the2346
court approves. Each request for payment shall be accompanied by a 2347
financial disclosure form and an affidavit of indigency that are2348
completed by the indigent person on forms prescribed by the state2349
public defender. Compensation and expenses shall not exceed the2350
amounts fixed by the board of county commissioners in the schedule2351
adopted pursuant to division (A)(3) of this section. No court2352
shall approve compensation and expenses that exceed the amount2353
fixed pursuant to division (A)(3) of this section.2354

       The fees and expenses approved by the court shall not be2355
taxed as part of the costs and shall be paid by the county.2356
However, if the person represented has, or may reasonably be2357
expected to have, the means to meet some part of the cost of the2358
services rendered to the person, the person shall pay the county2359
an amount that the person reasonably can be expected to pay. 2360
Pursuant to section 120.04 of the Revised Code, the county shall2361
pay to the state public defender a percentage of the payment2362
received from the person in an amount proportionate to the2363
percentage of the costs of the person's case that were paid to the2364
county by the state public defender pursuant to this section. The2365
money paid to the state public defender shall be credited to the2366
client payment fund created pursuant to division (B)(5) of section2367
120.04 of the Revised Code.2368

       The county auditor shall draw a warrant on the county2369
treasurer for the payment of counsel in the amount fixed by the2370
court, plus the expenses the court fixes and certifies to the2371
auditor. The county auditor shall report periodically, but not2372
less than annually, to the board of county commissioners and to2373
the Ohiostate public defender commission the amounts paid out 2374
pursuant to the approval of the court. The board of county 2375
commissioners, after review and approval of the auditor's report, 2376
or the county auditor, with permission from and notice to the 2377
board of county commissioners, may then certify it to the state 2378
public defender for reimbursement. If a request for reimbursement 2379
is not accompanied by a financial disclosure form and an affidavit 2380
of indigency completed by the indigent person on forms prescribed 2381
by the state public defender and the court does not certify by 2382
electronic signature as prescribed by the state public defender 2383
that a financial disclosure form and affidavit of indigency have 2384
been completed by the indigent person and are available for 2385
inspection, the state public defender shall not pay the requested2386
reimbursement. If a request for the reimbursement of the cost of2387
counsel in any case is not received by the state public defender2388
within ninety days after the end of the calendar month in which2389
the case is finally disposed of by the court, unless the county2390
has requested and the state public defender has granted an2391
extension of the ninety-day limit, the state public defender shall2392
not pay the requested reimbursement. The state public defender2393
shall also review the report and, in accordance with the2394
standards, guidelines, and maximums established pursuant to2395
divisions (B)(7) and (8) of section 120.04 of the Revised Code,2396
prepare a voucher for fifty per cent of the total cost of each2397
county appointed counsel system in the period of time covered by2398
the certified report and a voucher for fifty per cent of the costs2399
and expenses that are reimbursable under section 120.35 of the2400
Revised Code, if any, or, if the amount of money appropriated by2401
the general assembly to reimburse counties for the operation of2402
county public defender offices, joint county public defender2403
offices, and county appointed counsel systems is not sufficient to2404
pay fifty per cent of the total cost of all of the offices and2405
systems other than costs and expenses that are reimbursable under2406
section 120.35 of the Revised Code, for the lesser amount required2407
by section 120.34 of the Revised Code.2408

       (5) If any county appointed counsel system fails to maintain2409
the standards for the conduct of the system established by the2410
rules of the Ohio public defender commission pursuant to divisions2411
(B) and (C) of section 120.03 or the standards established by the2412
state public defender pursuant to division (B)(7) of section2413
120.04 of the Revised Code, the Ohio public defender commission2414
shall notify the board of county commissioners of the county that2415
the county appointed counsel system has failed to comply with its2416
rules or the standards of the state public defender. Unless the2417
board of county commissioners corrects the conduct of its2418
appointed counsel system to comply with the rules and standards2419
within ninety days after the date of the notice, the state public2420
defender may deny all or part of the county's reimbursement from2421
the state provided for in division (A)(4) of this section.2422

       (B) In lieu of using a county public defender or joint county 2423
public defender to represent indigent persons in the proceedings 2424
set forth in division (A) of section 120.16 of the Revised Code, 2425
and in lieu of adopting the resolution and following the procedure 2426
described in division (A) of this section, the board of county 2427
commissioners of any county may contract with the state public 2428
defender for the state public defender's legal representation of 2429
indigent persons. A contract entered into pursuant to this 2430
division may provide for payment for the services provided on a 2431
per case, hourly, or fixed contract basis.2432

       (C) If a court appoints an attorney pursuant to this section2433
to represent a petitioner in a postconviction relief proceeding2434
under section 2953.21 of the Revised Code, the petitioner has2435
received a sentence of death, and the proceeding relates to that2436
sentence, the attorney who represents the petitioner in the2437
proceeding pursuant to the appointment shall be certified under2438
Rule 20 of the Rules of Superintendence for the Courts of Ohio to 2439
represent indigent defendants charged with or convicted of an2440
offense for which the death penalty can be or has been imposed.2441

       Sec.  122.051.  There is hereby created in the state treasury 2442
the international trade cooperative projects fund. The fund shall 2443
consist of moneys received from private and nonprofit 2444
organizations involved in cooperative agreements related to 2445
import/export and direct foreign investment activities and cash 2446
transfers from other state agencies or any state or local 2447
government to encourage, promote, and assist trade and commerce 2448
between this state and foreign nations, pursuant to section 122.05 2449
and division (E) of section 122.04 of the Revised Code.2450

       Sec. 122.071. There is hereby created in the state treasury 2451
the travel and tourism cooperative projects fund consisting of all 2452
grants, gifts, and contributions made to the director of 2453
development for marketing and promotion of travel and tourism 2454
within this state pursuant to division (F) of section 122.04 and 2455
section 122.07 of the Revised Code.2456

       Sec. 122.076. There is hereby created in the state treasury 2457
the energy projects fund consisting of nonfederal revenue that is 2458
remitted to the director of development for the purpose of energy 2459
projects. Money in the fund shall be used by the department of 2460
development for energy projects and to pay the costs incurred in 2461
administering the energy projects.2462

       Sec. 122.17.  (A) As used in this section:2463

       (1) "Full-time employee" means an individual who is employed 2464
for consideration for at least an average of thirty-five hours a 2465
week or who renders any other standard of service generally 2466
accepted by custom or specified by contract as full-time 2467
employment, or who is employed for consideration for such time or 2468
renders such service but is on active duty reserve or Ohio 2469
national guard service.2470

       (2) "New employee" means one of the following:2471

       (a) A full-time employee first employed by a taxpayer in the 2472
project that is the subject of the agreement after the taxpayer 2473
enters into a tax credit agreement with the tax credit authority 2474
under this section;2475

       (b) A full-time employee first employed by a taxpayer in the 2476
project that is the subject of the tax credit after the tax credit 2477
authority approves a project for a tax credit under this section 2478
in a public meeting, as long as the taxpayer enters into the tax 2479
credit agreement prepared by the department of development after 2480
such meeting within sixty days after receiving the agreement from 2481
the department. If the taxpayer fails to enter into the agreement 2482
within sixty days, "new employee" has the same meaning as under 2483
division (A)(2)(a) of this section. A full-time employee may be 2484
considered a "new employee" of a taxpayer, despite previously 2485
having been employed by a related member of the taxpayer, if all 2486
of the following apply:2487

       (i) The related member is a party to the tax credit agreement 2488
at the time the employee is first employed with the taxpayer;2489

       (ii) The related member will remain subject to the tax 2490
imposed by section 5725.18, 5729.03, 5733.06, or 5747.02 or levied 2491
under Chapter 5751. of the Revised Code for the remainder of the 2492
term of the tax credit, and the tax credit is taken against 2493
liability for that same tax through the remainder of the term of 2494
the tax credit; and2495

       (iii) The employee was considered a new employee of the 2496
related member prior to employment with the taxpayer.2497

       Under division (A)(2)(a) or (b) of this section, if the tax2498
credit authority determines it appropriate, "new employee" also2499
may include an employee re-hired or called back from lay-off to2500
work in a new facility or on a new product or service established2501
or produced by the taxpayer after entering into the agreement2502
under this section or after the tax credit authority approves the2503
tax credit in a public meeting. Except as otherwise provided in 2504
this paragraph, "new employee" does not include any employee of 2505
the taxpayer who was previously employed in this state by a 2506
related member of the taxpayer and whose employment was shifted to 2507
the taxpayer after the taxpayer entered into the tax credit 2508
agreement or after the tax credit authority approved the credit in 2509
a public meeting, or any employee of the taxpayer for which the 2510
taxpayer has been granted a certificate under division (B) of 2511
section 5709.66 of the Revised Code. However, if the taxpayer is 2512
engaged in the enrichment and commercialization of uranium or 2513
uranium products or is engaged in research and development 2514
activities related thereto and if the tax credit authority 2515
determines it appropriate, "new employee" may include an employee 2516
of the taxpayer who was previously employed in this state by a 2517
related member of the taxpayer and whose employment was shifted to 2518
the taxpayer after the taxpayer entered into the tax credit 2519
agreement or after the tax credit authority approved the credit in 2520
a public meeting. "New employee" does not include an employee of 2521
the taxpayer who is employed in an employment position that was2522
relocated to a project from other operations of the taxpayer in2523
this state or from operations of a related member of the taxpayer 2524
in this state. In addition, "new employee" does not include a 2525
child, grandchild, parent, or spouse, other than a spouse who is 2526
legally separated from the individual, of any individual who is an 2527
employee of the taxpayer and who has a direct or indirect 2528
ownership interest of at least five per cent in the profits, 2529
capital, or value of the taxpayer. Such ownership interest shall 2530
be determined in accordance with section 1563 of the Internal 2531
Revenue Code and regulations prescribed thereunder.2532

       (3) "New income tax revenue" means the total amount withheld 2533
under section 5747.06 of the Revised Code by the taxpayer during 2534
the taxable year, or during the calendar year that includes the 2535
tax period, from the compensation of new employees for the tax 2536
levied under Chapter 5747. of the Revised Code.2537

       (4) "Related member" has the same meaning as under division 2538
(A)(6) of section 5733.042 of the Revised Code without regard to 2539
division (B) of that section.2540

       (B) The tax credit authority may make grants under this2541
section to foster job creation in this state. Such a grant shall2542
take the form of a refundable credit allowed against the tax2543
imposed by section 5725.18, 5729.03, 5733.06, or 5747.02 or levied 2544
under Chapter 5751. of the Revised Code. The credit shall be 2545
claimed for the taxable years or tax periods specified in the2546
taxpayer's agreement with the tax credit authority under division2547
(D) of this section. With respect to taxes imposed under section 2548
5733.06 or 5747.02 or Chapter 5751. of the Revised Code, the 2549
credit shall be claimed in the order required under section 2550
5733.98, 5747.98, or 5751.98 of the Revised Code. The amount of 2551
the credit available for a taxable year or for a calendar year 2552
that includes a tax period equals the new income tax revenue for 2553
that year multiplied by the percentage specified in the agreement 2554
with the tax credit authority. Any credit granted under this 2555
section against the tax imposed by section 5733.06 or 5747.02 of 2556
the Revised Code, to the extent not fully utilized against such 2557
tax for taxable years ending prior to 2008, shall automatically be 2558
converted without any action taken by the tax credit authority to 2559
a credit against the tax levied under Chapter 5751. of the Revised 2560
Code for tax periods beginning on or after July 1, 2008, provided 2561
that the person to whom the credit was granted is subject to such 2562
tax. The converted credit shall apply to those calendar years in 2563
which the remaining taxable years specified in the agreement end.2564

       (C) A taxpayer or potential taxpayer who proposes a project 2565
to create new jobs in this state may apply to the tax credit 2566
authority to enter into an agreement for a tax credit under this 2567
section. The director of development shall prescribe the form of 2568
the application. After receipt of an application, the authority 2569
may enter into an agreement with the taxpayer for a credit under 2570
this section if it determines all of the following:2571

       (1) The taxpayer's project will create new jobs in this2572
state;2573

       (2) The taxpayer's project is economically sound and will2574
benefit the people of this state by increasing opportunities for2575
employment and strengthening the economy of this state;2576

       (3) Receiving the tax credit is a major factor in the2577
taxpayer's decision to go forward with the project.2578

       (D) An agreement under this section shall include all of the 2579
following:2580

       (1) A detailed description of the project that is the subject 2581
of the agreement;2582

       (2) The term of the tax credit, which shall not exceed 2583
fifteen years, and the first taxable year, or first calendar year 2584
that includes a tax period, for which the credit may be claimed;2585

       (3) A requirement that the taxpayer shall maintain operations 2586
at the project location for at least twice the number of years as 2587
the term of the tax credit;2588

       (4) The percentage, as determined by the tax credit2589
authority, of new income tax revenue that will be allowed as the2590
amount of the credit for each taxable year or for each calendar 2591
year that includes a tax period;2592

       (5) A specific method for determining how many new employees 2593
are employed during a taxable year or during a calendar year that 2594
includes a tax period;2595

       (6) A requirement that the taxpayer annually shall report to 2596
the director of development the number of new employees, the new 2597
income tax revenue withheld in connection with the new employees, 2598
and any other information the director needs to perform the 2599
director's duties under this section;2600

       (7) A requirement that the director of development annually 2601
shall verify the amounts reported under division (D)(6) of this 2602
section, and after doing so shall issue a certificate to the 2603
taxpayer stating that the amounts have been verified;2604

       (8)(a) A provision requiring that the taxpayer, except as 2605
otherwise provided in division (D)(8)(b) of this section, shall 2606
not relocate employment positions from elsewhere in this state to 2607
the project site that is the subject of the agreement for the 2608
lesser of five years from the date the agreement is entered into 2609
or the number of years the taxpayer is entitled to claim the tax 2610
credit.2611

       (b) The taxpayer may relocate employment positions from 2612
elsewhere in this state to the project site that is the subject of 2613
the agreement if the director of development determines both of 2614
the following:2615

       (i) That the site from which the employment positions would 2616
be relocated is inadequate to meet market and industry conditions, 2617
expansion plans, consolidation plans, or other business 2618
considerations affecting the taxpayer;2619

       (ii) That the legislative authority of the county, township, 2620
or municipal corporation from which the employment positions would2621
be relocated has been notified of the relocation.2622

       For purposes of this section, the movement of an employment 2623
position from one political subdivision to another political 2624
subdivision shall be considered a relocation of an employment 2625
position, but the transfer of an individual employee from one 2626
political subdivision to another political subdivision shall not 2627
be considered a relocation of an employment position as long as 2628
the individual's employment position in the first political 2629
subdivision is refilled.2630

       (E) If a taxpayer fails to meet or comply with any condition 2631
or requirement set forth in a tax credit agreement, the tax credit 2632
authority may amend the agreement to reduce the percentage or term 2633
of the tax credit. The reduction of the percentage or term shall 2634
take effect (1) in the taxable year immediately following the 2635
taxable year in which the authority amends the agreement or the 2636
director of development notifies the taxpayer in writing of such 2637
failure, or (2) in the first tax period beginning in the calendar 2638
year immediately following the calendar year in which the 2639
authority amends the agreement or the director notifies the 2640
taxpayer in writing of such failure. If the taxpayer fails to 2641
annually report any of the information required by division (D)(6) 2642
of this section within the time required by the director, the 2643
reduction of the percentage or term may take effect in the current 2644
taxable year. If the taxpayer relocates employment positions in 2645
violation of the provision required under division (D)(8)(a) of 2646
this section, the taxpayer shall not claim the tax credit under 2647
section 5733.0610 of the Revised Code for any tax years following 2648
the calendar year in which the relocation occurs, or shall not 2649
claim the tax credit under section 5725.32, 5729.032, or 5747.058 2650
of the Revised Code for the taxable year in which the relocation 2651
occurs and any subsequent taxable years, and shall not claim the 2652
tax credit under division (A) of section 5751.50 of the Revised 2653
Code for any tax period in the calendar year in which the 2654
relocation occurs and any subsequent tax periods.2655

       (F) Projects that consist solely of point-of-final-purchase 2656
retail facilities are not eligible for a tax credit under this 2657
section. If a project consists of both point-of-final-purchase 2658
retail facilities and nonretail facilities, only the portion of 2659
the project consisting of the nonretail facilities is eligible for 2660
a tax credit and only the new income tax revenue from new 2661
employees of the nonretail facilities shall be considered when 2662
computing the amount of the tax credit. If a warehouse facility is 2663
part of a point-of-final-purchase retail facility and supplies 2664
only that facility, the warehouse facility is not eligible for a 2665
tax credit. Catalog distribution centers are not considered2666
point-of-final-purchase retail facilities for the purposes of this 2667
division, and are eligible for tax credits under this section.2668

       (G) Financial statements and other information submitted to 2669
the department of development or the tax credit authority by an 2670
applicant or recipient of a tax credit under this section, and any 2671
information taken for any purpose from such statements or2672
information, are not public records subject to section 149.43 of2673
the Revised Code. However, the chairperson of the authority may2674
make use of the statements and other information for purposes of2675
issuing public reports or in connection with court proceedings2676
concerning tax credit agreements under this section. Upon the2677
request of the tax commissioner or, if the applicant or recipient 2678
is an insurance company, upon the request of the superintendent of 2679
insurance, the chairperson of the authority shall provide to the 2680
commissioner or superintendent any statement or information2681
submitted by an applicant or recipient of a tax credit in2682
connection with the credit. The commissioner or superintendent 2683
shall preserve the confidentiality of the statement or 2684
information.2685

       (H) A taxpayer claiming a credit under this section shall2686
submit to the tax commissioner or, if the taxpayer is an insurance 2687
company, to the superintendent of insurance, a copy of the 2688
director of development's certificate of verification under 2689
division (D)(7) of this section with the taxpayer's tax report or 2690
return for the taxable year or for the calendar year that includes 2691
the tax period. Failure to submit a copy of the certificate with 2692
the report or return does not invalidate a claim for a credit if 2693
the taxpayer submits a copy of the certificate to the commissioner 2694
or superintendent within sixty days after the commissioner or 2695
superintendent requests it.2696

       (I) The director of development, after consultation with the 2697
tax commissioner and the superintendent of insurance and in 2698
accordance with Chapter 119. of the Revised Code, shall adopt 2699
rules necessary to implement this section. The rules may provide 2700
for recipients of tax credits under this section to be charged 2701
fees to cover administrative costs of the tax credit program. The 2702
fees collected shall be credited to the tax incentive programs 2703
operating fund created in section 122.174 of the Revised Code. At 2704
the time the director gives public notice under division (A) of 2705
section 119.03 of the Revised Code of the adoption of the rules, 2706
the director shall submit copies of the proposed rules to the 2707
chairpersons of the standing committees on economic development in 2708
the senate and the house of representatives.2709

       (J) For the purposes of this section, a taxpayer may include 2710
a partnership, a corporation that has made an election under 2711
subchapter S of chapter one of subtitle A of the Internal Revenue 2712
Code, or any other business entity through which income flows as a 2713
distributive share to its owners. A credit received under this 2714
section by a partnership, S-corporation, or other such business 2715
entity shall be apportioned amongmay elect to pass the credit 2716
received under this section through to the persons to whom the 2717
income or profit of the partnership, S-corporation, or other2718
entity is distributed,. The election shall be made on the annual 2719
report required under division (D)(6) of this section. The 2720
election applies to and is irrevocable for the credit for which 2721
the report is submitted. If the election is made, the credit shall 2722
be apportioned among those persons in the same proportions as 2723
those in which the income or profit is distributed.2724

       (K) If the director of development determines that a taxpayer 2725
who has received a credit under this section is not complying with 2726
the requirement under division (D)(3) of this section, the 2727
director shall notify the tax credit authority of the2728
noncompliance. After receiving such a notice, and after giving the 2729
taxpayer an opportunity to explain the noncompliance, the tax2730
credit authority may require the taxpayer to refund to this state2731
a portion of the credit in accordance with the following:2732

       (1) If the taxpayer maintained operations at the project2733
location for at least one and one-half times the number of years2734
of the term of the tax credit, an amount not exceeding twenty-five 2735
per cent of the sum of any previously allowed credits under this 2736
section;2737

       (2) If the taxpayer maintained operations at the project2738
location for at least the number of years of the term of the tax2739
credit, an amount not exceeding fifty per cent of the sum of any2740
previously allowed credits under this section;2741

       (3) If the taxpayer maintained operations at the project2742
location for less than the number of years of the term of the tax2743
credit, an amount not exceeding one hundred per cent of the sum of 2744
any previously allowed credits under this section.2745

       In determining the portion of the tax credit to be refunded2746
to this state, the tax credit authority shall consider the effect2747
of market conditions on the taxpayer's project and whether the2748
taxpayer continues to maintain other operations in this state. 2749
After making the determination, the authority shall certify the2750
amount to be refunded to the tax commissioner or superintendent of 2751
insurance, as appropriate. If the amount is certified to the 2752
commissioner, the commissioner shall make an assessment for that 2753
amount against the taxpayer under Chapter 5733., 5747., or 5751. 2754
of the Revised Code. If the amount is certified to the 2755
superintendent, the superintendent shall make an assessment for 2756
that amount against the taxpayer under Chapter 5725. or 5729. of 2757
the Revised Code. The time limitations on assessments under those 2758
chapters do not apply to an assessment under this division, but 2759
the commissioner or superintendent, as appropriate, shall make the 2760
assessment within one year after the date the authority certifies 2761
to the commissioner or superintendent the amount to be refunded.2762

       (L) On or before the thirty-first day of March each year, the 2763
director of development shall submit a report to the governor, the 2764
president of the senate, and the speaker of the house of 2765
representatives on the tax credit program under this section. The 2766
report shall include information on the number of agreements that 2767
were entered into under this section during the preceding calendar 2768
year, a description of the project that is the subject of each 2769
such agreement, and an update on the status of projects under 2770
agreements entered into before the preceding calendar year.2771

       (M) There is hereby created the tax credit authority, which 2772
consists of the director of development and four other members 2773
appointed as follows: the governor, the president of the senate, 2774
and the speaker of the house of representatives each shall appoint 2775
one member who shall be a specialist in economic development; the 2776
governor also shall appoint a member who is a specialist in 2777
taxation. Of the initial appointees, the members appointed by the 2778
governor shall serve a term of two years; the members appointed by 2779
the president of the senate and the speaker of the house of 2780
representatives shall serve a term of four years. Thereafter, 2781
terms of office shall be for four years. Initial appointments to 2782
the authority shall be made within thirty days after January 13,2783
1993. Each member shall serve on the authority until the end of 2784
the term for which the member was appointed. Vacancies shall be 2785
filled in the same manner provided for original appointments. Any 2786
member appointed to fill a vacancy occurring prior to the 2787
expiration of the term for which the member's predecessor was 2788
appointed shall hold office for the remainder of that term. 2789
Members may be reappointed to the authority. Members of the 2790
authority shall receive their necessary and actual expenses while 2791
engaged in the business of the authority. The director of 2792
development shall serve as chairperson of the authority, and the 2793
members annually shall elect a vice-chairperson from among 2794
themselves. Three members of the authority constitute a quorum to 2795
transact and vote on the business of the authority. The majority 2796
vote of the membership of the authority is necessary to approve 2797
any such business, including the election of the vice-chairperson.2798

       The director of development may appoint a professional 2799
employee of the department of development to serve as the 2800
director's substitute at a meeting of the authority. The director 2801
shall make the appointment in writing. In the absence of the 2802
director from a meeting of the authority, the appointed substitute 2803
shall serve as chairperson. In the absence of both the director 2804
and the director's substitute from a meeting, the vice-chairperson2805
shall serve as chairperson.2806

       (N) For purposes of the credits granted by this section 2807
against the taxes imposed under sections 5725.18 and 5729.03 of 2808
the Revised Code, "taxable year" means the period covered by the 2809
taxpayer's annual statement to the superintendent of insurance.2810

       Sec. 122.171. (A) As used in this section:2811

       (1) "Capital investment project" means a plan of investment2812
at a project site for the acquisition, construction, renovation,2813
or repair of buildings, machinery, or equipment, or for2814
capitalized costs of basic research and new product development2815
determined in accordance with generally accepted accounting2816
principles, but does not include any of the following:2817

       (a) Payments made for the acquisition of personal property2818
through operating leases;2819

       (b) Project costs paid before January 1, 2002;2820

       (c) Payments made to a related member as defined in section2821
5733.042 of the Revised Code or to an elected consolidated 2822
taxpayer or a combined taxpayer as defined in section 5751.01 of 2823
the Revised Code.2824

       (2) "Eligible business" means a business with Ohio operations 2825
satisfying all of the following:2826

       (a) Employed an average of at least one thousand employees in 2827
full-time employment positions at a project site during each of2828
the twelve months preceding the application for a tax credit under2829
this section; and2830

       (b) On or after January 1, 2002, has made payments for the2831
capital investment project of either of the following:2832

        (i) At least two hundred million dollars in the aggregate at 2833
the project site during a period of three consecutive calendar2834
years including the calendar year that includes a day of the2835
taxpayer's taxable year or tax period with respect to which the 2836
credit is granted;2837

       (ii) If the average wage of all full-time employment 2838
positions at the project site is greater than four hundred per 2839
cent of the federal minimum wage, at least one hundred million 2840
dollars in the aggregate at the project site during a period of 2841
three consecutive calendar years including the calendar year that 2842
includes a day of the taxpayer's taxable year or tax period with 2843
respect to which the credit is granted.2844

       (c) Is engaged at the project site primarily as a2845
manufacturer or is providing significant corporate administrative2846
functions;2847

        (d) Has had a capital investment project reviewed and2848
approved by the tax credit authority as provided in divisions (C),2849
(D), and (E) of this section.2850

       (3) "Full-time employment position" means a position of2851
employment for consideration for at least an average of 2852
thirty-five hours a week that has been filled for at least one 2853
hundred eighty days immediately preceding the filing of an2854
application under this section and for at least one hundred eighty 2855
days during each taxable year or each calendar year that includes 2856
a tax period with respect to which the credit is granted, or is 2857
employed in such position for consideration for such time, but is 2858
on active duty reserve or Ohio national guard service.2859

       (4) "Manufacturer" has the same meaning as in section2860
5739.011 of the Revised Code.2861

        (5) "Project site" means an integrated complex of facilities2862
in this state, as specified by the tax credit authority under this2863
section, within a fifteen-mile radius where a taxpayer is 2864
primarily operating as an eligible business.2865

       (6) "Applicable corporation" means a corporation satisfying 2866
all of the following:2867

       (a)(i) For the entire taxable year immediately preceding the 2868
tax year, the corporation develops software applications primarily 2869
to provide telecommunication billing and information services 2870
through outsourcing or licensing to domestic or international 2871
customers.2872

       (ii) Sales and licensing of software generated at least six 2873
hundred million dollars in revenue during the taxable year 2874
immediately preceding the tax year the corporation is first 2875
entitled to claim the credit provided under division (B) of this 2876
section.2877

       (b) For the entire taxable year immediately preceding the tax 2878
year, the corporation or one or more of its related members 2879
provides customer or employee care and technical support for 2880
clients through one or more contact centers within this state, and 2881
the corporation and its related members together have a daily 2882
average, based on a three-hundred-sixty-five-day year, of at least 2883
five hundred thousand successful customer contacts through one or 2884
more of their contact centers, wherever located.2885

       (c) The corporation is eligible for the credit under division 2886
(B) of this section for the tax year.2887

       (7) "Related member" has the same meaning as in section 2888
5733.042 of the Revised Code as that section existed on the 2889
effective date of its amendment by Am. Sub. H.B. 215 of the 122nd 2890
general assembly, September 29, 1997.2891

       (8) "Successful customer contact" means a contact with an end 2892
user via telephone, including interactive voice recognition or 2893
similar means, where the contact culminates in a conversation or 2894
connection other than a busy signal or equipment busy.2895

       (9) "Telecommunications" means all forms of 2896
telecommunications service as defined in section 5739.01 of the 2897
Revised Code, and includes services in wireless, wireline, cable, 2898
broadband, internet protocol, and satellite.2899

       (10)(a) "Applicable difference" means the difference between 2900
the tax for the tax year under Chapter 5733. of the Revised Code 2901
applying the law in effect for that tax year, and the tax for that 2902
tax year if section 5733.042 of the Revised Code applied as that 2903
section existed on the effective date of its amendment by Am. Sub. 2904
H.B. 215 of the 122nd general assembly, September 29, 1997, 2905
subject to division (A)(10)(b) of this section.2906

       (b) If the tax rate set forth in division (B) of section 2907
5733.06 of the Revised Code for the tax year is less than eight 2908
and one-half per cent, the tax calculated under division 2909
(A)(10)(a) of this section shall be computed by substituting a tax 2910
rate of eight and one-half per cent for the rate set forth in 2911
division (B) of section 5733.06 of the Revised Code for the tax 2912
year.2913

       (c) If the resulting difference is negative, the applicable 2914
tax difference for the tax year shall be zero.2915

       (B) The tax credit authority created under section 122.17 of2916
the Revised Code may grant tax credits under this section for the2917
purpose of fostering job retention in this state. Upon application 2918
by an eligible business and upon consideration of the2919
recommendation of the director of budget and management, tax2920
commissioner, and director of development under division (C) of2921
this section, the tax credit authority may grant to an eligible2922
business a nonrefundable credit against the tax imposed by section2923
5733.06 or 5747.02 of the Revised Code for a period up to fifteen2924
taxable years and against the tax levied by Chapter 5751. of the 2925
Revised Code for a period of up to fifteen calendar years. The 2926
credit shall be in an amount not exceeding seventy-five per cent 2927
of the Ohio income tax withheld from the employees of the eligible 2928
business occupying full-time employment positions at the project 2929
site during the calendar year that includes the last day of such 2930
business' taxable year or tax period with respect to which the2931
credit is granted. The amount of the credit shall not be based on2932
the Ohio income tax withheld from full-time employees for a2933
calendar year prior to the calendar year in which the minimum 2934
investment requirement referred to in division (A)(2)(b) of this 2935
section is completed. The credit shall be claimed only for the 2936
taxable years or tax periods specified in the eligible business' 2937
agreement with the tax credit authority under division (E) of this 2938
section, but in no event shall the credit be claimed for a taxable 2939
year or tax period terminating before the date specified in the2940
agreement. Any credit granted under this section against the tax 2941
imposed by section 5733.06 or 5747.02 of the Revised Code, to the 2942
extent not fully utilized against such tax for taxable years 2943
ending prior to 2008, shall automatically be converted without any 2944
action taken by the tax credit authority to a credit against the 2945
tax levied under Chapter 5751. of the Revised Code for tax periods 2946
beginning on or after July 1, 2008, provided that the person to 2947
whom the credit was granted is subject to such tax. The converted 2948
credit shall apply to those calendar years in which the remaining 2949
taxable years specified in the agreement end.2950

       The credit computed under this division is in addition to any 2951
credit allowed under division (M) of this section which the tax 2952
credit authority may also include in the agreement.2953

       Any unused portion of a tax credit may be carried forward for2954
not more than three additional years after the year for which the2955
credit is granted.2956

       (C) A taxpayer that proposes a capital investment project to2957
retain jobs in this state may apply to the tax credit authority to2958
enter into an agreement for a tax credit under this section. The2959
director of development shall prescribe the form of the2960
application. After receipt of an application, the authority shall2961
forward copies of the application to the director of budget and2962
management, the tax commissioner, and the director of development,2963
each of whom shall review the application to determine the2964
economic impact the proposed project would have on the state and2965
the affected political subdivisions and shall submit a summary of2966
their determinations and recommendations to the authority. 2967

       (D) Upon review of the determinations and recommendations2968
described in division (C) of this section, the tax credit2969
authority may enter into an agreement with the taxpayer for a2970
credit under this section if the authority determines all of the 2971
following:2972

       (1) The taxpayer's capital investment project will result in2973
the retention of full-time employment positions in this state.2974

       (2) The taxpayer is economically sound and has the ability to 2975
complete the proposed capital investment project.2976

       (3) The taxpayer intends to and has the ability to maintain2977
operations at the project site for at least twice the term of the2978
credit.2979

       (4) Receiving the credit is a major factor in the taxpayer's2980
decision to begin, continue with, or complete the project.2981

       (5) The political subdivisions in which the project is2982
located have agreed to provide substantial financial support to2983
the project.2984

       (E) An agreement under this section shall include all of the2985
following:2986

       (1) A detailed description of the project that is the subject 2987
of the agreement, including the amount of the investment, the 2988
period over which the investment has been or is being made, and 2989
the number of full-time employment positions at the project site.2990

       (2) The method of calculating the number of full-time2991
employment positions as specified in division (A)(3) of this2992
section.2993

       (3) The term and percentage of the tax credit, and the first 2994
year for which the credit may be claimed.2995

       (4) A requirement that the taxpayer maintain operations at2996
the project site for at least twice the number of years as the2997
term of the credit.2998

       (5) A requirement that the taxpayer retain a specified number 2999
of full-time employment positions at the project site and within 3000
this state for the term of the credit, including a requirement 3001
that the taxpayer continue to employ at least one thousand 3002
employees in full-time employment positions at the project site 3003
during the entire term of any agreement, subject to division 3004
(E)(7) of this section.3005

       (6) A requirement that the taxpayer annually report to the3006
director of development the number of full-time employment3007
positions subject to the credit, the amount of tax withheld from3008
employees in those positions, the amount of the payments made for3009
the capital investment project, and any other information the3010
director needs to perform the director's duties under this3011
section.3012

       (7) A requirement that the director of development annually3013
review the annual reports of the taxpayer to verify the3014
information reported under division (E)(6) of this section and3015
compliance with the agreement. Upon verification, the director3016
shall issue a certificate to the taxpayer stating that the3017
information has been verified and identifying the amount of the3018
credit for the taxable year. Unless otherwise specified by the tax 3019
credit authority in a resolution and included as part of the 3020
agreement, the director shall not issue a certificate for any year 3021
in which the total number of filled full-time employment positions 3022
for each day of the calendar year divided by three hundred 3023
sixty-five is less than ninety per cent of the full-time 3024
employment positions specified in division (E)(5) of this section. 3025
In determining the number of full-time employment positions, no 3026
position shall be counted that is filled by an employee who is 3027
included in the calculation of a tax credit under section 122.17 3028
of the Revised Code.3029

       (8)(a) A provision requiring that the taxpayer, except as3030
otherwise provided in division (E)(8)(b) of this section, shall3031
not relocate employment positions from elsewhere in this state to3032
the project site that is the subject of the agreement for the3033
lesser of five years from the date the agreement is entered into3034
or the number of years the taxpayer is entitled to claim the3035
credit.3036

       (b) The taxpayer may relocate employment positions from3037
elsewhere in this state to the project site that is the subject of3038
the agreement if the director of development determines both of3039
the following:3040

       (i) That the site from which the employment positions would3041
be relocated is inadequate to meet market and industry conditions,3042
expansion plans, consolidation plans, or other business3043
considerations affecting the taxpayer;3044

       (ii) That the legislative authority of the county, township,3045
or municipal corporation from which the employment positions would3046
be relocated has been notified of the relocation.3047

       For purposes of this section, the movement of an employment3048
position from one political subdivision to another political3049
subdivision shall be considered a relocation of an employment3050
position unless the movement is confined to the project site. The3051
transfer of an individual employee from one political subdivision3052
to another political subdivision shall not be considered a3053
relocation of an employment position as long as the individual's3054
employment position in the first political subdivision is3055
refilled.3056

       (9) A waiver by the taxpayer of any limitations periods3057
relating to assessments or adjustments resulting from the3058
taxpayer's failure to comply with the agreement.3059

       (F) If a taxpayer fails to meet or comply with any condition3060
or requirement set forth in a tax credit agreement, the tax credit3061
authority may amend the agreement to reduce the percentage or term3062
of the credit. The reduction of the percentage or term shall take3063
effect (1) in the taxable year immediately following the taxable 3064
year in which the authority amends the agreement or the director 3065
of development notifies the taxpayer in writing of such failure, 3066
or (2) in the first tax period beginning in the calendar year 3067
immediately following the calendar year in which the authority 3068
amends the agreement or the director notifies the taxpayer in 3069
writing of such failure. If the taxpayer fails to annually report 3070
any of the information required by division (E)(6) of this section 3071
within the time required by the director, the reduction of the 3072
percentage or term may take effect in the current taxable year. If 3073
the taxpayer relocates employment positions in violation of the 3074
provision required under division (D)(8)(a) of this section, the 3075
taxpayer shall not claim the tax credit under section 5733.0610 of 3076
the Revised Code for any tax years following the calendar year in3077
which the relocation occurs, shall not claim the tax credit under 3078
section 5747.058 of the Revised Code for the taxable year in which 3079
the relocation occurs and any subsequent taxable years, and shall 3080
not claim the tax credit under division (A) of section 5751.50 of 3081
the Revised Code for the tax period in which the relocation occurs 3082
and any subsequent tax periods.3083

       (G) Financial statements and other information submitted to3084
the department of development or the tax credit authority by an3085
applicant for or recipient of a tax credit under this section, and3086
any information taken for any purpose from such statements or3087
information, are not public records subject to section 149.43 of3088
the Revised Code. However, the chairperson of the authority may3089
make use of the statements and other information for purposes of3090
issuing public reports or in connection with court proceedings3091
concerning tax credit agreements under this section. Upon the3092
request of the tax commissioner, the chairperson of the authority3093
shall provide to the commissioner any statement or other3094
information submitted by an applicant for or recipient of a tax3095
credit in connection with the credit. The commissioner shall3096
preserve the confidentiality of the statement or other3097
information.3098

       (H) A taxpayer claiming a tax credit under this section shall 3099
submit to the tax commissioner a copy of the director of3100
development's certificate of verification under division (E)(7) of3101
this section with the taxpayer's tax report or return for the 3102
taxable year or for the calendar year that includes the tax 3103
period. Failure to submit a copy of the certificate with the 3104
report or return does not invalidate a claim for a credit if the 3105
taxpayer submits a copy of the certificate to the commissioner 3106
within sixty days after the commissioner requests it.3107

       (I) For the purposes of this section, a taxpayer may include3108
a partnership, a corporation that has made an election under3109
subchapter S of chapter one of subtitle A of the Internal Revenue3110
Code, or any other business entity through which income flows as a3111
distributive share to its owners. A tax credit received under this 3112
section by a partnership, S-corporation, or other such business 3113
entity shall be apportioned amongmay elect to pass the credit 3114
received under this section through to the persons to whom the3115
income or profit of the partnership, S-corporation, or other3116
entity is distributed,. The election shall be made on the annual 3117
report required under division (E)(6) of this section. The 3118
election applies to and is irrevocable for the credit for which 3119
the report is submitted. If the election is made, the credit shall 3120
be apportioned among those persons in the same proportions as 3121
those in which the income or profit is distributed.3122

       (J) If the director of development determines that a taxpayer 3123
that received a tax credit under this section is not complying 3124
with the requirement under division (E)(4) of this section, the3125
director shall notify the tax credit authority of the3126
noncompliance. After receiving such a notice, and after giving the 3127
taxpayer an opportunity to explain the noncompliance, the3128
authority may terminate the agreement and require the taxpayer to3129
refund to the state all or a portion of the credit claimed in3130
previous years, as follows:3131

        (1) If the taxpayer maintained operations at the project site 3132
for less than the term of the credit, the amount required to be 3133
refunded shall not exceed the amount of any tax credits previously 3134
allowed and received under this section.3135

        (2) If the taxpayer maintained operations at the project site 3136
longer than the term of the credit but less than one and one-half 3137
times the term of the credit, the amount required to be refunded 3138
shall not exceed fifty per cent of the sum of any tax credits 3139
previously allowed and received under this section.3140

        (3) If the taxpayer maintained operations at the project site 3141
for at least one and one-half times the term of the credit but 3142
less than twice the term of the credit, the amount required to be 3143
refunded shall not exceed twenty-five per cent of the sum of any 3144
tax credits previously allowed and received under this section.3145

       In determining the portion of the credit to be refunded to3146
this state, the authority shall consider the effect of market3147
conditions on the taxpayer's project and whether the taxpayer3148
continues to maintain other operations in this state. After making 3149
the determination, the authority shall certify the amount to be 3150
refunded to the tax commissioner. The commissioner shall make an 3151
assessment for that amount against the taxpayer under Chapter 3152
5733., 5747., or 5751. of the Revised Code. The time limitations3153
on assessments under those chapters do not apply to an assessment 3154
under this division, but the commissioner shall make the 3155
assessment within one year after the date the authority certifies 3156
to the commissioner the amount to be refunded.3157

       If the director of development determines that a taxpayer3158
that received a tax credit under this section has reduced the3159
number of employees agreed to under division (E)(5) of this3160
section by more than ten per cent, the director shall notify the3161
tax credit authority of the noncompliance. After receiving such3162
notice, and after providing the taxpayer an opportunity to explain3163
the noncompliance, the authority may amend the agreement to reduce3164
the percentage or term of the tax credit. The reduction in the3165
percentage or term shall take effect in the taxable year, or in 3166
the calendar year that includes the tax period, in which the 3167
authority amends the agreement.3168

       (K) The director of development, after consultation with the3169
tax commissioner and in accordance with Chapter 119. of the3170
Revised Code, shall adopt rules necessary to implement this3171
section. The rules may provide for recipients of tax credits under 3172
this section to be charged fees to cover administrative costs of 3173
the tax credit program. The fees collected shall be credited to 3174
the tax incentive programs operating fund created in section 3175
122.174 of the Revised Code. At the time the director gives public 3176
notice under division (A) of section 119.03 of the Revised Code of 3177
the adoption of the rules, the director shall submit copies of the 3178
proposed rules to the chairpersons of the standing committees on 3179
economic development in the senate and the house of3180
representatives.3181

       (L) On or before the thirty-first day of March of each year,3182
the director of development shall submit a report to the governor,3183
the president of the senate, and the speaker of the house of3184
representatives on the tax credit program under this section. The3185
report shall include information on the number of agreements that3186
were entered into under this section during the preceding calendar3187
year, a description of the project that is the subject of each3188
such agreement, and an update on the status of projects under3189
agreements entered into before the preceding calendar year.3190

       (M)(1) A nonrefundable credit shall be allowed to an 3191
applicable corporation and its related members in an amount equal 3192
to the applicable difference. The credit is in addition to the 3193
credit granted to the corporation or related members under 3194
division (B) of this section. The credit is subject to divisions 3195
(B) to (E) and division (J) of this section.3196

       (2) A person qualifying as an applicable corporation under 3197
this section for a tax year does not necessarily qualify as an 3198
applicable corporation for any other tax year. No person is 3199
entitled to the credit allowed under division (M) of this section 3200
for the tax year immediately following the taxable year during 3201
which the person fails to meet the requirements in divisions 3202
(A)(6)(a)(i) and (A)(6)(b) of this section. No person is entitled 3203
to the credit allowed under division (M) of this section for any 3204
tax year for which the person is not eligible for the credit 3205
provided under division (B) of this section.3206

       Sec. 122.174.  There is hereby created in the state treasury 3207
the tax incentive programs operating fund. Money collected 3208
pursuant to division (I) of section 121.17, division (K) of 3209
section 122.171, division (C) of section 3735.672, and division 3210
(C) of section 5709.68 of the Revised Code shall be credited to 3211
the fund. The director of development shall use money in the fund 3212
to pay expenses related to the administration of the tax credit 3213
programs authorized by sections 122.17, 122.171, 3735.672, and 3214
5709.68 of the Revised Code.3215

       Sec. 122.602.  (A) There is hereby created in the department3216
of development the capital access loan program to assist3217
participating financial institutions in making program loans to3218
eligible businesses that face barriers in accessing working3219
capital and obtaining fixed asset financing. In administering the3220
program, the director of development may do any of the following:3221

       (1) Receive and accept grants, gifts, and contributions of3222
money, property, labor, and other things of value to be held,3223
used, and applied only for the purpose for which the grants,3224
gifts, and contributions are made, from individuals, private and3225
public corporations, the United States or any agency of the United3226
States, the state or any agency of the state, or any political3227
subdivision of the state;3228

       (2) Agree to repay any contribution of money or return any3229
property contributed or the value of that property at the times,3230
in the amounts, and on the terms and conditions, excluding the3231
payment of interest, that the director consents to at the time a3232
contribution is made; and evidence obligations by notes, bonds, or3233
other written instruments;3234

       (3) Adopt rules under Chapter 119. of the Revised Code to3235
carry out the purposes of the program specified in sections 122.603236
to 122.605 of the Revised Code;3237

       (4) Engage in all other acts, and enter into contracts and3238
execute all instruments, necessary or appropriate to carry out the3239
purposes specified in sections 122.60 to 122.605 of the Revised3240
Code.3241

       (B) The director shall determine the eligibility of a3242
financial institution to participate in the program and may set a3243
limit on the number of financial institutions that may participate3244
in the program.3245

       (C) To be considered eligible by the director to participate3246
in the program, a financial institution shall enter into a3247
participation agreement with the department that sets out the3248
terms and conditions under which the department will deposit3249
moneys from the fund into the financial institution's program3250
reserve account, specifies the criteria for loan qualification3251
under the program, and contains any additional terms the director3252
considers necessary.3253

       (D) After receiving the certification required under division3254
(C) of section 122.603 of the Revised Code, the director may 3255
disburse moneys from the fund to a participating financial3256
institution for deposit in its program reserve account if the3257
director determines that the capital access loan involved meets3258
all of the following criteria:3259

       (1) It will be made to an eligible business.3260

       (2) It will be used by the eligible business for a project,3261
activity, or enterprise that fosters economic development.3262

       (3) It will not be made in order to enroll in the program3263
prior debt that is not covered under the program and that is owed3264
or was previously owed by an eligible business to the financial3265
institution.3266

       (4) It will not be utilized for a project or development3267
related to the on-site construction or purchase of residential3268
housing.3269

       (5) It will not be used to finance passive real estate3270
ownership.3271

       (6) It conforms to the requirements of divisions (E), (F),3272
(G), (H), and (I) of this section, and to the rules adopted by the3273
director under division (A)(3) of this section.3274

       (E) The director shall not approve a capital access loan to3275
an eligible business that exceeds two hundred fifty thousand3276
dollars for working capital or five hundred thousand dollars for3277
the purchase of fixed assets. An eligible business may apply for3278
the maximum amount of both working capital and the purchase of3279
fixed assets in the same capital access loan.3280

       (F) A financial institution may apply to the director for the3281
approval of a capital access loan to any business that is owned or3282
operated by a person that has previously defaulted under any state3283
financial assistance program.3284

       (G) Eligible businesses that apply for a capital access loan3285
shall comply with section 9.66 of the Revised Code.3286

       (H) A financial institution may apply to the director for the3287
approval of a capital access loan that refinances a nonprogram3288
loan made by another financial institution.3289

       (I) The director shall not approve a capital access loan that3290
refinances a nonprogram loan made by the same financial3291
institution, unless the amount of the refinanced loan exceeds the3292
existing debt, in which case only the amount exceeding the3293
existing debt is eligible for a loan under the program.3294

       (J) The director shall not approve any capital access loan3295
made after June 30, 2007, or enter into a participation agreement3296
with any financial institution after that date.3297

       Sec. 124.152.  (A)(1) Except as provided in divisions (A)(2) 3298
and (3) of this section, each exempt employee shall be paid a 3299
salary or wage in accordance with schedule E-1 or schedule E-2 of 3300
division (B), (C), or (D) of this section, as applicable.3301

       (2) Each exempt employee who holds a position in the 3302
unclassified civil service pursuant to division (A)(26) or (30) of 3303
section 124.11 of the Revised Code may be paid a salary or wage in 3304
accordance with schedule E-1, schedule E-1 for step seven only, or 3305
schedule E-2 of division (B) or, (C), (D), (E), (F), or (G) of 3306
this section, as applicable.3307

       (3)(a) Except as provided in division (A)(3)(b) of this 3308
section, each exempt employee who was paid a salary or wage at 3309
step 7 in the employee's pay range on June 28, 2003, in accordance 3310
with the applicable schedule E-1 of former section 124.152 of the 3311
Revised Code and who continued to be so paid on June 29, 2003, 3312
shall be paid a salary or wage in the corresponding pay range in 3313
schedule E-1 for step seven only of division (C)(E), (F), or (G)3314
of this section, as applicable, for as long as the employee 3315
remains in the position the employee held as of July 1, 2003.3316

       (b) Except as provided in division (A)(3)(c) of this section, 3317
if an exempt employee who is being paid a salary or wage in 3318
accordance with schedule E-1 for step seven only of division 3319
(C)(E), (F), or (G) of this section, as applicable, moves to 3320
another position, the employee shall not receive a salary or wage 3321
for that position or any other position in the future in 3322
accordance with that schedule.3323

        (c) If an exempt employee who is being paid a salary or wage 3324
in accordance with schedule E-1 for step seven only of division 3325
(C)(E), (F), or (G) of this section, as applicable, moves to 3326
another position assigned to pay range 12 or above, the appointing 3327
authority has the discretion tomay assign the employee to be paid 3328
a salary or wage in the appropriate pay range for that position in 3329
accordance with the applicable schedule E-1 for step seven only, 3330
provided that the appointing authority so notifies the director of 3331
administrative services in writing at the time the employee is 3332
appointed to that position.3333

        (B) Beginning on the first day of the pay period that3334
includes July 1, 2006, each exempt employee who must be paid in 3335
accordance with schedule E-1 or schedule E-2 of this section shall3336
be paid a salary or wage in accordance with the following schedule 3337
of rates:3338

Schedule E-13339

Pay Ranges and Step Values
3340

Step Step Step Step Step Step 3341
Range 1 2 3 4 5 6 3342
1 Hourly 9.40 9.82 10.24 10.68 3343
Annually 19552 20426 21299 22214 3344
2 Hourly 11.40 11.88 12.40 12.94 3345
Annually 23712 24710 25792 26915 3346
3 Hourly 11.94 12.48 13.03 13.60 3347
Annually 24835 25958 27102 28288 3348
4 Hourly 12.54 13.10 13.72 14.34 3349
Annually 26083 27248 28538 29827 3350
5 Hourly 13.15 13.75 14.34 14.97 3351
Annually 27352 28600 29827 31138 3352
6 Hourly 13.86 14.43 15.07 15.69 3353
Annually 28829 30014 31346 32635 3354
7 Hourly 14.72 15.27 15.88 16.44 17.08 3355
Annually 30618 31762 33030 34195 35526 3356
8 Hourly 15.56 16.24 16.95 17.71 18.46 3357
Annually 32365 33779 35256 36837 38397 3358
9 Hourly 16.60 17.46 18.32 19.23 20.21 3359
Annually 34528 36317 38106 39998 42037 3360
10 Hourly 17.91 18.89 19.90 21.05 22.18 3361
Annually 37253 39291 41392 43784 46134 3362
11 Hourly 19.50 20.64 21.84 23.06 24.38 3363
Annually 40560 42931 45427 47965 50710 3364
12 Hourly 21.51 22.72 23.94 25.27 26.68 28.13 3365
Annually 44741 47258 49795 52562 55494 58510 3366
13 Hourly 23.71 25.01 26.39 27.80 29.36 30.96 3367
Annually 49317 52021 54891 57824 61069 64397 3368
14 Hourly 26.08 27.55 29.03 30.62 32.35 34.15 3369
Annually 54246 57304 60382 63690 67288 71032 3370
15 Hourly 28.64 30.25 31.96 33.72 35.59 37.55 3371
Annually 59571 62920 66477 70138 74027 78104 3372
16 Hourly 31.58 33.33 35.17 37.14 39.19 41.43 3373
Annually 65686 69326 73154 77251 81515 86174 3374
17 Hourly 34.80 36.72 38.78 40.92 43.20 45.61 3375
Annually 72384 76378 80662 85114 89856 94869 3376
18 Hourly 38.35 40.47 42.75 45.10 47.60 50.26 3377
Annually 79768 84178 88920 93808 99008 104541 3378

Schedule E-23379

Range Minimum Maximum 3380
41 Hourly 16.23 34.77 3381
Annually 33758 72322 3382
42 Hourly 17.89 38.41 3383
Annually 37211 79893 3384
43 Hourly 19.70 42.30 3385
Annually 40976 87984 3386
44 Hourly 21.73 46.21 3387
Annually 45198 96117 3388
45 Hourly 24.01 50.44 3389
Annually 49941 104915 3390
46 Hourly 26.43 55.13 3391
Annually 54974 114670 3392
47 Hourly 29.14 60.16 3393
Annually 60611 125133 3394
48 Hourly 32.14 65.65 3395
Annually 66851 136552 3396
49 Hourly 35.44 70.89 3397
Annually 73715 147451 3398

       (C) Beginning on the first day of the pay period that 3399
includes July 1, 2007, each exempt employee who must be paid in 3400
accordance with schedule E-1 or schedule E-2 of this section shall 3401
be paid a salary or wage in accordance with the following schedule 3402
of rates:3403

Step Step Step Step Step Step 3404
Range 1 2 3 4 5 6 3405
1 Hourly 9.73 10.16 10.60 11.05 3406
Annually 20238 21133 22048 22984 3407
2 Hourly 11.80 12.30 12.83 13.39 3408
Annually 24544 25584 26686 27851 3409
3 Hourly 12.36 12.92 13.49 14.08 3410
Annually 25709 26874 28059 29286 3411
4 Hourly 12.98 13.56 14.20 14.84 3412
Annually 26998 28205 29536 30867 3413
5 Hourly 13.61 14.23 14.84 15.49 3414
Annually 28309 29598 30867 32219 3415
6 Hourly 14.35 14.94 15.60 16.24 3416
Annually 29848 31075 32448 33779 3417
7 Hourly 15.24 15.80 16.44 17.02 17.68 3418
Annually 31699 32864 34195 35402 36774 3419
8 Hourly 16.10 16.81 17.54 18.33 19.11 3420
Annually 33488 34965 36483 38126 39749 3421
9 Hourly 17.18 18.07 18.96 19.90 20.92 3422
Annually 35734 37586 39437 41392 43514 3423
10 Hourly 18.54 19.55 20.60 21.79 22.96 3424
Annually 38563 40664 42848 45323 47757 3425
11 Hourly 20.18 21.36 22.60 23.87 25.23 3426
Annually 41974 44429 47008 49650 52478 3427
12 Hourly 22.26 23.52 24.78 26.15 27.61 29.11 3428
Annually 46301 48922 51542 54392 57429 60549 3429
13 Hourly 24.54 25.89 27.31 28.77 30.39 32.04 3430
Annually 51043 53851 56805 59842 63211 66643 3431
14 Hourly 26.99 28.51 30.05 31.69 33.48 35.35 3432
Annually 56139 59301 62504 65915 69638 73528 3433
15 Hourly 29.64 31.31 33.08 34.90 36.84 38.86 3434
Annually 61651 65125 68806 72592 76627 80829 3435
16 Hourly 32.69 34.50 36.40 38.44 40.56 42.88 3436
Annually 67995 71760 75712 79955 84365 89190 3437
17 Hourly 36.02 38.01 40.14 42.35 44.71 47.21 3438
Annually 74922 79061 83491 88088 92997 98197 3439
18 Hourly 39.69 41.89 44.25 46.68 49.27 52.02 3440
Annually 82555 87131 92040 97094 102482 108202 3441



Range Minimum Maximum 3443
41 Hourly 16.23 35.99 3444
Annually 33758 74859 3445
42 Hourly 17.89 39.75 3446
Annually 37211 82680 3447
43 Hourly 19.70 43.78 3448
Annually 40976 91062 3449
44 Hourly 21.73 47.83 3450
Annually 45198 99486 3451
45 Hourly 24.01 52.21 3452
Annually 49941 108597 3453
46 Hourly 26.43 57.06 3454
Annually 54974 118685 3455
47 Hourly 29.14 62.27 3456
Annually 60611 129522 3457
48 Hourly 32.14 67.95 3458
Annually 66851 141336 3459
49 Hourly 35.44 73.37 3460
Annually 73715 152610 3461

       (D) Beginning on the first day of the pay period that 3462
includes July 1, 2008, each exempt employee who must be paid in 3463
accordance with schedule E-1 or schedule E-2 of this section shall 3464
be paid a salary or wage in accordance with the following schedule 3465
of rates:3466

Step Step Step Step Step Step 3467
Range 1 2 3 4 5 6 3468
1 Hourly 10.07 10.52 10.97 11.44 3469
Annually 20946 21882 22818 23795 3470
2 Hourly 12.21 12.73 13.28 13.86 3471
Annually 25397 26478 27622 28829 3472
3 Hourly 12.79 13.37 13.96 14.57 3473
Annually 26603 27810 29037 30306 3474
4 Hourly 13.43 14.03 14.70 15.36 3475
Annually 27934 29182 30576 31949 3476
5 Hourly 14.09 14.73 15.36 16.03 3477
Annually 29307 30638 31949 33342 3478
6 Hourly 14.85 15.46 16.15 16.81 3479
Annually 30888 32157 33592 34965 3480
7 Hourly 15.77 16.35 17.02 17.62 18.30 3481
Annually 32802 34008 35402 36650 38064 3482
8 Hourly 16.66 17.40 18.15 18.97 19.78 3483
Annually 34653 36192 37752 39458 41142 3484
9 Hourly 17.78 18.70 19.62 20.60 21.65 3485
Annually 36982 38896 40810 42848 45032 3486
10 Hourly 19.19 20.23 21.32 22.55 23.76 3487
Annually 39915 42078 44346 46904 49421 3488
11 Hourly 20.89 22.11 23.39 24.71 26.11 3489
Annually 43451 45989 48651 51397 54309 3490
12 Hourly 23.04 24.34 25.65 27.07 28.58 30.13 3491
Annually 47923 50627 53352 56306 59446 62670 3492
13 Hourly 25.40 26.80 28.27 29.78 31.45 33.16 3493
Annually 52832 55744 58802 61942 65416 68973 3494
14 Hourly 27.93 29.51 31.10 32.80 34.65 36.59 3495
Annually 58094 61381 64688 68224 72072 76107 3496
15 Hourly 30.68 32.41 34.24 36.12 38.13 40.22 3497
Annually 63814 67413 71219 75130 79310 83658 3498
16 Hourly 33.83 35.71 37.67 39.79 41.98 44.38 3499
Annually 70366 74277 78354 82763 87318 92310 3500
17 Hourly 37.28 39.34 41.54 43.83 46.27 48.86 3501
Annually 77542 81827 86403 91166 96242 101629 3502
18 Hourly 41.08 43.36 45.80 48.31 50.99 53.84 3503
Annually 85446 90189 95264 100485 106059 111987 3504



Range Minimum Maximum 3506
41 Hourly 16.23 37.25 3507
Annually 33758 77480 3508
42 Hourly 17.89 41.14 3509
Annually 37211 85571 3510
43 Hourly 19.70 45.31 3511
Annually 40976 94245 3512
44 Hourly 21.73 49.50 3513
Annually 45198 102960 3514
45 Hourly 24.01 54.04 3515
Annually 49941 112403 3516
46 Hourly 26.43 59.06 3517
Annually 54974 122845 3518
47 Hourly 29.14 64.45 3519
Annually 60611 134056 3520
48 Hourly 32.14 70.33 3521
Annually 66851 146286 3522
49 Hourly 35.44 75.94 3523
Annually 73715 157955 3524

       (E) Beginning on the first day of the pay period that 3525
includes July 1, 2006, each exempt employee who must be paid in 3526
accordance with schedule E-1 for step seven only shall be paid a 3527
salary or wage in accordance with the following schedule of rates:3528

Schedule E-1 for Step Seven Only3529

Pay Ranges and Step Seven Values
3530

Range 3531
12 Hourly 29.68 3532
Annually 61734 3533
13 Hourly 32.66 3534
Annually 67933 3535
14 Hourly 36.01 3536
Annually 74901 3537
15 Hourly 39.61 3538
Annually 82389 3539
16 Hourly 43.70 3540
Annually 90896 3541
17 Hourly 48.13 3542
Annually 100110 3543
18 Hourly 53.02 3544
Annually 110282 3545

       (D)(F) Beginning on the first day of the pay period that 3546
includes July 1, 2007, each exempt employee who must be paid in 3547
accordance with schedule E-1 for step seven only shall be paid a 3548
salary or wage in accordance with the following schedule of rates:3549

Range 3550
12 Hourly 30.72 3551
Annually 63898 3552
13 Hourly 33.80 3553
Annually 70304 3554
14 Hourly 37.27 3555
Annually 77522 3556
15 Hourly 41.00 3557
Annually 85280 3558
16 Hourly 45.23 3559
Annually 94078 3560
17 Hourly 49.81 3561
Annually 103605 3562
18 Hourly 54.88 3563
Annually 114150 3564

       (G) Beginning on the first day of the pay period that 3565
includes July 1, 2008, each exempt employee who must be paid in 3566
accordance with salary schedule E-1 for step seven only shall be 3567
paid a salary or wage in accordance with the following schedule of 3568
rates:3569

Range 3570
12 Hourly 31.80 3571
Annually 66144 3572
13 Hourly 34.98 3573
Annually 72758 3574
14 Hourly 38.57 3575
Annually 80226 3576
15 Hourly 42.44 3577
Annually 88275 3578
16 Hourly 46.81 3579
Annually 97365 3580
17 Hourly 51.55 3581
Annually 107224 3582
18 Hourly 56.80 3583
Annually 118144 3584

       (H) As used in this section, "exempt employee" means a3585
permanent full-time or permanent part-time employee paid directly3586
by warrant of the director of budget and management whose position 3587
is included in the job classification plan established under 3588
division (A) of section 124.14 of the Revised Code but who is not 3589
considered a public employee for the purposes of Chapter 4117. of 3590
the Revised Code. As used in this section, "exempt employee" also 3591
includes a permanent full-time or permanent part-time employee of 3592
the secretary of state, auditor of state, treasurer of state, or3593
attorney general who has not been placed in an appropriate3594
bargaining unit by the state employment relations board.3595

       Sec. 125.45.  The department of administrative services shall 3596
maintain facilities to perform office reproduction services for 3597
all boards, commissions, or departments except for the bureau of 3598
workers' compensation. Upon written application to the department 3599
of administrative services, permission may be granted to a board, 3600
commission, or department to perform such services outside the 3601
central facility and such permission shall state the extent of the 3602
services which the department, board, or commission shall perform.3603

       Office reproduction services using stencils, masters, or3604
plates are restricted to duplicating equipment not larger than3605
seventeen by twenty-two inches. Not to exceed five thousand press 3606
impressions shall be produced of any such order except that up to 3607
one thousand production copies may be produced of any item3608
consisting of multiple pages and except that over five thousand, 3609
but not more than ten thousand, press impressions may be produced 3610
if the director of administrative services determines that there 3611
is an emergency due to the timing of service delivery or another 3612
factor that may cause financial hardship to the state.3613

       Nothing in this section precludes the bureau from entering3614
into a contract with the department of administrative services for 3615
the department to perform office reproduction services for the 3616
bureau.3617

       Neither the department nor any otherNo state agency, other 3618
than the department of administrative services, shall perform 3619
printing or office reproduction services for political 3620
subdivisions.3621

       Sec. 125.93.  The state forms management program shall do 3622
each of the following:3623

       (A) Assist state agencies in establishing internal forms3624
management capabilities;3625

       (B) Study, develop, coordinate, and initiate forms of3626
interagency and common administrative usage, and establish basic3627
design and specification criteria to standardize state forms;3628

       (C) Assist state agencies to design economical forms;3629

       (D)(C) Assist, train, and instruct state agencies and their3630
forms management representatives in forms management techniques,3631
and provide direct forms management assistance to new state3632
agencies as they are created;3633

       (E) Maintain a central forms repository of all state forms to3634
facilitate standardization of the forms, eliminate redundant3635
forms, and provide a central source of information on forms usage3636
and availability.3637

       Sec. 125.96.  The director of administrative services may3638
adopt, amend, or rescind rules necessary to carry out the powers3639
and duties imposed upon the state forms management program and 3640
state agencies by sections 125.92 to 125.98 of the Revised Code. 3641
The director shall adopt, and may amend or rescind, rules3642
providing each of the following:3643

       (A) After a date to be determined by the state forms 3644
management program, no state agency shall utilize any form, other 3645
than a form subject to division (B) of section 125.95 of the 3646
Revised Code, the management of which has not been delegated to 3647
the agency by the program under division (A) of that section or 3648
been approved by the program.3649

       (B) The notice required by section 125.97 of the Revised Code 3650
shall appear in a standard place and a standard manner on each 3651
form to which the notice applies, and shall include specified 3652
indicia of approval by the state forms management program.3653

       (C) Any form required by a state agency on an emergency basis 3654
may be given interim approval by the state forms management 3655
program if the form is accompanied by a letter from the director 3656
or other head of the agency setting forth the nature of the 3657
emergency and requesting interim approval.3658

       Sec. 125.97.  All forms, other than those forms subject to 3659
division (B) of section 125.95 of the Revised Code, used to obtain 3660
information from private business, agriculture, or local 3661
governments, except those forms used by the tax commissioner for 3662
administration of taxes and programs, shall contain a conspicuous 3663
notice on the first page setting forth the authorization for the 3664
form and stating whether providing the information sought is 3665
required or voluntary, and any penalties that apply to failure to 3666
provide the information.3667

       Sec. 125.98.  (A) Each state agency shall appoint a forms3668
management representative, who may be from existing personnel. The 3669
appointee shall cooperate with, and provide other necessary 3670
assistance to, the director of administrative services and the 3671
state forms management program in implementing the program. A 3672
forms management representative shall do all of the following:3673

       (1) Manage the agency's forms management program and 3674
cooperate with and provide other necessary assistance to the 3675
director of administrative services in implementing the state 3676
forms management program;3677

       (2) Monitor the use and reproduction of all forms to ensure 3678
that all policies, procedures, guidelines, and standards 3679
established by the agency and the director of administrative 3680
services are followed;3681

       (3) Ensure that every form used by the agency is presented to 3682
the state forms management program for registration prior to its 3683
reproduction;3684

       (4) Maintain a master forms file history file, in numeric 3685
order, of all agency forms;3686

       (5) Verify and update theall historical information on all 3687
forms in the agency's central forms repository database.3688

       (B) Any state agency, as defined in section 1.60 of the 3689
Revised Code, not included within the definition of a state agency 3690
in section 125.91 of the Revised Code may elect to participate in 3691
the state forms management program. The program may provide to any 3692
such agency any service required or authorized by sections 125.92 3693
to 125.98 of the Revised Code to be performed for a state agency.3694

       Sec. 126.04.  Funds appropriated for purposes of fulfilling 3695
the state's obligations under the consent order filed March 5, 3696
2007, in Martin v. Strickland, Case No. 89-CV-00362, in the United 3697
States district court for the southern district of Ohio, eastern 3698
division, shall be in an appropriation item that authorizes 3699
expenditures only for purposes of fulfilling the state's 3700
obligations under the consent order.3701

       Sec. 126.07. NoExcept as provided in division (B) of 3702
section 126.21 of the Revised Code, no contract, agreement, or 3703
obligation involving the expenditure of money chargeable to an3704
appropriation, nor any resolution or order for the expenditure of3705
money chargeable to an appropriation, shall be valid and3706
enforceable unless the director of budget and management first3707
certifies that there is a balance in the appropriation not already 3708
obligated to pay existing obligations, in an amount at least equal 3709
to the portion of the contract, agreement, obligation, resolution, 3710
or order to be performed in the current fiscal year. Any written3711
contract or agreement entered into by the state shall contain a3712
clause stating that the obligations of the state are subject to3713
this section.3714

       The chief administrative officer of a state agency is 3715
responsible for the preaudit and approval of expenditures and 3716
other transactions of the agency. In order to makeinitiate the 3717
making of a payment from the state treasury, the person in a state3718
agency who requests that the payment be made shall first submit to 3719
the directorchief administrative officer of the agency all 3720
invoices, claims, vouchers, and other evidentiary matter3721
documentation related to the payment. If the director approves 3722
payment to be made, the director shall draw a warrant as provided 3723
in section 126.35 of the Revised Code.The chief administrative 3724
officer shall examine each voucher and all other documentation 3725
required to support the voucher and determine whether they meet 3726
all the requirements established by the director of budget and 3727
management for making the payment. If they do meet those 3728
requirements, the chief administrative officer shall certify to 3729
the director the approval of the chief administrative officer for 3730
payment.3731

        Prior to drawing a warrant as provided in section 126.35 of 3732
the Revised Code, the director may review and audit the voucher, 3733
any documentation accompanying the voucher, and any other 3734
documentation related to the transaction that the director may 3735
require to determine if the transaction is in accordance with law.3736
The director shall not approve payment to be made if the director 3737
finds that there is not an unobligated balance in the 3738
appropriation for the payment, that the payment is not for a valid 3739
claim against the state that is legally due, or that insufficient 3740
evidentiary matterdocumentation has been submitted. If the 3741
director does not approve payment, the director shall notify the 3742
agency of the reasons the director has not given approval.3743

       In approving payments to be made under this section, the3744
director, upon receipt of certification from the director of job 3745
and family services pursuant to section 4141.231 of the Revised 3746
Code, shall withhold from amounts otherwise payable to a person 3747
who is the subject of the director of jobs and family services'3748
certification, the amount certified to be due and unpaid to the3749
director of job and family services, and shall approve for payment 3750
to the director of job and family services, the amount withheld.3751

       As used in this section and in section 126.21 of the Revised 3752
Code, "chief administrative officer" means either of the 3753
following:3754

       (A) The director of the agency or, in the case of a state 3755
agency without a director, the equivalent officer of that agency;3756

       (B) The designee of the chief administrative officer for the 3757
purposes of such sections.3758

       Sec. 126.08.  The director of budget and management may3759
exercise control over the financial transactions of state3760
agencies, including approving, disapproving, voiding, or 3761
invalidating encumbrances or transactions, except those in the 3762
judicial and legislative branches, by:3763

       (A) Requiring encumbrancing documents or any other financial 3764
information to be submitted to the director, where such submission 3765
is prescribed by law or where the director considers such 3766
submission necessary to evaluate the legality of a proposedan3767
expenditure, and by approving or disapproving any encumbrance3768
requested, except that the director shall not disapprove any3769
encumbrancing document submitted by the attorney general, auditor3770
of state, secretary of state, or treasurer of state unless there3771
is an insufficient unobligated balance in the appropriation or the 3772
encumbrance does not meet all other legal requirements. Those 3773
portions of an appropriation that are encumbered are not available 3774
for expenditure for any purpose other than that indicated on the 3775
encumbrancing document. If any requirements of the director 3776
regarding the submission of encumbrancing documents or other 3777
financial information are not complied with, or if any3778
encumbrancing document is disapproved in whole or in part, the3779
director shall notify the submitting agency thereof and shall not3780
authorize payment unless the reasons for disapproval are3781
corrected.3782

       (B) Requiring the allocation and allotment of any3783
appropriation by quarter or by any other period of time.3784

       (C) Reporting to the attorney general for such action, civil 3785
or criminal, as the attorney general considers necessary, all 3786
facts showing improper payment of public money or misappropriation 3787
of public property;3788

       (D) By adopting rules for carrying into effect any powers3789
granted by this chapter.3790

       Sec. 126.16.  (A) This section is in implementation of 3791
division (D) of Section 17 of Article VIII, Ohio Constitution, for 3792
purposes of issuing direct obligations of the state subject to 3793
that section.3794

       (B) For purposes of the computation of debt service under3795
Section 17 of Article VIII, Ohio Constitution, there shall be 3796
included debt service payable on bonds that are direct obligations 3797
of the state issued under Article VIII, Ohio Constitution, and on 3798
those bonds anticipated by bond anticipation notes, to the extent 3799
that debt service on those bonds is anticipated to be paid from 3800
the state general revenue fund or net state lottery proceeds. 3801
Examples of bonds the debt service on which is not anticipated to 3802
be paid from either of those sources are bonds of the state issued 3803
for highway purposes pursuant to Section 2i or 2m of Article VIII, 3804
Ohio Constitution, which, although general obligations of the 3805
state, have been and are anticipated to be paid from highway user 3806
receipts and not from the general revenue fund or net state 3807
lottery proceeds.3808

       (C) If there is no separate constitutional or statutory 3809
provision applicable for the purpose, debt service on bonds 3810
anticipated by bond anticipation notes shall be estimated as 3811
provided in division (C) of this section. That amount, to be 3812
certified either by the issuing authority of the particular notes 3813
or by the governor or the governor's designee pursuant to division 3814
(E) of this section, shall be the estimated amount that would have 3815
been payable on bonds maturing serially in each fiscal year after3816
the fiscal year of the issuance of the notes over the maximum 3817
period of maturity for the bonds authorized in the particular3818
governing constitutional or statutory provision, as if those bonds 3819
had been issued without the prior issuance of the notes, and 3820
computed on a substantially level debt service basis applying an 3821
interest rate or rates certified to be market rates at the time of 3822
issuance of the notes.3823

       (D) In the case of bonds issued to refund or retire bonds, 3824
the debt service on the new bonds shall be counted and the debt 3825
service on the bonds being refunded or retired shall not be 3826
counted.3827

       (E) The governor, or the governor's designee for the purpose,3828
shall determine and certify the fiscal year amounts required to be 3829
applied or set aside for payment of debt service, including debt 3830
service on any variable rate bonds, the securities to which that 3831
debt service relates, the total office of budget and management 3832
estimated revenues of the state for the general revenue fund and 3833
from net state lottery proceeds during the particular fiscal year, 3834
and any other financial data necessary or appropriate for the3835
purpose of the computations under division (A) of Section 17 of3836
Article VIII, Ohio Constitution, and this section. Those 3837
determinations and certifications shall be filed with the director 3838
of budget and management, the treasurer of state, and the issuing3839
authority for the particular obligations, at or prior to the time 3840
those securities are issued. The governor's designee for the 3841
purpose may be the director or assistant director of budget and 3842
management, or any employee or official of the governor's office.3843

       (F) For purposes of this section, "securities," "interest or3844
interest equivalent," and "outstanding" have the same meanings as 3845
in section 133.01 of the Revised Code, and "debt service" means 3846
principal, including any mandatory sinking fund deposits and 3847
mandatory redemption payments, and interest or interest equivalent 3848
payable on securities, as those payments are stated to come due 3849
and to be payable.3850

       (G)(1) As used in this division, "avoided obligations" means 3851
direct obligations of the state that are not issued because the 3852
capital facilities they would have financed are instead paid for 3853
with the proceeds of obligations issued under division (C) of 3854
section 183.51 of the Revised Code.3855

       (2) For purposes of computing the limitation on issuing 3856
direct obligations of the state under this section and Section 17 3857
of Article VIII, Ohio Constitution, any avoided obligations shall 3858
be considered as having been issued. The fiscal year amounts that 3859
would have been required to be applied or set aside for payment of 3860
debt service over the maximum period of maturity of the avoided 3861
obligations had the avoided obligations been issued shall be 3862
included in the computations.3863

       Sec. 126.21.  (A) The director of budget and management shall 3864
do all of the following:3865

       (1) Keep all necessary accounting records;3866

       (2) Prescribe and maintain the accounting system of the state 3867
and establish appropriate accounting procedures and charts of 3868
accounts;3869

       (3) Establish procedures for the use of written, electronic,3870
optical, or other communications media for approving and reviewing3871
payment vouchers;3872

       (4) Reconcile, in the case of any variation between the3873
amount of any appropriation and the aggregate amount of items of3874
the appropriation, with the advice and assistance of the state3875
agency affected by it and the legislative service commission,3876
totals so as to correspond in the aggregate with the total3877
appropriation. In the case of a conflict between the item and the3878
total of which it is a part, the item shall be considered the3879
intended appropriation.3880

       (5) Evaluate on an ongoing basis and, if necessary, recommend 3881
improvements to the internal controls used in state agencies;3882

       (6) Authorize the establishment of petty cash accounts. The3883
director of budget and management may withdraw approval for any3884
petty cash account and require the officer in charge to return to3885
the state treasury any unexpended balance shown by the officer's3886
accounts to be on hand. Any officer who is issued a warrant for3887
petty cash shall render a detailed account of the expenditures of3888
the petty cash and shall report when requested the balance of3889
petty cash on hand at any time.3890

       (7) Process orders, invoices, vouchers, claims, and payrolls3891
and prepare financial reports and statements;3892

       (8) Perform extensions, reviews, and compliance checks prior3893
to or after approving a payment as the director considers3894
necessary;3895

       (9) Issue the official comprehensive annual financial report3896
of the state. The report shall cover all funds of the state3897
reporting entity and shall include basic financial statements and3898
required supplementary information prepared in accordance with3899
generally accepted accounting principles and other information as3900
the director provides. All state agencies, authorities,3901
institutions, offices, retirement systems, and other component3902
units of the state reporting entity as determined by the director3903
shall furnish the director whatever financial statements and other3904
information the director requests for the report, in the form, at3905
the times, covering the periods, and with the attestation the3906
director prescribes. The information for state institutions of3907
higher education, as defined in section 3345.011 of the Revised3908
Code, shall be submitted to the directorchancellor by the Ohio 3909
board of regents. The board shall establish a due date by which 3910
each such institution shall submit the information to the board, 3911
but no such date shall be later than one hundred twenty days after 3912
the end of the state fiscal year unless a later date is approved 3913
by the director.3914

       (B) In addition to the director's duties under division (A)3915
of this section, the director of budget and management may3916
establish and administer one or more state payment card programs3917
that permit or require state agencies to use a payment card to3918
purchase equipment, materials, supplies, or services in accordance3919
with guidelines issued by the director. The chief administrative 3920
officer of a state agency that uses a payment card for such 3921
purposes shall ensure that purchases made with the card are made 3922
in accordance with the guidelines issued by the director and do 3923
not exceed the unexpended, unencumbered, unobligated balance in 3924
the appropriation to be charged for the purchase. State agencies 3925
may only participate in only those state payment card programs 3926
that the director establishes pursuant to this section.3927

       (C) In addition to the director's duties under divisions (A) 3928
and (B) of this section, the director may enter into any contract 3929
or agreement necessary for and incidental to the performance of 3930
the director's duties or the duties of the office of budget and 3931
management.3932

       Sec. 126.22.  The director of budget and management may:3933

       (A) Perform accounting services for and design and implement3934
accounting systems with state agencies;3935

       (B) Provide other accounting services, including the 3936
maintenance and periodic auditing of the financial records of and 3937
submission of vouchers by state agencies, provision of assistance 3938
in the analysis of the financial position of state agencies, and3939
preparation and submission of reports;3940

       (C) Change any accounting code appearing in appropriations 3941
acts of the general assembly.3942

       Sec. 126.24. The OAKS support organization fund is hereby 3943
created in the state treasury for the purpose of paying the 3944
operating expenses of the state's enterprise resource planning 3945
system. The fund shall consist of cash transfers from the 3946
accounting and budgeting fund and the human resources services 3947
fund, and other revenues designated to support the operating costs 3948
of the Ohio administrative knowledge system. All investment 3949
earnings of the fund shall be credited to the fund.3950

       Sec. 126.40. There is hereby created in the state treasury 3951
the forgery recovery fund. The fund shall consist of all moneys 3952
collected by the attorney general from the resolution of cases of 3953
fraud or forgery involving warrants issued by the director of the 3954
office of budget and management. The director shall use the fund 3955
to pay costs associated with the reissue of state warrants to 3956
payees whose warrants were fraudulently redeemed.3957

       Sec. 127.14.  The controlling board may, at the request of3958
any state agency or the director of budget and management,3959
authorize, with respect to the provisions of any appropriation3960
act:3961

       (A) Transfers of all or part of an appropriation within but 3962
not between state agencies, except such transfers as the director 3963
of budget and management is authorized by law to make, provided 3964
that no transfer shall be made by the director for the purpose of 3965
effecting new or changed levels of program service not authorized 3966
by the general assembly;3967

       (B) Transfers of all or part of an appropriation from one3968
fiscal year to another;3969

       (C) Transfers of all or part of an appropriation within or3970
between state agencies made necessary by administrative3971
reorganization or by the abolition of an agency or part of an3972
agency;3973

       (D) Transfers of all or part of cash balances in excess of3974
needs from any fund of the state to the general revenue fund or to 3975
such other fund of the state to which the money would have been 3976
credited in the absence of the fund from which the transfers are 3977
authorized to be made, except that the controlling board may not 3978
authorize such transfers from the accrued leave liability fund, 3979
auto registration distribution fund, budget stabilization fund, 3980
development bond retirement fund, facilities establishment fund, 3981
gasoline excise tax fund, general revenue fund, higher education 3982
improvement fund, highway improvement bond retirement fund, 3983
highway obligations bond retirement fund, highway capital3984
improvement fund, highway operating fund, horse racing tax fund, 3985
improvements bond retirement fund, library and local government 3986
supportlibraries fund, liquor control fund, local government3987
communities fund, local transportation improvement program fund,3988
mental health facilities improvement fund, Ohio fairs fund, parks3989
and recreation improvement fund, public improvements bond3990
retirement fund, school district income tax fund, state agency 3991
facilities improvement fund, state and local government highway 3992
distribution fund, state highway safety fund, state lottery fund, 3993
undivided liquor permit fund, Vietnam conflict compensation bond 3994
retirement fund, volunteer fire fighters' dependents fund, 3995
waterways safety fund, wildlife fund, workers' compensation fund, 3996
or any fund not specified in this division that the director of 3997
budget and management determines to be a bond fund or bond 3998
retirement fund;3999

       (E) Transfers of all or part of those appropriations included 4000
in the emergency purposes account of the controlling board;4001

       (F) Temporary transfers of all or part of an appropriation or 4002
other moneys into and between existing funds, or new funds, as may 4003
be established by law when needed for capital outlays for which 4004
notes or bonds will be issued;4005

       (G) Transfer or release of all or part of an appropriation to 4006
a state agency requiring controlling board approval of such4007
transfer or release as provided by law;4008

       (H) Temporary transfer of funds included in the emergency4009
purposes appropriation of the controlling board. Such temporary4010
transfers may be made subject to conditions specified by the4011
controlling board at the time temporary transfers are authorized.4012
No transfers shall be made under this division for the purpose of4013
effecting new or changed levels of program service not authorized4014
by the general assembly.4015

       As used in this section, "request" means an application by a 4016
state agency or the director of budget and management seeking some 4017
action by the controlling board.4018

       When authorizing the transfer of all or part of an 4019
appropriation under this section, the controlling board may 4020
authorize the transfer to an existing appropriation item and the 4021
creation of and transfer to a new appropriation item.4022

       Whenever there is a transfer of all or part of funds included 4023
in the emergency purposes appropriation by the controlling board, 4024
pursuant to division (E) of this section, the state agency or the 4025
director of budget and management receiving such transfer shall 4026
keep a detailed record of the use of the transferred funds. At the 4027
earliest scheduled meeting of the controlling board following the 4028
accomplishment of the purposes specified in the request originally 4029
seeking the transfer, or following the total expenditure of the 4030
transferred funds for the specified purposes, the state agency or 4031
the director of budget and management shall submit a report on the 4032
expenditure of such funds to the board. The portion of any 4033
appropriation so transferred which is not required to accomplish 4034
the purposes designated in the original request to the controlling 4035
board shall be returned to the proper appropriation of the 4036
controlling board at this time.4037

       Notwithstanding any provisions of law providing for the4038
deposit of revenues received by a state agency to the credit of a4039
particular fund in the state treasury, whenever there is a4040
temporary transfer of funds included in the emergency purposes4041
appropriation of the controlling board pursuant to division (H) of 4042
this section, revenues received by any state agency receiving such 4043
a temporary transfer of funds shall, as directed by the4044
controlling board, be transferred back to the emergency purposes4045
appropriation.4046

       The board may delegate to the director of budget and4047
management authority to approve transfers among items of4048
appropriation under division (A) of this section.4049

       Sec. 127.16.  (A) Upon the request of either a state agency4050
or the director of budget and management and after the controlling4051
board determines that an emergency or a sufficient economic reason4052
exists, the controlling board may approve the making of a purchase4053
without competitive selection as provided in division (B) of this4054
section.4055

       (B) Except as otherwise provided in this section, no state4056
agency, using money that has been appropriated to it directly,4057
shall:4058

       (1) Make any purchase from a particular supplier, that would4059
amount to fifty thousand dollars or more when combined with both4060
the amount of all disbursements to the supplier during the fiscal4061
year for purchases made by the agency and the amount of all4062
outstanding encumbrances for purchases made by the agency from the4063
supplier, unless the purchase is made by competitive selection or4064
with the approval of the controlling board;4065

       (2) Lease real estate from a particular supplier, if the4066
lease would amount to seventy-five thousand dollars or more when4067
combined with both the amount of all disbursements to the supplier4068
during the fiscal year for real estate leases made by the agency4069
and the amount of all outstanding encumbrances for real estate4070
leases made by the agency from the supplier, unless the lease is4071
made by competitive selection or with the approval of the4072
controlling board.4073

       (C) Any person who authorizes a purchase in violation of4074
division (B) of this section shall be liable to the state for any4075
state funds spent on the purchase, and the attorney general shall4076
collect the amount from the person.4077

       (D) Nothing in division (B) of this section shall be4078
construed as:4079

       (1) A limitation upon the authority of the director of4080
transportation as granted in sections 5501.17, 5517.02, and4081
5525.14 of the Revised Code;4082

       (2) Applying to medicaid provider agreements under Chapter4083
5111. of the Revised Code or payments or provider agreements under 4084
the disability medical assistance program established under 4085
Chapter 5115. of the Revised Code;4086

       (3) Applying to the purchase of examinations from a sole4087
supplier by a state licensing board under Title XLVII of the4088
Revised Code;4089

       (4) Applying to entertainment contracts for the Ohio state4090
fair entered into by the Ohio expositions commission, provided4091
that the controlling board has given its approval to the4092
commission to enter into such contracts and has approved a total4093
budget amount for such contracts as agreed upon by commission4094
action, and that the commission causes to be kept itemized records4095
of the amounts of money spent under each contract and annually4096
files those records with the clerk of the house of representatives4097
and the clerk of the senate following the close of the fair;4098

       (5) Limiting the authority of the chief of the division of4099
mineral resources management to contract for reclamation work with4100
an operator mining adjacent land as provided in section 1513.27 of4101
the Revised Code;4102

       (6) Applying to investment transactions and procedures of any 4103
state agency, except that the agency shall file with the board the 4104
name of any person with whom the agency contracts to make, broker, 4105
service, or otherwise manage its investments, as well as the 4106
commission, rate, or schedule of charges of such person with4107
respect to any investment transactions to be undertaken on behalf4108
of the agency. The filing shall be in a form and at such times as4109
the board considers appropriate.4110

       (7) Applying to purchases made with money for the per cent4111
for arts program established by section 3379.10 of the Revised4112
Code;4113

       (8) Applying to purchases made by the rehabilitation services 4114
commission of services, or supplies, that are provided to persons 4115
with disabilities, or to purchases made by the commission in 4116
connection with the eligibility determinations it makes for4117
applicants of programs administered by the social security4118
administration;4119

       (9) Applying to payments by the department of job and family4120
services under section 5111.13 of the Revised Code for group4121
health plan premiums, deductibles, coinsurance, and other4122
cost-sharing expenses;4123

       (10) Applying to any agency of the legislative branch of the4124
state government;4125

       (11) Applying to agreements or contracts entered into under4126
section 5101.11, 5101.20, 5101.201, 5101.21, or 5101.214 of the 4127
Revised Code;4128

       (12) Applying to purchases of services by the adult parole4129
authority under section 2967.14 of the Revised Code or by the4130
department of youth services under section 5139.08 of the Revised4131
Code;4132

       (13) Applying to dues or fees paid for membership in an4133
organization or association;4134

       (14) Applying to purchases of utility services pursuant to4135
section 9.30 of the Revised Code;4136

       (15) Applying to purchases made in accordance with rules4137
adopted by the department of administrative services of motor4138
vehicle, aviation, or watercraft fuel, or emergency repairs of4139
such vehicles;4140

       (16) Applying to purchases of tickets for passenger air4141
transportation;4142

       (17) Applying to purchases necessary to provide public4143
notifications required by law or to provide notifications of job4144
openings;4145

       (18) Applying to the judicial branch of state government;4146

       (19) Applying to purchases of liquor for resale by the4147
division of liquor control;4148

       (20) Applying to purchases of motor courier and freight4149
services made in accordance with department of administrative4150
services rules;4151

       (21) Applying to purchases from the United States postal4152
service and purchases of stamps and postal meter replenishment4153
from vendors at rates established by the United States postal4154
service;4155

       (22) Applying to purchases of books, periodicals, pamphlets,4156
newspapers, maintenance subscriptions, and other published4157
materials;4158

       (23) Applying to purchases from other state agencies,4159
including state-assisted institutions of higher education;4160

       (24) Limiting the authority of the director of environmental4161
protection to enter into contracts under division (D) of section4162
3745.14 of the Revised Code to conduct compliance reviews, as4163
defined in division (A) of that section;4164

       (25) Applying to purchases from a qualified nonprofit agency4165
pursuant to sections 125.60 to 125.6012 or 4115.31 to 4115.35 of 4166
the Revised Code;4167

       (26) Applying to payments by the department of job and family4168
services to the United States department of health and human4169
services for printing and mailing notices pertaining to the tax4170
refund offset program of the internal revenue service of the4171
United States department of the treasury;4172

       (27) Applying to contracts entered into by the department of4173
mental retardation and developmental disabilities under sections4174
section 5123.18, 5123.182, and 5123.199 of the Revised Code;4175

       (28) Applying to payments made by the department of mental4176
health under a physician recruitment program authorized by section4177
5119.101 of the Revised Code;4178

       (29) Applying to contracts entered into with persons by the4179
director of commerce for unclaimed funds collection and remittance4180
efforts as provided in division (F) of section 169.03 of the4181
Revised Code. The director shall keep an itemized accounting of4182
unclaimed funds collected by those persons and amounts paid to4183
them for their services.4184

       (30) Applying to purchases made by a state institution of4185
higher education in accordance with the terms of a contract4186
between the vendor and an inter-university purchasing group4187
comprised of purchasing officers of state institutions of higher4188
education;4189

       (31) Applying to the department of job and family services'4190
purchases of health assistance services under the children's4191
health insurance program part I provided for under section 5101.504192
of the Revised Code or the children's health insurance program4193
part II provided for under section 5101.51 of the Revised Code;4194

       (32) Applying to payments by the attorney general from the4195
reparations fund to hospitals and other emergency medical4196
facilities for performing medical examinations to collect physical4197
evidence pursuant to section 2907.28 of the Revised Code;4198

       (33) Applying to contracts with a contracting authority or4199
administrative receiver under division (B) of section 5126.056 of 4200
the Revised Code;4201

       (34) Applying to reimbursements paid to the United States 4202
department of veterans affairs for pharmaceutical and patient 4203
supply purchases made on behalf of the Ohio veterans' home agency;4204

       (35) Applying to agreements entered into with terminal 4205
distributors of dangerous drugs under section 5110.20 of the 4206
Revised Code.4207

       (E) Notwithstanding division (B)(1) of this section, the4208
cumulative purchase threshold shall be seventy-five thousand4209
dollars for the departments of mental retardation and4210
developmental disabilities, mental health, rehabilitation and4211
correction, and youth services.4212

       (F) When determining whether a state agency has reached the4213
cumulative purchase thresholds established in divisions (B)(1),4214
(B)(2), and (E) of this section, all of the following purchases by4215
such agency shall not be considered:4216

       (1) Purchases made through competitive selection or with4217
controlling board approval;4218

       (2) Purchases listed in division (D) of this section;4219

       (3) For the purposes of the thresholds of divisions (B)(1)4220
and (E) of this section only, leases of real estate.4221

       (G) As used in this section, "competitive selection,"4222
"purchase," "supplies," and "services" have the same meanings as4223
in section 125.01 of the Revised Code.4224

       Sec. 131.44.  (A) As used in this section:4225

       (1) "Surplus revenue" means the excess, if any, of the total 4226
fund balance over the required year-end balance.4227

       (2) "Total fund balance" means the sum of the unencumbered4228
balance in the general revenue fund on the last day of the4229
preceding fiscal year plus the balance in the budget stabilization 4230
fund.4231

       (3) "Required year-end balance" means the sum of the4232
following:4233

       (a) Five per cent of the general revenue fund revenues for 4234
the preceding fiscal year;4235

       (b) "Ending fund balance," which means one-half of one per 4236
cent of general revenue fund revenues for the preceding fiscal 4237
year;4238

       (c) "Carryover balance," which means, with respect to a 4239
fiscal biennium, the excess, if any, of the estimated general 4240
revenue fund appropriation and transfer requirement for the second 4241
fiscal year of the biennium over the estimated general revenue 4242
fund revenue for that fiscal year;4243

       (d) "Capital appropriation reserve," which means the amount, 4244
if any, of general revenue fund capital appropriations made for 4245
the current biennium that the director of budget and management 4246
has determined will be encumbered or disbursed;4247

       (e) "Income tax reduction impact reserve," which means an 4248
amount equal to the reduction projected by the director of budget 4249
and management in income tax revenue in the current fiscal year 4250
attributable to the previous reduction in the income tax rate made 4251
by the tax commissioner pursuant to division (B) of section 4252
5747.02 of the Revised Code.4253

       (4) "Estimated general revenue fund appropriation and4254
transfer requirement" means the most recent adjusted4255
appropriations made by the general assembly from the general4256
revenue fund and includes both of the following:4257

       (a) Appropriations made and transfers of appropriations from 4258
the first fiscal year to the second fiscal year of the biennium in 4259
provisions of acts of the general assembly signed by the governor 4260
but not yet effective;4261

       (b) Transfers of appropriation from the first fiscal year to 4262
the second fiscal year of the biennium approved by the controlling 4263
board.4264

       (5) "Estimated general revenue fund revenue" means the most 4265
recent such estimate available to the director of budget and 4266
management.4267

       (B)(1) Not later than the thirty-first day of July each year, 4268
the director of budget and management shall determine the surplus 4269
revenue that existed on the preceding thirtieth day of June and 4270
transfer from the general revenue fund, to the extent of the 4271
unobligated, unencumbered balance on the preceding thirtieth day 4272
of June in excess of one-half of one per cent of the general4273
revenue fund revenues in the preceding fiscal year, the following:4274

       (a) First, to the budget stabilization fund, any amount 4275
necessary for the balance of the budget stabilization fund to 4276
equal five per cent of the general revenue fund revenues of the 4277
preceding fiscal year;4278

       (b) Then, to the income tax reduction fund, which is hereby 4279
created in the state treasury, an amount equal to the surplus 4280
revenue.4281

       (2) Not later than the thirty-first day of July each year, 4282
the director shall determine the percentage that the balance in 4283
the income tax reduction fund is of the amount of revenue that the4284
director estimates will be received from the tax levied under4285
section 5747.02 of the Revised Code in the current fiscal year 4286
without regard to any reduction under division (B) of that 4287
section. If that percentage exceeds thirty-five one hundredths of 4288
one per cent, the director shall certify the percentage to the tax 4289
commissioner not later than the thirty-first day of July.4290

       (C) The director of budget and management shall transfer 4291
money in the income tax reduction fund to the general revenue 4292
fund, the local governmentcommunities fund, and the library and4293
local government supportlibraries fund, and the local government 4294
revenue assistance fund as necessary to offset revenue reductions 4295
resulting from the reductions in taxes required under division (B) 4296
of section 5747.02 of the Revised Code in the respective amounts 4297
and percentages prescribed by divisionsdivision (A)(1), (2), and 4298
(4) of section 5747.03 and divisions (A) and (B) of section 133.514299
of the Revised Code as if the amount transferred had been 4300
collected as taxes under Chapter 5747. of the Revised Code. If no 4301
reductions in taxes are made under that division that affect 4302
revenue received in the current fiscal year, the director shall 4303
not transfer money from the income tax reduction fund to the 4304
general revenue fund, the local governmentcommunities fund, and4305
the library and local government supportlibraries fund, and the 4306
local government revenue assistance fund.4307

       Sec. 131.51.  (A) Beginning January 2008, on or before the 4308
fifth day of each month, the director of budget and management 4309
shall credit to the local communities fund, which is hereby 4310
created in the state treasury, three and sixty-eight one 4311
hundredths per cent of total tax revenue credited to the general 4312
revenue fund during the preceding month. In determining the total 4313
tax revenue credited to the general revenue fund during the 4314
preceding month, the director shall include amounts transferred 4315
from that fund during the preceding month pursuant to divisions 4316
(A) and (B) of this section. Money shall be distributed from the 4317
local communities fund as required under section 5747.50 of the 4318
Revised Code during the same month in which it is credited to the 4319
fund.4320

       (B) Beginning January 2008, on or before the fifth day of 4321
each month, the director of budget and management shall credit to 4322
the local libraries fund, which is hereby created in the state 4323
treasury, two and twenty-two one hundredths per cent of the total 4324
tax revenue credited to the general revenue fund during the 4325
preceding month. In determining the total tax revenue credited to 4326
the general revenue fund during the preceding month, the director 4327
shall include amounts transferred from that fund during the 4328
preceding month pursuant to divisions (A) and (B) of this section. 4329
Money shall be distributed from the local libraries fund as 4330
required under section 5747.47 of the Revised Code during the same 4331
month in which it is credited to the fund.4332

       (C) The director of budget and management shall develop a 4333
schedule identifying the specific tax revenue sources to be used 4334
to make the monthly transfers required under divisions (A) and (B) 4335
of this section. The director may, from time to time, revise the 4336
schedule as the director considers necessary.4337

       Sec. 133.01.  As used in this chapter, in sections 9.95,4338
9.96, and 2151.655 of the Revised Code, in other sections of the4339
Revised Code that make reference to this chapter unless the4340
context does not permit, and in related proceedings, unless4341
otherwise expressly provided:4342

       (A) "Acquisition" as applied to real or personal property4343
includes, among other forms of acquisition, acquisition by4344
exercise of a purchase option, and acquisition of interests in4345
property, including, without limitation, easements and4346
rights-of-way, and leasehold and other lease interests initially4347
extending or extendable for a period of at least sixty months.4348

       (B) "Anticipatory securities" means securities, including4349
notes, issued in anticipation of the issuance of other securities.4350

       (C) "Board of elections" means the county board of elections4351
of the county in which the subdivision is located. If the4352
subdivision is located in more than one county, "board of4353
elections" means the county board of elections of the county that4354
contains the largest portion of the population of the subdivision4355
or that otherwise has jurisdiction in practice over and4356
customarily handles election matters relating to the subdivision.4357

       (D) "Bond retirement fund" means the bond retirement fund4358
provided for in section 5705.09 of the Revised Code, and also4359
means a sinking fund or any other special fund, regardless of the4360
name applied to it, established by or pursuant to law or the4361
proceedings for the payment of debt charges. Provision may be made 4362
in the applicable proceedings for the establishment in a bond4363
retirement fund of separate accounts relating to debt charges on4364
particular securities, or on securities payable from the same or4365
common sources, and for the application of moneys in those4366
accounts only to specified debt charges on specified securities or4367
categories of securities. Subject to law and any provisions in the 4368
applicable proceedings, moneys in a bond retirement fund or4369
separate account in a bond retirement fund may be transferred to4370
other funds and accounts.4371

       (E) "Capitalized interest" means all or a portion of the4372
interest payable on securities from their date to a date stated or4373
provided for in the applicable legislation, which interest is to4374
be paid from the proceeds of the securities.4375

       (F) "Chapter 133. securities" means securities authorized by4376
or issued pursuant to or in accordance with this chapter.4377

       (G) "County auditor" means the county auditor of the county4378
in which the subdivision is located. If the subdivision is located 4379
in more than one county, "county auditor" means the county auditor 4380
of the county that contains the highest amount of the tax4381
valuation of the subdivision or that otherwise has jurisdiction in4382
practice over and customarily handles property tax matters4383
relating to the subdivision. In the case of a county that has4384
adopted a charter, "county auditor" means the officer who4385
generally has the duties and functions provided in the Revised4386
Code for a county auditor.4387

       (H) "Credit enhancement facilities" means letters of credit,4388
lines of credit, stand-by, contingent, or firm securities purchase4389
agreements, insurance, or surety arrangements, guarantees, and4390
other arrangements that provide for direct or contingent payment4391
of debt charges, for security or additional security in the event4392
of nonpayment or default in respect of securities, or for making4393
payment of debt charges to and at the option and on demand of4394
securities holders or at the option of the issuer or upon certain4395
conditions occurring under put or similar arrangements, or for4396
otherwise supporting the credit or liquidity of the securities,4397
and includes credit, reimbursement, marketing, remarketing,4398
indexing, carrying, interest rate hedge, and subrogation4399
agreements, and other agreements and arrangements for payment and4400
reimbursement of the person providing the credit enhancement4401
facility and the security for that payment and reimbursement.4402

       (I) "Current operating expenses" or "current expenses" means4403
the lawful expenditures of a subdivision, except those for4404
permanent improvements and for payments of debt charges of the4405
subdivision.4406

       (J) "Debt charges" means the principal, including any4407
mandatory sinking fund deposits and mandatory redemption payments,4408
interest, and any redemption premium, payable on securities as4409
those payments come due and are payable. The use of "debt charges" 4410
for this purpose does not imply that any particular securities 4411
constitute debt within the meaning of the Ohio Constitution or 4412
other laws.4413

       (K) "Financing costs" means all costs and expenses relating4414
to the authorization, including any required election, issuance,4415
sale, delivery, authentication, deposit, custody, clearing,4416
registration, transfer, exchange, fractionalization, replacement,4417
payment, and servicing of securities, including, without4418
limitation, costs and expenses for or relating to publication and4419
printing, postage, delivery, preliminary and final official4420
statements, offering circulars, and informational statements,4421
travel and transportation, underwriters, placement agents,4422
investment bankers, paying agents, registrars, authenticating4423
agents, remarketing agents, custodians, clearing agencies or4424
corporations, securities depositories, financial advisory4425
services, certifications, audits, federal or state regulatory4426
agencies, accounting and computation services, legal services and4427
obtaining approving legal opinions and other legal opinions,4428
credit ratings, redemption premiums, and credit enhancement4429
facilities. Financing costs may be paid from any moneys available4430
for the purpose, including, unless otherwise provided in the4431
proceedings, from the proceeds of the securities to which they4432
relate and, as to future financing costs, from the same sources4433
from which debt charges on the securities are paid and as though4434
debt charges.4435

       (L) "Fiscal officer" means the following, or, in the case of4436
absence or vacancy in the office, a deputy or assistant authorized4437
by law or charter to act in the place of the named officer, or if4438
there is no such authorization then the deputy or assistant4439
authorized by legislation to act in the place of the named officer4440
for purposes of this chapter, in the case of the following4441
subdivisions:4442

       (1) A county, the county auditor;4443

       (2) A municipal corporation, the city auditor or village4444
clerk or clerk-treasurer, or the officer who, by virtue of a4445
charter, has the duties and functions provided in the Revised Code4446
for the city auditor or village clerk or clerk-treasurer;4447

       (3) A school district, the treasurer of the board of4448
education;4449

       (4) A regional water and sewer district, the secretary of the 4450
board of trustees;4451

       (5) A joint township hospital district, the treasurer of the4452
district;4453

       (6) A joint ambulance district, the clerk of the board of4454
trustees;4455

       (7) A joint recreation district, the person designated4456
pursuant to section 755.15 of the Revised Code;4457

       (8) A detention facility district or a district organized4458
under section 2151.65 of the Revised Code or a combined district4459
organized under sections 2152.41 and 2151.65 of the Revised Code,4460
the county auditor of the county designated by law to act as the4461
auditor of the district;4462

       (9) A township, a fire district organized under division (C)4463
of section 505.37 of the Revised Code, or a township police4464
district, the fiscal officer of the township;4465

       (10) A joint fire district, the clerk of the board of4466
trustees of that district;4467

       (11) A regional or county library district, the person4468
responsible for the financial affairs of that district;4469

       (12) A joint solid waste management district, the fiscal4470
officer appointed by the board of directors of the district under4471
section 343.01 of the Revised Code;4472

       (13) A joint emergency medical services district, the person4473
appointed as fiscal officer pursuant to division (D) of section4474
307.053 of the Revised Code;4475

       (14) A fire and ambulance district, the person appointed as4476
fiscal officer under division (B) of section 505.375 of the4477
Revised Code;4478

       (15) A subdivision described in division (MM)(17) of this4479
section, the officer who is designated by law as or performs the4480
functions of its chief fiscal officer.4481

       (M) "Fiscal year" has the same meaning as in section 9.34 of4482
the Revised Code.4483

       (N) "Fractionalized interests in public obligations" means4484
participations, certificates of participation, shares, or other4485
instruments or agreements, separate from the public obligations4486
themselves, evidencing ownership of interests in public4487
obligations or of rights to receive payments of, or on account of,4488
principal or interest or their equivalents payable by or on behalf4489
of an obligor pursuant to public obligations.4490

       (O) "Fully registered securities" means securities in4491
certificated or uncertificated form, registered as to both4492
principal and interest in the name of the owner.4493

       (P) "Fund" means to provide for the payment of debt charges4494
and expenses related to that payment at or prior to retirement by4495
purchase, call for redemption, payment at maturity, or otherwise.4496

       (Q) "General obligation" means securities to the payment of4497
debt charges on which the full faith and credit and the general4498
property taxing power, including taxes within the tax limitation4499
if available to the subdivision, of the subdivision are pledged.4500

       (R) "Interest" or "interest equivalent" means those payments4501
or portions of payments, however denominated, that constitute or4502
represent consideration for forbearing the collection of money, or4503
for deferring the receipt of payment of money to a future time.4504

       (S) "Internal Revenue Code" means the "Internal Revenue Code4505
of 1986," 100 Stat. 2085, 26 U.S.C.A. 1 et seq., as amended, and4506
includes any laws of the United States providing for application4507
of that code.4508

       (T) "Issuer" means any public issuer and any nonprofit4509
corporation authorized to issue securities for or on behalf of any4510
public issuer.4511

       (U) "Legislation" means an ordinance or resolution passed by4512
a majority affirmative vote of the then members of the taxing4513
authority unless a different vote is required by charter4514
provisions governing the passage of the particular legislation by4515
the taxing authority.4516

       (V) "Mandatory sinking fund redemption requirements" means4517
amounts required by proceedings to be deposited in a bond4518
retirement fund for the purpose of paying in any year or fiscal4519
year by mandatory redemption prior to stated maturity the4520
principal of securities that is due and payable, except for4521
mandatory prior redemption requirements as provided in those4522
proceedings, in a subsequent year or fiscal year.4523

       (W) "Mandatory sinking fund requirements" means amounts4524
required by proceedings to be deposited in a year or fiscal year4525
in a bond retirement fund for the purpose of paying the principal4526
of securities that is due and payable in a subsequent year or4527
fiscal year.4528

       (X) "Net indebtedness" has the same meaning as in division4529
(A) of section 133.04 of the Revised Code.4530

       (Y) "Obligor," in the case of securities or fractionalized4531
interests in public obligations issued by another person the debt4532
charges or their equivalents on which are payable from payments4533
made by a public issuer, means that public issuer.4534

       (Z) "One purpose" relating to permanent improvements means4535
any one permanent improvement or group or category of permanent4536
improvements for the same utility, enterprise, system, or project,4537
development or redevelopment project, or for or devoted to the4538
same general purpose, function, or use or for which4539
self-supporting securities, based on the same or different sources4540
of revenues, may be issued or for which special assessments may be4541
levied by a single ordinance or resolution. "One purpose"4542
includes, but is not limited to, in any case any off-street4543
parking facilities relating to another permanent improvement, and:4544

       (1) Any number of roads, highways, streets, bridges,4545
sidewalks, and viaducts;4546

       (2) Any number of off-street parking facilities;4547

       (3) In the case of a county, any number of permanent4548
improvements for courthouse, jail, county offices, and other4549
county buildings, and related facilities;4550

       (4) In the case of a school district, any number of4551
facilities and buildings for school district purposes, and related4552
facilities.4553

       (AA) "Outstanding," referring to securities, means securities 4554
that have been issued, delivered, and paid for, except any of the 4555
following:4556

       (1) Securities canceled upon surrender, exchange, or4557
transfer, or upon payment or redemption;4558

       (2) Securities in replacement of which or in exchange for4559
which other securities have been issued;4560

       (3) Securities for the payment, or redemption or purchase for 4561
cancellation prior to maturity, of which sufficient moneys or4562
investments, in accordance with the applicable legislation or4563
other proceedings or any applicable law, by mandatory sinking fund4564
redemption requirements, mandatory sinking fund requirements, or4565
otherwise, have been deposited, and credited for the purpose in a4566
bond retirement fund or with a trustee or paying or escrow agent,4567
whether at or prior to their maturity or redemption, and, in the4568
case of securities to be redeemed prior to their stated maturity,4569
notice of redemption has been given or satisfactory arrangements4570
have been made for giving notice of that redemption, or waiver of4571
that notice by or on behalf of the affected security holders has4572
been filed with the subdivision or its agent for the purpose.4573

       (BB) "Paying agent" means the one or more banks, trust4574
companies, or other financial institutions or qualified persons,4575
including an appropriate office or officer of the subdivision,4576
designated as a paying agent or place of payment of debt charges4577
on the particular securities.4578

       (CC) "Permanent improvement" or "improvement" means any4579
property, asset, or improvement certified by the fiscal officer,4580
which certification is conclusive, as having an estimated life or4581
period of usefulness of five years or more, and includes, but is4582
not limited to, real estate, buildings, and personal property and4583
interests in real estate, buildings, and personal property,4584
equipment, furnishings, and site improvements, and reconstruction,4585
rehabilitation, renovation, installation, improvement,4586
enlargement, and extension of property, assets, or improvements so4587
certified as having an estimated life or period of usefulness of4588
five years or more. The acquisition of all the stock ownership of4589
a corporation is the acquisition of a permanent improvement to the4590
extent that the value of that stock is represented by permanent4591
improvements. A permanent improvement for parking, highway, road,4592
and street purposes includes resurfacing, but does not include4593
ordinary repair.4594

       (DD) "Person" has the same meaning as in section 1.59 of the4595
Revised Code and also includes any federal, state, interstate,4596
regional, or local governmental agency, any subdivision, and any4597
combination of those persons.4598

       (EE) "Proceedings" means the legislation, certifications,4599
notices, orders, sale proceedings, trust agreement or indenture,4600
mortgage, lease, lease-purchase agreement, assignment, credit4601
enhancement facility agreements, and other agreements,4602
instruments, and documents, as amended and supplemented, and any4603
election proceedings, authorizing, or providing for the terms and4604
conditions applicable to, or providing for the security or sale or4605
award of, public obligations, and includes the provisions set4606
forth or incorporated in those public obligations and proceedings.4607

       (FF) "Public issuer" means any of the following that is4608
authorized by law to issue securities or enter into public4609
obligations:4610

       (1) The state, including an agency, commission, officer,4611
institution, board, authority, or other instrumentality of the4612
state;4613

       (2) A taxing authority, subdivision, district, or other local 4614
public or governmental entity, and any combination or consortium, 4615
or public division, district, commission, authority, department, 4616
board, officer, or institution, thereof;4617

       (3) Any other body corporate and politic, or other public4618
entity.4619

       (GG) "Public obligations" means both of the following:4620

       (1) Securities;4621

       (2) Obligations of a public issuer to make payments under4622
installment sale, lease, lease purchase, or similar agreements,4623
which obligations bear interest or interest equivalent.4624

       (HH) "Refund" means to fund and retire outstanding4625
securities, including advance refunding with or without payment or4626
redemption prior to maturity.4627

       (II) "Register" means the books kept and maintained by the4628
registrar for registration, exchange, and transfer of registered4629
securities.4630

       (JJ) "Registrar" means the person responsible for keeping the 4631
register for the particular registered securities, designated by 4632
or pursuant to the proceedings.4633

       (KK) "Securities" means bonds, notes, certificates of4634
indebtedness, commercial paper, and other instruments in writing,4635
including, unless the context does not admit, anticipatory4636
securities, issued by an issuer to evidence its obligation to4637
repay money borrowed, or to pay interest, by, or to pay at any4638
future time other money obligations of, the issuer of the4639
securities, but not including public obligations described in4640
division (GG)(2) of this section.4641

       (LL) "Self-supporting securities" means securities or4642
portions of securities issued for the purpose of paying costs of4643
permanent improvements to the extent that receipts of the4644
subdivision, other than the proceeds of taxes levied by that4645
subdivision, derived from or with respect to the improvements or4646
the operation of the improvements being financed, or the4647
enterprise, system, project, or category of improvements of which4648
the improvements being financed are part, are estimated by the4649
fiscal officer to be sufficient to pay the current expenses of4650
that operation or of those improvements or enterprise, system,4651
project, or categories of improvements and the debt charges4652
payable from those receipts on securities issued for the purpose.4653
Until such time as the improvements or increases in rates and4654
charges have been in operation or effect for a period of at least4655
six months, the receipts therefrom, for purposes of this4656
definition, shall be those estimated by the fiscal officer, except4657
that those receipts may include, without limitation, payments made4658
and to be made to the subdivision under leases or agreements in4659
effect at the time the estimate is made. In the case of an4660
operation, improvements, or enterprise, system, project, or4661
category of improvements without at least a six-month history of4662
receipts, the estimate of receipts by the fiscal officer, other4663
than those to be derived under leases and agreements then in4664
effect, shall be confirmed by the taxing authority.4665

       (MM) "Subdivision" means any of the following:4666

       (1) A county, including a county that has adopted a charter4667
under Article X, Ohio Constitution;4668

       (2) A municipal corporation, including a municipal4669
corporation that has adopted a charter under Article XVIII, Ohio4670
Constitution;4671

       (3) A school district;4672

       (4) A regional water and sewer district organized under4673
Chapter 6119. of the Revised Code;4674

       (5) A joint township hospital district organized under4675
section 513.07 of the Revised Code;4676

       (6) A joint ambulance district organized under section 505.71 4677
of the Revised Code;4678

       (7) A joint recreation district organized under division (C)4679
of section 755.14 of the Revised Code;4680

       (8) A detention facility district organized under section4681
2152.41, a district organized under section 2151.65, or a combined4682
district organized under sections 2152.41 and 2151.65 of the4683
Revised Code;4684

       (9) A township police district organized under section 505.48 4685
of the Revised Code;4686

       (10) A township;4687

       (11) A joint fire district organized under section 505.371 of 4688
the Revised Code;4689

       (12) A county library district created under section 3375.194690
or a regional library district created under section 3375.28 of4691
the Revised Code;4692

       (13) A joint solid waste management district organized under4693
section 343.01 or 343.012 of the Revised Code;4694

       (14) A joint emergency medical services district organized4695
under section 307.052 of the Revised Code;4696

       (15) A fire and ambulance district organized under section4697
505.375 of the Revised Code;4698

       (16) A fire district organized under division (C) of section4699
505.37 of the Revised Code;4700

       (17) Any other political subdivision or taxing district or4701
other local public body or agency authorized by this chapter or4702
other laws to issue Chapter 133. securities.4703

       (NN) "Taxing authority" means in the case of the following4704
subdivisions:4705

       (1) A county, a county library district, or a regional4706
library district, the board or boards of county commissioners, or4707
other legislative authority of a county that has adopted a charter4708
under Article X, Ohio Constitution, but with respect to such a4709
library district acting solely as agent for the board of trustees4710
of that district;4711

       (2) A municipal corporation, the legislative authority;4712

       (3) A school district, the board of education;4713

       (4) A regional water and sewer district, a joint ambulance4714
district, a joint recreation district, a fire and ambulance4715
district, or a joint fire district, the board of trustees of the4716
district;4717

       (5) A joint township hospital district, the joint township4718
hospital board;4719

       (6) A detention facility district or a district organized4720
under section 2151.65 of the Revised Code, a combined district4721
organized under sections 2152.41 and 2151.65 of the Revised Code,4722
or a joint emergency medical services district, the joint board of4723
county commissioners;4724

       (7) A township, a fire district organized under division (C)4725
of section 505.37 of the Revised Code, or a township police4726
district, the board of township trustees;4727

       (8) A joint solid waste management district organized under4728
section 343.01 or 343.012 of the Revised Code, the board of4729
directors of the district;4730

       (9) A subdivision described in division (MM)(17) of this4731
section, the legislative or governing body or official.4732

       (OO) "Tax limitation" means the "ten-mill limitation" as4733
defined in section 5705.02 of the Revised Code without diminution4734
by reason of section 5705.313 of the Revised Code or otherwise,4735
or, in the case of a municipal corporation or county with a4736
different charter limitation on property taxes levied to pay debt4737
charges on unvoted securities, that charter limitation. Those4738
limitations shall be respectively referred to as the "ten-mill4739
limitation" and the "charter tax limitation."4740

       (PP) "Tax valuation" means the aggregate of the valuations of 4741
property subject to ad valorem property taxation by the4742
subdivision on the real property, personal property, and public4743
utility property tax lists and duplicates most recently certified4744
for collection, and shall be calculated without deductions of the4745
valuations of otherwise taxable property exempt in whole or in4746
part from taxation by reason of exemptions of certain amounts of4747
taxable value under division (C) of section 5709.01 or, tax 4748
reductions under section 323.152 of the Revised Code, or similar 4749
laws now or in the future in effect.4750

       For purposes of section 133.06 of the Revised Code, "tax 4751
valuation" shall not include the valuation of tangible personal 4752
property used in business, telephone or telegraph property, 4753
interexchange telecommunications company property, or personal 4754
property owned or leased by a railroad company and used in 4755
railroad operations listed under or described in section 5711.22, 4756
division (B) or (F) of section 5727.111, or section 5727.12 of the 4757
Revised Code.4758

       (QQ) "Year" means the calendar year.4759

       (RR) "Administrative agent," "agent," "commercial paper,"4760
"floating rate interest structure," "indexing agent," "interest 4761
rate hedge," "interest rate period," "put arrangement," and 4762
"remarketing agent" have the same meanings as in section 9.98 of 4763
the Revised Code.4764

       (SS) "Sales tax supported" means obligations to the payment4765
of debt charges on which an additional sales tax or additional4766
sales taxes have been pledged by the taxing authority of a county4767
pursuant to section 133.081 of the Revised Code.4768

       Sec. 133.10.  (A) In anticipation of the collection of4769
current property tax revenues in and for any fiscal year, the4770
taxing authority of any subdivision may issue securities, but the4771
aggregate principal amount of such securities shall not exceed4772
one-half of the amount that the budget commission estimates the4773
subdivision will receive from property taxes in that fiscal year4774
and prior to the last day of the sixth month following the month4775
in which the securities are issued, other than taxes to be4776
received for the payment of debt charges or allocated to debt4777
charges on securities issued pursuant to division (C) of this4778
section, and less all advances. When a partial, semiannual, or4779
final property tax settlement is delayed, securities may also be4780
issued in anticipation of the receipt of property taxes levied or4781
collected for debt charges to the extent necessary to meet such4782
debt charges but not in excess of such estimated receipts, less4783
all advances. The securities issued pursuant to this division (A) 4784
shall mature not later than the last day of the sixth month4785
following the month in which the securities are issued and in any4786
case not later than the last day of the fiscal year in which they4787
are issued.4788

       (B) In anticipation of the collection of current revenues in 4789
and for any fiscal year from any source or combination of sources, 4790
including distributions of any federal or state moneys, other than 4791
the proceeds of property taxes levied by the subdivision, the 4792
taxing authority of any subdivision may issue securities, but the 4793
aggregate principal amount of such securities shall not exceed 4794
one-half of the amount estimated by the fiscal officer to be 4795
received by the subdivision from such sources during the remainder 4796
of such fiscal year, less advances and prior collections.4797

       (C) In anticipation of the collection of current property tax 4798
revenues in and for any fiscal year, the taxing authority of a 4799
county, municipal corporation, township, or school district may4800
issue securities, but the aggregate principal amount of those4801
securities and of any securities issued pursuant to division (A)4802
of this section outstanding at the time of issuance shall not4803
exceed one-half of the amount that the budget commission estimates 4804
the subdivision will receive from all property taxes that are to 4805
be distributed to the subdivision from all settlements of taxes 4806
that are to be made in the remainder of that fiscal year, other 4807
than taxes to be received for the payment of debt charges, and 4808
less all advances.4809

       (D) When the tax settlement scheduled under division (B) of 4810
section 321.24 of the Revised Code is delayed pursuant to division 4811
(E) of that section, the taxing authority of a school district may 4812
issue property tax anticipation securities against the taxes to be 4813
included in that settlement, but the aggregate principal amount of 4814
all securities outstanding against those taxes shall not exceed 4815
ninety per cent of the amount estimated to be received from that 4816
settlement by the budget commission, other than taxes to be 4817
received for the payment of debt charges, and less all advances. 4818
The securities issued pursuant to this division (D) shall mature 4819
on or before the next ensuing thirty-first day of August.4820

       (E) This division applies to all securities authorized by4821
this section.4822

       (1) The amounts from the sources anticipated needed to pay4823
debt charges and financing costs shall be considered appropriated4824
for that purpose, and other appropriations from those sources by4825
the taxing authority shall be limited to the balance available4826
after deducting the amount to pay those debt charges and financing 4827
costs. The portions of those amounts as received and to be applied 4828
to those debt charges shall be deposited and set aside in an 4829
account for the purpose in the bond retirement fund in the amounts 4830
and at the times required to pay those debt charges as provided 4831
for by the authorizing legislation or otherwise provided by law.4832

       (2) Except as otherwise provided in division (H) of this 4833
section, the securities shall not be issued prior to the first day 4834
and, except as otherwise provided in divisions (A) and (D) of this 4835
section, shall mature not later than the last day of the fiscal 4836
year for which the revenues are anticipated.4837

       (3) The proceeds of the principal amount of the securities4838
shall be used only for the purposes for which the amounts4839
anticipated were levied, collected, distributed, and appropriated, 4840
and for financing costs related to those securities.4841

       (4) Property taxes include distributions from the state in4842
payment of credits against or partial exemptions from, or4843
reduction of, property taxes.4844

       (5) If for any reason debt charges on securities authorized 4845
by this section are not paid by the subdivision in the fiscal year 4846
when due, the taxing authority of the subdivision shall include in 4847
its next annual appropriation measure an amount sufficient to pay 4848
those debt charges, and the county auditor and county treasurer 4849
shall withhold, in a custodial account, amounts due the 4850
subdivision from the sources anticipated until such amount is 4851
accumulated by those officers and they directly pay or provide, 4852
through the paying agent or otherwise, for the payment of those 4853
debt charges.4854

       (F) The authority to issue securities under divisions (A) and 4855
(B) of this section may be exercised by any board of library4856
trustees of a public library, or board of park commissioners of a4857
township, to which the budget commission has allotted a share of4858
the local governmentcommunities fund under section 5747.51 of the 4859
Revised Code or of the library and local government support4860
libraries fund under section 5707.051 of the Revised Code.4861

       (G) The taxing authority of a school district issuing4862
securities under division (A), (C), or (D) of this section shall4863
in the legislation authorizing the securities affirm the levy of,4864
or covenant to levy, the anticipated property taxes to be4865
collected in the following year.4866

       (H) The taxing authority of a school district may issue4867
securities authorized by this section on or after the tenth day 4868
preceding the first day of the fiscal year for which the revenues 4869
are anticipated; provided, that if the taxing authority of a 4870
school district issues securities authorized by this section prior 4871
to the first day of the fiscal year for which the revenues are 4872
anticipated:4873

       (1) None of the proceeds received by the school district from 4874
the sale of the securities shall be considered available for 4875
appropriation prior to the first day of the fiscal year for which 4876
the revenues are anticipated; and4877

       (2) None of the proceeds received by the school district from 4878
the sale of the securities shall be expended prior to the first 4879
day of the fiscal year for which the revenues are anticipated.4880

       Sec. 133.25.  (A) After the issuance of general obligation4881
securities or of securities to which section 133.24 of the Revised 4882
Code applies, the taxing authority of the subdivision shall 4883
include in its annual tax budget, and levy a property tax in a 4884
sufficient amount, with any other moneys available for the4885
purpose, to pay the debt charges on the securities payable from4886
property taxes. The necessary property tax rate shall be included 4887
in the fiscal year tax budget that is certified by the subdivision 4888
to the county budget commission, and, if within the ten-mill 4889
limitation, shall be without diminution by reason of section 4890
5705.313 of the Revised Code or any similar provisions.4891

       (B) If the taxing authority determines it to be necessary or 4892
appropriate, and if not prohibited by other law, legislation4893
relating to Chapter 133. securities may, or that legislation may4894
provide for proceedings that may, contain or provide for any one4895
or more or combination of the following:4896

       (1) The pledge to the payment of debt charges of, and related 4897
covenants to levy, charge, collect, deposit, and apply, receipts 4898
of the subdivision lawfully available for the purpose, referred to 4899
in this division (B) as pledged receipts, including, without 4900
limitation, ad valorem property taxes as permitted by law, income 4901
taxes, excises, utility and service revenues, local government4902
communities fund, school foundation, and moneys described in4903
Section 5a of Article XII, Ohio Constitution, and any other4904
receipts from taxes, excises, permits, licenses, fines, or other4905
sources of revenue of or of revenue distributions to the4906
subdivision, and covenants for the establishment, investment,4907
segregation, and maintenance of any funds or reserves in4908
connection with the securities. No pledge or covenant may be made 4909
that impairs the express contract rights of the holders of4910
outstanding securities of the subdivision.4911

       (2) Designation of a bank or trust company authorized to4912
exercise corporate trust powers in this state as a fiscal agent4913
for the securities, which fiscal agent may be a purchaser of any4914
securities and fiscal agent for any other securities of the4915
subdivision, and provision for the periodic deposit of pledged4916
receipts in one or more separate bank accounts, funds, or other4917
accounts established with the fiscal agent, including provision4918
for pledged receipts collected or paid by the state or another4919
subdivision to be transferred, by the appropriate officer of the4920
state or other subdivision having charge of the distribution of4921
the pledged receipts to the subdivision, directly to the fiscal4922
agent for such deposit, which officers shall transfer such pledged 4923
receipts in accordance with this division and the legislation. The 4924
fiscal agent shall disburse moneys so held in accordance with the 4925
legislation, including the transfer of moneys to paying agents or 4926
to persons providing credit enhancement facilities at the times 4927
and in the amounts required. Until needed for that purpose, and 4928
subject to any limitations in the legislation, the fiscal agent 4929
shall either deposit such moneys on behalf of the subdivision in 4930
an institution that is eligible to become a public depository 4931
pursuant to section 135.03 of the Revised Code or invest the 4932
moneys on behalf of the subdivision in obligations that are under 4933
applicable law lawful for the investment of the particular moneys. 4934
Divisions (D), (E), and (G) of section 135.04 and sections 135.08 4935
and 135.09 of the Revised Code do not apply to any such deposits 4936
or investments. Amounts so held and received by a fiscal agent 4937
shall be accounted for in the appropriate special funds of the 4938
subdivision as if held in the treasury of the subdivision, and the 4939
fiscal agent shall provide such information to the subdivision and 4940
to the auditor of state as is necessary for the purpose.4941

       (3) Covenants of the subdivision and other provisions to4942
protect and safeguard the security and rights of the holders of4943
the securities and of the providers of any credit enhancement4944
facilities and provisions for defeasance, including, without4945
limiting the generality of the foregoing, such covenants and4946
provisions as to:4947

       (a) Establishment and maintenance of the funds to be held by 4948
a fiscal agent as provided in this division, the times, amounts, 4949
and levels for deposit to such funds, and the obligations in which 4950
the proceeds of such funds may be invested pending their use, 4951
subject to limitations on investment of public funds otherwise 4952
provided for by law or charter or by the legislation;4953

       (b) The appointment, rights, powers, and duties of the fiscal 4954
agent, and vesting in the fiscal agent all or any of those rights, 4955
powers, and duties in trust;4956

       (c) Compliance with the provisions of this chapter and other 4957
laws applicable to the payment of debt charges on securities of 4958
the subdivision, including Chapter 5705. of the Revised Code;4959

       (d) Conditions that would give rise to an event of default4960
under the terms of the legislation, and actions and remedies that4961
any fiscal agent may take or assert on behalf of the holders of4962
the securities.4963

       (4) As rights and remedies of the holders of securities, in 4964
addition to any other rights and remedies under law, but subject 4965
to the terms of the legislation and of any credit enhancement 4966
facility, provision that if the subdivision defaults in the 4967
payment of debt charges on the securities and such default4968
continues for a period of thirty days, or if the subdivision fails 4969
or refuses to comply with the requirements of this chapter or the 4970
applicable proceedings, or defaults in any contract made with the 4971
holders of those securities, the holders of not less than 4972
twenty-five per cent in principal amount of the outstanding4973
securities of that issue may appoint a trustee, who may be the4974
fiscal agent, to represent those holders for the purposes provided 4975
in this division (B)(4). That trustee may, and upon written 4976
request of the holders of not less than twenty-five per cent in 4977
principal amount of those securities then outstanding shall, in 4978
its own name exercise all or any of the powers of such holders 4979
under division (B)(3) of this section and in addition may:4980

       (a) Bring action for payment of any debt charges then due on 4981
the securities;4982

       (b) By mandamus or other action or proceeding enforce all4983
rights of the holders of the securities, including any right to4984
require the subdivision to assess, levy, charge, collect, and4985
apply pledged receipts adequate to carry out the provisions of the 4986
legislation and any agreement with those holders and to perform 4987
its duties under the legislation and this chapter;4988

       (c) Bring action upon the securities;4989

       (d) By action, require the subdivision to account as if it4990
were the trustee of an express trust for the holders of the4991
securities;4992

       (e) By action, enjoin any acts or things that may be unlawful 4993
or in violation of the rights of the holders of those securities;4994

       (f) Except in the case of securities payable from a property 4995
tax, declare all securities of the issue due and payable, and if 4996
all defaults are subsequently corrected, then, with the consent of 4997
the holders of not less than ten per cent in principal amount of 4998
those securities then outstanding, rescind and annul that 4999
declaration and its consequences.5000

       In addition to the foregoing, the trustee shall have all of5001
the powers necessary or appropriate for the exercise of any5002
functions specifically set forth in this section or the5003
legislation or incident to the general representation of the5004
holders of those securities in the enforcement and protection of5005
their rights.5006

       (5) Contracts or other arrangements for credit enhancement5007
facilities, which may be with a fiscal agent. The costs of or5008
under credit enhancement facilities may be paid from any moneys of 5009
the subdivision lawfully available for the purpose. The credit 5010
enhancement facility may be for the benefit of holders of the 5011
particular securities and of any other securities of the5012
subdivision. Any such benefit conferred with respect to other5013
securities shall not be deemed to restrict, preclude, or otherwise 5014
impair any rights that those holders otherwise may assert.5015

       (C) Unless otherwise provided in the proceedings, the holders 5016
of not less than ten per cent in principal amount of the5017
particular securities at the time outstanding, whether or not then 5018
due and payable or reduced to judgment and either on their own 5019
behalf or on behalf of all persons similarly situated, may:5020

       (1) By mandamus, mandatory or other injunction, or any other 5021
order, writ, process, or decree, or by any other action or5022
proceeding, enforce all contractual or other rights of such5023
holders, including any right to require the subdivision to assess, 5024
levy, charge, collect, and apply the pledged receipts pledged to 5025
carry out the provisions of any agreement with such holders and 5026
perform its duties under the legislation and this chapter;5027

       (2) In the case of default in payment of debt charges on5028
their securities, commence an action upon their securities to5029
require the subdivision to account as if it were the trustee of an 5030
express trust for those holders or to enjoin any acts or things 5031
that may be unlawful or in violation of the rights of those 5032
holders.5033

       (D) The state pledges to and agrees with the holders of5034
Chapter 133. securities that the state will not, by enacting any5035
law or adopting any rule, repeal, revoke, repudiate, limit, alter, 5036
stay, suspend, or otherwise reduce, rescind, or impair the power 5037
or duty of a subdivision to exercise, perform, carry out, and 5038
fulfill its responsibilities or covenants under this chapter or 5039
legislation or agreements as to its Chapter 133. securities,5040
including a credit enhancement facility, passed or entered into5041
pursuant to this chapter, or repeal, revoke, repudiate, limit,5042
alter, stay, suspend, or otherwise reduce, rescind, or impair the5043
rights and remedies of any such holders fully to enforce such5044
responsibilities, covenants, and agreements or to enforce the5045
pledge and agreement of the state contained in this division, or5046
otherwise exercise any sovereign power materially impairing or5047
materially inconsistent with the provisions of such legislation,5048
covenants, and agreements. The general assembly determines and5049
declares that the provisions of this chapter and the powers and5050
duties of subdivisions authorized and imposed under this chapter5051
are proper, reasonable, and appropriate means by which the state5052
can and should exercise and has exercised its duties and powers5053
under the Ohio Constitution, and that those provisions are5054
necessary and in the public interest and a proper means to better5055
provide for the security for, and market reception for the5056
purchase of, those securities. This pledge and agreement shall be 5057
of no force and effect as to securities that are not outstanding. 5058
This pledge and agreement by the state may be temporarily 5059
suspended upon the declaration of martial law in the subdivision 5060
in the event of circumstances deriving directly out of a natural 5061
disaster, such as an earthquake or major conflagration or flood 5062
but not a snowstorm or civil disturbance, or out of military 5063
invasions or civil insurrections, but not strikes or crises 5064
created by financial or economic events. Payment for securities by 5065
the original and subsequent holders shall be deemed conclusive 5066
evidence of valuable consideration received by the state and 5067
subdivision for this pledge and agreement, and any action by the 5068
state contrary to or inconsistent with this division is void as 5069
applied to those securities. The state hereby grants any such 5070
benefited holder the right to sue the state and enforce this 5071
pledge and agreement, and waives all rights of defense based on 5072
sovereign immunity or sovereign power in such an action or suit, 5073
it being expressly determined and declared that the continued 5074
integrity of the contract of any such holder is essential to the 5075
continued right of the subdivision to issue and pay debt charges 5076
on securities as a subdivision of the state. Nothing in this 5077
division requires the state to continue any particular level of 5078
appropriations of moneys, or precludes the state from authorizing 5079
the subdivision to exercise, or the subdivision from exercising, 5080
subject to approval of the tax commissioner, any power provided by 5081
law to seek application of laws then in effect under the 5082
bankruptcy provisions of the United States Constitution but in any 5083
case providing for debt charges as provided in section 133.36 of 5084
the Revised Code, or to preclude the state from further exercise 5085
of any of its powers and responsibilities under the Ohio5086
Constitution.5087

       (E) Moneys and investments held by the subdivision or a5088
paying agent or a fiscal agent, and all receipts of the5089
subdivision, needed and allocated to payment of debt charges or5090
payments by the subdivision under credit enhancement facilities,5091
are property of the subdivision devoted to essential governmental5092
purposes and accordingly shall not be applied to any purpose other 5093
than as provided in this chapter and in the legislation, and shall 5094
not be subject to any order, judgment, lien, execution,5095
attachment, setoff, or counterclaim by any creditor or judgment5096
creditor, as a result of a tort judgment or otherwise, of the5097
subdivision other than the holders of the securities or the5098
provider of the credit enhancement facility who are entitled5099
thereto pursuant to this chapter and the legislation.5100

       Sec. 135.35.  (A) The investing authority shall deposit or5101
invest any part or all of the county's inactive moneys and shall5102
invest all of the money in the county library and local government 5103
supportlibraries fund when required by section 135.352 of the5104
Revised Code. The following classifications of securities and5105
obligations are eligible for such deposit or investment:5106

       (1) United States treasury bills, notes, bonds, or any other 5107
obligation or security issued by the United States treasury, any 5108
other obligation guaranteed as to principal or interest by the 5109
United States, or any book entry, zero-coupon United States 5110
treasury security that is a direct obligation of the United 5111
States.5112

       Nothing in the classification of eligible securities and 5113
obligations set forth in divisions (A)(2) to (11) of this section 5114
shall be construed to authorize any investment in stripped 5115
principal or interest obligations of such eligible securities and 5116
obligations.5117

       (2) Bonds, notes, debentures, or any other obligations or5118
securities issued by any federal government agency or5119
instrumentality, including but not limited to, the federal5120
national mortgage association, federal home loan bank, federal 5121
farm credit bank, federal home loan mortgage corporation, 5122
government national mortgage association, and student loan 5123
marketing association. All federal agency securities shall be 5124
direct issuances of federal government agencies or5125
instrumentalities.5126

       (3) Time certificates of deposit or savings or deposit5127
accounts, including, but not limited to, passbook accounts, in any 5128
eligible institution mentioned in section 135.32 of the Revised 5129
Code;5130

       (4) Bonds and other obligations of this state or the 5131
political subdivisions of this state, provided that such political 5132
subdivisions are located wholly or partly within the same county 5133
as the investing authority;5134

       (5) No-load money market mutual funds consisting exclusively 5135
of obligations described in division (A)(1) or (2) of this section 5136
and repurchase agreements secured by such obligations, provided 5137
that investments in securities described in this division are made 5138
only through eligible institutions mentioned in section 135.32 of 5139
the Revised Code;5140

       (6) The Ohio subdivision's fund as provided in section 135.45 5141
of the Revised Code;5142

       (7) Securities lending agreements with any eligible 5143
institution mentioned in section 135.32 of the Revised Code that 5144
is a member of the federal reserve system or federal home loan 5145
bank or with any recognized United States government securities 5146
dealer meeting the description in division (J)(1) of this section, 5147
under the terms of which agreements the investing authority lends 5148
securities and the eligible institution or dealer agrees to 5149
simultaneously exchange similar securities or cash, equal value 5150
for equal value.5151

       Securities and cash received as collateral for a securities 5152
lending agreement are not inactive moneys of the county or moneys 5153
of a county library and local government supportlibraries fund. 5154
The investment of cash collateral received pursuant to a 5155
securities lending agreement may be invested only in instruments 5156
specified by the investing authority in the written investment 5157
policy described in division (K) of this section.5158

       (8) Up to twenty-five per cent of the county's total average 5159
portfolio in either of the following investments:5160

       (a) Commercial paper notes issued by an entity that is5161
defined in division (D) of section 1705.01 of the Revised Code and 5162
that has assets exceeding five hundred million dollars, to which 5163
notes all of the following apply:5164

       (i) The notes are rated at the time of purchase in the 5165
highest classification established by at least two nationally 5166
recognized standard rating services.5167

       (ii) The aggregate value of the notes does not exceed ten per5168
cent of the aggregate value of the outstanding commercial paper of 5169
the issuing corporation.5170

       (iii) The notes mature not later than two hundred seventy 5171
days after purchase.5172

       (b) Bankers acceptances of banks that are insured by the 5173
federal deposit insurance corporation and to which both of the 5174
following apply:5175

       (i) The obligations are eligible for purchase by the federal5176
reserve system.5177

       (ii) The obligations mature not later than one hundred eighty5178
days after purchase.5179

       No investment shall be made pursuant to division (A)(8) of 5180
this section unless the investing authority has completed 5181
additional training for making the investments authorized by 5182
division (A)(8) of this section. The type and amount of additional 5183
training shall be approved by the auditor of state and may be 5184
conducted by or provided under the supervision of the auditor of 5185
state.5186

       (9) Up to fifteen per cent of the county's total average5187
portfolio in notes issued by corporations that are incorporated5188
under the laws of the United States and that are operating within5189
the United States, or by depository institutions that are doing5190
business under authority granted by the United States or any state5191
and that are operating within the United States, provided both of5192
the following apply:5193

        (a) The notes are rated in the second highest or higher 5194
category by at least two nationally recognized standard rating 5195
services at the time of purchase.5196

        (b) The notes mature not later than two years after purchase.5197

        (10) No-load money market mutual funds rated in the highest 5198
category at the time of purchase by at least one nationally 5199
recognized standard rating service and consisting exclusively of 5200
obligations described in division (A)(1), (2), or (6) of section5201
135.143 of the Revised Code;5202

        (11) Debt interests rated at the time of purchase in the 5203
three highest categories by two nationally recognized standard 5204
rating services and issued by foreign nations diplomatically 5205
recognized by the United States government. All interest and 5206
principal shall be denominated and payable in United States funds. 5207
The investments made under division (A)(11) of this section shall 5208
not exceed in the aggregate one per cent of a county's total 5209
average portfolio.5210

       The investing authority shall invest under division (A)(11)5211
of this section in a debt interest issued by a foreign nation only5212
if the debt interest is backed by the full faith and credit of5213
that foreign nation, there is no prior history of default, and the5214
debt interest matures not later than five years after purchase. 5215
For purposes of division (A)(11) of this section, a debt interest 5216
is rated in the three highest categories by two nationally 5217
recognized standard rating services if either the debt interest 5218
itself or the issuer of the debt interest is rated, or is 5219
implicitly rated, at the time of purchase in the three highest 5220
categories by two nationally recognized standard rating services.5221

       (B) Nothing in the classifications of eligible obligations 5222
and securities set forth in divisions (A)(1) to (11) of this 5223
section shall be construed to authorize investment in a 5224
derivative, and no investing authority shall invest any county 5225
inactive moneys or any moneys in a county library and local 5226
government supportlibraries fund in a derivative. For purposes of 5227
this division, "derivative" means a financial instrument or5228
contract or obligation whose value or return is based upon or 5229
linked to another asset or index, or both, separate from the 5230
financial instrument, contract, or obligation itself. Any 5231
security, obligation, trust account, or other instrument that is 5232
created from an issue of the United States treasury or is created 5233
from an obligation of a federal agency or instrumentality or is 5234
created from both is considered a derivative instrument. An 5235
eligible investment described in this section with a variable5236
interest rate payment, based upon a single interest payment or 5237
single index comprised of other eligible investments provided for 5238
in division (A)(1) or (2) of this section, is not a derivative, 5239
provided that such variable rate investment has a maximum maturity 5240
of two years. A treasury inflation-protected security shall not be 5241
considered a derivative, provided the security matures not later 5242
than five years after purchase.5243

       (C) Except as provided in division (D) of this section, any 5244
investment made pursuant to this section must mature within five5245
years from the date of settlement, unless the investment is 5246
matched to a specific obligation or debt of the county or to a 5247
specific obligation or debt of a political subdivision of this 5248
state located wholly or partly within the county, and the 5249
investment is specifically approved by the investment advisory5250
committee.5251

       (D) The investing authority may also enter into a written5252
repurchase agreement with any eligible institution mentioned in 5253
section 135.32 of the Revised Code or any eligible securities5254
dealer pursuant to division (J) of this section, under the terms 5255
of which agreement the investing authority purchases and the 5256
eligible institution or dealer agrees unconditionally to 5257
repurchase any of the securities listed in divisions (B)(1) to 5258
(5), except letters of credit described in division (B)(2), of5259
section 135.18 of the Revised Code. The market value of securities 5260
subject to an overnight written repurchase agreement must exceed 5261
the principal value of the overnight written repurchase agreement 5262
by at least two per cent. A written repurchase agreement must 5263
exceed the principal value of the overnight written repurchase 5264
agreement, by at least two per cent. A written repurchase5265
agreement shall not exceed thirty days, and the market value of 5266
securities subject to a written repurchase agreement must exceed 5267
the principal value of the written repurchase agreement by at5268
least two per cent and be marked to market daily. All securities 5269
purchased pursuant to this division shall be delivered into the5270
custody of the investing authority or the qualified custodian of 5271
the investing authority or an agent designated by the investing 5272
authority. A written repurchase agreement with an eligible 5273
securities dealer shall be transacted on a delivery versus payment 5274
basis. The agreement shall contain the requirement that for each 5275
transaction pursuant to the agreement the participating 5276
institution shall provide all of the following information:5277

       (1) The par value of the securities;5278

       (2) The type, rate, and maturity date of the securities;5279

       (3) A numerical identifier generally accepted in the5280
securities industry that designates the securities.5281

       No investing authority shall enter into a written repurchase5282
agreement under the terms of which the investing authority agrees 5283
to sell securities owned by the county to a purchaser and agrees 5284
with that purchaser to unconditionally repurchase those 5285
securities.5286

       (E) No investing authority shall make an investment under 5287
this section, unless the investing authority, at the time of 5288
making the investment, reasonably expects that the investment can5289
be held until its maturity. The investing authority's written 5290
investment policy shall specify the conditions under which an 5291
investment may be redeemed or sold prior to maturity.5292

       (F) No investing authority shall pay a county's inactive 5293
moneys or moneys of a county library and local government support5294
libraries fund into a fund established by another subdivision, 5295
treasurer, governing board, or investing authority, if that fund 5296
was established by the subdivision, treasurer, governing board, or 5297
investing authority for the purpose of investing or depositing the 5298
public moneys of other subdivisions. This division does not apply 5299
to the payment of public moneys into either of the following:5300

       (1) The Ohio subdivision's fund pursuant to division (A)(6) 5301
of this section;5302

       (2) A fund created solely for the purpose of acquiring, 5303
constructing, owning, leasing, or operating municipal utilities 5304
pursuant to the authority provided under section 715.02 of the 5305
Revised Code or Section 4 of Article XVIII, Ohio Constitution.5306

       For purposes of division (F) of this section, "subdivision" 5307
includes a county.5308

       (G) The use of leverage, in which the county uses its current5309
investment assets as collateral for the purpose of purchasing 5310
other assets, is prohibited. The issuance of taxable notes for the 5311
purpose of arbitrage is prohibited. Contracting to sell securities 5312
not owned by the county, for the purpose of purchasing such 5313
securities on the speculation that bond prices will decline, is 5314
prohibited.5315

       (H) Any securities, certificates of deposit, deposit5316
accounts, or any other documents evidencing deposits or5317
investments made under authority of this section shall be issued5318
in the name of the county with the county treasurer or investing5319
authority as the designated payee. If any such deposits or5320
investments are registrable either as to principal or interest, or 5321
both, they shall be registered in the name of the treasurer.5322

       (I) The investing authority shall be responsible for the5323
safekeeping of all documents evidencing a deposit or investment5324
acquired under this section, including, but not limited to,5325
safekeeping receipts evidencing securities deposited with a5326
qualified trustee, as provided in section 135.37 of the Revised5327
Code, and documents confirming the purchase of securities under5328
any repurchase agreement under this section shall be deposited5329
with a qualified trustee, provided, however, that the qualified5330
trustee shall be required to report to the investing authority,5331
auditor of state, or an authorized outside auditor at any time5332
upon request as to the identity, market value, and location of the 5333
document evidencing each security, and that if the participating 5334
institution is a designated depository of the county for the 5335
current period of designation, the securities that are the subject 5336
of the repurchase agreement may be delivered to the treasurer or 5337
held in trust by the participating institution on behalf of the 5338
investing authority.5339

       Upon the expiration of the term of office of an investing5340
authority or in the event of a vacancy in the office for any5341
reason, the officer or the officer's legal representative shall 5342
transfer and deliver to the officer's successor all documents5343
mentioned in this division for which the officer has been5344
responsible for safekeeping. For all such documents transferred 5345
and delivered, the officer shall be credited with, and the 5346
officer's successor shall be charged with, the amount of moneys 5347
evidenced by such documents.5348

       (J)(1) All investments, except for investments in securities5349
described in divisions (A)(5) and (6) of this section, shall be 5350
made only through a member of the national association of 5351
securities dealers, through a bank, savings bank, or savings and 5352
loan association regulated by the superintendent of financial 5353
institutions, or through an institution regulated by the 5354
comptroller of the currency, federal deposit insurance 5355
corporation, or board of governors of the federal reserve system.5356

       (2) Payment for investments shall be made only upon the 5357
delivery of securities representing such investments to the 5358
treasurer, investing authority, or qualified trustee. If the 5359
securities transferred are not represented by a certificate, 5360
payment shall be made only upon receipt of confirmation of 5361
transfer from the custodian by the treasurer, governing board, or 5362
qualified trustee.5363

       (K)(1) Except as otherwise provided in division (K)(2) of5364
this section, no investing authority shall make an investment or 5365
deposit under this section, unless there is on file with the 5366
auditor of state a written investment policy approved by the 5367
investing authority. The policy shall require that all entities 5368
conducting investment business with the investing authority shall 5369
sign the investment policy of that investing authority. All5370
brokers, dealers, and financial institutions, described in 5371
division (J)(1) of this section, initiating transactions with the 5372
investing authority by giving advice or making investment 5373
recommendations shall sign the investing authority's investment 5374
policy thereby acknowledging their agreement to abide by the5375
policy's contents. All brokers, dealers, and financial 5376
institutions, described in division (J)(1) of this section, 5377
executing transactions initiated by the investing authority, 5378
having read the policy's contents, shall sign the investment 5379
policy thereby acknowledging their comprehension and receipt.5380

       (2) If a written investment policy described in division 5381
(K)(1) of this section is not filed on behalf of the county with 5382
the auditor of state, the investing authority of that county shall 5383
invest the county's inactive moneys and moneys of the county 5384
library and local government supportlibraries fund only in time 5385
certificates of deposits or savings or deposit accounts pursuant 5386
to division (A)(3) of this section, no-load money market mutual 5387
funds pursuant to division (A)(5) of this section, or the Ohio 5388
subdivision's fund pursuant to division (A)(6) of this section.5389

       (L)(1) The investing authority shall establish and maintain 5390
an inventory of all obligations and securities acquired by the 5391
investing authority pursuant to this section. The inventory shall5392
include a description of each obligation or security, including 5393
type, cost, par value, maturity date, settlement date, and any 5394
coupon rate.5395

       (2) The investing authority shall also keep a complete record 5396
of all purchases and sales of the obligations and securities made 5397
pursuant to this section.5398

       (3) The investing authority shall maintain a monthly 5399
portfolio report and issue a copy of the monthly portfolio report 5400
describing such investments to the county investment advisory 5401
committee, detailing the current inventory of all obligations and 5402
securities, all transactions during the month that affected the 5403
inventory, any income received from the obligations and 5404
securities, and any investment expenses paid, and stating the 5405
names of any persons effecting transactions on behalf of the 5406
investing authority.5407

       (4) The monthly portfolio report shall be a public record and 5408
available for inspection under section 149.43 of the Revised Code.5409

       (5) The inventory and the monthly portfolio report shall be 5410
filed with the board of county commissioners.5411

       (M) An investing authority may enter into a written 5412
investment or deposit agreement that includes a provision under 5413
which the parties agree to submit to nonbinding arbitration to 5414
settle any controversy that may arise out of the agreement, 5415
including any controversy pertaining to losses of public moneys 5416
resulting from investment or deposit. The arbitration provision 5417
shall be set forth entirely in the agreement, and the agreement 5418
shall include a conspicuous notice to the parties that any party 5419
to the arbitration may apply to the court of common pleas of the 5420
county in which the arbitration was held for an order to vacate,5421
modify, or correct the award. Any such party may also apply to the 5422
court for an order to change venue to a court of common pleas 5423
located more than one hundred miles from the county in which the 5424
investing authority is located.5425

       For purposes of this division, "investment or deposit 5426
agreement" means any agreement between an investing authority and 5427
a person, under which agreement the person agrees to invest, 5428
deposit, or otherwise manage, on behalf of the investing 5429
authority, a county's inactive moneys or moneys in a county 5430
library and local government supportlibraries fund, or agrees to 5431
provide investment advice to the investing authority.5432

       (N) An investment held in the county portfolio on September5433
27, 1996, that was a legal investment under the law as it existed5434
before September 27, 1996, may be held until maturity, or if the 5435
investment does not have a maturity date the investment may be 5436
held until five years from September 27, 1996, regardless of 5437
whether the investment would qualify as a legal investment under 5438
the terms of this section as amended.5439

       Sec. 135.352.  The investment authority shall invest all 5440
moneys in the county library and local government support5441
libraries fund that are not distributed due to an appeal of the 5442
budget commission's allocation of such fund. Interest earned on5443
such investments shall be credited to the fund and distributed in 5444
accordance with section 5747.48 of the Revised Code.5445

       Sec. 151.08.  This section applies to obligations as defined 5446
in this section.5447

       (A) As used in this section:5448

       (1) "Capital facilities" or "capital improvement projects" 5449
means the acquisition, construction, reconstruction, improvement, 5450
planning, and equipping of roads and bridges, waste water 5451
treatment systems, water supply systems, solid waste disposal 5452
facilities, flood control systems, and storm water and sanitary 5453
collection, storage, and treatment facilities, including real5454
property, interests in real property, facilities, and equipment 5455
related or incidental to those facilities.5456

       (2) "Costs of capital facilities" include related direct 5457
administrative expenses and allocable portions of direct costs of 5458
the Ohio public works commission and the local subdivision.5459

       (3) "Local subdivision" means any county, municipal 5460
corporation, township, sanitary district, or regional water and 5461
sewer district.5462

       (4) "Obligations" means obligations as defined in section 5463
151.01 of the Revised Code issued to pay costs of capital 5464
facilities.5465

       (B)(1) The issuing authority shall issue obligations to pay 5466
costs of financing or assisting in the financing of the capital5467
improvement projects of local subdivisions pursuant to Section 2m 5468
of Article VIII, Ohio Constitution, section 151.01 of the Revised 5469
Code, and this section. Not more than one hundred twenty million 5470
dollars principal amount of obligations, plus the principal amount 5471
of obligations that in any prior fiscal years could have been, but 5472
were not, issued within that one-hundred-twenty-million dollar5473
fiscal year limit, may be issued in any fiscal year. Not more than 5474
one billion two hundred million dollars principal amount of 5475
obligations pursuant to Section 2m of Article VIII, Ohio 5476
Constitution may be issued for the purposes of this section and 5477
division (B)(2) of section 164.09 of the Revised Code.5478

       (2) The issuing authority shall issue obligations to pay 5479
costs of financing or assisting in the financing of the capital 5480
improvement projects of local subdivisions pursuant to Section 2p 5481
of Article VIII, Ohio Constitution, section 151.01 of the Revised 5482
Code, and this section. Not more than one hundred twenty million 5483
dollars in principal amount of such obligations may be issued in 5484
any of the first five fiscal years of issuance and not more than 5485
one hundred fifty million dollars in principal amount of such 5486
obligations may be issued in any of the next five fiscal years, 5487
plus in each case the principal amount of such obligations that in 5488
any prior fiscal year could have been but were not issued within 5489
those fiscal year limits. No obligations shall be issued for the 5490
purposes of this section pursuant to Section 2p of Article VIII, 5491
Ohio Constitution, until at least one billion one hundred 5492
ninety-nine million five hundred thousand dollars aggregate 5493
principal amount of obligations have been issued pursuant to 5494
Section 2m of Article VIII, Ohio Constitution. Not more than one 5495
billion three hundred fifty million dollars principal amount of 5496
obligations may be issued pursuant to Section 2p of Article VIII, 5497
Ohio Constitution for the purposes of this section.5498

       (C) Net proceeds of obligations shall be deposited into the 5499
state capital improvements fund created by section 164.08 of the 5500
Revised Code.5501

       (D) There is hereby created in the state treasury the "state5502
capital improvements bond service fund." All moneys received by 5503
the state and required by the bond proceedings, consistent with 5504
this section and section 151.01 of the Revised Code, to be 5505
deposited, transferred, or credited to the bond service fund, and 5506
all other moneys transferred or allocated to or received for the 5507
purposes of that fund, shall be deposited and credited to the bond 5508
service fund, subject to any applicable provisions of the bond 5509
proceedings but without necessity for any act of appropriation. 5510
During the period beginning with the date of the first issuance of 5511
obligations and continuing during the time that any obligations 5512
are outstanding in accordance with their terms, so long as moneys 5513
in the bond service fund are insufficient to pay debt service when 5514
due on those obligations payable from that fund (except the 5515
principal amounts of bond anticipation notes payable from the 5516
proceeds of renewal notes or bonds anticipated) and due in the 5517
particular fiscal year, a sufficient amount of revenues of the 5518
state is committed and, without necessity for further act of5519
appropriation, shall be paid to the bond service fund for the 5520
purpose of paying that debt service when due.5521

       Sec. 151.40. (A) As used in this section:5522

       (1) "Bond proceedings" includes any trust agreements, and any 5523
amendments or supplements to them, as authorized by this section.5524

       (2) "Costs of revitalization projects" includes related5525
direct administrative expenses and allocable portions of the5526
direct costs of those projects of the department of development or5527
the environmental protection agency.5528

       (3) "Issuing authority" means the treasurer of state.5529

       (4) "Obligations" means obligations as defined in section5530
151.01 of the Revised Code issued to pay the costs of projects for5531
revitalization purposes as referred to in division (A)(2) of5532
Section 2o of Article VIII, Ohio Constitution.5533

       (5) "Pledged liquor profits" means all receipts of the state5534
representing the gross profit on the sale of spirituous liquor, as5535
referred to in division (B)(4) of section 4301.10 of the Revised5536
Code, after paying all costs and expenses of the division of5537
liquor control and providing an adequate working capital reserve5538
for the division of liquor control as provided in that division,5539
but excluding the sum required by the second paragraph of section5540
4301.12 of the Revised Code, as it was in effect on May 2, 1980,5541
to be paid into the state treasury.5542

       (6) "Pledged receipts" means, as and to the extent provided5543
in bond proceedings:5544

       (a) Pledged liquor profits. The pledge of pledged liquor5545
profits to obligations is subject to the priority of the pledge of5546
those profits to obligations issued and to be issued pursuant to 5547
Chapter 166. of the Revised Code.5548

       (b) Moneys accruing to the state from the lease, sale, or5549
other disposition or use of revitalization projects or from the5550
repayment, including any interest, of loans or advances made from5551
net proceeds;5552

       (c) Accrued interest received from the sale of obligations;5553

       (d) Income from the investment of the special funds;5554

       (e) Any gifts, grants, donations, or pledges, and receipts5555
therefrom, available for the payment of debt service;5556

       (f) Additional or any other specific revenues or receipts5557
lawfully available to be pledged, and pledged, pursuant to further5558
authorization by the general assembly, to the payment of debt5559
service.5560

       (B)(1) The issuing authority shall issue obligations of the5561
state to pay costs of revitalization projects pursuant to division5562
(B)(2) of Section 2o of Article VIII, Ohio Constitution, section5563
151.01 of the Revised Code as applicable to this section, and this5564
section. The issuing authority, upon the certification to it by5565
the clean Ohio council of the amount of moneys needed in and for5566
the purposes of the clean Ohio revitalization fund created by5567
section 122.658 of the Revised Code, shall issue obligations in5568
the amount determined by the issuing authority to be required for5569
those purposes. Not more than two hundred million dollars 5570
principal amount of obligations issued under this section for 5571
revitalization purposes may be outstanding at any one time. Not 5572
more than fifty million dollars principal amount of obligations, 5573
plus the principal amount of obligations that in any prior fiscal 5574
year could have been, but were not issued within the 5575
fifty-million-dollar fiscal year limit, may be issued in any 5576
fiscal year.5577

       (2) The provisions and authorizations in section 151.01 of 5578
the Revised Code apply to the obligations and the bond proceedings 5579
except as otherwise provided or provided for in those obligations 5580
and bond proceedings.5581

       (C) Net proceeds of obligations shall be deposited in the5582
clean Ohio revitalization fund created in section 122.658 of the5583
Revised Code.5584

       (D) There is hereby created the revitalization projects bond5585
service fund, which shall be in the custody of the treasurer of5586
state, but shall be separate and apart from and not a part of the5587
state treasury. All money received by the state and required by5588
the bond proceedings, consistent with section 151.01 of the5589
Revised Code and this section, to be deposited, transferred, or5590
credited to the bond service fund, and all other money transferred5591
or allocated to or received for the purposes of that fund, shall5592
be deposited and credited to the bond service fund, subject to any5593
applicable provisions of the bond proceedings, but without5594
necessity for any act of appropriation. During the period5595
beginning with the date of the first issuance of obligations and5596
continuing during the time that any obligations are outstanding in5597
accordance with their terms, so long as moneys in the bond service5598
fund are insufficient to pay debt service when due on those5599
obligations payable from that fund, except the principal amounts5600
of bond anticipation notes payable from the proceeds of renewal5601
notes or bonds anticipated, and due in the particular fiscal year,5602
a sufficient amount of pledged receipts is committed and, without5603
necessity for further act of appropriation, shall be paid to the5604
bond service fund for the purpose of paying that debt service when5605
due.5606

       (E) The issuing authority may pledge all, or such portion as5607
the issuing authority determines, of the pledged receipts to the5608
payment of the debt service charges on obligations issued under5609
this section, and for the establishment and maintenance of any5610
reserves, as provided in the bond proceedings, and make other5611
provisions in the bond proceedings with respect to pledged5612
receipts as authorized by this section, which provisions are5613
controlling notwithstanding any other provisions of law pertaining5614
to them.5615

       (F) The issuing authority may covenant in the bond5616
proceedings, and such covenants shall be controlling5617
notwithstanding any other provision of law, that the state and5618
applicable officers and state agencies, including the general5619
assembly, so long as any obligations issued under this section are5620
outstanding, shall maintain statutory authority for and cause to5621
be charged and collected wholesale or retail prices for spirituous5622
liquor sold by the state or its agents so that the available5623
pledged receipts are sufficient in time and amount to meet debt5624
service payable from pledged liquor profits and for the5625
establishment and maintenance of any reserves and other5626
requirements provided for in the bond proceedings.5627

       (G) Obligations may be further secured, as determined by the5628
issuing authority, by a trust agreement between the state and a5629
corporate trustee, which may be any trust company or bank having5630
its principala place of business within the state. Any trust5631
agreement may contain the resolution or order authorizing the5632
issuance of the obligations, any provisions that may be contained5633
in any bond proceedings, and other provisions that are customary5634
or appropriate in an agreement of that type, including, but not5635
limited to:5636

       (1) Maintenance of each pledge, trust agreement, or other5637
instrument comprising part of the bond proceedings until the state5638
has fully paid or provided for the payment of debt service on the5639
obligations secured by it;5640

       (2) In the event of default in any payments required to be5641
made by the bond proceedings, enforcement of those payments or5642
agreements by mandamus, the appointment of a receiver, suit in5643
equity, action at law, or any combination of them;5644

       (3) The rights and remedies of the holders or owners of5645
obligations and of the trustee and provisions for protecting and5646
enforcing them, including limitations on rights of individual5647
holders and owners.5648

       (H) The obligations shall not be general obligations of the5649
state and the full faith and credit, revenue, and taxing power of5650
the state shall not be pledged to the payment of debt service on5651
them. The holders or owners of the obligations shall have no right5652
to have any moneys obligated or pledged for the payment of debt5653
service except as provided in this section and in the applicable5654
bond proceedings. The rights of the holders and owners to payment5655
of debt service are limited to all or that portion of the pledged5656
receipts, and those special funds, pledged to the payment of debt5657
service pursuant to the bond proceedings in accordance with this5658
section, and each obligation shall bear on its face a statement to5659
that effect.5660

       Sec. 152.31.  The Ohio building authority may construct and5661
operate capital facilities for the housing of branches and 5662
agencies of state government, municipal corporations, counties, or 5663
other governmental entities, in any municipal corporation when the 5664
municipal corporation and the authority agree on a location and 5665
all of the following occur:5666

       (A) Two or more of such agencies or governmental entities5667
submit to the authority an application requesting the authority to 5668
construct and operate capital facilities and expressing their 5669
intent to become the initial tenants of the capital facilities and 5670
to thereby occupy all of its available office space;5671

       (B) Any municipal corporation, county, township, or other5672
governmental entities joining in the submission of an application5673
pursuant to division (A) of this section further submits a lease5674
committing it to occupy, for a period equal to the greater of 5675
twenty consecutive years from the date of initial occupancy or the 5676
term of any bonds issued by the authority for the capital 5677
facilities, the capital facilities that, through the application, 5678
it expressed its intent to initially occupy, and obligating it to 5679
pay such rent as the authority determines to be appropriate. 5680
Notwithstanding any other section of the Revised Code, any 5681
governmental entity may enter into such a lease and any such lease 5682
is legally sufficient to obligate the governmental entity for the 5683
term stated therein. Any such lease shall constitute an agreement 5684
described in division (E) of section 152.24 of the Revised Code.5685

       If rental payments required by a lease established pursuant5686
to this division are not paid in accordance with the provision of5687
such a lease, the funds which would otherwise be apportioned to5688
the lessees from the county undivided local governmentcommunities5689
fund, pursuant to sections 5747.51 to 5747.53 of the Revised Code,5690
shall be reduced by the amount of rent payable to the authority.5691
The county treasurer shall immediately pay the amount of such5692
reductions to the authority.5693

       All rents charged by the authority for occupancy of such a5694
capital facility shall be fixed and expended pursuant to section 5695
152.16 of the Revised Code. Any lease with the department of5696
administrative services with respect to such a capital facility 5697
may provide for rental payments that satisfy the requirements of5698
section 152.16 of the Revised Code, but the amount of any rentals5699
paid by other tenants in the capital facility pursuant to leases 5700
with the authority shall be credited against such rental payments 5701
of the department of administrative services. Any lease with the5702
department of administrative services or a using state agency may5703
provide for the payment of rental payments that satisfy the 5704
requirements of section 152.16 of the Revised Code prior to 5705
initial occupancy of such capital facility. In the process of 5706
inviting bids and awarding contracts, the authority shall be 5707
guided by the procedures set forth in sections 153.01 to 153.20 of 5708
the Revised Code. Any provision of sections 152.21, 152.22, and 5709
152.26 of the Revised Code that applies to capital facilities 5710
described in section 152.19 of the Revised Code also applies to 5711
the capital facilities described in this section unless it is 5712
inconsistent with this section.5713

       Sec. 156.02.  The director of administrative services may5714
contract with an energy services company, contractor, architect,5715
professional engineer, or other person experienced in the design5716
and implementation of energy conservation measures for a report5717
containing an analysis and recommendations pertaining to the5718
implementation of energy conservation measures that would5719
significantly reduce energy consumption and operating costs in any 5720
buildings owned by the state and, upon request of its board of 5721
trustees or managing authority, any building owned by an 5722
institution of higher education as defined in section 3345.12 of 5723
the Revised Code. The report shall include estimates of all costs 5724
of such measures, including the costs of design, engineering, 5725
installation, maintenance, repairs, and debt service, and 5726
estimates of the amounts by which energy consumption and operating 5727
costs would be reduced. The cost of each report requested by the 5728
board or managing authority of an institution of higher education 5729
shall be paid by the institution of higher education.5730

       Sec. 164.03.  For the purpose of allocating the funds made5731
available to finance public infrastructure capital improvement 5732
projects of local subdivisions through the issuance of general 5733
obligations of the state of Ohio pursuant to Section 2k or, 2m, or 5734
2p of Article VIII, Ohio Constitution, the state is divided into 5735
the following districts:5736

       District one. Cuyahoga county shall constitute district one.5737

       District two. Hamilton county shall constitute district two.5738

       District three. Franklin county shall constitute district 5739
three.5740

       District four. Montgomery county shall constitute district 5741
four.5742

       District five. Defiance, Erie, Fulton, Henry, Ottawa,5743
Paulding, Sandusky, Williams, and Wood counties shall constitute5744
district five.5745

       District six. Mahoning and Trumbull counties shall constitute 5746
district six.5747

       District seven. Ashtabula, Geauga, Lake, and Portage counties 5748
shall constitute district seven.5749

       District eight. Summit county shall constitute district5750
eight.5751

       District nine. Lorain, Huron, and Medina counties shall5752
constitute district nine.5753

       District ten. Butler, Clermont, Clinton, and Warren counties 5754
shall constitute district ten.5755

       District eleven. Champaign, Clark, Darke, Greene, Madison,5756
Miami, Preble, and Union counties shall constitute district5757
eleven.5758

       District twelve. Lucas county shall constitute district5759
twelve.5760

       District thirteen. Allen, Auglaize, Hancock, Logan, Mercer, 5761
Putnam, Shelby, and Van Wert counties shall constitute district 5762
thirteen.5763

       District fourteen. Carroll, Columbiana, Coshocton, Guernsey, 5764
Harrison, Holmes, Jefferson, and Tuscarawas counties shall 5765
constitute district fourteen.5766

       District fifteen. Adams, Brown, Fayette, Gallia, Highland,5767
Jackson, Lawrence, Pike, Ross, Scioto, and Vinton counties shall5768
constitute district fifteen.5769

       District sixteen. Ashland, Crawford, Hardin, Marion,5770
Richland, Seneca, Wayne, and Wyandot counties shall constitute5771
district sixteen.5772

       District seventeen. Delaware, Fairfield, Knox, Licking,5773
Morrow, and Pickaway counties shall constitute district seventeen.5774

       District eighteen. Athens, Belmont, Hocking, Meigs, Monroe, 5775
Morgan, Muskingum, Noble, Perry, and Washington counties shall 5776
constitute district eighteen.5777

       District nineteen. Stark county shall constitute district5778
nineteen.5779

       Sec. 164.05.  (A) The director of the Ohio public works5780
commission shall do all of the following:5781

       (1) Approve requests for financial assistance from district 5782
public works integrating committees and enter into agreements with 5783
one or more local subdivisions to provide loans, grants, and local 5784
debt support and credit enhancements for a capital improvement 5785
project if the director determines that:5786

       (a) The project is an eligible project pursuant to this5787
chapter;5788

       (b) The financial assistance for the project has been5789
properly approved and requested by the district committee of the5790
district which includes the recipient of the loan or grant;5791

       (c) The amount of the financial assistance, when added to all 5792
other financial assistance provided during the fiscal year for 5793
projects within the district, does not exceed that district's5794
allocation of money from the state capital improvements fund for5795
that fiscal year;5796

       (d) The district committee has provided such documentation5797
and other evidence as the director may require that the district5798
committee has satisfied the requirements of section 164.06 or5799
164.14 of the Revised Code;5800

       (e) The portion of a district's annual allocation which the 5801
director approves in the form of loans and local debt support and 5802
credit enhancements for eligible projects is consistent with5803
divisions (E) and (F) of this section.5804

       (2) Authorize payments to local subdivisions or their5805
contractors for costs incurred for capital improvement projects5806
which have been approved pursuant to this chapter. All requests5807
for payments shall be submitted to the director on forms and in5808
accordance with procedures specified in rules adopted by the5809
director pursuant to division (A)(4) of this section.5810

       (3) Retain the services of or employ financial consultants, 5811
engineers, accountants, attorneys, and such other employees as the 5812
director determines are necessary to carry out the director's 5813
duties under this chapter and fix the compensation for their 5814
services;5815

       (4) Adopt rules establishing the procedures for making5816
applications, reviewing, approving, and rejecting projects for5817
which assistance is authorized under this chapter, and any other5818
rules needed to implement the provisions of this chapter. Such5819
rules shall be adopted under Chapter 119. of the Revised Code.5820

       (5) Provide information and other assistance to local5821
subdivisions and district public works integrating committees in5822
developing their requests for financial assistance for capital5823
improvements under this chapter and encourage cooperation and5824
coordination of requests and the development of multisubdivision5825
and multidistrict projects in order to maximize the benefits that5826
may be derived by districts from each year's allocation;5827

       (6) Require local subdivisions, to the extent practicable, to 5828
use Ohio products, materials, services, and labor in connection 5829
with any capital improvement project financed in whole or in part 5830
under this chapter;5831

       (7) Notify the director of budget and management of all5832
approved projects, and supply all information necessary to track5833
approved projects through the state accounting system;5834

       (8) Appoint the administrator of the Ohio small government5835
capital improvements commission;5836

       (9) Do all other acts, enter into contracts, and execute all 5837
instruments necessary or appropriate to carry out this chapter;5838

       (10) Develop a standardized methodology for evaluating5839
capital improvement needs which will be used by local subdivisions 5840
in preparing the plans required by division (C) of section 164.06 5841
of the Revised Code. The director shall develop this methodology 5842
not later than July 1, 1991.5843

       (11) Establish a program to provide local subdivisions with 5844
technical assistance in preparing project applications. The5845
program shall be designed to assist local subdivisions that lack5846
the financial or technical resources to prepare project5847
applications on their own.5848

       (B) When the director of the Ohio public works commission5849
decides to conditionally approve or disapprove projects, the5850
director's decisions and the reasons for which they are made shall 5851
be made in writing. These written decisions shall be conclusive 5852
for the purposes of the validity and enforceability of such 5853
determinations.5854

       (C) Fees, charges, rates of interest, times of payment of5855
interest and principal, and other terms, conditions, and5856
provisions of and security for financial assistance provided5857
pursuant to the provisions of this chapter shall be such as the5858
director determines to be appropriate. If any payments required by 5859
a loan agreement entered into pursuant to this chapter are not5860
paid, the funds which would otherwise be apportioned to the local5861
subdivision from the county undivided local governmentcommunities5862
fund, pursuant to sections 5747.51 to 5747.53 of the Revised Code, 5863
may, at the direction of the director of the Ohio public works5864
commission, be reduced by the amount payable. The county treasurer 5865
shall, at the direction of the director, pay the amount of such 5866
reductions to the state capital improvements revolving loan fund. 5867
The director may renegotiate a loan repayment schedule with a 5868
local subdivision whose payments from the county undivided local 5869
governmentcommunities fund could be reduced pursuant to this5870
division, but such a renegotiation may occur only one time with5871
respect to any particular loan agreement.5872

       (D) Grants approved for the repair and replacement of5873
existing infrastructure pursuant to this chapter shall not exceed5874
ninety per cent of the estimated total cost of the capital5875
improvement project. Grants approved for new or expanded5876
infrastructure shall not exceed fifty per cent of the estimated5877
cost of the new or expansion elements of the capital improvement5878
project. A local subdivision share of the estimated cost of a5879
capital improvement may consist of any of the following:5880

       (1) The reasonable value, as determined by the director or5881
the administrator, of labor, materials, and equipment that will be 5882
contributed by the local subdivision in performing the capital5883
improvement project;5884

       (2) Moneys received by the local subdivision in any form from 5885
an authority, commission, or agency of the United States for use 5886
in performing the capital improvement project;5887

       (3) Loans made to the local subdivision under this chapter;5888

       (4) Engineering costs incurred by the local subdivision in5889
performing engineering activities related to the project.5890

       A local subdivision share of the cost of a capital5891
improvement shall not include any amounts awarded to it from the5892
local transportation improvement program fund created in section5893
164.14 of the Revised Code.5894

       (E) The following portion of a district public works5895
integrating committee's annual allocation share pursuant to5896
section 164.08 of the Revised Code may be awarded to subdivisions5897
only in the form of interest-free, low-interest, market rate of5898
interest, or blended-rate loans:5899

YEAR IN WHICH PORTION USED FOR 5900
MONEYS ARE ALLOCATED LOANS 5901
Year 1 0% 5902
Year 2 0% 5903
Year 3 10% 5904
Year 4 12% 5905
Year 5 15% 5906
Year 6 20% 5907
Year 7, 8, 9, and 10 22% 5908

       (F) The following portion of a district public works5909
integrating committee's annual allocation pursuant to section5910
164.08 of the Revised Code shall be awarded to subdivisions in the 5911
form of local debt supported and credit enhancements:5912

PORTIONS USED FOR 5913
YEAR IN WHICH LOCAL DEBT SUPPORT 5914
MONEYS ARE ALLOCATED AND CREDIT ENHANCEMENTS 5915
Year 1 0% 5916
Year 2 0% 5917
Year 3 3% 5918
Year 4 5% 5919
Year 5 5% 5920
Year 6 7% 5921
Year 7 7% 5922
Year 8 8% 5923
Year 9 8% 5924
Year 10 8% 5925

       (G) For the period commencing on March 29, 1988 and ending on 5926
June 30, 1993, for the period commencing July 1, 1993, and ending 5927
June 30, 1999, and for each five-year period thereafter, the total 5928
amount of financial assistance awarded under sections 164.01 to 5929
164.08 of the Revised Code for capital improvement projects 5930
located wholly or partially within a county shall be equal to at 5931
least thirty per cent of the amount of what the county would have 5932
been allocated from the obligations authorized to be sold under 5933
this chapter during each period, if such amounts had been 5934
allocable to each county on a per capita basis.5935

       (H) The amount of the annual allocations made pursuant to5936
divisions (B)(1) and (6) of section 164.08 of the Revised Code5937
which can be used for new or expanded infrastructure is limited as 5938
follows:5939

PORTION WHICH MAY 5940
YEAR IN WHICH BE USED FOR NEW OR 5941
MONEYS ARE ALLOCATED EXPANSION INFRASTRUCTURE 5942
Year 1 5% 5943
Year 2 5% 5944
Year 3 10% 5945
Year 4 10% 5946
Year 5 10% 5947
Year 6 15% 5948
Year 7 15% 5949
Year 8 20% 5950
Year 9 20% 5951
Year 10 and each year 5952
thereafter 20% 5953

       (I) The following portion of a district public works5954
integrating committee's annual allocation share pursuant to 5955
section 164.08 of the Revised Code shall be awarded to 5956
subdivisions in the form of interest-free, low-interest, market 5957
rate of interest, or blended-rate loans, or local debt support and 5958
credit enhancements:5959

PORTION USED FOR LOANS 5960
YEAR IN WHICH OR LOCAL DEBT SUPPORT 5961
MONEYS ARE ALLOCATED AND CREDIT ENHANCEMENTS 5962
Year 11 and each year 5963
thereafter 20% 5964

       (J) No project shall be approved under this section unless 5965
the project is designed to have a useful life of at least seven 5966
years. In addition, the average useful life of all projects for 5967
which grants or loans are awarded in each district during a 5968
program year shall not be less than twenty years.5969

       Sec. 164.051.  (A) The administrator of the Ohio small5970
government capital improvements commission shall review projects5971
submitted to himthe administrator by subcommittees of district5972
public works integrating committees in accordance with section 5973
164.06 of the Revised Code. If hethe administrator determines 5974
that a project satisfies the criteria of division (B) of that 5975
section, while taking into consideration the special needs of 5976
villages and townships, the administrator shall recommend to the 5977
Ohio small government capital improvements commission that the 5978
project be approved. If hethe administrator determines that a 5979
project should not be approved or that a decision on the project 5980
should be delayed, such determinations and an explanation should 5981
also be sent to the Ohio small government capital improvements 5982
commission for final resolution.5983

       (B) With respect to projects which the Ohio small government 5984
capital improvements commission approves, the administrator is 5985
authorized to:5986

       (1) Enter into agreements to provide financial assistance in 5987
the form of loans, grants, or local debt support and credit5988
enhancements to villages or townships with populations in the5989
unincorporated areas of the township of less than five thousand;5990

       (2) Authorize payments to such villages or townships or their 5991
contractors for the costs incurred for capital improvement5992
projects which have been approved in accordance with this chapter. 5993
All requests for payments shall be submitted to the administrator 5994
on forms and in accordance with procedures specified in rules 5995
adopted pursuant to division (A)(4) of section 164.05 of the 5996
Revised Code.5997

       (3) Notify the director of budget and management of all5998
approved projects, and supply all information necessary to track5999
the approved projects through the state accounting system.6000

       (4) Do all other acts and enter into contracts and execute6001
all instruments necessary or appropriate to carry out this6002
section.6003

       (C) Fees, charges, rates of interest, times of payment of6004
interest and principal, and other terms, conditions, and6005
provisions of and security for financial assistance provided6006
pursuant to the provisions of this section shall be such as the6007
administrator determines to be appropriate. If any payments6008
required by a loan agreement entered into pursuant to this section 6009
are not paid, the funds which would otherwise be apportioned to 6010
the local subdivision from the county undivided local government6011
communities fund, pursuant to sections 5747.51 to 5747.53 of the 6012
Revised Code, may, at the direction of the Ohio small government 6013
capital improvements commission, be reduced by the amount payable. 6014
The county treasurer shall, at the direction of the commission, 6015
pay the amount of such reductions to the state capital 6016
improvements revolving loan fund. Subject to the approval of the 6017
Ohio small government capital improvements commission, the 6018
administrator may renegotiate a loan repayment schedule with a 6019
local subdivision whose payments from the county undivided local 6020
governmentcommunities fund could be reduced pursuant to this6021
division, but such a renegotiation may occur only one time with6022
respect to any particular loan agreement.6023

       Sec. 164.08.  (A) Except as provided in sections 151.01 and 6024
151.08 or section 164.09 of the Revised Code, the net proceeds of 6025
obligations issued and sold by the treasurer of state pursuant to 6026
section 164.09 of the Revised Code before September 30, 2000, or 6027
pursuant to sections 151.01 and 151.08 of the Revised Code, for 6028
the purpose of financing or assisting in the financing of the cost 6029
of public infrastructure capital improvement projects of local 6030
subdivisions, as provided for in Section 2k or, 2m, or 2p of 6031
Article VIII, Ohio Constitution, and this chapter, shall be paid 6032
into the state capital improvements fund, which is hereby created 6033
in the state treasury. Investment earnings on moneys in the fund 6034
shall be credited to the fund.6035

       (B) Each program year the amount of obligations authorized by 6036
the general assembly in accordance with sections 151.01 and 151.086037
or section 164.09 of the Revised Code, excluding the proceeds of 6038
refunding or renewal obligations, shall be allocated by the 6039
director of the Ohio public works commission as follows:6040

       (1) First, twelve million dollars of the amount of6041
obligations authorized shall be allocated to provide financial6042
assistance to villages and to townships with populations in the6043
unincorporated areas of the township of less than five thousand6044
persons, for capital improvements in accordance with section6045
164.051 and division (D) of section 164.06 of the Revised Code. As 6046
used in division (B)(1) of this section, "capital improvements" 6047
includes resurfacing and improving roads.6048

       (2) Following the allocation required by division (B)(1) of 6049
this section, the director may allocate two million five hundred 6050
thousand dollars of the authorized obligations to provide 6051
financial assistance to local subdivisions for capital improvement 6052
projects which in the judgment of the director of the Ohio public 6053
works commission are necessary for the immediate preservation of 6054
the health, safety, and welfare of the citizens of the local 6055
subdivision requesting assistance.6056

       (3) For the second, third, fourth, and fifth years that6057
obligations are authorized and are available for allocation under6058
this chapter, one million dollars shall be allocated to the sewer6059
and water fund created in section 1525.11 of the Revised Code.6060
Money from this allocation shall be transferred to that fund when6061
needed to support specific payments from that fund.6062

       (4) For program years twelve and fourteen that obligations 6063
are authorized and available for allocation under this chapter, 6064
two million dollars each program year shall be allocated to the 6065
small county capital improvement program for use in providing 6066
financial assistance under division (F) of section 164.02 of the 6067
Revised Code.6068

       (5) After the allocation required by division (B)(3) of this 6069
section is made, the director shall determine the amount of the 6070
remaining obligations authorized to be issued and sold that each 6071
county would receive if such amounts were allocated on a per6072
capita basis each year. If a county's per capita share for the6073
year would be less than three hundred thousand dollars, the6074
director shall allocate to the district in which that county is6075
located an amount equal to the difference between three hundred6076
thousand dollars and the county's per capita share.6077

       (6) After making the allocation required by division (B)(5) 6078
of this section, the director shall allocate the remaining amount 6079
to each district on a per capita basis.6080

       (C)(1) There is hereby created in the state treasury the6081
state capital improvements revolving loan fund, into which shall6082
be deposited all repayments of loans made to local subdivisions6083
for capital improvements pursuant to this chapter. Investment 6084
earnings on moneys in the fund shall be credited to the fund.6085

       (2) There may also be deposited in the state capital6086
improvements revolving loan fund moneys obtained from federal or6087
private grants, or from other sources, which are to be used for6088
any of the purposes authorized by this chapter. Such moneys shall 6089
be allocated each year in accordance with division (B)(6) of this 6090
section.6091

       (3) Moneys deposited into the state capital improvements 6092
revolving loan fund shall be used to make loans for the purpose of 6093
financing or assisting in the financing of the cost of capital6094
improvement projects of local subdivisions.6095

       (4) Investment earnings credited to the state capital 6096
improvements revolving loan fund that exceed the amounts required 6097
to meet estimated federal arbitrage rebate requirements shall be 6098
used to pay costs incurred by the public works commission in 6099
administering this section. Investment earnings credited to the 6100
state capital improvements revolving loan fund that exceed the 6101
amounts required to pay for the administrative costs and estimated 6102
rebate requirements shall be allocated to each district on a per 6103
capita basis.6104

       (5) Each program year, loan repayments received and on 6105
deposit in the state capital improvements revolving loan fund 6106
shall be allocated as follows:6107

       (a) Each district public works integrating committee shall be 6108
allocated an amount equal to the sum of all loan repayments made 6109
to the state capital improvements revolving loan fund by local 6110
subdivisions that are part of the district. Moneys not used in a 6111
program year may be used in the next program year in the same 6112
manner and for the same purpose as originally allocated.6113

       (b) Loan repayments made pursuant to projects approved under 6114
division (B)(1) of this section shall be used to make loans in 6115
accordance with section 164.051 and division (D) of section 164.06 6116
of the Revised Code. Allocations for this purpose made pursuant to 6117
division (C)(5) of this section shall be in addition to the 6118
allocation provided in division (B)(1) of this section.6119

       (c) Loan repayments made pursuant to projects approved under 6120
division (B)(2) of this section shall be used to make loans in 6121
accordance with division (B)(2) of this section. Allocations for 6122
this purpose made pursuant to division (C)(5) of this section 6123
shall be in addition to the allocation provided in division (B)(2) 6124
of this section.6125

       (d) Loans made from the state capital improvements revolving 6126
loan fund shall not be limited in their usage by divisions (E), 6127
(F), (G), (H), and (I) of section 164.05 of the Revised Code.6128

       (D) Investment earnings credited to the state capital6129
improvements fund that exceed the amounts required to meet6130
estimated federal arbitrage rebate requirements shall be used to6131
pay costs incurred by the public works commission in administering 6132
sections 164.01 to 164.12 of the Revised Code.6133

       (E) The director of the Ohio public works commission shall6134
notify the director of budget and management of the amounts6135
allocated pursuant to this section and such information shall be6136
entered into the state accounting system. The director of budget6137
and management shall establish appropriation line items as needed6138
to track these allocations.6139

       (F) If the amount of a district's allocation in a program6140
year exceeds the amount of financial assistance approved for the6141
district by the commission for that year, the remaining portion of 6142
the district's allocation shall be added to the district's6143
allocation pursuant to division (B) of this section for the next6144
succeeding year for use in the same manner and for the same6145
purposes as it was originally allocated, except that any portion6146
of a district's allocation which was available for use on new or6147
expanded infrastructure pursuant to division (H) of section 164.05 6148
of the Revised Code shall be available in succeeding years only 6149
for the repair and replacement of existing infrastructure.6150

       (G) When an allocation based on population is made by the6151
director pursuant to division (B) of this section, the director 6152
shall use the most recent decennial census statistics, and shall 6153
not make any reallocations based upon a change in a district's 6154
population.6155

       Sec. 164.09.  (A) The issuer is authorized to issue and sell, 6156
as provided in this section and in amounts from time to time 6157
authorized by the general assembly, general obligations of this 6158
state for the purpose of financing or assisting in the financing 6159
of the costs of public infrastructure capital improvements for 6160
local subdivisions. The full faith and credit, revenues, and 6161
taxing power of the state are and shall be pledged to the timely 6162
payment of bond service charges on outstanding obligations, all in 6163
accordance with Section 2k or 2m of Article VIII, Ohio 6164
Constitution and sections 164.09 to 164.12 of the Revised Code, 6165
excluding from that pledge fees, excises, or taxes relating to the 6166
registration, operation, or use of vehicles on the public 6167
highways, or to fuels used for propelling those vehicles, and so 6168
long as such obligations are outstanding there shall be levied and 6169
collected excises and taxes, excluding those excepted above, in 6170
amounts sufficient to pay the bond service charges on such 6171
obligations and costs relating to credit facilities.6172

       (B)(1) The total principal amount of obligations issued 6173
pursuant to Section 2k of Article VIII, Ohio Constitution shall6174
not exceed one billion two hundred million dollars, and not more6175
than one hundred twenty million dollars in principal amount of6176
obligations may be issued in any calendar year, all determined as6177
provided in sections 164.09 to 164.12 of the Revised Code.6178

       (2) The total principal amount of obligations issued for the 6179
purposes of this section pursuant to Section 2m of Article VIII, 6180
Ohio Constitution, shall not exceed one billion two hundred 6181
million dollars. Not more than one hundred twenty million dollars 6182
in principal amount of such obligations, plus the principal amount 6183
of such obligations that in any prior fiscal years could have been 6184
but were not issued within the one-hundred-twenty-million-dollar 6185
fiscal year limit, may be issued in any fiscal year. No 6186
obligations shall be issued for the purposes of this section 6187
pursuant to Section 2m of Article VIII, Ohio Constitution, until 6188
at least one billion one hundred ninety-nine million five hundred 6189
thousand dollars aggregate principal amount of obligations have 6190
been issued pursuant to Section 2k of Article VIII, Ohio 6191
Constitution. The amounts specified under division (B)(2) of this 6192
section shall be determined as provided in sections 164.09 to 6193
164.12 of the Revised Code.6194

       (C) Each issue of obligations shall be authorized by order of 6195
the issuer. The bond proceedings shall provide for the principal 6196
amount or maximum principal amount of obligations of an issue, and 6197
shall provide for or authorize the manner or agency for 6198
determining the principal maturity or maturities, not exceeding 6199
the earlier of thirty years from the date of issuance of the 6200
particular obligations or thirty years from the date the debt 6201
represented by the particular obligations was originally6202
contracted, the interest rate or rates, the date of and the dates6203
of payment of interest on the obligations, their denominations,6204
and the establishment within or without the state of a place or6205
places of payment of bond service charges. Sections 9.96 and 9.98 6206
to 9.983 of the Revised Code are applicable to the obligations. 6207
The purpose of the obligations may be stated in the bond 6208
proceedings as "financing or assisting in the financing of local 6209
subdivisions capital improvement projects."6210

       (D) The proceeds of the obligations, except for any portion 6211
to be deposited in special funds, or in escrow funds for the 6212
purpose of refunding outstanding obligations, all as may be6213
provided in the bond proceedings, shall be deposited to the state6214
capital improvements fund established by section 164.08 of the6215
Revised Code.6216

       (E) The issuer may appoint paying agents, bond registrars,6217
securities depositories, and transfer agents, and may retain the6218
services of financial advisers and accounting experts, and retain6219
or contract for the services of marketing, remarketing, indexing,6220
and administrative agents, other consultants, and independent6221
contractors, including printing services, as are necessary in the6222
issuer's judgment to carry out sections 164.01 to 164.12 of the6223
Revised Code. Financing costs are payable, as provided in the bond 6224
proceedings, from the proceeds of the obligations, from special 6225
funds, or from other moneys available for the purpose.6226

       (F) The bond proceedings, including any trust agreement, may 6227
contain additional provisions customary or appropriate to the6228
financing or to the obligations or to particular obligations,6229
including but not limited to:6230

       (1) The redemption of obligations prior to maturity at the6231
option of the state or of the holder or upon the occurrence of6232
certain conditions at such price or prices and under such terms6233
and conditions as are provided in the bond proceedings;6234

       (2) The form of and other terms of the obligations;6235

       (3) The establishment, deposit, investment, and application 6236
of special funds, and the safeguarding of moneys on hand or on 6237
deposit, without regard to Chapter 131. or 135. of the Revised 6238
Code, but subject to any special provisions of this section with 6239
respect to particular funds or moneys, and provided that any bank 6240
or trust company that acts as a depository of any moneys in 6241
special funds may furnish such indemnifying bonds or may pledge 6242
such securities as required by the issuer;6243

       (4) Any or every provision of the bond proceedings binding6244
upon the issuer and such state agency or local subdivision,6245
officer, board, commission, authority, agency, department, or6246
other person or body as may from time to time have the authority6247
under law to take such actions as may be necessary to perform all6248
or any part of the duty required by such provision;6249

       (5) The maintenance of each pledge, any trust agreement, or 6250
other instrument comprising part of the bond proceedings until the 6251
state has fully paid or provided for the payment of the bond6252
service charges on the obligations or met other stated conditions;6253

       (6) In the event of default in any payments required to be6254
made by the bond proceedings, or any other agreement of the issuer 6255
made as a part of a contract under which the obligations were 6256
issued or secured, the enforcement of such payments or agreements 6257
by mandamus, suit in equity, action at law, or any combination of 6258
the foregoing;6259

       (7) The rights and remedies of the holders of obligations and 6260
of the trustee under any trust agreement, and provisions for6261
protecting and enforcing them, including limitations on rights of6262
individual holders of obligations;6263

       (8) The replacement of any obligations that become mutilated 6264
or are destroyed, lost, or stolen;6265

       (9) Provision for the funding, refunding, or advance6266
refunding or other provision for payment of obligations which will 6267
then no longer be outstanding for purposes of this section or of 6268
the bond proceedings;6269

       (10) Any provision that may be made in bond proceedings or a 6270
trust agreement, including provision for amendment of the bond 6271
proceedings;6272

       (11) Such other provisions as the issuer determines,6273
including limitations, conditions, or qualifications relating to6274
any of the foregoing;6275

       (12) Any other or additional agreements with the holders of 6276
the obligations relating to the obligations or the security for 6277
the obligations.6278

       (G) The great seal of the state or a facsimile of that seal 6279
may be affixed to or printed on the obligations. The obligations 6280
requiring signature by the issuer shall be signed by or bear the 6281
facsimile signature of the issuer as provided in the bond 6282
proceedings. Any obligations may be signed by the person who, on 6283
the date of execution, is the authorized signer although on the 6284
date of such obligations such person was not the issuer. In case 6285
the person whose signature or a facsimile of whose signature 6286
appears on any obligation ceases to be the issuer before delivery 6287
of the obligation, such signature or facsimile is nevertheless 6288
valid and sufficient for all purposes as if the person had 6289
remained the member until such delivery, and in case the seal to 6290
be affixed to or printed on obligations has been changed after the 6291
seal has been affixed to or a facsimile of the seal has been6292
printed on the obligations, that seal or facsimile seal shall6293
continue to be sufficient as to those obligations and obligations6294
issued in substitution or exchange therefor.6295

       (H) The obligations are negotiable instruments and securities 6296
under Chapter 1308. of the Revised Code, subject to the provisions 6297
of the bond proceedings as to registration. Obligations may be 6298
issued in coupon or in fully registered form, or both, as the 6299
issuer determines. Provision may be made for the registration of 6300
any obligations with coupons attached as to principal alone or as 6301
to both principal and interest, their exchange for obligations so 6302
registered, and for the conversion or reconversion into 6303
obligations with coupons attached of any obligations registered as 6304
to both principal and interest, and for reasonable charges for 6305
such registration, exchange, conversion, and reconversion. Pending 6306
preparation of definitive obligations, the issuer may issue 6307
interim receipts or certificates which shall be exchanged for such 6308
definitive obligations.6309

       (I) Obligations may be sold at public sale or at private6310
sale, and at such price at, above, or below par, as determined by6311
the issuer in the bond proceedings.6312

       (J) In the discretion of the issuer, obligations may be6313
secured additionally by a trust agreement between the state and a6314
corporate trustee which may be any trust company or bank having6315
its principala place of business within the state. Any trust6316
agreement may contain the order authorizing the issuance of the6317
obligations, any provisions that may be contained in the bond6318
proceedings, and other provisions that are customary or6319
appropriate in an agreement of the type.6320

       (K) Except to the extent that their rights are restricted by 6321
the bond proceedings, any holder of obligations, or a trustee6322
under the bond proceedings, may by any suitable form of legal6323
proceedings protect and enforce any rights under the laws of this6324
state or granted by the bond proceedings. Such rights include the 6325
right to compel the performance of all duties of the issuer and 6326
the state. Each duty of the issuer and the issuer's employees, and 6327
of each state agency and local public entity and its officers, 6328
members, or employees, undertaken pursuant to the bond 6329
proceedings, is hereby established as a duty of the issuer, and of 6330
each such agency, local subdivision, officer, member, or employee 6331
having authority to perform such duty, specifically enjoined by 6332
the law and resulting from an office, trust, or station within the 6333
meaning of section 2731.01 of the Revised Code. The persons who 6334
are at the time the issuer, or the issuer's employees, are not 6335
liable in their personal capacities on any obligations or any 6336
agreements of or with the issuer relating to obligations or under 6337
the bond proceedings.6338

       (L) Obligations are lawful investments for banks, societies 6339
for savings, savings and loan associations, deposit guarantee 6340
associations, trust companies, trustees, fiduciaries, insurance 6341
companies, including domestic for life and domestic not for life, 6342
trustees or other officers having charge of sinking and bond 6343
retirement or other special funds of political subdivisions and 6344
taxing districts of this state, the commissioners of the sinking 6345
fund, the administrator of workers' compensation, the state6346
teachers retirement system, the public employees retirement6347
system, the school employees retirement system, and the Ohio 6348
police and fire pension fund, notwithstanding any other provisions 6349
of the Revised Code or rules adopted pursuant thereto by any state 6350
agency with respect to investments by them, and are also 6351
acceptable as security for the deposit of public moneys.6352

       (M) Unless otherwise provided in any applicable bond6353
proceedings, moneys to the credit of or in the special funds6354
established by or pursuant to this section may be invested by or6355
on behalf of the issuer only in notes, bonds, or other direct6356
obligations of the United States or of any agency or6357
instrumentality of the United States, in obligations of this state 6358
or any political subdivision of this state, in certificates of 6359
deposit of any national bank located in this state and any bank, 6360
as defined in section 1101.01 of the Revised Code, subject to6361
inspection by the superintendent of financial institutions, in the 6362
Ohio subdivision's fund established pursuant to section 135.45 of 6363
the Revised Code, in no-front-end-load money market mutual funds6364
consisting exclusively of direct obligations of the United States6365
or of an agency or instrumentality of the United States, and in 6366
repurchase agreements, including those issued by any fiduciary, 6367
secured by direct obligations of the United States or an agency or6368
instrumentality of the United States, and in collective investment 6369
funds established in accordance with section 1111.14 of the 6370
Revised Code and consisting exclusively of direct obligations of 6371
the United States or of an agency or instrumentality of the United6372
States, notwithstanding division (A)(1)(c) of that section. The 6373
income from investments shall be credited to such special funds or 6374
otherwise as the issuer determines in the bond proceedings, and 6375
the investments may be sold or exchanged at such times as the 6376
issuer determines or authorizes.6377

       (N) Unless otherwise provided in any applicable bond6378
proceedings, moneys to the credit of or in a special fund shall be 6379
disbursed on the order of the issuer, provided that no such order 6380
is required for the payment from the bond service fund or other 6381
special fund when due of bond service charges or required payments 6382
under credit facilities.6383

       (O) The issuer may covenant in the bond proceedings, and any 6384
such covenants shall be controlling notwithstanding any other6385
provision of law, that the state and the applicable officers and6386
agencies of the state, including the general assembly, so long as 6387
any obligations are outstanding in accordance with their terms, 6388
shall maintain statutory authority for and cause to be charged and 6389
collected taxes, excises, and other receipts of the state so that 6390
the receipts to the bond service fund shall be sufficient in6391
amounts to meet bond service charges and for the establishment and 6392
maintenance of any reserves and other requirements, including6393
payment of financing costs, provided for in the bond proceedings.6394

       (P) The obligations, and the transfer of, and the interest6395
and other income from, including any profit made on the sale,6396
transfer, or other disposition of, the obligations shall at all6397
times be free from taxation, direct or indirect, within the state.6398

       (Q) Unless a judicial action or proceeding challenging the6399
validity of obligations is commenced by personal service on the6400
treasurer of state prior to the initial delivery of an issue of6401
the obligations, the obligations of that issue and the bond6402
proceedings pertaining to that issue are incontestable and those6403
obligations shall be conclusively considered to be and to have6404
been issued, secured, payable, sold, executed, and delivered, and6405
the bond proceedings relating to them taken, in conformity with6406
law if all of the following apply to the obligations:6407

       (1) They state that they are issued under the provisions of 6408
this section and comply on their face with those provisions;6409

       (2) They are issued within the limitations prescribed by this 6410
section;6411

       (3) Their purchase price has been paid in full;6412

       (4) They state that all the bond proceedings were held in6413
compliance with law, which statement creates a conclusive6414
presumption that the bond proceedings were held in compliance with 6415
all laws, including section 121.22 of the Revised Code, where 6416
applicable, and rules.6417

       (R) This section applies only with respect to obligations 6418
issued and delivered before September 30, 2000.6419

       Sec. 166.08.  (A) As used in this chapter:6420

       (1) "Bond proceedings" means the resolution, order, trust6421
agreement, indenture, lease, and other agreements, amendments and6422
supplements to the foregoing, or any one or more or combination6423
thereof, authorizing or providing for the terms and conditions6424
applicable to, or providing for the security or liquidity of,6425
obligations issued pursuant to this section, and the provisions6426
contained in such obligations.6427

       (2) "Bond service charges" means principal, including6428
mandatory sinking fund requirements for retirement of obligations,6429
and interest, and redemption premium, if any, required to be paid6430
by the state on obligations.6431

       (3) "Bond service fund" means the applicable fund and6432
accounts therein created for and pledged to the payment of bond6433
service charges, which may be, or may be part of, the economic6434
development bond service fund created by division (S) of this6435
section including all moneys and investments, and earnings from6436
investments, credited and to be credited thereto.6437

       (4) "Issuing authority" means the treasurer of state, or the6438
officer who by law performs the functions of such officer.6439

       (5) "Obligations" means bonds, notes, or other evidence of6440
obligation including interest coupons pertaining thereto, issued6441
pursuant to this section.6442

       (6) "Pledged receipts" means all receipts of the state6443
representing the gross profit on the sale of spirituous liquor, as6444
referred to in division (B)(4) of section 4301.10 of the Revised6445
Code, after paying all costs and expenses of the division of6446
liquor control and providing an adequate working capital reserve6447
for the division of liquor control as provided in that division,6448
but excluding the sum required by the second paragraph of section6449
4301.12 of the Revised Code, as in effect on May 2, 1980, to be6450
paid into the state treasury; moneys accruing to the state from6451
the lease, sale, or other disposition, or use, of project6452
facilities, and from the repayment, including interest, of loans6453
made from proceeds received from the sale of obligations; accrued6454
interest received from the sale of obligations; income from the6455
investment of the special funds; and any gifts, grants, donations,6456
and pledges, and receipts therefrom, available for the payment of6457
bond service charges.6458

       (7) "Special funds" or "funds" means, except where the6459
context does not permit, the bond service fund, and any other6460
funds, including reserve funds, created under the bond6461
proceedings, and the economic development bond service fund6462
created by division (S) of this section to the extent provided in6463
the bond proceedings, including all moneys and investments, and6464
earnings from investment, credited and to be credited thereto.6465

       (B) Subject to the limitations provided in section 166.11 of6466
the Revised Code, the issuing authority, upon the certification by6467
the director of development to the issuing authority of the amount6468
of moneys or additional moneys needed in the facilities6469
establishment fund, the loan guarantee fund, the innovation Ohio 6470
loan fund, the innovation Ohio loan guarantee fund, or the 6471
research and development loan fund for the purpose of paying, or 6472
making loans for, allowable costs from the facilities 6473
establishment fund, allowable innovation costs from the innovation 6474
Ohio loan fund, or allowable costs from the research and 6475
development loan fund, or needed for capitalized interest, for 6476
funding reserves, and for paying costs and expenses incurred in 6477
connection with the issuance, carrying, securing, paying,6478
redeeming, or retirement of the obligations or any obligations6479
refunded thereby, including payment of costs and expenses relating6480
to letters of credit, lines of credit, insurance, put agreements,6481
standby purchase agreements, indexing, marketing, remarketing and6482
administrative arrangements, interest swap or hedging agreements,6483
and any other credit enhancement, liquidity, remarketing, renewal,6484
or refunding arrangements, all of which are authorized by this6485
section, or providing moneys for the loan guarantee fund or the6486
innovation Ohio loan guarantee fund, as provided in this chapter6487
or needed for the purposes of funds established in accordance with6488
or pursuant to sections 122.35, 122.42, 122.54, 122.55, 122.56,6489
122.561, 122.57, and 122.80 of the Revised Code which are within6490
the authorization of Section 13 of Article VIII, Ohio6491
Constitution, shall issue obligations of the state under this6492
section in the required amount; provided that such obligations may6493
be issued to satisfy the covenants in contracts of guarantee made 6494
under section 166.06 or 166.15 of the Revised Code,6495
notwithstanding limitations otherwise applicable to the issuance6496
of obligations under this section. The proceeds of such6497
obligations, except for the portion to be deposited in special6498
funds, including reserve funds, as may be provided in the bond6499
proceedings, shall as provided in the bond proceedings be6500
deposited by the director of development to the facilities6501
establishment fund, the loan guarantee fund, the innovation Ohio 6502
loan guarantee fund, the innovation Ohio loan fund, or the 6503
research and development loan fund. Bond proceedings for project 6504
financing obligations may provide that the proceeds derived from 6505
the issuance of such obligations shall be deposited into such fund 6506
or funds provided for in the bond proceedings and, to the extent6507
provided for in the bond proceedings, such proceeds shall be 6508
deemed to have been deposited into the facilities establishment 6509
fund and transferred to such fund or funds. The issuing authority 6510
may appoint trustees, paying agents, and transfer agents and may 6511
retain the services of financial advisors, accounting experts, and 6512
attorneys, and retain or contract for the services of marketing, 6513
remarketing, indexing, and administrative agents, other 6514
consultants, and independent contractors, including printing 6515
services, as are necessary in the issuing authority's judgment to 6516
carry out this section. The costs of such services are allowable 6517
costs payable from the facilities establishment fund or the 6518
research and development loan fund or allowable innovation costs 6519
payable from the innovation Ohio loan fund.6520

       (C) The holders or owners of such obligations shall have no6521
right to have moneys raised by taxation obligated or pledged, and6522
moneys raised by taxation shall not be obligated or pledged, for6523
the payment of bond service charges. Such holders or owners shall6524
have no rights to payment of bond service charges from any moneys6525
accruing to the state from the lease, sale, or other disposition,6526
or use, of project facilities, or from payment of the principal of6527
or interest on loans made, or fees charged for guarantees made, or6528
from any money or property received by the director, treasurer of6529
state, or the state under Chapter 122. of the Revised Code, or6530
from any other use of the proceeds of the sale of the obligations,6531
and no such moneys may be used for the payment of bond service6532
charges, except for accrued interest, capitalized interest, and6533
reserves funded from proceeds received upon the sale of the6534
obligations and except as otherwise expressly provided in the6535
applicable bond proceedings pursuant to written directions by the6536
director. The right of such holders and owners to payment of bond6537
service charges is limited to all or that portion of the pledged6538
receipts and those special funds pledged thereto pursuant to the6539
bond proceedings in accordance with this section, and each such6540
obligation shall bear on its face a statement to that effect.6541

       (D) Obligations shall be authorized by resolution or order of 6542
the issuing authority and the bond proceedings shall provide for 6543
the purpose thereof and the principal amount or amounts, and shall 6544
provide for or authorize the manner or agency for determining the 6545
principal maturity or maturities, not exceeding twenty-five years 6546
from the date of issuance, the interest rate or rates or the 6547
maximum interest rate, the date of the obligations and the dates 6548
of payment of interest thereon, their denomination, and the 6549
establishment within or without the state of a place or places of 6550
payment of bond service charges. Sections 9.98 to 9.983 of the 6551
Revised Code are applicable to obligations issued under this 6552
section, subject to any applicable limitation under section 166.11 6553
of the Revised Code. The purpose of such obligations may be stated 6554
in the bond proceedings in terms describing the general purpose or 6555
purposes to be served. The bond proceedings also shall provide, 6556
subject to the provisions of any other applicable bond6557
proceedings, for the pledge of all, or such part as the issuing6558
authority may determine, of the pledged receipts and the6559
applicable special fund or funds to the payment of bond service6560
charges, which pledges may be made either prior or subordinate to6561
other expenses, claims, or payments, and may be made to secure the6562
obligations on a parity with obligations theretofore or thereafter6563
issued, if and to the extent provided in the bond proceedings. The6564
pledged receipts and special funds so pledged and thereafter6565
received by the state are immediately subject to the lien of such6566
pledge without any physical delivery thereof or further act, and6567
the lien of any such pledges is valid and binding against all6568
parties having claims of any kind against the state or any6569
governmental agency of the state, irrespective of whether such6570
parties have notice thereof, and shall create a perfected security6571
interest for all purposes of Chapter 1309. of the Revised Code,6572
without the necessity for separation or delivery of funds or for6573
the filing or recording of the bond proceedings by which such6574
pledge is created or any certificate, statement or other document6575
with respect thereto; and the pledge of such pledged receipts and6576
special funds is effective and the money therefrom and thereof may6577
be applied to the purposes for which pledged without necessity for6578
any act of appropriation. Every pledge, and every covenant and6579
agreement made with respect thereto, made in the bond proceedings6580
may therein be extended to the benefit of the owners and holders6581
of obligations authorized by this section, and to any trustee6582
therefor, for the further security of the payment of the bond6583
service charges.6584

       (E) The bond proceedings may contain additional provisions as 6585
to:6586

       (1) The redemption of obligations prior to maturity at the6587
option of the issuing authority at such price or prices and under6588
such terms and conditions as are provided in the bond proceedings;6589

       (2) Other terms of the obligations;6590

       (3) Limitations on the issuance of additional obligations;6591

       (4) The terms of any trust agreement or indenture securing6592
the obligations or under which the same may be issued;6593

       (5) The deposit, investment and application of special funds, 6594
and the safeguarding of moneys on hand or on deposit, without 6595
regard to Chapter 131. or 135. of the Revised Code, but subject to 6596
any special provisions of this chapter, with respect to particular 6597
funds or moneys, provided that any bank or trust company which 6598
acts as depository of any moneys in the special funds may furnish 6599
such indemnifying bonds or may pledge such securities as required 6600
by the issuing authority;6601

       (6) Any or every provision of the bond proceedings being6602
binding upon such officer, board, commission, authority, agency,6603
department, or other person or body as may from time to time have6604
the authority under law to take such actions as may be necessary6605
to perform all or any part of the duty required by such provision;6606

       (7) Any provision that may be made in a trust agreement or6607
indenture;6608

       (8) Any other or additional agreements with the holders of6609
the obligations, or the trustee therefor, relating to the6610
obligations or the security therefor, including the assignment of6611
mortgages or other security obtained or to be obtained for loans6612
under section 122.43, 166.07, or 166.16 of the Revised Code.6613

       (F) The obligations may have the great seal of the state or a 6614
facsimile thereof affixed thereto or printed thereon. The6615
obligations and any coupons pertaining to obligations shall be6616
signed or bear the facsimile signature of the issuing authority. 6617
Any obligations or coupons may be executed by the person who, on6618
the date of execution, is the proper issuing authority although on6619
the date of such bonds or coupons such person was not the issuing6620
authority. If the issuing authority whose signature or a facsimile 6621
of whose signature appears on any such obligation or coupon ceases 6622
to be the issuing authority before delivery thereof, such 6623
signature or facsimile is nevertheless valid and sufficient for 6624
all purposes as if the former issuing authority had remained the 6625
issuing authority until such delivery; and if the seal to be6626
affixed to obligations has been changed after a facsimile of the6627
seal has been imprinted on such obligations, such facsimile seal6628
shall continue to be sufficient as to such obligations and6629
obligations issued in substitution or exchange therefor.6630

       (G) All obligations are negotiable instruments and securities 6631
under Chapter 1308. of the Revised Code, subject to the provisions 6632
of the bond proceedings as to registration. The obligations may be 6633
issued in coupon or in registered form, or both, as the issuing 6634
authority determines. Provision may be made for the registration 6635
of any obligations with coupons attached thereto as to principal 6636
alone or as to both principal and interest, their exchange for 6637
obligations so registered, and for the conversion or reconversion 6638
into obligations with coupons attached thereto of any obligations 6639
registered as to both principal and interest, and for reasonable 6640
charges for such registration, exchange, conversion, and 6641
reconversion.6642

       (H) Obligations may be sold at public sale or at private6643
sale, as determined in the bond proceedings.6644

       Obligations issued to provide moneys for the loan guarantee6645
fund or the innovation Ohio loan guarantee fund may, as determined6646
by the issuing authority, be sold at private sale, and without6647
publication of a notice of sale.6648

       (I) Pending preparation of definitive obligations, the6649
issuing authority may issue interim receipts or certificates which6650
shall be exchanged for such definitive obligations.6651

       (J) In the discretion of the issuing authority, obligations6652
may be secured additionally by a trust agreement or indenture6653
between the issuing authority and a corporate trustee which may be6654
any trust company or bank having its principala place of business6655
within the state. Any such agreement or indenture may contain the6656
resolution or order authorizing the issuance of the obligations,6657
any provisions that may be contained in any bond proceedings, and6658
other provisions which are customary or appropriate in an6659
agreement or indenture of such type, including, but not limited6660
to:6661

       (1) Maintenance of each pledge, trust agreement, indenture,6662
or other instrument comprising part of the bond proceedings until6663
the state has fully paid the bond service charges on the6664
obligations secured thereby, or provision therefor has been made;6665

       (2) In the event of default in any payments required to be6666
made by the bond proceedings, or any other agreement of the6667
issuing authority made as a part of the contract under which the6668
obligations were issued, enforcement of such payments or agreement6669
by mandamus, the appointment of a receiver, suit in equity, action6670
at law, or any combination of the foregoing;6671

       (3) The rights and remedies of the holders of obligations and 6672
of the trustee, and provisions for protecting and enforcing them, 6673
including limitations on rights of individual holders of6674
obligations;6675

       (4) The replacement of any obligations that become mutilated6676
or are destroyed, lost, or stolen;6677

       (5) Such other provisions as the trustee and the issuing6678
authority agree upon, including limitations, conditions, or6679
qualifications relating to any of the foregoing.6680

       (K) Any holders of obligations or trustees under the bond6681
proceedings, except to the extent that their rights are restricted6682
by the bond proceedings, may by any suitable form of legal6683
proceedings, protect and enforce any rights under the laws of this6684
state or granted by such bond proceedings. Such rights include the 6685
right to compel the performance of all duties of the issuing6686
authority, the director of development, or the division of liquor6687
control required by this chapter or the bond proceedings; to6688
enjoin unlawful activities; and in the event of default with6689
respect to the payment of any bond service charges on any6690
obligations or in the performance of any covenant or agreement on6691
the part of the issuing authority, the director of development, or6692
the division of liquor control in the bond proceedings, to apply6693
to a court having jurisdiction of the cause to appoint a receiver6694
to receive and administer the pledged receipts and special funds,6695
other than those in the custody of the treasurer of state, which6696
are pledged to the payment of the bond service charges on such6697
obligations or which are the subject of the covenant or agreement,6698
with full power to pay, and to provide for payment of bond service6699
charges on, such obligations, and with such powers, subject to the6700
direction of the court, as are accorded receivers in general6701
equity cases, excluding any power to pledge additional revenues or6702
receipts or other income or moneys of the issuing authority or the6703
state or governmental agencies of the state to the payment of such6704
principal and interest and excluding the power to take possession6705
of, mortgage, or cause the sale or otherwise dispose of any6706
project facilities.6707

       Each duty of the issuing authority and the issuing6708
authority's officers and employees, and of each governmental6709
agency and its officers, members, or employees, undertaken6710
pursuant to the bond proceedings or any agreement or lease,6711
lease-purchase agreement, or loan made under authority of this6712
chapter, and in every agreement by or with the issuing authority,6713
is hereby established as a duty of the issuing authority, and of6714
each such officer, member, or employee having authority to perform6715
such duty, specifically enjoined by the law resulting from an6716
office, trust, or station within the meaning of section 2731.01 of6717
the Revised Code.6718

       The person who is at the time the issuing authority, or the6719
issuing authority's officers or employees, are not liable in their6720
personal capacities on any obligations issued by the issuing6721
authority or any agreements of or with the issuing authority.6722

       (L) The issuing authority may authorize and issue obligations 6723
for the refunding, including funding and retirement, and advance 6724
refunding with or without payment or redemption prior to maturity, 6725
of any obligations previously issued by the issuing authority. 6726
Such obligations may be issued in amounts sufficient for payment 6727
of the principal amount of the prior obligations, any redemption 6728
premiums thereon, principal maturities of any such obligations 6729
maturing prior to the redemption of the remaining obligations on a 6730
parity therewith, interest accrued or to accrue to the maturity 6731
dates or dates of redemption of such obligations, and any 6732
allowable costs including expenses incurred or to be incurred in 6733
connection with such issuance and such refunding, funding, and 6734
retirement. Subject to the bond proceedings therefor, the portion 6735
of proceeds of the sale of obligations issued under this division 6736
to be applied to bond service charges on the prior obligations 6737
shall be credited to an appropriate account held by the trustee 6738
for such prior or new obligations or to the appropriate account in 6739
the bond service fund for such obligations. Obligations authorized 6740
under this division shall be deemed to be issued for those 6741
purposes for which such prior obligations were issued and are 6742
subject to the provisions of this section pertaining to other 6743
obligations, except as otherwise provided in this section; 6744
provided that, unless otherwise authorized by the general 6745
assembly, any limitations imposed by the general assembly pursuant 6746
to this section with respect to bond service charges applicable to 6747
the prior obligations shall be applicable to the obligations 6748
issued under this division to refund, fund, advance refund or 6749
retire such prior obligations.6750

       (M) The authority to issue obligations under this section6751
includes authority to issue obligations in the form of bond6752
anticipation notes and to renew the same from time to time by the6753
issuance of new notes. The holders of such notes or interest6754
coupons pertaining thereto shall have a right to be paid solely6755
from the pledged receipts and special funds that may be pledged to6756
the payment of the bonds anticipated, or from the proceeds of such6757
bonds or renewal notes, or both, as the issuing authority provides6758
in the resolution or order authorizing such notes. Such notes may6759
be additionally secured by covenants of the issuing authority to6760
the effect that the issuing authority and the state will do such6761
or all things necessary for the issuance of such bonds or renewal6762
notes in appropriate amount, and apply the proceeds thereof to the6763
extent necessary, to make full payment of the principal of and6764
interest on such notes at the time or times contemplated, as6765
provided in such resolution or order. For such purpose, the6766
issuing authority may issue bonds or renewal notes in such6767
principal amount and upon such terms as may be necessary to6768
provide funds to pay when required the principal of and interest6769
on such notes, notwithstanding any limitations prescribed by or6770
for purposes of this section. Subject to this division, all6771
provisions for and references to obligations in this section are6772
applicable to notes authorized under this division.6773

       The issuing authority in the bond proceedings authorizing the6774
issuance of bond anticipation notes shall set forth for such bonds6775
an estimated interest rate and a schedule of principal payments6776
for such bonds and the annual maturity dates thereof, and for6777
purposes of any limitation on bond service charges prescribed6778
under division (A) of section 166.11 of the Revised Code, the6779
amount of bond service charges on such bond anticipation notes is6780
deemed to be the bond service charges for the bonds anticipated6781
thereby as set forth in the bond proceedings applicable to such6782
notes, but this provision does not modify any authority in this6783
section to pledge receipts and special funds to, and covenant to6784
issue bonds to fund, the payment of principal of and interest and6785
any premium on such notes.6786

       (N) Obligations issued under this section are lawful6787
investments for banks, societies for savings, savings and loan6788
associations, deposit guarantee associations, trust companies,6789
trustees, fiduciaries, insurance companies, including domestic for6790
life and domestic not for life, trustees or other officers having6791
charge of sinking and bond retirement or other special funds of6792
political subdivisions and taxing districts of this state, the6793
commissioners of the sinking fund of the state, the administrator6794
of workers' compensation, the state teachers retirement system,6795
the public employees retirement system, the school employees6796
retirement system, and the Ohio police and fire pension fund,6797
notwithstanding any other provisions of the Revised Code or rules6798
adopted pursuant thereto by any governmental agency of the state6799
with respect to investments by them, and are also acceptable as6800
security for the deposit of public moneys.6801

       (O) Unless otherwise provided in any applicable bond6802
proceedings, moneys to the credit of or in the special funds6803
established by or pursuant to this section may be invested by or6804
on behalf of the issuing authority only in notes, bonds, or other6805
obligations of the United States, or of any agency or6806
instrumentality of the United States, obligations guaranteed as to6807
principal and interest by the United States, obligations of this6808
state or any political subdivision of this state, and certificates6809
of deposit of any national bank located in this state and any6810
bank, as defined in section 1101.01 of the Revised Code, subject6811
to inspection by the superintendent of banks. If the law or the6812
instrument creating a trust pursuant to division (J) of this6813
section expressly permits investment in direct obligations of the6814
United States or an agency of the United States, unless expressly6815
prohibited by the instrument, such moneys also may be invested in6816
no-front-end-load money market mutual funds consisting exclusively6817
of obligations of the United States or an agency of the United6818
States and in repurchase agreements, including those issued by the6819
fiduciary itself, secured by obligations of the United States or6820
an agency of the United States; and in common trust funds6821
established in accordance with section 1111.20 of the Revised Code6822
and consisting exclusively of any such securities, notwithstanding6823
division (A)(4) of that section. The income from such investments6824
shall be credited to such funds as the issuing authority6825
determines, and such investments may be sold at such times as the6826
issuing authority determines or authorizes.6827

       (P) Provision may be made in the applicable bond proceedings6828
for the establishment of separate accounts in the bond service6829
fund and for the application of such accounts only to the6830
specified bond service charges on obligations pertinent to such6831
accounts and bond service fund and for other accounts therein6832
within the general purposes of such fund. Unless otherwise6833
provided in any applicable bond proceedings, moneys to the credit6834
of or in the several special funds established pursuant to this6835
section shall be disbursed on the order of the treasurer of state,6836
provided that no such order is required for the payment from the6837
bond service fund when due of bond service charges on obligations.6838

       (Q) The issuing authority may pledge all, or such portion as6839
the issuing authority determines, of the pledged receipts to the6840
payment of bond service charges on obligations issued under this6841
section, and for the establishment and maintenance of any6842
reserves, as provided in the bond proceedings, and make other6843
provisions therein with respect to pledged receipts as authorized6844
by this chapter, which provisions are controlling notwithstanding6845
any other provisions of law pertaining thereto.6846

       (R) The issuing authority may covenant in the bond6847
proceedings, and any such covenants are controlling6848
notwithstanding any other provision of law, that the state and6849
applicable officers and governmental agencies of the state,6850
including the general assembly, so long as any obligations are6851
outstanding, shall:6852

       (1) Maintain statutory authority for and cause to be charged6853
and collected wholesale and retail prices for spirituous liquor6854
sold by the state or its agents so that the pledged receipts are6855
sufficient in amount to meet bond service charges, and the6856
establishment and maintenance of any reserves and other6857
requirements provided for in the bond proceedings, and, as6858
necessary, to meet covenants contained in contracts of guarantee6859
made under section 166.06 of the Revised Code;6860

       (2) Take or permit no action, by statute or otherwise, that6861
would impair the exemption from federal income taxation of the6862
interest on the obligations.6863

       (S) There is hereby created the economic development bond6864
service fund, which shall be in the custody of the treasurer of6865
state but shall be separate and apart from and not a part of the6866
state treasury. All moneys received by or on account of the6867
issuing authority or state agencies and required by the applicable6868
bond proceedings, consistent with this section, to be deposited,6869
transferred, or credited to a bond service fund or the economic6870
development bond service fund, and all other moneys transferred or6871
allocated to or received for the purposes of the fund, shall be6872
deposited and credited to such fund and to any separate accounts6873
therein, subject to applicable provisions of the bond proceedings,6874
but without necessity for any act of appropriation. During the6875
period beginning with the date of the first issuance of6876
obligations and continuing during such time as any such6877
obligations are outstanding, and so long as moneys in the6878
pertinent bond service funds are insufficient to pay all bond6879
services charges on such obligations becoming due in each year, a6880
sufficient amount of the gross profit on the sale of spirituous6881
liquor included in pledged receipts are committed and shall be6882
paid to the bond service fund or economic development bond service6883
fund in each year for the purpose of paying the bond service6884
charges becoming due in that year without necessity for further6885
act of appropriation for such purpose and notwithstanding anything6886
to the contrary in Chapter 4301. of the Revised Code. The6887
economic development bond service fund is a trust fund and is6888
hereby pledged to the payment of bond service charges to the6889
extent provided in the applicable bond proceedings, and payment6890
thereof from such fund shall be made or provided for by the6891
treasurer of state in accordance with such bond proceedings6892
without necessity for any act of appropriation.6893

       (T) The obligations, the transfer thereof, and the income6894
therefrom, including any profit made on the sale thereof, shall at6895
all times be free from taxation within the state.6896

       Sec. 173.04.  (A) As used in this section, "respite care"6897
means short-term, temporary care or supervision provided to a6898
person who has Alzheimer's disease in the absence of the person6899
who normally provides that care or supervision.6900

       (B) TheThrough the internet web site maintained by the 6901
department of aging, the director of aging shall develop and6902
disseminate new training materials or disseminate existing6903
Alzheimer's disease training materials for licensed physicians, 6904
registered nurses, licensed practical nurses, administrators of 6905
health care programs, social workers, and other health care and 6906
social service personnel who participate or assist in the care or 6907
treatment of persons who have Alzheimer's disease. The training 6908
materials disseminated through the web site may be developed by 6909
the director or obtained from other sources.6910

       (C) To the extent funds are available, the director shall6911
administer respite care programs and other supportive services for 6912
persons who have Alzheimer's disease and their families or care 6913
givers. Respite care programs shall be approved by the director 6914
and shall be provided for the following purposes:6915

       (1) Giving persons who normally provide care or supervision 6916
for a person who has Alzheimer's disease relief from the stresses 6917
and responsibilities that result from providing such care;6918

       (2) Preventing or reducing inappropriate institutional care 6919
and enabling persons who have Alzheimer's disease to remain at 6920
home as long as possible.6921

       (D) The director may provide services under this section to 6922
persons with Alzheimer's disease and their families regardless of 6923
the age of the persons with Alzheimer's disease.6924

       (E) The director shall adopt rules in accordance with Chapter 6925
119. of the Revised Code governing respite care programs and other 6926
supportive services, the distribution of funds, and the purpose 6927
for which funds may be utilized under this section.6928

       (F) The director may create an Alzheimer's disease task force 6929
to advise the director on the rights of persons with Alzheimer's 6930
disease and on the development and evaluation of education and 6931
training programs, home care programs, respite care programs, and 6932
long-term care initiatives as they relate to Alzheimer's disease. 6933
If a task force is created, the members shall include 6934
representatives of the Alzheimer's disease association and other 6935
organizations the director considers appropriate.6936

       Sec. 173.35.  (A) As used in this section, "PASSPORT6937
administrative agency" means an entity under contract with the6938
department of aging to provide administrative services regarding6939
the PASSPORT program created under section 173.40 of the Revised6940
Code.6941

       (B) The department of aging shall administer the residential6942
state supplement program under which the state supplements the6943
supplemental security income payments received by aged, blind, or6944
disabled adults under Title XVI of the "Social Security Act," 496945
Stat. 620 (1935), 42 U.S.C.A., as amended. Residential state6946
supplement payments shall be used for the provision of6947
accommodations, supervision, and personal care services to6948
supplemental security income recipients who the department6949
determines are at risk of needing institutional care.6950

       (C) For an individual to be eligible for residential state6951
supplement payments, all of the following must be the case:6952

       (1) Except as provided by division (G) of this section, the6953
individual must reside in one of the following:6954

       (a) An adult foster home certified under section 173.36 of6955
the Revised Code;6956

       (b) A home or facility, other than a nursing home or nursing6957
home unit of a home for the aging, licensed by the department of6958
health under Chapter 3721. or 3722. of the Revised Code and 6959
certified in accordance with standards established by the director 6960
of aging under division (D)(2) of this section;6961

       (c) A community alternative home licensed under section6962
3724.03 of the Revised Code and certified in accordance with 6963
standards established by the director of aging under division 6964
(D)(2) of this section;6965

       (d) A residential facility as defined in division6966
(A)(1)(d)(ii) of section 5119.22 of the Revised Code licensed by6967
the department of mental health and certified in accordance with 6968
standards established by the director of aging under division 6969
(D)(2) of this section;6970

       (e) An apartment or room used to provide community mental6971
health housing services certified by the department of mental6972
health under section 5119.611 of the Revised Code and approved by 6973
a board of alcohol, drug addiction, and mental health services6974
under division (A)(14) of section 340.03 of the Revised Code and 6975
certified in accordance with standards established by the director 6976
of aging under division (D)(2) of this section.6977

       (2) Effective July 1, 2000, a PASSPORT administrative agency6978
must have determined that the environment in which the individual6979
will be living while receiving the payments is appropriate for the6980
individual's needs. If the individual is eligible for supplemental 6981
security income payments or social security disability insurance 6982
benefits because of a mental disability, the PASSPORT6983
administrative agency shall refer the individual to a community 6984
mental health agency for the community mental health agency to 6985
issue in accordance with section 340.091 of the Revised Code a 6986
recommendation on whether the PASSPORT administrative agency 6987
should determine that the environment in which the individual will 6988
be living while receiving the payments is appropriate for the6989
individual's needs. Division (C)(2) of this section does not apply6990
to an individual receiving residential state supplement payments 6991
on June 30, 2000, until the individual's first eligibility6992
redetermination after that date.6993

       (3) The individual satisfies all eligibility requirements6994
established by rules adopted under division (D) of this section.6995

       (D)(1) The directors of aging and job and family services 6996
shall adopt rules in accordance with section 111.15 of the Revised 6997
Code as necessary to implement the residential state supplement6998
program.6999

       To the extent permitted by Title XVI of the "Social Security7000
Act," and any other provision of federal law, the director of job7001
and family services shall adopt rules establishing standards for7002
adjusting the eligibility requirements concerning the level of7003
impairment a person must have so that the amount appropriated for7004
the program by the general assembly is adequate for the number of7005
eligible individuals. The rules shall not limit the eligibility of 7006
disabled persons solely on a basis classifying disabilities as7007
physical or mental. The director of job and family services also7008
shall adopt rules that establish eligibility standards for aged,7009
blind, or disabled individuals who reside in one of the homes or7010
facilities specified in division (C)(1) of this section but who,7011
because of their income, do not receive supplemental security7012
income payments. The rules may provide that these individuals may7013
include individuals who receive other types of benefits,7014
including, social security disability insurance benefits provided7015
under Title II of the "Social Security Act," 49 Stat. 620 (1935),7016
42 U.S.C.A. 401, as amended. Notwithstanding division (B) of this7017
section, such payments may be made if funds are available for7018
them.7019

       The director of aging shall adopt rules establishing the7020
method to be used to determine the amount an eligible individual7021
will receive under the program. The amount the general assembly7022
appropriates for the program shall be a factor included in the7023
method that department establishes.7024

       (2) The director of aging shall adopt rules in accordance 7025
with Chapter 119. of the Revised Code establishing standards for 7026
certification of living facilities described in division (C)(1) of 7027
this section.7028

        The directors of aging and mental health shall enter into an 7029
agreement to certify facilities that apply for certification and 7030
meet the standards established by the director of aging under this 7031
division.7032

       (E) The county department of job and family services of the7033
county in which an applicant for the residential state supplement7034
program resides shall determine whether the applicant meets income7035
and resource requirements for the program.7036

       (F) The department of aging shall maintain a waiting list of7037
any individuals eligible for payments under this section but not7038
receiving them because moneys appropriated to the department for7039
the purposes of this section are insufficient to make payments to7040
all eligible individuals. An individual may apply to be placed on7041
the waiting list even though the individual does not reside in one7042
of the homes or facilities specified in division (C)(1) of this7043
section at the time of application. TheIndividuals on the waiting 7044
list who reside in a community setting not required to be licensed 7045
or certified shall have their eligibility for the payments 7046
assessed before other individuals on the waiting list.7047

       The director of aging, by rules adopted in accordance with 7048
Chapter 119. of the Revised Code, shall specify procedures and 7049
requirements for placing an individual on the waiting list. 7050
Individuals on the waiting list who reside in a community setting 7051
not required to be licensed or certified shall have their7052
eligibility for the payments assessed before other individuals on 7053
the waiting list.7054

       The director may adopt rules giving priority to individuals 7055
placed on the waiting list on or after July 1, 2006, who receive 7056
supplemental security income benefits under Title XVI of the 7057
"Social Security Act," 86 Stat. 1475 (1972), 42 U.S.C. 1381, as 7058
amended. The rules shall not affect the place on the waiting list 7059
of any person who was on the list on July 1, 2006.7060

       (G) An individual in a licensed or certified living7061
arrangement receiving state supplementation on November 15, 1990,7062
under former section 5101.531 of the Revised Code shall not become7063
ineligible for payments under this section solely by reason of the7064
individual's living arrangement as long as the individual remains7065
in the living arrangement in which the individual resided on7066
November 15, 1990.7067

       (H) The department of aging shall notify each person denied7068
approval for payments under this section of the person's right to7069
a hearing. On request, the hearing shall be provided by the7070
department of job and family services in accordance with section7071
5101.35 of the Revised Code.7072

       Sec. 173.85.  (A) The Ohio's best Rx program fund is hereby 7073
created. The fund shall be in the custody of the treasurer of 7074
state, but shall not be part of the state treasury. The fund shall 7075
consist of the following:7076

       (1) Manufacturer payments made by participating manufacturers 7077
pursuant to agreements entered into under section 173.81 of the 7078
Revised Code;7079

       (2) Administrative fees, if an administrative fee is 7080
determined by the department of aging in rules adopted under 7081
section 173.83 of the Revised Code;7082

       (3) Any amounts donated to the fund and accepted by the 7083
department;7084

        (4) The fund's investment earnings.7085

       (B) Money in the Ohio's best Rx program fund shall be used to 7086
make payments under section 173.801 of the Revised Code and to 7087
make transfers to the Ohio's best Rx administration fund in 7088
accordance with section 173.86 of the Revised Code.7089

       Sec. 173.86.  (A) The Ohio's best Rx administration fund is 7090
hereby created in the state treasury. The treasurer of state7091
director of budget and management shall transfer from the Ohio's 7092
best Rx program fund to the Ohio's best Rx administration fund 7093
amounts equal to the following:7094

       (1) Amounts resulting from application of the program 7095
administration percentage, if a program administration percentage 7096
is determined by the department of aging in rules adopted under 7097
section 173.83 of the Revised Code;7098

       (2) The amount of the administrative fees charged Ohio's best 7099
Rx participants, if an administrative fee is determined by the 7100
department of aging in rules adopted under section 173.83 of the 7101
Revised Code;7102

       (3) The amount of any donations credited to the Ohio's best 7103
Rx program fund;7104

        (4) The amount of investment earnings credited to the Ohio's 7105
best Rx program fund.7106

       The treasurer of statedirector of budget and management7107
shall make the transfers in accordance with a schedule developed 7108
by the treasurer of statedirector and the department of aging.7109

       (B) The department of aging shall use money in the Ohio's 7110
best Rx administration fund to pay the administrative costs of the 7111
Ohio's best Rx program, including, but not limited to, costs 7112
associated with contracted services, staff, outreach activities, 7113
computers and network services, and the Ohio's best Rx program 7114
council. If the fund includes an amount that exceeds the amount 7115
necessary to pay the administrative costs of the program, the 7116
department may use the excess amount to pay the cost of subsidies 7117
provided to Ohio's best Rx program participants under any subsidy 7118
program established pursuant to section 173.861 of the Revised 7119
Code.7120

       Sec. 174.03.  (A) The department of development and the Ohio7121
housing finance agency shall each develop programs under which, in7122
accordance with rules adopted under this section, they may make7123
grants, loans, loan guarantees, and loan subsidies to counties,7124
municipal corporations, townships, local housing authorities, and7125
nonprofit organizations and may make loans, loan guarantees, and7126
loan subsidies to private developers and private lenders to assist 7127
in activities that provide housing and housing assistance for 7128
specifically targeted low- and moderate-income families and 7129
individuals. There is no minimum housing project size for awards 7130
under this division for any project that is developed for a 7131
special needs population and that is supported by a social service 7132
agency where the housing project is located. Activities for which 7133
grants, loans, loan guarantees, and loan subsidies may be made7134
under this section include all of the following:7135

       (1) Acquiring, financing, constructing, leasing,7136
rehabilitating, remodeling, improving, and equipping publicly or7137
privately owned housing;7138

       (2) Providing supportive services related to housing and the7139
homeless, including housing counseling. Not more than twenty per7140
cent of the current year appropriation authority for the low- and7141
moderate-income housing trust fund that remains after the award of 7142
funds made pursuant to divisions (A)(1), (A)(2), and (A)(3) of 7143
section 174.02 of the Revised Code, shall be awarded in any fiscal7144
year for supportive services.7145

       (3) Providing rental assistance payments or other project7146
operating subsidies that lower tenant rents.7147

       (B) Activities listed under division (A) of this section may 7148
include emergency shelter care programs for unaccompanied youth 7149
seventeen years of age and younger.7150

       (C) Grants, loans, loan guarantees, and loan subsidies may be7151
made to counties, municipal corporations, townships, and nonprofit7152
organizations for the additional purposes of providing technical7153
assistance, design and finance services and consultation, and7154
payment of pre-development and administrative costs related to any7155
of the activities listed above.7156

       (C)(D) In developing programs under this section, the7157
department and the agency shall invite, accept, and consider7158
public comment, and recommendations from the housing trust fund7159
advisory committee created under section 174.06 of the Revised7160
Code, on how the programs should be designed to most effectively7161
benefit low- and moderate-income families and individuals. The7162
programs developed under this section shall respond collectively7163
to housing and housing assistance needs of low- and7164
moderate-income families and individuals statewide.7165

       (D)(E) The department and the agency, in accordance with7166
Chapter 119. of the Revised Code, shall each adopt rules to 7167
administer programs developed under this section. The rules shall 7168
prescribe procedures and forms that counties, municipal 7169
corporations, townships, local housing authorities, and nonprofit 7170
organizations shall use in applying for grants, loans, loan7171
guarantees, and loan subsidies and that private developers and 7172
private lenders shall use in applying for loans, loan guarantees, 7173
and loan subsidies; eligibility criteria for the receipt of funds;7174
procedures for reviewing and granting or denying applications;7175
procedures for paying out funds; conditions on the use of funds;7176
procedures for monitoring the use of funds; and procedures under7177
which a recipient shall be required to repay funds that are7178
improperly used. The rules shall do both of the following:7179

       (1) Require each recipient of a grant or loan made from the7180
low- and moderate-income housing trust fund for activities that 7181
provide, or assist in providing, a rental housing project, to7182
reasonably ensure that the rental housing project will remain7183
affordable to those families and individuals targeted for the7184
rental housing project for the useful life of the rental housing7185
project or for thirty years, whichever is longer;7186

       (2) Require each recipient of a grant or loan made from the7187
low- and moderate-income housing trust fund for activities that 7188
provide, or assist in providing, a housing project to prepare and 7189
implement a plan to reasonably assist any families and individuals 7190
displaced by the housing project in obtaining decent affordable 7191
housing.7192

       (E)(F) In prescribing eligibility criteria and conditions for7193
the use of funds, neither the department nor the agency is limited 7194
to the criteria and conditions specified in this section and each7195
may prescribe additional eligibility criteria and conditions that7196
relate to the purposes for which grants, loans, loan guarantees,7197
and loan subsidies may be made. However, the department and agency 7198
are limited by the following specifically targeted low- and7199
moderate-income guidelines:7200

       (1) Not less than seventy-five per cent of the money granted7201
and loaned under this section in any fiscal year shall be for7202
activities that provide affordable housing and housing assistance 7203
to families and individuals whose incomes are equal to or less 7204
than fifty per cent of the median income for the county in which 7205
they live, as determined by the department under section 174.04 7206
of the Revised Code.7207

       (2) Any money granted and loaned under this section in any 7208
fiscal year that is not granted or loaned pursuant to division 7209
(E)(F)(1) of this section shall be for activities that provide7210
affordable housing and housing assistance to families and7211
individuals whose incomes are equal to or less than eighty per 7212
cent of the median income for the county in which they live, as7213
determined by the department under section 174.04 of the Revised7214
Code.7215

       (F)(G) In making grants, loans, loan guarantees, and loan7216
subsidies under this section, the department and the agency shall7217
give preference to viable projects and activities that benefit 7218
those families and individuals whose incomes are equal to or less 7219
than thirty-five per cent of the median income for the county in 7220
which they live, as determined by the department under section 7221
174.04 of the Revised Code.7222

       (G)(H) The department and the agency shall monitor the 7223
programs developed under this section to ensure that money granted 7224
and loaned under this section is not used in a manner that 7225
violates division (H) of section 4112.02 of the Revised Code or 7226
discriminates against families with children.7227

       Sec. 174.06.  (A) There is hereby created the housing trust7228
fund advisory committee. The committee consists of fourteen7229
members the governor appoints as follows to represent 7230
organizations committed to housing and housing assistance for low- 7231
and moderate-income persons:7232

       (1) One member to represent lenders.7233

       (2) One member to represent for-profit builders and7234
developers.7235

       (3) One member to represent the families and individuals 7236
included in the income groups targeted for housing and housing 7237
assistance under divisions (E) and (F) and (G) of section 174.03 7238
of the Revised Code.7239

       (4) One member to represent religious, civic, or social7240
service organizations.7241

       (5) One member to represent counties.7242

       (6) One member to represent municipal corporations.7243

       (7) One member to represent townships.7244

       (8) One member to represent local housing authorities.7245

       (9) One member to represent fair housing organizations.7246

       (10) Three members to represent nonprofit organizations.7247

       (11) One member to represent real estate brokers licensed 7248
under Chapter 4735. of the Revised Code.7249

       (12) One member to represent the for-profit rental housing 7250
industry.7251

       (B)(1) Terms of office are for four years, with each term7252
ending on the same day of the same month as did the term that it7253
succeeds. Each member shall hold office from the date of 7254
appointment until the end of the term for which the member was 7255
appointed. Vacancies shall be filled in the manner prescribed for 7256
the original appointment. A member appointed to fill a vacancy7257
occurring prior to the expiration of a term shall hold office for 7258
the remainder of that term. A member shall continue in office 7259
subsequent to the expiration of a term until a successor takes 7260
office or until a period of sixty days has elapsed, whichever 7261
occurs first.7262

       (2) The governor may remove a member for misfeasance, 7263
malfeasance, or willful neglect of duty.7264

       (C)(1) The committee shall select a chairperson from among 7265
its members. The committee shall meet at least once each calendar7266
year and upon the call of the chair. Members of the committee 7267
serve without compensation, but shall be reimbursed for reasonable 7268
and necessary expenses incurred in the discharge of duties.7269

       (2) The department of development shall provide the committee7270
with a meeting place, supplies, and staff assistance as the 7271
committee requests.7272

       (D) The committee shall assist the department and the Ohio7273
housing finance agency in defining housing needs and priorities, 7274
recommend to the department and agency at least annually how the 7275
programs developed under section 174.02 of the Revised Code should 7276
be designed to most effectively benefit low- and moderate-income 7277
persons, consider an allocation of funds for projects of fifteen 7278
units or less, and advise the director of development on whether 7279
and how to reallocate money in the low- and moderate-income 7280
housing trust fund under division (B) of section 174.02 of the 7281
Revised Code.7282

       Sec. 183.01.  As used in this chapter:7283

       (A) "Tobacco master settlement agreement" means the 7284
settlement agreement (and related documents) entered into on 7285
November 23, 1998 by the state and leading United States tobacco 7286
product manufacturers.7287

       (B) "Net amounts credited to the tobacco master settlement7288
agreement fund" means all amounts credited to the tobacco master 7289
settlement agreement fund during a fiscal year, minus all amounts7290
required to be transferred under section 183.02 of the Revised7291
Code to the education facilities trust fund, the education 7292
facilities endowment fund, and the income tax reduction fund 7293
during the fiscal year. In addition, in fiscal year 2000, "net 7294
amounts credited to the tobacco master settlement agreement fund" 7295
does not include amounts credited to the tobacco use prevention7296
and cessation trust fund, law enforcement improvements trust fund, 7297
and southern Ohio agricultural and community development trust 7298
fund from the first payment received that year.7299

       (C) "Southern Ohio" includes any county in this state where 7300
tobacco has traditionally been grown.7301

       Sec. 183.021.  (A) No money from the tobacco master7302
settlement agreement fund, as that fund existed prior to the 7303
repeal of section 183.02 of the Revised Code by H.B. 119 of the 7304
127th general assembly, shall be expended to do any of the7305
following:7306

       (1) Hire an executive agency lobbyist, as defined under7307
section 121.60 of the Revised Code, or a legislative agent, as7308
defined under section 101.70 of the Revised Code;7309

       (2) Support or oppose candidates, ballot questions,7310
referendums, or ballot initiatives.7311

       (B) Nothing in this section prohibits any of the following7312
from advocating on behalf of the specific objectives of a program7313
funded under this chapter:7314

       (1) The members of the board of trustees, executive director, 7315
or employees of the tobacco use prevention and control foundation;7316

       (2) The members of the board of trustees, executive director, 7317
or employees of the southern Ohio agricultural and community7318
development foundation;7319

       (3) The members or employees of the third frontier commission 7320
or the members of the third frontier advisory board.7321

       Sec. 183.17.  The fiscal year of the southern Ohio7322
agricultural and community development foundation shall be the7323
same as the fiscal year of the state.7324

       Within ninety days after the end of each fiscal year, the7325
foundation shall submit to the governor and the general assembly7326
both of the following:7327

       (A) A report of the activities of the foundation during the7328
preceding fiscal year. The report shall also contain an7329
independent evaluation of the progress being made by the7330
foundation in carrying out its duties.7331

       (B) A financial report of the foundation for the preceding7332
year, which shall include both:7333

       (1) Information on the amount and percentage of overhead and7334
administrative expenditures compared to programmatic expenditures;7335

       (2) An independent auditor's report on the basic financial7336
statements and required supplementary information of the7337
foundation. Such financial statements shall be prepared in7338
conformity with generally accepted accounting principles7339
prescribed for governmental entities.7340

       On or before July 1, 2010, the foundation shall report to the7341
governor and the general assembly on the progress that the7342
foundation has made in replacing the production of tobacco in7343
southern Ohio with the production of other agricultural products7344
and in mitigating the adverse economic impact of reduced tobacco7345
production in the region. If the foundation concludes that a need7346
for additional funding still exists, the foundation may request7347
that provision be made for a portion of the payments credited to7348
the tobacco master settlement agreement fund to continue to be7349
transferred to the southern Ohio agricultural and community7350
development trust fund.7351

       Sec. 183.33.  No money shall be appropriated or transferred 7352
from the general revenue fund to the tobacco master settlement 7353
agreement fund, tobacco use prevention and cessation trust fund, 7354
tobacco use prevention and control endowment fund, law enforcement7355
improvements trust fund, southern Ohio agricultural and community7356
development trust fund, southern Ohio agricultural and community7357
development foundation endowment fund, Ohio's public health7358
priorities trust fund, biomedical research and technology transfer7359
trust fund, education facilities trust fund, education facilities7360
endowment fund, or education technology trust fund. In addition,7361
no money shall be otherwise appropriated or transferred from the7362
general revenue fund for the use of the tobacco use prevention and7363
control foundation or the southern Ohio agricultural and community7364
development foundation.7365

       Sec. 183.34. There is hereby created in the state treasury7366
the tobacco settlement oversight, administration, and enforcement7367
fund, to which shall be creditedconsist of amounts transferred 7368
under division (I) of section 183.02 of the Revised Code prior to 7369
the repeal of that section by H.B. 119 of the 127th general 7370
assembly. The attorney general shall use the fund to pay costs 7371
incurred in the oversight, administration, and enforcement of the 7372
tobacco master settlement agreement.7373

       Sec. 183.35. There is hereby created in the state treasury7374
the tobacco settlement enforcement fund, to which shall be7375
creditedconsist of amounts transferred under division (J) of 7376
section 183.02 of the Revised Code prior to the repeal of that 7377
section by H.B. 119 of the 127th general assembly. The tax 7378
commissioner shall use the fund to pay costs incurred in the 7379
enforcement of divisions (F) and (G) of section 5743.03 of the 7380
Revised Code.7381

       Sec. 183.51. (A) As used in this section and in the 7382
applicable bond proceedings unless otherwise provided:7383

       (1) "Bond proceedings" means the resolutions, orders, 7384
indentures, purchase and sale and trust and other agreements 7385
including any amendments or supplements to them, and credit 7386
enhancement facilities, and amendments and supplements to them, or 7387
any one or more or combination of them, authorizing, awarding, or 7388
providing for the terms and conditions applicable to or providing 7389
for the security or liquidity of, the particular obligations, and 7390
the provisions contained in those obligations.7391

       (2) "Bond service fund" means the bond service fund created 7392
in the bond proceedings for the obligations.7393

       (3) "Capital facilities" means, as applicable, capital 7394
facilities or projects as referred to in sections 151.03, 151.04, 7395
152.09, 152.33, 154.20, or 154.22 of the Revised Code.7396

       (4) "Consent decree" means the consent decree and final 7397
judgment entered November 25, 1998, in the court of common pleas 7398
of Franklin county, Ohio, as the same may be amended or 7399
supplemented from time to time.7400

        (5) "Cost of capital facilities" has the same meaning as in 7401
section 151.01, 152.09, or 154.01 of the Revised Code, as 7402
applicable.7403

       (6) "Credit enhancement facilities," "financing costs," and 7404
"interest" or "interest equivalent" have the same meanings as in 7405
section 133.01 of the Revised Code.7406

       (7) "Debt service" means principal, including any mandatory 7407
sinking fund or redemption requirements for retirement of 7408
obligations, interest and other accreted amounts, interest 7409
equivalent, and any redemption premium, payable on obligations. If 7410
not prohibited by the applicable bond proceedings, "debt service" 7411
may include costs relating to credit enhancement facilities that 7412
are related to and represent, or are intended to provide a source 7413
of payment of or limitation on, other debt service.7414

       (8) "Improvement fund" means, as applicable, the school 7415
building program assistance fund created in section 3318.25 of the 7416
Revised Code, the higher education improvement fund created in 7417
section 154.21 of the Revised Code, the mental health facilities 7418
improvement fund created in section 154.20 of the Revised Code, 7419
the parks and recreation improvement fund created in section 7420
154.22 of the Revised Code, the administrative building fund 7421
created in section 123.10 of the Revised Code, and the adult 7422
correctional building fund referred to in section 5120.105 of the 7423
Revised Code.7424

       (9) "Issuing authority" means the Ohio tobacco settlement 7425
financing authority created in section 183.52 of the Revised Code.7426

       (10) "Net proceeds" means amounts received from the sale of 7427
obligations, excluding amounts used to refund or retire 7428
outstanding obligations, amounts required to be deposited into 7429
special funds pursuant to the applicable bond proceedings, and 7430
amounts to be used to pay financing costs.7431

       (11) "Obligations" means bonds, notes, or other evidences of 7432
obligation of the issuing authority, including any appertaining 7433
interest coupons, issued by the issuing authority under this 7434
section and Section 2i of Article VIII, Ohio Constitution, for the 7435
purpose of providing funds to the state, in exchange for the 7436
assignment and sale described in division (B) of this section, for 7437
the purpose of paying costs of capital facilities for: (a) housing 7438
branches and agencies of state government, including but not 7439
limited to facilities for housing state agencies, for a system of 7440
common schools throughout the state, and for use as state 7441
correctional facilities or county, multicounty, municipal-county, 7442
and multicounty-municipal jail facilities or workhouses; (b) 7443
state-supported or state-assisted institutions of higher 7444
education; (c) mental hygiene and retardation; and (d) parks and 7445
recreation.7446

       (12) "Pledged receipts" means, as and to the extent provided 7447
for in the applicable bond proceedings:7448

       (a) Pledged tobacco settlement receipts;7449

       (b) Accrued interest received from the sale of obligations;7450

       (c) Income from the investment of the special funds;7451

       (d) Additional or any other specific revenues or receipts 7452
lawfully available to be pledged, and pledged, pursuant to the 7453
bond proceedings, including but not limited to amounts received 7454
under credit enhancement facilities, to the payment of debt 7455
service.7456

       (13) "Pledged tobacco settlement receipts" means all amounts 7457
received by the issuing authority pursuant to division (B) of this 7458
section.7459

       (14) "Principal amount" means the aggregate of the amount as 7460
stated or provided for in the applicable bond proceedings as the 7461
amount on which interest or interest equivalent on particular 7462
obligations is initially calculated. "Principal amount" does not 7463
include any premium paid to the issuing authority by the initial 7464
purchaser of the obligations. "Principal amount" of a capital 7465
appreciation bond, as defined in division (C) of section 3334.01 7466
of the Revised Code, means its original face amount and not its 7467
accreted value, and "principal amount" of a zero coupon bond, as 7468
defined in division (J) of section 3334.01 of the Revised Code, 7469
means the discounted offering price at which the bond is initially 7470
sold to the public, disregarding any purchase price discount to 7471
the original purchaser, if provided in or for pursuant to the bond 7472
proceedings.7473

       (15) "Special funds" or "funds," unless the context indicates 7474
otherwise, means the bond service fund, and any other funds, 7475
including any reserve funds, created under the bond proceedings 7476
and stated to be special funds in those proceedings, including 7477
moneys and investments, and earnings from investments, credited 7478
and to be credited to the particular fund. "Special funds" does 7479
not include any improvement fund or investment earnings on amounts 7480
in any improvement fund, or other funds created by the bond 7481
proceedings that are not stated by those proceedings to be special 7482
funds.7483

       (B) The state may assign and sell to the issuing authority, 7484
and the issuing authority may accept and purchase, all or a 7485
portion of the amounts to be received by the state under the 7486
tobacco master settlement agreement for a purchase price payable 7487
by the issuing authority to the state consisting of the net 7488
proceeds of obligations and any residual interest, if any. Any 7489
such assignment and sale shall be irrevocable in accordance with 7490
its terms during the period any obligations secured by amounts so 7491
assigned and sold are outstanding under the applicable bond 7492
proceedings, and shall constitute a contractual obligation to the 7493
holders or owners of those obligations. Any such assignment and 7494
sale shall also be treated as an absolute transfer and true sale 7495
for all purposes, and not as a pledge or other security interest. 7496
The characterization of any such assignment and sale as a true 7497
sale and absolute transfer shall not be negated or adversely 7498
affected by only a portion of the amounts to be received under the 7499
tobacco master settlement agreement being transferred, the 7500
acquisition or retention by the state of a residual interest, the 7501
participation of any state officer or employee as a member or 7502
officer of, or providing staff support to, the issuing authority, 7503
any responsibility of an officer or employee of the state for 7504
collecting the amounts to be received under the tobacco master 7505
settlement agreement or otherwise enforcing that agreement or 7506
retaining any legal title to or interest in any portion of the 7507
amounts to be received under that agreement for the purpose of 7508
these collection activities, any characterization of the issuing 7509
authority or its obligations for purposes of accounting, taxation, 7510
or securities regulation, or by any other factors whatsoever. A 7511
true sale shall exist under this section regardless of whether the 7512
issuing authority has any recourse against the state or any other 7513
term of the bond proceedings or the treatment or characterization 7514
of the transfer as a financing for any purpose. Upon and following 7515
the assignment and sale, the state shall not have any right, 7516
title, or interest in the portion of the receipts under the 7517
tobacco master settlement agreement so assigned and sold, other 7518
than any residual interest that may be described in the applicable 7519
bond proceedings for those obligations, and that portion, if any, 7520
shall be the property of the issuing authority and not of the 7521
state, and shall be paid directly to the issuing authority, and 7522
shall be owned, received, held, and disbursed by the issuing 7523
authority and not by the state. 7524

       The state may covenant, pledge, and agree in the bond 7525
proceedings, with and for the benefit of the issuing authority, 7526
the holders and owners of obligations, and providers of any credit 7527
enhancement facilities, that it shall: (1) maintain statutory 7528
authority for, and cause to be collected and paid directly to the 7529
issuing authority or its assignee, the pledged receipts, (2) 7530
enforce the rights of the issuing authority to receive the 7531
receipts under the tobacco master settlement agreement assigned 7532
and sold to the issuing authority, (3) not limit or alter the 7533
rights of the issuing authority to fulfill the terms of its 7534
agreements with the holders or owners of obligations outstanding 7535
under the bond proceedings, (4) not in any way impair the rights 7536
and remedies of the holders or owners of obligations outstanding 7537
under the bond proceedings or impair the security for those 7538
obligations, and (5) enforce Chapter 1346. of the Revised Code, 7539
the tobacco master settlement agreement, and the consent decree to 7540
effectuate the collection of the pledged tobacco settlement 7541
receipts.7542

        The bond proceedings may also include such other covenants, 7543
pledges, and agreements by the state to protect and safeguard the 7544
security and rights of the holders and owners of the obligations, 7545
and of the providers of any credit enhancement facilities, 7546
including, without limiting the generality of the foregoing, any 7547
covenant, pledge, or agreement customary in transactions involving 7548
the issuance of securities the debt service on which is payable 7549
from or secured by amounts received under the tobacco master 7550
settlement agreement. Notwithstanding any other provision of law, 7551
any covenant, pledge, and agreement of the state, if and when made 7552
in the bond proceedings, shall be controlling and binding upon, 7553
and enforceable against the state in accordance with its terms for 7554
so long as any obligations are outstanding under the applicable 7555
bond proceedings. The bond proceedings may also include 7556
limitations on the remedies available to the issuing authority, 7557
the holders and owners of the obligations, and the providers of 7558
any credit enhancement facilities, including, without limiting the 7559
generality of the foregoing, a provision that those remedies may 7560
be limited to injunctive relief in circumstances where there has 7561
been no prior determination by a court of competent jurisdiction 7562
that the state has not enforced Chapter 1346. of the Revised Code, 7563
the tobacco master settlement agreement, or the consent decree as 7564
may have been covenanted or agreed in the bond proceedings under 7565
division (B)(5) of this section.7566

        Nothing in this section or the bond proceedings shall 7567
preclude or limit, or be construed to preclude or limit, the state 7568
from regulating or authorizing or permitting the regulation of 7569
smoking or from taxing and regulating the sale of cigarettes or 7570
other tobacco products, or from defending or prosecuting cases or 7571
other actions relating to the sale or use of cigarettes or other 7572
tobacco products. Except as otherwise may be agreed in writing by 7573
the attorney general, nothing in this section or the bond 7574
proceedings shall modify or limit, or be construed to modify or 7575
limit, the responsibility, power, judgment, and discretion of the 7576
attorney general to protect and discharge the duties, rights, and 7577
obligations of the state under the tobacco master settlement 7578
agreement, the consent decree, or Chapter 1346. of the Revised 7579
Code.7580

       The governor and the director of budget and management, in 7581
consultation with the attorney general, on behalf of the state, 7582
and any member or officer of the issuing authority as authorized 7583
by that issuing authority, on behalf of the issuing authority, may 7584
take any action and execute any documents, including any purchase 7585
and sale agreements, necessary to effect the assignment and sale 7586
and the acceptance of the assignment and title to the receipts 7587
including, providing irrevocable direction to the escrow agent 7588
acting under the tobacco master settlement agreement to transfer 7589
directly to the issuing authority the amounts to be received under 7590
that agreement that are subject to such assignment and sale. Any 7591
purchase and sale agreement or other bond proceedings may contain 7592
the terms and conditions established by the state and the issuing 7593
authority to carry out and effectuate the purposes of this 7594
section, including, without limitation, covenants binding the 7595
state in favor of the issuing authority and its assignees and the 7596
owners of the obligations. Any such purchase and sale agreement 7597
shall be sufficient to effectuate such purchase and sale without 7598
regard to any other laws governing other property sales or 7599
financial transactions by the state.7600

       Not later than two years following the date on which there 7601
are no longer any obligations outstanding under the bond 7602
proceedings, all assets of the issuing authority shall vest in the 7603
state, the issuing authority shall execute any necessary 7604
assignments or instruments, including any assignment of any right, 7605
title, or ownership to the state for receipt of amounts under the 7606
tobacco master settlement agreement, and the issuing authority 7607
shall be dissolved.7608

       (C) The issuing authority is authorized to issue and to sell 7609
obligations as provided in this section. The aggregate principal 7610
amount of obligations issued under this section shall not exceed 7611
six billion dollars, exclusive of obligations issued under 7612
division (M)(1) of this section to refund, renew, or advance 7613
refund other obligations issued or incurred. At least seventy-five 7614
per cent of the aggregate net proceeds of the obligations issued 7615
under the authority of this section, exclusive of obligations 7616
issued to refund, renew, or advance refund other obligations, 7617
shall be paid to the state for deposit into the school building 7618
program assistance fund created in section 3318.25 of the Revised 7619
Code.7620

       (D) Each issue of obligations shall be authorized by 7621
resolution or order of the issuing authority. The bond proceedings 7622
shall provide for or authorize the manner for determining the 7623
principal amount or maximum principal amount of obligations of an 7624
issue, the principal maturity or maturities, the interest rate or 7625
rates, the date of and the dates of payment of interest on the 7626
obligations, their denominations, and the place or places of 7627
payment of debt service which may be within or outside the state. 7628
Unless otherwise provided by law, the latest principal maturity 7629
may not be later than the earlier of the thirty-first day of 7630
December of the fiftieth calendar year after the year of issuance 7631
of the particular obligations or of the fiftieth calendar year 7632
after the year in which the original obligation to pay was issued 7633
or entered into. Sections 9.96, 9.98, 9.981, 9.982, and 9.983 of 7634
the Revised Code apply to the obligations.7635

       The purpose of the obligations may be stated in the bond 7636
proceedings in general terms, such as, as applicable, "paying 7637
costs of capital facilities for a system of common schools," 7638
"paying costs of facilities for state-supported and state-assisted 7639
institutions of higher education," "paying the cost of capital 7640
facilities for housing of branches and agencies of state 7641
government, including capital facilities for the purpose of 7642
housing personnel, equipment, or functions, or any combination 7643
thereof that the state agencies are responsible for housing," 7644
"paying costs of capital facilities for use as state correctional 7645
facilities or county, multicounty, municipal-county, and 7646
multicounty-municipal jail facilities or workhouses, or as single 7647
county or district community-based correctional facilities," 7648
"paying costs of capital facilities for mental hygiene and 7649
retardation," and "paying costs of capital facilities for parks 7650
and recreation." Unless otherwise provided in the bond proceedings 7651
or in division (C) of this section, the net proceeds from the 7652
issuance of the obligations shall be paid to the state for deposit 7653
into the applicable improvement fund. Notwithstanding division 7654
(B)(4) of section 3318.38 of the Revised Code, net proceeds of 7655
obligations deposited into the school building program assistance 7656
fund created in section 3318.25 of the Revised Code may be used to 7657
pay basic project costs under section 3318.38 of the Revised Code 7658
at the times determined by the Ohio school facilities commission 7659
without regard to whether those expenditures are in proportion to 7660
the state's and the school district's respective shares of that 7661
basic project cost. As used in the preceding sentence, "Ohio 7662
school facilities commission" and "basic project costs" have the 7663
same meanings as in section 3318.01 of the Revised Code.7664

       (E) The issuing authority may, without need for any other 7665
approval, appoint or provide for the appointment of paying agents, 7666
bond registrars, securities depositories, credit enhancement 7667
providers or counterparties, clearing corporations, and transfer 7668
agents, and retain or contract for the services of underwriters, 7669
investment bankers, financial advisers, accounting experts, 7670
marketing, remarketing, indexing, and administrative agents, other 7671
consultants, and independent contractors, including printing 7672
services, as are necessary in the judgment of the issuing 7673
authority to carry out the issuing authority's functions under 7674
this section and section 183.52 of the Revised Code. The attorney 7675
general as counsel to the issuing authority shall represent the 7676
authority in the execution of its powers and duties, and shall 7677
institute and prosecute all actions on its behalf. The issuing 7678
authority and the attorney general shall work together to arrange 7679
for the appointment of counsel who shall be appointed by the 7680
attorney general, after receipt of recommendations from the 7681
issuing authority, for the purposes of carrying out the functions 7682
under this section and related sections of the Revised Code. 7683
Financing costs are payable, as may be provided in the bond 7684
proceedings, from the proceeds of the obligations, from special 7685
funds, or from other moneys available for the purpose, including 7686
as to future financing costs, from the pledged receipts.7687

       (F) The issuing authority may irrevocably pledge and assign 7688
all, or such portion as the issuing authority determines, of the 7689
pledged receipts to the payment of the debt service charges on 7690
obligations issued under this section, and for the establishment 7691
and maintenance of any reserves, as provided in the bond 7692
proceedings, and make other provisions in the bond proceedings 7693
with respect to pledged receipts as authorized by this section, 7694
which provisions are controlling notwithstanding any other 7695
provisions of law pertaining to them. Any and all pledged receipts 7696
received by the issuing authority and required by the bond 7697
proceedings, consistent with this section, to be deposited, 7698
transferred, or credited to the bond service fund, and all other 7699
money transferred or allocated to or received for the purposes of 7700
that fund, shall be deposited and credited to the bond service 7701
fund created in the bond proceedings for the obligations, subject 7702
to any applicable provisions of those bond proceedings, but 7703
without necessity for any act of appropriation. Those pledged 7704
receipts shall immediately be subject to the lien of that pledge 7705
without any physical delivery thereof or further act, and shall 7706
not be subject to other court judgments. The lien of the pledge of 7707
those pledged receipts shall be valid and binding against all 7708
parties having claims of any kind against the issuing authority, 7709
irrespective of whether those parties have notice thereof. The 7710
pledge shall create a perfected security interest for all purposes 7711
of Chapter 1309. of the Revised Code and a perfected lien for 7712
purposes of any other interest, all without the necessity for 7713
separation or delivery of funds or for the filing or recording of 7714
the applicable bond proceedings by which that pledge is created or 7715
any certificate, statement, or other document with respect 7716
thereto. The pledge of the pledged receipts shall be effective and 7717
the money therefrom and thereof may be applied to the purposes for 7718
which pledged.7719

       (G) Obligations may be further secured, as determined by the 7720
issuing authority, by an indenture or a trust agreement between 7721
the issuing authority and a corporate trustee, which may be any 7722
trust company or bank having a place of business within the state. 7723
Any indenture or trust agreement may contain the resolution or 7724
order authorizing the issuance of the obligations, any provisions 7725
that may be contained in any bond proceedings, and other 7726
provisions that are customary or appropriate in an agreement of 7727
that type, including, but not limited to:7728

       (1) Maintenance of each pledge, indenture, trust agreement, 7729
or other instrument comprising part of the bond proceedings until 7730
the issuing authority has fully paid or provided for the payment 7731
of debt service on the obligations secured by it;7732

       (2) In the event of default in any payments required to be 7733
made by the bond proceedings, enforcement of those payments or 7734
agreements by mandamus, the appointment of a receiver, suit in 7735
equity, action at law, or any combination of them;7736

       (3) The rights and remedies of the holders or owners of 7737
obligations and of the trustee and provisions for protecting and 7738
enforcing them, including limitations on rights of individual 7739
holders and owners.7740

       (H) The bond proceedings may contain additional provisions 7741
customary or appropriate to the financing or to the obligations or 7742
to particular obligations including, but not limited to, 7743
provisions for:7744

       (1) The redemption of obligations prior to maturity at the 7745
option of the issuing authority or of the holder or upon the 7746
occurrence of certain conditions, and at a particular price or 7747
prices and under particular terms and conditions;7748

       (2) The form of and other terms of the obligations;7749

       (3) The establishment, deposit, investment, and application 7750
of special funds, and the safeguarding of moneys on hand or on 7751
deposit, in lieu of the applicability of provisions of Chapter 7752
131. or 135. of the Revised Code, but subject to any special 7753
provisions of this section with respect to the application of 7754
particular funds or moneys. Any financial institution that acts as 7755
a depository of any moneys in special funds or other funds under 7756
the bond proceedings may furnish indemnifying bonds or pledge 7757
securities as required by the issuing authority.7758

       (4) Any or every provision of the bond proceedings being 7759
binding upon the issuing authority and upon such governmental 7760
agency or entity, officer, board, authority, agency, department, 7761
institution, district, or other person or body as may from time to 7762
time be authorized to take actions as may be necessary to perform 7763
all or any part of the duty required by the provision;7764

       (5) The maintenance of each pledge or instrument comprising 7765
part of the bond proceedings until the issuing authority has fully 7766
paid or provided for the payment of the debt service on the 7767
obligations or met other stated conditions;7768

       (6) In the event of default in any payments required to be 7769
made by the bond proceedings, or by any other agreement of the 7770
issuing authority made as part of a contract under which the 7771
obligations were issued or secured, including a credit enhancement 7772
facility, the enforcement of those payments by mandamus, a suit in 7773
equity, an action at law, or any combination of those remedial 7774
actions;7775

       (7) The rights and remedies of the holders or owners of 7776
obligations or of book-entry interests in them, and of third 7777
parties under any credit enhancement facility, and provisions for 7778
protecting and enforcing those rights and remedies, including 7779
limitations on rights of individual holders or owners;7780

       (8) The replacement of mutilated, destroyed, lost, or stolen 7781
obligations;7782

       (9) The funding, refunding, or advance refunding, or other 7783
provision for payment, of obligations that will then no longer be 7784
outstanding for purposes of this section or of the applicable bond 7785
proceedings;7786

       (10) Amendment of the bond proceedings;7787

       (11) Any other or additional agreements with the owners of 7788
obligations, and such other provisions as the issuing authority 7789
determines, including limitations, conditions, or qualifications, 7790
relating to any of the foregoing or the activities of the issuing 7791
authority in connection therewith.7792

       The bond proceedings shall make provision for the payment of 7793
the expenses of the enforcement activity of the attorney general 7794
referred to in division (B) of this section from the amounts from 7795
the tobacco master settlement agreement assigned and sold to the 7796
issuing authority under that division or from the proceeds of 7797
obligations, or a combination thereof, which may include provision 7798
for both annual payments and a special fund providing reserve 7799
amounts for the payment of those expenses.7800

       The issuing authority shall not, and shall covenant in the 7801
bond proceedings that it shall not, be authorized to and shall not 7802
file a voluntary petition under the United States Bankruptcy Code, 7803
11 U.S.C. 101 et seq., as amended, or voluntarily commence any 7804
similar bankruptcy proceeding under state law including, without 7805
limitation, consenting to the appointment of a receiver or trustee 7806
or making a general or specific assignment for the benefit of 7807
creditors, and neither any public officer or any organization, 7808
entity, or other person shall authorize the issuing authority to 7809
be or become a debtor under the United States Bankruptcy Code or 7810
take any of those actions under the United States Bankruptcy Code 7811
or state law. The state hereby covenants, and the issuing 7812
authority shall covenant, with the holders or owners of the 7813
obligations, that the state shall not permit the issuing authority 7814
to file a voluntary petition under the United States Bankruptcy 7815
Code or take any of those actions under the United States 7816
Bankruptcy Code or state law during the period obligations are 7817
outstanding and for any additional period for which the issuing 7818
authority covenants in the bond proceedings, which additional 7819
period may, but need not, be a period of three hundred sixty-seven 7820
days or more.7821

       (I) The obligations requiring execution by or for the issuing 7822
authority shall be signed as provided in the bond proceedings, and 7823
may bear the official seal of the issuing authority or a facsimile 7824
thereof. Any obligation may be signed by the individual who, on 7825
the date of execution, is the authorized signer even though, on 7826
the date of the obligations, that individual is not an authorized 7827
signer. In case the individual whose signature or facsimile 7828
signature appears on any obligation ceases to be an authorized 7829
signer before delivery of the obligation, that signature or 7830
facsimile is nevertheless valid and sufficient for all purposes as 7831
if that individual had remained the authorized signer until 7832
delivery.7833

       (J) Obligations are investment securities under Chapter 1308. 7834
of the Revised Code. Obligations may be issued in bearer or in 7835
registered form, registrable as to principal alone or as to both 7836
principal and interest, or both, or in certificated or 7837
uncertificated form, as the issuing authority determines. 7838
Provision may be made for the exchange, conversion, or transfer of 7839
obligations and for reasonable charges for registration, exchange, 7840
conversion, and transfer. Pending preparation of final 7841
obligations, the issuing authority may provide for the issuance of 7842
interim instruments to be exchanged for the final obligations.7843

       (K) Obligations may be sold at public sale or at private 7844
sale, in such manner, and at such price at, above, or below par, 7845
all as determined by and provided by the issuing authority in the 7846
bond proceedings.7847

       (L) Except to the extent that rights are restricted by the 7848
bond proceedings, any owner of obligations or provider of or 7849
counterparty to a credit enhancement facility may by any suitable 7850
form of legal proceedings protect and enforce any rights relating 7851
to obligations or that facility under the laws of this state or 7852
granted by the bond proceedings. Those rights include the right to 7853
compel the performance of all applicable duties of the issuing 7854
authority and the state. Each duty of the issuing authority and 7855
that issuing authority's officers, staff, and employees, and of 7856
each state entity or agency, or using district or using 7857
institution, and its officers, members, staff, or employees, 7858
undertaken pursuant to the bond proceedings, is hereby established 7859
as a duty of the entity or individual having authority to perform 7860
that duty, specifically enjoined by law and resulting from an 7861
office, trust, or station within the meaning of section 2731.01 of 7862
the Revised Code. The individuals who are from time to time 7863
members of the issuing authority, or their designees acting 7864
pursuant to section 183.52 of the Revised Code, or the issuing 7865
authority's officers, staff, agents, or employees, when acting 7866
within the scope of their employment or agency, shall not be 7867
liable in their personal capacities on any obligations or 7868
otherwise under the bond proceedings, or for otherwise exercising 7869
or carrying out any purposes or powers of the issuing authority.7870

       (M)(1) Subject to any applicable limitations in division (C) 7871
of this section, the issuing authority may also authorize and 7872
provide for the issuance of:7873

       (a) Obligations in the form of bond anticipation notes, and 7874
may authorize and provide for the renewal of those notes from time 7875
to time by the issuance of new notes. The holders of notes or 7876
appertaining interest coupons have the right to have debt service 7877
on those notes paid solely from the moneys and special funds, and 7878
all or any portion of the pledged receipts, that are or may be 7879
pledged to that payment, including the proceeds of bonds or 7880
renewal notes or both, as the issuing authority provides in the 7881
bond proceedings authorizing the notes. Notes may be additionally 7882
secured by covenants of the issuing authority to the effect that 7883
the issuing authority will do all things necessary for the 7884
issuance of bonds or renewal notes in such principal amount and 7885
upon such terms as may be necessary to provide moneys to pay when 7886
due the debt service on the notes, and apply their proceeds to the 7887
extent necessary, to make full and timely payment of debt service 7888
on the notes as provided in the applicable bond proceedings. In 7889
the bond proceedings authorizing the issuance of bond anticipation 7890
notes the issuing authority shall set forth for the bonds 7891
anticipated an estimated schedule of annual principal payments the 7892
latest of which shall be no later than provided in division (D) of 7893
this section. While the notes are outstanding there shall be 7894
deposited, as shall be provided in the bond proceedings for those 7895
notes, from the sources authorized for payment of debt service on 7896
the bonds, amounts sufficient to pay the principal of the bonds 7897
anticipated as set forth in that estimated schedule during the 7898
time the notes are outstanding, which amounts shall be used solely 7899
to pay the principal of those notes or of the bonds anticipated.7900

       (b) Obligations for the refunding, including funding and 7901
retirement, and advance refunding, with or without payment or 7902
redemption prior to maturity, of any obligations previously issued 7903
under this section and any bonds or notes previously issued for 7904
the purpose of paying costs of capital facilities for: (i) 7905
state-supported or state-assisted institutions of higher education 7906
as authorized by sections 151.01 and 151.04 of the Revised Code, 7907
pursuant to Sections 2i and 2n of Article VIII, Ohio Constitution; 7908
(ii) housing branches and agencies of state government, including 7909
but not limited to facilities for housing state agencies as 7910
authorized by section 152.09 of the Revised Code, pursuant to 7911
Section 2i of Article VIII, Ohio Constitution, for a system of 7912
common schools throughout the state as authorized by sections 7913
151.01 and 151.03 of the Revised Code, pursuant to Sections 2i and 7914
2n of Article VIII, Ohio Constitution, and for use as state 7915
correctional facilities or county, multicounty, municipal-county, 7916
and multicounty-municipal jail facilities or workhouses as 7917
authorized by section 152.33 of the Revised Code, pursuant to 7918
Section 2i of Article VIII, Ohio Constitution; (iii) mental 7919
hygiene and retardation as authorized by sections 154.01 and 7920
154.20 of the Revised Code, pursuant to Section 2i of Article 7921
VIII, Ohio Constitution; and (iv) parks and recreation as 7922
authorized by sections 154.01 and 154.22 of the Revised Code, 7923
pursuant to Section 2i of Article VIII, Ohio Constitution. 7924
Refunding obligations may be issued in amounts sufficient to pay 7925
or to provide for repayment of the principal amount, including 7926
principal amounts maturing prior to the redemption of the 7927
remaining prior obligations or bonds or notes, any redemption 7928
premium, and interest accrued or to accrue to the maturity or 7929
redemption date or dates, payable on the prior obligations or 7930
bonds or notes, and related financing costs and any expenses 7931
incurred or to be incurred in connection with that issuance and 7932
refunding. Subject to the applicable bond proceedings, the portion 7933
of the proceeds of the sale of refunding obligations issued under 7934
division (M)(1)(b) of this section to be applied to debt service 7935
on the prior obligations or bonds or notes shall be credited to an 7936
appropriate separate account in the bond service fund and held in 7937
trust for the purpose by the issuing authority or by a corporate 7938
trustee, and may be invested as provided in the bond proceedings. 7939
Obligations authorized under this division shall be considered to 7940
be issued for those purposes for which the prior obligations or 7941
bonds or notes were issued.7942

       (2) The principal amount of refunding, advance refunding, or 7943
renewal obligations issued pursuant to division (M) of this 7944
section shall be in addition to the amount authorized in division 7945
(C) of this section.7946

       (N) Obligations are lawful investments for banks, savings and 7947
loan associations, credit union share guaranty corporations, trust 7948
companies, trustees, fiduciaries, insurance companies, including 7949
domestic for life and domestic not for life, trustees or other 7950
officers having charge of sinking and bond retirement or other 7951
special funds of the state and political subdivisions and taxing 7952
districts of this state, notwithstanding any other provisions of 7953
the Revised Code or rules adopted pursuant to those provisions by 7954
any state agency with respect to investments by them, and are also 7955
acceptable as security for the repayment of the deposit of public 7956
moneys. The exemptions from taxation in Ohio as provided for in 7957
particular sections of the Ohio Constitution and section 5709.76 7958
of the Revised Code apply to the obligations.7959

       (O)(1) Unless otherwise provided or provided for in any 7960
applicable bond proceedings, moneys to the credit of or in a 7961
special fund shall be disbursed on the order of the issuing 7962
authority. No such order is required for the payment, from the 7963
bond service fund or other special fund, when due of debt service 7964
or required payments under credit enhancement facilities.7965

       (2) Payments received by the issuing authority under interest 7966
rate hedges entered into as credit enhancement facilities under 7967
this section shall be deposited as provided in the applicable bond 7968
proceedings.7969

       (P) The obligations shall not be general obligations of the 7970
state and the full faith and credit, revenue, and taxing power of 7971
the state shall not be pledged to the payment of debt service on 7972
them or to any guarantee of the payment of that debt service. The 7973
holders or owners of the obligations shall have no right to have 7974
any moneys obligated or pledged for the payment of debt service 7975
except as provided in this section and in the applicable bond 7976
proceedings. The rights of the holders and owners to payment of 7977
debt service are limited to all or that portion of the pledged 7978
receipts, and those special funds, pledged to the payment of debt 7979
service pursuant to the bond proceedings in accordance with this 7980
section, and each obligation shall bear on its face a statement to 7981
that effect.7982

       (Q) Each bond service fund is a trust fund and is hereby 7983
pledged to the payment of debt service on the applicable 7984
obligations. Payment of that debt service shall be made or 7985
provided for by the issuing authority in accordance with the bond 7986
proceedings without necessity for any act of appropriation. The 7987
bond proceedings may provide for the establishment of separate 7988
accounts in the bond service fund and for the application of those 7989
accounts only to debt service on specific obligations, and for 7990
other accounts in the bond service fund within the general 7991
purposes of that fund.7992

       (R) Subject to the bond proceedings pertaining to any 7993
obligations then outstanding in accordance with their terms, the 7994
issuing authority may in the bond proceedings pledge all, or such 7995
portion as the issuing authority determines, of the moneys in the 7996
bond service fund to the payment of debt service on particular 7997
obligations, and for the establishment and maintenance of any 7998
reserves for payment of particular debt service.7999

       (S)(1) Unless otherwise provided in any applicable bond 8000
proceedings, moneys to the credit of special funds may be invested 8001
by or on behalf of the issuing authority only in one or more of 8002
the following:8003

       (a) Notes, bonds, or other direct obligations of the United 8004
States or of any agency or instrumentality of the United States, 8005
or in no-front-end-load money market mutual funds consisting 8006
exclusively of those obligations, or in repurchase agreements, 8007
including those issued by any fiduciary, secured by those 8008
obligations, or in collective investment funds consisting 8009
exclusively of those obligations;8010

       (b) Obligations of this state or any political subdivision of 8011
this state;8012

       (c) Certificates of deposit of any national bank located in 8013
this state and any bank, as defined in section 1101.01 of the 8014
Revised Code, subject to inspection by the superintendent of 8015
financial institutions;8016

       (d) The treasurer of state's pooled investment program under 8017
section 135.45 of the Revised Code;8018

       (e) Other investment agreements or repurchase agreements that 8019
are consistent with the ratings on the obligations.8020

       (2) The income from investments referred to in division 8021
(S)(1) of this section shall be credited to special funds or 8022
otherwise as the issuing authority determines in the bond 8023
proceedings. Those investments may be sold or exchanged at times 8024
as the issuing authority determines, provides for, or authorizes.8025

       (T) The treasurer of state shall have responsibility for 8026
keeping records, making reports, and making payments, relating to 8027
any arbitrage rebate requirements under the applicable bond 8028
proceedings.8029

       Sec. 183.52.  (A) There is hereby created a body, both 8030
corporate and politic, constituting an agency and instrumentality 8031
of this state and performing essential functions of the state, to 8032
be known as the Ohio tobacco settlement financing authority, which 8033
in that name may contract and be contracted with, sue and be sued, 8034
and exercise all other authority vested in that authority by this 8035
section and section 183.51 of the Revised Code. The authority is 8036
created for the sole purpose of purchasing and receiving any 8037
assignment of the tobacco settlement receipts and issuing 8038
obligations, all as provided for in section 183.51 of the Revised 8039
Code, to provide financing of essential functions and facilities. 8040
The property of the authority and its income and operations shall 8041
be exempt from taxation involving the state or by the state and 8042
any political subdivision of the state. All income of the 8043
authority, after the payment of necessary expenses, shall accrue 8044
to the state.8045

       (B) The authority shall consist of, in each case ex officio, 8046
the governor, the director of budget and management, the tax 8047
commissioner, the treasurer of state, and the auditor of state. 8048
The governor shall serve as the chair of the authority, the 8049
director of budget and management shall serve as its secretary, 8050
and the authority shall have such other officers as it determines, 8051
who may but need not be members of the authority. Four members of 8052
the authority constitute a quorum and the affirmative vote of four 8053
members is necessary for any action taken by vote of the 8054
authority. No vacancy in the membership of the authority shall 8055
impair the rights of a quorum by such vote to exercise all the 8056
rights and perform all the duties of the authority. Each of the 8057
members above identified may designate an employee or officer of 8058
their office to attend meetings of the authority when that member 8059
is absent or unable for any reason to attend and that designee, 8060
when present, shall be counted in determining whether a quorum is 8061
present at any meeting and may vote and participate in all 8062
proceedings and actions of the authority. A designee may not 8063
execute or cause a facsimile signature to be placed on any 8064
obligation. That designation shall be in writing, executed by the 8065
designating member, and be filed with the secretary of the 8066
authority. A designation may be changed from time to time by a 8067
similar written designation. The authority may delegate to such of 8068
its members, officers, employees, or staff as it determines those 8069
powers and duties as it deems appropriate. No member of the 8070
authority or designee shall, by reason of being or serving as a 8071
member of the authority, be required to abstain from action in any 8072
other capacity as an incumbent of a state office or position or 8073
from any action as a member of the authority in any matter 8074
affecting or in any way pertaining to both that office or position 8075
and the authority, or for any purpose be deemed to be disqualified 8076
from either such office or position or as a member of the 8077
authority by reason of so acting or to have violated any law by 8078
reason thereof. The authority may adopt and alter bylaws and rules 8079
for the conduct of its affairs, including provisions for meetings, 8080
and for the manner in which its powers and functions are to be 8081
exercised and embodied, and may adopt and alter at will an 8082
official seal to be affixed to official documents, provided that 8083
the failure to affix any such seal shall not affect the legality 8084
of such documents. Members of the authority shall receive no added 8085
compensation for their services as such members but may be 8086
reimbursed, as determined by the authority, for their necessary 8087
and actual expenses incurred in the conduct of the authority's 8088
business. The office of budget and management shall provide staff 8089
support to the authority.8090

       Notwithstanding the existence of common management, the 8091
authority shall be treated and accounted for as a separate and 8092
independent legal entity with its separate purposes as set forth 8093
in this section and section 183.51 of the Revised Code. The 8094
assets, liabilities, and funds of the authority shall not be 8095
consolidated or commingled with those of the state, and contracts 8096
entered into by the authority shall be entered into in the name of 8097
the authority and not in the name of the state.8098

       (C) In connection with the exercise of its powers pursuant to 8099
this section and section 183.51 of the Revised Code, the authority 8100
may enter into contracts and execute all instruments necessary or 8101
incidental to the performance of the issuing authority's duties 8102
and the execution of the issuing authority's powers and do all 8103
other acts necessary or proper to the fulfillment of the issuing 8104
authority's purposes and to carry out the powers expressly granted 8105
in this section and section 183.51 of the Revised Code.8106

       (D) Unless otherwise provided in Article IV of the Ohio 8107
Constitution, any action, suit, or special proceeding brought 8108
against the issuing authority or the state concerning or relating 8109
to the bond proceedings, section 183.51 of the Revised Code, or 8110
this section, shall be filed and determined in the court of claims 8111
under Chapter 2743. of the Revised Code. Any special proceeding 8112
brought against the issuing authority or the state in which the 8113
court of appeals has original jurisdiction shall be filed and 8114
determined in the court of appeals of Franklin county. Any such 8115
action or proceeding to which the issuing authority or the state 8116
is a party shall be preferred over all other civil causes of 8117
action or cases, except election causes of action or cases, 8118
irrespective of position on the calendar.8119

       Sec. 307.021.  (A) It is hereby declared to be a public8120
purpose and function of the state, and a matter of urgent8121
necessity, that the state acquire, construct, or renovate capital8122
facilities for use as county, multicounty, municipal-county, and8123
multicounty-municipal jail facilities or workhouses, as8124
single-county or district community-based correctional facilities8125
authorized under section 2301.51 of the Revised Code, as minimum8126
security misdemeanant jails under sections 341.34 and 753.21 of8127
the Revised Code, and as single-county or joint-county juvenile8128
facilities authorized under section 2151.65 of the Revised Code in 8129
order to comply with constitutional standards and laws for the8130
incarceration of alleged and convicted offenders against state and 8131
local laws, and for use as county family court centers. For these 8132
purposes, counties and municipal corporations are designated as 8133
state agencies to perform duties of the state in relation to such 8134
facilities, workhouses, jails, and centers, and such facilities, 8135
workhouses, jails, and centers are designated as state capital 8136
facilities. The Ohio building authority is authorized to issue 8137
revenue obligations under sections 152.09 to 152.33 of the Revised 8138
Code to pay all or part of the cost of such state capital 8139
facilities as are designated by law.8140

       The office of the sheriff, due to its responsibilities8141
concerning alleged and convicted offenders against state laws, is8142
designated as the state agency having jurisdiction over such jail, 8143
workhouse, community-based correctional, or county minimum8144
security misdemeanant jail capital facilities in any one county or 8145
over any district community-based correctional facilities. The 8146
corrections commission, due to its responsibilities in relation to 8147
such offenders, is designated as the state agency having 8148
jurisdiction over any such multicounty, municipal-county, or 8149
multicounty-municipal jail, workhouse, or correctional capital8150
facilities. The office of the chief of police or marshal of a8151
municipal corporation, due to its responsibilities concerning8152
certain alleged and convicted criminal offenders, is designated as 8153
the state agency having jurisdiction over any such municipal8154
corporation minimum security misdemeanant jail capital facilities8155
in the municipal corporation. The juvenile court, as defined in8156
section 2151.011 of the Revised Code, is designated as the branch8157
of state government having jurisdiction over any such family court 8158
center or single-county or joint-county juvenile capital8159
facilities. It is hereby determined and declared that such capital 8160
facilities are for the purpose of housing such state agencies, 8161
their functions, equipment, and personnel.8162

       (B) The capital facilities provided for in this section may 8163
be included in capital facilities in which one or more8164
governmental entities are participating or in which other8165
facilities of the county or counties, or any municipal8166
corporations, are included pursuant to section 152.31 or 152.33 of 8167
the Revised Code or in an agreement between any county or counties 8168
and any municipal corporation or municipal corporations for 8169
participating in the joint construction, acquisition, or8170
improvement of public works, public buildings, or improvements8171
benefiting the parties in the same manner as set forth in section8172
153.61 of the Revised Code.8173

       (C) A county or counties or a municipal corporation or8174
municipal corporations may contribute to the cost of capital8175
facilities authorized under this section.8176

       (D) A county or counties, and any municipal corporations,8177
shall lease capital facilities described in this section that are8178
constructed, reconstructed, otherwise improved, or financed by the 8179
Ohio building authority pursuant to sections 152.09 to 152.33 of 8180
the Revised Code for the use of the county or counties and any8181
municipal corporations, and may enter into other agreements8182
ancillary to the construction, reconstruction, improvement,8183
financing, leasing, or operation of such capital facilities,8184
including, but not limited to, any agreements required by the8185
applicable bond proceedings authorized by sections 152.09 to8186
152.33 of the Revised Code.8187

       Such lease may obligate the county or counties and any8188
municipal corporation, as using state agencies under Chapter 152.8189
of the Revised Code, to occupy and operate such capital facilities 8190
for such period of time as may be specified by law and to pay such 8191
rent as the authority determines to be appropriate.8192
Notwithstanding any other section of the Revised Code, any county8193
or counties or municipal corporation may enter into such a lease,8194
and any such lease is legally sufficient to obligate the political 8195
subdivision for the term stated in the lease. Any such lease 8196
constitutes an agreement described in division (E) of section 8197
152.24 of the Revised Code.8198

       (E) If rental payments required from the county or counties 8199
or municipal corporation by a lease established pursuant to this 8200
section are not paid in accordance with such lease, the funds 8201
which otherwise would be apportioned to the lessees from the 8202
county undivided local governmentcommunities fund, pursuant to 8203
sections 5747.51 to 5747.53 of the Revised Code, shall be reduced 8204
by the amount of rent payable to the authority. The county 8205
treasurer immediately shall pay the amount of such reductions to 8206
the authority.8207

       (F) Any lease of capital facilities authorized by this8208
section, the rentals of which are payable in whole or in part from 8209
appropriations made by the general assembly, is governed by8210
division (D) of section 152.24 of the Revised Code. Such rentals8211
constitute available receipts as defined in section 152.09 of the8212
Revised Code and may be pledged for the payment of bond service8213
charges as provided in section 152.10 of the Revised Code.8214

       (G) Any provision of section 152.21, 152.22, or 152.26 of the 8215
Revised Code that applies to buildings and facilities described in 8216
section 152.19 of the Revised Code also applies to the buildings 8217
and facilities described in this section, unless it is 8218
inconsistent with this section.8219

       Sec. 307.37. (A) As used in division (B)(3) of this section, 8220
"proposed new construction" means a proposal to erect, construct, 8221
repair, alter, redevelop, or maintain a single-family, two-family, 8222
or three-family dwelling or any structure that is regulated by the 8223
Ohio building code.8224

       (B)(1)(a) The board of county commissioners may adopt local 8225
residential building regulations governing residential buildings 8226
as defined in section 3781.06 of the Revised Code, to be enforced 8227
within the unincorporated area of the county or within districts 8228
the board establishes in any part of the unincorporated area. No 8229
local residential building regulation shall differ from the state 8230
residential building code the board of building standards 8231
establishes pursuant to Chapter 3781. of the Revised Code unless 8232
the regulation addresses subject matter not addressed by the state 8233
residential building code or is adopted pursuant to section 8234
3781.01 of the Revised Code.8235

       (b) The board of county commissioners may, by resolution, 8236
adopt, administer, and enforce within the unincorporated area of 8237
the county, or within districts the board establishes in the 8238
unincorporated area, an existing structures code pertaining to the 8239
repair and continued maintenance of structures and the premises of 8240
those structures provided that the existing structures code 8241
governs subject matter not addressed by, and is not in conflict 8242
with, the state residential building code adopted pursuant to 8243
Chapter 3781. of the Revised Code. The board may adopt by 8244
incorporation by reference a model or standard code prepared and 8245
promulgated by the state, any agency of this state, or any private 8246
organization that publishes a recognized or standard existing 8247
structures code.8248

       (c) The board shall assign the duties of administering and 8249
enforcing any local residential building regulations or existing 8250
structures code to a county officer or employee who is trained and 8251
qualified for those duties and shall establish by resolution the 8252
minimum qualifications necessary to perform those duties.8253

       (2) The board may adopt regulations for participation in the 8254
national flood insurance program as defined in section 1521.01 of 8255
the Revised Code and regulations for the purposes of section 8256
1506.04 or 1506.07 of the Revised Code governing the prohibition, 8257
location, erection, construction, redevelopment, or floodproofing 8258
of new buildings or structures, substantial improvements to 8259
existing buildings or structures, or other development in 8260
unincorporated territory within flood hazard areas identified 8261
under the "Flood Disaster Protection Act of 1973," 87 Stat. 975, 8262
42 U.S.C.A. 4002, as amended, or within Lake Erie coastal erosion 8263
areas identified under section 1506.06 of the Revised Code, 8264
including, but not limited to, residential, commercial, 8265
institutional, or industrial buildings or structures or other 8266
permanent structures, as defined in section 1506.01 of the Revised 8267
Code. Rules adopted under division (B)(2) of this section shall 8268
not conflict with the state residential and nonresidential8269
building codes adopted pursuant to section 3781.10 of the Revised 8270
Code.8271

       (3)(a) A board may adopt regulations that provide for a 8272
review of the specific effects of a proposed new construction on8273
existing surface or subsurface drainage. The regulations may8274
require reasonable drainage mitigation and reasonable alteration 8275
of a proposed new construction before a building permit is issued 8276
in order to prevent or correct any adverse effects that the 8277
proposed new construction may have on existing surface or 8278
subsurface drainage. The regulations shall not be inconsistent 8279
with, more stringent than, or broader in scope than standards 8280
adopted by the natural resource conservation service in the United 8281
States department of agriculture concerning drainage or rules 8282
adopted by the environmental protection agency for reducing, 8283
controlling, or mitigating storm water runoff from construction 8284
sites, where applicable. The regulations shall allow a person who 8285
is registered under Chapter 4703. or 4733. of the Revised Code to 8286
prepare and submit relevant plans and other documents for review, 8287
provided that the person is authorized to prepare the plans and 8288
other documents pursuant to the person's registration.8289

       (b) If regulations are adopted under division (B)(3) of this8290
section, the board shall specify in the regulations a procedure8291
for the review of the specific effects of a proposed new8292
construction on existing surface or subsurface drainage. The8293
procedure shall include at a minimum all of the following:8294

       (i) A meeting at which the proposed new construction shall be8295
examined for those specific effects. The meeting shall be held8296
within thirty days after an application for a building permit is8297
filed or a review is requested unless the applicant agrees in 8298
writing to extend that time period or to postpone the meeting to 8299
another date, time, or place. The meeting shall be scheduled 8300
within five days after an application for a building permit is 8301
filed or a review is requested.8302

        (ii) Written notice of the date, time, and place of that8303
meeting, sent by regular mail to the applicant. The written notice 8304
shall be mailed at least seven days before the scheduled meeting 8305
date.8306

        (iii) Completion of the review by the board of county8307
commissioners not later than thirty days after the application for8308
a building permit is filed or a review is requested unless the 8309
applicant has agreed in writing to extend that time period or 8310
postpone the meeting to a later time, in which case the review 8311
shall be completed not later than two days after the date of the 8312
meeting. A complete review shall include the issuance of any order 8313
of the board of county commissioners regarding necessary 8314
reasonable drainage mitigation and necessary reasonable 8315
alterations to the proposed new construction to prevent or correct 8316
any adverse effects on existing surface or subsurface drainage so 8317
long as those alterations comply with the state residential and 8318
nonresidential building codes adopted pursuant to section 3781.10 8319
of the Revised Code. If the review is not completed within the8320
thirty-day period or an extended or postponed period that the8321
applicant has agreed to, the proposed new construction shall be8322
deemed to have no adverse effects on existing surface or8323
subsurface drainage, and those effects shall not be a valid basis8324
for the denial of a building permit.8325

        (iv) A written statement, provided to the applicant at the8326
meeting or in an order for alterations to a proposed new8327
construction, informing the applicant of the right to seek8328
appellate review of the denial of a building permit under division8329
(B)(3)(b)(iii) of this section by filing a petition in accordance8330
with Chapter 2506. of the Revised Code.8331

        (c) The regulations may authorize the board, after obtaining 8332
the advice of the county engineer, to enter into an agreement with 8333
the county engineer or another qualified person or entity to carry 8334
out any necessary inspections and make evaluations about what, if 8335
any, alterations are necessary to prevent or correct any adverse8336
effects that a proposed new construction may have on existing8337
surface or subsurface drainage.8338

       (d) Regulations adopted pursuant to division (B)(3) of this8339
section shall not apply to any property that a platting authority 8340
has approved under section 711.05, 711.09, or 711.10 of the 8341
Revised Code and shall not govern the same subject matter as the 8342
state residential or nonresidential building codes adopted 8343
pursuant to section 3781.10 of the Revised Code.8344

       (e) As used in division (B)(3) of this section, "subsurface8345
drainage" does not include a household sewage treatmentdisposal8346
system as defined in section 3709.091 of the Revised Code.8347

       (C)(1) Any regulation, code, or amendment may be adopted 8348
under this section only after a public hearing at not fewer than 8349
two regular or special sessions of the board. The board shall 8350
cause notice of any public hearing to be published in a newspaper 8351
of general circulation in the county once a week for the two 8352
consecutive weeks immediately preceding the hearing, except that 8353
if the board posts the hearing notice on the board's internet site 8354
on the world wide web, the board need publish only one notice of 8355
the hearing in a newspaper of general circulation if that 8356
newspaper notice includes the board's internet site and a 8357
statement that the notice is also posted on the internet site. Any 8358
notice of a public hearing shall include the time, date, and place 8359
of the hearing.8360

       (2) Any proposed regulation, code, or amendment shall be made 8361
available to the public at the board office. The regulations or 8362
amendments shall take effect on the thirty-first day following the 8363
date of their adoption.8364

       (D)(1) No person shall violate any regulation, code, or 8365
amendment the board adopts under sections 307.37 to 307.40 of the 8366
Revised Code.8367

       (2) Each day during which an illegal location, erection,8368
construction, floodproofing, repair, alteration, development,8369
redevelopment, or maintenance continues may be considered a8370
separate offense.8371

       (E) Regulations or amendments the board adopts pursuant to 8372
this section, with the exception of an existing structures code, 8373
do not affect buildings or structures that exist or on which8374
construction has begun on or before the date the board adopts the 8375
regulation or amendment.8376

       (F)(1) The board may create a building department and employ 8377
the personnel it determines necessary to administer and enforce 8378
any local residential building regulations or existing structures 8379
code the board adopts pursuant to this section. The building 8380
department may enforce the state residential and nonresidential 8381
building codes adopted pursuant to Chapter 3781. of the Revised 8382
Code if the building department is certified pursuant to section 8383
3781.10 of the Revised Code to enforce those codes.8384

        (2) The board may direct the building department, upon 8385
certification, to exercise enforcement authority and to accept and8386
approve plans pursuant to sections 3781.03 and 3791.04 of the8387
Revised Code for the class of building for which the department 8388
and personnel are certified.8389

       Sec. 307.695.  (A) As used in this section:8390

       (1) "Arena" means any structure designed and constructed for 8391
the purpose of providing a venue for public entertainment and 8392
recreation by the presentation of concerts, sporting and athletic 8393
events, and other events and exhibitions, including facilities 8394
intended to house or provide a site for one or more athletic or 8395
sports teams or activities, spectator facilities, parking 8396
facilities, walkways, and auxiliary facilities, real and personal 8397
property, property rights, easements, leasehold estates, and 8398
interests that may be appropriate for, or used in connection with, 8399
the operation of the arena.8400

       (2) "Convention center" means any structure expressly 8401
designed and constructed for the purposes of presenting 8402
conventions, public meetings, and exhibitions and includes parking 8403
facilities that serve the center and any personal property used in 8404
connection with any such structure or facilities.8405

       (3) "Eligible county" means a county having a population of 8406
at least four hundred thousand but not more than eight hundred 8407
thousand according to the 2000 federal decennial census and that 8408
directly borders the geographic boundaries of another state.8409

        (4) "Entity" means a nonprofit corporation, a municipal 8410
corporation, a port authority created under Chapter 4582. of the 8411
Revised Code, or a convention facilities authority created under 8412
Chapter 351. of the Revised Code.8413

       (5) "Lodging taxes" means excise taxes levied under division 8414
(A)(1), (A)(2), or (C) of section 5739.09 of the Revised Code and 8415
the revenues arising therefrom.8416

       (6) "Nonprofit corporation" means a nonprofit corporation 8417
that is organized under the laws of this state and that includes 8418
within the purposes for which it is incorporated the authorization 8419
to lease and operate facilities such as a convention center or an 8420
arena or a combination of an arena and convention center.8421

       (7) "Project" means acquiring, constructing, reconstructing, 8422
renovating, rehabilitating, expanding, adding to, equipping, 8423
furnishing or otherwise improving an arena, a convention center, 8424
or a combination of an arena and convention center. For purposes 8425
of this section, a project is a permanent improvement for one 8426
purpose under Chapter 133. of the Revised Code.8427

       (8) "Project revenues" means money received by an eligiblea8428
county with a population of four hundred thousand or more, other 8429
than money from taxes or from the proceeds of securities secured 8430
by taxes, in connection with, derived from, related to, or 8431
resulting from a project, including, but not limited to, rentals 8432
and other payments received under a lease or agreement with 8433
respect to the project, ticket charges or surcharges for admission 8434
to events at a project, charges or surcharges for parking for 8435
events at a project, charges for the use of a project or any 8436
portion of a project, including suites and seating rights, the 8437
sale of naming rights for the project or a portion of the project, 8438
unexpended proceeds of any county revenue bonds issued for the 8439
project, and any income and profit from the investment of the 8440
proceeds of any such revenue bonds or any project revenues.8441

       (9) "Chapter 133. securities," "debt charges," "general 8442
obligation," "legislation," "one purpose," "outstanding," 8443
"permanent improvement," "person," and "securities" have the 8444
meanings given to those terms in section 133.01 of the Revised 8445
Code.8446

       (B) A board of county commissioners may enter into an8447
agreement with a convention and visitors' bureau operating in the8448
county under which:8449

       (1) The bureau agrees to construct and equip a convention8450
center in the county and to pledge and contribute from the tax8451
revenues received by it under division (A) of section 5739.09 of8452
the Revised Code, not more than such portion thereof that it is8453
authorized to pledge and contribute for the purpose described in8454
division (C) of this section; and8455

       (2) The board agrees to levy a tax under division (C) of8456
section 5739.09 of the Revised Code and pledge and contribute the8457
revenues therefrom for the purpose described in division (C) of8458
this section.8459

       (C) The purpose of the pledges and contributions described in 8460
divisions (B)(1) and (2) of this section is payment of principal, 8461
interest, and premium, if any, on bonds and notes issued by or for 8462
the benefit of the bureau to finance the construction and 8463
equipping of a convention center. The pledges and contributions 8464
provided for in the agreement shall be for the period stated in 8465
the agreement. Revenues determined from time to time by the board 8466
to be needed to cover the real and actual costs of administering 8467
the tax imposed by division (C) of section 5739.09 of the Revised 8468
Code may not be pledged or contributed. The agreement shall 8469
provide that any such bonds and notes shall be secured by a trust8470
agreement between the bureau or other issuer acting for the8471
benefit of the bureau and a corporate trustee that is a trust8472
company or bank having the powers of a trust company within or8473
without the state, and the trust agreement shall pledge or assign8474
to the retirement of the bonds or notes, all moneys paid by the8475
county under this section. A tax the revenues from which are8476
pledged under an agreement entered into by a board of county8477
commissioners under this section shall not be subject to8478
diminution by initiative or referendum, or diminution by statute,8479
unless provision is made therein for an adequate substitute8480
therefor reasonably satisfactory to the trustee under the trust8481
agreement that secures the bonds and notes.8482

       (D) A pledge of money by a county under division (B) of this 8483
section shall not be indebtedness of the county for purposes of 8484
Chapter 133. of the Revised Code.8485

       (E) If the terms of the agreement so provide, the board of8486
county commissioners may acquire and lease real property to the8487
convention bureau as the site of the convention center. The lease 8488
shall be on such terms as are set forth in the agreement. The 8489
purchase and lease are not subject to the limitations of sections 8490
307.02 and 307.09 of the Revised Code.8491

       (F) In addition to the authority granted to a board of county 8492
commissioners under divisions (B) to (E) of this section, a board 8493
of county commissioners in a county with a population of one 8494
million two hundred thousand or more, or a county with a 8495
population greater than four hundred thousand but less than five 8496
hundred thousand, may establish and provide local funding options 8497
for constructing and equipping a convention center.8498

       (G) The board of county commissioners of an eligiblea county 8499
with a population of four hundred thousand or more may undertake, 8500
finance, operate, and maintain a project. The board may lease a 8501
project to an entity on terms that the board determines to be in 8502
the best interest of the county and in furtherance of the public 8503
purpose of the project; the lease may be for a term of thirty-five 8504
years or less and may provide for an option of the entity to renew 8505
the lease for a term of thirty-five years or less. The board may 8506
enter into an agreement with an entity with respect to a project 8507
on terms that the board determines to be in the best interest of 8508
the county and in furtherance of the public purpose of the 8509
project. To the extent provided for in an agreement or a lease 8510
with an entity, the board may authorize the entity to administer 8511
on behalf of the board any contracts for the project. The board 8512
may enter into an agreement providing for the sale to a person of 8513
naming rights to a project or portion of a project, for a period, 8514
for consideration, and on other terms and conditions that the 8515
board determines to be in the best interest of the county and in 8516
furtherance of the public purpose of the project. The board may 8517
enter into an agreement with a person owning or operating a 8518
professional athletic or sports team providing for the use by that 8519
person of a project or portion of a project for that team's 8520
offices, training, practices, and home games for a period, for 8521
consideration, and on other terms and conditions that the board 8522
determines to be in the best interest of the county and in 8523
furtherance of the public purpose of the project. The board may 8524
establish ticket charges or surcharges for admission to events at 8525
a project, charges or surcharges for parking for events at a 8526
project, and charges for the use of a project or any portion of a 8527
project, including suites and seating rights, and may, as 8528
necessary, enter into agreements related thereto with persons for 8529
a period, for consideration, and on other terms and conditions 8530
that the board determines to be in the best interest of the county 8531
and in furtherance of the public purpose of the project. A lease 8532
or agreement authorized by this division is not subject to 8533
sections 307.02, 307.09, and 307.12 of the Revised Code.8534

       (H) Notwithstanding any contrary provision in Chapter 5739. 8535
of the Revised Code, after adopting a resolution declaring it to 8536
be in the best interest of the county to undertake a project as 8537
described in division (G) of this section, the board of county 8538
commissioners of an eligible county may adopt a resolution 8539
enacting or increasing any lodging taxes within the limits 8540
specified in Chapter 5739. of the Revised Code with respect to 8541
those lodging taxes and amending any prior resolution under which 8542
any of its lodging taxes have been imposed in order to provide 8543
that those taxes, after deducting the real and actual costs of 8544
administering the taxes and any portion of the taxes returned to 8545
any municipal corporation or township as provided in division 8546
(A)(1) of section 5739.09 of the Revised Code, shall be used by 8547
the board for the purposes of undertaking, financing, operating, 8548
and maintaining the project, including paying debt charges on any 8549
securities issued by the board under division (I) of this section, 8550
or to make contributions to the convention and visitors' bureau 8551
operating within the county, or to promote, advertise, and market 8552
the region in which the county is located, all as the board may 8553
determine and make appropriations for from time to time, subject 8554
to the terms of any pledge to the payment of debt charges on 8555
outstanding general obligation securities or special obligation 8556
securities authorized under division (I) of this section. A 8557
resolution adopted under division (H) of this section shall be 8558
adopted not earlier than January 15, 2007, and not later than 8559
January 15, 2008.8560

       A resolution adopted under division (H) of this section may 8561
direct the board of elections to submit the question of enacting 8562
or increasing lodging taxes, as the case may be, to the electors 8563
of the county at a special election held on the date specified by 8564
the board in the resolution, provided that the election occurs not 8565
less than seventy-five days after a certified copy of the 8566
resolution is transmitted to the board of elections and no later 8567
than January 15, 2008. A resolution submitted to the electors 8568
under this division shall not go into effect unless it is approved 8569
by a majority of those voting upon it. A resolution adopted under 8570
division (H) of this section that is not submitted to the electors 8571
of the county for their approval or disapproval is subject to a 8572
referendum as provided in sections 305.31 to 305.41 of the Revised 8573
Code.8574

       A resolution adopted under division (H) of this section takes 8575
effect upon its adoption, unless the resolution is submitted to 8576
the electors of the county for their approval or disapproval, in 8577
which case the resolution takes effect on the date the board of 8578
county commissioners receives notification from the board of 8579
elections of the affirmative vote. Lodging taxes received after 8580
the effective date of the resolution may be used for the purposes 8581
described in division (H) of this section, except that lodging 8582
taxes that have been pledged to the payment of debt charges on any 8583
bonds or notes issued by or for the benefit of a convention and 8584
visitors' bureau under division (C) of this section shall be used 8585
exclusively for that purpose until such time as the bonds or notes 8586
are no longer outstanding under the trust agreement securing those 8587
bonds or notes.8588

       (I)(1) The board of county commissioners of an eligiblea8589
county with a population of four hundred thousand or more may 8590
issue the following securities of the county for the purpose of 8591
paying costs of the project, refunding any outstanding county 8592
securities issued for that purpose, refunding any outstanding 8593
bonds or notes issued by or for the benefit of the bureau under 8594
division (C) of this section, or for any combination of those 8595
purposes:8596

       (a) General obligation securities issued under Chapter 133. 8597
of the Revised Code. The resolution authorizing these securities 8598
may include covenants to appropriate annually from lawfully 8599
available lodging taxes, and to continue to levy and collect those 8600
lodging taxes in, amounts necessary to meet the debt charges on 8601
those securities.8602

       (b) Special obligation securities issued under Chapter 133. 8603
of the Revised Code that are secured only by lawfully available 8604
lodging taxes and any other taxes and revenues pledged to pay the 8605
debt charges on those securities, except ad valorem property 8606
taxes. The resolution authorizing those securities shall include a 8607
pledge of and covenants to appropriate annually from lawfully 8608
available lodging taxes and any other taxes and revenues pledged 8609
for such purpose, and to continue to collect any of those revenues 8610
pledged for such purpose and to levy and collect those lodging 8611
taxes and any other taxes pledged for such purpose, in amounts 8612
necessary to meet the debt charges on those securities. The pledge 8613
is valid and binding from the time the pledge is made, and the 8614
lodging taxes so pledged and thereafter received by the county are 8615
immediately subject to the lien of the pledge without any physical 8616
delivery of the lodging taxes or further act. The lien of any 8617
pledge is valid and binding as against all parties having claims 8618
of any kind in tort, contract, or otherwise against the county, 8619
regardless of whether such parties have notice of the lien. 8620
Neither the resolution nor any trust agreement by which a pledge 8621
is created or further evidenced is required to be filed or 8622
recorded except in the records of the board. The special 8623
obligation securities shall contain a statement on their face to 8624
the effect that they are not general obligation securities, and, 8625
unless paid from other sources, are payable from the pledged 8626
lodging taxes.8627

       (c) Revenue securities authorized under section 133.08 of the 8628
Revised Code and issued under Chapter 133. of the Revised Code 8629
that are secured only by lawfully available project revenues 8630
pledged to pay the debt charges on those securities.8631

       (2) The securities described in division (I)(1) of this 8632
section are subject to Chapter 133. of the Revised Code.8633

       (3) Section 133.34 of the Revised Code, except for division 8634
(A) of that section, applies to the issuance of any refunding 8635
securities authorized under this division. In lieu of division (A) 8636
of section 133.34 of the Revised Code, the board of county 8637
commissioners shall establish the maturity date or dates, the 8638
interest payable on, and other terms of refunding securities as it 8639
considers necessary or appropriate for their issuance, provided 8640
that the final maturity of refunding securities shall not exceed 8641
by more than ten years the final maturity of any bonds refunded by 8642
refunding securities.8643

       (4) The board may not repeal, rescind, or reduce all or any 8644
portion of any lodging taxes pledged to the payment of debt 8645
charges on any outstanding special obligation securities 8646
authorized under this division, and no portion of any lodging 8647
taxes that is pledged, or that the board has covenanted to levy, 8648
collect, and appropriate annually to pay debt charges on any 8649
outstanding securities authorized under this division is subject 8650
to repeal, rescission, or reduction by the electorate of the 8651
county.8652

       Sec. 307.6910. (A) As used in this section, "contracting8653
subdivision" means any political subdivision or taxing district8654
that enters into an agreement with a board of county commissioners8655
as authorized by this section.8656

       (B) A board of county commissioners may enter into an8657
agreement with the legislative authority of one or more political8658
subdivisions or taxing districts located wholly or partially8659
within the territorial boundaries of the county providing for both8660
of the following:8661

       (1) Authorization for the board of county commissioners to8662
receive funds due the political subdivision or taxing district8663
from the county treasury, other than funds raised by taxes levied8664
by the political subdivision or taxing district, including, but8665
not limited to, the political subdivision's or taxing district's8666
share of the undivided local governmentcommunities fund, provided 8667
those received funds may lawfully be applied to the purpose for 8668
which money is owed to the county;8669

       (2) The crediting of the funds so received by the county8670
against money owed to it by the political subdivision or taxing8671
district.8672

       The agreement shall be in writing and include the signature8673
of an authorized officer or representative of the county and of8674
the political subdivision or taxing district.8675

       (C) Upon entering into an agreement, the board of county8676
commissioners shall cause two copies of the agreement, certified8677
by an authorized officer or representative of the county and of8678
the contracting subdivision, to be transmitted to the county8679
auditor. The county auditor shall forward one copy of the8680
agreement to the county treasurer and shall present the other copy8681
of the agreement to the county budget commission. The county8682
budget commission shall give effect to the agreement in8683
determining or revising the amounts to be credited to the funds of8684
the county and the contracting subdivision in the official or8685
amended official certificate of estimated resources under sections8686
5705.35 and 5705.36 of the Revised Code.8687

       (D) The county auditor may rely on the certified agreement8688
entered into under division (B) of this section for the purpose of8689
making a certification under division (D) of section 5705.41 of8690
the Revised Code for a county contract or order of money incurred8691
on behalf of the contracting subdivision if the county auditor8692
finds that the amount credited to the county under division (B)(2)8693
of this section is available in the amount and at the time8694
necessary to meet the obligation.8695

       (E) The county auditor and county treasurer, in carrying out8696
their statutory duties regarding the crediting and distribution of8697
money to the funds of the parties to agreements entered into under8698
this section, shall give effect to any such agreements certified8699
to the county auditor under this section. A certified agreement8700
shall not affect the time at which moneys otherwise would be8701
available by law to the parties to the agreement.8702

       (F) The terms of an agreement entered into under this section 8703
may be enforced in the court of common pleas of the county that is 8704
a party to the agreement in an action for a writ of mandamus. For 8705
purposes of that action, it shall be deemed that the legislative 8706
authority of the contracting subdivision has a duty to allow 8707
payments to the county as specified in the agreement, that the 8708
board of county commissioners of the county has a duty to receive 8709
those payments in the manner specified in the agreement, and that 8710
those duties are specifically enjoined by law and result from an 8711
office, trust, or station.8712

       Sec. 307.98. BoardsAs used in this section, "county 8713
grantee" has the same meaning as in section 5101.21 of the Revised 8714
Code.8715

        Each board of county commissioners mayand each other county 8716
grantee of the county shall jointly enter into one or more written 8717
fiscalgrant agreements with the director of job and family 8718
services in accordance with section 5101.21 of the Revised Code. 8719
If a board enters into a fiscal agreement, theThe board of county 8720
commissioners shall enter into the agreement on behalf of the 8721
county family services agencies, other than a county family 8722
services agency that is a county signer as defined in section 8723
5101.21 of the Revised Codegrantee.8724

       Sec. 307.981.  (A)(1) As used in the Revised Code:8725

       (a) "County family services agency" means all of the8726
following:8727

       (i) A child support enforcement agency;8728

       (ii) A county department of job and family services;8729

       (iii) A public children services agency.8730

       (b) "Family services duty" means a duty state law requires or 8731
allows a county family services agency to assume, including 8732
financial and general administrative duties. "Family services 8733
duty" does not include a duty funded by the United States 8734
department of labor.8735

       (2) As used in sections 307.981 to 307.989 of the Revised 8736
Code, "private entity" means an entity other than a government 8737
entity.8738

       (B) To the extent permitted by federal law, including, when 8739
applicable, subpart F of 5 C.F.R. part 900, and subject to any 8740
limitations established by the Revised Code, including division 8741
(H) of this section, a board of county commissioners may designate 8742
any private or government entity within this state to serve as any 8743
of the following:8744

       (1) A child support enforcement agency;8745

       (2) A county department of job and family services;8746

       (3) A public children services agency;8747

       (4) A county department of job and family services and one 8748
other of those county family services agencies;8749

       (5) All three of those county family services agencies.8750

       (C) To the extent permitted by federal law, including, when 8751
applicable, subpart F of 5 C.F.R. part 900, and subject to any 8752
limitations of the Revised Code, including division (H) of this 8753
section, a board of county commissioners may change the8754
designation it makes under division (B) of this section by8755
designating another private or government entity.8756

       (D) If a designation under division (B) or (C) of this 8757
section constitutes a change from the designation in a fiscal8758
grant agreement between the director of job and family services 8759
and the board under sections 307.98 and 5101.21 of the Revised 8760
Code, the director may require that the director and board amend 8761
the fiscalgrant agreement and that the board provide the director 8762
written assurances that the newly designated private or government 8763
entity will meet or exceed all requirements of the family services 8764
duties the entity is to assume.8765

       (E) Not less than sixty days before a board of county 8766
commissioners designates an entity under division (B) or (C) of 8767
this section, the board shall notify the director of job and 8768
family services and publish notice in a newspaper of general8769
circulation in the county of the board's intention to make the8770
designation and reasons for the designation.8771

       (F) A board of county commissioners shall enter into a 8772
written contract with each entity it designates under division (B) 8773
or (C) of this section specifying the entity's responsibilities 8774
and standards the entity is required to meet.8775

       (G) This section does not require a board of county8776
commissioners to abolish the child support enforcement agency,8777
county department of job and family services, or public children 8778
services agency serving the county on October 1, 1997, and 8779
designate a different private or government entity to serve as the 8780
county's child support enforcement agency, county department of 8781
job and family services, or public children services agency.8782

       (H) If a county children services board appointed under 8783
section 5153.03 of the Revised Code serves as a public children 8784
services agency for a county, the board of county commissioners 8785
may not redesignate the public children services agency unless the 8786
board of county commissioners does all of the following:8787

       (1) Notifies the county children services board of its intent 8788
to redesignate the public children services agency. In its8789
notification, the board of county commissioners shall provide the 8790
county children services board a written explanation of the 8791
administrative, fiscal, or performance considerations causing the 8792
board of county commissioners to seek to redesignate the public 8793
children services agency.8794

       (2) Provides the county children services board an 8795
opportunity to comment on the proposed redesignation before the 8796
redesignation occurs;8797

       (3) If the county children services board, not more than8798
sixty days after receiving the notice under division (H)(1) of 8799
this section, notifies the board of county commissioners that the 8800
county children services board has voted to oppose the 8801
redesignation, votes unanimously to proceed with the 8802
redesignation.8803

       Sec. 308.04.  Within sixty days after a regional airport 8804
authority has been created under section 308.03 of the Revised 8805
Code, the board of trustees for such regional airport authority 8806
shall be appointed as provided in the resolution creating it.8807

       Each member of the board of trustees, before entering upon 8808
histhe member's official duties, shall take and subscribe to an 8809
oath or affirmation that hethe member will honestly, faithfully, 8810
and impartially perform the duties of his office, and that hethe 8811
member will not be interested directly or indirectly in any 8812
contract let by the regional airport authority. Any contract let 8813
by the regional airport authority in which a member of the board 8814
of trustees is directly or indirectly interested is void and 8815
unenforceable.8816

       After each member of the board has taken the oath as 8817
prescribed by this section the board shall meet and organize by 8818
electing one of its members as president and another as 8819
vice-president, who shall hold their respective offices until the 8820
next annual meeting of the board as provided in its bylaws. At 8821
each annual meeting thereafter the board shall elect from its 8822
membership a president and a vice-president who shall serve for a 8823
term of one year.8824

       The board shall appoint and fix the compensation of a 8825
secretary-treasurer, who shall not be a member of the board and 8826
who shall serve at the pleasure of the board.8827

       Sec. 317.08. (A) Except as provided in divisions (C) and (D) 8828
of this section, the county recorder shall keep six separate sets8829
of records as follows:8830

       (1) A record of deeds, in which shall be recorded all deeds8831
and other instruments of writing for the absolute and8832
unconditional sale or conveyance of lands, tenements, and8833
hereditaments; all notices as provided in sections 5301.47 to8834
5301.56 of the Revised Code; all judgments or decrees in actions8835
brought under section 5303.01 of the Revised Code; all8836
declarations and bylaws, and all amendments to declarations and8837
bylaws, as provided in Chapter 5311. of the Revised Code;8838
affidavits as provided in sections 5301.252 and 5301.56 of the 8839
Revised Code; all certificates as provided in section 5311.17 of 8840
the Revised Code; all articles dedicating archaeological preserves8841
accepted by the director of the Ohio historical society under8842
section 149.52 of the Revised Code; all articles dedicating nature8843
preserves accepted by the director of natural resources under8844
section 1517.05 of the Revised Code; all agreements for the8845
registration of lands as archaeological or historic landmarks8846
under section 149.51 or 149.55 of the Revised Code; all8847
conveyances of conservation easements and agricultural easements8848
under section 5301.68 of the Revised Code; all instruments8849
extinguishing agricultural easements under section 901.21 or8850
5301.691 of the Revised Code or pursuant to terms of such an8851
easement granted to a charitable organization under section8852
5301.68 of the Revised Code; all instruments or orders described8853
in division (B)(2)(b) of section 5301.56 of the Revised Code; all 8854
no further action letters issued under section 122.654 or 3746.11 8855
of the Revised Code; all covenants not to sue issued under section8856
3746.12 of the Revised Code, including all covenants not to sue 8857
issued pursuant to section 122.654 of the Revised Code; any8858
restrictions on the use of property contained in a no further8859
action letter issued under section 122.654 of the Revised Code,8860
any restrictions on the use of property identified pursuant to8861
division (C)(3)(a) of section 3746.10 of the Revised Code, and any 8862
restrictions on the use of property contained in a deed or other 8863
instrument as provided in division (E) or (F) of section 3737.882 8864
of the Revised Code; any easement executed or granted under 8865
section 3734.22, 3734.24, 3734.25, or 3734.26 of the Revised Code; 8866
any environmental covenant entered into in accordance with 8867
sections 5301.80 to 5301.92 of the Revised Code; all memoranda of 8868
trust, as described in division (A) of section 5301.255 of the 8869
Revised Code, that describe specific real property; and all 8870
agreements entered into under division (A) of section 1521.268871
1506.44 of the Revised Code;8872

       (2) A record of mortgages, in which shall be recorded all of8873
the following:8874

       (a) All mortgages, including amendments, supplements,8875
modifications, and extensions of mortgages, or other instruments8876
of writing by which lands, tenements, or hereditaments are or may8877
be mortgaged or otherwise conditionally sold, conveyed, affected,8878
or encumbered;8879

       (b) All executory installment contracts for the sale of land8880
executed after September 29, 1961, that by their terms are not8881
required to be fully performed by one or more of the parties to8882
them within one year of the date of the contracts;8883

       (c) All options to purchase real estate, including8884
supplements, modifications, and amendments of the options, but no8885
option of that nature shall be recorded if it does not state a8886
specific day and year of expiration of its validity;8887

       (d) Any tax certificate sold under section 5721.33 of the8888
Revised Code, or memorandum of it, that is presented for filing of 8889
record.8890

       (3) A record of powers of attorney, including all memoranda8891
of trust, as described in division (A) of section 5301.255 of the8892
Revised Code, that do not describe specific real property;8893

       (4) A record of plats, in which shall be recorded all plats8894
and maps of town lots, of the subdivision of town lots, and of8895
other divisions or surveys of lands, any center line survey of a8896
highway located within the county, the plat of which shall be8897
furnished by the director of transportation or county engineer,8898
and all drawings and amendments to drawings, as provided in8899
Chapter 5311. of the Revised Code;8900

       (5) A record of leases, in which shall be recorded all8901
leases, memoranda of leases, and supplements, modifications, and8902
amendments of leases and memoranda of leases;8903

       (6) A record of declarations executed pursuant to section8904
2133.02 of the Revised Code and durable powers of attorney for8905
health care executed pursuant to section 1337.12 of the Revised8906
Code.8907

       (B) All instruments or memoranda of instruments entitled to8908
record shall be recorded in the proper record in the order in8909
which they are presented for record. The recorder may index, keep, 8910
and record in one volume unemployment compensation liens, internal 8911
revenue tax liens and other liens in favor of the United States as 8912
described in division (A) of section 317.09 of the Revised Code, 8913
personal tax liens, mechanic's liens, agricultural product liens, 8914
notices of liens, certificates of satisfaction or partial release 8915
of estate tax liens, discharges of recognizances, excise and 8916
franchise tax liens on corporations, broker's liens, and liens8917
provided for in sections 1513.33, 1513.37, 3752.13, 5111.022, and8918
5311.18 of the Revised Code.8919

       The recording of an option to purchase real estate, including8920
any supplement, modification, and amendment of the option, under8921
this section shall serve as notice to any purchaser of an interest8922
in the real estate covered by the option only during the period of8923
the validity of the option as stated in the option.8924

       (C) In lieu of keeping the six separate sets of records8925
required in divisions (A)(1) to (6) of this section and the8926
records required in division (D) of this section, a county8927
recorder may record all the instruments required to be recorded by8928
this section in two separate sets of record books. One set shall8929
be called the "official records" and shall contain the instruments8930
listed in divisions (A)(1), (2), (3), (5), and (6) and (D) of this 8931
section. The second set of records shall contain the instruments 8932
listed in division (A)(4) of this section.8933

       (D) Except as provided in division (C) of this section, the8934
county recorder shall keep a separate set of records containing8935
all corrupt activity lien notices filed with the recorder pursuant8936
to section 2923.36 of the Revised Code and a separate set of8937
records containing all medicaid fraud lien notices filed with the8938
recorder pursuant to section 2933.75 of the Revised Code.8939

       Sec. 319.202.  Before the county auditor indorses any real8940
property conveyance or manufactured or mobile home conveyance 8941
presented to the auditor pursuant to section 319.20 of the Revised 8942
Code or registers any manufactured or mobile home conveyance8943
pursuant to section 4503.061 of the Revised Code, the grantee or 8944
the grantee's representative shall submit in triplicate a 8945
statement, prescribed by the tax commissioner, and other 8946
information as the county auditor may require, declaring the value 8947
of real property or manufactured or mobile home conveyed, except8948
that when the transfer is exempt under division (F)(G)(3) of 8949
section 319.54 of the Revised Code only a statement of the reason 8950
for the exemption shall be required. Each statement submitted 8951
under this section shall contain the information required under 8952
divisions (A) and (B) of this section.8953

       (A) Each statement submitted under this section shall either:8954

       (1) Contain an affirmation by the grantee that the grantor8955
has been asked by the grantee or the grantee's representative 8956
whether to the best of the grantor's knowledge either the8957
preceding or the current year's taxes on the real property or the 8958
current or following year's taxes on the manufactured or mobile 8959
home conveyed will be reduced under division (A) of section 8960
323.152 or under section 4503.065 of the Revised Code and that the 8961
grantor indicated that to the best of the grantor's knowledge the 8962
taxes will not be so reduced; or8963

       (2) Be accompanied by a sworn or affirmed instrument stating:8964

       (a) To the best of the grantor's knowledge the real property 8965
or the manufactured or mobile home that is the subject of the8966
conveyance is eligible for and will receive a reduction in taxes 8967
for or payable in the current year under division (A) of section 8968
323.152 or under section 4503.065 of the Revised Code and that the 8969
reduction or reductions will be reflected in the grantee's taxes;8970

       (b) The estimated amount of such reductions that will be8971
reflected in the grantee's taxes;8972

       (c) That the grantor and the grantee have considered and8973
accounted for the total estimated amount of such reductions to the 8974
satisfaction of both the grantee and the grantor. The auditor 8975
shall indorse the instrument, return it to the grantee or the 8976
grantee's representative, and provide a copy of the indorsed 8977
instrument to the grantor or the grantor's representative.8978

       (B) Each statement submitted under this section shall either:8979

       (1) Contain an affirmation by the grantee that the grantor8980
has been asked by the grantee or the grantee's representative 8981
whether to the best of the grantor's knowledge the real property 8982
conveyed qualified for the current agricultural use valuation 8983
under section 5713.30 of the Revised Code either for the preceding 8984
or the current year and that the grantor indicated that to the 8985
best of the grantor's knowledge the property conveyed was not so8986
qualified; or8987

       (2) Be accompanied by a sworn or affirmed instrument stating:8988

       (a) To the best of the grantor's knowledge the real property 8989
conveyed was qualified for the current agricultural use valuation 8990
under section 5713.30 of the Revised Code either for the preceding 8991
or the current year;8992

       (b) To the extent that the property will not continue to8993
qualify for the current agricultural use valuation either for the8994
current or the succeeding year, that the property will be subject8995
to a recoupment charge equal to the tax savings in accordance with 8996
section 5713.34 of the Revised Code;8997

       (c) That the grantor and the grantee have considered and8998
accounted for the total estimated amount of such recoupment, if8999
any, to the satisfaction of both the grantee and the grantor. The 9000
auditor shall indorse the instrument, forward it to the grantee or 9001
the grantee's representative, and provide a copy of the indorsed9002
instrument to the grantor or the grantor's representative.9003

       (C) The grantor shall pay the fee required by division9004
(F)(G)(3) of section 319.54 of the Revised Code; and, in the event9005
the board of county commissioners of the county has levied a real9006
property or a manufactured home transfer tax pursuant to Chapter 9007
322. of the Revised Code, the amount required by the real property 9008
or manufactured home transfer tax so levied. If the conveyance is 9009
exempt from the fee provided for in division (F)(G)(3) of section 9010
319.54 of the Revised Code and the tax, if any, levied pursuant to 9011
Chapter 322. of the Revised Code, the reason for such exemption 9012
shall be shown on the statement. "Value" means, in the case of any 9013
deed or certificate of title not a gift in whole or part, the 9014
amount of the full consideration therefor, paid or to be paid for 9015
the real estate or manufactured or mobile home described in the9016
deed or title, including the amount of any mortgage or vendor's 9017
lien thereon. If property sold under a land installment contract 9018
is conveyed by the seller under such contract to a third party and 9019
the contract has been of record at least twelve months prior to 9020
the date of conveyance, "value" means the unpaid balance owed to 9021
the seller under the contract at the time of the conveyance, but 9022
the statement shall set forth the amount paid under such contract 9023
prior to the date of conveyance. In the case of a gift in whole 9024
or part, "value" means the estimated price the real estate or 9025
manufactured or mobile home described in the deed or certificate 9026
of title would bring in the open market and under the then 9027
existing and prevailing market conditions in a sale between a 9028
willing seller and a willing buyer, both conversant with the 9029
property and with prevailing general price levels. No person shall 9030
willfully falsify the value of property conveyed.9031

       (D) The auditor shall indorse each conveyance on its face to 9032
indicate the amount of the conveyance fee and compliance with this 9033
section. The auditor shall retain the original copy of the9034
statement of value, forward to the tax commissioner one copy on9035
which shall be noted the most recent assessed value of the9036
property, and furnish one copy to the grantee or the grantee's 9037
representative.9038

       (E) In order to achieve uniform administration and collection 9039
of the transfer fee required by division (F)(G)(3) of section 9040
319.54 of the Revised Code, the tax commissioner shall adopt and 9041
promulgate rules for the administration and enforcement of the 9042
levy and collection of such fee.9043

       Sec. 319.281.  The county auditor shall place on the general9044
tax list and duplicate compiled in accordance with section 319.289045
of the Revised Code the amount certified by the health9046
commissioner of a city or general health district pursuant to9047
section 3709.091 of the Revised Code of any unpaid operation9048
permit or inspection fee for a household sewage treatmentdisposal9049
system or a small flow on-site sewage treatment system or any 9050
other unpaid fee levied under Chapter 3718. of the Revised Code9051
and any accrued late payment penalties, together with any fee 9052
charged by the county auditor for placing the amount on the 9053
general tax list and duplicate and for the expenses of its9054
collection. The amount placed on the general tax list and9055
duplicate shall be a lien on the real property on which the9056
household sewage treatmentdisposal system or small flow on-site 9057
sewage treatment system is located from the date the amount was 9058
placed on the tax list and duplicate, and shall be charged and 9059
collected in the same manner as taxes on the list.9060

       Sec. 319.54.  (A) On all moneys collected by the county9061
treasurer on any tax duplicate of the county, other than estate9062
tax duplicates, and on all moneys received as advance payments of9063
personal property and classified property taxes, the county9064
auditor, on settlement with the treasurer and tax commissioner, on 9065
or before the date prescribed by law for such settlement or any 9066
lawful extension of such date, shall be allowed as compensation 9067
for the county auditor's services the following percentages:9068

       (1) On the first one hundred thousand dollars, two and9069
one-half per cent;9070

       (2) On the next two million dollars, eight thousand three9071
hundred eighteen ten-thousandths of one per cent;9072

       (3) On the next two million dollars, six thousand six hundred 9073
fifty-five ten-thousandths of one per cent;9074

       (4) On all further sums, one thousand six hundred sixty-three 9075
ten-thousandths of one per cent.9076

       If any settlement is not made on or before the date9077
prescribed by law for such settlement or any lawful extension of9078
such date, the aggregate compensation allowed to the auditor shall 9079
be reduced one per cent for each day such settlement is delayed 9080
after the prescribed date. No penalty shall apply if the auditor 9081
and treasurer grant all requests for advances up to ninety per 9082
cent of the settlement pursuant to section 321.34 of the Revised 9083
Code. The compensation allowed in accordance with this section on 9084
settlements made before the dates prescribed by law, or the 9085
reduced compensation allowed in accordance with this section on 9086
settlements made after the date prescribed by law or any lawful 9087
extension of such date, shall be apportioned ratably by the 9088
auditor and deducted from the shares or portions of the revenue 9089
payable to the state as well as to the county, townships,9090
municipal corporations, and school districts.9091

       (B) For the purpose of compensating county auditors for the 9092
expenses associated with the increased number of applications for 9093
reductions in real property taxes under sections 323.152 and 9094
4503.065 of the Revised Code that results from the amendment of 9095
those sections by H.B. 119 of the 127th general assembly, there 9096
shall be paid from the general revenue fund to each county auditor 9097
each year an amount equal to one per cent of the total annual 9098
amount of property tax relief reimbursement paid to that county 9099
under sections 323.156 and 4503.068 of the Revised Code.9100

        (C) From all moneys collected by the county treasurer on any 9101
tax duplicate of the county, other than estate tax duplicates, and 9102
on all moneys received as advance payments of personal property 9103
and classified property taxes, there shall be paid into the county 9104
treasury to the credit of the real estate assessment fund created 9105
by section 325.31 of the Revised Code, an amount to be determined 9106
by the county auditor, which shall not exceed the following 9107
percentages:9108

       (1) On the first one hundred thousand dollars, three and9109
one-half per cent;9110

       (2) On the next three million dollars, one and three-eighths 9111
per cent;9112

       (3) On the next three million dollars, one per cent;9113

       (4) On all further sums not exceeding one hundred fifty9114
million dollars, three-quarters of one per cent;9115

       (5) On amounts exceeding one hundred fifty million dollars, 9116
six-tenths of one per cent.9117

       Such compensation shall be apportioned ratably by the auditor 9118
and deducted from the shares or portions of the revenue payable to 9119
the state as well as to the county, townships, municipal 9120
corporations, and school districts.9121

       (C)(D) Each county auditor shall receive four per cent of the9122
amount of tax collected and paid into the county treasury, on9123
property omitted and placed by the county auditor on the tax9124
duplicate.9125

       (D)(E) On all estate tax moneys collected by the county9126
treasurer, the county auditor, on settlement semiannually with the 9127
tax commissioner, shall be allowed, as compensation for the9128
auditor's services under Chapter 5731. of the Revised Code, the 9129
following percentages:9130

       (1) Four per cent on the first one hundred thousand dollars;9131

       (2) One-half of one per cent on all additional sums.9132

       Such percentages shall be computed upon the amount collected 9133
and reported at each semiannual settlement, and shall be for the 9134
use of the general fund of the county.9135

       (E)(F) On all cigarette license moneys collected by the9136
county treasurer, the county auditor, on settlement semiannually9137
with the treasurer, shall be allowed as compensation for the9138
auditor's services in the issuing of such licenses one-half of one 9139
per cent of such moneys, to be apportioned ratably and deducted 9140
from the shares of the revenue payable to the county and 9141
subdivisions, for the use of the general fund of the county.9142

       (F)(G) The county auditor shall charge and receive fees as9143
follows:9144

       (1) For deeds of land sold for taxes to be paid by the9145
purchaser, five dollars;9146

       (2) For the transfer or entry of land, lot, or part of lot, 9147
or the transfer or entry on or after January 1, 2000, of a used 9148
manufactured home or mobile home as defined in section 5739.0210 9149
of the Revised Code, fifty cents for each transfer or entry, to be 9150
paid by the person requiring it;9151

       (3) For receiving statements of value and administering9152
section 319.202 of the Revised Code, one dollar, or ten cents for 9153
each one hundred dollars or fraction of one hundred dollars, 9154
whichever is greater, of the value of the real property 9155
transferred or, for sales occurring on or after January 1, 2000, 9156
the value of the used manufactured home or used mobile home, as 9157
defined in section 5739.0210 of the Revised Code, transferred, 9158
except no fee shall be charged when the transfer is made:9159

       (a) To or from the United States, this state, or any9160
instrumentality, agency, or political subdivision of the United9161
States or this state;9162

       (b) Solely in order to provide or release security for a debt 9163
or obligation;9164

       (c) To confirm or correct a deed previously executed and9165
recorded;9166

       (d) To evidence a gift, in trust or otherwise and whether9167
revocable or irrevocable, between husband and wife, or parent and9168
child or the spouse of either;9169

       (e) On sale for delinquent taxes or assessments;9170

       (f) Pursuant to court order, to the extent that such transfer 9171
is not the result of a sale effected or completed pursuant to such 9172
order;9173

       (g) Pursuant to a reorganization of corporations or9174
unincorporated associations or pursuant to the dissolution of a9175
corporation, to the extent that the corporation conveys the9176
property to a stockholder as a distribution in kind of the9177
corporation's assets in exchange for the stockholder's shares in9178
the dissolved corporation;9179

       (h) By a subsidiary corporation to its parent corporation for 9180
no consideration, nominal consideration, or in sole consideration 9181
of the cancellation or surrender of the subsidiary's stock;9182

       (i) By lease, whether or not it extends to mineral or mineral 9183
rights, unless the lease is for a term of years renewable forever;9184

       (j) When the value of the real property or the manufactured 9185
or mobile home or the value of the interest that is conveyed does 9186
not exceed one hundred dollars;9187

       (k) Of an occupied residential property, including a 9188
manufactured or mobile home, being transferred to the builder of a 9189
new residence or to the dealer of a new manufactured or mobile 9190
home when the former residence is traded as part of the 9191
consideration for the new residence or new manufactured or mobile 9192
home;9193

       (l) To a grantee other than a dealer in real property or in 9194
manufactured or mobile homes, solely for the purpose of, and as a 9195
step in, the prompt sale of the real property or manufactured or 9196
mobile home to others;9197

       (m) To or from a person when no money or other valuable and 9198
tangible consideration readily convertible into money is paid or 9199
to be paid for the real estate or manufactured or mobile home and9200
the transaction is not a gift;9201

       (n) Pursuant to division (B) of section 317.22 of the Revised9202
Code, or section 2113.61 of the Revised Code, between spouses or 9203
to a surviving spouse pursuant to section 5302.17 of the Revised 9204
Code as it existed prior to April 4, 1985, between persons 9205
pursuant to section 5302.17 or 5302.18 of the Revised Code on or 9206
after April 4, 1985, to a person who is a surviving, survivorship 9207
tenant pursuant to section 5302.17 of the Revised Code on or after 9208
April 4, 1985, or pursuant to section 5309.45 of the Revised Code;9209

       (o) To a trustee acting on behalf of minor children of the9210
deceased;9211

       (p) Of an easement or right-of-way when the value of the9212
interest conveyed does not exceed one thousand dollars;9213

       (q) Of property sold to a surviving spouse pursuant to9214
section 2106.16 of the Revised Code;9215

       (r) To or from an organization exempt from federal income9216
taxation under section 501(c)(3) of the "Internal Revenue Code of9217
1986," 100 Stat. 2085, 26 U.S.C.A. 1, as amended, provided such9218
transfer is without consideration and is in furtherance of the9219
charitable or public purposes of such organization;9220

       (s) Among the heirs at law or devisees, including a surviving 9221
spouse, of a common decedent, when no consideration in money is 9222
paid or to be paid for the real property or manufactured or mobile9223
home;9224

       (t) To a trustee of a trust, when the grantor of the trust9225
has reserved an unlimited power to revoke the trust;9226

       (u) To the grantor of a trust by a trustee of the trust, when 9227
the transfer is made to the grantor pursuant to the exercise of 9228
the grantor's power to revoke the trust or to withdraw trust 9229
assets;9230

       (v) To the beneficiaries of a trust if the fee was paid on9231
the transfer from the grantor of the trust to the trustee or if 9232
the transfer is made pursuant to trust provisions which became 9233
irrevocable at the death of the grantor;9234

       (w) To a corporation for incorporation into a sports facility 9235
constructed pursuant to section 307.696 of the Revised Code;9236

       (x) Between persons pursuant to section 5302.18 of the 9237
Revised Code.9238

       The auditor shall compute and collect the fee. The auditor9239
shall maintain a numbered receipt system, as prescribed by the tax 9240
commissioner, and use such receipt system to provide a receipt to 9241
each person paying a fee. The auditor shall deposit the receipts 9242
of the fees on conveyances in the county treasury daily to the 9243
credit of the general fund of the county.9244

       The real property transfer fee provided for in division 9245
(F)(G)(3) of this section shall be applicable to any conveyance of 9246
real property presented to the auditor on or after January 1, 9247
1968, regardless of its time of execution or delivery.9248

       The transfer fee for a used manufactured home or used mobile 9249
home shall be computed by and paid to the county auditor of the 9250
county in which the home is located immediately prior to the 9251
transfer.9252

       Sec. 321.08.  The county treasurer shall enter on histhe9253
treasurer's account each day the money received for advance 9254
payments of taxes and taxes charged on the general and special 9255
duplicates of the current year in the following manner:9256

       (A) Collections of estate tax to be credited to the 9257
"undivided estate tax fund;"9258

       (B) Collections of classified property taxes, including 9259
interest and penalties thereon, shall be credited to the county 9260
library and local government supportlibraries fund and 9261
distributed in accordance with section 5747.48 of the Revised 9262
Code;9263

       (C) Collections of other taxes and assessments of whatever 9264
kind to be credited to the undivided general tax fund.9265

       Sec. 322.01.  As used in sections 322.01 to 322.07 of the 9266
Revised Code:9267

       (A) "Value" means, in the case of any deed not a gift in9268
whole or part, the amount of the full consideration therefor, paid 9269
or to be paid for the real estate described in the deed, including 9270
the amount of any liens thereon, with the following exceptions:9271

       (1) The amount owed on a debt secured by a mortgage which has 9272
been of record at least twelve months prior to the date of the 9273
conveyance and which is assumed by the purchaser;9274

       (2) The difference between the full amount of consideration 9275
and the unpaid balance owed to the seller at the time of the 9276
conveyance of property to a third party under a land installment 9277
contract that has been of record at least twelve months prior to 9278
the date of conveyance.9279

       (B) "Value" means, in the case of a manufactured or mobile 9280
home that is not a gift in whole or in part, the amount of the 9281
full consideration paid or to be paid for the home, including the 9282
amounts of any liens thereon.9283

       (C) "Value" means, in the case of a gift in whole or part,9284
the estimated price the real estate described in the deed, or the 9285
manufactured or mobile home, would bring in the open market and 9286
under the then existing and prevailing market conditions in a sale 9287
between a willing seller and a willing buyer, both conversant with 9288
the property and with prevailing general price levels.9289

       (D) "Deed" means any deed, instrument, or writing by which9290
any real property or any interest in real property is granted,9291
assigned, transferred, or otherwise conveyed except that it does9292
not include any deed, instrument, or writing which grants,9293
assigns, transfers, or otherwise conveys any real property or9294
interests in real property exempted from the fee required by9295
division (F)(G)(3) of section 319.54 of the Revised Code.9296

       (E) "Manufactured home" has the same meaning as in division 9297
(C)(4) of section 3781.06 of the Revised Code.9298

       (F) "Mobile home" has the same meaning as in division (O) of 9299
section 4501.01 of the Revised Code.9300

       Sec. 323.151.  As used in sections 323.151 to 323.159 of the9301
Revised Code:9302

       (A) "Homestead" means either of the following:9303

       (1) A dwelling, including a unit in a multiple-unit dwelling9304
and a manufactured home or mobile home taxed as real property9305
pursuant to division (B) of section 4503.06 of the Revised Code,9306
owned and occupied as a home by an individual whose domicile is in9307
this state and who has not acquired ownership from a person, other9308
than the individual's spouse, related by consanguinity or affinity9309
for the purpose of qualifying for the real property tax reduction9310
provided in section 323.152 of the Revised Code.9311

       (2) A unit in a housing cooperative that is occupied as a9312
home, but not owned, by an individual whose domicile is in this9313
state.9314

       The homestead shall include so much of the land surrounding9315
it, not exceeding one acre, as is reasonably necessary for the use9316
of the dwelling or unit as a home. An owner includes a holder of9317
one of the several estates in fee, a vendee in possession under a9318
purchase agreement or a land contract, a mortgagor, a life tenant,9319
one or more tenants with a right of survivorship, tenants in9320
common, and a settlor of a revocable inter vivos trust holding the9321
title to a homestead occupied by the settlor as of right under the9322
trust. The tax commissioner shall adopt rules for the uniform9323
classification and valuation of real property or portions of real9324
property as homesteads.9325

       (B) "Sixty-five years of age or older" means a person who has 9326
attained age sixty-four prior to the first day of January of the 9327
year of application for reduction in real estate taxes.9328

       (C) "Total income" means the adjusted gross income of the9329
owner and the owner's spouse for the year preceding the year in9330
which application for a reduction in taxes is made, as determined9331
under the "Internal Revenue Code of 1986," 100 Stat. 2085, 269332
U.S.C.A. 1, as amended, adjusted as follows:9333

       (1) Subtract the amount of disability benefits included in9334
adjusted gross income, but not to exceed fifty-two hundred9335
dollars;9336

       (2) Add old age and survivors benefits received pursuant to9337
the "Social Security Act" that are not included in adjusted gross9338
income;9339

       (3) Add retirement, pension, annuity, or other retirement9340
payments or benefits not included in adjusted gross income;9341

       (4) Add tier I and tier II railroad retirement benefits9342
received pursuant to the "Railroad Retirement Act," 50 Stat. 307,9343
45 U.S.C.A. 228;9344

       (5) Add interest on federal, state, and local government9345
obligations;9346

       (6) For a person who received the homestead exemption for a9347
prior year on the basis of being permanently and totally disabled9348
and whose current application for the exemption is made on the9349
basis of age, subtract the following amount:9350

       (a) If the person received disability benefits that were not9351
included in adjusted gross income in the year preceding the first9352
year in which the person applied for the exemption on the basis of9353
age, subtract an amount equal to the disability benefits the9354
person received in that preceding year, to the extent included in9355
total income in the current year and not subtracted under division9356
(C)(1) of this section in the current year;9357

       (b) If the person received disability benefits that were9358
included in adjusted gross income in the year preceding the first9359
year in which the person applied for the exemption on the basis of9360
age, subtract an amount equal to the amount of disability benefits9361
that were subtracted pursuant to division (C)(1) of this section9362
in that preceding year, to the extent included in total income in9363
the current year and not subtracted under division (C)(1) of this9364
section in the current year.9365

       Disability benefits that are paid by the department of9366
veterans affairs or a branch of the armed forces of the United9367
States on account of an injury or disability shall not be included9368
in total income.9369

       (D) "Old age and survivors benefits received pursuant to the9370
'Social Security Act'" or "tier I railroad retirement benefits9371
received pursuant to the 'Railroad Retirement Act'" means:9372

       (1) For those persons receiving the homestead exemption for9373
the first time for tax years 1976 and earlier, old age benefits9374
payable under the social security or railroad retirement laws in9375
effect on December 31, 1975, except in those cases where a change9376
in social security or railroad retirement benefits would result in9377
a reduction in income.9378

       (2) For those persons receiving the homestead exemption for9379
the first time for tax years 1977 and thereafter, old age benefits9380
payable under the social security or railroad retirement laws in9381
effect on the last day of the calendar year prior to the year for9382
which the homestead exemption is first received, or, if no such9383
benefits are payable that year, old age benefits payable the first9384
succeeding year in which old age benefits under the social9385
security or railroad retirement laws are payable, except in those9386
cases where a change in social security or railroad retirement9387
benefits results in a reduction in income.9388

       (3) The lesser of:9389

       (a) Survivors benefits payable under the social security or9390
railroad retirement laws in effect on the last day of the calendar9391
year prior to the year for which the homestead exemption is first9392
received, or, if no such benefits are payable that year, survivors9393
benefits payable the first succeeding year in which survivors9394
benefits are payable; or9395

       (b) Old age benefits of the deceased spouse, as determined9396
under division (D)(1) or (2) of this section, upon which the9397
surviving spouse's survivors benefits are based under the social9398
security or railroad retirement laws, except in those cases where9399
a change in benefits would cause a reduction in income.9400

       Survivors benefits are those described in division (D)(3)(b)9401
of this section only if the deceased spouse received old age9402
benefits in the year in which the deceased spouse died. If the9403
deceased spouse did not receive old age benefits in the year in9404
which the deceased spouse died, then survivors benefits are those9405
described in division (D)(3)(a) of this section.9406

       (E) "Permanently and totally disabled" means a person who9407
has, on the first day of January of the year of application for9408
reduction in real estate taxes, some impairment in body or mind9409
that makes the person unable to work at any substantially9410
remunerative employment that the person is reasonably able to9411
perform and that will, with reasonable probability, continue for9412
an indefinite period of at least twelve months without any present9413
indication of recovery therefrom or has been certified as9414
permanently and totally disabled by a state or federal agency9415
having the function of so classifying persons.9416

       (F)(D) "Housing cooperative" means a housing complex of at9417
least two hundred fifty units that is owned and operated by a9418
nonprofit corporation that issues a share of the corporation's9419
stock to an individual, entitling the individual to live in a unit9420
of the complex, and collects a monthly maintenance fee from the9421
individual to maintain, operate, and pay the taxes of the complex.9422

       Sec. 323.152.  In addition to the reduction in taxes required9423
under section 319.302 of the Revised Code, taxes shall be reduced9424
as provided in divisions (A) and (B) of this section.9425

       (A)(1) Division (A) of this section applies to any of the9426
following:9427

       (a) A person who is permanently and totally disabled;9428

       (b) A person who is sixty-five years of age or older;9429

       (c) A person who is the surviving spouse of a deceased person 9430
who was permanently and totally disabled or sixty-five years of 9431
age or older and who applied and qualified for a reduction in 9432
taxes under this division in the year of death, provided the9433
surviving spouse is at least fifty-nine but not sixty-five or more 9434
years of age on the date the deceased spouse dies.9435

       (2) Real property taxes on a homestead owned and occupied, or 9436
a homestead in a housing cooperative occupied, by a person to whom 9437
division (A) of this section applies shall be reduced for each 9438
year for which the owner obtains a certificate of reduction from 9439
the county auditor under section 323.154 of the Revised Code or 9440
for which the occupant obtains a certificate of reduction in9441
accordance with section 323.159 of the Revised Code. The reduction9442
shall equal the amount obtained by multiplying the tax rate for 9443
the tax year for which the certificate is issued by the reduction 9444
in taxable value shown in the following schedule:9445

Reduce Taxable Value 9446
Total Income by the Lesser of: 9447

$11,900 or less $5,000 or seventy-five per cent 9448
More than $11,900 but not more than $17,500 $3,000 or sixty per cent 9449
More than $17,500 but not more than $23,000 $1,000 or twenty-five per cent 9450
More than $23,000 -0- 9451

       (3) Each calendar year, the tax commissioner shall adjust the 9452
foregoing schedule by completing the following calculations in 9453
September of each year:9454

       (a) Determine the percentage increase in the gross domestic9455
product deflator determined by the bureau of economic analysis of9456
the United States department of commerce from the first day of 9457
January of the preceding calendar year to the last day of December 9458
of the preceding calendar year;9459

       (b) Multiply that percentage increase by each of the total9460
income amounts, and by each dollar amount by which taxable value9461
is reduced, for the current tax year;9462

       (c) Add the resulting product to each of the total income9463
amounts, and to each of the dollar amounts by which taxable value9464
is reduced, for the current tax year;9465

       (d)(i) Except as provided in division (A)(3)(d)(ii) of this 9466
section, round the resulting sum to the nearest multiple of one9467
hundred dollars;9468

       (ii) If rounding the resulting sum to the nearest multiple of 9469
one hundred dollars under division (A)(3)(d)(i) of this section 9470
does not increase the dollar amounts by which taxable value is 9471
reduced, the resulting sum instead shall be rounded to the nearest 9472
multiple of ten dollars.9473

       The commissioner shall certify the amounts resulting from the9474
adjustment to each county auditor not later than the first day of9475
December each year. The certified amounts apply to the following9476
tax year. The commissioner shall not make the adjustment in any9477
calendar year in which the amounts resulting from the adjustment9478
would be less than the total income amounts, or less than the9479
dollar amounts by which taxable value is reduced, for the current9480
tax yeargreater of the reduction granted for tax year 2006, if 9481
the taxpayer received a reduction for tax year 2006, or the 9482
product of the following:9483

       (a) Twenty-five thousand dollars of the true value of the 9484
property in money;9485

       (b) The assessment percentage established by the tax 9486
commissioner under division (B) of section 5715.01 of the Revised 9487
Code, not to exceed thirty-five per cent;9488

       (c) The effective tax rate on residential/agricultural real 9489
property, where "effective tax rate" is defined as in section 9490
323.08 of the Revised Code, and where "residential/agricultural 9491
real property" is defined as in section 5713.041 of the Revised 9492
Code;9493

        (d) The quantity equal to one minus the sum of the percentage 9494
reductions in taxes allowed by section 319.302 of the Revised Code 9495
and division (B) of section 323.152 of the Revised Code.9496

       (B) To provide a partial exemption, real property taxes on 9497
any homestead, and manufactured home taxes on any manufactured or 9498
mobile home on which a manufactured home tax is assessed pursuant 9499
to division (D)(2) of section 4503.06 of the Revised Code, shall 9500
be reduced for each year for which the owner obtains a certificate 9501
of reduction from the county auditor under section 323.154 of the9502
Revised Code. The amount of the reduction shall equal two and 9503
one-half per cent of the amount of taxes to be levied on the9504
homestead or the manufactured or mobile home after applying9505
section 319.301 of the Revised Code.9506

       (C) The reductions granted by this section do not apply to9507
special assessments or respread of assessments levied against the9508
homestead, and if there is a transfer of ownership subsequent to9509
the filing of an application for a reduction in taxes, such9510
reductions are not forfeited for such year by virtue of such9511
transfer.9512

       (D) The reductions in taxable value referred to in this9513
section shall be applied solely as a factor for the purpose of9514
computing the reduction of taxes under this section and shall not9515
affect the total value of property in any subdivision or taxing9516
district as listed and assessed for taxation on the tax lists and9517
duplicates, or any direct or indirect limitations on indebtedness9518
of a subdivision or taxing district. If after application of9519
sections 5705.31 and 5705.32 of the Revised Code, including the9520
allocation of all levies within the ten-mill limitation to debt9521
charges to the extent therein provided, there would be9522
insufficient funds for payment of debt charges not provided for by9523
levies in excess of the ten-mill limitation, the reduction of9524
taxes provided for in sections 323.151 to 323.159 of the Revised9525
Code shall be proportionately adjusted to the extent necessary to9526
provide such funds from levies within the ten-mill limitation.9527

       (E) No reduction shall be made on the taxes due on the9528
homestead of any person convicted of violating division (C) or (D)9529
of section 323.153 of the Revised Code for a period of three years9530
following the conviction.9531

       Sec. 323.153.  (A) To obtain a reduction in real property9532
taxes under division (A) or (B) of section 323.152 of the Revised9533
Code or in manufactured home taxes under division (B) of section9534
323.152 of the Revised Code, the owner shall file an application9535
with the county auditor of the county in which the owner's9536
homestead is located.9537

       To obtain a reduction in real property taxes under division9538
(A) of section 323.152 of the Revised Code, the occupant of a9539
homestead in a housing cooperative shall file an application with9540
the nonprofit corporation that owns and operates the housing9541
cooperative, in accordance with this paragraph. Not later than the 9542
first day of March each year, the corporation shall obtain9543
applications from the county auditor's office and provide one to9544
each new occupant. Not later than the first day of May, any9545
occupant who may be eligible for a reduction in taxes under9546
division (A) of section 323.152 of the Revised Code shall submit9547
the completed application to the corporation. Not later than the9548
fifteenth day of May, the corporation shall file all completed9549
applications, and the information required by division (B) of9550
section 323.159 of the Revised Code, with the county auditor of9551
the county in which the occupants' homesteads are located. 9552
Continuing applications shall be furnished to an occupant in the9553
manner provided in division (C)(4) of this section.9554

       (1) An application for reduction based upon a physical9555
disability shall be accompanied by a certificate signed by a9556
physician, and an application for reduction based upon a mental9557
disability shall be accompanied by a certificate signed by a9558
physician or psychologist licensed to practice in this state,9559
attesting to the fact that the applicant is permanently and9560
totally disabled. The certificate shall be in a form that the tax9561
commissioner requires and shall include the definition of9562
permanently and totally disabled as set forth in section 323.1519563
of the Revised Code. An application for reduction based upon a9564
disability certified as permanent and total by a state or federal9565
agency having the function of so classifying persons shall be9566
accompanied by a certificate from that agency. Such an9567

       An application for a reduction under division (A) of section 9568
323.152 of the Revised Code constitutes a continuing application 9569
for a reduction in taxes for each year in which the dwelling is 9570
the applicant's homestead and the amount of the reduction in 9571
taxable value to which the applicant is entitled does not exceed 9572
either the amount or percentage of the reduction to which the 9573
applicant was entitled for the year in which the application was 9574
first filed.9575

       (2) An application for a reduction in taxes under division9576
(B) of section 323.152 of the Revised Code shall be filed only if9577
the homestead or manufactured or mobile home was transferred in9578
the preceding year or did not qualify for and receive the9579
reduction in taxes under that division for the preceding tax year. 9580
The application for homesteads transferred in the preceding year9581
shall be incorporated into any form used by the county auditor to9582
administer the tax law in respect to the conveyance of real9583
property pursuant to section 319.20 of the Revised Code or of used9584
manufactured homes or used mobile homes as defined in section9585
5739.0210 of the Revised Code. The owner of a manufactured or9586
mobile home who has elected under division (D)(4) of section9587
4503.06 of the Revised Code to be taxed under division (D)(2) of9588
that section for the ensuing year may file the application at the9589
time of making that election. The application shall contain a9590
statement that failure by the applicant to affirm on the9591
application that the dwelling on the property conveyed is the9592
applicant's homestead prohibits the owner from receiving the9593
reduction in taxes until a proper application is filed within the9594
period prescribed by division (A)(3) of this section. Such an9595
application constitutes a continuing application for a reduction9596
in taxes for each year in which the dwelling is the applicant's9597
homestead.9598

       (3) Failure to receive a new application filed under division 9599
(A)(1) or (2) or notification under division (C) of this section 9600
after a certificate of reduction has been issued under section 9601
323.154 of the Revised Code, or failure to receive a new9602
application filed under division (A)(1) or notification under9603
division (C) of this section after a certificate of reduction has9604
been issued under section 323.159 of the Revised Code, is9605
prima-facie evidence that the original applicant is entitled to9606
the reduction in taxes calculated on the basis of the information9607
contained in the original application. The original application9608
and any subsequent application, including any late application,9609
shall be in the form of a signed statement and shall be filed9610
after the first Monday in January and not later than the first9611
Monday in June. The original application and any subsequent9612
application for a reduction in real property taxes shall be filed9613
in the year for which the reduction is sought. The original9614
application and any subsequent application for a reduction in9615
manufactured home taxes shall be filed in the year preceding the9616
year for which the reduction is sought. The statement shall be on9617
a form, devised and supplied by the tax commissioner, which shall9618
require no more information than is necessary to establish the9619
applicant's eligibility for the reduction in taxes and the amount9620
of the reduction, and, for a certificate of reduction issued under9621
section 323.154 of the Revised Code, shall include an affirmation9622
by the applicant that ownership of the homestead was not acquired9623
from a person, other than the applicant's spouse, related to the9624
owner by consanguinity or affinity for the purpose of qualifying9625
for the real property or manufactured home tax reduction provided9626
for in division (A) or (B) of section 323.152 of the Revised Code. 9627
The form shall contain a statement that conviction of willfully9628
falsifying information to obtain a reduction in taxes or failing9629
to comply with division (C) of this section results in the9630
revocation of the right to the reduction for a period of three9631
years. In the case of an application for a reduction in taxes9632
under division (A) of section 323.152 of the Revised Code, the9633
form shall contain a statement that signing the application9634
constitutes a delegation of authority by the applicant to the9635
county auditor to examine any financial records relating to income9636
earned by the applicant as stated on the application for the9637
purpose of determining a possible violation of division (D) or (E)9638
of this section.9639

       (B) A late application for a tax reduction for the year9640
preceding the year in which an original application is filed, or9641
for a reduction in manufactured home taxes for the year in which9642
an original application is filed, may be filed with the original9643
application. If the county auditor determines the information9644
contained in the late application is correct, the auditor shall9645
determine the amount of the reduction in taxes to which the9646
applicant would have been entitled for the preceding tax year had9647
the applicant's application been timely filed and approved in that9648
year.9649

       The amount of such reduction shall be treated by the auditor9650
as an overpayment of taxes by the applicant and shall be refunded9651
in the manner prescribed in section 5715.22 of the Revised Code9652
for making refunds of overpayments. On the first day of July of9653
each year, the county auditor shall certify the total amount of9654
the reductions in taxes made in the current year under this9655
division to the tax commissioner, who shall treat the full amount9656
thereof as a reduction in taxes for the preceding tax year and9657
shall make reimbursement to the county therefor in the manner9658
prescribed by section 323.156 of the Revised Code, from money9659
appropriated for that purpose.9660

       (C)(1) If, in any year after an application has been filed9661
under division (A)(1) or (2) of this section, the owner does not9662
qualify for a reduction in taxes on the homestead or on the9663
manufactured or mobile home set forth on such application, or9664
qualifies for a reduction in taxes that is to be based upon a9665
reduction in taxable value less than either the percentage or9666
amount of the reduction in taxable value to which the owner was9667
entitled in the year the application was filed, the owner shall9668
notify the county auditor that the owner is not qualified for a9669
reduction in taxes or file a new application under division (A)(1)9670
or (2) of this section.9671

       (2) If, in any year after an application has been filed under9672
division (A)(1) of this section, the occupant of a homestead in a9673
housing cooperative does not qualify for a reduction in taxes on 9674
the homestead, the occupant shall notify the county auditor that 9675
the occupant is not qualified for a reduction in taxes or file a 9676
new application under division (A)(1) of this section.9677

       (3) If the county auditor or county treasurer discovers that9678
the owner of property not entitled to the reduction in taxes under9679
division (B) of section 323.152 of the Revised Code failed to9680
notify the county auditor as required by division (C)(1) of this9681
section, a charge shall be imposed against the property in the9682
amount by which taxes were reduced under that division for each9683
tax year the county auditor ascertains that the property was not9684
entitled to the reduction and was owned by the current owner.9685
Interest shall accrue in the manner prescribed by division (B) of9686
section 323.121 or division (G)(2) of section 4503.06 of the9687
Revised Code on the amount by which taxes were reduced for each9688
such tax year as if the reduction became delinquent taxes at the9689
close of the last day the second installment of taxes for that tax9690
year could be paid without penalty. The county auditor shall9691
notify the owner, by ordinary mail, of the charge, of the owner's9692
right to appeal the charge, and of the manner in which the owner9693
may appeal. The owner may appeal the imposition of the charge and9694
interest by filing an appeal with the county board of revision not9695
later than the last day prescribed for payment of real and public9696
utility property taxes under section 323.12 of the Revised Code9697
following receipt of the notice and occurring at least ninety days9698
after receipt of the notice. The appeal shall be treated in the9699
same manner as a complaint relating to the valuation or assessment9700
of real property under Chapter 5715. of the Revised Code. The9701
charge and any interest shall be collected as other delinquent9702
taxes.9703

       (4) Each year during January, the county auditor shall9704
furnish by ordinary mail a continuing application to each person9705
issued a certificate of reduction under section 323.154 or 323.1599706
of the Revised Code with respect to a reduction in taxes under9707
division (A) of section 323.152 of the Revised Code. The9708
continuing application shall be used to report changes in total9709
income that would have the effect of increasing or decreasing the9710
reduction in taxable value to which the person is entitled,9711
changes in ownership or occupancy of the homestead, including9712
changes in or revocation of a revocable inter vivos trust, changes9713
in disability, and other changes in the information earlier9714
furnished the auditor relative to the reduction in taxes on the9715
property. The continuing application shall be returned to the9716
auditor not later than the first Monday in June; provided, that if9717
such changes do not affect the status of the homestead exemption9718
or the amount of the reduction to which the owner is entitled9719
under division (A) of section 323.152 of the Revised Code or to9720
which the occupant is entitled under section 323.159 of the9721
Revised Code, the application does not need to be returned.9722

       (5) Each year during February, the county auditor, except as9723
otherwise provided in this paragraph, shall furnish by ordinary9724
mail an original application to the owner, as of the first day of9725
January of that year, of a homestead or a manufactured or mobile9726
home that transferred during the preceding calendar year and that9727
qualified for and received a reduction in taxes under division (B)9728
of section 323.152 of the Revised Code for the preceding tax year. 9729
In order to receive the reduction under that division, the owner9730
shall file the application with the county auditor not later than9731
the first Monday in June. If the application is not timely filed,9732
the auditor shall not grant a reduction in taxes for the homestead9733
for the current year, and shall notify the owner that the9734
reduction in taxes has not been granted, in the same manner9735
prescribed under section 323.154 of the Revised Code for9736
notification of denial of an application. Failure of an owner to9737
receive an application does not excuse the failure of the owner to9738
file an original application. The county auditor is not required9739
to furnish an application under this paragraph for any homestead9740
for which application has previously been made on a form9741
incorporated into any form used by the county auditor to9742
administer the tax law in respect to the conveyance of real9743
property or of used manufactured homes or used mobile homes, and9744
an owner who previously has applied on such a form is not required9745
to return an application furnished under this paragraph.9746

       (D) No person shall knowingly make a false statement for the9747
purpose of obtaining a reduction in the person's real property or9748
manufactured home taxes under section 323.152 of the Revised Code.9749

       (E) No person shall knowingly fail to notify the county9750
auditor of changes required by division (C) of this section that9751
have the effect of maintaining or securing a reduction in taxable9752
value of homestead property or a reduction in taxes in excess of9753
the reduction allowed under section 323.152 of the Revised Code.9754

       (F) No person shall knowingly make a false statement or9755
certification attesting to any person's physical or mental9756
condition for purposes of qualifying such person for tax relief9757
pursuant to sections 323.151 to 323.159 of the Revised Code.9758

       Sec. 323.154.  On or before the day the county auditor has9759
completed the duties imposed by sections 319.30 to 319.302 of the9760
Revised Code, the auditor shall issue a certificate of reduction 9761
in taxes in triplicate for each person who has complied with 9762
section 323.153 of the Revised Code and whose homestead, as9763
defined in division (A)(1) of section 323.151 of the Revised Code, 9764
or manufactured or mobile home the auditor finds is entitled to a 9765
reduction in real property or manufactured home taxes for that 9766
year under section 323.152 of the Revised Code. Except as provided 9767
in section 323.159 of the Revised Code, in the case of a homestead 9768
entitled to a reduction under division (A) of that section, the 9769
certificate shall state the taxable value of the homestead on the 9770
first day of January of that year, the amount of the reduction in 9771
taxable value and the total reduction in taxes for that year under 9772
that section, the tax rate that is applicable against such 9773
homestead for that year, and any other information the tax 9774
commissioner requires. In the case of a homestead or a9775
manufactured or mobile home entitled to a reduction under division 9776
(B) of that section, the certificate shall state the total amount 9777
of the reduction in taxes for that year under that section and any 9778
other information the tax commissioner requires. The certificate 9779
for reduction in taxes shall be on a form approved by the 9780
commissioner. Upon issuance of such a certificate, the county 9781
auditor shall forward one copy and the original to the county 9782
treasurer and retain one copy. The county auditor also shall 9783
record the amount of reduction in taxes in the appropriate column 9784
on the general tax list and duplicate of real and public utility 9785
property and on the manufactured home tax list.9786

       If an application, late application, or continuing9787
application is not approved, or if the county auditor otherwise9788
determines that a homestead or a manufactured or mobile home does 9789
not qualify for a reduction in taxes under division (A) or (B) of 9790
section 323.152 of the Revised Code, the auditor shall notify the 9791
applicant of the reasons for denial not later than the first 9792
Monday in October. If an applicant believes that the application 9793
for reduction has been improperly denied or that the reduction is 9794
for less than that to which the applicant is entitled, the 9795
applicant may file an appeal with the county board of revision not 9796
later than the date of closing of the collection for the first 9797
half of real and public utility property taxes or manufactured 9798
home taxes. The appeal shall be treated in the same manner as a 9799
complaint relating to the valuation or assessment of real property 9800
under Chapter 5715. of the Revised Code.9801

       Sec. 325.31.  (A) On the first business day of each month,9802
and at the end of the officer's term of office, each officer named 9803
in section 325.27 of the Revised Code shall pay into the county9804
treasury, to the credit of the general county fund, on the warrant 9805
of the county auditor, all fees, costs, penalties, percentages, 9806
allowances, and perquisites collected by the officer's office 9807
during the preceding month or part thereof for official services, 9808
except the fees allowed the county auditor by division (B)(C) of9809
section 319.54 of the Revised Code, which shall be paid into the9810
county treasury to the credit of the real estate assessment fund9811
hereby created.9812

       (B) Moneys to the credit of the real estate assessment fund 9813
may be expended, upon appropriation by the board of county9814
commissioners, for the purpose of defraying one or more of the 9815
following:9816

       (1) The cost incurred by the county auditor in assessing real 9817
estate pursuant to Chapter 5713. of the Revised Code and 9818
manufactured and mobile homes pursuant to Chapter 4503. of the 9819
Revised Code;9820

       (2) At the county auditor's discretion, costs and expenses 9821
incurred by the county auditor in preparing the list of real and 9822
public utility property, in administering laws related to the 9823
taxation of real property and the levying of special assessments 9824
on real property, including administering reductions under 9825
Chapters 319. and 323. and section 4503.065 of the Revised Code, 9826
and to support assessments of real property in any administrative 9827
or judicial proceeding;9828

        (3) At the county auditor's discretion, the expenses incurred 9829
by the county board of revision under Chapter 5715. of the Revised 9830
Code;9831

       (4) At the county auditor's discretion, the expenses incurred 9832
by the county auditor for geographic information systems, mapping 9833
programs, and technological advances in those or similar systems 9834
or programs;9835

       (5) At the county auditor's discretion, expenses incurred by 9836
the county auditor in compiling the general tax list of tangible 9837
personal property and administering tangible personal property 9838
taxes under Chapters 5711. and 5719. of the Revised Code;9839

       (6) At the county auditor's discretion, costs, expenses, and 9840
fees incurred by the county auditor in the administration of 9841
estate taxes under Chapter 5731. of the Revised Code and the 9842
amounts incurred under section 5731.41 of the Revised Code.9843

       Any expenditures made from the real estate assessment fund 9844
shall comply with rules that the tax commissioner adopts under 9845
division (O) of section 5703.05 of the Revised Code. Those rules 9846
shall include a requirement that a copy of any appraisal plans, 9847
progress of work reports, contracts, or other documents required 9848
to be filed with the tax commissioner shall be filed also with the 9849
board of county commissioners.9850

       The board of county commissioners shall not transfer moneys9851
required to be deposited in the real estate assessment fund to any 9852
other fund. Following an assessment of real property pursuant to 9853
Chapter 5713. of the Revised Code, or an assessment of a9854
manufactured or mobile home pursuant to Chapter 4503. of the 9855
Revised Code, any moneys not expended for the purpose of defraying 9856
the cost incurred in assessing real estate or manufactured or 9857
mobile homes or for the purpose of defraying the expenses 9858
described in divisions (B)(2), (3), (4), (5), and (6) of this 9859
section, and thereby remaining to the credit of the real estate 9860
assessment fund, shall be apportioned ratably and distributed to 9861
those taxing authorities that contributed to the fund. However, no 9862
such distribution shall be made if the amount of such unexpended 9863
moneys remaining to the credit of the real estate assessment fund 9864
does not exceed five thousand dollars.9865

       (C) None of the officers named in section 325.27 of the9866
Revised Code shall collect any fees from the county. Each of such 9867
officers shall, at the end of each calendar year, make and file a 9868
sworn statement with the board of county commissioners of all such 9869
fees, costs, penalties, percentages, allowances, and perquisites 9870
which have been due in the officer's office and unpaid for more 9871
than one year prior to the date such statement is required to be 9872
made.9873

       Sec. 329.04.  (A) The county department of job and family9874
services shall have, exercise, and perform the following powers9875
and duties:9876

       (1) Perform any duties assigned by the state department of9877
job and family services regarding the provision of public family9878
services, including the provision of the following services to9879
prevent or reduce economic or personal dependency and to9880
strengthen family life:9881

       (a) Services authorized by a Title IV-A program, as defined 9882
in section 5101.80 of the Revised Code;9883

       (b) Social services authorized by Title XX of the "Social9884
Security Act" and provided for by section 5101.46 or 5101.461 of 9885
the Revised Code;9886

       (c) If the county department is designated as the child9887
support enforcement agency, services authorized by Title IV-D of9888
the "Social Security Act" and provided for by Chapter 3125. of9889
the Revised Code. The county department may perform the services9890
itself or contract with other government entities, and, pursuant9891
to division (C) of section 2301.35 and section 2301.42 of the9892
Revised Code, private entities, to perform the Title IV-D9893
services.9894

       (d) Duties assigned under section 5111.98 of the Revised 9895
Code.9896

       (2) Administer disability financial assistance, as required 9897
by the state department of job and family services under section 9898
5115.03 of the Revised Code;9899

       (3) Administer disability medical assistance, as required by 9900
the state department of job and family services under section 9901
5115.13 of the Revised Code;9902

       (4) Administer burials insofar as the administration of9903
burials was, prior to September 12, 1947, imposed upon the board9904
of county commissioners and if otherwise required by state law;9905

       (5) Cooperate with state and federal authorities in any9906
matter relating to family services and to act as the agent of such9907
authorities;9908

       (6) Submit an annual account of its work and expenses to the9909
board of county commissioners and to the state department of job9910
and family services at the close of each fiscal year;9911

       (7) Exercise any powers and duties relating to family9912
services duties or workforce development activities imposed upon 9913
the county department of job and family services by law, by 9914
resolution of the board of county commissioners, or by order of 9915
the governor, when authorized by law, to meet emergencies during 9916
war or peace;9917

       (8) Determine the eligibility for medical assistance of9918
recipients of aid under Title XVI of the "Social Security Act";9919

       (9) If assigned by the state director of job and family9920
services under section 5101.515 of the Revised Code, determine9921
applicants' eligibility for health assistance under the children's9922
health insurance program part II;9923

       (10) Enter into a plan of cooperation with the board of9924
county commissioners under section 307.983, consult with the board9925
in the development of the transportation work plan developed under9926
section 307.985, establish with the board procedures under section9927
307.986 for providing services to children whose families relocate9928
frequently, and comply with the contracts the board enters into9929
under sections 307.981 and 307.982 of the Revised Code that affect9930
the county department;9931

       (11) For the purpose of complying with a fiscalgrant9932
agreement the board of county commissioners enters into under9933
sectionsections 307.98 and 5101.21 of the Revised Code, exercise 9934
the powers and perform the duties the fiscalgrant agreement 9935
assigns to the county department;9936

       (12) If the county department is designated as the workforce9937
development agency, provide the workforce development activities9938
specified in the contract required by section 330.05 of the9939
Revised Code.9940

       (B) The powers and duties of a county department of job and9941
family services are, and shall be exercised and performed, under9942
the control and direction of the board of county commissioners.9943
The board may assign to the county department any power or duty of9944
the board regarding family services duties and workforce 9945
development activities. If the new power or duty necessitates the 9946
state department of job and family services changing its federal 9947
cost allocation plan, the county department may not implement the 9948
power or duty unless the United States department of health and 9949
human services approves the changes.9950

       Sec. 329.05.  The county department of job and family9951
services may administer or assist in administering any state or9952
local family services duty in addition to those mentioned in9953
section 329.04 of the Revised Code, supported wholly or in part by9954
public funds from any source provided by agreement between the9955
board of county commissioners and the officer, department, board,9956
or agency in which the administration of such activity is vested.9957
Such officer, department, board, or agency may enter into such9958
agreement and confer upon the county department of job and family9959
services, to the extent and in particulars specified in the9960
agreement, the performance of any duties and the exercise of any9961
powers imposed upon or vested in such officer, board, department,9962
or agency, with respect to the administration of such activity.9963
Such agreement shall be in the form of a resolution of the board9964
of county commissioners, accepted in writing by the other party to9965
the agreement, and filed in the office of the county auditor, and9966
when so filed, shall have the effect of transferring the exercise9967
of the powers and duties to which the agreement relates and shall9968
exempt the other party from all further responsibility for the9969
exercise of the powers and duties so transferred, during the life9970
of the agreement.9971

       Such agreement shall be coordinated and not conflict with a 9972
fiscalgrant agreement entered into under sectionsections 307.98 9973
and 5101.21, a contract entered into under section 307.981 or 9974
307.982, a plan of cooperation entered into under section 307.983, 9975
a regional plan of cooperation entered into under section 307.984, 9976
a transportation work plan developed under section 307.985, or 9977
procedures for providing services to children whose families 9978
relocate frequently established under section 307.986 of the 9979
Revised Code. It may be revoked at the option of either party, by 9980
a resolution or order of the revoking party filed in the office of 9981
the auditor. Such revocation shall become effective at the end of 9982
the fiscal year occurring at least six months following the filing 9983
of the resolution or order. In the absence of such an express 9984
revocation so filed, the agreement shall continue indefinitely.9985

       This section does not permit a county department of job and9986
family services to manage or control hospitals, humane societies,9987
detention facilities, jails or probation departments of courts, or 9988
veterans service commissions.9989

       Sec. 329.14.  (A) An individual whose household income does 9990
not exceed onetwo hundred fifty per cent of the federal poverty 9991
line is eligible to participate in an individual development 9992
account program established by the county department of job and 9993
family services of the county in which the individual resides. An 9994
eligible individual seeking to be a participant in the program 9995
shall enter into an agreement with the fiduciary organization 9996
administering the program. The agreement shall specify the terms 9997
and conditions of uses of funds deposited, financial documentation9998
required to be maintained by the participant, expectations and9999
responsibilities of the participant, and services to be provided 10000
by the fiduciary organization.10001

       (B) A participant may deposit earned income, as defined in 26 10002
U.S.C. 911(d)(2), as amended, into the account. The fiduciary10003
organization may deposit into the account an amount not exceeding 10004
twicefour times the amount deposited by the participant except 10005
that a fiduciary organization may not, pursuant to an agreement 10006
with an employer, deposit an amount into an account held by a 10007
participant who is employed by the employer. An account may have 10008
no more than ten thousand dollars in it at any time.10009

       (C) Notwithstanding eligibility requirements established in 10010
or pursuant to Chapter 5107., 5108., or 5111. of the Revised Code, 10011
to the extent permitted by federal statutes and regulations, money 10012
in an individual development account, including interest, is 10013
exempt from consideration in determining whether the participant 10014
or a member of the participant's assistance group is eligible for10015
assistance under Chapter 5107., 5108., or 5111. of the Revised10016
Code and the amount of assistance the participant or assistance 10017
group is eligible to receive.10018

       (D)(1) Except as provided in division (D)(2) of this section, 10019
an individual development account program participant may use 10020
money in the account only for the following purposes:10021

       (a) Postsecondary educational expenses paid directly from the 10022
account to an eligible education institution or vendor;10023

       (b) Qualified acquisition expenses of a principal residence, 10024
as defined in 26 U.S.C. 1034, as amended, paid directly from the10025
account to the person or government entity to which the expenses 10026
are due;10027

       (c) Qualified business capitalization expenses made in10028
accordance with a qualified business plan that has been approved 10029
by a financial institution or by a nonprofit microenterprise 10030
program having demonstrated business expertise and paid directly10031
from the account to the person to whom the expenses are due.10032

       (2) A fiduciary organization shall permit a participant to 10033
withdraw money deposited by the participant if it is needed to 10034
deal with a personal emergency of the participant or a member of 10035
the participant's family or household. Withdrawal shall result in 10036
the loss of any matching funds in an amount equal to the amount of 10037
the withdrawal.10038

       (3) Regardless of the reason for the withdrawal, a withdrawal 10039
from an individual development account may be made only with the 10040
approval of the fiduciary organization.10041

       Sec. 340.03.  (A) Subject to rules issued by the director of10042
mental health after consultation with relevant constituencies as10043
required by division (A)(11) of section 5119.06 of the Revised10044
Code, with regard to mental health services, the board of alcohol,10045
drug addiction, and mental health services shall:10046

       (1) Serve as the community mental health planning agency for10047
the county or counties under its jurisdiction, and in so doing it10048
shall:10049

       (a) Evaluate the need for facilities and community mental10050
health services;10051

       (b) In cooperation with other local and regional planning and 10052
funding bodies and with relevant ethnic organizations, assess the 10053
community mental health needs, set priorities, and develop plans 10054
for the operation of facilities and community mental health10055
services;10056

       (c) In accordance with guidelines issued by the director of10057
mental health after consultation with board representatives,10058
develop and submit to the department of mental health, no later10059
than six months prior to the conclusion of the fiscal year in10060
which the board's current plan is scheduled to expire, a community10061
mental health plan listing community mental health needs,10062
including the needs of all residents of the district now residing10063
in state mental institutions and severely mentally disabled10064
adults, children, and adolescents; all children subject to a10065
determination made pursuant to section 121.38 of the Revised Code;10066
and all the facilities and community mental health services that10067
are or will be in operation or provided during the period for10068
which the plan will be in operation in the service district to10069
meet such needs.10070

       The plan shall include, but not be limited to, a statement of10071
which of the services listed in section 340.09 of the Revised Code10072
the board intends to make available. The board must include crisis 10073
intervention services for individuals in an emergency situation in 10074
the plan and explain how the board intends to make such services 10075
available. The plan must also include an explanation of how the 10076
board intends to make any payments that it may be required to pay 10077
under section 5119.62 of the Revised Code, a statement of the10078
inpatient and community-based services the board proposes that the10079
department operate, an assessment of the number and types of10080
residential facilities needed, such other information as the10081
department requests, and a budget for moneys the board expects to10082
receive. The board shall also submit an allocation request for10083
state and federal funds. Within sixty days after the department's10084
determination that the plan and allocation request are complete,10085
the department shall approve or disapprove the plan and request,10086
in whole or in part, according to the criteria developed pursuant10087
to section 5119.61 of the Revised Code. The department's statement 10088
of approval or disapproval shall specify the inpatient and the 10089
community-based services that the department will operate for the 10090
board. Eligibility10091

       Eligibility for state and federal funding shall be contingent 10092
upon an approved plan or relevant part of a plan. The department 10093
may provide state and federal funding for services included in a 10094
plan only if the services are for individuals whose focus of 10095
treatment or prevention is a mental disorder according to the 10096
edition of the American psychiatric association's diagnostic and 10097
statistical manual of mental disorders that is current at the time 10098
the funding is provided. This shall include such services for 10099
individuals who have a mental disorder and a co-occurring 10100
substance use disorder, substance-induced disorder, chronic 10101
dementing organic mental disorder, mental retardation, or 10102
developmental disability. The department may not provide state or 10103
federal funding under a plan for a service for individuals whose 10104
focus of treatment or prevention is solely a substance use 10105
disorder, substance-induced disorder, chronic dementing organic 10106
mental disorder, mental retardation, or developmental disability.10107

       If the director disapproves all or part of any plan, the10108
director shall inform the board of the reasons for the disapproval10109
and of the criteria that must be met before the plan may be10110
approved. The director shall provide the board an opportunity to10111
present its case on behalf of the plan. The director shall give10112
the board a reasonable time in which to meet the criteria, and10113
shall offer the board technical assistance to help it meet the10114
criteria.10115

       If the approval of a plan remains in dispute thirty days10116
prior to the conclusion of the fiscal year in which the board's10117
current plan is scheduled to expire, the board or the director may10118
request that the dispute be submitted to a mutually agreed upon10119
third-party mediator with the cost to be shared by the board and10120
the department. The mediator shall issue to the board and the10121
department recommendations for resolution of the dispute. Prior to10122
the conclusion of the fiscal year in which the current plan is10123
scheduled to expire, the director, taking into consideration the10124
recommendations of the mediator, shall make a final determination10125
and approve or disapprove the plan, in whole or in part.10126

       If a board determines that it is necessary to amend a plan or10127
an allocation request that has been approved under division10128
(A)(1)(c) of this section, the board shall submit a proposed10129
amendment to the director. The director may approve or disapprove10130
all or part of the amendment. If the director does not approve all 10131
or part of the amendment within thirty days after it is submitted, 10132
the amendment or part of it shall be considered to have been 10133
approved. The director shall inform the board of the reasons for10134
disapproval of all or part of an amendment and of the criteria10135
that must be met before the amendment may be approved. The10136
director shall provide the board an opportunity to present its10137
case on behalf of the amendment. The director shall give the board 10138
a reasonable time in which to meet the criteria, and shall offer 10139
the board technical assistance to help it meet the criteria.10140

       The board shall implement the plan approved by the10141
department.10142

       (d) Receive, compile, and transmit to the department of10143
mental health applications for state reimbursement;10144

       (e) Promote, arrange, and implement working agreements with10145
social agencies, both public and private, and with judicial10146
agencies.10147

       (2) Investigate, or request another agency to investigate,10148
any complaint alleging abuse or neglect of any person receiving10149
services from a community mental health agency as defined in10150
section 5122.01 of the Revised Code, or from a residential10151
facility licensed under section 5119.22 of the Revised Code. If10152
the investigation substantiates the charge of abuse or neglect,10153
the board shall take whatever action it determines is necessary to10154
correct the situation, including notification of the appropriate10155
authorities. Upon request, the board shall provide information10156
about such investigations to the department.10157

       (3) For the purpose of section 5119.611 of the Revised Code,10158
cooperate with the director of mental health in visiting and10159
evaluating whether the services of a community mental health10160
agency satisfy the certification standards established by rules10161
adopted under that section;10162

       (4) In accordance with criteria established under division10163
(G) of section 5119.61 of the Revised Code, review and evaluate10164
the quality, effectiveness, and efficiency of services provided10165
through its community mental health plan and submit its findings10166
and recommendations to the department of mental health;10167

       (5) In accordance with section 5119.22 of the Revised Code,10168
review applications for residential facility licenses and10169
recommend to the department of mental health approval or10170
disapproval of applications;10171

       (6) Audit, in accordance with rules adopted by the auditor of 10172
state pursuant to section 117.20 of the Revised Code, at least10173
annually all programs and services provided under contract with10174
the board. In so doing, the board may contract for or employ the10175
services of private auditors. A copy of the fiscal audit report10176
shall be provided to the director of mental health, the auditor of10177
state, and the county auditor of each county in the board's10178
district.10179

       (7) Recruit and promote local financial support for mental10180
health programs from private and public sources;10181

       (8)(a) Enter into contracts with public and private10182
facilities for the operation of facility services included in the10183
board's community mental health plan and enter into contracts with10184
public and private community mental health agencies for the10185
provision of community mental health services that are listed in 10186
section 340.09 of the Revised Code and included in the board's 10187
community mental health plan. The board may not contract with a 10188
community mental health agency to provide community mental health 10189
services included in the board's community mental health plan 10190
unless the services are certified by the director of mental health 10191
under section 5119.611 of the Revised Code. Section 307.86 of the 10192
Revised Code does not apply to contracts entered into under this 10193
division. In contracting with a community mental health agency, a 10194
board shall consider the cost effectiveness of services provided 10195
by that agency and the quality and continuity of care, and may 10196
review cost elements, including salary costs, of the services to 10197
be provided. A utilization review process shall be established as 10198
part of the contract for services entered into between a board and 10199
a community mental health agency. The board may establish this 10200
process in a way that is most effective and efficient in meeting 10201
local needs. In the case of a contract with a community mental 10202
health facility, as defined in section 5111.023 of the Revised 10203
Code, to provide services listed in division (B) of that section, 10204
the contract shall provide for the facility to be paid in 10205
accordance with the contract entered into between the departments 10206
of job and family services and mental health under section 10207
5111.91 of the Revised Code and any rules adopted under division 10208
(A) of section 5119.61 of the Revised Code.10209

       If either the board or a facility or community mental health10210
agency with which the board contracts under division (A)(8)(a) of 10211
this section proposes not to renew the contract or proposes10212
substantial changes in contract terms, the other party shall be10213
given written notice at least one hundred twenty days before the10214
expiration date of the contract. During the first sixty days of10215
this one hundred twenty-day period, both parties shall attempt to10216
resolve any dispute through good faith collaboration and10217
negotiation in order to continue to provide services to persons in10218
need. If the dispute has not been resolved sixty days before the10219
expiration date of the contract, either party may notify the10220
department of mental health of the unresolved dispute. The10221
director may require both parties to submit the dispute to a third10222
party with the cost to be shared by the board and the facility or10223
community mental health agency. The third party shall issue to the 10224
board, the facility or agency, and the department recommendations 10225
on how the dispute may be resolved twenty days prior to the 10226
expiration date of the contract, unless both parties agree to a 10227
time extension. The director shall adopt rules establishing the 10228
procedures of this dispute resolution process.10229

       (b) With the prior approval of the director of mental health, 10230
a board may operate a facility or provide a community mental 10231
health service as follows, if there is no other qualified private 10232
or public facility or community mental health agency that is10233
immediately available and willing to operate such a facility or10234
provide the service:10235

       (i) In an emergency situation, any board may operate a10236
facility or provide a community mental health service in order to10237
provide essential services for the duration of the emergency;10238

       (ii) In a service district with a population of at least one10239
hundred thousand but less than five hundred thousand, a board may10240
operate a facility or provide a community mental health service10241
for no longer than one year;10242

       (iii) In a service district with a population of less than10243
one hundred thousand, a board may operate a facility or provide a10244
community mental health service for no longer than one year,10245
except that such a board may operate a facility or provide a10246
community mental health service for more than one year with the10247
prior approval of the director and the prior approval of the board10248
of county commissioners, or of a majority of the boards of county10249
commissioners if the district is a joint-county district.10250

       The director shall not give a board approval to operate a10251
facility or provide a community mental health service under10252
division (A)(8)(b)(ii) or (iii) of this section unless the10253
director determines that it is not feasible to have the department10254
operate the facility or provide the service.10255

       The director shall not give a board approval to operate a10256
facility or provide a community mental health service under10257
division (A)(8)(b)(iii) of this section unless the director10258
determines that the board will provide greater administrative10259
efficiency and more or better services than would be available if10260
the board contracted with a private or public facility or10261
community mental health agency.10262

       The director shall not give a board approval to operate a10263
facility previously operated by a person or other government10264
entity unless the board has established to the director's10265
satisfaction that the person or other government entity cannot10266
effectively operate the facility or that the person or other10267
government entity has requested the board to take over operation10268
of the facility. The director shall not give a board approval to10269
provide a community mental health service previously provided by a10270
community mental health agency unless the board has established to10271
the director's satisfaction that the agency cannot effectively10272
provide the service or that the agency has requested the board10273
take over providing the service.10274

       The director shall review and evaluate a board's operation of 10275
a facility and provision of community mental health service under10276
division (A)(8)(b) of this section.10277

       Nothing in division (A)(8)(b) of this section authorizes a10278
board to administer or direct the daily operation of any facility10279
or community mental health agency, but a facility or agency may10280
contract with a board to receive administrative services or staff10281
direction from the board under the direction of the governing body10282
of the facility or agency.10283

       (9) Approve fee schedules and related charges or adopt a unit 10284
cost schedule or other methods of payment for contract services 10285
provided by community mental health agencies in accordance with 10286
guidelines issued by the department as necessary to comply with 10287
state and federal laws pertaining to financial assistance;10288

       (10) Submit to the director and the county commissioners of10289
the county or counties served by the board, and make available to10290
the public, an annual report of the programs under the10291
jurisdiction of the board, including a fiscal accounting;10292

       (11) Establish, to the extent resources are available, a10293
community support system, which provides for treatment, support,10294
and rehabilitation services and opportunities. The essential10295
elements of the system include, but are not limited to, the10296
following components in accordance with section 5119.06 of the10297
Revised Code:10298

       (a) To locate persons in need of mental health services to10299
inform them of available services and benefits mechanisms;10300

       (b) Assistance for clients to obtain services necessary to10301
meet basic human needs for food, clothing, shelter, medical care,10302
personal safety, and income;10303

       (c) Mental health care, including, but not limited to,10304
outpatient, partial hospitalization, and, where appropriate,10305
inpatient care;10306

       (d) Emergency services and crisis intervention;10307

       (e) Assistance for clients to obtain vocational services and10308
opportunities for jobs;10309

       (f) The provision of services designed to develop social,10310
community, and personal living skills;10311

       (g) Access to a wide range of housing and the provision of10312
residential treatment and support;10313

       (h) Support, assistance, consultation, and education for10314
families, friends, consumers of mental health services, and10315
others;10316

       (i) Recognition and encouragement of families, friends,10317
neighborhood networks, especially networks that include racial and10318
ethnic minorities, churches, community organizations, and10319
meaningful employment as natural supports for consumers of mental10320
health services;10321

       (j) Grievance procedures and protection of the rights of10322
consumers of mental health services;10323

       (k) Case management, which includes continual individualized10324
assistance and advocacy to ensure that needed services are offered10325
and procured.10326

       (12) Designate the treatment program, agency, or facility for 10327
each person involuntarily committed to the board pursuant to10328
Chapter 5122. of the Revised Code and authorize payment for such10329
treatment. The board shall provide the least restrictive and most10330
appropriate alternative that is available for any person10331
involuntarily committed to it and shall assure that the services10332
listed in section 340.09 of the Revised Code are available to10333
severely mentally disabled persons residing within its service10334
district. The board shall establish the procedure for authorizing10335
payment for services, which may include prior authorization in10336
appropriate circumstances. The board may provide for services10337
directly to a severely mentally disabled person when life or10338
safety is endangered and when no community mental health agency is10339
available to provide the service.10340

       (13) Establish a method for evaluating referrals for10341
involuntary commitment and affidavits filed pursuant to section10342
5122.11 of the Revised Code in order to assist the probate10343
division of the court of common pleas in determining whether there10344
is probable cause that a respondent is subject to involuntary10345
hospitalization and what alternative treatment is available and10346
appropriate, if any;10347

       (14) Ensure that apartments or rooms built, subsidized,10348
renovated, rented, owned, or leased by the board or a community10349
mental health agency have been approved as meeting minimum fire10350
safety standards and that persons residing in the rooms or10351
apartments are receiving appropriate and necessary services,10352
including culturally relevant services, from a community mental10353
health agency. This division does not apply to residential10354
facilities licensed pursuant to section 5119.22 of the Revised10355
Code.10356

       (15) Establish a mechanism for involvement of consumer10357
recommendation and advice on matters pertaining to mental health10358
services in the alcohol, drug addiction, and mental health service10359
district;10360

       (16) Perform the duties under section 3722.18 of the Revised10361
Code required by rules adopted under section 5119.61 of the10362
Revised Code regarding referrals by the board or mental health10363
agencies under contract with the board of individuals with mental10364
illness or severe mental disability to adult care facilities and10365
effective arrangements for ongoing mental health services for the10366
individuals. The board is accountable in the manner specified in10367
the rules for ensuring that the ongoing mental health services are10368
effectively arranged for the individuals.10369

       (B) The board shall establish such rules, operating10370
procedures, standards, and bylaws, and perform such other duties10371
as may be necessary or proper to carry out the purposes of this10372
chapter.10373

       (C) A board of alcohol, drug addiction, and mental health10374
services may receive by gift, grant, devise, or bequest any10375
moneys, lands, or property for the benefit of the purposes for10376
which the board is established, and may hold and apply it10377
according to the terms of the gift, grant, or bequest. All money10378
received, including accrued interest, by gift, grant, or bequest10379
shall be deposited in the treasury of the county, the treasurer of10380
which is custodian of the alcohol, drug addiction, and mental10381
health services funds to the credit of the board and shall be10382
available for use by the board for purposes stated by the donor or10383
grantor.10384

       (D) No board member or employee of a board of alcohol, drug10385
addiction, and mental health services shall be liable for injury10386
or damages caused by any action or inaction taken within the scope10387
of the board member's official duties or the employee's10388
employment, whether or not such action or inaction is expressly10389
authorized by this section, section 340.033, or any other section10390
of the Revised Code, unless such action or inaction constitutes10391
willful or wanton misconduct. Chapter 2744. of the Revised Code10392
applies to any action or inaction by a board member or employee of10393
a board taken within the scope of the board member's official10394
duties or employee's employment. For the purposes of this10395
division, the conduct of a board member or employee shall not be10396
considered willful or wanton misconduct if the board member or10397
employee acted in good faith and in a manner that the board member10398
or employee reasonably believed was in or was not opposed to the10399
best interests of the board and, with respect to any criminal10400
action or proceeding, had no reasonable cause to believe the10401
conduct was unlawful.10402

       (E) The meetings held by any committee established by a board 10403
of alcohol, drug addiction, and mental health services shall be 10404
considered to be meetings of a public body subject to section10405
121.22 of the Revised Code.10406

       Sec. 505.376.  When any expenditure of a fire and ambulance10407
district, other than for the compensation of district employees,10408
exceeds twenty-fivefifty thousand dollars, the contract for the 10409
expenditure shall be in writing and made with the lowest and best10410
bidder after advertising for not less than two nor more than four 10411
consecutive weeks in a newspaper of general circulation within the 10412
district. The bids shall be opened and shall be publicly read by 10413
the clerk of the district, or the clerk's designee, at the time, 10414
date, and place specified in the advertisement to bidders or the10415
specifications. The time, date, and place of bid openings may be10416
extended to a later date by the board of trustees of the district,10417
provided that written or oral notice of the change shall be given10418
to all persons who have received or requested specifications no10419
later than ninety-six hours prior to the original time and date10420
fixed for the opening.10421

       Each bid on any contract shall contain the full name of every10422
person interested in the bid. If the bid is for a contract for the 10423
construction, demolition, alteration, repair, or reconstruction of 10424
an improvement, it shall meet the requirements of section 153.54 10425
of the Revised Code. If the bid is for any other contract, it 10426
shall be accompanied by a sufficient bond or certified check, 10427
cashier's check, or money order on a solvent bank or savings and 10428
loan association that, if the bid is accepted, a contract will be10429
entered into and the performance of it will be properly secured. 10430
If the bid for work embraces both labor and material, it shall be 10431
separately stated, with the price of the labor and the material.10432
The board may reject any and all bids. The contract shall be10433
between the district and the bidder, and the district shall pay10434
the contract price in cash. When a bonus is offered for completion 10435
of a contract prior to a specified date, the board may exact a 10436
prorated penalty in like sum for each day of delay beyond the 10437
specified date. When there is reason to believe there is collusion 10438
or combination among bidders, the bids of those concerned shall 10439
be rejected.10440

       Sec. 517.08.  The proceeds arising from the sale of cemetery 10441
lots under section 517.07 of the Revised Code shall be used in 10442
maintaining, improving, beautifying, and embellishing such 10443
grounds, except that upon unanimous consent of the board of 10444
township trustees, such proceeds may be used in the purchase or 10445
appropriation of additional land for cemetery purposes in 10446
accordance with sections 517.01 and 517.13 of the Revised Code; 10447
and the board of township trustees may build and maintain proper 10448
and secure fences around all such cemeteries, to be paid for from 10449
the township funds.10450

       Sec. 521.01.  (A) As used in this chapter, "private sewage10451
collection tile" means any tile, ditch, pipe, or other improvement10452
installed by a private person to receive and convey sewage and10453
sewage effluent from at least five household sewage treatment10454
disposal systems, as those systems are defined in rules adopted by 10455
the public health council under section 3718.013701.34 of the 10456
Revised Code.10457

       (B) A board of township trustees may maintain and repair10458
private sewage collection tiles located within a township road10459
right-of-way in the township, where the expenditure from the10460
township general fund for materials to maintain and repair the10461
tiles does not exceed two hundred dollars for any one project. No10462
maintenance or repair shall be performed that is paid for from the10463
township general fund under this division until the board adopts a10464
resolution authorizing the maintenance or repair. If material10465
costs would exceed two hundred dollars, the board may proceed10466
under this chapter to maintain and repair the tiles by assessing 10467
the cost against property based on the special benefits the 10468
property receives from the project.10469

       Sec. 709.191.  In lieu of making any of the payments required 10470
by section 709.19 of the Revised Code and for any proposed 10471
annexation which does not require payments under that section, the 10472
legislative authority of a municipal corporation which proposes to 10473
annex unincorporated territory of a township may enter into an 10474
agreement with the board of township trustees of the township in 10475
which the territory to be annexed is located, whereby the 10476
municipal corporation agrees to make an annual payment to the 10477
township to compensate for lost tax revenues. The agreement shall 10478
set forth the amount of the annual payment and the number of 10479
payments to be made.10480

       If a municipal corporation fails to make an annual payment10481
pursuant to an agreement entered into under this section, the10482
board of township trustees shall notify the county budget10483
commission in writing of the amount owed by the municipal10484
corporation to the township. The county budget commission shall10485
reduce the amount apportioned to the municipal corporation from10486
the undivided local governmentcommunities fund pursuant to 10487
section 5747.51 or 5747.53 of the Revised Code by the amount of 10488
the payment due the township under the municipal-township 10489
agreement and shall increase, by an amount equal to this 10490
reduction, the amount apportioned to the township from the 10491
undivided local governmentcommunities fund.10492

       Sec. 711.05.  (A) Upon the submission of a plat for approval,10493
in accordance with section 711.041 of the Revised Code, the board10494
of county commissioners shall certify on it the date of the10495
submission. Within five days of submission of the plat, the board 10496
shall schedule a meeting to consider the plat and send a written 10497
notice by regular mail to the fiscal officer of the board of 10498
township trustees of the township in which the plat is located and 10499
the board of health of the health district in which the plat is 10500
located. The notice shall inform the trustees and the board of 10501
health of the submission of the plat and of the date, time, and 10502
location of any meeting at which the board of county commissioners 10503
will consider or act upon the proposed plat. The meeting shall 10504
take place within thirty days of submission of the plat, and no10505
meeting shall be held until at least seven days have passed from10506
the date the notice was sent by the board of county commissioners. 10507
The approval of the board required by section 711.041 of the 10508
Revised Code or the refusal to approve shall take place within 10509
thirty days from the date of submission or such further time as 10510
the applying party may agree to in writing; otherwise, the plat is 10511
deemed approved and may be recorded as if bearing such approval.10512

       (B) The board may adopt general rules governing plats and 10513
subdivisions of land falling within its jurisdiction, to secure 10514
and provide for the coordination of the streets within the 10515
subdivision with existing streets and roads or with existing 10516
county highways, for the proper amount of open spaces for traffic, 10517
circulation, and utilities, and for the avoidance of future 10518
congestion of population detrimental to the public health, safety, 10519
or welfare, but shall not impose a greater minimum lot area than 10520
forty-eight hundred square feet. Before the board may amend or10521
adopt rules, it shall notify all the townships in the county of10522
the proposed amendments or rules by regular mail at least thirty10523
days before the public meeting at which the proposed amendments or 10524
rules are to be considered.10525

       The rules may require the boardcounty department of health 10526
to review and comment on a plat before the board of county 10527
commissioners acts upon it and may also require proof of 10528
compliance with any applicable zoning resolutions, and with 10529
household sewage treatment rules adopted under section 3718.02 of 10530
the Revised Code, as a basis for approval of a plat. Where under 10531
section 711.101 of the Revised Code the board of county10532
commissioners has set up standards and specifications for the10533
construction of streets, utilities, and other improvements for10534
common use, the general rules may require the submission of10535
appropriate plans and specifications for approval. The board shall 10536
not require the person submitting the plat to alter the plat or 10537
any part of it as a condition for approval, as long as the plat is 10538
in accordance with general rules governing plats and subdivisions 10539
of land, adopted by the board as provided in this section, in 10540
effect at the time the plat was submitted and the plat is in 10541
accordance with any standards and specifications set up under 10542
section 711.101 of the Revised Code, in effect at the time the 10543
plat was submitted.10544

       (C) The ground of refusal to approve any plat, submitted in 10545
accordance with section 711.041 of the Revised Code, shall be 10546
stated upon the record of the board, and, within sixty days 10547
thereafter, the person submitting any plat that the board refuses 10548
to approve may file a petition in the court of common pleas of the 10549
county in which the land described in the plat is situated to 10550
review the action of the board. A board of township trustees is 10551
not entitled to appeal a decision of the board of county 10552
commissioners under this section.10553

       Sec. 711.10. (A) Whenever a county planning commission or a10554
regional planning commission adopts a plan for the major streets10555
or highways of the county or region, no plat of a subdivision of10556
land within the county or region, other than land within a10557
municipal corporation or land within three miles of a city or one10558
and one-half miles of a village as provided in section 711.09 of10559
the Revised Code, shall be recorded until it is approved by the10560
county or regional planning commission under division (C) of this10561
section and the approval is endorsed in writing on the plat.10562

       (B) A county or regional planning commission may require the10563
submission of a preliminary plan for each plat sought to be10564
recorded. If the commission requires this submission, it shall10565
provide for a review process for the preliminary plan. Under this10566
review process, the planning commission shall give its approval,10567
its approval with conditions, or its disapproval of each10568
preliminary plan. The commission's decision shall be in writing,10569
shall be under the signature of the secretary of the commission,10570
and shall be issued within thirty-five business days after the10571
submission of the preliminary plan to the commission. The10572
disapproval of a preliminary plan shall state the reasons for the10573
disapproval. A decision of the commission under this division is10574
preliminary to and separate from the commission's decision to10575
approve, conditionally approve, or refuse to approve a plat under10576
division (C) of this section.10577

        (C) Within five calendar days after the submission of a plat 10578
for approval under this division, the county or regional planning10579
commission shall schedule a meeting to consider the plat and send10580
a notice by regular mail or by electronic mail to the fiscal 10581
officer of the board of township trustees of the township in which 10582
the plat is located and the board of health of the health district 10583
in which the plat is located. The notice shall inform the trustees 10584
and the board of health of the submission of the plat and of the 10585
date, time, and location of any meeting at which the county or 10586
regional planning commission will consider or act upon the plat. 10587
The meeting shall take place within thirty calendar days after 10588
submission of the plat, and no meeting shall be held until at10589
least seven calendar days have passed from the date the planning 10590
commission sent the notice.10591

       The approval of the county or regional planning commission,10592
the commission's conditional approval as described in this10593
division, or the refusal of the commission to approve shall be10594
endorsed on the plat within thirty calendar days after the 10595
submission of the plat for approval under this division or within 10596
such further time as the applying party may agree to in writing; 10597
otherwise that plat is deemed approved, and the certificate of the 10598
commission as to the date of the submission of the plat for 10599
approval under this division and the failure to take action on it 10600
within that time shall be sufficient in lieu of the written 10601
endorsement or evidence of approval required by this division.10602

       A county or regional planning commission may grant 10603
conditional approval under this division to a plat by requiring a 10604
person submitting the plat to alter the plat or any part of it, 10605
within a specified period after the end of the thirty calendar 10606
days, as a condition for final approval under this division. Once 10607
all the conditions have been met within the specified period, the10608
commission shall cause its final approval under this division to 10609
be endorsed on the plat. No plat shall be recorded until it is 10610
endorsed with the commission's final or unconditional approval 10611
under this division.10612

       The ground of refusal of approval of any plat submitted under10613
this division, including citation of or reference to the rule10614
violated by the plat, shall be stated upon the record of the10615
county or regional planning commission. Within sixty calendar days10616
after the refusal under this division, the person submitting any 10617
plat that the commission refuses to approve under this division 10618
may file a petition in the court of common pleas of the proper 10619
county, and the proceedings on the petition shall be governed by10620
section 711.09 of the Revised Code as in the case of the refusal 10621
of a planning authority to approve a plat. A board of township 10622
trustees is not entitled to appeal a decision of the commission 10623
under this division.10624

       A county or regional planning commission shall adopt general10625
rules, of uniform application, governing plats and subdivisions of10626
land falling within its jurisdiction, to secure and provide for10627
the proper arrangement of streets or other highways in relation to10628
existing or planned streets or highways or to the county or10629
regional plan, for adequate and convenient open spaces for10630
traffic, utilities, access of firefighting apparatus, recreation,10631
light, and air, and for the avoidance of congestion of population.10632
The rules may provide for their modification by the commission in 10633
specific cases where unusual topographical and other exceptional 10634
conditions require the modification. The rules may require the 10635
boardcounty department of health to review and comment on a plat 10636
before the commission acts upon it and also may require proof of 10637
compliance with any applicable zoning resolutions, and with 10638
household sewage treatment rules adopted under section 3718.02 of 10639
the Revised Code, as a basis for approval of a plat.10640

       Before adoption of its rules or amendment of its rules, the10641
commission shall hold a public hearing on the adoption or 10642
amendment. Notice of the public hearing shall be sent to all 10643
townships in the county or region by regular mail or electronic10644
mail at least thirty business days before the hearing. No county 10645
or regional planning commission shall adopt any rules requiring 10646
actual construction of streets or other improvements or facilities 10647
or assurance of that construction as a condition precedent to the 10648
approval of a plat of a subdivision unless the requirements have 10649
first been adopted by the board of county commissioners after a 10650
public hearing. A copy of the rules shall be certified by the 10651
planning commission to the county recorders of the appropriate 10652
counties.10653

       After a county or regional street or highway plan has been10654
adopted as provided in this section, the approval of plats and10655
subdivisions provided for in this section shall be in lieu of any10656
approvals provided for in other sections of the Revised Code, 10657
insofar as the territory within the approving jurisdiction of the 10658
county or regional planning commission, as provided in this10659
section, is concerned. Approval of a plat shall not be an10660
acceptance by the public of the dedication of any street, highway,10661
or other way or open space shown upon the plat.10662

       No county or regional planning commission shall require a 10663
person submitting a plat to alter the plat or any part of it as 10664
long as the plat is in accordance with the general rules governing 10665
plats and subdivisions of land, adopted by the commission as 10666
provided in this section, in effect at the time the plat is 10667
submitted.10668

       A county or regional planning commission and a city or10669
village planning commission, or platting commissioner or10670
legislative authority of a village, with subdivision regulation10671
jurisdiction over unincorporated territory within the county or10672
region may cooperate and agree by written agreement that the10673
approval of a plat by the city or village planning commission, or10674
platting commissioner or legislative authority of a village, as10675
provided in section 711.09 of the Revised Code, shall be10676
conditioned upon receiving advice from or approval by the county10677
or regional planning commission.10678

       (D) As used in this section, "business day" means a day of 10679
the week excluding Saturday, Sunday, or a legal holiday as defined 10680
in section 1.14 of the Revised Code.10681

       Sec. 711.131.  (A) Notwithstanding sections 711.001 to 711.13 10682
of the Revised Code and except as provided in division (C) of this 10683
section, unless the rules adopted under section 711.05, 711.09, or 10684
711.10 of the Revised Code are amended pursuant to division (B) of 10685
this section, a proposed division of a parcel of land along an10686
existing public street, not involving the opening, widening, or10687
extension of any street or road, and involving no more than five10688
lots after the original tract has been completely subdivided, may10689
be submitted to the planning authority having approving 10690
jurisdiction of plats under section 711.05, 711.09, or 711.10 of 10691
the Revised Code for approval without plat. If the authority 10692
acting through a properly designated representative finds that a10693
proposed division is not contrary to applicable platting,10694
subdividing, zoning, health, sanitary, or access management10695
regulations,or regulations adopted under division (B)(3) of 10696
section 307.37 of the Revised Code regarding existing surface or 10697
subsurface drainage, or household sewage treatment rules adopted 10698
under section 3718.02 of the Revised Code, including, but not 10699
limited to, rules governing household sewage disposal systems, it 10700
shall approve the proposed division within seven business days 10701
after its submission and, on presentation of a conveyance of the 10702
parcel, shall stamp the conveyance "approved by (planning 10703
authority); no plat required" and have it signed by its clerk, 10704
secretary, or other official as may be designated by it. The 10705
planning authority may require the submission of a sketch and 10706
other information that is pertinent to its determination under 10707
this division.10708

       (B) For a period of up to two years after the effective date10709
of this amendmentApril 15, 2005, the rules adopted under section 10710
711.05, 711.09, or 711.10 of the Revised Code may be amended 10711
within that period to authorize the planning authority involved to 10712
approve proposed divisions of parcels of land without plat under10713
this division. If an authority so amends its rules, it may approve 10714
no more than five lots without a plat from an original tract as 10715
that original tract exists on the effective date of the amendment 10716
to the rules. The authority shall make the findings and approve a 10717
proposed division in the time and manner specified in division (A) 10718
of this section.10719

       (C) This section does not apply to parcels subject to section 10720
711.133 of the Revised Code.10721

       (D) As used in this section:10722

       (1), "Businessbusiness day" means a day of the week 10723
excluding Saturday, Sunday, or a legal holiday as defined in 10724
section 1.14 of the Revised Code.10725

       (2) "Household sewage disposal system" has the same meaning10726
as in section 3709.091 of the Revised Code.10727

       Sec. 718.13. (A) Any information gained as a result of10728
returns, investigations, hearings, or verifications required or10729
authorized by this chapter or by a charter or ordinance of a10730
municipal corporation levying an income tax pursuant to this10731
chapter is confidential, and no person shall disclose such10732
information except in accordance with a proper judicial order or10733
in connection with the performance of that person's official10734
duties or the official business of the municipal corporation as10735
authorized by this chapter or the charter or ordinance authorizing 10736
the levy. The tax administrator of the municipal corporation may 10737
furnish copies of returns filed under this chapter to the internal 10738
revenue service and to the tax commissioner.10739

       (B) This section does not prohibit the legislative authority 10740
of a municipal corporation, by ordinance or resolution, from 10741
authorizing the tax administrator to publish statistics in a form 10742
that does not disclose information with respect to particular 10743
taxpayers.10744

       Sec. 742.301.  Each employer shall promptly pay the amount10745
due on the accrued liability on the dates fixed by the board of10746
trustees of the Ohio police and fire pension fund. Upon 10747
certification by the board that payment of an employer's accrued 10748
liability has not been paid within thirty days following the date 10749
a payment is due, a penalty of five per cent of the amount due 10750
shall be assessed against such employer. If the payment and 10751
penalty have not been paid within ninety days following the date a 10752
payment is due, annual interest at six per cent shall be assessed 10753
against the payment and penalty from the date that the payment is 10754
due.10755

       Upon certification by the board to the superintendent of 10756
liquor control or the county auditor of an amount due from any 10757
employer who is subject to this chapter by reason of such 10758
employer's delinquency in making payments on the accrued 10759
liability, the amount due shall be withheld from the employer from 10760
liquor control permit fees to be distributed to that employer 10761
according to Chapter 4301. of the Revised Code or from the local 10762
governmentcommunities fund allocated for distribution to that 10763
employer by the county budget commission in accordance with 10764
Chapter 5739. of the Revised Code. Upon receipt of the 10765
certification from the board, the superintendent or county auditor 10766
shall provide for payment against such funds in favor of the Ohio 10767
police and fire pension fund for the certified amount due and any 10768
penalty and interest thereon.10769

       Sec. 901.261. The director of agriculture, in conducting 10770
investigations, inquiries, or hearings, may assess the party to an 10771
action that is brought before the department of agriculture 10772
pursuant to Chapter 119. of the Revised Code the actual costs 10773
incurred by the department for depositions, investigations, 10774
issuance and service of subpoenas, witness fees, employment of a 10775
stenographer and hearing officer, and the production of books, 10776
accounts, papers, records, documents, and testimony if the 10777
applicable hearing officer determines that the party to the action 10778
has failed to comply with any chapter of the Revised Code or any 10779
rule adopted under any of those chapters that is administered by 10780
the director or if the hearing officer determines that the action 10781
was frivolous conduct by the party. Assessment of costs under this 10782
section may be appealed to a court of competent jurisdiction.10783

       Sec. 991.08. The Ohio expositions commission shall use not 10784
less than thirty-five per cent of the revenue that it receives 10785
from lease payments and parking fees related to events held at the 10786
Columbus crew stadium, as it is named on the effective date of 10787
this section, for the purpose of improving and maintaining parking 10788
facilities that are utilized for events at the stadium.10789

       Sec. 1503.05.  (A) The chief of the division of forestry may10790
sell timber and other forest products from the state forest and 10791
state forest nurseries whenever the chief considers such a sale 10792
desirable and, with the approval of the attorney general and the 10793
director of natural resources, may sell portions of the state 10794
forest lands when such a sale is advantageous to the state.10795

       (B) Except as otherwise provided in this section, a timber 10796
sale agreement shall not be executed unless the person or 10797
governmental entity bidding on the sale executes and files a 10798
surety bond conditioned on completion of the timber sale in 10799
accordance with the terms of the agreement in an amount equal to 10800
twenty-five per cent of the highest value cutting section. All 10801
bonds shall be given in a form prescribed by the chief and shall 10802
run to the state as obligee.10803

       The chief shall not approve any bond until it is personally10804
signed and acknowledged by both principal and surety, or as to10805
either by the attorney in fact thereof, with a certified copy of 10806
the power of attorney attached. The chief shall not approve the 10807
bond unless there is attached a certificate of the superintendent 10808
of insurance that the company is authorized to transact a fidelity10809
and surety business in this state.10810

       In lieu of a bond, the bidder may deposit any of the10811
following:10812

       (1) Cash in an amount equal to the amount of the bond;10813

       (2) United States government securities having a par value10814
equal to or greater than the amount of the bond;10815

       (3) Negotiable certificates of deposit or irrevocable letters 10816
of credit issued by any bank organized or transacting business in 10817
this state having a par value equal to or greater than the amount 10818
of the bond.10819

       The cash or securities shall be deposited on the same terms10820
as bonds. If one or more certificates of deposit are deposited in 10821
lieu of a bond, the chief shall require the bank that issued any 10822
of the certificates to pledge securities of the aggregate market 10823
value equal to the amount of the certificate or certificates that 10824
is in excess of the amount insured by the federal deposit 10825
insurance corporation. The securities to be pledged shall be those 10826
designated as eligible under section 135.18 of the Revised Code. 10827
The securities shall be security for the repayment of the 10828
certificate or certificates of deposit.10829

       Immediately upon a deposit of cash, securities, certificates 10830
of deposit, or letters of credit, the chief shall deliver them to 10831
the treasurer of state, who shall hold them in trust for the 10832
purposes for which they have been deposited. The treasurer of 10833
state is responsible for the safekeeping of the deposits. A bidder 10834
making a deposit of cash, securities, certificates of deposit, or 10835
letters of credit may withdraw and receive from the treasurer of 10836
state, on the written order of the chief, all or any portion of 10837
the cash, securities, certificates of deposit, or letters of 10838
credit upon depositing with the treasurer of state cash, other 10839
United States government securities, or other negotiable 10840
certificates of deposit or irrevocable letters of credit issued by 10841
any bank organized or transacting business in this state, equal in 10842
par value to the par value of the cash, securities, certificates 10843
of deposit, or letters of credit withdrawn.10844

       A bidder may demand and receive from the treasurer of state10845
all interest or other income from any such securities or10846
certificates as it becomes due. If securities so deposited with10847
and in the possession of the treasurer of state mature or are10848
called for payment by their issuer, the treasurer of state, at the 10849
request of the bidder who deposited them, shall convert the 10850
proceeds of the redemption or payment of the securities into other 10851
United States government securities, negotiable certificates of 10852
deposit, or cash as the bidder designates.10853

       When the chief finds that a person or governmental agency has 10854
failed to comply with the conditions of the person's or10855
governmental agency's bond, the chief shall make a finding of that 10856
fact and declare the bond, cash, securities, certificates, or 10857
letters of credit forfeited. The chief thereupon shall certify the 10858
total forfeiture to the attorney general, who shall proceed to 10859
collect the amount of the bond, cash, securities, certificates, or 10860
letters of credit.10861

       In lieu of total forfeiture, the surety, at its option, may10862
cause the timber sale to be completed or pay to the treasurer of10863
state the cost thereof.10864

       All moneys collected as a result of forfeitures of bonds,10865
cash, securities, certificates, and letters of credit under this10866
section shall be credited to the state forest fund created in this 10867
section.10868

       (C) The chief may grant easements and leases on portions of 10869
the state forest lands and state forest nurseries under terms that 10870
are advantageous to the state, and the chief may grant mineral 10871
rights on a royalty basis on those lands and nurseries, with the 10872
approval of the attorney general and the director.10873

       (D) All moneys received from the sale of state forest lands, 10874
or in payment for easements or leases on or as rents from those10875
lands or from state forest nurseries, shall be paid into the state10876
treasury to the credit of the state forest fund, which is hereby 10877
created. In addition, all moneys received from federal grants, 10878
payments, and reimbursements, from the sale of reforestation tree 10879
stock, from the sale of forest products, other than standing 10880
timber, and from the sale of minerals taken from the state forest 10881
lands and state forest nurseries, together with royalties from 10882
mineral rights, shall be paid into the state treasury to the 10883
credit of the state forest fund. Any other revenues derived from 10884
the operation of the state forests and related facilities or 10885
equipment also shall be paid into the state treasury to the credit 10886
of the state forest fund, as shall contributions received for the 10887
issuance of Smokey Bear license plates under section 4503.574 of 10888
the Revised Code and any other moneys required by law to be 10889
deposited in the fund.10890

        The state forest fund shall not be expended for any purpose 10891
other than the administration, operation, maintenance, 10892
development, or utilization of the state forests, forest 10893
nurseries, and forest programs, for facilities or equipment 10894
incident to them, or for the further purchase of lands for state 10895
forest or forest nursery purposes and, in the case of 10896
contributions received pursuant to section 4503.574 of the Revised 10897
Code, for fire prevention purposes.10898

        All moneys received from the sale of standing timber taken 10899
from state forest lands and state forest nurseries shall be 10900
deposited into the state treasury to the credit of the forestry 10901
holding account redistribution fund, which is hereby created. The 10902
moneys shall remain in the fund until they are redistributed in 10903
accordance with this division.10904

        The redistribution shall occur at least once each year. To 10905
begin the redistribution, the chief first shall determine the10906
amount of all standing timber sold from state forest lands and 10907
state forest nurseries, together with the amount of the total sale 10908
proceeds, in each county, in each township within the county, and 10909
in each school district within the county. The chief next shall 10910
determine the amount of the direct costs that the division of 10911
forestry incurred in association with the sale of that standing 10912
timber. The amount of the direct costs shall be subtracted from 10913
the amount of the total sale proceeds and shall be transferred 10914
from the forestry holding account redistribution fund to the state 10915
forest fund.10916

        The remaining amount of the total sale proceeds equals the 10917
net value of the standing timber that was sold. The chief shall 10918
determine the net value of standing timber sold from state forest 10919
lands and state forest nurseries in each county, in each township 10920
within the county, and in each school district within the county 10921
and shall send to each county treasurer a copy of the 10922
determination at the time that moneys are paid to the county 10923
treasurer under this division.10924

        Twenty-five per cent of the net value of standing timber sold 10925
from state forest lands and state forest nurseries located in a 10926
county shall be transferred from the forestry holding account 10927
redistribution fund to the state forest fund. Ten per cent of that 10928
net value shall be transferred from the forestry holding account 10929
redistribution fund to the general revenue fund. The remaining 10930
sixty-five per cent of the net value shall be transferred from the 10931
forestry holding account redistribution fund and paid to the 10932
county treasurer for the use of the general fund of that county.10933

       The county auditor shall do all of the following:10934

       (1) Retain for the use of the general fund of the county 10935
one-fourth of the amount received by the county under division (D) 10936
of this section;10937

       (2) Pay into the general fund of any township located within 10938
the county and containing such lands and nurseries one-fourth of 10939
the amount received by the county from standing timber sold from 10940
lands and nurseries located in the township;10941

       (3) Request the board of education of any school district 10942
located within the county and containing such lands and nurseries 10943
to identify which fund or funds of the district should receive the 10944
moneys available to the school district under division (D)(3) of 10945
this section. After receiving notice from the board, the county 10946
auditor shall pay into the fund or funds so identified one-half of 10947
the amount received by the county from standing timber sold from 10948
lands and nurseries located in the school district, distributed10949
proportionately as identified by the board.10950

       The division of forestry shall not supply logs, lumber, or 10951
other forest products or minerals, taken from the state forest 10952
lands or state forest nurseries, to any other agency or 10953
subdivision of the state unless payment is made therefor in the 10954
amount of the actual prevailing value thereof. This section is 10955
applicable to the moneys so received.10956

       Sec. 1504.02.  (A) The division of real estate and land10957
management shall do all of the following:10958

       (1) Except as otherwise provided in the Revised Code,10959
coordinate and conduct all real estate functions for the10960
department of natural resources, including at least acquisitions10961
by purchase, lease, gift, devise, bequest, appropriation, or10962
otherwise; grants through sales, leases, exchanges, easements, and 10963
licenses; inventories of land; and other related general10964
management duties;10965

       (2) Assist the department and its divisions by providing10966
department-wide planning, including at least master planning,10967
comprehensive planning, capital improvements planning, and special 10968
purpose planning such as trails coordination and planning under 10969
section 1519.03 of the Revised Code;10970

       (3) On behalf of the director of natural resources,10971
administer the coastal management program established under10972
sections 1506.01 to 1506.03 and 1506.05 to 1506.09 of the Revised10973
Code and consult with and provide coordination among state10974
agencies, political subdivisions, the United States and agencies10975
of it, and interstate, regional, and areawide agencies to assist10976
the director in executing the director's duties and10977
responsibilities under that program and to assist the department 10978
as the lead agency for the development and implementation of the 10979
program;10980

       (4) On behalf of the director, administer sections 1506.1010981
and 1506.11 and sections 1506.31 to 1506.36 of the Revised Code;10982

       (5) Cooperate with the United States and agencies of it and 10983
with political subdivisions in administering federal recreation 10984
moneys under the "Land and Water Conservation Fund Act of 1965," 10985
78 Stat. 897, 16 U.S.C.A. 4601-8, as amended; prepare and 10986
distribute the statewide comprehensive outdoor recreation plan; 10987
and administer the state recreational vehicle fund created in 10988
section 4519.11 of the Revised Code;10989

       (6)(4)(a) Support the geographic information system needs for10990
the department as requested by the director, which shall include,10991
but not be limited to, all of the following:10992

       (i) Assisting in the training and education of department10993
resource managers, administrators, and other staff in the10994
application and use of geographic information system technology;10995

       (ii) Providing technical support to the department in the10996
design, preparation of data, and use of appropriate geographic10997
information system applications in order to help solve resource10998
related problems and to improve the effectiveness and efficiency10999
of department delivered services;11000

       (iii) Creating, maintaining, and documenting spatial digital 11001
data bases for the division and for other divisions as assigned by 11002
the director.11003

       (b) Provide information to and otherwise assist government11004
officials, planners, and resource managers in understanding land11005
use planning and resource management;11006

       (c) Provide continuing assistance to local government11007
officials and others in natural resource digital data base11008
development and in applying and utilizing the geographic11009
information system for land use planning, current agricultural use 11010
value assessment, development reviews, coastal management, and 11011
other resource management activities;11012

       (d) Coordinate and administer the remote sensing needs of the 11013
department, including the collection and analysis of aerial11014
photography, satellite data, and other data pertaining to land,11015
water, and other resources of the state;11016

       (e) Prepare and publish maps and digital data relating to the 11017
state's land use and land cover over time on a local, regional, 11018
and statewide basis;11019

       (f) Locate and distribute hard copy maps, digital data,11020
aerial photography, and other resource data and information to11021
government agencies and the public.11022

       (7)(5) Prepare special studies and execute any other duties,11023
functions, and responsibilities requested by the director.11024

       (B) The division may do any of the following:11025

       (1) Coordinate such environmental matters concerning the11026
department and the state as are necessary to comply with the11027
"National Environmental Policy Act of 1969," 83 Stat. 852, 4211028
U.S.C.A. 4321, as amended, the "Intergovernmental Cooperation Act11029
of 1968," 82 Stat. 1098, 31 U.S.C.A. 6506, and the "Federal Water11030
Pollution Control Act," 91 Stat. 1566 (1977), 33 U.S.C.A. 1251, as 11031
amended, and regulations adopted under those acts;11032

       (2) With the approval of the director, coordinate and 11033
administer compensatory mitigation grant programs and other 11034
programs for streams and wetlands as approved in accordance with 11035
certifications and permits issued under sections 401 and 404 of 11036
the "Federal Water Pollution Control Act", 91 Stat. 1566(1977), 33 11037
U.S.C.A. 1251, as amended, by the environmental protection agency 11038
and the United States army corps of engineers;11039

       (3) Administer any state or federally funded grant program11040
that is related to natural resources and recreation as considered11041
necessary by the director.11042

       Sec. 1506.01.  As used in this chapter:11043

       (A) "Coastal area" means the waters of Lake Erie, the islands 11044
in the lake, and the lands under and adjacent to the lake, 11045
including transitional areas, wetlands, and beaches. The coastal 11046
area extends in Lake Erie to the international boundary line 11047
between the United States and Canada and landward only to the 11048
extent necessary to include shorelands, the uses of which have a 11049
direct and significant impact on coastal waters as determined by 11050
the director of natural resources.11051

       (B) "Coastal management program" means the comprehensive11052
action of the state and its political subdivisions cooperatively11053
to preserve, protect, develop, restore, or enhance the resources11054
of the coastal area and to ensure wise use of the land and water11055
resources of the coastal area, giving attention to natural,11056
cultural, historic, and aesthetic values; agricultural,11057
recreational, energy, and economic needs; and the national11058
interest. "Coastal management program" includes the establishment 11059
of objectives, policies, standards, and criteria concerning, 11060
without limitation, protection of air, water, wildlife, rare and 11061
endangered species, wetlands and natural areas, and other natural 11062
resources in the coastal area; management of coastal development 11063
and redevelopment; preservation and restoration of historic, 11064
cultural, and aesthetic coastal features; and public access to the 11065
coastal area for recreation purposes.11066

       (C) "Coastal management program document" means a11067
comprehensive statement consisting of, without limitation, text,11068
maps, and illustrations that is adopted by the director in11069
accordance with this chapter, describes the objectives, policies,11070
standards, and criteria of the coastal management program for11071
guiding public and private uses of lands and waters in the coastal 11072
area, lists the governmental agencies, including, without11073
limitation, state agencies, involved in implementing the coastal11074
management program, describes their applicable policies and11075
programs, and cites the statutes and rules under which they may11076
adopt and implement those policies and programs.11077

       (D) "Person" means any agency of this state, any political11078
subdivision of this state or of the United States, and any legal11079
entity defined as a person under section 1.59 of the Revised Code.11080

       (E) "Director" means the director of natural resources or the 11081
director's designee.11082

       (F) "Permanent structure" means any residential, commercial, 11083
industrial, institutional, or agricultural building, any mobile 11084
home as defined in division (O) of section 4501.01 of the Revised 11085
Code, any manufactured home as defined in division (C)(4) of 11086
section 3781.06 of the Revised Code, and any septic system that 11087
receives sewage from a single-family, two-family, or three-family 11088
dwelling, but does not include any recreational vehicle as defined 11089
in section 4501.01 of the Revised Code.11090

       (G) "State agency" or "agency of the state" has the same11091
meaning as "agency" as defined in section 111.15 of the Revised11092
Code.11093

       (H) "Coastal flood hazard area" means any territory within11094
the coastal area that has been identified as a flood hazard area11095
under the "Flood Disaster Protection Act of 1973," 87 Stat. 975,11096
42 U.S.C.A. 4002, as amended.11097

       (I) "Coastal erosion area" means any territory included in11098
Lake Erie coastal erosion areas identified by the director under 11099
section 1506.06 of the Revised Code.11100

       (J) "Conservancy district" means a conservancy district that 11101
is established under Chapter 6101. of the Revised Code.11102

       (K) "Park board" means the board of park commissioners of a 11103
park district that is created under Chapter 1545. of the Revised 11104
Code.11105

       (L) "Erosion control structure" means a structure that is 11106
designed solely and specifically to reduce or control erosion of 11107
the shore along or near Lake Erie, including, without limitation, 11108
revetments, seawalls, bulkheads, certain breakwaters, and similar 11109
structures.11110

       (M) "Shore structure" includes, but is not limited to, 11111
beaches; groins; revetments; bulkheads; seawalls; breakwaters; 11112
certain dikes designated by the chief of the division of water; 11113
piers; docks; jetties; wharves; marinas; boat ramps; any 11114
associated fill or debris used as part of the construction of 11115
shore structures that may affect shore erosion, wave action, or 11116
inundation; and fill or debris that is placed along or near the 11117
shore, including bluffs, banks, or beach ridges, for the purpose 11118
of stabilizing slopes.11119

       Sec. 1521.20.        Sec. 1506.38.  The chiefdirector of the division of 11120
waternatural resources shall act as the erosion agent of the 11121
state for the purpose of cooperating with the secretary of the 11122
army, acting through the chief of engineers of the United States 11123
army corps of engineers in the department of defense. The chief11124
director shall cooperate with the secretary in carrying out, and 11125
may conduct, investigations and studies of conditions along the11126
shorelines of Lake Erie and of the bays and projections therefrom, 11127
and of the islands therein, within the territorial waters of the 11128
state, with a view to devising and perfecting economical and 11129
effective methods and works for preventing, correcting, and 11130
controlling shore erosion and damage therefrom and controlling the 11131
inundation of improved property by the waters of Lake Erie, its 11132
bays, and associated inlets.11133

       Sec. 1521.21.        Sec. 1506.39.  The chiefdirector of the division of11134
waternatural resources, in the discharge of the chief's11135
director's duties under sections 1507.201506.38 to 1507.3011136
1506.48 of the Revised Code, may call to the chief'sdirector's11137
assistance, temporarily, any engineers or other employees in any 11138
state department, or in the Ohio state university or other11139
educational institutions financed wholly or in part by the state,11140
for the purpose of devising the most effective and economical11141
methods of controlling shore erosion and damage from it and 11142
controlling the inundation of improved property by the waters of 11143
Lake Erie and its bays and associated inlets.11144

       Such engineers and employees shall not receive any additional 11145
compensation over that which they receive from the departments or 11146
institutions by which they are employed, but they shall be11147
reimbursed for their actual necessary expenses incurred while11148
working under the direction of the chiefdirector on erosion and11149
inundation projects.11150

       Sec. 1521.22.        Sec. 1506.40. No person shall construct a beach,11151
groin, or other structure to control erosion, wave action, or11152
inundation along or near the Ohio shoreline of Lake Erie, 11153
including related islands, bays, and inlets, without first 11154
obtaining a shore structure permit from the chief of the division11155
director of water. Thenatural resources.11156

       The application for a shore structure permit shall include 11157
detailed plans and specifications prepared by a professional 11158
engineer registered under Chapter 4733. of the Revised Code. An 11159
applicant shall provide appropriate evidence of compliance with 11160
any applicable provisions of this chapter and Chapters 1505. and 11161
1506.1521. of the Revised Code, as determined by the chief11162
director. A temporary shore structure permit may be issued by the 11163
chief or an authorized representative of the chiefdirector if it11164
is determined necessary to safeguard life, health, or property.11165

       Each application or reapplication for a permit under this 11166
section shall be accompanied by a non-refundable fee as the chief11167
director shall prescribe by rule.11168

       If the application is approved, the chiefdirector shall 11169
issue a permit to the applicant authorizing construction of the 11170
project. If requested in writing by the applicant within thirty 11171
days of issuance of a notice of disapproval of the application, 11172
the chiefdirector shall conduct an adjudication hearing under 11173
Chapter 119. of the Revised Code, except sections 119.12 and 11174
119.121 of the Revised Code. After reviewing the record of the 11175
hearing, the chiefdirector shall issue a final order approving 11176
the application, disapproving it, or approving it conditioned on 11177
the making of specified revisions in the plans and specifications.11178

       The chiefdirector, by rule, shall limit the period during 11179
which a construction permit issued under this section is valid and 11180
shall establish reapplication requirements governing a 11181
construction permit that expires before construction is completed.11182

       In accordance with Chapter 119. of the Revised Code, the 11183
chiefdirector shall adopt, and may amend or rescind, such rules 11184
as are necessary for the administration, implementation, and 11185
enforcement of this section.11186

       Sec. 1521.23.        Sec. 1506.41.  All moneys derived from the granting 11187
of permits and leases under section 1505.07 of the Revised Code 11188
for the removal of sand, gravel, stone, gas, oil, and other 11189
minerals and substances from and under the bed of Lake Erie and 11190
from applications for shore structure permits submitted under 11191
section 1521.221506.40 of the Revised Code shall be paid into the 11192
state treasury to the credit of the permit and lease fund, which 11193
is hereby created. Notwithstanding any section of the Revised Code 11194
relating to the distribution or crediting of fines for violations 11195
of the Revised Code, all fines imposed under division (A) of11196
section 1505.99 of the Revised Code and under division (C) of 11197
section 1521.991506.99 of the Revised Code shall be paid into 11198
that fund. The fund shall be administered by the department of 11199
natural resources for the protection of Lake Erie shores and11200
waters; investigation and control of erosion; the planning,11201
development, and construction of facilities for recreational use 11202
of Lake Erie; implementation of section 1521.221506.40 of the 11203
Revised Code; preparation of the state shore erosion plan under 11204
section 1521.291506.47 of the Revised Code; and state 11205
administration of Lake Erie coastal erosion areas under sections 11206
1506.06 and 1506.07 of the Revised Code.11207

       Sec. 1521.24.        Sec. 1506.42.  The state, acting through the chief11208
director of the division of waternatural resources, subject to 11209
section 1521.281506.46 of the Revised Code, may enter into 11210
agreements with counties, townships, municipal corporations, park 11211
boards, and conservancy districts, other political subdivisions, 11212
or any state departments or divisions for the purpose of 11213
constructing and maintaining projects to control erosion along the 11214
Ohio shoreline of Lake Erie and in any rivers and bays that are11215
connected with Lake Erie and any other watercourses that flow into 11216
Lake Erie. Such projects also may be constructed on any Lake Erie11217
island that is situated within the boundaries of the state.11218

       The cost of such shore erosion projects that are for the11219
benefit of public littoral property shall be prorated on the basis 11220
of two-thirds of the total cost to the state through11221
appropriations made to the divisiondepartment of waternatural 11222
resources and one-third of the cost to the counties, townships, 11223
municipal corporations, park boards, conservancy districts, or 11224
other political subdivisions.11225

       If a shore erosion emergency is declared by the governor, the 11226
state, acting through the chiefdirector, may spend whatever state 11227
funds are available to alleviate shore erosion, without11228
participation by any political subdivision, regardless of whether11229
the project will benefit public or private littoral property.11230

       A board of county commissioners, acting for the county over 11231
which it has jurisdiction, may enter into and carry out agreements 11232
with the chiefdirector for the construction and maintenance of 11233
projects to control shore erosion. In providing the funds for the 11234
county's proportionate share of the cost of constructing and 11235
maintaining the projects referred to in this section, the board 11236
shall be governed by and may issue and refund bonds in accordance 11237
with Chapter 133. of the Revised Code.11238

       A municipal corporation or a township, acting through the11239
legislative authority or the board of township trustees, may enter 11240
into and carry out agreements with the chiefdirector for the 11241
purpose of constructing and maintaining projects to control shore11242
erosion. In providing the funds for the municipal corporation's or 11243
township's proportionate share of the cost of constructing and 11244
maintaining the projects referred to in this section, a municipal 11245
corporation or township may issue and refund bonds in accordance 11246
with Chapter 133. of the Revised Code. The contract shall be 11247
executed on behalf of the municipal corporation or township by the 11248
mayor, city manager, or other chief executive officer who has the 11249
authority to act for the municipal corporation or township.11250

       Conservancy districts may enter into and carry out agreements 11251
with the chiefdirector, in accordance with the intent of this 11252
section, under the powers conferred upon conservancy districts 11253
under Chapter 6101. of the Revised Code.11254

       Park boards may enter into and carry out agreements with the 11255
chiefdirector, in accordance with the intent of this section, and 11256
issue bonds for that purpose under the powers conferred upon park 11257
districts under Chapter 1545. of the Revised Code.11258

       The chiefdirector shall approve and supervise all projects11259
that are to be constructed in accordance with this section. The11260
chiefdirector shall not proceed with the construction of any11261
project until all funds that are to be paid by the county, 11262
township, municipal corporation, park board, or conservancy 11263
district, in accordance with the terms of the agreement entered 11264
into between the chiefdirector and the county, township, 11265
municipal corporation, park board, or conservancy district, are in 11266
the chief'sdirector's possession and deposited in the shore 11267
erosion fund, which is hereby created in the state treasury. If 11268
the chiefdirector finds it to be in the best interests of the 11269
state to construct projects as set forth in this section by the 11270
state itself, without the financial contribution of counties, 11271
townships, municipal corporations, park boards, or conservancy 11272
districts, the chiefdirector may construct the projects.11273

       In deciding whether to assist a county or municipal11274
corporation in constructing and maintaining a project under this11275
section, the state, acting through the chiefdirector, shall11276
consider, among other factors, whether the county or municipal11277
corporation has adopted or is in the process of adopting a Lake11278
Erie coastal erosion area resolution or ordinance under division11279
(D) of section 1506.07 of the Revised Code.11280

       All projects constructed by the state in conformity with11281
sections 1521.201506.38 to 1521.281506.46 of the Revised Code 11282
shall be constructed subject to sections 153.01 to 153.20 of the 11283
Revised Code, except that the state architect and engineer is not11284
required to prepare the plans and specifications for those11285
projects.11286

       Sec. 1521.25.        Sec. 1506.43.  The chiefdirector of the division of 11287
waternatural resources may enter into a contract with any county, 11288
township, municipal corporation, conservancy district, or park 11289
board that has an agreement with the state in accordance with 11290
section 1521.241506.42 of the Revised Code for the construction 11291
of a shore erosion project. No contract shall be let until all 11292
money that is to be paid by the political subdivision entering 11293
into the agreement has been deposited in the shore erosion fund 11294
created in that section 1521.24 of the Revised Code, and no 11295
contract shall be valid until approved by the director of natural11296
resources.11297

       Sec. 1521.26.        Sec. 1506.44.  (A) A board of county commissioners 11298
may use a loan obtained under division (C) of this section to 11299
provide financial assistance to any person who owns real property 11300
in a coastal erosion area, as defined in section 1506.01 of the11301
Revised Code, and who has received a permit under section 1521.2211302
1506.40 of the Revised Code to construct an erosion control 11303
structure in that coastal erosion area. The board shall enter into 11304
an agreement with the person that complies with all of the 11305
following requirements:11306

       (1) The agreement shall identify the person's real property 11307
for which the erosion control structure is being constructed and 11308
shall include a legal description of that property and a reference 11309
to the volume and page of the deed record in which the title of 11310
that person to that property is recorded.11311

       (2) In accordance with rules adopted by the Ohio water11312
development authority under division (V) of section 6121.04 of the11313
Revised Code for the purposes of division (C) of this section and 11314
pursuant to an agreement between the board and the authority under 11315
that division, the board shall agree to cause payments to be made 11316
by the authority to the contractor hired by the person to 11317
construct an erosion control structure in amounts not to exceed 11318
the total amount specified in the agreement between the board and 11319
the person.11320

       (3) The person shall agree to pay to the board, or to the 11321
authority as the assignee pursuant to division (C) of this 11322
section, the total amount of the payments plus administrative or 11323
other costs of the board or the authority at times, in 11324
installments, and bearing interest as specified in the agreement.11325

       The agreement may contain additional provisions that the 11326
board determines necessary to safeguard the interests of the 11327
county or to comply with an agreement entered into under division 11328
(C) of this section.11329

       (B) Upon entering into an agreement under division (A) of 11330
this section, the board shall do all of the following:11331

       (1) Cause the agreement to be recorded in the county deed 11332
records in the office of the county recorder of the county in 11333
which the real property is situated. Failure to record the 11334
agreement does not affect the validity of the agreement or the 11335
collection of any amounts due under the agreement.11336

       (2) Establish by resolution an erosion control repayment fund 11337
into which shall be deposited all amounts collected under division 11338
(B)(3) of this section. Moneys in that fund shall be used by the 11339
board for the repayment of the loan and for administrative or 11340
other costs of the board or the authority as specified in an 11341
agreement entered into under division (C) of this section. If the 11342
amount of money in the fund is inadequate to repay the loan when 11343
due, the board of county commissioners, by resolution, may advance 11344
money from any other fund in order to repay the loan if that use 11345
of the money from the other fund is not in conflict with law. If 11346
the board so advances money in order to repay the loan, the board11347
subsequently shall reimburse each fund from which the board 11348
advances money with moneys from the erosion control repayment 11349
fund.11350

       (3) Bill and collect all amounts when due under the agreement 11351
entered into under division (A) of this section. The board shall 11352
certify amounts not paid when due to the county auditor, who shall 11353
enter the amounts on the real property tax list and duplicate 11354
against the property identified under division (A)(1) of this 11355
section. The amounts not paid when due shall be a lien on that 11356
property from the date on which the amounts are placed on the tax 11357
list and duplicate and shall be collected in the same manner as 11358
other taxes.11359

       (C) A board may apply to the authority for a loan for the 11360
purpose of entering into agreements under division (A) of this 11361
section. The loan shall be for an amount and on the terms 11362
established in an agreement between the board and the authority. 11363
The board may assign any agreements entered into under division 11364
(A) of this section to the authority in order to provide for the 11365
repayment of the loan and may pledge any lawfully available 11366
revenues to the repayment of the loan, provided that no moneys 11367
raised by taxation shall be obligated or pledged by the board for 11368
the repayment of the loan. Any agreement with the authority11369
pursuant to this division is not subject to Chapter 133. of the 11370
Revised Code or any requirements or limitations established in 11371
that chapter.11372

       (D) The authority, as assignee of any agreement pursuant to 11373
division (C) of this section, may enforce and compel the board and 11374
the county auditor by mandamus pursuant to Chapter 2731. of the 11375
Revised Code to comply with division (B) of this section in a 11376
timely manner.11377

       (E) The construction of an erosion control structure by a11378
contractor hired by an individual homeowner, group of individual 11379
homeowners, or homeowners association that enters into an 11380
agreement with a board under division (A) of this section is not a 11381
public improvement, as defined in section 4115.03 of the Revised 11382
Code, and is not subject to competitive bidding or public bond 11383
laws.11384

       Sec. 1521.27.        Sec. 1506.45.  The state, or any county, township,11385
municipal corporation, conservancy district, or park board that 11386
has entered into a contract under section 1521.251506.43 of the 11387
Revised Code, may acquire lands by gift or devise, purchase, or 11388
appropriation. In case of appropriation, the proceedings shall be 11389
instituted in the name of the state or the political subdivision 11390
and shall be conducted in the manner provided for the 11391
appropriation of private property by the state or the political 11392
subdivision insofar as those proceedings are applicable. Either 11393
the fee or any lesser interest may be acquired as the state or the 11394
political subdivision considers advisable.11395

       Sec. 1521.28.        Sec. 1506.46.  Any action taken by the chiefdirector11396
of the division of waternatural resources under sections 1521.2011397
1506.38 to 1521.301506.48 of the Revised Code shall not be deemed 11398
in conflict with certain powers and duties conferred upon and11399
delegated to federal agencies and to municipal corporations under 11400
Section 7 of Article XVIII, Ohio Constitution, or as provided by 11401
sections 721.04 to 721.11 of the Revised Code.11402

       Sec. 1521.29.        Sec. 1506.47.  The chiefdirector of the division of 11403
waternatural resources, in cooperation with appropriate offices 11404
and divisions, including the division of geological survey, may11405
prepare a plan for the management of shore erosion in the state 11406
along Lake Erie, its bays, and associated inlets, revise the plan11407
whenever it can be made more effective, and make the plan 11408
available for public inspection. In the preparation of the plan, 11409
the chiefdirector may employ such existing plans as are 11410
available.11411

       The chiefdirector also may establish a program to provide 11412
technical assistance on shore erosion control measures to 11413
municipal corporations, counties, townships, conservancy 11414
districts, park boards, and shoreline property owners.11415

       Sec. 1521.30.        Sec. 1506.48.  Upon application of any owner of real11416
property damaged or destroyed by shore erosion, the county auditor 11417
of the county in which the real property is situated shall cause a 11418
reappraisal to be made and shall place the property on the tax 11419
list at its true value in money.11420

       Whenever the county auditor finds that ninety per cent or 11421
more of the area of any littoral parcel of land appearing upon the 11422
tax duplicate has been eroded and lies within the natural 11423
boundaries of Lake Erie and that the remainder of the parcel, if 11424
any, has no taxable value, the auditor may certify that finding to 11425
the county board of revision. Upon consideration thereof, the11426
board may authorize removal of the parcel from the tax duplicate 11427
and cancellation of all current and delinquent taxes, assessments, 11428
interest, and penalties charged against the parcel.11429

       Sec. 1506.99.  (A) Whoever violates division (A) of section 11430
1506.09 of the Revised Code shall be fined not less than one 11431
hundred nor more than five hundred dollars for each offense.11432

       (B) Whoever violates division (K) of section 1506.32 of the 11433
Revised Code is guilty of a misdemeanor of the third degree.11434

       (C) Whoever violates sections 1506.38 to 1506.48 of the 11435
Revised Code shall be fined not less than one hundred dollars nor 11436
more than five hundred dollars for each offense. Each day of 11437
violation constitutes a separate offense.11438

       Sec. 1521.01.  As used in sections 1521.01 to 1521.05,and11439
1521.13 to 1521.18, and 1521.20 to 1521.30 of the Revised Code:11440

       (A) "Consumptive use," "diversion," "Lake Erie drainage11441
basin," "other great lakes states and provinces," "water11442
resources," and "waters of the state" have the same meanings as in 11443
section 1501.30 of the Revised Code.11444

       (B) "Well" means any excavation, regardless of design or11445
method of construction, created for any of the following purposes:11446

       (1) Removing ground water from or recharging water into an11447
aquifer, excluding subsurface drainage systems installed to11448
enhance agricultural crop production or urban or suburban11449
landscape management or to control seepage in dams, dikes, and11450
levees;11451

       (2) Determining the quantity, quality, level, or movement of 11452
ground water in or the stratigraphy of an aquifer, excluding11453
borings for instrumentation in dams, dikes, levees, or highway11454
embankments;11455

       (3) Removing or exchanging heat from ground water, excluding 11456
horizontal trenches that are installed for water source heat pump 11457
systems.11458

       (C) "Aquifer" means a consolidated or unconsolidated geologic 11459
formation or series of formations that are hydraulically11460
interconnected and that have the ability to receive, store, or11461
transmit water.11462

       (D) "Ground water" means all water occurring in an aquifer.11463

       (E) "Ground water stress area" means a definable geographic 11464
area in which ground water quantity is being affected by human 11465
activity or natural forces to the extent that continuous11466
availability of supply is jeopardized by withdrawals.11467

       (F) "Person" has the same meaning as in section 1.59 of the 11468
Revised Code and also includes the United States, the state, any 11469
political subdivision of the state, and any department, division, 11470
board, commission, agency, or instrumentality of the United 11471
States, the state, or a political subdivision of the state.11472

       (G) "State agency" or "agency of the state" has the same11473
meaning as "agency" in section 111.15 of the Revised Code.11474

       (H) "Development" means any artificial change to improved or11475
unimproved real estate, including the construction of buildings11476
and other structures, any substantial improvement of a structure, 11477
mining, dredging, filling, grading, paving, excavating, and11478
drilling operations, and storage of equipment or materials.11479

       (I) "Floodplain" means the area adjoining any river, stream, 11480
watercourse, or lake that has been or may be covered by flood 11481
water.11482

       (J) "Floodplain management" means the implementation of an11483
overall program of corrective and preventive measures for reducing 11484
flood damage, including the collection and dissemination of flood 11485
information, construction of flood control works, nonstructural 11486
flood damage reduction techniques, and adoption of rules, 11487
ordinances, or resolutions governing development in floodplains.11488

       (K) "One-hundred-year flood" means a flood having a one per 11489
cent chance of being equaled or exceeded in any given year.11490

       (L) "One-hundred-year floodplain" means that portion of a11491
floodplain inundated by a one-hundred-year flood.11492

       (M) "Structure" means a walled and roofed building,11493
including, without limitation, gas or liquid storage tanks, mobile 11494
homes, and manufactured homes.11495

       (N) "Substantial improvement" means any reconstruction,11496
rehabilitation, addition, or other improvement of a structure, the 11497
cost of which equals or exceeds fifty per cent of the market value 11498
of the structure before the start of construction of the11499
improvement. "Substantial improvement" includes repairs to11500
structures that have incurred substantial damage regardless of the 11501
actual repair work performed. "Substantial improvement" does not 11502
include either of the following:11503

       (1) Any project for the improvement of a structure to correct 11504
existing violations of state or local health, sanitary, or safety 11505
code specifications that have been identified by the state or 11506
local code enforcement official having jurisdiction and that are 11507
the minimum necessary to ensure safe living conditions;11508

       (2) Any alteration of an historic structure designated or11509
listed pursuant to federal or state law, provided that the11510
alteration will not preclude the structure's continued listing or11511
designation as an historic structure.11512

       (O) "Shore structure" includes, but is not limited to: 11513
beaches; groins; revetments; bulkheads; seawalls; breakwaters; 11514
certain dikes designated by the chief of the division of water; 11515
piers; docks; jetties; wharves; marinas; boat ramps; any 11516
associated fill or debris used as part of the construction of 11517
shore structures that may affect shore erosion, wave action, or 11518
inundation; and fill or debris placed along or near the shore, 11519
including bluffs, banks, or beach ridges, for the purpose of 11520
stabilizing slopes.11521

       (P) "Substantial damage" means damage of any origin that is 11522
sustained by a structure if the cost of restoring the structure to 11523
its condition prior to the damage would equal or exceed fifty per 11524
cent of the market value of the structure before the damage 11525
occurred.11526

       (Q)(P) "National flood insurance program" means the national 11527
flood insurance program established in the "National Flood 11528
Insurance Act of 1968," 82 Stat. 572, 42 U.S.C. 4001, as amended, 11529
and regulations adopted under it.11530

       (R)(Q) "Conservancy district" means a conservancy district11531
established under Chapter 6101. of the Revised Code.11532

       (S) "Park board" means the board of park commissioners of a 11533
park district created under Chapter 1545. of the Revised Code.11534

       (T) "Erosion control structure" means anything that is 11535
designed primarily to reduce or control erosion of the shore along 11536
or near lake erie, including, but not limited to, revetments, 11537
seawalls, bulkheads, certain breakwaters designated by the chief, 11538
and similar structures. "Erosion control structure" does not 11539
include wharves, piers, docks, marinas, boat ramps, and other 11540
similar structures.11541

       Sec. 1521.99.  (A) Whoever violates division (E)(1) of 11542
section 1521.05 or division (E)(1) of section 1521.16 of the 11543
Revised Code is guilty of a misdemeanor of the fourth degree.11544

       (B) Whoever violates section 1521.06 or 1521.062 of the 11545
Revised Code shall be fined not less than one hundred dollars nor 11546
more than one thousand dollars for each offense. Each day of 11547
violation constitutes a separate offense.11548

       (C) Whoever violates sections 1521.20 to 1521.30 of the11549
Revised Code shall be fined not less than one hundred dollars nor 11550
more than one thousand dollars for each offense. Each day of11551
violation constitutes a separate offense.11552

       Sec. 1531.06.  (A) The chief of the division of wildlife,11553
with the approval of the director of natural resources, may11554
acquire by gift, lease, purchase, or otherwise lands or surface11555
rights upon lands and waters or surface rights upon waters for11556
wild animals, fish or game management, preservation, propagation,11557
and protection, outdoor and nature activities, public fishing and11558
hunting grounds, and flora and fauna preservation. The chief, with 11559
the approval of the director, may receive by grant, devise,11560
bequest, donation, or assignment evidences of indebtedness, the11561
proceeds of which are to be used for the purchase of such lands or11562
surface rights upon lands and waters or surface rights upon11563
waters.11564

       (B)(1) The chief shall adopt rules for the protection of11565
state-owned or leased lands and waters and property under the 11566
control of the division of wildlife against wrongful use or 11567
occupancy that will ensure the carrying out of the intent of this 11568
section, protect those lands, waters, and property from 11569
depredations, and preserve them from molestation, spoilation, 11570
destruction, or any improper use or occupancy thereof, including 11571
rules with respect to recreational activities and for the 11572
government and use of such lands, waters, and property.11573

       (2) The chief may adopt rules benefiting wild animals, fish11574
or game management, preservation, propagation, and protection,11575
outdoor and nature activities, public fishing and hunting grounds,11576
and flora and fauna preservation, and regulating the taking and11577
possession of wild animals on any lands or waters owned or leased11578
or under the division's supervision and control and, for a11579
specified period of years, may prohibit or recall the taking and11580
possession of any wild animal on any portion of such lands or11581
waters. The division clearly shall define and mark the boundaries11582
of the lands and waters owned or leased or under its supervision11583
and control upon which the taking of any wild animal is11584
prohibited.11585

       (C) The chief, with the approval of the director, may acquire11586
by gift, lease, or purchase land for the purpose of establishing11587
state fish hatcheries and game farms and may erect on it buildings 11588
or structures that are necessary.11589

       The title to or lease of such lands and waters shall be taken11590
by the chief in the name of the state. The lease or purchase price 11591
of all such lands and waters may be paid from hunting and trapping 11592
and fishing licenses and any other funds.11593

       (D) To provide more public recreation, stream and lake11594
agreements for public fishing only may be obtained under rules11595
adopted by the chief.11596

       (E) The chief, with the approval of the director, may11597
establish user fees for the use of special public facilities or11598
participation in special activities on lands and waters11599
administered by the division. The special facilities and11600
activities may include hunting or fishing on special designated11601
public lands and waters intensively managed or stocked with11602
artificially propagated game birds or fish, field trial11603
facilities, wildlife nature centers, firearm ranges, boat mooring11604
facilities, camping sites, and other similar special facilities11605
and activities. The chief shall determine whether the user fees11606
are refundable and shall ensure that that information is provided11607
at the time the user fees are paid.11608

       (F) The chief, with the approval of the director, may enter11609
into lease agreements for rental of concessions or other special11610
projects situated on state-owned or leased lands or waters or11611
other property under the division's control. The chief shall set11612
and collect the fees for concession rentals or other special11613
projects; regulate through contracts between the division and11614
concessionaires the sale of tangible objects at concessions or11615
other special projects; and keep a record of all such fee payments11616
showing the amount received, from whom received, and for what11617
purpose the fee was collected.11618

       (G) The chief may sell or donate conservation-related items11619
or items that promote wildlife conservation, including, but not11620
limited to, stamps, pins, badges, books, bulletins, maps,11621
publications, calendars, and any other educational article or11622
artifact pertaining to wild animals; sell confiscated or forfeited11623
items; and sell surplus structures and equipment, and timber or11624
crops from lands owned, administered, leased, or controlled by the11625
division. The chief, with the approval of the director, also may 11626
engage in campaigns and special events that promote wildlife 11627
conservation by selling or donating wildlife-related materials, 11628
memberships, and other items of promotional value.11629

       (H) The chief may sell, lease, or transfer minerals or11630
mineral rights, with the approval of the director, when the chief11631
and the director determine it to be in the best interest of the11632
state. Upon approval of the director, the chief may make, execute, 11633
and deliver contracts, including leases, to mine, drill, or 11634
excavate iron ore, stone, coal, petroleum, gas, salt, and other11635
minerals upon and under lands owned by the state and administered11636
by the division to any person who complies with the terms of such11637
a contract. No such contract shall be valid for more than fifty11638
years from its effective date. Consideration for minerals and11639
mineral rights shall be by rental or royalty basis as prescribed11640
by the chief and payable as prescribed by contract. Moneys11641
collected under this division shall be paid into the state11642
treasury to the credit of the wildlife habitat fund created in11643
section 1531.33 of the Revised Code. Contracts entered into under11644
this division also may provide for consideration for minerals or11645
mineral rights in the form of acquisition of lands as provided11646
under divisions (A) and (C) of this section.11647

       (I) All moneys received under divisions (E), (F), and (G) of11648
this section shall be paid into the state treasury to the credit11649
of a fund that shall be used for the purposes outlined in section11650
1533.15 of the Revised Code and for the management of other wild11651
animals for their ecological and nonconsumptive recreational value11652
or benefit.11653

       (J) The chief, with the approval of the director, may barter11654
or sell wild animals to other states, state or federal agencies,11655
and conservation or zoological organizations. Moneys received from 11656
the sale of wild animals shall be deposited into the wild animal 11657
fund created in section 1531.34 of the Revised Code.11658

       (K) The chief shall adopt rules establishing standards and11659
guidelines for the administration of contraceptive chemicals to11660
noncaptive wild animals. The rules may specify chemical delivery11661
methods and devices and monitoring requirements.11662

       The chief shall establish criteria for the issuance of and11663
shall issue permits for the administration of contraceptive11664
chemicals to noncaptive wild animals. No person shall administer11665
contraceptive chemicals to noncaptive wild animals without a11666
permit issued by the chief.11667

       (L) All fees set by the chief under this section shall be11668
approved by the wildlife council.11669

       (M) Information contained in the wildlife diversity database 11670
that is established pursuant to division (B)(2) of this section 11671
and section 1531.25 of the Revised Code may be made available to 11672
any individual or public or private agency for research, 11673
educational, environmental, land management, or other similar 11674
purposes that are not detrimental to the conservation of a species 11675
or feature. Information regarding sensitive site locations of 11676
species that are listed pursuant to section 1531.25 of the Revised 11677
Code and of features that are included in the wildlife diversity 11678
database is not subject to section 149.43 of the Revised Code if 11679
the chief determines that the release of the information could be 11680
detrimental to the conservation of a species or feature.11681

       Sec. 1531.35.  The wildlife boater angler fund is hereby11682
created in the state treasury. The fund shall consist of money11683
credited to the fund pursuant to section 5735.051 of the Revised11684
Code and other money contributed to the division of wildlife for11685
the purposes of the fund. The fund shall be used for boating11686
access construction, improvements, and maintenance, and to pay for 11687
equipment and personnel costs involved with those activities, on 11688
lakes on which the operation of gasoline-powered watercraft is11689
permissible. However, not more than two hundred thousand dollars 11690
of the annual expenditures from the fund may be used to pay for 11691
the equipment and personnel costs.11692

       Sec. 1548.06.  (A)(1) Application for a certificate of title 11693
for a watercraft or outboard motor shall be made upon a form 11694
prescribed by the chief of the division of watercraft and shall be 11695
sworn to before a notary public or other officer empowered to 11696
administer oaths. The application shall be filed with the clerk of 11697
any court of common pleas. An application for a certificate of 11698
title may be filed electronically by any electronic means approved 11699
by the chief in any county with the clerk of the court of common11700
pleas of that county. The application shall be accompanied by the 11701
fee prescribed in section 1548.10 of the Revised Code. The fee 11702
shall be retained by the clerk who issues the certificate of title 11703
and shall be distributed in accordance with that section. If a 11704
clerk of a court of common pleas, other than the clerk of the 11705
court of common pleas of an applicant's county of residence,11706
issues a certificate of title to the applicant, the clerk shall11707
transmit data related to the transaction to the automated title11708
processing system.11709

       (2) If a certificate of title previously has been issued for 11710
the watercraft or outboard motor, the application for a11711
certificate of title also shall be accompanied by the certificate11712
of title duly assigned unless otherwise provided in this chapter. 11713
If a certificate of title previously has not been issued for the 11714
watercraft or outboard motor in this state, the application, 11715
unless otherwise provided in this chapter, shall be accompanied by 11716
a manufacturer's or importer's certificate; by a sworn statement 11717
of ownership if the watercraft or outboard motor was purchased by 11718
the applicant on or before October 9, 1963, or if the watercraft 11719
is less than fourteen feet long with a permanently affixed 11720
mechanical means of propulsion and was purchased by the applicant 11721
on or before January 1, 2000; or by a certificate of title, bill 11722
of sale, or other evidence of ownership required by the law of 11723
another state from which the watercraft or outboard motor was 11724
brought into this state. Evidence of ownership of a watercraft or 11725
outboard motor for which an Ohio certificate of title previously 11726
has not been issued and which watercraft or outboard motor does 11727
not have permanently affixed to it a manufacturer's serial number11728
shall be accompanied by the certificate of assignment of a hull 11729
identification number assigned by the chief as provided in section 11730
1548.07 of the Revised Code.11731

       (3) The clerk shall retain the evidence of title presented by11732
the applicant and on which the certificate of title is issued,11733
except that, if an application for a certificate of title is filed11734
electronically, by a vendor on behalf of a purchaser of a11735
watercraft or outboard motor, the clerk shall retain the completed11736
electronic record to which the vendor converted the certificate of11737
title application and other required documents. The chief, after 11738
consultation with the attorney general, shall adopt rules that 11739
govern the location at which, and the manner in which, are stored 11740
the actual application and all other documents relating to the 11741
sale of a watercraft or outboard motor when a vendor files the11742
application for a certificate of title electronically on behalf of11743
a purchaser.11744

       (B) The clerk shall use reasonable diligence in ascertaining11745
whether the facts in the application are true by checking the11746
application and documents accompanying it or the electronic record 11747
to which a vendor converted the application and accompanying 11748
documents with the records of watercraft and outboard motors in 11749
the clerk's office. If the clerk is satisfied that the applicant 11750
is the owner of the watercraft or outboard motor and that the 11751
application is in the proper form, the clerk shall issue a11752
physical certificate of title over the clerk's signature and 11753
sealed with the clerk's seal unless the applicant specifically 11754
requests the clerk not to issue a physical certificate of title 11755
and instead to issue an electronic certificate of title. However, 11756
if the evidence indicates and an investigation shows that one or 11757
more Ohio titles already exist for the watercraft or outboard 11758
motor, the chief may cause the redundant title or titles to be 11759
canceled.11760

       (C) In the case of the sale of a watercraft or outboard motor 11761
by a vendor to a general purchaser or user, the certificate of 11762
title shall be obtained in the name of the purchaser by the vendor 11763
upon application signed by the purchaser. In all other cases, the 11764
certificate shall be obtained by the purchaser. In all cases of 11765
transfer of watercraft or outboard motors, the application for 11766
certificate of title shall be filed within thirty days after the 11767
later of the date of purchase or assignment of ownership of the 11768
watercraft or outboard motor. If the application for certificate 11769
of title is not filed within thirty days after the later of the 11770
date of purchase or assignment of ownership of the watercraft or 11771
outboard motor, the clerk shall charge a late penalty fee of five 11772
dollars in addition to the fee prescribed by section 1548.10 of 11773
the Revised Code. The clerk shall retain the entire amount of each 11774
late penalty fee.11775

       (D) The clerk shall refuse to accept an application for 11776
certificate of title unless the applicant either tenders with the 11777
application payment of all taxes levied by or pursuant to Chapter 11778
5739. or 5741. of the Revised Code based on the applicant's county 11779
of residence less, in the case of a sale by a vendor, any discount 11780
to which the vendor is entitled under section 5739.12 of the 11781
Revised Code, or submits any of the following:11782

       (1) A receipt issued by the tax commissioner or a clerk of 11783
courts showing payment of the tax;11784

       (2) A copy of the unit certificate of exemption completed by 11785
the purchaser at the time of sale as provided in section 5739.03 11786
of the Revised Code;11787

       (3) An exemption certificate, in a form prescribed by the tax 11788
commissioner, that specifies why the purchase is not subject to 11789
the tax imposed by Chapter 5739. or 5741. of the Revised Code.11790

       Payment of the tax shall be in accordance with rules issued 11791
by the tax commissioner, and the clerk shall issue a receipt in 11792
the form prescribed by the tax commissioner to any applicant who 11793
tenders payment of the tax with the application for the11794
certificate of title.11795

       (E)(1) For receiving and disbursing the taxes paid to the 11796
clerk by a resident of the clerk's county, the clerk may retain a 11797
poundage fee of one and one one-hundredth per cent of the taxes 11798
collected, which shall be paid into the certificate of title 11799
administration fund created by section 325.33 of the Revised Code. 11800
The clerk shall not retain a poundage fee from payments of taxes 11801
by persons who do not reside in the clerk's county.11802

       (2) A clerk, however, may retain from the taxes paid to the11803
clerk an amount equal to the poundage fees associated with11804
certificates of title issued by other clerks of courts of common11805
pleas to applicants who reside in the first clerk's county. The11806
chief of the division of watercraft, in consultation with the tax11807
commissioner and the clerks of the courts of common pleas, shall11808
develop a report from the automated title processing system that11809
informs each clerk of the amount of the poundage fees that the11810
clerk is permitted to retain from those taxes because of11811
certificates of title issued by the clerks of other counties to11812
applicants who reside in the first clerk's county.11813

       (F) In the case of casual sales of watercraft or outboard 11814
motors that are subject to the tax imposed by Chapter 5739. or 11815
5741. of the Revised Code, the purchase price for the purpose of 11816
determining the tax shall be the purchase price on an affidavit 11817
executed and filed with the clerk by the vendor on a form to be 11818
prescribed by the chief, which shall be prima-facie evidence of 11819
the price for the determination of the tax. In addition to the 11820
information required by section 1548.08 of the Revised Code, each 11821
certificate of title shall contain in bold lettering the following 11822
notification and statements: "WARNING TO TRANSFEROR AND TRANSFEREE 11823
(SELLER AND BUYER). You are required by law to state the true 11824
selling price. A false statement is a violation of section 2921.13 11825
of the Revised Code and is punishable by six months imprisonment 11826
or a fine of up to one thousand dollars, or both. All transfers 11827
are audited by the department of taxation. The seller and buyer 11828
must provide any information requested by the department of 11829
taxation. The buyer may be assessed any additional tax found to be 11830
due."11831

        (G) Each county clerk of courts shall forward to the 11832
treasurer of state all sales and use tax collections resulting 11833
from sales of titled watercraft and outboard motors during a 11834
calendar week on or before the Friday following the close of that 11835
week. If, on any Friday, the offices of the clerk of courts or the 11836
state are not open for business, the tax shall be forwarded to the 11837
treasurer of state on or before the next day on which the offices 11838
are open. Every remittance of tax under this division shall be 11839
accompanied by a remittance report in such form as the tax 11840
commissioner prescribes. Upon receipt of a tax remittance and 11841
remittance report, the treasurer of state shall date stamp the 11842
report and forward it to the tax commissioner. If the tax due for 11843
any week is not remitted by a clerk of courts as required under 11844
this division, the clerk shall forfeit the poundage fees for the 11845
sales made during that week. The treasurer of state may require 11846
the clerks of courts to transmit tax collections and remittance 11847
reports electronically.11848

       (H) For purposes of a transfer of a certificate of title, if 11849
the clerk is satisfied that a secured party has discharged a lien 11850
but has not canceled the lien notation with a clerk, the clerk may 11851
cancel the lien notation on the automated title processing system 11852
and notify the clerk of the county of origin.11853

       (I) Every clerk shall have the capability to transact by 11854
electronic means all procedures and transactions relating to the 11855
issuance of watercraft or outboard motor certificates of title 11856
that are described in the Revised Code as being accomplished by 11857
electronic means.11858

       Sec. 1555.08.  (A) Subject to the limitations provided in11859
Section 15 of Article VIII, Ohio Constitution, the commissioners11860
of the sinking fund, upon certification by the director of the11861
Ohio coal development office of the amount of moneys or additional 11862
moneys needed in the coal research and development fund for the 11863
purpose of making grants or loans for allowable costs, or needed 11864
for capitalized interest, for funding reserves, and for paying 11865
costs and expenses incurred in connection with the issuance, 11866
carrying, securing, paying, redeeming, or retirement of the 11867
obligations or any obligations refunded thereby, including payment 11868
of costs and expenses relating to letters of credit, lines of 11869
credit, insurance, put agreements, standby purchase agreements, 11870
indexing, marketing, remarketing and administrative arrangements, 11871
interest swap or hedging agreements, and any other credit 11872
enhancement, liquidity, remarketing, renewal, or refunding11873
arrangements, all of which are authorized by this section, or11874
providing moneys for loan guarantees, shall issue obligations of11875
the state under this section in amounts authorized by the general11876
assembly; provided that such obligations may be issued to the11877
extent necessary to satisfy the covenants in contracts of11878
guarantee made under section 1555.05 of the Revised Code to issue11879
obligations to meet such guarantees, notwithstanding limitations11880
otherwise applicable to the issuance of obligations under this11881
section except the one-hundred-million-dollar limitation provided11882
in Section 15 of Article VIII, Ohio Constitution. The proceeds of 11883
such obligations, except for the portion to be deposited in the 11884
coal research and development bond service fund as may be provided 11885
in the bond proceedings, shall as provided in the bond proceedings 11886
be deposited in the coal research and development fund. The 11887
commissioners of the sinking fund may appoint trustees, paying 11888
agents, and transfer agents and may retain the services of 11889
financial advisors, accounting experts, and attorneys, and retain 11890
or contract for the services of marketing, remarketing, indexing, 11891
and administrative agents, other consultants, and independent 11892
contractors, including printing services, as are necessary in 11893
their judgment to carry out this section.11894

       (B) The full faith and credit of the state of Ohio is hereby 11895
pledged to obligations issued under this section. The right of the 11896
holders and owners to payment of bond service charges is limited 11897
to all or that portion of the moneys pledged thereto pursuant to 11898
the bond proceedings in accordance with this section, and each 11899
such obligation shall bear on its face a statement to that effect.11900

       (C) Obligations shall be authorized by resolution of the11901
commissioners of the sinking fund on request of the director of11902
the Ohio coal development office as provided in section 1555.02 of 11903
the Revised Code and the bond proceedings shall provide for the 11904
purpose thereof and the principal amount or amounts, and shall 11905
provide for or authorize the manner or agency for determining the 11906
principal maturity or maturities, not exceeding forty years from 11907
the date of issuance, the interest rate or rates or the maximum 11908
interest rate, the date of the obligations and the dates of 11909
payment of interest thereon, their denomination, and the11910
establishment within or without the state of a place or places of11911
payment of bond service charges. Sections 9.98 to 9.983 of the11912
Revised Code apply to obligations issued under this section. The 11913
purpose of such obligations may be stated in the bond proceedings 11914
in terms describing the general purpose or purposes to be served. 11915
The bond proceedings shall also provide, subject to the provisions 11916
of any other applicable bond proceedings, for the pledge of all, 11917
or such part as the commissioners of the sinking fund may 11918
determine, of the moneys credited to the coal research and 11919
development bond service fund to the payment of bond service 11920
charges, which pledges may be made either prior or subordinate to 11921
other expenses, claims, or payments and may be made to secure the 11922
obligations on a parity with obligations theretofore or thereafter 11923
issued, if and to the extent provided in the bond proceedings. The 11924
moneys so pledged and thereafter received by the state are 11925
immediately subject to the lien of such pledge without any 11926
physical delivery thereof or further act, and the lien of any such 11927
pledges is valid and binding against all parties having claims of 11928
any kind against the state or any governmental agency of the 11929
state, irrespective of whether such parties have notice thereof, 11930
and shall create a perfected security interest for all purposes of 11931
Chapter 1309. of the Revised Code, without the necessity for 11932
separation or delivery of funds or for the filing or recording of 11933
the bond proceedings by which such pledge is created or any 11934
certificate, statement or other document with respect thereto; and 11935
the pledge of such moneys is effective and the money therefrom and 11936
thereof may be applied to the purposes for which pledged without11937
necessity for any act of appropriation. Every pledge, and every11938
covenant and agreement made with respect thereto, made in the bond 11939
proceedings may therein be extended to the benefit of the owners 11940
and holders of obligations authorized by this section, and to any 11941
trustee therefor, for the further security of the payment of the 11942
bond service charges.11943

       (D) The bond proceedings may contain additional provisions as 11944
to:11945

       (1) The redemption of obligations prior to maturity at the11946
option of the commissioners of the sinking fund at such price or11947
prices and under such terms and conditions as are provided in the11948
bond proceedings;11949

       (2) Other terms of the obligations;11950

       (3) Limitations on the issuance of additional obligations;11951

       (4) The terms of any trust agreement or indenture securing11952
the obligations or under which the obligations may be issued;11953

       (5) The deposit, investment, and application of the coal11954
research and development bond service fund, and the safeguarding11955
of moneys on hand or on deposit, without regard to Chapter 131. or 11956
135. of the Revised Code, but subject to any special provisions of 11957
this chapter, with respect to particular moneys; provided, that 11958
any bank or trust company which acts as depository of any moneys 11959
in the fund may furnish such indemnifying bonds or may pledge such 11960
securities as required by the commissioners of the sinking fund;11961

       (6) Any other provision of the bond proceedings being binding 11962
upon the commissioners of the sinking fund, or such other body or 11963
person as may from time to time have the authority under law to 11964
take such actions as may be necessary to perform all or any part 11965
of the duty required by such provision;11966

       (7) Any provision which may be made in a trust agreement or 11967
indenture;11968

       (8) Any other or additional agreements with the holders of11969
the obligations, or the trustee therefor, relating to the11970
obligations or the security therefor, including the assignment of11971
mortgages or other security obtained or to be obtained for loans11972
under this chapter.11973

       (E) The obligations may have the great seal of the state or a 11974
facsimile thereof affixed thereto or printed thereon. The11975
obligations shall be signed by such members of the commissioners11976
of the sinking fund as are designated in the resolution11977
authorizing the obligations or bear the facsimile signatures of11978
such members. Any coupons attached to the obligations shall bear11979
the facsimile signature of the treasurer of state. Any obligations 11980
may be executed by the persons who, on the date of execution, are 11981
the commissioners although on the date of such bonds the persons 11982
were not the commissioners. Any coupons may be executed by the 11983
person who, on the date of execution, is the treasurer of state 11984
although on the date of such coupons the person was not the 11985
treasurer of state. In case any officer or commissioner whose 11986
signature or a facsimile of whose signature appears on any such 11987
obligations or any coupons ceases to be such officer or 11988
commissioner before delivery thereof, such signature or facsimile 11989
is nevertheless valid and sufficient for all purposes as if the 11990
individual had remained such officer or commissioner until such 11991
delivery; and in case the seal to be affixed to obligations has 11992
been changed after a facsimile of the seal has been imprinted on 11993
such obligations, such facsimile seal shall continue to be11994
sufficient as to such obligations and obligations issued in11995
substitution or exchange therefor.11996

       (F) All obligations except loan guarantees are negotiable11997
instruments and securities under Chapter 1308. of the Revised11998
Code, subject to the provisions of the bond proceedings as to11999
registration. The obligations may be issued in coupon or in12000
registered form, or both, as the commissioners of the sinking fund 12001
determine. Provision may be made for the registration of any 12002
obligations with coupons attached thereto as to principal alone or 12003
as to both principal and interest, their exchange for obligations 12004
so registered, and for the conversion or reconversion into 12005
obligations with coupons attached thereto of any obligations12006
registered as to both principal and interest, and for reasonable12007
charges for such registration, exchange, conversion, and12008
reconversion.12009

       (G) Obligations may be sold at public sale or at private12010
sale, as determined in the bond proceedings.12011

       (H) Pending preparation of definitive obligations, the12012
commissioners of the sinking fund may issue interim receipts or12013
certificates which shall be exchanged for such definitive12014
obligations.12015

       (I) In the discretion of the commissioners of the sinking12016
fund, obligations may be secured additionally by a trust agreement 12017
or indenture between the commissioners and a corporate trustee, 12018
which may be any trust company or bank having its principala12019
place of business within the state. Any such agreement or 12020
indenture may contain the resolution authorizing the issuance of 12021
the obligations, any provisions that may be contained in any bond 12022
proceedings, and other provisions that are customary or12023
appropriate in an agreement or indenture of such type, including,12024
but not limited to:12025

       (1) Maintenance of each pledge, trust agreement, indenture, 12026
or other instrument comprising part of the bond proceedings until 12027
the state has fully paid the bond service charges on the 12028
obligations secured thereby, or provision therefor has been made;12029

       (2) In the event of default in any payments required to be12030
made by the bond proceedings, or any other agreement of the12031
commissioners of the sinking fund made as a part of the contract12032
under which the obligations were issued, enforcement of such12033
payments or agreement by mandamus, the appointment of a receiver,12034
suit in equity, action at law, or any combination of the12035
foregoing;12036

       (3) The rights and remedies of the holders of obligations and 12037
of the trustee, and provisions for protecting and enforcing them, 12038
including limitations on rights of individual holders of12039
obligations;12040

       (4) The replacement of any obligations that become mutilated 12041
or are destroyed, lost, or stolen;12042

       (5) Such other provisions as the trustee and the12043
commissioners of the sinking fund agree upon, including12044
limitations, conditions, or qualifications relating to any of the12045
foregoing.12046

       (J) Any holder of obligations or a trustee under the bond12047
proceedings, except to the extent that the holder's rights are 12048
restricted by the bond proceedings, may by any suitable form of 12049
legal proceedings protect and enforce any rights under the laws of 12050
this state or granted by such bond proceedings. Such rights 12051
include the right to compel the performance of all duties of the12052
commissioners of the sinking fund, the Ohio air quality 12053
development authority, or the Ohio coal development office 12054
required by this chapter and Chapter 1551. of the Revised Code or 12055
the bond proceedings; to enjoin unlawful activities; and in the 12056
event of default with respect to the payment of any bond service 12057
charges on any obligations or in the performance of any covenant 12058
or agreement on the part of the commissioners, the authority, or 12059
the office in the bond proceedings, to apply to a court having 12060
jurisdiction of the cause to appoint a receiver to receive and 12061
administer the moneys pledged, other than those in the custody of 12062
the treasurer of state, that are pledged to the payment of the 12063
bond service charges on such obligations or that are the subject 12064
of the covenant or agreement, with full power to pay, and to 12065
provide for payment of bond service charges on, such obligations, 12066
and with such powers, subject to the direction of the court, as 12067
are accorded receivers in general equity cases, excluding any 12068
power to pledge additional revenues or receipts or other income or12069
moneys of the commissioners of the sinking fund or the state or12070
governmental agencies of the state to the payment of such12071
principal and interest and excluding the power to take possession12072
of, mortgage, or cause the sale or otherwise dispose of any12073
project.12074

       Each duty of the commissioners of the sinking fund and their 12075
employees, and of each governmental agency and its officers, 12076
members, or employees, undertaken pursuant to the bond proceedings 12077
or any grant, loan, or loan guarantee agreement made under 12078
authority of this chapter, and in every agreement by or with the 12079
commissioners, is hereby established as a duty of the12080
commissioners, and of each such officer, member, or employee12081
having authority to perform such duty, specifically enjoined by12082
the law resulting from an office, trust, or station within the12083
meaning of section 2731.01 of the Revised Code.12084

       The persons who are at the time the commissioners of the12085
sinking fund, or their employees, are not liable in their personal 12086
capacities on any obligations issued by the commissioners or any 12087
agreements of or with the commissioners.12088

       (K) Obligations issued under this section are lawful12089
investments for banks, societies for savings, savings and loan12090
associations, deposit guarantee associations, trust companies,12091
trustees, fiduciaries, insurance companies, including domestic for 12092
life and domestic not for life, trustees or other officers having 12093
charge of sinking and bond retirement or other special funds of 12094
political subdivisions and taxing districts of this state, the 12095
commissioners of the sinking fund of the state, the administrator 12096
of workers' compensation, the state teachers retirement system, 12097
the public employees retirement system, the school employees 12098
retirement system, and the Ohio police and fire pension fund, 12099
notwithstanding any other provisions of the Revised Code or rules 12100
adopted pursuant thereto by any governmental agency of the state 12101
with respect to investments by them, and are also acceptable as 12102
security for the deposit of public moneys.12103

       (L) If the law or the instrument creating a trust pursuant to 12104
division (I) of this section expressly permits investment in12105
direct obligations of the United States or an agency of the United 12106
States, unless expressly prohibited by the instrument, such moneys 12107
also may be invested in no-front-end-load money market mutual 12108
funds consisting exclusively of obligations of the United States 12109
or an agency of the United States and in repurchase agreements, 12110
including those issued by the fiduciary itself, secured by 12111
obligations of the United States or an agency of the United12112
States; and in collective investment funds established in 12113
accordance with section 1111.14 of the Revised Code and consisting 12114
exclusively of any such securities, notwithstanding division 12115
(A)(1)(c) of that section. The income from such investments shall 12116
be credited to such funds as the commissioners of the sinking fund 12117
determine, and such investments may be sold at such times as the 12118
commissioners determine or authorize.12119

       (M) Provision may be made in the applicable bond proceedings 12120
for the establishment of separate accounts in the bond service 12121
fund and for the application of such accounts only to the 12122
specified bond service charges on obligations pertinent to such 12123
accounts and bond service fund and for other accounts therein 12124
within the general purposes of such fund. Moneys to the credit of 12125
the bond service fund shall be disbursed on the order of the 12126
treasurer of state; provided, that no such order is required for 12127
the payment from the bond service fund when due of bond service 12128
charges on obligations.12129

       (N) The commissioners of the sinking fund may pledge all, or 12130
such portion as they determine, of the receipts of the bond12131
service fund to the payment of bond service charges on obligations 12132
issued under this section, and for the establishment and 12133
maintenance of any reserves, as provided in the bond proceedings, 12134
and make other provisions therein with respect to pledged receipts 12135
as authorized by this chapter, which provisions control 12136
notwithstanding any other provisions of law pertaining thereto.12137

       (O) The commissioners of the sinking fund may covenant in the 12138
bond proceedings, and any such covenants control notwithstanding 12139
any other provision of law, that the state and applicable officers 12140
and governmental agencies of the state, including the general 12141
assembly, so long as any obligations are outstanding, shall:12142

       (1) Maintain statutory authority for and cause to be levied 12143
and collected taxes so that the pledged receipts are sufficient in 12144
amount to meet bond service charges, and the establishment and 12145
maintenance of any reserves and other requirements provided for in 12146
the bond proceedings, and, as necessary, to meet covenants 12147
contained in any loan guarantees made under this chapter;12148

       (2) Take or permit no action, by statute or otherwise, that 12149
would impair the exemption from federal income taxation of the 12150
interest on the obligations.12151

       (P) All moneys received by or on account of the state and 12152
required by the applicable bond proceedings, consistent with this 12153
section, to be deposited, transferred, or credited to the coal 12154
research and development bond service fund, and all other moneys 12155
transferred or allocated to or received for the purposes of the 12156
fund, shall be credited to such fund and to any separate accounts 12157
therein, subject to applicable provisions of the bond proceedings, 12158
but without necessity for any act of appropriation. During the 12159
period beginning with the date of the first issuance of 12160
obligations and continuing during such time as any such12161
obligations are outstanding, and so long as moneys in the bond12162
service fund are insufficient to pay all bond service charges on12163
such obligations becoming due in each year, a sufficient amount of 12164
moneys of the state are committed and shall be paid to the bond12165
service fund in each year for the purpose of paying the bond12166
service charges becoming due in that year without necessity for12167
further act of appropriation for such purpose. The bond service12168
fund is a trust fund and is hereby pledged to the payment of bond12169
service charges to the extent provided in the applicable bond12170
proceedings, and payment thereof from such fund shall be made or12171
provided for by the treasurer of state in accordance with such12172
bond proceedings without necessity for any act of appropriation.12173
All investment earnings of the fund shall be credited to the fund.12174

       (Q) For purposes of establishing the limitations contained in 12175
Section 15 of Article VIII, Ohio Constitution, the "principal12176
amount" refers to the aggregate of the offering price of the bonds 12177
or notes. "Principal amount" does not refer to the aggregate value 12178
at maturity or redemption of the bonds or notes.12179

       (R) This section applies only with respect to obligations 12180
issued and delivered prior to September 30, 2000.12181

       Sec. 1557.03.  (A)(1) The commissioners of the sinking fund 12182
are authorized to issue and sell, as provided in this section and 12183
in amounts from time to time authorized by the general assembly, 12184
general obligations of this state for the purpose of financing or 12185
assisting in the financing of the costs of projects. The full 12186
faith and credit, revenues, and taxing power of the state are and 12187
shall be pledged to the timely payment of debt charges on 12188
outstanding obligations, all in accordance with Section 2l of 12189
Article VIII, Ohio Constitution, and Chapter 1557. of the Revised12190
Code, excluding from that pledge fees, excises, or taxes relating 12191
to the registration, operation, or use of vehicles on the public 12192
highways, or to fuels used for propelling those vehicles, and so 12193
long as such obligations are outstanding there shall be levied and 12194
collected excises and taxes, excluding those excepted above, in 12195
amount sufficient to pay the debt charges on such obligations and12196
financing costs relating to credit enhancement facilities.12197

       (2) For meetings of the commissioners of the sinking fund12198
pertaining to the obligations under this chapter, each of the12199
commissioners may designate an employee or officer of that12200
commissioner's office to attend meetings when that commissioner is 12201
absent for any reason, and such designee, when present, shall be 12202
counted in determining whether a quorum is present at any meeting 12203
and may vote and participate in all proceedings and actions of the 12204
commissioners at that meeting pertaining to the obligations, 12205
provided, that such designee shall not execute or cause a 12206
facsimile of the designee's signature to be placed on any12207
obligation, or execute any trust agreement or indenture of the12208
commissioners. Such designation shall be in writing, executed by12209
the designating member, and shall be filed with the secretary of12210
the commissioners and such designation may be changed from time to 12211
time by a similar written designation.12212

       (B) The total principal amount of obligations outstanding at 12213
any one time shall not exceed two hundred million dollars, and not 12214
more than fifty million dollars in principal amount of obligations 12215
to pay costs of projects may be issued in any fiscal year, all 12216
determined as provided in Chapter 1557. of the Revised Code.12217

       (C) The state may participate by grants or contributions in 12218
financing projects under this section made by local government12219
entities. Of the proceeds of the first two hundred million dollars 12220
principal amount in obligations issued under this section to pay 12221
costs of projects, at least twenty per cent shall be allocated in 12222
accordance with section 1557.06 of the Revised Code to grants or 12223
contributions to local government entities. The director of budget 12224
and management shall establish and maintain records in such manner 12225
as to show that the proceeds credited to the Ohio parks and 12226
natural resources fund have been expended for the purposes and in 12227
accordance with the limitations set forth herein.12228

       (D) Each issue of obligations shall be authorized by12229
resolution of the commissioners of the sinking fund. The bond12230
proceedings shall provide for the principal amount or maximum12231
principal amount of obligations of an issue, and shall provide for 12232
or authorize the manner or agency for determining the principal 12233
maturity or maturities, not exceeding the earlier of twenty-five 12234
years from the date the debt represented by the particular 12235
obligations was originally contracted, the interest rate or rates, 12236
the date of and the dates of payment of interest on the 12237
obligations, their denominations, and the establishment within or 12238
without the state of a place or places of payment of debt charges. 12239
Sections 9.96 and 9.98 to 9.983 of the Revised Code are applicable 12240
to the obligations. The purpose of the obligations may be stated 12241
in the bond proceedings as "financing or assisting in the 12242
financing of projects as provided in Section 2l of Article VIII, 12243
Ohio Constitution."12244

       (E) The proceeds of the obligations, except for any portion 12245
to be deposited in special funds, or in escrow funds for the 12246
purpose of refunding outstanding obligations, all as may be12247
provided in the bond proceedings, shall be deposited in the Ohio12248
parks and natural resources fund established by section 1557.02 of 12249
the Revised Code.12250

       (F) The commissioners of the sinking fund may appoint paying 12251
agents, bond registrars, securities depositories, and transfer 12252
agents, and may retain the services of financial advisers and 12253
accounting experts, and retain or contract for the services of 12254
marketing, remarketing, indexing, and administrative agents, other 12255
consultants, and independent contractors, including printing 12256
services, as are necessary in the judgment of the commissioners to 12257
carry out this chapter of the Revised Code. Financing costs are 12258
payable, as provided in the bond proceedings, from the proceeds of 12259
the obligations, from special funds, or from other moneys 12260
available for the purpose.12261

       (G) The bond proceedings, including any trust agreement, may 12262
contain additional provisions customary or appropriate to the12263
financing or to the obligations or to particular obligations,12264
including, but not limited to:12265

       (1) The redemption of obligations prior to maturity at the12266
option of the state or of the holder or upon the occurrence of12267
certain conditions at such price or prices and under such terms12268
and conditions as are provided in the bond proceedings;12269

       (2) The form of and other terms of the obligations;12270

       (3) The establishment, deposit, investment, and application 12271
of special funds, and the safeguarding of moneys on hand or on 12272
deposit, without regard to Chapter 131. or 135. of the Revised 12273
Code, provided that any bank or trust company that acts as a 12274
depository of any moneys in special funds may furnish such12275
indemnifying bonds or may pledge such securities as required by12276
the commissioners of the sinking fund;12277

       (4) Any or every provision of the bond proceedings binding12278
upon the commissioners of the sinking fund and such state agency12279
or local government entities, officer, board, commission,12280
authority, agency, department, or other person or body as may from 12281
time to time have the authority under law to take such actions as 12282
may be necessary to perform all or any part of the duty required 12283
by such provision;12284

       (5) The maintenance of each pledge, any trust agreement, or 12285
other instrument composing part of the bond proceedings until the 12286
state has fully paid or provided for the payment of the debt12287
charges on the obligations or met other stated conditions;12288

       (6) In the event of default in any payments required to be12289
made by the bond proceedings, or any other agreement of the12290
commissioners of the sinking fund made as part of a contract under 12291
which the obligations were issued or secured, the enforcement of 12292
such payments or agreements by mandamus, suit in equity, action at 12293
law, or any combination of the foregoing;12294

       (7) The rights and remedies of the holders of obligations and 12295
of the trustee under any trust agreement, and provisions for12296
protecting and enforcing them, including limitations on rights of12297
individual holders of obligations;12298

       (8) The replacement of any obligations that become mutilated 12299
or are destroyed, lost, or stolen;12300

       (9) Provision for the funding, refunding, or advance12301
refunding or other provision for payment of obligations which will 12302
then no longer be or be deemed to be outstanding for purposes of 12303
this section or of the bond proceedings;12304

       (10) Any provision that may be made in bond proceedings or a 12305
trust agreement, including provision for amendment of the bond 12306
proceedings;12307

       (11) Such other provisions as the commissioners of the12308
sinking fund determine, including limitations, conditions, or12309
qualifications relating to any of the foregoing;12310

       (12) Any other or additional agreements with the holders of 12311
the obligations relating to the obligations or the security for 12312
the obligations.12313

       (H) The great seal of the state or a facsimile of that seal 12314
may be affixed to or printed on the obligations. The obligations 12315
shall be signed by or bear the facsimile signatures of two or more 12316
of the commissioners of the sinking fund as provided in the bond 12317
proceedings. Any obligations may be signed by the person who, on 12318
the date of execution, is the authorized signer although on the 12319
date of such obligations such person was not a commissioner. In 12320
case the individual whose signature or a facsimile of whose 12321
signature appears on any obligation ceases to be a commissioner 12322
before delivery of the obligation, such signature or facsimile is 12323
nevertheless valid and sufficient for all purposes as if the 12324
individual had remained the member until such delivery, and in 12325
case the seal to be affixed to or printed on obligations has been 12326
changed after the seal has been affixed to or a facsimile of the 12327
seal has been printed on the obligations, that seal or facsimile 12328
seal shall continue to be sufficient as to those obligations and 12329
obligations issued in substitution or exchange therefor.12330

       (I) Obligations may be issued in coupon or in fully12331
registered form, or both, as the commissioners of the sinking fund 12332
determine. Provision may be made for the registration of any 12333
obligations with coupons attached as to principal alone or as to 12334
both principal and interest, their exchange for obligations so12335
registered, and for the conversion or reconversion into12336
obligations with coupons attached of any obligations registered as 12337
to both principal and interest, and for reasonable charges for12338
such registration, exchange, conversion, and reconversion. Pending 12339
preparation of definitive obligations, the commissioners of the 12340
sinking fund may issue interim receipts or certificates which 12341
shall be exchanged for such definitive obligations.12342

       (J) Obligations may be sold at public sale or at private12343
sale, and at such price at, above, or below par, as determined by12344
the commissioners of the sinking fund in the bond proceedings.12345

       (K) In the discretion of the commissioners of the sinking12346
fund, obligations may be secured additionally by a trust agreement 12347
between the state and a corporate trustee which may be any trust 12348
company or bank having its principala place of business within 12349
the state. Any trust agreement may contain the resolution12350
authorizing the issuance of the obligations, any provisions that12351
may be contained in the bond proceedings, and other provisions12352
that are customary or appropriate in an agreement of the type.12353

       (L) Except to the extent that their rights are restricted by 12354
the bond proceedings, any holder of obligations, or a trustee12355
under the bond proceedings, may by any suitable form of legal12356
proceedings protect and enforce any rights under the laws of this12357
state or granted by the bond proceedings. Such rights include the 12358
right to compel the performance of all duties of the commissioners 12359
and the state. Each duty of the commissioners and employees of the 12360
commissioners, and of each state agency and local public entity 12361
and its officers, members, or employees, undertaken pursuant to 12362
the bond proceedings, is hereby established as a duty of the 12363
commissioners, and of each such agency, local government entity, 12364
officer, member, or employee having authority to perform such 12365
duty, specifically enjoined by the law and resulting from an 12366
office, trust, or station within the meaning of section 2731.01 of 12367
the Revised Code. The persons who are at the time the 12368
commissioners, or employees of the commissioners, are not liable 12369
in their personal capacities on any obligations or any agreements 12370
of or with the commissioners relating to obligations or under the 12371
bond proceedings.12372

       (M) Obligations are lawful investments for banks, societies 12373
for savings, savings and loan associations, deposit guarantee 12374
associations, trust companies, trustees, fiduciaries, insurance 12375
companies, including domestic for life and domestic not for life, 12376
trustees or other officers having charge of sinking and bond 12377
retirement or other special funds of political subdivisions and 12378
taxing districts of this state, the commissioners of the sinking 12379
fund, the administrator of workers' compensation, the state 12380
teachers retirement system, the public employees retirement 12381
system, the school employees retirement system, and the Ohio 12382
police and fire pension fund, notwithstanding any other provisions 12383
of the Revised Code or rules adopted pursuant thereto by any state 12384
agency with respect to investments by them, and are also 12385
acceptable as security for the deposit of public moneys.12386

       (N) Unless otherwise provided in any applicable bond12387
proceedings, moneys to the credit of or in the special funds12388
established by or pursuant to this section may be invested by or12389
on behalf of the commissioners of the sinking fund only in notes,12390
bonds, or other direct obligations of the United States or of any12391
agency or instrumentality of the United States, in obligations of 12392
this state or any political subdivision of this state, in 12393
certificates of deposit of any national bank located in this state 12394
and any bank, as defined in section 1101.01 of the Revised Code, 12395
subject to inspection by the superintendent of financial12396
institutions, in the Ohio subdivision's fund established pursuant 12397
to section 135.45 of the Revised Code, in no-front-end-load money 12398
market mutual funds consisting exclusively of direct obligations 12399
of the United States or of an agency or instrumentality of the 12400
United States, and in repurchase agreements, including those 12401
issued by any fiduciary, secured by direct obligations of the 12402
United States or an agency or instrumentality of the United 12403
States, and in collective investment funds established in12404
accordance with section 1111.14 of the Revised Code and consisting 12405
exclusively of direct obligations of the United States or of an 12406
agency or instrumentality of the United States, notwithstanding12407
division (A)(1)(c) of that section. The income from investments12408
shall be credited to such special funds or otherwise as the12409
commissioners of the sinking fund determine in the bond12410
proceedings, and the investments may be sold or exchanged at such12411
times as the commissioners determine or authorize.12412

       (O) Unless otherwise provided in any applicable bond12413
proceedings, moneys to the credit of or in a special fund shall be 12414
disbursed on the order of the commissioners of the sinking fund, 12415
provided that no such order is required for the payment from the 12416
bond service fund or other special fund when due of debt charges 12417
or required payments under credit enhancement facilities.12418

       (P) The commissioners of the sinking fund may covenant in the 12419
bond proceedings, and any such covenants shall be controlling12420
notwithstanding any other provision of law, that the state and the 12421
applicable officers and agencies of the state, including the12422
general assembly, so long as any obligations are outstanding in 12423
accordance with their terms, shall maintain statutory authority 12424
for and cause to be charged and collected taxes, excises, and 12425
other receipts of the state so that the receipts to the bond 12426
service fund shall be sufficient in amounts to meet debt charges 12427
and for the establishment and maintenance of any reserves and 12428
other requirements, including payment of the costs of credit12429
enhancement facilities, provided for in the bond proceedings.12430

       (Q) The obligations, the transfer thereof, and the interest, 12431
other accreted amounts, and other income therefrom, including any 12432
profit made on the sale thereof, at all times shall be free from 12433
taxation, direct or indirect, within the state.12434

       (R) This section applies only with respect to obligations 12435
issued and delivered before September 30, 2000.12436

       Sec. 1713.031. The Ohio board of regents shall review an 12437
application for a certificate of authorization from a school 12438
described in division (E) of section 3332.01 of the Revised Code 12439
within twenty-two weeks.12440

       Sec. 1901.34.  (A) Except as provided in divisions (B) and12441
(D) of this section, the village solicitor, city director of law,12442
or similar chief legal officer for each municipal corporation12443
within the territory of a municipal court shall prosecute all12444
cases brought before the municipal court for criminal offenses12445
occurring within the municipal corporation for which that person12446
is the solicitor, director of law, or similar chief legal officer.12447
Except as provided in division (B) of this section, the village12448
solicitor, city director of law, or similar chief legal officer of12449
the municipal corporation in which a municipal court is located12450
shall prosecute all criminal cases brought before the court12451
arising in the unincorporated areas within the territory of the12452
municipal court.12453

       (B) The Auglaize county, Brown county, Clermont county, 12454
Hocking county, Holmes county, Jackson county, Morrow county, 12455
Ottawa county, and Portage county prosecuting attorneys shall 12456
prosecute in municipal court all violations of state law arising 12457
in their respective counties. The Carroll county, Crawford county, 12458
Hamilton county, Madison county, and Wayne county prosecuting 12459
attorneys and beginning January 1, 2008, the Erie county 12460
prosecuting attorney shall prosecute all violations of state law12461
arising within the unincorporated areas of their respective12462
counties. The Columbiana county prosecuting attorney shall12463
prosecute in the Columbiana county municipal court all violations12464
of state law arising in the county, except for violations arising12465
in the municipal corporation of East Liverpool, Liverpool12466
township, or St. Clair township. The Darke county prosecuting 12467
attorney shall prosecute in the Darke county municipal court all 12468
violations of state law arising in the county, except for 12469
violations of state law arising in the municipal corporation of 12470
Greenville and violations of state law arising in the village of 12471
Versailles. The Greene county prosecuting attorney may, with the 12472
concurrence of the Greene county board of county commissioners, 12473
prosecute in the Fairborn municipal courtmay provide for the 12474
prosecution of all violations of state law arising within the 12475
unincorporated areas of Bath and Beavercreek townships in Greene 12476
county and prosecute in the Xenia municipal court all violations 12477
of state law arising within the unincorporated areas of 12478
Ceasarcreek, Cedarville, Jefferson, Miami, New Jasper, Ross, 12479
Silvercreek, Spring Valley, Sugarcreek, and Xenia townships12480
territorial jurisdiction of any municipal court located in Greene 12481
county.12482

       The prosecuting attorney of any county given the duty of12483
prosecuting in municipal court violations of state law shall12484
receive no additional compensation for assuming these additional12485
duties, except that the prosecuting attorney of Hamilton, Portage,12486
and Wayne counties shall receive compensation at the rate of four12487
thousand eight hundred dollars per year, and the prosecuting12488
attorney of Auglaize county shall receive compensation at the rate12489
of one thousand eight hundred dollars per year, each payable from12490
the county treasury of the respective counties in semimonthly12491
installments.12492

       (C) The village solicitor, city director of law, or similar12493
chief legal officer shall perform the same duties, insofar as they12494
are applicable to the village solicitor, city director of law, or12495
similar chief legal officer, as are required of the prosecuting12496
attorney of the county. The village solicitor, city director of12497
law, similar chief legal officer or any assistants who may be12498
appointed shall receive for such services additional compensation12499
to be paid from the treasury of the county as the board of county12500
commissioners prescribes.12501

       (D) The(1) Subject to division (D)(2) of this section, the12502
prosecuting attorney of any county, other than Auglaize, Brown, 12503
Clermont, Hocking, Holmes, Jackson, Morrow, Ottawa, or Portage12504
county, may enter into an agreement with any municipal corporation12505
in the county in which the prosecuting attorney serves pursuant to12506
which the prosecuting attorney prosecutes all criminal cases12507
brought before the municipal court that has territorial12508
jurisdiction over that municipal corporation for criminal offenses12509
occurring within the municipal corporation. The prosecuting12510
attorney of Auglaize, Brown, Clermont, Hocking, Holmes, Jackson,12511
Morrow, Ottawa, or Portage county may enter into an agreement with 12512
any municipal corporation in the county in which the prosecuting12513
attorney serves pursuant to which the respective prosecuting12514
attorney prosecutes all cases brought before the Auglaize county,12515
Brown county, Clermont county, Hocking county, Holmes county, 12516
Jackson county, Morrow county, Ottawa county, or Portage county 12517
municipal court for violations of the ordinances of the municipal12518
corporation or for criminal offenses other than violations of12519
state law occurring within the municipal corporation. For12520
prosecuting these cases, the prosecuting attorney and the12521
municipal corporation may agree upon a fee to be paid by the12522
municipal corporation, which fee shall be paid into the county12523
treasury, to be used to cover expenses of the office of the12524
prosecuting attorney.12525

       (2) Any agreement entered into by the Greene county 12526
prosecuting attorney under division (D)(1) of this section is 12527
subject to the authority under division (B) of this section of the 12528
Greene county board of county commissioners to provide for the 12529
prosecution of violations of state law in municipal courts located 12530
in Greene county.12531

       Sec. 2151.362. (A)(1) In the manner prescribed by division 12532
(C)(1) or (2) of section 3313.64 of the Revised Code, as 12533
applicable, the court, at the time of making any order that 12534
removes a child from the child's own home or that vests legal or 12535
permanent custody of the child in a person other than the child's 12536
parent or a government agency, shall determine the school district 12537
that is to bear the cost of educating the child. The court shall 12538
make the determination a part of the order that provides for the 12539
child's placement or commitment. That school district shall bear 12540
the cost of educating the child unless and until the court 12541
modifies its orderdepartment of education determines that a 12542
different district shall be responsible for bearing that cost12543
pursuant to division (A)(2) of this section. The court's order 12544
shall state that the determination of which school district is 12545
responsible to bear the cost of educating the child is subject to 12546
re-determination by the department pursuant to that division.12547

        (2) If, while the child is in the custody of a person other 12548
than the child's parent or a government agency, the department of 12549
education notifies the courtdetermines that the place of 12550
residence of the child's parent has changed since the court issued 12551
its initial order, the courtdepartment may modify its order to12552
name a different school district to bear the cost of educating the 12553
child. The department may submit the notice to the court upon 12554
receipt,shall make this new determination, and any future 12555
determinations, based on evidence received from the school 12556
district initially orderedcurrently responsible to bear the cost 12557
of educating the child, of evidence acceptable to the department. 12558
If the department finds that the evidence demonstrates to its 12559
satisfaction that the residence of the child's parent has changed 12560
since the court issued its initial order. In the notice to the 12561
court, the department shall recommend to the court whether a 12562
different district should be ordered to bear the cost of educating 12563
the child and, if so, which district should be so ordered. The12564
under division (A)(1) of this section, or since the department 12565
last made a determination under division (A)(2) of this section, 12566
the department shall recommend to the courtname the district in 12567
which the child's parent currently resides or, if the parent's 12568
residence is not known, the district in which the parent's last 12569
known residence is located. If the department cannot determine any 12570
Ohio district in which the parent currently resides or has 12571
resided, the school district designated in the initial court order 12572
under division (A)(1) of this section, or in the most recent 12573
determination made by the department under division (A)(2) of this 12574
section, shall continue to bear the cost of educating the child.12575

       The court may consider the content of a notice by the 12576
department of education under division (A)(2) of this section as 12577
conclusive evidence as to which school district should bear the 12578
cost of educating the child and may amend its order accordingly.12579

       (B) Whenever a child is placed in a detention facility12580
established under section 2152.41 of the Revised Code or a12581
juvenile facility established under section 2151.65 of the Revised12582
Code, the child's school district as determined by the court or 12583
the department, in the same manner as prescribed in division (A) 12584
of this section, shall pay the cost of educating the child based 12585
on the per capita cost of the educational facility within the 12586
detention home or juvenile facility.12587

       (C) Whenever a child is placed by the court in a private12588
institution, school, or residential treatment center or any other12589
private facility, the state shall pay to the court a subsidy to12590
help defray the expense of educating the child in an amount equal12591
to the product of the daily per capita educational cost of the12592
private facility, as determined pursuant to this section, and the12593
number of days the child resides at the private facility, provided12594
that the subsidy shall not exceed twenty-five hundred dollars per12595
year per child. The daily per capita educational cost of a private 12596
facility shall be determined by dividing the actual program cost12597
of the private facility or twenty-five hundred dollars, whichever 12598
is less, by three hundred sixty-five days or by three hundred 12599
sixty-six days for years that include February twenty-ninth. The12600
state shall pay seventy-five per cent of the total subsidy for 12601
each year quarterly to the court. The state may adjust the 12602
remaining twenty-five per cent of the total subsidy to be paid to 12603
the court for each year to an amount that is less than twenty-five 12604
per cent of the total subsidy for that year based upon the12605
availability of funds appropriated to the department of education 12606
for the purpose of subsidizing courts that place a child in a 12607
private institution, school, or residential treatment center or 12608
any other private facility and shall pay that adjusted amount to 12609
the court at the end of the year.12610

       Sec. 2913.40.  (A) As used in this section:12611

       (1) "Statement or representation" means any oral, written,12612
electronic, electronic impulse, or magnetic communication that is12613
used to identify an item of goods or a service for which12614
reimbursement may be made under the medical assistance program or12615
that states income and expense and is or may be used to determine12616
a rate of reimbursement under the medical assistance program.12617

       (2) "Medical assistance program" means the program12618
established by the department of job and family services to12619
provide medical assistance under section 5111.01 of the Revised12620
Code and the medicaid program of Title XIX of the "Social Security12621
Act," 49 Stat. 620 (1935), 42 U.S.C. 301, as amended.12622

       (3) "Provider" means any person who has signed a provider12623
agreement with the department of job and family services to12624
provide goods or services pursuant to the medical assistance12625
program or any person who has signed an agreement with a party to12626
such a provider agreement under which the person agrees to provide12627
goods or services that are reimbursable under the medical12628
assistance program.12629

       (4) "Provider agreement" means an oral or written agreement12630
between the department of job and family services and a person in12631
which the person agrees to provide goods or services under the12632
medical assistance program.12633

       (5) "Recipient" means any individual who receives goods or12634
services from a provider under the medical assistance program.12635

       (6) "Records" means any medical, professional, financial, or12636
business records relating to the treatment or care of any12637
recipient, to goods or services provided to any recipient, or to12638
rates paid for goods or services provided to any recipient and any12639
records that are required by the rules of the director of job and12640
family services to be kept for the medical assistance program.12641

       (B) No person shall knowingly make or cause to be made a12642
false or misleading statement or representation for use in12643
obtaining reimbursement from the medical assistance program.12644

       (C) No person, with purpose to commit fraud or knowing that12645
the person is facilitating a fraud, shall do either of the12646
following:12647

       (1) Contrary to the terms of the person's provider agreement,12648
charge, solicit, accept, or receive for goods or services that the12649
person provides under the medical assistance program any property,12650
money, or other consideration in addition to the amount of12651
reimbursement under the medical assistance program and the 12652
person's provider agreement for the goods or services and any 12653
deductibles or co-paymentscost-sharing expenses authorized by 12654
section 5111.0112 of the Revised Code or rules adopted pursuant to 12655
section 5111.01, 5111.011, or 5111.02 of the Revised Code.12656

       (2) Solicit, offer, or receive any remuneration, other than12657
any deductibles or co-paymentscost-sharing expenses authorized by 12658
section 5111.0112 of the Revised Code or rules adopted under12659
section 5111.01, 5111.011, or 5111.02 of the Revised Code, in cash 12660
or in kind, including, but not limited to, a kickback or rebate, 12661
in connection with the furnishing of goods or services for which 12662
whole or partial reimbursement is or may be made under the medical 12663
assistance program.12664

       (D) No person, having submitted a claim for or provided goods 12665
or services under the medical assistance program, shall do either 12666
of the following for a period of at least six years after a12667
reimbursement pursuant to that claim, or a reimbursement for those12668
goods or services, is received under the medical assistance12669
program:12670

       (1) Knowingly alter, falsify, destroy, conceal, or remove any 12671
records that are necessary to fully disclose the nature of all12672
goods or services for which the claim was submitted, or for which12673
reimbursement was received, by the person;12674

       (2) Knowingly alter, falsify, destroy, conceal, or remove any 12675
records that are necessary to disclose fully all income and12676
expenditures upon which rates of reimbursements were based for the12677
person.12678

       (E) Whoever violates this section is guilty of medicaid12679
fraud. Except as otherwise provided in this division, medicaid12680
fraud is a misdemeanor of the first degree. If the value of12681
property, services, or funds obtained in violation of this section12682
is five hundred dollars or more and is less than five thousand12683
dollars, medicaid fraud is a felony of the fifth degree. If the12684
value of property, services, or funds obtained in violation of12685
this section is five thousand dollars or more and is less than one12686
hundred thousand dollars, medicaid fraud is a felony of the fourth12687
degree. If the value of the property, services, or funds obtained12688
in violation of this section is one hundred thousand dollars or12689
more, medicaid fraud is a felony of the third degree.12690

       (F) Upon application of the governmental agency, office, or12691
other entity that conducted the investigation and prosecution in a12692
case under this section, the court shall order any person who is12693
convicted of a violation of this section for receiving any12694
reimbursement for furnishing goods or services under the medical12695
assistance program to which the person is not entitled to pay to12696
the applicant its cost of investigating and prosecuting the case. 12697
The costs of investigation and prosecution that a defendant is12698
ordered to pay pursuant to this division shall be in addition to12699
any other penalties for the receipt of that reimbursement that are12700
provided in this section, section 5111.03 of the Revised Code, or12701
any other provision of law.12702

       (G) The provisions of this section are not intended to be12703
exclusive remedies and do not preclude the use of any other12704
criminal or civil remedy for any act that is in violation of this12705
section.12706

       Sec. 2921.42.  (A) No public official shall knowingly do any 12707
of the following:12708

       (1) Authorize, or employ the authority or influence of his12709
the public official's office to secure authorization of any public 12710
contract in which hethe public official, a member of histhe 12711
public official's family, or any of histhe public official's12712
business associates has an interest;12713

       (2) Authorize, or employ the authority or influence of his12714
the public official's office to secure the investment of public 12715
funds in any share, bond, mortgage, or other security, with 12716
respect to which hethe public official, a member of histhe 12717
public official's family, or any of histhe public official's12718
business associates either has an interest, is an underwriter, or 12719
receives any brokerage, origination, or servicing fees;12720

       (3) During histhe public official's term of office or within12721
one year thereafter, occupy any position of profit in the 12722
prosecution of a public contract authorized by himthe public 12723
official or by a legislative body, commission, or board of which 12724
hethe public official was a member at the time of authorization, 12725
unless the contract was let by competitive bidding to the lowest 12726
and best bidder;12727

       (4) Have an interest in the profits or benefits of a public 12728
contract entered into by or for the use of the political12729
subdivision or governmental agency or instrumentality with which12730
hethe public official is connected;12731

       (5) Have an interest in the profits or benefits of a public 12732
contract that is not let by competitive bidding if required by law 12733
and that involves more than one hundred fifty dollars.12734

       (B) In the absence of bribery or a purpose to defraud, a12735
public official, member of hisa public official's family, or any 12736
of hisa public official's business associates shall not be 12737
considered as having an interest in a public contract or the 12738
investment of public funds, if all of the following apply:12739

       (1) The interest of that person is limited to owning or12740
controlling shares of the corporation, or being a creditor of the12741
corporation or other organization, that is the contractor on the12742
public contract involved, or that is the issuer of the security in 12743
which public funds are invested;12744

       (2) The shares owned or controlled by that person do not12745
exceed five per cent of the outstanding shares of the corporation, 12746
and the amount due that person as creditor does not exceed five 12747
per cent of the total indebtedness of the corporation or other 12748
organization;12749

       (3) That person, prior to the time the public contract is12750
entered into, files with the political subdivision or governmental 12751
agency or instrumentality involved, an affidavit giving histhat 12752
person's exact status in connection with the corporation or other 12753
organization.12754

       (C) This section does not apply to a public contract in which 12755
a public official, member of hisa public official's family, or 12756
one of hisa public official's business associates has an 12757
interest, when all of the following apply:12758

       (1) The subject of the public contract is necessary supplies 12759
or services for the political subdivision or governmental agency 12760
or instrumentality involved;12761

       (2) The supplies or services are unobtainable elsewhere for 12762
the same or lower cost, or are being furnished to the political 12763
subdivision or governmental agency or instrumentality as part of a 12764
continuing course of dealing established prior to the public 12765
official's becoming associated with the political subdivision or 12766
governmental agency or instrumentality involved;12767

       (3) The treatment accorded the political subdivision or12768
governmental agency or instrumentality is either preferential to12769
or the same as that accorded other customers or clients in similar 12770
transactions;12771

       (4) The entire transaction is conducted at arm's length, with 12772
full knowledge by the political subdivision or governmental agency 12773
or instrumentality involved, of the interest of the public12774
official, member of histhe public official's family, or business 12775
associate, and the public official takes no part in the 12776
deliberations or decision of the political subdivision or 12777
governmental agency or instrumentality with respect to the public 12778
contract.12779

       (D) Division (A)(4) of this section does not prohibit12780
participation by a public employee in any housing program funded12781
by public moneys if the public employee otherwise qualifies for12782
the program and does not use the authority or influence of histhe12783
public employee's office or employment to secure benefits from the 12784
program and if the moneys are to be used on the primary residence 12785
of the public employee. Such participation does not constitute an 12786
unlawful interest in a public contract in violation of this 12787
section.12788

       (E) Whoever violates this section is guilty of having an12789
unlawful interest in a public contract. Violation of division12790
(A)(1) or (2) of this section is a felony of the fourth degree.12791
Violation of division (A)(3), (4), or (5) of this section is a12792
misdemeanor of the first degree.12793

       (F) It is not a violation of this section for a prosecuting 12794
attorney to appoint assistants and employees in accordance with 12795
sections 309.06 and 2921.421 of the Revised Code, for a chief 12796
legal officer of a municipal corporation or an official designated 12797
as prosecutor in a municipal corporation to appoint assistants and 12798
employees in accordance with sections 733.621 and 2921.421 of the 12799
Revised Code, or for a township law director appointed under 12800
section 504.15 of the Revised Code to appoint assistants and 12801
employees in accordance with sections 504.151 and 2921.421 of the 12802
Revised Code.12803

       (F)(G) This section does not apply to a public contract in12804
which a township trustee in a township with a population of five12805
thousand or less in its unincorporated area, a member of the12806
township trustee's family, or one of histhe township trustee's12807
business associates has an interest, if all of the following 12808
apply:12809

       (1) The subject of the public contract is necessary supplies 12810
or services for the township and the amount of the contract is 12811
less than five thousand dollars per year;12812

       (2) The supplies or services are being furnished to the12813
township as part of a continuing course of dealing established12814
before the township trustee held that office with the township;12815

       (3) The treatment accorded the township is either12816
preferential to or the same as that accorded other customers or12817
clients in similar transactions;12818

       (4) The entire transaction is conducted with full knowledge 12819
by the township of the interest of the township trustee, member of 12820
histhe township trustee's family, or histhe township trustee's12821
business associate.12822

       (G)(H) Any public contract in which a public official, a 12823
member of the public official's family, or any of the public 12824
official's business associates has an interest in violation of 12825
this section is void and unenforceable. Any contract securing the 12826
investment of public funds in which a public official, a member of 12827
the public official's family, or any of the public official's 12828
business associates has an interest, is an underwriter, or 12829
receives any brokerage, origination, or servicing fees and that 12830
was entered into in violation of this section is void and 12831
unenforceable.12832

       (I) As used in this section:12833

       (1) "Public contract" means any of the following:12834

       (a) The purchase or acquisition, or a contract for the12835
purchase or acquisition, of property or services by or for the use 12836
of the state, any of its political subdivisions, or any agency or 12837
instrumentality of either, including the employment of an 12838
individual by the state, any of its political subdivisions, or any 12839
agency or instrumentality of either;12840

       (b) A contract for the design, construction, alteration,12841
repair, or maintenance of any public property.12842

       (2) "Chief legal officer" has the same meaning as in section 12843
733.621 of the Revised Code.12844

       Sec. 2927.023.  (A) As used in this section "authorized 12845
recipient of tobacco products" means a person who is:12846

       (1) Licensed as a cigarette wholesale dealer under section 12847
5743.15 of the Revised Code;12848

       (2) Licensed as a distributor of tobacco products under 12849
section 5743.61 of the Revised Coderetail dealer as long as the 12850
person purchases cigarettes with the appropriate tax stamp 12851
affixed;12852

       (3) An export warehouse proprietor as defined in section 5702 12853
of the Internal Revenue Code;12854

       (4) An operator of a customs bonded warehouse under 19 U.S.C. 12855
1311 or 19 U.S.C. 1555;12856

       (5) An officer, employee, or agent of the federal government 12857
or of this state acting in the person's official capacity;12858

       (6) A department, agency, instrumentality, or political 12859
subdivision of the federal government or of this state;12860

       (7) A person having a consent for consumer shipment issued by 12861
the tax commissioner under section 5743.71 of the Revised Code.12862

       The purpose of this section is to prevent the sale of 12863
cigarettes to minors and to ensure compliance with the Master 12864
Settlement Agreement, as defined in section 1346.01 of the Revised 12865
Code.12866

       (B)(1) No person shall cause to be shipped any cigarettes to 12867
any person in this state other than an authorized recipient of 12868
tobacco products.12869

       (2) No common carrier, contract carrier, or other person 12870
shall knowingly transport cigarettes to any person in this state 12871
that the carrier or other person reasonably believes is not an 12872
authorized recipient of tobacco products. If cigarettes are 12873
transported to a home or residence, it shall be presumed that the 12874
common carrier, contract carrier, or other person knew that the 12875
person to whom the cigarettes were delivered was not an authorized 12876
recipient of tobacco products.12877

       (C) No person engaged in the business of selling cigarettes 12878
who ships or causes to be shipped cigarettes to any person in this 12879
state in any container or wrapping other than the original 12880
container or wrapping of the cigarettes shall fail to plainly and 12881
visibly mark the exterior of the container or wrapping in which 12882
the cigarettes are shipped with the words "cigarettes."12883

       (D) A court shall impose a fine of up to one thousand dollars 12884
for each violation of division (B)(1), (B)(2), or (C) of this 12885
section.12886

       Sec. 2935.03.  (A)(1) A sheriff, deputy sheriff, marshal,12887
deputy marshal, municipal police officer, township constable,12888
police officer of a township or joint township police district,12889
member of a police force employed by a metropolitan housing12890
authority under division (D) of section 3735.31 of the Revised12891
Code, member of a police force employed by a regional transit12892
authority under division (Y) of section 306.35 of the Revised12893
Code, state university law enforcement officer appointed under12894
section 3345.04 of the Revised Code, veterans' home police officer 12895
appointed under section 5907.02 of the Revised Code, special 12896
police officer employed by a port authority under section 4582.04 12897
or 4582.28 of the Revised Code, or a special police officer 12898
employed by a municipal corporation at a municipal airport, or 12899
other municipal air navigation facility, that has scheduled 12900
operations, as defined in section 119.3 of Title 14 of the Code of 12901
Federal Regulations, 14 C.F.R. 119.3, as amended, and that is 12902
required to be under a security program and is governed by12903
aviation security rules of the transportation security12904
administration of the United States department of transportation12905
as provided in Parts 1542. and 1544. of Title 49 of the Code of12906
Federal Regulations, as amended, shall arrest and detain, until a12907
warrant can be obtained, a person found violating, within the12908
limits of the political subdivision, metropolitan housing12909
authority housing project, regional transit authority facilities12910
or areas of a municipal corporation that have been agreed to by a12911
regional transit authority and a municipal corporation located12912
within its territorial jurisdiction, college, university,12913
veterans' home operated under Chapter 5907. of the Revised Code, 12914
port authority, or municipal airport or other municipal air 12915
navigation facility, in which the peace officer is appointed, 12916
employed, or elected, a law of this state, an ordinance of a 12917
municipal corporation, or a resolution of a township.12918

       (2) A peace officer of the department of natural resources or 12919
an individual designated to perform law enforcement duties under 12920
section 511.232, 1545.13, or 6101.75 of the Revised Code shall 12921
arrest and detain, until a warrant can be obtained, a person found 12922
violating, within the limits of the peace officer's or12923
individual's territorial jurisdiction, a law of this state.12924

       (3) The house sergeant at arms if the house sergeant at arms12925
has arrest authority pursuant to division (E)(1) of section12926
101.311 of the Revised Code and an assistant house sergeant at12927
arms shall arrest and detain, until a warrant can be obtained, a12928
person found violating, within the limits of the sergeant at 12929
arms's or assistant sergeant at arms's territorial jurisdiction12930
specified in division (D)(1)(a) of section 101.311 of the Revised 12931
Code or while providing security pursuant to division (D)(1)(f) of 12932
section 101.311 of the Revised Code, a law of this state, an 12933
ordinance of a municipal corporation, or a resolution of a 12934
township.12935

       (B)(1) When there is reasonable ground to believe that an12936
offense of violence, the offense of criminal child enticement as12937
defined in section 2905.05 of the Revised Code, the offense of12938
public indecency as defined in section 2907.09 of the Revised12939
Code, the offense of domestic violence as defined in section12940
2919.25 of the Revised Code, the offense of violating a protection12941
order as defined in section 2919.27 of the Revised Code, the12942
offense of menacing by stalking as defined in section 2903.211 of12943
the Revised Code, the offense of aggravated trespass as defined in12944
section 2911.211 of the Revised Code, a theft offense as defined12945
in section 2913.01 of the Revised Code, or a felony drug abuse12946
offense as defined in section 2925.01 of the Revised Code, has12947
been committed within the limits of the political subdivision,12948
metropolitan housing authority housing project, regional transit12949
authority facilities or those areas of a municipal corporation12950
that have been agreed to by a regional transit authority and a12951
municipal corporation located within its territorial jurisdiction,12952
college, university, veterans' home operated under Chapter 5907. 12953
of the Revised Code, port authority, or municipal airport or other 12954
municipal air navigation facility, in which the peace officer is 12955
appointed, employed, or elected or within the limits of the 12956
territorial jurisdiction of the peace officer, a peace officer 12957
described in division (A) of this section may arrest and detain 12958
until a warrant can be obtained any person who the peace officer12959
has reasonable cause to believe is guilty of the violation.12960

       (2) For purposes of division (B)(1) of this section, the12961
execution of any of the following constitutes reasonable ground to12962
believe that the offense alleged in the statement was committed12963
and reasonable cause to believe that the person alleged in the12964
statement to have committed the offense is guilty of the12965
violation:12966

       (a) A written statement by a person alleging that an alleged12967
offender has committed the offense of menacing by stalking or12968
aggravated trespass;12969

       (b) A written statement by the administrator of the12970
interstate compact on mental health appointed under section12971
5119.51 of the Revised Code alleging that a person who had been12972
hospitalized, institutionalized, or confined in any facility under12973
an order made pursuant to or under authority of section 2945.37,12974
2945.371, 2945.38, 2945.39, 2945.40, 2945.401, or 2945.402 of the12975
Revised Code has escaped from the facility, from confinement in a12976
vehicle for transportation to or from the facility, or from12977
supervision by an employee of the facility that is incidental to12978
hospitalization, institutionalization, or confinement in the12979
facility and that occurs outside of the facility, in violation of12980
section 2921.34 of the Revised Code;12981

       (c) A written statement by the administrator of any facility12982
in which a person has been hospitalized, institutionalized, or12983
confined under an order made pursuant to or under authority of12984
section 2945.37, 2945.371, 2945.38, 2945.39, 2945.40, 2945.401, or12985
2945.402 of the Revised Code alleging that the person has escaped12986
from the facility, from confinement in a vehicle for12987
transportation to or from the facility, or from supervision by an12988
employee of the facility that is incidental to hospitalization,12989
institutionalization, or confinement in the facility and that12990
occurs outside of the facility, in violation of section 2921.34 of12991
the Revised Code.12992

       (3)(a) For purposes of division (B)(1) of this section, a12993
peace officer described in division (A) of this section has12994
reasonable grounds to believe that the offense of domestic12995
violence or the offense of violating a protection order has been12996
committed and reasonable cause to believe that a particular person12997
is guilty of committing the offense if any of the following12998
occurs:12999

       (i) A person executes a written statement alleging that the13000
person in question has committed the offense of domestic violence13001
or the offense of violating a protection order against the person13002
who executes the statement or against a child of the person who13003
executes the statement.13004

       (ii) No written statement of the type described in division13005
(B)(3)(a)(i) of this section is executed, but the peace officer,13006
based upon the peace officer's own knowledge and observation of13007
the facts and circumstances of the alleged incident of the offense13008
of domestic violence or the alleged incident of the offense of13009
violating a protection order or based upon any other information,13010
including, but not limited to, any reasonably trustworthy13011
information given to the peace officer by the alleged victim of13012
the alleged incident of the offense or any witness of the alleged13013
incident of the offense, concludes that there are reasonable13014
grounds to believe that the offense of domestic violence or the13015
offense of violating a protection order has been committed and13016
reasonable cause to believe that the person in question is guilty13017
of committing the offense.13018

       (iii) No written statement of the type described in division13019
(B)(3)(a)(i) of this section is executed, but the peace officer13020
witnessed the person in question commit the offense of domestic13021
violence or the offense of violating a protection order.13022

       (b) If pursuant to division (B)(3)(a) of this section a peace 13023
officer has reasonable grounds to believe that the offense of 13024
domestic violence or the offense of violating a protection order 13025
has been committed and reasonable cause to believe that a13026
particular person is guilty of committing the offense, it is the13027
preferred course of action in this state that the officer arrest13028
and detain that person pursuant to division (B)(1) of this section13029
until a warrant can be obtained.13030

       If pursuant to division (B)(3)(a) of this section a peace13031
officer has reasonable grounds to believe that the offense of13032
domestic violence or the offense of violating a protection order13033
has been committed and reasonable cause to believe that family or13034
household members have committed the offense against each other,13035
it is the preferred course of action in this state that the13036
officer, pursuant to division (B)(1) of this section, arrest and13037
detain until a warrant can be obtained the family or household13038
member who committed the offense and whom the officer has13039
reasonable cause to believe is the primary physical aggressor.13040
There is no preferred course of action in this state regarding any13041
other family or household member who committed the offense and13042
whom the officer does not have reasonable cause to believe is the13043
primary physical aggressor, but, pursuant to division (B)(1) of13044
this section, the peace officer may arrest and detain until a13045
warrant can be obtained any other family or household member who13046
committed the offense and whom the officer does not have13047
reasonable cause to believe is the primary physical aggressor.13048

       (c) If a peace officer described in division (A) of this13049
section does not arrest and detain a person whom the officer has13050
reasonable cause to believe committed the offense of domestic13051
violence or the offense of violating a protection order when it is13052
the preferred course of action in this state pursuant to division13053
(B)(3)(b) of this section that the officer arrest that person, the13054
officer shall articulate in the written report of the incident13055
required by section 2935.032 of the Revised Code a clear statement13056
of the officer's reasons for not arresting and detaining that13057
person until a warrant can be obtained.13058

       (d) In determining for purposes of division (B)(3)(b) of this 13059
section which family or household member is the primary physical 13060
aggressor in a situation in which family or household members have 13061
committed the offense of domestic violence or the offense of 13062
violating a protection order against each other, a peace officer13063
described in division (A) of this section, in addition to any 13064
other relevant circumstances, should consider all of the13065
following:13066

       (i) Any history of domestic violence or of any other violent13067
acts by either person involved in the alleged offense that the13068
officer reasonably can ascertain;13069

       (ii) If violence is alleged, whether the alleged violence was 13070
caused by a person acting in self-defense;13071

       (iii) Each person's fear of physical harm, if any, resulting13072
from the other person's threatened use of force against any person13073
or resulting from the other person's use or history of the use of13074
force against any person, and the reasonableness of that fear;13075

       (iv) The comparative severity of any injuries suffered by the 13076
persons involved in the alleged offense.13077

       (e)(i) A peace officer described in division (A) of this13078
section shall not require, as a prerequisite to arresting or13079
charging a person who has committed the offense of domestic13080
violence or the offense of violating a protection order, that the13081
victim of the offense specifically consent to the filing of13082
charges against the person who has committed the offense or sign a13083
complaint against the person who has committed the offense.13084

       (ii) If a person is arrested for or charged with committing13085
the offense of domestic violence or the offense of violating a13086
protection order and if the victim of the offense does not13087
cooperate with the involved law enforcement or prosecuting13088
authorities in the prosecution of the offense or, subsequent to13089
the arrest or the filing of the charges, informs the involved law13090
enforcement or prosecuting authorities that the victim does not13091
wish the prosecution of the offense to continue or wishes to drop13092
charges against the alleged offender relative to the offense, the13093
involved prosecuting authorities, in determining whether to13094
continue with the prosecution of the offense or whether to dismiss13095
charges against the alleged offender relative to the offense and13096
notwithstanding the victim's failure to cooperate or the victim's13097
wishes, shall consider all facts and circumstances that are13098
relevant to the offense, including, but not limited to, the13099
statements and observations of the peace officers who responded to13100
the incident that resulted in the arrest or filing of the charges13101
and of all witnesses to that incident.13102

       (f) In determining pursuant to divisions (B)(3)(a) to (g) of13103
this section whether to arrest a person pursuant to division13104
(B)(1) of this section, a peace officer described in division (A)13105
of this section shall not consider as a factor any possible13106
shortage of cell space at the detention facility to which the13107
person will be taken subsequent to the person's arrest or any13108
possibility that the person's arrest might cause, contribute to,13109
or exacerbate overcrowding at that detention facility or at any13110
other detention facility.13111

       (g) If a peace officer described in division (A) of this13112
section intends pursuant to divisions (B)(3)(a) to (g) of this13113
section to arrest a person pursuant to division (B)(1) of this13114
section and if the officer is unable to do so because the person13115
is not present, the officer promptly shall seek a warrant for the13116
arrest of the person.13117

       (h) If a peace officer described in division (A) of this13118
section responds to a report of an alleged incident of the offense13119
of domestic violence or an alleged incident of the offense of13120
violating a protection order and if the circumstances of the13121
incident involved the use or threatened use of a deadly weapon or13122
any person involved in the incident brandished a deadly weapon13123
during or in relation to the incident, the deadly weapon that was13124
used, threatened to be used, or brandished constitutes contraband,13125
and, to the extent possible, the officer shall seize the deadly13126
weapon as contraband pursuant to Chapter 2981. of the Revised13127
Code. Upon the seizure of a deadly weapon pursuant to division13128
(B)(3)(h) of this section, section 2981.12 of the Revised Code13129
shall apply regarding the treatment and disposition of the deadly13130
weapon. For purposes of that section, the "underlying criminal13131
offense" that was the basis of the seizure of a deadly weapon13132
under division (B)(3)(h) of this section and to which the deadly13133
weapon had a relationship is any of the following that is13134
applicable:13135

       (i) The alleged incident of the offense of domestic violence13136
or the alleged incident of the offense of violating a protection13137
order to which the officer who seized the deadly weapon responded;13138

       (ii) Any offense that arose out of the same facts and13139
circumstances as the report of the alleged incident of the offense13140
of domestic violence or the alleged incident of the offense of13141
violating a protection order to which the officer who seized the13142
deadly weapon responded.13143

       (4) If, in the circumstances described in divisions (B)(3)(a) 13144
to (g) of this section, a peace officer described in division (A) 13145
of this section arrests and detains a person pursuant to division 13146
(B)(1) of this section, or if, pursuant to division (B)(3)(h) of 13147
this section, a peace officer described in division (A) of this 13148
section seizes a deadly weapon, the officer, to the extent13149
described in and in accordance with section 9.86 or 2744.03 of the 13150
Revised Code, is immune in any civil action for damages for13151
injury, death, or loss to person or property that arises from or13152
is related to the arrest and detention or the seizure.13153

       (C) When there is reasonable ground to believe that a13154
violation of division (A)(1), (2), (3), (4), or (5) of section 13155
4506.15 or a violation of section 4511.19 of the Revised Code has 13156
been committed by a person operating a motor vehicle subject to13157
regulation by the public utilities commission of Ohio under Title13158
XLIX of the Revised Code, a peace officer with authority to13159
enforce that provision of law may stop or detain the person whom13160
the officer has reasonable cause to believe was operating the13161
motor vehicle in violation of the division or section and, after13162
investigating the circumstances surrounding the operation of the13163
vehicle, may arrest and detain the person.13164

       (D) If a sheriff, deputy sheriff, marshal, deputy marshal,13165
municipal police officer, member of a police force employed by a13166
metropolitan housing authority under division (D) of section13167
3735.31 of the Revised Code, member of a police force employed by13168
a regional transit authority under division (Y) of section 306.3513169
of the Revised Code, special police officer employed by a port13170
authority under section 4582.04 or 4582.28 of the Revised Code,13171
special police officer employed by a municipal corporation at a13172
municipal airport or other municipal air navigation facility13173
described in division (A) of this section, township constable,13174
police officer of a township or joint township police district,13175
state university law enforcement officer appointed under section13176
3345.04 of the Revised Code, peace officer of the department of13177
natural resources, individual designated to perform law13178
enforcement duties under section 511.232, 1545.13, or 6101.75 of13179
the Revised Code, the house sergeant at arms if the house sergeant13180
at arms has arrest authority pursuant to division (E)(1) of13181
section 101.311 of the Revised Code, or an assistant house13182
sergeant at arms is authorized by division (A) or (B) of this13183
section to arrest and detain, within the limits of the political13184
subdivision, metropolitan housing authority housing project,13185
regional transit authority facilities or those areas of a13186
municipal corporation that have been agreed to by a regional13187
transit authority and a municipal corporation located within its13188
territorial jurisdiction, port authority, municipal airport or13189
other municipal air navigation facility, college, or university in13190
which the officer is appointed, employed, or elected or within the13191
limits of the territorial jurisdiction of the peace officer, a13192
person until a warrant can be obtained, the peace officer, outside13193
the limits of that territory, may pursue, arrest, and detain that13194
person until a warrant can be obtained if all of the following13195
apply:13196

       (1) The pursuit takes place without unreasonable delay after13197
the offense is committed;13198

       (2) The pursuit is initiated within the limits of the13199
political subdivision, metropolitan housing authority housing13200
project, regional transit authority facilities or those areas of a13201
municipal corporation that have been agreed to by a regional13202
transit authority and a municipal corporation located within its13203
territorial jurisdiction, port authority, municipal airport or13204
other municipal air navigation facility, college, or university in13205
which the peace officer is appointed, employed, or elected or13206
within the limits of the territorial jurisdiction of the peace13207
officer;13208

       (3) The offense involved is a felony, a misdemeanor of the13209
first degree or a substantially equivalent municipal ordinance, a13210
misdemeanor of the second degree or a substantially equivalent13211
municipal ordinance, or any offense for which points are13212
chargeable pursuant to section 4510.036 of the Revised Code.13213

       (E) In addition to the authority granted under division (A)13214
or (B) of this section:13215

       (1) A sheriff or deputy sheriff may arrest and detain, until13216
a warrant can be obtained, any person found violating section13217
4503.11, 4503.21, or 4549.01, sections 4549.08 to 4549.12, section13218
4549.62, or Chapter 4511. or 4513. of the Revised Code on the13219
portion of any street or highway that is located immediately13220
adjacent to the boundaries of the county in which the sheriff or13221
deputy sheriff is elected or appointed.13222

       (2) A member of the police force of a township police13223
district created under section 505.48 of the Revised Code, a13224
member of the police force of a joint township police district13225
created under section 505.481 of the Revised Code, or a township13226
constable appointed in accordance with section 509.01 of the13227
Revised Code, who has received a certificate from the Ohio peace13228
officer training commission under section 109.75 of the Revised13229
Code, may arrest and detain, until a warrant can be obtained, any13230
person found violating any section or chapter of the Revised Code13231
listed in division (E)(1) of this section, other than sections13232
4513.33 and 4513.34 of the Revised Code, on the portion of any13233
street or highway that is located immediately adjacent to the13234
boundaries of the township police district or joint township13235
police district, in the case of a member of a township police13236
district or joint township police district police force, or the13237
unincorporated territory of the township, in the case of a13238
township constable. However, if the population of the township13239
that created the township police district served by the member's13240
police force, or the townships that created the joint township13241
police district served by the member's police force, or the13242
township that is served by the township constable, is sixty13243
thousand or less, the member of the township police district or13244
joint police district police force or the township constable may13245
not make an arrest under division (E)(2) of this section on a13246
state highway that is included as part of the interstate system.13247

       (3) A police officer or village marshal appointed, elected,13248
or employed by a municipal corporation may arrest and detain,13249
until a warrant can be obtained, any person found violating any13250
section or chapter of the Revised Code listed in division (E)(1)13251
of this section on the portion of any street or highway that is13252
located immediately adjacent to the boundaries of the municipal13253
corporation in which the police officer or village marshal is13254
appointed, elected, or employed.13255

       (4) A peace officer of the department of natural resources or 13256
an individual designated to perform law enforcement duties under 13257
section 511.232, 1545.13, or 6101.75 of the Revised Code may13258
arrest and detain, until a warrant can be obtained, any person13259
found violating any section or chapter of the Revised Code listed13260
in division (E)(1) of this section, other than sections 4513.3313261
and 4513.34 of the Revised Code, on the portion of any street or13262
highway that is located immediately adjacent to the boundaries of13263
the lands and waters that constitute the territorial jurisdiction13264
of the peace officer.13265

       (F)(1) A department of mental health special police officer13266
or a department of mental retardation and developmental13267
disabilities special police officer may arrest without a warrant13268
and detain until a warrant can be obtained any person found13269
committing on the premises of any institution under the13270
jurisdiction of the particular department a misdemeanor under a13271
law of the state.13272

       A department of mental health special police officer or a13273
department of mental retardation and developmental disabilities13274
special police officer may arrest without a warrant and detain13275
until a warrant can be obtained any person who has been13276
hospitalized, institutionalized, or confined in an institution13277
under the jurisdiction of the particular department pursuant to or13278
under authority of section 2945.37, 2945.371, 2945.38, 2945.39,13279
2945.40, 2945.401, or 2945.402 of the Revised Code and who is13280
found committing on the premises of any institution under the13281
jurisdiction of the particular department a violation of section13282
2921.34 of the Revised Code that involves an escape from the13283
premises of the institution.13284

       (2)(a) If a department of mental health special police13285
officer or a department of mental retardation and developmental13286
disabilities special police officer finds any person who has been13287
hospitalized, institutionalized, or confined in an institution13288
under the jurisdiction of the particular department pursuant to or13289
under authority of section 2945.37, 2945.371, 2945.38, 2945.39,13290
2945.40, 2945.401, or 2945.402 of the Revised Code committing a13291
violation of section 2921.34 of the Revised Code that involves an13292
escape from the premises of the institution, or if there is13293
reasonable ground to believe that a violation of section 2921.3413294
of the Revised Code has been committed that involves an escape13295
from the premises of an institution under the jurisdiction of the13296
department of mental health or the department of mental13297
retardation and developmental disabilities and if a department of13298
mental health special police officer or a department of mental13299
retardation and developmental disabilities special police officer13300
has reasonable cause to believe that a particular person who has13301
been hospitalized, institutionalized, or confined in the13302
institution pursuant to or under authority of section 2945.37,13303
2945.371, 2945.38, 2945.39, 2945.40, 2945.401, or 2945.402 of the13304
Revised Code is guilty of the violation, the special police13305
officer, outside of the premises of the institution, may pursue,13306
arrest, and detain that person for that violation of section13307
2921.34 of the Revised Code, until a warrant can be obtained, if13308
both of the following apply:13309

       (i) The pursuit takes place without unreasonable delay after13310
the offense is committed;13311

       (ii) The pursuit is initiated within the premises of the13312
institution from which the violation of section 2921.34 of the13313
Revised Code occurred.13314

       (b) For purposes of division (F)(2)(a) of this section, the13315
execution of a written statement by the administrator of the13316
institution in which a person had been hospitalized,13317
institutionalized, or confined pursuant to or under authority of13318
section 2945.37, 2945.371, 2945.38, 2945.39, 2945.40, 2945.401, or13319
2945.402 of the Revised Code alleging that the person has escaped13320
from the premises of the institution in violation of section13321
2921.34 of the Revised Code constitutes reasonable ground to13322
believe that the violation was committed and reasonable cause to13323
believe that the person alleged in the statement to have committed13324
the offense is guilty of the violation.13325

       (G) As used in this section:13326

       (1) A "department of mental health special police officer"13327
means a special police officer of the department of mental health13328
designated under section 5119.14 of the Revised Code who is13329
certified by the Ohio peace officer training commission under13330
section 109.77 of the Revised Code as having successfully13331
completed an approved peace officer basic training program.13332

       (2) A "department of mental retardation and developmental13333
disabilities special police officer" means a special police13334
officer of the department of mental retardation and developmental13335
disabilities designated under section 5123.13 of the Revised Code13336
who is certified by the Ohio peace officer training council under13337
section 109.77 of the Revised Code as having successfully13338
completed an approved peace officer basic training program.13339

       (3) "Deadly weapon" has the same meaning as in section13340
2923.11 of the Revised Code.13341

       (4) "Family or household member" has the same meaning as in13342
section 2919.25 of the Revised Code.13343

       (5) "Street" or "highway" has the same meaning as in section13344
4511.01 of the Revised Code.13345

       (6) "Interstate system" has the same meaning as in section13346
5516.01 of the Revised Code.13347

       (7) "Peace officer of the department of natural resources"13348
means an employee of the department of natural resources who is a13349
natural resources law enforcement staff officer designated13350
pursuant to section 1501.013 of the Revised Code, a forest officer 13351
designated pursuant to section 1503.29 of the Revised Code, a 13352
preserve officer designated pursuant to section 1517.10 of the 13353
Revised Code, a wildlife officer designated pursuant to section13354
1531.13 of the Revised Code, a park officer designated pursuant to 13355
section 1541.10 of the Revised Code, or a state watercraft officer13356
designated pursuant to section 1547.521 of the Revised Code.13357

       (8) "Portion of any street or highway" means all lanes of the 13358
street or highway irrespective of direction of travel, including 13359
designated turn lanes, and any berm, median, or shoulder.13360

       Sec. 3109.04.  (A) In any divorce, legal separation, or13361
annulment proceeding and in any proceeding pertaining to the13362
allocation of parental rights and responsibilities for the care of13363
a child, upon hearing the testimony of either or both parents and13364
considering any mediation report filed pursuant to section13365
3109.052 of the Revised Code and in accordance with sections 13366
3127.01 to 3127.53 of the Revised Code, the court shall allocate13367
the parental rights and responsibilities for the care of the minor13368
children of the marriage. Subject to division (D)(2) of this13369
section, the court may allocate the parental rights and13370
responsibilities for the care of the children in either of the13371
following ways:13372

       (1) If neither parent files a pleading or motion in13373
accordance with division (G) of this section, if at least one13374
parent files a pleading or motion under that division but no13375
parent who filed a pleading or motion under that division also13376
files a plan for shared parenting, or if at least one parent files13377
both a pleading or motion and a shared parenting plan under that13378
division but no plan for shared parenting is in the best interest13379
of the children, the court, in a manner consistent with the best13380
interest of the children, shall allocate the parental rights and13381
responsibilities for the care of the children primarily to one of13382
the parents, designate that parent as the residential parent and13383
the legal custodian of the child, and divide between the parents13384
the other rights and responsibilities for the care of the13385
children, including, but not limited to, the responsibility to13386
provide support for the children and the right of the parent who13387
is not the residential parent to have continuing contact with the13388
children.13389

       (2) If at least one parent files a pleading or motion in13390
accordance with division (G) of this section and a plan for shared13391
parenting pursuant to that division and if a plan for shared13392
parenting is in the best interest of the children and is approved13393
by the court in accordance with division (D)(1) of this section,13394
the court may allocate the parental rights and responsibilities13395
for the care of the children to both parents and issue a shared13396
parenting order requiring the parents to share all or some of the13397
aspects of the physical and legal care of the children in13398
accordance with the approved plan for shared parenting. If the13399
court issues a shared parenting order under this division and it13400
is necessary for the purpose of receiving public assistance, the13401
court shall designate which one of the parents' residences is to13402
serve as the child's home. The child support obligations of the13403
parents under a shared parenting order issued under this division13404
shall be determined in accordance with Chapters 3119., 3121.,13405
3123., and 3125. of the Revised Code.13406

       (B)(1) When making the allocation of the parental rights and13407
responsibilities for the care of the children under this section13408
in an original proceeding or in any proceeding for modification of13409
a prior order of the court making the allocation, the court shall13410
take into account that which would be in the best interest of the13411
children. In determining the child's best interest for purposes of 13412
making its allocation of the parental rights and responsibilities 13413
for the care of the child and for purposes of resolving any issues 13414
related to the making of that allocation, the court, in its 13415
discretion, may and, upon the request of either party, shall 13416
interview in chambers any or all of the involved children 13417
regarding their wishes and concerns with respect to the13418
allocation.13419

       (2) If the court interviews any child pursuant to division13420
(B)(1) of this section, all of the following apply:13421

       (a) The court, in its discretion, may and, upon the motion of 13422
either parent, shall appoint a guardian ad litem for the child.13423

       (b) The court first shall determine the reasoning ability of13424
the child. If the court determines that the child does not have13425
sufficient reasoning ability to express the child's wishes and13426
concern with respect to the allocation of parental rights and13427
responsibilities for the care of the child, it shall not determine13428
the child's wishes and concerns with respect to the allocation. If 13429
the court determines that the child has sufficient reasoning13430
ability to express the child's wishes or concerns with respect to13431
the allocation, it then shall determine whether, because of13432
special circumstances, it would not be in the best interest of the13433
child to determine the child's wishes and concerns with respect to13434
the allocation. If the court determines that, because of special13435
circumstances, it would not be in the best interest of the child13436
to determine the child's wishes and concerns with respect to the13437
allocation, it shall not determine the child's wishes and concerns13438
with respect to the allocation and shall enter its written13439
findings of fact and opinion in the journal. If the court13440
determines that it would be in the best interests of the child to13441
determine the child's wishes and concerns with respect to the13442
allocation, it shall proceed to make that determination.13443

       (c) The interview shall be conducted in chambers, and no13444
person other than the child, the child's attorney, the judge, any13445
necessary court personnel, and, in the judge's discretion, the13446
attorney of each parent shall be permitted to be present in the13447
chambers during the interview.13448

       (3) No person shall obtain or attempt to obtain from a child13449
a written or recorded statement or affidavit setting forth the13450
child's wishes and concerns regarding the allocation of parental13451
rights and responsibilities concerning the child. No court, in13452
determining the child's best interest for purposes of making its13453
allocation of the parental rights and responsibilities for the13454
care of the child or for purposes of resolving any issues related13455
to the making of that allocation, shall accept or consider a13456
written or recorded statement or affidavit that purports to set13457
forth the child's wishes and concerns regarding those matters.13458

       (C) Prior to trial, the court may cause an investigation to13459
be made as to the character, family relations, past conduct,13460
earning ability, and financial worth of each parent and may order13461
the parents and their minor children to submit to medical,13462
psychological, and psychiatric examinations. The report of the13463
investigation and examinations shall be made available to either13464
parent or the parent's counsel of record not less than five days13465
before trial, upon written request. The report shall be signed by13466
the investigator, and the investigator shall be subject to13467
cross-examination by either parent concerning the contents of the13468
report. The court may tax as costs all or any part of the expenses 13469
for each investigation.13470

       If the court determines that either parent previously has13471
been convicted of or pleaded guilty to any criminal offense13472
involving any act that resulted in a child being a neglected13473
child, that either parent previously has been determined to be the13474
perpetrator of the neglectful act that is the basis of an13475
adjudication that a child is a neglected child, or that there is13476
reason to believe that either parent has acted in a manner13477
resulting in a child being a neglected child, the court shall13478
consider that fact against naming that parent the residential13479
parent and against granting a shared parenting decree. When the13480
court allocates parental rights and responsibilities for the care13481
of children or determines whether to grant shared parenting in any13482
proceeding, it shall consider whether either parent or any member 13483
of the household of either parent has been convicted of or pleaded 13484
guilty to a violation of section 2919.25 of the Revised Code or a 13485
sexually oriented offense involving a victim who at the time of 13486
the commission of the offense was a member of the family or 13487
household that is the subject of the proceeding, has been 13488
convicted of or pleaded guilty to any sexually oriented offense or 13489
other offense involving a victim who at the time of the commission 13490
of the offense was a member of the family or household that is the 13491
subject of the proceeding and caused physical harm to the victim 13492
in the commission of the offense, or has been determined to be the 13493
perpetrator of the abusive act that is the basis of an 13494
adjudication that a child is an abused child. If the court 13495
determines that either parent has been convicted of or pleaded 13496
guilty to a violation of section 2919.25 of the Revised Code or a 13497
sexually oriented offense involving a victim who at the time of 13498
the commission of the offense was a member of the family or 13499
household that is the subject of the proceeding, has been 13500
convicted of or pleaded guilty to any sexually oriented offense or 13501
other offense involving a victim who at the time of the commission 13502
of the offense was a member of the family or household that is the 13503
subject of the proceeding and caused physical harm to the victim 13504
in the commission of the offense, or has been determined to be the 13505
perpetrator of the abusive act that is the basis of an 13506
adjudication that a child is an abused child, it may designate 13507
that parent as the residential parent and may issue a shared 13508
parenting decree or order only if it determines that it is in the 13509
best interest of the child to name that parent the residential 13510
parent or to issue a shared parenting decree or order and it makes 13511
specific written findings of fact to support its determination.13512

       (D)(1)(a) Upon the filing of a pleading or motion by either13513
parent or both parents, in accordance with division (G) of this13514
section, requesting shared parenting and the filing of a shared13515
parenting plan in accordance with that division, the court shall13516
comply with division (D)(1)(a)(i), (ii), or (iii) of this section,13517
whichever is applicable:13518

       (i) If both parents jointly make the request in their13519
pleadings or jointly file the motion and also jointly file the13520
plan, the court shall review the parents' plan to determine if it13521
is in the best interest of the children. If the court determines13522
that the plan is in the best interest of the children, the court13523
shall approve it. If the court determines that the plan or any13524
part of the plan is not in the best interest of the children, the13525
court shall require the parents to make appropriate changes to the13526
plan to meet the court's objections to it. If changes to the plan13527
are made to meet the court's objections, and if the new plan is in13528
the best interest of the children, the court shall approve the13529
plan. If changes to the plan are not made to meet the court's13530
objections, or if the parents attempt to make changes to the plan13531
to meet the court's objections, but the court determines that the13532
new plan or any part of the new plan still is not in the best13533
interest of the children, the court may reject the portion of the13534
parents' pleadings or deny their motion requesting shared13535
parenting of the children and proceed as if the request in the13536
pleadings or the motion had not been made. The court shall not13537
approve a plan under this division unless it determines that the13538
plan is in the best interest of the children.13539

       (ii) If each parent makes a request in the parent's pleadings 13540
or files a motion and each also files a separate plan, the court 13541
shall review each plan filed to determine if either is in the best 13542
interest of the children. If the court determines that one of the 13543
filed plans is in the best interest of the children, the court may 13544
approve the plan. If the court determines that neither filed plan 13545
is in the best interest of the children, the court may order each 13546
parent to submit appropriate changes to the parent's plan or both 13547
of the filed plans to meet the court's objections, or may select 13548
one of the filed plans and order each parent to submit appropriate 13549
changes to the selected plan to meet the court's objections. If 13550
changes to the plan or plans are submitted to meet the court's 13551
objections, and if any of the filed plans with the changes is in 13552
the best interest of the children, the court may approve the plan 13553
with the changes. If changes to the plan or plans are not 13554
submitted to meet the court's objections, or if the parents submit 13555
changes to the plan or plans to meet the court's objections but 13556
the court determines that none of the filed plans with the 13557
submitted changes is in the best interest of the children, the 13558
court may reject the portion of the parents' pleadings or deny 13559
their motions requesting shared parenting of the children and 13560
proceed as if the requests in the pleadings or the motions had not 13561
been made. If the court approves a plan under this division, 13562
either as originally filed or with submitted changes, or if the 13563
court rejects the portion of the parents' pleadings or denies 13564
their motions requesting shared parenting under this division and 13565
proceeds as if the requests in the pleadings or the motions had 13566
not been made, the court shall enter in the record of the case 13567
findings of fact and conclusions of law as to the reasons for the 13568
approval or the rejection or denial. Division (D)(1)(b) of this 13569
section applies in relation to the approval or disapproval of a 13570
plan under this division.13571

       (iii) If each parent makes a request in the parent's13572
pleadings or files a motion but only one parent files a plan, or13573
if only one parent makes a request in the parent's pleadings or13574
files a motion and also files a plan, the court in the best13575
interest of the children may order the other parent to file a plan13576
for shared parenting in accordance with division (G) of this13577
section. The court shall review each plan filed to determine if13578
any plan is in the best interest of the children. If the court13579
determines that one of the filed plans is in the best interest of13580
the children, the court may approve the plan. If the court13581
determines that no filed plan is in the best interest of the13582
children, the court may order each parent to submit appropriate13583
changes to the parent's plan or both of the filed plans to meet13584
the court's objections or may select one filed plan and order each13585
parent to submit appropriate changes to the selected plan to meet13586
the court's objections. If changes to the plan or plans are13587
submitted to meet the court's objections, and if any of the filed13588
plans with the changes is in the best interest of the children,13589
the court may approve the plan with the changes. If changes to the 13590
plan or plans are not submitted to meet the court's objections, or 13591
if the parents submit changes to the plan or plans to meet the 13592
court's objections but the court determines that none of the filed 13593
plans with the submitted changes is in the best interest of the13594
children, the court may reject the portion of the parents'13595
pleadings or deny the parents' motion or reject the portion of the 13596
parents' pleadings or deny their motions requesting shared13597
parenting of the children and proceed as if the request or13598
requests or the motion or motions had not been made. If the court13599
approves a plan under this division, either as originally filed or13600
with submitted changes, or if the court rejects the portion of the13601
pleadings or denies the motion or motions requesting shared13602
parenting under this division and proceeds as if the request or13603
requests or the motion or motions had not been made, the court13604
shall enter in the record of the case findings of fact and13605
conclusions of law as to the reasons for the approval or the13606
rejection or denial. Division (D)(1)(b) of this section applies in 13607
relation to the approval or disapproval of a plan under this13608
division.13609

       (b) The approval of a plan under division (D)(1)(a)(ii) or13610
(iii) of this section is discretionary with the court. The court13611
shall not approve more than one plan under either division and13612
shall not approve a plan under either division unless it13613
determines that the plan is in the best interest of the children.13614
If the court, under either division, does not determine that any13615
filed plan or any filed plan with submitted changes is in the best13616
interest of the children, the court shall not approve any plan.13617

       (c) Whenever possible, the court shall require that a shared13618
parenting plan approved under division (D)(1)(a)(i), (ii), or13619
(iii) of this section ensure the opportunity for both parents to13620
have frequent and continuing contact with the child, unless13621
frequent and continuing contact with any parent would not be in13622
the best interest of the child.13623

       (d) If a court approves a shared parenting plan under13624
division (D)(1)(a)(i), (ii), or (iii) of this section, the13625
approved plan shall be incorporated into a final shared parenting13626
decree granting the parents the shared parenting of the children.13627
Any final shared parenting decree shall be issued at the same time13628
as and shall be appended to the final decree of dissolution,13629
divorce, annulment, or legal separation arising out of the action13630
out of which the question of the allocation of parental rights and13631
responsibilities for the care of the children arose.13632

       No provisional shared parenting decree shall be issued in13633
relation to any shared parenting plan approved under division13634
(D)(1)(a)(i), (ii), or (iii) of this section. A final shared13635
parenting decree issued under this division has immediate effect13636
as a final decree on the date of its issuance, subject to13637
modification or termination as authorized by this section.13638

       (2) If the court finds, with respect to any child under13639
eighteen years of age, that it is in the best interest of the13640
child for neither parent to be designated the residential parent13641
and legal custodian of the child, it may commit the child to a13642
relative of the child or certify a copy of its findings, together13643
with as much of the record and the further information, in13644
narrative form or otherwise, that it considers necessary or as the13645
juvenile court requests, to the juvenile court for further13646
proceedings, and, upon the certification, the juvenile court has13647
exclusive jurisdiction.13648

       (E)(1)(a) The court shall not modify a prior decree13649
allocating parental rights and responsibilities for the care of13650
children unless it finds, based on facts that have arisen since13651
the prior decree or that were unknown to the court at the time of13652
the prior decree, that a change has occurred in the circumstances13653
of the child, the child's residential parent, or either of the13654
parents subject to a shared parenting decree, and that the13655
modification is necessary to serve the best interest of the child.13656
In applying these standards, the court shall retain the13657
residential parent designated by the prior decree or the prior13658
shared parenting decree, unless a modification is in the best13659
interest of the child and one of the following applies:13660

       (i) The residential parent agrees to a change in the13661
residential parent or both parents under a shared parenting decree13662
agree to a change in the designation of residential parent.13663

       (ii) The child, with the consent of the residential parent or 13664
of both parents under a shared parenting decree, has been13665
integrated into the family of the person seeking to become the13666
residential parent.13667

       (iii) The harm likely to be caused by a change of environment 13668
is outweighed by the advantages of the change of environment to 13669
the child.13670

       (b) One or both of the parents under a prior decree13671
allocating parental rights and responsibilities for the care of13672
children that is not a shared parenting decree may file a motion13673
requesting that the prior decree be modified to give both parents13674
shared rights and responsibilities for the care of the children.13675
The motion shall include both a request for modification of the13676
prior decree and a request for a shared parenting order that13677
complies with division (G) of this section. Upon the filing of the 13678
motion, if the court determines that a modification of the prior 13679
decree is authorized under division (E)(1)(a) of this section, the 13680
court may modify the prior decree to grant a shared parenting 13681
order, provided that the court shall not modify the prior decree 13682
to grant a shared parenting order unless the court complies with 13683
divisions (A) and (D)(1) of this section and, in accordance with 13684
those divisions, approves the submitted shared parenting plan and 13685
determines that shared parenting would be in the best interest of 13686
the children.13687

       (2) In addition to a modification authorized under division13688
(E)(1) of this section:13689

       (a) Both parents under a shared parenting decree jointly may13690
modify the terms of the plan for shared parenting approved by the13691
court and incorporated by it into the shared parenting decree.13692
Modifications under this division may be made at any time. The13693
modifications to the plan shall be filed jointly by both parents13694
with the court, and the court shall include them in the plan,13695
unless they are not in the best interest of the children. If the13696
modifications are not in the best interests of the children, the13697
court, in its discretion, may reject the modifications or make13698
modifications to the proposed modifications or the plan that are13699
in the best interest of the children. Modifications jointly13700
submitted by both parents under a shared parenting decree shall be13701
effective, either as originally filed or as modified by the court,13702
upon their inclusion by the court in the plan. Modifications to13703
the plan made by the court shall be effective upon their inclusion13704
by the court in the plan.13705

       (b) The court may modify the terms of the plan for shared13706
parenting approved by the court and incorporated by it into the13707
shared parenting decree upon its own motion at any time if the13708
court determines that the modifications are in the best interest13709
of the children or upon the request of one or both of the parents13710
under the decree. Modifications under this division may be made at 13711
any time. The court shall not make any modification to the plan 13712
under this division, unless the modification is in the best13713
interest of the children.13714

       (c) The court may terminate a prior final shared parenting13715
decree that includes a shared parenting plan approved under13716
division (D)(1)(a)(i) of this section upon the request of one or13717
both of the parents or whenever it determines that shared13718
parenting is not in the best interest of the children. The court13719
may terminate a prior final shared parenting decree that includes13720
a shared parenting plan approved under division (D)(1)(a)(ii) or13721
(iii) of this section if it determines, upon its own motion or13722
upon the request of one or both parents, that shared parenting is13723
not in the best interest of the children. If modification of the13724
terms of the plan for shared parenting approved by the court and13725
incorporated by it into the final shared parenting decree is13726
attempted under division (E)(2)(a) of this section and the court13727
rejects the modifications, it may terminate the final shared13728
parenting decree if it determines that shared parenting is not in13729
the best interest of the children.13730

       (d) Upon the termination of a prior final shared parenting13731
decree under division (E)(2)(c) of this section, the court shall13732
proceed and issue a modified decree for the allocation of parental13733
rights and responsibilities for the care of the children under the13734
standards applicable under divisions (A), (B), and (C) of this13735
section as if no decree for shared parenting had been granted and13736
as if no request for shared parenting ever had been made.13737

       (F)(1) In determining the best interest of a child pursuant13738
to this section, whether on an original decree allocating parental13739
rights and responsibilities for the care of children or a13740
modification of a decree allocating those rights and13741
responsibilities, the court shall consider all relevant factors,13742
including, but not limited to:13743

       (a) The wishes of the child's parents regarding the child's13744
care;13745

       (b) If the court has interviewed the child in chambers13746
pursuant to division (B) of this section regarding the child's13747
wishes and concerns as to the allocation of parental rights and13748
responsibilities concerning the child, the wishes and concerns of13749
the child, as expressed to the court;13750

       (c) The child's interaction and interrelationship with the13751
child's parents, siblings, and any other person who may13752
significantly affect the child's best interest;13753

       (d) The child's adjustment to the child's home, school, and13754
community;13755

       (e) The mental and physical health of all persons involved in 13756
the situation;13757

       (f) The parent more likely to honor and facilitate13758
court-approved parenting time rights or visitation and13759
companionship rights;13760

       (g) Whether either parent has failed to make all child13761
support payments, including all arrearages, that are required of13762
that parent pursuant to a child support order under which that13763
parent is an obligor;13764

       (h) Whether either parent or any member of the household of 13765
either parent previously has been convicted of or pleaded guilty 13766
to any criminal offense involving any act that resulted in a child 13767
being an abused child or a neglected child; whether either parent, 13768
in a case in which a child has been adjudicated an abused child or 13769
a neglected child, previously has been determined to be the 13770
perpetrator of the abusive or neglectful act that is the basis of 13771
an adjudication; whether either parent or any member of the 13772
household of either parent previously has been convicted of or 13773
pleaded guilty to a violation of section 2919.25 of the Revised 13774
Code or a sexually oriented offense involving a victim who at the 13775
time of the commission of the offense was a member of the family 13776
or household that is the subject of the current proceeding;13777
whether either parent or any member of the household of either 13778
parent previously has been convicted of or pleaded guilty to any 13779
offense involving a victim who at the time of the commission of 13780
the offense was a member of the family or household that is the 13781
subject of the current proceeding and caused physical harm to the 13782
victim in the commission of the offense; and whether there is 13783
reason to believe that either parent has acted in a manner 13784
resulting in a child being an abused child or a neglected child;13785

       (i) Whether the residential parent or one of the parents13786
subject to a shared parenting decree has continuously and13787
willfully denied the other parent's right to parenting time in13788
accordance with an order of the court;13789

       (j) Whether either parent has established a residence, or is13790
planning to establish a residence, outside this state.13791

       (2) In determining whether shared parenting is in the best13792
interest of the children, the court shall consider all relevant13793
factors, including, but not limited to, the factors enumerated in13794
division (F)(1) of this section, the factors enumerated in section 13795
3119.23 of the Revised Code, and all of the following factors:13796

       (a) The ability of the parents to cooperate and make13797
decisions jointly, with respect to the children;13798

       (b) The ability of each parent to encourage the sharing of13799
love, affection, and contact between the child and the other13800
parent;13801

       (c) Any history of, or potential for, child abuse, spouse13802
abuse, other domestic violence, or parental kidnapping by either13803
parent;13804

       (d) The geographic proximity of the parents to each other, as 13805
the proximity relates to the practical considerations of shared13806
parenting;13807

       (e) The recommendation of the guardian ad litem of the child, 13808
if the child has a guardian ad litem.13809

       (3) When allocating parental rights and responsibilities for13810
the care of children, the court shall not give preference to a13811
parent because of that parent's financial status or condition.13812

       (G) Either parent or both parents of any children may file a13813
pleading or motion with the court requesting the court to grant13814
both parents shared parental rights and responsibilities for the13815
care of the children in a proceeding held pursuant to division (A)13816
of this section. If a pleading or motion requesting shared13817
parenting is filed, the parent or parents filing the pleading or13818
motion also shall file with the court a plan for the exercise of13819
shared parenting by both parents. If each parent files a pleading13820
or motion requesting shared parenting but only one parent files a13821
plan or if only one parent files a pleading or motion requesting13822
shared parenting and also files a plan, the other parent as13823
ordered by the court shall file with the court a plan for the13824
exercise of shared parenting by both parents. The plan for shared13825
parenting shall be filed with the petition for dissolution of13826
marriage, if the question of parental rights and responsibilities13827
for the care of the children arises out of an action for13828
dissolution of marriage, or, in other cases, at a time at least13829
thirty days prior to the hearing on the issue of the parental13830
rights and responsibilities for the care of the children. A plan13831
for shared parenting shall include provisions covering all factors13832
that are relevant to the care of the children, including, but not13833
limited to, provisions covering factors such as physical living13834
arrangements, child support obligations, provision for the13835
children's medical and dental care, school placement, and the13836
parent with which the children will be physically located during13837
legal holidays, school holidays, and other days of special13838
importance.13839

       (H) If an appeal is taken from a decision of a court that13840
grants or modifies a decree allocating parental rights and13841
responsibilities for the care of children, the court of appeals13842
shall give the case calendar priority and handle it expeditiously.13843

       (I) Upon receipt of an order to active military service in 13844
the uniformed services, a parent who is subject to an order 13845
allocating parental rights and responsibilities or in relation to 13846
whom an action to allocate parental rights and responsibilities is 13847
pending and who is ordered to active military service shall notify 13848
the other parent who is subject to the order or in relation to 13849
whom the case is pending of the order to active military service. 13850
Either parent may apply to the court for a hearing to expedite an 13851
allocation or modification proceeding. The application shall 13852
include the date on which the active military service begins.13853

       The court shall schedule a hearing upon receipt of the 13854
application and hold the hearing not later than thirty days after 13855
receipt of the application, except that the court shall give the 13856
case calendar priority and handle the case expeditiously if 13857
exigent circumstances exist in the case.13858

       The court shall not modify a prior decree allocating parental 13859
rights and responsibilities unless the court determines by clear 13860
and convincing evidence that there has been a change in 13861
circumstances of the child, the child's residential parent, or 13862
either of the parents subject to a shared parenting decree, and 13863
that modification is necessary to serve the best interest of the 13864
child. The court shall not consider active military service in the 13865
uniformed services in determining whether a change in 13866
circumstances exists under this section.13867

       Nothing in this division shall prevent a court from issuing a 13868
temporary order allocating or modifying parental rights and 13869
responsibilities for the duration of the parent's active military 13870
service.13871

       (J) As used in this section:13872

       (1) "Abused child" has the same meaning as in section 13873
2151.031 of the Revised Code, and "neglected.13874

       (2) "Active military service" means the performance of active 13875
military duty by a member of the uniformed services for a period 13876
of more than thirty days.13877

       (3) "Neglected child" has the same meaning as in section 13878
2151.03 of the Revised Code.13879

       (2)(4) "Sexually oriented offense" has the same meaning as in 13880
section 2950.01 of the Revised Code.13881

       (5) "Uniformed services" means the United States armed 13882
forces, army national guard and air national guard when engaged in 13883
active duty for training, or the commissioned corps of the United 13884
States public health service.13885

       (J)(K) As used in the Revised Code, "shared parenting" means13886
that the parents share, in the manner set forth in the plan for13887
shared parenting that is approved by the court under division13888
(D)(1) and described in division (K)(L)(6) of this section, all or13889
some of the aspects of physical and legal care of their children.13890

       (K)(L) For purposes of the Revised Code:13891

       (1) A parent who is granted the care, custody, and control of 13892
a child under an order that was issued pursuant to this section13893
prior to April 11, 1991, and that does not provide for shared13894
parenting has "custody of the child" and "care, custody, and13895
control of the child" under the order, and is the "residential13896
parent," the "residential parent and legal custodian," or the13897
"custodial parent" of the child under the order.13898

       (2) A parent who primarily is allocated the parental rights13899
and responsibilities for the care of a child and who is designated13900
as the residential parent and legal custodian of the child under13901
an order that is issued pursuant to this section on or after April13902
11, 1991, and that does not provide for shared parenting has13903
"custody of the child" and "care, custody, and control of the13904
child" under the order, and is the "residential parent," the13905
"residential parent and legal custodian," or the "custodial13906
parent" of the child under the order.13907

       (3) A parent who is not granted custody of a child under an13908
order that was issued pursuant to this section prior to April 11,13909
1991, and that does not provide for shared parenting is the13910
"parent who is not the residential parent," the "parent who is not13911
the residential parent and legal custodian," or the "noncustodial13912
parent" of the child under the order.13913

       (4) A parent who is not primarily allocated the parental13914
rights and responsibilities for the care of a child and who is not13915
designated as the residential parent and legal custodian of the13916
child under an order that is issued pursuant to this section on or13917
after April 11, 1991, and that does not provide for shared13918
parenting is the "parent who is not the residential parent," the13919
"parent who is not the residential parent and legal custodian," or13920
the "noncustodial parent" of the child under the order.13921

       (5) Unless the context clearly requires otherwise, if an13922
order is issued by a court pursuant to this section and the order13923
provides for shared parenting of a child, both parents have13924
"custody of the child" or "care, custody, and control of the13925
child" under the order, to the extent and in the manner specified13926
in the order.13927

       (6) Unless the context clearly requires otherwise and except13928
as otherwise provided in the order, if an order is issued by a13929
court pursuant to this section and the order provides for shared13930
parenting of a child, each parent, regardless of where the child13931
is physically located or with whom the child is residing at a13932
particular point in time, as specified in the order, is the13933
"residential parent," the "residential parent and legal13934
custodian," or the "custodial parent" of the child.13935

       (7) Unless the context clearly requires otherwise and except13936
as otherwise provided in the order, a designation in the order of13937
a parent as the residential parent for the purpose of determining13938
the school the child attends, as the custodial parent for purposes13939
of claiming the child as a dependent pursuant to section 152(e) of13940
the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A.13941
1, as amended, or as the residential parent for purposes of13942
receiving public assistance pursuant to division (A)(2) of this13943
section, does not affect the designation pursuant to division13944
(K)(L)(6) of this section of each parent as the "residential 13945
parent," the "residential parent and legal custodian," or the 13946
"custodial parent" of the child.13947

       (L)(M) The court shall require each parent of a child to file 13948
an affidavit attesting as to whether the parent, and the members 13949
of the parent's household, have been convicted of or pleaded 13950
guilty to any of the offenses identified in divisions (C) and 13951
(F)(1)(h) of this section.13952

       Sec. 3109.041.  (A) Parties to any custody decree issued13953
pursuant to section 3109.04 of the Revised Code prior to the13954
effective date of this amendmentApril 11, 1991, may file a motion 13955
with the court that issued the decree requesting the issuance of a 13956
shared parenting decree in accordance with division (G) of section 13957
3109.04 of the Revised Code. Upon the filing of the motion, the 13958
court shall determine whether to grant the parents shared rights 13959
and responsibilities for the care of the children in accordance 13960
with divisions (A), (D)(1), and (E)(1), and (I) of section 3109.04 13961
of the Revised Code.13962

       (B) A custody decree issued pursuant to section 3109.04 of13963
the Revised Code prior to the effective date of this amendment13964
April 11, 1991, that granted joint care, custody, and control of 13965
the children to the parents shall not be affected or invalidated 13966
by, and shall not be construed as being affected or invalidated 13967
by, the provisions of section 3109.04 of the Revised Code relative 13968
to the granting of a shared parenting decree or a decree 13969
allocating parental rights and responsibilities for the care of 13970
children on and after the effective date of this amendmentApril 13971
11, 1991. The decree issued prior to the effective date of this 13972
amendmentApril 11, 1991 shall remain in full force and effect,13973
subject to modification or termination pursuant to section 3109.04 13974
of the Revised Code as that section exists on and after the 13975
effective date of this amendmentApril 11, 1991.13976

       (C) As used in this section, "joint custody" and "joint care, 13977
custody, and control" have the same meaning as "shared parenting."13978

       Sec. 3119.022.  When a court or child support enforcement13979
agency calculates the amount of child support to be paid pursuant13980
to a child support order in a proceeding in which one parent is13981
the residential parent and legal custodian of all of the children13982
who are the subject of the child support order or in which the13983
court issues a shared parenting order, the court or agency shall13984
use a worksheet identical in content and form to the following:13985

CHILD SUPPORT COMPUTATION WORKSHEET
13986

SOLE RESIDENTIAL PARENT OR SHARED PARENTING ORDER
13987

Name of parties ................................................13988

Case No. .......................................................13989

Number of minor children .......................................13990

The following parent was designated as residential parent and13991
legal custodian: ...... mother ...... father ...... shared13992

Column I Column II Column III 13993
Father Mother Combined 13994
INCOME: 13995
1.a. Annual gross income from 13996
employment or, when 13997
determined appropriate 13998
by the court or agency, 13999
average annual gross income 14000
from employment over a 14001
reasonable period of years. 14002
(Exclude overtime, bonuses, 14003
self-employment income, or 14004
commissions)............... $...... $...... 14005
b. Amount of overtime, 14006
bonuses, and commissions 14007
(year 1 representing the 14008
most recent year) 14009

Father Mother 14010
Yr. 3 $.......... Yr. 3 $.......... 14011
(Three years ago) (Three years ago) 14012
Yr. 2 $.......... Yr. 2 $.......... 14013
(Two years ago) (Two years ago) 14014
Yr. 1 $.......... Yr. 1 $.......... 14015
(Last calendar year) (Last calendar year) 14016
Average $......... Average $......... 14017

(Include in Col. I and/or 14018
Col. II the average of the 14019
three years or the year 1 14020
amount, whichever is less, 14021
if there exists a reasonable 14022
expectation that the total 14023
earnings from overtime and/or 14024
bonuses during the current 14025
calendar year will meet or 14026
exceed the amount that is 14027
the lower of the average 14028
of the three years or the 14029
year 1 amount. If, however, 14030
there exists a reasonable 14031
expectation that the total 14032
earnings from overtime/ 14033
bonuses during the current 14034
calendar year will be less 14035
than the lower of the average 14036
of the 3 years or the year 1 14037
amount, include only the 14038
amount reasonably expected 14039
to be earned this year.)... $...... $...... 14040
14041
2. For self-employment income: 14042
a. Gross receipts from 14043
business................... $...... $...... 14044
b. Ordinary and necessary 14045
business expenses.......... $...... $...... 14046
c. 5.6% of adjusted gross 14047
income or the actual 14048
marginal difference between 14049
the actual rate paid by the 14050
self-employed individual 14051
and the F.I.C.A. rate ..... $...... $...... 14052
d. Adjusted gross income from 14053
self-employment (subtract 14054
the sum of 2b and 2c from 14055
2a)........................ $...... $...... 14056
14057
3. Annual income from interest 14058
and dividends (whether or 14059
not taxable)............... $...... $...... 14060
14061
4. Annual income from 14062
unemployment compensation... $...... $...... 14063
14064
5. Annual income from workers' 14065
compensation, disability 14066
insurance benefits, or social 14067
security disability/ 14068
retirement benefits........ $...... $...... 14069
14070
6. Other annual income 14071
(identify)................. $...... $...... 14072
14073
7.a. Total annual gross income 14074
(add lines 1a, 1b, 2d, and 14075
3-6)....................... $...... $...... 14076
b. Health care maximum (multiply 14077
line 7a by 5%) $...... $...... 14078
14079
ADJUSTMENTS TO INCOME: 14080
8. Adjustment for minor children 14081
born to or adopted by either 14082
parent and another parent who 14083
are living with this parent; 14084
adjustment does not apply 14085
to stepchildren (number of 14086
children times federal income 14087
tax exemption less child 14088
support received, not to 14089
exceed the federal tax 14090
exemption)................. $...... $...... 14091
14092
9. Annual court-ordered support 14093
paid for other children.... $...... $...... 14094
14095
10. Annual court-ordered spousal 14096
support paid to any spouse 14097
or former spouse........... $...... $...... 14098
14099
11. Amount of local income taxes 14100
actually paid or estimated 14101
to be paid................. $...... $...... 14102
14103
12. Mandatory work-related 14104
deductions such as union 14105
dues, uniform fees, etc. 14106
(not including taxes, social 14107
security, or retirement)... $...... $...... 14108
14109
13. Total gross income 14110
adjustments (add lines 14111
8 through 12).............. $...... $...... 14112
14113
14. Adjusted annual gross 14114
income (subtract line 13 14115
from line 7a).............. $...... $...... 14116
14117
15. Combined annual income that 14118
is basis for child support 14119
order (add line 14, Col. I 14120
and Col. II)................ $...... 14121
14122
16. Percentage of parent's 14123
income to total income 14124
a. Father (divide line 14, 14125
Col. I, by line 15, Col. 14126
III).......................% 14127
b. Mother (divide line 14, 14128
Col. II, by line 15, Col. 14129
III).......................% 14130
14131
17. Basic combined child 14132
support obligation (refer 14133
to schedule, first column, 14134
locate the amount nearest 14135
to the amount on line 15, 14136
Col. III, then refer to 14137
column for number of 14138
children in this family. 14139
If the income of the 14140
parents is more than one 14141
sum but less than another, 14142
you may calculate the 14143
difference.)............... $...... 14144
14145
18. Annual support obligation per parent 14146
a. Father (multiply line 17, 14147
Col. III, by line 16a)..... $...... 14148
b. Mother (multiply line 17, 14149
Col. III, by line 16b)..... $...... 14150
14151
19. Annual child care expenses 14152
for children who are the 14153
subject of this order that 14154
are work-, employment 14155
training-, or education- 14156
related, as approved by 14157
the court or agency 14158
(deduct tax credit from 14159
annual cost, whether or 14160
not claimed).............. $...... $...... 14161
14162
20. Marginal, out-of-pocket 14163
costs, necessary to provide 14164
for health insurance for 14165
the children who are the 14166
subject of this order 14167
Actual out-of-pocket 14168
health insurance cost 14169
to parent for the children 14170
who are the subject of 14171
this order, if the parent 14172
is ordered to provide 14173
health insurance ........ $...... $...... 14174
14175
21. ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS PROVIDED: 14176

Father (only if obligor Mother (only if obligor 14177
or shared parenting) or shared parenting) 14178
a. Additions: line 16a b. Additions: line 16b 14179
times sum of amounts times sum of amounts 14180
shown on line 19, Col. II shown on line 19, Col. I 14181
and line 20, Col. II and line 20, Col. I 14182
$...................... $...................... 14183
c. Subtractions: line 16b d. Subtractions: line 16a 14184
times sum of amounts times sum of amounts 14185
shown on line 19, Col. I shown on line 19, Col. II 14186
and line 20, Col. I and line 20, Col. II 14187
$....................... $....................... 14188

14189
22. OBLIGATION AFTER ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS PROVIDED: 14190
a. Father: line 18a plus or 14191
minus the difference between 14192
line 21a minus line 21c 14193
$...... 14194
b. Mother: line 18b plus or 14195
minus the difference between 14196
line 21b minus line 21d 14197
$...... 14198
  14199
23. ACTUAL ANNUAL OBLIGATION WHEN HEALTH INSURANCE IS PROVIDED: 14200
a. (Line 22a or 22b, whichever 14201
line corresponds to the 14202
parent who is the obligor). $...... 14203
b. Any non-means-tested 14204
benefits, including social 14205
security and veterans' 14206
benefits, paid to and 14207
received by a child or a 14208
person on behalf of the 14209
child due to death, 14210
disability, or retirement 14211
of the parent............... $...... 14212
c. Actual annual obligation 14213
(subtract line 23b from 14214
line 23a)................... $...... 14215
  14216
24. ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS NOT PROVIDED: 14217

Father (only if obligor Mother (only if obligor 14218
or shared parenting) or shared parenting) 14219
a. Additions: line 16a times b. Additions: line 16b times 14220
amount shown on line 19, amount shown on line 19, 14221
Col. II Col. I 14222
$...................... $...................... 14223
c. Subtractions: line 16b d. Subtractions: line 16a 14224
times amount shown on times amount shown on 14225
line 19, Col. I line 19, Col. II 14226
$....................... $....................... 14227
  14228

25. OBLIGATION AFTER ADJUSTMENTS TO CHILD SUPPORT 14229
WHEN HEALTH INSURANCE IS NOT PROVIDED: 14230
a. Father: line 18a plus or minus the difference between line 24a minus line 24c 14231
$...... 14232
b. Mother: line 18b plus or minus the difference between line 24b and 24d 14233
$...... 14234
  14235
26. ACTUAL ANNUAL OBLIGATION WHEN HEALTH INSURANCE IS NOT PROVIDED: 14236
a. (Line 25a or 25b, whichever line corresponds to the parent who is the 14237
obligor) $...... 14238
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 14239
parent $...... 14240
c. Actual annual obligation (subtract line 26b from line 14241
26a $...... 14242

  14243
27.a. Deviation from sole residential parent support amount shown 14244
on line 23c if amount would be unjust or inappropriate: (see 14245
section 3119.23 of the Revised Code.) (Specific facts and 14246
monetary value must be stated.) 14247
14248
14249
14250
14251
b. Deviation from shared parenting order: (see sections 3119.23 14252
and 3119.24 of the Revised Code.) (Specific facts including 14253
amount of time children spend with each parent, ability of 14254
each parent to maintain adequate housing for children, and 14255
each parent's expenses for children must be stated to justify 14256
deviation.) 14257
14258
14259
14260
14261

WHEN HEALTH INSURANCE IS PROVIDED WHEN HEALTH INSURANCE IS NOT PROVIDED 14262
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) 14263
$...... $...... Father/Mother, OBLIGOR 14264
14265
26 29. FOR DECREE: Child support per month (divide obligor's annual share, line 25 28, by 12) plus any processing charge 14266
$...... $...... 14267
14268
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 14269
line 7b $...... 14270
14271
31. FOR DECREE: Cash medical support per month (divide 14272
line 30 by 12) $...... 14273

Prepared by: 14274
Counsel: .................... Pro se: ................. 14275
(For mother/father) 14276
CSEA: ....................... Other: .................. 14277

Worksheet Has Been Reviewed and Agreed To:
14278

........................... ........................... 14279
Mother Date 14280
........................... ........................... 14281
Father Date 14282

       Sec. 3119.023.  When a court or child support enforcement14283
agency calculates the amount of child support to be paid pursuant14284
to a court child support order in a proceeding in which the14285
parents have split parental rights and responsibilities with14286
respect to the children who are the subject of the child support14287
order, the court or child support enforcement agency shall use a14288
worksheet that is identical in content and form to the following:14289

CHILD SUPPORT COMPUTATION WORKSHEET
14290

SPLIT PARENTAL RIGHTS AND RESPONSIBILITIES
14291

Name of parties ................................................14292

Case No. .......................................................14293

Number of minor children .......................................14294

Number of minor children with mother .......... father .........14295

Column I Column II Column III 14296
Father Mother Combined 14297
INCOME: 14298
1.a. Annual gross income from 14299
employment or, when 14300
determined appropriate 14301
by the court or agency, 14302
average annual gross income 14303
from employment over a 14304
reasonable period of years. 14305
(Exclude overtime, bonuses, 14306
self-employment income, or 14307
commissions)............... $...... $...... 14308
b. Amount of overtime, 14309
bonuses, and commissions 14310
(year 1 representing the 14311
most recent year) 14312

Father Mother 14313
Yr. 3 $.......... Yr. 3 $.......... 14314
(Three years ago) (Three years ago) 14315
Yr. 2 $.......... Yr. 2 $.......... 14316
(Two years ago) (Two years ago) 14317
Yr. 1 $.......... Yr. 1 $.......... 14318
(Last calendar year) (Last calendar year) 14319
Average $.......... $............ 14320

(Include in Col. I and/or 14321
Col. II the average of the 14322
three years or the year 1 14323
amount, whichever is less, 14324
if there exists a reasonable 14325
expectation that the total 14326
earnings from overtime and/or 14327
bonuses during the current 14328
calendar year will meet or 14329
exceed the amount that is 14330
the lower of the average 14331
of the three years or the 14332
year 1 amount. If, however, 14333
there exists a reasonable 14334
expectation that the total 14335
earnings from overtime/ 14336
bonuses during the current 14337
calendar year will be less 14338
than the lower of the average 14339
of the 3 years or the year 1 14340
amount, include only the 14341
amount reasonably expected 14342
to be earned this year.)... $...... $...... 14343
14344
2. For self-employment income 14345
a. Gross receipts from 14346
business................... $...... $...... 14347
b. Ordinary and necessary 14348
business expenses.......... $...... $...... 14349
c. 5.6% of adjusted gross 14350
income or the actual 14351
marginal difference between 14352
the actual rate paid by the 14353
self-employed individual 14354
and the F.I.C.A. rate ..... $...... $...... 14355
d. Adjusted gross income from 14356
self-employment (subtract 14357
the sum of 2b and 2c from 14358
2a)........................ $...... $...... 14359
14360
3. Annual income from interest 14361
and dividends (whether or 14362
not taxable)............... $...... $...... 14363
14364
4. Annual income from 14365
unemployment compensation... $...... $...... 14366
14367
5. Annual income from workers' 14368
compensation, disability 14369
insurance benefits or social 14370
security disability 14371
retirement benefits........ $...... $...... 14372
14373
6. Other annual income 14374
(identify)................. $...... $...... 14375
14376
7.a. Total annual gross income 14377
(add lines 1a, 1b, 2d, and 14378
3-6)....................... $...... $...... 14379
b. Health care maximum 14380
(multiply line 7a 14381
by 5%) $...... $...... 14382
14383
ADJUSTMENTS TO INCOME: 14384
8. Adjustment for minor children 14385
born to or adopted by either 14386
parent and another parent who 14387
are living with this parent; 14388
adjustment does not apply 14389
to stepchildren (number of 14390
children times federal income 14391
tax exemption less child 14392
support received, not to 14393
exceed the federal tax 14394
exemption)................. $...... $...... 14395
14396
9. Annual court-ordered support 14397
paid for other children.... $...... $...... 14398
14399
10. Annual court-ordered spousal 14400
support paid to any spouse 14401
or former spouse........... $...... $...... 14402
14403
11. Amount of local income taxes 14404
actually paid or estimated 14405
to be paid................. $...... $...... 14406
14407
12. Mandatory work-related 14408
deductions such as union 14409
dues, uniform fees, etc. 14410
(not including taxes, social 14411
security, or retirement)... $...... $...... 14412
14413
13. Total gross income 14414
adjustments (add lines 14415
8 through 12).............. $...... $...... 14416
14417
14. Adjusted annual gross 14418
income (subtract line 13 14419
from 7a).................... $...... $...... 14420
14421
15. Combined annual income that 14422
is basis for child support 14423
order (add line 14, Col. I 14424
and Col. II)................ $...... 14425
14426
16. Percentage of parent's 14427
income to total income 14428
a. Father (divide line 14, 14429
Col. I, by line 15, Col. 14430
III).......................% 14431
b. Mother (divide line 14, 14432
Col. II, by line 15, Col. 14433
III).......................% 14434
14435
17. Basic combined child 14436
support obligation (refer 14437
to schedule, first column, 14438
locate the amount nearest 14439
to the amount on line 15, 14440
Col. III, then refer to 14441
column for number of 14442
children with this parent. 14443
If the income of the 14444
parents is more than one 14445
sum but less than another, 14446
you may calculate the 14447
difference)................ 14448
14449

For children For children 14450
for whom the for whom the 14451
mother is the father is the 14452
residential residential 14453
parent and parent and 14454
legal custodian legal custodian 14455
$............ $............ 14456

14457
18. Annual support obligation per parent 14458
a. Of father for children for 14459
whom mother is the 14460
residential parent and 14461
legal custodian (multiply 14462
line 17, Col. I, by line 14463
16a)....................... $...... 14464
b. Of mother for children for 14465
whom the father is the 14466
residential parent and 14467
legal custodian (multiply 14468
line 17, Col. II, by line 14469
16b)....................... $...... 14470
14471
19. Annual child care expenses 14472
for children who are the 14473
subject of this order that 14474
are work-, employment 14475
training-, or education- 14476
related, as approved by 14477
the court or agency 14478
(deduct tax credit from 14479
annual cost whether or 14480
not claimed)............... Paid by Paid by 14481
father mother 14482
$...... $...... 14483
14484
20. Marginal, out-of-pocket 14485
costs, necessary to provide 14486
for health insurance for 14487
the children who are the 14488
subject of this order........ 14489
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 14490
insurance Paid by Paid by 14491
father mother 14492
$...... $...... 14493
14494
21. ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS PROVIDED: 14495

Father Mother 14496
a. Additions: line 16a b. Additions: line 16b 14497
times sum of amounts times sum of amounts 14498
shown on line 19, Col. II shown on line 19, Col. I 14499
and line 20, Col. II and line 20, Col. I 14500
$...................... $...................... 14501
c. Subtractions: line 16b d. Subtractions: line 16a 14502
times sum of amounts times sum of amounts 14503
shown on line 19, Col. I shown on line 19, Col. II 14504
and line 20, Col. I and line 20, Col. II 14505
$....................... $....................... 14506

  14507
22. ACTUAL ANNUAL OBLIGATION WHEN HEALTH INSURANCE IS PROVIDED: 14508
a. Father: line 18a plus line 14509
21a minus line 21c (if the 14510
amount on line 21c is 14511
greater than or equal to 14512
the amount on line 21a-- 14513
enter the number on line 14514
18a in Col. I).............. $...... 14515
b. Any non-means-tested 14516
benefits, including social 14517
security and veterans' 14518
benefits, paid to and 14519
received by children for 14520
whom the mother is the 14521
residential parent and 14522
legal custodian or a person 14523
on behalf of those children 14524
due to death, disability, 14525
or retirement of the 14526
father..................... $...... 14527
c. Actual annual obligation of 14528
father (subtract line 22b 14529
from line 22a)............. $...... 14530
d. Mother: line 18b plus line 14531
21b minus line 21d (if the 14532
amount on line 21d is 14533
greater than or equal to 14534
the amount on line 14535
21b--enter the number on 14536
line 18b in Col. II)....... $...... 14537
e. Any non-means-tested 14538
benefits, including social 14539
security and veterans' 14540
benefits, paid to and 14541
received by children for 14542
whom the father is the 14543
residential parent and 14544
legal custodian or a person 14545
on behalf of those children 14546
due to death, disability, 14547
or retirement of the 14548
mother...................... $...... 14549
f. Actual annual obligation 14550
of mother (subtract line 22e 14551
from line 22d).............. $...... 14552
g. Actual annual obligation 14553
payable (subtract lesser 14554
actual annual obligation 14555
from greater actual annual 14556
obligation using amounts in 14557
lines 22c and 22f to 14558
determine net child support 14559
payable).................... $...... $...... 14560
14561
23. ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS NOT PROVIDED: 14562

Father Mother 14563
a. Additions: line 16a times amount shown on line 19, Col. II b. Additions: line 16b times amount shown on line 19, Col. I 14564
$.......... $.......... 14565
c. Subtractions: line 16b times amount shown on line 19, Col. I d. Subtractions: line 16a times amount shown on line 19, Col. II 14566
$.......... $.......... 14567

  14568
24. ACTUAL ANNUAL OBLIGATION WHEN HEALTH INSURANCE IS NOT PROVIDED: 14569
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 14570
Col. I) $...... 14571
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 14572
retirement of the father $...... 14573
c. Actual annual obligation of the father (subtract line 24b 14574
from line 24a) $...... 14575
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) 14576
$...... 14577
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 14578
$...... 14579
f. Actual annual obligation of the mother (subtract line 24e 14580
from line 24d) $...... 14581
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) 14582
$...... $...... 14583
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 14584
$...... $...... 14585

  14586
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.) 14587
14588
14589
14590
14591

  WHEN HEALTH INSURANCE IS PROVIDED WHEN HEALTH INSURANCE IS NOT PROVIDED 14592
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.) 14593
$...... $...... Father/Mother, OBLIGOR 14594
14595
25 27. FOR DECREE: Child support per month (divide obligor's annual share, line 24 26, by 12) plus any processing charge 14596
$...... $...... 14597
14598
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) 14599
$...... 14600
14601
29. FOR DECREE: Cash medical support per month (divide line 28 by 12) 14602
$...... 14603

Prepared by: 14604
Counsel: .................... Pro se: ................. 14605
       (For mother/father) 14606
CSEA: ....................... Other: .................. 14607

Worksheet Has Been Reviewed and Agreed To:
14608

........................... ........................... 14609
Mother Date 14610
........................... ........................... 14611
Father Date 14612

       Sec. 3119.27. (A) A court that issues or modifies a court14613
support order, or an administrative agency that issues or modifies14614
an administrative child support order, shall impose on the obligor14615
under the support order a processing charge that is the greater of14616
two per cent of the support payment to be collected under a14617
support order or one dollar per month. No court or agency may call 14618
the charge a poundage fee.14619

       (B) In each child support case that is a Title IV-D case, the 14620
department of job and family services shall claim twenty-five 14621
dollars from the processing charge described in division (A) of 14622
this section for federal reporting purposes if the obligee has 14623
never received assistance under Title IV-A and the department has 14624
collected at least five hundred dollars of child support for the 14625
obligee. The director of job and family services shall adopt rules 14626
under Chapter 119. of the Revised Code to implement this division, 14627
and the department shall implement this division not later than 14628
March 31, 2008.14629

       (C) As used in this section:14630

       (1) "Annual" means the period as defined in regulations 14631
issued by the United States secretary of health and human services 14632
to implement the Deficit Reduction Act of 2005 (P.L. 109-171).14633

       (2) "Title IV-A" has the same meaning as in section 5107.02 14634
of the Revised Code.14635

       (3) "Title IV-D case" has the same meaning as in section 14636
3125.01 of the Revised Code.14637

       Sec. 3119.29. (A) As used in this section and sections 14638
3119.30 to 3119.56 of the Revised Code:14639

       (A)(1) "Cash medical support" means an amount ordered to be 14640
paid in a child support order toward the cost of health insurance 14641
provided by a public entity, another parent, or person with whom 14642
the child resides, through employment or otherwise, or for other 14643
medical cost not covered by insurance.14644

       (2) "Federal poverty line" has the same meaning as defined in 14645
section 5104.01 of the Revised Code.14646

       (3) "Health care" means such medical support that includes 14647
coverage under a health insurance plan, payment of costs of 14648
premiums, co-payments, and deductibles, or payment for medical 14649
expenses incurred on behalf of the child.14650

       (4) "Health insurance coverage" means accessible health 14651
insurance that provides primary care services within either thirty 14652
miles or thirty minutes driving time from the residence of the 14653
child subject to the child support order.14654

       (5) "Health plan administrator" means any entity authorized14655
under Title XXXIX of the Revised Code to engage in the business of14656
insurance in this state, any health insuring corporation, any14657
legal entity that is self-insured and provides benefits to its14658
employees or members, and the administrator of any such entity or14659
corporation.14660

       (B)(6) "National medical support notice" means a form 14661
required by the "Child Support Performance and Incentive Act of 14662
1998," P.L. 105-200, 112 Stat. 659, 42 U.S.C. 666(a)(19), as 14663
amended, and jointly developed and promulgated by the secretary of 14664
health and human services and the secretary of labor in federal 14665
regulations adopted under that act as modified by the department 14666
of job and family services under section 3119.291 of the Revised 14667
Code.14668

       (C)(7) "Person required to provide health insurance coverage"14669
means the obligor, obligee, or both, required by the court under a14670
court child support order or by the child support enforcement14671
agency under an administrative child support order to provide14672
health insurance coverage pursuant to section 3119.30 of the14673
Revised Code.14674

       (8) Subject to division (B) of this section, "reasonable 14675
cost" means the cost of private family health insurance that does 14676
not exceed an amount equal to five per cent of the annual gross 14677
income of the person responsible for the health care of the 14678
children subject to the child support order.14679

       (9) "Title XIX" has the same meaning as defined in section 14680
5111.20 of the Revised Code.14681

       (B) If the United States secretary of health and human 14682
services issues a regulation defining "reasonable cost" or a 14683
similar term or phrase relevant to the provisions in child support 14684
orders relating to the provision of health care for children 14685
subject to the orders, and if that definition is substantively 14686
different from the meaning of "reasonable cost" as defined in 14687
division (A) of this section, "reasonable cost" as used in this 14688
section shall have the meaning as defined by the United States 14689
secretary of health and human services.14690

       Sec. 3119.30. (A) In any action or proceeding in which a 14691
child support order is issued or modified, the court, with respect 14692
to court child support orders, and the child support enforcement14693
agency, with respect to administrative child support orders, shall14694
determine the person responsible for the health care of the14695
children subject to the child support order. The determination 14696
shall be based on information provided to the court or to the 14697
child support enforcement agency under section 3119.31 of the 14698
Revised Code. The order shall include one of the following:14699

       (A) A requirement that the obligor under the child support14700
order obtain health insurance coverage for the children if14701
coverage is available at a reasonable cost through a group policy,14702
contract, or plan offered by the obligor's employer or through any14703
other group policy, contract, or plan available to the obligor and14704
is not available for a more reasonable cost through a group14705
policy, contract, or plan available to the obligee;14706

       (B)(1) A requirement that the obligee obtain health insurance14707
coverage for the children if coverage is available through a group14708
policy, contract, or plan offered by the obligee's employer or14709
through any other group policy, contract, or plan available to the14710
obligee and is available at a more reasonable cost than coverage14711
is available to the obligor;14712

       (C)(2) A requirement that the obligor under the child support 14713
order obtain health insurance coverage for the children if 14714
coverage is available at a reasonable cost through any group 14715
policy, contract, or plan available to the obligor and, in the 14716
alternative, if the court or child support enforcement agency 14717
determines that health insurance coverage is not available at a 14718
reasonable cost to the obligee or obligor, and that the gross 14719
income of the obligor is over one hundred fifty per cent of the 14720
federal poverty line, pay cash medical support that is five per 14721
cent of the obligor's annual gross income to either the office of 14722
child support in the department of job and family services to 14723
defray the cost of expenditures under Title XIX to provide health 14724
care for the children, or the obligee if the children are not 14725
receiving assistance under Title XIX;14726

       (3) If health insurance coverage for the children is not14727
available at a reasonable cost through a group policy, contract,14728
or plan offered by the obligor's or obligee's employer or through14729
any other group policy, contract, or plan available to the obligor14730
or the obligee, a requirement that the obligor and the obligee14731
share liability for the cost of the medical and health care needs14732
of the children, under an equitable formula established by the14733
court, with respect to a court child support order, or the child14734
support enforcement agency, with respect to an administrative14735
child support order, with appropriate offset of the amount of any 14736
cash medical payment ordered pursuant to division (A)(2) of this 14737
section, and a requirement that if, after the issuance of the 14738
order, health insurance coverage for the children becomes14739
available at a reasonable cost through a group policy, contract,14740
or plan offered by the obligor's or obligee's employer or through14741
any other group policy, contract, or plan available to the obligor14742
or obligee, the obligor or obligee to whom the coverage becomes14743
available immediately inform the court, with respect to a court14744
child support order, or the child support enforcement agency, with14745
respect to an administrative child support order;14746

       (D)(4) A requirement that both the obligor and the obligee14747
obtain health insurance coverage for the children if coverage is14748
available for the children at a reasonable cost to both the14749
obligor and the obligee and dual coverage would provide for 14750
coordination of medical benefits without unnecessary duplication 14751
of coverage.14752

       (B) The court, with respect to court child support orders, 14753
and the child support enforcement agency, with respect to 14754
administrative child support orders, may determine and include in 14755
an order issued under division (A) of this section that longer 14756
travel times are permissible if residents in part or all of the 14757
service area customarily travel distances farther than thirty 14758
miles or thirty minutes driving time or that primary care services 14759
are accessible only by public transportation.14760

       Sec. 3123.23. (A) The director of job and family services 14761
shall adopt rules under Chapter 119. of the Revised Code to 14762
implement a program to collect arrearages owed under child support 14763
orders from insurance claims, settlements, awards, and payments 14764
based on information obtained pursuant to Title IV-D of the Social 14765
Security Act, 42 U.S.C. 652.14766

       (B) Any insurer and any director, agent, or employee 14767
authorized to act on behalf of an insurer, that releases 14768
information or makes a disclosure in accordance with rules adopted 14769
pursuant to this section shall be immune from liability in a civil 14770
action for harm resulting from the disclosure.14771

       (C) As used in this section, "insurer" has the same meaning 14772
as in section 3901.32 of the Revised Code.14773

       Sec. 3125.12.  Each child support enforcement agency shall 14774
enter into a plan of cooperation with the board of county 14775
commissioners under section 307.983 of the Revised Code and comply 14776
with each fiscalgrant agreement the board enters into under 14777
sectionsections 307.98 and 5101.21 and contracts the board enters 14778
into under sections 307.981 and 307.982 of the Revised Code that 14779
affect the agency.14780

       Sec. 3301.0711.  (A) The department of education shall:14781

       (1) Annually furnish to, grade, and score all tests required14782
by section 3301.0710 of the Revised Code to be administered by14783
city, local, exempted village, and joint vocational school14784
districts, except that each district shall score any test 14785
administered pursuant to division (B)(10) of this section. Each 14786
test so furnished shall include the data verification code of the 14787
student to whom the test will be administered, as assigned 14788
pursuant to division (D)(2) of section 3301.0714 of the Revised 14789
Code. In furnishing the practice versions of Ohio graduation tests 14790
prescribed by division (F) of section 3301.0710 of the Revised 14791
Code, the department shall make the tests available on its web 14792
site for reproduction by districts. In awarding contracts for 14793
grading tests, the department shall give preference to Ohio-based 14794
entities employing Ohio residents.14795

       (2) Adopt rules for the ethical use of tests and prescribing14796
the manner in which the tests prescribed by section 3301.0710 of14797
the Revised Code shall be administered to students.14798

       (B) Except as provided in divisions (C) and (J) of this14799
section, the board of education of each city, local, and exempted14800
village school district shall, in accordance with rules adopted14801
under division (A) of this section:14802

       (1) Administer the reading test prescribed under division 14803
(A)(1)(a) of section 3301.0710 of the Revised Code twice annually 14804
to all students in the third grade who have not attained the score14805
designated for that test under division (A)(2)(c) of section14806
3301.0710 of the Revised Code.14807

       (2) Administer the mathematics test prescribed under division 14808
(A)(1)(a) of section 3301.0710 of the Revised Code at least once 14809
annually to all students in the third grade.14810

       (3) Administer the tests prescribed under division (A)(1)(b)14811
of section 3301.0710 of the Revised Code at least once annually to 14812
all students in the fourth grade.14813

       (4) Administer the tests prescribed under division (A)(1)(c)14814
of section 3301.0710 of the Revised Code at least once annually to14815
all students in the fifth grade.14816

       (5) Administer the tests prescribed under division (A)(1)(d) 14817
of section 3301.0710 of the Revised Code at least once annually to 14818
all students in the sixth grade.14819

       (6) Administer the tests prescribed under division (A)(1)(e)14820
of section 3301.0710 of the Revised Code at least once annually to 14821
all students in the seventh grade.14822

       (7) Administer the tests prescribed under division (A)(1)(f)14823
of section 3301.0710 of the Revised Code at least once annually to14824
all students in the eighth grade.14825

       (8) Except as provided in division (B)(9) of this section,14826
administer any test prescribed under division (B) of section14827
3301.0710 of the Revised Code as follows:14828

       (a) At least once annually to all tenth grade students and at14829
least twice annually to all students in eleventh or twelfth grade 14830
who have not yet attained the score on that test designated under 14831
that division;14832

       (b) To any person who has successfully completed the14833
curriculum in any high school or the individualized education14834
program developed for the person by any high school pursuant to14835
section 3323.08 of the Revised Code but has not received a high14836
school diploma and who requests to take such test, at any time14837
such test is administered in the district.14838

       (9) In lieu of the board of education of any city, local, or14839
exempted village school district in which the student is also14840
enrolled, the board of a joint vocational school district shall14841
administer any test prescribed under division (B) of section14842
3301.0710 of the Revised Code at least twice annually to any 14843
student enrolled in the joint vocational school district who has14844
not yet attained the score on that test designated under that14845
division. A board of a joint vocational school district may also14846
administer such a test to any student described in division14847
(B)(8)(b) of this section.14848

       (10) If the district has been declared to be under an 14849
academic watch or in a state of academic emergency pursuant to 14850
section 3302.03 of the Revised Code or has a three-year average 14851
graduation rate of not more than seventy-five per cent, administer 14852
each test prescribed by division (F) of section 3301.0710 of the 14853
Revised Code in September to all ninth grade students, beginning 14854
in the school year that starts July 1, 2005.14855

       (C)(1)(a) Any student receiving special education services14856
under Chapter 3323. of the Revised Code may be excused from taking14857
any particular test required to be administered under this section 14858
if the individualized education program developed for the student 14859
pursuant to section 3323.08 of the Revised Code excuses the 14860
student from taking that test and instead specifies an alternate 14861
assessment method approved by the department of education as 14862
conforming to requirements of federal law for receipt of federal 14863
funds for disadvantaged pupils. To the extent possible, the 14864
individualized education program shall not excuse the student from 14865
taking a test unless no reasonable accommodation can be made to 14866
enable the student to take the test.14867

       (b) Any alternate assessment approved by the department for a 14868
student under this division shall produce measurable results14869
comparable to those produced by the tests which the alternate14870
assessments are replacing in order to allow for the student's14871
assessment results to be included in the data compiled for a14872
school district or building under section 3302.03 of the Revised 14873
Code.14874

       (c) Any student enrolled in a chartered nonpublic school who 14875
has been identified, based on an evaluation conducted in14876
accordance with section 3323.03 of the Revised Code or section 50414877
of the "Rehabilitation Act of 1973," 87 Stat. 355, 29 U.S.C.A.14878
794, as amended, as a child with a disability shall be excused14879
from taking any particular test required to be administered under14880
this section if a plan developed for the student pursuant to rules14881
adopted by the state board excuses the student from taking that14882
test. In the case of any student so excused from taking a test,14883
the chartered nonpublic school shall not prohibit the student from14884
taking the test.14885

       (2) A district board may, for medical reasons or other good14886
cause, excuse a student from taking a test administered under this14887
section on the date scheduled, but any such test shall be14888
administered to such excused student not later than nine days14889
following the scheduled date. The board shall annually report the14890
number of students who have not taken one or more of the tests14891
required by this section to the state board of education not later14892
than the thirtieth day of June.14893

       (3) As used in this division, "limited English proficient 14894
student" has the same meaning as in 20 U.S.C. 7801.14895

       No school district board shall excuse any limited English 14896
proficient student from taking any particular test required to be 14897
administered under this section, except that any limited English 14898
proficient student who has been enrolled in United States schools 14899
for less than one full school year shall not be required to take 14900
any such reading or writing test. However, no board shall prohibit 14901
a limited English proficient student who is not required to take a 14902
test under this division from taking the test. A board may permit 14903
any limited English proficient student to take any test required 14904
to be administered under this section with appropriate 14905
accommodations, as determined by the department. For each limited 14906
English proficient student, each school district shall annually 14907
assess that student's progress in learning English, in accordance 14908
with procedures approved by the department.14909

       The governing authority of a chartered nonpublic school may 14910
excuse a limited English proficient student from taking any test 14911
administered under this section. However, no governing authority 14912
shall prohibit a limited English proficient student from taking 14913
the test.14914

       (D)(1) In the school year next succeeding the school year in14915
which the tests prescribed by division (A)(1) or (B) of section14916
3301.0710 of the Revised Code or former division (A)(1), (A)(2), 14917
or (B) of section 3301.0710 of the Revised Code as it existed 14918
prior to September 11, 2001, are administered to any student, the 14919
board of education of any school district in which the student is14920
enrolled in that year shall provide to the student intervention14921
services commensurate with the student's test performance,14922
including any intensive intervention required under section14923
3313.608 of the Revised Code, in any skill in which the student14924
failed to demonstrate at least a score at the proficient level on 14925
the test.14926

       (2) Following any administration of the tests prescribed by 14927
division (F) of section 3301.0710 of the Revised Code to ninth 14928
grade students, each school district that has a three-year average 14929
graduation rate of not more than seventy-five per cent shall 14930
determine for each high school in the district whether the school 14931
shall be required to provide intervention services to any students 14932
who took the tests. In determining which high schools shall 14933
provide intervention services based on the resources available, 14934
the district shall consider each school's graduation rate and 14935
scores on the practice tests. The district also shall consider the 14936
scores received by ninth grade students on the reading and 14937
mathematics tests prescribed under division (A)(1)(f) of section 14938
3301.0710 of the Revised Code in the eighth grade in determining 14939
which high schools shall provide intervention services.14940

       Each high school selected to provide intervention services 14941
under this division shall provide intervention services to any 14942
student whose test results indicate that the student is failing to 14943
make satisfactory progress toward being able to attain scores at 14944
the proficient level on the Ohio graduation tests. Intervention 14945
services shall be provided in any skill in which a student 14946
demonstrates unsatisfactory progress and shall be commensurate 14947
with the student's test performance. Schools shall provide the 14948
intervention services prior to the end of the school year, during 14949
the summer following the ninth grade, in the next succeeding 14950
school year, or at any combination of those times.14951

       (E) Except as provided in section 3313.608 of the Revised14952
Code and division (M) of this section, no school district board of14953
education shall utilize any student's failure to attain a14954
specified score on any test administered under this section as a14955
factor in any decision to deny the student promotion to a higher14956
grade level. However, a district board may choose not to promote14957
to the next grade level any student who does not take any test14958
administered under this section or make up such test as provided14959
by division (C)(2) of this section and who is not exempt from the 14960
requirement to take the test under division (C)(3) of this 14961
section.14962

       (F) No person shall be charged a fee for taking any test14963
administered under this section.14964

       (G)(1) Each school district board shall submitdesignate one 14965
location for the collection of tests administered in the spring 14966
under division (B)(1) of this section and the tests administered 14967
under divisions (B)(2) to (7) of this section. Each district board 14968
shall submit the tests to the entity with which the department 14969
contracts for the scoring of the tests as follows:14970

        (a) If the district's total enrollment in grades kindergarten 14971
through twelve during the first full school week of October was 14972
less than two thousand five hundred, not later than the Friday 14973
after the tests are administered, except that;14974

       (b) If the district's total enrollment in grades kindergarten 14975
through twelve during the first full school week of October was 14976
two thousand five hundred or more, but less than seven thousand, 14977
not later than the Monday after the tests are administered;14978

        (c) If the district's total enrollment in grades kindergarten 14979
through twelve during the first full school week of October was 14980
seven thousand or more, not later than the Tuesday after the tests 14981
are administered.14982

        However, any such test that a student takes during the 14983
make-up period described in division (C)(2) of this section shall 14984
be submitted not later than the Friday following the day the 14985
student takes the test.14986

        (2) The department or an entity with which the department 14987
contracts for the scoring of the test shall send to each school 14988
district board a list of the individual test scores of all persons 14989
taking any test prescribed by division (A)(1) or (B) of section 14990
3301.0710 of the Revised Code within sixty days after its 14991
administration, but in no case shall the scores be returned later 14992
than the fifteenth day of June following the administration. For 14993
any tests administered under this section by a joint vocational 14994
school district, the department or entity shall also send to each 14995
city, local, or exempted village school district a list of the 14996
individual test scores of any students of such city, local, or 14997
exempted village school district who are attending school in the 14998
joint vocational school district.14999

       (H) Individual test scores on any tests administered under15000
this section shall be released by a district board only in15001
accordance with section 3319.321 of the Revised Code and the rules15002
adopted under division (A) of this section. No district board or15003
its employees shall utilize individual or aggregate test results15004
in any manner that conflicts with rules for the ethical use of15005
tests adopted pursuant to division (A) of this section.15006

       (I) Except as provided in division (G) of this section, the15007
department or an entity with which the department contracts for 15008
the scoring of the test shall not release any individual test 15009
scores on any test administered under this section. The state 15010
board of education shall adopt rules to ensure the protection of 15011
student confidentiality at all times. The rules may require the 15012
use of the data verification codes assigned to students pursuant 15013
to division (D)(2) of section 3301.0714 of the Revised Code to 15014
protect the confidentiality of student test scores.15015

       (J) Notwithstanding division (D) of section 3311.52 of the15016
Revised Code, this section does not apply to the board of15017
education of any cooperative education school district except as15018
provided under rules adopted pursuant to this division.15019

       (1) In accordance with rules that the state board of15020
education shall adopt, the board of education of any city,15021
exempted village, or local school district with territory in a15022
cooperative education school district established pursuant to15023
divisions (A) to (C) of section 3311.52 of the Revised Code may15024
enter into an agreement with the board of education of the 15025
cooperative education school district for administering any test15026
prescribed under this section to students of the city, exempted15027
village, or local school district who are attending school in the15028
cooperative education school district.15029

       (2) In accordance with rules that the state board of15030
education shall adopt, the board of education of any city,15031
exempted village, or local school district with territory in a15032
cooperative education school district established pursuant to15033
section 3311.521 of the Revised Code shall enter into an agreement15034
with the cooperative district that provides for the administration15035
of any test prescribed under this section to both of the15036
following:15037

       (a) Students who are attending school in the cooperative15038
district and who, if the cooperative district were not15039
established, would be entitled to attend school in the city,15040
local, or exempted village school district pursuant to section15041
3313.64 or 3313.65 of the Revised Code;15042

       (b) Persons described in division (B)(8)(b) of this section.15043

       Any testing of students pursuant to such an agreement shall15044
be in lieu of any testing of such students or persons pursuant to15045
this section.15046

       (K)(1) Any chartered nonpublic school may participate in the15047
testing program by administering any of the tests prescribed by15048
section 3301.0710 or 3301.0712 of the Revised Code if the chief15049
administrator of the school specifies which tests the school15050
wishes to administer. Such specification shall be made in writing 15051
to the superintendent of public instruction prior to the first day 15052
of August of any school year in which tests are administered and15053
shall include a pledge that the nonpublic school will administer15054
the specified tests in the same manner as public schools are15055
required to do under this section and rules adopted by the15056
department.15057

       (2) The department of education shall furnish the tests15058
prescribed by section 3301.0710 or 3301.0712 of the Revised Code 15059
to any chartered nonpublic school electing to participate under 15060
this division.15061

       (L)(1) The superintendent of the state school for the blind15062
and the superintendent of the state school for the deaf shall15063
administer the tests described by section 3301.0710 of the Revised15064
Code. Each superintendent shall administer the tests in the same15065
manner as district boards are required to do under this section15066
and rules adopted by the department of education and in conformity15067
with division (C)(1)(a) of this section.15068

       (2) The department of education shall furnish the tests15069
described by section 3301.0710 of the Revised Code to each15070
superintendent.15071

       (M) Notwithstanding division (E) of this section, a school15072
district may use a student's failure to attain a score in at least 15073
the basic range on the mathematics test described by division 15074
(A)(1)(a) of section 3301.0710 of the Revised Code or on any of 15075
the tests described by division (A)(1)(b), (c), (d), (e), or (f) 15076
of section 3301.0710 of the Revised Code as a factor in retaining 15077
that student in the current grade level.15078

       (N)(1) In the manner specified in divisions (N)(3) to (5) of 15079
this section, the tests required by section 3301.0710 of the15080
Revised Code shall become public records pursuant to section15081
149.43 of the Revised Code on the first day of July following the15082
school year that the test was administered.15083

       (2) The department may field test proposed test questions15084
with samples of students to determine the validity, reliability,15085
or appropriateness of test questions for possible inclusion in a15086
future year's test. The department also may use anchor questions 15087
on tests to ensure that different versions of the same test are of 15088
comparable difficulty.15089

       Field test questions and anchor questions shall not be 15090
considered in computing test scores for individual students. Field 15091
test questions and anchor questions may be included as part of the 15092
administration of any test required by section 3301.0710 of the 15093
Revised Code.15094

       (3) Any field test question or anchor question administered 15095
under division (N)(2) of this section shall not be a public 15096
record. Such field test questions and anchor questions shall be15097
redacted from any tests which are released as a public record 15098
pursuant to division (N)(1) of this section.15099

       (4) This division applies to the tests prescribed by division 15100
(A) of section 3301.0710 of the Revised Code.15101

       (a) The first administration of each test, as specified in 15102
section 3301.0712 of the Revised Code, shall be a public record.15103

       (b) For subsequent administrations of each test, not less 15104
than forty per cent of the questions on the test that are used to 15105
compute a student's score shall be a public record. The department 15106
shall determine which questions will be needed for reuse on a 15107
future test and those questions shall not be public records and 15108
shall be redacted from the test prior to its release as a public 15109
record. However, for each redacted question, the department shall 15110
inform each city, local, and exempted village school district of 15111
the statewide academic standard adopted by the state board of 15112
education under section 3301.079 of the Revised Code and the 15113
corresponding benchmark to which the question relates. The 15114
preceding sentence does not apply to field test questions that are 15115
redacted under division (N)(3) of this section.15116

       (5) Each test prescribed by division (B) of section 3301.0710 15117
of the Revised Code that is administered in the spring shall be a 15118
public record. Each test prescribed by that division that is 15119
administered in the fall or summer shall not be a public record.15120

       (O) As used in this section:15121

        (1) "Three-year average" means the average of the most recent 15122
consecutive three school years of data.15123

        (2) "Dropout" means a student who withdraws from school 15124
before completing course requirements for graduation and who is 15125
not enrolled in an education program approved by the state board 15126
of education or an education program outside the state. "Dropout" 15127
does not include a student who has departed the country.15128

        (3) "Graduation rate" means the ratio of students receiving a 15129
diploma to the number of students who entered ninth grade four 15130
years earlier. Students who transfer into the district are added 15131
to the calculation. Students who transfer out of the district for 15132
reasons other than dropout are subtracted from the calculation. If 15133
a student who was a dropout in any previous year returns to the 15134
same school district, that student shall be entered into the 15135
calculation as if the student had entered ninth grade four years 15136
before the graduation year of the graduating class that the 15137
student joins.15138

       Sec. 3301.0714.  (A) The state board of education shall adopt 15139
rules for a statewide education management information system. The 15140
rules shall require the state board to establish guidelines for 15141
the establishment and maintenance of the system in accordance with 15142
this section and the rules adopted under this section. The 15143
guidelines shall include:15144

       (1) Standards identifying and defining the types of data in15145
the system in accordance with divisions (B) and (C) of this15146
section;15147

       (2) Procedures for annually collecting and reporting the data 15148
to the state board in accordance with division (D) of this15149
section;15150

       (3) Procedures for annually compiling the data in accordance15151
with division (G) of this section;15152

       (4) Procedures for annually reporting the data to the public15153
in accordance with division (H) of this section.15154

       (B) The guidelines adopted under this section shall require15155
the data maintained in the education management information system15156
to include at least the following:15157

       (1) Student participation and performance data, for each15158
grade in each school district as a whole and for each grade in15159
each school building in each school district, that includes:15160

       (a) The numbers of students receiving each category of15161
instructional service offered by the school district, such as15162
regular education instruction, vocational education instruction,15163
specialized instruction programs or enrichment instruction that is15164
part of the educational curriculum, instruction for gifted15165
students, instruction for handicapped students, and remedial15166
instruction. The guidelines shall require instructional services15167
under this division to be divided into discrete categories if an15168
instructional service is limited to a specific subject, a specific15169
type of student, or both, such as regular instructional services15170
in mathematics, remedial reading instructional services,15171
instructional services specifically for students gifted in15172
mathematics or some other subject area, or instructional services15173
for students with a specific type of handicap. The categories of15174
instructional services required by the guidelines under this15175
division shall be the same as the categories of instructional15176
services used in determining cost units pursuant to division15177
(C)(3) of this section.15178

       (b) The numbers of students receiving support or15179
extracurricular services for each of the support services or15180
extracurricular programs offered by the school district, such as15181
counseling services, health services, and extracurricular sports15182
and fine arts programs. The categories of services required by the 15183
guidelines under this division shall be the same as the categories 15184
of services used in determining cost units pursuant to division 15185
(C)(4)(a) of this section.15186

       (c) Average student grades in each subject in grades nine15187
through twelve;15188

       (d) Academic achievement levels as assessed by the testing of 15189
student achievement under sections 3301.0710 and 3301.0711 of the 15190
Revised Code;15191

       (e) The number of students designated as having a15192
handicapping condition pursuant to division (C)(1) of section15193
3301.0711 of the Revised Code;15194

       (f) The numbers of students reported to the state board15195
pursuant to division (C)(2) of section 3301.0711 of the Revised15196
Code;15197

       (g) Attendance rates and the average daily attendance for the 15198
year. For purposes of this division, a student shall be counted as 15199
present for any field trip that is approved by the school 15200
administration.15201

       (h) Expulsion rates;15202

       (i) Suspension rates;15203

       (j) The percentage of students receiving corporal punishment;15204

       (k) Dropout rates;15205

       (l) Rates of retention in grade;15206

       (m) For pupils in grades nine through twelve, the average15207
number of carnegie units, as calculated in accordance with state15208
board of education rules;15209

       (n) Graduation rates, to be calculated in a manner specified15210
by the department of education that reflects the rate at which15211
students who were in the ninth grade three years prior to the15212
current year complete school and that is consistent with15213
nationally accepted reporting requirements;15214

       (o) Results of diagnostic assessments administered to15215
kindergarten students as required under section 3301.0715 of the15216
Revised Code to permit a comparison of the academic readiness of15217
kindergarten students. However, no district shall be required to15218
report to the department the results of any diagnostic assessment15219
administered to a kindergarten student if the parent of that15220
student requests the district not to report those results.15221

       (2) Personnel and classroom enrollment data for each school15222
district, including:15223

       (a) The total numbers of licensed employees and nonlicensed15224
employees and the numbers of full-time equivalent licensed15225
employees and nonlicensed employees providing each category of15226
instructional service, instructional support service, and15227
administrative support service used pursuant to division (C)(3) of15228
this section. The guidelines adopted under this section shall15229
require these categories of data to be maintained for the school15230
district as a whole and, wherever applicable, for each grade in15231
the school district as a whole, for each school building as a15232
whole, and for each grade in each school building.15233

       (b) The total number of employees and the number of full-time 15234
equivalent employees providing each category of service used 15235
pursuant to divisions (C)(4)(a) and (b) of this section, and the 15236
total numbers of licensed employees and nonlicensed employees and 15237
the numbers of full-time equivalent licensed employees and15238
nonlicensed employees providing each category used pursuant to15239
division (C)(4)(c) of this section. The guidelines adopted under15240
this section shall require these categories of data to be15241
maintained for the school district as a whole and, wherever15242
applicable, for each grade in the school district as a whole, for15243
each school building as a whole, and for each grade in each school15244
building.15245

       (c) The total number of regular classroom teachers teaching15246
classes of regular education and the average number of pupils15247
enrolled in each such class, in each of grades kindergarten15248
through five in the district as a whole and in each school15249
building in the school district.15250

       (d) The number of master teachers employed by each school 15251
district and each school building, once a definition of master 15252
teacher has been developed by the educator standards board 15253
pursuant to section 3319.61 of the Revised Code.15254

       (3)(a) Student demographic data for each school district,15255
including information regarding the gender ratio of the school15256
district's pupils, the racial make-up of the school district's15257
pupils, the number of limited English proficient students in the 15258
district, and an appropriate measure of the number of the school15259
district's pupils who reside in economically disadvantaged15260
households. The demographic data shall be collected in a manner to 15261
allow correlation with data collected under division (B)(1) of15262
this section. Categories for data collected pursuant to division15263
(B)(3) of this section shall conform, where appropriate, to15264
standard practices of agencies of the federal government.15265

       (b) With respect to each student entering kindergarten,15266
whether the student previously participated in a public preschool15267
program, a private preschool program, or a head start program, and15268
the number of years the student participated in each of these15269
programs.15270

       (4) Any data required to be collected pursuant to federal 15271
law.15272

       (C) The education management information system shall include 15273
cost accounting data for each district as a whole and for each 15274
school building in each school district. The guidelines adopted 15275
under this section shall require the cost data for each school 15276
district to be maintained in a system of mutually exclusive cost 15277
units and shall require all of the costs of each school district 15278
to be divided among the cost units. The guidelines shall require 15279
the system of mutually exclusive cost units to include at least 15280
the following:15281

       (1) Administrative costs for the school district as a whole.15282
The guidelines shall require the cost units under this division15283
(C)(1) to be designed so that each of them may be compiled and15284
reported in terms of average expenditure per pupil in formula ADM15285
in the school district, as determined pursuant to section 3317.0315286
of the Revised Code.15287

       (2) Administrative costs for each school building in the15288
school district. The guidelines shall require the cost units under 15289
this division (C)(2) to be designed so that each of them may be 15290
compiled and reported in terms of average expenditure per15291
full-time equivalent pupil receiving instructional or support15292
services in each building.15293

       (3) Instructional services costs for each category of15294
instructional service provided directly to students and required15295
by guidelines adopted pursuant to division (B)(1)(a) of this15296
section. The guidelines shall require the cost units under15297
division (C)(3) of this section to be designed so that each of15298
them may be compiled and reported in terms of average expenditure15299
per pupil receiving the service in the school district as a whole15300
and average expenditure per pupil receiving the service in each15301
building in the school district and in terms of a total cost for15302
each category of service and, as a breakdown of the total cost, a15303
cost for each of the following components:15304

       (a) The cost of each instructional services category required 15305
by guidelines adopted under division (B)(1)(a) of this section 15306
that is provided directly to students by a classroom teacher;15307

       (b) The cost of the instructional support services, such as15308
services provided by a speech-language pathologist, classroom15309
aide, multimedia aide, or librarian, provided directly to students15310
in conjunction with each instructional services category;15311

       (c) The cost of the administrative support services related15312
to each instructional services category, such as the cost of15313
personnel that develop the curriculum for the instructional15314
services category and the cost of personnel supervising or15315
coordinating the delivery of the instructional services category.15316

       (4) Support or extracurricular services costs for each15317
category of service directly provided to students and required by15318
guidelines adopted pursuant to division (B)(1)(b) of this section.15319
The guidelines shall require the cost units under division (C)(4)15320
of this section to be designed so that each of them may be15321
compiled and reported in terms of average expenditure per pupil15322
receiving the service in the school district as a whole and15323
average expenditure per pupil receiving the service in each15324
building in the school district and in terms of a total cost for15325
each category of service and, as a breakdown of the total cost, a15326
cost for each of the following components:15327

       (a) The cost of each support or extracurricular services15328
category required by guidelines adopted under division (B)(1)(b)15329
of this section that is provided directly to students by a15330
licensed employee, such as services provided by a guidance15331
counselor or any services provided by a licensed employee under a15332
supplemental contract;15333

       (b) The cost of each such services category provided directly 15334
to students by a nonlicensed employee, such as janitorial15335
services, cafeteria services, or services of a sports trainer;15336

       (c) The cost of the administrative services related to each15337
services category in division (C)(4)(a) or (b) of this section,15338
such as the cost of any licensed or nonlicensed employees that15339
develop, supervise, coordinate, or otherwise are involved in15340
administering or aiding the delivery of each services category.15341

       (D)(1) The guidelines adopted under this section shall15342
require school districts to collect information about individual15343
students, staff members, or both in connection with any data15344
required by division (B) or (C) of this section or other reporting15345
requirements established in the Revised Code. The guidelines may 15346
also require school districts to report information about15347
individual staff members in connection with any data required by15348
division (B) or (C) of this section or other reporting15349
requirements established in the Revised Code. The guidelines shall 15350
not authorize school districts to request social security numbers 15351
of individual students. The guidelines shall prohibit the15352
reporting under this section of a student's name, address, and15353
social security number to the state board of education or the15354
department of education. The guidelines shall also prohibit the15355
reporting under this section of any personally identifiable15356
information about any student, except for the purpose of assigning15357
the data verification code required by division (D)(2) of this15358
section, to any other person unless such person is employed by the15359
school district or the information technology center operated 15360
under section 3301.075 of the Revised Code and is authorized by 15361
the district or technology center to have access to such15362
information or is employed by an entity with which the department 15363
contracts for the scoring of tests administered under section 15364
3301.0711 or 3301.0712 of the Revised Code. The guidelines may15365
require school districts to provide the social security numbers of15366
individual staff members.15367

       (2) The guidelines shall provide for each school district or15368
community school to assign a data verification code that is unique15369
on a statewide basis over time to each student whose initial Ohio15370
enrollment is in that district or school and to report all15371
required individual student data for that student utilizing such15372
code. The guidelines shall also provide for assigning data15373
verification codes to all students enrolled in districts or15374
community schools on the effective date of the guidelines15375
established under this section.15376

       Individual student data shall be reported to the department15377
through the information technology centers utilizing the code but, 15378
except as provided in section 3310.11 of the Revised Code, at no15379
time shall the state board or the department have access to15380
information that would enable any data verification code to be15381
matched to personally identifiable student data.15382

       Each school district shall ensure that the data verification15383
code is included in the student's records reported to any15384
subsequent school district or community school in which the15385
student enrolls. Any such subsequent district or school shall 15386
utilize the same identifier in its reporting of data under this 15387
section.15388

       The director of health shall request and receive, pursuant to 15389
sections 3301.0723 and 3701.62 of the Revised Code, a data 15390
verification code for a child who is receiving services under 15391
division (A)(2) of section 3701.61 of the Revised Code. 15392

       A school district or community school shall submit to the 15393
eTech Ohio commission the data verification code for each of its 15394
enrolled students who is also enrolled in a course offered through 15395
the clearinghouse established under section 3353.21 of the Revised 15396
Code.15397

       (E) The guidelines adopted under this section may require15398
school districts to collect and report data, information, or15399
reports other than that described in divisions (A), (B), and (C)15400
of this section for the purpose of complying with other reporting15401
requirements established in the Revised Code. The other data,15402
information, or reports may be maintained in the education15403
management information system but are not required to be compiled15404
as part of the profile formats required under division (G) of this15405
section or the annual statewide report required under division (H)15406
of this section.15407

       (F) Beginning with the school year that begins July 1, 1991,15408
the board of education of each school district shall annually15409
collect and report to the state board, in accordance with the15410
guidelines established by the board, the data required pursuant to15411
this section. A school district may collect and report these data15412
notwithstanding section 2151.357 or 3319.321 of the Revised Code.15413

       (G) The state board shall, in accordance with the procedures15414
it adopts, annually compile the data reported by each school15415
district pursuant to division (D) of this section. The state board 15416
shall design formats for profiling each school district as a whole 15417
and each school building within each district and shall compile 15418
the data in accordance with these formats. These profile formats 15419
shall:15420

       (1) Include all of the data gathered under this section in a15421
manner that facilitates comparison among school districts and15422
among school buildings within each school district;15423

       (2) Present the data on academic achievement levels as15424
assessed by the testing of student achievement maintained pursuant 15425
to division (B)(1)(d) of this section.15426

       (H)(1) The state board shall, in accordance with the15427
procedures it adopts, annually prepare a statewide report for all15428
school districts and the general public that includes the profile15429
of each of the school districts developed pursuant to division (G)15430
of this section. Copies of the report shall be sent to each school 15431
district.15432

       (2) The state board shall, in accordance with the procedures15433
it adopts, annually prepare an individual report for each school15434
district and the general public that includes the profiles of each15435
of the school buildings in that school district developed pursuant15436
to division (G) of this section. Copies of the report shall be15437
sent to the superintendent of the district and to each member of15438
the district board of education.15439

       (3) Copies of the reports received from the state board under 15440
divisions (H)(1) and (2) of this section shall be made available 15441
to the general public at each school district's offices. Each 15442
district board of education shall make copies of each report15443
available to any person upon request and payment of a reasonable15444
fee for the cost of reproducing the report. The board shall15445
annually publish in a newspaper of general circulation in the15446
school district, at least twice during the two weeks prior to the15447
week in which the reports will first be available, a notice15448
containing the address where the reports are available and the15449
date on which the reports will be available.15450

       (I) Any data that is collected or maintained pursuant to this 15451
section and that identifies an individual pupil is not a public 15452
record for the purposes of section 149.43 of the Revised Code.15453

       (J) As used in this section:15454

       (1) "School district" means any city, local, exempted15455
village, or joint vocational school district.15456

       (2) "Cost", "cost" means any expenditure for operating 15457
expenses made by a school district excluding any expenditures for 15458
debt retirement except for payments made to any commercial lending15459
institution for any loan approved pursuant to section 3313.483 of15460
the Revised Code.15461

       (K) Any person who removes data from the information system15462
established under this section for the purpose of releasing it to15463
any person not entitled under law to have access to such15464
information is subject to section 2913.42 of the Revised Code15465
prohibiting tampering with data.15466

       (L) Any time the department of education determines that a15467
school district has taken any of the actions described under15468
division (L)(1), (2), or (3) of this section, it shall make a15469
report of the actions of the district, send a copy of the report15470
to the superintendent of such school district, and maintain a copy15471
of the report in its files:15472

       (1) The school district fails to meet any deadline15473
established pursuant to this section for the reporting of any data15474
to the education management information system;15475

       (2) The school district fails to meet any deadline15476
established pursuant to this section for the correction of any15477
data reported to the education management information system;15478

       (3) The school district reports data to the education15479
management information system in a condition, as determined by the15480
department, that indicates that the district did not make a good15481
faith effort in reporting the data to the system.15482

       Any report made under this division shall include15483
recommendations for corrective action by the school district.15484

       Upon making a report for the first time in a fiscal year, the15485
department shall withhold ten per cent of the total amount due15486
during that fiscal year under Chapter 3317. of the Revised Code to15487
the school district to which the report applies. Upon making a15488
second report in a fiscal year, the department shall withhold an15489
additional twenty per cent of such total amount due during that15490
fiscal year to the school district to which the report applies.15491
The department shall not release such funds unless it determines15492
that the district has taken corrective action. However, no such15493
release of funds shall occur if the district fails to take15494
corrective action within forty-five days of the date upon which 15495
the report was made by the department.15496

       (1) In accordance with division (L)(2) of this section, the 15497
department of education may sanction any school district that 15498
reports incomplete or inaccurate data, reports data that does not 15499
conform to data requirements and descriptions published by the 15500
department, fails to report data in a timely manner, or otherwise 15501
does not make a good faith effort to report data as required by 15502
this section.15503

       (2) If the department decides to sanction a school district 15504
under this division, the department shall take the following 15505
sequential actions:15506

       (a) Notify the district in writing that the department has 15507
determined that data has not been reported as required under this 15508
section and require the district to review its data submission and 15509
submit corrected data by a deadline established by the department. 15510
The department also may require the district to develop a 15511
corrective action plan, which shall include provisions for the 15512
district to provide mandatory staff training on data reporting 15513
procedures.15514

       (b) Withhold up to ten per cent of the total amount due to 15515
the district under Chapter 3317. of the Revised Code for the 15516
current fiscal year and, if not previously required under division 15517
(L)(2)(a) of this section, require the district to develop a 15518
corrective action plan in accordance with that division;15519

       (c) Withhold an additional amount of up to twenty per cent of 15520
the total amount due to the district under Chapter 3317. of the 15521
Revised Code for the current fiscal year;15522

       (d) Direct department staff or an outside entity to 15523
investigate the district's data reporting practices and make 15524
recommendations for subsequent actions. The recommendations may 15525
include one or more of the following actions:15526

       (i) Arrange for an audit of the district's data reporting 15527
practices by department staff or an outside entity;15528

       (ii) Conduct a site visit and evaluation of the district;15529

       (iii) Withhold an additional amount of up to thirty per cent 15530
of the total amount due to the district under Chapter 3317. of the 15531
Revised Code for the current fiscal year;15532

       (iv) Continue monitoring the district's data reporting;15533

       (v) Assign department staff to supervise the district's data 15534
management system;15535

       (vi) Conduct an investigation to determine whether to suspend 15536
or revoke the license of any district employee in accordance with 15537
division (N) of this section;15538

       (vii) Indicate on the report card issued for the district 15539
under section 3302.03 of the Revised Code that the district has 15540
been sanctioned for failing to report data as required by this 15541
section;15542

       (viii) If incomplete or inaccurate data submitted by the 15543
district likely caused the district to receive a higher 15544
performance rating than it deserved under section 3302.03 of the 15545
Revised Code, issue a revised report card for the district;15546

       (ix) Any other action designed to correct the district's data 15547
reporting problems.15548

       (3) Any time the department takes an action against a school 15549
district under division (L)(2) of this section, the department 15550
shall make a report of the circumstances that prompted the action. 15551
The department shall send a copy of the report to the district 15552
superintendent and maintain a copy of the report in its files.15553

       (4) If any action taken under division (L)(2) of this section 15554
resolves a school district's data reporting problems to the 15555
department's satisfaction, the department shall not take any 15556
further actions described by that division. If the department 15557
withheld funds from the district under that division, the 15558
department may release those funds to the district, except that if 15559
the department withheld funding under division (L)(2)(c) of this 15560
section, the department shall not release the funds withheld under 15561
division (L)(2)(b) of this section and, if the department withheld 15562
funding under division (L)(2)(d) of this section, the department 15563
shall not release the funds withheld under division (L)(2)(b) or 15564
(c) of this section.15565

       (5) Notwithstanding anything in this section to the contrary, 15566
the department may use its own staff or an outside entity to 15567
conduct an audit of a school district's data reporting practices 15568
any time the department has reason to believe the district has not 15569
made a good faith effort to report data as required by this 15570
section. If any audit conducted by an outside entity under 15571
division (L)(2)(d)(i) or (5) of this section confirms that a 15572
district has not made a good faith effort to report data as 15573
required by this section, the district shall reimburse the 15574
department for the full cost of the audit. The department may 15575
withhold funds due to the district under Chapter 3317. of the 15576
Revised Code for this purpose.15577

       (6) Prior to issuing a revised report card for a school 15578
district under division (L)(2)(d)(viii) of this section, the 15579
department may hold a hearing to provide the district with an 15580
opportunity to demonstrate that it made a good faith effort to 15581
report data as required by this section. The hearing shall be 15582
conducted by a referee appointed by the department. Based on the 15583
information provided in the hearing, the referee shall recommend 15584
whether the department should issue a revised report card for the 15585
district. If the referee affirms the department's contention that 15586
the district did not make a good faith effort to report data as 15587
required by this section, the district shall bear the full cost of 15588
conducting the hearing and of issuing any revised report card.15589

       (7) If the department determines that any inaccurate data 15590
reported under this section caused a school district to receive 15591
excess funds under Chapter 3317. of the Revised Code in any fiscal 15592
year, the district shall reimburse the department an amount equal 15593
to the excess funds, in accordance with a payment schedule 15594
determined by the department. The department may withhold funds 15595
due to the district under Chapter 3317. of the Revised Code for 15596
this purpose.15597

       (8) Any school district that has funds withheld under 15598
division (L)(2) of this section may appeal the withholding in 15599
accordance with Chapter 119. of the Revised Code.15600

       (9) In all cases of a disagreement between the department and 15601
a school district regarding the appropriateness of an action taken 15602
under division (L)(2) of this section, the burden of proof shall 15603
be on the district to demonstrate that it made a good faith effort 15604
to report data as required by this section.15605

       (M) No information technology center or school district shall 15606
acquire, change, or update its student administration software 15607
package to manage and report data required to be reported to the 15608
department unless it converts to a student software package that 15609
is certified by the department.15610

       (N) The state board of education, in accordance with sections 15611
3319.31 and 3319.311 of the Revised Code, may suspend or revoke a 15612
license as defined under division (A) of section 3319.31 of the 15613
Revised Code that has been issued to any school district employee 15614
found to have willfully reported erroneous, inaccurate, or 15615
incomplete data to the education management information system.15616

       (O) No person shall release or maintain any information about 15617
any student in violation of this section. Whoever violates this 15618
division is guilty of a misdemeanor of the fourth degree.15619

       (P) The department shall disaggregate the data collected15620
under division (B)(1)(o) of this section according to the race and15621
socioeconomic status of the students assessed. No data collected15622
under that division shall be included on the report cards required15623
by section 3302.03 of the Revised Code.15624

       (Q) If the department cannot compile any of the information15625
required by division (C)(5) of section 3302.03 of the Revised Code15626
based upon the data collected under this section, the department15627
shall develop a plan and a reasonable timeline for the collection15628
of any data necessary to comply with that division.15629

       Sec. 3301.162. (A) If the governing authority of a chartered 15630
nonpublic school intends to close the school, the governing 15631
authority shall notify all of the following of that intent prior 15632
to closing the school:15633

       (1) The department of education;15634

        (2) The school district that receives auxiliary services 15635
funding under division (I) of section 3317.024 of the Revised Code 15636
on behalf of the students enrolled in the school;15637

        (3) The accrediting association that most recently accredited 15638
the school for purposes of chartering the school in accordance 15639
with the rules of the state board of education, if applicable.15640

        The notice shall include the school year and, if possible, 15641
the actual date the school will close.15642

        (B) The chief administrator of each chartered nonpublic 15643
school that closes shall deposit the school's records with the 15644
school district that received auxiliary services funding under 15645
division (I) of section 3317.024 of the Revised Code on behalf of 15646
the students enrolled in the school.15647

       The school district that receives the records may charge for 15648
and receive a one-time reimbursement from auxiliary services 15649
funding under division (I) of section 3317.024 of the Revised Code 15650
for costs the district incurred to store the records.15651

       Sec. 3301.53.  (A) Not later than July 1, 1988, theThe state15652
board of education, in consultation with the director of job and15653
family services, shall formulate and prescribe by rule adopted15654
under Chapter 119. of the Revised Code minimum standards to be15655
applied to preschool programs operated by school district boards15656
of education, county MR/DD boards, or eligible nonpublic schools. 15657
The rules shall include the following:15658

       (1) Standards ensuring that the preschool program is located15659
in a safe and convenient facility that accommodates the enrollment15660
of the program, is of the quality to support the growth and15661
development of the children according to the program objectives,15662
and meets the requirements of section 3301.55 of the Revised Code;15663

       (2) Standards ensuring that supervision, discipline, and15664
programs will be administered according to established objectives15665
and procedures;15666

       (3) Standards ensuring that preschool staff members and15667
nonteaching employees are recruited, employed, assigned,15668
evaluated, and provided inservice education without discrimination15669
on the basis of age, color, national origin, race, or sex; and15670
that preschool staff members and nonteaching employees are15671
assigned responsibilities in accordance with written position15672
descriptions commensurate with their training and experience;15673

       (4) A requirement that boards of education intending to15674
establish a preschool program on or after March 17, 1989,15675
demonstrate a need for a preschool program that is not being met15676
by any existing program providing child care, prior to15677
establishing the program;15678

       (5) Requirements that children participating in preschool15679
programs have been immunized to the extent considered appropriate15680
by the state board to prevent the spread of communicable disease;15681

       (6) Requirements that the parents of preschool children15682
complete the emergency medical authorization form specified in15683
section 3313.712 of the Revised Code.15684

       (B) The state board of education in consultation with the15685
director of job and family services shall ensure that the rules15686
adopted by the state board under sections 3301.52 to 3301.58 of15687
the Revised Code are consistent with and meet or exceed the15688
requirements of Chapter 5104. of the Revised Code with regard to15689
child day-care centers. The state board and the director of job15690
and family services shall review all such rules at least once15691
every five years.15692

       (C) On or before January 1, 1992, theThe state board of15693
education, in consultation with the director of job and family15694
services, shall adopt rules for school child programs that are15695
consistent with and meet or exceed the requirements of the rules15696
adopted for school child day-care centers under Chapter 5104. of15697
the Revised Code.15698

       Sec. 3302.03.  (A) Annually the department of education shall 15699
report for each school district and each school building in a 15700
district all of the following:15701

       (1) The extent to which the school district or building meets 15702
each of the applicable performance indicators created by the state15703
board of education under section 3302.02 of the Revised Code and 15704
the number of applicable performance indicators that have been15705
achieved;15706

       (2) The performance index score of the school district or 15707
building;15708

       (3) Whether the school district or building has made adequate 15709
yearly progress;15710

       (4) Whether the school district or building is excellent, 15711
effective, needs continuous improvement, is under an academic15712
watch, or is in a state of academic emergency.15713

       (B) Except as otherwise provided in divisiondivisions (B)(6) 15714
and (7) of this section:15715

       (1) A school district or building shall be declared excellent 15716
if it fulfills one of the following requirements:15717

       (a) It makes adequate yearly progress and either meets at 15718
least ninety-four per cent of the applicable state performance 15719
indicators or has a performance index score established by the 15720
department.15721

       (b) It has failed to make adequate yearly progress for not 15722
more than two consecutive years and either meets at least 15723
ninety-four per cent of the applicable state performance 15724
indicators or has a performance index score established by the 15725
department.15726

       (2) A school district or building shall be declared effective 15727
if it fulfills one of the following requirements:15728

       (a) It makes adequate yearly progress and either meets at 15729
least seventy-five per cent but less than ninety-four per cent of15730
the applicable state performance indicators or has a performance 15731
index score established by the department.15732

       (b) It does not make adequate yearly progress and either 15733
meets at least seventy-five per cent of the applicable state 15734
performance indicators or has a performance index score 15735
established by the department, except that if it does not make 15736
adequate yearly progress for three consecutive years, it shall be 15737
declared in need of continuous improvement.15738

       (3) A school district or building shall be declared to be in15739
need of continuous improvement if it fulfills one of the following 15740
requirements:15741

       (a) It makes adequate yearly progress, meets less than 15742
seventy-five per cent of the applicable state performance 15743
indicators, and has a performance index score established by the 15744
department.15745

       (b) It does not make adequate yearly progress and either 15746
meets at least fifty per cent but less than seventy-five per cent 15747
of the applicable state performance indicators or has a 15748
performance index score established by the department.15749

       (4) A school district or building shall be declared to be15750
under an academic watch if it does not make adequate yearly 15751
progress and either meets at least thirty-one per cent but less 15752
than fifty per cent of the applicable state performance indicators 15753
or has a performance index score established by the department.15754

       (5) A school district or building shall be declared to be in15755
a state of academic emergency if it does not make adequate yearly 15756
progress, does not meet at least thirty-one per cent of the15757
applicable state performance indicators, and has a performance 15758
index score established by the department.15759

       (6) When designating performance ratings for school districts 15760
and buildings under divisions (B)(1) to (5) of this section, the 15761
department shall not assign a school district or building a lower 15762
designation from its previous year's designation based solely on 15763
one subgroup not making adequate yearly progress.15764

       (7) Division (B)(7) of this section does not apply to any 15765
community school established under Chapter 3314. of the Revised 15766
Code in which a majority of the students are enrolled in a dropout 15767
prevention and recovery program.15768

        A school district or building shall not be assigned a higher 15769
performance rating than in need of continuous improvement if at 15770
least ten per cent but not more than fifteen per cent of the 15771
enrolled students do not take all achievement tests prescribed for 15772
their grade level under section 3301.0710 of the Revised Code from 15773
which they are not excused pursuant to division (C)(1) or (3) of 15774
section 3301.0711 of the Revised Code. A school district or 15775
building shall not be assigned a higher performance rating than 15776
under an academic watch if more than fifteen per cent but not more 15777
than twenty per cent of the enrolled students do not take all 15778
achievement tests prescribed for their grade level under section 15779
3301.0710 of the Revised Code from which they are not excused 15780
pursuant to division (C)(1) or (3) of section 3301.0711 of the 15781
Revised Code. A school district or building shall not be assigned 15782
a higher performance rating than in a state of academic emergency 15783
if more than twenty per cent of the enrolled students do not take 15784
all achievement tests prescribed for their grade level under 15785
section 3301.0710 of the Revised Code from which they are not 15786
excused pursuant to division (C)(1) or (3) of section 3301.0711 of 15787
the Revised Code.15788

       (C)(1) The department shall issue annual report cards for15789
each school district, each building within each district, and for15790
the state as a whole reflecting performance on the indicators15791
created by the state board under section 3302.02 of the Revised15792
Code, the performance index score, and adequate yearly progress.15793

       (2) The department shall include on the report card for each15794
district information pertaining to any change from the previous15795
year made by the school district or school buildings within the15796
district on any performance indicator.15797

       (3) When reporting data on student performance, the15798
department shall disaggregate that data according to the following15799
categories:15800

       (a) Performance of students by age group;15801

       (b) Performance of students by race and ethnic group;15802

       (c) Performance of students by gender;15803

       (d) Performance of students grouped by those who have been15804
enrolled in a district or school for three or more years;15805

       (e) Performance of students grouped by those who have been15806
enrolled in a district or school for more than one year and less15807
than three years;15808

       (f) Performance of students grouped by those who have been15809
enrolled in a district or school for one year or less;15810

       (g) Performance of students grouped by those who are15811
economically disadvantaged;15812

       (h) Performance of students grouped by those who are enrolled15813
in a conversion community school established under Chapter 3314.15814
of the Revised Code;15815

       (i) Performance of students grouped by those who are 15816
classified as limited English proficient;15817

       (j) Performance of students grouped by those who have 15818
disabilities;15819

       (k) Performance of students grouped by those who are 15820
classified as migrants;15821

       (l) Performance of students grouped by those who are 15822
identified as gifted pursuant to Chapter 3324. of the Revised 15823
Code.15824

       The department may disaggregate data on student performance15825
according to other categories that the department determines are15826
appropriate. To the extent possible, the department shall 15827
disaggregate data on student performance according to any 15828
combinations of two or more of the categories listed in divisions 15829
(C)(3)(a) to (l) of this section that it deems relevant.15830

       In reporting data pursuant to division (C)(3) of this15831
section, the department shall not include in the report cards any15832
data statistical in nature that is statistically unreliable or15833
that could result in the identification of individual students. 15834
For this purpose, the department shall not report student 15835
performance data for any group identified in division (C)(3) of 15836
this section that contains less than ten students.15837

       (4) The department may include with the report cards any15838
additional education and fiscal performance data it deems15839
valuable.15840

       (5) The department shall include on each report card a list15841
of additional information collected by the department that is15842
available regarding the district or building for which the report15843
card is issued. When available, such additional information shall15844
include student mobility data disaggregated by race and15845
socioeconomic status, college enrollment data, and the reports15846
prepared under section 3302.031 of the Revised Code.15847

       The department shall maintain a site on the world wide web.15848
The report card shall include the address of the site and shall15849
specify that such additional information is available to the15850
public at that site. The department shall also provide a copy of15851
each item on the list to the superintendent of each school15852
district. The district superintendent shall provide a copy of any15853
item on the list to anyone who requests it.15854

       (6)(a) This division does not apply to conversion community 15855
schools that primarily enroll students between sixteen and 15856
twenty-two years of age who dropped out of high school or are at 15857
risk of dropping out of high school due to poor attendance, 15858
disciplinary problems, or suspensions.15859

       For any district that sponsors a conversion community school 15860
under Chapter 3314. of the Revised Code, the department shall 15861
combine data regarding the academic performance of students15862
enrolled in the community school with comparable data from the15863
schools of the district for the purpose of calculating the15864
performance of the district as a whole on the report card issued15865
for the district.15866

       (b) Any district that leases a building to a community school 15867
located in the district or that enters into an agreement with a 15868
community school located in the district whereby the district and 15869
the school endorse each other's programs may elect to have data 15870
regarding the academic performance of students enrolled in the 15871
community school combined with comparable data from the schools of 15872
the district for the purpose of calculating the performance of the 15873
district as a whole on the district report card. Any district that 15874
so elects shall annually file a copy of the lease or agreement 15875
with the department.15876

       (7) The department shall include on each report card the 15877
percentage of teachers in the district or building who are highly 15878
qualified, as defined by the "No Child Left Behind Act of 2001," 15879
and a comparison of that percentage with the percentages of such 15880
teachers in similar districts and buildings.15881

       (8) The department shall include on the report card the 15882
number of master teachers employed by each district and each 15883
building once the data is available from the education management 15884
information system established under section 3301.0714 of the 15885
Revised Code.15886

       (D)(1) In calculating reading, writing, mathematics, social15887
studies, or science proficiency or achievement test passage rates15888
used to determine school district or building performance under15889
this section, the department shall include all students taking a 15890
test with accommodation or to whom an alternate assessment is 15891
administered pursuant to division (C)(1) or (3) of section 15892
3301.0711 of the Revised Code.15893

        (2) In calculating performance index scores, rates of 15894
achievement on the performance indicators established by the state 15895
board under section 3302.02 of the Revised Code, and adequate 15896
yearly progress for school districts and buildings under this 15897
section, the department shall do all of the following:15898

       (a) Include for each district or building only those students 15899
who are included in the ADM certified for the first full school 15900
week of October and are continuously enrolled in the district or 15901
building through the time of the spring administration of any test 15902
prescribed by section 3301.0710 of the Revised Code that is 15903
administered to the student's grade level;15904

       (b) Include cumulative totals from both the fall and spring 15905
administrations of the third grade reading achievement test;15906

       (c) Except as required by the "No Child Left Behind Act of 15907
2001" for the calculation of adequate yearly progress, exclude for 15908
each district or building any limited English proficient student 15909
who has been enrolled in United States schools for less than one 15910
full school year.15911

       Sec. 3302.10.  (A) Beginning July 1, 2007, the superintendent 15912
of public instruction shallmay establish an academic distress 15913
commission for eachany school district that has been declared to 15914
be in a state of academic emergency pursuant to section 3302.03 of 15915
the Revised Code and has failed to make adequate yearly progress 15916
for four or more consecutive school years. Each commission shall 15917
assist the district for which it was established in improving the 15918
district's academic performance.15919

       Each commission is a body both corporate and politic, 15920
constituting an agency and instrumentality of the state and 15921
performing essential governmental functions of the state. A 15922
commission shall be known as the "academic distress commission for 15923
............... (name of school district)," and, in that name, may 15924
exercise all authority vested in such a commission by this 15925
section. A separate commission shall be established for each 15926
school district designated by the superintendent of public 15927
instruction.15928

       (B) Each academic distress commission shall consist of five 15929
voting members, three of whom shall be appointed by the 15930
superintendent of public instruction and two of whom shall be 15931
residents of the applicable school district appointed by the 15932
president of the district board of education of the applicable 15933
school district. When a school district becomes subject to this 15934
section, the superintendent of public instruction shall provide 15935
written notification of that fact to the district board of 15936
education and shall request the president of the district board to 15937
submit to the superintendent of public instruction, in writing, 15938
the names of the president's appointees to the commission. The 15939
superintendent of public instruction and the president of the 15940
district board shall make appointments to the commission within 15941
thirty days after the district is notified that it is subject to 15942
this section.15943

        Members of the commission shall serve at the pleasure of 15944
their appointing authority during the life of the commission. In 15945
the event of the death, resignation, incapacity, removal, or 15946
ineligibility to serve of a member, the appointing authority shall 15947
appoint a successor within fifteen days after the vacancy occurs. 15948
Members shall serve without compensation, but shall be paid by the 15949
commission their necessary and actual expenses incurred while 15950
engaged in the business of the commission.15951

       (C) Immediately after appointment of the initial members of 15952
an academic distress commission, the superintendent of public 15953
instruction shall call the first meeting of the commission and 15954
shall cause written notice of the time, date, and place of that 15955
meeting to be given to each member of the commission at least 15956
forty-eight hours in advance of the meeting. The first meeting 15957
shall include an overview of the commission's roles and 15958
responsibilities, the requirements of section 2921.42 and Chapter 15959
102. of the Revised Code as they pertain to commission members, 15960
the requirements of section 121.22 of the Revised Code, and the 15961
provisions of division (F) of this section. At its first meeting, 15962
the commission shall adopt temporary bylaws in accordance with 15963
division (D) of this section to govern its operations until the 15964
adoption of permanent bylaws.15965

        The superintendent of public instruction shall designate a 15966
chairperson for the commission from among the members appointed by 15967
the superintendent. The chairperson shall call and conduct 15968
meetings, set meeting agendas, and serve as a liaison between the 15969
commission and the district board of education. The chairperson 15970
also shall appoint a secretary, who shall not be a member of the 15971
commission.15972

        The department of education shall provide administrative 15973
support for the commission, provide data requested by the 15974
commission, and inform the commission of available state resources 15975
that could assist the commission in its work.15976

        (D) Each academic distress commission may adopt and alter 15977
bylaws and rules, which shall not be subject to section 111.15 or 15978
Chapter 119. of the Revised Code, for the conduct of its affairs 15979
and for the manner, subject to this section, in which its powers 15980
and functions shall be exercised and embodied.15981

        (E) Three members of an academic distress commission 15982
constitute a quorum of the commission. The affirmative vote of 15983
three members of the commission is necessary for any action taken 15984
by vote of the commission. No vacancy in the membership of the 15985
commission shall impair the rights of a quorum by such vote to 15986
exercise all the rights and perform all the duties of the 15987
commission. Members of the commission are not disqualified from 15988
voting by reason of the functions of any other office they hold 15989
and are not disqualified from exercising the functions of the 15990
other office with respect to the school district, its officers, or 15991
the commission.15992

        (F) The members of an academic distress commission, the 15993
superintendent of public instruction, and any person authorized to 15994
act on behalf of or assist them shall not be personally liable or 15995
subject to any suit, judgment, or claim for damages resulting from 15996
the exercise of or failure to exercise the powers, duties, and 15997
functions granted to them in regard to their functioning under 15998
this section, but the commission, superintendent of public 15999
instruction, and such other persons shall be subject to mandamus 16000
proceedings to compel performance of their duties under this 16001
section.16002

        (G) The members of an academic distress commission are not 16003
subject to section 102.02 of the Revised Code, except that a 16004
member who is subject to that section by virtue of holding another 16005
office or position shall comply with that section with respect to 16006
that other office or position. However, each member of the 16007
commission shall file with the Ohio ethics commission a signed 16008
written statement setting forth the general nature of sales of 16009
goods, property, or services or of loans to the applicable school 16010
district, in which the commission member has a pecuniary interest 16011
or in which any member of the commission member's immediate 16012
family, as defined in section 102.01 of the Revised Code, or any 16013
corporation, partnership, or enterprise of which the commission 16014
member is an officer, director, or partner, or of which the 16015
commission member or a member of the commission member's immediate 16016
family owns more than a five per cent interest, has a pecuniary 16017
interest, and of which sale, loan, or interest the commission 16018
member has knowledge. The statement shall be supplemented from 16019
time to time to reflect changes in the general nature of any such 16020
sales or loans.16021

        (H) Meetings of each academic distress commission shall be 16022
subject to section 121.22 of the Revised Code.16023

        (I)(1) Within one hundred twenty days after the first meeting 16024
of an academic distress commission, the commission shall adopt an 16025
academic recovery plan to improve academic performance in the 16026
school district. The plan shall address academic problems at both 16027
the district and school levels. The plan shall include the 16028
following:16029

        (a) Short-term and long-term actions to be taken to improve 16030
the district's academic performance, including any actions 16031
required by section 3302.04 of the Revised Code;16032

        (b) The sequence and timing of the actions described in 16033
division (I)(1)(a) of this section and the persons responsible for 16034
implementing the actions;16035

        (c) Resources that will be applied toward improvement 16036
efforts;16037

        (d) Procedures for monitoring and evaluating improvement 16038
efforts;16039

        (e) Requirements for reporting to the commission and the 16040
district board of education on the status of improvement efforts.16041

        (2) The commission may amend the academic recovery plan 16042
subsequent to adoption. The commission shall update the plan at 16043
least annually.16044

        (3) The commission shall submit the academic recovery plan it 16045
adopts or updates to the superintendent of public instruction for 16046
approval immediately following its adoption or updating. The 16047
superintendent shall evaluate the plan and either approve or 16048
disapprove it within thirty days after its submission. If the plan 16049
is disapproved, the superintendent shall recommend modifications 16050
that will render it acceptable. No academic distress commission 16051
shall implement an academic recovery plan unless the 16052
superintendent has approved it.16053

        (4) County, state, and school district officers and employees 16054
shall assist the commission diligently and promptly in the 16055
implementation of the academic recovery plan.16056

        (J) Each academic distress commission shall seek input from 16057
the district board of education regarding ways to improve the 16058
district's academic performance, but any decision of the 16059
commission related to any authority granted to the commission 16060
under this section shall be final.16061

       The commission may do any of the following:16062

       (1) Appoint school building administrators and reassign 16063
administrative personnel;16064

       (2) Terminate the contracts of administrators or 16065
administrative personnel. The commission shall not be required to 16066
comply with section 3319.16 of the Revised Code with respect to 16067
any contract terminated under this division.16068

       (3) Contract with a private entity to perform school or 16069
district management functions;16070

       (4) Establish a budget for the district and approve district 16071
appropriations and expenditures, unless a financial planning and 16072
supervision commission has been established for the district 16073
pursuant to section 3316.05 of the Revised Code.16074

       (D)(K) If the board of education of a district for which an 16075
academic distress commission has been established under this 16076
section renews any collective bargaining agreement under Chapter 16077
4117. of the Revised Code during the existence of the commission, 16078
the district board shall not enter into any agreement that would 16079
render any decision of the commission unenforceable. Section 16080
3302.08 of the Revised Code does not apply to this division.16081

       Notwithstanding any provision to the contrary in Chapter 16082
4117. of the Revised Code, if the board of education has entered 16083
into a collective bargaining agreement after the effective date of 16084
this sectionSeptember 29, 2005, that contains stipulations 16085
relinquishing one or more of the rights or responsibilities listed 16086
in division (C) of section 4117.08 of the Revised Code, those 16087
stipulations are not enforceable and the district board shall 16088
resume holding those rights or responsibilities as if it had not 16089
relinquished them in that agreement until such time as both the 16090
academic distress commission ceases to exist and the district 16091
board agrees to relinquish those rights or responsibilities in a 16092
new collective bargaining agreement. The provisions of this 16093
paragraph apply to a collective bargaining agreement entered into 16094
after the effective date of this sectionSeptember 29, 2005, and 16095
those provisions are deemed to be part of that agreement 16096
regardless of whether the district satisfied the conditions 16097
prescribed in division (A) of this section at the time the 16098
district entered into that agreement.16099

       (E)(L) An academic distress commission shall cease to exist 16100
when the district for which it was established receives a 16101
performance rating under section 3302.03 of the Revised Code of in 16102
need of continuous improvement or better for two out of the three 16103
prior school years; however, the superintendent of public 16104
instruction may dissolve the commission earlier if the 16105
superintendent determines that the district can perform adequately 16106
without the supervision of the commission. Upon termination of the 16107
commission, the department of education shall compile a final 16108
report of the commission's activities to assist other academic 16109
distress commissions in the conduct of their functions.16110

       Sec. 3303.20. The superintendent of public instruction shall 16111
appoint a supervisor of agricultural education within the 16112
department of education. The supervisor shall be responsible for 16113
administering and disseminating to school districts information 16114
about agricultural education.16115

        The department shall maintain an appropriate number of 16116
full-time employees focusing on agricultural education. The 16117
department shall employ at least three program consultants who 16118
shall be available to provide assistance to school districts on a 16119
regional basis throughout the state. At least one consultant may 16120
coordinate local activities of the student organization known as 16121
the future farmers of America.16122

       Sec. 3310.51.  As used in sections 3310.51 to 3310.63 of the 16123
Revised Code:16124

       (A) "Alternative public provider" means either of the 16125
following providers that agrees to enroll a child in the 16126
provider's special education program to implement the child's 16127
individualized education program and to which the eligible 16128
applicant owes fees for the services provided to the child:16129

        (1) A school district that is not the school district in 16130
which the child is entitled to attend school or the child's school 16131
district of residence, if different;16132

        (2) A public entity other than a school district.16133

        (B) "Applicable special education weight" means the multiple 16134
specified in section 3317.013 of the Revised Code for a handicap 16135
described in that section.16136

       (C) "Category one through six special education ADM" means 16137
the respective categories prescribed in divisions (F)(1) to (6) of 16138
section 3317.02 of the Revised Code.16139

       (D) "Eligible applicant" means any of the following:16140

       (1) Either of the natural or adoptive parents of a qualified 16141
special education child, except as otherwise specified in this 16142
division. When the marriage of the natural or adoptive parents of 16143
the student has been terminated by a divorce, dissolution of 16144
marriage, or annulment, or when the natural or adoptive parents of 16145
the student are living separate and apart under a legal separation 16146
decree, and a court has issued an order allocating the parental 16147
rights and responsibilities with respect to the child, "eligible 16148
applicant" means the residential parent as designated by the 16149
court. If the court issues a shared parenting decree, "eligible 16150
applicant" means either parent. "Eligible applicant" does not mean 16151
a parent whose custodial rights have been terminated.16152

       (2) The custodian of a qualified special education child, 16153
when a court has granted temporary, legal, or permanent custody of 16154
the child to an individual other than either of the natural or 16155
adoptive parents of the child or to a government agency;16156

       (3) The guardian of a qualified special education child, when 16157
a court has appointed a guardian for the child;16158

       (4) The grandparent of a qualified special education child, 16159
when the grandparent is the child's attorney in fact under a power 16160
of attorney executed under sections 3109.51 to 3109.62 of the 16161
Revised Code or when the grandparent has executed a caregiver 16162
authorization affidavit under sections 3109.65 to 3109.73 of the 16163
Revised Code;16164

       (5) The surrogate parent appointed for a qualified special 16165
education child pursuant to division (B) of section 3323.05 and 16166
section 3323.051 of the Revised Code;16167

       (6) A qualified special education child, if the child does 16168
not have a custodian or guardian and the child is at least 16169
eighteen years of age.16170

       (E) "Entitled to attend school" means entitled to attend 16171
school in a school district under sections 3313.64 and 3313.65 of 16172
the Revised Code.16173

       (F) "Formula ADM" and "formula amount" have the same meanings 16174
as in section 3317.02 of the Revised Code.16175

       (G) "Handicapped child," "individualized education program," 16176
and "special education program" have the same meanings as in 16177
section 3323.01 of the Revised Code.16178

       (H) "Qualified special education child" is a child for whom 16179
all of the following conditions apply:16180

       (1) The child is at least five years of age and less than 16181
twenty-two years of age;16182

       (2) The school district in which the child is entitled to 16183
attend school, or the child's school district of residence if 16184
different, has identified the child as a handicapped child;16185

       (3) The school district in which the child is entitled to 16186
attend school, or the child's school district of residence if 16187
different, has developed an individualized education program under 16188
Chapter 3323. of the Revised Code for the child;16189

       (4) The child either:16190

       (a) Was enrolled in the schools of the school district in 16191
which the child is entitled to attend school in any grade from 16192
kindergarten through twelve in the school year prior to the school 16193
year in which a scholarship is first sought for the child;16194

       (b) Is eligible to enter school in any grade kindergarten 16195
through twelve in the school district in which the child is 16196
entitled to attend school in the school year in which a 16197
scholarship is first sought for the child.16198

       (I) "Registered private provider" means a nonpublic school or 16199
other nonpublic entity that has been registered by the 16200
superintendent of public instruction under section 3310.58 of the 16201
Revised Code.16202

       (J) "Scholarship" means a scholarship awarded under the 16203
special education scholarship pilot program pursuant to sections 16204
3310.51 to 3310.63 of the Revised Code.16205

       (K) "School district of residence" has the same meaning as in 16206
section 3323.01 of the Revised Code. A community school 16207
established under Chapter 3314. of the Revised Code is not a 16208
"school district of residence" for purposes of sections 3310.51 to 16209
3310.63 of the Revised Code.16210

       (L) "School year" has the same meaning as in section 3313.62 16211
of the Revised Code.16212

       Sec. 3310.52.  (A) The special education scholarship pilot 16213
program is hereby established. Under the program, in fiscal years 16214
2008 through 2013, subject to division (B) of this section, the 16215
department of education annually shall pay a scholarship to an 16216
alternative public provider or a registered private provider on 16217
behalf of an eligible applicant for services provided for a 16218
qualified special education child. The scholarship shall be used 16219
only to pay all or part of the fees for the child to attend the 16220
special education program operated by the alternative public 16221
provider or registered private provider to implement the child's 16222
individualized education program in lieu of the child's attending 16223
the special education program operated by the school district in 16224
which the child is entitled to attend school.16225

       (B) The number of scholarships awarded under the pilot 16226
program in any fiscal year shall not exceed three per cent of the 16227
total number of students residing in the state identified as 16228
handicapped children during the previous fiscal year.16229

       Sec. 3310.53.  (A) Except for development of the child's 16230
individualized education program, as specified in division (B) of 16231
this section, the school district in which a qualified special 16232
education child is entitled to attend school and the child's 16233
school district of residence, if different, are not obligated to 16234
provide the child with a free appropriate public education under 16235
Chapter 3323. of the Revised Code for as long as the child 16236
continues to attend the special education program operated by 16237
either an alternative public provider or a registered private 16238
provider for which a scholarship is awarded under the special 16239
education scholarship pilot program. If at any time, the eligible 16240
applicant for the child decides no longer to accept scholarship 16241
payments and enrolls the child in the special education program of 16242
the school district in which the child is entitled to attend 16243
school, that district shall provide the child with a free 16244
appropriate public education under Chapter 3323. of the Revised 16245
Code.16246

       (B) Each eligible applicant and each qualified special 16247
education child have a continuing right to the development of an 16248
individualized education program for the child that complies with 16249
Chapter 3323. of the Revised Code, 20 U.S.C. 1400 et seq., and 16250
administrative rules or guidelines adopted by the Ohio department 16251
of education or the United States department of education. The 16252
school district in which a qualified special education child is 16253
entitled to attend school, or the child's school district of 16254
residence if different, shall develop each individualized 16255
education program for the child in accordance with those 16256
provisions.16257

        (C) Each school district shall notify an eligible applicant 16258
of the applicant's and qualified special education child's rights 16259
under sections 3310.51 to 3310.63 of the Revised Code by providing 16260
to each eligible applicant the comparison document prescribed in 16261
section 3323.052 of the Revised Code. An eligible applicant's 16262
receipt of that document, as acknowledged in a format prescribed 16263
by the department of education, shall constitute notice that the 16264
eligible applicant has been informed of those rights. Upon receipt 16265
of that document, subsequent acceptance of a scholarship 16266
constitutes the eligible applicant's informed consent to the 16267
provisions of sections 3310.51 to 3310.63 of the Revised Code.16268

       Sec. 3310.54.  As prescribed in divisions (A)(2)(h), 16269
(B)(3)(g), and (B)(5) to (10) of section 3317.03 of the Revised 16270
Code, a qualified special education child in any of grades 16271
kindergarten through twelve for whom a scholarship is awarded 16272
under the special education scholarship pilot program shall be 16273
counted in the formula ADM and category one through six special 16274
education ADM, as appropriate, of the school district in which the 16275
child is entitled to attend school. A qualified special education 16276
child shall not be counted in the formula ADM or category one 16277
through six special education ADM of any other school district.16278

       Sec. 3310.55.  The department of education shall deduct from 16279
the amounts paid to each school district under Chapter 3317. of 16280
the Revised Code, and, if necessary, sections 321.24 and 323.156 16281
of the Revised Code, the aggregate amount of scholarships paid 16282
under section 3310.57 of the Revised Code for qualified special 16283
education children included in the formula ADM and the category 16284
one through six special education ADM of that school district.16285

       Sec. 3310.56.  The amount of the scholarship awarded and paid 16286
on behalf of an eligible applicant for services for a qualified 16287
special education child under the special education scholarship 16288
pilot program in each school year shall be the lesser of the 16289
following:16290

       (A) The amount of fees charged for that school year by the 16291
alternative public provider or registered private provider;16292

       (B) The sum of the amounts calculated under divisions (B)(1) 16293
and (2) of this section:16294

        (1) The sum of the formula amount plus the per pupil amount 16295
of the base funding supplements specified in divisions (C)(1) to 16296
(4) of section 3317.012 of the Revised Code.16297

       (2) The formula amount times the applicable special education 16298
weight for the child's disability.16299

       Sec. 3310.57.  The department of education shall make 16300
periodic payments to an alternative public provider or a 16301
registered private provider on behalf of an eligible applicant for 16302
services for each qualified special education child for whom a 16303
scholarship has been awarded. The total of all payments made on 16304
behalf of an applicant in each school year shall not exceed the 16305
amount calculated for the child under section 3310.56 of the 16306
Revised Code.16307

       The scholarship amount shall be proportionately reduced in 16308
the case of a child who is not enrolled in the special education 16309
program of an alternative public provider or a registered private 16310
provider for the entire school year.16311

       In accordance with division (A) of section 3310.62 of the 16312
Revised Code, the department shall make no payments on behalf of 16313
an applicant for a first-time scholarship for a qualified special 16314
education child while any administrative or judicial mediation or 16315
proceedings with respect to the content of the child's 16316
individualized education program are pending.16317

       Sec. 3310.58.  No nonpublic school or entity shall receive 16318
payments for services for a qualified special education child 16319
under the special education scholarship pilot program until the 16320
school or entity registers with the superintendent of public 16321
instruction. The superintendent shall register and designate as a 16322
registered private provider any nonpublic school or entity that 16323
meets the following requirements:16324

       (A) The special education program operated by the school or 16325
entity meets the minimum education standards established by the 16326
state board of education.16327

       (B) The school or entity does not discriminate on the basis 16328
of race, ethnicity, national origin, religion, sex, disability, 16329
age, or ancestry.16330

       (C) If the school or entity is not chartered by the state 16331
board under section 3301.16 of the Revised Code, the school or 16332
entity agrees to comply with section 3319.39 of the Revised Code 16333
as if it were a school district.16334

       (D) The teaching and nonteaching professionals employed by 16335
the school or entity, or employed by any subcontractors of the 16336
school or entity, hold credentials determined by the state board 16337
to be appropriate for the qualified special education children 16338
enrolled in the special education program it operates.16339

       (E) The school or entity meets applicable health and safety 16340
standards established by law for school buildings.16341

       (F) The school or entity agrees to retain on file 16342
documentation as required by the department of education.16343

       (G) The school or entity demonstrates fiscal soundness to the 16344
satisfaction of the department.16345

       (H) The school or entity agrees to meet other requirements 16346
established by rule of the state board under section 3310.63 of 16347
the Revised Code.16348

       Sec. 3310.59.  The superintendent of public instruction shall 16349
revoke the registration of any school or entity if, after a 16350
hearing, the superintendent determines that the school or entity 16351
is in violation of any provision of section 3310.58 of the Revised 16352
Code.16353

       Sec. 3310.60.  A qualified special education child attending 16354
a special education program at an alternative public provider or a 16355
registered private provider with a scholarship shall be entitled 16356
to transportation to and from that program in the manner 16357
prescribed by law for any handicapped child attending a nonpublic 16358
special education program.16359

       Sec. 3310.61.  An eligible applicant on behalf of a child who 16360
currently attends a public special education program under a 16361
contract, compact, or other bilateral agreement, or on behalf of a 16362
child who currently attends a community school, shall not be 16363
prohibited from applying for and accepting a scholarship so that 16364
the applicant may withdraw the child from that program or 16365
community school and use the scholarship for the child to attend a 16366
special education program operated by an alternative public 16367
provider or a registered private provider.16368

       Sec. 3310.62.  (A) A scholarship under the special education 16369
scholarship pilot program shall not be awarded for the first time 16370
to an eligible applicant on behalf of a qualified special 16371
education child while the child's individualized education program 16372
is being developed by the school district in which the child is 16373
entitled to attend school, or by the child's school district of 16374
residence if different, or while any administrative or judicial 16375
mediation or proceedings with respect to the content of that 16376
individualized education program are pending.16377

       (B) Development of individualized education programs 16378
subsequent to the one developed for the child the first time a 16379
scholarship was awarded on behalf of the child and the 16380
prosecuting, by the eligible applicant on behalf of the child, of 16381
administrative or judicial mediation or proceedings with respect 16382
to any of those subsequent individualized education programs do 16383
not affect the applicant's and the child's continued eligibility 16384
for scholarship payments.16385

        (C) In the case of any child for whom a scholarship has been 16386
awarded, if the school district in which the child is entitled to 16387
attend school has agreed to provide some services for the child 16388
under an agreement entered into with the eligible applicant or 16389
with the alternative public provider or registered private 16390
provider implementing the child's individualized education 16391
program, or if the district is required by law to provide some 16392
services for the child, including transportation services under 16393
sections 3310.60 and 3327.01 of the Revised Code, the district 16394
shall not discontinue the services it is providing pending 16395
completion of any administrative proceedings regarding those 16396
services. The prosecuting, by the eligible applicant on behalf of 16397
the child, of administrative proceedings regarding the services 16398
provided by the district does not affect the applicant's and the 16399
child's continued eligibility for scholarship payments.16400

       (D) The department of education shall continue to make 16401
payments to the alternative public provider or registered private 16402
provider on behalf of the eligible applicant under section 3310.57 16403
of the Revised Code while either of the following are pending:16404

        (1) Administrative or judicial mediation or proceedings with 16405
respect to a subsequent individualized education program for the 16406
child referred to in division (B) of this section;16407

        (2) Administrative proceedings regarding services provided by 16408
the district under division (C) of this section.16409

       Sec. 3310.63. The state board of education shall adopt rules 16410
in accordance with Chapter 119. of the Revised Code prescribing 16411
procedures necessary to implement sections 3310.51 to 3310.62 of 16412
the Revised Code including, but not limited to, procedures and 16413
deadlines for parents to apply for scholarships, standards for 16414
registered private providers, and procedures for registration of 16415
private providers.16416

       Sec. 3311.24.  (A)(1) Except as provided in division (B) of16417
this section, if the board of education of a city, exempted16418
village, or local school district deems it advisableshall file 16419
with the state board of education a proposal to transfer territory 16420
from such district to an adjoining city, exempted village, or 16421
local school district, or if ain any of the following 16422
circumstances:16423

       (a) The district board deems the transfer advisable;16424

       (b) A petition, signed by seventy-five per cent of the16425
qualified electors residing within that portion of a city,16426
exempted village, or local school district proposed to be16427
transferred voting at the last general election, requests such a 16428
transfer, the;16429

       (c) If no qualified electors reside in that portion of the 16430
district proposed to be transferred, a petition, signed by 16431
seventy-five per cent of the owners of parcels of real property on 16432
the tax duplicate within that portion of the district, requests 16433
such a transfer.16434

       (2) The board of education of the district in which such 16435
proposal originates shall file such proposal, together with a map 16436
showing the boundaries of the territory proposed to be 16437
transferred, with the state board of education prior to the first 16438
day of April in any even-numbered year. The state board of 16439
education may, if it is advisable, provide for a hearing in any 16440
suitable place in any of the school districts affected by such 16441
proposed transfer of territory. The state board of education or 16442
its representatives shall preside at any such hearing.16443

       (3) A board of education of a city, exempted village, or 16444
local school district that receives a petition of transfer signed 16445
by electors of the district under this division (A)(1)(b) of this 16446
section shall cause the board of elections to check the 16447
sufficiency of signatures on the petition. A board of education of 16448
a city, exempted village, or local school district that receives a 16449
petition of transfer signed by owners of parcels of real property 16450
under division (A)(1)(c) of this section shall cause the county 16451
auditor to check the sufficiency of signatures on the petition.16452

       (4) Not later than the first day of September the state board16453
of education shall either approve or disapprove a proposed16454
transfer of territory filed with it as provided by this section16455
and shall notify, in writing, the boards of education of the16456
districts affected by such proposed transfer of territory of its16457
decision.16458

       If the decision of the state board of education is an16459
approval of the proposed transfer of territory then the board of16460
education of the district in which the territory is located shall, 16461
within thirty days after receiving the state board of education's 16462
decision, adopt a resolution transferring the territory and shall 16463
forthwith submit a copy of such resolution to the treasurer of the 16464
board of education of the city, exempted village, or local school 16465
district to which the territory is transferred. Such transfer 16466
shall not be complete however, until:16467

       (1)(a) A resolution accepting the transfer has been passed by16468
a majority vote of the full membership of the board of education16469
of the city, exempted village, or local school district to which16470
the territory is transferred;16471

       (2)(b) An equitable division of the funds and indebtedness16472
between the districts involved has been made by the board of16473
education making the transfer;16474

       (3)(c) A map showing the boundaries of the territory16475
transferred has been filed, by the board of education accepting16476
the transfer, with the county auditor of each county affected by16477
the transfer.16478

       When such transfer is complete the legal title of the school 16479
property in the territory transferred shall be vested in the board 16480
of education or governing board of the school district to which 16481
the territory is transferred.16482

       (B) Whenever the transfer of territory pursuant to this16483
section is initiated by a board of education, the board shall,16484
before filing a proposal for transfer with the state board of16485
education under this section, make a good faith effort to16486
negotiate the terms of transfer with any other school district16487
whose territory would be affected by the transfer. Before the16488
state board may hold a hearing on the transfer, or approve or16489
disapprove any such transfer, it must receive the following:16490

       (1) A resolution requesting approval of the transfer, passed 16491
by the school district submitting the proposal;16492

       (2) Evidence determined to be sufficient by the state board 16493
to show that good faith negotiations have taken place or that the 16494
district requesting the transfer has made a good faith effort to 16495
hold such negotiations;16496

       (3) If any negotiations took place, a statement signed by all 16497
boards that participated in the negotiations, listing the terms 16498
agreed on and the points on which no agreement could be reached.16499

       Negotiations held pursuant to this section shall be governed 16500
by the rules adopted by the state board under division (D) of 16501
section 3311.06 of the Revised Code. Districts involved in a 16502
transfer under division (B) of this section may agree to share 16503
revenues from the property included in the territory to be16504
transferred, establish cooperative programs between the16505
participating districts, and establish mechanisms for the16506
settlement of any future boundary disputes.16507

       Sec. 3313.41.  (A) Except as provided in divisions (C), (D), 16508
(F), and (G) of this section, when a board of education decides to16509
dispose of real or personal property that it owns in its corporate16510
capacity and that exceeds in value ten thousand dollars, it shall16511
sell the property at public auction, after giving at least thirty16512
days' notice of the auction by publication in a newspaper of16513
general circulation or by posting notices in five of the most16514
public places in the school district in which the property, if it16515
is real property, is situated, or, if it is personal property, in16516
the school district of the board of education that owns the16517
property. The board may offer real property for sale as an entire16518
tract or in parcels.16519

       (B) When the board of education has offered real or personal16520
property for sale at public auction at least once pursuant to16521
division (A) of this section, and the property has not been sold,16522
the board may sell it at a private sale. Regardless of how it was16523
offered at public auction, at a private sale, the board shall, as16524
it considers best, sell real property as an entire tract or in16525
parcels, and personal property in a single lot or in several lots.16526

       (C) If a board of education decides to dispose of real or16527
personal property that it owns in its corporate capacity and that16528
exceeds in value ten thousand dollars, it may sell the property to16529
the adjutant general; to any subdivision or taxing authority as16530
respectively defined in divisions (A) and (C) of section 5705.0116531
of the Revised Code, township park district, board of park16532
commissioners established under Chapter 755. of the Revised Code,16533
or park district established under Chapter 1545. of the Revised16534
Code; to a wholly or partially tax-supported university,16535
university branch, or college; or to the board of trustees of a16536
school district library, upon such terms as are agreed upon. The16537
sale of real or personal property to the board of trustees of a16538
school district library is limited, in the case of real property,16539
to a school district library within whose boundaries the real16540
property is situated, or, in the case of personal property, to a16541
school district library whose boundaries lie in whole or in part16542
within the school district of the selling board of education.16543

       (D) When a board of education decides to trade as a part or16544
an entire consideration, an item of personal property on the16545
purchase price of an item of similar personal property, it may16546
trade the same upon such terms as are agreed upon by the parties16547
to the trade.16548

       (E) The president and the treasurer of the board of education 16549
shall execute and deliver deeds or other necessary instruments of 16550
conveyance to complete any sale or trade under this section.16551

       (F) When a board of education has identified a parcel of real16552
property that it determines is needed for school purposes, the16553
board may, upon a majority vote of the members of the board,16554
acquire that property by exchanging real property that the board16555
owns in its corporate capacity for the identified real property or16556
by using real property that the board owns in its corporate16557
capacity as part or an entire consideration for the purchase price16558
of the identified real property. Any exchange or acquisition made16559
pursuant to this division shall be made by a conveyance executed16560
by the president and the treasurer of the board.16561

       (G)(1) When a school district board of education decides to16562
dispose of real property suitable for use as classroom space,16563
prior to disposing of that property under divisions (A) to (F) of 16564
this section, it shall first offer that property for sale to the 16565
governing authorities of the start-up community schools16566
established under Chapter 3314. of the Revised Code located within 16567
the territory of the school district, at a price that is not 16568
higher than the appraised fair market value of that property. If 16569
more than one community school governing authority accepts the16570
offer made by the school district board, the board shall sell the16571
property to the governing authority that accepted the offer first16572
in time. If no community school governing authority accepts the16573
offer within sixty days after the offer is made by the school16574
district board, the board may dispose of the property in the16575
applicable manner prescribed under divisions (A) to (F) of this16576
section.16577

       (2) When a school district board of education has not used 16578
real propertyat least seventy-five per cent of a building16579
suitable for classroom space for academic instruction, 16580
administration, storage, or any other educational purpose for one 16581
fullat least seventy-five per cent of a school year and has not 16582
adopted a resolution outlining a plan for using at least 16583
seventy-five per cent of that propertybuilding for any of those 16584
purposes withinacademic instruction for at least seventy-five per 16585
cent of the next three school yearsyear, it shall offer that 16586
propertybuilding for sale to the governing authorities of the 16587
start-up community schools established under Chapter 3314. of the 16588
Revised Code located within the territory of the school district, 16589
at a price that is not higher than the appraised fair market value 16590
of that property. If more than one community school governing 16591
authority accepts the offer made by the school district board, the 16592
board shall sell the property to the governing authority that 16593
accepted the offer first in time.16594

       (H) When a school district board of education has property 16595
that the board, by resolution, finds is not needed for school 16596
district use, is obsolete, or is unfit for the use for which it 16597
was acquired, the board may donate that property in accordance 16598
with this division if the fair market value of the property is, in 16599
the opinion of the board, two thousand five hundred dollars or 16600
less.16601

        The property may be donated to an eligible nonprofit 16602
organization that is located in this state and is exempt from 16603
federal income taxation pursuant to 26 U.S.C. 501(a) and (c)(3). 16604
Before donating any property under this division, the board shall 16605
adopt a resolution expressing its intent to make unneeded, 16606
obsolete, or unfit-for-use school district property available to 16607
these organizations. The resolution shall include guidelines and 16608
procedures the board considers to be necessary to implement the 16609
donation program and shall indicate whether the school district 16610
will conduct the donation program or the board will contract with 16611
a representative to conduct it. If a representative is known when 16612
the resolution is adopted, the resolution shall provide contact 16613
information such as the representative's name, address, and 16614
telephone number.16615

       The resolution shall include within its procedures a16616
requirement that any nonprofit organization desiring to obtain16617
donated property under this division shall submit a written notice16618
to the board or its representative. The written notice shall16619
include evidence that the organization is a nonprofit organization 16620
that is located in this state and is exempt from federal income 16621
taxation pursuant to 26 U.S.C. 501(a) and (c)(3); a description of 16622
the organization's primary purpose; a description of the type or 16623
types of property the organization needs; and the name, address, 16624
and telephone number of a person designated by the organization's 16625
governing board to receive donated property and to serve as its 16626
agent.16627

       After adoption of the resolution, the board shall publish, in16628
a newspaper of general circulation in the school district, notice 16629
of its intent to donate unneeded, obsolete, or unfit-for-use 16630
school district property to eligible nonprofit organizations. The 16631
notice shall include a summary of the information provided in the 16632
resolution and shall be published at least twice. The second and 16633
any subsequent notice shall be published not less than ten nor 16634
more than twenty days after the previous notice. A similar notice 16635
also shall be posted continually in the board's office, and, if 16636
the school district maintains a web site on the internet, the 16637
notice shall be posted continually at that web site.16638

       The board or its representatives shall maintain a list of all16639
nonprofit organizations that notify the board or its16640
representative of their desire to obtain donated property under16641
this division and that the board or its representative determines16642
to be eligible, in accordance with the requirements set forth in 16643
this section and in the donation program's guidelines and 16644
procedures, to receive donated property.16645

       The board or its representative also shall maintain a list of16646
all school district property the board finds to be unneeded, 16647
obsolete, or unfit for use and to be available for donation under 16648
this division. The list shall be posted continually in a 16649
conspicuous location in the board's office, and, if the school 16650
district maintains a web site on the internet, the list shall be 16651
posted continually at that web site. An item of property on the 16652
list shall be donated to the eligible nonprofit organization that 16653
first declares to the board or its representative its desire to 16654
obtain the item unless the board previously has established, by 16655
resolution, a list of eligible nonprofit organizations that shall 16656
be given priority with respect to the item's donation. Priority 16657
may be given on the basis that the purposes of a nonprofit 16658
organization have a direct relationship to specific school 16659
district purposes of programs provided or administered by the 16660
board. A resolution giving priority to certain nonprofit 16661
organizations with respect to the donation of an item of property 16662
shall specify the reasons why the organizations are given that 16663
priority.16664

       Members of the board shall consult with the Ohio ethics 16665
commission, and comply with Chapters 102. and 2921. of the Revised 16666
Code, with respect to any donation under this division to a 16667
nonprofit organization of which a board member, any member of a 16668
board member's family, or any business associate of a board member 16669
is a trustee, officer, board member, or employee.16670

       Sec. 3313.603.  (A) As used in this section:16671

       (1) "One unit" means a minimum of one hundred twenty hours of 16672
course instruction, except that for a laboratory course, "one16673
unit" means a minimum of one hundred fifty hours of course16674
instruction.16675

       (2) "One-half unit" means a minimum of sixty hours of course16676
instruction, except that for physical education courses, "one-half16677
unit" means a minimum of one hundred twenty hours of course16678
instruction.16679

       (B) Beginning September 15, 2001, except as required in16680
division (C) of this section and division (C) of section 3313.614 16681
of the Revised Code, the requirements for graduation from every 16682
high school shall include twenty units earned in grades nine 16683
through twelve and shall be distributed as follows:16684

       (1) English language arts, four units;16685

       (2) Health, one-half unit;16686

       (3) Mathematics, three units;16687

       (4) Physical education, one-half unit;16688

       (5) Science, two units until September 15, 2003, and three16689
units thereafter, which at all times shall include both of the16690
following:16691

       (a) Biological sciences, one unit;16692

       (b) Physical sciences, one unit.16693

       (6) Social studies, three units, which shall include both of16694
the following:16695

       (a) American history, one-half unit;16696

       (b) American government, one-half unit.16697

       (7) Elective units, seven units until September 15, 2003, and16698
six units thereafter.16699

       Each student's electives shall include at least one unit, or16700
two half units, chosen from among the areas of16701
business/technology, fine arts, and/or foreign language.16702

       (C) Beginning with students who enter ninth grade for the 16703
first time on or after July 1, 2010, except as provided in 16704
divisions (D) to (F) of this section, the requirements for16705
graduation from every public and chartered nonpublic high school 16706
shall include twenty units that are designed to prepare students 16707
for the workforce and college. The units shall be distributed as 16708
follows:16709

       (1) English language arts, four units;16710

       (2) Health, one-half unit;16711

       (3) Mathematics, four units, which shall include one unit of 16712
algebra II or the equivalent of algebra II;16713

       (4) Physical education, one-half unit;16714

       (5) Science, three units with inquiry-based laboratory 16715
experience that engages students in asking valid scientific 16716
questions and gathering and analyzing information, which shall 16717
include the following, or their equivalent:16718

       (a) Physical sciences, one unit;16719

       (b) BiologyLife sciences, one unit;16720

       (c) Advanced study in one or more of the following sciences, 16721
one unit:16722

       (i) Chemistry, physics, or other physical science;16723

       (ii) Advanced biology or other life science;16724

       (iii) Astronomy, physical geology, or other earth or space 16725
science.16726

       (6) Social studies, three units, which shall include both of16727
the following:16728

       (a) American history, one-half unit;16729

       (b) American government, one-half unit.16730

       Each school shall integrate the study of economics and 16731
financial literacy, as expressed in the social studies academic 16732
content standards adopted by the state board of education under 16733
section 3301.079 of the Revised Code, into one or more existing 16734
social studies credits required under division (C)(6) of this 16735
section, or into the content of another class, so that every high 16736
school student receives instruction in those concepts. In 16737
developing the curriculum required by this paragraph, schools 16738
shall use available public-private partnerships and resources and 16739
materials that exist in business, industry, and through the 16740
centers for economics education at institutions of higher 16741
education in the state.16742

       (7) Five units consisting of one or any combination of 16743
foreign language, fine arts, business, career-technical education, 16744
family and consumer sciences, technology, agricultural education, 16745
or English language arts, mathematics, science, or social studies 16746
courses not otherwise required under division (C) of this section.16747

       Ohioans must be prepared to apply increased knowledge and 16748
skills in the workplace and to adapt their knowledge and skills 16749
quickly to meet the rapidly changing conditions of the 16750
twenty-first century. National studies indicate that all high 16751
school graduates need the same academic foundation, regardless of 16752
the opportunities they pursue after graduation. The goal of Ohio's 16753
system of elementary and secondary education is to prepare all 16754
students for and seamlessly connect all students to success in 16755
life beyond high school graduation, regardless of whether the next 16756
step is entering the workforce, beginning an apprenticeship, 16757
engaging in post-secondary training, serving in the military, or 16758
pursuing a college degree.16759

        The Ohio core curriculum is the standard expectation for all 16760
students entering ninth grade for the first time at a public or 16761
chartered nonpublic high school on or after July 1, 2010. A 16762
student may satisfy this expectation through a variety of methods, 16763
including, but not limited to, integrated, applied, 16764
career-technical, and traditional coursework.16765

       Whereas teacher quality is essential for student success in 16766
completing the Ohio core curriculum, the general assembly shall 16767
appropriate funds for strategic initiatives designed to strengthen 16768
schools' capacities to hire and retain highly qualified teachers 16769
in the subject areas required by the curriculum. Such initiatives 16770
are expected to require an investment of $120,000,000 over five 16771
years.16772

       Stronger coordination between high schools and institutions 16773
of higher education is necessary to prepare students for more 16774
challenging academic endeavors and to lessen the need for academic 16775
remediation in college, thereby reducing the costs of higher 16776
education for Ohio's students, families, and the state. The state 16777
board of education, the Ohio board of regents, and the partnership 16778
for continued learning shall develop policies to ensure that only 16779
in rare instances will students who complete the Ohio core 16780
curriculum require academic remediation after high school.16781

       School districts, community schools, and chartered nonpublic 16782
schools shall integrate technology into learning experiences 16783
whenever practicable across the curriculum in order to maximize 16784
efficiency, enhance learning, and prepare students for success in 16785
the technology-driven twenty-first century. Districts and schools 16786
may use distance and web-based course delivery as a method of 16787
providing or augmenting all instruction required under this 16788
division, including laboratory experience in science. Districts 16789
and schools shall whenever practicable utilize technology access 16790
and electronic learning opportunities provided by the eTech Ohio 16791
commission, the Ohio learning network, education technology 16792
centers, public television stations, and other public and private 16793
providers.16794

       (D) Except as provided in division (E) of this section, a 16795
student who enters ninth grade on or after July 1, 2010, and 16796
before July 1, 2014, may qualify for graduation from a public or 16797
chartered nonpublic high school even though the student has not 16798
completed the Ohio core curriculum prescribed in division (C) of 16799
this section if all of the following conditions are satisfied:16800

       (1) After the student has attended high school for two years, 16801
as determined by the school, the student and the student's parent, 16802
guardian, or custodian sign and file with the school a written 16803
statement asserting the parent's, guardian's, or custodian's 16804
consent to the student's graduating without completing the Ohio 16805
core curriculum and acknowledging that one consequence of not 16806
completing the Ohio core curriculum is ineligibility to enroll in 16807
most state universities in Ohio without further coursework.16808

       (2) The student and parent, guardian, or custodian fulfill 16809
any procedural requirements the school stipulates to ensure the 16810
student's and parent's, guardian's, or custodian's informed 16811
consent and to facilitate orderly filing of statements under 16812
division (D)(1) of this section.16813

       (3) The student and the student's parent, guardian, or 16814
custodian and a representative of the student's high school 16815
jointly develop an individual career plan for the student that 16816
specifies the student matriculating to a two-year degree program, 16817
acquiring a business and industry credential, or entering an 16818
apprenticeship.16819

       (4) The student's high school provides counseling and support 16820
for the student related to the plan developed under division 16821
(D)(3) of this section during the remainder of the student's high 16822
school experience.16823

       (5) The student successfully completes, at a minimum, the 16824
curriculum prescribed in division (B) of this section.16825

       The partnership for continued learning, in collaboration with 16826
the department of education and the Ohio board of regents, shall 16827
analyze student performance data to determine if there are 16828
mitigating factors that warrant extending the exception permitted 16829
by division (D) of this section to high school classes beyond 16830
those entering ninth grade before July 1, 2014. The partnership 16831
shall submit its findings and any recommendations not later than 16832
August 1, 2014, to the speaker and minority leader of the house of 16833
representatives, the president and minority leader of the senate, 16834
the chairpersons and ranking minority members of the standing 16835
committees of the house of representatives and the senate that 16836
consider education legislation, the state board of education, and 16837
the superintendent of public instruction.16838

       (E) Each school district and chartered nonpublic school 16839
retains the authority to require an even more rigorous minimum 16840
curriculum for high school graduation than specified in division 16841
(B) or (C) of this section. A school district board of education, 16842
through the adoption of a resolution, or the governing authority 16843
of a chartered nonpublic school may stipulate any of the 16844
following:16845

        (1) A minimum high school curriculum that requires more than 16846
twenty units of academic credit to graduate;16847

        (2) An exception to the district's or school's minimum high 16848
school curriculum that is comparable to the exception provided in 16849
division (D) of this section but with additional requirements, 16850
which may include a requirement that the student successfully 16851
complete more than the minimum curriculum prescribed in division 16852
(B) of this section;16853

        (3) That no exception comparable to that provided in division 16854
(D) of this section is available.16855

       (F) A student enrolled in a dropout prevention and recovery 16856
program, which program has received a waiver from the department 16857
of education, may qualify for graduation from high school by 16858
successfully completing a competency-based instructional program 16859
administered by the dropout prevention and recovery program in 16860
lieu of completing the Ohio core curriculum prescribed in division 16861
(C) of this section. The department shall grant a waiver to a 16862
dropout prevention and recovery program, within sixty days after 16863
the program applies for the waiver, if the program meets all of 16864
the following conditions:16865

       (1) The program serves only students not younger than sixteen 16866
years of age and not older than twenty-one years of age.16867

       (2) The program enrolls students who, at the time of their 16868
initial enrollment, either, or both, are at least one grade level 16869
behind their cohort age groups or experience crises that 16870
significantly interfere with their academic progress such that 16871
they are prevented from continuing their traditional programs.16872

       (3) The program requires students to attain at least the 16873
applicable score designated for each of the tests prescribed under 16874
division (B) of section 3301.0710 of the Revised Code.16875

       (4) The program develops an individual career plan for the 16876
student that specifies the student's matriculating to a two-year 16877
degree program, acquiring a business and industry credential, or 16878
entering an apprenticeship.16879

       (5) The program provides counseling and support for the 16880
student related to the plan developed under division (F)(4) of 16881
this section during the remainder of the student's high school 16882
experience.16883

       (6) The program requires the student and the student's 16884
parent, guardian, or custodian to sign and file, in accordance 16885
with procedural requirements stipulated by the program, a written 16886
statement asserting the parent's, guardian's, or custodian's 16887
consent to the student's graduating without completing the Ohio 16888
core curriculum and acknowledging that one consequence of not 16889
completing the Ohio core curriculum is ineligibility to enroll in 16890
most state universities in Ohio without further coursework.16891

       (7) Prior to receiving the waiver, the program has submitted 16892
to the department an instructional plan that demonstrates how the 16893
academic content standards adopted by the state board of education 16894
under section 3301.079 of the Revised Code will be taught and 16895
assessed.16896

       If the department does not act either to grant the waiver or 16897
to reject the program application for the waiver within sixty days 16898
as required under this section, the waiver shall be considered to 16899
be granted.16900

       (G) Every high school may permit students below the ninth16901
grade to take advanced work for high school credit. A high school 16902
shall count such advanced work toward the graduation requirements 16903
of division (B) or (C) of this section if the advanced work was 16904
both:16905

       (1) Taught by a person who possesses a license or certificate 16906
issued under section 3301.071, 3319.22, or 3319.222 of the Revised 16907
Code that is valid for teaching high school;16908

       (2) Designated by the board of education of the city, local,16909
or exempted village school district, the board of the cooperative16910
education school district, or the governing authority of the16911
chartered nonpublic school as meeting the high school curriculum16912
requirements.16913

        Each high school shall record on the student's high school 16914
transcript all high school credit awarded under division (G) of 16915
this section. In addition, if the student completed a seventh- or 16916
eighth-grade fine arts course described in division (K) of this 16917
section and the course qualified for high school credit under that 16918
division, the high school shall record that course on the 16919
student's high school transcript.16920

       (H) The department shall make its individual academic career 16921
plan available through its Ohio career information system web site 16922
for districts and schools to use as a tool for communicating with 16923
and providing guidance to students and families in selecting high 16924
school courses.16925

        (I) Units earned in English language arts, mathematics,16926
science, and social studies that are delivered through integrated16927
academic and career-technical instruction are eligible to meet the16928
graduation requirements of division (B) or (C) of this section.16929

       (J) The state board of education, in consultation with the 16930
Ohio board of regents and the partnership for continued learning, 16931
shall adopt a statewide plan implementing methods for students to 16932
earn units of high school credit based on a demonstration of 16933
subject area competency, instead of or in combination with 16934
completing hours of classroom instruction. The state board shall 16935
adopt the plan not later than March 31, 2009, and commence phasing 16936
in the plan during the 2009-2010 school year. The plan shall 16937
include a standard method for recording demonstrated proficiency 16938
on high school transcripts. Each school district, community 16939
school, and chartered nonpublic school shall comply with the state 16940
board's plan adopted under this division and award units of high 16941
school credit in accordance with the plan. The state board may 16942
adopt existing methods for earning high school credit based on a 16943
demonstration of subject area competency as necessary prior to the 16944
2009-2010 school year.16945

       (K) This division does not apply to students who qualify for 16946
graduation from high school under division (D) or (F) of this 16947
section, or to students pursuing a career-technical instructional 16948
track as determined by the school district board of education or 16949
the chartered nonpublic school's governing authority. 16950
Nevertheless, the general assembly encourages such students to 16951
consider enrolling in a fine arts course as an elective.16952

       Beginning with students who enter ninth grade for the first 16953
time on or after July 1, 2010, each student enrolled in a public 16954
or chartered nonpublic high school shall complete two semesters or 16955
the equivalent of fine arts to graduate from high school. The 16956
coursework may be completed in any of grades seven to twelve. Each 16957
student who completes a fine arts course in grade seven or eight 16958
may elect to count that course toward the five units of electives 16959
required for graduation under division (C)(7) of this section, if 16960
the course satisfied the requirements of division (G) of this 16961
section. In that case, the high school shall award the student 16962
high school credit for the course and count the course toward the 16963
five units required under division (C)(7) of this section. If the 16964
course in grade seven or eight did not satisfy the requirements of 16965
division (G) of this section, the high school shall not award the 16966
student high school credit for the course but shall count the 16967
course toward the two semesters or the equivalent of fine arts 16968
required by this division.16969

       (L) Notwithstanding anything to the contrary in this section, 16970
the board of education of each school district and the governing 16971
authority of each chartered nonpublic school may adopt a policy to 16972
excuse from the high school physical education requirement each 16973
student who, during high school, has participated in 16974
interscholastic athletics, marching band, or cheerleading for at 16975
least two full seasons. If the board or authority adopts such a 16976
policy, the board or authority shall not require the student to 16977
complete any physical education course as a condition to graduate. 16978
However, the student shall be required to complete one-half unit, 16979
consisting of at least sixty hours of instruction, in another 16980
course of study.16981

       Sec. 3313.615.  This section shall apply to diplomas awarded16982
after September 15, 2006, to students who are required to take the16983
five Ohio graduation tests prescribed by division (B) of section16984
3301.0710 of the Revised Code.16985

       (A) As an alternative to the requirement that a person attain 16986
the scores designated under division (B) of section 3301.0710 of 16987
the Revised Code on all the tests required under that division in 16988
order to be eligible for a high school diploma or an honors 16989
diploma under sections 3313.61, 3313.612, or 3325.08 of the16990
Revised Code or for a diploma of adult education under section16991
3313.611 of the Revised Code, a person who has attained at least16992
the applicable scores designated under division (B) of section16993
3301.0710 of the Revised Code on all but one of the tests required16994
by that division and from which the person was not excused or16995
exempted, pursuant to division (H) or (L) of section 3313.61,16996
division (B)(1) of section 3313.612, or section 3313.532 of the16997
Revised Code, may be awarded a diploma or honors diploma if the16998
person has satisfied all of the following conditions:16999

       (1) On the one test required under division (B) of section17000
3301.0710 of the Revised Code for which the person failed to17001
attain the designated score, the person missed that score by ten17002
points or less;17003

       (2) Has a ninety-seven per cent school attendance rate in17004
each of the last four school years, excluding any excused17005
absences;17006

       (3) Has not been expelled from school under section 3313.6617007
of the Revised Code in any of the last four school years;17008

       (4) Has a grade point average of at least 2.5 out of 4.0, or17009
its equivalent as designated in rules adopted by the state board17010
of education, in the subject area of the test required under17011
division (B) of section 3301.0710 of the Revised Code for which17012
the person failed to attain the designated score;17013

       (5) Has completed the high school curriculum requirements17014
prescribed in section 3313.603 of the Revised Code or has 17015
qualified under division (D) or (F) of that section;17016

       (6) Has taken advantage of any intervention programs provided 17017
by the school district or school in the subject area described in 17018
division (A)(4) of this section and has a ninety-seven per cent 17019
attendance rate, excluding any excused absences, in any of those 17020
programs that are provided at times beyond the normal school day, 17021
school week, or school year or has received comparable 17022
intervention services from a source other than the school district 17023
or school;17024

       (7) Holds a letter recommending graduation from each of the17025
person's high school teachers in the subject area described in17026
division (A)(4) of this section and from the person's high school17027
principal.17028

       (B) The state board of education shall establish rules17029
designating grade point averages equivalent to the average17030
specified in division (A)(4) of this section for use by school17031
districts and schools with different grading systems.17032

       (C) Any student who is exempt from attaining the applicable 17033
score designated under division (B) of section 3301.0710 of the 17034
Revised Code on the Ohio graduation test in social studies 17035
pursuant to division (H) of section 3313.61 or division (B)(2) of 17036
section 3313.612 of the Revised Code shall not qualify for a high 17037
school diploma under this section, unless, notwithstanding the 17038
exemption, the student attains the applicable score on that test. 17039
If the student attains the applicable score on that test, the 17040
student may qualify for a diploma under this section in the same 17041
manner as any other student who is required to take the five Ohio 17042
graduation tests prescribed by division (B) of section 3301.0710 17043
of the Revised Code.17044

       Sec. 3313.64.  (A) As used in this section and in section17045
3313.65 of the Revised Code:17046

       (1)(a) Except as provided in division (A)(1)(b) of this 17047
section, "parent" means either parent, unless the parents are17048
separated or divorced or their marriage has been dissolved or17049
annulled, in which case "parent" means the parent who is the17050
residential parent and legal custodian of the child. When a child17051
is in the legal custody of a government agency or a person other17052
than the child's natural or adoptive parent, "parent" means the17053
parent with residual parental rights, privileges, and17054
responsibilities. When a child is in the permanent custody of a17055
government agency or a person other than the child's natural or17056
adoptive parent, "parent" means the parent who was divested of17057
parental rights and responsibilities for the care of the child and17058
the right to have the child live with the parent and be the legal17059
custodian of the child and all residual parental rights,17060
privileges, and responsibilities.17061

       (b) When a child is the subject of a power of attorney17062
executed under sections 3109.51 to 3109.62 of the Revised Code,17063
"parent" means the grandparent designated as attorney in fact 17064
under the power of attorney. When a child is the subject of a 17065
caretaker authorization affidavit executed under sections 3109.64 17066
to 3109.73 of the Revised Code, "parent" means the grandparent 17067
that executed the affidavit.17068

       (2) "Legal custody," "permanent custody," and "residual17069
parental rights, privileges, and responsibilities" have the same17070
meanings as in section 2151.011 of the Revised Code.17071

       (3) "School district" or "district" means a city, local, or17072
exempted village school district and excludes any school operated17073
in an institution maintained by the department of youth services.17074

       (4) Except as used in division (C)(2) of this section, "home" 17075
means a home, institution, foster home, group home, or other 17076
residential facility in this state that receives and cares for 17077
children, to which any of the following applies:17078

       (a) The home is licensed, certified, or approved for such17079
purpose by the state or is maintained by the department of youth17080
services.17081

       (b) The home is operated by a person who is licensed,17082
certified, or approved by the state to operate the home for such17083
purpose.17084

       (c) The home accepted the child through a placement by a17085
person licensed, certified, or approved to place a child in such a17086
home by the state.17087

       (d) The home is a children's home created under section17088
5153.21 or 5153.36 of the Revised Code.17089

       (5) "Agency" means all of the following:17090

       (a) A public children services agency;17091

       (b) An organization that holds a certificate issued by the17092
Ohio department of job and family services in accordance with the17093
requirements of section 5103.03 of the Revised Code and assumes17094
temporary or permanent custody of children through commitment,17095
agreement, or surrender, and places children in family homes for17096
the purpose of adoption;17097

       (c) Comparable agencies of other states or countries that17098
have complied with applicable requirements of section 2151.39, or17099
sections 5103.20 to 5103.22 of the Revised Code.17100

       (6) A child is placed for adoption if either of the following 17101
occurs:17102

       (a) An agency to which the child has been permanently17103
committed or surrendered enters into an agreement with a person17104
pursuant to section 5103.16 of the Revised Code for the care and17105
adoption of the child.17106

       (b) The child's natural parent places the child pursuant to17107
section 5103.16 of the Revised Code with a person who will care17108
for and adopt the child.17109

       (7) "Handicapped preschool child" means a handicapped child,17110
as defined by division (A) of section 3323.01 of the Revised Code,17111
who is at least three years of age but is not of compulsory school17112
age, as defined in section 3321.01 of the Revised Code, and who is17113
not currently enrolled in kindergarten.17114

       (8) "Child," unless otherwise indicated, includes handicapped17115
preschool children.17116

       (9) "Active duty" means active duty pursuant to an executive 17117
order of the president of the United States, an act of the 17118
congress of the United States, or section 5919.29 or 5923.21 of 17119
the Revised Code.17120

       (B) Except as otherwise provided in section 3321.01 of the17121
Revised Code for admittance to kindergarten and first grade, a17122
child who is at least five but under twenty-two years of age and17123
any handicapped preschool child shall be admitted to school as17124
provided in this division.17125

       (1) A child shall be admitted to the schools of the school17126
district in which the child's parent resides.17127

       (2) A child who does not reside in the district where the17128
child's parent resides shall be admitted to the schools of the17129
district in which the child resides if any of the following17130
applies:17131

       (a) The child is in the legal or permanent custody of a17132
government agency or a person other than the child's natural or17133
adoptive parent.17134

       (b) The child resides in a home.17135

       (c) The child requires special education.17136

       (3) A child who is not entitled under division (B)(2) of this 17137
section to be admitted to the schools of the district where the 17138
child resides and who is residing with a resident of this state 17139
with whom the child has been placed for adoption shall be admitted17140
to the schools of the district where the child resides unless 17141
either of the following applies:17142

       (a) The placement for adoption has been terminated.17143

       (b) Another school district is required to admit the child17144
under division (B)(1) of this section.17145

       Division (B) of this section does not prohibit the board of17146
education of a school district from placing a handicapped child17147
who resides in the district in a special education program outside17148
of the district or its schools in compliance with Chapter 3323. of17149
the Revised Code.17150

       (C) A district shall not charge tuition for children admitted 17151
under division (B)(1) or (3) of this section. If the district 17152
admits a child under division (B)(2) of this section, tuition 17153
shall be paid to the district that admits the child as follows:17154

       (1) If the child receives special education in accordance17155
with Chapter 3323. of the Revised Code, the school district of 17156
residence, as defined in section 3323.01 of the Revised Code, 17157
shall pay tuition for the child in accordance with section 17158
3323.091, 3323.13, 3323.14, or 3323.141 of the Revised Code 17159
regardless of who has custody of the child or whether the child 17160
resides in a home.17161

       (2) For a child that does not receive special education in 17162
accordance with Chapter 3323. of the Revised Code, except as 17163
otherwise provided in division (C)(2)(d) of this section, if the 17164
child is in the permanent or legal custody of a government agency 17165
or person other than the child's parent, tuition shall be paid by:17166

       (a) The district in which the child's parent resided at the17167
time the court removed the child from home or at the time the17168
court vested legal or permanent custody of the child in the person17169
or government agency, whichever occurred first;17170

       (b) If the parent's residence at the time the court removed17171
the child from home or placed the child in the legal or permanent17172
custody of the person or government agency is unknown, tuition17173
shall be paid by the district in which the child resided at the17174
time the child was removed from home or placed in legal or17175
permanent custody, whichever occurred first;17176

       (c) If a school district cannot be established under division 17177
(C)(2)(a) or (b) of this section, tuition shall be paid by the 17178
district determined as required by section 2151.362 of the Revised 17179
Code by the court at the time it vests custody of the child in the 17180
person or government agency;17181

       (d) If at the time the court removed the child from home or17182
vested legal or permanent custody of the child in the person or17183
government agency, whichever occurred first, one parent was in a17184
residential or correctional facility or a juvenile residential17185
placement and the other parent, if living and not in such a17186
facility or placement, was not known to reside in this state,17187
tuition shall be paid by the district determined under division17188
(D) of section 3313.65 of the Revised Code as the district17189
required to pay any tuition while the parent was in such facility17190
or placement;17191

       (e) If the court has modified its order as to which district17192
department of education has determined, pursuant to division 17193
(A)(2) of section 2151.362 of the Revised Code, that a school 17194
district other than the one named in the court's initial order, or 17195
in a prior determination of the department, is responsible to bear 17196
the cost of educating the child pursuant to division (A)(2) of 17197
section 2151.362 of the Revised Code, the district so determined 17198
toshall be responsible for that cost in the order so modified.17199

       (3) If the child is not in the permanent or legal custody of17200
a government agency or person other than the child's parent and17201
the child resides in a home, tuition shall be paid by one of the17202
following:17203

       (a) The school district in which the child's parent resides;17204

       (b) If the child's parent is not a resident of this state,17205
the home in which the child resides.17206

       (D) Tuition required to be paid under divisions (C)(2) and17207
(3)(a) of this section shall be computed in accordance with17208
section 3317.08 of the Revised Code. Tuition required to be paid17209
under division (C)(3)(b) of this section shall be computed in17210
accordance with section 3317.081 of the Revised Code. If a home17211
fails to pay the tuition required by division (C)(3)(b) of this17212
section, the board of education providing the education may17213
recover in a civil action the tuition and the expenses incurred in17214
prosecuting the action, including court costs and reasonable17215
attorney's fees. If the prosecuting attorney or city director of17216
law represents the board in such action, costs and reasonable17217
attorney's fees awarded by the court, based upon the prosecuting17218
attorney's, director's, or one of their designee's time spent17219
preparing and presenting the case, shall be deposited in the17220
county or city general fund.17221

       (E) A board of education may enroll a child free of any17222
tuition obligation for a period not to exceed sixty days, on the17223
sworn statement of an adult resident of the district that the17224
resident has initiated legal proceedings for custody of the child.17225

       (F) In the case of any individual entitled to attend school17226
under this division, no tuition shall be charged by the school17227
district of attendance and no other school district shall be17228
required to pay tuition for the individual's attendance.17229
Notwithstanding division (B), (C), or (E) of this section:17230

       (1) All persons at least eighteen but under twenty-two years17231
of age who live apart from their parents, support themselves by17232
their own labor, and have not successfully completed the high17233
school curriculum or the individualized education program17234
developed for the person by the high school pursuant to section17235
3323.08 of the Revised Code, are entitled to attend school in the17236
district in which they reside.17237

       (2) Any child under eighteen years of age who is married is17238
entitled to attend school in the child's district of residence.17239

       (3) A child is entitled to attend school in the district in17240
which either of the child's parents is employed if the child has a17241
medical condition that may require emergency medical attention.17242
The parent of a child entitled to attend school under division17243
(F)(3) of this section shall submit to the board of education of17244
the district in which the parent is employed a statement from the17245
child's physician certifying that the child's medical condition17246
may require emergency medical attention. The statement shall be17247
supported by such other evidence as the board may require.17248

       (4) Any child residing with a person other than the child's17249
parent is entitled, for a period not to exceed twelve months, to17250
attend school in the district in which that person resides if the17251
child's parent files an affidavit with the superintendent of the17252
district in which the person with whom the child is living resides17253
stating all of the following:17254

       (a) That the parent is serving outside of the state in the17255
armed services of the United States;17256

       (b) That the parent intends to reside in the district upon17257
returning to this state;17258

       (c) The name and address of the person with whom the child is 17259
living while the parent is outside the state.17260

       (5) Any child under the age of twenty-two years who, after17261
the death of a parent, resides in a school district other than the17262
district in which the child attended school at the time of the17263
parent's death is entitled to continue to attend school in the17264
district in which the child attended school at the time of the17265
parent's death for the remainder of the school year, subject to17266
approval of that district board.17267

       (6) A child under the age of twenty-two years who resides17268
with a parent who is having a new house built in a school district17269
outside the district where the parent is residing is entitled to17270
attend school for a period of time in the district where the new17271
house is being built. In order to be entitled to such attendance,17272
the parent shall provide the district superintendent with the17273
following:17274

       (a) A sworn statement explaining the situation, revealing the 17275
location of the house being built, and stating the parent's17276
intention to reside there upon its completion;17277

       (b) A statement from the builder confirming that a new house17278
is being built for the parent and that the house is at the17279
location indicated in the parent's statement.17280

       (7) A child under the age of twenty-two years residing with a17281
parent who has a contract to purchase a house in a school district 17282
outside the district where the parent is residing and who is 17283
waiting upon the date of closing of the mortgage loan for the17284
purchase of such house is entitled to attend school for a period17285
of time in the district where the house is being purchased. In17286
order to be entitled to such attendance, the parent shall provide17287
the district superintendent with the following:17288

       (a) A sworn statement explaining the situation, revealing the 17289
location of the house being purchased, and stating the parent's 17290
intent to reside there;17291

       (b) A statement from a real estate broker or bank officer17292
confirming that the parent has a contract to purchase the house,17293
that the parent is waiting upon the date of closing of the17294
mortgage loan, and that the house is at the location indicated in17295
the parent's statement.17296

       The district superintendent shall establish a period of time17297
not to exceed ninety days during which the child entitled to17298
attend school under division (F)(6) or (7) of this section may17299
attend without tuition obligation. A student attending a school17300
under division (F)(6) or (7) of this section shall be eligible to17301
participate in interscholastic athletics under the auspices of17302
that school, provided the board of education of the school17303
district where the student's parent resides, by a formal action,17304
releases the student to participate in interscholastic athletics17305
at the school where the student is attending, and provided the17306
student receives any authorization required by a public agency or17307
private organization of which the school district is a member17308
exercising authority over interscholastic sports.17309

       (8) A child whose parent is a full-time employee of a city,17310
local, or exempted village school district, or of an educational17311
service center, may be admitted to the schools of the district17312
where the child's parent is employed, or in the case of a child17313
whose parent is employed by an educational service center, in the17314
district that serves the location where the parent's job is17315
primarily located, provided the district board of education17316
establishes such an admission policy by resolution adopted by a17317
majority of its members. Any such policy shall take effect on the17318
first day of the school year and the effective date of any17319
amendment or repeal may not be prior to the first day of the17320
subsequent school year. The policy shall be uniformly applied to17321
all such children and shall provide for the admission of any such17322
child upon request of the parent. No child may be admitted under17323
this policy after the first day of classes of any school year.17324

       (9) A child who is with the child's parent under the care of17325
a shelter for victims of domestic violence, as defined in section17326
3113.33 of the Revised Code, is entitled to attend school free in17327
the district in which the child is with the child's parent, and no17328
other school district shall be required to pay tuition for the17329
child's attendance in that school district.17330

       The enrollment of a child in a school district under this17331
division shall not be denied due to a delay in the school17332
district's receipt of any records required under section 3313.67217333
of the Revised Code or any other records required for enrollment. 17334
Any days of attendance and any credits earned by a child while17335
enrolled in a school district under this division shall be17336
transferred to and accepted by any school district in which the17337
child subsequently enrolls. The state board of education shall17338
adopt rules to ensure compliance with this division.17339

       (10) Any child under the age of twenty-two years whose parent17340
has moved out of the school district after the commencement of17341
classes in the child's senior year of high school is entitled,17342
subject to the approval of that district board, to attend school17343
in the district in which the child attended school at the time of17344
the parental move for the remainder of the school year and for one17345
additional semester or equivalent term. A district board may also17346
adopt a policy specifying extenuating circumstances under which a17347
student may continue to attend school under division (F)(10) of17348
this section for an additional period of time in order to17349
successfully complete the high school curriculum for the17350
individualized education program developed for the student by the17351
high school pursuant to section 3323.08 of the Revised Code.17352

       (11) As used in this division, "grandparent" means a parent17353
of a parent of a child. A child under the age of twenty-two years17354
who is in the custody of the child's parent, resides with a17355
grandparent, and does not require special education is entitled to17356
attend the schools of the district in which the child's17357
grandparent resides, provided that, prior to such attendance in17358
any school year, the board of education of the school district in17359
which the child's grandparent resides and the board of education17360
of the school district in which the child's parent resides enter17361
into a written agreement specifying that good cause exists for17362
such attendance, describing the nature of this good cause, and17363
consenting to such attendance.17364

       In lieu of a consent form signed by a parent, a board of17365
education may request the grandparent of a child attending school17366
in the district in which the grandparent resides pursuant to17367
division (F)(11) of this section to complete any consent form17368
required by the district, including any authorization required by17369
sections 3313.712, 3313.713, 3313.716, and 3313.718 of the Revised 17370
Code. Upon request, the grandparent shall complete any consent 17371
form required by the district. A school district shall not incur 17372
any liability solely because of its receipt of a consent form from 17373
a grandparent in lieu of a parent.17374

       Division (F)(11) of this section does not create, and shall17375
not be construed as creating, a new cause of action or substantive17376
legal right against a school district, a member of a board of17377
education, or an employee of a school district. This section does17378
not affect, and shall not be construed as affecting, any17379
immunities from defenses to tort liability created or recognized17380
by Chapter 2744. of the Revised Code for a school district,17381
member, or employee.17382

       (12) A child under the age of twenty-two years is entitled to 17383
attend school in a school district other than the district in17384
which the child is entitled to attend school under division (B),17385
(C), or (E) of this section provided that, prior to such17386
attendance in any school year, both of the following occur:17387

       (a) The superintendent of the district in which the child is17388
entitled to attend school under division (B), (C), or (E) of this17389
section contacts the superintendent of another district for17390
purposes of this division;17391

       (b) The superintendents of both districts enter into a17392
written agreement that consents to the attendance and specifies17393
that the purpose of such attendance is to protect the student's17394
physical or mental well-being or to deal with other extenuating17395
circumstances deemed appropriate by the superintendents.17396

       While an agreement is in effect under this division for a17397
student who is not receiving special education under Chapter 3323.17398
of the Revised Code and notwithstanding Chapter 3327. of the17399
Revised Code, the board of education of neither school district17400
involved in the agreement is required to provide transportation17401
for the student to and from the school where the student attends.17402

       A student attending a school of a district pursuant to this17403
division shall be allowed to participate in all student17404
activities, including interscholastic athletics, at the school17405
where the student is attending on the same basis as any student17406
who has always attended the schools of that district while of17407
compulsory school age.17408

       (13) All school districts shall comply with the17409
"McKinney-Vento Homeless Assistance Act," 42 U.S.C.A. 11431 et17410
seq., for the education of homeless children. Each city, local,17411
and exempted village school district shall comply with the17412
requirements of that act governing the provision of a free,17413
appropriate public education, including public preschool, to each17414
homeless child.17415

       When a child loses permanent housing and becomes a homeless17416
person, as defined in 42 U.S.C.A. 11481(5), or when a child who is17417
such a homeless person changes temporary living arrangements, the17418
child's parent or guardian shall have the option of enrolling the17419
child in either of the following:17420

       (a) The child's school of origin, as defined in 42 U.S.C.A.17421
11432(g)(3)(C);17422

       (b) The school that is operated by the school district in17423
which the shelter where the child currently resides is located and17424
that serves the geographic area in which the shelter is located.17425

       (14) A child under the age of twenty-two years who resides 17426
with a person other than the child's parent is entitled to attend 17427
school in the school district in which that person resides if both 17428
of the following apply:17429

       (a) That person has been appointed, through a military power 17430
of attorney executed under section 574(a) of the "National Defense 17431
Authorization Act for Fiscal Year 1994," 107 Stat. 1674 (1993), 10 17432
U.S.C. 1044b, or through a comparable document necessary to 17433
complete a family care plan, as the parent's agent for the care, 17434
custody, and control of the child while the parent is on active 17435
duty as a member of the national guard or a reserve unit of the 17436
armed forces of the United States or because the parent is a 17437
member of the armed forces of the United States and is on a duty 17438
assignment away from the parent's residence.17439

       (b) The military power of attorney or comparable document 17440
includes at least the authority to enroll the child in school.17441

        The entitlement to attend school in the district in which the 17442
parent's agent under the military power of attorney or comparable 17443
document resides applies until the end of the school year in which 17444
the military power of attorney or comparable document expires.17445

       (G) A board of education, after approving admission, may17446
waive tuition for students who will temporarily reside in the17447
district and who are either of the following:17448

       (1) Residents or domiciliaries of a foreign nation who17449
request admission as foreign exchange students;17450

       (2) Residents or domiciliaries of the United States but not17451
of Ohio who request admission as participants in an exchange17452
program operated by a student exchange organization.17453

       (H) Pursuant to sections 3311.211, 3313.90, 3319.01, 3323.04, 17454
3327.04, and 3327.06 of the Revised Code, a child may attend 17455
school or participate in a special education program in a school 17456
district other than in the district where the child is entitled to 17457
attend school under division (B) of this section.17458

       (I)(1) Notwithstanding anything to the contrary in this 17459
section or section 3313.65 of the Revised Code, a child under 17460
twenty-two years of age may attend school in the school district 17461
in which the child, at the end of the first full week of October 17462
of the school year, was entitled to attend school as otherwise 17463
provided under this section or section 3313.65 of the Revised 17464
Code, if at that time the child was enrolled in the schools of the 17465
district but since that time the child or the child's parent has 17466
relocated to a new address located outside of that school district 17467
and within the same county as the child's or parent's address 17468
immediately prior to the relocation. The child may continue to 17469
attend school in the district, and at the school to which the 17470
child was assigned at the end of the first full week of October of 17471
the current school year, for the balance of the school year. 17472
Division (I)(1) of this section applies only if both of the 17473
following conditions are satisfied:17474

       (a) The board of education of the school district in which 17475
the child was entitled to attend school at the end of the first 17476
full week in October and of the district to which the child or 17477
child's parent has relocated each has adopted a policy to enroll 17478
children described in division (I)(1) of this section.17479

       (b) The child's parent provides written notification of the 17480
relocation outside of the school district to the superintendent of 17481
each of the two school districts.17482

       (2) At the beginning of the school year following the school 17483
year in which the child or the child's parent relocated outside of 17484
the school district as described in division (I)(1) of this 17485
section, the child is not entitled to attend school in the school 17486
district under that division.17487

       (3) Any person or entity owing tuition to the school district 17488
on behalf of the child at the end of the first full week in 17489
October, as provided in division (C) of this section, shall 17490
continue to owe such tuition to the district for the child's 17491
attendance under division (I)(1) of this section for the lesser of 17492
the balance of the school year or the balance of the time that the 17493
child attends school in the district under division (I)(1) of this 17494
section.17495

       (4) A pupil who may attend school in the district under 17496
division (I)(1) of this section shall be entitled to 17497
transportation services pursuant to an agreement between the 17498
district and the district in which the child or child's parent has 17499
relocated unless the districts have not entered into such 17500
agreement, in which case the child shall be entitled to 17501
transportation services in the same manner as a pupil attending 17502
school in the district under interdistrict open enrollment as 17503
described in division (H) of section 3313.981 of the Revised Code, 17504
regardless of whether the district has adopted an open enrollment 17505
policy as described in division (B)(1)(b) or (c) of section 17506
3313.98 of the Revised Code.17507

       (J) This division does not apply to a child receiving special 17508
education.17509

       A school district required to pay tuition pursuant to17510
division (C)(2) or (3) of this section or section 3313.65 of the17511
Revised Code shall have an amount deducted under division (F) of17512
section 3317.023 of the Revised Code equal to its own tuition rate17513
for the same period of attendance. A school district entitled to17514
receive tuition pursuant to division (C)(2) or (3) of this section17515
or section 3313.65 of the Revised Code shall have an amount17516
credited under division (F) of section 3317.023 of the Revised17517
Code equal to its own tuition rate for the same period of17518
attendance. If the tuition rate credited to the district of17519
attendance exceeds the rate deducted from the district required to17520
pay tuition, the department of education shall pay the district of17521
attendance the difference from amounts deducted from all17522
districts' payments under division (F) of section 3317.023 of the17523
Revised Code but not credited to other school districts under such17524
division and from appropriations made for such purpose. The17525
treasurer of each school district shall, by the fifteenth day of17526
January and July, furnish the superintendent of public instruction17527
a report of the names of each child who attended the district's17528
schools under divisions (C)(2) and (3) of this section or section17529
3313.65 of the Revised Code during the preceding six calendar17530
months, the duration of the attendance of those children, the17531
school district responsible for tuition on behalf of the child,17532
and any other information that the superintendent requires.17533

       Upon receipt of the report the superintendent, pursuant to17534
division (F) of section 3317.023 of the Revised Code, shall deduct17535
each district's tuition obligations under divisions (C)(2) and (3)17536
of this section or section 3313.65 of the Revised Code and pay to17537
the district of attendance that amount plus any amount required to17538
be paid by the state.17539

       (K) In the event of a disagreement, the superintendent of17540
public instruction shall determine the school district in which17541
the parent resides.17542

       (L) Nothing in this section requires or authorizes, or shall17543
be construed to require or authorize, the admission to a public17544
school in this state of a pupil who has been permanently excluded17545
from public school attendance by the superintendent of public17546
instruction pursuant to sections 3301.121 and 3313.662 of the17547
Revised Code.17548

       (M) In accordance with division (B)(1) of this section, a 17549
child whose parent is a member of the national guard or a reserve 17550
unit of the armed forces of the United States and is called to 17551
active duty, or a child whose parent is a member of the armed 17552
forces of the United States and is ordered to a temporary duty 17553
assignment outside of the district, may continue to attend school 17554
in the district in which the child's parent lived before being 17555
called to active duty or ordered to a temporary duty assignment 17556
outside of the district, as long as the child's parent continues 17557
to be a resident of that district, and regardless of where the 17558
child lives as a result of the parent's active duty status or 17559
temporary duty assignment. However, the district is not 17560
responsible for providing transportation for the child if the 17561
child lives outside of the district as a result of the parent's 17562
active duty status or temporary duty assignment.17563

       Sec. 3313.646.  (A) The board of education of a school17564
district, except a cooperative education district established17565
pursuant to section 3311.521 of the Revised Code, may establish17566
and operate a preschool program except that no such program shall17567
be established after March 17, 1989, unless both of the following17568
apply at the time the program is established:17569

       (1) The, provided the board has demonstrated a need for the 17570
program.17571

       (2) Unless it is a cooperative education district established 17572
pursuant to divisions (A) to (C) of section 3311.52 of the Revised 17573
Code, the school district is eligible for moneys distributed by 17574
the department of education pursuant to section 3317.029 of the 17575
Revised Code. A board may use school funds in support of preschool 17576
programs. The board shall maintain, operate, and admit children to 17577
any such program pursuant to rules adopted by such board and the 17578
rules of the state board of education adopted under sections 17579
3301.52 to 3301.57 of the Revised Code.17580

       A board of education may establish fees or tuition, which may 17581
be graduated in proportion to family income, for participation in 17582
a preschool program. In cases where payment of fees or tuition 17583
would create a hardship for the child's parent or guardian, the 17584
board may waive any such fees or tuition.17585

       (B) No board of education that is not receiving funds under 17586
the "Head Start Act," 95 Stat. 489 (1981), 42 U.S.C.A. 9831, on 17587
March 17, 1989, shall compete for funds under the "Head Start Act" 17588
with any grantee receiving funds under that act.17589

       (C) A board of education may contract with any of the17590
following preschool providers to provide preschool programs, other 17591
than programs for units described by divisions (B) and (C) of17592
section 3317.05 of the Revised Code, for children of the school17593
district:17594

       (1) Any organization receiving funds under the "Head Start17595
Act";17596

       (2) Any nonsectarian eligible nonpublic school as defined in 17597
division (H) of section 3301.52 of the Revised Code;17598

       (3) Any child care provider licensed under Chapter 5104. of 17599
the Revised Code.17600

       Boards may contract to provide preschool programs only with17601
such organizations whose staff meet the requirements of rules17602
adopted under section 3301.53 of the Revised Code or those of the17603
child development associate credential established by the national 17604
association for the education of young children.17605

       (D) A contract entered into under division (C) of this17606
section may provide for the board of education to lease school17607
facilities to the preschool provider or to furnish transportation, 17608
utilities, or staff for the preschool program.17609

       (E) The treasurer of any board of education operating a17610
preschool program pursuant to this section shall keep an account17611
of all funds used to operate the program in the same manner as he17612
the treasurer would any other funds of the district pursuant to 17613
this chapter.17614

       Sec. 3313.66.  (A) Except as provided under division (B)(2)17615
of this section, the superintendent of schools of a city, exempted17616
village, or local school district, or the principal of a public17617
school may suspend a pupil from school for not more than ten17618
school days. The board of education of a city, exempted village,17619
or local school district may adopt a policy granting assistant17620
principals and other administrators the authority to suspend a17621
pupil from school for a period of time as specified in the policy17622
of the board of education, not to exceed ten school days. If at17623
the time a suspension is imposed there are fewer than ten school17624
days remaining in the school year in which the incident that gives17625
rise to the suspension takes place, the superintendent may apply17626
any remaining part or all of the period of the suspension to the17627
following school year. Except in the case of a pupil given an17628
in-school suspension, no pupil shall be suspended unless prior to17629
the suspension such superintendent or principal does both of the17630
following:17631

       (1) Gives the pupil written notice of the intention to17632
suspend the pupil and the reasons for the intended suspension and,17633
if the proposed suspension is based on a violation listed in17634
division (A) of section 3313.662 of the Revised Code and if the17635
pupil is sixteen years of age or older, includes in the notice a17636
statement that the superintendent may seek to permanently exclude17637
the pupil if the pupil is convicted of or adjudicated a delinquent17638
child for that violation;17639

       (2) Provides the pupil an opportunity to appear at an17640
informal hearing before the principal, assistant principal,17641
superintendent, or superintendent's designee and challenge the17642
reason for the intended suspension or otherwise to explain the17643
pupil's actions.17644

       (B)(1) Except as provided under division (B)(2), (3), or (4)17645
of this section, the superintendent of schools of a city, exempted17646
village, or local school district may expel a pupil from school17647
for a period not to exceed the greater of eighty school days or17648
the number of school days remaining in the semester or term in17649
which the incident that gives rise to the expulsion takes place,17650
unless the expulsion is extended pursuant to division (F) of this17651
section. If at the time an expulsion is imposed there are fewer17652
than eighty school days remaining in the school year in which the17653
incident that gives rise to the expulsion takes place, the17654
superintendent may apply any remaining part or all of the period17655
of the expulsion to the following school year.17656

       (2)(a) Unless a pupil is permanently excluded pursuant to17657
section 3313.662 of the Revised Code, the superintendent of17658
schools of a city, exempted village, or local school district17659
shall expel a pupil from school for a period of one year for17660
bringing a firearm to a school operated by the board of education17661
of the district or onto any other property owned or controlled by17662
the board, except that the superintendent may reduce this17663
requirement on a case-by-case basis in accordance with the policy17664
adopted by the board under section 3313.661 of the Revised Code.17665

       (b) The superintendent of schools of a city, exempted17666
village, or local school district may expel a pupil from school17667
for a period of one year for bringing a firearm to an17668
interscholastic competition, an extracurricular event, or any17669
other school program or activity that is not located in a school17670
or on property that is owned or controlled by the district. The17671
superintendent may reduce this disciplinary action on a17672
case-by-case basis in accordance with the policy adopted by the17673
board under section 3313.661 of the Revised Code.17674

       (c) Any expulsion pursuant to division (B)(2) of this section 17675
shall extend, as necessary, into the school year following the 17676
school year in which the incident that gives rise to the expulsion 17677
takes place. As used in this division, "firearm" has the same 17678
meaning as provided pursuant to the "Gun-Free Schools Act of17679
1994," 108115 Stat. 2701762, 20 U.S.C. 8001(a)(2)7151.17680

       (3) The board of education of a city, exempted village, or17681
local school district may adopt a resolution authorizing the17682
superintendent of schools to expel a pupil from school for a17683
period not to exceed one year for bringing a knife to a school17684
operated by the board, onto any other property owned or controlled17685
by the board, or to an interscholastic competition, an17686
extracurricular event, or any other program or activity sponsored17687
by the school district or in which the district is a participant,17688
or for possessing a firearm or knife at a school, on any other17689
property owned or controlled by the board, or at an17690
interscholastic competition, an extracurricular event, or any17691
other school program or activity, which firearm or knife was17692
initially brought onto school board property by another person.17693
The resolution may authorize the superintendent to extend such an17694
expulsion, as necessary, into the school year following the school17695
year in which the incident that gives rise to the expulsion takes17696
place.17697

       (4) The board of education of a city, exempted village, or17698
local school district may adopt a resolution establishing a policy17699
under section 3313.661 of the Revised Code that authorizes the17700
superintendent of schools to expel a pupil from school for a17701
period not to exceed one year for committing an act that is a17702
criminal offense when committed by an adult and that results in17703
serious physical harm to persons as defined in division (A)(5) of17704
section 2901.01 of the Revised Code or serious physical harm to17705
property as defined in division (A)(6) of section 2901.01 of the17706
Revised Code while the pupil is at school, on any other property17707
owned or controlled by the board, or at an interscholastic17708
competition, an extracurricular event, or any other school program17709
or activity. Any expulsion under this division shall extend, as17710
necessary, into the school year following the school year in which17711
the incident that gives rise to the expulsion takes place.17712

       (5) The board of education of any city, exempted village, or17713
local school district may adopt a resolution establishing a policy17714
under section 3313.661 of the Revised Code that authorizes the17715
superintendent of schools to expel a pupil from school for a17716
period not to exceed one year for making a bomb threat to a school17717
building or to any premises at which a school activity is17718
occurring at the time of the threat. Any expulsion under this17719
division shall extend, as necessary, into the school year17720
following the school year in which the incident that gives rise to17721
the expulsion takes place.17722

       (6) No pupil shall be expelled under division (B)(1), (2),17723
(3), (4), or (5) of this section unless, prior to the pupil's17724
expulsion, the superintendent does both of the following:17725

       (a) Gives the pupil and the pupil's parent, guardian, or17726
custodian written notice of the intention to expel the pupil;17727

       (b) Provides the pupil and the pupil's parent, guardian,17728
custodian, or representative an opportunity to appear in person17729
before the superintendent or the superintendent's designee to17730
challenge the reasons for the intended expulsion or otherwise to17731
explain the pupil's actions.17732

       The notice required in this division shall include the17733
reasons for the intended expulsion, notification of the17734
opportunity of the pupil and the pupil's parent, guardian,17735
custodian, or representative to appear before the superintendent17736
or the superintendent's designee to challenge the reasons for the17737
intended expulsion or otherwise to explain the pupil's action, and17738
notification of the time and place to appear. The time to appear17739
shall not be earlier than three nor later than five school days17740
after the notice is given, unless the superintendent grants an17741
extension of time at the request of the pupil or the pupil's17742
parent, guardian, custodian, or representative. If an extension is 17743
granted after giving the original notice, the superintendent shall 17744
notify the pupil and the pupil's parent, guardian, custodian, or17745
representative of the new time and place to appear. If the 17746
proposed expulsion is based on a violation listed in division (A) 17747
of section 3313.662 of the Revised Code and if the pupil is 17748
sixteen years of age or older, the notice shall include a17749
statement that the superintendent may seek to permanently exclude17750
the pupil if the pupil is convicted of or adjudicated a delinquent17751
child for that violation.17752

       (7) A superintendent of schools of a city, exempted village,17753
or local school district shall initiate expulsion proceedings17754
pursuant to this section with respect to any pupil who has17755
committed an act warranting expulsion under the district's policy17756
regarding expulsion even if the pupil has withdrawn from school17757
for any reason after the incident that gives rise to the hearing17758
but prior to the hearing or decision to impose the expulsion. If,17759
following the hearing, the pupil would have been expelled for a17760
period of time had the pupil still been enrolled in the school,17761
the expulsion shall be imposed for the same length of time as on a17762
pupil who has not withdrawn from the school.17763

       (C) If a pupil's presence poses a continuing danger to17764
persons or property or an ongoing threat of disrupting the17765
academic process taking place either within a classroom or17766
elsewhere on the school premises, the superintendent or a17767
principal or assistant principal may remove a pupil from17768
curricular activities or from the school premises, and a teacher17769
may remove a pupil from curricular activities under the teacher's17770
supervision, without the notice and hearing requirements of17771
division (A) or (B) of this section. As soon as practicable after17772
making such a removal, the teacher shall submit in writing to the17773
principal the reasons for such removal.17774

       If a pupil is removed under this division from a curricular17775
activity or from the school premises, written notice of the17776
hearing and of the reason for the removal shall be given to the17777
pupil as soon as practicable prior to the hearing, which shall be17778
held within three school days from the time the initial removal is17779
ordered. The hearing shall be held in accordance with division (A) 17780
of this section unless it is probable that the pupil may be17781
subject to expulsion, in which case a hearing in accordance with17782
division (B) of this section shall be held, except that the17783
hearing shall be held within three school days of the initial17784
removal. The individual who ordered, caused, or requested the17785
removal to be made shall be present at the hearing.17786

       If the superintendent or the principal reinstates a pupil in17787
a curricular activity under the teacher's supervision prior to the17788
hearing following a removal under this division, the teacher, upon17789
request, shall be given in writing the reasons for such17790
reinstatement.17791

       (D) The superintendent or principal, within one school day17792
after the time of a pupil's expulsion or suspension, shall notify17793
in writing the parent, guardian, or custodian of the pupil and the17794
treasurer of the board of education of the expulsion or17795
suspension. The notice shall include the reasons for the expulsion 17796
or suspension, notification of the right of the pupil or the 17797
pupil's parent, guardian, or custodian to appeal the expulsion or 17798
suspension to the board of education or to its designee, to be17799
represented in all appeal proceedings, to be granted a hearing17800
before the board or its designee in order to be heard against the17801
suspension or expulsion, and to request that the hearing be held17802
in executive session, notification that the expulsion may be17803
subject to extension pursuant to division (F) of this section if17804
the pupil is sixteen years of age or older, and notification that17805
the superintendent may seek the pupil's permanent exclusion if the17806
suspension or expulsion was based on a violation listed in17807
division (A) of section 3313.662 of the Revised Code that was17808
committed when the child was sixteen years of age or older and if17809
the pupil is convicted of or adjudicated a delinquent child for17810
that violation.17811

       In accordance with the policy adopted by the board of 17812
education under section 3313.661 of the Revised Code, the notice 17813
provided under this division shall specify the manner and date by 17814
which the pupil or the pupil's parent, guardian, or custodian 17815
shall notify the board of the pupil's, parent's, guardian's, or 17816
custodian's intent to appeal the expulsion or suspension to the 17817
board or its designee.17818

       Any superintendent expelling a pupil under this section for17819
more than twenty school days or for any period of time if the17820
expulsion will extend into the following semester or school year17821
shall, in the notice required under this division, provide the17822
pupil and the pupil's parent, guardian, or custodian with17823
information about services or programs offered by public and17824
private agencies that work toward improving those aspects of the17825
pupil's attitudes and behavior that contributed to the incident17826
that gave rise to the pupil's expulsion. The information shall17827
include the names, addresses, and phone numbers of the appropriate17828
public and private agencies.17829

       (E) A pupil or the pupil's parent, guardian, or custodian may 17830
appeal the pupil's expulsion by a superintendent or suspension by 17831
a superintendent, principal, assistant principal, or other17832
administrator to the board of education or to its designee. If the 17833
pupil or the pupil's parent, guardian, or custodian intends to 17834
appeal the expulsion or suspension to the board or its designee, 17835
the pupil or the pupil's parent, guardian, or custodian shall 17836
notify the board in the manner and by the date specified in the 17837
notice provided under division (D) of this section. The pupil or 17838
the pupil's parent, guardian, or custodian may be represented in17839
all appeal proceedings and shall be granted a hearing before the17840
board or its designee in order to be heard against the suspension17841
or expulsion. At the request of the pupil or of the pupil's17842
parent, guardian, custodian, or attorney, the board or its 17843
designee may hold the hearing in executive session but shall act 17844
upon the suspension or expulsion only at a public meeting. The 17845
board, by a majority vote of its full membership or by the action 17846
of its designee, may affirm the order of suspension or expulsion,17847
reinstate the pupil, or otherwise reverse, vacate, or modify the17848
order of suspension or expulsion.17849

       The board or its designee shall make a verbatim record of17850
hearings held under this division. The decisions of the board or17851
its designee may be appealed under Chapter 2506. of the Revised17852
Code.17853

       This section shall not be construed to require notice and17854
hearing in accordance with division (A), (B), or (C) of this17855
section in the case of normal disciplinary procedures in which a17856
pupil is removed from a curricular activity for a period of less17857
than one school day and is not subject to suspension or expulsion.17858

       (F)(1) If a pupil is expelled pursuant to division (B) of17859
this section for committing any violation listed in division (A)17860
of section 3313.662 of the Revised Code and the pupil was sixteen17861
years of age or older at the time of committing the violation, if17862
a complaint, indictment, or information is filed alleging that the17863
pupil is a delinquent child based upon the commission of the17864
violation or the pupil is prosecuted as an adult for the17865
commission of the violation, and if the resultant juvenile court17866
or criminal proceeding is pending at the time that the expulsion17867
terminates, the superintendent of schools that expelled the pupil17868
may file a motion with the court in which the proceeding is17869
pending requesting an order extending the expulsion for the lesser17870
of an additional eighty days or the number of school days17871
remaining in the school year. Upon the filing of the motion, the17872
court immediately shall schedule a hearing and give written notice17873
of the time, date, and location of the hearing to the17874
superintendent and to the pupil and the pupil's parent, guardian,17875
or custodian. At the hearing, the court shall determine whether17876
there is reasonable cause to believe that the pupil committed the17877
alleged violation that is the basis of the expulsion and, upon17878
determining that reasonable cause to believe the pupil committed17879
the violation does exist, shall grant the requested extension.17880

       (2) If a pupil has been convicted of or adjudicated a17881
delinquent child for a violation listed in division (A) of section17882
3313.662 of the Revised Code for an act that was committed when17883
the child was sixteen years of age or older, if the pupil has been17884
expelled pursuant to division (B) of this section for that17885
violation, and if the board of education of the school district of17886
the school from which the pupil was expelled has adopted a17887
resolution seeking the pupil's permanent exclusion, the17888
superintendent may file a motion with the court that convicted the17889
pupil or adjudicated the pupil a delinquent child requesting an17890
order to extend the expulsion until an adjudication order or other17891
determination regarding permanent exclusion is issued by the17892
superintendent of public instruction pursuant to section 3301.12117893
and division (D) of section 3313.662 of the Revised Code. Upon the 17894
filing of the motion, the court immediately shall schedule a17895
hearing and give written notice of the time, date, and location of17896
the hearing to the superintendent of the school district, the17897
pupil, and the pupil's parent, guardian, or custodian. At the17898
hearing, the court shall determine whether there is reasonable17899
cause to believe the pupil's continued attendance in the public17900
school system may endanger the health and safety of other pupils17901
or school employees and, upon making that determination, shall17902
grant the requested extension.17903

       (G) The failure of the superintendent or the board of17904
education to provide the information regarding the possibility of17905
permanent exclusion in the notice required by divisions (A), (B),17906
and (D) of this section is not jurisdictional, and the failure17907
shall not affect the validity of any suspension or expulsion17908
procedure that is conducted in accordance with this section or the17909
validity of a permanent exclusion procedure that is conducted in17910
accordance with sections 3301.121 and 3313.662 of the Revised17911
Code.17912

       (H) With regard to suspensions and expulsions pursuant to17913
divisions (A) and (B) of this section by the board of education of17914
any city, exempted village, or local school district, this section17915
shall apply to any student, whether or not the student is enrolled17916
in the district, attending or otherwise participating in any17917
curricular program provided in a school operated by the board or17918
provided on any other property owned or controlled by the board.17919

       (I) Whenever a student is expelled under this section, the17920
expulsion shall result in removal of the student from the17921
student's regular school setting. However, during the period of17922
the expulsion, the board of education of the school district that17923
expelled the student or any board of education admitting the17924
student during that expulsion period may provide educational17925
services to the student in an alternative setting.17926

       (J)(1) Notwithstanding sections 3109.51 to 3109.80, 3313.64, 17927
and 3313.65 of the Revised Code, any school district, after 17928
offering an opportunity for a hearing, may temporarily deny17929
admittance to any pupil if one of the following applies:17930

       (a) The pupil has been suspended from the schools of another17931
district under division (A) of this section and the period of17932
suspension, as established under that division, has not expired;17933

       (b) The pupil has been expelled from the schools of another17934
district under division (B) of this section and the period of the17935
expulsion, as established under that division or as extended under17936
division (F) of this section, has not expired.17937

       If a pupil is temporarily denied admission under this17938
division, the pupil shall be admitted to school in accordance with 17939
sections 3109.51 to 3109.80, 3313.64, or 3313.65 of the Revised 17940
Code no later than upon expiration of the suspension or expulsion 17941
period, as applicable.17942

       (2) Notwithstanding sections 3109.51 to 3109.80, 3313.64, and 17943
3313.65 of the Revised Code, any school district, after offering 17944
an opportunity for a hearing, may temporarily deny admittance to 17945
any pupil if the pupil has been expelled or otherwise removed for 17946
disciplinary purposes from a public school in another state and 17947
the period of expulsion or removal has not expired. If a pupil is17948
temporarily denied admission under this division, the pupil shall 17949
be admitted to school in accordance with sections 3109.51 to 17950
3109.80, 3313.64, or 3313.65 of the Revised Code no later than the 17951
earlier of the following:17952

       (a) Upon expiration of the expulsion or removal period17953
imposed by the out-of-state school;17954

       (b) Upon expiration of a period established by the district,17955
beginning with the date of expulsion or removal from the17956
out-of-state school, that is no greater than the period of17957
expulsion that the pupil would have received under the policy17958
adopted by the district under section 3313.661 of the Revised Code17959
had the offense that gave rise to the expulsion or removal by the17960
out-of-state school been committed while the pupil was enrolled in17961
the district.17962

       (K) As used in this section:17963

       (1) "Permanently exclude" and "permanent exclusion" have the17964
same meanings as in section 3313.662 of the Revised Code.17965

       (2) "In-school suspension" means the pupil will serve all of17966
the suspension in a school setting.17967

       Sec. 3313.661.  (A) The board of education of each city,17968
exempted village, and local school district shall adopt a policy17969
regarding suspension, expulsion, removal, and permanent exclusion17970
that specifies the types of misconduct for which a pupil may be17971
suspended, expelled, or removed. The types of misconduct may17972
include misconduct by a pupil that occurs off of property owned or17973
controlled by the district but that is connected to activities or17974
incidents that have occurred on property owned or controlled by17975
that district and misconduct by a pupil that, regardless of where17976
it occurs, is directed at a district official or employee, or the17977
property of such official or employee. The policy shall specify17978
the reasons for which the superintendent of the district may17979
reduce the expulsion requirement in division (B)(2) of section17980
3313.66 of the Revised Code. If a board of education adopts a17981
resolution pursuant to division (B)(3) of section 3313.66 of the17982
Revised Code, the policy shall define the term "knife" or17983
"firearm," as applicable, for purposes of expulsion under that17984
resolution and shall specify any reasons for which the17985
superintendent of the district may reduce any required expulsion17986
period on a case-by-case basis. If a board of education adopts a17987
resolution pursuant to division (B)(4) or (5) of section 3313.6617988
of the Revised Code, the policy shall specify any reasons for17989
which the superintendent of the district may reduce any required17990
expulsion period on a case-by-case basis. The policy also shall17991
set forth the acts listed in section 3313.662 of the Revised Code17992
for which a pupil may be permanently excluded.17993

       The policy adopted under this division shall specify the date 17994
and manner by which a pupil or a pupil's parent, guardian, or 17995
custodian may notify the board of the pupil's, parent's, 17996
guardian's, or custodian's intent to appeal an expulsion or 17997
suspension to the board or its designee pursuant to division (E) 17998
of section 3313.66 of the Revised Code. In the case of any 17999
expulsion, the policy shall not specify a date that is less than 18000
fourteen days after the date of the notice provided to the pupil 18001
or the pupil's parent, guardian, or custodian under division (D) 18002
of that section.18003

       A copy of the policy shall be posted in a central location in18004
the school and made available to pupils upon request. No pupil18005
shall be suspended, expelled, or removed except in accordance with18006
the policy adopted by the board of education of the school18007
district in which the pupil attends school, and no pupil shall be18008
permanently excluded except in accordance with sections 3301.12118009
and 3313.662 of the Revised Code.18010

       (B) A board of education may establish a program and adopt18011
guidelines under which a superintendent may require a pupil to18012
perform community service in conjunction with a suspension or18013
expulsion imposed under section 3313.66 of the Revised Code or in18014
place of a suspension or expulsion imposed under section 3313.6618015
of the Revised Code except for an expulsion imposed pursuant to18016
division (B)(2) of that section. If a board adopts guidelines18017
under this division, they shall permit, except with regard to an18018
expulsion pursuant to division (B)(2) of section 3313.66 of the18019
Revised Code, a superintendent to impose a community service18020
requirement beyond the end of the school year in lieu of applying18021
the suspension or expulsion into the following school year. Any18022
guidelines adopted shall be included in the policy adopted under18023
this section.18024

       (C) The written policy of each board of education that is18025
adopted pursuant to section 3313.20 of the Revised Code shall be18026
posted in a central location in each school that is subject to the18027
policy and shall be made available to pupils upon request.18028

       (D) Any policy, program, or guideline adopted by a board of18029
education under this section with regard to suspensions or18030
expulsions pursuant to division (A) or (B) of section 3313.66 of18031
the Revised Code shall apply to any student, whether or not the18032
student is enrolled in the district, attending or otherwise18033
participating in any curricular program provided in a school18034
operated by the board or provided on any other property owned or18035
controlled by the board.18036

       (E) As used in this section, "permanently exclude" and18037
"permanent exclusion" have the same meanings as in section18038
3313.662 of the Revised Code.18039

       Sec. 3313.98.  Notwithstanding division (D) of section18040
3311.19 and division (D) of section 3311.52 of the Revised Code,18041
the provisions of this section and sections 3313.981 to 3313.98318042
of the Revised Code that apply to a city school district do not18043
apply to a joint vocational or cooperative education school18044
district unless expressly specified.18045

       (A) As used in this section and sections 3313.981 to 3313.983 18046
of the Revised Code:18047

       (1) "Parent" means either of the natural or adoptive parents 18048
of a student, except under the following conditions:18049

       (a) When the marriage of the natural or adoptive parents of 18050
the student has been terminated by a divorce, dissolution of18051
marriage, or annulment or the natural or adoptive parents of the18052
student are living separate and apart under a legal separation18053
decree and the court has issued an order allocating the parental18054
rights and responsibilities with respect to the student, "parent"18055
means the residential parent as designated by the court except18056
that "parent" means either parent when the court issues a shared18057
parenting decree.18058

       (b) When a court has granted temporary or permanent custody 18059
of the student to an individual or agency other than either of the 18060
natural or adoptive parents of the student, "parent" means the 18061
legal custodian of the child.18062

       (c) When a court has appointed a guardian for the student,18063
"parent" means the guardian of the student.18064

       (2) "Native student" means a student entitled under section 18065
3313.64 or 3313.65 of the Revised Code to attend school in a 18066
district adopting a resolution under this section.18067

       (3) "Adjacent district" means a city, exempted village, or 18068
local school district having territory that abuts the territory of 18069
a district adopting a resolution under this section.18070

       (4) "Adjacent district student" means a student entitled18071
under section 3313.64 or 3313.65 of the Revised Code to attend18072
school in an adjacent district.18073

       (5) "Adjacent district joint vocational student" means an 18074
adjacent district student who enrolls in a city, exempted village, 18075
or local school district pursuant to this section and who also 18076
enrolls in a joint vocational school district that does not 18077
contain the territory of the district for which that student is a 18078
native student and does contain the territory of the city,18079
exempted village, or local district in which the student enrolls.18080

       (6) "Formula amount" has the same meaning as in section 18081
3317.02 of the Revised Code.18082

       (7) "Adjusted formula amount" means the greater of the 18083
following:18084

       (a) The fiscal year 2005 formula amount multiplied by the 18085
fiscal year 2005 cost-of-doing-business factor for a district 18086
defined in the version of section 3317.02 of the Revised Code in 18087
effect that year;18088

       (b) The sum of (the current formula amount times the current 18089
cost-of-doing-business factor as defined in section 3317.02 of the 18090
Revised Code) plus the per pupil amount of the base funding 18091
supplements specified in divisions (C)(1) to (4) of section 18092
3317.012 of the Revised Code.18093

       (8) "Poverty line" means the poverty line established by the 18094
director of the United States office of management and budget as 18095
revised by the director of the office of community services in18096
accordance with section 673(2) of the "Community Services Block18097
Grant Act," 95 Stat. 1609, 42 U.S.C.A. 9902, as amended.18098

       (9) "IEP" means an individualized education program defined 18099
by division (E) of section 3323.01 of the Revised Code.18100

       (10) "Other district" means a city, exempted village, or 18101
local school district having territory outside of the territory of 18102
a district adopting a resolution under this section.18103

       (11) "Other district student" means a student entitled under 18104
section 3313.64 or 3313.65 of the Revised Code to attend school in 18105
an other district.18106

       (12) "Other district joint vocational student" means a18107
student who is enrolled in any city, exempted village, or local18108
school district and who also enrolls in a joint vocational school 18109
district that does not contain the territory of the district for 18110
which that student is a native student in accordance with a policy 18111
adopted under section 3313.983 of the Revised Code.18112

       (B)(1) The board of education of each city, local, and18113
exempted village school district shall adopt a resolution18114
establishing for the school district one of the following 18115
policies:18116

       (a) A policy that entirely prohibits the enrollment of 18117
students from adjacent districts or other districts, other than 18118
students for whom tuition is paid in accordance with section 18119
3317.08 of the Revised Code;18120

       (b) A policy that permits enrollment of students from all 18121
adjacent districts in accordance with policy statements contained 18122
in the resolution;18123

       (c) A policy that permits enrollment of students from all 18124
other districts in accordance with policy statements contained in 18125
the resolution.18126

       (2) A policy permitting enrollment of students from adjacent18127
or from other districts, as applicable, shall provide for all of 18128
the following:18129

       (a) Application procedures, including deadlines for18130
application and for notification of students and the18131
superintendent of the applicable district whenever an adjacent or 18132
other district student's application is approved.18133

       (b) Procedures for admitting adjacent or other district 18134
applicants free of any tuition obligation to the district's 18135
schools, including, but not limited to:18136

       (i) The establishment of district capacity limits by grade18137
level, school building, and education program;18138

       (ii) A requirement that all native students wishing to be18139
enrolled in the district will be enrolled and that any adjacent or 18140
other district students previously enrolled in the district shall18141
receive preference over first-time applicants;18142

       (iii) Procedures to ensure that an appropriate racial balance 18143
is maintained in the district schools.18144

       (C) Except as provided in section 3313.982 of the Revised18145
Code, the procedures for admitting adjacent or other district18146
students, as applicable, shall not include:18147

       (1) Any requirement of academic ability, or any level of18148
athletic, artistic, or other extracurricular skills;18149

       (2) Limitations on admitting applicants because of18150
handicapping conditions, except that a board may refuse to admit a 18151
student receiving services under Chapter 3323. of the Revised 18152
Code, if the services described in the student's IEP are not 18153
available in the district's schools;18154

       (3) A requirement that the student be proficient in the18155
English language;18156

       (4) Rejection of any applicant because the student has been 18157
subject to disciplinary proceedings, except that if an applicant 18158
has been suspended or expelled by the student's district for ten 18159
consecutive days or more in the term for which admission is sought 18160
or in the term immediately preceding the term for which admission 18161
is sought, the procedures may include a provision denying 18162
admission of such applicant.18163

       (D)(1) Each school board permitting only enrollment of 18164
adjacent district students shall provide information about the18165
policy adopted under this section, including the application18166
procedures and deadlines, to the superintendent and the board of18167
education of each adjacent district and, upon request, to the18168
parent of any adjacent district student.18169

       (2) Each school board permitting enrollment of other district 18170
students shall provide information about the policy adopted under 18171
this section, including the application procedures and deadlines, 18172
upon request, to the board of education of any other school 18173
district or to the parent of any student anywhere in the state.18174

       (E) Any school board shall accept all credits toward18175
graduation earned in adjacent or other district schools by an18176
adjacent or other district student or a native student.18177

       (F)(1) No board of education may adopt a policy discouraging 18178
or prohibiting its native students from applying to enroll in the 18179
schools of an adjacent or any other district that has adopted a 18180
policy permitting such enrollment, except that:18181

       (a) A district may object to the enrollment of a native18182
student in an adjacent or other district in order to maintain an18183
appropriate racial balance.18184

       (b) The board of education of a district receiving funds18185
under 64 Stat. 1100 (1950), 20 U.S.C.A. 236 et seq., as amended,18186
may adopt a resolution objecting to the enrollment of its native18187
students in adjacent or other districts if at least ten per cent 18188
of its students are included in the determination of the United 18189
States secretary of education made under section 20 U.S.C.A. 18190
238(a).18191

       (2) If a board objects to enrollment of native students under 18192
this division, any adjacent or other district shall refuse to18193
enroll such native students unless tuition is paid for the 18194
students in accordance with section 3317.08 of the Revised Code. 18195
An adjacent or other district enrolling such students may not 18196
receive funding for those students in accordance with section 18197
3313.981 of the Revised Code.18198

       (G) The state board of education shall monitor school18199
districts to ensure compliance with this section and the18200
districts' policies. The board may adopt rules requiring uniform18201
application procedures, deadlines for application, notification18202
procedures, and record-keeping requirements for all school boards18203
that adopt policies permitting the enrollment of adjacent or other18204
district students, as applicable. If the state board adopts such 18205
rules, no school board shall adopt a policy that conflicts with 18206
those rules.18207

       (H) A resolution adopted by a board of education under this 18208
section that entirely prohibits the enrollment of students from 18209
adjacent and from other school districts does not abrogate any18210
agreement entered into under section 3313.841 or 3313.92 of the 18211
Revised Code or any contract entered into under section 3313.90 of 18212
the Revised Code between the board of education adopting the18213
resolution and the board of education of any adjacent or other18214
district or prohibit these boards of education from entering into 18215
any such agreement or contract.18216

       (I) Nothing in this section shall be construed to permit or 18217
require the board of education of a city, exempted village, or18218
local school district to exclude any native student of the18219
district from enrolling in the district.18220

       Sec. 3314.015.  (A) The department of education shall be18221
responsible for the oversight of sponsors of the community schools18222
established under this chapter and shall provide technical18223
assistance to schools and sponsors in their compliance with18224
applicable laws and the terms of the contracts entered into under18225
section 3314.03 of the Revised Code and in the development and18226
start-up activities of those schools. In carrying out its duties18227
under this section, the department shall do all of the following:18228

        (1) In providing technical assistance to proposing parties,18229
governing authorities, and sponsors, conduct training sessions and18230
distribute informational materials;18231

       (2) Approve entities to be sponsors of community schools and18232
monitor the effectiveness of those sponsors in their oversight of18233
the schools with which they have contracted;18234

        (3) By December thirty-first of each year, issue a report to 18235
the governor, the speaker of the house of representatives, the18236
president of the senate, and the chairpersons of the house and18237
senate committees principally responsible for education matters18238
regarding the effectiveness of academic programs, operations, and18239
legal compliance and of the financial condition of all community18240
schools established under this chapter;18241

        (4) From time to time, make legislative recommendations to18242
the general assembly designed to enhance the operation and18243
performance of community schools.18244

        (B)(1) No entity listed in division (C)(1) of section 3314.02 18245
of the Revised Code shall enter into a preliminary agreement under 18246
division (C)(2) of section 3314.02 of the Revised Code until it 18247
has received approval from the department of education to sponsor 18248
community schools under this chapter and has entered into a 18249
written agreement with the department regarding the manner in 18250
which the entity will conduct such sponsorship. The department 18251
shall adopt in accordance with Chapter 119. of the Revised Code 18252
rules containing criteria, procedures, and deadlines for18253
processing applications for such approval, for oversight of18254
sponsors, for revocation of the approval of sponsors, and for18255
entering into written agreements with sponsors. The rules shall18256
require an entity to submit evidence of the entity's ability and18257
willingness to comply with the provisions of division (D) of18258
section 3314.03 of the Revised Code. The rules also shall require 18259
entities approved as sponsors on and after June 30, 2005, to 18260
demonstrate a record of financial responsibility and successful 18261
implementation of educational programs. If an entity seeking 18262
approval on or after June 30, 2005, to sponsor community schools 18263
in this state sponsors or operates schools in another state, at 18264
least one of the schools sponsored or operated by the entity must 18265
be comparable to or better than the performance of Ohio schools in 18266
a state of academic watchneed of continuous improvement under 18267
section 3302.03 of the Revised Code, as determined by the 18268
department.18269

       An entity that sponsors community schools may enter into 18270
preliminary agreements and sponsor schools as follows, provided 18271
each school and the contract for sponsorship meets the 18272
requirements of this chapter:18273

       (a) An entity that sponsored fifty or fewer schools that were 18274
open for operation as of May 1, 2005, may sponsor not more than 18275
fifty schools.18276

       (b) An entity that sponsored more than fifty but not more 18277
than seventy-five schools that were open for operation as of May 18278
1, 2005, may sponsor not more than the number of schools the 18279
entity sponsored that were open for operation as of May 1, 2005.18280

       (c) Until June 30, 2006, an entity that sponsored more than 18281
seventy-five schools that were open for operation as of May 1, 18282
2005, may sponsor not more than the number of schools the entity 18283
sponsored that were open for operation as of May 1, 2005. After 18284
June 30, 2006, such an entity may sponsor not more than 18285
seventy-five schools.18286

        Upon approval of an entity to be a sponsor under this 18287
division, the department shall notify the entity of the number of 18288
schools the entity may sponsor.18289

       The limit imposed on an entity to which division (B)(1) of 18290
this section applies shall be decreased by one for each school 18291
sponsored by the entity that permanently closes.18292

       If at any time an entity exceeds the number of schools it may 18293
sponsor under this division, the department shall assist the 18294
schools in excess of the entity's limit in securing new sponsors. 18295
If a school is unable to secure a new sponsor, the department 18296
shall assume sponsorship of the school in accordance with division 18297
(C) of this section. Those schools for which another sponsor or 18298
the department assumes sponsorship shall be the schools that most 18299
recently entered into contracts with the entity under section 18300
3314.03 of the Revised Code.18301

       (2) The department of education shall determine, pursuant to18302
criteria adopted by rule of the department, whether the mission18303
proposed to be specified in the contract of a community school to18304
be sponsored by a state university board of trustees or the18305
board's designee under division (C)(1)(e) of section 3314.02 of18306
the Revised Code complies with the requirements of that division.18307
Such determination of the department is final.18308

       (3) The department of education shall determine, pursuant to18309
criteria adopted by rule of the department, if any tax-exempt18310
entity under section 501(c)(3) of the Internal Revenue Code that18311
is proposed to be a sponsor of a community school is an18312
education-oriented entity for purpose of satisfying the condition18313
prescribed in division (C)(1)(f)(iii) of section 3314.02 of the18314
Revised Code. Such determination of the department is final.18315

       (C) If at any time the state board of education finds that a18316
sponsor is not in compliance or is no longer willing to comply18317
with its contract with any community school or with the18318
department's rules for sponsorship, the state board or designee18319
shall conduct a hearing in accordance with Chapter 119. of the18320
Revised Code on that matter. If after the hearing, the state board 18321
or designee has confirmed the original finding, the department of 18322
education may revoke the sponsor's approval to sponsor community 18323
schools and may assume the sponsorship of any schools with which 18324
the sponsor has contracted until the earlier of the expiration of 18325
two school years or until a new sponsor as described in division 18326
(C)(1) of section 3314.02 of the Revised Code is secured by the 18327
school's governing authority. The department may extend the term 18328
of the contract in the case of a school for which it has assumed 18329
sponsorship under this division as necessary to accommodate the 18330
term of the department's authorization to sponsor the school 18331
specified in this division.18332

       (D) The decision of the department to disapprove an entity18333
for sponsorship of a community school or to revoke approval for18334
such sponsorship, as provided in division (C) of this section, may18335
be appealed by the entity in accordance with section 119.12 of the18336
Revised Code.18337

       (E) The department shall adopt procedures for use by a 18338
community school governing authority and sponsor when the school 18339
permanently closes and ceases operation, which shall include at 18340
least procedures for data reporting to the department, handling of 18341
student records, distribution of assets in accordance with section 18342
3314.074 of the Revised Code, and other matters related to ceasing 18343
operation of the school.18344

       (F) In carrying out its duties under this chapter, the18345
department shall not impose requirements on community schools or18346
their sponsors that are not permitted by law or duly adopted18347
rules.18348

       Sec. 3314.016.  (A) After June 30, 2007, a new start-up 18349
school may be established under this chapter only if the school's 18350
governing authority enters into a contract with an operator that 18351
manages other schools in the United States that perform at a level 18352
higher than academic watch. The governing authority of the 18353
community school may sign a contract with an operator only if the 18354
operator has fewer contracts with the governing authorities of new 18355
start-up schools established under this chapter after June 30, 18356
2007, than the number of schools managed by the operator in the 18357
United States that perform at a level higher than academic watch, 18358
as determined by the department of education.18359

        (B) Notwithstanding division (A) of this section, the 18360
governing authority of a start-up school sponsored by an entity 18361
described in divisions (C)(1)(b) to (f) of section 3314.02 of the 18362
Revised Code may establish one additional school serving the same 18363
grade levels and providing the same educational program as the 18364
current start-up school and may open that additional school in the 18365
2007-2008 school year, if both of the following conditions are 18366
met:18367

        (1) The governing authority entered into another contract 18368
with the same sponsor or a different sponsor described in 18369
divisions (C)(1)(b) to (f) of section 3314.02 of the Revised Code 18370
and filed a copy of that contract with the superintendent of 18371
public instruction prior to March 15, 2006.18372

        (2) The governing authority's current school satisfies all of 18373
the following conditions:18374

        (a) The school currently is rated as excellent or effective 18375
pursuant to section 3302.03 of the Revised Code.18376

        (b) The school made adequate yearly progress, as defined in 18377
section 3302.01 of the Revised Code, for the previous school year.18378

        (c) The school has been in operation for at least four school 18379
years.18380

        (d) The school is not managed by an operator.18381

       Sec. 3314.02.  (A) As used in this chapter:18382

       (1) "Sponsor" means an entity listed in division (C)(1) of18383
this section, which has been approved by the department of 18384
education to sponsor community schools and with which the18385
governing authority of the proposed community school enters into a18386
contract pursuant to this section.18387

       (2) "Pilot project area" means the school districts included18388
in the territory of the former community school pilot project18389
established by former Section 50.52 of Am. Sub. H.B. No. 215 of18390
the 122nd general assembly.18391

       (3) "Challenged school district" means any of the following:18392

       (a) A school district that is part of the pilot project area;18393

       (b) A school district that is either in a state of academic18394
emergency or in a state of academic watch under section 3302.03 of18395
the Revised Code;18396

       (c) A big eight school district.18397

       (4) "Big eight school district" means a school district that18398
for fiscal year 1997 had both of the following:18399

       (a) A percentage of children residing in the district and18400
participating in the predecessor of Ohio works first greater than18401
thirty per cent, as reported pursuant to section 3317.10 of the18402
Revised Code;18403

       (b) An average daily membership greater than twelve thousand, 18404
as reported pursuant to former division (A) of section 3317.03 of 18405
the Revised Code.18406

       (5) "New start-up school" means a community school other than18407
one created by converting all or part of an existing public18408
school, as designated in the school's contract pursuant to18409
division (A)(17) of section 3314.03 of the Revised Code.18410

       (6) "Urban school district" means one of the state's18411
twenty-one urban school districts as defined in division (O) of18412
section 3317.02 of the Revised Code as that section existed prior18413
to July 1, 1998.18414

       (7) "Internet- or computer-based community school" means a18415
community school established under this chapter in which the18416
enrolled students work primarily from their residences on18417
assignments in nonclassroom-based learning opportunities provided 18418
via an internet- or other computer-based instructional method that 18419
does not rely on regular classroom instruction or via 18420
comprehensive instructional methods that include internet-based, 18421
other computer-based, and noncomputer-based learning 18422
opportunities.18423

       (B) Any person or group of individuals may initially propose18424
under this division the conversion of all or a portion of a public18425
school to a community school. The proposal shall be made to the18426
board of education of the city, local, or exempted village school18427
district in which the public school is proposed to be converted.18428
Upon receipt of a proposal, a board may enter into a preliminary18429
agreement with the person or group proposing the conversion of the18430
public school, indicating the intention of the board of education18431
to support the conversion to a community school. A proposing18432
person or group that has a preliminary agreement under this18433
division may proceed to finalize plans for the school, establish a18434
governing authority for the school, and negotiate a contract with18435
the board of education. Provided the proposing person or group18436
adheres to the preliminary agreement and all provisions of this18437
chapter, the board of education shall negotiate in good faith to18438
enter into a contract in accordance with section 3314.03 of the18439
Revised Code and division (C) of this section.18440

       (C)(1) Any person or group of individuals may propose under18441
this division the establishment of a new start-up school to be18442
located in a challenged school district. The proposal may be made18443
to any of the following entities:18444

       (a) The board of education of the district in which the18445
school is proposed to be located;18446

       (b) The board of education of any joint vocational school18447
district with territory in the county in which is located the18448
majority of the territory of the district in which the school is18449
proposed to be located;18450

       (c) The board of education of any other city, local, or18451
exempted village school district having territory in the same18452
county where the district in which the school is proposed to be18453
located has the major portion of its territory;18454

       (d) The governing board of any educational service center, as 18455
long as the proposed school will be located in a county within the 18456
territory of the service center or in a county contiguous to such 18457
county;18458

        (e) A sponsoring authority designated by the board of18459
trustees of any of the thirteen state universities listed in 18460
section 3345.011 of the Revised Code or the board of trustees 18461
itself as long as a mission of the proposed school to be specified 18462
in the contract under division (A)(2) of section 3314.03 of the 18463
Revised Code and as approved by the department of education under 18464
division (B)(2) of section 3314.015 of the Revised Code will be 18465
the practical demonstration of teaching methods, educational18466
technology, or other teaching practices that are included in the18467
curriculum of the university's teacher preparation program18468
approved by the state board of education;18469

        (f) Any qualified tax-exempt entity under section 501(c)(3) 18470
of the Internal Revenue Code as long as all of the following 18471
conditions are satisfied:18472

        (i) The entity has been in operation for at least five years 18473
prior to applying to be a community school sponsor.18474

        (ii) The entity has assets of at least five hundred thousand 18475
dollars and a demonstrated record of financial responsibility.18476

        (iii) The department of education has determined that the18477
entity is an education-oriented entity under division (B)(3) of18478
section 3314.015 of the Revised Code and the entity has a 18479
demonstrated record of successful implementation of educational 18480
programs.18481

       (iv) The entity is not a community school.18482

        Any entity described in division (C)(1) of this section may 18483
enter into a preliminary agreement pursuant to division (C)(2) of 18484
this section with the proposing person or group.18485

       (2) A preliminary agreement indicates the intention of an 18486
entity described in division (C)(1) of this section to sponsor the 18487
community school. A proposing person or group that has such a 18488
preliminary agreement may proceed to finalize plans for the 18489
school, establish a governing authority as described in division 18490
(E) of this section for the school, and negotiate a contract with 18491
the entity. Provided the proposing person or group adheres to the18492
preliminary agreement and all provisions of this chapter, the 18493
entity shall negotiate in good faith to enter into a contract in 18494
accordance with section 3314.03 of the Revised Code.18495

       (3) A new start-up school that is established in a school18496
district while that district is either in a state of academic18497
emergency or in a state of academic watch under section 3302.03 of18498
the Revised Code may continue in existence once the school18499
district is no longer in a state of academic emergency or academic18500
watch, provided there is a valid contract between the school and a18501
sponsor.18502

       (4) A copy of every preliminary agreement entered into under18503
this division shall be filed with the superintendent of public18504
instruction.18505

       (D) A majority vote of the board of a sponsoring entity and a18506
majority vote of the members of the governing authority of a18507
community school shall be required to adopt a contract and convert18508
the public school to a community school or establish the new18509
start-up school. Beginning September 29, 2005, adoption of the 18510
contract shall occur not later than the fifteenth day of March, 18511
and signing of the contract shall occur not later than the 18512
fifteenth day of May, prior to the school year in which the school 18513
will open. The governing authority shall notify the department of 18514
education when the contract has been signed. Subject to sections 18515
3314.013 and, 3314.014, and 3314.016 of the Revised Code, an 18516
unlimited number of community schools may be established in any 18517
school district provided that a contract is entered into for each 18518
community school pursuant to this chapter.18519

       (E)(1) As used in this division, "immediate relatives" are18520
limited to spouses, children, parents, grandparents, siblings, and18521
in-laws.18522

        Each new start-up community school established under this18523
chapter shall be under the direction of a governing authority18524
which shall consist of a board of not less than five individuals .18525

        No person shall serve on the governing authority or operate 18526
the community school under contract with the governing authority 18527
so long as the person owes the state any money or is in a dispute 18528
over whether the person owes the state any money concerning the 18529
operation of a community school that has closed.18530

       (2) No person shall serve on the governing authorities of 18531
more than two start-up community schools at the same time.18532

       (3) No present or former member, or immediate relative of a 18533
present or former member, of the governing authority of any 18534
community school established under this chapter shall be an owner, 18535
employee, or consultant of any nonprofit or for-profit operator of 18536
a community school, as defined in section 3314.014 of the Revised 18537
Code, unless at least one year has elapsed since the conclusion of 18538
the person's membership.18539

       (F) Nothing in this chapter shall be construed to permit the18540
establishment of a community school in more than one school18541
district under the same contract.18542

       (G)(1) A new start-up school that is established prior to 18543
August 15, 2003, in an urban school district that is not also a 18544
big-eight school district may continue to operate after that date 18545
and the contract between the school's governing authority and the 18546
school's sponsor may be renewed, as provided under this chapter, 18547
after that date, but no additional new start-up schools may be 18548
established in such a district unless the district is a challenged 18549
school district as defined in this section as it exists on and 18550
after that date.18551

       (2) A community school that was established prior to June 29, 18552
1999, and is located in a county contiguous to the pilot project 18553
area and in a school district that is not a challenged school 18554
district may continue to operate after that date, provided the 18555
school complies with all provisions of this chapter. The contract 18556
between the school's governing authority and the school's sponsor 18557
may be renewed, but no additional start-up community school may be 18558
established in that district unless the district is a challenged 18559
school district.18560

       (3) Any educational service center that, on the effective 18561
date of this amendment, sponsors a community school that is not 18562
located in a county within the territory of the service center or 18563
in a county contiguous to such county may continue to sponsor that 18564
community school on and after the effective date of this amendment 18565
and may renew its contract with the school. However, the 18566
educational service center shall not enter into a contract with 18567
any additional community school unless the school is located in a 18568
county within the territory of the service center or in a county 18569
contiguous to such county.18570

       Sec. 3314.074. Divisions (A) and (B) of this section apply18571
only to the extent permitted under Chapter 1702. of the Revised18572
Code.18573

       (A) If any community school established under this chapter18574
permanently closes and ceases its operation as a community school,18575
the assets of that school shall be distributed first to the18576
retirement funds of employees of the school, employees of the18577
school, and private creditors who are owed compensation, and then18578
any remaining funds shall be paid to the state treasury to the18579
credit of the general revenue funddepartment of education for 18580
redistribution to the school districts in which the students who 18581
were enrolled in the school at the time it ceased operation were 18582
entitled to attend school under section 3313.64 or 3313.65 of the 18583
Revised Code. The amount distributed to each school district shall 18584
be proportional to the district's share of the total enrollment in 18585
the community school.18586

       (B) If a community school closes and ceases to operate as a18587
community school and the school has received computer hardware or18588
software from the former Ohio SchoolNet commission or the eTech 18589
Ohio commission, such hardware or software shall be returned to 18590
the eTech Ohio commission, and the eTech Ohio commission shall 18591
redistribute the hardware and software, to the extent such18592
redistribution is possible, to school districts in conformance18593
with the provisions of the programs operated and administered by18594
the eTech Ohio commission.18595

       (C) If the assets of the school are insufficient to pay all18596
persons or entities to whom compensation is owed, the18597
prioritization of the distribution of the assets to individual18598
persons or entities within each class of payees may be determined18599
by decree of a court in accordance with this section and Chapter18600
1702. of the Revised Code.18601

       Sec. 3314.08.  (A) As used in this section:18602

       (1) "Base formula amount" means the amount specified as such18603
in a community school's financial plan for a school year pursuant18604
to division (A)(15) of section 3314.03 of the Revised Code.18605

       (2) "Cost-of-doing-business factor" has the same meaning as18606
in section 3317.02 of the Revised Code.18607

       (3) "IEP" means an individualized education program as18608
defined in section 3323.01 of the Revised Code.18609

       (4)(3) "Applicable special education weight" means the18610
multiple specified in section 3317.013 of the Revised Code for a 18611
handicap described in that section.18612

       (5)(4) "Applicable vocational education weight" means:18613

       (a) For a student enrolled in vocational education programs18614
or classes described in division (A) of section 3317.014 of the18615
Revised Code, the multiple specified in that division;18616

       (b) For a student enrolled in vocational education programs18617
or classes described in division (B) of section 3317.014 of the18618
Revised Code, the multiple specified in that division.18619

       (6)(5) "Entitled to attend school" means entitled to attend18620
school in a district under section 3313.64 or 3313.65 of the18621
Revised Code.18622

       (7)(6) A community school student is "included in the 18623
poverty student count" of a school district if the student is 18624
entitled to attend school in the district and the student's family 18625
receives assistance under the Ohio works first program.18626

       (8)(7) "Poverty-based assistance reduction factor" means the18627
percentage figure, if any, for reducing the per pupil amount of 18628
poverty-based assistance a community school is entitled to receive 18629
pursuant to divisions (D)(5) and (6)to (9) of this section in any 18630
year, as specified in the school's financial plan for the year 18631
pursuant to division (A)(15) of section 3314.03 of the Revised 18632
Code.18633

       (9)(8) "All-day kindergarten" has the same meaning as in18634
section 3317.029 of the Revised Code.18635

       (10) "SF-3 payment" means the sum of the payments to a school 18636
district in a fiscal year under divisions (A), (C)(1), (C)(4), 18637
(D), (E), and (F) of section 3317.022, divisions (G), (L), and (N) 18638
of section 3317.024, and sections 3317.029, 3317.0216, 3317.0217, 18639
3317.04, 3317.05, 3317.052, and 3317.053 of the Revised Code after 18640
making the adjustments required by sections 3313.981 and 3313.979, 18641
divisions (B), (C), (D), (E), (K), (L), (M), (N), and (O) of 18642
section 3317.023, and division (C) of section 3317.20(9) "State 18643
education aid" has the same meaning as in section 5751.20 of the 18644
Revised Code.18645

       (B) The state board of education shall adopt rules requiring18646
both of the following:18647

       (1) The board of education of each city, exempted village,18648
and local school district to annually report the number of18649
students entitled to attend school in the district who are18650
enrolled in grades one through twelve in a community school18651
established under this chapter, the number of students entitled to18652
attend school in the district who are enrolled in kindergarten in18653
a community school, the number of those kindergartners who are18654
enrolled in all-day kindergarten in their community school, and18655
for each child, the community school in which the child is18656
enrolled.18657

       (2) The governing authority of each community school18658
established under this chapter to annually report all of the18659
following:18660

       (a) The number of students enrolled in grades one through18661
twelve and the number of students enrolled in kindergarten in the18662
school who are not receiving special education and related18663
services pursuant to an IEP;18664

       (b) The number of enrolled students in grades one through18665
twelve and the number of enrolled students in kindergarten, who18666
are receiving special education and related services pursuant to18667
an IEP;18668

       (c) The number of students reported under division (B)(2)(b)18669
of this section receiving special education and related services18670
pursuant to an IEP for a handicap described in each of divisions18671
(A) to (F) of section 3317.013 of the Revised Code;18672

       (d) The full-time equivalent number of students reported18673
under divisions (B)(2)(a) and (b) of this section who are enrolled18674
in vocational education programs or classes described in each of18675
divisions (A) and (B) of section 3317.014 of the Revised Code that18676
are provided by the community school;18677

       (e) Twenty per cent of the number of students reported under18678
divisions (B)(2)(a) and (b) of this section who are not reported18679
under division (B)(2)(d) of this section but who are enrolled in18680
vocational education programs or classes described in each of18681
divisions (A) and (B) of section 3317.014 of the Revised Code at a18682
joint vocational school district under a contract between the18683
community school and the joint vocational school district and are18684
entitled to attend school in a city, local, or exempted village18685
school district whose territory is part of the territory of the18686
joint vocational district;18687

       (f) The number of enrolled preschool handicapped students18688
receiving special education services in a state-funded unit;18689

       (g) The community school's base formula amount;18690

       (h) For each student, the city, exempted village, or local18691
school district in which the student is entitled to attend school;18692

       (i) Any poverty-based assistance reduction factor that 18693
applies to a school year.18694

       (C) From the SF-3 payment made tostate education aid 18695
calculated for a city, exempted village, or local school district 18696
and, if necessary, from the payment made to the district under18697
sections 321.24 and 323.156 of the Revised Code, the department of 18698
education shall annually subtract the sum of the amounts described 18699
in divisions (C)(1) to (9) of this section. However, when 18700
deducting payments on behalf of students enrolled in internet- or 18701
computer-based community schools, the department shall deduct only 18702
those amounts described in divisions (C)(1) and (2) of this 18703
section. Furthermore, the aggregate amount deducted under this 18704
division shall not exceed the sum of the district's SF-3 payment18705
state education aid and its payment under sections 321.24 and 18706
323.156 of the Revised Code.18707

       (1) An amount equal to the sum of the amounts obtained when,18708
for each community school where the district's students are18709
enrolled, the number of the district's students reported under18710
divisions (B)(2)(a), (b), and (e) of this section who are enrolled 18711
in grades one through twelve, and one-half the number of students18712
reported under those divisions who are enrolled in kindergarten,18713
in that community school is multiplied by the greater of the 18714
following:18715

       (a) The fiscal year 2005 base formula amount of that 18716
community school as adjusted by the school district's fiscal year 18717
2005 cost-of-doing-business factor;18718

       (b) The sum of (the current base formula amount of that 18719
community school times the school district's current 18720
cost-of-doing-business factor) plus the per pupil amount of the 18721
base funding supplements specified in divisions (C)(1) to (4) of 18722
section 3317.012 of the Revised Code.18723

       (2) The sum of the amounts calculated under divisions18724
(C)(2)(a) and (b) of this section:18725

       (a) For each of the district's students reported under18726
division (B)(2)(c) of this section as enrolled in a community18727
school in grades one through twelve and receiving special18728
education and related services pursuant to an IEP for a handicap18729
described in section 3317.013 of the Revised Code, the product of18730
the applicable special education weight times the community18731
school's base formula amount;18732

       (b) For each of the district's students reported under18733
division (B)(2)(c) of this section as enrolled in kindergarten in18734
a community school and receiving special education and related18735
services pursuant to an IEP for a handicap described in section18736
3317.013 of the Revised Code, one-half of the amount calculated as18737
prescribed in division (C)(2)(a) of this section.18738

       (3) For each of the district's students reported under18739
division (B)(2)(d) of this section for whom payment is made under18740
division (D)(4) of this section, the amount of that payment;18741

       (4) An amount equal to the sum of the amounts obtained when,18742
for each community school where the district's students are18743
enrolled, the number of the district's students enrolled in that18744
community school who are included in the district's poverty 18745
student count is multiplied by the per pupil amount of 18746
poverty-based assistance the school district receives that year 18747
pursuant to division (B) or (C) of section 3317.029 of the Revised18748
Code, as adjusted by any poverty-based assistance reduction factor 18749
of that community school. If the district receives poverty-based 18750
assistance under division (B) of that section, the per pupil18751
amount of that aid is the quotient of the amount the district18752
received under that division divided by the district's poverty 18753
student count, as defined in that section. If the district 18754
receives poverty-based assistance under division (C) of section18755
3317.029 of the Revised Code, theThe per pupil amount of that aid 18756
for the district shall be calculated by the department.18757

       (5) An amount equal to the sum of the amounts obtained when,18758
for each community school where the district's students are18759
enrolled, the district's per pupil amount of aid received under18760
division (E) of section 3317.029 of the Revised Code, as adjusted18761
by any poverty-based assistance reduction factor of the community 18762
school, is multiplied by the sum of the following:18763

       (a) The number of the district's students reported under18764
division (B)(2)(a) of this section who are enrolled in grades one18765
to three in that community school and who are not receiving18766
special education and related services pursuant to an IEP;18767

       (b) One-half of the district's students who are enrolled in18768
all-day or any other kindergarten class in that community school18769
and who are not receiving special education and related services18770
pursuant to an IEP;18771

       (c) One-half of the district's students who are enrolled in18772
all-day kindergarten in that community school and who are not18773
receiving special education and related services pursuant to an18774
IEP.18775

       The district's per pupil amount of aid under division (E) of18776
section 3317.029 of the Revised Code is the quotient of the amount18777
the district received under that division divided by the18778
district's kindergarten through third grade ADM, as defined in18779
that section.18780

       (6) An amount equal to the sum of the amounts obtained when, 18781
for each community school where the district's students are 18782
enrolled, the district's per pupil amount received under division 18783
(F) of section 3317.029 of the Revised Code, as adjusted by any 18784
poverty-based assistance reduction factor of that community 18785
school, is multiplied by the number of the district's students 18786
enrolled in the community school who are identified as 18787
limited-English proficient.18788

       (7) An amount equal to the sum of the amounts obtained when, 18789
for each community school where the district's students are 18790
enrolled, the district's per pupil amount received under division 18791
(G) of section 3317.029 of the Revised Code, as adjusted by any 18792
poverty-based assistance reduction factor of that community 18793
school, is multiplied by the sum of the following:18794

       (a) The number of the district's students enrolled in grades 18795
one through twelve in that community school;18796

       (b) One-half of the number of the district's students 18797
enrolled in kindergarten in that community school.18798

       The district's per pupil amount under division (G) of section 18799
3317.029 of the Revised Code is the district's amount per teacher 18800
calculated under division (G)(1) or (2) of that section divided by 18801
17, times a multiple of 0.40 in fiscal year 2006 and 0.70 in 18802
fiscal year 2007.18803

       (8) An amount equal to the sum of the amounts obtained when, 18804
for each community school where the district's students are 18805
enrolled, the district's per pupil amount received under divisions 18806
(H) and (I) of section 3317.029 of the Revised Code, as adjusted 18807
by any poverty-based assistance reduction factor of that community 18808
school, is multiplied by the sum of the following:18809

       (a) The number of the district's students enrolled in grades 18810
one through twelve in that community school;18811

       (b) One-half of the number of the district's students 18812
enrolled in kindergarten in that community school.18813

       The district's per pupil amount under divisions (H) and (I) 18814
of section 3317.029 of the Revised Code is the amount calculated 18815
under each division divided by the district's formula ADM, as 18816
defined in section 3317.02 of the Revised Code.18817

       (9) An amount equal to the per pupil state parity aid funding 18818
calculated for the school district under either division (C) or 18819
(D) of section 3317.0217 of the Revised Code multiplied by the sum 18820
of the number of students in grades one through twelve, and 18821
one-half of the number of students in kindergarten, who are 18822
entitled to attend school in the district and are enrolled in a 18823
community school as reported under division (B)(1) of this 18824
section.18825

       (D) The department shall annually pay to a community school18826
established under this chapter the sum of the amounts described in 18827
divisions (D)(1) to (10) of this section. However, the department 18828
shall calculate and pay to each internet- or computer-based 18829
community school only the amounts described in divisions (D)(1) to 18830
(3) of this section. Furthermore, the sum of the payments to all 18831
community schools under divisions (D)(1), (2), and (4) to (10) of 18832
this section for the students entitled to attend school in any 18833
particular school district shall not exceed the sum of that 18834
district's SF-3 paymentstate education aid and its payment under 18835
sections 321.24 and 323.156 of the Revised Code. If the sum of the 18836
payments calculated under those divisions for the students 18837
entitled to attend school in a particular school district exceeds 18838
the sum of that district's SF-3 paymentstate education aid and 18839
its payment under sections 321.24 and 323.156 of the Revised Code, 18840
the department shall calculate and apply a proration factor to the 18841
payments to all community schools under those divisions for the 18842
students entitled to attend school in that district.18843

       (1) Subject to section 3314.085 of the Revised Code, an 18844
amount equal to the sum of the amounts obtained when the number of 18845
students enrolled in grades one through twelve, plus one-half of 18846
the kindergarten students in the school, reported under divisions 18847
(B)(2)(a), (b), and (e) of this section who are not receiving 18848
special education and related services pursuant to an IEP for a 18849
handicap described in section 3317.013 of the Revised Code is18850
multiplied by the greater of the following:18851

       (a) The community school's fiscal year 2005 base formula18852
amount, as adjusted by the fiscal year 2005 cost-of-doing-business 18853
factor of the school district in which the student is entitled to 18854
attend school;18855

       (b) The sum of (the community school's current base formula 18856
amount times the current cost-of-doing-business factor of the 18857
school district in which the student is entitled to attend school)18858
plus the per pupil amount of the base funding supplements 18859
specified in divisions (C)(1) to (4) of section 3317.012 of the 18860
Revised Code.18861

       (2) Prior to fiscal year 2007, the greater of the amount 18862
calculated under division (D)(2)(a) or (b) of this section, and in 18863
fiscal year 2007 and thereafter, the amount calculated under 18864
division (D)(2)(b) of this section:18865

       (a) The aggregate amount that the department paid to the18866
community school in fiscal year 1999 for students receiving18867
special education and related services pursuant to IEPs, excluding18868
federal funds and state disadvantaged pupil impact aid funds;18869

       (b) The sum of the amounts calculated under divisions18870
(D)(2)(b)(i) and (ii) of this section:18871

       (i) For each student reported under division (B)(2)(c) of18872
this section as enrolled in the school in grades one through18873
twelve and receiving special education and related services18874
pursuant to an IEP for a handicap described in section 3317.013 of 18875
the Revised Code, the following amount:18876

the greater of (the community school's fiscal year 2005
18877

base formula amount X the fiscal year 2005
18878

cost-of-doing-business factor of the district
18879

where the student is entitled to attend school)
18880

or [
(the school's
current
base formula amount
times
18881

the current cost-of-doing-business factor of the school district
18882

where the student is entitled to attend school)
plus
18883

the per pupil amount of the base funding supplements specified in
18884

divisions (C)(1) to (4) of section 3317.012 of the Revised Code
]
)
18885

+ (the applicable special education weight X the
18886

community school's base formula amount);
18887

       (ii) For each student reported under division (B)(2)(c) of18888
this section as enrolled in kindergarten and receiving special18889
education and related services pursuant to an IEP for a handicap18890
described in section 3317.013 of the Revised Code, one-half of the18891
amount calculated under the formula prescribed in division18892
(D)(2)(b)(i) of this section.18893

       (3) An amount received from federal funds to provide special18894
education and related services to students in the community18895
school, as determined by the superintendent of public instruction.18896

       (4) For each student reported under division (B)(2)(d) of18897
this section as enrolled in vocational education programs or18898
classes that are described in section 3317.014 of the Revised18899
Code, are provided by the community school, and are comparable as18900
determined by the superintendent of public instruction to school18901
district vocational education programs and classes eligible for18902
state weighted funding under section 3317.014 of the Revised Code,18903
an amount equal to the applicable vocational education weight18904
times the community school's base formula amount times the18905
percentage of time the student spends in the vocational education18906
programs or classes.18907

       (5) An amount equal to the sum of the amounts obtained when,18908
for each school district where the community school's students are18909
entitled to attend school, the number of that district's students18910
enrolled in the community school who are included in the18911
district's poverty student count is multiplied by the per pupil18912
amount of poverty-based assistance that school district receives 18913
that year pursuant to division (B) or (C) of section 3317.029 of 18914
the Revised Code, as adjusted by any poverty-based assistance 18915
reduction factor of the community school. The per pupil amount of18916
aid shall be determined as described in division (C)(4) of this18917
section.18918

       (6) An amount equal to the sum of the amounts obtained when,18919
for each school district where the community school's students are18920
entitled to attend school, the district's per pupil amount of aid18921
received under division (E) of section 3317.029 of the Revised18922
Code, as adjusted by any poverty-based assistance reduction 18923
factor of the community school, is multiplied by the sum of the18924
following:18925

       (a) The number of the district's students reported under18926
division (B)(2)(a) of this section who are enrolled in grades one18927
to three in that community school and who are not receiving18928
special education and related services pursuant to an IEP;18929

       (b) One-half of the district's students who are enrolled in18930
all-day or any other kindergarten class in that community school18931
and who are not receiving special education and related services18932
pursuant to an IEP;18933

       (c) One-half of the district's students who are enrolled in18934
all-day kindergarten in that community school and who are not18935
receiving special education and related services pursuant to an18936
IEP.18937

       The district's per pupil amount of aid under division (E) of18938
section 3317.029 of the Revised Code shall be determined as18939
described in division (C)(5) of this section.18940

       (7) An amount equal to the sum of the amounts obtained when, 18941
for each school district where the community school's students are 18942
entitled to attend school, the number of that district's students 18943
enrolled in the community school who are identified as 18944
limited-English proficient is multiplied by the district's per 18945
pupil amount received under division (F) of section 3317.029 of 18946
the Revised Code, as adjusted by any poverty-based assistance 18947
reduction factor of the community school.18948

       (8) An amount equal to the sum of the amounts obtained when, 18949
for each school district where the community school's students are 18950
entitled to attend school, the district's per pupil amount 18951
received under division (G) of section 3317.029 of the Revised 18952
Code, as adjusted by any poverty-based assistance reduction factor 18953
of the community school, is multiplied by the sum of the 18954
following:18955

       (a) The number of the district's students enrolled in grades 18956
one through twelve in that community school;18957

       (b) One-half of the number of the district's students 18958
enrolled in kindergarten in that community school.18959

       The district's per pupil amount under division (G) of section 18960
3317.029 of the Revised Code shall be determined as described in 18961
division (C)(7) of this section.18962

       (9) An amount equal to the sum of the amounts obtained when, 18963
for each school district where the community school's students are 18964
entitled to attend school, the district's per pupil amount 18965
received under divisions (H) and (I) of section 3317.029 of the 18966
Revised Code, as adjusted by any poverty-based assistance 18967
reduction factor of the community school, is multiplied by the sum 18968
of the following:18969

       (a) The number of the district's students enrolled in grades 18970
one through twelve in that community school;18971

       (b) One-half of the number of the district's students 18972
enrolled in kindergarten in that community school.18973

       The district's per pupil amount under divisions (H) and (I) 18974
of section 3317.029 of the Revised Code shall be determined as 18975
described in division (C)(8) of this section.18976

       (10) An amount equal to the sum of the amounts obtained when, 18977
for each school district where the community school's students are 18978
entitled to attend school, the district's per pupil amount of 18979
state parity aid funding calculated under either division (C) or 18980
(D) of section 3317.0217 of the Revised Code is multiplied by the 18981
sum of the number of that district's students enrolled in grades 18982
one through twelve, and one-half of the number of that district's 18983
students enrolled in kindergarten, in the community school as 18984
reported under division (B)(2)(a) and (b) of this section.18985

       (E)(1) If a community school's costs for a fiscal year for a18986
student receiving special education and related services pursuant18987
to an IEP for a handicap described in divisions (B) to (F) of18988
section 3317.013 of the Revised Code exceed the threshold18989
catastrophic cost for serving the student as specified in division18990
(C)(3)(b) of section 3317.022 of the Revised Code, the school may18991
submit to the superintendent of public instruction documentation,18992
as prescribed by the superintendent, of all its costs for that18993
student. Upon submission of documentation for a student of the18994
type and in the manner prescribed, the department shall pay to the18995
community school an amount equal to the school's costs for the18996
student in excess of the threshold catastrophic costs.18997

       (2) The community school shall only report under division18998
(E)(1) of this section, and the department shall only pay for, the18999
costs of educational expenses and the related services provided to19000
the student in accordance with the student's individualized19001
education program. Any legal fees, court costs, or other costs19002
associated with any cause of action relating to the student may19003
not be included in the amount.19004

       (F) A community school may apply to the department of19005
education for preschool handicapped or gifted unit funding the19006
school would receive if it were a school district. Upon request of 19007
its governing authority, a community school that received unit19008
funding as a school district-operated school before it became a19009
community school shall retain any units awarded to it as a school19010
district-operated school provided the school continues to meet19011
eligibility standards for the unit.19012

       A community school shall be considered a school district and19013
its governing authority shall be considered a board of education19014
for the purpose of applying to any state or federal agency for19015
grants that a school district may receive under federal or state19016
law or any appropriations act of the general assembly. The19017
governing authority of a community school may apply to any private19018
entity for additional funds.19019

       (G) A board of education sponsoring a community school may19020
utilize local funds to make enhancement grants to the school or19021
may agree, either as part of the contract or separately, to19022
provide any specific services to the community school at no cost19023
to the school.19024

       (H) A community school may not levy taxes or issue bonds19025
secured by tax revenues.19026

       (I) No community school shall charge tuition for the19027
enrollment of any student.19028

       (J)(1)(a) A community school may borrow money to pay any19029
necessary and actual expenses of the school in anticipation of the19030
receipt of any portion of the payments to be received by the19031
school pursuant to division (D) of this section. The school may19032
issue notes to evidence such borrowing. The proceeds of the notes 19033
shall be used only for the purposes for which the anticipated 19034
receipts may be lawfully expended by the school.19035

       (b) A school may also borrow money for a term not to exceed19036
fifteen years for the purpose of acquiring facilities.19037

       (2) Except for any amount guaranteed under section 3318.50 of19038
the Revised Code, the state is not liable for debt incurred by the19039
governing authority of a community school.19040

       (K) For purposes of determining the number of students for19041
which divisions (D)(5) and (6) of this section applies in any19042
school year, a community school may submit to the department of19043
job and family services, no later than the first day of March, a19044
list of the students enrolled in the school. For each student on19045
the list, the community school shall indicate the student's name,19046
address, and date of birth and the school district where the19047
student is entitled to attend school. Upon receipt of a list under 19048
this division, the department of job and family services shall 19049
determine, for each school district where one or more students on 19050
the list is entitled to attend school, the number of students 19051
residing in that school district who were included in the19052
department's report under section 3317.10 of the Revised Code. The19053
department shall make this determination on the basis of19054
information readily available to it. Upon making this19055
determination and no later than ninety days after submission of19056
the list by the community school, the department shall report to19057
the state department of education the number of students on the19058
list who reside in each school district who were included in the19059
department's report under section 3317.10 of the Revised Code. In19060
complying with this division, the department of job and family19061
services shall not report to the state department of education any19062
personally identifiable information on any student.19063

       (L) The department of education shall adjust the amounts19064
subtracted and paid under divisions (C) and (D) of this section to19065
reflect any enrollment of students in community schools for less19066
than the equivalent of a full school year. The state board of19067
education within ninety days after April 8, 2003, shall adopt in19068
accordance with Chapter 119. of the Revised Code rules governing19069
the payments to community schools under this section including19070
initial payments in a school year and adjustments and reductions19071
made in subsequent periodic payments to community schools and19072
corresponding deductions from school district accounts as provided19073
under divisions (C) and (D) of this section. For purposes of this19074
section:19075

       (1) A student shall be considered enrolled in the community19076
school for any portion of the school year the student is19077
participating at a college under Chapter 3365. of the Revised19078
Code.19079

       (2) A student shall be considered to be enrolled in a19080
community school during a school year for the period of time 19081
beginning on the later of the date on which the school both has 19082
received documentation of the student's enrollment from a parent 19083
and the student has commenced participation in learning 19084
opportunities as defined in the contract with the sponsor, or 19085
thirty days prior to the date on which the student is entered into 19086
the education management information system established under 19087
section 3301.0714 of the Revised Code. For purposes of applying 19088
this division to a community school student, "learning19089
opportunities" shall be defined in the contract, which shall19090
describe both classroom-based and non-classroom-based learning19091
opportunities and shall be in compliance with criteria and19092
documentation requirements for student participation which shall19093
be established by the department. Any student's instruction time19094
in non-classroom-based learning opportunities shall be certified19095
by an employee of the community school. A student's enrollment19096
shall be considered to cease on the date on which any of the 19097
following occur:19098

        (a) The community school receives documentation from a parent 19099
terminating enrollment of the student.19100

        (b) The community school is provided documentation of a19101
student's enrollment in another public or private school.19102

        (c) The community school ceases to offer learning19103
opportunities to the student pursuant to the terms of the contract19104
with the sponsor or the operation of any provision of this19105
chapter.19106

        (3) A student's percentage of full-time equivalency shall be 19107
considered to be the percentage the hours of learning opportunity 19108
offered to that student is of nine hundred and twenty hours. 19109
However, no internet- or computer-based community school shall be 19110
credited for any time a student spends participating in learning 19111
opportunities beyond ten hours within any period of twenty-four 19112
consecutive hours.19113

       (M) The department of education shall reduce the amounts paid19114
under division (D) of this section to reflect payments made to19115
colleges under division (B) of section 3365.07 of the Revised19116
Code.19117

       (N)(1) No student shall be considered enrolled in any19118
internet- or computer-based community school or, if applicable to 19119
the student, in any community school that is required to provide 19120
the student with a computer pursuant to division (C) of section 19121
3314.22 of the Revised Code, unless both of the following 19122
conditions are satisfied:19123

       (a) The student possesses or has been provided with all 19124
required hardware and software materials and all such materials 19125
are operational so that the student is capable of fully 19126
participating in the learning opportunities specified in the 19127
contract between the school and the school's sponsor as required 19128
by division (A)(23) of section 3314.03 of the Revised Code;19129

       (b) The school is in compliance with division (A) of section 19130
3314.22 of the Revised Code, relative to such student.19131

       (2) In accordance with policies adopted jointly by the19132
superintendent of public instruction and the auditor of state, the19133
department shall reduce the amounts otherwise payable under19134
division (D) of this section to any community school that includes 19135
in its program the provision of computer hardware and software 19136
materials to any student, if such hardware and software materials 19137
have not been delivered, installed, and activated for each such 19138
student in a timely manner or other educational materials or19139
services have not been provided according to the contract between19140
the individual community school and its sponsor.19141

       The superintendent of public instruction and the auditor of19142
state shall jointly establish a method for auditing any community19143
school to which this division pertains to ensure compliance with19144
this section.19145

       The superintendent, auditor of state, and the governor shall19146
jointly make recommendations to the general assembly for19147
legislative changes that may be required to assure fiscal and19148
academic accountability for such schools.19149

       (O)(1) The department shall not withhold payments to a 19150
community school based on a challenge brought by a school district 19151
concerning the community school's enrollment and student residency 19152
reports submitted to the department without first providing the 19153
governing authority of the community school written notice stating 19154
the specific grounds for the challenge and requiring the school 19155
district to submit evidence supporting its claim that a particular 19156
student should not be included in the community school's 19157
enrollment or that payment for that student otherwise should be 19158
denied. The department also shall permit the governing authority 19159
to submit documentation the governing authority believes confirms 19160
or corrects its earlier reports that are subject to challenge. The 19161
school district bears the burden of proof. The department shall 19162
set a reasonable deadline for the school district and community 19163
school to submit documentation regarding the challenge. The 19164
department shall not withhold payments pending that deadline. The 19165
department immediately shall dismiss any challenge regarding a 19166
particular student if the department finds that the school 19167
district has not timely submitted evidence as required under this 19168
division or otherwise has not met its burden of proof or that the 19169
documentation submitted by the governing authority confirms or 19170
corrects its earlier reports regarding that student.19171

        (2) If the department finds that the school district has 19172
timely submitted evidence and has met its burden of proof and, 19173
accordingly, that the particular student for which the district 19174
brought the challenge should not be included in the community 19175
school's enrollment or that payment otherwise should be denied for 19176
that student, the department shall withhold payments to the 19177
community school for that student.19178

        If the governing authority of the community school 19179
subsequently submits documentation that the department finds 19180
confirms or corrects the earlier reports regarding that student, 19181
the department shall resume payments to the community school for 19182
that student and, if appropriate, shall include payment for the 19183
prior months that were withheld.19184

        (3) The department shall not withhold any other payments from 19185
a community school without first providing to the governing 19186
authority of the community school written notice stating the 19187
amount to be withheld, reasons for withholding, and offering an 19188
opportunity for a hearing in accordance with division (P)(2) of 19189
this section.19190

       (P)(1) If the department determines that a review of a19191
community school's enrollment is necessary, such review shall be19192
completed and written notice of the findings shall be provided to19193
the governing authority of the community school and its sponsor19194
within ninety days of the end of the community school's fiscal19195
year, unless extended for a period not to exceed thirty additional19196
days for one of the following reasons:19197

        (a) The department and the community school mutually agree to 19198
the extension.19199

        (b) Delays in data submission caused by either a community19200
school or its sponsor.19201

       (2) If the review results in a finding that additional19202
funding is owed to the school, such payment shall be made within19203
thirty days of the written notice. If the review results in a19204
finding that the community school owes moneys to the state, the19205
following procedure shall apply:19206

       (a) Within ten business days of the receipt of the notice of19207
findings, the community school may appeal the department's19208
determination to the state board of education or its designee.19209

        (b) The board or its designee shall conduct an informal19210
hearing on the matter within thirty days of receipt of such an19211
appeal and shall issue a decision within fifteen days of the19212
conclusion of the hearing.19213

        (c) If the board has enlisted a designee to conduct the19214
hearing, the designee shall certify its decision to the board. The19215
board may accept the decision of the designee or may reject the19216
decision of the designee and issue its own decision on the matter.19217

        (d) Any decision made by the board under this division is19218
final.19219

        (3) If it is decided that the community school owes moneys to 19220
the state, the department shall deduct such amount from the19221
school's future payments in accordance with guidelines issued by19222
the superintendent of public instruction.19223

       (P)(Q) The department shall not subtract from a school 19224
district's state aid account under division (C) of this section 19225
and shall not pay to a community school under division (D) of this 19226
section any amount for any of the following:19227

        (1) Any student who has graduated from the twelfth grade of a 19228
public or nonpublic high school;19229

        (2) Any student who is not a resident of the state;19230

        (3) Any student who was enrolled in the community school 19231
during the previous school year when tests were administered under 19232
section 3301.0711 of the Revised Code but did not take one or more 19233
of the tests required by that section and was not excused pursuant 19234
to division (C)(1) or (3) of that section, unless the 19235
superintendent of public instruction grants the student a waiver 19236
from the requirement to take the test and a parent is not paying 19237
tuition for the student pursuant to section 3314.26 of the Revised 19238
Code. The superintendent may grant a waiver only for good cause in 19239
accordance with rules adopted by the state board of education.19240

        (4) Any student who has attained the age of twenty-two years, 19241
except for veterans of the armed services whose attendance was 19242
interrupted before completing the recognized twelve-year course of 19243
the public schools by reason of induction or enlistment in the 19244
armed forces and who apply for enrollment in a community school 19245
not later than four years after termination of war or their 19246
honorable discharge. If, however, any such veteran elects to 19247
enroll in special courses organized for veterans for whom tuition 19248
is paid under federal law, or otherwise, the department shall not 19249
subtract from a school district's state aid account under division 19250
(C) of this section and shall not pay to a community school under 19251
division (D) of this section any amount for that veteran.19252

       Sec. 3314.086.  If the department of education is required to 19253
pay an amount under section 3353.25 of the Revised Code to a 19254
school district delivering a course included in the clearinghouse 19255
established under section 3353.21 of the Revised Code for a 19256
student enrolled in a community school established under this 19257
chapter, the department shall deduct the amount of that payment 19258
from the amount calculated for payment to the community school 19259
under section 3314.08 of the Revised Code.19260

       Sec. 3314.087.  (A) As used in this section:19261

        (1) "Career-technical program" means vocational programs or 19262
classes described in division (A) or (B) of section 3317.014 of 19263
the Revised Code in which a student is enrolled.19264

        (2) "Formula ADM," "category one or two vocational education 19265
ADM," and "FTE basis" have the same meanings as in section 3317.02 19266
of the Revised Code.19267

        (3) "Resident school district" means the city, exempted 19268
village, or local school district in which a student is entitled 19269
to attend school under section 3313.64 or 3313.65 of the Revised 19270
Code.19271

        (B) Notwithstanding anything to the contrary in this chapter 19272
or Chapter 3317. of the Revised Code, a student enrolled in a 19273
community school may simultaneously enroll in the career-technical 19274
program operated by the student's resident school district. On an 19275
FTE basis, the student's resident school district shall count the 19276
student in the category one or two vocational education ADM for 19277
the proportion of the time the student is enrolled in the 19278
district's career-technical program and, accordingly, the 19279
department of education shall calculate funds under Chapter 3317. 19280
for the district attributable to the student for the proportion of 19281
time the student attends the career-technical program. The 19282
community school shall count the student in its enrollment report 19283
under section 3314.08 of the Revised Code and shall report to the 19284
department the proportion of time that the student attends classes 19285
at the community school. The department shall pay the community 19286
school and deduct from the student's resident school district the 19287
amount computed for the student under section 3314.08 of the 19288
Revised Code in proportion to the fraction of the time on an FTE 19289
basis that the student attends classes at the community school. 19290
"Full-time equivalency" for a community school student, as defined 19291
in division (L) of section 3314.08 of the Revised Code, does not 19292
apply to the student.19293

       Sec. 3314.19.  The sponsor of each community school annually 19294
shall provide the following assurances in writing to the 19295
department of education not later than ten business days prior to 19296
the opening of the school:19297

       (A) That a current copy of the contract between the sponsor 19298
and the governing authority of the school entered into under 19299
section 3314.03 of the Revised Code has been filed with the state 19300
office of community schools established under section 3314.11 of 19301
the Revised Code and that any subsequent modifications to that 19302
contract will be filed with the office;19303

       (B) That the school has submitted to the sponsor a plan for 19304
providing special education and related services to students with 19305
disabilities and has demonstrated the capacity to provide those 19306
services in accordance with Chapter 3323. of the Revised Code and 19307
federal law;19308

       (C) That the school has a plan and procedures for 19309
administering the achievement tests and diagnostic assessments 19310
prescribed by sections 3301.0710 and 3301.0715 of the Revised 19311
Code;19312

       (D) That school personnel have the necessary training, 19313
knowledge, and resources to properly use and submit information to 19314
all databases maintained by the department for the collection of 19315
education data, including the education management information 19316
system established under section 3301.0714 of the Revised Code in 19317
accordance with methods and timelines established under section 19318
3314.17 of the Revised Code;19319

       (E) That all required information about the school has been 19320
submitted to the Ohio education directory system or any successor 19321
system;19322

       (F) That the school will enroll at least the minimum number 19323
of students required by division (A)(11)(a) of section 3314.03 of 19324
the Revised Code in the school year for which the assurances are 19325
provided;19326

       (G) That all classroom teachers are licensed in accordance 19327
with sections 3319.22 to 3319.31 of the Revised Code, except for 19328
noncertificated persons engaged to teach up to twelve hours per 19329
week pursuant to section 3319.301 of the Revised Code;19330

       (H) That the school's fiscal officer is in compliance with 19331
section 3314.011 of the Revised Code;19332

       (I) That the school has complied with section 3319.39 of the 19333
Revised Code with respect to all employees who are responsible for 19334
the care, custody, or control of a child and that the school has 19335
conducted a criminal records check of each of its governing 19336
authority members;19337

       (J) That the school holds all of the following:19338

       (1) Proof of property ownership or a lease for the facilities 19339
used by the school;19340

       (2) A certificate of occupancy;19341

       (3) Liability insurance for the school, as required by 19342
division (A)(11)(b) of section 3314.03 of the Revised Code, that 19343
the sponsor considers sufficient to indemnify the school's 19344
facilities, staff, and governing authority against risk;19345

       (4) A satisfactory health and safety inspection;19346

       (5) A satisfactory fire inspection;19347

       (6) A valid food permit, if applicable.19348

       (K) That the sponsor has conducted a pre-opening site visit 19349
to the school for the school year for which the assurances are 19350
provided;19351

       (L) That the school has designated a date it will open for 19352
the school year for which the assurances are provided that is in 19353
compliance with division (A)(25) of section 3314.03 of the Revised 19354
Code;19355

       (M) That the school has met all of the sponsor's requirements 19356
for opening and any other requirements of the sponsor.19357

       Sec. 3314.26. (A) Each internet- or computer-based community 19358
school shall withdraw from the school any student who, for two 19359
consecutive school years, has failed to participate in the spring 19360
administration of any test prescribed under section 3301.0710 or 19361
3301.0712 of the Revised Code for the student's grade level and 19362
was not excused from the test pursuant to division (C)(1) or (3) 19363
of section 3301.0711 of the Revised Code, regardless of whether a 19364
waiver was granted for the student under division (P)(Q)(3) of 19365
section 3314.08 of the Revised Code. The school shall report any 19366
such student's data verification code, as assigned pursuant to 19367
section 3301.0714 of the Revised Code, to the department of 19368
education. The department shall maintain a list of all data 19369
verification codes reported under this division and section 19370
3313.6410 of the Revised Code and provide that list to each 19371
internet- or computer-based community school and to each school to 19372
which section 3313.6410 of the Revised Code applies.19373

        (B) No internet- or computer-based community school shall 19374
receive any state funds under this chapter for any enrolled 19375
student whose data verification code appears on the list 19376
maintained by the department under division (A) of this section.19377

       Notwithstanding any provision of the Revised Code to the 19378
contrary, the parent of any such student shall pay tuition to the 19379
internet- or computer-based community school in an amount equal to 19380
the state funds the school otherwise would receive for that 19381
student, as determined by the department. An internet- or 19382
computer-based community school may withdraw any student for whom 19383
the parent does not pay tuition as required by this division.19384

       Sec. 3317.01.  As used in this section and section 3317.01119385
of the Revised Code, "school district," unless otherwise19386
specified, means any city, local, exempted village, joint19387
vocational, or cooperative education school district and any19388
educational service center.19389

       This chapter shall be administered by the state board of19390
education. The superintendent of public instruction shall19391
calculate the amounts payable to each school district and shall19392
certify the amounts payable to each eligible district to the19393
treasurer of the district as provided by this chapter. As soon as 19394
possible after such amounts are calculated, the superintendent 19395
shall certify to the treasurer of each school district the 19396
district's adjusted charge-off increase, as defined in section 19397
5705.211 of the Revised Code. No moneys shall be distributed 19398
pursuant to this chapter without the approval of the controlling 19399
board.19400

       The state board of education shall, in accordance with19401
appropriations made by the general assembly, meet the financial19402
obligations of this chapter.19403

       Annually, the department of education shall calculate and19404
report to each school district the district's total state and19405
local funds for providing an adequate basic education to the19406
district's nonhandicapped students, utilizing the determination in19407
section 3317.012 of the Revised Code. In addition, the department19408
shall calculate and report separately for each school district the19409
district's total state and local funds for providing an adequate19410
education for its handicapped students, utilizing the19411
determinations in both sections 3317.012 and 3317.013 of the19412
Revised Code.19413

       Not later than the thirty-first day of August of each fiscal19414
year, the department of education shall provide to each school19415
district and county MR/DD board a preliminary estimate of the19416
amount of funding that the department calculates the district will19417
receive under each of divisions (C)(1) and (4) of section 3317.02219418
of the Revised Code. No later than the first day of December of19419
each fiscal year, the department shall update that preliminary19420
estimate.19421

       Moneys distributed pursuant to this chapter shall be19422
calculated and paid on a fiscal year basis, beginning with the19423
first day of July and extending through the thirtieth day of June.19424
The moneys appropriated for each fiscal year shall be distributed19425
at least monthly to each school district unless otherwise provided19426
for. The state board shall submit a yearly distribution plan to19427
the controlling board at its first meeting in July. The state19428
board shall submit any proposed midyear revision of the plan to19429
the controlling board in January. Any year-end revision of the19430
plan shall be submitted to the controlling board in June. If19431
moneys appropriated for each fiscal year are distributed other19432
than monthly, such distribution shall be on the same basis for19433
each school district.19434

       The total amounts paid each month shall constitute, as nearly19435
as possible, one-twelfth of the total amount payable for the19436
entire year. 19437

       Until fiscal year 2007, paymentsPayments made during the 19438
first six months of the fiscal year may be based on an estimate of 19439
the amounts payable for the entire year. Payments made in the last 19440
six months shall be based on the final calculation of the amounts19441
payable to each school district for that fiscal year. Payments19442
made in the last six months may be adjusted, if necessary, to19443
correct the amounts distributed in the first six months, and to19444
reflect enrollment increases when such are at least three per19445
cent.19446

       Beginning in fiscal year 2007, payments shall be calculated 19447
to reflect the biannual reporting of average daily membership. In 19448
fiscal year 2007 and in each fiscal year thereafter, annualized 19449
periodic payments for each school district shall be based on the 19450
district's student counts certified pursuant to section 3317.03 of 19451
the Revised Code as follows:19452

the sum of one-half of the number of students reported
19453

for the first full week in October plus one-half of the
19454

average of the numbers reported for the first full week
19455

in October and for the first full week in February
19456

       Except as otherwise provided, payments under this chapter19457
shall be made only to those school districts in which:19458

       (A) The school district, except for any educational service19459
center and any joint vocational or cooperative education school19460
district, levies for current operating expenses at least twenty19461
mills. Levies for joint vocational or cooperative education19462
school districts or county school financing districts, limited to19463
or to the extent apportioned to current expenses, shall be19464
included in this qualification requirement. School district income 19465
tax levies under Chapter 5748. of the Revised Code, limited to or 19466
to the extent apportioned to current operating expenses, shall be19467
included in this qualification requirement to the extent19468
determined by the tax commissioner under division (D) of section19469
3317.021 of the Revised Code.19470

       (B) The school year next preceding the fiscal year for which19471
such payments are authorized meets the requirement of section19472
3313.48 or 3313.481 of the Revised Code, with regard to the19473
minimum number of days or hours school must be open for19474
instruction with pupils in attendance, for individualized19475
parent-teacher conference and reporting periods, and for19476
professional meetings of teachers. This requirement shall be19477
waived by the superintendent of public instruction if it had been19478
necessary for a school to be closed because of disease epidemic,19479
hazardous weather conditions, inoperability of school buses or19480
other equipment necessary to the school's operation, damage to a19481
school building, or other temporary circumstances due to utility19482
failure rendering the school building unfit for school use,19483
provided that for those school districts operating pursuant to19484
section 3313.48 of the Revised Code the number of days the school19485
was actually open for instruction with pupils in attendance and19486
for individualized parent-teacher conference and reporting periods19487
is not less than one hundred seventy-five, or for those school19488
districts operating on a trimester plan the number of days the19489
school was actually open for instruction with pupils in attendance19490
not less than seventy-nine days in any trimester, for those school19491
districts operating on a quarterly plan the number of days the19492
school was actually open for instruction with pupils in attendance19493
not less than fifty-nine days in any quarter, or for those school19494
districts operating on a pentamester plan the number of days the19495
school was actually open for instruction with pupils in attendance19496
not less than forty-four days in any pentamester.19497

       A school district shall not be considered to have failed to19498
comply with this division or section 3313.481 of the Revised Code19499
because schools were open for instruction but either twelfth grade19500
students were excused from attendance for up to three days or only19501
a portion of the kindergarten students were in attendance for up19502
to three days in order to allow for the gradual orientation to19503
school of such students.19504

       The superintendent of public instruction shall waive the19505
requirements of this section with reference to the minimum number19506
of days or hours school must be in session with pupils in19507
attendance for the school year succeeding the school year in which19508
a board of education initiates a plan of operation pursuant to19509
section 3313.481 of the Revised Code. The minimum requirements of19510
this section shall again be applicable to such a district19511
beginning with the school year commencing the second July19512
succeeding the initiation of one such plan, and for each school19513
year thereafter.19514

       A school district shall not be considered to have failed to19515
comply with this division or section 3313.48 or 3313.481 of the19516
Revised Code because schools were open for instruction but the19517
length of the regularly scheduled school day, for any number of19518
days during the school year, was reduced by not more than two19519
hours due to hazardous weather conditions.19520

       (C) The school district has on file, and is paying in19521
accordance with, a teachers' salary schedule which complies with19522
section 3317.13 of the Revised Code.19523

       A board of education or governing board of an educational19524
service center which has not conformed with other law and the19525
rules pursuant thereto, shall not participate in the distribution19526
of funds authorized by sections 3317.022 to 3317.0211, 3317.11,19527
3317.16, 3317.17, and 3317.19 of the Revised Code, except for good19528
and sufficient reason established to the satisfaction of the state19529
board of education and the state controlling board.19530

       All funds allocated to school districts under this chapter,19531
except those specifically allocated for other purposes, shall be19532
used to pay current operating expenses only.19533

       Sec. 3317.012. (A) The general assembly, having deliberated 19534
on the model with which to calculate the base cost of an adequate 19535
education per pupil, has made a policy decision to calculate that 19536
amount as consisting of the following building blocks:19537

       (1) Base classroom teachers;19538

        (2) Other personnel support, which includes additional 19539
teachers, such as music, arts, and physical education teachers 19540
funded by state, local, or federal funds or other funds that are 19541
above the base cost funding level, and other school personnel 19542
including administrators;19543

        (3) Nonpersonnel support.19544

        This model reflects policy decisions made by the general 19545
assembly concerning the cost of base classroom teachers, which 19546
decisions entail two policy variables: the number of students per 19547
base classroom teacher necessary for an adequate education and the 19548
average compensation for a base classroom teacher necessary for an 19549
adequate education. The model requires the general assembly to 19550
decide the amount of other personnel support necessary for an 19551
adequate education, and increase that amount from year to year by 19552
the same percentage as it increases the average compensation for 19553
base classroom teachers. The model finally requires the general 19554
assembly to decide the nonpersonnel costs necessary for an 19555
adequate education and to inflate the nonpersonnel costs from year 19556
to year using the projected inflationary measure for the gross 19557
domestic product deflator (all items) prepared by the bureau of 19558
labor statistics of the United States department of labor.19559

        (B)(1) For fiscal year 20062008, the general assembly has 19560
resolved that a ratio of one base classroom teacher per twenty 19561
students is necessary for an adequate education. The general 19562
assembly has made a policy decision that the average compensation 19563
for base classroom teachers is $53,680$56,754 for fiscal year 19564
20062008, which includes an amount for the value of fringe 19565
benefits. For fiscal year 20072009, the general assembly has 19566
resolved that a ratio of one base classroom teacher per twenty 19567
students is necessary for an adequate education. The general 19568
assembly has made a policy decision that the average compensation 19569
for base classroom teachers is $54,941$58,621 for fiscal year 19570
2009, which includes an amount for the value of fringe benefits. 19571
Based on a ratio of twenty students per base classroom teacher, 19572
these amounts equal $2,684$2,838 per pupil in fiscal year 200619573
2008 and $2,747$2,931 per pupil in fiscal year 20072009. 19574

       (2) The general assembly has made a policy decision that the 19575
per pupil cost of salary and benefits of other personnel support 19576
is $1,807$1,905 in fiscal year 20062008. Based on the percentage 19577
increase for the average compensation of base classroom teachers19578
per pupil cost of salary and benefits of other personnel support19579
from fiscal year 20062007 to fiscal year 20072008, the per pupil 19580
cost of other personnel support is $1,850$1,962 in fiscal year 19581
20072009.19582

        (3) The general assembly has made a policy decision that the 19583
per pupil cost of nonpersonnel support is $792$822 in fiscal year 19584
20062008 and $806$839 in fiscal year 20072009. The amount for 19585
fiscal year 20072009 reflects the projected inflationary measure 19586
for the gross domestic product deflator (all items) of 1.80%19587
2.00%.19588

       (4) Based on the determinations specified in divisions (B)(1) 19589
to (3) of this section, the per-pupil base cost is $5,283$5,56519590
in fiscal year 20062008 and $5,403$5,732 in fiscal year 200719591
2009.19592

        (C) In addition to the per-pupil base cost as determined 19593
under divisions (A) and (B) of this section, the general assembly 19594
determines that the following base funding supplements shall be 19595
paid to each school district:19596

       (1) Base funding for large-group academic intervention for 19597
all students, based on 25 hours per group of students per year at 19598
an hourly rate of $20.00$21.01 in fiscal year 20062008 and 19599
$20.40$21.64 in fiscal year 20072009, as follows:19600

large-group intervention units X 25 hours X hourly rate
19601

       Where:19602

       (a) "Large-group intervention units" equals the district's 19603
formula ADM divided by 20;19604

       (b) "Hourly rate" equals $20.00$21.01 in fiscal year 200619605
2008 and $20.40$21.64 in fiscal year 20072009.19606

        (2) Base funding for professional development, phased in 19607
according to the following formula:19608

district's teacher factor X 0.045 X
19609

formula amount X phase-in percentage
19610

        Where:19611

        (a) For each school district, the district's "teacher factor" 19612
is the district's formula ADM divided by 17;19613

        (b) "Phase-in percentage" equals 0.25 in fiscal year 2006 and19614
0.75 in fiscal year 2007.19615

        (3) Base funding for data-based decision making, calculated 19616
according to the following formula:19617

0.001 X formula amount X formula ADM
19618

        (4) Base funding for professional development regarding 19619
data-based decision making, calculated according to the following 19620
formula:19621

(0.20 X the district's teacher factor X 0.08 X formula amount) +
19622

(the district's principal factor X
19623

0.08 X formula amount)
19624

        Where:19625

        (a) For each school district, the district's "teacher factor" 19626
is the district's formula ADM divided by 17;19627

        (b) For each school district, the district's "principal 19628
factor" is the district's formula ADM divided by 340.19629

       (D) The general assembly intends that school districts spend 19630
the state funds calculated and paid for each component of the 19631
building blocks methodology described in divisions (B)(1) to (3) 19632
and (C)(1) to (4) of this section according to the purposes 19633
described in those divisions.19634

       Sec. 3317.013.  Except for a handicapped preschool child for 19635
whom a scholarship has been awarded under section 3310.41 of the 19636
Revised Code, this section does not apply to handicapped preschool 19637
students.19638

       Analysis of special education cost data has resulted in a19639
finding that the average special education additional cost per19640
pupil, including the costs of related services, can be expressed19641
as a multiple of the base cost per pupil calculated under section19642
3317.012 of the Revised Code. The multiples for the following19643
categories of special education programs, as these programs are19644
defined for purposes of Chapter 3323. of the Revised Code, and19645
adjusted as provided in this section, are as follows:19646

       (A) A multiple of 0.2892 for students whose primary or only19647
identified handicap is a speech and language handicap, as this19648
term is defined pursuant to Chapter 3323. of the Revised Code;19649

       (B) A multiple of 0.3691 for students identified as specific19650
learning disabled or developmentally handicapped, as these terms 19651
are defined pursuant to Chapter 3323. of the Revised Code, or 19652
other health handicapped-minor;19653

       (C) A multiple of 1.7695 for students identified as hearing19654
handicapped, vision impaired, or severe behavior handicapped, as19655
these terms are defined pursuant to Chapter 3323. of the Revised19656
Code;19657

       (D) A multiple of 2.3646 for students identified as19658
orthopedically handicapped, as this term is defined pursuant to19659
Chapter 3323. of the Revised Code or other health handicapped -19660
major;19661

       (E) A multiple of 3.1129 for students identified as19662
multihandicapped, as this term is defined pursuant to Chapter19663
3323. of the Revised Code;19664

       (F) A multiple of 4.7342 for students identified as autistic, 19665
having traumatic brain injuries, or as both visually and hearing 19666
disabled, as these terms are defined pursuant to Chapter 3323. of 19667
the Revised Code.19668

       In fiscal year 2004years 2008 and 2009, the multiples 19669
specified in divisions (A) to (F) of this section shall be 19670
adjusted by multiplying them by 0.88. In fiscal years 2005, 2006, 19671
and 2007, the multiples specified in those divisions shall be 19672
adjusted by multiplying them by 0.90.19673

       Not later than the thirtieth day of MayDecember in 2004, 19674
2005, 2006, and 2007, 2008, and 2009, the department of education19675
shall submit to the office of budget and management a report that 19676
specifies for each city, local, exempted village, and joint 19677
vocational school district the fiscal year allocation of the state 19678
and local shares of special education and related services 19679
additional weighted funding and federal special education funds 19680
passed through to the district.19681

       Not later than January 31, 2009, and the thirty-first day of 19682
January of each odd-numbered year thereafter, the department shall 19683
prepare an analysis of whether the multiples specified in this 19684
section continue to accurately reflect the cost of providing 19685
special education, including the costs of related services, for 19686
students in each of the respective categories of programs 19687
specified in this section.19688

       Sec. 3317.014.  The average vocational education additional19689
cost per pupil can be expressed as a multiple of the base cost per19690
pupil calculated under section 3317.012 of the Revised Code. the19691
The multiples for the following categories of vocational education19692
programs are as follows:19693

       (A) A multiple of 0.57 for students enrolled in vocational19694
education job-training and workforce development programs approved19695
by the department of education in accordance with rules adopted19696
under section 3313.90 of the Revised Code.19697

       (B) A multiple of 0.28 for students enrolled in vocational19698
education classes other than job-training and workforce19699
development programs.19700

       Vocational education associated services costs can be19701
expressed as a multiple of 0.05 of the base cost per pupil19702
calculated under section 3317.012 of the Revised Code.19703

       The general assembly has adjusted the multiples specified in19704
this section for calculating payments beginning in fiscal year19705
2002 in recognition that its policy change regarding the19706
application of the cost-of-doing-business factor produces a higher19707
base cost amount than would exist if no change were made to its19708
application. The adjustment maintains the same weighted costs as19709
would exist if no change were made to the application of the19710
cost-of-doing-business factor.19711

       TheBy the thirtieth day of each December, the department of 19712
education shall annually report to the governoroffice of budget 19713
and management and the general assembly the amount of weighted 19714
funding for vocational education and associated services that is19715
was spent by each city, local, exempted village, and joint 19716
vocational school district specifically for vocational educational 19717
and associated services during the previous fiscal year.19718

       Sec. 3317.015.  (A) In addition to the information certified 19719
to the department of education and the office of budget and 19720
management under division (A) of section 3317.021 of the Revised 19721
Code, the tax commissioner shall, at the same time, certify the19722
following information to the department and the office of budget 19723
and management for each city, exempted village, and local school19724
district to be used for the same purposes as described under that 19725
division:19726

       (1) The taxable value of the school district's carryover 19727
property, as defined in section 319.301 of the Revised Code, for 19728
the preceding tax year;19729

       (2) The increase in such carryover value, if any, between the 19730
second preceding tax year and the preceding tax year as used in19731
calculating the percentage reduction under section 319.301 of the 19732
Revised Code.19733

       (B) For each fiscal year the department of education shall19734
calculate each school district's recognized valuation in the 19735
following manner:19736

       (1) For a school district located in a county in which a 19737
reappraisal or triennial update occurred in the preceding tax 19738
year, the recognized valuation equals the district's total taxable 19739
value for the preceding tax year minus two-thirds times the 19740
increase in the carryover value from the second preceding tax year 19741
to the preceding tax year.19742

       (2) For a school district located in a county in which a 19743
reappraisal or triennial update occurred in the second preceding 19744
tax year, the recognized valuation equals the district's total 19745
taxable value for the preceding tax year minus one-third times the 19746
increase in the carryover value from the third preceding tax year 19747
to the second preceding tax year.19748

       (3) For a school district located in a county in which a 19749
reappraisal or triennial update occurred in the third preceding 19750
tax year, the recognized valuation equals the district's total 19751
taxable value for the preceding tax year.19752

       Sec. 3317.016. In addition to its form SF-3, or any successor 19753
to that form, the department of education shall publish on its web 19754
site a spreadsheet for each school district that specifies the 19755
constituent components of the district's "building blocks" funds, 19756
as follows:19757

       (A) For compensation of base classroom teachers, as described 19758
in division (B)(1) of section 3317.012 of the Revised Code, each 19759
spreadsheet shall specify the district's aggregate and per pupil 19760
amounts of state funds and of combined state and local funds, the 19761
average compensation decided by the general assembly for base 19762
classroom teachers, as specified in that division, and the number 19763
of base classroom teachers attributable to the district based on 19764
the student-teacher ratio decided by the general assembly, as 19765
specified in that division.19766

        (B) Each spreadsheet shall specify the district's aggregate 19767
and per pupil amounts of state funds and of combined state and 19768
local funds for each of the following:19769

        (1) Other personnel support, as described in division (B)(2) 19770
of section 3317.012 of the Revised Code;19771

        (2) Nonpersonnel support, as described in division (B)(3) of 19772
that section;19773

        (3) Academic intervention services, as described in division 19774
(C)(1) of that section;19775

        (4) Professional development, as described in division (C)(2) 19776
of that section;19777

        (5) Data-based decision making, as described in division 19778
(C)(3) of that section;19779

        (6) Professional development for data-based decision making, 19780
as described in division (C)(4) of that section.19781

        (C) Each spreadsheet shall separately specify the district's 19782
aggregate and per pupil state funds for each of the following 19783
components of poverty-based assistance under section 3317.029 of 19784
the Revised Code:19785

        (1) Poverty-based assistance guarantee payment under division 19786
(B) of that section;19787

       (2) Academic intervention funding under division (C) of that 19788
section;19789

       (3)(2) All-day kindergarten under division (D) of that 19790
section;19791

       (4) Class-size reduction(3) Increased classroom learning 19792
opportunities under division (E) of that section;19793

       (5)(4) Services to limited English proficient students under 19794
division (F) of that section;19795

       (6)(5) Professional development, under division (G) of that 19796
section;19797

       (7)(6) Dropout prevention under division (H) of that section;19798

       (8)(7) Community outreach under division (I) of that section;19799

       (8) Assistance in closing the achievement gap under division 19800
(J) of that section.19801

       Sec. 3317.017.  (A) Not later than July 1, 2006, the 19802
superintendent of public instruction shall adopt a rule under 19803
which the superintendent may issue an order with respect to the 19804
spending, by a school district declared to be under an academic 19805
watch or in a state of academic emergency under section 3302.03 of 19806
the Revised Code, of the following state building block funds 19807
intended to pay instructional-related costs:19808

       (1) State funds for compensation of base classroom teachers, 19809
as described in division (B)(1) of section 3317.012 of the Revised 19810
Code;19811

       (2) State funds for academic intervention services under 19812
division (C)(1) of section 3317.012 and division (C) of section 19813
3317.029 of the Revised Code;19814

       (3) State funds for professional development under divisions 19815
(C)(2) and (4) of section 3317.012 and division (G) of section 19816
3317.029 of the Revised Code;19817

       (4) State funds for data based decision making under division 19818
(C)(3) of section 3317.012 of the Revised Code;19819

       (5) The poverty-based assistance guarantee payment under 19820
division (B) of section 3317.029 of the Revised Code;19821

       (6) State funds for all-day kindergarten under division (D) 19822
of section 3317.029 of the Revised Code;19823

       (7)(6) State funds for class-size reductionincreased 19824
classroom learning opportunities under division (E) of section 19825
3317.029 of the Revised Code;19826

       (8)(7) State funds for services to limited English proficient 19827
students under division (F) of section 3317.029 of the Revised 19828
Code;19829

       (9)(8) State funds for dropout prevention under division (H) 19830
of section 3317.029 of the Revised Code;19831

       (10)(9) State funds for community outreach under division (I) 19832
of section 3317.029 of the Revised Code;19833

       (10) State funds for assistance in closing the achievement 19834
gap under division (J) of section 3317.029 of the Revised Code.19835

       (B) The rule shall authorize the superintendent of public 19836
instruction to issue an order that does one or a combination of 19837
the following:19838

       (1) Requires the school district to periodically report to 19839
the superintendent of public instruction on its spending of the 19840
state funds paid for each building blocks component described in 19841
divisions (A)(1) to (10) of this section;19842

       (2) Requires the district to establish a separate account for 19843
each of the building blocks components described in divisions 19844
(A)(1) to (10) of this section to which the district shall credit 19845
the state funds paid for each;19846

       (3) Directs the district's spending of any or all of the 19847
state funds paid for the components described in divisions (A)(1) 19848
to (10) of this section in accordance with the descriptions and 19849
requirements of sections 3317.012 and 3317.029 of the Revised 19850
Code.19851

       (C) The rule shall specify situations in which the 19852
superintendent may issue an order and the types of orders the 19853
superintendent will issue for each of those situations. The rule, 19854
however, shall authorize the superintendent to issue orders in 19855
situations that are not enumerated or described in the rule.19856

       (D) The board of education of each school district to which 19857
the superintendent of public instruction issues an order pursuant 19858
to the rule adopted under this section shall comply with that 19859
order.19860

       Sec. 3317.02.  As used in this chapter:19861

       (A) Unless otherwise specified, "school district" means city,19862
local, and exempted village school districts.19863

       (B) "Formula amount" means the base cost for the fiscal year19864
specified in division (B)(4) of section 3317.012 of the Revised 19865
Code.19866

       (C) "FTE basis" means a count of students based on full-time19867
equivalency, in accordance with rules adopted by the department of19868
education pursuant to section 3317.03 of the Revised Code. In19869
adopting its rules under this division, the department shall19870
provide for counting any student in category one, two, three,19871
four, five, or six special education ADM or in category one or two19872
vocational education ADM in the same proportion the student is19873
counted in formula ADM.19874

       (D) "Formula ADM" means, for a city, local, or exempted19875
village school district, the final number verified by the 19876
superintendent of public instruction, based on the number reported 19877
pursuant to division (A) of section 3317.03 of the Revised Code, 19878
andas adjusted, if so ordered, under division (K) of that 19879
section. "Formula ADM" means, for a joint vocational school 19880
district, the final number verified by the superintendent of 19881
public instruction, based on the number reported pursuant to19882
division (D) of section 3317.03 of the Revised Code. Beginning in 19883
fiscal year 2007, for payments in which formula ADM is a factor, 19884
the formula ADM for each school district for the fiscal year is 19885
the sum of one-half of the number reported for October of that 19886
fiscal year plus one-half of the average of the numbers reported 19887
for October and February of that fiscal year, as adjusted, if so 19888
ordered, under division (K) of that section.19889

       (E) "Three-year average formula ADM" means the average of19890
formula ADMs for the current and preceding twothree fiscal years.19891

       (F)(1) "Category one special education ADM" means the average19892
daily membership of handicapped children receiving special19893
education services for the handicap specified in division (A) of19894
section 3317.013 of the Revised Code and reported under division19895
(B)(5) or (D)(2)(b) of section 3317.03 of the Revised Code. 19896
Beginning in fiscal year 2007, the district's category one special 19897
education ADM for a fiscal year is the sum of one-half of the 19898
number reported for October of that fiscal year plus one-half of 19899
the average of the numbers reported for October and February of 19900
that fiscal year.19901

       (2) "Category two special education ADM" means the average19902
daily membership of handicapped children receiving special19903
education services for those handicaps specified in division (B)19904
of section 3317.013 of the Revised Code and reported under19905
division (B)(6) or (D)(2)(c) of section 3317.03 of the Revised19906
Code. Beginning in fiscal year 2007, the district's category two 19907
special education ADM for a fiscal year is the sum of one-half of 19908
the number reported for October of that fiscal year plus one-half 19909
of the average of the numbers reported for October and February of 19910
that fiscal year.19911

       (3) "Category three special education ADM" means the average19912
daily membership of students receiving special education services19913
for those handicaps specified in division (C) of section 3317.01319914
of the Revised Code, and reported under division (B)(7) or19915
(D)(2)(d) of section 3317.03 of the Revised Code. Beginning in 19916
fiscal year 2007, the district's category three special education 19917
ADM for a fiscal year is the sum of one-half of the number 19918
reported for October of that fiscal year plus one-half of the 19919
average of the numbers reported for October and February of that 19920
fiscal year.19921

       (4) "Category four special education ADM" means the average19922
daily membership of students receiving special education services19923
for those handicaps specified in division (D) of section 3317.01319924
of the Revised Code and reported under division (B)(8) or19925
(D)(2)(e) of section 3317.03 of the Revised Code. Beginning in 19926
fiscal year 2007, the district's category four special education 19927
ADM for a fiscal year is the sum of one-half of the number 19928
reported for October of that fiscal year plus one-half of the 19929
average of the numbers reported for October and February of that 19930
fiscal year.19931

       (5) "Category five special education ADM" means the average19932
daily membership of students receiving special education services19933
for the handicap specified in division (E) of section 3317.013 of19934
the Revised Code and reported under division (B)(9) or (D)(2)(f)19935
of section 3317.03 of the Revised Code. Beginning in fiscal year 19936
2007, the district's category five special education ADM for a 19937
fiscal year is the sum of one-half of the number reported for 19938
October of that fiscal year plus one-half of the average of the 19939
numbers reported for October and February of that fiscal year.19940

       (6) "Category six special education ADM" means the average19941
daily membership of students receiving special education services19942
for the handicap specified in division (F) of section 3317.013 of19943
the Revised Code and reported under division (B)(10) or (D)(2)(g)19944
of section 3317.03 of the Revised Code. Beginning in fiscal year 19945
2007, the district's category six special education ADM for a 19946
fiscal year is the sum of one-half of the number reported for 19947
October of that fiscal year plus one-half of the average of the 19948
numbers reported for October and February of that fiscal year.19949

       (7) "Category one vocational education ADM" means the average19950
daily membership of students receiving vocational education19951
services described in division (A) of section 3317.014 of the19952
Revised Code and reported under division (B)(11) or (D)(2)(h) of19953
section 3317.03 of the Revised Code. Beginning in fiscal year 19954
2007, the district's category one vocational education ADM for a 19955
fiscal year is the sum of one-half of the number reported for 19956
October of that fiscal year plus one-half of the average of the 19957
numbers reported for October and February of that fiscal year.19958

       (8) "Category two vocational education ADM" means the average19959
daily membership of students receiving vocational education19960
services described in division (B) of section 3317.014 of the19961
Revised Code and reported under division (B)(12) or (D)(2)(i) of19962
section 3317.03 of the Revised Code. Beginning in fiscal year 19963
2007, the district's category two vocational education ADM for a 19964
fiscal year is the sum of one-half of the number reported for 19965
October of that fiscal year plus one-half of the average of the 19966
numbers reported for October and February of that fiscal year.19967

       (G) "Handicapped preschool child" means a handicapped child,19968
as defined in section 3323.01 of the Revised Code, who is at least19969
age three but is not of compulsory school age, as defined in19970
section 3321.01 of the Revised Code, and who is not currently19971
enrolled in kindergarten.19972

       (H) "County MR/DD board" means a county board of mental19973
retardation and developmental disabilities.19974

       (I) "Recognized valuation" means the amount calculated for a19975
school district pursuant to section 3317.015 of the Revised Code.19976

       (J) "Transportation ADM" means the number of children19977
reported under division (B)(13) of section 3317.03 of the Revised19978
Code.19979

       (K) "Average efficient transportation use cost per student"19980
means a statistical representation of transportation costs as19981
calculated under division (D)(2) of section 3317.022 of the19982
Revised Code.19983

       (L) "Taxes charged and payable" means the taxes charged and19984
payable against real and public utility property after making the19985
reduction required by section 319.301 of the Revised Code, plus19986
the taxes levied against tangible personal property.19987

       (M)(K) "Total taxable value" means the sum of the amounts19988
certified for a city, local, exempted village, or joint vocational19989
school district under divisions (A)(1) and (2) of section 3317.02119990
of the Revised Code.19991

       (N) "Cost-of-doing-business factor" means the amount19992
indicated in division (N)(1) or (2) of this section for the county 19993
in which a city, local, exempted village, or joint vocational 19994
school district is located. If a city, local, or exempted village 19995
school district is located in more than one county, the factor is 19996
the amount indicated for the county to which the district is 19997
assigned by the state department of education. If a joint19998
vocational school district is located in more than one county, the 19999
factor is the amount indicated for the county in which the joint 20000
vocational school with the greatest formula ADM operated by the 20001
district is located.20002

       (1) In fiscal year 2006, the cost-of-doing-business factor 20003
for each county is:20004

COST-OF-DOING-BUSINESS 20005
COUNTY FACTOR AMOUNT 20006
Adams 1.00233 20007
Allen 1.01373 20008
Ashland 1.01980 20009
Ashtabula 1.02647 20010
Athens 1.00093 20011
Auglaize 1.01647 20012
Belmont 1.00427 20013
Brown 1.01180 20014
Butler 1.04307 20015
Carroll 1.00913 20016
Champaign 1.02973 20017
Clark 1.02980 20018
Clermont 1.03607 20019
Clinton 1.02193 20020
Columbiana 1.01427 20021
Coshocton 1.01153 20022
Crawford 1.01093 20023
Cuyahoga 1.04173 20024
Darke 1.02253 20025
Defiance 1.00973 20026
Delaware 1.03520 20027
Erie 1.02587 20028
Fairfield 1.02440 20029
Fayette 1.02127 20030
Franklin 1.04053 20031
Fulton 1.0220 20032
Gallia 1.00000 20033
Geauga 1.03340 20034
Greene 1.02960 20035
Guernsey 1.00440 20036
Hamilton 1.05000 20037
Hancock 1.01433 20038
Hardin 1.02373 20039
Harrison 1.00493 20040
Henry 1.02120 20041
Highland 1.00987 20042
Hocking 1.01253 20043
Holmes 1.01187 20044
Huron 1.01953 20045
Jackson 1.00920 20046
Jefferson 1.00487 20047
Knox 1.01860 20048
Lake 1.03493 20049
Lawrence 1.00540 20050
Licking 1.02540 20051
Logan 1.02567 20052
Lorain 1.03433 20053
Lucas 1.02600 20054
Madison 1.03253 20055
Mahoning 1.02307 20056
Marion 1.02040 20057
Medina 1.03573 20058
Meigs 1.00173 20059
Mercer 1.01353 20060
Miami 1.02740 20061
Monroe 1.00333 20062
Montgomery 1.03020 20063
Morgan 1.00593 20064
Morrow 1.02007 20065
Muskingum 1.00847 20066
Noble 1.00487 20067
Ottawa 1.03240 20068
Paulding 1.00767 20069
Perry 1.01067 20070
Pickaway 1.02607 20071
Pike 1.00687 20072
Portage 1.03147 20073
Preble 1.02947 20074
Putnam 1.01440 20075
Richland 1.01327 20076
Ross 1.01007 20077
Sandusky 1.02140 20078
Scioto 1.00080 20079
Seneca 1.01487 20080
Shelby 1.01853 20081
Stark 1.01700 20082
Summit 1.03613 20083
Trumbull 1.02340 20084
Tuscarawas 1.00593 20085
Union 1.03333 20086
Van Wert 1.00887 20087
Vinton 1.00633 20088
Warren 1.04387 20089
Washington 1.00400 20090
Wayne 1.02320 20091
Williams 1.01520 20092
Wood 1.02400 20093
Wyandot 1.01140 20094

       (2) In fiscal year 2007, the cost-of-doing-business factor 20095
for each county is:20096

COST-OF-DOING-BUSINESS 20097
COUNTY FACTOR AMOUNT 20098
Adams 1.00117 20099
Allen 1.00687 20100
Ashland 1.00990 20101
Ashtabula 1.01323 20102
Athens 1.00047 20103
Auglaize 1.00823 20104
Belmont 1.00213 20105
Brown 1.00590 20106
Butler 1.02153 20107
Carroll 1.00457 20108
Champaign 1.01487 20109
Clark 1.01490 20110
Clermont 1.01803 20111
Clinton 1.01097 20112
Columbiana 1.00713 20113
Coshocton 1.00577 20114
Crawford 1.00547 20115
Cuyahoga 1.02087 20116
Darke 1.01127 20117
Defiance 1.00487 20118
Delaware 1.01760 20119
Erie 1.01293 20120
Fairfield 1.01220 20121
Fayette 1.01063 20122
Franklin 1.02027 20123
Fulton 1.01100 20124
Gallia 1.00000 20125
Geauga 1.01670 20126
Greene 1.01480 20127
Guernsey 1.00220 20128
Hamilton 1.02500 20129
Hancock 1.00717 20130
Hardin 1.01187 20131
Harrison 1.00247 20132
Henry 1.01060 20133
Highland 1.00493 20134
Hocking 1.00627 20135
Holmes 1.00593 20136
Huron 1.00977 20137
Jackson 1.00460 20138
Jefferson 1.00243 20139
Knox 1.00930 20140
Lake 1.01747 20141
Lawrence 1.00270 20142
Licking 1.01270 20143
Logan 1.01283 20144
Lorain 1.01717 20145
Lucas 1.01300 20146
Madison 1.01627 20147
Mahoning 1.01153 20148
Marion 1.01020 20149
Medina 1.01787 20150
Meigs 1.00087 20151
Mercer 1.00677 20152
Miami 1.01370 20153
Monroe 1.00167 20154
Montgomery 1.01510 20155
Morgan 1.00297 20156
Morrow 1.01003 20157
Muskingum 1.00423 20158
Noble 1.00243 20159
Ottawa 1.01620 20160
Paulding 1.00383 20161
Perry 1.00533 20162
Pickaway 1.01303 20163
Pike 1.00343 20164
Portage 1.01573 20165
Preble 1.01473 20166
Putnam 1.00720 20167
Richland 1.00663 20168
Ross 1.00503 20169
Sandusky 1.01070 20170
Scioto 1.00040 20171
Seneca 1.00743 20172
Shelby 1.00927 20173
Stark 1.00850 20174
Summit 1.01807 20175
Trumbull 1.01170 20176
Tuscarawas 1.00297 20177
Union 1.01667 20178
Van Wert 1.00443 20179
Vinton 1.00317 20180
Warren 1.02193 20181
Washington 1.00200 20182
Wayne 1.01160 20183
Williams 1.00760 20184
Wood 1.01200 20185
Wyandot 1.00570 20186

       (O)(L) "Tax exempt value" of a school district means the20187
amount certified for a school district under division (A)(4) of20188
section 3317.021 of the Revised Code.20189

       (P)(M) "Potential value" of a school district means the 20190
recognized valuation of a school district plus the tax exempt20191
value of the district.20192

       (Q)(N) "District median income" means the median Ohio20193
adjusted gross income certified for a school district. On or 20194
before the first day of July of each year, the tax commissioner 20195
shall certify to the department of education and the office of 20196
budget and management for each city, exempted village, and local 20197
school district the median Ohio adjusted gross income of the 20198
residents of the school district determined on the basis of tax 20199
returns filed for the second preceding tax year by the residents 20200
of the district.20201

       (R)(O) "Statewide median income" means the median district20202
median income of all city, exempted village, and local school20203
districts in the state.20204

       (S)(P) "Income factor" for a city, exempted village, or local20205
school district means the quotient obtained by dividing that20206
district's median income by the statewide median income.20207

       (T)(Q) "Medically fragile child" means a child to whom all of20208
the following apply:20209

       (1) The child requires the services of a doctor of medicine20210
or osteopathic medicine at least once a week due to the20211
instability of the child's medical condition.20212

       (2) The child requires the services of a registered nurse on20213
a daily basis.20214

       (3) The child is at risk of institutionalization in a20215
hospital, skilled nursing facility, or intermediate care facility20216
for the mentally retarded.20217

       (U)(R) A child may be identified as "other health20218
handicapped-major" if the child's condition meets the definition20219
of "other health impaired" established in rules adopted by the20220
state board of education prior to July 1, 2001, and if either of 20221
the following apply:20222

       (1) The child is identified as having a medical condition20223
that is among those listed by the superintendent of public20224
instruction as conditions where a substantial majority of cases20225
fall within the definition of "medically fragile child." The20226
superintendent of public instruction shall issue an initial list20227
no later than September 1, 2001.20228

       (2) The child is determined by the superintendent of public20229
instruction to be a medically fragile child. A school district20230
superintendent may petition the superintendent of public20231
instruction for a determination that a child is a medically20232
fragile child.20233

       (V)(S) A child may be identified as "other health20234
handicapped-minor" if the child's condition meets the definition20235
of "other health impaired" established in rules adopted by the20236
state board of education prior to July 1, 2001, but the child's 20237
condition does not meet either of the conditions specified in 20238
division (U)(R)(1) or (2) of this section.20239

       (W) "SF-3 payment" means the sum of the payments to a school 20240
district in a fiscal year under divisions (A), (C)(1), (C)(4), 20241
(D), (E), and (F) of section 3317.022, divisions (G), (L), and (N) 20242
of section 3317.024, and sections 3317.029, 3317.0216, 3317.0217, 20243
3317.04, 3317.05, 3317.052, and 3317.053 of the Revised Code after 20244
making the adjustments required by sections 3313.981 and 3313.979 20245
of the Revised Code, divisions (B), (C), (D), (E), (K), (L), (M), 20246
(N), and (O) of section 3317.023, and division (C) of section 20247
3317.20(T) "State education aid" has the same meaning as in 20248
section 5751.20 of the Revised Code.20249

       (X)(U) "Property exemption value" means zero in fiscal year 20250
2006, and in fiscal year 2007 and each fiscal year thereafter, the 20251
amount certified for a school district under divisions (A)(6) and 20252
(7) of section 3317.021 of the Revised Code.20253

       (V) "Internet- or computer-based community school" has the 20254
same meaning as in section 3314.02 of the Revised Code.20255

       Sec. 3317.021.  (A) On or before the first day of June of20256
each year, the tax commissioner shall certify to the department of20257
education and the office of budget and management the information 20258
described in divisions (A)(1) to (8) of this section for each 20259
city, exempted village, and local school district, and the 20260
information required by divisions (A)(1) and (2) of this section 20261
for each joint vocational school district, and it shall be used, 20262
along with the information certified under division (B) of this 20263
section, in making the computations for the district under 20264
sections 3317.022, 3317.0216, and 3317.0217 or section 3317.16 of 20265
the Revised Code.20266

       (1) The taxable value of real and public utility real20267
property in the school district subject to taxation in the20268
preceding tax year, by class and by county of location.20269

       (2) The taxable value of tangible personal property,20270
including public utility personal property, subject to taxation by20271
the district for the preceding tax year.20272

       (3)(a) The total property tax rate and total taxes charged20273
and payable for the current expenses for the preceding tax year20274
and the total property tax rate and the total taxes charged and20275
payable to a joint vocational district for the preceding tax year20276
that are limited to or to the extent apportioned to current20277
expenses.20278

       (b) The portion of the amount of taxes charged and payable20279
reported for each city, local, and exempted village school20280
district under division (A)(3)(a) of this section attributable to20281
a joint vocational school district.20282

       (4) The value of all real and public utility real property in 20283
the school district exempted from taxation minus both of the20284
following:20285

       (a) The value of real and public utility real property in the 20286
district owned by the United States government and used20287
exclusively for a public purpose;20288

       (b) The value of real and public utility real property in the 20289
district exempted from taxation under Chapter 725. or 1728. or20290
section 3735.67, 5709.40, 5709.41, 5709.62, 5709.63, 5709.632,20291
5709.73, or 5709.78 of the Revised Code.20292

       (5) The total federal adjusted gross income of the residents20293
of the school district, based on tax returns filed by the20294
residents of the district, for the most recent year for which this20295
information is available.20296

       (6) The sum of the school district compensation value as 20297
indicated on the list of exempted property for the preceding tax 20298
year under section 5713.08 of the Revised Code as if such property 20299
had been assessed for taxation that year and the other 20300
compensation value for the school district, minus the amounts 20301
described in divisions (A)(6)(c) to (i) of this section. The 20302
portion of school district compensation value or other 20303
compensation value attributable to an incentive district exemption 20304
may be subtracted only once even if that incentive district 20305
satisfies more than one of the criteria in divisions (A)(6)(c) to 20306
(i) of this section.20307

       (a) "School district compensation value" means the aggregate 20308
value of real property in the school district exempted from 20309
taxation pursuant to an ordinance or resolution adopted under 20310
division (C) of section 5709.40, division (C) of section 5709.73, 20311
or division (B) of section 5709.78 of the Revised Code to the 20312
extent that the exempted value results in the charging of payments 20313
in lieu of taxes required to be paid to the school district under 20314
division (D)(1) or (2) of section 5709.40, division (D) of section 20315
5709.73, or division (C) of section 5709.78 of the Revised Code.20316

       (b) "Other compensation value" means the quotient that 20317
results from dividing (i) the dollar value of compensation 20318
received by the school district during the preceding tax year 20319
pursuant to division (B), (C), or (D) of section 5709.82 of the 20320
Revised Code and the amounts received pursuant to an agreement as 20321
specified in division (D)(2) of section 5709.40, division (D) of 20322
section 5709.73, or division (C) of section 5709.78 of the Revised 20323
Code to the extent those amounts were not previously reported or 20324
included in division (A)(6)(a) of this section, and so that any 20325
such amount is reported only once under division (A)(6)(b) of this 20326
section, in relation to exemptions from taxation granted pursuant 20327
to an ordinance or resolution adopted under division (C) of 20328
section 5709.40, division (C) of section 5709.73, or division (B) 20329
of section 5709.78 of the Revised Code, by (ii) the real property 20330
tax rate in effect for the preceding tax year for 20331
nonresidential/agricultural real property after making the 20332
reductions required by section 319.301 of the Revised Code.20333

       (c) The portion of school district compensation value or 20334
other compensation value that was exempted from taxation pursuant 20335
to such an ordinance or resolution for the preceding tax year, if 20336
the ordinance or resolution is adopted prior to January 1, 2006, 20337
and the legislative authority or board of township trustees or 20338
county commissioners, prior to January 1, 2006, executes a 20339
contract or agreement with a developer, whether for-profit or 20340
not-for-profit, with respect to the development of a project 20341
undertaken or to be undertaken and identified in the ordinance or 20342
resolution, and upon which parcels such project is being, or will 20343
be, undertaken;20344

        (d) The portion of school district compensation value that 20345
was exempted from taxation for the preceding tax year and for 20346
which payments in lieu of taxes for the preceding tax year were 20347
provided to the school district under division (D)(1) of section 20348
5709.40 of the Revised Code.20349

       (e) The portion of school district compensation value that 20350
was exempted from taxation for the preceding tax year pursuant to 20351
such an ordinance or resolution, if and to the extent that, on or 20352
before April 1, 2006, the fiscal officer of the municipal 20353
corporation that adopted the ordinance, or of the township or 20354
county that adopted the resolution, certifies and provides 20355
appropriate supporting documentation to the tax commissioner and 20356
the director of development that, based on hold-harmless 20357
provisions in any agreement between the school district and the 20358
legislative authority of the municipal corporation, board of 20359
township trustees, or board of county commissioners that was 20360
entered into on or before June 1, 2005, the ability or obligation 20361
of the municipal corporation, township, or county to repay bonds, 20362
notes, or other financial obligations issued or entered into prior 20363
to January 1, 2006, will be impaired, including obligations to or 20364
of any other body corporate and politic with whom the legislative 20365
authority of the municipal corporation or board of township 20366
trustees or county commissioners has entered into an agreement 20367
pertaining to the use of service payments derived from the 20368
improvements exempted;20369

        (f) The portion of school district compensation value that 20370
was exempted from taxation for the preceding tax year pursuant to 20371
such an ordinance or resolution, if the ordinance or resolution is 20372
adopted prior to January 1, 2006, in a municipal corporation with 20373
a population that exceeds one hundred thousand, as shown by the 20374
most recent federal decennial census, that includes a major 20375
employment center and that is adjacent to historically distressed 20376
neighborhoods, if the legislative authority of the municipal 20377
corporation that exempted the property prepares an economic 20378
analysis that demonstrates that all taxes generated within the 20379
incentive district accruing to the state by reason of improvements 20380
constructed within the district during its existence exceed the 20381
amount the state pays the school district under section 3317.022 20382
of the Revised Code attributable to such property exemption from 20383
the school district's recognized valuation. The analysis shall be 20384
submitted to and approved by the department of development prior 20385
to January 1, 2006, and the department shall not unreasonably 20386
withhold approval. 20387

        (g) The portion of school district compensation value that 20388
was exempted from taxation for the preceding tax year under such 20389
an ordinance or resolution, if the ordinance or resolution is 20390
adopted prior to January 1, 2006, and if service payments have 20391
been pledged to be used for mixed-use riverfront entertainment 20392
development in any county with a population that exceeds six 20393
hundred thousand, as shown by the most recent federal decennial 20394
census;20395

        (h) The portion of school district compensation value that 20396
was exempted from taxation for the preceding tax year under such 20397
an ordinance or resolution, if, prior to January 1, 2006, the 20398
legislative authority of a municipal corporation, board of 20399
township trustees, or board of county commissioners has pledged 20400
service payments for a designated transportation capacity project 20401
approved by the transportation review advisory council under 20402
Chapter 5512. of the Revised Code;20403

        (i) The portion of school district compensation value that 20404
was exempted from taxation for the preceding tax year under such 20405
an ordinance or resolution if the legislative authority of a 20406
municipal corporation, board of township trustees, or board of 20407
county commissioners have, by January 1, 2006, pledged proceeds 20408
for designated transportation improvement projects that involve 20409
federal funds for which the proceeds are used to meet a local 20410
share match requirement for such funding.20411

       As used in division (A)(6) of this section, "project" has the 20412
same meaning as in section 5709.40 of the Revised Code.20413

       (7) The aggregate value of real property in the school 20414
district for which an exemption from taxation is granted by an 20415
ordinance or resolution adopted on or after January 1, 2006, under 20416
Chapter 725. or 1728., sections 3735.65 to 3735.70, or section 20417
5709.62, 5709.63, 5709.632, 5709.84, or 5709.88 of the Revised 20418
Code, as indicated on the list of exempted property for the 20419
preceding tax year under section 5713.08 of the Revised Code and 20420
as if such property had been assessed for taxation that year, 20421
minus the product determined by multiplying (a) the aggregate 20422
value of the real property in the school district exempted from 20423
taxation for the preceding tax year under any of the chapters or 20424
sections specified in this division, by (b) a fraction, the 20425
numerator of which is the difference between (i) the amount of 20426
anticipated revenue such school district would have received for 20427
the preceding tax year if the real property exempted from taxation 20428
had not been exempted from taxation and (ii) the aggregate amount 20429
of payments in lieu of taxes on the exempt real property for the 20430
preceding tax year and other compensation received for the 20431
preceding tax year by the school district pursuant to any 20432
agreements entered into on or after January 1, 2006, under section 20433
5709.82 of the Revised Code between the school district and the 20434
legislative authority of a political subdivision that acted under 20435
the authority of a chapter or statute specified in this division, 20436
that were entered into in relation to such exemption, and the 20437
denominator of which is the amount of anticipated revenue such 20438
school district would have received in the preceding fiscal year 20439
if the real property exempted from taxation had not been exempted.20440

       (8) For each school district receiving payments under 20441
division (B) or (C) of section 3317.0216 of the Revised Code 20442
during the current fiscal year, as included on the most recent 20443
list of such districts sent to the tax commissioner under division 20444
(F) of that section, the following:20445

        (a) The portion of the total amount of taxes charged and 20446
payable for current expenses certified under division (A)(3)(a) of 20447
this section that is attributable to each new levy approved and 20448
charged in the preceding tax year and the respective tax rate of 20449
each of those new levies;20450

        (b) The portion of the total taxes collected for current 20451
expenses under a school district income tax adopted pursuant to 20452
section 5748.03 or 5748.08 of the Revised Code, as certified under 20453
division (A)(2) of section 3317.08 of the Revised Code, that is 20454
attributable to each new school district income tax first 20455
effective in the current taxable year or in the preceding taxable 20456
year.20457

       (B) On or before the first day of May each year, the tax20458
commissioner shall certify to the department of education and the 20459
office of budget and management the total taxable real property 20460
value of railroads and, separately, the total taxable tangible 20461
personal property value of all public utilities for the preceding 20462
tax year, by school district and by county of location.20463

       (C) If a public utility has properly and timely filed a20464
petition for reassessment under section 5727.47 of the Revised20465
Code with respect to an assessment issued under section 5727.23 of20466
the Revised Code affecting taxable property apportioned by the tax20467
commissioner to a school district, the taxable value of public20468
utility tangible personal property included in the certification20469
under divisions (A)(2) and (B) of this section for the school20470
district shall include only the amount of taxable value on the20471
basis of which the public utility paid tax for the preceding year20472
as provided in division (B)(1) or (2) of section 5727.47 of the20473
Revised Code.20474

       (D) If on the basis of the information certified under20475
division (A) of this section, the department determines that any20476
district fails in any year to meet the qualification requirement20477
specified in division (A) of section 3317.01 of the Revised Code,20478
the department shall immediately request the tax commissioner to20479
determine the extent to which any school district income tax20480
levied by the district under Chapter 5748. of the Revised Code20481
shall be included in meeting that requirement. Within five days of 20482
receiving such a request from the department, the tax commissioner 20483
shall make the determination required by this division and report 20484
the quotient obtained under division (D)(3) of this section to the 20485
department and the office of budget and management. This quotient 20486
represents the number of mills that the department shall include 20487
in determining whether the district meets the qualification 20488
requirement of division (A) of section 3317.01 of the Revised 20489
Code.20490

       The tax commissioner shall make the determination required by20491
this division as follows:20492

       (1) Multiply one mill times the total taxable value of the20493
district as determined in divisions (A)(1) and (2) of this20494
section;20495

       (2) Estimate the total amount of tax liability for the20496
current tax year under taxes levied by Chapter 5748. of the20497
Revised Code that are apportioned to current operating expenses of20498
the district;20499

       (3) Divide the amount estimated under division (D)(2) of this 20500
section by the product obtained under division (D)(1) of this20501
section.20502

       (E)(1) On or before June 1, 2006, and the first day of April 20503
of each year thereafter, the director of development shall report 20504
to the department of education and, the tax commissioner, and the 20505
director of budget and management the total amounts of payments 20506
received by each city, local, exempted village, or joint 20507
vocational school district for the preceding tax year pursuant to 20508
division (D) of section 5709.40, division (D) of section 5709.73, 20509
division (C) of section 5709.78, or division (B)(1), (B)(2), (C), 20510
or (D) of section 5709.82 of the Revised Code in relation to 20511
exemptions from taxation granted pursuant to an ordinance adopted 20512
by the legislative authority of a municipal corporation under 20513
division (C) of section 5709.40 of the Revised Code, or a 20514
resolution adopted by a board of township trustees or board of 20515
county commissioners under division (C) of section 5709.73 or 20516
division (B) of section 5709.78 of the Revised Code, respectively. 20517
On or before April 1, 2006, and the first day of March of each 20518
year thereafter, the treasurer of each city, local, exempted 20519
village, or joint vocational school district that has entered into 20520
such an agreement shall report to the director of development the 20521
total amounts of such payments the district received for the 20522
preceding tax year as provided in this section. The state board of 20523
education, in accordance with sections 3319.31 and 3319.311 of the 20524
Revised Code, may suspend or revoke the license of a treasurer 20525
found to have willfully reported erroneous, inaccurate, or 20526
incomplete data under this division.20527

       (2) On or before April 1, 2007, and the first day of April of 20528
each year thereafter, the director of development shall report to 20529
the department of education and to, the tax commissioner, and the 20530
director of budget and management the total amounts of payments 20531
received by each city, local, exempted village, or joint 20532
vocational school district for the preceding tax year pursuant to 20533
divisions (B), (C), and (D) of section 5709.82 of the Revised Code 20534
in relation to exemptions from taxation granted pursuant to 20535
ordinances or resolutions adopted on or after January 1, 2006, 20536
under Chapter 725. or 1728., sections 3735.65 to 3735.70, or 20537
section 5709.62, 5709.63, 5709.632, 5709.84, or 5709.88 of the 20538
Revised Code. On or before March 1, 2007, and the first day of 20539
March of each year thereafter, the treasurer of each city, local, 20540
exempted village, or joint vocational school district that has 20541
entered into such an agreement shall report to the director of 20542
development the total amounts of such payments the district 20543
received for the preceding tax year as provided by this section. 20544
The state board of education, in accordance with sections 3319.31 20545
and 3319.311 of the Revised Code, may suspend or revoke the 20546
license of a treasurer found to have willfully reported erroneous, 20547
inaccurate, or incomplete data under this division.20548

       Sec. 3317.022.  (A)(1) The department of education shall20549
compute and distribute state base cost funding to each eligible20550
school district for the fiscal year using the information 20551
obtained under section 3317.021 of the Revised Code in the 20552
calendar year in which the fiscal year begins.20553

       (1) Compute the following for each eligible districtformula:20554

{[
cost-of-doing-business factor X
20555

the formula amount X (formula ADM +
20556

preschool scholarship ADM)] +
20557

the sum of the base funding supplements
20558

prescribed in divisions (C)(1) to (4)
20559

of section 3317.012 of the Revised Code} -
20560

[.023 x (the sum of recognized valuation
20561

and property exemption value)]
+
20562

the amounts calculated for the district under
20563

sections 3317.029 and 3317.0217 of the Revised Code
20564

       If the difference obtained is a negative number, the20565
district's computation shall be zero.20566

       (2) Compute both of the following for each school district:20567

       (a) The difference of (i) the district's fiscal year 2005 20568
base cost payment under the version of division (A)(1) of this 20569
section in effect in fiscal year 2005, minus (ii) the amount 20570
computed for the district for the current fiscal year under 20571
current division (A)(1) of this section;20572

       (b) The following amount:20573

[(fiscal year 2005 base cost payment/fiscal
20574

year 2005 formula ADM) X
20575

(current year formula ADM + preschool scholarship ADM)]
20576

minus the amount computed for the district
20577

under current division (A)(1) of this section
20578

       If one of the amounts computed under division (A)(2)(a) or 20579
(b) of this section is a positive amount, the department shall pay 20580
the district that amount in addition to the amount calculated 20581
under division (A)(1) of this section. If both amounts are 20582
positive amounts, the department shall pay the district the lesser 20583
of the two amounts in addition to the amount calculated under 20584
division (A)(1) of this section.20585

       (3)(a) For each school district for which the tax exempt20586
value of the district equals or exceeds twenty-five per cent of20587
the potential value of the district, the department of education20588
shall calculate the difference between the district's tax exempt20589
value and twenty-five per cent of the district's potential value.20590

       (b) For each school district to which division (A)(3)(2)(a) 20591
of this section applies, the department shall adjust the 20592
recognized valuation used in the calculation under division (A)(1) 20593
of this section by subtracting from it the amount calculated under20594
division (A)(3)(2)(a) of this section.20595

       (B) As used in this section:20596

       (1) The "total special education weight" for a district means 20597
the sum of the following amounts:20598

       (a) The district's category one special education ADM20599
multiplied by the multiple specified in division (A) of section20600
3317.013 of the Revised Code;20601

       (b) The district's category two special education ADM20602
multiplied by the multiple specified in division (B) of section20603
3317.013 of the Revised Code;20604

       (c) The district's category three special education ADM20605
multiplied by the multiple specified in division (C) of section20606
3317.013 of the Revised Code;20607

       (d) The district's category four special education ADM20608
multiplied by the multiple specified in division (D) of section20609
3317.013 of the Revised Code;20610

       (e) The district's category five special education ADM20611
multiplied by the multiple specified in division (E) of section20612
3317.013 of the Revised Code;20613

       (f) The district's category six special education ADM20614
multiplied by the multiple specified in division (F) of section20615
3317.013 of the Revised Code.20616

       (2) "State share percentage" means the percentage calculated20617
for a district as follows:20618

       (a) Calculate the state base cost funding amount for the20619
district for the fiscal year under division (A) of this section.20620
If the district would not receive any state base cost funding for20621
that year under that division, the district's state share20622
percentage is zero.20623

       (b) If the district would receive state base cost funding20624
under that division, divide that amount by an amount equal to the20625
following:20626

(
Cost-of-doing-business factor X
20627

the formula amount X formula ADM) +
20628

the sum of the base funding supplements
20629

prescribed in divisions (C)(1) to (4)
20630

of section 3317.012 of the Revised Code
+
20631

the sum of the amounts calculated for the district under
20632

sections 3317.029 and 3317.0217 of the Revised Code
20633

       The resultant number is the district's state share20634
percentage.20635

       (3) "Related services" includes:20636

       (a) Child study, special education supervisors and20637
coordinators, speech and hearing services, adaptive physical20638
development services, occupational or physical therapy, teacher20639
assistants for handicapped children whose handicaps are described20640
in division (B) of section 3317.013 or division (F)(3) of section20641
3317.02 of the Revised Code, behavioral intervention, interpreter20642
services, work study, nursing services, and specialized20643
integrative services as those terms are defined by the department;20644

       (b) Speech and language services provided to any student with 20645
a handicap, including any student whose primary or only handicap 20646
is a speech and language handicap;20647

       (c) Any related service not specifically covered by other20648
state funds but specified in federal law, including but not20649
limited to, audiology and school psychological services;20650

       (d) Any service included in units funded under former20651
division (O)(1) of section 3317.0233317.024 of the Revised Code;20652

       (e) Any other related service needed by handicapped children20653
in accordance with their individualized education plans.20654

       (4) The "total vocational education weight" for a district20655
means the sum of the following amounts:20656

       (a) The district's category one vocational education ADM20657
multiplied by the multiple specified in division (A) of section20658
3317.014 of the Revised Code;20659

       (b) The district's category two vocational education ADM20660
multiplied by the multiple specified in division (B) of section20661
3317.014 of the Revised Code.20662

       (5) "Preschool scholarship ADM" means the number of 20663
handicapped preschool children reported under division (B)(3)(h) 20664
of section 3317.03 of the Revised Code.20665

       (C)(1) The department shall compute and distribute state20666
special education and related services additional weighted costs20667
funds to each school district in accordance with the following20668
formula:20669

The district's state share percentage X
20670

the formula amount for the year for which
20671

the aid is calculated X the district's
20672

total special education weight
20673

       (2) The attributed local share of special education and20674
related services additional weighted costs equals:20675

(1 - the district's state share percentage) X the district's
20676

total special education weight X the formula amount
20677

       (3)(a) The department shall compute and pay in accordance20678
with this division additional state aid to school districts for20679
students in categories two through six special education ADM. If a 20680
district's costs for the fiscal year for a student in its 20681
categories two through six special education ADM exceed the20682
threshold catastrophic cost for serving the student, the district20683
may submit to the superintendent of public instruction20684
documentation, as prescribed by the superintendent, of all its20685
costs for that student. Upon submission of documentation for a20686
student of the type and in the manner prescribed, the department20687
shall pay to the district an amount equal to the sum of the20688
following:20689

       (i) One-half of the district's costs for the student in20690
excess of the threshold catastrophic cost;20691

       (ii) The product of one-half of the district's costs for the20692
student in excess of the threshold catastrophic cost multiplied by20693
the district's state share percentage.20694

       (b) For purposes of division (C)(3)(a) of this section, the20695
threshold catastrophic cost for serving a student equals:20696

       (i) For a student in the school district's category two,20697
three, four, or five special education ADM, twenty-five thousand20698
dollars in fiscal year 2002, twenty-five thousand seven hundred20699
dollars in fiscal years 2003, 2004, and 2005, and twenty-six 20700
thousand five hundred dollars in fiscal years 2006 and 200720701
twenty-seven thousand three hundred seventy-five dollars in fiscal 20702
years 2008 and 2009;20703

       (ii) For a student in the district's category six special20704
education ADM, thirty thousand dollars in fiscal year 2002, thirty 20705
thousand eight hundred forty dollars in fiscal years 2003, 2004, 20706
and 2005, and thirty-one thousand eight hundred dollars in fiscal 20707
years 2006 and 2007thirty-two thousand eight hundred fifty 20708
dollars in fiscal years 2008 and 2009.20709

       (c) The district shall only report under division (C)(3)(a)20710
of this section, and the department shall only pay for, the costs20711
of educational expenses and the related services provided to the20712
student in accordance with the student's individualized education20713
program. Any legal fees, court costs, or other costs associated20714
with any cause of action relating to the student may not be20715
included in the amount.20716

       (4)(a) As used in this division, the "personnel allowance"20717
means thirty thousand dollars in fiscal years 2002, 2003, 2004, 20718
2005, 2006, and 20072008 and 2009.20719

       (b) For the provision of speech language pathology services 20720
to students, including students who do not have individualized 20721
education programs prepared for them under Chapter 3323. of the 20722
Revised Code, and for no other purpose, the department of 20723
education shall pay each school district an amount calculated 20724
under the following formula:20725

(formula ADM divided by 2000) X
20726

the personnel allowance X
20727

the state share percentage
20728

       (5) In any fiscal year, a school district shall spend for20729
purposes that the department designates as approved for special20730
education and related services expenses at least the amount20731
calculated as follows:20732

(
cost-of-doing-business factor X
20733

formula amount X the sum of categories
20734

one through six special education ADM) +
20735

(total special education weight X formula amount)
20736

       The purposes approved by the department for special education20737
expenses shall include, but shall not be limited to,20738
identification of handicapped children, compliance with state20739
rules governing the education of handicapped children and20740
prescribing the continuum of program options for handicapped20741
children, provision of speech language pathology services, and the 20742
portion of the school district's overall administrative and 20743
overhead costs that are attributable to the district's special 20744
education student population.20745

       The scholarships deducted from the school district's account 20746
under section 3310.41 or 3310.55 of the Revised Code shall be 20747
considered to be an approved special education and related 20748
services expense for the purpose of the school district's 20749
compliance with division (C)(5) of this section.20750

       The department shall require school districts to report data20751
annually to allow for monitoring compliance with division (C)(5)20752
of this section. The department shall annually report to the20753
governor and the general assembly the amount of money spent by20754
each school district for special education and related services.20755

       (6) In any fiscal year, a school district shall spend for the 20756
provision of speech language pathology services not less than the 20757
sum of the amount calculated under division (C)(1) of this section 20758
for the students in the district's category one special education 20759
ADM and the amount calculated under division (C)(4) of this 20760
section.20761

       The scholarships deducted from the school district's account 20762
under section 3310.55 of the Revised Code for students counted in 20763
the district's category one special education ADM shall be 20764
considered to be an approved speech language pathology services 20765
expense for the purpose of the school district's compliance with 20766
division (C)(6) of this section.20767

       (D)(1) As used in this division:20768

       (a) "Daily bus miles per student" equals the number of bus20769
miles traveled per day, divided by transportation base.20770

       (b) "Transportation base" equals total student count as20771
defined in section 3301.011 of the Revised Code, minus the number20772
of students enrolled in preschool handicapped units, plus the20773
number of nonpublic school students included in transportation20774
ADM.20775

       (c) "Transported student percentage" equals transportation20776
ADM divided by transportation base.20777

       (d) "Transportation cost per student" equals total operating20778
costs for board-owned or contractor-operated school buses divided20779
by transportation base.20780

       (2) Analysis of student transportation cost data has resulted 20781
in a finding that an average efficient transportation use cost per 20782
student can be calculated by means of a regression formula that 20783
has as its two independent variables the number of daily bus miles 20784
per student and the transported student percentage. For fiscal20785
year 1998 transportation cost data, the average efficient20786
transportation use cost per student is expressed as follows:20787

51.79027 + (139.62626 X daily bus miles per student) +
20788

(116.25573 X transported student percentage)
20789

       The department of education shall annually determine the20790
average efficient transportation use cost per student in20791
accordance with the principles stated in division (D)(2) of this20792
section, updating the intercept and regression coefficients of the20793
regression formula modeled in this division, based on an annual20794
statewide analysis of each school district's daily bus miles per20795
student, transported student percentage, and transportation cost20796
per student data. The department shall conduct the annual update20797
using data, including daily bus miles per student, transported20798
student percentage, and transportation cost per student data, from20799
the prior fiscal year. The department shall notify the office of20800
budget and management of such update by the fifteenth day of20801
February of each year.20802

       (3) In addition to funds paid under divisions (A), (C), and20803
(E) of this section, each district with a transported student20804
percentage greater than zero shall receive a payment equal to a20805
percentage of the product of the district's transportation base20806
from the prior fiscal year times the annually updated average20807
efficient transportation use cost per student, times an inflation20808
factor of two and eight tenths per cent to account for the20809
one-year difference between the data used in updating the formula20810
and calculating the payment and the year in which the payment is20811
made. The percentage shall be the following percentage of that20812
product specified for the corresponding fiscal year:20813

FISCAL YEAR PERCENTAGE 20814
2000 52.5% 20815
2001 55% 20816
2002 57.5% 20817
2003 and thereafter The greater of 60% or the district's state share percentage 20818

       The payments made under division (D)(3) of this section each20819
year shall be calculated based on all of the same prior year's20820
data used to update the formula.20821

       (4) In addition to funds paid under divisions (D)(2) and (3)20822
of this section, a school district shall receive a rough road20823
subsidy if both of the following apply:20824

       (a) Its county rough road percentage is higher than the20825
statewide rough road percentage, as those terms are defined in20826
division (D)(5) of this section;20827

       (b) Its district student density is lower than the statewide20828
student density, as those terms are defined in that division.20829

       (5) The rough road subsidy paid to each district meeting the20830
qualifications of division (D)(4) of this section shall be20831
calculated in accordance with the following formula:20832

(per rough mile subsidy X total rough road miles)
20833

X density multiplier
20834

       where:20835

       (a) "Per rough mile subsidy" equals the amount calculated in20836
accordance with the following formula:20837

0.75 - {0.75 X [(maximum rough road percentage -
20838

county rough road percentage)/(maximum rough road
20839

percentage - statewide rough road percentage)]}
20840

       (i) "Maximum rough road percentage" means the highest county20841
rough road percentage in the state.20842

       (ii) "County rough road percentage" equals the percentage of20843
the mileage of state, municipal, county, and township roads that20844
is rated by the department of transportation as type A, B, C, E2,20845
or F in the county in which the school district is located or, if20846
the district is located in more than one county, the county to20847
which it is assigned for purposes of determining its20848
cost-of-doing-business factor.20849

       (iii) "Statewide rough road percentage" means the percentage20850
of the statewide total mileage of state, municipal, county, and20851
township roads that is rated as type A, B, C, E2, or F by the20852
department of transportation.20853

       (b) "Total rough road miles" means a school district's total20854
bus miles traveled in one year times its county rough road20855
percentage.20856

       (c) "Density multiplier" means a figure calculated in20857
accordance with the following formula:20858

1 - [(minimum student density - district student
20859

density)/(minimum student density -
20860

statewide student density)]
20861

       (i) "Minimum student density" means the lowest district20862
student density in the state.20863

       (ii) "District student density" means a school district's20864
transportation base divided by the number of square miles in the20865
district.20866

       (iii) "Statewide student density" means the sum of the20867
transportation bases for all school districts divided by the sum20868
of the square miles in all school districts.20869

       (6)(a) "Total cost of transportation" is equal to the cost of 20870
transporting qualifying riders using the following types of 20871
transportation:20872

       (i) Board-owned, leased, and operated school buses;20873

       (ii) School bus service contracted from another school, 20874
including transportation in a consortium arrangement on buses 20875
managed and reported by another district or entity;20876

       (iii) Contractor-owned, leased, and operated school buses.20877

       (b) "Qualifying riders" are students transported living over 20878
one mile from school in grades kindergarten through twelve, 20879
including students with dual enrollment in a joint vocational or 20880
cooperative education district, nonpublic school students, and 20881
community school students. Only students eligible for a 20882
transportation payment under section 3327.01 of the Revised Code 20883
shall be included in this count. This count shall be determined as 20884
the average number of students transported during the first full 20885
week of October, and reported as required by the department of 20886
education. Adjustments to this count may be made only in 20887
accordance with rules adopted by the department.20888

       (c) "Nontraditional riders" are those qualifying riders being 20889
educated in a community school or a nonpublic school.20890

       (d) "Total miles" is the total miles driven for all types of 20891
transportation as listed under division (D)(1)(a) of this section.20892

       (e) "Transportation state share percentage" is the district's 20893
state share percentage, as defined in division (B)(2) of this 20894
section, as determined by the department for the district's second 20895
June state education aid payment of the previous fiscal year.20896

       (f) "Assigned bus" means a bus used for transporting regular 20897
education qualifying riders.20898

       (2) For each school district, the department shall determine 20899
the statewide average cost per student as follows:20900

       (a) Determine the district's cost per student by dividing the 20901
total costs of transportation in the previous fiscal year by total 20902
qualifying riders in the previous fiscal year for each district.20903

       (b) Exclude from the determination under division (D)(2)(a) 20904
of this section the ten districts with the highest cost per 20905
student and the ten districts with the lowest cost per student.20906

       (c) After excluding the districts as prescribed in division 20907
(D)(2)(b) of this section, determine the statewide average cost 20908
per student by dividing the aggregate statewide total costs of 20909
transportation by the aggregate statewide total qualifying riders.20910

       (3) For each school district, the department shall determine 20911
the statewide average cost per mile as follows:20912

       (a) Determine the district's cost per mile by dividing the 20913
total costs of transportation in the previous fiscal year by the 20914
total miles in the previous fiscal year for each district.20915

       (b) Exclude from the determination made under division 20916
(D)(3)(a) of this section, the ten districts with the highest cost 20917
per mile and the ten districts with the lowest cost per mile.20918

       (c) After excluding the districts as prescribed in division 20919
(D)(3)(b) of this section, determine the statewide average cost 20920
per mile by dividing the aggregate statewide total miles for all 20921
districts by the aggregate statewide total qualifying riders.20922

       (4) For each school district, the department shall determine 20923
each district's base calculation as follows:20924

       (a) Determine the per student base by multiplying the state 20925
average cost per student as determined under division (D)(2)(a) of 20926
this section by the district's current year total qualifying 20927
riders.20928

       (b) Determine the per mile base by multiplying the state 20929
average cost per mile as determined under division (D)(3)(a) of 20930
this section by the district's current year total miles.20931

       (c) Determine the current year base by multiplying the 20932
greater of the amount determined under division (D)(4)(a) or (b) 20933
of this section by the greater of sixty per cent or the district's 20934
transportation state share percentage as defined under division 20935
(D)(1) of this section.20936

       (5) For each school district, the department calculate the 20937
district's nontraditional student adjustment as follows:20938

       (a) Determine the district's nontraditional student ratio by 20939
dividing total nontraditional riders by total qualifying riders.20940

       (b) Multiply the ratio determined under division (D)(5)(a) of 20941
this section by 0.1.20942

       (c) Multiply the product calculated under division (D)(5)(b) 20943
of this section by the district's current year base.20944

       (6) If a district provides any of the types of transportation 20945
listed in division (D)(1)(a) of this section to all of its high 20946
school students, the department shall multiply the district's 20947
current year base by 0.025.20948

       (7) If a district provides any of the types of transportation 20949
listed in division (D)(1)(a) of this section to students in grades 20950
kindergarten to eight living less than two miles from school but 20951
greater than one mile from school, the district's current year 20952
base shall be multiplied by 0.025.20953

       (8) For each school district, the department shall calculate 20954
an adjustment based upon efficiency. "Efficiency" means the 20955
ability to exceed a target number of riders per assigned bus. The 20956
target value shall be recalculated each year based upon current 20957
year data, and based upon the median riders per assigned bus.20958

       (a) Each district's efficiency target shall be adjusted based 20959
upon its ridership density, using a formula that compares its 20960
ridership density with other districts, and adjusts the ridership 20961
target based upon that relative density.20962

       (b) The efficiency index for each district shall be 20963
determined by dividing each district's current year qualifying 20964
riders per assigned bus by its target riders per assigned bus.20965

       (c) The efficiency adjustment for each district shall be as 20966
follows:20967

       (i) If the district's efficiency index is greater than or 20968
equal to 1.5, the efficiency adjustment is ten per cent times the 20969
current year base.20970

       (ii) If the district's efficiency index is less than 1.5 but 20971
greater than or equal to 1.0, the district's efficiency adjustment 20972
is as follows:20973

       [(the district's efficiency index minus one) divided by five] 20974
times the current year base.20975

       (iii) If the district's efficiency index is less than 1.0, 20976
the district's efficiency adjustment is zero.20977

       (d) The department shall publish on its web site the 20978
efficiency index for each district and the details of how the 20979
index was calculated.20980

       (9) Each district shall be paid the lesser of the amount 20981
described in division (D)(9)(a) or (b) of this section:20982

       (a) The sum of the amounts determined under divisions 20983
(D)(4)(c), (5)(c), (6), (7), and (8)(c) of this section;20984

       (b) The district's total actual cost from the prior fiscal 20985
year.20986

       (10) In addition to funds paid under divisions (D)(2) to (5)20987
division (D)(9) of this section, each district shall receive in 20988
accordance with rules adopted by the state board of education a 20989
payment for students transported by means other than board-owned 20990
or contractor-operated buses and whose transportation is not 20991
funded under division (G) of section 3317.024 of the Revised Code. 20992
The rules shall include provisions for school district reporting 20993
of such students.20994

       (E)(1) The department shall compute and distribute state20995
vocational education additional weighted costs funds to each20996
school district in accordance with the following formula:20997

state share percentage X
20998

the formula amount X
20999

total vocational education weight
21000

       In any fiscal year, a school district receiving funds under21001
division (E)(1) of this section shall spend those funds only for21002
the purposes that the department designates as approved for21003
vocational education expenses. Vocational educational expenses 21004
approved by the department shall include only expenses connected 21005
to the delivery of career-technical programming to 21006
career-technical students. The department shall require the school 21007
district to report data annually so that the department may 21008
monitor the district's compliance with the requirements regarding 21009
the manner in which funding received under division (E)(1) of this 21010
section may be spent.21011

       (2) The department shall compute for each school district21012
state funds for vocational education associated services in21013
accordance with the following formula:21014

state share percentage X .05 X the formula amount X
21015

the sum of categories one and two vocational education ADM
21016

       In any fiscal year, a school district receiving funds under21017
division (E)(2) of this section, or through a transfer of funds21018
pursuant to division (L) of section 3317.023 of the Revised Code,21019
shall spend those funds only for the purposes that the department21020
designates as approved for vocational education associated21021
services expenses, which may include such purposes as21022
apprenticeship coordinators, coordinators for other vocational21023
education services, vocational evaluation, and other purposes21024
designated by the department. The department may deny payment21025
under division (E)(2) of this section to any district that the21026
department determines is not operating those services or is using21027
funds paid under division (E)(2) of this section, or through a21028
transfer of funds pursuant to division (L) of section 3317.023 of21029
the Revised Code, for other purposes.21030

       (F) The actual local share in any fiscal year for the21031
combination of special education and related services additional21032
weighted costs funding calculated under division (C)(1) of this21033
section, transportation funding calculated under divisions (D)(2)21034
and (3) of this section, and vocational education and associated21035
services additional weighted costs funding calculated under21036
divisions (E)(1) and (2) of this section shall not exceed for any21037
school district the product of three and three-tenths mills times 21038
the district's recognized valuation. The department annually shall 21039
pay each school district as an excess cost supplement any amount 21040
by which the sum of the district's attributed local shares for 21041
that funding exceeds that product. For purposes of calculating the21042
excess cost supplement:21043

       (1) The attributed local share for special education and21044
related services additional weighted costs funding is the amount21045
specified in division (C)(2) of this section.21046

       (2) The attributed local share of transportation funding21047
equals the difference of the total amount calculated for the21048
district using the formula developed under division (D)(2) of this21049
section minus the actual amount paid to the district after21050
applying the percentage specified in division (D)(3) of this21051
sectionone hundred one per cent of the district's local share of 21052
transportation funding calculated by the department for the 21053
previous fiscal year.21054

       (3) The attributed local share of vocational education and21055
associated services additional weighted costs funding is the21056
amount determined as follows:21057

(1 - state share percentage) X
21058

[(total vocational education weight X
21059

the formula amount) + the payment under
21060

division (E)(2) of this section]
21061

       Sec. 3317.023.  (A) Notwithstanding section 3317.022 of the21062
Revised Code, the amounts required to be paid to a district under21063
this chapter shall be adjusted by the amount of the computations21064
made under divisions (B) to (O)(P) of this section.21065

       As used in this section:21066

       (1) "Classroom teacher" means a licensed employee who21067
provides direct instruction to pupils, excluding teachers funded21068
from money paid to the district from federal sources; educational21069
service personnel; and vocational and special education teachers.21070

       (2) "Educational service personnel" shall not include such21071
specialists funded from money paid to the district from federal21072
sources or assigned full-time to vocational or special education21073
students and classes and may only include those persons employed21074
in the eight specialist areas in a pattern approved by the21075
department of education under guidelines established by the state21076
board of education.21077

       (3) "Annual salary" means the annual base salary stated in21078
the state minimum salary schedule for the performance of the21079
teacher's regular teaching duties that the teacher earns for21080
services rendered for the first full week of October of the fiscal21081
year for which the adjustment is made under division (C) of this21082
section. It shall not include any salary payments for supplemental 21083
teachers contracts.21084

       (4) "Regular student population" means the formula ADM plus21085
the number of students reported as enrolled in the district21086
pursuant to division (A)(1) of section 3313.981 of the Revised21087
Code; minus the number of students reported under division (A)(2)21088
of section 3317.03 of the Revised Code; minus the FTE of students21089
reported under division (B)(6), (7), (8), (9), (10), (11), or (12) 21090
of that section who are enrolled in a vocational education class 21091
or receiving special education; and minus twenty per cent of the21092
students enrolled concurrently in a joint vocational school21093
district.21094

       (5) "State share percentage" has the same meaning as in21095
section 3317.022 of the Revised Code.21096

       (6) "VEPD" means a school district or group of school21097
districts designated by the department of education as being21098
responsible for the planning for and provision of vocational21099
education services to students within the district or group.21100

       (7) "Lead district" means a school district, including a21101
joint vocational school district, designated by the department as21102
a VEPD, or designated to provide primary vocational education21103
leadership within a VEPD composed of a group of districts.21104

       (B) If the district employs less than one full-time21105
equivalent classroom teacher for each twenty-five pupils in the21106
regular student population in any school district, deduct the sum21107
of the amounts obtained from the following computations:21108

       (1) Divide the number of the district's full-time equivalent21109
classroom teachers employed by one twenty-fifth;21110

       (2) Subtract the quotient in (1) from the district's regular21111
student population;21112

       (3) Multiply the difference in (2) by seven hundred fifty-two 21113
dollars.21114

       (C) If a positive amount, add one-half of the amount obtained 21115
by multiplying the number of full-time equivalent classroom 21116
teachers by:21117

       (1) The mean annual salary of all full-time equivalent21118
classroom teachers employed by the district at their respective21119
training and experience levels minus;21120

       (2) The mean annual salary of all such teachers at their21121
respective levels in all school districts receiving payments under21122
this section.21123

       The number of full-time equivalent classroom teachers used in21124
this computation shall not exceed one twenty-fifth of the21125
district's regular student population. In calculating the21126
district's mean salary under this division, those full-time21127
equivalent classroom teachers with the highest training level21128
shall be counted first, those with the next highest training level21129
second, and so on, in descending order. Within the respective21130
training levels, teachers with the highest years of service shall21131
be counted first, the next highest years of service second, and so21132
on, in descending order.21133

       (D) This division does not apply to a school district that21134
has entered into an agreement under division (A) of section21135
3313.42 of the Revised Code. Deduct the amount obtained from the21136
following computations if the district employs fewer than five21137
full-time equivalent educational service personnel, including21138
elementary school art, music, and physical education teachers,21139
counselors, librarians, visiting teachers, school social workers,21140
and school nurses for each one thousand pupils in the regular21141
student population:21142

       (1) Divide the number of full-time equivalent educational21143
service personnel employed by the district by five21144
one-thousandths;21145

       (2) Subtract the quotient in (1) from the district's regular21146
student population;21147

       (3) Multiply the difference in (2) by ninety-four dollars.21148

       (E) If a local school district, or a city or exempted village 21149
school district to which a governing board of an educational 21150
service center provides services pursuant to section 3313.843 of 21151
the Revised Code, deduct the amount of the payment required for 21152
the reimbursement of the governing board under section 3317.11 of 21153
the Revised Code.21154

       (F)(1) If the district is required to pay to or entitled to21155
receive tuition from another school district under division (C)(2)21156
or (3) of section 3313.64 or section 3313.65 of the Revised Code,21157
or if the superintendent of public instruction is required to21158
determine the correct amount of tuition and make a deduction or21159
credit under section 3317.08 of the Revised Code, deduct and21160
credit such amounts as provided in division (J) of section 3313.6421161
or section 3317.08 of the Revised Code.21162

       (2) For each child for whom the district is responsible for21163
tuition or payment under division (A)(1) of section 3317.082 or21164
section 3323.091 of the Revised Code, deduct the amount of tuition21165
or payment for which the district is responsible.21166

       (G) If the district has been certified by the superintendent21167
of public instruction under section 3313.90 of the Revised Code as21168
not in compliance with the requirements of that section, deduct an21169
amount equal to ten per cent of the amount computed for the21170
district under section 3317.022 of the Revised Code.21171

       (H) If the district has received a loan from a commercial21172
lending institution for which payments are made by the21173
superintendent of public instruction pursuant to division (E)(3)21174
of section 3313.483 of the Revised Code, deduct an amount equal to21175
such payments.21176

       (I)(1) If the district is a party to an agreement entered21177
into under division (D), (E), or (F) of section 3311.06 or21178
division (B) of section 3311.24 of the Revised Code and is21179
obligated to make payments to another district under such an21180
agreement, deduct an amount equal to such payments if the district21181
school board notifies the department in writing that it wishes to21182
have such payments deducted.21183

       (2) If the district is entitled to receive payments from21184
another district that has notified the department to deduct such21185
payments under division (I)(1) of this section, add the amount of21186
such payments.21187

       (J) If the district is required to pay an amount of funds to21188
a cooperative education district pursuant to a provision described21189
by division (B)(4) of section 3311.52 or division (B)(8) of21190
section 3311.521 of the Revised Code, deduct such amounts as21191
provided under that provision and credit those amounts to the21192
cooperative education district for payment to the district under21193
division (B)(1) of section 3317.19 of the Revised Code.21194

       (K)(1) If a district is educating a student entitled to21195
attend school in another district pursuant to a shared education21196
contract, compact, or cooperative education agreement other than21197
an agreement entered into pursuant to section 3313.842 of the21198
Revised Code, credit to that educating district on an FTE basis 21199
both of the following:21200

       (a) An amount equal to the greater of the following:21201

       (i) The fiscal year 2005 formula amount times the fiscal year 21202
2005 cost of doing business factor of the school district where 21203
the student is entitled to attend school pursuant to section 21204
3313.64 or 3313.65 of the Revised Code;21205

       (ii) The sum of (the current formula amount times the current 21206
cost-of-doing-business factor of the school district when the 21207
student is entitled to attend school pursuant to section 3313.64 21208
or 3313.65 of the Revised Code) plus the per pupil amount of the 21209
base funding supplements specified in divisions (C)(1) to (4) of 21210
section 3317.012 of the Revised Code.21211

       (b) An amount equal to the current formula amount times the 21212
state share percentage times any multiple applicable to the 21213
student pursuant to section 3317.013 or 3317.014 of the Revised 21214
Code.21215

       (2) Deduct any amount credited pursuant to division (K)(1) of21216
this section from amounts paid to the school district in which the 21217
student is entitled to attend school pursuant to section 3313.64 21218
or 3313.65 of the Revised Code.21219

       (3) If the district is required by a shared education21220
contract, compact, or cooperative education agreement to make21221
payments to an educational service center, deduct the amounts from21222
payments to the district and add them to the amounts paid to the21223
service center pursuant to section 3317.11 of the Revised Code.21224

       (L)(1) If a district, including a joint vocational school21225
district, is a lead district of a VEPD, credit to that district21226
the amounts calculated for all the school districts within that21227
VEPD pursuant to division (E)(2) of section 3317.022 of the21228
Revised Code.21229

       (2) Deduct from each appropriate district that is not a lead21230
district, the amount attributable to that district that is21231
credited to a lead district under division (L)(1) of this section.21232

       (M) If the department pays a joint vocational school district 21233
under division (G)(4) of section 3317.16 of the Revised Code for 21234
excess costs of providing special education and related services 21235
to a handicapped student, as calculated under division (G)(2) of 21236
that section, the department shall deduct the amount of that 21237
payment from the city, local, or exempted village school district 21238
that is responsible as specified in that section for the excess 21239
costs.21240

       (N)(1) If the district reports an amount of excess cost for 21241
special education services for a child under division (C) of 21242
section 3323.14 of the Revised Code, the department shall pay that 21243
amount to the district.21244

       (2) If the district reports an amount of excess cost for 21245
special education services for a child under division (C) of 21246
section 3323.14 of the Revised Code, the department shall deduct 21247
that amount from the district of residence of that child.21248

       (O) If the department of job and family services presents to 21249
the department of education a payment request through an 21250
intrastate transfer voucher for the nonfederal share of 21251
reimbursements made to a school district for medicaid services 21252
provided by the district, the department of education shall pay 21253
the amount of that request to the department of job and family 21254
services and shall deduct the amount of that payment from the 21255
district.21256

       (P) If the department is required to pay an amount under 21257
section 3353.25 of the Revised Code to a school district 21258
delivering a course included in the clearinghouse established 21259
under section 3353.21 of the Revised Code for a student enrolled 21260
in a school district, the department shall deduct that amount from 21261
the school district in which the student is enrolled.21262

       Sec. 3317.024.  In addition to the moneys paid to eligible21263
school districts pursuant to section 3317.022 of the Revised Code,21264
moneys appropriated for the education programs in divisions (A) to21265
(I), (K), (L), and (N) of this section shall be distributed to 21266
school districts meeting the requirements of section 3317.01 of 21267
the Revised Code; in the case of divisions (G) and (L) of this21268
section, to educational service centers as provided in section21269
3317.11 of the Revised Code; in the case of divisions (D) and (J) 21270
of this section, to county MR/DD boards; in the case of division 21271
(N) of this section, to joint vocational school districts; in the21272
case of division (H) of this section, to cooperative education 21273
school districts; and in the case of division (M) of this section, 21274
to the institutions defined under section 3317.082 of the Revised 21275
Code providing elementary or secondary education programs to 21276
children other than children receiving special education under 21277
section 3323.091 of the Revised Code. The following shall be 21278
distributed monthly, quarterly, or annually as may be determined 21279
by the state board of education:21280

       (A) An amount for each island school district and each joint21281
state school district for the operation of each high school and21282
each elementary school maintained within such district and for21283
capital improvements for such schools. Such amounts shall be21284
determined on the basis of standards adopted by the state board of21285
education.21286

       (B) An amount for each school district operating classes for21287
children of migrant workers who are unable to be in attendance in21288
an Ohio school during the entire regular school year. The amounts21289
shall be determined on the basis of standards adopted by the state21290
board of education, except that payment shall be made only for21291
subjects regularly offered by the school district providing the21292
classes.21293

       (C) An amount for each school district with guidance,21294
testing, and counseling programs approved by the state board of21295
education. The amount shall be determined on the basis of21296
standards adopted by the state board of education.21297

       (D) An amount for the emergency purchase of school buses as21298
provided for in section 3317.07 of the Revised Code;21299

       (E) An amount for each school district required to pay21300
tuition for a child in an institution maintained by the department21301
of youth services pursuant to section 3317.082 of the Revised21302
Code, provided the child was not included in the calculation of21303
the district's average daily membership for the preceding school21304
year.21305

       (F) An amount for adult basic literacy education for each21306
district participating in programs approved by the state board of21307
education. The amount shall be determined on the basis of21308
standards adopted by the state board of education.21309

       (G) An amount for the approved cost of transporting eligible 21310
pupils with disabilities attending a special education program 21311
approved by the department of education whom it is impossible or21312
impractical to transport by regular school bus in the course of21313
regular route transportation provided by the district or service21314
center. No district or service center is eligible to receive a21315
payment under this division for the cost of transporting any pupil21316
whom it transports by regular school bus and who is included in21317
the district's transportation ADM. The state board of education21318
shall establish standards and guidelines for use by the department21319
of education in determining the approved cost of such21320
transportation for each district or service center.21321

       (H) An amount to each school district, including each21322
cooperative education school district, pursuant to section 3313.8121323
of the Revised Code to assist in providing free lunches to needy21324
children and an amount to assist needy school districts in21325
purchasing necessary equipment for food preparation. The amounts21326
shall be determined on the basis of rules adopted by the state21327
board of education.21328

       (I) An amount to each school district, for each pupil21329
attending a chartered nonpublic elementary or high school within21330
the district. The amount shall equal the amount appropriated for21331
the implementation of section 3317.06 of the Revised Code divided21332
by the average daily membership in grades kindergarten through21333
twelve in nonpublic elementary and high schools within the state21334
as determined during the first full week in October of each school21335
year.21336

       (J) An amount for each county MR/DD board, distributed on the 21337
basis of standards adopted by the state board of education, for 21338
the approved cost of transportation required for children21339
attending special education programs operated by the county MR/DD21340
board under section 3323.09 of the Revised Code;21341

       (K) An amount for each school district that establishes a21342
mentor teacher program that complies with rules of the state board21343
of education. No school district shall be required to establish or21344
maintain such a program in any year unless sufficient funds are21345
appropriated to cover the district's total costs for the program.21346

       (L) An amount to each school district or educational service21347
center for the total number of gifted units approved pursuant to21348
section 3317.05 of the Revised Code. The amount for each such unit 21349
shall be the sum of the minimum salary for the teacher of the21350
unit, calculated on the basis of the teacher's training level and21351
years of experience pursuant to the salary schedule prescribed in21352
the version of section 3317.13 of the Revised Code in effect prior21353
to July 1, 2001, plus fifteen per cent of that minimum salary21354
amount, plus two thousand six hundred seventy-eight dollars.21355

       (M) An amount to each institution defined under section21356
3317.082 of the Revised Code providing elementary or secondary21357
education to children other than children receiving special21358
education under section 3323.091 of the Revised Code. This amount21359
for any institution in any fiscal year shall equal the total of21360
all tuition amounts required to be paid to the institution under21361
division (A)(1) of section 3317.082 of the Revised Code.21362

       (N) A grant to each school district and joint vocational21363
school district that operates a "graduation, reality, and21364
dual-role skills" (GRADS) program for pregnant and parenting21365
students that is approved by the department. The amount of the21366
payment shall be the district's state share percentage, as defined21367
in section 3317.022 or 3317.16 of the Revised Code, times the21368
GRADS personnel allowance times the full-time-equivalent number of21369
GRADS teachers approved by the department. The GRADS personnel21370
allowance is $47,555 in fiscal years 2004, 2005, 2006, and 200721371
2008 and 2009.21372

       The state board of education or any other board of education21373
or governing board may provide for any resident of a district or21374
educational service center territory any educational service for21375
which funds are made available to the board by the United States21376
under the authority of public law, whether such funds come21377
directly or indirectly from the United States or any agency or21378
department thereof or through the state or any agency, department,21379
or political subdivision thereof.21380

       Sec. 3317.025.  On or before the first day of June of each21381
year, the tax commissioner shall certify the following information21382
to the department of education and the office of budget and 21383
management, for each school district in which the value of the 21384
property described under division (A) of this section exceeds one 21385
per cent of the taxable value of all real and tangible personal 21386
property in the district or in which is located tangible personal 21387
property designed for use or used in strip mining operations, 21388
whose taxable value exceeds five million dollars, and the taxes 21389
upon which the district is precluded from collecting by virtue of 21390
legal proceedings to determine the value of such property:21391

       (A) The total taxable value of all property in the district21392
owned by a public utility or railroad that has filed a petition21393
for reorganization under the "Bankruptcy Act," 47 Stat. 147421394
(1898), 11 U.S.C. 205, as amended, and all tangible personal21395
property in the district designed for use or used in strip mining21396
operations whose taxable value exceeds five million dollars upon21397
which have not been paid in full on or before the first day of21398
April of that calendar year all real and tangible personal21399
property taxes levied for the preceding calendar year and which21400
the district was precluded from collecting by virtue of21401
proceedings under section 205 of said act or by virtue of legal21402
proceedings to determine the tax liability of such strip mining21403
equipment;21404

       (B) The percentage of the total operating taxes charged and21405
payable for school district purposes levied against such valuation21406
for the preceding calendar year that have not been paid by such21407
date;21408

       (C) The product obtained by multiplying the value certified21409
under division (A) of this section by the percentage certified21410
under division (B) of this section. If the value certified under21411
division (A) of this section includes taxable property owned by a21412
public utility or railroad that has filed a petition for21413
reorganization under the bankruptcy act, the amount used in making21414
the calculation under this division shall be reduced by one per21415
cent of the total value of all real and tangible personal property21416
in the district or the value of the utility's or railroad's21417
property, whichever is less.21418

       Upon receipt of the certification, the department shall21419
recompute the payments required under section 3317.022 of the21420
Revised Code in the manner the payments would have been computed21421
if:21422

       (1) The amount certified under division (C) of this section21423
was not subject to taxation by the district and was not included21424
in the certification made under division (A)(1), (A)(2), or (D) of21425
section 3317.021 of the Revised Code.21426

       (2) The amount of taxes charged and payable and unpaid and21427
used to make the computation under division (B) of this section21428
had not been levied and had not been used in the computation21429
required by division (B) of section 3317.021 of the Revised Code. 21430
The department shall pay the district that amount in the ensuing21431
fiscal year in lieu of the amounts computed under section 3317.02221432
of the Revised Code.21433

       If a school district received a grant from the catastrophic21434
expenditures account pursuant to division (C) of section 3316.2021435
of the Revised Code on the basis of the same circumstances for21436
which a recomputation is made under this section, the amount of21437
the recomputation shall be reduced and transferred in accordance21438
with division (C) of section 3316.20 of the Revised Code.21439

       Sec. 3317.026.  (A) As used in this section, "refunded taxes" 21440
means taxes charged and payable from real and tangible personal 21441
property, including public utility property, that have been found 21442
to have been overpaid as the result of reductions in the taxable 21443
value of such property and that have been refunded, including any 21444
interest or penalty refunded with those taxes. If taxes are 21445
refunded over a period of time pursuant to division (B)(2), (3), 21446
or (4) of section 319.36 or division (C) of section 5727.471 of 21447
the Revised Code, the total amount of taxes required to be 21448
refunded, excluding any interest accruing after the day the21449
undertaking is entered into, shall be considered to have been21450
refunded on the day the first portion of the overpayment is paid21451
or credited.21452

       (B) Not later than the last day of February each year, each21453
county auditor shall certify to the tax commissioner, for each21454
school district in the county, the amount of refunded taxes21455
refunded in the preceding calendar year and the reductions in21456
taxable value that resulted in those refunds, except for21457
reductions in taxable value that previously have been reported to21458
the tax commissioner on an abstract. If the tax commissioner21459
determines that the amount of refunded taxes certified for a21460
school district exceeds three per cent of the total taxes charged21461
and payable for current expenses of the school district for the21462
calendar year in which those taxes were refunded, the tax21463
commissioner shall certify the reductions in taxable value that21464
resulted in those refunds on or before the first day of June to21465
the department of education and the office of budget and 21466
management. Upon receiving the certification by the tax 21467
commissioner, the department of education shall reduce the total 21468
taxable value of the school district, as defined in section21469
3317.02 of the Revised Code, by the total amount of the reductions21470
in taxable value that resulted in those refunds for the purpose of21471
computing the SF-3 paymentstate education aid for the school 21472
district for the current fiscal year. The increase in the amount 21473
of such aid resulting from the adjustment required by this section 21474
shall be paid to the school district on or before the thirty-first 21475
day of July of the following fiscal year. The payment date shall 21476
be determined by the director of budget and management. The 21477
director shall select a payment date that is not earlier than the 21478
first day of June of the current fiscal year and not later than 21479
the thirty-first day of July of the following fiscal year. The 21480
department of education shall not pay the district under this 21481
section prior to approval by the director of budget and management 21482
to make that payment.21483

       If an adjustment is made under this division in the amount of 21484
state aid paid to a school district, the tax value reductions from 21485
which that adjustment results shall not be used in recomputing aid 21486
to a school district under section 3317.027 of the Revised Code.21487

       (C) If a school district received a grant from the21488
catastrophic expenditures account pursuant to division (C) of21489
section 3316.20 of the Revised Code on the basis of the same21490
circumstances for which an adjustment is made under this section,21491
the amount of the adjustment shall be reduced and transferred in21492
accordance with division (C) of section 3316.20 of the Revised21493
Code.21494

       (D) Not later than the first day of June each year, the tax21495
commissioner shall certify to the department of education and the 21496
office of budget and management for each school district the total 21497
of the increases in taxable value above the amount of taxable 21498
value on which tax was paid, as provided in division (B)(1) or (2) 21499
of section 5727.47 of the Revised Code, as determined by the 21500
commissioner, and for which a notification was sent pursuant to 21501
section 5727.471 of the Revised Code, in the preceding calendar 21502
year. Upon receiving the certification, the department shall 21503
increase the total taxable value, as defined in section 3317.02 of 21504
the Revised Code, of the school district by the total amount of 21505
the increase in taxable value certified by the commissioner for21506
the school district for the purpose of computing the school21507
district's SF-3 paymentstate education aid for the following 21508
fiscal year.21509

       Sec. 3317.027.  On or before the fifteenth day of May of each21510
year, the tax commissioner shall certify to the department of21511
education and the office of budget and management:21512

       (A) The amount by which applications filed under section21513
5713.38 of the Revised Code or complaints filed under section21514
5715.19 of the Revised Code resulted in a reduction in the second21515
preceding year's taxable value in each school district in which21516
such a reduction occurred, and the amount by which such reduction21517
reduced the district's taxes charged and payable for such year;21518
and21519

       (B) The taxes charged and payable for the second preceding21520
tax year that were remitted under section 5713.081 of the Revised21521
Code and the taxable value against which such taxes were imposed.21522

       Upon receipt of such certifications, the department shall21523
recompute the district's SF-3 paymentstate education aid and 21524
determine the amount that the SF-3 paymentstate education aid21525
would have been paid had the taxable value not been used in the21526
computation made under division (A)(1) of section 3317.021 of the21527
Revised Code and had the taxes charged and payable not been 21528
included in the certification made under division (A)(3) of such 21529
section. The department shall calculate the amount that the 21530
remainder of the fiscal year's payments should have been for the 21531
fiscal year including the amount of the SF-3 paymentstate 21532
education aid as recomputed. The increase or decrease in the 21533
amount of aid resulting from the adjustment required under this 21534
section shall be paid to the school district on or before the 21535
thirty-first day of July of the following fiscal year. The payment 21536
date shall be determined by the director of budget and management. 21537
The director shall select a payment date that is not earlier than 21538
the first day of June of the current fiscal year and not later 21539
than the thirty-first day of July of the following fiscal year. 21540
The department of education shall not pay the district under this 21541
section prior to approval by the director of budget and management 21542
to make that payment.21543

       If a school district received a grant from the catastrophic21544
expenditures account pursuant to division (C) of section 3316.2021545
of the Revised Code on the basis of the same circumstances for21546
which a recomputation is made under this section, the amount of21547
the recomputation shall be reduced and transferred in accordance21548
with division (C) of section 3316.20 of the Revised Code.21549

       Sec. 3317.028.  (A) On or before the fifteenth day of May in21550
each calendar year prior to calendar year 2007, the tax 21551
commissioner shall determine for each school district whether the 21552
taxable value of all tangible personal property, including utility 21553
tangible personal property, subject to taxation by the district in 21554
the preceding tax year was less or greater than the taxable value 21555
of such property during the second preceding tax year. If any such 21556
decrease exceeds five per cent of the district's tangible personal 21557
property taxable value included in the total taxable value used in 21558
computing the district's SF-3 paymentstate education aid for the 21559
fiscal year that ends in the current calendar year, or if any such 21560
increase exceeds five per cent of the district's total taxable 21561
value used in computing the district's SF-3 paymentstate 21562
education aid for the fiscal year that ends in the current 21563
calendar year, the tax commissioner shall certify both of the21564
following to the department of education and the office of budget 21565
and management:21566

       (1) The taxable value of the tangible personal property21567
increase or decrease, including utility tangible personal property21568
increase or decrease, which shall be considered a change in21569
valuation;21570

       (2) The decrease or increase in taxes charged and payable on21571
such change in taxable value calculated in the same manner as in21572
division (A)(3) of section 3317.021 of the Revised Code.21573

       (B) On or before May 15, 2007, and the fifteenth day of May 21574
in each calendar year thereafter, the tax commissioner shall 21575
determine for each school district whether the taxable value of 21576
all utility tangible personal property subject to taxation by the 21577
district in the preceding tax year was less or greater than the 21578
taxable value of such property during the second preceding tax 21579
year. If any decrease exceeds five per cent of the district's 21580
tangible personal property taxable value included in the total 21581
taxable value used in the district's state aid computation for the 21582
fiscal year that ends in the current calendar year, or if any 21583
increase exceeds five per cent of the district's total taxable 21584
value used in the district's state education aid computation for 21585
the fiscal year that ends in the current calendar year, the tax 21586
commissioner shall certify both of the following to the department 21587
of education and the office of budget and management:21588

       (1) The taxable value of the utility tangible personal 21589
property increase or decrease, which shall be considered a change 21590
in valuation;21591

       (2) The decrease or increase in taxes charged and payable on 21592
such change in taxable value calculated in the same manner as in 21593
division (A)(3) of section 3317.021 of the Revised Code.21594

       (C) Upon receipt of a certification specified in this 21595
section, the department of education shall reduce or increase by 21596
the respective amounts certified and the taxable value and the 21597
taxes charged and payable that were used in computing the 21598
district's SF-3 paymentstate education aid for the fiscal year 21599
that ends in the current calendar year and shall recompute the 21600
SF-3 paymentstate education aid for such fiscal year. The 21601
department shall pay the district a sum equal to one-half of the 21602
recomputed payments in lieu of the payments otherwise required21603
under that section on or before the thirty-first day of July of 21604
the following fiscal yearto or deduct from the district an amount 21605
equal to one-half of the difference between the district's state 21606
education aid prior to the recomputation under this section and 21607
the district's recomputed state education aid. The payment date 21608
shall be determined by the director of budget and management. The 21609
director shall select a payment date that is not earlier than the 21610
first day of June of the current fiscal year and not later than 21611
the thirty-first day of July of the following fiscal year. The 21612
department of education shall not pay the district under this 21613
section prior to approval by the director of budget and management 21614
to make that payment.21615

       (D) If a school district received a grant from the21616
catastrophic expenditures account pursuant to division (C) of21617
section 3316.20 of the Revised Code on the basis of the same21618
circumstances for which a recomputation is made under this21619
section, the amount of the recomputation shall be reduced and21620
transferred in accordance with division (C) of section 3316.20 of21621
the Revised Code.21622

       Sec. 3317.029.  (A) As used in this section:21623

       (1) "Poverty percentage" means the quotient obtained by21624
dividing the five-year average number of children ages five to21625
seventeen residing in the school district and living in a family21626
receiving assistance under the Ohio works first program or an 21627
antecedent program known as TANF or ADC for the preceding five 21628
years, as certified or adjusted under section 3317.10 of the 21629
Revised Code, by the district's three-year average formula ADM.21630

       (2) "Statewide poverty percentage" means the five-year21631
average of the total number of children ages five to seventeen21632
years residing in the state and receiving assistance under the21633
Ohio works first program or an antecedent program known as TANF or21634
ADC for the preceding five years, divided by the sum of the 21635
three-year average formula ADMs for all school districts in the 21636
state.21637

       (3) "Poverty index" means the quotient obtained by dividing 21638
the school district's poverty percentage by the statewide poverty 21639
percentage.21640

       (4) "Poverty student count" means the five-year average 21641
number of children ages five to seventeen residing in the school 21642
district and living in a family receiving assistance under the 21643
Ohio works first program or an antecedent program known as TANF or 21644
ADC for the preceding five years, as certified under section 21645
3317.10 of the Revised Code.21646

       (5) "Kindergarten ADM" means the number of students reported21647
under section 3317.03 of the Revised Code as enrolled in21648
kindergarten, excluding any kindergarten students reported under 21649
division (B)(3)(e), (f), or (g) of section 3317.03 of the Revised 21650
Code.21651

       (6) "Kindergarten through third grade ADM" means the amount21652
calculated as follows:21653

       (a) Multiply the kindergarten ADM by the sum of one plus the21654
all-day kindergarten percentage;21655

       (b) Add the number of students in grades one through three;21656

       (c) Subtract from the sum calculated under division (A)(6)(b) 21657
of this section the number of special education students in grades 21658
kindergarten through three.21659

        "Kindergarten through third grade ADM" shall not include any 21660
students reported under division (B)(3)(e), (f), or (g) of section 21661
3317.03 of the Revised Code.21662

       (7) "All-day kindergarten" means a kindergarten class that is21663
in session five days per week for not less than the same number of21664
clock hours each day as for pupils in grades one through six.21665

       (8) "All-day kindergarten percentage" means the percentage of21666
a district's actual total number of students enrolled in21667
kindergarten who are enrolled in all-day kindergarten.21668

       (9) "All-day kindergarten ADM" means the number of students 21669
reported under section 3317.03 of the Revised Code as enrolled in 21670
all-day kindergarten, excluding any kindergarten students reported 21671
under division (B)(3)(e), (f), or (g) of that section.21672

       (10) "Academic distress percentage" means the quotient of the 21673
number of district-operated buildings in the school district 21674
designated under section 3302.03 of the Revised Code as in a state 21675
of academic watch or academic emergency, divided by the total 21676
number of buildings in the district that were open for instruction 21677
during the same school year to which the ratings apply.21678

       (11) "Statewide academic distress percentage" means the 21679
quotient of the statewide number of school district buildings and 21680
community schools designated under section 3302.03 of the Revised 21681
Code as in a state of academic watch or academic emergency, 21682
divided by the statewide total number of school district buildings 21683
and community schools that were open for instruction during the 21684
same school year to which the ratings apply.21685

       (12) "Academic distress index" means the quotient of the 21686
school district's academic distress percentage, divided by the 21687
statewide academic distress percentage.21688

       (13) "Buildings with the highest concentration of need" means21689
the school buildings in a district withthat meet either of the 21690
following criteria:21691

       (a) Are in school improvement status pursuant to the "No 21692
Child Left Behind Act of 2001," as defined in section 3302.01 of 21693
the Revised Code;21694

       (b) Have percentages of students in grades kindergarten21695
through three receiving assistance under Ohio works first at least 21696
as high as the district-wide percentage of students receiving such21697
assistance. However, the district shall give priority to any of 21698
those buildings that have been declared to be in a state of 21699
academic watch or academic emergency under section 3302.03 of the 21700
Revised Code.21701

        If, in any fiscal year, the information provided by the21702
department of job and family services under section 3317.10 of the21703
Revised Code is insufficient to determine the Ohio works first 21704
percentage in each building, "buildings with the highest 21705
concentration of need" has the meaning given in rules that the 21706
department of education shall adopt. The rules shall base the21707
definition of "buildings with the highest concentration of need"21708
on family income of students in grades kindergarten through three21709
in a manner that, to the extent possible with available data,21710
approximates the intent of this division and division (K) of this21711
section to designate buildings where the Ohio works first 21712
percentage in those grades equals or exceeds the district-wide21713
Ohio works first percentage.21714

       (B) In addition to the amounts required to be paid to a21715
school district under section 3317.022 of the Revised Code, the21716
The department of education shall compute and distribute tofor21717
each school district for poverty-based assistance the greater of 21718
the following:21719

       (1) The amount the district received in fiscal year 2005 for 21720
disadvantaged pupil impact aid pursuant to Section 41.10 of Am. 21721
Sub. H.B. 95 of the 125th general assembly, as amended, minus the 21722
amount deducted from the district under Section 16 of Am. Sub. 21723
S.B. 2 of the 125th general assembly that year for payments to 21724
internet- and computer-based community schools;21725

       (2) The sum of the computations made under divisions (C) to 21726
(I)(J) of this section and shall pay that sum to the district in 21727
accordance with division (A) of section 3317.022 of the Revised 21728
Code.21729

       (C) A payment for academic intervention programs, if the 21730
district's poverty index is greater than or equal to 0.25, 21731
calculated as follows:21732

       (1) If the district's poverty index is greater than or equal 21733
to 0.25, calculate the district's level one amount for large-group 21734
academic intervention for all students as follows:21735

        (a) If the district's poverty index is greater than or equal 21736
to 0.25 but less than 0.75:21737

large-group intervention units X hourly rate X
21738

level one hours X [(poverty index – 0.25)/0.5]
21739

X phase-in percentage
21740

        Where:21741

        (i) "Large-group intervention units" equals the district's 21742
formula ADM divided by 20;21743

        (ii) "Hourly rate" equals $20.00$21.01 in fiscal year 200621744
2008 and $20.40$21.64 in fiscal year 20072009;21745

        (iii) "Level one hours" equals 25 hours;21746

       (iv) "Phase-in percentage" equals 0.60 in fiscal year 2006 21747
and 1.00 in fiscal year 2007.21748

        (b) If the district's poverty index is greater than or equal 21749
to 0.75:21750

large-group intervention units X hourly rate X
21751

level one hours
X phase-in percentage
21752

        Where "large-group intervention units," "hourly rate," and21753
"level one hours," and "phase-in percentage" have the same 21754
meanings as in division (C)(1)(a) of this section.21755

        (2) If the district's poverty index is greater than or equal 21756
to 0.75, calculate the district's level two amount for 21757
medium-group academic intervention for all students as follows:21758

        (a) If the district's poverty index is greater than or equal 21759
to 0.75 but less than 1.50:21760

medium-group intervention units X hourly rate
21761

X {level one hours + [25 hours X ((poverty index – 0.75)/0.75)]}
21762

X phase-in percentage
21763

        Where:21764

       (i) "Medium group intervention units" equals the district's 21765
formula ADM divided by 15;21766

       (ii) "Hourly rate," and "level one hours," and "phase-in 21767
percentage" have the same meanings as in division (C)(1)(a) of 21768
this section.21769

        (b) If the district's poverty index is greater than or equal 21770
to 1.50:21771

medium-group intervention units X hourly rate X
21772

level two hours
X phase-in percentage
21773

        Where:21774

        (i) "Medium group intervention units" has the same meaning as 21775
in division (C)(2)(a)(i) of this section;21776

       (ii) "Hourly rate" and "phase-in percentage" havehas the 21777
same meaningsmeaning as in division (C)(1)(a) of this section;21778

        (iii) "Level two hours" equals 50 hours.21779

        (3) If the district's poverty index is greater than or equal 21780
to 1.50, calculate the district's level three amount for 21781
small-group academic intervention for impoverished students as 21782
follows:21783

        (a) If the district's poverty index is greater than or equal 21784
to 1.50 but less than 2.50:21785

small group intervention units X hourly rate X
21786

{level one hours + [level three hours X
21787

(poverty index – 1.50)]}
X phase-in percentage
21788

        Where:21789

        (i) "Small group intervention units" equals the quotient of 21790
(the district's poverty student count times 3) divided by 10;21791

       (ii) "Hourly rate," and "level one hours," and "phase-in 21792
percentage" have the same meanings as in division (C)(1)(a) of 21793
this section;21794

        (iii) "Level three hours" equals 135 hours.21795

        (b) If the district's poverty index is greater than or equal 21796
to 2.50:21797

small group intervention units X hourly rate
21798

X level three hours
X phase-in percentage
21799

        Where:21800

        (i) "Small group intervention units" has the same meaning as 21801
in division (C)(3)(a)(i) of this section;21802

       (ii) "Hourly rate" and "phase-in percentage" havehas the 21803
same meaningsmeaning as in division (C)(1)(a) of this section;21804

        (iii) "Level three hours" equals 160 hours.21805

       Any district that receives funds under division (C)(2) or (3) 21806
of this section annually shall submit to the department of 21807
education by a date established by the department a plan 21808
describing how the district will deploy those funds. The 21809
deployment measures described in that plan shall comply with any 21810
applicable spending requirements prescribed in division (J)(6) of21811
this section or with any order issued by the superintendent of 21812
public instruction under section 3317.017 of the Revised Code.21813

       (D) A payment for all-day kindergarten if the poverty index 21814
of the school district is greater than or equal to 1.0 or if the21815
district's three-year average formula ADM exceeded seventeen21816
thousand five hundred. In addition, the department shall make a 21817
payment under this division to any school district that, in a 21818
prior fiscal year, qualified for this payment and provided all-day 21819
kindergarten, regardless of changes to the district's poverty 21820
index. The department shall calculate the payment under this 21821
division by multiplying the all-day kindergarten percentage by the21822
kindergarten ADM and multiplying that product by the formula21823
amount.21824

       (E) A class-size reduction payment for increased classroom 21825
learning opportunities based on calculating the number of new21826
teachers necessary to achieve a lower student-teacher ratio, as 21827
follows:21828

       (1) Determine or calculate a formula number of teachers per21829
one thousand students based on the poverty index of the school21830
district as follows:21831

       (a) If the poverty index of the school district is less than 21832
1.0, the formula number of teachers is 50.0, which is the number 21833
of teachers per one thousand students at a student-teacher ratio21834
of twenty to one;21835

       (b) If the poverty index of the school district is greater 21836
than or equal to 1.0, but less than 1.5, the formula number of 21837
teachers is calculated as follows:21838

50.0 + {[(poverty index – 1.0)/0.5] X 16.667}
21839

       Where 50.0 is the number of teachers per one thousand21840
students at a student-teacher ratio of twenty to one; 0.5 is the 21841
interval from a poverty index of 1.0 to a poverty index of 1.5; 21842
and 16.667 is the difference in the number of teachers per one 21843
thousand students at a student-teacher ratio of fifteen to one and 21844
the number of teachers per one thousand students at a 21845
student-teacher ratio of twenty to one.21846

       (c) If the poverty index of the school district is greater 21847
than or equal to 1.5, the formula number of teachers is 66.667,21848
which is the number of teachers per one thousand students at a21849
student-teacher ratio of fifteen to one.21850

       (2) Multiply the formula number of teachers determined or21851
calculated in division (E)(1) of this section by the kindergarten21852
through third grade ADM for the district and divide that product21853
by one thousand;21854

       (3) Calculate the number of new teachers as follows:21855

       (a) Multiply the kindergarten through third grade ADM by 21856
50.0, which is the number of teachers per one thousand students at 21857
a student-teacher ratio of twenty to one, and divide that product 21858
by one thousand;21859

       (b) Subtract the quotient obtained in division (E)(3)(a) of21860
this section from the product in division (E)(2) of this section.21861

       (4) Multiply the greater of the difference obtained under21862
division (E)(3) of this section or zero by the statewide average21863
teachers compensation. For this purpose, the "statewide average 21864
teacher compensation" is $53,680$56,754 in fiscal year 2006200821865
and $54,941$58,621 in fiscal year 20072009, which includes an 21866
amount for the value of fringe benefits.21867

       (F) A payment for services to limited English proficient 21868
students, if the district's poverty index is greater than or equal 21869
to 1.0 and the proportion of its students who are limited English 21870
proficient, as reported in 2003 on its school district report 21871
issued under section 3302.03 of the Revised Code for the 2002-2003 21872
school year, is greater than or equal to 2.0%, calculated as 21873
follows:21874

       (1) If the district's poverty index is greater than or equal 21875
to 1.0, but less than 1.75, determine the amount per limited 21876
English proficient student as follows:21877

{0.125 + [0.125 X ((poverty index - 1.0)/0.75)]}
21878

X formula amount
21879

       (2) If the district's poverty index is greater than or equal 21880
to 1.75, the amount per limited English proficient student equals:21881

0.25 X formula amount
21882

       (3) Multiply the per student amount determined for the 21883
district under division (F)(1) or (2) of this section by the 21884
number of the district's limited English proficient students, 21885
times a phase-in percentage of 0.40 in fiscal year 2006 and 0.70 21886
in fiscal year 2007years 2008 and 2009. For purposes of this 21887
calculation, the number of limited English proficient students for 21888
each district shall be the number determined by the department 21889
when it calculated the district's percentage of limited English 21890
proficient students for its school district report card issued in 21891
2003 for the 2002-2003 school year.21892

       Not later than December 31, 2006, the department of education 21893
shall recommend to the general assembly and the director of budget 21894
and management a method of identifying the number of limited 21895
English proficient students for purposes of calculating payments 21896
under this division after fiscal year 2007.21897

       (G) A payment for professional development of teachers, if 21898
the district's poverty index is greater than or equal to 1.0, 21899
calculated as follows:21900

       (1) If the district's poverty index is greater than or equal 21901
to 1.0, but less than 1.75, determine the amount per teacher as 21902
follows:21903

[(poverty index – 1.0)/0.75] X 0.045 X formula amount
21904

       (2) If the district's poverty index is greater than or equal 21905
to 1.75, the amount per teacher equals:21906

0.045 X formula amount
21907

       (3) Determine the number of teachers, as follows:21908

(formula ADM/17)
21909

       (4) Multiply the per teacher amount determined for the 21910
district under division (G)(1) or (2) of this section by the 21911
number of teachers determined under division (G)(3) of this 21912
section, times a phase-in percentage of 0.40 in fiscal year 2006 21913
and 0.70 in fiscal year 2007.21914

       (H) A payment for dropout prevention, if the district is a 21915
big eight school district as defined in section 3314.02 of the 21916
Revised Code, calculated as follows:21917

0.005 X formula amount X poverty index
21918

X formula ADM
X phase-in percentage
21919

       Where "phase-in percentage" equals 0.40 in fiscal year 2006 21920
and 0.70 in fiscal year 2007.21921

       (I) An amount for community outreach, if the district is an 21922
urban school district as defined in section 3314.02 of the Revised 21923
Code, calculated as follows:21924

0.005 X formula amount X poverty index X
21925

formula ADM
X phase-in percentage
21926

       Where "phase-in percentage" equals 0.40 in fiscal year 2006 21927
and 0.70 in fiscal year 2007.21928

       (J) A payment for assistance in closing the achievement gap, 21929
if the district's poverty index is greater than or equal to 1.0 21930
and its academic distress index is greater than or equal to 1.0, 21931
as determined based on the most recent report card issued under 21932
section 3302.03 of the Revised Code prior to the beginning of the 21933
fiscal year, calculated as follows:21934

       (1) In fiscal year 2008:21935

poverty index X academic distress index X
21936

(0.0015 X formula amount) X formula ADM
21937

       (2) In fiscal year 2009:21938

       (a) If the district's academic distress percentage is less 21939
than its academic distress percentage used for the prior fiscal 21940
year:21941

poverty index X academic distress index X
21942

(0.0015 X formula amount) X formula ADM X 1.035
21943

       (b) If the district's academic distress percentage is greater 21944
than or equal to its academic distress percentage used for the 21945
prior fiscal year:21946

poverty index X academic distress index X
21947

(0.0015 X formula amount) X formula ADM
21948

       (K) This division applies only to school districts whose 21949
poverty index is 1.0 or greater.that receive more than ten 21950
thousand dollars under this section. Except as provided in 21951
division (L) of this section with respect to funds paid under 21952
division (J)(2)(b) of this section, in division (M)(2) of this 21953
section with respect to funds paid under division (D) of this 21954
section, and in division (O) of this section, each such district 21955
shall use funds paid under this section only for one or more of 21956
the following purposes:21957

       (1) Each school district subject to this division shall first 21958
utilize funds received under this section so that, when combined 21959
with other funds of the district, sufficient funds exist toTo21960
provide all-day kindergarten to at least the number of children in 21961
the district's all-day kindergarten percentage. To satisfy this 21962
requirement, a district may use funds paid under division (C), 21963
(F), (G), (H), or (I) of this section to provide all-day 21964
kindergarten in addition to the all-day kindergarten payment under 21965
division (D) of this section.ADM;21966

       (2) Except as permitted under division (J)(1) of this 21967
section, each school district shall use its payment under division 21968
(F) of this section forTo provide services to students with 21969
limited English proficiency through one or more of the following 21970
purposesactivities:21971

       (a) To hireHiring teachers for limited English proficient 21972
students or other personnel to provide intervention services for 21973
those students;21974

       (b) To contractContracting for intervention services for 21975
those students;21976

       (c) To provideProviding other services to assist those 21977
students in passing the third-grade reading achievement test, and 21978
to provide for those students the intervention services required 21979
by section 3313.608 of the Revised Code.21980

       (3) Except as permitted under division (J)(1) of this 21981
section, each school district shall use its payment under division 21982
(G) of this section forTo provide professional development of 21983
teachers or other licensed personnel providing educational 21984
services to students only in one or more of the following areas:21985

       (a) Data-based decision making;21986

       (b) Standards-based curriculum models;21987

       (c) Job-embeddedHigh quality professional development 21988
activities that are research-based, as defined in federal lawby 21989
state standards developed under section 3319.61 of the Revised 21990
Code;21991

       (d) Professional learning communities.21992

       In addition, each district that elects to use funds paid 21993
under this section for professional development shall use the 21994
payment only to implement programs identified on a list of 21995
eligible professional development programs provided by the 21996
department of education. The department annually shall provide the 21997
list to each district receiving a payment under division (G) of21998
this section. However, a district may apply to the department for 21999
a waiver to implement an alternative professional development 22000
program in one or more of the areas specified in divisions 22001
(J)(3)(a) to (c) of this section. If the department grants the 22002
waiver, the district may use its payment under division (G) of 22003
this section to implement the alternative program.22004

       (4) Except as permitted under division (J)(1) of this 22005
section, each big eight school district shall use its payment 22006
under division (H) of this section either forFor preventing 22007
at-risk students from dropping out of school, for safety and 22008
security measures described in division (J)(5)(b) of this section, 22009
for academic intervention services described in division (J)(6) of 22010
this section, or for a combination of those purposes. Not later 22011
than September 1, 20052007, the department of education shall 22012
provide each big eight school district receiving a payment under 22013
this section with a list of dropout prevention programs that it 22014
has determined are successful. The department subsequently may 22015
update the list. Each district that elects to use its payment 22016
under division (H) of this section for dropout prevention shall 22017
use the payment only to implement a dropout prevention program 22018
specified on the department's list. However, a district may apply 22019
to the department for a waiver to implement an alternative dropout 22020
prevention program. If the department grants the waiver, the 22021
district may use its payment under division (H) of this section to 22022
implement the alternative program.22023

       (5) Except as permitted under division (J)(1) of this 22024
section, each urban school district that has a poverty index 22025
greater than or equal to 1.0 shall use its payment under division 22026
(I) of this section forFor one or a combinationboth of the 22027
following purposes:22028

       (a) To hire or contract for community liaison officers, 22029
attendance or truant officers, or safety and security personnel;22030

       (b) To implement programs designed to ensure that schools are 22031
free of drugs and violence and have a disciplined environment 22032
conducive to learning;22033

       (c) To implement academic intervention services described in 22034
division (J)(6) of this section.22035

       (6) Except as permitted under division (J)(1) of this 22036
section, each school district with a poverty index greater than or 22037
equal to 1.0 shall use the amount of its payment under division 22038
(C) of this section, and may use any amount of its payment under 22039
division (H) or (I) of this section, forFor academic intervention 22040
services for students who have failed or are in danger of failing 22041
any of the tests administered pursuant to section 3301.0710 of the 22042
Revised Code, including intervention services required by section22043
3313.608 of the Revised Code. Except as permitted under division 22044
(J)(1) of this section, no district shall spend any portion of its 22045
payment under division (C) of this section for any other purpose. 22046
Notwithstanding any provision to the contrary in Chapter 4117. of 22047
the Revised Code, no collective bargaining agreement entered into 22048
after June 30, 2005, shall require use of the payment for any 22049
other purpose.22050

       (7) Except as otherwise required by division (K) or permitted 22051
under division (O) of this section, all remaining funds22052
distributed under this section to districts with a poverty index 22053
greater than or equal to 1.0 shall be utilized for the purpose of22054
the third grade guarantee. The third grade guarantee consists of22055
For increased classroom learning opportunities by increasing the22056
amount of instructional attention received per pupil in22057
kindergarten through third grade, either by reducing the ratio of22058
students to instructional personnel or by increasing the amount of22059
instruction and curriculum-related activities by extending the22060
length of the school day or the school year.22061

       School districts may implement a reduction of the ratio of22062
students to instructional personnel through any or all of the22063
following methods:22064

       (a) Reducing the number of students in a classroom taught by22065
a single teacher;22066

       (b) Employing full-time educational aides or educational22067
paraprofessionals issued a permit or license under section22068
3319.088 of the Revised Code;22069

       (c) Instituting a team-teaching method that will result in a22070
lower student-teacher ratio in a classroom.22071

       Districts may extend the school day either by increasing the22072
amount of time allocated for each class, increasing the number of22073
classes provided per day, offering optional academic-related22074
after-school programs, providing curriculum-related extra22075
curricular activities, or establishing tutoring or remedial22076
services for students who have demonstrated an educational need.22077
In accordance with section 3319.089 of the Revised Code, a22078
district extending the school day pursuant to this division may22079
utilize a participant of the work experience program who has a22080
child enrolled in a public school in that district and who is22081
fulfilling the work requirements of that program by volunteering22082
or working in that public school. If the work experience program22083
participant is compensated, the school district may use the funds22084
distributed under this section for all or part of the22085
compensation.22086

       Districts may extend the school year either through adding22087
regular days of instruction to the school calendar or by providing22088
summer programs.22089

       (K) Each district shall not expend any funds received under 22090
division (E) of this section in any school buildings that are not 22091
buildings with the highest concentration of need, unless there is 22092
a ratio of instructional personnel to students of no more than 22093
fifteen to one in each kindergarten and first grade class in all22094
buildings with the highest concentration of need. This division 22095
does not require that the funds used in buildings with the highest 22096
concentration of need be spent solely to reduce the ratio of 22097
instructional personnel to students in kindergarten and first 22098
grade. A school district may spend the funds in those buildings in 22099
any manner permitted by division (J)(7) of this section, but may22100
not spend the money in other buildings unless the fifteen-to-one 22101
ratio required by this division is attained.22102

       (L)(1) By the first day of August of each fiscal year, each22103
(8) For early childhood programs or early learning programs, as 22104
defined by the department of education, for children age three or 22105
four who are not eligible for kindergarten;22106

       (9) To furnish, free of charge, materials used in courses of 22107
instruction, except for the necessary textbooks or electronic 22108
textbooks required to be furnished without charge pursuant to 22109
section 3329.06 of the Revised Code, to pupils living in families 22110
participating in Ohio works first in accordance with section 22111
3313.642 of the Revised Code;22112

       (10) For programs designed to reduce nonacademic barriers to 22113
learning, in accordance with guidelines developed by the 22114
department of education;22115

       (11) For school nutrition programs provided pursuant to 22116
section 3313.813 of the Revised Code.22117

       However, a school district may apply to the department, in 22118
the form and manner prescribed by the department, for a waiver to 22119
spend funds paid under this section for programs not described in 22120
divisions (K)(1) to (11) of this section. The waiver application 22121
shall specify the rationale for the alternative expenditure and 22122
the intended benefits for disadvantaged students. If the 22123
department grants the waiver, the district may use funds paid 22124
under this section to implement the alternative program.22125

       (L) This division applies only to funds paid under division 22126
(J)(2)(b) of this section.22127

       (1) If applicable, each school district shall use the funds 22128
for any necessary expenses for the continued operation of a school 22129
district academic distress commission appointed under section 22130
3302.10 of the Revised Code.22131

       (2) After satisfying the requirement of division (L)(1) of 22132
this section, each district shall spend the remaining funds only 22133
for one or more of the following purposes and only in buildings 22134
with the highest concentration of need:22135

       (a) Assistance in improving student performance;22136

       (b) Professional development for teachers and administrators;22137

       (c) Assistance in recruiting and retaining teachers and 22138
administrators.22139

       (M)(1) Each school district wishing to receive any funds 22140
under division (D) of this section shall submit to the department 22141
of education an estimate of itsthe number of students attending22142
all-day kindergarten percentagewhen reporting formula ADM under 22143
section 3317.03 of the Revised Code. Each district shall update 22144
its estimate throughout the fiscal year in the form and manner 22145
required by the department, and the department shall adjust 22146
payments under this section to reflect the updates.22147

       (2) Annually by the end of December, the department of22148
education, utilizing data from the information system established22149
under section 3301.0714 of the Revised Code, shall determine for 22150
each school district subject to division (J) of this section 22151
whether in the preceding fiscal year the district's ratio of 22152
instructional personnel to students and its number of kindergarten 22153
students receiving all-day kindergarten appear reasonable, given 22154
the amounts of money the district received for that fiscal year 22155
pursuant to divisions (D) and (E) of this section. If the 22156
department is unable to verify from the data available that 22157
students are receiving reasonable amounts of instructional 22158
attention and all-day kindergarten, given the funds the district22159
has received under this section and that class-size reduction22160
funds are being used in school buildings with the highest 22161
concentration of need as required by division (K) of this section, 22162
the department shall conduct a more intensive investigation to22163
ensure that funds have been expended as required by this section. 22164
The department shall file an annual report of its findings under22165
this division with the chairpersons of the committees in each 22166
house of the general assembly dealing with finance and education.22167

        (M)(1)(2) Each school district with a poverty index less than 22168
1.0 that receives a payment under division (D) of this section 22169
shall first utilize funds received under this section so that ,22170
when combined with other funds of the district, sufficient funds22171
existdivision to provide all-day kindergarten to at least the22172
number of children in the district's all-day kindergarten22173
percentage. To satisfy this requirement, a district may use funds 22174
paid under division (C) or (I) of this section to provide all-day 22175
kindergarten in addition to the all-day kindergarten payment under 22176
division (D) of this section.22177

       (2) Except as permitted under division (M)(1) of this 22178
section, each school district with a poverty index less than 1.0 22179
that receives a payment under division (C) of this section shall 22180
use its payment under that division in accordance with all 22181
requirements of division (J)(6) of this section.22182

       (3) Except as permitted under division (M)(1) of this 22183
section, each school district with a poverty index less than 1.0 22184
that receives a payment under division (I) of this section shall 22185
use its payment under that division for one or a combination of 22186
the following purposes:22187

       (a) To hire or contract for community liaison officers, 22188
attendance or truant officers, or safety and security personnel;22189

       (b) To implement programs designed to ensure that schools are 22190
free of drugs and violence and have a disciplined environment 22191
conducive to learning;22192

       (c) To implement academic intervention services described in 22193
division (J)(6) of this section.22194

       (4) Each school district to which division (M)(1), (2), or 22195
(3) of this section applies shall expend the remaining funds 22196
received under this section, and any other district with a poverty 22197
index less than 1.0 shall expend all funds received under this22198
section, for any of the following purposes:22199

       (a) The purchase of technology for instructional purposes for 22200
remediation;22201

       (b) All-day kindergarten;22202

       (c) Reduction of class sizes in grades kindergarten through 22203
three, as described in division (J)(7) of this section;22204

       (d) Summer school remediation;22205

       (e) Dropout prevention programs approved by the department of 22206
education under division (J)(4) of this section;22207

       (f) Guaranteeing that all third graders are ready to progress 22208
to more advanced work;22209

       (g) Summer education and work programs;22210

       (h) Adolescent pregnancy programs;22211

       (i) Head start, preschool, early childhood education, or 22212
early learning programs;22213

       (j) Reading improvement and remediation programs described by 22214
the department of education;22215

       (k) Programs designed to ensure that schools are free of22216
drugs and violence and have a disciplined environment conducive to22217
learning;22218

       (l) Furnishing, free of charge, materials used in courses of 22219
instruction, except for the necessary textbooks or electronic22220
textbooks required to be furnished without charge pursuant to22221
section 3329.06 of the Revised Code, to pupils living in families22222
participating in Ohio works first in accordance with section22223
3313.642 of the Revised Code;22224

       (m) School breakfasts provided pursuant to section 3313.81322225
of the Revised Code.22226

       (N) If at any time the superintendent of public instruction22227
determines that a school district receiving funds under division22228
(D) of this section has enrolled lessfewer than the number of22229
all-day kindergarten percentagestudents reported for that fiscal 22230
year, the superintendent shall withhold from the funds otherwise 22231
due the district under this section a proportional amount as 22232
determined by the difference in the certified all-day kindergarten 22233
percentageADM and the percentage actually enrolled inactual22234
all-day kindergarten ADM.22235

       The superintendent shall also withhold an appropriate amount22236
of funds otherwise due a district for any other misuse of funds22237
not in accordance with this section.22238

       (O)(1) A district may use a portion of the funds calculated22239
for itpaid under division (D) of this section to modify or 22240
purchase classroom space to provide all-day kindergarten, if both 22241
of the following conditions are met:22242

       (a) The district certifies to the department, in a manner22243
acceptable to the department, that it has a shortage of space for22244
providing all-day kindergarten.22245

       (b) The district provides all-day kindergarten to the number22246
of children in the all-day kindergarten percentage it certified22247
under this section.22248

       (2) A district may use a portion of the funds described in22249
division (J)(7) ofpaid under this section to modify or purchase 22250
classroom space to enable it to further reduce class size in 22251
grades kindergarten through two with a goal of attaining class 22252
sizes of fifteen students per licensed teacher. To do so, the 22253
district must certify its need for additional space to the 22254
department, in a manner satisfactory to the department.22255

       (P) Not later than the thirtieth day of September each year, 22256
each school district paid under this section shall report to the 22257
department, in the form and manner prescribed by the department, 22258
how the district deployed funds received under this section in the 22259
prior fiscal year. If a school district does not meet adequate 22260
progress standards as defined by the department, the department 22261
shall make recommendations to the district for deploying funds 22262
under this section in a more effective manner.22263

       Sec. 3317.0216.  (A) As used in this section:22264

       (1) "Total taxes charged and payable for current expenses"22265
means the sum of the taxes charged and payable as certified under22266
division (A)(3)(a) of section 3317.021 of the Revised Code less22267
any amounts reported under division (A)(3)(b) of that section, and22268
the tax distribution for the preceding year under any school22269
district income tax levied by the district pursuant to Chapter22270
5748. of the Revised Code to the extent the revenue from the22271
income tax is allocated or apportioned to current expenses.22272

       (2) "Charge-off amount" means two and three-tenths per cent 22273
multiplied by (the sum of recognized valuation and property 22274
exemption value).22275

       (3) Until fiscal year 2003, the "actual local share of22276
special education, transportation, and vocational education22277
funding" for any school district means the sum of the district's22278
attributed local shares described in divisions (F)(1) to (3) of22279
section 3317.022 of the Revised Code. Beginning in fiscal year22280
2003, the "actual local share of special education,22281
transportation, and vocational education funding" means that sum22282
minus the amount of any excess cost supplement payment calculated22283
for the district under division (F) of section 3317.022 of the22284
Revised Code.22285

       (4) "Current expense revenues from the tangible property tax 22286
replacement fund" means payments received from the school district 22287
tangible property tax replacement fund or the general revenue fund 22288
under section 5751.21 of the Revised Code for fixed-rate levies 22289
for current expenses and for fixed-sum levies for current 22290
expenses, including school district emergency levies under 22291
sections 5705.194 to 5705.197 of the Revised Code.22292

       (B) Upon receiving the certifications under section 3317.02122293
of the Revised Code, the department of education shall determine22294
for each city, local, and exempted village school district whether22295
the district's charge-off amount is greater than the sum of the 22296
district's total taxes charged and payable for current expenses 22297
and current expense revenues from the tangible property tax 22298
replacement fund, and if the charge-off amount is greater, shall 22299
pay the district the amount of the difference. A payment shall not 22300
be made to any school district for which the computation under 22301
division (A) of section 3317.022 of the Revised Code equals zero.22302

       (C)(1) If a district's charge-off amount is equal to or22303
greater than the sum of its total taxes charged and payable for 22304
current expenses and current expense revenues from the tangible 22305
property tax replacement fund, the department shall, in addition 22306
to the payment required under division (B) of this section, pay 22307
the district the amount of its actual local share of special22308
education, transportation, and vocational education funding.22309

       (2) If a district's charge-off amount is less than the sum of22310
its total taxes charged and payable for current expenses and 22311
current expense revenues from the tangible property tax 22312
replacement fund, the department shall pay the district any amount 22313
by which its actual local share of special education,22314
transportation, and vocational education funding exceeds the sum 22315
of its total taxes charged and payable for current expenses and 22316
current expense revenues from the tangible property tax 22317
replacement fund minus its charge-off amount.22318

       (D) If a school district that received a payment under 22319
division (B) or (C) of this section in the prior fiscal year is 22320
ineligible for payment under those divisions in the current fiscal 22321
year, the department shall determine if the ineligibility is the 22322
result of a property tax or income tax levy approved by the 22323
district's voters to take effect in tax year 2005 or thereafter. 22324
If the department determines that is the case, and calculates that 22325
the levy causing the ineligibility exceeded by at least one mill 22326
the equivalent millage of the prior year's payment under divisions 22327
(B) and (C) of this section, the department shall make a payment 22328
to the district for the first three years that the district loses 22329
eligibility for payment under divisions (B) and (C) of this 22330
section, as follows:22331

       (1) In the first year of ineligibility, the department shall 22332
pay the district seventy-five per cent of the amount it last paid 22333
the district under divisions (B) and (C) of this section.22334

       (2) In the second year of ineligibility, the department shall 22335
pay the district fifty per cent of the amount it last paid the 22336
district under those divisions.22337

       (3) In the third year of ineligibility, the department shall 22338
pay the district twenty-five per cent of the amount it last paid 22339
the district under those divisions.22340

       (E) A district that receives payment under division (D) of 22341
this section and subsequently qualifies for payment under division 22342
(B) or (C) of this section is ineligible for future payments under 22343
division (D) of this section.22344

       (F) To enable the department of education to make the 22345
determinations and to calculate payments under division (D) of 22346
this section, on the effective date of this amendmentMarch 30, 22347
2006, and on or before the first day of March of each year 22348
thereafter, the department shall send to the tax commissioner a 22349
list of school districts receiving payments under division (B) or 22350
(C) of this section for the current fiscal year. On or before the 22351
first day of the following June, the tax commissioner shall 22352
certify to the department of education for those school districts 22353
the information required by division (A)(8) of section 3317.021 of 22354
the Revised Code.22355

       Sec. 3317.0217. ThePayment of the amount calculated for a 22356
school district under this section shall be made under division 22357
(A) of section 3317.022 of the Revised Code.22358

       The department of education shall annually compute and pay22359
state parity aid to school districts, as follows:22360

       (A) Calculate the local wealth per pupil of each school22361
district, which equals the following sum:22362

       (1) Two-thirds times the quotient of (a) the district's22363
recognized valuation divided by (b) its formula ADM; plus22364

       (2) One-third times the quotient of (a) the average of the22365
total federal adjusted gross income of the school district's22366
residents for the three years most recently reported under section22367
3317.021 of the Revised Code divided by (b) its formula ADM.22368

       (B) Rank all school districts in order of local wealth per22369
pupil, from the district with the lowest local wealth per pupil to22370
the district with the highest local wealth per pupil.22371

       (C) Compute the per pupil state parity aid funding for each 22372
eligible school district in accordance with the following formula:22373

(threshold local wealth
22374

per pupil - the district's local
22375

wealth per pupil) X
0.0075
parity millage
22376

       Where:22377

       (1) Seven and one-half mills (0.0075) is an adjustment to the 22378
original parity aid standard of nine and one-half mills, to 22379
account for the general assembly's policy decision to phase-out 22380
use of the cost-of-doing-business factor in the base cost formula22381
In fiscal year 2008, an "eligible school district" means a school 22382
district with a local wealth per pupil less than that of the 22383
school district with the four-hundred-eleventh lowest local wealth 22384
per pupil. In fiscal year 2009, an "eligible school district" 22385
means a school district with a local wealth per pupil less than 22386
that of the school district with the three-hundred-sixty-eighth 22387
lowest local wealth per pupil.22388

       (2) The "threshold local wealth per pupil" is the local22389
wealth per pupil of the school district with the22390
four-hundred-ninetieth lowest local wealth per pupil.22391

       (3) "Parity millage," in fiscal year 2008, equals 0.0080 and, 22392
in fiscal year 2009, equals 0.0085.22393

       If the result of the calculation for a school district under22394
division (C) of this section is less than zero, the district's per22395
pupil parity aid shall be zero.22396

       (D) Compute the per pupil alternative parity aid for each22397
school district that has a combination of an income factor of 1.022398
or less, a poverty index of 1.0 or greater, and a fiscal year 200522399
cost-of-doing-business factor of 1.0375 or greater, in accordance22400
with the following formula:22401

Payment percentage X $60,000 X
22402

(1 - income factor) X 4/15 X 0.023
22403

       Where:22404

       (1) "Poverty index" has the same meaning as in section 22405
3317.029 of the Revised Code.22406

       (2) "Payment percentage," for purposes of division (D) of22407
this section, equals 50% in fiscal year 2002 and 100% after fiscal22408
year 2002.22409

       (3) "Fiscal year 2005 cost-of-doing-business factor" means 22410
the cost-of-doing-business factor in effect for fiscal year 2005 22411
designated under former division (N) of section 3317.02 of the 22412
Revised Code as that division existed in fiscal year 2005.22413

       (E) Pay each district that has a combination of an income22414
factor of 1.0 or less, a poverty index of 1.0 or greater, and a 22415
fiscal year 2005 cost-of-doing-business factor of 1.0375 or 22416
greater, the greater of the following:22417

       (1) The product of the district's per pupil parity aid22418
calculated under division (C) of this section times its net 22419
formula ADM;22420

       (2) The product of its per pupil alternative parity aid22421
calculated under division (D) of this section times its net 22422
formula ADM.22423

       (F) Pay every other district the product of its per pupil22424
parity aid calculated under division (C) of this section times its 22425
net formula ADM.22426

        (G) As used in divisions (E) and (F) of this section, "net 22427
formula ADM" means formula ADM minus the number of internet- and 22428
computer-based community school students and scholarship students 22429
reported under divisions (B)(3)(e), (f), and (g) of section 22430
3317.03 of the Revised Code.22431

       Sec. 3317.03.  Notwithstanding divisions (A)(1), (B)(1), and22432
(C) of this section, except as provided in division (A)(2)(h) of 22433
this section, any student enrolled in kindergarten more than half 22434
time shall be reported as one-half student under this section.22435

       (A) The superintendent of each city and exempted village22436
school district and of each educational service center shall, for22437
the schools under the superintendent's supervision, certify to the22438
state board of education on or before the fifteenth day of October22439
in each year for the first full school week in October the formula22440
ADM. Beginning in fiscal year 2007, each superintendent also shall 22441
certify to the state board, for the schools under the 22442
superintendent's supervision, the formula ADM for the first full 22443
week in February. If a school under the superintendent's 22444
supervision is closed for one or more days during that week due to 22445
hazardous weather conditions or other circumstances described in 22446
the first paragraph of division (B) of section 3317.01 of the 22447
Revised Code, the superintendent may apply to the superintendent 22448
of public instruction for a waiver, under which the superintendent 22449
of public instruction may exempt the district superintendent from 22450
certifying the formula ADM for that school for that week and 22451
specify an alternate week for certifying the formula ADM of that 22452
school.22453

       The formula ADM shall consist of the average daily membership 22454
during such week of the sum of the following:22455

       (1) On an FTE basis, the number of students in grades22456
kindergarten through twelve receiving any educational services22457
from the district, except that the following categories of22458
students shall not be included in the determination:22459

       (a) Students enrolled in adult education classes;22460

       (b) Adjacent or other district students enrolled in the22461
district under an open enrollment policy pursuant to section22462
3313.98 of the Revised Code;22463

       (c) Students receiving services in the district pursuant to a 22464
compact, cooperative education agreement, or a contract, but who22465
are entitled to attend school in another district pursuant to22466
section 3313.64 or 3313.65 of the Revised Code;22467

       (d) Students for whom tuition is payable pursuant to sections 22468
3317.081 and 3323.141 of the Revised Code;22469

       (e) Students receiving services in the district through a 22470
scholarship awarded under either section 3310.41 or sections 22471
3310.51 to 3310.63 of the Revised Code.22472

       (2) On an FTE basis, except as provided in division (A)(2)(h) 22473
of this section, the number of students entitled to attend school 22474
in the district pursuant to section 3313.64 or 3313.65 of the22475
Revised Code, but receiving educational services in grades 22476
kindergarten through twelve from one or more of the following 22477
entities:22478

       (a) A community school pursuant to Chapter 3314. of the22479
Revised Code, including any participation in a college pursuant to22480
Chapter 3365. of the Revised Code while enrolled in such community22481
school;22482

       (b) An alternative school pursuant to sections 3313.974 to22483
3313.979 of the Revised Code as described in division (I)(2)(a) or22484
(b) of this section;22485

       (c) A college pursuant to Chapter 3365. of the Revised Code,22486
except when the student is enrolled in the college while also22487
enrolled in a community school pursuant to Chapter 3314. of the22488
Revised Code;22489

       (d) An adjacent or other school district under an open22490
enrollment policy adopted pursuant to section 3313.98 of the22491
Revised Code;22492

       (e) An educational service center or cooperative education22493
district;22494

       (f) Another school district under a cooperative education22495
agreement, compact, or contract;22496

       (g) A chartered nonpublic school with a scholarship paid 22497
under section 3310.08 of the Revised Code;22498

        (h) An alternative public provider or a registered private 22499
provider with a scholarship awarded under either section 3310.41 22500
or sections 3310.51 to 3310.63 of the Revised Code. Each such 22501
scholarship student who is enrolled in kindergarten shall be 22502
counted as one full-time-equivalent student.22503

       As used in this section, "alternative public provider" and 22504
"registered private provider" have the same meanings as in section 22505
3310.41 or 3310.51 of the Revised Code, as applicable.22506

       (3) Twenty per cent of the number of students enrolled in a 22507
joint vocational school district or under a vocational education22508
compact, excluding any students entitled to attend school in the22509
district under section 3313.64 or 3313.65 of the Revised Code who22510
are enrolled in another school district through an open enrollment22511
policy as reported under division (A)(2)(d) of this section and22512
then enroll in a joint vocational school district or under a22513
vocational education compact;22514

       (4) The number of handicapped children, other than22515
handicapped preschool children, entitled to attend school in the22516
district pursuant to section 3313.64 or 3313.65 of the Revised22517
Code who are placed by the district with a county MR/DD board, 22518
minus the number of such children placed with a county MR/DD board 22519
in fiscal year 1998. If this calculation produces a negative 22520
number, the number reported under division (A)(4) of this section 22521
shall be zero.22522

       (5) Beginning in fiscal year 2007, in the case of the report 22523
submitted for the first full week in February, or the alternative 22524
week if specified by the superintendent of public instruction, the 22525
number of students reported under division (A)(1) or (2) of this 22526
section for the first full week of the preceding October but who 22527
since that week have received high school diplomas.22528

       (B) To enable the department of education to obtain the data22529
needed to complete the calculation of payments pursuant to this22530
chapter, in addition to the formula ADM, each superintendent shall22531
report separately the following student counts for the same week 22532
for which formula ADM is certified:22533

       (1) The total average daily membership in regular day classes 22534
included in the report under division (A)(1) or (2) of this22535
section for kindergarten, and each of grades one through twelve in22536
schools under the superintendent's supervision;22537

       (2) The number of all handicapped preschool children enrolled 22538
as of the first day of December in classes in the district that 22539
are eligible for approval under division (B) of section 3317.05 22540
of the Revised Code and the number of those classes, which shall 22541
be reported not later than the fifteenth day of December, in 22542
accordance with rules adopted under that section;22543

       (3) The number of children entitled to attend school in the22544
district pursuant to section 3313.64 or 3313.65 of the Revised22545
Code who are:22546

       (a) Participating in a pilot project scholarship program22547
established under sections 3313.974 to 3313.979 of the Revised22548
Code as described in division (I)(2)(a) or (b) of this section;22549

       (b) Enrolled in a college under Chapter 3365. of the Revised 22550
Code, except when the student is enrolled in the college while 22551
also enrolled in a community school pursuant to Chapter 3314. of 22552
the Revised Code;22553

       (c) Enrolled in an adjacent or other school district under 22554
section 3313.98 of the Revised Code;22555

       (d) Enrolled in a community school established under Chapter 22556
3314. of the Revised Code that is not an internet- or 22557
computer-based community school as defined in section 3314.02 of 22558
the Revised Code, including any participation in a college22559
pursuant to Chapter 3365. of the Revised Code while enrolled in 22560
such community school;22561

       (e) Enrolled in an internet- or computer-based community 22562
school, as defined in section 3314.02 of the Revised Code, 22563
including any participation in a college pursuant to Chapter 3365. 22564
of the Revised Code while enrolled in the school;22565

        (f) Enrolled in a chartered nonpublic school with a 22566
scholarship paid under section 3310.08 of the Revised Code;22567

       (g) Enrolled in kindergarten through grade twelve in an 22568
alternative public provider or a registered private provider with 22569
a scholarship awarded under either section 3310.41 or sections 22570
3310.51 to 3310.63 of the Revised Code;22571

        (h) Enrolled as a handicapped preschool child in an 22572
alternative public provider or a registered private provider with 22573
a scholarship awarded under section 3310.41 of the Revised Code;22574

       (i) Participating in a program operated by a county MR/DD 22575
board or a state institution.22576

       (4) The number of pupils enrolled in joint vocational22577
schools;22578

       (5) The combined average daily membership of handicapped 22579
children reported under division (A)(1) or (2) of this section 22580
receiving special education services for the category one handicap 22581
described in division (A) of section 3317.013 of the Revised Code, 22582
including children attending a special education program operated 22583
by an alternative public provider or a registered private provider 22584
with a scholarship awarded under sections 3310.51 to 3310.63 of 22585
the Revised Code;22586

       (6) The combined average daily membership of handicapped 22587
children reported under division (A)(1) or (2) of this section 22588
receiving special education services for category two handicaps 22589
described in division (B) of section 3317.013 of the Revised Code, 22590
including children attending a special education program operated 22591
by an alternative public provider or a registered private provider 22592
with a scholarship awarded under sections 3310.51 to 3310.63 of 22593
the Revised Code;22594

       (7) The combined average daily membership of handicapped 22595
children reported under division (A)(1) or (2) of this section 22596
receiving special education services for category three handicaps 22597
described in division (C) of section 3317.013 of the Revised Code, 22598
including children attending a special education program operated 22599
by an alternative public provider or a registered private provider 22600
with a scholarship awarded under sections 3310.51 to 3310.63 of 22601
the Revised Code;22602

       (8) The combined average daily membership of handicapped 22603
children reported under division (A)(1) or (2) of this section 22604
receiving special education services for category four handicaps 22605
described in division (D) of section 3317.013 of the Revised Code, 22606
including children attending a special education program operated 22607
by an alternative public provider or a registered private provider 22608
with a scholarship awarded under sections 3310.51 to 3310.63 of 22609
the Revised Code;22610

       (9) The combined average daily membership of handicapped 22611
children reported under division (A)(1) or (2) of this section 22612
receiving special education services for the category five 22613
handicap described in division (E) of section 3317.013 of the 22614
Revised Code, including children attending a special education 22615
program operated by an alternative public provider or a registered 22616
private provider with a scholarship awarded under sections 3310.51 22617
to 3310.63 of the Revised Code;22618

       (10) The combined average daily membership of handicapped 22619
children reported under division (A)(1) or (2) and under division 22620
(B)(3)(h) of this section receiving special education services for 22621
category six handicaps described in division (F) of section 22622
3317.013 of the Revised Code, including children attending a 22623
special education program operated by an alternative public 22624
provider or a registered private provider with a scholarship 22625
awarded under either section 3310.41 or sections 3310.51 to 22626
3310.63 of the Revised Code;22627

       (11) The average daily membership of pupils reported under22628
division (A)(1) or (2) of this section enrolled in category one22629
vocational education programs or classes, described in division22630
(A) of section 3317.014 of the Revised Code, operated by the22631
school district or by another district, other than a joint22632
vocational school district, or by an educational service center, 22633
excluding any student reported under division (B)(3)(e) of this 22634
section as enrolled in an internet- or computer-based community 22635
school, notwithstanding division (C) of section 3317.02 of the 22636
Revised Code and division (C)(3) of this section;22637

       (12) The average daily membership of pupils reported under22638
division (A)(1) or (2) of this section enrolled in category two22639
vocational education programs or services, described in division22640
(B) of section 3317.014 of the Revised Code, operated by the22641
school district or another school district, other than a joint22642
vocational school district, or by an educational service center, 22643
excluding any student reported under division (B)(3)(e) of this 22644
section as enrolled in an internet- or computer-based community 22645
school, notwithstanding division (C) of section 3317.02 of the 22646
Revised Code and division (C)(3) of this section;22647

       (13) The average number of children transported by the school 22648
district on board-owned or contractor-owned and -operated buses,22649
reported in accordance with rules adopted by the department of 22650
education;22651

       (14)(a) The number of children, other than handicapped22652
preschool children, the district placed with a county MR/DD board22653
in fiscal year 1998;22654

       (b) The number of handicapped children, other than22655
handicapped preschool children, placed with a county MR/DD board22656
in the current fiscal year to receive special education services22657
for the category one handicap described in division (A) of section22658
3317.013 of the Revised Code;22659

       (c) The number of handicapped children, other than22660
handicapped preschool children, placed with a county MR/DD board22661
in the current fiscal year to receive special education services22662
for category two handicaps described in division (B) of section22663
3317.013 of the Revised Code;22664

       (d) The number of handicapped children, other than22665
handicapped preschool children, placed with a county MR/DD board22666
in the current fiscal year to receive special education services22667
for category three handicaps described in division (C) of section 22668
3317.013 of the Revised Code;22669

       (e) The number of handicapped children, other than22670
handicapped preschool children, placed with a county MR/DD board22671
in the current fiscal year to receive special education services22672
for category four handicaps described in division (D) of section22673
3317.013 of the Revised Code;22674

       (f) The number of handicapped children, other than22675
handicapped preschool children, placed with a county MR/DD board22676
in the current fiscal year to receive special education services22677
for the category five handicap described in division (E) of22678
section 3317.013 of the Revised Code;22679

       (g) The number of handicapped children, other than22680
handicapped preschool children, placed with a county MR/DD board22681
in the current fiscal year to receive special education services22682
for category six handicaps described in division (F) of section22683
3317.013 of the Revised Code.22684

       (C)(1) Except as otherwise provided in this section for22685
kindergarten students, the average daily membership in divisions22686
(B)(1) to (12) of this section shall be based upon the number of22687
full-time equivalent students. The state board of education shall22688
adopt rules defining full-time equivalent students and for22689
determining the average daily membership therefrom for the22690
purposes of divisions (A), (B), and (D) of this section.22691

       (2) A student enrolled in a community school established22692
under Chapter 3314. of the Revised Code shall be counted in the22693
formula ADM and, if applicable, the category one, two, three,22694
four, five, or six special education ADM of the school district in22695
which the student is entitled to attend school under section22696
3313.64 or 3313.65 of the Revised Code for the same proportion of22697
the school year that the student is counted in the enrollment of22698
the community school for purposes of section 3314.08 of the22699
Revised Code.22700

        (3) No child shall be counted as more than a total of one22701
child in the sum of the average daily memberships of a school22702
district under division (A), divisions (B)(1) to (12), or division22703
(D) of this section, except as follows:22704

       (a) A child with a handicap described in section 3317.013 of22705
the Revised Code may be counted both in formula ADM and in22706
category one, two, three, four, five, or six special education ADM 22707
and, if applicable, in category one or two vocational education22708
ADM. As provided in division (C) of section 3317.02 of the Revised 22709
Code, such a child shall be counted in category one, two, three, 22710
four, five, or six special education ADM in the same proportion 22711
that the child is counted in formula ADM.22712

       (b) A child enrolled in vocational education programs or22713
classes described in section 3317.014 of the Revised Code may be22714
counted both in formula ADM and category one or two vocational22715
education ADM and, if applicable, in category one, two, three,22716
four, five, or six special education ADM. Such a child shall be22717
counted in category one or two vocational education ADM in the22718
same proportion as the percentage of time that the child spends in22719
the vocational education programs or classes.22720

       (4) Based on the information reported under this section, the22721
department of education shall determine the total student count,22722
as defined in section 3301.011 of the Revised Code, for each22723
school district.22724

       (D)(1) The superintendent of each joint vocational school22725
district shall certify to the superintendent of public instruction22726
on or before the fifteenth day of October in each year for the22727
first full school week in October the formula ADM. Beginning in 22728
fiscal year 2007, each superintendent also shall certify to the 22729
state superintendent the formula ADM for the first full week in 22730
February. If a school operated by the joint vocational school 22731
district is closed for one or more days during that week due to 22732
hazardous weather conditions or other circumstances described in 22733
the first paragraph of division (B) of section 3317.01 of the 22734
Revised Code, the superintendent may apply to the superintendent 22735
of public instruction for a waiver, under which the superintendent 22736
of public instruction may exempt the district superintendent from 22737
certifying the formula ADM for that school for that week and 22738
specify an alternate week for certifying the formula ADM of that 22739
school.22740

       The formula ADM, except as otherwise provided in this 22741
division, shall consist of the average daily membership during 22742
such week, on an FTE basis, of the number of students receiving 22743
any educational services from the district, including students 22744
enrolled in a community school established under Chapter 3314. of 22745
the Revised Code who are attending the joint vocational district 22746
under an agreement between the district board of education and the22747
governing authority of the community school and are entitled to22748
attend school in a city, local, or exempted village school22749
district whose territory is part of the territory of the joint22750
vocational district. Beginning in fiscal year 2007, in the case of 22751
the report submitted for the first week in February, or the 22752
alternative week if specified by the superintendent of public 22753
instruction, the superintendent of the joint vocational school 22754
district may include the number of students reported under 22755
division (D)(1) of this section for the first full week of the 22756
preceding October but who since that week have received high 22757
school diplomas.22758

        The following categories of students shall not be included in 22759
the determination made under division (D)(1) of this section:22760

       (a) Students enrolled in adult education classes;22761

       (b) Adjacent or other district joint vocational students22762
enrolled in the district under an open enrollment policy pursuant22763
to section 3313.98 of the Revised Code;22764

       (c) Students receiving services in the district pursuant to a 22765
compact, cooperative education agreement, or a contract, but who22766
are entitled to attend school in a city, local, or exempted22767
village school district whose territory is not part of the22768
territory of the joint vocational district;22769

       (d) Students for whom tuition is payable pursuant to sections22770
3317.081 and 3323.141 of the Revised Code.22771

       (2) To enable the department of education to obtain the data22772
needed to complete the calculation of payments pursuant to this22773
chapter, in addition to the formula ADM, each superintendent shall22774
report separately the average daily membership included in the22775
report under division (D)(1) of this section for each of the22776
following categories of students for the same week for which 22777
formula ADM is certified:22778

       (a) Students enrolled in each grade included in the joint22779
vocational district schools;22780

       (b) Handicapped children receiving special education services22781
for the category one handicap described in division (A) of section 22782
3317.013 of the Revised Code;22783

       (c) Handicapped children receiving special education services22784
for the category two handicaps described in division (B) of 22785
section 3317.013 of the Revised Code;22786

       (d) Handicapped children receiving special education services 22787
for category three handicaps described in division (C) of section 22788
3317.013 of the Revised Code;22789

       (e) Handicapped children receiving special education services22790
for category four handicaps described in division (D) of section22791
3317.013 of the Revised Code;22792

       (f) Handicapped children receiving special education services 22793
for the category five handicap described in division (E) of22794
section 3317.013 of the Revised Code;22795

       (g) Handicapped children receiving special education services 22796
for category six handicaps described in division (F) of section 22797
3317.013 of the Revised Code;22798

       (h) Students receiving category one vocational education22799
services, described in division (A) of section 3317.014 of the22800
Revised Code;22801

       (i) Students receiving category two vocational education22802
services, described in division (B) of section 3317.014 of the22803
Revised Code.22804

       The superintendent of each joint vocational school district22805
shall also indicate the city, local, or exempted village school22806
district in which each joint vocational district pupil is entitled22807
to attend school pursuant to section 3313.64 or 3313.65 of the22808
Revised Code.22809

       (E) In each school of each city, local, exempted village,22810
joint vocational, and cooperative education school district there22811
shall be maintained a record of school membership, which record22812
shall accurately show, for each day the school is in session, the22813
actual membership enrolled in regular day classes. For the purpose 22814
of determining average daily membership, the membership figure of 22815
any school shall not include any pupils except those pupils 22816
described by division (A) of this section. The record of22817
membership for each school shall be maintained in such manner that22818
no pupil shall be counted as in membership prior to the actual22819
date of entry in the school and also in such manner that where for22820
any cause a pupil permanently withdraws from the school that pupil22821
shall not be counted as in membership from and after the date of22822
such withdrawal. There shall not be included in the membership of22823
any school any of the following:22824

       (1) Any pupil who has graduated from the twelfth grade of a22825
public or nonpublic high school;22826

       (2) Any pupil who is not a resident of the state;22827

       (3) Any pupil who was enrolled in the schools of the district 22828
during the previous school year when tests were administered under 22829
section 3301.0711 of the Revised Code but did not take one or more 22830
of the tests required by that section and was not excused pursuant 22831
to division (C)(1) or (3) of that section;22832

       (4) Any pupil who has attained the age of twenty-two years,22833
except for veterans of the armed services whose attendance was22834
interrupted before completing the recognized twelve-year course of22835
the public schools by reason of induction or enlistment in the22836
armed forces and who apply for reenrollment in the public school22837
system of their residence not later than four years after22838
termination of war or their honorable discharge.22839

       If, however, any veteran described by division (E)(4) of this22840
section elects to enroll in special courses organized for veterans22841
for whom tuition is paid under the provisions of federal laws, or22842
otherwise, that veteran shall not be included in average daily22843
membership.22844

       Notwithstanding division (E)(3) of this section, the22845
membership of any school may include a pupil who did not take a22846
test required by section 3301.0711 of the Revised Code if the22847
superintendent of public instruction grants a waiver from the22848
requirement to take the test to the specific pupil and a parent is 22849
not paying tuition for the pupil pursuant to section 3313.6410 of 22850
the Revised Code. The superintendent may grant such a waiver only 22851
for good cause in accordance with rules adopted by the state board 22852
of education.22853

       Except as provided in divisions (B)(2) and (F) of this 22854
section, the average daily membership figure of any local, city,22855
exempted village, or joint vocational school district shall be22856
determined by dividing the figure representing the sum of the22857
number of pupils enrolled during each day the school of attendance22858
is actually open for instruction during the week for which the 22859
formula ADM is being certified by the total number of days the 22860
school was actually open for instruction during that week. For 22861
purposes of state funding, "enrolled" persons are only those 22862
pupils who are attending school, those who have attended school 22863
during the current school year and are absent for authorized 22864
reasons, and those handicapped children currently receiving home 22865
instruction.22866

       The average daily membership figure of any cooperative22867
education school district shall be determined in accordance with22868
rules adopted by the state board of education.22869

       (F)(1) If the formula ADM for the first full school week in22870
February is at least three per cent greater than that certified22871
for the first full school week in the preceding October, the22872
superintendent of schools of any city, exempted village, or joint22873
vocational school district or educational service center shall22874
certify such increase to the superintendent of public instruction.22875
Such certification shall be submitted no later than the fifteenth22876
day of February. For the balance of the fiscal year, beginning22877
with the February payments, the superintendent of public22878
instruction shall use the increased formula ADM in calculating or22879
recalculating the amounts to be allocated in accordance with 22880
section 3317.022 or 3317.16 of the Revised Code. In no event shall 22881
the superintendent use an increased membership certified to the 22882
superintendent after the fifteenth day of February. Division 22883
(F)(1) of this section does not apply after fiscal year 2006.22884

       (2) If on the first school day of April the total number of22885
classes or units for handicapped preschool children that are22886
eligible for approval under division (B) of section 3317.05 of the22887
Revised Code exceeds the number of units that have been approved22888
for the year under that division, the superintendent of schools of22889
any city, exempted village, or cooperative education school22890
district or educational service center shall make the22891
certifications required by this section for that day. If the 22892
department determines additional units can be approved for the22893
fiscal year within any limitations set forth in the acts22894
appropriating moneys for the funding of such units, the department 22895
shall approve additional units for the fiscal year on the basis of 22896
such average daily membership. For each unit so approved, the 22897
department shall pay an amount computed in the manner prescribed 22898
in section 3317.052 or 3317.19 and section 3317.053 of the Revised 22899
Code.22900

       (3) If a student attending a community school under Chapter22901
3314. of the Revised Code is not included in the formula ADM22902
certified for the school district in which the student is entitled 22903
to attend school under section 3313.64 or 3313.65 of the Revised 22904
Code, the department of education shall adjust the formula ADM of 22905
that school district to include the community school student in 22906
accordance with division (C)(2) of this section, and shall 22907
recalculate the school district's payments under this chapter for 22908
the entire fiscal year on the basis of that adjusted formula ADM. 22909
This requirement applies regardless of whether the student was 22910
enrolled, as defined in division (E) of this section, in the 22911
community school during the week for which the formula ADM is 22912
being certified.22913

       (4) If a student awarded an educational choice scholarship is 22914
not included in the formula ADM of the school district from which 22915
the department deducts funds for the scholarship under section 22916
3310.08 of the Revised Code, the department shall adjust the 22917
formula ADM of that school district to include the student to the 22918
extent necessary to account for the deduction, and shall 22919
recalculate the school district's payments under this chapter for 22920
the entire fiscal year on the basis of that adjusted formula ADM. 22921
This requirement applies regardless of whether the student was 22922
enrolled, as defined in division (E) of this section, in the 22923
chartered nonpublic school, the school district, or a community 22924
school during the week for which the formula ADM is being 22925
certified.22926

       (G)(1)(a) The superintendent of an institution operating a22927
special education program pursuant to section 3323.091 of the22928
Revised Code shall, for the programs under such superintendent's22929
supervision, certify to the state board of education, in the 22930
manner prescribed by the superintendent of public instruction, 22931
both of the following:22932

       (i) The average daily membership of all handicapped children 22933
other than handicapped preschool children receiving services at 22934
the institution for each category of handicap described in 22935
divisions (A) to (F) of section 3317.013 of the Revised Code;22936

       (ii) The average daily membership of all handicapped 22937
preschool children in classes or programs approved annually by the 22938
department of education for unit funding under section 3317.05 of 22939
the Revised Code.22940

       (b) The superintendent of an institution with vocational22941
education units approved under division (A) of section 3317.05 of22942
the Revised Code shall, for the units under the superintendent's22943
supervision, certify to the state board of education the average22944
daily membership in those units, in the manner prescribed by the22945
superintendent of public instruction.22946

       (2) The superintendent of each county MR/DD board that22947
maintains special education classes under section 3317.20 of the22948
Revised Code or units approved pursuant to section 3317.05 of the 22949
Revised Code shall do both of the following:22950

       (a) Certify to the state board, in the manner prescribed by22951
the board, the average daily membership in classes under section 22952
3317.20 of the Revised Code for each school district that has22953
placed children in the classes;22954

       (b) Certify to the state board, in the manner prescribed by22955
the board, the number of all handicapped preschool children22956
enrolled as of the first day of December in classes eligible for22957
approval under division (B) of section 3317.05 of the Revised22958
Code, and the number of those classes.22959

       (3)(a) If on the first school day of April the number of22960
classes or units maintained for handicapped preschool children by22961
the county MR/DD board that are eligible for approval under22962
division (B) of section 3317.05 of the Revised Code is greater22963
than the number of units approved for the year under that22964
division, the superintendent shall make the certification required22965
by this section for that day.22966

       (b) If the department determines that additional classes or22967
units can be approved for the fiscal year within any limitations22968
set forth in the acts appropriating moneys for the funding of the22969
classes and units described in division (G)(3)(a) of this section, 22970
the department shall approve and fund additional units for the22971
fiscal year on the basis of such average daily membership. For22972
each unit so approved, the department shall pay an amount computed 22973
in the manner prescribed in sections 3317.052 and 3317.053 of the 22974
Revised Code.22975

       (H) Except as provided in division (I) of this section, when22976
any city, local, or exempted village school district provides22977
instruction for a nonresident pupil whose attendance is22978
unauthorized attendance as defined in section 3327.06 of the22979
Revised Code, that pupil's membership shall not be included in22980
that district's membership figure used in the calculation of that22981
district's formula ADM or included in the determination of any22982
unit approved for the district under section 3317.05 of the22983
Revised Code. The reporting official shall report separately the22984
average daily membership of all pupils whose attendance in the22985
district is unauthorized attendance, and the membership of each22986
such pupil shall be credited to the school district in which the22987
pupil is entitled to attend school under division (B) of section22988
3313.64 or section 3313.65 of the Revised Code as determined by22989
the department of education.22990

       (I)(1) A city, local, exempted village, or joint vocational22991
school district admitting a scholarship student of a pilot project22992
district pursuant to division (C) of section 3313.976 of the22993
Revised Code may count such student in its average daily22994
membership.22995

       (2) In any year for which funds are appropriated for pilot22996
project scholarship programs, a school district implementing a22997
state-sponsored pilot project scholarship program that year22998
pursuant to sections 3313.974 to 3313.979 of the Revised Code may 22999
count in average daily membership:23000

       (a) All children residing in the district and utilizing a23001
scholarship to attend kindergarten in any alternative school, as23002
defined in section 3313.974 of the Revised Code;23003

       (b) All children who were enrolled in the district in the23004
preceding year who are utilizing a scholarship to attend any such23005
alternative school.23006

       (J) The superintendent of each cooperative education school23007
district shall certify to the superintendent of public23008
instruction, in a manner prescribed by the state board of23009
education, the applicable average daily memberships for all23010
students in the cooperative education district, also indicating23011
the city, local, or exempted village district where each pupil is23012
entitled to attend school under section 3313.64 or 3313.65 of the23013
Revised Code.23014

       (K) If the superintendent of public instruction discovers an 23015
error in the formula ADM certified by a district superintendent, 23016
the superintendent of public instruction may order that the 23017
formula ADM used for the purposes of payments under any section of 23018
Title XXXIII of the Revised Code be adjusted in the amount of the 23019
error.23020

       Sec. 3317.04.  The amount paid to school districts in each23021
fiscal year under Chapter 3317. of the Revised Code shall not be23022
less than the following:23023

       (A) In the case of a district created under section 3311.26 23024
or 3311.37 of the Revised Code, the amount paid shall not be less, 23025
in any of the three succeeding fiscal years following the 23026
creation, than the sum of the amounts allocated under Chapter23027
3317. of the Revised Code to the districts separately in the year23028
of the creation.23029

       (B) In the case of a school district which is transferred to 23030
another school district or districts, pursuant to section 3311.22, 23031
3311.231, or 3311.38 of the Revised Code, the amount paid to the 23032
district accepting the transferred territory shall not be less, in 23033
any of the three succeeding fiscal years following the transfer, 23034
than the sum of the amounts allocated under Chapter 3317. of the 23035
Revised Code to the districts separately in the year of the 23036
consummation of the transfer.23037

       (C) In the case of any school district, the amount paid under 23038
Chapter 3317. of the Revised Code to the district in the fiscal 23039
year of distribution shall not be less than that paid under such 23040
chapter in the preceding fiscal year, less any amount paid in that 23041
preceding fiscal year under section 3317.0216 of the Revised Code, 23042
if in the calendar year ending the thirty-first day of December 23043
preceding the fiscal year of distribution, the county auditor of 23044
the county to which the district has been assigned by the 23045
department of education for administrative purposes has completed 23046
reassessment of all real estate within the county, or the tax 23047
duplicate of that county was increased by the application of a 23048
uniform taxable value per cent of true value pursuant to a rule or 23049
order of the tax commissioner and the revised valuations were 23050
entered on the tax list and duplicate. Notwithstanding sections 23051
3311.22, 3311.231, 3311.26, 3311.37, and 3311.38 of the Revised 23052
Code, this minimum guarantee is applicable only during the fiscal 23053
year immediately following the reassessment or application.23054

       (D) In the case of any school district that has territory in 23055
three or more counties, each of which contains at least twenty per 23056
cent of the district's territory, the amount paid under Chapter 23057
3317. of the Revised Code to the district in the fiscal year of 23058
distribution shall not be less than that paid under such chapter 23059
in the preceding fiscal year, less any amount paid in that 23060
preceding fiscal year under section 3317.0216 of the Revised Code, 23061
if in the calendar year ending the thirty-first day of December 23062
preceding the fiscal year of distribution, the county auditor of 23063
any such county completed reassessment of all real estate within 23064
the county, or the tax duplicate of any such county was increased 23065
by the application of a uniform taxable value per cent of true 23066
value pursuant to a rule or order of the tax commissioner and the 23067
revised valuations were entered on the tax list and duplicate. 23068
Notwithstanding sections 3311.22, 3311.231, 3311.26, 3311.37, and 23069
3311.38 of the Revised Code, this minimum guarantee is applicable 23070
only during the fiscal year immediately following the reassessment 23071
or application.23072

       Notwithstanding sections 3311.22, 3311.231, 3311.26, 3311.37, 23073
and 3311.38 of the Revised Code, the minimum guarantees prescribed 23074
by divisions (A) and (B) of this section shall not affect the 23075
amount of aid received by a school district for more than three 23076
consecutive years.23077

       Sec. 3317.06.  Moneys paid to school districts under division23078
(I) of section 3317.024 of the Revised Code shall be used for the23079
following independent and fully severable purposes:23080

       (A) To purchase such secular textbooks or electronic23081
textbooks as have been approved by the superintendent of public23082
instruction for use in public schools in the state and to loan23083
such textbooks or electronic textbooks to pupils attending23084
nonpublic schools within the district or to their parents and to23085
hire clerical personnel to administer such lending program. Such23086
loans shall be based upon individual requests submitted by such23087
nonpublic school pupils or parents. Such requests shall be23088
submitted to the school district in which the nonpublic school is23089
located. Such individual requests for the loan of textbooks or23090
electronic textbooks shall, for administrative convenience, be23091
submitted by the nonpublic school pupil or the pupil's parent to23092
the nonpublic school, which shall prepare and submit collective23093
summaries of the individual requests to the school district. As23094
used in this section:23095

       (1) "Textbook" means any book or book substitute that a pupil 23096
uses as a consumable or nonconsumable text, text substitute, or 23097
text supplement in a particular class or program in the school the 23098
pupil regularly attends.23099

       (2) "Electronic textbook" means computer software,23100
interactive videodisc, magnetic media, CD-ROM, computer23101
courseware, local and remote computer assisted instruction,23102
on-line service, electronic medium, or other means of conveying23103
information to the student or otherwise contributing to the23104
learning process through electronic means.23105

       (B) To provide speech and hearing diagnostic services to23106
pupils attending nonpublic schools within the district. Such23107
service shall be provided in the nonpublic school attended by the23108
pupil receiving the service.23109

       (C) To provide physician, nursing, dental, and optometric23110
services to pupils attending nonpublic schools within the23111
district. Such services shall be provided in the school attended23112
by the nonpublic school pupil receiving the service.23113

       (D) To provide diagnostic psychological services to pupils23114
attending nonpublic schools within the district. Such services23115
shall be provided in the school attended by the pupil receiving23116
the service.23117

       (E) To provide therapeutic psychological and speech and23118
hearing services to pupils attending nonpublic schools within the23119
district. Such services shall be provided in the public school, in 23120
nonpublic schools, in public centers, or in mobile units located 23121
on or off of the nonpublic premises. If such services are provided 23122
in the public school or in public centers, transportation to and 23123
from such facilities shall be provided by the school district in 23124
which the nonpublic school is located.23125

       (F) To provide guidance and counseling services to pupils23126
attending nonpublic schools within the district. Such services23127
shall be provided in the public school, in nonpublic schools, in23128
public centers, or in mobile units located on or off of the23129
nonpublic premises. If such services are provided in the public23130
school or in public centers, transportation to and from such23131
facilities shall be provided by the school district in which the23132
nonpublic school is located.23133

       (G) To provide remedial services to pupils attending23134
nonpublic schools within the district. Such services shall be23135
provided in the public school, in nonpublic schools, in public23136
centers, or in mobile units located on or off of the nonpublic23137
premises. If such services are provided in the public school or in 23138
public centers, transportation to and from such facilities shall 23139
be provided by the school district in which the nonpublic school 23140
is located.23141

       (H) To supply for use by pupils attending nonpublic schools23142
within the district such standardized tests and scoring services23143
as are in use in the public schools of the state;23144

       (I) To provide programs for children who attend nonpublic23145
schools within the district and are handicapped children as23146
defined in division (A) of section 3323.01 of the Revised Code or23147
gifted children. Such programs shall be provided in the public23148
school, in nonpublic schools, in public centers, or in mobile23149
units located on or off of the nonpublic premises. If such23150
programs are provided in the public school or in public centers,23151
transportation to and from such facilities shall be provided by23152
the school district in which the nonpublic school is located.23153

       (J) To hire clerical personnel to assist in the23154
administration of programs pursuant to divisions (B), (C), (D),23155
(E), (F), (G), and (I) of this section and to hire supervisory23156
personnel to supervise the providing of services and textbooks23157
pursuant to this section.23158

       (K) To purchase or lease any secular, neutral, and23159
nonideological computer software (including site-licensing),23160
prerecorded video laserdiscs, digital video on demand (DVD),23161
compact discs, and video cassette cartridges, wide area23162
connectivity and related technology as it relates to internet23163
access, mathematics or science equipment and materials,23164
instructional materials, and school library materials that are in23165
general use in the public schools of the state and loan such items23166
to pupils attending nonpublic schools within the district or to23167
their parents, and to hire clerical personnel to administer the23168
lending program. Only such items that are incapable of diversion23169
to religious use and that are susceptible of loan to individual23170
pupils and are furnished for the use of individual pupils shall be23171
purchased and loaned under this division. As used in this section,23172
"instructional materials" means prepared learning materials that23173
are secular, neutral, and nonideological in character and are of23174
benefit to the instruction of school children, and may include23175
educational resources and services developed by the eTech Ohio 23176
commission.23177

       (L) To purchase or lease instructional equipment, including23178
computer hardware and related equipment in general use in the23179
public schools of the state, for use by pupils attending nonpublic23180
schools within the district and to loan such items to pupils23181
attending nonpublic schools within the district or to their23182
parents, and to hire clerical personnel to administer the lending23183
program.23184

       (M) To purchase mobile units to be used for the provision of23185
services pursuant to divisions (E), (F), (G), and (I) of this23186
section and to pay for necessary repairs and operating costs23187
associated with these units.23188

       (N) To reimburse costs the district incurred to store the 23189
records of a chartered nonpublic school that closes. 23190
Reimbursements under this division shall be made one time only for 23191
each chartered nonpublic school that closes.23192

       Clerical and supervisory personnel hired pursuant to division23193
(J) of this section shall perform their services in the public23194
schools, in nonpublic schools, public centers, or mobile units23195
where the services are provided to the nonpublic school pupil,23196
except that such personnel may accompany pupils to and from the23197
service sites when necessary to ensure the safety of the children23198
receiving the services.23199

       All services provided pursuant to this section may be23200
provided under contract with educational service centers, the23201
department of health, city or general health districts, or private23202
agencies whose personnel are properly licensed by an appropriate23203
state board or agency.23204

       Transportation of pupils provided pursuant to divisions (E),23205
(F), (G), and (I) of this section shall be provided by the school23206
district from its general funds and not from moneys paid to it23207
under division (I) of section 3317.024 of the Revised Code unless23208
a special transportation request is submitted by the parent of the23209
child receiving service pursuant to such divisions. If such an23210
application is presented to the school district, it may pay for23211
the transportation from moneys paid to it under division (I) of23212
section 3317.024 of the Revised Code.23213

       No school district shall provide health or remedial services23214
to nonpublic school pupils as authorized by this section unless23215
such services are available to pupils attending the public schools23216
within the district.23217

       Materials, equipment, computer hardware or software,23218
textbooks, electronic textbooks, and health and remedial services23219
provided for the benefit of nonpublic school pupils pursuant to23220
this section and the admission of pupils to such nonpublic schools23221
shall be provided without distinction as to race, creed, color, or23222
national origin of such pupils or of their teachers.23223

       No school district shall provide services, materials, or23224
equipment that contain religious content for use in religious23225
courses, devotional exercises, religious training, or any other23226
religious activity.23227

       As used in this section, "parent" includes a person standing23228
in loco parentis to a child.23229

       Notwithstanding section 3317.01 of the Revised Code, payments23230
shall be made under this section to any city, local, or exempted23231
village school district within which is located one or more23232
nonpublic elementary or high schools and any payments made to23233
school districts under division (I) of section 3317.024 of the23234
Revised Code for purposes of this section may be disbursed without23235
submission to and approval of the controlling board.23236

       The allocation of payments for materials, equipment,23237
textbooks, electronic textbooks, health services, and remedial23238
services to city, local, and exempted village school districts23239
shall be on the basis of the state board of education's estimated23240
annual average daily membership in nonpublic elementary and high23241
schools located in the district.23242

       Payments made to city, local, and exempted village school23243
districts under this section shall be equal to specific23244
appropriations made for the purpose. All interest earned by a23245
school district on such payments shall be used by the district for23246
the same purposes and in the same manner as the payments may be23247
used.23248

       The department of education shall adopt guidelines and23249
procedures under which such programs and services shall be23250
provided, under which districts shall be reimbursed for23251
administrative costs incurred in providing such programs and23252
services, and under which any unexpended balance of the amounts23253
appropriated by the general assembly to implement this section may23254
be transferred to the auxiliary services personnel unemployment23255
compensation fund established pursuant to section 4141.47 of the23256
Revised Code. The department shall also adopt guidelines and23257
procedures limiting the purchase and loan of the items described23258
in division (K) of this section to items that are in general use23259
in the public schools of the state, that are incapable of23260
diversion to religious use, and that are susceptible to individual23261
use rather than classroom use. Within thirty days after the end of 23262
each biennium, each board of education shall remit to the23263
department all moneys paid to it under division (I) of section23264
3317.024 of the Revised Code and any interest earned on those23265
moneys that are not required to pay expenses incurred under this23266
section during the biennium for which the money was appropriated23267
and during which the interest was earned. If a board of education23268
subsequently determines that the remittal of moneys leaves the23269
board with insufficient money to pay all valid expenses incurred23270
under this section during the biennium for which the remitted23271
money was appropriated, the board may apply to the department of23272
education for a refund of money, not to exceed the amount of the23273
insufficiency. If the department determines the expenses were23274
lawfully incurred and would have been lawful expenditures of the23275
refunded money, it shall certify its determination and the amount23276
of the refund to be made to the director of job and family23277
services who shall make a refund as provided in section 4141.47 of23278
the Revised Code.23279

       Each school district shall label materials, equipment, 23280
computer hardware or software, textbooks, and electronic textbooks 23281
purchased or leased for loan to a nonpublic school under this 23282
section, acknowledging that they were purchased or leased with 23283
state funds under this section. However, a district need not label 23284
materials, equipment, computer hardware or software, textbooks, or 23285
electronic textbooks that the district determines are consumable 23286
in nature or have a value of less than two hundred dollars.23287

       Sec. 3317.08.  A board of education may admit to its schools 23288
a child it is not required by section 3313.64 or 3313.65 of the 23289
Revised Code to admit, if tuition is paid for the child.23290

       Unless otherwise provided by law, tuition shall be computed23291
in accordance with this section. A district's tuition charge for a 23292
school year shall be one of the following:23293

       (A) For any child, except a handicapped preschool child23294
described in division (B) of this section, the quotient obtained23295
by dividing the sum of the amounts described in divisions (A)(1)23296
and (2) of this section by the district's formula ADM.23297

       (1) The district's total taxes charged and payable for23298
current expenses for the tax year preceding the tax year in which23299
the school year begins as certified under division (A)(3) of23300
section 3317.021 of the Revised Code.23301

       (2) The district's total taxes collected for current expenses 23302
under a school district income tax adopted pursuant to section 23303
5748.03 or 5748.08 of the Revised Code that are disbursed to the23304
district during the fiscal year. On or before the first day of23305
June of each year, the tax commissioner shall certify the amount23306
to be used in the calculation under this division for the next23307
fiscal year to the department of education and the office of 23308
budget and management for each city, local, and exempted village 23309
school district that levies a school district income tax.23310

       (B) For any handicapped preschool child not included in a23311
unit approved under division (B) of section 3317.05 of the Revised 23312
Code, an amount computed for the school year as follows:23313

       (1) For each type of special education service provided to23314
the child for whom tuition is being calculated, determine the23315
amount of the district's operating expenses in providing that type 23316
of service to all handicapped preschool children not included in 23317
units approved under division (B) of section 3317.05 of the 23318
Revised Code;23319

       (2) For each type of special education service for which23320
operating expenses are determined under division (B)(1) of this23321
section, determine the amount of such operating expenses that was23322
paid from any state funds received under this chapter;23323

       (3) For each type of special education service for which23324
operating expenses are determined under division (B)(1) of this23325
section, divide the difference between the amount determined under 23326
division (B)(1) of this section and the amount determined under 23327
division (B)(2) of this section by the total number of handicapped 23328
preschool children not included in units approved under division 23329
(B) of section 3317.05 of the Revised Code who received that type 23330
of service;23331

       (4) Determine the sum of the quotients obtained under23332
division (B)(3) of this section for all types of special education 23333
services provided to the child for whom tuition is being 23334
calculated.23335

       The state board of education shall adopt rules defining the23336
types of special education services and specifying the operating23337
expenses to be used in the computation under this section.23338

       If any child for whom a tuition charge is computed under this 23339
section for any school year is enrolled in a district for only 23340
part of that school year, the amount of the district's tuition 23341
charge for the child for the school year shall be computed in 23342
proportion to the number of school days the child is enrolled in 23343
the district during the school year.23344

       Except as otherwise provided in division (J) of section23345
3313.64 of the Revised Code, whenever a district admits a child to 23346
its schools for whom tuition computed in accordance with this23347
section is an obligation of another school district, the amount of 23348
the tuition shall be certified by the treasurer of the board of 23349
education of the district of attendance, to the board of education 23350
of the district required to pay tuition for its approval and 23351
payment. If agreement as to the amount payable or the district 23352
required to pay the tuition cannot be reached, or the board of 23353
education of the district required to pay the tuition refuses to 23354
pay that amount, the board of education of the district of 23355
attendance shall notify the superintendent of public instruction. 23356
The superintendent shall determine the correct amount and the 23357
district required to pay the tuition and shall deduct that amount, 23358
if any, under division (G) of section 3317.023 of the Revised 23359
Code, from the district required to pay the tuition and add that 23360
amount to the amount allocated to the district attended under such 23361
division. The superintendent of public instruction shall send to 23362
the district required to pay the tuition an itemized statement 23363
showing such deductions at the time of such deduction.23364

       When a political subdivision owns and operates an airport,23365
welfare, or correctional institution or other project or facility23366
outside its corporate limits, the territory within which the23367
facility is located is exempt from taxation by the school district 23368
within which such territory is located, and there are school age 23369
children residing within such territory, the political subdivision 23370
owning such tax exempt territory shall pay tuition to the district 23371
in which such children attend school. The tuition for these 23372
children shall be computed as provided for in this section.23373

       Sec. 3317.16.  (A) As used in this section:23374

       (1) "State share percentage" means the percentage calculated23375
for a joint vocational school district as follows:23376

       (a) Calculate the state base cost funding amount for the23377
district under division (B) of this section. If the district would 23378
not receive any base cost funding for that year under that23379
division, the district's state share percentage is zero.23380

       (b) If the district would receive base cost funding under23381
that division, divide that base cost amount by an amount equal to23382
the following:23383

cost-of-doing-business factor X
23384

the formula amount X
23385

formula ADM
23386

       The resultant number is the district's state share23387
percentage.23388

       (2) The "total special education weight" for a joint23389
vocational school district shall be calculated in the same manner23390
as prescribed in division (B)(1) of section 3317.022 of the23391
Revised Code.23392

       (3) The "total vocational education weight" for a joint23393
vocational school district shall be calculated in the same manner23394
as prescribed in division (B)(4) of section 3317.022 of the23395
Revised Code.23396

       (4) The "total recognized valuation" of a joint vocational23397
school district shall be determined by adding the recognized23398
valuations of all its constituent school districts for the23399
applicable fiscal year.23400

       (5) "Resident district" means the city, local, or exempted 23401
village school district in which a student is entitled to attend 23402
school under section 3313.64 or 3313.65 of the Revised Code.23403

       (6) "Community school" means a community school established 23404
under Chapter 3314. of the Revised Code.23405

       (B) The department of education shall compute and distribute23406
state base cost funding to each joint vocational school district23407
for the fiscal year in accordance with division (B) of this 23408
section.23409

       (1) Compute the following for each eligible districtformula:23410

(
cost-of-doing-business factor X
23411

formula amount X
23412

formula ADM) -
23413

(.0005 X total recognized valuation)
23414

       If the difference obtained under this division is a negative23415
number, the district's computation shall be zero.23416

       (2) Compute both of the following for each district:23417

       (a) The difference of (i) the district's fiscal year 2005 23418
base cost payment under the version of division (B) of this 23419
section in effect in fiscal year 2005, minus (ii) the amount 23420
computed for the district for the current fiscal year under 23421
current division (B)(1) of this section;23422

       (b) The following amount:23423

[(fiscal year 2005 base cost payment/fiscal year 2005 formula
23424

ADM) X current year formula ADM] minus the amount computed for
23425

the district under current division (B)(1) of this section
23426

       If one of the amounts computed under division (B)(2)(a) or 23427
(b) of this section is a positive amount, the department shall pay 23428
the district that amount in addition to the amount calculated 23429
under division (B)(1) of this section. If both amounts are 23430
positive amounts, the department shall pay the district the lesser 23431
of the two amounts in addition to the amount calculated under 23432
division (B)(1) of this section.23433

       (C)(1) The department shall compute and distribute state23434
vocational education additional weighted costs funds to each joint23435
vocational school district in accordance with the following23436
formula:23437

state share percentage X formula amount X
23438

total vocational education weight
23439

        In each fiscal year, a joint vocational school district 23440
receiving funds under division (C)(1) of this section shall spend 23441
those funds only for the purposes the department designates as 23442
approved for vocational education expenses. Vocational educational 23443
expenses approved by the department shall include only expenses 23444
connected to the delivery of career-technical programming to 23445
career-technical students. The department shall require the joint 23446
vocational school district to report data annually so that the 23447
department may monitor the district's compliance with the 23448
requirements regarding the manner in which funding received under 23449
division (C)(1) of this section may be spent.23450

       (2) The department shall compute for each joint vocational23451
school district state funds for vocational education associated23452
services costs in accordance with the following formula:23453

state share percentage X .05 X
23454

the formula amount X the sum of
23455

categories one and two vocational
23456

education ADM
23457

       In any fiscal year, a joint vocational school district23458
receiving funds under division (C)(2) of this section, or through23459
a transfer of funds pursuant to division (L) of section 3317.02323460
of the Revised Code, shall spend those funds only for the purposes23461
that the department designates as approved for vocational23462
education associated services expenses, which may include such23463
purposes as apprenticeship coordinators, coordinators for other23464
vocational education services, vocational evaluation, and other23465
purposes designated by the department. The department may deny23466
payment under division (C)(2) of this section to any district that23467
the department determines is not operating those services or is23468
using funds paid under division (C)(2) of this section, or through23469
a transfer of funds pursuant to division (L) of section 3317.02323470
of the Revised Code, for other purposes.23471

       (D)(1) The department shall compute and distribute state23472
special education and related services additional weighted costs23473
funds to each joint vocational school district in accordance with23474
the following formula:23475

state share percentage X formula amount X
23476

total special education weight
23477

       (2)(a) As used in this division, the "personnel allowance"23478
means thirty thousand dollars in fiscal years 2002, 2003, 2004, 23479
2005, 2006, and 20072008 and 2009.23480

       (b) For the provision of speech language pathology services 23481
to students, including students who do not have individualized 23482
education programs prepared for them under Chapter 3323. of the 23483
Revised Code, and for no other purpose, the department shall pay 23484
each joint vocational school district an amount calculated under 23485
the following formula:23486

(formula ADM divided by 2000) X the personnel
23487

allowance X state share percentage
23488

       (3) In any fiscal year, a joint vocational school district 23489
shall spend for purposes that the department designates as 23490
approved for special education and related services expenses at 23491
least the amount calculated as follows:23492

(
cost-of-doing-business factor X
formula amount
23493

X the sum of categories one through
23494

six special education ADM) +
23495

(total special education weight X
23496

formula amount)
23497

       The purposes approved by the department for special education 23498
expenses shall include, but shall not be limited to, compliance 23499
with state rules governing the education of handicapped children, 23500
providing services identified in a student's individualized 23501
education program as defined in section 3323.01 of the Revised 23502
Code, provision of speech language pathology services, and the 23503
portion of the district's overall administrative and overhead 23504
costs that are attributable to the district's special education 23505
student population.23506

       The department shall require joint vocational school 23507
districts to report data annually to allow for monitoring 23508
compliance with division (D)(3) of this section. The department 23509
shall annually report to the governor and the general assembly the 23510
amount of money spent by each joint vocational school district for 23511
special education and related services.23512

       (4) In any fiscal year, a joint vocational school district 23513
shall spend for the provision of speech language pathology 23514
services not less than the sum of the amount calculated under 23515
division (D)(1) of this section for the students in the district's 23516
category one special education ADM and the amount calculated under 23517
division (D)(2) of this section.23518

       (E)(1) If a joint vocational school district's costs for a23519
fiscal year for a student in its categories two through six23520
special education ADM exceed the threshold catastrophic cost for23521
serving the student, as specified in division (C)(3)(b) of section23522
3317.022 of the Revised Code, the district may submit to the23523
superintendent of public instruction documentation, as prescribed23524
by the superintendent, of all of its costs for that student. Upon23525
submission of documentation for a student of the type and in the23526
manner prescribed, the department shall pay to the district an23527
amount equal to the sum of the following:23528

       (a) One-half of the district's costs for the student in23529
excess of the threshold catastrophic cost;23530

       (b) The product of one-half of the district's costs for the23531
student in excess of the threshold catastrophic cost multiplied by23532
the district's state share percentage.23533

       (2) The district shall only report under division (E)(1) of23534
this section, and the department shall only pay for, the costs of23535
educational expenses and the related services provided to the23536
student in accordance with the student's individualized education23537
program. Any legal fees, court costs, or other costs associated23538
with any cause of action relating to the student may not be23539
included in the amount.23540

       (F) Each fiscal year, the department shall pay each joint23541
vocational school district an amount for adult technical and23542
vocational education and specialized consultants.23543

       (G)(1) A joint vocational school district's local share of23544
special education and related services additional weighted costs23545
equals:23546

(1 - state share percentage) X
23547

Total special education weight X
23548

the formula amount
23549

       (2) For each handicapped student receiving special education 23550
and related services under an individualized education program, as 23551
defined in section 3323.01 of the Revised Code, at a joint 23552
vocational district, the resident district or, if the student is 23553
enrolled in a community school, the community school shall be 23554
responsible for the amount of any costs of providing those special 23555
education and related services to that student that exceed the sum 23556
of the amount calculated for those services attributable to that 23557
student under divisions (B), (D), (E), and (G)(1) of this section.23558

       Those excess costs shall be calculated by subtracting the sum 23559
of the following from the actual cost to provide special education 23560
and related services to the student:23561

       (a) The product of the formula amount times the 23562
cost-of-doing-business factor;23563

       (b) The product of the formula amount times the applicable 23564
multiple specified in section 3317.013 of the Revised Code;23565

       (c) Any funds paid under division (E) of this section for the 23566
student;23567

       (d) Any other funds received by the joint vocational school 23568
district under this chapter to provide special education and 23569
related services to the student, not including the amount 23570
calculated under division (G)(2) of this section.23571

       (3) The board of education of the joint vocational school 23572
district may report the excess costs calculated under division 23573
(G)(2) of this section to the department of education.23574

       (4) If the board of education of the joint vocational school 23575
district reports excess costs under division (G)(3) of this 23576
section, the department shall pay the amount of excess cost 23577
calculated under division (G)(2) of this section to the joint 23578
vocational school district and shall deduct that amount as 23579
provided in division (G)(4)(a) or (b) of this section, as 23580
applicable:23581

       (a) If the student is not enrolled in a community school, the 23582
department shall deduct the amount from the account of the 23583
student's resident district pursuant to division (M) of section 23584
3317.023 of the Revised Code.23585

       (b) If the student is enrolled in a community school, the 23586
department shall deduct the amount from the account of the 23587
community school pursuant to section 3314.083 of the Revised Code.23588

       Sec. 3317.161. If the department of education is required to 23589
pay an amount under section 3353.25 of the Revised Code to a 23590
school district delivering a course included in the clearinghouse 23591
established under section 3353.21 of the Revised Code for a 23592
student enrolled in a joint vocational school district, the 23593
department shall deduct the amount of that payment from the amount 23594
calculated for the joint vocational school district under section 23595
3317.16 of the Revised Code.23596

       Sec. 3317.20.  This section does not apply to handicapped23597
preschool children.23598

       (A) As used in this section:23599

       (1) "Applicable weight" means the multiple specified in23600
section 3317.013 of the Revised Code for a handicap described in23601
that section.23602

       (2) "Child's school district" means the school district in23603
which a child is entitled to attend school pursuant to section23604
3313.64 or 3313.65 of the Revised Code.23605

       (3) "State share percentage" means the state share percentage23606
of the child's school district as defined in section 3317.022 of23607
the Revised Code.23608

       (B) Except as provided in division (C) of this section, the23609
department shall annually pay each county MR/DD board for each 23610
handicapped child, other than a handicapped preschool child, for 23611
whom the county MR/DD board provides special education and related23612
services the greater of the amount calculated under division 23613
(B)(1) or (2) of this section:23614

       (1) (The formula amount for fiscal year 2005 X the 23615
cost-of-doing-business factor for the child's school district for 23616
fiscal year 2005) + (state share percentage for fiscal year 2005 X 23617
formula amount for fiscal year 2005 X the applicable weight);23618

       (2) (The currentan amount equal to the formula amount times 23619
the current cost-of-doing-business factor for the child's school 23620
district) + (state share percentage X current formula amount X the 23621
applicable weight).23622

       (C) If any school district places with a county MR/DD board23623
more handicapped children than it had placed with a county MR/DD23624
board in fiscal year 1998, the department shall not make a payment23625
under division (B) of this section for the number of children23626
exceeding the number placed in fiscal year 1998. The department23627
instead shall deduct from the district's payments under this23628
chapter, and pay to the county MR/DD board, an amount calculated23629
in accordance with the formula prescribed in division (B) of this23630
section for each child over the number of children placed in23631
fiscal year 1998.23632

       (D) The department shall calculate for each county MR/DD23633
board receiving payments under divisions (B) and (C) of this23634
section the following amounts:23635

       (1) The amount received by the county MR/DD board for23636
approved special education and related services units, other than23637
preschool handicapped units, in fiscal year 1998, divided by the23638
total number of children served in the units that year;23639

       (2) The product of the quotient calculated under division23640
(D)(1) of this section times the number of children for whom23641
payments are made under divisions (B) and (C) of this section.23642

       If the amount calculated under division (D)(2) of this23643
section is greater than the total amount calculated under23644
divisions (B) and (C) of this section, the department shall pay23645
the county MR/DD board one hundred per cent of the difference in23646
addition to the payments under divisions (B) and (C) of this23647
section.23648

       Sec. 3317.201. This section does not apply to handicapped 23649
preschool children.23650

       (A) As used in this section, the "total special education 23651
weight" for an institution means the sum of the following amounts:23652

       (1) The number of children reported by the institution under 23653
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as 23654
receiving services for a handicap described in division (A) of 23655
section 3317.013 of the Revised Code multiplied by the multiple 23656
specified in that division;23657

       (2) The number of children reported by the institution under 23658
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as 23659
receiving services for a handicap described in division (B) of 23660
section 3317.013 of the Revised Code multiplied by the multiple 23661
specified in that division;23662

       (3) The number of children reported by the institution under 23663
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as 23664
receiving services for a handicap described in division (C) of 23665
section 3317.013 of the Revised Code multiplied by the multiple 23666
specified in that division;23667

       (4) The number of children reported by the institution under 23668
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as 23669
receiving services for a handicap described in division (D) of 23670
section 3317.013 of the Revised Code multiplied by the multiple 23671
specified in that division;23672

       (5) The number of children reported by the institution under 23673
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as 23674
receiving services for a handicap described in division (E) of 23675
section 3317.013 of the Revised Code multiplied by the multiple 23676
specified in that division;23677

       (6) The number of children reported by the institution under 23678
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as 23679
receiving services for a handicap described in division (F) of 23680
section 3317.013 of the Revised Code multiplied by the multiple 23681
specified in that division.23682

       (B) TheFor each fiscal year, the department of education 23683
annually shall pay each state institution required to provide 23684
special education services under division (A) of section 3323.091 23685
of the Revised Code an amount equal to the greater of:23686

       (1) The formula amount times the institution's total special 23687
education weight;23688

       (2) The aggregate amount of special education and related 23689
services unit funding the institution received for all handicapped 23690
children other than handicapped preschool children in fiscal year 23691
2005 under sections 3317.052 and 3317.053 of the Revised Code, as 23692
those sections existed prior to the effective date of this section23693
June 30, 2005.23694

       Sec. 3318.12. (A) The Ohio school facilities commission shall23695
cause to be transferred to the school district's project23696
construction fund the necessary amounts from amounts appropriated23697
by the general assembly and set aside for such purpose, from time23698
to time as may be necessary to pay obligations chargeable to such23699
fund when due. All investment earnings of a school district's23700
project construction fund shall be credited to the fund.23701

       (B)(1) The treasurer of the school district board shall 23702
disburse funds from the school district's project construction 23703
fund, including investment earnings credited to the fund, only 23704
upon the approval of the commission or the commission's designated23705
representative. The commission or the commission's designated23706
representative shall issue vouchers against such fund, in such23707
amounts, and at such times as required by the contracts for23708
construction of the project.23709

       (2) Notwithstanding anything to the contrary in division 23710
(B)(1) of this section, the school district board may, by a duly 23711
adopted resolution, choose to use all or part of the investment 23712
earnings of the district's project construction fund that are 23713
attributable to the district's contribution to the fund to pay the 23714
cost of classroom facilities or portions or components of 23715
classroom facilities that are not included in the district's basic 23716
project cost but that are related to the district's project. If 23717
the district board adopts a resolution in favor of using those 23718
investment earnings as authorized under division (B)(2) of this 23719
section, the treasurer shall disburse the amount as designated and 23720
directed by the board. However, if the district board chooses to 23721
use any part of the investment earnings for classroom facilities 23722
or portions or components of classroom facilities that are not 23723
included in the basic project cost, as authorized under division 23724
(B)(2) of this section, and, subsequently, the cost of the project 23725
exceeds the amount in the project construction fund, the district 23726
board shall restore to the project construction fund the full 23727
amount of the investment earnings used under division (B)(2) of 23728
this section before any additional state moneys shall be released 23729
for the project.23730

       (C) After the project has been completed:23731

       (1) AnyAt the discretion of the school district board, any23732
investment earnings remaining in the project construction fund 23733
that are attributable to the school district's contribution to the 23734
fund shall be transferred:23735

       (a) Retained in the project construction fund for future 23736
projects;23737

       (b) Transferred to the district's maintenance fund required23738
by division (B) of section 3318.05 or section 3318.43 of the 23739
Revised Code, and the money so transferred shall be used solely 23740
for maintaining the classroom facilities included in the project;23741

       (c) Transferred to the district's permanent improvement fund.23742

       (2) Any investment earnings remaining in the project23743
construction fund that are attributable to the state's23744
contribution to the fund shall be transferred to the commission23745
for expenditure pursuant to sections 3318.01 to 3318.20 or23746
sections 3318.40 to 3318.45 of the Revised Code.23747

       (3) Any other surplus remaining in the school district's23748
project construction fund after the project has been completed23749
shall be transferred to the commission and the school district23750
board in proportion to their respective contributions to the fund.23751
The commission shall use the money transferred to it under this23752
division for expenditure pursuant to sections 3318.01 to 3318.2023753
or sections 3318.40 to 3318.45 of the Revised Code.23754

       (D) Pursuant to appropriations of the general assembly, any23755
moneys transferred to the commission under division (C)(2) or (3)23756
of this section from a project construction fund for a project23757
under sections 3318.40 to 3318.45 of the Revised Code may be used23758
for future expenditures for projects under sections 3318.40 to23759
3318.45 of the Revised Code, notwithstanding the two per cent23760
annual limit specified in division (B) of section 3318.40 of the23761
Revised Code.23762

       Sec. 3318.15.  There is hereby created the public school23763
building fund within the state treasury consisting of any moneys23764
transferred or appropriated to the fund by the general assembly, 23765
moneys paid into or transferred in accordance with section 3318.47 23766
of the Revised Code, and any grants, gifts, or contributions 23767
received by the Ohio school facilities commission to be used for 23768
the purposes of the fund. All investment earnings of the fund 23769
shall be credited to the fund.23770

       Moneys transferred or appropriated to the fund by the general23771
assembly and moneys in the fund from grants, gifts, and23772
contributions shall be used for the purposes of Chapter 3318. of 23773
the Revised Code as prescribed by the general assembly.23774

       Sec. 3318.26.  (A) The provisions of this section apply only23775
to obligations issued by the issuing authority prior to December23776
1, 1999.23777

       (B) Subject to the limitations provided in section 3318.29 of 23778
the Revised Code, the issuing authority, upon the certification by 23779
the Ohio school facilities commission to the issuing authority of 23780
the amount of moneys or additional moneys needed in the school23781
building program assistance fund for the purposes of sections23782
3318.01 to 3318.20 and sections 3318.40 to 3318.45 of the Revised23783
Code, or needed for capitalized interest, for funding reserves,23784
and for paying costs and expenses incurred in connection with the23785
issuance, carrying, securing, paying, redeeming, or retirement of23786
the obligations or any obligations refunded thereby, including23787
payment of costs and expenses relating to letters of credit, lines23788
of credit, insurance, put agreements, standby purchase agreements,23789
indexing, marketing, remarketing and administrative arrangements,23790
interest swap or hedging agreements, and any other credit23791
enhancement, liquidity, remarketing, renewal, or refunding23792
arrangements, all of which are authorized by this section, shall23793
issue obligations of the state under this section in the required23794
amount. The proceeds of such obligations, except for obligations23795
issued to provide moneys for the school building program23796
assistance fund shall be deposited by the treasurer of state in23797
special funds, including reserve funds, as provided in the bond23798
proceedings. The issuing authority may appoint trustees, paying23799
agents, and transfer agents and may retain the services of23800
financial advisors and accounting experts and retain or contract23801
for the services of marketing, remarketing, indexing, and23802
administrative agents, other consultants, and independent23803
contractors, including printing services, as are necessary in the23804
issuing authority's judgment to carry out this section. The costs23805
of such services are payable from the school building program23806
assistance fund or any special fund determined by the issuing23807
authority.23808

       (C) The holders or owners of such obligations shall have no23809
right to have moneys raised by taxation obligated or pledged, and23810
moneys raised by taxation shall not be obligated or pledged, for23811
the payment of bond service charges. Such holders or owners shall23812
have no rights to payment of bond service charges from any money23813
or property received by the commission, treasurer of state, or the23814
state, or from any other use of the proceeds of the sale of the23815
obligations, and no such moneys may be used for the payment of23816
bond service charges, except for accrued interest, capitalized23817
interest, and reserves funded from proceeds received upon the sale23818
of the obligations and except as otherwise expressly provided in23819
the applicable bond proceedings pursuant to written directions by23820
the treasurer of state. The right of such holders and owners to23821
payment of bond service charges shall be limited to all or that23822
portion of the pledged receipts and those special funds pledged23823
thereto pursuant to the bond proceedings in accordance with this23824
section, and each such obligation shall bear on its face a23825
statement to that effect.23826

       (D) Obligations shall be authorized by resolution or order of 23827
the issuing authority and the bond proceedings shall provide for 23828
the purpose thereof and the principal amount or amounts, and shall 23829
provide for or authorize the manner or agency for determining the 23830
principal maturity or maturities, not exceeding the limits 23831
specified in section 3318.29 of the Revised Code, the interest 23832
rate or rates or the maximum interest rate, the date of the 23833
obligations and the dates of payment of interest thereon, their 23834
denomination, and the establishment within or without the state of 23835
a place or places of payment of bond service charges. Sections 23836
9.98 to 9.983 of the Revised Code are applicable to obligations 23837
issued under this section, subject to any applicable limitation 23838
under section 3318.29 of the Revised Code. The purpose of such 23839
obligations may be stated in the bond proceedings in terms23840
describing the general purpose or purposes to be served. The bond23841
proceedings shall also provide, subject to the provisions of any23842
other applicable bond proceedings, for the pledge of all, or such23843
part as the issuing authority may determine, of the pledged23844
receipts and the applicable special fund or funds to the payment23845
of bond service charges, which pledges may be made either prior or23846
subordinate to other expenses, claims, or payments, and may be23847
made to secure the obligations on a parity with obligations23848
theretofore or thereafter issued, if and to the extent provided in23849
the bond proceedings. The pledged receipts and special funds so23850
pledged and thereafter received by the state are immediately23851
subject to the lien of such pledge without any physical delivery23852
thereof or further act, and the lien of any such pledges is valid23853
and binding against all parties having claims of any kind against23854
the state or any governmental agency of the state, irrespective of23855
whether such parties have notice thereof, and shall create a23856
perfected security interest for all purposes of Chapter 1309. of23857
the Revised Code, without the necessity for separation or delivery23858
of funds or for the filing or recording of the bond proceedings by23859
which such pledge is created or any certificate, statement or23860
other document with respect thereto; and the pledge of such23861
pledged receipts and special funds is effective and the money23862
therefrom and thereof may be applied to the purposes for which23863
pledged without necessity for any act of appropriation, except as23864
required by section 3770.06 of the Revised Code. Every pledge, and 23865
every covenant and agreement made with respect thereto, made in 23866
the bond proceedings may therein be extended to the benefit of the 23867
owners and holders of obligations authorized by this section, and 23868
to any trustee therefor, for the further security of the payment 23869
of the bond service charges.23870

       (E) The bond proceedings may contain additional provisions as 23871
to:23872

       (1) The redemption of obligations prior to maturity at the23873
option of the issuing authority at such price or prices and under23874
such terms and conditions as are provided in the bond proceedings;23875

       (2) Other terms of the obligations;23876

       (3) Limitations on the issuance of additional obligations;23877

       (4) The terms of any trust agreement or indenture securing23878
the obligations or under which the same may be issued;23879

       (5) The deposit, investment and application of special funds, 23880
and the safeguarding of moneys on hand or on deposit, without 23881
regard to Chapter 131., 133., or 135. of the Revised Code, but 23882
subject to any special provisions of sections 3318.21 to 3318.29 23883
of the Revised Code, with respect to particular funds or moneys, 23884
provided that any bank or trust company that acts as depository of 23885
any moneys in the special funds may furnish such indemnifying 23886
bonds or may pledge such securities as required by the issuing 23887
authority;23888

       (6) Any or every provision of the bond proceedings being23889
binding upon such officer, board, commission, authority, agency,23890
department, or other person or body as may from time to time have23891
the authority under law to take such actions as may be necessary23892
to perform all or any part of the duty required by such provision;23893

       (7) Any provision that may be made in a trust agreement or23894
indenture;23895

       (8) The lease or sublease of any interest of the school23896
district or the state in one or more projects as defined in23897
division (C) of section 3318.01 of the Revised Code, or in one or23898
more permanent improvements, to or from the issuing authority, as23899
provided in one or more lease or sublease agreements between the23900
school or the state and the issuing authority;23901

       (9) Any other or additional agreements with the holders of23902
the obligations, or the trustee therefor, relating to the23903
obligations or the security therefor.23904

       (F) The obligations may have the great seal of the state or a 23905
facsimile thereof affixed thereto or printed thereon. The23906
obligations and any coupons pertaining to obligations shall be23907
signed or bear the facsimile signature of the issuing authority.23908
Any obligations or coupons may be executed by the person who, on23909
the date of execution, is the proper issuing authority although on23910
the date of such bonds or coupons such person was not the issuing23911
authority. In case the issuing authority whose signature or a23912
facsimile of whose signature appears on any such obligation or23913
coupon ceases to be the issuing authority before delivery thereof,23914
such signature or facsimile is nevertheless valid and sufficient23915
for all purposes as if the issuing authority had remained the23916
issuing authority until such delivery; and in case the seal to be23917
affixed to obligations has been changed after a facsimile of the23918
seal has been imprinted on such obligations, such facsimile seal23919
shall continue to be sufficient as to such obligations and23920
obligations issued in substitution or exchange therefor.23921

       (G) All obligations are negotiable instruments and securities 23922
under Chapter 1308. of the Revised Code, subject to the provisions 23923
of the bond proceedings as to registration. The obligations may be 23924
issued in coupon or in registered form, or both, as the issuing 23925
authority determines. Provision may be made for the registration 23926
of any obligations with coupons attached thereto as to principal 23927
alone or as to both principal and interest, their exchange for 23928
obligations so registered, and for the conversion or reconversion 23929
into obligations with coupons attached thereto of any obligations 23930
registered as to both principal and interest, and for reasonable 23931
charges for such registration, exchange, conversion, and 23932
reconversion.23933

       (H) Obligations may be sold at public sale or at private23934
sale, as determined in the bond proceedings.23935

       (I) Pending preparation of definitive obligations, the23936
issuing authority may issue interim receipts or certificates which23937
shall be exchanged for such definitive obligations.23938

       (J) In the discretion of the issuing authority, obligations23939
may be secured additionally by a trust agreement or indenture23940
between the issuing authority and a corporate trustee which may be23941
any trust company or bank having its principala place of business23942
within the state. Any such agreement or indenture may contain the23943
resolution or order authorizing the issuance of the obligations,23944
any provisions that may be contained in any bond proceedings, and23945
other provisions that are customary or appropriate in an agreement23946
or indenture of such type, including, but not limited to:23947

       (1) Maintenance of each pledge, trust agreement, indenture,23948
or other instrument comprising part of the bond proceedings until23949
the state has fully paid the bond service charges on the23950
obligations secured thereby, or provision therefor has been made;23951

       (2) In the event of default in any payments required to be23952
made by the bond proceedings, or any other agreement of the23953
issuing authority made as a part of the contract under which the23954
obligations were issued, enforcement of such payments or agreement23955
by mandamus, the appointment of a receiver, suit in equity, action23956
at law, or any combination of the foregoing;23957

       (3) The rights and remedies of the holders of obligations and 23958
of the trustee, and provisions for protecting and enforcing them, 23959
including limitations on rights of individual holders of23960
obligations;23961

       (4) The replacement of any obligations that become mutilated23962
or are destroyed, lost, or stolen;23963

       (5) Such other provisions as the trustee and the issuing23964
authority agree upon, including limitations, conditions, or23965
qualifications relating to any of the foregoing.23966

       (K) Any holder of obligations or a trustee under the bond23967
proceedings, except to the extent that the holder's or trustee's23968
rights are restricted by the bond proceedings, may by any suitable23969
form of legal proceedings, protect and enforce any rights under23970
the laws of this state or granted by such bond proceedings. Such23971
rights include the right to compel the performance of all duties23972
of the issuing authority, the commission, or the director of23973
budget and management required by sections 3318.21 to 3318.29 of23974
the Revised Code or the bond proceedings; to enjoin unlawful23975
activities; and in the event of default with respect to the23976
payment of any bond service charges on any obligations or in the23977
performance of any covenant or agreement on the part of the23978
issuing authority, the commission, or the director of budget and23979
management in the bond proceedings, to apply to a court having23980
jurisdiction of the cause to appoint a receiver to receive and23981
administer the pledged receipts and special funds, other than23982
those in the custody of the treasurer of state or the commission,23983
which are pledged to the payment of the bond service charges on23984
such obligations or which are the subject of the covenant or23985
agreement, with full power to pay, and to provide for payment of23986
bond service charges on, such obligations, and with such powers,23987
subject to the direction of the court, as are accorded receivers23988
in general equity cases, excluding any power to pledge additional23989
revenues or receipts or other income or moneys of the issuing23990
authority or the state or governmental agencies of the state to23991
the payment of such principal and interest and excluding the power23992
to take possession of, mortgage, or cause the sale or otherwise23993
dispose of any permanent improvement.23994

       Each duty of the issuing authority and the issuing23995
authority's officers and employees, and of each governmental23996
agency and its officers, members, or employees, undertaken23997
pursuant to the bond proceedings or any agreement or loan made23998
under authority of sections 3318.21 to 3318.29 of the Revised23999
Code, and in every agreement by or with the issuing authority, is24000
hereby established as a duty of the issuing authority, and of each24001
such officer, member, or employee having authority to perform such24002
duty, specifically enjoined by the law resulting from an office,24003
trust, or station within the meaning of section 2731.01 of the24004
Revised Code.24005

       The person who is at the time the issuing authority, or the24006
issuing authority's officers or employees, are not liable in their24007
personal capacities on any obligations issued by the issuing24008
authority or any agreements of or with the issuing authority.24009

       (L) Obligations issued under this section are lawful24010
investments for banks, societies for savings, savings and loan24011
associations, deposit guarantee associations, trust companies,24012
trustees, fiduciaries, insurance companies, including domestic for24013
life and domestic not for life, trustees or other officers having24014
charge of sinking and bond retirement or other special funds of24015
political subdivisions and taxing districts of this state, the24016
commissioners of the sinking fund of the state, the administrator24017
of workers' compensation, the state teachers retirement system,24018
the public employees retirement system, the school employees24019
retirement system, and the Ohio police and fire pension fund,24020
notwithstanding any other provisions of the Revised Code or rules24021
adopted pursuant thereto by any governmental agency of the state24022
with respect to investments by them, and also are acceptable as24023
security for the deposit of public moneys.24024

       (M) Unless otherwise provided in any applicable bond24025
proceedings, moneys to the credit of or in the special funds24026
established by or pursuant to this section may be invested by or24027
on behalf of the issuing authority only in notes, bonds, or other24028
obligations of the United States, or of any agency or24029
instrumentality of the United States, obligations guaranteed as to24030
principal and interest by the United States, obligations of this24031
state or any political subdivision of this state, and certificates24032
of deposit of any national bank located in this state and any24033
bank, as defined in section 1101.01 of the Revised Code, subject24034
to inspection by the superintendent of financial institutions. If24035
the law or the instrument creating a trust pursuant to division24036
(J) of this section expressly permits investment in direct24037
obligations of the United States or an agency of the United24038
States, unless expressly prohibited by the instrument, such moneys24039
also may be invested in no front end load money market mutual24040
funds consisting exclusively of obligations of the United States24041
or an agency of the United States and in repurchase agreements,24042
including those issued by the fiduciary itself, secured by24043
obligations of the United States or an agency of the United24044
States; and in collective investment funds established in24045
accordance with section 1111.14 of the Revised Code and consisting24046
exclusively of any such securities, notwithstanding division24047
(B)(1)(c) of that section. The income from such investments shall24048
be credited to such funds as the issuing authority determines, and24049
such investments may be sold at such times as the issuing24050
authority determines or authorizes.24051

       (N) Provision may be made in the applicable bond proceedings24052
for the establishment of separate accounts in the bond service24053
fund and for the application of such accounts only to the24054
specified bond service charges on obligations pertinent to such24055
accounts and bond service fund and for other accounts therein24056
within the general purposes of such fund. Unless otherwise24057
provided in any applicable bond proceedings, moneys to the credit24058
of or in the several special funds established pursuant to this24059
section shall be disbursed on the order of the treasurer of state,24060
provided that no such order is required for the payment from the24061
bond service fund when due of bond service charges on obligations.24062

       (O) The issuing authority may pledge all, or such portion as24063
the issuing authority determines, of the pledged receipts to the24064
payment of bond service charges on obligations issued under this24065
section, and for the establishment and maintenance of any24066
reserves, as provided in the bond proceedings, and make other24067
provisions therein with respect to pledged receipts as authorized24068
by this chapter, which provisions shall be controlling24069
notwithstanding any other provisions of law pertaining thereto.24070

       (P) The issuing authority may covenant in the bond24071
proceedings, and any such covenants shall be controlling24072
notwithstanding any other provision of law, that the state and24073
applicable officers and governmental agencies of the state,24074
including the general assembly, so long as any obligations are24075
outstanding, shall:24076

       (1) Maintain statutory authority for and cause to be operated 24077
the state lottery, including the transfers to and from the lottery 24078
profits education fund created in section 3770.06 of the Revised 24079
Code so that the pledged receipts shall be sufficient in amount to 24080
meet bond service charges, and the establishment and maintenance 24081
of any reserves and other requirements provided for in the bond 24082
proceedings;24083

       (2) Take or permit no action, by statute or otherwise, that24084
would impair the exclusion from gross income for federal income24085
tax purposes of the interest on any obligations designated by the24086
bond proceeding as tax-exempt obligations.24087

       (Q) There is hereby created the school building program bond24088
service fund, which shall be in the custody of the treasurer of24089
state but shall be separate and apart from and not a part of the24090
state treasury. All moneys received by or on account of the24091
issuing authority or state agencies and required by the applicable24092
bond proceedings, consistent with this section, to be deposited,24093
transferred, or credited to the school building program bond24094
service fund, and all other moneys transferred or allocated to or24095
received for the purposes of the fund, shall be deposited and24096
credited to such fund and to any separate accounts therein,24097
subject to applicable provisions of the bond proceedings, but24098
without necessity for any act of appropriation, except as required24099
by section 3770.06 of the Revised Code. During the period24100
beginning with the date of the first issuance of obligations and24101
continuing during such time as any such obligations are24102
outstanding, and so long as moneys in the school building program24103
bond service fund are insufficient to pay all bond service charges24104
on such obligations becoming due in each year, a sufficient amount24105
of the moneys from the lottery profits education fund included in24106
pledged receipts, subject to appropriation for such purpose as24107
provided in section 3770.06 of the Revised Code, are committed and24108
shall be paid to the school building program bond service fund in24109
each year for the purpose of paying the bond service charges24110
becoming due in that year. The school building program bond24111
service fund is a trust fund and is hereby pledged to the payment24112
of bond service charges solely on obligations issued to provide24113
moneys for the school building program assistance fund to the24114
extent provided in the applicable bond proceedings, and payment24115
thereof from such fund shall be made or provided for by the24116
treasurer of state in accordance with such bond proceedings24117
without necessity for any act of appropriation except as required24118
by section 3770.06 of the Revised Code.24119

       (R) The obligations, the transfer thereof, and the income24120
therefrom, including any profit made on the sale thereof, at all24121
times shall be free from taxation within the state.24122

       Sec. 3318.47.  (A) On the effective date of this section, the 24123
director of budget and management shall transfer any amount on 24124
hand in the fund established under former section 3318.47 of the 24125
Revised Code, as that section existed prior to the effective date 24126
of this section, into the fund established under section 3318.15 24127
of the Revised Code. 24128

       (B) On or after the effective date of this section, any 24129
amounts received from school districts in repayment of loans made 24130
under former sections 3318.47 to 3318.49, as those sections 24131
existed prior to the effective date of this section, shall be 24132
deposited into the fund established under section 3318.15 of the 24133
Revised Code.24134

       Sec. 3319.55.  (A) A grant program is hereby established to24135
recognize and reward teachers in public and chartered nonpublic 24136
schools who hold valid teaching certificates or licenses issued by 24137
the national board for professional teaching standards. The 24138
superintendent of public instruction shall administer this program 24139
in accordance with this section and rules which the state board of24140
education shall adopt in accordance with Chapter 119. of the 24141
Revised Code.24142

       In each fiscal year that the general assembly appropriates 24143
funds for purposes of this section, the superintendent of public 24144
instruction shall award a grant to each person who, by the first 24145
day of April of that year and in accordance with the rules adopted 24146
under this section, submits to the superintendent evidence 24147
indicating allboth of the following:24148

       (1) The person holds a valid certificate or license issued by 24149
the national board for professional teaching standards;24150

       (2) The person has been employed full-time as a teacher by 24151
the board of education of a school district or by a chartered 24152
nonpublic school in this state during the current school year;24153

       (3) The date the person was accepted into the national board 24154
certification or licensure program.24155

       An individual may receive a grant under this section in each 24156
fiscal year the person is eligible for a grant and submits 24157
evidence of that eligibility in accordance with this section. No 24158
person may receive a grant after the expiration of the person's 24159
initial certification or license issued by the national board.24160

       (B) The amount of the grant awarded to each eligible person 24161
under division (A) of this section in any fiscal year shall equal 24162
the following:24163

       (1) Twotwo thousand five hundred dollars for any teacher 24164
accepted as a candidate for certification or licensure by the 24165
national board on or before May 31, 2003, and issued a certificate 24166
or license by the national board on or before December 31, 2004;24167

       (2) One thousand dollars for any other teacher issued a 24168
certificate or license by the national board.24169

       However. However, if the funds appropriated for purposes of 24170
this section in any fiscal year are not sufficient to award the24171
full grant amount to each person who is eligible in that fiscal 24172
year, the superintendent shall prorate the amount of the grant 24173
awarded in that fiscal year to each eligible person.24174

       Sec. 3323.01.  As used in this chapter and Chapter 3321. of24175
the Revised Code:24176

       (A) "Handicapped child" means a person under twenty-two years 24177
of age who is developmentally handicapped, hearing handicapped, 24178
speech handicapped, visually disabled, severe behavior 24179
handicapped, orthopedically handicapped, multihandicapped, other 24180
health handicapped, specific learning disabled, autistic, or 24181
traumatic brain injured, and by reason thereof requires special 24182
education.24183

       (B) "Special education program" means the required related24184
services and instruction specifically designed to meet the unique24185
needs of a handicapped child, including classroom instruction,24186
home instruction, and instruction in hospitals and institutions24187
and in other settings.24188

       (C) "Related services" means transportation, and such24189
developmental, corrective, and other supportive services as may be 24190
required to assist a handicapped child to benefit from special24191
education, including the early identification and assessment of24192
handicapped conditions in children, speech pathology and24193
audiology, psychological services, occupational and physical24194
therapy, physical education, recreation, counseling services24195
including rehabilitative counseling, and medical services, except24196
that such medical services shall be for diagnostic and evaluation24197
purposes only.24198

       (D) "Appropriate public education" means special education24199
and related services that:24200

       (1) Are provided at public expense and under public24201
supervision;24202

       (2) Meet the standards of the state board of education;24203

       (3) Include an appropriate preschool, elementary, or24204
secondary education;24205

       (4) Are provided in conformity with the individualized24206
education program required under this chapter.24207

       (E) "Individualized education program" means a written24208
statement for each handicapped child designed to meet the unique24209
needs of a handicapped child, which statement shall include:24210

       (1) A statement of the present levels of educational24211
performance of such child;24212

       (2) A statement of annual goals, including short-term24213
instructional objectives;24214

       (3) A statement of the specific educational services to be24215
provided to such child, and the extent to which such child will be 24216
able to participate in regular educational programs;24217

       (4) A statement of the transition services needed for such24218
child beginning no later than age sixteen and annually thereafter24219
(and, when determined appropriate for such child, beginning at age 24220
fourteen or younger), including, when appropriate, a statement of 24221
the interagency responsibilities and linkages before the student 24222
leaves the school setting;24223

       (5) The projected date for initiation and anticipated24224
duration of such services;24225

       (6) Appropriate objective criteria and evaluation procedures 24226
and schedules for determining, on at least an annual basis, 24227
whether instructional objectives are being achieved, and whether 24228
current placement is appropriate.24229

       (F) "Other educational agency" means a department, division, 24230
bureau, office, institution, board, commission, committee, 24231
authority, or other state or local agency, other than a school 24232
district or an agency administered by the department of mental 24233
retardation and developmental disabilities, that provides or seeks 24234
to provide special education or related services to handicapped 24235
children.24236

       (G) "School district" means a city, local, or exempted24237
village school district.24238

       (H) "Parents" means either parent. If the parents are24239
separated or divorced, "parent" means the parent who is the24240
residential parent and legal custodian of the handicapped child.24241
Except as used in division (I) of this section and in sections24242
3323.09 and 3323.141 of the Revised Code, "parents" includes a24243
child's guardian or custodian. This definition does not apply to24244
Chapter 3321. of the Revised Code.24245

       (I) As used in sections 3323.09, 3323.091, 3323.13, and24246
3323.14 of the Revised Code, "school district of residence" means:24247

       (1) The school district in which the child's parents reside;24248

       (2) If the school district specified in division (I)(1) of24249
this section cannot be determined, the last school district in24250
which the child's parents are known to have resided if the24251
parents' whereabouts are unknown;24252

       (3) If the school district specified in division (I)(2) of24253
this section cannot be determined, the school district determined24254
by the court under section 2151.362 of the Revised Code, or if no24255
district has been so determined, the school district as determined 24256
by the probate court of the county in which the child resides. The 24257
school district of residence that had been established under this 24258
section on December 12, 1983, shall remain the child's school 24259
district of residence unless a district of residence can be 24260
determined under division (I)(1) or (2) of this section.24261

       (4) Notwithstanding divisions (I)(1) to (3) of this section, 24262
if a school district is required by section 3313.65 of the Revised 24263
Code to pay tuition for a child, that district shall be the 24264
child's school district of residence.24265

       (J) "County MR/DD board" means a county board of mental24266
retardation and developmental disabilities.24267

       (K) "Handicapped preschool child" means a handicapped child 24268
who is at least three years of age but is not of compulsory school 24269
age, as defined under section 3321.01 of the Revised Code, and who 24270
is not currently enrolled in kindergarten.24271

       (L) "Transition services" means a coordinated set of24272
activities for a student, designed within an outcome-oriented24273
process, that:24274

       (1) Promotes movement from school to post-school activities, 24275
including post-secondary education; vocational training; 24276
integrated employment, including supported employment; continuing 24277
and adult education; adult services; independent living; and 24278
community participation;24279

       (2) Is based upon the individual student's needs, including 24280
taking into account the student's preferences and interests;24281

       (3) Includes instruction, community experiences, the24282
development of employment and other post-school adult living24283
objectives, and, when appropriate, acquisition of daily living24284
skills and functional vocational evaluation.24285

       (M) "Visual disability" for any individual means that one of 24286
the following applies to the individual:24287

       (1) The individual has a visual acuity of 20/200 or less in 24288
the better eye with correcting lenses or has a limited field of 24289
vision in the better eye such that the widest diameter subtends an 24290
angular distance of no greater than twenty degrees.24291

       (2) The individual has a medically indicated expectation of 24292
meeting the requirements of division (M)(1) of this section over a 24293
period of time.24294

       (3) The individual has a medically diagnosed and medically 24295
uncorrectable limitation in visual functioning that adversely 24296
affects the individual's ability to read and write standard print 24297
at levels expected of the individual's peers of comparable ability 24298
and grade level.24299

       (N) "Student with a visual disability" means any person under 24300
twenty-two years of age who has a visual disability.24301

       (O) "Instruction in braille reading and writing" means the 24302
teaching of the system of reading and writing through touch 24303
commonly known as standard English braille.24304

       Sec. 3323.052.  Not later than sixty days after the effective 24305
date of this section, the department of education shall develop a 24306
document that compares a parent's and child's rights under this 24307
chapter and 20 U.S.C. 1400 et seq. with the parent's and child's 24308
rights under the special education scholarship pilot program, 24309
established in sections 3310.51 to 3310.63 of the Revised Code, 24310
including the provisions of divisions (A) and (B) of section 24311
3310.53 of the Revised Code. The department shall revise that 24312
document as necessary to reflect any pertinent changes in state or 24313
federal statutory law, rule, or regulation enacted or adopted 24314
after the initial document is developed. The department and each 24315
school district shall ensure that the document prescribed in this 24316
section is included in, appended to, or otherwise distributed in 24317
conjunction with the notice required under 20 U.S.C. 1415(d), and 24318
any provision of the Code of Federal Regulations implementing that 24319
requirement, in the manner and at all the times specified for such 24320
notice in federal law or regulation.24321

       Sec. 3323.11.  Teachers in education programs under this 24322
chapter shall possess the usual qualifications required of special 24323
education teachersintervention specialists in the public schools.24324

       Sec. 3327.05.  (A) Except as provided in division (B) of this 24325
section, no board of education of any school district shall24326
provide transportation for any pupil who is a school resident of24327
another school district unless the pupil is enrolled pursuant to24328
section 3313.98 of the Revised Code or the board of the other24329
district has given its written consent thereto. If the board of24330
any school district files with the state board of education a24331
written complaint that transportation for resident pupils is being 24332
provided by the board of another school district contrary to this 24333
division, the state board of education shall make an investigation 24334
of such complaint. If the state board of education finds that 24335
transportation is being provided contrary to this section, it may 24336
withdraw from state funds due the offending district any part of 24337
the amount that has been approved for transportation pursuant to 24338
division (D) of section 3317.022 of the Revised Code.24339

       (B) Notwithstanding division (D) of section 3311.19 and24340
division (D) of section 3311.52 of the Revised Code, this division 24341
does not apply to any joint vocational or cooperative education 24342
school district.24343

       A board of education may provide transportation to and from24344
the nonpublic high school of attendance if both of the following24345
apply:24346

       (1) The parent, guardian, or other person in charge of the24347
pupil agrees to pay the board for all costs incurred in providing24348
the transportation that are not reimbursed pursuant to Chapter24349
3317. of the Revised Code;24350

       (2) The pupil's school district of residence does not provide 24351
transportation for public school pupils of the same grade as the 24352
pupil being transported under this division, or that district is 24353
not required under section 3327.01 of the Revised Code to 24354
transport the pupil to and from the nonpublic school because the 24355
direct travel time to the nonpublic school is more than thirty 24356
minutes.24357

       Upon receipt of the request to provide transportation, the 24358
board shall review the request and determine whether the board 24359
will accommodate the request. If the board agrees to transport the 24360
pupil, the board may transport the pupil to and from the nonpublic 24361
school and a collection point in the district, as determined by 24362
the board. If the board transports the pupil, the board may 24363
include the pupil in the district's transportation ADM reported to 24364
the department of education under section 3317.03 of the Revised 24365
Code and, accordingly, may receive a state payment under division 24366
(D) of section 3317.022 of the Revised Code for transporting the 24367
pupil.24368

       If the board declines to transport the pupil, the board, in a 24369
written communication to the parent, guardian, or other person in 24370
charge of the pupil, shall state the reasons for declining the 24371
request.24372

       Sec. 3327.17. The department of development shall establish a 24373
biodiesel school bus program under which the director of 24374
development shall make grants to school districts that use 24375
biodiesel fuel for pupil transportation to help offset incremental 24376
costs incurred by using biodiesel instead of one hundred per cent 24377
petroleum diesel.24378

        As used in this section, "biodiesel" has the same meaning as 24379
in section 122.075 of the Revised Code.24380

       Sec. 3333.04.  The Ohio board of regents shall:24381

       (A) Make studies of state policy in the field of higher24382
education and formulate a master plan for higher education for the24383
state, considering the needs of the people, the needs of the24384
state, and the role of individual public and private institutions24385
within the state in fulfilling these needs;24386

       (B)(1) Report annually to the governor and the general24387
assembly on the findings from its studies and the master plan for24388
higher education for the state;24389

       (2) Report at least semiannually to the general assembly and24390
the governor the enrollment numbers at each state-assisted24391
institution of higher education.24392

       (C) Approve or disapprove the establishment of new branches24393
or academic centers of state colleges and universities;24394

       (D) Approve or disapprove the establishment of state24395
technical colleges or any other state institution of higher24396
education;24397

       (E) Recommend the nature of the programs, undergraduate,24398
graduate, professional, state-financed research, and public24399
services which should be offered by the state colleges,24400
universities, and other state-assisted institutions of higher24401
education in order to utilize to the best advantage their24402
facilities and personnel;24403

       (F) Recommend to the state colleges, universities, and other24404
state-assisted institutions of higher education graduate or24405
professional programs, including, but not limited to, doctor of24406
philosophy, doctor of education, and juris doctor programs, that24407
could be eliminated because they constitute unnecessary24408
duplication, as shall be determined using the process developed24409
pursuant to this section, or for other good and sufficient cause. 24410
For purposes of determining the amounts of any state instructional24411
subsidies paid to these colleges, universities, and institutions,24412
the board may exclude students enrolled in any program that the24413
board has recommended for elimination pursuant to this division24414
except that the board shall not exclude any such student who24415
enrolled in the program prior to the date on which the board24416
initially commences to exclude students under this division. The24417
board of regents and these colleges, universities, and24418
institutions shall jointly develop a process for determining which24419
existing graduate or professional programs constitute unnecessary24420
duplication.24421

       (G) Recommend to the state colleges, universities, and other24422
state-assisted institutions of higher education programs which24423
should be added to their present programs;24424

       (H) Conduct studies for the state colleges, universities, and 24425
other state-assisted institutions of higher education to assist 24426
them in making the best and most efficient use of their existing 24427
facilities and personnel;24428

       (I) Make recommendations to the governor and general assembly 24429
concerning the development of state-financed capital plans for 24430
higher education; the establishment of new state colleges, 24431
universities, and other state-assisted institutions of higher 24432
education; and the establishment of new programs at the existing 24433
state colleges, universities, and other institutions of higher 24434
education;24435

       (J) Review the appropriation requests of the public community 24436
colleges and the state colleges and universities and submit to the 24437
office of budget and management and to the chairpersons of the 24438
finance committees of the house of representatives and of the 24439
senate its recommendations in regard to the biennial higher24440
education appropriation for the state, including appropriations24441
for the individual state colleges and universities and public24442
community colleges. For the purpose of determining the amounts of 24443
instructional subsidies to be paid to state-assisted colleges and 24444
universities, the board shall define "full-time equivalent24445
student" by program per academic year. The definition may take24446
into account the establishment of minimum enrollment levels in24447
technical education programs below which support allowances will24448
not be paid. Except as otherwise provided in this section, the24449
board shall make no change in the definition of "full-time24450
equivalent student" in effect on November 15, 1981, which would24451
increase or decrease the number of subsidy-eligible full-time24452
equivalent students, without first submitting a fiscal impact24453
statement to the president of the senate, the speaker of the house 24454
of representatives, the legislative service commission, and the 24455
director of budget and management. The board shall work in close 24456
cooperation with the director of budget and management in this 24457
respect and in all other matters concerning the expenditures of 24458
appropriated funds by state colleges, universities, and other 24459
institutions of higher education.24460

       (K) Seek the cooperation and advice of the officers and24461
trustees of both public and private colleges, universities, and24462
other institutions of higher education in the state in performing24463
its duties and making its plans, studies, and recommendations;24464

       (L) Appoint advisory committees consisting of persons24465
associated with public or private secondary schools, members of24466
the state board of education, or personnel of the state department24467
of education;24468

       (M) Appoint advisory committees consisting of college and24469
university personnel, or other persons knowledgeable in the field24470
of higher education, or both, in order to obtain their advice and24471
assistance in defining and suggesting solutions for the problems24472
and needs of higher education in this state;24473

       (N) Approve or disapprove all new degrees and new degree24474
programs at all state colleges, universities, and other24475
state-assisted institutions of higher education;24476

       (O) Adopt such rules as are necessary to carry out its duties 24477
and responsibilities;24478

       (P) Establish and submit to the governor and the general24479
assembly a clear and measurable set of goals and timetables for24480
their achievement for each program under the supervision of the24481
board that is designed to accomplish any of the following:24482

       (1) Increased access to higher education;24483

       (2) Job training;24484

       (3) Adult literacy;24485

       (4) Research;24486

       (5) Excellence in higher education;24487

       (6) Reduction in the number of graduate programs within the24488
same subject area.24489

       In July of each odd-numbered year, the board of regents shall24490
submit to the governor and the general assembly a report on24491
progress made toward these goals.24492

       (Q) Make recommendations to the governor and the general24493
assembly regarding the design and funding of the student financial24494
aid programs specified in sections 3333.12, 3333.122, 3333.21 to24495
3333.27, and 5910.02 of the Revised Code;24496

       (R) Participate in education-related state or federal24497
programs on behalf of the state and assume responsibility for the24498
administration of such programs in accordance with applicable24499
state or federal law;24500

       (S) Adopt rules for student financial aid programs as24501
required by sections 3333.12, 3333.122, 3333.21 to 3333.27, 24502
3333.28, 3333.29, and 5910.02 of the Revised Code, and perform any 24503
other administrative functions assigned to the board by those24504
sections;24505

       (T) Administer contracts under sections 3702.74 and 3702.7524506
of the Revised Code in accordance with rules adopted by the24507
director of health under section 3702.79 of the Revised Code;24508

       (U) Conduct enrollment audits of state-supported institutions 24509
of higher education;24510

       (V) Appoint consortiums of college and university personnel24511
to participate in the development and operation of statewide24512
collaborative efforts, including the Ohio supercomputer center,24513
the Ohio academic resources network, OhioLink, and the Ohio24514
learning network. For each consortium, the board shall designate a24515
college or university to serve as that consortium's fiscal agent,24516
financial officer, and employer. Any funds appropriated to the24517
board for consortiums shall be distributed to the fiscal agents24518
for the operation of the consortiums. A consortium shall follow24519
the rules of the college or university that serves as its fiscal24520
agent.24521

       Sec. 3333.122.  (A) As used in this section:24522

       (1) "Eligible student" means a student who is:24523

       (a) An Ohio resident who first enrolls in an undergraduate 24524
program in the 2006-2007 academic year or thereafter;24525

       (b) EnrolledIf the student first enrolled in an 24526
undergraduate program in the 2006-2007 or 2007-2008 academic year, 24527
the student is enrolled in either of the following:24528

       (i) An accredited institution of higher education in this24529
state that meets the requirements of Title VI of the Civil Rights24530
Act of 1964 and is state-assisted, is nonprofit and has a24531
certificate of authorization from the Ohio board of regents24532
pursuant to Chapter 1713. of the Revised Code, has a certificate24533
of registration from the state board of career colleges and 24534
schools and program authorization to award an associate or24535
bachelor's degree, or is a private institution exempt from24536
regulation under Chapter 3332. of the Revised Code as prescribed24537
in section 3333.046 of the Revised Code. Students who attend an24538
institution that holds a certificate of registration shall be24539
enrolled in a program leading to an associate or bachelor's degree24540
for which associate or bachelor's degree program the institution24541
has program authorization issued under section 3332.05 of the24542
Revised Code.24543

       (ii) A technical education program of at least two years24544
duration sponsored by a private institution of higher education in24545
this state that meets the requirements of Title VI of the Civil24546
Rights Act of 1964.24547

       (c) If the student first enrolled in an undergraduate program 24548
after the 2007-2008 academic year, the student is enrolled in 24549
either of the following:24550

       (i) An accredited institution of higher education in this 24551
state that meets the requirements of Title VI of the Civil Rights 24552
Act of 1964 and is state-assisted, is nonprofit and has a 24553
certificate of authorization from the board of regents pursuant to 24554
Chapter 1713. of the Revised Code, or is a private institution 24555
exempt from regulation under Chapter 3332. of the Revised Code as 24556
prescribed in section 3333.046 of the Revised Code;24557

       (ii) An education program of at least two years duration 24558
sponsored by a private institution of higher education in this 24559
state that meets the requirements of Title VI of the Civil Rights 24560
Act of 1964 and has a certificate of authorization from the board 24561
of regents pursuant to Chapter 1713. of the Revised Code.24562

       (2) A student who participated in either the early college 24563
high school program administered by the department of education or 24564
in the post-secondary enrollment options program pursuant to 24565
Chapter 3365. of the Revised Code before the 2006-2007 academic 24566
year shall not be excluded from eligibility for a need based24567
needs-based financial aid grant under this section.24568

       (3) "Resident," "expected family contribution" or "EFC," 24569
"full-time student," "three-quarters-time student," "half-time 24570
student," "one-quarter-time student," and "accredited" shall be 24571
defined by rules adopted by the board.24572

       (B) The Ohio board of regents shall establish and administer24573
a needs-based financial aid program based on the United States 24574
department of education's method of determining financial need and 24575
may adopt rules to carry out this section. The program shall be 24576
known as the Ohio college opportunity grant program. The general 24577
assembly shall support the needs-based financial aid program by 24578
such sums and in such manner as it may provide, but the board may 24579
also receive funds from other sources to support the program. If 24580
the amounts available for support of the program are inadequate to 24581
provide grants to all eligible students, preference in the payment 24582
of grants shall be given in terms of expected family contribution, 24583
beginning with the lowest expected family contribution category 24584
and proceeding upward by category to the highest expected family 24585
contribution category.24586

       A needs-based financial aid grant shall be paid to an 24587
eligible student through the institution in which the student is 24588
enrolled, except that no needs-based financial aid grant shall be 24589
paid to any person serving a term of imprisonment. Applications 24590
for such grants shall be made as prescribed by the board, and such 24591
applications may be made in conjunction with and upon the basis of 24592
information provided in conjunction with student assistance 24593
programs funded by agencies of the United States government or 24594
from financial resources of the institution of higher education. 24595
The institution shall certify that the student applicant meets the 24596
requirements set forth in divisions (A)(1)(a) and (b) of this 24597
section. Needs-based financial aid grants shall be provided to an 24598
eligible student only as long as the student is making appropriate 24599
progress toward a nursing diploma or an associate or bachelor's 24600
degree. No student shall be eligible to receive a grant for more 24601
than ten semesters, fifteen quarters, or the equivalent of five 24602
academic years. A grant made to an eligible student on the basis 24603
of less than full-time enrollment shall be based on the number of 24604
credit hours for which the student is enrolled and shall be 24605
computed in accordance with a formula adopted by the board. No 24606
student shall receive more than one grant on the basis of less 24607
than full-time enrollment.24608

       A needs-based financial aid grant shall not exceed the total24609
instructional and general charges of the institution.24610

       (C) The tables in this division prescribe the maximum grant24611
amounts covering two semesters, three quarters, or a comparable24612
portion of one academic year. Grant amounts for additional terms24613
in the same academic year shall be determined under division (D)24614
of this section.24615

       As used in the tables in division (C) of this section:24616

        (1) "Private institution" means an institution that is 24617
nonprofit and has a certificate of authorization from the Ohio 24618
board of regents pursuant to Chapter 1713. of the Revised Code.24619

        (2) "Career college" means either an institution that holds a 24620
certificate of registration from the state board of career 24621
colleges and schools or a private institution exempt from 24622
regulation under Chapter 3332. of the Revised Code as prescribed 24623
in section 3333.046 of the Revised Code.24624

       Full-time students shall be eligible to receive awards 24625
according to the following table:24626

Full-Time Enrollment
24627

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: 24628
$2,101 $2,190 $300 $600 $480 24629
2,001 2,100 402 798 642 24630
1,901 2,000 498 1,002 798 24631
1,801 1,900 600 1,200 960 24632
1,701 1,800 702 1,398 1,122 24633
1,601 1,700 798 1,602 1,278 24634
1,501 1,600 900 1,800 1,440 24635
1,401 1,500 1,002 1,998 1,602 24636
1,301 1,400 1,098 2,202 1,758 24637
1,201 1,300 1,200 2,400 1,920 24638
1,101 1,200 1,302 2,598 2,082 24639
1,001 1,100 1,398 2,802 2,238 24640
901 1,000 1,500 3,000 2,400 24641
801 900 1,602 3,198 2,562 24642
701 800 1,698 3,402 2,718 24643
601 700 1,800 3,600 2,280 24644
501 600 1,902 3,798 3,042 24645
401 500 1,998 4,002 3,198 24646
301 400 2,100 4,200 3,360 24647
201 300 2,202 4,398 3,522 24648
101 200 2,298 4,602 3,678 24649
1 100 2,400 4,800 3,840 24650
0 0 2,496 4,992 3,996 24651

       Three-quarters-time students shall be eligible to receive 24652
awards according to the following table:24653

Three-Quarters-Time Enrollment
24654

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: 24655
$2,101 $2,190 $228 $450 $360 24656
2,001 2,100 300 600 480 24657
1,901 2,000 372 750 600 24658
1,801 1,900 450 900 720 24659
1,701 1,800 528 1,050 840 24660
1,601 1,700 600 1,200 960 24661
1,501 1,600 678 1,350 1,080 24662
1,401 1,500 750 1,500 1,200 24663
1,301 1,400 822 1,650 1,320 24664
1,201 1,300 900 1,800 1,440 24665
1,101 1,200 978 1,950 1,560 24666
1,001 1,100 1,050 2,100 1,680 24667
901 1,000 1,128 2,250 1,800 24668
801 900 1,200 2,400 1,920 24669
701 800 1,272 2,550 2,040 24670
601 700 1,350 2,700 2,160 24671
501 600 1,428 2,850 2,280 24672
401 500 1,500 3,000 2,400 24673
301 400 1,578 3,150 2,520 24674
201 300 1,650 3,300 2,640 24675
101 200 1,722 3,450 2,760 24676
1 100 1,800 3,600 2,880 24677
0 0 1,872 3,744 3,000 24678

       Half-time students shall be eligible to receive awards 24679
according to the following table:24680

Half-Time Enrollment
24681

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: 24682
$2,101 $2,190 $150 $300 $240 24683
2,001 2,100 204 402 324 24684
1,901 2,000 252 504 402 24685
1,801 1,900 300 600 480 24686
1,701 1,800 354 702 564 24687
1,601 1,700 402 804 642 24688
1,501 1,600 450 900 720 24689
1,401 1,500 504 1,002 804 24690
1,301 1,400 552 1,104 882 24691
1,201 1,300 600 1,200 960 24692
1,101 1,200 654 1,302 1,044 24693
1,001 1,100 702 1,404 1,122 24694
901 1,000 750 1,500 1,200 24695
801 900 804 1,602 1,284 24696
701 800 852 1,704 1,362 24697
601 700 900 1,800 1,440 24698
501 600 954 1,902 1,524 24699
401 500 1,002 2,004 1,602 24700
301 400 1,050 2,100 1,680 24701
201 300 1,104 2,202 1,764 24702
101 200 1,152 2,304 1,842 24703
1 100 1,200 2,400 1,920 24704
0 0 1,248 2,496 1,998 24705

       One-quarter-time students shall be eligible to receive awards 24706
according to the following table:24707

One-Quarter-Time Enrollment
24708

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: 24709
$2,101 $2,190 $78 $150 $120 24710
2,001 2,100 102 198 162 24711
1,901 2,000 126 252 198 24712
1,801 1,900 150 300 240 24713
1,701 1,800 174 348 282 24714
1,601 1,700 198 402 318 24715
1,501 1,600 228 450 360 24716
1,401 1,500 252 498 402 24717
1,301 1,400 276 552 438 24718
1,201 1,300 300 600 480 24719
1,101 1,200 324 648 522 24720
1,001 1,100 348 702 558 24721
901 1,000 378 750 600 24722
801 900 402 798 642 24723
701 800 426 852 678 24724
601 700 450 900 720 24725
501 600 474 948 762 24726
401 500 498 1,002 798 24727
301 400 528 1,050 840 24728
201 300 552 1,098 882 24729
101 200 576 1,152 918 24730
1 100 600 1,200 960 24731
0 0 624 1,248 1,002 24732

       (D) For a full-time student enrolled in an eligible24733
institution for a semester or quarter in addition to the portion24734
of the academic year covered by a grant determined under division24735
(C) of this section, the maximum grant amount shall be a24736
percentage of the maximum prescribed in the applicable table of24737
that division. The maximum grant for a fourth quarter shall be24738
one-third of the maximum amount prescribed under that division.24739
The maximum grant for a third semester shall be one-half of the24740
maximum amount prescribed under that division.24741

       (E) No grant shall be made to any student in a course of24742
study in theology, religion, or other field of preparation for a24743
religious profession unless such course of study leads to an24744
accredited bachelor of arts, bachelor of science, associate of24745
arts, or associate of science degree.24746

       (F)(1) Except as provided in division (F)(2) of this section, 24747
no grant shall be made to any student for enrollment during a 24748
fiscal year in an institution with a cohort default rate24749
determined by the United States secretary of education pursuant to24750
the "Higher Education Amendments of 1986," 100 Stat. 1278, 1408,24751
20 U.S.C.A. 1085, as amended, as of the fifteenth day of June24752
preceding the fiscal year, equal to or greater than thirty per24753
cent for each of the preceding two fiscal years.24754

       (2) Division (F)(1) of this section does not apply to the24755
following:24756

       (a) Any student enrolled in an institution that under the24757
federal law appeals its loss of eligibility for federal financial24758
aid and the United States secretary of education determines its24759
cohort default rate after recalculation is lower than the rate24760
specified in division (F)(1) of this section or the secretary24761
determines due to mitigating circumstances the institution may24762
continue to participate in federal financial aid programs. The24763
board shall adopt rules requiring institutions to provide24764
information regarding an appeal to the board.24765

       (b) Any student who has previously received a grant under24766
this section who meets all other requirements of this section.24767

       (3) The board shall adopt rules for the notification of all24768
institutions whose students will be ineligible to participate in24769
the grant program pursuant to division (F)(1) of this section.24770

       (4) A student's attendance at an institution whose students24771
lose eligibility for grants under division (F)(1) of this section24772
shall not affect that student's eligibility to receive a grant24773
when enrolled in another institution.24774

       (G) Institutions of higher education that enroll students24775
receiving needs-based financial aid grants under this section 24776
shall report to the board all students who have received 24777
needs-based financial aid grants but are no longer eligible for 24778
all or part of such grants and shall refund any moneys due the 24779
state within thirty days after the beginning of the quarter or 24780
term immediately following the quarter or term in which the 24781
student was no longer eligible to receive all or part of the 24782
student's grant. There shall be an interest charge of one per cent 24783
per month on all moneys due and payable after such thirty-day 24784
period. The board shall immediately notify the office of budget 24785
and management and the legislative service commission of all24786
refunds so received.24787

       Sec. 3333.38.  (A) As used in this section:24788

       (1) "Institution of higher education" includes all of the 24789
following:24790

       (a) A state institution of higher education, as defined in 24791
section 3345.011 of the Revised Code;24792

       (b) A nonprofit institution issued a certificate of 24793
authorization by the Ohio board of regents under Chapter 1713. of 24794
the Revised Code;24795

       (c) A private institution exempt from regulation under 24796
Chapter 3332. of the Revised Code, as prescribed in section 24797
3333.046 of the Revised Code;24798

       (d) An institution of higher education with a certificate of 24799
registration from the state board of career colleges and schools 24800
under Chapter 3332. of the Revised Code.24801

       (2) "Student financial assistance supported by state funds" 24802
includes assistance granted under sections 3315.33, 3333.12, 24803
3333.122, 3333.21, 3333.26, 3333.27, 3333.28, 3333.29, 3333.372, 24804
5910.03, 5910.032, and 5919.34 of the Revised Code and any other 24805
post-secondary student financial assistance supported by state 24806
funds.24807

       (B) An individual who is convicted of, pleads guilty to, or 24808
is adjudicated a delinquent child for one of the following 24809
violations shall be ineligible to receive any student financial 24810
assistance supported by state funds at an institution of higher 24811
education for two calendar years from the time the individual 24812
applies for assistance of that nature:24813

       (1) A violation of section 2917.02 or 2917.03 of the Revised 24814
Code;24815

       (2) A violation of section 2917.04 of the Revised Code that 24816
is a misdemeanor of the fourth degree;24817

       (3) A violation of section 2917.13 of the Revised Code that 24818
is a misdemeanor of the fourth or first degree and occurs within 24819
the proximate area where four or more others are acting in a 24820
course of conduct in violation of section 2917.11 of the Revised 24821
Code.24822

       (C) If an individual is convicted of, pleads guilty to, or is 24823
adjudicated a delinquent child for committing a violation of 24824
section 2917.02 or 2917.03 of the Revised Code, and if the 24825
individual is enrolled in a state-supported institution of higher 24826
education, the institution in which the individual is enrolled 24827
shall immediately dismiss the individual. No state-supported 24828
institution of higher education shall admit an individual of that 24829
nature for one academic year after the individual applies for 24830
admission to a state-supported institution of higher education. 24831
This division does not limit or affect the ability of a 24832
state-supported institution of higher education to suspend or 24833
otherwise discipline its students.24834

       Sec. 3333.50. The Ohio board of regents, in consultation with 24835
the governor and the department of development, shall develop a 24836
critical needs rapid response system to respond quickly to 24837
critical workforce shortages in the state. Not later than ninety 24838
days after a critical workforce shortage is identified, the 24839
chancellor of the board shall submit to the governor a proposal 24840
for addressing the shortage through initiatives of the board or 24841
institutions of higher education.24842

       Sec. 3333.55.  (A) The health information and imaging 24843
technology workforce development pilot project is hereby 24844
established. Under the project, in fiscal years 2008 through 2010, 24845
the Ohio board of regents shall design and implement a three-year 24846
pilot program to test, in the vicinity of Clark, Greene, and 24847
Montgomery counties, how a P-16 public-private education and 24848
workforce development collaborative may address each of the 24849
following goals: 24850

       (1) Increase the number of students taking and mastering 24851
high-level science, technology, engineering, or mathematics 24852
courses and pursuing careers in those subjects, in all demographic 24853
regions of the state; 24854

       (2) Increase the number of students pursuing professional 24855
careers in health information and imaging technology upon 24856
receiving related technical education and professional experience, 24857
in all demographic regions of the state; 24858

       (3) Unify efforts among schools, career centers, 24859
post-secondary programs, and employers in a region for career and 24860
workforce development, preservation, and public education.24861

       (B) The project shall focus on enhancing P-16 education and 24862
workforce development in the field of health information and 24863
imaging technology through such activities as increased academic 24864
intervention in related areas of study, after-school and summer 24865
intervention programs, tutoring, career and job fairs and other 24866
promotional and recruitment activities, externships, professional 24867
development, field trips, academic competitions, development of 24868
related specialized study modules, development of honors programs, 24869
and development and enhancement of dual high school and college 24870
enrollment programs.24871

       (C) Project participants shall include Clark-Shawnee local 24872
school district, Springfield city school district, Greene county 24873
career center, Clark state community college, Central state 24874
university, Wright state university, Cedarville university, 24875
Wittenberg university, the university of Dayton, and private 24876
employers in the health information and imaging technology 24877
industry in the vicinity of Clark, Greene, and Montgomery 24878
counties, selected by the board of regents.24879

       For the third year of the project, the board of regents may 24880
add as participants the Dayton city school district and Xenia city 24881
school district. 24882

       (D) Wittenberg university shall be the lead coordinating 24883
agent and Clark state community college shall be the fiscal agent 24884
for the project.24885

       (E) The board of regents shall create an advisory council 24886
made up of representatives of the participating entities to 24887
coordinate, monitor, and evaluate the project. The advisory 24888
council shall submit an annual activity report to the board of 24889
regents by a date specified by the board of regents.24890

       Sec. 3345.02. As used in this section, "state institution of 24891
higher education" has the same meaning as in section 3345.011 of 24892
the Revised Code.24893

        Beginning in the 2008-2009 academic year, each state 24894
institution of higher education shall include in each statement of 24895
estimated or actual charges owed by a student enrolled in the 24896
institution an itemized list of the instructional fees, general 24897
fees, special purpose fees, service charges, fines, and any other 24898
fees or surcharges applicable to the student.24899

       Sec. 3353.20.  As used in sections 3353.20 to 3353.30 of the 24900
Revised Code:24901

       (A) "Clearinghouse" means the clearinghouse established under 24902
section 3353.21 of the Revised Code.24903

       (B) "Data verification code" means the code assigned to a 24904
student under division (D)(2) of section 3301.0714 of the Revised 24905
Code.24906

       (C) "One-half unit" of instruction has the same meaning as in 24907
section 3313.603 of the Revised Code.24908

       (D) A "student's community school" means the community school 24909
established under Chapter 3314. of the Revised Code in which the 24910
student is enrolled instead of being enrolled in a school operated 24911
by a school district.24912

       (E) A "student's school district" means the school district 24913
operating the school in which the student is lawfully enrolled.24914

       Sec. 3353.21.  (A) The eTech Ohio commission shall establish 24915
a clearinghouse of interactive distance learning courses and other 24916
distance learning courses delivered via a computer-based method 24917
offered by school districts for sharing with other school 24918
districts and community schools for the fee set pursuant to 24919
section 3353.24 of the Revised Code. The commission shall not be 24920
responsible for the content of courses offered through the 24921
clearinghouse; however, all such courses shall be delivered only 24922
in accordance with technical specifications approved by the 24923
commission.24924

       (B) To offer a course through the clearinghouse, a school 24925
district shall apply to the commission in a form and manner 24926
prescribed by the commission. The application for each course 24927
shall describe the course of study in as much detail as required 24928
by the commission, the qualification and credentials of the 24929
teacher, the number of hours of instruction, the technology 24930
required to deliver and receive the course, the technical capacity 24931
of the school district to deliver the course, the times that the 24932
school district plans to deliver the course, and any other 24933
information required by the commission. The commission may require 24934
school districts to include in their applications information 24935
recommended by the state board of education under section 3353.30 24936
of the Revised Code.24937

       (C) The commission shall review the technical specifications 24938
of each application submitted under division (B) of this section 24939
and shall approve a course offered if the commission determines 24940
that the school district can satisfactorily deliver the course 24941
through the technology necessary for that delivery. In reviewing 24942
applications, the commission may consult with the department of 24943
education; however, the responsibility to either approve or not 24944
approve a course for the clearinghouse belongs to the commission. 24945
The commission may request additional information from a school 24946
district that submits an application under division (B) of this 24947
section, if the commission determines that such information is 24948
necessary. The commission may negotiate changes in the proposal to 24949
offer a course, if the commission determines that changes are 24950
necessary in order to approve the course.24951

       (D) The commission shall catalog each course approved for the 24952
clearinghouse, through a print or electronic medium, displaying 24953
the following:24954

       (1) Information necessary for a student and the student's 24955
parent, guardian, or custodian and the student's school district 24956
or community school to decide whether to enroll in the course;24957

       (2) Instructions for enrolling in that course, including 24958
deadlines for enrollment.24959

       Sec. 3353.22.  (A) A student who is enrolled in a school 24960
operated by a school district or in a community school may enroll 24961
in a course included in the clearinghouse only if both of the 24962
following conditions are satisfied:24963

       (1) The student's enrollment in the course is approved by the 24964
student's school district or the student's community school.24965

       (2) The student's school district or the student's community 24966
school agrees to accept for credit the grade assigned by the 24967
district that is delivering the course.24968

       (B) For each student enrolling in a course, the student's 24969
school district or the student's community school shall transmit 24970
to the eTech Ohio commission only the student's data verification 24971
code and not the student's name. The commission shall transmit 24972
that student's code to the school district delivering the course.24973

       The district delivering the course may request from the 24974
student's school district or the student's community school the 24975
student's name and other information from the student's school 24976
record. The student's school district or the student's community 24977
school shall provide the requested information only in accordance 24978
with section 3319.321 of the Revised Code.24979

       (C) The student's school district or the student's community 24980
school shall determine the manner in which and facilities at which 24981
the student shall participate in the course consistent with 24982
specifications for technology and connectivity adopted by the 24983
commission.24984

       (D) A student may withdraw from a course prior to the end of 24985
the course only by a date and in a manner prescribed by the 24986
student's school district or community school.24987

       (E) A student who is enrolled in a school operated by a 24988
school district or in a community school and who takes a course 24989
included in the clearinghouse shall be counted in the formula ADM 24990
of a school district under section 3317.03 of the Revised Code as 24991
if the student were taking the course from the student's school 24992
district or the student's community school.24993

       Sec. 3353.23.  (A) The eTech Ohio commission shall keep a 24994
record of each student enrolled in each course included in the 24995
clearinghouse using the student's data verification code.24996

       (B) The commission shall report to the department of 24997
education the data verification code for each student enrolled in 24998
a course, the name of the school district delivering the course, 24999
the name of the student's school district or the name of the 25000
student's community school, the fee for the course, and the 25001
beginning and ending date of the course.25002

       Sec. 3353.24.  (A) Unless the eTech Ohio commission sets a 25003
different fee amount pursuant to division (B) of this section, the 25004
fee for each course that is the equivalent of one-half unit of 25005
instruction offered through the clearinghouse shall be one hundred 25006
seventy-five dollars per student. The commission shall set the fee 25007
for a course that is either less than or greater than one-half 25008
unit of instruction based on the proportional amount the course is 25009
either less than or greater than one-half unit of instruction.25010

       (B) The commission, by rule adopted in accordance with 25011
Chapter 119. of the Revised Code, may set a fee for courses 25012
offered through the clearinghouse at a rate other than the one 25013
specified in division (A) of this section.25014

       (C) The commission shall proportionally reduce the fee for 25015
any student who withdraws from a course prior to the end of the 25016
course pursuant to division (D) of section 3353.22 of the Revised 25017
Code.25018

       Sec. 3353.25.  For each student enrolled in a course included 25019
in the clearinghouse, in accordance with information reported 25020
under division (B) of section 3353.23 of the Revised Code and not 25021
later than the last day of that course, the department of 25022
education shall deduct the amount of the fee for that course from 25023
the student's school district or the student's community school, 25024
under division (P) of section 3317.023 or section 3314.086 or 25025
3317.161 of the Revised Code, and shall pay that amount to the 25026
school district delivering the course.25027

       Sec. 3353.26.  The grade for a student who enrolls in a 25028
course included in the clearinghouse shall be assigned by the 25029
school district that delivers the course and shall be transmitted 25030
by that district to the student's school district or the student's 25031
community school.25032

       Sec. 3353.27.  The eTech Ohio commission may determine the 25033
manner in which a course included in the clearinghouse may be 25034
offered as a dual enrollment program as defined in section 25035
3313.6013 of the Revised Code, may be offered to students who are 25036
enrolled in nonpublic schools or are instructed at home pursuant 25037
to section 3321.04 of the Revised Code, or may be offered at times 25038
outside the normal school day or school week, including any 25039
necessary additional fees and methods of payment for a course so 25040
offered.25041

       Sec. 3353.28.  The eTech Ohio commission shall adopt rules in 25042
accordance with Chapter 119. of the Revised Code prescribing 25043
procedures for the implementation of sections 3353.20 to 3353.27 25044
of the Revised Code.25045

       Sec. 3353.29.  Nothing in sections 3353.20 to 3353.28 of the 25046
Revised Code, or in rules implementing those sections, shall 25047
prohibit a school district from offering an interactive distance 25048
learning course or other distance learning course using a 25049
computer-based method through any means other than the 25050
clearinghouse established and maintained under those sections.25051

       Sec. 3353.30.  Not later than six months after the effective 25052
date of this section, the state board of education shall adopt a 25053
resolution recommending to the eTech Ohio commission the types of 25054
information about a distance learning course that the commission 25055
might require school districts to submit with their applications 25056
to include the course in the clearinghouse.25057

       Sec. 3357.01.  As used in sections 3357.01 to 3357.19,25058
inclusive, of the Revised Code:25059

       (A) "Technical college" means an institution of education25060
beyond the high school, including an institution of higher25061
education, organized for the principal purpose of providing for25062
the residents of the technical college district, wherein such25063
college is situated, any one or more of the instructional programs 25064
defined in this section as "technical-collegetechnical college," 25065
or "adult-education technical programs," normally not exceeding 25066
two years duration and not leading to a baccalaureate degree.25067

       (B) "Technical college district" means a political25068
subdivision of the state and a body corporate with all the powers25069
of a corporation, comprised of the territory of a city school25070
district or a county, or two or more contiguous school districts25071
or counties, which meets the standards prescribed by the Ohio25072
board of regents pursuant to section 3357.02 of the Revised Code,25073
and which is organized for the purpose of establishing, owning,25074
and operating one or more technical colleges within the territory25075
of such district.25076

       (C) "Contiguous school districts or counties" means school25077
districts or counties so located that each such school district or 25078
county shares at least one boundary or a portion thereof in common 25079
with at least one other such school district or county in the 25080
group of school districts or counties referred to as being25081
"contiguous."25082

       (D) "Technical college program" means a post high school25083
curricular program provided within a technical college, planned25084
and intended to qualify students, after satisfactory completion of 25085
such a program normally two years in duration, to pursue careers 25086
in which they provide immediate technical assistance to25087
professional or managerial persons generally required to hold25088
baccalaureate or higher academic degrees in technical or25089
professional fields. The technical and professional fields25090
referred to in this section include, but are not limited to,25091
engineering and physical, medical, or other sciences.25092

       (E) "Adult-education technical program" means the25093
dissemination of post high school technical education service and25094
knowledge, for the occupational, or general educational benefit of 25095
adult persons.25096

       (F) "Charter amendment" means a change in the official plan 25097
of a technical college for the purpose of acquiring additional 25098
lands or structures, disposing of or transferring lands or 25099
structures, erecting structures, creating or abolishing technical 25100
college or adult education technical curricular programs.25101

       (G) "Baccalaureate-oriented program" means a curricular 25102
program of not more than two years' duration that is planned and 25103
intended to enable students to gain academic credit for courses 25104
comparable to first- and second-year courses offered by accredited 25105
colleges and universities. The purpose of baccalaureate-oriented 25106
coursework in technical colleges is to enable students to transfer 25107
to colleges and universities and earn baccalaureate degrees or to 25108
enable students to terminate academic study after two years with a 25109
proportionate recognition of academic achievement through receipt 25110
of an associate degree.25111

       Sec. 3357.13. As used in this section, "state institution of 25112
higher education" has the same meaning as in section 3345.011 of 25113
the Revised Code.25114

        A technical college may offer baccalaureate-oriented programs 25115
regardless of its co-location with another state institution of 25116
higher education.25117

       Sec. 3365.01.  As used in this chapter:25118

       (A) "College" means any state-assisted college or university25119
described in section 3333.041 of the Revised Code, any nonprofit25120
institution holding a certificate of authorization pursuant to25121
Chapter 1713. of the Revised Code, any private institution exempt25122
from regulation under Chapter 3332. of the Revised Code as25123
prescribed in section 3333.046 of the Revised Code, and any25124
institution holding a certificate of registration from the state25125
board of career colleges and schools and program authorization for 25126
an associate or bachelor's degree program issued under section25127
3332.05 of the Revised Code.25128

       (B) "School district," except as specified in division (G) of 25129
this section, means any school district to which a student is25130
admitted under section 3313.64, 3313.65, 3313.98, or 3317.08 of25131
the Revised Code and does not include a joint vocational or25132
cooperative education school district.25133

       (C) "Parent" has the same meaning as in section 3313.64 of25134
the Revised Code.25135

       (D) "Participant" means a student enrolled in a college under 25136
the post-secondary enrollment options program established by this 25137
chapter.25138

       (E) "Secondary grade" means the ninth through twelfth grades.25139

       (F) "School foundation payments" means the amount required to 25140
be paid to a school district for a fiscal year under Chapter 3317. 25141
of the Revised Code.25142

       (G) "Tuition base" means, with respect to a participant's25143
school district, the greater of the following:25144

       (1) The fiscal year 2005 formula amount defined in section 25145
3317.02 of the Revised Code multiplied by the district's fiscal 25146
year 2005 cost-of-doing-business factor defined in that section;25147

       (2) The sum of (the current formula amount times the current 25148
cost-of-doing-business factor defined in section 3317.02 of the 25149
Revised Code) plus the per pupil amount of the base funding 25150
supplements specified in divisions (C)(1) to (4) of section 25151
3317.012 of the Revised Code.25152

       The participant's "school district" in the case of a 25153
participant enrolled in a community school shall be the school 25154
district in which the student is entitled to attend school under25155
section 3313.64 or 3313.65 of the Revised Code.25156

       (H) "Educational program" means enrollment in one or more25157
school districts, in a nonpublic school, or in a college under25158
division (B) of section 3365.04 of the Revised Code.25159

       (I) "Nonpublic school" means a chartered or nonchartered25160
school for which minimum standards are prescribed by the state25161
board of education pursuant to division (D) of section 3301.07 of25162
the Revised Code.25163

       (J) "School year" means the year beginning on the first day25164
of July and ending on the thirtieth day of June.25165

       (K) "Community school" means any school established pursuant25166
to Chapter 3314. of the Revised Code that includes secondary25167
grades.25168

       (L) "Community school payments" means payments made by the25169
department of education to a community school pursuant to division25170
(D) of section 3314.08 of the Revised Code.25171

       Sec. 3375.05.  The board of trustees of any public library25172
receiving money from a county's library and local government25173
supportlibraries fund that desires to render public library 25174
service by means of branches, library stations, or traveling 25175
library service to the inhabitants of any school district, other 25176
than a school district situated within the territorial boundaries 25177
of the subdivision or district over which said board has 25178
jurisdiction of free public library service, may make application 25179
to the state library board, upon forms provided by said board, for 25180
the establishment of such service. Said application shall set 25181
forth the total number of people being served by said library on 25182
the date of said application; an inventory of the books owned by 25183
said library; the number of branches, library stations, and 25184
traveling library service maintained by said library on the date 25185
of said application; the number and classification of the 25186
employees of said library and such other information as the state 25187
library board deems pertinent. Such application shall be 25188
accompanied by a financial statement of the library making the 25189
application covering the two fiscal years next preceding the date 25190
of said application. Upon receipt of said application by the state25191
library board, the state librarian, or an employee of the state25192
library board designated by such librarian, shall visit the25193
library making the application for the purpose of determining25194
whether or not the establishment of branches, library stations, or 25195
traveling library service as requested in said application will 25196
promote better library service in the district covered by said 25197
application. Upon the completion of such inspection, the25198
librarian, or the person designated by the librarian to make such25199
inspection, shall prepare a written report setting forth histhe25200
librarian's or designee's recommendations pertaining to the 25201
establishment of the branches, stations, or traveling library 25202
service as set forth in the application. Such report shall be 25203
submitted to the state library board within ninety days after the 25204
receipt of such application by the state library board. Within 25205
thirty days after such report has been filed with the state 25206
library board, said board shall either approve or disapprove, in 25207
whole or in part, the establishment of branches, library stations, 25208
or traveling library service as requested in said application. The 25209
decision of the state library board shall be final. Within ten 25210
days after final action has been taken by the state library board, 25211
upon such application, the librarian shall notify in writing the 25212
board of trustees of the public library making such application of 25213
the decision of the state library board.25214

       The state library board may withdraw its approval of library 25215
service rendered by any library to the inhabitants of a school 25216
district other than the school district in which the main library 25217
of such library is located. At least thirty days before the 25218
approval of such service may be withdrawn, the state library board 25219
shall give written notice to the board of trustees of the library 25220
rendering the service and the board of education of the school 25221
district to which such service is being rendered. Such notice 25222
shall set forth the reasons for the withdrawal of the approval of 25223
such service. If the board of trustees of the library rendering 25224
such service, or the board of education of a school district to 25225
which such service is being rendered, objects to the withdrawal of 25226
such approval it may, within twenty days of the receipt of such 25227
notice, request, in writing, the state library board to hold a 25228
hearing for the purpose of hearing protests to the withdrawal of 25229
such approval. Upon the receipt of such request, the state library 25230
board shall set the time and place of such hearing which shall be 25231
held within the territorial boundaries of the school district 25232
being served by the branch, station, or traveling library service 25233
whose continued operation is in question. Such hearing shall be 25234
held not less than thirty days after the receipt by the state 25235
library board of the request for such hearing. The state library 25236
board shall take no action on the withdrawal of approval of such 25237
service until after the holding of such hearing. The decision of 25238
the state library board shall be final.25239

       Sec. 3375.121.  (A) In any municipal corporation, not located 25240
in a county library district, which has a population of not less 25241
than twenty-five thousand, and within which there is not located a 25242
main library of a township, municipal, school district,25243
association, or county free public library, a library district may 25244
be created by a resolution adopted by the legislative authority of 25245
that municipal corporation. No such resolution shall be adopted 25246
after one year from June 20, 1977. Upon the adoption of such a 25247
resolution, any branches of an existing library that are located 25248
in that municipal corporation shall become the property of the 25249
municipal library district created.25250

       The municipal corporation and the board of trustees of the25251
public library maintaining any existing branches in that municipal 25252
corporation shall forthwith take appropriate action transferring 25253
all title and interest in all real and personal property located 25254
in that municipal corporation in the name of the library district 25255
maintaining those branches in that municipal corporation to the 25256
municipal corporation adopting the appropriate resolution. Upon 25257
transfer of all title and interest in that property, the branches 25258
shall become a part of, and be operated by, the board of library 25259
trustees appointed by the mayor.25260

       (B) In any municipal corporation that has a population of25261
less than twenty-five thousand and that has not less than one25262
hundred thousand dollars available from a bequest for the25263
establishment of a municipal library, the legislative authority of 25264
that municipal corporation may adopt, within one year after June 25265
20, 1977, a resolution creating a library district. Upon the 25266
establishment of any such library district, the board of trustees 25267
of any library operating a branch library in that municipal25268
corporation shall not be required to transfer any property to the25269
newly established library.25270

       (C) The board of library trustees of any library district 25271
created under this section shall be composed of six members. Those25272
trustees shall be appointed by the mayor, to serve without25273
compensation, for a term of four years. In the first instance,25274
three of those trustees shall be appointed for a term of two25275
years, and three of them shall be appointed for a term of four 25276
years. Vacancies shall be filled by like appointment for the 25277
unexpired term. A library district created under this section 25278
shall be governed in accordance with and exercise the authority 25279
provided for in sections 3375.32 to 3375.41 of the Revised Code.25280

       Notwithstanding any contrary provision of section 3.24 of the 25281
Revised Code, the president of a board of township trustees may 25282
administer the oath of office to a person or persons representing 25283
the township on the board of library trustees of any library 25284
district created under this section, even if the geographical 25285
limits of the library district do not fall within the geographical 25286
limits of the township.25287

       (D) Any library district created under this section is25288
eligible to participate in the proceeds of the county library and25289
local government supportlibraries fund in accordance with section 25290
5705.28 of the Revised Code.25291

       (E) A municipal corporation may establish and operate a free25292
public library regardless of whether the municipal corporation is 25293
located in a county library district or school library district, 25294
if all of the following conditions are met:25295

       (1) The facility in which the library is principally located 25296
is transferred to the municipal corporation from the county 25297
library district or school library district in which it is located 25298
prior to January 1, 1996.25299

       (2) The population of the municipal corporation is less than 25300
five hundred when the library is transferred from the county 25301
library district or school library district to the municipal 25302
corporation.25303

       (3) The municipal corporation does not establish a municipal 25304
library district under this section.25305

       (4) The library does not receive any proceeds from the 25306
county library and local government supportlibraries fund under 25307
section 5747.48 of the Revised Code.25308

       Sec. 3375.40.  Each board of library trustees appointed25309
pursuant to section 3375.06, 3375.10, 3375.12, 3375.15, 3375.22, 25310
or 3375.30 of the Revised Code may do the following:25311

       (A) Hold title to and have the custody of all real and25312
personal property of the free public library under its25313
jurisdiction;25314

       (B) Expend for library purposes, and in the exercise of the 25315
power enumerated in this section, all moneys, whether derived from 25316
the county library and local government supportlibraries fund or25317
otherwise, credited to the free public library under its25318
jurisdiction and generally do all things it considers necessary25319
for the establishment, maintenance, and improvement of the free 25320
public library under its jurisdiction;25321

       (C) Purchase, lease, construct, remodel, renovate, or25322
otherwise improve, equip, and furnish buildings or parts of25323
buildings and other real property, and purchase, lease, or 25324
otherwise acquire motor vehicles and other personal property, 25325
necessary for the proper maintenance and operation of the free 25326
public library under its jurisdiction, and pay their costs in 25327
installments or otherwise. Financing of these costs may be 25328
provided through the issuance of notes, through an installment 25329
sale, or through a lease-purchase agreement. Any such notes shall 25330
be issued pursuant to section 3375.404 of the Revised Code.25331

       (D) Purchase, lease, lease with an option to purchase, or25332
erect buildings or parts of buildings to be used as main25333
libraries, branch libraries, or library stations pursuant to25334
section 3375.41 of the Revised Code;25335

       (E) Establish and maintain a main library, branches, library 25336
stations, and traveling library service within the territorial 25337
boundaries of the political subdivision or district over which it 25338
has jurisdiction of free public library service;25339

       (F) Except as otherwise provided in this division, establish 25340
and maintain branches, library stations, and traveling library 25341
service in any school district, outside the territorial boundaries 25342
of the political subdivision or district over which it has 25343
jurisdiction of free public library service, upon application to 25344
and approval of the state library board, pursuant to section 25345
3375.05 of the Revised Code. The board of library trustees of any 25346
free public library maintaining branches, stations, or traveling 25347
library service, outside the territorial boundaries of the 25348
political subdivision or district over which it has jurisdiction 25349
of free public library service, on September 4, 1947, may continue 25350
to maintain and operate those branches, those stations, and that25351
traveling library service without the approval of the state25352
library board.25353

       (G) Appoint and fix the compensation of all of the employees 25354
of the free public library under its jurisdiction, pay the 25355
reasonable cost of tuition for any of its employees who enroll in 25356
a course of study the board considers essential to the duties of 25357
the employee or to the improvement of the employee's performance, 25358
and reimburse applicants for employment for any reasonable 25359
expenses they incur by appearing for a personal interview;25360

       (H) Make and publish rules for the proper operation and25361
management of the free public library and facilities under its 25362
jurisdiction, including rules pertaining to the provision of 25363
library services to individuals, corporations, or institutions 25364
that are not inhabitants of the county;25365

       (I) Assess uniform fees for the provision of services to 25366
patrons of the library, but no fee shall be assessed for the 25367
circulation of printed materials held by the library except for 25368
the assessment of fines for materials not returned in accordance 25369
with the board's rules;25370

        (J) Establish and maintain a museum in connection with and as 25371
an adjunct to the free public library under its jurisdiction;25372

       (K) By the adoption of a resolution, accept any bequest,25373
gift, or endowment upon the conditions connected with the bequest, 25374
gift, or endowment. No such bequest, gift, or endowment shall be 25375
accepted by the board if its conditions remove any portion of the 25376
free public library under the board's jurisdiction from the 25377
control of the board or if the conditions, in any manner, limit 25378
the free use of the library or any part of it by the residents of 25379
the counties in which the library is located.25380

       (L) At the end of any fiscal year, by a two-thirds vote of25381
its full membership, set aside any unencumbered surplus remaining25382
in the general fund of the free public library under its 25383
jurisdiction for any purpose, including creating or increasing a 25384
special building and repair fund, or for operating the library or 25385
acquiring equipment and supplies;25386

       (M) Procure and pay all or part of the cost of group term 25387
life, hospitalization, surgical, major medical, disability 25388
benefit, dental care, eye care, hearing aids, or prescription drug25389
insurance or coverage, or a combination of any of those types of25390
insurance or coverage, whether issued by an insurance company or a 25391
health insuring corporation duly licensed by the state, covering 25392
its employees, and, in the case of group term life,25393
hospitalization, surgical, major medical, dental care, eye care, 25394
hearing aids, or prescription drug insurance or coverage, also 25395
covering the dependents and spouses of its employees, and, in the 25396
case of disability benefits, also covering the spouses of its 25397
employees.25398

       (N) Pay reasonable dues and expenses for the free public 25399
library and library trustees in library associations.25400

       Any instrument by which real property is acquired pursuant to 25401
this section shall identify the agency of the state that has the 25402
use and benefit of the real property as specified in section 25403
5301.012 of the Revised Code.25404

       Sec. 3375.85.  An interstate library district lying partly25405
within this state may claim and be entitled to receive state aid,25406
other than aid from the library and local government support25407
libraries fund, in support of any of its functions to the same 25408
extent and in the same manner as such functions are eligible for 25409
suportsupport when carried on by entities wholly within this 25410
state. For the purposes of computing and apportioning such state 25411
aid to an interstate library district, this state will consider 25412
that portion of the area which lies within this state as an25413
independent entity for the performance of the aided function or25414
functions and compute and apportion the aid accordingly. Any25415
library association that was organized and operated prior to25416
January 1, 1968, and which pursuant to the authority granted in25417
section 3375.83 of the Revised Code, has become part of an25418
interstate library district shall be considered a library25419
association under section 5705.28 of the Revised Code and entitled 25420
to participate in the county library and local government support25421
libraries fund and other public funds. Subject to any applicable 25422
laws of this state, such a district also may apply for and be 25423
entitled to receive any federal aid for which it may be eligible.25424

       Sec. 3381.04.  (A) In lieu of the procedure set forth in25425
section 3381.03 of the Revised Code, any county with a population 25426
of five hundred thousand or more, at any time before the creation 25427
of a regional arts and cultural district under that section, may 25428
create a regional arts and cultural district by adoption of a 25429
resolution by the board of county commissioners of that county. 25430
The resolution shall state all of the following:25431

       (1) The purposes for the creation of the district;25432

        (2) That the territory of the district shall be coextensive 25433
with the territory of the county;25434

       (3) The official name by which the district shall be known;25435

       (4) The location of the principal office of the district or 25436
the manner in which the location shall be selected.25437

       (B) The district provided for in the resolution shall be 25438
created upon the adoption of the resolution by the board of county 25439
commissioners of that county. Upon the adoption of the resolution, 25440
the county and the municipal corporations and townships contained 25441
in the county shall not thereafter be a part of any other regional 25442
arts and cultural district.25443

       (C) The board of trustees of any regional arts and cultural25444
district formed in accordance with this section shall be comprised 25445
of threefive members appointed by the board of county 25446
commissioners.25447

       Sec. 3501.17.  (A) The expenses of the board of elections 25448
shall be paid from the county treasury, in pursuance of 25449
appropriations by the board of county commissioners, in the same 25450
manner as other county expenses are paid. If the board of county 25451
commissioners fails to appropriate an amount sufficient to provide 25452
for the necessary and proper expenses of the board of elections 25453
pertaining to the conduct of elections, the board of elections 25454
may apply to the court of common pleas within the county, which 25455
shall fix the amount necessary to be appropriated and the amount 25456
shall be appropriated. Payments shall be made upon vouchers of the 25457
board of elections certified to by its chairperson or acting 25458
chairperson and the director or deputy director, upon warrants of 25459
the county auditor.25460

       The board of elections shall not incur any obligation 25461
involving the expenditure of money unless there are moneys 25462
sufficient in the funds appropriated therefor to meet the 25463
obligation. If the board of elections requests a transfer of funds 25464
from one of its appropriation items to another, the board of 25465
county commissioners shall adopt a resolution providing for the 25466
transfer except as otherwise provided in section 5705.40 of the 25467
Revised Code. The expenses of the board of elections shall be 25468
apportioned among the county and the various subdivisions as 25469
provided in this section, and the amount chargeable to each 25470
subdivision shall be withheld by the auditor from the moneys 25471
payable thereto at the time of the next tax settlement. At the 25472
time of submitting budget estimates in each year, the board of 25473
elections shall submit to the taxing authority of each 25474
subdivision, upon the request of the subdivision, an estimate of 25475
the amount to be withheld from the subdivision during the next 25476
fiscal year.25477

       (B) Except as otherwise provided in division (F) of this 25478
section, the entire compensation of the members of the board of 25479
elections and of the director, deputy director, and otherregular25480
employees in the board's offices, other than compensation for 25481
overtime worked; the expenditures for the rental, furnishing, and 25482
equipping of the office of the board and for the necessary office 25483
supplies for the use of the board; the expenditures for the 25484
acquisition, repair, care, and custody of the polling places, 25485
booths, guardrails, and other equipment for polling places; the 25486
cost of pollbooks, tally sheets, maps, flags, ballot boxes, and 25487
all other permanent records and equipment; the cost of all 25488
elections held in and for the state and county; and all other 25489
expenses of the board which are not chargeable to a political 25490
subdivision in accordance with this section shall be paid in the 25491
same manner as other county expenses are paid.25492

       (C) The compensation of judges andof elections, clerks of 25493
elections, and intermittent employees in the board's offices; the25494
cost of renting, moving, heating, and lighting polling places and25495
of placing and removing ballot boxes and other fixtures and25496
equipment thereof, including voting machines, marking devices, and 25497
automatic tabulating equipment; the cost of printing and 25498
delivering ballots, cards of instructions, registration lists 25499
required under section 3503.23 of the Revised Code, and other 25500
election supplies, including the supplies required to comply with 25501
division (H) of section 3506.01 of the Revised Code; the cost of 25502
contractors engaged by the board to prepare, program, test, and 25503
operate voting machines, marking devices, and automatic tabulating 25504
equipment; and all other expenses of conducting primaries and 25505
elections in the odd-numbered years shall be charged to the 25506
subdivisions in and for which such primaries or elections are 25507
held. The charge for each primary or general election in 25508
odd-numbered years for each subdivision shall be determined in the 25509
following manner: first, the total cost of all chargeable items 25510
used in conducting such elections shall be ascertained; second, 25511
the total charge shall be divided by the number of precincts 25512
participating in such election, in order to fix the cost per 25513
precinct; third, the cost per precinct shall be prorated by the 25514
board of elections to the subdivisions conducting elections for 25515
the nomination or election of offices in such precinct; fourth, 25516
the total cost for each subdivision shall be determined by adding 25517
the charges prorated to it in each precinct within the 25518
subdivision.25519

       (D) The entire cost of special elections held on a day other25520
than the day of a primary or general election, both in25521
odd-numbered or in even-numbered years, shall be charged to the25522
subdivision. Where a special election is held on the same day as a 25523
primary or general election in an even-numbered year, the25524
subdivision submitting the special election shall be charged only25525
for the cost of ballots and advertising. Where a special election 25526
is held on the same day as a primary or general election in an 25527
odd-numbered year, the subdivision submitting the special election 25528
shall be charged for the cost of ballots and advertising for such 25529
special election, in addition to the charges prorated to such 25530
subdivision for the election or nomination of candidates in each 25531
precinct within the subdivision, as set forth in the preceding 25532
paragraph.25533

       (E) Where a special election is held on the day specified by25534
division (E) of section 3501.01 of the Revised Code for the25535
holding of a primary election, for the purpose of submitting to25536
the voters of the state constitutional amendments proposed by the25537
general assembly, and a subdivision conducts a special election on 25538
the same day, the entire cost of the special election shall be25539
divided proportionally between the state and the subdivision based 25540
upon a ratio determined by the number of issues placed on the 25541
ballot by each, except as otherwise provided in division (G) of 25542
this section. Such proportional division of cost shall be made 25543
only to the extent funds are available for such purpose from25544
amounts appropriated by the general assembly to the secretary of25545
state. If a primary election is also being conducted in the25546
subdivision, the costs shall be apportioned as otherwise provided25547
in this section.25548

       (F) When a precinct is open during a general, primary, or 25549
special election solely for the purpose of submitting to the 25550
voters a statewide ballot issue, the state shall bear the entire 25551
cost of the election in that precinct and shall reimburse the 25552
county for all expenses incurred in opening the precinct.25553

       (G) The state shall bear the entire cost of advertising in25554
newspapers statewide ballot issues, explanations of those issues, 25555
and arguments for or against those issues, as required by Section25556
1g of Article II and Section 1 of Article XVI, Ohio Constitution, 25557
and any other section of law and shall reimburse the counties for 25558
all expenses they incur for such advertising.25559

       (H) The cost of renting, heating, and lighting registration25560
places; the cost of the necessary books, forms, and supplies for25561
the conduct of registration; and the cost of printing and posting25562
precinct registration lists shall be charged to the subdivision in 25563
which such registration is held.25564

       (I) As used in this section, "statewide:25565

       (1) "Political subdivision" and "subdivision" mean any board 25566
of county commissioners, board of township trustees, legislative 25567
authority of a municipal corporation, board of education, or any 25568
other board, commission, district, or authority that is empowered 25569
to levy taxes or permitted to receive the proceeds of a tax levy, 25570
regardless of whether the entity receives tax settlement moneys as 25571
described in division (A) of this section;25572

        (2) "Statewide ballot issue" means any ballot issue, whether 25573
proposed by the general assembly or by initiative or referendum, 25574
that is submitted to the voters throughout the state.25575

       Sec. 3701.135. (A) The autism diagnosis education pilot 25576
program is hereby established in the department of health. The 25577
program shall have the following goals:25578

        (1) To educate health care professionals, teachers and other 25579
educational personnel, child care providers, parents, early 25580
intervention and developmental disabilities providers, and other 25581
community-based services providers in this state regarding the 25582
diagnosis of autism spectrum disorders, including the range of 25583
symptoms that may indicate autism spectrum disorders and screening 25584
tools;25585

       (2) To promote appropriate standards for the diagnosis of 25586
autism spectrum disorders in children, including screening tools 25587
and treatment planning for children diagnosed with autism spectrum 25588
disorders;25589

        (3) To encourage physicians and other health care 25590
professionals with expertise in screening, diagnosing, and 25591
treating autism spectrum disorders to share that information with 25592
other health care professionals in this state;25593

        (4) To encourage the regional coordination of services to 25594
facilitate the effective, timely treatment of children diagnosed 25595
with autism spectrum disorders.25596

        (B) The director of health shall contract with a public or 25597
private entity to conduct or administer the autism diagnosis 25598
education pilot program.25599

       Sec. 3701.74.  (A) As used in this section and section25600
3701.741 of the Revised Code:25601

       (1) "Ambulatory care facility" means a facility that provides25602
medical, diagnostic, or surgical treatment to patients who do not25603
require hospitalization, including a dialysis center, ambulatory25604
surgical facility, cardiac catheterization facility, diagnostic25605
imaging center, extracorporeal shock wave lithotripsy center, home25606
health agency, inpatient hospice, birthing center, radiation25607
therapy center, emergency facility, and an urgent care center.25608
"Ambulatory care facility" does not include the private office of25609
a physician or dentist, whether the office is for an individual or25610
group practice.25611

       (2) "Chiropractor" means an individual licensed under Chapter25612
4734. of the Revised Code to practice chiropractic.25613

       (3) "Emergency facility" means a hospital emergency25614
department or any other facility that provides emergency medical25615
services.25616

       (4) "Health care practitioner" means all of the following:25617

       (a) A dentist or dental hygienist licensed under Chapter25618
4715. of the Revised Code;25619

       (b) A registered or licensed practical nurse licensed under25620
Chapter 4723. of the Revised Code;25621

       (c) An optometrist licensed under Chapter 4725. of the25622
Revised Code;25623

       (d) A dispensing optician, spectacle dispensing optician,25624
contact lens dispensing optician, or spectacle-contact lens25625
dispensing optician licensed under Chapter 4725. of the Revised25626
Code;25627

       (e) A pharmacist licensed under Chapter 4729. of the Revised25628
Code;25629

       (f) A physician;25630

       (g) A physician assistant authorized under Chapter 4730. of25631
the Revised Code to practice as a physician assistant;25632

       (h) A practitioner of a limited branch of medicine issued a25633
certificate under Chapter 4731. of the Revised Code;25634

       (i) A psychologist licensed under Chapter 4732. of the25635
Revised Code;25636

       (j) A chiropractor;25637

       (k) A hearing aid dealer or fitter licensed under Chapter25638
4747. of the Revised Code;25639

       (l) A speech-language pathologist or audiologist licensed25640
under Chapter 4753. of the Revised Code;25641

       (m) An occupational therapist or occupational therapy25642
assistant licensed under Chapter 4755. of the Revised Code;25643

       (n) A physical therapist or physical therapy assistant25644
licensed under Chapter 4755. of the Revised Code;25645

       (o) A professional clinical counselor, professional25646
counselor, social worker, or independent social worker licensed,25647
or a social work assistant registered, under Chapter 4757. of the25648
Revised Code;25649

       (p) A dietitian licensed under Chapter 4759. of the Revised25650
Code;25651

       (q) A respiratory care professional licensed under Chapter25652
4761. of the Revised Code;25653

       (r) An emergency medical technician-basic, emergency medical25654
technician-intermediate, or emergency medical technician-paramedic25655
certified under Chapter 4765. of the Revised Code.25656

       (5) "Health care provider" means a hospital, ambulatory care 25657
facility, long-term care facility, pharmacy, emergency facility, 25658
or health care practitioner.25659

       (6) "Hospital" has the same meaning as in section 3727.01 of25660
the Revised Code.25661

       (7) "Long-term care facility" means a nursing home,25662
residential care facility, or home for the aging, as those terms25663
are defined in section 3721.01 of the Revised Code; an adult care25664
facility, as defined in section 3722.01 of the Revised Code; a25665
nursing facility or intermediate care facility for the mentally25666
retarded, as those terms are defined in section 5111.20 of the25667
Revised Code; a facility or portion of a facility certified as a25668
skilled nursing facility under Title XVIII of the "Social Security25669
Act," 49 Stat. 286 (1965), 42 U.S.C.A. 1395, as amended.25670

       (8) "Medical record" means data in any form that pertains to 25671
a patient's medical history, diagnosis, prognosis, or medical25672
condition and that is generated and maintained by a health care25673
provider in the process of the patient's health care treatment.25674

       (9) "Medical records company" means a person who stores,25675
locates, or copies medical records for a health care provider, or25676
is compensated for doing so by a health care provider, and charges25677
a fee for providing medical records to a patient or patient's25678
representative.25679

       (10) "Patient" means either of the following:25680

       (a) An individual who received health care treatment from a25681
health care provider;25682

       (b) A guardian, as defined in section 1337.11 of the Revised25683
Code, of an individual described in division (A)(10)(a) of this25684
section.25685

       (11) "Patient's personal representative" means a minor 25686
patient's parent or other person acting in loco parentis, a 25687
court-appointed guardian, or a person with durable power of 25688
attorney for health care for a patient, the executor or 25689
administrator of the patient's estate, or the person responsible25690
for the patient's estate if it is not to be probated. "Patient's 25691
personal representative" does not include an insurer authorized 25692
under Title XXXIX of the Revised Code to do the business of25693
sickness and accident insurance in this state, a health insuring 25694
corporation holding a certificate of authority under Chapter 1751. 25695
of the Revised Code, or any other person not named in this 25696
division.25697

       (12) "Pharmacy" has the same meaning as in section 4729.01 of25698
the Revised Code.25699

       (13) "Physician" means a person authorized under Chapter25700
4731. of the Revised Code to practice medicine and surgery,25701
osteopathic medicine and surgery, or podiatric medicine and 25702
surgery.25703

       (14) "Authorized person" means a person to whom a patient has 25704
given written authorization to act on the patient's behalf 25705
regarding the patient's medical record.25706

       (B) A patient, a patient's personal representative or an 25707
authorized person who wishes to examine or obtain a copy of part 25708
or all of a medical record shall submit to the health care 25709
provider a written request signed by the patient, personal 25710
representative, or authorized person dated not more than sixty 25711
daysone year before the date on which it is submitted. The 25712
request shall indicate whether the copy is to be sent to the 25713
requestor, physician or chiropractor, , or held for the requestor 25714
at the office of the health care provider. Within a reasonable25715
time after receiving a request that meets the requirements of this25716
division and includes sufficient information to identify the25717
record requested, a health care provider that has the patient's25718
medical records shall permit the patient to examine the record 25719
during regular business hours without charge or, on request, shall 25720
provide a copy of the record in accordance with section 3701.741 25721
of the Revised Code, except that if a physician or chiropractor 25722
who has treated the patient determines for clearly stated 25723
treatment reasons that disclosure of the requested record is 25724
likely to have an adverse effect on the patient, the health care 25725
provider shall provide the record to a physician or chiropractor 25726
designated by the patient. The health care provider shall take25727
reasonable steps to establish the identity of the person making 25728
the request to examine or obtain a copy of the patient's record.25729

       (C) If a health care provider fails to furnish a medical25730
record as required by division (B) of this section, the patient, 25731
personal representative, or authorized person who requested the25732
record may bring a civil action to enforce the patient's right of25733
access to the record.25734

       (D)(1) This section does not apply to medical records whose25735
release is covered by section 173.20 or 3721.13 of the Revised25736
Code, by Chapter 1347. or 5122. of the Revised Code, by 42 C.F.R.25737
part 2, "Confidentiality of Alcohol and Drug Abuse Patient25738
Records," or by 42 C.F.R. 483.10.25739

       (2) Nothing in this section is intended to supersede the25740
confidentiality provisions of sections 2305.24, 2305.25, 2305.251, 25741
and 2305.252 of the Revised Code.25742

       Sec. 3701.741.  (A) Through December 31, 2008, each health25743
care provider and medical records company shall provide copies of25744
medical records in accordance with this section.25745

       (B) Except as provided in divisions (C) and (E) of this25746
section, a health care provider or medical records company that25747
receives a request for a copy of a patient's medical record shall25748
charge not more than the amounts set forth in this section. 25749

       (1) If the request is made by the patient or the patient's 25750
personal representative, total costs for copies and all services 25751
related to those copies shall not exceed the sum of the following:25752

       (a) With respect to data recorded on paper, the following 25753
amounts:25754

        (i) Two dollars and fifty cents per page for the first ten 25755
pages;25756

        (ii) Fifty-one cents per page for pages eleven through fifty;25757

       (iii) Twenty cents per page for pages fifty-one and higher;25758

        (b) With respect to data recorded other than on paper, one 25759
dollar and seventy cents per page;25760

        (c) The actual cost of any related postage incurred by the 25761
health care provider or medical records company.25762

        (2) If the request is made other than by the patient or the 25763
patient's personal representative, total costs for copies and all 25764
services related to those copies shall not exceed the sum of the 25765
following:25766

       (a) An initial fee of fifteen dollars and thirty-five cents, 25767
which shall compensate for the records search;25768

       (b) With respect to data recorded on paper, the following25769
amounts:25770

       (i) One dollar and two cents per page for the first ten 25771
pages;25772

       (ii) Fifty-one cents per page for pages eleven through fifty;25773

       (iii) Twenty cents per page for pages fifty-one and higher.25774

       (c) With respect to data recorded other than on paper, one 25775
dollar and seventy cents per page;25776

       (d) The actual cost of any related postage incurred by the25777
health care provider or medical records company.25778

       (C)(1) A health care provider or medical records company 25779
shall provide one copy without charge to the following:25780

       (a) The bureau of workers' compensation, in accordance with25781
Chapters 4121. and 4123. of the Revised Code and the rules adopted25782
under those chapters;25783

       (b) The industrial commission, in accordance with Chapters25784
4121. and 4123. of the Revised Code and the rules adopted under25785
those chapters;25786

       (c) The department of job and family services or a county 25787
department of job and family services, in accordance with Chapter25788
Chapters 5101. and 5111. of the Revised Code and the rules adopted 25789
under those chapters;25790

       (d) The attorney general, in accordance with sections 2743.51 25791
to 2743.72 of the Revised Code and any rules that may be adopted 25792
under those sections;25793

       (e) A patient or patient's personal representative if the 25794
medical record is necessary to support a claim under Title II or25795
Title XVI of the "Social Security Act," 49 Stat. 620 (1935), 42 25796
U.S.C.A. 401 and 1381, as amended, and the request is accompanied 25797
by documentation that a claim has been filed.25798

       (2) Nothing in division (C)(1) of this section requires a 25799
health care provider or medical records company to provide a copy 25800
without charge to any person or entity not listed in division 25801
(C)(1) of this section.25802

       (D) Division (C) of this section shall not be construed to25803
supersede any rule of the bureau of workers' compensation, the25804
industrial commission, or the department of job and family25805
services.25806

       (E) A health care provider or medical records company may25807
enter into a contract with either of the following for the copying 25808
of medical records at a fee other than as provided in division (B) 25809
of this section:25810

       (1) A patient, a patient's personal representative, or an 25811
authorized person;25812

       (2) An insurer authorized under Title XXXIX of the Revised 25813
Code to do the business of sickness and accident insurance in this 25814
state or health insuring corporations holding a certificate of 25815
authority under Chapter 1751. of the Revised Code.25816

       (F) This section does not apply to medical records the 25817
copying of which is covered by section 173.20 of the Revised Code 25818
or by 42 C.F.R. 483.10.25819

       Sec. 3701.83.  (A) There is hereby created in the state 25820
treasury the general operations fund. Moneys in the fund shall be 25821
used for the purposes specified in sections 3701.04, 3701.344, 25822
3702.20, 3710.15, 3711.021, 3717.45, 3718.06, 3721.02, 3722.04, 25823
3729.07, 3733.04, 3733.25, 3733.43, 3748.04, 3748.05, 3748.07, 25824
3748.12, 3748.13, 3749.04, 3749.07, 4747.04, 4751.04, and 4769.09 25825
of the Revised Code.25826

       (B) The alcohol testing program fund is hereby created in the 25827
state treasury. The director of health shall use the fund to25828
administer and enforce the alcohol testing and permit program25829
authorized by section 3701.143 of the Revised Code.25830

       The fund shall receive transfers from the liquor control fund 25831
created under section 4301.12 of the Revised Code. All investment 25832
earnings of the alcohol testing program fund shall be credited to 25833
the fund.25834

       Sec. 3702.52.  The director of health shall administer a 25835
state certificate of need program in accordance with sections25836
3702.51 to 3702.62 of the Revised Code and rules adopted under25837
those sections.25838

       (A) The director shall issue rulings on whether a particular 25839
proposed project is a reviewable activity. The director shall 25840
issue a ruling not later than forty-five days after receiving a 25841
request for a ruling accompanied by the information needed to make 25842
the ruling. If the director does not issue a ruling in that time, 25843
the project shall be considered to have been ruled not a 25844
reviewable activity.25845

       (B) The director shall review applications for certificates 25846
of need. Each application shall be submitted to the director on 25847
forms prescribed by the director, shall include all information 25848
required by rules adopted under division (B) of section 3702.57 of 25849
the Revised Code, and shall be accompanied by the application fee 25850
established in rules adopted under division (G) of that section. 25851
Application25852

       Application fees received by the director under this division 25853
shall be deposited into the state treasury to the credit of the 25854
certificate of need fund, which is hereby created. The director 25855
shall use the fund only to pay the costs of administering sections 25856
3702.11 to 3702.20, 3702.30, and 3702.51 to 3702.62 of the Revised 25857
Code and rules adopted under those sections.25858

       The director shall mail to the applicant a written notice 25859
that the application meets the criteria for a complete application 25860
specified in rules adopted under section 3702.57 of the Revised 25861
Code, or a written request for additional information, not later 25862
than fifteenthirty days after receiving an application or a 25863
response to an earlier request for information. The director 25864
shall not make more than two requests for additional information.25865

       The director may conduct a public informational hearing in 25866
the course of reviewing any application for a certificate of need, 25867
and shall conduct one if requested to do so by any affected person 25868
not later than fifteen days after the director mails the notice 25869
that the application is complete. The hearing shall be conducted 25870
in the community in which the activities authorized by the25871
certificate of need would be carried out. Any affected person may 25872
testify at the hearing. The director may, with the health service 25873
agency's consent, designate a health service agency to conduct the 25874
hearing.25875

       Except during a public hearing or as necessary to comply with 25876
a subpoena issued under division (F) of this section, after a25877
notice of completeness has been received, no person shall 25878
knowingly discuss in person or by telephone the merits of the 25879
application with the director. If one or more persons request a25880
meeting in person or by telephone, the director shall make a 25881
reasonable effort to invite interested parties to the meeting or 25882
conference call.25883

       (C) Divisions (C)(1) to (7) of this section apply to 25884
certificate of need applications for which the director had not 25885
issued a written decision prior to April 20, 1995, unless the 25886
director was required, under the version of this section in effect 25887
immediately prior to June 30, 1995, to grant a certificate of need 25888
prior to June 30, 1995, because of a lack of written objections 25889
from any affected person. Divisions (C)(1) to (7) of this section25890
do not invalidate any certificate of need that the director was25891
required to grant prior to June 30, 1995, under that circumstance.25892

       (1) TheAll of the following apply to the process of granting 25893
or denying a certificate of need:25894

        (1) If the project proposed in a certificate of need 25895
application meets all of the applicable certificate of need 25896
criteria for approval under sections 3702.51 to 3702.62 of the 25897
Revised Code and the rules adopted under those sections, the25898
director shall grant a certificate of need for the entire project 25899
that is the subject of the application immediately after both of 25900
the following conditions are met:25901

       (a) The board of trustees of the health service agency of the 25902
health service area in which the reviewable activity is proposed 25903
to be conducted recommends, prior to the deadline specified in 25904
division (C)(4) of this section or any extension of it under 25905
division (C)(5) of this section, that the certificate of need be 25906
granted;25907

       (b) The director receives nodoes not receive any written 25908
objections to the application from any affected person by the 25909
later of May 20, 1995, or thirty daysthirtieth day after the25910
director mails the notice of completeness.25911

       (2) In the case of certificate of need applications under 25912
comparative review, if the projects proposed in the applications 25913
meet all of the applicable certificate of need criteria for 25914
approval under sections 3702.51 to 3702.62 of the Revised Code and 25915
the rules adopted under those sections, the director shall grant 25916
certificates of need for the entire projects that are the subject 25917
of the applications immediately after both of the following 25918
conditions are met:25919

       (a) The board of trustees of the health service agency of 25920
each health service area in which the reviewable activities are 25921
proposed to be conducted recommends, prior to the deadline 25922
specified in division (C)(4) of this section or any extension of 25923
it under division (C)(5) of this section, that certificates of 25924
need be granted for each of the reviewable activities to be25925
conducted in its health service area;25926

       (b) The director receives nodoes not receive any written 25927
objections to any of the applications from any affected person by 25928
the later of May 20, 1995, or thirty daysthirtieth day after the 25929
director mails the last notice of completeness.25930

       The director's grant of a certificate of need under division 25931
(C)(1) or (2) of this section does not affect, and sets no 25932
precedent for, the director's decision to grant or deny other 25933
applications for similar reviewable activities proposed to be 25934
conducted in the same or different health service areas.25935

       (3) If the director receives written objections to an 25936
application from any affected person by the later of May 20, 1995, 25937
or thirty daysthirtieth day after mailing the notice of 25938
completeness, regardless of the health service agency's 25939
recommendation, the director shall notify the applicant and assign 25940
a hearing examiner to conduct an adjudication hearing concerning 25941
the application in accordance with Chapter 119. of the Revised 25942
Code. In the case of applications under comparative review, if the 25943
director receives written objections to any of the applications 25944
from any affected person by the later of May 20, 1995, or thirty 25945
daysthirtieth day after the director mails the last notice of25946
completeness, regardless of the health service agencies'25947
recommendation, the director shall notify all of the applicants 25948
and appoint a hearing examiner to conduct a consolidated 25949
adjudication hearing concerning the applications in accordance25950
with Chapter 119. of the Revised Code. The hearing examiner shall 25951
be employed by or under contract with the department of health.25952

       The adjudication hearings may be conducted in the health 25953
service area in which the reviewable activity is proposed to be25954
conducted. Consolidated adjudication hearings for applications in25955
comparative review may be conducted in the geographic region in 25956
which all of the reviewable activities will be conducted. The 25957
applicant, the director, and the affected persons that filed 25958
objections to the application shall be parties to the hearing. If 25959
none of the affected persons that submitted written objections to 25960
the application appears or prosecutes the hearing, the hearing25961
examiner shall dismiss the hearing and the director shall grant a 25962
certificate of need for the entire project that is the subject of 25963
the application if the proposed project meets all of the 25964
applicable certificate of need criteria for approval under 25965
sections 3702.51 to 3702.62 of the Revised Code and the rules 25966
adopted under those sections. The affected persons bear the burden 25967
of proving by a preponderance of evidence that the project is not25968
needed or that granting the certificate would not be in accordance 25969
with sections 3702.51 to 3702.62 of the Revised Code or the rules 25970
adopted under section 3702.57 of the Revised Codethose sections.25971

       (4) Except as provided in divisions (C)(1) and (2) of this 25972
section, the director shall grant or deny certificate of need25973
applications for which an adjudication hearing is not conducted25974
under division (C)(3) of this section not later than ninetysixty25975
days after mailing the notice of completeness or, in the case of 25976
an application proposing addition of long-term care beds, not 25977
later than ninetysixty days after such other time as is specified 25978
in rules adopted under section 3702.57 of the Revised Code. The 25979
director shall grant or deny certificate of need applications for 25980
which an adjudication hearing is conducted under division (C)(3) 25981
of this section not later than thirty days after the expiration of 25982
the time for filing objections to the report and recommendation of 25983
the hearing examiner under section 119.09 of the Revised Code. The 25984
director shall base decisions concerning applications for which an 25985
adjudication hearing is conducted under division (C)(3) of this 25986
section on the report and recommendations of the hearing examiner.25987

       (5) Except as otherwise provided in division (C)(1), (2), or 25988
(6) of this section, the director or the applicant may extend the 25989
deadline prescribed in division (C)(4) of this section once, for 25990
no longer than thirty days, by written notice before the end of 25991
the original thirty-day period. An extension by the director under 25992
division (C)(5) of this section shall apply to all applications 25993
that are in comparative review.25994

       (6) No applicant in a comparative review may extend the 25995
deadline specified in division (C)(4) of this section. 25996

       (7) Except as provided in divisions (C)(1) and (2) of this 25997
section, the director may grant a certificate of need for all or 25998
part of the project that is the subject of an application. If the 25999
director does not grant or deny the certificate by the applicable26000
deadline specified in division (C)(4) of this section or any 26001
extension of it under division (C)(5) of this section, the 26002
certificate shall be considered to have been granted. The 26003
director, in reviewing certificate of need applications for solid 26004
organ transplantation services, may ask for assistance from a 26005
statewide transplantation advisory group consisting of qualified 26006
professionals and administrators. Such consultation shall not 26007
cause the review period for any application to be extended beyond 26008
the applicable deadline specified in division (C)(4) of this 26009
section or any extension of it under division (C)(5) of this 26010
section.26011

       (D)(8) In granting a certificate of need, the director shall26012
specify as the maximum capital expenditure the certificate holder26013
may obligate under the certificate a figure equal to one hundred26014
ten per cent of the approved project cost.26015

       (E)(9) In granting a certificate of need, the director may 26016
grant the certificate with conditions that must be met by the 26017
holder of the certificate.26018

       (D) The director shall monitor the activities of persons 26019
granted certificates of need concerning long-term care beds during 26020
the period beginning with the granting of the certificate of need 26021
and ending five years after implementation of the activity for 26022
which the certificate was granted.26023

       In the case of any other certificate of need, the director 26024
shall monitor the activities of persons granted certificates of 26025
need during the period beginning with the granting of the 26026
certificate of need and ending when the activity for which the 26027
certificate was granted ceases to be a reviewable activity in 26028
accordance with section 3702.511 of the Revised Code.26029

       (F)(E) When reviewing applications for certificates of need 26030
or monitoring activities of persons granted certificates of need, 26031
the director may issue and enforce, in the manner provided in 26032
section 119.09 of the Revised Code, subpoenas duces tecum to26033
compel the production of documents relevant to review of the26034
application or monitoring of the activities. In addition, the 26035
director or the director's designee, which may include a health 26036
service agency, may visit the sites where the activities are or 26037
will be conducted.26038

       (G)(F) The director may withdraw certificates of need.26039

       (H)(G) The director shall conduct, on a regular basis, health26040
system data collection and analysis activities and prepare26041
reports. The director shall make recommendations based upon these 26042
activities to the public health council concerning the adoption of 26043
appropriate rules under section 3702.57 of the Revised Code. All 26044
health care facilities and other health care providers shall 26045
submit to the director, upon request, any information that is 26046
necessary to conduct reviews of certificate of need applications 26047
and to develop recommendations for criteria for reviews, and that 26048
is prescribed by rules adopted under division (H) of section 26049
3702.57 of the Revised Code.26050

       (I)(H) Any decision to grant or deny a certificate of need26051
shall consider the special needs and circumstances resulting from26052
moral and ethical values and the free exercise of religious rights 26053
of health care facilities administered by religious organizations, 26054
and the special needs and circumstances of children's hospitals, 26055
inner city hospitals, and small rural hospitals.26056

       Sec. 3702.5211.  Notwithstanding any conflicting provision of26057
sections 3702.51 to 3702.683702.62 of the Revised Code, the 26058
veterans' home operated under Chapter 5907. of the Revised Code 26059
that is located in Sandusky, including the Secrest nursing home 26060
and Giffin care facility, is not required to obtain a certificate 26061
of need for the addition of up to fifty-two additional nursing 26062
home beds to be licensed under Chapter 3721. of the Revised Code 26063
if the additional beds are placed in service prior to June 30, 26064
1999.26065

       Sec. 3702.5212.  (A) This section applies to each long-term 26066
care facility that meets the following requirements:26067

       (1) The facility has been in continuous operation for not 26068
less than one hundred twenty years prior to the effective date of 26069
this section;26070

       (2) The facility is located in an inner city area;26071

       (3) The facility is operating as a nonprofit entity organized 26072
under Chapter 1702. of the Revised Code or the nonprofit law of 26073
another state.26074

       (B) Notwithstanding any conflicting provision of sections 26075
3702.51 to 3702.683702.62 of the Revised Code, the owner or 26076
operator of a long-term care facility described in division (A) of26077
this section is not required to obtain a certificate of need for 26078
the addition of up to thirty long-term care beds to be licensed 26079
under Chapter 3721. of the Revised Code. The exemption shall apply26080
only as long as the beds are owned and operated by the facility to 26081
which the exemption is granted.26082

       Sec. 3702.5213. Notwithstanding any conflicting provision of26083
sections 3702.51 to 3702.683702.62 of the Revised Code, the 26084
veterans' home operated under Chapter 5907. of the Revised Code 26085
that is located in Brown county is not required to obtain a 26086
certificate of need for the addition of up to one hundred 26087
sixty-eight additional nursing home beds to be licensed under 26088
Chapter 3721. of the Revised Code if the additional beds are 26089
placed in service prior to December 31, 2004.26090

       Sec. 3702.57.  (A) The public health council shall adopt26091
rules establishing procedures and criteria for reviews of26092
applications for certificates of need and issuance, denial, or26093
withdrawal of certificates.26094

       (1) The rules shall require that, in addition to any other 26095
applicable review requirements of sections 3702.51 to 3702.62 of 26096
the Revised Code and rules adopted thereunder, any application for 26097
a certificate of need from an osteopathic hospital be reviewed on 26098
the basis of the need for and the availability in the community of 26099
services and hospitals for osteopathic physicians and their 26100
patients, and in terms of its impact on existing and proposed 26101
institutional training programs for doctors of osteopathy and 26102
doctors of medicine at the student, internship, and residency 26103
training levels.26104

       (2) In adopting rules that establish criteria for reviews of 26105
applications of certificates of need, the council shall consider 26106
the availability of and need for long-term care beds to provide 26107
care and treatment to persons diagnosed as having traumatic brain 26108
injuries and shall prescribe criteria for reviewing applications 26109
that propose to add long-term care beds to provide care and 26110
treatment to persons diagnosed as having traumatic brain injuries.26111

       (3) The criteria for reviews of applications for certificates 26112
of need shall relate to the need for the reviewable activity and 26113
shall pertain to all of the following matters:26114

       (a) The impact of the reviewable activity on the cost and26115
quality of health services in the relevant geographic area,26116
including, but not limited, to the historical and projected26117
utilization of the services to which the application pertains and26118
the effect of the reviewable activity on utilization of other26119
providers of similar services;26120

       (b) The quality of the services to be provided as the result 26121
of the activity, as evidenced by the historical performance of the 26122
persons that will be involved in providing the services and by the 26123
provisions that are proposed in the application to ensure quality, 26124
including but not limited to adequate available personnel, 26125
available ancillary and support services, available equipment, 26126
size and configuration of physical plant, and relations with other 26127
providers;26128

       (c) The impact of the reviewable activity on the availability 26129
and accessibility of the type of services proposed in the 26130
application to the population of the relevant geographic area, and 26131
the level of access to the services proposed in the application 26132
that will be provided to medically underserved individuals such as 26133
recipients of public assistance and individuals who have no health 26134
insurance or whose health insurance is insufficient;26135

       (d) The activity's short- and long-term financial feasibility 26136
and cost-effectiveness, the impact of the activity on the26137
applicant's costs and charges, and a comparison of the applicant's 26138
costs and charges with those of providers of similar services in 26139
the applicant's proposed service area;26140

       (e) The advantages, disadvantages, and costs of alternatives 26141
to the reviewable activity;26142

       (f) The impact of the activity on all other providers of 26143
similar services in the health service area or other relevant 26144
geographic area, including the impact on their utilization, market 26145
share, and financial status;26146

       (g) The historical performance of the applicant and related 26147
or affiliated parties in complying with previously granted 26148
certificates of need and any applicable certification,26149
accreditation, or licensure requirements;26150

       (h) The relationship of the activity to the current edition 26151
of the state health resources plan issued under section 3702.521 26152
of the Revised Code;26153

       (i) The historical performance of the applicant and related 26154
or affiliated parties in providing cost-effective health care 26155
services;26156

       (j) The special needs and circumstances of the applicant or 26157
population proposed to be served by the proposed project, 26158
including research activities, prevalence of particular diseases, 26159
unusual demographic characteristics, cost-effective contractual 26160
affiliations, and other special circumstances;26161

       (k) The appropriateness of the zoning status of the proposed 26162
site of the activity;26163

       (l) The participation by the applicant in research conducted 26164
by the United States food and drug administration or clinical 26165
trials sponsored by the national institutes of health.26166

       (4) The criteria for reviews of applications may include 26167
formulas for determining need for beds and services.26168

       (a) The criteria prescribing formulas shall not, either by26169
themselves or in conjunction with any established occupancy26170
guidelines, require, as a condition of being granted a certificate 26171
of need, that a hospital reduce its complement of registered beds 26172
or discontinue any service that is not related to the service or 26173
project for which the certificate of need is sought.26174

       (b) With respect to applications to conduct reviewable26175
activities that are affected directly by the inpatient occupancy26176
of a health care facility, including addition, relocation, or26177
recategorization of beds or renovation or other construction26178
activities relating to inpatient services, the rules shall26179
prescribe criteria for determining whether the scope of the26180
proposed project is appropriate in light of the historical and26181
reasonably projected occupancy rates for the beds related to the26182
project.26183

       (c) Any rules prescribing criteria that establish ratios of 26184
beds, services, or equipment to population shall specify the bases 26185
for establishing the ratios or mitigating factors or exceptions to26186
the ratios.26187

       (B) The council shall adopt rules specifying all of the26188
following:26189

       (1) Information that must be provided in applications for26190
certificates of need, which shall include a plan for obligating 26191
the capital expenditure or implementing the proposed project on a 26192
timely basis in accordance with section 3702.525 of the Revised 26193
Code;26194

       (2) Procedures for reviewing applications for completeness of 26195
information;26196

       (3) Criteria for determining that the application is 26197
complete.26198

       (C) The council shall adopt rules specifying requirements26199
that holders of certificates of need must meet in order for the26200
certificates to remain valid and establishing definitions and26201
requirements for obligation of capital expenditures and26202
implementation of projects authorized by certificates of need.26203

       (D) The council shall adopt rules establishing criteria and 26204
procedures under which the director of health may withdraw a26205
certificate of need if the holder fails to meet requirements for26206
continued validity of the certificate.26207

       (E) The council shall adopt rules establishing procedures26208
under which the department of health shall monitor project 26209
implementation activities of holders of certificates of need. The 26210
rules adopted under this division also may establish procedures 26211
for monitoring implementation activities of persons that have 26212
received nonreviewability rulings.26213

       (F) The council shall adopt rules establishing procedures26214
under which the director of health shall review certificates of26215
need whose holders exceed or appear likely to exceed an 26216
expenditure maximum specified in a certificate.26217

       (G) The council shall adopt rules establishing certificate of 26218
need application fees sufficient to pay the costs incurred by the 26219
department for administering sections 3702.51 to 3702.62 of the 26220
Revised Code and to pay health service agencies for the functions 26221
they perform under division (D)(5) of section 3702.58 of the 26222
Revised Code. Unless rules are adopted under this division 26223
establishing different application fees, the application fee for a 26224
project not involving a capital expenditure shall be three 26225
thousand dollars and the application fee for a project involving a 26226
capital expenditure shall be nine-tenths of one per cent of the 26227
capital expenditure proposed subject to a minimum of three 26228
thousand dollars and a maximum of twenty thousand dollars.26229

       (H) The council shall adopt rules specifying information that 26230
is necessary to conduct reviews of certificate of need26231
applications and to develop recommendations for criteria for26232
reviews that health care facilities and other health care26233
providers are to submit to the director under division (H)(G) of 26234
section 3702.52 of the Revised Code.26235

       (I) The council shall adopt rules defining "affiliated 26236
person,""related person," and "ultimate controlling interest" for 26237
purposes of section 3702.524 of the Revised Code.26238

       (J) The council shall adopt rules prescribing requirements 26239
for holders of certificates of need to demonstrate to the director 26240
under section 3702.526 of the Revised Code that reasonable 26241
progress is being made toward completion of the reviewable26242
activity and establishing standards by which the director shall 26243
determine whether reasonable progress is being made.26244

       (K) The council shall adopt rules defining high-risk cardiac26245
catheterization patients. High-risk patients shall include 26246
patients with significant ischemic syndromes or unstable 26247
myocardial infarction, patients who need intervention such as 26248
angioplasty or bypass surgery, patients who may require difficult 26249
or complex catheterization procedures such as transeptal 26250
assessment of valvular dysfunction, patients with critical aortic 26251
stenosis or congestive heart failure, and other patients specified 26252
by the council.26253

       (L) The public health council shall adopt all rules under26254
divisions (A) to (K) of this section in accordance with Chapter 26255
119. of the Revised Code. The council may adopt other rules as 26256
necessary to carry out the purposes of sections 3702.51 to 3702.62 26257
of the Revised Code.26258

       Sec. 3702.68.        Sec. 3702.59.  (A) Notwithstanding any conflicting 26259
provision of sections 3702.51 to 3702.62 of the Revised Code, 26260
other than the provisions of sections 3702.5210, 3702.5211, 26261
3702.5212, and 3702.5213 of the Revised Code, both of the 26262
following apply under the certificate of need program:26263

        (1) Divisions (B) to (E) of this section appliesapply to the 26264
review of certificate of need applications during the period 26265
beginning July 1, 1993, and ending June 30, 20072009.26266

       As used in this section, "existing health care facility" has 26267
the same meaning as in section 3702.51 of the Revised Code(2) 26268
Beginning July 1, 2009, the director of health shall not accept 26269
for review under section 3702.52 of the Revised Code any 26270
application for a certificate of need to recategorize hospital 26271
beds as described in section 3702.522 of the Revised Code.26272

       (B)(1) Except as provided in division (B)(2) of this section, 26273
the director of health shall neither grant nor deny any26274
application for a certificate of need submitted prior to July 1,26275
1993, if the application was for any of the following and the26276
director had not issued a written decision concerning the26277
application prior to that date:26278

       (a) Approval of beds in a new health care facility or an26279
increase of beds in an existing health care facility, if the beds26280
are proposed to be licensed as nursing home beds under Chapter26281
3721. of the Revised Code;26282

       (b) Approval of beds in a new county home or new county26283
nursing home as defined in section 5155.31 of the Revised Code, or26284
an increase of beds in an existing county home or existing county26285
nursing home, if the beds are proposed to be certified as skilled26286
nursing facility beds under Title XVIII or nursing facility beds26287
under Title XIX of the "Social Security Act," 49 Stat. 620 (1935),26288
42 U.S.C.A. 301, as amended;26289

       (c) Recategorization of hospital beds as described in section 26290
3702.522 of the Revised Code, an increase of hospital beds26291
registered pursuant to section 3701.07 of the Revised Code as26292
long-term care beds or skilled nursing facility beds, or a26293
recategorization of hospital beds that would result in an increase26294
of beds registered pursuant to that section as long-term care beds26295
or skilled nursing facility beds.26296

       On July 1, 1993, the director shall return each such26297
application to the applicant and, notwithstanding section 3702.5226298
of the Revised Code regarding the uses of the certificate of need26299
fund, shall refund to the applicant the application fee paid under26300
that section. Applications returned under division (B)(1) of this26301
section may be resubmitted in accordance with section 3702.52 of26302
the Revised Code no sooner than July 1, 20072009.26303

       (2) The director shall continue to review and shall issue a26304
decision regarding any application submitted prior to July 1,26305
1993, to increase beds for either of the purposes described in26306
division (B)(1)(a) or (b) of this section if the proposed increase26307
in beds is attributable solely to a replacement or relocation of26308
existing beds within the same county. The director shall authorize 26309
under such an application no additional beds beyond those being 26310
replaced or relocated.26311

       (C)(1) Except as provided in division (C)(2) of this section, 26312
the director, during the period beginning July 1, 1993, and ending26313
June 30, 20072009, shall not accept for review under section26314
3702.52 of the Revised Code any application for a certificate of26315
need for any of the purposes described in divisions (B)(1)(a) to26316
(c) of this section.26317

       (2)(a) The director shall accept for review any application26318
for either of the purposes described in division (B)(1)(a) or (b)26319
of this section if the proposed increase in beds is attributable26320
solely to a replacement or relocation of existing beds from an 26321
existing health care facility within the same county. The director 26322
shall authorize under such an application no additional beds 26323
beyond those being replaced or relocated.26324

        The director shall not approve an application for a 26325
certificate of need for addition of long-term care beds to an 26326
existing health care facility by relocation of beds or for the 26327
development of a new health care facility by relocation of beds 26328
unless all of the following conditions are met:26329

        (i) The existing health care facility to which the beds are 26330
being relocated has no waivers for life safety code waivers26331
deficiencies, no state fire code violations, and no state building 26332
code violations, or the project identified in the application 26333
proposes to correct all life safety code deficiencies for which a 26334
waiver has been granted, all state fire code violations, and all 26335
state building code violations at the existing health care 26336
facility to which the beds are being relocated;26337

        (ii) During the sixty-month period preceding the filing of 26338
the application, no notice of proposed revocation of the 26339
facility's license was issued under section 3721.03 of the Revised 26340
Code to the operator of the existing facility to which the beds 26341
are being relocated or to any health care facility owned or 26342
operated by the applicant or any principal participant in the same 26343
corporation or other business;26344

       (iii) Neither the existing health care facility to which the 26345
beds are being relocated nor any health care facility owned or 26346
operated by the applicant or any principal participant in the same 26347
corporation or other business has had a long-standing pattern of 26348
violations of this chapter or deficiencies that caused one or more 26349
residents physical, emotional, mental, or psychosocial harm.26350

        (b) The director also shall accept for review any application 26351
for the conversion of infirmary beds to long-term care beds if the 26352
infirmary meets all of the following conditions:26353

       (i) Is operated exclusively by a religious order;26354

       (ii) Provides care exclusively to members of religious orders 26355
who take vows of celibacy and live by virtue of their vows within 26356
the orders as if related;26357

       (iii) Was providing care exclusively to members of such a 26358
religious order on January 1, 1994.26359

       (D) The director shall issue a decision regarding any case26360
remanded by a court as the result of a decision issued by the26361
director prior to July 1, 1993, to grant, deny, or withdraw a26362
certificate of need for any of the purposes described in divisions26363
(B)(1)(a) to (c) of this section.26364

       (E) The director shall not project the need for beds listed26365
in division (B)(1) of this section for the period beginning July26366
1, 1993, and ending June 30, 20072009.26367

       This section is an interim section effective until July 1, 26368
2007.26369

       Sec. 3702.63.        Sec. 3702.591.  As specified in former Section 11 of 26370
Am. Sub. S.B. 50 of the 121st general assembly, as amended by Am. 26371
Sub. H.B. 405 of the 124th general assembly, all of the following 26372
apply:26373

       (A) The removal of former divisions (E) and (F) of section 26374
3702.52 of the Revised Code by Sections 1 and 2 of Am. Sub. S.B. 26375
50 of the 121st general assembly does not release the holders of26376
certificates of need issued under those divisions from complying 26377
with any conditions on which the granting of the certificates of 26378
need was based, including the requirement of former division 26379
(E)(6) of that section that the holders not enter into provider 26380
agreements under Chapter 5111. of the Revised Code and Title XIX 26381
of the "Social Security Act," 49 Stat. 620 (1935), 42 U.S.C. 301, 26382
as amended, for at least ten years following initial licensure of26383
the long-term care facilities for which the certificates were 26384
granted.26385

       (B) The repeal of section 3702.55 of the Revised Code by 26386
Section 2 of Am. Sub. S.B. 50 of the 121st general assembly does26387
not release the holders of certificates of need issued under that26388
section from complying with any conditions on which the granting26389
of the certificates of need was based, other than the requirement26390
of division (A)(6) of that section that the holders not seek26391
certification under Title XVIII of the "Social Security Act" for 26392
beds recategorized under the certificates. That repeal also does 26393
not eliminate the requirement that the director of health revoke 26394
the licensure of the beds under Chapter 3721. of the Revised Code 26395
if a person to which their ownership is transferred fails, as 26396
required by division (A)(6) of the repealed section, to file26397
within ten days after the transfer a sworn statement not to seek 26398
certification under Title XIX of the "Social Security Act" for 26399
beds recategorized under the certificates of need.26400

       (C) The repeal of section 3702.56 of the Revised Code by 26401
Section 2 of Am. Sub. S.B. 50 of the 121st general assembly does26402
not release the holders of certificates of need issued under that26403
section from complying with any conditions on which the granting26404
of the certificates of need was based.26405

       Sec. 3704.03.  The director of environmental protection may26406
do any of the following:26407

       (A) Develop programs for the prevention, control, and26408
abatement of air pollution;26409

       (B) Advise, consult, contract, and cooperate with any26410
governmental or private agency in the furtherance of the purposes26411
of this chapter;26412

       (C) Encourage, participate in, or conduct studies,26413
investigations, and research relating to air pollution, collect26414
and disseminate information, and conduct education and training26415
programs relating to the causes, prevention, control, and26416
abatement of air pollution;26417

       (D) Adopt, modify, and rescind rules prescribing ambient air 26418
quality standards for the state as a whole or for various areas of 26419
the state that are consistent with and no more stringent than the 26420
national ambient air quality standards in effect under the federal 26421
Clean Air Act;26422

       (E) Adopt, modify, suspend, and rescind rules for the26423
prevention, control, and abatement of air pollution, including26424
rules prescribing for the state as a whole or for various areas of 26425
the state emission standards for air contaminants, and other26426
necessary rules for the purpose of achieving and maintaining26427
compliance with ambient air quality standards in all areas within26428
the state as expeditiously as practicable, but not later than any26429
deadlines applicable under the federal Clean Air Act; rules for26430
the prevention or control of the emission of hazardous or toxic26431
air contaminants; rules prescribing fugitive dust limitations and26432
standards that are related, on an areawide basis, to attainment26433
and maintenance of ambient air quality standards; rules26434
prescribing shade, density, or opacity limitations and standards26435
for emissions, provided that with regard to air contaminant26436
sources for which there are particulate matter emission standards26437
in addition to a shade, density, or opacity rule, upon26438
demonstration by such a source of compliance with those other26439
standards, the shade, density, or opacity rule shall provide for26440
establishment of a shade, density, or opacity limitation for that26441
source that does not require the source to reduce emissions below26442
the level specified by those other standards; rules for the26443
prevention or control of odors and air pollution nuisances; rules26444
that prevent significant deterioration of air quality to the26445
extent required by the federal Clean Air Act; rules for the26446
protection of visibility as required by the federal Clean Air Act; 26447
and rules prescribing open burning limitations and standards. In 26448
adopting, modifying, suspending, or rescinding any such rules, the 26449
director, to the extent consistent with the federal Clean Air Act, 26450
shall hear and give consideration to evidence relating to all of 26451
the following:26452

       (1) Conditions calculated to result from compliance with the 26453
rules, the overall cost within this state of compliance with the 26454
rules, and their relation to benefits to the people of the state 26455
to be derived from that compliance;26456

       (2) The quantity and characteristics of air contaminants, the 26457
frequency and duration of their presence in the ambient air, and 26458
the dispersion and dilution of those contaminants;26459

       (3) Topography, prevailing wind directions and velocities,26460
physical conditions, and other factors that may or may combine to26461
affect air pollution.26462

       Consistent with division (K) of section 3704.036 of the26463
Revised Code, the director shall consider alternative emission26464
limits proposed by the owner or operator of an air contaminant26465
source that is subject to an emission limit established in rules26466
adopted under this division and shall accept those alternative26467
emission limits that the director determines to be equivalent to26468
emission limits established in rules adopted under this division.26469

       (F)(1) Adopt, modify, suspend, and rescind rules consistent26470
with the purposes of this chapter prohibiting the location,26471
installation, construction, or modification of any air contaminant 26472
source or any machine, equipment, device, apparatus, or physical 26473
facility intended primarily to prevent or control the emission of 26474
air contaminants unless an installation permit therefor has been 26475
obtained from the director or the director's authorized 26476
representative.26477

       (2) Applications for installation permits shall be26478
accompanied by plans, specifications, construction schedules, and26479
such other pertinent information and data, including data on26480
ambient air quality impact and a demonstration of best available26481
technology, as the director may require. Installation permits26482
shall be issued for a period specified by the director and are26483
transferable. The director shall specify in each permit the26484
applicable emission standards and that the permit is conditioned26485
upon payment of the applicable fees as required by section 3745.11 26486
of the Revised Code and upon the right of the director's 26487
authorized representatives to enter upon the premises of the26488
person to whom the permit has been issued, at any reasonable time 26489
and subject to safety requirements of the person in control of the 26490
premises, for the purpose of determining compliance with such 26491
standards, this chapter, the rules adopted thereunder, and the 26492
conditions of any permit, variance, or order issued thereunder. 26493
Each proposed new or modified air contaminant source shall provide 26494
such notice of its proposed installation or modification to other 26495
states as is required under the federal Clean Air Act. 26496
Installation permits shall include the authorization to operate 26497
sources installed and operated in accordance with terms and 26498
conditions of the installation permits for a period not to exceed 26499
one year from commencement of operation, which authorization shall 26500
constitute an operating permit under division (G) of this section 26501
and rules adopted under it.26502

       No installation permit shall be required for activities that 26503
are subject to and in compliance with a plant-wide applicability 26504
limit issued by the director in accordance with rules adopted 26505
under this section.26506

       No installation permit shall be issued except in accordance26507
with all requirements of this chapter and rules adopted26508
thereunder. No application shall be denied or permit revoked or26509
modified without a written order stating the findings upon which26510
denial, revocation, or modification is based. A copy of the order 26511
shall be sent to the applicant or permit holder by certified mail.26512

       (3) Not later than two years after the effective date of this 26513
amendmentAugust 3, 2006, the director shall adopt a rule in 26514
accordance with Chapter 119. of the Revised Code specifying that a 26515
permit to install is required only for new or modified air 26516
contaminant sources that emit any of the following air 26517
contaminants:26518

       (a) An air contaminant or precursor of an air contaminant for 26519
which a national ambient air quality standard has been adopted 26520
under the federal Clean Air Act;26521

       (b) An air contaminant for which the air contaminant source 26522
is regulated under the federal Clean Air Act;26523

       (c) An air contaminant that presents, or may present, through 26524
inhalation or other routes of exposure, a threat of adverse human 26525
health effects, including, but not limited to, substances that are 26526
known to be, or may reasonably be anticipated to be, carcinogenic, 26527
mutagenic, teratogenic, or neurotoxic, that cause reproductive 26528
dysfunction, or that are acutely or chronically toxic, or a threat 26529
of adverse environmental effects whether through ambient 26530
concentrations, bioaccumulation, deposition, or otherwise, and 26531
that is identified in the rule by chemical name and chemical 26532
abstract service number.26533

       The director may modify the rule adopted under division 26534
(F)(3)(c) of this section for the purpose of adding or deleting 26535
air contaminants. For each air contaminant that is contained in or 26536
deleted from the rule adopted under division (F)(3)(c) of this 26537
section, the director shall include in a notice accompanying any 26538
proposed or final rule an explanation of the director's 26539
determination that the air contaminant meets the criteria 26540
established in that division and should be added to, or no longer 26541
meets the criteria and should be deleted from, the list of air 26542
contaminants. The explanation shall include an identification of 26543
the scientific evidence on which the director relied in making the 26544
determination. Until adoption of the rule under division (F)(3)(c) 26545
of this section, nothing shall affect the director's authority to 26546
issue, deny, modify, or revoke permits to install under this 26547
chapter and rules adopted under it.26548

       (4)(a) Applications for permits to install new or modified 26549
air contaminant sources shall contain sufficient information 26550
regarding air contaminants for which the director may require a 26551
permit to install to determine conformity with the environmental 26552
protection agency's document entitled "Review of New Sources of 26553
Air Toxics Emissions, Option A," dated May 1986, which the 26554
director shall use to evaluate toxic emissions from new or 26555
modified air contaminant sources. The director shall make copies 26556
of the document available to the public upon request at no cost 26557
and post the document on the environmental protection agency's web 26558
site. Any inconsistency between the document and division (F)(4) 26559
of this section shall be resolved in favor of division (F)(4) of 26560
this section.26561

       (b) The maximum acceptable ground level concentration of an 26562
air contaminant shall be calculated in accordance with the 26563
document entitled "Review of New Sources of Air Toxics Emissions, 26564
Option A." Modeling shall be conducted to determine the increase 26565
in the ground level concentration of an air contaminant beyond the 26566
facility's boundary caused by the emissions from a new or modified 26567
source that is the subject of an application for a permit to 26568
install. Modeling shall be based on the maximum hourly rate of 26569
emissions from the source using information including, but not 26570
limited to, any emission control devices or methods, operational 26571
restrictions, stack parameters, and emission dispersion devices or 26572
methods that may affect ground level concentrations, either 26573
individually or in combination. The director shall determine 26574
whether the activities for which a permit to install is sought 26575
will cause an increase in the ground level concentration of one or 26576
more relevant air contaminants beyond the facility's boundary by 26577
an amount in excess of the maximum acceptable ground level 26578
concentration. In making the determination as to whether the 26579
maximum acceptable ground level concentration will be exceeded, 26580
the director shall give consideration to the modeling conducted 26581
under division (F)(4)(b) of this section and other relevant 26582
information submitted by the applicant.26583

       (c) If the modeling conducted under division (F)(4)(b) of 26584
this section with respect to an application for a permit to 26585
install demonstrates that the maximum ground level concentration 26586
from a new or modified source will be greater than or equal to 26587
eighty per cent, but less than one hundred per cent of the maximum 26588
acceptable ground level concentration for an air contaminant, the 26589
director may establish terms and conditions in the permit to 26590
install for the air contaminant source that will require the owner 26591
or operator of the air contaminant source to maintain emissions of 26592
that air contaminant commensurate with the modeled level, which 26593
shall be expressed as allowable emissions per day. In order to 26594
calculate the allowable emissions per day, the director shall 26595
multiply the hourly emission rate modeled under division (F)(4)(b) 26596
of this section to determine the ground level concentration by the 26597
operating schedule that has been identified in the permit to 26598
install application. Terms and conditions imposed under division 26599
(F)(4)(c) of this section are not federally enforceable 26600
requirements and, if included in a Title V permit, shall be placed 26601
in the portion of the permit that is only enforceable by the 26602
state.26603

       (d) If the modeling conducted under division (F)(4)(b) of 26604
this section with respect to an application for a permit to 26605
install demonstrates that the maximum ground level concentration 26606
from a new or modified source will be less than eighty per cent of 26607
the maximum acceptable ground level concentration, the owner or 26608
operator of the source annually shall report to the director, on a 26609
form prescribed by the director, whether operations of the source 26610
are consistent with the information regarding the operations that 26611
was used to conduct the modeling with regard to the permit to 26612
install application. The annual report to the director shall be in 26613
lieu of an emission limit or other permit terms and conditions 26614
imposed pursuant to division (F)(4) of this section. The director 26615
may consider any significant departure from the operations of the 26616
source described in the permit to install application that results 26617
in greater emissions than the emissions rate modeled to determine 26618
the ground level concentration as a modification and require the 26619
owner or operator to submit a permit to install application for 26620
the increased emissions. The requirements established in division 26621
(F)(4)(d) of this section are not federally enforceable 26622
requirements and, if included in a Title V permit, shall be placed 26623
in the portion of the permit that is only enforceable by the 26624
state.26625

       (e) Division (F)(4) of this section and the document entitled 26626
"Review of New Sources of Air Toxics Emissions, Option A" shall 26627
not be included in the state implementation plan under section 110 26628
of the federal Clean Air Act and do not apply to an air 26629
contaminant source that is subject to a maximum achievable control 26630
technology standard or residual risk standard under section 112 of 26631
the federal Clean Air Act, to a particular air contaminant 26632
identified under 40 C.F.R. 51.166, division (b)(23), for which the 26633
director has determined that the owner or operator of the source 26634
is required to install best available control technology for that 26635
particular air contaminant, or to a particular air contaminant for 26636
which the director has determined that the source is required to 26637
meet the lowest achievable emission rate, as defined in 40 C.F.R. 26638
part 51, Appendix S, for that particular air contaminant.26639

       (f)(i) Division (F)(4) of this section and the document 26640
entitled "Review of New Sources of Air Toxics Emissions, Option A" 26641
do not apply to parking lots, storage piles, storage tanks, 26642
transfer operations, grain silos, grain dryers, emergency 26643
generators, gasoline dispensing operations, air contaminant 26644
sources that emit air contaminants solely from the combustion of 26645
fossil fuels, or the emission of wood dust, sand, glass dust, coal 26646
dust, silica, and grain dust.26647

       (ii) Notwithstanding division (F)(4)(f)(i) of this section, 26648
the director may require an individual air contaminant source that 26649
is within one of the source categories identified in division 26650
(F)(4)(f)(i) of this section to submit information in an 26651
application for a permit to install a new or modified source in 26652
order to determine the source's conformity to the document if the 26653
director has information to conclude that the particular new or 26654
modified source will potentially cause an increase in ground level 26655
concentration beyond the facility's boundary that exceeds the 26656
maximum acceptable ground level concentration as set forth in the 26657
document.26658

       (iii) The director may adopt rules in accordance with Chapter 26659
119. of the Revised Code that are consistent with the purposes of 26660
this chapter and that add to or delete from the source category 26661
exemptions established in division (F)(4)(f)(i) of this section.26662

       (5) Not later than one year after the effective date of this 26663
amendmentAugust 3, 2006, the director shall adopt rules in 26664
accordance with Chapter 119. of the Revised Code specifying 26665
activities that do not, by themselves, constitute beginning actual 26666
construction activities related to the installation or 26667
modification of an air contaminant source for which a permit to 26668
install is required such as the grading and clearing of land, 26669
on-site storage of portable parts and equipment, and the 26670
construction of foundations or buildings that do not themselves 26671
emit air contaminants. The rules also shall allow specified 26672
initial activities that are part of the installation or 26673
modification of an air contaminant source, such as the 26674
installation of electrical and other utilities for the source, 26675
prior to issuance of a permit to install, provided that the owner 26676
or operator of the source has filed a complete application for a 26677
permit to install, the director or the director's designee has 26678
determined that the application is complete, and the owner or 26679
operator of the source has notified the director that this 26680
activity will be undertaken prior to the issuance of a permit to 26681
install. Any activity that is undertaken by the source under those 26682
rules shall be at the risk of the owner or operator. The rules 26683
shall not apply to activities that are precluded prior to permit 26684
issuance under section 111, section 112, Part C of Title I, and 26685
Part D of Title I of the federal Clean Air Act.26686

       (G) Adopt, modify, suspend, and rescind rules prohibiting the 26687
operation or other use of any new, modified, or existing air26688
contaminant source unless an operating permit has been obtained26689
from the director or the director's authorized representative, or 26690
the air contaminant source is being operated in compliance with 26691
the conditions of a variance issued pursuant to division (H) of 26692
this section. Applications for operating permits shall be 26693
accompanied by such plans, specifications, and other pertinent 26694
information as the director may require. Operating permits may be 26695
issued for a period determined by the director not to exceed five26696
ten years, are renewable, and are transferable. The director shall 26697
specify in each operating permit that the permit is conditioned 26698
upon payment of the applicable fees as required by section 3745.11 26699
of the Revised Code and upon the right of the director's 26700
authorized representatives to enter upon the premises of the 26701
person to whom the permit has been issued, at any reasonable time 26702
and subject to safety requirements of the person in control of the 26703
premises, for the purpose of determining compliance with this 26704
chapter, the rules adopted thereunder, and the conditions of any 26705
permit, variance, or order issued thereunder. Operating permits 26706
may be denied or revoked for failure to comply with this chapter 26707
or the rules adopted thereunder. An operating permit shall be 26708
issued only upon a showing satisfactory to the director or the26709
director's representative that the air contaminant source is being26710
operated in compliance with applicable emission standards and 26711
other rules or upon submission of a schedule of compliance 26712
satisfactory to the director for a source that is not in 26713
compliance with all applicable requirements at the time of permit 26714
issuance, provided that the compliance schedule shall be 26715
consistent with and at least as stringent as that contained in any 26716
judicial consent decree or administrative order to which the air 26717
contaminant source is subject. The rules shall provide for the 26718
issuance of conditional operating permits for such reasonable 26719
periods as the director may determine to allow the holder of an 26720
installation permit, who has constructed, installed, located, or 26721
modified a new air contaminant source in accordance with the 26722
provisions of an installation permit, to make adjustments or 26723
modifications necessary to enable the new air contaminant source 26724
to comply with applicable emission standards and other rules. 26725
Terms and conditions of operating permits issued pursuant to this 26726
division shall be federally enforceable for the purpose of 26727
establishing the potential to emit of a stationary source and 26728
shall be expressly designated as federally enforceable. Any such26729
federally enforceable restrictions on a source's potential to emit 26730
shall include both an annual limit and a short-term limit of not 26731
more than thirty days for each pollutant to be restricted together 26732
with adequate methods for establishing compliance with the 26733
restrictions. In other respects, operating permits issued pursuant 26734
to this division are enforceable as state law only. No application 26735
shall be denied or permit revoked or modified without a written 26736
order stating the findings upon which denial, revocation, or 26737
modification is based. A copy of the order shall be sent to the 26738
applicant or permit holder by certified mail.26739

       (H) Adopt, modify, and rescind rules governing the issuance, 26740
revocation, modification, or denial of variances that authorize 26741
emissions in excess of the applicable emission standards.26742

       No variance shall be issued except pursuant to those rules.26743
The rules shall prescribe conditions and criteria in furtherance26744
of the purposes of this chapter and consistent with the federal26745
Clean Air Act governing eligibility for issuance of variances,26746
which shall include all of the following:26747

       (1) Provisions requiring consistency of emissions authorized 26748
by a variance with timely attainment and maintenance of ambient 26749
air quality standards;26750

       (2) Provisions prescribing the classes and categories of air 26751
contaminants and air contaminant sources for which variances may 26752
be issued;26753

       (3) Provisions defining the circumstances under which an26754
applicant shall demonstrate that compliance with applicable26755
emission standards is technically infeasible, economically26756
unreasonable, or impossible because of conditions beyond the26757
control of the applicant;26758

       (4) Other provisions prescribed in furtherance of the goals 26759
of this chapter.26760

       The rules shall prohibit the issuance of variances from any26761
emission limitation that was applicable to a source pursuant to an 26762
installation permit and shall prohibit issuance of variances that 26763
conflict with the federal Clean Air Act.26764

       Applications for variances shall be accompanied by such26765
information as the director may require. In issuing variances, the 26766
director may order the person to whom a variance is issued to26767
furnish plans and specifications and such other information and26768
data, including interim reports, as the director may require and26769
to proceed to take such action within such time as the director26770
may determine to be appropriate and reasonable to prevent,26771
control, or abate the person's existing emissions of air26772
contaminants. The director shall specify in each variance that the 26773
variance is conditioned upon payment of the applicable fees as 26774
required by section 3745.11 of the Revised Code and upon the right 26775
of the director's authorized representatives to enter upon the 26776
premises of the person to whom the variance has been issued, at 26777
any reasonable time and subject to safety requirements of the 26778
person in control of the premises, for the purpose of determining 26779
compliance with this chapter, the rules adopted thereunder, and 26780
the conditions of any permit, variance, or order issued 26781
thereunder.26782

       The director may hold a public hearing on an application for 26783
a variance or renewal thereof at a location in the county where 26784
the variance is sought. The director shall give not less than 26785
twenty days' notice of the hearing to the applicant by certified 26786
mail and cause at least one publication of notice in a newspaper 26787
with general circulation in the county where the variance is 26788
sought. The director shall keep available for public inspection at 26789
the principal office of the environmental protection agency a 26790
current schedule of pending applications for variances and a 26791
current schedule of pending variance hearings. The director shall 26792
make a complete stenographic record of testimony and other 26793
evidence submitted at the hearing. The director shall make a 26794
written determination to issue, renew, or deny the variance and 26795
shall enter the determination and the basis therefor into the 26796
record of the hearing. The director shall issue, renew, or deny an 26797
application for a variance or renewal thereof, or issue a proposed 26798
action upon the application pursuant to section 3745.07 of the 26799
Revised Code, within six months of the date upon which the 26800
director receives a complete application with all pertinent 26801
information and data required by the director.26802

       Any variance granted pursuant to rules adopted under this26803
division shall be for a period specified by the director, not to26804
exceed three years, and may be renewed from time to time on such26805
terms and for such periods, not to exceed three years each, as the 26806
director determines to be appropriate. A variance may be revoked, 26807
or renewal denied, for failure to comply with conditions specified 26808
in the variance. No variance shall be issued, denied, revoked, or 26809
modified without a written order stating the findings upon which 26810
the issuance, denial, revocation, or modification is based. A copy 26811
of the order shall be sent to the applicant or variance holder by 26812
certified mail.26813

       (I) Require the owner or operator of an air contaminant26814
source to install, employ, maintain, and operate such emissions,26815
ambient air quality, meteorological, or other monitoring devices26816
or methods as the director shall prescribe; to sample those26817
emissions at such locations, at such intervals, and in such manner 26818
as the director prescribes; to maintain records and file periodic 26819
reports with the director containing information as to location, 26820
size, and height of emission outlets, rate, duration, and 26821
composition of emissions, and any other pertinent information the 26822
director prescribes; and to provide such written notice to other 26823
states as the director shall prescribe. In requiring monitoring 26824
devices, records, and reports, the director, to the extent 26825
consistent with the federal Clean Air Act, shall give26826
consideration to technical feasibility and economic reasonableness 26827
and allow reasonable time for compliance. For sources where a 26828
specific monitoring, record-keeping, or reporting requirement is 26829
specified for a particular air contaminant from a particular air 26830
contaminant source in an applicable regulation adopted by the 26831
United States environmental protection agency under the federal 26832
Clean Air Act or in an applicable rule adopted by the director, 26833
the director shall not impose an additional requirement in a 26834
permit that is a different monitoring, record-keeping, or 26835
reporting requirement other than the requirement specified in the 26836
applicable regulation or rule for that air contaminant except as 26837
otherwise agreed to by the owner or operator of the air 26838
contaminant source and the director. If two or more regulations or 26839
rules impose different monitoring, record-keeping, or reporting 26840
requirements for the same air contaminant from the same air 26841
contaminant source, the director may impose permit terms and 26842
conditions that consolidate or streamline the monitoring, 26843
record-keeping, or reporting requirements in a manner that 26844
conforms with each applicable requirement. To the extent 26845
consistent with the federal Clean Air Act and except as otherwise 26846
agreed to by the owner or operator of an air contaminant source 26847
and the director, the director shall not require an operating 26848
restriction that has the practical effect of increasing the 26849
stringency of an existing applicable emission limitation or 26850
standard.26851

       (J) Establish, operate, and maintain monitoring stations and 26852
other devices designed to measure air pollution and enter into 26853
contracts with any public or private agency for the establishment, 26854
operation, or maintenance of such stations and devices;26855

       (K) By rule adopt procedures for giving reasonable public26856
notice and conducting public hearings on any plans for the26857
prevention, control, and abatement of air pollution that the26858
director is required to submit to the federal government;26859

       (L) Through any employee, agent, or authorized representative 26860
of the director or the environmental protection agency, enter upon 26861
private or public property, including improvements thereon, at any 26862
reasonable time, to make inspections, take samples, conduct tests, 26863
and examine records or reports pertaining to any emission of air 26864
contaminants and any monitoring equipment or methods and to 26865
determine if there are any actual or potential emissions from such 26866
premises and, if so, to determine the sources, amounts, contents, 26867
and extent of those emissions, or to ascertain whether there is 26868
compliance with this chapter, any orders issued or rules adopted 26869
thereunder, or any other determination of the director. The 26870
director, at reasonable times, may have access to and copy any 26871
such records. If entry or inspection authorized by this division 26872
is refused, hindered, or thwarted, the director or the director's 26873
authorized representative may by affidavit apply for, and any 26874
judge of a court of record may issue, an appropriate inspection 26875
warrant necessary to achieve the purposes of this chapter within 26876
the court's territorial jurisdiction.26877

       (M) Accept and administer gifts or grants from the federal26878
government and from any other source, public or private, for26879
carrying out any of the functions under this chapter;26880

       (N) Obtain necessary scientific, technical, and laboratory26881
services;26882

       (O) Establish advisory boards in accordance with section26883
121.13 of the Revised Code;26884

       (P) Delegate to any city or general health district or26885
political subdivision of the state any of the director's 26886
enforcement and monitoring powers and duties, other than 26887
rule-making powers, as the director elects to delegate, and in 26888
addition employ, compensate, and prescribe the powers and duties 26889
of such officers, employees, and consultants as are necessary to 26890
enable the director to exercise the authority and perform duties26891
imposed upon the director by law. Technical and other services 26892
shall be performed, insofar as practical, by personnel of the26893
environmental protection agency.26894

       (Q) Certify to the government of the United States or any26895
agency thereof that an industrial air pollution facility is in26896
conformity with the state program or requirements for control of26897
air pollution whenever such certificate is required for a taxpayer 26898
pursuant to any federal law or requirements;26899

       (R) Issue, modify, or revoke orders requiring abatement of or 26900
prohibiting emissions that violate applicable emission standards 26901
or other requirements of this chapter and rules adopted26902
thereunder, or requiring emission control devices or measures in26903
order to comply with applicable emission standards or other26904
requirements of this chapter and rules adopted thereunder. Any26905
such order shall require compliance with applicable emission26906
standards by a specified date and shall not conflict with any26907
requirement of the federal Clean Air Act. In the making of such26908
orders, the director, to the extent consistent with the federal26909
Clean Air Act, shall give consideration to, and base the26910
determination on, evidence relating to the technical feasibility26911
and economic reasonableness of compliance with such orders and26912
their relation to benefits to the people of the state to be26913
derived from such compliance. If, under the federal Clean Air Act, 26914
any such order shall provide for the posting of a bond or surety 26915
to secure compliance with the order as a condition of issuance of 26916
the order, the order shall so provide, but only to the extent 26917
required by the federal Clean Air Act.26918

       (S) To the extent provided by the federal Clean Air Act,26919
adopt, modify, and rescind rules providing for the administrative26920
assessment and collection of monetary penalties, not in excess of26921
those required pursuant to the federal Clean Air Act, for failure26922
to comply with any emission limitation or standard, compliance26923
schedule, or other requirement of any rule, order, permit, or26924
variance issued or adopted under this chapter or required under26925
the applicable implementation plan whether or not the source is26926
subject to a federal or state consent decree. The director may26927
require the submission of compliance schedules, calculations of26928
penalties for noncompliance, and related information. Any orders, 26929
payments, sanctions, or other requirements imposed pursuant to 26930
rules adopted under this division shall be in addition to any 26931
other permits, orders, payments, sanctions, or other requirements 26932
established under this chapter and shall not affect any civil or 26933
criminal enforcement proceedings brought under any provision of 26934
this chapter or any other provision of state or local law. This 26935
division does not apply to any requirement of this chapter 26936
regarding the prevention or abatement of odors.26937

       (T) Require new or modified air contaminant sources to 26938
install best available technology, but only in accordance with 26939
this division. With respect to permits issued pursuant to division 26940
(F) of this section beginning three years after the effective date 26941
of this amendmentAugust 3, 2006, best available technology for 26942
air contaminant sources and air contaminants emitted by those 26943
sources that are subject to standards adopted under section 112, 26944
Part C of Title I, and Part D of Title I of the federal Clean Air 26945
Act shall be equivalent to and no more stringent than those 26946
standards. For an air contaminant or precursor of an air 26947
contaminant for which a national ambient air quality standard has 26948
been adopted under the federal Clean Air Act, best available 26949
technology only shall be required to the extent required by rules 26950
adopted under Chapter 119. of the Revised Code for permit to 26951
install applications filed three or more years after the effective 26952
date of this amendmentAugust 3, 2006.26953

       Best available technology requirements established in rules 26954
adopted under this division shall be expressed only in one of the 26955
following ways that is most appropriate for the applicable source 26956
or source categories:26957

       (1) Work practices;26958

       (2) Source design characteristics or design efficiency of 26959
applicable air contaminant control devices;26960

       (3) Raw material specifications or throughput limitations 26961
averaged over a twelve-month rolling period;26962

       (4) Monthly allowable emissions averaged over a twelve-month 26963
rolling period.26964

       Best available technology requirements shall not apply to an 26965
air contaminant source that has the potential to emit, taking into 26966
account air pollution controls installed on the source, less than 26967
ten tons per year of emissions of an air contaminant or precursor 26968
of an air contaminant for which a national ambient air quality 26969
standard has been adopted under the federal Clean Air Act. In 26970
addition, best available technology requirements established in 26971
rules adopted under this division shall not apply to any existing, 26972
new, or modified air contaminant source that is subject to a 26973
plant-wide applicability limit that has been approved by the 26974
director. Further, best available technology requirements 26975
established in rules adopted under this division shall not apply 26976
to general permits issued prior to January 1, 2006, under rules 26977
adopted under this chapter.26978

       For permits to install issued three or more years after the 26979
effective date of this amendmentAugust 3, 2006, any new or 26980
modified air contaminant source that has the potential to emit, 26981
taking into account air pollution controls installed on the 26982
source, ten or more tons per year of volatile organic compounds or 26983
nitrogen oxides shall meet, at a minimum, the requirements of any 26984
applicable reasonably available control technology rule in effect 26985
as of January 1, 2006, regardless of the location of the source.26986

       (U) Consistent with section 507 of the federal Clean Air Act, 26987
adopt, modify, suspend, and rescind rules for the establishment of 26988
a small business stationary source technical and environmental 26989
compliance assistance program as provided in section 3704.18 of 26990
the Revised Code;26991

       (V) Provide for emissions trading, marketable permits,26992
auctions of emission rights, and economic incentives that would26993
reduce the cost or increase the efficiency of achieving a26994
specified level of environmental protection;26995

       (W) Provide for the construction of an air contaminant source 26996
prior to obtaining a permit to install pursuant to division (F) of 26997
this section if the applicant demonstrates that the source will be 26998
installed to comply with all applicable emission limits and will 26999
not adversely affect public health or safety or the environment 27000
and if the director determines that such an action will avoid an 27001
unreasonable hardship on the owner or operator of the source. Any 27002
such determination shall be consistent with the federal Clean Air 27003
Act.27004

       (X) Exercise all incidental powers, including adoption of27005
rules, required to carry out this chapter.27006

       The environmental protection agency shall develop a plan to27007
control air pollution resulting from state-operated facilities and 27008
property.27009

       Sec. 3704.14. (A) The director of environmental protection 27010
shall continue to implement an enhanced motor vehicle inspection 27011
and maintenance program for a period of two years beginning on 27012
January 1, 20062008, and ending on December 31, 20072009, in 27013
counties in which a motor vehicle inspection and maintenance 27014
program is federally mandated. The program shall be substantially 27015
similar to the enhanced program implemented in those counties 27016
under a contract that is scheduled to expire on December 31, 200527017
2007. The program, at a minimum, shall do all of the following:27018

        (1) Comply with the federal Clean Air Act;27019

        (2) Provide for the extension of a contract for a period of 27020
two years, beginning on January 1, 20062008, and ending on 27021
December 31, 20072009, with the contractor who conducted the 27022
enhanced motor vehicle inspection and maintenance program in those 27023
federally mandated counties where the program was in operation on 27024
January 3, 2006, pursuant to a contract entered into under former 27025
section 3704.14 of the Revised Code as that section existed prior 27026
to its repeal and reenactment by Am. Sub. H.B. 66 of the 126th 27027
General Assemblywith the state;27028

        (3) Provide for the issuance of inspection certificates;27029

        (4) Provide for a new car exemption for motor vehicles four 27030
years old or newer and provide that a new motor vehicle is exempt 27031
for four years regardless of whether legal title to the motor 27032
vehicle is transferred during that period.27033

        (B) The director shall not implement a motor vehicle 27034
inspection and maintenance program in any county other than a 27035
county in which a motor vehicle inspection and maintenance program 27036
is federally mandated.27037

       (C) The director shall adopt rules in accordance with Chapter 27038
119. of the Revised Code that the director determines are 27039
necessary to implement this section. The director may continue to 27040
implement and enforce rules pertaining to the enhanced motor 27041
vehicle inspection and maintenance program previously implemented 27042
under former section 3704.14 of the Revised Code as that section 27043
existed prior to its repeal and reenactment by Am. Sub. H.B. 66 of 27044
the 126th general assembly, provided that the rules do not 27045
conflict with this section.27046

       (D)(C) There is hereby created in the state treasury the 27047
motor vehicle inspection and maintenance fund, which shall consist 27048
of money received by the director from any fees for inspections 27049
that are established in rules adopted under this section. The 27050
director shall use money in the fund solely for the 27051
implementation, supervision, administration, operation, and 27052
enforcement of the enhanced motor vehicle inspection and 27053
maintenance program established under this section.27054

       (E)(D) The enhanced motor vehicle inspection and maintenance 27055
program established under this section expires on December 31, 27056
20072009, and shall not be continued beyond that date unless 27057
otherwise federally mandated.27058

       (E) Notwithstanding divisions (A) to (D) of this section, the 27059
director shall not implement an enhanced motor vehicle inspection 27060
and maintenance program and no such program shall be operated in 27061
an area of the state where such a program was not in operation on 27062
January 3, 2006, pursuant to a contract entered into by this state 27063
unless both of following apply:27064

       (1) The program is required in the approved state 27065
implementation plan; and27066

       (2) After January 3, 2006, the United States environmental 27067
protection agency has expressly notified the director in writing 27068
that the failure to operate the program in a specific area will 27069
result in the imposition of sanctions under the federal Clean Air 27070
Act.27071

       Sec. 3705.24.  (A)(1) The public health council shall, in 27072
accordance with section 111.15 of the Revised Code, adopt rules 27073
prescribing fees for the following services provided by the state 27074
office of vital statistics:27075

       (a) Except as provided in division (A)(4) of this section:27076

       (i) A certified copy of a vital record or a certification of 27077
birth;27078

       (ii) A search by the office of vital statistics of its files 27079
and records pursuant to a request for information, regardless of 27080
whether a copy of a record is provided;27081

       (iii) A copy of a record provided pursuant to a request;27082

       (b) Replacement of a birth certificate following an adoption, 27083
legitimation, paternity determination or acknowledgement, or court 27084
order;27085

       (c) Filing of a delayed registration of a vital record;27086

       (d) Amendment of a vital record that is requested later than 27087
one year after the filing date of the vital record;27088

       (e) Any other documents or services for which the public 27089
health council considers the charging of a fee appropriate.27090

       (2) Fees prescribed under division (A)(1)(a) of this section 27091
shall not be less than seven dollars.27092

       (3) Fees prescribed under division (A)(1) of this section 27093
shall be collected in addition to any fees required by sections 27094
3109.14 and 3705.242 of the Revised Code.27095

       (4) Fees prescribed under division (A) of this section shall 27096
not apply to certifications issued under division (H) of this 27097
section or copies provided under section 3705.241 of the Revised 27098
Code.27099

       (B) In addition to the fees prescribed under division (A) of 27100
this section or section 3709.09 of the Revised Code, the office of 27101
vital statistics or the board of health of a city or general 27102
health district shall charge a five-dollar fee for each certified 27103
copy of a vital record and each certification of birth. This fee 27104
shall be deposited in the general operations fund created under 27105
section 3701.83 of the Revised Code and be used solely towardto 27106
support the operations, the modernization, and the automation of 27107
the system of vital records program in this state. A board of 27108
health shall forward all fees collected under this division to the 27109
department of health not later than thirty days after the end of 27110
each calendar quarter.27111

       (C) Except as otherwise provided in division (H) of this 27112
section, and except as provided in section 3705.241 of the Revised 27113
Code, fees collected by the director of health under sections 27114
3705.01 to 3705.29 of the Revised Code shall be paid into the 27115
state treasury to the credit of the general operations fund27116
created by section 3701.83 of the Revised Code. Except as 27117
provided in division (B) of this section, money generated by the 27118
fees shall be used only for administration and enforcement of this 27119
chapter and the rules adopted under it. Amounts submitted to the27120
department of health for copies of vital records or services in 27121
excess of the fees imposed by this section shall be dealt with as 27122
follows:27123

       (1) An overpayment of two dollars or less shall be retained 27124
by the department and deposited in the state treasury to the27125
credit of the general operations fund created by section 3701.83 27126
of the Revised Code.27127

       (2) An overpayment in excess of two dollars shall be returned 27128
to the person who made the overpayment.27129

       (D) If a local registrar is a salaried employee of a city or 27130
a general health district, any fees the local registrar receives 27131
pursuant to section 3705.23 of the Revised Code shall be paid into27132
the general fund of the city or the health fund of the general 27133
health district.27134

       Each local registrar of vital statistics, or each health27135
district where the local registrar is a salaried employee of the27136
district, shall be entitled to a fee for each birth, fetal death,27137
death, or military service certificate properly and completely27138
made out and registered with the local registrar or district and27139
correctly copied and forwarded to the office of vital statistics 27140
in accordance with the population of the primary registration 27141
district at the last federal census. The fee for each birth, fetal 27142
death, death, or military service certificate shall be:27143

       (1) In primary registration districts of over two hundred27144
fifty thousand, twenty cents;27145

       (2) In primary registration districts of over one hundred27146
twenty-five thousand and less than two hundred fifty thousand,27147
sixty cents;27148

       (3) In primary registration districts of over fifty thousand 27149
and less than one hundred twenty-five thousand, eighty cents;27150

       (4) In primary registration districts of less than fifty27151
thousand, one dollar.27152

       (E) The director of health shall annually certify to the27153
county treasurers of the several counties the number of birth, 27154
fetal death, death, and military service certificates registered27155
from their respective counties with the names of the local27156
registrars and the amounts due each registrar and health district27157
at the rates fixed in this section. Such amounts shall be paid by 27158
the treasurer of the county in which the registration districts 27159
are located. No fees shall be charged or collected by registrars 27160
except as provided by this chapter and section 3109.14 of the 27161
Revised Code.27162

       (F) A probate judge shall be paid a fee of fifteen cents for 27163
each certified abstract of marriage prepared and forwarded by the 27164
probate judge to the department of health pursuant to section 27165
3705.21 of the Revised Code. The fee shall be in addition to the 27166
fee paid for a marriage license and shall be paid by the 27167
applicants for the license.27168

       (G) The clerk of a court of common pleas shall be paid a fee 27169
of one dollar for each certificate of divorce, dissolution, and 27170
annulment of marriage prepared and forwarded by the clerk to the27171
department pursuant to section 3705.21 of the Revised Code. The27172
fee for the certified abstract of divorce, dissolution, or27173
annulment of marriage shall be added to the court costs allowed in 27174
these cases.27175

       (H) The fee for an heirloom certification of birth issued27176
pursuant to division (B)(2) of section 3705.23 of the Revised Code 27177
shall be an amount prescribed by rule by the director of health 27178
plus any fee required by section 3109.14 of the Revised Code. In 27179
setting the amount of the fee, the director shall establish a 27180
surcharge in addition to an amount necessary to offset the expense27181
of processing heirloom certifications of birth. The fee prescribed27182
by the director of health pursuant to this division shall be 27183
deposited into the state treasury to the credit of the heirloom 27184
certification of birth fund which is hereby created. Money 27185
credited to the fund shall be used by the office of vital 27186
statistics to offset the expense of processing heirloom27187
certifications of birth. However, the money collected for the 27188
surcharge, subject to the approval of the controlling board, shall 27189
be used for the purposes specified by the family and children 27190
first council pursuant to section 121.37 of the Revised Code.27191

       Sec. 3709.09.  (A) The board of health of a city or general 27192
health district may, by rule, establish a uniform system of fees 27193
to pay the costs of any services provided by the board.27194

       The fee for issuance of a certified copy of a vital record or 27195
a certification of birth shall not be less than the fee prescribed 27196
for the same service under division (A)(1) of section 3705.24 of 27197
the Revised Code and shall include the fees required by division 27198
(B) of section 3705.24 and section 3109.14 of the Revised Code.27199

       Fees for services provided by the board for purposes 27200
specified in sections 3701.344, 3711.05, 3718.06, 3729.07, 27201
3730.03, 3733.04, 3733.25, and 3749.04 of the Revised Code shall 27202
be established in accordance with rules adopted under division (B) 27203
of this section. The district advisory council, in the case of a 27204
general health district, and the legislative authority of the 27205
city, in the case of a city health district, may disapprove any 27206
fee established by the board of health under this division, and 27207
any such fee, as disapproved, shall not be charged by the board of 27208
health.27209

       (B) The public health council shall adopt rules under section 27210
111.15 of the Revised Code that establish fee categories and 27211
uniform methodologies for use in calculating the costs of services 27212
provided for purposes specified in sections 3701.344, 3711.05, 27213
3718.06, 3729.07, 3730.03, 3733.04, 3733.25, and 3749.04 of the 27214
Revised Code. In adopting the rules, the public health council 27215
shall consider recommendations it receives from advisory boards 27216
established either by statute or the director of health for 27217
entities subject to the fees.27218

       (C) At least thirty days prior to establishing a fee for a27219
service provided by the board for a purpose specified in section27220
3701.344, 3711.05, 3718.06, 3729.07, 3730.03, 3733.04, 3733.25, or 27221
3749.04 of the Revised Code, a board of health shall notify any 27222
entity that would be affected by the proposed fee of the amount of 27223
the proposed fee.27224

       Sec. 3709.091.  (A) As used in this section:27225

       (1) "Household sewage treatmentdisposal system" means any27226
sewage disposal or treatment system, or part of such a system, for 27227
a single-family, two-family, or three-family dwelling that 27228
receives sewage.27229

       (2) "Sewage" means any liquid waste containing animal or27230
vegetable matter in suspension or solution that originates from 27231
humans and human activities. "Sewage" includes liquids containing 27232
household chemicals in solution commonly discharged from a 27233
residence or from commercial, institutional, or other similar 27234
facilities.27235

       (3) "Small flow on-site sewage treatment system" means a 27236
system, other than a household sewage treatment system, that 27237
treats not more than one thousand gallons of sewage per day and 27238
that does not require a national pollutant discharge elimination 27239
system permit issued under section 6111.03 of the Revised Code or 27240
an injection well drilling or operating permit issued under 27241
section 6111.043 of the Revised Codewater closets, urinals, 27242
lavatories, bathtubs, laundry tubs or devices, floor drains, 27243
drinking fountains, or other sanitary fixtures and may include 27244
liquid containing chemicals in solution.27245

       (B) If any owner, leaseholder, or assignee of real property27246
fails to pay a fee as required by rule of a board of health of a27247
city or general health district pursuant to section 3709.09 of the27248
Revised Code for an operation permit for, or for inspection of, a27249
household sewage treatmentdisposal system or a small flow on-site 27250
sewage treatment system located on the real property, the health 27251
commissioner of the city or general health district or the 27252
commissioner's designated representative shall notify the owner, 27253
leaseholder, or assignee of the real property of the amount of the 27254
fee and any accrued penalties for late payment of the fee. The 27255
notice shall state, in boldface letters: "You have 30 days to 27256
object to the amount of the unpaid operation permit or inspection 27257
fee for your household sewage treatmentdisposal system or small 27258
flow on-site sewage treatment system, as applicable, as designated 27259
in this notice, which may include accrued penalties for late 27260
payment of the fee. If you do not pay this amount as instructed 27261
herein within 30 days of receipt of this notice or object to this 27262
amount during that time period in accordance with the procedures 27263
set forth herein, the amount will be placed as a lien on your real27264
property." The notice also shall explain how the owner, 27265
leaseholder, or assignee may pay the amount, or object to the 27266
amount in accordance with the procedures established by divisions 27267
(C) and (D) of this section.27268

       Notice to the owner, leaseholder, or assignee shall be made27269
by either of the following:27270

       (1) Certified mail, overnight delivery service, hand27271
delivery, or any other method that includes written evidence of27272
receipt;27273

       (2) The sheriff of the county in which the owner,27274
leaseholder, or assignee to be served resides, in one or more of27275
the methods provided in the Ohio Rules of Civil Procedure. The27276
sheriff may charge reasonable fees for that service.27277

       (C) Not later than thirty days after receipt under division27278
(B) of this section of notification of the amount of an unpaid27279
operation permit or inspection fee and any accrued late payment27280
penalties, the owner, leaseholder, or assignee may object to the27281
amount by delivering a written notice of objection to the health27282
commissioner by any of the means provided for in division (B)(1)27283
of this section. Not later than sixty days after receipt of the27284
notice of objection, the county prosecutor, on behalf of the city27285
or general health district, may file a civil action in the court27286
of common pleas against the owner, leaseholder, or assignee. If27287
the county prosecutor fails to commence suit within the sixty-day27288
period, or if the action is commenced, but dismissed with27289
prejudice before adjudication, the unpaid fee and any accrued late27290
payment penalties are void and cannot be placed on the general tax27291
list and duplicate as a lien against the real property.27292

       (D) If, in accordance with division (C) of this section, the27293
owner, leaseholder, or assignee objects to the amount of the27294
unpaid operation permit or inspection fee and any accrued late27295
payment penalties and the county prosecutor commences suit and27296
prevails in the action, the owner, leaseholder, or assignee27297
objecting shall pay the amount of the fee, any accrued late27298
payment penalties, and the costs of the action, as determined by27299
the court.27300

       (E) If the owner, leaseholder, or assignee on which the27301
notice required by division (B) of this section was served does27302
not pay to the city or general health district the amount of an27303
unpaid operation permit or inspection fee and any accrued late27304
payment penalties within thirty days after receipt of the notice,27305
or does not object to the amount in the manner provided in27306
division (C) of this section, the health commissioner of the city27307
or general health district or the commissioner's designated27308
representative may certify, on or before the first Monday of27309
September, the amount of the unpaid fee and any accrued late27310
payment penalties to the county auditor to be placed on the27311
general tax list and duplicate as provided in section 319.281 of27312
the Revised Code.27313

       Sec. 3721.51.  The department of job and family services27314
shall do all of the following:27315

       (A) Subject to division (C) of this section and for the 27316
purposes specified in sections 3721.56 and 3721.561 of the Revised 27317
Code, determine an annual franchise permit fee on each nursing 27318
home in an amount equal to six dollars and twenty-five cents for 27319
fiscal years 2006 and 2007 and one dollar for each fiscal year27320
thereafter, multiplied by the product of the following:27321

       (1) The number of beds licensed as nursing home beds, plus27322
any other beds certified as skilled nursing facility beds under27323
Title XVIII or nursing facility beds under Title XIX on the first27324
day of May of the calendar year in which the fee is determined27325
pursuant to division (A) of section 3721.53 of the Revised Code;27326

       (2) The number of days in the fiscal year beginning on the 27327
first day of July of the calendar year in which the fee is27328
determined pursuant to division (A) of section 3721.53 of the27329
Revised Code.27330

       (B) Subject to division (C) of this section and for the 27331
purposes specified in sections 3721.56 and 3721.561 of the Revised 27332
Code, determine an annual franchise permit fee on each hospital in 27333
an amount equal to six dollars and twenty-five cents for fiscal 27334
years 2006 and 2007 and one dollar for each fiscal year27335
thereafter, multiplied by the product of the following:27336

       (1) The number of beds registered pursuant to section 3701.07 27337
of the Revised Code as skilled nursing facility beds or long-term 27338
care beds, plus any other beds licensed as nursing home beds under 27339
section 3721.02 or 3721.09 of the Revised Code, on the first day 27340
of May of the calendar year in which the fee is determined 27341
pursuant to division (A) of section 3721.53 of the Revised Code;27342

       (2) The number of days in the fiscal year beginning on the 27343
first day of July of the calendar year in which the fee is27344
determined pursuant to division (A) of section 3721.53 of the27345
Revised Code.27346

       (C) If the United States centers for medicare and medicaid27347
services determines that the franchise permit fee established by27348
sections 3721.50 to 3721.58 of the Revised Code is an27349
impermissible health care related tax under section 1903(w) of the27350
"Social Security Act," 49 Stat. 620 (1935), 42 U.S.C. 1396b(w), as27351
amended, take all necessary actions to cease implementation of 27352
sections 3721.50 to 3721.58 of the Revised Code in accordance with 27353
rules adopted under section 3721.58 of the Revised Code.27354

       Sec. 3721.541.  (A) In addition to assessing a penalty 27355
pursuant to section 3721.54 of the Revised Code, the department of 27356
job and family services may do either or both of the following if 27357
a nursing facility or hospital fails to pay the full amount of a 27358
franchise permit fee installment when due:27359

        (1) WithholdOffset an amount less than or equal to the 27360
installment and penalty assessed under section 3721.54 of the 27361
Revised Code from a medicaid payment due the nursing facility or 27362
hospital until the nursing facility or hospital pays the 27363
installment and penalty;27364

        (2) Terminate the nursing facility or hospital's medicaid 27365
provider agreement.27366

        (B) The department may withholdoffset a medicaid payment 27367
under division (A)(1) of this section without providing notice to 27368
the nursing facility or hospital and without conducting an 27369
adjudication under Chapter 119. of the Revised Code.27370

       Sec. 3721.56.  There is hereby created in the state treasury 27371
the home- and community-based services for the aged fund. Sixteen 27372
per cent of all payments and penalties paid by nursing homes and 27373
hospitals under sections 3721.53 and 3721.54 of the Revised Code27374
for fiscal years 2006 and 2007, and all such payments and 27375
penalties paid for subsequent fiscal years, shall be deposited 27376
into the fund. The departments of job and family services and 27377
aging shall use the moneys in the fund to fund the following in27378
accordance with rules adopted under section 3721.58 of the Revised27379
Code:27380

       (A) The medicaid program established under Chapter 5111. of 27381
the Revised Code, including the PASSPORT program established under 27382
section 173.40 of the Revised Code;27383

       (B) The residential state supplement program established27384
under section 173.35 of the Revised Code.27385

       Sec. 3734.57.  (A) The following fees are hereby levied on 27386
the transfer or disposal of solid wastes in this state:27387

       (1) One dollar per ton on and after July 1, 2003, through 27388
June 30, 20082010, one-half of the proceeds of which shall be 27389
deposited in the state treasury to the credit of the hazardous 27390
waste facility management fund created in section 3734.18 of the 27391
Revised Code and one-half of the proceeds of which shall be 27392
deposited in the state treasury to the credit of the hazardous 27393
waste clean-up fund created in section 3734.28 of the Revised 27394
Code;27395

       (2) An additional one dollar per ton on and after July 1, 27396
2003, through June 30, 20082010, the proceeds of which shall be 27397
deposited in the state treasury to the credit of the solid waste 27398
fund, which is hereby created. The environmental protection agency 27399
shall use money in the solid waste fund to pay the costs of 27400
administering and enforcing the laws pertaining to solid wastes, 27401
infectious wastes, and construction and demolition debris, 27402
including, without limitation, ground water evaluations related to 27403
solid wastes, infectious wastes, and construction and demolition 27404
debris, under this chapter and Chapter 3714. of the Revised Code 27405
and any rules adopted under them, providing compliance assistance 27406
to small businesses, and paying a share of the administrative 27407
costs of the environmental protection agency pursuant to section 27408
3745.014 of the Revised Code.27409

        (3) An additional one dollar and fifty cents per ton on and 27410
after July 1, 2005, through June 30, 20082010, the proceeds of 27411
which shall be deposited in the state treasury to the credit of 27412
the environmental protection fund created in section 3745.015 of 27413
the Revised Code.27414

       In the case of solid wastes that are taken to a solid waste 27415
transfer facility located in this state prior to being transported 27416
for disposal at a solid waste disposal facility located in this 27417
state or outside of this state, the fees levied under this 27418
division shall be collected by the owner or operator of the 27419
transfer facility as a trustee for the state. The amount of fees 27420
required to be collected under this division at such a transfer 27421
facility shall equal the total tonnage of solid wastes received at 27422
the facility multiplied by the fees levied under this division. In 27423
the case of solid wastes that are not taken to a solid waste 27424
transfer facility located in this state prior to being transported 27425
to a solid waste disposal facility, the fees shall be collected by 27426
the owner or operator of the solid waste disposal facility as a 27427
trustee for the state. The amount of fees required to be collected 27428
under this division at such a disposal facility shall equal the 27429
total tonnage of solid wastes received at the facility that was 27430
not previously taken to a solid waste transfer facility located in 27431
this state multiplied by the fees levied under this division. Fees 27432
levied under this division do not apply to materials separated 27433
from a mixed waste stream for recycling by a generator or 27434
materials removed from the solid waste stream through recycling, 27435
as "recycling" is defined in rules adopted under section 3734.02 27436
of the Revised Code.27437

       The owner or operator of a solid waste transfer facility or 27438
disposal facility, as applicable, shall prepare and file with the 27439
director of environmental protection each month a return 27440
indicating the total tonnage of solid wastes received at the27441
facility during that month and the total amount of the fees 27442
required to be collected under this division during that month. In 27443
addition, the owner or operator of a solid waste disposal facility 27444
shall indicate on the return the total tonnage of solid wastes 27445
received from transfer facilities located in this state during 27446
that month for which the fees were required to be collected by the 27447
transfer facilities. The monthly returns shall be filed on a form 27448
prescribed by the director. Not later than thirty days after the 27449
last day of the month to which a return applies, the owner or 27450
operator shall mail to the director the return for that month 27451
together with the fees required to be collected under this 27452
division during that month as indicated on the return. If the 27453
return is filed and the amount of the fees due is paid in a timely 27454
manner as required in this division, the owner or operator may 27455
retain a discount of three-fourths of one per cent of the total 27456
amount of the fees that are required to be paid as indicated on 27457
the return.27458

        The owner or operator may request an extension of not more 27459
than thirty days for filing the return and remitting the fees,27460
provided that the owner or operator has submitted such a request 27461
in writing to the director together with a detailed description of 27462
why the extension is requested, the director has received the 27463
request not later than the day on which the return is required to 27464
be filed, and the director has approved the request. If the fees 27465
are not remitted within thirty days after the last day of the 27466
month to which the return applies or are not remitted by the last 27467
day of an extension approved by the director, the owner or 27468
operator shall not retain the three-fourths of one per cent 27469
discount and shall pay an additional ten per cent of the amount of 27470
the fees for each month that they are late. For purposes of 27471
calculating the late fee, the first month in which fees are late 27472
begins on the first day after the deadline has passed for timely 27473
submitting the return and fees, and one additional month shall be 27474
counted every thirty days thereafter.27475

       The owner or operator of a solid waste facility may request a 27476
refund or credit of fees levied under this division and remitted 27477
to the director that have not been paid to the owner or operator. 27478
Such a request shall be made only if the fees have not been 27479
collected by the owner or operator, have become a debt that has 27480
become worthless or uncollectable for a period of six months or 27481
more, and may be claimed as a deduction, including a deduction 27482
claimed if the owner or operator keeps accounts on an accrual 27483
basis, under the "Internal Revenue Code of 1954," 68A Stat. 50, 26 27484
U.S.C. 166, as amended, and regulations adopted under it. Prior to 27485
making a request for a refund or credit, an owner or operator 27486
shall make reasonable efforts to collect the applicable fees. A 27487
request for a refund or credit shall not include any costs 27488
resulting from those efforts to collect unpaid fees.27489

       A request for a refund or credit of fees shall be made in 27490
writing, on a form prescribed by the director, and shall be 27491
supported by evidence that may be required in rules adopted by the 27492
director under this chapter. After reviewing the request, and if 27493
the request and evidence submitted with the request indicate that 27494
a refund or credit is warranted, the director shall grant a refund 27495
to the owner or operator or shall permit a credit to be taken by 27496
the owner or operator on a subsequent monthly return submitted by 27497
the owner or operator. The amount of a refund or credit shall not 27498
exceed an amount that is equal to ninety days' worth of fees owed 27499
to an owner or operator by a particular debtor of the owner or 27500
operator. A refund or credit shall not be granted by the director 27501
to an owner or operator more than once in any twelve-month period 27502
for fees owed to the owner or operator by a particular debtor.27503

       If, after receiving a refund or credit from the director, an 27504
owner or operator receives payment of all or part of the fees, the 27505
owner or operator shall remit the fees with the next monthly 27506
return submitted to the director together with a written 27507
explanation of the reason for the submittal.27508

        For purposes of computing the fees levied under this division 27509
or division (B) of this section, any solid waste transfer or 27510
disposal facility that does not use scales as a means of 27511
determining gate receipts shall use a conversion factor of three 27512
cubic yards per ton of solid waste or one cubic yard per ton for 27513
baled waste, as applicable.27514

       The fees levied under this division and divisions (B) and (C)27515
of this section are in addition to all other applicable fees and27516
taxes and shall be paid by the customer or a political subdivision 27517
to the owner or operator of a solid waste transfer or disposal 27518
facility notwithstanding the existence of any provision in a 27519
contract that the customer or a political subdivision may have 27520
with the owner or operator or with a transporter of waste to the 27521
facility that would not require or allow such payment.27522

       (B) For the purposes specified in division (G) of this 27523
section, the solid waste management policy committee of a county27524
or joint solid waste management district may levy fees upon the 27525
following activities:27526

       (1) The disposal at a solid waste disposal facility located27527
in the district of solid wastes generated within the district;27528

       (2) The disposal at a solid waste disposal facility within27529
the district of solid wastes generated outside the boundaries of27530
the district, but inside this state;27531

       (3) The disposal at a solid waste disposal facility within27532
the district of solid wastes generated outside the boundaries of27533
this state.27534

        The solid waste management plan of the county or joint27535
district approved under section 3734.521 or 3734.55 of the Revised27536
Code and any amendments to it, or the resolution adopted under27537
this division, as appropriate, shall establish the rates of the27538
fees levied under divisions (B)(1), (2), and (3) of this section,27539
if any, and shall specify whether the fees are levied on the basis27540
of tons or cubic yards as the unit of measurement. A solid waste27541
management district that levies fees under this division on the 27542
basis of cubic yards shall do so in accordance with division (A) 27543
of this section.27544

        The fee levied under division (B)(1) of this section shall be 27545
not less than one dollar per ton nor more than two dollars per 27546
ton, the fee levied under division (B)(2) of this section shall be 27547
not less than two dollars per ton nor more than four dollars per 27548
ton, and the fee levied under division (B)(3) of this section 27549
shall be not more than the fee levied under division (B)(1) of 27550
this section.27551

       Prior to the approval of the solid waste management plan of a 27552
district under section 3734.55 of the Revised Code, the solid27553
waste management policy committee of a district may levy fees27554
under this division by adopting a resolution establishing the27555
proposed amount of the fees. Upon adopting the resolution, the27556
committee shall deliver a copy of the resolution to the board of27557
county commissioners of each county forming the district and to27558
the legislative authority of each municipal corporation and27559
township under the jurisdiction of the district and shall prepare27560
and publish the resolution and a notice of the time and location27561
where a public hearing on the fees will be held. Upon adopting the 27562
resolution, the committee shall deliver written notice of the27563
adoption of the resolution; of the amount of the proposed fees;27564
and of the date, time, and location of the public hearing to the27565
director and to the fifty industrial, commercial, or institutional27566
generators of solid wastes within the district that generate the27567
largest quantities of solid wastes, as determined by the27568
committee, and to their local trade associations. The committee27569
shall make good faith efforts to identify those generators within27570
the district and their local trade associations, but the27571
nonprovision of notice under this division to a particular27572
generator or local trade association does not invalidate the27573
proceedings under this division. The publication shall occur at27574
least thirty days before the hearing. After the hearing, the27575
committee may make such revisions to the proposed fees as it27576
considers appropriate and thereafter, by resolution, shall adopt27577
the revised fee schedule. Upon adopting the revised fee schedule,27578
the committee shall deliver a copy of the resolution doing so to27579
the board of county commissioners of each county forming the27580
district and to the legislative authority of each municipal27581
corporation and township under the jurisdiction of the district.27582
Within sixty days after the delivery of a copy of the resolution27583
adopting the proposed revised fees by the policy committee, each27584
such board and legislative authority, by ordinance or resolution,27585
shall approve or disapprove the revised fees and deliver a copy of27586
the ordinance or resolution to the committee. If any such board or 27587
legislative authority fails to adopt and deliver to the policy27588
committee an ordinance or resolution approving or disapproving the27589
revised fees within sixty days after the policy committee27590
delivered its resolution adopting the proposed revised fees, it27591
shall be conclusively presumed that the board or legislative27592
authority has approved the proposed revised fees. The committee 27593
shall determine if the resolution has been ratified in the same 27594
manner in which it determines if a draft solid waste management 27595
plan has been ratified under division (B) of section 3734.55 of 27596
the Revised Code.27597

       The committee may amend the schedule of fees levied pursuant27598
to a resolution adopted and ratified under this division by 27599
adopting a resolution establishing the proposed amount of the 27600
amended fees. The committee may repeal the fees levied pursuant to 27601
such a resolution by adopting a resolution proposing to repeal 27602
them. Upon adopting such a resolution, the committee shall proceed 27603
to obtain ratification of the resolution in accordance with this 27604
division.27605

       Not later than fourteen days after declaring the new fees to 27606
be ratified or the fees to be repealed under this division, the 27607
committee shall notify by certified mail the owner or operator of 27608
each solid waste disposal facility that is required to collect the27609
fees of the ratification and the amount of the fees or of the 27610
repeal of the fees. Collection of any fees shall commence or 27611
collection of repealed fees shall cease on the first day of the 27612
second month following the month in which notification is sent to 27613
the owner or operator.27614

       Fees levied under this division also may be established, 27615
amended, or repealed by a solid waste management policy committee 27616
through the adoption of a new district solid waste management 27617
plan, the adoption of an amended plan, or the amendment of the 27618
plan or amended plan in accordance with sections 3734.55 and 27619
3734.56 of the Revised Code or the adoption or amendment of a 27620
district plan in connection with a change in district composition 27621
under section 3734.521 of the Revised Code.27622

       Not later than fourteen days after the director issues an27623
order approving a district's solid waste management plan, amended 27624
plan, or amendment to a plan or amended plan that establishes, 27625
amends, or repeals a schedule of fees levied by the district, the 27626
committee shall notify by certified mail the owner or operator of 27627
each solid waste disposal facility that is required to collect the 27628
fees of the approval of the plan or amended plan, or the amendment 27629
to the plan, as appropriate, and the amount of the fees, if any. 27630
In the case of an initial or amended plan approved under section 27631
3734.521 of the Revised Code in connection with a change in 27632
district composition, other than one involving the withdrawal of a 27633
county from a joint district, the committee, within fourteen days27634
after the change takes effect pursuant to division (G) of that27635
section, shall notify by certified mail the owner or operator of27636
each solid waste disposal facility that is required to collect the27637
fees that the change has taken effect and of the amount of the27638
fees, if any. Collection of any fees shall commence or collection 27639
of repealed fees shall cease on the first day of the second month 27640
following the month in which notification is sent to the owner or 27641
operator.27642

       If, in the case of a change in district composition involving27643
the withdrawal of a county from a joint district, the director27644
completes the actions required under division (G)(1) or (3) of27645
section 3734.521 of the Revised Code, as appropriate, forty-five27646
days or more before the beginning of a calendar year, the policy27647
committee of each of the districts resulting from the change that27648
obtained the director's approval of an initial or amended plan in27649
connection with the change, within fourteen days after the27650
director's completion of the required actions, shall notify by27651
certified mail the owner or operator of each solid waste disposal27652
facility that is required to collect the district's fees that the27653
change is to take effect on the first day of January immediately27654
following the issuance of the notice and of the amount of the fees27655
or amended fees levied under divisions (B)(1) to (3) of this27656
section pursuant to the district's initial or amended plan as so27657
approved or, if appropriate, the repeal of the district's fees by 27658
that initial or amended plan. Collection of any fees set forth in27659
such a plan or amended plan shall commence on the first day of27660
January immediately following the issuance of the notice. If such 27661
an initial or amended plan repeals a schedule of fees, collection 27662
of the fees shall cease on that first day of January.27663

       If, in the case of a change in district composition involving27664
the withdrawal of a county from a joint district, the director27665
completes the actions required under division (G)(1) or (3) of27666
section 3734.521 of the Revised Code, as appropriate, less than27667
forty-five days before the beginning of a calendar year, the27668
director, on behalf of each of the districts resulting from the27669
change that obtained the director's approval of an initial or27670
amended plan in connection with the change proceedings, shall27671
notify by certified mail the owner or operator of each solid waste27672
disposal facility that is required to collect the district's fees27673
that the change is to take effect on the first day of January27674
immediately following the mailing of the notice and of the amount27675
of the fees or amended fees levied under divisions (B)(1) to (3)27676
of this section pursuant to the district's initial or amended plan27677
as so approved or, if appropriate, the repeal of the district's 27678
fees by that initial or amended plan. Collection of any fees set 27679
forth in such a plan or amended plan shall commence on the first 27680
day of the second month following the month in which notification 27681
is sent to the owner or operator. If such an initial or amended27682
plan repeals a schedule of fees, collection of the fees shall27683
cease on the first day of the second month following the month in27684
which notification is sent to the owner or operator.27685

        If the schedule of fees that a solid waste management 27686
district is levying under divisions (B)(1) to (3) of this section 27687
is amended or repealed, the fees in effect immediately prior to 27688
the amendment or repeal shall continue to be collected until 27689
collection of the amended fees commences or collection of the 27690
repealed fees ceases, as applicable, as specified in this 27691
division. In the case of a change in district composition, money 27692
so received from the collection of the fees of the former27693
districts shall be divided among the resulting districts in27694
accordance with division (B) of section 343.012 of the Revised27695
Code and the agreements entered into under division (B) of section27696
343.01 of the Revised Code to establish the former and resulting27697
districts and any amendments to those agreements.27698

       For the purposes of the provisions of division (B) of this27699
section establishing the times when newly established or amended27700
fees levied by a district are required to commence and the27701
collection of fees that have been amended or repealed is required27702
to cease, "fees" or "schedule of fees" includes, in addition to27703
fees levied under divisions (B)(1) to (3) of this section, those27704
levied under section 3734.573 or 3734.574 of the Revised Code.27705

       (C) For the purposes of defraying the added costs to a27706
municipal corporation or township of maintaining roads and other27707
public facilities and of providing emergency and other public27708
services, and compensating a municipal corporation or township for27709
reductions in real property tax revenues due to reductions in real27710
property valuations resulting from the location and operation of a27711
solid waste disposal facility within the municipal corporation or27712
township, a municipal corporation or township in which such a27713
solid waste disposal facility is located may levy a fee of not27714
more than twenty-five cents per ton on the disposal of solid27715
wastes at a solid waste disposal facility located within the27716
boundaries of the municipal corporation or township regardless of27717
where the wastes were generated.27718

       The legislative authority of a municipal corporation or27719
township may levy fees under this division by enacting an27720
ordinance or adopting a resolution establishing the amount of the27721
fees. Upon so doing the legislative authority shall mail a27722
certified copy of the ordinance or resolution to the board of27723
county commissioners or directors of the county or joint solid27724
waste management district in which the municipal corporation or27725
township is located or, if a regional solid waste management27726
authority has been formed under section 343.011 of the Revised27727
Code, to the board of trustees of that regional authority, the27728
owner or operator of each solid waste disposal facility in the27729
municipal corporation or township that is required to collect the27730
fee by the ordinance or resolution, and the director of27731
environmental protection. Although the fees levied under this27732
division are levied on the basis of tons as the unit of27733
measurement, the legislative authority, in its ordinance or27734
resolution levying the fees under this division, may direct that27735
the fees be levied on the basis of cubic yards as the unit of27736
measurement based upon a conversion factor of three cubic yards27737
per ton generally or one cubic yard per ton for baled wastes.27738

       Not later than five days after enacting an ordinance or27739
adopting a resolution under this division, the legislative27740
authority shall so notify by certified mail the owner or operator27741
of each solid waste disposal facility that is required to collect27742
the fee. Collection of any fee levied on or after March 24, 1992,27743
shall commence on the first day of the second month following the27744
month in which notification is sent to the owner or operator.27745

       (D)(1) The fees levied under divisions (A), (B), and (C) of27746
this section do not apply to the disposal of solid wastes that:27747

       (a) Are disposed of at a facility owned by the generator of27748
the wastes when the solid waste facility exclusively disposes of27749
solid wastes generated at one or more premises owned by the27750
generator regardless of whether the facility is located on a27751
premises where the wastes are generated;27752

       (b) Are disposed of at facilities that exclusively dispose of 27753
wastes that are generated from the combustion of coal, or from the 27754
combustion of primarily coal in combination with scrap tires, that 27755
is not combined in any way with garbage at one or more premises 27756
owned by the generator.27757

       (2) Except as provided in section 3734.571 of the Revised27758
Code, any fees levied under division (B)(1) of this section apply27759
to solid wastes originating outside the boundaries of a county or27760
joint district that are covered by an agreement for the joint use27761
of solid waste facilities entered into under section 343.02 of the27762
Revised Code by the board of county commissioners or board of27763
directors of the county or joint district where the wastes are27764
generated and disposed of.27765

       (3) When solid wastes, other than solid wastes that consist27766
of scrap tires, are burned in a disposal facility that is an27767
incinerator or energy recovery facility, the fees levied under27768
divisions (A), (B), and (C) of this section shall be levied upon27769
the disposal of the fly ash and bottom ash remaining after burning27770
of the solid wastes and shall be collected by the owner or27771
operator of the sanitary landfill where the ash is disposed of.27772

       (4) When solid wastes are delivered to a solid waste transfer 27773
facility, the fees levied under divisions (B) and (C) of this 27774
section shall be levied upon the disposal of solid wastes 27775
transported off the premises of the transfer facility for disposal 27776
and shall be collected by the owner or operator of the solid waste 27777
disposal facility where the wastes are disposed of.27778

       (5) The fees levied under divisions (A), (B), and (C) of this 27779
section do not apply to sewage sludge that is generated by a waste 27780
water treatment facility holding a national pollutant discharge 27781
elimination system permit and that is disposed of through 27782
incineration, land application, or composting or at another 27783
resource recovery or disposal facility that is not a landfill.27784

       (6) The fees levied under divisions (A), (B), and (C) of this 27785
section do not apply to solid wastes delivered to a solid waste 27786
composting facility for processing. When any unprocessed solid 27787
waste or compost product is transported off the premises of a 27788
composting facility and disposed of at a landfill, the fees levied 27789
under divisions (A), (B), and (C) of this section shall be27790
collected by the owner or operator of the landfill where the27791
unprocessed waste or compost product is disposed of.27792

       (7) When solid wastes that consist of scrap tires are27793
processed at a scrap tire recovery facility, the fees levied under27794
divisions (A), (B), and (C) of this section shall be levied upon27795
the disposal of the fly ash and bottom ash or other solid wastes27796
remaining after the processing of the scrap tires and shall be27797
collected by the owner or operator of the solid waste disposal27798
facility where the ash or other solid wastes are disposed of.27799

       (8) The director of environmental protection may issue an 27800
order exempting from the fees levied under this section solid 27801
wastes, including, but not limited to, scrap tires, that are 27802
generated, transferred, or disposed of as a result of a contract 27803
providing for the expenditure of public funds entered into by the 27804
administrator or regional administrator of the United States 27805
environmental protection agency, the director of environmental 27806
protection, or the director of administrative services on behalf 27807
of the director of environmental protection for the purpose of 27808
remediating conditions at a hazardous waste facility, solid waste 27809
facility, or other location at which the administrator or regional 27810
administrator or the director of environmental protection has 27811
reason to believe that there is a substantial threat to public 27812
health or safety or the environment or that the conditions are 27813
causing or contributing to air or water pollution or soil 27814
contamination. An order issued by the director of environmental 27815
protection under division (D)(8) of this section shall include a 27816
determination that the amount of the fees not received by a solid 27817
waste management district as a result of the order will not 27818
adversely impact the implementation and financing of the 27819
district's approved solid waste management plan and any approved 27820
amendments to the plan. Such an order is a final action of the 27821
director of environmental protection.27822

       (E) The fees levied under divisions (B) and (C) of this27823
section shall be collected by the owner or operator of the solid27824
waste disposal facility where the wastes are disposed of as a27825
trustee for the county or joint district and municipal corporation27826
or township where the wastes are disposed of. Moneys from the fees 27827
levied under division (B) of this section shall be forwarded to 27828
the board of county commissioners or board of directors of the27829
district in accordance with rules adopted under division (H) of27830
this section. Moneys from the fees levied under division (C) of27831
this section shall be forwarded to the treasurer or such other27832
officer of the municipal corporation as, by virtue of the charter,27833
has the duties of the treasurer or to the fiscal officer of the 27834
township, as appropriate, in accordance with those rules.27835

       (F) Moneys received by the treasurer or other officer of the 27836
municipal corporation under division (E) of this section shall be 27837
paid into the general fund of the municipal corporation. Moneys 27838
received by the fiscal officer of the township under that division27839
shall be paid into the general fund of the township. The treasurer 27840
or other officer of the municipal corporation or the township 27841
fiscal officer, as appropriate, shall maintain separate records of 27842
the moneys received from the fees levied under division (C) of 27843
this section.27844

       (G) Moneys received by the board of county commissioners or27845
board of directors under division (E) of this section or section27846
3734.571, 3734.572, 3734.573, or 3734.574 of the Revised Code27847
shall be paid to the county treasurer, or other official acting in27848
a similar capacity under a county charter, in a county district or27849
to the county treasurer or other official designated by the board27850
of directors in a joint district and kept in a separate and27851
distinct fund to the credit of the district. If a regional solid27852
waste management authority has been formed under section 343.01127853
of the Revised Code, moneys received by the board of trustees of27854
that regional authority under division (E) of this section shall27855
be kept by the board in a separate and distinct fund to the credit27856
of the district. Moneys in the special fund of the county or joint 27857
district arising from the fees levied under division (B) of this 27858
section and the fee levied under division (A) of section 3734.573 27859
of the Revised Code shall be expended by the board of county 27860
commissioners or directors of the district in accordance with the 27861
district's solid waste management plan or amended plan approved 27862
under section 3734.521, 3734.55, or 3734.56 of the Revised Code 27863
exclusively for the following purposes:27864

       (1) Preparation of the solid waste management plan of the27865
district under section 3734.54 of the Revised Code, monitoring27866
implementation of the plan, and conducting the periodic review and27867
amendment of the plan required by section 3734.56 of the Revised27868
Code by the solid waste management policy committee;27869

       (2) Implementation of the approved solid waste management27870
plan or amended plan of the district, including, without27871
limitation, the development and implementation of solid waste27872
recycling or reduction programs;27873

       (3) Providing financial assistance to boards of health within 27874
the district, if solid waste facilities are located within the 27875
district, for enforcement of this chapter and rules, orders, and 27876
terms and conditions of permits, licenses, and variances adopted 27877
or issued under it, other than the hazardous waste provisions of 27878
this chapter and rules adopted and orders and terms and conditions 27879
of permits issued under those provisions;27880

       (4) Providing financial assistance to each county within the27881
district to defray the added costs of maintaining roads and other27882
public facilities and of providing emergency and other public27883
services resulting from the location and operation of a solid27884
waste facility within the county under the district's approved27885
solid waste management plan or amended plan;27886

       (5) Pursuant to contracts entered into with boards of health27887
within the district, if solid waste facilities contained in the27888
district's approved plan or amended plan are located within the27889
district, for paying the costs incurred by those boards of health27890
for collecting and analyzing samples from public or private water27891
wells on lands adjacent to those facilities;27892

       (6) Developing and implementing a program for the inspection27893
of solid wastes generated outside the boundaries of this state27894
that are disposed of at solid waste facilities included in the27895
district's approved solid waste management plan or amended plan;27896

       (7) Providing financial assistance to boards of health within 27897
the district for the enforcement of section 3734.03 of the Revised 27898
Code or to local law enforcement agencies having jurisdiction 27899
within the district for enforcing anti-littering laws and 27900
ordinances;27901

       (8) Providing financial assistance to boards of health of27902
health districts within the district that are on the approved list27903
under section 3734.08 of the Revised Code to defray the costs to27904
the health districts for the participation of their employees27905
responsible for enforcement of the solid waste provisions of this27906
chapter and rules adopted and orders and terms and conditions of27907
permits, licenses, and variances issued under those provisions in27908
the training and certification program as required by rules27909
adopted under division (L) of section 3734.02 of the Revised Code;27910

       (9) Providing financial assistance to individual municipal27911
corporations and townships within the district to defray their27912
added costs of maintaining roads and other public facilities and27913
of providing emergency and other public services resulting from27914
the location and operation within their boundaries of a27915
composting, energy or resource recovery, incineration, or27916
recycling facility that either is owned by the district or is27917
furnishing solid waste management facility or recycling services27918
to the district pursuant to a contract or agreement with the board27919
of county commissioners or directors of the district;27920

       (10) Payment of any expenses that are agreed to, awarded, or27921
ordered to be paid under section 3734.35 of the Revised Code and27922
of any administrative costs incurred pursuant to that section. In27923
the case of a joint solid waste management district, if the board27924
of county commissioners of one of the counties in the district is27925
negotiating on behalf of affected communities, as defined in that27926
section, in that county, the board shall obtain the approval of27927
the board of directors of the district in order to expend moneys27928
for administrative costs incurred.27929

       Prior to the approval of the district's solid waste27930
management plan under section 3734.55 of the Revised Code, moneys27931
in the special fund of the district arising from the fees shall be27932
expended for those purposes in the manner prescribed by the solid27933
waste management policy committee by resolution.27934

       Notwithstanding division (G)(6) of this section as it existed27935
prior to October 29, 1993, or any provision in a district's solid27936
waste management plan prepared in accordance with division27937
(B)(2)(e) of section 3734.53 of the Revised Code as it existed27938
prior to that date, any moneys arising from the fees levied under27939
division (B)(3) of this section prior to January 1, 1994, may be27940
expended for any of the purposes authorized in divisions (G)(1) to27941
(10) of this section.27942

       (H) The director shall adopt rules in accordance with Chapter 27943
119. of the Revised Code prescribing procedures for collecting and 27944
forwarding the fees levied under divisions (B) and (C) of this 27945
section to the boards of county commissioners or directors of 27946
county or joint solid waste management districts and to the 27947
treasurers or other officers of municipal corporations and the 27948
fiscal officers of townships. The rules also shall prescribe the27949
dates for forwarding the fees to the boards and officials and may27950
prescribe any other requirements the director considers necessary27951
or appropriate to implement and administer divisions (A), (B), and27952
(C) of this section.27953

       Sec. 3735.672.  (A) On or before the thirty-first day of27954
March each year, a legislative authority that has entered into an27955
agreement with a party under section 3735.671 of the Revised Code27956
shall submit to the director of development and the board of27957
education of each school district of which a municipal corporation 27958
or township to which such an agreement applies is a part a report 27959
on all such agreements in effect during the preceding calendar 27960
year. The report shall include the following information:27961

       (1) The designation, assigned by the director of development, 27962
of each community reinvestment area within the municipal 27963
corporation or county, and the total population of each area 27964
according to the most recent data available;27965

       (2) The number of agreements and the number of full-time27966
employees subject to those agreements within each area, each27967
according to the most recent data available and identified and27968
categorized by the appropriate standard industrial code, and the27969
rate of unemployment in the municipal corporation or county in27970
which the area is located for each year since the area was27971
certified;27972

       (3) The number of agreements approved and executed during the 27973
calendar year for which the report is submitted, the total number 27974
of agreements in effect on the thirty-first day of December of the 27975
preceding calendar year, the number of agreements that expired 27976
during the calendar year for which the report is submitted, and 27977
the number of agreements scheduled to expire during the calendar 27978
year in which the report is submitted. For each agreement that 27979
expired during the calendar year for which the report is 27980
submitted, the legislative authority shall include the amount of 27981
taxes exempted under the agreement.27982

       (4) The number of agreements receiving compliance reviews by 27983
the tax incentive review council in the municipal corporation or 27984
county during the calendar year for which the report is submitted, 27985
including all of the following information:27986

       (a) The number of agreements the terms of which the party has 27987
complied with, indicating separately for each such agreement the 27988
value of the real property exempted pursuant to the agreement and 27989
a comparison of the stipulated and actual schedules for hiring new 27990
employees, for retaining existing employees, and for the amount of 27991
payroll of the party attributable to these employees;27992

       (b) The number of agreements the terms of which a party has 27993
failed to comply with, indicating separately for each such27994
agreement the value of the real and personal property exempted27995
pursuant to the agreement and a comparison of the stipulated and27996
actual schedules for hiring new employees, for retaining existing27997
employees, and for the amount of payroll of the enterprise27998
attributable to these employees;27999

       (c) The number of agreements about which the tax incentive28000
review council made recommendations to the legislative authority,28001
and the number of such recommendations that have not been28002
followed;28003

       (d) The number of agreements rescinded during the calendar28004
year for which the report is submitted.28005

       (5) The number of parties subject to agreements that expanded 28006
within each area, including the number of new employees hired and 28007
existing employees retained by that party, and the number of new 28008
parties subject to agreements that established within each area, 28009
including the number of new employees hired by each party;28010

       (6) For each agreement in effect during any part of the28011
preceding year, the number of employees employed by the party at28012
the property that is the subject of the agreement immediately28013
prior to formal approval of the agreement, the number of employees 28014
employed by the party at that property on the thirty-first day of 28015
December of the preceding year, the payroll of the party for the 28016
preceding year, the amount of taxes paid on real property that was 28017
exempted under the agreement, and the amount of such taxes that 28018
were not paid because of the exemption.28019

       (B) Upon the failure of a municipal corporation or county to 28020
comply with division (A) of this section:28021

       (1) Beginning on the first day of April of the calendar year 28022
in which the municipal corporation or county fails to comply with 28023
that division, the municipal corporation or county shall not enter 28024
into any agreements under section 3735.671 of the Revised Code 28025
until the municipal corporation or county has complied with28026
division (A) of this section.28027

       (2) On the first day of each ensuing calendar month until the 28028
municipal corporation or county complies with that division, the 28029
director of development shall either order the proper county28030
auditor to deduct from the next succeeding payment of taxes to the 28031
municipal corporation or county under section 321.31, 321.32,28032
321.33, or 321.34 of the Revised Code an amount equal to five28033
hundred dollars for each calendar month the municipal corporation28034
or county fails to comply with that division, or order the county28035
auditor to deduct such an amount from the next succeeding payment28036
to the municipal corporation or county from the undivided local28037
governmentcommunities fund under section 5747.51 of the Revised 28038
Code. At the time such a payment is made, the county auditor shall 28039
comply with the director's order by issuing a warrant, drawn on 28040
the fund from which such money would have been paid, to the 28041
director of development, who shall deposit the warrant into the 28042
state community reinvestment area program administration fund 28043
created in division (C) of this section.28044

       (C) The director, by rule, shall establish the state's28045
application fee for applications submitted to a municipal28046
corporation or county to enter into an agreement under section28047
3735.671 of the Revised Code. In establishing the amount of the28048
fee, the director shall consider the state's cost of administering 28049
the community reinvestment area program, including the cost of 28050
reviewing the reports required under division (A) of this section. 28051
The director may change the amount of the fee at such times and in 28052
such increments as hethe director considers necessary. Any 28053
municipal corporation or county that receives an application shall 28054
collect the application fee and remit the fee for deposit in the 28055
state treasury to the credit of the state community reinvestment 28056
area program administration fund, which is hereby created. Money 28057
credited to the fund shall be used by the department of 28058
development to pay the costs of administering the community 28059
reinvestment area program, including the cost of reviewing the 28060
reports required under division (A) of this sectiontax incentive 28061
programs operating fund created in section 122.174 of the Revised 28062
Code.28063

       Sec. 3745.11.  (A) Applicants for and holders of permits,28064
licenses, variances, plan approvals, and certifications issued by28065
the director of environmental protection pursuant to Chapters28066
3704., 3734., 6109., and 6111. of the Revised Code shall pay a fee28067
to the environmental protection agency for each such issuance and28068
each application for an issuance as provided by this section. No28069
fee shall be charged for any issuance for which no application has28070
been submitted to the director.28071

       (B) Each person who is issued a permit to install prior to 28072
July 1, 2003, pursuant to rules adopted under division (F) of 28073
section 3704.03 of the Revised Code shall pay the fees specified 28074
in the following schedules:28075

       (1) Fuel-burning equipment (boilers)28076

Input capacity (maximum)   28077
(million British thermal units per hour) Permit to install 28078

Greater than 0, but less than 10 $ 200 28079
10 or more, but less than 100     400 28080
100 or more, but less than 300     800 28081
300 or more, but less than 500    1500 28082
500 or more, but less than 1000    2500 28083
1000 or more, but less than 5000  4000 28084
5000 or more  6000 28085

       Units burning exclusively natural gas, number two fuel oil, 28086
or both shall be assessed a fee that is one-half of the applicable 28087
amount established in division (F)(1) of this section.28088

       (2) Incinerators28089

Input capacity (pounds per hour) Permit to install 28090

0 to 100 $ 100 28091
101 to 500     400 28092
501 to 2000     750 28093
2001 to 20,000    1000 28094
more than 20,000    2500 28095

       (3)(a) Process28096

Process weight rate (pounds per hour) Permit to install 28097

0 to 1000 $ 200 28098
1001 to 5000     400 28099
5001 to 10,000     600 28100
10,001 to 50,000     800 28101
more than 50,000    1000 28102

       In any process where process weight rate cannot be28103
ascertained, the minimum fee shall be assessed.28104

       (b) Notwithstanding division (B)(3)(a) of this section, any 28105
person issued a permit to install pursuant to rules adopted under 28106
division (F) of section 3704.03 of the Revised Code shall pay the 28107
fees established in division (B)(3)(c) of this section for a 28108
process used in any of the following industries, as identified by 28109
the applicable four-digit standard industrial classification code 28110
according to the Standard Industrial Classification Manual 28111
published by the United States office of management and budget in 28112
the executive office of the president, 1972, as revised:28113

       1211 Bituminous coal and lignite mining;28114

       1213 Bituminous coal and lignite mining services;28115

       1411 Dimension stone;28116

       1422 Crushed and broken limestone;28117

       1427 Crushed and broken stone, not elsewhere classified;28118

       1442 Construction sand and gravel;28119

       1446 Industrial sand;28120

       3281 Cut stone and stone products;28121

       3295 Minerals and earth, ground or otherwise treated.28122

       (c) The fees established in the following schedule apply to 28123
the issuance of a permit to install pursuant to rules adopted 28124
under division (F) of section 3704.03 of the Revised Code for a 28125
process listed in division (B)(3)(b) of this section:28126

Process weight rate (pounds per hour) Permit to install 28127

0 to 1000 $ 200 28128
10,001 to 50,000   300 28129
50,001 to 100,000   400 28130
100,001 to 200,000   500 28131
200,001 to 400,000   600 28132
400,001 or more   700 28133

       (4) Storage tanks28134

Gallons (maximum useful capacity) Permit to install 28135

0 to 20,000 $ 100 28136
20,001 to 40,000   150 28137
40,001 to 100,000   200 28138
100,001 to 250,000   250 28139
250,001 to 500,000   350 28140
500,001 to 1,000,000     500 28141
1,000,001 or greater     750 28142

       (5) Gasoline/fuel dispensing facilities28143

For each gasoline/fuel dispensing Permit to install 28144
facility $ 100 28145

       (6) Dry cleaning facilities28146

For each dry cleaning facility Permit to install 28147
(includes all units at the facility) $ 100 28148

       (7) Registration status28149

For each source covered Permit to install 28150
by registration status $  75 28151

       (C)(1) Except as otherwise provided in division (C)(2) of28152
this section, beginning July 1, 1994, each person who owns or28153
operates an air contaminant source and who is required to apply28154
for and obtain a Title V permit under section 3704.036 of the28155
Revised Code shall pay the fees set forth in division (C)(1) of28156
this section. For the purposes of that division, total emissions28157
of air contaminants may be calculated using engineering28158
calculations, emissions factors, material balance calculations, or28159
performance testing procedures, as authorized by the director.28160

       The following fees shall be assessed on the total actual28161
emissions from a source in tons per year of the regulated28162
pollutants particulate matter, sulfur dioxide, nitrogen oxides,28163
organic compounds, and lead:28164

       (a) Fifteen dollars per ton on the total actual emissions of28165
each such regulated pollutant during the period July through28166
December 1993, to be collected no sooner than July 1, 1994;28167

       (b) Twenty dollars per ton on the total actual emissions of28168
each such regulated pollutant during calendar year 1994, to be28169
collected no sooner than April 15, 1995;28170

       (c) Twenty-five dollars per ton on the total actual emissions 28171
of each such regulated pollutant in calendar year 1995, and each 28172
subsequent calendar year, to be collected no sooner than the 28173
fifteenth day of April of the year next succeeding the calendar 28174
year in which the emissions occurred.28175

       The fees levied under division (C)(1) of this section do not28176
apply to that portion of the emissions of a regulated pollutant at28177
a facility that exceed four thousand tons during a calendar year.28178

       (2) The fees assessed under division (C)(1) of this section28179
are for the purpose of providing funding for the Title V permit28180
program.28181

       (3) The fees assessed under division (C)(1) of this section28182
do not apply to emissions from any electric generating unit28183
designated as a Phase I unit under Title IV of the federal Clean28184
Air Act prior to calendar year 2000. Those fees shall be assessed28185
on the emissions from such a generating unit commencing in28186
calendar year 2001 based upon the total actual emissions from the28187
generating unit during calendar year 2000 and shall continue to be28188
assessed each subsequent calendar year based on the total actual28189
emissions from the generating unit during the preceding calendar28190
year.28191

       (4) The director shall issue invoices to owners or operators28192
of air contaminant sources who are required to pay a fee assessed28193
under division (C) or (D) of this section. Any such invoice shall28194
be issued no sooner than the applicable date when the fee first28195
may be collected in a year under the applicable division, shall28196
identify the nature and amount of the fee assessed, and shall28197
indicate that the fee is required to be paid within thirty days28198
after the issuance of the invoice.28199

       (D)(1) Except as provided in division (D)(3) of this section, 28200
from January 1, 1994, through December 31, 2003, each person who 28201
owns or operates an air contaminant source; who is required to 28202
apply for a permit to operate pursuant to rules adopted under 28203
division (G), or a variance pursuant to division (H), of section 28204
3704.03 of the Revised Code; and who is not required to apply for 28205
and obtain a Title V permit under section 3704.036 of the Revised 28206
Code shall pay a single fee based upon the sum of the actual 28207
annual emissions from the facility of the regulated pollutants28208
particulate matter, sulfur dioxide, nitrogen oxides, organic 28209
compounds, and lead in accordance with the following schedule:28210

Total tons per year 28211
of regulated pollutants Annual fee 28212
emitted per facility 28213
More than 0, but less than 50    $ 75 28214
50 or more, but less than 100     300 28215
100 or more     700 28216

       (2) Except as provided in division (D)(3) of this section, 28217
beginning January 1, 2004, each person who owns or operates an air 28218
contaminant source; who is required to apply for a permit to 28219
operate pursuant to rules adopted under division (G), or a 28220
variance pursuant to division (H), of section 3704.03 of the 28221
Revised Code; and who is not required to apply for and obtain a 28222
Title V permit under section 3704.03 of the Revised Code shall pay 28223
a single fee based upon the sum of the actual annual emissions 28224
from the facility of the regulated pollutants particulate matter, 28225
sulfur dioxide, nitrogen oxides, organic compounds, and lead in 28226
accordance with the following schedule:28227

Total tons per year 28228
of regulated pollutants Annual fee 28229
emitted per facility 28230
More than 0, but less than 10    $ 100 28231
10 or more, but less than 50      200 28232
50 or more, but less than 100      300 28233
100 or more      700 28234

       (3)(a) As used in division (D) of this section, "synthetic28235
minor facility" means a facility for which one or more permits to28236
install or permits to operate have been issued for the air28237
contaminant sources at the facility that include terms and28238
conditions that lower the facility's potential to emit air28239
contaminants below the major source thresholds established in28240
rules adopted under section 3704.036 of the Revised Code.28241

       (b) Beginning January 1, 2000, through June 30, 20082010,28242
each person who owns or operates a synthetic minor facility shall28243
pay an annual fee based on the sum of the actual annual emissions28244
from the facility of particulate matter, sulfur dioxide, nitrogen28245
dioxide, organic compounds, and lead in accordance with the28246
following schedule:28247

Combined total tons 28248
per year of all regulated Annual fee 28249
pollutants emitted per facility 28250

Less than 10 $ 170 28251
10 or more, but less than 20   340 28252
20 or more, but less than 30   670 28253
30 or more, but less than 40 1,010 28254
40 or more, but less than 50 1,340 28255
50 or more, but less than 60 1,680 28256
60 or more, but less than 70 2,010 28257
70 or more, but less than 80 2,350 28258
80 or more, but less than 90 2,680 28259
90 or more, but less than 100 3,020 28260
100 or more 3,350 28261

       (4) The fees assessed under division (D)(1) of this section28262
shall be collected annually no sooner than the fifteenth day of28263
April, commencing in 1995. The fees assessed under division 28264
(D)(2) of this section shall be collected annually no sooner than 28265
the fifteenth day of April, commencing in 2005. The fees assessed 28266
under division (D)(3) of this section shall be collected no sooner 28267
than the fifteenth day of April, commencing in 2000. The fees 28268
assessed under division (D) of this section in a calendar year28269
shall be based upon the sum of the actual emissions of those28270
regulated pollutants during the preceding calendar year. For the 28271
purpose of division (D) of this section, emissions of air28272
contaminants may be calculated using engineering calculations, 28273
emission factors, material balance calculations, or performance 28274
testing procedures, as authorized by the director. The director, 28275
by rule, may require persons who are required to pay the fees 28276
assessed under division (D) of this section to pay those fees28277
biennially rather than annually.28278

       (E)(1) Consistent with the need to cover the reasonable costs 28279
of the Title V permit program, the director annually shall28280
increase the fees prescribed in division (C)(1) of this section by28281
the percentage, if any, by which the consumer price index for the28282
most recent calendar year ending before the beginning of a year28283
exceeds the consumer price index for calendar year 1989. Upon28284
calculating an increase in fees authorized by division (E)(1) of28285
this section, the director shall compile revised fee schedules for28286
the purposes of division (C)(1) of this section and shall make the28287
revised schedules available to persons required to pay the fees28288
assessed under that division and to the public.28289

       (2) For the purposes of division (E)(1) of this section:28290

       (a) The consumer price index for any year is the average of28291
the consumer price index for all urban consumers published by the28292
United States department of labor as of the close of the28293
twelve-month period ending on the thirty-first day of August of28294
that year.28295

       (b) If the 1989 consumer price index is revised, the director 28296
shall use the revision of the consumer price index that is most 28297
consistent with that for calendar year 1989.28298

       (F) Each person who is issued a permit to install pursuant to 28299
rules adopted under division (F) of section 3704.03 of the Revised 28300
Code on or after July 1, 2003, shall pay the fees specified in the 28301
following schedules:28302

       (1) Fuel-burning equipment (boilers, furnaces, or process 28303
heaters used in the process of burning fuel for the primary 28304
purpose of producing heat or power by indirect heat transfer)28305

Input capacity (maximum) 28306
(million British thermal units per hour) Permit to install 28307
Greater than 0, but less than 10    $ 200 28308
10 or more, but less than 100      400 28309
100 or more, but less than 300     1000 28310
300 or more, but less than 500     2250 28311
500 or more, but less than 1000     3750 28312
1000 or more, but less than 5000     6000 28313
5000 or more     9000 28314

       Units burning exclusively natural gas, number two fuel oil,28315
or both shall be assessed a fee that is one-half the applicable28316
amount shown in division (F)(1) of this section.28317

       (2) Combustion turbines and stationary internal combustion 28318
engines designed to generate electricity28319

Generating capacity (mega watts) Permit to install 28320
0 or more, but less than 10    $  25 28321
10 or more, but less than 25      150 28322
25 or more, but less than 50      300 28323
50 or more, but less than 100      500 28324
100 or more, but less than 250     1000 28325
250 or more     2000 28326

       (3) Incinerators28327

Input capacity (pounds per hour) Permit to install 28328
0 to 100    $ 100 28329
101 to 500      500 28330
501 to 2000     1000 28331
2001 to 20,000     1500 28332
more than 20,000     3750 28333

       (4)(a) Process28334

Process weight rate (pounds per hour) Permit to install 28335
0 to 1000    $ 200 28336
1001 to 5000      500 28337
5001 to 10,000      750 28338
10,001 to 50,000     1000 28339
more than 50,000     1250 28340

       In any process where process weight rate cannot be28341
ascertained, the minimum fee shall be assessed. A boiler, furnace, 28342
combustion turbine, stationary internal combustion engine, or 28343
process heater designed to provide direct heat or power to a 28344
process not designed to generate electricity shall be assessed a 28345
fee established in division (F)(4)(a) of this section. A 28346
combustion turbine or stationary internal combustion engine 28347
designed to generate electricity shall be assessed a fee 28348
established in division (F)(2) of this section.28349

       (b) Notwithstanding division (F)(4)(a) of this section, any28350
person issued a permit to install pursuant to rules adopted under28351
division (F) of section 3704.03 of the Revised Code shall pay the28352
fees set forth in division (F)(4)(c) of this section for a process28353
used in any of the following industries, as identified by the28354
applicable two-digit, three-digit, or four-digit standard 28355
industrial classification code according to the Standard 28356
Industrial Classification Manual published by the United States 28357
office of management and budget in the executive office of the 28358
president, 1987, as revised:28359

        Major group 10, metal mining;28360

       Major group 12, coal mining;28361

       Major group 14, mining and quarrying of nonmetallic minerals;28362

       Industry group 204, grain mill products;28363

       2873 Nitrogen fertilizers;28364

       2874 Phosphatic fertilizers;28365

       3281 Cut stone and stone products;28366

       3295 Minerals and earth, ground or otherwise treated;28367

       4221 Grain elevators (storage only);28368

       5159 Farm related raw materials;28369

       5261 Retail nurseries and lawn and garden supply stores.28370

       (c) The fees set forth in the following schedule apply to the 28371
issuance of a permit to install pursuant to rules adopted under 28372
division (F) of section 3704.03 of the Revised Code for a process 28373
identified in division (F)(4)(b) of this section:28374

Process weight rate (pounds per hour) Permit to install 28375
0 to 10,000   $  200 28376
10,001 to 50,000      400 28377
50,001 to 100,000      500 28378
100,001 to 200,000      600 28379
200,001 to 400,000      750 28380
400,001 or more      900 28381

       (5) Storage tanks28382

Gallons (maximum useful capacity) Permit to install 28383
0 to 20,000   $  100 28384
20,001 to 40,000      150 28385
40,001 to 100,000      250 28386
100,001 to 500,000      400 28387
500,001 or greater      750 28388

       (6) Gasoline/fuel dispensing facilities28389

For each gasoline/fuel 28390
dispensing facility (includes all Permit to install 28391
units at the facility)     $ 100 28392

       (7) Dry cleaning facilities28393

For each dry cleaning 28394
facility (includes all units Permit to install 28395
at the facility)     $ 100 28396

       (8) Registration status28397

For each source covered Permit to install 28398
by registration status     $  75 28399

       (G) An owner or operator who is responsible for an asbestos28400
demolition or renovation project pursuant to rules adopted under28401
section 3704.03 of the Revised Code shall pay the fees set forth28402
in the following schedule:28403

Action Fee 28404
Each notification $75 28405
Asbestos removal $3/unit 28406
Asbestos cleanup $4/cubic yard 28407

For purposes of this division, "unit" means any combination of28408
linear feet or square feet equal to fifty.28409

       (H) A person who is issued an extension of time for a permit28410
to install an air contaminant source pursuant to rules adopted28411
under division (F) of section 3704.03 of the Revised Code shall28412
pay a fee equal to one-half the fee originally assessed for the28413
permit to install under this section, except that the fee for such28414
an extension shall not exceed two hundred dollars.28415

       (I) A person who is issued a modification to a permit to28416
install an air contaminant source pursuant to rules adopted under28417
section 3704.03 of the Revised Code shall pay a fee equal to28418
one-half of the fee that would be assessed under this section to28419
obtain a permit to install the source. The fee assessed by this28420
division only applies to modifications that are initiated by the28421
owner or operator of the source and shall not exceed two thousand28422
dollars.28423

       (J) Notwithstanding division (B) or (F) of this section, a28424
person who applies for or obtains a permit to install pursuant to28425
rules adopted under division (F) of section 3704.03 of the Revised28426
Code after the date actual construction of the source began shall28427
pay a fee for the permit to install that is equal to twice the fee28428
that otherwise would be assessed under the applicable division28429
unless the applicant received authorization to begin construction28430
under division (W) of section 3704.03 of the Revised Code. This28431
division only applies to sources for which actual construction of28432
the source begins on or after July 1, 1993. The imposition or28433
payment of the fee established in this division does not preclude28434
the director from taking any administrative or judicial28435
enforcement action under this chapter, Chapter 3704., 3714.,28436
3734., or 6111. of the Revised Code, or a rule adopted under any28437
of them, in connection with a violation of rules adopted under28438
division (F) of section 3704.03 of the Revised Code.28439

       As used in this division, "actual construction of the source"28440
means the initiation of physical on-site construction activities28441
in connection with improvements to the source that are permanent28442
in nature, including, without limitation, the installation of28443
building supports and foundations and the laying of underground28444
pipework.28445

       (K) Fifty cents per ton of each fee assessed under division28446
(C) of this section on actual emissions from a source and received28447
by the environmental protection agency pursuant to that division28448
shall be deposited into the state treasury to the credit of the28449
small business assistance fund created in section 3706.19 of the28450
Revised Code. The remainder of the moneys received by the division 28451
pursuant to that division and moneys received by the agency 28452
pursuant to divisions (D), (F), (G), (H), (I), and (J) of this 28453
section shall be deposited in the state treasury to the credit of 28454
the clean air fund created in section 3704.035 of the Revised 28455
Code.28456

       (L)(1)(a) Except as otherwise provided in division (L)(1)(b)28457
or (c) of this section, a person issued a water discharge permit28458
or renewal of a water discharge permit pursuant to Chapter 6111.28459
of the Revised Code shall pay a fee based on each point source to28460
which the issuance is applicable in accordance with the following28461
schedule:28462

Design flow discharge (gallons per day) Fee  28463
0 to 1000 $  0 28464
1,001 to 5000 100 28465
5,001 to 50,000 200 28466
50,001 to 100,000 300 28467
100,001 to 300,000 525 28468
over 300,000 750 28469

       (b) Notwithstanding the fee schedule specified in division28470
(L)(1)(a) of this section, the fee for a water discharge permit28471
that is applicable to coal mining operations regulated under28472
Chapter 1513. of the Revised Code shall be two hundred fifty28473
dollars per mine.28474

       (c) Notwithstanding the fee schedule specified in division28475
(L)(1)(a) of this section, the fee for a water discharge permit28476
for a public discharger identified by I in the third character of28477
the permittee's NPDES permit number shall not exceed seven hundred28478
fifty dollars.28479

       (2) A person applying for a plan approval for a wastewater28480
treatment works pursuant to section 6111.44, 6111.45, or 6111.4628481
of the Revised Code shall pay a fee of one hundred dollars plus28482
sixty-five one-hundredths of one per cent of the estimated project28483
cost through June 30, 20082010, and one hundred dollars plus28484
two-tenths of one per cent of the estimated project cost on and28485
after July 1, 20082010, except that the total fee shall not28486
exceed fifteen thousand dollars through June 30, 20082010, and28487
five thousand dollars on and after July 1, 20082010. The fee28488
shall be paid at the time the application is submitted.28489

       (3) A person issued a modification of a water discharge28490
permit shall pay a fee equal to one-half the fee that otherwise28491
would be charged for a water discharge permit, except that the fee28492
for the modification shall not exceed four hundred dollars.28493

       (4) A person who has entered into an agreement with the28494
director under section 6111.14 of the Revised Code shall pay an28495
administrative service fee for each plan submitted under that28496
section for approval that shall not exceed the minimum amount28497
necessary to pay administrative costs directly attributable to28498
processing plan approvals. The director annually shall calculate28499
the fee and shall notify all persons who have entered into28500
agreements under that section, or who have applied for agreements,28501
of the amount of the fee.28502

       (5)(a)(i) Not later than January 30, 20062008, and January28503
30, 20072009, a person holding an NPDES discharge permit issued28504
pursuant to Chapter 6111. of the Revised Code with an average28505
daily discharge flow of five thousand gallons or more shall pay a28506
nonrefundable annual discharge fee. Any person who fails to pay28507
the fee at that time shall pay an additional amount that equals28508
ten per cent of the required annual discharge fee.28509

       (ii) The billing year for the annual discharge fee28510
established in division (L)(5)(a)(i) of this section shall consist28511
of a twelve-month period beginning on the first day of January of28512
the year preceding the date when the annual discharge fee is due.28513
In the case of an existing source that permanently ceases to28514
discharge during a billing year, the director shall reduce the28515
annual discharge fee, including the surcharge applicable to28516
certain industrial facilities pursuant to division (L)(5)(c) of28517
this section, by one-twelfth for each full month during the28518
billing year that the source was not discharging, but only if the28519
person holding the NPDES discharge permit for the source notifies28520
the director in writing, not later than the first day of October28521
of the billing year, of the circumstances causing the cessation of28522
discharge.28523

       (iii) The annual discharge fee established in division28524
(L)(5)(a)(i) of this section, except for the surcharge applicable28525
to certain industrial facilities pursuant to division (L)(5)(c) of28526
this section, shall be based upon the average daily discharge flow28527
in gallons per day calculated using first day of May through28528
thirty-first day of October flow data for the period two years28529
prior to the date on which the fee is due. In the case of NPDES28530
discharge permits for new sources, the fee shall be calculated28531
using the average daily design flow of the facility until actual28532
average daily discharge flow values are available for the time28533
period specified in division (L)(5)(a)(iii) of this section. The28534
annual discharge fee may be prorated for a new source as described28535
in division (L)(5)(a)(ii) of this section.28536

       (b) An NPDES permit holder that is a public discharger shall28537
pay the fee specified in the following schedule:28538

Average daily Fee due by 28539
discharge flow January 30, 28540
2006 2008, and 28541
January 30, 2007 2009 28542

5,000 to 49,999 $ 200 28543
50,000 to 100,000 500 28544
100,001 to 250,000 1,050 28545
250,001 to 1,000,000 2,600 28546
1,000,001 to 5,000,000 5,200 28547
5,000,001 to 10,000,000 10,350 28548
10,000,001 to 20,000,000 15,550 28549
20,000,001 to 50,000,000 25,900 28550
50,000,001 to 100,000,000 41,400 28551
100,000,001 or more 62,100 28552

       Public dischargers owning or operating two or more publicly28553
owned treatment works serving the same political subdivision, as28554
"treatment works" is defined in section 6111.01 of the Revised28555
Code, and that serve exclusively political subdivisions having a28556
population of fewer than one hundred thousand shall pay an annual28557
discharge fee under division (L)(5)(b) of this section that is28558
based on the combined average daily discharge flow of the28559
treatment works.28560

       (c) An NPDES permit holder that is an industrial discharger,28561
other than a coal mining operator identified by P in the third28562
character of the permittee's NPDES permit number, shall pay the28563
fee specified in the following schedule:28564

Average daily Fee due by 28565
discharge flow January 30, 28566
2006 2008, and 28567
January 30, 2007 2009 28568

5,000 to 49,999 $ 250 28569
50,000 to 250,000 1,200 28570
250,001 to 1,000,000 2,950 28571
1,000,001 to 5,000,000 5,850 28572
5,000,001 to 10,000,000 8,800 28573
10,000,001 to 20,000,000 11,700 28574
20,000,001 to 100,000,000 14,050 28575
100,000,001 to 250,000,000 16,400 28576
250,000,001 or more 18,700 28577

       In addition to the fee specified in the above schedule, an28578
NPDES permit holder that is an industrial discharger classified as28579
a major discharger during all or part of the annual discharge fee28580
billing year specified in division (L)(5)(a)(ii) of this section28581
shall pay a nonrefundable annual surcharge of seven thousand five28582
hundred dollars not later than January 30, 20062008, and not 28583
later than January 30, 20072009. Any person who fails to pay the28584
surcharge at that time shall pay an additional amount that equals 28585
ten per cent of the amount of the surcharge.28586

       (d) Notwithstanding divisions (L)(5)(b) and (c) of this28587
section, a public discharger identified by I in the third28588
character of the permittee's NPDES permit number and an industrial28589
discharger identified by I, J, L, V, W, X, Y, or Z in the third28590
character of the permittee's NPDES permit number shall pay a28591
nonrefundable annual discharge fee of one hundred eighty dollars28592
not later than January 30, 20062008, and not later than January28593
30, 20072009. Any person who fails to pay the fee at that time28594
shall pay an additional amount that equals ten per cent of the28595
required fee.28596

       (6) Each person obtaining a national pollutant discharge28597
elimination system general or individual permit for municipal28598
storm water discharge shall pay a nonrefundable storm water28599
discharge fee of one hundred dollars per square mile of area28600
permitted. The fee shall not exceed ten thousand dollars and shall 28601
be payable on or before January 30, 2004, and the thirtieth day of 28602
January of each year thereafter. Any person who fails to pay the 28603
fee on the date specified in division (L)(6) of this section shall 28604
pay an additional amount per year equal to ten per cent of the 28605
annual fee that is unpaid.28606

       (7) The director shall transmit all moneys collected under28607
division (L) of this section to the treasurer of state for deposit28608
into the state treasury to the credit of the surface water28609
protection fund created in section 6111.038 of the Revised Code.28610

       (8) As used in division (L) of this section:28611

       (a) "NPDES" means the federally approved national pollutant28612
discharge elimination system program for issuing, modifying,28613
revoking, reissuing, terminating, monitoring, and enforcing28614
permits and imposing and enforcing pretreatment requirements under28615
Chapter 6111. of the Revised Code and rules adopted under it.28616

       (b) "Public discharger" means any holder of an NPDES permit28617
identified by P in the second character of the NPDES permit number28618
assigned by the director.28619

       (c) "Industrial discharger" means any holder of an NPDES28620
permit identified by I in the second character of the NPDES permit28621
number assigned by the director.28622

       (d) "Major discharger" means any holder of an NPDES permit28623
classified as major by the regional administrator of the United28624
States environmental protection agency in conjunction with the28625
director.28626

       (M) Through June 30, 20082010, a person applying for a28627
license or license renewal to operate a public water system under28628
section 6109.21 of the Revised Code shall pay the appropriate fee28629
established under this division at the time of application to the28630
director. Any person who fails to pay the fee at that time shall28631
pay an additional amount that equals ten per cent of the required28632
fee. The director shall transmit all moneys collected under this28633
division to the treasurer of state for deposit into the drinking28634
water protection fund created in section 6109.30 of the Revised28635
Code.28636

        Except as provided in division (M)(4) of this section, fees 28637
required under this division shall be calculated and paid in 28638
accordance with the following schedule:28639

       (1) For the initial license required under division (A)(1) of 28640
section 6109.21 of the Revised Code for any public water system28641
that is a community water system as defined in section 6109.01 of28642
the Revised Code, and for each license renewal required for such a28643
system prior to January 31, 20082010, the fee is:28644

Number of service connections Fee amount 28645
Not more than 49    $ 112 28646
50 to 99      176 28647

Number of service connections Average cost per connection 28648
100 to 2,499 $ 1.92 28649
2,500 to 4,999   1.48 28650
5,000 to 7,499   1.42 28651
7,500 to 9,999   1.34 28652
10,000 to 14,999   1.16 28653
15,000 to 24,999   1.10 28654
25,000 to 49,999   1.04 28655
50,000 to 99,999   .92 28656
100,000 to 149,999   .86 28657
150,000 to 199,999   .80 28658
200,000 or more   .76 28659

       A public water system may determine how it will pay the total28660
amount of the fee calculated under division (M)(1) of this28661
section, including the assessment of additional user fees that may28662
be assessed on a volumetric basis.28663

       As used in division (M)(1) of this section, "service28664
connection" means the number of active or inactive pipes,28665
goosenecks, pigtails, and any other fittings connecting a water28666
main to any building outlet.28667

       (2) For the initial license required under division (A)(2) of 28668
section 6109.21 of the Revised Code for any public water system28669
that is not a community water system and serves a nontransient28670
population, and for each license renewal required for such a28671
system prior to January 31, 20082010, the fee is:28672

Population served Fee amount 28673
Fewer than 150 $    112 28674
150 to 299      176 28675
300 to 749      384 28676
750 to 1,499      628 28677
1,500 to 2,999    1,268 28678
3,000 to 7,499    2,816 28679
7,500 to 14,999    5,510 28680
15,000 to 22,499    9,048 28681
22,500 to 29,999   12,430 28682
30,000 or more   16,820 28683

       As used in division (M)(2) of this section, "population28684
served" means the total number of individuals receiving water from28685
the water supply during a twenty-four-hour period for at least28686
sixty days during any calendar year. In the absence of a specific28687
population count, that number shall be calculated at the rate of28688
three individuals per service connection.28689

       (3) For the initial license required under division (A)(3) of 28690
section 6109.21 of the Revised Code for any public water system28691
that is not a community water system and serves a transient28692
population, and for each license renewal required for such a28693
system prior to January 31, 20082010, the fee is:28694

  Number of wells supplying system Fee amount 28695
1 $112 28696
2  112 28697
3  176 28698
4  278 28699
5  568 28700
System designated as using a 28701
surface water source  792 28702

       As used in division (M)(3) of this section, "number of wells28703
supplying system" means those wells that are physically connected28704
to the plumbing system serving the public water system.28705

       (4) A public water system designated as using a surface water 28706
source shall pay a fee of seven hundred ninety-two dollars or the 28707
amount calculated under division (M)(1) or (2) of this section, 28708
whichever is greater.28709

       (N)(1) A person applying for a plan approval for a public28710
water supply system under section 6109.07 of the Revised Code28711
shall pay a fee of one hundred fifty dollars plus thirty-five 28712
hundredths of one per cent of the estimated project cost, except 28713
that the total fee shall not exceed twenty thousand dollars 28714
through June 30, 20082010, and fifteen thousand dollars on and 28715
after July 1, 20082010. The fee shall be paid at the time the 28716
application is submitted.28717

       (2) A person who has entered into an agreement with the28718
director under division (A)(2) of section 6109.07 of the Revised28719
Code shall pay an administrative service fee for each plan28720
submitted under that section for approval that shall not exceed28721
the minimum amount necessary to pay administrative costs directly28722
attributable to processing plan approvals. The director annually28723
shall calculate the fee and shall notify all persons that have28724
entered into agreements under that division, or who have applied28725
for agreements, of the amount of the fee.28726

       (3) Through June 30, 20082010, the following fee, on a per28727
survey basis, shall be charged any person for services rendered by28728
the state in the evaluation of laboratories and laboratory28729
personnel for compliance with accepted analytical techniques and28730
procedures established pursuant to Chapter 6109. of the Revised28731
Code for determining the qualitative characteristics of water:28732

microbiological 28733
MMO-MUG $2,000 28734
MF 2,100 28735
MMO-MUG and MF 2,550 28736
organic chemical 5,400 28737
trace metals 5,400 28738
standard chemistry 2,800 28739
limited chemistry 1,550 28740

       On and after July 1, 20082010, the following fee, on a per28741
survey basis, shall be charged any such person:28742

microbiological $ 1,650 28743
organic chemicals 3,500 28744
trace metals 3,500 28745
standard chemistry 1,800 28746
limited chemistry 1,000 28747

The fee for those services shall be paid at the time the request28748
for the survey is made. Through June 30, 2008 2010, an individual28749
laboratory shall not be assessed a fee under this division more28750
than once in any three-year period unless the person requests the 28751
addition of analytical methods or analysts, in which case the 28752
person shall pay eighteen hundred dollars for each additional 28753
survey requested.28754

       As used in division (N)(3) of this section:28755

        (a) "MF" means microfiltration.28756

        (b) "MMO" means minimal medium ONPG.28757

        (c) "MUG" means 4-methylumbelliferyl-beta-D-glucuronide.28758

        (d) "ONPG" means o-nitrophenyl-beta-D-galactopyranoside.28759

       The director shall transmit all moneys collected under this28760
division to the treasurer of state for deposit into the drinking28761
water protection fund created in section 6109.30 of the Revised28762
Code.28763

        (O) Any person applying to the director for examination for 28764
certification as an operator of a water supply system or 28765
wastewater system under Chapter 6109. or 6111. of the Revised 28766
Code, at the time the application is submitted, shall pay an 28767
application fee of forty-five dollars through November 30, 200828768
2010, and twenty-five dollars on and after December 1, 20082010. 28769
Upon approval from the director that the applicant is eligible to 28770
take the examination therefor, the applicant shall pay a fee in 28771
accordance with the following schedule through November 30, 200828772
2010:28773

Class A operator $35 28774
Class I operator  60 28775
Class II operator  75 28776
Class III operator  85 28777
Class IV operator  100 28778

       On and after December 1, 20082010, the applicant shall pay a 28779
fee in accordance with the following schedule:28780

Class A operator $25 28781
Class I operator $45 28782
Class II operator  55 28783
Class III operator  65 28784
Class IV operator  75 28785

       A person shall pay a biennial certification renewal fee for 28786
each applicable class of certification in accordance with the 28787
following schedule:28788

Class A operator $25 28789
Class I operator  35 28790
Class II operator  45 28791
Class III operator  55 28792
Class IV operator  65 28793

        If a certification renewal fee is received by the director 28794
more than thirty days, but not more than one year after the 28795
expiration date of the certification, the person shall pay a 28796
certification renewal fee in accordance with the following 28797
schedule:28798

Class A operator $45 28799
Class I operator  55 28800
Class II operator  65 28801
Class III operator  75 28802
Class IV operator  85 28803

       A person who requests a replacement certificate shall pay a 28804
fee of twenty-five dollars at the time the request is made.28805

       The director shall transmit all moneys collected under this28806
division to the treasurer of state for deposit into the drinking28807
water protection fund created in section 6109.30 of the Revised28808
Code.28809

       (P) Any person submitting an application for an industrial 28810
water pollution control certificate under section 6111.31 of the 28811
Revised Code, as that section existed before its repeal by H.B. 95 28812
of the 125th general assembly, shall pay a nonrefundable fee of 28813
five hundred dollars at the time the application is submitted. The 28814
director shall transmit all moneys collected under this division 28815
to the treasurer of state for deposit into the surface water 28816
protection fund created in section 6111.038 of the Revised Code. A 28817
person paying a certificate fee under this division shall not pay 28818
an application fee under division (S)(1) of this section. On and 28819
after June 26, 2003, persons shall file such applications and pay 28820
the fee as required under sections 5709.20 to 5709.27 of the 28821
Revised Code, and proceeds from the fee shall be credited as 28822
provided in section 5709.212 of the Revised Code.28823

       (Q) Except as otherwise provided in division (R) of this28824
section, a person issued a permit by the director for a new solid28825
waste disposal facility other than an incineration or composting28826
facility, a new infectious waste treatment facility other than an28827
incineration facility, or a modification of such an existing28828
facility that includes an increase in the total disposal or28829
treatment capacity of the facility pursuant to Chapter 3734. of28830
the Revised Code shall pay a fee of ten dollars per thousand cubic28831
yards of disposal or treatment capacity, or one thousand dollars,28832
whichever is greater, except that the total fee for any such28833
permit shall not exceed eighty thousand dollars. A person issued a 28834
modification of a permit for a solid waste disposal facility or an 28835
infectious waste treatment facility that does not involve an28836
increase in the total disposal or treatment capacity of the28837
facility shall pay a fee of one thousand dollars. A person issued28838
a permit to install a new, or modify an existing, solid waste28839
transfer facility under that chapter shall pay a fee of two28840
thousand five hundred dollars. A person issued a permit to install 28841
a new or to modify an existing solid waste incineration or28842
composting facility, or an existing infectious waste treatment28843
facility using incineration as its principal method of treatment,28844
under that chapter shall pay a fee of one thousand dollars. The28845
increases in the permit fees under this division resulting from28846
the amendments made by Amended Substitute House Bill 592 of the28847
117th general assembly do not apply to any person who submitted an28848
application for a permit to install a new, or modify an existing,28849
solid waste disposal facility under that chapter prior to28850
September 1, 1987; any such person shall pay the permit fee28851
established in this division as it existed prior to June 24, 1988.28852
In addition to the applicable permit fee under this division, a28853
person issued a permit to install or modify a solid waste facility28854
or an infectious waste treatment facility under that chapter who28855
fails to pay the permit fee to the director in compliance with28856
division (V) of this section shall pay an additional ten per cent28857
of the amount of the fee for each week that the permit fee is28858
late.28859

       Permit and late payment fees paid to the director under this28860
division shall be credited to the general revenue fund.28861

       (R)(1) A person issued a registration certificate for a scrap 28862
tire collection facility under section 3734.75 of the Revised Code 28863
shall pay a fee of two hundred dollars, except that if the 28864
facility is owned or operated by a motor vehicle salvage dealer 28865
licensed under Chapter 4738. of the Revised Code, the person shall 28866
pay a fee of twenty-five dollars.28867

       (2) A person issued a registration certificate for a new28868
scrap tire storage facility under section 3734.76 of the Revised28869
Code shall pay a fee of three hundred dollars, except that if the28870
facility is owned or operated by a motor vehicle salvage dealer28871
licensed under Chapter 4738. of the Revised Code, the person shall28872
pay a fee of twenty-five dollars.28873

       (3) A person issued a permit for a scrap tire storage28874
facility under section 3734.76 of the Revised Code shall pay a fee28875
of one thousand dollars, except that if the facility is owned or28876
operated by a motor vehicle salvage dealer licensed under Chapter28877
4738. of the Revised Code, the person shall pay a fee of fifty28878
dollars.28879

       (4) A person issued a permit for a scrap tire monocell or28880
monofill facility under section 3734.77 of the Revised Code shall28881
pay a fee of ten dollars per thousand cubic yards of disposal28882
capacity or one thousand dollars, whichever is greater, except28883
that the total fee for any such permit shall not exceed eighty28884
thousand dollars.28885

       (5) A person issued a registration certificate for a scrap28886
tire recovery facility under section 3734.78 of the Revised Code28887
shall pay a fee of one hundred dollars.28888

       (6) A person issued a permit for a scrap tire recovery28889
facility under section 3734.78 of the Revised Code shall pay a fee28890
of one thousand dollars.28891

       (7) In addition to the applicable registration certificate or 28892
permit fee under divisions (R)(1) to (6) of this section, a person 28893
issued a registration certificate or permit for any such scrap 28894
tire facility who fails to pay the registration certificate or 28895
permit fee to the director in compliance with division (V) of this 28896
section shall pay an additional ten per cent of the amount of the 28897
fee for each week that the fee is late.28898

       (8) The registration certificate, permit, and late payment28899
fees paid to the director under divisions (R)(1) to (7) of this28900
section shall be credited to the scrap tire management fund28901
created in section 3734.82 of the Revised Code.28902

       (S)(1) Except as provided by divisions (L), (M), (N), (O),28903
(P), and (S)(2) of this section, division (A)(2) of section28904
3734.05 of the Revised Code, section 3734.79 of the Revised Code,28905
and rules adopted under division (T)(1) of this section, any28906
person applying for a registration certificate under section28907
3734.75, 3734.76, or 3734.78 of the Revised Code or a permit,28908
variance, or plan approval under Chapter 3734. of the Revised Code28909
shall pay a nonrefundable fee of fifteen dollars at the time the28910
application is submitted.28911

       Except as otherwise provided, any person applying for a28912
permit, variance, or plan approval under Chapter 6109. or 6111. of28913
the Revised Code shall pay a nonrefundable fee of one hundred28914
dollars at the time the application is submitted through June 30, 28915
20082010, and a nonrefundable fee of fifteen dollars at the time28916
the application is submitted on and after July 1, 20082010.28917
Through June 30, 20082010, any person applying for a national28918
pollutant discharge elimination system permit under Chapter 6111.28919
of the Revised Code shall pay a nonrefundable fee of two hundred28920
dollars at the time of application for the permit. On and after28921
July 1, 20082010, such a person shall pay a nonrefundable fee of28922
fifteen dollars at the time of application.28923

       In addition to the application fee established under division28924
(S)(1) of this section, any person applying for a national28925
pollutant discharge elimination system general storm water28926
construction permit shall pay a nonrefundable fee of twenty28927
dollars per acre for each acre that is permitted above five acres28928
at the time the application is submitted. However, the per acreage 28929
fee shall not exceed three hundred dollars. In addition, any 28930
person applying for a national pollutant discharge elimination28931
system general storm water industrial permit shall pay a28932
nonrefundable fee of one hundred fifty dollars at the time the28933
application is submitted.28934

       The director shall transmit all moneys collected under28935
division (S)(1) of this section pursuant to Chapter 6109. of the28936
Revised Code to the treasurer of state for deposit into the28937
drinking water protection fund created in section 6109.30 of the28938
Revised Code.28939

       The director shall transmit all moneys collected under28940
division (S)(1) of this section pursuant to Chapter 6111. of the28941
Revised Code to the treasurer of state for deposit into the28942
surface water protection fund created in section 6111.038 of the28943
Revised Code.28944

       If a registration certificate is issued under section28945
3734.75, 3734.76, or 3734.78 of the Revised Code, the amount of28946
the application fee paid shall be deducted from the amount of the28947
registration certificate fee due under division (R)(1), (2), or28948
(5) of this section, as applicable.28949

       If a person submits an electronic application for a 28950
registration certificate, permit, variance, or plan approval for 28951
which an application fee is established under division (S)(1) of 28952
this section, the person shall pay the applicable application fee 28953
as expeditiously as possible after the submission of the 28954
electronic application. An application for a registration 28955
certificate, permit, variance, or plan approval for which an 28956
application fee is established under division (S)(1) of this 28957
section shall not be reviewed or processed until the applicable 28958
application fee, and any other fees established under this 28959
division, are paid.28960

       (2) Division (S)(1) of this section does not apply to an28961
application for a registration certificate for a scrap tire28962
collection or storage facility submitted under section 3734.75 or28963
3734.76 of the Revised Code, as applicable, if the owner or28964
operator of the facility or proposed facility is a motor vehicle28965
salvage dealer licensed under Chapter 4738. of the Revised Code.28966

       (T) The director may adopt, amend, and rescind rules in28967
accordance with Chapter 119. of the Revised Code that do all of28968
the following:28969

       (1) Prescribe fees to be paid by applicants for and holders28970
of any license, permit, variance, plan approval, or certification28971
required or authorized by Chapter 3704., 3734., 6109., or 6111. of28972
the Revised Code that are not specifically established in this28973
section. The fees shall be designed to defray the cost of28974
processing, issuing, revoking, modifying, denying, and enforcing28975
the licenses, permits, variances, plan approvals, and28976
certifications.28977

       The director shall transmit all moneys collected under rules28978
adopted under division (T)(1) of this section pursuant to Chapter28979
6109. of the Revised Code to the treasurer of state for deposit28980
into the drinking water protection fund created in section 6109.3028981
of the Revised Code.28982

       The director shall transmit all moneys collected under rules28983
adopted under division (T)(1) of this section pursuant to Chapter28984
6111. of the Revised Code to the treasurer of state for deposit28985
into the surface water protection fund created in section 6111.03828986
of the Revised Code.28987

       (2) Exempt the state and political subdivisions thereof,28988
including education facilities or medical facilities owned by the28989
state or a political subdivision, or any person exempted from28990
taxation by section 5709.07 or 5709.12 of the Revised Code, from28991
any fee required by this section;28992

       (3) Provide for the waiver of any fee, or any part thereof,28993
otherwise required by this section whenever the director28994
determines that the imposition of the fee would constitute an28995
unreasonable cost of doing business for any applicant, class of28996
applicants, or other person subject to the fee;28997

       (4) Prescribe measures that the director considers necessary28998
to carry out this section.28999

       (U) When the director reasonably demonstrates that the direct 29000
cost to the state associated with the issuance of a permit to 29001
install, license, variance, plan approval, or certification29002
exceeds the fee for the issuance or review specified by this29003
section, the director may condition the issuance or review on the29004
payment by the person receiving the issuance or review of, in29005
addition to the fee specified by this section, the amount, or any29006
portion thereof, in excess of the fee specified under this29007
section. The director shall not so condition issuances for which29008
fees are prescribed in divisions (B)(7) and (L)(1)(b) of this29009
section.29010

       (V) Except as provided in divisions (L), (M), and (P) of this 29011
section or unless otherwise prescribed by a rule of the director 29012
adopted pursuant to Chapter 119. of the Revised Code, all fees 29013
required by this section are payable within thirty days after the 29014
issuance of an invoice for the fee by the director or the29015
effective date of the issuance of the license, permit, variance,29016
plan approval, or certification. If payment is late, the person29017
responsible for payment of the fee shall pay an additional ten per29018
cent of the amount due for each month that it is late.29019

       (W) As used in this section, "fuel-burning equipment,"29020
"fuel-burning equipment input capacity," "incinerator,"29021
"incinerator input capacity," "process," "process weight rate,"29022
"storage tank," "gasoline dispensing facility," "dry cleaning29023
facility," "design flow discharge," and "new source treatment29024
works" have the meanings ascribed to those terms by applicable29025
rules or standards adopted by the director under Chapter 3704. or29026
6111. of the Revised Code.29027

       (X) As used in divisions (B), (C), (D), (E), (F), (H), (I),29028
and (J) of this section, and in any other provision of this29029
section pertaining to fees paid pursuant to Chapter 3704. of the29030
Revised Code:29031

       (1) "Facility," "federal Clean Air Act," "person," and "Title29032
V permit" have the same meanings as in section 3704.01 of the29033
Revised Code.29034

       (2) "Title V permit program" means the following activities29035
as necessary to meet the requirements of Title V of the federal29036
Clean Air Act and 40 C.F.R. part 70, including at least:29037

       (a) Preparing and adopting, if applicable, generally29038
applicable rules or guidance regarding the permit program or its29039
implementation or enforcement;29040

       (b) Reviewing and acting on any application for a Title V29041
permit, permit revision, or permit renewal, including the29042
development of an applicable requirement as part of the processing29043
of a permit, permit revision, or permit renewal;29044

       (c) Administering the permit program, including the29045
supporting and tracking of permit applications, compliance29046
certification, and related data entry;29047

       (d) Determining which sources are subject to the program and29048
implementing and enforcing the terms of any Title V permit, not29049
including any court actions or other formal enforcement actions;29050

       (e) Emission and ambient monitoring;29051

       (f) Modeling, analyses, or demonstrations;29052

       (g) Preparing inventories and tracking emissions;29053

       (h) Providing direct and indirect support to small business29054
stationary sources to determine and meet their obligations under29055
the federal Clean Air Act pursuant to the small business29056
stationary source technical and environmental compliance29057
assistance program required by section 507 of that act and29058
established in sections 3704.18, 3704.19, and 3706.19 of the29059
Revised Code.29060

       (Y)(1) Except as provided in divisions (Y)(2), (3), and (4)29061
of this section, each sewage sludge facility shall pay a29062
nonrefundable annual sludge fee equal to three dollars and fifty29063
cents per dry ton of sewage sludge, including the dry tons of29064
sewage sludge in materials derived from sewage sludge, that the29065
sewage sludge facility treats or disposes of in this state. The29066
annual volume of sewage sludge treated or disposed of by a sewage29067
sludge facility shall be calculated using the first day of January29068
through the thirty-first day of December of the calendar year29069
preceding the date on which payment of the fee is due.29070

       (2)(a) Except as provided in division (Y)(2)(d) of this29071
section, each sewage sludge facility shall pay a minimum annual29072
sewage sludge fee of one hundred dollars.29073

       (b) The annual sludge fee required to be paid by a sewage29074
sludge facility that treats or disposes of exceptional quality29075
sludge in this state shall be thirty-five per cent less per dry29076
ton of exceptional quality sludge than the fee assessed under29077
division (Y)(1) of this section, subject to the following29078
exceptions:29079

       (i) Except as provided in division (Y)(2)(d) of this section, 29080
a sewage sludge facility that treats or disposes of exceptional 29081
quality sludge shall pay a minimum annual sewage sludge fee of one 29082
hundred dollars.29083

       (ii) A sewage sludge facility that treats or disposes of29084
exceptional quality sludge shall not be required to pay the annual29085
sludge fee for treatment or disposal in this state of exceptional29086
quality sludge generated outside of this state and contained in29087
bags or other containers not greater than one hundred pounds in29088
capacity.29089

       A thirty-five per cent reduction for exceptional quality29090
sludge applies to the maximum annual fees established under29091
division (Y)(3) of this section.29092

       (c) A sewage sludge facility that transfers sewage sludge to29093
another sewage sludge facility in this state for further treatment29094
prior to disposal in this state shall not be required to pay the29095
annual sludge fee for the tons of sewage sludge that have been29096
transferred. In such a case, the sewage sludge facility that29097
disposes of the sewage sludge shall pay the annual sludge fee.29098
However, the facility transferring the sewage sludge shall pay the29099
one-hundred-dollar minimum fee required under division (Y)(2)(a)29100
of this section.29101

       In the case of a sewage sludge facility that treats sewage29102
sludge in this state and transfers it out of this state to another29103
entity for disposal, the sewage sludge facility in this state29104
shall be required to pay the annual sludge fee for the tons of29105
sewage sludge that have been transferred.29106

       (d) A sewage sludge facility that generates sewage sludge29107
resulting from an average daily discharge flow of less than five29108
thousand gallons per day is not subject to the fees assessed under29109
division (Y) of this section.29110

       (3) No sewage sludge facility required to pay the annual29111
sludge fee shall be required to pay more than the maximum annual29112
fee for each disposal method that the sewage sludge facility uses.29113
The maximum annual fee does not include the additional amount that29114
may be charged under division (Y)(5) of this section for late29115
payment of the annual sludge fee. The maximum annual fee for the29116
following methods of disposal of sewage sludge is as follows:29117

       (a) Incineration: five thousand dollars;29118

       (b) Preexisting land reclamation project or disposal in a29119
landfill: five thousand dollars;29120

       (c) Land application, land reclamation, surface disposal, or29121
any other disposal method not specified in division (Y)(3)(a) or29122
(b) of this section: twenty thousand dollars.29123

       (4)(a) In the case of an entity that generates sewage sludge29124
or a sewage sludge facility that treats sewage sludge and29125
transfers the sewage sludge to an incineration facility for29126
disposal, the incineration facility, and not the entity generating29127
the sewage sludge or the sewage sludge facility treating the29128
sewage sludge, shall pay the annual sludge fee for the tons of29129
sewage sludge that are transferred. However, the entity or29130
facility generating or treating the sewage sludge shall pay the29131
one-hundred-dollar minimum fee required under division (Y)(2)(a)29132
of this section.29133

       (b) In the case of an entity that generates sewage sludge and 29134
transfers the sewage sludge to a landfill for disposal or to a29135
sewage sludge facility for land reclamation or surface disposal,29136
the entity generating the sewage sludge, and not the landfill or29137
sewage sludge facility, shall pay the annual sludge fee for the29138
tons of sewage sludge that are transferred.29139

       (5) Not later than the first day of April of the calendar29140
year following March 17, 2000, and each first day of April29141
thereafter, the director shall issue invoices to persons who are29142
required to pay the annual sludge fee. The invoice shall identify29143
the nature and amount of the annual sludge fee assessed and state29144
the first day of May as the deadline for receipt by the director29145
of objections regarding the amount of the fee and the first day of29146
July as the deadline for payment of the fee.29147

       Not later than the first day of May following receipt of an29148
invoice, a person required to pay the annual sludge fee may submit29149
objections to the director concerning the accuracy of information29150
regarding the number of dry tons of sewage sludge used to29151
calculate the amount of the annual sludge fee or regarding whether29152
the sewage sludge qualifies for the exceptional quality sludge29153
discount established in division (Y)(2)(b) of this section. The29154
director may consider the objections and adjust the amount of the29155
fee to ensure that it is accurate.29156

       If the director does not adjust the amount of the annual29157
sludge fee in response to a person's objections, the person may29158
appeal the director's determination in accordance with Chapter29159
119. of the Revised Code.29160

       Not later than the first day of June, the director shall29161
notify the objecting person regarding whether the director has29162
found the objections to be valid and the reasons for the finding.29163
If the director finds the objections to be valid and adjusts the29164
amount of the annual sludge fee accordingly, the director shall29165
issue with the notification a new invoice to the person29166
identifying the amount of the annual sludge fee assessed and29167
stating the first day of July as the deadline for payment.29168

       Not later than the first day of July, any person who is29169
required to do so shall pay the annual sludge fee. Any person who29170
is required to pay the fee, but who fails to do so on or before29171
that date shall pay an additional amount that equals ten per cent29172
of the required annual sludge fee.29173

       (6) The director shall transmit all moneys collected under29174
division (Y) of this section to the treasurer of state for deposit29175
into the surface water protection fund created in section 6111.03829176
of the Revised Code. The moneys shall be used to defray the costs29177
of administering and enforcing provisions in Chapter 6111. of the29178
Revised Code and rules adopted under it that govern the use,29179
storage, treatment, or disposal of sewage sludge.29180

       (7) Beginning in fiscal year 2001, and every two years29181
thereafter, the director shall review the total amount of moneys29182
generated by the annual sludge fees to determine if that amount 29183
exceeded six hundred thousand dollars in either of the two29184
preceding fiscal years. If the total amount of moneys in the fund29185
exceeded six hundred thousand dollars in either fiscal year, the29186
director, after review of the fee structure and consultation with29187
affected persons, shall issue an order reducing the amount of the29188
fees levied under division (Y) of this section so that the29189
estimated amount of moneys resulting from the fees will not exceed29190
six hundred thousand dollars in any fiscal year.29191

       If, upon review of the fees under division (Y)(7) of this29192
section and after the fees have been reduced, the director29193
determines that the total amount of moneys collected and29194
accumulated is less than six hundred thousand dollars, the29195
director, after review of the fee structure and consultation with29196
affected persons, may issue an order increasing the amount of the29197
fees levied under division (Y) of this section so that the29198
estimated amount of moneys resulting from the fees will be29199
approximately six hundred thousand dollars. Fees shall never be29200
increased to an amount exceeding the amount specified in division29201
(Y)(7) of this section.29202

       Notwithstanding section 119.06 of the Revised Code, the29203
director may issue an order under division (Y)(7) of this section29204
without the necessity to hold an adjudicatory hearing in29205
connection with the order. The issuance of an order under this29206
division is not an act or action for purposes of section 3745.0429207
of the Revised Code.29208

       (8) As used in division (Y) of this section:29209

       (a) "Sewage sludge facility" means an entity that performs29210
treatment on or is responsible for the disposal of sewage sludge.29211

       (b) "Sewage sludge" means a solid, semi-solid, or liquid29212
residue generated during the treatment of domestic sewage in a29213
treatment works as defined in section 6111.01 of the Revised Code.29214
"Sewage sludge" includes, but is not limited to, scum or solids29215
removed in primary, secondary, or advanced wastewater treatment29216
processes. "Sewage sludge" does not include ash generated during29217
the firing of sewage sludge in a sewage sludge incinerator, grit29218
and screenings generated during preliminary treatment of domestic29219
sewage in a treatment works, animal manure, residue generated29220
during treatment of animal manure, or domestic septage.29221

       (c) "Exceptional quality sludge" means sewage sludge that29222
meets all of the following qualifications:29223

       (i) Satisfies the class A pathogen standards in 40 C.F.R.29224
503.32(a);29225

       (ii) Satisfies one of the vector attraction reduction29226
requirements in 40 C.F.R. 503.33(b)(1) to (b)(8);29227

       (iii) Does not exceed the ceiling concentration limitations29228
for metals listed in table one of 40 C.F.R. 503.13;29229

       (iv) Does not exceed the concentration limitations for metals 29230
listed in table three of 40 C.F.R. 503.13.29231

       (d) "Treatment" means the preparation of sewage sludge for29232
final use or disposal and includes, but is not limited to,29233
thickening, stabilization, and dewatering of sewage sludge.29234

       (e) "Disposal" means the final use of sewage sludge,29235
including, but not limited to, land application, land reclamation,29236
surface disposal, or disposal in a landfill or an incinerator.29237

       (f) "Land application" means the spraying or spreading of29238
sewage sludge onto the land surface, the injection of sewage29239
sludge below the land surface, or the incorporation of sewage29240
sludge into the soil for the purposes of conditioning the soil or29241
fertilizing crops or vegetation grown in the soil.29242

       (g) "Land reclamation" means the returning of disturbed land29243
to productive use.29244

       (h) "Surface disposal" means the placement of sludge on an29245
area of land for disposal, including, but not limited to,29246
monofills, surface impoundments, lagoons, waste piles, or29247
dedicated disposal sites.29248

       (i) "Incinerator" means an entity that disposes of sewage29249
sludge through the combustion of organic matter and inorganic29250
matter in sewage sludge by high temperatures in an enclosed29251
device.29252

       (j) "Incineration facility" includes all incinerators owned29253
or operated by the same entity and located on a contiguous tract29254
of land. Areas of land are considered to be contiguous even if29255
they are separated by a public road or highway.29256

       (k) "Annual sludge fee" means the fee assessed under division29257
(Y)(1) of this section.29258

       (l) "Landfill" means a sanitary landfill facility, as defined29259
in rules adopted under section 3734.02 of the Revised Code, that29260
is licensed under section 3734.05 of the Revised Code.29261

       (m) "Preexisting land reclamation project" means a29262
property-specific land reclamation project that has been in29263
continuous operation for not less than five years pursuant to29264
approval of the activity by the director and includes the29265
implementation of a community outreach program concerning the29266
activity.29267

       Sec. 3769.087.  (A) In addition to the commission of eighteen29268
per cent retained by each permit holder as provided in section29269
3769.08 of the Revised Code, each permit holder shall retain an29270
additional amount equal to four per cent of the total of all29271
moneys wagered on each racing day on all wagering pools other than 29272
win, place, and show, of which amount retained an amount equal to 29273
three per cent of the total of all moneys wagered on each racing 29274
day on those pools shall be paid by check, draft, or money order 29275
to the tax commissioner, as a tax. Subject to the restrictions29276
contained in divisions (B), (C), and (M) of section 3769.08 of the 29277
Revised Code, from such additional moneys paid to the tax 29278
commissioner:29279

       (1) Four-sixths shall be allocated to fund distribution as29280
provided in division (M) of section 3769.08 of the Revised Code.29281

       (2) One-twelfth shall be paid into the Ohio fairs fund29282
created by section 3769.082 of the Revised Code.29283

       (3) One-twelfth of the additional moneys paid to the tax29284
commissioner by thoroughbred racing permit holders shall be paid29285
into the Ohio thoroughbred race fund created by section 3769.08329286
of the Revised Code.29287

       (4) One-twelfth of the additional moneys paid to the tax29288
commissioner by harness horse racing permit holders shall be paid29289
to the Ohio standardbred development fund created by section29290
3769.085 of the Revised Code.29291

       (5) One-twelfth of the additional moneys paid to the tax29292
commissioner by quarter horse racing permit holders shall be paid29293
to the Ohio quarter horse development fund created by section29294
3769.086 of the Revised Code.29295

       (6) One-sixth shall be paid into the state racing commission29296
operating fund created by section 3769.03 of the Revised Code.29297

       The remaining one per cent that is retained of the total of29298
all moneys wagered on each racing day on all pools other than win,29299
place, and show, shall be retained by racing permit holders, and,29300
except as otherwise provided in section 3769.089 of the Revised29301
Code, racing permit holders shall use one-half for purse money and29302
retain one-half.29303

       (B) In addition to the commission of eighteen per cent29304
retained by each permit holder as provided in section 3769.08 of29305
the Revised Code and the additional amount retained by each permit29306
holder as provided in division (A) of this section, each permit29307
holder shall retain an additional amount equal to one-half of one 29308
per cent of the total of all moneys wagered on each racing day on29309
all wagering pools other than win, place, and show. Except as 29310
provided in division (C) of this section, from theThe additional 29311
amount retained under this division, each permit holder shall 29312
retain an amount equal to one-quarter of one per cent of the total 29313
of all moneys wagered on each racing day on all pools other than 29314
win, place, and show and shall pay that amountshall be paid by29315
check, draft, or money order to the tax commissioner, as a tax.29316
The tax commissioner shall pay the amount of the tax received29317
under this division to the state racing commission operating fund29318
created by section 3769.03 of the Revised Code.29319

        Except as provided in division (C) of this section, the 29320
remaining one-quarter of one per cent that is retained from the 29321
total of all moneys wagered on each racing day on all pools other 29322
than win, place, and show shall be retained by the permit holder, 29323
and the permit holder shall use one-half for purse money and 29324
retain one-half.29325

       (C) During the period commencing on July 1, 2006, and ending 29326
on and including June 30, 2007, the additional amount retained by 29327
each permit holder under division (B) of this section shall be 29328
paid by check, draft, or money order to the tax commissioner, as a 29329
tax. The tax commissioner shall pay the amount of the tax received 29330
under this division to the state racing commission operating fund 29331
created by section 3769.03 of the Revised Code.29332

       Sec. 3770.03.  (A) The state lottery commission shall29333
promulgate rules under which a statewide lottery may be conducted. 29334
The rules shall be promulgated pursuant to Chapter 119. of the29335
Revised Code, except that instant game rules shall be promulgated29336
pursuant to section 111.15 of the Revised Code but are not subject29337
to division (D) of that section. Subjects covered in these rules29338
shall include, but need not be limited to, the following:29339

       (1) The type of lottery to be conducted;29340

       (2) The prices of tickets in the lottery;29341

       (3) The number, nature, and value of prize awards, the manner 29342
and frequency of prize drawings, and the manner in which prizes 29343
shall be awarded to holders of winning tickets. No rule shall 29344
authorize drawings on a Sunday for any lottery game unless the 29345
rule is approved by an executive order of the governor.29346

       (B) The commission shall promulgate rules, in addition to29347
those described in division (A) of this section, pursuant to29348
Chapter 119. of the Revised Code under which a statewide lottery29349
and statewide joint lottery games may be conducted. Subjects29350
covered in these rules shall include, but not be limited to, the29351
following:29352

       (1) The locations at which lottery tickets may be sold and29353
the manner in which they are to be sold. These rules may authorize29354
the sale of lottery tickets by commission personnel or other 29355
licensed individuals from traveling show wagons at the state fair, 29356
and at any other expositions the director of the commission29357
considers acceptable. These rules shall prohibit commission29358
personnel or other licensed individuals from soliciting from an29359
exposition the right to sell lottery tickets at that exposition,29360
but shall allow commission personnel or other licensed individuals29361
to sell lottery tickets at an exposition if the exposition29362
requests commission personnel or licensed individuals to do so. 29363
These rules may also address the accessibility of sales agent29364
locations to commission products in accordance with the "Americans29365
with Disabilities Act of 1990," 104 Stat. 327, 42 U.S.C.A. 1210129366
et seq.29367

       (2) The manner in which lottery sales revenues are to be29368
collected, including authorization for the director to impose29369
penalties for failure by lottery sales agents to transfer revenues29370
to the commission in a timely manner;29371

       (3) The amount of compensation to be paid licensed lottery29372
sales agents;29373

       (4) The substantive criteria for the licensing of lottery29374
sales agents consistent with section 3770.05 of the Revised Code,29375
and procedures for revoking or suspending their licenses29376
consistent with Chapter 119. of the Revised Code. If29377
circumstances, such as the nonpayment of funds owed by a lottery29378
sales agent, or other circumstances related to the public safety,29379
convenience, or trust, require immediate action, the director may29380
suspend a license without affording an opportunity for a prior29381
hearing under section 119.07 of the Revised Code.29382

       (5) Special game rules to implement any agreements signed by29383
the governor that the director enters into with other lottery29384
jurisdictions under division (J) of section 3770.02 of the Revised29385
Code to conduct statewide joint lottery games. The rules shall29386
require that the entire net proceeds of those games that remain,29387
after associated operating expenses, prize disbursements, lottery29388
sales agent bonuses, commissions, and reimbursements, and any29389
other expenses necessary to comply with the agreements or the29390
rules are deducted from the gross proceeds of those games, be29391
transferred to the lottery profits education fund under division29392
(B) of section 3770.06 of the Revised Code.29393

       (C) The commission may promulgate rules, in addition to those 29394
described in divisions (A) and (B) of this section, that establish 29395
standards governing the display of advertising and celebrity 29396
images on lottery tickets and on other items that are used in the 29397
conduct of, or to promote, the statewide lottery and statewide 29398
joint lottery games. Any revenue derived from the sale of 29399
advertising displayed on lottery tickets and on those other items 29400
shall be considered, for purposes of section 3770.06 of the 29401
Revised Code, to be related proceeds in connection with the 29402
statewide lottery or gross proceeds from statewide joint lottery 29403
games, as applicable.29404

       (D)(1) The commission shall meet with the director at least 29405
once each month and shall convene other meetings at the request of 29406
the chairperson or any five of the members. No action taken by the 29407
commission shall be binding unless at least five of the members 29408
present vote in favor of the action. A written record shall be 29409
made of the proceedings of each meeting and shall be transmitted 29410
forthwith to the governor, the president of the senate, the senate 29411
minority leader, the speaker of the house of representatives, and 29412
the house minority leader.29413

       (2) The director shall present to the commission a report29414
each month, showing the total revenues, prize disbursements, and29415
operating expenses of the state lottery for the preceding month.29416
As soon as practicable after the end of each fiscal year, the29417
commission shall prepare and transmit to the governor and the29418
general assembly a report of lottery revenues, prize29419
disbursements, and operating expenses for the preceding fiscal29420
year and any recommendations for legislation considered necessary29421
by the commission.29422

       Sec. 3770.06.  (A) There is hereby created the state lottery29423
gross revenue fund, which shall be in the custody of the treasurer29424
of state but shall not be part of the state treasury. All gross29425
revenues received from sales of lottery tickets, fines, fees, and29426
related proceeds in connection with the statewide lottery and all29427
gross proceeds from statewide joint lottery games shall be29428
deposited into the fund. The treasurer of state shall invest any29429
portion of the fund not needed for immediate use in the same29430
manner as, and subject to all provisions of law with respect to29431
the investment of, state funds. The treasurer of state shall29432
disburse money from the fund on order of the director of the state29433
lottery commission or the director's designee.29434

       Except for gross proceeds from statewide joint lottery games,29435
all revenues of the state lottery gross revenue fund that are not29436
paid to holders of winning lottery tickets, that are not required29437
to meet short-term prize liabilities, that are not credited to29438
lottery sales agents in the form of bonuses, commissions, or29439
reimbursements, that are not paid to financial institutions to29440
reimburse those institutions for sales agent nonsufficient funds,29441
and that are collected from sales agents for remittance to29442
insurers under contract to provide sales agent bonding services29443
shall be transferred to the state lottery fund, which is hereby29444
created in the state treasury. In addition, all revenues of the29445
state lottery gross revenue fund that represent the gross proceeds29446
from the statewide joint lottery games and that are not paid to29447
holders of winning lottery tickets, that are not required to meet29448
short-term prize liabilities, that are not credited to lottery29449
sales agents in the form of bonuses, commissions, or29450
reimbursements, and that are not necessary to cover operating29451
expenses associated with those games or to otherwise comply with29452
the agreements signed by the governor that the director enters29453
into under division (J) of section 3770.02 of the Revised Code or29454
the rules the commission adopts under division (B)(5) of section29455
3770.03 of the Revised Code shall be transferred to the state29456
lottery fund. All investment earnings of the fund shall be29457
credited to the fund. Moneys shall be disbursed from the fund29458
pursuant to vouchers approved by the director. Total disbursements 29459
for monetary prize awards to holders of winning lottery tickets in 29460
connection with the statewide lottery and purchases of goods and 29461
services awarded as prizes to holders of winning lottery tickets 29462
shall be of an amount equal to at least fifty per cent of the 29463
total revenue accruing from the sale of lottery tickets.29464

       (B) Pursuant to Section 6 of Article XV, Ohio Constitution,29465
there is hereby established in the state treasury the lottery29466
profits education fund. Whenever, in the judgment of the director29467
of budget and management, the amount to the credit of the state29468
lottery fund that does not represent proceeds from statewide joint29469
lottery games is in excess of that needed to meet the maturing29470
obligations of the commission and as working capital for its29471
further operations, the director shall transfer the excess to the29472
lottery profits education fund in connection with the statewide29473
lottery. In addition, whenever, in the judgment of the director of 29474
budget and management, the amount to the credit of the state29475
lottery fund that represents proceeds from statewide joint lottery29476
games equals the entire net proceeds of those games as described29477
in division (B)(5) of section 3770.03 of the Revised Code and the29478
rules adopted under that division, the director shall transfer29479
those proceeds to the lottery profits education fund. There shall29480
also be credited to the fund any repayments of moneys loaned from29481
the educational excellence investment fund. Investment earnings of 29482
the lottery profits education fund shall be credited to the fund.29483

       The lottery profits education fund shall be used solely for29484
the support of elementary, secondary, vocational, and special29485
education programs as determined in appropriations made by the29486
general assembly, or as provided in applicable bond proceedings29487
for the payment of debt service on obligations issued to pay costs29488
of capital facilities, including those for a system of common29489
schools throughout the state pursuant to section 2n of Article29490
VIII, Ohio Constitution. When determining the availability of29491
money in the lottery profits education fund, the director of29492
budget and management may consider all balances and estimated29493
revenues of the fund.29494

       From the amounts that the director of budget and management29495
transfers in any fiscal year from the state lottery fund to the29496
lottery profits education fund, the director shall transfer the29497
initial ten million dollars of those amounts from the lottery29498
profits education fund to the school building program bond service29499
fund created in division (Q) of section 3318.26 of the Revised29500
Code to be pledged for the purpose of paying bond service charges29501
as defined in division (C) of section 3318.21 of the Revised Code29502
on one or more issuances of obligations, which obligations are29503
issued to provide moneys for the school building program29504
assistance fund created in section 3318.25 of the Revised Code.29505

       (C) There is hereby established in the state treasury the29506
deferred prizes trust fund. With the approval of the director of29507
budget and management, an amount sufficient to fund annuity prizes29508
shall be transferred from the state lottery fund and credited to29509
the trust fund. The treasurer of state shall credit all earnings29510
arising from investments purchased under this division to the29511
trust fund. Within sixty days after the end of each fiscal year, 29512
the treasurer of state shall certify to the director of budget and 29513
management whether the actuarial amount of the trust fund is 29514
sufficient over the fund's life for continued funding of all 29515
remaining deferred prize liabilities as of the last day of the 29516
fiscal year just ended. Also, within that sixty days, the director 29517
of budget and management shall certify the amount of investment 29518
earnings necessary to have been credited to the trust fund during 29519
the fiscal year just ending to provide for such continued funding 29520
of deferred prizes. Any earnings credited in excess of thisthe 29521
latter certified amount shall be transferred to the lottery 29522
profits education fund.29523

       To provide all or a part of the amounts necessary to fund29524
deferred prizes awarded by the commission in connection with the29525
statewide lottery, the treasurer of state, in consultation with29526
the commission, may invest moneys contained in the deferred prizes29527
trust fund which represents proceeds from the statewide lottery in29528
obligations of the type permitted for the investment of state29529
funds but whose maturities are thirty years or less.29530
Notwithstanding the requirements of any other section of the29531
Revised Code, to provide all or part of the amounts necessary to29532
fund deferred prizes awarded by the commission in connection with29533
statewide joint lottery games, the treasurer of state, in29534
consultation with the commission, may invest moneys in the trust29535
fund which represent proceeds derived from the statewide joint29536
lottery games in accordance with the rules the commission adopts29537
under division (B)(5) of section 3770.03 of the Revised Code.29538
Investments of the trust fund are not subject to the provisions of 29539
division (A)(10) of section 135.143 of the Revised Code limiting 29540
to twenty-five per cent the amount of the state's total average29541
portfolio that may be invested in debt interests and limiting to29542
one-half of one per cent the amount that may be invested in debt29543
interests of a single issuer.29544

       All purchases made under this division shall be effected on a29545
delivery versus payment method and shall be in the custody of the29546
treasurer of state.29547

       The treasurer of state may retain an investment advisor, if29548
necessary. The commission shall pay any costs incurred by the29549
treasurer of state in retaining an investment advisor.29550

       (D) The auditor of state shall conduct annual audits of all29551
funds and any other audits as the auditor of state or the general29552
assembly considers necessary. The auditor of state may examine all 29553
records, files, and other documents of the commission, and records 29554
of lottery sales agents that pertain to their activities as 29555
agents, for purposes of conducting authorized audits.29556

       The state lottery commission shall establish an internal29557
audit program before the beginning of each fiscal year, subject to29558
the approval of the auditor of state. At the end of each fiscal29559
year, the commission shall prepare and submit an annual report to29560
the auditor of state for the auditor of state's review and29561
approval, specifying the internal audit work completed by the end29562
of that fiscal year and reporting on compliance with the annual29563
internal audit program. The form and content of the report shall29564
be prescribed by the auditor of state under division (C) of29565
section 117.20 of the Revised Code.29566

       (E) Whenever, in the judgment of the director of budget and29567
management, an amount of net state lottery proceeds is necessary29568
to be applied to the payment of debt service on obligations, all29569
as defined in sections 151.01 and 151.03 of the Revised Code, the29570
director shall transfer that amount directly from the state29571
lottery fund or from the lottery profits education fund to the29572
bond service fund defined in those sections. The provisions of29573
this division are subject to any prior pledges or obligation of29574
those amounts to the payment of bond service charges as defined in29575
division (C) of section 3318.21 of the Revised Code, as referred29576
to in division (B) of this section.29577

       Sec. 3905.36.  (A) Except as provided in divisions (B) and 29578
(C) of this section, every insured association, company,29579
corporation, or other person that enters, directly or indirectly,29580
into any agreements with any insurance company, association,29581
individual, firm, underwriter, or Lloyd's, not authorized to do29582
business in this state, whereby the insured shall procure,29583
continue, or renew contracts of insurance covering subjects of29584
insurance resident, located, or to be performed within this state,29585
with such unauthorized insurance company, association, individual,29586
firm, underwriter, or Lloyd's, for which insurance there is a29587
gross premium, membership fee, assessment, dues, or other 29588
consideration charged or collected, shall annually, on or before 29589
the thirty-first day of January, return to the superintendent of29590
insurance a statement under oath showing the name and address of29591
the insured, name and address of the insurer, subject of the29592
insurance, general description of the coverage, and amount of29593
gross premium, fee, assessment, dues, or other consideration for29594
such insurance for the preceding twelve-month period and shall at29595
the same time pay to the treasurer of state a tax of five per cent29596
of such gross premium, fee, assessment, dues, or other29597
consideration, after a deduction for return premium, if any, as29598
calculated on a form prescribed by the treasurer of state. All29599
taxes collected under this section by the treasurer of state shall29600
be paid into the general revenue fund. If the tax is not paid when29601
due, the tax shall be increased by a penalty of twenty-five per29602
cent. An interest charge computed as set forth in section29603
5725.221 of the Revised Code shall be made on the entire sum of29604
the tax plus penalty, which interest shall be computed from the29605
date the tax is due until it is paid. For purposes of this29606
section, payment is considered made when it is received by the29607
treasurer of state, irrespective of any United States postal29608
service marking or other stamp or mark indicating the date on29609
which the payment may have been mailed.29610

       (B) This section does not apply to:29611

       (1) Transactions in this state involving a policy solicited,29612
written, and delivered outside this state covering only subjects29613
of insurance not resident, located, or to be performed in this29614
state at the time of issuance, provided such transactions are29615
subsequent to the issuance of the policy;29616

       (2) Attorneys-at-law acting on behalf of their clients in the 29617
adjustment of claims or losses;29618

       (3) Transactions involving policies issued by a captive 29619
insurer. For this purpose, a "captive insurer" means any of the 29620
following:29621

        (a) An insurer owned by one or more individuals or 29622
organizations, whose exclusive purpose is to insure risks of one 29623
or more of the parent organizations or individual owners and risks 29624
of one or more affiliates of the parent organizations or 29625
individual owners;29626

        (b) In the case of groups and associations, insurers owned by 29627
the group or association whose exclusive purpose is to insure 29628
risks of members of the group or association and affiliates of the 29629
members;29630

        (c) Other types of insurers, licensed and operated in 29631
accordance with the captive insurance laws of their jurisdictions 29632
of domicile and operated in a manner so as to self-insure risks of 29633
their owners and insureds.29634

       (4) Professional or, medical liability, or other insurance 29635
procured by a hospital organized under Chapter 3701. of the 29636
Revised Code or on behalf of an entity that manufactures, 29637
packages, and sells, as more than fifty per cent of the entity's 29638
business, pharmaceutical products for human use where the 29639
production, packaging, and sale of such products are subject to 29640
regulation by an agency of the United States;29641

       (5) Insurance with an initial policy period of more than 29642
three years and that is procured to cover known events related to 29643
environmental remediation that occurred prior to the effective 29644
date of that insurance.29645

        (C) In transactions that are subject to sections 3905.30 to 29646
3905.35 of the Revised Code, each person licensed under section 29647
3905.30 of the Revised Code shall pay to the treasurer of state, 29648
on or before the thirty-first day of January of each year, five 29649
per cent of the balance of the gross premiums charged for 29650
insurance placed or procured under the license after a deduction 29651
for return premiums, as reported on a form prescribed by the29652
treasurer of state. The tax shall be collected from the insured by 29653
the surplus line broker who placed or procured the policy of29654
insurance at the time the policy is delivered to the insured. No 29655
license issued under section 3905.30 of the Revised Code shall be 29656
renewed until payment is made. If the tax is not paid when due, 29657
the tax shall be increased by a penalty of twenty-five per cent. 29658
An interest charge computed as set forth in section 5725.221 of 29659
the Revised Code shall be made on the entire sum of the tax plus 29660
penalty, which interest shall be computed from the date the tax is 29661
due until it is paid. For purposes of this section, payment is29662
considered made when it is received by the treasurer of state,29663
irrespective of any United States postal service marking or other29664
stamp or mark indicating the date on which the payment may have29665
been mailed.29666

       Sec. 4123.35.  (A) Except as provided in this section, every 29667
employer mentioned in division (B)(2) of section 4123.01 of the 29668
Revised Code, and every publicly owned utility shall pay29669
semiannually in the months of January and July into the state29670
insurance fund the amount of annual premium the administrator of29671
workers' compensation fixes for the employment or occupation of29672
the employer, the amount of which premium to be paid by each29673
employer to be determined by the classifications, rules, and rates29674
made and published by the administrator. The employer shall pay29675
semiannually a further sum of money into the state insurance fund29676
as may be ascertained to be due from the employer by applying the29677
rules of the administrator, and a receipt or certificate29678
certifying that payment has been made, along with a written notice 29679
as is required in section 4123.54 of the Revised Code, shall be 29680
mailed immediately to the employer by the bureau of workers' 29681
compensation. The receipt or certificate is prima-facie evidence 29682
of the payment of the premium, and the proper posting of the 29683
notice constitutes the employer's compliance with the notice 29684
requirement mandated in section 4123.54 of the Revised Code.29685

       The bureau of workers' compensation shall verify with the29686
secretary of state the existence of all corporations and29687
organizations making application for workers' compensation29688
coverage and shall require every such application to include the29689
employer's federal identification number.29690

       An employer as defined in division (B)(2) of section 4123.0129691
of the Revised Code who has contracted with a subcontractor is29692
liable for the unpaid premium due from any subcontractor with29693
respect to that part of the payroll of the subcontractor that is29694
for work performed pursuant to the contract with the employer.29695

       Division (A) of this section providing for the payment of29696
premiums semiannually does not apply to any employer who was a29697
subscriber to the state insurance fund prior to January 1, 1914,29698
or who may first become a subscriber to the fund in any month29699
other than January or July. Instead, the semiannual premiums shall 29700
be paid by those employers from time to time upon the expiration 29701
of the respective periods for which payments into the fund have 29702
been made by them.29703

       The administrator shall adopt rules to permit employers to29704
make periodic payments of the semiannual premium due under this29705
division. The rules shall include provisions for the assessment of 29706
interest charges, where appropriate, and for the assessment of29707
penalties when an employer fails to make timely premium payments.29708
An employer who timely pays the amounts due under this division is29709
entitled to all of the benefits and protections of this chapter.29710
Upon receipt of payment, the bureau immediately shall mail a29711
receipt or certificate to the employer certifying that payment has29712
been made, which receipt is prima-facie evidence of payment.29713
Workers' compensation coverage under this chapter continues29714
uninterrupted upon timely receipt of payment under this division.29715

       Every public employer, except public employers that are29716
self-insuring employers under this section, shall comply with29717
sections 4123.38 to 4123.41, and 4123.48 of the Revised Code in29718
regard to the contribution of moneys to the public insurance fund.29719

       (B) Employers who will abide by the rules of the29720
administrator and who may be of sufficient financial ability to29721
render certain the payment of compensation to injured employees or29722
the dependents of killed employees, and the furnishing of medical,29723
surgical, nursing, and hospital attention and services and29724
medicines, and funeral expenses, equal to or greater than is29725
provided for in sections 4123.52, 4123.55 to 4123.62, and 4123.6429726
to 4123.67 of the Revised Code, and who do not desire to insure29727
the payment thereof or indemnify themselves against loss sustained29728
by the direct payment thereof, upon a finding of such facts by the29729
administrator, may be granted the privilege to pay individually29730
compensation, and furnish medical, surgical, nursing, and hospital29731
services and attention and funeral expenses directly to injured29732
employees or the dependents of killed employees, thereby being29733
granted status as a self-insuring employer. The administrator may29734
charge employers who apply for the status as a self-insuring29735
employer a reasonable application fee to cover the bureau's costs29736
in connection with processing and making a determination with29737
respect to an application.29738

       All employers granted status as self-insuring employers shall 29739
demonstrate sufficient financial and administrative ability to 29740
assure that all obligations under this section are promptly met. 29741
The administrator shall deny the privilege where the employer is29742
unable to demonstrate the employer's ability to promptly meet all29743
the obligations imposed on the employer by this section.29744

       (1) The administrator shall consider, but is not limited to,29745
the following factors, where applicable, in determining the29746
employer's ability to meet all of the obligations imposed on the29747
employer by this section:29748

       (a) The employer employs a minimum of five hundred employees29749
in this state;29750

       (b) The employer has operated in this state for a minimum of29751
two years, provided that an employer who has purchased, acquired,29752
or otherwise succeeded to the operation of a business, or any part29753
thereof, situated in this state that has operated for at least two29754
years in this state, also shall qualify;29755

       (c) Where the employer previously contributed to the state29756
insurance fund or is a successor employer as defined by bureau29757
rules, the amount of the buyout, as defined by bureau rules;29758

       (d) The sufficiency of the employer's assets located in this29759
state to insure the employer's solvency in paying compensation29760
directly;29761

       (e) The financial records, documents, and data, certified by29762
a certified public accountant, necessary to provide the employer's29763
full financial disclosure. The records, documents, and data29764
include, but are not limited to, balance sheets and profit and29765
loss history for the current year and previous four years.29766

       (f) The employer's organizational plan for the administration 29767
of the workers' compensation law;29768

       (g) The employer's proposed plan to inform employees of the29769
change from a state fund insurer to a self-insuring employer, the29770
procedures the employer will follow as a self-insuring employer,29771
and the employees' rights to compensation and benefits; and29772

       (h) The employer has either an account in a financial29773
institution in this state, or if the employer maintains an account29774
with a financial institution outside this state, ensures that29775
workers' compensation checks are drawn from the same account as29776
payroll checks or the employer clearly indicates that payment will29777
be honored by a financial institution in this state.29778

       The administrator may waive the requirements of divisions29779
(B)(1)(a) and (b) of this section and the requirement of division29780
(B)(1)(e) of this section that the financial records, documents,29781
and data be certified by a certified public accountant. The29782
administrator shall adopt rules establishing the criteria that an29783
employer shall meet in order for the administrator to waive the29784
requirement of division (B)(1)(e) of this section. Such rules may29785
require additional security of that employer pursuant to division29786
(E) of section 4123.351 of the Revised Code.29787

       The administrator shall not grant the status of self-insuring29788
employer to the state, except that the administrator may grant the29789
status of self-insuring employer to a state institution of higher29790
education, excluding its hospitals, that meets the requirements of29791
division (B)(2) of this section.29792

       (2) When considering the application of a public employer,29793
except for a board of county commissioners described in division29794
(G) of section 4123.01 of the Revised Code, a board of a county29795
hospital, or a publicly owned utility, the administrator shall29796
verify that the public employer satisfies all of the following29797
requirements as the requirements apply to that public employer:29798

       (a) For the two-year period preceding application under this29799
section, the public employer has maintained an unvoted debt29800
capacity equal to at least two times the amount of the current29801
annual premium established by the administrator under this chapter29802
for that public employer for the year immediately preceding the29803
year in which the public employer makes application under this29804
section.29805

       (b) For each of the two fiscal years preceding application29806
under this section, the unreserved and undesignated year-end fund29807
balance in the public employer's general fund is equal to at least29808
five per cent of the public employer's general fund revenues for29809
the fiscal year computed in accordance with generally accepted29810
accounting principles.29811

       (c) For the five-year period preceding application under this 29812
section, the public employer, to the extent applicable, has29813
complied fully with the continuing disclosure requirements29814
established in rules adopted by the United States securities and29815
exchange commission under 17 C.F.R. 240.15c 2-12.29816

       (d) For the five-year period preceding application under this 29817
section, the public employer has not had its local government or 29818
local communities fund distribution withheld on account of the 29819
public employer being indebted or otherwise obligated to the 29820
state.29821

       (e) For the five-year period preceding application under this 29822
section, the public employer has not been under a fiscal watch or 29823
fiscal emergency pursuant to section 118.023, 118.04, or 3316.03 29824
of the Revised Code.29825

       (f) For the public employer's fiscal year preceding29826
application under this section, the public employer has obtained29827
an annual financial audit as required under section 117.10 of the29828
Revised Code, which has been released by the auditor of state29829
within seven months after the end of the public employer's fiscal29830
year.29831

       (g) On the date of application, the public employer holds a29832
debt rating of Aa3 or higher according to Moody's investors29833
service, inc., or a comparable rating by an independent rating29834
agency similar to Moody's investors service, inc.29835

       (h) The public employer agrees to generate an annual29836
accumulating book reserve in its financial statements reflecting29837
an actuarially generated reserve adequate to pay projected claims29838
under this chapter for the applicable period of time, as29839
determined by the administrator.29840

       (i) For a public employer that is a hospital, the public29841
employer shall submit audited financial statements showing the29842
hospital's overall liquidity characteristics, and the29843
administrator shall determine, on an individual basis, whether the29844
public employer satisfies liquidity standards equivalent to the29845
liquidity standards of other public employers.29846

       (j) Any additional criteria that the administrator adopts by29847
rule pursuant to division (E) of this section.29848

       The administrator shall not approve the application of a29849
public employer, except for a board of county commissioners29850
described in division (G) of section 4123.01 of the Revised Code,29851
a board of a county hospital, or publicly owned utility, who does29852
not satisfy all of the requirements listed in division (B)(2) of29853
this section.29854

       (C) A board of county commissioners described in division (G) 29855
of section 4123.01 of the Revised Code, as an employer, that will 29856
abide by the rules of the administrator and that may be of29857
sufficient financial ability to render certain the payment of29858
compensation to injured employees or the dependents of killed29859
employees, and the furnishing of medical, surgical, nursing, and29860
hospital attention and services and medicines, and funeral29861
expenses, equal to or greater than is provided for in sections29862
4123.52, 4123.55 to 4123.62, and 4123.64 to 4123.67 of the Revised29863
Code, and that does not desire to insure the payment thereof or29864
indemnify itself against loss sustained by the direct payment29865
thereof, upon a finding of such facts by the administrator, may be29866
granted the privilege to pay individually compensation, and29867
furnish medical, surgical, nursing, and hospital services and29868
attention and funeral expenses directly to injured employees or29869
the dependents of killed employees, thereby being granted status29870
as a self-insuring employer. The administrator may charge a board29871
of county commissioners described in division (G) of section29872
4123.01 of the Revised Code that applies for the status as a29873
self-insuring employer a reasonable application fee to cover the29874
bureau's costs in connection with processing and making a29875
determination with respect to an application. All employers29876
granted such status shall demonstrate sufficient financial and29877
administrative ability to assure that all obligations under this29878
section are promptly met. The administrator shall deny the29879
privilege where the employer is unable to demonstrate the29880
employer's ability to promptly meet all the obligations imposed on29881
the employer by this section. The administrator shall consider,29882
but is not limited to, the following factors, where applicable, in29883
determining the employer's ability to meet all of the obligations29884
imposed on the board as an employer by this section:29885

       (1) The board as an employer employs a minimum of five29886
hundred employees in this state;29887

       (2) The board has operated in this state for a minimum of two 29888
years;29889

       (3) Where the board previously contributed to the state29890
insurance fund or is a successor employer as defined by bureau29891
rules, the amount of the buyout, as defined by bureau rules;29892

       (4) The sufficiency of the board's assets located in this29893
state to insure the board's solvency in paying compensation29894
directly;29895

       (5) The financial records, documents, and data, certified by29896
a certified public accountant, necessary to provide the board's29897
full financial disclosure. The records, documents, and data29898
include, but are not limited to, balance sheets and profit and29899
loss history for the current year and previous four years.29900

       (6) The board's organizational plan for the administration of 29901
the workers' compensation law;29902

       (7) The board's proposed plan to inform employees of the29903
proposed self-insurance, the procedures the board will follow as a29904
self-insuring employer, and the employees' rights to compensation29905
and benefits;29906

       (8) The board has either an account in a financial29907
institution in this state, or if the board maintains an account29908
with a financial institution outside this state, ensures that29909
workers' compensation checks are drawn from the same account as29910
payroll checks or the board clearly indicates that payment will be29911
honored by a financial institution in this state;29912

       (9) The board shall provide the administrator a surety bond29913
in an amount equal to one hundred twenty-five per cent of the29914
projected losses as determined by the administrator.29915

       (D) The administrator shall require a surety bond from all29916
self-insuring employers, issued pursuant to section 4123.351 of29917
the Revised Code, that is sufficient to compel, or secure to29918
injured employees, or to the dependents of employees killed, the29919
payment of compensation and expenses, which shall in no event be29920
less than that paid or furnished out of the state insurance fund29921
in similar cases to injured employees or to dependents of killed29922
employees whose employers contribute to the fund, except when an29923
employee of the employer, who has suffered the loss of a hand,29924
arm, foot, leg, or eye prior to the injury for which compensation29925
is to be paid, and thereafter suffers the loss of any other of the29926
members as the result of any injury sustained in the course of and29927
arising out of the employee's employment, the compensation to be29928
paid by the self-insuring employer is limited to the disability 29929
suffered in the subsequent injury, additional compensation, if29930
any, to be paid by the bureau out of the surplus created by29931
section 4123.34 of the Revised Code.29932

       (E) In addition to the requirements of this section, the29933
administrator shall make and publish rules governing the manner of29934
making application and the nature and extent of the proof required29935
to justify a finding of fact by the administrator as to granting29936
the status of a self-insuring employer, which rules shall be29937
general in their application, one of which rules shall provide29938
that all self-insuring employers shall pay into the state29939
insurance fund such amounts as are required to be credited to the29940
surplus fund in division (B) of section 4123.34 of the Revised29941
Code. The administrator may adopt rules establishing requirements29942
in addition to the requirements described in division (B)(2) of29943
this section that a public employer shall meet in order to qualify29944
for self-insuring status.29945

       Employers shall secure directly from the bureau central29946
offices application forms upon which the bureau shall stamp a29947
designating number. Prior to submission of an application, an29948
employer shall make available to the bureau, and the bureau shall29949
review, the information described in division (B)(1) of this29950
section, and public employers shall make available, and the bureau29951
shall review, the information necessary to verify whether the29952
public employer meets the requirements listed in division (B)(2)29953
of this section. An employer shall file the completed application29954
forms with an application fee, which shall cover the costs of29955
processing the application, as established by the administrator,29956
by rule, with the bureau at least ninety days prior to the29957
effective date of the employer's new status as a self-insuring29958
employer. The application form is not deemed complete until all29959
the required information is attached thereto. The bureau shall29960
only accept applications that contain the required information.29961

       (F) The bureau shall review completed applications within a29962
reasonable time. If the bureau determines to grant an employer the 29963
status as a self-insuring employer, the bureau shall issue a29964
statement, containing its findings of fact, that is prepared by29965
the bureau and signed by the administrator. If the bureau29966
determines not to grant the status as a self-insuring employer,29967
the bureau shall notify the employer of the determination and29968
require the employer to continue to pay its full premium into the29969
state insurance fund. The administrator also shall adopt rules29970
establishing a minimum level of performance as a criterion for29971
granting and maintaining the status as a self-insuring employer29972
and fixing time limits beyond which failure of the self-insuring29973
employer to provide for the necessary medical examinations and29974
evaluations may not delay a decision on a claim.29975

       (G) The administrator shall adopt rules setting forth29976
procedures for auditing the program of self-insuring employers.29977
The bureau shall conduct the audit upon a random basis or whenever29978
the bureau has grounds for believing that a self-insuring employer29979
is not in full compliance with bureau rules or this chapter.29980

       The administrator shall monitor the programs conducted by29981
self-insuring employers, to ensure compliance with bureau29982
requirements and for that purpose, shall develop and issue to29983
self-insuring employers standardized forms for use by the29984
self-insuring employer in all aspects of the self-insuring29985
employers' direct compensation program and for reporting of29986
information to the bureau.29987

       The bureau shall receive and transmit to the self-insuring29988
employer all complaints concerning any self-insuring employer. In29989
the case of a complaint against a self-insuring employer, the29990
administrator shall handle the complaint through the29991
self-insurance division of the bureau. The bureau shall maintain a 29992
file by employer of all complaints received that relate to the29993
employer. The bureau shall evaluate each complaint and take29994
appropriate action.29995

       The administrator shall adopt as a rule a prohibition against29996
any self-insuring employer from harassing, dismissing, or29997
otherwise disciplining any employee making a complaint, which rule29998
shall provide for a financial penalty to be levied by the29999
administrator payable by the offending self-insuring employer.30000

       (H) For the purpose of making determinations as to whether to 30001
grant status as a self-insuring employer, the administrator may30002
subscribe to and pay for a credit reporting service that offers30003
financial and other business information about individual30004
employers. The costs in connection with the bureau's subscription30005
or individual reports from the service about an applicant may be30006
included in the application fee charged employers under this30007
section.30008

       (I) The administrator, notwithstanding other provisions of30009
this chapter, may permit a self-insuring employer to resume30010
payment of premiums to the state insurance fund with appropriate30011
credit modifications to the employer's basic premium rate as such30012
rate is determined pursuant to section 4123.29 of the Revised30013
Code.30014

       (J) On the first day of July of each year, the administrator30015
shall calculate separately each self-insuring employer's30016
assessments for the safety and hygiene fund, administrative costs30017
pursuant to section 4123.342 of the Revised Code, and for the30018
portion of the surplus fund under division (B) of section 4123.3430019
of the Revised Code that is not used for handicapped30020
reimbursement, on the basis of the paid compensation attributable30021
to the individual self-insuring employer according to the30022
following calculation:30023

       (1) The total assessment against all self-insuring employers30024
as a class for each fund and for the administrative costs for the30025
year that the assessment is being made, as determined by the30026
administrator, divided by the total amount of paid compensation30027
for the previous calendar year attributable to all amenable30028
self-insuring employers;30029

       (2) Multiply the quotient in division (J)(1) of this section30030
by the total amount of paid compensation for the previous calendar30031
year that is attributable to the individual self-insuring employer30032
for whom the assessment is being determined. Each self-insuring30033
employer shall pay the assessment that results from this30034
calculation, unless the assessment resulting from this calculation30035
falls below a minimum assessment, which minimum assessment the30036
administrator shall determine on the first day of July of each30037
year with the advice and consent of the workers' compensation30038
oversight commission, in which event, the self-insuring employer30039
shall pay the minimum assessment.30040

       In determining the total amount due for the total assessment30041
against all self-insuring employers as a class for each fund and30042
the administrative assessment, the administrator shall reduce30043
proportionately the total for each fund and assessment by the30044
amount of money in the self-insurance assessment fund as of the30045
date of the computation of the assessment.30046

       The administrator shall calculate the assessment for the30047
portion of the surplus fund under division (B) of section 4123.3430048
of the Revised Code that is used for handicapped reimbursement in30049
the same manner as set forth in divisions (J)(1) and (2) of this30050
section except that the administrator shall calculate the total30051
assessment for this portion of the surplus fund only on the basis30052
of those self-insuring employers that retain participation in the30053
handicapped reimbursement program and the individual self-insuring30054
employer's proportion of paid compensation shall be calculated30055
only for those self-insuring employers who retain participation in30056
the handicapped reimbursement program. The administrator, as the30057
administrator determines appropriate, may determine the total30058
assessment for the handicapped portion of the surplus fund in30059
accordance with sound actuarial principles.30060

       The administrator shall calculate the assessment for the30061
portion of the surplus fund under division (B) of section 4123.3430062
of the Revised Code that under division (D) of section 4121.66 of30063
the Revised Code is used for rehabilitation costs in the same30064
manner as set forth in divisions (J)(1) and (2) of this section,30065
except that the administrator shall calculate the total assessment30066
for this portion of the surplus fund only on the basis of those30067
self-insuring employers who have not made the election to make30068
payments directly under division (D) of section 4121.66 of the30069
Revised Code and an individual self-insuring employer's proportion30070
of paid compensation only for those self-insuring employers who30071
have not made that election.30072

       The administrator shall calculate the assessment for the 30073
portion of the surplus fund under division (B) of section 4123.34 30074
of the Revised Code that is used for reimbursement to a 30075
self-insuring employer under division (H) of section 4123.512 of 30076
the Revised Code in the same manner as set forth in divisions 30077
(J)(1) and (2) of this section except that the administrator shall 30078
calculate the total assessment for this portion of the surplus 30079
fund only on the basis of those self-insuring employers that 30080
retain participation in reimbursement to the self-insuring 30081
employer under division (H) of section 4123.512 of the Revised 30082
Code and the individual self-insuring employer's proportion of 30083
paid compensation shall be calculated only for those self-insuring 30084
employers who retain participation in reimbursement to the 30085
self-insuring employer under division (H) of section 4123.512 of 30086
the Revised Code.30087

       An employer who no longer is a self-insuring employer in this30088
state or who no longer is operating in this state, shall continue30089
to pay assessments for administrative costs and for the portion of30090
the surplus fund under division (B) of section 4123.34 of the30091
Revised Code that is not used for handicapped reimbursement, based30092
upon paid compensation attributable to claims that occurred while30093
the employer was a self-insuring employer within this state.30094

       (K) There is hereby created in the state treasury the30095
self-insurance assessment fund. All investment earnings of the30096
fund shall be deposited in the fund. The administrator shall use30097
the money in the self-insurance assessment fund only for30098
administrative costs as specified in section 4123.341 of the30099
Revised Code.30100

       (L) Every self-insuring employer shall certify, in affidavit30101
form subject to the penalty for perjury, to the bureau the amount30102
of the self-insuring employer's paid compensation for the previous30103
calendar year. In reporting paid compensation paid for the30104
previous year, a self-insuring employer shall exclude from the30105
total amount of paid compensation any reimbursement the30106
self-insuring employer receives in the previous calendar year from30107
the surplus fund pursuant to section 4123.512 of the Revised Code30108
for any paid compensation. The self-insuring employer also shall30109
exclude from the paid compensation reported any amount recovered30110
under section 4123.931 of the Revised Code and any amount that is30111
determined not to have been payable to or on behalf of a claimant30112
in any final administrative or judicial proceeding. The30113
self-insuring employer shall exclude such amounts from the paid30114
compensation reported in the reporting period subsequent to the30115
date the determination is made. The administrator shall adopt30116
rules, in accordance with Chapter 119. of the Revised Code, that 30117
provide for all of the following:30118

       (1) Establishing the date by which self-insuring employers 30119
must submit such information and the amount of the assessments 30120
provided for in division (J) of this section for employers who 30121
have been granted self-insuring status within the last calendar 30122
year;30123

       (2) If an employer fails to pay the assessment when due, the 30124
administrator may add a late fee penalty of not more than five 30125
hundred dollars to the assessment plus an additional penalty 30126
amount as follows:30127

       (a) For an assessment from sixty-one to ninety days past due, 30128
the prime interest rate, multiplied by the assessment due;30129

       (b) For an assessment from ninety-one to one hundred twenty 30130
days past due, the prime interest rate plus two per cent, 30131
multiplied by the assessment due;30132

       (c) For an assessment from one hundred twenty-one to one 30133
hundred fifty days past due, the prime interest rate plus four per 30134
cent, multiplied by the assessment due;30135

       (d) For an assessment from one hundred fifty-one to one 30136
hundred eighty days past due, the prime interest rate plus six per 30137
cent, multiplied by the assessment due;30138

       (e) For an assessment from one hundred eighty-one to two 30139
hundred ten days past due, the prime interest rate plus eight per 30140
cent, multiplied by the assessment due;30141

       (f) For each additional thirty-day period or portion thereof 30142
that an assessment remains past due after it has remained past due 30143
for more than two hundred ten days, the prime interest rate plus 30144
eight per cent, multiplied by the assessment due.30145

        (3) An employer may appeal a late fee penalty and penalty 30146
assessment to the administrator.30147

        For purposes of this division, "prime interest rate" means 30148
the average bank prime rate, and the administrator shall determine 30149
the prime interest rate in the same manner as a county auditor 30150
determines the average bank prime rate under section 929.02 of the 30151
Revised Code.30152

       The administrator shall include any assessment and penalties 30153
that remain unpaid for previous assessment periods in the 30154
calculation and collection of any assessments due under this 30155
division or division (J) of this section.30156

       (M) As used in this section, "paid compensation" means all30157
amounts paid by a self-insuring employer for living maintenance30158
benefits, all amounts for compensation paid pursuant to sections30159
4121.63, 4121.67, 4123.56, 4123.57, 4123.58, 4123.59, 4123.60, and30160
4123.64 of the Revised Code, all amounts paid as wages in lieu of30161
such compensation, all amounts paid in lieu of such compensation30162
under a nonoccupational accident and sickness program fully funded30163
by the self-insuring employer, and all amounts paid by a30164
self-insuring employer for a violation of a specific safety30165
standard pursuant to Section 35 of Article II, Ohio Constitution30166
and section 4121.47 of the Revised Code.30167

       (N) Should any section of this chapter or Chapter 4121. of30168
the Revised Code providing for self-insuring employers'30169
assessments based upon compensation paid be declared30170
unconstitutional by a final decision of any court, then that30171
section of the Revised Code declared unconstitutional shall revert30172
back to the section in existence prior to November 3, 1989,30173
providing for assessments based upon payroll.30174

       (O) The administrator may grant a self-insuring employer the30175
privilege to self-insure a construction project entered into by30176
the self-insuring employer that is scheduled for completion within30177
six years after the date the project begins, and the total cost of30178
which is estimated to exceed one hundred million dollars or, for30179
employers described in division (R) of this section, if the30180
construction project is estimated to exceed twenty-five million30181
dollars. The administrator may waive such cost and time criteria30182
and grant a self-insuring employer the privilege to self-insure a30183
construction project regardless of the time needed to complete the30184
construction project and provided that the cost of the30185
construction project is estimated to exceed fifty million dollars.30186
A self-insuring employer who desires to self-insure a construction30187
project shall submit to the administrator an application listing30188
the dates the construction project is scheduled to begin and end,30189
the estimated cost of the construction project, the contractors30190
and subcontractors whose employees are to be self-insured by the30191
self-insuring employer, the provisions of a safety program that is30192
specifically designed for the construction project, and a30193
statement as to whether a collective bargaining agreement30194
governing the rights, duties, and obligations of each of the30195
parties to the agreement with respect to the construction project30196
exists between the self-insuring employer and a labor30197
organization.30198

       A self-insuring employer may apply to self-insure the30199
employees of either of the following:30200

       (1) All contractors and subcontractors who perform labor or30201
work or provide materials for the construction project;30202

       (2) All contractors and, at the administrator's discretion, a 30203
substantial number of all the subcontractors who perform labor or 30204
work or provide materials for the construction project.30205

       Upon approval of the application, the administrator shall30206
mail a certificate granting the privilege to self-insure the30207
construction project to the self-insuring employer. The30208
certificate shall contain the name of the self-insuring employer30209
and the name, address, and telephone number of the self-insuring30210
employer's representatives who are responsible for administering30211
workers' compensation claims for the construction project. The30212
self-insuring employer shall post the certificate in a conspicuous30213
place at the site of the construction project.30214

       The administrator shall maintain a record of the contractors30215
and subcontractors whose employees are covered under the30216
certificate issued to the self-insured employer. A self-insuring30217
employer immediately shall notify the administrator when any30218
contractor or subcontractor is added or eliminated from inclusion30219
under the certificate.30220

       Upon approval of the application, the self-insuring employer30221
is responsible for the administration and payment of all claims30222
under this chapter and Chapter 4121. of the Revised Code for the30223
employees of the contractor and subcontractors covered under the30224
certificate who receive injuries or are killed in the course of30225
and arising out of employment on the construction project, or who30226
contract an occupational disease in the course of employment on30227
the construction project. For purposes of this chapter and Chapter 30228
4121. of the Revised Code, a claim that is administered and paid 30229
in accordance with this division is considered a claim against the 30230
self-insuring employer listed in the certificate. A contractor or 30231
subcontractor included under the certificate shall report to the 30232
self-insuring employer listed in the certificate, all claims that 30233
arise under this chapter and Chapter 4121. of the Revised Code in 30234
connection with the construction project for which the certificate 30235
is issued.30236

       A self-insuring employer who complies with this division is30237
entitled to the protections provided under this chapter and30238
Chapter 4121. of the Revised Code with respect to the employees of30239
the contractors and subcontractors covered under a certificate30240
issued under this division for death or injuries that arise out30241
of, or death, injuries, or occupational diseases that arise in the30242
course of, those employees' employment on that construction30243
project, as if the employees were employees of the self-insuring30244
employer, provided that the self-insuring employer also complies30245
with this section. No employee of the contractors and30246
subcontractors covered under a certificate issued under this30247
division shall be considered the employee of the self-insuring30248
employer listed in that certificate for any purposes other than30249
this chapter and Chapter 4121. of the Revised Code. Nothing in30250
this division gives a self-insuring employer authority to control30251
the means, manner, or method of employment of the employees of the30252
contractors and subcontractors covered under a certificate issued30253
under this division.30254

       The contractors and subcontractors included under a30255
certificate issued under this division are entitled to the30256
protections provided under this chapter and Chapter 4121. of the30257
Revised Code with respect to the contractor's or subcontractor's30258
employees who are employed on the construction project which is30259
the subject of the certificate, for death or injuries that arise30260
out of, or death, injuries, or occupational diseases that arise in30261
the course of, those employees' employment on that construction30262
project.30263

       The contractors and subcontractors included under a30264
certificate issued under this division shall identify in their30265
payroll records the employees who are considered the employees of30266
the self-insuring employer listed in that certificate for purposes30267
of this chapter and Chapter 4121. of the Revised Code, and the30268
amount that those employees earned for employment on the30269
construction project that is the subject of that certificate.30270
Notwithstanding any provision to the contrary under this chapter30271
and Chapter 4121. of the Revised Code, the administrator shall30272
exclude the payroll that is reported for employees who are30273
considered the employees of the self-insuring employer listed in30274
that certificate, and that the employees earned for employment on30275
the construction project that is the subject of that certificate,30276
when determining those contractors' or subcontractors' premiums or30277
assessments required under this chapter and Chapter 4121. of the30278
Revised Code. A self-insuring employer issued a certificate under30279
this division shall include in the amount of paid compensation it30280
reports pursuant to division (L) of this section, the amount of30281
paid compensation the self-insuring employer paid pursuant to this30282
division for the previous calendar year.30283

       Nothing in this division shall be construed as altering the30284
rights of employees under this chapter and Chapter 4121. of the30285
Revised Code as those rights existed prior to September 17, 1996.30286
Nothing in this division shall be construed as altering the rights30287
devolved under sections 2305.31 and 4123.82 of the Revised Code as30288
those rights existed prior to September 17, 1996.30289

       As used in this division, "privilege to self-insure a30290
construction project" means privilege to pay individually30291
compensation, and to furnish medical, surgical, nursing, and30292
hospital services and attention and funeral expenses directly to30293
injured employees or the dependents of killed employees.30294

       (P) A self-insuring employer whose application is granted30295
under division (O) of this section shall designate a safety30296
professional to be responsible for the administration and30297
enforcement of the safety program that is specifically designed30298
for the construction project that is the subject of the30299
application.30300

       A self-insuring employer whose application is granted under30301
division (O) of this section shall employ an ombudsperson for the30302
construction project that is the subject of the application. The30303
ombudsperson shall have experience in workers' compensation or the30304
construction industry, or both. The ombudsperson shall perform all 30305
of the following duties:30306

       (1) Communicate with and provide information to employees who 30307
are injured in the course of, or whose injury arises out of30308
employment on the construction project, or who contract an30309
occupational disease in the course of employment on the30310
construction project;30311

       (2) Investigate the status of a claim upon the request of an30312
employee to do so;30313

       (3) Provide information to claimants, third party30314
administrators, employers, and other persons to assist those30315
persons in protecting their rights under this chapter and Chapter30316
4121. of the Revised Code.30317

       A self-insuring employer whose application is granted under30318
division (O) of this section shall post the name of the safety30319
professional and the ombudsperson and instructions for contacting30320
the safety professional and the ombudsperson in a conspicuous30321
place at the site of the construction project.30322

       (Q) The administrator may consider all of the following when30323
deciding whether to grant a self-insuring employer the privilege30324
to self-insure a construction project as provided under division30325
(O) of this section:30326

       (1) Whether the self-insuring employer has an organizational30327
plan for the administration of the workers' compensation law;30328

       (2) Whether the safety program that is specifically designed30329
for the construction project provides for the safety of employees30330
employed on the construction project, is applicable to all30331
contractors and subcontractors who perform labor or work or30332
provide materials for the construction project, and has as a30333
component, a safety training program that complies with standards30334
adopted pursuant to the "Occupational Safety and Health Act of30335
1970," 84 Stat. 1590, 29 U.S.C.A. 651, and provides for continuing30336
management and employee involvement;30337

       (3) Whether granting the privilege to self-insure the30338
construction project will reduce the costs of the construction30339
project;30340

       (4) Whether the self-insuring employer has employed an30341
ombudsperson as required under division (P) of this section;30342

       (5) Whether the self-insuring employer has sufficient surety30343
to secure the payment of claims for which the self-insuring30344
employer would be responsible pursuant to the granting of the30345
privilege to self-insure a construction project under division (O)30346
of this section.30347

       (R) As used in divisions (O), (P), and (Q), "self-insuring30348
employer" includes the following employers, whether or not they30349
have been granted the status of being a self-insuring employer30350
under division (B) of this section:30351

        (1) A state institution of higher education;30352

        (2) A school district;30353

        (3) A county school financing district;30354

        (4) An educational service center;30355

        (5) A community school established under Chapter 3314. of the 30356
Revised Code.30357

        (S) As used in this section:30358

       (1) "Unvoted debt capacity" means the amount of money that a30359
public employer may borrow without voter approval of a tax levy;30360

       (2) "State institution of higher education" means the state30361
universities listed in section 3345.011 of the Revised Code,30362
community colleges created pursuant to Chapter 3354. of the30363
Revised Code, university branches created pursuant to Chapter30364
3355. of the Revised Code, technical colleges created pursuant to30365
Chapter 3357. of the Revised Code, and state community colleges30366
created pursuant to Chapter 3358. of the Revised Code.30367

       Sec. 4141.09.  (A) There is hereby created an unemployment30368
compensation fund to be administered by the state without30369
liability on the part of the state beyond the amounts paid into30370
the fund and earned by the fund. The unemployment compensation30371
fund shall consist of all contributions, payments in lieu of30372
contributions described in sections 4141.241 and 4141.242 of the30373
Revised Code, reimbursements of the federal share of extended30374
benefits described in section 4141.301 of the Revised Code,30375
collected under sections 4141.01 to 4141.46 of the Revised Code,30376
together with all interest earned upon any moneys deposited with30377
the secretary of the treasury of the United States to the credit30378
of the account of this state in the unemployment trust fund30379
established and maintained pursuant to section 904 of the "Social30380
Security Act," any property or securities acquired through the use30381
of moneys belonging to the fund, and all earnings of such property30382
or securities. The unemployment compensation fund shall be used to 30383
pay benefits and refunds as provided by such sections and for no 30384
other purpose.30385

       (B) The treasurer of state shall be the custodian of the30386
unemployment compensation fund and shall administer such fund in30387
accordance with the directions of the director of job and family30388
services. All disbursements therefrom shall be paid by the30389
treasurer of state on warrants drawn by the director. Such30390
warrants may bear the facsimile signature of the director printed30391
thereon and that of a deputy or other employee of the director30392
charged with the duty of keeping the account of the unemployment30393
compensation fund and with the preparation of warrants for the30394
payment of benefits to the persons entitled thereto. Moneys in the 30395
clearing and benefit accounts shall not be commingled with other 30396
state funds, except as provided in division (C) of this section, 30397
but shall be maintained in separate accounts on the books of the 30398
depositary bank. Such money shall be secured by the depositary 30399
bank to the same extent and in the same manner as required by 30400
sections 135.01 to 135.21 of the Revised Code; and collateral 30401
pledged for this purpose shall be kept separate and distinct from 30402
any collateral pledged to secure other funds of this state. All 30403
sums recovered for losses sustained by the unemployment 30404
compensation fund shall be deposited therein. The treasurer of 30405
state shall be liable on the treasurer's official bond for the 30406
faithful performance of the treasurer's duties in connection with 30407
the unemployment compensation fund, such liability to exist in 30408
addition to any liability upon any separate bond.30409

       (C) The treasurer of state shall maintain within the30410
unemployment compensation fund three separate accounts which shall30411
be a clearing account, an unemploymenta trust fund account, and a30412
benefit account. All moneys payable to the unemployment30413
compensation fund, upon receipt thereof by the director, shall be30414
forwarded to the treasurer of state, who shall immediately deposit30415
them in the clearing account. Refunds of contributions, or30416
payments in lieu of contributions, payable pursuant to division30417
(E) of this section may be paid from the clearing account upon30418
warrants signed by a deputy or other employee of the director30419
charged with the duty of keeping the record of the clearing30420
account and with the preparation of warrants for the payment of30421
refunds to persons entitled thereto. After clearance thereof, all30422
moneys in the clearing account shall be deposited with the30423
secretary of the treasury of the United States to the credit of30424
the account of this state in the unemployment trust fund30425
established and maintained pursuant to section 904 of the "Social30426
Security Act," in accordance with requirements of the "Federal30427
Unemployment Tax Act," 53 Stat. 183 (1939), 26 U.S.C.A. 3301,30428
3304(a)(3), any law in this state relating to the deposit,30429
administration, release, or disbursement of moneys in the30430
possession or custody of this state to the contrary30431
notwithstanding. The benefit account shall consist of all moneys30432
requisitioned from this state's account in the unemployment trust30433
fund. Federal funds, other than funds received by the director30434
under divisions (I) and (J) of this section, received for payment30435
of federal benefits may be deposited, at the director's 30436
discretion, into the benefit account. Any funds deposited into the 30437
benefit account shall be disbursed solely for payment of benefits 30438
under a federal program administered by this state. Moneys so30439
requisitioned shall be used solely for the payment of benefits and 30440
for no other purpose. Moneys in the clearing and benefit accounts 30441
may be deposited by the treasurer of state, under the direction of 30442
the director, in any bank or public depositary in which general 30443
funds of the state may be deposited, but no public deposit 30444
insurance charge or premium shall be paid out of the fund.30445

       (D) Moneys shall be requisitioned from this state's account30446
in the unemployment trust fund solely for the payment of benefits30447
and in accordance with regulations prescribed by the director. The30448
director shall requisition from the unemployment trust fund such30449
amounts, not exceeding the amount standing to this state's account30450
therein, as are deemed necessary for the payment of benefits for a30451
reasonable future period. Upon receipt thereof, the treasurer of30452
state shall deposit such moneys in the benefit account.30453
Expenditures of such money in the benefit account and refunds from30454
the clearing account shall not require specific appropriations or30455
other formal release by state officers of money in their custody.30456
Any balance of moneys requisitioned from the unemployment trust30457
fund which remains unclaimed or unpaid in the benefit account30458
after the expiration of the period for which such sums were30459
requisitioned shall either be deducted from estimates for and may30460
be utilized for the payment of benefits during succeeding periods,30461
or, in the discretion of the director, shall be redeposited with30462
the secretary of the treasury of the United States to the credit30463
of this state's account in the unemployment trust fund, as30464
provided in division (C) of this section. Unclaimed or unpaid30465
federal funds redeposited with the secretary of the treasury of30466
the United States shall be credited to the appropriate federal30467
account.30468

       (E) No claim for an adjustment or a refund on contribution,30469
payment in lieu of contributions, interest, or forfeiture alleged30470
to have been erroneously or illegally assessed or collected, or30471
alleged to have been collected without authority, and no claim for30472
an adjustment or a refund of any sum alleged to have been30473
excessive or in any manner wrongfully collected shall be allowed30474
unless an application, in writing, therefor is made within four30475
years from the date on which such payment was made. If the30476
director determines that such contribution, payment in lieu of30477
contributions, interest, or forfeiture, or any portion thereof, 30478
was erroneously collected, the director shall allow such employer 30479
to make an adjustment thereof without interest in connection with30480
subsequent contribution payments, or payments in lieu of30481
contributions, by the employer, or the director may refund said30482
amount, without interest, from the clearing account of the30483
unemployment compensation fund, except as provided in division (B)30484
of section 4141.11 of the Revised Code. For like cause and within30485
the same period, adjustment or refund may be so made on the30486
director's own initiative. An overpayment of contribution, payment 30487
in lieu of contributions, interest, or forfeiture for which an 30488
employer has not made application for refund prior to the date of 30489
sale of the employer's business shall accrue to the employer's 30490
successor in interest.30491

       An application for an adjustment or a refund, or any portion30492
thereof, that is rejected is binding upon the employer unless,30493
within thirty days after the mailing of a written notice of30494
rejection to the employer's last known address, or, in the absence30495
of mailing of such notice, within thirty days after the delivery30496
of such notice, the employer files an application for a review and30497
redetermination setting forth the reasons therefor. The director30498
shall promptly examine the application for review and30499
redetermination, and if a review is granted, the employer shall be30500
promptly notified thereof, and shall be granted an opportunity for30501
a prompt hearing.30502

       (F) If the director finds that contributions have been paid30503
to the director in error, and that such contributions should have30504
been paid to a department of another state or of the United States30505
charged with the administration of an unemployment compensation30506
law, the director may upon request by such department or upon the30507
director's own initiative transfer to such department the amount30508
of such contributions, less any benefits paid to claimants whose30509
wages were the basis for such contributions. The director may30510
request and receive from such department any contributions or30511
adjusted contributions paid in error to such department which30512
should have been paid to the director.30513

       (G) In accordance with section 303(c)(3) of the Social30514
Security Act, and section 3304(a)(17) of the Internal Revenue Code30515
of 1954 for continuing certification of Ohio unemployment30516
compensation laws for administrative grants and for tax credits,30517
any interest required to be paid on advances under Title XII of30518
the Social Security Act shall be paid in a timely manner and shall30519
not be paid, directly or indirectly, by an equivalent reduction in30520
the Ohio unemployment taxes or otherwise, by the state from30521
amounts in the unemployment compensation fund.30522

       (H) The treasurer of state, under the direction of the30523
director and in accordance with the "Cash Management Improvement30524
Act of 1990," 104 Stat. 1061, 31 U.S.C.A. 335, 6503, shall deposit30525
amounts of interest earned by the state on funds in the benefit30526
account established pursuant to division (C) of this section into30527
the department of job and family services banking fees fund, which30528
is hereby created in the state treasury for the purpose of paying30529
related banking costs incurred by the state for the period for30530
which the interest is calculated, except that if the deposited30531
interest exceeds the banking costs incurred by the state for the30532
period for which the interest is calculated, the treasurer of30533
state shall deposit the excess interest into the unemployment30534
trust fund.30535

       (I) The treasurer of state, under the direction of the30536
director, shall deposit federal funds received by the director for 30537
the payment of benefits, job search, relocation, transportation, 30538
and subsistence allowances pursuant to the "Trade Act of 1974," 8830539
Stat. 1978, 19 U.S.C.A. 2101, as amended; the "North American Free 30540
Trade Implementation Act of 1993," 107 Stat. 2057, 19 U.S.C.A. 30541
3301, as amended; and the "Trade Act of 2002," 116 Stat. 993, 19 30542
U.S.C.A. 3801, as amended, into the Trade Act benefit account, 30543
which is hereby created for the purpose of making payments 30544
specified under those acts.30545

       (J) The treasurer of state, under the direction of the30546
director, shall deposit federal funds received by the director for 30547
training and administration and for payment of benefits, job 30548
search, relocation, transportation, and subsistence allowances30549
pursuant to the "Trade Act of 1974," 88 Stat. 1978, 19 U.S.C.A. 30550
2101, as amended; the "North American Free Trade Agreement30551
Implementation Act," 107 Stat. 2057 (1993), 19 U.S.C.A. 3301, as 30552
amended; and the "Trade Act of 2002," 116 Stat. 993, 19 U.S.C.A. 30553
3801, as amended, into the Trade Act training and administration 30554
account, which is hereby created for the purpose of making 30555
payments specified under those acts. The treasurer of state, under 30556
the direction of the director, may transfer funds from the Trade 30557
Act training and administration account to the benefit account for 30558
the purpose of making any payments directly to claimants for 30559
benefits, job search, relocation, transportation, and subsistence 30560
allowances, as specified by those acts.30561

       Sec. 4301.43.  (A) As used in sections 4301.43 to 4301.50 of30562
the Revised Code:30563

       (1) "Gallon" or "wine gallon" means one hundred twenty-eight30564
fluid ounces.30565

       (2) "Sale" or "sell" includes exchange, barter, gift,30566
distribution, and, except with respect to A-4 permit holders,30567
offer for sale.30568

       (B) For the purposes of providing revenues for the support of 30569
the state and encouraging the grape industries in the state, a tax 30570
is hereby levied on the sale or distribution of wine in Ohio,30571
except for known sacramental purposes, at the rate of thirty cents30572
per wine gallon for wine containing not less than four per cent of30573
alcohol by volume and not more than fourteen per cent of alcohol30574
by volume, ninety-eight cents per wine gallon for wine containing30575
more than fourteen per cent but not more than twenty-one per cent30576
of alcohol by volume, one dollar and eight cents per wine gallon30577
for vermouth, and one dollar and forty-eight cents per wine gallon30578
for sparkling and carbonated wine and champagne, the tax to be30579
paid by the holders of A-2 and B-5 permits or by any other person30580
selling or distributing wine upon which no tax has been paid. From30581
the tax paid under this section on wine, vermouth, and sparkling30582
and carbonated wine and champagne, the treasurer of state shall30583
credit to the Ohio grape industries fund created under section30584
924.54 of the Revised Code a sum equal to one cent per gallon for30585
each gallon upon which the tax is paid.30586

       (C) For the purpose of providing revenues for the support of30587
the state, there is hereby levied a tax on prepared and bottled30588
highballs, cocktails, cordials, and other mixed beverages at the30589
rate of one dollar and twenty cents per wine gallon to be paid by30590
holders of A-4 permits or by any other person selling or30591
distributing those products upon which no tax has been paid. Only30592
one sale of the same article shall be used in computing the amount30593
of tax due. The tax on mixed beverages to be paid by holders of30594
A-4 permits under this section shall not attach until the30595
ownership of the mixed beverage is transferred for valuable30596
consideration to a wholesaler or retailer, and no payment of the30597
tax shall be required prior to that time.30598

       (D) During the period of July 1, 20052007, through June 30, 30599
20072009, from the tax paid under this section on wine, vermouth, 30600
and sparkling and carbonated wine and champagne, the treasurer of30601
state shall credit to the Ohio grape industries fund created under30602
section 924.54 of the Revised Code a sum equal to two cents per30603
gallon upon which the tax is paid. The amount credited under this30604
division is in addition to the amount credited to the Ohio grape30605
industries fund under division (B) of this section.30606

       (E) For the purpose of providing revenues for the support of30607
the state, there is hereby levied a tax on cider at the rate of30608
twenty-four cents per wine gallon to be paid by the holders of A-230609
and B-5 permits or by any other person selling or distributing30610
cider upon which no tax has been paid. Only one sale of the same30611
article shall be used in computing the amount of the tax due.30612

       Sec. 4503.06.  (A) The owner of each manufactured or mobile30613
home that has acquired situs in this state shall pay either a real30614
property tax pursuant to Title LVII of the Revised Code or a30615
manufactured home tax pursuant to division (C) of this section.30616

       (B) The owner of a manufactured or mobile home shall pay real 30617
property taxes if either of the following applies:30618

       (1) The manufactured or mobile home acquired situs in the30619
state or ownership in the home was transferred on or after January30620
1, 2000, and all of the following apply:30621

       (a) The home is affixed to a permanent foundation as defined30622
in division (C)(5) of section 3781.06 of the Revised Code.30623

       (b) The home is located on land that is owned by the owner of 30624
the home.30625

       (c) The certificate of title has been inactivated by the30626
clerk of the court of common pleas that issued it, pursuant to30627
division (H) of section 4505.11 of the Revised Code.30628

       (2) The manufactured or mobile home acquired situs in the30629
state or ownership in the home was transferred before January 1,30630
2000, and all of the following apply:30631

       (a) The home is affixed to a permanent foundation as defined30632
in division (C)(5) of section 3781.06 of the Revised Code.30633

       (b) The home is located on land that is owned by the owner of 30634
the home.30635

       (c) The owner of the home has elected to have the home taxed30636
as real property and, pursuant to section 4505.11 of the Revised30637
Code, has surrendered the certificate of title to the auditor of30638
the county containing the taxing district in which the home has30639
its situs, together with proof that all taxes have been paid.30640

       (d) The county auditor has placed the home on the real30641
property tax list and delivered the certificate of title to the30642
clerk of the court of common pleas that issued it and the clerk30643
has inactivated the certificate.30644

       (C)(1) Any mobile or manufactured home that is not taxed as30645
real property as provided in division (B) of this section is30646
subject to an annual manufactured home tax, payable by the owner,30647
for locating the home in this state. The tax as levied in this30648
section is for the purpose of supplementing the general revenue30649
funds of the local subdivisions in which the home has its situs30650
pursuant to this section.30651

       (2) The year for which the manufactured home tax is levied30652
commences on the first day of January and ends on the following30653
thirty-first day of December. The state shall have the first lien30654
on any manufactured or mobile home on the list for the amount of30655
taxes, penalties, and interest charged against the owner of the30656
home under this section. The lien of the state for the tax for a30657
year shall attach on the first day of January to a home that has30658
acquired situs on that date. The lien for a home that has not30659
acquired situs on the first day of January, but that acquires30660
situs during the year, shall attach on the next first day of30661
January. The lien shall continue until the tax, including any30662
penalty or interest, is paid.30663

       (3)(a) The situs of a manufactured or mobile home located in30664
this state on the first day of January is the local taxing30665
district in which the home is located on that date.30666

       (b) The situs of a manufactured or mobile home not located in30667
this state on the first day of January, but located in this state30668
subsequent to that date, is the local taxing district in which the 30669
home is located thirty days after it is acquired or first enters 30670
this state.30671

       (4) The tax is collected by and paid to the county treasurer30672
of the county containing the taxing district in which the home has30673
its situs.30674

       (D) The manufactured home tax shall be computed and assessed30675
by the county auditor of the county containing the taxing district30676
in which the home has its situs as follows:30677

       (1) On a home that acquired situs in this state prior to30678
January 1, 2000:30679

       (a) By multiplying the assessable value of the home by the30680
tax rate of the taxing district in which the home has its situs,30681
and deducting from the product thus obtained any reduction30682
authorized under section 4503.065 of the Revised Code. The tax30683
levied under this formula shall not be less than thirty-six30684
dollars, unless the home qualifies for a reduction in assessable30685
value under section 4503.065 of the Revised Code, in which case30686
there shall be no minimum tax and the tax shall be the amount30687
calculated under this division.30688

       (b) The assessable value of the home shall be forty per cent30689
of the amount arrived at by the following computation:30690

       (i) If the cost to the owner, or market value at time of30691
purchase, whichever is greater, of the home includes the30692
furnishings and equipment, such cost or market value shall be30693
multiplied according to the following schedule:30694

For the first calendar year 30695
in which the 30696
home is owned by the 30697
current owner x 80% 30698
2nd calendar year x 75% 30699
3rd " x 70% 30700
4th " x 65% 30701
5th " x 60% 30702
6th " x 55% 30703
7th " x 50% 30704
8th " x 45% 30705
9th " x 40% 30706
10th and each year thereafter x 35% 30707

       The first calendar year means any period between the first30708
day of January and the thirty-first day of December of the first30709
year.30710

       (ii) If the cost to the owner, or market value at the time of 30711
purchase, whichever is greater, of the home does not include the 30712
furnishings and equipment, such cost or market value shall be30713
multiplied according to the following schedule:30714

For the first calendar year 30715
in which the 30716
home is owned by the 30717
current owner x 95% 30718
2nd calendar year x 90% 30719
3rd " x 85% 30720
4th " x 80% 30721
5th " x 75% 30722
6th " x 70% 30723
7th " x 65% 30724
8th " x 60% 30725
9th " x 55% 30726
10th and each year thereafter x 50% 30727

       The first calendar year means any period between the first30728
day of January and the thirty-first day of December of the first30729
year.30730

       (2) On a home in which ownership was transferred or that30731
first acquired situs in this state on or after January 1, 2000:30732

       (a) By multiplying the assessable value of the home by the30733
effective tax rate, as defined in section 323.08 of the Revised30734
Code, for residential real property of the taxing district in30735
which the home has its situs, and deducting from the product thus30736
obtained the reductions required or authorized under section30737
319.302, division (B) of section 323.152, or section 4503.065 of30738
the Revised Code.30739

       (b) The assessable value of the home shall be thirty-five per 30740
cent of its true value as determined under division (L) of this 30741
section.30742

       (3) On or before the fifteenth day of January each year, the 30743
county auditor shall record the assessable value and the amount of30744
tax on the manufactured or mobile home on the tax list and deliver30745
a duplicate of the list to the county treasurer. In the case of an 30746
emergency as defined in section 323.17 of the Revised Code, the30747
tax commissioner, by journal entry, may extend the times for30748
delivery of the duplicate for an additional fifteen days upon30749
receiving a written application from the county auditor regarding30750
an extension for the delivery of the duplicate, or from the county30751
treasurer regarding an extension of the time for the billing and30752
collection of taxes. The application shall contain a statement30753
describing the emergency that will cause the unavoidable delay and30754
must be received by the tax commissioner on or before the last day30755
of the month preceding the day delivery of the duplicate is30756
otherwise required. When an extension is granted for delivery of30757
the duplicate, the time period for payment of taxes shall be30758
extended for a like period of time. When a delay in the closing of 30759
a tax collection period becomes unavoidable, the tax commissioner, 30760
upon application by the county auditor and county treasurer, may 30761
order the time for payment of taxes to be extended if the tax 30762
commissioner determines that penalties have accrued or would 30763
otherwise accrue for reasons beyond the control of the taxpayers 30764
of the county. The order shall prescribe the final extended date 30765
for payment of taxes for that collection period.30766

       (4) After January 1, 1999, the owner of a manufactured or30767
mobile home taxed pursuant to division (D)(1) of this section may30768
elect to have the home taxed pursuant to division (D)(2) of this30769
section by filing a written request with the county auditor of the30770
taxing district in which the home is located on or before the30771
first day of December of any year. Upon the filing of the request, 30772
the county auditor shall determine whether all taxes levied under 30773
division (D)(1) of this section have been paid, and if those taxes 30774
have been paid, the county auditor shall tax the manufactured or30775
mobile home pursuant to division (D)(2) of this section commencing 30776
in the next tax year.30777

       (5) A manufactured or mobile home that acquired situs in this 30778
state prior to January 1, 2000, shall be taxed pursuant to30779
division (D)(2) of this section if no manufactured home tax had30780
been paid for the home and the home was not exempted from taxation30781
pursuant to division (E) of this section for the year for which30782
the taxes were not paid.30783

       (6)(a) Immediately upon receipt of any manufactured home tax30784
duplicate from the county auditor, but not less than twenty days30785
prior to the last date on which the first one-half taxes may be30786
paid without penalty as prescribed in division (F) of this30787
section, the county treasurer shall cause to be prepared and30788
mailed or delivered to each person charged on that duplicate with30789
taxes, or to an agent designated by such person, the tax bill30790
prescribed by the tax commissioner under division (D)(7) of this30791
section. When taxes are paid by installments, the county30792
treasurer shall mail or deliver to each person charged on such30793
duplicate or the agent designated by that person a second tax bill30794
showing the amount due at the time of the second tax collection.30795
The second half tax bill shall be mailed or delivered at least30796
twenty days prior to the close of the second half tax collection30797
period. A change in the mailing address of any tax bill shall be30798
made in writing to the county treasurer. Failure to receive a bill 30799
required by this section does not excuse failure or delay to pay 30800
any taxes shown on the bill or, except as provided in division30801
(B)(1) of section 5715.39 of the Revised Code, avoid any penalty,30802
interest, or charge for such delay.30803

       (b) After delivery of the copy of the delinquent manufactured30804
home tax list under division (H) of this section, the county30805
treasurer may prepare and mail to each person in whose name a home 30806
is listed an additional tax bill showing the total amount of 30807
delinquent taxes charged against the home as shown on the list.30808
The tax bill shall include a notice that the interest charge30809
prescribed by division (G) of this section has begun to accrue.30810

       (7) Each tax bill prepared and mailed or delivered under30811
division (D)(6) of this section shall be in the form and contain30812
the information required by the tax commissioner. The commissioner 30813
may prescribe different forms for each county and may authorize 30814
the county auditor to make up tax bills and tax receipts to be 30815
used by the county treasurer. The tax bill shall not contain or 30816
be mailed or delivered with any information or material that is 30817
not required by this section or that is not authorized by section 30818
321.45 of the Revised Code or by the tax commissioner. In addition 30819
to the information required by the commissioner, each tax bill 30820
shall contain the following information:30821

       (a) The taxes levied and the taxes charged and payable30822
against the manufactured or mobile home;30823

       (b) The following notice: "Notice: If the taxes are not paid 30824
within sixty days after the county auditor delivers the delinquent 30825
manufactured home tax list to the county treasurer, you and your 30826
home may be subject to collection proceedings for tax30827
delinquency." Failure to provide such notice has no effect upon30828
the validity of any tax judgment to which a home may be subjected.30829

       (c) In the case of manufactured or mobile homes taxed under30830
division (D)(2) of this section, the following additional30831
information:30832

       (i) The effective tax rate. The words "effective tax rate"30833
shall appear in boldface type.30834

       (ii) The following notice: "Notice: If the taxes charged30835
against this home have been reduced by the 2-1/2 per cent tax30836
reduction for residences occupied by the owner but the home is not30837
a residence occupied by the owner, the owner must notify the30838
county auditor's office not later than March 31 of the year for30839
which the taxes are due. Failure to do so may result in the owner30840
being convicted of a fourth degree misdemeanor, which is30841
punishable by imprisonment up to 30 days, a fine up to $250, or30842
both, and in the owner having to repay the amount by which the30843
taxes were erroneously or illegally reduced, plus any interest30844
that may apply.30845

       If the taxes charged against this home have not been reduced30846
by the 2-1/2 per cent tax reduction and the home is a residence30847
occupied by the owner, the home may qualify for the tax reduction. 30848
To obtain an application for the tax reduction or further30849
information, the owner may contact the county auditor's office at30850
.......... (insert the address and telephone number of the county30851
auditor's office)."30852

       (E)(1) A manufactured or mobile home is not subject to this30853
section when any of the following applies:30854

       (a) It is taxable as personal property pursuant to section30855
5709.01 of the Revised Code. Any manufactured or mobile home that30856
is used as a residence shall be subject to this section and shall30857
not be taxable as personal property pursuant to section 5709.01 of30858
the Revised Code.30859

       (b) It bears a license plate issued by any state other than30860
this state unless the home is in this state in excess of an30861
accumulative period of thirty days in any calendar year.30862

       (c) The annual tax has been paid on the home in this state30863
for the current year.30864

       (d) The tax commissioner has determined, pursuant to section30865
5715.27 of the Revised Code, that the property is exempt from30866
taxation, or would be exempt from taxation under Chapter 5709. of30867
the Revised Code if it were classified as real property.30868

       (2) A travel trailer or park trailer, as these terms are30869
defined in section 4501.01 of the Revised Code, is not subject to30870
this section if it is unused or unoccupied and stored at the30871
owner's normal place of residence or at a recognized storage30872
facility.30873

       (3) A travel trailer or park trailer, as these terms are30874
defined in section 4501.01 of the Revised Code, is subject to this30875
section and shall be taxed as a manufactured or mobile home if it30876
has a situs longer than thirty days in one location and is30877
connected to existing utilities, unless either of the following30878
applies:30879

       (a) The situs is in a state facility or a camping or park30880
area as defined in division (C), (Q), (S), or (V) of section 30881
3729.01 of the Revised Code.30882

       (b) The situs is in a camping or park area that is a tract of 30883
land that has been limited to recreational use by deed or zoning 30884
restrictions and subdivided for sale of five or more individual 30885
lots for the express or implied purpose of occupancy by either 30886
self-contained recreational vehicles as defined in division (T) of 30887
section 3729.01 of the Revised Code or by dependent recreational 30888
vehicles as defined in division (D) of section 3729.01 of the 30889
Revised Code.30890

       (F) Except as provided in division (D)(3) of this section,30891
the manufactured home tax is due and payable as follows:30892

       (1) When a manufactured or mobile home has a situs in this30893
state, as provided in this section, on the first day of January,30894
one-half of the amount of the tax is due and payable on or before30895
the first day of March and the balance is due and payable on or30896
before the thirty-first day of July. At the option of the owner of 30897
the home, the tax for the entire year may be paid in full on the 30898
first day of March.30899

       (2) When a manufactured or mobile home first acquires a situs30900
in this state after the first day of January, no tax is due and 30901
payable for that year.30902

       (G)(1)(a) Except as otherwise provided in division (G)(1)(b) 30903
of this section, if one-half of the current taxes charged under 30904
this section against a manufactured or mobile home, together with 30905
the full amount of any delinquent taxes, are not paid on or before 30906
the first day of March in that year, or on or before the last day 30907
for such payment as extended pursuant to section 4503.063 of the 30908
Revised Code, a penalty of ten per cent shall be charged against 30909
the unpaid balance of such half of the current taxes. If the total 30910
amount of all such taxes is not paid on or before the thirty-first 30911
day of July, next thereafter, or on or before the last day for 30912
payment as extended pursuant to section 4503.063 of the Revised 30913
Code, a like penalty shall be charged on the balance of the total 30914
amount of the unpaid current taxes.30915

       (b) After a valid delinquent tax contract that includes30916
unpaid current taxes from a first-half collection period described30917
in division (F) of this section has been entered into under30918
section 323.31 of the Revised Code, no ten per cent penalty shall30919
be charged against such taxes after the second-half collection30920
period while the delinquent tax contract remains in effect. On the 30921
day a delinquent tax contract becomes void, the ten per cent 30922
penalty shall be charged against such taxes and shall equal the 30923
amount of penalty that would have been charged against unpaid 30924
current taxes outstanding on the date on which the second-half 30925
penalty would have been charged thereon under division (G)(1)(a) 30926
of this section if the contract had not been in effect.30927

       (2)(a) On the first day of the month following the last day30928
the second installment of taxes may be paid without penalty30929
beginning in 2000, interest shall be charged against and computed30930
on all delinquent taxes other than the current taxes that became30931
delinquent taxes at the close of the last day such second30932
installment could be paid without penalty. The charge shall be for 30933
interest that accrued during the period that began on the30934
preceding first day of December and ended on the last day of the30935
month that included the last date such second installment could be30936
paid without penalty. The interest shall be computed at the rate30937
per annum prescribed by section 5703.47 of the Revised Code and30938
shall be entered as a separate item on the delinquent manufactured30939
home tax list compiled under division (H) of this section.30940

       (b) On the first day of December beginning in 2000, the30941
interest shall be charged against and computed on all delinquent30942
taxes. The charge shall be for interest that accrued during the30943
period that began on the first day of the month following the last30944
date prescribed for the payment of the second installment of taxes30945
in the current year and ended on the immediately preceding last30946
day of November. The interest shall be computed at the rate per30947
annum prescribed by section 5703.47 of the Revised Code and shall30948
be entered as a separate item on the delinquent manufactured home30949
tax list.30950

       (c) After a valid undertaking has been entered into for the30951
payment of any delinquent taxes, no interest shall be charged30952
against such delinquent taxes while the undertaking remains in30953
effect in compliance with section 323.31 of the Revised Code. If a 30954
valid undertaking becomes void, interest shall be charged against 30955
the delinquent taxes for the periods that interest was not30956
permitted to be charged while the undertaking was in effect. The30957
interest shall be charged on the day the undertaking becomes void30958
and shall equal the amount of interest that would have been30959
charged against the unpaid delinquent taxes outstanding on the30960
dates on which interest would have been charged thereon under30961
divisions (G)(1) and (2) of this section had the undertaking not30962
been in effect.30963

       (3) If the full amount of the taxes due at either of the30964
times prescribed by division (F) of this section is paid within30965
ten days after such time, the county treasurer shall waive the30966
collection of and the county auditor shall remit one-half of the30967
penalty provided for in this division for failure to make that30968
payment by the prescribed time.30969

       (4) The treasurer shall compile and deliver to the county30970
auditor a list of all tax payments the treasurer has received as30971
provided in division (G)(3) of this section. The list shall30972
include any information required by the auditor for the remission30973
of the penalties waived by the treasurer. The taxes so collected30974
shall be included in the settlement next succeeding the settlement30975
then in process.30976

       (H)(1) Beginning in 2000, the county auditor shall compile30977
annually a "delinquent manufactured home tax list" consisting of30978
homes the county treasurer's records indicate have taxes that were30979
not paid within the time prescribed by divisions (D)(3) and (F) of30980
this section, have taxes that remain unpaid from prior years, or30981
have unpaid tax penalties or interest that have been assessed.30982

       (2) Within thirty days after the settlement under division30983
(H)(2) of section 321.24 of the Revised Code beginning in 2000,30984
the county auditor shall deliver a copy of the delinquent30985
manufactured home tax list to the county treasurer. The auditor30986
shall update and publish the delinquent manufactured home tax list30987
annually in the same manner as delinquent real property tax lists30988
are published. The county auditor shall apportion the cost of30989
publishing the list among taxing districts in proportion to the30990
amount of delinquent manufactured home taxes so published that30991
each taxing district is entitled to receive upon collection of30992
those taxes.30993

       (3) When taxes, penalties, or interest are charged against a30994
person on the delinquent manufactured home tax list and are not 30995
paid within sixty days after the list is delivered to the county 30996
treasurer, the county treasurer shall, in addition to any other 30997
remedy provided by law for the collection of taxes, penalties, and 30998
interest, enforce collection of such taxes, penalties, and 30999
interest by civil action in the name of the treasurer against the 31000
owner for the recovery of the unpaid taxes following the 31001
procedures for the recovery of delinquent real property taxes in 31002
sections 323.25 to 323.28 of the Revised Code. The action may be 31003
brought in municipal or county court, provided the amount charged 31004
does not exceed the monetary limitations for original jurisdiction 31005
for civil actions in those courts.31006

       It is sufficient, having made proper parties to the suit, for31007
the county treasurer to allege in the treasurer's bill of31008
particulars or petition that the taxes stand chargeable on the 31009
books of the county treasurer against such person, that they are 31010
due and unpaid, and that such person is indebted in the amount of 31011
taxes appearing to be due the county. The treasurer need not set 31012
forth any other matter relating thereto. If it is found on the 31013
trial of the action that the person is indebted to the state, 31014
judgment shall be rendered in favor of the county treasurer 31015
prosecuting the action. The judgment debtor is not entitled to the 31016
benefit of any law for stay of execution or exemption of property 31017
from levy or sale on execution in the enforcement of the judgment.31018

       Upon the filing of an entry of confirmation of sale or an31019
order of forfeiture in a proceeding brought under this division,31020
title to the manufactured or mobile home shall be in the31021
purchaser. The clerk of courts shall issue a certificate of title31022
to the purchaser upon presentation of proof of filing of the entry31023
of confirmation or order and, in the case of a forfeiture,31024
presentation of the county auditor's certificate of sale.31025

       (I) The total amount of taxes collected shall be distributed31026
in the following manner: four per cent shall be allowed as31027
compensation to the county auditor for the county auditor's31028
service in assessing the taxes; two per cent shall be allowed as31029
compensation to the county treasurer for the services the county31030
treasurer renders as a result of the tax levied by this section.31031
Such amounts shall be paid into the county treasury, to the credit31032
of the county general revenue fund, on the warrant of the county31033
auditor. Fees to be paid to the credit of the real estate31034
assessment fund shall be collected pursuant to division (B)(C) of31035
section 319.54 of the Revised Code and paid into the county31036
treasury, on the warrant of the county auditor. The balance of the 31037
taxes collected shall be distributed among the taxing subdivisions 31038
of the county in which the taxes are collected and paid in the 31039
same ratio as those taxes were collected for the benefit of the 31040
taxing subdivision. The taxes levied and revenues collected under 31041
this section shall be in lieu of any general property tax and any 31042
tax levied with respect to the privilege of using or occupying a 31043
manufactured or mobile home in this state except as provided in31044
sections 4503.04 and 5741.02 of the Revised Code.31045

       (J) An agreement to purchase or a bill of sale for a31046
manufactured home shall show whether or not the furnishings and31047
equipment are included in the purchase price.31048

       (K) If the county treasurer and the county prosecuting31049
attorney agree that an item charged on the delinquent manufactured31050
home tax list is uncollectible, they shall certify that31051
determination and the reasons to the county board of revision. If31052
the board determines the amount is uncollectible, it shall certify31053
its determination to the county auditor, who shall strike the item31054
from the list.31055

       (L)(1) The county auditor shall appraise at its true value31056
any manufactured or mobile home in which ownership is transferred31057
or which first acquires situs in this state on or after January 1,31058
2000, and any manufactured or mobile home the owner of which has31059
elected, under division (D)(4) of this section, to have the home31060
taxed under division (D)(2) of this section. The true value shall31061
include the value of the home, any additions, and any fixtures,31062
but not any furnishings in the home. In determining the true value 31063
of a manufactured or mobile home, the auditor shall consider all31064
facts and circumstances relating to the value of the home,31065
including its age, its capacity to function as a residence, any31066
obsolete characteristics, and other factors that may tend to prove31067
its true value.31068

       (2)(a) If a manufactured or mobile home has been the subject31069
of an arm's length sale between a willing seller and a willing31070
buyer within a reasonable length of time prior to the31071
determination of true value, the county auditor shall consider the 31072
sale price of the home to be the true value for taxation purposes.31073

       (b) The sale price in an arm's length transaction between a31074
willing seller and a willing buyer shall not be considered the31075
true value of the home if either of the following occurred after31076
the sale:31077

       (i) The home has lost value due to a casualty.31078

       (ii) An addition or fixture has been added to the home.31079

       (3) The county auditor shall have each home viewed and 31080
appraised at least once in each six-year period in the same year 31081
in which real property in the county is appraised pursuant to 31082
Chapter 5713. of the Revised Code, and shall update the appraised 31083
values in the third calendar year following the appraisal. The 31084
person viewing or appraising a home may enter the home to 31085
determine by actual view any additions or fixtures that have been 31086
added since the last appraisal. In conducting the appraisals and 31087
establishing the true value, the auditor shall follow the 31088
procedures set forth for appraising real property in sections 31089
5713.01 and 5713.03 of the Revised Code.31090

       (4) The county auditor shall place the true value of each 31091
home on the manufactured home tax list upon completion of an31092
appraisal.31093

       (5)(a) If the county auditor changes the true value of a31094
home, the auditor shall notify the owner of the home in writing,31095
delivered by mail or in person. The notice shall be given at least 31096
thirty days prior to the issuance of any tax bill that reflects 31097
the change. Failure to receive the notice does not invalidate any31098
proceeding under this section.31099

       (b) Any owner of a home or any other person or party listed31100
in division (A)(1) of section 5715.19 of the Revised Code may file31101
a complaint against the true value of the home as appraised under31102
this section. The complaint shall be filed with the county auditor 31103
on or before the thirty-first day of March of the current tax year31104
or the date of closing of the collection for the first half of 31105
manufactured home taxes for the current tax year, whichever is 31106
later. The auditor shall present to the county board of revision 31107
all complaints filed with the auditor under this section. The 31108
board shall hear and investigate the complaint and may take action 31109
on it as provided under sections 5715.11 to 5715.19 of the Revised 31110
Code.31111

       (c) If the county board of revision determines, pursuant to a31112
complaint against the valuation of a manufactured or mobile home31113
filed under this section, that the amount of taxes, assessments,31114
or other charges paid was in excess of the amount due based on the31115
valuation as finally determined, then the overpayment shall be31116
refunded in the manner prescribed in section 5715.22 of the31117
Revised Code.31118

       (d) Payment of all or part of a tax under this section for31119
any year for which a complaint is pending before the county board31120
of revision does not abate the complaint or in any way affect the31121
hearing and determination thereof.31122

       (M) If the county auditor determines that any tax or other 31123
charge or any part thereof has been erroneously charged as a 31124
result of a clerical error as defined in section 319.35 of the 31125
Revised Code, the county auditor shall call the attention of the 31126
county board of revision to the erroneous charges. If the board 31127
finds that the taxes or other charges have been erroneously 31128
charged or collected, it shall certify the finding to the auditor. 31129
Upon receipt of the certification, the auditor shall remove the 31130
erroneous charges on the manufactured home tax list or delinquent 31131
manufactured home tax list in the same manner as is prescribed in 31132
section 319.35 of the Revised Code for erroneous charges against 31133
real property, and refund any erroneous charges that have been 31134
collected, with interest, in the same manner as is prescribed in 31135
section 319.36 of the Revised Code for erroneous charges against 31136
real property.31137

       (N) As used in this section and section 4503.061 of the31138
Revised Code:31139

       (1) "Manufactured home taxes" includes taxes, penalties, and31140
interest charged under division (C) or (G) of this section and any31141
penalties charged under division (G) or (H)(5) of section 4503.06131142
of the Revised Code.31143

       (2) "Current taxes" means all manufactured home taxes charged31144
against a manufactured or mobile home that have not appeared on 31145
the manufactured home tax list for any prior year. Current taxes 31146
become delinquent taxes if they remain unpaid after the last day31147
prescribed for payment of the second installment of current taxes31148
without penalty, whether or not they have been certified31149
delinquent.31150

       (3) "Delinquent taxes" means:31151

       (a) Any manufactured home taxes that were charged against a31152
manufactured or mobile home for a prior year, including any31153
penalties or interest charged for a prior year, and that remain31154
unpaid;31155

       (b) Any current manufactured home taxes charged against a31156
manufactured or mobile home that remain unpaid after the last day31157
prescribed for payment of the second installment of current taxes31158
without penalty, whether or not they have been certified31159
delinquent, including any penalties or interest.31160

       Sec. 4503.061.  (A) All manufactured and mobile homes shall31161
be listed on either the real property tax list or the manufactured31162
home tax list of the county in which the home has situs. Each31163
owner shall follow the procedures in this section to identify the31164
home to the county auditor of the county containing the taxing31165
district in which the home has situs so that the auditor may place31166
the home on the appropriate tax list.31167

       (B) When a manufactured or mobile home first acquires situs31168
in this state and is subject to real property taxation pursuant to31169
division (B)(1) or (2) of section 4503.06 of the Revised Code, the31170
owner shall present to the auditor of the county containing the31171
taxing district in which the home has its situs the certificate of31172
title for the home, together with proof that all taxes due have31173
been paid and proof that a relocation notice was obtained for the31174
home if required under this section. Upon receiving the31175
certificate of title and the required proofs, the auditor shall31176
place the home on the real property tax list and proceed to treat31177
the home as other properties on that list. After the auditor has31178
placed the home on the tax list of real and public utility31179
property, the auditor shall deliver the certificate of title to31180
the clerk of the court of common pleas that issued it pursuant to31181
section 4505.11 of the Revised Code, and the clerk shall31182
inactivate the certificate of title.31183

       (C)(1) When a manufactured or mobile home subject to a31184
manufactured home tax is relocated to or first acquires situs in31185
any county that has adopted a permanent manufactured home31186
registration system, as provided in division (F) of this section,31187
the owner, within thirty days after the home is relocated or first31188
acquires situs under section 4503.06 of the Revised Code, shall31189
register the home with the county auditor of the county containing31190
the taxing district in which the home has its situs. For the first 31191
registration in each county of situs, the owner or vendee in31192
possession shall present to the county auditor an Ohio certificate31193
of title, certified copy of the certificate of title, or31194
memorandum certificate of title as such are required by law, and31195
proof, as required by the county auditor, that the home, if it has31196
previously been occupied and is being relocated, has been31197
previously registered, that all taxes due and required to be paid31198
under division (H)(1) of this section before a relocation notice31199
may be issued have been paid, and that a relocation notice was31200
obtained for the home if required by division (H) of this section. 31201
If the owner or vendee does not possess the Ohio certificate of31202
title, certified copy of the certificate of title, or memorandum31203
certificate of title at the time the owner or vendee first31204
registers the home in a county, the county auditor shall register31205
the home without presentation of the document, but the owner or31206
vendee shall present the certificate of title, certified copy of31207
the certificate of title, or memorandum certificate of title to31208
the county auditor within fourteen days after the owner or vendee31209
obtains possession of the document.31210

       (2) When a manufactured or mobile home is registered for the31211
first time in a county and when the total tax due has been paid as31212
required by division (F) of section 4503.06 of the Revised Code or31213
divisions (E) and (H) of this section, the county treasurer shall31214
note by writing or by a stamp on the certificate of title,31215
certified copy of certificate of title, or memorandum certificate31216
of title that the home has been registered and that the taxes due,31217
if any, have been paid for the preceding five years and for the31218
current year. The treasurer shall then issue a certificate31219
evidencing registration and a decal to be displayed on the street31220
side of the home. The certificate is valid in any county in this31221
state during the year for which it is issued.31222

       (3) For each year thereafter, the county treasurer shall31223
issue a tax bill stating the amount of tax due under section31224
4503.06 of the Revised Code, as provided in division (D)(6) of31225
that section. When the total tax due has been paid as required by31226
division (F) of that section, the county treasurer shall issue a 31227
certificate evidencing registration that shall be valid in any 31228
county in this state during the year for which the certificate is 31229
issued.31230

       (4) The permanent decal issued under this division is valid31231
during the period of ownership, except that when a manufactured31232
home is relocated in another county the owner shall apply for a31233
new registration as required by this section and section 4503.0631234
of the Revised Code.31235

       (D)(1) All owners of manufactured or mobile homes subject to31236
the manufactured home tax being relocated to or having situs in a31237
county that has not adopted a permanent registration system, as31238
provided in division (F) of this section, shall register the home31239
within thirty days after the home is relocated or first acquires31240
situs under section 4503.06 of the Revised Code and thereafter31241
shall annually register the home with the county auditor of the31242
county containing the taxing district in which the home has its31243
situs.31244

       (2) Upon the annual registration, the county treasurer shall 31245
issue a tax bill stating the amount of annual manufactured home 31246
tax due under section 4503.06 of the Revised Code, as provided in 31247
division (D)(6) of that section. When a manufactured or mobile 31248
home is registered and when the tax for the current one-half year 31249
has been paid as required by division (F) of that section, the 31250
county treasurer shall issue a certificate evidencing registration 31251
and a decal. The certificate and decal are valid in any county in 31252
this state during the year for which they are issued. The decal 31253
shall be displayed on the street side of the home.31254

       (3) For the first annual registration in each county of31255
situs, the county auditor shall require the owner or vendee to31256
present an Ohio certificate of title, certified copy of the31257
certificate of title, or memorandum certificate of title as such31258
are required by law, and proof, as required by the county auditor,31259
that the manufactured or mobile home has been previously31260
registered, if such registration was required, that all taxes due31261
and required to be paid under division (H)(1) of this section31262
before a relocation notice may be issued have been paid, and that31263
a relocation notice was obtained for the home if required by31264
division (H) of this section. If the owner or vendee does not31265
possess the Ohio certificate of title, certified copy of the31266
certificate of title, or memorandum certificate of title at the31267
time the owner or vendee first registers the home in a county, the31268
county auditor shall register the home without presentation of the31269
document, but the owner or vendee shall present the certificate of31270
title, certified copy of the certificate of title, or memorandum31271
certificate of title to the county auditor within fourteen days31272
after the owner or vendee obtains possession of the document. When31273
the county treasurer receives the tax payment, the county31274
treasurer shall note by writing or by a stamp on the certificate31275
of title, certified copy of the certificate of title, or31276
memorandum certificate of title that the home has been registered31277
for the current year and that the manufactured home taxes due, if31278
any, have been paid for the preceding five years and for the31279
current year.31280

       (4) For subsequent annual registrations, the auditor may31281
require the owner or vendee in possession to present an Ohio31282
certificate of title, certified copy of the certificate of title,31283
or memorandum certificate of title to the county treasurer upon31284
payment of the manufactured home tax that is due.31285

       (E)(1) Upon the application to transfer ownership of a31286
manufactured or mobile home for which manufactured home taxes are31287
paid pursuant to division (C) of section 4503.06 of the Revised31288
Code the clerk of the court of common pleas shall not issue any31289
certificate of title that does not contain or have attached both31290
of the following:31291

       (a) An endorsement of the county treasurer stating that the31292
home has been registered for each year of ownership and that all31293
manufactured home taxes imposed pursuant to section 4503.06 of the31294
Revised Code have been paid or that no tax is due;31295

       (b) An endorsement of the county auditor that the31296
manufactured home transfer tax imposed pursuant to section 322.0631297
of the Revised Code and any fees imposed under division (F)(G) of31298
section 319.54 of the Revised Code have been paid.31299

       (2) If all the taxes have not been paid, the clerk shall31300
notify the vendee to contact the county treasurer of the county31301
containing the taxing district in which the home has its situs at31302
the time of the proposed transfer. The county treasurer shall then 31303
collect all the taxes that are due for the year of the transfer 31304
and all previous years not exceeding a total of five years. The 31305
county treasurer shall distribute that part of the collection owed 31306
to the county treasurer of other counties if the home had its 31307
situs in another county during a particular year when the unpaid 31308
tax became due and payable. The burden to prove the situs of the 31309
home in the years that the taxes were not paid is on the 31310
transferor of the home. Upon payment of the taxes, the county 31311
auditor shall remove all remaining taxes from the manufactured 31312
home tax list and the delinquent manufactured home tax list, and 31313
the county treasurer shall release all liens for such taxes. The 31314
clerk of courts shall issue a certificate of title, free and clear 31315
of all liens for manufactured home taxes, to the transferee of the 31316
home.31317

       (3) Once the transfer is complete and the certificate of31318
title has been issued, the transferee shall register the31319
manufactured or mobile home pursuant to division (C) or (D) of31320
this section with the county auditor of the county containing the31321
taxing district in which the home remains after the transfer or,31322
if the home is relocated to another county, with the county31323
auditor of the county to which the home is relocated. The31324
transferee need not pay the annual tax for the year of acquisition31325
if the original owner has already paid the annual tax for that31326
year.31327

       (F) The county auditor may adopt a permanent registration31328
system and issue a permanent decal with the first registration as31329
prescribed by the tax commissioner.31330

       (G) When any manufactured or mobile home required to be31331
registered by this section is not registered, the county auditor31332
shall impose a penalty of one hundred dollars upon the owner and31333
deposit the amount to the credit of the county real estate31334
assessment fund to be used to pay the costs of administering this31335
section and section 4503.06 of the Revised Code. If unpaid, the31336
penalty shall constitute a lien on the home and shall be added by31337
the county auditor to the manufactured home tax list for31338
collection.31339

       (H)(1) Except as otherwise provided in this division, before 31340
moving a manufactured or mobile home on public roads from one 31341
address within this state to another address within or outside 31342
this state, the owner of the home shall obtain a relocation 31343
notice, as provided by this section, from the auditor of the 31344
county in which the home is located if the home is currently 31345
subject to taxation pursuant to section 4503.06 of the Revised 31346
Code. The auditor shall charge five dollars for the notice, and31347
deposit the amount to the credit of the county real estate 31348
assessment fund to be used to pay the costs of administering this 31349
section and section 4503.06 of the Revised Code. The auditor shall 31350
not issue a relocation notice unless all taxes owed on the home 31351
under section 4503.06 of the Revised Code that were first charged 31352
to the home during the period of ownership of the owner seeking 31353
the relocation notice have been paid. If the home is being moved 31354
by a new owner of the home or by a party taking repossession of 31355
the home, the auditor shall not issue a relocation notice unless 31356
all of the taxes due for the preceding five years and for the 31357
current year have been paid. A relocation notice issued by a 31358
county auditor is valid until the last day of December of the year 31359
in which it was issued.31360

       If the home is being moved by a sheriff, police officer,31361
constable, bailiff, or manufactured home park operator, as defined31362
in section 3733.01 of the Revised Code, or any agent of any of31363
these persons, for purposes of removal from a manufactured home31364
park and storage, sale, or destruction under section 1923.14 of31365
the Revised Code, the auditor shall issue a relocation notice31366
without requiring payment of any taxes owed on the home under31367
section 4503.06 of the Revised Code.31368

       (2) If a manufactured or mobile home is not yet subject to31369
taxation under section 4503.06 of the Revised Code, the owner of31370
the home shall obtain a relocation notice from the dealer of the31371
home. Within thirty days after the manufactured or mobile home is31372
purchased, the dealer of the home shall provide the auditor of the31373
county in which the home is to be located written notice of the31374
name of the purchaser of the home, the registration number or31375
vehicle identification number of the home, and the address or31376
location to which the home is to be moved. The county auditor31377
shall provide to each manufactured and mobile home dealer, without31378
charge, a supply of relocation notices to be distributed to31379
purchasers pursuant to this section.31380

       (3) The notice shall be in the form of a one-foot square31381
yellow sign with the words "manufactured home relocation notice"31382
printed prominently on it. The name of the owner of the home, the31383
home's registration number or vehicle identification number, the31384
county and the address or location to which the home is being31385
moved, and the county in which the notice is issued shall also be31386
entered on the notice.31387

       (4) The relocation notice must be attached to the rear of the 31388
home when the home is being moved on a public road. Except as31389
provided in divisions (H)(1) and (5) of this section, no person 31390
shall drive a motor vehicle moving a manufactured or mobile home 31391
on a public road from one address to another address within this 31392
state unless a relocation notice is attached to the rear of the 31393
home.31394

       (5) If the county auditor determines that a manufactured or31395
mobile home has been moved without a relocation notice as required31396
under this division, the auditor shall impose a penalty of one31397
hundred dollars upon the owner of the home and upon the person who31398
moved the home and deposit the amount to the credit of the county31399
real estate assessment fund to pay the costs of administering this31400
section and section 4503.06 of the Revised Code. If the home was31401
relocated from one county in this state to another county in this31402
state and the county auditor of the county to which the home was31403
relocated imposes the penalty, that county auditor, upon31404
collection of the penalty, shall cause an amount equal to the 31405
penalty to be transmitted from the county real estate assessment 31406
fund to the county auditor of the county from which the home was 31407
relocated, who shall deposit the amount to the credit of the 31408
county real estate assessment fund. If the penalty on the owner is 31409
unpaid, the penalty shall constitute a lien on the home and the 31410
auditor shall add the penalty to the manufactured home tax list 31411
for collection. If the county auditor determines that a dealer 31412
that has sold a manufactured or mobile home has failed to timely31413
provide the information required under this division, the auditor31414
shall impose a penalty upon the dealer in the amount of one31415
hundred dollars. The penalty shall be credited to the county real31416
estate assessment fund and used to pay the costs of administering31417
this section and section 4503.06 of the Revised Code.31418

       (I) Whoever violates division (H)(4) of this section is31419
guilty of a minor misdemeanor.31420

       Sec. 4503.064.  As used in sections 4503.064 to 4503.069 of31421
the Revised Code:31422

       (A) "Sixty-five years of age or older" means a person who31423
will be age sixty-five or older in the calendar year following the 31424
year of application for reduction in the assessable value of the 31425
person's manufactured or mobile home.31426

       (B) "Total income" means the adjusted gross income of the31427
owner and the owner's spouse for the year preceding the year in 31428
which application for a reduction in taxes is made, as determined 31429
under the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 31430
U.S.C.A. 1, as amended, adjusted as follows:31431

       (1) Subtract the amount of disability benefits included in31432
adjusted gross income but not to exceed five thousand two hundred31433
dollars;31434

       (2) Add old age and survivors benefits received pursuant to 31435
the "Social Security Act" that are not included in adjusted gross 31436
income;31437

       (3) Add retirement, pension, annuity, or other retirement31438
payments or benefits not included in adjusted gross income;31439

       (4) Add tier I and II railroad retirement benefits received 31440
pursuant to the "Railroad Retirement Act," 50 Stat. 307, 45 U.S.C. 31441
228;31442

       (5) Add interest on federal, state, and local government31443
obligations;31444

       (6) For a person who received the homestead exemption for a 31445
prior year on the basis of being permanently and totally disabled 31446
and whose current application for the exemption is made on the 31447
basis of age, subtract the following amount:31448

       (a) If the person received disability benefits that were not31449
included in adjusted gross income in the year preceding the first 31450
year in which the person applied for the exemption on the basis of 31451
age, subtract an amount equal to the disability benefits the 31452
person received in that preceding year, to the extent included in 31453
total income in the current year and not subtracted under division31454
(B)(1) of this section in the current year;31455

       (b) If the person received disability benefits that were 31456
included in adjusted gross income in the year preceding the first 31457
year in which the person applied for the exemption on the basis of 31458
age, subtract an amount equal to the amount of disability benefits 31459
that were subtracted pursuant to division (B)(1) of this section 31460
in that preceding year, to the extent included in total income in 31461
the current year and not subtracted under division (B)(1) of this31462
section in the current year.31463

       Disability benefits that are paid by the department of 31464
veterans affairs or a branch of the armed forces of the United 31465
States on account of an injury or disability shall not be included 31466
in total income.31467

       (C) "Old age and survivors benefits received pursuant to the 31468
'Social Security Act'" or "tier I railroad retirement benefits 31469
received pursuant to the 'Railroad Retirement Act'" means:31470

       (1) The old age benefits payable under the social security or 31471
railroad retirement laws in effect on the last day of the calendar 31472
year preceding the year in which the applicant's application for 31473
reduction is first successfully made, or, if no such benefits are 31474
payable that year, old age benefits payable the first succeeding 31475
year in which old age benefits under the social security or 31476
railroad retirement laws are payable, except in those cases where 31477
a change in social security or railroad retirement benefits 31478
results in a reduction in income.31479

       (2) The lesser of:31480

       (a) Survivors benefits payable under the social security or 31481
railroad retirement laws in effect on the last day of the calendar 31482
year preceding the year in which the applicant's application for 31483
reduction is first successfully made, or, if no such benefits are 31484
payable that year, survivors benefits payable the first succeeding 31485
year in which survivors benefits are payable; or31486

       (b) Old age benefits of the deceased spouse, as determined31487
under division (C)(1) of this section, upon which the surviving31488
spouse's survivors benefits are based under the social security or 31489
railroad retirement laws, except in those cases where a change in 31490
benefits would cause a reduction in income.31491

       Survivors benefits are those described in division (C)(2)(b) 31492
of this section only if the deceased spouse received old age 31493
benefits in the year in which the deceased died. If the deceased 31494
spouse did not receive old age benefits in the year in which the 31495
deceased died, then survivors benefits are those described in 31496
division (C)(2)(a) of this section.31497

       (D) "Permanently and totally disabled" means a person who, on 31498
the first day of January of the year of application, including31499
late application, for reduction in the assessable value of a31500
manufactured or mobile home, has some impairment in body or mind 31501
that makes the person unable to work at any substantially 31502
remunerative employment which the person is reasonably able to 31503
perform and which will, with reasonable probability, continue for 31504
an indefinite period of at least twelve months without any present 31505
indication of recovery therefrom or has been certified as 31506
permanently and totally disabled by a state or federal agency 31507
having the function of so classifying persons.31508

       (E)(C) "Homestead exemption" means the reduction in taxes31509
allowed under division (A) of section 323.152 of the Revised Code31510
for the year in which an application is filed under section31511
4503.066 of the Revised Code.31512

       (F)(D) "Manufactured home" has the meaning given in division31513
(C)(4) of section 3781.06 of the Revised Code, and includes a31514
structure consisting of two manufactured homes that were purchased 31515
either together or separately and are combined to form a single 31516
dwelling, but does not include a manufactured home that is taxed 31517
as real property pursuant to division (B) of section 4503.06 of 31518
the Revised Code.31519

       (G)(E) "Mobile home" has the meaning given in division (O) of 31520
section 4501.01 of the Revised Code and includes a structure31521
consisting of two mobile homes that were purchased together or31522
separately and combined to form a single dwelling, but does not 31523
include a mobile home that is taxed as real property pursuant to 31524
division (B) of section 4503.06 of the Revised Code.31525

       (H)(F) "Late application" means an application filed with an31526
original application under division (A)(3) of section 4503.066 of31527
the Revised Code.31528

       Sec. 4503.065.  (A) This section applies to any of the31529
following:31530

       (1) An individual who is permanently and totally disabled;31531

       (2) An individual who is sixty-five years of age or older;31532

       (3) An individual who is the surviving spouse of a deceased31533
person who was permanently and totally disabled or sixty-five31534
years of age or older and who applied and qualified for a31535
reduction in assessable value under this section in the year of31536
death, provided the surviving spouse is at least fifty-nine but31537
not sixty-five or more years of age on the date the deceased31538
spouse dies.31539

       (B)(1) The manufactured home tax on a manufactured or mobile31540
home that is paid pursuant to division (C) of section 4503.06 of31541
the Revised Code and that is owned and occupied as a home by an31542
individual whose domicile is in this state and to whom this31543
section applies, shall be reduced for any tax year for which the31544
owner obtains a certificate of reduction from the county auditor31545
under section 4503.067 of the Revised Code, provided the31546
individual did not acquire ownership from a person, other than the31547
individual's spouse, related by consanguinity or affinity for the31548
purpose of qualifying for the reduction in assessable value. An31549
owner includes a settlor of a revocable inter vivos trust holding31550
the title to a manufactured or mobile home occupied by the settlor31551
as of right under the trust. The reduction shall equal the amount31552
obtained by multiplying the tax rate for the tax year for which31553
the certificate is issued by the reduction in assessable value31554
shown in the following schedule.31555

Reduce Assessable Value 31556
Total Income by the Lesser of: 31557
Column A Column B 31558

$11,900 or less $5,000 or seventy-five per cent 31559
More than $11,900 but not more than $17,500 $3,000 or sixty per cent 31560
More than $17,500 but not more than $23,000 $1,000 or twenty-five per cent 31561
More than $23,000 -0- 31562

       (2) Each calendar year, the tax commissioner shall adjust the 31563
foregoing schedule by completing the following calculations in 31564
September of each year:31565

       (a) Determine the percentage increase in the gross domestic31566
product deflator determined by the bureau of economic analysis of31567
the United States department of commerce from the first day of 31568
January of the preceding calendar year to the last day of December 31569
of the preceding calendar year;31570

       (b) Multiply that percentage increase by each of the total31571
income amounts, and by each dollar amount by which assessable31572
value is reduced, for the ensuing tax year;31573

       (c) Add the resulting product to each of the total income31574
amounts, and to each of the dollar amounts by which assessable31575
value is reduced, for the ensuing tax year;31576

       (d)(i) Except as provided in division (B)(2)(d)(ii) of this 31577
section, round the resulting sum to the nearest multiple of one31578
hundred dollars;31579

       (ii) If rounding the resulting sum to the nearest multiple of 31580
one hundred dollars under division (B)(2)(d)(i) of this section 31581
does not increase the dollar amounts by which assessable value is 31582
reduced, the resulting sum instead shall be rounded to the nearest 31583
multiple of ten dollars.31584

       The commissioner shall certify the amounts resulting from the31585
adjustment to each county auditor not later than the first day of31586
December each year. The certified amounts apply to the second31587
ensuing tax year. The commissioner shall not make the adjustment31588
in any calendar year in which the amounts resulting from the31589
adjustment would be less than the total income amounts, or less31590
than the dollar amounts by which assessable value is reduced, for31591
the ensuing tax yeargreater of the reduction granted for tax year 31592
2006, if the taxpayer received a reduction for tax year 2006, or 31593
the product of the following:31594

       (1) Twenty-five thousand dollars of the true value of the 31595
property in money;31596

        (2) The assessment percentage established by the tax 31597
commissioner under division (B) of section 5715.01 of the Revised 31598
Code, not to exceed thirty-five per cent;31599

        (3) The effective tax rate on residential/agricultural real 31600
property, where "effective tax rate" is defined as in section 31601
323.08 of the Revised Code, and where "residential/agricultural 31602
real property" is defined as in section 5713.041 of the Revised 31603
Code;31604

       (4) In the case of a manufactured or mobile home for which 31605
the tax is computed under division (C)(2) of section 4503.06 of 31606
the Revised Code, the quantity equal to one minus the sum of the 31607
percentage reductions in taxes allowed by section 319.302 of the 31608
Revised Code and division (B) of section 323.152 of the Revised 31609
Code.31610

       (C) If the owner or the spouse of the owner of a manufactured 31611
or mobile home is eligible for a homestead exemption on the land 31612
upon which the home is located, the reduction in assessable value31613
to which the owner or spouse is entitled under this section shall 31614
not exceed the difference between the reduction in assessable 31615
value to which the owner or spouse is entitled under column A of 31616
the above scheduledivision (B) of this section and the amount of 31617
the reduction in taxable value that was used to computeunder the31618
homestead exemption.31619

       (D) No reduction shall be made on the assessable value of31620
with respect to the home of any person convicted of violating 31621
division (C) or (D) of section 4503.066 of the Revised Code for a 31622
period of three years following the conviction.31623

       Sec. 4503.066.  (A)(1) To obtain a tax reduction in the31624
assessable value of a manufactured or mobile home under section31625
4503.065 of the Revised Code, the owner of the home shall file an31626
application with the county auditor of the county in which the31627
home is located. An application for reduction in assessable value31628
taxes based upon a physical disability shall be accompanied by a31629
certificate signed by a physician, and an application for31630
reduction in assessable valuetaxes based upon a mental disability 31631
shall be accompanied by a certificate signed by a physician or31632
psychologist licensed to practice in this state. The certificate31633
shall attest to the fact that the applicant is permanently and31634
totally disabled, shall be in a form that the department of31635
taxation requires, and shall include the definition of totally and31636
permanently disabled as set forth in section 4503.064 of the31637
Revised Code. An application for reduction in assessable value31638
taxes based upon a disability certified as permanent and total by 31639
a state or federal agency having the function of so classifying31640
persons shall be accompanied by a certificate from that agency.31641

       (2) Each application shall constitute a continuing31642
application for a reduction in assessable valuetaxes for each 31643
year in which the manufactured or mobile home is occupied by the 31644
applicant and in which the amount of the reduction in assessable 31645
value does not exceed either the amount or per cent of the31646
reduction for the year in which the application was first filed. 31647
Failure to receive a new application or notification under 31648
division (B) of this section after a certificate of reduction has 31649
been issued under section 4503.067 of the Revised Code is 31650
prima-facie evidence that the original applicant is entitled to 31651
the reduction in assessable value calculated on the basis of the 31652
information contained in the original application. The original 31653
application and any subsequent application shall be in the form of 31654
a signed statement and shall be filed not later than the first 31655
Monday in June. The statement shall be on a form, devised and 31656
supplied by the tax commissioner, that shall require no more 31657
information than is necessary to establish the applicant's 31658
eligibility for the reduction in assessable valuetaxes and the 31659
amount of the reduction to which the applicant is entitled. The 31660
form shall contain a statement that signing such application 31661
constitutes a delegation of authority by the applicant to the 31662
county auditor to examine any financial records that relate to 31663
income earned by the applicant as stated on the application for 31664
the purpose of determining eligibility under, or possible 31665
violation of, division (C) or (D) of this section. The form also 31666
shall contain a statement that conviction of willfully falsifying 31667
information to obtain a reduction in assessable valuetaxes or 31668
failing to comply with division (B) of this section shall result 31669
in the revocation of the right to the reduction for a period of 31670
three years.31671

       (3) A late application for a reduction in assessable value31672
taxes for the year preceding the year for which an original 31673
application is filed may be filed with an original application. If 31674
the auditor determines that the information contained in the late31675
application is correct, the auditor shall determine both the31676
amount of the reduction in assessable valuetaxes to which the 31677
applicant would have been entitled for the current tax year had 31678
the application been timely filed and approved in the preceding 31679
year, and the amount the taxes levied under section 4503.06 of the31680
Revised Code for the current year would have been reduced as a31681
result of the reduction in assessable value. When an applicant is31682
permanently and totally disabled on the first day of January of31683
the year in which the applicant files a late application, the31684
auditor, in making the determination of the amounts of the31685
reduction in assessable value and taxes under division (A)(3) of31686
this section, is not required to determine that the applicant was31687
permanently and totally disabled on the first day of January of31688
the preceding year.31689

       The amount of the reduction in taxes pursuant to a late31690
application shall be treated as an overpayment of taxes by the31691
applicant. The auditor shall credit the amount of the overpayment31692
against the amount of the taxes or penalties then due from the31693
applicant, and, at the next succeeding settlement, the amount of31694
the credit shall be deducted from the amount of any taxes or31695
penalties distributable to the county or any taxing unit in the31696
county that has received the benefit of the taxes or penalties31697
previously overpaid, in proportion to the benefits previously31698
received. If, after the credit has been made, there remains a31699
balance of the overpayment, or if there are no taxes or penalties31700
due from the applicant, the auditor shall refund that balance to31701
the applicant by a warrant drawn on the county treasurer in favor31702
of the applicant. The treasurer shall pay the warrant from the31703
general fund of the county. If there is insufficient money in the31704
general fund to make the payment, the treasurer shall pay the31705
warrant out of any undivided manufactured or mobile home taxes31706
subsequently received by the treasurer for distribution to the31707
county or taxing district in the county that received the benefit31708
of the overpaid taxes, in proportion to the benefits previously31709
received, and the amount paid from the undivided funds shall be31710
deducted from the money otherwise distributable to the county or31711
taxing district in the county at the next or any succeeding31712
distribution. At the next or any succeeding distribution after31713
making the refund, the treasurer shall reimburse the general fund31714
for any payment made from that fund by deducting the amount of31715
that payment from the money distributable to the county or other31716
taxing unit in the county that has received the benefit of the31717
taxes, in proportion to the benefits previously received. On the31718
second Monday in September of each year, the county auditor shall31719
certify the total amount of the reductions in taxes made in the31720
current year under division (A)(3) of this section to the tax31721
commissioner who shall treat that amount as a reduction in taxes31722
for the current tax year and shall make reimbursement to the31723
county of that amount in the manner prescribed in section 4503.06831724
of the Revised Code, from moneys appropriated for that purpose.31725

       (B) If in any year after an application has been filed under31726
division (A) of this section the owner no longer qualifies for the31727
reduction in assessable valuetaxes for which the owner was issued 31728
a certificate or qualifies for a reduction that is less than 31729
either the per cent or amount of the reduction to which the owner31730
was entitled in the year the application was filed, the owner 31731
shall notify the county auditor that the owner is not qualified 31732
for a reduction in the assessable value of the home or file a new31733
application under division (A) of this sectiontaxes.31734

       During January of each year, the county auditor shall furnish31735
each person issued a certificate of reduction in value, by31736
ordinary mail, a form on which to report any changes in total31737
income that would have the effect of increasing or decreasing the31738
reduction to which the person is entitled, changes in ownership of31739
the home, including changes in or revocation of a revocable inter31740
vivos trust, changes in disability, and other changes in the31741
information earlier furnished the auditor relative to the31742
application. The form shall be completed and returned to the31743
auditor not later than the first Monday in June if the changes31744
would affect the level of reduction in assessable value.31745

       (C) No person shall knowingly make a false statement for the31746
purpose of obtaining a reduction in assessable valuetaxes under31747
section 4503.065 of the Revised Code.31748

       (D) No person shall knowingly fail to notify the county31749
auditor of any change required by division (B) of this section31750
that has the effect of maintaining or securing a reduction in31751
assessable value of the home in excess of the reduction allowed31752
taxes under section 4503.065 of the Revised Code.31753

       (E) No person shall knowingly make a false statement or31754
certification attesting to any person's physical or mental31755
condition for purposes of qualifying such person for tax relief31756
pursuant to sections 4503.064 to 4503.069 of the Revised Code.31757

       (F) Whoever violates division (C), (D), or (E) of this31758
section is guilty of a misdemeanor of the fourth degree.31759

       Sec. 4503.067.  (A) At the same time the tax bill for the 31760
first half of the tax year is issued, the county auditor shall 31761
issue a certificate of reduction in assessable value oftaxes for31762
a manufactured or mobile home in triplicate for each person who 31763
has complied with section 4503.066 of the Revised Code and been 31764
found by the auditor to be entitled to a reduction of assessable 31765
valuein taxes for the succeeding tax year. The certificate shall 31766
set forth the assessable value of the home calculated under 31767
section 4503.06 of the Revised Code and the amount of the 31768
reduction in assessable value of the hometaxes calculated under 31769
section 4503.065 of the Revised Code. Upon issuance of the 31770
certificate, the auditor shall reduce the assessable value of31771
manufactured home tax levied on the home for the succeeding tax31772
year by the required amount and forward the original and one copy 31773
of the certificate to the county treasurer. The auditor shall 31774
retain one copy of the certificate. The treasurer shall retain the 31775
original certificate and forward the remaining copy to the31776
recipient with the tax bill delivered pursuant to division (D)(6) 31777
of section 4503.06 of the Revised Code.31778

       (B) If the application or a continuing application is not31779
approved, the auditor shall notify the applicant of the reasons31780
for denial no later than the first Monday in October. If a person 31781
believes that the person's application for reduction in assessable 31782
value of a hometaxes has been improperly denied or is for less 31783
than that to which the person is entitled, the person may file an 31784
appeal with the county board of revision no later than the 31785
thirty-first day of January of the following calendar year. The 31786
appeal shall be treated in the same manner as a complaint relating 31787
to the valuation or assessment of real property under Chapter 31788
5715. of the Revised Code.31789

       Sec. 4503.10.  (A) The owner of every snowmobile, off-highway 31790
motorcycle, and all-purpose vehicle required to be registered 31791
under section 4519.02 of the Revised Code shall file an31792
application for registration under section 4519.03 of the Revised31793
Code. The owner of a motor vehicle, other than a snowmobile,31794
off-highway motorcycle, or all-purpose vehicle, that is not31795
designed and constructed by the manufacturer for operation on a31796
street or highway may not register it under this chapter except31797
upon certification of inspection pursuant to section 4513.02 of31798
the Revised Code by the sheriff, or the chief of police of the31799
municipal corporation or township, with jurisdiction over the31800
political subdivision in which the owner of the motor vehicle31801
resides. Except as provided in section 4503.103 of the Revised31802
Code, every owner of every other motor vehicle not previously31803
described in this section and every person mentioned as owner in31804
the last certificate of title of a motor vehicle that is operated31805
or driven upon the public roads or highways shall cause to be31806
filed each year, by mail or otherwise, in the office of the31807
registrar of motor vehicles or a deputy registrar, a written or31808
electronic application or a preprinted registration renewal notice31809
issued under section 4503.102 of the Revised Code, the form of31810
which shall be prescribed by the registrar, for registration for31811
the following registration year, which shall begin on the first31812
day of January of every calendar year and end on the thirty-first31813
day of December in the same year. Applications for registration31814
and registration renewal notices shall be filed at the times31815
established by the registrar pursuant to section 4503.101 of the31816
Revised Code. A motor vehicle owner also may elect to apply for or 31817
renew a motor vehicle registration by electronic means using31818
electronic signature in accordance with rules adopted by the31819
registrar. Except as provided in division (J) of this section,31820
applications for registration shall be made on blanks furnished by31821
the registrar for that purpose, containing the following31822
information:31823

       (1) A brief description of the motor vehicle to be31824
registered, including the year, make, model, and vehicle 31825
identification number, and, in the case of commercial cars, the 31826
gross weight of the vehicle fully equipped computed in the manner 31827
prescribed in section 4503.08 of the Revised Code;31828

       (2) The name and residence address of the owner, and the31829
township and municipal corporation in which the owner resides;31830

       (3) The district of registration, which shall be determined31831
as follows:31832

       (a) In case the motor vehicle to be registered is used for31833
hire or principally in connection with any established business or31834
branch business, conducted at a particular place, the district of31835
registration is the municipal corporation in which that place is31836
located or, if not located in any municipal corporation, the31837
county and township in which that place is located.31838

       (b) In case the vehicle is not so used, the district of31839
registration is the municipal corporation or county in which the31840
owner resides at the time of making the application.31841

       (4) Whether the motor vehicle is a new or used motor vehicle;31842

       (5) The date of purchase of the motor vehicle;31843

       (6) Whether the fees required to be paid for the registration 31844
or transfer of the motor vehicle, during the preceding 31845
registration year and during the preceding period of the current 31846
registration year, have been paid. Each application for31847
registration shall be signed by the owner, either manually or by31848
electronic signature, or pursuant to obtaining a limited power of31849
attorney authorized by the registrar for registration, or other31850
document authorizing such signature. If the owner elects to apply31851
for or renew the motor vehicle registration with the registrar by31852
electronic means, the owner's manual signature is not required.31853

       (7) The owner's social security number, if assigned, or,31854
where a motor vehicle to be registered is used for hire or31855
principally in connection with any established business, the31856
owner's federal taxpayer identification number. The bureau of31857
motor vehicles shall retain in its records all social security31858
numbers provided under this section, but the bureau shall not31859
place social security numbers on motor vehicle certificates of31860
registration.31861

       (B) Except as otherwise provided in this division, each time 31862
an applicant first registers a motor vehicle in the applicant's 31863
name, the applicant shall present for inspection a physical31864
certificate of title or memorandum certificate showing title to31865
the motor vehicle to be registered in the name of the applicant if 31866
a physical certificate of title or memorandum certificate has been 31867
issued by a clerk of a court of common pleas. If, under sections 31868
4505.021, 4505.06, and 4505.08 of the Revised Code, a clerk 31869
instead has issued an electronic certificate of title for the 31870
applicant's motor vehicle, that certificate may be presented for 31871
inspection at the time of first registration in a manner 31872
prescribed by rules adopted by the registrar. An applicant is not 31873
required to present a certificate of title to an electronic motor 31874
vehicle dealer acting as a limited authority deputy registrar in 31875
accordance with rules adopted by the registrar. When a motor 31876
vehicle inspection and maintenance program is in effect under 31877
section 3704.14 of the Revised Code and rules adopted under it, 31878
each application for registration for a vehicle required to be 31879
inspected under that section and those rules shall be accompanied 31880
by an inspection certificate for the motor vehicle issued in 31881
accordance with that section. The application shall be refused if 31882
any of the following applies:31883

       (1) The application is not in proper form.31884

       (2) The application is prohibited from being accepted by31885
division (D) of section 2935.27, division (A) of section 2937.221,31886
division (A) of section 4503.13, division (B) of section 4510.22,31887
or division (B)(1) of section 4521.10 of the Revised Code.31888

       (3) A certificate of title or memorandum certificate of title 31889
is required but does not accompany the application or, in the case 31890
of an electronic certificate of title, is required but is not 31891
presented in a manner prescribed by the registrar's rules.31892

       (4) All registration and transfer fees for the motor vehicle, 31893
for the preceding year or the preceding period of the current 31894
registration year, have not been paid.31895

       (5) The owner or lessee does not have an inspection31896
certificate for the motor vehicle as provided in section 3704.1431897
of the Revised Code, and rules adopted under it, if that section31898
is applicable.31899

       This section does not require the payment of license or31900
registration taxes on a motor vehicle for any preceding year, or31901
for any preceding period of a year, if the motor vehicle was not31902
taxable for that preceding year or period under sections 4503.02,31903
4503.04, 4503.11, 4503.12, and 4503.16 or Chapter 4504. of the31904
Revised Code. When a certificate of registration is issued upon31905
the first registration of a motor vehicle by or on behalf of the31906
owner, the official issuing the certificate shall indicate the31907
issuance with a stamp on the certificate of title or memorandum31908
certificate or, in the case of an electronic certificate of title,31909
an electronic stamp or other notation as specified in rules31910
adopted by the registrar, and with a stamp on the inspection31911
certificate for the motor vehicle, if any. The official also shall 31912
indicate, by a stamp or by other means the registrar prescribes, 31913
on the registration certificate issued upon the first registration 31914
of a motor vehicle by or on behalf of the owner the odometer 31915
reading of the motor vehicle as shown in the odometer statement 31916
included in or attached to the certificate of title. Upon each 31917
subsequent registration of the motor vehicle by or on behalf of 31918
the same owner, the official also shall so indicate the odometer 31919
reading of the motor vehicle as shown on the immediately preceding31920
certificate of registration.31921

       The registrar shall include in the permanent registration31922
record of any vehicle required to be inspected under section31923
3704.14 of the Revised Code the inspection certificate number from31924
the inspection certificate that is presented at the time of31925
registration of the vehicle as required under this division.31926

       (C)(1) Commencing with each registration renewal with an 31927
expiration date on or after October 1, 2003, and for each initial 31928
application for registration received on and after that date, the 31929
registrar and each deputy registrar shall collect an additional 31930
fee of eleven dollars for each application for registration and 31931
registration renewal received. The additional fee is for the 31932
purpose of defraying the department of public safety's costs 31933
associated with the administration and enforcement of the motor 31934
vehicle and traffic laws of Ohio. Each deputy registrar shall 31935
transmit the fees collected under division (C)(1) of this section 31936
in the time and manner provided in this section. The registrar 31937
shall deposit all moneys received under division (C)(1) of this 31938
section into the state highway safety fund established in section 31939
4501.06 of the Revised Code.31940

       (2) In addition, a charge of twenty-five cents shall be made31941
for each reflectorized safety license plate issued, and a single31942
charge of twenty-five cents shall be made for each county31943
identification sticker or each set of county identification31944
stickers issued, as the case may be, to cover the cost of31945
producing the license plates and stickers, including material,31946
manufacturing, and administrative costs. Those fees shall be in31947
addition to the license tax. If the total cost of producing the31948
plates is less than twenty-five cents per plate, or if the total31949
cost of producing the stickers is less than twenty-five cents per31950
sticker or per set issued, any excess moneys accruing from the31951
fees shall be distributed in the same manner as provided by31952
section 4501.04 of the Revised Code for the distribution of31953
license tax moneys. If the total cost of producing the plates31954
exceeds twenty-five cents per plate, or if the total cost of31955
producing the stickers exceeds twenty-five cents per sticker or31956
per set issued, the difference shall be paid from the license tax31957
moneys collected pursuant to section 4503.02 of the Revised Code.31958

       (D) Each deputy registrar shall be allowed a fee of two31959
dollars and seventy-five cents commencing on July 1, 2001, three31960
dollars and twenty-five cents commencing on January 1, 2003, and31961
three dollars and fifty cents commencing on January 1, 2004, for31962
each application for registration and registration renewal notice31963
the deputy registrar receives, which shall be for the purpose of31964
compensating the deputy registrar for the deputy registrar's31965
services, and such office and rental expenses, as may be necessary31966
for the proper discharge of the deputy registrar's duties in the31967
receiving of applications and renewal notices and the issuing of31968
registrations.31969

       (E) Upon the certification of the registrar, the county31970
sheriff or local police officials shall recover license plates31971
erroneously or fraudulently issued.31972

       (F) Each deputy registrar, upon receipt of any application31973
for registration or registration renewal notice, together with the31974
license fee and any local motor vehicle license tax levied31975
pursuant to Chapter 4504. of the Revised Code, shall transmit that31976
fee and tax, if any, in the manner provided in this section,31977
together with the original and duplicate copy of the application,31978
to the registrar. The registrar, subject to the approval of the31979
director of public safety, may deposit the funds collected by31980
those deputies in a local bank or depository to the credit of the31981
"state of Ohio, bureau of motor vehicles." Where a local bank or31982
depository has been designated by the registrar, each deputy31983
registrar shall deposit all moneys collected by the deputy31984
registrar into that bank or depository not more than one business31985
day after their collection and shall make reports to the registrar31986
of the amounts so deposited, together with any other information,31987
some of which may be prescribed by the treasurer of state, as the31988
registrar may require and as prescribed by the registrar by rule.31989
The registrar, within three days after receipt of notification of31990
the deposit of funds by a deputy registrar in a local bank or31991
depository, shall draw on that account in favor of the treasurer31992
of state. The registrar, subject to the approval of the director31993
and the treasurer of state, may make reasonable rules necessary31994
for the prompt transmittal of fees and for safeguarding the31995
interests of the state and of counties, townships, municipal31996
corporations, and transportation improvement districts levying31997
local motor vehicle license taxes. The registrar may pay service31998
charges usually collected by banks and depositories for such31999
service. If deputy registrars are located in communities where32000
banking facilities are not available, they shall transmit the fees32001
forthwith, by money order or otherwise, as the registrar, by rule32002
approved by the director and the treasurer of state, may32003
prescribe. The registrar may pay the usual and customary fees for32004
such service.32005

       (G) This section does not prevent any person from making an32006
application for a motor vehicle license directly to the registrar32007
by mail, by electronic means, or in person at any of the32008
registrar's offices, upon payment of a service fee of two dollars32009
and seventy-five cents commencing on July 1, 2001, three dollars32010
and twenty-five cents commencing on January 1, 2003, and three32011
dollars and fifty cents commencing on January 1, 2004, for each32012
application.32013

       (H) No person shall make a false statement as to the district 32014
of registration in an application required by division (A) of this 32015
section. Violation of this division is falsification under section 32016
2921.13 of the Revised Code and punishable as specified in that 32017
section.32018

       (I)(1) Where applicable, the requirements of division (B) of32019
this section relating to the presentation of an inspection32020
certificate issued under section 3704.14 of the Revised Code and32021
rules adopted under it for a motor vehicle, the refusal of a32022
license for failure to present an inspection certificate, and the32023
stamping of the inspection certificate by the official issuing the32024
certificate of registration apply to the registration of and32025
issuance of license plates for a motor vehicle under sections32026
4503.102, 4503.12, 4503.14, 4503.15, 4503.16, 4503.171, 4503.172,32027
4503.19, 4503.40, 4503.41, 4503.42, 4503.43, 4503.44, 4503.46,32028
4503.47, and 4503.51 of the Revised Code.32029

       (2)(a) The registrar shall adopt rules ensuring that each32030
owner registering a motor vehicle in a county where a motor32031
vehicle inspection and maintenance program is in effect under32032
section 3704.14 of the Revised Code and rules adopted under it32033
receives information about the requirements established in that32034
section and those rules and about the need in those counties to32035
present an inspection certificate with an application for32036
registration or preregistration.32037

       (b) Upon request, the registrar shall provide the director of 32038
environmental protection, or any person that has been awarded a32039
contract under division (D) of section 3704.14 of the Revised32040
Code, an on-line computer data link to registration information32041
for all passenger cars, noncommercial motor vehicles, and32042
commercial cars that are subject to that section. The registrar32043
also shall provide to the director of environmental protection a32044
magnetic data tape containing registration information regarding32045
passenger cars, noncommercial motor vehicles, and commercial cars32046
for which a multi-year registration is in effect under section32047
4503.103 of the Revised Code or rules adopted under it, including,32048
without limitation, the date of issuance of the multi-year32049
registration, the registration deadline established under rules32050
adopted under section 4503.101 of the Revised Code that was32051
applicable in the year in which the multi-year registration was32052
issued, and the registration deadline for renewal of the32053
multi-year registration.32054

       (J) Application for registration under the international32055
registration plan, as set forth in sections 4503.60 to 4503.66 of32056
the Revised Code, shall be made to the registrar on forms32057
furnished by the registrar. In accordance with international32058
registration plan guidelines and pursuant to rules adopted by the32059
registrar, the forms shall include the following:32060

       (1) A uniform mileage schedule;32061

       (2) The gross vehicle weight of the vehicle or combined gross 32062
vehicle weight of the combination vehicle as declared by the32063
registrant;32064

       (3) Any other information the registrar requires by rule.32065

       Sec. 4503.102.  (A) The registrar of motor vehicles shall32066
adopt rules to establish a centralized system of motor vehicle32067
registration renewal by mail or by electronic means. Any person32068
owning a motor vehicle that was registered in the person's name32069
during the preceding registration year shall renew the32070
registration of the motor vehicle not more than ninety days prior32071
to the expiration date of the registration either by mail or by32072
electronic means through the centralized system of registration32073
established under this section, or in person at any office of the32074
registrar or at a deputy registrar's office.32075

       (B)(1) No less than forty-five days prior to the expiration32076
date of any motor vehicle registration, the registrar shall mail a32077
renewal notice to the person in whose name the motor vehicle is32078
registered. The renewal notice shall clearly state that the32079
registration of the motor vehicle may be renewed by mail or32080
electronic means through the centralized system of registration or32081
in person at any office of the registrar or at a deputy32082
registrar's office and shall be preprinted with information32083
including, but not limited to, the owner's name and residence32084
address as shown in the records of the bureau of motor vehicles, a32085
brief description of the motor vehicle to be registered, notice of32086
the license taxes and fees due on the motor vehicle, the toll-free32087
telephone number of the registrar as required under division32088
(D)(1) of section 4503.031 of the Revised Code, and any additional32089
information the registrar may require by rule. The renewal notice32090
shall be sent by regular mail to the owner's last known address as32091
shown in the records of the bureau of motor vehicles.32092

       (2) If the application for renewal of the registration of a32093
motor vehicle is prohibited from being accepted by the registrar32094
or a deputy registrar by division (D) of section 2935.27, division32095
(A) of section 2937.221, division (A) of section 4503.13, division32096
(B) of section 4510.22, or division (B)(1) of section 4521.10 of32097
the Revised Code, the registrar is not required to send a renewal32098
notice to the vehicle owner or vehicle lessee.32099

       (C) The owner of the motor vehicle shall verify the32100
information contained in the notice, sign it either manually or by32101
electronic means, and return it, either by mail or electronic32102
means, or the owner may take it in person to any office of the32103
registrar or of a deputy registrar, together with a financial32104
transaction device number, when permitted by rule of the32105
registrar, check, or money order in the amount of the registration32106
taxes and fees payable on the motor vehicle and a mail fee of two32107
dollars and seventy-five cents commencing on July 1, 2001, three32108
dollars and twenty-five cents commencing on January 1, 2003, and32109
three dollars and fifty cents commencing on January 1, 2004, plus32110
postage as indicated on the notice, if the registration is renewed32111
by mail, and an inspection certificate for the motor vehicle as32112
provided in section 3704.14 of the Revised Code. If the motor32113
vehicle owner chooses to renew the motor vehicle registration by32114
electronic means, the owner shall proceed in accordance with the32115
rules the registrar adopts.32116

       (D) If all registration and transfer fees for the motor32117
vehicle for the preceding year or the preceding period of the32118
current registration year have not been paid, if division (D) of32119
section 2935.27, division (A) of section 2937.221, division (A) of32120
section 4503.13, division (B) of section 4510.22, or division32121
(B)(1) of section 4521.10 of the Revised Code prohibits acceptance32122
of the renewal notice, or if the owner or lessee does not have an32123
inspection certificate for the motor vehicle as provided in32124
section 3704.14 of the Revised Code, if that section is32125
applicable, the license shall be refused, and the registrar or32126
deputy registrar shall so notify the owner. This section does not32127
require the payment of license or registration taxes on a motor32128
vehicle for any preceding year, or for any preceding period of a32129
year, if the motor vehicle was not taxable for that preceding year32130
or period under section 4503.02, 4503.04, 4503.11, 4503.12, or32131
4503.16 or Chapter 4504. of the Revised Code.32132

       (E)(1) Failure to receive a renewal notice does not relieve a 32133
motor vehicle owner from the responsibility to renew the32134
registration for the motor vehicle. Any person who has a motor32135
vehicle registered in this state and who does not receive a32136
renewal notice as provided in division (B) of this section prior32137
to the expiration date of the registration shall request an32138
application for registration from the registrar or a deputy32139
registrar and sign the application manually or by electronic means32140
and submit the application and pay any applicable license taxes32141
and fees to the registrar or deputy registrar.32142

       (2) If the owner of a motor vehicle submits an application32143
for registration and the registrar is prohibited by division (D)32144
of section 2935.27, division (A) of section 2937.221, division (A)32145
of section 4503.13, division (B) of section 4510.22, or division32146
(B)(1) of section 4521.10 of the Revised Code from accepting the32147
application, the registrar shall return the application and the32148
payment to the owner. If the owner of a motor vehicle submits a32149
registration renewal application to the registrar by electronic32150
means and the registrar is prohibited from accepting the32151
application as provided in this division, the registrar shall32152
notify the owner of this fact and deny the application and return32153
the payment or give a credit on the financial transaction device32154
account of the owner in the manner the registrar prescribes by32155
rule adopted pursuant to division (A) of this section.32156

       (F) Every deputy registrar shall post in a prominent place at 32157
the deputy's office a notice informing the public of the mail32158
registration system required by this section and also shall post a32159
notice that every owner of a motor vehicle and every chauffeur32160
holding a certificate of registration is required to notify the32161
registrar in writing of any change of residence within ten days32162
after the change occurs. The notice shall be in such form as the32163
registrar prescribes by rule.32164

       (G) The two dollars and seventy-five cents fee collected from 32165
July 1, 2001, through December 31, 2002, the three dollars and 32166
twenty-five cents fee collected from January 1, 2003, through32167
December 31, 2003, and the three dollars and fifty cents fee32168
collected after January 1, 2004, plus postage and any financial32169
transaction device surcharge collected by the registrar for32170
registration by mail, shall be paid to the credit of the state32171
bureau of motor vehicles fund established by section 4501.25 of32172
the Revised Code.32173

       (H)(1) Pursuant to section 113.40 of the Revised Code, the32174
registrar may implement a program permitting payment of motor32175
vehicle registration taxes and fees, driver's license and32176
commercial driver's license fees, and any other taxes, fees,32177
penalties, or charges imposed or levied by the state by means of a32178
financial transaction device. The registrar may adopt rules as32179
necessary for this purpose.32180

       (2) Not later than December 31, 2007, the registrar shall 32181
adopt rules to implement a program permitting payment in person at 32182
the office of a deputy registrar of all motor vehicle registration 32183
taxes and fees, driver's licenses and commercial driver's license 32184
fees, and any other taxes, fees, penalties, or charges imposed or 32185
levied by the state by means of a financial transaction device. A 32186
deputy registrar may choose, but in no case shall be required, to 32187
participate in this program.32188

       (I) For persons who reside in counties where tailpipe32189
emissions inspections are required under the motor vehicle32190
inspection and maintenance program, the notice required by32191
division (B) of this section shall also include the toll-free32192
telephone number maintained by the Ohio environmental protection32193
agency to provide information concerning the locations of32194
emissions testing centers.32195

       Sec. 4503.35. (A) The motor vehicles furnished by the state 32196
for use by the elective state officials, and motor vehicles owned 32197
and operated by political subdivisions of the state, are exempt 32198
from section 4503.23 of the Revised Code.32199

       (B) The motorfollowing vehicles are exempt from section 32200
4503.23 of the Revised Code:32201

       (1) Motor vehicles operated by troopers of the state highway 32202
patrol, and motor;32203

       (2) Motor vehicles operated by or on behalf of any person 32204
whose responsibilities include involvement in authorized civil or 32205
criminal investigations requiring that the presence and identity 32206
of the vehicle occupants be undisclosed, are exempt from section 32207
4503.23 of the Revised Code;32208

       (3) Motor vehicles used to assist crime victims when a state 32209
agency determines that the situation warrants it.32210

       Sec. 4505.06.  (A)(1) Application for a certificate of title 32211
shall be made in a form prescribed by the registrar of motor 32212
vehicles and shall be sworn to before a notary public or other 32213
officer empowered to administer oaths. The application shall be 32214
filed with the clerk of any court of common pleas. An application 32215
for a certificate of title may be filed electronically by any32216
electronic means approved by the registrar in any county with the 32217
clerk of the court of common pleas of that county. Any payments 32218
required by this chapter shall be considered as accompanying any 32219
electronically transmitted application when payment actually is 32220
received by the clerk. Payment of any fee or taxes may be made by 32221
electronic transfer of funds.32222

       (2) The application for a certificate of title shall be 32223
accompanied by the fee prescribed in section 4505.09 of the 32224
Revised Code. The fee shall be retained by the clerk who issues32225
the certificate of title and shall be distributed in accordance32226
with that section. If a clerk of a court of common pleas, other32227
than the clerk of the court of common pleas of an applicant's32228
county of residence, issues a certificate of title to the32229
applicant, the clerk shall transmit data related to the 32230
transaction to the automated title processing system.32231

       (3) If a certificate of title previously has been issued for 32232
a motor vehicle in this state, the application for a certificate 32233
of title also shall be accompanied by that certificate of title 32234
duly assigned, unless otherwise provided in this chapter. If a 32235
certificate of title previously has not been issued for the motor 32236
vehicle in this state, the application, unless otherwise provided 32237
in this chapter, shall be accompanied by a manufacturer's or 32238
importer's certificate or by a certificate of title of another 32239
state from which the motor vehicle was brought into this state. If 32240
the application refers to a motor vehicle last previously 32241
registered in another state, the application also shall be 32242
accompanied by the physical inspection certificate required by 32243
section 4505.061 of the Revised Code. If the application is made 32244
by two persons regarding a motor vehicle in which they wish to 32245
establish joint ownership with right of survivorship, they may do 32246
so as provided in section 2131.12 of the Revised Code. If the 32247
applicant requests a designation of the motor vehicle in 32248
beneficiary form so that upon the death of the owner of the motor 32249
vehicle, ownership of the motor vehicle will pass to a designated 32250
transfer-on-death beneficiary or beneficiaries, the applicant may 32251
do so as provided in section 2131.13 of the Revised Code. A person 32252
who establishes ownership of a motor vehicle that is transferable 32253
on death in accordance with section 2131.13 of the Revised Code 32254
may terminate that type of ownership or change the designation of 32255
the transfer-on-death beneficiary or beneficiaries by applying for 32256
a certificate of title pursuant to this section. The clerk shall32257
retain the evidence of title presented by the applicant and on32258
which the certificate of title is issued, except that, if an 32259
application for a certificate of title is filed electronically by 32260
an electronic motor vehicle dealer on behalf of the purchaser of a 32261
motor vehicle, the clerk shall retain the completed electronic 32262
record to which the dealer converted the certificate of title 32263
application and other required documents. The registrar, after 32264
consultation with the attorney general, shall adopt rules that 32265
govern the location at which, and the manner in which, are stored 32266
the actual application and all other documents relating to the 32267
sale of a motor vehicle when an electronic motor vehicle dealer 32268
files the application for a certificate of title electronically on 32269
behalf of the purchaser.32270

       The clerk shall use reasonable diligence in ascertaining 32271
whether or not the facts in the application for a certificate of 32272
title are true by checking the application and documents 32273
accompanying it or the electronic record to which a dealer32274
converted the application and accompanying documents with the32275
records of motor vehicles in the clerk's office. If the clerk is32276
satisfied that the applicant is the owner of the motor vehicle and 32277
that the application is in the proper form, the clerk, within five 32278
business days after the application is filed and except as 32279
provided in section 4505.021 of the Revised Code, shall issue a32280
physical certificate of title over the clerk's signature and 32281
sealed with the clerk's seal, unless the applicant specifically 32282
requests the clerk not to issue a physical certificate of title32283
and instead to issue an electronic certificate of title. For 32284
purposes of the transfer of a certificate of title, if the clerk 32285
is satisfied that the secured party has duly discharged a lien 32286
notation but has not canceled the lien notation with a clerk, the 32287
clerk may cancel the lien notation on the automated title 32288
processing system and notify the clerk of the county of origin.32289

       (4) In the case of the sale of a motor vehicle to a general32290
buyer or user by a dealer, by a motor vehicle leasing dealer32291
selling the motor vehicle to the lessee or, in a case in which the32292
leasing dealer subleased the motor vehicle, the sublessee, at the 32293
end of the lease agreement or sublease agreement, or by a32294
manufactured home broker, the certificate of title shall be 32295
obtained in the name of the buyer by the dealer, leasing dealer,32296
or manufactured home broker, as the case may be, upon application 32297
signed by the buyer. The certificate of title shall be issued, or 32298
the process of entering the certificate of title application 32299
information into the automated title processing system if a 32300
physical certificate of title is not to be issued shall be 32301
completed, within five business days after the application for 32302
title is filed with the clerk. If the buyer of the motor vehicle 32303
previously leased the motor vehicle and is buying the motor 32304
vehicle at the end of the lease pursuant to that lease, the 32305
certificate of title shall be obtained in the name of the buyer by 32306
the motor vehicle leasing dealer who previously leased the motor 32307
vehicle to the buyer or by the motor vehicle leasing dealer who 32308
subleased the motor vehicle to the buyer under a sublease 32309
agreement.32310

       In all other cases, except as provided in section 4505.032 32311
and division (D)(2) of section 4505.11 of the Revised Code, such 32312
certificates shall be obtained by the buyer.32313

       (5)(a)(i) If the certificate of title is being obtained in32314
the name of the buyer by a motor vehicle dealer or motor vehicle32315
leasing dealer and there is a security interest to be noted on the32316
certificate of title, the dealer or leasing dealer shall submit32317
the application for the certificate of title and payment of the32318
applicable tax to a clerk within seven business days after the32319
later of the delivery of the motor vehicle to the buyer or the32320
date the dealer or leasing dealer obtains the manufacturer's or32321
importer's certificate, or certificate of title issued in the name32322
of the dealer or leasing dealer, for the motor vehicle. Submission32323
of the application for the certificate of title and payment of the32324
applicable tax within the required seven business days may be32325
indicated by postmark or receipt by a clerk within that period.32326

       (ii) Upon receipt of the certificate of title with the32327
security interest noted on its face, the dealer or leasing dealer32328
shall forward the certificate of title to the secured party at the32329
location noted in the financing documents or otherwise specified32330
by the secured party.32331

       (iii) A motor vehicle dealer or motor vehicle leasing dealer32332
is liable to a secured party for a late fee of ten dollars per day32333
for each certificate of title application and payment of the32334
applicable tax that is submitted to a clerk more than seven32335
business days but less than twenty-one days after the later of the32336
delivery of the motor vehicle to the buyer or the date the dealer32337
or leasing dealer obtains the manufacturer's or importer's32338
certificate, or certificate of title issued in the name of the32339
dealer or leasing dealer, for the motor vehicle and, from then on,32340
twenty-five dollars per day until the application and applicable32341
tax are submitted to a clerk.32342

       (b) In all cases of transfer of a motor vehicle, the32343
application for certificate of title shall be filed within thirty 32344
days after the assignment or delivery of the motor vehicle. If an 32345
application for a certificate of title is not filed within the 32346
period specified in division (A)(5)(b) of this section, the clerk 32347
shall collect a fee of five dollars for the issuance of the 32348
certificate, except that no such fee shall be required from a 32349
motor vehicle salvage dealer, as defined in division (A) of 32350
section 4738.01 of the Revised Code, who immediately surrenders 32351
the certificate of title for cancellation. The fee shall be in 32352
addition to all other fees established by this chapter, and shall 32353
be retained by the clerk. The registrar shall provide, on the 32354
certificate of title form prescribed by section 4505.07 of the 32355
Revised Code, language necessary to give evidence of the date on 32356
which the assignment or delivery of the motor vehicle was made.32357

       (6) As used in division (A) of this section, "lease32358
agreement," "lessee," and "sublease agreement" have the same32359
meanings as in section 4505.04 of the Revised Code.32360

       (B)(1) The clerk, except as provided in this section, shall 32361
refuse to accept for filing any application for a certificate of 32362
title and shall refuse to issue a certificate of title unless the 32363
dealer or manufactured home broker or the applicant, in cases in 32364
which the certificate shall be obtained by the buyer, submits with 32365
the application payment of the tax levied by or pursuant to 32366
Chapters 5739. and 5741. of the Revised Code based on the 32367
purchaser's county of residence. Upon payment of the tax in 32368
accordance with division (E) of this section, the clerk shall 32369
issue a receipt prescribed by the registrar and agreed upon by the 32370
tax commissioner showing payment of the tax or a receipt issued by 32371
the commissioner showing the payment of the tax. When submitting 32372
payment of the tax to the clerk, a dealer shall retain any 32373
discount to which the dealer is entitled under section 5739.12 of 32374
the Revised Code.32375

       (2) For receiving and disbursing such taxes paid to the clerk32376
by a resident of the clerk's county, the clerk may retain a 32377
poundage fee of one and one one-hundredth per cent, and the clerk32378
shall pay the poundage fee into the certificate of title 32379
administration fund created by section 325.33 of the Revised Code.32380
The clerk shall not retain a poundage fee from payments of taxes 32381
by persons who do not reside in the clerk's county.32382

       A clerk, however, may retain from the taxes paid to the clerk32383
an amount equal to the poundage fees associated with certificates32384
of title issued by other clerks of courts of common pleas to32385
applicants who reside in the first clerk's county. The registrar,32386
in consultation with the tax commissioner and the clerks of the32387
courts of common pleas, shall develop a report from the automated32388
title processing system that informs each clerk of the amount of32389
the poundage fees that the clerk is permitted to retain from those32390
taxes because of certificates of title issued by the clerks of32391
other counties to applicants who reside in the first clerk's32392
county.32393

       (3) In the case of casual sales of motor vehicles, as defined 32394
in section 4517.01 of the Revised Code, the price for the purpose 32395
of determining the tax shall be the purchase price on the assigned 32396
certificate of title executed by the seller and filed with the 32397
clerk by the buyer on a form to be prescribed by the registrar, 32398
which shall be prima-facie evidence of the amount for the 32399
determination of the tax.32400

       (4) Each county clerk shall forward to the treasurer of state 32401
all sales and use tax collections resulting from sales of motor 32402
vehicles, off-highway motorcycles, and all-purpose vehicles during 32403
a calendar week on or before the Friday following the close of 32404
that week. If, on any Friday, the offices of the clerk of courts 32405
or the state are not open for business, the tax shall be forwarded 32406
to the treasurer of state on or before the next day on which the 32407
offices are open. Every remittance of tax under division (B)(4) of 32408
this section shall be accompanied by a remittance report in such 32409
form as the tax commissioner prescribes. Upon receipt of a tax 32410
remittance and remittance report, the treasurer of state shall 32411
date stamp the report and forward it to the tax commissioner. If 32412
the tax due for any week is not remitted by a clerk of courts as 32413
required under division (B)(4) of this section, the commissioner 32414
may require the clerk to forfeit the poundage fees for the sales 32415
made during that week. The treasurer of state may require the 32416
clerks of courts to transmit tax collections and remittance 32417
reports electronically.32418

       (C)(1) If the transferor indicates on the certificate of 32419
title that the odometer reflects mileage in excess of the designed 32420
mechanical limit of the odometer, the clerk shall enter the phrase 32421
"exceeds mechanical limits" following the mileage designation. If 32422
the transferor indicates on the certificate of title that the 32423
odometer reading is not the actual mileage, the clerk shall enter 32424
the phrase "nonactual: warning - odometer discrepancy" following 32425
the mileage designation. The clerk shall use reasonable care in 32426
transferring the information supplied by the transferor, but is 32427
not liable for any errors or omissions of the clerk or those of 32428
the clerk's deputies in the performance of the clerk's duties 32429
created by this chapter.32430

       The registrar shall prescribe an affidavit in which the 32431
transferor shall swear to the true selling price and, except as 32432
provided in this division, the true odometer reading of the motor 32433
vehicle. The registrar may prescribe an affidavit in which the 32434
seller and buyer provide information pertaining to the odometer 32435
reading of the motor vehicle in addition to that required by this 32436
section, as such information may be required by the United States 32437
secretary of transportation by rule prescribed under authority of 32438
subchapter IV of the "Motor Vehicle Information and Cost Savings 32439
Act," 86 Stat. 961 (1972), 15 U.S.C. 1981.32440

       (2) Division (C)(1) of this section does not require the 32441
giving of information concerning the odometer and odometer reading 32442
of a motor vehicle when ownership of a motor vehicle is being 32443
transferred as a result of a bequest, under the laws of intestate 32444
succession, to a survivor pursuant to section 2106.18, 2131.12, or 32445
4505.10 of the Revised Code, to a transfer-on-death beneficiary or 32446
beneficiaries pursuant to section 2131.13 of the Revised Code, in32447
connection with the creation of a security interest or for a 32448
vehicle with a gross vehicle weight rating of more than sixteen 32449
thousand pounds.32450

       (D) When the transfer to the applicant was made in some other 32451
state or in interstate commerce, the clerk, except as provided in 32452
this section, shall refuse to issue any certificate of title 32453
unless the tax imposed by or pursuant to Chapter 5741. of the 32454
Revised Code based on the purchaser's county of residence has been 32455
paid as evidenced by a receipt issued by the tax commissioner, or 32456
unless the applicant submits with the application payment of the 32457
tax. Upon payment of the tax in accordance with division (E) of 32458
this section, the clerk shall issue a receipt prescribed by the 32459
registrar and agreed upon by the tax commissioner, showing payment 32460
of the tax.32461

       For receiving and disbursing such taxes paid to the clerk by 32462
a resident of the clerk's county, the clerk may retain a poundage 32463
fee of one and one one-hundredth per cent. The clerk shall not 32464
retain a poundage fee from payments of taxes by persons who do not 32465
reside in the clerk's county.32466

       A clerk, however, may retain from the taxes paid to the clerk32467
an amount equal to the poundage fees associated with certificates32468
of title issued by other clerks of courts of common pleas to32469
applicants who reside in the first clerk's county. The registrar,32470
in consultation with the tax commissioner and the clerks of the32471
courts of common pleas, shall develop a report from the automated32472
title processing system that informs each clerk of the amount of32473
the poundage fees that the clerk is permitted to retain from those32474
taxes because of certificates of title issued by the clerks of32475
other counties to applicants who reside in the first clerk's32476
county.32477

       When the vendor is not regularly engaged in the business of 32478
selling motor vehicles, the vendor shall not be required to 32479
purchase a vendor's license or make reports concerning those32480
sales.32481

       (E) The clerk shall accept any payment of a tax in cash, or 32482
by cashier's check, certified check, draft, money order, or teller 32483
check issued by any insured financial institution payable to the 32484
clerk and submitted with an application for a certificate of title 32485
under division (B) or (D) of this section. The clerk also may 32486
accept payment of the tax by corporate, business, or personal 32487
check, credit card, electronic transfer or wire transfer, debit 32488
card, or any other accepted form of payment made payable to the 32489
clerk. The clerk may require bonds, guarantees, or letters of 32490
credit to ensure the collection of corporate, business, or 32491
personal checks. Any service fee charged by a third party to a 32492
clerk for the use of any form of payment may be paid by the clerk 32493
from the certificate of title administration fund created in 32494
section 325.33 of the Revised Code, or may be assessed by the 32495
clerk upon the applicant as an additional fee. Upon collection, 32496
the additional fees shall be paid by the clerk into that 32497
certificate of title administration fund.32498

       The clerk shall make a good faith effort to collect any 32499
payment of taxes due but not made because the payment was returned 32500
or dishonored, but the clerk is not personally liable for the 32501
payment of uncollected taxes or uncollected fees. The clerk shall 32502
notify the tax commissioner of any such payment of taxes that is 32503
due but not made and shall furnish the information to the 32504
commissioner that the commissioner requires. The clerk shall 32505
deduct the amount of taxes due but not paid from the clerk's 32506
periodic remittance of tax payments, in accordance with procedures 32507
agreed upon by the tax commissioner. The commissioner may collect 32508
taxes due by assessment in the manner provided in section 5739.13 32509
of the Revised Code.32510

       Any person who presents payment that is returned or 32511
dishonored for any reason is liable to the clerk for payment of a 32512
penalty over and above the amount of the taxes due. The clerk 32513
shall determine the amount of the penalty, and the penalty shall32514
be no greater than that amount necessary to compensate the clerk 32515
for banking charges, legal fees, or other expenses incurred by the 32516
clerk in collecting the returned or dishonored payment. The 32517
remedies and procedures provided in this section are in addition 32518
to any other available civil or criminal remedies. Subsequently 32519
collected penalties, poundage fees, and title fees, less any title32520
fee due the state, from returned or dishonored payments collected32521
by the clerk shall be paid into the certificate of title 32522
administration fund. Subsequently collected taxes, less poundage32523
fees, shall be sent by the clerk to the treasurer of state at the 32524
next scheduled periodic remittance of tax payments, with 32525
information as the commissioner may require. The clerk may abate 32526
all or any part of any penalty assessed under this division.32527

       (F) In the following cases, the clerk shall accept for filing 32528
an application and shall issue a certificate of title without 32529
requiring payment or evidence of payment of the tax:32530

       (1) When the purchaser is this state or any of its political 32531
subdivisions, a church, or an organization whose purchases are 32532
exempted by section 5739.02 of the Revised Code;32533

       (2) When the transaction in this state is not a retail sale 32534
as defined by section 5739.01 of the Revised Code;32535

       (3) When the purchase is outside this state or in interstate 32536
commerce and the purpose of the purchaser is not to use, store, or 32537
consume within the meaning of section 5741.01 of the Revised Code;32538

       (4) When the purchaser is the federal government;32539

       (5) When the motor vehicle was purchased outside this state 32540
for use outside this state;32541

       (6) When the motor vehicle is purchased by a nonresident of 32542
this state for immediate removal from this state, and will be 32543
permanently titled and registered in another state, as provided by 32544
division (B)(23) of section 5739.02under the circumstances 32545
described in division (B)(1) of section 5739.029 of the Revised 32546
Code, and upon presentation of a copy of the affidavit provided by32547
that section, and a copy of the exemption certificate provided by 32548
section 5739.03 of the Revised Code.32549

       (G) An application, as prescribed by the registrar and agreed 32550
to by the tax commissioner, shall be filled out and sworn to by 32551
the buyer of a motor vehicle in a casual sale. The application 32552
shall contain the following notice in bold lettering: "WARNING TO 32553
TRANSFEROR AND TRANSFEREE (SELLER AND BUYER): You are required by 32554
law to state the true selling price. A false statement is in 32555
violation of section 2921.13 of the Revised Code and is punishable 32556
by six months' imprisonment or a fine of up to one thousand 32557
dollars, or both. All transfers are audited by the department of 32558
taxation. The seller and buyer must provide any information 32559
requested by the department of taxation. The buyer may be assessed 32560
any additional tax found to be due."32561

       (H) For sales of manufactured homes or mobile homes occurring 32562
on or after January 1, 2000, the clerk shall accept for filing, 32563
pursuant to Chapter 5739. of the Revised Code, an application for 32564
a certificate of title for a manufactured home or mobile home 32565
without requiring payment of any tax pursuant to section 5739.02, 32566
5741.021, 5741.022, or 5741.023 of the Revised Code, or a receipt 32567
issued by the tax commissioner showing payment of the tax. For 32568
sales of manufactured homes or mobile homes occurring on or after 32569
January 1, 2000, the applicant shall pay to the clerk an 32570
additional fee of five dollars for each certificate of title 32571
issued by the clerk for a manufactured or mobile home pursuant to 32572
division (H) of section 4505.11 of the Revised Code and for each 32573
certificate of title issued upon transfer of ownership of the 32574
home. The clerk shall credit the fee to the county certificate of 32575
title administration fund, and the fee shall be used to pay the 32576
expenses of archiving those certificates pursuant to division (A) 32577
of section 4505.08 and division (H)(3) of section 4505.11 of the 32578
Revised Code. The tax commissioner shall administer any tax on a 32579
manufactured or mobile home pursuant to Chapters 5739. and 5741. 32580
of the Revised Code.32581

       (I) Every clerk shall have the capability to transact by 32582
electronic means all procedures and transactions relating to the 32583
issuance of motor vehicle certificates of title that are described 32584
in the Revised Code as being accomplished by electronic means.32585

       Sec. 4513.263.  (A) As used in this section and in section32586
4513.99 of the Revised Code:32587

       (1) "Automobile" means any commercial tractor, passenger car, 32588
commercial car, or truck that is required to be factory-equipped 32589
with an occupant restraining device for the operator or any 32590
passenger by regulations adopted by the United States secretary of 32591
transportation pursuant to the "National Traffic and Motor Vehicle 32592
Safety Act of 1966," 80 Stat. 719, 15 U.S.C.A. 1392.32593

       (2) "Occupant restraining device" means a seat safety belt,32594
shoulder belt, harness, or other safety device for restraining a32595
person who is an operator of or passenger in an automobile and32596
that satisfies the minimum federal vehicle safety standards32597
established by the United States department of transportation.32598

       (3) "Passenger" means any person in an automobile, other than 32599
its operator, who is occupying a seating position for which an 32600
occupant restraining device is provided.32601

       (4) "Commercial tractor," "passenger car," and "commercial32602
car" have the same meanings as in section 4501.01 of the Revised32603
Code.32604

       (5) "Vehicle" and "motor vehicle," as used in the definitions 32605
of the terms set forth in division (A)(4) of this section, have 32606
the same meanings as in section 4511.01 of the Revised Code.32607

       (6) "Tort action" means a civil action for damages for 32608
injury, death, or loss to person or property. "Tort action" 32609
includes a product liability claim, as defined in section 2307.71 32610
of the Revised Code, and an asbestos claim, as defined in section 32611
2307.91 of the Revised Code, but does not include a civil action 32612
for damages for breach of contract or another agreement between 32613
persons.32614

       (B) No person shall do any of the following:32615

       (1) Operate an automobile on any street or highway unless32616
that person is wearing all of the available elements of a properly32617
adjusted occupant restraining device, or operate a school bus that32618
has an occupant restraining device installed for use in its32619
operator's seat unless that person is wearing all of the available32620
elements of the device, as properly adjusted;32621

       (2) Operate an automobile on any street or highway unless32622
each passenger in the automobile who is subject to the requirement32623
set forth in division (B)(3) of this section is wearing all of the32624
available elements of a properly adjusted occupant restraining32625
device;32626

       (3) Occupy, as a passenger, a seating position on the front32627
seat of an automobile being operated on any street or highway32628
unless that person is wearing all of the available elements of a32629
properly adjusted occupant restraining device;32630

       (4) Operate a taxicab on any street or highway unless all32631
factory-equipped occupant restraining devices in the taxicab are32632
maintained in usable form.32633

       (C) Division (B)(3) of this section does not apply to a32634
person who is required by section 4511.81 of the Revised Code to32635
be secured in a child restraint device. Division (B)(1) of this32636
section does not apply to a person who is an employee of the32637
United States postal service or of a newspaper home delivery32638
service, during any period in which the person is engaged in the32639
operation of an automobile to deliver mail or newspapers to32640
addressees. Divisions (B)(1) and (3) of this section do not apply32641
to a person who has an affidavit signed by a physician licensed to32642
practice in this state under Chapter 4731. of the Revised Code or32643
a chiropractor licensed to practice in this state under Chapter32644
4734. of the Revised Code that states that the person has a32645
physical impairment that makes use of an occupant restraining32646
device impossible or impractical.32647

       (D) Notwithstanding any provision of law to the contrary, no32648
law enforcement officer shall cause an operator of an automobile32649
being operated on any street or highway to stop the automobile for32650
the sole purpose of determining whether a violation of division32651
(B) of this section has been or is being committed or for the sole32652
purpose of issuing a ticket, citation, or summons for a violation32653
of that nature or causing the arrest of or commencing a32654
prosecution of a person for a violation of that nature, and no law32655
enforcement officer shall view the interior or visually inspect32656
any automobile being operated on any street or highway for the32657
sole purpose of determining whether a violation of that nature has32658
been or is being committed.32659

       (E) All fines collected for violations of division (B) of32660
this section, or for violations of any ordinance or resolution of32661
a political subdivision that is substantively comparable to that32662
division, shall be forwarded to the treasurer of state for deposit32663
as follows:32664

       (1) Eight per cent shall be deposited into the seat belt32665
education fund, which is hereby created in the state treasury, and32666
shall be used by the department of public safety to establish a32667
seat belt education program.32668

       (2) Eight per cent shall be deposited into the elementary32669
school program fund, which is hereby created in the state32670
treasury, and shall be used by the department of public safety to32671
establish and administer elementary school programs that encourage32672
seat safety belt use.32673

       (3) Two per cent shall be deposited into the Ohio medical 32674
transportation trustoccupational licensing and regulatory fund 32675
created by section 4766.054743.05 of the Revised Code.32676

       (4) Twenty-eight per cent shall be deposited into the trauma32677
and emergency medical services fund, which is hereby created in32678
the state treasury, and shall be used by the department of public32679
safety for the administration of the division of emergency medical32680
services and the state board of emergency medical services.32681

       (5) Fifty-four per cent shall be deposited into the trauma32682
and emergency medical services grants fund, which is hereby32683
created in the state treasury, and shall be used by the state32684
board of emergency medical services to make grants, in accordance32685
with section 4765.07 of the Revised Code and rules the board32686
adopts under section 4765.11 of the Revised Code.32687

       (F)(1) Subject to division (F)(2) of this section, the32688
failure of a person to wear all of the available elements of a32689
properly adjusted occupant restraining device in violation of 32690
division (B)(1) or (3) of this section or the failure of a person 32691
to ensure that each minor who is a passenger of an automobile32692
being operated by that person is wearing all of the available32693
elements of a properly adjusted occupant restraining device in32694
violation of division (B)(2) of this section shall not be32695
considered or used by the trier of fact in a tort action as32696
evidence of negligence or contributory negligence. But, the trier 32697
of fact may determine based on evidence admitted consistent with 32698
the Ohio rulesRules of evidenceEvidence that the failure 32699
contributed to the harm alleged in the tort action and may 32700
diminish a recovery of compensatory damages that represents 32701
noneconomic loss, as defined in section 2307.011 of the Revised 32702
Code, in a tort action that could have been recovered but for the 32703
plaintiff's failure to wear all of the available elements of a 32704
properly adjusted occupant restraining device. Evidence of that 32705
failure shall not be used as a basis for a criminal prosecution of 32706
the person other than a prosecution for a violation of this 32707
section; and shall not be admissible as evidence in a criminal 32708
action involving the person other than a prosecution for a 32709
violation of this section.32710

       (2) If, at the time of an accident involving a passenger car32711
equipped with occupant restraining devices, any occupant of the32712
passenger car who sustained injury or death was not wearing an32713
available occupant restraining device, was not wearing all of the32714
available elements of such a device, or was not wearing such a32715
device as properly adjusted, then, consistent with the Rules of32716
Evidence, the fact that the occupant was not wearing the available32717
occupant restraining device, was not wearing all of the available32718
elements of such a device, or was not wearing such a device as32719
properly adjusted is admissible in evidence in relation to any32720
claim for relief in a tort action to the extent that the claim for32721
relief satisfies all of the following:32722

       (a) It seeks to recover damages for injury or death to the32723
occupant.32724

       (b) The defendant in question is the manufacturer, designer,32725
distributor, or seller of the passenger car.32726

       (c) The claim for relief against the defendant in question is 32727
that the injury or death sustained by the occupant was enhanced or 32728
aggravated by some design defect in the passenger car or that the 32729
passenger car was not crashworthy.32730

       (G)(1) Whoever violates division (B)(1) of this section shall 32731
be fined thirty dollars.32732

       (2) Whoever violates division (B)(3) of this section shall be 32733
fined twenty dollars.32734

       (3) Except as otherwise provided in this division, whoever32735
violates division (B)(4) of this section is guilty of a minor32736
misdemeanor. If the offender previously has been convicted of or32737
pleaded guilty to a violation of division (B)(4) of this section,32738
whoever violates division (B)(4) of this section is guilty of a32739
misdemeanor of the third degree.32740

       Sec. 4513.35.  (A) All fines collected under sections 4511.01 32741
to 4511.78, 4511.99, and 4513.01 to 4513.37 of the Revised Code 32742
shall be paid into the county treasury and, with the exception of 32743
that portion distributed under section 3375.53 of the Revised 32744
Code, shall be placed to the credit of the fund for the 32745
maintenance and repair of the highways within that county, except 32746
that:32747

       (1) All fines for violations of division (B) of section32748
4513.263 shall be delivered to the treasurer of state as provided32749
in division (E) of section 4513.263 of the Revised Code.32750

       (2) All fines collected from, or moneys arising from bonds32751
forfeited by, persons apprehended or arrested by state highway32752
patrolmen shall be distributed as provided in section 5503.04 of32753
the Revised Code.32754

       (3)(a) Subject to division (E) of section 4513.263 of the32755
Revised Code and except as otherwise provided in division32756
(A)(3)(b) of this section, one-half of all fines collected from,32757
and one-half of all moneys arising from bonds forfeited by,32758
persons apprehended or arrested by a township constable or other32759
township police officer shall be paid to the township treasury to32760
be placed to the credit of the general fund.32761

       (b) All fines collected from, and all moneys arising from32762
bonds forfeited by, persons apprehended or arrested by a township32763
constable or other township police officer pursuant to division32764
(B)(2) of section 4513.39 of the Revised Code for a violation of32765
section 4511.21 of the Revised Code or any other law, ordinance,32766
or regulation pertaining to speed that occurred on a highway32767
included as part of the interstate system, as defined in section32768
5516.01 of the Revised Code, shall be paid into the county32769
treasury and be credited as provided in the first paragraph of32770
this section.32771

       (B) Notwithstanding any other provision of this section or of 32772
any other section of the Revised Code:32773

       (1) All fines collected from, and all moneys arising from32774
bonds forfeited by, persons arrested under division (E)(1) or (2) 32775
of section 2935.03 of the Revised Code are deemed to be collected, 32776
and to arise, from arrests made within the jurisdiction in which 32777
the arresting officer is appointed, elected, or employed, for 32778
violations of one of the sections or chapters of the Revised Code 32779
listed in division (E)(1) of that section and shall be distributed 32780
accordingly.32781

       (2) All fines collected from, and all moneys arising from32782
bonds forfeited by, persons arrested under division (E)(3) of 32783
section 2935.03 of the Revised Code are deemed to be collected,32784
and to arise, from arrests made within the jurisdiction in which32785
the arresting officer is appointed, elected, or employed, for32786
violations of municipal ordinances that are substantially32787
equivalent to one of the sections or one of the provisions of one32788
of the chapters of the Revised Code listed in division (E)(1) of 32789
that section and for violations of one of the sections or one of 32790
the provisions of one of the chapters of the Revised Code listed 32791
in division (E)(1) of that section, and shall be distributed 32792
accordingly.32793

       Sec. 4519.55.  Application for a certificate of title for an 32794
off-highway motorcycle or all-purpose vehicle shall be made upon a 32795
form prescribed by the registrar of motor vehicles and shall be 32796
sworn to before a notary public or other officer empowered to 32797
administer oaths. The application shall be filed with the clerk of 32798
any court of common pleas. An application for a certificate of32799
title may be filed electronically by any electronic means approved 32800
by the registrar in any county with the clerk of the court of 32801
common pleas of that county.32802

       If an application for a certificate of title is filed 32803
electronically by an electronic dealer on behalf of the purchaser 32804
of an off-highway motorcycle or all-purpose vehicle, the clerk 32805
shall retain the completed electronic record to which the dealer 32806
converted the certificate of title application and other required 32807
documents. The registrar, after consultation with the attorney 32808
general, shall adopt rules that govern the location at which, and 32809
the manner in which, are stored the actual application and all 32810
other documents relating to the sale of an off-highway motorcycle 32811
or all-purpose vehicle when an electronic dealer files the 32812
application for a certificate of title electronically on behalf of 32813
the purchaser.32814

       The application shall be accompanied by the fee prescribed in 32815
section 4519.59 of the Revised Code. The fee shall be retained by 32816
the clerk who issues the certificate of title and shall be32817
distributed in accordance with that section. If a clerk of a32818
court of common pleas, other than the clerk of the court of common 32819
pleas of an applicant's county of residence, issues a certificate 32820
of title to the applicant, the clerk shall transmit data related 32821
to the transaction to the automated title processing system.32822

       If a certificate of title previously has been issued for an 32823
off-highway motorcycle or all-purpose vehicle, the application 32824
also shall be accompanied by the certificate of title duly 32825
assigned, unless otherwise provided in this chapter. If a 32826
certificate of title previously has not been issued for the 32827
off-highway motorcycle or all-purpose vehicle, the application, 32828
unless otherwise provided in this chapter, shall be accompanied by 32829
a manufacturer's or importer's certificate; by a sworn statement 32830
of ownership; or by a certificate of title, bill of sale, or other 32831
evidence of ownership required by law of another state from which 32832
the off-highway motorcycle or all-purpose vehicle was brought into 32833
this state. The registrar, in accordance with Chapter 119. of the 32834
Revised Code, shall prescribe the types of additional 32835
documentation sufficient to establish proof of ownership, 32836
including, but not limited to, receipts from the purchase of parts 32837
or components, photographs, and affidavits of other persons.32838

       For purposes of the transfer of a certificate of title, if 32839
the clerk is satisfied that a secured party has duly discharged a 32840
lien notation but has not canceled the lien notation with a clerk, 32841
the clerk may cancel the lien notation on the automated title 32842
processing system and notify the clerk of the county of origin.32843

       In the case of the sale of an off-highway motorcycle or 32844
all-purpose vehicle by a dealer to a general purchaser or user, 32845
the certificate of title shall be obtained in the name of the 32846
purchaser by the dealer upon application signed by the purchaser. 32847
In all other cases, the certificate shall be obtained by the 32848
purchaser. In all cases of transfer of an off-highway motorcycle 32849
or all-purpose vehicle, the application for certificate of title 32850
shall be filed within thirty days after the later of the date of 32851
purchase or assignment of ownership of the off-highway motorcycle 32852
or all-purpose vehicle. If the application for certificate of 32853
title is not filed within thirty days after the later of the date 32854
of purchase or assignment of ownership of the off-highway 32855
motorcycle or all-purpose vehicle, the clerk shall charge a late 32856
filing fee of five dollars in addition to the fee prescribed by 32857
section 4519.59 of the Revised Code. The clerk shall retain the 32858
entire amount of each late filing fee.32859

       Except in the case of an off-highway motorcycle or 32860
all-purpose vehicle purchased prior to July 1, 1999, the clerk32861
shall refuse to accept an application for certificate of title32862
unless the applicant either tenders with the application payment32863
of all taxes levied by or pursuant to Chapter 5739. or 5741. of32864
the Revised Code based on the purchaser's county of residence, or 32865
submits either of the following:32866

       (A) A receipt issued by the tax commissioner or a clerk of 32867
courts showing payment of the tax;32868

       (B) An exemption certificate, in any form prescribed by the 32869
tax commissioner, that specifies why the purchase is not subject 32870
to the tax imposed by Chapter 5739. or 5741. of the Revised Code.32871

       Payment of the tax shall be made in accordance with division 32872
(E) of section 4505.06 of the Revised Code and any rules issued by 32873
the tax commissioner. When a dealer submits payment of the tax to 32874
the clerk, the dealer shall retain any discount to which the 32875
dealer is entitled under section 5739.12 of the Revised Code. The 32876
clerk shall issue a receipt in the form prescribed by the tax 32877
commissioner to any applicant who tenders payment of the tax with 32878
the application for a certificate of title. If the application for 32879
a certificate of title is for an off-highway motorcycle or 32880
all-purpose vehicle purchased prior to July 1, 1999, the clerk 32881
shall accept the application without payment of the taxes levied 32882
by or pursuant to Chapter 5739. or 5741. of the Revised Code or32883
presentation of either of the items listed in division (A) or (B) 32884
of this section.32885

       For receiving and disbursing such taxes paid to the clerk by32886
a resident of the clerk's county, the clerk may retain a poundage 32887
fee of one and one-hundredth per cent of the taxes collected, 32888
which shall be paid into the certificate of title administration 32889
fund created by section 325.33 of the Revised Code. The clerk32890
shall not retain a poundage fee from payments of taxes by persons32891
who do not reside in the clerk's county.32892

       A clerk, however, may retain from the taxes paid to the clerk32893
an amount equal to the poundage fees associated with certificates32894
of title issued by other clerks of courts of common pleas to32895
applicants who reside in the first clerk's county. The registrar,32896
in consultation with the tax commissioner and the clerks of the32897
courts of common pleas, shall develop a report from the automated32898
title processing system that informs each clerk of the amount of32899
the poundage fees that the clerk is permitted to retain from those32900
taxes because of certificates of title issued by the clerks of32901
other counties to applicants who reside in the first clerk's32902
county.32903

       In the case of casual sales of off-highway motorcycles or 32904
all-purpose vehicles that are subject to the tax imposed by 32905
Chapter 5739. or 5741. of the Revised Code, the purchase price for 32906
the purpose of determining the tax shall be the purchase price on 32907
an affidavit executed and filed with the clerk by the seller on a 32908
form to be prescribed by the registrar, which shall be prima-facie 32909
evidence of the price for the determination of the tax.32910

       In addition to the information required by section 4519.57 of 32911
the Revised Code, each certificate of title shall contain in bold 32912
lettering the following notification and statements: "WARNING TO 32913
TRANSFEROR AND TRANSFEREE (SELLER AND BUYER): You are required by 32914
law to state the true selling price. A false statement is in 32915
violation of section 2921.13 of the Revised Code and is punishable 32916
by six months imprisonment or a fine of up to one thousand 32917
dollars, or both. All transfers are audited by the department of 32918
taxation. The seller and buyer must provide any information 32919
requested by the department of taxation. The buyer may be assessed 32920
any additional tax found to be due."32921

       The clerk shall forward all payments of taxes, less poundage32922
fees, to the treasurer of state in a manner to be prescribed by 32923
the tax commissioner and shall furnish information to the 32924
commissioner as the commissioner may require.32925

       Every clerk shall have the capability to transact by 32926
electronic means all procedures and transactions relating to the 32927
issuance of certificates of title for off-highway motorcycles and 32928
all-purpose vehicles that are described in the Revised Code as 32929
being accomplished by electronic means.32930

       Sec. 4715.251.  Each person licensed to practice as a dental 32931
hygienist and required to register with the state dental board 32932
shall, each time hethe person applies for renewal of registration 32933
beginning in 1995, be currently certified to perform basic 32934
life-support procedures by having successfully completed a basic 32935
life-support training course certified by either the American red 32936
cross or, the American heart association, or, if determined 32937
equivalent by the board, the American safety and health institute. 32938
An applicant for renewal of registration shall certify on the 32939
application for renewal of registration prescribed by the board 32940
under section 4715.24 of the Revised Code that hethe applicant32941
possesses the certification required by this section.32942

       The board shall, not later than one hundred eighty days after 32943
the effective date of this amendment, determine whether basic 32944
life-support training certified by the American safety and health 32945
institute meets national standards. The board shall compare the 32946
training certified by the institute with the training certified by 32947
the American red cross and the American heart association and the 32948
training of instructors certified by the institute to the training 32949
of instructors certified by the American red cross and the 32950
American heart association.32951

       If the board determines that the training certified by the 32952
American safety and health institute meets national standards and 32953
is equivalent to the training certified by the American red cross 32954
and the American heart association, the board shall accept 32955
training certified by the American safety and health institute in 32956
fulfillment of the requirements of this section.32957

       Sec. 4717.07.  (A) The board of embalmers and funeral32958
directors shall charge and collect the following fees:32959

       (1) For the initial issuance or biennial renewal of an 32960
embalmer's or funeral director's license, one hundred forty 32961
dollars;32962

       (2) For the issuance of an embalmer or funeral director32963
registration, twenty-five dollars;32964

       (3) For filing an embalmer or funeral director certificate of32965
apprenticeship, ten dollars;32966

       (4) For the application to take the examination for a license 32967
to practice as an embalmer or funeral director, or to retake a 32968
section of the examination, thirty-five dollars;32969

       (5) For the initial issuance of a license to operate a32970
funeral home, two hundred fifty dollars and biennial renewal of a 32971
license to operate a funeral home, two hundred fifty dollars;32972

       (6) For the reinstatement of a lapsed embalmer's or funeral32973
director's license, the renewal fee prescribed in division32974
(A)(5)(1) of this section plus fifty dollars for each month or32975
portion of a month the license is lapsed until reinstatement;32976

       (7) For the reinstatement of a lapsed license to operate a32977
funeral home, the renewal fee prescribed in division (A)(6)(5) of32978
this section plus fifty dollars for each month or portion of a32979
month the license is lapsed until reinstatement;32980

       (8) For the initial issuance of a license to operate an32981
embalming facility, two hundred dollars and biennial renewal of a32982
license to operate an embalming facility, two hundred dollars;32983

       (9) For the reinstatement of a lapsed license to operate an32984
embalming facility, the renewal fee prescribed in division32985
(A)(9)(8) of this section plus fifty dollars for each month or32986
portion of a month the license is lapsed until reinstatement;32987

       (10) For the initial issuance of a license to operate a32988
crematory facility, two hundred dollars and biennial renewal of a32989
license to operate a crematory facility, two hundred dollars;32990

       (11) For the reinstatement of a lapsed license to operate a32991
crematory facility, the renewal fee prescribed in division32992
(A)(11)(10) of this section plus fifty dollars for each month or32993
portion of a month the license is lapsed until reinstatement;32994

       (12) For the issuance of a duplicate of a license issued32995
under this chapter, four dollars.32996

       (B) In addition to the fees set forth in division (A) of this 32997
section, an applicant shall pay the examination fee assessed by 32998
any examining agency the board uses for any section of an32999
examination required under this chapter.33000

       (C) Subject to the approval of the controlling board, the33001
board of embalmers and funeral directors may establish fees in33002
excess of the amounts set forth in this section, provided that33003
these fees do not exceed the amounts set forth in this section by33004
more than fifty per cent.33005

       Sec. 4723.621.  The medication aide advisory council created 33006
under section 4723.62 of the Revised Code shall make 33007
recommendations to the board of nursing with respect to all of the 33008
following:33009

       (A) The design and operation of the medication aide pilot 33010
program conducted under section 4723.63 of the Revised Code, 33011
including a method of collecting data through reports submitted by 33012
participating nursing homes and residential care facilities;33013

       (B) The content of the course of instruction required to 33014
obtain certification as a medication aide, including the 33015
examination to be used to evaluate the ability to administer 33016
prescription medications safely and the score that must be 33017
attained to pass the examination;33018

       (C) Whether medication aides may administer prescription 33019
medications through a gastrostomy or jejunostomy tube and the 33020
amount and type of training a medication aide needs to be 33021
adequately prepared to administer prescription medications through 33022
a gastrostomy or jejunostomy tube;33023

       (D) Protection of the health and welfare of the residents of 33024
nursing homes and residential care facilities participating in the 33025
pilot program and using medication aides pursuant to section 33026
4723.64 of the Revised Code on or after July 1, 2007;33027

       (E) The board's adoption of rules under section 4723.69 of 33028
the Revised Code;33029

       (F) Any other issue the council considers relevant to the use 33030
of medication aides in nursing homes and residential care 33031
facilities.33032

       Sec. 4723.63.  (A) In consultation with the medication aide 33033
advisory council established under section 4723.62 of the Revised 33034
Code, the board of nursing shall conduct a pilot program for the 33035
use of medication aides in nursing homes and residential care 33036
facilities. The board shall conduct the pilot program in a manner 33037
consistent with human protection and other ethical concerns 33038
typically associated with research studies involving live 33039
subjects. The pilot program shall be commenced not later than May 33040
1, 2006, and shall be conducted until July 1, 2007end on the 33041
thirty-first day after the report required by division (F)(2) of 33042
this section is submitted in accordance with that division.33043

        During the period the pilot program is conducted, a nursing 33044
home or residential care facility participating in the pilot 33045
program may use one or more medication aides to administer 33046
prescription medications to its residents, subject to bothall of 33047
the following conditions:33048

        (1) Each individual used as a medication aide must hold a 33049
current, valid medication aide certificate issued by the board of 33050
nursing under this chapter.33051

        (2) The nursing home or residential care facility shall 33052
ensure that the requirements of section 4723.67 of the Revised 33053
Code are met.33054

       (3) The nursing home or residential care facility shall 33055
submit to the board, not later than the thirty-first day after the 33056
day the board makes its request under division (F)(1)(a) of this 33057
section, the data required by division (F)(1)(a) of this section.33058

       (B) The board, in consultation with the medication aide 33059
advisory council, shall do all of the following not later than 33060
February 1, 2006:33061

       (1) Design the pilot program;33062

       (2) Establish standards to govern medication aides and the 33063
nursing homes and residential care facilities participating in the 33064
pilot program, including standards for the training of medication 33065
aides and the staff of participating nursing homes and residential 33066
care facilities;33067

       (3) Establish standards to protect the health and safety of 33068
the residents of the nursing homes and residential care facilities 33069
participating in the program;33070

       (4) Implement a process for selecting the nursing homes and 33071
residential care facilities to participate in the program.33072

       (C)(1) A nursing home or residential care facility may 33073
volunteer to participate in the pilot program by submitting an 33074
application to the board on a form prescribed and provided by the 33075
board. From among the applicants, the board shall select eighty 33076
nursing homes and forty residential care facilities to participate 33077
in the pilot program. When the board denies an application, it 33078
shall notify, in writing, the president and minority leader of the 33079
senate and the speaker and minority leader of the house of 33080
representatives of the denial and the reasons for the denial.33081

       (2) To be eligible to participate, a nursing home or 33082
residential care facility shall agree to observe the standards 33083
established by the board for the use of medication aides. A 33084
nursing home is eligible to participate only if the department of 33085
health has found in the two most recent surveyssurvey or 33086
inspectionsinspection of the home that the home is free from 33087
deficiencies related to the administration of medication. A 33088
residential care facility is eligible to participate only if the 33089
department has found that the facility is free from deficiencies 33090
related to the provision of skilled nursing care or the 33091
administration of medication.33092

       (D) As a condition of participation in the pilot program, a 33093
nursing home and residential care facility selected by the board 33094
shall pay the participation fee established in rules adopted under 33095
section 4723.69 of the Revised Code. The participation fee is not 33096
reimbursable under the medicaid program established under Chapter 33097
5111. of the Revised Code.33098

       (E) On receipt of evidence found credible by the board that 33099
continued participation by a nursing home or residential care 33100
facility poses an imminent danger, risk of serious harm, or 33101
jeopardy to a resident of the home or facility, the board may 33102
terminate the authority of the home or facility to participate in 33103
the pilot program.33104

       (F)(1) With the assistance of the medication aide advisory 33105
council, the board shall conduct an evaluation of the pilot 33106
program. In conducting the evaluation, the board shall do all of 33107
the following:33108

       (a) Request from each nursing home and residential care 33109
facility participating in the pilot program, on the ninety-first 33110
day after the day the board issues a medication aide certificate 33111
under section 4723.651 of the Revised Code to the seventy-fifth 33112
individual, the data the board requires participating nursing 33113
homes and residential care facilities to report under rules the 33114
board adopts under section 4723.69 of the Revised Code.33115

       (b) Assess whether medication aides are able to administer 33116
prescription medications safely to nursing home and residential 33117
care facility residents;33118

       (b)(c) Determine the financial implications of using 33119
medication aides in nursing homes and residential care facilities;33120

       (c)(d) Consider any other issue the board or council 33121
considers relevant to the evaluation.33122

       (2) Not later than March 1, 2007the one hundred eighty-first 33123
day after the day the board issues a medication aide certificate 33124
under section 4723.651 of the Revised Code to the seventy-fifth 33125
individual, the board shall prepare a report of its findings and 33126
recommendations derived from the evaluation of the pilot program. 33127
The board shall submit the report to the governor, president and 33128
minority leader of the senate, speaker and minority leader of the 33129
house of representatives, and director of health.33130

       (G) The board shall, on the day it issues a medication aide 33131
certificate to the seventy-fifth individual, post a notice on its 33132
web site indicating the date on which any nursing home or 33133
residential care facility may use medication aides in accordance 33134
with section 4723.64 of the Revised Code.33135

       Sec. 4723.64.  On and after July 1, 2007the thirty-first day 33136
following the board of nursing's submission of the report required 33137
by division (F)(2) of section 4723.63 of the Revised Code, any 33138
nursing home or residential care facility may use one or more 33139
medication aides to administer prescription medications to its 33140
residents, subject to both of the following conditions:33141

        (A) Each individual used as a medication aide must hold a 33142
current, valid medication aide certificate issued by the board of 33143
nursing under this chapter.33144

        (B) The nursing home or residential care facility shall 33145
ensure that the requirements of section 4723.67 of the Revised 33146
Code are met.33147

       Sec. 4723.65.  (A) An individual seeking certification as a 33148
medication aide shall apply to the board of nursing on a form 33149
prescribed and provided by the board. If the application is 33150
submitted on or after July 1, 2007the day any nursing home or 33151
residential care facility may initially use medication aides as 33152
specified in section 4723.64 of the Revised Code, the application 33153
shall be accompanied by the certification fee established in rules 33154
adopted under section 4723.69 of the Revised Code.33155

       (B)(1) Except as provided in division (B)(2) of this section, 33156
an applicant for a medication aide certificate shall submit a 33157
request to the bureau of criminal identification and investigation 33158
for a criminal records check. The request shall be on the form 33159
prescribed pursuant to division (C)(1) of section 109.572 of the 33160
Revised Code and shall be accompanied by a standard impression 33161
sheet to obtain fingerprints prescribed pursuant to division 33162
(C)(2) of that section. The request shall also be accompanied by 33163
the fee prescribed pursuant to division (C)(3) of section 109.572 33164
of the Revised Code. On receipt of the completed form, the 33165
completed impression sheet, and the fee, the bureau shall conduct 33166
a criminal records check of the applicant. On completion of the 33167
criminal records check, the bureau shall send the results of the 33168
check to the board. An applicant requesting a criminal records 33169
check under this division who has not lived in this state for at 33170
least five years shall ask the superintendent of the bureau of 33171
criminal identification and investigation to also request that the 33172
federal bureau of investigation provide the superintendent with 33173
any information it has with respect to the applicant.33174

       (2) If a criminal records check of an applicant was completed 33175
pursuant to section 3721.121 of the Revised Code not more than 33176
five years prior to the date the application is submitted, the 33177
applicant may include a certified copy of the criminal records 33178
check completed pursuant to that section and is not required to 33179
comply with division (B)(1) of this section.33180

       (3) A criminal records check provided to the board in 33181
accordance with division (B)(1) or (B)(2) of this section shall 33182
not be made available to any person or for any purpose other than 33183
the following:33184

       (a) The results may be made available to any person for use 33185
in determining whether the individual who is the subject of the 33186
check should be issued a medication aide certificate.33187

       (b) The results may be made available to the person who is 33188
the subject of the check or a representative of that person.33189

       Sec. 4723.66.  (A) A person or government entity seeking 33190
approval to provide a medication aide training program shall apply 33191
to the board of nursing on a form prescribed and provided by the 33192
board. If the application is submitted on or after July 1, 200733193
the day any nursing home or residential care facility may 33194
initially use medication aides as specified in section 4723.64 of 33195
the Revised Code, the application shall be accompanied by the fee 33196
established in rules adopted under section 4723.69 of the Revised 33197
Code.33198

       (B) The board shall approve the applicant to provide a 33199
medication aide training program if the content of the course of 33200
instruction to be provided by the program meets the standards 33201
specified by the board in rules adopted under section 4723.69 of 33202
the Revised Code and includes all of the following:33203

       (1) At least seventy clock-hours of instruction, including 33204
both classroom instruction on medication administration and at 33205
least twenty clock-hours of supervised clinical practice in 33206
medication administration;33207

       (2) A mechanism for evaluating whether an individual's 33208
reading, writing, and mathematical skills are sufficient for the 33209
individual to be able to administer prescription medications 33210
safely;33211

       (3) An examination that tests the ability to administer 33212
prescription medications safely and that meets the requirements 33213
established by the board in rules adopted under section 4723.69 of 33214
the Revised Code.33215

       (C) The board may deny, suspend, or revoke the approval 33216
granted to the provider of a medication aide training program for 33217
reasons specified in rules adopted under section 4723.69 of the 33218
Revised Code. All actions taken by the board to deny, suspend, or 33219
revoke the approval of a training program shall be taken in 33220
accordance with Chapter 119. of the Revised Code.33221

       Sec. 4731.142.  (A) Except as provided in division (B) of33222
this section, an individual must demonstrate proficiency in spoken 33223
English, by passing an examination specified by the state medical 33224
board, to receive a certificate to practice issued under section33225
4731.14 of the Revised Code if the individual's eligibility for 33226
the certificate is based in part on certification from the33227
educational commission for foreign medical graduates and 33228
fulfillment of the undergraduate requirements established by 33229
section 4731.09 of the Revised Code at an institution outside the 33230
United States. The individual may demonstrate such proficiency by33231
obtaining a score of forty or higher on the test of spoken English 33232
conducted by the educational testing serviceThe board shall adopt 33233
rules specifying an acceptable examination and establishing the 33234
minimum score that demonstrates proficiency in spoken English.33235

       (B) An individual is not required to demonstrate proficiency 33236
in spoken English in accordance with division (A) of this section 33237
if the individual was required to demonstrate such proficiency as 33238
a condition of certification from the educational commission for 33239
foreign medical graduates.33240

       Sec. 4731.22.  (A) The state medical board, by an affirmative 33241
vote of not fewer than six of its members, may revoke or may33242
refuse to grant a certificate to a person found by the board to33243
have committed fraud during the administration of the examination 33244
for a certificate to practice or to have committed fraud, 33245
misrepresentation, or deception in applying for or securing any 33246
certificate to practice or certificate of registration issued by 33247
the board.33248

       (B) The board, by an affirmative vote of not fewer than six33249
members, shall, to the extent permitted by law, limit, revoke, or33250
suspend an individual's certificate to practice, refuse to33251
register an individual, refuse to reinstate a certificate, or33252
reprimand or place on probation the holder of a certificate for33253
one or more of the following reasons:33254

       (1) Permitting one's name or one's certificate to practice or33255
certificate of registration to be used by a person, group, or33256
corporation when the individual concerned is not actually33257
directing the treatment given;33258

       (2) Failure to maintain minimal standards applicable to the33259
selection or administration of drugs, or failure to employ33260
acceptable scientific methods in the selection of drugs or other33261
modalities for treatment of disease;33262

       (3) Selling, giving away, personally furnishing, prescribing, 33263
or administering drugs for other than legal and legitimate 33264
therapeutic purposes or a plea of guilty to, a judicial finding of 33265
guilt of, or a judicial finding of eligibility for intervention in33266
lieu of conviction of, a violation of any federal or state law 33267
regulating the possession, distribution, or use of any drug;33268

       (4) Willfully betraying a professional confidence.33269

       For purposes of this division, "willfully betraying a33270
professional confidence" does not include providing any33271
information, documents, or reports to a child fatality review33272
board under sections 307.621 to 307.629 of the Revised Code and33273
does not include the making of a report of an employee's use of a33274
drug of abuse, or a report of a condition of an employee other33275
than one involving the use of a drug of abuse, to the employer of33276
the employee as described in division (B) of section 2305.33 of33277
the Revised Code. Nothing in this division affects the immunity33278
from civil liability conferred by that section upon a physician33279
who makes either type of report in accordance with division (B) of33280
that section. As used in this division, "employee," "employer,"33281
and "physician" have the same meanings as in section 2305.33 of33282
the Revised Code.33283

       (5) Making a false, fraudulent, deceptive, or misleading33284
statement in the solicitation of or advertising for patients; in33285
relation to the practice of medicine and surgery, osteopathic33286
medicine and surgery, podiatric medicine and surgery, or a limited 33287
branch of medicine; or in securing or attempting to secure any 33288
certificate to practice or certificate of registration issued by 33289
the board.33290

       As used in this division, "false, fraudulent, deceptive, or33291
misleading statement" means a statement that includes a33292
misrepresentation of fact, is likely to mislead or deceive because33293
of a failure to disclose material facts, is intended or is likely33294
to create false or unjustified expectations of favorable results,33295
or includes representations or implications that in reasonable33296
probability will cause an ordinarily prudent person to33297
misunderstand or be deceived.33298

       (6) A departure from, or the failure to conform to, minimal33299
standards of care of similar practitioners under the same or33300
similar circumstances, whether or not actual injury to a patient33301
is established;33302

       (7) Representing, with the purpose of obtaining compensation33303
or other advantage as personal gain or for any other person, that33304
an incurable disease or injury, or other incurable condition, can33305
be permanently cured;33306

       (8) The obtaining of, or attempting to obtain, money or33307
anything of value by fraudulent misrepresentations in the course33308
of practice;33309

       (9) A plea of guilty to, a judicial finding of guilt of, or a 33310
judicial finding of eligibility for intervention in lieu of33311
conviction for, a felony;33312

       (10) Commission of an act that constitutes a felony in this33313
state, regardless of the jurisdiction in which the act was33314
committed;33315

       (11) A plea of guilty to, a judicial finding of guilt of, or33316
a judicial finding of eligibility for intervention in lieu of33317
conviction for, a misdemeanor committed in the course of practice;33318

       (12) Commission of an act in the course of practice that33319
constitutes a misdemeanor in this state, regardless of the33320
jurisdiction in which the act was committed;33321

       (13) A plea of guilty to, a judicial finding of guilt of, or33322
a judicial finding of eligibility for intervention in lieu of33323
conviction for, a misdemeanor involving moral turpitude;33324

       (14) Commission of an act involving moral turpitude that33325
constitutes a misdemeanor in this state, regardless of the33326
jurisdiction in which the act was committed;33327

       (15) Violation of the conditions of limitation placed by the33328
board upon a certificate to practice;33329

       (16) Failure to pay license renewal fees specified in this33330
chapter;33331

       (17) Except as authorized in section 4731.31 of the Revised33332
Code, engaging in the division of fees for referral of patients,33333
or the receiving of a thing of value in return for a specific33334
referral of a patient to utilize a particular service or business;33335

       (18) Subject to section 4731.226 of the Revised Code,33336
violation of any provision of a code of ethics of the American33337
medical association, the American osteopathic association, the33338
American podiatric medical association, or any other national33339
professional organizations that the board specifies by rule. The33340
state medical board shall obtain and keep on file current copies33341
of the codes of ethics of the various national professional33342
organizations. The individual whose certificate is being suspended 33343
or revoked shall not be found to have violated any provision of a 33344
code of ethics of an organization not appropriate to the33345
individual's profession.33346

       For purposes of this division, a "provision of a code of33347
ethics of a national professional organization" does not include33348
any provision that would preclude the making of a report by a33349
physician of an employee's use of a drug of abuse, or of a33350
condition of an employee other than one involving the use of a33351
drug of abuse, to the employer of the employee as described in33352
division (B) of section 2305.33 of the Revised Code. Nothing in33353
this division affects the immunity from civil liability conferred33354
by that section upon a physician who makes either type of report33355
in accordance with division (B) of that section. As used in this33356
division, "employee," "employer," and "physician" have the same33357
meanings as in section 2305.33 of the Revised Code.33358

       (19) Inability to practice according to acceptable and33359
prevailing standards of care by reason of mental illness or33360
physical illness, including, but not limited to, physical33361
deterioration that adversely affects cognitive, motor, or33362
perceptive skills.33363

       In enforcing this division, the board, upon a showing of a33364
possible violation, may compel any individual authorized to33365
practice by this chapter or who has submitted an application33366
pursuant to this chapter to submit to a mental examination,33367
physical examination, including an HIV test, or both a mental and33368
a physical examination. The expense of the examination is the33369
responsibility of the individual compelled to be examined. Failure33370
to submit to a mental or physical examination or consent to an HIV33371
test ordered by the board constitutes an admission of the33372
allegations against the individual unless the failure is due to33373
circumstances beyond the individual's control, and a default and33374
final order may be entered without the taking of testimony or33375
presentation of evidence. If the board finds an individual unable33376
to practice because of the reasons set forth in this division, the33377
board shall require the individual to submit to care, counseling,33378
or treatment by physicians approved or designated by the board, as33379
a condition for initial, continued, reinstated, or renewed33380
authority to practice. An individual affected under this division33381
shall be afforded an opportunity to demonstrate to the board the33382
ability to resume practice in compliance with acceptable and33383
prevailing standards under the provisions of the individual's33384
certificate. For the purpose of this division, any individual who33385
applies for or receives a certificate to practice under this33386
chapter accepts the privilege of practicing in this state and, by33387
so doing, shall be deemed to have given consent to submit to a33388
mental or physical examination when directed to do so in writing33389
by the board, and to have waived all objections to the33390
admissibility of testimony or examination reports that constitute33391
a privileged communication.33392

       (20) Except when civil penalties are imposed under section33393
4731.225 or 4731.281 of the Revised Code, and subject to section33394
4731.226 of the Revised Code, violating or attempting to violate,33395
directly or indirectly, or assisting in or abetting the violation33396
of, or conspiring to violate, any provisions of this chapter or33397
any rule promulgated by the board.33398

       This division does not apply to a violation or attempted33399
violation of, assisting in or abetting the violation of, or a33400
conspiracy to violate, any provision of this chapter or any rule33401
adopted by the board that would preclude the making of a report by33402
a physician of an employee's use of a drug of abuse, or of a33403
condition of an employee other than one involving the use of a33404
drug of abuse, to the employer of the employee as described in33405
division (B) of section 2305.33 of the Revised Code. Nothing in33406
this division affects the immunity from civil liability conferred33407
by that section upon a physician who makes either type of report33408
in accordance with division (B) of that section. As used in this33409
division, "employee," "employer," and "physician" have the same33410
meanings as in section 2305.33 of the Revised Code.33411

       (21) The violation of section 3701.79 of the Revised Code or 33412
of any abortion rule adopted by the public health council pursuant 33413
to section 3701.341 of the Revised Code;33414

       (22) Any of the following actions taken by the agency33415
responsible for regulating the practice of medicine and surgery,33416
osteopathic medicine and surgery, podiatric medicine and surgery,33417
or the limited branches of medicine in another jurisdiction, for33418
any reason other than the nonpayment of fees: the limitation,33419
revocation, or suspension of an individual's license to practice;33420
acceptance of an individual's license surrender; denial of a33421
license; refusal to renew or reinstate a license; imposition of33422
probation; or issuance of an order of censure or other reprimand;33423

       (23) The violation of section 2919.12 of the Revised Code or33424
the performance or inducement of an abortion upon a pregnant woman33425
with actual knowledge that the conditions specified in division33426
(B) of section 2317.56 of the Revised Code have not been satisfied33427
or with a heedless indifference as to whether those conditions33428
have been satisfied, unless an affirmative defense as specified in33429
division (H)(2) of that section would apply in a civil action33430
authorized by division (H)(1) of that section;33431

       (24) The revocation, suspension, restriction, reduction, or33432
termination of clinical privileges by the United States department33433
of defense or department of veterans affairs or the termination or33434
suspension of a certificate of registration to prescribe drugs by33435
the drug enforcement administration of the United States33436
department of justice;33437

       (25) Termination or suspension from participation in the33438
medicare or medicaid programs by the department of health and33439
human services or other responsible agency for any act or acts33440
that also would constitute a violation of division (B)(2), (3),33441
(6), (8), or (19) of this section;33442

       (26) Impairment of ability to practice according to33443
acceptable and prevailing standards of care because of habitual or33444
excessive use or abuse of drugs, alcohol, or other substances that33445
impair ability to practice.33446

       For the purposes of this division, any individual authorized33447
to practice by this chapter accepts the privilege of practicing in33448
this state subject to supervision by the board. By filing an33449
application for or holding a certificate to practice under this33450
chapter, an individual shall be deemed to have given consent to33451
submit to a mental or physical examination when ordered to do so33452
by the board in writing, and to have waived all objections to the33453
admissibility of testimony or examination reports that constitute33454
privileged communications.33455

       If it has reason to believe that any individual authorized to33456
practice by this chapter or any applicant for certification to33457
practice suffers such impairment, the board may compel the33458
individual to submit to a mental or physical examination, or both.33459
The expense of the examination is the responsibility of the33460
individual compelled to be examined. Any mental or physical33461
examination required under this division shall be undertaken by a33462
treatment provider or physician who is qualified to conduct the33463
examination and who is chosen by the board.33464

       Failure to submit to a mental or physical examination ordered33465
by the board constitutes an admission of the allegations against33466
the individual unless the failure is due to circumstances beyond33467
the individual's control, and a default and final order may be33468
entered without the taking of testimony or presentation of33469
evidence. If the board determines that the individual's ability to 33470
practice is impaired, the board shall suspend the individual's33471
certificate or deny the individual's application and shall require33472
the individual, as a condition for initial, continued, reinstated,33473
or renewed certification to practice, to submit to treatment.33474

       Before being eligible to apply for reinstatement of a33475
certificate suspended under this division, the impaired33476
practitioner shall demonstrate to the board the ability to resume33477
practice in compliance with acceptable and prevailing standards of33478
care under the provisions of the practitioner's certificate. The33479
demonstration shall include, but shall not be limited to, the33480
following:33481

       (a) Certification from a treatment provider approved under33482
section 4731.25 of the Revised Code that the individual has33483
successfully completed any required inpatient treatment;33484

       (b) Evidence of continuing full compliance with an aftercare33485
contract or consent agreement;33486

       (c) Two written reports indicating that the individual's33487
ability to practice has been assessed and that the individual has33488
been found capable of practicing according to acceptable and33489
prevailing standards of care. The reports shall be made by33490
individuals or providers approved by the board for making the33491
assessments and shall describe the basis for their determination.33492

       The board may reinstate a certificate suspended under this33493
division after that demonstration and after the individual has33494
entered into a written consent agreement.33495

       When the impaired practitioner resumes practice, the board33496
shall require continued monitoring of the individual. The33497
monitoring shall include, but not be limited to, compliance with33498
the written consent agreement entered into before reinstatement or33499
with conditions imposed by board order after a hearing, and, upon33500
termination of the consent agreement, submission to the board for33501
at least two years of annual written progress reports made under33502
penalty of perjury stating whether the individual has maintained33503
sobriety.33504

       (27) A second or subsequent violation of section 4731.66 or33505
4731.69 of the Revised Code;33506

       (28) Except as provided in division (N) of this section:33507

       (a) Waiving the payment of all or any part of a deductible or 33508
copayment that a patient, pursuant to a health insurance or health 33509
care policy, contract, or plan that covers the individual's33510
services, otherwise would be required to pay if the waiver is used33511
as an enticement to a patient or group of patients to receive33512
health care services from that individual;33513

       (b) Advertising that the individual will waive the payment of 33514
all or any part of a deductible or copayment that a patient,33515
pursuant to a health insurance or health care policy, contract, or33516
plan that covers the individual's services, otherwise would be33517
required to pay.33518

       (29) Failure to use universal blood and body fluid33519
precautions established by rules adopted under section 4731.051 of33520
the Revised Code;33521

       (30) Failure to provide notice to, and receive acknowledgment 33522
of the notice from, a patient when required by section 4731.143 of 33523
the Revised Code prior to providing nonemergency professional 33524
services, or failure to maintain that notice in the patient's 33525
file;33526

       (31) Failure of a physician supervising a physician assistant 33527
to maintain supervision in accordance with the requirements of 33528
Chapter 4730. of the Revised Code and the rules adopted under that 33529
chapter;33530

       (32) Failure of a physician or podiatrist to enter into a33531
standard care arrangement with a clinical nurse specialist,33532
certified nurse-midwife, or certified nurse practitioner with whom33533
the physician or podiatrist is in collaboration pursuant to33534
section 4731.27 of the Revised Code or failure to fulfill the33535
responsibilities of collaboration after entering into a standard33536
care arrangement;33537

       (33) Failure to comply with the terms of a consult agreement33538
entered into with a pharmacist pursuant to section 4729.39 of the33539
Revised Code;33540

       (34) Failure to cooperate in an investigation conducted by33541
the board under division (F) of this section, including failure to33542
comply with a subpoena or order issued by the board or failure to33543
answer truthfully a question presented by the board at a33544
deposition or in written interrogatories, except that failure to33545
cooperate with an investigation shall not constitute grounds for33546
discipline under this section if a court of competent jurisdiction33547
has issued an order that either quashes a subpoena or permits the33548
individual to withhold the testimony or evidence in issue;33549

       (35) Failure to supervise an acupuncturist in accordance with33550
Chapter 4762. of the Revised Code and the board's rules for33551
supervision of an acupuncturist;33552

       (36) Failure to supervise an anesthesiologist assistant in33553
accordance with Chapter 4760. of the Revised Code and the board's33554
rules for supervision of an anesthesiologist assistant;33555

       (37) Assisting suicide as defined in section 3795.01 of the33556
Revised Code.33557

       (C) Disciplinary actions taken by the board under divisions33558
(A) and (B) of this section shall be taken pursuant to an33559
adjudication under Chapter 119. of the Revised Code, except that33560
in lieu of an adjudication, the board may enter into a consent33561
agreement with an individual to resolve an allegation of a33562
violation of this chapter or any rule adopted under it. A consent33563
agreement, when ratified by an affirmative vote of not fewer than33564
six members of the board, shall constitute the findings and order33565
of the board with respect to the matter addressed in the33566
agreement. If the board refuses to ratify a consent agreement, the 33567
admissions and findings contained in the consent agreement shall 33568
be of no force or effect.33569

       If the board takes disciplinary action against an individual33570
under division (B) of this section for a second or subsequent plea33571
of guilty to, or judicial finding of guilt of, a violation of33572
section 2919.123 of the Revised Code, the disciplinary action33573
shall consist of a suspension of the individual's certificate to33574
practice for a period of at least one year or, if determined33575
appropriate by the board, a more serious sanction involving the33576
individual's certificate to practice. Any consent agreement33577
entered into under this division with an individual that pertains33578
to a second or subsequent plea of guilty to, or judicial finding33579
of guilt of, a violation of that section shall provide for a33580
suspension of the individual's certificate to practice for a33581
period of at least one year or, if determined appropriate by the33582
board, a more serious sanction involving the individual's33583
certificate to practice.33584

       (D) For purposes of divisions (B)(10), (12), and (14) of this33585
section, the commission of the act may be established by a finding 33586
by the board, pursuant to an adjudication under Chapter 119. of 33587
the Revised Code, that the individual committed the act. The board33588
does not have jurisdiction under those divisions if the trial 33589
court renders a final judgment in the individual's favor and that 33590
judgment is based upon an adjudication on the merits. The board 33591
has jurisdiction under those divisions if the trial court issues 33592
an order of dismissal upon technical or procedural grounds.33593

       (E) The sealing of conviction records by any court shall have33594
no effect upon a prior board order entered under this section or 33595
upon the board's jurisdiction to take action under this section33596
if, based upon a plea of guilty, a judicial finding of guilt, or a33597
judicial finding of eligibility for intervention in lieu of33598
conviction, the board issued a notice of opportunity for a hearing33599
prior to the court's order to seal the records. The board shall33600
not be required to seal, destroy, redact, or otherwise modify its33601
records to reflect the court's sealing of conviction records.33602

       (F)(1) The board shall investigate evidence that appears to33603
show that a person has violated any provision of this chapter or33604
any rule adopted under it. Any person may report to the board in a 33605
signed writing any information that the person may have that33606
appears to show a violation of any provision of this chapter or33607
any rule adopted under it. In the absence of bad faith, any person 33608
who reports information of that nature or who testifies before the 33609
board in any adjudication conducted under Chapter 119. of the 33610
Revised Code shall not be liable in damages in a civil action as a 33611
result of the report or testimony. Each complaint or allegation of 33612
a violation received by the board shall be assigned a case number 33613
and shall be recorded by the board.33614

       (2) Investigations of alleged violations of this chapter or33615
any rule adopted under it shall be supervised by the supervising33616
member elected by the board in accordance with section 4731.02 of33617
the Revised Code and by the secretary as provided in section33618
4731.39 of the Revised Code. The president may designate another33619
member of the board to supervise the investigation in place of the33620
supervising member. No member of the board who supervises the33621
investigation of a case shall participate in further adjudication33622
of the case.33623

       (3) In investigating a possible violation of this chapter or33624
any rule adopted under this chapter, the board may administer33625
oaths, order the taking of depositions, issue subpoenas, and33626
compel the attendance of witnesses and production of books,33627
accounts, papers, records, documents, and testimony, except that a33628
subpoena for patient record information shall not be issued33629
without consultation with the attorney general's office and33630
approval of the secretary and supervising member of the board.33631
Before issuance of a subpoena for patient record information, the33632
secretary and supervising member shall determine whether there is33633
probable cause to believe that the complaint filed alleges a33634
violation of this chapter or any rule adopted under it and that33635
the records sought are relevant to the alleged violation and33636
material to the investigation. The subpoena may apply only to33637
records that cover a reasonable period of time surrounding the33638
alleged violation.33639

       On failure to comply with any subpoena issued by the board33640
and after reasonable notice to the person being subpoenaed, the33641
board may move for an order compelling the production of persons33642
or records pursuant to the Rules of Civil Procedure.33643

       A subpoena issued by the board may be served by a sheriff,33644
the sheriff's deputy, or a board employee designated by the board.33645
Service of a subpoena issued by the board may be made by33646
delivering a copy of the subpoena to the person named therein,33647
reading it to the person, or leaving it at the person's usual33648
place of residence. When the person being served is a person whose 33649
practice is authorized by this chapter, service of the subpoena 33650
may be made by certified mail, restricted delivery, return receipt 33651
requested, and the subpoena shall be deemed served on the date 33652
delivery is made or the date the person refuses to accept 33653
delivery.33654

       A sheriff's deputy who serves a subpoena shall receive the33655
same fees as a sheriff. Each witness who appears before the board33656
in obedience to a subpoena shall receive the fees and mileage33657
provided for witnesses in civil cases in the courts of common33658
pleas.33659

       (4) All hearings and investigations of the board shall be33660
considered civil actions for the purposes of section 2305.252 of33661
the Revised Code.33662

       (5) Information received by the board pursuant to an33663
investigation is confidential and not subject to discovery in any33664
civil action.33665

       The board shall conduct all investigations and proceedings in33666
a manner that protects the confidentiality of patients and persons33667
who file complaints with the board. The board shall not make33668
public the names or any other identifying information about33669
patients or complainants unless proper consent is given or, in the33670
case of a patient, a waiver of the patient privilege exists under33671
division (B) of section 2317.02 of the Revised Code, except that33672
consent or a waiver of that nature is not required if the board33673
possesses reliable and substantial evidence that no bona fide33674
physician-patient relationship exists.33675

       The board may share any information it receives pursuant to33676
an investigation, including patient records and patient record33677
information, with law enforcement agencies, other licensing33678
boards, and other governmental agencies that are prosecuting,33679
adjudicating, or investigating alleged violations of statutes or33680
administrative rules. An agency or board that receives the33681
information shall comply with the same requirements regarding33682
confidentiality as those with which the state medical board must33683
comply, notwithstanding any conflicting provision of the Revised33684
Code or procedure of the agency or board that applies when it is33685
dealing with other information in its possession. In a judicial33686
proceeding, the information may be admitted into evidence only in33687
accordance with the Rules of Evidence, but the court shall require33688
that appropriate measures are taken to ensure that confidentiality33689
is maintained with respect to any part of the information that33690
contains names or other identifying information about patients or33691
complainants whose confidentiality was protected by the state33692
medical board when the information was in the board's possession.33693
Measures to ensure confidentiality that may be taken by the court33694
include sealing its records or deleting specific information from33695
its records.33696

       (6) On a quarterly basis, the board shall prepare a report33697
that documents the disposition of all cases during the preceding33698
three months. The report shall contain the following information33699
for each case with which the board has completed its activities:33700

       (a) The case number assigned to the complaint or alleged33701
violation;33702

       (b) The type of certificate to practice, if any, held by the33703
individual against whom the complaint is directed;33704

       (c) A description of the allegations contained in the33705
complaint;33706

       (d) The disposition of the case.33707

       The report shall state how many cases are still pending and33708
shall be prepared in a manner that protects the identity of each33709
person involved in each case. The report shall be a public record33710
under section 149.43 of the Revised Code.33711

       (G) If the secretary and supervising member determine that33712
there is clear and convincing evidence that an individual has33713
violated division (B) of this section and that the individual's33714
continued practice presents a danger of immediate and serious harm33715
to the public, they may recommend that the board suspend the33716
individual's certificate to practice without a prior hearing.33717
Written allegations shall be prepared for consideration by the33718
board.33719

       The board, upon review of those allegations and by an33720
affirmative vote of not fewer than six of its members, excluding33721
the secretary and supervising member, may suspend a certificate33722
without a prior hearing. A telephone conference call may be33723
utilized for reviewing the allegations and taking the vote on the33724
summary suspension.33725

       The board shall issue a written order of suspension by33726
certified mail or in person in accordance with section 119.07 of33727
the Revised Code. The order shall not be subject to suspension by33728
the court during pendency of any appeal filed under section 119.1233729
of the Revised Code. If the individual subject to the summary33730
suspension requests an adjudicatory hearing by the board, the date33731
set for the hearing shall be within fifteen days, but not earlier33732
than seven days, after the individual requests the hearing, unless33733
otherwise agreed to by both the board and the individual.33734

       Any summary suspension imposed under this division shall33735
remain in effect, unless reversed on appeal, until a final33736
adjudicative order issued by the board pursuant to this section33737
and Chapter 119. of the Revised Code becomes effective. The board33738
shall issue its final adjudicative order within sixtyseventy-five33739
days after completion of its hearing. A failure to issue the order33740
within sixtyseventy-five days shall result in dissolution of the 33741
summary suspension order but shall not invalidate any subsequent, 33742
final adjudicative order.33743

       (H) If the board takes action under division (B)(9), (11), or 33744
(13) of this section and the judicial finding of guilt, guilty33745
plea, or judicial finding of eligibility for intervention in lieu33746
of conviction is overturned on appeal, upon exhaustion of the33747
criminal appeal, a petition for reconsideration of the order may33748
be filed with the board along with appropriate court documents.33749
Upon receipt of a petition of that nature and supporting court33750
documents, the board shall reinstate the individual's certificate33751
to practice. The board may then hold an adjudication under Chapter 33752
119. of the Revised Code to determine whether the individual33753
committed the act in question. Notice of an opportunity for a 33754
hearing shall be given in accordance with Chapter 119. of the 33755
Revised Code. If the board finds, pursuant to an adjudication held 33756
under this division, that the individual committed the act or if33757
no hearing is requested, the board may order any of the sanctions33758
identified under division (B) of this section.33759

       (I) The certificate to practice issued to an individual under33760
this chapter and the individual's practice in this state are33761
automatically suspended as of the date of the individual's second33762
or subsequent plea of guilty to, or judicial finding of guilt of,33763
a violation of section 2919.123 of the Revised Code, or the date 33764
the individual pleads guilty to, is found by a judge or jury to be 33765
guilty of, or is subject to a judicial finding of eligibility for 33766
intervention in lieu of conviction in this state or treatment or 33767
intervention in lieu of conviction in another jurisdiction for any 33768
of the following criminal offenses in this state or a33769
substantially equivalent criminal offense in another jurisdiction: 33770
aggravated murder, murder, voluntary manslaughter, felonious 33771
assault, kidnapping, rape, sexual battery, gross sexual 33772
imposition, aggravated arson, aggravated robbery, or aggravated 33773
burglary. Continued practice after suspension shall be considered 33774
practicing without a certificate.33775

       The board shall notify the individual subject to the33776
suspension by certified mail or in person in accordance with33777
section 119.07 of the Revised Code. If an individual whose33778
certificate is automatically suspended under this division fails 33779
to make a timely request for an adjudication under Chapter 119. of 33780
the Revised Code, the board shall do whichever of the following is 33781
applicable:33782

       (1) If the automatic suspension under this division is for a33783
second or subsequent plea of guilty to, or judicial finding of33784
guilt of, a violation of section 2919.123 of the Revised Code, the33785
board shall enter an order suspending the individual's certificate33786
to practice for a period of at least one year or, if determined33787
appropriate by the board, imposing a more serious sanction33788
involving the individual's certificate to practice.33789

       (2) In all circumstances in which division (I)(1) of this 33790
section does not apply, enter a final order permanently revoking 33791
the individual's certificate to practice.33792

       (J) If the board is required by Chapter 119. of the Revised33793
Code to give notice of an opportunity for a hearing and if the33794
individual subject to the notice does not timely request a hearing33795
in accordance with section 119.07 of the Revised Code, the board33796
is not required to hold a hearing, but may adopt, by an33797
affirmative vote of not fewer than six of its members, a final33798
order that contains the board's findings. In that final order, the 33799
board may order any of the sanctions identified under division (A) 33800
or (B) of this section.33801

       (K) Any action taken by the board under division (B) of this33802
section resulting in a suspension from practice shall be33803
accompanied by a written statement of the conditions under which33804
the individual's certificate to practice may be reinstated. The33805
board shall adopt rules governing conditions to be imposed for33806
reinstatement. Reinstatement of a certificate suspended pursuant33807
to division (B) of this section requires an affirmative vote of33808
not fewer than six members of the board.33809

       (L) When the board refuses to grant a certificate to an33810
applicant, revokes an individual's certificate to practice,33811
refuses to register an applicant, or refuses to reinstate an33812
individual's certificate to practice, the board may specify that33813
its action is permanent. An individual subject to a permanent33814
action taken by the board is forever thereafter ineligible to hold33815
a certificate to practice and the board shall not accept an33816
application for reinstatement of the certificate or for issuance33817
of a new certificate.33818

       (M) Notwithstanding any other provision of the Revised Code,33819
all of the following apply:33820

       (1) The surrender of a certificate issued under this chapter33821
shall not be effective unless or until accepted by the board.33822
Reinstatement of a certificate surrendered to the board requires33823
an affirmative vote of not fewer than six members of the board.33824

       (2) An application for a certificate made under the33825
provisions of this chapter may not be withdrawn without approval33826
of the board.33827

       (3) Failure by an individual to renew a certificate of33828
registration in accordance with this chapter shall not remove or33829
limit the board's jurisdiction to take any disciplinary action33830
under this section against the individual.33831

       (N) Sanctions shall not be imposed under division (B)(28) of33832
this section against any person who waives deductibles and33833
copayments as follows:33834

       (1) In compliance with the health benefit plan that expressly 33835
allows such a practice. Waiver of the deductibles or copayments 33836
shall be made only with the full knowledge and consent of the plan 33837
purchaser, payer, and third-party administrator. Documentation of33838
the consent shall be made available to the board upon request.33839

       (2) For professional services rendered to any other person33840
authorized to practice pursuant to this chapter, to the extent33841
allowed by this chapter and rules adopted by the board.33842

       (O) Under the board's investigative duties described in this33843
section and subject to division (F) of this section, the board33844
shall develop and implement a quality intervention program33845
designed to improve through remedial education the clinical and33846
communication skills of individuals authorized under this chapter33847
to practice medicine and surgery, osteopathic medicine and33848
surgery, and podiatric medicine and surgery. In developing and33849
implementing the quality intervention program, the board may do33850
all of the following:33851

       (1) Offer in appropriate cases as determined by the board an33852
educational and assessment program pursuant to an investigation33853
the board conducts under this section;33854

       (2) Select providers of educational and assessment services,33855
including a quality intervention program panel of case reviewers;33856

       (3) Make referrals to educational and assessment service33857
providers and approve individual educational programs recommended33858
by those providers. The board shall monitor the progress of each33859
individual undertaking a recommended individual educational33860
program.33861

       (4) Determine what constitutes successful completion of an33862
individual educational program and require further monitoring of33863
the individual who completed the program or other action that the33864
board determines to be appropriate;33865

       (5) Adopt rules in accordance with Chapter 119. of the33866
Revised Code to further implement the quality intervention33867
program.33868

       An individual who participates in an individual educational33869
program pursuant to this division shall pay the financial33870
obligations arising from that educational program.33871

       Sec. 4736.01.  As used in this chapter:33872

       (A) "Environmental health science" means the aspect of public 33873
health science that includes, but is not limited to, the following 33874
bodies of knowledge: air quality, food quality and protection, 33875
hazardous and toxic substances, consumer product safety, housing, 33876
institutional health and safety, community noise control, 33877
radiation protection, recreational facilities, solid and liquid 33878
waste management, vector control, drinking water quality, milk 33879
sanitation, and rabies control.33880

       (B) "Sanitarian" means a person who performs for compensation 33881
educational, investigational, technical, or administrative duties 33882
requiring specialized knowledge and skills in the field of 33883
environmental health science.33884

       (C) "Registered sanitarian" means a person who is registered33885
as a sanitarian in accordance with this chapter.33886

       (D) "Sanitarian-in-training" means a person who is registered 33887
as a sanitarian-in-training in accordance with this chapter.33888

       (E) "Practice of environmental health" means consultation,33889
instruction, investigation, inspection, or evaluation by an33890
employee of a city health district, a general health district, the 33891
environmental protection agency, the department of health, or the 33892
department of agriculture requiring specialized knowledge,33893
training, and experience in the field of environmental health33894
science, with the primary purpose of improving or conducting33895
administration or enforcement under any of the following:33896

       (1) Chapter 911., 913., 917., 3717., 3718., 3721., 3729., or33897
3733. of the Revised Code;33898

       (2) Chapter 3734. of the Revised Code as it pertains to solid 33899
waste;33900

       (3) Section 955.26, 3701.344, 3707.01, or 3707.03, sections 33901
3707.38 to 3707.99, or section 3715.21 of the Revised Code;33902

       (4) Rules adopted under section 3701.34 of the Revised Code33903
pertaining to home sewage, rabies control, or swimming pools;33904

       (5) Rules adopted under section 3701.935 of the Revised Code 33905
for school health and safety network inspections and rules adopted 33906
under section 3707.26 of the Revised Code for sanitary 33907
inspections.33908

       "Practice of environmental health" does not include sampling,33909
testing, controlling of vectors, reporting of observations, or33910
other duties that do not require application of specialized33911
knowledge and skills in environmental health science performed33912
under the supervision of a registered sanitarian.33913

       The state board of sanitarian registration may further define33914
environmental health science in relation to specific functions in33915
the practice of environmental health through rules adopted by the33916
board under Chapter 119. of the Revised Code.33917

       Sec. 4743.05.  Except as otherwise provided in sections33918
4701.20, 4723.062, 4723.082, and 4729.65 of the Revised Code, all 33919
money collected under Chapters 3773., 4701., 4703., 4709., 4713., 33920
4715., 4717., 4723., 4725., 4729., 4732., 4733., 4734., 4736., 33921
4741., 4753., 4755., 4757., 4758., 4759., 4761., 4766., 4771., 33922
4775., 4779., and 4781. of the Revised Code shall be paid into the 33923
state treasury to the credit of the occupational licensing and 33924
regulatory fund, which is hereby created for use in administering 33925
such chapters.33926

       At the end of each quarter, the director of budget and33927
management shall transfer from the occupational licensing and33928
regulatory fund to the nurse education assistance fund created in33929
section 3333.28 of the Revised Code the amount certified to the33930
director under division (B) of section 4723.08 of the Revised33931
Code.33932

       At the end of each quarter, the director shall transfer from33933
the occupational licensing and regulatory fund to the certified33934
public accountant education assistance fund created in section33935
4701.26 of the Revised Code the amount certified to the director33936
under division (H)(2) of section 4701.10 of the Revised Code.33937

       Sec. 4755.03. AllExcept as provided in section 4755.99 of 33938
the Revised Code, all fees and fines collected and assessed under 33939
this chapter by the appropriate section of the Ohio occupational 33940
therapy, physical therapy, and athletic trainers board, shall be 33941
deposited into the state treasury to the credit of the 33942
occupational licensing and regulatory fund.33943

       Sec. 4766.05.  (A) The Ohio medical transportation board33944
shall establish by rule a license fee, a permit fee for each33945
ambulance, ambulette, rotorcraft air ambulance, fixed wing air 33946
ambulance, and nontransport vehicle owned or leased by the33947
licensee that is or will be used as provided in section 4766.07 of 33948
the Revised Code, and fees for renewals of licenses and permits, 33949
taking into consideration the actual costs incurred by the board 33950
in carrying out its duties under this chapter. However, the fee 33951
for each license and each renewal of a license shall not exceed 33952
one hundred dollars, and the fee for each permit and each renewal 33953
of a permit shall not exceed one hundred dollars for each33954
ambulance, rotorcraft air ambulance, fixed wing air ambulance, and33955
nontransport vehicle. The fee for each permit and each renewal of33956
a permit shall be twenty-five dollars for each ambulette for one33957
year after the effective date of this amendmentMarch 9, 2004.33958
Thereafter, the board shall determine by rule the fee, which shall 33959
not exceed fifty dollars, for each permit and each renewal of a 33960
permit for each ambulette. For purposes of establishing fees, 33961
"actual costs" includes the costs of salaries, expenses, 33962
inspection equipment, supervision, and program administration.33963

       (B) The board shall deposit all fees and other moneys33964
collected pursuant to sections 4766.04, 4766.07, and 4766.08 of33965
the Revised Code in the state treasury to the credit of the Ohio 33966
medical transportation trustoccupational licensing and regulatory33967
fund, which is hereby created by section 4743.05 of the Revised 33968
Code. All moneys from the fund shall be used solely for the33969
salaries and expenses of the board incurred in implementing and33970
enforcing this chapter.33971

       (C) The board, subject to the approval of the controlling33972
board, may establish fees in excess of the maximum amounts allowed33973
under division (A) of this section, but such fees shall not exceed33974
those maximum amounts by more than fifty per cent.33975

       Sec. 4766.22.  (A) Not later than forty-five days after the 33976
end of each fiscal year, the Ohio medical transportation board 33977
shall submit a report to the governor and general assembly that 33978
provides all of the following information for that fiscal year:33979

       (1) The number of each of the following the board issued:33980

       (a) Basic life-support organization licenses;33981

       (b) Intermediate life-support organization licenses;33982

       (c) Advanced life-support organization licenses;33983

       (d) Mobile intensive care unit organization licenses;33984

       (e) Ambulette service licenses;33985

       (f) Air medical service organization licenses;33986

       (g) Ambulance permits;33987

       (h) Nontransport vehicle permits;33988

       (i) Ambulette vehicle permits;33989

       (j) Rotorcraft air ambulance permits;33990

       (k) Fixed wing air ambulance permits.33991

       (2) The amount of fees the board collected for issuing and 33992
renewing each type of license and permit specified in division 33993
(A)(1) of this section;33994

       (3) The number of inspections the board or a third party on 33995
the board's behalf conducted in connection with each type of 33996
license and permit specified in division (A)(1) of this section 33997
and the amount of fees the board collected for the inspections;33998

       (4) The number of complaints that were submitted to the 33999
board;34000

       (5) The number of investigations the board conducted under 34001
section 4766.11 of the Revised Code;34002

       (6) The number of adjudication hearings the board held and 34003
the outcomes of the adjudications;34004

       (7) The amount of penalties the board imposed and collected 34005
under section 4766.08 of the Revised Code;34006

       (8) Other information the board determines reflects the 34007
board's operations.34008

       (B) The board shall post the annual report required by this 34009
section on its web site and make it available to the public on 34010
request.34011

       Sec. 4775.08.  (A) The initial and annual renewal fee for a34012
motor vehicle collision repair registration certificate and for a34013
temporary motor vehicle collision repair registration certificate34014
is one hundred fifty dollars for each business location at which34015
the motor vehicle collision repair operator conducts business as34016
an operator, except that the board of motor vehicle collision34017
repair registration, with the approval of the controlling board,34018
may establish fees in excess of or less than that amount, provided34019
that such fees do not exceed or are not less than that amount by34020
more than fifty per cent.34021

       The board shall adjust the fees as necessary in order to34022
provide for the expenses associated with carrying out this chapter34023
without causing an excessive build-up of surplus funds in the34024
motor vehicle collision repair registration fund, which is hereby34025
created in the state treasury.34026

       (B) If the board has notified or attempted to notify a motor34027
vehicle collision repair operator that the operator is required to34028
be registered under this chapter, and the operator fails to34029
register, the initial fee for the registration of such an34030
unregistered operator for each business location at which the34031
operator conducts business as an operator, is the initial fee then34032
in effect plus an additional amount equal to the initial fee then34033
in effect for each calendar year that the operator is not34034
registered after the board has notified or attempted to notify the34035
operator.34036

       (C) The board shall deposit all fees and fines collected34037
under this chapter into the motor vehicle collision repair34038
registration fund. The board shall use the fund solely for the34039
administration and enforcement of this chapteroccupational 34040
licensing and regulatory fund created by section 4743.05 of the 34041
Revised Code.34042

       Sec. 4921.40.  In accordance with section 4921.04 of the34043
Revised Code, the public utilities commission may adopt rules:34044

       (A) Providing for binding estimates by motor transportation 34045
companies engaged, for hire, in the business of transporting 34046
household goods over a public highway in this state;34047

       (B) Providing for guaranteed-not-to-exceed estimates by such 34048
motor transportation companies;34049

       (C) Requiring such motor transportation companies to include 34050
their certificate number in all advertising, written estimates, 34051
and contracts related to the transportation of household goods in 34052
this state;34053

       (D) As are necessary and proper to carry out this chapter 34054
with respect to such motor transportation companies;34055

        (E) Providing for the enforcement of the consumer protection 34056
provisions of Title 49 of the United States Code related to the 34057
delivery and transportation of household goods in interstate 34058
commerce, as permitted by 49 U.S.C. 14710. Any fine or penalty 34059
imposed as a result of such enforcement shall be deposited into 34060
the state treasury to the credit of the general revenue fund.34061

       Sec. 4923.26. There is hereby created in the state treasury 34062
the federal commercial vehicle transportation systems fund. The 34063
fund shall consist of money received from the United States 34064
department of transportation's commercial vehicle intelligent 34065
transportation systems infrastructure deployment program. The 34066
public utilities commission shall use the fund to deploy the Ohio 34067
commercial vehicle information systems networks project and to 34068
improve safety of motor carrier operations through electronic 34069
exchange of data by means of on-highway electronic systems.34070

       Sec. 5101.162.  Subject to available federal funds and 34071
appropriations made by the general assembly, the department of job 34072
and family services may, at its sole discretion, use available 34073
federal funds to reimburse county expenditures for county 34074
administration of food stamps or medicaid even though the county 34075
expenditures meet or exceed the maximum allowable reimbursement34076
amount established by rules adopted under section 5101.161 of the34077
Revised Code if the board of county commissioners has entered into 34078
a fiscal agreement with the director of job and family services 34079
under section 5101.21 of the Revised Code. The director may adopt34080
internal management rules in accordance with section 111.15 of the 34081
Revised Code to implement this section.34082

       Sec. 5101.21.  (A) As used in this section, "county signer34083
sections 5101.21 to 5101.212 of the Revised Code:34084

       (1) "County grantee" means all of the following:34085

       (1)(a) A board of county commissioners;34086

       (2)(b) A county children services board appointed under 34087
section 5153.03 of the Revised Code if required by division (B) of 34088
this section to enter into a fiscal agreement;34089

       (3)(c) A county elected official that is a child support 34090
enforcement agency if required by division (B) of this section to 34091
enter into a fiscal agreement.34092

       (2) "County subgrant" means a grant that a county grantee 34093
awards to another entity.34094

       (3) "County subgrant agreement" means an agreement between a 34095
county grantee and another entity under which the county grantee 34096
awards the other entity one or more county subgrants.34097

        (4) "Fiscal biennial period" means a two-year period 34098
beginning on the first day of July of an odd-numbered year and 34099
ending on the last day of June of the next odd-numbered year.34100

        (5) "Grant" means an award for one or more family services 34101
duties of federal financial assistance that a federal agency 34102
provides in the form of money, or property in lieu of money, to 34103
the department of job and family services and that the department 34104
awards to a county grantee. "Grant" may include state funds the 34105
department awards to a county grantee to match the federal 34106
financial assistance. "Grant" does not mean either of the 34107
following:34108

        (a) Technical assistance that provides services instead of 34109
money;34110

        (b) Other assistance provided in the form of revenue sharing, 34111
loans, loan guarantees, interest subsidies, or insurance.34112

       (6) "Grant agreement" means an agreement between the 34113
department of job and family services and a county grantee under 34114
which the department awards the county grantee one or more grants. 34115

       (B) TheEffective July 1, 2008, the director of job and 34116
family services may award grants to counties only through grant 34117
agreements entered into under this section.34118

       (C) The director shall enter into one or more written fiscal34119
grant agreements with boards ofthe county commissioners under 34120
which financial assistance is awarded for family services duties 34121
included in the agreementsgrantees of each county. Boards of 34122
county commissioners shall select which family services duties to 34123
include in a fiscal agreement. If a board of county commissioners 34124
elects to include family services duties of a public children 34125
services agency and a county children services board appointed 34126
under section 5153.03 of the Revised Code serves as the county's 34127
public children services agency, the board of county commissioners 34128
and county children services board shall jointly enter into the 34129
fiscal agreement with the director. If a board of county 34130
commissioners elects to include family services duties of a child 34131
support enforcement agency and the entity designated under former 34132
section 2301.35 of the Revised Code prior to October 1, 1997, or 34133
designated under section 307.981 of the Revised Code as the 34134
county's child support enforcement agency is an elected official 34135
of the county, the board of county commissioners and county 34136
elected officialIf a county has multiple county grantees, the 34137
director shall jointly enter into the fiscalgrant agreement with 34138
the directorall of the county grantees. The initial grant 34139
agreement shall be entered into not later than January 31, 2008, 34140
and shall be in effect for fiscal year 2009. Except as provided in 34141
rules adopted under this section, subsequent grant agreements 34142
shall be entered into before the first day of each successive 34143
fiscal biennial period and shall be in effect for that fiscal 34144
biennial period or, in the case of a grant agreement entered into 34145
after the first day of a fiscal biennial period and except as 34146
provided by section 5101.211 of the Revised Code, for the 34147
remainder of the fiscal biennial period. A fiscalgrant agreement 34148
shall do all of the following:34149

       (1) Comply with all of the conditions, requirements, and 34150
restrictions applicable to the family services duties for which 34151
the grants included in the agreement are awarded, including the 34152
conditions, requirements, and restrictions established by the 34153
department, federal or state law, state plans for receipt of 34154
federal financial participation, agreements between the department 34155
and a federal agency, and executive orders issued by the governor;34156

        (2) Establish terms and conditions governing the 34157
accountability for and use of the grants included in the grant 34158
agreement;34159

        (3) Specify theboth of the following:34160

       (a) The family services duties included in the agreement and 34161
thefor which the grants included in the agreement are awarded;34162

       (b) The private and government entities designated under 34163
section 307.981 of the Revised Code to serve as the county family 34164
services agencies performing the family services duties;34165

       (2)(4) Provide for the department of job and family services 34166
to award financial assistance for the family services duties34167
grants included in the agreement in accordance with a methodology 34168
for determining the amount of the award established by rules 34169
adopted under division (D) of this section;34170

       (3)(5) Specify the form of the award of financial assistance34171
grants which may be an allocation,a cash draw, reimbursement, 34172
property, advance, working capital advance, or, to the extent 34173
authorized by an appropriation made by the general assembly and to 34174
the extent practicable and not in conflict with a federal or state 34175
law, a consolidated funding allocation for two or more family 34176
services duties included in the agreementother forms specified in 34177
rules adopted under this section;34178

       (4)(6) Provide that the award of financial assistance is34179
grants are subject to the availability of federal funds and 34180
appropriations made by the general assembly;34181

       (5)(7) Specify annual financial, administrative, or other 34182
incentive awards, if any, to be provided in accordance with 34183
section 5101.23 of the Revised Code;34184

       (6)(8) Include the assurance of each county signergrantee34185
that the county signergrantee will do all of the following:34186

       (a) Ensure that the financial assistance awarded undergrants 34187
included in the agreement isare used, and the family services 34188
duties included infor which the agreementgrants are awarded are 34189
performed, in accordance with conditions, requirements for, and 34190
restrictions applicable to the duties established by the 34191
department, a federal or state law, or any of the following that 34192
concern the family services duties included in the fiscal 34193
agreement and are published under section 5101.212 of the Revised 34194
Code: state plans for receipt of federal financial participation, 34195
grant agreements between the department and a federal agency, and 34196
executive orders issued by the governor;34197

       (b) Ensure that the board and county family services agencies 34198
utilizeUtilize a financial management system and other 34199
accountability mechanisms for the financial assistancegrants34200
awarded under the agreement that meet requirements the department 34201
establishes;34202

       (c) Require the county family services agencies to do bothDo 34203
all of the following with regard to a county subgrant:34204

       (i) Award the subgrant through a written county subgrant 34205
agreement that requires the entity awarded the county subgrant to 34206
comply with all conditions, requirements, and restrictions 34207
applicable to the county grantee regarding the grant that the 34208
county grantee subgrants to the entity, including the conditions, 34209
requirements, and restrictions of this section;34210

        (ii) Monitor all private and government entitiesthe entity34211
that receive a payment from financial assistanceis awarded under34212
the agreementsubgrant to ensure that eachthe entity uses the 34213
paymentsubgrant in accordance with conditions, requirements for, 34214
and restrictions applicable to the family services duties included 34215
infor which the agreementsubgrant is awarded;34216

       (ii)(iii) Take action to recover paymentssubgrants that are 34217
not used in accordance with the conditions, requirements for, or 34218
restrictions applicable to the family services duties included in34219
for which the agreementsubgrant is awarded.34220

       (d) Require county family services agencies to promptly34221
Promptly reimburse the department the amount that represents the 34222
amount an agencythe county grantee is responsible for, pursuant 34223
to action the department takes under division (C) of section 34224
5101.24 of the Revised Code, of funds the department pays to any 34225
entity because of an adverse audit finding, adverse quality 34226
control finding, final disallowance of federal financial 34227
participation, or other sanction or penalty;34228

       (e) Require county family services agencies to takeTake34229
prompt corrective action, including paying amounts resulting from 34230
an adverse finding, sanction, or penalty, if the department, 34231
auditor of state, federal agency, or other entity authorized by 34232
federal or state law to determine compliance with the conditions,34233
requirements for, and restrictions applicable to a family services 34234
duty for which a grant included in the agreement is awarded34235
determines compliance has not been achieved;34236

        (f) Ensure that any matching funds, regardless of the source, 34237
that the county grantee manages are clearly identified and used in 34238
accordance with federal and state laws and the agreement.34239

       (7)(9) Provide for the department taking action pursuant to 34240
division (C) of section 5101.24 of the Revised Code if authorized 34241
by division (B)(1), (2), (3), or (4) of that section;34242

       (8)(10) Provide for timely audits required by federal and 34243
state law and require prompt release of audit findings and prompt 34244
action to correct problems identified in an audit;34245

       (9) Comply with all of the requirements for the family 34246
services duties that are included in the agreement and have been 34247
established by the department, federal or state law, or any of the 34248
following that concern the family services duties included in the 34249
fiscal agreement and are published under section 5101.212 of the 34250
Revised Code: state plans for receipt of federal financial 34251
participation, grant agreements between the department and a 34252
federal agency, and executive orders issued by the governor;34253

       (10)(11) Provide for dispute resolutionadministrative review34254
procedures in accordance with section 5101.24 of the Revised Code;34255

       (11)(12) Establish the method of amending or terminating the 34256
agreement and an expedited process for correcting terms or 34257
conditions of the agreement that the director and each county 34258
signergrantee agree are erroneous;34259

       (12) Except as provided in rules adopted under division (D) 34260
of this section, begin on the first day of July of an odd-numbered 34261
year and end on the last day of June of the next odd-numbered 34262
year.34263

       (C)(D) A grant agreement does not have to be amended for a 34264
county grantee to be required to comply with a new or amended 34265
condition, requirement, or restriction for a family services duty 34266
established by federal or state law, state plan for receipt of 34267
federal financial participation, agreement between the department 34268
and a federal agency, or executive order issued by the governor.34269

        (E) The department shall make payments authorized by a fiscal34270
grant agreement on vouchers it prepares and may include any funds 34271
appropriated or allocated to it for carrying out family services 34272
duties for which a grant included in the agreement is awarded, 34273
including funds for personal services and maintenance.34274

       (D)(F)(1) The director shall adopt rules in accordance with 34275
section 111.15 of the Revised Code governing fiscalgrant34276
agreements. The director shall adopt the rules as if they were 34277
internal management rules. Before adopting the rules, the director 34278
shall give the public an opportunity to review and comment on the 34279
proposed rules. The rules shall establish methodologies to be used 34280
to determine the amount of financial assistance to be awarded 34281
underthe grants included in the agreements. The rules also shall 34282
establish terms and conditions under which an agreement may be 34283
entered into after the first day of July of an odd-numbered yeara 34284
fiscal biennial period. The rules may do any or all of the 34285
following:34286

       (a) Govern the award of grants included in grant agreements, 34287
including the establishment of allocations, and restrictions on, 34288
the form of the grants and the distribution of the grants;34289

       (b) Specify allowable uses of financial assistance awarded 34290
underthe grants included in the agreements;34291

       (c) Establish reporting, cash management, audit, and other 34292
requirements the director determines are necessary to provide 34293
accountability for the use of financial assistance awarded under34294
the grants included in the agreements and determine compliance 34295
with conditions, requirements, and restrictions established by the 34296
department, a federal or state law, or any of the following that 34297
concern the family services duties included in the agreements and 34298
are published under section 5101.212 of the Revised Code: state 34299
plans for receipt of federal financial participation, grant34300
agreements between the department and a federal entityagency, and 34301
executive orders issued by the governor.34302

       (2) A requirement of a fiscalgrant agreement established by 34303
a rule adopted under this division is applicable to a fiscalgrant34304
agreement without having to be restated in the fiscalgrant34305
agreement. A requirement established by a grant agreement is 34306
applicable to the grant agreement without having to be restated in 34307
a rule.34308

       Sec. 5101.211. (A) Except as provided in division (B) of 34309
this section, theThe director of job and family services may 34310
provide for a fiscalgrant agreement entered into under section 34311
5101.21 of the Revised Code to have a retroactive effective date 34312
of the first day of July of an odd-numbered year if both of the 34313
following are the case:34314

       (1)(A) The agreement is entered into after that date and 34315
before the last day of that July.34316

       (2)(B) The board of county commissioners requests the 34317
retroactive effective date and provides the director good cause 34318
satisfactory to the director for the reason the agreement was not 34319
entered into on or before the first day of that July.34320

       (B) The director may provide for a fiscal agreement to have a 34321
retroactive effective date of July 1, 2003, if both of the 34322
following are the case:34323

       (1) The agreement is entered into after July 1, 2003, and 34324
before August 29, 2003.34325

       (2) The board of county commissioners requests the 34326
retroactive effective date.34327

       Sec. 5101.212.  The department of job and family services 34328
shall publish in a manner accessible to the public all of the 34329
following that concern family services duties for which grants34330
included in fiscalgrant agreements entered into under section 34331
5101.21 of the Revised Code are awarded: state plans for receipt 34332
of federal financial participation, grant agreements between the 34333
department and a federal agency, and executive orders issued by 34334
the governor. The department may publish the materials 34335
electronically or otherwise.34336

       Sec. 5101.213.  (A) Except as provided in section 5101.211 of 34337
the Revised Code, if a fiscal agreement under section 5101.21 of 34338
the Revised Code between the director of job and family services 34339
and a board of county commissioners is not in effectUntil July 1, 34340
2008, all of the following apply:34341

       (1) TheFor each board of county commissioners, the34342
department of job and family services shall award to the county 34343
the board serves financial assistance for family services duties 34344
in accordance with a methodology for determining the amount of the 34345
award established by rules adopted under division (B) of this 34346
section.34347

       (2) The financial assistance may be provided in the form of 34348
allocations, cash draws, reimbursements, and property but may not 34349
be made in the form of a consolidated funding allocation.34350

       (3) The award of the financial assistance is subject to the 34351
availability of federal funds and appropriations made by the 34352
general assembly.34353

       (4) The county family services agencies performing the family 34354
services duties for which the financial assistance is awarded 34355
shall do all of the following:34356

       (a) Use the financial assistance, and perform the family 34357
services duties, in accordance with requirements for the duties 34358
established by the department, a federal or state law, or any of 34359
the following that concern the duties: state plans for receipt of 34360
federal financial participation, grant agreements between the 34361
department and a federal agency, and executive orders issued by 34362
the governor;34363

       (b) Utilize a financial management system and other 34364
accountability mechanisms for the financial assistance that meet 34365
requirements the department establishes;34366

       (c) Monitor all private and government entities that receive 34367
a payment from the financial assistance to ensure that each entity 34368
uses the payment in accordance with requirements for the family 34369
services duties and take action to recover payments that are not 34370
used in accordance with the requirements for the family services 34371
duties;34372

       (d) Promptly reimburse the department the amount that 34373
represents the amount an agency is responsible for, pursuant to 34374
action the department takes under division (C) of section 5101.24 34375
of the Revised Code, of funds the department pays to any entity 34376
because of an adverse audit finding, adverse quality control 34377
finding, final disallowance of federal financial participation, or 34378
other sanction or penalty;34379

       (e) Take prompt corrective action, including paying amounts 34380
resulting from an adverse finding, sanction, or penalty, if the 34381
department, auditor of state, federal agency, or other entity 34382
authorized by federal or state law to determine compliance with 34383
requirements for a family services duty determines compliance has 34384
not been achieved.34385

       (B) The director shall adopt rules in accordance with section 34386
111.15 of the Revised Code as necessary to implement this section. 34387
The director shall adopt the rules as if they were internal 34388
management rules. Before adopting the rules, the director shall 34389
give the public an opportunity to review and comment on the 34390
proposed rules. The rules shall establish methodologies to be used 34391
to determine the amount of financial assistance to be awarded and 34392
may do any or all of the following:34393

       (1) Govern the establishment of funding allocations;34394

       (2) Specify allowable uses of financial assistance the 34395
department awards under this section;34396

       (3) Establish reporting, cash management, audit, and other 34397
requirements the director determines are necessary to provide 34398
accountability for the use of the financial assistance and 34399
determine compliance with requirements established by the 34400
department, a federal or state law, or any of the following that 34401
concern the family services duties for which the financial 34402
assistance is awarded: state plans for receipt of federal 34403
financial participation, grant agreements between the department 34404
and a federal entity, and executive orders issued by the governor.34405

       Sec. 5101.24.  (A) As used in this section, "responsible 34406
entitycounty grantee" means a board of county commissioners or a 34407
county family services agency, whichever county grantee, as 34408
defined in section 5101.21 of the Revised Code, the director of 34409
job and family services determines is appropriate to take action 34410
against under division (C) of this section.34411

       (B) Regardless of whether a family services duty is performed 34412
by a county family services agency, private or government entity 34413
pursuant to a contract entered into under section 307.982 of the 34414
Revised Code or division (C)(2) of section 5153.16 of the Revised 34415
Code, or private or government provider of a family service duty, 34416
the department of job and family services may take action under34417
division (C) of this section against the responsible entitycounty 34418
grantee if the department determines any of the following are the 34419
case:34420

       (1) A requirement of a fiscalgrant agreement entered into 34421
under section 5101.21 of the Revised Code that includes a grant 34422
for the family services duty, including a requirement for fiscal34423
grant agreements established by rules adopted under that section, 34424
is not complied with;34425

       (2) A county family services agency fails to develop, submit 34426
to the department, or comply with a corrective action plan under 34427
division (B) of section 5101.221 of the Revised Code, or the 34428
department disapproves the agency's corrective action plan 34429
developed under division (B) of section 5101.221 of the Revised 34430
Code;34431

        (3) A requirement for the family services duty established by 34432
the department or any of the following is not complied with: a 34433
federal or state law, state plan for receipt of federal financial 34434
participation, grant agreement between the department and a 34435
federal agency, or executive order issued by the governor;34436

       (4) The responsible entitycounty grantee is solely or 34437
partially responsible, as determined by the director of job and 34438
family services, for an adverse audit finding, adverse quality 34439
control finding, final disallowance of federal financial 34440
participation, or other sanction or penalty regarding the family 34441
services duty.34442

       (C) The department may take one or more of the following 34443
actions against the responsible entitycounty grantee when 34444
authorized by division (B)(1), (2), (3), or (4) of this section:34445

       (1) Require the responsible entitycounty grantee to comply 34446
with a corrective action plan pursuant to a time schedule 34447
specified by the department. The corrective action plan shall be 34448
established or approved by the department and shall not require a 34449
county family services agencygrantee to commit resources to the 34450
plan.34451

       (2) Require the responsible entitycounty grantee to comply 34452
with a corrective action plan pursuant to a time schedule 34453
specified by the department. The corrective action plan shall be 34454
established or approved by the department and require a county 34455
family services agencygrantee to commit to the plan existing 34456
resources identified by the agency.34457

        (3) Require the responsible entitycounty grantee to do one 34458
of the following:34459

       (a) Share with the department a final disallowance of federal34460
financial participation or other sanction or penalty;34461

       (b) Reimburse the department the final amount the department 34462
pays to the federal government or another entity that represents 34463
the amount the responsible entitycounty grantee is responsible 34464
for of an adverse audit finding, adverse quality control finding, 34465
final disallowance of federal financial participation, or other 34466
sanction or penalty issued by the federal government, auditor of 34467
state, or other entity;34468

       (c) Pay the federal government or another entity the final 34469
amount that represents the amount the responsible entitycounty 34470
grantee is responsible for of an adverse audit finding, adverse 34471
quality control finding, final disallowance of federal financial 34472
participation, or other sanction or penalty issued by the federal 34473
government, auditor of state, or other entity;34474

       (d) Pay the department the final amount that represents the 34475
amount the responsible entitycounty grantee is responsible for of 34476
an adverse audit finding or adverse quality control finding.34477

       (4) Impose an administrative sanction issued by the 34478
department against the responsible entitycounty grantee. A34479
sanction may be increased if the department has previously taken 34480
action against the responsible entity under this division.34481

       (5) Perform, or contract with a government or private entity 34482
for the entity to perform, the family services duty until the 34483
department is satisfied that the responsible entitycounty grantee34484
ensures that the duty will be performed satisfactorily. If the 34485
department performs or contracts with an entity to perform a34486
family services duty under division (C)(5) of this section, the34487
department may do either or both of the following:34488

       (a) Spend funds in the county treasury appropriated by the 34489
board of county commissioners for the duty;34490

       (b) Withhold funds allocated or reimbursements due to the 34491
responsible entitycounty grantee for the duty and spend the funds 34492
for the duty. 34493

       (6) Request that the attorney general bring mandamus34494
proceedings to compel the responsible entitycounty grantee to 34495
take or cease the action that causes division (B)(1), (2), (3), or 34496
(4) of this section to apply. The attorney general shall bring 34497
mandamus proceedings in the Franklin county court of appeals at 34498
the department's request.34499

       (7) If the department takes action under this division 34500
because of division (B)(3) of this section, temporarily withhold 34501
funds allocated or reimbursement due to the responsible entity34502
county grantee until the department determines that the 34503
responsible entitycounty grantee is in compliance with the 34504
requirement. The department shall release the funds when the 34505
department determines that compliance has been achieved.34506

       (D) If the department proposes to take action against the 34507
responsible entitycounty grantee under division (C) of this34508
section, the department shall notify the responsible entitycounty 34509
grantee, director of the appropriate county family services 34510
agency, and county auditor. The notice shall be in writing and 34511
specify the action the department proposes to take. The department 34512
shall send the notice by regular United States mail.34513

        Except as provided by division (E) of this section, the 34514
responsible entitycounty grantee may request an administrative 34515
review of a proposed action in accordance with administrative 34516
review procedures the department shall establish. The 34517
administrative review procedures shall comply with all of the 34518
following:34519

       (1) A request for an administrative review shall state 34520
specifically all of the following:34521

       (a) The proposed action specified in the notice from the 34522
department for which the review is requested;34523

       (b) The reason why the responsible entitycounty grantee34524
believes the proposed action is inappropriate;34525

       (c) All facts and legal arguments that the responsible entity34526
county grantee wants the department to consider;34527

       (d) The name of the person who will serve as the responsible 34528
entity'scounty grantee's representative in the review.34529

       (2) If the department's notice specifies more than one 34530
proposed action and the responsible entitycounty grantee does not 34531
specify all of the proposed actions in its request pursuant to 34532
division (D)(1)(a) of this section, the proposed actions not 34533
specified in the request shall not be subject to administrative 34534
review and the parts of the notice regarding those proposed 34535
actions shall be final and binding on the responsible entity34536
county grantee.34537

       (3) In the case of a proposed action under division (C)(1) of34538
this section, the responsible entitycounty grantee shall have 34539
fifteen calendar days after the department mails the notice to the 34540
responsible entitycounty grantee to send a written request to the 34541
department for an administrative review. If it receives such a34542
request within the required time, the department shall postpone34543
taking action under division (C)(1) of this section for fifteen 34544
calendar days following the day it receives the request or 34545
extended period of time provided for in division (D)(5) of this 34546
section to allow a representative of the department and a 34547
representative of the responsible entitycounty grantee an 34548
informal opportunity to resolve any dispute during that 34549
fifteen-day or extended period.34550

       (4) In the case of a proposed action under division (C)(2), 34551
(3), (4), (5), or (7) of this section, the responsible entity34552
county grantee shall have thirty calendar days after the 34553
department mails the notice to the responsible entitycounty 34554
grantee to send a written request to the department for an 34555
administrative review. If it receives such a request within the 34556
required time, the department shall postpone taking action under 34557
division (C)(2), (3), (4), (5), or (7) of this section for thirty 34558
calendar days following the day it receives the request or 34559
extended period of time provided for in division (D)(5) of this 34560
section to allow a representative of the department and a 34561
representative of the responsible entitycounty grantee an 34562
informal opportunity to resolve any dispute during that thirty-day 34563
or extended period.34564

       (5) If the informal opportunity provided in division (D)(3) 34565
or (4) of this section does not result in a written resolution to 34566
the dispute within the fifteen- or thirty-day period, the director 34567
of job and family services and representative of the responsible 34568
entitycounty grantee may enter into a written agreement extending 34569
the time period for attempting an informal resolution of the 34570
dispute under division (D)(3) or (4) of this section.34571

        (6) In the case of a proposed action under division (C)(3) of 34572
this section, the responsible entitycounty grantee may not 34573
include in its request disputes over a finding, final disallowance 34574
of federal financial participation, or other sanction or penalty 34575
issued by the federal government, auditor of state, or entity 34576
other than the department.34577

       (7) If the responsible entitycounty grantee fails to request 34578
an administrative review within the required time, the responsible 34579
entitycounty grantee loses the right to request an administrative 34580
review of the proposed actions specified in the notice and the 34581
notice becomes final and binding on the responsible entitycounty 34582
grantee.34583

       (8) If the informal opportunity provided in division (D)(3) 34584
or (4) of this section does not result in a written resolution to 34585
the dispute within the time provided by division (D)(3), (4), or 34586
(5) of this section, the director shall appoint an administrative 34587
review panel to conduct the administrative review. The review 34588
panel shall consist of department employees and one director or 34589
other representative of the type of county family services agency 34590
that is responsible for the kind of family services duty that is 34591
the subject of the dispute and serves a different county than the 34592
county served by the responsible entitycounty grantee. No 34593
individual involved in the department's proposal to take action 34594
against the responsible entitycounty grantee may serve on the 34595
review panel. The review panel shall review the responsible 34596
entity'scounty grantee's request. The review panel may require 34597
that the department or responsible entitycounty grantee submit 34598
additional information and schedule and conduct an informal 34599
hearing to obtain testimony or additional evidence. A review of a 34600
proposal to take action under division (C)(3) of this section 34601
shall be limited solely to the issue of the amount the responsible 34602
entitycounty grantee shall share with the department, reimburse 34603
the department, or pay to the federal government, department, or 34604
other entity under division (C)(3) of this section. The review 34605
panel is not required to make a stenographic record of its hearing 34606
or other proceedings.34607

       (9) After finishing an administrative review, an 34608
administrative review panel appointed under division (D)(8) of 34609
this section shall submit a written report to the director setting 34610
forth its findings of fact, conclusions of law, and 34611
recommendations for action. The director may approve, modify, or 34612
disapprove the recommendations. If the director modifies or 34613
disapproves the recommendations, the director shall state the 34614
reasons for the modification or disapproval and the actions to be 34615
taken against the responsible entitycounty grantee.34616

       (10) The director's approval, modification, or disapproval 34617
under division (D)(9) of this section shall be final and binding 34618
on the responsible entitycounty grantee and shall not be subject 34619
to further departmental review.34620

       (E) The responsible entitycounty grantee is not entitled to 34621
an administrative review under division (D) of this section for 34622
any of the following:34623

       (1) An action taken under division (C)(6) of this section;34624

       (2) An action taken under section 5101.242 of the Revised 34625
Code;34626

       (3) An action taken under division (C)(3) of this section if 34627
the federal government, auditor of state, or entity other than the 34628
department has identified the responsible county family services 34629
agencygrantee as being solely or partially responsible for an 34630
adverse audit finding, adverse quality control finding, final 34631
disallowance of federal financial participation, or other sanction 34632
or penalty;34633

       (4) An adjustment to an allocation, cash draw, advance, or 34634
reimbursement to a responsible county family services agency34635
grantee that the department determines necessary for budgetary 34636
reasons;34637

       (5) Withholding of a cash draw or reimbursement due to 34638
noncompliance with a reporting requirement established in rules 34639
adopted under section 5101.243 of the Revised Code.34640

       (F) This section does not apply to other actions the 34641
department takes against the responsible entitycounty grantee34642
pursuant to authority granted by another state law unless the 34643
other state law requires the department to take the action in 34644
accordance with this section.34645

       (G) The director of job and family services may adopt rules 34646
in accordance with Chapter 119. of the Revised Code as necessary 34647
to implement this section.34648

       Sec. 5101.242.  The department of job and family services may 34649
certify a claim to the attorney general under section 131.02 of 34650
the Revised Code for the attorney general to take action under 34651
that section against a responsible county grantee or responsible 34652
entity to recover any funds that the department determines the 34653
responsible county grantee or responsible entity owes the 34654
department for actions taken under division (C)(2), (3), (4), or 34655
(5) of section 5101.24 or 5101.241 of the Revised Code.34656

       Sec. 5101.244.  If a county family services agency submits an 34657
expenditure report to the department of job and family services 34658
and the department subsequently determines that a grant awarded to 34659
a county grantee in a grant agreement entered into under section 34660
5101.21 of the Revised Code, an allocation, advance, or 34661
reimbursement the department makes to thea county family services34662
agency, or a cash draw thea county family services agency makes, 34663
for an expenditure exceeds the allowable amount for the 34664
expendituregrant, allocation, advance, reimbursement, or cash 34665
draw, the department may adjust, offset, withhold, or reduce an 34666
allocation, cash draw, advance, reimbursement, or other financial 34667
assistance to the county grantee or county family services agency 34668
as necessary to recover the amount of the excess grant,34669
allocation, advance, reimbursement, or cash draw. The department 34670
is not required to make the adjustment, offset, withholding, or 34671
reduction in accordance with section 5101.24 of the Revised Code.34672

       The director of job and family services may adopt rules under 34673
section 111.15 of the Revised Code as necessary to implement this 34674
section. The director shall adopt the rules as if they were 34675
internal management rules.34676

       Sec. 5101.51.  In accordance with federal law governing the34677
children's health insurance program, the director of job and34678
family services may submit a state child health plan to the United 34679
States secretary of health and human services to provide, except 34680
as provided in section 5101.516 of the Revised Code, health 34681
assistance to uninsured individuals under nineteen years of age 34682
with family incomes above one hundred fifty per cent of the 34683
federal poverty guidelines but not exceeding twothree hundred per 34684
cent of the federal poverty guidelines. If the director submits 34685
the plan, the director shall include bothall of the following in 34686
the plan and any subsequent amendments to the plan:34687

       (A) TheFor individuals with family incomes above one hundred 34688
fifty per cent but not exceeding two hundred per cent of the 34689
federal poverty guidelines, the health assistance will not begin 34690
before January 1, 2000.34691

       (B) For individuals with family incomes above two hundred per 34692
cent but not exceeding three hundred per cent of the federal 34693
poverty guidelines, the health assistance will not begin before 34694
January 1, 2008.34695

       (C) The health assistance will be available only while 34696
federal financial participation is available for it.34697

       Sec. 5101.541. The food stamp program fund is hereby created 34698
in the state treasury. The fund shall consist of federal 34699
reimbursement for food stamp program administrative expenses and 34700
other food stamp program expenses. The department of job and 34701
family services shall use the money credited to the fund to pay 34702
for food stamp program administrative expenses and other food 34703
stamp program expenses.34704

       Sec. 5101.571.  As used in sections 5101.571 to 5101.5934705
5101.591 of the Revised Code:34706

       (A) "Information" means all of the following:34707

       (1) An individual's name, address, date of birth, and social 34708
security number;34709

       (2) The group or plan number, or other identifier, assigned 34710
by a third party to a policy held by an individual or a plan in 34711
which the individual participates and the nature of the coverage;34712

       (3) Any other data the director of job and family services 34713
specifies in rules adopted under section 5101.591 of the Revised 34714
Code.34715

       (B) "Medical assistance" means medical items or services 34716
provided under any of the following:34717

        (1) Medicaid, as defined in section 5111.01 of the Revised 34718
Code;34719

       (2) The children's health insurance program part I and part 34720
II established under sections 5101.50 to 5101.5110 of the Revised 34721
Code;34722

       (3) The disability medical assistance program established 34723
under Chapter 5115. of the Revised Code.34724

       (C) "Medical support" means support specified as support for 34725
the purpose of medical care by order of a court or administrative 34726
agency.34727

       (B) "Third party"(D) "Public assistance" means medical 34728
assistance or assistance under the Ohio works first program 34729
established under Chapter 5107. of the Revised Code.34730

       (E)(1) Subject to division (E)(2) of this section, and except 34731
as provided in division (E)(3) of this section, "third party"34732
means any health insurer as defined in section 3924.41 of the 34733
Revised Code, individual, entity, or public or private program, 34734
that is or may be liable to pay all or part of the medical cost of 34735
injury, disease, or disability of an applicant or recipient. 34736
"Third party" includes any such insurer, individual, entity, or 34737
program that would have been obligated to pay for the service, 34738
even when such third party limits or excludes payments in the case 34739
of an individual who is eligible for medicaid.all of the 34740
following:34741

       (a) A person authorized to engage in the business of sickness 34742
and accident insurance under Title XXXIX of the Revised Code;34743

       (b) A person or governmental entity providing coverage for 34744
medical services or items to individuals on a self-insurance 34745
basis;34746

       (c) A health insuring corporation as defined in section 34747
1751.01 of the Revised Code;34748

       (d) A group health plan as defined in 29 U.S.C. 1167;34749

       (e) A service benefit plan as referenced in 42 U.S.C. 34750
1396a(a)(25);34751

       (f) A managed care organization;34752

       (g) A pharmacy benefit manager;34753

       (h) A third party administrator;34754

       (i) Any other person or governmental entity that is, by law, 34755
contract, or agreement, responsible for the payment or processing 34756
of a claim for a medical item or service for a public assistance 34757
recipient or participant.34758

       (2) Except when otherwise provided by 42 U.S.C. 1395y(b), a 34759
person or governmental entity listed in division (E)(1) of this 34760
section is a third party even if the person or governmental entity 34761
limits or excludes payments for a medical item or service in the 34762
case of a public assistance recipient. 34763

       (3) "Third party" does not include the program for medically 34764
handicapped children established under section 3701.023 of the 34765
Revised Code.34766

       Sec. 5101.572. Upon the request of the department of job and34767
family services, any(A) A third party as defined in section 34768
5101.571 of the Revised Code shall cooperate with the department 34769
of job and family services in identifying individuals for the 34770
purpose of establishing third party liability pursuant to Title 34771
XIX of the Social Security Act, as amended. The34772

       (B) In furtherance of the requirement in division (A) of this 34773
section and to allow the department to determine any period that 34774
the individual or the individual's spouse or dependent may have 34775
been covered by the third party and the nature of the coverage, a 34776
third party shall provide, as the department so chooses, 34777
information or access to information, or both, in the third 34778
party's electronic data system on the department's request and in 34779
accordance with division (C) of this section.34780

       (C)(1) If the department chooses to receive information 34781
directly, the third party shall provide the information under all 34782
of the following circumstances:34783

       (a) In a medium, format, and manner prescribed by the 34784
director of job and family services in rules adopted under section 34785
5101.591 of the Revised Code;34786

       (b) Free of charge;34787

       (c) Not later than the end of the thirtieth day after the 34788
department makes its request, unless a different time is agreed to 34789
by the director in writing.34790

       (2) If the department chooses to receive access to 34791
information, the third party shall provide access by a method 34792
prescribed by the director of job and family services in rules 34793
adopted under section 5101.591 of the Revised Code. In 34794
facilitating access, the department may enter into a trading 34795
partner agreement with the third party to permit the exchange of 34796
information via "ASC X 12N 270/271 Health Care Eligibility Benefit 34797
Inquiry and Response" transactions.34798

       (D) All of the following apply with respect to information 34799
provided by a third party to the department under this section:34800

       (1) The information is confidential and not a public record 34801
under section 149.43 of the Revised Code.34802

       (2) The release of information to the department is not to be 34803
considered a violation of any right of confidentiality or contract 34804
that the third party may have with covered persons including, but 34805
not limited to, contractees, beneficiaries, heirs, assignees, and 34806
subscribers.34807

       (3) The third party is immune from any liability that it may 34808
otherwise incur through its release of information to the 34809
department.34810

       The department of job and family services shall limit its use 34811
of information gained from third parties to purposes directly34812
connected with the administration of the medicaid program. No34813

       (E) No third party shall disclose to other parties or make 34814
use of any information regarding recipients of aid under Chapter 34815
5107. or 5111. of the Revised Code that it obtains from the 34816
department of job and family services, except in the manner 34817
provided for by the director of job and family services in 34818
administrative rules. Any information provided by a third party to 34819
the department of job and family services shall not be considered 34820
a violation of any right of confidentiality or contract that the 34821
third party may have with covered persons including, but not 34822
limited to, contractees, beneficiaries, heirs, assignees, and 34823
subscribers. The third party is immune from any liability that it 34824
may otherwise incur through its release of information to the 34825
department of job and family services.34826

       Sec. 5101.573. (A) Subject to division (B) of this section, a 34827
third party shall do all of the following:34828

       (1) Accept the department of job and family services' right 34829
of recovery under section 5101.58 of the Revised Code and the 34830
assignment of rights to the department that are described in 34831
section 5101.59 of the Revised Code.34832

       (2) Respond to an inquiry by the department regarding a claim 34833
for payment of a medical item or service that was submitted to the 34834
third party not later than six years after the date of the 34835
provision of such medical item or service;34836

       (3) Pay a claim described in division (A)(2) of this section;34837

       (4) Not deny a claim submitted by the department solely on 34838
the basis of the date of submission of the claim, type or format 34839
of the claim form, or a failure by the medical assistance 34840
recipient who is the subject of the claim to present proper 34841
documentation of coverage at the time of service, if both of the 34842
following are true:34843

       (a) The claim was submitted by the department not later than 34844
six years after the date of the provision of the medical item or 34845
service;34846

       (b) An action by the department to enforce its right of 34847
recovery under section 5101.58 of the Revised Code on the claim 34848
was commenced not later than six years after the department's 34849
submission of the claim.34850

       (B) For purposes of the requirements in division (A) of this 34851
section, a third party shall treat a managed care organization as 34852
the department for a claim in which both of the following are 34853
true:34854

       (1) The individual who is the subject of the claim received a 34855
medical item or service through a managed care organization that 34856
has entered into a contract with the department of job and family 34857
services under section 5111.16 of the Revised Code;34858

       (2) The department has assigned its right of recovery for the 34859
claim to the managed care organization.34860

       Sec. 5101.574.  No third party shall consider whether an 34861
individual is eligible for or receives medical assistance when 34862
either of the following applies:34863

       (A) The individual seeks to obtain a policy or enroll in a 34864
plan or program operated or administered by the third party;34865

       (B) The individual, or a person or governmental entity on the 34866
individual's behalf, seeks payment for a medical item or service 34867
provided to the individual.34868

       Sec. 5101.575. If a third party violates section 5101.572, 34869
5101.573, or 5101.574 of the Revised Code, a governmental entity 34870
that is responsible for issuing a license, certificate of 34871
authority, registration, or approval that authorizes the third 34872
party to do business in this state shall, in accordance with 34873
Chapter 119. of the Revised Code, deny, revoke, or terminate, as 34874
determined to be appropriate by the governmental entity, the 34875
license, certificate, registration, or approval of the third 34876
party. In addition, the attorney general may petition a court of 34877
common pleas to enjoin the violation.34878

       Sec. 5101.58. As used in this section and section 5101.59 of 34879
the Revised Code, "public assistance" means aid provided under 34880
Chapter 5111. or 5115. of the Revised Code and participation in 34881
the Ohio works first program established under Chapter 5107. of 34882
the Revised Code.34883

       (A) The acceptance of public assistance gives aan automatic34884
right of recovery to the department of job and family services and34885
a county department of job and family services against the34886
liability of a third party for the cost of medical services and 34887
care arising out of injury, disease, or disabilityassistance paid 34888
on behalf of the public assistance recipient or participant. When 34889
an action or claim is brought against a third party by a public 34890
assistance recipient or participant, the entire amount of any 34891
payment, settlement or compromise of the action or claim, or any 34892
court award or judgment, is subject to the recovery right of the34893
department of job and family services or county department of job 34894
and family services. Except in the case of a recipient or 34895
participant who receives medical services or careassistance34896
through a managed care organization, the department's or county 34897
department's claim shall not exceed the amount of medical expenses34898
assistance paid by the departmentsa department on behalf of the 34899
recipient or participant. InA payment, settlement, compromise, 34900
judgment, or award that excludes the cost of medical assistance 34901
paid for by a department shall not preclude a department from 34902
enforcing its rights under this section.34903

       (B) In the case of a recipient or participant who receives 34904
medical services or careassistance through a managed care 34905
organization, the amount of the department's or county 34906
department's claim shall be the amount the managed care 34907
organization pays for medical services or careassistance rendered 34908
to the recipient or participant, even if that amount is more than 34909
the amount the departments paya department pays to the managed 34910
care organization for the recipient's or participant's medical 34911
services or care. Any settlement, compromise, judgment, or award34912
that excludes the cost of medical services or care shall not34913
preclude the departments from enforcing their rights under this34914
sectionassistance.34915

       Prior to initiating any(C) A recipient or participant, and 34916
the recipient's or participant's attorney, if any, shall cooperate 34917
with the departments. In furtherance of this requirement, the 34918
recipient or participant, or the recipient's or participant's 34919
attorney, if any, shall, not later than thirty days after 34920
initiating informal recovery activity or filing a legal recovery 34921
action, the recipient or participant, or the recipient's or 34922
participant's representative, shall discloseagainst a third 34923
party, provide written notice of the activity or action to the 34924
appropriate department or departments as follows:34925

       (1) To only the department of job and family services when 34926
medical assistance under medicaid has been paid;34927

       (2) To the department of job and family services and the 34928
appropriate county department of job and family services when 34929
medical assistance under the disability medical assistance program 34930
has been paid.34931

       (D) The written notice that must be given under division (C) 34932
of this section shall disclose the identity and address of any 34933
third party against whom the recipient or participant has or may 34934
have a right of recovery. Disclosure shall be made to the 34935
department of job and family services when medical expenses have 34936
been paid pursuant to Chapter 5111. or 5115. of the Revised Code. 34937
Disclosure shall be made to both the department of job and family 34938
services and the appropriate county department of job and family 34939
services when medical expenses have been paid pursuant to Chapter 34940
5115. of the Revised Code. No34941

       (E) No settlement, compromise, judgment, or award or any 34942
recovery in any action or claim by a recipient or participant 34943
where the departments have a right of recovery shall be made final 34944
without first giving the appropriate departments written notice as 34945
described in division (C) of this section and a reasonable 34946
opportunity to perfect their rights of recovery. If the34947
departments are not given the appropriate written notice, the 34948
recipient or participant isand, if there is one, the recipient's 34949
or participant's attorney, are liable to reimburse the departments 34950
for the recovery received to the extent of medical payments made 34951
by the departments. The34952

       (F) The departments shall be permitted to enforce their 34953
recovery rights against the third party even though they accepted 34954
prior payments in discharge of their rights under this section if, 34955
at the time the departments received such payments, they were not 34956
aware that additional medical expenses had been incurred but had 34957
not yet been paid by the departments. The third party becomes 34958
liable to the department of job and family services or county34959
department of job and family services as soon as the third party 34960
is notified in writing of the valid claims for recovery under this34961
section.34962

       The(G)(1) Subject to division (G)(2) of this section, the34963
right of recovery of a department does not apply to that portion34964
of any judgment, award, settlement, or compromise of a claim, to 34965
the extent of attorneys' fees, costs, or other expenses incurred 34966
by a recipient or participant in securing the judgment, award, 34967
settlement, or compromise, or to the extent of medical, surgical, 34968
and hospital expenses paid by such recipient or participant from 34969
the recipient's or participant's own resources. Attorney fees and 34970
costs or other expenses in securing any recovery shall not be 34971
assessed against any claims of the departments.34972

       To(2) Reasonable attorneys' fees, not to exceed one-third of 34973
the total judgment, award, settlement, or compromise, plus costs 34974
and other expenses incurred by the recipient or participant in 34975
securing the judgment, award, settlement, or compromise, shall 34976
first be deducted from the total judgment, award, settlement, or 34977
compromise. After fees, costs, and other expenses are deducted 34978
from the total judgment, award, settlement, or compromise, the 34979
department of job and family services or appropriate county 34980
department of job and family services shall receive no less than 34981
one-half of the remaining amount, or the actual amount of medical 34982
assistance paid, whichever is less.34983

       (H) A right of recovery created by this section may be 34984
enforced separately or jointly by the department of job and family 34985
services or the appropriate county department of job and family 34986
services. To enforce their recovery rights, the departments may do34987
any of the following:34988

       (A)(1) Intervene or join in any action or proceeding brought34989
by the recipient or participant or on the recipient's or 34990
participant's behalf against any third party who may be liable for 34991
the cost of medical services and care arising out of the 34992
recipient's or participant's injury, disease, or disability34993
assistance paid;34994

       (B)(2) Institute and pursue legal proceedings against any34995
third party who may be liable for the cost of medical services and 34996
care arising out of the recipient's or participant's injury, 34997
disease, or disabilityassistance paid;34998

       (C)(3) Initiate legal proceedings in conjunction with theany34999
injured, diseased, or disabled recipient or participant or the 35000
recipient's or participant's legalattorney or representative.35001

       Recovery rights created by this section may be enforced35002
separately or jointly by the department of job and family services 35003
and the county department of job and family services.35004

       (I) A recipient or participant shall not assess attorney 35005
fees, costs, or other expenses against the department of job and 35006
family services or a county department of job and family services 35007
when the department or county department enforces its right of 35008
recovery created by this section.35009

       (J) The right of recovery given to the department under this35010
section does not include rights to support from any other person35011
assigned to the state under sections 5107.20 and 5115.07 of the 35012
Revised Code, but includes payments made by a third party under 35013
contract with a person having a duty to support.35014

       The director of job and family services may adopt rules in 35015
accordance with Chapter 119. of the Revised Code the department 35016
considers necessary to implement this section.35017

       Sec. 5101.59.  (A) The application for, or acceptance of,35018
public assistance constitutes an automatic assignment of certain 35019
rights to the department of job and family services. This 35020
assignment includes the rights of the applicant, recipient, or35021
participant and also the rights of any other member of the 35022
assistance group for whom the applicant, recipient, or participant 35023
can legally make an assignment.35024

       (B) Pursuant to this section, the applicant, recipient, or 35025
participant assigns to the department any rights to medical 35026
support available to the applicant, recipient, or participant or 35027
for other members of the assistance group under an order of a 35028
court or administrative agency, and any rights to payments from 35029
anyby a liable third party liable to pay for the cost of medical 35030
care and services arising out of injury, disease, or disability of 35031
the applicant, recipient, participant, or other members of the35032
assistance groupassistance paid on behalf of a public assistance 35033
recipient or participant. The recipient or participant shall 35034
cooperate with the department in obtaining such payments.35035

       Medicare benefits shall not be assigned pursuant to this35036
section. Benefits assigned to the department by operation of this 35037
section are directly reimbursable to the department by liable 35038
third parties.35039

       (B)(C) Refusal by the applicant, recipient, or participant to 35040
cooperate in obtaining medical support and paymentsassistance 35041
paid for self or any other member of the assistance group renders 35042
the applicant, recipient, or participant ineligible for public35043
assistance, unless cooperation is waived by the department. 35044
Eligibility shall continue for any individual who cannot legally 35045
assign the individual's own rights and who would have been35046
eligible for public assistance but for the refusal to assign the 35047
individual's rights or to cooperate as required by this section by 35048
another person legally able to assign the individual's rights.35049

       (D) If the applicant, recipient, or participant or any member 35050
of the assistance group becomes ineligible for public assistance, 35051
the department shall restore to the applicant, recipient, 35052
participant, or member of the assistance group any future rights 35053
to benefits assigned under this section.35054

       (E) The rights of assignment given to the department under 35055
this section do not include rights to support assigned under 35056
section 5107.20 or 5115.07 of the Revised Code.35057

       (C) The director of job and family services may adopt rules 35058
in accordance with Chapter 119. of the Revised Code to implement 35059
this section, including rules that specify what constitutes 35060
cooperating with efforts to obtain medical support and payments 35061
and when the cooperation requirement may be waived.35062

       Sec. 5101.591. (A) Except as provided in division (B) of this 35063
section, the director of job and family services may adopt rules 35064
in accordance with Chapter 119. of the Revised Code to implement 35065
sections 5101.571 to 5101.59 of the Revised Code, including rules 35066
that specify what constitutes cooperating with efforts to obtain 35067
support or payments, or medical assistance payments, and when 35068
cooperation may be waived.35069

       (B) The department shall adopt rules in accordance with 35070
Chapter 119. of the Revised Code to do all of the following:35071

       (1) For purposes of the definition of "information" in 35072
division (A) of section 5101.571 of the Revised Code, any data 35073
other than the data specified in that division that should be 35074
included in the definition.35075

       (2) For purposes of division (C)(1)(a) of section 5101.572 of 35076
the Revised Code, the medium, format, and manner in which a third 35077
party must provide information to the department.35078

       (3) For purposes of division (C)(2) of section 5101.572 of 35079
the Revised Code, the method by which a third party must provide 35080
the department with access to information.35081

       Sec. 5101.802.  (A) As used in this section:35082

        (1) "Custodian," "guardian," and "minor child" have the same 35083
meanings as in section 5107.02 of the Revised Code.35084

       (2) "Federal poverty guidelines" has the same meaning as in 35085
section 5101.46 of the Revised Code.35086

        (3) "Kinship caregiver" has the same meaning as in section 35087
5101.85 of the Revised Code.35088

        (B) Subject to division (E) of section 5101.801 of the 35089
Revised Code, there is hereby created the kinship permanency 35090
incentive program to promote permanency for a minor child in the 35091
legal and physical custody of a kinship caregiver. The program 35092
shall provide an initial one-time incentive payment to the kinship 35093
caregiver to defray the costs of initial placement of the minor 35094
child in the kinship caregiver's home. The program may provide 35095
additional permanency incentive payments for the minor child at 35096
six month intervals for a total period not to exceed thirty-six 35097
months.35098

        (C) A kinship caregiver may participate in the program if all 35099
of the following requirements are met:35100

        (1) The kinship caregiver applies to a public children 35101
services agency in accordance with the application process 35102
established in rules authorized by division (E) of this section;35103

        (2) The minor child the kinship caregiver is caring for is a 35104
child with special needs as that term is defined in rules adopted 35105
under section 5153.163 of the Revised Code;35106

       (3) ANot earlier than July 1, 2005, a juvenile court has 35107
adjudicated the minor child to be an abused, neglected, dependent, 35108
or unruly child and determined that it is in the child's best 35109
interest to be in theissues an order granting legal custody ofto35110
the kinship caregiver, or thea probate court has determined that 35111
it is in the child's best interest to be in the guadianship of35112
grants guardianship to the kinship caregiver, except that a 35113
temporary court order is not sufficient to meet this requirement;35114

        (4)(3) The kinship caregiver is either the minor child's 35115
custodian or guardian;35116

       (5)(4) The minor child resides with the kinship caregiver 35117
pursuant to a placement approval process established in rules 35118
authorized by division (E) of this section;35119

       (6) The(5) Excluding any income excluded under rules adopted 35120
under division (E) of this section, the gross income of the 35121
kinship caregiver's family, including the minor child, does not 35122
exceed twothree hundred per cent of the federal poverty 35123
guidelines.35124

        (D) Public children services agencies shall make initial and 35125
ongoing eligibility determinations for the kinship permanency 35126
incentive program in accordance with rules authorized by division 35127
(E) of this section. The director of job and family services shall 35128
supervise public children services agencies' duties under this 35129
section.35130

        (E) The director of job and family services shall adopt rules 35131
under division (C) of section 5101.801 of the Revised Code as 35132
necessary to implement the kinship permanency incentive program. 35133
The rules shall establish all of the following:35134

        (1) The application process for the program;35135

        (2) The placement approval process through which a minor 35136
child is placed with a kinship caregiver for the kinship caregiver 35137
to be eligible for the program;35138

        (3) The initial and ongoing eligibility determination process 35139
for the program, including the computation of income eligibility;35140

        (4) The amount of the incentive payments provided under the 35141
program;35142

        (5) The method by which the incentive payments are provided 35143
to a kinship caregiver;.35144

       (6) Anything else the director considers necessary to 35145
implement the program.35146

       (F) The director shall begin implementation of the kinship 35147
permanency incentive program no later than January 1, 2006.35148

       Sec. 5101.98.  (A) There is hereby created in the state 35149
treasury the military injury relief fund, which shall consist of 35150
money contributed to it under section 5747.113 of the Revised 35151
Code, of incentive grants authorized by the "Jobs for Veterans 35152
Act," 116 Stat. 2033 (2002), and of contributions made directly to 35153
it. Any person or entity may contribute directly to the fund in 35154
addition to or independently of the income tax refund contribution 35155
system established in section 5747.113 of the Revised Code.35156

       (B) Upon application, the director of job and family services 35157
shall grant money in the fund to individuals injured while in 35158
active service as a member of the armed forces of the United 35159
States and while serving under operation Iraqi freedom or 35160
operation enduring freedom and to individuals diagnosed with 35161
post-traumatic stress disorder while serving, or after having 35162
served, in operation Iraqi freedom or operation enduring freedom.35163

       (C) An individual who receives a grant under this section is 35164
not precluded from receiving one or more additional grants under 35165
this section andduring the same state fiscal year but is not 35166
precluded from being considered for or receiving other assistance 35167
offered by the department of job and family services.35168

       (D) The director shall adopt rules under Chapter 119. of the 35169
Revised Code establishing:35170

       (1) Forms and procedures by which individuals may apply for a 35171
grant under this section;35172

       (2) Criteria for reviewing, evaluating, and rankingapproving 35173
or denying grant applications;35174

       (3) Criteria for determining the amount of grants awarded 35175
under this section; and35176

       (4) Definitions and standards applicable to determining 35177
whether an individual meets the requirements established in 35178
division (B) of this section;35179

       (5) The process for appealing eligibility determinations; and35180

       (6) Any other rules necessary to administer the grant program 35181
established in this section.35182

       (E) An eligibility determination, a grant approval, or a 35183
grant denial made under this section may not be appealed under 35184
Chapter 119., section 5101.35, or any other provision of the 35185
Revised Code.35186

       Sec. 5104.30.  (A) The department of job and family services 35187
is hereby designated as the state agency responsible for35188
administration and coordination of federal and state funding for35189
publicly funded child care in this state. Publicly funded child 35190
care shall be provided to the following:35191

       (1) Recipients of transitional child care as provided under 35192
section 5104.34 of the Revised Code;35193

       (2) Participants in the Ohio works first program established 35194
under Chapter 5107. of the Revised Code;35195

       (3) Individuals who would be participating in the Ohio works35196
first program if not for a sanction under section 5107.16 of the 35197
Revised Code and who continue to participate in a work activity, 35198
developmental activity, or alternative work activity pursuant to 35199
an assignment under section 5107.42 of the Revised Code;35200

       (4) A family receiving publicly funded child care on October 35201
1, 1997, until the family's income reaches one hundred fifty per 35202
cent of the federal poverty line;35203

       (5) Subject to available funds, other individuals determined 35204
eligible in accordance with rules adopted under section 5104.38 of 35205
the Revised Code.35206

       The department shall apply to the United States department of 35207
health and human services for authority to operate a coordinated 35208
program for publicly funded child care, if the director of job and 35209
family services determines that the application is necessary. For 35210
purposes of this section, the department of job and family 35211
services may enter into agreements with other state agencies that 35212
are involved in regulation or funding of child care. The 35213
department shall consider the special needs of migrant workers 35214
when it administers and coordinates publicly funded child care and 35215
shall develop appropriate procedures for accommodating the needs 35216
of migrant workers for publicly funded child care.35217

       (B) The department of job and family services shall 35218
distribute state and federal funds for publicly funded child care,35219
including appropriations of state funds for publicly funded child 35220
care and appropriations of federal funds available under the child 35221
care block grant act, Title IV-A, and Title XX. The department may 35222
use any state funds appropriated for publicly funded child care as 35223
the state share required to match any federal funds appropriated 35224
for publicly funded child care.35225

       (C) In the use of federal funds available under the child 35226
care block grant act, all of the following apply:35227

       (1) The department may use the federal funds to hire staff to 35228
prepare any rules required under this chapter and to administer 35229
and coordinate federal and state funding for publicly funded child 35230
care.35231

       (2) Not more than five per cent of the aggregate amount of 35232
the federal funds received for a fiscal year may be expended for 35233
administrative costs.35234

       (3) The department shall allocate and use at least four per 35235
cent of the federal funds for the following:35236

       (a) Activities designed to provide comprehensive consumer 35237
education to parents and the public;35238

       (b) Activities that increase parental choice;35239

       (c) Activities, including child care resource and referral 35240
services, designed to improve the quality, and increase the 35241
supply, of child care;35242

       (d) Establishing a voluntary child care quality-rating 35243
program in which participation in the program may allow a child 35244
day-care center or type A or B family day-care home to be eligible 35245
for grants, technical assistance, training, or other assistance 35246
and become eligible for unrestricted monetary awards for 35247
maintaining a quality rating.35248

       (4) The department shall ensure that the federal funds will 35249
be used only to supplement, and will not be used to supplant, 35250
federal, state, and local funds available on the effective date of 35251
the child care block grant act for publicly funded child care and 35252
related programs. A county department of job and family services 35253
may purchase child care from funds obtained through any other 35254
means.35255

       (D) The department shall encourage the development of35256
suitable child care throughout the state, especially in areas with 35257
high concentrations of recipients of public assistance and35258
families with low incomes. The department shall encourage the 35259
development of suitable child care designed to accommodate the 35260
special needs of migrant workers. On request, the department, 35261
through its employees or contracts with state or community child 35262
care resource and referral service organizations, shall provide 35263
consultation to groups and individuals interested in developing 35264
child care. The department of job and family services may enter 35265
into interagency agreements with the department of education, the 35266
board of regents, the department of development, and other state 35267
agencies and entities whenever the cooperative efforts of the 35268
other state agencies and entities are necessary for the department 35269
of job and family services to fulfill its duties and 35270
responsibilities under this chapter.35271

       The department shall develop and maintain a registry of 35272
persons providing child care. The director shall adopt rules 35273
pursuant to Chapter 119. of the Revised Code establishing 35274
procedures and requirements for the registry's administration.35275

       (E)(1) The director shall adopt rules in accordance with35276
Chapter 119. of the Revised Code establishing both of the 35277
following:35278

       (a) Reimbursement ceilings for providers of publicly funded 35279
child care;35280

       (b) A procedure for reimbursing and paying providers of35281
publicly funded child care.35282

       (2) In establishing reimbursement ceilings under division 35283
(E)(1)(a) of this section, the director shall do all of the 35284
following:35285

       (a) Use the information obtained under division (B)(3) of 35286
section 5104.04 of the Revised Code;35287

       (b) Establish an enhanced reimbursement ceiling for providers 35288
who provide child care for caretaker parents who work 35289
nontraditional hours;35290

       (c) For a type B family day-care home provider that has 35291
received limited certification pursuant to rules adopted under35292
division (G)(1) of section 5104.011 of the Revised Code, establish 35293
a reimbursement ceiling that is the following:35294

        (i) If the provider is a person described in division 35295
(G)(1)(a) of section 5104.011 of the Revised Code, seventy-five 35296
per cent of the reimbursement ceiling that applies to a type B 35297
family day-care home certified by the same county department of 35298
job and family services pursuant to section 5104.11 of the Revised 35299
Code;35300

       (ii) If the provider is a person described in division 35301
(G)(1)(b) of section 5104.011 of the Revised Code, sixty per cent 35302
of the reimbursement ceiling that applies to a type B family 35303
day-care home certified by the same county department pursuant to 35304
section 5104.11 of the Revised Code.35305

       (3) In establishing reimbursement ceilings under division 35306
(E)(1)(a) of this section, the director may establish different 35307
reimbursement ceilings based on any of the following:35308

        (a) Geographic location of the provider;35309

        (b) Type of care provided;35310

        (c) Age of the child served;35311

        (d) Special needs of the child served;35312

        (e) Whether the expanded hours of service are provided;35313

        (f) Whether weekend service is provided;35314

        (g) Whether the provider has exceeded the minimum 35315
requirements of state statutes and rules governing child care;35316

        (h) Any other factors the director considers appropriate.35317

       (F) Not later than September 1, 2007, the director shall 35318
adopt rules in accordance with Chapter 119. of the Revised Code to 35319
implement the voluntary child care quality-rating program 35320
described in division (C)(3)(d) of this section.35321

       Sec. 5107.02.  As used in this chapter:35322

       (A) "Adult" means an individual who is not a minor child.35323

       (B) "Assistance group" means a group of individuals treated35324
as a unit for purposes of determining eligibility for and the35325
amount of assistance provided under Ohio works first.35326

       (C) "Custodian" means an individual who has legal custody, as35327
defined in section 2151.011 of the Revised Code, of a minor child35328
or comparable status over a minor child created by a court of35329
competent jurisdiction in another state.35330

       (D) "Guardian" means an individual that is granted authority35331
by a probate court pursuant to Chapter 2111. of the Revised Code,35332
or a court of competent jurisdiction in another state, to exercise35333
parental rights over a minor child to the extent provided in the35334
court's order and subject to residual parental rights of the minor35335
child's parents.35336

       (E) "LEAP program" means the learning, earning, and parenting 35337
program conducted under section 5107.30 of the Revised Code.35338

       (F) "Minor child" means either of the following:35339

       (1) An individual who has not attained age eighteen;35340

       (2) An individual who has not attained age nineteen and is a35341
full-time student in a secondary school or in the equivalent level35342
of vocational or technical training.35343

       (F)(G) "Minor head of household" means a minor child who is 35344
either of the following:35345

       (1) Is married, at least six months pregnant, and a member of 35346
an assistance group that does not include an adult;35347

       (2) Is married and is a parent of a child included in the 35348
same assistance group that does not include an adult.35349

       (G)(H) "Ohio works first" means the program established by35350
this chapter known as temporary assistance for needy families in35351
Title IV-A.35352

       (H)(I) "Payment standard" means the amount specified in rules35353
adopted under section 5107.05 of the Revised Code that is the35354
maximum amount of cash assistance an assistance group may receive35355
under Ohio works first from state and federal funds.35356

       (I)(J) "Specified relative" means the following individuals35357
who are age eighteen or older:35358

       (1) The following individuals related by blood or adoption:35359

       (a) Grandparents, including grandparents with the prefix35360
"great," "great-great," or "great-great-great";35361

       (b) Siblings;35362

       (c) Aunts, uncles, nephews, and nieces, including such35363
relatives with the prefix "great," "great-great," "grand," or35364
"great-grand";35365

       (d) First cousins and first cousins once removed.35366

       (2) Stepparents and stepsiblings;35367

       (3) Spouses and former spouses of individuals named in35368
division (I)(J)(1) or (2) of this section.35369

       (J)(K) "Title IV-A" or "Title IV-D" means Title IV-A or Title35370
IV-D of the "Social Security Act," 49 Stat. 620 (1935), 42 U.S.C.35371
301, as amended.35372

       Sec. 5107.03.  There is hereby established the Ohio works 35373
first program. The department of job and family services shall 35374
administer the program, as long as federal funds are provided for 35375
the program, in accordance with Title IV-A, federal regulations, 35376
state law, the Title IV-A state plan submitted to the United 35377
States secretary of health and human services under section 35378
5101.80 of the Revised Code, amendments to the plan, and federal 35379
waivers granted by the United States secretary.35380

       The department shall make all cash assistance payments for35381
Ohio works first from funds appropriated for the Ohio works first 35382
program. A county department of job and family services may use35383
county funds to increase the amount of cash assistance an35384
assistance group receives. An increase in the amount of cash 35385
assistance that results from such a use of county funds shall not 35386
be included as countable income, gross earned income, or gross 35387
unearned income of the assistance group.35388

       Sec. 5107.04. As used in this section, "cost-of-living 35389
adjustment" means the cost-of-living adjustment made by the United 35390
States commissioner of social security under 42 U.S.C. 415(i) for 35391
benefits provided under Title II of the "Social Security Act of 35392
1935."35393

       The department of job and family services shall make all cash 35394
assistance payments for Ohio works first from funds appropriated 35395
for the Ohio works first program. The amount of a cash assistance 35396
payment the department is to make to an assistance group shall be 35397
determined in accordance with rules adopted under section 5107.05 35398
of the Revised Code and shall not exceed the payment standard. The 35399
department shall increase the payment standard on January 1, 2009, 35400
and the first day of each January thereafter by the cost-of-living 35401
adjustment made in the immediately preceding December.35402

       A county department of job and family services may use county 35403
funds to increase the amount of cash assistance an assistance 35404
group receives. An increase in the amount of cash assistance that 35405
results from such a use of county funds shall not be included as 35406
countable income, gross earned income, or gross unearned income of 35407
the assistance group.35408

       Sec. 5107.05.  The director of job and family services shall35409
adopt rules to implement this chapter. The rules shall be35410
consistent with Title IV-A, Title IV-D, federal regulations, state 35411
law, the Title IV-A state plan submitted to the United States 35412
secretary of health and human services under section 5101.80 of 35413
the Revised Code, amendments to the plan, and waivers granted by 35414
the United States secretary. Rules governing eligibility, program 35415
participation, and other applicant and participant requirements 35416
shall be adopted in accordance with Chapter 119. of the Revised 35417
Code. Rules governing financial and other administrative 35418
requirements applicable to the department of job and family 35419
services and county departments of job and family services shall 35420
be adopted in accordance with section 111.15 of the Revised Code.35421

       (A) The rules shall specify, establish, or govern all of the35422
following:35423

       (1) A payment standard for Ohio works first based on federal 35424
and state appropriations that is increased in accordance with 35425
section 5107.04 of the Revised Code;35426

       (2) TheFor the purpose of section 5107.04 of the Revised 35427
Code, the method of determining the amount of cash assistance an 35428
assistance group receives under Ohio works first;35429

       (3) Requirements for initial and continued eligibility for 35430
Ohio works first, including requirements regarding income,35431
citizenship, age, residence, and assistance group composition. 35432
The rules regarding income shall specify what is countable income, 35433
gross earned income, and gross unearned income for the purpose of 35434
section 5107.10 of the Revised Code.;35435

       (4) For the purpose of section 5107.12 of the Revised Code, 35436
application and verification procedures, including the minimum 35437
information an application must contain. If there are at least two 35438
telephone numbers available that a county department of human 35439
services can call to contact members of an assistance group, which 35440
may include the telephone number of an individual who can contact 35441
an assistance group member for the county department, the minimum 35442
information shall include at least those two telephone numbers.;35443

       (5) The extent to which a participant of Ohio works first 35444
must notify, pursuant to section 5107.12 of the Revised Code, a 35445
county department of job and family services of additional income 35446
not previously reported to the county department;35447

       (6) For the purpose of section 5107.16 of the Revised Code, 35448
standards for the determination of good cause for failure or 35449
refusal to comply in full with a provision of a self-sufficiency 35450
contract;35451

       (7) The department of job and family services providing 35452
written notice of a sanction under section 5107.161 of the Revised 35453
Code;35454

       (7)(8) Requirements for the collection and distribution of35455
support payments owed participants of Ohio works first pursuant to35456
section 5107.20 of the Revised Code;35457

       (8)(9) For the purpose of section 5107.22 of the Revised 35458
Code, what constitutes cooperating in establishing a minor child's 35459
paternity or establishing, modifying, or enforcing a child support 35460
order and good cause for failure or refusal to cooperate. The rule 35461
shall be consistent with 42 U.S.C.A. 654(29).;35462

       (9)(10) The requirements governing the LEAP program provided 35463
for under section 5107.30 of the Revised Code, including the 35464
definitions of "equivalent of a high school diploma" and "good 35465
cause," and the incentives provided under the LEAP program;35466

       (10)(11) If the director implements section 5107.301 of the 35467
Revised Code, the requirements governing the award provided under 35468
that section, including the form that the award is to take and 35469
requirements an individual must satisfy to receive the award;35470

       (11)(12) Circumstances under which a county department of job 35471
and family services may exempt a minor head of household or adult 35472
from participating in a work activity or developmental activity 35473
for all or some of the weekly hours otherwise required by section 35474
5107.43 of the Revised Code. Circumstances shall include that a 35475
school or place of work is closed due to a holiday or weather or 35476
other emergency and that an employer grants the minor head of 35477
household or adult leave for illness or earned vacation.35478

       (12)(13) The maximum amount of time the department will35479
subsidize positions created by state agencies and political35480
subdivisions under division (C) of section 5107.52 of the Revised 35481
Code. 35482

       (B) The rules adopted under division (A)(3) of this section 35483
regarding income shall specify what is countable income, gross 35484
earned income, and gross unearned income for the purpose of 35485
section 5107.10 of the Revised Code.35486

       The rules adopted under division (A)(9) of this section shall 35487
be consistent with 42 U.S.C. 654(29). 35488

       The rules adopted under division (A)(12) of this section 35489
shall specify that the circumstances include that a school or 35490
place of work is closed due to a holiday or weather or other 35491
emergency and that an employer grants the minor head of household 35492
or adult leave for illness or earned vacation.35493

       (C) The rules may provide that a county department of job and 35494
family services is not required to take action under section 35495
5107.76 of the Revised Code to recover an erroneous payment that 35496
is below an amount the department specifies.35497

       Sec. 5107.10.  (A) As used in this section:35498

       (1) "Countable income," "gross earned income," and "gross35499
unearned income" have the meanings established in rules adopted35500
under section 5107.05 of the Revised Code.35501

       (2) "Federal poverty guidelines" has the same meaning as in 35502
section 5101.46 of the Revised Code, except that references to a 35503
person's family in the definition shall be deemed to be references 35504
to the person's assistance group.35505

       (3) "Gross income" means gross earned income and gross35506
unearned income.35507

       (4) "Initial eligibility threshold" means the higher of the 35508
following:35509

       (a) Fifty per cent of the federal poverty guidelines;35510

       (b) The gross income maximum for initial eligibility for Ohio 35511
works first as that maximum was set by division (D)(1)(a) of this 35512
section on the day before the effective date of this amendment.35513

       (5) "Strike" means continuous concerted action in failing to35514
report to duty; willful absence from one's position; or stoppage35515
of work in whole from the full, faithful, and proper performance35516
of the duties of employment, for the purpose of inducing,35517
influencing, or coercing a change in wages, hours, terms, and35518
other conditions of employment. "Strike" does not include a35519
stoppage of work by employees in good faith because of dangerous35520
or unhealthful working conditions at the place of employment that35521
are abnormal to the place of employment.35522

       (B) Under the Ohio works first program, an assistance group35523
shall receive, except as otherwise provided by this chapter,35524
time-limited cash assistance. In the case of an assistance group35525
that includes a minor head of household or adult, assistance shall35526
be provided in accordance with the self-sufficiency contract35527
entered into under section 5107.14 of the Revised Code.35528

       (C) To be eligible to participate in Ohio works first, an35529
assistance group must meet all of the following requirements:35530

       (1) The assistance group, except as provided in division (E)35531
of this section, must include at least one of the following:35532

       (a) A minor child who, except as provided in section 5107.2435533
of the Revised Code, resides with a parent, or specified relative35534
caring for the child, or, to the extent permitted by Title IV-A35535
and federal regulations adopted until Title IV-A, resides with a35536
guardian or custodian caring for the child;35537

       (b) A parent residing with and caring for the parent's minor35538
child who receives supplemental security income under Title XVI of35539
the "Social Security Act," 86 Stat. 1475 (1972), 42 U.S.C.A. 1383,35540
as amended, or federal, state, or local adoption assistance;35541

       (c) A specified relative residing with and caring for a minor 35542
child who is related to the specified relative in a manner that 35543
makes the specified relative a specified relative and receives 35544
supplemental security income or federal, state, or local foster 35545
care or adoption assistance;35546

       (d) A woman at least six months pregnant.35547

       (2) The assistance group must meet the income requirements35548
established by division (D) of this section.35549

       (3) No member of the assistance group may be involved in a35550
strike.35551

       (4) The assistance group must satisfy the requirements for35552
Ohio works first established by this chapter and sections 5101.58, 35553
5101.59, and 5101.83 of the Revised Code.35554

       (5) The assistance group must meet requirements for Ohio35555
works first established by rules adopted under section 5107.05 of35556
the Revised Code.35557

       (D)(1) Except as provided in division (D)(4) of this section, 35558
to determine whether an assistance group is initially eligible to 35559
participate in Ohio works first, a county department of job and 35560
family services shall do the following:35561

       (a) Determine whether the assistance group's gross income35562
exceeds the initial eligibility thresholdfifty per cent of the 35563
federal poverty guidelines. In making this determination, the 35564
county department shall disregard amounts that federal statutes or 35565
regulations and sections 5101.17 and 5117.10 of the Revised Code 35566
require be disregarded. The assistance group is ineligible to 35567
participate in Ohio works first if the assistance group's gross 35568
income, less the amounts disregarded, exceeds the initial 35569
eligibility thresholdfifty per cent of the federal poverty 35570
guidelines.35571

       (b) If the assistance group's gross income, less the amounts35572
disregarded pursuant to division (D)(1)(a) of this section, does35573
not exceed the initial eligibility thresholdfifty per cent of the 35574
federal poverty guidelines, determine whether the assistance35575
group's countable income is less than the payment standard. The 35576
assistance group is ineligible to participate in Ohio works first 35577
if the assistance group's countable income equals or exceeds the 35578
payment standard.35579

       (2) For the purpose of determining whether an assistance 35580
group meets the income requirement established by division 35581
(D)(1)(a) of this section, the annual revision that the United 35582
States department of health and human services makes to the 35583
federal poverty guidelines shall go into effect on the first day 35584
of July of the year for which the revision is made.35585

       (3) To determine whether an assistance group participating in 35586
Ohio works first continues to be eligible to participate, a county 35587
department of job and family services shall determine whether the 35588
assistance group's countable income continues to be less than the 35589
payment standard. In making this determination, the county 35590
department shall disregard the first two hundred fifty dollars and 35591
fifty per cent of the remainder of the assistance group's gross 35592
earned income. No amounts shall be disregarded from the assistance35593
group's gross unearned income. The assistance group ceases to be 35594
eligible to participate in Ohio works first if its countable 35595
income, less the amounts disregarded, equals or exceeds the 35596
payment standard.35597

       (4) If an assistance group reapplies to participate in Ohio35598
works first not more than four months after ceasing to35599
participate, a county department of job and family services shall35600
use the income requirement established by division (D)(3) of this35601
section to determine eligibility for resumed participation rather35602
than the income requirement established by division (D)(1) of this35603
section.35604

       (E)(1) An assistance group may continue to participate in35605
Ohio works first even though a public children services agency35606
removes the assistance group's minor children from the assistance35607
group's home due to abuse, neglect, or dependency if the agency35608
does both of the following:35609

       (a) Notifies the county department of job and family services 35610
at the time the agency removes the children that it believes the 35611
children will be able to return to the assistance group within six 35612
months;35613

       (b) Informs the county department at the end of each of the35614
first five months after the agency removes the children that the35615
parent, guardian, custodian, or specified relative of the children35616
is cooperating with the case plans prepared for the children under35617
section 2151.412 of the Revised Code and that the agency is making35618
reasonable efforts to return the children to the assistance group.35619

       (2) An assistance group may continue to participate in Ohio35620
works first pursuant to division (E)(1) of this section for not35621
more than six payment months. This division does not affect the35622
eligibility of an assistance group that includes a woman at least35623
six months pregnant.35624

       Sec. 5107.12.  An assistance group seeking to participate in 35625
the Ohio works first program shall apply to a county department of 35626
job and family services using an application containing35627
information the director of job and family services requires 35628
pursuant to rules adopted under section 5107.05 of the Revised 35629
Code and any additional information the county department35630
requires. If cash assistance under the program is to be paid by 35631
the director of budget and management through the medium of direct35632
deposit as provided by section 329.03 of the Revised Code, the 35633
application shall be accompanied by information the director needs 35634
to make direct deposits.35635

       When a county department receives an application for 35636
participation in Ohio works first, it shall promptly make an 35637
investigation and record of the circumstances of the applicant in 35638
order to ascertain the facts surrounding the application and to 35639
obtain such other information as may be required. Upon the 35640
completion of the investigation, the county department shall 35641
determine as soon as possible whether the applicant is eligible to 35642
participate, the amount of cash assistance the applicant should 35643
receive, and the approximate date when participation shall begin. 35644
The county department shall not delay making the determination of 35645
whether the applicant is eligible to participate on the basis that 35646
the individuals required by section 5107.14 of the Revised Code to 35647
enter into a written self-sufficiency contract with the county 35648
department have not yet done that. The amount of cash assistance 35649
so determined shall be certified to the department of job and 35650
family services in such form as the department shall prescribe. 35651
Warrants, direct deposits, or debit cards shall be delivered or 35652
made payable in the manner the department may prescribe.35653

       To the extent required by rules adopted under section 5107.05 35654
of the Revised Code, a participant of Ohio works first shall 35655
notify the county department immediately upon the receipt or35656
possession of additional income not previously reported to the 35657
county department. Any failure to so notify a county department 35658
shall be regarded as prima-facie evidence of an intent to defraud.35659

       Sec. 5107.14. (A) An assistance group is ineligible to35660
participate in Ohio works first unless the minor head of household35661
or each adult member of the assistance group, not later than35662
thirty days after applying for or undergoing a redetermination of35663
eligibility for the program, entersthe following enter into a 35664
written self-sufficiency contract with the county department of35665
job and family services not later than thirty days after the 35666
assistance group applies for or undergoes a redetermination of 35667
eligibility for the program:35668

       (1) Each adult member of the assistance group;35669

       (2) The assistance group's minor head of household unless the 35670
minor head of household is participating in the LEAP program. The35671

       (B) A self-sufficiency contract shall set forth the rights 35672
and responsibilities of the assistance group as applicants for and35673
participants of the program, including work responsibilities35674
established under sections 5107.40 to 5107.69 of the Revised Code35675
and other requirements designed to assist the assistance group in35676
achieving self sufficiency and personal responsibility. The county 35677
department shall provide without charge a copy of the contract to 35678
each assistance group member who signs it.35679

       EachOhio works first. Each self-sufficiency contract shall 35680
include, based on appraisals conducted under section 5107.41 of 35681
the Revised Code and assessments conducted under section 5107.7035682
of the Revised Code, the following:35683

       (A)(1) The assistance group's plan, developed under section35684
5107.41 of the Revised Code, to achieve the goal of self35685
sufficiency and personal responsibility through unsubsidized35686
employment within the time limit for participating in Ohio works35687
first established by section 5107.18 of the Revised Code;35688

       (B)(2) Work activities, developmental activities, and35689
alternative work activities to which members of the assistance35690
group are assigned under sections 5107.40 to 5107.69 of the35691
Revised Code;35692

       (C)(3) The responsibility of a caretaker member of the35693
assistance group to cooperate in establishing a minor child's35694
paternity and establishing, modifying, and enforcing a support35695
order for the child in accordance with section 5107.22 of the35696
Revised Code;35697

       (D)(4) Other responsibilities that members of the assistance35698
group must satisfy to participate in Ohio works first and the35699
consequences for failure or refusal to satisfy the35700
responsibilities;35701

       (E)(5) An agreement that the assistance group will comply 35702
with the conditions of participating in Ohio works first 35703
established by this chapter and sections 5101.58, 5101.59, and 35704
5101.83 of the Revised Code;35705

       (F)(6) Assistance and services the county department will35706
provide to the assistance group;35707

       (G)(7) Assistance and services the child support enforcement35708
agency and public children services agency will provide to the35709
assistance group pursuant to a plan of cooperation entered into35710
under section 307.983 of the Revised Code;35711

       (H)(8) Other provisions designed to assist the assistance35712
group in achieving self sufficiency and personal responsibility;35713

       (I)(9) Procedures for assessing whether responsibilities are35714
being satisfied and whether the contract should be amended;35715

       (J)(10) Procedures for amending the contract.35716

       (C) No self-sufficiency contract shall include provisions 35717
regarding the LEAP program.35718

       (D) The county department shall provide without charge a copy 35719
of the self-sufficiency contract to each assistance group member 35720
who signs it.35721

       Sec. 5107.16.  (A) If a member of an assistance group fails 35722
or refuses, without good cause, to comply in full with a provision 35723
of a self-sufficiency contract entered into under section 5107.14 35724
of the Revised Code, a county department of job and family35725
services shall sanction the assistance group as follows:35726

       (1) For a first failure or refusal, the county department35727
shall deny or terminate the assistance group's eligibility to35728
participate in Ohio works first for one payment month or until the 35729
failure or refusal ceases, whichever is longer;35730

       (2) For a second failure or refusal, the county department 35731
shall deny or terminate the assistance group's eligibility to35732
participate in Ohio works first for three payment months or until 35733
the failure or refusal ceases, whichever is longer;35734

       (3) For a third or subsequent failure or refusal, the county 35735
department shall deny or terminate the assistance group's35736
eligibility to participate in Ohio works first for six payment35737
months or until the failure or refusal ceases, whichever is35738
longer.35739

       (B) Each county departmentThe director of job and family 35740
services shall establish standards for the determination of good 35741
cause for failure or refusal to comply in full with a provision of 35742
a self-sufficiency contract in rules adopted under section 5107.05 35743
of the Revised Code.35744

       (1) In the case of a failure or refusal to participate in a 35745
work activity, developmental activity, or alternative work35746
activity under sections 5107.40 to 5107.69 of the Revised Code, 35747
good cause shall include, except as provided in division (B)(2) of 35748
this section, the following:35749

       (a) Failure of the county department to place the member in 35750
an activity;35751

       (b) Failure of the county department to provide for the 35752
assistance group to receive support services the county department 35753
determines under section 5107.66 of the Revised Code to be 35754
necessary. In determining whether good cause exists, a county 35755
department shall determine that day care is a necessary support 35756
service if a single custodial parent caring for a minor child 35757
under age six proves a demonstrated inability, as determined by 35758
the county department, to obtain needed child care for one or more 35759
of the following reasons:35760

       (i) Unavailability of appropriate child care within a 35761
reasonable distance from the parent's home or work site;35762

       (ii) Unavailability or unsuitability of informal child care 35763
by a relative or under other arrangements;35764

       (iii) Unavailability of appropriate and affordable formal 35765
child care arrangements.35766

       (2) Good cause does not exist if the member of the assistance 35767
group is placed in a work activity established under section 35768
5107.58 of the Revised Code and exhausts the support services 35769
available for that activity.35770

       (C) When a state hearing under division (B) of section35771
5101.35 of the Revised Code or an administrative appeal under 35772
division (C) of that section is held regarding a sanction under 35773
this section, the hearing officer, director of job and family 35774
services, or director's designee shall base the decision in the 35775
hearing or appeal on the county department's standards of good 35776
cause for failure or refusal to comply in full with a provision of 35777
a self-sufficiency contract, if the county department provides the 35778
hearing officer, director, or director's designee a copy of the 35779
county department's good cause standards.35780

       (D) After sanctioning an assistance group under division (A) 35781
of this section, a county department of job and family services 35782
shall continue to work with the assistance group to provide the 35783
member of the assistance group who caused the sanction an 35784
opportunity to demonstrate to the county department a willingness 35785
to cease the failure or refusal to comply with the 35786
self-sufficiency contract.35787

       (E)(D) An adult eligible for medical assistancemedicaid35788
pursuant to division (A)(1)(a) of section 5111.01 of the Revised35789
Code who is sanctioned under division (A)(3) of this section for a 35790
failure or refusal, without good cause, to comply in full with a 35791
provision of a self-sufficiency contract related to work35792
responsibilities under sections 5107.40 to 5107.69 of the Revised 35793
Code loses eligibility for medical assistancemedicaid unless the 35794
adult is otherwise eligible for medical assistancemedicaid35795
pursuant to another division of section 5111.01 of the Revised35796
Code.35797

       (F) An assistance group that would be participating in Ohio 35798
works first if not for a sanction under this section shall35799
continue to be eligible for all of the following:35800

       (1) Publicly funded child care in accordance with division35801
(A)(3) of section 5104.30 of the Revised Code;35802

       (2) Support services in accordance with section 5107.66 of 35803
the Revised Code;35804

       (3) To the extent permitted by the "Fair Labor Standards Act 35805
of 1938," 52 Stat. 1060, 29 U.S.C.A. 201, as amended, to 35806
participate in work activities, developmental activities, and 35807
alternative work activities in accordance with sections 5107.40 to 35808
5107.69 of the Revised Code.35809

       Sec. 5107.17.  An assistance group that resumes participation 35810
in Ohio works first following a sanction under section 5107.16 of 35811
the Revised Code is not required to do either of the following:35812

       (A) Reapply under section 5107.12 of the Revised Code, unless 35813
it is the assistance group's regularly scheduled time for an 35814
eligibility redetermination;35815

       (B) Enter into a new self-sufficiency contract under section35816
5107.14 of the Revised Code, unless the county department of job 35817
and family services determines it is time for a new appraisal 35818
under section 5107.41 of the Revised Code or the assistance 35819
group's circumstances have changed in a manner necessitating an 35820
amendment to the self-sufficiency contract as determined using 35821
procedures included in the contract under division (I)(B)(9) of 35822
section 5107.14 of the Revised Code.35823

       Sec. 5107.281.  A participant of Ohio works first who is 35824
enrolled in a school district in a county that is participating in 35825
the learnfare program and is not younger than age six but not 35826
older than age nineteen shall participate in the learnfare program35827
unless one of the following is the case:35828

       (A) The participant is not yet eligible for enrollment in35829
first grade;35830

       (B) The participant is subject to the LEAP program under 35831
section 5107.30 of the Revised Code;35832

       (C) The participant has received one of the following:35833

       (1) A high school diploma;35834

       (2) A certificate stating that the participant has achieved35835
the equivalent of a high school education as measured by scores35836
obtained on the tests of general educational development as35837
published by the American council on education.35838

       (D) The participant has been excused from school attendance35839
pursuant to section 3321.04 of the Revised Code;35840

       (E) If child care services for a member of the participant's 35841
household are necessary for the participant to attend school, 35842
child care licensed or certified under Chapter 5104. of the 35843
Revised Code or under sections 3301.52 to 3301.59 of the Revised 35844
Code and transportation to and from the child care are not35845
available;35846

       (F) The participant has been adjudicated a delinquent or35847
unruly child pursuant to section 2151.28 of the Revised Code.35848

       Sec. 5107.30.  (A) As used in this section:35849

       (1) "Equivalent of a high school diploma" and "good cause" 35850
have the meanings established in rules adopted under section 35851
5107.05 of the Revised Code.35852

       (2) "LEAP program" means the learning, earning, and parenting 35853
program.35854

       (3) "Participating teen" means an individual to whom all of 35855
the following apply:35856

       (a) The individual is a participant of Ohio works first;35857

       (b) The individual is under age eighteen or is age eighteen 35858
and in school and is a natural or adoptive parent or is pregnant;35859

       (c) The individual is subject to the LEAP program's 35860
requirements.35861

       (4)(3) "School" means an educational program that is designed35862
to lead to the attainment of a high school diploma or the35863
equivalent of a high school diploma.35864

       (B) The director of job and family services may conduct a 35865
program titled the "LEAP program" in accordance with rules adopted 35866
under section 5107.05 of the Revised Code. The purpose of the LEAP 35867
program is to encourage teens to complete school.35868

        Every participating teen shall attend school in accordance 35869
with the requirements governing the LEAP program unless the 35870
participating teen shows good cause for not attending school. The 35871
department shall provide, in addition to the cash assistance 35872
payment provided under Ohio works first, an incentive payment, in 35873
an amount determined by the department, to every participating 35874
teen who attends school in accordance with the requirements 35875
governing the LEAP program. In addition to the incentive payment, 35876
the department may provide other incentives to participating teens 35877
who attend school in accordance with the LEAP program's 35878
requirements. The department shall reduce the cash assistance35879
payment, in an amount determined by the department, under Ohio 35880
works first to every participating teen who fails or refuses, 35881
without good cause, to meet the LEAP program's requirements.35882

        Every participating teen shall enter into a written agreement 35883
with the county department of job and family services that 35884
specifies all of the following:35885

       (1) The participating teen, to be eligible to receive the 35886
incentive payment and other incentives, if any, under this 35887
section, must meet the requirements of the LEAP program.35888

       (2) The incentive payment and other incentives, if any, will 35889
be provided if the participating teen meets the requirements of 35890
the LEAP program.35891

       (3) The participating teen's cash assistance payment under 35892
Ohio works first will be reduced if the participating teen fails 35893
or refuses without good cause to attend school in accordance with 35894
the requirements governing the LEAP program.35895

       (C) A minor head of household who is participating35896
household's participation in the LEAP program shall be considered 35897
to be participating in a work activity for the purpose of sections 35898
5107.40 to 5107.69counted in determining whether a county 35899
department of job and family services meets the requirement of 35900
section 5107.44 of the Revised Code. However, the minor head of 35901
household is not subject to the requirements or sanctions of those 35902
sections.35903

       (D) Subject to the availability of funds, county departments 35904
of job and family services shall provide for participating teens 35905
to receive support services the county department determines to be 35906
necessary for LEAP participation. Support services may include 35907
publicly funded child care under Chapter 5104. of the Revised 35908
Code, transportation, and other services.35909

       Sec. 5107.36.  An individual is not eligible to participate 35910
inineligible for assistance under Ohio works first if either of 35911
the following apply:35912

       (A) The individual is a fugitive felon as defined in section 35913
5101.20 of the Revised Code;35914

       (B) The individual is violating a condition of probation, a35915
community control sanction, parole, or a post-release control 35916
sanction imposed under federal or state law.35917

       Sec. 5107.41.  As soon as possible after an assistance group 35918
submits an application to participate in Ohio works first, the 35919
county department of job and family services that receives the35920
application shall schedule and conduct an appraisal of each member 35921
of the assistance group who is a minor head of household or adult, 35922
other than a minor head of household participating in the LEAP 35923
program. The appraisal may include an evaluation of the 35924
employment, educational, physiological, and psychological 35925
abilities or liabilities, or both, of the minor head of household 35926
or adult. At the appraisal, the county department shall develop35927
with the minor head of household or adult a plan for the 35928
assistance group to achieve the goal of self sufficiency and 35929
personal responsibility through unsubsidized employment within the 35930
time limit for participating in the Ohio works first program 35931
established by section 5107.18 of the Revised Code. The plan shall 35932
include assignments to one or more work activities, developmental35933
activities, or alternative work activities in accordance with35934
section 5107.42 of the Revised Code. The county department shall 35935
include the plan in the self-sufficiency contract entered into 35936
under section 5107.14 of the Revised Code. 35937

       The county department shall conduct more appraisals of the 35938
minor head of household or adult at times the county department 35939
determines. 35940

       If the minor head of household or adult claims to have a35941
medically determinable physiological or psychological impairment, 35942
illness, or disability, the county department may require that the 35943
minor head of household or adult undergo an independent medical or 35944
psychological examination at a time and place reasonably 35945
convenient to the minor head of household or adult.35946

       Sec. 5107.42.  (A) Except as provided in divisions (B) and 35947
(C) of this section, county departments of job and family services 35948
shall assign each minor head of household and adult participating 35949
in Ohio works first, other than a minor head of household 35950
participating in the LEAP program, to one or more work activities 35951
and developmental activities.35952

       If a county department assigns a minor head of household or 35953
adult to the work activity established under division (H) of35954
section 5107.60 of the Revised Code, the county department shall 35955
make reasonable efforts to assign the minor head of household or 35956
adult to at least one other work activity at the same time. If a 35957
county department assigns a minor head of household or adult to 35958
the work activity established under section 5107.58 of the Revised 35959
Code, the county department shall assign the minor head of 35960
household or adult to at least one other work activity at the same 35961
time.35962

       A county department may not assign a minor head of household 35963
or adult to a work activity established under division (D) of 35964
section 5107.60 of the Revised Code for more than twelve months.35965

       (B) If a county department determines that a minor head of 35966
household or adult has a temporary or permanent barrier to 35967
participation in a work activity, it may assign the minor head of 35968
household or adult to one or more alternative work activities 35969
instead of assigning the minor head of household or adult to one 35970
or more work activities or developmental activities. A county 35971
department may not assign more than twenty per cent of minor heads 35972
of household and adults participating in Ohio works first to an35973
alternative work activity. 35974

       County departments shall establish standards for determining 35975
whether a minor head of household or adult has a temporary or 35976
permanent barrier to participating in a work activity. The 35977
following are examples of circumstances that a county department 35978
may consider when it develops its standards:35979

       (1) A minor head of household or adult provides the county 35980
department documented evidence that one or more members of the 35981
assistance group have been the victim of domestic violence and are 35982
in imminent danger of suffering continued domestic violence;35983

       (2) A minor head of household or adult is actively 35984
participating in an alcohol or drug addiction program certified by 35985
the department of alcohol and drug addiction services under 35986
section 3793.06 of the Revised Code; 35987

       (3) An assistance group is homeless.35988

       (C) A county department may exempt a minor head of household 35989
or adult who is unmarried and caring for a minor child under 35990
twelve months of age from the work requirements of sections 35991
5107.40 to 5107.69 of the Revised Code for not more than twelve35992
months. While exempt, the minor head of household or adult shall 35993
be disregarded in determining whether the county department is 35994
meeting the requirement of section 5107.44 of the Revised Code. 35995
The county department shall assign the exempt minor head of 35996
household or adult to at least one developmental activity for a 35997
number of hours a week the county department determines. The 35998
county department may assign the exempt minor head of household or 35999
adult to one or more work activities, in addition to developmental 36000
activities, for a number of hours the county department 36001
determines. Division (B) of section 5107.43 of the Revised Code 36002
does not apply to the exempt minor head of household or adult. 36003

       (D) A county department may reassign a minor head of 36004
household or adult when the county department determines 36005
reassignment will aid the assistance group in achieving self 36006
sufficiency and personal responsibility and shall make 36007
reassignments when circumstances requiring reassignment occur, 36008
including when a temporary barrier to participating in a work 36009
activity is eliminated. 36010

       A county department shall include assignments in the36011
self-sufficiency contract entered into under section 5107.14 of36012
the Revised Code and shall amend the contract when a reassignment 36013
is made to include the reassignment in the contract.36014

       Sec. 5111.01.  As used in this chapter, "medical assistance36015
program" or "medicaid" means the program that is authorized by36016
this chapter and provided by the department of job and family36017
services under this chapter, Title XIX of the "Social Security36018
Act," 79 Stat. 286 (1965), 42 U.S.C.A. 1396, as amended, and the 36019
waivers of Title XIX requirements granted to the department by the 36020
health care financing administrationcenters for medicare and 36021
medicaid services of the United States department of health and36022
human services.36023

       The department of job and family services shall act as the36024
single state agency to supervise the administration of the36025
medicaid program. As the single state agency, the department shall 36026
comply with 42 C.F.R. 431.10(e). The department's rules governing 36027
medicaid are binding on other agencies that administer components 36028
of the medicaid program. No agency may establish, by rule or 36029
otherwise, a policy governing medicaid that is inconsistent with a 36030
medicaid policy established, in rule or otherwise, by the director 36031
of job and family services.36032

       (A) The department of job and family services may provide36033
medical assistance under the medicaid program as long as federal36034
funds are provided for such assistance, to the following:36035

       (1) Families with children that meet either of the following36036
conditions:36037

       (a) The family meets the income, resource, and family36038
composition requirements in effect on July 16, 1996, for the36039
former aid to dependent children program as those requirements36040
were established by Chapter 5107. of the Revised Code, federal36041
waivers granted pursuant to requests made under former section36042
5101.09 of the Revised Code, and rules adopted by the department36043
or any changes the department makes to those requirements in36044
accordance with paragraph (a)(2) of section 114 of the "Personal36045
Responsibility and Work Opportunity Reconciliation Act of 1996,"36046
110 Stat. 2177, 42 U.S.C.A. 1396u-1, for the purpose of36047
implementing section 5111.019 of the Revised Code. An adult loses36048
eligibility for medical assistance under division (A)(1)(a) of36049
this section pursuant to division (E)(D) of section 5107.16 of the36050
Revised Code.36051

       (b) The family does not meet the requirements specified in36052
division (A)(1)(a) of this section but is eligible for medical36053
assistance pursuant to section 5101.18 of the Revised Code.36054

       (2) Aged, blind, and disabled persons who meet the following36055
conditions:36056

       (a) Receive federal aid under Title XVI of the "Social36057
Security Act," or are eligible for but are not receiving such aid,36058
provided that the income from all other sources for individuals36059
with independent living arrangements shall not exceed one hundred36060
seventy-five dollars per month. The income standards hereby36061
established shall be adjusted annually at the rate that is used by36062
the United States department of health and human services to36063
adjust the amounts payable under Title XVI.36064

       (b) Do not receive aid under Title XVI, but meet any of the36065
following criteria:36066

       (i) Would be eligible to receive such aid, except that their36067
income, other than that excluded from consideration as income36068
under Title XVI, exceeds the maximum under division (A)(2)(a) of36069
this section, and incurred expenses for medical care, as36070
determined under federal regulations applicable to section 209(b)36071
of the "Social Security Amendments of 1972," 86 Stat. 1381, 4236072
U.S.C.A. 1396a(f), as amended, equal or exceed the amount by which36073
their income exceeds the maximum under division (A)(2)(a) of this36074
section;36075

       (ii) Received aid for the aged, aid to the blind, or aid for36076
the permanently and totally disabled prior to January 1, 1974, and36077
continue to meet all the same eligibility requirements;36078

       (iii) Are eligible for medical assistance pursuant to section36079
5101.18 of the Revised Code.36080

       (3) Persons to whom federal law requires, as a condition of36081
state participation in the medicaid program, that medical36082
assistance be provided;36083

       (4) Persons under age twenty-one who meet the income36084
requirements for the Ohio works first program established under36085
Chapter 5107. of the Revised Code but do not meet other36086
eligibility requirements for the program. The director shall36087
adopt rules in accordance with Chapter 119. of the Revised Code36088
specifying which Ohio works first requirements shall be waived for36089
the purpose of providing medicaid eligibility under division36090
(A)(4) of this section.36091

       (B) If sufficient funds are appropriated for such purpose by 36092
the general assemblythe medical assistance program, the 36093
department may provide medical assistance to persons in groups 36094
designated by federal law as groups to which a state, at its 36095
option, may provide medical assistance under the medicaid program.36096

       (C) The department may expand eligibility for medical36097
assistance to include individuals under age nineteen with family36098
incomes at or below one hundred fifty per cent of the federal36099
poverty guidelines, except that the eligibility expansion shall36100
not occur unless the department receives the approval of the36101
federal government. The department may implement the eligibility36102
expansion authorized under this division on any date selected by36103
the department, but not sooner than January 1, 1998.36104

       (D) In addition to any other authority or requirement to36105
adopt rules under this chapter, the director may adopt rules in36106
accordance with section 111.15 of the Revised Code as the director36107
considers necessary to establish standards, procedures, and other36108
requirements regarding the provision of medical assistance. The36109
rules may establish requirements to be followed in applying for36110
medical assistance, making determinations of eligibility for36111
medical assistance, and verifying eligibility for medical36112
assistance. The rules may include special conditions as the36113
department determines appropriate for making applications,36114
determining eligibility, and verifying eligibility for any medical36115
assistance that the department may provide pursuant to division36116
(C) of this section and section 5111.014 or 5111.019 of the36117
Revised Code.36118

       Sec. 5111.014.  (A) The director of job and family services 36119
shall submit to the United States secretary of health and human 36120
services an amendment to the state medicaid plan to make an 36121
individual who meets all of the following requirements eligible 36122
for medicaid:36123

       (1) The individual is pregnant;36124

       (2) The individual's family income does not exceed onetwo36125
hundred fifty per cent of the federal poverty guidelines;36126

       (3) The individual satisfies all relevant requirements 36127
established by rules adopted under division (D) of section 5111.01 36128
of the Revised Code.36129

       (B) If approved by the United States secretary of health and 36130
human services, the director of job and family services shall 36131
implement the medicaid plan amendment submitted under division (A) 36132
of this section as soon as possible after receipt of notice of the 36133
approval, but not sooner than January 1, 20002008.36134

       Sec. 5111.016. (A) As used in this section, "healthcheck" has36135
the same meaning as in section 3313.714 of the Revised Code.36136

       (B) In accordance with federal law and regulations, theThe36137
department of job and family services shall establishadopt rules 36138
in accordance with Chapter 119. of the Revised Code establishing a36139
combination of written and oral methods designed to provide 36140
information about healthcheck to all persons eligible for the 36141
program or their parents or guardians. The department shall ensure 36142
that its methods of providing information are effective. The 36143
methods shall comply with federal law and regulations.36144

       Each county department of job and family services or other36145
entity that distributes or accepts applications for medical 36146
assistance shall prominently display in a conspicuous place the 36147
following notice:36148

       "Under state and federal law, if you are a Medicaid36149
recipient, your child is entitled to a thorough medical36150
examination provided through Healthcheck. Once this examination is 36151
completed, your child is entitled to receive, at no cost to you, 36152
any service determined to be medically necessary."that complies 36153
with the rules adopted under this division.36154

       Sec. 5111.019. (A) The director of job and family services36155
shall submit to the United States secretary of health and human36156
services an amendment to the state medicaid plan to make an36157
individual eligible for medicaid who meets all of the following 36158
requirements eligible for medicaid for the amount of time provided 36159
by division (B) of this section:36160

       (1)(A) The individual is the parent of a child under nineteen36161
years of age and resides with the child;36162

       (2)(B) The individual's family income does not exceed ninety 36163
per cent of the federal poverty guidelines;36164

       (3)(C) The individual is not otherwise eligible for medicaid;36165

       (4)(D) The individual satisfies all relevant requirements36166
established by rules adopted under division (D) of section 5111.0136167
of the Revised Code.36168

       (B) An individual is eligible to receive medicaid under this36169
section for a period that does not exceed two years beginning on36170
the date on which eligibility is established.36171

       Sec. 5111.0112.  (A) Not later than July 1, 2006, theThe36172
director of job and family services shall institute a copayment36173
cost-sharing program under the medicaid program. To the extent 36174
permitted by federal law, the copaymentIn instituting the 36175
cost-sharing program, the director shall comply with federal law. 36176
The cost-sharing program shall establish a copayment requirement 36177
for onlyat least dental services, vision services, nonemergency 36178
emergency department services, and prescription drugs, other than 36179
generic drugs. The cost-sharing program shall establish 36180
requirements regarding premiums, enrollment fees, deductions, and 36181
similar charges. The director shall adopt rules under section 36182
5111.02 of the Revised Code governing the copayment program.36183

       (B) The copaymentcost-sharing program shall, to the extent 36184
permitted by federal law, provide for all of the following with 36185
regard to any providers participating in the medicaid program:36186

        (1) No provider shall refuse to provide a service to a 36187
medicaid recipient who is unable to pay a required copayment for 36188
the service.36189

        (2) Division (B)(1) of this section shall not be considered 36190
to do either of the following with regard to a medicaid recipient 36191
who is unable to pay a required copayment:36192

       (a) Relieve the medicaid recipient from the obligation to pay 36193
a copayment;36194

        (b) Prohibit the provider from attempting to collect an 36195
unpaid copayment.36196

        (3) Except as provided in division (C) of this section, no 36197
provider shall waive a medicaid recipient's obligation to pay the 36198
provider a copayment.36199

        (4) No provider or drug manufacturer, including the 36200
manufacturer's representative, employee, independent contractor, 36201
or agent, shall pay any copayment on behalf of a medicaid 36202
recipient.36203

        (5) If it is the routine business practice of the provider to 36204
refuse service to any individual who owes an outstanding debt to 36205
the provider, the provider may consider an unpaid copayment 36206
imposed by the copaymentcost-sharing program as an outstanding 36207
debt and may refuse service to a medicaid recipient who owes the 36208
provider an outstanding debt. If the provider intends to refuse 36209
service to a medicaid recipient who owes the provider an 36210
outstanding debt, the provider shall notify the individual of the 36211
provider's intent to refuse services.36212

       (C) In the case of a provider that is a hospital, the 36213
copaymentcost-sharing program shall permit the hospital to take 36214
action to collect a copayment by providing, at the time services 36215
are rendered to a medicaid recipient, notice that a copayment may 36216
be owed. If the hospital provides the notice and chooses not to 36217
take any further action to pursue collection of the copayment, the 36218
prohibition against waiving copayments specified in division 36219
(B)(3) of this section does not apply.36220

       (D) The department of job and family services may work with a 36221
state agency that is administering, pursuant to a contract entered 36222
into under section 5111.91 of the Revised Code, one or more 36223
components of the medicaid program or one or more aspects of a 36224
component as necessary for the state agency to apply the 36225
cost-sharing program to the components or aspects of the medicaid 36226
program that the state agency administers.36227

       Sec. 5111.0119.  (A) The director of job and family services 36228
shall submit to the United States secretary of health and human 36229
services an amendment to the state medicaid plan to establish the 36230
medicaid buy-in program in accordance with 42 U.S.C. 36231
1396a(a)(10)(A)(ii)(XV) and (XVI).36232

       (B) The director of job and family services shall adopt rules 36233
under section 5111.011 of the Revised Code to implement this 36234
section.36235

       Sec. 5111.023.  (A) As used in this section:36236

       (1) "Community mental health facility" means a community 36237
mental health facility that has a quality assurance program 36238
accredited by the joint commission on accreditation of healthcare 36239
organizations or is certified by the department of mental health 36240
or department of job and family services.36241

        (2) "Mental health professional" means a person qualified to 36242
work with mentally ill persons under the standards established by 36243
the director of mental health pursuant to section 5119.611 of the 36244
Revised Code.36245

        (B) The state medicaid plan shall include provision of the36246
following mental health services when provided by community mental 36247
health facilities:36248

       (1) Outpatient mental health services, including, but not36249
limited to, preventive, diagnostic, therapeutic, rehabilitative,36250
and palliative interventions rendered to individuals in an36251
individual or group setting by a mental health professional in36252
accordance with a plan of treatment appropriately established,36253
monitored, and reviewed;36254

       (2) Partial-hospitalization mental health services of three36255
to fourteen hours per service day, rendered by persons directly36256
supervised by a mental health professional;36257

       (3) Unscheduled, emergency mental health services of a kind36258
ordinarily provided to persons in crisis when rendered by persons36259
supervised by a mental health professional;36260

       (4) Subject to receipt of federal approval, assertive 36261
community treatment and intensive home-based mental health 36262
services.36263

       (C) The comprehensive annual plan shall certify the36264
availability of sufficient unencumbered community mental health36265
state subsidy and local funds to match federal medicaid 36266
reimbursement funds earned by community mental health facilities. 36267

       (D) The department of job and family services shall enter36268
into a separate contract with the department of mental health 36269
under section 5111.91 of the Revised Code with regard to the 36270
component of the medicaid program provided for by this section.36271

       (E) Not later than July 21, 2006, the department of job and 36272
family services shall request federal approval to provide 36273
assertive community treatment and intensive home-based mental 36274
health services under medicaid pursuant to this section.36275

       (F) On receipt of federal approval sought under division (E) 36276
of this section, the director of job and family services shall 36277
adopt rules in accordance with Chapter 119. of the Revised Code 36278
for assertive community treatment and intensive home-based mental 36279
health services provided under medicaid pursuant to this section. 36280
The director shall consult with the department of mental health in 36281
adopting the rules.36282

       Sec. 5111.028. (A) Pursuant to section 5111.02 of the Revised 36283
Code, the director of job and family services shall adopt rules 36284
establishing the use of time-limited provider agreements under the 36285
medicaid program. Under the rules, each provider agreement shall 36286
expire three years from the effective date of the agreement.36287

        (B) The rules for use of time-limited provider agreements 36288
shall include a process for re-enrollment of providers. All of the 36289
following apply to the re-enrollment process:36290

       (1) The department may terminate a time-limited provider 36291
agreement or deny re-enrollment when a provider fails to file an 36292
application for re-enrollment within the time and in the manner 36293
required under the re-enrollment process.36294

       (2) If a provider files an application for re-enrollment 36295
within the time and in the manner required under the re-enrollment 36296
process, but the provider agreement expires before the department 36297
acts on the application or before the effective date of the 36298
department's decision on the application, the provider may 36299
continue operating under the terms of the expired provider 36300
agreement until the effective date of the department's decision.36301

       (3) A decision by the department to approve an application 36302
for re-enrollment becomes effective on the date of the 36303
department's decision. A decision by the department to deny 36304
re-enrollment shall take effect not sooner than thirty days after 36305
the date the department mails written notice of the decision to 36306
the provider. The department shall specify in the notice the date 36307
on which the provider is required to cease operating under the 36308
provider agreement.36309

       (C) Pursuant to section 5111.06 of the Revised Code, the 36310
department is not required to take the actions specified in 36311
division (B)(1) of this section by issuing an order pursuant to an 36312
adjudication conducted in accordance with Chapter 119. of the 36313
Revised Code.36314

       Sec. 5111.029. The medicaid program shall cover occupational 36315
therapy services provided by an occupational therapist licensed 36316
under section 4755.08 of the Revised Code. Coverage shall not be 36317
limited to services provided in a hospital or nursing facility. 36318
Any licensed occupational therapist may enter into a medicaid 36319
provider agreement with the department of job and family services 36320
to provide occupational therapy services under the medicaid 36321
program.36322

       Sec. 5111.03.  (A) No provider of services or goods36323
contracting with the department of job and family services36324
pursuant to the medicaid program shall, by deception, obtain or 36325
attempt to obtain payments under this chapter to which the 36326
provider is not entitled pursuant to the provider agreement, or 36327
the rules of the federal government or the department of job and 36328
family services relating to the program. No provider shall 36329
willfully receive payments to which the provider is not entitled, 36330
or willfully receive payments in a greater amount than that to 36331
which the provider is entitled; nor shall any provider falsify any 36332
report or document required by state or federal law, rule, or 36333
provider agreement relating to medicaid payments. As used in this 36334
section, a provider engages in "deception" when the provider, 36335
acting with actual knowledge of the representation or information 36336
involved, acting in deliberate ignorance of the truth or falsity 36337
of the representation or information involved, or acting in 36338
reckless disregard of the truth or falsity of the representation 36339
or information involved, deceives another or causes another to be 36340
deceived by any false or misleading representation, by withholding 36341
information, by preventing another from acquiring information, or 36342
by any other conduct, act, or omission that creates, confirms, or 36343
perpetuates a false impression in another, including a false 36344
impression as to law, value, state of mind, or other objective or 36345
subjective fact. No proof of specific intent to defraud is 36346
required to show, for purposes of this section, that a provider 36347
has engaged in deception.36348

       (B) Any provider who violates division (A) of this section36349
shall be liable, in addition to any other penalties provided by36350
law, for all of the following civil penalties:36351

       (1) Payment of interest on the amount of the excess payments 36352
at the maximum interest rate allowable for real estate mortgages 36353
under section 1343.01 of the Revised Code on the date the payment 36354
was made to the provider for the period from the date upon which 36355
payment was made, to the date upon which repayment is made to the 36356
state;36357

       (2) Payment of an amount equal to three times the amount of 36358
any excess payments;36359

       (3) Payment of a sum of not less than five thousand dollars 36360
and not more than ten thousand dollars for each deceptive claim or 36361
falsification;36362

       (4) All reasonable expenses which the court determines have 36363
been necessarily incurred by the state in the enforcement of this 36364
section.36365

       (C) As used in this division, "intermediate care facility for 36366
the mentally retarded" and "nursing facility" have the same 36367
meanings given in section 5111.20 of the Revised Code.36368

       In addition to the civil penalties provided in division (B) 36369
of this section, the director of job and family services, upon the 36370
conviction of, or the entry of a judgment in either a criminal or 36371
civil action against, a medicaid provider or its owner, officer, 36372
authorized agent, associate, manager, or employee in an action 36373
brought pursuant to section 109.85 of the Revised Code, shall 36374
terminate the provider agreement between the department and the 36375
provider and stop reimbursement to the provider for services 36376
rendered for a period of up to five years from the date of 36377
conviction or entry of judgment. As used in this chapterdivision, 36378
"owner" means any person having at least five per cent ownership 36379
in the medicaid provider. No such provider, owner, officer, 36380
authorized agent, associate, manager, or employee shall own or 36381
provide services to any other medicaid provider or risk contractor 36382
or arrange for, render, or order services for medicaid recipients 36383
during the period of termination as provided in division (C) of 36384
this section, nor, during the period of termination as provided in 36385
division (C) of this section, shall such provider, owner, officer, 36386
authorized agent, associate, manager, or employee receive 36387
reimbursement in the form of direct payments from the department 36388
or indirect payments of medicaid funds in the form of salary, 36389
shared fees, contracts, kickbacks, or rebates from or through any 36390
participating provider or risk contractor. The provider agreement 36391
shall not be terminated or reimbursement terminated if the 36392
provider or owner can demonstrate that the provider or owner did 36393
not directly or indirectly sanction the action of its authorized 36394
agent, associate, manager, or employee that resulted in the 36395
conviction or entry of a judgment in a criminal or civil action 36396
brought pursuant to section 109.85 of the Revised Code. Nothing in 36397
this division prohibits any owner, officer, authorized agent, 36398
associate, manager, or employee of a medicaid provider from 36399
entering into a medicaid provider agreement if the person can 36400
demonstrate that the person had no knowledge of an action of the 36401
medicaid provider the person was formerly associated with that 36402
resulted in the conviction or entry of a judgment in a criminal or 36403
civil action brought pursuant to section 109.85 of the Revised 36404
Code.36405

        Nursing facility or intermediate care facility for the 36406
mentally retarded providers whose agreements are terminated 36407
pursuant to this section may continue to receive reimbursement for 36408
up to thirty days after the effective date of the termination if 36409
the provider makes reasonable efforts to transfer recipients to 36410
another facility or to alternate care and if federal funds are 36411
provided for such reimbursement.36412

       (D) For any reason permitted or required by federal law, the 36413
director of job and family services may deny a provider agreement 36414
or terminate a provider agreement.36415

       For any reason permitted or required by federal law, the 36416
director may exclude an individual, provider of services or goods, 36417
or other entity from participation in the medicaid program. No 36418
individual, provider, or entity excluded under this division shall 36419
own or provide services to any other medicaid provider or risk 36420
contractor or arrange for, render, or order services for medicaid 36421
recipients during the period of exclusion, nor, during the period 36422
of exclusion, shall such individual, provider, or entity receive 36423
reimbursement in the form of direct payments from the department 36424
or indirect payments of medicaid funds in the form of salary, 36425
shared fees, contracts, kickbacks, or rebates from or through any 36426
participating provider or risk contractor. An excluded individual, 36427
provider, or entity may request a reconsideration of the 36428
exclusion. The director shall adopt rules in accordance with 36429
Chapter 119. of the Revised Code governing the process for 36430
requesting a reconsideration.36431

       Nothing in this division limits the applicability of section 36432
5111.06 of the Revised Code to a medicaid provider.36433

       (E) Any provider of services or goods contracting with the36434
department of job and family services pursuant to Title XIX of the36435
"Social Security Act," who, without intent, obtains payments under 36436
this chapter in excess of the amount to which the provider is36437
entitled, thereby becomes liable for payment of interest on the36438
amount of the excess payments at the maximum real estate mortgage36439
rate on the date the payment was made to the provider for the36440
period from the date upon which payment was made to the date upon36441
which repayment is made to the state.36442

       (E)(F) The attorney general on behalf of the state may36443
commence proceedings to enforce this section in any court of36444
competent jurisdiction; and the attorney general may settle or36445
compromise any case brought under this section with the approval36446
of the department of job and family services. Notwithstanding any 36447
other provision of law providing a shorter period of limitations, 36448
the attorney general may commence a proceeding to enforce this36449
section at any time within six years after the conduct in36450
violation of this section terminates.36451

       (F)(G) The authority, under state and federal law, of the36452
department of job and family services or a county department of 36453
job and family services to recover excess payments made to a 36454
provider is not limited by the availability of remedies under 36455
sections 5111.11 and 5111.12 of the Revised Code for recovering 36456
benefits paid on behalf of recipients of medical assistance.36457

       The penalties under this chapter apply to any overpayment,36458
billing, or falsification occurring on and after April 24, 1978.36459
All moneys collected by the state pursuant to this section shall36460
be deposited in the state treasury to the credit of the general36461
revenue fund.36462

       Sec. 5111.031. (A) As used in this section:36463

       (1) "Independent provider" has the same meaning as in section 36464
5111.034 of the Revised Code.36465

       (2) "Intermediate care facility for the mentally retarded" 36466
and "nursing facility" have the same meanings as in section 36467
5111.20 of the Revised Code.36468

       (3) "Noninstitutional medicaid provider" means any person or 36469
entity with a medicaid provider agreement other than a hospital, 36470
nursing facility, or intermediate care facility for the mentally 36471
retarded.36472

       (4) "Owner" means any person having at least five per cent 36473
ownership in a noninstitutional medicaid provider.36474

       (B) Notwithstanding any provision of this chapter to the 36475
contrary, the department of job and family services shall take 36476
action under this section against a noninstitutional medicaid 36477
provider or its owner, officer, authorized agent, associate, 36478
manager, or employee.36479

       (C) Except as provided in division (D) of this section and in 36480
rules adopted by the department under division (H) of this 36481
section, on receiving notice and a copy of an indictment that is 36482
issued on or after the effective date of this section and charges 36483
a noninstitutional medicaid provider or its owner, officer, 36484
authorized agent, associate, manager, or employee with committing 36485
an offense specified in division (E) of this section, the 36486
department shall suspend the provider agreement held by the 36487
noninstitutional medicaid provider. Subject to division (D) of 36488
this section, the department shall also terminate medicaid 36489
reimbursement to the provider for services rendered.36490

       The suspension shall continue in effect until the proceedings 36491
in the criminal case are completed through conviction, dismissal 36492
of the indictment, plea, or finding of not guilty. If the 36493
department commences a process to terminate the suspended provider 36494
agreement, the suspension shall continue in effect until the 36495
termination process is concluded. Pursuant to section 5111.06 of 36496
the Revised Code, the department is not required to take action 36497
under this division by issuing an order pursuant to an 36498
adjudication conducted in accordance with Chapter 119. of the 36499
Revised Code.36500

       When subject to a suspension under this division, a provider, 36501
owner, officer, authorized agent, associate, manager, or employee 36502
shall not own or provide services to any other medicaid provider 36503
or risk contractor or arrange for, render, or order services for 36504
medicaid recipients during the period of suspension. During the 36505
period of suspension, the provider, owner, officer, authorized 36506
agent, associate, manager, or employee shall not receive 36507
reimbursement in the form of direct payments from the department 36508
or indirect payments of medicaid funds in the form of salary, 36509
shared fees, contracts, kickbacks, or rebates from or through any 36510
participating provider or risk contractor.36511

       (D)(1) The department shall not suspend a provider agreement 36512
or terminate medicaid reimbursement under division (C) of this 36513
section if the provider or owner can demonstrate that the provider 36514
or owner did not directly or indirectly sanction the action of its 36515
authorized agent, associate, manager, or employee that resulted in 36516
the indictment.36517

       (2) The termination of medicaid reimbursement applies only to 36518
payments for medicaid services rendered subsequent to the date on 36519
which the notice required under division (F) of this section is 36520
sent. Claims for reimbursement for medicaid services rendered by 36521
the provider prior to the issuance of the notice may be subject to 36522
prepayment review procedures whereby the department reviews claims 36523
to determine whether they are supported by sufficient 36524
documentation, are in compliance with state and federal statutes 36525
and rules, and are otherwise complete.36526

       (E)(1) In the case of a noninstitutional medicaid provider 36527
that is not an independent provider, the suspension of a provider 36528
agreement under division (C) of this section applies when an 36529
indictment charges a person with committing an act that would be a 36530
felony or misdemeanor under the laws of this state and the act 36531
relates to or results from either of the following:36532

       (a) Furnishing or billing for medical care, services, or 36533
supplies under the medicaid program;36534

       (b) Participating in the performance of management or 36535
administrative services relating to furnishing medical care, 36536
services, or supplies under the medicaid program.36537

       (2) In the case of a noninstitutional medicaid provider that 36538
is an independent provider, the suspension of a provider agreement 36539
under division (C) of this section applies when an indictment 36540
charges a person with committing an act that would constitute one 36541
of the offenses specified in division (D) of section 5111.034 of 36542
the Revised Code.36543

       (F) Not later than five days after suspending a provider 36544
agreement under division (C) of this section, the department shall 36545
send notice of the suspension to the affected provider or owner. 36546
In providing the notice, the department shall do all of the 36547
following:36548

       (1) Describe the indictment that was the cause of the 36549
suspension, without necessarily disclosing specific information 36550
concerning any ongoing civil or criminal investigation;36551

       (2) State that the suspension will continue in effect until 36552
the proceedings in the criminal case are completed through 36553
conviction, dismissal of the indictment, plea, or finding of not 36554
guilty and, if the department commences a process to terminate the 36555
suspended provider agreement, until the termination process is 36556
concluded;36557

       (3) Inform the provider or owner of the opportunity to submit 36558
to the department, not later than thirty days after receiving the 36559
notice, a request for a reconsideration pursuant to division (G) 36560
of this section. 36561

       (G)(1) A noninstitutional medicaid provider or owner subject 36562
to a suspension under this section may request a reconsideration. 36563
The request shall be made not later than thirty days after receipt 36564
of the notice provided under division (F) of this section. The 36565
reconsideration is not subject to an adjudication hearing pursuant 36566
to Chapter 119. of the Revised Code.36567

       (2) In requesting a reconsideration, the provider or owner 36568
shall submit written information and documents to the department. 36569
The information and documents may pertain to any of the following 36570
issues:36571

       (a) Whether the determination to suspend the provider 36572
agreement was based on a mistake of fact, other than the validity 36573
of the indictment;36574

       (b) Whether any offense charged in the indictment resulted 36575
from an offense specified in division (E) of this section;36576

       (c) Whether the provider or owner can demonstrate that the 36577
provider or owner did not directly or indirectly sanction the 36578
action of its authorized agent, associate, manager, or employee 36579
that resulted in the indictment.36580

       (3) The department shall review the information and documents 36581
submitted in a request for reconsideration. After the review, the 36582
suspension may be affirmed, reversed, or modified, in whole or in 36583
part. The department shall notify the affected provider or owner 36584
of the results of the review. The review and notification of its 36585
results shall be completed not later than forty-five days after 36586
receiving the information and documents submitted in a request for 36587
reconsideration.36588

       (H) The department may adopt rules in accordance with Chapter 36589
119. of the Revised Code to implement this section. The rules may 36590
specify circumstances under which the department would not suspend 36591
a provider agreement pursuant to this section.36592

       Sec. 5111.032. (A) As used in this section:36593

       (1) "Criminal records check" has the same meaning as in 36594
section 109.572 of the Revised Code.36595

       (2) "Department" includes a designee of the department of job 36596
and family services.36597

       (3) "Owner" means a person who has an ownership interest in a 36598
provider in an amount designated by the department of job and 36599
family services in rules adopted under this section.36600

       (4) "Provider" means a person, institution, or entity that 36601
has a provider agreement with the department of job and family 36602
services pursuant to Title XIX of the "Social Security Act," 49 36603
State. 620 (1965), 42 U.S.C. 1396, as amended.36604

       (B)(1) Except as provided in division (B)(2) of this section, 36605
the department of job and family services may require that any 36606
provider, applicant to be a provider, employee or prospective 36607
employee of a provider, owner or prospective owner of a provider, 36608
officer or prospective officer of a provider, or board member or 36609
prospective board member of a provider submit to a criminal 36610
records check as a condition of obtaining a provider agreement, 36611
continuing to hold a provider agreement, being employed by a 36612
provider, having an ownership interest in a provider, or being an 36613
officer or board member of a provider. The department may 36614
designate the categories of persons who are subject to the 36615
criminal records check requirement. The department shall designate 36616
the times at which the criminal records checks must be conducted.36617

       (2) The section does not apply to providers, applicants to be 36618
providers, employees of a provider, or prospective employees of a 36619
provider who are subject to criminal records checks under section 36620
5111.033 or 5111.034 of the Revised Code.36621

       (C)(1) The department shall inform each provider or applicant 36622
to be a provider whether the provider or applicant is subject to a 36623
criminal records check requirement under division (B) of this 36624
section. For providers, the information shall be given at times 36625
designated in rules adopted under this section. For applicants to 36626
be providers, the information shall be given at the time of 36627
initial application. When the information is given, the department 36628
shall specify which of the provider's or applicant's employees or 36629
prospective employees, owners or prospective owners, officers or 36630
prospective officers, or board members or prospective board 36631
members are subject to the criminal records check requirement.36632

       (2) At times designated in rules adopted under this section, 36633
a provider that is subject to the criminal records check 36634
requirement shall inform each person specified by the department 36635
under division (C)(1) of this section that the person is required, 36636
as applicable, to submit to a criminal records check for final 36637
consideration for employment in a full-time, part-time, or 36638
temporary position; as a condition of continued employment; or as 36639
a condition of becoming or continuing to be an officer, board 36640
member or owner of a provider.36641

       (D)(1) If a provider or applicant to be a provider is subject 36642
to a criminal records check under this section, the department 36643
shall require the conduct of a criminal records check by the 36644
superintendent of the bureau of criminal identification and 36645
investigation. If a provider or applicant to be a provider for 36646
whom a criminal records check is required does not present proof 36647
of having been a resident of this state for the five-year period 36648
immediately prior to the date the criminal records check is 36649
requested or provide evidence that within that five-year period 36650
the superintendent has requested information about the individual 36651
from the federal bureau of investigation in a criminal records 36652
check, the department shall require the provider or applicant to 36653
request that the superintendent obtain information from the 36654
federal bureau of investigation as part of the criminal records 36655
check of the provider or applicant. Even if a provider or 36656
applicant for whom a criminal records check request is required 36657
presents proof of having been a resident of this state for the 36658
five-year period, the department may require that the provider or 36659
applicant request that the superintendent obtain information from 36660
the federal bureau of investigation and include it in the criminal 36661
records check of the provider or applicant.36662

       (2) A provider shall require the conduct of a criminal 36663
records check by the superintendent with respect to each of the 36664
persons specified by the department under division (C)(1) of this 36665
section. If the person for whom a criminal records check is 36666
required does not present proof of having been a resident of this 36667
state for the five-year period immediately prior to the date the 36668
criminal records check is requested or provide evidence that 36669
within that five-year period the superintendent of the bureau of 36670
criminal identification and investigation has requested 36671
information about the individual from the federal bureau of 36672
investigation in a criminal records check, the individual shall 36673
request that the superintendent obtain information from the 36674
federal bureau of investigation as part of the criminal records 36675
check of the individual. Even if an individual for whom a criminal 36676
records check request is required presents proof of having been a 36677
resident of this state for the five-year period, the department 36678
may require the provider to request that the superintendent obtain 36679
information from the federal bureau of investigation and include 36680
it in the criminal records check of the person.36681

       (E)(1) Criminal records checks required under this section 36682
for providers or applicants to be providers shall be obtained as 36683
follows:36684

       (a) The department shall provide each provider or applicant 36685
information about accessing and completing the form prescribed 36686
pursuant to division (C)(1) of section 109.572 of the Revised Code 36687
and the standard fingerprint impression sheet prescribed pursuant 36688
to division (C)(2) of that section.36689

       (b) The provider or applicant shall submit the required form 36690
and one complete set of fingerprint impressions directly to the 36691
superintendent for purposes of conducting the criminal records 36692
check using the applicable methods prescribed by division (C) of 36693
section 109.572 of the Revised Code. The applicant or provider 36694
shall pay all fees associated with obtaining the criminal records 36695
check.36696

       (c) The superintendent shall conduct the criminal records 36697
check in accordance with section 109.572 of the Revised Code. The 36698
provider or applicant shall instruct the superintendent to submit 36699
the report of the criminal records check directly to the director 36700
of job and family services.36701

       (2) Criminal records checks required under this section for 36702
persons specified by the department under division (C)(1) of this 36703
section shall be obtained as follows:36704

       (a) The provider shall give to each person subject to 36705
criminal records check requirement information about accessing and 36706
completing the form prescribed pursuant to division (C)(1) of 36707
section 109.572 of the Revised Code and the standard fingerprint 36708
impression sheet prescribed pursuant to division (C)(2) of that 36709
section.36710

       (b) The person shall submit the required form and one 36711
complete set of fingerprint impressions directly to the 36712
superintendent for purposes of conducting the criminal records 36713
check using the applicable methods prescribed by division (C) of 36714
section 109.572 of the Revised Code. The person shall pay all fees 36715
associated with obtaining the criminal records check.36716

       (c) The superintendent shall conduct the criminal records 36717
check in accordance with section 109.572 of the Revised Code. The 36718
person subject to the criminal records check shall instruct the 36719
superintendent to submit the report of the criminal records check 36720
directly to the provider. The department may require the provider 36721
to submit the report to the department.36722

       (F) If a provider or applicant to be a provider is given the 36723
information specified in division (E)(1)(a) of this section but 36724
fails to obtain a criminal records check, the department shall, as 36725
applicable, terminate the provider agreement or deny the 36726
application to be a provider.36727

       If a person is given the information specified in division 36728
(E)(2)(a) of this section but fails to obtain a criminal records 36729
check, the provider shall not, as applicable, permit the person to 36730
be an employee, owner, officer, or board member of the provider.36731

       (G) Except as provided in rules adopted under division (J) of 36732
this section, the department shall terminate the provider 36733
agreement of a provider or the department shall not issue a 36734
provider agreement to an applicant if the provider or applicant is 36735
subject to a criminal records check under this section and the 36736
provider or applicant has been convicted of, has pleaded guilty 36737
to, or has been found eligible for intervention in lieu of 36738
conviction for any of the following:36739

       (1) A violation of section 2903.01, 2903.02, 2903.03, 36740
2903.04, 2903.041, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 36741
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02, 36742
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 36743
2907.21, 2907.22, 2907.23, 2907.24, 2907.25, 2907.31, 2907.32, 36744
2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 36745
2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31, 36746
2913.40, 2913.43, 2913.47, 2913.48, 2913.49, 2913.51, 2917.11, 36747
2919.12, 2919.22, 2919.24, 2919.25, 2921.13, 2921.36, 2923.02, 36748
2923.12, 2923.13, 2923.161, 2923.32, 2925.02, 2925.03, 2925.04, 36749
2925.05, 2925.06, 2925.11, 2925.13, 2925.14, 2925.22, 2925.23, or 36750
3716.11 of the Revised Code, felonious sexual penetration in 36751
violation of former section 2907.12 of the Revised Code, a 36752
violation of section 2905.04 of the Revised Code as it existed 36753
prior to July 1, 1996, a violation of section 2919.23 of the 36754
Revised Code that would have been a violation of section 2905.04 36755
of the Revised Code as it existed prior to July 1, 1996, had the 36756
violation been committed prior to that date;36757

       (2) An existing or former law of this state, any other state, 36758
or the United States that is substantially equivalent to any of 36759
the offenses listed in division (D)(1) of this section.36760

       (H)(1)(a) Except as provided in rules adopted under division 36761
(J) of this section and subject to division (H)(2) of this 36762
section, no provider shall permit a person to be an employee, 36763
owner, officer, or board member of the provider if the person is 36764
subject to a criminal records check under this section and the 36765
person has been convicted of, has pleaded guilty to, or has been 36766
found eligible for intervention in lieu of conviction for any of 36767
the offenses specified in division (G)(1) or (2) of this section.36768

       (b) No provider shall employ a person who has been excluded 36769
from participating in the medicaid program, the medicare program 36770
operated pursuant to Title XVIII of the "Social Security Act," or 36771
any other federal health care program.36772

       (2)(a) A provider may employ conditionally a person for whom 36773
a criminal records check is required under this section prior to 36774
obtaining the results of a criminal records check regarding the 36775
person, but only if the person submits a request for a criminal 36776
records check not later than five business days after the 36777
individual begins conditional employment.36778

       (b) A provider that employs a person conditionally under 36779
authority of division (H)(2)(a) of this section shall terminate 36780
the person's employment if the results of the criminal records 36781
check request are not obtained within the period ending sixty days 36782
after the date the request is made. Regardless of when the results 36783
of the criminal records check are obtained, if the results 36784
indicate that the individual has been convicted of, has pleaded 36785
guilty to, or has been found eligible for intervention in lieu of 36786
conviction for any of the offenses specified in division (G)(1) or 36787
(2) of this section, the provider shall terminate the person's 36788
employment unless the provider chooses to employ the individual 36789
pursuant to division (J) of this section.36790

       (I) The report of a criminal records check conducted pursuant 36791
to this section is not a public record for the purposes of section 36792
149.43 of the Revised Code and shall not be made available to any 36793
person other than the following:36794

       (1) The person who is the subject of the criminal records 36795
check or the person's representative;36796

       (2) The director of job and family services and the staff of 36797
the department in the administration of the medicaid program;36798

       (3) A court, hearing officer, or other necessary individual 36799
involved in a case dealing with the denial or termination of a 36800
provider agreement;36801

       (4) A court, hearing officer, or other necessary individual 36802
involved in a case dealing with a person's denial of employment, 36803
termination of employment, or employment or unemployment benefits.36804

       (J) The department may adopt rules in accordance with Chapter 36805
119. of the Revised Code to implement this section. The rules may 36806
specify circumstances under which the department may continue a 36807
provider agreement or issue a provider agreement to an applicant 36808
when the provider or applicant has been convicted of, has pleaded 36809
guilty to, or has been found eligible for intervention in lieu of 36810
conviction for any of the offenses specified in division (G)(1) or 36811
(2) of this section. The rules may also specify circumstances 36812
under which a provider may permit a person to be an employee, 36813
owner, officer, or board member of the provider, when the person 36814
has been convicted of, has pleaded guilty to, or has been found 36815
eligible for intervention in lieu of conviction for any of the 36816
offenses specified in division (G)(1) or (2) of this section.36817

       Sec. 5111.95.        Sec. 5111.033.  (A) As used in this section:36818

       (1) "Applicant" means a person who is under final 36819
consideration for employment or, after the effective date of this 36820
sectionSeptember 26, 2003, an existing employee with a waiver 36821
agency in a full-time, part-time, or temporary position that 36822
involves providing home and community-based waiver services to a 36823
person with disabilities. "Applicant" also means an existing 36824
employee with a waiver agency in a full-time, part-time, or 36825
temporary position that involves providing home and 36826
community-based waiver services to a person with disabilities 36827
after the effective date of this sectionSeptember 26, 2003.36828

       (2) "Criminal records check" has the same meaning as in 36829
section 109.572 of the Revised Code.36830

       (3) "Waiver agency" means a person or government entity that 36831
is not certified under the medicare program and is accredited by 36832
the community health accreditation program or the joint commission 36833
on accreditation of health care organizations or a company that 36834
provides home and community-based waiver services to persons with 36835
disabilities through department of job and family services 36836
administered home and community-based waiver programs.36837

       (4) "Home and community-based waiver services" means services 36838
furnished under the provision of 42 C.F.R. 441, subpart G, that 36839
permit individuals to live in a home setting rather than a nursing 36840
facility or hospital. Home and community-based waiver services are 36841
approved by the centers for medicare and medicaid for specific 36842
populations and are not otherwise available under the medicaid 36843
state plan.36844

       (B)(1) The chief administrator of a waiver agency shall 36845
require each applicant to request that the superintendent of the 36846
bureau of criminal identification and investigation conduct a 36847
criminal records check with respect to eachthe applicant. If an 36848
applicant for whom a criminal records check request is required 36849
under this division does not present proof of having been a 36850
resident of this state for the five-year period immediately prior 36851
to the date the criminal records check is requested or provide 36852
evidence that within that five-year period the superintendent has 36853
requested information about the applicant from the federal bureau 36854
of investigation in a criminal records check, the chief 36855
administrator shall require the applicant to request that the 36856
superintendent obtain information from the federal bureau of 36857
investigation as part of the criminal records check of the 36858
applicant. Even if an applicant for whom a criminal records check 36859
request is required under this division presents proof of having 36860
been a resident of this state for the five-year period, the chief 36861
administrator may require the applicant to request that the 36862
superintendent include information from the federal bureau of 36863
investigation in the criminal records check.36864

       (2) A person required by division (B)(1) of this section to 36865
request a criminal records checkThe chief administrator shall do 36866
both ofprovide the following:36867

       (a) Provide to each applicant for whom a criminal records 36868
check request is required under division (B)(1) of this section a 36869
copy of:36870

       (a) Information about accessing, completing, and forwarding 36871
to the superintendent of the bureau of criminal identification and 36872
investigation the form prescribed pursuant to division (C)(1) of 36873
section 109.572 of the Revised Code and athe standard fingerprint 36874
impression sheet prescribed pursuant to division (C)(2) of that 36875
section, and obtain the completed form and impression sheet from 36876
the applicant;36877

       (b) Forward the completed form and impression sheet to the 36878
superintendent of the bureau of criminal identification and 36879
investigationWritten notification that the applicant is to 36880
instruct the superintendent to submit the completed report of the 36881
criminal records check directly to the chief administrator.36882

       (3) An applicant provided the form and fingerprint impression 36883
sheet under division (B)(2)(a) of this section who fails to 36884
complete the form or provide fingerprint impressionsgiven 36885
information and notification under divisions (B)(2)(a) and (b) of 36886
this section who fails to access, complete, and forward to the 36887
superintendent the form or the standard fingerprint impression 36888
sheet, or who fails to instruct the superintendent to submit the 36889
completed report of the criminal records check directly to the 36890
chief administrator, shall not be employed in any position in a 36891
waiver agency for which a criminal records check is required by 36892
this section.36893

       (C)(1) Except as provided in rules adopted by the department 36894
of job and family services in accordance with division (F) of this 36895
section and subject to division (C)(2) of this section, no waiver 36896
agency shall employ a person in a position that involves providing 36897
home and community-based waiver services to persons with 36898
disabilities if the person has been convicted of or, has pleaded 36899
guilty to, or has been found eligible for intervention in lieu of 36900
conviction for any of the following:36901

       (a) A violation of section 2903.01, 2903.02, 2903.03, 36902
2903.04, 2903.041, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 36903
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02, 36904
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 36905
2907.21, 2907.22, 2907.23, 2907.24, 2907.25, 2907.31, 2907.32, 36906
2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 36907
2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31, 36908
2913.40, 2913.43, 2913.47, 2913.48, 2913.49, 2913.51, 2917.11,36909
2919.12, 2919.22, 2919.24, 2919.25, 2921.13, 2921.36, 2923.02,36910
2923.12, 2923.13, 2923.161, 2923.32, 2925.02, 2925.03, 2925.04, 36911
2925.05, 2925.06, 2925.11, 2925.13, 2925.14, 2925.22, 2925.23, or 36912
3716.11 of the Revised Code, felonious sexual penetration in 36913
violation of former section 2907.12 of the Revised Code, a 36914
violation of section 2905.04 of the Revised Code as it existed 36915
prior to July 1, 1996, a violation of section 2919.23 of the 36916
Revised Code that would have been a violation of section 2905.04 36917
of the Revised Code as it existed prior to July 1, 1996, had the 36918
violation been committed prior to that date;36919

       (b) An existing or former law of this state, any other state, 36920
or the United States that is substantially equivalent to any of 36921
the offenses listed in division (C)(1)(a) of this section.36922

       (2)(a) A waiver agency may employ conditionally an applicant 36923
for whom a criminal records check request is required under 36924
division (B) of this section prior to obtaining the results of a 36925
criminal records check regarding the individual, provided that the 36926
agency shall require the individual to request a criminal records 36927
check regarding the individual in accordance with division (B)(1) 36928
of this section not later than five business days after the 36929
individual begins conditional employment.36930

       (b) A waiver agency that employs an individual conditionally 36931
under authority of division (C)(2)(a) of this section shall 36932
terminate the individual's employment if the results of the 36933
criminal records check request under division (B) of this section, 36934
other than the results of any request for information from the 36935
federal bureau of investigation, are not obtained within the 36936
period ending sixty days after the date the request is made. 36937
Regardless of when the results of the criminal records check are 36938
obtained, if the results indicate that the individual has been 36939
convicted of or, has pleaded guilty to, or has been found eligible 36940
for intervention in lieu of conviction for any of the offenses 36941
listed or described in division (C)(1) of this section, the agency 36942
shall terminate the individual's employment unless the agency 36943
chooses to employ the individual pursuant to division (F) of this 36944
section.36945

       (D)(1) Each waiver agency shall pay to the bureau of criminal 36946
identification and investigation theThe fee prescribed pursuant 36947
to division (C)(3) of section 109.572 of the Revised Code for each 36948
criminal records check conducted pursuant to a request made under 36949
division (B) of this section shall be paid to the bureau of 36950
criminal identification and investigation by the applicant or the 36951
waiver agency.36952

       (2) AIf a waiver agency pays the fee, it may charge anthe36953
applicant a fee not exceeding the amount the agency pays under 36954
division (D)(1) of this section. An agency may collect a fee only 36955
if the agency notifies the person at the time of initial 36956
application for employment of the amount of the fee and that, 36957
unless the fee is paid, the person will not be considered for 36958
employment.36959

       (E) The report of any criminal records check conducted 36960
pursuant to a request made under this section is not a public 36961
record for the purposes of section 149.43 of the Revised Code and 36962
shall not be made available to any person other than the 36963
following:36964

       (1) The individual who is the subject of the criminal records 36965
check or the individual's representative;36966

       (2) The chief administrator of the agency requesting the 36967
criminal records check or the administrator's representative;36968

       (3) An administrator at the department;36969

       (4) A court, hearing officer, or other necessary individual 36970
involved in a case dealing with a denial of employment of the 36971
applicant or dealing with employment or unemployment benefits of 36972
the applicant.36973

       (F) The department shall adopt rules in accordance with 36974
Chapter 119. of the Revised Code to implement this section. The 36975
rules shall specify circumstances under which a waiver agency may 36976
employ a person who has been convicted of or, has pleaded guilty 36977
to, or has been found eligible for intervention in lieu of 36978
conviction for an offense listed or described in division (C)(1) 36979
of this section but meets personal character standards set by the 36980
department.36981

       (G) The chief administrator of a waiver agency shall inform 36982
each person, at the time of initial application for a position 36983
that involves providing home and community-based waiver services 36984
to a person with a disability, that the person is required to 36985
provide a set of fingerprint impressions and that a criminal 36986
records check is required to be conducted if the person comes 36987
under final consideration for employment.36988

       (H)(1) A person who, on the effective date of this section36989
September 26, 2003, is an employee of a waiver agency in a 36990
full-time, part-time, or temporary position that involves 36991
providing home and community-based waiver services to a person 36992
with disabilities shall comply with this section within sixty days 36993
after the effective date of this sectionSeptember 26, 2003,36994
unless division (H)(2) of this section applies.36995

       (2) This section shall not apply to a person to whom all of 36996
the following apply:36997

       (a) On the effective date of this sectionSeptember 26, 2003, 36998
the person is an employee of a waiver agency in a full-time, 36999
part-time, or temporary position that involves providing home and 37000
community-based waiver services to a person with disabilities.37001

       (b) The person previously had been the subject of a criminal 37002
background check relating to that position; 37003

       (c) The person has been continuously employed in that 37004
position since that criminal background check had been conducted.37005

       Sec. 5111.96.        Sec. 5111.034.  (A) As used in this section:37006

       (1) "Anniversary date" means the later of the effective date 37007
of the provider agreement relating to the independent provider or 37008
sixty days after the effective date of this sectionSeptember 26, 37009
2003.37010

       (2) "Criminal records check" has the same meaning as in 37011
section 109.572 of the Revised Code.37012

       (3) "The departmentDepartment" meansincludes a designee of37013
the department of job and family services or its designee.37014

       (4) "Independent provider" means a person who is submitting 37015
an application for a provider agreement or who has a provider 37016
agreement as an independent provider in a department of job and 37017
family services administered home and community-based services 37018
program providing home and community-based waiver services to 37019
consumers with disabilities.37020

       (5) "Home and community-based waiver services" has the same 37021
meaning as in section 5111.955111.033 of the Revised Code.37022

       (B)(1) The department of job and family services shall inform 37023
each independent provider, at the time of initial application for 37024
a provider agreement that involves providing home and 37025
community-based waiver services to consumers with disabilities, 37026
that the independent provider is required to provide a set of 37027
fingerprint impressions and that a criminal records check is 37028
required to be conducted if the person is to become an independent 37029
provider in a department administered home and community-based 37030
waiver program.37031

       (2) Beginning on the effective date of this sectionSeptember 37032
26, 2003, the department shall inform each enrolled medicaid 37033
independent provider on or before time of the anniversary date of 37034
the provider agreement that involves providing home and 37035
community-based waiver services to consumers with disabilities 37036
that the independent provider is required to provide a set of 37037
fingerprint impressions and that a criminal records check is 37038
required to be conducted.37039

       (C)(1) The department shall require the independent provider 37040
to complete a criminal records check prior to entering into a 37041
provider agreement with the independent provider and at least 37042
annually thereafter. If an independent provider for whom a 37043
criminal records check is required under this division does not 37044
present proof of having been a resident of this state for the 37045
five-year period immediately prior to the date the criminal 37046
records check is requested or provide evidence that within that 37047
five-year period the superintendent of the bureau of criminal 37048
identification and investigation has requested information about 37049
the applicantindependent provider from the federal bureau of 37050
investigation in a criminal records check, the department shall 37051
request that the independent provider obtain through the 37052
superintendent a criminal records request from the federal bureau 37053
of investigation as part of the criminal records check of the 37054
independent provider. Even if an independent provider for whom a 37055
criminal records check request is required under this division 37056
presents proof of having been a resident of this state for the 37057
five-year period, the department may request that the independent 37058
provider obtain information through the superintendent from the 37059
federal bureau of investigation in the criminal records check.37060

       (2) The department shall do both ofprovide the following:37061

       (a) Provide information to each independent provider for whom 37062
a criminal records check request is required under division (C)(1) 37063
of this section about requesting a copy of:37064

       (a) Information about accessing, completing, and forwarding 37065
to the superintendent of the bureau of criminal identification and 37066
investigation the form prescribed pursuant to division (C)(1) of 37067
section 109.572 of the Revised Code and athe standard fingerprint 37068
impression sheet prescribed pursuant to division (C)(2) of that 37069
section, and obtain the completed form and impression sheet and 37070
fee from the independent provider;37071

       (b) Forward the completed form, impression sheet, and fee to 37072
the superintendent of the bureau of criminal identification and 37073
investigationWritten notification that the independent provider 37074
is to instruct the superintendent to submit the completed report 37075
of the criminal records check directly to the department.37076

       (3) An independent provider given information about obtaining 37077
the form and fingerprint impression sheet under division (C)(2)(a) 37078
of this section who fails to complete the form or provide 37079
fingerprint impressionsand notification under divisions (C)(2)(a) 37080
and (b) of this section who fails to access, complete, and forward 37081
to the superintendent the form or the standard fingerprint 37082
impression sheet, or who fails to instruct the superintendent to 37083
submit the completed report of the criminal records check directly 37084
to the department, shall not be approved as an independent 37085
provider.37086

       (D) Except as provided in rules adopted by the department in 37087
accordance with division (G) of this section, the department shall 37088
not issue a new provider agreement to, and shall terminate an 37089
existing provider agreement of, an independent provider if the 37090
person has been convicted of or, has pleaded guilty to, or has 37091
been found eligible for intervention in lieu of conviction for any 37092
of the following:37093

       (1) A violation of section 2903.01, 2903.02, 2903.03, 37094
2903.04, 2903.041, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 37095
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02, 37096
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 37097
2907.21, 2907.22, 2907.23, 2907.24, 2907.25, 2907.31, 2907.32, 37098
2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 37099
2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31, 37100
2913.40, 2913.43, 2913.47, 2913.48, 2913.49, 2913.51, 2917.11,37101
2919.12, 2919.22, 2919.24, 2919.25, 2921.13, 2921.36, 2923.02,37102
2923.12, 2923.13, 2923.161, 2923.32, 2925.02, 2925.03, 2925.04, 37103
2925.05, 2925.06, 2925.11, 2925.13, 2925.14, 2925.22, 2925.23, or 37104
3716.11 of the Revised Code, felonious sexual penetration in 37105
violation of former section 2907.12 of the Revised Code, a 37106
violation of section 2905.04 of the Revised Code as it existed 37107
prior to July 1, 1996, a violation of section 2919.23 of the 37108
Revised Code that would have been a violation of section 2905.04 37109
of the Revised Code as it existed prior to July 1, 1996, had the 37110
violation been committed prior to that date;37111

       (2) An existing or former law of this state, any other state, 37112
or the United States that is substantially equivalent to any of 37113
the offenses listed in division (D)(1) of this section.37114

       (E) Each independent provider shall pay to the bureau of 37115
criminal identification and investigation the fee prescribed 37116
pursuant to division (C)(3) of section 109.572 of the Revised Code 37117
for each criminal records check conducted pursuant to a request 37118
made under division (C) of this section.37119

       (F) The report of any criminal records check conducted by the 37120
bureau of criminal identification and investigation in accordance 37121
with section 109.572 of the Revised Code and pursuant to a request 37122
made under division (C) of this section is not a public record for 37123
the purposes of section 149.43 of the Revised Code and shall not 37124
be made available to any person other than the following:37125

       (1) The person who is the subject of the criminal records 37126
check or the person's representative;37127

       (2) TheAn administrator at the department who is requesting 37128
the criminal records check or the administrator's representative;37129

       (3) AnyA court, hearing officer, or other necessary 37130
individual involved in a case dealing with a denial or termination 37131
of a provider agreement related to the criminal records check.37132

       (G) The department shall adopt rules in accordance with 37133
Chapter 119. of the Revised Code to implement this section. The 37134
rules shall specify circumstances under which the department may 37135
either issue a provider agreement to an independent provider who37136
or allow an independent provider to maintain an existing provider 37137
agreement when the independent provider has been convicted of or, 37138
has pleaded guilty to, or has been found eligible for intervention 37139
in lieu of conviction for an offense listed or described in 37140
division (C)(1) of this section but meets personal character 37141
standards set by the department.37142

       Sec. 5111.06.  (A)(1) As used in this section and in sections 37143
5111.061 and 5111.062 of the Revised Code:37144

       (a) "Provider" means any person, institution, or entity that37145
furnishes medicaid services under a provider agreement with the37146
department of job and family services pursuant to Title XIX of the37147
"Social Security Act," 49 Stat. 620 (1935), 42 U.S.C.A. 301, as37148
amended.37149

       (b) "Party" has the same meaning as in division (G) of37150
section 119.01 of the Revised Code.37151

       (c) "Adjudication" has the same meaning as in division (D) of 37152
section 119.01 of the Revised Code.37153

       (2) This section does not apply to any action taken by the37154
department of job and family services under sections 5111.35 to37155
5111.62 of the Revised Code.37156

       (B) Except as provided in division (D) of this section and 37157
section 5111.914 of the Revised Code, the department shall do 37158
either of the following by issuing an order pursuant to an 37159
adjudication conducted in accordance with Chapter 119. of the 37160
Revised Code:37161

       (1) Enter into or refuse to enter into a provider agreement37162
with a provider, or suspend, terminate, renew, or refuse to renew37163
an existing provider agreement with a provider;37164

       (2) Take any action based upon a final fiscal audit of a37165
provider.37166

       (C) Any party who is adversely affected by the issuance of an 37167
adjudication order under division (B) of this section may appeal 37168
to the court of common pleas of Franklin county in accordance with 37169
section 119.12 of the Revised Code.37170

       (D) The department is not required to comply with division37171
(B)(1) of this section whenever any of the following occur:37172

       (1) The terms of a provider agreement require the provider to 37173
havehold a license, permit, or certificate or maintain a 37174
certification issued by an official, board, commission, 37175
department, division, bureau, or other agency of state or federal37176
government other than the department of job and family services,37177
and the license, permit, or certificate, or certification has been 37178
denied or, revoked, not renewed, suspended, or otherwise limited.37179

       (2) The terms of a provider agreement require the provider to 37180
hold a license, permit, or certificate or maintain certification 37181
issued by an official, board, commission, department, division, 37182
bureau, or other agency of state or federal government other than 37183
the department of job and family services, and the provider has 37184
not obtained the license, permit, certificate, or certification.37185

       (3) The provider agreement is denied, terminated, or not 37186
renewed due to the termination, refusal to renew, or denial of a 37187
license, permit, certificate, or certification by an official, 37188
board, commission, department, division, bureau, or other agency 37189
of this state other than the department of job and family 37190
services, notwithstanding the fact that the provider may hold a 37191
license, permit, certificate, or certification from an official, 37192
board, commission, department, division, bureau, or other agency 37193
of another state.37194

       (2)(4) The provider agreement is denied, terminated, or not37195
renewed pursuant to division (C) or (E)(F) of section 5111.03 of 37196
the Revised Code;37197

       (3)(5) The provider agreement is denied, terminated, or not37198
renewed due to the provider's termination, suspension, or37199
exclusion from the medicare program established under Title XVIII37200
of the "Social Security Act," and the termination, suspension, or37201
exclusion is binding on the provider's participation in the37202
medicaid program;37203

       (4)(6) The provider agreement is denied, terminated, or not37204
renewed due to the provider's pleading guilty to or being37205
convicted of a criminal activity materially related to either the37206
medicare or medicaid program;37207

       (5)(7) The provider agreement is denied, terminated, or37208
suspended as a result of action by the United States department of37209
health and human services and that action is binding on the37210
provider's participation in the medicaid program;37211

       (6)(8) The provider agreement is suspended pursuant to 37212
section 5111.031 of the Revised Code pending indictment of the 37213
provider.37214

       (9) The provider agreement is denied, terminated, or not 37215
renewed because the provider has been convicted of one of the 37216
offenses that caused the provider agreement to be suspended 37217
pursuant to section 5111.031 of the Revised Code.37218

       (10) The provider agreement is terminated or an application 37219
for re-enrollment is denied because the provider has failed to 37220
apply for re-enrollment within the time or in the manner specified 37221
for re-enrollment pursuant to section 5111.028 of the Revised 37222
Code.37223

       (11) The provider agreement is terminated or not renewed 37224
because the provider has not billed or otherwise submitted a 37225
medicaid claim to the department for two years or longer, and the 37226
department has determined that the provider has moved from the 37227
address on record with the department without leaving an active 37228
forwarding address with the department.37229

       In the case of a provider described in division (D)(6)(11) of 37230
this section, the department may terminate or not renew the 37231
provider agreement by sending a notice explaining the department's 37232
proposed action to the address on record with the department. The 37233
notice may be sent by regular mail.37234

       (E) The department may withhold payments for services37235
rendered by a medicaid provider under the medical assistance37236
program during the pendency of proceedings initiated under37237
division (B)(1) of this section. If the proceedings are initiated37238
under division (B)(2) of this section, the department may withhold37239
payments only to the extent that they equal amounts determined in37240
a final fiscal audit as being due the state. This division does37241
not apply if the department fails to comply with section 119.07 of37242
the Revised Code, requests a continuance of the hearing, or does37243
not issue a decision within thirty days after the hearing is37244
completed. This division does not apply to nursing facilities and37245
intermediate care facilities for the mentally retarded as defined 37246
in section 5111.20 of the Revised Code.37247

       Sec. 5111.084.  There is hereby established the pharmacy and37248
therapeutics committee of the department of job and family37249
services. The committee shall consist of nine members and shall be 37250
appointed by the director of job and family services. The37251
membership of the committee shall include: three pharmacists37252
licensed under Chapter 4729. of the Revised Code; two doctors of37253
medicine and two doctors of osteopathy licensed under Chapter37254
4731. of the Revised Code; a registered nurse licensed under37255
Chapter 4723. of the Revised Code; and a pharmacologist who has a37256
doctoral degree. At least one of the members who is a doctor of 37257
medicine or doctor of osteopathy shall be a psychiatrist. The 37258
committee shall elect one of its members as chairperson.37259

       Sec. 5111.085.  (A) As used in this section, "mental health 37260
drug" means a drug that meets one of the following requirements: 37261

       (1) Is classified as an antianxiety, antidepressant, 37262
anticonvulsant, or antipsychotic central nervous system drug in 37263
the most recent edition of one of the following publications:37264

       (a) The American psychiatric press textbook of 37265
psychopharmacology;37266

       (b) Current clinical strategies for psychiatry;37267

       (c) Drug facts and comparisons;37268

       (d) A publication with a focus and content comparable to the 37269
publications described in divisions (A)(1)(a) to (c) of this 37270
section as determined by the director of job and family services.37271

       (2) Is classified in one of the publications described in 37272
division (A)(1) of this section as a central nervous system drug 37273
in a category or classification that is created after the 37274
effective date of this section;37275

       (3) Is classified in one of the publications described in 37276
division (A)(1) of this section as a cross-indicated drug for any 37277
of the central nervous system drugs specified in division (A)(1) 37278
or (2) of this section because the drug's use in that capacity is 37279
generally held to be reasonable, appropriate, and within the 37280
community standards of care even though the use is not included in 37281
the United States food and drug administration's approved labeling 37282
for the drug;37283

       (4) Is recommended for the treatment of a mental illness or 37284
mental disorder, as those terms are defined in the most recent 37285
edition of the American psychiatric association's diagnostic and 37286
statistical manual of mental disorders.37287

       (B) The only mental health drugs that may be subjected to a 37288
prior authorization requirement, preferred drug list, or 37289
therapeutic substitution requirement under the medicaid program 37290
are mental health drugs that are brand name and for which there 37291
are generic equivalents.37292

       Sec. 5111.10.  The director of job and family services may 37293
conduct reviews of the medicaid program. The reviews may include 37294
physical inspections of records and sites where medicaid-funded 37295
services are provided and interviews of providers and recipients 37296
of the services. If the director determines pursuant to a review 37297
that a person or government entity has violated a rule governing 37298
the medicaid program, the director may establish a corrective 37299
action plan for the violator and impose fiscal, administrative, or 37300
both types of sanctions on the violator in accordance with rules 37301
governing the medicaid program. Such action to be taken against a 37302
responsible entity, as defined in section 5101.24 of the Revised 37303
Code, shall be taken in accordance with that section.37304

       Sec. 5111.101. (A) As used in this section, "federal;37305

        "Agent" and "contractor" include any agent, contractor, 37306
subcontractor, or other person who, on behalf of an entity, 37307
furnishes or authorizes the furnishing of health care items or 37308
services under the medicaid program, performs billing or coding 37309
functions, or is involved in monitoring of health care that an 37310
entity provides.37311

       "Employee" includes any officer or employee (including 37312
management employees) of an entity.37313

       "Entity" includes a governmental entity or an organization, 37314
unit, corporation, partnership, or other business arrangement, 37315
including any medicaid managed care organization, irrespective of 37316
the form of business structure or arrangement by which it exists, 37317
whether for-profit or not-for-profit. "Entity" does not include a 37318
government entity that administers one or more components of the 37319
medicaid program, unless the government entity receives medicaid 37320
payments for providing items or services.37321

       "Federal health care programs" has the same meaning as in 42 37322
U.S.C. 1320a-7b(f).37323

       (B) Each person and government entity that receives or makes 37324
medicaidin a federal fiscal year payments in a calendar year that 37325
totalunder the medicaid program, either through the state 37326
medicaid plan or a federal medicaid waiver, totaling at least five 37327
million dollars or more shall, as a condition of receiving such 37328
payments, do all of the following not later than the first day of 37329
the succeeding calendar year:37330

       (1) Provide each of the person or government entity's37331
Establish written policies for all of the entity's employees 37332
(including management employees), contractors, and agents,that 37333
provide detailed, written information about the role of all of the 37334
following in preventing and detecting fraud, waste, and abuse in 37335
federal health care programs:37336

       (a) Federal false claims law under 31 U.S.C. 3729 to 3733;37337

       (b) Federal administrative remedies for false claims and 37338
statements available under 31 U.S.C. 3801 to 3812;37339

       (c) Sections 124.341, 2913.40, 2913.401, and 2921.13 of the 37340
Revised Code and any other state laws pertaining to civil or 37341
criminal penalties for false claims and statements;37342

       (d) Whistleblower protections under the laws specified in 37343
divisions (B)(1)(a) to (c) of this section.37344

       (2) Include inas part of the written information provided 37345
underpolicies required by division (B)(1) of this section 37346
detailed information aboutprovisions regarding the person or 37347
government entity's policies and procedures for preventing and 37348
detecting fraud, waste, and abuse.37349

       (3) IncludeDisseminate the written policies required by 37350
division (B)(1) of this section to each of the entity's employees, 37351
contractors, and agents in a paper or electronic form and make the 37352
written policies readily available to the entity's employees, 37353
contractors, and agents.37354

       (4) If the entity has an employee handbook, include in the 37355
person or government entity's employee handbook a specific 37356
discussion of the laws specified in division (B)(1) of this 37357
section, the rights of employees to be protected as 37358
whistleblowers, and the person or government entity's policies and 37359
procedures for preventing and detecting fraud, waste, and abuse.37360

       (5) Require the entity's contractors and agents to adopt the 37361
entity's written policies required by division (B)(1) of this 37362
section.37363

       (C) An entity that furnishes items or services at multiple 37364
locations or under multiple contractual or other payment 37365
arrangements is required to comply with division (B) of this 37366
section if the entity receives in a federal fiscal year medicaid 37367
payments totaling in the aggregate at least five million dollars. 37368
This applies regardless of whether the entity submits claims for 37369
medicaid payments using multiple provider identification or tax 37370
identification numbers.37371

       Sec. 5111.102. As used in this section, "state agency" has 37372
the same meaning as in section 9.23 of the Revised Code.37373

       No provision of Title LI of the Revised Code or any other law 37374
of this state that incorporates any provision of federal Medicaid 37375
law, Title XIX of the Social Security Act, 79 Stat. 286 (1965), 42 37376
U.S.C. 1396, or that may be construed as requiring the state, a 37377
state agency, or any state official or employee to comply with 37378
that federal provision, shall be construed as creating a cause of 37379
action to enforce such state law beyond the causes of action 37380
available under federal law for enforcement of the provision of 37381
federal law.37382

       Sec. 5111.163.  (A) As used in this section:37383

       (1) "Emergency services" has the same meaning as in section 37384
1932(b)(2) of the "Social Security Act," 79 Stat. 286 (1965), 42 37385
U.S.C. 1396u-2(b)(2), as amended.37386

       (2) "Medicaid managed care organization" has the same meaning 37387
as in section 5111.162 of the Revised Code.37388

       (3) "Provider" has the same meaning as in section 5111.06 of 37389
the Revised Codemeans any person, institution, or entity that 37390
furnishes emergency services to a medicaid recipient enrolled in a 37391
medicaid managed care organization, regardless of whether the 37392
person, institution, or entity has a provider agreement with the 37393
department of job and family services pursuant to Title XIX of the 37394
"Social Security Act."37395

       (B) When a participant in the care management system 37396
established under section 5111.16 of the Revised Code is enrolled 37397
in a medicaid managed care organization and receives emergency 37398
services on or after January 1, 2007, from a provider that is not 37399
under contract with the organization, the provider shall accept 37400
from the organization, as payment in full, not more than the 37401
amounts (less any payments for indirect costs of medical education 37402
and direct costs of graduate medical education) that the provider 37403
could collect if the participant received medicaid other than 37404
through enrollment in a managed care organization.37405

       Sec. 5111.165. In the case of individuals who receive 37406
medicaid on the basis of being included in the category identified 37407
by the department of job and family services as covered families 37408
and children, the department shall develop and implement a 37409
reimbursement system based on a risk-adjusted rate structure. The 37410
risk-adjusted reimbursement rates shall be applied individually 37411
and shall apply starting one year after the individual enrolls in 37412
the medicaid program.37413

       Sec. 5111.17.  (A) The department of job and family services37414
may enter into contracts with managed care organizations, 37415
including health insuring corporations, under which the 37416
organizations are authorized to provide, or arrange for the 37417
provision of, health care services to medical assistance 37418
recipients who are required or permitted to obtain health care 37419
services through managed care organizations as part of the care 37420
management system established under section 5111.16 of the 37421
Revised Code.37422

       (B) The department shall develop and implement a financial 37423
incentive program to improve and reward positive health outcomes 37424
through the managed care organization contracts entered into under 37425
this section. In developing and implementing the program, the 37426
department may take into consideration the recommendations 37427
regarding the program made by the medicaid care management working 37428
group created under section 5111.161(1) For purposes of making 37429
payments to health insuring corporations under contract pursuant 37430
to this section, the department shall develop, certify, and 37431
implement actuarially sound capitation rates, as defined in 42 37432
C.F.R. 438.6. In taking these actions, the department shall comply 37433
with all applicable requirements of 42 C.F.R. 438.6 and Title XIX 37434
of the "Social Security Act," 79 Stat. 286 (1965), 42 U.S.C. 37435
1396b(m), as amended.37436

       (2) Before the department may submit proposed capitation 37437
rates for approval by the United States centers for medicare and 37438
medicaid services, the department shall submit the proposed rates 37439
to the superintendent of insurance for review. On each submission, 37440
the superintendent shall conduct a review of the proposed rates 37441
and provide written notice to the department of the results of the 37442
review.37443

       (3) The department may not submit the proposed rates for 37444
approval by the centers for medicare and medicaid services unless 37445
the superintendent specifies in the results of the review that the 37446
proposed rates will do none of the following with respect to the 37447
health insuring corporation that will receive payments according 37448
to the proposed rates:37449

       (a) Negatively impact the financial solvency of the health 37450
insuring corporation; 37451

       (b) Cause a change in the health insuring corporation's RBC 37452
levels, as defined in section 3903.81 of the Revised Code;37453

       (c) Require that an application for a certificate of 37454
authority include the parent company's guaranty, as specified in 37455
division (A)(27) of section 1751.03 of the Revised Code.37456

       (C) The director of job and family services may adopt rules37457
in accordance with Chapter 119. of the Revised Code to implement37458
this section.37459

       Sec. 5111.172. (A) When contracting under section 5111.17 of 37460
the Revised Code with a managed care organization that is a health 37461
insuring corporation, the department of job and family services 37462
may require the health insuring corporation to provide coverage of 37463
prescription drugs for medicaid recipients enrolled in the health 37464
insuring corporation. In providing the required coverage, the 37465
health insuring corporation may, subject to the department's 37466
approval and the limitations provided under division (C) of this 37467
section, use strategies for the management of drug utilization.37468

       (B) As used in this division, "controlled substance" has the 37469
same meaning as in section 3719.01 of the Revised Code.37470

       If a health insuring corporation is required under this 37471
section to provide coverage of prescription drugs, the department 37472
shall permit the health insuring corporation to develop and 37473
implement a pharmacy utilization management program under which 37474
prior authorization through the program is established as a 37475
condition of obtaining a controlled substance pursuant to a 37476
prescription. The program may include processes for requiring 37477
medicaid recipients at high risk for fraud or abuse involving 37478
controlled substances to have their prescriptions for controlled 37479
substances filled by a pharmacy, medical provider, or health care 37480
facility designated by the program.37481

       (C) As used in this division, "mental health drug" has the 37482
same meaning as in section 5111.085 of the Revised Code.37483

       If a contract under section 5111.17 of the Revised Code 37484
requires a health insuring corporation to provide prescription 37485
drug coverage for medicaid recipients as described in division (A) 37486
of this section, the contract shall include terms under which the 37487
only mental health drugs that may be subjected to a prior 37488
authorization requirement, preferred drug list, or therapeutic 37489
substitution requirement are mental health drugs that are brand 37490
name and for which there are generic equivalents.37491

       Sec. 5111.20.  As used in sections 5111.20 to 5111.34 of the37492
Revised Code:37493

       (A) "Allowable costs" are those costs determined by the37494
department of job and family services to be reasonable and do not37495
include fines paid under sections 5111.35 to 5111.61 and section37496
5111.99 of the Revised Code.37497

       (B) "Ancillary and support costs" means all reasonable costs 37498
incurred by a nursing facility other than direct care costs or 37499
capital costs. "Ancillary and support costs" includes, but is not 37500
limited to, costs of activities, social services, pharmacy 37501
consultants, habilitation supervisors, qualified mental 37502
retardation professionals, program directors, medical and 37503
habilitation records, program supplies, incontinence supplies, 37504
food, enterals, dietary supplies and personnel, laundry, 37505
housekeeping, security, administration, medical equipment, 37506
utilities, liability insurance, bookkeeping, purchasing 37507
department, human resources, communications, travel, dues, license 37508
fees, subscriptions, home office costs not otherwise allocated, 37509
legal services, accounting services, minor equipment, maintenance 37510
and repairs, help-wanted advertising, informational advertising, 37511
start-up costs, organizational expenses, other interest, property 37512
insurance, employee training and staff development, employee 37513
benefits, payroll taxes, and workers' compensation premiums or 37514
costs for self-insurance claims and related costs as specified in 37515
rules adopted by the director of job and family services under 37516
section 5111.02 of the Revised Code, for personnel listed in this 37517
division. "Ancillary and support costs" also means the cost of 37518
equipment, including vehicles, acquired by operating lease 37519
executed before December 1, 1992, if the costs are reported as 37520
administrative and general costs on the facility's cost report for 37521
the cost reporting period ending December 31, 1992.37522

       (C) "Capital costs" means costs of ownership and, in the case 37523
of an intermediate care facility for the mentally retarded, costs 37524
of nonextensive renovation.37525

       (1) "Cost of ownership" means the actual expense incurred for 37526
all of the following:37527

       (a) Depreciation and interest on any capital assets that cost 37528
five hundred dollars or more per item, including the following:37529

       (i) Buildings;37530

       (ii) Building improvements that are not approved as37531
nonextensive renovations under section 5111.251 of the Revised 37532
Code;37533

       (iii) Except as provided in division (B) of this section, 37534
equipment;37535

       (iv) In the case of an intermediate care facility for the 37536
mentally retarded, extensive renovations;37537

       (v) Transportation equipment.37538

       (b) Amortization and interest on land improvements and37539
leasehold improvements;37540

       (c) Amortization of financing costs;37541

       (d) Except as provided in division (K) of this section, lease 37542
and rent of land, building, and equipment.37543

       The costs of capital assets of less than five hundred dollars37544
per item may be considered capital costs in accordance with a37545
provider's practice.37546

       (2) "Costs of nonextensive renovation" means the actual37547
expense incurred by an intermediate care facility for the mentally 37548
retarded for depreciation or amortization and interest on37549
renovations that are not extensive renovations.37550

       (D) "Capital lease" and "operating lease" shall be construed37551
in accordance with generally accepted accounting principles.37552

       (E) "Case-mix score" means the measure determined under37553
section 5111.232 of the Revised Code of the relative direct-care37554
resources needed to provide care and habilitation to a resident of37555
a nursing facility or intermediate care facility for the mentally37556
retarded.37557

       (F)(1) "Date of licensure," for a facility originally 37558
licensed as a nursing home under Chapter 3721. of the Revised 37559
Code, means the date specific beds were originally licensed as37560
nursing home beds under that chapter, regardless of whether they 37561
were subsequently licensed as residential facility beds under 37562
section 5123.19 of the Revised Code. For a facility originally 37563
licensed as a residential facility under section 5123.19 of the 37564
Revised Code, "date of licensure" means the date specific beds 37565
were originally licensed as residential facility beds under that37566
section.37567

       (1) If nursing home beds licensed under Chapter 3721. of the37568
Revised Code or residential facility beds licensed under section37569
5123.19 of the Revised Code were not required by law to be37570
licensed when they were originally used to provide nursing home or37571
residential facility services, "date of licensure" means the date37572
the beds first were used to provide nursing home or residential37573
facility services, regardless of the date the present provider37574
obtained licensure.37575

       (2) If a facility adds nursing home beds or residential37576
facility beds or extensively renovates all or part of the facility37577
after its original date of licensure, it will have a different37578
date of licensure for the additional beds or extensively renovated37579
portion of the facility, unless the beds are added in a space that37580
was constructed at the same time as the previously licensed beds37581
but was not licensed under Chapter 3721. or section 5123.19 of the37582
Revised Code at that time.37583

       (2) The definition of "date of licensure" in this section 37584
applies in determinations of the medicaid reimbursement rate for a 37585
nursing facility or intermediate care facility for the mentally 37586
retarded but does not apply in determinations of the franchise 37587
permit fee for a nursing facility or intermediate care facility 37588
for the mentally retarded.37589

       (G) "Desk-reviewed" means that costs as reported on a cost37590
report submitted under section 5111.26 of the Revised Code have37591
been subjected to a desk review under division (A) of section37592
5111.27 of the Revised Code and preliminarily determined to be37593
allowable costs.37594

       (H) "Direct care costs" means all of the following:37595

       (1)(a) Costs for registered nurses, licensed practical37596
nurses, and nurse aides employed by the facility;37597

       (b) Costs for direct care staff, administrative nursing37598
staff, medical directors, respiratory therapists, and except as 37599
provided in division (H)(2) of this section, other persons holding 37600
degrees qualifying them to provide therapy;37601

       (c) Costs of purchased nursing services;37602

       (d) Costs of quality assurance;37603

       (e) Costs of training and staff development, employee37604
benefits, payroll taxes, and workers' compensation premiums or37605
costs for self-insurance claims and related costs as specified in37606
rules adopted by the director of job and family services in37607
accordance with Chapter 119. of the Revised Code, for personnel37608
listed in divisions (H)(1)(a), (b), and (d) of this section;37609

       (f) Costs of consulting and management fees related to direct 37610
care;37611

       (g) Allocated direct care home office costs.37612

       (2) In addition to the costs specified in division (H)(1) of 37613
this section, for nursing facilities only, direct care costs 37614
include costs of habilitation staff (other than habilitation 37615
supervisors), medical supplies, emergency oxygen, habilitation 37616
supplies, and universal precautions supplies.37617

       (3) In addition to the costs specified in division (H)(1) of37618
this section, for intermediate care facilities for the mentally37619
retarded only, direct care costs include both of the following:37620

       (a) Costs for physical therapists and physical therapy37621
assistants, occupational therapists and occupational therapy37622
assistants, speech therapists, audiologists, habilitation staff 37623
(including habilitation supervisors), qualified mental retardation 37624
professionals, program directors, social services staff, 37625
activities staff, off-site day programming, psychologists and 37626
psychology assistants, and social workers and counselors;37627

       (b) Costs of training and staff development, employee37628
benefits, payroll taxes, and workers' compensation premiums or37629
costs for self-insurance claims and related costs as specified in37630
rules adopted under section 5111.02 of the Revised Code, for 37631
personnel listed in division (H)(3)(a) of this section.37632

       (4) Costs of other direct-care resources that are specified37633
as direct care costs in rules adopted under section 5111.02 of the 37634
Revised Code.37635

       (I) "Fiscal year" means the fiscal year of this state, as37636
specified in section 9.34 of the Revised Code.37637

       (J) "Franchise permit fee" means the following:37638

       (1) In the context of nursing facilities, the fee imposed by 37639
sections 3721.50 to 3721.58 of the Revised Code;37640

       (2) In the context of intermediate care facilities for the 37641
mentally retarded, the fee imposed by sections 5112.30 to 5112.39 37642
of the Revised Code.37643

        (K) "Indirect care costs" means all reasonable costs incurred 37644
by an intermediate care facility for the mentally retarded other37645
than direct care costs, other protected costs, or capital costs.37646
"Indirect care costs" includes but is not limited to costs of37647
habilitation supplies, pharmacy consultants, medical and37648
habilitation records, program supplies, incontinence supplies,37649
food, enterals, dietary supplies and personnel, laundry,37650
housekeeping, security, administration, liability insurance,37651
bookkeeping, purchasing department, human resources,37652
communications, travel, dues, license fees, subscriptions, home37653
office costs not otherwise allocated, legal services, accounting37654
services, minor equipment, maintenance and repairs, help-wanted37655
advertising, informational advertising, start-up costs,37656
organizational expenses, other interest, property insurance,37657
employee training and staff development, employee benefits,37658
payroll taxes, and workers' compensation premiums or costs for37659
self-insurance claims and related costs as specified in rules37660
adopted under section 5111.02 of the Revised Code, for personnel37661
listed in this division. Notwithstanding division (C)(1) of this37662
section, "indirect care costs" also means the cost of equipment,37663
including vehicles, acquired by operating lease executed before37664
December 1, 1992, if the costs are reported as administrative and37665
general costs on the facility's cost report for the cost reporting 37666
period ending December 31, 1992.37667

       (L) "Inpatient days" means all days during which a resident,37668
regardless of payment source, occupies a bed in a nursing facility37669
or intermediate care facility for the mentally retarded that is37670
included in the facility's certified capacity under Title XIX. 37671
Therapeutic or hospital leave days for which payment is made under 37672
section 5111.33 of the Revised Code are considered inpatient days 37673
proportionate to the percentage of the facility's per resident per 37674
day rate paid for those days.37675

       (M) "Intermediate care facility for the mentally retarded"37676
means an intermediate care facility for the mentally retarded37677
certified as in compliance with applicable standards for the 37678
medicaid program by the director of health in accordance with 37679
Title XIX.37680

       (N) "Maintenance and repair expenses" means, except as37681
provided in division (BB)(2) of this section, expenditures that37682
are necessary and proper to maintain an asset in a normally37683
efficient working condition and that do not extend the useful life 37684
of the asset two years or more. "Maintenance and repair expenses"37685
includes but is not limited to the cost of ordinary repairs such37686
as painting and wallpapering.37687

       (O) "Medicaid days" means all days during which a resident 37688
who is a Medicaid recipient eligible for nursing facility services 37689
occupies a bed in a nursing facility that is included in the 37690
nursing facility's certified capacity under Title XIX. Therapeutic 37691
or hospital leave days for which payment is made under section 37692
5111.33 of the Revised Code are considered Medicaid days 37693
proportionate to the percentage of the nursing facility's per 37694
resident per day rate paid for those days.37695

        (P) "Nursing facility" means a facility, or a distinct part37696
of a facility, that is certified as a nursing facility by the37697
director of health in accordance with Title XIX and is not an 37698
intermediate care facility for the mentally retarded. "Nursing 37699
facility" includes a facility, or a distinct part of a facility, 37700
that is certified as a nursing facility by the director of health 37701
in accordance with Title XIX and is certified as a skilled nursing37702
facility by the director in accordance with Title XVIII.37703

       (Q) "Operator" means the person or government entity 37704
responsible for the daily operating and management decisions for a 37705
nursing facility or intermediate care facility for the mentally 37706
retarded.37707

       (R) "Other protected costs" means costs incurred by an 37708
intermediate care facility for the mentally retarded for medical37709
supplies; real estate, franchise, and property taxes; natural gas,37710
fuel oil, water, electricity, sewage, and refuse and hazardous37711
medical waste collection; allocated other protected home office37712
costs; and any additional costs defined as other protected costs37713
in rules adopted under section 5111.02 of the Revised Code.37714

       (S)(1) "Owner" means any person or government entity that has37715
at least five per cent ownership or interest, either directly,37716
indirectly, or in any combination, in any of the following 37717
regarding a nursing facility or intermediate care facility for the 37718
mentally retarded:37719

       (a) The land on which the facility is located;37720

       (b) The structure in which the facility is located;37721

       (c) Any mortgage, contract for deed, or other obligation 37722
secured in whole or in part by the land or structure on or in 37723
which the facility is located;37724

       (d) Any lease or sublease of the land or structure on or in 37725
which the facility is located.37726

       (2) "Owner" does not mean a holder of a debenture or bond 37727
related to the nursing facility or intermediate care facility for 37728
the mentally retarded and purchased at public issue or a regulated 37729
lender that has made a loan related to the facility unless the 37730
holder or lender operates the facility directly or through a 37731
subsidiary.37732

       (T) "Patient" includes "resident."37733

       (U) Except as provided in divisions (U)(1) and (2) of this37734
section, "per diem" means a nursing facility's or intermediate37735
care facility for the mentally retarded's actual, allowable costs37736
in a given cost center in a cost reporting period, divided by the37737
facility's inpatient days for that cost reporting period.37738

       (1) When calculating indirect care costs for the purpose of37739
establishing rates under section 5111.241 of the Revised Code,37740
"per diem" means an intermediate care facility for the mentally 37741
retarded's actual, allowable indirect care costs in a cost 37742
reporting period divided by the greater of the facility's 37743
inpatient days for that period or the number of inpatient days the 37744
facility would have had during that period if its occupancy rate 37745
had been eighty-five per cent.37746

       (2) When calculating capital costs for the purpose of37747
establishing rates under section 5111.251 of the Revised Code,37748
"per diem" means a facility's actual, allowable capital costs in a 37749
cost reporting period divided by the greater of the facility's 37750
inpatient days for that period or the number of inpatient days the 37751
facility would have had during that period if its occupancy rate 37752
had been ninety-five per cent.37753

       (V) "Provider" means an operator with a provider agreement.37754

       (W) "Provider agreement" means a contract between the37755
department of job and family services and the operator of a 37756
nursing facility or intermediate care facility for the mentally 37757
retarded for the provision of nursing facility services or 37758
intermediate care facility services for the mentally retarded 37759
under the medicaid program.37760

       (X) "Purchased nursing services" means services that are37761
provided in a nursing facility by registered nurses, licensed37762
practical nurses, or nurse aides who are not employees of the37763
facility.37764

       (Y) "Reasonable" means that a cost is an actual cost that is37765
appropriate and helpful to develop and maintain the operation of37766
patient care facilities and activities, including normal standby37767
costs, and that does not exceed what a prudent buyer pays for a37768
given item or services. Reasonable costs may vary from provider to 37769
provider and from time to time for the same provider.37770

       (Z) "Related party" means an individual or organization that, 37771
to a significant extent, has common ownership with, is associated 37772
or affiliated with, has control of, or is controlled by, the 37773
provider.37774

       (1) An individual who is a relative of an owner is a related37775
party.37776

       (2) Common ownership exists when an individual or individuals 37777
possess significant ownership or equity in both the provider and 37778
the other organization. Significant ownership or equity exists 37779
when an individual or individuals possess five per cent ownership 37780
or equity in both the provider and a supplier. Significant 37781
ownership or equity is presumed to exist when an individual or 37782
individuals possess ten per cent ownership or equity in both the 37783
provider and another organization from which the provider 37784
purchases or leases real property.37785

       (3) Control exists when an individual or organization has the 37786
power, directly or indirectly, to significantly influence or37787
direct the actions or policies of an organization.37788

       (4) An individual or organization that supplies goods or37789
services to a provider shall not be considered a related party if37790
all of the following conditions are met:37791

       (a) The supplier is a separate bona fide organization.37792

       (b) A substantial part of the supplier's business activity of 37793
the type carried on with the provider is transacted with others37794
than the provider and there is an open, competitive market for the37795
types of goods or services the supplier furnishes.37796

       (c) The types of goods or services are commonly obtained by37797
other nursing facilities or intermediate care facilities for the37798
mentally retarded from outside organizations and are not a basic37799
element of patient care ordinarily furnished directly to patients37800
by the facilities.37801

       (d) The charge to the provider is in line with the charge for 37802
the goods or services in the open market and no more than the37803
charge made under comparable circumstances to others by the37804
supplier.37805

       (AA) "Relative of owner" means an individual who is related37806
to an owner of a nursing facility or intermediate care facility37807
for the mentally retarded by one of the following relationships:37808

       (1) Spouse;37809

       (2) Natural parent, child, or sibling;37810

       (3) Adopted parent, child, or sibling;37811

       (4) Stepparent, stepchild, stepbrother, or stepsister;37812

       (5) Father-in-law, mother-in-law, son-in-law,37813
daughter-in-law, brother-in-law, or sister-in-law;37814

       (6) Grandparent or grandchild;37815

       (7) Foster caregiver, foster child, foster brother, or foster 37816
sister.37817

       (BB) "Renovation" and "extensive renovation" mean:37818

       (1) Any betterment, improvement, or restoration of an 37819
intermediate care facility for the mentally retarded started 37820
before July 1, 1993, that meets the definition of a renovation or 37821
extensive renovation established in rules adopted by the director 37822
of job and family services in effect on December 22, 1992.37823

       (2) In the case of betterments, improvements, and37824
restorations of intermediate care facilities for the mentally 37825
retarded started on or after July 1, 1993:37826

       (a) "Renovation" means the betterment, improvement, or37827
restoration of an intermediate care facility for the mentally 37828
retarded beyond its current functional capacity through a 37829
structural change that costs at least five hundred dollars per 37830
bed. A renovation may include betterment, improvement, 37831
restoration, or replacement of assets that are affixed to the 37832
building and have a useful life of at least five years. A 37833
renovation may include costs that otherwise would be considered 37834
maintenance and repair expenses if they are an integral part of 37835
the structural change that makes up the renovation project.37836
"Renovation" does not mean construction of additional space for 37837
beds that will be added to a facility's licensed or certified 37838
capacity.37839

       (b) "Extensive renovation" means a renovation that costs more 37840
than sixty-five per cent and no more than eighty-five per cent of 37841
the cost of constructing a new bed and that extends the useful 37842
life of the assets for at least ten years.37843

       For the purposes of division (BB)(2) of this section, the37844
cost of constructing a new bed shall be considered to be forty37845
thousand dollars, adjusted for the estimated rate of inflation37846
from January 1, 1993, to the end of the calendar year during which 37847
the renovation is completed, using the consumer price index for37848
shelter costs for all urban consumers for the north central37849
region, as published by the United States bureau of labor37850
statistics.37851

       The department of job and family services may treat a37852
renovation that costs more than eighty-five per cent of the cost37853
of constructing new beds as an extensive renovation if the37854
department determines that the renovation is more prudent than37855
construction of new beds.37856

       (CC) "Title XIX" means Title XIX of the "Social Security 37857
Act," 79 Stat. 286 (1965), 42 U.S.C. 1396, as amended.37858

        (DD) "Title XVIII" means Title XVIII of the "Social Security 37859
Act," 79 Stat. 286 (1965), 42 U.S.C. 1395, as amended.37860

       Sec. 5111.84. The director of job and family services may not 37861
submit a request to the United States secretary of health and 37862
human services for a medicaid waiver under section 1115 of the 37863
"Social Security Act of 1935," 42 U.S.C. 1315, unless the director 37864
provides the speaker of the house of representatives and president 37865
of the senate written notice of the director's intent to submit 37866
the request at least ten days before the date the director submits 37867
the request to the United States secretary. The notice shall 37868
include a detailed explanation of the medicaid waiver the director 37869
proposes to seek.37870

       Sec. 5111.861.  (A) "Home and community-based services 37871
medicaid waiver component" has the same meaning as in section 37872
5111.851 of the Revised Code.37873

       (B) The director shall submit a request to the United States 37874
secretary of health and human services to approve amendments to 37875
one or more home and community-based services medicaid waiver 37876
components to do one or more of the following:37877

       (1) Allow a participant receiving services under a component 37878
to retain eligibility for those services while participating in 37879
the medicaid buy-in program established under section 5111.0119 of 37880
the Revised Code.37881

       (2) Make changes to one or more components so that the 37882
component or components contains one or more features of the 37883
medicaid buy-in program established under section 5111.0119 of the 37884
Revised Code.37885

       Sec. 5111.871.  The department of job and family services37886
shall enter into a contract with the department of mental37887
retardation and developmental disabilities under section 5111.9137888
of the Revised Code with regard to one or more of the components 37889
of the medicaid program established by the department of job and 37890
family services under one or more of the medicaid waivers sought 37891
under section 5111.87 of the Revised Code. The contract shall37892
provide for the department of mental retardation and developmental37893
disabilities to administer the components in accordance with the 37894
terms of the waivers. The directors of job and family services and 37895
mental retardation and developmental disabilities shall adopt37896
rules in accordance with Chapter 119. of the Revised Code37897
governing the components.37898

       If the department of mental retardation and developmental37899
disabilities or the department of job and family services denies37900
an individual's application for home and community-based services37901
provided under any of these medicaid components, the department 37902
that denied the services shall give timely notice to the 37903
individual that the individual may request a hearing under section 37904
5101.35 of the Revised Code.37905

       The departments of mental retardation and developmental37906
disabilities and job and family services may approve, reduce,37907
deny, or terminate a service included in the individualized37908
service plan developed for a medicaid recipient eligible for home37909
and community-based services provided under any of these medicaid 37910
components. The departments shall consider the recommendations a37911
county board of mental retardation and developmental disabilities37912
makes under division (A)(1)(c) of section 5126.055 of the Revised37913
Code. If either department approves, reduces, denies, or37914
terminates a service, that department shall give timely notice to37915
the medicaid recipient that the recipient may request a hearing37916
under section 5101.35 of the Revised Code.37917

       If supported living or residential services, as defined in37918
section 5126.01 of the Revised Code, areis to be provided as a 37919
service under any of these components, any person or government 37920
entity with a current, valid medicaid provider agreement and a 37921
current, valid license under section 5123.19 or certificate under 37922
section 5123.16 or 5126.4315123.161 of the Revised Code may 37923
provide the servicesservice.37924

       If a service is to be provided under any of these components 37925
by a residential facility, as defined in section 5123.19 of the 37926
Revised Code, any person or government entity with a current, 37927
valid medicaid provider agreement and a current, valid license 37928
under section 5123.19 of the Revised Code may provide the service.37929

       Sec. 5111.8814.  An intermediate care facility for the 37930
mentally retarded that converts in whole to providing home and 37931
community-based services under the ICF/MR conversion pilot program 37932
shall either be licensed as a residential facility under section 37933
5123.19 of the Revised Code or certified to provide supported 37934
living under section 5126.4315123.161 of the Revised Code. If an 37935
intermediate care facility for the mentally retarded converts in 37936
part to providing such home and community-based services, the 37937
distinct part of the facility that provides the home and 37938
community-based services shall either be licensed as a residential 37939
facility under section 5123.19 of the Revised Code or certified to 37940
provide supported living under section 5126.4315123.161 of the 37941
Revised Code. The facility or distinct part of the facility shall 37942
be licensed as a residential facility rather than certified to 37943
provide supported living if it meets the definition of 37944
"residential facility" in section 5123.19 of the Revised Code.37945

       Sec. 5111.891.  To be eligible for the assisted living 37946
program, an individual must meet all of the following 37947
requirements:37948

       (A) Need an intermediate level of care as determined under 37949
rule 5101:3-3-06 of the Administrative Code;37950

       (B) At the time the individual applies for the assisted 37951
living program, be one of the following:37952

       (1) A nursing facility resident who is seeking to move to a 37953
residential care facility and would remain in a nursing facility 37954
for long term care if not for the assisted living program;37955

       (2) A participant of any of the following medicaid waiver 37956
components who would move to a nursing facility if not for the 37957
assisted living program:37958

       (a) The PASSPORT program created under section 173.40 of the 37959
Revised Code;37960

       (b) The medicaid waiver component called the choices program 37961
that the department of aging administers;37962

       (c) A medicaid waiver component that the department of job 37963
and family services administers.37964

       (3) A resident of a residential care facility who has resided 37965
in a residential care facility for at least six months immediately 37966
before the date the individual applies for the assisted living 37967
program.37968

       (C) At the time the individual receives assisted living 37969
services under the assisted living program, reside in a 37970
residential care facility, including both of the following: 37971

       (1) A residential care facility that is owned or operated by 37972
a metropolitan housing authority that has a contract with the 37973
United States department of housing and urban development to 37974
receive an operating subsidy or rental assistance for the 37975
residents of the facility;37976

       (2) A county or district home licensed as a residential care 37977
facility.37978

       (D) Meet all other eligibility requirements for the assisted 37979
living program established in rules adopted under section 5111.85 37980
of the Revised Code.37981

       Sec. 5112.341.  (A) In addition to assessing a penalty 37982
pursuant to section 5112.34 of the Revised Code, the department of 37983
job and family services may do either or both of the following if 37984
an intermediate care facility for the mentally retarded fails to 37985
pay the full amount of a franchise permit fee installment when 37986
due:37987

        (1) WithholdOffset an amount less than or equal to the 37988
installment and penalty assessed under section 5112.34 of the 37989
Revised Code from a medicaid payment due the facility until the 37990
facility pays the installment and penalty;37991

        (2) Terminate the facility's medicaid provider agreement.37992

        (B) The department may withholdoffset a medicaid payment 37993
under division (A)(1) of this section without providing notice to 37994
the intermediate care facility for the mentally retarded and 37995
without conducting an adjudication under Chapter 119. of the 37996
Revised Code.37997

       Sec. 5115.12. (A) The director of job and family services 37998
shall adopt rules in accordance with section 111.15 of the Revised 37999
Code governing the disability medical assistance program. The 38000
rules may establish or specify any or all of the following:38001

       (1) Income, resource, citizenship, age, residence, living 38002
arrangement, and other eligibility requirements;38003

        (2) Health services to be included in the program;38004

        (3) The maximum authorized amount, scope, duration, or limit 38005
of payment for services;38006

        (4) Limits on the length of time an individual may receive 38007
disability medical assistance;38008

        (5) Limits on the total number of individuals in the state 38009
who may receive disability medical assistance;38010

       (6) Limits on the number and types of providers eligible to 38011
be reimbursed for services provided to individuals enrolled in the 38012
program.38013

        (B) For purposes of limiting the cost of the disability 38014
medical assistance program, the director may do either of the 38015
following:38016

       (1) Adopt rules in accordance with section 111.15 of the 38017
Revised Code that revise the program's eligibility requirements; 38018
the maximum authorized amount, scope, duration, or limit of 38019
payment for services included in the program; or any other 38020
requirement or standard established or specified by rules adopted 38021
under division (A) of this section or under section 5115.10 of the 38022
Revised Code;38023

       (2) Suspend acceptance of applications for disability medical 38024
assistance. While a suspension is in effect, no person shall 38025
receive a determination or redetermination of eligibility for 38026
disability medical assistance unless the person was receiving the 38027
assistance during the month immediately preceding the suspension's 38028
effective date or the person submitted an application prior to the 38029
suspension's effective date and receives a determination of 38030
eligibility based on that application. The director may adopt 38031
rules in accordance with section 111.15 of the Revised Code 38032
establishing requirements and specifying procedures applicable to 38033
the suspension of acceptance of applications.38034

       Sec. 5119.611. (A) A community mental health agency that 38035
seeks certification of its community mental health services shall 38036
submit an application to the director of mental health. On receipt 38037
of the application, the director may visit and shall evaluate the 38038
agency to determine whether its services satisfy the standards 38039
established by rules adopted under division (D)(C) of this 38040
section. The director shall make the evaluation, and, if the 38041
director visits the agency, shall make the visit, in cooperation 38042
with the board of alcohol, drug addiction, and mental health 38043
services with which the agency seeks to contract under division 38044
(A)(8)(a) of section 340.03 of the Revised Code.38045

        Subject to divisions (B) and (C) of this sectionIf the 38046
director determines that a community mental health agency's 38047
services satisfy the standards and the agency has paid the fee 38048
required under division (B) of this section, the director shall38049
certify a community mental health agency'sthe services that the 38050
director determines satisfy the standards.38051

       If the director determines that a community mental health38052
agency's services do not satisfy the standards, the director shall38053
identify the areas of noncompliance, specify what action is38054
necessary to satisfy the standards, and offer technical assistance38055
to the board of alcohol, drug addiction, and mental health38056
services so that the board may assist the agency in satisfying the38057
standards. The director shall give the agency a reasonable time38058
within which to demonstrate that its services satisfy the38059
standards or to bring the services into compliance with the38060
standards. If the director concludes that the services continue to 38061
fail to satisfy the standards, the director may request that the 38062
board reallocate the funds for the community mental health38063
services the agency was to provide to another community mental38064
health agency whose community mental health services satisfy the38065
standards. If the board does not reallocate those funds in a38066
reasonable period of time, the director may withhold state and38067
federal funds for the community mental health services and38068
allocate those funds directly to a community mental health agency38069
whose community mental health services satisfy the standards.38070

       (B) Each community mental health agency seeking certification 38071
of its community mental health services under this section shall 38072
pay a fee for the certification review required by this section. 38073
Fees shall be paid into the sale of goods and services fund 38074
created pursuant to section 5119.161 of the Revised Code.38075

       (C) The director may certify a community mental health 38076
service only if the service is for individuals whose focus of 38077
treatment is a mental disorder according to the edition of the 38078
American psychiatric association's diagnostic and statistical 38079
manual of mental disorders that is current at the time the 38080
director issues the certification, including such services for 38081
individuals who have a mental disorder and a co-occurring 38082
substance use disorder, substance induced disorder, chronic 38083
dementing organic mental disorder, mental retardation, or 38084
developmental disability. The director may not certify a service 38085
that is for individuals whose focus of treatment is solely a 38086
substance use disorder, substance-induced disorder, chronic 38087
dementing organic mental disorder, mental retardation, or 38088
developmental disability.38089

       (D) The director shall adopt rules in accordance with Chapter 38090
119. of the Revised Code to implement this section. The rules 38091
shall do all of the following:38092

       (1) Establish certification standards for community mental38093
health services, including assertive community treatment and 38094
intensive home-based mental health services, that are consistent 38095
with nationally recognized applicable standards and facilitate 38096
participation in federal assistance programs. The rules shall 38097
include as certification standards only requirements that improve 38098
the quality of services or the health and safety of clients of 38099
community mental health services. The standards shall address at a38100
minimum all of the following:38101

       (a) Reporting major unusual incidents to the director;38102

       (b) Procedures for applicants for and clients of community38103
mental health services to file grievances and complaints;38104

       (c) Seclusion;38105

       (d) Restraint;38106

       (e) Development of written policies addressing the rights of38107
clients, including all of the following:38108

       (i) The right to a copy of the written policies addressing38109
client rights;38110

       (ii) The right at all times to be treated with consideration38111
and respect for the client's privacy and dignity;38112

       (iii) The right to have access to the client's own38113
psychiatric, medical, or other treatment records unless access is38114
specifically restricted in the client's treatment plan for clear38115
treatment reasons;38116

       (iv) The right to have a client rights officer provided by38117
the agency or board of alcohol, drug addiction, and mental health38118
services advise the client of the client's rights, including the38119
client's rights under Chapter 5122. of the Revised Code if the38120
client is committed to the agency or board.38121

       (2) Establish standards for qualifications of mental health38122
professionals as defined in section 340.02 of the Revised Code and38123
personnel who provide the community mental health services;38124

       (3) Establish the process for certification of community38125
mental health services;38126

       (4) Set the amount of certification review fees based on a38127
portion of the cost of performing the review;38128

       (5) Specify the type of notice and hearing to be provided38129
prior to a decision on whether to reallocate funds.38130

       Sec. 5123.01.  As used in this chapter:38131

       (A) "Chief medical officer" means the licensed physician38132
appointed by the managing officer of an institution for the38133
mentally retarded with the approval of the director of mental38134
retardation and developmental disabilities to provide medical38135
treatment for residents of the institution.38136

       (B) "Chief program director" means a person with special38137
training and experience in the diagnosis and management of the38138
mentally retarded, certified according to division (C) of this38139
section in at least one of the designated fields, and appointed by38140
the managing officer of an institution for the mentally retarded38141
with the approval of the director to provide habilitation and care38142
for residents of the institution.38143

       (C) "Comprehensive evaluation" means a study, including a38144
sequence of observations and examinations, of a person leading to38145
conclusions and recommendations formulated jointly, with38146
dissenting opinions if any, by a group of persons with special38147
training and experience in the diagnosis and management of persons38148
with mental retardation or a developmental disability, which group38149
shall include individuals who are professionally qualified in the38150
fields of medicine, psychology, and social work, together with38151
such other specialists as the individual case may require.38152

       (D) "Education" means the process of formal training and38153
instruction to facilitate the intellectual and emotional38154
development of residents.38155

       (E) "Habilitation" means the process by which the staff of38156
the institution assists the resident in acquiring and maintaining38157
those life skills that enable the resident to cope more38158
effectively with the demands of the resident's own person and of38159
the resident's environment and in raising the level of the38160
resident's physical, mental, social, and vocational efficiency.38161
Habilitation includes but is not limited to programs of formal,38162
structured education and training.38163

       (F) "Health officer" means any public health physician,38164
public health nurse, or other person authorized or designated by a38165
city or general health district.38166

       (G) "Home and community-based services" means medicaid-funded 38167
home and community-based services specified in division (B)(1) of 38168
section 5111.87 of the Revised Code provided under the medicaid 38169
waiver components the department of mental retardation and38170
developmental disabilities administers pursuant to section38171
5111.871 of the Revised Code.38172

       (H) "Indigent person" means a person who is unable, without38173
substantial financial hardship, to provide for the payment of an38174
attorney and for other necessary expenses of legal representation,38175
including expert testimony.38176

       (I) "Institution" means a public or private facility, or a38177
part of a public or private facility, that is licensed by the38178
appropriate state department and is equipped to provide38179
residential habilitation, care, and treatment for the mentally38180
retarded.38181

       (J) "Licensed physician" means a person who holds a valid38182
certificate issued under Chapter 4731. of the Revised Code38183
authorizing the person to practice medicine and surgery or38184
osteopathic medicine and surgery, or a medical officer of the38185
government of the United States while in the performance of the38186
officer's official duties.38187

       (K) "Managing officer" means a person who is appointed by the38188
director of mental retardation and developmental disabilities to38189
be in executive control of an institution for the mentally38190
retarded under the jurisdiction of the department.38191

       (L) "Medicaid" has the same meaning as in section 5111.01 of38192
the Revised Code.38193

       (M) "Medicaid case management services" means case management 38194
services provided to an individual with mental retardation or 38195
other developmental disability that the state medicaid plan 38196
requires.38197

       (N) "Mentally retarded person" means a person having38198
significantly subaverage general intellectual functioning existing38199
concurrently with deficiencies in adaptive behavior, manifested38200
during the developmental period.38201

       (O) "Mentally retarded person subject to institutionalization38202
by court order" means a person eighteen years of age or older who38203
is at least moderately mentally retarded and in relation to whom,38204
because of the person's retardation, either of the following38205
conditions exist:38206

       (1) The person represents a very substantial risk of physical 38207
impairment or injury to self as manifested by evidence that the 38208
person is unable to provide for and is not providing for the 38209
person's most basic physical needs and that provision for those38210
needs is not available in the community;38211

       (2) The person needs and is susceptible to significant38212
habilitation in an institution.38213

       (P) "A person who is at least moderately mentally retarded"38214
means a person who is found, following a comprehensive evaluation,38215
to be impaired in adaptive behavior to a moderate degree and to be38216
functioning at the moderate level of intellectual functioning in38217
accordance with standard measurements as recorded in the most38218
current revision of the manual of terminology and classification38219
in mental retardation published by the American association on38220
mental retardation.38221

       (Q) As used in this division, "substantial functional38222
limitation," "developmental delay," and "established risk" have38223
the meanings established pursuant to section 5123.011 of the38224
Revised Code.38225

       "Developmental disability" means a severe, chronic disability38226
that is characterized by all of the following:38227

       (1) It is attributable to a mental or physical impairment or38228
a combination of mental and physical impairments, other than a38229
mental or physical impairment solely caused by mental illness as38230
defined in division (A) of section 5122.01 of the Revised Code.38231

       (2) It is manifested before age twenty-two.38232

       (3) It is likely to continue indefinitely.38233

       (4) It results in one of the following:38234

       (a) In the case of a person under three years of age, at38235
least one developmental delay or an established risk;38236

       (b) In the case of a person at least three years of age but38237
under six years of age, at least two developmental delays or an38238
established risk;38239

       (c) In the case of a person six years of age or older, a38240
substantial functional limitation in at least three of the38241
following areas of major life activity, as appropriate for the38242
person's age: self-care, receptive and expressive language,38243
learning, mobility, self-direction, capacity for independent38244
living, and, if the person is at least sixteen years of age,38245
capacity for economic self-sufficiency.38246

       (5) It causes the person to need a combination and sequence38247
of special, interdisciplinary, or other type of care, treatment,38248
or provision of services for an extended period of time that is38249
individually planned and coordinated for the person.38250

       (R) "Developmentally disabled person" means a person with a38251
developmental disability.38252

       (S) "State institution" means an institution that is38253
tax-supported and under the jurisdiction of the department.38254

       (T) "Residence" and "legal residence" have the same meaning38255
as "legal settlement," which is acquired by residing in Ohio for a38256
period of one year without receiving general assistance prior to38257
July 17, 1995, under former Chapter 5113. of the Revised Code, 38258
financial assistance under Chapter 5115. of the Revised Code, or38259
assistance from a private agency that maintains records of38260
assistance given. A person having a legal settlement in the state38261
shall be considered as having legal settlement in the assistance38262
area in which the person resides. No adult person coming into this38263
state and having a spouse or minor children residing in another 38264
state shall obtain a legal settlement in this state as long as the 38265
spouse or minor children are receiving public assistance, care, or 38266
support at the expense of the other state or its subdivisions. For 38267
the purpose of determining the legal settlement of a person who is 38268
living in a public or private institution or in a home subject to 38269
licensing by the department of job and family services, the38270
department of mental health, or the department of mental 38271
retardation and developmental disabilities, the residence of the 38272
person shall be considered as though the person were residing in 38273
the county in which the person was living prior to the person's 38274
entrance into the institution or home. Settlement once acquired 38275
shall continue until a person has been continuously absent from 38276
Ohio for a period of one year or has acquired a legal residence in 38277
another state. A woman who marries a man with legal settlement in 38278
any county immediately acquires the settlement of her husband. The 38279
legal settlement of a minor is that of the parents, surviving 38280
parent, sole parent, parent who is designated the residential 38281
parent and legal custodian by a court, other adult having 38282
permanent custody awarded by a court, or guardian of the person of 38283
the minor, provided that:38284

       (1) A minor female who marries shall be considered to have38285
the legal settlement of her husband and, in the case of death of38286
her husband or divorce, she shall not thereby lose her legal38287
settlement obtained by the marriage.38288

       (2) A minor male who marries, establishes a home, and who has 38289
resided in this state for one year without receiving general38290
assistance prior to July 17, 1995, under former Chapter 5113. of38291
the Revised Code, financial assistance under Chapter 5115. of the38292
Revised Code, or assistance from a private agency that maintains38293
records of assistance given shall be considered to have obtained a38294
legal settlement in this state.38295

       (3) The legal settlement of a child under eighteen years of38296
age who is in the care or custody of a public or private child38297
caring agency shall not change if the legal settlement of the38298
parent changes until after the child has been in the home of the38299
parent for a period of one year.38300

       No person, adult or minor, may establish a legal settlement38301
in this state for the purpose of gaining admission to any state38302
institution.38303

       (U)(1) "Resident" means, subject to division (R)(2) of this38304
section, a person who is admitted either voluntarily or38305
involuntarily to an institution or other facility pursuant to38306
section 2945.39, 2945.40, 2945.401, or 2945.402 of the Revised38307
Code subsequent to a finding of not guilty by reason of insanity38308
or incompetence to stand trial or under this chapter who is under38309
observation or receiving habilitation and care in an institution.38310

       (2) "Resident" does not include a person admitted to an38311
institution or other facility under section 2945.39, 2945.40,38312
2945.401, or 2945.402 of the Revised Code to the extent that the38313
reference in this chapter to resident, or the context in which the38314
reference occurs, is in conflict with any provision of sections38315
2945.37 to 2945.402 of the Revised Code.38316

       (V) "Respondent" means the person whose detention,38317
commitment, or continued commitment is being sought in any38318
proceeding under this chapter.38319

       (W) "Working day" and "court day" mean Monday, Tuesday,38320
Wednesday, Thursday, and Friday, except when such day is a legal38321
holiday.38322

       (X) "Prosecutor" means the prosecuting attorney, village38323
solicitor, city director of law, or similar chief legal officer38324
who prosecuted a criminal case in which a person was found not38325
guilty by reason of insanity, who would have had the authority to38326
prosecute a criminal case against a person if the person had not38327
been found incompetent to stand trial, or who prosecuted a case in38328
which a person was found guilty.38329

       (Y) "Court" means the probate division of the court of common38330
pleas.38331

       (Z) "Supported living" has the same meaning as in section 38332
5126.01 of the Revised Code.38333

       Sec. 5123.033. The program fee fund is hereby created in the 38334
state treasury. All fees collected pursuant to sections 5123.161, 38335
5123.164, 5123.19, and 5126.25 of the Revised Code shall be 38336
credited to the fund. Money credited to the fund shall be used 38337
solely for the department of mental retardation and developmental 38338
disabilities' duties under sections 5123.16 to 5123.169, 5123.19, 38339
and 5126.25 of the Revised Code and to provide continuing 38340
education and professional training to employees of county boards 38341
of mental retardation and developmental disabilities for the 38342
purpose of section 5126.25 of the Revised Code and other providers 38343
of services to individuals with mental retardation or a 38344
developmental disability. If the money credited to the fund is 38345
inadequate to pay all of the department's costs in performing 38346
those duties and providing the continuing education and 38347
professional training, the department may use other available 38348
funds appropriated to the department to pay the remaining costs of 38349
performing those duties and providing the continuing education and 38350
professional training.38351

       Sec. 5123.043.  (A) The director of mental retardation and38352
developmental disabilities shall adopt rules establishing38353
procedures for administrative resolution of complaints filed under38354
division (B) of this section and section 5126.06 of the Revised38355
Code. The rules shall be adopted in accordance with Chapter 119.38356
of the Revised Code.38357

       (B) Except as provided in division (C) of this section, any38358
person or county board of mental retardation and developmental38359
disabilities that has a complaint involving any of the programs,38360
services, policies, or administrative practices of the department38361
of mental retardation and developmental disabilities or any of the38362
entities under contract with the department, may file a complaint38363
with the department. Prior to commencing a civil action regarding38364
the complaint, a person or county board shall attempt to have the38365
complaint resolved through the administrative resolution process38366
established in the rules adopted under this section. After38367
exhausting the administrative resolution process, the person or38368
county board may commence a civil action if the complaint is not38369
settled to the person's or county board's satisfaction.38370

       (C) An employee of the department may not file under this38371
section a complaint related to the terms and conditions of38372
employment for the employee.38373

       (D) This section does not apply to a conflict between a38374
county board of mental retardation and developmental disabilities38375
and a person or government entity that provides or seeks to38376
provide services to an individual with mental retardation or other38377
developmental disability. Section 5126.036 of the Revised Code38378
applies to such a conflict.38379

       Sec. 5123.045.  No person or government entity shall receive 38380
payment for providing home and community-based services unless the 38381
person or government entity is one of the following:38382

       (A) Certified under section 5123.165123.161 of the Revised 38383
Code;38384

       (B) Licensed as a residential facility under section 5123.1938385
of the Revised Code. 38386

       Sec. 5123.047. (A) The department of mental retardation and 38387
developmental disabilities shall pay the nonfederal share of38388
medicaid expenditures for medicaid case management services if the 38389
services are provided to an individual with mental retardation or 38390
other developmental disability who a county board of mental 38391
retardation and developmental disabilities has determined under 38392
section 5126.041 of the Revised Code is not eligible for county 38393
board services.38394

       (B) The department shall pay the nonfederal share of medicaid 38395
expenditures forand home and community-based services if any of 38396
the following apply:38397

       (1) The services are provided to an individual with mental38398
retardation or other developmental disability who a county board38399
has determined under section 5126.041 of the Revised Code is not38400
eligible for county board services;38401

       (2) The services are provided to an individual with mental38402
retardation or other developmental disability given priority for38403
the services pursuant to division (D)(3) of section 5126.042 of38404
the Revised Code. The department shall pay the nonfederal share of 38405
medicaid expenditures for home and community-based services38406
provided to such an individual for as long as the individual38407
continues to be eligible for and receive the services, regardless38408
of whether the services are provided after June 30, 2003.38409

       (3) An agreement entered into under section 5123.048 of the 38410
Revised Code requires that the department pay the nonfederal share 38411
of medicaid expenditures for the servicesfor which no county 38412
board of mental retardation and developmental disabilities is 38413
required by section 5126.059 or 5126.0510 of the Revised Code to 38414
pay.38415

       Sec. 5123.048. The director of mental retardation and 38416
developmental disabilities may enter into an agreement with a 38417
county board of mental retardation and developmental disabilities 38418
under which the department of mental retardation and developmental 38419
disabilities is to pay the nonfederal share of medicaid 38420
expenditures for one or more of the home and community-based 38421
services provided to individuals with mental retardation or other 38422
developmental disability residing in the county served bythat the 38423
county board would, if not for the agreement, be required by 38424
section 5126.0510 of the Revised Code to pay. The agreement shall 38425
specify which home and community-based services the agreement 38426
covers. The department shall pay the nonfederal share of medicaid 38427
expenditures for the home and community-based services that the 38428
agreement covers as long as the agreement is in effect.38429

       Sec. 5123.049. The director of mental retardation and38430
developmental disabilities shall adopt rules in accordance with38431
Chapter 119. of the Revised Code governing the authorization and38432
payment of home and community-based services and medicaid case38433
management services. The rules shall provide for private providers 38434
of the services to receive one hundred per cent of the medicaid 38435
allowable payment amount and for government providers of the 38436
services to receive the federal share of the medicaid allowable 38437
payment, less the amount withheld as a fee under section 5123.0412 38438
of the Revised Code and any amount that may be required by rules 38439
adopted under section 5123.0413 of the Revised Code to be 38440
deposited into the state MR/DD risk fund. The rules shall 38441
establish the process by which county boards of mental retardation 38442
and developmental disabilities shall certify and provide the 38443
nonfederal share of medicaid expenditures that the county board is 38444
required by division (A) of section 5126.057sections 5126.059 and 38445
5126.0510 of the Revised Code to pay. The process shall require a38446
county board to certify that the county board has funding38447
available at one time for two months costs for those expenditures.38448
The process may permit a county board to certify that the county38449
board has funding available at one time for more than two months38450
costs for those expenditures.38451

       Sec. 5123.0411. The department of mental retardation and38452
developmental disabilities may bring a mandamus action against a38453
county board of mental retardation and developmental disabilities38454
that fails to pay the nonfederal share of medicaid expenditures38455
that the county board is required by division (A) of section 38456
5126.057sections 5126.059 and 5126.0510 of the Revised Code to 38457
pay. The department may bring the mandamus action in the court of 38458
common pleas of the county served by the county board or in the 38459
Franklin county court of common pleas.38460

       Sec. 5123.0414. (A) When the director of mental retardation 38461
and developmental disabilities, under section 119.07 of the 38462
Revised Code, sends a party a notice by registered mail, return 38463
receipt requested, that the director intends to take action 38464
against the party authorized by section 5123.082, 5123.166, 38465
5123.168, 5123.19, 5123.45, 5123.51, or 5126.25 of the Revised 38466
Code and the notice is returned to the director with an 38467
endorsement indicating that the notice was refused or unclaimed, 38468
the director shall resend the notice by ordinary mail to the 38469
party.38470

        (B) If the original notice was refused, the notice shall be 38471
deemed received as of the date the director resends the notice.38472

        (C) If the original notice was unclaimed, the notice shall be 38473
deemed received as of the date the director resends the notice 38474
unless, not later than thirty days after the date the director 38475
sent the original notice, the resent notice is returned to the 38476
director for failure of delivery.38477

       If the notice concerns taking action under section 5123.51 of 38478
the Revised Code and the resent notice is returned to the director 38479
for failure of delivery not later than thirty days after the date 38480
the director sent the original notice, the director shall cause 38481
the notice to be published in a newspaper of general circulation 38482
in the county of the party's last known residence or business and 38483
shall mail a dated copy of the published notice to the party at 38484
the last known address. The notice shall be deemed received as of 38485
the date of the publication.38486

        If the notice concerns taking action under section 5123.082, 38487
5123.166, 5123.168, 5123.19, 5123.45, or 5126.25 of the Revised 38488
Code and the resent notice is returned to the director for failure 38489
of delivery not later than thirty days after the date the director 38490
sent the original notice, the director shall resend the notice to 38491
the party a second time. The notice shall be deemed received as of 38492
the date the director resends the notice the second time.38493

       Sec. 5123.0415. As used in this section, "license" means a 38494
license, certificate, or evidence of registration.38495

       Each person and government entity that applies for or holds a 38496
valid license issued under section 5123.082, 5123.161, 5123.19, 38497
5123.45, 5126.25, or 5126.252 of the Revised Code shall notify the 38498
director of mental retardation and developmental disabilities of 38499
any change in the person or government entity's address.38500

       Sec. 5123.0416.  (A) Subject to the availability of funds 38501
appropriated to the department of mental retardation and 38502
developmental disabilities for medicaid waiver state match, the 38503
department shall expend, in fiscal year 2009 and each fiscal year 38504
thereafter, not less than the amount appropriated in appropriation 38505
item 322-416, medicaid waiver – state match, in fiscal year 2008 38506
to do both of the following:38507

       (1) Pay the nonfederal share of medicaid expenditures for 38508
home and community-based services that section 5123.047 of the 38509
Revised Code requires the department to pay;38510

       (2) Assist county boards of mental retardation and 38511
developmental disabilities in paying the nonfederal share of 38512
medicaid expenditures for home and community-based services that 38513
section 5126.0510 of the Revised Code requires county boards to 38514
pay.38515

       (B) The department may make the expenditures required by 38516
division (A)(2) of this section in the form of allocations to 38517
county boards or by other means. If the department makes the 38518
expenditures in the form of allocations, the process for making 38519
the allocations shall conform to a process the department shall 38520
establish after consulting with representatives of county boards.38521

       Sec. 5123.051.  (A) If the department of mental retardation 38522
and developmental disabilities determines pursuant to an audit 38523
conducted under section 5123.05 of the Revised Code or a 38524
reconciliation conducted under section 5123.18 or 5123.199 of the 38525
Revised Code that money is owed the state by a provider of a38526
service or program, the department may enter into a payment 38527
agreement with the provider. The agreement shall include the 38528
following:38529

       (1) A schedule of installment payments whereby the money owed 38530
the state is to be paid in full within a period not to exceed one 38531
year;38532

       (2) A provision that the provider may pay the entire balance 38533
owed at any time during the term of the agreement;38534

       (3) A provision that if any installment is not paid in full 38535
within forty-five days after it is due, the entire balance owed is 38536
immediately due and payable;38537

       (4) Any other terms and conditions that are agreed to by the 38538
department and the provider.38539

       (B) The department may include a provision in a payment 38540
agreement that requires the provider to pay interest on the money 38541
owed the state. The department, in its discretion, shall determine 38542
whether to require the payment of interest and, if it so requires, 38543
the rate of interest. Neither the obligation to pay interest nor 38544
the rate of interest is subject to negotiation between the 38545
department and the provider.38546

       (C) If the provider fails to pay any installment in full 38547
within forty-five days after its due date, the department shall 38548
certify the entire balance owed to the attorney general for 38549
collection under section 131.02 of the Revised Code. The 38550
department may withhold funds from payments made to a provider 38551
under section 5123.18 or 5123.199 of the Revised Code to satisfy a38552
judgment secured by the attorney general.38553

       (D) The purchase of service fund is hereby created. Money 38554
credited to the fund shall be used solely for purposes of section 38555
5123.05 of the Revised Code.38556

       Sec. 5123.16.  (A) As used in sections 5123.16 to 5123.169 of 38557
the Revised Code:38558

       (1) "Provider" means a person or government entity certified 38559
by the director of mental retardation and developmental 38560
disabilities to provide supported living.38561

       (2) "Related party" means any of the following:38562

       (a) In the case of a provider who is an individual, any of 38563
the following:38564

       (i) The spouse of the provider;38565

       (ii) A parent or stepparent of the provider or provider's 38566
spouse;38567

       (iii) A child of the provider or provider's spouse;38568

       (iv) A sibling, half sibling, or stepsibling of the provider 38569
or provider's spouse;38570

       (v) A grandparent of the provider or provider's spouse;38571

       (vi) A grandchild of the provider or provider's spouse;38572

       (vii) An employee or employer of the provider or provider's 38573
spouse.38574

       (b) In the case of a provider that is a person other than an 38575
individual, any of the following:38576

       (i) An employee of the person;38577

       (ii) An officer of the provider, including the chief 38578
executive officer, president, vice-president, secretary, and 38579
treasurer;38580

       (iii) A member of the provider's board of directors or 38581
trustees;38582

       (iv) A person owning a financial interest of five per cent or 38583
more in the provider;38584

       (v) A corporation that has a subsidiary relationship with the 38585
provider;38586

       (vi) A person or government entity that has control over the 38587
provider's day-to-day operation;38588

       (vii) A person over which the provider has control of the 38589
day-to-day operation.38590

       (c) In the case of a provider that is a government entity, 38591
any of the following:38592

       (i) An employee of the provider;38593

       (ii) An officer of the provider;38594

       (iii) A member of the provider's governing board;38595

       (iv) A government entity that has control over the provider's 38596
day-to-day operation;38597

       (v) A person or government entity over which the provider has 38598
control of the day-to-day operation.38599

       (B) No person or government entity may provide supported 38600
living without a valid supported living certificate issued by the 38601
director of mental retardation and developmental disabilities.38602

       (C) A county board of mental retardation and developmental 38603
disabilities may provide supported living only to the extent 38604
permitted by rules adopted under section 5123.169 of the Revised 38605
Code.38606

       Sec. 5123.161.  A person or government entity that seeks to 38607
provide supported living shall apply to the director of mental 38608
retardation and developmental disabilities for a supported living 38609
certificate.38610

        Except as provided in section 5123.166 of the Revised Code, 38611
the director shall issue the applicant a supported living 38612
certificate if the applicant follows the application process 38613
established in rules adopted under section 5123.169 of the Revised 38614
Code, meets the applicable certification standards established in 38615
those rules, and pays the certification fee established in those 38616
rules.38617

       Sec. 5123.162.  The director of mental retardation and 38618
developmental disabilities may conduct surveys of persons and 38619
government entities that seek a supported living certificate to 38620
determine whether the persons and government entities meet the 38621
certification standards. The director may also conduct surveys of 38622
providers to determine whether the providers continue to meet the 38623
certification standards. The director shall conduct the surveys in 38624
accordance with rules adopted under section 5123.169 of the 38625
Revised Code.38626

       The records of surveys conducted under this section are 38627
public records for the purpose of section 149.43 of the Revised 38628
Code and shall be made available on the request of any person or 38629
government entity.38630

       Sec. 5123.163.  A supported living certificate is valid for a 38631
period of time established in rules adopted under section 5123.169 38632
of the Revised Code, unless any of the following occur before the 38633
end of that period of time:38634

        (A) The director of mental retardation and developmental 38635
disabilities issues an order requiring that action be taken 38636
against the certificate holder under section 5123.166 of the 38637
Revised Code.38638

        (B) The director issues an order terminating the certificate 38639
under section 5123.168 of the Revised Code.38640

        (C) The certificate holder voluntarily surrenders the 38641
certificate to the director.38642

       Sec. 5123.164. Except as provided in section 5123.166 of the 38643
Revised Code, the director of mental retardation and developmental 38644
disabilities shall renew a supported living certificate if the 38645
certificate holder follows the renewal process established in 38646
rules adopted under section 5123.169 of the Revised Code, 38647
continues to meet the applicable certification standards 38648
established in those rules, and pays the renewal fee established 38649
in those rules.38650

       Sec. 5123.165.  (A) Except as provided in division (B) of 38651
this section, no person or government entity may provide supported 38652
living to an individual with mental retardation or a developmental 38653
disability if the person or government entity or a related party 38654
of the person or government entity also provides the individual a 38655
residence.38656

       (B) A person may provide supported living to an individual 38657
with mental retardation or a developmental disability even though 38658
the person or a related party of the person also provides the 38659
individual a residence if either of the following apply:38660

       (1) The person also resides in the residence with the 38661
individual and does not provide at any one time supported living 38662
to more than a total of three individuals with mental retardation 38663
or a developmental disability who reside in that residence;38664

       (2) The person is an association of family members related to 38665
two or more of the individuals with mental retardation or a 38666
developmental disability who reside in the residence and does not 38667
provide at any one time supported living to more than a total of 38668
four individuals with mental retardation or a developmental 38669
disability who reside in that residence.38670

       Sec. 5123.166.  (A) If good cause exists as specified in 38671
division (B) of this section and determined in accordance with 38672
procedures established in rules adopted under section 5123.169 of 38673
the Revised Code, the director of mental retardation and 38674
developmental disabilities may issue an adjudication order 38675
requiring that one of the following actions be taken against a 38676
person or government entity seeking or holding a supported living 38677
certificate:38678

       (1) Refusal to issue or renew a supported living certificate;38679

       (2) Revocation of a supported living certificate;38680

       (3) Suspension of a supported living certificate holder's 38681
authority to do either or both of the following:38682

        (a) Continue to provide supported living to one or more 38683
individuals from one or more counties who receive supported living 38684
from the certificate holder at the time the director takes the 38685
action;38686

        (b) Begin to provide supported living to one or more 38687
individuals from one or more counties who do not receive supported 38688
living from the certificate holder at the time the director takes 38689
the action.38690

       (B) The following constitute good cause for taking action 38691
under division (A) of this section against a person or government 38692
entity seeking or holding a supported living certificate:38693

       (1) The person or government entity's failure to meet or 38694
continue to meet the applicable certification standards 38695
established in rules adopted under section 5123.169 of the Revised 38696
Code;38697

       (2) The person or government entity violates section 5123.165 38698
of the Revised Code;38699

       (3) The person or government entity's failure to satisfy the 38700
requirements of section 5123.52, 5126.28, or 5126.281 of the 38701
Revised Code;38702

       (4) Misfeasance;38703

       (5) Malfeasance;38704

       (6) Nonfeasance;38705

       (7) Confirmed abuse or neglect;38706

       (8) Financial irresponsibility;38707

       (9) Other conduct the director determines is or would be 38708
injurious to individuals who receive or would receive supported 38709
living from the person or government entity.38710

       (C) Except as provided in division (D) of this section, the 38711
director shall issue an adjudication order under division (A) of 38712
this section in accordance with Chapter 119. of the Revised Code.38713

       (D)(1) The director may issue an order requiring that action 38714
specified in division (A)(3) of this section be taken before a 38715
provider is provided notice and an opportunity for a hearing if 38716
all of the following are the case:38717

       (a) The director determines such action is warranted by the 38718
provider's failure to continue to meet the applicable 38719
certification standards;38720

       (b) The director determines that the failure either 38721
represents a pattern of serious noncompliance or creates a 38722
substantial risk to the health or safety of an individual who 38723
receives or would receive supported living from the provider;38724

        (c) If the order will suspend the provider's authority to 38725
continue to provide supported living to an individual who receives 38726
supported living from the provider at the time the director issues 38727
the order, both of the following are the case:38728

        (i) The director makes the individual, or the individual's 38729
guardian, aware of the director's determination under division 38730
(D)(1)(b) of this section and the individual or guardian does not 38731
select another provider.38732

        (ii) A county board of mental retardation and developmental 38733
disabilities has filed a complaint with a probate court under 38734
section 5123.33 of the Revised Code that includes facts describing 38735
the nature of abuse or neglect that the individual has suffered 38736
due to the provider's actions that are the basis for the director 38737
making the determination under division (D)(1)(b) of this section 38738
and the probate court does not issue an order authorizing the 38739
county board to arrange services for the individual pursuant to an 38740
individualized service plan developed for the individual under 38741
section 5123.31 of the Revised Code.38742

       (2) If the director issues an order under division (D)(1) of 38743
this section, sections 119.091 to 119.13 of the Revised Code and 38744
all of the following apply:38745

       (a) The director shall send the provider notice of the order 38746
by registered mail, return receipt requested, not later than 38747
twenty-four hours after issuing the order and shall include in the 38748
notice the reasons for the order, the citation to the law or rule 38749
directly involved, and a statement that the provider will be 38750
afforded a hearing if the provider requests it within ten days of 38751
the time of receiving the notice.38752

       (b) If the provider requests a hearing within the required 38753
time and the provider has provided the director the provider's 38754
current address, the director shall immediately set, and notify 38755
the provider of, the date, time, and place for the hearing.38756

       (c) The date of the hearing shall be not later than thirty 38757
days after the director receives the provider's timely request for 38758
the hearing.38759

       (d) The hearing shall be conducted in accordance with section 38760
119.09 of the Revised Code, except for all of the following:38761

       (i) The hearing shall continue uninterrupted until its close, 38762
except for weekends, legal holidays, and other interruptions the 38763
provider and director agree to.38764

       (ii) If the director appoints a referee or examiner to 38765
conduct the hearing, the referee or examiner, not later than ten 38766
days after the date the referee or examiner receives a transcript 38767
of the testimony and evidence presented at the hearing or, if the 38768
referee or examiner does not receive the transcript or no such 38769
transcript is made, the date that the referee or examiner closes 38770
the record of the hearing, shall submit to the director a written 38771
report setting forth the referee or examiner's findings of fact 38772
and conclusions of law and a recommendation of the action the 38773
director should take.38774

       (iii) The provider may, not later than five days after the 38775
date the director, in accordance with section 119.09 of the 38776
Revised Code, sends the provider or the provider's attorney or 38777
other representative of record a copy of the referee or examiner's 38778
report and recommendation, file with the director written 38779
objections to the report and recommendation.38780

       (iv) The director shall approve, modify, or disapprove the 38781
referee or examiner's report and recommendation not earlier than 38782
six days, and not later than fifteen days, after the date the 38783
director, in accordance with section 119.09 of the Revised Code, 38784
sends a copy of the report and recommendation to the provider or 38785
the provider's attorney or other representative of record.38786

       (3) The director may lift an order issued under division 38787
(D)(1) of this section even though a hearing regarding the order 38788
is occurring or pending if the director determines that the 38789
provider has taken action eliminating the good cause for issuing 38790
the order. The hearing shall proceed unless the provider withdraws 38791
the request for the hearing in a written letter to the director.38792

       (4) The director shall lift an order issued under division 38793
(D)(1) of this section if both of the following are the case:38794

        (a) The provider provides the director a plan of compliance 38795
the director determines is acceptable.38796

        (b) The director determines that the provider has implemented 38797
the plan of compliance correctly.38798

       Sec. 5123.167.  If the director of mental retardation and 38799
developmental disabilities issues an adjudication order under 38800
section 5123.166 of the Revised Code refusing to issue a supported 38801
living certificate to a person or government entity or to renew a 38802
person or government entity's supported living certificate, 38803
neither the person or government entity nor a related party of the 38804
person or government entity may apply for another supported living 38805
certificate earlier than the date that is one year after the date 38806
the order is issued. If the director issues an adjudication order 38807
under that section revoking a person or government entity's 38808
supported living certificate, neither the person or government 38809
entity nor a related party of the person or government entity may 38810
apply for another supported living certificate earlier than the 38811
date that is five years after the date the order is issued.38812

       Sec. 5123.168. The director of mental retardation and 38813
developmental disabilities may issue an adjudication order in 38814
accordance with Chapter 119. of the Revised Code to terminate a 38815
supported living certificate if the certificate holder has not 38816
billed for supported living for twelve consecutive months.38817

       Sec. 5123.169.  The director of mental retardation and 38818
developmental disabilities shall adopt rules under Chapter 119. of 38819
the Revised Code establishing all of the following:38820

       (A) The extent to which a county board of mental retardation 38821
and developmental disabilities may provide supported living;38822

       (B) The application process for obtaining a supported living 38823
certificate under section 5123.161 of the Revised Code;38824

       (C) The certification standards a person or government entity 38825
must meet to obtain a supported living certificate to provide 38826
supported living;38827

       (D) The certification fee for a supported living certificate, 38828
which shall be deposited into the program fee fund created under 38829
section 5123.033 of the Revised Code;38830

       (E) The period of time a supported living certificate is 38831
valid;38832

       (F) The process for renewing a supported living certificate 38833
under section 5123.164 of the Revised Code;38834

       (G) The renewal fee for a supported living certificate, which 38835
shall be deposited into the program fee fund created under section 38836
5123.033 of the Revised Code;38837

       (H) Procedures for conducting surveys under section 5123.162 38838
of the Revised Code;38839

       (I) Procedures for determining whether there is good cause to 38840
take action under section 5123.166 of the Revised Code against a 38841
person or government entity seeking or holding a supported living 38842
certificate.38843

       Sec. 5123.19.  (A) As used in this section and in sections38844
5123.191, 5123.194, 5123.196, 5123.198, and 5123.20 of the Revised 38845
Code:38846

       (1)(a) "Residential facility" means a home or facility in38847
which a mentally retarded or developmentally disabled person38848
resides, except the home of a relative or legal guardian in which38849
a mentally retarded or developmentally disabled person resides, a38850
respite care home certified under section 5126.05 of the Revised38851
Code, a county home or district home operated pursuant to Chapter38852
5155. of the Revised Code, or a dwelling in which the only38853
mentally retarded or developmentally disabled residents are in an38854
independent living arrangement or are being provided supported38855
living.38856

        (b) "Intermediate care facility for the mentally retarded" 38857
means a residential facility that is considered an intermediate 38858
care facility for the mentally retarded for the purposes of 38859
Chapter 5111. of the Revised Code.38860

       (2) "Political subdivision" means a municipal corporation,38861
county, or township.38862

       (3) "Independent living arrangement" means an arrangement in38863
which a mentally retarded or developmentally disabled person38864
resides in an individualized setting chosen by the person or the38865
person's guardian, which is not dedicated principally to the38866
provision of residential services for mentally retarded or38867
developmentally disabled persons, and for which no financial38868
support is received for rendering such service from any38869
governmental agency by a provider of residential services.38870

       (4) "Supported living" has the same meaning as in section38871
5126.01 of the Revised Code.38872

       (5) "Licensee" means the person or government agency that has 38873
applied for a license to operate a residential facility and to38874
which the license was issued under this section.38875

       (5) "Related party" has the same meaning as in section 38876
5123.16 of the Revised Code except that "provider" as used in the 38877
definition of "related party" means a person or government entity 38878
that held or applied for a license to operate a residential 38879
facility, rather than a person or government entity certified to 38880
provide supported living.38881

       (B) Every person or government agency desiring to operate a38882
residential facility shall apply for licensure of the facility to38883
the director of mental retardation and developmental disabilities38884
unless the residential facility is subject to section 3721.02,38885
3722.04, 5103.03, or 5119.20 of the Revised Code. Notwithstanding38886
Chapter 3721. of the Revised Code, a nursing home that is38887
certified as an intermediate care facility for the mentally38888
retarded under Title XIX of the "Social Security Act," 79 Stat. 38889
286 (1965), 42 U.S.C.A. 1396, as amended, shall apply for 38890
licensure of the portion of the home that is certified as an38891
intermediate care facility for the mentally retarded.38892

       (C) Subject to section 5123.196 of the Revised Code, the 38893
director of mental retardation and developmental disabilities 38894
shall license the operation of residential facilities. An initial 38895
license shall be issued for a period that does not exceed one 38896
year, unless the director denies the license under division (D) of 38897
this section. A license shall be renewed for a period that does 38898
not exceed three years, unless the director refuses to renew the 38899
license under division (D) of this section. The director, when38900
issuing or renewing a license, shall specify the period for which38901
the license is being issued or renewed. A license remains valid38902
for the length of the licensing period specified by the director,38903
unless the license is terminated, revoked, or voluntarily38904
surrendered.38905

       (D) If it is determined that an applicant or licensee is not 38906
in compliance with a provision of this chapter that applies to38907
residential facilities or the rules adopted under such a38908
provision, the director may deny issuance of a license, refuse to38909
renew a license, terminate a license, revoke a license, issue an38910
order for the suspension of admissions to a facility, issue an38911
order for the placement of a monitor at a facility, issue an order38912
for the immediate removal of residents, or take any other action38913
the director considers necessary consistent with the director's38914
authority under this chapter regarding residential facilities. In38915
the director's selection and administration of the sanction to be38916
imposed, all of the following apply:38917

       (1) The director may deny, refuse to renew, or revoke a38918
license, if the director determines that the applicant or licensee38919
has demonstrated a pattern of serious noncompliance or that a38920
violation creates a substantial risk to the health and safety of38921
residents of a residential facility.38922

       (2) The director may terminate a license if more than twelve38923
consecutive months have elapsed since the residential facility was38924
last occupied by a resident or a notice required by division 38925
(J)(K) of this section is not given.38926

       (3) The director may issue an order for the suspension of38927
admissions to a facility for any violation that may result in38928
sanctions under division (D)(1) of this section and for any other38929
violation specified in rules adopted under division (G)(H)(2) of 38930
this section. If the suspension of admissions is imposed for a38931
violation that may result in sanctions under division (D)(1) of38932
this section, the director may impose the suspension before38933
providing an opportunity for an adjudication under Chapter 119. of38934
the Revised Code. The director shall lift an order for the38935
suspension of admissions when the director determines that the38936
violation that formed the basis for the order has been corrected.38937

       (4) The director may order the placement of a monitor at a38938
residential facility for any violation specified in rules adopted38939
under division (G)(H)(2) of this section. The director shall lift38940
the order when the director determines that the violation that38941
formed the basis for the order has been corrected.38942

       (5) If the director determines that two or more residential38943
facilities owned or operated by the same person or government38944
entity are not being operated in compliance with a provision of38945
this chapter that applies to residential facilities or the rules38946
adopted under such a provision, and the director's findings are38947
based on the same or a substantially similar action, practice,38948
circumstance, or incident that creates a substantial risk to the38949
health and safety of the residents, the director shall conduct a38950
survey as soon as practicable at each residential facility owned38951
or operated by that person or government entity. The director may38952
take any action authorized by this section with respect to any38953
facility found to be operating in violation of a provision of this38954
chapter that applies to residential facilities or the rules38955
adopted under such a provision.38956

       (6) When the director initiates license revocation38957
proceedings, no opportunity for submitting a plan of correction38958
shall be given. The director shall notify the licensee by letter38959
of the initiation of the proceedings. The letter shall list the38960
deficiencies of the residential facility and inform the licensee38961
that no plan of correction will be accepted. The director shall38962
also notify each affected resident, the resident's guardian if the38963
resident is an adult for whom a guardian has been appointed, the38964
resident's parent or guardian if the resident is a minor, and the38965
county board of mental retardation and developmental disabilities38966
send a copy of the letter to the county board of mental 38967
retardation and developmental disabilities. The county board shall 38968
send a copy of the letter to each of the following:38969

        (a) Each resident who receives services from the licensee;38970

        (b) The guardian of each resident who receives services from 38971
the licensee if the resident has a guardian;38972

        (c) The parent or guardian of each resident who receives 38973
services from the licensee if the resident is a minor.38974

       (7) Pursuant to rules which shall be adopted in accordance38975
with Chapter 119. of the Revised Code, the director may order the38976
immediate removal of residents from a residential facility38977
whenever conditions at the facility present an immediate danger of38978
physical or psychological harm to the residents.38979

       (8) In determining whether a residential facility is being38980
operated in compliance with a provision of this chapter that38981
applies to residential facilities or the rules adopted under such38982
a provision, or whether conditions at a residential facility38983
present an immediate danger of physical or psychological harm to38984
the residents, the director may rely on information obtained by a38985
county board of mental retardation and developmental disabilities38986
or other governmental agencies.38987

       (9) In proceedings initiated to deny, refuse to renew, or38988
revoke licenses, the director may deny, refuse to renew, or revoke38989
a license regardless of whether some or all of the deficiencies38990
that prompted the proceedings have been corrected at the time of38991
the hearing.38992

       (E) The director shall establish a program under which public 38993
notification may be made when the director has initiated license 38994
revocation proceedings or has issued an order for the suspension 38995
of admissions, placement of a monitor, or removal of residents. 38996
The director shall adopt rules in accordance with Chapter 119. of 38997
the Revised Code to implement this division. The rules shall 38998
establish the procedures by which the public notification will be 38999
made and specify the circumstances for which the notification must 39000
be made. The rules shall require that public notification be made 39001
if the director has taken action against the facility in the 39002
eighteen-month period immediately preceding the director's latest 39003
action against the facility and the latest action is being taken 39004
for the same or a substantially similar violation of a provision 39005
of this chapter that applies to residential facilities or the 39006
rules adopted under such a provision. The rules shall specify a 39007
method for removing or amending the public notification if the39008
director's action is found to have been unjustified or the39009
violation at the residential facility has been corrected.39010

       (F)(1) Except as provided in division (F)(2) of this section,39011
appeals from proceedings initiated to impose a sanction under 39012
division (D) of this section shall be conducted in accordance with 39013
Chapter 119. of the Revised Code.39014

       (2) Appeals from proceedings initiated to order the39015
suspension of admissions to a facility shall be conducted in39016
accordance with Chapter 119. of the Revised Code, unless the order39017
was issued before providing an opportunity for an adjudication, in39018
which case all of the following apply:39019

       (a) The licensee may request a hearing not later than ten39020
days after receiving the notice specified in section 119.07 of the39021
Revised Code.39022

       (b) If a timely request for a hearing that includes the 39023
licensee's current address is made, the hearing shall commence not 39024
later than thirty days after the department receives the request.39025

       (c) After commencing, the hearing shall continue39026
uninterrupted, except for Saturdays, Sundays, and legal holidays,39027
unless other interruptions are agreed to by the licensee and the39028
director.39029

       (d) If the hearing is conducted by a hearing examiner, the39030
hearing examiner shall file a report and recommendations not later39031
than ten days after the last of the following:39032

       (i) The close of the hearing;39033

       (ii) If a transcript of the proceedings is ordered, the 39034
hearing examiner receives the transcript;39035

        (iii) If post-hearing briefs are timely filed, the hearing 39036
examiner receives the briefs.39037

       (e) A copy of the written report and recommendation of the 39038
hearing examiner shall be sent, by certified mail, to the licensee 39039
and the licensee's attorney, if applicable, not later than five 39040
days after the report is filed.39041

        (f) Not later than five days after the hearing examiner files 39042
the report and recommendations, the licensee may file objections 39043
to the report and recommendations.39044

       (f)(g) Not later than fifteen days after the hearing examiner39045
files the report and recommendations, the director shall issue an39046
order approving, modifying, or disapproving the report and39047
recommendations.39048

       (g)(h) Notwithstanding the pendency of the hearing, the39049
director shall lift the order for the suspension of admissions39050
when the director determines that the violation that formed the39051
basis for the order has been corrected.39052

       (G) Neither a person or government agency whose application 39053
for a license to operate a residential facility is denied nor a 39054
related party of the person or government agency may apply for a 39055
license to operate a residential facility before the date that is 39056
one year after the date of the denial. Neither a licensee whose 39057
residential facility license is revoked nor a related party of the 39058
licensee may apply for a residential facility license before the 39059
date that is five years after the date of the revocation.39060

        (H) In accordance with Chapter 119. of the Revised Code, the39061
director shall adopt and may amend and rescind rules for licensing39062
and regulating the operation of residential facilities, including 39063
intermediate care facilities for the mentally retarded. The rules 39064
for intermediate care facilities for the mentally retarded may 39065
differ from those for other residential facilities. The rules39066
shall establish and specify the following:39067

       (1) Procedures and criteria for issuing and renewing39068
licenses, including procedures and criteria for determining the39069
length of the licensing period that the director must specify for39070
each license when it is issued or renewed;39071

       (2) Procedures and criteria for denying, refusing to renew,39072
terminating, and revoking licenses and for ordering the suspension39073
of admissions to a facility, placement of a monitor at a facility,39074
and the immediate removal of residents from a facility;39075

       (3) Fees for issuing and renewing licenses, which shall be 39076
deposited into the program fee fund created under section 5123.033 39077
of the Revised Code;39078

       (4) Procedures for surveying residential facilities;39079

       (5) Requirements for the training of residential facility39080
personnel;39081

       (6) Classifications for the various types of residential39082
facilities;39083

       (7) Certification procedures for licensees and management39084
contractors that the director determines are necessary to ensure39085
that they have the skills and qualifications to properly operate39086
or manage residential facilities;39087

       (8) The maximum number of persons who may be served in a39088
particular type of residential facility;39089

       (9) Uniform procedures for admission of persons to and39090
transfers and discharges of persons from residential facilities;39091

       (10) Other standards for the operation of residential39092
facilities and the services provided at residential facilities;39093

       (11) Procedures for waiving any provision of any rule adopted 39094
under this section.39095

       (H)(I) Before issuing a license, the director of the39096
department or the director's designee shall conduct a survey of39097
the residential facility for which application is made. The39098
director or the director's designee shall conduct a survey of each 39099
licensed residential facility at least once during the period the 39100
license is valid and may conduct additional inspections as needed. 39101
A survey includes but is not limited to an on-site examination and39102
evaluation of the residential facility, its personnel, and the39103
services provided there.39104

       In conducting surveys, the director or the director's39105
designee shall be given access to the residential facility; all 39106
records, accounts, and any other documents related to the 39107
operation of the facility; the licensee; the residents of the 39108
facility; and all persons acting on behalf of, under the control 39109
of, or in connection with the licensee. The licensee and all 39110
persons on behalf of, under the control of, or in connection with 39111
the licensee shall cooperate with the director or the director's39112
designee in conducting the survey.39113

       Following each survey, unless the director initiates a 39114
license revocation proceeding, the director or the director's 39115
designee shall provide the licensee with a report listing any 39116
deficiencies, specifying a timetable within which the licensee 39117
shall submit a plan of correction describing how the deficiencies 39118
will be corrected, and, when appropriate, specifying a timetable 39119
within which the licensee must correct the deficiencies. After a 39120
plan of correction is submitted, the director or the director's39121
designee shall approve or disapprove the plan. A copy of the 39122
report and any approved plan of correction shall be provided to 39123
any person who requests it.39124

       The director shall initiate disciplinary action against any39125
department employee who notifies or causes the notification to any39126
unauthorized person of an unannounced survey of a residential 39127
facility by an authorized representative of the department.39128

       (I)(J) In addition to any other information which may be39129
required of applicants for a license pursuant to this section, the39130
director shall require each applicant to provide a copy of an39131
approved plan for a proposed residential facility pursuant to39132
section 5123.042 of the Revised Code. This division does not apply39133
to renewal of a license.39134

       (J)(K) A licensee shall notify the owner of the building in39135
which the licensee's residential facility is located of any39136
significant change in the identity of the licensee or management39137
contractor before the effective date of the change if the licensee39138
is not the owner of the building.39139

       Pursuant to rules which shall be adopted in accordance with39140
Chapter 119. of the Revised Code, the director may require39141
notification to the department of any significant change in the39142
ownership of a residential facility or in the identity of the39143
licensee or management contractor. If the director determines that 39144
a significant change of ownership is proposed, the director shall39145
consider the proposed change to be an application for development39146
by a new operator pursuant to section 5123.042 of the Revised Code39147
and shall advise the applicant within sixty days of the39148
notification that the current license shall continue in effect or39149
a new license will be required pursuant to this section. If the39150
director requires a new license, the director shall permit the39151
facility to continue to operate under the current license until39152
the new license is issued, unless the current license is revoked,39153
refused to be renewed, or terminated in accordance with Chapter39154
119. of the Revised Code.39155

       (K)(L) A county board of mental retardation and developmental39156
disabilities, the legal rights service, and any interested person39157
may file complaints alleging violations of statute or department39158
rule relating to residential facilities with the department. All39159
complaints shall be in writing and shall state the facts39160
constituting the basis of the allegation. The department shall not 39161
reveal the source of any complaint unless the complainant agrees 39162
in writing to waive the right to confidentiality or until so 39163
ordered by a court of competent jurisdiction.39164

       The department shall adopt rules in accordance with Chapter 39165
119. of the Revised Code establishing procedures for the receipt, 39166
referral, investigation, and disposition of complaints filed with 39167
the department under this division.39168

       (L)(M) The department shall establish procedures for the39169
notification of interested parties of the transfer or interim care39170
of residents from residential facilities that are closing or are39171
losing their license.39172

       (M)(N) Before issuing a license under this section to a39173
residential facility that will accommodate at any time more than39174
one mentally retarded or developmentally disabled individual, the39175
director shall, by first class mail, notify the following:39176

       (1) If the facility will be located in a municipal39177
corporation, the clerk of the legislative authority of the39178
municipal corporation;39179

       (2) If the facility will be located in unincorporated39180
territory, the clerk of the appropriate board of county39181
commissioners and the fiscal officer of the appropriate board of 39182
township trustees.39183

       The director shall not issue the license for ten days after39184
mailing the notice, excluding Saturdays, Sundays, and legal39185
holidays, in order to give the notified local officials time in39186
which to comment on the proposed issuance.39187

       Any legislative authority of a municipal corporation, board39188
of county commissioners, or board of township trustees that39189
receives notice under this division of the proposed issuance of a39190
license for a residential facility may comment on it in writing to39191
the director within ten days after the director mailed the notice,39192
excluding Saturdays, Sundays, and legal holidays. If the director39193
receives written comments from any notified officials within the39194
specified time, the director shall make written findings39195
concerning the comments and the director's decision on the39196
issuance of the license. If the director does not receive written39197
comments from any notified local officials within the specified39198
time, the director shall continue the process for issuance of the39199
license.39200

       (N)(O) Any person may operate a licensed residential facility39201
that provides room and board, personal care, habilitation39202
services, and supervision in a family setting for at least six but39203
not more than eight persons with mental retardation or a39204
developmental disability as a permitted use in any residential39205
district or zone, including any single-family residential district39206
or zone, of any political subdivision. These residential39207
facilities may be required to comply with area, height, yard, and39208
architectural compatibility requirements that are uniformly39209
imposed upon all single-family residences within the district or39210
zone.39211

       (O)(P) Any person may operate a licensed residential facility 39212
that provides room and board, personal care, habilitation39213
services, and supervision in a family setting for at least nine39214
but not more than sixteen persons with mental retardation or a39215
developmental disability as a permitted use in any multiple-family39216
residential district or zone of any political subdivision, except39217
that a political subdivision that has enacted a zoning ordinance39218
or resolution establishing planned unit development districts may39219
exclude these residential facilities from those districts, and a39220
political subdivision that has enacted a zoning ordinance or39221
resolution may regulate these residential facilities in39222
multiple-family residential districts or zones as a conditionally39223
permitted use or special exception, in either case, under39224
reasonable and specific standards and conditions set out in the39225
zoning ordinance or resolution to:39226

       (1) Require the architectural design and site layout of the39227
residential facility and the location, nature, and height of any39228
walls, screens, and fences to be compatible with adjoining land39229
uses and the residential character of the neighborhood;39230

       (2) Require compliance with yard, parking, and sign39231
regulation;39232

       (3) Limit excessive concentration of these residential39233
facilities.39234

       (P)(Q) This section does not prohibit a political subdivision39235
from applying to residential facilities nondiscriminatory39236
regulations requiring compliance with health, fire, and safety39237
regulations and building standards and regulations.39238

       (Q)(R) Divisions (N)(O) and (O)(P) of this section are not39239
applicable to municipal corporations that had in effect on June39240
15, 1977, an ordinance specifically permitting in residential39241
zones licensed residential facilities by means of permitted uses,39242
conditional uses, or special exception, so long as such ordinance39243
remains in effect without any substantive modification.39244

       (R)(S)(1) The director may issue an interim license to39245
operate a residential facility to an applicant for a license under39246
this section if either of the following is the case:39247

       (a) The director determines that an emergency exists 39248
requiring immediate placement of persons in a residential39249
facility, that insufficient licensed beds are available, and that 39250
the residential facility is likely to receive a permanent license 39251
under this section within thirty days after issuance of the 39252
interim license.39253

       (b) The director determines that the issuance of an interim39254
license is necessary to meet a temporary need for a residential39255
facility.39256

       (2) To be eligible to receive an interim license, an39257
applicant must meet the same criteria that must be met to receive39258
a permanent license under this section, except for any differing39259
procedures and time frames that may apply to issuance of a39260
permanent license.39261

       (3) An interim license shall be valid for thirty days and may39262
be renewed by the director for a period not to exceed one hundred 39263
fifty days.39264

       (4) The director shall adopt rules in accordance with Chapter 39265
119. of the Revised Code as the director considers necessary to 39266
administer the issuance of interim licenses.39267

       (S)(T) Notwithstanding rules adopted pursuant to this section39268
establishing the maximum number of persons who may be served in a39269
particular type of residential facility, a residential facility39270
shall be permitted to serve the same number of persons being39271
served by the facility on the effective date of the rules or the39272
number of persons for which the facility is authorized pursuant to 39273
a current application for a certificate of need with a letter of 39274
support from the department of mental retardation and39275
developmental disabilities and which is in the review process39276
prior to April 4, 1986.39277

       (T)(U) The director or the director's designee may enter at39278
any time, for purposes of investigation, any home, facility, or39279
other structure that has been reported to the director or that the39280
director has reasonable cause to believe is being operated as a39281
residential facility without a license issued under this section.39282

       The director may petition the court of common pleas of the39283
county in which an unlicensed residential facility is located for39284
an order enjoining the person or governmental agency operating the39285
facility from continuing to operate without a license. The court39286
may grant the injunction on a showing that the person or39287
governmental agency named in the petition is operating a39288
residential facility without a license. The court may grant the39289
injunction, regardless of whether the residential facility meets39290
the requirements for receiving a license under this section.39291

       Sec. 5123.196. (A) Except as provided in division (F) of this 39292
section, the director of mental retardation and developmental 39293
disabilities shall not issue a license under section 5123.19 of 39294
the Revised Code on or after July 1, 2003, if issuance will result 39295
in there being more beds in all residential facilities licensed 39296
under that section than is permitted under division (B) of this 39297
section.39298

       (B) Except as provided in division (D) of this section, the 39299
maximum number of beds for the purpose of division (A) of this 39300
section shall not exceed ten thousand eight hundred thirty-eight 39301
minus, except as provided in division (C) of this section, both of 39302
the following:39303

       (1) The number of such beds that cease to be residential 39304
facility beds on or after July 1, 2003, because a residential 39305
facility license is revoked, terminated, or not renewed for any 39306
reason or is surrendered in accordance with section 5123.19 of the 39307
Revised Code and after the issuance of an adjudication order 39308
pursuant to Chapter 119. of the Revised Code;39309

       (2) The number of such beds for which a licensee voluntarily 39310
converts to use for supported living on or after July 1, 2003.39311

       (C) The director is not required to reduce the maximum number 39312
of beds pursuant to division (B) of this section by a bed that 39313
ceases to be a residential facility bed if the director determines 39314
that the bed is needed to provide services to an individual with 39315
mental retardation or a developmental disability who resided in 39316
the residential facility in which the bed was located unless the 39317
reason the bed ceases to be a residential facility bed is because 39318
it is converted to providing home and community-based services 39319
under the ICF/MR conversion pilot program that is authorized by a 39320
waiver sought under division (B)(1) of section 5111.88 of the 39321
Revised Code.39322

       (D) The director shall increase the number of beds determined 39323
under division (B) of this section if necessary to enable the 39324
operator of a residential facility to do either of the following:39325

       (1) Obtain a residential facility license as required by 39326
section 5111.8814 of the Revised Code;39327

       (2) Reconvert beds to providing ICF/MR services under section 39328
5111.8811 of the Revised Code.39329

       (E) The director shall maintain an up-to-date written record 39330
of the maximum number of residential facility beds provided for by 39331
division (B) of this section.39332

       (F) The director may issue an interim license under division 39333
(R)(S) of section 5123.19 of the Revised Code and issue, pursuant 39334
to rules adopted under division (G)(H)(11) of that section, a 39335
waiver allowing a residential facility to admit more residents 39336
than the facility is licensed to admit regardless of whether the 39337
interim license or waiver will result in there being more beds in 39338
all residential facilities licensed under that section than is 39339
permitted under division (B) of this section.39340

       Sec. 5123.198. (A) As used in this section, "date of the 39341
commitment" means the date that an individual specified in 39342
division (B) of this section begins to reside in a state-operated 39343
intermediate care facility for the mentally retarded after being 39344
committed to the facility pursuant to sections 5123.71 to 5123.76 39345
of the Revised Code.39346

       (B) Except as provided in division (C) of this section, 39347
whenever a resident of a residential facility is committed to a 39348
state-operated intermediate care facility for the mentally 39349
retarded pursuant to sections 5123.71 to 5123.76 of the Revised 39350
Code, the department of mental retardation and developmental 39351
disabilities, pursuant to an adjudication order issued in 39352
accordance with Chapter 119. of the Revised Code, shall reduce by 39353
one the number of residents for which the facility in which the 39354
resident resided is licensed. 39355

       (C) The department shall not reduce under division (B) of 39356
this section the number of residents for which a residential 39357
facility is licensed if any of the following are the case:39358

       (1) The resident of the residential facility who is committed 39359
to a state-operated intermediate care facility for the mentally 39360
retarded resided in the residential facility because of the 39361
closure, on or after the effective date of this sectionJune 26, 39362
2003, of another state-operated intermediate care facility for the 39363
mentally retarded;39364

       (2) The residential facility admits within ninety days of the 39365
date of the commitment an individual who resides on the date of 39366
the commitment in a state-operated intermediate care facility for 39367
the mentally retarded or another residential facility;39368

       (3) The department fails to do either of the following within 39369
ninety days of the date of the commitment:39370

       (a) Identify an individual to whom all of the following 39371
applies:39372

       (i) Resides on the date of the commitment in a state-operated 39373
intermediate care facility for the mentally retarded or another 39374
residential facility;39375

       (ii) Has indicated to the department an interest in 39376
relocating to the residential facility or has a parent or guardian 39377
who has indicated to the department an interest for the individual 39378
to relocate to the residential facility;39379

       (iii) The department determines the individual has needs that 39380
the residential facility can meet.39381

       (b) Provide the residential facility with information about 39382
the individual identified under division (C)(2)(a) of this section 39383
that the residential facility needs in order to determine whether 39384
the facility can meet the individual's needs.39385

       (4) If the department completes the actions specified in 39386
divisions (C)(3)(a) and (b) of this section not later than ninety 39387
days after the date of the commitment and except as provided in 39388
division (D) of this section, the residential facility does all of 39389
the following not later than ninety days after the date of the 39390
commitment:39391

       (a) Evaluates the information provided by the department;39392

       (b) Assesses the identified individual's needs;39393

       (c) Determines that the residential facility cannot meet the 39394
identified individual's needs.39395

       (5) If the department completes the actions specified in 39396
divisions (C)(3)(a) and (b) of this section not later than ninety 39397
days after the date of the commitment and the residential facility 39398
determines that the residential facility can meet the identified 39399
individual's needs, the individual, or a parent or guardian of the 39400
individual, refuses placement in the residential facility.39401

       (D) The department may reduce under division (B) of this 39402
section the number of residents for which a residential facility 39403
is licensed even though the residential facility completes the 39404
actions specified in division (C)(4) of this section not later 39405
than ninety days after the date of the commitment if all of the 39406
following are the case:39407

       (1) The department disagrees with the residential facility's 39408
determination that the residential facility cannot meet the 39409
identified individual's needs.39410

       (2) The department issues a written decision pursuant to the 39411
uniform procedures for admissions, transfers, and discharges 39412
established by rules adopted under division (G)(H)(9) of section 39413
5123.19 of the Revised Code that the residential facility should 39414
admit the identified individual.39415

       (3) After the department issues the written decision 39416
specified in division (D)(2) of this section, the residential 39417
facility refuses to admit the identified individual.39418

       (E) A residential facility that admits, refuses to admit, 39419
transfers, or discharges a resident under this section shall 39420
comply with the uniform procedures for admissions, transfers, and 39421
discharges established by rules adopted under division (G)(H)(9) 39422
of section 5123.19 of the Revised Code.39423

       (F) The department of mental retardation and developmental 39424
disabilities may notify the department of job and family services 39425
of any reduction under this section in the number of residents for 39426
which a residential facility that is an intermediate care facility 39427
for the mentally retarded is licensed. On receiving the notice, 39428
the department of job and family services may transfer to the 39429
department of mental retardation and developmental disabilities 39430
the savings in the nonfederal share of medicaid expenditures for 39431
each fiscal year after the year of the commitment to be used for 39432
costs of the resident's care in the state-operated intermediate 39433
care facility for the mentally retarded. In determining the amount 39434
saved, the department of job and family services shall consider 39435
medicaid payments for the remaining residents of the facility in 39436
which the resident resided.39437

       Sec. 5123.20. As used in this section, "supported living"39438
has the same meaning as in section 5126.01 of the Revised Code.39439

       No person or government agency shall operate a residential39440
facility or receive a mentally retarded or developmentally39441
disabled person as a resident of a residential facility unless the 39442
facility is licensed under section 5123.19 of the Revised Code, 39443
and no person or governmental agency shall operate a respite care 39444
home or receive a mentally retarded or developmentally disabled 39445
person in a respite care home unless the home is certified under 39446
section 5126.05 of the Revised Code.39447

       No person or government agency shall provide supported living 39448
unless that person or government agency is certified under section 39449
5126.431 of the Revised Code.39450

       Sec. 5123.211.  (A) As used in this section, "residential39451
services" and "supported living" havehas the same meanings39452
meaning as in section 5126.01 of the Revised Code.39453

       (B) The department of mental retardation and developmental39454
disabilities shall provide or arrange provision of residential39455
services for each person who, on or after July 1, 1989, ceases to39456
be a resident of a state institution because of closure of the39457
institution or a reduction in the institution's population by39458
forty per cent or more within a period of one year. The services39459
shall be provided in the county in which the person chooses to39460
reside and shall consist of one of the following as determined39461
appropriate by the department in consultation with the county39462
board of mental retardation and developmental disabilities of the39463
county in which the services are to be provided:39464

       (1) Residential services provided pursuant to section 5123.18 39465
of the Revised Code;39466

       (2) Supported living provided pursuant to section 5123.182 of 39467
the Revised Code;39468

       (3) Residential services for which reimbursement is made39469
under the medical assistance program established under section39470
5111.01 of the Revised Code;39471

       (4)(3) Residential services provided in a manner or setting39472
approved by the director of mental retardation and developmental39473
disabilities.39474

       (C) Not less than six months prior to closing a state39475
institution or reducing a state institution's population by forty39476
per cent or more within a period of one year, the department shall 39477
identify those counties in which individuals leaving the39478
institution have chosen to reside and notify the county boards of39479
mental retardation and developmental disabilities in those39480
counties of the need to develop the services specified in division 39481
(B) of this section. The notice shall specify the number of 39482
individuals requiring services who plan to reside in the county 39483
and indicate the amount of funds the department will use to 39484
provide or arrange services for those individuals.39485

       (D) In each county in which one or more persons receive39486
residential services pursuant to division (B) of this section, the 39487
department shall provide or arrange provision of residential39488
services, or shall distribute moneys to the county board of mental 39489
retardation and developmental disabilities to provide or arrange 39490
provision of residential services, for an equal number of persons 39491
with mental retardation or developmental disabilities in that 39492
county who the county board has determined need residential39493
services but are not receiving them.39494

       Sec. 5123.38. (A) Except as provided in division (B) and (C) 39495
of this section, if an individual receiving supported living or 39496
home and community-based services, as defined in section 5126.01 39497
of the Revised Code, funded by a county board of mental 39498
retardation and developmental disabilities is committed to a 39499
state-operated intermediate care facility for the mentally 39500
retarded pursuant to sections 5123.71 to 5123.76 of the Revised 39501
Code, the department of mental retardation and developmental 39502
disabilities shall use the funds otherwise allocated to the county 39503
board as the nonfederal share of medicaid expenditures for the 39504
individual's care in the state-operated facility.39505

       (B) Division (A) of this section does not apply if the county 39506
board, not later than ninety days after the date of the commitment 39507
of a person receiving supported services, commences funding of 39508
supported living for an individual who resides in a state-operated 39509
intermediate care facility for the mentally retarded on the date 39510
of the commitment or another eligible individual designated by the 39511
department.39512

       (C) Division (A) of this section does not apply if the county 39513
board, not later than ninety days after the date of the commitment 39514
of a person receiving home and community-based services, commences 39515
funding of home and community-based services for an individual who 39516
resides in a state-operated intermediate care facility for the 39517
mentally retarded on the date of the commitment or another 39518
eligible individual designated by the department.39519

       Sec. 5123.41.  As used in this section and sections 5123.4239520
to 5123.47 of the Revised Code:39521

       (A) "Adult services" has the same meaning as in section39522
5126.01 of the Revised Code.39523

       (B) "Certified home and community-based services provider"39524
means a person or government entity certified under section 39525
5123.16 of the Revised Code.39526

       (C) "Certified supported living provider" means a person or39527
government entity certified under section 5126.4315123.161 of the 39528
Revised Code.39529

       (D)(C) "Drug" has the same meaning as in section 4729.01 of39530
the Revised Code.39531

       (E)(D) "Family support services" has the same meaning as in39532
section 5126.01 of the Revised Code.39533

       (F)(E) "Health-related activities" means the following:39534

       (1) Taking vital signs;39535

       (2) Application of clean dressings that do not require health39536
assessment;39537

       (3) Basic measurement of bodily intake and output;39538

       (4) Oral suctioning;39539

       (5) Use of glucometers;39540

       (6) External urinary catheter care;39541

       (7) Emptying and replacing colostomy bags;39542

       (8) Collection of specimens by noninvasive means.39543

       (G)(F) "Licensed health professional authorized to prescribe39544
drugs" has the same meaning as in section 4729.01 of the Revised39545
Code.39546

       (H) "Medicaid" has the same meaning as in section 5111.01 of39547
the Revised Code.39548

       (I)(G) "MR/DD personnel" means the employees and the workers39549
under contract who provide specialized services to individuals39550
with mental retardation and developmental disabilities. "MR/DD39551
personnel" includes those who provide the services as follows:39552

       (1) Through direct employment with the department of mental39553
retardation and developmental disabilities or a county board of39554
mental retardation and developmental disabilities;39555

       (2) Through an entity under contract with the department of39556
mental retardation and developmental disabilities or a county39557
board of mental retardation and developmental disabilities;39558

       (3) Through direct employment or by being under contract with 39559
private entities, including private entities that operate39560
residential facilities.39561

       (J)(H) "Nursing delegation" means the process established in39562
rules adopted by the board of nursing pursuant to Chapter 4723. of39563
the Revised Code under which a registered nurse or licensed39564
practical nurse acting at the direction of a registered nurse39565
transfers the performance of a particular nursing activity or task39566
to another person who is not otherwise authorized to perform the39567
activity or task.39568

       (K)(I) "Prescribed medication" means a drug that is to be39569
administered according to the instructions of a licensed health39570
professional authorized to prescribe drugs.39571

       (L)(J) "Residential facility" means a facility licensed under39572
section 5123.19 of the Revised Code or subject to section 5123.19239573
of the Revised Code.39574

       (M)(K) "Specialized services" has the same meaning as in39575
section 5123.50 of the Revised Code.39576

       (N)(L) "Tube feeding" means the provision of nutrition to an39577
individual through a gastrostomy tube or a jejunostomy tube.39578

       Sec. 5123.51.  (A) In addition to any other action required 39579
by sections 5123.61 and 5126.31 of the Revised Code, the39580
department of mental retardation and developmental disabilities 39581
shall review each report the department receives of abuse or 39582
neglect of an individual with mental retardation or a 39583
developmental disability or misappropriation of an individual's 39584
property that includes an allegation that an MR/DD employee 39585
committed or was responsible for the abuse, neglect, or 39586
misappropriation. The department shall review a report it receives 39587
from a public children services agency only after the agency39588
completes its investigation pursuant to section 2151.421 of the39589
Revised Code. On receipt of a notice under section 2930.061 or 39590
5123.541 of the Revised Code, the department shall review the 39591
notice.39592

       (B) The department shall do both of the following:39593

       (1) Investigate the allegation or adopt the findings of an 39594
investigation or review of the allegation conducted by another 39595
person or government entity and determine whether there is a 39596
reasonable basis for the allegation;39597

       (2) If the department determines that there is a reasonable 39598
basis for the allegation, conduct an adjudication pursuant to 39599
Chapter 119. of the Revised Code.39600

       (C)(1) The department shall appoint an independent hearing 39601
officer to conduct any hearing conducted pursuant to division 39602
(B)(2) of this section, except that, if the hearing is regarding 39603
an employee of the department who is represented by a union, the 39604
department and a representative of the union shall jointly select 39605
the hearing officer.39606

       (2)(a) Except as provided in division (C)(2)(b) of this 39607
section, no hearing shall be conducted under division (B)(2) of 39608
this section until any criminal proceeding or collective 39609
bargaining arbitration concerning the same allegation has39610
concluded.39611

       (b) The department may conduct a hearing pursuant to division 39612
(B)(2) of this section before a criminal proceeding concerning the 39613
same allegation is concluded if both of the following are the 39614
case:39615

        (i) The department notifies the prosecutor responsible for 39616
the criminal proceeding that the department proposes to conduct a 39617
hearing.39618

        (ii) The prosecutor consents to the hearing.39619

       (3) In conducting a hearing pursuant to division (B)(2) of 39620
this section, the hearing officer shall do all of the following:39621

       (a) Determine whether there is clear and convincing evidence 39622
that the MR/DD employee has done any of the following:39623

       (i) Misappropriated property of one or more individuals with 39624
mental retardation or a developmental disability that has a value, 39625
either separately or taken together, of one hundred dollars or 39626
more;39627

       (ii) Misappropriated property of an individual with mental 39628
retardation or a developmental disability that is designed to be 39629
used as a check, draft, negotiable instrument, credit card, charge 39630
card, or device for initiating an electronic fund transfer at a 39631
point of sale terminal, automated teller machine, or cash 39632
dispensing machine;39633

       (iii) Knowingly abused such an individual;39634

       (iv) Recklessly abused or neglected such an individual, with39635
resulting physical harm;39636

       (v) Negligently abused or neglected such an individual, with39637
resulting serious physical harm;39638

       (vi) Recklessly neglected such an individual, creating a 39639
substantial risk of serious physical harm;39640

       (vii) Engaged in sexual conduct or had sexual contact with an 39641
individual with mental retardation or another developmental 39642
disability who was not the MR/DD employee's spouse and for whom 39643
the MR/DD employee was employed or under a contract to provide 39644
care;39645

       (viii) Unreasonably failed to make a report pursuant to 39646
division (C) of section 5123.61 of the Revised Code when the 39647
employee knew or should have known that the failure would result 39648
in a substantial risk of harm to an individual with mental 39649
retardation or a developmental disability.39650

       (b) Give weight to the decision in any collective bargaining39651
arbitration regarding the same allegation;39652

        (c) Give weight to any relevant facts presented at the 39653
hearing.39654

       (D)(1) Unless the director of mental retardation and39655
developmental disabilities determines that there are extenuating 39656
circumstances and except as provided in division (E) of this 39657
section, if the director, after considering all of the factors 39658
listed in division (C)(3) of this section, finds that there is 39659
clear and convincing evidence that an MR/DD employee has done one 39660
or more of the things described in division (C)(3)(a) of this 39661
section the director shall include the name of the employee in the 39662
registry established under section 5123.52 of the Revised Code.39663

       (2) Extenuating circumstances the director must consider 39664
include the use of physical force by an MR/DD employee that was 39665
necessary as self-defense.39666

       (3) If the director includes an MR/DD employee in the 39667
registry established under section 5123.52 of the Revised Code, 39668
the director shall notify the employee, the person or government 39669
entity that employs or contracts with the employee, the individual 39670
with mental retardation or a developmental disability who was the 39671
subject of the report and that individual's legal guardian, if 39672
any, the attorney general, and the prosecuting attorney or other39673
law enforcement agency. If the MR/DD employee holds a license,39674
certificate, registration, or other authorization to engage in a 39675
profession issued pursuant to Title XLVII of the Revised Code, the 39676
director shall notify the appropriate agency, board, department, 39677
or other entity responsible for regulating the employee's 39678
professional practice.39679

       (4) If an individual whose name appears on the registry is 39680
involved in a court proceeding or arbitration arising from the 39681
same facts as the allegation resulting in the individual's 39682
placement on the registry, the disposition of the proceeding or 39683
arbitration shall be noted in the registry next to the 39684
individual's name.39685

       (E) In the case of an allegation concerning an employee of 39686
the department, after the hearing conducted pursuant to division 39687
(B)(2) of this section, the director of health or that director's 39688
designee shall review the decision of the hearing officer to 39689
determine whether the standard described in division (C)(3) of 39690
this section has been met. If the director or designee determines 39691
that the standard has been met and that no extenuating39692
circumstances exist, the director or designee shall notify the 39693
director of mental retardation and developmental disabilities that 39694
the MR/DD employee is to be included in the registry established 39695
under section 5123.52 of the Revised Code. If the director of 39696
mental retardation and developmental disabilities receives such 39697
notification, the director shall include the MR/DD employee in the39698
registry and shall provide the notification described in division 39699
(D)(3) of this section.39700

       (F) If the department is required by Chapter 119. of the 39701
Revised Code to give notice of an opportunity for a hearing and 39702
the MR/DD employee subject to the notice does not timely request a 39703
hearing in accordance with section 119.07 or 5123.0414 of the 39704
Revised Code, the department is not required to hold a hearing.39705

       (G) Files and records of investigations conducted pursuant to 39706
this section are not public records as defined in section 149.43 39707
of the Revised Code, but, on request, the department shall provide39708
copies of those files and records to the attorney general, a 39709
prosecuting attorney, or a law enforcement agency.39710

       Sec. 5123.60.  (A) A legal rights service is hereby created39711
and established to protect and advocate the rights of mentally ill39712
persons, mentally retarded persons, developmentally disabled39713
persons, and other disabled persons who may be represented by the39714
service pursuant to division (L) of this section; to receive and39715
act upon complaints concerning institutional and hospital39716
practices and conditions of institutions for mentally retarded or39717
developmentally disabled persons and hospitals for the mentally39718
ill; and to assure that all persons detained, hospitalized,39719
discharged, or institutionalized, and all persons whose detention,39720
hospitalization, discharge, or institutionalization is sought or39721
has been sought under this chapter or Chapter 5122. of the Revised39722
Code are fully informed of their rights and adequately represented39723
by counsel in proceedings under this chapter or Chapter 5122. of39724
the Revised Code and in any proceedings to secure the rights of 39725
those persons. Notwithstanding the definitions of "mentally39726
retarded person" and "developmentally disabled person" in section39727
5123.01 of the Revised Code, the legal rights service shall39728
determine who is a mentally retarded or developmentally disabled39729
person for purposes of this section and sections 5123.601 to39730
5123.604 of the Revised Code.If the legal rights service obtains 39731
any information in furtherance of its duties and state or federal 39732
law requires the source of that information to maintain the 39733
information confidentially, the legal rights service shall 39734
maintain that information confidentially in accordance with the 39735
law applicable to the source of the information. The legal rights 39736
service may disclose such information only in accordance with the 39737
law applicable to the source of the information.39738

       (B)(1) In regard to those persons detained, hospitalized, or39739
institutionalized under Chapter 5122. of the Revised Code, the39740
legal rights service shall undertake formal representation only of39741
those persons who are involuntarily detained, hospitalized, or39742
institutionalized pursuant to sections 5122.10 to 5122.15 of the39743
Revised Code, and those voluntarily detained, hospitalized, or39744
institutionalized who are minors, who have been adjudicated39745
incompetent, who have been detained, hospitalized, or39746
institutionalized in a public hospital, or who have requested39747
representation by the legal rights service. If39748

       (2) If a person referred to in division (A) of this section 39749
voluntarily requests in writing that the legal rights service 39750
terminate participation in the person's case, such involvement 39751
shall cease.39752

       (3) Persons described in divisions (A) and (B)(1) of this 39753
section who are formally represented by the legal rights service 39754
are clients of the legal rights service.39755

       (C) Any person voluntarily hospitalized or institutionalized39756
in a public hospital under division (A) of section 5122.02 of the39757
Revised Code, after being fully informed of the person's rights 39758
under division (A) of this section, may, by written request, waive39759
assistance by the legal rights service if the waiver is knowingly39760
and intelligently made, without duress or coercion.39761

       The waiver may be rescinded at any time by the voluntary39762
patient or resident, or by the voluntary patient's or resident's39763
legal guardian.39764

       (D)(1) The legal rights service commission is hereby created39765
for the purposes of appointing an administrator of the legal39766
rights service, advising the administrator, assisting the39767
administrator in developing a budget, advising the administrator 39768
in establishing and annually reviewing a strategic plan, creating 39769
a procedure for filing and determination of grievances against the 39770
legal rights service, and establishing general policy guidelines, 39771
including guidelines for the commencement of litigation, for the 39772
legal rights service. The commission may adopt rules to carry 39773
these purposes into effect and may receive and act upon appeals of 39774
personnel decisions by the administrator.39775

       (2) The commission shall consist of seven members. One39776
member, who shall serve as chairperson, shall be appointed by the39777
chief justice of the supreme court, three members shall be39778
appointed by the speaker of the house of representatives, and39779
three members shall be appointed by the president of the senate.39780
At least two members shall have experience in the field of39781
developmental disabilities, and at least two members shall have39782
experience in the field of mental health. No member shall be a39783
provider or related to a provider of services to mentally39784
retarded, developmentally disabled, or mentally ill persons.39785

       (3) Terms of office of the members of the commission shall be39786
for three years, each term ending on the same day of the month of 39787
the year as did the term which it succeeds. Each member shall39788
serve subsequent to the expiration of the member's term until a39789
successor is appointed and qualifies, or until sixty days has39790
elapsed, whichever occurs first. No member shall serve more than39791
two consecutive terms.39792

       All vacancies in the membership of the commission shall be39793
filled in the manner prescribed for regular appointments to the39794
commission and shall be limited to the unexpired terms.39795

       (4) The commission shall meet at least four times each year.39796
Members shall be reimbursed for their necessary and actual39797
expenses incurred in the performance of their official duties.39798

       (5) The administrator of the legal rights service shall serve 39799
at the pleasure of the commission.39800

       The administrator shall be a person who has had special39801
training and experience in the type of work with which the legal39802
rights service is charged. If the administrator is not an39803
attorney, the administrator shall seek legal counsel when39804
appropriate. The salary of the administrator shall be established39805
in accordance with section 124.14 of the Revised Code.39806

       (E) The legal rights service shall be completely independent39807
of the department of mental health and the department of mental39808
retardation and developmental disabilities and, notwithstanding39809
section 109.02 of the Revised Code, shall also be independent of39810
the office of the attorney general. The administrator of the legal 39811
rights service, staff, and attorneys designated by the39812
administrator to represent persons detained, hospitalized, or39813
institutionalized under this chapter or Chapter 5122. of the39814
Revised Code shall have ready access to the following:39815

       (1) During normal business hours and at other reasonable39816
times, all records relating to expenditures of state and federal39817
funds or to the commitment, care, treatment, and habilitation of39818
all persons represented by the legal rights service, including39819
those who may be represented pursuant to division (L) of this39820
section, or persons detained, hospitalized, institutionalized, or39821
receiving services under this chapter or Chapter 340., 5119.,39822
5122., or 5126. of the Revised Code that are records maintained by39823
the following entities providing services for those persons:39824
departments; institutions; hospitals; community residential39825
facilities; boards of alcohol, drug addiction, and mental health39826
services; county boards of mental retardation and developmental39827
disabilities; contract agencies of those boards; and any other39828
entity providing services to persons who may be represented by the39829
service pursuant to division (L) of this section;39830

       (2) Any records maintained in computerized data banks of the39831
departments or boards or, in the case of persons who may be39832
represented by the service pursuant to division (L) of this39833
section, any other entity that provides services to those persons;39834

       (3) During their normal working hours, personnel of the39835
departments, facilities, boards, agencies, institutions,39836
hospitals, and other service-providing entities;39837

       (4) At any time, all persons detained, hospitalized, or39838
institutionalized; persons receiving services under this chapter39839
or Chapter 340., 5119., 5122., or 5126. of the Revised Code; and39840
persons who may be represented by the service pursuant to division39841
(L) of this sectionall records of mentally ill persons, mentally 39842
retarded persons, and developmentally disabled persons in 39843
accordance with 42 U.S.C. 10805 and 15043.39844

       (F) The administrator of the legal rights service shall do39845
the following:39846

       (1) Administer and organize the work of the legal rights39847
service and establish administrative or geographic divisions as39848
the administrator considers necessary, proper, and expedient;39849

       (2) Adopt and promulgate rules that are not in conflict with 39850
rules adopted by the commission and prescribe duties for the39851
efficient conduct of the business and general administration of39852
the legal rights service;39853

       (3) Appoint and discharge employees, and hire experts,39854
consultants, advisors, or other professionally qualified persons39855
as the administrator considers necessary to carry out the duties39856
of the legal rights service;39857

       (4) Apply for and accept grants of funds, and accept39858
charitable gifts and bequests;39859

       (5) Prepare and submit a budget to the general assembly for39860
the operation of the legal rights service. At least thirty days 39861
prior to submitting the budget to the general assembly, the 39862
administrator shall provide a copy of the budget to the commission 39863
for review and comment. When submitting the budget to the general 39864
assembly, the administrator shall include a copy of any written 39865
comments returned by the commission to the administrator.39866

       (6) Enter into contracts and make expenditures necessary for 39867
the efficient operation of the legal rights service;39868

       (7) Annually prepare a report of activities and submit copies 39869
of the report to the governor, the chief justice of the supreme 39870
court, the president of the senate, the speaker of the house of 39871
representatives, the director of mental health, and the director 39872
of mental retardation and developmental disabilities, and make the 39873
report available to the public;39874

       (8) Upon request of the commission or of the chairperson of 39875
the commission, report to the commission on specific litigation 39876
issues or activities.39877

       (G)(1) The legal rights service may act directly or contract39878
with other organizations or individuals for the provision of the39879
services envisioned under this section.39880

       (2) Whenever possible, the administrator shall attempt to39881
facilitate the resolution of complaints through administrative39882
channels. Subject to division (G)(3) of this section, if attempts39883
at administrative resolution prove unsatisfactory, the39884
administrator may pursue any legal, administrative, and other39885
appropriate remedies or approaches that may be necessary to39886
accomplish the purposes of this section.39887

       (3) The administrator may not pursue a class action lawsuit39888
under division (G)(2) of this section when attempts at39889
administrative resolution of a complaint prove unsatisfactory39890
under that division unless both of the following have first39891
occurred:39892

       (a) At least four members of the commission, by their39893
affirmative vote, have consented to the pursuit of the class39894
action lawsuit;39895

       (b) At least five members of the commission are present at39896
the meeting of the commission at which that consent is obtained.39897

       (4) Subject to division (G)(5) of this section, relationships 39898
between personnel and the agents of the legal rights service and 39899
its clients shall be fiduciary relationships, and all39900
communications shall be confidential, as if between attorney and39901
client.39902

       (5) Any person who has been represented by the legal rights 39903
service or who has applied for and been denied representation and 39904
who files a grievance with the service concerning the 39905
representation or application may appeal the decision of the 39906
service on the grievance to the commission. The person may appeal 39907
notwithstanding any objections of the person's legal guardian. The 39908
commission may examine any records relevant to the appeal and 39909
shall maintain the confidentiality of any records that are 39910
required to be kept confidential.39911

       (H) The legal rights service, on the order of the39912
administrator, with the approval by an affirmative vote of at39913
least four members of the commission, may compel by subpoena the39914
appearance and sworn testimony of any person the administrator39915
reasonably believes may be able to provide information or to39916
produce any documents, books, records, papers, or other39917
information necessary to carry out its duties.39918

       (I) The legal rights service may conduct public hearings.39919

       (J) The legal rights service may request from any39920
governmental agency any cooperation, assistance, services, or data39921
that will enable it to perform its duties.39922

       (K) In any malpractice action filed against the administrator 39923
of the legal rights service, a member of the staff of the legal 39924
rights service, or an attorney designated by the administrator to 39925
perform legal services under division (E) of this section, the 39926
state shall, when the administrator, member, or attorney has acted 39927
in good faith and in the scope of employment, indemnify the 39928
administrator, member, or attorney for any judgment awarded or 39929
amount negotiated in settlement, and for any court costs or legal 39930
fees incurred in defense of the claim.39931

       This division does not limit or waive, and shall not be39932
construed to limit or waive, any defense that is available to the39933
legal rights service, its administrator or employees, persons39934
under a personal services contract with it, or persons designated39935
under division (E) of this section, including, but not limited to,39936
any defense available under section 9.86 of the Revised Code.39937

       (L) In addition to providing services to mentally ill,39938
mentally retarded, or developmentally disabled persons, when a39939
grant authorizing the provision of services to other individuals39940
is accepted pursuant to division (F)(4) of this section, the legal39941
rights service and its ombudsperson section may provide advocacy39942
or ombudsperson services to those other individuals and exercise39943
any other authority granted by this section or sections 5123.60139944
to 5123.604 of the Revised Code on behalf of those individuals.39945
Determinations of whether an individual is eligible for services39946
under this division shall be made by the legal rights service.39947

       (M) As used in this section and sections 5123.601 to 5123.604 39948
of the Revised Code, "mentally ill person" means a person to whom 39949
both of the following apply:39950

        (1) The person has a significant mental illness or emotional 39951
impairment, as determined by a mental health professional 39952
qualified under the laws and rules of this state.39953

        (2) One of the following applies to the person:39954

        (a) The person is an inpatient or resident in a facility 39955
rendering care or treatment, even if the whereabouts of the person 39956
are unknown.39957

        (b) The person is in the process of being admitted to a 39958
facility rendering care or treatment, including persons being 39959
transported to such a facility.39960

        (c) The person is involuntarily confined in a municipal 39961
detention facility for reasons other than serving a sentence 39962
resulting from conviction of or plea of guilty to a criminal 39963
offense.39964

        (d) The person lives in a community setting, including the 39965
person's own home.39966

       Sec. 5123.602.  The ombudsmanombudsperson section of the 39967
legal rights service may, in order to carry out its duties under 39968
this chapter, make necessary inquiries and obtain information it 39969
considers necessary. For those purposes the section shall have39970
ready access to the premises and records of all providers of 39971
services to mentally retarded, developmentally disabled, or 39972
mentally ill persons and shall have the right to communicate in a 39973
private and confidential setting with any mentally retarded, 39974
developmentally disabled, or mentally ill persons,and with their 39975
parents, guardians, or advocates, and with employees of any 39976
provider.39977

       Sec. 5123.603.  The ombudsmanombudsperson section of the 39978
legal rights service shall:39979

       (A) Publicize its existence, functions, and activities, and 39980
the procedures for filing a complaint under section 5123.601 of 39981
the Revised Code, and send this information in written form to39982
each provider with instructions that the information is to be39983
posted in a conspicuous place accessible to residents, visitors,39984
and employees;39985

       (B) Maintain the confidentiality of all its records and39986
files;39987

       (C) Not be required to testify in any court with respect to 39988
any matters it is required to maintain as confidential;39989

       (D)(C) Collect, compile, and analyze data relating to39990
complaints, investigations, or other actions or conditions, for39991
the purpose of helping prepare the annual report required by39992
division (F)(7) of section 5123.60 of the Revised Code and39993
identifying and resolving significant systemic problems affecting39994
mentally retarded, developmentally disabled, or mentally ill39995
persons;39996

       (E)(D) Recommend or propose to other governmental agencies39997
changes in policies and rules that affect mentally retarded,39998
developmentally disabled, or mentally ill persons;39999

       (F)(E) Establish, maintain, and publicize a toll-free number40000
for receiving complaints.40001

       Sec. 5123.604.  (A) No one shall take a discriminatory,40002
disciplinary, or retaliatory action against any officer or40003
employee of a provider, any mentally retarded, developmentally40004
disabled, or mentally ill person, the parents or guardian of a40005
mentally retarded, developmentally disabled, or mentally ill40006
person, or any volunteer or advocate for a mentally retarded,40007
developmentally disabled, or mentally ill person, for any40008
communication these persons make or information they disclose in40009
good faith to the ombudsperson section of the legal rights 40010
service.40011

       (B) No person shall knowingly interfere with lawful actions 40012
of the ombudsperson section, refuse entry to its representatives, 40013
fail to comply with its lawful demands, or offer any compensation, 40014
gratuity, or promise thereof in an effort to influence the outcome 40015
of any matter being considered by the section.40016

       (C) The department of mental retardation and developmental40017
disabilities shall immediately notify the ombudsperson section of40018
all investigations of major unusual incidents or life-threatening40019
situations, as defined in rules adopted by the department,40020
involving mentally retarded and developmentally disabled persons,40021
and shall furnish copies of all relevant reports within40022
forty-eight hours after receipt. The department of mental health40023
shall notify the ombudsperson section of all major unusual40024
reportable incidents or life-threatening situations, as defined in 40025
rules adopted by the department, involving mentally ill persons 40026
within forty-eight hours after receipt of the report of the 40027
incident or situation. The departments of health and job and 40028
family services shall notify the department of mental retardation 40029
and developmental disabilities of all allegations and 40030
investigations of abuse, neglect, or life-threatening situations 40031
involving mentally retarded or developmentally disabled persons. 40032
Any other state agency with information concerning abuse, neglect, 40033
or life-threatening situations involving mentally retarded or 40034
developmentally disabled persons shall report that information 40035
immediately to the department of mental retardation and 40036
developmental disabilities.40037

       Nothing in this section or section 5123.60, 5123.601, or40038
5123.602 of the Revised Code shall preclude any department or40039
board, its contract agencies, a community residential facility, or 40040
other governmental entity from carrying out its responsibility as 40041
prescribed by law.40042

       Sec. 5123.605. There is hereby created in the state treasury 40043
the program income fund. Revenue generated from settlements, 40044
gifts, donations, and other sources of legal rights service 40045
program income shall be credited to the fund. The program income 40046
fund shall be used to support legal rights service programs for 40047
purposes from which the income was derived and for the general 40048
support of legal rights service programs.40049

       Sec. 5123.99.  (A) Whoever violates section 5123.16 or40050
5123.20 of the Revised Code is guilty of a misdemeanor of the 40051
first degree.40052

       (B) Whoever violates division (C), (E), or (G)(3) of section 40053
5123.61 of the Revised Code is guilty of a misdemeanor of the 40054
fourth degree or, if the abuse or neglect constitutes a felony, a 40055
misdemeanor of the second degree. In addition to any other 40056
sanction or penalty authorized or required by law, if a person who 40057
is convicted of or pleads guilty to a violation of division (C), 40058
(E), or (G)(3) of section 5123.61 of the Revised Code is an MR/DD 40059
employee, as defined in section 5123.50 of the Revised Code, the 40060
offender shall be eligible to be included in the registry 40061
regarding misappropriation, abuse, neglect, or other specified 40062
misconduct by MR/DD employees established under section 5123.52 of 40063
the Revised Code.40064

       (C) Whoever violates division (A) of section 5123.604 of the 40065
Revised Code is guilty of a misdemeanor of the second degree.40066

       (D) Whoever violates division (B) of section 5123.604 of the 40067
Revised Code shall be fined not more than one thousand dollars. 40068
Each violation constitutes a separate offense.40069

       Sec. 5126.038.  (A)(1) As used in this section, "professional 40070
services" means all of the following services provided on behalf 40071
of a county board of mental retardation and developmental 40072
disabilities, members or employees of a county board, or both:40073

       (a)(1) Lobbying and other governmental affairs services;40074

       (b)(2) Legal services other than the legal services provided 40075
by a county prosecutor or provided for the purpose of collective 40076
bargaining;40077

       (c)(3) Public relation services;40078

       (d)(4) Consulting services;40079

       (e)(5) Personnel training services, not including tuition or 40080
professional growth reimbursement programs for county board 40081
members or employees.40082

       (2) "Professional services" does not mean services provided 40083
pursuant to a service contract as defined in section 5126.035 of 40084
the Revised Code.40085

       (B) Each county board of mental retardation and developmental 40086
disabilities shall submit to the board of county commissioners of 40087
each county that is served by the county board, in accordance with 40088
the normal budget process and as part of its budget request, a 40089
list identifying the total expenditures projected for any of the 40090
following:40091

       (1) Any membership dues of the members or employees of the 40092
county board, in any organization, association, or other entity;40093

       (2) Any professional services of the county board, its 40094
members or employees, or both;40095

       (3) Any training of the members or employees of the county 40096
board.40097

       Sec. 5126.042.  (A) As used in this section, "emergency" 40098
means any situation that creates for an individual with mental 40099
retardation or developmental disabilities a risk of substantial 40100
self-harm or substantial harm to others if action is not taken40101
within thirty days. An "emergency" may include one or more of the 40102
following situations:40103

       (1) Loss of present residence for any reason, including legal40104
action;40105

       (2) Loss of present caretaker for any reason, including40106
serious illness of the caretaker, change in the caretaker's40107
status, or inability of the caretaker to perform effectively for40108
the individual;40109

       (3) Abuse, neglect, or exploitation of the individual;40110

       (4) Health and safety conditions that pose a serious risk to40111
the individual or others of immediate harm or death;40112

       (5) Change in the emotional or physical condition of the40113
individual that necessitates substantial accommodation that cannot40114
be reasonably provided by the individual's existing caretaker.40115

       (B) If a county board of mental retardation and developmental 40116
disabilities determines that available resources are not 40117
sufficient to meet the needs of all individuals who request40118
programs and services and may be offered the programs and40119
services, it shall establish waiting lists for services. The board 40120
may establish priorities for making placements on its waiting 40121
lists according to an individual's emergency status and shall 40122
establish priorities in accordance with divisions (D) and (E) of 40123
this section.40124

       The individuals who may be placed on a waiting list include40125
individuals with a need for services on an emergency basis and40126
individuals who have requested services for which resources are40127
not available.40128

       Except for an individual who is to receive priority for40129
services pursuant to division (D)(3) of this section, an40130
individual who currently receives a service but would like to40131
change to another service shall not be placed on a waiting list40132
but shall be placed on a service substitution list. The board40133
shall work with the individual, service providers, and all40134
appropriate entities to facilitate the change in service as40135
expeditiously as possible. The board may establish priorities for40136
making placements on its service substitution lists according to40137
an individual's emergency status.40138

       In addition to maintaining waiting lists and service40139
substitution lists, a board shall maintain a long-term service40140
planning registry for individuals who wish to record their40141
intention to request in the future a service they are not40142
currently receiving. The purpose of the registry is to enable the40143
board to document requests and to plan appropriately. The board40144
may not place an individual on the registry who meets the40145
conditions for receipt of services on an emergency basis.40146

       (C) A county board shall establish a separate waiting list40147
for each of the following categories of services, and may40148
establish separate waiting lists within the waiting lists:40149

       (1) Early childhood services;40150

       (2) Educational programs for preschool and school age40151
children;40152

       (3) Adult services;40153

       (4) Service and support administration;40154

       (5) Residential services and supported living;40155

       (6) Transportation services;40156

       (7) Other services determined necessary and appropriate for40157
persons with mental retardation or a developmental disability40158
according to their individual habilitation or service plans;40159

       (8) Family support services provided under section 5126.11 of 40160
the Revised Code.40161

       (D) Except as provided in division (G) of this section, a40162
county board shall do, as priorities, all of the following in40163
accordance with the assessment component, approved under section40164
5123.046 of the Revised Code, of the county board's plan developed40165
under section 5126.054 of the Revised Code:40166

       (1) For the purpose of obtaining additional federal medicaid40167
funds for home and community-based services and medicaid case40168
management services, do both of the following:40169

       (a) Give an individual who is eligible for home and40170
community-based services and meets both of the following40171
requirements priority over any other individual on a waiting list40172
established under division (C) of this section for home and40173
community-based services that include supported living,40174
residential services, or family support services:40175

       (i) Is twenty-two years of age or older;40176

       (ii) Receives supported living or family support services.40177

       (b) Give an individual who is eligible for home and40178
community-based services and meets both of the following40179
requirements priority over any other individual on a waiting list40180
established under division (C) of this section for home and40181
community-based services that include adult services:40182

       (i) Resides in the individual's own home or the home of the40183
individual's family and will continue to reside in that home after40184
enrollment in home and community-based services;40185

       (ii) Receives adult services from the county board.40186

       (2) As federal medicaid funds become available pursuant to40187
division (D)(1) of this section, give an individual who is40188
eligible for home and community-based services and meets any of40189
the following requirements priority for such services over any40190
other individual on a waiting list established under division (C)40191
of this section:40192

       (a) Does not receive residential services or supported40193
living, either needs services in the individual's current living40194
arrangement or will need services in a new living arrangement, and40195
has a primary caregiver who is sixty years of age or older;40196

       (b) Is less than twenty-two years of age and has at least one 40197
of the following service needs that are unusual in scope or40198
intensity:40199

       (i) Severe behavior problems for which a behavior support40200
plan is needed;40201

       (ii) An emotional disorder for which anti-psychotic40202
medication is needed;40203

       (iii) A medical condition that leaves the individual40204
dependent on life-support medical technology;40205

       (iv) A condition affecting multiple body systems for which a40206
combination of specialized medical, psychological, educational, or40207
habilitation services are needed;40208

       (v) A condition the county board determines to be comparable40209
in severity to any condition described in divisiondivisions40210
(D)(2)(b)(i) to (iv) of this section and places the individual at40211
significant risk of institutionalization.40212

       (c) Is twenty-two years of age or older, does not receive40213
residential services or supported living, and is determined by the40214
county board to have intensive needs for home and community-based40215
services on an in-home or out-of-home basis.40216

       (3) In fiscal years 2002 and 2003, give an individual who is40217
eligible for home and community-based services, resides in an40218
intermediate care facility for the mentally retarded or nursing40219
facility, chooses to move to another setting with the help of home40220
and community-based services, and has been determined by the40221
department of mental retardation and developmental disabilities to40222
be capable of residing in the other setting, priority over any40223
other individual on a waiting list established under division (C)40224
of this section for home and community-based services who does not40225
meet these criteria. The department of mental retardation and40226
developmental disabilities shall identify the individuals to40227
receive priority under division (D)(3) of this section, assess the40228
needs of the individuals, and notify the county boards that are to40229
provide the individuals priority under division (D)(3) of this40230
section of the individuals identified by the department and the40231
individuals' assessed needs.40232

       (E) Except as provided in division (G) of this section and 40233
for a number of years and beginning on a date specified in rules 40234
adopted under division (K) of this section, a county board shall 40235
give an individual who is eligible for home and community-based 40236
services, resides in a nursing facility, and chooses to move to 40237
another setting with the help of home and community-based 40238
services, priority over any other individual on a waiting list 40239
established under division (C) of this section for home and 40240
community-based services who does not meet these criteria.40241

       (F) If two or more individuals on a waiting list established40242
under division (C) of this section for home and community-based40243
services have priority for the services pursuant to division40244
(D)(1) or (2) or (E) of this section, a county board may use,40245
until December 31, 20072009, criteria specified in rules adopted 40246
under division (K)(2) of this section in determining the order in 40247
which the individuals with priority will be offered the services.40248
Otherwise, the county board shall offer the home and40249
community-based services to such individuals in the order they are40250
placed on the waiting list.40251

       (G)(1) No individual may receive priority for services40252
pursuant to division (D) or (E) of this section over an individual40253
placed on a waiting list established under division (C) of this40254
section on an emergency status.40255

       (2) No more than four hundred individuals in the state may40256
receive priority for services during the 20062008 and 2007200940257
biennium pursuant to division (D)(2)(b) of this section.40258

       (3) No more than a total of seventy-five individuals in the40259
state may receive priority for services during state fiscal years40260
2002 and 2003 pursuant to division (D)(3) of this section.40261

       (4) No more than forty individuals in the state may receive 40262
priority for services pursuant to division (E) of this section for 40263
each year that priority category is in effect as specified in 40264
rules adopted under division (K) of this section.40265

       (H) Prior to establishing any waiting list under this40266
section, a county board shall develop and implement a policy for40267
waiting lists that complies with this section and rules adopted40268
under division (K) of this section.40269

       Prior to placing an individual on a waiting list, the county40270
board shall assess the service needs of the individual in40271
accordance with all applicable state and federal laws. The county40272
board shall place the individual on the appropriate waiting list40273
and may place the individual on more than one waiting list. The40274
county board shall notify the individual of the individual's40275
placement and position on each waiting list on which the40276
individual is placed.40277

       At least annually, the county board shall reassess the40278
service needs of each individual on a waiting list. If it40279
determines that an individual no longer needs a program or40280
service, the county board shall remove the individual from the40281
waiting list. If it determines that an individual needs a program40282
or service other than the one for which the individual is on the40283
waiting list, the county board shall provide the program or40284
service to the individual or place the individual on a waiting40285
list for the program or service in accordance with the board's40286
policy for waiting lists.40287

       When a program or service for which there is a waiting list40288
becomes available, the county board shall reassess the service40289
needs of the individual next scheduled on the waiting list to40290
receive that program or service. If the reassessment demonstrates40291
that the individual continues to need the program or service, the40292
board shall offer the program or service to the individual. If it40293
determines that an individual no longer needs a program or40294
service, the county board shall remove the individual from the40295
waiting list. If it determines that an individual needs a program40296
or service other than the one for which the individual is on the40297
waiting list, the county board shall provide the program or40298
service to the individual or place the individual on a waiting40299
list for the program or service in accordance with the board's40300
policy for waiting lists. The county board shall notify the40301
individual of the individual's placement and position on the40302
waiting list on which the individual is placed.40303

       (I) A child subject to a determination made pursuant to40304
section 121.38 of the Revised Code who requires the home and40305
community-based services provided through a medicaid component40306
that the department of mental retardation and developmental40307
disabilities administers under section 5111.871 of the Revised40308
Code shall receive services through that medicaid component. For40309
all other services, a child subject to a determination made40310
pursuant to section 121.38 of the Revised Code shall be treated as40311
an emergency by the county boards and shall not be subject to a40312
waiting list.40313

       (J) Not later than the fifteenth day of March of each40314
even-numbered year, each county board shall prepare and submit to40315
the director of mental retardation and developmental disabilities40316
its recommendations for the funding of services for individuals40317
with mental retardation and developmental disabilities and its40318
proposals for reducing the waiting lists for services.40319

       (K)(1) The department of mental retardation and developmental40320
disabilities shall adopt rules in accordance with Chapter 119. of40321
the Revised Code governing waiting lists established under this40322
section. The rules shall include procedures to be followed to40323
ensure that the due process rights of individuals placed on40324
waiting lists are not violated.40325

       (2) As part of the rules adopted under this division, the40326
department shall adopt rules establishing criteria a county board 40327
may use under division (F) of this section in determining the 40328
order in which individuals with priority for home and 40329
community-based services will be offered the services. The rules 40330
shall also specify conditions under which a county board, when 40331
there is no individual with priority for home and community-based 40332
services pursuant to division (D)(1) or (2) or (E) of this section 40333
available and appropriate for the services, may offer the services 40334
to an individual on a waiting list for the services but not given 40335
such priority for the services. The rules adopted under division 40336
(K)(2) of this section shall cease to have effect December 31, 40337
20072009.40338

       (3) As part of the rules adopted under this division, the 40339
department shall adopt rules specifying both of the following for 40340
the priority category established under division (E) of this 40341
section:40342

        (a) The number of years, which shall not exceed five, that 40343
the priority category will be in effect;40344

        (b) The date that the priority category is to go into effect.40345

        (L) The following shall take precedence over the applicable40346
provisions of this section:40347

       (1) Medicaid rules and regulations;40348

       (2) Any specific requirements that may be contained within a40349
medicaid state plan amendment or waiver program that a county40350
board has authority to administer or with respect to which it has40351
authority to provide services, programs, or supports.40352

       Sec. 5126.046. (A) Each county board of mental retardation40353
and developmental disabilities that has medicaid local40354
administrative authority under division (A) of section 5126.055 of40355
the Revised Code for habilitation, vocational, or community40356
employment services provided as part of home and community-based40357
services shall create a list of all persons and government40358
entities eligible to provide such habilitation, vocational, or40359
community employment services. If the county board chooses and is40360
eligible to provide such habilitation, vocational, or community40361
employment services, the county board shall include itself on the40362
list. The county board shall make the list available to each40363
individual with mental retardation or other developmental40364
disability who resides in the county and is eligible for such40365
habilitation, vocational, or community employment services. The40366
county board shall also make the list available to such40367
individuals' families.40368

       An individual with mental retardation or other developmental40369
disability who is eligible for habilitation, vocational, or40370
community employment services may choose the provider of the40371
services.40372

       A county board that has medicaid local administrative40373
authority under division (A) of section 5126.055 of the Revised40374
Code for habilitation, vocational, and community employment40375
services provided as part of home and community-based services40376
shall pay the nonfederal share of the habilitation, vocational,40377
and community employment services when required by section 40378
5126.057 of the Revised Code. The department of mental retardation 40379
and developmental disabilities shall pay the nonfederal share of 40380
such habilitation, vocational, and community employment services 40381
when required by section 5123.047 of the Revised Code.40382

       (B) Each month, the department of mental retardation and40383
developmental disabilities shall create a list of all persons and40384
government entities eligible to provide residential services and40385
supported living. The department shall include on the list all40386
residential facilities licensed under section 5123.19 of the40387
Revised Code and all supported living providers certified under40388
section 5126.4315123.161 of the Revised Code. The department 40389
shall distribute the monthly lists to county boards that have 40390
local administrative authority under division (A) of section 40391
5126.055 of the Revised Code for residential services and 40392
supported living provided as part of home and community-based 40393
services. A county board that receives a list shall make it 40394
available to each individual with mental retardation or other 40395
developmental disability who resides in the county and is eligible 40396
for such residential services or supported living. The county 40397
board shall also make the list available to the families of those 40398
individuals.40399

       An individual who is eligible for residential services or40400
supported living may choose the provider of the residential40401
services or supported living.40402

       A county board that has medicaid local administrative40403
authority under division (A) of section 5126.055 of the Revised40404
Code for residential services and supported living provided as40405
part of home and community-based services shall pay the nonfederal40406
share of the residential services and supported living when40407
required by section 5126.057 of the Revised Code. The department40408
shall pay the nonfederal share of the residential services and40409
supported living when required by section 5123.047 of the Revised40410
Code.40411

       (C) If a county board that has medicaid local administrative40412
authority under division (A) of section 5126.055 of the Revised40413
Code for home and community-based services violates the right40414
established by this section of an individual to choose a provider40415
that is qualified and willing to provide services to the40416
individual, the individual shall receive timely notice that the40417
individual may request a hearing under section 5101.35 of the40418
Revised Code.40419

       (D) The departments of mental retardation and developmental40420
disabilities and job and family services shall adopt rules in40421
accordance with Chapter 119. of the Revised Code governing the40422
implementation of this section. The rules shall include procedures 40423
for individuals to choose their service providers. The rules shall 40424
not be limited by a provider selection system established under 40425
section 5126.42 of the Revised Code, including any pool of 40426
providers created pursuant to a provider selection system.40427

       Sec. 5126.054.  (A) Each county board of mental retardation40428
and developmental disabilities shall, by resolution, develop a40429
three-calendar year plan that includes the following four40430
components:40431

       (1) An assessment component that includes all of the40432
following:40433

       (a) The number of individuals with mental retardation or40434
other developmental disability residing in the county who need the40435
level of care provided by an intermediate care facility for the40436
mentally retarded, may seek home and community-based services, are40437
given priority for the services pursuant to division (D) of40438
section 5126.042 of the Revised Code; the service needs of those40439
individuals; and the projected annualized cost for services;40440

       (b) The source of funds available to the county board to pay40441
the nonfederal share of medicaid expenditures that the county40442
board is required by division (A) of section 5126.057sections 40443
5126.059 and 5126.0510 of the Revised Code to pay;40444

       (c) Any other applicable information or conditions that the40445
department of mental retardation and developmental disabilities40446
requires as a condition of approving the component under section40447
5123.046 of the Revised Code.40448

       (2) A component that provides for the recruitment, training,40449
and retention of existing and new direct care staff necessary to40450
implement services included in individualized service plans,40451
including behavior management services and health management40452
services such as delegated nursing and other habilitation 40453
services, and protect the health and welfare of individuals40454
receiving services included in the individual's individualized40455
service plan by complying with safeguards for unusual and major40456
unusual incidents, day-to-day program management, and other40457
requirements the department shall identify. A county board shall40458
develop this component in collaboration with providers of40459
medicaid-funded services with which the county board contracts. A40460
county board shall include all of the following in the component:40461

       (a) The source and amount of funds available for the40462
component;40463

       (b) A plan and timeline for implementing the component with40464
the medicaid providers under contract with the county board;40465

       (c) The mechanisms the county board shall use to ensure the40466
financial and program accountability of the medicaid provider's40467
implementation of the component.40468

       (3) A preliminary implementation component that specifies the40469
number of individuals to be provided, during the first year that40470
the plan is in effect, home and community-based services pursuant40471
to the priority given to them under divisions (D)(1) and (2) of40472
section 5126.042 of the Revised Code and the types of home and40473
community-based services the individuals are to receive;40474

       (4) A component that provides for the implementation of 40475
medicaid case management services and home and community-based 40476
services for individuals who begin to receive the services on or 40477
after the date the plan is approved under section 5123.046 of the 40478
Revised Code. A county board shall include all of the following in 40479
the component:40480

       (a) If the department of mental retardation and developmental 40481
disabilities or department of job and family services requires, an 40482
agreement to pay the nonfederal share of medicaid expenditures 40483
that the county board is required by division (A) of section 40484
5126.057sections 5126.059 and 5126.0510 of the Revised Code to40485
pay;40486

       (b) How the services are to be phased in over the period the40487
plan covers, including how the county board will serve individuals40488
on a waiting list established under division (C) of section40489
5126.042 who are given priority status under division (D)(1) of40490
that section;40491

       (c) Any agreement or commitment regarding the county board's40492
funding of home and community-based services that the county board40493
has with the department at the time the county board develops the40494
component;40495

       (d) Assurances adequate to the department that the county40496
board will comply with all of the following requirements:40497

       (i) To provide the types of home and community-based services40498
specified in the preliminary implementation component required by40499
division (A)(3) of this section to at least the number of40500
individuals specified in that component;40501

       (ii) To use any additional funds the county board receives40502
for the services to improve the county board's resource40503
capabilities for supporting such services available in the county40504
at the time the component is developed and to expand the services40505
to accommodate the unmet need for those services in the county;40506

       (iii) To employ a business manager who is either a new40507
employee who has earned at least a bachelor's degree in business40508
administration or a current employee who has the equivalent40509
experience of a bachelor's degree in business administration. If40510
the county board will employ a new employee, the county board40511
shall include in the component a timeline for employing the40512
employee.40513

       (iv) To employ or contract with a medicaid services manager40514
who is either a new employee who has earned at least a bachelor's40515
degree or a current employee who has the equivalent experience of40516
a bachelor's degree. If the county board will employ a new40517
employee, the county board shall include in the component a40518
timeline for employing the employee. Two or three county boards40519
that have a combined total enrollment in county board services not40520
exceeding one thousand individuals as determined pursuant to40521
certifications made under division (B) of section 5126.12 of the40522
Revised Code may satisfy this requirement by sharing the services40523
of a medicaid services manager or using the services of a medicaid40524
services manager employed by or under contract with a regional40525
council that the county boards establish under section 5126.13 of40526
the Revised Code.40527

       (e) An agreement to comply with the method, developed by40528
rules adopted under section 5123.0413 of the Revised Code, of40529
paying for extraordinary costs, including extraordinary costs for40530
services to individuals with mental retardation or other40531
developmental disability, and ensuring the availability of40532
adequate funds in the event a county property tax levy for40533
services for individuals with mental retardation or other40534
developmental disability fails;40535

       (f) Programmatic and financial accountability measures and40536
projected outcomes expected from the implementation of the plan;40537

       (g) Any other applicable information or conditions that the40538
department requires as a condition of approving the component40539
under section 5123.046 of the Revised Code.40540

       (B) For the purpose of obtaining the department's approval40541
under section 5123.046 of the Revised Code of the plan the county40542
board develops under division (A) of this section, a county board40543
shall do all of the following:40544

       (1) Submit the components required by divisions (A)(1) and40545
(2) of this section to the department not later than August 1,40546
2001;40547

       (2) Submit the component required by division (A)(3) of this40548
section to the department not later than January 31, 2002;40549

       (3) Submit the component required by division (A)(4) of this40550
section to the department not later than July 1, 2002.40551

       (C) A county board whose plan developed under division (A) of 40552
this section is approved by the department under section 5123.046 40553
of the Revised Code shall update and renew the plan in accordance 40554
with a schedule the department shall develop.40555

       Sec. 5126.055.  (A) Except as provided in section 5126.056 40556
of the Revised Code, a county board of mental retardation and40557
developmental disabilities has medicaid local administrative40558
authority to, and shall, do all of the following for an individual40559
with mental retardation or other developmental disability who40560
resides in the county that the county board serves and seeks or40561
receives home and community-based services:40562

       (1) Perform assessments and evaluations of the individual. As 40563
part of the assessment and evaluation process, the county board40564
shall do all of the following:40565

       (a) Make a recommendation to the department of mental40566
retardation and developmental disabilities on whether the40567
department should approve or deny the individual's application for40568
the services, including on the basis of whether the individual40569
needs the level of care an intermediate care facility for the40570
mentally retarded provides;40571

       (b) If the individual's application is denied because of the40572
county board's recommendation and the individual requests a40573
hearing under section 5101.35 of the Revised Code, present, with40574
the department of mental retardation and developmental40575
disabilities or department of job and family services, whichever40576
denies the application, the reasons for the recommendation and40577
denial at the hearing;40578

       (c) If the individual's application is approved, recommend to 40579
the departments of mental retardation and developmental40580
disabilities and job and family services the services that should40581
be included in the individual's individualized service plan and,40582
if either department approves, reduces, denies, or terminates a40583
service included in the individual's individualized service plan40584
under section 5111.871 of the Revised Code because of the county40585
board's recommendation, present, with the department that made the40586
approval, reduction, denial, or termination, the reasons for the40587
recommendation and approval, reduction, denial, or termination at40588
a hearing under section 5101.35 of the Revised Code.40589

       (2) If the individual has been identified by the department40590
of mental retardation and developmental disabilities as an40591
individual to receive priority for home and community-based40592
services pursuant to division (D)(3) of section 5126.042 of the40593
Revised Code, assist the department in expediting the transfer of40594
the individual from an intermediate care facility for the mentally40595
retarded or nursing facility to the home and community-based40596
services;40597

       (3) In accordance with the rules adopted under section40598
5126.046 of the Revised Code, perform the county board's duties40599
under that section regarding assisting the individual's right to40600
choose a qualified and willing provider of the services and, at a40601
hearing under section 5101.35 of the Revised Code, present40602
evidence of the process for appropriate assistance in choosing40603
providers;40604

       (4) Unless the county board provides the services under40605
division (A)(5) of this section, contract with the person or40606
government entity the individual chooses in accordance with40607
section 5126.046 of the Revised Code to provide the services if40608
the person or government entity is qualified and agrees to provide40609
the services. The contract shall contain all the provisions40610
required by section 5126.035 of the Revised Code and require the40611
provider to agree to furnish, in accordance with the provider's40612
medicaid provider agreement and for the authorized reimbursement40613
rate, the services the individual requires.40614

       (5) If the county board is certified under section 5123.1640615
5123.161 of the Revised Code to provide the services and agrees to40616
provide the services to the individual and the individual chooses40617
the county board to provide the services, furnish, in accordance40618
with the county board's medicaid provider agreement and for the40619
authorized reimbursement rate, the services the individual40620
requires;40621

       (6)(5) Monitor the services provided to the individual and40622
ensure the individual's health, safety, and welfare. The40623
monitoring shall include quality assurance activities. If the40624
county board provides the services, the department of mental40625
retardation and developmental disabilities shall also monitor the40626
services.40627

       (7)(6) Develop, with the individual and the provider of the40628
individual's services, an effective individualized service plan40629
that includes coordination of services, recommend that the40630
departments of mental retardation and developmental disabilities40631
and job and family services approve the plan, and implement the40632
plan unless either department disapproves it;40633

       (8)(7) Have an investigative agent conduct investigations 40634
under section 5126.313 of the Revised Code that concern the 40635
individual;40636

       (9)(8) Have a service and support administrator perform the40637
duties under division (B)(9) of section 5126.15 of the Revised40638
Code that concern the individual.40639

       (B) A county board shall perform its medicaid local40640
administrative authority under this section in accordance with all40641
of the following:40642

       (1) The county board's plan that the department of mental40643
retardation and developmental disabilities approves under section40644
5123.046 of the Revised Code;40645

       (2) All applicable federal and state laws;40646

       (3) All applicable policies of the departments of mental40647
retardation and developmental disabilities and job and family40648
services and the United States department of health and human40649
services;40650

       (4) The department of job and family services' supervision40651
under its authority under section 5111.01 of the Revised Code to40652
act as the single state medicaid agency;40653

       (5) The department of mental retardation and developmental40654
disabilities' oversight.40655

       (C) The departments of mental retardation and developmental40656
disabilities and job and family services shall communicate with40657
and provide training to county boards regarding medicaid local40658
administrative authority granted by this section. The40659
communication and training shall include issues regarding audit40660
protocols and other standards established by the United States40661
department of health and human services that the departments40662
determine appropriate for communication and training. County40663
boards shall participate in the training. The departments shall40664
assess the county board's compliance against uniform standards40665
that the departments shall establish.40666

       (D) A county board may not delegate its medicaid local40667
administrative authority granted under this section but may40668
contract with a person or government entity, including a council40669
of governments, for assistance with its medicaid local40670
administrative authority. A county board that enters into such a40671
contract shall notify the director of mental retardation and40672
developmental disabilities. The notice shall include the tasks and40673
responsibilities that the contract gives to the person or40674
government entity. The person or government entity shall comply in 40675
full with all requirements to which the county board is subject40676
regarding the person or government entity's tasks and40677
responsibilities under the contract. The county board remains40678
ultimately responsible for the tasks and responsibilities.40679

       (E) A county board that has medicaid local administrative40680
authority under this section shall, through the departments of40681
mental retardation and developmental disabilities and job and40682
family services, reply to, and cooperate in arranging compliance40683
with, a program or fiscal audit or program violation exception40684
that a state or federal audit or review discovers. The department40685
of job and family services shall timely notify the department of40686
mental retardation and developmental disabilities and the county40687
board of any adverse findings. After receiving the notice, the40688
county board, in conjunction with the department of mental40689
retardation and developmental disabilities, shall cooperate fully40690
with the department of job and family services and timely prepare40691
and send to the department a written plan of correction or40692
response to the adverse findings. The county board is liable for40693
any adverse findings that result from an action it takes or fails40694
to take in its implementation of medicaid local administrative40695
authority.40696

       (F) If the department of mental retardation and developmental 40697
disabilities or department of job and family services determines 40698
that a county board's implementation of its medicaid local 40699
administrative authority under this section is deficient, the 40700
department that makes the determination shall require that county 40701
board do the following:40702

       (1) If the deficiency affects the health, safety, or welfare40703
of an individual with mental retardation or other developmental40704
disability, correct the deficiency within twenty-four hours;40705

       (2) If the deficiency does not affect the health, safety, or40706
welfare of an individual with mental retardation or other40707
developmental disability, receive technical assistance from the40708
department or submit a plan of correction to the department that40709
is acceptable to the department within sixty days and correct the40710
deficiency within the time required by the plan of correction.40711

       Sec. 5126.056. (A) The department of mental retardation and40712
developmental disabilities shall take action under division (B) of40713
this section against a county board of mental retardation and40714
developmental disabilities if any of the following are the case:40715

       (1) The county board fails to submit to the department all40716
the components of its three-year plan required by section 5126.05440717
of the Revised Code within the time required by division (B) of40718
that section.40719

       (2) The department disapproves the county board's three-year40720
plan under section 5123.046 of the Revised Code.40721

       (3) The county board fails, as required by division (C) of40722
section 5126.054 of the Revised Code, to update and renew its40723
three-year plan in accordance with a schedule the department40724
develops under that section.40725

       (4) The county board fails to implement its initial or40726
renewed three-year plan approved by the department.40727

       (5) The county board fails to correct a deficiency within the 40728
time required by division (F) of section 5126.055 of the Revised 40729
Code to the satisfaction of the department.40730

       (6) The county board fails to submit an acceptable plan of40731
correction to the department within the time required by division40732
(F)(2) of section 5126.055 of the Revised Code.40733

       (B) If required by division (A) of this section to take40734
action against a county board, the department shall issue an order40735
terminating the county board's medicaid local administrative40736
authority over all or part of home and community-based services,40737
medicaid case management services, or all or part of both of those 40738
services. The department shall provide a copy of the order to the 40739
board of county commissioners, senior probate judge, county40740
auditor, and president and superintendent of the county board. The40741
department shall specify in the order the medicaid local40742
administrative authority that the department is terminating, the40743
reason for the termination, and the county board's option and40744
responsibilities under this division.40745

       A county board whose medicaid local administrative authority40746
is terminated may, not later than thirty days after the department40747
issues the termination order, recommend to the department that40748
another county board that has not had any of its medicaid local40749
administrative authority terminated or another entity the40750
department approves administer the services for which the county40751
board's medicaid local administrative authority is terminated. The40752
department may contract with the other county board or entity to40753
administer the services. If the department enters into such a40754
contract, the county board shall adopt a resolution giving the40755
other county board or entity full medicaid local administrative40756
authority over the services that the other county board or entity40757
is to administer. The other county board or entity shall be known40758
as the contracting authority.40759

       If the department rejects the county board's recommendation40760
regarding a contracting authority, the county board may appeal the40761
rejection under section 5123.043 of the Revised Code.40762

       If the county board does not submit a recommendation to the40763
department regarding a contracting authority within the required40764
time or the department rejects the county board's recommendation40765
and the rejection is upheld pursuant to an appeal, if any, under40766
section 5123.043 of the Revised Code, the department shall appoint40767
an administrative receiver to administer the services for which40768
the county board's medicaid local administrative authority is40769
terminated. To the extent necessary for the department to appoint40770
an administrative receiver, the department may utilize employees40771
of the department, management personnel from another county board,40772
or other individuals who are not employed by or affiliated with in40773
any manner a person that provides home and community-based40774
services or medicaid case management services pursuant to a 40775
contract with any county board. The administrative receiver shall 40776
assume full administrative responsibility for the county board's 40777
services for which the county board's medicaid local 40778
administrative authority is terminated.40779

       The contracting authority or administrative receiver shall40780
develop and submit to the department a plan of correction to40781
remediate the problems that caused the department to issue the40782
termination order. If, after reviewing the plan, the department40783
approves it, the contracting authority or administrative receiver40784
shall implement the plan.40785

       The county board shall transfer control of state and federal40786
funds it is otherwise eligible to receive for the services for40787
which the county board's medicaid local administrative authority40788
is terminated and funds the county board may use under division40789
(B)(A) of section 5126.0575126.0511 of the Revised Code to pay 40790
the nonfederal share of the services that the county board is 40791
required by division (A) of that sectionsections 5126.059 and 40792
5126.0510 of the Revised Code to pay. The county board shall40793
transfer control of the funds to the contracting authority or40794
administrative receiver administering the services. The amount the 40795
county board shall transfer shall be the amount necessary for the 40796
contracting authority or administrative receiver to fulfill its 40797
duties in administering the services, including its duties to pay 40798
its personnel for time worked, travel, and related matters. If the 40799
county board fails to make the transfer, the department may40800
withhold the state and federal funds from the county board and40801
bring a mandamus action against the county board in the court of40802
common pleas of the county served by the county board or in the40803
Franklin county court of common pleas. The mandamus action may not 40804
require that the county board transfer any funds other than the 40805
funds the county board is required by division (B) of this section 40806
to transfer.40807

       The contracting authority or administrative receiver has the40808
right to authorize the payment of bills in the same manner that40809
the county board may authorize payment of bills under this chapter40810
and section 319.16 of the Revised Code.40811

       Sec. 5126.059.  A county board of mental retardation and 40812
developmental disabilities shall pay the nonfederal share of 40813
medicaid expenditures for medicaid case management services the 40814
county board provides to an individual with mental retardation or 40815
other developmental disability who the county board determines 40816
under section 5126.041 of the Revised Code is eligible for county 40817
board services.40818

       Sec. 5126.0510.  (A) Except as otherwise provided in an 40819
agreement entered into under section 5123.048 of the Revised Code 40820
and subject to divisions (B), (C), and (D) of this section, a 40821
county board of mental retardation and developmental disabilities 40822
shall pay the nonfederal share of medicaid expenditures for the 40823
following home and community-based services provided to an 40824
individual with mental retardation or other developmental 40825
disability who the county board determines under section 5126.041 40826
of the Revised Code is eligible for county board services:40827

       (1) Home and community-based services that the county board 40828
provides to such an individual;40829

       (2) Home and community-based services provided by a provider 40830
other than the county board to such an individual who is enrolled 40831
as of June 30, 2007, in the medicaid waiver component under which 40832
the services are provided;40833

       (3) Home and community-based services provided by a provider 40834
other than the county board to such an individual who, pursuant to 40835
a request the county board makes, enrolls in the medicaid waiver 40836
component under which the services are provided after June 30, 40837
2007; 40838

       (4) Home and community-based services provided by a provider 40839
other than the county board to such an individual for whom there 40840
is in effect an agreement entered into under division (E) of this 40841
section between the county board and director of mental 40842
retardation and developmental disabilities.40843

       (B) In the case of medicaid expenditures for home and 40844
community-based services for which division (A)(2) of this section 40845
requires a county board to pay the nonfederal share, the following 40846
shall apply to such services provided during fiscal year 2008 40847
under the individual options medicaid waiver component:40848

       (1) The county board shall pay no less than the total amount 40849
the county board paid as the nonfederal share for home and 40850
community-based services provided in fiscal year 2007 under the 40851
individual options medicaid waiver component;40852

       (2) The county board shall pay no more than the sum of the 40853
following:40854

       (a) The total amount the county board paid as the nonfederal 40855
share for home and community-based services provided in fiscal 40856
year 2007 under the individual options medicaid waiver component;40857

       (b) An amount equal to one per cent of the total amount the 40858
department of mental retardation and developmental disabilities 40859
and county board paid as the nonfederal share for home and 40860
community-based services provided in fiscal year 2007 under the 40861
individual options medicaid waiver component to individuals the 40862
county department determined under section 5126.041 of the Revised 40863
Code are eligible for county board services.40864

       (C) A county board is not required to pay the nonfederal 40865
share of home and community-based services provided after June 30, 40866
2008, that the county board is otherwise required by division 40867
(A)(2) of this section to pay if the department of mental 40868
retardation and developmental disabilities fails to comply with 40869
division (A) of section 5123.0416 of the Revised Code.40870

       (D) A county board is not required to pay the nonfederal 40871
share of home and community-based services that the county board 40872
is otherwise required by division (A)(3) of this section to pay if 40873
both of the following apply:40874

       (1) The services are provided to an individual who enrolls in 40875
the medicaid waiver component under which the services are 40876
provided as the result of an order issued following a state 40877
hearing, administrative appeal, or appeal to a court of common 40878
pleas made under section 5101.35 of the Revised Code;40879

       (2) There are more individuals who are eligible for services 40880
from the county board enrolled in the medicaid waiver component 40881
than is required by section 5126.0512 of the Revised Code.40882

       (E) A county board may enter into an agreement with the 40883
director of mental retardation and developmental disabilities 40884
under which the county board agrees to pay the nonfederal share of 40885
medicaid expenditures for one or more home and community-based 40886
services that the county board is not otherwise required by 40887
division (A)(1), (2), or (3) of this section to pay and that are 40888
provided to an individual the county board determines under 40889
section 5126.041 of the Revised Code is eligible for county board 40890
services. The agreement shall specify which home and 40891
community-based services the agreement covers. The county board 40892
shall pay the nonfederal share of medicaid expenditures for the 40893
home and community-based services that the agreement covers as 40894
long as the agreement is in effect.40895

       Sec. 5126.057.        Sec. 5126.0511. (A) A county board of mental40896
retardation and developmental disabilities that has medicaid local40897
administrative authority under division (A) of section 5126.055 of40898
the Revised Code for home and community-based services shall pay40899
the nonfederal share of medicaid expenditures for such services40900
provided to an individual with mental retardation or other40901
developmental disability who the county board determines under40902
section 5126.041 of the Revised Code is eligible for county board40903
services unless division (B)(2) or (3) of section 5123.047 of the 40904
Revised Code requires the department of mental retardation and40905
developmental disabilities to pay the nonfederal share.40906

       A county board that provides medicaid case management 40907
services shall pay the nonfederal share of medicaid expenditures 40908
for such services provided to an individual with mental 40909
retardation or other developmental disability who the county board 40910
determines under section 5126.041 of the Revised Code is eligible 40911
for county board services.40912

       (B) A county board of mental retardation and developmental 40913
disabilities may use the following funds to pay the nonfederal 40914
share of the servicesmedicaid expenditures that the county board 40915
is required by division (A)sections 5126.059 and 5126.0510 of 40916
this sectionthe Revised Code to pay:40917

       (1) To the extent consistent with the levy that generated the 40918
taxes, the following taxes:40919

       (a) Taxes levied pursuant to division (L) of section 5705.1940920
of the Revised Code and section 5705.222 of the Revised Code;40921

       (b) Taxes levied under section 5705.191 of the Revised Code40922
that the board of county commissioners allocates to the county40923
board to pay the nonfederal share of the services.40924

       (2) Funds that the department of mental retardation and40925
developmental disabilities distributes to the county board under40926
sections 5126.11, 5126.12, 5126.15,section 5126.18, and 5126.4440927
of the Revised Code;40928

        (3) Earned federal revenue funds the county board receives40929
for medicaid services the county board provides pursuant to the40930
county board's valid medicaid provider agreement;40931

       (4) Funds that the department of mental retardation and 40932
developmental disabilities distributes to the county board as 40933
subsidy payments;40934

       (5) In the case of medicaid expenditures for home and 40935
community-based services, funds allocated to or otherwise made 40936
available for the county board under section 5123.0416 of the 40937
Revised Code to pay the nonfederal share of such medicaid 40938
expenditures.40939

       (C) If by December 31, 2001, the United States secretary of40940
health and human services approves at least five hundred more40941
slots for home and community-based services for calendar year 200240942
than were available for calendar year 2001, each county board40943
shall provide, by the last day of calendar year 2001, assurances40944
to the department of mental retardation and developmental40945
disabilities that the county board will have for calendar year40946
2002 at least one-third of the value of one-half, effective mill40947
levied in the county the preceding year available to pay the40948
nonfederal share of the services that the county board is required40949
by division (A) of this section to pay.40950

       If by December 31, 2002, the United States secretary approves40951
at least five hundred more slots for home and community-based40952
services for calendar year 2003 than were available for calendar40953
year 2002, each county board shall provide, by the last day of40954
calendar year 2002, assurances to the department that the county40955
board will have for calendar year 2003 at least two-thirds of the40956
value of one-half, effective mill levied in the county the40957
preceding year available to pay the nonfederal share of the40958
services that the county board is required by division (A) of this40959
section to pay.40960

       If by December 31, 2003, the United States secretary approves40961
at least five hundred more slots for home and community-based40962
services for calendar year 2004 than were available for calendar40963
year 2003, each county board shall provide, by the last day of40964
calendar year 2003 and each calendar year thereafter, assurances40965
to the department that the county board will have for calendar40966
year 2004 and each calendar year thereafter at least the value of40967
one-half, effective mill levied in the county the preceding year40968
available to pay the nonfederal share of the services that the40969
county board is required by division (A) of this section to pay.40970

       (D) Each year, each county board shall adopt a resolution40971
specifying the amount of funds it will use in the next year to pay40972
the nonfederal share of the servicesmedicaid expenditures that 40973
the county board is required by division (A) of this section40974
sections 5126.059 and 5126.0510 of the Revised Code to pay. The 40975
amount specified shall be adequate to assure that the services for 40976
which the medicaid expenditures are made will be available in the 40977
county in a manner that conforms to all applicable state and 40978
federal laws. A county board shall state in its resolution that 40979
the payment of the nonfederal share represents an ongoing 40980
financial commitment of the county board. A county board shall 40981
adopt the resolution in time for the county auditor to make the 40982
determination required by division (E)(C) of this section.40983

       (E)(C) Each year, a county auditor shall determine whether 40984
the amount of funds a county board specifies in the resolution it40985
adopts under division (D)(B) of this section will be available in 40986
the following year for the county board to pay the nonfederal 40987
share of the servicesmedicaid expenditures that the county board 40988
is required by division (A) of this sectionsections 5126.059 and 40989
5126.0510 of the Revised Code to pay. The county auditor shall 40990
make the determination not later than the last day of the year 40991
before the year in which the funds are to be used.40992

       Sec. 5126.0512.  (A) As used in this section, "medicaid 40993
waiver component" means a medicaid waiver component as defined in 40994
section 5111.85 of the Revised Code under which home and 40995
community-based services are provided.40996

       (B) Effective July 1, 2007, each county board of mental 40997
retardation and developmental disabilities shall ensure, for each 40998
medicaid waiver component, that the number of individuals eligible 40999
under section 5126.041 of the Revised Code for services from the 41000
county board who are enrolled in a medicaid waiver component is no 41001
less than the sum of the following:41002

       (1) The number of individuals eligible for services from the 41003
county board who are enrolled in the medicaid waiver component on 41004
June 30, 2007;41005

       (2) The number of medicaid waiver component slots that the 41006
county board requested before July 1, 2007, were assigned to the 41007
county board before that date, but in which no individual was 41008
enrolled before that date.41009

       (C) An individual enrolled in a medicaid waiver component 41010
after March 1, 2007, due to an emergency reserve capacity waiver 41011
assignment shall not be counted in determining the number of 41012
individuals a county board must ensure under division (B) of this 41013
section are enrolled in a medicaid waiver component.41014

       (D) An individual who is enrolled in a medicaid waiver 41015
component to comply with the terms of the consent order filed 41016
March 5, 2007, in Martin v. Strickland, Case No. 89-CV-00362, in 41017
the United States district court for the southern district of 41018
Ohio, eastern division, shall be excluded in determining whether a 41019
county board has complied with division (B) of this section.41020

       (E) A county board shall make as many requests for 41021
individuals to be enrolled in a medicaid waiver component as 41022
necessary for the county board to comply with division (B) of this 41023
section.41024

       Sec. 5126.06.  (A) Except as provided in division (B) of this 41025
section and section 5126.036 of the Revised Code, any person who 41026
has a complaint involving any of the programs, services, policies, 41027
or administrative practices of a county board of mental41028
retardation and developmental disabilities or any of the entities41029
under contract with the county board, may file a complaint with41030
the board. Prior to commencing a civil action regarding the41031
complaint, a person shall attempt to have the complaint resolved41032
through the administrative resolution process established in the41033
rules adopted under section 5123.043 of the Revised Code. After41034
exhausting the administrative resolution process, the person may41035
commence a civil action if the complaint is not settled to the41036
person's satisfaction.41037

       (B) An employee of a county board may not file under this41038
section a complaint related to the terms and conditions of41039
employment of the employee.41040

       Sec. 5126.11.  (A) As used in this section, "respite care"41041
means appropriate, short-term, temporary care that is provided to41042
a mentally retarded or developmentally disabled person to sustain41043
the family structure or to meet planned or emergency needs of the41044
family.41045

       (B) Subject to rules adopted by the director of mental41046
retardation and developmental disabilities, and subject to the41047
availability of money from state and federal sources, the county41048
board of mental retardation and developmental disabilities shall41049
establish a family support services program. Under such a program, 41050
the board shall make payments to an individual with mental 41051
retardation or other developmental disability or the family of an 41052
individual with mental retardation or other developmental41053
disability who desires to remain in and be supported in the family41054
home. Payments shall be made for all or part of costs incurred or41055
estimated to be incurred for services that would promote41056
self-sufficiency and normalization, prevent or reduce41057
inappropriate institutional care, and further the unity of the41058
family by enabling the family to meet the special needs of the41059
individual and to live as much like other families as possible.41060
Payments may be made in the form of reimbursement for expenditures41061
or in the form of vouchers to be used to purchase services.41062

       (C) Payment shall not be made under this section to an41063
individual or the individual's family if the individual is living41064
in a residential facility that is providing residential services41065
under contract with the department of mental retardation and41066
developmental disabilities or a county board.41067

       (D) Payments may be made for the following services:41068

       (1) Respite care, in or out of the home;41069

       (2) Counseling, supervision, training, and education of the41070
individual, the individual's caregivers, and members of the41071
individual's family that aid the family in providing proper care41072
for the individual, provide for the special needs of the family,41073
and assist in all aspects of the individual's daily living;41074

       (3) Special diets, purchase or lease of special equipment, or 41075
modifications of the home, if such diets, equipment, or41076
modifications are necessary to improve or facilitate the care and41077
living environment of the individual;41078

       (4) Providing support necessary for the individual's41079
continued skill development, including such services as41080
development of interventions to cope with unique problems that may41081
occur within the complexity of the family, enrollment of the41082
individual in special summer programs, provision of appropriate41083
leisure activities, and other social skills development41084
activities;41085

       (5) Any other services that are consistent with the purposes41086
specified in division (B) of this section and specified in the41087
individual's service plan.41088

       (E) In order to be eligible for payments under a family41089
support services program, the individual or the individual's41090
family must reside in the county served by the county board, and41091
the individual must be in need of habilitation. Payments shall be41092
adjusted for income in accordance with the payment schedule41093
established in rules adopted under this section. Payments shall be 41094
made only after the county board has taken into account all other 41095
available assistance for which the individual or family is41096
eligible.41097

       (F) Before incurring expenses for a service for which payment 41098
will be sought under a family support services program, the 41099
individual or family shall apply to the county board for a41100
determination of eligibility and approval of the service. The41101
service need not be provided in the county served by the county41102
board. After being determined eligible and receiving approval for41103
the service, the individual or family may incur expenses for the41104
service or use the vouchers received from the county board for the41105
purchase of the service.41106

       If the county board refuses to approve a service, an appeal41107
may be made in accordance with rules adopted by the department41108
under this section.41109

       (G) To be reimbursed for expenses incurred for approved41110
services, the individual or family shall submit to the county41111
board a statement of the expenses incurred accompanied by any41112
evidence required by the board. To redeem vouchers used to41113
purchase approved services, the entity that provided the service41114
shall submit to the county board evidence that the service was41115
provided and a statement of the charges. The county board shall41116
make reimbursements and redeem vouchers no later than forty-five41117
days after it receives the statements and evidence required by41118
this division.41119

       (H) A county board shall consider the following objectives in 41120
carrying out a family support services program:41121

       (1) Enabling individuals to return to their families from an41122
institution under the jurisdiction of the department of mental41123
retardation and developmental disabilities;41124

       (2) Enabling individuals found to be subject to41125
institutionalization by court order under section 5123.76 of the41126
Revised Code to remain with their families with the aid of41127
payments provided under this section;41128

       (3) Providing services to eligible children and adults41129
currently residing in the community;41130

       (4) Providing services to individuals with developmental41131
disabilities who are not receiving other services from the board.41132

       (I) The director shall adopt, and may amend and rescind,41133
rules for the implementation of family support services programs41134
by county boards. Such rules shall include the following:41135

       (1) A payment schedule adjusted for income;41136

       (2) A formula for distributing to county boards the money41137
appropriated for family support services;41138

       (3) Standards for supervision, training, and quality control41139
in the provision of respite care services;41140

       (4)(3) Eligibility standards and procedures for providing41141
temporary emergency respite care;41142

       (5)(4) Procedures for hearing and deciding appeals made under41143
division (F) of this section;41144

       (6) Requirements to be followed by county boards regarding41145
reports submitted under division (K) of this section.41146

       Rules adopted under divisionsdivision (I)(1) and (2) of this41147
section shall be adopted in accordance with section 111.15 of the41148
Revised Code. Rules adopted under divisions (I)(3)(2) to (6)(4) of41149
this section shall be adopted in accordance with Chapter 119. of41150
the Revised Code.41151

       (J) All individuals certified by the superintendent of the41152
county board as eligible for temporary emergency respite care in41153
accordance with rules adopted under this section shall be41154
considered eligible for temporary emergency respite care for not41155
more than five days to permit the determination of eligibility for41156
family support services. The requirements of divisions (E) and (F) 41157
of this section do not apply to temporary emergency respite care.41158

       (K) The department of mental retardation and developmental 41159
disabilities shall distribute to county boards money appropriated 41160
for family support services in quarterly installments of equal 41161
amounts. The installments shall be made not later than the 41162
thirtieth day of September, the thirty-first day of December, the 41163
thirty-first day of March, and the thirtieth day of June. A county 41164
board shall use no more than seven per cent of the funds for 41165
administrative costs. Each county board shall submit reports to 41166
the department on payments made under this section. The reports 41167
shall be submitted at those times and in the manner specified in 41168
rules adopted under this section.41169

       (L) The county board shall not be required to make payments41170
for family support services at a level that exceeds available41171
state and federal funds for such payments.41172

       Sec. 5126.12.  (A) As used in this section:41173

       (1) "Approved school age class" means a class operated by a41174
county board of mental retardation and developmental disabilities41175
and funded by the department of education under section 3317.20 of 41176
the Revised Code.41177

       (2) "Approved preschool unit" means a class or unit operated41178
by a county board of mental retardation and developmental41179
disabilities and approved under division (B) of section 3317.05 of 41180
the Revised Code.41181

       (3) "Active treatment" means a continuous treatment program,41182
which includes aggressive, consistent implementation of a program41183
of specialized and generic training, treatment, health services,41184
and related services, that is directed toward the acquisition of41185
behaviors necessary for an individual with mental retardation or41186
other developmental disability to function with as much41187
self-determination and independence as possible and toward the41188
prevention of deceleration, regression, or loss of current optimal41189
functional status.41190

       (4) "Eligible for active treatment" means that an individual41191
with mental retardation or other developmental disability resides41192
in an intermediate care facility for the mentally retarded41193
certified under Title XIX of the "Social Security Act," 79 Stat. 41194
286 (1965), 42 U.S.C. 1396, as amended; resides in a state41195
institution operated by the department of mental retardation and41196
developmental disabilities; or is enrolled in home and41197
community-based services.41198

       (5) "Traditional adult services" means vocational and41199
nonvocational activities conducted within a sheltered workshop or41200
adult activity center or supportive home services.41201

       (B) Each county board of mental retardation and developmental 41202
disabilities shall certify to the director of mental retardation 41203
and developmental disabilities all of the following:41204

       (1) On or before the fifteenth day of October, the average41205
daily membership for the first full week of programs and services41206
during October receiving:41207

       (a) Early childhood services provided pursuant to section41208
5126.05 of the Revised Code for children who are less than three41209
years of age on the thirtieth day of September of the academic41210
year;41211

       (b) Special education for handicapped children in approved41212
school age classes;41213

       (c) Adult services for persons sixteen years of age and older 41214
operated pursuant to section 5126.05 and division (B) of section 41215
5126.051 of the Revised Code. Separate counts shall be made for41216
the following:41217

       (i) Persons enrolled in traditional adult services who are41218
eligible for but not enrolled in active treatment;41219

       (ii) Persons enrolled in traditional adult services who are41220
eligible for and enrolled in active treatment;41221

       (iii) Persons enrolled in traditional adult services but who41222
are not eligible for active treatment;41223

       (iv) Persons participating in community employment services.41224
To be counted as participating in community employment services, a41225
person must have spent an average of no less than ten hours per41226
week in that employment during the preceding six months.41227

       (d) Other programs in the county for individuals with mental41228
retardation and developmental disabilities that have been approved41229
for payment of subsidy by the department of mental retardation and41230
developmental disabilities.41231

       The membership in each such program and service in the county41232
shall be reported on forms prescribed by the department of mental41233
retardation and developmental disabilities.41234

       The department of mental retardation and developmental41235
disabilities shall adopt rules defining full-time equivalent41236
enrollees and for determining the average daily membership41237
therefrom, except that certification of average daily membership41238
in approved school age classes shall be in accordance with rules41239
adopted by the state board of education. The average daily41240
membership figure shall be determined by dividing the amount41241
representing the sum of the number of enrollees in each program or41242
service in the week for which the certification is made by the41243
number of days the program or service was offered in that week. No41244
enrollee may be counted in average daily membership for more than41245
one program or service.41246

       (2) By the fifteenth day of December, the number of children41247
enrolled in approved preschool units on the first day of December;41248

       (3) On or before the thirtieth day of MarchApril, an 41249
itemized report of all income and operating expenditures for the41250
immediately preceding calendar year, in the format specified by41251
the department of mental retardation and developmental41252
disabilities;41253

       (4) By the fifteenth day of February, a report of the total41254
annual cost per enrollee for operation of programs and services in41255
the preceding calendar year. The report shall include a grand41256
total of all programs operated, the cost of the individual41257
programs, and the sources of funds applied to each program.41258

       (5) That each required certification and report is in41259
accordance with rules established by the department of mental41260
retardation and developmental disabilities and the state board of41261
education for the operation and subsidization of the programs and41262
services.41263

       (C) To compute payments under this section to the board for41264
the fiscal year, the department of mental retardation and41265
developmental disabilities shall use the certification of average41266
daily membership required by division (B)(1) of this section41267
exclusive of the average daily membership in any approved school41268
age class and the number in any approved preschool unit.41269

       (D) The department shall pay each county board for each41270
fiscal year an amount equal to nine hundred fifty dollars times41271
the certified number of persons who on the first day of December41272
of the academic year are under three years of age and are not in41273
an approved preschool unit. For persons who are at least age41274
sixteen and are not in an approved school age class, the41275
department shall pay each county board for each fiscal year the41276
following amounts:41277

       (1) One thousand dollars times the certified average daily41278
membership of persons enrolled in traditional adult services who41279
are eligible for but not enrolled in active treatment;41280

       (2) One thousand two hundred dollars times the certified41281
average daily membership of persons enrolled in traditional adult41282
services who are eligible for and enrolled in active treatment;41283

       (3) No less than one thousand five hundred dollars times the41284
certified average daily membership of persons enrolled in41285
traditional adult services but who are not eligible for active41286
treatment;41287

       (4) No less than one thousand five hundred dollars times the41288
certified average daily membership of persons participating in41289
community employment services.41290

       (E) The department shall distribute this subsidy to county41291
boards in quarterly installments of equal amounts. The41292
installments shall be made not later than the thirtieth day of 41293
September, the thirty-first day of December, the thirty-first day 41294
of March, and the thirtieth day of June.41295

       (F) The director of mental retardation and developmental41296
disabilities shall make efforts to obtain increases in the41297
subsidies for early childhood services and adult services so that41298
the amount of the subsidies is equal to at least fifty per cent of41299
the statewide average cost of those services minus any applicable41300
federal reimbursements for those services. The director shall41301
advise the director of budget and management of the need for any41302
such increases when submitting the biennial appropriations request41303
for the department.41304

       (G) In determining the reimbursement of a county board for41305
the provision of service and support administration, family41306
support services, and other services required or approved by the41307
director for which children three through twenty-one years of age41308
are eligible, the department shall include the average daily41309
membership in approved school age or preschool units. The41310
department, in accordance with this section and upon receipt and41311
approval of the certification required by this section and any41312
other information it requires to enable it to determine a board's41313
payments, shall pay the agency providing the specialized training41314
the amounts payable under this section.41315


       Sec. 5126.15.  (A) A county board of mental retardation and41317
developmental disabilities shall provide service and support41318
administration to each individual three years of age or older who41319
is eligible for service and support administration if the41320
individual requests, or a person on the individual's behalf41321
requests, service and support administration. A board shall41322
provide service and support administration to each individual41323
receiving home and community-based services. A board may provide,41324
in accordance with the service coordination requirements of 3441325
C.F.R. 303.23, service and support administration to an individual41326
under three years of age eligible for early intervention services41327
under 34 C.F.R. part 303. A board may provide service and support41328
administration to an individual who is not eligible for other41329
services of the board. Service and support administration shall be41330
provided in accordance with rules adopted under section 5126.08 of41331
the Revised Code.41332

       A board may provide service and support administration by41333
directly employing service and support administrators or by41334
contracting with entities for the performance of service and41335
support administration. Individuals employed or under contract as41336
service and support administrators shall not be in the same41337
collective bargaining unit as employees who perform duties that41338
are not administrative.41339

       Individuals employed by a board as service and support41340
administrators shall not be assigned responsibilities for41341
implementing other services for individuals and shall not be41342
employed by or serve in a decision-making or policy-making41343
capacity for any other entity that provides programs or services41344
to individuals with mental retardation or developmental41345
disabilities. An individual employed as a conditional status41346
service and support administrator shall perform the duties of41347
service and support administration only under the supervision of a41348
management employee who is a service and support administration41349
supervisor.41350

       (B) The individuals employed by or under contract with a41351
board to provide service and support administration shall do all41352
of the following:41353

       (1) Establish an individual's eligibility for the services of 41354
the county board of mental retardation and developmental41355
disabilities;41356

       (2) Assess individual needs for services;41357

       (3) Develop individual service plans with the active41358
participation of the individual to be served, other persons41359
selected by the individual, and, when applicable, the provider41360
selected by the individual, and recommend the plans for approval41361
by the department of mental retardation and developmental41362
disabilities when services included in the plans are funded41363
through medicaid;41364

       (4) Establish budgets for services based on the individual's41365
assessed needs and preferred ways of meeting those needs;41366

       (5) Assist individuals in making selections from among the41367
providers they have chosen;41368

       (6) Ensure that services are effectively coordinated and41369
provided by appropriate providers;41370

       (7) Establish and implement an ongoing system of monitoring41371
the implementation of individual service plans to achieve41372
consistent implementation and the desired outcomes for the41373
individual;41374

       (8) Perform quality assurance reviews as a distinct function41375
of service and support administration;41376

       (9) Incorporate the results of quality assurance reviews and41377
identified trends and patterns of unusual incidents and major41378
unusual incidents into amendments of an individual's service plan41379
for the purpose of improving and enhancing the quality and41380
appropriateness of services rendered to the individual;41381

       (10) Ensure that each individual receiving services has a41382
designated person who is responsible on a continuing basis for41383
providing the individual with representation, advocacy, advice,41384
and assistance related to the day-to-day coordination of services41385
in accordance with the individual's service plan. The service and41386
support administrator shall give the individual receiving services41387
an opportunity to designate the person to provide daily41388
representation. If the individual declines to make a designation,41389
the administrator shall make the designation. In either case, the41390
individual receiving services may change at any time the person41391
designated to provide daily representation.41392

       (C) Subject to available funds, the department of mental41393
retardation and developmental disabilities shall pay a county41394
board an annual subsidy for service and support administration.41395
The amount of the subsidy shall be equal to the greater of twenty41396
thousand dollars or two hundred dollars times the board's41397
certified average daily membership. The payments shall be made in 41398
quarterly installments of equal amounts, which shall be made no41399
later than the thirtieth day of September, the thirty-first day of 41400
December, the thirty-first day of March, and the thirtieth day of 41401
June. Funds received shall be used solely for service and support41402
administration.41403


       Sec. 5126.18.  (A) As used in this section:41405

       (1) "County board" means a county board of mental retardation 41406
and developmental disabilities.41407

       (2) Notwithstanding section 5126.01 of the Revised Code,41408
"adult services" means the following services, as they are41409
identified on individual information forms submitted by county41410
boards to the department of mental retardation and developmental41411
disabilities for the purpose of subsidies paid to county boards41412
under section 5126.12 of the Revised Code, provided to an 41413
individual with mental retardation or other developmental41414
disability who is at least twenty-two years of age:41415

       (a) Assessment;41416

       (b) Home service;41417

       (c) Adult program;41418

       (d) Community employment services;41419

       (e) Retirement.41420

       (3) "Adult services enrollment" means a county board's41421
average daily membership in adult services, exclusive of such41422
services provided to individuals served solely through service and41423
support administration provided pursuant to section 5126.15 of the41424
Revised Code or family support services provided pursuant to41425
section 5126.11 of the Revised Code.41426

       (4) "Taxable value" means the taxable value of a county board41427
certified under division (B)(1) of this section.41428

       (5) "Per-mill yield" of a county board means the quotient41429
obtained by dividing (a) the taxable value of the county board by41430
(b) one thousand.41431

       (6) "Local adult services cost" means a county board's41432
expenditures for adult services, excluding all federal and state41433
reimbursements and subsidy allocations received by such boards and41434
expended for such services, as certified under section 5126.12 of41435
the Revised Code.41436

       (7) "Statewide average millage" means one thousand multiplied 41437
by the quotient obtained by dividing (a) the total of the local 41438
adult services costs of all county boards by (b) the total of the 41439
taxable values of all county boards.41440

       (8) "County yield" of a county board means the product41441
obtained by multiplying (a) the statewide average millage by (b)41442
the per-mill yield of the county board.41443

       (9) "County yield per enrollee" of a county board means the41444
quotient obtained by dividing (a) the county yield of the county41445
board by (b) the adult enrollment of the county board.41446

       (10) "Statewide yield per enrollee" means the quotient41447
obtained by dividing (a) the sum of the county yields of all41448
county boards by (b) the sum of the adult enrollments of all41449
county boards.41450

       (11) "Local tax effort for adult services" of a county board41451
means one thousand multiplied by the quotient obtained by dividing41452
(a) the local adult services cost of the county board by (b) the41453
taxable value of the county board.41454

       (12) "Funding percentage" for a fiscal year means the41455
percentage that the amount appropriated to the department for the41456
purpose of making payments under this section in the fiscal year41457
is of the amount computed under division (C)(3) of this section41458
for the fiscal year.41459

       (13) "Funding-adjusted required millage" for a fiscal year41460
means the statewide average millage multiplied by the funding41461
percentage for that fiscal year.41462

       (B)(1) On the request of the director of mental retardation41463
and developmental disabilities, the tax commissioner shall provide41464
to the department of mental retardation and developmental41465
disabilities information specifying the taxable value of property41466
on each county's tax list of real and public utility property and41467
tax list of personal property for the most recent tax year for41468
which such information is available. The director may request any41469
other tax information necessary for the purposes of this section.41470

       (2) On the request of the director, each county board shall41471
report the county board's adult services enrollment and local41472
adult services cost.41473

       (C) Each year, the department of mental retardation and41474
developmental disabilities shall compute the following:41475

       (1) For each county board, the amount, if any, by which the41476
statewide yield per enrollee exceeds the county yield per41477
enrollee;41478

       (2) For each county board, the amount of any excess computed41479
under division (C)(1) of this section multiplied by the adult41480
services enrollment of the county board;41481

       (3) The sum of the amounts computed under division (C)(2) of41482
this section for all county boards.41483

       (D) From money appropriated for the purpose, the department 41484
shall provide for payment to each county board of the amount41485
computed for that county board under division (C)(2) of this41486
section, subject to any reduction or adjustment under division41487
(E), (F), or (G) of this section. The department shall make the 41488
payments in quarterly installments of equal amounts. The 41489
installments shall be made not later than the thirtieth day of 41490
September, thirty-first day of December, thirty-first day of 41491
March, and thirtieth day of June.41492

       (E) If a county board's local tax effort for adult services41493
is less than the funding-adjusted required millage, the director41494
shall reduce the amount of payment otherwise computed under41495
division (C)(2) of this section so that the amount paid, after the41496
reduction, is the same percentage of the amount computed under41497
division (C)(2) of this section as the county board's local tax41498
effort for adult services is of the funding-adjusted required41499
millage.41500

       If the director reduces the amount of a county board's41501
payment under this division, the department, not later than the41502
fifteenth day of July, shall notify the county board of the41503
reduction and the amount of the reduction. The notice shall41504
include a statement that the county board may request to be41505
exempted from the reduction by filing a request with the director,41506
in the manner and form prescribed by the director, within41507
twenty-one days after such notification is issued. The board may41508
present evidence of its attempt to obtain passage of levies or any41509
other extenuating circumstances the board considers relevant. If41510
the county board requests a hearing before the director to present41511
such evidence, the director shall conduct a hearing on the request41512
unless the director exempts the board from the reduction on the41513
basis of the evidence presented in the request filed by the board.41514
Upon receiving a properly and timely filed request for exemption,41515
but not later than the thirty-first day of August, the director41516
shall determine whether the county board shall be exempted from41517
all or a part of the reduction. The director may exempt the board41518
from all or part of the reduction if the director finds that the41519
board has made good faith efforts to obtain passage of tax levies41520
or that there are extenuating circumstances.41521

       (F) If a payment is reduced under division (E) of this41522
section and the director does not exempt the county board from the41523
reduction, the amount of the reduction shall be apportioned among41524
all county boards entitled to payments under this section for41525
which payments were not so reduced. The amount apportioned to each 41526
county board shall be proportionate to the amount of the board's 41527
payment as computed under division (C)(2) of this section.41528

       (G) If, for any fiscal year, the amount appropriated to the41529
department for the purpose of this section is less than the amount41530
computed under division (C)(3) of this section for the fiscal41531
year, the department shall adjust the amount of each payment as41532
computed under divisions (C)(2), (E), and (F) of this section by41533
multiplying that amount by the funding percentage.41534

       (H) The payments authorized by this section are supplemental41535
to all other funds that may be received by a county board. A41536
county board shall use the payments solely to pay the nonfederal41537
share of medicaid expenditures that division (A) of section41538
5126.057sections 5126.059 and 5126.0510 of the Revised Code 41539
requiresrequire the county board to pay.41540

       Sec. 5126.19.  (A) The director of mental retardation and41541
developmental disabilities may grant temporary funding from the41542
community mental retardation and developmental disabilities trust41543
fund based on allocations to county boards of mental retardation41544
and developmental disabilities. The director may distribute all or 41545
part of the funding directly to a county board, the persons who41546
provide the services for which the funding is granted, or persons41547
with mental retardation or developmental disabilities who are to41548
receive those services.41549

       (B) Funding granted under division (A) of this section shall41550
be granted according to the availability of moneys in the fund and41551
priorities established by the director. Funding may be granted for 41552
any of the following purposes:41553

       (1) Behavioral or short-term interventions for persons with41554
mental retardation or developmental disabilities that assist them41555
in remaining in the community by preventing institutionalization;41556

       (2) Emergency respite care services, as defined in section41557
5126.11 of the Revised Code;41558

       (3) Family support services provided under section 5126.11 of 41559
the Revised Code;41560

       (4) Supported living, as defined in section 5126.01 of the41561
Revised Code;41562

       (5) Staff training for county board employees, employees of41563
providers of residential services as defined in section 5126.01 of41564
the Revised Code, and other personnel under contract with a county41565
board, to provide the staff with necessary training in serving41566
mentally retarded or developmentally disabled persons in the41567
community;41568

       (6) Short-term provision of early childhood services provided 41569
under section 5126.05, adult services provided under sections 41570
5126.05 and 5126.051, and service and support administration 41571
provided under section 5126.15 of the Revised Code, when local41572
moneys are insufficient to meet the need for such services due to41573
the successive failure within a two-year period of three or more41574
proposed levies for the services;41575

       (7) Contracts with providers of residential services to41576
maintain persons with mental retardation and developmental41577
disabilities in their programs and avoid institutionalization.41578

       (C) If the trust fund contains more than ten million dollars41579
on the first day of July the director shall use one million41580
dollars for payments under section 5126.12 of the Revised Code,41581
one million dollars for payments under section 5126.18 of the41582
Revised Code, and two million dollars for payments under section41583
5126.44 of the Revised Codesubsidies to county boards for 41584
supported living, and one million dollars for subsidies to county 41585
boards for early childhood services and adult services provided 41586
under section 5126.05 of the Revised Code. Distributions of funds41587
under this division shall be made prior to August 31 of the state41588
fiscal year in which the funds are available. The funds shall be 41589
allocated to a county board in an amount equal to the same41590
percentage of the total amount allocated to the county board the 41591
immediately preceding state fiscal year.41592

       (D) In addition to making grants under division (A) of this41593
section, the director may use money available in the trust fund41594
for the same purposes that rules adopted under section 5123.041341595
of the Revised Code provide for money in the state MR/DD risk fund41596
and the state insurance against MR/DD risk fund, both created41597
under that section, to be used.41598

       Sec. 5126.25.  (A) The director of mental retardation and41599
developmental disabilities shall adopt rules in accordance with41600
Chapter 119. of the Revised Code establishing uniform standards41601
and procedures for the certification of persons for employment by41602
county boards of mental retardation and developmental disabilities41603
as superintendents, management employees, and professional41604
employees and uniform standards and procedures for the41605
registration of persons for employment by county boards as41606
registered service employees. As part of the rules, the director41607
may establish continuing education and professional training41608
requirements for renewal of certificates and evidence of41609
registration and shall establish such requirements for renewal of41610
an investigative agent certificate. In the rules, the director41611
shall establish certification standards for employment in the41612
position of investigative agent that require an individual to have41613
or obtain no less than an associate degree from an accredited41614
college or university or have or obtain comparable experience or41615
training. The director shall not adopt rules that require any41616
service employee to have or obtain a bachelor's or higher degree.41617

       The director shall adopt the rules in a manner that provides41618
for the issuance of certificates and evidence of registration41619
according to categories, levels, and grades. The rules shall41620
describe each category, level, and grade.41621

       The rules adopted under this division shall apply to persons41622
employed or seeking employment in a position that includes41623
directly providing, or supervising persons who directly provide,41624
services or instruction to or on behalf of individuals with mental41625
retardation or developmental disabilities, except that the rules41626
shall not apply to persons who hold a valid license issued under41627
Chapter 3319. of the Revised Code and perform no duties other than41628
teaching or supervision of a teaching program or persons who hold41629
a valid license or certificate issued under Title XLVII of the41630
Revised Code and perform only those duties governed by the license41631
or certificate. The rules shall specify the positions that require41632
certification or registration. The rules shall specify that the41633
position of investigative agent requires certification.41634

       (B) The director shall adopt rules in accordance with Chapter 41635
119. of the Revised Code establishing standards for approval of 41636
courses of study to prepare persons to meet certification 41637
requirements. The director shall approve courses of study meeting 41638
the standards and provide for the inspection of the courses to 41639
ensure the maintenance of satisfactory training procedures. The 41640
director shall approve courses of study only if given by a state 41641
university or college as defined in section 3345.32 of the Revised 41642
Code, a state university or college of another state, or an 41643
institution that has received a certificate of authorization to 41644
confer degrees from the board of regents pursuant to Chapter 1713. 41645
of the Revised Code or from a comparable agency of another state.41646

       (C) Each applicant for a certificate for employment or41647
evidence of registration for employment by a county board shall41648
apply to the department of mental retardation and developmental41649
disabilities on forms that the director of the department shall41650
prescribe and provide. The application shall be accompanied by the 41651
application fee established in rules adopted under this section.41652

       (D) The director shall issue a certificate for employment to41653
each applicant who meets the standards for certification41654
established under this section and shall issue evidence of41655
registration for employment to each applicant who meets the41656
standards for registration established under this section. Each41657
certificate or evidence of registration shall state the category,41658
level, and grade for which it is issued.41659

       The director shall issue, renew, deny, suspend, or revoke41660
certificates and evidence of registration in accordance with rules41661
adopted under this section. The director shall deny, suspend, or41662
revoke a certificate or evidence of registration if the director41663
finds, pursuant to an adjudication conducted in accordance with41664
Chapter 119. of the Revised Code, that the applicant for or holder41665
of the certificate or evidence of registration is guilty of41666
intemperate, immoral, or other conduct unbecoming to the41667
applicant's or holder's position, or is guilty of incompetence or41668
negligence within the scope of the applicant's or holder's duties.41669
The director shall deny or revoke a certificate or evidence of41670
registration if the director finds, pursuant to an adjudication41671
conducted in accordance with Chapter 119. of the Revised Code,41672
that the applicant for or holder of the certificate or evidence of41673
registration has been convicted of or pleaded guilty to any of the41674
offenses described in division (E) of section 5126.28 of the41675
Revised Code, unless the individual meets standards for41676
rehabilitation that the director establishes in the rules adopted41677
under that section. Evidence supporting such allegations shall be41678
presented to the director in writing and the director shall41679
provide prompt notice of the allegations to the person who is the41680
subject of the allegations. A denial, suspension, or revocation41681
may be appealed in accordance with procedures the director shall41682
establish in the rules adopted under this section.41683

       (E)(1) A person holding a valid certificate under this41684
section on the effective date of any rules adopted under this41685
section that increase certification standards shall have such41686
period as the rules prescribe, but not less than one year after41687
the effective date of the rules, to meet the new certification41688
standards.41689

       A person who is registered under this section on the41690
effective date of any rule that changes the standards adopted41691
under this section shall have such period as the rules prescribe,41692
but not less than one year, to meet the new registration41693
standards.41694

       (2) If an applicant for a certificate for employment has not41695
completed the courses of instruction necessary to meet the41696
department's standards for certification, the department shall41697
inform the applicant of the courses the applicant must41698
successfully complete to meet the standards and shall specify the41699
time within which the applicant must complete the courses. The41700
department shall grant the applicant at least one year to complete41701
the courses and shall not require the applicant to complete more41702
than four courses in any one year. The applicant is not subject to 41703
any changes regarding the courses required for certification that 41704
are made after the department informs the applicant of the courses41705
the applicant must complete, unless the applicant does not41706
successfully complete the courses within the time specified by the41707
department.41708

       (F) A person who holds a certificate or evidence of41709
registration, other than one designated as temporary, is qualified41710
to be employed according to that certificate or evidence of41711
registration by any county board.41712

       (G) The director shall monitor county boards to ensure that41713
their employees who must be certified or registered are41714
appropriately certified or registered and performing those41715
functions they are authorized to perform under their certificate41716
or evidence of registration.41717

       (H) A county board superintendent or the superintendent's41718
designee may certify to the director that county board employees41719
who are required to meet continuing education or professional41720
training requirements as a condition of renewal of certificates or41721
evidence of registration have met the requirements. The41722
superintendent or the superintendent's designee shall maintain in41723
appropriate personnel files evidence acceptable to the director41724
that the employees have met the requirements and permit41725
representatives of the department access to the evidence on41726
request.41727

       (I) All fees collected pursuant to this section shall be41728
deposited in the state treasury to the credit of the employee41729
certification and registrationprogram fee fund, which is hereby41730
created under section 5123.033 of the Revised Code. Money credited 41731
to the fund shall be used solely for the operation of the 41732
certification and registration program established under this 41733
section and for providing continuing training to county board41734
employees.41735

       (J) Employees of entities that contract with county boards of41736
mental retardation and developmental disabilities to operate41737
programs and services for individuals with mental retardation and41738
developmental disabilities are subject to the certification and41739
registration requirements established under section 5123.082 of41740
the Revised Code.41741

       Sec. 5126.40.  (A) Sections 5126.40 to 5126.47 of the Revised 41742
Code do not apply to medicaid-funded supported living.41743

       (B) As used in this section and sections 5126.415126.40 to 41744
5126.47 of the Revised Code, "provider" means a person or41745
government entity certified by the departmentdirector of mental41746
retardation and developmental disabilities to provide supported 41747
living for individuals with mental retardation and developmental 41748
disabilities.41749

       (B) This division is in effect until July 1, 1995. By 41750
adoption of a resolution by affirmative vote of a majority of its 41751
members, a county board of mental retardation and developmental 41752
disabilities shall have authority to plan and develop supported 41753
living for individuals with mental retardation and developmental 41754
disabilities who are residents of the county and, as provided in 41755
sections 5126.41 to 5126.47 of the Revised Code, contract with 41756
providers and enter into shared funding arrangements. The board's 41757
authority under this division is effective on the department's 41758
receipt of the resolution.41759

       (C) On and after July 1, 1995, each county board shall plan 41760
and develop supported living for individuals with mental 41761
retardation and developmental disabilities who are residents of 41762
the county in accordance with sections 5126.41 to 5126.47 of the 41763
Revised Code.41764

       Sec. 5126.42.  (A) A county board of mental retardation and 41765
developmental disabilities shall establish an advisory council 41766
composed of board members or employees of the board, providers, 41767
individuals receiving supported living, and advocates for 41768
individuals receiving supported living to provide on-going41769
communication among all persons concerned with supported living.41770

       (B) The board shall develop procedures for the resolution of 41771
grievances between the board and providers or between the board 41772
and an entity with which it has a shared funding agreement.41773

       (C) The board shall develop and implement a provider41774
selection system. Each system shall enable an individual to choose 41775
to continue receiving supported living from the same providers, to 41776
select additional providers, or to choose alternative providers. 41777
Annually, the board shall review its provider selection system to 41778
determine whether it has been implemented in a manner that allows 41779
individuals fair and equitable access to providers.41780

       In developing a provider selection system, the county board41781
shall create a pool of providers for individuals to use in41782
choosing their providers of supported living. The pool shall be41783
created by placing in the pool all providers on record with the41784
board or by placing in the pool all providers approved by the41785
board through soliciting requests for proposals for supported41786
living contracts. In either case, only providers that are41787
certified by the departmentdirector of mental retardation and41788
developmental disabilities and in compliance with the quality41789
assurance standards established in rules adopted by the department41790
may be placed in the pool.41791

       If the board places all providers on record in the pool, the 41792
board shall review the pool at least annually to determine whether 41793
each provider has continued interest in being a provider and has 41794
maintained its certification by the department. At any time, an 41795
interested and certified provider may make a request to the board 41796
that it be added to the pool, and the board shall add the provider 41797
to the pool not later than seven days after receiving the request.41798

       If the board solicits requests for proposals for inclusion of 41799
providers in the pool, the board shall develop standards for41800
selecting the providers to be included. Requests for proposals41801
shall be solicited at least annually. When requests are solicited, 41802
the board shall cause legal notices to be published at least once 41803
each week for two consecutive weeks in a newspaper with general 41804
circulation within the county. The board's formal request for 41805
proposals shall include a description of any applicable contract 41806
terms, the standards that are used to select providers for 41807
inclusion in the pool, and the process the board uses to resolve 41808
disputes arising from the selection process. The board shall 41809
accept requests from any entity interested in being a provider of 41810
supported living for individuals served by the board. Requests 41811
shall be approved or denied according to the standards developed 41812
by the board. Providers that previously have been placed in the 41813
pool are not required to resubmit a request for proposal to be 41814
included in the pool, unless the board's standards have been 41815
changed.41816

       In assisting an individual in choosing a provider, the county 41817
board shall provide the individual with uniform and consistent 41818
information pertaining to each provider in the pool, including the 41819
provider evaluations conducted under section 5126.431 of the 41820
Revised Code on and after July 1, 1995. An individual may choose 41821
to receive supported living from a provider that is not included 41822
in the pool, if the provider is certified by the department41823
director of mental retardation and developmental disabilities and 41824
in compliance with the quality assurance standards established in 41825
rules adopted by the department.41826

       Sec. 5126.43.  (A) After receiving notice from the department 41827
of mental retardation and developmental disabilities of the amount 41828
of state funds to be distributed to it under section 5126.44 of 41829
the Revised Codefor planning, developing, contracting for, and 41830
providing supported living, the county board of mental retardation 41831
and developmental disabilities shall arrange for supported living41832
on behalf of and with the consent of individuals based on their 41833
individual service plans developed under section 5126.41 of the 41834
Revised Code. With the state distribution and any other money 41835
designated by the board for supported living, the board shall 41836
arrange for supported living in one or more of the following ways:41837

       (1) By contracting under section 5126.45 of the Revised Code 41838
with providers selected by the individual to be served;41839

       (2) By entering into shared funding agreements with state 41840
agencies, local public agencies, or political subdivisions at 41841
rates negotiated by the board;41842

       (3) By providing direct payment or vouchers to be used to 41843
purchase supported living, pursuant to a written contract in an41844
amount determined by the board, to the individual or a person 41845
providing the individual with protective services as defined in 41846
section 5123.55 of the Revised Code.41847

       (B) When the board contracts for supported living on behalf 41848
of an individual, theThe board may contractarrange for supported 41849
living only with providers that are certified by the department41850
director of mental retardation and developmental disabilities and 41851
are in compliance with the quality assurance standards established 41852
in rules adopted by the department. The contract terms shall be as 41853
provided in section 5126.45 of the Revised Code.41854

       When no certified provider is willing and able to provide 41855
supported living for an individual in accordance with the terms of 41856
the individual service plan for that individual, a county board 41857
may provide supported living directly, if it complies with 41858
certification and quality assurance standards established by the41859
departmentis certified by the director of mental retardation and 41860
developmental disabilities to provide supported living.41861

       A county board may, for a period not to exceed ninety days, 41862
contract for or provide supported living without meeting the 41863
requirements of this section for an individual it determines to be 41864
in emergency need of supported living. Thereafter, the individual 41865
shall choose providers in accordance with sections 5126.41 and 41866
5126.42 of the Revised Code.41867

       Sec. 5126.45.  (A) A contract between a county board of41868
mental retardation and developmental disabilities and a provider41869
of supported living shall be in writing and shall be based on the 41870
individual service plan developed by the individual under section 41871
5126.41 of the Revised Code. The plan may be submitted as an 41872
addendum to the contract. An individual receiving services 41873
pursuant to a contract shall be considered a third-party 41874
beneficiary to the contract.41875

       The board shall not contract with a provider to provide a 41876
residence to a person to whom the provider is providing other 41877
supported living services, unless one of the following applies:41878

       (1) The provider is under contract with the board for both41879
residence and services on July 17, 1990, and the contract is being 41880
renewed.41881

       (2) The provider has a contract being transferred from the 41882
state to the county board under section 5126.451 of the Revised 41883
Code and the contract is being renewed.41884

       (3) The provider lives in the residence and provides services 41885
to not more than three persons who reside in the residence at any 41886
one time.41887

       (4) The provider is an association of family members related 41888
to two or more of the persons who reside in the residence and 41889
provides services to not more than four persons who reside in the 41890
residence at any one time.41891

       (B) The contract shall be negotiated between the provider and 41892
the county board. The terms of the contract shall include at least 41893
the following:41894

       (1) The contract period and conditions for renewal;41895

       (2) The services to be provided pursuant to the individual 41896
service plan;41897

       (3) The rights and responsibilities of all parties to the 41898
contract;41899

       (4) The methods that will be used to evaluate the services 41900
delivered by the provider;41901

       (5) Procedures for contract modification that ensure all 41902
parties affected by the modification are involved and agree;41903

       (6) A process for resolving conflicts between individuals 41904
receiving services, the county board, and the provider, as 41905
applicable;41906

       (7) Procedures for the retention of applicable records;41907

       (8) Provisions for contract termination by any party involved 41908
that include requirements for an appropriate notice of intent to 41909
terminate the contract;41910

       (9) Methods to be used to document services provided;41911

       (10) Procedures for submitting reports required by the county 41912
board as a condition of receiving payment under the contract;41913

       (11) The method and schedule the board will use to make 41914
payments to the provider and whether periodic payment adjustments 41915
will be made to the provider;41916

       (12) Provisions for conducting fiscal reconciliations for 41917
payments made through methods other than a fee-for-service 41918
arrangement.41919

       (C) Payments to the provider under a supported living41920
contract must be determined by the board to be reasonable in41921
accordance with policies and procedures developed by the board.41922
Goods or services provided without charge to the provider shall41923
not be included as expenditures of the provider.41924

       (D) The board shall establish procedures for reconciling41925
expenditures and payments, other than those made under a 41926
fee-for-service arrangement, for the prior contract year when a41927
contract is not renewed and shall reconcile expenditures and41928
payments in accordance with these procedures.41929

       (E) A provider or an entity with which the board has entered 41930
into a shared funding agreement may appeal a negotiated contract 41931
or proposed shared funding rate to the county board using the 41932
procedures established by the board under section 5126.42 of the 41933
Revised Code.41934

       Sec. 5126.47.  A county board of mental retardation and41935
developmental disabilities that has adopted a resolution under41936
section 5126.40 of the Revised Code may, pursuant to a resolution41937
adopted by an affirmative vote of the majority of its members,41938
establish, by agreement with one or more other county boards of41939
mental retardation and developmental disabilities, a residential41940
services consortium to jointly provide residential services and41941
supported living. The agreement shall designate one board to41942
assume the fiscal responsibilities for the consortium. The county 41943
auditor of the designated county shall establish a community 41944
mental retardation and developmental disabilities residential 41945
services fund for the consortium. Each board that is a member of 41946
the consortium shall cause to be deposited in the fund all moneys 41947
distributed to it by the department of mental retardation and 41948
developmental disabilities under section 5126.44 of the Revised 41949
Code and any other state or federal money received for community 41950
residential services the county board has agreed to contribute to 41951
the consortium.41952

       Sec. 5139.27.  The department of youth services shall adopt41953
rules prescribing the minimum standards of construction for a41954
school, forestry camp, or other facility established under section41955
2151.65 of the Revised Code for which financial assistance may be41956
granted to assist in defraying the cost of the construction of the41957
school, forestry camp, or other facility. If an application for41958
that financial assistance is filed with the department under41959
section 2151.651 of the Revised Code, and the department finds41960
that the application is in proper form and the specifications for41961
the construction of the school, forestry camp, or other facility41962
meet the minimum standards set forth in the rules adopted by the41963
department, the department may, from moneys available to it for41964
granting financial assistance for the construction of schools,41965
forestry camps, or other facilities established under section41966
2151.65 of the Revised Code, grant financial assistance to the41967
county making the application, subject to the approval of the41968
controlling board, in an amount not to exceed one-half of the41969
county's share of the cost of construction of the school, forestry41970
camp, or other facility but not to exceed six thousand five41971
hundred dollars for each bed unit provided for in the school,41972
forestry camp, or other facility. As used in this section,41973
"construction" means the building and the initial equipping of new41974
structures and, to the extent provided for in rules adopted by the41975
department, the acquisition, remodeling, and initial equipping of41976
existing structures, excluding architect's fees and the cost of41977
land acquisition.41978

       A county that receives financial assistance under this41979
section shall not be obligated to repay the assistance to the41980
state unless the school, forestry camp, or other facility for41981
which the assistance is granted is used within the ten-year period41982
immediately following its establishment for other than the purpose41983
of rehabilitating children between the ages of twelve to eighteen41984
years, other than psychotic or mentally retarded children, who are41985
designated delinquent children, as defined in section 2152.02 of41986
the Revised Code, or unruly, as defined in section 2151.022 of the41987
Revised Code, by order of a juvenile court. If the department of41988
youth services finds that the school, forestry camp, or other41989
facility is used for other than that purpose within that ten-year41990
period, the county shall be obligated to repay the assistance to41991
the state and, through its board of county commissioners, may41992
enter into an agreement with the director of budget and management41993
for the discharge of that obligation over a period not to exceed41994
ten years in duration. Whenever a county is obligated to repay41995
that assistance to the state and its board of county commissioners41996
fails to enter into or fails to comply with an agreement for the41997
discharge of that obligation, the tax commissioner, pursuant to41998
section 5747.54 of the Revised Code, shall withhold from41999
distribution to the county from the local governmentcommunities42000
fund an amount sufficient to discharge the county from that 42001
obligation to the state.42002

       Sec. 5139.271.  Subject to the approval of the controlling42003
board, the department of youth services may grant and pay42004
financial assistance to defray the county's share of the cost of42005
acquiring or constructing a district detention facility,42006
established under section 2152.41 of the Revised Code, to any42007
county making application under section 2152.43 of the Revised42008
Code if the department finds that the application was made in42009
accordance with its rules and the facility or the specifications42010
for the facility meet minimum standards established by the42011
department. No financial assistance shall be granted for defraying 42012
the cost of architects' fees or land.42013

       The department shall adopt rules prescribing the minimum42014
standards of construction and condition of existing structures,42015
established under section 2152.41 of the Revised Code, for which42016
financial assistance is granted under this section. The department 42017
may recommend programs of education and training and the 42018
qualifications desired for personnel of a district detention42019
facility.42020

       The amount of financial assistance granted to any county42021
shall not exceed one-half of the county's share of the cost of42022
acquisition or construction of the facility. The total of all42023
state assistance for any home shall not exceed six thousand five42024
hundred dollars for each bed unit provided for in the facility.42025

       A county that receives financial assistance under this42026
section shall repay the assistance to the state if the facility42027
for which the assistance is granted is used within the ten-year42028
period immediately following its establishment for purposes other42029
than those contained in section 2152.41 of the Revised Code. A42030
board of county commissioners that uses the facility for any other 42031
purpose within that period shall enter into an agreement with the 42032
director of budget and management for the discharge of that42033
obligation over a period not to exceed ten years. If a board of42034
county commissioners fails to enter into an agreement for the42035
discharge of that obligation, or fails to comply with the terms of42036
such an agreement, the director shall direct the tax commissioner,42037
pursuant to section 5747.54 of the Revised Code, to withhold from42038
the distribution of the local governmentcommunities fund an 42039
amount sufficient to discharge the obligation.42040

       As used in this section:42041

       (A) "Construction" means the building and initial equipping42042
of new structures.42043

       (B) "Acquisition" means "acquisition" as defined in the rules 42044
of the department, which may include the purchase, remodeling, and 42045
initial equipping of existing structures.42046

       Sec. 5139.43.  (A) The department of youth services shall 42047
operate a felony delinquent care and custody program that shall be 42048
operated in accordance with the formula developed pursuant to 42049
section 5139.41 of the Revised Code, subject to the conditions 42050
specified in this section.42051

       (B)(1) Each juvenile court shall use the moneys disbursed to 42052
it by the department of youth services pursuant to division (B) of 42053
section 5139.41 of the Revised Code in accordance with the 42054
applicable provisions of division (B)(2) of this section and shall 42055
transmit the moneys to the county treasurer for deposit in 42056
accordance with this division. The county treasurer shall create 42057
in the county treasury a fund that shall be known as the felony 42058
delinquent care and custody fund and shall deposit in that fund 42059
the moneys disbursed to the juvenile court pursuant to division 42060
(B) of section 5139.41 of the Revised Code. The county treasurer 42061
also shall deposit into that fund the state subsidy funds granted 42062
to the county pursuant to section 5139.34 of the Revised Code. The 42063
moneys disbursed to the juvenile court pursuant to division (B) of 42064
section 5139.41 of the Revised Code and deposited pursuant to this42065
division in the felony delinquent care and custody fund shall not42066
be commingled with any other county funds except state subsidy 42067
funds granted to the county pursuant to section 5139.34 of the 42068
Revised Code; shall not be used for any capital construction 42069
projects; upon an order of the juvenile court and subject to 42070
appropriation by the board of county commissioners, shall be 42071
disbursed to the juvenile court for use in accordance with the 42072
applicable provisions of division (B)(2) of this section; shall 42073
not revert to the county general fund at the end of any fiscal 42074
year; and shall carry over in the felony delinquent care and 42075
custody fund from the end of any fiscal year to the next fiscal 42076
year. At the end of each fiscal year, beginning June 30, 2008, the 42077
balance in the felony delinquent care and custody fund in any 42078
county shall not exceed the total moneys allocated to the county 42079
pursuant to sections 5139.34 and 5139.41 of the Revised Code 42080
during the previous fiscal year, unless that county has applied 42081
for and been granted an exemption by the director of youth 42082
services. The department shall withhold from future payments to a 42083
county an amount equal to any moneys in the felony delinquent care 42084
and custody fund of the county that exceed the total moneys 42085
allocated pursuant to those sections to the county during the 42086
preceding fiscal year and shall reallocate the withheld amount. 42087
The department shall adopt rules for the withholding and 42088
reallocation of moneys disbursed under sections 5139.34 and 42089
5139.41 of the Revised Code and for the criteria and process for a 42090
county to obtain an exemption from the withholding requirement.42091
The moneys disbursed to the juvenile court pursuant to division42092
(B) of section 5139.41 of the Revised Code and deposited pursuant 42093
to this division in the felony delinquent care and custody fund 42094
shall be in addition to, and shall not be used to reduce, any 42095
usual annual increase in county funding that the juvenile court is 42096
eligible to receive or the current level of county funding of the 42097
juvenile court and of any programs or services for delinquent 42098
children, unruly children, or juvenile traffic offenders.42099

       (2)(a) A county and the juvenile court that serves the county42100
shall use the moneys in its felony delinquent care and custody 42101
fund in accordance with rules that the department of youth 42102
services adopts pursuant to division (D) of section 5139.04 of the 42103
Revised Code and as follows:42104

       (i) The moneys in the fund that represent state subsidy funds42105
granted to the county pursuant to section 5139.34 of the Revised 42106
Code shall be used to aid in the support of prevention, early 42107
intervention, diversion, treatment, and rehabilitation programs 42108
that are provided for alleged or adjudicated unruly children or 42109
delinquent children or for children who are at risk of becoming 42110
unruly children or delinquent children. The county shall not use 42111
for capital improvements more than fifteen per cent of the moneys 42112
in the fund that represent the applicable annual grant of those42113
state subsidy funds.42114

       (ii) The moneys in the fund that were disbursed to the 42115
juvenile court pursuant to division (B) of section 5139.41 of the 42116
Revised Code and deposited pursuant to division (B)(1) of this 42117
section in the fund shall be used to provide programs and services 42118
for the training, treatment, or rehabilitation of felony 42119
delinquents that are alternatives to their commitment to the 42120
department, including, but not limited to, community residential 42121
programs, day treatment centers, services within the home, and 42122
electronic monitoring, and shall be used in connection with 42123
training, treatment, rehabilitation, early intervention, or other 42124
programs or services for any delinquent child, unruly child, or 42125
juvenile traffic offender who is under the jurisdiction of the 42126
juvenile court. 42127

        The fund also may be used for prevention, early intervention, 42128
diversion, treatment, and rehabilitation programs that are 42129
provided for alleged or adjudicated unruly children, delinquent 42130
children, or juvenile traffic offenders or for children who are at 42131
risk of becoming unruly children, delinquent children, or juvenile 42132
traffic offenders. Consistent with division (B)(1) of this42133
section, a county and the juvenile court of a county shall not use 42134
any of those moneys for capital construction projects.42135

       (iii) The county and the juvenile court that serves the 42136
county may not use moneys in the fund for the provision of care 42137
and services for children, including, but not limited to, care and 42138
services in a detention facility, in another facility, or in 42139
out-of-home placement, unless the minimum standards that apply to 42140
the care and services and that the department prescribes in rules 42141
adopted pursuant to division (D) of section 5139.04 of the Revised 42142
Code have been satisfied.42143

       (b) Each juvenile court shall comply with division (B)(3)(d) 42144
of this section as implemented by the department. 42145

       (3) In accordance with rules adopted by the department42146
pursuant to division (D) of section 5139.04 of the Revised Code, 42147
each juvenile court and the county served by that juvenile court 42148
shall do all of the following that apply:42149

       (a) The juvenile court shall prepare an annual grant 42150
agreement and application for funding that satisfies the 42151
requirements of this section and section 5139.34 of the Revised 42152
Code and that pertains to the use, upon an order of the juvenile 42153
court and subject to appropriation by the board of county 42154
commissioners, of the moneys in its felony delinquent care and 42155
custody fund for specified programs, care, and services as 42156
described in division (B)(2)(a) of this section, shall submit that 42157
agreement and application to the county family and children first 42158
council, the regional family and children first council, or the 42159
local intersystem services to children cluster as described in42160
sections 121.37 and 121.38 of the Revised Code, whichever is 42161
applicable, and shall file that agreement and application with the42162
department for its approval. The annual grant agreement and 42163
application for funding shall include a method of ensuring equal42164
access for minority youth to the programs, care, and services 42165
specified in it.42166

       The department may approve an annual grant agreement and 42167
application for funding only if the juvenile court involved has 42168
complied with the preparation, submission, and filing requirements 42169
described in division (B)(3)(a) of this section. If the juvenile 42170
court complies with those requirements and the department approves 42171
that agreement and application, the juvenile court and the county42172
served by the juvenile court may expend the state subsidy funds42173
granted to the county pursuant to section 5139.34 of the Revised 42174
Code only in accordance with division (B)(2)(a) of this section, 42175
the rules pertaining to state subsidy funds that the department 42176
adopts pursuant to division (D) of section 5139.04 of the Revised42177
Code, and the approved agreement and application.42178

       (b) By the thirty-first day of August of each year, the 42179
juvenile court shall file with the department a report that 42180
contains all of the statistical and other information for each 42181
month of the prior state fiscal year. If the juvenile court fails 42182
to file the report required by division (B)(3)(b) of this section 42183
by the thirty-first day of August of any year, the department 42184
shall not disburse any payment of state subsidy funds to which the 42185
county otherwise is entitled pursuant to section 5139.34 of the 42186
Revised Code and shall not disburse pursuant to division (B) of 42187
section 5139.41 of the Revised Code the applicable allocation 42188
until the juvenile court fully complies with division (B)(3)(b) of 42189
this section.42190

       (c) If the department requires the juvenile court to prepare 42191
monthly statistical reports and to submit the reports on forms 42192
provided by the department, the juvenile court shall file those 42193
reports with the department on the forms so provided. If the 42194
juvenile court fails to prepare and submit those monthly 42195
statistical reports within the department's timelines, the 42196
department shall not disburse any payment of state subsidy funds 42197
to which the county otherwise is entitled pursuant to section 42198
5139.34 of the Revised Code and shall not disburse pursuant to 42199
division (B) of section 5139.41 of the Revised Code the applicable 42200
allocation until the juvenile court fully complies with division42201
(B)(3)(c) of this section. If the juvenile court fails to prepare 42202
and submit those monthly statistical reports within one hundred 42203
eighty days of the date the department establishes for their 42204
submission, the department shall not disburse any payment of state 42205
subsidy funds to which the county otherwise is entitled pursuant 42206
to section 5139.34 of the Revised Code and shall not disburse 42207
pursuant to division (B) of section 5139.41 of the Revised Code 42208
the applicable allocation, and the state subsidy funds and the 42209
remainder of the applicable allocation shall revert to the 42210
department. If a juvenile court states in a monthly statistical 42211
report that the juvenile court adjudicated within a state fiscal42212
year five hundred or more children to be delinquent children for 42213
committing acts that would be felonies if committed by adults and 42214
if the department determines that the data in the report may be 42215
inaccurate, the juvenile court shall have an independent auditor 42216
or other qualified entity certify the accuracy of the data on a 42217
date determined by the department.42218

       (d) If the department requires the juvenile court and the 42219
county to participate in a fiscal monitoring program or another 42220
monitoring program that is conducted by the department to ensure 42221
compliance by the juvenile court and the county with division (B) 42222
of this section, the juvenile court and the county shall 42223
participate in the program and fully comply with any guidelines 42224
for the performance of audits adopted by the department pursuant 42225
to that program and all requests made by the department pursuant 42226
to that program for information necessary to reconcile fiscal 42227
accounting. If an audit that is performed pursuant to a fiscal42228
monitoring program or another monitoring program described in this 42229
division determines that the juvenile court or the county used 42230
moneys in the county's felony delinquent care and custody fund for 42231
expenses that are not authorized under division (B) of this 42232
section, within forty-five days after the department notifies the 42233
county of the unauthorized expenditures, the county either shall 42234
repay the amount of the unauthorized expenditures from the county 42235
general revenue fund to the state's general revenue fund or shall42236
file a written appeal with the department. If an appeal is timely 42237
filed, the director of the department shall render a decision on 42238
the appeal and shall notify the appellant county or its juvenile 42239
court of that decision within forty-five days after the date that 42240
the appeal is filed. If the director denies an appeal, the 42241
county's fiscal agent shall repay the amount of the unauthorized 42242
expenditures from the county general revenue fund to the state's 42243
general revenue fund within thirty days after receiving the 42244
director's notification of the appeal decision. If the county 42245
fails to make the repayment within that thirty-day period and if42246
the unauthorized expenditures pertain to moneys allocated under42247
sections 5139.41 to 5139.43 of the Revised Code, the department 42248
shall deduct the amount of the unauthorized expenditures from the42249
next allocation of those moneys to the county in accordance with 42250
this section or from the allocations that otherwise would be made 42251
under those sections to the county during the next state fiscal42252
year in accordance with this section and shall return that 42253
deducted amount to the state's general revenue fund. If the county 42254
fails to make the repayment within that thirty-day period and if 42255
the unauthorized expenditures pertain to moneys granted pursuant 42256
to section 5139.34 of the Revised Code, the department shall42257
deduct the amount of the unauthorized expenditures from the next42258
annual grant to the county pursuant to that section and shall42259
return that deducted amount to the state's general revenue fund.42260

       (C) The determination of which county a reduction of the 42261
care and custody allocation will be charged against for a 42262
particular youth shall be made as outlined below for all youths 42263
who do not qualify as public safety beds. The determination of 42264
which county a reduction of the care and custody allocation will 42265
be charged against shall be made as follows until each youth is 42266
released: 42267

       (1) In the event of a commitment, the reduction shall be 42268
charged against the committing county. 42269

       (2) In the event of a recommitment, the reduction shall be 42270
charged against the original committing county until the 42271
expiration of the minimum period of institutionalization under the 42272
original order of commitment or until the date on which the youth 42273
is admitted to the department of youth services pursuant to the 42274
order of recommitment, whichever is later. Reductions of the 42275
allocation shall be charged against the county that recommitted42276
the youth after the minimum expiration date of the original42277
commitment. 42278

       (3) In the event of a revocation of a release on parole, the 42279
reduction shall be charged against the county that revokes the 42280
youth's parole.42281

       (D) A juvenile court is not precluded by its allocation 42282
amount for the care and custody of felony delinquents from 42283
committing a felony delinquent to the department of youth services 42284
for care and custody in an institution or a community corrections 42285
facility when the juvenile court determines that the commitment is 42286
appropriate. 42287

       Sec. 5302.30.  (A) As used in this section:42288

       (1) "Good faith" means honesty in fact in a transaction42289
involving the transfer of residential real property.42290

       (2) "Land installment contract" has the same meaning as in42291
section 5313.01 of the Revised Code.42292

       (3) "Political subdivision" and "state" have the same42293
meanings as in section 2744.01 of the Revised Code.42294

       (4) "Residential real property" means real property that is42295
improved by a building or other structure that has one to four42296
dwelling units.42297

       (B)(1) Except as provided in division (B)(2) of this section, 42298
this section applies to any transfer of residential real property 42299
that occurs on or after July 1, 1993, by sale, land installment 42300
contract, lease with option to purchase, exchange, or lease for a 42301
term of ninety-nine years and renewable forever. For purposes of 42302
this section, a transfer occurs when the initial contract for 42303
transfer is executed, regardless of when legal title is 42304
transferred, and references in this section to transfer offers and 42305
transfer agreements refer to offers and agreements in respect of 42306
the initial contract for transfer.42307

       (2) This section does not apply to any transfer of42308
residential real property that is any of the following:42309

       (a) A transfer pursuant to court order, including, but not42310
limited to, a transfer ordered by a probate court during the42311
administration of a decedent's estate, a transfer pursuant to a42312
writ of execution, a transfer by a trustee in bankruptcy, a42313
transfer as a result of the exercise of the power of eminent42314
domain, and a transfer that results from a decree for specific42315
performance of a contract or other agreement between persons;42316

       (b) A transfer to a mortgagee by a mortgagor by deed in lieu42317
of foreclosure or in satisfaction of the mortgage debt;42318

       (c) A transfer to a beneficiary of a deed of trust by a42319
trustor in default;42320

       (d) A transfer by a foreclosure sale that follows a default42321
in the satisfaction of an obligation secured by a mortgage;42322

       (e) A transfer by a sale under a power of sale following a42323
default in the satisfaction of an obligation that is secured by a42324
deed of trust or another instrument containing a power of sale;42325

       (f) A transfer by a mortgagee, or a beneficiary under a deed42326
of trust, who has acquired the residential real property at a sale42327
conducted pursuant to a power of sale under a mortgage or a deed42328
of trust or who has acquired the residential real property by a42329
deed in lieu of foreclosure;42330

       (g) A transfer by a fiduciary in the course of the42331
administration of a decedent's estate, a guardianship, a42332
conservatorship, or a trust;42333

       (h) A transfer from one co-owner to one or more other42334
co-owners;42335

       (i) A transfer made to the transferor's spouse or to one or42336
more persons in the lineal line of consanguinity of one or more of42337
the transferors;42338

       (j) A transfer between spouses or former spouses as a result42339
of a decree of divorce, dissolution of marriage, annulment, or42340
legal separation or as a result of a property settlement agreement42341
incidental to a decree of divorce, dissolution of marriage,42342
annulment, or legal separation;42343

       (k) A transfer to or from the state, a political subdivision42344
of the state, or another governmental entity;42345

       (l) A transfer that involves newly constructed residential42346
real property that previously has not been inhabited;42347

       (m) A transfer to a transferee who has occupied the property42348
as a personal residence for one or more years immediately prior to42349
the transfer;42350

       (n) A transfer from a transferor who both has not occupied42351
the property as a personal residence within one year immediately42352
prior to the transfer and has acquired the property through42353
inheritance or devise.42354

       (C) Except as provided in division (B)(2) of this section and 42355
subject to divisions (E) and (F) of this section, every person who 42356
intends to transfer any residential real property on or after July 42357
1, 1993, by sale, land installment contract, lease with option to 42358
purchase, exchange, or lease for a term of ninety-nine years and 42359
renewable forever shall complete all applicable items in a 42360
property disclosure form prescribed under division (D) of this 42361
section and shall deliver in accordance with division (I) of this 42362
section a signed and dated copy of the completed form to each 42363
prospective transferee or prospective transferee's agent as soon 42364
as is practicable.42365

       (D)(1) Prior to July 1, 1993, the director of commerce, by42366
rule adopted in accordance with Chapter 119. of the Revised Code,42367
shall prescribe the disclosure form to be completed by42368
transferors. The form prescribed by the director shall be designed 42369
to permit the transferor to disclose material matters relating to 42370
the physical condition of the property to be transferred, 42371
including, but not limited to, the source of water supply to the 42372
property; the nature of the sewer system serving the property; the 42373
condition of the structure of the property, including the roof, 42374
foundation, walls, and floors; the presence of hazardous materials 42375
or substances, including lead-based paint, asbestos, 42376
urea-formaldehyde foam insulation, and radon gas; and any material 42377
defects in the property that are within the actual knowledge of 42378
the transferor.42379

       The form also shall set forth a statement of the purpose of42380
the form, including statements substantially similar to the42381
following: that the form constitutes a statement of the conditions 42382
of the property and of information concerning the property 42383
actually known by the transferor; that, unless the transferee is 42384
otherwise advised in writing, the transferor, other than having 42385
lived at or owning the property, possesses no greater knowledge 42386
than that which could be obtained by a careful inspection of the 42387
property by a potential transferee; that the statement is not a 42388
warranty of any kind by the transferor or by any agent or subagent 42389
representing the transferor in this transaction; that the 42390
statement is not a substitute for any inspections; that the 42391
transferee is encouraged to obtain the transferee's own 42392
professional inspection; that the representations are made by the 42393
transferor and are not the representations of the transferor's 42394
agent or subagent; and that the form and the representations 42395
contained therein are provided by the transferor exclusively to 42396
potential transferees in a transfer made by the transferor, and 42397
are not made to transferees in any subsequent transfers.42398

       The form shall include instructions to the transferor for42399
completing the form, space in which the transferor or transferors42400
shall sign and date the form, and space in which the transferee or42401
transferees shall sign and date the form acknowledging receipt of42402
a copy of the form and stating that the transferee or transferees42403
understand the purpose of the form as stated thereon.42404

       (2) Not later than January 1, 2006, the director shall revise 42405
the disclosure form to include a statement that information on the 42406
operation and maintenance of the type of sewage treatment system42407
serving the property is available from the department of health or 42408
the board of health of the health district in which the property 42409
is located.42410

       As used in this section, "sewage treatment system" has the 42411
same meaning as in section 3718.01 of the Revised Code.42412

       (E)(1) Each disclosure of an item of information that is42413
required to be made in the property disclosure form prescribed42414
under division (D) of this section in connection with particular42415
residential real property and each act that may be performed in42416
making any disclosure of an item of information shall be made or42417
performed in good faith.42418

       (2) If an item of information is unknown to the transferor of 42419
residential real property at the time the item is required to be 42420
disclosed in the property disclosure form and if the approximation 42421
is not used for the purpose of circumventing or otherwise evading 42422
divisions (C) and (D) of this section, the transferor may make a 42423
good faith approximation of the item of information.42424

       (F)(1) A transferor of residential real property is not42425
liable in damages in a civil action for injury, death, or loss to42426
person or property that allegedly arises from any error in,42427
inaccuracy of, or omission of any item of information required to42428
be disclosed in the property disclosure form if the error,42429
inaccuracy, or omission was not within the transferor's actual42430
knowledge.42431

       (2) If any item of information that is disclosed in the42432
property disclosure form is rendered inaccurate after the delivery 42433
of the form to the transferee of residential real property or the 42434
transferee's agent as a result of any act, occurrence, or42435
agreement, the subsequent inaccuracy does not cause, and shall not 42436
be construed as causing, the transferor of the residential real 42437
property to be in noncompliance with the requirements of divisions 42438
(C) and (D) of this section.42439

       (G) Any disclosure of an item of information in the property42440
disclosure form prescribed under division (D) of this section may 42441
be amended in writing by the transferor of residential real 42442
property at any time following the delivery of the form in 42443
accordance with divisions (C) and (I) of this section. The 42444
amendment shall be subject to this section.42445

       (H) Except as provided in division (B)(2) of this section,42446
every prospective transferee of residential real property who42447
receives in accordance with division (C) of this section a signed42448
and dated copy of a completed property disclosure form as42449
prescribed under division (D) of this section shall acknowledge 42450
receipt of the form by doing both of the following:42451

       (1) Signing and dating a copy of the form;42452

       (2) Delivering a signed and dated copy of the form to the42453
transferor or the transferor's agent or subagent.42454

       (I) The transferor's delivery under division (C) of this42455
section of a property disclosure form as prescribed under division 42456
(D) of this section and the prospective transferee's delivery 42457
under division (H) of this section of an acknowledgment of receipt 42458
of that form shall be made by personal delivery to the other party 42459
or the other party's agent or subagent, by ordinary mail or42460
certified mail, return receipt requested, or by facsimile42461
transmission. For the purposes of the delivery requirements of42462
this section, the delivery of a property disclosure form to a42463
prospective co-transferee of residential real property or a42464
prospective co-transferee's agent shall be considered delivery to42465
the other prospective transferees unless otherwise provided by42466
contract.42467

       (J) The specification of items of information that must be42468
disclosed in the property disclosure form as prescribed under42469
division (D)(1) of this section does not limit or abridge, and42470
shall not be construed as limiting or abridging, any obligation to42471
disclose an item of information that is created by any other42472
provision of the Revised Code or the common law of this state or42473
that may exist in order to preclude fraud, either by42474
misrepresentation, concealment, or nondisclosure in a transaction42475
involving the transfer of residential real property. The42476
disclosure requirements of this section do not bar, and shall not42477
be construed as barring, the application of any legal or equitable42478
defense that a transferor of residential real property may assert42479
in a civil action commenced against the transferor by a42480
prospective or actual transferee of that property.42481

       (K)(1) Except as provided in division (K)(2) of this section, 42482
but subject to divisions (J) and (L) of this section, a transfer 42483
of residential real property that is subject to this section shall 42484
not be invalidated because of the failure of the transferor to 42485
provide to the transferee in accordance with division (C) of this 42486
section a completed property disclosure form as prescribed under 42487
division (D) of this section.42488

       (2) Subject to division (K)(3)(c) of this section, if a42489
transferee of residential real property that is subject to this42490
section receives a property disclosure form or an amendment of42491
that form as described in division (G) of this section after the42492
transferee has entered into a transfer agreement with respect to42493
the property, the transferee, after receipt of the form or42494
amendment, may rescind the transfer agreement in a written,42495
signed, and dated document that is delivered to the transferor or 42496
the transferor's agent or subagent in accordance with divisions42497
(K)(3)(a) and (b) of this section, without incurring any legal42498
liability to the transferor because of the rescission, including,42499
but not limited to, a civil action for specific performance of the42500
transfer agreement. Upon the rescission of the transfer agreement, 42501
the transferee is entitled to the return of, and the transferor 42502
shall return, any deposits made by the transferee in connection 42503
with the proposed transfer of the residential real property.42504

       (3)(a) Subject to division (K)(3)(b) of this section, a42505
rescission of a transfer agreement under division (K)(2) of this42506
section only may occur if the transferee's written, signed, and42507
dated document of rescission is delivered to the transferor or the 42508
transferor's agent or subagent within three business days42509
following the date on which the transferee or the transferee's42510
agent receives the property disclosure form prescribed under 42511
division (D) of this section or the amendment of that form as 42512
described in division (G) of this section.42513

       (b) A transferee may not rescind a transfer agreement under42514
division (K)(2) of this section unless the transferee rescinds the42515
transfer agreement by the earlier of the date that is thirty days42516
after the date upon which the transferor accepted the transferee's 42517
transfer offer or the date of the closing of the transfer of the 42518
residential real property.42519

       (c) A transferee of residential real property may waive the42520
right of rescission of a transfer agreement described in division42521
(K)(2) of this section.42522

       (d) A rescission of a transfer agreement is not permissible42523
under division (K)(2) of this section if a transferee of42524
residential real property that is subject to this section receives42525
a property disclosure form as prescribed under division (D) of 42526
this section or an amendment of that form as described in division 42527
(G) of this section prior to the transferee's submission to the 42528
transferor or the transferor's agent or subagent of a transfer 42529
offer and the transferee's entry into a transfer agreement with 42530
respect to the property.42531

       (4) If a transferee of residential real property subject to42532
this section does not receive a property disclosure form from the 42533
transferor after the transferee has submitted to the transferor or 42534
the transferor's agent or subagent a transfer offer and has42535
entered into a transfer agreement with respect to the property,42536
the transferee may rescind the transfer agreement in a written,42537
signed, and dated document that is delivered to the transferor or 42538
the transferor's agent or subagent in accordance with division 42539
(K)(4) of this section without incurring any legal liability to 42540
the transferor because of the rescission, including, but not 42541
limited to, a civil action for specific performance of the 42542
transfer agreement. Upon the rescission of the transfer agreement, 42543
the transferee is entitled to the return of, and the transferor 42544
shall return, any deposits made by the transferee in connection 42545
with the proposed transfer of the residential real property. A 42546
transferee may not rescind a transfer agreement under division 42547
(K)(4) of this section unless the transferee rescinds the transfer42548
agreement by the earlier of the date that is thirty days after the42549
date upon which the transferor accepted the transferee's transfer42550
offer or the date of the closing of the transfer of the42551
residential real property.42552

       (L) The right of rescission of a transfer agreement described 42553
in division (K)(2) of this section or the absence of that right 42554
does not affect, and shall not be construed as affecting, any 42555
other legal causes of action or other remedies that a transferee 42556
or prospective transferee of residential real property may possess 42557
against the transferor of that property.42558

       Sec. 5323.011. Sections 5323.01, 5323.02, 5323.03, 5323.04, 42559
and 5323.99 of the Revised Code do not apply in a county unless 42560
the board of county commissioners adopts a resolution declaring 42561
that the sections apply in the county. The board may not adopt 42562
such a resolution unless it has found that the benefit from 42563
compliance with the sections will exceed the cost to the county 42564
and its people and to persons traveling, working, or doing 42565
business in the county. The board may not declare that fewer than 42566
all the sections apply in the county.42567

       The board of county commissioners may repeal a resolution 42568
that has been adopted under the first paragraph of this section. 42569
The board may not adopt such a resolution unless it has found that 42570
the cost of continued compliance with the sections exceeds the 42571
benefit to the county and its people and to persons traveling, 42572
working, or doing business in the county. Upon the repeal, the 42573
duties of an owner of residential rental property to comply with 42574
and of the county auditor to accept compliance with sections 42575
5323.01, 5323.02, 5323.03, 5323.04, and 5323.99 of the Revised 42576
Code are tolled.42577

       An owner of residential rental property in a county is not 42578
required to comply with, and the auditor of a county is not 42579
required to accept compliance with, sections 5323.01, 5323.02, 42580
5323.03, 5323.04, and 5323.99 of the Revised Code unless the board 42581
of county commissioners has adopted a resolution declaring that 42582
the sections apply in the county and the resolution continues in 42583
effect.42584

       Sec. 5528.54.  (A) The commissioners of the sinking fund are42585
authorized to issue and sell, as provided in this section and in42586
amounts from time to time authorized by the general assembly,42587
general obligations of this state for the purpose of financing or42588
assisting in the financing of the costs of projects. The full42589
faith and credit, revenues, and taxing power of the state are and42590
shall be pledged to the timely payment of bond service charges on42591
outstanding obligations, all in accordance with Section 2m of42592
Article VIII, Ohio Constitution, and sections 5528.51 to 5528.5342593
of the Revised Code, and so long as such obligations are42594
outstanding there shall be levied and collected excises, taxes,42595
and other revenues in amounts sufficient to pay the bond service42596
charges on such obligations and costs relating to credit42597
enhancement facilities.42598

       (B) Not more than two hundred twenty million dollars42599
principal amount of obligations, plus the principal amount of42600
obligations that in any prior fiscal years could have been, but42601
were not issued within that two-hundred-twenty-million-dollar42602
fiscal year limit, may be issued in any fiscal year, and not more42603
thatthan one billion two hundred million dollars principal amount 42604
of obligations may be outstanding at any one time, all determined 42605
as provided in sections 5528.51 to 5528.53 of the Revised Code.42606

       (C) The state may participate in financing projects by42607
grants, loans, or contributions to local government entities.42608

       (D) Each issue of obligations shall be authorized by42609
resolution of the commissioners. The bond proceedings shall42610
provide for the principal amount or maximum principal amount of42611
obligations of an issue, and shall provide for or authorize the42612
manner for determining the principal maturity or maturities, not42613
exceeding the earlier of thirty years from the date of issuance of42614
the particular obligations or thirty years from the date the debt42615
represented by the particular obligations was originally42616
contracted, the interest rate or rates, the date of and the dates42617
of payment of interest on the obligations, their denominations,42618
and the establishment within or outside the state of a place or42619
places of payment of bond service charges. Sections 9.96, 9.98,42620
9.981, 9.982, and 9.983 of the Revised Code are applicable to the42621
obligations. The purpose of the obligations may be stated in the42622
bond proceedings as "financing or assisting in the financing of42623
highway capital improvement projects as provided in Section 2m of42624
Article VIII, Ohio Constitution."42625

       (E) The proceeds of the obligations, except for any portion42626
to be deposited into special funds, or into escrow funds for the42627
purpose of refunding outstanding obligations, all as may be42628
provided in the bond proceedings, shall be deposited into the42629
highway capital improvement fund established by section 5528.53 of42630
the Revised Code.42631

       (F) The commissioners may appoint or provide for the42632
appointment of paying agents, bond registrars, securities42633
depositories, and transfer agents, and may retain the services of42634
financial advisers and accounting experts, and retain or contract42635
for the services of marketing, remarketing, indexing, and42636
administrative agents, other consultants, and independent42637
contractors, including printing services, as are necessary in the42638
judgment of the commissioners to carry out sections 5528.51 to42639
5528.53 of the Revised Code. Financing costs are payable, as42640
provided in the bond proceedings, from the proceeds of the42641
obligations, from special funds, or from other moneys available42642
for the purpose.42643

       (G) The bond proceedings, including any trust agreement, may42644
contain additional provisions customary or appropriate to the42645
financing or to the obligations or to particular obligations42646
including, but not limited to:42647

       (1) The redemption of obligations prior to maturity at the42648
option of the state or of the holder or upon the occurrence of42649
certain conditions at such price or prices and under such terms42650
and conditions as are provided in the bond proceedings;42651

       (2) The form of and other terms of the obligations;42652

       (3) The establishment, deposit, investment, and application42653
of special funds, and the safeguarding of moneys on hand or on42654
deposit, in lieu of otherwise applicable provisions of Chapter42655
131. or 135. of the Revised Code, but subject to any special42656
provisions of this section with respect to particular funds or42657
moneys, and provided that any bank or trust company that acts as a42658
depository of any moneys in special funds may furnish such42659
indemnifying bonds or may pledge such securities as required by42660
the commissioners;42661

       (4) Any or every provision of the bond proceedings binding42662
upon the commissioners and such state agency or local government42663
entities, officer, board, commission, authority, agency,42664
department, or other person or body as may from time to time have42665
the authority under law to take such actions as may be necessary42666
to perform all or any part of the duty required by such provision;42667

       (5) The maintenance of each pledge, any trust agreement, or42668
other instrument composing part of the bond proceedings until the42669
state has fully paid or provided for the payment of the bond42670
service charges on the obligations or met other stated conditions;42671

       (6) In the event of default in any payments required to be42672
made by the bond proceedings, or any other agreement of the42673
commissioners made as part of a contract under which the42674
obligations were issued or secured, the enforcement of such42675
payments or agreements by mandamus, suit in equity, action at law,42676
or any combination of the foregoing;42677

       (7) The rights and remedies of the holders of obligations and 42678
of the trustee under any trust agreement, and provisions for42679
protecting and enforcing them, including limitations on rights of42680
individual holders of obligations;42681

       (8) The replacement of any obligations that become mutilated42682
or are destroyed, lost, or stolen;42683

       (9) Provision for the funding, refunding, or advance42684
refunding or other provision for payment of obligations that will42685
then no longer be outstanding for purposes of sections 5528.51 to42686
5528.56 of the Revised Code or of the bond proceedings;42687

       (10) Any provision that may be made in bond proceedings or a42688
trust agreement, including provision for amendment of the bond42689
proceedings;42690

       (11) Any other or additional agreements with the holders of42691
the obligations relating to any of the foregoing;42692

       (12) Such other provisions as the commissioners determine,42693
including limitations, conditions, or qualifications relating to42694
any of the foregoing.42695

       (H) The great seal of the state or a facsimile of that seal42696
may be affixed to or printed on the obligations. The obligations42697
requiring signatures by the commissioners shall be signed by or42698
bear the facsimile signatures of two or more of the commissioners42699
as provided in the bond proceedings. Any obligations may be signed 42700
by the person who, on the date of execution, is the authorized 42701
signer although on the date of such obligations such person was 42702
not a commissioner. In case the individual whose signature or a 42703
facsimile of whose signature appears on any obligation ceases to 42704
be a commissioner before delivery of the obligation, such 42705
signature or facsimile is nevertheless valid and sufficient for 42706
all purposes as if that individual had remained the member until 42707
such delivery, and in case the seal to be affixed to or printed on 42708
obligations has been changed after the seal has been affixed to or 42709
a facsimile of the seal has been printed on the obligations, that 42710
seal or facsimile seal shall continue to be sufficient as to those 42711
obligations and obligations issued in substitution or exchange 42712
therefor.42713

       (I) The obligations are negotiable instruments and securities42714
under Chapter 1308. of the Revised Code, subject to the provisions 42715
of the bond proceedings as to registration. Obligations may be 42716
issued in coupon or in fully registered form, or both, as the 42717
commissioners determine. Provision may be made for the 42718
registration of any obligations with coupons attached as to42719
principal alone or as to both principal and interest, their42720
exchange for obligations so registered, and for the conversion or42721
reconversion into obligations with coupons attached of any42722
obligations registered as to both principal and interest, and for42723
reasonable charges for such registration, exchange, conversion,42724
and reconversion. Pending preparation of definitive obligations,42725
the commissioners may issue interim receipts or certificates which42726
shall be exchanged for such definitive obligations.42727

       (J) Obligations may be sold at public sale or at private42728
sale, and at such price at, above, or below par, as determined by42729
the commissioners in the bond proceedings.42730

       (K) In the discretion of the commissioners, obligations may42731
be secured additionally by a trust agreement between the state and42732
a corporate trustee which may be any trust company or bank having42733
its principala place of business within the state. Any trust42734
agreement may contain the resolution authorizing the issuance of42735
the obligations, any provisions that may be contained in the bond42736
proceedings, and other provisions that are customary or42737
appropriate in an agreement of the type.42738

       (L) Except to the extent that their rights are restricted by42739
the bond proceedings, any holder of obligations, or a trustee42740
under the bond proceedings may by any suitable form of legal42741
proceedings protect and enforce any rights under the laws of this42742
state or granted by the bond proceedings. Such rights include the42743
right to compel the performance of all duties of the commissioners42744
and the state. Each duty of the commissioners and its employees,42745
and of each state agency and local government entity and its42746
officers, members, or employees, undertaken pursuant to the bond42747
proceedings, is hereby established as a duty of the commissioners,42748
and of each such agency, local government entity, officer, member,42749
or employee having authority to perform such duty, specifically42750
enjoined by the law and resulting from an office, trust, or42751
station within the meaning of section 2731.01 of the Revised Code. 42752
The persons who are at the time the commissioners of the sinking42753
fund, or its employees, are not liable in their personal42754
capacities on any obligations or any agreements of or with the42755
commissioners relating to obligations or under the bond42756
proceedings.42757

       (M) Obligations are lawful investments for banks, societies42758
for savings, savings and loan associations, deposit guarantee42759
associations, trust companies, trustees, fiduciaries, insurance42760
companies, including domestic for life and domestic not for life,42761
trustees or other officers having charge of sinking and bond42762
retirement or other special funds of political subdivisions and42763
taxing districts of this state, the commissioners of the sinking42764
fund, the administrator of workers' compensation, subject to the42765
approval of the workers' compensation board and the industrial42766
commission, the state teachers retirement system, the public42767
employees retirement system, the school employees retirement42768
system, and the Ohio police and fire pension fund, notwithstanding42769
any other provisions of the Revised Code or rules adopted pursuant42770
thereto by any state agency with respect to investments by them,42771
and are also acceptable as security for the deposit of public42772
moneys.42773

       (N) Unless otherwise provided in any applicable bond42774
proceedings, moneys to the credit of or in the special funds42775
established by or pursuant to this section may be invested by or42776
on behalf of the commissioners only in notes, bonds, or other42777
direct obligations of the United States or of any agency or42778
instrumentality thereof, in obligations of this state or any42779
political subdivision of this state, in certificates of deposit of42780
any national bank located in this state and any bank, as defined42781
in section 1101.01 of the Revised Code, subject to inspection by42782
the superintendent of financial institutions, in the Ohio42783
subdivision's fund established pursuant to section 135.45 of the42784
Revised Code, in no-front-end-load money market mutual funds42785
consisting exclusively of direct obligations of the United States42786
or of an agency or instrumentality thereof, and in repurchase42787
agreements, including those issued by any fiduciary, secured by42788
direct obligations of the United States or an agency or42789
instrumentality thereof, and in common trust funds established in42790
accordance with section 1109.20 of the Revised Code and consisting42791
exclusively of direct obligations of the United States or of an42792
agency or instrumentality thereof, notwithstanding division (A)(4)42793
of that section. The income from investments shall be credited to42794
such special funds or otherwise as the commissioners determine in42795
the bond proceedings, and the investments may be sold or exchanged42796
at such times as the commissioners determine or authorize.42797

       (O) Unless otherwise provided in any applicable bond42798
proceedings, moneys to the credit of or in a special fund shall be42799
disbursed on the order of the commissioners, provided that no such42800
order is required for the payment from the bond service fund or42801
other special fund when due of bond service charges or required42802
payments under credit enhancement facilities.42803

       (P) The commissioners may covenant in the bond proceedings,42804
and any such covenants shall be controlling notwithstanding any42805
other provision of law, that the state and the applicable officers42806
and agencies of the state, including the general assembly, shall,42807
so long as any obligations are outstanding in accordance with42808
their terms, maintain statutory authority for and cause to be42809
charged and collected taxes, excises, and other receipts of the42810
state so that the receipts to the bond service fund shall be42811
sufficient in amounts to meet bond service charges and for the42812
establishment and maintenance of any reserves and other42813
requirements, including payment of financing costs, provided for42814
in the bond proceedings.42815

       (Q) The obligations, and the transfer of, and the interest,42816
interest equivalent, and other income and accreted amounts from,42817
including any profit made on the sale, exchange, or other42818
disposition of, the obligations shall at all times be free from42819
taxation, direct or indirect, within the state.42820

       (R) This section applies only with respect to obligations42821
issued and delivered prior to September 30, 2000.42822

       Sec. 5531.10.  (A) As used in this chapter:42823

       (1) "Bond proceedings" means the resolution, order, trust42824
agreement, indenture, lease, lease-purchase agreements, and other42825
agreements, amendments and supplements to the foregoing, or any 42826
one or more or combination thereof, authorizing or providing for 42827
the terms and conditions applicable to, or providing for the 42828
security or liquidity of, obligations issued pursuant to this 42829
section, and the provisions contained in such obligations.42830

       (2) "Bond service charges" means principal, including42831
mandatory sinking fund requirements for retirement of obligations, 42832
and interest, and redemption premium, if any, required to be paid 42833
by the state on obligations.42834

       (3) "Bond service fund" means the applicable fund and42835
accounts therein created for and pledged to the payment of bond42836
service charges, which may be, or may be part of, the state 42837
infrastructure bank revenue bond service fund created by division 42838
(R) of this section including all moneys and investments, and 42839
earnings from investments, credited and to be credited thereto.42840

       (4) "Issuing authority" means the treasurer of state, or the 42841
officer who by law performs the functions of the treasurer of 42842
state.42843

       (5) "Obligations" means bonds, notes, or other evidence of42844
obligation including interest coupons pertaining thereto, issued42845
pursuant to this section.42846

       (6) "Pledged receipts" means moneys accruing to the state 42847
from the lease, lease-purchase, sale, or other disposition, or 42848
use, of qualified projects, and from the repayment, including42849
interest, of loans made from proceeds received from the sale of42850
obligations; accrued interest received from the sale of42851
obligations; income from the investment of the special funds; any 42852
gifts, grants, donations, and pledges, and receipts therefrom, 42853
available for the payment of bond service charges; and any amounts42854
in the state infrastructure bank pledged to the payment of such 42855
charges. If the amounts in the state infrastructure bank are 42856
insufficient for the payment of such charges, "pledged receipts" 42857
also means moneys that are apportioned by the United States 42858
secretary of transportation under United States Code, Title XXIII, 42859
as amended, or any successor legislation, or under any other 42860
federal law relating to aid for highways, and that are to be 42861
received as a grant by the state, to the extent the state is not 42862
prohibited by state or federal law from using such moneys and the 42863
moneys are pledged to the payment of such bond service charges.42864

       (7) "Special funds" or "funds" means, except where the42865
context does not permit, the bond service fund, and any other42866
funds, including reserve funds, created under the bond42867
proceedings, and the state infrastructure bank revenue bond 42868
service fund created by division (R) of this section to the extent42869
provided in the bond proceedings, including all moneys and 42870
investments, and earnings from investment, credited and to be 42871
credited thereto.42872

       (8) "State infrastructure project" means any public42873
transportation project undertaken by the state, including, but not 42874
limited to, all components of any such project, as described in 42875
division (D) of section 5531.09 of the Revised Code.42876

       (9) "District obligations" means bonds, notes, or other 42877
evidence of obligation including interest coupons pertaining 42878
thereto, issued to finance a qualified project by a transportation 42879
improvement district created pursuant to section 5540.02 of the 42880
Revised Code, of which the principal, including mandatory sinking 42881
fund requirements for retirement of such obligations, and interest 42882
and redemption premium, if any, are payable by the department of 42883
transportation.42884

       (B) The issuing authority, after giving written notice to the 42885
director of budget and management and upon the certification by 42886
the director of transportation to the issuing authority of the 42887
amount of moneys or additional moneys needed either for state 42888
infrastructure projects or to provide financial assistance for any42889
of the purposes for which the state infrastructure bank may be 42890
used under section 5531.09 of the Revised Code, or needed for 42891
capitalized interest, funding reserves, and paying costs and 42892
expenses incurred in connection with the issuance, carrying, 42893
securing, paying, redeeming, or retirement of the obligations or 42894
any obligations refunded thereby, including payment of costs and42895
expenses relating to letters of credit, lines of credit,42896
insurance, put agreements, standby purchase agreements, indexing,42897
marketing, remarketing and administrative arrangements, interest42898
swap or hedging agreements, and any other credit enhancement,42899
liquidity, remarketing, renewal, or refunding arrangements, all of 42900
which are authorized by this section, shall issue obligations of 42901
the state under this section in the required amount. The proceeds 42902
of such obligations, except for the portion to be deposited in 42903
special funds, including reserve funds, as may be provided in the 42904
bond proceedings, shall as provided in the bond proceedings be 42905
credited to the infrastructure bank obligations fund of the state 42906
infrastructure bank created by section 5531.09 of the Revised Code 42907
and disbursed as provided in the bond proceedings for such 42908
obligations. The issuing authority may appoint trustees, paying42909
agents, transfer agents, and authenticating agents, and may retain 42910
the services of financial advisors, accounting experts, and 42911
attorneys, and retain or contract for the services of marketing, 42912
remarketing, indexing, and administrative agents, other 42913
consultants, and independent contractors, including printing 42914
services, as are necessary in the issuing authority's judgment to 42915
carry out this section. The costs of such services are payable 42916
from funds of the state infrastructure bank.42917

       (C) The holders or owners of such obligations shall have no 42918
right to have moneys raised by taxation by the state of Ohio 42919
obligated or pledged, and moneys so raised shall not be obligated 42920
or pledged, for the payment of bond service charges. The right of 42921
such holders and owners to the payment of bond service charges is 42922
limited to all or that portion of the pledged receipts and those 42923
special funds pledged thereto pursuant to the bond proceedings for 42924
such obligations in accordance with this section, and each such 42925
obligation shall bear on its face a statement to that effect. 42926
Moneys received as repayment of loans made by the state 42927
infrastructure bank pursuant to section 5531.09 of the Revised 42928
Code shall not be considered moneys raised by taxation by the 42929
state of Ohio regardless of the source of the moneys.42930

       (D) Obligations shall be authorized by order of the issuing 42931
authority and the bond proceedings shall provide for the purpose 42932
thereof and the principal amount or amounts, and shall provide for 42933
or authorize the manner or agency for determining the principal 42934
maturity or maturities, not exceeding twenty-five years from the 42935
date of issuance, the interest rate or rates or the maximum 42936
interest rate, the date of the obligations and the dates of 42937
payment of interest thereon, their denomination, and the 42938
establishment within or without the state of a place or places of 42939
payment of bond service charges. Sections 9.98 to 9.983 of the 42940
Revised Code are applicable to obligations issued under this 42941
section. The purpose of such obligations may be stated in the bond 42942
proceedings in terms describing the general purpose or purposes to 42943
be served. The bond proceedings also shall provide, subject to the 42944
provisions of any other applicable bond proceedings, for the 42945
pledge of all, or such part as the issuing authority may42946
determine, of the pledged receipts and the applicable special fund 42947
or funds to the payment of bond service charges, which pledges may 42948
be made either prior or subordinate to other expenses, claims, or 42949
payments, and may be made to secure the obligations on a parity 42950
with obligations theretofore or thereafter issued, if and to the 42951
extent provided in the bond proceedings. The pledged receipts and 42952
special funds so pledged and thereafter received by the state 42953
immediately are subject to the lien of such pledge without any 42954
physical delivery thereof or further act, and the lien of any such 42955
pledges is valid and binding against all parties having claims of 42956
any kind against the state or any governmental agency of the 42957
state, irrespective of whether such parties have notice thereof, 42958
and shall create a perfected security interest for all purposes of 42959
Chapter 1309. of the Revised Code, without the necessity for 42960
separation or delivery of funds or for the filing or recording of 42961
the bond proceedings by which such pledge is created or any 42962
certificate, statement, or other document with respect thereto; 42963
and the pledge of such pledged receipts and special funds is 42964
effective and the money therefrom and thereof may be applied to 42965
the purposes for which pledged without necessity for any act of 42966
appropriation. Every pledge, and every covenant and agreement 42967
made with respect thereto, made in the bond proceedings may 42968
therein be extended to the benefit of the owners and holders of 42969
obligations authorized by this section, and to any trustee 42970
therefor, for the further security of the payment of the bond 42971
service charges.42972

       (E) The bond proceedings may contain additional provisions as 42973
to:42974

       (1) The redemption of obligations prior to maturity at the42975
option of the issuing authority at such price or prices and under42976
such terms and conditions as are provided in the bond proceedings;42977

       (2) Other terms of the obligations;42978

       (3) Limitations on the issuance of additional obligations;42979

       (4) The terms of any trust agreement or indenture securing42980
the obligations or under which the same may be issued;42981

       (5) The deposit, investment, and application of special42982
funds, and the safeguarding of moneys on hand or on deposit,42983
without regard to Chapter 131. or 135. of the Revised Code, but42984
subject to any special provisions of this section with respect to 42985
particular funds or moneys, provided that any bank or trust42986
company which acts as depository of any moneys in the special42987
funds may furnish such indemnifying bonds or may pledge such42988
securities as required by the issuing authority;42989

       (6) Any or every provision of the bond proceedings being42990
binding upon such officer, board, commission, authority, agency,42991
department, or other person or body as may from time to time have42992
the authority under law to take such actions as may be necessary42993
to perform all or any part of the duty required by such provision;42994

       (7) Any provision that may be made in a trust agreement or42995
indenture;42996

       (8) Any other or additional agreements with the holders of42997
the obligations, or the trustee therefor, relating to the42998
obligations or the security therefor, including the assignment of42999
mortgages or other security relating to financial assistance for 43000
qualified projects under section 5531.09 of the Revised Code.43001

       (F) The obligations may have the great seal of the state or a 43002
facsimile thereof affixed thereto or printed thereon. The43003
obligations and any coupons pertaining to obligations shall be43004
signed or bear the facsimile signature of the issuing authority. 43005
Any obligations or coupons may be executed by the person who, on43006
the date of execution, is the proper issuing authority although on 43007
the date of such bonds or coupons such person was not the issuing 43008
authority. In case the issuing authority whose signature or a 43009
facsimile of whose signature appears on any such obligation or 43010
coupon ceases to be the issuing authority before delivery thereof, 43011
such signature or facsimile nevertheless is valid and sufficient 43012
for all purposes as if the former issuing authority had remained 43013
the issuing authority until such delivery; and in case the seal to 43014
be affixed to obligations has been changed after a facsimile of 43015
the seal has been imprinted on such obligations, such facsimile 43016
seal shall continue to be sufficient as to such obligations and 43017
obligations issued in substitution or exchange therefor.43018

       (G) All obligations are negotiable instruments and securities 43019
under Chapter 1308. of the Revised Code, subject to the provisions 43020
of the bond proceedings as to registration. The obligations may be 43021
issued in coupon or in registered form, or both, as the issuing 43022
authority determines. Provision may be made for the registration 43023
of any obligations with coupons attached thereto as to principal 43024
alone or as to both principal and interest, their exchange for 43025
obligations so registered, and for the conversion or reconversion 43026
into obligations with coupons attached thereto of any obligations 43027
registered as to both principal and interest, and for reasonable 43028
charges for such registration, exchange, conversion, and 43029
reconversion.43030

       (H) Obligations may be sold at public sale or at private43031
sale, as determined in the bond proceedings.43032

       (I) Pending preparation of definitive obligations, the43033
issuing authority may issue interim receipts or certificates which 43034
shall be exchanged for such definitive obligations.43035

       (J) In the discretion of the issuing authority, obligations 43036
may be secured additionally by a trust agreement or indenture 43037
between the issuing authority and a corporate trustee which may be 43038
any trust company or bank having its principala place of business 43039
within the state. Any such agreement or indenture may contain the 43040
order authorizing the issuance of the obligations, any provisions 43041
that may be contained in any bond proceedings, and other 43042
provisions which are customary or appropriate in an agreement or 43043
indenture of such type, including, but not limited to:43044

       (1) Maintenance of each pledge, trust agreement, indenture, 43045
or other instrument comprising part of the bond proceedings until 43046
the state has fully paid the bond service charges on the 43047
obligations secured thereby, or provision therefor has been made;43048

       (2) In the event of default in any payments required to be43049
made by the bond proceedings, or any other agreement of the43050
issuing authority made as a part of the contract under which the43051
obligations were issued, enforcement of such payments or agreement 43052
by mandamus, the appointment of a receiver, suit in equity, action 43053
at law, or any combination of the foregoing;43054

       (3) The rights and remedies of the holders of obligations and 43055
of the trustee, and provisions for protecting and enforcing them, 43056
including limitations on the rights of individual holders of43057
obligations;43058

       (4) The replacement of any obligations that become mutilated 43059
or are destroyed, lost, or stolen;43060

       (5) Such other provisions as the trustee and the issuing43061
authority agree upon, including limitations, conditions, or43062
qualifications relating to any of the foregoing.43063

       (K) Any holder of obligations or a trustee under the bond43064
proceedings, except to the extent that the holder's or trustee's 43065
rights are restricted by the bond proceedings, may by any suitable 43066
form of legal proceedings, protect and enforce any rights under 43067
the laws of this state or granted by such bond proceedings. Such 43068
rights include the right to compel the performance of all duties 43069
of the issuing authority and the director of transportation 43070
required by the bond proceedings or sections 5531.09 and 5531.10 43071
of the Revised Code; to enjoin unlawful activities; and in the43072
event of default with respect to the payment of any bond service 43073
charges on any obligations or in the performance of any covenant 43074
or agreement on the part of the issuing authority or the director 43075
of transportation in the bond proceedings, to apply to a court 43076
having jurisdiction of the cause to appoint a receiver to receive 43077
and administer the pledged receipts and special funds, other than 43078
those in the custody of the treasurer of state, which are pledged 43079
to the payment of the bond service charges on such obligations or 43080
which are the subject of the covenant or agreement, with full 43081
power to pay, and to provide for payment of bond service charges 43082
on, such obligations, and with such powers, subject to the 43083
direction of the court, as are accorded receivers in general 43084
equity cases, excluding any power to pledge additional revenues or 43085
receipts or other income or moneys of the state or local43086
governmental entities, or agencies thereof, to the payment of such 43087
principal and interest and excluding the power to take possession 43088
of, mortgage, or cause the sale or otherwise dispose of any 43089
project facilities.43090

       Each duty of the issuing authority and the issuing43091
authority's officers and employees, and of each state or local43092
governmental agency and its officers, members, or employees, 43093
undertaken pursuant to the bond proceedings or any loan, loan43094
guarantee, lease, lease-purchase agreement, or other agreement 43095
made under authority of section 5531.09 of the Revised Code, and 43096
in every agreement by or with the issuing authority, is hereby 43097
established as a duty of the issuing authority, and of each such 43098
officer, member, or employee having authority to perform such 43099
duty, specifically enjoined by the law resulting from an office, 43100
trust, or station within the meaning of section 2731.01 of the 43101
Revised Code.43102

       The person who is at the time the issuing authority, or the43103
issuing authority's officers or employees, are not liable in their 43104
personal capacities on any obligations issued by the issuing 43105
authority or any agreements of or with the issuing authority.43106

       (L) The issuing authority may authorize and issue obligations 43107
for the refunding, including funding and retirement, and advance 43108
refunding with or without payment or redemption prior to maturity, 43109
of any obligations previously issued by the issuing authority or 43110
district obligations. Such refunding obligations may be issued in 43111
amounts sufficient for payment of the principal amount of the 43112
prior obligations or district obligations, any redemption premiums 43113
thereon, principal maturities of any such obligations or district 43114
obligations maturing prior to the redemption of the remaining43115
obligations or district obligations on a parity therewith, 43116
interest accrued or to accrue to the maturity dates or dates of 43117
redemption of such obligations or district obligations, and any 43118
expenses incurred or to be incurred in connection with such 43119
issuance and such refunding, funding, and retirement. Subject to 43120
the bond proceedings therefor, the portion of proceeds of the sale 43121
of refunding obligations issued under this division to be applied 43122
to bond service charges on the prior obligations or district 43123
obligations shall be credited to an appropriate account held by 43124
the trustee for such prior or new obligations or to the 43125
appropriate account in the bond service fund for such obligations 43126
or district obligations. Obligations authorized under this 43127
division shall be deemed to be issued for those purposes for which 43128
such prior obligations or district obligations were issued and are 43129
subject to the provisions of this section pertaining to other 43130
obligations, except as otherwise provided in this section. The43131
last maturity of obligations authorized under this division shall 43132
not be later than twenty-five years from the date of issuance of 43133
the original securities issued for the original purpose.43134

       (M) The authority to issue obligations under this section43135
includes authority to issue obligations in the form of bond43136
anticipation notes and to renew the same from time to time by the43137
issuance of new notes. The holders of such notes or interest43138
coupons pertaining thereto shall have a right to be paid solely43139
from the pledged receipts and special funds that may be pledged to 43140
the payment of the bonds anticipated, or from the proceeds of such 43141
bonds or renewal notes, or both, as the issuing authority provides 43142
in the order authorizing such notes. Such notes may be 43143
additionally secured by covenants of the issuing authority to the 43144
effect that the issuing authority and the state will do such or 43145
all things necessary for the issuance of such bonds or renewal 43146
notes in the appropriate amount, and apply the proceeds thereof to 43147
the extent necessary, to make full payment of the principal of and 43148
interest on such notes at the time or times contemplated, as 43149
provided in such order. For such purpose, the issuing authority 43150
may issue bonds or renewal notes in such principal amount and upon 43151
such terms as may be necessary to provide funds to pay when 43152
required the principal of and interest on such notes, 43153
notwithstanding any limitations prescribed by or for purposes of 43154
this section. Subject to this division, all provisions for and 43155
references to obligations in this section are applicable to notes 43156
authorized under this division.43157

       The issuing authority in the bond proceedings authorizing the 43158
issuance of bond anticipation notes shall set forth for such bonds 43159
an estimated interest rate and a schedule of principal payments 43160
for such bonds and the annual maturity dates thereof.43161

       (N) Obligations issued under this section are lawful43162
investments for banks, societies for savings, savings and loan43163
associations, deposit guarantee associations, trust companies,43164
trustees, fiduciaries, insurance companies, including domestic for 43165
life and domestic not for life, trustees or other officers having 43166
charge of sinking and bond retirement or other special funds of 43167
political subdivisions and taxing districts of this state, the 43168
commissioners of the sinking fund of the state, the administrator 43169
of workers' compensation, the state teachers retirement system, 43170
the public employees retirement system, the school employees 43171
retirement system, and the Ohio police and fire pension fund, 43172
notwithstanding any other provisions of the Revised Code or rules 43173
adopted pursuant thereto by any agency of the state with respect 43174
to investments by them, and are also acceptable as security for 43175
the deposit of public moneys.43176

       (O) Unless otherwise provided in any applicable bond43177
proceedings, moneys to the credit of or in the special funds43178
established by or pursuant to this section may be invested by or43179
on behalf of the issuing authority only in notes, bonds, or other43180
obligations of the United States, or of any agency or43181
instrumentality of the United States, obligations guaranteed as to 43182
principal and interest by the United States, obligations of this 43183
state or any political subdivision of this state, and certificates 43184
of deposit of any national bank located in this state and any 43185
bank, as defined in section 1101.01 of the Revised Code, subject 43186
to inspection by the superintendent of financial institutions. If 43187
the law or the instrument creating a trust pursuant to division 43188
(J) of this section expressly permits investment in direct 43189
obligations of the United States or an agency of the United 43190
States, unless expressly prohibited by the instrument, such moneys 43191
also may be invested in no-front-end-load money market mutual 43192
funds consisting exclusively of obligations of the United States 43193
or an agency of the United States and in repurchase agreements, 43194
including those issued by the fiduciary itself, secured by 43195
obligations of the United States or an agency of the United 43196
States; and in collective investment funds as defined in division 43197
(A) of section 1111.01 of the Revised Code and consisting 43198
exclusively of any such securities. The income from such 43199
investments shall be credited to such funds as the issuing 43200
authority determines, and such investments may be sold at such 43201
times as the issuing authority determines or authorizes.43202

       (P) Provision may be made in the applicable bond proceedings 43203
for the establishment of separate accounts in the bond service 43204
fund and for the application of such accounts only to the 43205
specified bond service charges on obligations pertinent to such 43206
accounts and bond service fund and for other accounts therein 43207
within the general purposes of such fund. Unless otherwise 43208
provided in any applicable bond proceedings, moneys to the credit 43209
of or in the several special funds established pursuant to this 43210
section shall be disbursed on the order of the treasurer of state, 43211
provided that no such order is required for the payment from the 43212
bond service fund when due of bond service charges on obligations.43213

       (Q)(1) The issuing authority may pledge all, or such portion43214
as the issuing authority determines, of the pledged receipts to43215
the payment of bond service charges on obligations issued under43216
this section, and for the establishment and maintenance of any43217
reserves, as provided in the bond proceedings, and make other43218
provisions therein with respect to pledged receipts as authorized43219
by this chapter, which provisions are controlling notwithstanding43220
any other provisions of law pertaining thereto.43221

       (2) An action taken under division (Q)(2) of this section 43222
does not limit the generality of division (Q)(1) of this section, 43223
and is subject to division (C) of this section and, if and to the 43224
extent otherwise applicable, Section 13 of Article VIII, Ohio 43225
Constitution. The bond proceedings may contain a covenant that, in 43226
the event the pledged receipts primarily pledged and required to 43227
be used for the payment of bond service charges on obligations 43228
issued under this section, and for the establishment and 43229
maintenance of any reserves, as provided in the bond proceedings, 43230
are insufficient to make any such payment in full when due, or to43231
maintain any such reserve, the director of transportation shall so 43232
notify the governor, and shall determine to what extent, if any, 43233
the payment may be made or moneys may be restored to the reserves 43234
from lawfully available moneys previously appropriated for that 43235
purpose to the department of transportation. The covenant also 43236
may provide that if the payments are not made or the moneys are 43237
not immediately and fully restored to the reserves from such 43238
moneys, the director shall promptly submit to the governor and to 43239
the director of budget and management a written request for either 43240
or both of the following:43241

       (a) That the next biennial budget submitted by the governor 43242
to the general assembly include an amount to be appropriated from 43243
lawfully available moneys to the department for the purpose of and 43244
sufficient for the payment in full of bond service charges 43245
previously due and for the full replenishment of the reserves;43246

       (b) That the general assembly be requested to increase43247
appropriations from lawfully available moneys for the department 43248
in the current biennium sufficient for the purpose of and for the 43249
payment in full of bond service charges previously due and to come 43250
due in the biennium and for the full replenishment of the 43251
reserves.43252

       The director of transportation shall include with such 43253
requests a recommendation that the payment of the bond service 43254
charges and the replenishment of the reserves be made in the 43255
interest of maximizing the benefits of the state infrastructure43256
bank. Any such covenant shall not obligate or purport to obligate 43257
the state to pay the bond service charges on such bonds or notes 43258
or to deposit moneys in a reserve established for such payments 43259
other than from moneys that may be lawfully available and 43260
appropriated for that purpose during the then-current biennium.43261

       (R) There is hereby created the state infrastructure bank 43262
revenue bond service fund, which shall be in the custody of the 43263
treasurer of state but shall not be a part of the state treasury. 43264
All moneys received by or on account of the issuing authority or 43265
state agencies and required by the applicable bond proceedings, 43266
consistent with this section, to be deposited, transferred, or 43267
credited to the bond service fund, and all other moneys 43268
transferred or allocated to or received for the purposes of the43269
fund, shall be deposited and credited to such fund and to any43270
separate accounts therein, subject to applicable provisions of the 43271
bond proceedings, but without necessity for any act of43272
appropriation. The state infrastructure bank revenue bond service 43273
fund is a trust fund and is hereby pledged to the payment of bond 43274
service charges to the extent provided in the applicable bond 43275
proceedings, and payment thereof from such fund shall be made or 43276
provided for by the treasurer of state in accordance with such 43277
bond proceedings without necessity for any act of appropriation.43278

       (S) The obligations issued pursuant to this section, the 43279
transfer thereof, and the income therefrom, including any profit 43280
made on the sale thereof, shall at all times be free from taxation 43281
within this state.43282

       Sec. 5533.91. That part of the road known as state route 43283
number forty-four, located within Lake county and commencing at 43284
the intersection of that state route and state route number two 43285
and extending in a northerly direction and ending at headlands 43286
beach state park, shall be known as the "LCpl Andy Nowacki 43287
Memorial Highway."43288

       The director of transportation may erect suitable markers 43289
along the highway indicating its name.43290

       Sec. 5537.04.  (A) The Ohio turnpike commission may do any of 43291
the following:43292

       (1) Adopt bylaws for the regulation of its affairs and the43293
conduct of its business;43294

       (2) Adopt an official seal, which shall not be the great seal 43295
of the state and which need not be in compliance with section 5.10 43296
of the Revised Code;43297

       (3) Maintain a principal office and suboffices at such places 43298
within the state as it designates;43299

       (4) Sue and be sued in its own name, plead and be impleaded, 43300
provided any actions against the commission shall be brought in 43301
the court of common pleas of the county in which the principal 43302
office of the commission is located, or in the court of common 43303
pleas of the county in which the cause of action arose if that 43304
county is located within this state, and all summonses,43305
exceptions, and notices of every kind shall be served on the43306
commission by leaving a copy thereof at its principal office with43307
the secretary-treasurer or executive director of the commission;43308

       (5) Construct, maintain, repair, police, and operate the43309
turnpike system, and establish rules for the use of any turnpike43310
project;43311

       (6) Issue revenue bonds of the state, payable solely from43312
pledged revenues, as provided in this chapter, for the purpose of43313
paying any part of the cost of constructing any one or more43314
turnpike projects;43315

       (7) Fix, and revise from time to time, and charge and collect 43316
tolls;43317

       (8) Acquire, hold, and dispose of property in the exercise of 43318
its powers and the performance of its duties under this chapter;43319

       (9) Designate the locations and establish, limit, and control 43320
such points of ingress to and egress from each turnpike project as 43321
are necessary or desirable in the judgment of the commission and 43322
of the director of transportation to ensure the proper operation 43323
and maintenance of that project, and prohibit entrance to such a 43324
project from any point not so designated;43325

       (10) Make and enter into all contracts and agreements43326
necessary or incidental to the performance of its duties and the43327
execution of its powers under this chapter, including 43328
participation in a multi-jurisdiction electronic toll collection 43329
agreement and collection or remittance of tolls, fees, or other 43330
charges to or from entities or agencies that participate in such 43331
an agreement;43332

       (11) Employ or retain or contract for the services of43333
consulting engineers, superintendents, managers, and any other43334
engineers, construction and accounting experts, financial43335
advisers, trustees, marketing, remarketing, and administrative43336
agents, attorneys, and other employees, independent contractors,43337
or agents that are necessary in its judgment and fix their43338
compensation, provided all such expenses shall be payable solely43339
from the proceeds of bonds or from revenues of the Ohio turnpike43340
system;43341

       (12) Receive and accept from any federal agency, subject to 43342
the approval of the governor, and from any other governmental43343
agency grants for or in aid of the construction, reconstruction,43344
repair, renovation, maintenance, or operation of any turnpike43345
project, and receive and accept aid or contributions from any43346
source or person of money, property, labor, or other things of43347
value, to be held, used, and applied only for the purposes for43348
which such grants and contributions are made;43349

       (13) Provide coverage for its employees under Chapters 4123. 43350
and 4141. of the Revised Code;43351

        (14) Fix and revise by rule, from time to time, such permit 43352
fees, processing fees, or administrative charges for the 43353
prepayment, deferred payment, or nonpayment of tolls and use of 43354
electronic tolling equipment or other commission property.43355

       (B) The commission may do all acts necessary or proper to43356
carry out the powers expressly granted in this chapter.43357

       Sec. 5537.16.  (A) The Ohio turnpike commission may adopt43358
such bylaws and rules as it considers advisable for the control43359
and regulation of traffic on any turnpike project, for the43360
protection and preservation of property under its jurisdiction and 43361
control, and for the maintenance and preservation of good order 43362
within the property under its control, and for the purpose of 43363
establishing owner or operator liability for failure to comply 43364
with toll collection rules. The rules of the commission with 43365
respect to the speed, axle loads, vehicle loads, and vehicle 43366
dimensions of vehicles on turnpike projects, including the 43367
issuance of a special permit by the commission to allow the 43368
operation on any turnpike project of a motor vehicle transporting 43369
two or fewer steel coils, shall apply notwithstanding sections 43370
4511.21 to 4511.24, 4513.34, and Chapter 5577. of the Revised 43371
Code. Such bylaws and rules shall be published in a newspaper of 43372
general circulation in Franklin county, and in such other manner 43373
as the commission prescribes.43374

       (B) Such rules shall provide that public police officers43375
shall be afforded ready access, while in the performance of their43376
official duty, to all property under the jurisdiction of the43377
commission and without the payment of tolls.43378

       (C) No person shall violate any such bylaws or rules of the 43379
commission. All43380

       (D)(1) All fines collected for the violation of applicable 43381
laws of the state and the bylaws and rules of the commission or 43382
moneys arising from bonds forfeited for such violation shall be 43383
disposed of in accordance with section 5503.04 of the Revised 43384
Code.43385

       (2) All fees or charges assessed by the commission against an 43386
owner or operator of a vehicle as a civil violation for failure to 43387
comply with toll collection rules shall be revenues of the 43388
commission.43389

       Sec. 5537.99. Whoever(A) Except as provided in division (B) 43390
of this section, whoever violates division (C) of section 5537.16 43391
of the Revised Code is guilty of a minor misdemeanor on a first 43392
offense; on each subsequent offense such person is guilty of a 43393
misdemeanor of the fourth degree.43394

       (B) Whoever violates division (C) of section 5537.16 of the 43395
Revised Code when the violation is a civil violation for failure 43396
to comply with toll collection rules is subject to a fee or charge 43397
established by the commission by rule.43398

       Sec. 5705.28.  (A) Except as provided in division (B)(1) or43399
(2) of this section or in section 5705.281 of the Revised Code, 43400
the taxing authority of each subdivision or other taxing unit 43401
shall adopt a tax budget for the next succeeding fiscal year:43402

       (1) On or before the fifteenth day of January in the case of 43403
a school district;43404

       (2) On or before the fifteenth day of July in the case of all 43405
other subdivisions and taxing units.43406

       (B)(1) Before the first day of June in each year, the board43407
of trustees of a school library district entitled to participate43408
in any appropriation or revenue of a school district or to have a 43409
tax proposed by the board of education of a school district shall 43410
file with the board of education of the school district a tax 43411
budget for the ensuing fiscal year. On or before the fifteenth day 43412
of July in each year, the board of education of a school district 43413
to which a school library district tax budget was submitted under 43414
this division shall adopt such tax budget on behalf of the library43415
district, but such budget shall not be part of the school43416
district's tax budget.43417

       (2)(a) The taxing authority of a taxing unit that does not 43418
levy a tax is not required to adopt a tax budget pursuant to 43419
division (A) of this section. Instead, on or before the fifteenth 43420
day of July each year, such taxing authority shall adopt an 43421
operating budget for the taxing unit for the ensuing fiscal year. 43422
The operating budget shall include an estimate of receipts from 43423
all sources, a statement of all taxing unit expenses that are 43424
anticipated to occur, and the amount required for debt charges 43425
during the fiscal year. The operating budget is not required to be 43426
filed with the county auditor or the county budget commission.43427

       (b) Except for this section and sections 5705.36, 5705.38,43428
5705.40, 5705.41, 5705.43, 5705.44, and 5705.45 of the Revised43429
Code, a taxing unit that does not levy a tax is not a taxing unit 43430
for purposes of Chapter 5705. of the Revised Code. Documents 43431
prepared in accordance with such sections are not required to be 43432
filed with the county auditor or county budget commission.43433

       (c) The total appropriations from each fund of a taxing unit 43434
that does not levy a tax shall not exceed the total estimated 43435
revenue available for expenditures from the fund, and 43436
appropriations shall be made from each fund only for the purposes 43437
for which the fund is established.43438

       (C)(1) To assist in the preparation of the tax budget, the43439
head of each department, board, commission, and district authority 43440
entitled to participate in any appropriation or revenue of a 43441
subdivision shall file with the taxing authority, or in the case 43442
of a municipal corporation, with its chief executive officer, 43443
before the forty-fifth day prior to the date on which the budget 43444
must be adopted, an estimate of contemplated revenue and 43445
expenditures for the ensuing fiscal year, in such form as is43446
prescribed by the taxing authority of the subdivision or by the43447
auditor of state. The taxing authority shall include in its budget 43448
of expenditures the full amounts requested by district43449
authorities, not to exceed the amount authorized by law, if such43450
authorities may fix the amount of revenue they are to receive from 43451
the subdivision. In a municipal corporation in which a special 43452
levy for a municipal university has been authorized to be levied 43453
in excess of the ten-mill limitation, or is required by the 43454
charter of the municipal corporation, the taxing authority shall 43455
include an amount not less than the estimated yield of such levy, 43456
if such amount is requested by the board of directors of the 43457
municipal university.43458

       (2) A county board of mental retardation and developmental43459
disabilities may include within its estimate of contemplated43460
revenue and expenditures a reserve balance account in the43461
community mental retardation and developmental disabilities43462
residential services fund. The account shall contain money that is 43463
not needed to pay for current expenses for residential services 43464
and supported living but will be needed to pay for expenses for 43465
such services in the future or may be needed for unanticipated 43466
emergency expenses. On the request of the county board of mental 43467
retardation and developmental disabilities, the board of county 43468
commissioners shall include such an account in its budget of 43469
expenditures and appropriate money to the account from residential 43470
service moneys for the county board.43471

       (D) The board of trustees of any public library desiring to 43472
participate in the distribution of the county library and local 43473
government supportlibraries fund shall adopt appropriate rules43474
extending the benefits of the library service of such library to43475
all the inhabitants of the county on equal terms, unless such43476
library service is by law available to all such inhabitants, and43477
shall certify a copy of such rules to the taxing authority with43478
its estimate of contemplated revenue and expenditures. Where such 43479
rules have been so certified or where the adoption of such rules 43480
is not required, the taxing authority shall include in its budget 43481
of receipts such amounts as are specified by such board as43482
contemplated revenue from the county library and local government43483
supportlibraries fund, and in its budget of expenditures the full 43484
amounts requested therefrom by such board. No library association,43485
incorporated or unincorporated, is entitled to participate in the43486
proceeds of the county library and local government support43487
libraries fund or other public funds unless such association was 43488
organized and operating prior to January 1, 1968.43489

       Sec. 5705.281. (A) Notwithstanding section 5705.28 of the 43490
Revised Code, the county budget commission, by an affirmative vote 43491
of a majority of the commission, including an affirmative vote by 43492
the county auditor, may waive the requirement that the taxing 43493
authority of a subdivision or other taxing unit adopt a tax budget43494
as provided under section 5705.28 of the Revised Code, but shall 43495
require such a taxing authority to provide such information to the 43496
commission as may be required by the commission to perform its43497
duties under this chapter, including dividing the rates of each of43498
the subdivision's or taxing unit's tax levies as provided under43499
section 5705.04 of the Revised Code.43500

       (B)(1) Notwithstanding divisions (B)(1) and (D) of section 43501
5705.28 of the Revised Code, in any county in which a single 43502
library receives all of the county library and local government 43503
supportlibraries fund or receives all of that portion of the fund 43504
that is distributed to libraries, the county budget commission, by 43505
an affirmative vote of a majority of the commission, including an 43506
affirmative vote by the county auditor, may waive any or all of 43507
the following requirements:43508

        (a) The requirement that the board of trustees of a school 43509
library district entitled to participate in any appropriation or 43510
revenue of a school district or to have a tax proposed by the 43511
board of education of a school district file with the board of 43512
education of the school district a tax budget, and the requirement 43513
that the board of education adopt the tax budget on behalf of the 43514
library district, as provided in division (B)(1) of section 43515
5705.28 of the Revised Code;43516

        (b) The requirement that the board of trustees of a public 43517
library desiring to participate in the distribution of the county 43518
library and local government supportlibraries fund certify to the 43519
taxing authority its estimate of contemplated revenue and 43520
expenditures, and the requirement that the taxing authority 43521
include in its budget of receipts and budget of expenditures the 43522
full amounts specified or requested by the board of trustees, as 43523
provided in division (D) of section 5705.28 of the Revised Code.43524

        (2) If a county budget commission waives the requirements 43525
described in division (B)(1)(a) or (b) of this section, the 43526
commission shall require the board of trustees of the school 43527
library district or the board of trustees of the public library 43528
desiring to participate in the distribution of the county library 43529
and local government supportlibraries fund to provide to the 43530
commission any information the commission may require from the 43531
board in order for the commission to perform its duties under this 43532
chapter.43533

       Sec. 5705.29. This section does not apply to a subdivision or43534
taxing unit for which the county budget commission has waived the43535
requirement to adopt a tax budget pursuant to section 5705.281 of43536
the Revised Code. The tax budget shall present the following43537
information in such detail as is prescribed by the auditor of43538
state:43539

       (A)(1) A statement of the necessary current operating43540
expenses for the ensuing fiscal year for each department and43541
division of the subdivision, classified as to personal services43542
and other expenses, and the fund from which such expenditures are43543
to be made. Except in the case of a school district, this estimate 43544
may include a contingent expense not designated for any particular 43545
purpose, and not to exceed three per cent of the total amount of 43546
appropriations for current expenses. In the case of a school 43547
district, this estimate may include a contingent expense not 43548
designated for any particular purpose and not to exceed thirteen 43549
per cent of the total amount of appropriations for current 43550
expenses.43551

       (2) A statement of the expenditures for the ensuing fiscal43552
year necessary for permanent improvements, exclusive of any43553
expense to be paid from bond issues, classified as to the43554
improvements contemplated by the subdivision and the fund from43555
which such expenditures are to be made;43556

       (3) The amounts required for the payment of final judgments;43557

       (4) A statement of expenditures for the ensuing fiscal year43558
necessary for any purpose for which a special levy is authorized,43559
and the fund from which such expenditures are to be made;43560

       (5) Comparative statements, so far as possible, in parallel43561
columns of corresponding items of expenditures for the current43562
fiscal year and the two preceding fiscal years.43563

       (B)(1) An estimate of receipts from other sources than the43564
general property tax during the ensuing fiscal year, which shall43565
include an estimate of unencumbered balances at the end of the43566
current fiscal year, and the funds to which such estimated43567
receipts are credited;43568

       (2) The amount each fund requires from the general property43569
tax, which shall be the difference between the contemplated43570
expenditure from the fund and the estimated receipts, as provided43571
in this section. The section of the Revised Code under which the43572
tax is authorized shall be set forth.43573

       (3) Comparative statements, so far as possible, in parallel43574
columns of taxes and other revenues for the current fiscal year43575
and the two preceding fiscal years.43576

       (C)(1) The amount required for debt charges;43577

       (2) The estimated receipts from sources other than the tax43578
levy for payment of such debt charges, including the proceeds of43579
refunding bonds to be issued to refund bonds maturing in the next43580
succeeding fiscal year;43581

       (3) The net amount for which a tax levy shall be made,43582
classified as to bonds authorized and issued prior to January 1,43583
1922, and those authorized and issued subsequent to such date, and43584
as to what portion of the levy will be within and what in excess43585
of the ten-mill limitation.43586

       (D) An estimate of amounts from taxes authorized to be levied 43587
in excess of the ten-mill limitation on the tax rate, and the fund 43588
to which such amounts will be credited, together with the sections 43589
of the Revised Code under which each such tax is exempted from all 43590
limitations on the tax rate.43591

       (E)(1) A board of education may include in its budget for the 43592
fiscal year in which a levy proposed under section 5705.194,43593
5705.21, or 5705.213, or the original levy under section 5705.21243594
of the Revised Code is first extended on the tax list and43595
duplicate an estimate of expenditures to be known as a voluntary43596
contingency reserve balance, which shall not be greater than43597
twenty-five per cent of the total amount of the levy estimated to43598
be available for appropriation in such year.43599

       (2) A board of education may include in its budget for the43600
fiscal year following the year in which a levy proposed under43601
section 5705.194, 5705.21, or 5705.213, or the original levy under43602
section 5705.212 of the Revised Code is first extended on the tax43603
list and duplicate an estimate of expenditures to be known as a43604
voluntary contingency reserve balance, which shall not be greater43605
than twenty per cent of the amount of the levy estimated to be43606
available for appropriation in such year.43607

       (3) Except as provided in division (E)(4) of this section,43608
the full amount of any reserve balance the board includes in its43609
budget shall be retained by the county auditor and county43610
treasurer out of the first semiannual settlement of taxes until43611
the beginning of the next succeeding fiscal year, and thereupon,43612
with the depository interest apportioned thereto, it shall be43613
turned over to the board of education, to be used for the purposes43614
of such fiscal year.43615

       (4) A board of education, by a two-thirds vote of all members 43616
of the board, may appropriate any amount withheld as a voluntary 43617
contingency reserve balance during the fiscal year for any lawful 43618
purpose, provided that prior to such appropriation the board of 43619
education has authorized the expenditure of all amounts43620
appropriated for contingencies under section 5705.40 of the43621
Revised Code. Upon request by the board of education, the county43622
auditor shall draw a warrant on the district's account in the43623
county treasury payable to the district in the amount requested.43624

       (F)(1) A board of education may include a spending reserve in 43625
its budget for fiscal years ending on or before June 30, 2002. The 43626
spending reserve shall consist of an estimate of expenditures not 43627
to exceed the district's spending reserve balance. A district's 43628
spending reserve balance is the amount by which the designated 43629
percentage of the district's estimated personal property taxes to 43630
be settled during the calendar year in which the fiscal year ends 43631
exceeds the estimated amount of personal property taxes to be so 43632
settled and received by the district during that fiscal year. 43633
Moneys from a spending reserve shall be appropriated in accordance 43634
with section 133.301 of the Revised Code.43635

       (2) For the purposes of computing a school district's43636
spending reserve balance for a fiscal year, the designated43637
percentage shall be as follows:43638

Fiscal year ending in: Designated percentage 43639
1998 50% 43640
1999 40% 43641
2000 30% 43642
2001 20% 43643
2002 10% 43644

       (G) Except as otherwise provided in this division, the county 43645
budget commission shall not reduce the taxing authority of a 43646
subdivision as a result of the creation of a reserve balance43647
account. Except as otherwise provided in this division, the county 43648
budget commission shall not consider the amount in a reserve 43649
balance account of a township, county, or municipal corporation as 43650
an unencumbered balance or as revenue for the purposes of division43651
(E)(3) or (4) of section 5747.51 or division (E)(3) or (4) of 43652
section 5747.62 of the Revised Code. The county budget commission 43653
may require documentation of the reasonableness of the reserve 43654
balance held in any reserve balance account. The commission shall 43655
consider any amount in a reserve balance account that it 43656
determines to be unreasonable as unencumbered and as revenue for 43657
the purposes of sections 5747.51 and 5747.62 of the Revised Code 43658
and may take such amounts into consideration when determining 43659
whether to reduce the taxing authority of a subdivision.43660

       Sec. 5705.30.  This section does not apply to a subdivision43661
for which the county budget commission has waived the requirement43662
to adopt a tax budget under section 5705.281 of the Revised Code.43663

       In addition to the information required by section 5705.29 of43664
the Revised Code, the budget of each subdivision and school43665
library district shall include such other information as is43666
prescribed by the auditor of state. At least two copies of the43667
budget shall be filed in the office of the fiscal officer of the43668
subdivision for public inspection not less than ten days before43669
its adoption by the taxing authority, and such taxing authority43670
shall hold at least one public hearing thereon, of which public43671
notice shall be given by at least one publication not less than43672
ten days prior to the date of hearing in the official publication43673
of such subdivision, or in a newspaper having general circulation43674
in the subdivision. The budget, after adoption, shall be submitted43675
to the county auditor on or before the twentieth day of July, or43676
in the case of a school district, by the twentieth day of January.43677
The tax commissioner may prescribe a later date for the submission43678
of a subdivision's tax budget. Any subdivision that fails to43679
submit its budget to the county auditor on or before the twentieth43680
day of July, unless the commissioner on or before the twentieth43681
day of July prescribes a later date for submission of the budget43682
by that subdivision, shall not receive an apportionment from the43683
undivided local governmentcommunities fund distribution for the 43684
ensuing calendar year, unless upon review of the matter the 43685
commissioner determines that the budget was adopted by the 43686
subdivision on or before the fifteenth day of July, but was not 43687
submitted to the county auditor by the twentieth day of July or 43688
the later time prescribed by the commissioner because of 43689
ministerial error by the subdivision or its officers, employees, 43690
or other representatives.43691

       Sec. 5705.31.  The county auditor shall present to the county43692
budget commission the annual tax budgets submitted under sections43693
5705.01 to 5705.47 of the Revised Code, together with an estimate43694
prepared by the auditor of the amount of any state levy, the rate43695
of any school tax levy as previously determined, the tax43696
commissioner's estimate of the amount to be received in the county43697
library and local government supportlibraries fund, the tax rates 43698
provided under section 5705.281 of the Revised Code if adoption of 43699
the tax budget was waived under that section, and such other43700
information as the commission requests or the tax commissioner43701
prescribes. The budget commission shall examine such budget and43702
ascertain the total amount proposed to be raised in the county for43703
the purposes of each subdivision and other taxing units in the43704
county.43705

       The commission shall ascertain that the following levies have43706
been properly authorized and, if so authorized, shall approve them43707
without modification:43708

       (A) All levies in excess of the ten-mill limitation;43709

       (B) All levies for debt charges not provided for by levies in 43710
excess of the ten-mill limitation, including levies necessary to 43711
pay notes issued for emergency purposes;43712

       (C) The levies prescribed by division (B) of sections 742.3343713
and 742.34 of the Revised Code;43714

       (D) Except as otherwise provided in this division, a minimum43715
levy within the ten-mill limitation for the current expense and43716
debt service of each subdivision or taxing unit, which shall equal43717
two-thirds of the average levy for current expenses and debt43718
service allotted within the fifteen-mill limitation to such43719
subdivision or taxing unit during the last five years the43720
fifteen-mill limitation was in effect unless such subdivision or43721
taxing unit requests an amount requiring a lower rate. Except as43722
provided in section 5705.312 of the Revised Code, if the levies43723
required in divisions (B) and (C) of this section for the43724
subdivision or taxing unit equal or exceed the entire minimum levy43725
of the subdivision as fixed, the minimum levies of the other43726
subdivisions or taxing units shall be reduced by the commission to43727
provide for the levies and an operating levy for the subdivision.43728
Such additional levy shall be deducted from the minimum levies of43729
each of the other subdivisions or taxing units, but the operating43730
levy for a school district shall not be reduced below a figure43731
equivalent to forty-five per cent of the millage available within43732
the ten-mill limitation after all the levies in divisions (B) and43733
(C) of this section have been provided for.43734

       If a municipal corporation and a township have entered into43735
an annexation agreement under section 709.192 of the Revised Code43736
in which they agree to reallocate their shares of the minimum43737
levies established under this division and if that annexation43738
agreement is submitted along with the annual tax budget of both43739
the township and the municipal corporation, then, when determining43740
the minimum levy under this division, the auditor shall allocate,43741
to the extent possible, the minimum levy for that municipal43742
corporation and township in accordance with their annexation43743
agreement.43744

       (E) The levies prescribed by section 3709.29 of the Revised43745
Code.43746

       Divisions (A) to (E) of this section are mandatory, and43747
commissions shall be without discretion to reduce such minimum43748
levies except as provided in such divisions.43749

       If any debt charge is omitted from the budget, the commission43750
shall include it therein.43751

       Sec. 5705.32.  (A) The county budget commission shall adjust43752
the estimated amounts required from the general property tax for43753
each fund, as shown by the tax budgets or other information43754
required to be provided under section 5705.281 of the Revised43755
Code, so as to bring the tax levies required therefor within the43756
limitations specified in sections 5705.01 to 5705.47 of the43757
Revised Code, for such levies, but no levy shall be reduced below43758
a minimum fixed by law. The commission may revise and adjust the43759
estimate of balances and receipts from all sources for each fund43760
and shall determine the total appropriations that may be made43761
therefrom.43762

       (B) The commission shall fix the amount of the county library 43763
and local government supportlibraries fund to be distributed to43764
each board of public library trustees that has qualified under43765
section 5705.28 of the Revised Code for participation in the43766
proceeds of such fund. The amount paid to all libraries in the43767
county from such fund shall never be a smaller per cent of the43768
fund than the average of the percentages of the county's43769
classified taxes that were distributed to libraries in 1982, 1983,43770
and 1984, as determined by the county auditor. The commission43771
shall base the amount for distribution on the needs of such43772
library for the construction of new library buildings, parts of43773
buildings, improvements, operation, maintenance, or other43774
expenses. In determining the needs of each library board of43775
trustees, and in calculating the amount to be distributed to any43776
library board of trustees on the basis of its needs, the43777
commission shall make no reduction in its allocation from the fund43778
on account of additional revenues realized by a library from43779
increased taxes or service charges voted by its electorate, from43780
revenues received through federal or state grants, projects, or43781
programs, or from grants from private sources.43782

       (C) Notwithstanding the fact that alternative methods of43783
financing such needs are available, after fixing the amount to be43784
distributed to libraries, the commission shall fix the amount, if43785
any, of the county library and local government supportlibraries43786
fund to be distributed to each board of township park43787
commissioners, the county, and each municipal corporation in 43788
accordance with the following:43789

       (1) Each municipal corporation in the county shall receive a43790
per cent of the remainder that equals the per cent that the county43791
auditor determines the classified property taxes originating in43792
such municipal corporation in 1984 were of the total of all of the43793
county's classified property taxes in 1984. The commission may43794
deduct from this amount any amount that the budget commission43795
allows to the board of township park commissioners of a township43796
park district, the boundaries of which are coextensive with or43797
contained within the boundaries of the municipal corporation.43798

       (2) The county shall receive a per cent of the remainder that 43799
equals the per cent that the county auditor determines the43800
classified property taxes originating outside of the boundaries of43801
municipal corporations in the county in 1984 were of the total of43802
all of the county's classified property taxes in 1984. The43803
commission may deduct from this amount any amount that the budget43804
commission allows to the board of township park commissioners of a43805
township park district, the boundaries of which are not43806
coextensive with or contained within those of any municipal43807
corporation in the county.43808

       (D) The commission shall separately set forth the amounts43809
fixed and determined under divisions (B) and (C) of this section43810
in the "official certificate of estimated resources," as provided43811
in section 5705.35 of the Revised Code, and separately certify43812
such amount to the county auditor who shall be guided thereby in43813
the distribution of the county library and local government43814
supportlibraries fund for and during the fiscal year. In 43815
determining such amounts, the commission shall be guided by the 43816
estimate certified by the tax commissioner and presented by the 43817
auditor under section 5705.31 of the Revised Code, as to the total 43818
amount of revenue to be received in the county library and local 43819
government supportlibraries fund during such fiscal year.43820

       (E)(1) At least five days before the date of any meeting at43821
which the budget commission plans to discuss the distribution of43822
the county library and local government supportlibraries fund, it 43823
shall notify each legislative authority and board of public 43824
library trustees, county commissioners, and township park43825
commissioners eligible to participate in the distribution of the 43826
fund of the date, time, place, and agenda for the meeting. Any 43827
legislative authority or board entitled to notice under this 43828
division may designate an officer or employee of such legislative 43829
authority or board to whom the commission shall deliver the 43830
notice.43831

       (2) Before the final determination of the amount to be43832
allotted to each subdivision from any source, the commission shall43833
permit representatives of each subdivision and of each board of43834
public library trustees to appear before it to explain its43835
financial needs.43836

       (F) If any public library receives and expends any funds43837
allocated to it under this section for the construction of new43838
library buildings or parts of buildings, such library shall be43839
free and open to the inhabitants of the county in which it is43840
located. Any board of library trustees that receives funds under43841
this section and section 5747.48 of the Revised Code shall have43842
its financial records open for public inspection at all reasonable43843
times.43844

       Sec. 5705.321.  (A) As used in this section:43845

       (1) "City, located wholly or partially in the county, with43846
the greatest population" means the city, located wholly or43847
partially in the county, with the greatest population residing in43848
the county; however, if the county budget commission on or before43849
January 1, 1998, adopted an alternative method of apportionment43850
that was approved by the city, located partially in the county,43851
with the greatest population but not the greatest population43852
residing in the county, "city, located wholly or partially in the43853
county, with the greatest population" means the city, located43854
wholly or partially in the county, with the greatest population43855
whether residing in the county or not, if this alternative meaning43856
is adopted by action of the board of county commissioners and a43857
majority of the boards of township trustees and legislative43858
authorities of municipal corporations located wholly or partially43859
in the county.43860

       (2) "Participating political subdivision" means a municipal43861
corporation or township that satisfies all of the following:43862

       (a) It is located wholly or partially in the county.43863

       (b) It is not the city, located wholly or partially in the43864
county, with the greatest population.43865

       (c) Library and local government supportLocal libraries fund 43866
moneys are apportioned to it under the county's alternative method 43867
or formula of apportionment in the current calendar year.43868

       (B) In lieu of the method of apportionment of the county43869
library and local government supportlibraries fund provided by 43870
division (C) of section 5705.32 of the Revised Code, the county 43871
budget commission may provide for the apportionment of the fund43872
under an alternative method or on a formula basis as authorized by43873
this section.43874

       Except as otherwise provided in division (C) of this section,43875
the alternative method of apportionment shall have first been43876
approved by all of the following governmental units: the board of43877
county commissioners; the legislative authority of the city,43878
located wholly or partially in the county, with the greatest43879
population; and a majority of the boards of township trustees and43880
legislative authorities of municipal corporations, located wholly43881
or partially in the county, excluding the legislative authority of43882
the city, located wholly or partially in the county, with the43883
greatest population. In granting or denying approval for an43884
alternative method of apportionment, the board of county43885
commissioners, boards of township trustees, and legislative43886
authorities of municipal corporations shall act by motion. A43887
motion to approve shall be passed upon a majority vote of the43888
members of a board of county commissioners, board of township43889
trustees, or legislative authority of a municipal corporation,43890
shall take effect immediately, and need not be published.43891

       Any alternative method of apportionment adopted and approved43892
under this division may be revised, amended, or repealed in the43893
same manner as it may be adopted and approved. If an alternative43894
method of apportionment adopted and approved under this division43895
is repealed, the county library and local government support43896
libraries fund shall be apportioned among the subdivisions 43897
eligible to participate in the fund, commencing in the ensuing 43898
calendar year, under the apportionment provided in divisions (B) 43899
and (C) of section 5705.32 of the Revised Code, unless the repeal 43900
occurs by operation of division (C) of this section or a new 43901
method for apportionment of the fund is provided in the action of 43902
repeal.43903

       (C) This division applies only in counties in which the city,43904
located wholly or partially in the county, with the greatest43905
population has a population of twenty thousand or less and a43906
population that is less than fifteen per cent of the total43907
population of the county. In such a county, the legislative43908
authorities or boards of township trustees of two or more43909
participating political subdivisions, which together have a43910
population residing in the county that is a majority of the total43911
population of the county, each may adopt a resolution to exclude43912
the approval otherwise required of the legislative authority of43913
the city, located wholly or partially in the county, with the43914
greatest population. All of the resolutions to exclude that43915
approval shall be adopted not later than the first Monday of43916
August of the year preceding the calendar year in which43917
distributions are to be made under an alternative method of43918
apportionment.43919

       A motion granting or denying approval of an alternative43920
method of apportionment under this division shall be adopted by a43921
majority vote of the members of the board of county commissioners43922
and by a majority vote of a majority of the boards of township43923
trustees and legislative authorities of the municipal corporations43924
located wholly or partially in the county, other than the city,43925
located wholly or partially in the county, with the greatest43926
population, shall take effect immediately, and need not be43927
published. The alternative method of apportionment under this43928
division shall be adopted and approved annually, not later than43929
the first Monday of August of the year preceding the calendar year43930
in which distributions are to be made under it. A motion granting43931
approval of an alternative method of apportionment under this43932
division repeals any existing alternative method of apportionment,43933
effective with distributions to be made from the fund in the43934
ensuing calendar year. An alternative method of apportionment43935
under this division shall not be revised or amended after the43936
first Monday of August of the year preceding the calendar year in43937
which distributions are to be made under it.43938

       (D) In determining an alternative method of apportionment43939
authorized by this section, the county budget commission may43940
include in the method any factor considered to be appropriate and43941
reliable, in the sole discretion of the county budget commission.43942

       (E) On the basis of any alternative method of apportionment43943
adopted and approved as authorized by this section, as certified43944
by the auditor to the county treasurer, the county treasurer shall43945
make distribution of the money in the county library and local43946
government supportlibraries fund to each subdivision eligible to43947
participate in the fund, and the auditor, when the amount of those 43948
shares is in the custody of the treasurer in the amounts so43949
computed to be due the respective subdivisions, shall at the same43950
time certify to the tax commissioner the percentage share of the43951
county as a subdivision. All money received into the treasury of a 43952
subdivision from the county library and local government support43953
libraries fund in a county treasury shall be paid into the general 43954
fund and used for the current operating expenses of the 43955
subdivision.43956

       (F) The actions of the county budget commission taken43957
pursuant to this section are final and may not be appealed to the43958
board of tax appeals, except on the issues of abuse of discretion43959
and failure to comply with the formula.43960

       Sec. 5705.37.  The taxing authority of any subdivision that43961
is dissatisfied with any action of the county budget commission43962
may, through its fiscal officer, appeal to the board of tax43963
appeals within thirty days after the receipt by the subdivision of 43964
the official certificate or notice of the commission's action. In 43965
like manner, but through its clerk, the board of trustees of any 43966
public library, nonprofit corporation, or library association43967
maintaining a free public library that has adopted and certified43968
rules under section 5705.28 of the Revised Code, or any park43969
district may appeal to the board of tax appeals. An appeal under43970
this section shall be taken by the filing of a notice of appeal,43971
either in person or by certified mail, express mail, or authorized 43972
delivery service as provided in section 5703.056 of the Revised 43973
Code, with the board and with the commission. If notice of appeal 43974
is filed by certified mail, express mail, or authorized delivery 43975
service, date of the United States postmark placed on the sender's43976
receipt by the postal service or the date of receipt recorded by 43977
the authorized delivery service shall be treated as the date of 43978
filing. Upon receipt of the notice of appeal, the commission, by 43979
certified mail, shall notify all persons who were parties to the 43980
proceeding before the commission of the filing of the notice of 43981
appeal and shall file proof of notice with the board of tax 43982
appeals. The secretary of the commission shall forthwith certify 43983
to the board a transcript of the full and accurate record of all 43984
proceedings before the commission, together with all evidence 43985
presented in the proceedings or considered by the commission, 43986
pertaining to the action from which the appeal is taken. The 43987
secretary of the commission also shall certify to the board any 43988
additional information that the board may request.43989

       The board of tax appeals, in a de novo proceeding, shall43990
forthwith consider the matter presented to the commission, and may 43991
modify any action of the commission with reference to the budget, 43992
the estimate of revenues and balances, the allocation of the 43993
library and local government supportlibraries fund, or the fixing 43994
of tax rates. The finding of the board of tax appeals shall be43995
substituted for the findings of the commission, and shall be43996
certified to the tax commissioner, the county auditor, and the43997
taxing authority of the subdivision affected, or to the board of43998
public library trustees affected, as the action of the commission43999
under sections 5705.01 to 5705.47 of the Revised Code.44000

       This section does not give the board of tax appeals any44001
authority to place any tax levy authorized by law within the44002
ten-mill limitation outside of that limitation, or to reduce any44003
levy below any minimum fixed by law.44004

       Sec. 5705.44.  When contracts or leases run beyond the44005
termination of the fiscal year in which they are made, the fiscal44006
officer of the taxing authority shall make a certification for the44007
amount required to meet the obligation of such contract or lease44008
maturing in such fiscal year. The amount of the obligation under44009
such contract or lease remaining unfulfilled at the end of a44010
fiscal year, and which will become payable during the next fiscal44011
year, shall be included in the annual appropriation measure for44012
the next year as a fixed charge.44013

       The certificate required by section 5705.41 of the Revised44014
Code as to money in the treasury shall not be required for44015
contracts on which payments are to be made from the earnings of a44016
publicly operated water works or public utility, but in the case44017
of any such contract made without such certification, no payment44018
shall be made on account thereof, and no claim or demand thereon44019
shall be recoverable, except out of such earnings. That44020
certificate also shall not be required if requiring the44021
certificate makes it impossible for a county board of mental44022
retardation and developmental disabilities to pay the nonfederal44023
share of medicaid expenditures that the county board is required44024
by division (A) of section 5126.057sections 5126.059 and 44025
5126.0510 of the Revised Code to pay.44026

       Sec. 5709.68.  (A) On or before the thirty-first day of March 44027
each year, a municipal corporation or county that has entered into 44028
an agreement with an enterprise under section 5709.62, 5709.63, or 44029
5709.632 of the Revised Code shall submit to the director of 44030
development and the board of education of each school district of 44031
which a municipal corporation or township to which such an 44032
agreement applies is a part a report on all of those agreements in 44033
effect during the preceding calendar year. The report shall 44034
include all of the following information:44035

       (1) The designation, assigned by the director of development, 44036
of each urban jobs and enterprise zone within the municipal 44037
corporation or county, the date each zone was certified, the name 44038
of each municipal corporation or township within each zone, and 44039
the total population of each zone according to the most recent 44040
data available;44041

       (2) The number of enterprises that are subject to those44042
agreements and the number of full-time employees subject to those44043
agreements within each zone, each according to the most recent44044
data available and identified and categorized by the appropriate44045
standard industrial code, and the rate of unemployment in the44046
municipal corporation or county in which the zone is located for44047
each year since each zone was certified;44048

       (3) The number of agreements approved and executed during the 44049
calendar year for which the report is submitted, the total number 44050
of agreements in effect on the thirty-first day of December of the 44051
preceding calendar year, the number of agreements that expired 44052
during the calendar year for which the report is submitted, and 44053
the number of agreements scheduled to expire during the calendar 44054
year in which the report is submitted. For each agreement that 44055
expired during the calendar year for which the report is 44056
submitted, the municipal corporation or county shall include the 44057
amount of taxes exempted and the estimated dollar value of any 44058
other incentives provided under the agreement.44059

       (4) The number of agreements receiving compliance reviews by44060
the tax incentive review council in the municipal corporation or44061
county during the calendar year for which the report is submitted,44062
including all of the following information:44063

       (a) The number of agreements the terms of which an enterprise 44064
has complied with, indicating separately for each agreement the 44065
value of the real and personal property exempted pursuant to the 44066
agreement and a comparison of the stipulated and actual schedules 44067
for hiring new employees, for retaining existing employees, for 44068
the amount of payroll of the enterprise attributable to these 44069
employees, and for investing in establishing, expanding, 44070
renovating, or occupying a facility;44071

       (b) The number of agreements the terms of which an enterprise 44072
has failed to comply with, indicating separately for each 44073
agreement the value of the real and personal property exempted 44074
pursuant to the agreement and a comparison of the stipulated and 44075
actual schedules for hiring new employees, for retaining existing 44076
employees, for the amount of payroll of the enterprise 44077
attributable to these employees, and for investing in44078
establishing, expanding, renovating, or occupying a facility;44079

       (c) The number of agreements about which the tax incentive44080
review council made recommendations to the legislative authority44081
of the municipal corporation or county, and the number of those44082
recommendations that have not been followed;44083

       (d) The number of agreements rescinded during the calendar44084
year for which the report is submitted.44085

       (5) The number of enterprises that are subject to agreements44086
that expanded within each zone, including the number of new44087
employees hired and existing employees retained by each44088
enterprise, and the number of new enterprises that are subject to44089
agreements and that established within each zone, including the44090
number of new employees hired by each enterprise;44091

       (6)(a) The number of enterprises that are subject to44092
agreements and that closed or reduced employment at any place of44093
business within the state for the primary purpose of establishing,44094
expanding, renovating, or occupying a facility, indicating44095
separately for each enterprise the political subdivision in which44096
the enterprise closed or reduced employment at a place of business44097
and the number of full-time employees transferred and retained by44098
each such place of business;44099

       (b) The number of enterprises that are subject to agreements44100
and that closed or reduced employment at any place of business44101
outside the state for the primary purpose of establishing,44102
expanding, renovating, or occupying a facility.44103

       (7) For each agreement in effect during any part of the44104
preceding year, the number of employees employed by the enterprise44105
at the project site immediately prior to formal approval of the44106
agreement, the number of employees employed by the enterprise at44107
the project site on the thirty-first day of December of the44108
preceding year, the payroll of the enterprise for the preceding44109
year, the amount of taxes paid on tangible personal property44110
situated at the project site and the amount of those taxes that44111
were not paid because of the exemption granted under the44112
agreement, and the amount of taxes paid on real property44113
constituting the project site and the amount of those taxes that44114
were not paid because of the exemption granted under the44115
agreement. If an agreement was entered into under section 5709.632 44116
of the Revised Code with an enterprise described in division 44117
(B)(2) of that section, the report shall include the number of 44118
employee positions at all of the enterprise's locations in this 44119
state. If an agreement is conditioned on a waiver issued under 44120
division (B) of section 5709.633 of the Revised Code on the basis 44121
of the circumstance described in division (B)(3)(a) or (b) of that 44122
section, the report shall include the number of employees at the 44123
facilities referred to in division (B)(3)(a)(i) or (b)(i) of that 44124
section, respectively.44125

       (B) Upon the failure of a municipal corporation or county to44126
comply with division (A) of this section:44127

       (1) Beginning on the first day of April of the calendar year44128
in which the municipal corporation or county fails to comply with44129
that division, the municipal corporation or county shall not enter44130
into any agreements with an enterprise under section 5709.62,44131
5709.63, or 5709.632 of the Revised Code until the municipal44132
corporation or county has complied with division (A) of this44133
section.44134

       (2) On the first day of each ensuing calendar month until the 44135
municipal corporation or county complies with division (A) of this 44136
section, the director of development shall either order the proper 44137
county auditor to deduct from the next succeeding payment of taxes 44138
to the municipal corporation or county under section 321.31, 44139
321.32, 321.33, or 321.34 of the Revised Code an amount equal to 44140
one thousand dollars for each calendar month the municipal44141
corporation or county fails to comply with that division, or order 44142
the county auditor to deduct that amount from the next succeeding44143
payment to the municipal corporation or county from the undivided 44144
local governmentcommunities fund under section 5747.51 of the 44145
Revised Code. At the time such a payment is made, the county44146
auditor shall comply with the director's order by issuing a44147
warrant, drawn on the fund from which the money would have been44148
paid, to the director of development, who shall deposit the44149
warrant into the state enterprise zone program administration fund 44150
created in division (C) of this section.44151

       (C) The director, by rule, shall establish the state's44152
application fee for applications submitted to a municipal44153
corporation or county to enter into an agreement under section44154
5709.62, 5709.63, or 5709.632 of the Revised Code. In establishing 44155
the amount of the fee, the director shall consider the state's 44156
cost of administering the enterprise zone program, including the 44157
cost of reviewing the reports required under division (A) of this 44158
section. The director may change the amount of the fee at the 44159
times and in the increments the director considers necessary. Any 44160
municipal corporation or county that receives an application shall 44161
collect the application fee and remit the fee for deposit in the 44162
state treasury to the credit of the state enterprise zone program 44163
administration fund, which is hereby created. Money credited to 44164
the fund shall be used by the department of development to pay the 44165
costs of administering the enterprise zone program, including the 44166
cost of reviewing the reports required under division (A) of this 44167
sectiontax incentive programs operating fund created in section 44168
122.174 of the Revised Code.44169

       (D) On or before the thirtieth day of June each year, the44170
director of development shall certify to the tax commissioner the44171
information described under division (A)(7) of this section,44172
derived from the reports submitted to the director under this44173
section.44174

       On the basis of the information certified under this44175
division, the tax commissioner annually shall submit a report to44176
the governor, the speaker of the house of representatives, the44177
president of the senate, and the chairpersons of the ways and44178
means committees of the respective houses of the general assembly,44179
indicating for each enterprise zone the amount of state and local44180
taxes that were not required to be paid because of exemptions44181
granted under agreements entered into under section 5709.62,44182
5709.63, or 5709.632 of the Revised Code and the amount of44183
additional taxes paid from the payroll of new employees.44184

       Sec. 5709.882.  (A) On or before the thirty-first day of44185
March each year, a municipal corporation or county that has44186
entered into an agreement with an enterprise under section 5709.88 44187
of the Revised Code shall submit to the director of development 44188
and the board of education of each school district of which a 44189
municipal corporation or county to which such an agreement applies 44190
is a part a report on all such agreements in effect during the 44191
preceding calendar year. The report shall include all of the 44192
following information:44193

       (1) The number of enterprises that are subject to such44194
agreements and the number of full-time employees subject to those44195
agreements in the county or municipal corporation;44196

       (2) The number of agreements approved and executed during the 44197
calendar year for which the report is submitted, the total number 44198
of agreements in effect on the thirty-first day of December of the 44199
preceding calendar year, the number of agreements that expired 44200
during the calendar year for which the report is submitted, and 44201
the number of agreements scheduled to expire during the calendar 44202
year in which the report is submitted. For each agreement that 44203
expired during the calendar year for which the report is 44204
submitted, the municipal corporation or county shall include the 44205
amount of taxes exempted and the estimated dollar value of any 44206
other incentives provided under the agreement.44207

       (3) The number of agreements receiving compliance reviews by 44208
the tax incentive review council in the municipal corporation or 44209
county under section 5709.883 of the Revised Code during the44210
calendar year for which the report is submitted, including all of44211
the following information:44212

       (a) The number of agreements the terms of which an enterprise 44213
has complied with, indicating separately for each such agreement 44214
the value of the real and personal property exempted pursuant to 44215
the agreement and a comparison of the stipulated and actual 44216
schedules for hiring new employees, for retaining existing44217
employees, for the amount of payroll of the enterprise44218
attributable to these employees, and for remediating and investing 44219
in establishing, expanding, renovating, or occupying a facility;44220

       (b) The number of agreements the terms of which an enterprise 44221
has failed to comply with, indicating separately for each such 44222
agreement the value of the real and personal property exempted 44223
pursuant to the agreement and a comparison of the stipulated and 44224
actual schedules for hiring new employees, for retaining existing 44225
employees, for the amount of payroll of the enterprise 44226
attributable to these employees, and for remediating and investing 44227
in establishing, expanding, renovating, or occupying a facility;44228

       (c) The number of agreements about which the tax incentive44229
review council made recommendations to the legislative authority44230
of the municipal corporation or county, and the number of such44231
recommendations that have not been followed;44232

       (d) The number of agreements rescinded during the calendar44233
year for which the report is submitted.44234

       (4) The number of enterprises that are subject to agreements 44235
and the number of new employees hired and existing employees 44236
retained by each such enterprise;44237

       (5)(a) The number of enterprises that are subject to44238
agreements and that closed or reduced employment at any place of44239
business within the state for the primary purpose of remediating44240
and establishing, expanding, renovating, or occupying a facility,44241
indicating separately for each such enterprise the political44242
subdivision in which the enterprise closed or reduced employment44243
at a place of business and the number of full-time employees44244
transferred and retained by each such place of business;44245

       (b) The number of enterprises that are subject to agreements 44246
and that closed or reduced employment at any place of business 44247
outside the state for the primary purpose of remediating and 44248
establishing, expanding, renovating, or occupying a facility.44249

       (B) Upon the failure of a municipal corporation or county to 44250
comply with division (A) of this section, both of the following 44251
apply:44252

       (1) Beginning on the first day of April of the calendar year 44253
in which the municipal corporation or county fails to comply with 44254
that division, the municipal corporation or county shall not enter 44255
into any agreements with an enterprise under section 5709.88 of 44256
the Revised Code until the municipal corporation or county has 44257
complied with division (A) of this section;44258

       (2) On the first day of each ensuing calendar month until the 44259
municipal corporation or county complies with that division, the 44260
director of development shall either order the proper county44261
auditor to deduct from the next succeeding payment of taxes to the 44262
municipal corporation or county under section 321.31, 321.32,44263
321.33, or 321.34 of the Revised Code an amount equal to five44264
hundred dollars for each calendar month the municipal corporation44265
or county fails to comply with that division, or order the county44266
auditor to deduct such an amount from the next succeeding payment44267
to the municipal corporation or county from the undivided local44268
governmentcommunities fund under section 5747.51 of the Revised 44269
Code. At the time such a payment is made, the county auditor shall 44270
comply with the director's order by issuing a warrant, drawn on 44271
the fund from which such money would have been paid, to the 44272
director of development, who shall deposit the warrant into the 44273
contaminated sites development program administration fund created 44274
in division (C) of this section.44275

       (C) The director, by rule, shall establish the state's44276
application fee for applications submitted to a municipal44277
corporation or county to enter into an agreement under section44278
5709.88 of the Revised Code. In establishing the amount of the44279
fee, the director shall consider the state's cost of administering 44280
this section and section 5709.88 of the Revised Code. The director 44281
may change the amount of the fee at such times and in such 44282
increments as hethe director considers necessary. Any municipal 44283
corporation or county that receives an application shall collect 44284
the application fee and remit the fee for deposit in the state 44285
treasury to the credit of the contaminated sites development 44286
program administration fund, which is hereby created. Money 44287
credited to the fund shall be used by the department of44288
development to pay the costs of administering this section and44289
section 5709.88 of the Revised Code.44290

       Sec. 5715.36.  (A) Any expense incurred by the tax44291
commissioner as to the annual assessment of real property in any44292
taxing district shall be paid out of the treasury of the county in 44293
which such district is located upon presentation of the order of 44294
the commissioner certifying the amount thereof to the county44295
auditor, who shall thereupon issue hisa warrant therefor upon the 44296
general fund of the county and direct the warrant to the county44297
treasurer, who shall pay the same. All money paid out of the44298
county treasury under authority of this division and section44299
5703.30 of the Revised Code shall be charged against the proper44300
district, and amounts paid by the county shall be retained by the44301
auditor from funds due such district at the time of making the44302
semiannual distribution of taxes.44303

       (B) Any expense incurred by the board of tax appeals as to44304
the hearing of any appeal from a county budget commission with44305
respect to the allocation of the local government or local 44306
communities fund or the county library and local government 44307
support fund or county local libraries fund shall be paid out of 44308
the treasury of the county involved upon presentation of the order 44309
of the board certifying the amount thereof to the county auditor, 44310
who shall thereupon issue hisa warrant therefor upon the general 44311
fund of the county and direct the warrant to the county treasurer, 44312
who shall pay the same. At the time the local government or local 44313
communities fund or the county library and local government44314
support fund or county local libraries fund is distributed, all 44315
money which had been paid out of the county treasury for such 44316
expenses shall be deducted by the county auditor from the fund 44317
involved in the appeal. The amount so deducted by the county 44318
auditor shall be forthwith returned to the general fund of the 44319
county.44320

       (C) An amount equal to the sum of the expenses incurred by44321
the board of tax appeals as to any of the following shall be paid44322
out of the general fund of the county in which such property is44323
located upon presentation of the order of the board certifying the 44324
amount thereof to the county auditor, who shall thereupon issue 44325
hisa warrant therefor upon the general fund of the county and 44326
direct the warrant to the county treasurer, who shall pay the44327
same:44328

       (1) The hearing of any appeal from a county board of revision 44329
under section 5717.01 of the Revised Code;44330

       (2) An appeal from any finding, computation, determination, 44331
or order of the tax commissioner made with respect to the 44332
assessment or exemption of real property under division (B) of 44333
section 5715.61 and section 5717.02 of the Revised Code. At the 44334
time of each settlement of taxes under divisions (A) and (C) of 44335
section 321.24 of the Revised Code, there shall be deducted from 44336
the taxes included in such settlement and paid into the county 44337
general fund in the same manner as the fees allowed the county 44338
treasurer on amounts included in such settlement, the amounts paid 44339
out under this division since the preceding settlement. Each 44340
deduction shall be apportioned among the taxing districts within 44341
which the property that was the subject of the appeal is located 44342
in proportion to their relative shares of their respective taxes 44343
included in the settlement.44344

       Sec. 5719.041.  If the payment of a general personal property 44345
or classified property tax is not made on or before the last day 44346
prescribed by section 5719.03 or 5719.031 of the Revised Code, an 44347
interest charge shall begin to accrue and shall continue until all 44348
charges are paid, except that no interest charge shall accrue for 44349
or in the month in which such payment was due under such section 44350
or under the circumstances and for the period described in 44351
division (A)(2) of section 5711.33 of the Revised Code or upon 44352
delinquent taxes that are the subject of a delinquent tax contract 44353
entered into pursuant to section 5719.05 of the Revised Code.44354

       The interest charge shall accrue against the balance of such 44355
taxes and any penalty thereon outstanding that remains unpaid on 44356
the last day of each month and shall be at the rate per calendar 44357
month, rounded to the nearest one-hundredth of one per cent, equal 44358
to one-twelfth of the federal short-term rate determined by the 44359
tax commissioner under section 5703.47 of the Revised Code for the 44360
calendar year that includes the month for which the charge 44361
accrues. The charge is payable in addition to the unpaid balance 44362
of taxes and penalties on the day the charge accrues, unless the 44363
entire balance is sooner paid.44364

       If a delinquent tax contract becomes void, interest shall be 44365
charged on the day on which the contract becomes void in the 44366
amount that would have been charged had the delinquent tax 44367
contract not been entered into and shall thereafter accrue as 44368
provided in this section.44369

       Interest shall be allowed, at the same rate per calendar44370
month as is applicable that month for underpayments, on any44371
overpayment of the tax charged on a general personal property or a 44372
classified property tax duplicate, from the first day of the month 44373
following the date of the overpayment until the last day of the 44374
month preceding the date of the refund of the overpayment. The 44375
interest shall be paid from the fund or funds to which the44376
overpayment was credited.44377

       When the county treasurer makes the treasurer's annual44378
settlement with the county auditor under division (D) of section 44379
321.24 of the Revised Code, the treasurer shall certify to the 44380
auditor a list of all entries on the cumulative delinquent tax 44381
duplicate that are at that time in the process of being paid in 44382
installments under a valid delinquent tax contract. For each entry 44383
that appears on the duplicate that is not on the certified list, 44384
the auditor shall compute the full amount of interest charges 44385
which have accrued against such entry since the preceding such 44386
settlement was made and shall include such charges through the 44387
last day of the month preceding the current settlement. The 44388
auditor shall include such amounts on the tax list and duplicates 44389
prepared by the auditor as prescribed in section 5719.04 of the 44390
Revised Code unless the interest is less than one dollar, in which 44391
case it shall not be added to such tax lists and duplicates.44392

       Before the county treasurer accepts any payment of taxes44393
against which there are accrued interest charges that do not44394
appear on the delinquent tax duplicate, the treasurer shall notify 44395
the auditor who shall issue a certificate to the treasurer showing44396
the amount of such interest charges, and the treasurer shall44397
collect the amount shown on such certificate at the time of 44398
accepting payment of such taxes. If the amount of such interest 44399
charges is less than one dollar, no such certificate shall be 44400
issued. In the case of delinquent personal property taxes, the 44401
interest shown on such certificate shall be credited to the 44402
undivided general tax fund, and distributed in the same manner as 44403
the delinquent taxes upon which the interest charges accrued. In 44404
the case of delinquent classified property taxes, the interest 44405
shown on such certificate shall be credited to the county library 44406
and local government supportlibraries fund and distributed in 44407
accordance with section 5747.48 of the Revised Code. When the44408
payment of delinquent taxes is credited on the tax duplicate the44409
treasurer shall make a separate notation thereon indicating the44410
amount collected and the index number of the auditor's certificate 44411
herein prescribed.44412

       Sec. 5725.151.  (A) As used in this section, "certificate 44413
owner" has the same meaning as in section 149.311 of the Revised 44414
Code.44415

       (B) There is allowed a refundable credit against the tax 44416
imposed by section 5707.03 and assessed under section 5725.15 of 44417
the Revised Code for a dealer in intangibles subject to that tax 44418
that is a certificate owner of a rehabilitation tax credit 44419
certificate issued under section 149.311 of the Revised Code. The 44420
credit shall equal twenty-five per cent of the dollar amount 44421
indicated on the certificate. The credit shall be claimed in the 44422
calendar year specified in the certificate.44423

       (C) A dealer in intangibles claiming a credit under this 44424
section shall retain the rehabilitation tax credit certificate for 44425
four years following the end of the year in which the credit was 44426
claimed, and shall make the certificate available for inspection 44427
by the tax commissioner upon the request of the tax commissioner 44428
during that period.44429

       (D) For the purpose of division (C) of section 5725.24 of the 44430
Revised Code, reductions in the amount of taxes collected on 44431
account of credits allowed under this section shall be applied to 44432
reduce the amount credited to the general revenue fund and shall 44433
not be applied to reduce the amount to be credited to the 44434
undivided local governmentcommunities funds of the counties in 44435
which such taxes originate.44436

       Sec. 5725.24. (A) As used in this section, "qualifying44437
dealer" means a dealer in intangibles that is a qualifying dealer44438
in intangibles as defined in section 5733.45 of the Revised Code44439
or a member of a qualifying controlled group, as defined in44440
section 5733.04 of the Revised Code, of which an insurance company44441
also is a member on the first day of January of the year in and44442
for which the tax imposed by section 5707.03 of the Revised Code44443
is required to be paid by the dealer.44444

       (B) The taxes levied by section 5725.18 of the Revised Code 44445
and collected pursuant to this chapter shall be paid into the44446
state treasury to the credit of the general revenue fund.44447

       (C) The taxes levied by section 5707.03 of the Revised Code44448
on the value of shares in and capital employed by dealers in44449
intangibles other than those that are qualifying dealers shall be44450
for the use of the general revenue fund of the state and the local44451
governmentcommunities funds of the several counties in which the 44452
taxes originate as provided in this division.44453

       On or before the first day ofDuring each month onfor which 44454
there is money in the state treasury for disbursement under this 44455
division, the tax commissioner shall provide for payment to the44456
county treasurer of each county of five-eighths of the amount of44457
the taxes collected on account of shares in and capital employed 44458
by dealers in intangibles other than those that are qualifying44459
dealers, representing capital employed in the county. The balance44460
of the money received and credited on account of taxes assessed on44461
shares in and capital employed by such dealers in intangibles44462
shall be credited to the general revenue fund.44463

       Reductions in the amount of taxes collected on account of 44464
credits allowed under section 5725.151 of the Revised Code shall 44465
be applied to reduce the amount credited to the general revenue 44466
fund and shall not be applied to reduce the amount to be credited 44467
to the undivided local governmentcommunities funds of the 44468
counties in which such taxes originate.44469

       For the purpose of this division, such taxes are deemed to44470
originate in the counties in which such dealers in intangibles44471
have their offices.44472

       Money received into the treasury of a county pursuant to this44473
section shall be credited to the undivided local government44474
communities fund of the county and shall be distributed by the 44475
budget commission as provided by law.44476

       (D) All of the taxes levied under section 5707.03 of the44477
Revised Code on the value of the shares in and capital employed by44478
dealers in intangibles that are qualifying dealers shall be paid44479
into the state treasury to the credit of the general revenue fund.44480

       Sec. 5727.45. Four and two-tenthsOne hundred per cent of 44481
all excise taxes and penalties collected under sections 5727.01 to 44482
5727.62 of the Revised Code shall be credited to the local 44483
government fund for distribution in accordance with section 44484
5747.50 of the Revised Code, six-tenths of one per cent shall be 44485
credited to the local government revenue assistance fund for44486
distribution in accordance with section 5747.61 of the Revised 44487
Code, and ninety-five and two-tenths per cent shall be credited to44488
the general revenue fund.44489

       Sec. 5727.81.  (A) For the purpose of raising revenue for44490
public education and state and local government operations, an44491
excise tax is hereby levied and imposed on an electric44492
distribution company for all electricity distributed by such44493
company beginning with the measurement period that includes May 1, 44494
2001, at the following rates per kilowatt hour of electricity44495
distributed in a thirty-day period by the company through a meter44496
of an end user in this state:44497

KILOWATT HOURS DISTRIBUTED RATE PER 44498
TO AN END USER KILOWATT HOUR 44499
For the first 2,000 $.00465 44500
For the next 2,001 to 15,000 $.00419 44501
For 15,001 and above $.00363 44502

       If no meter is used to measure the kilowatt hours of44503
electricity distributed by the company, the rates shall apply to44504
the estimated kilowatt hours of electricity distributed to an44505
unmetered location in this state.44506

       The electric distribution company shall base the monthly tax44507
on the kilowatt hours of electricity distributed to an end user44508
through the meter of the end user that is not measured for a44509
thirty-day period by dividing the days in the measurement period44510
into the total kilowatt hours measured during the measurement44511
period to obtain a daily average usage. The tax shall be44512
determined by obtaining the sum of divisions (A)(1), (2), and (3)44513
of this section and multiplying that amount by the number of days44514
in the measurement period:44515

       (1) Multiplying $0.00465 per kilowatt hour for the first44516
sixty-seven kilowatt hours distributed using a daily average;44517

       (2) Multiplying $0.00419 for the next sixty-eight to five44518
hundred kilowatt hours distributed using a daily average;44519

       (3) Multiplying $0.00363 for the remaining kilowatt hours44520
distributed using a daily average.44521

       Until January 1, 2003, except as provided in division (C) of44522
this section, the electric distribution company shall pay the tax44523
to the treasurer of state in accordance with section 5727.82 of44524
the Revised Code. Beginning January 1, 2003, exceptExcept as44525
provided in division (C) of this section, the electric44526
distribution company shall pay the tax to the tax commissioner in44527
accordance with section 5727.82 of the Revised Code, unless44528
required to remit each tax payment by electronic funds transfer to44529
the treasurer of state in accordance with section 5727.83 of the44530
Revised Code.44531

       Only the distribution of electricity through a meter of an44532
end user in this state shall be used by the electric distribution44533
company to compute the amount or estimated amount of tax due. In44534
the event a meter is not actually read for a measurement period,44535
the estimated kilowatt hours distributed by an electric44536
distribution company to bill for its distribution charges shall be 44537
used.44538

       (B) Except as provided in division (C) of this section, each44539
electric distribution company shall pay the tax imposed by this44540
section in all of the following circumstances:44541

       (1) The electricity is distributed by the company through a44542
meter of an end user in this state;44543

       (2) The company is distributing electricity through a meter44544
located in another state, but the electricity is consumed in this44545
state in the manner prescribed by the tax commissioner;44546

       (3) The company is distributing electricity in this state44547
without the use of a meter, but the electricity is consumed in44548
this state as estimated and in the manner prescribed by the tax44549
commissioner.44550

       (C)(1) As used in division (C) of this section:44551

       (a) "Total price of electricity" means the aggregate value in44552
money of anything paid or transferred, or promised to be paid or44553
transferred, to obtain electricity or electric service, including44554
but not limited to the value paid or promised to be paid for the44555
transmission or distribution of electricity and for transition44556
costs as described in Chapter 4928. of the Revised Code.44557

       (b) "Package" means the provision or the acquisition, at a44558
combined price, of electricity with other services or products, or44559
any combination thereof, such as natural gas or other fuels;44560
energy management products, software, and services; machinery and44561
equipment acquisition; and financing agreements.44562

       (c) "Single location" means a facility located on contiguous44563
property separated only by a roadway, railway, or waterway.44564

       (2) Division (C) of this section applies to any commercial or 44565
industrial purchaser's receipt of electricity through a meter of 44566
an end user in this state or through more than one meter at a44567
single location in this state in a quantity that exceeds44568
forty-five million kilowatt hours of electricity over the course44569
of the preceding calendar year, or any commercial or industrial44570
purchaser that will consume more than forty-five million kilowatt44571
hours of electricity over the course of the succeeding twelve44572
months as estimated by the tax commissioner. The tax commissioner44573
shall make such an estimate upon the written request by an44574
applicant for registration as a self-assessing purchaser under44575
this division. Such a purchaser may elect to self-assess the44576
excise tax imposed by this section at the rate of $.00075 per44577
kilowatt hour on the first five hundred four million kilowatt44578
hours distributed to that meter or location during the44579
registration year, and four per centa percentage of the total 44580
price of all electricity distributed to that meter or location 44581
equal to four per cent through June 30, 2008, and three and 44582
one-half per cent for July 1, 2008, and thereafter. A qualified44583
end user that receives electricity through a meter of an end user44584
in this state or through more than one meter at a single location44585
in this state and that consumes, over the course of the previous44586
calendar year, more than forty-five million kilowatt hours in44587
other than its qualifying manufacturing process, may elect to44588
self-assess the tax as allowed by this division with respect to44589
the electricity used in other than its qualifying manufacturing44590
process. Until January 1, 2003, payment of the tax shall be made44591
directly to the treasurer of state in accordance with divisions44592
(A)(4) and (5) of section 5727.82 of the Revised Code. Beginning44593
January 1, 2003, payment44594

       Payment of the tax shall be made directly to the tax 44595
commissioner in accordance with divisions (A)(4) and (5) of44596
section 5727.82 of the Revised Code, or the treasurer of state in44597
accordance with section 5727.83 of the Revised Code. If the44598
electric distribution company serving the self-assessing purchaser44599
is a municipal electric utility and the purchaser is within the44600
municipal corporation's corporate limits, payment shall be made to44601
such municipal corporation's general fund and reports shall be44602
filed in accordance with divisions (A)(4) and (5) of section44603
5727.82 of the Revised Code, except that "municipal corporation"44604
shall be substituted for "treasurer of state" and "tax44605
commissioner." A self-assessing purchaser that pays the excise tax 44606
as provided in this division shall not be required to pay the tax 44607
to the electric distribution company from which its electricity is44608
distributed. If a self-assessing purchaser's receipt of44609
electricity is not subject to the tax as measured under this44610
division, the tax on the receipt of such electricity shall be44611
measured and paid as provided in division (A) of this section.44612

       (3) In the case of the acquisition of a package, unless the44613
elements of the package are separately stated isolating the total44614
price of electricity from the price of the remaining elements of44615
the package, the tax imposed under this section applies to the44616
entire price of the package. If the elements of the package are44617
separately stated, the tax imposed under this section applies to44618
the total price of the electricity.44619

       (4) Any electric supplier that sells electricity as part of a44620
package shall separately state to the purchaser the total price of 44621
the electricity and, upon request by the tax commissioner, the44622
total price of each of the other elements of the package.44623

       (5) The tax commissioner may adopt rules relating to the44624
computation of the total price of electricity with respect to44625
self-assessing purchasers, which may include rules to establish44626
the total price of electricity purchased as part of a package.44627

       (6) An annual application for registration as a44628
self-assessing purchaser shall be made for each qualifying meter44629
or location on a form prescribed by the tax commissioner. The44630
registration year begins on the first day of May and ends on the44631
following thirtieth day of April. Persons may apply after the44632
first day of May for the remainder of the registration year. In44633
the case of an applicant applying on the basis of an estimated44634
consumption of forty-five million kilowatt hours over the course44635
of the succeeding twelve months, the applicant shall provide such44636
information as the tax commissioner considers to be necessary to44637
estimate such consumption. At the time of making the application44638
and by the first day of May of each year, excluding May 1, 2000, a44639
self-assessing purchaser shall pay a fee of five hundred dollars44640
to the tax commissioner, or to the treasurer of state as provided44641
in section 5727.83 of the Revised Code, for each qualifying meter44642
or location. The tax commissioner shall immediately pay to the44643
treasurer of state all amounts that the tax commissioner receives44644
under this section. The treasurer of state shall deposit such 44645
amounts into the kilowatt hour excise tax administration fund,44646
which is hereby created in the state treasury. Money in the fund44647
shall be used to defray the tax commissioner's cost in44648
administering the tax owed under section 5727.81 of the Revised44649
Code by self-assessing purchasers. After the application is44650
approved by the tax commissioner, the registration shall remain in44651
effect for the current registration year, or until canceled by the44652
registrant upon written notification to the commissioner of the44653
election to pay the tax in accordance with division (A) of this44654
section, or until canceled by the tax commissioner for not paying44655
the tax or fee under division (C) of this section or for not44656
meeting the qualifications in division (C)(2) of this section. The44657
tax commissioner shall give written notice to the electric44658
distribution company from which electricity is delivered to a44659
self-assessing purchaser of the purchaser's self-assessing status,44660
and the electric distribution company is relieved of the44661
obligation to pay the tax imposed by division (A) of this section44662
for electricity distributed to that self-assessing purchaser until44663
it is notified by the tax commissioner that the self-assessing44664
purchaser's registration is canceled. Within fifteen days of44665
notification of the canceled registration, the electric44666
distribution company shall be responsible for payment of the tax44667
imposed by division (A) of this section on electricity distributed44668
to a purchaser that is no longer registered as a self-assessing44669
purchaser. A self-assessing purchaser with a canceled registration 44670
must file a report and remit the tax imposed by division (A) of 44671
this section on all electricity it receives for any measurement 44672
period prior to the tax being reported and paid by the electric 44673
distribution company. A self-assessing purchaser whose 44674
registration is canceled by the tax commissioner is not eligible 44675
to register as a self-assessing purchaser for two years after the 44676
registration is canceled.44677

       (7) If the tax commissioner cancels the self-assessing44678
registration of a purchaser registered on the basis of its44679
estimated consumption because the purchaser does not consume at44680
least forty-five million kilowatt hours of electricity over the44681
course of the twelve-month period for which the estimate was made,44682
the tax commissioner shall assess and collect from the purchaser44683
the difference between (a) the amount of tax that would have been44684
payable under division (A) of this section on the electricity44685
distributed to the purchaser during that period and (b) the amount44686
of tax paid by the purchaser on such electricity pursuant to44687
division (C)(2)(a) of this section. The assessment shall be paid44688
within sixty days after the tax commissioner issues it, regardless44689
of whether the purchaser files a petition for reassessment under44690
section 5727.89 of the Revised Code covering that period. If the44691
purchaser does not pay the assessment within the time prescribed,44692
the amount assessed is subject to the additional charge and the44693
interest prescribed by divisions (B) and (C) of section 5727.82 of44694
the Revised Code, and is subject to assessment under section44695
5727.89 of the Revised Code. If the purchaser is a qualified end44696
user, division (C)(7) of this section applies only to electricity44697
it consumes in other than its qualifying manufacturing process.44698

       (D) The tax imposed by this section does not apply to the44699
distribution of any kilowatt hours of electricity to the federal44700
government, to an end user located at a federal facility that uses44701
electricity for the enrichment of uranium, to a qualified44702
regeneration meter, or to an end user for any day the end user is44703
a qualified end user. The exemption under this division for a44704
qualified end user only applies to the manufacturing location44705
where the qualified end user uses more than three million kilowatt44706
hours per day in a qualifying manufacturing process.44707

       Sec. 5727.84.  (A) As used in this section and sections44708
5727.85, 5727.86, and 5727.87 of the Revised Code:44709

       (1) "School district" means a city, local, or exempted44710
village school district.44711

       (2) "Joint vocational school district" means a joint44712
vocational school district created under section 3311.16 of the44713
Revised Code, and includes a cooperative education school district44714
created under section 3311.52 or 3311.521 of the Revised Code and44715
a county school financing district created under section 3311.5044716
of the Revised Code.44717

       (3) "Local taxing unit" means a subdivision or taxing unit,44718
as defined in section 5705.01 of the Revised Code, a park district44719
created under Chapter 1545. of the Revised Code, or a township44720
park district established under section 511.23 of the Revised44721
Code, but excludes school districts and joint vocational school44722
districts.44723

       (4) "State education aid," for a school district, means the 44724
sum of state aid amounts computed for the district under divisions 44725
(A), (C)(1), (C)(4), (D), (E), and (F) of section 3317.022; 44726
divisions (B), (C), and (D) of section 3317.023; divisions (G), 44727
(L), and (N) of section 3317.024; and sections 3317.029, 44728
3317.0216, 3317.0217, 3317.04, 3317.05, 3317.052, and 3317.053 of 44729
the Revised Code; and the adjustments required by: division (C) of 44730
section 3310.08; division (C) of section 3314.08; division (D) of 44731
section 3314.13; divisions (E), (K), (L), (M), (N), and (O) of 44732
section 3317.023; division (C) of section 3317.20; and sections 44733
3313.979 and 3313.981 of the Revised Code. However, when 44734
calculating state education aid for a school district for fiscal 44735
years 20062008 and 20072009, include the amount computed for the 44736
district under Section 206.09.21269.20.80 of Am. Sub. H.B. 6611944737
of the 126th127th general assembly, as subsequently amended, 44738
instead of division (D) of section 3317.022 of the Revised Code; 44739
include amounts calculated under Section 206.09.39269.30.80 of 44740
thatthis act, as subsequently amended; and account for 44741
adjustments under division (C)(2) of section 3310.41 of the 44742
Revised Code.44743

       (5) "State education aid," for a joint vocational school 44744
district, means the sum of the state aid amounts computed for the 44745
district under division (N) of section 3317.024 and section 44746
3317.16 of the Revised Code. However, when calculating state 44747
education aid for a joint vocational school district for fiscal 44748
years 20062008 and 20072009, include the amount computed for the 44749
district under Section 206.09.42269.30.90 of Am. Sub. H.B. 6611944750
of the 126th127th general assembly, as subsequently amended.44751

        (6) "State education aid offset" means the amount determined44752
for each school district or joint vocational school district under44753
division (A)(1) of section 5727.85 of the Revised Code.44754

       (7) "Recognized valuation" has the same meaning as in section44755
3317.02 of the Revised Code.44756

       (8) "Electric company tax value loss" means the amount44757
determined under division (D) of this section.44758

       (9) "Natural gas company tax value loss" means the amount44759
determined under division (E) of this section.44760

       (10) "Tax value loss" means the sum of the electric company44761
tax value loss and the natural gas company tax value loss.44762

       (11) "Fixed-rate levy" means any tax levied on property other44763
than a fixed-sum levy.44764

       (12) "Fixed-rate levy loss" means the amount determined under44765
division (G) of this section.44766

       (13) "Fixed-sum levy" means a tax levied on property at44767
whatever rate is required to produce a specified amount of tax44768
money or levied in excess of the ten-mill limitation to pay debt44769
charges, and includes school district emergency levies imposed44770
pursuant to section 5705.194 of the Revised Code.44771

       (14) "Fixed-sum levy loss" means the amount determined under44772
division (H) of this section.44773

       (15) "Consumer price index" means the consumer price index44774
(all items, all urban consumers) prepared by the bureau of labor44775
statistics of the United States department of labor.44776

       (B) The kilowatt-hour tax receipts fund is hereby created in44777
the state treasury and shall consist of money arising from the tax44778
imposed by section 5727.81 of the Revised Code. All money in the44779
kilowatt-hour tax receipts fund shall be credited as follows:44780

       (1) Fifty-nine and nine hundred seventy-six one-thousandths44781
Sixty-three per cent, shall be credited to the general revenue 44782
fund.44783

       (2) Two and six hundred forty-six one-thousandths per cent44784
shall be credited to the local government fund, for distribution44785
in accordance with section 5747.50 of the Revised Code.44786

       (3) Three hundred seventy-eight one-thousandths per cent44787
shall be credited to the local government revenue assistance fund,44788
for distribution in accordance with section 5747.61 of the Revised44789
Code.44790

       (4) Twenty-five and four-tenths per cent shall be credited to 44791
the school district property tax replacement fund, which is hereby 44792
created in the state treasury for the purpose of making the44793
payments described in section 5727.85 of the Revised Code.44794

       (5)(3) Eleven and six-tenths per cent shall be credited to 44795
the local government property tax replacement fund, which is 44796
hereby created in the state treasury for the purpose of making the44797
payments described in section 5727.86 of the Revised Code.44798

       (C) The natural gas tax receipts fund is hereby created in44799
the state treasury and shall consist of money arising from the tax44800
imposed by section 5727.811 of the Revised Code. All money in the44801
fund shall be credited as follows:44802

       (1) Sixty-eight and seven-tenths per cent shall be credited44803
to the school district property tax replacement fund for the44804
purpose of making the payments described in section 5727.85 of the44805
Revised Code.44806

       (2) Thirty-one and three-tenths per cent shall be credited to 44807
the local government property tax replacement fund for the purpose 44808
of making the payments described in section 5727.86 of the Revised 44809
Code.44810

       (D) Not later than January 1, 2002, the tax commissioner44811
shall determine for each taxing district its electric company tax44812
value loss, which is the sum of the applicable amounts described 44813
in divisions (D)(1) to (3) of this section:44814

       (1) The difference obtained by subtracting the amount44815
described in division (D)(1)(b) from the amount described in44816
division (D)(1)(a) of this section.44817

       (a) The value of electric company and rural electric company44818
tangible personal property as assessed by the tax commissioner for44819
tax year 1998 on a preliminary assessment, or an amended44820
preliminary assessment if issued prior to March 1, 1999, and as44821
apportioned to the taxing district for tax year 1998;44822

       (b) The value of electric company and rural electric company44823
tangible personal property as assessed by the tax commissioner for44824
tax year 1998 had the property been apportioned to the taxing44825
district for tax year 2001, and assessed at the rates in effect44826
for tax year 2001.44827

       (2) The difference obtained by subtracting the amount44828
described in division (D)(2)(b) from the amount described in44829
division (D)(2)(a) of this section.44830

       (a) The three-year average for tax years 1996, 1997, and 1998 44831
of the assessed value from nuclear fuel materials and assemblies 44832
assessed against a person under Chapter 5711. of the Revised Code44833
from the leasing of them to an electric company for those 44834
respective tax years, as reflected in the preliminary assessments;44835

       (b) The three-year average assessed value from nuclear fuel44836
materials and assemblies assessed under division (D)(2)(a) of this44837
section for tax years 1996, 1997, and 1998, as reflected in the44838
preliminary assessments, using an assessment rate of twenty-five44839
per cent.44840

       (3) In the case of a taxing district having a nuclear power 44841
plant within its territory, any amount, resulting in an electric 44842
company tax value loss, obtained by subtracting the amount 44843
described in division (D)(1) of this section from the difference 44844
obtained by subtracting the amount described in division (D)(3)(b) 44845
of this section from the amount described in division (D)(3)(a) of 44846
this section.44847

        (a) The value of electric company tangible personal property 44848
as assessed by the tax commissioner for tax year 2000 on a 44849
preliminary assessment, or an amended preliminary assessment if 44850
issued prior to March 1, 2001, and as apportioned to the taxing 44851
district for tax year 2000;44852

        (b) The value of electric company tangible personal property 44853
as assessed by the tax commissioner for tax year 2001 on a 44854
preliminary assessment, or an amended preliminary assessment if 44855
issued prior to March 1, 2002, and as apportioned to the taxing 44856
district for tax year 2001.44857

       (E) Not later than January 1, 2002, the tax commissioner44858
shall determine for each taxing district its natural gas company44859
tax value loss, which is the sum of the amounts described in44860
divisions (E)(1) and (2) of this section:44861

       (1) The difference obtained by subtracting the amount44862
described in division (E)(1)(b) from the amount described in44863
division (E)(1)(a) of this section.44864

       (a) The value of all natural gas company tangible personal44865
property, other than property described in division (E)(2) of this44866
section, as assessed by the tax commissioner for tax year 1999 on44867
a preliminary assessment, or an amended preliminary assessment if44868
issued prior to March 1, 2000, and apportioned to the taxing44869
district for tax year 1999;44870

       (b) The value of all natural gas company tangible personal44871
property, other than property described in division (E)(2) of this44872
section, as assessed by the tax commissioner for tax year 1999 had44873
the property been apportioned to the taxing district for tax year44874
2001, and assessed at the rates in effect for tax year 2001.44875

       (2) The difference in the value of current gas obtained by44876
subtracting the amount described in division (E)(2)(b) from the44877
amount described in division (E)(2)(a) of this section.44878

       (a) The three-year average assessed value of current gas as44879
assessed by the tax commissioner for tax years 1997, 1998, and44880
1999 on a preliminary assessment, or an amended preliminary44881
assessment if issued prior to March 1, 2001, and as apportioned in44882
the taxing district for those respective years;44883

       (b) The three-year average assessed value from current gas44884
under division (E)(2)(a) of this section for tax years 1997, 1998,44885
and 1999, as reflected in the preliminary assessment, using an44886
assessment rate of twenty-five per cent.44887

       (F) The tax commissioner may request that natural gas44888
companies, electric companies, and rural electric companies file a44889
report to help determine the tax value loss under divisions (D)44890
and (E) of this section. The report shall be filed within thirty44891
days of the commissioner's request. A company that fails to file44892
the report or does not timely file the report is subject to the44893
penalty in section 5727.60 of the Revised Code.44894

       (G) Not later than January 1, 2002, the tax commissioner44895
shall determine for each school district, joint vocational school44896
district, and local taxing unit its fixed-rate levy loss, which is44897
the sum of its electric company tax value loss multiplied by the44898
tax rate in effect in tax year 1998 for fixed-rate levies and its44899
natural gas company tax value loss multiplied by the tax rate in44900
effect in tax year 1999 for fixed-rate levies.44901

       (H) Not later than January 1, 2002, the tax commissioner44902
shall determine for each school district, joint vocational school44903
district, and local taxing unit its fixed-sum levy loss, which is44904
the amount obtained by subtracting the amount described in44905
division (H)(2) of this section from the amount described in44906
division (H)(1) of this section:44907

       (1) The sum of the electric company tax value loss multiplied 44908
by the tax rate in effect in tax year 1998, and the natural gas 44909
company tax value loss multiplied by the tax rate in effect in tax 44910
year 1999, for fixed-sum levies for all taxing districts within44911
each school district, joint vocational school district, and local44912
taxing unit. For the years 2002 through 2006, this computation 44913
shall include school district emergency levies that existed in 44914
1998 in the case of the electric company tax value loss, and 1999 44915
in the case of the natural gas company tax value loss, and all 44916
other fixed-sum levies that existed in 1998 in the case of the 44917
electric company tax value loss and 1999 in the case of the 44918
natural gas company tax value loss and continue to be charged in 44919
the tax year preceding the distribution year. For the years 200744920
through 2016 in the case of school district emergency levies, and 44921
for all years after 2006 in the case of all other fixed-sum 44922
levies, this computation shall exclude all fixed-sum levies that44923
existed in 1998 in the case of the electric company tax value loss 44924
and 1999 in the case of the natural gas company tax value loss, 44925
but are no longer in effect in the tax year preceding the 44926
distribution year. For the purposes of this section, an emergency 44927
levy that existed in 1998 in the case of the electric company tax44928
value loss, and 1999 in the case of the natural gas company tax 44929
value loss, continues to exist in a year beginning on or after 44930
January 1, 2007, but before January 1, 2017, if, in that year, the 44931
board of education levies a school district emergency levy for an 44932
annual sum at least equal to the annual sum levied by the board in 44933
tax year 1998 or 1999, respectively, less the amount of the 44934
payment certified under this division for 2002.44935

       (2) The total taxable value in tax year 1999 less the tax44936
value loss in each school district, joint vocational school44937
district, and local taxing unit multiplied by one-fourth of one44938
mill.44939

       If the amount computed under division (H) of this section for 44940
any school district, joint vocational school district, or local 44941
taxing unit is greater than zero, that amount shall equal the 44942
fixed-sum levy loss reimbursed pursuant to division (E) of section 44943
5727.85 of the Revised Code or division (A)(2) of section 5727.86 44944
of the Revised Code, and the one-fourth of one mill that is 44945
subtracted under division (H)(2) of this section shall be44946
apportioned among all contributing fixed-sum levies in the44947
proportion of each levy to the sum of all fixed-sum levies within44948
each school district, joint vocational school district, or local44949
taxing unit.44950

       (I) Notwithstanding divisions (D), (E), (G), and (H) of this 44951
section, in computing the tax value loss, fixed-rate levy loss, 44952
and fixed-sum levy loss, the tax commissioner shall use the44953
greater of the 1998 tax rate or the 1999 tax rate in the case of44954
levy losses associated with the electric company tax value loss,44955
but the 1999 tax rate shall not include for this purpose any tax44956
levy approved by the voters after June 30, 1999, and the tax44957
commissioner shall use the greater of the 1999 or the 2000 tax44958
rate in the case of levy losses associated with the natural gas44959
company tax value loss.44960

       (J) Not later than January 1, 2002, the tax commissioner44961
shall certify to the department of education the tax value loss44962
determined under divisions (D) and (E) of this section for each44963
taxing district, the fixed-rate levy loss calculated under44964
division (G) of this section, and the fixed-sum levy loss44965
calculated under division (H) of this section. The calculations44966
under divisions (G) and (H) of this section shall separately44967
display the levy loss for each levy eligible for reimbursement.44968

       (K) Not later than September 1, 2001, the tax commissioner44969
shall certify the amount of the fixed-sum levy loss to the county44970
auditor of each county in which a school district with a fixed-sum44971
levy loss has territory.44972

       Sec. 5727.85.  (A) By the thirty-first day of July of each44973
year, beginning in 2002 and ending in 2016, the department of44974
education shall determine the following for each school district44975
and each joint vocational school district eligible for payment44976
under division (C) or (D) of this section:44977

       (1) The state education aid offset, which is the difference44978
obtained by subtracting the amount described in division (A)(1)(b)44979
of this section from the amount described in division (A)(1)(a) of44980
this section:44981

       (a) The state education aid computed for the school district44982
or joint vocational school district for the current fiscal year as 44983
of the thirty-first day of July;44984

       (b) The state education aid that would be computed for the44985
school district or joint vocational school district for the44986
current fiscal year as of the thirty-first day of July if the 44987
recognized valuation included the tax value loss for the school44988
district or joint vocational school district.44989

       (2) The greater of zero or the difference obtained by44990
subtracting the state education aid offset determined under44991
division (A)(1) of this section from the fixed-rate levy loss 44992
certified under division (J) of section 5727.84 of the Revised44993
Code for all taxing districts in each school district and joint44994
vocational school district.44995

       By the fifth day of August of each such year, the department44996
of education shall certify the amount so determined under division44997
(A)(1) of this section to the director of budget and management.44998

       (B) Not later than the thirty-first day of October of the44999
years 2006 through 2016, the department of education shall45000
determine all of the following for each school district:45001

       (1) The amount obtained by subtracting the district's state45002
education aid computed for fiscal year 2002 from the district's45003
state education aid computed for the current fiscal year;45004

       (2) The inflation-adjusted property tax loss. The45005
inflation-adjusted property tax loss equals the fixed-rate levy45006
loss, excluding the tax loss from levies within the ten-mill45007
limitation to pay debt charges, determined under division (G) of45008
section 5727.84 of the Revised Code for all taxing districts in45009
each school district, plus the product obtained by multiplying 45010
that loss by the cumulative percentage increase in the consumer 45011
price index from January 1, 2002, to the thirtieth day of June of 45012
the current year.45013

       (3) The difference obtained by subtracting the amount45014
computed under division (B)(1) from the amount of the45015
inflation-adjusted property tax loss. If this difference is zero45016
or a negative number, no further payments shall be made under45017
division (C) of this section to the school district from the45018
school district property tax replacement fund.45019

       (C) The department of education shall pay from the school45020
district property tax replacement fund to each school district all 45021
of the following:45022

       (1) In February 2002, one-half of the fixed-rate levy loss45023
certified under division (J) of section 5727.84 of the Revised45024
Code between the twenty-first and twenty-eighth days of February.45025

       (2) From August 2002 through August 2017, one-half of the45026
amount calculated for that fiscal year under division (A)(2) of45027
this section between the twenty-first and twenty-eighth days of45028
August and of February, provided the difference computed under 45029
division (B)(3) of this section is not less than or equal to zero.45030

        For taxes levied within the ten-mill limitation for debt45031
purposes in tax year 1998 in the case of electric company tax45032
value losses, and in tax year 1999 in the case of natural gas45033
company tax value losses, payments shall be made equal to one45034
hundred per cent of the loss computed as if the tax were a45035
fixed-rate levy, but those payments shall extend from fiscal year45036
2006 through fiscal year 2016.45037

       The department of education shall report to each school45038
district the apportionment of the payments among the school45039
district's funds based on the certifications under division (J) of45040
section 5727.84 of the Revised Code.45041

       (D) Not later than January 1, 2002, for all taxing districts45042
in each joint vocational school district, the tax commissioner45043
shall certify to the department of education the fixed-rate levy45044
loss determined under division (G) of section 5727.84 of the45045
Revised Code. From February 2002 to August 2016, the department45046
shall pay from the school district property tax replacement fund45047
to the joint vocational school district one-half of the amount45048
calculated for that fiscal year under division (A)(2) of this45049
section between the twenty-first and twenty-eighth days of August45050
and of February.45051

       (E)(1) Not later than January 1, 2002, for each fixed-sum45052
levy levied by each school district or joint vocational school45053
district and for each year for which a determination is made under 45054
division (H) of section 5727.84 of the Revised Code that a45055
fixed-sum levy loss is to be reimbursed, the tax commissioner45056
shall certify to the department of education the fixed-sum levy45057
loss determined under that division. The certification shall cover 45058
a time period sufficient to include all fixed-sum levies for which 45059
the tax commissioner made such a determination. The department 45060
shall pay from the school district property tax replacement fund 45061
to the school district or joint vocational school district 45062
one-half of the fixed-sum levy loss so certified for each year 45063
between the twenty-first and twenty-eighth days of August and of 45064
February.45065

       (2) Beginning in 2003, by the thirty-first day of January of45066
each year, the tax commissioner shall review the certification45067
originally made under division (E)(1) of this section. If the45068
commissioner determines that a debt levy that had been scheduled45069
to be reimbursed in the current year has expired, a revised45070
certification for that and all subsequent years shall be made to45071
the department of education.45072

       (F) If the balance of the half-mill equalization fund created 45073
under section 3318.18 of the Revised Code is insufficient to make 45074
the full amount of payments required under division (D) of that 45075
section, the department of education, at the end of the third 45076
quarter of the fiscal year, shall certify to the director of 45077
budget and management the amount of the deficiency, and the 45078
director shall transfer an amount equal to the deficiency from the 45079
school district property tax replacement fund to the half-mill 45080
equalization fund.45081

       (G) Beginning in August 2002, and ending in May 2017, the 45082
director of budget and management shall transfer from the school 45083
district property tax replacement fund to the general revenue fund 45084
each of the following:45085

       (1) Between the twenty-eighth day of August and the fifth day 45086
of September, the lesser of one-half of the amount certified for 45087
that fiscal year under division (A)(2) of this section or the45088
balance in the school district property tax replacement fund;45089

       (2) Between the first and fifth days of May, the lesser of45090
one-half of the amount certified for that fiscal year under45091
division (A)(2) of this section or the balance in the school45092
district property tax replacement fund.45093

       (H) On the first day of June each year, the director of 45094
budget and management shall transfer any balance remaining in the 45095
school district property tax replacement fund after the payments 45096
have been made under divisions (C), (D), (E), (F), and (G) of this 45097
section to the half-mill equalization fund created under section 45098
3318.18 of the Revised Code to the extent required to make any 45099
payments in the current fiscal year under that section, and shall 45100
transfer the remaining balance to the general revenue fund.45101

       (I) From fiscal year 2002 through fiscal year 2016, if the45102
total amount in the school district property tax replacement fund45103
is insufficient to make all payments under divisions (C), (D), 45104
(E), and (F) of this section at the time the payments are to be 45105
made, the director of budget and management shall transfer from 45106
the general revenue fund to the school district property tax45107
replacement fund the difference between the total amount to be45108
paid and the total amount in the school district property tax45109
replacement fund, except that no transfer shall be made by reason 45110
of a deficiency to the extent that it results from the amendment 45111
of section 5727.84 of the Revised Code by Amended Substitute House 45112
Bill No. 95 of the 125th general assembly.45113

       (J) If all of the territory of a school district or joint 45114
vocational school district is merged with an existing district, or 45115
if a part of the territory of a school district or joint 45116
vocational school district is transferred to an existing or new 45117
district, the department of education, in consultation with the 45118
tax commissioner, shall adjust the payments made under this 45119
section as follows:45120

        (1) For the merger of all of the territory of two or more 45121
districts, the fixed-rate levy loss and the fixed-sum levy loss of 45122
the successor district shall be equal to the sum of the fixed-rate 45123
levy losses and the fixed-sum levy losses for each of the 45124
districts involved in the merger.45125

        (2) For the transfer of a part of one district's territory to 45126
an existing district, the amount of the fixed-rate levy loss that 45127
is transferred to the recipient district shall be an amount equal 45128
to the transferring district's total fixed-rate levy loss times a 45129
fraction, the numerator of which is the value of electric company 45130
tangible personal property located in the part of the territory 45131
that was transferred, and the denominator of which is the total 45132
value of electric company tangible personal property located in 45133
the entire district from which the territory was transferred. The 45134
value of electric company tangible personal property under this 45135
division shall be determined for the most recent year for which 45136
data is available. Fixed-sum levy losses for both districts shall 45137
be determined under division (J)(4) of this section.45138

        (3) For the transfer of a part of the territory of one or 45139
more districts to create a new district:45140

        (a) If the new district is created on or after January 1, 45141
2000, but before January 1, 2005, the new district shall be paid 45142
its current fixed-rate levy loss through August 20082009. From 45143
February 20092010 to August 2016, the new district shall be paid 45144
the lesser of: (i) the amount calculated under division (C)(2) of 45145
this section or (ii) an amount equal to the new district's 45146
fixed-rate levy loss multiplied by the percentage prescribed by 45147
the following schedule:45148

YEAR PERCENTAGE 45149
2009 75% 45150
2010 70% 45151
2011 70% 45152
2012 60% 45153
2013 50% 45154
2014 40% 45155
2015 24% 45156
2016 11.5% 45157
2017 and thereafter 0% 45158

        Fixed-sum levy losses for the districts shall be determined 45159
under division (J)(4) of this section.45160

        (b) If the new district is created on or after January 1, 45161
2005, the new district shall be deemed not to have any fixed-rate 45162
levy loss or, except as provided in division (J)(4) of this 45163
section, fixed-sum levy loss. The district or districts from which 45164
the territory was transferred shall have no reduction in their 45165
fixed-rate levy loss, or, except as provided in division (J)(4) of 45166
this section, their fixed-sum levy loss.45167

        (4) If a recipient district under division (J)(2) of this 45168
section or a new district under division (J)(3)(a) or (b) of this 45169
section takes on debt from one or more of the districts from which 45170
territory was transferred, and any of the districts transferring 45171
the territory had fixed-sum levy losses, the department of 45172
education, in consultation with the tax commissioner, shall make 45173
an equitable division of the fixed-sum levy losses.45174

       (K) There is hereby created the public utility property tax45175
study committee, effective January 1, 2011. The committee shall45176
consist of the following seven members: the tax commissioner,45177
three members of the senate appointed by the president of the45178
senate, and three members of the house of representatives45179
appointed by the speaker of the house of representatives. The45180
appointments shall be made not later than January 31, 2011. The45181
tax commissioner shall be the chairperson of the committee.45182

       The committee shall study the extent to which each school45183
district or joint vocational school district has been compensated,45184
under sections 5727.84 and 5727.85 of the Revised Code as enacted45185
by Substitute Senate Bill No. 3 of the 123rd general assembly and45186
any subsequent acts, for the property tax loss caused by the45187
reduction in the assessment rates for natural gas, electric, and45188
rural electric company tangible personal property. Not later than45189
June 30, 2011, the committee shall issue a report of its findings,45190
including any recommendations for providing additional45191
compensation for the property tax loss or regarding remedial45192
legislation, to the president of the senate and the speaker of the45193
house of representatives, at which time the committee shall cease45194
to exist.45195

       The department of taxation and department of education shall45196
provide such information and assistance as is required for the45197
committee to carry out its duties.45198

       Sec. 5727.87.  (A) As used in this section:45199

       (1) "Administrative fees" means the dollar percentages45200
allowed by the county auditor for services or by the county45201
treasurer as fees, or paid to the credit of the real estate45202
assessment fund, under divisions (A) and (B)(C) of section 319.54 45203
and division (A) of section 321.26 of the Revised Code.45204

       (2) "Administrative fee loss" means a county's loss of45205
administrative fees due to its tax value loss, determined as45206
follows:45207

       (a) For purposes of the determination made under division (B) 45208
of this section in the years 2002 through 2006, the administrative45209
fee loss shall be computed by multiplying the amounts determined45210
for all taxing districts in the county under divisions (G) and (H)45211
of section 5727.84 of the Revised Code by nine thousand six45212
hundred fifty-nine ten-thousandths of one per cent if total taxes45213
collected in the county in 1999 exceeded one hundred fifty million 45214
dollars, or one and one thousand one hundred fifty-nine 45215
ten-thousandths of one per cent if total taxes collected in the 45216
county in 1999 were one hundred fifty million dollars or less;45217

       (b) For purposes of the determination under division (B) of45218
this section in the years 2007 through 2011, the administrative45219
fee loss shall be the lesser of the amount computed under division 45220
(A)(2)(a) of this section or the amount determined by subtracting 45221
from the dollar amount of administrative fees collected in the 45222
county in 1999, the dollar amount of administrative fees collected 45223
in the county in the current calendar year.45224

       (3) "Total taxes collected" means all money collected on any45225
tax duplicate of the county, other than the estate tax duplicates.45226
"Total taxes collected" does not include amounts received pursuant45227
to divisions (F) and (G) of section 321.24 or section 323.156 of45228
the Revised Code.45229

       (B) Not later than the thirty-first day of December of 200145230
through 2005, the tax commissioner shall certify to each county45231
auditor the tax levy losses calculated under divisions (G) and (H)45232
of section 5727.84 of the Revised Code for each school district,45233
joint vocational school district, and local taxing unit in the45234
county. Not later than the thirty-first day of January of 200245235
through 2011, the county auditor shall determine the45236
administrative fee loss for the county and apportion that loss45237
ratably among the school districts, joint vocational school45238
districts, and local taxing units on the basis of the tax levy45239
losses certified under this division.45240

       (C) On or before each of the days prescribed for the45241
settlements under divisions (A) and (C) of section 321.24 of the45242
Revised Code in the years 2002 through 2011, the county treasurer45243
shall deduct one-half of the amount apportioned to each school45244
district, joint vocational school district, and local taxing unit45245
from the portions of revenue payable to them.45246

       (D) On or before each of the days prescribed for settlements45247
under divisions (A) and (C) of section 321.24 of the Revised Code45248
in the years 2002 through 2011, the county auditor shall cause to45249
be deposited an amount equal to one-half of the amount of the45250
administrative fee loss in the same funds as if allowed as45251
administrative fees.45252

       After payment of the administrative fee loss on or before45253
August 10, 2011, all payments under this section shall cease.45254

       Sec. 5733.12.  (A) Four and two-tenths per cent of allAll45255
payments received from the taxes imposed under sections 5733.0645256
and 5733.41 of the Revised Code shall be credited to the local45257
government fund for distribution in accordance with section45258
5747.50 of the Revised Code, six-tenths of one per cent shall be45259
credited to the local government revenue assistance fund for45260
distribution in accordance with section 5747.61 of the Revised45261
Code, and ninety-five and two-tenths per cent shall be credited to45262
the general revenue fund.45263

       (B) Except as otherwise provided under divisions (C) and (D)45264
of this section, an application to refund to the corporation the45265
amount of taxes imposed under section 5733.06 of the Revised Code45266
that are overpaid, paid illegally or erroneously, or paid on any45267
illegal, erroneous, or excessive assessment, with interest thereon45268
as provided by section 5733.26 of the Revised Code, shall be filed45269
with the tax commissioner, on the form prescribed by the45270
commissioner, within three years from the date of the illegal,45271
erroneous, or excessive payment of the tax, or within any45272
additional period allowed by division (C)(2) of section 5733.031,45273
division (D)(2) of section 5733.067, or division (A) of section45274
5733.11 of the Revised Code. For purposes of division (B) of this45275
section, any payment that the applicant made before the due date45276
or extended due date for filing the report to which the payment45277
relates shall be deemed to have been made on the due date or45278
extended due date.45279

       On the filing of the refund application, the commissioner45280
shall determine the amount of refund to which the applicant is45281
entitled. If the amount is not less than that claimed the45282
commissioner shall certify the amount to the director of budget45283
and management and treasurer of state for payment from the tax45284
refund fund created by section 5703.052 of the Revised Code. If45285
the amount is less than that claimed, the commissioner shall45286
proceed in accordance with section 5703.70 of the Revised Code.45287

       (C) "Ninety days" shall be substituted for "three years" in45288
division (B) of this section if the taxpayer satisfies both of the45289
following:45290

       (1) The taxpayer has applied for a refund based in whole or45291
in part upon section 5733.0611 of the Revised Code;45292

       (2) The taxpayer asserts that the imposition or collection of 45293
the tax imposed or charged by section 5733.06 of the Revised Code 45294
or any portion of such tax violates the Constitution of the United 45295
States or the Constitution of this state.45296

       (D)(1) Division (D)(2) of this section applies only if all of 45297
the following conditions are satisfied:45298

       (a) A qualifying pass-through entity pays an amount of the45299
tax imposed by section 5733.41 of the Revised Code;45300

       (b) The taxpayer is a qualifying investor as to that45301
qualifying pass-through entity;45302

       (c) The taxpayer did not claim the credit provided for in45303
section 5733.0611 of the Revised Code as to the tax described in45304
division (D)(1)(a) of this section;45305

       (d) The three-year period described in division (B) of this45306
section has ended as to the taxable year for which the taxpayer45307
otherwise would have claimed that credit.45308

       (2) A taxpayer shall file an application for refund pursuant45309
to this division within one year after the date the payment45310
described in division (D)(1)(a) of this section is made. An45311
application filed under this division shall only claim refund of45312
overpayments resulting from the taxpayer's failure to claim the45313
credit described in division (D)(1)(c) of this section. Nothing in 45314
this division shall be construed to relieve a taxpayer from45315
complying with the provisions of division (I)(14) of section45316
5733.04 of the Revised Code.45317

       Sec. 5733.48.  (A) As used in this section, "alternative 45318
fuel," "retail dealer," and "retail service station" have the same 45319
meanings as in section 5747.77 of the Revised Code.45320

       (B) There is hereby allowed a nonrefundable credit against 45321
the tax imposed by section 5733.06 of the Revised Code for a 45322
retail dealer that sells alternative fuel. The credit may be 45323
claimed for tax years 2008 and 2009. The credit for tax year 2008 45324
shall equal fifteen cents per gallon of alternative fuel sold and 45325
dispensed through a metered pump at the retail dealer's retail 45326
service station during any part of calendar year 2007 that is 45327
included in the dealer's taxable year ending in 2007. The credit 45328
for tax year 2009 shall equal fifteen cents per gallon of 45329
alternative fuel sold and dispensed through a metered pump at the 45330
retail dealer's retail service station during any part of calendar 45331
year 2007 that is included in the dealer's taxable year ending in 45332
2008, plus thirteen cents per gallon of alternative fuel sold and 45333
dispensed in that manner during any part of calendar year 2008 45334
that is included in that taxable year. The credit shall be 45335
calculated separately for each retail service station owned or 45336
operated by the retail dealer.45337

       (C) The retail dealer shall claim the credit under this 45338
section in the order prescribed in section 5733.98 of the Revised 45339
Code. The credit shall not exceed the amount of tax otherwise due 45340
under section 5733.06 of the Revised Code after deducting any 45341
other credits that precede the credit claimed under this section 45342
in that order.45343

       Sec. 5733.98.  (A) To provide a uniform procedure for45344
calculating the amount of tax imposed by section 5733.06 of the45345
Revised Code that is due under this chapter, a taxpayer shall45346
claim any credits to which it is entitled in the following order,45347
except as otherwise provided in section 5733.058 of the Revised45348
Code:45349

       (1) For tax year 2005, the credit for taxes paid by a 45350
qualifying pass-through entity allowed under section 5733.0611 of 45351
the Revised Code;45352

       (2) The credit allowed for financial institutions under45353
section 5733.45 of the Revised Code;45354

       (3) The credit for qualifying affiliated groups under section45355
5733.068 of the Revised Code;45356

       (4) The subsidiary corporation credit under section 5733.06745357
of the Revised Code;45358

       (5) The savings and loan assessment credit under section45359
5733.063 of the Revised Code;45360

       (6) The credit for recycling and litter prevention donations45361
under section 5733.064 of the Revised Code;45362

       (7) The credit for employers that enter into agreements with45363
child day-care centers under section 5733.36 of the Revised Code;45364

       (8) The credit for employers that reimburse employee child 45365
care expenses under section 5733.38 of the Revised Code;45366

       (9) The credit for maintaining railroad active grade crossing45367
warning devices under section 5733.43 of the Revised Code;45368

       (10) The credit for purchases of lights and reflectors under45369
section 5733.44 of the Revised Code;45370

       (11) The job retention credit under division (B) of section45371
5733.0610 of the Revised Code;45372

       (12) The credit for purchases of new manufacturing machinery45373
and equipment under section 5733.31 or section 5733.311tax years 45374
2008 and 2009 for selling alternative fuel under section 5733.4845375
of the Revised Code;45376

       (13) The second credit for purchases of new manufacturing45377
machinery and equipment under section 5733.33 of the Revised Code;45378

       (14) The job training credit under section 5733.42 of the45379
Revised Code;45380

       (15) The credit for qualified research expenses under section 45381
5733.351 of the Revised Code;45382

       (16) The enterprise zone credit under section 5709.66 of the45383
Revised Code;45384

       (17) The credit for the eligible costs associated with a45385
voluntary action under section 5733.34 of the Revised Code;45386

       (18) The credit for employers that establish on-site child45387
day-care centers under section 5733.37 of the Revised Code;45388

       (19) The ethanol plant investment credit under section45389
5733.46 of the Revised Code;45390

       (20) The credit for purchases of qualifying grape production45391
property under section 5733.32 of the Revised Code;45392

       (21) The export sales credit under section 5733.069 of the45393
Revised Code;45394

       (22) The credit for research and development and technology45395
transfer investors under section 5733.35 of the Revised Code;45396

       (23) The enterprise zone credits under section 5709.65 of the45397
Revised Code;45398

       (24) The credit for using Ohio coal under section 5733.39 of45399
the Revised Code;45400

       (25) The credit for small telephone companies under section 45401
5733.57 of the Revised Code;45402

       (26) The credit for eligible nonrecurring 9-1-1 charges under 45403
section 5733.55 of the Revised Code;45404

       (27) For tax year 2005, the credit for providing programs to 45405
aid the communicatively impaired under division (A) of section 45406
5733.56 of the Revised Code;45407

       (28) The research and development credit under section 45408
5733.352 of the Revised Code;45409

       (29) For tax years 2006 and subsequent tax years, the credit 45410
for taxes paid by a qualifying pass-through entity allowed under 45411
section 5733.0611 of the Revised Code;45412

       (30) The refundable credit for rehabilitating a historic 45413
building under section 5733.47 of the Revised Code;45414

       (31) The refundable jobs creation credit under division (A)45415
of section 5733.0610 of the Revised Code;45416

       (32) The refundable credit for tax withheld under division45417
(B)(2) of section 5747.062 of the Revised Code;45418

       (33) The refundable credit under section 5733.49 of the 45419
Revised Code for losses on loans made to the Ohio venture capital 45420
program under sections 150.01 to 150.10 of the Revised Code;45421

       (34) For tax years 2006, 2007, and 2008, the refundable 45422
credit allowable under division (B) of section 5733.56 of the 45423
Revised Code.45424

       (B) For any credit except the credits enumerated in divisions 45425
(A)(30) to (34) of this section, the amount of the credit for a 45426
tax year shall not exceed the tax due after allowing for any other 45427
credit that precedes it in the order required under this section. 45428
Any excess amount of a particular credit may be carried forward if 45429
authorized under the section creating that credit.45430

       Sec. 5739.02.  For the purpose of providing revenue with45431
which to meet the needs of the state, for the use of the general45432
revenue fund of the state, for the purpose of securing a thorough45433
and efficient system of common schools throughout the state, for45434
the purpose of affording revenues, in addition to those from45435
general property taxes, permitted under constitutional45436
limitations, and from other sources, for the support of local45437
governmental functions, and for the purpose of reimbursing the45438
state for the expense of administering this chapter, an excise tax45439
is hereby levied on each retail sale made in this state.45440

       (A)(1) The tax shall be collected as provided in section 45441
5739.025 of the Revised Code, provided that on and after July 1, 45442
2003, and on or before June 30, 2005, the rate of tax shall be six 45443
per cent. On and after July 1, 2005, the rate of the tax shall be 45444
five and one-half per cent. The tax applies and is collectible 45445
when the sale is made, regardless of the time when the price is 45446
paid or delivered.45447

        (2) In the case of the lease or rental, with a fixed term of 45448
more than thirty days or an indefinite term with a minimum period 45449
of more than thirty days, of any motor vehicles designed by the 45450
manufacturer to carry a load of not more than one ton, watercraft, 45451
outboard motor, or aircraft, or of any tangible personal property, 45452
other than motor vehicles designed by the manufacturer to carry a 45453
load of more than one ton, to be used by the lessee or renter 45454
primarily for business purposes, the tax shall be collected by the 45455
vendor at the time the lease or rental is consummated and shall be 45456
calculated by the vendor on the basis of the total amount to be 45457
paid by the lessee or renter under the lease agreement. If the 45458
total amount of the consideration for the lease or rental includes 45459
amounts that are not calculated at the time the lease or rental is 45460
executed, the tax shall be calculated and collected by the vendor 45461
at the time such amounts are billed to the lessee or renter. In 45462
the case of an open-end lease or rental, the tax shall be 45463
calculated by the vendor on the basis of the total amount to be 45464
paid during the initial fixed term of the lease or rental, and for 45465
each subsequent renewal period as it comes due. As used in this 45466
division, "motor vehicle" has the same meaning as in section 45467
4501.01 of the Revised Code, and "watercraft" includes an outdrive 45468
unit attached to the watercraft.45469

       A lease with a renewal clause and a termination penalty or 45470
similar provision that applies if the renewal clause is not 45471
exercised is presumed to be a sham transaction. In such a case, 45472
the tax shall be calculated and paid on the basis of the entire 45473
length of the lease period, including any renewal periods, until 45474
the termination penalty or similar provision no longer applies. 45475
The taxpayer shall bear the burden, by a preponderance of the 45476
evidence, that the transaction or series of transactions is not a 45477
sham transaction.45478

       (3) Except as provided in division (A)(2) of this section, in 45479
the case of a sale, the price of which consists in whole or in 45480
part of the lease or rental of tangible personal property, the tax 45481
shall be measured by the installments of that lease or rental.45482

       (4) In the case of a sale of a physical fitness facility 45483
service or recreation and sports club service, the price of which 45484
consists in whole or in part of a membership for the receipt of 45485
the benefit of the service, the tax applicable to the sale shall 45486
be measured by the installments thereof.45487

       (B) The tax does not apply to the following:45488

       (1) Sales to the state or any of its political subdivisions,45489
or to any other state or its political subdivisions if the laws of45490
that state exempt from taxation sales made to this state and its45491
political subdivisions;45492

       (2) Sales of food for human consumption off the premises45493
where sold;45494

       (3) Sales of food sold to students only in a cafeteria,45495
dormitory, fraternity, or sorority maintained in a private,45496
public, or parochial school, college, or university;45497

       (4) Sales of newspapers and of magazine subscriptions and45498
sales or transfers of magazines distributed as controlled45499
circulation publications;45500

       (5) The furnishing, preparing, or serving of meals without45501
charge by an employer to an employee provided the employer records45502
the meals as part compensation for services performed or work45503
done;45504

       (6) Sales of motor fuel upon receipt, use, distribution, or45505
sale of which in this state a tax is imposed by the law of this45506
state, but this exemption shall not apply to the sale of motor45507
fuel on which a refund of the tax is allowable under division (A) 45508
of section 5735.14 of the Revised Code; and the tax commissioner 45509
may deduct the amount of tax levied by this section applicable to 45510
the price of motor fuel when granting a refund of motor fuel tax 45511
pursuant to division (A) of section 5735.14 of the Revised Code 45512
and shall cause the amount deducted to be paid into the general 45513
revenue fund of this state;45514

       (7) Sales of natural gas by a natural gas company, of water45515
by a water-works company, or of steam by a heating company, if in45516
each case the thing sold is delivered to consumers through pipes45517
or conduits, and all sales of communications services by a 45518
telegraph company, all terms as defined in section 5727.01 of the 45519
Revised Code, and sales of electricity delivered through wires;45520

       (8) Casual sales by a person, or auctioneer employed directly 45521
by the person to conduct such sales, except as to such sales of45522
motor vehicles, watercraft or outboard motors required to be45523
titled under section 1548.06 of the Revised Code, watercraft45524
documented with the United States coast guard, snowmobiles, and45525
all-purpose vehicles as defined in section 4519.01 of the Revised45526
Code;45527

       (9)(a) Sales of services or tangible personal property, other45528
than motor vehicles, mobile homes, and manufactured homes, by45529
churches, organizations exempt from taxation under section45530
501(c)(3) of the Internal Revenue Code of 1986, or nonprofit45531
organizations operated exclusively for charitable purposes as45532
defined in division (B)(12) of this section, provided that the45533
number of days on which such tangible personal property or45534
services, other than items never subject to the tax, are sold does45535
not exceed six in any calendar year, except as otherwise provided 45536
in division (B)(9)(b) of this section. If the number of days on45537
which such sales are made exceeds six in any calendar year, the45538
church or organization shall be considered to be engaged in45539
business and all subsequent sales by it shall be subject to the45540
tax. In counting the number of days, all sales by groups within a45541
church or within an organization shall be considered to be sales45542
of that church or organization, except that.45543

       (b) The limitation on the number of days on which tax-exempt 45544
sales may be made by a church or organization under division 45545
(B)(9)(a) of this section does not apply to sales made by separate45546
student clubs and other groups of students of a primary or45547
secondary school, and sales made byor a parent-teacher45548
association, booster group, or similar organization that raises45549
money to support or fund curricular or extracurricular activities45550
of a primary or secondary school, shall not be considered to be45551
sales of such school, and sales by each such club, group,45552
association, or organization shall be counted separately for45553
purposes of the six-day limitation. This division does.45554

       (c) Divisions (B)(9)(a) and (b) of this section do not apply45555
to sales by a noncommercial educational radio or television45556
broadcasting station.45557

       (10) Sales not within the taxing power of this state under45558
the Constitution of the United States;45559

       (11) Except for transactions that are sales under division 45560
(B)(3)(r) of section 5739.01 of the Revised Code, the 45561
transportation of persons or property, unless the transportation 45562
is by a private investigation and security service;45563

       (12) Sales of tangible personal property or services to45564
churches, to organizations exempt from taxation under section45565
501(c)(3) of the Internal Revenue Code of 1986, and to any other45566
nonprofit organizations operated exclusively for charitable45567
purposes in this state, no part of the net income of which inures45568
to the benefit of any private shareholder or individual, and no45569
substantial part of the activities of which consists of carrying45570
on propaganda or otherwise attempting to influence legislation;45571
sales to offices administering one or more homes for the aged or45572
one or more hospital facilities exempt under section 140.08 of the45573
Revised Code; and sales to organizations described in division (D)45574
of section 5709.12 of the Revised Code.45575

       "Charitable purposes" means the relief of poverty; the45576
improvement of health through the alleviation of illness, disease,45577
or injury; the operation of an organization exclusively for the45578
provision of professional, laundry, printing, and purchasing45579
services to hospitals or charitable institutions; the operation of45580
a home for the aged, as defined in section 5701.13 of the Revised45581
Code; the operation of a radio or television broadcasting station45582
that is licensed by the federal communications commission as a45583
noncommercial educational radio or television station; the45584
operation of a nonprofit animal adoption service or a county45585
humane society; the promotion of education by an institution of45586
learning that maintains a faculty of qualified instructors,45587
teaches regular continuous courses of study, and confers a45588
recognized diploma upon completion of a specific curriculum; the45589
operation of a parent-teacher association, booster group, or45590
similar organization primarily engaged in the promotion and45591
support of the curricular or extracurricular activities of a45592
primary or secondary school; the operation of a community or area45593
center in which presentations in music, dramatics, the arts, and45594
related fields are made in order to foster public interest and45595
education therein; the production of performances in music,45596
dramatics, and the arts; or the promotion of education by an45597
organization engaged in carrying on research in, or the45598
dissemination of, scientific and technological knowledge and45599
information primarily for the public.45600

       Nothing in this division shall be deemed to exempt sales to45601
any organization for use in the operation or carrying on of a45602
trade or business, or sales to a home for the aged for use in the45603
operation of independent living facilities as defined in division45604
(A) of section 5709.12 of the Revised Code.45605

       (13) Building and construction materials and services sold to 45606
construction contractors for incorporation into a structure or45607
improvement to real property under a construction contract with45608
this state or a political subdivision of this state, or with the45609
United States government or any of its agencies; building and45610
construction materials and services sold to construction45611
contractors for incorporation into a structure or improvement to45612
real property that are accepted for ownership by this state or any45613
of its political subdivisions, or by the United States government45614
or any of its agencies at the time of completion of the structures 45615
or improvements; building and construction materials sold to 45616
construction contractors for incorporation into a horticulture 45617
structure or livestock structure for a person engaged in the 45618
business of horticulture or producing livestock; building45619
materials and services sold to a construction contractor for45620
incorporation into a house of public worship or religious45621
education, or a building used exclusively for charitable purposes45622
under a construction contract with an organization whose purpose45623
is as described in division (B)(12) of this section; building45624
materials and services sold to a construction contractor for45625
incorporation into a building under a construction contract with45626
an organization exempt from taxation under section 501(c)(3) of45627
the Internal Revenue Code of 1986 when the building is to be used45628
exclusively for the organization's exempt purposes; building and45629
construction materials sold for incorporation into the original45630
construction of a sports facility under section 307.696 of the45631
Revised Code; and building and construction materials and services45632
sold to a construction contractor for incorporation into real45633
property outside this state if such materials and services, when45634
sold to a construction contractor in the state in which the real45635
property is located for incorporation into real property in that45636
state, would be exempt from a tax on sales levied by that state;45637

       (14) Sales of ships or vessels or rail rolling stock used or45638
to be used principally in interstate or foreign commerce, and45639
repairs, alterations, fuel, and lubricants for such ships or45640
vessels or rail rolling stock;45641

       (15) Sales to persons primarily engaged in any of the 45642
activities mentioned in division (B)(42)(a) or (g) of this 45643
section, to persons engaged in making retail sales, or to persons 45644
who purchase for sale from a manufacturer tangible personal 45645
property that was produced by the manufacturer in accordance with 45646
specific designs provided by the purchaser, of packages, including 45647
material, labels, and parts for packages, and of machinery, 45648
equipment, and material for use primarily in packaging tangible 45649
personal property produced for sale, including any machinery,45650
equipment, and supplies used to make labels or packages, to 45651
prepare packages or products for labeling, or to label packages or 45652
products, by or on the order of the person doing the packaging, or 45653
sold at retail. "Packages" includes bags, baskets, cartons, 45654
crates, boxes, cans, bottles, bindings, wrappings, and other 45655
similar devices and containers, but does not include motor 45656
vehicles or bulk tanks, trailers, or similar devices attached to 45657
motor vehicles. "Packaging" means placing in a package. Division 45658
(B)(15) of this section does not apply to persons engaged in 45659
highway transportation for hire.45660

       (16) Sales of food to persons using food stamp benefits to45661
purchase the food. As used in this division, "food" has the same 45662
meaning as in the "Food Stamp Act of 1977," 91 Stat. 958, 7 U.S.C. 45663
2012, as amended, and federal regulations adopted pursuant to that 45664
act.45665

       (17) Sales to persons engaged in farming, agriculture,45666
horticulture, or floriculture, of tangible personal property for45667
use or consumption directly in the production by farming,45668
agriculture, horticulture, or floriculture of other tangible45669
personal property for use or consumption directly in the45670
production of tangible personal property for sale by farming,45671
agriculture, horticulture, or floriculture; or material and parts45672
for incorporation into any such tangible personal property for use45673
or consumption in production; and of tangible personal property45674
for such use or consumption in the conditioning or holding of45675
products produced by and for such use, consumption, or sale by45676
persons engaged in farming, agriculture, horticulture, or45677
floriculture, except where such property is incorporated into real45678
property;45679

       (18) Sales of drugs for a human being that may be dispensed 45680
only pursuant to a prescription; insulin as recognized in the 45681
official United States pharmacopoeia; urine and blood testing 45682
materials when used by diabetics or persons with hypoglycemia to 45683
test for glucose or acetone; hypodermic syringes and needles when 45684
used by diabetics for insulin injections; epoetin alfa when 45685
purchased for use in the treatment of persons with medical 45686
disease; hospital beds when purchased by hospitals, nursing homes, 45687
or other medical facilities; and medical oxygen and medical 45688
oxygen-dispensing equipment when purchased by hospitals, nursing 45689
homes, or other medical facilities;45690

       (19) Sales of prosthetic devices, durable medical equipment 45691
for home use, or mobility enhancing equipment, when made pursuant 45692
to a prescription and when such devices or equipment are for use 45693
by a human being.45694

       (20) Sales of emergency and fire protection vehicles and45695
equipment to nonprofit organizations for use solely in providing45696
fire protection and emergency services, including trauma care and45697
emergency medical services, for political subdivisions of the45698
state;45699

       (21) Sales of tangible personal property manufactured in this 45700
state, if sold by the manufacturer in this state to a retailer for 45701
use in the retail business of the retailer outside of this state 45702
and if possession is taken from the manufacturer by the purchaser45703
within this state for the sole purpose of immediately removing the 45704
same from this state in a vehicle owned by the purchaser;45705

       (22) Sales of services provided by the state or any of its45706
political subdivisions, agencies, instrumentalities, institutions,45707
or authorities, or by governmental entities of the state or any of45708
its political subdivisions, agencies, instrumentalities,45709
institutions, or authorities;45710

       (23) Sales of motor vehicles to nonresidents of this state45711
upon the presentation of an affidavit executed in this state by45712
the nonresident purchaser affirming that the purchaser is a45713
nonresident of this state, that possession of the motor vehicle is45714
taken in this state for the sole purpose of immediately removing45715
it from this state, that the motor vehicle will be permanently45716
titled and registered in another state, and that the motor vehicle45717
will not be used in this stateunder the circumstances described 45718
in division (B) of section 5739.029 of the Revised Code;45719

       (24) Sales to persons engaged in the preparation of eggs for45720
sale of tangible personal property used or consumed directly in45721
such preparation, including such tangible personal property used45722
for cleaning, sanitizing, preserving, grading, sorting, and45723
classifying by size; packages, including material and parts for45724
packages, and machinery, equipment, and material for use in45725
packaging eggs for sale; and handling and transportation equipment45726
and parts therefor, except motor vehicles licensed to operate on45727
public highways, used in intraplant or interplant transfers or45728
shipment of eggs in the process of preparation for sale, when the45729
plant or plants within or between which such transfers or45730
shipments occur are operated by the same person. "Packages"45731
includes containers, cases, baskets, flats, fillers, filler flats,45732
cartons, closure materials, labels, and labeling materials, and45733
"packaging" means placing therein.45734

       (25)(a) Sales of water to a consumer for residential use,45735
except the sale of bottled water, distilled water, mineral water,45736
carbonated water, or ice;45737

       (b) Sales of water by a nonprofit corporation engaged45738
exclusively in the treatment, distribution, and sale of water to45739
consumers, if such water is delivered to consumers through pipes45740
or tubing.45741

       (26) Fees charged for inspection or reinspection of motor45742
vehicles under section 3704.14 of the Revised Code;45743

       (27) Sales to persons licensed to conduct a food service45744
operation pursuant to section 3717.43 of the Revised Code, of45745
tangible personal property primarily used directly for the45746
following:45747

       (a) To prepare food for human consumption for sale;45748

       (b) To preserve food that has been or will be prepared for45749
human consumption for sale by the food service operator, not45750
including tangible personal property used to display food for45751
selection by the consumer;45752

       (c) To clean tangible personal property used to prepare or45753
serve food for human consumption for sale.45754

       (28) Sales of animals by nonprofit animal adoption services45755
or county humane societies;45756

       (29) Sales of services to a corporation described in division 45757
(A) of section 5709.72 of the Revised Code, and sales of tangible 45758
personal property that qualifies for exemption from taxation under 45759
section 5709.72 of the Revised Code;45760

       (30) Sales and installation of agricultural land tile, as45761
defined in division (B)(5)(a) of section 5739.01 of the Revised45762
Code;45763

       (31) Sales and erection or installation of portable grain45764
bins, as defined in division (B)(5)(b) of section 5739.01 of the45765
Revised Code;45766

       (32) The sale, lease, repair, and maintenance of, parts for,45767
or items attached to or incorporated in, motor vehicles that are45768
primarily used for transporting tangible personal property 45769
belonging to others by a person engaged in highway transportation 45770
for hire, except for packages and packaging used for the 45771
transportation of tangible personal property;45772

       (33) Sales to the state headquarters of any veterans'45773
organization in this state that is either incorporated and issued45774
a charter by the congress of the United States or is recognized by45775
the United States veterans administration, for use by the45776
headquarters;45777

       (34) Sales to a telecommunications service vendor, mobile 45778
telecommunications service vendor, or satellite broadcasting 45779
service vendor of tangible personal property and services used 45780
directly and primarily in transmitting, receiving, switching, or 45781
recording any interactive, one- or two-way electromagnetic 45782
communications, including voice, image, data, and information, 45783
through the use of any medium, including, but not limited to, 45784
poles, wires, cables, switching equipment, computers, and record 45785
storage devices and media, and component parts for the tangible 45786
personal property. The exemption provided in this division shall45787
be in lieu of all other exemptions under division (B)(42)(a) of 45788
this section to which the vendor may otherwise be entitled, based 45789
upon the use of the thing purchased in providing the 45790
telecommunications, mobile telecommunications, or satellite 45791
broadcasting service.45792

       (35)(a) Sales where the purpose of the consumer is to use or45793
consume the things transferred in making retail sales and45794
consisting of newspaper inserts, catalogues, coupons, flyers, gift45795
certificates, or other advertising material that prices and45796
describes tangible personal property offered for retail sale.45797

       (b) Sales to direct marketing vendors of preliminary45798
materials such as photographs, artwork, and typesetting that will45799
be used in printing advertising material; of printed matter that45800
offers free merchandise or chances to win sweepstake prizes and45801
that is mailed to potential customers with advertising material45802
described in division (B)(35)(a) of this section; and of equipment45803
such as telephones, computers, facsimile machines, and similar45804
tangible personal property primarily used to accept orders for45805
direct marketing retail sales.45806

       (c) Sales of automatic food vending machines that preserve45807
food with a shelf life of forty-five days or less by refrigeration45808
and dispense it to the consumer.45809

       For purposes of division (B)(35) of this section, "direct45810
marketing" means the method of selling where consumers order45811
tangible personal property by United States mail, delivery45812
service, or telecommunication and the vendor delivers or ships the45813
tangible personal property sold to the consumer from a warehouse,45814
catalogue distribution center, or similar fulfillment facility by45815
means of the United States mail, delivery service, or common45816
carrier.45817

       (36) Sales to a person engaged in the business of45818
horticulture or producing livestock of materials to be45819
incorporated into a horticulture structure or livestock structure;45820

       (37) Sales of personal computers, computer monitors, computer 45821
keyboards, modems, and other peripheral computer equipment to an 45822
individual who is licensed or certified to teach in an elementary 45823
or a secondary school in this state for use by that individual in 45824
preparation for teaching elementary or secondary school students;45825

       (38) Sales to a professional racing team of any of the45826
following:45827

       (a) Motor racing vehicles;45828

       (b) Repair services for motor racing vehicles;45829

       (c) Items of property that are attached to or incorporated in 45830
motor racing vehicles, including engines, chassis, and all other 45831
components of the vehicles, and all spare, replacement, and45832
rebuilt parts or components of the vehicles; except not including45833
tires, consumable fluids, paint, and accessories consisting of45834
instrumentation sensors and related items added to the vehicle to45835
collect and transmit data by means of telemetry and other forms of45836
communication.45837

       (39) Sales of used manufactured homes and used mobile homes,45838
as defined in section 5739.0210 of the Revised Code, made on or45839
after January 1, 2000;45840

       (40) Sales of tangible personal property and services to a45841
provider of electricity used or consumed directly and primarily in45842
generating, transmitting, or distributing electricity for use by45843
others, including property that is or is to be incorporated into45844
and will become a part of the consumer's production, transmission,45845
or distribution system and that retains its classification as45846
tangible personal property after incorporation; fuel or power used45847
in the production, transmission, or distribution of electricity;45848
and tangible personal property and services used in the repair and45849
maintenance of the production, transmission, or distribution45850
system, including only those motor vehicles as are specially45851
designed and equipped for such use. The exemption provided in this 45852
division shall be in lieu of all other exemptions in division45853
(B)(42)(a) of this section to which a provider of electricity may 45854
otherwise be entitled based on the use of the tangible personal 45855
property or service purchased in generating, transmitting, or45856
distributing electricity.45857

       (41) Sales to a person providing services under division 45858
(B)(3)(r) of section 5739.01 of the Revised Code of tangible 45859
personal property and services used directly and primarily in 45860
providing taxable services under that section.45861

       (42) Sales where the purpose of the purchaser is to do any of 45862
the following:45863

       (a) To incorporate the thing transferred as a material or a 45864
part into tangible personal property to be produced for sale by 45865
manufacturing, assembling, processing, or refining; or to use or 45866
consume the thing transferred directly in producing tangible 45867
personal property for sale by mining, including, without 45868
limitation, the extraction from the earth of all substances that 45869
are classed geologically as minerals, production of crude oil and 45870
natural gas, farming, agriculture, horticulture, or floriculture, 45871
or directly in the rendition of a public utility service, except 45872
that the sales tax levied by this section shall be collected upon 45873
all meals, drinks, and food for human consumption sold when 45874
transporting persons. Persons engaged in rendering farming, 45875
agricultural, horticultural, or floricultural services, and 45876
services in the exploration for, and production of, crude oil and 45877
natural gas, for others are deemed engaged directly in farming, 45878
agriculture, horticulture, and floriculture, or exploration for, 45879
and production of, crude oil and natural gas. This paragraph does 45880
not exempt from "retail sale" or "sales at retail" the sale of 45881
tangible personal property that is to be incorporated into a 45882
structure or improvement to real property.45883

       (b) To hold the thing transferred as security for the 45884
performance of an obligation of the vendor;45885

       (c) To resell, hold, use, or consume the thing transferred as 45886
evidence of a contract of insurance;45887

       (d) To use or consume the thing directly in commercial 45888
fishing;45889

       (e) To incorporate the thing transferred as a material or a 45890
part into, or to use or consume the thing transferred directly in 45891
the production of, magazines distributed as controlled circulation 45892
publications;45893

       (f) To use or consume the thing transferred in the production 45894
and preparation in suitable condition for market and sale of 45895
printed, imprinted, overprinted, lithographic, multilithic, 45896
blueprinted, photostatic, or other productions or reproductions of 45897
written or graphic matter;45898

       (g) To use the thing transferred, as described in section 45899
5739.011 of the Revised Code, primarily in a manufacturing 45900
operation to produce tangible personal property for sale;45901

       (h) To use the benefit of a warranty, maintenance or service 45902
contract, or similar agreement, as described in division (B)(7) of 45903
section 5739.01 of the Revised Code, to repair or maintain 45904
tangible personal property, if all of the property that is the 45905
subject of the warranty, contract, or agreement would not be 45906
subject to the tax imposed by this section;45907

       (i) To use the thing transferred as qualified research and 45908
development equipment;45909

       (j) To use or consume the thing transferred primarily in 45910
storing, transporting, mailing, or otherwise handling purchased 45911
sales inventory in a warehouse, distribution center, or similar 45912
facility when the inventory is primarily distributed outside this 45913
state to retail stores of the person who owns or controls the 45914
warehouse, distribution center, or similar facility, to retail 45915
stores of an affiliated group of which that person is a member, or 45916
by means of direct marketing. This division does not apply to 45917
motor vehicles registered for operation on the public highways. As 45918
used in this division, "affiliated group" has the same meaning as 45919
in division (B)(3)(e) of section 5739.01 of the Revised Code and 45920
"direct marketing" has the same meaning as in division (B)(35) of 45921
this section.45922

       (k) To use or consume the thing transferred to fulfill a 45923
contractual obligation incurred by a warrantor pursuant to a 45924
warranty provided as a part of the price of the tangible personal 45925
property sold or by a vendor of a warranty, maintenance or service 45926
contract, or similar agreement the provision of which is defined 45927
as a sale under division (B)(7) of section 5739.01 of the Revised 45928
Code;45929

       (l) To use or consume the thing transferred in the production 45930
of a newspaper for distribution to the public;45931

       (m) To use tangible personal property to perform a service 45932
listed in division (B)(3) of section 5739.01 of the Revised Code, 45933
if the property is or is to be permanently transferred to the 45934
consumer of the service as an integral part of the performance of 45935
the service.45936

       As used in division (B)(42) of this section, "thing" includes 45937
all transactions included in divisions (B)(3)(a), (b), and (e) of 45938
section 5739.01 of the Revised Code.45939

       (43) Sales conducted through a coin operated device that 45940
activates vacuum equipment or equipment that dispenses water, 45941
whether or not in combination with soap or other cleaning agents 45942
or wax, to the consumer for the consumer's use on the premises in 45943
washing, cleaning, or waxing a motor vehicle, provided no other 45944
personal property or personal service is provided as part of the 45945
transaction.45946

       (44) Sales of replacement and modification parts for engines, 45947
airframes, instruments, and interiors in, and paint for, aircraft 45948
used primarily in a fractional aircraft ownership program, and 45949
sales of services for the repair, modification, and maintenance of 45950
such aircraft, and machinery, equipment, and supplies primarily 45951
used to provide those services.45952

       (45) Sales of telecommunications service that is used 45953
directly and primarily to perform the functions of a call center. 45954
As used in this division, "call center" means any physical 45955
location where telephone calls are placed or received in high 45956
volume for the purpose of making sales, marketing, customer 45957
service, technical support, or other specialized business 45958
activity, and that employs at least fifty individuals that engage 45959
in call center activities on a full-time basis, or sufficient 45960
individuals to fill fifty full-time equivalent positions.45961

        (46) Sales by a telecommunications service vendor of 900 45962
service to a subscriber. This division does not apply to 45963
information services, as defined in division (FF) of section 45964
5739.01 of the Revised Code.45965

        (47) Sales of value-added non-voice data service. This 45966
division does not apply to any similar service that is not 45967
otherwise a telecommunications service.45968

       (C) For the purpose of the proper administration of this45969
chapter, and to prevent the evasion of the tax, it is presumed45970
that all sales made in this state are subject to the tax until the 45971
contrary is established.45972

       (D) The levy of this tax on retail sales of recreation and45973
sports club service shall not prevent a municipal corporation from45974
levying any tax on recreation and sports club dues or on any45975
income generated by recreation and sports club dues.45976

       (E) The tax collected by the vendor from the consumer under 45977
this chapter is not part of the price, but is a tax collection for 45978
the benefit of the state, and of counties levying an additional 45979
sales tax pursuant to section 5739.021 or 5739.026 of the Revised 45980
Code and of transit authorities levying an additional sales tax 45981
pursuant to section 5739.023 of the Revised Code. Except for the 45982
discount authorized under section 5739.12 of the Revised Code and 45983
the effects of any rounding pursuant to section 5703.055 of the 45984
Revised Code, no person other than the state or such a county or 45985
transit authority shall derive any benefit from the collection or 45986
payment of the tax levied by this section or section 5739.021, 45987
5739.023, or 5739.026 of the Revised Code.45988

       Sec. 5739.029.  (A) Notwithstanding sections 5739.02, 45989
5739.021, 5739.023, 5739.026, 5741.02, 5741.021, 5741.022, and 45990
5741.023 of the Revised Code, and except as otherwise provided in 45991
division (B) of this section, the tax due under this chapter on 45992
the sale of a motor vehicle required to be titled under Chapter 45993
4505. of the Revised Code by a motor vehicle dealer to a consumer 45994
that is a nonresident of this state shall be the lesser of the 45995
amount of tax that would be due under this chapter and Chapter 45996
5741. of the Revised Code if the total combined rate were six per 45997
cent, or the amount of tax that would be due, taking into 45998
consideration all applicable credits and exemptions, to the state 45999
in which the consumer titles or registers the motor vehicle or to 46000
which the consumer removes the vehicle for use.46001

       (B) No tax is due under this section, any other section of 46002
this chapter, or Chapter 5741. of the Revised Code under any of 46003
the following circumstances:46004

       (1)(a) The consumer intends to immediately remove the motor 46005
vehicle from this state for use outside this state;46006

       (b) Upon removal of the motor vehicle from this state, the 46007
consumer intends to title or register the vehicle in another state 46008
if such titling or registration is required;46009

       (c) The consumer executes an affidavit as required under 46010
division (C) of this section affirming the consumer's intentions 46011
under divisions (B)(1)(a) and (b) of this section; and46012

       (d) The state in which the consumer titles or registers the 46013
motor vehicle or to which the consumer removes the vehicle for use 46014
provides an exemption under circumstances substantially similar to 46015
those described in division (B)(1) of this section.46016

       (2) The state in which the consumer titles or registers the 46017
motor vehicle or to which the consumer removes the vehicle for use 46018
does not provide a credit against its sales or use tax or similar 46019
excise tax for sales or use tax paid to this state.46020

       (3) The state in which the consumer titles or registers the 46021
motor vehicle or to which the consumer removes the vehicle for use 46022
does not impose a sales or use tax or similar excise tax on the 46023
ownership or use of motor vehicles.46024

       (C) Any nonresident consumer that purchases a motor vehicle 46025
from a motor vehicle dealer in this state under the circumstances 46026
described in divisions (B)(1)(a) and (b) of this section shall 46027
execute an affidavit affirming the intentions described in those 46028
divisions. The affidavit shall be executed in triplicate and in 46029
the form specified by the tax commissioner. The affidavit shall be 46030
given to the motor vehicle dealer.46031

       A motor vehicle dealer that accepts in good faith an 46032
affidavit presented under this division by a nonresident consumer 46033
may rely upon the representations made in the affidavit.46034

       (D) A motor vehicle dealer making a sale subject to the tax 46035
under division (A) of this section shall collect the tax due 46036
unless the sale is subject to the exception under division (B) of 46037
this section or unless the sale is not otherwise subject to taxes 46038
levied under sections 5739.02, 5739.021, 5739.023, 5739.026, 46039
5741.02, 5741.021, 5741.022, and 5741.023 of the Revised Code. In 46040
the case of a sale under the circumstances described in division 46041
(B)(1) of this section, the dealer shall retain one copy of the 46042
affidavit and file the original and the other copy with the clerk 46043
of the court of common pleas. If tax is due under division (A) of 46044
this section, the dealer shall remit the tax collected to the 46045
clerk at the time the dealer obtains the Ohio certificate of title 46046
in the name of the consumer as required under section 4505.06 of 46047
the Revised Code. The clerk shall forward the original affidavit 46048
to the tax commissioner in the manner prescribed by the 46049
commissioner.46050

       Unless a sale is excepted from taxation under division (B) of 46051
this section, upon receipt of an application for certificate of 46052
title a clerk of the court of common pleas shall collect the sales 46053
tax due under division (A) of this section. The clerk shall remit 46054
the tax collected to the tax commissioner in the manner prescribed 46055
by the commissioner.46056

       (E) If a motor vehicle is purchased by a corporation 46057
described in division (B)(6) of section 5739.01 of the Revised 46058
Code, the state of residence of the consumer for the purposes of 46059
this section is the state of residence of the corporation's 46060
principal shareholder.46061

       (F) Any provision of this chapter or of Chapter 5741. of the 46062
Revised Code that is not inconsistent with this section applies to 46063
sales described in division (A) of this section.46064

       (G) As used in this section:46065

       (1) For the purposes of this section only, the sale or 46066
purchase of a motor vehicle does not include a lease or rental of 46067
a motor vehicle subject to division (A)(2) or (3) of section 46068
5739.02 or division (A)(2) or (3) of section 5741.02 of the 46069
Revised Code;46070

       (2) "State," except in reference to "this state," means any 46071
state, district, commonwealth, or territory of the United States.46072

       Sec. 5739.033.  (A) Except as provided in division (B) of 46073
this section, divisions (C) to (I) of this section apply to sales 46074
made on and after May 1, 2006. Sales made before May 1, 2006, are 46075
subject to section 5739.035 of the Revised Code. On and after 46076
January 1, 2005, any vendor may irrevocably elect to comply with 46077
divisions (C) to (I) of this section for all of the vendor's sales 46078
and places of business in this state.46079

        The amount of tax due pursuant to sections 5739.02, 5739.021, 46080
5739.023, and 5739.026 of the Revised Code is the sum of the taxes 46081
imposed pursuant to those sections at the sourcing location of the 46082
sale as determined under this section or, if applicable, under 46083
division (C) of section 5739.031 or section 5739.034 of the 46084
Revised Code, or at the situs of the sale as determined under 46085
section 5739.035 of the Revised Code. This section applies only to 46086
a vendor's or seller's obligation to collect and remit sales taxes 46087
under section 5739.02, 5739.021, 5739.023, or 5739.026 of the 46088
Revised Code or use taxes under section 5741.02, 5741.021, 46089
5741.022, or 5741.023 of the Revised Code. Division (A) of this 46090
section does not apply in determining the jurisdiction for which 46091
sellers are required to collect the use tax under section 5741.05 46092
of the Revised Code. This section does not affect the obligation 46093
of a consumer to remit use taxes on the storage, use, or other 46094
consumption of tangible personal property or on the benefit 46095
realized of any service provided, to the jurisdiction of that 46096
storage, use, or consumption, or benefit realized.46097

       (B)(1) As used in this division:46098

       (a) "Delivery sale" means the taxable sale of tangible 46099
personal property or a service that is received by a consumer, or 46100
a donee designated by the consumer, in a taxing jurisdiction that 46101
is not the taxing jurisdiction in which the vendor has a fixed 46102
place of business.46103

       (b) "Agreement" has the same meaning as in section 5740.01 of 46104
the Revised Code.46105

       (c) "Governing board" has the same meaning as in section 46106
5740.02 of the Revised Code.46107

        (2)(a) A vendor with total delivery sales in calendar year 46108
2005 that are less than thirty million dollars may continue to 46109
situs its sales under section 5739.035 of the Revised Code from 46110
May 1, 2006, through April 30, 2007, except that, if the tax 46111
commissioner does not enter a determination in the commissioner's 46112
journal under division (B)(2)(b) of this section, those dates 46113
shall be May 1, 2006, through December 31, 2007.46114

       (b) On or before February 1, 2007, the tax commissioner shall 46115
determine whether certified service provider services are being 46116
provided by the governing board of the streamlined sales and use 46117
tax agreement for all delivery sales. If the commissioner 46118
determines that such services are being so provided, the 46119
commissioner shall enter the determination in the commissioner's 46120
journal and shall provide notice of the determination on the 46121
department of taxation's official internet web site. If the 46122
commissioner makes such an entry in the journal, then a vendor 46123
with total delivery sales in calendar year 2006 that are less than 46124
five million dollars may continue to situs its sales under section 46125
5739.035 of the Revised Code from May 1, 2007, through December 46126
31, 2007.46127

       (3) Beginning January 1, 2008, all vendors shall source their 46128
sales under divisions (C) to (I) of this section.46129

       (4) Once a vendor has total delivery sales that exceed the 46130
dollar amount in division (B)(2)(a) or (b) of this section, the 46131
vendor shall source its sales under divisions (C) to (I) of this 46132
section and shall continue to source its sales under those 46133
divisions, regardless of the amount of the vendor's total delivery 46134
sales in future years.46135

       (C) Except for sales, other than leases, of titled motor 46136
vehicles, titled watercraft, or titled outboard motors as provided 46137
in sectionsections 5739.029 and 5741.05 of the Revised Code, or 46138
as otherwise provided in this section and section 5739.034 of the46139
Revised Code, all sales shall be sourced as follows:46140

       (1) If the consumer or a donee designated by the consumer 46141
receives tangible personal property or a service at a vendor's46142
place of business, the sale shall be sourced to that place of 46143
business.46144

       (2) When the tangible personal property or service is not46145
received at a vendor's place of business, the sale shall be 46146
sourced to the location known to the vendor where the consumer or 46147
the donee designated by the consumer receives the tangible 46148
personal property or service, including the location indicated by46149
instructions for delivery to the consumer or the consumer's donee.46150

       (3) If divisions (C)(1) and (2) of this section do not apply, 46151
the sale shall be sourced to the location indicated by an address 46152
for the consumer that is available from the vendor's business 46153
records that are maintained in the ordinary course of the 46154
vendor's business, when use of that address does not constitute 46155
bad faith.46156

       (4) If divisions (C)(1), (2), and (3) of this section do not46157
apply, the sale shall be sourced to the location indicated by an 46158
address for the consumer obtained during the consummation of the 46159
sale, including the address associated with the consumer's payment 46160
instrument, if no other address is available, when use of that 46161
address does not constitute bad faith.46162

       (5) If divisions (C)(1), (2), (3), and (4) of this section do 46163
not apply, including in the circumstance where the vendor is46164
without sufficient information to apply any of those divisions, 46165
the sale shall be sourced to the address from which tangible 46166
personal property was shipped, or from which the service was 46167
provided, disregarding any location that merely provided the 46168
electronic transfer of the property sold or service provided.46169

       (6) As used in division (C) of this section, "receive" means46170
taking possession of tangible personal property or making first46171
use of a service. "Receive" does not include possession by a46172
shipping company on behalf of a consumer.46173

       (D)(1)(a) Notwithstanding divisions (C)(1) to (5) of this46174
section, a business consumer that is not a holder of a direct 46175
payment permit granted under section 5739.031 of the Revised Code, 46176
that purchases a digital good, computer software, except computer 46177
software received in person by a business consumer at a vendor's 46178
place of business, or a service, and that knows at the time of46179
purchase that such digital good, software, or service will be 46180
concurrently available for use in more than one taxing 46181
jurisdiction shall deliver to the vendor in conjunction with its 46182
purchase an exemption certificate claiming multiple points of use, 46183
or shall meet the requirements of division (D)(2) of this section. 46184
On receipt of the exemption certificate claiming multiple points 46185
of use, the vendor is relieved of its obligation to collect, pay, 46186
or remit the tax due, and the business consumer must pay the tax 46187
directly to the state.46188

       (b) A business consumer that delivers the exemption 46189
certificate claiming multiple points of use to a vendor may use46190
any reasonable, consistent, and uniform method of apportioning the46191
tax due on the digital good, computer software, or service that is46192
supported by the consumer's business records as they existed at46193
the time of the sale. The business consumer shall report and pay 46194
the appropriate tax to each jurisdiction where concurrent use 46195
occurs. The tax due shall be calculated as if the apportioned 46196
amount of the digital good, computer software, or service had been 46197
delivered to each jurisdiction to which the sale is apportioned 46198
under this division.46199

       (c) The exemption certificate claiming multiple points of use 46200
shall remain in effect for all future sales by the vendor to the 46201
business consumer until it is revoked in writing by the business 46202
consumer, except as to the business consumer's specific 46203
apportionment of a subsequent sale under division (D)(1)(b) of 46204
this section and the facts existing at the time of the sale.46205

       (2) When the vendor knows that a digital good, computer 46206
software, or service sold will be concurrently available for use 46207
by the business consumer in more than one jurisdiction, but the 46208
business consumer does not provide an exemption certificate 46209
claiming multiple points of use as required by division (D)(1) of 46210
this section, the vendor may work with the business consumer to 46211
produce the correct apportionment. Governed by the principles of 46212
division (D)(1)(b) of this section, the vendor and business 46213
consumer may use any reasonable, but consistent and uniform, 46214
method of apportionment that is supported by the vendor's and 46215
business consumer's books and records as they exist at the time 46216
the sale is reported for purposes of the taxes levied under this 46217
chapter. If the business consumer certifies to the accuracy of the 46218
apportionment and the vendor accepts the certification, the vendor 46219
shall collect and remit the tax accordingly. In the absence of bad 46220
faith, the vendor is relieved of any further obligation to collect 46221
tax on any transaction where the vendor has collected tax pursuant 46222
to the information certified by the business consumer.46223

        (3) When the vendor knows that the digital good, computer 46224
software, or service will be concurrently available for use in 46225
more than one jurisdiction, and the business consumer does not 46226
have a direct pay permit and does not provide to the vendor an 46227
exemption certificate claiming multiple points of use as required 46228
in division (D)(1) of this section, or certification pursuant to 46229
division (D)(2) of this section, the vendor shall collect and 46230
remit the tax based on division (C) of this section.46231

        (4) Nothing in this section shall limit a person's obligation 46232
for sales or use tax to any state in which a digital good, 46233
computer software, or service is concurrently available for use, 46234
nor limit a person's ability under local, state, or federal law, 46235
to claim a credit for sales or use taxes legally due and paid to 46236
other jurisdictions.46237

       (E) A person who holds a direct payment permit issued under46238
section 5739.031 of the Revised Code is not required to deliver an 46239
exemption certificate claiming multiple points of use to a vendor. 46240
But such permit holder shall comply with division (D)(2) of this 46241
section in apportioning the tax due on a digital good, computer 46242
software, or a service for use in business that will be 46243
concurrently available for use in more than one taxing 46244
jurisdiction.46245

       (F)(1) Notwithstanding divisions (C)(1) to (5) of this 46246
section, the consumer of direct mail that is not a holder of a 46247
direct payment permit shall provide to the vendor in conjunction 46248
with the sale either an exemption certificate claiming direct mail 46249
prescribed by the tax commissioner, or information to show the 46250
jurisdictions to which the direct mail is delivered to recipients.46251

       (2) Upon receipt of such exemption certificate, the vendor is 46252
relieved of all obligations to collect, pay, or remit the 46253
applicable tax and the consumer is obligated to pay that tax on a 46254
direct pay basis. An exemption certificate claiming direct mail 46255
shall remain in effect for all future sales of direct mail by the 46256
vendor to the consumer until it is revoked in writing.46257

       (3) Upon receipt of information from the consumer showing the 46258
jurisdictions to which the direct mail is delivered to recipients, 46259
the vendor shall collect the tax according to the delivery 46260
information provided by the consumer. In the absence of bad faith, 46261
the vendor is relieved of any further obligation to collect tax on 46262
any transaction where the vendor has collected tax pursuant to the 46263
delivery information provided by the consumer.46264

       (4) If the consumer of direct mail does not have a direct 46265
payment permit and does not provide the vendor with either an 46266
exemption certificate claiming direct mail or delivery information 46267
as required by division (F)(1) of this section, the vendor shall 46268
collect the tax according to division (C)(5) of this section. 46269
Nothing in division (F)(4) of this section shall limit a 46270
consumer's obligation to pay sales or use tax to any state to 46271
which the direct mail is delivered.46272

       (5) If a consumer of direct mail provides the vendor with 46273
documentation of direct payment authority, the consumer shall not 46274
be required to provide an exemption certificate claiming direct 46275
mail or delivery information to the vendor.46276

       (G) If the vendor provides lodging to transient guests as46277
specified in division (B)(2) of section 5739.01 of the Revised46278
Code, the sale shall be sourced to the location where the lodging 46279
is located.46280

       (H)(1) As used in this division and division (I) of this 46281
section, "transportation equipment" means any of the following:46282

        (a) Locomotives and railcars that are utilized for the 46283
carriage of persons or property in interstate commerce.46284

        (b) Trucks and truck-tractors with a gross vehicle weight 46285
rating of greater than ten thousand pounds, trailers, 46286
semi-trailers, or passenger buses that are registered through the 46287
international registration plan and are operated under authority 46288
of a carrier authorized and certificated by the United States 46289
department of transportation or another federal authority to 46290
engage in the carriage of persons or property in interstate 46291
commerce.46292

        (c) Aircraft that are operated by air carriers authorized and 46293
certificated by the United States department of transportation or 46294
another federal authority to engage in the carriage of persons or 46295
property in interstate or foreign commerce.46296

        (d) Containers designed for use on and component parts 46297
attached to or secured on the items set forth in division 46298
(H)(1)(a), (b), or (c) of this section.46299

        (2) A sale, lease, or rental of transportation equipment 46300
shall be sourced pursuant to division (C) of this section.46301

        (I)(1) A lease or rental of tangible personal property that 46302
does not require recurring periodic payments shall be sourced 46303
pursuant to division (C) of this section.46304

        (2) A lease or rental of tangible personal property that 46305
requires recurring periodic payments shall be sourced as follows:46306

        (a) In the case of a motor vehicle, other than a motor 46307
vehicle that is transportation equipment, or an aircraft, other 46308
than an aircraft that is transportation equipment, such lease or 46309
rental shall be sourced as follows:46310

        (i) An accelerated tax payment on a lease or rental taxed 46311
pursuant to division (A)(2) of section 5739.02 of the Revised Code 46312
shall be sourced to the primary property location at the time the 46313
lease or rental is consummated. Any subsequent taxable charges on 46314
the lease or rental shall be sourced to the primary property 46315
location for the period in which the charges are incurred.46316

        (ii) For a lease or rental taxed pursuant to division (A)(3) 46317
of section 5739.02 of the Revised Code, each lease or rental 46318
installment shall be sourced to the primary property location for 46319
the period covered by the installment.46320

        (b) In the case of a lease or rental of all other tangible 46321
personal property, other than transportation equipment, such lease 46322
or rental shall be sourced as follows:46323

        (i) An accelerated tax payment on a lease or rental that is 46324
taxed pursuant to division (A)(2) of section 5739.02 of the 46325
Revised Code shall be sourced pursuant to division (C) of this 46326
section at the time the lease or rental is consummated. Any 46327
subsequent taxable charges on the lease or rental shall be sourced 46328
to the primary property location for the period in which the 46329
charges are incurred.46330

        (ii) For a lease or rental that is taxed pursuant to division 46331
(A)(3) of section 5739.02 of the Revised Code, the initial lease 46332
or rental installment shall be sourced pursuant to division (C) of 46333
this section. Each subsequent installment shall be sourced to the 46334
primary property location for the period covered by the 46335
installment.46336

        (3) As used in division (I) of this section, "primary 46337
property location" means an address for tangible personal property 46338
provided by the lessee or renter that is available to the lessor 46339
or owner from its records maintained in the ordinary course of 46340
business, when use of that address does not constitute bad faith.46341

       Sec. 5739.12. (A) Each person who has or is required to have 46342
a vendor's license, on or before the twenty-third day of each46343
month, shall make and file a return for the preceding month, on46344
forms prescribed by the tax commissioner, and shall pay the tax46345
shown on the return to be due. The commissioner may require a 46346
vendor that operates from multiple locations or has multiple 46347
vendor's licenses to report all tax liabilities on one 46348
consolidated return. The return shall show the amount of tax due46349
from the vendor to the state for the period covered by the return46350
and such other information as the commissioner deems necessary for46351
the proper administration of this chapter. The commissioner may46352
extend the time for making and filing returns and paying the tax,46353
and may require that the return for the last month of any annual46354
or semiannual period, as determined by the commissioner, be a46355
reconciliation return detailing the vendor's sales activity for46356
the preceding annual or semiannual period. The reconciliation46357
return shall be filed by the last day of the month following the46358
last month of the annual or semiannual period. The commissioner46359
may remit all or any part of amounts or penalties that may become46360
due under this chapter and may adopt rules relating thereto. Such46361
return shall be filed by mailing it to the tax commissioner,46362
together with payment of the amount of tax shown to be due thereon46363
after deduction of any discount provided for under this section.46364
Remittance shall be made payable to the treasurer of state. The46365
return shall be considered filed when received by the tax46366
commissioner, and the payment shall be considered made when46367
received by the tax commissioner or when credited to an account46368
designated by the treasurer of state or the tax commissioner.46369

       (B)(1) If the return is filed and the amount of tax shown 46370
thereon to be due is paid on or before the date such return is 46371
required to be filed, the vendor shall be entitled to the 46372
followinga discount of:46373

       (1)(a) On and after July 1, 2005, and on and before June 30, 46374
2007, nine-tenths of one per cent of the amount shown to be due on 46375
the return;46376

       (2)(b) On and after July 1, 2007, three-fourths of one per 46377
cent of the amount shown to be due on the return.46378

       (2) A vendor that has selected a certified service provider 46379
as its agent shall not be entitled to the discount if the 46380
certified service provider receives a monetary allowance pursuant 46381
to section 5739.06 of the Revised Code for performing the vendor's 46382
sales and use tax functions in this state. Amounts paid to the46383
clerk of courts pursuant to section 4505.06 of the Revised Code46384
shall be subject to the applicable discount. The discount shall be 46385
in consideration for prompt payment to the clerk of courts and for46386
other services performed by the vendor in the collection of the46387
tax.46388

       (3) Vendors of watercraft or outboard motors required to be 46389
titled under section 1548.06 of the Revised Code, dealers of motor 46390
vehicles required to be titled under section 4505.06 of the 46391
Revised Code, and dealers of off-highway motorcycles or 46392
all-purpose vehicles required to be titled under section 4519.55 46393
of the Revised Code that submit to the clerk of the court of 46394
common pleas payment of the tax collected on sales of watercraft, 46395
outboard motors, motor vehicles, off-highway motorcycles, or 46396
all-purpose vehicles may, when computing the discount provided for 46397
in division (B)(1) of this section, include those sales on the 46398
return for the period in which the sales were made. If the tax 46399
reported to be due on the return is less than the discount allowed 46400
under this section, the vendor or dealer may file a claim for 46401
refund of any unused discount in the manner provided in section 46402
5739.07 of the Revised Code, provided that such refund claims may 46403
not be filed more frequently than twice per year by a vendor or 46404
dealer.46405

       (C)(1) Upon application to the commissioner, a vendor who is46406
required to file monthly returns may be relieved of the46407
requirement to report and pay the actual tax due, provided that46408
the vendor agrees to remit to the tax commissioner payment of not46409
less than an amount determined by the commissioner to be the46410
average monthly tax liability of the vendor, based upon a review46411
of the returns or other information pertaining to such vendor for46412
a period of not less than six months nor more than two years46413
immediately preceding the filing of the application. Vendors who46414
agree to the above conditions shall make and file an annual or46415
semiannual reconciliation return, as prescribed by the46416
commissioner. The reconciliation return shall be filed by mailing46417
or delivering it to the tax commissioner, together with payment of 46418
the amount of tax shown to be due thereon after deduction of any 46419
discount provided in this section. Remittance shall be made46420
payable to the treasurer of state. Failure of a vendor to comply46421
with any of the above conditions may result in immediate46422
reinstatement of the requirement of reporting and paying the46423
actual tax liability on each monthly return, and the commissioner46424
may at the commissioner's discretion deny the vendor the right to46425
report and pay based upon the average monthly liability for a46426
period not to exceed two years. The amount ascertained by the46427
commissioner to be the average monthly tax liability of a vendor46428
may be adjusted, based upon a review of the returns or other46429
information pertaining to the vendor for a period of not less than46430
six months nor more than two years preceding such adjustment.46431

       (2) The commissioner may authorize vendors whose tax 46432
liability is not such as to merit monthly returns, as ascertained 46433
by the commissioner upon the basis of administrative costs to the46434
state, to make and file returns at less frequent intervals. When46435
returns are filed at less frequent intervals in accordance with46436
such authorization, the vendor shall be allowed the discount 46437
provided in this section in consideration for prompt payment with 46438
the return, provided the return is filed together with payment of 46439
the amount of tax shown to be due thereon, at the time specified 46440
by the commissioner, but a vendor that has selected a certified 46441
service provider as its agent shall not be entitled to the 46442
discount.46443

       (D) Any vendor who fails to file a return or pay the full 46444
amount of the tax shown on the return to be due under this section 46445
and the rules of the commissioner may, for each such return the 46446
vendor fails to file or each such tax the vendor fails to pay in 46447
full as shown on the return within the period prescribed by this 46448
section and the rules of the commissioner, be required to forfeit 46449
and pay into the state treasury an additional charge not exceeding46450
fifty dollars or ten per cent of the tax required to be paid for46451
the reporting period, whichever is greater, as revenue arising46452
from the tax imposed by this chapter, and such sum may be46453
collected by assessment in the manner provided in section 5739.1346454
of the Revised Code. The commissioner may remit all or a portion46455
of the additional charge and may adopt rules relating to the 46456
imposition and remission of the additional charge.46457

       (E) If the amount required to be collected by a vendor from46458
consumers is in excess of the applicable percentage of the 46459
vendor's receipts from sales that are taxable under section 46460
5739.02 of the Revised Code, or in the case of sales subject to a 46461
tax levied pursuant to section 5739.021, 5739.023, or 5739.026 of 46462
the Revised Code, in excess of the percentage equal to the 46463
aggregate rate of such taxes and the tax levied by section 5739.02 46464
of the Revised Code, such excess shall be remitted along with the 46465
remittance of the amount of tax due under section 5739.10 of the 46466
Revised Code.46467

       (F) The commissioner, if the commissioner deems it necessary 46468
in order to insure the payment of the tax imposed by this chapter,46469
may require returns and payments to be made for other than monthly46470
periods. The returns shall be signed by the vendor or the vendor's 46471
authorized agent.46472

       (G) Any vendor required to file a return and pay the tax 46473
under this section, whose total payment equals or exceeds the46474
amount shown in division (A) of section 5739.122 of the Revised 46475
Code, shall make each payment required by this section in the 46476
second ensuing and each succeeding year by electronic funds 46477
transfer as prescribed by, and on or before the dates specified 46478
in, section 5739.122 of the Revised Code, except as otherwise46479
prescribed by that section. For a vendor that operates from 46480
multiple locations or has multiple vendor's licenses, in 46481
determining whether the vendor's total payment equals or exceeds 46482
the amount shown in division (A) of that section, the vendor's 46483
total payment amount shall be the amount of the vendor's total tax 46484
liability for the previous calendar year for all of the vendor's 46485
locations or licenses.46486

       Sec. 5739.21.  (A) Four and two-tenthsOne hundred per cent 46487
of all money deposited into the state treasury under sections 46488
5739.01 to 5739.31 of the Revised Code and not required to be 46489
distributed as provided in section 5739.102 of the Revised Code or 46490
division (B) of this section shall be credited to the local 46491
government fund for distribution in accordance with section 46492
5747.50 of the Revised Code, six-tenths of one per cent shall be 46493
credited to the local government revenue assistance fund for 46494
distribution in accordance with section 5747.61 of the Revised 46495
Code, and ninety-five and two-tenths per cent shall be credited to46496
the general revenue fund.46497

       (B)(1) In any case where any county or transit authority has46498
levied a tax or taxes pursuant to section 5739.021, 5739.023, or46499
5739.026 of the Revised Code, the tax commissioner shall, within46500
forty-five days after the end of each month, determine and certify 46501
to the director of budget and management the amount of the 46502
proceeds of such tax or taxes received during that month from 46503
billings and assessments, or associated with tax returns or 46504
reports filed during that month, to be returned to the county or 46505
transit authority levying the tax or taxes. The amount to be 46506
returned to each county and transit authority shall be a fraction 46507
of the aggregate amount of money collected with respect to each 46508
area in which one or more of such taxes are concurrently in effect 46509
with the tax levied by section 5739.02 of the Revised Code. The46510
numerator of the fraction is the rate of the tax levied by the 46511
county or transit authority and the denominator of the fraction is 46512
the aggregate rate of such taxes applicable to such area. The 46513
amount to be returned to each county or transit authority shall be 46514
reduced by the amount of any refunds of county or transit 46515
authority tax paid pursuant to section 5739.07 of the Revised Code 46516
during the same month, or transfers made pursuant to division 46517
(B)(2) of section 5703.052 of the Revised Code.46518

       (2) On a periodic basis, using the best information 46519
available, the tax commissioner shall distribute any amount of a 46520
county or transit authority tax that cannot be distributed under 46521
division (B)(1) of this section. Through audit or other means, the 46522
commissioner shall attempt to obtain the information necessary to 46523
make the distribution as provided under that division and, on 46524
receipt of that information, shall make adjustments to 46525
distributions previously made under this division.46526

       (C) The aggregate amount to be returned to any county or 46527
transit authority shall be reduced by one per cent, which shall be46528
certified directly to the credit of the local sales tax46529
administrative fund, which is hereby created in the state46530
treasury. For the purpose of determining the amount to be returned 46531
to a county and transit authority in which the rate of tax imposed 46532
by the transit authority has been reduced under section 5739.028 46533
of the Revised Code, the tax commissioner shall use the respective 46534
rates of tax imposed by the county or transit authority that 46535
results from the change in the rates authorized under that 46536
section. 46537

       (D) The director of budget and management shall transfer,46538
from the same funds and in the same proportions specified in46539
division (A) of this section, to the permissive tax distribution46540
fund created by division (B)(1) of section 4301.423 of the Revised 46541
Code and to the local sales tax administrative fund, the amounts 46542
certified by the tax commissioner. The tax commissioner shall 46543
then, on or before the twentieth day of the month in which such 46544
certification is made, provide for payment of such respective 46545
amounts to the county treasurer and to the fiscal officer of the 46546
transit authority levying the tax or taxes. The amount transferred 46547
to the local sales tax administrative fund is for use by the tax 46548
commissioner in defraying costs incurred in administering such 46549
taxes levied by a county or transit authority.46550

       Sec. 5739.213.  Notwithstanding section 5739.21 or 5741.03 of 46551
the Revised Code, of the revenue collected from the tax due under 46552
division (A) of section 5739.029 of the Revised Code, an amount 46553
equal to one-half per cent of the price of each transaction 46554
subject to taxation under that division shall be distributed to 46555
the county where the sale is sitused as provided in section 46556
5739.035 of the Revised Code. The amount to be so distributed to 46557
each county shall be credited to the funds of the county as 46558
provided by divisions (A) and (B) of section 5739.211 of the 46559
Revised Code.46560

       Sec. 5741.02.  (A)(1) For the use of the general revenue fund46561
of the state, an excise tax is hereby levied on the storage, use,46562
or other consumption in this state of tangible personal property46563
or the benefit realized in this state of any service provided. The46564
tax shall be collected as provided in section 5739.025 of the 46565
Revised Code, provided that on and after July 1, 2003, and on or 46566
before June 30, 2005, the rate of the tax shall be six per cent. 46567
On and after July 1, 2005, the rate of the tax shall be five and 46568
one-half per cent.46569

       (2) In the case of the lease or rental, with a fixed term of 46570
more than thirty days or an indefinite term with a minimum period 46571
of more than thirty days, of any motor vehicles designed by the 46572
manufacturer to carry a load of not more than one ton, watercraft, 46573
outboard motor, or aircraft, or of any tangible personal property, 46574
other than motor vehicles designed by the manufacturer to carry a 46575
load of more than one ton, to be used by the lessee or renter 46576
primarily for business purposes, the tax shall be collected by the 46577
seller at the time the lease or rental is consummated and shall be 46578
calculated by the seller on the basis of the total amount to be 46579
paid by the lessee or renter under the lease or rental agreement. 46580
If the total amount of the consideration for the lease or rental 46581
includes amounts that are not calculated at the time the lease or 46582
rental is executed, the tax shall be calculated and collected by 46583
the seller at the time such amounts are billed to the lessee or 46584
renter. In the case of an open-end lease or rental, the tax shall 46585
be calculated by the seller on the basis of the total amount to be 46586
paid during the initial fixed term of the lease or rental, and for 46587
each subsequent renewal period as it comes due. As used in this 46588
division, "motor vehicle" has the same meaning as in section 46589
4501.01 of the Revised Code, and "watercraft" includes an outdrive 46590
unit attached to the watercraft.46591

       (3) Except as provided in division (A)(2) of this section, in 46592
the case of a transaction, the price of which consists in whole or 46593
part of the lease or rental of tangible personal property, the tax 46594
shall be measured by the installments of those leases or rentals.46595

       (B) Each consumer, storing, using, or otherwise consuming in46596
this state tangible personal property or realizing in this state46597
the benefit of any service provided, shall be liable for the tax,46598
and such liability shall not be extinguished until the tax has46599
been paid to this state; provided, that the consumer shall be46600
relieved from further liability for the tax if the tax has been46601
paid to a seller in accordance with section 5741.04 of the Revised46602
Code or prepaid by the seller in accordance with section 5741.0646603
of the Revised Code.46604

       (C) The tax does not apply to the storage, use, or46605
consumption in this state of the following described tangible46606
personal property or services, nor to the storage, use, or46607
consumption or benefit in this state of tangible personal property46608
or services purchased under the following described circumstances:46609

       (1) When the sale of property or service in this state is46610
subject to the excise tax imposed by sections 5739.01 to 5739.3146611
of the Revised Code, provided said tax has been paid;46612

       (2) Except as provided in division (D) of this section,46613
tangible personal property or services, the acquisition of which,46614
if made in Ohio, would be a sale not subject to the tax imposed by46615
sections 5739.01 to 5739.31 of the Revised Code;46616

       (3) Property or services, the storage, use, or other46617
consumption of or benefit from which this state is prohibited from46618
taxing by the Constitution of the United States, laws of the46619
United States, or the Constitution of this state. This exemption46620
shall not exempt from the application of the tax imposed by this46621
section the storage, use, or consumption of tangible personal46622
property that was purchased in interstate commerce, but that has46623
come to rest in this state, provided that fuel to be used or46624
transported in carrying on interstate commerce that is stopped46625
within this state pending transfer from one conveyance to another46626
is exempt from the excise tax imposed by this section and section46627
5739.02 of the Revised Code;46628

       (4) Transient use of tangible personal property in this state 46629
by a nonresident tourist or vacationer, or a nonbusiness use 46630
within this state by a nonresident of this state, if the property 46631
so used was purchased outside this state for use outside this 46632
state and is not required to be registered or licensed under the 46633
laws of this state;46634

       (5) Tangible personal property or services rendered, upon46635
which taxes have been paid to another jurisdiction to the extent46636
of the amount of the tax paid to such other jurisdiction. Where46637
the amount of the tax imposed by this section and imposed pursuant46638
to section 5741.021, 5741.022, or 5741.023 of the Revised Code46639
exceeds the amount paid to another jurisdiction, the difference46640
shall be allocated between the tax imposed by this section and any46641
tax imposed by a county or a transit authority pursuant to section46642
5741.021, 5741.022, or 5741.023 of the Revised Code, in proportion46643
to the respective rates of such taxes.46644

       As used in this subdivision, "taxes paid to another46645
jurisdiction" means the total amount of retail sales or use tax or46646
similar tax based upon the sale, purchase, or use of tangible46647
personal property or services rendered legally, levied by and paid46648
to another state or political subdivision thereof, or to the46649
District of Columbia, where the payment of such tax does not46650
entitle the taxpayer to any refund or credit for such payment.46651

       (6) The transfer of a used manufactured home or used mobile46652
home, as defined by section 5739.0210 of the Revised Code, made on46653
or after January 1, 2000;46654

       (7) Drugs that are or are intended to be distributed free of46655
charge to a practitioner licensed to prescribe, dispense, and46656
administer drugs to a human being in the course of a professional46657
practice and that by law may be dispensed only by or upon the46658
order of such a practitioner.46659

        (8) Computer equipment and related software leased from a 46660
lessor located outside this state and initially received in this 46661
state on behalf of the consumer by a third party that will retain 46662
possession of such property for not more than ninety days and that 46663
will, within that ninety-day period, deliver such property to the 46664
consumer at a location outside this state. Division (C)(8) of this 46665
section does not provide exemption from taxation for any otherwise 46666
taxable charges associated with such property while it is in this 46667
state or for any subsequent storage, use, or consumption of such 46668
property in this state by or on behalf of the consumer.46669

       (9) Cigarettes that have a wholesale value of three hundred 46670
dollars or less used, stored, or consumed, but not for resale, in 46671
any month and in any county that shares a border with a state in 46672
which the total rate of excise tax on cigarettes is less than the 46673
rate imposed under sections 5743.02 and 5743.32 of the Revised 46674
Code by at least forty-five mills per cigarette.46675

       (10) Tangible personal property held for sale by a person but 46676
not for that person's own use and donated by that person, without 46677
charge or other compensation, to either of the following:46678

       (a) A nonprofit organization operated exclusively for 46679
charitable purposes in this state, no part of the net income of 46680
which inures to the benefit of any private shareholder or 46681
individual and no substantial part of the activities of which 46682
consists of carrying on propaganda or otherwise attempting to 46683
influence legislation; or46684

       (b) This state or any political subdivision of this state, 46685
but only if donated for exclusively public purposes.46686

        For the purposes of division (C)(10)(9) of this section, 46687
"charitable purposes" has the same meaning as in division (B)(12) 46688
of section 5739.02 of the Revised Code.46689

       (D) The tax applies to the storage, use, or other consumption 46690
in this state of tangible personal property or services, the 46691
acquisition of which at the time of sale was excepted under 46692
division (E) of section 5739.01 of the Revised Code from the tax 46693
imposed by section 5739.02 of the Revised Code, but which has 46694
subsequently been temporarily or permanently stored, used, or 46695
otherwise consumed in a taxable manner.46696

       (E)(1)(a) If any transaction is claimed to be exempt under46697
division (E) of section 5739.01 of the Revised Code or under46698
section 5739.02 of the Revised Code, with the exception of46699
divisions (B)(1) to (11) or (28) of section 5739.02 of the Revised46700
Code, the consumer shall provide to the seller, and the seller46701
shall obtain from the consumer, a certificate specifying the46702
reason that the transaction is not subject to the tax. The46703
certificate shall be in such form, and shall be provided either in 46704
a hard copy form or electronic form, as the tax commissioner 46705
prescribes.46706

       (b) A seller that obtains a fully completed exemption 46707
certificate from a consumer is relieved of liability for 46708
collecting and remitting tax on any sale covered by that 46709
certificate. If it is determined the exemption was improperly 46710
claimed, the consumer shall be liable for any tax due on that sale 46711
under this chapter. Relief under this division from liability does 46712
not apply to any of the following:46713

       (i) A seller that fraudulently fails to collect tax;46714

       (ii) A seller that solicits consumers to participate in the 46715
unlawful claim of an exemption;46716

       (iii) A seller that accepts an exemption certificate from a 46717
consumer that claims an exemption based on who purchases or who 46718
sells property or a service, when the subject of the transaction 46719
sought to be covered by the exemption certificate is actually 46720
received by the consumer at a location operated by the seller in 46721
this state, and this state has posted to its web site an exemption 46722
certificate form that clearly and affirmatively indicates that the 46723
claimed exemption is not available in this state;46724

       (iv) A seller that accepts an exemption certificate from a 46725
consumer who claims a multiple points of use exemption under 46726
division (D) of section 5739.033 of the Revised Code, if the item 46727
purchased is tangible personal property, other than prewritten 46728
computer software.46729

       (2) The seller shall maintain records, including exemption 46730
certificates, of all sales on which a consumer has claimed an 46731
exemption, and provide them to the tax commissioner on request.46732

       (3) If no certificate is provided or obtained within ninety 46733
days after the date on which the transaction is consummated, it 46734
shall be presumed that the tax applies. Failure to have so 46735
provided or obtained a certificate shall not preclude a seller, 46736
within one hundred twenty days after the tax commissioner gives 46737
written notice of intent to levy an assessment, from either 46738
establishing that the transaction is not subject to the tax, or 46739
obtaining, in good faith, a fully completed exemption certificate.46740

       (4) If a transaction is claimed to be exempt under division 46741
(B)(13) of section 5739.02 of the Revised Code, the contractor 46742
shall obtain certification of the claimed exemption from the 46743
contractee. This certification shall be in addition to an 46744
exemption certificate provided by the contractor to the seller. A 46745
contractee that provides a certification under this division shall 46746
be deemed to be the consumer of all items purchased by the 46747
contractor under the claim of exemption, if it is subsequently 46748
determined that the exemption is not properly claimed. The 46749
certification shall be in such form as the tax commissioner 46750
prescribes.46751

       (F) A seller who files a petition for reassessment contesting 46752
the assessment of tax on transactions for which the seller 46753
obtained no valid exemption certificates, and for which the seller 46754
failed to establish that the transactions were not subject to the 46755
tax during the one-hundred-twenty-day period allowed under46756
division (E) of this section, may present to the tax commissioner46757
additional evidence to prove that the transactions were exempt.46758
The seller shall file such evidence within ninety days of the46759
receipt by the seller of the notice of assessment, except that,46760
upon application and for reasonable cause, the tax commissioner46761
may extend the period for submitting such evidence thirty days.46762

       (G) For the purpose of the proper administration of sections46763
5741.01 to 5741.22 of the Revised Code, and to prevent the evasion46764
of the tax hereby levied, it shall be presumed that any use,46765
storage, or other consumption of tangible personal property in46766
this state is subject to the tax until the contrary is46767
established.46768

       (H) The tax collected by the seller from the consumer under 46769
this chapter is not part of the price, but is a tax collection for 46770
the benefit of the state, and of counties levying an additional 46771
use tax pursuant to section 5741.021 or 5741.023 of the Revised 46772
Code and of transit authorities levying an additional use tax 46773
pursuant to section 5741.022 of the Revised Code. Except for the 46774
discount authorized under section 5741.12 of the Revised Code and 46775
the effects of any rounding pursuant to section 5703.055 of the 46776
Revised Code, no person other than the state or such a county or 46777
transit authority shall derive any benefit from the collection of 46778
such tax.46779

       Sec. 5741.03.  (A) Four and two-tenthsOne hundred per cent 46780
of all money deposited into the state treasury under sections 46781
5741.01 to 5741.22 of the Revised Code that is not required to be46782
distributed as provided in division (B) of this section shall be46783
credited to the local government fund for distribution in46784
accordance with section 5747.50 of the Revised Code, six-tenths of 46785
one per cent shall be credited to the local government revenue 46786
assistance fund for distribution in accordance with section46787
5747.61 of the Revised Code, and ninety-five and two-tenths per 46788
cent shall be credited to the general revenue fund.46789

       (B) In any case where any county or transit authority has46790
levied a tax or taxes pursuant to section 5741.021, 5741.022, or46791
5741.023 of the Revised Code, the tax commissioner shall, within46792
forty-five days after the end of each month, determine and certify46793
to the director of budget and management the amount of the46794
proceeds of such tax or taxes from billings and assessments 46795
received during that month, or shown on tax returns or reports 46796
filed during that month, to be returned to the county or transit46797
authority levying the tax or taxes, which amounts shall be46798
determined in the manner provided in section 5739.21 of the46799
Revised Code. The director of budget and management shall46800
transfer, from the same funds and in the same proportions46801
specified in division (A) of this section, to the permissive tax46802
distribution fund created by division (B)(1) of section 4301.42346803
of the Revised Code and to the local sales tax administrative fund 46804
created by division (B)(C) of section 5739.21 of the Revised Code, 46805
the amounts certified by the tax commissioner. The tax46806
commissioner shall then, on or before the twentieth day of the46807
month in which such certification is made, provide for payment of46808
such respective amounts to the county treasurer or to the fiscal46809
officer of the transit authority levying the tax or taxes. The46810
amount transferred to the local sales tax administrative fund is46811
for use by the tax commissioner in defraying costs the46812
commissioner incurs in administering such taxes levied by a county 46813
or transit authority.46814

       Sec. 5743.01.  As used in this chapter:46815

       (A) "Person" includes individuals, firms, partnerships,46816
associations, joint-stock companies, corporations, combinations of 46817
individuals of any form, and the state and any of its political 46818
subdivisions.46819

       (B) "Wholesale dealer" includes only those persons:46820

       (1) Who bring in or cause to be brought into this state46821
unstamped cigarettes purchased directly from the manufacturer,46822
producer, or importer of cigarettes for sale in this state but46823
does not include persons who bring in or cause to be brought into46824
this state cigarettes with respect to which no evidence of tax46825
payment is required thereon as provided in section 5743.04 of the46826
Revised Code; or46827

       (2) Who are engaged in the business of selling cigarettes or 46828
tobacco products to others for the purpose of resale.46829

       "Wholesale dealer" does not include any cigarette 46830
manufacturer, export warehouse proprietor, or importer with a 46831
valid permit under 26 U.S.C. 5713 if that person sells cigarettes 46832
in this state only to wholesale dealers holding valid and current 46833
licenses under section 5743.15 of the Revised Code or to an export 46834
warehouse proprietor or another manufacturer.46835

       (C) "Retail dealer" includes:46836

       (1) In reference to dealers in cigarettes, every person other 46837
than a wholesale dealer engaged in the business of selling46838
cigarettes in this state, regardless of whether the person is 46839
located in this state or elsewhere, and regardless of quantity, 46840
amount, or number of sales;46841

       (2) In reference to dealers in tobacco products, any person 46842
in this state engaged in the business of selling tobacco products 46843
to ultimate consumers in this state, regardless of quantity, 46844
amount, or number of sales.46845

       (D) "Sale" includes exchange, barter, gift, offer for sale, 46846
and distribution, and includes transactions in interstate or 46847
foreign commerce.46848

       (E) "Cigarettes" includes any roll for smoking made wholly or 46849
in part of tobacco, irrespective of size or shape, and whether or 46850
not such tobacco is flavored, adulterated, or mixed with any other 46851
ingredient, the wrapper or cover of which is made of paper,46852
reconstituted cigarette tobacco, homogenized cigarette tobacco,46853
cigarette tobacco sheet, or any similar materials other than cigar 46854
tobacco.46855

       (F) "Package" means the individual package, box, or other46856
container in or from which retail sales of cigarettes are normally 46857
made or intended to be made.46858

       (G) "Stamp" includes an impression made by a metering device 46859
as provided for in section 5743.04 of the Revised Code.46860

       (H) "Storage" includes any keeping or retention of cigarettes 46861
or tobacco products for use or consumption in this state.46862

       (I) "Use" includes the exercise of any right or power46863
incidental to the ownership of cigarettes or tobacco products.46864

       (J) "Tobacco product" or "other tobacco product" means any 46865
product made from tobacco, other than cigarettes, that is made for 46866
smoking or chewing, or both, and snuff.46867

       (K) "Wholesale price" means the invoice price, including all 46868
federal excise taxes, at which the manufacturer of the tobacco 46869
product sells the tobacco product to unaffiliated distributors, 46870
excluding any discounts based on the method of payment of the 46871
invoice or on time of payment of the invoice. If the taxpayer buys 46872
from other than a manufacturer, "wholesale price" means the 46873
invoice price, including all federal excise taxes and excluding 46874
any discounts based on the method of payment of the invoice or on 46875
time of payment of the invoice.46876

       (L) "Distributor" means:46877

       (1) Any manufacturer who sells, barters, exchanges, or46878
distributes tobacco products to a retail dealer in the state, 46879
except when selling to a retail dealer that has filed with the 46880
manufacturer a signed statement agreeing to pay and be liable for 46881
the tax imposed by section 5743.51 of the Revised Code;46882

       (2) Any wholesale dealer located in the state who receives46883
tobacco products from a manufacturer, or who receives tobacco46884
products on which the tax imposed by this chapter has not been46885
paid;46886

       (3) Any wholesale dealer located outside the state who sells, 46887
barters, exchanges, or distributes tobacco products to a wholesale 46888
or retail dealer in the state; or46889

       (4) Any retail dealer who receives tobacco products on which 46890
the tax has not or will not be paid by another distributor, 46891
including a retail dealer that has filed a signed statement with a 46892
manufacturer in which the retail dealer agrees to pay and be 46893
liable for the tax that would otherwise be imposed on the46894
manufacturer by section 5743.51 of the Revised Code.46895

       (M) "Taxpayer" means any person liable for the tax imposed by 46896
section 5743.51, 5743.62, or 5743.63 of the Revised Code.46897

       (N) "Seller" means any person located outside this state46898
engaged in the business of selling tobacco products to consumers46899
for storage, use, or other consumption in this state.46900

       (O) "Manufacturer" means any person who manufactures and46901
sells cigarettes or tobacco products.46902

       (P) "Importer" means any person that imports is authorized, 46903
under a valid permit issued under Section 5713 of the Internal 46904
Revenue Code, to import finished cigarettes into the United 46905
States, either directly or indirectly.46906

       Sec. 5743.20.  No person shall sell any cigarettes both as a 46907
retail dealer and as a wholesale dealer at the same place of 46908
business. No person other than a licensed wholesale dealer shall 46909
sell cigarettes to a licensed retail dealer. No retail dealer 46910
shall purchase cigarettes from any person other than a licensed 46911
wholesale dealer.46912

       Subject to section 5743.031 of the Revised Code, a licensed 46913
wholesale dealer may not sell cigarettes to any person in this 46914
state other than a licensed retail dealer, except a licensed 46915
wholesale dealer may sell cigarettes to another licensed wholesale 46916
dealer if the tax commissioner has authorized the sale of the 46917
cigarettes between those wholesale dealers and the wholesale 46918
dealer that sells the cigarettes received them directly from a 46919
licensed manufacturer or licensed importer.46920

        The tax commissioner shall adopt rules governing sales of 46921
cigarettes between licensed wholesale dealers, including rules 46922
establishing criteria for authorizing such sales.46923

       No manufacturer or importer shall sell cigarettes to any 46924
person in this state other than to a licensed wholesale dealer or 46925
licensed importer. No importer shall purchase cigarettes from any 46926
person other than a licensed manufacturer or licensed importer.46927

       A retail dealer may purchase other tobacco products only from 46928
a licensed distributor. A licensed distributor may sell tobacco 46929
products only to a retail dealer, except a licensed distributor 46930
may sell tobacco products to another licensed distributor if the 46931
tax commissioner has authorized the sale of the tobacco products 46932
between those distributors and the distributor that sells the 46933
tobacco products received them directly from a manufacturer or 46934
importer of tobacco products.46935

        The tax commissioner may adopt rules governing sales of 46936
tobacco products between licensed distributors, including rules 46937
establishing criteria for authorizing such sales.46938

       The identities of licensed distributorscigarette 46939
manufacturers and importers, licensed cigarette wholesalers, 46940
licensed distributors of other tobacco products, and registered 46941
manufacturers, importers, and brokers of other tobacco products46942
are subject to public disclosure. The tax commissioner shall 46943
maintain an alphabetical list of all such distributors46944
manufacturers, importers, wholesalers, distributors, and brokers, 46945
shall post the list on a web site accessible to the public through 46946
the internet, and shall periodically update the web site posting.46947

       As used in this section, "licensed" means the manufacturer, 46948
importer, wholesale dealer, retail dealer, or distributor holds a 46949
current and valid license issued under section 5743.15 or 5743.61 46950
of the Revised Code, and "registered" means registered with the 46951
tax commissioner under section 5743.66 of the Revised Code.46952

       Sec. 5743.331.  Notwithstanding any other section in this 46953
chapter to the contrary, a person may use, store, or consume 46954
cigarettes with a wholesale value of not more than three hundred 46955
dollars in any month and not for resale in any qualifying border 46956
county without incurring liability for any tax levied under this 46957
chapter, and is not required to file any return that otherwise 46958
would be required under this chapter.46959

       As used in this section, "qualifying border county" is any 46960
county that shares a border with a state in which the total rate 46961
of excise tax on cigarettes is less than the rate imposed by 46962
sections 5743.02 and 5743.32 of the Revised Code by at least 46963
forty-five mills per cigarette.46964

       Sec. 5745.02.  (A) The annual report filed under section46965
5745.03 of the Revised Code determines a taxpayer's Ohio net46966
income and the portion of Ohio net income to be apportioned to a46967
municipal corporation.46968

       (B) A taxpayer's Ohio net income is determined by multiplying 46969
the taxpayer's adjusted federal taxable income by the sum of the 46970
property factor multiplied by one-third, the payroll factor 46971
multiplied by one-third, and the sales factor multiplied by46972
one-third. If the denominator of one of the factors is zero, the46973
remaining two factors each shall be multiplied by one-half instead46974
of one-third; if the denominator of two of the factors is zero,46975
the remaining factor shall be multiplied by one. The property,46976
payroll, and sales factors shall be determined in the manner46977
prescribed by divisions (B)(1), (2), and (3) of this section.46978

       (1) The property factor is a fraction, the numerator of which46979
is the average value of the taxpayer's real and tangible personal46980
property owned or rented, and used in business in this state46981
during the taxable year, and the denominator of which is the46982
average value of all the taxpayer's real and tangible personal46983
property owned or rented, and used in business everywhere during46984
such year. Property owned by the taxpayer is valued at its46985
original cost. Property rented by the taxpayer is valued at eight46986
times the net annual rental rate. "Net annual rental rate" means46987
the annual rental rate paid by the taxpayer less any annual rental46988
rate received by the taxpayer from subrentals. The average value46989
of property shall be determined by averaging the values at the46990
beginning and the end of the taxable year, but the tax46991
commissioner may require the averaging of monthly values during46992
the taxable year, if reasonably required to reflect properly the46993
average value of the taxpayer's property.46994

       (2) The payroll factor is a fraction, the numerator of which46995
is the total amount paid in this state during the taxable year by46996
the taxpayer for compensation, and the denominator of which is the46997
total compensation paid everywhere by the taxpayer during such46998
year. Compensation means any form of remuneration paid to an46999
employee for personal services. Compensation is paid in this state 47000
if: (a) the recipient's service is performed entirely within this 47001
state, (b) the recipient's service is performed both within and 47002
without this state, but the service performed without this state 47003
is incidental to the recipient's service within this state, or (c) 47004
some of the service is performed within this state and either the 47005
base of operations, or if there is no base of operations, the 47006
place from which the service is directed or controlled is within 47007
this state, or the base of operations or the place from which the 47008
service is directed or controlled is not in any state in which 47009
some part of the service is performed, but the recipient's 47010
residence is in this state.47011

       (3) The sales factor is a fraction, the numerator of which is47012
the total sales in this state by the taxpayer during the taxable47013
year, and the denominator of which is the total sales by the47014
taxpayer everywhere during such year. Sales of electricity shall47015
be sitused to this state in the manner provided under section47016
5733.059 of the Revised Code. In determining the numerator and47017
denominator of the sales factor, receipts from the sale or other47018
disposal of a capital asset or an asset described in section 123147019
of the Internal Revenue Code shall be eliminated. Also, in47020
determining the numerator and denominator of the sales factor, in47021
the case of a reporting taxpayer owning at least eighty per cent47022
of the issued and outstanding common stock of one or more47023
insurance companies or public utilities, except an electric47024
company, a combined company, or a telephone company, or owning at47025
least twenty-five per cent of the issued and outstanding common47026
stock of one or more financial institutions, receipts received by47027
the reporting taxpayer from such utilities, insurance companies, 47028
and financial institutions shall be eliminated.47029

       For the purpose of division (B)(3) of this section, sales of47030
tangible personal property are in this state where such property47031
is received in this state by the purchaser. In the case of47032
delivery of tangible personal property by common carrier or by47033
other means of transportation, the place at which such property is47034
ultimately received after all transportation has been completed47035
shall be considered as the place at which such property is47036
received by the purchaser. Direct delivery in this state, other47037
than for purposes of transportation, to a person or firm47038
designated by a purchaser constitutes delivery to the purchaser in47039
this state, and direct delivery outside this state to a person or47040
firm designated by a purchaser does not constitute delivery to the47041
purchaser in this state, regardless of where title passes or other47042
conditions of sale.47043

       Sales, other than sales of electricity or tangible personal47044
property, are in this state if either the income-producing 47045
activity is performed solely in this state, or the 47046
income-producing activity is performed both within and without 47047
this state and a greater proportion of the income-producing 47048
activity is performed within this state than in any other state, 47049
based on costs of performance.47050

       For the purposes of division (B)(3) of this section, the tax 47051
commissioner may adopt rules to apportion sales within this state.47052

       (C) The portion of a taxpayer's Ohio net income taxable by47053
each municipal corporation imposing an income tax shall be47054
determined by multiplying the taxpayer's Ohio net income by the47055
sum of the municipal property factor multiplied by one-third, the47056
municipal payroll factor multiplied by one-third, and the47057
municipal sales factor multiplied by one-third, and subtracting47058
from the product so obtained any "municipal net operating loss47059
carryforward from prior taxable years." If the denominator of one47060
of the factors is zero, the remaining two factors each shall be47061
multiplied by one-half instead of one-third; if the denominator of47062
two of the factors is zero, the remaining factor shall be47063
multiplied by one. In calculating the "municipal net operating47064
loss carryforward from prior taxable years" for each municipal47065
corporation, net operating losses are apportioned in and out of a47066
municipal corporation for the taxable year in which the net47067
operating loss occurs in the same manner that positive net income47068
would have been so apportioned. Any net operating loss for a47069
municipal corporation may be applied to subsequent net income in47070
that municipal corporation to reduce that income to zero or until47071
the net operating loss has been fully used as a deduction. The47072
unused portion of net operating losses for each taxable year47073
apportioned to a municipal corporation may only be applied against47074
the income apportioned to that municipal corporation for five47075
subsequent taxable years. Net operating losses occurring in47076
taxable years ending before 2002 may not be subtracted under this47077
section.47078

       A taxpayer's municipal property, municipal payroll, and47079
municipal sales factors for a municipal corporation shall be47080
determined as provided in divisions (C)(1), (2), and (3) of this47081
section.47082

       (1) The municipal property factor is the quotient obtained by47083
dividing (a) the average value of real and tangible personal47084
property owned or rented by the taxpayer and used in business in47085
the municipal corporation during the taxable year by (b) the47086
average value of all of the taxpayer's real and tangible personal47087
property owned or rented and used in business during that taxable47088
year in this state. The value and average value of such property47089
shall be determined in the same manner provided in division (B)(1)47090
of this section.47091

       (2) The municipal payroll factor is the quotient obtained by47092
dividing (a) the total amount of compensation earned in the47093
municipal corporation by the taxpayer's employees during the47094
taxable year for services performed for the taxpayer and that is47095
subject to income tax withholding by the municipal corporation by47096
(b) the total amount of compensation paid by the taxpayer to its47097
employees in this state during the taxable year. Compensation has47098
the same meaning as in division (B)(2) of this section.47099

       (3) The municipal sales factor is a fraction, the numerator47100
of which is the taxpayer's total sales in a municipal corporation47101
during the taxable year, and the denominator of which is the47102
taxpayer's total sales in this state during such year.47103

       For the purpose of division (C)(3) of this section, sales of47104
tangible personal property are in the municipal corporation where47105
such property is received in the municipal corporation by the47106
purchaser. Sales of electricity directly to the consumercustomer, 47107
as defined in section 5733.059 of the Revised Code, shall be47108
considered sales of tangible personal property. In the case of the 47109
delivery of tangible personal property by common carrier or by47110
other means of transportation, the place at which such property47111
ultimately is received after all transportation has been completed47112
shall be considered as the place at which the property is received47113
by the purchaser. Direct delivery in the municipal corporation,47114
other than for purposes of transportation, to a person or firm47115
designated by a purchaser constitutes delivery to the purchaser in47116
that municipal corporation, and direct delivery outside the47117
municipal corporation to a person or firm designated by a47118
purchaser does not constitute delivery to the purchaser in that47119
municipal corporation, regardless of where title passes or other47120
conditions of sale. Sales, other than sales of tangible personal47121
property, are in the municipal corporation if either:47122

       (a) The income-producing activity is performed solely in the47123
municipal corporation;47124

       (b) The income-producing activity is performed both within47125
and without the municipal corporation and a greater proportion of47126
the income-producing activity is performed within that municipal47127
corporation than any other location in this state, based on costs47128
of performance.47129

       For the purposes of division (C)(3) of this section, the tax 47130
commissioner may adopt rules to apportion sales within each 47131
municipal corporation.47132

       (D) If a taxpayer is a combined company as defined in section47133
5727.01 of the Revised Code, the municipal property, payroll, and 47134
sales factors under division (C) of this section shall be adjusted 47135
as follows:47136

       (1) The numerator of the municipal property factor shall47137
include only the value, as determined under division (C)(1) of47138
this section, of the company's real and tangible property in the47139
municipal corporation attributed to the company's activity as an47140
electric company using the same methodology prescribed under47141
section 5727.03 of the Revised Code for taxable tangible personal47142
property.47143

       (2) The numerator of the municipal payroll factor shall47144
include only compensation paid in the municipal corporation by the47145
company to its employees for personal services rendered in the47146
company's activity as an electric company.47147

       (3) The numerator of the municipal sales factor shall include 47148
only the sales of tangible personal property and services, as 47149
determined under division (C)(3) of this section, made in the47150
municipal corporation in the course of the company's activity as47151
an electric company.47152

       (E)(1) If the provisions for apportioning adjusted federal47153
taxable income or Ohio net income under divisions (B), (C), and 47154
(D) of this section do not fairly represent business activity in 47155
this state or among municipal corporations, the tax commissioner 47156
may adopt rules for apportioning such income by an alternative47157
method that fairly represents business activity in this state or 47158
among municipal corporations.47159

       (2) If any of the factors determined under division (B), (C), 47160
or (D) of this section does not fairly represent the extent of a 47161
taxpayer's business activity in this state or among municipal47162
corporations, the taxpayer may request, or the tax commissioner47163
may require, that the taxpayer's adjusted federal taxable income47164
or Ohio net income be determined by an alternative method,47165
including any of the alternative methods enumerated in division47166
(B)(2)(d) of section 5733.05 of the Revised Code. A taxpayer47167
requesting an alternative method shall make the request in writing47168
to the tax commissioner either with the annual report, a timely47169
filed amended report, or a timely filed petition for reassessment.47170
When the tax commissioner requires or permits an alternative47171
method under division (E)(2) of this section, the tax commissioner47172
shall cause a written notice to that effect to be delivered to any47173
municipal corporation that would be affected by application of the47174
alternative method. Nothing in this division shall be construed47175
to extend any statute of limitations under this chapter.47176

       (F)(1) The tax commissioner may adopt rules providing for the 47177
combination of adjusted federal taxable incomes of taxpayers47178
satisfying the ownership or control requirements of section47179
5733.052 of the Revised Code if the tax commissioner finds that47180
such combinations are necessary to properly reflect adjusted47181
federal taxable income, Ohio net income, or the portion of Ohio47182
net income to be taxable by municipal corporations.47183

       (2) A taxpayer satisfying the ownership or control47184
requirements of section 5733.052 of the Revised Code with respect47185
to one or more other taxpayers may not combine their adjusted47186
federal taxable incomes for the purposes of this section unless47187
rules are adopted under division (F)(1) of this section allowing47188
such a combination or the tax commissioner finds that such a47189
combination is necessary to properly reflect the taxpayers'47190
adjusted federal taxable incomes, Ohio net incomes, or the portion47191
of Ohio net incomes to be subject to taxation within a municipal47192
corporation.47193

       (G) The tax commissioner may adopt rules providing for 47194
alternative apportionment methods for a telephone company.47195

       Sec. 5745.05.  (A) Prior to the first day of March, June,47196
September, and December, the tax commissioner shall certify to the47197
director of budget and management the amount to be paid to each47198
municipal corporation, as indicated on the declaration of47199
estimated tax reports and annual reports received under sections47200
5745.03 and 5745.04 of the Revised Code, less any amounts47201
previously distributed and net of any audit adjustments made by47202
the tax commissioner. Not later than the first day of March, June, 47203
September, and December, the director of budget and management 47204
shall provide for payment of the amount certified to each 47205
municipal corporation from the municipal income tax fund, plus a 47206
pro rata share of any investment earnings accruing to the fund 47207
since the previous payment under this section apportioned among 47208
municipal corporations entitled to such payments in proportion to 47209
the amount certified by the tax commissioner.47210

       (B) If the tax commissioner determines that the amount of tax47211
paid by a taxpayer and distributed to a municipal corporation47212
under this section for a taxable year exceeds the amount payable47213
to that municipal corporation under this chapter after accounting47214
for amounts remitted with the annual report and as estimated47215
taxes, the tax commissioner shall permit the taxpayer to credit47216
the excess against the taxpayer's payments to the municipal47217
corporation of estimated taxes remitted for an ensuing taxable47218
year under section 5745.04 of the Revised Code. If, upon the47219
written request of the taxpayer, the tax commissioner determines47220
that the excess to be so credited is likely to exceed the amount47221
of estimated taxes payable by the taxpayer to the municipal47222
corporation during the ensuing twelve months, the tax commissioner47223
shall so notify the municipal corporation and the municipal47224
corporation shall issue a refund of the excess to the taxpayer47225
within ninety days after receiving such a notice. Interest shall47226
accrue on the amount to be refunded and is payable to the taxpayer47227
at the rate per annum prescribed by section 5703.47 of the Revised47228
Code from the ninety-first day after the notice is received by the47229
municipal corporation until the day the refund is paid. 47230
Immediately after notifying a municipal corporation under this 47231
division of an excess to be refunded, the commissioner also shall 47232
notify the director of budget and management of the amount of the 47233
excess, and the director shall transfer from the municipal income 47234
tax administrative fund to the municipal income tax fund one and 47235
one-half per cent of the amount of the excess. The commissioner 47236
shall include the transferred amount in the computation of the 47237
amount due the municipal corporation in the next certification to 47238
the director under division (A) of this section.47239

       Sec. 5745.13.  If, upon examination of any books, records,47240
reports, or other documents of a taxpayer, the tax commissioner47241
determines that an adjustment shall be made in the portion of the47242
taxpayer's income that is to be apportioned to a municipal47243
corporation, the tax commissioner shall notify the taxpayer and,47244
if the adjustment causes an adjustment in the taxpayer's tax owed 47245
to a municipal corporation for the taxpayer's taxable year of more 47246
than five hundred dollars, shall notify each affectedthat47247
municipal corporation that the taxpayer's tax has been adjusted.47248

       Any municipal corporation to which such a notice is issued47249
may request a review and redetermination of the taxpayer's federal47250
taxable income, Ohio net income, or the portion of Ohio net income47251
apportioned to the municipal corporation by filing a petition with47252
the tax commissioner not later than sixty days after the tax47253
commissioner issues the notice. The petition shall be filed either 47254
personally or by certified mail, and shall indicate the objections 47255
of the municipal corporation.47256

       Upon receiving such a petition, if a hearing is requested the47257
tax commissioner shall assign a time and place for a hearing on47258
the petition and shall notify the petitioner of the time and place47259
of the hearing by ordinary mail. The tax commissioner may continue 47260
the hearing from time to time as necessary. The tax commissioner 47261
shall make any correction to the taxpayer's federal taxable 47262
income, Ohio net income, or apportionment of Ohio net income that 47263
the commissioner finds proper, and issue notice of any correction47264
by ordinary mail to the petitioner, to each other municipal 47265
corporation affected by the correction of the apportionment, and 47266
to the taxpayer. The tax commissioner's decision on the matter is 47267
final, and is not subject to further appeal.47268

       Sec. 5747.03.  (A) All money collected under this chapter47269
arising from the taxes imposed by section 5747.02 or 5747.41 of 47270
the Revised Code shall be credited to the general revenue fund, 47271
except that the treasurer of state shall:47272

       (1) Credit an amount equal to four and two-tenths per cent of 47273
those taxes collected under this chapter to the local government 47274
fund, which is hereby created in the state treasury, for47275
distribution in accordance with section 5747.50 of the Revised47276
Code;47277

       (2) Credit an amount equal to five and seven-tenths per cent 47278
of those taxes collected under this chapter to the library and47279
local government support fund, which is hereby created in the47280
state treasury, for distribution in accordance with section47281
5747.47 of the Revised Code;47282

       (3) At, at the beginning of each calendar quarter, credit to47283
the Ohio political party fund, pursuant to section 3517.16 of the47284
Revised Code, an amount equal to the total dollar value realized47285
from the taxpayer exercise of the income tax checkoff option on47286
tax forms processed during the preceding calendar quarter;47287

       (4) Credit an amount equal to six-tenths of one per cent of47288
those taxes collected under this chapter to the local government47289
revenue assistance fund for distribution in accordance with47290
section 5747.61 of the Revised Code.47291

       (B)(1) Following the crediting of moneys pursuant to division 47292
(A) of this section, the remainder deposited in the general 47293
revenue fund shall be distributed pursuant to division (F) of 47294
section 321.24 and section 323.156 of the Revised Code; to make 47295
subsidy payments to institutions of higher education from47296
appropriations to the Ohio board of regents; to support47297
expenditures for programs and services for the mentally ill,47298
mentally retarded, developmentally disabled, and elderly; for47299
primary and secondary education; for medical assistance; and for47300
any other purposes authorized by law, subject to the limitation47301
that at least fifty per cent of the income tax collected by the47302
state from the tax imposed by section 5747.02 of the Revised Code47303
shall be returned pursuant to Section 9 of Article XII, Ohio47304
Constitution.47305

       (2) To ensure that such constitutional requirement is47306
satisfied the tax commissioner shall, on or before the thirtieth47307
day of June of each year, from the best information available to47308
the tax commissioner, determine and certify for each county to the 47309
director of budget and management the amount of taxes collected 47310
under this chapter from the tax imposed under section 5747.02 of 47311
the Revised Code during the preceding calendar year that are 47312
required to be returned to the county by Section 9 of Article XII, 47313
Ohio Constitution. The director shall provide for payment from the47314
general revenue fund to the county in the amount, if any, that the 47315
sum of the amount so certified for that county exceeds the sum of 47316
the following:47317

       (a) The sum of the payments from the general revenue fund for 47318
the preceding calendar year credited to the credit of the county's47319
undivided income tax fund pursuant to division (F) of section47320
321.24 and section 323.156 of the Revised Code or made directly 47321
from the general revenue fund to political subdivisions located in 47322
the county;47323

       (b) The sum of the amounts from the general revenue fund47324
distributed in the county during the preceding calendar year for47325
subsidy payments to institutions of higher education from47326
appropriations to the Ohio board of regents; for programs and47327
services for mentally ill, mentally retarded, developmentally47328
disabled, and elderly persons; for primary and secondary47329
education; and for medical assistance.47330

       (c) TheIn the case of payments made by the director under 47331
this division in 2007, the total amount distributed to the county 47332
during the preceding calendar year from the local government fund 47333
and the local government revenue assistance fund, and, in the case 47334
of payments made by the director under this division in subsequent 47335
calendar years, the amount distributed to the county from the 47336
local communities fund;47337

       (d) TheIn the case of payments made by the director under 47338
this division in 2007, the total amount distributed to the county 47339
during the preceding calendar year from the library and local 47340
government support fund;47341

       (e) The amount distributed to the county during the preceding 47342
calendar year from the local government revenue assistance fund47343
and, in the case of payments made by the director under this 47344
division in subsequent calendar years, the amount distributed to 47345
the county from the local libraries fund.47346

       Payments under this division shall be credited to the47347
county's undivided income tax fund, except that, notwithstanding47348
section 5705.14 of the Revised Code, such payments may be47349
transferred by the board of county commissioners to the county47350
general fund by resolution adopted with the affirmative vote of47351
two-thirds of the members thereof.47352

       (C) All payments received in each month from taxes imposed47353
under Chapter 5748. of the Revised Code and any penalties or47354
interest thereon shall be paid into the school district income tax 47355
fund, which is hereby created in the state treasury, except that 47356
an amount equal to the following portion of such payments shall be 47357
paid into the general school district income tax administrative 47358
fund, which is hereby created in the state treasury:47359

       (1) One and three-quarters of one per cent of those received 47360
in fiscal year 1996;47361

       (2) One and one-half per cent of those received in fiscal47362
year 1997 and thereafter.47363

       Money in the school district income tax administrative fund47364
shall be used by the tax commissioner to defray costs incurred in47365
administering the school district's income tax, including the cost 47366
of providing employers with information regarding the rate of tax 47367
imposed by any school district. Any moneys remaining in the fund 47368
after such use shall be deposited in the school district income 47369
tax fund.47370

       All interest earned on moneys in the school district income 47371
tax fund shall be credited to the fund.47372

       (D)(1)(a) Within thirty days of the end of each calendar47373
quarter ending on the last day of March, June, September, and47374
December, the director of budget and management shall make a47375
payment from the school district income tax fund to each school47376
district for which school district income tax revenue was received 47377
during that quarter. The amount of the payment shall equal the 47378
balance in the school district's account at the end of that 47379
quarter.47380

       (b) After a school district ceases to levy an income tax, the47381
director of budget and management shall adjust the payments under 47382
division (D)(1)(a) of this section to retain sufficient money in47383
the school district's account to pay refunds. For the calendar 47384
quarters ending on the last day of March and December of the 47385
calendar year following the last calendar year the tax is levied, 47386
the director shall make the payments in the amount required under 47387
division (D)(1)(a) of this section. For the calendar quarter 47388
ending on the last day of June of the calendar year following the 47389
last calendar year the tax is levied, the director shall make a 47390
payment equal to nine-tenths of the balance in the account at the 47391
end of that quarter. For the calendar quarter ending on the last 47392
day of September of the calendar year following the last calendar 47393
year the tax is levied, the director shall make no payment. For 47394
the second and succeeding calendar years following the last 47395
calendar year the tax is levied, the director shall make one 47396
payment each year, within thirty days of the last day of June, in 47397
an amount equal to the balance in the district's account on the 47398
last day of June.47399

       (2) Moneys paid to a school district under this division47400
shall be deposited in its school district income tax fund. All47401
interest earned on moneys in the school district income tax fund47402
shall be apportioned by the tax commissioner pro rata among the47403
school districts in the proportions and at the times the districts 47404
are entitled to receive payments under this division.47405

       Sec. 5747.46.  As used in sections 5747.46 and 5747.47 of the 47406
Revised Code:47407

       (A) "Year's fund balance" means the amount credited to the47408
library and local government supportlibraries fund during a 47409
calendar year.47410

       (B) "Distribution year" means the calendar year during which 47411
a year's fund balance is distributed under section 5747.47 of the 47412
Revised Code.47413

       (C) "CPI" means the consumer price index for all urban47414
consumers (United States city average, all items), prepared by the 47415
United States department of labor, bureau of labor statistics.47416

       (D) "Inflation factor" means the quotient obtained by47417
dividing the CPI for May of the year preceding the distribution47418
year by the CPI for May of the second preceding year. If the the47419
quotient so obtained is less than one, the inflation factor shall47420
equal one.47421

       (E) "Population" means whichever of the following has most47422
recently been issued, as of the first day of June preceding the47423
distribution year:47424

       (1) The most recent decennial census figures that include47425
population figures for each county in the state;47426

       (2) The most current issue of "Current Population Reports:47427
Local Population Estimates" issued by the United States bureau of47428
the census that contains population estimates for each county in47429
the state and the state.47430

       (F) "County's equalization ratio for a distribution year"47431
means a percentage computed for that county as follows:47432

       (1) Square the per cent that the county's population is of47433
the state's population;47434

       (2) Divide the product so obtained by the per cent that the 47435
county's total entitlement for the preceding year is of all47436
counties' total entitlements for the preceding year;47437

       (3) Divide the quotient so obtained by the sum of the47438
quotients so obtained for all counties.47439

       (G) "Total entitlement" means, with respect to a distribution 47440
year, the sum of a county's guaranteed share plus its share of the 47441
excess.47442

       (1) "Guaranteed share" means, for a distribution year, the47443
product obtained by multiplying a county's total entitlement for47444
the preceding distribution year by the inflaction factor. If the47445
sum of the guaranteed shares for all counties exceeds the year's47446
fund balance, the guaranteed shares of all counties shall be47447
reduced by a percentage that will result in the sum of such47448
guaranteed shares being equal to the year's fund balance.47449

       (2) "Share of excess" means, for a distribution year, the47450
product obtained by multiplying a county's equalization ratio by47451
the difference between the year's fund balance and the sum of the47452
guaranteed shares for all counties. If the sum of the guaranteed47453
shares for all counties exceeds the year's fund balance the share47454
of the excess for all counties is zero.47455

       (H) "Net distribution" means the sum of the payments made to 47456
a county's library and local government supportlibraries fund 47457
during a distribution year, adjusted as follows:47458

       (1) If the county received an overpayment during the47459
preceding distribution year, add the amount of the overpayment;47460

       (2) If the county received an underpayment during the47461
preceding distribution year, deduct the amount of the47462
underpayment.47463

       (I) "Overpayment" or "underpayment" for a distribution year 47464
means the amount by which the net distribution to a county's47465
library and local government supportlibraries fund during that47466
distribution year exceeded or was less than the county's total47467
entitlement for that year.47468

       All computations made under this section shall be rounded to 47469
the nearest one-hundredth of one per cent.47470

       Sec. 5747.47. (A)(1) By the twentieth day of July of each 47471
year, the tax commissioner shall estimate and certify the 47472
following for each county to its county auditor:47473

       (a) Its guaranteed share of the ensuing year's fund balance;47474

       (b) Its share of the excess of the ensuing year's fund 47475
balance;47476

       (c) Its total entitlement.47477

       (2) In December and in June following such estimations and 47478
certifications, the commissioner shall revise such estimates and 47479
certify such revised estimates to the respective county auditors.47480

       (B) By the tenth day of each month the commissioner shall 47481
distribute the amount credited to the library and local government 47482
supportlibraries fund from taxes collected under this chapter 47483
during the preceding monthin the current month under section 47484
131.51 of the Revised Code. The distributions shall be made as 47485
follows:47486

       (1) During the first six months of each year, each county 47487
shall be paid a percentage of the balance that is the same per 47488
cent that the revised estimate of the county's total entitlement 47489
certified in December under division (A)(2) of this section is of 47490
the sum of such revised estimates of the total entitlements for 47491
all counties.47492

       (2) During the last six months, each county shall be paid a 47493
percentage of the balance that is the same per cent that the 47494
revised estimate of the county's total entitlement certified in 47495
June under division (A)(2) of this section is of the sum of such 47496
revised estimates of the total entitlements for all counties.47497

       (3) During each of the first six months of each year, the 47498
payments made to each county shall be adjusted as follows:47499

       (a) If the county received an overpayment during the 47500
preceding distribution year, reduce the sum of the payments by the 47501
amount of such overpayment. The reduction shall be apportioned 47502
over the six months.47503

       (b) If the county received an underpayment during the 47504
preceding distribution year, increase the sum of the payments by 47505
the amount of such underpayment. The increase shall be apportioned 47506
over the six months.47507

       (C) By the twentieth day of December of each year, the tax 47508
commissioner shall determine and certify to the auditor of each 47509
county each of the following with respect to the current 47510
distribution year:47511

       (1) The year's fund balance;47512

       (2) Each county's guaranteed share;47513

       (3) Each county's share of the excess;47514

       (4) Each county's total entitlement;47515

       (5) Each county's net distribution;47516

       (6) The amount by which each county's net distribution 47517
exceeded or was less than its total entitlement, which amount 47518
shall constitute the county's overpayment or underpayment for 47519
purposes of division (B)(3) of this section in the ensuing 47520
distribution year.47521

       Sec. 5747.48.  On the fifteenth day of each month, the county 47522
treasurer shall distribute the balance in the county library and47523
local government supportlibraries fund among the county, boards 47524
of public library trustees, municipal corporations, and boards of 47525
township park commissioners for which the county budget commission 47526
has fixed an allocation from the fund in that year in accordance 47527
with section 5705.32 of the Revised Code in the same proportions 47528
that each such entity's allocation as fixed by the commission is 47529
of the total of all such allocations in that year.47530

       All money received into the treasury of a municipal47531
corporation or county shall be credited to the general fund47532
therein, provided that in a municipal corporation there shall be47533
credited to the funds established under division (D) of section47534
5705.09 of the Revised Code a portion of the total amount to be47535
credited to funds of the municipal corporation, which portion47536
shall be determined by multiplying the total amount to be credited 47537
by the percentage that the funds credited under division (D) of 47538
said section in 1938 bore to all the funds credited under said 47539
section in 1938. If a municipal corporation is in default with 47540
respect to the principal or interest of any outstanding notes or 47541
bonds, the moneys distributed under this section shall be credited 47542
to the funds established under divisions (A), (B), (C), and (D) of 47543
section 5705.09 of the Revised Code, in the same proportion in 47544
which the funds derived from the levy for the previous year on the 47545
general tax list and duplicate are divided.47546

       Sec. 5747.50.  (A) As used in this section:47547

       (1) "County's proportionate share of the calendar year 2007 47548
LGF and LGRAF distributions" means the percentage computed for the 47549
county under division (B)(1)(a) of section 5747.501 of the Revised 47550
Code for use in the current calendar year.47551

       (2) "1983 share" means the sum of all payments made to a47552
county under section 5747.50 of the Revised Code during 1983 under 47553
all versions of such section that were in effect during such year 47554
plus the payments made to the county's undivided local government 47555
fund in 1983 from the tax imposed on deposits under division (C) 47556
of section 5707.03 of the Revised Code.47557

       (3) "Amount available for distribution under division (B) of 47558
this section" means for any calendar year, both of the following:47559

       (a) Nine-tenths of the difference between the amount47560
available for distribution under this section during that year and 47561
the deposit tax revenue of all counties;47562

       (b) The deposit tax revenue of all counties less six million 47563
dollars. 47564

       Each year, an amount equal to the amount available for47565
distribution under division (B) of this section shall be47566
distributed from the local government fund as provided in that47567
division. The balance in the fund available for distribution in47568
that year under this section and not available for distribution47569
under this division shall be distributed in accordance with47570
division (C) of this section. The tax commissioner shall determine 47571
in each month what proportion of that month's local government 47572
fund balance shall be distributed under division (B) of this 47573
section and what proportion shall be distributed under division 47574
(C) of this section"County's proportionate share of the total 47575
amount of the local communities fund additional revenue formula" 47576
means each county's proportionate share of the state's population 47577
as determined for and certified to the county for distributions to 47578
be made during the current calendar year under division (B)(2)(a) 47579
of section 5747.501 of the Revised Code. If prior to the first day 47580
of January of the current calendar year the federal government has 47581
issued a revision to the population figures reflected in the 47582
estimate produced pursuant to division (B)(2)(a) of section 47583
5747.501 of the Revised Code, such revised population figures 47584
shall be used for making the distributions during the current 47585
calendar year.47586

       (3) "2007 LGF and LGRAF county distribution base available in 47587
that month" means the lesser of the amounts described in division 47588
(A)(3)(a) and (b) of this section, provided that the amount shall 47589
not be less than zero:47590

       (a) The total amount available for distribution to counties 47591
from the local communities fund during the current month.47592

       (b) The total amount distributed to counties from the local 47593
government fund and the local government revenue assistance fund 47594
to counties in calendar year 2007 less the total amount 47595
distributed to counties under division (B)(1) of this section 47596
during previous months of the current calendar year.47597

       (4) "Local communities fund additional revenue distribution 47598
base available during that month" means the total amount available 47599
for distribution to counties during the month from the local 47600
communities fund, less any amounts to be distributed in that month 47601
from the local communities fund under division (B)(1) of this 47602
section, provided that the local communities fund additional 47603
revenue distribution base available during that month shall not be 47604
less than zero.47605

       (5) "Total amount available for distribution to counties" 47606
means the total amount available for distribution from the local 47607
communities fund during the current month less the total amount 47608
available for distribution to municipal corporations during the 47609
current month under division (C) of this section. 47610

       (B) On or before the tenth day of each month, the tax47611
commissioner shall provide for payment to the county treasurer of47612
each county of an amount equal to the sum of:47613

       (1) The county's proportionate share of the calendar year 47614
2007 LGF and LGRAF distributions multiplied by the 2007 LGF and 47615
LGRAF county distribution base available in that month, provided 47616
that if the 2007 LGF and LGRAF county distribution base available 47617
in that month is zero, no payment shall be made under division 47618
(B)(1) of this section for the month or the remainder of the 47619
calendar year; and47620

       (2) The county's proportionate share of the total amount of 47621
the local governmentcommunities fund additional revenue formula 47622
multiplied by the local communities fund additional revenue 47623
distribution base available for distribution during that month 47624
under this division, except as otherwise provided and in such a 47625
way that on the last day of each calendar year, each county shall 47626
have received an amount equal to its proportionate share of the 47627
amount available for distribution under this division during that 47628
year. Counties whose proportionate shares are less than their 1983 47629
shares shall receive an amount equal to their 1983 shares during 47630
the year in lieu of their proportionate shares, and the amounts 47631
required to be paid to all other counties shall be proportionately 47632
reduced to fund such deficiency. If any county receives payments 47633
in any year that exceed the amount to which it is entitled, that 47634
excess shall be deducted from the payments due the county in the 47635
ensuing calendar year and apportioned among and paid to the 47636
counties that did not receive any such excess.47637

       The amount paid to any county in any month shall not be less 47638
than twenty-five thousand dollars unless a smaller payment is 47639
required in order to avoid paying that county more during the year 47640
than the amount to which it is entitled for that year.47641

       Money received into the treasury of a county under this47642
division shall be credited to the undivided local government47643
communities fund in the treasury of the county on or before the 47644
fifteenth day of each month. TheOn or before the twentieth day of 47645
each month, the county auditor shall issue warrants against all of 47646
the undivided local governmentcommunities fund in the county 47647
treasury in the respective amounts allowed as provided in section 47648
5747.51 of the Revised Code, and the treasurer shall distribute 47649
and pay such sums to the subdivision therein. 47650

       (C)(1) As used in division (C) of this section:47651

       (a) "Total amount available for distribution to 47652
municipalities during the current month" means the product 47653
obtained by multiplying the total amount available for 47654
distribution from the local communities fund during the current 47655
month by the aggregate municipal share.47656

       (b) "Aggregate municipal share" means the quotient obtained 47657
by dividing the total amount distributed directly from the local 47658
government fund to municipal corporations during calendar year 47659
2007 by the total distributions from the local government fund and 47660
local government revenue assistance fund during calendar year 47661
2007.47662

       (2) On or before the tenth day of each month, the tax47663
commissioner shall provide for payment from the local communities 47664
fund to each municipal corporation which had in effect during the 47665
preceding calendar year a tax imposed under Chapter 718. of the 47666
Revised Code. The amount paid to each municipal corporation shall 47667
bear the samean amount equal to the product derived by 47668
multiplying the municipal corporation's percentage toof the total 47669
amount to be distributed to all such municipal corporations under 47670
this division as the total income taxes collected by such 47671
municipal corporation during the secondcalendar year preceding 47672
the year in which distribution is made bears to the total amount 47673
of such taxes collected by all municipal corporations during such 47674
period2007 by the total amount available for distribution to 47675
municipal corporations during the current month. Payments47676

       (3) Payments received by a municipal corporation under this 47677
division shall be paid into its general fund and may be used for 47678
any lawful purpose. 47679

       (4) The amount distributed to municipal corporations under 47680
this division during any calendar year shall not exceed the amount 47681
distributed directly from the local government fund to municipal 47682
corporations during calendar year 2007. If that maximum amount is 47683
reached during any month, distributions to municipal corporations 47684
in that month shall be as provided in divisions (C)(1) and (2) of 47685
this section, but no further distributions shall be made to 47686
municipal corporations under division (C) of this section during 47687
the remainder of the calendar year.47688

       (5) Upon being informed of a municipal corporation's 47689
dissolution, the tax commissioner shall cease providing for 47690
payments to that municipal corporation under division (C) of this 47691
section. The proportionate shares of the total amount available 47692
for distribution to each of the remaining municipal corporations 47693
under this division shall be increased on a pro rata basis.47694

       (D) Each municipal corporation which has in effect a tax47695
imposed under Chapter 718. of the Revised Code shall, no later47696
than the thirty-first day of August of each year, certify to the47697
tax commissioner the total amount of income taxes collected by47698
such municipal corporation pursuant to such chapter during the47699
preceding calendar year. The tax commissioner shallmay withhold47700
payment of local governmentcommunities fund moneys pursuant to 47701
division (C) of this section from any municipal corporation for 47702
failure to comply with this reporting requirement.47703

       Sec. 5747.501.  (A) ByOn or before the fifteenth47704
twenty-fifth day of DecemberJuly of each year, the tax 47705
commissioner shall estimate and certify to each county auditor the47706
amount to be paid intodistributed from the local government47707
communities fund for distribution to each undivided local 47708
communities fund during the following calendar year under section 47709
5747.50 of the Revised Code. The commissionerestimate shall then 47710
determineequal the sum of the separate amounts that would be paid 47711
to each county if the amount so certified were distributed47712
computed under divisions (A)(B)(1) and (2) of this section as 47713
follows:47714

       (1)(a) As used in this division and in section 5747.50 of the 47715
Revised Code, "deposit tax revenue" means one hundred forty-five 47716
and forty-five one-hundredths per cent of the payments made to the 47717
county's undivided local government fund in 1983 from the tax 47718
imposed on deposits under division (C) of section 5707.03 of the 47719
Revised Code.47720

       (b) Compute each county's deposit tax revenue.47721

       (c) Determine how much each county would receive if47722
nine-tenths of the difference between the amount certified under47723
division (A) of this section and the sum of all counties' deposit47724
tax revenues, less six million dollars, were allocated among the47725
counties in the following year as follows:47726

       (i) Seventy-five per cent of said amount shall be apportioned 47727
in the ratio that the total of the real, public utility, and 47728
tangible personal property tax duplicates of the municipal 47729
corporations, or parts thereof, in the county for the year next 47730
preceding the year in which the computation is made bears to the 47731
total aggregate real, public utility, and tangible personal 47732
property tax duplicates of all the municipal corporations in the 47733
state for the same year.47734

       (ii) Twenty-five per cent shall be apportioned among all the 47735
counties in the ratio that the population of the county at the 47736
last federal decennial census bears to the total population of the 47737
state.47738

       (iii) Adjust the sum of the allocations under divisions47739
(A)(1)(c)(i) and (ii) for each county so that the sum allocated to 47740
each county under those divisions is at least two hundred47741
twenty-five thousand dollars. If such an adjustment is made, the47742
sum of the apportionments to the counties for which no adjustment47743
is necessary shall be proportionately reduced so that the sum of47744
the allocations to all counties equals the amount to be allocated47745
under divisions (A)(1)(c)(i) to (iii) of this section.47746

       (d) Add the amount allocated to each county under division47747
(A)(1)(c) to its deposit tax revenue.47748

       (2) Determine how much each county would receive if47749
nine-tenths of the amount certified by the commissioner, less six47750
million dollars, were allocated in the manner prescribed by47751
division (A)(1)(c) of this section.47752

       (B) Upon the completion of the computations required by47753
division (A) of this section, the commissioner shall assign to47754
each county, the amount computed for it under division (A)(1)(d)47755
of this section or the amount computed under division (A)(2) of47756
this section, whichever is the higher amount, and compute the per47757
cent that the assigned amount for each county is of the sum of the 47758
assigned amounts for all counties. The percentage so computed 47759
shall be the proportionate share of the county for the following 47760
calendar year for purposes of making the distributions required by 47761
section 5747.50 of the Revised Code(1) The product obtained by 47762
multiplying the percentage described in division (B)(1)(a) of this 47763
section by the amount described in division (B)(1)(b) of this 47764
section.47765

       (a) Each county's proportionate share of the total amount 47766
distributed to the counties from the local government fund and the 47767
local government revenue assistance fund during calendar year 47768
2007.47769

       (b) The total amount distributed to counties from the local 47770
government fund and the local government revenue assistance fund 47771
during calendar year 2007 adjusted downward if, and to the extent 47772
that, total local communities fund distributions to counties for 47773
the following year are projected to be less than what was 47774
distributed to counties from the local government fund and local 47775
government revenue assistance fund during calendar year 2007.47776

       (2) The product obtained by multiplying the percentage 47777
described in division (B)(2)(a) of this section by the amount 47778
described in division (B)(2)(b) of this section.47779

       (a) Each county's proportionate share of the state's 47780
population as reflected in the most recent federal decennial 47781
census or the federal government's most recent census estimates, 47782
whichever represents the most recent year.47783

       (b) The amount by which total estimated distributions from 47784
the local communities fund during the immediately succeeding 47785
calendar year, less the total estimated amount to be distributed 47786
from the fund to municipal corporations under division (C) of 47787
section 5747.50 of the Revised Code during the immediately 47788
succeeding calendar year, exceed the total amount distributed to 47789
counties from the local government fund and local government 47790
revenue assistance fund during calendar year 2007.47791

       Sec. 5747.51.  (A) Within ten days afterOn or before the 47792
fifteenthtwenty-fifth day of July of each year, the tax 47793
commissioner shall make and certify to the county auditor of each 47794
county an estimate of the amount of the local government47795
communities fund to be allocated to the undivided local government47796
communities fund of each county for the ensuing calendar year and47797
the estimated amount to be received by the undivided local47798
governmentcommunities fund of each county from the taxes levied 47799
pursuant to section 5707.03 of the Revised Code for the ensuing 47800
calendar year.47801

       (B) At each annual regular session of the county budget47802
commission convened pursuant to section 5705.27 of the Revised47803
Code, each auditor shall present to the commission the certificate47804
of the commissioner, the annual tax budget and estimates, and the47805
records showing the action of the commission in its last preceding47806
regular session. The estimates shown on the certificate of the47807
commissioner of the amount to be allocated from the local47808
governmentcommunities fund and the amount to be received from47809
taxes levied pursuant to section 5707.03 of the Revised Code shall 47810
be combined into one total comprising the estimate of the47811
undivided local governmentcommunities fund of the county. The 47812
commission, after extending to the representatives of each 47813
subdivision an opportunity to be heard, under oath administered by 47814
any member of the commission, and considering all the facts and 47815
information presented to it by the auditor, shall determine the 47816
amount of the undivided local governmentcommunities fund needed 47817
by and to be apportioned to each subdivision for current operating 47818
expenses, as shown in the tax budget of the subdivision. This 47819
determination shall be made pursuant to divisions (C) to (I) of 47820
this section, unless the commission has provided for a formula 47821
pursuant to section 5747.53 of the Revised Code.47822

       Nothing in this section prevents the budget commission, for47823
the purpose of apportioning the undivided local government47824
communities fund, from inquiring into the claimed needs of any47825
subdivision as stated in its tax budget, or from adjusting claimed 47826
needs to reflect actual needs. For the purposes of this section,47827
"current operating expenses" means the lawful expenditures of a47828
subdivision, except those for permanent improvements and except47829
payments for interest, sinking fund, and retirement of bonds,47830
notes, and certificates of indebtedness of the subdivision.47831

       (C) The commission shall determine the combined total of the47832
estimated expenditures, including transfers, from the general fund47833
and any special funds other than special funds established for47834
road and bridge; street construction, maintenance, and repair;47835
state highway improvement; and gas, water, sewer, and electric47836
public utilities operated by a subdivision, as shown in the47837
subdivision's tax budget for the ensuing calendar year.47838

       (D) From the combined total of expenditures calculated47839
pursuant to division (C) of this section, the commission shall47840
deduct the following expenditures, if included in these funds in47841
the tax budget:47842

       (1) Expenditures for permanent improvements as defined in47843
division (E) of section 5705.01 of the Revised Code;47844

       (2) In the case of counties and townships, transfers to the47845
road and bridge fund, and in the case of municipalities, transfers47846
to the street construction, maintenance, and repair fund and the47847
state highway improvement fund;47848

       (3) Expenditures for the payment of debt charges;47849

       (4) Expenditures for the payment of judgments.47850

       (E) In addition to the deductions made pursuant to division47851
(D) of this section, revenues accruing to the general fund and any47852
special fund considered under division (C) of this section from47853
the following sources shall be deducted from the combined total of47854
expenditures calculated pursuant to division (C) of this section:47855

       (1) Taxes levied within the ten-mill limitation, as defined47856
in section 5705.02 of the Revised Code;47857

       (2) The budget commission allocation of estimated county47858
library and local government supportlibraries fund revenues to be47859
distributed pursuant to section 5747.48 of the Revised Code;47860

       (3) Estimated unencumbered balances as shown on the tax47861
budget as of the thirty-first day of December of the current year47862
in the general fund, but not any estimated balance in any special47863
fund considered in division (C) of this section;47864

       (4) Revenue, including transfers, shown in the general fund47865
and any special funds other than special funds established for47866
road and bridge; street construction, maintenance, and repair;47867
state highway improvement; and gas, water, sewer, and electric47868
public utilities, from all other sources except those that a47869
subdivision receives from an additional tax or service charge47870
voted by its electorate or receives from special assessment or47871
revenue bond collection. For the purposes of this division, where47872
the charter of a municipal corporation prohibits the levy of an47873
income tax, an income tax levied by the legislative authority of47874
such municipal corporation pursuant to an amendment of the charter47875
of that municipal corporation to authorize such a levy represents47876
an additional tax voted by the electorate of that municipal47877
corporation. For the purposes of this division, any measure47878
adopted by a board of county commissioners pursuant to section47879
322.02, 324.02, 4504.02, or 5739.021 of the Revised Code,47880
including those measures upheld by the electorate in a referendum47881
conducted pursuant to section 322.021, 324.021, 4504.021, or47882
5739.022 of the Revised Code, shall not be considered an47883
additional tax voted by the electorate.47884

       Subject to division (G) of section 5705.29 of the Revised47885
Code, money in a reserve balance account established by a county,47886
township, or municipal corporation under section 5705.13 of the47887
Revised Code shall not be considered an unencumbered balance or47888
revenue under division (E)(3) or (4) of this section. Money in a 47889
reserve balance account established by a township under section 47890
5705.132 of the Revised Code shall not be considered an 47891
unencumbered balance or revenue under division (E)(3) or (4) of 47892
this section.47893

       If a county, township, or municipal corporation has created47894
and maintains a nonexpendable trust fund under section 5705.131 of47895
the Revised Code, the principal of the fund, and any additions to47896
the principal arising from sources other than the reinvestment of47897
investment earnings arising from such a fund, shall not be47898
considered an unencumbered balance or revenue under division47899
(E)(3) or (4) of this section. Only investment earnings arising47900
from investment of the principal or investment of such additions47901
to principal may be considered an unencumbered balance or revenue47902
under those divisions.47903

       (F) The total expenditures calculated pursuant to division47904
(C) of this section, less the deductions authorized in divisions47905
(D) and (E) of this section, shall be known as the "relative need"47906
of the subdivision, for the purposes of this section.47907

       (G) The budget commission shall total the relative need of47908
all participating subdivisions in the county, and shall compute a47909
relative need factor by dividing the total estimate of the47910
undivided local government fund by the total relative need of all47911
participating subdivisions.47912

       (H) The relative need of each subdivision shall be multiplied 47913
by the relative need factor to determine the proportionate share 47914
of the subdivision in the undivided local governmentcommunities47915
fund of the county; provided, that the maximum proportionate share 47916
of a county shall not exceed the following maximum percentages of 47917
the total estimate of the undivided local governmentcommunities47918
fund governed by the relationship of the percentage of the 47919
population of the county that resides within municipal47920
corporations within the county to the total population of the47921
county as reported in the reports on population in Ohio by the47922
department of development as of the twentieth day of July of the47923
year in which the tax budget is filed with the budget commission:47924

Percentage of Percentage share 47925
municipal population of the county 47926
within the county: shall not exceed: 47927
Less than forty-one per cent Sixty per cent 47928
Forty-one per cent or more but less 47929
than eighty-one per cent Fifty per cent 47930
Eighty-one per cent or more Thirty per cent 47931

       Where the proportionate share of the county exceeds the47932
limitations established in this division, the budget commission47933
shall adjust the proportionate shares determined pursuant to this47934
division so that the proportionate share of the county does not47935
exceed these limitations, and it shall increase the proportionate47936
shares of all other subdivisions on a pro rata basis. In counties47937
having a population of less than one hundred thousand, not less47938
than ten per cent shall be distributed to the townships therein.47939

       (I) The proportionate share of each subdivision in the47940
undivided local governmentcommunities fund determined pursuant to 47941
division (H) of this section for any calendar year shall not be 47942
less than the product of the average of the percentages of the 47943
undivided local government fund of the county as apportioned to 47944
that subdivision for the calendar years 1968, 1969, and 1970,47945
multiplied by the total amount of the undivided local government47946
fund of the county apportioned pursuant to former section 5735.2347947
of the Revised Code for the calendar year 1970. For the purposes47948
of this division, the total apportioned amount for the calendar47949
year 1970 shall be the amount actually allocated to the county in47950
1970 from the state collected intangible tax as levied by section47951
5707.03 of the Revised Code and distributed pursuant to section47952
5725.24 of the Revised Code, plus the amount received by the47953
county in the calendar year 1970 pursuant to division (B)(1) of47954
former section 5739.21 of the Revised Code, and distributed47955
pursuant to former section 5739.22 of the Revised Code. If the47956
total amount of the undivided local governmentcommunities fund 47957
for any calendar year is less than the amount of the undivided 47958
local government fund apportioned pursuant to former section 47959
5739.23 of the Revised Code for the calendar year 1970, the 47960
minimum amount guaranteed to each subdivision for that calendar 47961
year pursuant to this division shall be reduced on a basis 47962
proportionate to the amount by which the amount of the undivided 47963
local governmentcommunities fund for that calendar year is less 47964
than the amount of the undivided local government fund apportioned 47965
for the calendar year 1970.47966

       (J) On the basis of such apportionment, the county auditor47967
shall compute the percentage share of each such subdivision in the47968
undivided local governmentcommunities fund and shall at the same 47969
time certify to the tax commissioner the percentage share of the47970
county as a subdivision. No payment shall be made from the47971
undivided local governmentcommunities fund, except in accordance 47972
with such percentage shares.47973

       Within ten days after the budget commission has made its47974
apportionment, whether conducted pursuant to section 5747.51 or47975
5747.53 of the Revised Code, the auditor shall publish a list of47976
the subdivisions and the amount each is to receive from the47977
undivided local governmentcommunities fund and the percentage 47978
share of each subdivision, in a newspaper or newspapers of 47979
countywide circulation, and send a copy of such allocation to the 47980
tax commissioner.47981

       The county auditor shall also send by certified mail, return47982
receipt requested, a copy of such allocation to the fiscal officer47983
of each subdivision entitled to participate in the allocation of47984
the undivided local governmentcommunities fund of the county.47985
This copy shall constitute the official notice of the commission47986
action referred to in section 5705.37 of the Revised Code.47987

       All money received into the treasury of a subdivision from47988
the undivided local governmentcommunities fund in a county 47989
treasury shall be paid into the general fund and used for the 47990
current operating expenses of the subdivision.47991

       If a municipal corporation maintains a municipal university,47992
such municipal university, when the board of trustees so requests47993
the legislative authority of the municipal corporation, shall47994
participate in the money apportioned to such municipal corporation47995
from the total local governmentcommunities fund, however created 47996
and constituted, in such amount as requested by the board of 47997
trustees, provided such sum does not exceed nine per cent of the 47998
total amount paid to the municipal corporation.47999

       If any public official fails to maintain the records required48000
by sections 5747.50 to 5747.55 of the Revised Code or by the rules48001
issued by the tax commissioner, the auditor of state, or the48002
treasurer of state pursuant to such sections, or fails to comply48003
with any law relating to the enforcement of such sections, the48004
local governmentcommunities fund money allocated to the county48005
shallmay be withheld until such time as the public official has48006
complied with such sections or such law or the rules issued48007
pursuant thereto.48008

       Sec. 5747.52.  The form used by the county budget commission 48009
to calculate subdivision shares of the undivided local government48010
communities fund as apportioned pursuant to section 5747.51 of the48011
Revised Code shall be as follows:48012

Calculation of (name of subdivision) share of
48013

undivided local
government
communities
fund for
48014

(name of county) county
48015

Authorized expenditure for subdivision Total 48016
1. Estimated expenditures from general fund ..... 48017
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 ..... 48018
3. Total ..... 48019
Deductions from authorized expenditures 48020
4. Expenditures for permanent improvements ..... 48021
5. Transfers to road and bridge fund (counties and townships only) ..... 48022
6. Transfers to street construction, maintenance, and repair, and state highway improvements funds ..... 48023
7. Expenditures for the payment of debt charges ..... 48024
8. Expenditures for the payment of judgments ..... 48025
9. Taxes levied inside the "ten-mill limitation" ..... 48026
10. Budget commission allocation of estimated county library and local government support libraries fund revenues ..... 48027
11. Estimated unemcumbered balances as of December 31 of current year in the general funds as stated in the tax budget ..... 48028
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 ..... 48029
13. Total ..... 48030
Calculation of subdivision share 48031
14. Relative need of subdivision (line 3 less line 13) ..... 48032
15. Relative need factor for county (total estimate of undivided local government communities fund divided by total relative need of all participating subdivisions) ..... 48033
16. Proportionate share of subdivision (relative need of subdivision multiplied by relative need factor) ..... 48034
17. After any adjustments necessary to comply with statutory maximum share allowable to county ..... 48035
18. After any adjustments necessary to comply with statutory minimum share allowable to townships ..... 48036
19. After any adjustments necessary to comply with minimum guarantee in division (I) of section 5747.51 of the Revised Code ..... 48037
20. Proportionate share of subdivision (line 16, 17, 18, or 19, whichever is appropriate) ..... 48038

       Sec. 5747.53.  (A) As used in this section:48039

       (1) "City, located wholly or partially in the county, with48040
the greatest population" means the city, located wholly or48041
partially in the county, with the greatest population residing in48042
the county; however, if the county budget commission on or before48043
January 1, 1998, adopted an alternative method of apportionment48044
that was approved by the legislative authority of the city,48045
located partially in the county, with the greatest population but48046
not the greatest population residing in the county, "city, located48047
wholly or partially in the county, with the greatest population"48048
means the city, located wholly or partially in the county, with48049
the greatest population whether residing in the county or not, if48050
this alternative meaning is adopted by action of the board of48051
county commissioners and a majority of the boards of township48052
trustees and legislative authorities of municipal corporations48053
located wholly or partially in the county. If the county budget 48054
commission adopted a method or formula for apportioning the 48055
undivided local government fund under this section as this section 48056
existed on the effective date of its amendment by H.B. 119 of the 48057
127th general assembly, and, if it were not for the amendment 48058
replacing "undivided local government fund" with "undivided local 48059
communities fund" the undivided local government fund would have 48060
been apportioned among subdivisions eligible to participate in the 48061
fund on the basis of such method or formula, then such method or 48062
formula shall be used to apportion the undivided local communities 48063
fund among subdivisions eligible to participate in the fund.48064

       (2) "Participating political subdivision" means a municipal48065
corporation or township that satisfies all of the following:48066

       (a) It is located wholly or partially in the county.48067

       (b) It is not the city, located wholly or partially in the48068
county, with the greatest population.48069

       (c) Undivided local governmentcommunities fund moneys are 48070
apportioned to it under the county's alternative method or formula 48071
of apportionment in the current calendar year.48072

       (B) In lieu of the method of apportionment of the undivided48073
local governmentcommunities fund of the county provided by48074
section 5747.51 of the Revised Code, the county budget commission48075
may provide for the apportionment of the fund under an alternative 48076
method or on a formula basis as authorized by this section.48077

       Except as otherwise provided in division (C) of this section,48078
the alternative method of apportionment shall have first been48079
approved by all of the following governmental units: the board of48080
county commissioners; the legislative authority of the city,48081
located wholly or partially in the county, with the greatest48082
population; and a majority of the boards of township trustees and48083
legislative authorities of municipal corporations, located wholly48084
or partially in the county, excluding the legislative authority of48085
the city, located wholly or partially in the county, with the48086
greatest population. In granting or denying approval for an48087
alternative method of apportionment, the board of county48088
commissioners, boards of township trustees, and legislative48089
authorities of municipal corporations shall act by motion. A48090
motion to approve shall be passed upon a majority vote of the48091
members of a board of county commissioners, board of township48092
trustees, or legislative authority of a municipal corporation,48093
shall take effect immediately, and need not be published.48094

       Any alternative method of apportionment adopted and approved48095
under this division may be revised, amended, or repealed in the48096
same manner as it may be adopted and approved. If an alternative48097
method of apportionment adopted and approved under this division48098
is repealed, the undivided local governmentcommunities fund of 48099
the county shall be apportioned among the subdivisions eligible to48100
participate in the fund, commencing in the ensuing calendar year,48101
under the apportionment provided in section 5747.52 of the Revised48102
Code, unless the repeal occurs by operation of division (C) of48103
this section or a new method for apportionment of the fund is48104
provided in the action of repeal.48105

       (C) This division applies only in counties in which the city,48106
located wholly or partially in the county, with the greatest48107
population has a population of twenty thousand or less and a48108
population that is less than fifteen per cent of the total48109
population of the county. In such a county, the legislative48110
authorities or boards of township trustees of two or more48111
participating political subdivisions, which together have a48112
population residing in the county that is a majority of the total48113
population of the county, each may adopt a resolution to exclude48114
the approval otherwise required of the legislative authority of48115
the city, located wholly or partially in the county, with the48116
greatest population. All of the resolutions to exclude that48117
approval shall be adopted not later than the first Monday of48118
August of the year preceding the calendar year in which48119
distributions are to be made under an alternative method of48120
apportionment.48121

       A motion granting or denying approval of an alternative48122
method of apportionment under this division shall be adopted by a48123
majority vote of the members of the board of county commissioners48124
and by a majority vote of a majority of the boards of township48125
trustees and legislative authorities of the municipal corporations48126
located wholly or partially in the county, other than the city,48127
located wholly or partially in the county, with the greatest48128
population, shall take effect immediately, and need not be48129
published. The alternative method of apportionment under this48130
division shall be adopted and approved annually, not later than48131
the first Monday of August of the year preceding the calendar year48132
in which distributions are to be made under it. A motion granting48133
approval of an alternative method of apportionment under this48134
division repeals any existing alternative method of apportionment,48135
effective with distributions to be made from the fund in the48136
ensuing calendar year. An alternative method of apportionment48137
under this division shall not be revised or amended after the48138
first Monday of August of the year preceding the calendar year in48139
which distributions are to be made under it.48140

       (D) In determining an alternative method of apportionment48141
authorized by this section, the county budget commission may48142
include in the method any factor considered to be appropriate and48143
reliable, in the sole discretion of the county budget commission.48144

       (E) The limitations set forth in section 5747.51 of the48145
Revised Code, stating the maximum amount that the county may48146
receive from the undivided local governmentcommunities fund and 48147
the minimum amount the townships in counties having a population 48148
of less than one hundred thousand may receive from the fund, are48149
applicable to any alternative method of apportionment authorized48150
under this section.48151

       (F) On the basis of any alternative method of apportionment48152
adopted and approved as authorized by this section, as certified48153
by the auditor to the county treasurer, the county treasurer shall48154
make distribution of the money in the undivided local government48155
communities fund to each subdivision eligible to participate in 48156
the fund, and the auditor, when the amount of those shares is in 48157
the custody of the treasurer in the amounts so computed to be due 48158
the respective subdivisions, shall at the same time certify to the 48159
tax commissioner the percentage share of the county as a 48160
subdivision. All money received into the treasury of a subdivision 48161
from the undivided local governmentcommunities fund in a county48162
treasury shall be paid into the general fund and used for the48163
current operating expenses of the subdivision. If a municipal48164
corporation maintains a municipal university, the university, when48165
the board of trustees so requests the legislative authority of the 48166
municipal corporation, shall participate in the money apportioned 48167
to the municipal corporation from the total local government48168
communities fund, however created and constituted, in the amount 48169
requested by the board of trustees, provided that amount does not48170
exceed nine per cent of the total amount paid to the municipal48171
corporation.48172

       (G) The actions of the county budget commission taken48173
pursuant to this section are final and may not be appealed to the48174
board of tax appeals, except on the issues of abuse of discretion48175
and failure to comply with the formula.48176

       Sec. 5747.54.  The tax commissioner shall not distributemay 48177
withhold distributions of local governmentcommunities fund money 48178
to any county where the county auditor has failed to certify to 48179
the tax commissioner the percentage share of the undivided local 48180
governmentcommunities fund of the county as a subdivision for the 48181
year for which distribution is to be made. The director shallof 48182
budget and management may direct the tax commissioner to withhold 48183
from sucha county the percentage of the amount distributable 48184
thereto that constitutes the share of the county as a subdivision 48185
of the local communities fund so long as such county is indebted 48186
or otherwise obligated to the state, until such indebtedness or 48187
other obligation has been duly paid, but no distribution of such 48188
percentage share of the local governmentcommunities fund shall be 48189
withheld unless an itemized statement of such indebtedness is 48190
furnished the county auditor of the county from which the 48191
indebtedness is due at least thirty days prior to the withholding 48192
of the distribution.48193

       Any indebtedness or obligation of the state to a county shall 48194
be deducted from the amount owing to the state by such county in 48195
determining the indebtedness or obligation as to which48196
distribution is withheld.48197

       Sec. 5747.55.  The action of the county budget commission48198
under sections 5747.51 and 5747.62 of the Revised Code may be48199
appealed to the board of tax appeals in the manner and with the48200
effect provided in section 5705.37 of the Revised Code, in48201
accordance with the following rules:48202

       (A) The notice of appeal shall be signed by the authorized48203
fiscal officer and shall set forth in clear and concise language:48204

       (1) A statement of the action of the budget commission48205
appealed from, and the date of the receipt by the subdivision of48206
the official certificate or notice of such action;48207

       (2) The error or errors the taxing district believes the48208
budget commission made;48209

       (3) The specific relief sought by the taxing district.48210

       (B) The notice of appeal shall have attached thereto:48211

       (1) A certified copy of the resolution of the taxing48212
authority authorizing the fiscal officer to file the appeal;48213

       (2) An exact copy of the official certificate, or notice of 48214
the action of the budget commission appealed from;48215

       (3) An exact copy of the budget request filed with the budget 48216
commission by the complaining subdivision, with the date of filing 48217
noted thereon.48218

       (C) There shall also be attached to the notice of appeal a48219
statement showing:48220

       (1) The name of the fund involved, the total amount in48221
dollars allocated, and the exact amount in dollars allocated to48222
each participating subdivision;48223

       (2) The amount in dollars which the complaining subdivision 48224
believes it should have received;48225

       (3) The name of each participating subdivision, as well as48226
the name and address of the fiscal officer thereof, that the48227
complaining subdivision believes received more than its proper48228
share of the allocation, and the exact amount in dollars of such48229
alleged over-allocation.48230

       (D) Only the participating subdivisions named pursuant to48231
division (C) of this section are to be considered as appellees48232
before the board of tax appeals and no change shall, in any48233
amount, be made in the amount allocated to participating48234
subdivisions not appellees.48235

       (E) The total of the undivided local government fund or,48236
undivided local government revenue assistance fund, or local 48237
communities fund to be allocated by the board of tax appeals upon 48238
appeal is the total of that fund allocated by the budget 48239
commission to those subdivisions which are appellants and 48240
appellees before the board of tax appeals.48241

       Sec. 5747.77.  (A) As used in this section:48242

       (1) "Alternative fuel" means E85 blend fuel or blended 48243
biodiesel.48244

       (2) "Biodiesel" means a mono-alkyl ester combustible liquid 48245
fuel that is derived from vegetable oils or animal fats, or any 48246
combination of those reagents that meets the American society for 48247
testing and materials specification for biodiesel fuel (B100) 48248
blend stock distillate fuels.48249

       (3) "Blended biodiesel" means a blend of biodiesel with 48250
petroleum based diesel fuel in which the resultant product 48251
contains not less than twenty per cent biodiesel and meets the 48252
American society for testing and materials specification for 48253
blended diesel fuel.48254

       (4) "Diesel fuel" means any liquid fuel that is capable of 48255
use in discrete form or as a blend component in the operation of 48256
engines of the diesel type.48257

       (5) "Ethanol" means fermentation ethyl alcohol derived from 48258
agricultural products, including potatoes, cereal, grains, cheese 48259
whey, and sugar beets; forest products; or other renewable 48260
resources, including residue and waste generated from the 48261
production, processing, and marketing of agricultural products, 48262
forest products, and other renewable resources that meet all of 48263
the specifications in the American society for testing and 48264
materials (ASTM) specification D 4806-88 and is denatured as 48265
specified in Parts 20 and 21 of Title 27 of the Code of Federal 48266
Regulations.48267

       (6) "E85 blend fuel" means fuel containing eighty-five per 48268
cent or more ethanol, or containing any other percentage of not 48269
less than seventy per cent ethanol if the United States department 48270
of energy determines, by rule, that the lower percentage is 48271
necessary to provide for the requirements of cold start, safety, 48272
or other vehicle functions, and that meets the American society 48273
for testing and materials specification for E85 blend fuel.48274

       (7) "Retail dealer" means any person that is a taxpayer under 48275
this chapter that owns or operates a retail service station 48276
located in this state.48277

       (8) "Retail service station" means a location from which 48278
alternative fuel is sold to the general public and is dispensed or 48279
pumped directly into motor vehicle fuel tanks for consumption.48280

       (B) For taxable years ending in 2008 or 2009, there is hereby 48281
allowed a nonrefundable credit against the tax imposed by section 48282
5747.02 of the Revised Code for a retail dealer that sells 48283
alternative fuel. The credit for a dealer's taxable year ending in 48284
2008 shall equal fifteen cents per gallon of alternative fuel sold 48285
and dispensed through a metered pump at the retail dealer's retail 48286
service station during any part of calendar year 2007 or 2008 48287
included in that taxable year. The credit for a dealer's taxable 48288
year ending in 2009 shall equal fifteen cents per gallon of 48289
alternative fuel sold and dispensed through a metered pump at the 48290
retail dealer's retail service station during any part of calendar 48291
year 2008 included in that taxable year, plus thirteen cents per 48292
gallon of alternative fuel sold and dispensed in that manner 48293
during any part of calendar year 2009 included in that taxable 48294
year.48295

       The credit shall be calculated separately for each retail 48296
service station owned or operated by the retail dealer. The credit 48297
allowed under this section may not be claimed for alternative fuel 48298
sold or dispensed before January 1, 2008, or on or after January 48299
1, 2010.48300

       (C) The retail dealer shall claim the credit under this 48301
section in the order prescribed in section 5747.98 of the Revised 48302
Code. The credit shall not exceed the amount of tax otherwise due 48303
under section 5747.02 of the Revised Code after deducting any 48304
other credits that precede the credit claimed under this section 48305
in that order.48306

       (D) Nothing in this section limits or disallows pass-through 48307
treatment of the credit if the retail dealer is a pass-through 48308
entity. If the retail dealer is a pass-through entity, references 48309
in other divisions of this section to "taxable year" refer to the 48310
dealer's taxable year; an equity owner of the entity that is a 48311
taxpayer may claim the owner's distributive or proportionate share 48312
of the credit for the equity owner's taxable year that includes 48313
the last day of the entity's taxable year.48314

       Sec. 5747.98.  (A) To provide a uniform procedure for48315
calculating the amount of tax due under section 5747.02 of the48316
Revised Code, a taxpayer shall claim any credits to which the48317
taxpayer is entitled in the following order:48318

       (1) The retirement income credit under division (B) of48319
section 5747.055 of the Revised Code;48320

       (2) The senior citizen credit under division (C) of section48321
5747.05 of the Revised Code;48322

       (3) The lump sum distribution credit under division (D) of48323
section 5747.05 of the Revised Code;48324

       (4) The dependent care credit under section 5747.054 of the48325
Revised Code;48326

       (5) The lump sum retirement income credit under division (C)48327
of section 5747.055 of the Revised Code;48328

       (6) The lump sum retirement income credit under division (D)48329
of section 5747.055 of the Revised Code;48330

       (7) The lump sum retirement income credit under division (E)48331
of section 5747.055 of the Revised Code;48332

       (8) The low-income credit under section 5747.056 of the 48333
Revised Code;48334

       (9) The credit for displaced workers who pay for job training 48335
under section 5747.27 of the Revised Code;48336

       (10) The campaign contribution credit under section 5747.2948337
of the Revised Code;48338

       (11) The twenty-dollar personal exemption credit under48339
section 5747.022 of the Revised Code;48340

       (12) The joint filing credit under division (G) of section48341
5747.05 of the Revised Code;48342

       (13) The nonresident credit under division (A) of section48343
5747.05 of the Revised Code;48344

       (14) The credit for a resident's out-of-state income under48345
division (B) of section 5747.05 of the Revised Code;48346

       (15) The credit for employers that enter into agreements with 48347
child day-care centers under section 5747.34 of the Revised Code;48348

       (16) The credit for employers that reimburse employee child 48349
care expenses under section 5747.36 of the Revised Code;48350

       (17) The credit for adoption of a minor child under section48351
5747.37 of the Revised Code;48352

       (18) The credit for purchases of lights and reflectors under48353
section 5747.38 of the Revised Code;48354

       (19) The job retention credit under division (B) of section48355
5747.058 of the Revised Code;48356

       (20) The credit for purchases of new manufacturing machinery48357
and equipment under section 5747.26 or section 5747.261for 48358
selling alternative fuel under section 5747.77 of the Revised 48359
Code;48360

       (21) The second credit for purchases of new manufacturing48361
machinery and equipment and the credit for using Ohio coal under48362
section 5747.31 of the Revised Code;48363

       (22) The job training credit under section 5747.39 of the48364
Revised Code;48365

       (23) The enterprise zone credit under section 5709.66 of the48366
Revised Code;48367

       (24) The credit for the eligible costs associated with a48368
voluntary action under section 5747.32 of the Revised Code;48369

       (25) The credit for employers that establish on-site child48370
day-care centers under section 5747.35 of the Revised Code;48371

       (26) The ethanol plant investment credit under section48372
5747.75 of the Revised Code;48373

       (27) The credit for purchases of qualifying grape production48374
property under section 5747.28 of the Revised Code;48375

       (28) The export sales credit under section 5747.057 of the48376
Revised Code;48377

       (29) The credit for research and development and technology48378
transfer investors under section 5747.33 of the Revised Code;48379

       (30) The enterprise zone credits under section 5709.65 of the48380
Revised Code;48381

       (31) The research and development credit under section 48382
5747.331 of the Revised Code;48383

       (32) The refundable credit for rehabilitating a historic 48384
building under section 5747.76 of the Revised Code;48385

       (33) The refundable jobs creation credit under division (A)48386
of section 5747.058 of the Revised Code;48387

       (34) The refundable credit for taxes paid by a qualifying48388
entity granted under section 5747.059 of the Revised Code;48389

       (35) The refundable credits for taxes paid by a qualifying48390
pass-through entity granted under division (J) of section 5747.0848391
of the Revised Code;48392

       (36) The refundable credit for tax withheld under division48393
(B)(1) of section 5747.062 of the Revised Code;48394

       (37) The refundable credit under section 5747.80 of the 48395
Revised Code for losses on loans made to the Ohio venture capital 48396
program under sections 150.01 to 150.10 of the Revised Code.48397

       (B) For any credit, except the credits enumerated in 48398
divisions (A)(32) to (37) of this section and the credit granted 48399
under division (I) of section 5747.08 of the Revised Code, the 48400
amount of the credit for a taxable year shall not exceed the tax 48401
due after allowing for any other credit that precedes it in the 48402
order required under this section. Any excess amount of a 48403
particular credit may be carried forward if authorized under the 48404
section creating that credit. Nothing in this chapter shall be 48405
construed to allow a taxpayer to claim, directly or indirectly, a48406
credit more than once for a taxable year.48407

       Sec. 5748.01.  As used in this chapter:48408

       (A) "School district income tax" means an income tax adopted 48409
under one of the following:48410

       (1) Former section 5748.03 of the Revised Code as it existed 48411
prior to its repeal by Amended Substitute House Bill No. 291 of 48412
the 115th general assembly;48413

       (2) Section 5748.03 of the Revised Code as enacted in48414
Substitute Senate Bill No. 28 of the 118th general assembly;48415

       (3) Section 5748.08 of the Revised Code as enacted in Amended48416
Substitute Senate Bill No. 17 of the 122nd general assembly;48417

       (4) Section 5748.021 of the Revised Code;48418

       (5) Section 5748.081 of the Revised Code.48419

       (B) "Individual" means an individual subject to the tax48420
levied by section 5747.02 of the Revised Code.48421

       (C) "Estate" means an estate subject to the tax levied by48422
section 5747.02 of the Revised Code.48423

       (D) "Taxable year" means a taxable year as defined in48424
division (M) of section 5747.01 of the Revised Code.48425

       (E) "Taxable income" means:48426

       (1) In the case of an individual, one of the following, as 48427
specified in the resolution imposing the tax:48428

       (a) Ohio adjusted gross income for the taxable year as 48429
defined in division (A) of section 5747.01 of the Revised Code, 48430
less the exemptions provided by section 5747.02 of the Revised 48431
Code;48432

       (b) Wages, salaries, tips, and other employee compensation to 48433
the extent included in Ohio adjusted gross income as defined in 48434
section 5747.01 of the Revised Code, and net earnings from 48435
self-employment, as defined in section 1402(a) of the Internal 48436
Revenue Code, to the extent included in Ohio adjusted gross 48437
income.48438

       (2) In the case of an estate, taxable income for the taxable 48439
year as defined in division (S) of section 5747.01 of the Revised 48440
Code.48441

       (F) "Resident" of the school district means:48442

       (1) An individual who is a resident of this state as defined 48443
in division (I) of section 5747.01 of the Revised Code during all 48444
or a portion of the taxable year and who, during all or a portion 48445
of such period of state residency, is domiciled in the school 48446
district or lives in and maintains a permanent place of abode in 48447
the school district;48448

       (2) An estate of a decedent who, at the time of death, was 48449
domiciled in the school district.48450

       (G) "School district income" means:48451

       (1) With respect to an individual, the portion of the taxable 48452
income of an individual that is received by the individual during 48453
the portion of the taxable year that the individual is a resident 48454
of the school district and the school district income tax is in 48455
effect in that school district. An individual may have school 48456
district income with respect to more than one school district.48457

       (2) With respect to an estate, the taxable income of the48458
estate for the portion of the taxable year that the school48459
district income tax is in effect in that school district.48460

       (H) "Taxpayer" means an individual or estate having school48461
district income upon which a school district income tax is48462
imposed.48463

       (I) "School district purposes" means any of the purposes for 48464
which a tax may be levied pursuant to section 5705.21 of the48465
Revised Code, including the combined purposes authorized by 48466
section 5705.217 of the Revised Code.48467

       Sec. 5748.02.  (A) The board of education of any school48468
district, except a joint vocational school district, may declare, 48469
by resolution, the necessity of raising annually a specified 48470
amount of money for school district purposes. The resolution shall 48471
specify whether the income that is to be subject to the tax is 48472
taxable income of individuals and estates as defined in divisions 48473
(E)(1)(a) and (2) of section 5748.01 of the Revised Code or 48474
taxable income of individuals as defined in division (E)(1)(b) of 48475
that section. A copy of the resolution shall be certified to the 48476
tax commissioner no later than eighty-five days prior to the date 48477
of the election at which the board intends to propose a levy under 48478
this section. Upon receipt of the copy of the resolution, the tax 48479
commissioner shall estimate both of the following:48480

       (1) The property tax rate that would have to be imposed in48481
the current year by the district to produce an equivalent amount48482
of money;48483

       (2) The income tax rate that would have had to have been in 48484
effect for the current year to produce an equivalent amount of48485
money from a school district income tax.48486

       Within ten days of receiving the copy of the board's48487
resolution, the commissioner shall prepare these estimates and48488
certify them to the board. Upon receipt of the certification, the 48489
board may adopt a resolution proposing an income tax under48490
division (B) of this section at the estimated rate contained in48491
the certification rounded to the nearest one-fourthone-tenth of 48492
one per cent. The commissioner's certification applies only to the48493
board's proposal to levy an income tax at the election for which48494
the board requested the certification. If the board intends to48495
submit a proposal to levy an income tax at any other election, it48496
shall request another certification for that election in the48497
manner prescribed in this division.48498

       (B)(1) Upon the receipt of a certification from the tax48499
commissioner under division (A) of this section, a majority of the 48500
members of a board of education may adopt a resolution proposing 48501
the levy of an annual tax for school district purposes on school 48502
district income. The proposed levy may be for a continuing period 48503
of time or for a specified number of years. The resolution shall 48504
set forth the purpose for which the tax is to be imposed, the rate 48505
of the tax, which shall be the rate set forth in the 48506
commissioner's certification rounded to the nearest one-fourth48507
one-tenth of one per cent, the number of years the tax will be 48508
levied or that it will be levied for a continuing period of time, 48509
the date on which the tax shall take effect, which shall be the 48510
first day of January of any year following the year in which the 48511
question is submitted, and the date of the election at which the 48512
proposal shall be submitted to the electors of the district, which 48513
shall be on the date of a primary, general, or special election 48514
the date of which is consistent with section 3501.01 of the 48515
Revised Code. The resolution shall specify whether the income that 48516
is to be subject to the tax is taxable income of individuals and 48517
estates as defined in divisions (E)(1)(a) and (2) of section 48518
5748.01 of the Revised Code or taxable income of individuals as 48519
defined in division (E)(1)(b) of that section. The specification 48520
shall be the same as the specification in the resolution adopted 48521
and certified under division (A) of this section. If48522

       If the tax is to be levied for current expenses and permanent 48523
improvements, the resolution shall apportion the annual rate of 48524
the tax. The apportionment may be the same or different for each 48525
year the tax is levied, but the respective portions of the rate 48526
actually levied each year for current expenses and for permanent 48527
improvements shall be limited by the apportionment.48528

       If the board of education currently imposes an income tax 48529
pursuant to this chapter that is due to expire and a question is 48530
submitted under this section for a proposed income tax to take48531
effect upon the expiration of the existing tax, the board may 48532
specify in the resolution that the proposed tax renews the48533
expiring tax and is not an additional income tax, provided that 48534
the tax rate being proposed is no higher than the tax rate that is 48535
currently imposed.48536

       (2) A board of education adopting a resolution under division 48537
(B)(1) of this section proposing a school district income tax for 48538
a continuing period of time and limited to the purpose of current 48539
expenses may propose in that resolution to reduce the rate or 48540
rates of one or more of the school district's property taxes 48541
levied for a continuing period of time in excess of the ten-mill 48542
limitation for the purpose of current expenses. The reduction in 48543
the rate of a property tax may be any amount, expressed in mills 48544
per one dollar in valuation, not exceeding the rate at which the 48545
tax is authorized to be levied. The reduction in the rate of a tax 48546
shall first take effect for the tax year that includes the day on 48547
which the school district income tax first takes effect, and shall 48548
continue for each tax year that both the school district income 48549
tax and the property tax levy are in effect.48550

       In addition to the matters required to be set forth in the48551
resolution under division (B)(1) of this section, a resolution48552
containing a proposal to reduce the rate of one or more property48553
taxes shall state for each such tax the maximum rate at which it48554
currently may be levied and the maximum rate at which the tax48555
could be levied after the proposed reduction, expressed in mills48556
per one dollar in valuation, and that the tax is levied for a48557
continuing period of time.48558

       If a board of education proposes to reduce the rate of one or 48559
more property taxes under division (B)(2) of this section, the48560
board, when it makes the certification required under division (A) 48561
of this section, shall designate the specific levy or levies to be 48562
reduced, the maximum rate at which each levy currently is48563
authorized to be levied, and the rate by which each levy is48564
proposed to be reduced. The tax commissioner, when making the48565
certification to the board under division (A) of this section,48566
also shall certify the reduction in the total effective tax rate48567
for current expenses for each class of property that would have48568
resulted if the proposed reduction in the rate or rates had been48569
in effect the previous tax year. As used in this paragraph,48570
"effective tax rate" has the same meaning as in section 323.08 of48571
the Revised Code.48572

       (C) A resolution adopted under division (B) of this section 48573
shall go into immediate effect upon its passage, and no48574
publication of the resolution shall be necessary other than that48575
provided for in the notice of election. Immediately after its48576
adoption and at least seventy-five days prior to the election at48577
which the question will appear on the ballot, a copy of the48578
resolution shall be certified to the board of elections of the48579
proper county, which shall submit the proposal to the electors on48580
the date specified in the resolution. The form of the ballot shall 48581
be as provided in section 5748.03 of the Revised Code. Publication 48582
of notice of the election shall be made in one or more newspapers 48583
of general circulation in the county once a week for two 48584
consecutive weeks prior to the election, and, if the board of 48585
elections operates and maintains a web site, the board of 48586
elections shall post notice of the election on its web site for 48587
thirty days prior to the election. The notice shall contain the 48588
time and place of the election and the question to be submitted to 48589
the electors. The question covered by the resolution shall be48590
submitted as a separate proposition, but may be printed on the48591
same ballot with any other proposition submitted at the same48592
election, other than the election of officers.48593

       (D) No board of education shall submit the question of a tax 48594
on school district income to the electors of the district more 48595
than twice in any calendar year. If a board submits the question 48596
twice in any calendar year, one of the elections on the question 48597
shall be held on the date of the general election.48598

       (E)(1) No board of education may submit to the electors of 48599
the district the question of a tax on school district income on 48600
the taxable income of individuals as defined in division (E)(1)(b) 48601
of section 5748.01 of the Revised Code if that tax would be in 48602
addition to an existing tax on the taxable income of individuals 48603
and estates as defined in divisions (E)(1)(a) and (2) of that 48604
section.48605

        (2) No board of education may submit to the electors of the 48606
district the question of a tax on school district income on the 48607
taxable income of individuals and estates as defined in divisions 48608
(E)(1)(a) and (2) of section 5748.01 of the Revised Code if that 48609
tax would be in addition to an existing tax on the taxable income 48610
of individuals as defined in division (E)(1)(b) of that section.48611

       Sec. 5748.021. A board of education that levies a tax under 48612
section 5748.02 of the Revised Code on the school district income 48613
of individuals and estates as defined in divisions (G) and 48614
(E)(1)(a) and (2) of section 5748.01 of the Revised Code may 48615
declare, at any time, by a resolution adopted by a majority of its 48616
members, the necessity of raising annually a specified amount of 48617
money for school district purposes by replacing the existing tax 48618
with a tax on the school district income of individuals as defined 48619
in divisions (G)(1) and (E)(1)(b) of section 5748.01 of the 48620
Revised Code. The specified amount of money to be raised annually 48621
may be the same as, or more or less than, the amount of money 48622
raised annually by the existing tax.48623

       The board shall certify a copy of the resolution to the tax 48624
commissioner not later than the eighty-fifth day before the date 48625
of the election at which the board intends to propose the 48626
replacement to the electors of the school district. Not later than 48627
the tenth day after receiving the resolution, the tax commissioner 48628
shall estimate the tax rate that would be required in the school 48629
district annually to raise the amount of money specified in the 48630
resolution. The tax commissioner shall certify the estimate to the 48631
board.48632

       Upon receipt of the tax commissioner's estimate, the board 48633
may propose, by a resolution adopted by a majority of its members, 48634
to replace the existing tax on the school district income of 48635
individuals and estates as defined in divisions (G) and (E)(1)(a) 48636
and (2) of section 5748.01 of the Revised Code with the levy of an 48637
annual tax on the school district income of individuals as defined 48638
in divisions (G)(1) and (E)(1)(b) of section 5748.01 of the 48639
Revised Code. In the resolution, the board shall specify the rate 48640
of the replacement tax, whether the replacement tax is to be 48641
levied for a specified number of years or for a continuing time, 48642
the specific school district purposes for which the replacement 48643
tax is to be levied, the date on which the replacement tax will 48644
begin to be levied, the date of the election at which the question 48645
of the replacement is to be submitted to the electors of the 48646
school district, that the existing tax will cease to be levied and 48647
the replacement tax will begin to be levied if the replacement is 48648
approved by a majority of the electors voting on the replacement, 48649
and that if the replacement is not approved by a majority of the 48650
electors voting on the replacement the existing tax will remain in 48651
effect under its original authority for the remainder of its 48652
previously approved term. The resolution goes into immediate 48653
effect upon its adoption. Publication of the resolution is not 48654
necessary, and the information that will be provided in the notice 48655
of election is sufficient notice. At least seventy-five days 48656
before the date of the election at which the question of the 48657
replacement will be submitted to the electors of the school 48658
district, the board shall certify a copy of the resolution to the 48659
board of elections.48660

       The replacement tax shall have the same specific school 48661
district purposes as the existing tax, and its rate shall be the 48662
same as the tax commissioner's estimate rounded to the nearest 48663
one-fourthone-tenth of one per cent. The replacement tax shall 48664
begin to be levied on the first day of January of the year 48665
following the year in which the question of the replacement is 48666
submitted to and approved by the electors of the school district 48667
or on the first day of January of a later year, as specified in 48668
the resolution. The date of the election shall be the date of an 48669
otherwise scheduled primary, general, or special election.48670

       The board of elections shall make arrangements to submit the 48671
question of the replacement to the electors of the school district 48672
on the date specified in the resolution. The board of elections 48673
shall publish notice of the election on the question of the 48674
replacement in one or more newspapers of general circulation in 48675
the school district once a week for four consecutive weeks. The 48676
notice shall set forth the question to be submitted to the 48677
electors and the time and place of the election thereon.48678

       The question shall be submitted to the electors of the school 48679
district as a separate proposition, but may be printed on the same 48680
ballot with other propositions that are submitted at the same 48681
election, other than the election of officers. The form of the 48682
ballot shall be substantially as follows:48683

       "Shall the existing tax of ..... (state the rate) on the 48684
school district income of individuals and estates imposed by ..... 48685
(state the name of the school district) be replaced by a tax of 48686
..... (state the rate) on the earned income of individuals 48687
residing in the school district for ..... (state the number of 48688
years the tax is to be in effect or that it will be in effect for 48689
a continuing time), beginning ..... (state the date the new tax 48690
will take effect), for the purpose of ..... (state the specific 48691
school district purposes of the tax)? If the new tax is not 48692
approved, the existing tax will remain in effect under its 48693
original authority, for the remainder of its previously approved 48694
term.48695

For replacing the existing tax with the new tax 48696
Against replacing the existing tax with the new tax  " 48697

       The board of elections shall conduct and canvass the election 48698
in the same manner as regular elections in the school district for 48699
the election of county officers. The board shall certify the 48700
results of the election to the board of education and to the tax 48701
commissioner. If a majority of the electors voting on the question 48702
vote in favor of the replacement, the existing tax shall cease to 48703
be levied, and the replacement tax shall begin to be levied, on 48704
the date specified in the ballot question. If a majority of the 48705
electors voting on the question vote against the replacement, the 48706
existing tax shall continue to be levied under its original 48707
authority, for the remainder of its previously approved term.48708

       A board of education may not submit the question of replacing 48709
a tax more than twice in a calendar year. If a board submits the 48710
question more than once, one of the elections at which the 48711
question is submitted shall be on the date of a general election.48712

       If a board of education later intends to renew a replacement 48713
tax levied under this section, it shall repeat the procedure 48714
outlined in this section to do so, the replacement tax then being 48715
levied being the "existing tax" and the renewed replacement tax 48716
being the "replacement tax."48717

       Sec. 5748.022.  A majority of the members of a board of 48718
education of a school district levying a tax under section 5748.02 48719
of the Revised Code may adopt a resolution reducing the rate of 48720
the tax by a multiple of one-tenth of one per cent.48721

       The resolution shall set forth the current rate of the tax, 48722
the reduced rate of tax that results from adoption of the 48723
resolution, the purpose or purposes for which the tax is levied, 48724
the remaining number of years the tax will be levied or that it is 48725
levied for a continuing period of time, and the date on which the 48726
reduced tax rate shall take effect, which shall be the ensuing 48727
first day of January occurring at least sixty days after a copy of 48728
the resolution is certified to the tax commissioner.48729

       Sec. 5748.04. (A) The question of the repeal of a school48730
district income tax levied for more than five years may be48731
initiated not more than once in any five-year period by filing48732
with the board of elections of the appropriate counties not later48733
than seventy-five days before the general election in any year48734
after the year in which it is approved by the electors a petition48735
requesting that an election be held on the question. The petition48736
shall be signed by qualified electors residing in the school48737
district levying the income tax equal in number to ten per cent of48738
those voting for governor at the most recent gubernatorial48739
election.48740

       The board of elections shall determine whether the petition48741
is valid, and if it so determines, it shall submit the question to48742
the electors of the district at the next general election. The48743
election shall be conducted, canvassed, and certified in the same48744
manner as regular elections for county offices in the county.48745
Notice of the election shall be published in a newspaper of48746
general circulation in the district once a week for two 48747
consecutive weeks prior to the election, and, if the board of 48748
elections operates and maintains a web site, the board of 48749
elections shall post notice of the election on its web site for 48750
thirty days prior to the election. The notice shall state the 48751
purpose, time, and place of the election. The form of the ballot 48752
cast at the election shall be as follows:48753

       "Shall the annual income tax of ..... per cent, currently48754
levied on the school district income of individuals and estates by48755
.......... (state the name of the school district) for the purpose48756
of .......... (state purpose of the tax), be repealed?48757

        48758

 For repeal of the income tax 48759
 Against repeal of the income tax  " 48760

        48761

        (B)(1) If the tax is imposed on taxable income as defined in 48762
division (E)(1)(b) of section 5748.01 of the Revised Code, the 48763
form of the ballot shall be modified by stating that the tax 48764
currently is levied on the "earned income of individuals residing 48765
in the school district" in lieu of the "school district income of 48766
individuals and estates."48767

       (2) If the rate of one or more property tax levies was 48768
reduced for the duration of the income tax levy pursuant to 48769
division (B)(2) of section 5748.02 of the Revised Code, the form 48770
of the ballot shall be modified by adding the following language48771
immediately after "repealed": ", and shall the rate of an existing 48772
tax on property for the purpose of current expenses, which rate 48773
was reduced for the duration of the income tax, be INCREASED from 48774
..... mills to ..... mills per one dollar of valuation beginning 48775
in ..... (state the first year for which the rate of the property 48776
tax will increase)." In lieu of "for repeal of the income tax" and48777
"against repeal of the income tax," the phrases "for the issue" 48778
and "against the issue," respectively, shall be substituted.48779

       (3) If the rate of more than one property tax was reduced for48780
the duration of the income tax, the ballot language shall be48781
modified accordingly to express the rates at which those taxes48782
currently are levied and the rates to which the taxes would be48783
increased.48784

       (C) The question covered by the petition shall be submitted 48785
as a separate proposition, but it may be printed on the same 48786
ballot with any other proposition submitted at the same election 48787
other than the election of officers. If a majority of the 48788
qualified electors voting on the question vote in favor of it, the 48789
result shall be certified immediately after the canvass by the 48790
board of elections to the board of education of the school 48791
district and the tax commissioner, who shall thereupon, after the 48792
current year, cease to levy the tax, except that if notes have 48793
been issued pursuant to section 5748.05 of the Revised Code the 48794
tax commissioner shall continue to levy and collect under 48795
authority of the election authorizing the levy an annual amount, 48796
rounded upward to the nearest one-fourthone-tenth of one per 48797
cent, as will be sufficient to pay the debt charges on the notes 48798
as they fall due.48799

       (D) If a school district income tax repealed pursuant to this48800
section was approved in conjunction with a reduction in the rate48801
of one or more school district property taxes as provided in48802
division (B)(2) of section 5748.02 of the Revised Code, then each48803
such property tax may be levied after the current year at the rate48804
at which it could be levied prior to the reduction, subject to any48805
adjustments required by the county budget commission pursuant to48806
Chapter 5705. of the Revised Code. Upon the repeal of a school48807
district income tax under this section, the board of education may48808
resume levying a property tax, the rate of which has been reduced48809
pursuant to a question approved under section 5748.02 of the48810
Revised Code, at the rate the board originally was authorized to48811
levy the tax. A reduction in the rate of a property tax under48812
section 5748.02 of the Revised Code is a reduction in the rate at48813
which a board of education may levy that tax only for the period48814
during which a school district income tax is levied prior to any48815
repeal pursuant to this section. The resumption of the authority48816
to levy the tax upon such a repeal does not constitute a tax48817
levied in excess of the one per cent limitation prescribed by48818
Section 2 of Article XII, Ohio Constitution, or in excess of the48819
ten-mill limitation.48820

       (E) This section does not apply to school district income tax48821
levies that are levied for five or fewer years.48822

       Sec. 5748.08.  (A) The board of education of a city, local,48823
or exempted village school district, at any time by a vote of48824
two-thirds of all its members, may declare by resolution that it48825
may be necessary for the school district to do all of the48826
following:48827

       (1) Raise a specified amount of money for school district48828
purposes by levying an annual tax on school district income;48829

       (2) Issue general obligation bonds for permanent48830
improvements, stating in the resolution the necessity and purpose48831
of the bond issue and the amount, approximate date, estimated rate48832
of interest, and maximum number of years over which the principal48833
of the bonds may be paid;48834

       (3) Levy a tax outside the ten-mill limitation to pay debt48835
charges on the bonds and any anticipatory securities;48836

       (4) Submit the question of the school district income tax and 48837
bond issue to the electors of the district at a special election.48838

       The resolution shall specify whether the income that is to be 48839
subject to the tax is taxable income of individuals and estates as 48840
defined in divisions (E)(1)(a) and (2) of section 5748.01 of the 48841
Revised Code or taxable income of individuals as defined in 48842
division (E)(1)(b) of that section.48843

       On adoption of the resolution, the board shall certify a copy48844
of it to the tax commissioner and the county auditor no later than48845
ninety days prior to the date of the special election at which the48846
board intends to propose the income tax and bond issue. Not later48847
than ten days of receipt of the resolution, the tax commissioner,48848
in the same manner as required by division (A) of section 5748.0248849
of the Revised Code, shall estimate the rates designated in 48850
divisions (A)(1) and (2) of that section and certify them to the48851
board. Not later than ten days of receipt of the resolution, the48852
county auditor shall estimate and certify to the board the average48853
annual property tax rate required throughout the stated maturity48854
of the bonds to pay debt charges on the bonds, in the same manner48855
as under division (C) of section 133.18 of the Revised Code.48856

       (B) On receipt of the tax commissioner's and county auditor's 48857
certifications prepared under division (A) of this section, the 48858
board of education of the city, local, or exempted village school 48859
district, by a vote of two-thirds of all its members, may adopt a 48860
resolution proposing for a specified number of years or for a 48861
continuing period of time the levy of an annual tax for school 48862
district purposes on school district income and declaring that the 48863
amount of taxes that can be raised within the ten-mill limitation 48864
will be insufficient to provide an adequate amount for the present 48865
and future requirements of the school district; that it is 48866
necessary to issue general obligation bonds of the school district 48867
for specified permanent improvements and to levy an additional tax48868
in excess of the ten-mill limitation to pay the debt charges on48869
the bonds and any anticipatory securities; and that the question 48870
of the bonds and taxes shall be submitted to the electors of the48871
school district at a special election, which shall not be earlier48872
than seventy-five days after certification of the resolution to48873
the board of elections, and the date of which shall be consistent48874
with section 3501.01 of the Revised Code. The resolution shall48875
specify all of the following:48876

       (1) The purpose for which the school district income tax is48877
to be imposed and the rate of the tax, which shall be the rate set48878
forth in the tax commissioner's certification rounded to the48879
nearest one-fourthone-tenth of one per cent;48880

       (2) Whether the income that is to be subject to the tax is 48881
taxable income of individuals and estates as defined in divisions 48882
(E)(1)(a) and (2) of section 5748.01 of the Revised Code or 48883
taxable income of individuals as defined in division (E)(1)(b) of 48884
that section. The specification shall be the same as the 48885
specification in the resolution adopted and certified under 48886
division (A) of this section.48887

       (3) The number of years the tax will be levied, or that it48888
will be levied for a continuing period of time;48889

       (4) The date on which the tax shall take effect, which shall48890
be the first day of January of any year following the year in48891
which the question is submitted;48892

       (5) The county auditor's estimate of the average annual48893
property tax rate required throughout the stated maturity of the48894
bonds to pay debt charges on the bonds.48895

       (C) A resolution adopted under division (B) of this section48896
shall go into immediate effect upon its passage, and no48897
publication of the resolution shall be necessary other than that48898
provided for in the notice of election. Immediately after its48899
adoption and at least seventy-five days prior to the election at48900
which the question will appear on the ballot, the board of48901
education shall certify a copy of the resolution, along with48902
copies of the auditor's estimate and its resolution under division48903
(A) of this section, to the board of elections of the proper48904
county. The board of education shall make the arrangements for the 48905
submission of the question to the electors of the school district, 48906
and the election shall be conducted, canvassed, and certified in 48907
the same manner as regular elections in the district for the48908
election of county officers.48909

       The resolution shall be put before the electors as one ballot48910
question, with a majority vote indicating approval of the school48911
district income tax, the bond issue, and the levy to pay debt48912
charges on the bonds and any anticipatory securities. The board of48913
elections shall publish the notice of the election in one or more 48914
newspapers of general circulation in the school district once a 48915
week for two consecutive weeks prior to the election and, if the 48916
board of elections operates and maintains a web site, also shall 48917
post notice of the election on its web site for thirty days prior 48918
to the election. The notice of election shall state all of the48919
following:48920

       (1) The questions to be submitted to the electors;48921

       (2) The rate of the school district income tax;48922

       (3) The principal amount of the proposed bond issue;48923

       (4) The permanent improvements for which the bonds are to be48924
issued;48925

       (5) The maximum number of years over which the principal of48926
the bonds may be paid;48927

       (6) The estimated additional average annual property tax rate 48928
to pay the debt charges on the bonds, as certified by the county 48929
auditor;48930

       (7) The time and place of the special election.48931

       (D) The form of the ballot on a question submitted to the48932
electors under this section shall be as follows:48933

       "Shall the ........ school district be authorized to do both48934
of the following:48935

       (1) Impose an annual income tax of ...... (state the proposed 48936
rate of tax) on the school district income of individuals and of 48937
estates, for ........ (state the number of years the tax would be 48938
levied, or that it would be levied for a continuing period of 48939
time), beginning ........ (state the date the tax would first take 48940
effect), for the purpose of ........ (state the purpose of the 48941
tax)?48942

       (2) Issue bonds for the purpose of ....... in the principal48943
amount of $......, to be repaid annually over a maximum period of48944
....... years, and levy a property tax outside the ten-mill48945
limitation estimated by the county auditor to average over the48946
bond repayment period ....... mills for each one dollar of tax48947
valuation, which amounts to ....... (rate expressed in cents or48948
dollars and cents, such as "36 cents" or "$1.41") for each $100 of48949
tax valuation, to pay the annual debt charges on the bonds, and to48950
pay debt charges on any notes issued in anticipation of those48951
bonds?48952

        48953

 FOR THE INCOME TAX AND BOND ISSUE 48954
 AGAINST THE INCOME TAX AND BOND ISSUE  " 48955

        48956

       (E) If the question submitted to electors proposes a school 48957
district income tax only on the taxable income of individuals as 48958
defined in division (E)(1)(b) of section 5748.01 of the Revised 48959
Code, the form of the ballot shall be modified by stating that the 48960
tax is to be levied on the "earned income of individuals residing 48961
in the school district" in lieu of the "school district income of 48962
individuals and of estates."48963

       (F) The board of elections promptly shall certify the results 48964
of the election to the tax commissioner and the county auditor of 48965
the county in which the school district is located. If a majority 48966
of the electors voting on the question vote in favor of it, the 48967
income tax and the applicable provisions of Chapter 5747. of the48968
Revised Code shall take effect on the date specified in the48969
resolution, and the board of education may proceed with issuance48970
of the bonds and with the levy and collection of the property48971
taxes to pay debt charges on the bonds, at the additional rate or48972
any lesser rate in excess of the ten-mill limitation. Any48973
securities issued by the board of education under this section are48974
Chapter 133. securities, as that term is defined in section 133.0148975
of the Revised Code.48976

       (G) After approval of a question under this section, the48977
board of education may anticipate a fraction of the proceeds of48978
the school district income tax in accordance with section 5748.0548979
of the Revised Code. Any anticipation notes under this division48980
shall be issued as provided in section 133.24 of the Revised Code,48981
shall have principal payments during each year after the year of48982
their issuance over a period not to exceed five years, and may48983
have a principal payment in the year of their issuance.48984

       (H) The question of repeal of a school district income tax48985
levied for more than five years may be initiated and submitted in48986
accordance with section 5748.04 of the Revised Code.48987

       (I) No board of education shall submit a question under this48988
section to the electors of the school district more than twice in48989
any calendar year. If a board submits the question twice in any48990
calendar year, one of the elections on the question shall be held48991
on the date of the general election.48992

       Sec. 5751.20.  (A) As used in sections 5751.20 to 5751.22 of 48993
the Revised Code:48994

       (1) "School district," "joint vocational school district," 48995
"local taxing unit," "state education aid," "recognized 48996
valuation," "fixed-rate levy," and "fixed-sum levy" have the same 48997
meanings as used in section 5727.84 of the Revised Code.48998

       (2) "State education aid" for a school district means the sum 48999
of state aid amounts computed for the district under divisions 49000
(A), (C)(1), (C)(4), (D), (E), and (F) of section 3317.022; 49001
divisions (B), (C), and (D) of section 3317.023; divisions (L) and 49002
(N) of section 3317.024; section 3317.0216; and any unit payments 49003
for gifted student services paid under sections 3317.05, 3317.052, 49004
and 3317.053 of the Revised Code; except that, for fiscal years 49005
2008 and 2009, the amount computed for the district under Section 49006
269.20.80 of H.B. 119 of the 127th general assembly and as that 49007
section subsequently may be amended shall be substituted for the 49008
amount computed under division (D) of section 3317.022 of the 49009
Revised Code, and the amount computed under Section 269.30.80 of 49010
H.B. 119 of the 127th general assembly and as that section 49011
subsequently may be amended shall be included.49012

       (3) "State education aid" for a joint vocational school 49013
district means the sum of the state aid computed for the district 49014
under division (N) of section 3317.024 and section 3317.16 of the 49015
Revised Code, except that, for fiscal years 2008 and 2009, the 49016
amount computed under Section 269.30.80 of H.B. 119 of the 127th 49017
general assembly and as that section subsequently may be amended 49018
shall be included.49019

       (4) "State education aid offset" means the amount determined 49020
for each school district or joint vocational school district under 49021
division (A)(1) of section 5751.21 of the Revised Code.49022

       (3)(5) "Machinery and equipment property tax value loss" 49023
means the amount determined under division (C)(1) of this section.49024

       (4)(6) "Inventory property tax value loss" means the amount 49025
determined under division (C)(2) of this section.49026

       (5)(7) "Furniture and fixtures property tax value loss" means 49027
the amount determined under division (C)(3) of this section.49028

       (6)(8) "Machinery and equipment fixed-rate levy loss" means 49029
the amount determined under division (D)(1) of this section.49030

       (7)(9) "Inventory fixed-rate levy loss" means the amount 49031
determined under division (D)(2) of this section.49032

       (8)(10) "Furniture and fixtures fixed-rate levy loss" means 49033
the amount determined under division (D)(3) of this section.49034

       (9)(11) "Total fixed-rate levy loss" means the sum of the 49035
machinery and equipment fixed-rate levy loss, the inventory 49036
fixed-rate levy loss, the furniture and fixtures fixed-rate levy 49037
loss, and the telephone company fixed-rate levy loss.49038

       (10)(12) "Fixed-sum levy loss" means the amount determined 49039
under division (E) of this section.49040

       (11)(13) "Machinery and equipment" means personal property 49041
subject to the assessment rate specified in division (F) of 49042
section 5711.22 of the Revised Code.49043

       (12)(14) "Inventory" means personal property subject to the 49044
assessment rate specified in division (E) of section 5711.22 of 49045
the Revised Code.49046

       (13)(15) "Furniture and fixtures" means personal property 49047
subject to the assessment rate specified in division (G) of 49048
section 5711.22 of the Revised Code.49049

       (14)(16) "Qualifying levies" are levies in effect for tax 49050
year 2004 or applicable to tax year 2005 or approved at an 49051
election conducted before September 1, 2005. For the purpose of 49052
determining the rate of a qualifying levy authorized by section 49053
5705.212 or 5705.213 of the Revised Code, the rate shall be the 49054
rate that would be in effect for tax year 2010.49055

       (15)(17) "Telephone property" means tangible personal 49056
property of a telephone, telegraph, or interexchange 49057
telecommunications company subject to an assessment rate specified 49058
in section 5727.111 of the Revised Code in tax year 2004.49059

       (16)(18) "Telephone property tax value loss" means the amount 49060
determined under division (C)(4) of this section.49061

       (17)(19) "Telephone property fixed-rate levy loss" means the 49062
amount determined under division (D)(4) of this section.49063

       (B) The commercial activities tax receipts fund is hereby 49064
created in the state treasury and shall consist of money arising 49065
from the tax imposed under this chapter. All money in that fund 49066
shall be credited for each fiscal year in the following 49067
percentages to the general revenue fund, to the school district 49068
tangible property tax replacement fund, which is hereby created in 49069
the state treasury for the purpose of making the payments 49070
described in section 5751.21 of the Revised Code, and to the local 49071
government tangible property tax replacement fund, which is hereby 49072
created in the state treasury for the purpose of making the 49073
payments described in section 5751.22 of the Revised Code, in the 49074
following percentages:49075

Fiscal year General Revenue Fund School District Tangible Property Tax Replacement Fund Local Government Tangible Property Tax Replacement Fund 49076
2006 67.7% 22.6% 9.7% 49077
2007 0% 70.0% 30.0% 49078
2008 0% 70.0% 30.0% 49079
2009 0% 70.0% 30.0% 49080
2010 0% 70.0% 30.0% 49081
2011 0% 70.0% 30.0% 49082
2012 5.3% 70.0% 24.7% 49083
2013 19.4% 70.0% 10.6% 49084
2014 14.1% 70.0% 15.9% 49085
2015 17.6% 70.0% 12.4% 49086
2016 21.1% 70.0% 8.9% 49087
2017 24.6% 70.0% 5.4% 49088
2018 28.1% 70.0% 1.9% 49089
2019 and thereafter 100% 0% 0% 49090

       (C) Not later than September 15, 2005, the tax commissioner 49091
shall determine for each school district, joint vocational school 49092
district, and local taxing unit its machinery and equipment, 49093
inventory property, furniture and fixtures property, and telephone 49094
property tax value losses, which are the applicable amounts 49095
described in divisions (C)(1), (2), (3), and (4) of this section, 49096
except as provided in division (C)(5) of this section:49097

       (1) Machinery and equipment property tax value loss is the 49098
taxable value of machinery and equipment property as reported by 49099
taxpayers for tax year 2004 multiplied by:49100

       (a) For tax year 2006, thirty-three and eight-tenths per 49101
cent;49102

       (b) For tax year 2007, sixty-one and three-tenths per cent;49103

       (c) For tax year 2008, eighty-three per cent;49104

       (d) For tax year 2009 and thereafter, one hundred per cent.49105

       (2) Inventory property tax value loss is the taxable value of 49106
inventory property as reported by taxpayers for tax year 2004 49107
multiplied by:49108

       (a) For tax year 2006, a fraction, the numerator of which is 49109
five and three-fourths and the denominator of which is 49110
twenty-three;49111

        (b) For tax year 2007, a fraction, the numerator of which is 49112
nine and one-half and the denominator of which is twenty-three;49113

        (c) For tax year 2008, a fraction, the numerator of which is 49114
thirteen and one-fourth and the denominator of which is 49115
twenty-three;49116

        (d) For tax year 2009 and thereafter a fraction, the 49117
numerator of which is seventeen and the denominator of which is 49118
twenty-three.49119

        (3) Furniture and fixtures property tax value loss is the 49120
taxable value of furniture and fixture property as reported by 49121
taxpayers for tax year 2004 multiplied by:49122

        (a) For tax year 2006, twenty-five per cent;49123

        (b) For tax year 2007, fifty per cent;49124

        (c) For tax year 2008, seventy-five per cent;49125

        (d) For tax year 2009 and thereafter, one hundred per cent.49126

       The taxable value of property reported by taxpayers used in 49127
divisions (C)(1), (2), and (3) of this section shall be such 49128
values as determined to be final by the tax commissioner as of 49129
August 31, 2005. Such determinations shall be final except for any 49130
correction of a clerical error that was made prior to August 31, 49131
2005, by the tax commissioner.49132

       (4) Telephone property tax value loss is the taxable value of 49133
telephone property as taxpayers would have reported that property 49134
for tax year 2004 if the assessment rate for all telephone 49135
property for that year were twenty-five per cent, multiplied by:49136

       (a) For tax year 2006, zero per cent;49137

       (b) For tax year 2007, zero per cent;49138

       (c) For tax year 2008, zero per cent;49139

       (d) For tax year 2009, sixty per cent;49140

       (e) For tax year 2010, eighty per cent;49141

       (f) For tax year 2011 and thereafter, one hundred per cent.49142

       (5) Division (C)(5) of this section applies to any school 49143
district, joint vocational school district, or local taxing unit 49144
in a county in which is located a facility currently or formerly 49145
devoted to the enrichment or commercialization of uranium or 49146
uranium products, and for which the total taxable value of 49147
property listed on the general tax list of personal property for 49148
any tax year from tax year 2001 to tax year 2004 was fifty per 49149
cent or less of the taxable value of such property listed on the 49150
general tax list of personal property for the next preceding tax 49151
year.49152

       In computing the fixed-rate levy losses under divisions 49153
(D)(1), (2), and (3) of this section for any school district, 49154
joint vocational school district, or local taxing unit to which 49155
division (C)(5) of this section applies, the taxable value of such 49156
property as listed on the general tax list of personal property 49157
for tax year 2000 shall be substituted for the taxable value of 49158
such property as reported by taxpayers for tax year 2004, in the 49159
taxing district containing the uranium facility, if the taxable 49160
value listed for tax year 2000 is greater than the taxable value 49161
reported by taxpayers for tax year 2004. For the purpose of making 49162
the computations under divisions (D)(1), (2), and (3) of this 49163
section, the tax year 2000 valuation is to be allocated to 49164
machinery and equipment, inventory, and furniture and fixtures 49165
property in the same proportions as the tax year 2004 values. For 49166
the purpose of the calculations in division (A) of section 5751.21 49167
of the Revised Code, the tax year 2004 taxable values shall be 49168
used.49169

       To facilitate the calculations required under division (C) of 49170
this section, the county auditor, upon request from the tax 49171
commissioner, shall provide by August 1, 2005, the values of 49172
machinery and equipment, inventory, and furniture and fixtures for 49173
all single-county personal property taxpayers for tax year 2004.49174

       (D) Not later than September 15, 2005, the tax commissioner 49175
shall determine for each tax year from 2006 through 2009 for each 49176
school district, joint vocational school district, and local 49177
taxing unit its machinery and equipment, inventory, and furniture 49178
and fixtures fixed-rate levy losses, and for each tax year from 49179
2006 through 2011 its telephone property fixed-rate levy loss, 49180
which are the applicable amounts described in divisions (D)(1), 49181
(2), (3), and (4) of this section:49182

       (1) The machinery and equipment fixed-rate levy loss is the 49183
machinery and equipment property tax value loss multiplied by the 49184
sum of the tax rates of fixed-rate qualifying levies.49185

       (2) The inventory fixed-rate loss is the inventory property 49186
tax value loss multiplied by the sum of the tax rates of 49187
fixed-rate qualifying levies.49188

        (3) The furniture and fixtures fixed-rate levy loss is the 49189
furniture and fixture property tax value loss multiplied by the 49190
sum of the tax rates of fixed-rate qualifying levies.49191

       (4) The telephone property fixed-rate levy loss is the 49192
telephone property tax value loss multiplied by the sum of the tax 49193
rates of fixed-rate qualifying levies.49194

       (E) Not later than September 15, 2005, the tax commissioner 49195
shall determine for each school district, joint vocational school 49196
district, and local taxing unit its fixed-sum levy loss. The 49197
fixed-sum levy loss is the amount obtained by subtracting the 49198
amount described in division (E)(2) of this section from the 49199
amount described in division (E)(1) of this section:49200

       (1) The sum of the machinery and equipment property tax value 49201
loss, the inventory property tax value loss, and the furniture and 49202
fixtures property tax value loss, and, for 2008 through 2017 the 49203
telephone property tax value loss of the district or unit 49204
multiplied by the sum of the fixed-sum tax rates of qualifying 49205
levies. For 2006 through 2010, this computation shall include all 49206
qualifying levies remaining in effect for the current tax year and 49207
any school district emergency levies that are qualifying levies 49208
not remaining in effect for the current year. For 2011 through 49209
2017, this computation shall include only qualifying levies 49210
remaining in effect for the current year. For purposes of this 49211
computation, a qualifying school district emergency levy remains 49212
in effect in a year after 2010 only if, for that year, the board 49213
of education levies a school district emergency levy for an annual 49214
sum at least equal to the annual sum levied by the board in tax 49215
year 2004 less the amount of the payment certified under this 49216
division for 2006.49217

       (2) The total taxable value in tax year 2004 less the sum of 49218
the machinery and equipment, inventory, furniture and fixtures, 49219
and telephone property tax value losses in each school district, 49220
joint vocational school district, and local taxing unit multiplied 49221
by one-half of one mill per dollar.49222

       (3) For the calculations in divisions (E)(1) and (2) of this 49223
section, the tax value losses are those that would be calculated 49224
for tax year 2009 under divisions (C)(1), (2), and (3) of this 49225
section and for tax year 2011 under division (C)(4) of this 49226
section.49227

       (4) To facilitate the calculation under divisions (D) and (E) 49228
of this section, not later than September 1, 2005, any school 49229
district, joint vocational school district, or local taxing unit 49230
that has a qualifying levy that was approved at an election 49231
conducted during 2005 before September 1, 2005, shall certify to 49232
the tax commissioner a copy of the county auditor's certificate of 49233
estimated property tax millage for such levy as required under 49234
division (B) of section 5705.03 of the Revised Code, which is the 49235
rate that shall be used in the calculations under such divisions.49236

       If the amount determined under division (E) of this section 49237
for any school district, joint vocational school district, or 49238
local taxing unit is greater than zero, that amount shall equal 49239
the reimbursement to be paid pursuant to division (D) of section 49240
5751.21 or division (A)(3) of section 5751.22 of the Revised Code, 49241
and the one-half of one mill that is subtracted under division 49242
(E)(2) of this section shall be apportioned among all contributing 49243
fixed-sum levies in the proportion that each levy bears to the sum 49244
of all fixed-sum levies within each school district, joint 49245
vocational school district, or local taxing unit.49246

       (F) Not later than October 1, 2005, the tax commissioner 49247
shall certify to the department of education for every school 49248
district and joint vocational school district the machinery and 49249
equipment, inventory, furniture and fixtures, and telephone 49250
property tax value losses determined under division (C) of this 49251
section, the machinery and equipment, inventory, furniture and 49252
fixtures, and telephone fixed-rate levy losses determined under 49253
division (D) of this section, and the fixed-sum levy losses 49254
calculated under division (E) of this section. The calculations 49255
under divisions (D) and (E) of this section shall separately 49256
display the levy loss for each levy eligible for reimbursement.49257

       (G) Not later than October 1, 2005, the tax commissioner 49258
shall certify the amount of the fixed-sum levy losses to the 49259
county auditor of each county in which a school district, joint 49260
vocational school district, or local taxing unit with a fixed-sum 49261
levy loss reimbursement has territory.49262

       Sec. 5751.21.  (A) Not later than the thirty-firstfifteenth49263
day of July of 2007 through 2017, the department of education 49264
shall consult with the director of budget and management and49265
determine the following for each school district and each joint 49266
vocational school district eligible for payment under division (B) 49267
of this section:49268

       (1) The state education aid offset, which is the difference 49269
obtained by subtracting the amount described in division (A)(1)(b) 49270
of this section from the amount described in division (A)(1)(a) of 49271
this section:49272

       (a) The state education aid computed for the school district 49273
or joint vocational school district for the current fiscal year as 49274
of the thirty-firstfifteenth day of July;49275

       (b) The state education aid that would be computed for the 49276
school district or joint vocational school district for the 49277
current fiscal year as of the thirty-firstfifteenth day of July 49278
if the recognized valuation included the machinery and equipment, 49279
inventory, furniture and fixtures, and telephone property tax 49280
value losses for the school district or joint vocational school 49281
district for the second preceding tax year.49282

       (2) The greater of zero or the difference obtained by 49283
subtracting the state education aid offset determined under 49284
division (A)(1) of this section from the sum of the machinery and 49285
equipment fixed-rate levy loss, the inventory fixed-rate levy 49286
loss, furniture and fixtures fixed-rate levy loss, and telephone 49287
property fixed-rate levy loss certified under division (F) of 49288
section 5751.20 of the Revised Code for all taxing districts in 49289
each school district and joint vocational school district for the 49290
second preceding tax year.49291

       By the fifthtwentieth day of AugustJuly of each such year, 49292
the department of education and the director of budget and 49293
management shall certifyagree upon the amount soto be determined 49294
under division (A)(1) of this section to the director of budget 49295
and management.49296

       (B) The department of education shall pay from the school 49297
district tangible property tax replacement fund to each school 49298
district and joint vocational school district all of the following 49299
for fixed-rate levy losses certified under division (F) of section 49300
5751.20 of the Revised Code:49301

       (1) On or before May 31, 2006, one-seventh of the total 49302
fixed-rate levy loss for tax year 2006;49303

       (2) On or before August 31, 2006, and October 31, 2006, 49304
one-half of six-sevenths of the total fixed-rate levy loss for tax 49305
year 2006;49306

       (3) On or before May 31, 2007, one-seventh of the total 49307
fixed-rate levy loss for tax year 2007;49308

       (4) On or before August 31, 2007, and October 31, 2007, 49309
forty-three per cent of the amount determined under division 49310
(A)(2) of this section for fiscal year 2008, but not less than 49311
zero, plus one-half of six-sevenths of the difference between the 49312
total fixed-rate levy loss for tax year 2007 and the total 49313
fixed-rate levy loss for tax year 2006.49314

       (5) On or before May 31, 2008, fourteen per cent of the 49315
amount determined under division (A)(2) of this section for fiscal 49316
year 2008, but not less than zero, plus one-seventh of the 49317
difference between the total fixed-rate levy loss for tax year 49318
2008 and the total fixed-rate levy loss for tax year 2006.49319

       (6) On or before August 31, 2008, and October 31, 2008, 49320
forty-three per cent of the amount determined under division 49321
(A)(2) of this section for fiscal year 2009, but not less than 49322
zero, plus one-half of six-sevenths of the difference between the 49323
total fixed-rate levy loss in tax year 2008 and the total 49324
fixed-rate levy loss in tax year 2007.49325

       (7) On or before May 31, 2009, fourteen per cent of the 49326
amount determined under division (A)(2) of this section for fiscal 49327
year 2009, but not less than zero, plus one-seventh of the 49328
difference between the total fixed-rate levy loss for tax year 49329
2009 and the total fixed-rate levy loss for tax year 2007.49330

       (8) On or before August 31, 2009, and October 31, 2009, 49331
forty-three per cent of the amount determined under division 49332
(A)(2) of this section for fiscal year 2010, but not less than 49333
zero, plus one-half of six-sevenths of the difference between the 49334
total fixed-rate levy loss in tax year 2009 and the total 49335
fixed-rate levy loss in tax year 2008.49336

       (9) On or before May 31, 2010, fourteen per cent of the 49337
amount determined under division (A)(2) of this section for fiscal 49338
year 2010, but not less than zero, plus one-seventh of the 49339
difference between the total fixed-rate levy loss in tax year 2010 49340
and the total fixed-rate levy loss in tax year 2008.49341

       (10) On or before August 31, 2010, and October 31, 2010, 49342
one-third of the amount determined under division (A)(2) of this 49343
section for fiscal year 2011, but not less than zero, plus 49344
one-half of six-sevenths of the difference between the telephone 49345
property fixed-rate levy loss for tax year 2010 and the telephone 49346
property fixed-rate levy loss for tax year 2009.49347

       (11) On or before May 31, 2011, fourteen per cent of the 49348
amount determined under division (A)(2) of this section for fiscal 49349
year 2011, but not less than zero, plus one-seventh of the 49350
difference between the telephone property fixed-rate levy loss for 49351
tax year 2011 and the telephone property fixed-rate levy loss for 49352
tax year 2009.49353

       (12) On or before August 31, 2011, October 31, 2011, and May 49354
31, 2012, the amount determined under division (A)(2) of this 49355
section multiplied by a fraction, the numerator of which is 49356
fourteen and the denominator of which is seventeen, but not less 49357
than zero, multiplied by one-third, plus one-half of six-sevenths 49358
of the difference between the telephone property fixed-rate levy 49359
loss for tax year 2011 and the telephone property fixed-rate levy 49360
loss for tax year 2010.49361

       (13) On or before May 31, 2012, fourteen per cent of the 49362
amount determined under division (A)(2) of this section for fiscal 49363
year 2012, multiplied by a fraction, the numerator of which is 49364
fourteen and the denominator of which is seventeen, plus 49365
one-seventh of the difference between the telephone property 49366
fixed-rate levy loss for tax year 2011 and the telephone property 49367
fixed-rate levy loss for tax year 2010.49368

       (14) On or before August 31, 2012, October 31, 2012, and May 49369
31, 2013, the amount determined under division (A)(2) of this 49370
section multiplied by a fraction, the numerator of which is eleven 49371
and the denominator of which is seventeen, but not less than zero, 49372
multiplied by one-third.49373

       (15) On or before August 31, 2013, October 31, 2013, and May 49374
31, 2014, the amount determined under division (A)(2) of this 49375
section multiplied by a fraction, the numerator of which is nine 49376
and the denominator of which is seventeen, but not less than zero, 49377
multiplied by one-third.49378

       (16) On or before August 31, 2014, October 31, 2014, and May 49379
31, 2015, the amount determined under division (A)(2) of this 49380
section multiplied by a fraction, the numerator of which is seven 49381
and the denominator of which is seventeen, but not less than zero, 49382
multiplied by one-third.49383

       (17) On or before August 31, 2015, October 31, 2015, and May 49384
31, 2016, the amount determined under division (A)(2) of this 49385
section multiplied by a fraction, the numerator of which is five 49386
and the denominator of which is seventeen, but not less than zero, 49387
multiplied by one-third.49388

       (18) On or before August 31, 2016, October 31, 2016, and May 49389
31, 2017, the amount determined under division (A)(2) of this 49390
section multiplied by a fraction, the numerator of which is three 49391
and the denominator of which is seventeen, but not less than zero, 49392
multiplied by one-third.49393

       (19) On or before August 31, 2017, October 31, 2017, and May 49394
31, 2018, the amount determined under division (A)(2) of this 49395
section multiplied by a fraction, the numerator of which is one 49396
and the denominator of which is seventeen, but not less than zero, 49397
multiplied by one-third.49398

       (20) After May 31, 2018, no payments shall be made under this 49399
section.49400

       The department of education shall report to each school 49401
district and joint vocational school district the apportionment of 49402
the payments among the school district's or joint vocational 49403
school district's funds based on the certifications under division 49404
(F) of section 5751.20 of the Revised Code.49405

       Any qualifying levy that is a fixed-rate levy that is not 49406
applicable to a tax year after 2010 does not qualify for any 49407
reimbursement after the tax year to which it is last applicable.49408

       (C) For taxes levied within the ten-mill limitation for debt 49409
purposes in tax year 2005, payments shall be made equal to one 49410
hundred per cent of the loss computed as if the tax were a 49411
fixed-rate levy, but those payments shall extend from fiscal year 49412
2006 through fiscal year 2018, as long as the qualifying levy 49413
continues to be used for debt purposes. If the purpose of such a 49414
qualifying levy is changed, that levy becomes subject to the 49415
payments determined in division (B) of this section.49416

       (D)(1) Not later than January 1, 2006, for each fixed-sum 49417
levy of each school district or joint vocational school district 49418
and for each year for which a determination is made under division 49419
(F) of section 5751.20 of the Revised Code that a fixed-sum levy 49420
loss is to be reimbursed, the tax commissioner shall certify to 49421
the department of education the fixed-sum levy loss determined 49422
under that division. The certification shall cover a time period 49423
sufficient to include all fixed-sum levies for which the 49424
commissioner made such a determination. The department shall pay 49425
from the school district property tax replacement fund to the 49426
school district or joint vocational school district one-third of 49427
the fixed-sum levy loss so certified for each year on or before 49428
the last day of May, August, and October of the current year.49429

       (2) Beginning in 2006, by the first day of January of each 49430
year, the tax commissioner shall review the certification 49431
originally made under division (D)(1) of this section. If the 49432
commissioner determines that a debt levy that had been scheduled 49433
to be reimbursed in the current year has expired, a revised 49434
certification for that and all subsequent years shall be made to 49435
the department of education.49436

       (E) Beginning in September 2007 and through June 2018, the 49437
director of budget and management shall transfer from the school 49438
district tangible property tax replacement fund to the general 49439
revenue fund each of the following:49440

       (1) On the first day of September, the lesser of one-fourth 49441
of the amount certifieddetermined for that fiscal year under 49442
division (A)(1) of this section or the balance in the school 49443
district tangible property tax replacement fund;49444

       (2) On the first day of December, the lesser of one-fourth of 49445
the amount certifieddetermined for that fiscal year under 49446
division (A)(1) of this section or the balance in the school 49447
district tangible property tax replacement fund;49448

       (3) On the first day of March, the lesser of one-fourth of 49449
the amount certifieddetermined for that fiscal year under 49450
division (A)(1) of this section or the balance in the school 49451
district tangible property tax replacement fund;49452

       (4) On the first day of June, the lesser of one-fourth of the 49453
amount certifieddetermined for that fiscal year under division 49454
(A)(1) of this section or the balance in the school district 49455
tangible property tax replacement fund.49456

       If, when a transfer is required under division (E)(1), (2), 49457
(3), or (4) of this section, there is not sufficient money in the 49458
school district tangible property tax replacement fund to make the 49459
transfer in the required amount, the director shall transfer the 49460
balance in the fund to the general revenue fund and may make 49461
additional transfers on later dates as determined by the director 49462
in a total amount that does not exceed one-fourth of the amount 49463
determined for the fiscal year.49464

       (F) For each of the fiscal years 2006 through 2018, if the 49465
total amount in the school district tangible property tax 49466
replacement fund is insufficient to make all payments under 49467
divisions (B), (C), and (D) of this section at the times the 49468
payments are to be made, the director of budget and management 49469
shall transfer from the general revenue fund to the school 49470
district tangible property tax replacement fund the difference 49471
between the total amount to be paid and the amount in the school 49472
district tangible property tax replacement fund. For each fiscal 49473
year after 2018, at the time payments under division (D) of this 49474
section are to be made, the director of budget and management 49475
shall transfer from the general revenue fund to the school 49476
district property tax replacement fund the amount necessary to 49477
make such payments.49478

       (G) On the fifteenth day of June of 2006 through 2011, the 49479
director of budget and management may transfer any balance in the 49480
school district tangible property tax replacement fund to the 49481
general revenue fund. At the end of fiscal years 2012 through 49482
2018, any balance in the school district tangible property tax 49483
replacement fund shall remain in the fund to be used in future 49484
fiscal years for school purposes.49485

       (H) If all of the territory of a school district or joint 49486
vocational school district is merged with another district, or if 49487
a part of the territory of a school district or joint vocational 49488
school district is transferred to an existing or newly created 49489
district, the department of education, in consultation with the 49490
tax commissioner, shall adjust the payments made under this 49491
section as follows:49492

       (1) For a merger of two or more districts, the machinery and 49493
equipment, inventory, furniture and fixtures, and telephone 49494
property fixed-rate levy losses and the fixed-sum levy losses of 49495
the successor district shall be equal to the sum of the machinery 49496
and equipment, inventory, furniture and fixtures, and telephone 49497
property fixed-rate levy losses and debt levy losses as determined 49498
in section 5751.20 of the Revised Code, for each of the districts 49499
involved in the merger.49500

       (2) If property is transferred from one district to a 49501
previously existing district, the amount of machinery and 49502
equipment, inventory, furniture and fixtures, and telephone 49503
property tax value losses and fixed-rate levy losses that shall be 49504
transferred to the recipient district shall be an amount equal to 49505
the total machinery and equipment, inventory, furniture and 49506
fixtures, and telephone property fixed-rate levy losses times a 49507
fraction, the numerator of which is the value of business tangible 49508
personal property on the land being transferred in the most recent 49509
year for which data are available, and the denominator of which is 49510
the total value of business tangible personal property in the 49511
district from which the land is being transferred in the most 49512
recent year for which data are available. For each of the first 49513
five years after the property is transferred, but not after fiscal 49514
year 2012, if the tax rate in the recipient district is less than 49515
the tax rate of the district from which the land was transferred, 49516
one-half of the payments arising from the amount of fixed-rate 49517
levy losses so transferred to the recipient district shall be paid 49518
to the recipient district and one-half of the payments arising 49519
from the fixed-rate levy losses so transferred shall be paid to 49520
the district from which the land was transferred. Fixed-rate levy 49521
losses so transferred shall be computed on the basis of the sum of 49522
the rates of fixed-rate qualifying levies of the district from 49523
which the land was transferred, notwithstanding division (D) of 49524
this section.49525

       (3) After December 31, 2004, if property is transferred from 49526
one or more districts to a district that is newly created out of 49527
the transferred property, the newly created district shall be 49528
deemed not to have any machinery and equipment, inventory, 49529
furniture and fixtures, or telephone property fixed-rate levy 49530
losses and the districts from which the property was transferred 49531
shall have no reduction in their machinery and equipment, 49532
inventory, furniture and fixtures, and telephone property 49533
fixed-rate levy losses.49534

       (4) If the recipient district under division (H)(2) of this 49535
section or the newly created district under divisions (H)(3) of 49536
this section is assuming debt from one or more of the districts 49537
from which the property was transferred and any of the districts 49538
losing the property had fixed-sum levy losses, the department of 49539
education, in consultation with the tax commissioner, shall make 49540
an equitable division of the fixed-sum levy loss reimbursements.49541

       Sec. 5751.23.  (A) As used in this section:49542

       (1) "Administrative fees" means the dollar percentages 49543
allowed by the county auditor for services or by the county 49544
treasurer as fees, or paid to the credit of the real estate 49545
assessment fund, under divisions (A) and (B)(C) of section 319.54 49546
and division (A) of section 321.26 of the Revised Code.49547

       (2) "Administrative fee loss" means a county's loss of 49548
administrative fees due to its tax value loss, determined as 49549
follows:49550

       (a) For purposes of the determination made under division (B) 49551
of this section in the years 2006 through 2010, the administrative 49552
fee loss shall be computed by multiplying the amounts determined 49553
for all taxing districts in the county under divisions (D) and (E) 49554
of section 5751.20 of the Revised Code by nine thousand six 49555
hundred fifty-nine ten-thousandths of one per cent if total taxes 49556
collected in the county in 2004 exceeded one hundred fifty million 49557
dollars, or one and one thousand one hundred fifty-nine 49558
ten-thousandths of one per cent if total taxes collected in the 49559
county in 2004 were one hundred fifty million dollars or less;49560

       (b) For purposes of the determination under division (B) of 49561
this section in the years after 2010, the administrative fee 49562
losses shall be determined by multiplying the administrative fee 49563
losses calculated for 2010 by the fractions in divisions (A)(1)(b) 49564
to (i) of section 5751.22 of the Revised Code.49565

       (3) "Total taxes collected" means all money collected on any 49566
tax duplicate of the county, other than the estate tax duplicates. 49567
"Total taxes collected" does not include amounts received pursuant 49568
to divisions (F) and (G) of section 321.24 or section 323.156 of 49569
the Revised Code.49570

       (B) Not later than December 31, 2005, the tax commissioner 49571
shall certify to each county auditor the tax levy losses 49572
calculated under divisions (D) and (E) of section 5751.20 of the 49573
Revised Code for each school district, joint vocational school 49574
district, and local taxing unit in the county. Not later than the 49575
thirty-first day of January of 2006 through 2017, the county 49576
auditor shall determine the administrative fee loss for the county 49577
and apportion that loss ratably among the school districts, joint 49578
vocational school districts, and local taxing units on the basis 49579
of the tax levy losses certified under this division.49580

       (C) On or before each of the days prescribed for the 49581
settlements under divisions (A) and (C) of section 321.24 of the 49582
Revised Code in the years 2006 through 2017, the county treasurer 49583
shall deduct one-half of the amount apportioned to each school 49584
district, joint vocational school district, and local taxing unit 49585
from the portions of revenue payable to them.49586

       (D) On or before each of the days prescribed for settlements 49587
under divisions (A) and (C) of section 321.24 of the Revised Code 49588
in the years 2006 through 2017, the county auditor shall cause to 49589
be deposited an amount equal to one-half of the amount of the 49590
administrative fee loss in the same funds as if allowed as 49591
administrative fees.49592

       Sec. 5907.15.  There is hereby created in the state treasury49593
the Ohio veterans' homes rental,and service, and medicare49594
reimbursement fund. Revenue generated from temporary use49595
agreements of a veterans' home, from the sale of meals at a home's 49596
dining halls, and from rental, lease, or sharing agreements for 49597
the use of facilities, supplies, equipment, utilities, or services49598
provided by a home, and from medicare reimbursements shall be 49599
credited to the fund. The fund shall be used only for maintenance 49600
costs of the homes and for the purchase of medications, medication 49601
services, medical supplies, and medical equipment by the homes.49602

       Sec. 5907.16. There is hereby created in the state treasury 49603
the medicare services fund. Revenue from federal reimbursement of 49604
medicare services that were provided at state veterans' homes 49605
shall be credited to the fund. The fund shall be used for paying 49606
the operating costs of the state veterans' homes.49607

       Sec. 6109.21.  (A) Except as provided in divisions (D) and49608
(E) of this section, on and after January 1, 1994, no person shall49609
operate or maintain a public water system in this state without a49610
license issued by the director of environmental protection. A49611
person who operates or maintains a public water system on January49612
1, 1994, shall obtain an initial license under this section in49613
accordance with the following schedule:49614

       (1) If the public water system is a community water system,49615
not later than January 31, 1994;49616

       (2) If the public water system is not a community water49617
system and serves a nontransient population, not later than49618
January 31, 1994;49619

       (3) If the public water system is not a community water49620
system and serves a transient population, not later than January49621
31, 1995.49622

       A person proposing to operate or maintain a new public water49623
system after January 1, 1994, in addition to complying with49624
section 6109.07 of the Revised Code and rules adopted under it,49625
shall submit an application for an initial license under this49626
section to the director prior to commencing operation of the49627
system.49628

       A license or license renewal issued under this section shall49629
be renewed annually. Such a license or license renewal shall49630
expire on the thirtieth day of January in the year following its49631
issuance. A license holder that proposes to continue operating the 49632
public water system for which the license or license renewal was 49633
issued shall apply for a license renewal at least thirty days49634
prior to that expiration date.49635

       The director shall adopt, and may amend and rescind, rules in49636
accordance with Chapter 119. of the Revised Code establishing49637
procedures governing and information to be included on49638
applications for licenses and license renewals under this section.49639
Through June 30, 20082010, each application shall be accompanied49640
by the appropriate fee established under division (M) of section49641
3745.11 of the Revised Code, provided that an applicant for an49642
initial license who is proposing to operate or maintain a new49643
public water system after January 1, 1994, shall submit a fee that49644
equals a prorated amount of the appropriate fee established under49645
that division for the remainder of the licensing year.49646

       (B) Not later than thirty days after receiving a completed49647
application and the appropriate license fee for an initial license49648
under division (A) of this section, the director shall issue the49649
license for the public water system. Not later than thirty days49650
after receiving a completed application and the appropriate49651
license fee for a license renewal under division (A) of this49652
section, the director shall do one of the following:49653

       (1) Issue the license renewal for the public water system;49654

       (2) Issue the license renewal subject to terms and conditions 49655
that the director determines are necessary to ensure compliance 49656
with this chapter and rules adopted under it;49657

       (3) Deny the license renewal if the director finds that the49658
public water system was not operated in substantial compliance49659
with this chapter and rules adopted under it.49660

       (C) The director may suspend or revoke a license or license49661
renewal issued under this section if the director finds that the49662
public water system was not operated in substantial compliance49663
with this chapter and rules adopted under it. The director shall49664
adopt, and may amend and rescind, rules in accordance with Chapter49665
119. of the Revised Code governing such suspensions and49666
revocations.49667

       (D)(1) As used in division (D) of this section, "church"49668
means a fellowship of believers, congregation, society,49669
corporation, convention, or association that is formed primarily49670
or exclusively for religious purposes and that is not formed or49671
operated for the private profit of any person.49672

       (2) This section does not apply to a church that operates or49673
maintains a public water system solely to provide water for that49674
church or for a campground that is owned by the church and49675
operated primarily or exclusively for members of the church and49676
their families. A church that, on or before March 5, 1996, has49677
obtained a license under this section for such a public water49678
system need not obtain a license renewal under this section.49679

       (E) This section does not apply to any public or nonpublic49680
school that meets minimum standards of the state board of49681
education that operates or maintains a public water system solely49682
to provide water for that school.49683

       Sec. 6111.0381. There is hereby created in the state treasury 49684
the water quality protection fund. The fund shall consist of 49685
federal grants, including grants made pursuant to the Federal 49686
Water Pollution Control Act, and contributions made to the 49687
environmental protection agency for water quality protection and 49688
restoration. The director of environmental protection shall use 49689
money in the fund for water quality protection and restoration.49690

       Sec. 6111.04.  (A) Both of the following apply except as49691
otherwise provided in division (A) or (F) of this section:49692

       (1) No person shall cause pollution or place or cause to be49693
placed any sewage, sludge, sludge materials, industrial waste, or49694
other wastes in a location where they cause pollution of any49695
waters of the state.49696

       (2) Such an action prohibited under division (A)(1) of this49697
section is hereby declared to be a public nuisance.49698

       Divisions (A)(1) and (2) of this section do not apply if the49699
person causing pollution or placing or causing to be placed wastes49700
in a location in which they cause pollution of any waters of the49701
state holds a valid, unexpired permit, or renewal of a permit,49702
governing the causing or placement as provided in sections 6111.0149703
to 6111.08 of the Revised Code or if the person's application for49704
renewal of such a permit is pending.49705

       (B) If the director of environmental protection administers a 49706
sludge management program pursuant to division (S) of section 49707
6111.03 of the Revised Code, both of the following apply except as 49708
otherwise provided in division (B) or (F) of this section:49709

       (1) No person, in the course of sludge management, shall49710
place on land located in the state or release into the air of the49711
state any sludge or sludge materials.49712

       (2) An action prohibited under division (B)(1) of this49713
section is hereby declared to be a public nuisance.49714

       Divisions (B)(1) and (2) of this section do not apply if the49715
person placing or releasing the sludge or sludge materials holds a49716
valid, unexpired permit, or renewal of a permit, governing the49717
placement or release as provided in sections 6111.01 to 6111.08 of49718
the Revised Code or if the person's application for renewal of49719
such a permit is pending.49720

       (C) No person to whom a permit has been issued shall place or49721
discharge, or cause to be placed or discharged, in any waters of49722
the state any sewage, sludge, sludge materials, industrial waste, 49723
or other wastes in excess of the permissive discharges specified 49724
under an existing permit without first receiving a permit from the 49725
director to do so.49726

       (D) No person to whom a sludge management permit has been49727
issued shall place on the land or release into the air of the49728
state any sludge or sludge materials in excess of the permissive49729
amounts specified under the existing sludge management permit49730
without first receiving a modification of the existing sludge49731
management permit or a new sludge management permit to do so from49732
the director.49733

       (E) The director may require the submission of plans,49734
specifications, and other information that the director considers49735
relevant in connection with the issuance of permits.49736

       (F) This section does not apply to any of the following:49737

       (1) Waters used in washing sand, gravel, other aggregates, or 49738
mineral products when the washing and the ultimate disposal of the 49739
water used in the washing, including any sewage, industrial waste, 49740
or other wastes contained in the waters, are entirely confined to 49741
the land under the control of the person engaged in the recovery 49742
and processing of the sand, gravel, other aggregates, or mineral 49743
products and do not result in the pollution of waters of the 49744
state;49745

       (2) Water, gas, or other material injected into a well to49746
facilitate, or that is incidental to, the production of oil, gas,49747
artificial brine, or water derived in association with oil or gas49748
production and disposed of in a well, in compliance with a permit49749
issued under Chapter 1509. of the Revised Code, or sewage,49750
industrial waste, or other wastes injected into a well in49751
compliance with an injection well operating permit. Division49752
(F)(2) of this section does not authorize, without a permit, any49753
discharge that is prohibited by, or for which a permit is required49754
by, regulation of the United States environmental protection49755
agency.49756

       (3) Application of any materials to land for agricultural49757
purposes or runoff of the materials from that application or49758
pollution by animal waste or soil sediment, including attached49759
substances, resulting from farming, silvicultural, or earthmoving49760
activities regulated by Chapter 307. or 1511. of the Revised Code. 49761
Division (F)(3) of this section does not authorize, without a 49762
permit, any discharge that is prohibited by, or for which a permit 49763
is required by, the Federal Water Pollution Control Act or 49764
regulations adopted under it.49765

       (4) The excrement of domestic and farm animals defecated on49766
land or runoff therefrom into any waters of the state. Division 49767
(F)(4) of this section does not authorize, without a permit, any 49768
discharge that is prohibited by, or for which a permit is required 49769
by, the Federal Water Pollution Control Act or regulations adopted 49770
under it.49771

       (5) On and after the date on which the United States49772
environmental protection agency approves the NPDES program49773
submitted by the director of agriculture under section 903.08 of49774
the Revised Code, any discharge that is within the scope of the 49775
approved NPDES program submitted by the director of agriculture;49776

       (6) The discharge of sewage, industrial waste, or other49777
wastes into a sewerage system tributary to a treatment works. 49778
Division (F)(6) of this section does not authorize any discharge49779
into a publicly owned treatment works in violation of a49780
pretreatment program applicable to the publicly owned treatment49781
works.49782

       (7) A household sewage treatment system or a small flow 49783
on-site sewage treatment system, as applicable, as defined in 49784
section 3718.01 of the Revised Code that is installedSeptic tanks 49785
or other disposal systems for the disposal or treatment of sewage 49786
from single-family, two-family, or three-family dwellings in 49787
compliance with Chapter 3718.the sanitary code and section 49788
3707.01 of the Revised Code and rules adopted under it. Division 49789
(F)(7) of this section does not authorize, without a permit, any 49790
discharge that is prohibited by, or for which a permit is required 49791
by, regulation of the United States environmental protection 49792
agency.49793

       (8) Exceptional quality sludge generated outside of this49794
state and contained in bags or other containers not greater than49795
one hundred pounds in capacity. As used in division (F)(8) of this 49796
section, "exceptional quality sludge" has the same meaning as in 49797
division (Y) of section 3745.11 of the Revised Code.49798

       (G) The holder of a permit issued under section 402 (a) of49799
the Federal Water Pollution Control Act need not obtain a permit49800
for a discharge authorized by the permit until its expiration49801
date. Except as otherwise provided in this division, the director 49802
of environmental protection shall administer and enforce those 49803
permits within this state and may modify their terms and 49804
conditions in accordance with division (J) of section 6111.03 of 49805
the Revised Code. On and after the date on which the United States 49806
environmental protection agency approves the NPDES program 49807
submitted by the director of agriculture under section 903.08 of 49808
the Revised Code, the director of agriculture shall administer and 49809
enforce those permits within this state that are issued for any 49810
discharge that is within the scope of the approved NPDES program 49811
submitted by the director of agriculture.49812

       Sec. 6111.44.  (A) Except as otherwise provided in division49813
(B) of this section, in section 6111.14 of the Revised Code, or in49814
rules adopted under division (G) of section 6111.03 of the Revised49815
Code, no municipal corporation, county, public institution,49816
corporation, or officer or employee thereof or other person shall49817
provide or install sewerage or treatment works for sewage, sludge,49818
or sludge materials disposal or treatment or make a change in any49819
sewerage or treatment works until the plans therefor have been49820
submitted to and approved by the director of environmental49821
protection. Sections 6111.44 to 6111.46 of the Revised Code apply49822
to sewerage and treatment works of a municipal corporation or part49823
thereof, an unincorporated community, a county sewer district, or49824
other land outside of a municipal corporation or any publicly or49825
privately owned building or group of buildings or place, used for49826
the assemblage, entertainment, recreation, education, correction,49827
hospitalization, housing, or employment of persons.49828

       In granting an approval, the director may stipulate49829
modifications, conditions, and rules that the public health and49830
prevention of pollution may require. Any action taken by the49831
director shall be a matter of public record and shall be entered49832
in the director's journal. Each period of thirty days that a49833
violation of this section continues, after a conviction for the49834
violation, constitutes a separate offense.49835

       (B) Sections 6111.45 and 6111.46 of the Revised Code and49836
division (A) of this section do not apply to any of the following:49837

       (1) Sewerage or treatment works for sewage installed or to be 49838
installed for the use of a private residence or dwelling;49839

       (2) Sewerage systems, treatment works, or disposal systems 49840
for storm water from an animal feeding facility or manure, as 49841
"animal feeding facility" and "manure" are defined in section 49842
903.01 of the Revised Code;49843

       (3) Animal waste treatment or disposal works and related49844
management and conservation practices that are subject to rules49845
adopted under division (E)(2) of section 1511.02 of the Revised49846
Code;49847

       (4) Sewerage or treatment works for the on-lot disposal or 49848
treatment of sewage from a small flow on-site sewage treatment 49849
system, as defined in section 3718.01 of the Revised Code, if the 49850
board of health of a city or general health district has notified 49851
the director of health and the director of environmental 49852
protection under section 3718.021 of the Revised Code that the 49853
board has chosen to regulate the system, provided that the board 49854
remains in compliance with the rules adopted under division 49855
(A)(13) of section 3718.02 of the Revised Code.49856

        The exclusions established in divisions (B)(2) and (3) of49857
this section do not apply to the construction or installation of 49858
disposal systems, as defined in section 6111.01 of the Revised49859
Code, that are located at an animal feeding facility and that49860
store, treat, or discharge wastewaters that do not include storm49861
water or manure or that discharge to a publicly owned treatment49862
works.49863

       Sec. 6121.04.  The Ohio water development authority may do 49864
any or all of the following:49865

       (A) Adopt bylaws for the regulation of its affairs and the 49866
conduct of its business;49867

       (B) Adopt an official seal;49868

       (C) Maintain a principal office and suboffices at places 49869
within the state that it designates;49870

       (D) Sue and plead in its own name and be sued and impleaded 49871
in its own name with respect to its contracts or torts of its 49872
members, employees, or agents acting within the scope of their 49873
employment, or to enforce its obligations and covenants made under 49874
sections 6121.06, 6121.08, and 6121.13 of the Revised Code. Any 49875
such actions against the authority shall be brought in the court 49876
of common pleas of the county in which the principal office of the 49877
authority is located or in the court of common pleas of the county 49878
in which the cause of action arose, provided that the county is 49879
located within this state, and all summonses, exceptions, and 49880
notices of every kind shall be served on the authority by leaving 49881
a copy thereof at the principal office with the person in charge 49882
thereof or with the secretary-treasurer of the authority.49883

       (E) Make loans and grants to governmental agencies for the 49884
acquisition or construction of water development projects by any 49885
such governmental agency and adopt rules and procedures for making 49886
such loans and grants;49887

       (F) Acquire, construct, reconstruct, enlarge, improve, 49888
furnish, equip, maintain, repair, operate, or lease or rent to, or 49889
contract for operation by, a governmental agency or person, water 49890
development projects, and establish rules for the use of those 49891
projects;49892

       (G) Make available the use or services of any water 49893
development project to one or more persons, one or more 49894
governmental agencies, or any combination thereof;49895

       (H) Issue water development revenue bonds and notes and water 49896
development revenue refunding bonds of the state, payable solely 49897
from revenues as provided in section 6121.06 of the Revised Code, 49898
unless the bonds are refunded by refunding bonds, for the purpose 49899
of paying any part of the cost of one or more water development 49900
projects or parts thereof;49901

       (I) Acquire by gift or purchase, hold, and dispose of real 49902
and personal property in the exercise of its powers and the 49903
performance of its duties under this chapter;49904

       (J) Acquire, in the name of the state, by purchase or 49905
otherwise, on terms and in the manner that it considers proper, or 49906
by the exercise of the right of condemnation in the manner 49907
provided by section 6121.18 of the Revised Code, public or private 49908
lands, including public parks, playgrounds, or reservations, or 49909
parts thereof or rights therein, rights-of-way, property, rights, 49910
easements, and interests that it considers necessary for carrying 49911
out this chapter, but excluding the acquisition by the exercise of 49912
the right of condemnation of any waste water facility or water 49913
management facility owned by any person or governmental agency, 49914
and compensation shall be paid for public or private lands so 49915
taken, except that a government-owned waste water facility may be 49916
appropriated in accordance with section 6121.041 of the Revised 49917
Code;49918

       (K) Adopt rules to protect augmented flow in waters of the 49919
state, to the extent augmented by a water development project, 49920
from depletion so it will be available for beneficial use, and to 49921
provide standards for the withdrawal from waters of the state of 49922
the augmented flow created by a water development project that is 49923
not returned to the waters of the state so augmented and to49924
establish reasonable charges therefor if considered necessary by 49925
the authority;49926

       (L) Make and enter into all contracts and agreements and 49927
execute all instruments necessary or incidental to the performance 49928
of its duties and the execution of its powers under this chapter 49929
in accordance with the following requirements:49930

       (1) When the cost under any such contract or agreement, other 49931
than compensation for personal services, involves an expenditure 49932
of more than twenty-five thousand dollars, the authority shall 49933
make a written contract with the lowest responsive and responsible 49934
bidder, in accordance with section 9.312 of the Revised Code, 49935
after advertisement for not less than two consecutive weeks in a49936
newspaper of general circulation in Franklin county, and in other49937
publications that the authority determines, which shall state the 49938
general character of the work and the general character of the 49939
materials to be furnished, the place where plans and 49940
specifications therefor may be examined, and the time and place of 49941
receiving bids, provided that a contract or lease for the 49942
operation of a water development project constructed and owned by 49943
the authority or an agreement for cooperation in the acquisition 49944
or construction of a water development project pursuant to section 49945
6121.13 of the Revised Code or any contract for the construction 49946
of a water development project that is to be leased by the 49947
authority to, and operated by, persons who are not governmental 49948
agencies and the cost of the project is to be amortized49949
exclusively from rentals or other charges paid to the authority by 49950
persons who are not governmental agencies is not subject to the 49951
foregoing requirements and the authority may enter into such a 49952
contract or lease or such an agreement pursuant to negotiation and 49953
upon terms and conditions and for the period that it finds to be 49954
reasonable and proper in the circumstances and in the best49955
interests of proper operation or of efficient acquisition or 49956
construction of the project.49957

       (2) Each bid for a contract for the construction, demolition, 49958
alteration, repair, or reconstruction of an improvement shall 49959
contain the full name of every person interested in it and shall 49960
meet the requirements of section 153.54 of the Revised Code.49961

       (3) Each bid for a contract except as provided in division 49962
(L)(2) of this section shall contain the full name of every person 49963
or company interested in it and shall be accompanied by a 49964
sufficient bond or certified check on a solvent bank that if the 49965
bid is accepted, a contract will be entered into and the 49966
performance thereof secured.49967

       (4) The authority may reject any and all bids.49968

       (5) A bond with good and sufficient surety, approved by the 49969
authority, shall be required of every contractor awarded a 49970
contract except as provided in division (L)(2) of this section, in 49971
an amount equal to at least fifty per cent of the contract price, 49972
conditioned upon the faithful performance of the contract.49973

       (M) Employ managers, superintendents, and other employees and 49974
retain or contract with consulting engineers, financial 49975
consultants, accounting experts, architects, attorneys, and other 49976
consultants and independent contractors that are necessary in its 49977
judgment to carry out this chapter, and fix the compensation 49978
thereof. All expenses thereof shall be payable solely from the49979
proceeds of water development revenue bonds or notes issued under 49980
this chapter, from revenues, or from funds appropriated for that 49981
purpose by the general assembly.49982

       (N) Receive and accept from any federal agency, subject to 49983
the approval of the governor, grants for or in aid of the 49984
construction of any water development project or for research and 49985
development with respect to waste water or water management 49986
facilities, and receive and accept aid or contributions from any 49987
source of money, property, labor, or other things of value, to be 49988
held, used, and applied only for the purposes for which the grants 49989
and contributions are made;49990

       (O) Engage in research and development with respect to waste 49991
water or water management facilities;49992

       (P) Purchase fire and extended coverage and liability 49993
insurance for any water development project and for the principal 49994
office and suboffices of the authority, insurance protecting the 49995
authority and its officers and employees against liability for 49996
damage to property or injury to or death of persons arising from 49997
its operations, and any other insurance the authority may agree to 49998
provide under any resolution authorizing its water development 49999
revenue bonds or in any trust agreement securing the same;50000

       (Q) Charge, alter, and collect rentals and other charges for 50001
the use or services of any water development project as provided 50002
in section 6121.13 of the Revised Code;50003

       (R) Provide coverage for its employees under Chapters 145., 50004
4123., and 4141. of the Revised Code;50005

       (S) Assist in the implementation and administration of the 50006
drinking water assistance fund and program created in section 50007
6109.22 of the Revised Code and the water pollution control loan 50008
fund and program created in section 6111.036 of the Revised Code, 50009
including, without limitation, performing or providing fiscal 50010
management for the funds and investing and disbursing moneys in 50011
the funds, and enter into all necessary and appropriate agreements 50012
with the director of environmental protection for those purposes;50013

       (T) Issue water development revenue bonds and notes of the 50014
state in principal amounts that are necessary for the purpose of 50015
raising moneys for the sole benefit of the water pollution control 50016
loan fund created in section 6111.036 of the Revised Code, 50017
including moneys to meet the requirement for providing matching 50018
moneys under division (D) of that section. The bonds and notes may50019
be secured by appropriate trust agreements and repaid from moneys 50020
credited to the fund from payments of principal and interest on 50021
loans made from the fund, as provided in division (F) of section 50022
6111.036 of the Revised Code.50023

       (U) Issue water development revenue bonds and notes of the 50024
state in principal amounts that are necessary for the purpose of 50025
raising moneys for the sole benefit of the drinking water 50026
assistance fund created in section 6109.22 of the Revised Code, 50027
including moneys to meet the requirement for providing matching 50028
moneys under divisions (B) and (F) of that section. The bonds and 50029
notes may be secured by appropriate trust agreements and repaid 50030
from moneys credited to the fund from payments of principal and 50031
interest on loans made from the fund, as provided in division (F) 50032
of section 6109.22 of the Revised Code.50033

       (V) Make loans to and enter into agreements with boards of 50034
county commissioners for the purposes of section 1521.261506.4450035
of the Revised Code and adopt rules establishing requirements and 50036
procedures for making the loans and entering into the agreements;50037

       (W) Do all acts necessary or proper to carry out the powers50038
expressly granted in this chapter.50039

       Any instrument by which real property is acquired pursuant to 50040
this section shall identify the agency of the state that has the 50041
use and benefit of the real property as specified in section 50042
5301.012 of the Revised Code.50043

       Sec. 6121.043.  If a governmental agency fails to pay any50044
charge imposed pursuant to an order issued under section 6121.04150045
of the Revised Code within sixty days of the date due, such charge 50046
shall be deducted from the amount of the undivided local50047
governmentcommunities fund to which the agency is entitled 50048
pursuant to section 5747.51 or 5747.53 of the Revised Code, and 50049
shall be paid directly to the Ohio water development authority. If 50050
a person fails to pay a charge within sixty days of the date due, 50051
the authority shall certify such charge to the county auditor, who50052
shall place the charge on the real property tax list and duplicate 50053
against the property served. Such charge becomes a lien on such 50054
property from the date it is certified by the authority, and shall 50055
be collected in the manner that taxes are ordinarily collected and 50056
forwarded to the authority.50057

       Any revenues or other moneys pledged against obligations50058
which are collected by the authority in the operation of a single50059
or regional system of waste water facilities shall first be50060
applied to the payment of debt service on such obligations. No50061
action of the authority relieves a governmental agency of any duty 50062
which it may have to pay such obligations.50063

       Sec. 6131.23.  The assessments estimated in accordance with50064
section 6131.14 of the Revised Code shall be payable in not less50065
than two semiannual installments. At the time of the final50066
hearing, in the order approving the levying of the assessments,50067
the board of county commissioners shall determine how long a50068
period of time, in semiannual installments, as taxes are paid,50069
shall be given the owners of land benefited to pay the assessments 50070
that are made for an improvement and whether or not bonds or notes 50071
shall be issued and sold in anticipation of such payments. If 50072
bonds or notes are to be issued, the interest shall be added to 50073
the assessments. If the estimated cost of the improvement does not 50074
exceed five hundred dollars, not more than two semiannual 50075
installments, as taxes are paid, shall be given to owners of lands 50076
benefited to pay the assessments that are made for the 50077
improvement. If the estimated cost of the improvement exceeds five 50078
hundred dollars, the board may determine the number of 50079
installments in which the assessments are to be paid. If any such 50080
assessment is twenty-five dollars or less, or whenever the unpaid 50081
balance of any such assessment is twenty-five dollars or less, the 50082
same shall be paid in full, and not in installments, at the time 50083
the first or next installment would otherwise become due.50084

       When assessments are payable in installments and county50085
general funds are used to pay for the improvement, the assessment50086
shall not exceed tenthirty semiannual installments, as computed 50087
by the county auditor pursuant to section 6131.49 of the Revised 50088
Code, and shall be payable upon completion of the contract.50089

       When assessments are made payable in installments and bonds50090
or notes have been sold to pay for the improvement, interest shall 50091
be added to the installments of assessments at the same rate as is 50092
drawn by the bonds or notes issued to pay for the improvements. 50093
Any owner may pay the estimated assessments on the owner's land 50094
in cash within thirty days after the final hearing without paying 50095
any interest thereon. If the legislative authority of a political 50096
subdivision chooses to pay the assessments on all parcels within 50097
the subdivision, both public and private, in one installment, it 50098
shall pass a resolution so stating and shall send the resolution, 50099
or a copy thereof, to the board of county commissioners before 50100
making the payment. The legislative authority shall pay all 50101
subsequent maintenance assessments levied under section 6137.03 of 50102
the Revised Code if it chooses to pay the construction assessments 50103
on all parcels within the subdivision.50104

       Bonds may be sold for any repayment period that the board of 50105
county commissioners may determine proper, not to exceed sixteen50106
thirty semiannual installments, except that for bonds sold by a 50107
board of county commissioners for soil and water conservation 50108
district improvements pursuant to section 1515.24 of the Revised 50109
Code, the repayment period shall not exceed thirty semiannual 50110
installments.50111

       Section 101.02. That existing sections 9.821, 9.822, 9.823, 50112
9.83, 107.12, 107.40, 109.57, 109.572, 109.93, 111.18, 118.01, 50113
118.08, 118.17, 118.20, 118.23, 119.07, 120.33, 122.17, 122.171, 50114
122.602, 124.152, 125.45, 125.93, 125.96, 125.97, 125.98, 126.07, 50115
126.08, 126.16, 126.21, 126.22, 127.14, 127.16, 131.44, 133.01, 50116
133.10, 133.25, 135.35, 135.352, 151.08, 151.40, 152.31, 156.02, 50117
164.03, 164.05, 164.051, 164.08, 164.09, 166.08, 173.04, 173.35, 50118
173.85, 173.86, 174.03, 174.06, 183.01, 183.021, 183.17, 183.33, 50119
183.34, 183.35, 307.021, 307.37, 307.695, 307.6910, 307.98, 50120
307.981, 308.04, 317.08, 319.202, 319.281, 319.54, 321.08, 322.01, 50121
323.151, 323.152, 323.153, 323.154, 325.31, 329.04, 329.05, 50122
329.14, 340.03, 505.376, 517.08, 521.01, 709.191, 711.05, 711.10, 50123
711.131, 718.13, 742.301, 1503.05, 1504.02, 1506.01, 1506.99, 50124
1521.01, 1521.20, 1521.21, 1521.22, 1521.23, 1521.24, 1521.25, 50125
1521.26, 1521.27, 1521.28, 1521.29, 1521.30, 1521.99, 1531.06, 50126
1531.35, 1548.06, 1555.08, 1557.03, 1901.34, 2151.362, 2913.40, 50127
2921.42, 2927.023, 2935.03, 3109.04, 3109.041, 3119.022, 3119.023, 50128
3119.27, 3119.29, 3119.30, 3125.12, 3301.0711, 3301.0714, 3301.53, 50129
3302.03, 3302.10, 3311.24, 3313.41, 3313.603, 3313.615, 3313.64, 50130
3313.646, 3313.66, 3313.661, 3313.98, 3314.015, 3314.02, 3314.074, 50131
3314.08, 3314.26, 3317.01, 3317.012, 3317.013, 3317.014, 3317.015, 50132
3317.016, 3317.017, 3317.02, 3317.021, 3317.022, 3317.023, 50133
3317.024, 3317.025, 3317.026, 3317.027, 3317.028, 3317.029, 50134
3317.0216, 3317.0217, 3317.03, 3317.04, 3317.06, 3317.08, 3317.16, 50135
3317.20, 3317.201, 3318.12, 3318.15, 3318.26, 3319.55, 3323.01, 50136
3323.11, 3327.05, 3333.04, 3333.122, 3333.38, 3357.01, 3365.01, 50137
3375.05, 3375.121, 3375.40, 3375.85, 3381.04, 3501.17, 3701.74, 50138
3701.741, 3701.83, 3702.52, 3702.5211, 3702.5212, 3702.5213, 50139
3702.57, 3702.63, 3702.68, 3704.03, 3704.14, 3705.24, 3709.09, 50140
3709.091, 3721.51, 3721.541, 3721.56, 3734.57, 3735.672, 3745.11, 50141
3769.087, 3770.03, 3770.06, 3905.36, 4123.35, 4141.09, 4301.43, 50142
4503.06, 4503.061, 4503.064, 4503.065, 4503.066, 4503.067, 50143
4503.10, 4503.102, 4503.35, 4505.06, 4513.263, 4513.35, 4519.55, 50144
4715.251, 4717.07, 4723.621, 4723.63, 4723.64, 4723.65, 4723.66, 50145
4731.142, 4731.22, 4736.01, 4743.05, 4755.03, 4766.05, 4775.08, 50146
4921.40, 5101.162, 5101.21, 5101.211, 5101.212, 5101.213, 5101.24, 50147
5101.242, 5101.244, 5101.571, 5101.572, 5101.58, 5101.59, 50148
5101.802, 5101.98, 5104.30, 5107.02, 5107.03, 5107.05, 5107.10, 50149
5107.12, 5107.14, 5107.16, 5107.17, 5107.281, 5107.30, 5107.36, 50150
5107.41, 5107.42, 5111.01, 5111.014, 5111.016, 5111.019, 50151
5111.0112, 5111.023, 5111.03, 5111.06, 5111.084, 5111.10, 50152
5111.101, 5111.163, 5111.17, 5111.172, 5111.20, 5111.871, 50153
5111.8814, 5111.891, 5111.95, 5111.96, 5112.341, 5115.12, 50154
5119.611, 5123.01, 5123.043, 5123.045, 5123.047, 5123.048, 50155
5123.049, 5123.0411, 5123.051, 5123.19, 5123.196, 5123.198, 50156
5123.20, 5123.211, 5123.38, 5123.41, 5123.51, 5123.60, 5123.602, 50157
5163.603, 5123.604, 5123.99, 5126.038, 5126.042, 5126.046, 50158
5126.054, 5126.055, 5126.056, 5126.057, 5126.06, 5126.11, 5126.12, 50159
5126.15, 5126.18, 5126.19, 5126.25, 5126.40, 5126.42, 5126.43, 50160
5126.45, 5126.47, 5139.27, 5139.271, 5139.43, 5302.30, 5528.54, 50161
5531.10, 5537.04, 5537.16, 5537.99, 5705.28, 5705.281, 5705.29, 50162
5705.30, 5705.31, 5705.32, 5705.321, 5705.37, 5705.44, 5709.68, 50163
5709.882, 5715.36, 5719.041, 5725.151, 5725.24, 5727.45, 5727.81, 50164
5727.84, 5727.85, 5727.87, 5733.12, 5733.98, 5739.02, 5739.033, 50165
5739.12, 5739.21, 5741.02, 5741.03, 5743.01, 5743.20, 5743.331, 50166
5745.02, 5745.05, 5745.13, 5747.03, 5747.46, 5747.47, 5747.48, 50167
5747.50, 5747.501, 5747.51, 5747.52, 5747.53, 5747.54, 5747.55, 50168
5747.98, 5748.01, 5748.02, 5748.021, 5748.04, 5748.08, 5751.20, 50169
5751.21, 5751.23, 5907.15, 6109.21, 6111.04, 6111.44, 6121.04, 50170
6121.043, and 6131.23 of the Revised Code are hereby repealed.50171

       Section 105.01. That sections 125.95, 183.02, 183.27, 183.32, 50172
3318.47, 3318.48, 3318.49, 3333.29, 3718.01, 3718.02, 3718.021, 50173
3718.03, 3718.04, 3718.05, 3718.06, 3718.07, 3718.08, 3718.09, 50174
3718.10, 3718.99, 4911.021, 5111.161, 5123.16, 5123.182, 5123.199, 50175
5126.035, 5126.036, 5126.053, 5126.431, 5126.44, 5126.451, 50176
5747.61, 5747.62, 5747.63, and 6111.441 of the Revised Code are 50177
hereby repealed.50178

       Section 105.03. That the version of section 3702.68 of the 50179
Revised Code that was to have taken effect July 1, 2007, as a 50180
result of Sections 3 to 5 of Am. Sub. S.B. 50 of the 121st General 50181
Assembly, as most recently amended by Am. Sub. H.B. 66 of the 50182
126th General Assembly, is hereby repealed. It is the intent of 50183
this section to prevent the amendment of section 3702.68 of the 50184
Revised Code that was to have taken effect July 1, 2007.50185

       Section 110.07. That the version of section 127.16 of the 50186
Revised Code that is scheduled to take effect July 1, 2007, be 50187
amended to read as follows:50188

       Sec. 127.16.  (A) Upon the request of either a state agency50189
or the director of budget and management and after the controlling50190
board determines that an emergency or a sufficient economic reason50191
exists, the controlling board may approve the making of a purchase50192
without competitive selection as provided in division (B) of this50193
section.50194

       (B) Except as otherwise provided in this section, no state50195
agency, using money that has been appropriated to it directly,50196
shall:50197

       (1) Make any purchase from a particular supplier, that would50198
amount to fifty thousand dollars or more when combined with both50199
the amount of all disbursements to the supplier during the fiscal50200
year for purchases made by the agency and the amount of all50201
outstanding encumbrances for purchases made by the agency from the50202
supplier, unless the purchase is made by competitive selection or50203
with the approval of the controlling board;50204

       (2) Lease real estate from a particular supplier, if the50205
lease would amount to seventy-five thousand dollars or more when50206
combined with both the amount of all disbursements to the supplier50207
during the fiscal year for real estate leases made by the agency50208
and the amount of all outstanding encumbrances for real estate50209
leases made by the agency from the supplier, unless the lease is50210
made by competitive selection or with the approval of the50211
controlling board.50212

       (C) Any person who authorizes a purchase in violation of50213
division (B) of this section shall be liable to the state for any50214
state funds spent on the purchase, and the attorney general shall50215
collect the amount from the person.50216

       (D) Nothing in division (B) of this section shall be50217
construed as:50218

       (1) A limitation upon the authority of the director of50219
transportation as granted in sections 5501.17, 5517.02, and50220
5525.14 of the Revised Code;50221

       (2) Applying to medicaid provider agreements under Chapter50222
5111. of the Revised Code or payments or provider agreements under 50223
the disability medical assistance program established under 50224
Chapter 5115. of the Revised Code;50225

       (3) Applying to the purchase of examinations from a sole50226
supplier by a state licensing board under Title XLVII of the50227
Revised Code;50228

       (4) Applying to entertainment contracts for the Ohio state50229
fair entered into by the Ohio expositions commission, provided50230
that the controlling board has given its approval to the50231
commission to enter into such contracts and has approved a total50232
budget amount for such contracts as agreed upon by commission50233
action, and that the commission causes to be kept itemized records50234
of the amounts of money spent under each contract and annually50235
files those records with the clerk of the house of representatives50236
and the clerk of the senate following the close of the fair;50237

       (5) Limiting the authority of the chief of the division of50238
mineral resources management to contract for reclamation work with50239
an operator mining adjacent land as provided in section 1513.27 of50240
the Revised Code;50241

       (6) Applying to investment transactions and procedures of any 50242
state agency, except that the agency shall file with the board the 50243
name of any person with whom the agency contracts to make, broker, 50244
service, or otherwise manage its investments, as well as the 50245
commission, rate, or schedule of charges of such person with50246
respect to any investment transactions to be undertaken on behalf50247
of the agency. The filing shall be in a form and at such times as50248
the board considers appropriate.50249

       (7) Applying to purchases made with money for the per cent50250
for arts program established by section 3379.10 of the Revised50251
Code;50252

       (8) Applying to purchases made by the rehabilitation services 50253
commission of services, or supplies, that are provided to persons 50254
with disabilities, or to purchases made by the commission in 50255
connection with the eligibility determinations it makes for50256
applicants of programs administered by the social security50257
administration;50258

       (9) Applying to payments by the department of job and family50259
services under section 5111.13 of the Revised Code for group50260
health plan premiums, deductibles, coinsurance, and other50261
cost-sharing expenses;50262

       (10) Applying to any agency of the legislative branch of the50263
state government;50264

       (11) Applying to agreements or contracts entered into under50265
section 5101.11, 5101.20, 5101.201, 5101.21, or 5101.214 of the 50266
Revised Code;50267

       (12) Applying to purchases of services by the adult parole50268
authority under section 2967.14 of the Revised Code or by the50269
department of youth services under section 5139.08 of the Revised50270
Code;50271

       (13) Applying to dues or fees paid for membership in an50272
organization or association;50273

       (14) Applying to purchases of utility services pursuant to50274
section 9.30 of the Revised Code;50275

       (15) Applying to purchases made in accordance with rules50276
adopted by the department of administrative services of motor50277
vehicle, aviation, or watercraft fuel, or emergency repairs of50278
such vehicles;50279

       (16) Applying to purchases of tickets for passenger air50280
transportation;50281

       (17) Applying to purchases necessary to provide public50282
notifications required by law or to provide notifications of job50283
openings;50284

       (18) Applying to the judicial branch of state government;50285

       (19) Applying to purchases of liquor for resale by the50286
division of liquor control;50287

       (20) Applying to purchases of motor courier and freight50288
services made in accordance with department of administrative50289
services rules;50290

       (21) Applying to purchases from the United States postal50291
service and purchases of stamps and postal meter replenishment50292
from vendors at rates established by the United States postal50293
service;50294

       (22) Applying to purchases of books, periodicals, pamphlets,50295
newspapers, maintenance subscriptions, and other published50296
materials;50297

       (23) Applying to purchases from other state agencies,50298
including state-assisted institutions of higher education;50299

       (24) Limiting the authority of the director of environmental50300
protection to enter into contracts under division (D) of section50301
3745.14 of the Revised Code to conduct compliance reviews, as50302
defined in division (A) of that section;50303

       (25) Applying to purchases from a qualified nonprofit agency50304
pursuant to sections 125.60 to 125.6012 or 4115.31 to 4115.35 of 50305
the Revised Code;50306

       (26) Applying to payments by the department of job and family50307
services to the United States department of health and human50308
services for printing and mailing notices pertaining to the tax50309
refund offset program of the internal revenue service of the50310
United States department of the treasury;50311

       (27) Applying to contracts entered into by the department of50312
mental retardation and developmental disabilities under sections50313
section 5123.18, 5123.182, and 5123.199 of the Revised Code;50314

       (28) Applying to payments made by the department of mental50315
health under a physician recruitment program authorized by section50316
5119.101 of the Revised Code;50317

       (29) Applying to contracts entered into with persons by the50318
director of commerce for unclaimed funds collection and remittance50319
efforts as provided in division (F) of section 169.03 of the50320
Revised Code. The director shall keep an itemized accounting of50321
unclaimed funds collected by those persons and amounts paid to50322
them for their services.50323

       (30) Applying to purchases made by a state institution of50324
higher education in accordance with the terms of a contract50325
between the vendor and an inter-university purchasing group50326
comprised of purchasing officers of state institutions of higher50327
education;50328

       (31) Applying to the department of job and family services'50329
purchases of health assistance services under the children's50330
health insurance program part I provided for under section 5101.5050331
of the Revised Code or the children's health insurance program50332
part II provided for under section 5101.51 of the Revised Code;50333

       (32) Applying to payments by the attorney general from the50334
reparations fund to hospitals and other emergency medical50335
facilities for performing medical examinations to collect physical50336
evidence pursuant to section 2907.28 of the Revised Code;50337

       (33) Applying to contracts with a contracting authority or50338
administrative receiver under division (B) of section 5126.056 of 50339
the Revised Code;50340

       (34) Applying to reimbursements paid to the United States 50341
department of veterans affairs for pharmaceutical and patient 50342
supply purchases made on behalf of the Ohio veterans' home agency;50343

       (35) Applying to agreements entered into with terminal 50344
distributors of dangerous drugs under section 173.79 of the 50345
Revised Code.50346

       (E) Notwithstanding division (B)(1) of this section, the50347
cumulative purchase threshold shall be seventy-five thousand50348
dollars for the departments of mental retardation and50349
developmental disabilities, mental health, rehabilitation and50350
correction, and youth services.50351

       (F) When determining whether a state agency has reached the50352
cumulative purchase thresholds established in divisions (B)(1),50353
(B)(2), and (E) of this section, all of the following purchases by50354
such agency shall not be considered:50355

       (1) Purchases made through competitive selection or with50356
controlling board approval;50357

       (2) Purchases listed in division (D) of this section;50358

       (3) For the purposes of the thresholds of divisions (B)(1)50359
and (E) of this section only, leases of real estate.50360

       (G) As used in this section, "competitive selection,"50361
"purchase," "supplies," and "services" have the same meanings as50362
in section 125.01 of the Revised Code.50363

       Section 110.08. That the existing version of section 127.16 50364
of the Revised Code that is scheduled to take effect July 1, 2007, 50365
is hereby repealed.50366

       Section 115.03. That section 5101.213 of the Revised Code is 50367
hereby repealed, effective July 1, 2008.50368

       Section 130.01. As is more completely explained in Sections 50369
130.02 and 130.03 that follow, this act, pursuant to Section 50370
611.03 of Am. Sub. H.B. 66 of the 126th General Assembly, confirms 50371
and orders implementation of the amendments and the enactment 50372
referred to in Section 611.03, the taking effect of which 50373
amendments and enactment by Am. Sub. H.B. 66 was postponed in 50374
whole or in part by Section 611.03 pending this confirmation and 50375
order.50376

       Section 130.02. (A)(1) Section 9.833 of the Revised Code is 50377
presented in division (B) of this section solely for the purpose 50378
of confirming the section and ordering its implementation as it 50379
results from Am. Sub. H.B. 46 and Am. Sub. H.B. 66 of the 126th 50380
General Assembly. Sections 3111.19, 3313.12, and 4117.08 of the 50381
Revised Code are presented in division (B) of this section solely 50382
for the purpose of confirming the sections and ordering their 50383
implementation as they result from Am. Sub. H.B. 66 of the 126th 50384
General Assembly. No other action is being taken with regard to 50385
these sections.50386

        (2) Section 9.90 of the Revised Code is presented in division 50387
(B) of this section for the purposes of confirming the section and 50388
ordering its implementation as it results from Am. Sub. H.B. 66 50389
and Sub. H.B. 193 of the 126th General Assembly and of amending 50390
the section to read as directed by this act. Section 9.901 of the 50391
Revised Code is presented in division (B) of this section for the 50392
purposes of confirming the section and ordering its complete 50393
implementation as it results from Am. Sub. H.B. 66 of the 126th 50394
General Assembly and as it was subsequently amended by Am. Sub. 50395
H.B. 530 of the 126th General Assembly and of amending the section 50396
to read as directed by this act. Sections 3313.202, 3313.33, and 50397
4117.03 of the Revised Code are presented in division (B) of this 50398
section for the purposes of confirming the sections and ordering 50399
their implementation as they result from Am. Sub. H.B. 66 of the 50400
126th General Assembly and of amending the sections to read as 50401
directed by this act.50402

        (B) Sections 9.833, 9.90, 9.901, 3311.19, 3313.12, 3313.202, 50403
3313.33, 4117.03, and 4117.08 of the Revised Code are presented in 50404
this division as explained in divisions (A)(1) and (2) of this 50405
section:50406

       Sec. 9.833.  (A) As used in this section, "political50407
subdivision" means a municipal corporation, township, county, or 50408
other body corporate and politic responsible for governmental 50409
activities in a geographic area smaller than that of the state, 50410
and agencies and instrumentalities of these entities. For purposes 50411
of this section, a school district is not a "political 50412
subdivision."50413

       (B) Political subdivisions that provide health care benefits 50414
for their officers or employees may do any of the following:50415

       (1) Establish and maintain an individual self-insurance50416
program with public moneys to provide authorized health care50417
benefits, including but not limited to, health care, prescription 50418
drugs, dental care, and vision care, in accordance with division 50419
(C) of this section;50420

       (2) Establish and maintain a health savings account program 50421
whereby employees or officers may establish and maintain health 50422
savings accounts in accordance with section 223 of the Internal 50423
Revenue Code. Public moneys may be used to pay for or fund 50424
federally qualified high deductible health plans that are linked 50425
to health savings accounts or to make contributions to health 50426
savings accounts. A health savings account program may be a part 50427
of a self-insurance program.50428

       (3) After establishing an individual self-insurance program, 50429
agree with other political subdivisions that have established 50430
individual self-insurance programs for health care benefits, that 50431
their programs will be jointly administered in a manner specified 50432
in the agreement;50433

       (4) Pursuant to a written agreement and in accordance with50434
division (C) of this section, join in any combination with other50435
political subdivisions to establish and maintain a joint50436
self-insurance program to provide health care benefits;50437

       (5) Pursuant to a written agreement, join in any combination 50438
with other political subdivisions to procure or contract for 50439
policies, contracts, or plans of insurance to provide health care 50440
benefits, which may include a health savings account program, for 50441
their officers and employees subject to the agreement;50442

       (6) Use in any combination any of the policies, contracts,50443
plans, or programs authorized under this division.50444

       (C) Except as otherwise provided in division (E) of this50445
section, the following apply to individual or joint self-insurance 50446
programs established pursuant to this section:50447

       (1) Such funds shall be reserved as are necessary, in the50448
exercise of sound and prudent actuarial judgment, to cover50449
potential cost of health care benefits for the officers and50450
employees of the political subdivision. A report of amounts so50451
reserved and disbursements made from such funds, together with a50452
written report of a member of the American academy of actuaries50453
certifying whether the amounts reserved conform to the50454
requirements of this division, are computed in accordance with50455
accepted loss reserving standards, and are fairly stated in50456
accordance with sound loss reserving principles, shall be prepared 50457
and maintained, within ninety days after the last day of the 50458
fiscal year of the entity for which the report is provided for 50459
that fiscal year, in the office of the program administrator50460
described in division (C)(3) of this section.50461

       The report required by division (C)(1) of this section shall 50462
include, but not be limited to, disbursements made for the50463
administration of the program, including claims paid, costs of the50464
legal representation of political subdivisions and employees, and50465
fees paid to consultants.50466

       The program administrator described in division (C)(3) of50467
this section shall make the report required by this division50468
available for inspection by any person at all reasonable times50469
during regular business hours, and, upon the request of such50470
person, shall make copies of the report available at cost within a 50471
reasonable period of time.50472

       (2) Each political subdivision shall reserve funds necessary 50473
for an individual or joint self-insurance program in a special 50474
fund that may be established for political subdivisions other than 50475
an agency or instrumentality pursuant to an ordinance or50476
resolution of the political subdivision and not subject to section 50477
5705.12 of the Revised Code. An agency or instrumentality shall 50478
reserve the funds necessary for an individual or joint 50479
self-insurance program in a special fund established pursuant to a 50480
resolution duly adopted by the agency's or instrumentality's 50481
governing board. The political subdivision may allocate the costs 50482
of insurance or any self-insurance program, or both, among the 50483
funds or accounts established under this division on the basis of 50484
relative exposure and loss experience.50485

       (3) A contract may be awarded, without the necessity of50486
competitive bidding, to any person, political subdivision,50487
nonprofit corporation organized under Chapter 1702. of the Revised 50488
Code, or regional council of governments created under Chapter 50489
167. of the Revised Code for purposes of administration of an 50490
individual or joint self-insurance program. No such contract shall 50491
be entered into without full, prior, public disclosure of all 50492
terms and conditions. The disclosure shall include, at a minimum, 50493
a statement listing all representations made in connection with 50494
any possible savings and losses resulting from the contract, and 50495
potential liability of any political subdivision or employee. The 50496
proposed contract and statement shall be disclosed and presented 50497
at a meeting of the political subdivision not less than one week 50498
prior to the meeting at which the political subdivision authorizes 50499
the contract.50500

       A contract awarded to a nonprofit corporation or a regional 50501
council of governments under this division may provide that all 50502
employees of the nonprofit corporation or regional council of 50503
governments and the employees of all entities related to the 50504
nonprofit corporation or regional council of governments may be 50505
covered by the individual or joint self-insurance program under 50506
the terms and conditions set forth in the contract.50507

       (4) The individual or joint self-insurance program shall50508
include a contract with a member of the American academy of50509
actuaries for the preparation of the written evaluation of the50510
reserve funds required under division (C)(1) of this section.50511

       (5) A joint self-insurance program may allocate the costs of 50512
funding the program among the funds or accounts established under 50513
this division to the participating political subdivisions on the50514
basis of their relative exposure and loss experience.50515

       (6) An individual self-insurance program may allocate the 50516
costs of funding the program among the funds or accounts 50517
established under this division to the political subdivision that 50518
established the program.50519

       (7) Two or more political subdivisions may also authorize the 50520
establishment and maintenance of a joint health care cost50521
containment program, including, but not limited to, the employment50522
of risk managers, health care cost containment specialists, and50523
consultants, for the purpose of preventing and reducing health50524
care costs covered by insurance, individual self-insurance, or 50525
joint self-insurance programs.50526

       (8) A political subdivision is not liable under a joint50527
self-insurance program for any amount in excess of amounts payable 50528
pursuant to the written agreement for the participation of the 50529
political subdivision in the joint self-insurance program. Under a 50530
joint self-insurance program agreement, a political subdivision 50531
may, to the extent permitted under the written agreement, assume 50532
the risks of any other political subdivision. A joint 50533
self-insurance program established under this section is deemed a 50534
separate legal entity for the public purpose of enabling the 50535
members of the joint self-insurance program to obtain insurance or 50536
to provide for a formalized, jointly administered self-insurance 50537
fund for its members. An entity created pursuant to this section 50538
is exempt from all state and local taxes.50539

       (9) Any political subdivision, other than an agency or 50540
instrumentality, may issue general obligation bonds, or special 50541
obligation bonds that are not payable from real or personal 50542
property taxes, and may also issue notes in anticipation of such 50543
bonds, pursuant to an ordinance or resolution of its legislative 50544
authority or other governing body for the purpose of providing 50545
funds to pay expenses associated with the settlement of claims, 50546
whether by way of a reserve or otherwise, and to pay the political 50547
subdivision's portion of the cost of establishing and maintaining 50548
an individual or joint self-insurance program or to provide for 50549
the reserve in the special fund authorized by division (C)(2) of 50550
this section.50551

       In its ordinance or resolution authorizing bonds or notes50552
under this section, a political subdivision may elect to issue50553
such bonds or notes under the procedures set forth in Chapter 133. 50554
of the Revised Code. In the event of such an election,50555
notwithstanding Chapter 133. of the Revised Code, the maturity of50556
the bonds may be for any period authorized in the ordinance or50557
resolution not exceeding twenty years, which period shall be the50558
maximum maturity of the bonds for purposes of section 133.22 of50559
the Revised Code.50560

       Bonds and notes issued under this section shall not be50561
considered in calculating the net indebtedness of the political50562
subdivision under sections 133.04, 133.05, 133.06, and 133.07 of50563
the Revised Code. Sections 9.98 to 9.983 of the Revised Code are50564
hereby made applicable to bonds or notes authorized under this50565
section.50566

       (10) A joint self-insurance program is not an insurance50567
company. Its operation does not constitute doing an insurance50568
business and is not subject to the insurance laws of this state.50569

       (D) A political subdivision may procure group life insurance 50570
for its employees in conjunction with an individual or joint 50571
self-insurance program authorized by this section, provided that 50572
the policy of group life insurance is not self-insured.50573

       (E) Divisions (C)(1), (2), and (4) of this section do not50574
apply to individual self-insurance programs in municipal50575
corporations, townships, or counties.50576

       (F) A public official or employee of a political subdivision 50577
who is or becomes a member of the governing body of the program 50578
administrator of a joint self-insurance program in which the 50579
political subdivision participates is not in violation of division 50580
(D) or (E) of section 102.03, division (C) of section 102.04, or 50581
section 2921.42 of the Revised Code as a result of either of the 50582
following:50583

       (1) The political subdivision's entering under this section 50584
into the written agreement to participate in the joint 50585
self-insurance program;50586

       (2) The political subdivision's entering under this section 50587
into any other contract with the joint self-insurance program.50588

       Sec. 9.90.  (A) The governing board of any public institution 50589
of higher education, including without limitation state 50590
universities and colleges, community college districts, university 50591
branch districts, technical college districts, and municipal 50592
universities, may, in addition to all other powers provided in the50593
Revised Code:50594

       (1) Contract for, purchase, or otherwise procure from an50595
insurer or insurers licensed to do business by the state of Ohio50596
for or on behalf of such of its employees as it may determine,50597
life insurance, or sickness, accident, annuity, endowment, health, 50598
medical, hospital, dental, or surgical coverage and benefits, or 50599
any combination thereof, by means of insurance plans or other 50600
types of coverage, family, group or otherwise, and may pay from 50601
funds under its control and available for such purpose all or any 50602
portion of the cost, premium, or charge for such insurance, 50603
coverage, or benefits. However, the governing board, in addition 50604
to or as an alternative to the authority otherwise granted by 50605
division (A)(1) of this section, may elect to procure coverage for 50606
health care services, for or on behalf of such of its employees as 50607
it may determine, by means of policies, contracts, certificates, 50608
or agreements issued by at least two health insuring corporations 50609
holding a certificate of authority under Chapter 1751. of the 50610
Revised Code and may pay from funds under the governing board's 50611
control and available for such purpose all or any portion of the 50612
cost of such coverage.50613

       (2) Make payments to a custodial account for investment in50614
regulated investment company stock for the purpose of providing50615
retirement benefits as described in section 403(b)(7) of the50616
Internal Revenue Code of 1954, as amended. Such stock shall be50617
purchased only from persons authorized to sell such stock in this50618
state.50619

       Any income of an employee deferred under divisions (A)(1) and 50620
(2) of this section in a deferred compensation program eligible 50621
for favorable tax treatment under the Internal Revenue Code of 50622
1954, as amended, shall continue to be included as regular 50623
compensation for the purpose of computing the contributions to and 50624
benefits from the retirement system of such employee. Any sum so 50625
deferred shall not be included in the computation of any federal 50626
and state income taxes withheld on behalf of any such employee.50627

       (B) All or any portion of the cost, premium, or charge50628
therefor may be paid in such other manner or combination of50629
manners as the governing board may determine, including direct 50630
payment by the employee in cases under division (A)(1) of this 50631
section, and, if authorized in writing by the employee in cases 50632
under division (A)(1) or (2) of this section, by such governing 50633
board with moneys made available by deduction from or reduction in 50634
salary or wages or by the foregoing of a salary or wage increase. 50635
Nothing in section 3917.01 or section 3917.06 of the Revised Code 50636
shall prohibit the issuance or purchase of group life insurance 50637
authorized by this section by reason of payment of premiums 50638
therefor by the governing board from its funds, and such group 50639
life insurance may be so issued and purchased if otherwise 50640
consistent with the provisions of sections 3917.01 to 3917.07 of 50641
the Revised Code.50642

       (C) The board of education of any school district may 50643
exercise any of the powers granted to the governing boards of 50644
public institutions of higher education under divisions (A) and 50645
(B) of this section, except in relation to the provision of health 50646
care benefits to employees. All health care benefits provided to 50647
persons employed by the public schools of this state shall be 50648
medicalhealth care plans designedthat contain best practices 50649
established by the school employees health care board pursuant to 50650
section 9.901 of the Revised Code.50651

       Sec. 9.901.  (A)(1) All health care benefits provided to 50652
persons employed by the public schoolsschool districts of this 50653
state shall be provided by medicalhealth care plans designedthat 50654
contain best practices established pursuant to this section by the 50655
school employees health care board. The board, in consultation 50656
with the superintendent of insurance, shall negotiate with and, in 50657
accordance with the competitive selection procedures of Chapter 50658
125. of the Revised Code, contract with one or more insurance 50659
companies authorized to do business in this state for the issuance 50660
of the plans.The plans described under this section shall be 50661
available to cover public school district employees not later than 50662
the last day of the month that is the eighteenth full month after 50663
the effective date of this amendment. The board shall release its 50664
best practices standards prior to the eighteen-month deadline. Any 50665
or all of the medicalhealth care plans designedthat contain best 50666
practices specified by the board may be self-insured. All 50667
self-insured plans adopted shall be administered by the board in 50668
accordance with this section. As used in this section, a "public 50669
school district" means a school in a city, local, exempted 50670
village, or joint vocational school district, and includes the 50671
educational service centers associated with those schools50672
districts.50673

       (2) Prior to soliciting proposals from insurance companies 50674
for the issuance of medical plans, the board shall determine what 50675
geographic regions exist in the state based on the availability of 50676
providers, networks, costs, and other factors relating to 50677
providing health care benefits. The board shall then determine 50678
what medical plans are offered by school districts and existing 50679
consortiums in the state. The board shall determine what medical 50680
plan offered by a school district or existing consortium in the 50681
region offers the lowest premium cost plan.50682

       (3) The board shall develop a request for proposals and 50683
solicit bids for medical plans for the school districts in a 50684
region similar to the existing plans. The board shall also 50685
determine the benefits offered by existing medical plans, the 50686
employees' costs, and the cost-sharing arrangements used by public 50687
schools participating in a consortium. The board shall determine 50688
what strategies are used by the existing medical plans to manage 50689
health care costs and shall study the potential benefits of state 50690
or regional consortiums of public schools offering multiple health 50691
care plans.50692

       (4) As used in this section, a:50693

       (a) A "medicalhealth care plan" includes group policies, 50694
contracts, and agreements that provide hospital, surgical, or 50695
medical expense coverage, including self-insured plans. A "medical50696
health care plan" does not include an individual plan offered to 50697
the employees of a public school district, or a plan that provides 50698
coverage only for specific disease or accidents, or a hospital 50699
indemnity, medicare supplement, or other plan that provides only 50700
supplemental benefits, paid for by the employees of a public 50701
school district.50702

       (b) A "health plan sponsor" means a public school district, a 50703
consortium of public school districts, or a council of 50704
governments.50705

       (B) The school employees health care board is hereby created. 50706
The school employees health care board shall consist of the 50707
following ninetwelve members and shall include individuals with 50708
experience with public school district benefit programs, health 50709
care industry providers, and medicalhealth care plan 50710
beneficiaries:50711

       (1) ThreeFour members appointed by the governor, one of whom 50712
shall be representative of nonadministrative public school 50713
district employees;50714

       (2) ThreeFour members appointed by the president of the 50715
senate, one of whom shall be representative of nonadministrative 50716
public school district employees;50717

       (3) ThreeFour members appointed by the speaker of the house 50718
of representatives, one of whom shall be representative of 50719
nonadministrative public school district employees.50720

       A member of the school employees health care board shall not 50721
be employed by, represent, or in any way be affiliated with a 50722
private entity that is providing services to the board, an 50723
individual school district, employers, or employees in the state 50724
of Ohio. 50725

       (C)(1) Members of the school employees health care board 50726
shall serve four-year terms; however, one of each of the initial 50727
members appointed under divisions (B)(1) to (3) of this section 50728
shall be appointed to a term of one year. The initial appointments 50729
under this section shall be made within forty-five days after 50730
September 29, 2005, but may be reappointed, except as otherwise 50731
specified in division (B) of this section.50732

       Members' terms shall end on the twenty-ninth day of 50733
September, but aA member shall continue to serve subsequent to 50734
the expiration of the member's term until a successor is 50735
appointed. Any vacancy occurring during a member's term shall be 50736
filled in the same manner as the original appointment, except that 50737
the person appointed to fill the vacancy shall be appointed to the 50738
remainder of the unexpired term.50739

       (2) Members shall serve withoutreceive compensation but50740
fixed pursuant to division (J) of section 124.15 of the Revised 50741
Code and shall be reimbursed from the school employees health care 50742
fund for actual and necessary expenses incurred in the performance 50743
of their official duties as members of the board.50744

       (3) Members may be removed by their appointing authority for 50745
misfeasance, malfeasance, incompetence, dereliction of duty, or 50746
other just cause.50747

       (D)(1) The governor shall call the first meeting of the 50748
school employees health care board. At that meeting, and annually 50749
thereafterAt the first meeting of the board after the first day 50750
of January of each calendar year, the board shall elect a 50751
chairperson and may elect members to other positions on the board 50752
as the board considers necessary or appropriate. The board shall 50753
meet at least fournine times each calendar year and shall also 50754
meet at the call of the chairperson or threefour or more board 50755
members. The chairperson shall provide reasonable advance notice 50756
of the time and place of board meetings to all members.50757

       (2) A majority of the board constitutes a quorum for the 50758
transaction of business at a board meeting. A majority vote of the 50759
members present is necessary for official action.50760

       (E) The school employees health care board shall conduct its 50761
business at open meetings; however, the records of the board are 50762
not public records for purposes of section 149.43 of the Revised 50763
Code.50764

       (F) The school employees health care fund is hereby created 50765
in the state treasury. The public schools shall pay all school 50766
employees health care board plan premiums in the manner prescribed 50767
by the school employees health care board to the board for deposit 50768
into the school employees health care fund. AllThe board shall 50769
use all funds in the school employees health care fund shall be 50770
used solely for the provision of health care benefits to public 50771
schools employees pursuant to this sectionto carry out the 50772
provisions of this section and related administrative costs. 50773
Premiums received by the board or insurance companies contracted 50774
pursuant to division (A) of this section are not subject to any 50775
state insurance premium tax.50776

       (G) The school employees health care board shall do all of 50777
the following:50778

       (1) Design multiple medicalAdopt and release a set of 50779
standards that shall be considered the best practices to which 50780
public school districts shall adhere in the selection and 50781
implementation of health care plans;50782

       (2) Develop best practices for the provision of health care 50783
benefits and subsequently approve health care plans, including 50784
regional plans, to provide, in the board's judgment, the optimal 50785
combination of coverage, cost, choice, and stability of health 50786
cost benefits. The board may establish more than one tier of 50787
premium rates for any medical plan. The board shall establish 50788
regions as necessary for the implementation of the board's medical 50789
plans. Plans and premium rates may vary across the regions 50790
established by the board.50791

       (2) Set an aggregate goalbased on the best practices 50792
developed by the board;50793

       (3) Require that the plans the health plan sponsors 50794
administer make readily available to the public all cost and 50795
design elements of the plan;50796

       (4) Determine the feasibility of procurement of selected 50797
health care benefits through consolidated systems that offer 50798
demonstrated economies of scale;50799

       (5) Work with health plan sponsors through educational 50800
outlets and consultation;50801

       (6) Maintain a commitment to transparency and public access 50802
of its meetings and activity pursuant to division (E) of this 50803
section;50804

       (7) Promote cooperation among all organizations affected by 50805
this section in identifying the elements for the successful 50806
implementation of this section;50807

       (8) Develop recommendations for employee and employer 50808
portions of premiums for the board's medicalhealth care plans so 50809
as to manage plan participation and encourage the use of 50810
value-based plan participation by employees;50811

       (3) Set(9) Develop recommendations for employer and employee 50812
plan copayments, deductibles, exclusions, limitations, 50813
formularies, premium shares, and other responsibilities;50814

       (4) Include(10) Ensure that disease management and consumer 50815
education programs, to the extent that the board determines is 50816
appropriate, are included in all medicalhealth care plans 50817
designed by the board, which programs shall include, but are not 50818
limited to, wellness programs and other measures designed to 50819
encourage the wise use of medicalhealth care plan coverage. These 50820
programs are not services or treatments for purposes of section 50821
3901.71 of the Revised Code.50822

       (5)(11) Create and distribute to the governor, the speaker of 50823
the house of representatives, and the president of the senate, an 50824
annual report covering the plan background; plan coverage options; 50825
plan administration, including procedures for monitoring and 50826
managing objectives, scope, and methodology; plan operations; 50827
employee and employer contribution rates and the relationship 50828
between the rates and the school employees health care fund 50829
balance; a means to develop and maintain identity and evaluate 50830
alternative employee and employer cost-sharing strategies; an 50831
evaluation of the effectiveness of cost-saving services and 50832
programs; an evaluation of efforts to control and manage member 50833
eligibility and to insure that proper employee and employer 50834
contributions are remitted to the trust fund; efforts to prevent 50835
and detect fraud; and efforts to manage and monitor board 50836
contracts;50837

       (6)(12) Utilize cost containment measures aligned with 50838
patient, plan, and provider management strategies in developing 50839
and managing medicalhealth care plans.50840

       (13) Prepare and disseminate to the public an annual report 50841
on the status of health plan sponsors' effectiveness in making 50842
progress to reduce the rate of increase in insurance premiums and 50843
employee out of pocket expenses, as well as progress in improving 50844
the health status of school district employees and their families.50845

       (H) The board also may develop and implement programs through 50846
its own initiative for specific health benefits to be utilized by 50847
health plan sponsors to supplement coverages offered by the school 50848
districts, including, but not limited to, prescription drugs and 50849
disease management.50850

       (I) The sections in Chapter 3923. of the Revised Code 50851
regulating public employee benefit plans are not applicable to the 50852
medicalhealth care plans designed pursuant to this section.50853

       (I)(J)(1) Public schoolsschool districts are not subject to 50854
this section prior to the release of medical plans designed 50855
pursuant tobest practices covered by this section, but shall 50856
adopt and implement board-approved best practices after the date 50857
the board releases its best practices pursuant to this section and 50858
by not later than the first day following the expiration of any 50859
collective bargaining agreement applicable to employees of the 50860
public school district that occurs after the release date. The 50861
board shall designate the specific date by which a particular 50862
public school district shall adopt and implement board-approved 50863
best practices.50864

       (2) Prior to the school employees health care board's release 50865
of the board's initial medical plans, theThe board shallmay50866
contract with anone or more independent consultantconsultants to 50867
analyze costs related to employee health care benefits provided by 50868
existing public school district plans in this state. The 50869
consultant shallconsultants may determine the benefits offered by 50870
existing medicalhealth care plans, the employees' costs, and the 50871
cost-sharing arrangements used by public schoolsschool districts50872
either participating in a consortium or by other means. The 50873
consultant shallconsultants may determine what strategies are 50874
used by the existing medicalhealth care plans to manage health 50875
care costs and shallmay study the potential benefits of state or 50876
regional consortiums of public schools offering multiple health 50877
care plans. Based on the findings of the analysis, the consultant 50878
shallconsultants may submit written recommendations to the board 50879
for the development and implementation of a successful program50880
best practices and programs for poolingimproving school 50881
districts' combined purchasing power for the acquisition of 50882
employee medicalhealth care plans. The consultant's 50883
recommendations shall address, at a minimum, all of the following 50884
issues:50885

       (a) The establishment of regions for the provision of medical 50886
plans, based on the availability of providers and plans in the 50887
state at the time that the school employees health care board is 50888
established;50889

       (b) The use of regional preferred provider and closed panel 50890
plans, health savings accounts, and alternative medical plans, to 50891
stabilize both costs and the premiums charged school districts and 50892
district employees;50893

       (c) The development of a system to obtain eligibility data 50894
and data compiled pursuant to the "Consolidated Omnibus Budget 50895
Reconciliation Act of 1985 (COBRA)," 100 Stat. 227, 29 U.S.C. 50896
1161, as amended;50897

       (d) The use of the competitive bidding process for regional 50898
medical plans;50899

       (e) The development of a timeline planning for the design and 50900
use of board medical plans by not later than December 31, 2007;50901

       (f) The use of information on claims and costs and of 50902
information reported by districts pursuant to COBRA in analyzing 50903
administrative and premium costs;50904

       (g) The experience of states that have mandated statewide 50905
medical plans for public school employees, including the 50906
implementation strategies used by those states;50907

       (h) Recommended strategies for the use of first-year roll-in 50908
premiums in the transition from district medical plans to school 50909
employees health care board plans;50910

       (i) The option of allowing school districts to join an 50911
existing regional consortium as an alternative to school employees 50912
health care board plans;50913

       (j) Mandatory and optional coverages to be offered by the 50914
board's medical plans;50915

       (k) Potential risks to the state from the use of medical 50916
plans developed pursuant to this section;50917

       (l) Any legislation needed to ensure the long-term financial 50918
solvency and stability of a health care purchasing system;50919

       (m) The potential impacts of any changes to the existing 50920
purchasing structure on all of the following:50921

       (i) Existing health care pooling and consortiums;50922

       (ii) School district employees;50923

       (iii) Individual school districts.50924

       (n) Issues that could arise when school districts transition 50925
from the existing purchasing structure to a new purchasing 50926
structure;50927

       (o) Strategies available to the board in the creation of fund 50928
reserves and the need for stop-loss insurance coverage for 50929
catastrophic losses;50930

       (p) Any legislation needed to establish and maintain medical 50931
plans designed pursuant to this section. The consultant shall 50932
submit all legislative recommendations not later than December 31, 50933
2006, in writing, to the school employees health care board and to 50934
the governor, the speaker of the house of representatives, and the 50935
president of the senate.50936

       (3) The public schools health care advisory committee is 50937
hereby created under the school employees health care board. The 50938
committee shall make recommendations to the school employees 50939
health care board related to the board's accomplishment of the 50940
duties assigned to the board under this section. The committee 50941
shall consist of eighteen members. The governor, the speaker of 50942
the house of representatives, and the president of the senate 50943
shall each appoint a representative from the Ohio education 50944
association, the Ohio school boards association, the Ohio 50945
association of school business officials, the Ohio association of 50946
health underwriters, an existing health care consortium serving 50947
public schools, and a health insuring corporation licensed to do 50948
business in Ohio and recommended by the Ohio association of health 50949
plans. The initial appointees shall be appointed to a one-year 50950
term not later than July 31, 2007, the members' term to begin on 50951
that date. Subsequentserve until December 31, 2007; subsequent50952
one-year appointments, to commence on the thirty-first day of July50953
first day of January of each year thereafter, and shall be made in 50954
the same manner. A member shall continue to serve subsequent to 50955
the expiration of the member's term until the member's successor 50956
is appointed. Any vacancy occurring during a member's term shall 50957
be filled in the same manner as the original appointment, except 50958
that the person appointed to fill the vacancy shall be appointed 50959
to the remainder of the unexpired term. The governor shall call 50960
the first meeting of each newly appointed committee. At that 50961
meeting the board shall elect a chairperson who shall call the 50962
time and place of future committee meetings. Committee members are 50963
not subject to the conditions for eligibility set by division (B) 50964
of this section for members of the school employees health care 50965
board.50966

       (4) The school employees health care board shall submit a 50967
written study to the governor and the general assembly not later 50968
than January 31, 2007, of a plan to operate in compliance with 50969
this section, and on the governance of the school employees health 50970
care board. A copy of the board's plan of operation, including 50971
audit provisions, shall accompany the report on the board's 50972
governance and the report shall include the board's 50973
recommendations on any legislation needed to enforce the 50974
recommendations of the board on implementing the provisions of 50975
this section.50976

       (5) Not later than January 15, 2009, and not later than the 50977
same day of each subsequent year, the school employees health care 50978
board shall submit a written report to the governor and each 50979
member of the general assembly, which report evaluates the 50980
performance of school employees health care board medical plans 50981
during the previous year. Districts offering employee health care 50982
benefits through a plan offered by a consortium of two or more 50983
districts, or a consortium of one or more districts and one or 50984
more political subdivisions as defined in section 9.833 of the 50985
Revised Code, representing five thousand or more employees as of 50986
January 1, 2005, may request permission from the school employees 50987
health care board to continue offering consortium plans to the 50988
districts' employees at the discretion of the board. If the board 50989
grants permission, the permission is valid for only one year but 50990
may be renewed annually thereafter upon application to an approval 50991
of the board. The board shall grant initial or continued approval 50992
upon finding, based on an actuarial evaluation of the existing 50993
consortium plan offerings, that benefit design, premium costs, 50994
administrative cost, and other factors considered by the board are 50995
equivalent to or lower than comparable costs of the board's plan 50996
options offered to the local district. Age and gender adjustments, 50997
benefit comparison adjustments, and the total cost of the 50998
consortium plan, including administration, benefit cost, stop-loss 50999
insurance, and all other expenses or information requested by the 51000
board shall be presented to the board prior to the board's 51001
decision to allow a local district to continue to offer health 51002
care benefits under a consortium plan. A district shall not 51003
participate in the consortium plan once the district has chosen to 51004
offer plans designed by the board to the district's employees and 51005
begins premium payments for deposit into the school employees 51006
health care fund.51007

       (6)If based upon an audit of a health care sponsor, the 51008
board makes a determination that the sponsor no longer meets the 51009
best practice standards adopted by the board, the board may 51010
suspend or cancel the sponsor's right to administer plans under 51011
the jurisdiction of the board. The decision of the board to 51012
suspend or cancel a sponsor's right may be appealed by the sponsor 51013
pursuant to a hearing and appeal process the board shall adopt by 51014
rule.51015

        (5) Upon a failure by a sponsor to adhere to the directives 51016
of the board, the board may request the attorney general to apply 51017
to a court having jurisdiction for any necessary orders to enforce 51018
compliance with the requirement of this section that a health care 51019
sponsor, unless otherwise allowed, shall adopt and adhere to best 51020
practices designed by the board or comply with any other 51021
requirements of this section, as the case may be. The board also 51022
may engage outside counsel if it deems necessary.51023

       (6) Upon notice by the board to the department of education 51024
that a district is not in compliance with the board's directives 51025
and a court order as described in this section, the department 51026
shall withhold one per cent of all state financial aid and 51027
assistance to the district each month until the department 51028
receives notice from the board that the district is in full 51029
compliance with the board's directives and subsequent court order.51030

       (7) Any districts providing medicalhealth care plan coverage 51031
for the employees of public schools, or that have provided 51032
coverage within two years prior to September 29, 2005,school 51033
districts shall provide nonidentifiable aggregate claims data for 51034
the coverage to the school employees health care board or the 51035
department of administrative services, without charge, within 51036
thirty days after receiving a written request from the board or 51037
the department. The claims data shall include data relating to 51038
employee group benefit sets, demographics, and claims experience.51039

       (J)(K)(1) The school employees health care board may contract 51040
with other state agencies for services as the board deems 51041
necessary for the implementation and operation of this section, 51042
based on demonstrated experience and expertise in administration, 51043
management, data handling, actuarial studies, quality assurance, 51044
or for other needed services. The school employees health care 51045
board shallmay contract with the department of administrative 51046
services for central services until such time the board isdeems 51047
itself able to obtain such services from its own staff or from 51048
other sources. The board shall reimburse the department of 51049
administrative services for the reasonable cost of those services.51050

       (K)(2) The board shall hire staff as necessary to provide 51051
administrative support to the board and the public school employee 51052
health care plan program established by this section.51053

       (L) The board's administrative functions shall include, but 51054
are not limited to, the following:51055

       (1) Maintaining reserves in the school employees health care 51056
fund, reinsurance, and other measures that in the judgment of the 51057
board will result in the long-term stability and solvency of the 51058
medical plans designed by the board. The board shall bill school 51059
districts, in proportion to a district's premium payments to all 51060
premium payments paid into the school employees health care fund 51061
during the previous year, in order to maintain necessary reserves, 51062
reinsurance, and administrative and operating funds. Each school 51063
district contributing to a board medical plan shall share any 51064
losses due to the expense of claims paid by the plan. In the event 51065
of a loss, the board may bill each district an amount, in 51066
proportion to the district's premium payments to all premium 51067
payments paid into the school employees health care fund during 51068
the previous year, sufficient in total to cover the loss. The 51069
state is not liable for any obligations of the school employees 51070
health care board or the school employees health care fund, or for 51071
expenses of public schools or school districts related to the 51072
board's medical plans.51073

       (2) Providing health care information, wellness programs, and 51074
other preventive health care measures to medicalhealth care plan 51075
beneficiaries, to the extent that the board determines to be 51076
appropriate;51077

       (3) Coordinating(2) Developing requests for proposals and 51078
establishing contracts for services related to the board's medical51079
health care plans related to the benefits the board believes are 51080
in the best interests of employees of public school districts as 51081
permitted in division (H) of this section. Contracts shall be 51082
approved by the school employees health care board.51083

       (L)(M) Not less than ninety days before coverage begins for 51084
public school district employees under medicalhealth care plans 51085
designed bycontaining best practices prescribed by the school 51086
employees health care board, a public school district's board of 51087
education shall provide detailed information about the medical51088
health care plans to the employees.51089

       (M)(N) Nothing in this section shall be construed as 51090
prohibiting public schools or school districts from consulting 51091
with and compensating insurance agents and brokers for 51092
professional services. The arrangement and contracts for these 51093
services shall be a public record and disclosed along with other 51094
data required by the board.51095

       (N) The department of administrative services shall report to 51096
the governor, the speaker of the house of representatives, and the 51097
president of the senate not later than April 30, 2007, on the 51098
feasibility of achieving all of the following:51099

       (1) Designing multiple medical plans to cover persons 51100
employed by public institutions of higher education that achieve 51101
an optimal combination of coverage, cost, choice, and stability, 51102
which plans include both state and regional preferred provider 51103
plans, set employee and employer premiums, and set employee plan 51104
copayments, deductibles, exclusions, limitations, formularies, and 51105
other responsibilities. For this purpose, "public institutions of 51106
higher education" include, without limitation, state universities 51107
and colleges, state community college districts, community college 51108
districts, university branch districts, technical college 51109
districts, and municipal universities.51110

       (2) Maintaining reserves, reinsurance, and other measures to 51111
insure the long-term stability and solvency of the medical plans;51112

       (3) Providing appropriate health care information, wellness 51113
programs, and other preventive health care measures to medical 51114
plan beneficiaries;51115

       (4) Coordinating contracts for services related to the 51116
medical plans.51117

       (O)(1) Pursuant to Chapter 117. of the Revised Code, the 51118
auditor of state shall conduct all necessary and required audits 51119
of the board. The auditor of state, upon request, also shall 51120
furnish to the board copies of audits of public school districts 51121
or consortia performed by the auditor of state.51122

        (2) Annually, the superintendent of insurance shall evaluate 51123
the performance of the school employee health care board best 51124
practices during the previous year and submit the results in 51125
writing to the governor and the general assembly. The 51126
superintendent also shall include in the audit of the health care 51127
plans of the health plan sponsors for which the superintendent has 51128
jurisdiction for a determination of adherence to the best 51129
practices established by the board.51130

       (3) Any health care provider or other vendor that contracts 51131
with a public school district or consortium to furnish health care 51132
benefits or services pursuant to a health care plan under this 51133
section, as a condition of such contract, shall agree to submit to 51134
audits the board may require to ensure compliance with the best 51135
practices of the board for the provision of such benefits or 51136
services. The board may contract with persons for independent 51137
audits of such providers or vendors. The audits shall cover the 51138
overall performance of the provider or vendor including, but not 51139
limited to, claims processing procedures and results, eligibility 51140
determination procedures and standards for health care plan 51141
participants, and adherence to best practices established by the 51142
board.51143

       Sec. 3311.19.  (A) The management and control of a joint51144
vocational school district shall be vested in the joint vocational51145
school district board of education. Where a joint vocational51146
school district is composed only of two or more local school51147
districts located in one county, or when all the participating51148
districts are in one county and the boards of such participating51149
districts so choose, the educational service center governing51150
board of the county in which the joint vocational school district51151
is located shall serve as the joint vocational school district51152
board of education. Where a joint vocational school district is51153
composed of local school districts of more than one county, or of51154
any combination of city, local, or exempted village school51155
districts or educational service centers, unless administration by51156
the educational service center governing board has been chosen by51157
all the participating districts in one county pursuant to this51158
section, the board of education of the joint vocational school51159
district shall be composed of one or more persons who are members51160
of the boards of education from each of the city or exempted51161
village school districts or members of the educational service51162
centers' governing boards affected to be appointed by the boards51163
of education or governing boards of such school districts and51164
educational service centers. In such joint vocational school51165
districts the number and terms of members of the joint vocational51166
school district board of education and the allocation of a given51167
number of members to each of the city and exempted village51168
districts and educational service centers shall be determined in51169
the plan for such district, provided that each such joint51170
vocational school district board of education shall be composed of51171
an odd number of members.51172

       (B) Notwithstanding division (A) of this section, a governing51173
board of an educational service center that has members of its51174
governing board serving on a joint vocational school district 51175
board of education may make a request to the joint vocational 51176
district board that the joint vocational school district plan be 51177
revised to provide for one or more members of boards of education 51178
of local school districts that are within the territory of the 51179
educational service district and within the joint vocational 51180
school district to serve in the place of or in addition to its 51181
educational service center governing board members. If agreement51182
is obtained among a majority of the boards of education and 51183
governing boards that have a member serving on the joint51184
vocational school district board of education and among a majority51185
of the local school district boards of education included in the51186
district and located within the territory of the educational51187
service center whose board requests the substitution or addition,51188
the state board of education may revise the joint vocational51189
school district plan to conform with such agreement.51190

       (C) If the board of education of any school district or51191
educational service center governing board included within a joint51192
vocational district that has had its board or governing board51193
membership revised under division (B) of this section requests the51194
joint vocational school district board to submit to the state51195
board of education a revised plan under which one or more joint51196
vocational board members chosen in accordance with a plan revised51197
under such division would again be chosen in the manner prescribed51198
by division (A) of this section, the joint vocational board shall51199
submit the revised plan to the state board of education, provided51200
the plan is agreed to by a majority of the boards of education51201
represented on the joint vocational board, a majority of the local51202
school district boards included within the joint vocational51203
district, and each educational service center governing board51204
affected by such plan. The state board of education may revise the 51205
joint vocational school district plan to conform with the revised 51206
plan.51207

       (D) The vocational schools in such joint vocational school51208
district shall be available to all youth of school age within the51209
joint vocational school district subject to the rules adopted by51210
the joint vocational school district board of education in regard51211
to the standards requisite to admission. A joint vocational school 51212
district board of education shall have the same powers, duties, 51213
and authority for the management and operation of such joint 51214
vocational school district as is granted by law, except by this 51215
chapter and Chapters 124., 3317., 3323., and 3331. of the Revised 51216
Code, to a board of education of a city school district, and shall 51217
be subject to all the provisions of law that apply to a city 51218
school district, except such provisions in this chapter and51219
Chapters 124., 3317., 3323., and 3331. of the Revised Code.51220

       (E) Where a governing board of an educational service center51221
has been designated to serve as the joint vocational school51222
district board of education, the educational service center51223
superintendent shall be the executive officer for the joint51224
vocational school district, and the governing board may provide51225
for additional compensation to be paid to the educational service51226
center superintendent by the joint vocational school district, but51227
the educational service center superintendent shall have no51228
continuing tenure other than that of educational service center51229
superintendent. The superintendent of schools of a joint51230
vocational school district shall exercise the duties and authority51231
vested by law in a superintendent of schools pertaining to the51232
operation of a school district and the employment and supervision51233
of its personnel. The joint vocational school district board of51234
education shall appoint a treasurer of the joint vocational school51235
district who shall be the fiscal officer for such district and who51236
shall have all the powers, duties, and authority vested by law in51237
a treasurer of a board of education. Where a governing board of an 51238
educational service center has been designated to serve as the51239
joint vocational school district board of education, such board51240
may appoint the educational service center superintendent as the51241
treasurer of the joint vocational school district.51242

       (F) Each member of a joint vocational school district board51243
of education may be paid such compensation as the board provides51244
by resolution, but it shall not exceed one hundred twenty-five51245
dollars per member for each meeting attended plus mileage, at the51246
rate per mile provided by resolution of the board, to and from51247
meetings of the board.51248

       The board may provide by resolution for the deduction of51249
amounts payable for benefits under section 3313.202 of the Revised 51250
Code.51251

       Each member of a joint vocational school district board may51252
be paid such compensation as the board provides by resolution for51253
attendance at an approved training program, provided that such51254
compensation shall not exceed sixty dollars per day for attendance51255
at a training program three hours or fewer in length and one51256
hundred twenty-five dollars a day for attendance at a training51257
program longer than three hours in length. However, no board51258
member shall be compensated for the same training program under51259
this section and section 3313.12 of the Revised Code.51260

       Sec. 3313.12.  Each member of the educational service center51261
governing board may be paid such compensation as the governing51262
board provides by resolution, provided that any such compensation51263
shall not exceed one hundred twenty-five dollars a day plus51264
mileage both ways, at the rate per mile provided by resolution of51265
the governing board, for attendance at any meeting of the board.51266
Such compensation and the expenses of the educational service51267
center superintendent, itemized and verified, shall be paid from51268
the educational service center governing board fund upon vouchers51269
signed by the president of the governing board.51270

       The board of education of any city, local, or exempted51271
village school district may provide by resolution for compensation51272
of its members, provided that such compensation shall not exceed 51273
one hundred twenty-five dollars per member for meetings attended.51274
The board may provide by resolution for the deduction of amounts51275
payable for benefits under section 3313.202 of the Revised Code.51276

       Each member of a district board or educational service center51277
governing board may be paid such compensation as the respective51278
board provides by resolution for attendance at an approved51279
training program, provided that such compensation shall not exceed51280
sixty dollars a day for attendance at a training program three51281
hours or fewer in length and one hundred twenty-five dollars a day51282
for attendance at a training program longer than three hours in51283
length.51284

       Sec. 3313.202.  Any elected or appointed member of the board 51285
of education of a school district and the dependent children and 51286
spouse of the member may be covered, at the option of the member, 51287
under any medicalhealth care plan designedcontaining best 51288
practices prescribed by the school employees health care board 51289
under section 9.901 of the Revised Code. The member shall pay all 51290
premiums for that coverage. Payments for such coverage shall be 51291
made, in advance, in a manner prescribed by the school employees 51292
health care board. The member's exercise of an option to be 51293
covered under this section shall be in writing, announced at a 51294
regular public meeting of the board of education, and recorded as 51295
a public record in the minutes of the board.51296

       Sec. 3313.33.  (A) Conveyances made by a board of education51297
shall be executed by the president and treasurer thereof.51298

       (B) Except as provided in division (C) of this section, no 51299
member of the board shall have, directly or indirectly, any51300
pecuniary interest in any contract of the board or be employed in51301
any manner for compensation by the board of which the person is a 51302
member. No contract shall be binding upon any board unless it is 51303
made or authorized at a regular or special meeting of such board.51304

       (C) A member of the board may have a pecuniary interest in a 51305
contract of the board if all of the following apply:51306

       (1) The member's pecuniary interest in that contract is that 51307
the member is employed by a political subdivision, 51308
instrumentality, or agency of the state that is contracting with 51309
the board;51310

       (2) The member does not participate in any discussion or 51311
debate regarding the contract or vote on the contract;51312

       (3) The member files with the school district treasurer an 51313
affidavit stating the member's exact employment status with the 51314
political subdivision, instrumentality, or agency contracting with 51315
the board.51316

       (D) This section does not apply where a member of the board,51317
being a shareholder of a corporation but not being an officer or51318
director thereof, owns not in excess of five per cent of the stock 51319
of such corporation. If a stockholder desires to avail self of the 51320
exception, before entering upon such contract such person shall 51321
first file with the treasurer an affidavit stating the 51322
stockholder's exact status and connection with said corporation.51323

       This section does not apply where a member of the board51324
elects to be covered by a medicalhealth care plan under section 51325
3313.202 of the Revised Code.51326

       Sec. 4117.03.  (A) Public employees have the right to:51327

       (1) Form, join, assist, or participate in, or refrain from51328
forming, joining, assisting, or participating in, except as51329
otherwise provided in Chapter 4117. of the Revised Code, any51330
employee organization of their own choosing;51331

       (2) Engage in other concerted activities for the purpose of 51332
collective bargaining or other mutual aid and protection;51333

       (3) Representation by an employee organization;51334

       (4) Bargain collectively with their public employers to51335
determine wages, hours, terms and other conditions of employment51336
and the continuation, modification, or deletion of an existing51337
provision of a collective bargaining agreement, and enter into51338
collective bargaining agreements;51339

       (5) Present grievances and have them adjusted, without the51340
intervention of the bargaining representative, as long as the51341
adjustment is not inconsistent with the terms of the collective51342
bargaining agreement then in effect and as long as the bargaining51343
representatives have the opportunity to be present at the51344
adjustment.51345

       (B) Persons on active duty or acting in any capacity as51346
members of the organized militia do not have collective bargaining 51347
rights.51348

       (C) Except as provided in division (D) of this section, 51349
nothing in Chapter 4117. of the Revised Code prohibits public 51350
employers from electing to engage in collective bargaining, to 51351
meet and confer, to hold discussions, or to engage in any other 51352
form of collective negotiations with public employees who are not 51353
subject to Chapter 4117. of the Revised Code pursuant to division 51354
(C) of section 4117.01 of the Revised Code.51355

       (D) A public employer shall not engage in collective 51356
bargaining or other forms of collective negotiations with the 51357
employees of county boards of elections referred to in division 51358
(C)(12) of section 4117.01 of the Revised Code.51359

       (E)(1) Employees of public schoolschools may bargain 51360
collectively for health care benefits; however, all health care 51361
benefits shall be provided throughinclude best practices 51362
prescribed by the school employees health care board medical 51363
plans, in accordance with section 9.901 of the Revised Code. If a 51364
school district provides its employees with health care benefits 51365
pursuant to collective bargaining, the employees shall be 51366
permitted to choose a plan option from among the school employees 51367
health care board plans agreed to during collective bargaining.51368

       (2) During collective bargaining, employees of public schools 51369
may agree to pay a higher percentage of the premium for health 51370
benefit coverage under the plans designed by the school employees 51371
health care board pursuant to section 9.901 of the Revised Code 51372
than the percentage designated as the employees' contribution 51373
level by the board. A collective bargaining agreement, however, 51374
shall not permit the employees to contribute a lesser percentage 51375
of the premium than that set as the employees' contribution level 51376
by the school employees health care board, unless, in so doing, 51377
the participating school board is able to remain in compliance 51378
with the aggregate goal set pursuant to division (G)(3) of section 51379
9.901 of the Revised Code.51380

       Sec. 4117.08.  (A) All matters pertaining to wages, hours, or 51381
terms and other conditions of employment and the continuation,51382
modification, or deletion of an existing provision of a collective 51383
bargaining agreement are subject to collective bargaining between 51384
the public employer and the exclusive representative, except as 51385
otherwise specified in this section and division (E) of section 51386
4117.03 of the Revised Code.51387

       (B) The conduct and grading of civil service examinations,51388
the rating of candidates, the establishment of eligible lists from 51389
the examinations, and the original appointments from the eligible 51390
lists are not appropriate subjects for collective bargaining.51391

       (C) Unless a public employer agrees otherwise in a collective 51392
bargaining agreement, nothing in Chapter 4117. of the Revised Code 51393
impairs the right and responsibility of each public employer to:51394

       (1) Determine matters of inherent managerial policy which51395
include, but are not limited to areas of discretion or policy such 51396
as the functions and programs of the public employer, standards of 51397
services, its overall budget, utilization of technology, and 51398
organizational structure;51399

       (2) Direct, supervise, evaluate, or hire employees;51400

       (3) Maintain and improve the efficiency and effectiveness of 51401
governmental operations;51402

       (4) Determine the overall methods, process, means, or51403
personnel by which governmental operations are to be conducted;51404

       (5) Suspend, discipline, demote, or discharge for just cause, 51405
or lay off, transfer, assign, schedule, promote, or retain51406
employees;51407

       (6) Determine the adequacy of the work force;51408

       (7) Determine the overall mission of the employer as a unit 51409
of government;51410

       (8) Effectively manage the work force;51411

       (9) Take actions to carry out the mission of the public51412
employer as a governmental unit.51413

       The employer is not required to bargain on subjects reserved 51414
to the management and direction of the governmental unit except as 51415
affect wages, hours, terms and conditions of employment, and the 51416
continuation, modification, or deletion of an existing provision 51417
of a collective bargaining agreement. A public employee or 51418
exclusive representative may raise a legitimate complaint or file 51419
a grievance based on the collective bargaining agreement.51420

       Section 130.03. Section 611.03 of Am. Sub. H.B. 66 of the 51421
126th General Assembly is hereby repealed.51422

       Section 130.04. Existing sections 9.90, 9.901, 3313.202, 51423
3313.33, and 4117.03 of the Revised Code are hereby repealed.51424

       Section 130.05. The Governor, the President of the Senate, 51425
and the Speaker of the House of Representatives each shall appoint 51426
one additional member to the School Employees Health Care Board 51427
created pursuant to section 9.901 of the Revised Code. The terms 51428
of these additional members as well as the terms of the current 51429
members shall end on December 31, 2010. Thereafter, terms of 51430
office shall be as specified in section 9.901 of the Revised Code 51431
as it results from its amendment by this act. The three additional 51432
members each shall be representative of nonadministrative public 51433
school employees.51434

       Section 201.01.  Except as otherwise provided in this act, 51435
all appropriation items in this act are appropriated out of any 51436
moneys in the state treasury to the credit of the designated fund 51437
that are not otherwise appropriated. For all appropriations made 51438
in this act, the amounts in the first column are for fiscal year 51439
2008 and the amounts in the second column are for fiscal year 51440
2009.51441

       Section 203.10.  ACC ACCOUNTANCY BOARD OF OHIO51442

General Services Fund Group51443

4J8 889-601 CPA Education Assistance $ 325,000 $ 325,000 51444
4K9 889-609 Operating Expenses $ 1,092,246 $ 1,117,000 51445
TOTAL GSF General Services Fund 51446
Group $ 1,417,246 $ 1,442,000 51447
TOTAL ALL BUDGET FUND GROUPS $ 1,417,246 $ 1,442,000 51448


       Section 205.10. ADJ ADJUTANT GENERAL51450

General Revenue Fund51451

GRF 745-401 Ohio Military Reserve $ 15,188 $ 15,188 51452
GRF 745-404 Air National Guard $ 2,246,005 $ 2,284,198 51453
GRF 745-407 National Guard Benefits $ 1,400,000 $ 1,400,000 51454
GRF 745-409 Central Administration $ 4,295,778 $ 4,460,069 51455
GRF 745-499 Army National Guard $ 5,064,836 $ 5,169,368 51456
GRF 745-502 Ohio National Guard Unit Fund $ 102,973 $ 102,973 51457
TOTAL GRF General Revenue Fund $ 13,124,780 $ 13,431,796 51458

General Services Fund Group51459

534 745-612 Property Operations/Management $ 534,304 $ 534,304 51460
536 745-620 Camp Perry/Buckeye Inn Operations $ 1,202,970 $ 1,202,970 51461
537 745-604 Ohio National Guard Facility Maintenance $ 269,826 $ 269,826 51462
TOTAL GSF General Services Fund Group $ 2,007,100 $ 2,007,100 51463

Federal Special Revenue Fund Group51464

3E8 745-628 Air National Guard Agreement $ 14,100,000 $ 14,906,820 51465
3R8 745-603 Counter Drug Operations $ 25,000 $ 25,000 51466
341 745-615 Air National Guard Base Security $ 2,497,480 $ 2,729,939 51467
342 745-616 Army National Guard Agreement $ 10,146,178 $ 10,590,050 51468
TOTAL FED Federal Special Revenue Fund Group $ 26,768,658 $ 28,251,809 51469

State Special Revenue Fund Group51470

5U8 745-613 Community Match Armories $ 220,000 $ 220,000 51471
528 745-605 Marksmanship Activities $ 128,600 $ 128,600 51472
TOTAL SSR State Special Revenue Fund Group $ 348,600 $ 348,600 51473

TOTAL ALL BUDGET FUND GROUPS $ 42,249,138 $ 44,039,305 51474

       NATIONAL GUARD BENEFITS51475

       The foregoing appropriation item 745-407, National Guard 51476
Benefits, shall be used for purposes of sections 5919.31 and 51477
5919.33 of the Revised Code, and for administrative costs of the 51478
associated programs.51479

       For active duty members of the Ohio National Guard who died 51480
after October 7, 2001, while performing active duty, the death 51481
benefit, pursuant to section 5919.33 of the Revised Code, shall be 51482
paid to the beneficiary or beneficiaries designated on the 51483
member's Servicemembers' Group Life Insurance Policy.51484

       STATE ACTIVE DUTY COSTS51485

       Of the foregoing appropriation item 745-409, Central 51486
Administration, $50,000 in each fiscal year shall be used for the 51487
purpose of paying expenses related to state active duty of members 51488
of the Ohio organized militia, in accordance with a proclamation 51489
of the Governor. Expenses include, but are not limited to, the 51490
cost of equipment, supplies, and services, as determined by the 51491
Adjutant General's Department.51492

       Of the foregoing appropriation item 745-409, Central 51493
Administration, up to $60,000 in each fiscal year of unspent and 51494
unencumbered funds remaining after meeting all other obligations 51495
of this appropriation shall be used for a grant to the American 51496
Red Cross Greater Columbus Chapter to be distributed equally to 51497
the Ohio chapters in existence on the effective date of this 51498
section. The funds from this grant shall be used for the Armed 51499
Forces Emergency Services program of the American Red Cross in 51500
Ohio to support members of the military and their families. Upon 51501
distribution of the funds, the American Red Cross Greater Columbus 51502
Chapter shall report to the Adjutant General on the actual 51503
distribution to the various chapters and any administrative costs 51504
associated with the distribution.51505

       Section 207.10. DAS DEPARTMENT OF ADMINISTRATIVE SERVICES51506

General Revenue Fund51507

GRF 100-403 Public School Employee Benefits $ 1,425,000 $ 1,425,000 51508
GRF 100-404 CRP Procurement Program $ 255,000 $ 255,000 51509
GRF 100-405 Agency Audit Expenses $ 300,000 $ 300,000 51510
GRF 100-406 County & University Human Resources Services $ 875,000 $ 875,000 51511
GRF 100-410 Veterans' Records Conversion $ 46,170 $ 46,171 51512
GRF 100-415 OAKS Rental Payments $ 14,162,000 $ 14,165,000 51513
GRF 100-418 Web Sites and Business Gateway $ 3,270,473 $ 3,270,083 51514
GRF 100-419 IT Security Infrastructure $ 1,500,000 $ 1,500,000 51515
GRF 100-421 OAKS Project Implementation $ 375,000 $ 375,000 51516
GRF 100-433 State of Ohio Computer Center $ 4,800,000 $ 4,825,000 51517
GRF 100-439 Equal Opportunity Certification Programs $ 705,000 $ 705,000 51518
GRF 100-447 OBA - Building Rent Payments $ 107,803,008 $ 103,282,108 51519
GRF 100-448 OBA - Building Operating Payments $ 26,457,000 $ 27,303,000 51520
GRF 100-449 DAS - Building Operating Payments $ 3,769,510 $ 3,834,871 51521
GRF 100-451 Minority Affairs $ 52,927 $ 52,927 51522
GRF 100-734 Major Maintenance - State Bldgs $ 42,000 $ 42,000 51523
GRF 102-321 Construction Compliance $ 1,000,000 $ 1,000,000 51524
GRF 130-321 State Agency Support Services $ 6,000,000 $ 6,250,000 51525
TOTAL GRF General Revenue Fund $ 172,838,088 $ 169,506,160 51526

General Services Fund Group51527

112 100-616 DAS Administration $ 5,299,427 $ 5,299,427 51528
115 100-632 Central Service Agency $ 860,878 $ 928,403 51529
117 100-644 General Services Division - Operating $ 8,295,772 $ 8,540,772 51530
122 100-637 Fleet Management $ 2,182,968 $ 2,032,968 51531
125 100-622 Human Resources Division - Operating $ 19,890,614 $ 20,560,614 51532
128 100-620 Collective Bargaining $ 3,464,533 $ 3,662,534 51533
130 100-606 Risk Management Reserve $ 2,568,548 $ 2,568,548 51534
131 100-639 State Architect's Office $ 7,348,483 $ 7,544,164 51535
132 100-631 DAS Building Management $ 9,716,228 $ 10,166,228 51536
133 100-607 IT Services Delivery $ 72,539,887 $ 75,847,949 51537
188 100-649 Equal Opportunity Division - Operating $ 847,409 $ 884,650 51538
201 100-653 General Services Resale Merchandise $ 1,553,000 $ 1,553,000 51539
210 100-612 State Printing $ 5,681,421 $ 5,436,421 51540
229 100-630 IT Governance $ 17,108,546 $ 17,108,546 51541
4N6 100-617 Major IT Purchases $ 7,495,719 $ 7,495,719 51542
4P3 100-603 DAS Information Services $ 4,793,190 $ 4,958,218 51543
427 100-602 Investment Recovery $ 5,683,564 $ 5,683,564 51544
5C2 100-605 MARCS Administration $ 11,069,291 $ 11,069,291 51545
5C3 100-608 Skilled Trades $ 934,982 $ 934,982 51546
5D7 100-621 Workforce Development $ 70,000 $ 0 51547
5EB 100-635 OAKS Support Organization $ 19,132,671 $ 19,132,671 51548
5L7 100-610 Professional Development $ 3,900,000 $ 3,900,000 51549
5V6 100-619 Employee Educational Development $ 936,129 $ 936,129 51550
5X3 100-634 Centralized Gateway Enhancement $ 974,023 $ 974,023 51551
TOTAL GSF General Services Fund 51552
Group $ 212,347,283 $ 217,218,821 51553

TOTAL ALL BUDGET FUND GROUPS $ 385,185,371 $ 386,724,981 51554


       Section 207.10.10. PUBLIC SCHOOL EMPLOYEE BENEFITS51556

       The foregoing appropriation item 100-403, Public School 51557
Employee Benefits, shall be used by the School Employees Health 51558
Care Board to hire staff to provide administrative support to the 51559
Board and other lawful uses of said fund as prescribed under 51560
section 9.901 of the Revised Code. This section succeeds Section 51561
203.12.02 of Am. Sub. H.B. 66 of the 126th General Assembly.51562

       Section 207.10.20.  AGENCY AUDIT EXPENSES51563

       The foregoing appropriation item 100-405, Agency Audit51564
Expenses, shall be used for auditing expenses designated in 51565
division (A)(1) of section 117.13 of the Revised Code for those 51566
state agencies audited on a biennial basis.51567

       Section 207.10.30. OAKS RENTAL PAYMENTS51568

       The foregoing appropriation item 100-415, OAKS Rental 51569
Payments, shall be used for payments for the period from July 1, 51570
2007, through June 30, 2009, pursuant to leases and agreements 51571
entered into under Chapter 125. of the Revised Code, as 51572
supplemented by Section 403.10 of Am. Sub. H.B. 530 of the 126th 51573
General Assembly with respect to financing the costs associated 51574
with the acquisition, development, installation, and 51575
implementation of the Ohio Administrative Knowledge System. If it 51576
is determined that additional appropriations are necessary for 51577
this purpose, the amounts are hereby appropriated.51578

       Section 207.10.40. BUILDING RENT PAYMENTS51579

       The foregoing appropriation item 100-447, OBA - Building Rent51580
Payments, shall be used to meet all payments at the times they are51581
required to be made during the period from July 1, 2007, to June51582
30, 2009, by the Department of Administrative Services to the Ohio51583
Building Authority pursuant to leases and agreements under Chapter51584
152. of the Revised Code. These appropriations are the source of 51585
funds pledged for bond service charges on obligations issued 51586
pursuant to Chapter 152. of the Revised Code.51587

        The foregoing appropriation item 100-448, OBA - Building 51588
Operating Payments, shall be used to meet all payments at the 51589
times that they are required to be made during the period from51590
July 1, 2007, to June 30, 2009, by the Department of51591
Administrative Services to the Ohio Building Authority pursuant to 51592
leases and agreements under Chapter 152. of the Revised Code, but51593
limited to the aggregate amount of $53,760,000.51594

       The payments to the Ohio Building Authority are for the51595
purpose of paying the expenses of agencies that occupy space in51596
the various state facilities. The Department of Administrative51597
Services may enter into leases and agreements with the Ohio51598
Building Authority providing for the payment of these expenses.51599
The Ohio Building Authority shall report to the Department of51600
Administrative Services and the Office of Budget and Management51601
not later than five months after the start of a fiscal year the51602
actual expenses incurred by the Ohio Building Authority in51603
operating the facilities and any balances remaining from payments51604
and rentals received in the prior fiscal year. The Department of51605
Administrative Services shall reduce subsequent payments by the51606
amount of the balance reported to it by the Ohio Building51607
Authority.51608

       Section 207.10.50.  DAS - BUILDING OPERATING PAYMENTS51609

       The foregoing appropriation item 100-449, DAS - Building51610
Operating Payments, shall be used to pay the rent expenses of51611
veterans organizations pursuant to section 123.024 of the Revised51612
Code in fiscal years 2008 and 2009.51613

       The foregoing appropriation item, 100-449, DAS - Building51614
Operating Payments, may be used to provide funding for the cost of51615
property appraisals or building studies that the Department of 51616
Administrative Services may be required to obtain for property 51617
that is being sold by the state or property under consideration to 51618
be renovated or purchased by the state.51619

       Notwithstanding section 125.28 of the Revised Code, the51620
remaining portion of the appropriation may be used to pay the51621
operating expenses of state facilities maintained by the51622
Department of Administrative Services that are not billed to51623
building tenants. These expenses may include, but are not limited51624
to, the costs for vacant space and space undergoing renovation,51625
and the rent expenses of tenants that are relocated due to51626
building renovations. These payments shall be processed by the51627
Department of Administrative Services through intrastate transfer51628
vouchers and placed in the Building Management Fund (Fund 132).51629

       Section 207.10.60. CENTRAL SERVICE AGENCY FUND51630

       The Department of Administrative Services shall not allocate 51631
annual costs for maintaining an automated application for the 51632
professional licensing boards and for the costs of supporting 51633
licensing functions in excess of the amounts allocated for these 51634
purposes for fiscal year 2007. The charges shall be billed to the 51635
professional licensing boards and deposited via intrastate 51636
transfer vouchers to the credit of the Central Service Agency Fund 51637
(Fund 115).51638

       Section 207.10.70. ELIMINATION OF THE VEHICLE LIABILITY FUND 51639
ASSETS51640

       (A) Effective July 1, 2007, the Vehicle Liability Fund (Fund 51641
127) is abolished and its functions, assets, and liabilities are 51642
transferred to the Risk Management Reserve Fund (Fund 130). The 51643
Risk Management Reserve Fund is thereupon and thereafter successor 51644
to, assumes the obligations of, and otherwise constitutes the 51645
continuation of the Vehicle Liability Fund.51646

       Any business commenced but not completed with regard to the 51647
Vehicle Liability Fund on July 1, 2007, shall be completed with 51648
regard to the Risk Management Reserve Fund, in the same manner, 51649
and with the same effect, as if completed with regard to the 51650
Vehicle Liability Fund. No validation, cure, right, privilege, 51651
remedy, obligation, or liability is lost or impaired by reason of 51652
the transfer and shall be administered with regard to the Risk 51653
Management Reserve Fund. All of the rules, orders, and 51654
determinations associated with the Vehicle Liability Fund continue 51655
in effect as rules, orders, and determinations associated with the 51656
Risk Management Reserve Fund, until modified or rescinded by the 51657
Director of Administrative Services. If necessary to ensure the 51658
integrity of the Administrative Code, the Director of the 51659
Legislative Service Commission shall renumber the rules relating 51660
to the Vehicle Liability Fund to reflect its transfer to the Risk 51661
Management Reserve Fund.51662

       (B) Employees paid from the Vehicle Liability Fund shall be 51663
transferred to the Risk Management Reserve Fund or dismissed. 51664
Employees paid from the Vehicle Liability Fund so dismissed cease 51665
to hold their positions of employment on July 1, 2007. 51666

       (C) No judicial or administrative action or proceeding by 51667
which the Vehicle Liability Fund is affected that is pending on 51668
July 1, 2007, is affected by the transfer of functions under 51669
division (A) of this section. The action or proceeding shall be 51670
prosecuted or defended on behalf of the Risk Management Reserve 51671
Fund and the Risk Management Reserve Fund upon application to the 51672
court or agency shall be substituted for the Vehicle Liability 51673
Fund as affected by the action or proceeding.51674

       (D) On and after July 1, 2007, when the Vehicle Liability 51675
Fund is referred to in any statute, rule, contract, grant, or 51676
other document, the reference is hereby deemed to refer to the 51677
Risk Management Reserve Fund.51678

       Section 207.10.80. TRANSFER OF VEHICLE LIABILITY FUND ASSETS51679

       On and after July 1, 2007, notwithstanding any provision to 51680
the contrary, the Director of Budget and Management is authorized 51681
to take the actions and effectuate the budget changes made 51682
necessary by administrative reorganization, program transfers, the 51683
creation of new funds, and the consolidation of funds required for 51684
the transfer of the Vehicle Liability Fund Assets to the Risk 51685
Management Reserve Fund. The Director of Budget and Management may 51686
make any transfer of cash balances between funds. At the request 51687
of the Director of Budget and Management, the Director of 51688
Administrative Services shall certify to the Director of Budget 51689
and Management an estimate of the amount of the Vehicle Liability 51690
Fund cash balance to be transferred to the Risk Management Reserve 51691
Fund. The Director of Budget and Management may transfer the 51692
estimated amount when needed to make payments. Not more than 51693
thirty days after certifying the estimated amount, the Director of 51694
Administrative Services shall certify the final amount to the 51695
Director of Budget and Management. The Director of Budget and 51696
Management shall transfer the difference between any amount 51697
previously transferred and the certified final amount. The 51698
Director of Budget and Management may cancel encumbrances and 51699
re-establish encumbrances or parts of encumbrances of the Vehicle 51700
Liability Fund as needed in fiscal year 2008 in the Risk 51701
Management Reserve Fund for the same purposes. The appropriation 51702
authority necessary to re-establish such encumbrances in fiscal 51703
year 2008, as determined by the Director of Budget and Management, 51704
in appropriation item 100-606, Risk Management Reserve, is hereby 51705
appropriated. When re-established encumbrances or parts of 51706
re-established encumbrances of the Vehicle Liability Fund are 51707
canceled, the Director of Budget and Management shall reduce the 51708
appropriation for appropriation item 100-606, Risk Management 51709
Reserve, by the amount of the encumbrances canceled. The amounts 51710
canceled are hereby authorized. Any fiscal year 2007 unencumbered 51711
or unallotted appropriation for appropriation item 100-627, 51712
Vehicle Liability Insurance, may be transferred to appropriation 51713
item 100-606, Risk Management Reserve, to be used for the same 51714
purposes, as determined by the Director of Budget and Management. 51715
The amounts transferred are hereby appropriated.51716

       Section 207.10.90.  COLLECTIVE BARGAINING ARBITRATION 51717
EXPENSES51718

       With approval of the Director of Budget and Management, the51719
Department of Administrative Services may seek reimbursement from51720
state agencies for the actual costs and expenses the department51721
incurs in the collective bargaining arbitration process. The51722
reimbursements shall be processed through intrastate transfer51723
vouchers and placed in the Collective Bargaining Fund (Fund 128).51724

       Section 207.20.10. EQUAL OPPORTUNITY PROGRAM51725

       The Department of Administrative Services, with the approval51726
of the Director of Budget and Management, shall establish charges51727
for recovering the costs of administering the activities supported51728
by the State EEO Fund (Fund 188). These charges shall be deposited 51729
to the credit of the State EEO Fund (Fund 188) upon payment made 51730
by state agencies, state-supported or state-assisted institutions 51731
of higher education, and tax-supported agencies, municipal 51732
corporations, and other political subdivisions of the state, for 51733
services rendered.51734

       Section 207.20.20. MERCHANDISE FOR RESALE51735

       The foregoing appropriation item 100-653, General Services51736
Resale Merchandise, shall be used to account for merchandise for51737
resale, which is administered by the General Services Division. 51738
Deposits to the fund may comprise the cost of merchandise for51739
resale and shipping fees.51740

       Section 207.20.30.  DAS INFORMATION SERVICES51741

       There is hereby established in the State Treasury the DAS 51742
Information Services Fund. The foregoing appropriation item 51743
100-603, DAS Information Services, shall be used to pay the costs 51744
of providing information systems and services in the Department of 51745
Administrative Services.51746

        The Department of Administrative Services shall establish 51747
user charges for all information systems and services that are 51748
allowable in the statewide indirect cost allocation plan submitted 51749
annually to the United States Department of Health and Human 51750
Services. These charges shall comply with federal regulations and 51751
shall be deposited to the credit of the DAS Information Services 51752
Fund (Fund 4P3).51753

       Section 207.20.40. INVESTMENT RECOVERY FUND51754

       Notwithstanding division (B) of section 125.14 of the Revised51755
Code, cash balances in the Investment Recovery Fund (Fund 427) may 51756
be used to support the operating expenses of the Federal Surplus 51757
Operating Program created in sections 125.84 to 125.90 of the 51758
Revised Code.51759

       Notwithstanding division (B) of section 125.14 of the Revised51760
Code, cash balances in the Investment Recovery Fund may be used to51761
support the operating expenses of the Asset Management Services 51762
Program, including, but not limited to, the cost of establishing 51763
and maintaining procedures for inventory records for state 51764
property as described in section 125.16 of the Revised Code.51765

       Of the foregoing appropriation item 100-602, Investment51766
Recovery, up to $2,271,209 in fiscal year 2008 and up to51767
$2,353,372 in fiscal year 2009 shall be used to pay the operating51768
expenses of the State Surplus Property Program, the Surplus51769
Federal Property Program, and the Asset Management Services 51770
Program under Chapter 125. of the Revised Code and this section. 51771
If additional appropriations are necessary for the operations of 51772
these programs, the Director of Administrative Services shall seek 51773
increased appropriations from the Controlling Board under section 51774
131.35 of the Revised Code.51775

       Of the foregoing appropriation item 100-602, Investment51776
Recovery, $3,412,355 in fiscal year 2008 and $3,330,192 in fiscal51777
year 2009 shall be used to transfer proceeds from the sale of51778
surplus property from the Investment Recovery Fund to non-General51779
Revenue Funds under division (A)(2) of section 125.14 of the51780
Revised Code. If it is determined by the Director of51781
Administrative Services that additional appropriations are51782
necessary for the transfer of such sale proceeds, the Director of51783
Administrative Services may request the Director of Budget and51784
Management to increase the amounts. Such amounts are hereby51785
appropriated.51786

       Notwithstanding division (B) of section 125.14 of the Revised 51787
Code, the Director of Budget and Management, at the request of the 51788
Director of Administrative Services, shall transfer up to $500,000 51789
of the amounts held for transfer to the General Revenue Fund from 51790
the Investment Recovery Fund to the State Architect's Fund (Fund 51791
131) to provide operating cash.51792

       Section 207.20.50. MULTI-AGENCY RADIO COMMUNICATIONS SYSTEM51793

       Effective with the implementation of the Multi-Agency Radio51794
Communications System, the State Chief Information Officer shall 51795
collect user fees from participants in the system. The State Chief 51796
Information Officer, with the advice of the Multi-Agency Radio 51797
Communications System Steering Committee and the Director of 51798
Budget and Management, shall determine the amount of the fees and 51799
the manner by which the fees shall be collected. Such user charges 51800
shall comply with the applicable cost principles issued by the 51801
federal Office of Management and Budget. All moneys from user 51802
charges and fees shall be deposited in the state treasury to the 51803
credit of the Multi-Agency Radio Communications System 51804
Administration Fund (Fund 5C2), which is hereby established in the 51805
state treasury. All interest income derived from the investment of 51806
the fund shall accrue to the fund.51807

       Section 207.20.60. WORKFORCE DEVELOPMENT FUND51808

       There is hereby established in the state treasury the51809
Workforce Development Fund (Fund 5D7). The foregoing appropriation 51810
item 100-621, Workforce Development, shall be used to make 51811
payments from the fund. The fund shall be under the supervision of 51812
the Department of Administrative Services, which may adopt rules 51813
with regard to administration of the fund. The fund shall be used 51814
to pay the costs of any remaining obligations of the Workforce 51815
Development Program, in accordance with Article 37 of the contract 51816
between the State of Ohio and OCSEA/AFSCME, Local 11, abolished 51817
effective March 1, 2006. These costs include, but are not limited 51818
to, remaining grant obligations, payments for tuition 51819
reimbursement, contracted services and general overhead, and any 51820
settlement costs associated with the Statewide Cost Allocation 51821
Program (SWCAP). The program shall be administered in accordance 51822
with the contract. Revenues shall accrue to the fund as specified 51823
in the contract. The fund may be used to pay direct and indirect 51824
costs of the program that are attributable to staff, consultants, 51825
and service providers. All income derived from the investment of 51826
the fund shall accrue to the fund.51827

       If it is determined by the Director of Administrative51828
Services that additional appropriation amounts are necessary, the51829
Director of Administrative Services may request that the Director51830
of Budget and Management increase such amounts. Such amounts are 51831
hereby appropriated.51832

       Section 207.20.70. OAKS SUPPORT ORGANIZATION51833

       The foregoing appropriation item 100-635, OAKS Support 51834
Organization, shall be used by the Office of Information 51835
Technology to support the operating costs associated with the 51836
implementation and maintenance of the state's enterprise resource 51837
planning system, OAKS, consistent with its responsibilities under 51838
this section and Chapters 125. and 126. of the Revised Code. The 51839
OAKS Support Organization shall operate and maintain the human 51840
capital management and financial management modules of the state's 51841
enterprise resource planning system to support statewide human 51842
resources and financial management activities administered by the 51843
Department of Administrative Services' human resources division 51844
and the Office of Budget and Management. The OAKS Support 51845
Organization shall recover the costs to establish, operate, and 51846
maintain the OAKS system through intrastate transfer voucher 51847
billings to the Department of Administrative Services and the 51848
Office of Budget and Management. Effective July 1, 2007, the 51849
Department of Administrative Services, with the approval of the 51850
Director of Budget and Management, shall include the recovery of 51851
the costs of administering the human capital management module of 51852
the OAKS System within the human resources services payroll rate. 51853
These revenues shall be deposited to the credit of the Human 51854
Resources Services Fund (Fund 125). Amounts deposited under this 51855
section are hereby appropriated to appropriation item 100-622, 51856
Human Resources Division-Operating. Not less than quarterly, the 51857
Department of Administrative Services shall process the intrastate 51858
transfer billings to transfer cash from the Human Resources 51859
Services Fund (Fund 125) to the OAKS Support Organization Fund 51860
(Fund 5EB) to pay for the OAKS Support Organization costs.51861

       Section 207.20.80. PROFESSIONAL DEVELOPMENT FUND51862

       The foregoing appropriation item 100-610, Professional51863
Development, shall be used to make payments from the Professional51864
Development Fund (Fund 5L7) under section 124.182 of the Revised 51865
Code.51866

       Section  207.20.90.  EMPLOYEE EDUCATIONAL DEVELOPMENT51867

       There is hereby established in the state treasury the 51868
Employee Educational Development Fund (Fund 5V6). The foregoing 51869
appropriation item 100-619, Employee Educational Development, 51870
shall be used to make payments from the fund. The fund shall be 51871
used to pay the costs of the administration of educational 51872
programs per existing collective bargaining agreements with 51873
District 1199, the Health Care and Social Service Union; State 51874
Council of Professional Educators; Ohio Education Association and 51875
National Education Association; the Fraternal Order of Police Ohio 51876
Labor Council, Unit 2; and the Ohio State Troopers Association, 51877
Units 1 and 15. The fund shall be under the supervision of the 51878
Department of Administrative Services, which may adopt rules with 51879
regard to administration of the fund. The fund shall be 51880
administered in accordance with the applicable sections of the 51881
collective bargaining agreements between the State and the 51882
aforementioned unions. The Department of Administrative Services, 51883
with the approval of the Director of Budget and Management, shall 51884
establish charges for recovering the costs of administering the 51885
educational programs. Receipts for these charges shall be 51886
deposited into the Employee Educational Development Fund. All 51887
income derived from the investment of the funds shall accrue to 51888
the fund.51889

       If it is determined by the Director of Administrative 51890
Services that additional appropriation amounts are necessary, the 51891
Director of Administrative Services may request that the Director 51892
of Budget and Management increase such amounts. Such amounts are 51893
hereby appropriated with the approval of the Director of Budget 51894
and Management.51895

       Section 207.30.10. CENTRALIZED GATEWAY ENHANCEMENTS FUND51896

       (A) As used in this section, "Ohio Business Gateway" refers 51897
to the internet-based system operated by the Office of Information 51898
Technology with the advice of the Ohio Business Gateway Steering 51899
Committee established under section 5703.57 of the Revised Code. 51900
The Ohio Business Gateway is established to provide businesses a 51901
central web site where various filings and payments are submitted 51902
on-line to government. The information is then distributed to the 51903
various government entities that interact with the business 51904
community.51905

       (B) As used in this section:51906

       (1) "State Portal" refers to the official web site of the 51907
state, operated by the Office of Information Technology.51908

       (2) "Shared Hosting Environment" refers to the computerized 51909
system operated by the Office of Information Technology for the 51910
purpose of providing capability for state agencies to host web 51911
sites.51912

       (C) There is hereby created in the state treasury the 51913
Centralized Gateway Enhancements Fund (Fund 5X3). The foregoing 51914
appropriation item 100-634, Centralized Gateway Enhancements, 51915
shall be used by the Office of Information Technology to pay the 51916
costs of enhancing, expanding, and operating the infrastructure of 51917
the Ohio Business Gateway, State Portal, and Shared Hosting 51918
Environment. The State Chief Information Officer shall submit 51919
periodic spending plans to the Director of Budget and Management 51920
to justify operating transfers to the fund from the General 51921
Revenue Fund. Upon approval, the Director of Budget and Management 51922
shall transfer approved amounts to the fund, not to exceed the 51923
amount of the annual appropriation in each fiscal year. The 51924
spending plans may be based on the recommendations of the Ohio 51925
Business Gateway Steering Committee or its successor.51926

       Section 207.30.20.  MAJOR IT PURCHASES51927

       The State Chief Information Officer shall compute the amount51928
of revenue attributable to the amortization of all equipment51929
purchases and capitalized systems from appropriation item 100-607, 51930
IT Service Delivery; appropriation item 100-617, Major IT51931
Purchases; and appropriation item CAP-837, Major IT Purchases,51932
which is recovered by the Office of Information Technology as part 51933
of the rates charged by the IT Service Delivery Fund (Fund 133) 51934
created in section 125.15 of the Revised Code. The Director of 51935
Budget and Management may transfer cash in an amount not to exceed 51936
the amount of amortization computed from the IT Service Delivery 51937
Fund (Fund 133) to the Major IT Purchases Fund (Fund 4N6).51938

       Section 207.30.30. INFORMATION TECHNOLOGY ASSESSMENT51939

       The State Chief Information Officer, with the approval of the 51940
Director of Budget and Management, may establish an information51941
technology assessment for the purpose of recovering the cost of51942
selected infrastructure and statewide programs. Such assessment 51943
shall comply with applicable cost principles issued by the federal 51944
Office of Management and Budget. The information technology51945
assessment shall be charged to all organized bodies, offices, or51946
agencies established by the laws of the state for the exercise of51947
any function of state government except for the General Assembly,51948
any legislative agency, the Supreme Court, the other courts of51949
record in Ohio, or any judicial agency, the Adjutant General, the51950
Bureau of Workers' Compensation, and institutions administered by51951
a board of trustees. Any state-entity exempted by this section may51952
utilize the infrastructure or statewide program by participating51953
in the information technology assessment. All charges for the51954
information technology assessment shall be deposited to the credit51955
of the IT Governance Fund (Fund 229).51956

       Section 207.30.40.  MULTI-AGENCY RADIO COMMUNICATION SYSTEM 51957
DEBT SERVICE PAYMENTS51958

       The Director of Administrative Services, in consultation with51959
the Multi-Agency Radio Communication System (MARCS) Steering51960
Committee and the Director of Budget and Management, shall51961
determine the share of debt service payments attributable to51962
spending for MARCS components that are not specific to any one51963
agency and that shall be charged to agencies supported by the51964
motor fuel tax. Such share of debt service payments shall be51965
calculated for MARCS capital disbursements made beginning July 1,51966
1997. Within thirty days of any payment made from appropriation51967
item 100-447, OBA - Building Rent Payments, the Director of51968
Administrative Services shall certify to the Director of Budget51969
and Management the amount of this share. The Director of Budget51970
and Management shall transfer such amounts to the General Revenue51971
Fund from the State Highway Safety Fund (Fund 036) established in51972
section 4501.06 of the Revised Code.51973

       The State Chief Information Officer shall consider renting or 51974
leasing existing tower sites at reasonable or current market 51975
rates, so long as these existing sites are equipped with the 51976
technical capabilities to support the MARCS project.51977

       Section 207.30.50. DIRECTOR'S DECLARATION OF PUBLIC EXIGENCY51978

       Whenever the Director of Administrative Services declares a51979
"public exigency," as provided in division (C) of section 123.1551980
of the Revised Code, the Director shall also notify the members of51981
the Controlling Board.51982

       Section 207.30.60. GENERAL SERVICE CHARGES51983

       The Department of Administrative Services, with the approval51984
of the Director of Budget and Management, shall establish charges51985
for recovering the costs of administering the programs in the51986
General Services Fund (Fund 117) and the State Printing Fund (Fund51987
210).51988

       Section 207.30.70. STATE ENERGY SERVICES PROGRAM51989

       Within 30 days after the effective date of this section, or 51990
as soon possible thereafter, the Director of Administrative 51991
Services shall certify the remaining cash in the Federal Special 51992
Revenue Fund (Fund 307) to the Director of Budget and Management, 51993
who shall transfer that amount to the State Architect's Office 51994
(Fund 131). The cash shall be used to operate the state's energy 51995
services program.51996

       Within thirty days after the effective date of this section, 51997
or as soon as possible thereafter, the Director of Administrative 51998
Services shall certify the remaining cash in the Energy Grants 51999
Fund (Fund 5A8) to the Director of Budget and Management, who 52000
shall transfer that amount to the State Architect's Office (Fund 52001
131). The cash shall be used to operate the state's energy 52002
services program.52003

       Section 207.30.80. FEDERAL GRANTS OGRIP52004

       As soon as possible on or after July 1, 2007, the Director of 52005
Budget and Management may transfer cash in the amount of 52006
$15,072.03 from the Federal Grants OGRIP Fund (Fund 3H6) to the 52007
General Revenue Fund.52008

       Section 209.10.  AAM COMMISSION ON AFRICAN AMERICAN MALES52009

General Revenue Fund52010

GRF 036-100 Personal Services $ 235,091 $ 235,091 52011
GRF 036-200 Maintenance $ 29,000 $ 29,000 52012
GRF 036-300 Equipment $ 1,000 $ 1,000 52013
GRF 036-502 Community Projects $ 516,909 $ 1,016,909 52014
TOTAL GRF General Revenue Fund $ 782,000 $ 1,282,000 52015

State Special Revenue Fund Group52016

4H3 036-601 Commission on African American Males - Gifts/Grants $ 10,000 $ 10,000 52017
TOTAL SSR State Special Revenue Fund Group $ 10,000 $ 10,000 52018
TOTAL ALL BUDGET FUND GROUPS $ 792,000 $ 1,292,000 52019

       CAAM STRATEGIC PLAN52020

       The Commission on African American Males shall develop a 52021
strategic plan to accomplish the tasks put forth in section 52022
4112.13 of the Revised Code.52023

       On January 1, 2008, or as soon as possible thereafter, the 52024
Director of the Commission on African American Males shall submit 52025
a strategic plan for the use of $500,000 in fiscal year 2008 and 52026
$1,000,000 in fiscal year 2009 to the Governor, the President of 52027
the Senate, the Minority Leader of the Senate, the Speaker of the 52028
House of Representatives, and the Minority Leader of the House of 52029
Representatives.52030

       Not later than June 30, 2009, the Commission on African 52031
American Males shall submit a report on the impacts and outcomes 52032
of the strategic plan to the Governor, the President of the 52033
Senate, the Minority Leader of the Senate, the Speaker of the 52034
House of Representatives, and the Minority Leader of the House of 52035
Representatives.52036

       Section 211.10. JCR JOINT COMMITTEE ON AGENCY RULE REVIEW52037

General Revenue Fund52038

GRF 029-321 Operating Expenses $ 397,000 $ 403,000 52039
TOTAL GRF General Revenue Fund $ 397,000 $ 403,000 52040
TOTAL ALL BUDGET FUND GROUPS $ 397,000 $ 403,000 52041

       OPERATING52042

       The Chief Administrative Officer of the House of52043
Representatives and the Clerk of the Senate shall determine, by52044
mutual agreement, which of them shall act as fiscal agent for the52045
Joint Committee on Agency Rule Review.52046

       OPERATING EXPENSES52047

       On July 1, 2007, or as soon as possible thereafter, the 52048
designated fiscal agent shall certify to the Director of Budget 52049
and Management the total fiscal year 2007 unencumbered 52050
appropriations in appropriation item 029-321, Operating Expenses. 52051
The designated fiscal agent may direct the Director of Budget and 52052
Management to transfer an amount not to exceed the total fiscal 52053
year 2007 unencumbered appropriations to fiscal year 2008 for use 52054
in appropriation item 029-321, Operating Expenses. Additional 52055
appropriation authority equal to the amount certified by the 52056
designated fiscal agent is hereby appropriated to appropriation 52057
item 029-321, Operating Expenses, in fiscal year 2008.52058

       On July 1, 2008, or as soon as possible thereafter, the 52059
designated fiscal agent shall certify to the Director of Budget 52060
and Management the total fiscal year 2008 unencumbered 52061
appropriations in appropriation item 029-321, Operating Expenses. 52062
The designated fiscal agent may direct the Director of Budget and 52063
Management to transfer an amount not to exceed the total fiscal 52064
year 2008 unencumbered appropriations to fiscal year 2009 for use 52065
in appropriation item 029-321, Operating Expenses. Additional 52066
appropriation authority equal to the amount certified by the 52067
designated fiscal agent is hereby appropriated to appropriation 52068
item 029-321, Operating Expenses, in fiscal year 2009.52069

       Section 213.10.  AGE DEPARTMENT OF AGING52070

General Revenue Fund52071

GRF 490-321 Operating Expenses $ 2,637,571 $ 2,637,271 52072
GRF 490-403 PASSPORT $ 128,391,189 $ 158,196,465 52073
GRF 490-406 Senior Olympics $ 14,856 $ 14,856 52074
GRF 490-409 Ohio Community Service Council Operations $ 183,792 $ 183,792 52075
GRF 490-410 Long-Term Care Ombudsman $ 654,965 $ 654,965 52076
GRF 490-411 Senior Community Services $ 10,349,439 $ 10,349,439 52077
GRF 490-412 Residential State Supplement $ 9,156,771 $ 9,156,771 52078
GRF 490-414 Alzheimers Respite $ 4,131,594 $ 4,131,594 52079
GRF 490-416 JCFS Community Options $ 250,000 $ 250,000 52080
GRF 490-421 PACE $ 10,214,809 $ 10,214,809 52081
GRF 490-422 Assisted Living Waiver $ 12,554,940 $ 15,213,890 52082
GRF 490-506 National Senior Service Corps $ 335,296 $ 335,296 52083
TOTAL GRF General Revenue Fund $ 178,875,222 $ 211,339,148 52084

General Services Fund Group52085

480 490-606 Senior Community Outreach and Education $ 372,677 $ 372,677 52086
TOTAL GSF General Services Fund 52087
Group $ 372,677 $ 372,677 52088

Federal Special Revenue Fund Group52089

3C4 490-607 PASSPORT $ 301,767,486 $ 301,274,172 52090
3C4 490-621 PACE-Federal $ 14,586,135 $ 14,586,135 52091
3C4 490-622 Assisted Living-Federal $ 14,972,892 $ 21,810,442 52092
3M4 490-612 Federal Independence Services $ 62,406,819 $ 63,655,080 52093
3R7 490-617 Ohio Community Service Council Programs $ 8,870,000 $ 8,870,000 52094
322 490-618 Federal Aging Grants $ 10,000,000 $ 10,200,000 52095
TOTAL FED Federal Special Revenue 52096
Fund Group $ 412,603,332 ` 420,395,829 52097

State Special Revenue Fund Group52098

4C4 490-609 Regional Long-Term Care Ombudsman Program $ 935,000 $ 935,000 52099
4J4 490-610 PASSPORT/Residential State Supplement $ 33,491,930 $ 33,263,984 52100
4U9 490-602 PASSPORT Fund $ 4,424,969 $ 4,424,969 52101
5AA 490-673 Ohio's Best Rx Administration $ 1,184,154 $ 910,801 52102
5BA 490-620 Ombudsman Support $ 600,000 $ 600,000 52103
5K9 490-613 Long Term Care Consumers Guide $ 820,400 $ 820,400 52104
5W1 490-616 Resident Services Coordinator Program $ 330,000 $ 330,000 52105
624 490-604 OCSC Community Support $ 470,000 $ 470,000 52106
TOTAL SSR State Special Revenue 52107
Fund Group $ 42,256,453 $ 41,755,154 52108
TOTAL ALL BUDGET FUND GROUPS $ 634,107,684 $ 673,862,808 52109


       Section 213.20. PRE-ADMISSION REVIEW FOR NURSING FACILITY52111
ADMISSION52112

       Pursuant to an interagency agreement, the Department of Job 52113
and Family Services shall designate the Department of Aging to 52114
perform assessments under sections 173.42 and 5111.204 of the 52115
Revised Code. Of the foregoing appropriation item 490-403,52116
PASSPORT, the Department of Aging may use not more than $2,731,000 52117
in fiscal year 2008 and $2,813,000 in fiscal year 2009 to perform52118
the assessments for persons not eligible for Medicaid under the 52119
department's interagency agreement with the Department of Job and 52120
Family Services and to assist individuals in planning for their 52121
long-term health care needs.52122

        PASSPORT52123

       Appropriation item 490-403, PASSPORT, and the amounts set52124
aside for the PASSPORT Waiver Program in appropriation item52125
490-610, PASSPORT/Residential State Supplement, may be used to52126
assess clients regardless of Medicaid eligibility.52127

       The Director of Aging shall adopt rules under section 111.1552128
of the Revised Code governing the nonwaiver funded PASSPORT52129
program, including client eligibility.52130

       The Department of Aging shall administer the Medicaid52131
waiver-funded PASSPORT Home Care Program as delegated by the52132
Department of Job and Family Services in an interagency agreement. 52133
The foregoing appropriation item 490-403, PASSPORT, and the 52134
amounts set aside for the PASSPORT Waiver Program in appropriation 52135
item 490-610, PASSPORT/Residential State Supplement, shall be used 52136
to provide the required state match for federal Medicaid funds52137
supporting the Medicaid Waiver-funded PASSPORT Home Care Program.52138
Appropriation item 490-403, PASSPORT, and the amounts set aside52139
for the PASSPORT Waiver Program in appropriation item 490-610,52140
PASSPORT/Residential State Supplement, may also be used to support52141
the Department of Aging's administrative costs associated with52142
operating the PASSPORT program.52143

       The foregoing appropriation item 490-607, PASSPORT, shall be52144
used to provide the federal matching share for all PASSPORT52145
program costs determined by the Department of Job and Family52146
Services to be eligible for Medicaid reimbursement.52147

       OHIO COMMUNITY SERVICE COUNCIL52148

       The foregoing appropriation items 490-409, Ohio Community52149
Service Council Operations, and 490-617, Ohio Community Service 52150
Council Programs, shall be used in accordance with section 121.40 52151
of the Revised Code.52152

       LONG-TERM CARE OMBUDSMAN52153

       The foregoing appropriation item 490-410, Long-Term Care52154
Ombudsman, shall be used for a program to fund ombudsman program52155
activities as authorized in sections 173.14 to 173.27 and section 52156
173.99 of the Revised Code.52157

       SENIOR COMMUNITY SERVICES52158

       Appropriation item 490-411, Senior Community Services, shall 52159
be used for services designated by the Department of Aging,52160
including, but not limited to, home-delivered and congregate 52161
meals, transportation services, personal care services, respite 52162
services, adult day services, home repair, care coordination, and 52163
decision support systems. Service priority shall be given to low 52164
income, frail, and cognitively impaired persons 60 years of age 52165
and over. The department shall promote cost sharing by service 52166
recipients for those services funded with senior community 52167
services funds, including, when possible, sliding-fee scale 52168
payment systems based on the income of service recipients.52169

       RESIDENTIAL STATE SUPPLEMENT52170

       Under the Residential State Supplement Program, the amount52171
used to determine whether a resident is eligible for payment and52172
for determining the amount per month the eligible resident will52173
receive shall be as follows:52174

       (A) $900 for a residential care facility, as defined in52175
section 3721.01 of the Revised Code;52176

       (B) $900 for an adult group home, as defined in Chapter 3722. 52177
of the Revised Code;52178

       (C) $800 for an adult foster home, as defined in Chapter 173.52179
of the Revised Code;52180

       (D) $800 for an adult family home, as defined in Chapter52181
3722. of the Revised Code;52182

       (E) $800 for an adult community alternative home, as defined52183
in Chapter 3724. of the Revised Code;52184

       (F) $800 for an adult residential facility, as defined in52185
Chapter 5119. of the Revised Code;52186

       (G) $600 for adult community mental health housing services,52187
as defined in division (B)(5) of section 173.35 of the Revised52188
Code.52189

       The Departments of Aging and Job and Family Services shall52190
reflect these amounts in any applicable rules the departments 52191
adopt under section 173.35 of the Revised Code.52192

       TRANSFER OF RESIDENTIAL STATE SUPPLEMENT APPROPRIATIONS52193

       The Department of Aging may transfer cash by intrastate52194
transfer vouchers from the foregoing appropriation items 490-412,52195
Residential State Supplement, and 490-610, PASSPORT/Residential52196
State Supplement, to the Department of Job and Family Services'52197
Fund 4J5, Home and Community-Based Services for the Aged Fund. The 52198
funds shall be used to make benefit payments to Residential State52199
Supplement recipients.52200

       ALZHEIMERS RESPITE52201

       The foregoing appropriation item 490-414, Alzheimers Respite,52202
shall be used to fund only Alzheimer's disease services under52203
section 173.04 of the Revised Code.52204

       JCFS COMMUNITY OPTIONS52205

       The foregoing appropriation item 490-416, JCFS Community 52206
Options, shall be used for noncapital expenses related to52207
transportation services for the elderly that provide access to52208
such things as healthcare services, congregate meals,52209
socialization programs, and grocery shopping. The funds shall pass 52210
through and shall be administered by the Area Agencies on Aging. 52211
Agencies receiving funding from appropriation item 490-416, JCFS 52212
Community Options, shall coordinate services with other local 52213
service agencies. The appropriation shall be allocated to the 52214
following agencies:52215

        (A) $80,000 in both fiscal years to Cincinnati Jewish 52216
Vocational Services;52217

        (B) $70,000 in both fiscal years to Wexner Heritage Village;52218

        (C) $20,000 in both fiscal years to Yassenoff Jewish 52219
Community Center;52220

        (D) $80,000 in both fiscal years to Cleveland Jewish 52221
Community Center.52222

       ALLOCATION OF PACE SLOTS52223

       In order to effectively administer and manage growth within 52224
the PACE Program, the Director of Aging may, as the director deems 52225
appropriate and to the extent funding is available, allocate funds 52226
for the PACE Program between the PACE sites in Cleveland and 52227
Cincinnati.52228

       OHIO'S BEST RX START-UP COSTS52229

       An amount equal to the unencumbered balance in appropriation 52230
item 490-440, Ohio's Best Rx Start-up Costs, from fiscal year 2007 52231
is hereby appropriated for fiscal year 2008 into appropriation 52232
item 490-440, Ohio's Best Rx Start-up Costs.52233

       An amount equal to the remaining unencumbered balance in 52234
appropriation item 490-440, Ohio's Best Rx Start-Up Costs, from 52235
fiscal year 2008 is hereby appropriated for fiscal year 2009 into 52236
appropriation item 490-440, Ohio's Best Rx Start-Up Costs. The 52237
appropriation item 490-440, Ohio's Best Rx Start-Up Costs, shall 52238
be used by the Department of Aging to pay for the administrative 52239
and operational expenses of the Ohio's Best Rx Program in 52240
accordance with sections 173.71 to 173.91 of the Revised Code, 52241
including costs associated with the duties assigned by the 52242
department to the Ohio's Best Rx Program Administrator and for 52243
making payments to participating terminal distributors until 52244
sufficient cash exists to make payments from the accounts created 52245
in sections 173.85 and 173.86 of the Revised Code. Of 52246
appropriation item 490-440, Ohio's Best Rx Start-Up Costs, not 52247
more than $750,000 in each fiscal year may be used by the 52248
department for administrative and operational costs, excluding 52249
outreach, that are not associated with the Ohio's Best Rx Program 52250
Administrator or the payments to participating terminal 52251
distributors.52252

       EDUCATION AND TRAINING52253

       The foregoing appropriation item 490-606, Senior Community 52254
Outreach and Education, may be used to provide training to workers 52255
in the field of aging pursuant to division (G) of section 173.02 52256
of the Revised Code.52257

       REGIONAL LONG-TERM CARE OMBUDSMAN PROGRAM52258

       The foregoing appropriation item 490-609, Regional Long-Term52259
Care Ombudsman Program, shall be used solely to pay the costs of52260
operating the regional long-term care ombudsman programs 52261
designated by the Long-Term Care Ombudsman.52262

       PASSPORT/RESIDENTIAL STATE SUPPLEMENT52263

       Of the foregoing appropriation item 490-610,52264
PASSPORT/Residential State Supplement, up to $2,835,000 each52265
fiscal year may be used to fund the Residential State Supplement52266
Program. The remaining available funds shall be used to fund the52267
PASSPORT program.52268

       FEDERAL SUPPORTIVE SERVICES FUND52269

       On July 1, 2007, as soon as possible thereafter, the Director 52270
of Budget and Management shall transfer all assets, liabilities, 52271
revenues, and obligations associated with the Federal Aging 52272
Nutrition Fund (Fund 3M3) to the Federal Supportive Services Fund 52273
(Fund 3M4). Upon the transfer, the Federal Aging Nutrition Fund 52274
(Fund 3M3) shall cease to exist. The Director of Budget and 52275
Management shall cancel any existing encumbrances against 52276
appropriation item 490-611, Federal Aging Nutrition Fund (Fund 52277
3M3), and re-establish them against appropriation item 490-612, 52278
Federal Independence Services (Fund 3M4). The amounts of the 52279
re-established encumbrances are hereby appropriated.52280

       TRANSFER OF APPROPRIATIONS - FEDERAL INDEPENDENCE SERVICES 52281
AND FEDERAL AGING GRANTS52282

       Upon written request of the Director of Aging, the Director52283
of Budget and Management may transfer appropriation authority52284
among appropriation items 490-612, Federal Independence Services, 52285
and 490-618, Federal Aging Grants, in amounts not to exceed 30 per52286
cent of the appropriation from which the transfer is made. The52287
Department of Aging shall report a transfer to the Controlling52288
Board at the next regularly scheduled meeting of the board.52289

       TRANSFER OF RESIDENT PROTECTION FUNDS52290

       The Director of Budget and Management shall transfer $600,000 52291
per year in cash from Fund 4E3, Resident Protection Fund, in the 52292
Department of Job and Family Services, to Fund 5BA in the 52293
Department of Aging, to be used for the expansion of ombudsman 52294
services to enhance consumer involvement and person-centered care 52295
planning in nursing homes by the Office of the State Long-Term 52296
Care Ombudsman created by the Department of Aging under division 52297
(M) of section 173.01 of the Revised Code.52298

       OHIO'S BEST RX ADMINISTRATION52299

       The foregoing appropriation item 490-673, Ohio's Best Rx 52300
Administration, shall be used on an ongoing basis to cover 52301
expenses associated with the Ohio's Best Rx Program specified in 52302
section 173.86 of the Revised Code. If receipts to the fund exceed 52303
the appropriated amount, the Director of Aging may seek 52304
Controlling Board approval to increase the appropriation of this 52305
fund. Upon approval from the Controlling Board, the additional 52306
amounts are hereby appropriated.52307

       Section 213.30.  UNIFIED LONG-TERM CARE BUDGET WORKGROUP52308

       (A) There is hereby created the Unified Long-Term Care Budget 52309
Workgroup consisting of the following:52310

       (1) The Director of Aging;52311

       (2) Consumer advocates;52312

       (3) Representatives of the provider community;52313

       (4) State policy makers.52314

       The Director of Aging shall serve as the chairperson of the 52315
Workgroup.52316

       (B) The Workgroup shall develop a unified long-term care 52317
budget that facilitates the following:52318

       (1) Providing a consumer a choice of services that meet the 52319
consumer's health care needs and improve the consumer's quality of 52320
life;52321

       (2) Providing a continuum of services that meet the needs of 52322
a consumer throughout life;52323

       (3) Consolidating policymaking authority and the associated 52324
budgets in a single entity to simplify the consumer's decision 52325
making and maximize the state's flexibility in meeting the 52326
consumer's needs;52327

       (4) Assuring the state has a system that is cost effective 52328
and links disparate services across agencies and jurisdictions.52329

       (C) The Workgroup shall submit a written implementation plan 52330
to the Governor not later than June 1, 2008. The plan shall 52331
incorporate the following:52332

       (1) Recommendations regarding the structure of the unified 52333
long-term care budget;52334

       (2) A plan outlining how funds can be transferred among 52335
involved agencies in a fiscally neutral manner;52336

       (3) Identification of the resources needed to implement the 52337
unified budget in a multiphase approach starting in fiscal year 52338
2009;52339

       (4) Success criteria and tools to measure progress against 52340
the success criteria.52341

       The plan shall consider the recommendations of the Medicaid 52342
Administrative Study Council and the Ohio Commission to Reform 52343
Medicaid.52344

       Section 215.10. AGR DEPARTMENT OF AGRICULTURE52345

General Revenue Fund52346

GRF 700-321 Operating Expenses $ 2,605,330 $ 2,605,330 52347
GRF 700-401 Animal Disease Control $ 3,574,506 $ 3,574,506 52348
GRF 700-403 Dairy Division $ 1,304,504 $ 1,304,504 52349
GRF 700-404 Ohio Proud $ 196,895 $ 196,895 52350
GRF 700-405 Animal Damage Control $ 60,000 $ 60,000 52351
GRF 700-406 Consumer Analytical Lab $ 953,906 $ 953,906 52352
GRF 700-407 Food Safety $ 865,100 $ 865,100 52353
GRF 700-409 Farmland Preservation $ 241,573 $ 241,573 52354
GRF 700-410 Plant Industry $ 150,000 $ 150,000 52355
GRF 700-411 International Trade and Market Development $ 617,524 $ 517,524 52356
GRF 700-412 Weights and Measures $ 1,300,000 $ 1,300,000 52357
GRF 700-413 Gypsy Moth Prevention $ 200,000 $ 200,000 52358
GRF 700-415 Poultry Inspection $ 325,000 $ 325,000 52359
GRF 700-418 Livestock Regulation Program $ 1,428,496 $ 1,428,496 52360
GRF 700-424 Livestock Testing and Inspections $ 115,946 $ 115,946 52361
GRF 700-499 Meat Inspection Program - State Share $ 4,696,889 $ 4,696,889 52362
GRF 700-501 County Agricultural Societies $ 483,226 $ 483,226 52363
GRF 700-503 Livestock Exhibition Fund $ 62,500 $ 62,500 52364
TOTAL GRF General Revenue Fund $ 19,181,395 $ 19,081,395 52365

General Services Fund Group52366

5DA 700-644 Laboratory Administration Support $ 1,100,000 $ 1,100,000 52367
TOTAL GSF General Services Fund Group $ 1,100,000 $ 1,100,000 52368

Federal Special Revenue Fund Group52369

3AB 700-641 Agricultural Easement $ 2,000,000 $ 2,000,000 52370
3J4 700-607 Indirect Cost $ 600,000 $ 600,000 52371
3R2 700-614 Federal Plant Industry $ 4,800,000 $ 4,800,000 52372
326 700-618 Meat Inspection Program - Federal Share $ 4,960,000 $ 4,950,000 52373
336 700-617 Ohio Farm Loan Revolving Fund $ 44,679 $ 44,679 52374
382 700-601 Cooperative Contracts $ 3,700,000 $ 3,700,000 52375
TOTAL FED Federal Special Revenue 52376
Fund Group $ 16,104,679 $ 16,094,679 52377

State Special Revenue Fund Group52378

4C9 700-605 Feed, Fertilizer, Seed, and Lime Inspection $ 1,850,000 $ 1,850,000 52379
4D2 700-609 Auction Education $ 24,601 $ 24,601 52380
4E4 700-606 Utility Radiological Safety $ 73,059 $ 73,059 52381
4P7 700-610 Food Safety Inspection $ 858,096 $ 858,096 52382
4R2 700-637 Dairy Industry Inspection $ 1,500,000 $ 1,500,000 52383
4T6 700-611 Poultry and Meat Inspection $ 47,294 $ 47,294 52384
4T7 700-613 International Trade and Market Development $ 15,000 $ 15,000 52385
494 700-612 Agricultural Commodity Marketing Program $ 250,000 $ 250,000 52386
496 700-626 Ohio Grape Industries $ 850,000 $ 849,999 52387
497 700-627 Commodity Handlers Regulatory Program $ 500,000 $ 500,000 52388
5B8 700-629 Auctioneers $ 365,390 $ 365,390 52389
5H2 700-608 Metrology Lab and Scale Certification $ 427,526 $ 427,526 52390
5L8 700-604 Livestock Management Program $ 30,000 $ 30,000 52391
578 700-620 Ride Inspection Fees $ 1,000,000 $ 1,000,001 52392
652 700-634 Animal and Consumer Analytical Laboratory $ 3,000,000 $ 3,000,000 52393
669 700-635 Pesticide Program $ 2,800,000 $ 2,800,000 52394
TOTAL SSR State Special Revenue 52395
Fund Group $ 13,590,966 $ 13,590,966 52396

Clean Ohio Fund Group52397

057 700-632 Clean Ohio Agricultural Easement $ 149,000 $ 149,000 52398
TOTAL CLR Clean Ohio Fund Group $ 149,000 $ 149,000 52399

TOTAL ALL BUDGET FUND GROUPS $ 50,126,040 $ 50,016,040 52400

       OHIO - ISRAEL AGRICULTURAL INITIATIVE52401

       Of the foregoing General Revenue Fund appropriation item 52402
700-411, International Trade and Market Development, $100,000 52403
shall be used in fiscal year 2008 for the Ohio - Israel 52404
Agricultural Initiative.52405

       COUNTY AGRICULTURAL SOCIETIES52406

       The foregoing appropriation item 700-501, County Agricultural 52407
Societies, shall be used to reimburse county and independent 52408
agricultural societies for expenses related to Junior Fair 52409
activities.52410

       LIVESTOCK EXHIBITION FUND52411

        The foregoing appropriation item 700-503, Livestock 52412
Exhibition Fund, shall be used in accordance with section 901.42 52413
of the Revised Code.52414

       CORRECTIVE CASH TRANSFER TO ANIMAL HEALTH AND FOOD SAFETY 52415
FUND52416

       On the effective date of this section, or as soon as possible 52417
thereafter, the Director of Budget and Management may transfer all 52418
cash from the Animal Industry Laboratory Fund (Fund 4V5) to the 52419
Laboratory Services Fund (Fund 652) to correct deposits that were 52420
mistakenly deposited to the Laboratory Services Fund (Fund 4V5).52421

       Section 217.10. AIR AIR QUALITY DEVELOPMENT AUTHORITY52422

General Revenue Fund52423

GRF 898-402 Coal Development Office $ 565,097 $ 589,092 52424
GRF 898-901 Coal R&D General Obligation Debt Service $ 7,232,400 $ 8,192,500 52425
TOTAL GRF General Revenue Fund $ 7,797,497 $ 8,781,592 52426

General Services Fund Group52427

5EG 898-608 Energy Strategy Development $ 307,000 $ 307,000 52428
TOTAL GSF General Services Fund $ 307,000 $ 307,000 52429

Agency Fund Group52430

4Z9 898-602 Small Business Ombudsman $ 287,146 $ 294,290 52431
5A0 898-603 Small Business Assistance $ 71,087 $ 71,087 52432
570 898-601 Operating Expenses $ 255,000 $ 264,000 52433
TOTAL AGY Agency Fund Group $ 613,233 $ 629,377 52434

Coal Research/Development Fund52435

046 898-604 Coal Research and Development Fund $ 10,000,000 $ 10,000,000 52436
TOTAL 046 Coal Research/Development Fund $ 10,000,000 $ 10,000,000 52437
TOTAL ALL BUDGET FUND GROUPS $ 18,717,730 $ 19,717,969 52438

       COAL DEVELOPMENT OFFICE52439

        The foregoing appropriation item GRF 898-402, Coal 52440
Development Office, shall be used for the administrative costs of 52441
the Coal Development Office.52442

       COAL RESEARCH AND DEVELOPMENT GENERAL OBLIGATION DEBT SERVICE52443

        The foregoing appropriation item GRF 898-901, Coal R & D 52444
General Obligation Debt Service, shall be used to pay all debt 52445
service and related financing costs at the times they are required 52446
to be made during the period from July 1, 2007 to June 30, 2009 52447
for obligations issued under sections 151.01 and 151.07 of the 52448
Revised Code.52449

       SCIENCE AND TECHNOLOGY COLLABORATION52450

        The Air Quality Development Authority shall work in close 52451
collaboration with the Department of Development, the Board of 52452
Regents, and the Third Frontier Commission in relation to 52453
appropriation items and programs referred to as Alignment Programs 52454
in the following paragraph, and other technology-related 52455
appropriations and programs in the Department of Development, Air 52456
Quality Development Authority, and the Board of Regents as those 52457
agencies may designate, to ensure implementation of a coherent 52458
state strategy with respect to science and technology.52459

       To the extent permitted by law, the Air Quality Development 52460
Authority shall assure that coal research and development 52461
programs, proposals, and projects consider or incorporate 52462
appropriate collaborations with Third Frontier Project programs 52463
and grantees and with Alignment Programs and grantees.52464

       "Alignment Programs" means: appropriation items 195-401, 52465
Thomas Edison Program; 898-402, Coal Development Office; 195-422, 52466
Third Frontier Action Fund; 898-604, Coal Research and Development 52467
Fund; 235-433, Economic Growth Challenge; 235-508, Air Force 52468
Institute of Technology; 235-510, Ohio Supercomputer Center; 52469
235-451, Eminent Scholars; 235-527, Ohio Aerospace Institute; 52470
235-535, Ohio Agricultural Research and Development Center; 52471
235-553, Dayton Area Graduate Studies Institute; 235-554, 52472
Priorities in Collaborative Graduate Education; 235-556, Ohio 52473
Academic Resources Network; and 195-435, Biomedical Research and 52474
Technology Transfer Trust.52475

       Consistent with the recommendations of the Governor's 52476
Commission on Higher Education and the Economy, Alignment Programs 52477
shall be managed and administered (1) to build on existing 52478
competitive research strengths, (2) to encourage new and emerging 52479
discoveries and commercialization of ideas and products that will 52480
benefit the Ohio economy, and (3) to assure improved collaboration 52481
among Alignment Programs, with programs administered by the Third 52482
Frontier Commission, and with other state programs that are 52483
intended to improve economic growth and job creation.52484

       As directed by the Third Frontier Commission, Alignment 52485
Program managers shall report to the Commission or to the Third 52486
Frontier Advisory Board on the contributions of their programs to 52487
achieving the objectives stated in the preceding paragraph.52488

       Each alignment program shall be reviewed annually by the 52489
Third Frontier Commission with respect to its development of 52490
complementary relationships within a combined state science and 52491
technology investment portfolio and its overall contribution to 52492
the state's science and technology strategy, including the 52493
adoption of appropriately consistent criteria for: (1) the 52494
scientific merit of activities supported by the program; (2) the 52495
relevance of the program's activities to commercial opportunities 52496
in the private sector; (3) the private sector's involvement in a 52497
process that continually evaluates commercial opportunities to use 52498
the work supported by the program; and (4) the ability of the 52499
program and recipients of grant funding from the program to engage 52500
in activities that are collaborative, complementary, and efficient 52501
with respect to the expenditure of state funds. Each alignment 52502
program shall provide annual reports to the Third Frontier 52503
Commission discussing existing, planned, or possible 52504
collaborations between programs and recipients of grant funding 52505
related to technology, development, commercialization, and 52506
supporting Ohio's economic development. The annual review by the 52507
Third Frontier Commission shall be a comprehensive review of the 52508
entire state science and technology program portfolio rather than 52509
a review of individual programs.52510

       Applicants for Third Frontier and Alignment Program funding 52511
shall identify their requirements for high-performance computing 52512
facilities and services, including both hardware and software, in 52513
all proposals. If an applicant's requirements exceed approximately 52514
$100,000 for a proposal, the Ohio Supercomputer Center shall 52515
convene a panel of experts. The panel shall review the proposal to 52516
determine whether the proposal's requirements can be met through 52517
Ohio Supercomputer Center facilities or through other means and 52518
report its conclusion to the Third Frontier Commission.52519

        To ensure that the state receives the maximum benefit from 52520
its investment in the Third Frontier Project and the Third 52521
Frontier Network, organizations receiving Third Frontier awards 52522
and Alignment Program awards shall, as appropriate, be expected to 52523
have a connection to the Third Frontier Network that enables them 52524
and their collaborators to achieve award objectives through the 52525
Third Frontier Network.52526

       CORRECTIVE CASH TRANSFER52527

       On the effective date of this section, or as soon as possible 52528
thereafter, the Director of Budget and Management may transfer 52529
$35,555.35 in cash from the Coal Research and Development Fund 52530
(Fund 046) into the Coal Research and Development Bond Services 52531
Fund (Fund 076) to correct deposits that were mistakenly deposited 52532
into the Coal Research and Development Fund (Fund 046).52533

       Section 219.10.  ADA DEPARTMENT OF ALCOHOL AND DRUG ADDICTION 52534
SERVICES52535

General Revenue Fund52536

GRF 038-321 Operating Expenses $ 1,071,861 $ 1,071,861 52537
GRF 038-401 Treatment Services $ 31,661,063 $ 34,661,063 52538
GRF 038-404 Prevention Services $ 1,052,127 $ 1,552,127 52539
TOTAL GRF General Revenue Fund $ 33,785,051 $ 37,285,051 52540

General Services Fund52541

5T9 038-616 Problem Gambling Services $ 285,000 $ 285,000 52542
TOTAL GSF General Services Fund Group $ 285,000 $ 285,000 52543

Federal Special Revenue Fund Group52544

3CK 038-625 TANF $ 5,000,000 $ 5,000,000 52545
3G3 038-603 Drug Free Schools $ 3,500,000 $ 3,500,000 52546
3G4 038-614 Substance Abuse Block Grant $ 73,000,000 $ 73,000,000 52547
3H8 038-609 Demonstration Grants $ 7,093,075 $ 7,093,075 52548
3J8 038-610 Medicaid $ 46,000,000 $ 46,000,000 52549
3N8 038-611 Administrative Reimbursement $ 500,000 $ 500,000 52550
TOTAL FED Federal Special Revenue 52551
Fund Group $ 135,093,075 $ 135,093,075 52552

State Special Revenue Fund Group52553

475 038-621 Statewide Treatment and Prevention $ 18,000,000 $ 18,000,000 52554
5BR 038-406 Tobacco Use Prevention and Control Program $ 205,000 $ 205,000 52555
5DH 038-620 Fetal Alcohol Spectrum Disorder $ 327,500 $ 327,500 52556
689 038-604 Education and Conferences $ 350,000 $ 350,000 52557
TOTAL SSR State Special Revenue 52558
Fund Group $ 18,882,500 $ 18,882,500 52559
TOTAL ALL BUDGET FUND GROUPS $ 188,045,626 $ 191,545,626 52560

       TREATMENT SERVICES52561

        Of the foregoing appropriation item 038-401, Treatment 52562
Services, not more than $8,190,000 shall be used by the Department 52563
of Alcohol and Drug Addiction Services for program grants for 52564
priority populations in each year of the biennium.52565

       SUBSTANCE ABUSE SERVICES FOR FAMILIES OF AT RISK CHILDREN52566

       Of the foregoing appropriation item 038-401, Treatment52567
Services, $4 million in each fiscal year shall be used to provide 52568
substance abuse services to families involved in the child welfare 52569
system under the requirements of Am. Sub. H.B. 484 of the 122nd52570
General Assembly.52571

       THERAPEUTIC COMMUNITIES52572

        Of the foregoing appropriation item 038-401, Treatment 52573
Services, $600,000 shall be used in each fiscal year for the 52574
Therapeutic Communities Program in the Department of 52575
Rehabilitation and Correction.52576

        JUVENILE AFTERCARE PROGRAM52577

       Of the foregoing appropriation item 038-401, Treatment 52578
Services, $2,500,000 shall be used in fiscal year 2009 for the 52579
Juvenile Aftercare Program to provide community-based alcohol and 52580
other drug treatment to parolees from the Department of Youth 52581
Services.52582

       SERVICES FOR TANF-ELIGIBLE INDIVIDUALS52583

       Of the foregoing appropriation item 038-625, TANF 52584
Reimbursement, an amount up to $5 million each year shall be used 52585
to reimburse counties for TANF-eligible expenditures for substance 52586
abuse prevention and treatment services to children, or their 52587
families, whose income is at or below 200 per cent of the federal52588
poverty level. The Director of Alcohol and Drug Addiction Services 52589
and the Director of Job and Family Services shall enter into an 52590
interagency agreement that meets federal requirements.52591

       PERFORMANCE REVIEW52592

        The Auditor of State shall complete a performance review of 52593
the Department of Alcohol and Drug Addiction Services. Upon 52594
completing the performance review, the Auditor of State shall 52595
submit a report of the findings of the review to the Governor, the 52596
President of the Senate, the Speaker of the House of 52597
Representatives, and the Director of Alcohol and Drug Addiction 52598
Services.52599

       Section 221.10.  ARC STATE BOARD OF EXAMINERS OF ARCHITECTS52600

General Services Fund Group52601

4K9 891-609 Operating Expenses $ 589,710 $ 527,641 52602
TOTAL GSF General Services Fund 52603
Group $ 589,710 $ 527,641 52604
TOTAL ALL BUDGET FUND GROUPS $ 589,710 $ 527,641 52605


       Section 223.10.  ART OHIO ARTS COUNCIL52607

General Revenue Fund52608

GRF 370-100 Personal Services $ 1,798,235 $ 1,798,235 52609
GRF 370-200 Maintenance $ 459,746 $ 459,746 52610
GRF 370-300 Equipment $ 82,700 $ 82,700 52611
GRF 370-502 State Program Subsidies $ 9,647,480 $ 9,647,480 52612
TOTAL GRF General Revenue Fund $ 11,988,161 $ 11,988,161 52613

General Services Fund Group52614

4B7 370-603 Percent for Art Acquisitions $ 86,366 $ 86,366 52615
460 370-602 Management Expenses and Donations $ 285,000 $ 285,000 52616
TOTAL GSF General Services Fund Group $ 371,366 $ 371,366 52617

Federal Special Revenue Fund Group52618

314 370-601 Federal Support $ 800,000 $ 800,000 52619
TOTAL FED Federal Special Revenue Fund Group $ 800,000 $ 800,000 52620
TOTAL ALL BUDGET FUND GROUPS $ 13,159,527 $ 13,159,527 52621

       PROGRAM SUBSIDIES52622

       A museum is not eligible to receive funds from appropriation52623
item 370-502, State Program Subsidies, if $8,000,000 or more in 52624
capital appropriations were appropriated by the state for the 52625
museum between January 1, 1986, and December 31, 2002.52626

       Section 225.10. ATH ATHLETIC COMMISSION52627

General Services Fund Group52628

4K9 175-609 Operating Expenses $ 255,850 $ 255,850 52629
TOTAL GSF General Services Fund Group $ 255,850 $ 255,850 52630
TOTAL ALL BUDGET FUND GROUPS $ 255,850 $ 255,850 52631


       Section 227.10. AGO ATTORNEY GENERAL52633

General Revenue Fund52634

GRF 055-321 Operating Expenses $ 54,063,833 $ 54,007,332 52635
GRF 055-404 Tobacco Settlement Enforcement $ 0 $ 723,797 52636
GRF 055-411 County Sheriffs' Pay Supplement $ 813,117 $ 842,134 52637
GRF 055-415 County Prosecutors' Pay Supplement $ 896,404 $ 923,888 52638
TOTAL GRF General Revenue Fund $ 55,773,354 $ 56,497,151 52639

General Services Fund Group52640

106 055-612 General Reimbursement $ 29,870,196 $ 29,870,196 52641
195 055-660 Workers' Compensation Section $ 8,002,720 $ 8,002,720 52642
4Y7 055-608 Title Defect Rescission $ 750,000 $ 750,000 52643
4Z2 055-609 BCI Asset Forfeiture and Cost Reimbursement $ 1,000,000 $ 1,000,000 52644
418 055-615 Charitable Foundations $ 6,919,850 $ 7,064,978 52645
420 055-603 Attorney General Antitrust $ 1,500,000 $ 1,500,000 52646
421 055-617 Police Officers' Training Academy Fee $ 2,000,000 $ 2,000,000 52647
5A9 055-618 Telemarketing Fraud Enforcement $ 7,500 $ 7,500 52648
590 055-633 Peace Officer Private Security Fund $ 98,370 $ 98,370 52649
629 055-636 Corrupt Activity Investigation and Prosecution $ 15,000 $ 15,000 52650
631 055-637 Consumer Protection Enforcement $ 2,500,000 $ 2,500,000 52651
TOTAL GSF General Services Fund 52652
Group $ 52,663,636 $ 52,808,764 52653

Federal Special Revenue Fund Group52654

3E5 055-638 Attorney General Pass-Through Funds $ 2,850,000 $ 3,030,000 52655
3R6 055-613 Attorney General Federal Funds $ 4,870,000 $ 5,115,000 52656
306 055-620 Medicaid Fraud Control $ 3,139,500 $ 3,296,500 52657
381 055-611 Civil Rights Legal Service $ 402,540 $ 402,540 52658
383 055-634 Crime Victims Assistance $ 16,000,000 $ 16,000,000 52659
TOTAL FED Federal Special Revenue 52660
Fund Group $ 27,262,040 $ 27,844,040 52661

State Special Revenue Fund Group52662

4L6 055-606 DARE $ 3,927,962 $ 3,927,962 52663
402 055-616 Victims of Crime $ 34,000,000 $ 34,000,000 52664
419 055-623 Claims Section $ 25,000,000 $ 25,000,000 52665
659 055-641 Solid and Hazardous Waste Background Investigations $ 621,159 $ 621,159 52666
TOTAL SSR State Special Revenue 52667
Fund Group $ 63,549,121 $ 63,549,121 52668

Holding Account Redistribution Fund Group52669

R04 055-631 General Holding Account $ 1,000,000 $ 1,000,000 52670
R05 055-632 Antitrust Settlements $ 1,000 $ 1,000 52671
R18 055-630 Consumer Frauds $ 750,000 $ 750,000 52672
R42 055-601 Organized Crime Commission Distributions $ 25,025 $ 25,025 52673
TOTAL 090 Holding Account 52674
Redistribution Fund Group $ 1,776,025 $ 1,776,025 52675
TOTAL ALL BUDGET FUND GROUPS $ 201,024,176 $ 202,475,101 52676

       TOBACCO SETTLEMENT ENFORCEMENT52677

       The foregoing appropriation item 055-404, Tobacco Settlement 52678
Enforcement, shall be used by the Attorney General to pay costs 52679
incurred in the oversight, administration, and enforcement of the 52680
Tobacco Master Settlement Agreement.52681

       COUNTY SHERIFFS' PAY SUPPLEMENT52682

        The foregoing appropriation item 055-411, County Sheriffs' 52683
Pay Supplement, shall be used for the purpose of supplementing the 52684
annual compensation of county sheriffs as required by section 52685
325.06 of the Revised Code.52686

       At the request of the Attorney General, the Director of 52687
Budget and Management may transfer appropriation authority from 52688
appropriation item 055-321, Operating Expenses, to appropriation 52689
item 055-411, County Sheriffs' Pay Supplement. Any appropriation 52690
authority so transferred to appropriation item 055-411, County 52691
Sheriffs' Pay Supplement, shall be used to supplement the annual 52692
compensation of county sheriffs as required by section 325.06 of 52693
the Revised Code.52694

       COUNTY PROSECUTORS' PAY SUPPLEMENT52695

       The foregoing appropriation item 055-415, County Prosecutors' 52696
Pay Supplement, shall be used for the purpose of supplementing the 52697
annual compensation of certain county prosecutors as required by 52698
section 325.111 of the Revised Code.52699

       At the request of the Attorney General, the Director of 52700
Budget and Management may transfer appropriation authority from 52701
appropriation item 055-321, Operating Expenses, to appropriation 52702
item 055-415, County Prosecutors' Pay Supplement. Any 52703
appropriation authority so transferred to appropriation item 52704
055-415, County Prosecutors' Pay Supplement, shall be used to 52705
supplement the annual compensation of county prosecutors as 52706
required by section 325.111 of the Revised Code.52707

       WORKERS' COMPENSATION SECTION52708

       The Workers' Compensation Section Fund (Fund 195) is entitled 52709
to receive payments from the Bureau of Workers' Compensation and 52710
the Ohio Industrial Commission at the beginning of each quarter of52711
each fiscal year to fund legal services to be provided to the52712
Bureau of Workers' Compensation and the Ohio Industrial Commission52713
during the ensuing quarter. The advance payment shall be subject52714
to adjustment.52715

       In addition, the Bureau of Workers' Compensation shall52716
transfer payments at the beginning of each quarter for the support52717
of the Workers' Compensation Fraud Unit.52718

       All amounts shall be mutually agreed upon by the Attorney52719
General, the Bureau of Workers' Compensation, and the Ohio52720
Industrial Commission.52721

       CORRUPT ACTIVITY INVESTIGATION AND PROSECUTION52722

       The foregoing appropriation item 055-636, Corrupt Activity52723
Investigation and Prosecution, shall be used as provided by52724
division (D)(2) of section 2923.35 of the Revised Code to dispose52725
of the proceeds, fines, and penalties credited to the Corrupt52726
Activity Investigation and Prosecution Fund, which is created in52727
division (D)(1)(b) of section 2923.35 of the Revised Code.52728

       GENERAL HOLDING ACCOUNT52729

       The foregoing appropriation item 055-631, General Holding 52730
Account, shall be used to distribute moneys under the terms of 52731
relevant court orders received from settlements in a variety of 52732
cases involving the Office of the Attorney General.52733

       ATTORNEY GENERAL PASS-THROUGH FUNDS52734

        The foregoing appropriation item 055-638, Attorney General 52735
Pass-Through Funds, shall be used to receive federal grant funds 52736
provided to the Attorney General by other state agencies, 52737
including, but not limited to, the Department of Youth Services 52738
and the Department of Public Safety.52739

        ANTITRUST SETTLEMENTS52740

       The foregoing appropriation item 055-632, Antitrust 52741
Settlements, shall be used to distribute court-ordered antitrust 52742
settlements in which the Office of Attorney General represents the 52743
state or a political subdivision under section 109.81 of the 52744
Revised Code.52745

       CONSUMER FRAUDS52746

        The foregoing appropriation item 055-630, Consumer Frauds, 52747
shall be used for distribution of moneys from court-ordered 52748
judgments against sellers in actions brought by the Office of 52749
Attorney General under sections 1334.08 and 4549.48 and division 52750
(B) of section 1345.07 of the Revised Code. These moneys shall be 52751
used to provide restitution to consumers victimized by the fraud 52752
that generated the court-ordered judgments.52753

       ORGANIZED CRIME COMMISSION DISTRIBUTIONS52754

        The foregoing appropriation item 055-601, Organized Crime 52755
Commission Distributions, shall be used by the Organized Crime 52756
Investigations Commission, as provided by section 177.011 of the 52757
Revised Code, to reimburse political subdivisions for the expenses 52758
the political subdivisions incur when their law enforcement 52759
officers participate in an organized crime task force.52760

       FUND ADJUSTMENTS52761

       On July 1, 2007, or as soon as practicable thereafter, the 52762
Director of Budget and Management shall transfer the cash balance 52763
in the Employment Services Fund (Fund 107) to the General 52764
Reimbursement Fund (Fund 106). The Director shall cancel any 52765
existing encumbrances against appropriation item 055-624, 52766
Employment Services, and re-establish them against appropriation 52767
item 055-612, General Reimbursement. The amounts of the 52768
re-established encumbrances are hereby appropriated. Upon 52769
completion of these transfers, the Employment Services Fund (Fund 52770
107) is hereby abolished.52771

       On July 1, 2007, or as soon as practicable thereafter, the 52772
Director of Budget and Management shall transfer the cash balance 52773
in the Crime Victims Compensation Fund (Fund 108) to the 52774
Reparations Fund (Fund 402). Upon completion of this transfer, the 52775
Crime Victims Compensation Fund (Fund 108) is hereby abolished.52776

       Section 229.10. AUD AUDITOR OF STATE52777

General Revenue Fund52778

GRF 070-321 Operating Expenses $ 31,469,552 $ 32,771,482 52779
GRF 070-403 Fiscal Watch/Emergency Technical Assistance $ 600,000 $ 600,000 52780
TOTAL GRF General Revenue Fund $ 32,069,552 $ 33,371,482 52781

Auditor of State Fund Group52782

109 070-601 Public Audit Expense - Intra-State $ 11,000,000 $ 11,000,000 52783
422 070-601 Public Audit Expense - Local Government $ 33,000,000 $ 34,000,000 52784
584 070-603 Training Program $ 181,250 $ 181,250 52785
675 070-605 Uniform Accounting Network $ 3,317,336 $ 3,317,336 52786
TOTAL AUD Auditor of State Fund 52787
Group $ 47,498,586 $ 48,498,586 52788
TOTAL ALL BUDGET FUND GROUPS $ 79,568,138 $ 81,870,068 52789

       FISCAL WATCH/EMERGENCY TECHNICAL ASSISTANCE52790

       The foregoing appropriation item 070-403, Fiscal52791
Watch/Emergency Technical Assistance, shall be used for expenses 52792
incurred by the Office of the Auditor of State in its role 52793
relating to fiscal watch or fiscal emergency activities under52794
Chapters 118. and 3316. of the Revised Code. Expenses include, but 52795
are not limited to, the following: duties related to the 52796
determination or termination of fiscal watch or fiscal emergency 52797
of municipal corporations, counties, or townships as outlined in 52798
Chapter 118. of the Revised Code and of school districts as 52799
outlined in Chapter 3316. of the Revised Code; development of 52800
preliminary accounting reports; performance of annual forecasts; 52801
provision of performance audits; and supervisory, accounting, or 52802
auditing services for the mentioned public entities and school 52803
districts. The unencumbered balance of appropriation item 070-403, 52804
Fiscal Watch/Emergency Technical Assistance, at the end of fiscal 52805
year 2008 is transferred to fiscal year 2009 for use under the 52806
same appropriation item.52807

       UNIFORM ACCOUNTING NETWORK/TECHNOLOGY IMPROVEMENTS FUND 52808
TRANSFER52809

       Upon the request of the Auditor of State, and subject to 52810
approval from the Controlling Board, effective July 1, 2007, or as 52811
soon thereafter as possible, the Director of Budget and Management 52812
shall transfer the appropriation balance in GRF appropriation item 52813
070-406, Uniform Accounting Network/Technology Improvements Fund, 52814
to GRF appropriation item 070-321, Operating Expenses. The 52815
Director shall cancel any existing encumbrances against GRF 52816
appropriation item 070-406, Uniform Accounting Network/Technology 52817
Improvement Fund, and re-establish them against GRF appropriation 52818
item 070-321, Operating Expenses. The amounts of the 52819
re-established encumbrances are hereby appropriated.52820

       Section 231.10. BRB BOARD OF BARBER EXAMINERS52821

General Services Fund Group52822

4K9 877-609 Operating Expenses $ 608,045 $ 628,264 52823
TOTAL GSF General Services Fund 52824
Group $ 608,045 $ 628,264 52825
TOTAL ALL BUDGET FUND GROUPS $ 608,045 $ 628,264 52826


       Section 233.10. OBM OFFICE OF BUDGET AND MANAGEMENT52828

General Revenue Fund52829

GRF 042-321 Budget Development and Implementation $ 2,026,011 $ 2,128,284 52830
GRF 042-410 National Association Dues $ 28,700 $ 29,561 52831
GRF 042-412 Audit of Auditor of State $ 60,460 $ 60,460 52832
GRF 042-413 Payment Issuance $ 1,191,802 $ 1,150,192 52833
GRF 042-416 Medicaid Agency Transition $ 0 $ 1,500,000 52834
TOTAL GRF General Revenue Fund $ 3,306,973 $ 4,868,497 52835

General Services Fund Group52836

105 042-603 State Accounting and Budgeting $ 12,115,134 $ 12,742,551 52837
TOTAL GSF General Services Fund Group $ 12,115,134 $ 12,742,551 52838

Federal Special Revenue Fund Group52839

3CM 042-606 Medicaid Agency Transition $ 0 $ 1,500,000 52840
TOTAL FED Federal Special Revenue Fund Group $ 0 $ 1,500,000 52841

State Special Revenue Fund Group52842

5N4 042-602 OAKS Project Implementation $ 2,200,725 $ 2,132,168 52843
TOTAL SSR State Special Revenue Fund Group $ 2,200,725 $ 2,132,168 52844

Agency Fund Group52845

5EH 042-604 Forgery Recovery $ 35,000 $ 35,000 52846
TOTAL AGY Agency Fund Group $ 35,000 $ 35,000 52847
TOTAL ALL BUDGET FUND GROUPS $ 17,657,832 $ 21,278,216 52848

       AUDIT COSTS52849

       Of the foregoing appropriation item 042-603, State Accounting 52850
and Budgeting, not more than $435,000 in fiscal year 2008 and52851
$445,000 in fiscal year 2009 shall be used to pay for centralized52852
audit costs associated with either Single Audit Schedules or52853
financial statements prepared in conformance with generally52854
accepted accounting principles for the state.52855

       Section 233.20. OAKS SUPPORT ORGANIZATION52856

       The OAKS Support Organization shall operate and maintain the 52857
financial management module of the state's enterprise resource 52858
planning system to support the activities of the Office of Budget 52859
and Management. The OAKS Support Organization shall recover the 52860
costs to establish and maintain the enterprise resource planning 52861
system through billings to the Office of Budget and Management.52862

       Effective July 1, 2007, the Office of Budget Management shall 52863
include the recovery of costs to administer the financial module 52864
of the OAKS System in the accounting and budgeting services 52865
payroll rate. These revenues shall be deposited to the credit of 52866
the Accounting and Budgeting Services Fund (Fund 105). Amounts 52867
deposited under this section are hereby appropriated to 52868
appropriation item 042-603, State Accounting and Budgeting. Not 52869
less than quarterly, the Office of Budget and Management shall 52870
process the intrastate transfer voucher billings to transfer the 52871
Accounting and Budgeting Services Fund (Fund 105) to the OAKS 52872
Support Organization Fund (Fund 5EB), to pay for the OAKS Support 52873
Organization Costs.52874

       TRANSFER BALANCE OF CONTINUOUS RECEIPTS FUND52875

       On or before July 31, 2007, the unencumbered cash balance in 52876
the Continuous Receipts Fund (Fund R06) shall be transferred to 52877
the Forgery Recovery Fund (Fund 5EH).52878

       Section 235.10. CSR CAPITOL SQUARE REVIEW AND ADVISORY BOARD52879

General Revenue Fund52880

GRF 874-100 Personal Services $ 1,957,000 $ 1,957,000 52881
GRF 874-320 Maintenance and Equipment $ 985,837 $ 980,837 52882
TOTAL GRF General Revenue Fund $ 2,942,837 $ 2,937,837 52883

General Services Fund Group52884

4G5 874-603 Capitol Square Education Center and Arts $ 15,000 $ 15,000 52885
4S7 874-602 Statehouse Gift Shop/Events $ 650,484 $ 650,484 52886
TOTAL GSF General Services 52887
Fund Group $ 665,484 $ 665,484 52888

Underground Parking Garage52889

208 874-601 Underground Parking Garage Operations $ 2,706,993 $ 2,706,993 52890
TOTAL UPG Underground Parking 52891
Garage $ 2,706,993 $ 2,706,993 52892
TOTAL ALL BUDGET FUND GROUPS $ 6,315,314 $ 6,310,314 52893


       Section 237.10. SCR STATE BOARD OF CAREER COLLEGES AND 52895
SCHOOLS52896

General Services Fund Group52897

4K9 233-601 Operating Expenses $ 552,300 $ 572,700 52898
TOTAL GSF General Services Fund Group $ 552,300 $ 572,700 52899
TOTAL ALL BUDGET FUND GROUPS $ 552,300 $ 572,700 52900


       Section 239.10. CDP CHEMICAL DEPENDENCY PROFESSIONALS BOARD52902

General Services Fund Group52903

4K9 930-609 Operating Expenses $ 530,864 $ 551,146 52904
TOTAL GSF General Services Fund Group $ 530,864 $ 551,146 52905
TOTAL ALL BUDGET FUND GROUPS $ 530,864 $ 551,146 52906


       Section 241.10. CHR STATE CHIROPRACTIC BOARD52908

General Services Fund Group52909

4K9 878-609 Operating Expenses $ 607,445 $ 621,621 52910
TOTAL GSF General Services Fund Group $ 607,445 $ 621,621 52911
TOTAL ALL BUDGET FUND GROUPS $ 607,445 $ 621,621 52912


       Section 243.10. CIV OHIO CIVIL RIGHTS COMMISSION52914

General Revenue Fund52915

GRF 876-321 Operating Expenses $ 7,097,134 $ 7,097,134 52916
TOTAL GRF General Revenue Fund $ 7,097,134 $ 7,097,134 52917

Federal Special Revenue Fund Group52918

334 876-601 Investigations $ 3,965,507 $ 4,602,185 52919
TOTAL FED Federal Special Revenue 52920
Fund Group $ 3,965,507 $ 4,602,185 52921

State Special Revenue Fund Group52922

217 876-604 Operations Support $ 60,000 $ 60,000 52923
TOTAL SSR State Special 52924
Revenue Fund Group $ 60,000 $ 60,000 52925
TOTAL ALL BUDGET FUND GROUPS $ 11,122,641 $ 11,759,319 52926


       Section 245.10. COM DEPARTMENT OF COMMERCE52928

General Revenue Fund52929

GRF 800-410 Labor and Worker Safety $ 2,032,396 $ 2,032,396 52930
Total GRF General Revenue Fund $ 2,032,396 $ 2,032,396 52931

General Services Fund Group52932

163 800-620 Division of Administration $ 4,323,037 $ 4,413,037 52933
163 800-637 Information Technology $ 6,650,150 $ 6,780,963 52934
5F1 800-635 Small Government Fire Departments $ 300,000 $ 300,000 52935
543 800-602 Unclaimed Funds-Operating $ 7,880,468 $ 8,049,937 52936
543 800-625 Unclaimed Funds-Claims $ 70,000,000 $ 75,000,000 52937
TOTAL GSF General Services Fund 52938
Group $ 89,153,655 $ 94,543,937 52939

Federal Special Revenue Fund Group52940

348 800-622 Underground Storage Tanks $ 195,008 $ 195,008 52941
348 800-624 Leaking Underground Storage Tanks $ 1,850,000 $ 1,850,000 52942
TOTAL FED Federal Special Revenue 52943
Fund Group $ 2,045,008 $ 2,045,008 52944

State Special Revenue Fund Group52945

4B2 800-631 Real Estate Appraisal Recovery $ 35,000 $ 35,000 52946
4H9 800-608 Cemeteries $ 273,465 $ 273,465 52947
4X2 800-619 Financial Institutions $ 2,474,414 $ 2,523,918 52948
5K7 800-621 Penalty Enforcement $ 50,000 $ 50,000 52949
544 800-612 Banks $ 6,516,507 $ 6,703,253 52950
545 800-613 Savings Institutions $ 2,244,370 $ 2,286,616 52951
546 800-610 Fire Marshal $ 13,104,393 $ 13,579,150 52952
546 800-639 Fire Department Grants $ 1,647,140 $ 1,647,140 52953
546 800-640 Homeland Security Grants $ 10,000 $ 10,000 52954
547 800-603 Real Estate Education/Research $ 250,000 $ 250,000 52955
548 800-611 Real Estate Recovery $ 50,000 $ 50,000 52956
549 800-614 Real Estate $ 3,480,038 $ 3,574,171 52957
550 800-617 Securities $ 4,312,453 $ 4,473,094 52958
552 800-604 Credit Union $ 3,521,037 $ 3,627,390 52959
553 800-607 Consumer Finance $ 5,800,445 $ 5,800,445 52960
556 800-615 Industrial Compliance $ 25,033,908 $ 25,570,011 52961
6A4 800-630 Real Estate Appraiser-Operating $ 664,006 $ 664,006 52962
653 800-629 UST Registration/Permit Fee $ 1,512,512 $ 1,467,160 52963
TOTAL SSR State Special Revenue 52964
Fund Group $ 70,979,688 $ 72,584,819 52965

Liquor Control Fund Group52966

043 800-601 Merchandising $ 440,499,979 $ 464,027,015 52967
043 800-627 Liquor Control Operating $ 15,980,724 $ 16,334,583 52968
043 800-633 Development Assistance Debt Service $ 33,678,800 $ 38,616,800 52969
043 800-636 Revitalization Debt Service $ 12,620,900 $ 15,683,300 52970
TOTAL LCF Liquor Control 52971
Fund Group $ 502,780,403 $ 534,661,698 52972
TOTAL ALL BUDGET FUND GROUPS $ 666,991,150 $ 705,867,858 52973

       SMALL GOVERNMENT FIRE DEPARTMENTS52974

       Notwithstanding section 3737.17 of the Revised Code, the52975
foregoing appropriation item 800-635, Small Government Fire52976
Departments, may be used to provide loans to private fire52977
departments.52978

       UNCLAIMED FUNDS PAYMENTS52979

       The foregoing appropriation item 800-625, Unclaimed52980
Funds-Claims, shall be used to pay claims under section 169.08 of 52981
the Revised Code. If it is determined that additional amounts are 52982
necessary, the amounts are hereby appropriated.52983

       UNCLAIMED FUNDS TRANSFERS52984

        Notwithstanding division (A) of section 169.05 of the Revised 52985
Code, prior to June 30, 2008, and upon the request of the Director 52986
of Budget and Management, the Director of Commerce shall transfer 52987
to the General Revenue Fund up to $29,275,000 of unclaimed funds 52988
that have been reported by holders of unclaimed funds under 52989
section 169.05 of the Revised Code, irrespective of the allocation 52990
of the unclaimed funds under that section.52991

        Notwithstanding division (A) of section 169.05 of the Revised 52992
Code, prior to June 30, 2009, and upon the request of the Director 52993
of Budget and Management, the Director of Commerce shall transfer 52994
to the General Revenue Fund up to $29,275,000 of unclaimed funds 52995
that have been reported by holders of unclaimed funds under 52996
section 169.05 of the Revised Code, irrespective of the allocation 52997
of the unclaimed funds under that section.52998

       CASH TRANSFER TO GENERAL REVENUE FUND52999

        Notwithstanding any other law to the contrary, the Director 53000
of Budget and Management shall transfer up to $5,700,000 in cash 53001
in fiscal year 2008 and up to $5,800,000 in cash in fiscal year 53002
2009 from the State Fire Marshal Fund (Fund 546) to the General 53003
Revenue Fund.53004

       FIRE DEPARTMENT GRANTS53005

        Of the foregoing appropriation item 800-639, Fire Department 53006
Grants, up to $760,000 in each fiscal year shall be used to make 53007
annual grants to volunteer fire departments of up to $10,000, or 53008
up to $25,000 if the volunteer fire department provides service 53009
for an area affected by a natural disaster. The grant program 53010
shall be administered by the Fire Marshal under the Department of 53011
Commerce. The Fire Marshal shall adopt rules as are necessary for 53012
the administration and operation of the grant program.53013

        Of the foregoing appropriation item 800-639, Fire Department 53014
Grants, up to $687,140 in each fiscal year shall be used as full 53015
or partial reimbursement to local units of government and fire 53016
departments for the cost of firefighter training and equipment or 53017
gear. Under rules that the department shall adopt, a local unit of 53018
government or fire department may apply to the department for a 53019
grant to cover all documented costs that are incurred to provide 53020
firefighter training and equipment or gear. The department shall 53021
make grants within the limits of the funding provided, with 53022
priority given to fire departments that serve small villages and 53023
townships.53024

        Of the foregoing appropriation item 800-639, Fire Department 53025
Grants, up to $200,000 in each fiscal year shall be used to make 53026
grants to fire departments to assist in the conversion of existing 53027
data systems to the NFIRS 5 electronic fire reporting system. 53028
Under rules that the department shall adopt, awards shall have a 53029
maximum of $50,000 per fire department and shall be based on a 53030
point system that includes factors such as consideration of the 53031
fire department's information technology and operating budgets, 53032
population and area served, number of incidents, data conversion 53033
and implementation methods, and readiness.53034

       CASH TRANSFER TO REAL ESTATE OPERATING FUND53035

        At the request of the Director of Commerce, the Director of 53036
Budget and Management may transfer up to $100,000 in cash from the 53037
Real Estate Recovery Fund (Fund 548) and up to $350,000 in cash 53038
from the Real Estate Appraiser Recovery Fund (Fund 4B2) to the 53039
Real Estate Operating Fund (Fund 549) during fiscal years 53040
2008-2009.53041

       INCREASED APPROPRIATION AUTHORITY - MERCHANDISING53042

       The foregoing appropriation item 800-601, Merchandising, 53043
shall be used under section 4301.12 of the Revised Code. If it is 53044
determined that additional amounts are necessary, the amounts are 53045
hereby appropriated.53046

        DEVELOPMENT ASSISTANCE DEBT SERVICE53047

       The foregoing appropriation item 800-633, Development 53048
Assistance Debt Service, shall be used to pay debt service and 53049
related financing costs at the times they are required to be made 53050
during the period from July 1, 2007, to June 30, 2009, for bond 53051
service charges on obligations issued under Chapter 166. of the 53052
Revised Code. If it is determined that additional appropriations 53053
are necessary for this purpose, such amounts are hereby 53054
appropriated, subject to the limitations set forth in section 53055
166.11 of the Revised Code. An appropriation for this purpose is 53056
not required, but is made in this form and in this act for record 53057
purposes only.53058

       REVITALIZATION DEBT SERVICE53059

       The foregoing appropriation item 800-636, Revitalization Debt53060
Service, shall be used to pay debt service and related financing53061
costs under sections 151.01 and 151.40 of the Revised Code during 53062
the period from July 1, 2007, to June 30, 2009. If it is 53063
determined that additional appropriations are necessary for this 53064
purpose, such amounts are hereby appropriated. The General 53065
Assembly acknowledges the priority of the pledge of a portion of 53066
receipts from that source to obligations issued and to be issued 53067
under Chapter 166. of the Revised Code.53068

       ADMINISTRATIVE ASSESSMENTS53069

       Notwithstanding any other provision of law to the contrary,53070
Fund 163, Division of Administration, is entitled to receive 53071
assessments from all operating funds of the department in 53072
accordance with procedures prescribed by the Director of Commerce 53073
and approved by the Director of Budget and Management.53074

       Section 247.10. OCC OFFICE OF CONSUMERS' COUNSEL53075

General Services Fund Group53076

5F5 053-601 Operating Expenses $ 8,498,070 $ 8,498,070 53077
TOTAL GSF General Services Fund Group $ 8,498,070 $ 8,498,070 53078
TOTAL ALL BUDGET FUND GROUPS $ 8,498,070 $ 8,498,070 53079


       Section 249.10. CEB CONTROLLING BOARD53081

General Revenue Fund53082

GRF 911-404 Mandate Assistance $ 650,000 $ 650,000 53083
GRF 911-441 Ballot Advertising Costs $ 300,000 $ 300,000 53084
TOTAL GRF General Revenue Fund $ 950,000 $ 950,000 53085
TOTAL ALL BUDGET FUND GROUPS $ 950,000 $ 950,000 53086

       BUDGET STABILIZATION FUND TRANSFERS TO THE EMERGENCY 53087
PURPOSES/CONTINGENCIES APPROPRIATION LINE ITEM53088

        Notwithstanding any other provision of law to the contrary, 53089
the Director of Budget and Management may, with Controlling Board 53090
approval, transfer up to $4,000,000 in cash, in each of fiscal 53091
years 2008 and 2009, from the Budget Stabilization Fund to the 53092
General Revenue Fund. Upon completion of the transfer, the 53093
Director of Budget and Management shall appropriate the 53094
transferred amount to appropriation item 911-401, Emergency 53095
Purposes/Contingencies. The Controlling Board may, at the request 53096
of any state agency or the Director of Budget and Management, 53097
transfer all or part of the appropriation in appropriation item 53098
911-401, Emergency Purposes/Contingencies, for the purpose of 53099
providing disaster and emergency situation aid to state agencies 53100
and political subdivisions in the event of disasters and emergency 53101
situations or for the other purposes noted in this section, 53102
including, but not limited to, costs related to the disturbance 53103
that occurred on April 11, 1993, at the Southern Ohio Correctional 53104
Facility in Lucasville, Ohio.53105

       FEDERAL SHARE53106

       In transferring appropriations to or from appropriation items53107
that have federal shares identified in this act, the Controlling53108
Board shall add or subtract corresponding amounts of federal53109
matching funds at the percentages indicated by the state and53110
federal division of the appropriations in this act. Such changes53111
are hereby appropriated.53112

       DISASTER ASSISTANCE53113

       Pursuant to requests submitted by the Department of Public53114
Safety, the Controlling Board may approve transfers from 53115
appropriation item 911-401, Emergency Purposes/Contingencies, to 53116
Department of Public Safety appropriation items to provide funding 53117
for assistance to political subdivisions and individuals made 53118
necessary by natural disasters or emergencies. Such transfers may 53119
be requested and approved prior to or following the occurrence of 53120
any specific natural disasters or emergencies in order to 53121
facilitate the provision of timely assistance.53122

       DISASTER SERVICES53123

        Pursuant to requests submitted by the Department of Public 53124
Safety, the Controlling Board may approve transfers from the 53125
Disaster Services Fund (5E2) to a Department of Public Safety fund 53126
and appropriation item to provide for assistance to political 53127
subdivisions made necessary by natural disasters or emergencies. 53128
These transfers may be requested and approved prior to the 53129
occurrence of any specific natural disasters or emergencies in 53130
order to facilitate the provision of timely assistance. The 53131
Emergency Management Agency of the Department of Public Safety 53132
shall use the funding to fund the State Disaster Relief Program 53133
for disasters that have been declared by the Governor, and the 53134
State Individual Assistance Program for disasters that have been 53135
declared by the Governor and the federal Small Business 53136
Administration. The Ohio Emergency Management Agency shall publish 53137
and make available application packets outlining procedures for 53138
the State Disaster Relief Program and the State Individual 53139
Assistance Program.53140

        The Disaster Services Fund (5E2) shall be used by the 53141
Controlling Board, pursuant to requests submitted by state 53142
agencies, to transfer cash and appropriation authority to any fund 53143
and appropriation item for the payment of state agency disaster 53144
relief program expenses for disasters declared by the Governor, 53145
if the Director of Budget and Management determines that 53146
sufficient funds exist.53147

        The unencumbered balance of the Disaster Services Fund (5E2) 53148
at the end of fiscal year 2008 is transferred to fiscal year 2009 53149
for use for the same purposes as in fiscal year 2009.53150

       SOUTHERN OHIO CORRECTIONAL FACILITY COST53151

       The Division of Criminal Justice Services in the Department 53152
of Public Safety and the Public Defender Commission may each 53153
request, upon approval of the Director of Budget and Management, 53154
additional funds from appropriation item 911-401, Emergency 53155
Purposes/Contingencies, for costs related to the disturbance that53156
occurred on April 11, 1993, at the Southern Ohio Correctional53157
Facility in Lucasville, Ohio.53158

       MANDATE ASSISTANCE53159

       (A) The foregoing appropriation item 911-404, Mandate53160
Assistance, shall be used to provide financial assistance to local53161
units of government and school districts for the cost of the 53162
following two unfunded state mandates:53163

       (1) The cost to county prosecutors for prosecuting certain53164
felonies that occur on the grounds of state institutions operated53165
by the Department of Rehabilitation and Correction and the53166
Department of Youth Services;53167

       (2) The cost to school districts of in-service training for53168
child abuse detection.53169

       (B) The Division of Criminal Justice Services in the 53170
Department of Public Safety and the Department of Education may 53171
prepare and submit to the Controlling Board one or more requests 53172
to transfer appropriations from appropriation item 911-404, 53173
Mandate Assistance. The state agencies charged with this 53174
administrative responsibility are listed below, as well as the 53175
estimated annual amounts that may be used for each program of 53176
state financial assistance.53177

ADMINISTERING ESTIMATED ANNUAL 53178
PROGRAM AGENCY AMOUNT 53179

Prosecution Costs Division of Criminal $150,000 53180
Justice Services 53181
Child Abuse Detection Training Costs Department of Education $500,000 53182

       (C) Subject to the total amount appropriated in each fiscal53183
year for appropriation item 911-404, Mandate Assistance, the 53184
Division of Criminal Justice Services in the Department of Public 53185
Safety and the Department of Education may request from the 53186
Controlling Board that amounts smaller or larger than these 53187
estimated annual amounts be transferred to each program.53188

       (D) In addition to making the initial transfers requested by53189
the Division of Criminal Justice Services in the Department of 53190
Public Safety and the Department of Education, the Controlling 53191
Board may transfer appropriations received by a state agency under 53192
this section back to appropriation item 911-404, Mandate53193
Assistance, or to the other program of state financial assistance53194
identified under this section.53195

       (E) It is expected that not all costs incurred by local units 53196
of government and school districts under each of the two programs 53197
of state financial assistance identified in this section will be 53198
fully reimbursed by the state. Reimbursement levels may vary by 53199
program and shall be based on: the relationship between the 53200
appropriation transfers requested by the Division of Criminal53201
Justice Services in the Department of Public Safety and the 53202
Department of Education and provided by the Controlling Board for 53203
each of the programs; the rules and procedures established for53204
each program by the administering state agency; and the actual 53205
costs incurred by local units of government and school districts.53206

       (F) Each of these programs of state financial assistance53207
shall be carried out as follows:53208

       (1) PROSECUTION COSTS53209

       (a) Appropriations may be transferred to the Division of53210
Criminal Justice Services in the Department of Public Safety to 53211
cover local prosecution costs for aggravated murder, murder, 53212
felonies of the first degree, and felonies of the second degree 53213
that occur on the grounds of institutions operated by the 53214
Department of Rehabilitation and Correction and the Department of 53215
Youth Services.53216

       (b) Upon a delinquency filing in juvenile court or the return 53217
of an indictment for aggravated murder, murder, or any felony of53218
the first or second degree that was committed at a Department of53219
Youth Services or a Department of Rehabilitation and Correction53220
institution, the affected county may, in accordance with rules53221
that the Division of Criminal Justice Services in the Department 53222
of Public Safety shall adopt, apply to the Division of Criminal 53223
Justice Services for a grant to cover all documented costs that 53224
are incurred by the county prosecutor's office.53225

       (c) Twice each year, the Division of Criminal Justice 53226
Services in the Department of Public Safety shall designate53227
counties to receive grants from those counties that have submitted 53228
one or more applications in compliance with the rules that have 53229
been adopted by the Division of Criminal Justice Services for the 53230
receipt of such grants. In each year's first round of grant 53231
awards, if sufficient appropriations have been made, up to a total 53232
of $100,000 may be awarded. In each year's second round of grant53233
awards, the remaining appropriations available for this purpose53234
may be awarded.53235

       (d) If for a given round of grants there are insufficient53236
appropriations to make grant awards to all the eligible counties,53237
the first priority shall be given to counties with cases involving53238
aggravated murder and murder; second priority shall be given to 53239
counties with cases involving a felony of the first degree; and 53240
third priority shall be given to counties with cases involving a53241
felony of the second degree. Within these priorities, the grant53242
awards shall be based on the order in which the applications were 53243
received, except that applications for cases involving a felony of 53244
the first or second degree shall not be considered in more than 53245
two consecutive rounds of grant awards.53246

       (2) CHILD ABUSE DETECTION TRAINING COSTS53247

       Appropriations may be transferred to the Department of53248
Education for disbursement to local school districts as full or53249
partial reimbursement for the cost of providing in-service53250
training for child abuse detection. In accordance with rules that53251
the department shall adopt, a local school district may apply to53252
the department for a grant to cover all documented costs that are53253
incurred to provide in-service training for child abuse detection.53254
The department shall make grants within the limits of the funding53255
provided.53256

       (G) Any moneys allocated within appropriation item 911-404,53257
Mandate Assistance, not fully utilized may, upon application of53258
the Ohio Public Defender Commission, and with the approval of the53259
Controlling Board, be disbursed to boards of county commissioners53260
to provide additional reimbursement for the costs incurred by 53261
counties in providing defense to indigent defendants pursuant to 53262
Chapter 120. of the Revised Code. Application for the unutilized 53263
funds shall be made by the Ohio Public Defender Commission at the 53264
first June meeting of the Controlling Board.53265

       The amount to be disbursed to each county shall be allocated53266
proportionately on the basis of the total amount of reimbursement 53267
paid to each county as a percentage of the amount of reimbursement 53268
paid to all of the counties during the most recent state fiscal 53269
year for which data is available and as calculated by the Ohio 53270
Public Defender Commission.53271

       BALLOT ADVERTISING COSTS53272

       Pursuant to requests submitted by the Ohio Ballot Board, the53273
Controlling Board shall approve transfers from the foregoing53274
appropriation item 911-441, Ballot Advertising Costs, to an Ohio53275
Ballot Board appropriation item in order to reimburse county53276
boards of elections for the cost of public notices associated with53277
statewide ballot initiatives.53278

       Section 251.10. COS STATE BOARD OF COSMETOLOGY53279

General Services Fund Group53280

4K9 879-609 Operating Expenses $ 3,533,679 $ 3,533,679 53281
TOTAL GSF General Services Fund 53282
Group $ 3,533,679 $ 3,533,679 53283
TOTAL ALL BUDGET FUND GROUPS $ 3,533,679 $ 3,533,679 53284


       Section 253.10. CSW COUNSELOR, SOCIAL WORKER, AND MARRIAGE 53286
AND FAMILY THERAPIST BOARD53287

General Services Fund Group53288

4K9 899-609 Operating Expenses $ 1,124,267 $ 1,179,774 53289
TOTAL GSF General Services Fund 53290
Group $ 1,124,267 $ 1,179,774 53291
TOTAL ALL BUDGET FUND GROUPS $ 1,124,267 $ 1,179,774 53292


       Section 255.10. CLA COURT OF CLAIMS53294

General Revenue Fund53295

GRF 015-321 Operating Expenses $ 2,758,681 $ 2,841,441 53296
TOTAL GRF General Revenue Fund $ 2,758,681 $ 2,841,441 53297

State Special Revenue Fund Group53298

5K2 015-603 CLA Victims of Crime $ 1,582,684 $ 1,582,684 53299
TOTAL SSR State Special Revenue 53300
Fund Group $ 1,582,684 $ 1,582,684 53301
TOTAL ALL BUDGET FUND GROUPS $ 4,341,365 $ 4,424,125 53302


       Section 257.10.  AFC OHIO CULTURAL FACILITIES COMMISSION53304

General Revenue Fund53305

GRF 371-321 Operating Expenses $ 176,136 $ 176,136 53306
GRF 371-401 Lease Rental Payments $ 36,604,600 $ 37,455,500 53307
TOTAL GRF General Revenue Fund $ 36,780,736 $ 37,631,636 53308

State Special Revenue Fund Group53309

4T8 371-601 Riffe Theatre Equipment Maintenance $ 81,000 $ 81,000 53310
4T8 371-603 Project Administration Services $ 983,295 $ 983,295 53311
TOTAL SSR State Special Revenue Group $ 1,064,295 $ 1,064,295 53312
TOTAL ALL BUDGET FUND GROUPS $ 37,845,031 $ 38,695,931 53313

       LEASE RENTAL PAYMENTS53314

       The foregoing appropriation item 371-401, Lease Rental 53315
Payments, shall be used to meet all payments from the Ohio 53316
Cultural Facilities Commissions to the Treasurer of State during 53317
the period from July 1, 2007, to June 30, 2009, under the primary 53318
leases and agreements for those arts and sports facilities made 53319
under Chapters 152. and 154. of the Revised Code. This 53320
appropriation is the source of funds pledged for bond service 53321
charges on related obligations issued pursuant to Chapters 152. 53322
and 154. of the Revised Code.53323

       OPERATING EXPENSES53324

       The foregoing appropriation item 371-321, Operating Expenses,53325
shall be used by the Ohio Cultural Facilities Commission to carry 53326
out its responsibilities under this section and Chapter 3383. of 53327
the Revised Code.53328

       By July 10, 2007, or as soon as possible thereafter, the 53329
Director of Budget and Management shall determine the amount of 53330
cash from interest earnings to be transferred from the Cultural 53331
and Sports Facilities Building Fund (Fund 030) to the Cultural 53332
Facilities Commission Administration Fund (Fund 4T8).53333

       By July 10, 2008, or as soon as possible thereafter, the 53334
Director of Budget and Management shall determine the amount of 53335
cash from interest earnings to be transferred from the Cultural 53336
and Sports Facilities Building Fund (Fund 030) to the Cultural 53337
Facilities Commission Administration Fund (Fund 4T8).53338

       As soon as possible after each bond issuance made on behalf 53339
of the Cultural Facilities Commission, the Director of Budget and 53340
Management shall determine the amount of cash from any premium 53341
paid on each issuance that is available to be transferred after 53342
all issuance costs have been paid from the Cultural and Sports 53343
Facilities Building Fund (Fund 030) to the Cultural Facilities 53344
Commission Administration Fund (Fund 4T8).53345

       Section 259.10.  DEN STATE DENTAL BOARD53346

General Services Fund Group53347

4K9 880-609 Operating Expenses $ 1,437,392 $ 1,528,749 53348
TOTAL GSF General Services Fund 53349
Group $ 1,437,392 $ 1,528,749 53350
TOTAL ALL BUDGET FUND GROUPS $ 1,437,392 $ 1,528,749 53351


       Section 261.10.  BDP BOARD OF DEPOSIT53353

General Services Fund Group53354

4M2 974-601 Board of Deposit $ 1,676,000 $ 1,676,000 53355
TOTAL GSF General Services Fund 53356
Group $ 1,676,000 $ 1,676,000 53357
TOTAL ALL BUDGET FUND GROUPS $ 1,676,000 $ 1,676,000 53358

       BOARD OF DEPOSIT EXPENSE FUND53359

       Upon receiving certification of expenses from the Treasurer53360
of State, the Director of Budget and Management shall transfer53361
cash from the Investment Earnings Redistribution Fund (Fund 608)53362
to the Board of Deposit Expense Fund (Fund 4M2). The latter fund53363
shall be used to pay for banking charges and fees required for the53364
operation of the State of Ohio Regular Account.53365

       Section 263.10. DEV DEPARTMENT OF DEVELOPMENT53366

General Revenue Fund53367

GRF 195-401 Thomas Edison Program $ 19,404,838 $ 17,978,483 53368
GRF 195-404 Small Business Development $ 1,740,722 $ 1,792,944 53369
GRF 195-405 Minority Business Development Division $ 1,580,291 $ 1,627,700 53370
GRF 195-407 Travel and Tourism $ 6,782,845 $ 6,762,845 53371
GRF 195-410 Defense Conversion Assistance $ 5,000,000 $ 0 53372
GRF 195-412 Rapid Outreach Grants $ 10,750,000 $ 10,000,000 53373
GRF 195-415 Economic Development Division and Regional Offices $ 5,894,975 $ 6,071,824 53374
GRF 195-416 Governor's Office of Appalachia $ 4,746,043 $ 4,746,043 53375
GRF 195-422 Third Frontier Action Fund $ 18,790,000 $ 16,790,000 53376
GRF 195-426 Clean Ohio Implementation $ 300,000 $ 309,000 53377
GRF 195-432 International Trade $ 4,650,501 $ 4,650,501 53378
GRF 195-434 Investment in Training Grants $ 12,227,500 $ 12,594,325 53379
GRF 195-436 Labor/Management Cooperation $ 836,225 $ 836,225 53380
GRF 195-497 CDBG Operating Match $ 1,072,184 $ 1,072,184 53381
GRF 195-498 State Match Energy $ 96,820 $ 96,820 53382
GRF 195-501 Appalachian Local Development Districts $ 391,482 $ 391,482 53383
GRF 195-502 Appalachian Regional Commission Dues $ 254,208 $ 254,208 53384
GRF 195-507 Travel and Tourism Grants $ 800,000 $ 785,000 53385
GRF 195-520 Ohio Main Street Program $ 250,000 $ 250,000 53386
GRF 195-905 Third Frontier Research & Development General Obligation Debt Service $ 14,349,500 $ 24,523,400 53387
GRF 195-912 Job Ready Site Development General Obligation Debt Service $ 4,359,400 $ 8,232,500 53388
TOTAL GRF General Revenue Fund $ 114,277,534 $ 119,765,484 53389

General Services Fund Group53390

135 195-684 Supportive Services $ 11,699,404 $ 11,321,444 53391
5AD 195-667 Investment in Training Expansion $ 2,000,000 $ 0 53392
5AD 195-668 Workforce Guarantee Program $ 1,000,000 $ 0 53393
5AD 195-677 Economic Development Contingency $ 5,000,000 $ 24,400,000 53394
5W5 195-690 Travel and Tourism Cooperative Projects $ 350,000 $ 350,000 53395
5W6 195-691 International Trade Cooperative Projects $ 300,000 $ 300,000 53396
685 195-636 Direct Cost Recovery Expenditures $ 800,000 $ 800,000 53397
TOTAL GSF General Services Fund 53398
Group $ 21,149,404 $ 37,171,444 53399

Federal Special Revenue Fund Group53400

3AE 195-643 Workforce Development Initiatives $ 5,839,900 $ 5,860,000 53401
3BJ 195-685 TANF Heating Assistance $ 45,000,000 $ 15,000,000 53402
3K8 195-613 Community Development Block Grant $ 65,000,000 $ 65,000,000 53403
3K9 195-611 Home Energy Assistance Block Grant $ 110,000,000 $ 110,000,000 53404
3K9 195-614 HEAP Weatherization $ 22,000,000 $ 22,000,000 53405
3L0 195-612 Community Services Block Grant $ 25,235,000 $ 25,235,000 53406
3V1 195-601 HOME Program $ 40,000,000 $ 40,000,000 53407
308 195-602 Appalachian Regional Commission $ 475,000 $ 475,000 53408
308 195-603 Housing and Urban Development $ 6,000,000 $ 6,000,000 53409
308 195-605 Federal Projects $ 27,000,000 $ 27,000,000 53410
308 195-609 Small Business Administration $ 4,296,381 $ 4,396,381 53411
308 195-618 Energy Federal Grants $ 3,400,000 $ 3,400,000 53412
335 195-610 Energy Conservation and Emerging Technology $ 2,200,000 $ 2,200,000 53413
TOTAL FED Federal Special Revenue 53414
Fund Group $ 356,446,281 $ 326,566,381 53415

State Special Revenue Fund Group53416

4F2 195-639 State Special Projects $ 518,393 $ 518,393 53417
4F2 195-676 Marketing Initiatives $ 5,000,000 $ 1,000,000 53418
4S0 195-630 Tax Incentive Programs $ 650,800 $ 650,800 53419
4W1 195-646 Minority Business Enterprise Loan $ 2,580,597 $ 2,580,597 53420
444 195-607 Water and Sewer Commission Loans $ 523,775 $ 523,775 53421
450 195-624 Minority Business Bonding Program Administration $ 53,967 $ 53,967 53422
451 195-625 Economic Development Financing Operating $ 2,483,311 $ 2,483,311 53423
5AR 195-674 Industrial Site Improvements $ 4,500,000 $ 4,500,000 53424
5CG 195-679 Alternative Fuel Transportation $ 1,500,000 $ 1,000,000 53425
5DU 195-689 Energy Projects $ 840,000 $ 840,000 53426
5M4 195-659 Low Income Energy Assistance $ 245,000,000 $ 245,000,000 53427
5M5 195-660 Advanced Energy Programs $ 17,000,000 $ 17,000,000 53428
5X1 195-651 Exempt Facility Inspection $ 25,000 $ 25,000 53429
611 195-631 Water and Sewer Administration $ 15,713 $ 15,713 53430
617 195-654 Volume Cap Administration $ 200,000 $ 200,000 53431
646 195-638 Low- and Moderate- Income Housing Trust Fund $ 53,000,000 $ 53,000,000 53432
TOTAL SSR State Special Revenue 53433
Fund Group $ 333,891,556 $ 329,391,556 53434

Facilities Establishment Fund Group53435

009 195-664 Innovation Ohio $ 50,000,000 $ 50,000,000 53436
010 195-665 Research and Development $ 50,000,000 $ 50,000,000 53437
037 195-615 Facilities Establishment $ 110,000,000 $ 110,000,000 53438
4Z6 195-647 Rural Industrial Park Loan $ 3,000,000 $ 3,000,000 53439
5D2 195-650 Urban Redevelopment Loans $ 5,475,000 $ 5,475,000 53440
5S8 195-627 Rural Development Initiative $ 3,000,000 $ 3,000,000 53441
5S9 195-628 Capital Access Loan Program $ 3,000,000 $ 3,000,000 53442
TOTAL 037 Facilities 53443
Establishment Fund Group $ 224,475,000 $ 224,475,000 53444

Clean Ohio Revitalization Fund53445

003 195-663 Clean Ohio Operating $ 625,000 $ 550,000 53446
TOTAL 003 Clean Ohio Revitalization Fund $ 625,000 $ 550,000 53447

Third Frontier Research & Development Fund Group53448

011 195-686 Third Frontier Operating $ 1,932,056 $ 1,932,056 53449
011 195-687 Third Frontier Research & Development Projects $ 94,000,000 $ 72,000,000 53450
014 195-692 Research & Development Taxable Bond Projects $ 28,000,000 $ 28,000,000 53451
TOTAL 011 Third Frontier Research & Development Fund Group $ 123,932,056 $ 101,932,056 53452

Job Ready Site Development Fund Group53453

012 195-688 Job Ready Site Operating $ 1,246,155 $ 1,246,155 53454
TOTAL 012 Job Ready Site Development Fund Group $ 1,246,155 $ 1,246,155 53455

TOTAL ALL BUDGET FUND GROUPS $ 1,176,042,986 $ 1,141,098,076 53456


       Section 263.10.10. THOMAS EDISON PROGRAM53458

       The foregoing appropriation item 195-401, Thomas Edison53459
Program, shall be used for the purposes of sections 122.28 to53460
122.38 of the Revised Code in order to provide funds for53461
cooperative public and private efforts in technological innovation53462
to promote the development and transfer of technology by and to53463
Ohio businesses that will lead to the creation of jobs. The 53464
foregoing appropriation item 195-401, Thomas Edison Program, shall 53465
not be used for the operating costs of the Department of 53466
Development.53467

       Of the foregoing appropriation item 195-401, Thomas Edison 53468
Program, $2,000,000 in fiscal year 2008 shall be used by Project 53469
Development, Inc., for technology commercialization.53470

       Section 263.10.20.  SMALL BUSINESS DEVELOPMENT53471

       The foregoing appropriation item 195-404, Small Business53472
Development, shall be used to ensure that the unique needs and53473
concerns of small businesses are addressed.53474

       The foregoing appropriation item 195-404, Small Business 53475
Development, may be used to provide grants to local organizations 53476
to support the operation of Small Business Development Centers and 53477
other local economic development activity promoting small 53478
business, including the 1st Stop Business Connection, and for the 53479
cost of administering the small business development center 53480
program. The centers shall provide technical, financial, and53481
management consultation for small business and shall facilitate53482
access to state and federal programs. These funds shall be used as53483
matching funds for grants from the United States Small Business53484
Administration and other federal agencies, pursuant to Public Law53485
No. 96-302 (1980) as amended by Public Law No. 98-395 (1984), and53486
regulations and policy guidelines for the programs under this law.53487

       MINORITY BUSINESS DEVELOPMENT DIVISION53488

       Of the foregoing appropriation item 195-405, Minority53489
Business Development Division, up to $1,060,000 but not less than 53490
$954,000 in each fiscal year shall be used to fund minority 53491
contractors and business assistance organizations. The Minority53492
Business Development Division shall determine which cities need 53493
minority contractors and business assistance organizations by 53494
utilizing United States Census Bureau data and zip codes to locate 53495
the highest concentrations of minority businesses. The Minority53496
Business Development Division also shall determine the numbers of53497
minority contractors and business assistance organizations53498
necessary and the amount of funding to be provided each. In53499
addition, the Minority Business Development Division shall53500
continue to plan and implement business conferences.53501

       Section 263.10.30. RAPID OUTREACH GRANTS53502

       The foregoing appropriation item 195-412, Rapid Outreach 53503
Grants, shall be used as an incentive for attracting and retaining 53504
business opportunities for the state. Any such business 53505
opportunity, whether new, expanding, or relocating in Ohio, is 53506
eligible for funding. The project must create or retain a 53507
significant number of jobs for Ohioans. Grant awards may be53508
considered only when (1) the project's viability hinges on an53509
award of funds from appropriation item 195-412, Rapid Outreach 53510
Grants; (2) all other public or private sources of financing have53511
been considered; or (3) the funds act as a catalyst for the53512
infusion into the project of other financing sources.53513

       The department's primary goal shall be to award funds to53514
political subdivisions of the state for off-site infrastructure53515
improvements. In order to meet the particular needs of economic53516
development in a region, the department may elect to award funds53517
directly to a business for on-site infrastructure improvements.53518
"Infrastructure improvements" mean improvements to water system53519
facilities, sewer and sewage treatment facilities, electric or gas53520
service facilities, fiber optic facilities, rail facilities, site53521
preparation, and parking facilities. The Director of Development53522
may recommend the funds be used in an alternative manner when53523
considered appropriate to meet an extraordinary economic 53524
development opportunity or need.53525

       The foregoing appropriation item 195-412, Rapid Outreach 53526
Grants, may be expended only after the submission of a request to 53527
the Controlling Board by the Department of Development outlining 53528
the planned use of the funds, and the subsequent approval of the 53529
request by the Controlling Board.53530

       The foregoing appropriation item 195-412, Rapid Outreach 53531
Grants, may be used for, but is not limited to, construction, 53532
rehabilitation, and acquisition projects for rail freight 53533
assistance as requested by the Department of Transportation. The 53534
Director of Transportation shall submit the proposed projects to 53535
the Director of Development for an evaluation of potential 53536
economic benefit.53537

       Section 263.10.40. ECONOMIC DEVELOPMENT DIVISION AND REGIONAL 53538
OFFICES53539

       The foregoing appropriation item 195-415, Economic53540
Development Division and Regional Offices, shall be used for the 53541
operating expenses of the Economic Development Division and the 53542
regional economic development offices and for grants for 53543
cooperative economic development ventures.53544

       Section 263.10.50.  GOVERNOR'S OFFICE OF APPALACHIA53545

       The foregoing appropriation item 195-416, Governor's Office53546
of Appalachia, shall be used for the administrative costs of53547
planning and liaison activities for the Governor's Office of53548
Appalachia, and to provide financial assistance to projects in 53549
Ohio's Appalachian counties.53550

       Of the foregoing appropriation item 195-416, Governor's53551
Office of Appalachia, up to $250,000 each fiscal year shall be53552
used to match federal funds from the Appalachian Regional53553
Commission to provide job training to impact the Appalachian53554
Region.53555

       Of the foregoing appropriation item 195-416, Governor's 53556
Office of Appalachia, up to $4,246,043 in each fiscal year shall 53557
be used in conjunction with other federal and state funds to 53558
provide financial assistance to projects in Ohio's Appalachian 53559
counties in order to further the goals of the Appalachian Regional 53560
Commission. The projects and project sponsors shall meet 53561
Appalachian Regional Commission eligibility requirements. Grants 53562
shall be administered by the Department of Development.53563

       Section 263.10.60. THIRD FRONTIER ACTION FUND53564

       The foregoing appropriation item 195-422, Third Frontier 53565
Action Fund, shall be used to make grants under sections 184.01 53566
and 184.02 of the Revised Code. Prior to the release of funds from 53567
appropriation item 195-422, Third Frontier Action Fund, each grant 53568
award shall be recommended for funding by the Third Frontier 53569
Commission and obtain approval from the Controlling Board.53570

       Of the foregoing appropriation item 195-422, Third Frontier 53571
Action Fund, not more than six per cent in each fiscal year shall 53572
be used for operating expenditures in administering the program.53573

       In addition to the six per cent for operating expenditures,53574
an additional administrative amount, not to exceed $1,500,00053575
within the biennium, shall be available for proposal evaluation, 53576
research and analyses, and marketing efforts considered necessary 53577
to receive and disseminate information about science and 53578
technology-related opportunities in the state.53579

       Of the foregoing appropriation item 195-422, Third Frontier 53580
Action Fund, $2,000,000 in fiscal year 2008 shall be used by 53581
Project Development, Inc., for business and job creation resulting 53582
from Third Frontier investments.53583

       SCIENCE AND TECHNOLOGY COLLABORATION53584

       The Department of Development shall work in close 53585
collaboration with the Board of Regents, the Air Quality 53586
Development Authority, and the Third Frontier Commission in 53587
relation to appropriation items and programs referred to as 53588
Alignment Programs in the following paragraph, and other 53589
technology-related appropriations and programs in the Department 53590
of Development, Air Quality Development Authority, and the Board 53591
of Regents as these agencies may designate, to ensure 53592
implementation of a coherent state strategy with respect to 53593
science and technology.53594

       "Alignment Programs" means appropriation items 195-401, 53595
Thomas Edison Program; 898-402, Coal Development Office; 195-422, 53596
Third Frontier Action Fund; 898-604, Coal Research and Development 53597
Fund; 235-433, Economic Growth Challenge; 235-508, Air Force 53598
Institute of Technology; 235-510, Ohio Supercomputer Center; 53599
235-451, Eminent Scholars; 235-527, Ohio Aerospace Institute; 53600
235-535, Ohio Agricultural Research and Development Center; 53601
235-553, Dayton Area Graduate Studies Institute; 235-554, 53602
Priorities in Collaborative Graduate Education; 235-556, Ohio 53603
Academic Resources Network; 195-435, Biomedical Research and 53604
Technology Transfer Trust; 195-687, Third Frontier Research & 53605
Development Projects; CAP-068, Third Frontier Project; and 53606
195-692, Research & Development Taxable Bond Projects.53607

       Consistent with the recommendations of the Governor's 53608
Commission on Higher Education and the Economy, Alignment Programs 53609
shall be managed and administered in accordance with the following 53610
objectives: (1) to build on existing competitive research 53611
strengths; (2) to encourage new and emerging discoveries and 53612
commercialization of products and ideas that will benefit the Ohio 53613
economy; and (3) to assure improved collaboration among Alignment 53614
Programs with programs administered by the Third Frontier 53615
Commission and with other state programs that are intended to 53616
improve economic growth and job creation. As directed by the Third 53617
Frontier Commission, Alignment Program managers shall report to 53618
the Commission or the Third Frontier Advisory Board regarding the 53619
contributions of their programs to achieving these objectives.53620

       Each Alignment Program shall be reviewed annually by the 53621
Third Frontier Commission with respect to its development of 53622
complementary relationships within a combined state science and 53623
technology investment portfolio, and with respect to its overall 53624
contribution to the state's science and technology strategy, 53625
including the adoption of appropriately consistent criteria for: 53626
(1) the scientific merit of activities supported by the program; 53627
(2) the relevance of the program's activities to commercial 53628
opportunities in the private sector; (3) the private sector's 53629
involvement in a process that continually evaluates commercial 53630
opportunities to use the work supported by the program; and (4) 53631
the ability of the program and recipients of grant funding from 53632
the program to engage in activities that are collaborative, 53633
complementary, and efficient with respect to the expenditures of 53634
state funds. Each Alignment Program shall provide an annual report 53635
to the Third Frontier Commission that discusses existing, planned, 53636
or possible collaborations between programs and between recipients 53637
of grant funding related to technology, development, 53638
commercialization, and the support of Ohio's economic development. 53639
The annual review conducted by the Third Frontier Commission shall 53640
be a comprehensive review of the entire state science and 53641
technology program portfolio rather than a review of individual 53642
programs.53643

       Applicants for Third Frontier and Alignment Programs funding 53644
shall identify their requirements for high-performance computing 53645
facilities and services, including both hardware and software, in 53646
all proposals. If an applicant's requirements exceed approximately 53647
$100,000 for a proposal, the Ohio Supercomputer Center shall 53648
convene a panel of experts. The panel shall review the proposal to 53649
determine whether the proposal's requirements can be met through 53650
Ohio Supercomputer Center facilities or through other means and 53651
report such information to the Third Frontier Commission.53652

       To ensure that the state receives the maximum benefit from 53653
its investment in the Third Frontier Project and the Third 53654
Frontier Network, organizations receiving Third Frontier awards 53655
and Alignment Programs awards shall, as appropriate, be expected 53656
to have a connection to the Third Frontier Network that enables 53657
them and their collaborators to achieve award objectives through 53658
the Third Frontier Network.53659

       Section 263.10.70.  INTERNATIONAL TRADE53660

       The foregoing appropriation item 195-432, International53661
Trade, shall be used to operate and to maintain Ohio's53662
out-of-state trade offices.53663

       The Director of Development may enter into contracts with53664
foreign nationals to staff foreign offices. The contracts may be53665
paid in local currency or United States currency and shall be53666
exempt from section 127.16 of the Revised Code. The director also 53667
may establish foreign currency accounts under section 122.05 of 53668
the Revised Code for the payment of expenses related to the 53669
operation and maintenance of the foreign trade offices.53670

       The foregoing appropriation item 195-432, International53671
Trade, shall be used to fund the International Trade Division and53672
to assist Ohio manufacturers and agricultural producers in53673
exporting to foreign countries in conjunction with the Department53674
of Agriculture.53675

       Of the foregoing appropriation item 195-432, International53676
Trade, up to $35,000 may be used to purchase gifts for53677
representatives of foreign governments or dignitaries of foreign53678
countries.53679

       Section 263.10.80.  OHIO INVESTMENT IN TRAINING PROGRAM53680

       The foregoing appropriation items 195-434, Investment in53681
Training Grants, and 195-667, Investment in Training Expansion, 53682
shall be used to promote training through grants for the 53683
reimbursement of eligible training expenses. The release of grants 53684
for this purpose shall be subject to Controlling Board approval.53685

       Section 263.10.90. CDBG OPERATING MATCH53686

       The foregoing appropriation item 195-497, CDBG Operating 53687
Match, shall be used to provide matching funds as requested by the 53688
United States Department of Housing and Urban Development to 53689
administer the federally funded Community Development Block Grant 53690
(CDBG) program.53691

       STATE OPERATING MATCH53692

       The foregoing appropriation item 195-498, State Match Energy, 53693
shall be used to provide matching funds as required by the United 53694
States Department of Energy to administer the federally funded 53695
State Energy Plan.53696

       Section 263.10.95. DEFENSE CONVERSION ASSISTANCE53697

       Of the foregoing appropriation item 195-410, Defense 53698
Conversion Assistance, $5,000,000 in fiscal year 2008 shall be 53699
used as a state match to federal dollars for the relocation of 53700
jobs at Wright-Patterson Air Force Base and vicinity as a result 53701
of job losses from the base realignment and closure process.53702

       Section 263.20.10. TRAVEL AND TOURISM GRANTS53703

       The foregoing appropriation item 195-507, Travel and Tourism53704
Grants, shall be used to provide grants to local organizations to53705
support various local travel and tourism events in Ohio.53706

       Of the foregoing appropriation item 195-507, Travel and 53707
Tourism Grants, $50,000 in each fiscal year shall be used for the 53708
Cleveland Film Bureau.53709

       Of the foregoing appropriation item 195-507, Travel and 53710
Tourism Grants, $50,000 in each fiscal year shall be used for the 53711
Cincinnati Film Bureau.53712

       Of the foregoing appropriation item 195-507, Travel and 53713
Tourism Grants, $500,000 in each fiscal year shall be used for 53714
grants to The International Center for the Preservation of Wild 53715
Animals.53716

       Of the foregoing appropriation item 195-507, Travel and 53717
Tourism Grants, $50,000 in each fiscal year shall be used for the 53718
Greater Cleveland Sports Commission.53719

        Of the foregoing appropriation item 195-507, Travel and 53720
Tourism Grants, $50,000 in each fiscal year shall be used for the 53721
Greater Columbus Sports Commission.53722

       Of the foregoing appropriation item 195-507, Travel and 53723
Tourism Grants, $50,000 in fiscal year 2008 shall be used for the 53724
Ohio Alliance of Science Centers.53725

       Of the foregoing appropriation item 195-507, Travel and 53726
Tourism Grants, $50,000 in each fiscal year shall be used for the 53727
Harbor Heritage Society/Great Lakes Science Center in support of 53728
operations of the Steamship William G. Mather Maritime Museum.53729

       Of the foregoing appropriation item 195-507, Travel and 53730
Tourism Grants, $35,000 in fiscal year 2009 shall be used for the 53731
Ohio Junior Angus Association to assist with costs associated with 53732
hosting the Eastern Regional Junior Angus Show in June 2009.53733

       Section 263.20.20. THIRD FRONTIER RESEARCH & DEVELOPMENT 53734
GENERAL OBLIGATION DEBT SERVICE53735

       The foregoing appropriation item 195-905, Third Frontier 53736
Research & Development General Obligation Debt Service, shall be 53737
used to pay all debt service and related financing costs during 53738
the period from July 1, 2007, to June 30, 2009, on obligations 53739
issued for research and development purposes under sections 151.01 53740
and 151.10 of the Revised Code.53741

       JOB READY SITE DEVELOPMENT GENERAL OBLIGATION DEBT SERVICE53742

       The foregoing appropriation item 195-912, Job Ready Site 53743
Development General Obligation Debt Service, shall be used to pay 53744
all debt service and related financing costs during the period 53745
from July 1, 2007, to June 30, 2009, on obligations issued for job 53746
ready site development purposes under sections 151.01 and 151.11 53747
of the Revised Code.53748

       Section 263.20.30. SUPPORTIVE SERVICES53749

       The Director of Development may assess divisions of the53750
department for the cost of central service operations. An53751
assessment shall be based on a plan submitted to and approved by53752
the Office of Budget and Management by August 1, 2007, and shall 53753
contain the characteristics of administrative ease and uniform 53754
application.53755

       A division's payments shall be credited to the Supportive53756
Services Fund (Fund 135) using an intrastate transfer voucher.53757

       Of the foregoing appropriation item 195-684, Supportive 53758
Services, $50,000 in fiscal year 2008 and $35,000 in fiscal year 53759
2009 shall be used for Crawford County to hire an employee to act 53760
as a local economic development coordinator.53761

       WORKFORCE GUARANTEE PROGRAM53762

       The foregoing appropriation item 195-668, Workforce Guarantee 53763
Program, shall be used for the Workforce Guarantee Program.53764

        Benefited employers must create at least 20 high-paying, 53765
full-time jobs over a one-year period and must demonstrate prior 53766
to the commitment of state funds that the availability of those 53767
skilled workers is a major factor in the employer's decision to 53768
locate or expand in Ohio. Customized training activities are 53769
eligible for funding through the Workforce Guarantee Program.53770

       The Director of Development, under Chapter 119. of the 53771
Revised Code, shall adopt, and may amend or rescind, rules the 53772
Director finds necessary for the implementation and successful 53773
operation of the Workforce Guarantee Program.53774

       ECONOMIC DEVELOPMENT CONTINGENCY53775

       Of the foregoing appropriation item 195-677, Economic 53776
Development Contingency, up to $19,400,000 shall be used by the 53777
Third Frontier Commission in fiscal year 2009 for biomedical 53778
research and technology transfer purposes under sections 184.01 to 53779
184.03 of the Revised Code.53780

       The foregoing appropriation item 195-677, Economic 53781
Development Contingency, may be expended only after the Department 53782
of Development submits and the Controlling Board approves a 53783
request that outlines the planned use of funds to be expended.53784

       DIRECT COST RECOVERY EXPENDITURES53785

       The foregoing appropriation item 195-636, Direct Cost 53786
Recovery Expenditures, shall be used for conference and 53787
subscription fees and other reimbursable costs. Revenues to the 53788
General Reimbursement Fund (Fund 685) shall consist of fees and 53789
other moneys charged for conferences, subscriptions, and other53790
administrative costs that are not central service costs.53791

       Section 263.20.40. HEAP WEATHERIZATION53792

       Fifteen per cent of the federal funds received by the state53793
for the Home Energy Assistance Block Grant shall be deposited in 53794
appropriation item 195-614, HEAP Weatherization (Fund 3K9), and 53795
shall be used to provide home weatherization services in the 53796
state.53797

       The Department of Development shall seek, and if approved 53798
shall implement, a federal waiver to increase the percentage of 53799
the Home Energy Block Grant that may be used for weatherization to 53800
sixteen and one-half per cent in fiscal year 2008 and seventeen 53801
and one-half per cent in fiscal year 2009. Upon approval of the 53802
federal waiver, the Director of Development shall seek Controlling 53803
Board approval to adjust appropriation items 195-611, Home Energy 53804
Assistance Block Grant, and 195-614, HEAP Weatherization, as 53805
needed to implement the federal waiver.53806

       STATE SPECIAL PROJECTS53807

       The foregoing fund, Fund 4F2, State Special Projects Fund, 53808
shall be used for the deposit of private-sector funds from utility 53809
companies and for the deposit of other miscellaneous state funds. 53810
Private-sector moneys shall be used to (1) pay the expenses of 53811
verifying the income-eligibility of HEAP applicants, (2) market 53812
economic development opportunities in the state, and (3) leverage 53813
additional federal funds. State funds shall be used to match 53814
federal housing grants for the homeless and to market economic 53815
development opportunities in the state.53816

       Section 263.20.50.  TAX INCENTIVE PROGRAMS OPERATING53817

        On July 1, 2007, or as soon thereafter as possible, the 53818
Director of Budget and Management shall transfer the cash balance 53819
in the Job Creation Tax Credit Operating Fund (Fund 4S1) to the 53820
Tax Incentive Programs Operating Fund (Fund 4S0). The Director 53821
shall cancel any existing encumbrances against appropriation item 53822
195-634, Job Creation Tax Credit Operating (Fund 4S1), and 53823
re-establish them against appropriation item 195-630, Tax 53824
Incentive Programs Operating (Fund 4S0). The amounts of the 53825
re-established encumbrances are hereby appropriated.53826

       Section 263.20.60.  MINORITY BUSINESS ENTERPRISE LOAN53827

       All repayments from the Minority Development Financing53828
Advisory Board Loan Program and the Ohio Mini-Loan Guarantee53829
Program shall be deposited in the State Treasury to the credit of53830
the Minority Business Enterprise Loan Fund (Fund 4W1).53831

       All operating costs of administering the Minority Business53832
Enterprise Loan Fund shall be paid from the Minority Business53833
Enterprise Loan Fund (Fund 4WI).53834

       MINORITY BUSINESS BONDING FUND53835

       Notwithstanding Chapters 122., 169., and 175. of the Revised53836
Code and other provisions of Am. Sub. H.B. 283 of the 123rd53837
General Assembly, the Director of Development may, upon the53838
recommendation of the Minority Development Financing Advisory53839
Board, pledge up to $10,000,000 in the FY 2008-2009 biennium of53840
unclaimed funds administered by the Director of Commerce and53841
allocated to the Minority Business Bonding Program under section 53842
169.05 of the Revised Code. The transfer of any cash by the 53843
Director of Budget and Management from the Department of53844
Commerce's Unclaimed Funds Fund (Fund 543) to the Department of53845
Development's Minority Business Bonding Fund (Fund 449) shall53846
occur, if requested by the Director of Development, only if such53847
funds are needed for payment of losses arising from the Minority53848
Business Bonding Program, and only after proceeds of the initial53849
transfer of $2,700,000 by the Controlling Board to the Minority53850
Business Bonding Program has been used for that purpose. Moneys53851
transferred by the Director of Budget and Management from the53852
Department of Commerce for this purpose may be moneys in custodial53853
funds held by the Treasurer of State. If expenditures are required 53854
for payment of losses arising from the Minority Business Bonding 53855
Program, such expenditures shall be made from appropriation item 53856
195-623, Minority Business Bonding Contingency in the Minority 53857
Business Bonding Fund, and such amounts are appropriated.53858

       Section 263.20.70. ECONOMIC DEVELOPMENT FINANCING OPERATING53859

       The foregoing appropriation item 195-625, Economic53860
Development Financing Operating, shall be used for the operating53861
expenses of financial assistance programs authorized under Chapter53862
166. of the Revised Code and under sections 122.43 and 122.45 of53863
the Revised Code.53864

       ALTERNATIVE FUEL TRANSPORTATION53865

       The foregoing appropriation item 195-679, Alternative Fuel 53866
Transportation, shall be used by the Director of Development to 53867
make grants under the Alternative Fuel Transportation Grant Fund 53868
Program in accordance with section 122.075 of the Revised Code, 53869
and for administrative costs associated with the program.53870

       Of the foregoing appropriation item 195-679, Alternative Fuel 53871
Transportation, up to $1,000,000 in each fiscal year shall be used 53872
to encourage retail gas stations to provide E85 and B20 (or 53873
higher) fuel to customers in accordance with section 122.075 of 53874
the Revised Code.53875

       LOW INCOME ENERGY ASSISTANCE53876

       The foregoing appropriation item 195-659, Low Income Energy 53877
Assistance, shall be used to provide payments to regulated 53878
electric utility companies for low-income customers enrolled in53879
Percentage of Income Payment Plan (PIPP) electric accounts, to53880
fund targeted energy efficiency and customer education services to53881
PIPP customers, and to cover the department's administrative costs53882
related to Universal Service Fund Programs. If it is determined 53883
that additional appropriations are necessary to provide payments 53884
to regulated utility companies for low income customers enrolled 53885
in PIPP electric accounts, such appropriations are subject to 53886
approval by the Controlling Board upon the submission of a request 53887
by the Department of Development.53888

       ADVANCED ENERGY FUND53889

       The foregoing appropriation item 195-660, Advanced Energy 53890
Programs, shall be used to provide financial assistance to53891
customers for eligible advanced energy projects for residential,53892
commercial and industrial business, local government, educational53893
institution, nonprofit, and agriculture customers, and to pay for53894
the program's administrative costs as provided in the Revised Code53895
and rules adopted by the Director of Development.53896

       Of the foregoing appropriation item 195-660, Advanced Energy 53897
Programs, up to $1,000,000 over the biennium shall be used for 53898
methane digester projects.53899

       Of the foregoing appropriation item 195-660, Advanced Energy 53900
Programs, up to $250,000 in each fiscal year shall be used for 53901
grants to school districts under section 3327.17 of the Revised 53902
Code.53903

       TRANSFER FROM THE ADVANCED ENERGY FUND TO THE INDUSTRIAL SITE 53904
IMPROVEMENTS FUND53905

        Notwithstanding Chapters 122. and 4928. of the Revised Code 53906
and any other law to the contrary, the Director of Budget and 53907
Management shall transfer $4,500,000 in cash in fiscal year 2008 53908
and $4,500,000 in cash in fiscal year 2009 from the Advanced 53909
Energy Fund (Fund 5M5) to the Industrial Site Improvements Fund 53910
(Fund 5AR).53911

        Moneys in Fund 5AR, Industrial Site Improvements, shall be 53912
used by the Director of Development to make grants to eligible 53913
counties for the improvement of commercial or industrial areas 53914
within those counties under section 122.951 of the Revised Code.53915

       GLOBAL ANALYST SETTLEMENT AGREEMENTS PAYMENTS53916

       All payments received by the state pursuant to a series of 53917
settlements with ten brokerage firms reached with the United 53918
States Securities and Exchange Commission, the National 53919
Association of Securities Dealers, the New York Stock Exchange, 53920
the New York Attorney General, and other state regulators 53921
(henceforth referred to as the "Global Analysts Settlement 53922
Agreements"), shall be deposited into the state treasury to the 53923
credit of the Economic Development Contingency Fund (Fund 5Y6), 53924
which is hereby created in the state treasury. The fund shall be 53925
used by the Director of Development to support economic 53926
development projects for which appropriations would not otherwise 53927
be available, and shall be subject to the submission of a request 53928
to the Controlling Board by the Director outlining the planned use 53929
of the funds, and the subsequent approval of the request by the 53930
Controlling Board.53931

       VOLUME CAP ADMINISTRATION53932

       The foregoing appropriation item 195-654, Volume Cap53933
Administration, shall be used for expenses related to the53934
administration of the Volume Cap Program. Revenues received by the 53935
Volume Cap Administration Fund (Fund 617) shall consist of53936
application fees, forfeited deposits, and interest earned from the53937
custodial account held by the Treasurer of State.53938

        INNOVATION OHIO LOAN FUND53939

        The foregoing appropriation item 195-664, Innovation Ohio, 53940
shall be used to provide for innovation Ohio purposes, including 53941
loan guarantees and loans under Chapter 166. and particularly 53942
sections 166.12 to 166.16 of the Revised Code.53943

       RESEARCH AND DEVELOPMENT53944

       The foregoing appropriation item 195-665, Research and 53945
Development, shall be used to provide for research and development 53946
purposes, including loans, under Chapter 166. and particularly 53947
sections 166.17 to 166.21 of the Revised Code.53948

       Section 263.20.80. FACILITIES ESTABLISHMENT FUND53949

       The foregoing appropriation item 195-615, Facilities53950
Establishment (Fund 037), shall be used for the purposes of the53951
Facilities Establishment Fund under Chapter 166. of the Revised53952
Code.53953

       Notwithstanding Chapter 166. of the Revised Code, an amount 53954
not to exceed $1,800,000 in cash each fiscal year may be53955
transferred from the Facilities Establishment Fund (Fund 037) to 53956
the Economic Development Financing Operating Fund (Fund 451). The 53957
transfer is subject to Controlling Board approval under division 53958
(B) of section 166.03 of the Revised Code.53959

       Notwithstanding Chapter 166. of the Revised Code, an amount 53960
not to exceed $5,475,000 in cash each fiscal year may be 53961
transferred during the biennium from the Facilities Establishment 53962
Fund (Fund 037) to the Urban Redevelopment Loans Fund (Fund 5D2) 53963
for the purpose of removing barriers to urban core redevelopment. 53964
The Director of Development shall develop program guidelines for 53965
the transfer and release of funds, including, but not limited to, 53966
the completion of all appropriate environmental assessments before 53967
state assistance is committed to a project. The transfers shall be 53968
subject to approval by the Controlling Board upon the submission 53969
of a request by the Department of Development.53970

       Notwithstanding Chapter 166. of the Revised Code, an amount 53971
not to exceed $3,000,000 in cash each fiscal year may be53972
transferred from the Facilities Establishment Fund (Fund 037) to 53973
the Rural Industrial Park Loan Fund (Fund 4Z6). The transfer is 53974
subject to Controlling Board approval under section 166.03 of the 53975
Revised Code.53976

       Notwithstanding Chapter 166. of the Revised Code, of the 53977
foregoing appropriation item 195-615, Facilities Establishment, 53978
$1,500,000 in fiscal year 2008 shall be used for business 53979
development by any current or future port authority located in 53980
Clark County.53981

       ALTERNATIVE FUEL TRANSPORTATION GRANT FUND53982

       Notwithstanding Chapter 166. of the Revised Code, an amount 53983
not to exceed $1,000,000 in cash each fiscal year shall be53984
transferred from moneys in the Facilities Establishment Fund (Fund 53985
037) to the Alternative Fuel Transportation Grant Fund (Fund 5CG) 53986
in the Department of Development.53987

       RURAL DEVELOPMENT INITIATIVE FUND53988

       (A)(1) The Rural Development Initiative Fund (Fund 5S8) is 53989
entitled to receive moneys from the Facilities Establishment Fund 53990
(Fund 037). The Director of Development may make grants from the 53991
Rural Development Initiative Fund as specified in division (A)(2) 53992
of this section to eligible applicants in Appalachian counties and 53993
in rural counties in the state that are designated as distressed 53994
under section 122.25 of the Revised Code. Preference shall be 53995
given to eligible applicants located in Appalachian counties 53996
designated as distressed by the federal Appalachian Regional 53997
Commission. The Rural Development Initiative Fund (Fund 5S8) shall 53998
cease to exist after June 30, 2009. All moneys remaining in the 53999
Fund after that date shall revert to the Facilities Establishment 54000
Fund (Fund 037).54001

       (2) The Director of Development shall make grants from the54002
Rural Development Initiative Fund (Fund 5S8) only to eligible 54003
applicants who also qualify for and receive funding under the 54004
Rural Industrial Park Loan Program as specified in sections 122.23 54005
to 122.27 of the Revised Code. Eligible applicants shall use the 54006
grants for the purposes specified in section 122.24 of the Revised 54007
Code. All projects supported by grants from the fund are subject 54008
to Chapter 4115. of the Revised Code as specified in division (E) 54009
of section 166.02 of the Revised Code. The Director shall develop 54010
program guidelines for the transfer and release of funds. The 54011
release of grant moneys to an eligible applicant is subject to 54012
Controlling Board approval.54013

       (B) Notwithstanding Chapter 166. of the Revised Code, the54014
Director of Budget and Management may transfer an amount not to 54015
exceed $3,000,000 in cash each fiscal year on an as-needed basis 54016
at the request of the Director of Development from the Facilities54017
Establishment Fund (Fund 037) to the Rural Development Initiative54018
Fund (Fund 5S8). The transfer is subject to Controlling Board54019
approval under section 166.03 of the Revised Code.54020

       CAPITAL ACCESS LOAN PROGRAM54021

       The foregoing appropriation item 195-628, Capital Access Loan54022
Program, shall be used for operating, program, and administrative54023
expenses of the program. Funds of the Capital Access Loan Program 54024
shall be used to assist participating financial institutions in 54025
making program loans to eligible businesses that face barriers in 54026
accessing working capital and obtaining fixed-asset financing.54027

       Notwithstanding Chapter 166. of the Revised Code, the54028
Director of Budget and Management may transfer an amount not to 54029
exceed $3,000,000 in cash each fiscal year on an as-needed basis 54030
at the request of the Director of Development from the Facilities54031
Establishment Fund (Fund 037) to the Capital Access Loan Program54032
Fund (Fund 5S9). The transfer is subject to Controlling Board54033
approval under section 166.03 of the Revised Code.54034

       Section 263.20.90. CLEAN OHIO OPERATING EXPENSES54035

       The foregoing appropriation item 195-663, Clean Ohio 54036
Operating, shall be used by the Department of Development in 54037
administering sections 122.65 to 122.658 of the Revised Code.54038

       THIRD FRONTIER OPERATING54039

       The foregoing appropriation item 195-686, Third Frontier 54040
Operating, shall be used for operating expenses incurred by the 54041
Department of Development in administering sections 184.10 to 54042
184.20 of the Revised Code.54043

       THIRD FRONTIER RESEARCH & DEVELOPMENT PROJECTS54044

       The foregoing appropriation item 195-687, Third Frontier 54045
Research & Development Projects, shall be used by the Department 54046
of Development to fund selected projects pursuant to sections 54047
184.10 to 184.20 of the Revised Code.54048

       Notwithstanding sections 184.10 to 184.20 of the Revised 54049
Code, of the foregoing appropriation item 195-687, Third Frontier 54050
Research & Development Projects, up to $20,000,000 in fiscal year 54051
2008 shall be used by the Office of Information Technology, in 54052
partnership with the Ohio Supercomputer Center's OSCnet, to 54053
acquire the equipment and services necessary to migrate state 54054
agencies' network to the existing OSCnet network backbone. This 54055
state network shall be known as the NextGen Network.54056

       Notwithstanding sections 184.10 to 184.20 of the Revised 54057
Code, at the direction of the Director of Budget and Management up 54058
to $18,000,000 in each fiscal year from appropriation item 54059
195-687, Third Frontier Research & Development Projects, and 54060
appropriation item 195-692, Research & Development Taxable Bond 54061
Projects, shall be used to fund the Research Incentive Program in 54062
the Board of Regents.54063

       On or before June 30, 2008, any unencumbered balance of the 54064
foregoing appropriation item 195-687, Third Frontier Research & 54065
Development Projects, for fiscal year 2008 is hereby appropriated 54066
for the same purpose for fiscal year 2009.54067

       AUTHORITY TO ISSUE AND SELL ORIGINAL OBLIGATIONS54068

       The Ohio Public Facilities Commission, upon request of the 54069
Department of Development, is hereby authorized to issue and sell, 54070
in accordance with Section 2p of Article VIII, Ohio Constitution, 54071
and particularly sections 151.01 and 151.10 of the Revised Code, 54072
original obligations of the State of Ohio in an aggregate amount 54073
not to exceed $150,000,000. The authorized obligations shall be 54074
issued and sold from time to time and in amounts necessary to 54075
ensure sufficient moneys to the credit of the Third Frontier 54076
Research & Development Fund (Fund 011) to pay costs of research 54077
and development projects.54078

       JOB READY SITE OPERATING54079

       The foregoing appropriation item 195-688, Job Ready Site 54080
Operating, shall be used for operating expenses incurred by the 54081
Department of Development in administering sections 122.085 to 54082
122.0820 of the Revised Code. Operating expenses include, but are 54083
not limited to, certain expenses of the District Public Works 54084
Integrating Committees, audit and accountability activities, and 54085
costs associated with formal certifications verifying that site 54086
infrastructure is in place and is functional.54087

       Section 263.30.10. UNCLAIMED FUNDS TRANSFER54088

       (A) Notwithstanding division (A) of section 169.05 of the 54089
Revised Code, upon the request of the Director of Budget and 54090
Management, the Director of Commerce, prior to June 30, 2008, 54091
shall transfer to the Job Development Initiatives Fund (Fund 5AD) 54092
an amount not to exceed $5,000,000 in cash of the unclaimed funds 54093
that have been reported by the holders of unclaimed funds under 54094
section 169.05 of the Revised Code, regardless of the allocation 54095
of the unclaimed funds described under that section.54096

       Notwithstanding division (A) of section 169.05 of the Revised 54097
Code, upon the request of the Director of Budget and Management, 54098
the Director of Commerce, prior to June 30, 2009, shall transfer 54099
to the Job Development Initiatives Fund (Fund 5AD) an amount not 54100
to exceed $24,400,000 in cash of the unclaimed funds that have 54101
been reported by the holders of unclaimed funds under section 54102
169.05 of the Revised Code, regardless of the allocation of the 54103
unclaimed funds described under that section.54104

       (B) Notwithstanding division (A) of section 169.05 of the 54105
Revised Code, upon the request of the Director of Budget and 54106
Management, the Director of Commerce, prior to June 30, 2008, 54107
shall transfer to the State Special Projects Fund (Fund 4F2) an 54108
amount not to exceed $2,500,000 of the unclaimed funds that have 54109
been reported by the holders of unclaimed funds under section 54110
169.05 of the Revised Code, regardless of the allocation of the 54111
unclaimed funds described under that section.54112

       Notwithstanding division (A) of section 169.05 of the Revised 54113
Code, upon the request of the Director of Budget and Management, 54114
the Director of Commerce, prior to June 30, 2009, shall transfer 54115
to the State Special Projects Fund (Fund 4F2) an amount not to 54116
exceed $2,500,000 in cash of the unclaimed funds that have been 54117
reported by the holders of unclaimed funds under section 169.05 of 54118
the Revised Code, regardless of the allocation of the unclaimed 54119
funds described under that section.54120

       Section 263.30.20. WORKFORCE DEVELOPMENT54121

       The Director of Development and the Director of Job and 54122
Family Services may enter into one or more interagency agreements 54123
between the two departments, hire staff, transfer staff, assign 54124
duties to staff, enter into contracts, transfer assets, and take 54125
other actions the directors consider necessary to provide services 54126
and assistance as necessary to integrate workforce development 54127
into a larger economic development strategy, to implement the 54128
recommendations of the Workforce Policy Board, and to perform 54129
activities related to the transition of the administration of 54130
employment programs identified by the board. Subject to the 54131
approval of the Director of Budget and Management, the Department 54132
of Development and the Department of Job and Family Services may 54133
expend funds to support the recommendations of the Workforce 54134
Policy Board in the area of integration of employment functions as 54135
described in this paragraph and to provide implementation and 54136
transition activities from the appropriations to those 54137
departments.54138

       Section 263.30.30. COMMISSION ON THE FUTURE OF HEALTH CARE 54139
EDUCATION AND PHYSICIAN RETENTION IN NW OH54140

       (A) Whereas, There is a physician shortage, particularly in 54141
certain specialties, that is predicted to worsen within the next 54142
decade; and54143

       Whereas, This shortage may worsen as a result of, among other 54144
factors, fewer than ten per cent of new graduates from the 54145
University of Toledo who choose to continue their training in 54146
northwest Ohio; and54147

       Whereas, Many of the problems confronting physician training 54148
at the graduate medical education level are already manifest in 54149
northwest Ohio; and54150

       Whereas, It is prudent to examine the physician shortage 54151
using northwest Ohio as a microcosm for the entire state of Ohio; 54152
now therefore be it54153

       Resolved by the Ohio General Assembly that there is hereby 54154
created the Commission on the Future of Health Care Education and 54155
Physician Retention in NW OH.54156

       (B) The Commission shall be composed of the following 54157
members:54158

       (1) Six representatives of health care providers in northwest 54159
Ohio, none of whom shall be from the same organization;54160

       (2) Six representatives of the health care profession in 54161
northwest Ohio, composed of the following individuals:54162

       (a) One from the College of Medicine at the University of 54163
Toledo;54164

       (b) One from the northwest Ohio chapter of the Ohio Nurses 54165
Association;54166

       (c) One from the Academy of Medicine of Toledo and Lucas 54167
County;54168

       (d) One from the Northwest Ohio Pediatric Society;54169

       (e) One geriatric medicine physician affiliated with Ohio 54170
University College of Osteopathic Medicine; and54171

       (f) One osteopathic physician affiliated with Ohio University 54172
College of Osteopathic Medicine.54173

       (3) Three representatives from northwest Ohio business and 54174
labor organizations, composed of the following individuals:54175

       (a) One from the Toledo Area Regional Chamber of Commerce;54176

       (b) One from the labor community of northwest Ohio; and54177

       (c) One from the health insurance industry.54178

       (4) Three representatives of health care consumers in 54179
northwest Ohio, none of whom shall be currently employed or 54180
affiliated with a health system or health insurer.54181

       (5) Nine representatives of state and local government, 54182
composed of the following individuals:54183

       (a) Two members of the Ohio House of Representatives, one 54184
from the minority party and one from the majority party;54185

       (b) Two members of the Ohio Senate, one from the minority 54186
party and one from the majority party;54187

       (c) One township trustee of northwest Ohio;54188

       (d) Two representatives of northwest Ohio municipal 54189
corporations, only one of whom shall be from the City of Toledo;54190

       (e) Two representatives of county commissioners, only one of 54191
whom shall be from Lucas County.54192

       (C) Members of the committee shall be appointed as follows:54193

       (1) For those members described in divisions (B)(1) and (2) 54194
of this section, two each by the Governor, the Speaker of the 54195
House of Representatives, and the President of the Senate;54196

       (2) For those members described in divisions (B)(3) and (4) 54197
of this section, one each by the Governor, the Speaker of the 54198
House of Representatives, and the President of the Senate; 54199

       (3) For those members described in division (B)(5), three 54200
each by the Governor, the Speaker of the House of Representatives, 54201
and the President of the Senate.54202

       (D) Members of the Commission shall be appointed not later 54203
than 30 days after the effective date of this section and shall 54204
first meet not later than 30 days after all appointments have been 54205
made. At its first meeting, the commission shall elect from among 54206
its members who are members of the Senate and House of 54207
Representatives a chairperson and vice-chairperson.54208

       Members of the commission shall serve without compensation, 54209
but may solicit on behalf of the Commission public and private 54210
funds to defray any costs of the Commission. The Commission shall 54211
meet at the call of the chairperson to conduct its official 54212
business. A majority of members shall constitute a quorum and a 54213
quorum shall be necessary to conduct any activities of the 54214
Commission.54215

       (E) The Toledo Community Foundation or a similar organization 54216
shall provide meeting space and administrative support for the 54217
Commission. The Ohio Board of Regents shall serve as a resource to 54218
the Commission.54219

       (F) The Commission shall prepare a report that examines and 54220
makes recommendations regarding the graduate medical education 54221
system in northwest Ohio, including:54222

       (1) Ways to increase the number and retention of medical 54223
graduates in northwest Ohio;54224

       (2) The status of the health care workforce in northwest 54225
Ohio;54226

       (3) The role of the University of Toledo in the health care 54227
education of the surrounding region;54228

       (4) Potential changes in federal and state statutes and rules 54229
regarding Medicaid support of graduate medical education; and54230

       (5) Policy initiatives that the Governor and General Assembly 54231
may consider to strengthen graduate medical education 54232
opportunities and physician retention in northwest Ohio.54233

       (G) The Commission shall, not later than nine months after 54234
the effective date of this section, submit to the Governor and 54235
General Assembly the report and recommendations prepared under 54236
division (F) of this section. On submission of the report, the 54237
Commission shall cease to exist.54238

       Section 265.10.  OBD OHIO BOARD OF DIETETICS54239

General Services Fund Group54240

4K9 860-609 Operating Expenses $ 342,501 $ 348,964 54241
TOTAL GSF General Services Fund 54242
Group $ 342,501 $ 348,964 54243
TOTAL ALL BUDGET FUND GROUPS $ 342,501 $ 348,964 54244


       Section 267.10. CDR COMMISSION ON DISPUTE RESOLUTION AND 54246
CONFLICT MANAGEMENT54247

General Revenue Fund54248

GRF 145-401 Commission Operations $ 455,123 $ 460,000 54249
TOTAL GRF General Revenue Fund $ 455,123 $ 460,000 54250

General Services Fund Group54251

4B6 145-601 Dispute Resolution Programs $ 140,000 $ 140,000 54252
TOTAL GSF General Services Fund Group $ 140,000 $ 140,000 54253

TOTAL ALL BUDGET FUND GROUPS $ 595,123 $ 600,000 54254


       Section 269.10. EDU DEPARTMENT OF EDUCATION54256

General Revenue Fund54257

GRF 200-100 Personal Services $ 11,533,494 $ 12,110,169 54258
GRF 200-320 Maintenance and Equipment $ 4,549,479 $ 4,778,203 54259
GRF 200-408 Early Childhood Education $ 34,002,195 $ 36,502,195 54260
GRF 200-410 Educator Training $ 19,628,817 $ 20,628,817 54261
GRF 200-416 Career-Technical Education Match $ 2,233,195 $ 2,233,195 54262
GRF 200-420 Computer/Application/ Network Development $ 5,536,362 $ 5,793,700 54263
GRF 200-421 Alternative Education Programs $ 15,232,665 $ 13,232,665 54264
GRF 200-422 School Management Assistance $ 2,960,572 $ 2,960,572 54265
GRF 200-424 Policy Analysis $ 556,687 $ 556,687 54266
GRF 200-425 Tech Prep Consortia Support $ 2,069,217 $ 2,069,217 54267
GRF 200-426 Ohio Educational Computer Network $ 30,446,197 $ 30,446,197 54268
GRF 200-427 Academic Standards $ 10,514,730 $ 10,514,730 54269
GRF 200-431 School Improvement Initiatives $ 11,600,235 $ 12,350,235 54270
GRF 200-433 Literacy Improvement-Professional Development $ 15,815,000 $ 15,815,000 54271
GRF 200-437 Student Assessment $ 77,150,819 $ 76,387,144 54272
GRF 200-439 Accountability/Report Cards $ 8,096,040 $ 14,223,540 54273
GRF 200-442 Child Care Licensing $ 1,302,495 $ 1,302,495 54274
GRF 200-446 Education Management Information System $ 16,110,510 $ 16,586,082 54275
GRF 200-447 GED Testing $ 1,544,360 $ 1,544,360 54276
GRF 200-448 Educator Preparation $ 1,301,000 $ 1,301,000 54277
GRF 200-455 Community Schools $ 1,533,661 $ 1,533,661 54278
GRF 200-502 Pupil Transportation $ 424,783,117 $ 429,030,948 54279
GRF 200-503 Bus Purchase Allowance $ 14,000,000 $ 14,000,000 54280
GRF 200-505 School Lunch Match $ 8,998,025 $ 8,998,025 54281
GRF 200-509 Adult Literacy Education $ 8,669,738 $ 8,669,738 54282
GRF 200-511 Auxiliary Services $ 131,740,457 $ 135,692,670 54283
GRF 200-514 Postsecondary Adult Career-Technical Education $ 19,481,875 $ 19,481,875 54284
GRF 200-521 Gifted Pupil Program $ 47,608,030 $ 48,008,613 54285
GRF 200-532 Nonpublic Administrative Cost Reimbursement $ 59,810,517 $ 61,604,832 54286
GRF 200-536 Ohio Core Support $ 7,700,000 $ 15,125,000 54287
GRF 200-540 Special Education Enhancements $ 138,619,945 $ 139,756,839 54288
GRF 200-545 Career-Technical Education Enhancements $ 9,298,651 $ 9,373,926 54289
GRF 200-550 Foundation Funding $ 5,761,699,328 $ 6,034,943,246 54290
GRF 200-566 Literacy Improvement-Classroom Grants $ 12,062,336 $ 12,062,336 54291
GRF 200-578 Violence Prevention and School Safety $ 1,218,555 $ 1,218,555 54292
GRF 200-901 Property Tax Allocation - Education $ 794,583,404 $ 850,868,654 54293
GRF 200-906 Tangible Tax Exemption - Education $ 21,415,244 $ 10,707,622 54294
TOTAL GRF General Revenue Fund $ 7,735,406,952 $ 8,082,412,743 54295

General Services Fund Group54296

138 200-606 Computer Services-Operational Support $ 7,600,091 $ 7,600,091 54297
4D1 200-602 Ohio Prevention/Education Resource Center $ 832,000 $ 832,000 54298
4L2 200-681 Teacher Certification and Licensure $ 5,966,032 $ 6,323,994 54299
452 200-638 Miscellaneous Educational Services $ 273,166 $ 279,992 54300
5H3 200-687 School District Solvency Assistance $ 18,000,000 $ 18,000,000 54301
596 200-656 Ohio Career Information System $ 529,761 $ 529,761 54302
TOTAL GSF General Services 54303
Fund Group $ 33,201,050 $ 33,565,838 54304

Federal Special Revenue Fund Group54305

3AF 200-603 Schools Medicaid Administrative Claims $ 486,000 $ 639,000 54306
3BK 200-628 Longitudinal Data Systems $ 1,795,570 $ 307,050 54307
3BV 200-636 Character Education $ 700,000 $ 700,000 54308
3CF 200-644 Foreign Language Assistance $ 85,000 $ 285,000 54309
3CG 200-646 Teacher Incentive Fund $ 6,552,263 $ 3,994,338 54310
3C5 200-661 Early Childhood Education $ 18,989,779 $ 18,989,779 54311
3D1 200-664 Drug Free Schools $ 13,347,966 $ 13,347,966 54312
3D2 200-667 Honors Scholarship Program $ 6,573,968 $ 6,665,000 54313
3H9 200-605 Head Start Collaboration Project $ 275,000 $ 275,000 54314
3L6 200-617 Federal School Lunch $ 244,714,211 $ 249,903,970 54315
3L7 200-618 Federal School Breakfast $ 63,927,606 $ 69,041,814 54316
3L8 200-619 Child/Adult Food Programs $ 69,280,946 $ 70,691,653 54317
3L9 200-621 Career-Technical Education Basic Grant $ 48,029,701 $ 48,029,701 54318
3M0 200-623 ESEA Title 1A $ 415,000,000 $ 420,000,000 54319
3M1 200-678 Innovative Education $ 5,369,100 $ 5,363,706 54320
3M2 200-680 Individuals with Disabilities Education Act $ 500,000,000 $ 405,000,000 54321
3S2 200-641 Education Technology $ 10,000,000 $ 5,000,000 54322
3T4 200-613 Public Charter Schools $ 13,850,827 $ 14,212,922 54323
3Y2 200-688 21st Century Community Learning Centers $ 30,681,554 $ 30,681,554 54324
3Y4 200-632 Reading First $ 35,215,798 $ 31,215,798 54325
3Y6 200-635 Improving Teacher Quality $ 102,692,685 $ 102,698,246 54326
3Y7 200-689 English Language Acquisition $ 8,000,000 $ 8,000,000 54327
3Y8 200-639 Rural and Low Income Technical Assistance $ 1,500,000 $ 1,500,000 54328
3Z2 200-690 State Assessments $ 12,883,799 $ 12,883,799 54329
3Z3 200-645 Consolidated Federal Grant Administration $ 8,500,000 $ 8,500,000 54330
309 200-601 Educationally Disadvantaged Programs $ 12,750,000 $ 8,750,000 54331
366 200-604 Adult Basic Education $ 19,425,000 $ 20,396,250 54332
367 200-607 School Food Services $ 5,849,748 $ 6,088,737 54333
368 200-614 Veterans' Training $ 710,373 $ 745,892 54334
369 200-616 Career-Technical Education Federal Enhancement $ 5,000,000 $ 5,000,000 54335
370 200-624 Education of Exceptional Children $ 1,811,520 $ 575,454 54336
374 200-647 Troops to Teachers $ 100,000 $ 100,000 54337
378 200-660 Learn and Serve $ 1,561,954 $ 1,561,954 54338
TOTAL FED Federal Special 54339
Revenue Fund Group $ 1,665,660,368 $ 1,571,144,583 54340

State Special Revenue Fund Group54341

4R7 200-695 Indirect Operational Support $ 5,449,748 $ 5,810,464 54342
4V7 200-633 Interagency Operational Support $ 392,100 $ 376,423 54343
454 200-610 Guidance and Testing $ 400,000 $ 400,000 54344
455 200-608 Commodity Foods $ 24,000,000 $ 24,000,000 54345
5BB 200-696 State Action for Education Leadership $ 1,250,000 $ 1,250,000 54346
5BJ 200-626 Half-Mill Maintenance Equalization $ 10,700,000 $ 10,700,000 54347
5U2 200-685 National Education Statistics $ 300,000 $ 300,000 54348
5W2 200-663 Early Learning Initiative $ 2,200,000 $ 2,200,000 54349
598 200-659 Auxiliary Services Reimbursement $ 1,328,910 $ 1,328,910 54350
620 200-615 Educational Improvement Grants $ 3,000,000 $ 3,000,000 54351
TOTAL SSR State Special Revenue 54352
Fund Group $ 49,020,758 $ 49,365,797 54353

Lottery Profits Education Fund Group54354

017 200-612 Foundation Funding $ 635,198,000 $ 667,900,000 54355
017 200-682 Lease Rental Payment Reimbursement $ 22,702,000 $ 0 54356
TOTAL LPE Lottery Profits 54357
Education Fund Group $ 657,900,000 $ 667,900,000 54358

Revenue Distribution Fund Group54359

047 200-909 School District Property Tax Replacement-Business $ 611,596,856 $ 763,316,819 54360
053 200-900 School District Property Tax Replacement-Utility $ 91,123,523 $ 91,123,523 54361
TOTAL RDF Revenue Distribution 54362
Fund Group $ 702,720,379 $ 854,440,342 54363
TOTAL ALL BUDGET FUND GROUPS $ 10,843,909,507 $ 11,258,829,303 54364


       Section 269.10.10. PERSONAL SERVICES54366

        The foregoing appropriation item 200-100, Personal Services, 54367
may be used to pay fees for the Department's membership in the 54368
Education Commission of the States, an interstate nonprofit, 54369
nonpartisan organization that supports states with the development 54370
of education policy.54371

        Of the foregoing appropriation item 200-100, Personal 54372
Services, up to $25,000 may be expended in each fiscal year for 54373
the State Board of Education to pay for outside professionals to 54374
help inform the Board on topics of education policy.54375

       Section 269.10.20. EARLY CHILDHOOD EDUCATION54376

       The Department of Education shall distribute the foregoing54377
appropriation item 200-408, Early Childhood Education, to pay the 54378
costs of early childhood education programs. 54379

       (A) As used in this section:54380

       (1) "Provider" means a city, local, exempted village, or 54381
joint vocational school district, or an educational service 54382
center.54383

       (2) In the case of a city, local, or exempted village school 54384
district, "new eligible provider" means a district that is 54385
eligible for poverty-based assistance under section 3317.029 of 54386
the Revised Code.54387

       (3) "Eligible child" means a child who is at least three 54388
years of age, is not of the age to be eligible for kindergarten, 54389
and whose family earns not more than two hundred per cent of the 54390
federal poverty guidelines.54391

       (B) In each fiscal year, up to two per cent of the total54392
appropriation may be used by the Department for program support 54393
and technical assistance. The Department shall distribute the 54394
remainder of the appropriation in each fiscal year to serve 54395
eligible children.54396

       (C) The Department shall provide an annual report to the54397
Governor, the Speaker of the House of Representatives, and the54398
President of the Senate and post the report to the Department's 54399
web site, regarding early childhood education programs operated 54400
under this section and the early learning program guidelines for 54401
school readiness.54402

       (D) After setting aside the amounts to make payments due from 54403
the previous fiscal year, in fiscal year 2008, the Department 54404
shall distribute funds first to recipients of funds for early 54405
childhood education programs under Section 206.09.06 of Am. Sub. 54406
H.B. 66 of the 126th General Assembly in the previous fiscal year 54407
and the balance to new eligible providers of early childhood 54408
education programs under this section. However, the total amount 54409
of funds distributed in fiscal year 2008 to all providers that 54410
received funds for early childhood education programs in fiscal 54411
year 2007 shall not exceed $18,622,151, unless the number of new 54412
eligible providers that notifies the Department of their interest 54413
in establishing early childhood education programs is insufficient 54414
to expend all available funding. In that case, the Department may 54415
direct available funding to providers that received funds for 54416
early childhood education programs in fiscal year 2007 for 54417
purposes of program expansion, improvement, or special projects to 54418
promote quality and innovation.54419

       After setting aside the amounts to make payments due from the 54420
previous fiscal year, in fiscal year 2009, the Department shall 54421
distribute funds first to providers of early childhood education 54422
programs under this section in the previous fiscal year and the 54423
balance to new eligible providers. However, the total amount of 54424
funds distributed in fiscal year 2009 to all providers that 54425
received funds for early childhood education programs in fiscal 54426
year 2007 shall not exceed $18,622,151, unless the number of 54427
providers that received funding in fiscal year 2008 and new 54428
eligible providers that notify the Department of their interest in 54429
establishing early childhood education programs is insufficient to 54430
expend all available funding. In that case, the Department may 54431
direct available funding to providers that received funds for 54432
early childhood education programs in fiscal year 2007 or 2008 for 54433
purposes of program expansion, improvement, or special projects to 54434
promote quality and innovation.54435

       In each of fiscal years 2008 and 2009, if funding is 54436
insufficient to serve all new eligible providers that notify the 54437
Department of their interest in establishing early childhood 54438
education programs, the Department shall determine which of those 54439
providers will receive funds using a selection process that first 54440
gives preference to providers that, as of March 15, 2007, did not 54441
offer early childhood education programs, but that had offered 54442
early childhood education programs or public preschool programs 54443
for some time after June 30, 2000, and second to providers that 54444
demonstrate a need for early childhood education programs, as 54445
determined by the Department. Demonstration of need shall include 54446
having higher rates of eligible children to be served.54447

        Awards under this section shall be distributed on a per-pupil 54448
basis, and in accordance with division (H) of this section. The 54449
Department may adjust the per-pupil amount so that the per-pupil 54450
amount multiplied by the number of eligible children enrolled and 54451
receiving services, as defined by the Department, reported on the 54452
first day of December or the first business day following that 54453
date equals the amount allocated under this section.54454

       (E) Costs for developing and administering an early childhood 54455
education program may not exceed fifteen per cent of the total 54456
approved costs of the program.54457

       All providers shall maintain such fiscal control and54458
accounting procedures as may be necessary to ensure the54459
disbursement of, and accounting for, these funds. The control of54460
funds provided in this program, and title to property obtained54461
therefrom, shall be under the authority of the approved provider54462
for purposes provided in the program unless, as described in 54463
division (J) of this section, the program waives its right for 54464
funding or a program's funding is eliminated or reduced due to its 54465
inability to meet financial or early learning program guidelines 54466
for school readiness. The approved provider shall administer and 54467
use such property and funds for the purposes specified.54468

       (F) The Department may examine a provider's financial and 54469
program records. If the financial practices of the program are not 54470
in accordance with standard accounting principles or do not meet 54471
financial standards outlined under division (E) of this section, 54472
or if the program fails to substantially meet the early learning 54473
program guidelines for school readiness or exhibits below average 54474
performance as measured against the guidelines, the early 54475
childhood education program shall propose and implement a 54476
corrective action plan that has been approved by the Department. 54477
The approved corrective action plan shall be signed by the chief 54478
executive officer and the executive of the official governing body 54479
of the provider. The corrective action plan shall include a 54480
schedule for monitoring by the Department. Such monitoring may 54481
include monthly reports, inspections, a timeline for correction of 54482
deficiencies, and technical assistance to be provided by the 54483
Department or obtained by the early childhood education program. 54484
The Department may withhold funding pending corrective action. If 54485
an early childhood education program fails to satisfactorily 54486
complete a corrective action plan, the Department may deny 54487
expansion funding to the program or withdraw all or part of the 54488
funding to the program and establish a new eligible provider 54489
through a selection process established by the Department.54490

       (G) Each early childhood education program shall do all of 54491
the following:54492

       (1) Meet teacher qualification requirements prescribed by 54493
section 3301.311 of the Revised Code;54494

       (2) Align curriculum to the early learning content standards;54495

       (3) Meet any assessment requirements prescribed by section 54496
3301.0715 of the Revised Code that are applicable to the program;54497

       (4) Require teachers, except teachers enrolled and working to 54498
obtain a degree pursuant to section 3301.311 of the Revised Code, 54499
to attend a minimum of twenty hours every two years of 54500
professional development as prescribed by the Department regarding 54501
the implementation of early learning program guidelines for school 54502
readiness;54503

       (5) Document and report child progress;54504

       (6) Meet and report compliance with the early learning 54505
program guidelines for school readiness;54506

       (7) Participate in early language and literacy classroom 54507
observation evaluation studies.54508

       (H) This division applies only to early childhood education 54509
programs established on or after March 15, 2007.54510

       Per-pupil funding for programs subject to this division shall 54511
be sufficient to provide eligible children with services for 54512
one-half of the statewide average length of the school day, as 54513
determined by the Department, for one hundred eighty-two days each 54514
school year. Nothing in this section shall be construed to 54515
prohibit program providers from utilizing other funds to serve 54516
eligible children in programs that exceed the statewide average 54517
length of the school day or that exceed one hundred eighty-two 54518
days in a school year.54519

       (I) Each provider shall develop a sliding fee scale based on 54520
family incomes and shall charge families who earn more than the54521
federal poverty guidelines for the early childhood education 54522
program.54523

       (J) If an early childhood education program voluntarily 54524
waives its right for funding, or has its funding eliminated for 54525
not meeting financial standards or the early learning program 54526
guidelines for school readiness, the provider shall transfer 54527
control of title to property, equipment, and remaining supplies 54528
obtained through the program to providers designated by the 54529
Department and return any unexpended funds to the Department along 54530
with any reports prescribed by the Department. The funding made 54531
available from a program that waives its right for funding or has 54532
its funding eliminated or reduced may be used by the Department 54533
for new grant awards or expansion grants. The Department may award 54534
new grants or expansion grants to eligible providers who apply. 54535
The eligible providers who apply must do so in accordance with the 54536
selection process established by the Department.54537

       (K) As used in this section, "early learning program 54538
guidelines for school readiness" means the guidelines established 54539
by the Department pursuant to division (C)(3) of Section 206.09.54 54540
of Am. Sub. H.B. 66 of the 126th General Assembly.54541

       Section 269.10.30. EDUCATOR TRAINING54542

       The foregoing appropriation item 200-410, Educator Training, 54543
shall be used to fund professional development programs in Ohio. 54544
The Department of Education shall, when possible, incorporate 54545
cultural competency as a component of professional development and 54546
actively promote the development of cultural competency in the 54547
operation of its professional development programs. As used in 54548
this section, "cultural competency" has the meaning specified by 54549
the Educator Standards Board under section 3319.61 of the Revised 54550
Code.54551

       Of the foregoing appropriation item 200-410, Educator 54552
Training, up to $9,250,000 in fiscal year 2008 and up to 54553
$10,250,000 in fiscal year 2009 shall be used by the Department of 54554
Education to provide grants to pay $2,225 of the application fee 54555
in order to assist teachers from public and chartered nonpublic 54556
schools applying for the first time to the National Board for 54557
Professional Teaching Standards for professional teaching 54558
certificates or licenses that the board offers. These moneys shall 54559
be used to pay up to the first 400 applications in each fiscal 54560
year received by the Department. This set aside shall also be used 54561
to recognize and reward teachers who become certified by the 54562
National Board for Professional Teaching Standards under section 54563
3319.55 of the Revised Code. Up to $300,000 in each fiscal year of 54564
this set aside may be used by the Department to pay for costs 54565
associated with activities to support candidates through the 54566
application and certification process. Up to $39,500 of this set 54567
aside in each fiscal year may be used to support the application 54568
fee for candidates participating in the Take One program for 54569
beginning teachers in years two and three.54570

       Of the foregoing appropriation item 200-410, Educator 54571
Training, up to $9,515,817 in each fiscal year shall be allocated 54572
for entry year teacher and principal programs. These funds shall 54573
be used to support mentoring services and performance assessments 54574
of beginning teachers and principals in school districts and 54575
chartered nonpublic schools.54576

       Of the foregoing appropriation item 200-410, Educator 54577
Training, up to $200,000 in each fiscal year shall be used to 54578
provide technical assistance and grants for districts to develop 54579
local knowledge/skills-based compensation systems. Each district 54580
receiving grants shall issue an annual report to the Department of 54581
Education detailing the use of the funds and the impact of the 54582
system developed by the district.54583

       Of the foregoing appropriation item 200-410, Educator 54584
Training, up to $350,000 in each fiscal year shall be used for 54585
training and professional development of school administrators, 54586
school treasurers, and school business officials.54587

       Of the foregoing appropriation item 200-410, Educator 54588
Training, up to $63,000 in each fiscal year shall be used to 54589
support the Ohio University Leadership Program.54590

       Of the foregoing appropriation item 200-410, Educator 54591
Training, $250,000 in each fiscal year shall be used to support 54592
the Ohio School Leadership Institute.54593

       Section 269.10.40. CAREER-TECHNICAL EDUCATION MATCH54594

       The foregoing appropriation item 200-416, Career-Technical 54595
Education Match, shall be used by the Department of Education to 54596
provide vocational administration matching funds under 20 U.S.C. 54597
2311.54598

       COMPUTER/APPLICATION/NETWORK DEVELOPMENT54599

       The foregoing appropriation item 200-420, 54600
Computer/Application/Network Development, shall be used to support 54601
the development and implementation of information technology 54602
solutions designed to improve the performance and services of the 54603
Department of Education. Funds may be used for personnel, 54604
maintenance, and equipment costs related to the development and 54605
implementation of these technical system projects. Implementation 54606
of these systems shall allow the Department to provide greater 54607
levels of assistance to school districts and to provide more 54608
timely information to the public, including school districts, 54609
administrators, and legislators. Funds may also be used to support 54610
data-driven decision-making and differentiated instruction, as 54611
well as to communicate academic content standards and curriculum 54612
models to schools through web-based applications.54613

       Section 269.10.50. ALTERNATIVE EDUCATION PROGRAMS54614

       There is hereby created the Alternative Education Advisory54615
Council, which shall consist of one representative from each of54616
the following agencies: the Ohio Department of Education; the54617
Department of Youth Services; the Ohio Department of Alcohol and54618
Drug Addiction Services; the Department of Mental Health; the54619
Office of the Governor or, at the Governor's discretion, the54620
Office of the Lieutenant Governor; the Office of the Attorney54621
General; and the Office of the Auditor of State.54622

       Of the foregoing appropriation item 200-421, Alternative54623
Education Programs, up to $6,227,310 in each fiscal year shall be 54624
used for the renewal of successful implementation grants and for54625
competitive matching grants to the 21 urban school districts as54626
defined in division (O) of section 3317.02 of the Revised Code as54627
it existed prior to July 1, 1998, and up to $6,161,074 in each 54628
fiscal year shall be used for the renewal of successful 54629
implementation grants and for competitive matching grants to rural 54630
and suburban school districts for alternative educational programs 54631
for existing and new at-risk and delinquent youth. Programs shall 54632
be focused on youth in one or more of the following categories: 54633
those who have been expelled or suspended, those who have dropped 54634
out of school or who are at risk of dropping out of school, those 54635
who are habitually truant or disruptive, or those on probation or 54636
on parole from a Department of Youth Services facility. Grants 54637
shall be awarded according to the criteria established by the54638
Alternative Education Advisory Council in 1999. Grants shall be54639
awarded only to programs in which the grant will not serve as the54640
program's primary source of funding. These grants shall be54641
administered by the Department of Education.54642

       The Department of Education may waive compliance with any54643
minimum education standard established under section 3301.07 of54644
the Revised Code for any alternative school that receives a grant54645
under this section on the grounds that the waiver will enable the54646
program to more effectively educate students enrolled in the54647
alternative school.54648

       Of the foregoing appropriation item 200-421, Alternative54649
Education Programs, up to $422,281 in each fiscal year may be used54650
for program administration, monitoring, technical assistance,54651
support, research, and evaluation. Any unexpended balance may be54652
used to provide additional matching grants to urban, suburban, or54653
rural school districts as outlined above.54654

       Of the foregoing appropriation item 200-421, Alternative54655
Education Programs, $247,000 in each fiscal year shall be used to54656
contract with the Center for Learning Excellence at The Ohio State54657
University to provide technical support for the project and the54658
completion of formative and summative evaluation of the grants.54659

       Of the foregoing appropriation item 200-421, Alternative 54660
Education Programs, $75,000 in each fiscal year shall be used to 54661
support the Toledo Tech Academy.54662

       Of the foregoing appropriation item 200-421, Alternative 54663
Education Programs, $2,000,000 in fiscal year 2008 shall be used 54664
to support Improved Solutions for Urban Students (ISUS) in 54665
Dayton/Sinclair Youth Initiative.54666

       Of the foregoing appropriation item 200-421, Alternative 54667
Education Programs, $100,000 in each fiscal year shall be provided 54668
to the Cincinnati Arts and Technology Center to increase program 54669
support for high-risk teens and unemployed urban adults.54670

       Section 269.10.60. SCHOOL MANAGEMENT ASSISTANCE54671

       Of the foregoing appropriation item 200-422, School54672
Management Assistance, up to $1,300,000 in each fiscal year may be 54673
used by the Department of Education for expenses incurred by the 54674
Auditor of State in consultation with the Department for the 54675
Auditor of State's role relating to fiscal caution, fiscal watch, 54676
and fiscal emergency activities as defined in Chapter 3316. of the54677
Revised Code and may also be used to conduct performance audits 54678
with priority given to districts in fiscal distress. Expenses 54679
include duties related to the completion of performance audits for 54680
school districts that the Superintendent of Public Instruction 54681
determines are employing fiscal practices or experiencing 54682
budgetary conditions that could produce a state of fiscal watch or 54683
fiscal emergency.54684

       Of the foregoing appropriation item 200-422, School 54685
Management Assistance, up to $250,000 in each fiscal year shall be 54686
used by the Department of Education to work with school districts 54687
and entities that serve school districts to develop and deploy 54688
analytical tools that allow districts and other stakeholders to 54689
analyze more thoroughly district spending patterns in order to 54690
promote more effective and efficient use of resources. Quarterly 54691
updates of the progress for implementation of these tools shall be 54692
provided to the Governor, and the Department shall give due 54693
diligence to implementing these tools in the shortest reasonable 54694
timeline.54695

       The remainder of foregoing appropriation item 200-422, School54696
Management Assistance, shall be used by the Department of54697
Education to provide fiscal technical assistance and inservice54698
education for school district management personnel and to54699
administer, monitor, and implement the fiscal watch and fiscal54700
emergency provisions under Chapter 3316. of the Revised Code.54701

       Section 269.10.70. POLICY ANALYSIS54702

       The foregoing appropriation item 200-424, Policy Analysis,54703
shall be used by the Department of Education to support a system54704
of administrative, statistical, and legislative education54705
information to be used for policy analysis. Staff supported by54706
this appropriation shall administer the development of reports,54707
analyses, and briefings to inform education policymakers of54708
current trends in education practice, efficient and effective use54709
of resources, and evaluation of programs to improve education54710
results. The database shall be kept current at all times. These54711
research efforts shall be used to supply information and analysis54712
of data to the General Assembly and other state policymakers,54713
including the Office of Budget and Management and the Legislative54714
Service Commission.54715

       The Department of Education may use funding from this54716
appropriation item to purchase or contract for the development of54717
software systems or contract for policy studies that will assist54718
in the provision and analysis of policy-related information.54719
Funding from this appropriation item also may be used to monitor54720
and enhance quality assurance for research-based policy analysis54721
and program evaluation to enhance the effective use of education54722
information to inform education policymakers.54723

       TECH PREP CONSORTIA SUPPORT54724

       The foregoing appropriation item 200-425, Tech Prep Consortia 54725
Support, shall be used by the Department of Education to support 54726
state-level activities designed to support, promote, and expand 54727
tech prep programs. Use of these funds shall include, but not be 54728
limited to, administration of grants, program evaluation,54729
professional development, curriculum development, assessment54730
development, program promotion, communications, and statewide54731
coordination of tech prep consortia.54732

       Section 269.10.80. OHIO EDUCATIONAL COMPUTER NETWORK54733

       The foregoing appropriation item 200-426, Ohio Educational54734
Computer Network, shall be used by the Department of Education to54735
maintain a system of information technology throughout Ohio and to54736
provide technical assistance for such a system in support of the54737
State Education Technology Plan under section 3301.07 of the54738
Revised Code.54739

       Of the foregoing appropriation item 200-426, Ohio Educational54740
Computer Network, up to $18,136,691 in each fiscal year shall be 54741
used by the Department of Education to support connection of all 54742
public school buildings and participating chartered nonpublic 54743
schools to the state's education network, to each other, and to 54744
the Internet. In each fiscal year the Department of Education 54745
shall use these funds to assist information technology centers or 54746
school districts with the operational costs associated with this 54747
connectivity. The Department of Education shall develop a formula 54748
and guidelines for the distribution of these funds to information 54749
technology centers or individual school districts. As used in this 54750
section, "public school building" means a school building of any 54751
city, local, exempted village, or joint vocational school 54752
district, any community school established under Chapter 3314. of 54753
the Revised Code, any educational service center building used for54754
instructional purposes, the Ohio School for the Deaf and the Ohio 54755
School for the Blind, or high schools chartered by the Ohio 54756
Department of Youth Services and high schools operated by Ohio 54757
Department of Rehabilitation and Corrections' Ohio Central School 54758
System.54759

       Of the foregoing appropriation item 200-426, Ohio Educational54760
Computer Network, up to $2,469,223 in each fiscal year shall be 54761
used for the Union Catalog and InfOhio Network and to support the 54762
provision of electronic resources with priority given to resources 54763
that support the teaching of state academic content standards in 54764
all public schools. Consideration shall be given by the Department 54765
of Education to coordinating the allocation of these moneys with 54766
the efforts of Libraries Connect Ohio, whose members include 54767
OhioLINK, the Ohio Public Information Network, and the State 54768
Library of Ohio.54769

       Of the foregoing appropriation item 200-426, Ohio Educational 54770
Computer Network, up to $8,338,468 in each fiscal year shall be 54771
used, through a formula and guidelines devised by the Department, 54772
to subsidize the activities of designated information technology 54773
centers, as defined by State Board of Education rules, to provide 54774
school districts and chartered nonpublic schools with 54775
computer-based student and teacher instructional and 54776
administrative information services, including approved 54777
computerized financial accounting, and to ensure the effective 54778
operation of local automated administrative and instructional 54779
systems.54780

       The remainder of appropriation item 200-426, Ohio Educational 54781
Computer Network, shall be used to support development, 54782
maintenance, and operation of a network of uniform and compatible 54783
computer-based information and instructional systems. This 54784
technical assistance shall include, but not be restricted to, 54785
development and maintenance of adequate computer software systems 54786
to support network activities. In order to improve the efficiency 54787
of network activities, the Department and information technology 54788
centers may jointly purchase equipment, materials, and services 54789
from funds provided under this appropriation for use by the 54790
network and, when considered practical by the Department, may 54791
utilize the services of appropriate state purchasing agencies.54792

       Section 269.10.90. ACADEMIC STANDARDS54793

       Of the foregoing appropriation item 200-427, Academic 54794
Standards, $150,000 in each fiscal year shall be used by the 54795
Department in combination with funding earmarked for this purpose 54796
in the Board of Regents' budget under appropriation item 235-321, 54797
Operating Expenses. Such funding shall be used to support Ohio's 54798
Partnership for Continued Learning at the direction of the Office 54799
of the Governor. Ohio's Partnership for Continued Learning 54800
replaces and broadens the former Joint Council of the Department 54801
of Education and the Board of Regents. The Partnership shall 54802
advise and make recommendations to promote collaboration among 54803
relevant state entities in an effort to help local communities 54804
develop coherent and successful "P-16" learning systems. The 54805
Governor, or the Governor's designee, shall serve as the 54806
chairperson.54807

        Of the foregoing appropriation item 200-427, Academic 54808
Standards, $1,000,000 in each fiscal year shall be used for 54809
Project Lead the Way leadership and management oversight and 54810
initial and continuing support of Project Lead the Way workforce 54811
development programs in participating school districts.54812

        Of the foregoing appropriation item 200-427, Academic 54813
Standards, up to $2,600,000 in each fiscal year shall be used for 54814
mathematics initiatives that include, but are not limited to, 54815
intensive teacher professional development institutes that focus 54816
on classroom implementation of the mathematics standards.54817

       Of the foregoing appropriation item 200-427, Academic 54818
Standards, $200,000 in each fiscal year may be used to support the 54819
Ohio Resource Center for Math and Science.54820

       Of the foregoing appropriation item 200-427, Academic 54821
Standards, up to $282,000 in each fiscal year shall be used for 54822
the JASON Expedition project that provides statewide access to 54823
JASON Expedition content. Funds shall be used to provide 54824
professional development training for teachers participating in 54825
the project, statewide management, and a seventy-five per cent 54826
subsidy for statewide licensing of JASON Expedition content with 54827
priority given to content aligned with state academic content 54828
standards for approximately 90,000 middle school students 54829
statewide.54830

       Of the foregoing appropriation item 200-427, Academic 54831
Standards, $285,000 in each fiscal year shall be used for science 54832
initiatives that include, but are not limited to, the Ohio Science 54833
Institute (OSCI).54834

       The remainder of appropriation item 200-427, Academic 54835
Standards, shall be used by the Department of Education to 54836
develop, revise, and communicate to school districts academic 54837
content standards and curriculum models. The Department may also 54838
use the remainder to develop program models that demonstrate how 54839
the academic content standards can be implemented in high school 54840
classrooms and to offer online continuing education courses.54841

       Section 269.20.10. SCHOOL IMPROVEMENT INITIATIVES54842

       Of the foregoing appropriation item 200-431, School 54843
Improvement Initiatives, $450,000 in each fiscal year shall be 54844
used for Ohio's Rural Appalachian Leadership Development 54845
Initiative.54846

       Of the foregoing appropriation item 200-431, School54847
Improvement Initiatives, up to $800,000 in each fiscal year shall 54848
be used to support districts in the development and implementation 54849
of their continuous improvement plans as required in section 54850
3302.04 of the Revised Code and to provide technical assistance 54851
and support in accordance with Title I of the "No Child Left 54852
Behind Act of 2001," 115 Stat. 1425, 20 U.S.C. 6317. This funding 54853
shall serve as a supplement to the funds provided under division 54854
(J) of section 3317.029 of the Revised Code, which represents 54855
state support for school improvement initiatives that assist 54856
school districts in closing the achievement gap.54857

       Of the foregoing appropriation item 200-431, School 54858
Improvement Initiatives, up to $236,250 in each fiscal year shall 54859
be used to reduce the dropout rate by addressing the academic and 54860
social problems of inner-city students through Project GRAD.54861

       Of the foregoing appropriation item 200-431, School 54862
Improvement Initiatives, $3,503,985 in fiscal year 2008 and 54863
$4,253,985 in fiscal year 2009 shall be used in conjunction with 54864
funding provided in the Board of Regents' budget under 54865
appropriation item 235-434, College Readiness and Access, to 54866
create early college high schools, which are small, autonomous 54867
schools that blend high school and college into a coherent 54868
educational program. The funds shall be distributed according to 54869
guidelines established by the Department of Education and the 54870
Board of Regents.54871

        Of the foregoing appropriation item 200-431, School 54872
Improvement Initiatives, up to $4,935,000 in each fiscal year 54873
shall be used in partnership with nonprofit groups with expertise 54874
in converting existing large urban high schools into small, 54875
personalized high schools. Districts eligible for such funding 54876
include the Urban 21 high schools, as defined in division (O) of 54877
section 3317.02 of the Revised Code as it existed prior to July 1, 54878
1998.54879

       Of the foregoing appropriation item 200-431, School 54880
Improvement Initiatives, up to $75,000 in each fiscal year shall 54881
be provided to Southern State Community College for the Pilot 54882
Post-Secondary Enrollment Options Program with Miami Trace High 54883
School.54884

       Of the foregoing appropriation item 200-431, School 54885
Improvement Initiatives, $1,000,000 in each fiscal year shall be 54886
used to support Jobs for Ohio Graduates (JOG). The Department of 54887
Education shall require a two-to-one match of local funding to 54888
state funding before releasing these funds to JOG.54889

       Of the foregoing appropriation item 200-431, School 54890
Improvement Initiatives, up to $600,000 in each fiscal year shall 54891
be used by the Department of Education to support start-up costs 54892
for gaining business and industry credentialing program 54893
accreditation and to support the development of a data collection 54894
system across the numerous industry test providers. Funds shall 54895
also be used to help subsidize the cost of student participation 54896
in industry assessments, provide research on industry assessments 54897
for alignment to industry-established content standards, provide 54898
professional development opportunities for educators, and prepare 54899
schools and adult centers to organize for credential alignment and 54900
delivery.54901

       Section 269.20.20. LITERACY IMPROVEMENT-PROFESSIONAL 54902
DEVELOPMENT54903

       Of the foregoing appropriation item 200-433, Literacy54904
Improvement-Professional Development, up to $9,590,000 in each 54905
fiscal year shall be used for educator training in literacy for 54906
classroom teachers, administrators, and literacy specialists.54907

       Of the foregoing appropriation item 200-433, Literacy 54908
Improvement-Professional Development, up to $5,000,000 in each 54909
fiscal year shall be used to support literacy professional 54910
development partnerships between the Department of Education, 54911
higher education institutions, literacy networks, and school 54912
districts.54913

       Of the foregoing appropriation item 200-433, Literacy 54914
Improvement - Professional Development, $900,000 in each fiscal 54915
year shall be used by the Department of Education to fund the 54916
Reading Recovery Training Network, to cover the cost of release 54917
time for the teacher trainers, and to provide grants to districts 54918
to implement other reading improvement programs on a pilot basis. 54919
Funds from this set-aside also may be used to conduct evaluations 54920
of the impact and effectiveness of Reading Recovery and other 54921
reading improvement programs.54922

       Of the foregoing appropriation item 200-433, Literacy 54923
Improvement-Professional Development, $100,000 in each fiscal year 54924
shall be provided to the Contemporary Arts Center for art 54925
education for children and a children's museum.54926

       The remainder of appropriation item 200-433, Literacy 54927
Improvement-Professional Development, shall be used by the 54928
Department of Education to provide administrative support of 54929
literacy professional development programs. Upon approval of the 54930
Controlling Board, the Department may also use the remainder to 54931
contract with an external evaluator on the effectiveness of 54932
literacy professional development initiatives in the academic 54933
achievement of students.54934

       STUDENT ASSESSMENT54935

       The foregoing appropriation item 200-437, Student Assessment,54936
shall be used to develop, field test, print, distribute, score,54937
report results, and support other associated costs for the tests 54938
required under sections 3301.0710 and 3301.0711 of the Revised 54939
Code and for similar purposes as required by section 3301.27 of 54940
the Revised Code. If funds remain in this appropriation after 54941
these purposes have been fulfilled, the Department may use the 54942
remainder of the appropriation to develop end-of-course exams.54943

       Section 269.20.30. ACCOUNTABILITY/REPORT CARDS54944

       Of the foregoing appropriation item 200-439, 54945
Accountability/Report Cards, up to $3,028,540 in each fiscal year 54946
shall be used to train district and regional specialists and 54947
district educators in the use of the value-added progress 54948
dimension. This funding shall be used in consultation with a 54949
credible nonprofit organization with expertise in value-added 54950
progress dimensions.54951

       Of the foregoing appropriation item, 200-439, 54952
Accountability/Report Cards, up to $6,000,000 in fiscal year 2009 54953
shall be used to make payments to each city, local, or exempted 54954
village school district that was declared to be "excellent" on the 54955
local report card published for the district during that fiscal 54956
year. The amount of the payment in each fiscal year to each 54957
eligible school district shall be equal to the district's average 54958
daily student enrollment reported on the district's local report 54959
card published during that fiscal year multiplied by $10. If the 54960
total calculated payment exceeds this earmark, the Department 54961
shall reduce each district's payment proportionally.54962

       The remainder of appropriation item 200-439, 54963
Accountability/Report Cards, shall be used by the Department to 54964
incorporate a statewide pilot value-added progress dimension into 54965
performance ratings for school districts and for the development 54966
of an accountability system that includes the preparation and 54967
distribution of school report cards under section 3302.03 of the 54968
Revised Code.54969

       CHILD CARE LICENSING54970

       The foregoing appropriation item 200-442, Child Care54971
Licensing, shall be used by the Department of Education to license54972
and to inspect preschool and school-age child care programs under 54973
sections 3301.52 to 3301.59 of the Revised Code.54974

       Section 269.20.40. EDUCATION MANAGEMENT INFORMATION SYSTEM54975

       The foregoing appropriation item 200-446, Education54976
Management Information System, shall be used by the Department of54977
Education to improve the Education Management Information System 54978
(EMIS).54979

       Of the foregoing appropriation item 200-446, Education54980
Management Information System, up to $1,338,620 in fiscal year 54981
2008 and up to $1,372,085 in fiscal year 2009 shall be distributed54982
to designated information technology centers for costs relating to54983
processing, storing, and transferring data for the effective54984
operation of the EMIS. These costs may include, but are not54985
limited to, personnel, hardware, software development,54986
communications connectivity, professional development, and support54987
services, and to provide services to participate in the State54988
Education Technology Plan pursuant to section 3301.07 of the54989
Revised Code.54990

       Of the foregoing appropriation item 200-446, Education54991
Management Information System, up to $8,256,569 in fiscal year 54992
2008 and up to $8,462,984 in fiscal year 2009 shall be distributed 54993
on a per-pupil basis to school districts, community schools 54994
established under Chapter 3314. of the Revised Code, educational 54995
service centers, joint vocational school districts, and any other 54996
education entity that reports data through EMIS. From this54997
funding, each school district or community school established54998
under Chapter 3314. of the Revised Code with enrollment greater54999
than 100 students and each vocational school district shall55000
receive a minimum of $5,000 in each fiscal year. Each school55001
district or community school established under Chapter 3314. of 55002
the Revised Code with enrollment between one and one hundred and 55003
each educational service center and each county board of MR/DD 55004
that submits data through EMIS shall receive $3,000 in each fiscal55005
year. This subsidy shall be used for costs relating to reporting, 55006
processing, storing, transferring, and exchanging data necessary 55007
to meet requirements of the Department of Education's data system.55008

       The remainder of appropriation item 200-446, Education 55009
Management Information System, shall be used to develop and 55010
support a common core of data definitions and standards as adopted 55011
by the Education Data Advisory Council, including the ongoing 55012
development and maintenance of the data dictionary and data 55013
warehouse. In addition, such funds shall be used to support the 55014
development and implementation of data standards and the design, 55015
development, and implementation of a new data exchange system.55016

       Any provider of software meeting the standards approved by 55017
the Education Data Advisory Council shall be designated as an 55018
approved vendor and may enter into contracts with local school 55019
districts, community schools, information technology centers, or 55020
other educational entities for the purpose of collecting and 55021
managing data required under Ohio's education management 55022
information system (EMIS) laws. On an annual basis, the Department 55023
of Education shall convene an advisory group of school districts, 55024
community schools, and other education-related entities to review 55025
the Education Management Information System data definitions and 55026
data format standards. The advisory group shall recommend changes 55027
and enhancements based upon surveys of its members, education 55028
agencies in other states, and current industry practices, to 55029
reflect best practices, align with federal initiatives, and meet 55030
the needs of school districts.55031

       School districts and community schools not implementing a 55032
common and uniform set of data definitions and data format 55033
standards for Education Management Information System purposes 55034
shall have all EMIS funding withheld until they are in compliance.55035

       Section 269.20.50. GED TESTING55036

       The foregoing appropriation item 200-447, GED Testing, shall 55037
be used to provide General Educational Development (GED) testing 55038
at no cost to applicants, under rules adopted by the State Board 55039
of Education. The Department of Education shall reimburse school 55040
districts and community schools, created under Chapter 3314. of 55041
the Revised Code, for a portion of the costs incurred in providing 55042
summer instructional or intervention services to students who have 55043
not graduated because of their inability to pass one or more parts 55044
of the state's Ohio Graduation Test or ninth grade proficiency55045
test. School districts shall also provide such services to 55046
students who are residents of the district under section 3313.64 55047
of the Revised Code, but who are enrolled in chartered, nonpublic 55048
schools. The services shall be provided in the public school, in 55049
nonpublic schools, in public centers, or in mobile units located 55050
on or off the nonpublic school premises. No school district shall 55051
provide summer instructional or intervention services to nonpublic 55052
school students as authorized by this section unless such services55053
are available to students attending the public schools within the 55054
district. No school district shall provide services for use in 55055
religious courses, devotional exercises, religious training, or 55056
any other religious activity. Chartered, nonpublic schools shall 55057
pay for any unreimbursed costs incurred by school districts for 55058
providing summer instruction or intervention services to students 55059
enrolled in chartered, nonpublic schools. School districts may 55060
provide these services to students directly or contract with 55061
postsecondary or nonprofit community-based institutions in55062
providing instruction.55063

       Section 269.20.60. EDUCATOR PREPARATION55064

        The foregoing appropriation item 200-448, Educator 55065
Preparation, may be used by the Department to support the Educator 55066
Standards Board under section 3319.61 of the Revised Code as it 55067
develops and recommends to the State Board of Education standards 55068
for educator training and standards for teacher and other school 55069
leadership positions. Any remaining funds may be used by the 55070
Department to develop alternative preparation programs for school 55071
leaders.55072

       Section 269.20.70. COMMUNITY SCHOOLS55073

       Of the foregoing appropriation item 200-455, Community55074
Schools, up to $1,308,661 in each fiscal year may be used by the 55075
Department of Education for additional services and 55076
responsibilities under section 3314.11 of the Revised Code.55077

       Of the foregoing appropriation item 200-455, Community 55078
Schools, up to $225,000 in each fiscal year may be used by the 55079
Department of Education for developing and conducting training 55080
sessions for sponsors and prospective sponsors of community 55081
schools as prescribed in division (A)(1) of section 3314.015 of 55082
the Revised Code. In developing the training sessions, the 55083
Department shall collect and disseminate examples of best 55084
practices used by sponsors of independent charter schools in Ohio 55085
and other states.55086

       Section 269.20.80. PUPIL TRANSPORTATION55087

       Of the foregoing appropriation item 200-502, Pupil55088
Transportation, up to $830,624 in fiscal year 2008 and up to 55089
$838,930 in fiscal year 2009 may be used by the Department of55090
Education for training prospective and experienced school bus55091
drivers in accordance with training programs prescribed by the55092
Department. Up to $59,870,514 in fiscal year 2008 and up to 55093
$60,469,220 in fiscal year 2009 may be used by the Department of 55094
Education for special education transportation reimbursements to 55095
school districts and county MR/DD boards for transportation 55096
operating costs as provided in division (J) of section 3317.024 of 55097
the Revised Code. The remainder of appropriation item 200-502,55098
Pupil Transportation, shall be used for the state reimbursement of55099
public school districts' costs in transporting pupils to and from55100
the school they attend in accordance with the district's policy,55101
State Board of Education standards, and the Revised Code.55102

       Notwithstanding the distribution formula outlined in division 55103
(D) of section 3317.022 of the Revised Code, each school district 55104
shall receive an additional one per cent in state funding for 55105
transportation in fiscal year 2008 over what was received in 55106
fiscal year 2007, and the local share of transportation costs that 55107
is used in the calculation of the charge-off supplement and excess 55108
cost supplement for each school district in fiscal year 2008 shall 55109
be increased by one per cent from that used in calculations in 55110
fiscal year 2007.55111

        Notwithstanding the distribution formula outlined in division 55112
(D) of section 3317.022 of the Revised Code, each school district 55113
shall receive an additional one per cent in state funding for 55114
transportation in fiscal year 2009 over what was received in 55115
fiscal year 2008, and the local share of transportation costs that 55116
is used in the calculation of the charge-off supplement and excess 55117
cost supplement for each school district in fiscal year 2009 shall 55118
be increased by one per cent from that used in calculations in 55119
fiscal year 2008.55120

        School districts not receiving state funding for 55121
transportation in fiscal year 2005 under division (D) of section 55122
3317.022 of the Revised Code shall not receive state funding for 55123
transportation in fiscal year 2008 or fiscal year 2009.55124

       Section 269.20.90. BUS PURCHASE ALLOWANCE55125

       The foregoing appropriation item 200-503, Bus Purchase55126
Allowance, shall be distributed to school districts, educational 55127
service centers, and county MR/DD boards pursuant to rules adopted 55128
under section 3317.07 of the Revised Code. Up to 28 per cent of 55129
the amount appropriated may be used to reimburse school districts 55130
and educational service centers for the purchase of buses to55131
transport handicapped and nonpublic school students and to county 55132
MR/DD boards, the Ohio School for the Deaf, and the Ohio School 55133
for the Blind for the purchase of buses to transport handicapped 55134
students.55135

       SCHOOL LUNCH MATCH55136

       The foregoing appropriation item 200-505, School Lunch Match,55137
shall be used to provide matching funds to obtain federal funds55138
for the school lunch program.55139

       Section 269.30.10.  ADULT LITERACY EDUCATION55140

       The foregoing appropriation item 200-509, Adult Literacy55141
Education, shall be used to support adult basic and literacy55142
education instructional programs and the State Literacy Resource55143
Center Program.55144

       Of the foregoing appropriation item 200-509, Adult Literacy55145
Education, up to $488,037 in each fiscal year shall be used for 55146
the support and operation of the State Literacy Resource Center.55147

       Of the foregoing appropriation item 200-509, Adult Literacy 55148
Education, up to $175,000 in each fiscal year shall be used for 55149
state reimbursement to school districts for adult high school 55150
continuing education programs under section 3313.531 of the 55151
Revised Code or for costs associated with awarding adult high 55152
school diplomas under section 3313.611 of the Revised Code.55153

       Of the foregoing appropriation item 200-509, Adult Literacy 55154
Education, $130,000 in each fiscal year shall be used to support 55155
initiatives for English as a Second Language programs. Funding 55156
shall be distributed as follows: $60,000 in each fiscal year for 55157
Jewish Community Federation of Cleveland, $25,000 in each fiscal 55158
year for Yassenoff Jewish Community Center of Columbus, $30,000 in 55159
each fiscal year for Jewish Family Services of Cincinnati, and 55160
$15,000 in each fiscal year for Jewish Family Services of Dayton.55161

       The remainder of the appropriation shall be used to continue 55162
to satisfy the state match and maintenance of effort requirements 55163
for the support and operation of the Department of 55164
Education-administered instructional grant program for adult basic 55165
and literacy education in accordance with the Department's state 55166
plan for adult basic and literacy education as approved by the 55167
State Board of Education and the Secretary of the United States 55168
Department of Education.55169

       Section 269.30.20. AUXILIARY SERVICES55170

       The foregoing appropriation item 200-511, Auxiliary Services,55171
shall be used by the Department of Education for the purpose of55172
implementing section 3317.06 of the Revised Code. Of the55173
appropriation, up to $2,060,000 in fiscal year 2008 and up to 55174
$2,121,800 in fiscal year 2009 may be used for payment of the55175
Post-Secondary Enrollment Options Program for nonpublic students. 55176
Notwithstanding section 3365.10 of the Revised Code, the 55177
Department, in accordance with Chapter 119. of the Revised Code, 55178
shall adopt rules governing the distribution method for these 55179
funds.55180

       POSTSECONDARY ADULT CAREER-TECHNICAL EDUCATION55181

       Of the foregoing appropriation item 200-514, Postsecondary 55182
Adult Career-Technical Education, $40,000 in each fiscal year 55183
shall be used for statewide coordination of the activities of the 55184
Ohio Young Farmers.55185

       The remainder of appropriation item 200-514, Postsecondary 55186
Adult Career-Technical Education, shall be used by the State Board 55187
of Education to provide postsecondary adult career-technical 55188
education under sections 3313.52 and 3313.53 of the Revised Code.55189

       Section 269.30.30. GIFTED PUPIL PROGRAM55190

       The foregoing appropriation item 200-521, Gifted Pupil55191
Program, shall be used for gifted education units not to exceed 55192
1,110 in each fiscal year under division (L) of section 3317.024 55193
and division (F) of section 3317.05 of the Revised Code.55194

       Of the foregoing appropriation item 200-521, Gifted Pupil55195
Program, up to $4,747,000 in fiscal year 2008 and up to $4,794,470 55196
in fiscal year 2009 may be used as an additional supplement for 55197
identifying gifted students under Chapter 3324. of the Revised 55198
Code.55199

       Of the foregoing appropriation item 200-521, Gifted Pupil55200
Program, the Department of Education may expend up to $1,015,85855201
in fiscal year 2008 and up to $1,026,017 in fiscal year 2009 for 55202
the Summer Honors Institute, including funding for the Martin 55203
Essex Program, which shall be awarded through a request for 55204
proposals process.55205

       NONPUBLIC ADMINISTRATIVE COST REIMBURSEMENT55206

       The foregoing appropriation item 200-532, Nonpublic55207
Administrative Cost Reimbursement, shall be used by the Department 55208
of Education for the purpose of implementing section 3317.063 of 55209
the Revised Code.55210

       Section 269.30.40. OHIO CORE SUPPORT55211

       The foregoing appropriation item 200-536, Ohio Core Support, 55212
shall be used to support implementation of the Ohio Core Program, 55213
which requires establishment of a rigorous high school curriculum 55214
for Ohio's high school students. The Department of Education and 55215
the Board of Regents shall jointly plan and work collaboratively 55216
to guide implementation of the Ohio Core Program and to administer 55217
funding to eligible school districts, fiscal agents, individuals, 55218
and programs as determined under this section. The Department of 55219
Education and the Board of Regents shall jointly agree to the 55220
awarding and expenditure of funds appropriated in this section.55221

        Of the foregoing appropriation item 200-536, Ohio Core 55222
Support, up to $2,600,000 in fiscal year 2008 and up to $3,000,000 55223
in fiscal year 2009 shall be used to support the participation of 55224
teachers licensed in Ohio and mid-career professionals not 55225
currently employed by a school district or chartered nonpublic 55226
school or licensed to teach at the primary or secondary education 55227
levels in a twelve-month intensive training program that leads to 55228
teacher licensure in a laboratory-based science, advanced 55229
mathematics, or foreign language field at the secondary education 55230
level and employment with an Ohio school district school 55231
designated by the Department of Education as a hard to staff 55232
school.55233

        Of the foregoing appropriation item 200-536, Ohio Core 55234
Support, up to $1,500,000 in fiscal year 2008 and up to $2,100,000 55235
in fiscal year 2009 shall be used to support alternative teacher 55236
licensure programs developed by educational service centers in 55237
partnership with institutions of higher education. Participants 55238
shall be teachers licensed in Ohio and mid-career professionals 55239
not currently employed by a school district or chartered nonpublic 55240
school or licensed to teach at the primary or secondary education 55241
levels. Programs shall support teacher licensure in a 55242
laboratory-based science, advanced mathematics, or foreign 55243
language field at the secondary education level and employment 55244
with an Ohio school district school designated by the Department 55245
of Education as a hard to staff school. The programs shall be 55246
consistent with the State Board of Education's alternative 55247
licensure requirements.55248

        Of the foregoing appropriation item 200-536, Ohio Core 55249
Support, up to $3,600,000 in each fiscal year shall be distributed 55250
to school districts, and to public fiscal agents on behalf of 55251
chartered nonpublic schools, to be used to obtain contracted 55252
instruction with institutions of higher education in advanced 55253
mathematics, laboratory-based science, or foreign language for 55254
public and chartered nonpublic high school students that results 55255
in dual high school and college credit. Costs shall be based upon 55256
reasonable expenses that institutions of higher education could 55257
incur for faculty, supplies, and other associated costs.55258

        Of the foregoing appropriation item 200-536, Ohio Core 55259
Support, up to $6,425,000 in fiscal year 2009 shall be distributed 55260
to public school districts for supplemental post-secondary 55261
enrollment option participation. The Partnership for Continued 55262
Learning shall make program recommendations by October 31, 2007, 55263
to the Department of Education and the Board of Regents to remove 55264
school district barriers to participation and improve the quality 55265
of course offerings, ensuring that credit earned at institutions 55266
of higher education will apply toward high school graduation 55267
requirements and associate or baccalaureate degree requirements. 55268
Eligibility requirements and grant amounts awarded to school 55269
districts in fiscal year 2009 for the program shall be determined 55270
by criteria established by the Department of Education in 55271
collaboration with the Board of Regents and the Partnership for 55272
Continued Learning.55273

       Section 269.30.50. SPECIAL EDUCATION ENHANCEMENTS55274

       Of the foregoing appropriation item 200-540, Special55275
Education Enhancements, up to $2,906,875 in each fiscal year shall 55276
be used for home instruction for children with disabilities; up to55277
$1,462,500 in each fiscal year shall be used for parent mentoring 55278
programs; and up to $2,783,396 in each fiscal year may be used for 55279
school psychology interns.55280

       Of the foregoing appropriation item 200-540, Special 55281
Education Enhancements, $750,000 in each fiscal year shall be used 55282
for the Out of School Initiative of Sinclair Community College.55283

       Of the foregoing appropriation item 200-540, Special 55284
Education Enhancements, $200,000 shall be used for a preschool 55285
special education pilot program in Bowling Green City School 55286
District.55287

       Of the foregoing appropriation item 200-540, Special 55288
Education Enhancements, $200,000 in each fiscal year shall be used 55289
to support the Bellefaire Jewish Children's Bureau.55290

        Of the foregoing appropriation item 200-540, Special55291
Education Enhancements, up to $82,707,558 in fiscal year 2008 and55292
up to $83,371,505 in fiscal year 2009 shall be distributed by the55293
Department of Education to county boards of mental retardation and55294
developmental disabilities, educational service centers, and55295
school districts for preschool special education units and55296
preschool supervisory units under section 3317.052 of the Revised 55297
Code. The Department may reimburse county boards of mental 55298
retardation and developmental disabilities, educational service 55299
centers, and school districts for related services as defined in 55300
rule 3301-51-11 of the Administrative Code, for preschool55301
occupational and physical therapy services provided by a physical55302
therapy assistant and certified occupational therapy assistant,55303
and for an instructional assistant. To the greatest extent 55304
possible, the Department of Education shall allocate these units 55305
to school districts and educational service centers.55306

       No physical therapy assistant who provides services under 55307
this section shall fail to practice in accordance with the 55308
requirements of Chapter 4755. of the Revised Code and rules 55309
4755-27-02 and 4755-27-03 of the Administrative Code. No 55310
occupational therapy assistant who provides services under this 55311
section shall fail to practice in accordance with the requirements 55312
of Chapter 4755. of the Revised Code and rules 4755-7-01 and 55313
4755-7-03 of the Administrative Code.55314

       The Department of Education shall require school districts,55315
educational service centers, and county MR/DD boards serving55316
preschool children with disabilities to document child progress55317
using research-based indicators prescribed by the Department and 55318
report results annually. The reporting dates and method shall be55319
determined by the Department.55320

       Of the foregoing appropriation item 200-540, Special 55321
Education Enhancements, up to $400,000 in each fiscal year shall 55322
be used for the Collaborative Language and Literacy Instruction 55323
Project.55324

       Of the foregoing appropriation item 200-540, Special 55325
Education Enhancements, $325,000 in each fiscal year shall be used 55326
by the Ohio Center for Autism and Low Incidence to contract with 55327
the Delaware-Union Educational Service Center for the provision of 55328
autism transition services.55329

       Of the foregoing appropriation item 200-540, Special 55330
Education Enhancements, $75,000 in each fiscal year shall be used 55331
for Leaf Lake/Geauga Educational Assistance Funding.55332

       The remainder of appropriation item 200-540, Special55333
Education Enhancements, shall be used to fund special education 55334
and related services at county boards of mental retardation and 55335
developmental disabilities for eligible students under section 55336
3317.20 of the Revised Code and at institutions for eligible 55337
students under section 3317.201 of the Revised Code.55338

       Section 269.30.60. CAREER-TECHNICAL EDUCATION ENHANCEMENTS55339

       Of the foregoing appropriation item 200-545, Career-Technical55340
Education Enhancements, up to $2,509,152 in fiscal year 2008 and 55341
up to $2,584,427 in fiscal year 2009 shall be used to fund 55342
career-technical education units at institutions.55343

       Of the foregoing appropriation item 200-545, Career-Technical55344
Education Enhancements, up to $2,621,507 in each fiscal year shall 55345
be used by the Department of Education to fund competitive grants 55346
to tech prep consortia that expand the number of students enrolled 55347
in tech prep programs. These grant funds shall be used to directly55348
support expanded tech prep programs, including equipment, provided55349
to students enrolled in school districts, including joint55350
vocational school districts, and affiliated higher education55351
institutions.55352

       Of the foregoing appropriation item 200-545, Career-Technical55353
Education Enhancements, up to $3,401,000 in each fiscal year shall55354
be used by the Department of Education to support existing High 55355
Schools That Work (HSTW) sites, develop and support new sites,55356
fund technical assistance, and support regional centers and middle55357
school programs. The purpose of HSTW is to combine challenging55358
academic courses and modern career-technical studies to raise the 55359
academic achievement of students. HSTW provides intensive55360
technical assistance, focused staff development, targeted55361
assessment services, and ongoing communications and networking55362
opportunities.55363

       Of the foregoing appropriation item 200-545, Career-Technical 55364
Education Enhancements, up to $466,992 in each fiscal year shall 55365
be allocated for the Ohio Career Information System (OCIS) and 55366
used for the dissemination of career information data to public 55367
schools, libraries, rehabilitation centers, two- and four-year 55368
colleges and universities, and other governmental units.55369

       Of the foregoing appropriation item 200-545, Career-Technical55370
Educational Enhancements, up to $300,000 in each fiscal year shall 55371
be used by the Department of Education to enable students in55372
agricultural programs to enroll in a fifth quarter of instruction 55373
based on the agricultural education model of delivering work-based55374
learning through supervised agricultural experience. The55375
Department of Education shall determine eligibility criteria and 55376
the reporting process for the Agriculture 5th Quarter Project and 55377
shall fund as many programs as possible given the set aside.55378

       Section 269.30.70. FOUNDATION FUNDING55379

       The foregoing appropriation item 200-550, Foundation Funding,55380
includes $75,000,000 in each fiscal year for the state education55381
aid offset due to the change in public utility valuation as a55382
result of Am. Sub. S.B. 3 and Am. Sub. S.B. 287, both of the 123rd55383
General Assembly. This amount represents the total state education 55384
aid offset due to the valuation change for school districts and 55385
joint vocational school districts from all relevant appropriation55386
line item sources. Upon certification by the Department of 55387
Education, in consultation with the Department of Taxation, to the 55388
Director of Budget and Management of the actual state aid offset, 55389
the cash transfer from Fund 053, appropriation item 200-900, 55390
School District Property Tax Replacement - Utility, shall be 55391
decreased or increased by the Director of Budget and Management to 55392
match the certification in accordance with section 5727.84 of the 55393
Revised Code.55394

       The foregoing appropriation item 200-550, Foundation Funding, 55395
includes $58,000,000 in fiscal year 2008 and $145,000,000 in 55396
fiscal year 2009 for the state education aid offset because of the 55397
changes in tangible personal property valuation as a result of Am. 55398
Sub. H.B. 66 of the 126th General Assembly. This amount represents 55399
the total state education aid offset because of the valuation 55400
change for school districts and joint vocational school districts 55401
from all relevant appropriation item sources. Upon certification 55402
by the Department of Education of the actual state education aid 55403
offset to the Director of Budget and Management, the cash transfer 55404
from Fund 047, appropriation item 200-909, School District 55405
Property Tax Replacement - Business, shall be decreased or 55406
increased by the Director of Budget and Management to match the 55407
certification in accordance with section 5751.21 of the Revised 55408
Code.55409

       Of the foregoing appropriation item 200-550, Foundation55410
Funding, up to $425,000 shall be expended in each fiscal year for55411
court payments under section 2151.357 of the Revised Code; an 55412
amount shall be available in each fiscal year to fund up to 225 55413
full-time equivalent approved GRADS teacher grants under division 55414
(N) of section 3317.024 of the Revised Code; an amount shall be55415
available in each fiscal year to make payments to school districts 55416
under division (A)(3) of section 3317.022 of the Revised Code; an 55417
amount shall be available in each fiscal year to make payments to 55418
school districts under division (F) of section 3317.022 of the 55419
Revised Code; and up to $30,000,000 in each fiscal year shall be55420
reserved for payments under sections 3317.026, 3317.027, and 55421
3317.028 of the Revised Code except that the Controlling Board may 55422
increase the $30,000,000 amount if presented with such a request 55423
from the Department of Education.55424

        Of the foregoing appropriation item 200-550, Foundation55425
Funding, up to $19,770,000 in fiscal year 2008 and up to 55426
$20,545,200 in fiscal year 2009 shall be used to provide55427
additional state aid to school districts for special education55428
students under division (C)(3) of section 3317.022 of the Revised 55429
Code, except that the Controlling Board may increase these amounts 55430
if presented with such a request from the Department of Education 55431
at the final meeting of the fiscal year; up to $2,000,000 in each 55432
fiscal year shall be reserved for Youth Services tuition payments55433
under section 3317.024 of the Revised Code; and up to $52,000,000 55434
in each fiscal year shall be reserved to fund the state 55435
reimbursement of educational service centers under section 3317.11 55436
of the Revised Code and the section of this act entitled 55437
"EDUCATIONAL SERVICE CENTERS FUNDING." An amount shall be 55438
available for special education weighted funding under division 55439
(C)(1) of section 3317.022 and division (D)(1) of section 3317.16 55440
of the Revised Code.55441

       Of the foregoing appropriation item 200-550, Foundation 55442
Funding, an amount shall be available in each fiscal year to be 55443
used by the Department of Education for transitional aid for 55444
school districts and joint vocational school districts. Funds 55445
shall be distributed under the sections of this act entitled 55446
"TRANSITIONAL AID FOR CITY, LOCAL, AND EXEMPTED VILLAGE SCHOOL 55447
DISTRICTS" and "TRANSITIONAL AID FOR JOINT VOCATIONAL SCHOOL 55448
DISTRICTS."55449

       Of the foregoing appropriation item 200-550, Foundation55450
Funding, up to $1,000,000 in each fiscal year shall be used by the55451
Department of Education for a program to pay for educational55452
services for youth who have been assigned by a juvenile court or55453
other authorized agency to any of the facilities described in55454
division (A) of the section of this act entitled "PRIVATE 55455
TREATMENT FACILITY PROJECT."55456

       Of the foregoing appropriation item 200-550, Foundation55457
Funding, up to $3,700,000 in each fiscal year shall be used for 55458
school breakfast programs. Of this amount, up to $900,000 shall be 55459
used in each fiscal year by the Department of Education to 55460
contract with the Children's Hunger Alliance to expand access to 55461
child nutrition programs consistent with the organization's 55462
continued ability to meet specified performance measures as 55463
detailed in the contract. Of this amount, the Children's Hunger 55464
Alliance shall use at least $150,000 in each fiscal year to 55465
subcontract with an appropriate organization or organizations to 55466
expand summer food participation in underserved areas of the 55467
state, consistent with those organizations' continued ability to 55468
meet specified performance measures as detailed in the 55469
subcontracts. The remainder of the appropriation shall be used to 55470
partially reimburse school buildings within school districts that 55471
are required to have a school breakfast program under section 55472
3313.813 of the Revised Code, at a rate decided by the Department.55473

       Of the foregoing appropriation item 200-550, Foundation 55474
Funding, up to $8,686,000 in fiscal year 2008 and up to $8,722,860 55475
in fiscal year 2009 shall be used to operate the school choice 55476
program in the Cleveland Municipal School District under sections 55477
3313.974 to 3313.979 of the Revised Code.55478

       Of the portion of the funds distributed to the Cleveland 55479
Municipal School District under this section, up to $11,901,887 in 55480
each fiscal year shall be used to operate the school choice 55481
program in the Cleveland Municipal School District under sections55482
3313.974 to 3313.979 of the Revised Code.55483

       Of the foregoing appropriation item 200-550, Foundation 55484
Funding, $2,400,000 in fiscal year 2008 and $2,700,000 in fiscal 55485
year 2009 shall be used in conjunction with funding appropriated 55486
under appropriation item 200-408, Early Childhood Education, to 55487
pay the costs of early childhood education programs under Section 55488
269.10.20 of this act.55489

       The remaining portion of appropriation item 200-550, 55490
Foundation Funding, shall be expended for the public schools of 55491
city, local, exempted village, and joint vocational school 55492
districts, including base-cost funding, special education speech 55493
service enhancement funding, career-technical education weight55494
funding, career-technical education associated service funding,55495
teacher training and experience funding, charge-off supplement, 55496
and excess cost supplement under sections 3317.022, 3317.023, 55497
3317.0216, and 3317.16 of the Revised Code.55498

       Appropriation items 200-502, Pupil Transportation, 200-521, 55499
Gifted Pupil Program, 200-540, Special Education Enhancements, and 55500
200-550, Foundation Funding, other than specific set-asides, are 55501
collectively used in each fiscal year to pay state formula aid 55502
obligations for school districts and joint vocational school 55503
districts under Chapter 3317. of the Revised Code. The first 55504
priority of these appropriation items, with the exception of 55505
specific set-asides, is to fund state formula aid obligations 55506
under Chapter 3317. of the Revised Code. It may be necessary to 55507
reallocate funds among these appropriation items or use excess 55508
funds from other general revenue fund appropriation items in the 55509
Department of Education's budget in each fiscal year, in order to 55510
meet state formula aid obligations. If it is determined that it is 55511
necessary to transfer funds among these appropriation items or to 55512
transfer funds from other General Revenue Fund appropriations in 55513
the Department of Education's budget to meet state formula aid 55514
obligations, the Department of Education shall seek approval from 55515
the Controlling Board to transfer funds as needed.55516

       Section 269.30.80. TRANSITIONAL AID FOR CITY, LOCAL, AND 55517
EXEMPTED VILLAGE SCHOOL DISTRICTS55518

       (A) The Department of Education shall distribute funds within 55519
appropriation item 200-550, Foundation Funding, for transitional 55520
aid in each fiscal year to each qualifying city, local, and 55521
exempted village school district.55522

        For fiscal years 2008 and 2009, the Department shall pay 55523
transitional aid to each city, local, or exempted village school 55524
district that experiences any decrease in its SF-3 funding for the 55525
current fiscal year from its transitional aid guarantee base for 55526
the current fiscal year. The amount of the transitional aid 55527
payment shall equal the difference between the district's SF-3 55528
funding for the current fiscal year and its transitional aid 55529
guarantee base for the current fiscal year.55530

        (B)(1) Subject to divisions (B)(3) and (4) of this section, 55531
the transitional aid guarantee base for each city, local, and 55532
exempted village school district for fiscal year 2008 equals the 55533
sum of the following as computed for fiscal year 2007, as 55534
determined based on the final reconciliation of data by the 55535
Department:55536

        (a) Base-cost funding under division (A) of section 3317.022 55537
of the Revised Code;55538

        (b) Special education and related services additional 55539
weighted funding under division (C)(1) of section 3317.022 of the 55540
Revised Code;55541

        (c) Speech services funding under division (C)(4) of section 55542
3317.022 of the Revised Code;55543

        (d) Vocational education additional weighted funding under 55544
division (E) of section 3317.022 of the Revised Code;55545

        (e) GRADS funding under division (N) of section 3317.024 of 55546
the Revised Code;55547

        (f) Adjustments for classroom teachers and educational 55548
service personnel under divisions (B), (C), and (D) of section 55549
3317.023 of the Revised Code;55550

        (g) Poverty-Based Assistance under section 3317.029 of the 55551
Revised Code;55552

        (h) Gifted education units under division (L) of section 55553
3317.024 and section 3317.05 of the Revised Code;55554

        (i) Transportation under Section 206.09.21 of Am. Sub. H.B. 55555
66 of the 126th General Assembly, as subsequently amended;55556

        (j) The excess cost supplement under division (F) of section 55557
3317.022 of the Revised Code;55558

        (k) Parity aid under section 3317.0217 of the Revised Code;55559

        (l) The reappraisal guarantee under division (C) of section 55560
3317.04 of the Revised Code;55561

        (m) The charge-off supplement under section 3317.0216 of the 55562
Revised Code;55563

       (n) Transitional aid under Section 206.09.39 of Am. Sub. H.B. 55564
66 of the 126th General Assembly, as subsequently amended.55565

        (2) Subject to divisions (B)(3) and (4) of this section, the 55566
transitional aid guarantee base for each city, local, and exempted 55567
village school district for fiscal year 2009 equals the sum of the 55568
following as computed for fiscal year 2008, as determined based on 55569
the final reconciliation of data by the Department:55570

        (a) Base-cost funding under division (A) of section 3317.022 55571
of the Revised Code;55572

        (b) Special education and related services additional 55573
weighted funding under division (C)(1) of section 3317.022 of the 55574
Revised Code;55575

        (c) Speech services funding under division (C)(4) of section 55576
3317.022 of the Revised Code;55577

        (d) Vocational education additional weighted funding under 55578
division (E) of section 3317.022 of the Revised Code;55579

        (e) GRADS funding under division (N) of section 3317.024 of 55580
the Revised Code;55581

        (f) Adjustments for classroom teachers and educational 55582
service personnel under divisions (B), (C), and (D) of section 55583
3317.023 of the Revised Code;55584

        (g) Gifted education units under division (L) of section 55585
3317.024 and section 3317.05 of the Revised Code;55586

        (h) Transportation under the section of this act entitled 55587
"PUPIL TRANSPORTATION";55588

        (i) The excess cost supplement under division (F) of section 55589
3317.022 of the Revised Code;55590

        (j) The charge-off supplement under section 3317.0216 of the 55591
Revised Code;55592

       (k) Transitional aid under this section.55593

        (3) The SF-3 funding for each fiscal year for each district 55594
is the sum of the amounts specified in divisions (B)(2)(a) to (k) 55595
of this section less any general revenue fund spending reductions 55596
ordered by the Governor under section 126.05 of the Revised Code.55597

       (4) Notwithstanding divisions (B)(1) and (2) of this section, 55598
if the Superintendent of Public Instruction determines that the 55599
transitional aid guarantee base for a given fiscal year reflects 55600
an error in formula ADM, the Superintendent may consult with the 55601
Director of Budget and Management, and then adjust the 55602
transitional aid guarantee base for that fiscal year.55603

       Section 269.30.90. TRANSITIONAL AID FOR JOINT VOCATIONAL 55604
SCHOOL DISTRICTS55605

        (A) The Department of Education shall distribute funds within 55606
appropriation item 200-550, Foundation Funding, for transitional 55607
aid in each fiscal year to each joint vocational school district 55608
that experiences a decrease in its joint vocational funding for 55609
the current fiscal year from the previous fiscal year. The 55610
Department shall distribute to each such district transitional aid 55611
in an amount equal to the decrease in the district's joint 55612
vocational funding from the previous fiscal year.55613

        (B)(1) Subject to divisions (B)(2) and (3) of this section, a 55614
district's joint vocational funding equals the sum of the 55615
following:55616

        (a) Base-cost funding under division (B) of section 3317.16 55617
of the Revised Code;55618

        (b) Special education and related services additional 55619
weighted funding under division (D)(1) of section 3317.16 of the 55620
Revised Code;55621

        (c) Speech services funding under division (D)(2) of section 55622
3317.16 of the Revised Code;55623

        (d) Vocational education additional weighted funding under 55624
division (C) of section 3317.16 of the Revised Code;55625

        (e) GRADS funding under division (N) of section 3317.024 of 55626
the Revised Code.55627

        (2) For purposes of calculating transitional aid for fiscal 55628
year 2008, a district's fiscal year 2007 joint vocational funding 55629
is the sum of the amounts described in divisions (B)(1)(a) to (e) 55630
of this section, plus any transitional aid paid to the district 55631
under Section 206.09.42 of Am. Sub. H.B. 66 of the 126th General 55632
Assembly, as subsequently amended, that the district actually 55633
received for fiscal year 2007, as determined based on the final 55634
reconciliation of data by the Department. For purposes of 55635
calculating transitional aid for fiscal year 2009, a district's 55636
fiscal year 2008 joint vocational funding is the sum of the 55637
amounts described in divisions (B)(1)(a) to (e) of this section, 55638
plus any transitional aid paid to the district under this section, 55639
that the district actually received for fiscal year 2008, as 55640
determined based on the final reconciliation of data by the 55641
Department.55642

        (3) The joint vocational funding for each fiscal year for 55643
each district is the sum of the amounts specified in divisions 55644
(B)(1)(a) to (e) and (B)(2) of this section less any general 55645
revenue fund spending reductions ordered by the Governor under 55646
section 126.05 of the Revised Code.55647

       Section 269.40.10. LITERACY IMPROVEMENT-CLASSROOM GRANTS55648

        The foregoing appropriation item 200-566, Literacy 55649
Improvement-Classroom Grants, shall be disbursed by the Department 55650
of Education to provide reading improvement grants to public 55651
schools in city, local, and exempted village school districts;55652
community schools; and educational service centers serving 55653
kindergarten through twelfth grade students to help struggling 55654
students improve their reading skills, improve reading outcomes in 55655
low-performing schools, and help close achievement gaps.55656

       VIOLENCE PREVENTION AND SCHOOL SAFETY55657

       Of the foregoing appropriation item 200-578, Violence 55658
Prevention and School Safety, up to $224,250 in each fiscal year 55659
shall be used to fund a safe school center to provide resources 55660
for parents and for school and law enforcement personnel.55661

       The remainder of the appropriation shall be distributed based 55662
on guidelines developed by the Department of Education to enhance 55663
school safety. The guidelines shall provide a list of 55664
research-based best practices and programs from which local 55665
grantees shall select based on local needs. These practices shall 55666
include, but not be limited to, school resource officers and safe 55667
and drug free school coordinators and social-emotional development 55668
programs.55669

       Section 269.40.20. PROPERTY TAX ALLOCATION - EDUCATION55670

       The Superintendent of Public Instruction shall not request,55671
and the Controlling Board shall not approve, the transfer of funds55672
from appropriation item 200-901, Property Tax Allocation - 55673
Education, to any other appropriation item.55674

       The appropriation item 200-901, Property Tax Allocation -55675
Education, is appropriated to pay for the state's costs incurred55676
because of the homestead exemption and the property tax rollback. 55677
In cooperation with the Department of Taxation, the Department of55678
Education shall distribute these funds directly to the appropriate55679
school districts of the state, notwithstanding sections 321.24 and55680
323.156 of the Revised Code, which provide for payment of the55681
homestead exemption and property tax rollback by the Tax55682
Commissioner to the appropriate county treasurer and the55683
subsequent redistribution of these funds to the appropriate local55684
taxing districts by the county auditor.55685

       Appropriation item 200-906, Tangible Tax Exemption -55686
Education, is appropriated to pay for the state's costs incurred 55687
because of the tangible personal property tax exemption required 55688
by division (C)(3) of section 5709.01 of the Revised Code. In55689
cooperation with the Department of Taxation, the Department of55690
Education shall distribute to each county treasurer the total55691
amount appearing in the notification from the county treasurer55692
under division (G) of section 321.24 of the Revised Code, for all55693
school districts located in the county, notwithstanding section 55694
321.24 of the Revised Code insofar as it provides for payment of 55695
the $10,000 tangible personal property tax exemption by the Tax55696
Commissioner to the appropriate county treasurer for all local 55697
taxing districts located in the county. Pursuant to division (G) 55698
of section 321.24 of the Revised Code, the county auditor shall 55699
distribute the amount paid by the Department of Education among 55700
the appropriate school districts.55701

       Upon receipt of these amounts, each school district shall55702
distribute the amount among the proper funds as if it had been55703
paid as real or tangible personal property taxes. Payments for the 55704
costs of administration shall continue to be paid to the county 55705
treasurer and county auditor as provided for in sections 319.54, 55706
321.26, and 323.156 of the Revised Code.55707

       Any sums, in addition to the amounts specifically55708
appropriated in appropriation items 200-901, Property Tax55709
Allocation - Education, for the homestead exemption and the55710
property tax rollback payments, and 200-906, Tangible Tax55711
Exemption - Education, for the $10,000 tangible personal property55712
tax exemption payments, which are determined to be necessary for55713
these purposes, are hereby appropriated.55714

       Section 269.40.30.  TEACHER CERTIFICATION AND LICENSURE55715

       The foregoing appropriation item 200-681, Teacher55716
Certification and Licensure, shall be used by the Department of55717
Education in each year of the biennium to administer and support 55718
teacher certification and licensure activities.55719

       SCHOOL DISTRICT SOLVENCY ASSISTANCE55720

       Of the foregoing appropriation item 200-687, School District55721
Solvency Assistance, $9,000,000 in each fiscal year shall be55722
allocated to the School District Shared Resource Account and55723
$9,000,000 in each fiscal year shall be allocated to the55724
Catastrophic Expenditures Account. These funds shall be used to55725
provide assistance and grants to school districts to enable them55726
to remain solvent under section 3316.20 of the Revised Code.55727
Assistance and grants shall be subject to approval by the55728
Controlling Board. Any required reimbursements from school55729
districts for solvency assistance shall be made to the appropriate55730
account in the School District Solvency Assistance Fund (Fund 55731
5H3).55732

       Notwithstanding any provision of law to the contrary, upon 55733
the request of the Superintendent of Public Instruction, the 55734
Director of Budget and Management may make transfers to the School 55735
District Solvency Assistance Fund (Fund 5H3) from any Department 55736
of Education-administered fund or the General Revenue Fund to 55737
maintain sufficient cash balances in the School District Solvency 55738
Assistance Fund (Fund 5H3) in fiscal years 2008 and 2009. Any 55739
funds transferred are hereby appropriated. The transferred funds 55740
may be used by the Department of Education to provide assistance 55741
and grants to school districts to enable them to remain solvent 55742
and to pay unforeseeable expenses of a temporary or emergency 55743
nature that the school district is unable to pay from existing 55744
resources. The Director of Budget and Management shall notify the 55745
members of the Controlling Board of any such transfers.55746

       Section 269.40.40.  READING FIRST55747

        The foregoing appropriation item 200-632, Reading First, 55748
shall be used by school districts to administer federal diagnostic 55749
tests as well as other functions permitted by federal statute. 55750
Notwithstanding section 3301.079 of the Revised Code, federal 55751
diagnostic tests may be recognized as meeting the state diagnostic 55752
testing requirements outlined in section 3301.079 of the Revised 55753
Code.55754

       IMPROVING TEACHER QUALITY55755

       For fiscal years 2008 and 2009, the Department of Education 55756
shall provide funding to the Ohio Wyami Appalachian Teacher 55757
Cohorts Program under the Columbiana County Educational Service 55758
Center to provide teacher professional development in Ohio's 55759
Appalachian counties. The program shall provide professional 55760
development that is based on a review of scientifically based 55761
research and is expected to improve student academic achievement 55762
as required by Title II of the "No Child Left Behind Act of 2001," 55763
115 Stat. 1425, 20 U.S.C. 6612 et seq., for approximately eighty 55764
public and charter nonpublic teachers from Ohio's Appalachian 55765
counties each year. The Department of Education shall provide 55766
$900,000 in federal grant funds from the State Grants for55767
Improving Teacher Quality Program to the Columbiana County55768
Educational Service Center for this purpose. The Center shall not 55769
expend these funds outside of Ohio.55770

        HALF-MILL MAINTENANCE EQUALIZATION55771

        The foregoing appropriation item 200-626, Half-Mill 55772
Maintenance Equalization, shall be used to make payments pursuant 55773
to section 3318.18 of the Revised Code.55774

       Section 269.40.50. START-UP FUNDS55775

        Funds appropriated for the purpose of providing start-up 55776
grants to Title IV-A Head Start and Title IV-A Head Start Plus 55777
agencies in fiscal year 2004 and fiscal year 2005 for the 55778
provision of services to children eligible for Title IV-A services 55779
under the Title IV-A Head Start or Title IV-A Head Start Plus 55780
programs shall be reimbursed to the General Revenue Fund as 55781
follows:55782

        (A) If, for fiscal year 2008, an entity that was a Title IV-A 55783
Head Start or Title IV-A Head Start Plus agency will not be an 55784
early learning agency or early learning provider, the entity shall 55785
repay the entire amount of the start-up grant it received in 55786
fiscal year 2004 and fiscal year 2005 not later than June 30, 55787
2009, in accordance with a payment schedule agreed to by the 55788
Department of Education.55789

        (B) If an entity that was a Title IV-A Head Start or Title 55790
IV-A Head Start Plus agency in fiscal year 2004 or fiscal year 55791
2005 will be an early learning agency or early learning provider 55792
in fiscal year 2008 and fiscal year 2009, the entity shall be 55793
allowed to retain any amount of the start-up grant it received.55794

        (C) Within ninety days after the effective date of this 55795
section, the Title IV-A Head Start agencies, Title IV-A Head Start 55796
Plus agencies, and the Department of Education shall determine the 55797
repayment schedule for amounts owed under division (A) of this 55798
section. These amounts shall be paid to the state not later than 55799
June 30, 2009.55800

       (D) If an entity that was a Title IV-A Head Start or Title 55801
IV-A Head Start Plus agency in fiscal year 2004 or fiscal year 55802
2005 owed the state any portion of the start-up grant amount 55803
during fiscal year 2006 or fiscal year 2007 but failed to repay 55804
the entire amount of the obligation by June 30, 2007, the entity 55805
shall be given an extension for repayment through June 30, 2009, 55806
before any amounts remaining due and payable to the state are 55807
referred to the Attorney General for collection under section 55808
131.02 of the Revised Code.55809

        (E) Any Title IV-A Head Start or Title IV-A Head Start Plus 55810
start-up grants that are retained by early learning agencies or 55811
early learning providers pursuant to this section shall be 55812
reimbursed to the General Revenue Fund when the early learning 55813
program ceases or is no longer funded from Title IV-A or if an 55814
early learning agency's or early learning provider's participation 55815
in the early learning program ceases or is terminated.55816

       Section 269.40.60. AUXILIARY SERVICES REIMBURSEMENT55817

       Notwithstanding section 3317.064 of the Revised Code, if the55818
unobligated cash balance is sufficient, the Treasurer of State55819
shall transfer $1,500,000 in fiscal year 2008 within thirty days55820
after the effective date of this section, and $1,500,000 in fiscal55821
year 2009 by August 1, 2008, from the Auxiliary Services Personnel55822
Unemployment Compensation Fund to the Department of Education's55823
Auxiliary Services Reimbursement Fund (Fund 598).55824

       Section 269.40.70.  LOTTERY PROFITS EDUCATION FUND55825

       Appropriation item 200-612, Foundation Funding (Fund 017),55826
shall be used in conjunction with appropriation item 200-550, 55827
Foundation Funding (GRF), to provide payments to school districts55828
under Chapter 3317. of the Revised Code.55829

       The Department of Education, with the approval of the55830
Director of Budget and Management, shall determine the monthly55831
distribution schedules of appropriation item 200-550, Foundation55832
Funding (GRF), and appropriation item 200-612, Foundation Funding55833
(Fund 017). If adjustments to the monthly distribution schedule55834
are necessary, the Department of Education shall make such55835
adjustments with the approval of the Director of Budget and55836
Management.55837

       The Director of Budget and Management shall transfer via55838
intrastate transfer voucher the amount appropriated under the55839
Lottery Profits Education Fund for appropriation item 200-682,55840
Lease Rental Payment Reimbursement, to the General Revenue Fund on55841
a schedule determined by the director. These funds shall support55842
the appropriation item 230-428, Lease Rental Payments (GRF), of55843
the School Facilities Commission.55844

       Section 269.40.80.  LOTTERY PROFITS EDUCATION RESERVE FUND55845

       (A) There is hereby created the Lottery Profits Education55846
Reserve Fund (Fund 018) in the State Treasury. Investment earnings55847
of the Lottery Profits Education Reserve Fund shall be credited to55848
the fund. The Superintendent of Public Instruction may certify 55849
cash balances exceeding $75,000,000 in the Lottery Profits 55850
Education Reserve Fund (Fund 018) to the Director of Budget and 55851
Management in June of any given fiscal year. Prior to making the 55852
certification, the Superintendent of Public Instruction shall 55853
determine whether the funds above the $75,000,000 threshold are 55854
needed to help pay for foundation program obligations for that 55855
fiscal year under Chapter 3317. of the Revised Code. If those 55856
funds are needed for the foundation program, the Superintendent of 55857
Public Instruction shall notify and consult with the Director of 55858
Budget and Management to determine the amount that may be 55859
transferred to the Public School Building Fund (Fund 021). Upon 55860
this determination, the Director of Budget and Management shall 55861
transfer the amount from the Lottery Profits Education Reserve 55862
Fund (Fund 018) to the Public School Building Fund (Fund 021). The 55863
amount transferred is hereby appropriated to appropriation item 55864
CAP-622, Public School Buildings.55865

        For fiscal years 2008 and 2009, notwithstanding any 55866
provisions of law to the contrary, amounts necessary to make loans55867
authorized by sections 3317.0210, 3317.0211, and 3317.62 of the55868
Revised Code are hereby appropriated to the Lottery Profits55869
Education Reserve Fund (Fund 018). Loan repayments from loans made 55870
in previous years shall be deposited to the fund.55871

       (B) On July 15, 2007, or as soon as possible thereafter, the 55872
Director of the Ohio Lottery Commission shall certify to the 55873
Director of Budget and Management the amount by which lottery 55874
profit transfers received by the Lottery Profits Education Fund 55875
(Fund 017) exceeded $637,900,000 in fiscal year 2007. The 55876
Director of Budget and Management shall transfer the amount so 55877
certified, plus the cash balance in Fund 017, to the General 55878
Revenue Fund to support appropriation item 200-550, Foundation 55879
Funding.55880

       (C) On July 15, 2008, or as soon as possible thereafter, the 55881
Director of the Ohio Lottery Commission shall certify to the 55882
Director of Budget and Management the amount by which lottery 55883
profit transfers received by the Lottery Profits Education Fund 55884
(Fund 017) exceeded $657,900,000 in fiscal year 2008. The Director 55885
of Budget and Management may transfer the amount so certified, 55886
plus the cash balance in Fund 017, to the Lottery Profits 55887
Education Reserve Fund (Fund 018) or to the General Revenue Fund 55888
to support appropriation item 200-550, Foundation Funding.55889

       (D) Any amounts transferred under division (B) or (C) of this 55890
section may be made available by the Controlling Board in fiscal 55891
years 2008 or 2009, at the request of the Superintendent of Public 55892
Instruction, to provide assistance and grants to school districts 55893
to enable them to remain solvent and to pay unforeseeable expenses 55894
of a temporary or emergency nature that they are unable to pay 55895
from existing resources under section 3316.20 of the Revised Code, 55896
and to provide payments to school districts under Chapter 3317. of 55897
the Revised Code.55898

       Section 269.40.90. GENERAL REVENUE FUND TRANSFERS TO SCHOOL 55899
DISTRICT PROPERTY TAX REPLACEMENT - BUSINESS (FUND 047)55900

       Notwithstanding any provision of law to the contrary, in 55901
fiscal year 2008 and fiscal year 2009 the Director of Budget and 55902
Management may make temporary transfers between the General 55903
Revenue Fund and the School District Property Tax Replacement – 55904
Business Fund (Fund 047) in the Department of Education to ensure 55905
sufficient balances in the School District Property Tax 55906
Replacement - Business Fund (Fund 047) and to replenish the 55907
General Revenue Fund for such transfers.55908

       Section 269.50.10. SCHOOL DISTRICT PROPERTY TAX REPLACEMENT - 55909
BUSINESS55910

       The foregoing appropriation item, 200-909, School District 55911
Property Tax Replacement – Business, in Fund 047, shall be used by 55912
the Department of Education, in consultation with the Department 55913
of Taxation, to make payments to school districts and joint 55914
vocational school districts under section 5751.21 of the Revised 55915
Code. If it is determined by the Director of Budget and Management 55916
that additional appropriations are necessary for this purpose, 55917
such amounts are hereby appropriated.55918

       SCHOOL DISTRICT PROPERTY TAX REPLACEMENT - UTILITY55919

       The foregoing appropriation item 200-900, School District55920
Property Tax Replacement-Utility, in Fund 053, shall be used by 55921
the Department of Education, in consultation with the Department 55922
of Taxation, to make payments to school districts and joint 55923
vocational school districts under section 5727.85 of the Revised 55924
Code.55925

       *       Section 269.50.20. DISTRIBUTION FORMULAS55926

       The Department of Education shall report the following to the55927
Director of Budget and Management and the Legislative Service 55928
Commission:55929

       (A) Changes in formulas for distributing state55930
appropriations, including administratively defined formula55931
factors;55932

       (B) Discretionary changes in formulas for distributing55933
federal appropriations;55934

       (C) Federally mandated changes in formulas for distributing55935
federal appropriations.55936

       Any such changes shall be reported two weeks prior to the55937
effective date of the change.55938

       Section 269.50.30.  EDUCATIONAL SERVICE CENTERS FUNDING55939

       (A) As used in this section:55940

       (1) "Internet- or computer-based community school" has the 55941
same meaning as in section 3314.02 of the Revised Code.55942

       (2) "Service center ADM" has the same meaning as in section 55943
3317.11 of the Revised Code.55944

        (B) Notwithstanding division (F) of section 3317.11 of the55945
Revised Code, no funds shall be provided under that division to an 55946
educational service center in either fiscal year for any pupils of 55947
a city or exempted village school district unless an agreement to 55948
provide services under section 3313.843 of the Revised Code was 55949
entered into by January 1, 1997, except that funds shall be 55950
provided to an educational service center for any pupils of a city 55951
school district if the agreement to provide services was entered 55952
into within one year of the date upon which such district changed 55953
from a local school district to a city school district.55954

       (C) Notwithstanding any provision of the Revised Code to the 55955
contrary, an educational service center that sponsors a community 55956
school under Chapter 3314. of the Revised Code in either fiscal 55957
year may include the students of that community school in its 55958
service center ADM for purposes of state funding under division 55959
(F) of section 3317.11 of the Revised Code, unless the community 55960
school is an Internet- or computer-based community school. A 55961
service center shall include the community school students in its 55962
service center ADM only to the extent that the students are not 55963
already so included, and only in accordance with guidelines issued 55964
by the Department of Education. If the students of a community 55965
school sponsored by an educational service center are included in 55966
the service center ADM of another educational service center, 55967
those students shall be removed from the service center ADM of the 55968
other educational service center and added to the service center 55969
ADM of the community school's sponsoring service center. The 55970
General Assembly authorizes this procedure as an incentive for 55971
educational service centers to take over sponsorship of community 55972
schools from the State Board of Education as the State Board's 55973
sponsorship is phased out in accordance with Sub. H.B. 364 of the 55974
124th General Assembly. No student of an Internet- or 55975
computer-based community school shall be counted in the service 55976
center ADM of any educational service center. The Department shall 55977
pay educational service centers under division (F) of section 55978
3317.11 of the Revised Code for community school students included 55979
in their service center ADMs under this division only if 55980
sufficient funds earmarked within appropriation item 200-550, 55981
Foundation Funding, for payments under that division remain after 55982
first paying for students attributable to their local and client 55983
school districts, in accordance with divisions (B) and (D) of this 55984
section.55985

       (D) If insufficient funds are earmarked within appropriation 55986
item 200-550, Foundation Funding, for payments under division (F) 55987
of section 3317.11 of the Revised Code and division (C) of this 55988
section in fiscal year 2008 or fiscal year 2009, the Department 55989
shall prioritize the distribution of the earmarked funds as 55990
follows:55991

       (1) The Department shall first distribute to each educational 55992
service center the per-student amount specified in division (F) of 55993
section 3317.11 of the Revised Code for each student in its55994
service center ADM attributable to the local school districts 55995
within the service center's territory.55996

       (2) The Department shall distribute the remaining funds in 55997
each fiscal year to each educational service center for the 55998
students in its service center ADM attributable to each city and55999
exempted village school district that had entered into an56000
agreement with an educational service center for that fiscal year56001
under section 3313.843 of the Revised Code by January 1, 1997, up 56002
to the per-student amount specified in division (F) of section 56003
3317.11 of the Revised Code. If insufficient funds remain to pay 56004
each service center the full amount specified in division (F) of 56005
that section for each such student, the Department shall 56006
distribute the remaining funds to each service center 56007
proportionally, on a per-student basis for each such student, 56008
unless that proportional per-student amount exceeds the amount 56009
specified in division (F)(1) of that section. In that case, the 56010
Department shall distribute the per-student amount specified in 56011
division (F)(1) of that section to each service center for each 56012
such student and shall distribute the remainder proportionally, on 56013
a per-student basis for each such student, to the multi-county 56014
service centers described in division (F)(2) of that section.56015

       (3) If the Department has paid each service center under 56016
divisions (D)(1) and (2) of this section, the full amount 56017
specified in division (F) of section 3317.11 of the Revised Code 56018
for each student attributable to its local school districts and 56019
its client school districts described in division (D)(2) of this 56020
section the Department shall distribute any remaining funds 56021
proportionally, on a per-student basis, to each service center 56022
that sponsors a community school, other than an Internet- or 56023
computer-based community school, for the students included in the 56024
service center ADM under division (C) of this section. These 56025
payments shall not exceed per student the amount specified in 56026
division (F) of section 3317.11 of the Revised Code.56027

       *       Section 269.50.40. For the school year commencing July 1,56028
2007, or the school year commencing July 1, 2008, or both, the56029
Superintendent of Public Instruction may waive for the board of56030
education of any school district the ratio of teachers to pupils56031
in kindergarten through fourth grade required under paragraph56032
(A)(3) of rule 3301-35-05 of the Administrative Code if the56033
following conditions apply:56034

       (A) The board of education requests the waiver.56035

       (B) After the Department of Education conducts an on-site56036
evaluation of the district related to meeting the required ratio,56037
the board of education demonstrates to the satisfaction of the56038
Superintendent of Public Instruction that providing the facilities56039
necessary to meet the required ratio during the district's regular56040
school hours with pupils in attendance would impose an extreme56041
hardship on the district.56042

       (C) The board of education provides assurances that are56043
satisfactory to the Superintendent of Public Instruction that the56044
board will act in good faith to meet the required ratio as soon as56045
possible.56046

       Section 269.50.50.  PRIVATE TREATMENT FACILITY PROJECT56047

       (A) As used in this section:56048

       (1) The following are "participating residential treatment56049
centers":56050

       (a) Private residential treatment facilities that have56051
entered into a contract with the Department of Youth Services to56052
provide services to children placed at the facility by the56053
Department and which, in fiscal year 2008 or fiscal year 2009 or 56054
both, the Department pays through appropriation item 470-401, Care 56055
and Custody;56056

       (b) Abraxas, in Shelby;56057

       (c) Paint Creek, in Bainbridge;56058

       (d) Act One, in Akron;56059

       (e) Friars Club, in Cincinnati.56060

       (2) "Education program" means an elementary or secondary56061
education program or a special education program and related56062
services.56063

       (3) "Served child" means any child receiving an education56064
program pursuant to division (B) of this section.56065

       (4) "School district responsible for tuition" means a city,56066
exempted village, or local school district that, if tuition56067
payment for a child by a school district is required under law56068
that existed in fiscal year 1998, is the school district required56069
to pay that tuition.56070

       (5) "Residential child" means a child who resides in a56071
participating residential treatment center and who is receiving an56072
educational program under division (B) of this section.56073

       (B) A youth who is a resident of the state and has been56074
assigned by a juvenile court or other authorized agency to a56075
residential treatment facility specified in division (A) of this56076
section shall be enrolled in an approved educational program56077
located in or near the facility. Approval of the educational56078
program shall be contingent upon compliance with the criteria56079
established for such programs by the Department of Education. The56080
educational program shall be provided by a school district or56081
educational service center, or by the residential facility itself.56082
Maximum flexibility shall be given to the residential treatment56083
facility to determine the provider. In the event that a voluntary56084
agreement cannot be reached and the residential facility does not56085
choose to provide the educational program, the educational service56086
center in the county in which the facility is located shall56087
provide the educational program at the treatment center to56088
children under twenty-two years of age residing in the treatment56089
center.56090

       (C) Any school district responsible for tuition for a56091
residential child shall, notwithstanding any conflicting provision56092
of the Revised Code regarding tuition payment, pay tuition for the56093
child for fiscal year 2008 and fiscal year 2009 to the education 56094
program provider and in the amount specified in this division. If 56095
there is no school district responsible for tuition for a 56096
residential child and if the participating residential treatment 56097
center to which the child is assigned is located in the city, 56098
exempted village, or local school district that, if the child were 56099
not a resident of that treatment center, would be the school 56100
district where the child is entitled to attend school under 56101
sections 3313.64 and 3313.65 of the Revised Code, that school 56102
district, notwithstanding any conflicting provision of the Revised56103
Code, shall pay tuition for the child for fiscal year 2008 and 56104
fiscal year 2009 under this division unless that school district 56105
is providing the educational program to the child under division 56106
(B) of this section.56107

       A tuition payment under this division shall be made to the56108
school district, educational service center, or residential56109
treatment facility providing the educational program to the child.56110

       The amount of tuition paid shall be:56111

       (1) The amount of tuition determined for the district under56112
division (A) of section 3317.08 of the Revised Code;56113

       (2) In addition, for any student receiving special education56114
pursuant to an individualized education program as defined in56115
section 3323.01 of the Revised Code, a payment for excess costs.56116
This payment shall equal the actual cost to the school district,56117
educational service center, or residential treatment facility of56118
providing special education and related services to the student56119
pursuant to the student's individualized education program, minus56120
the tuition paid for the child under division (C)(1) of this56121
section.56122

       A school district paying tuition under this division shall56123
not include the child for whom tuition is paid in the district's56124
average daily membership certified under division (A) of section56125
3317.03 of the Revised Code.56126

       (D) In each of fiscal years 2008 and 2009, the Department of56127
Education shall reimburse, from appropriations made for the56128
purpose, a school district, educational service center, or56129
residential treatment facility, whichever is providing the56130
service, that has demonstrated that it is in compliance with the56131
funding criteria for each served child for whom a school district56132
must pay tuition under division (C) of this section. The amount of56133
the reimbursement shall be the formula amount specified in section56134
3317.022 of the Revised Code, except that the department shall56135
proportionately reduce this reimbursement if sufficient funds are 56136
not available to pay this amount to all qualified providers.56137

       (E) Funds provided to a school district, educational service56138
center, or residential treatment facility under this section shall56139
be used to supplement, not supplant, funds from other public56140
sources for which the school district, service center, or56141
residential treatment facility is entitled or eligible.56142

       (F) The Department of Education shall track the utilization56143
of funds provided to school districts, educational service56144
centers, and residential treatment facilities under this section56145
and monitor the effect of the funding on the educational programs56146
they provide in participating residential treatment facilities.56147
The department shall monitor the programs for educational56148
accountability.56149

       Section 269.50.60.  SCHOOL DISTRICT PARTICIPATION IN NATIONAL56150
ASSESSMENT OF EDUCATION PROGRESS56151

       The General Assembly intends for the Superintendent of Public56152
Instruction to provide for school district participation in the56153
administration of the National Assessment of Education Progress in 56154
accordance with section 3301.27 of the Revised Code. Each school 56155
and school district selected for participation by the 56156
Superintendent of Public Instruction shall participate.56157

       Section 269.50.70. DEPARTMENT OF EDUCATION APPROPRIATION 56158
TRANSFERS FOR STUDENT ASSESSMENT56159

       In fiscal year 2008 and fiscal year 2009, if the 56160
Superintendent of Public Instruction determines that additional 56161
funds are needed to fully fund the requirements of Am. Sub. H.B. 3 56162
of the 125th General Assembly and this act for assessments of 56163
student performance, the Superintendent of Public Instruction may 56164
recommend the reallocation of unspent and unencumbered 56165
appropriations within the Department of Education to the General 56166
Revenue Fund appropriation item 200-437, Student Assessment, to 56167
the Director of Budget and Management. If the Director of Budget 56168
and Management determines that such a reallocation is required, 56169
the Director of Budget and Management may transfer unspent and 56170
unencumbered funds within the Department of Education as necessary 56171
to appropriation item 200-437, Student Assessment. If these 56172
unspent and unencumbered funds are not sufficient to fully fund 56173
the assessment requirements in fiscal year 2008 or fiscal year 56174
2009, the Superintendent of Public Instruction may request that 56175
the Controlling Board transfer up to $9,000,000 cash from the 56176
Lottery Profits Education Reserve Fund (Fund 018) to the General 56177
Revenue Fund and appropriate these transferred funds to 56178
appropriation item 200-437, Student Assessment.56179

       Section 269.50.80.  (A) As used in this section:56180

       (1) "IEP" has the same meaning as in section 3314.08 of the 56181
Revised Code.56182

       (2) "SBH student" means a student receiving special education 56183
and related services for severe behavior handicap conditions 56184
pursuant to an IEP.56185

       (B) This section applies only to a community school 56186
established under Chapter 3314. of the Revised Code that in each 56187
of fiscal years 2008 and 2009 enrolls a number of SBH students 56188
equal to at least fifty per cent of the total number of students 56189
enrolled in the school in the applicable fiscal year.56190

       (C) In addition to any payments made under section 3314.08 of 56191
the Revised Code, in each of fiscal years 2008 and 2009, the 56192
Department of Education shall pay to a community school to which 56193
this section applies a subsidy equal to the difference between the 56194
aggregate amount calculated and paid in that fiscal year to the 56195
community school for special education and related services 56196
additional weighted costs for the SBH students enrolled in the 56197
school and the aggregate amount that would have been calculated 56198
for the school for special education and related services 56199
additional weighted costs for those same students in fiscal year 56200
2001. If the difference is a negative number, the amount of the 56201
subsidy shall be zero.56202

       (D) The amount of any subsidy paid to a community school 56203
under this section shall not be deducted from the school district 56204
in which any of the students enrolled in the community school are 56205
entitled to attend school under section 3313.64 or 3313.65 of the 56206
Revised Code. The amount of any subsidy paid to a community school 56207
under this section shall be paid from funds appropriated to the 56208
Department of Education in appropriation item 200-550, Foundation 56209
Funding.56210

       Section 269.50.90. EARMARK ACCOUNTABILITY56211

       At the request of the Superintendent of Public Instruction, 56212
any entity that receives a budget earmark under the Department of 56213
Education shall submit annually to the chairpersons of the 56214
committees of the House of Representatives and the Senate 56215
primarily concerned with education and to the Department of 56216
Education a report that includes a description of the services 56217
supported by the funds, a description of the results achieved by 56218
those services, an analysis of the effectiveness of the program, 56219
and an opinion as to the program's applicability to other school 56220
districts. For an earmarked entity that received state funds from 56221
an earmark in the prior fiscal year, no funds shall be provided by 56222
the Department of Education to an earmarked entity for a fiscal 56223
year until its report for the prior fiscal year has been 56224
submitted.56225

       Section 269.60.10.  No community school established under 56226
Chapter 3314. of the Revised Code that was not open for operation 56227
as of May 1, 2005, shall operate from a home, as defined in 56228
section 3313.64 of the Revised Code.56229

       Section 269.60.30. PLAN TO MOVE ADULT EDUCATION PROGRAMS TO 56230
BOARD OF REGENTS56231

       The Department of Education shall work collaboratively with 56232
the Board of Regents to identify adult and career-technical 56233
education programs, except for adult basic and literacy education 56234
programs, that shall be transferred to the Board of Regents by 56235
July 1, 2008. The purpose of this programmatic transfer is to 56236
better align and maximize the strength and flexibility of the full 56237
array of Ohio adult workforce education assets to improve the 56238
overall quality of adult education and training program course and 56239
training offerings in order to increase the skills and improve the 56240
employment prospects of adults.56241

        On or after July 1, 2008, notwithstanding any provision of 56242
law to the contrary, the Director of Budget and Management may 56243
take the actions described in this section made necessary by the 56244
movement of adult education and career programs from the 56245
Department of Education to the Board of Regents. These actions may 56246
include budget changes made necessary by administrative 56247
reorganization, program transfers, the creation of new funds, the 56248
creation of new appropriation items, and the consolidation of 56249
funds. The Director may transfer cash balances between funds as 56250
needed. At the request of the Director, the Superintendent of 56251
Public Instruction shall certify to the Director an estimate of 56252
the amount of the cash balance to be transferred to the receiving 56253
fund. The Director may transfer the estimated amount to the Board 56254
of Regents when needed to make payments. Not more than thirty days 56255
after certifying the estimated amount, the Superintendent of 56256
Public Instruction shall certify the final amount to the Director. 56257
The Director then shall transfer the difference between any amount 56258
previously transferred and the certified final amount. The 56259
Director may cancel encumbrances and re-establish encumbrances or 56260
parts of encumbrances as needed in the appropriate fund and 56261
appropriation item for the same purpose and to the same vendor. 56262
The funds necessary to re-establish those encumbrances in a 56263
different fund or appropriation item within or between the Board 56264
of Regents and the Department of Education are hereby 56265
appropriated. The Director shall reduce each year's appropriation 56266
balances by the amount of the encumbrances canceled in their 56267
respective funds and appropriation items. Any fiscal year 2008 56268
unencumbered or unallocated appropriation balances may be 56269
transferred to the appropriate item to be used for the same 56270
purposes, as determined by the Director.56271

       Adult basic and literacy programs shall remain under the 56272
Department of Education.56273

       Section 269.60.40. SPECIAL EDUCATION SCHOLARSHIP PILOT 56274
PROGRAM56275

       The State Board of Education shall initiate rulemaking 56276
procedures for the rules required under section 3310.63 of the 56277
Revised Code, as enacted by this act, so that those rules are in 56278
effect and the Special Education Scholarship Pilot Program is in 56279
operation by July 1, 2007.56280

       The Department of Education shall conduct a formative 56281
evaluation of the Special Education Scholarship Pilot Program 56282
established under sections 3310.51 to 3310.63 of the Revised Code, 56283
using both quantitative and qualitative analyses, and shall report 56284
its findings to the General Assembly not later than December 31, 56285
2009. In conducting the evaluation, the Department shall to the 56286
extent possible gather comments from parents who have been awarded 56287
scholarships under the program, school district officials, 56288
representatives of registered private providers, educators, and 56289
representatives of educational organizations for inclusion in the 56290
report required under this section.56291

       Section 269.60.60. UNAUDITABLE COMMUNITY SCHOOL56292

       (A) If the Auditor of State or a public accountant, pursuant 56293
to section 117.41 of the Revised Code, declares a community school 56294
established under Chapter 3314. of the Revised Code to be 56295
unauditable, the Auditor of State shall provide written 56296
notification of that declaration to the school, the school's 56297
sponsor, and the Department of Education. The Auditor of State 56298
also shall post the notification on the Auditor of State's web 56299
site.56300

       (B) Notwithstanding any provision to the contrary in Chapter 56301
3314. of the Revised Code or any other provision of law, a sponsor 56302
of a community school that is notified by the Auditor of State 56303
under division (A) of this section that a community school it 56304
sponsors is unauditable shall not enter into contracts with any 56305
additional community schools under section 3314.03 of the Revised 56306
Code until the Auditor of State or a public accountant has 56307
completed a financial audit of that school.56308

       (C) Not later than forty-five days after receiving 56309
notification by the Auditor of State under division (A) of this 56310
section that a community school is unauditable, the sponsor of the 56311
school shall provide a written response to the Auditor of State. 56312
The response shall include the following:56313

       (1) An overview of the process the sponsor will use to review 56314
and understand the circumstances that led to the community school 56315
becoming unauditable;56316

       (2) A plan for providing the Auditor of State with the 56317
documentation necessary to complete an audit of the community 56318
school and for ensuring that all financial documents are available 56319
in the future;56320

       (3) The actions the sponsor will take to ensure that the plan 56321
described in division (C)(2) of this section is implemented.56322

       (D) If a community school fails to make reasonable efforts 56323
and continuing progress to bring its accounts, records, files, or 56324
reports into an auditable condition within ninety days after being 56325
declared unauditable, the Auditor of State, in addition to 56326
requesting legal action under sections 117.41 and 117.42 of the 56327
Revised Code, shall notify the Department of the school's failure. 56328
If the Auditor of State or a public accountant subsequently is 56329
able to complete a financial audit of the school, the Auditor of 56330
State shall notify the Department that the audit has been 56331
completed.56332

       (E) Notwithstanding any provision to the contrary in Chapter 56333
3314. of the Revised Code or any other provision of law, upon 56334
notification by the Auditor of State under division (D) of this 56335
section that a community school has failed to make reasonable 56336
efforts and continuing progress to bring its accounts, records, 56337
files, or reports into an auditable condition following a 56338
declaration that the school is unauditable, the Department shall 56339
immediately cease all payments to the school under Chapter 3314. 56340
of the Revised Code and any other provision of law. Upon 56341
subsequent notification from the Auditor of State under that 56342
division that the Auditor of State or a public accountant was able 56343
to complete a financial audit of the community school, the 56344
Department shall release all funds withheld from the school under 56345
this section.56346

       Section 271.10.  ELC OHIO ELECTIONS COMMISSION56347

General Revenue Fund56348

GRF 051-321 Operating Expenses $ 411,623 $ 423,975 56349
TOTAL GRF General Revenue Fund $ 411,623 $ 423,975 56350

General Services Fund Group56351

4P2 051-601 Ohio Elections 56352
Commission Fund $ 255,000 $ 255,000 56353
TOTAL GSF General Services Fund Group $ 255,000 $ 255,000 56354
TOTAL ALL BUDGET FUND GROUPS $ 666,623 $ 678,975 56355


       Section 273.10. FUN STATE BOARD OF EMBALMERS AND FUNERAL56357
DIRECTORS56358

General Services Fund Group56359

4K9 881-609 Operating Expenses $ 628,641 $ 646,602 56360
TOTAL GSF General Services 56361
Fund Group $ 628,641 $ 646,602 56362
TOTAL ALL BUDGET FUND GROUPS $ 628,641 $ 646,602 56363


       Section 275.10.  PAY EMPLOYEE BENEFITS FUNDS56365

Accrued Leave Liability Fund Group56366

806 995-666 Accrued Leave Fund $ 69,584,560 $ 76,038,787 56367
807 995-667 Disability Fund $ 40,104,713 $ 39,309,838 56368
TOTAL ALF Accrued Leave Liability 56369
Fund Group $ 109,689,273 $ 115,348,625 56370

Agency Fund Group56371

124 995-673 Payroll Deductions $ 2,125,000,000 $ 2,175,000,000 56372
808 995-668 State Employee Health Benefit Fund $ 499,240,000 $ 550,922,742 56373
809 995-669 Dependent Care Spending Account $ 2,969,635 $ 2,969,635 56374
810 995-670 Life Insurance Investment Fund $ 2,113,589 $ 2,229,834 56375
811 995-671 Parental Leave Benefit Fund $ 3,994,806 $ 4,234,495 56376
813 995-672 Health Care Spending Account $ 12,000,000 $ 12,000,000 56377
TOTAL AGY Agency Fund Group $ 2,645,318,030 $ 2,747,356,706 56378

TOTAL ALL BUDGET FUND GROUPS $ 2,755,007,303 $ 2,862,705,331 56379

       ACCRUED LEAVE LIABILITY FUND56380

       The foregoing appropriation item 995-666, Accrued Leave Fund,56381
shall be used to make payments from the Accrued Leave Liability56382
Fund (Fund 806), pursuant to section 125.211 of the Revised Code.56383
If it is determined by the Director of Budget and Management that56384
additional amounts are necessary, the amounts are appropriated.56385

       STATE EMPLOYEE DISABILITY LEAVE BENEFIT FUND56386

       The foregoing appropriation item 995-667, Disability Fund,56387
shall be used to make payments from the State Employee Disability56388
Leave Benefit Fund (Fund 807), pursuant to section 124.83 of the56389
Revised Code. If it is determined by the Director of Budget and56390
Management that additional amounts are necessary, the amounts are56391
appropriated.56392

       PAYROLL WITHHOLDING FUND56393

       The foregoing appropriation item 995-673, Payroll Deductions, 56394
shall be used to make payments from the Payroll Withholding Fund 56395
(Fund 124). If it is determined by the Director of Budget and 56396
Management that additional appropriation amounts are necessary, 56397
such amounts are hereby appropriated.56398

       STATE EMPLOYEE HEALTH BENEFIT FUND56399

       The foregoing appropriation item 995-668, State Employee56400
Health Benefit Fund, shall be used to make payments from the State56401
Employee Health Benefit Fund (Fund 808), pursuant to section56402
124.87 of the Revised Code. If it is determined by the Director of 56403
Budget and Management that additional amounts are necessary, the 56404
amounts are appropriated.56405

       DEPENDENT CARE SPENDING ACCOUNT56406

       The foregoing appropriation item 995-669, Dependent Care56407
Spending Account, shall be used to make payments from the56408
Dependent Care Spending Account (Fund 809) to employees eligible56409
for dependent care expenses. If it is determined by the Director56410
of Budget and Management that additional amounts are necessary,56411
the amounts are appropriated.56412

       LIFE INSURANCE INVESTMENT FUND56413

       The foregoing appropriation item 995-670, Life Insurance56414
Investment Fund, shall be used to make payments from the Life56415
Insurance Investment Fund (Fund 810) for the costs and expenses of56416
the state's life insurance benefit program pursuant to section56417
125.212 of the Revised Code. If it is determined by the Director56418
of Budget and Management that additional amounts are necessary,56419
the amounts are appropriated.56420

       PARENTAL LEAVE BENEFIT FUND56421

       The foregoing appropriation item 995-671, Parental Leave56422
Benefit Fund, shall be used to make payments from the Parental56423
Leave Benefit Fund (Fund 811) to employees eligible for parental56424
leave benefits pursuant to section 124.137 of the Revised Code. If56425
it is determined by the Director of Budget and Management that56426
additional amounts are necessary, the amounts are appropriated.56427

       HEALTH CARE SPENDING ACCOUNT56428

       There is hereby established in the State Treasury the Health 56429
Care Spending Account Fund (Fund 813). The foregoing appropriation 56430
item 995-672, Health Care Spending Account, shall be used to make 56431
payments from the fund. The fund shall be under the supervision of 56432
the Department of Administrative Services and shall be used to 56433
make payments pursuant to state employees' participation in a 56434
flexible spending account for non-reimbursed health care expenses 56435
and pursuant to Section 125 of the Internal Revenue Code. All 56436
income derived from the investment of the fund shall accrue to the 56437
fund. If it is determined by the Director of Administrative 56438
Services that additional appropriation amounts are necessary, the 56439
Director of Administrative Services may request that the Director 56440
of Budget and Management increase such amounts. Such amounts are 56441
hereby appropriated. 56442

       At the request of the Director of Administrative Services, 56443
the Director of Budget and Management shall transfer up to 56444
$145,000 from the General Revenue Fund to the Health Care Spending 56445
Account Fund during fiscal years 2008 and 2009. This cash shall be 56446
transferred as needed to provide adequate cash flow for the Health 56447
Care Spending Account Fund during fiscal year 2008 and fiscal year 56448
2009. If funds are available at the end of fiscal years 2008 and 56449
2009, the Director of Budget and Management shall transfer cash up 56450
to the amount previously transferred in the respective year, plus 56451
interest income, back from the Health Care Spending Account (Fund 56452
813) to the General Revenue Fund. 56453

       Section 277.10.  ERB STATE EMPLOYMENT RELATIONS BOARD56454

General Revenue Fund56455

GRF 125-321 Operating Expenses $ 3,218,803 $ 3,355,602 56456
TOTAL GRF General Revenue Fund $ 3,218,803 $ 3,355,602 56457

General Services Fund Group56458

572 125-603 Training and Publications $ 75,541 $ 75,541 56459
TOTAL GSF General Services 56460
Fund Group $ 75,541 $ 75,541 56461
TOTAL ALL BUDGET FUND GROUPS $ 3,294,344 $ 3,431,143 56462


       Section 279.10. ENG STATE BOARD OF ENGINEERS AND SURVEYORS56464

General Services Fund Group56465

4K9 892-609 Operating Expenses $ 1,058,881 $ 1,058,881 56466
TOTAL GSF General Services 56467
Fund Group $ 1,058,881 $ 1,058,881 56468
TOTAL ALL BUDGET FUND GROUPS $ 1,058,881 $ 1,058,881 56469


       Section 281.10. EPA ENVIRONMENTAL PROTECTION AGENCY56471

General Services Fund Group56472

199 715-602 Laboratory Services $ 1,158,574 $ 1,173,574 56473
219 715-604 Central Support Indirect $ 16,474,276 $ 17,000,962 56474
4A1 715-640 Operating Expenses $ 3,369,731 $ 3,369,731 56475
TOTAL GSF General Services 56476
Fund Group $ 21,002,581 $ 21,544,267 56477

Federal Special Revenue Fund Group56478

3BU 715-684 Water Quality Protection $ 6,515,000 $ 6,310,000 56479
3F2 715-630 Revolving Loan Fund - Operating $ 563,536 $ 775,600 56480
3F3 715-632 Federally Supported Cleanup and Response $ 2,550,000 $ 2,550,000 56481
3F5 715-641 Nonpoint Source Pollution Management $ 7,550,000 $ 7,595,000 56482
3K4 715-634 DOD Monitoring and Oversight $ 858,250 $ 898,825 56483
3N4 715-657 DOE Monitoring and Oversight $ 1,071,678 $ 1,110,270 56484
3T3 715-669 Drinking Water SRF $ 2,843,923 $ 2,977,998 56485
3V7 715-606 Agencywide Grants $ 500,000 $ 500,000 56486
353 715-612 Public Water Supply $ 3,388,619 $ 3,388,618 56487
354 715-614 Hazardous Waste Management - Federal $ 4,203,891 $ 4,203,891 56488
357 715-619 Air Pollution Control - Federal $ 6,823,949 $ 6,823,950 56489
362 715-605 Underground Injection Control - Federal $ 111,874 $ 111,874 56490
TOTAL FED Federal Special Revenue 56491
Fund Group $ 36,980,720 $ 37,246,026 56492

State Special Revenue Fund Group56493

4J0 715-638 Underground Injection Control $ 458,418 $ 458,418 56494
4K2 715-648 Clean Air - Non Title V $ 3,690,821 $ 4,066,558 56495
4K3 715-649 Solid Waste $ 13,932,845 $ 14,282,845 56496
4K4 715-650 Surface Water Protection $ 12,685,000 $ 13,815,000 56497
4K5 715-651 Drinking Water Protection $ 8,169,553 $ 8,867,732 56498
4P5 715-654 Cozart Landfill $ 149,728 $ 149,728 56499
4R5 715-656 Scrap Tire Management $ 6,000,000 $ 6,000,000 56500
4R9 715-658 Voluntary Action Program $ 1,032,098 $ 1,032,098 56501
4T3 715-659 Clean Air - Title V Permit Program $ 18,924,098 $ 18,833,584 56502
4U7 715-660 Construction & Demolition Debris $ 881,561 $ 881,561 56503
5BC 715-617 Clean Ohio $ 741,646 $ 741,646 56504
5BC 715-622 Local Air Pollution Control $ 1,026,369 $ 1,026,369 56505
5BC 715-624 Surface Water $ 8,797,413 $ 8,797,413 56506
5BC 715-667 Groundwater $ 1,093,741 $ 1,093,741 56507
5BC 715-672 Air Pollution Control $ 5,199,290 $ 5,199,290 56508
5BC 715-673 Drinking Water $ 2,550,250 $ 2,550,250 56509
5BC 715-675 Hazardous Waste $ 100,847 $ 100,847 56510
5BC 715-676 Assistance and Prevention $ 700,302 $ 700,302 56511
5BC 715-677 Laboratory $ 1,216,333 $ 1,216,333 56512
5BC 715-678 Corrective Actions $ 1,179,775 $ 1,179,775 56513
5BT 715-679 C&DD Groundwater Monitoring $ 571,560 $ 693,267 56514
5BY 715-681 Auto Emissions Test $ 14,817,105 $ 15,057,814 56515
5CD 715-682 Clean Diesel School Buses $ 600,000 $ 600,000 56516
5DW 715-683 Automotive Mercury Switch Program $ 60,000 $ 60,000 56517
5H4 715-664 Groundwater Support $ 2,503,933 $ 2,715,340 56518
5N2 715-613 Dredge and Fill $ 30,000 $ 30,000 56519
500 715-608 Immediate Removal Special Account $ 557,257 $ 573,903 56520
503 715-621 Hazardous Waste Facility Management $ 11,711,473 $ 12,200,240 56521
505 715-623 Hazardous Waste Cleanup $ 13,333,179 $ 14,147,498 56522
505 715-674 Clean Ohio Environmental Review $ 109,725 $ 109,725 56523
541 715-670 Site Specific Cleanup $ 34,650 $ 34,650 56524
542 715-671 Risk Management Reporting $ 146,188 $ 146,188 56525
592 715-627 Anti Tampering Settlement $ 9,707 $ 9,707 56526
6A1 715-645 Environmental Education $ 1,500,000 $ 1,500,000 56527
602 715-626 Motor Vehicle Inspection and Maintenance $ 157,697 $ 128,876 56528
644 715-631 ER Radiological Safety $ 286,114 $ 286,114 56529
660 715-629 Infectious Waste Management $ 100,000 $ 100,000 56530
676 715-642 Water Pollution Control Loan Administration $ 4,964,625 $ 4,964,625 56531
678 715-635 Air Toxic Release $ 210,622 $ 210,622 56532
679 715-636 Emergency Planning $ 2,628,647 $ 2,628,647 56533
696 715-643 Air Pollution Control Administration $ 750,000 $ 750,000 56534
699 715-644 Water Pollution Control Administration $ 750,000 $ 750,000 56535
TOTAL SSR State Special Revenue Fund Group $ 144,362,570 $ 148,690,706 56536

Clean Ohio Revitalization Fund Group56537

5S1 715-607 Clean Ohio - Operating $ 208,174 $ 208,174 56538
TOTAL CLF Clean Ohio Revitalization Fund Group $ 208,174 $ 208,174 56539
TOTAL ALL BUDGET FUND GROUPS $ 202,554,045 $ 207,689,173 56540

       AUTOMOBILE EMISSIONS TESTING PROGRAM OPERATION AND OVERSIGHT56541

       On the first day of July of each fiscal year or as soon as 56542
possible thereafter, the Director of Budget and Management shall 56543
transfer $14,817,105 for use in fiscal year 2008 and $15,057,814 56544
for use in fiscal year 2009 from the General Revenue Fund (GRF) to 56545
the Auto Emissions Test Fund (Fund 5BY).56546

        The Ohio Environmental Protection Agency (EPA) shall use the 56547
foregoing appropriation item 715-681, Auto Emissions Test, in the 56548
Auto Emissions Test Fund (Fund 5BY), for the operation, and Ohio 56549
EPA's costs for oversight, of the auto emissions testing program. 56550
For purposes of continuing testing beyond December 31, 2007, the 56551
Director of Environmental Protection may extend an existing 56552
contract with the contractor who is implementing the testing 56553
program pursuant to section 3704.14 of the Revised Code for a 56554
period of two years.56555

       The funds identified in this section shall not be used (1) to 56556
pay for the testing costs of any dealers to provide certificates 56557
for vehicles being purchased by individuals who reside in areas 56558
where the E-Check program is operated or (2) to pay for more than 56559
one passing or three total free tests for any vehicle in a 56560
three-hundred-sixty-five-day period. When state funds may not be 56561
used to pay for testing costs, the cost of testing and retesting 56562
paid by an individual or a business for any vehicle shall cover 56563
the cost of the test. Testing and other fees charged by the 56564
contractor shall be submitted to and approved by the Director of 56565
Environmental Protection.56566

       WATER QUALITY PROTECTION FUND56567

        On July 1, 2007, or as soon thereafter as possible, the 56568
Director of Environmental Protection shall certify to the Director 56569
of Budget and Management the cash balance in Fund 3F4, Water 56570
Quality Management. The Director of Budget and Management shall 56571
transfer the amount certified from Fund 3F4 to Fund 3BU, Water 56572
Quality Protection. Any existing encumbrances in appropriation 56573
item 715-633, Water Quality Management (Fund 3F4), shall be 56574
cancelled and re-established against appropriation item 715-684, 56575
Water Quality Protection (Fund 3BU). The amounts of the 56576
re-established encumbrances are hereby appropriated, and Fund 3F4 56577
is abolished.56578

        On July 1, 2007, or as soon thereafter as possible, the 56579
Director of Environmental Protection shall certify to the Director 56580
of Budget and Management the cash balance in Fund 3J1, Urban 56581
Stormwater. The Director of Budget and Management shall transfer 56582
the amount certified from Fund 3J1 to Fund 3BU, Water Quality 56583
Protection. Any existing encumbrances in appropriation item 56584
715-620, Urban Stormwater (Fund 3J1), shall be cancelled and 56585
re-established against appropriation item 715-684, Water Quality 56586
Protection (Fund 3BU). The amounts of the re-established 56587
encumbrances are hereby appropriated, and Fund 3J1 is abolished.56588

        On July 1, 2007, or as soon thereafter as possible, the 56589
Director of Environmental Protection shall certify to the Director 56590
of Budget and Management the cash balance in Fund 3J5, Maumee 56591
River. The Director of Budget and Management shall transfer the 56592
amount certified from Fund 3J5 to Fund 3BU, Water Quality 56593
Protection. Any existing encumbrances in appropriation item 56594
715-615, Maumee River (Fund 3J5), shall be cancelled and 56595
re-established against appropriation item 715-684, Water Quality 56596
Protection (Fund 3BU). The amounts of the re-established 56597
encumbrances are hereby appropriated, and Fund 3J5 is abolished.56598

        On July 1, 2007, or as soon thereafter as possible, the 56599
Director of Environmental Protection shall certify to the Director 56600
of Budget and Management the cash balance in Fund 3K2, Clean Water 56601
Act 106 (Fund 3K2). The Director of Budget and Management shall 56602
transfer the amount certified from Fund 3K2 to Fund 3BU, Water 56603
Quality Protection. Any existing encumbrances in appropriation 56604
item 715-628, Clean Water Act 106, shall be cancelled and 56605
re-established against appropriation item 715-684, Water Quality 56606
Protection (Fund 3BU). The amounts of the re-established 56607
encumbrances are hereby appropriated, and Fund 3K2 is abolished.56608

        On July 1, 2007, or as soon thereafter as possible, the 56609
Director of Environmental Protection shall certify to the Director 56610
of Budget and Management the cash balance in Fund 3K6, Remedial 56611
Action Plan. The Director of Budget and Management shall transfer 56612
the amount certified from Fund 3K6 to Fund 3BU, Water Quality 56613
Protection. Any existing encumbrances in appropriation item 56614
715-639, Remedial Action Plan (Fund 3K6), shall be cancelled and 56615
re-established against appropriation item 715-684, Water Quality 56616
Protection (Fund 3BU). The amounts of the re-established 56617
encumbrances are hereby appropriated, and Fund 3K6 is abolished.56618

        On July 1, 2007, or as soon thereafter as possible, the 56619
Director of Environmental Protection shall certify to the Director 56620
of Budget and Management the cash balance in Fund 352, Wastewater 56621
Pollution. The Director of Budget and Management shall transfer 56622
the amount certified from Fund 352 to Fund 3BU, Water Quality 56623
Protection. Any existing encumbrances in appropriation item 56624
715-611, Wastewater Pollution (Fund 352), shall be cancelled and 56625
re-established against appropriation item 715-684, Water Quality 56626
Protection (Fund 3BU). The amounts of the re-established 56627
encumbrances are hereby appropriated, and Fund 352 is abolished.56628

        On July 1, 2007, or as soon thereafter as possible, the 56629
Director of Environmental Protection shall certify to the Director 56630
of Budget and Management the cash balance in Fund 358, 205-J 56631
Federal Planning. The Director of Budget and Management shall 56632
transfer the amount certified from Fund 358 to Fund 3BU, Water 56633
Quality Protection. Any existing encumbrances in appropriation 56634
item 715-625, 205-J Federal Planning (Fund 358), shall be 56635
cancelled and re-established against appropriation item 715-684, 56636
Water Quality Protection (Fund 3BU). The amounts of the 56637
re-established encumbrances are hereby appropriated, and Fund 358 56638
is abolished.56639

       AREAWIDE PLANNING AGENCIES56640

        The Director of the Environmental Protection Agency shall use 56641
the foregoing appropriation item 715-624, Surface Water, to 56642
contract with areawide planning agencies in an amount not to 56643
exceed $75,000 per agency per fiscal year for areawide water 56644
quality management and planning activities in accordance with 56645
Section 208 of the Federal Clean Water Act, 33 U.S.C. 1288.56646

       CASH TRANSFER FOR AUTOMOTIVE MERCURY SWITCH PROGRAM56647

       Upon the request of the Director of Environmental Protection, 56648
the Director of Budget and Management shall transfer up to $60,000 56649
in cash from the Environmental Protection Fund (Fund 5BC) to the 56650
Automotive Mercury Switch Program Fund (Fund 5DW), in each year of 56651
the fiscal years 2008-2009 biennium.56652

       Section 283.10. EBR ENVIRONMENTAL REVIEW APPEALS COMMISSION56653

General Revenue Fund56654

GRF 172-321 Operating Expenses $ 483,859 $ 487,000 56655
TOTAL GRF General Revenue Fund $ 483,859 $ 487,000 56656
TOTAL ALL BUDGET FUND GROUPS $ 483,859 $ 487,000 56657


       Section 285.10. ETC ETECH OHIO56659

General Revenue Fund56660

GRF 935-321 Operations $ 6,830,918 $ 6,830,921 56661
GRF 935-401 Statehouse News Bureau $ 244,400 $ 244,400 56662
GRF 935-402 Ohio Government Telecommunications Services $ 716,417 $ 716,417 56663
GRF 935-403 Technical Operations $ 3,597,390 $ 3,597,389 56664
GRF 935-404 Telecommunications Operating Subsidy $ 3,632,413 $ 3,632,413 56665
GRF 935-406 Technical and Instructional Professional Development $ 7,285,351 $ 7,272,351 56666
GRF 935-539 Educational Technology $ 4,139,551 $ 4,139,551 56667
TOTAL GRF General Revenue Fund $ 26,446,440 $ 26,433,442 56668

General Services Fund Group56669

4F3 935-603 Affiliate Services $ 1,000,000 $ 1,000,000 56670
4T2 935-605 Government Television/Telecommunications Operating $ 25,000 $ 25,000 56671
5D4 935-640 Conference/Special Purposes $ 1,821,817 $ 1,821,817 56672
TOTAL GSF General Services Fund Group $ 2,846,817 $ 2,846,817 56673

Federal Special Revenue Fund Group56674

3S3 935-606 Enhancing Education Technology $ 589,363 $ 589,363 56675
TOTAL FED Federal Special Revenue Fund Group $ 589,363 $ 589,363 56676

State Special Revenue Fund Group56677

4W9 935-630 Telecommunity $ 25,000 $ 25,000 56678
4X1 935-634 Distance Learning $ 50,000 $ 50,000 56679
5T3 935-607 Gates Foundation Grants $ 200,000 $ 200,000 56680
TOTAL SSR State Special Revenue Fund Group $ 275,000 $ 275,000 56681
TOTAL ALL BUDGET FUND GROUPS $ 30,157,620 $ 30,144,622 56682


       Section 285.20. TOWERS56684

       (A) eTech Ohio currently owns eighteen towers and owns or 56685
leases an interest in the land upon which the towers are located 56686
at the following sites: Akron/Nimisila, Butler, Carey, Carmel 56687
Church, Celina College, Corner/Oxford, Conneaut/Ashtabula, 56688
Fairborn/Wright State, Lancaster, London, Loudonville, Mansfield, 56689
Maplewood, Millersburg, Thompson, Warrensville Heights, 56690
Wilberforce/Central State University, and Wooster. All rights, 56691
privileges, ownership, and control of the towers shall be 56692
transferred to the Office of Information Technology by July 1, 56693
2007, or as soon as possible thereafter. Where the land upon which 56694
the towers are located is leased by eTech Ohio, eTech Ohio hereby 56695
relinquishes its right on any such lease and the Office of 56696
Information Technology shall be substituted as the lessee of the 56697
premises by July 1, 2007, or as soon as possible thereafter, under 56698
the same terms, provisions, and conditions as specified in each 56699
lease agreement, subject to the lessor's consent. Where the land 56700
upon which the towers are located is owned by eTech Ohio, all 56701
rights, privileges, ownership, and control of the land shall be 56702
transferred to the Office of Information Technology by July 1, 56703
2007, or as soon as possible thereafter. The transfers and 56704
assignments of the eighteen tower site designations are subject to 56705
eTech Ohio's continued right to use the towers for transmission 56706
and broadcasting purposes and subject to the completion of any 56707
legal surveys of the premises on which the towers are located as 56708
deemed necessary by the Office of Real Estate Services.56709

       (B) The Governor is hereby authorized to execute deeds or 56710
leases in the name of the state, granting or leasing all of the 56711
state's right, title, and interest in the parcels described 56712
herein, and as necessary to implement division (A) of this 56713
section.56714

        (C) Renewable leases and deeds to implement division (A) of 56715
this section shall be prepared by the Auditor of State with the 56716
assistance of the Attorney General, executed by the Governor, 56717
countersigned by the Secretary of State, sealed with the Great 56718
Seal of the State, and presented for recording in the Office of 56719
the Auditor of State. Each deed or lease shall be delivered to the 56720
original grantor or lessor of each property for recording in the 56721
office of the appropriate county recorder.56722

       Section 285.30. TELECOMMUNICATIONS56723

       STATEHOUSE NEWS BUREAU56724

       The foregoing appropriation item 935-401, Statehouse News 56725
Bureau, shall be used solely to support the operations of the Ohio 56726
Statehouse News Bureau.56727

       OHIO GOVERNMENT TELECOMMUNICATIONS STUDIO56728

       The foregoing appropriation item 935-402, Ohio Government 56729
Telecommunications Services, shall be used solely to support the 56730
operations of Ohio Government Telecommunications Services.56731

       TECHNICAL OPERATIONS56732

       The foregoing appropriation item 935-403, Technical 56733
Operations, shall be used by eTech Ohio to pay expenses of eTech 56734
Ohio's network infrastructure, which includes the television and 56735
radio transmission infrastructure and infrastructure that shall 56736
link all public K-12 classrooms to each other and the Internet, 56737
and provide access to voice, video, and data educational resources 56738
for students and teachers.56739

       TELECOMMUNICATIONS OPERATING SUBSIDY56740

       Of the foregoing appropriation item 935-404, 56741
Telecommunications Operating Subsidy, $45,000 in each fiscal year 56742
shall be used to contract for dial-up newspaper reading services 56743
for the blind and physically handicapped. The contract shall be 56744
awarded through a competitive bidding process.56745

       The remainder of appropriation item 935-404, 56746
Telecommunications Operating Subsidy, shall be distributed by 56747
eTech Ohio to Ohio's qualified public educational television 56748
stations, radio reading services, and educational radio stations 56749
to support their operations. The funds shall be distributed 56750
pursuant to an allocation formula used by the Ohio Educational 56751
Telecommunications Network Commission unless and until a 56752
substitute formula is developed by eTech Ohio in consultation with 56753
Ohio's qualified public educational television stations, radio 56754
reading services, and educational radio stations.56755

       Section 285.40. TECHNICAL AND INSTRUCTIONAL PROFESSIONAL 56756
DEVELOPMENT56757

       The foregoing appropriation item 935-406, Technical and 56758
Instructional Professional Development, shall be used by eTech 56759
Ohio to make grants or provide services to qualifying public 56760
schools, including the State School for the Blind, the State 56761
School for the Deaf, and the Department of Youth Services, for the 56762
provision of hardware, software, telecommunications services, and 56763
staff development to support educational uses of technology in the 56764
classroom.56765

       Of the foregoing appropriation item 935-406, Technical and 56766
Instructional Professional Development, up to $1,000,000 in each 56767
fiscal year shall be used to implement and support the Ohio 56768
Students Choosing On-line Resources for Educational Success (Ohio 56769
SCORES) initiative that increases the educational options 56770
available to students in mathematics, advanced laboratory-based 56771
science, and foreign language. eTech Ohio shall work 56772
collaboratively with the Department of Education and the Board of 56773
Regents on this initiative.56774

       Of the foregoing appropriation item 935-406, Technical and 56775
Instructional Professional Development, up to $200,000 in each 56776
fiscal year shall be used by eTech Ohio to provide competitive 56777
professional development grants to school districts. Grant 56778
proposals shall focus on developing innovative programs that 56779
enhance the abilities of teachers to use innovative methods for 56780
integrating technology to implement state academic content 56781
standards in classroom lessons. Grant requirements and awards 56782
shall be approved by eTech Ohio, with priority given to school 56783
districts designated in academic emergency, academic watch, or 56784
continuous improvement. eTech Ohio shall develop a web site to 56785
share information learned through these programs with school 56786
districts statewide. The web site shall be linked with the Ohio 56787
Department of Education's Instructional Management System.56788

       Of the foregoing appropriation item 935-406, Technical and 56789
Instructional Professional Development, up to $1,260,000 in each 56790
fiscal year shall be allocated equally among the 12 Ohio 56791
educational television stations and used with the advice and 56792
approval of eTech Ohio. Funds shall be used for the production of 56793
interactive instructional programming series with priority given 56794
to resources aligned with state academic content standards in 56795
consultation with the Ohio Department of Education and for 56796
teleconferences to support eTech Ohio. The programming shall be 56797
targeted to the needs of the poorest two hundred school districts 56798
as determined by the district's adjusted valuation per pupil as 56799
defined in former section 3317.0213 of the Revised Code as that 56800
section existed prior to June 30, 2005.56801

       The remainder of appropriation item 935-406, Technical and 56802
Instructional Professional Development, shall be used by eTech 56803
Ohio for professional development for teachers and administrators 56804
for the use of educational technology. eTech Ohio may make grants 56805
to provide technical assistance and professional development on 56806
the use of educational technology to school districts.56807

       Eligible recipients of grants include regional training 56808
centers, educational service centers, information technology 56809
centers, educational technology centers, institutions of higher 56810
education, public television stations, special education resource 56811
centers, area media centers, or other nonprofit educational 56812
organizations. In addition, services provided through these grants 56813
may include use of private entities subcontracting through the 56814
grant recipient.56815

       Grants shall be made to entities on a contractual basis with 56816
eTech Ohio. Contracts shall include provisions that demonstrate 56817
how services will benefit technology use in the public schools, 56818
and in particular how services will support eTech Ohio's efforts 56819
to integrate technology in the public schools. Contracts shall 56820
specify the scope of assistance being offered and the potential 56821
number of professionals who will be served. Contracting entities 56822
may be awarded more than one grant at a time. Grants shall be 56823
awarded in a manner consistent with the goals and priorities of 56824
eTech Ohio. Special emphasis in the award of grants shall be 56825
placed on collaborative efforts among service providers.56826

       Application for grants from appropriation item 935-406, 56827
Technical and Instructional Professional Development, shall be 56828
consistent with a school district's technology plan that shall 56829
meet the minimum specifications for school district technology 56830
plans as prescribed by eTech Ohio. Funds allocated through these 56831
grants may be combined with funds received through other state or 56832
federal grants for technology so long as the school district's 56833
technology plan specifies the use of these funds.56834

       Section 285.50. EDUCATION TECHNOLOGY56835

       The foregoing appropriation item 935-539, Education 56836
Technology, shall be used to provide funding to suppliers of 56837
information services to school districts for the provision of 56838
hardware, software, and staff development in support of 56839
educational uses of technology in the classroom as prescribed by 56840
the State Plan for Technology pursuant to section 3301.07 of the 56841
Revised Code, and to support assistive technology for children and 56842
youth with disabilities.56843

       Of the foregoing appropriation item 935-539, Education 56844
Technology, up to $4,139,551 in each fiscal year shall be used by 56845
eTech Ohio to contract with educational television to provide Ohio 56846
public schools with instructional resources and services with 56847
priority given to resources and services aligned with state 56848
academic content standards and such resources and services shall 56849
be based upon the advice and approval of eTech Ohio, based on a 56850
formula used by the Ohio SchoolNet Commission unless and until a 56851
substitute formula is developed by eTech Ohio in consultation with 56852
Ohio's educational technology agencies and noncommercial 56853
educational television stations.56854

       Resources may include, but not be limited to, the following: 56855
prerecorded video materials (including videotape, laser discs, and 56856
CD-ROM discs); computer software for student use or student access 56857
to electronic communication, databases, spreadsheet, and word 56858
processing capability; live student courses or courses delivered 56859
electronically; automated media systems; and instructional and 56860
professional development materials for teachers. eTech Ohio shall 56861
collaborate with public television stations and cooperate with 56862
education technology agencies in the acquisition, development, and 56863
delivery of these educational resources to ensure high-quality and 56864
educational soundness at the lowest possible cost. Delivery of 56865
these resources may utilize a variety of technologies, with a 56866
preference given to a high speed integrated information network 56867
that can transport video, voice, data, and graphics 56868
simultaneously.56869

       Services shall include presentations and technical assistance 56870
that will help students and teachers integrate educational 56871
materials that support curriculum objectives, match specific 56872
learning styles, and are appropriate for individual interests and 56873
ability levels.56874

       The instructional resources and services shall be made 56875
available for purchase by chartered nonpublic schools or by school 56876
districts for the benefit of pupils attending chartered nonpublic 56877
schools.56878

       eTech Ohio shall monitor the developments of technology, 56879
coordinate with the Office of Information Technology, and assure 56880
the most effective and highest quality operation of eTech Ohio 56881
networks. All efforts may be aligned with the State's ongoing 56882
efforts to coordinate appropriate network operations through the 56883
Office of Information Technology and through the Third Frontier 56884
Network.56885

       Section 285.60. TELECOMMUNITY56886

       The foregoing appropriation item 935-630, Telecommunity, 56887
shall be distributed by eTech Ohio on a grant basis to eligible 56888
school districts to establish "distance learning" through 56889
interactive video technologies in the school district. Per 56890
agreements with eight Ohio local telephone companies ALLTEL Ohio, 56891
CENTURY Telephone of Ohio, Chillicothe Telephone Company, 56892
Cincinnati Bell Telephone Company, Orwell Telephone Company, 56893
Sprint North Central Telephone, VERIZON, and Western Reserve 56894
Telephone Company, school districts are eligible for funds if they 56895
are within one of the listed telephone company service areas. 56896
Funds to administer the program shall be expended by eTech Ohio up 56897
to the amount specified in agreements with the listed telephone 56898
companies.56899

       Within thirty days after the effective date of this section, 56900
the Director of Budget and Management shall transfer to Fund 4W9 56901
in the State Special Revenue Fund Group any investment earnings 56902
from moneys paid by any telephone company as part of any 56903
settlement agreement between the listed companies and the Public 56904
Utilities Commission in fiscal years 1996 and beyond.56905

       DISTANCE LEARNING56906

       The foregoing appropriation item 935-634, Distance Learning, 56907
shall be distributed by eTech Ohio on a grant basis to eligible 56908
school districts to establish "distance learning" in the school 56909
district. Per the agreement with Ameritech, school districts are 56910
eligible for funds if they are within an Ameritech service area. 56911
Funds to administer the program shall be expended by eTech Ohio up 56912
to the amount specified in the agreement with Ameritech.56913

       Within thirty days after the effective date of this section, 56914
the Director of Budget and Management shall transfer to Fund 4X1 56915
in the State Special Revenue Fund Group any investment earnings 56916
from moneys paid by any telephone company as part of a settlement 56917
agreement between the company and the Public Utilities Commission 56918
in fiscal year 1995.56919

       GATES FOUNDATION GRANTS56920

       The foregoing appropriation item 935-607, Gates Foundation 56921
Grants, shall be used by eTech Ohio to provide professional 56922
development to school district principals, superintendents, and 56923
other administrative staff for the use of education technology.56924

       Section 287.10. ETH OHIO ETHICS COMMISSION56925

General Revenue Fund56926

GRF 146-321 Operating Expenses $ 1,863,028 $ 1,902,275 56927
TOTAL GRF General Revenue Fund $ 1,863,028 $ 1,902,275 56928

General Services Fund Group56929

4M6 146-601 Operating Expenses $ 432,543 $ 432,543 56930
TOTAL GSF General Services 56931
Fund Group $ 432,543 $ 432,543 56932
TOTAL ALL BUDGET FUND GROUPS $ 2,295,571 $ 2,334,818 56933


       Section 289.10. EXP OHIO EXPOSITIONS COMMISSION56935

General Revenue Fund56936

GRF 723-403 Junior Fair Subsidy $ 400,000 $ 400,000 56937
TOTAL GRF General Revenue Fund $ 400,000 $ 400,000 56938

State Special Revenue Fund Group56939

4N2 723-602 Ohio State Fair Harness Racing $ 520,000 $ 520,000 56940
506 723-601 Operating Expenses $ 13,643,315 $ 13,643,315 56941
640 723-603 State Fair Reserve $ 125,337 $ 0 56942
TOTAL SSR State Special Revenue 56943
Fund Group $ 14,288,652 $ 14,163,315 56944
TOTAL ALL BUDGET FUND GROUPS $ 14,688,652 $ 14,563,315 56945

       STATE FAIR RESERVE56946

       The foregoing appropriation item 723-603, State Fair Reserve, 56947
shall serve as a budget reserve fund for the Ohio Expositions 56948
Commission in the event of a significant decline in attendance 56949
because of inclement weather or extraordinary circumstances during 56950
the Ohio State Fair resulting in a loss of revenue. The State Fair 56951
Reserve Fund (Fund 640) may be used by the Ohio Expositions 56952
Commission to pay bills resulting from the Ohio State Fair only if 56953
all the following criteria are met:56954

       (A) Admission revenues for the 2007 Ohio State Fair are less 56955
than $2,025,000 or the admission revenues for the 2008 Ohio State 56956
Fair are less than $2,065,000 because of inclement weather or 56957
extraordinary circumstances. These amounts are ninety per cent of 56958
the projected revenues for each year.56959

       (B) The Ohio Expositions Commission declares a state of 56960
fiscal exigency and requests release of funds from the Director of 56961
Budget and Management.56962

       (C) The Director of Budget and Management releases the funds. 56963
The Director of Budget and Management may approve or disapprove 56964
the request for release of funds, may increase or decrease the 56965
amount of release, and may place conditions as the Director 56966
considers necessary on the use of the released funds. The Director 56967
of Budget and Management may transfer the appropriation from 56968
fiscal year 2008 to fiscal year 2009 as needed.56969

       In the event that the Ohio Expositions Commission faces a 56970
temporary cash shortage that will preclude it from meeting current 56971
obligations, the Commission may request the Director of Budget and 56972
Management to approve use of the State Fair Reserve Fund (Fund 56973
640) to meet those obligations. The request shall include a plan 56974
describing how the Commission will eliminate the cash shortage. If 56975
the Director of Budget and Management approves the expenditures, 56976
the Commission shall reimburse the State Fair Reserve Fund (Fund 56977
640) by the thirtieth day of June of that same fiscal year through 56978
an intrastate transfer voucher. The amount reimbursed is hereby 56979
appropriated.56980

       Section 291.10.  GOV OFFICE OF THE GOVERNOR56981

General Revenue Fund56982

GRF 040-321 Operating Expenses $ 3,754,045 $ 3,754,045 56983
GRF 040-403 Federal Relations $ 435,443 $ 435,443 56984
GRF 040-408 Office of Veterans' Affairs $ 287,000 $ 298,000 56985
TOTAL GRF General Revenue Fund $ 4,476,488 $ 4,487,488 56986

General Services Fund Group56987

5AK 040-607 Federal Relations $ 365,149 $ 365,149 56988
TOTAL GSF General Services Fund Group $ 365,149 $ 365,149 56989

TOTAL ALL BUDGET FUND GROUPS $ 4,841,637 $ 4,852,637 56990

       APPOINTMENT OF LEGAL COUNSEL FOR THE GOVERNOR56991

       The Governor may expend a portion of the foregoing56992
appropriation item 040-321, Operating Expenses, to hire or appoint56993
legal counsel to be used in proceedings involving the Governor in56994
the Governor's official capacity or the Governor's office only,56995
without the approval of the Attorney General, notwithstanding56996
sections 109.02 and 109.07 of the Revised Code.56997

       FEDERAL RELATIONS56998

       A portion of the foregoing appropriation items 040-403, 56999
Federal Relations, and 040-607, Federal Relations, may be used to 57000
support Ohio's membership in national or regional associations.57001

       The Office of the Governor may charge any state agency of the 57002
executive branch using an intrastate transfer voucher such amounts 57003
necessary to defray the costs incurred for the conduct of federal 57004
relations associated with issues that can be attributed to the 57005
agency. Amounts collected shall be deposited to the Office of the 57006
Governor Federal Relations Fund (Fund 5AK).57007

       Section 293.10. DOH DEPARTMENT OF HEALTH57008

General Revenue Fund57009

GRF 440-407 Animal Borne Disease and Prevention $ 2,327,101 $ 2,327,101 57010
GRF 440-412 Cancer Incidence Surveillance System $ 1,002,619 $ 1,002,619 57011
GRF 440-413 Local Health Department Support $ 3,786,794 $ 3,786,794 57012
GRF 440-416 Child and Family Health Services $ 10,047,874 $ 10,147,874 57013
GRF 440-418 Immunizations $ 9,400,615 $ 9,400,615 57014
GRF 440-431 Free Clinic Liability Insurance $ 125,000 $ 125,000 57015
GRF 440-437 Healthy Ohio $ 1,502,618 $ 2,855,553 57016
GRF 440-444 AIDS Prevention and Treatment $ 7,158,127 $ 7,158,127 57017
GRF 440-446 Infectious Disease Prevention $ 200,000 $ 200,000 57018
GRF 440-451 Lab and Public Health Prevention Programs $ 6,085,250 $ 6,085,250 57019
GRF 440-452 Child and Family Health Services Match $ 1,024,017 $ 1,024,017 57020
GRF 440-453 Health Care Quality Assurance $ 10,253,728 $ 10,253,728 57021
GRF 440-454 Local Environmental Health $ 889,752 $ 889,752 57022
GRF 440-459 Help Me Grow $ 10,923,397 $ 14,041,847 57023
GRF 440-505 Medically Handicapped Children $ 10,791,784 $ 10,791,784 57024
GRF 440-507 Targeted Health Care Services Over 21 $ 1,681,023 $ 1,681,023 57025
GRF 440-511 Uncompensated Care and Emergency Medical Assistance $ 0 $ 3,500,000 57026
TOTAL GRF General Revenue Fund $ 77,199,699 $ 85,271,084 57027

General Services Fund Group57028

142 440-646 Agency Health Services $ 3,461,915 $ 3,461,915 57029
211 440-613 Central Support Indirect Costs $ 28,884,707 $ 28,884,707 57030
473 440-622 Lab Operating Expenses $ 4,954,045 $ 4,954,045 57031
683 440-633 Employee Assistance Program $ 1,208,214 $ 1,208,214 57032
698 440-634 Nurse Aide Training $ 170,000 $ 170,000 57033
TOTAL GSF General Services 57034
Fund Group $ 38,678,881 $ 38,678,881 57035

Federal Special Revenue Fund Group57036

320 440-601 Maternal Child Health Block Grant $ 30,666,635 $ 30,666,635 57037
387 440-602 Preventive Health Block Grant $ 7,826,659 $ 7,826,659 57038
389 440-604 Women, Infants, and Children $ 230,077,451 $ 230,077,451 57039
391 440-606 Medicaid/Medicare $ 24,850,959 $ 24,850,959 57040
392 440-618 Federal Public Health Programs $ 136,778,215 $ 136,778,215 57041
TOTAL FED Federal Special Revenue 57042
Fund Group $ 430,199,919 $ 430,199,919 57043

State Special Revenue Fund Group57044

4D6 440-608 Genetics Services $ 3,317,000 $ 3,317,000 57045
4F9 440-610 Sickle Cell Disease Control $ 1,035,344 $ 1,035,344 57046
4G0 440-636 Heirloom Birth Certificate $ 5,000 $ 5,000 57047
4G0 440-637 Birth Certificate Surcharge $ 5,000 $ 5,000 57048
4L3 440-609 Miscellaneous Expenses $ 446,468 $ 446,468 57049
4T4 440-603 Child Highway Safety $ 233,894 $ 233,894 57050
4V6 440-641 Save Our Sight $ 1,767,994 $ 1,767,994 57051
470 440-647 Fee Supported Programs $ 27,946,243 $ 25,905,140 57052
471 440-619 Certificate of Need $ 869,000 $ 898,000 57053
477 440-627 Medically Handicapped Children Audit $ 3,693,016 $ 3,693,016 57054
5B5 440-616 Quality, Monitoring, and Inspection $ 838,479 $ 838,479 57055
5CB 440-640 Poison Control Centers $ 150,000 $ 150,000 57056
5CN 440-645 Choose Life $ 75,000 $ 75,000 57057
5C0 440-615 Alcohol Testing and Permit $ 1,455,405 $ 1,455,405 57058
5D6 440-620 Second Chance Trust $ 1,054,951 $ 1,054,951 57059
5EC 440-650 Health Emergency $ 15,312,500 $ 0 57060
5ED 440-651 Smoke Free Indoor Air $ 800,000 $ 800,000 57061
5G4 440-639 Adoption Services $ 20,000 $ 20,000 57062
5L1 440-623 Nursing Facility Technical Assistance Program $ 664,282 $ 698,595 57063
610 440-626 Radiation Emergency Response $ 850,000 $ 850,000 57064
666 440-607 Medically Handicapped Children - County Assessments $ 14,320,687 $ 14,320,687 57065
TOTAL SSR State Special Revenue 57066
Fund Group $ 74,860,263 $ 57,569,973 57067

Holding Account Redistribution Fund Group57068

R14 440-631 Vital Statistics $ 70,000 $ 70,000 57069
R48 440-625 Refunds, Grants Reconciliation, and Audit Settlements $ 20,000 $ 20,000 57070
TOTAL 090 Holding Account 57071
Redistribution Fund Group $ 90,000 $ 90,000 57072
TOTAL ALL BUDGET FUND GROUPS $ 621,028,762 $ 611,809,857 57073


       Section 293.20. CHILD AND FAMILY HEALTH SERVICES57075

       Of the foregoing appropriation item 440-416, Child and Family57076
Health Services, not more than $1,700,000 in each fiscal year 57077
shall be used for women's health services.57078

       Of the foregoing appropriation item 440-416, Child and Family57079
Health Services, not more than $270,000 shall be used in each 57080
fiscal year for the OPTIONS dental care access program.57081

       Of the foregoing appropriation item 440-416, Child and Family57082
Health Services, not more than $1,900,000 in fiscal year 2008 and 57083
$2,150,000 in fiscal year 2009 shall be used by federally 57084
qualified health centers and federally designated look-alikes to 57085
provide services to uninsured low-income persons.57086

       Of the foregoing appropriation item 440-416, Child and Family 57087
Health Services, not more than $500,000 in each fiscal year shall 57088
be used for abstinence and adoption education. The Director of 57089
Health shall develop guidelines for the establishment of 57090
abstinence and adoption education programs for teenagers with the 57091
purpose of decreasing unplanned pregnancies and abortion. The 57092
guidelines shall be developed pursuant to Title V of the "Social 57093
Security Act," 42 U.S.C. 510, and shall include, but are not 57094
limited to, advertising campaigns and direct training in schools 57095
and other locations.57096

       Of the foregoing appropriation item 440-416, Child and Family 57097
Health Services, $10,000 in each fiscal year shall be allocated to 57098
the Jewish Family Services in Cleveland, $10,000 in each fiscal 57099
year shall be allocated to the Jewish Family Services in 57100
Cincinnati, $10,000 shall be allocated in each fiscal year to the 57101
Jewish Family Services in Columbus, and $10,000 in each fiscal 57102
year shall be allocated to the Wexner Heritage Village in Columbus 57103
for interpreters for health care.57104

       Of the foregoing appropriation item 440-416, Child and Family 57105
Health Services, $10,000 in each fiscal year shall be provided to 57106
the Jewish Family Services in Dayton, $5,000 in each fiscal year 57107
shall be provided to the Jewish Community Center in Akron, $5,000 57108
in each fiscal year shall be provided to the Jewish Community 57109
Center in Sylvania, $2,500 in each fiscal year shall be provided 57110
to the Jewish Community Center in Youngstown, and $2,500 in each 57111
fiscal year shall be provided to the Jewish Community Center in 57112
Canton.57113

       Of the foregoing appropriation item 440-416, Child and Family 57114
Health Services, $16,667 in each fiscal year shall be allocated to 57115
the Yassenoff Jewish Community Center, $16,667 in each fiscal year 57116
shall be allocated to the Jewish Community Center in Cincinnati, 57117
and $16,666 in each fiscal year shall be allocated to the Jewish 57118
Community Center in Cleveland for children's health and nutrition 57119
camp programs.57120

       Of the foregoing appropriation item 440-416, Child and Family 57121
Health Services, $16,666 in each fiscal year shall be allocated to 57122
the Athens Community Center.57123

       Of the foregoing appropriation item 440-416, Child and Family 57124
Health Services, $500,000 in fiscal year 2008 and $300,000 in 57125
fiscal year 2009 shall be used for the establishment of the Autism 57126
Diagnosis Education Pilot Program. Not later than December 31, 57127
2008, the Director of Health shall compile and submit to the 57128
Governor and the General Assembly a written report describing the 57129
action taken under the Autism Diagnosis Education Pilot Program 57130
since the effective date of this section. Not later than December 57131
31, 2009, the Director shall compile and submit to the Governor 57132
and the General Assembly a written report describing the action 57133
taken under the Pilot Program since December 31, 2008.57134

       Of the foregoing appropriation item 440-416, Child and Family 57135
Health Services, $100,000 in each fiscal year shall be allocated 57136
to the Compdrug Teen Dating Violence Prevention Project in 57137
Franklin County.57138

       Of the foregoing appropriation item, 440-416, Child and 57139
Family Health Services, $2,500,000 in each fiscal year shall be 57140
used for breast and cervical cancer treatments.57141

       Section 293.25. COLLEGE PREGNANCY AND PARENTING OFFICES PILOT 57142
PROGRAM57143

        (A) As used in this section, "institution of higher 57144
education" means a public or private university or college in this 57145
state, including a community college or state community college.57146

        (B) The Director of Health shall conduct a pilot program in 57147
fiscal year 2009 for the purpose of awarding grants to up to four 57148
institutions of higher education to establish and operate on a 57149
selected institution's campus an office that provides support to 57150
students who are pregnant or who are the parents or legal 57151
guardians of one or more minors. Planning for the pilot program 57152
shall commence in fiscal year 2008.57153

        (C) An institution of higher education may apply for a grant 57154
by completing and submitting an application form supplied by the 57155
Director. The Director may require the institution to submit 57156
additional information after the Director has reviewed the 57157
application.57158

        (D) Before awarding a grant, the Director shall secure a 57159
written agreement in which the proposed grantee commits to doing 57160
all of the following:57161

        (1) Locating the office described in division (B) of this 57162
section on the campus of the institution.57163

        (2) Assessing the institution's performance in both of the 57164
following areas:57165

        (a) Offering health insurance plans to students that include 57166
coverage for prenatal and postpartum care and riders for the 57167
coverage of additional family members;57168

        (b) Providing services or items that meet the needs of 57169
students who are pregnant or who are the parents or legal 57170
guardians of one or more minors, including family housing, child 57171
care, flexible or alternative academic scheduling, education 57172
concerning responsible parenting and healthy marriages, maternity 57173
and infant clothing, formula and baby food, and baby furniture.57174

        (3) Identifying and establishing programs with public and 57175
private service providers located on campus and in the local 57176
community that are qualified to meet the needs described in 57177
division (D)(2)(b) of this section.57178

        (4) Assisting students in locating and obtaining services 57179
that meet the needs described in division (D)(2)(b) of this 57180
section.57181

        (5) Providing, on the request of an individual student, 57182
referrals for prenatal care and delivery, infant or foster care, 57183
or adoption. The office shall make referrals only to persons or 57184
governmental entities that primarily serve parents, prospective 57185
parents awaiting adoption, pregnant women who plan to parent or 57186
place a child for adoption, or married couples or couples that 57187
plan on marrying in order to provide a supportive environment for 57188
each other and one or more minors.57189

        (6) Providing, by a date determined by the Director, a 57190
written report to the Director that itemizes the office's 57191
expenditures during the fiscal year and meets the format or form 57192
established by the Director under division (E) of this section.57193

        (7) Providing, after the Director's review of the report 57194
described in division (D)(6) of this section, any additional 57195
information requested by the Director.57196

        (E) The Director shall establish a format or form for the 57197
written report that must be provided by an institution under 57198
division (D)(6) of this section. In establishing the format or 57199
form, the Director shall identify specific performance criteria 57200
the institution must address in the report.57201

        (F) The Director may adopt any rules necessary to implement 57202
this section. The rules shall be adopted in accordance with 57203
Chapter 119. of the Revised Code.57204

        (G) Of the foregoing appropriation item 440-416, Child and 57205
Family Health Services, $50,000 in fiscal year 2009 shall be used 57206
to make grants for the pilot program described in this section.57207

       Section 293.30. HEALTHY OHIO57208

       The Department of Health may use appropriation item 440-437, 57209
Healthy Ohio, to complete an inventory of prevention programs so 57210
that it may better target prevention funding, to fund programs to 57211
decrease minority health disparities, and to fund care 57212
coordination models to improve health outcomes for individuals 57213
with catastrophic health conditions.57214

       HIV/AIDS PREVENTION/TREATMENT57215

       Of the foregoing appropriation item 440-444, AIDS Prevention57216
and Treatment, not more than $6.7 million in each fiscal year57217
shall be used to assist persons with HIV/AIDS in acquiring57218
HIV-related medications.57219

       INFECTIOUS DISEASE PREVENTION57220

       The foregoing appropriation item 440-446, Infectious Disease 57221
Prevention, shall be used for the purchase of drugs for sexually 57222
transmitted diseases.57223

       HELP ME GROW57224

       The foregoing appropriation item 440-459, Help Me Grow, shall57225
be used by the Department of Health to distribute subsidies to57226
counties to implement the Help Me Grow Program. Appropriation item 57227
440-459, Help Me Grow, may be used in conjunction with Temporary 57228
Assistance for Needy Families from the Department of Job and 57229
Family Services, Early Intervention funding from the Department of 57230
Mental Retardation and Developmental Disabilities, and in 57231
conjunction with other early childhood funds and services to 57232
promote the optimal development of young children. Local contracts 57233
shall be developed between local departments of job and family 57234
services and family and children first councils for the57235
administration of TANF funding for the Help Me Grow Program. The57236
Department of Health shall enter into an interagency agreement57237
with the Department of Education, Department of Mental Retardation 57238
and Developmental Disabilities, Department of Job and Family 57239
Services, and Department of Mental Health to ensure that all early 57240
childhood programs and initiatives are coordinated and school 57241
linked.57242

       TARGETED HEALTH CARE SERVICES OVER 2157243

       In each fiscal year, of the foregoing appropriation item 57244
440-507, Targeted Health Care Services Over 21, $731,023 shall be 57245
used to administer the cystic fibrosis program and implement the 57246
Hemophilia Insurance Premium Payment Program.57247

       Of the foregoing appropriation item 440-507, Targeted Health 57248
Care Services Over 21, $900,000 in each fiscal year shall be used 57249
to provide essential medications and to pay the copayments for 57250
drugs approved by the Department of Health and covered by Medicare 57251
Part D that are dispensed to Bureau for Children with Medical 57252
Handicaps (BCMH) participants for the cystic fibrosis program. 57253
These funds also may be used, to the extent that funding is 57254
available, to provide up to 18 in-patient hospital days for 57255
participants in the cystic fibrosis program. The Department shall 57256
expend all of these earmarked funds.57257

       UNCOMPENSATED CARE AND EMERGENCY MEDICAL57258

       The foregoing appropriation item 440-511, Uncompensated Care 57259
and Emergency Medical Assistance, shall be used to fund programs 57260
that provide health care without ability to pay. This is not an 57261
entitlement program and services are offered only to the extent 57262
that funding is available.57263

       MATERNAL CHILD HEALTH BLOCK GRANT57264

        Of the foregoing appropriation item 440-601, Maternal Child 57265
Health Block Grant (Fund 320), $2,091,299 shall be used in each 57266
fiscal year for the purposes of abstinence and adoption education. 57267
The Director of Health shall develop guidelines for the 57268
establishment of abstinence and adoption education programs for 57269
teenagers with the purpose of decreasing unplanned pregnancies and 57270
abortion. The guidelines shall be developed under Title V of the 57271
"Social Security Act," 42 U.S.C. 510, and shall include, but are 57272
not limited to, advertising campaigns and direct training in 57273
schools and other locations.57274

       GENETICS SERVICES57275

       The foregoing appropriation item 440-608, Genetics Services57276
(Fund 4D6), shall be used by the Department of Health to57277
administer programs authorized by sections 3701.501 and 3701.50257278
of the Revised Code. None of these funds shall be used to counsel57279
or refer for abortion, except in the case of a medical emergency.57280

       MEDICALLY HANDICAPPED CHILDREN AUDIT57281

       The Medically Handicapped Children Audit Fund (Fund 477)57282
shall receive revenue from audits of hospitals and recoveries from57283
third-party payers. Moneys may be expended for payment of audit57284
settlements and for costs directly related to obtaining recoveries57285
from third-party payers and for encouraging Medically Handicapped57286
Children's Program recipients to apply for third-party benefits.57287
Moneys also may be expended for payments for diagnostic and57288
treatment services on behalf of medically handicapped children, as57289
defined in division (A) of section 3701.022 of the Revised Code,57290
and Ohio residents who are twenty-one or more years of age and who57291
are suffering from cystic fibrosis or hemophilia. Moneys may also 57292
be expended for administrative expenses incurred in operating the 57293
Medically Handicapped Children's Program.57294

       TRANSFER FROM STATE FIRE MARSHAL'S FUND (FUND 546) TO THE 57295
POISON CONTROL FUND (FUND 5CB) IN THE DEPARTMENT OF HEALTH57296

        Notwithstanding section 3737.71 of the Revised Code, on July 57297
1, 2007, or as soon as possible thereafter, the Director of Budget 57298
and Management shall transfer $150,000 cash from the State Fire 57299
Marshal's Fund (Fund 546) in the Department of Commerce to the 57300
Poison Control Fund (Fund 5CB) in the Department of Health. 57301
Notwithstanding section 3737.71 of the Revised Code, on July 1, 57302
2008, or as soon as possible thereafter, the Director of Budget 57303
and Management shall transfer $150,000 cash from the State Fire 57304
Marshal's Fund (Fund 546) in the Department of Commerce to the 57305
Poison Control Fund (Fund 5CB) in the Department of Health.57306

        POISON CONTROL CENTERS57307

        Of the foregoing appropriation item 440-640, Poison Control 57308
Centers, in each fiscal year, the poison control centers in the 57309
municipal corporations of Cleveland, Cincinnati, and Columbus 57310
shall each receive an allocation of $50,000.57311

       SECOND CHANCE TRUST57312

       Of the foregoing appropriation item 440-620, Second Chance 57313
Trust (Fund 5D6), $52,000 in fiscal year 2008 shall be earmarked 57314
for the Central Ohio Lions Eye Bank.57315

       CASH TRANSFER FROM LIQUOR CONTROL FUND TO ALCOHOL TESTING AND57316
PERMIT FUND57317

       The Director of Budget and Management, pursuant to a plan57318
submitted by the Department of Health, or as otherwise determined57319
by the Director of Budget and Management, shall set a schedule to57320
transfer cash from the Liquor Control Fund (Fund 043) to the57321
Alcohol Testing and Permit Fund (Fund 5C0) to meet the operating57322
needs of the Alcohol Testing and Permit program.57323

       The Director of Budget and Management shall transfer to the57324
Alcohol Testing and Permit Fund (Fund 5C0) from the Liquor Control57325
Fund (Fund 043) created in section 4301.12 of the Revised Code57326
such amounts at such times as determined by the transfer schedule.57327

       MEDICALLY HANDICAPPED CHILDREN - COUNTY ASSESSMENTS57328

       The foregoing appropriation item 440-607, Medically57329
Handicapped Children - County Assessments (Fund 666), shall be57330
used to make payments under division (E) of section 3701.023 of 57331
the Revised Code.57332

       Section 293.40. NURSING FACILITY TECHNICAL ASSISTANCE PROGRAM57333

       The Director of Budget and Management shall transfer, on July 57334
1, 2007, or as soon as possible thereafter, cash from Fund 4E3, 57335
Resident Protection Fund, in the Ohio Department of Job and Family 57336
Services, to Fund 5L1, Nursing Facility Technical Assistance 57337
Program Fund, in the Ohio Department of Health, to be used under 57338
section 3721.026 of the Revised Code. The transfers shall equal 57339
$410,111 in fiscal year 2008 and $698,595 in fiscal year 2009.57340

       CASH TRANSFER FROM FEDERAL PUBLIC HEALTH PROGRAMS FUND TO 57341
AGENCY HEALTH SERVICES FUND57342

       As soon as possible on or after July 1, 2007, the Director of 57343
Health shall certify to the Director of Budget and Management the 57344
amount of cash to be transferred from the Federal Public Health 57345
Programs Fund (Fund 392) to the Agency Health Services Fund (Fund 57346
142) to meet the operating needs of the Vital Statistics Program. 57347
The Director of Budget and Management shall transfer the amount 57348
certified.57349

       Section 295.10. HEF HIGHER EDUCATIONAL FACILITY COMMISSION57350

Agency Fund Group57351

461 372-601 Operating Expenses $ 16,819 $ 16,819 57352
TOTAL AGY Agency Fund Group $ 16,819 $ 16,819 57353
TOTAL ALL BUDGET FUND GROUPS $ 16,819 $ 16,819 57354


       Section 297.10. SPA COMMISSION ON HISPANIC/LATINO AFFAIRS57356

General Revenue Fund57357

GRF 148-100 Personal Services $ 160,121 $ 167,156 57358
GRF 148-200 Maintenance $ 40,000 $ 40,000 57359
GRF 148-402 Community Projects $ 500,000 $ 500,000 57360
TOTAL GRF General Revenue Fund $ 700,121 $ 707,156 57361

General Services Fund Group57362

601 148-602 Gifts and Miscellaneous $ 20,000 $ 20,000 57363
TOTAL GSF General Services 57364
Fund Group $ 20,000 $ 20,000 57365
TOTAL ALL BUDGET FUND GROUPS $ 720,121 $ 727,156 57366


       Section 299.10. OHS OHIO HISTORICAL SOCIETY57368

General Revenue Fund57369

GRF 360-501 Operating Subsidy $ 3,349,244 $ 3,349,252 57370
GRF 360-502 Site and Museum Operations $ 8,401,781 $ 8,401,788 57371
GRF 360-504 Ohio Preservation Office $ 417,516 $ 415,381 57372
GRF 360-505 National Afro-American Museum $ 754,884 $ 754,884 57373
GRF 360-506 Hayes Presidential Center $ 509,231 $ 509,231 57374
GRF 360-508 State Historical Grants $ 175,000 $ 175,000 57375
TOTAL GRF General Revenue Fund $ 13,607,656 $ 13,605,536 57376
TOTAL ALL BUDGET FUND GROUPS $ 13,607,656 $ 13,605,536 57377

       SUBSIDY APPROPRIATION57378

       Upon approval by the Director of Budget and Management, the57379
foregoing appropriation items shall be released to the Ohio57380
Historical Society in quarterly amounts that in total do not57381
exceed the annual appropriations. The funds and fiscal records of57382
the society for fiscal years 2008 and 2009 shall be examined by57383
independent certified public accountants approved by the Auditor57384
of State, and a copy of the audited financial statements shall be57385
filed with the Office of Budget and Management. The society shall57386
prepare and submit to the Office of Budget and Management the57387
following:57388

       (A) An estimated operating budget for each fiscal year of the 57389
biennium. The operating budget shall be submitted at or near the 57390
beginning of each calendar year.57391

       (B) Financial reports, indicating actual receipts and57392
expenditures for the fiscal year to date. These reports shall be57393
filed at least semiannually during the fiscal biennium.57394

       The foregoing appropriations shall be considered to be the57395
contractual consideration provided by the state to support the57396
state's offer to contract with the Ohio Historical Society under57397
section 149.30 of the Revised Code.57398

       HAYES PRESIDENTIAL CENTER57399

       If a United States government agency, including, but not57400
limited to, the National Park Service, chooses to take over the57401
operations or maintenance of the Hayes Presidential Center, in57402
whole or in part, the Ohio Historical Society shall make57403
arrangements with the National Park Service or other United States57404
government agency for the efficient transfer of operations or57405
maintenance.57406

       HISTORICAL GRANTS57407

        Of the foregoing appropriation item 360-508, State Historical 57408
Grants, $75,000 in each fiscal year shall be distributed to the 57409
Center for Holocaust and Humanity Education located at the Hebrew 57410
Union College-Jewish Institute of Religion in Cincinnati, $50,000 57411
in each fiscal year shall be distributed to the Western Reserve 57412
Historical Society, and $50,000 in each fiscal year shall be 57413
distributed to the Cincinnati Museum Center.57414

       PROCESSING FEES 57415

       The Ohio Historical Society shall not charge or retain an 57416
administrative, service, or processing fee for distributing money 57417
that the General Assembly appropriates to the Society for grants 57418
or subsidies that the Society provides to other entities for their 57419
site-related programs.57420

       Section 301.10.  REP OHIO HOUSE OF REPRESENTATIVES57421

General Revenue Fund57422

GRF 025-321 Operating Expenses $ 20,574,568 $ 20,574,568 57423
TOTAL GRF General Revenue Fund $ 20,574,568 $ 20,574,568 57424

General Services Fund Group57425

103 025-601 House Reimbursement $ 1,433,664 $ 1,433,664 57426
4A4 025-602 Miscellaneous Sales $ 37,849 $ 37,849 57427
TOTAL GSF General Services 57428
Fund Group $ 1,471,513 $ 1,471,513 57429
TOTAL ALL BUDGET FUND GROUPS $ 22,046,081 $ 22,046,081 57430

        OPERATING EXPENSES57431

       On July 1, 2007, or as soon as possible thereafter, the Chief 57432
Administrative Officer of the House of Representatives shall 57433
certify to the Director of Budget and Management the total fiscal 57434
year 2007 unencumbered appropriations in appropriation item 57435
025-321, Operating Expenses. The Chief Administrative Officer may 57436
direct the Director of Budget and Management to transfer an amount 57437
not to exceed the total fiscal year 2007 unencumbered 57438
appropriations to fiscal year 2008 for use within appropriation 57439
item 025-321, Operating Expenses. Additional appropriation 57440
authority equal to the amount certified by the Chief 57441
Administrative Officer is hereby appropriated to appropriation 57442
item 025-321, Operating Expenses, in fiscal year 2008.57443

        On July 1, 2008, or as soon as possible thereafter, the Chief 57444
Administrative Officer of the House of Representatives shall 57445
certify to the Director of Budget and Management the total fiscal 57446
year 2008 unencumbered appropriations in appropriation item 57447
025-321, Operating Expenses. The Chief Administrative Officer may 57448
direct the Director of Budget and Management to transfer an amount 57449
not to exceed the total fiscal year 2008 unencumbered 57450
appropriations to fiscal year 2009 for use within appropriation 57451
item 025-321, Operating Expenses. Additional appropriation 57452
authority equal to the amount certified by the Chief 57453
Administrative Officer is hereby appropriated to appropriation 57454
item 025-321, Operating Expenses, in fiscal year 2009.57455

       Section 303.10. HFA OHIO HOUSING FINANCE AGENCY57456

Agency Fund Group57457

5AZ 997-601 Housing Finance Agency Personal Services $ 9,750,953 $ 10,237,491 57458
TOTAL AGY Agency Fund Group $ 9,750,953 $ 10,237,491 57459
TOTAL ALL BUDGET FUND GROUPS $ 9,750,953 $ 10,237,491 57460


       Section 305.10. IGO OFFICE OF THE INSPECTOR GENERAL57462

General Revenue Fund57463

GRF 965-321 Operating Expenses $ 1,367,372 $ 1,437,901 57464
TOTAL GRF General Revenue Fund $ 1,367,372 $ 1,437,901 57465

General Services Fund Group57466

4Z3 965-602 Special Investigations $ 425,000 $ 425,000 57467
TOTAL GSF General Services Fund Group $ 425,000 $ 425,000 57468
TOTAL ALL BUDGET FUND GROUPS $ 1,792,372 $ 1,862,901 57469


       Section 307.10.  INS DEPARTMENT OF INSURANCE57471

Federal Special Revenue Fund Group57472

3U5 820-602 OSHIIP Operating Grant $ 1,100,000 $ 1,100,000 57473
TOTAL FED Federal Special 57474
Revenue Fund Group $ 1,100,000 $ 1,100,000 57475

State Special Revenue Fund Group57476

554 820-601 Operating Expenses - OSHIIP $ 553,750 $ 569,269 57477
554 820-606 Operating Expenses $ 23,350,236 $ 23,802,797 57478
555 820-605 Examination $ 7,639,581 $ 7,868,768 57479
TOTAL SSR State Special Revenue 57480
Fund Group $ 31,543,567 $ 32,240,834 57481
TOTAL ALL BUDGET FUND GROUPS $ 32,643,567 $ 33,340,834 57482

       MARKET CONDUCT EXAMINATION57483

       When conducting a market conduct examination of any insurer57484
doing business in this state, the Superintendent of Insurance may57485
assess the costs of the examination against the insurer. The57486
superintendent may enter into consent agreements to impose57487
administrative assessments or fines for conduct discovered that57488
may be violations of statutes or rules administered by the57489
superintendent. All costs, assessments, or fines collected shall57490
be deposited to the credit of the Department of Insurance57491
Operating Fund (Fund 554).57492

       EXAMINATIONS OF DOMESTIC FRATERNAL BENEFIT SOCIETIES57493

       The Director of Budget and Management, at the request of the 57494
Superintendent of Insurance, may transfer funds from the57495
Department of Insurance Operating Fund (Fund 554), established by57496
section 3901.021 of the Revised Code, to the Superintendent's57497
Examination Fund (Fund 555), established by section 3901.071 of57498
the Revised Code, only for expenses incurred in examining domestic57499
fraternal benefit societies as required by section 3921.28 of the57500
Revised Code.57501

       TRANSFER FROM FUND 554 TO GENERAL REVENUE FUND57502

        Not later than the thirty-first day of July each fiscal year, 57503
the Director of Budget and Management shall transfer $5,000,000 57504
from the Department of Insurance Operating Fund to the General 57505
Revenue Fund.57506

       Section 309.10. JFS DEPARTMENT OF JOB AND FAMILY SERVICES57507

General Revenue Fund57508

GRF 600-321 Support Services 57509
State $ 50,710,978 $ 52,496,413 57510
Federal $ 10,460,286 $ 11,290,237 57511
Support Services Total $ 61,171,264 $ 63,786,650 57512
GRF 600-410 TANF State $ 272,619,061 $ 272,619,061 57513
GRF 600-413 Child Care Match/Maintenance of Effort $ 84,120,596 $ 84,120,596 57514
GRF 600-416 Computer Projects 57515
State $ 115,701,181 $ 116,419,033 57516
Federal $ 21,548,144 $ 21,192,117 57517
Computer Projects Total $ 137,249,325 $ 137,611,150 57518
GRF 600-420 Child Support Administration $ 8,541,446 $ 10,641,446 57519
GRF 600-421 Office of Family Stability $ 4,614,932 $ 4,614,932 57520
GRF 600-423 Office of Children and Families $ 5,650,000 $ 5,900,000 57521
GRF 600-425 Office of Ohio Health Plans 57522
State $ 22,500,000 $ 22,500,000 57523
Federal $ 23,324,848 $ 23,418,368 57524
Office of Ohio Health Plans Total $ 45,824,848 $ 45,918,368 57525
GRF 600-502 Administration - Local $ 34,014,103 $ 34,014,103 57526
GRF 600-511 Disability Financial Assistance $ 24,028,480 $ 25,335,908 57527
GRF 600-512 Non-TANF Disaster Assistance $ 1,000,000 $ 1,000,000 57528
GRF 600-521 Entitlement Administration - Local $ 130,000,000 $ 130,000,000 57529
GRF 600-523 Children and Families Services $ 78,515,135 $ 78,515,135 57530
GRF 600-525 Health Care/Medicaid 57531
State $ 3,428,852,719 $ 3,558,124,242 57532
Federal $ 5,205,558,695 $ 5,707,943,410 57533
Health Care Total $ 8,634,411,414 $ 9,266,067,652 57534
GRF 600-526 Medicare Part D $ 254,397,401 $ 271,854,640 57535
GRF 600-528 Adoption Services 57536
State $ 40,043,266 $ 43,978,301 57537
Federal $ 44,081,243 $ 49,196,065 57538
Adoption Services Total $ 84,124,509 $ 93,174,366 57539
TOTAL GRF General Revenue Fund 57540
State $ 4,555,309,298 $ 4,712,133,810 57541
Federal $ 5,304,973,216 $ 5,813,040,197 57542
GRF Total $ 9,860,282,514 $ 10,525,174,007 57543

General Services Fund Group57544

4A8 600-658 Child Support Collections $ 26,680,794 $ 26,680,794 57545
4R4 600-665 BCII Services/Fees $ 36,974 $ 36,974 57546
5BG 600-653 Managed Care Assessment $ 210,655,034 $ 222,667,304 57547
5C9 600-671 Medicaid Program Support $ 80,120,048 $ 80,120,048 57548
5DL 600-639 Medicaid Revenue and Collections $ 51,966,785 $ 56,296,844 57549
5N1 600-677 County Technologies $ 1,000,000 $ 1,000,000 57550
5P5 600-692 Health Care Services $ 93,000,000 $ 62,000,000 57551
613 600-645 Training Activities $ 135,000 $ 135,000 57552
TOTAL GSF General Services 57553
Fund Group $ 463,594,635 $ 448,936,964 57554

Federal Special Revenue Fund Group57555

3AW 600-675 Faith Based Initiatives $ 1,000,000 $ 1,000,000 57556
3A2 600-641 Emergency Food Distribution $ 2,900,000 $ 3,500,000 57557
3D3 600-648 Children's Trust Fund Federal $ 2,040,524 $ 2,040,524 57558
3F0 600-623 Health Care Federal $ 1,209,188,383 $ 1,211,196,561 57559
3F0 600-650 Hospital Care Assurance Match $ 343,239,047 $ 343,239,047 57560
3G5 600-655 Interagency Reimbursement $ 1,469,763,073 $ 1,513,855,965 57561
3H7 600-617 Child Care Federal $ 207,269,463 $ 200,167,593 57562
3N0 600-628 IV-E Foster Care Maintenance $ 153,963,142 $ 153,963,142 57563
3S5 600-622 Child Support Projects $ 534,050 $ 534,050 57564
3V0 600-688 Workforce Investment Act $ 232,568,453 $ 233,082,144 57565
3V4 600-678 Federal Unemployment Programs $ 147,411,858 $ 152,843,414 57566
3V4 600-679 Unemployment Compensation Review Commission - Federal $ 3,092,890 $ 3,191,862 57567
3V6 600-689 TANF Block Grant $ 1,037,739,200 $ 1,085,861,099 57568
3W3 600-659 TANF/Title XX Transfer $ 9,782,101 $ 6,200,000 57569
327 600-606 Child Welfare $ 48,514,502 $ 47,947,309 57570
331 600-686 Federal Operating $ 53,963,318 $ 56,263,225 57571
384 600-610 Food Stamps and State Administration $ 160,237,060 $ 153,147,118 57572
385 600-614 Refugee Services $ 10,196,547 $ 11,057,826 57573
395 600-616 Special Activities/Child and Family Services $ 5,723,131 $ 5,717,151 57574
396 600-620 Social Services Block Grant $ 114,479,464 $ 114,474,085 57575
396 600-651 Second Harvest Food Banks $ 5,500,000 $ 5,500,000 57576
397 600-626 Child Support $ 303,661,307 $ 303,538,962 57577
398 600-627 Adoption Maintenance/ Administration $ 318,172,168 $ 317,483,676 57578
TOTAL FED Federal Special Revenue 57579
Fund Group $ 5,840,939,681 $ 5,925,804,753 57580

State Special Revenue Fund Group57581

198 600-647 Children's Trust Fund $ 6,788,522 $ 6,788,522 57582
4A9 600-607 Unemployment Compensation Administration Fund $ 12,273,062 $ 12,188,996 57583
4A9 600-694 Unemployment Compensation Review Commission $ 1,726,938 $ 1,811,004 57584
4E3 600-605 Nursing Home Assessments $ 4,759,914 $ 4,759,914 57585
4E7 600-604 Child and Family Services Collections $ 300,000 $ 300,000 57586
4J5 600-613 Nursing Facility Bed Assessments $ 34,613,984 $ 34,613,984 57587
4J5 600-618 Residential State Supplement Payments $ 15,700,000 $ 15,700,000 57588
4K1 600-621 ICF/MR Bed Assessments $ 19,332,437 $ 19,332,437 57589
4R3 600-687 Banking Fees $ 800,000 $ 800,000 57590
4Z1 600-625 HealthCare Compliance $ 10,000,000 $ 10,000,000 57591
5DB 600-637 Military Injury Grants $ 2,000,000 $ 2,000,000 57592
5ES 600-630 Food Assistance $ 500,000 $ 500,000 57593
5F2 600-667 Building Consolidation $ 250,000 $ 250,000 57594
5F3 600-668 Building Consolidation $ 1,000,000 $ 1,000,000 57595
5Q9 600-619 Supplemental Inpatient Hospital Payments $ 56,125,998 $ 56,125,998 57596
5R2 600-608 Medicaid-Nursing Facilities $ 175,000,000 $ 175,000,000 57597
5S3 600-629 MR/DD Medicaid Administration and Oversight $ 1,620,960 $ 1,620,960 57598
5U3 600-654 Health Care Services Administration $ 9,867,284 $ 12,000,349 57599
5U6 600-663 Children and Family Support $ 4,928,718 $ 4,928,718 57600
5Z9 600-672 TANF Quality Control Reinvestments $ 520,971 $ 546,254 57601
651 600-649 Hospital Care Assurance Program Fund $ 231,893,404 $ 231,893,404 57602
TOTAL SSR State Special Revenue 57603
Fund Group $ 590,002,192 $ 592,160,540 57604

Agency Fund Group57605

192 600-646 Support Intercept - Federal $ 110,000,000 $ 110,000,000 57606
5B6 600-601 Food Stamp Intercept $ 2,000,000 $ 2,000,000 57607
583 600-642 Support Intercept - State $ 16,000,000 $ 16,000,000 57608
TOTAL AGY Agency Fund Group $ 128,000,000 $ 128,000,000 57609

Holding Account Redistribution Fund Group57610

R12 600-643 Refunds and Audit Settlements $ 3,600,000 $ 3,600,000 57611
R13 600-644 Forgery Collections $ 10,000 $ 10,000 57612
TOTAL 090 Holding Account Redistribution Fund Group $ 3,610,000 $ 3,610,000 57613
TOTAL ALL BUDGET FUND GROUPS $ 16,886,429,022 $ 17,623,686,264 57614


       Section 309.20. SUPPORT SERVICES57616

       Section 309.20.10. GOVERNOR'S OFFICE OF FAITH-BASED AND 57617
COMMUNITY INITIATIVES57618

       Of the foregoing appropriation item 600-321, Support 57619
Services, up to $312,500 per fiscal year may be used to support 57620
the activities of the Governor's Office of Faith-Based and 57621
Community Initiatives.57622

       Section 309.20.30. AGENCY FUND GROUP57623

       The Agency Fund Group and Holding Account Redistribution Fund 57624
Group shall be used to hold revenues until the appropriate fund is 57625
determined or until the revenues are directed to the appropriate57626
governmental agency other than the Department of Job and Family 57627
Services. If it is determined that additional appropriation 57628
authority is necessary, such amounts are hereby appropriated.57629

       Section 309.30. MEDICAID57630

       Section 309.30.10. HEALTH CARE/MEDICAID57631

       The foregoing appropriation item 600-525, Health 57632
Care/Medicaid, shall not be limited by section 131.33 of the 57633
Revised Code.57634

       Section 309.30.13. CHILDREN'S HOSPITALS57635

        The Department of Job and Family Services shall submit to the 57636
United States Secretary of Health and Human Services an amendment 57637
to the State Medicaid Plan for the purpose of requesting federal 57638
approval to create a program under which the Department makes 57639
supplemental Medicaid payments to children's hospitals for 57640
inpatient services based on federal upper payment limits for 57641
children's hospitals. On receipt of federal approval, the 57642
Department shall implement the program. Under the program, the 57643
Department shall pay children's hospitals the federally allowable 57644
supplemental payment for hospital discharges qualifying for the 57645
program and occurring in fiscal year 2008 and fiscal year 2009.57646

        Of the foregoing appropriation item, 600-525, Health 57647
Care/Medicaid, up to $6 million (state share) in each fiscal year 57648
plus the corresponding federal match, if available, shall be used 57649
by the Department to pay the expenses of the program created under 57650
this section.57651

       Section 309.30.16. MEDICAID RESERVE FUND57652

        The Medicaid Reserve Fund is hereby created in the state 57653
treasury.57654

        Not later than July 31, 2007, or as soon as possible 57655
thereafter, the Director of Budget and Management shall transfer, 57656
for fiscal year 2008, $100,000,000 in cash from the General 57657
Revenue Fund to the Medicaid Reserve Fund.57658

        If at any time during fiscal year 2008 the Director of Budget 57659
and Management determines that additional appropriations are 57660
needed in appropriation item 600-525, Health Care/Medicaid, to 57661
fund the Medicaid Program, the Director of Budget and Management 57662
may submit a request to the Controlling Board to transfer cash 57663
from the Medicaid Reserve Fund. The request shall state the 57664
reasons for the transfer and the additional amounts being 57665
requested. The request shall be submitted at a regularly scheduled 57666
meeting of the Controlling Board. If the Controlling Board 57667
approves the transfer, the Director of Budget and Management shall 57668
transfer the approved amount of cash from the Medicaid Reserve 57669
Fund to the General Revenue Fund and increase the state share of 57670
appropriations in appropriation item 600-525, Health 57671
Care/Medicaid, and adjust the federal share accordingly. Any such 57672
transfers and adjustments are hereby appropriated.57673

        At the end of fiscal year 2008, the Director of Budget and 57674
Management shall transfer from the Medicaid Reserve Fund all the 57675
cash balance, including any interest earnings, in excess of any 57676
transfers approved by the Controlling Board to the credit of the 57677
General Revenue Fund. The Director of Budget and Management shall 57678
make transfers to the Budget Stabilization Fund or the Income Tax 57679
Reduction Fund in accordance with section 131.44 of the Revised 57680
Code.57681

        Not later than July 31, 2008, or as soon as possible 57682
thereafter, the Director of Budget and Management shall transfer, 57683
for fiscal year 2009, $185,000,000 in cash from the General 57684
Revenue Fund to the Medicaid Reserve Fund.57685

        If at any time during fiscal year 2009 the Director of Budget 57686
and Management determines that additional appropriations are 57687
needed in appropriation item 600-525, Health Care/Medicaid, to 57688
fund the Medicaid Program, the Director of Budget and Management 57689
may submit a request to the Controlling Board to transfer cash 57690
from the Medicaid Reserve Fund. The request shall state the 57691
reasons for the transfer and the additional amounts being 57692
requested. The request shall be submitted at a regularly scheduled 57693
meeting of the Controlling Board. If the Controlling Board 57694
approves the transfer, the Director of Budget and Management shall 57695
transfer the approved amount of cash from the Medicaid Reserve 57696
Fund to the General Revenue Fund and increase the state share of 57697
appropriations in appropriation item 600-525, Health 57698
Care/Medicaid, and adjust the federal share accordingly. Any such 57699
transfers and adjustments are hereby appropriated.57700

        At the end of fiscal year 2009, the Director of Budget and 57701
Management shall transfer from the Medicaid Reserve Fund all the 57702
cash balance, including any interest earnings, in excess of any 57703
transfers approved by the Controlling Board to the credit of the 57704
General Revenue Fund. The Director of Budget and Management shall 57705
make transfers to the Budget Stabilization Fund and the Income Tax 57706
Reduction Fund in accordance with section 131.44 of the Revised 57707
Code.57708

       Section 309.30.20. FISCAL YEAR 2008 MEDICAID REIMBURSEMENT 57709
SYSTEM FOR NURSING FACILITIES57710

       (A) As used in this section:57711

       "Franchise permit fee," "Medicaid days," "nursing facility," 57712
and "provider" have the same meanings as in section 5111.20 of the 57713
Revised Code.57714

       "Nursing facility services" means nursing facility services 57715
covered by the Medicaid program that a nursing facility provides 57716
to a resident of the nursing facility who is a Medicaid recipient 57717
eligible for Medicaid-covered nursing facility services.57718

       (B) Except as otherwise provided by this section, the 57719
provider of a nursing facility that has a valid Medicaid provider 57720
agreement on June 30, 2007, and a valid Medicaid provider 57721
agreement during fiscal year 2008 shall be paid, for nursing 57722
facility services the nursing facility provides during fiscal year 57723
2008, the rate calculated for the nursing facility under sections 57724
5111.20 to 5111.33 of the Revised Code with the following 57725
adjustments:57726

       (1) The cost per case mix-unit calculated under section 57727
5111.231 of the Revised Code, the rate for ancillary and support 57728
costs calculated under section 5111.24 of the Revised Code, the 57729
rate for capital costs calculated under section 5111.25 of the 57730
Revised Code, and the rate for tax costs calculated under section 57731
5111.242 of the Revised Code shall each be adjusted as follows:57732

       (a) Increase the cost and rates so calculated by two per 57733
cent;57734

       (b) Increase the cost and rates determined under division 57735
(B)(1)(a) of this section by two per cent;57736

       (c) Increase the cost and rates determined under division 57737
(B)(1)(b) of this section by two and eight-tenths per cent.57738

       (2) The mean payment used in the calculation of the quality 57739
incentive payment made under section 5111.244 of the Revised Code 57740
shall be, weighted by Medicaid days, three dollars and six cents 57741
per Medicaid day.57742

       (C) If the rate determined for a nursing facility under 57743
division (B) of this section for nursing facility services 57744
provided during fiscal year 2008 is more than one hundred three 57745
and fifty-five one-hundredths per cent of the rate the provider is 57746
paid for nursing facility services the nursing facility provides 57747
on June 30, 2007, the Department of Job and Family Services shall 57748
reduce the nursing facility's fiscal year 2008 rate so that the 57749
rate is not more than one hundred three and fifty-five hundredths 57750
per cent of the nursing facility's rate for June 30, 2007. If the 57751
rate determined for a nursing facility under division (B) of this 57752
section for nursing facility services provided during fiscal year 57753
2008 is less than the rate the provider is paid for nursing 57754
facility services the nursing facility provides on June 30, 2007, 57755
the Department shall increase the nursing facility's fiscal year 57756
2008 rate so that the rate is not less than the nursing facility's 57757
rate for June 30, 2007.57758

       (D) If the United States Centers for Medicare and Medicaid 57759
Services requires that the franchise permit fee be reduced or 57760
eliminated, the Department of Job and Family Services shall reduce 57761
the amount it pays providers of nursing facility services under 57762
this section as necessary to reflect the loss to the state of the 57763
revenue and federal financial participation generated from the 57764
franchise permit fee.57765

       (E) The Department of Job and Family Services shall follow 57766
this section in determining the rate to be paid to the provider of 57767
a nursing facility that has a valid Medicaid provider agreement on 57768
June 30, 2007, and a valid Medicaid provider agreement during 57769
fiscal year 2008 notwithstanding anything to the contrary in 57770
sections 5111.20 to 5111.33 of the Revised Code.57771

       Section 309.30.30.  FISCAL YEAR 2009 MEDICAID REIMBURSEMENT 57772
SYSTEM FOR NURSING FACILITIES57773

       (A) As used in this section:57774

       "Franchise permit fee," "Medicaid days," "nursing facility," 57775
and "provider" have the same meanings as in section 5111.20 of the 57776
Revised Code.57777

       "Nursing facility services" means nursing facility services 57778
covered by the Medicaid program that a nursing facility provides 57779
to a resident of the nursing facility who is a Medicaid recipient 57780
eligible for Medicaid-covered nursing facility services.57781

       (B) Except as otherwise provided by this section, the 57782
provider of a nursing facility that has a valid Medicaid provider 57783
agreement on June 30, 2008, and a valid Medicaid provider 57784
agreement during fiscal year 2009 shall be paid, for nursing 57785
facility services the nursing facility provides during fiscal year 57786
2009, the rate calculated for the nursing facility under sections 57787
5111.20 to 5111.33 of the Revised Code with the following 57788
adjustments:57789

       (1) The cost per case mix-unit calculated under section 57790
5111.231 of the Revised Code, the rate for ancillary and support 57791
costs calculated under section 5111.24 of the Revised Code, the 57792
rate for capital costs calculated under section 5111.25 of the 57793
Revised Code, and the rate for tax costs calculated under section 57794
5111.242 of the Revised Code shall each be adjusted as follows:57795

       (a) Increase the cost and rates so calculated by two per 57796
cent;57797

       (b) Increase the cost and rates determined under division 57798
(B)(1)(a) of this section by two per cent;57799

       (c) Increase the cost and rates determined under division 57800
(B)(1)(b) of this section by two and eight-tenths per cent;57801

       (d) Increase the cost and rates determined under division 57802
(B)(1)(c) of this section by one half of a per cent.57803

       (2) The mean payment used in the calculation of the quality 57804
incentive payment made under section 5111.244 of the Revised Code 57805
shall be, weighted by Medicaid days, three dollars and twelve 57806
cents per Medicaid day.57807

       (C) If the rate determined for a nursing facility under 57808
division (B) of this section for nursing facility services 57809
provided during fiscal year 2009 is more than the rate the 57810
provider is paid for nursing facility services the nursing 57811
facility provides on June 30, 2008, the Department of Job and 57812
Family Services shall reduce the nursing facility's fiscal year 57813
2009 rate so that the rate is not more than the nursing facility's 57814
rate for June 30, 2008. If the rate determined for a nursing 57815
facility under division (B) of this section for nursing facility 57816
services provided during fiscal year 2009 is less than the rate 57817
the provider is paid for nursing facility services the nursing 57818
facility provides on June 30, 2008, the Department shall increase 57819
the nursing facility's fiscal year 2009 rate so that the rate is 57820
not less than the nursing facility's rate for June 30, 2008.57821

       (D) If the United States Centers for Medicare and Medicaid 57822
Services requires that the franchise permit fee be reduced or 57823
eliminated, the Department of Job and Family Services shall reduce 57824
the amount it pays providers of nursing facility services under 57825
this section as necessary to reflect the loss to the state of the 57826
revenue and federal financial participation generated from the 57827
franchise permit fee.57828

       (E) The Department of Job and Family Services shall follow 57829
this section in determining the rate to be paid to the provider of 57830
a nursing facility that has a valid Medicaid provider agreement on 57831
June 30, 2008, and a valid Medicaid provider agreement during 57832
fiscal year 2009 notwithstanding anything to the contrary in 57833
sections 5111.20 to 5111.33 of the Revised Code.57834

       Section 309.30.40. FISCAL YEARS 2008 AND 2009 MEDICAID 57835
REIMBURSEMENT SYSTEM FOR ICFs/MR57836

       (A) As used in this section:57837

       "Intermediate care facility for the mentally retarded" has 57838
the same meaning as in section 5111.20 of the Revised Code.57839

       "Medicaid days" means all days during which a resident who is 57840
a Medicaid recipient occupies a bed in an intermediate care 57841
facility for the mentally retarded that is included in the 57842
facility's Medicaid-certified capacity. Therapeutic or hospital 57843
leave days for which payment is made under section 5111.33 of the 57844
Revised Code are considered Medicaid days proportionate to the 57845
percentage of the intermediate care facility for the mentally 57846
retarded's per resident per day rate paid for those days.57847

       "Per diem rate" means the per diem rate calculated pursuant 57848
to sections 5111.20 to 5111.33 of the Revised Code.57849

       (B) Notwithstanding sections 5111.20 to 5111.33 of the 57850
Revised Code, rates paid to intermediate care facilities for the 57851
mentally retarded under the Medicaid program shall be subject to 57852
the following limitations:57853

       (1) For fiscal year 2008, the mean total per diem rate for 57854
all intermediate care facilities for the mentally retarded in the 57855
state, weighted by May 2007 Medicaid days and calculated as of 57856
July 1, 2007, shall not exceed $266.14.57857

       (2) For fiscal year 2009, the mean total per diem rate for 57858
all intermediate care facilities for the mentally retarded in the 57859
state, weighted by May 2008 Medicaid days and calculated as of 57860
July 1, 2008, shall not exceed $271.46.57861

       (3) If the mean total per diem rate for all intermediate care 57862
facilities for the mentally retarded in the state for fiscal year 57863
2008 or 2009, weighted by Medicaid days as specified in division 57864
(B)(1) or (2) of this section, as appropriate, and calculated as 57865
of the first day of July of the calendar year in which the fiscal 57866
year begins, exceeds the amount specified in division (B)(1) or 57867
(2) of this section, as applicable, the Department of Job and 57868
Family Services shall reduce the total per diem rate for each 57869
intermediate care facility for the mentally retarded in the state 57870
by a percentage that is equal to the percentage by which the mean 57871
total per diem rate exceeds the amount specified in division 57872
(B)(1) or (2) of this section for that fiscal year.57873

       (4) Subsequent to any reduction required by division (B)(3) 57874
of this section, the rate of an intermediate care facility for the 57875
mentally retarded shall not be subject to any adjustments 57876
authorized by sections 5111.20 to 5111.33 of the Revised Code 57877
during the remainder of the year.57878

       Section 309.30.45. INCREASE IN MEDICAID RATES FOR PASSPORT 57879
SERVICES57880

        As used in this section, "PASSPORT program" means the program 57881
created under section 173.40 of the Revised Code.57882

        The Director of Job and Family Services shall amend the rules 57883
adopted under section 5111.85 of the Revised Code as necessary to 57884
accomplish the following:57885

        (A) Increase, for fiscal year 2008, the Medicaid 57886
reimbursement rates for services provided under the PASSPORT 57887
program to rates that result in an amount that is three per cent 57888
higher than the amount resulting from the rates in effect June 30, 57889
2007.57890

        (B) Increase, for fiscal year 2009, the Medicaid 57891
reimbursement rates for services provided under the PASSPORT 57892
program to rates that result in an amount that is three per cent 57893
higher than the amount resulting from the rates in effect June 30, 57894
2008.57895

       Section 309.30.50. HOME FIRST PROGRAM57896

       (A) As used in this section:57897

       (1) "Area agency on aging" has the same meaning as in section 57898
173.14 of the Revised Code.57899

       (2) "Long-Term Care Consultation Program" means the program 57900
the Department of Aging is required to develop under section 57901
173.42 of the Revised Code.57902

       (3) "Long-Term Care Consultation Program administrator" or 57903
"administrator" means the Department of Aging or, if the 57904
Department contracts with an area agency on aging or other entity 57905
to administer the Long-Term Care Consultation Program for a 57906
particular area, that agency or entity.57907

       (4) "Nursing facility" has the same meaning as in section 57908
5111.20 of the Revised Code.57909

       (5) "PASSPORT program" means the program created under 57910
section 173.40 of the Revised Code.57911

       (B) Each month during fiscal years 2008 and 2009, each area 57912
agency on aging shall determine whether individuals who reside in 57913
the area that the area agency on aging serves and are on a waiting 57914
list for the PASSPORT program have been admitted to a nursing 57915
facility. If an area agency on aging determines that such an 57916
individual has been admitted to a nursing facility, the agency 57917
shall notify the Long-Term Care Consultation Program administrator 57918
serving the area in which the individual resides about the 57919
determination. The administrator shall determine whether the 57920
PASSPORT program is appropriate for the individual and whether the 57921
individual would rather participate in the PASSPORT program than 57922
continue residing in the nursing facility. If the administrator 57923
determines that the PASSPORT program is appropriate for the 57924
individual and the individual would rather participate in the 57925
PASSPORT program than continue residing in the nursing facility, 57926
the administrator shall so notify the Department of Aging. On 57927
receipt of the notice from the administrator, the Department of 57928
Aging shall approve the enrollment of the individual in the 57929
PASSPORT program regardless of whether other individuals who are 57930
not in a nursing facility are ahead of the individual on the 57931
PASSPORT program's waiting list. Each quarter, the Department of 57932
Aging shall certify to the Director of Budget and Management the 57933
increase in costs of the PASSPORT program based on the total 57934
expenditures made for the individuals enrolled in the PASSPORT 57935
program pursuant to this section.57936

       (C) On a quarterly basis, on receipt of the certified 57937
expenditures, the Director of Budget and Management may do all of 57938
the following:57939

       (1) Transfer the state share of the amount of the actual 57940
expenditures from GRF appropriation item 600-525, Health 57941
Care/Medicaid, to GRF appropriation item 490-403, PASSPORT;57942

       (2) Increase the appropriation in Ohio Department of Aging 57943
Fund 3C4, appropriation item 490-607, PASSPORT, by the federal 57944
share of the amount of the actual expenditures;57945

       (3) Increase the appropriation in JFS Fund 3G5, appropriation 57946
item 600-655, Interagency Reimbursement, by the federal share of 57947
the amount of the actual expenditures.57948

       The funds that the Director of Budget and Management 57949
transfers and increases under this division are hereby 57950
appropriated.57951

       (D) The individuals placed in the PASSPORT program pursuant 57952
to this section shall be in addition to the individuals placed in 57953
the PASSPORT program during fiscal years 2008 and 2009 based on 57954
the amount of money that is in GRF appropriation item 490-403, 57955
PASSPORT; Fund 4J4, appropriation item 490-610, 57956
PASSPORT/Residential State Supplement; Fund 4U9, appropriation 57957
item 490-602, PASSPORT Fund; and Fund 3C4, appropriation item 57958
490-607, PASSPORT, before any transfers to GRF appropriation item 57959
490-403, PASSPORT, and Fund 3C4, appropriation item 490-607, 57960
PASSPORT, are made under this section.57961

       Section 309.30.60. MEDICAID COVERAGE OF CHIROPRACTIC SERVICES57962

        (A) As used in this section, "adult Medicaid recipient" means 57963
a Medicaid recipient twenty-two years of age or older.57964

        (B) For the period beginning January 1, 2009, and ending June 57965
30, 2009, and subject to division (C) of this section, the 57966
Medicaid Program shall cover chiropractic services for adult 57967
Medicaid recipients in an amount, duration, and scope specified in 57968
rules that the Director of Job and Family Services shall adopt 57969
under section 5111.02 of the Revised Code.57970

        (C) The Medicaid Program's coverage of chiropractic services 57971
under this section shall be limited as follows:57972

        (1) Fifteen visits per adult Medicaid recipient per fiscal 57973
year;57974

       (2) The total costs of coverage under this section may not 57975
exceed $5,000,000 per fiscal year.57976

       Section 309.30.70. MONEY FOLLOWS THE PERSON57977

        (A) Subject to division (B) of this section, the Director of 57978
Budget and Management may do any of the following in support of 57979
any home and community-based services waiver program:57980

       (1) Create new funds and account appropriation items to 57981
support and track funds associated with a unified long-term care 57982
budget;57983

       (2) Transfer funds among affected agencies and adjust 57984
corresponding appropriation levels;57985

       (3) Develop a reporting mechanism to show clearly how the 57986
funds are being transferred and expended.57987

       (B) Before an action may be taken under division (A) of this 57988
section, the Director shall present the proposed action to the 57989
Controlling Board. The Controlling Board shall review the proposed 57990
action and either approve or disapprove the action. The Director 57991
shall not implement the proposed action unless the action is 57992
approved by the Controlling Board.57993

       Section 309.30.90. MEDICAID ELIGIBILITY FOR PREGNANT WOMEN57994

       The Director of Job and Family Services shall, not later than 57995
ninety days after the effective date of this section, submit to 57996
the United States Secretary of Health and Human Services an 57997
amendment to the state Medicaid plan to increase to two hundred 57998
per cent of the federal poverty guidelines the income limit 57999
specified in division (A)(2) of section 5111.014 of the Revised 58000
Code. The increase shall be implemented not earlier than January 58001
1, 2008.58002

       Section 309.31.10. MEDICARE PART D58003

       The foregoing appropriation item 600-526, Medicare Part D, 58004
may be used by the Department of Job and Family Services for the 58005
implementation and operation of the Medicare Part D requirements 58006
contained in the "Medicare Prescription Drug, Improvement, and 58007
Modernization Act of 2003," Pub. L. No. 108-173, as amended. Upon 58008
the request of the Department of Job and Family Services, the 58009
Director of Budget and Management may increase the state share of 58010
appropriations in either appropriation item 600-525, Health 58011
Care/Medicaid, or appropriation item 600-526, Medicare Part D, 58012
with a corresponding decrease in the state share of the other 58013
appropriation item to allow the Department of Job and Family 58014
Services to implement and operate the new Medicare Part D 58015
requirements. If the state share of appropriation item 600-525, 58016
Health Care/Medicaid, is adjusted, the Director of Budget and 58017
Management shall adjust the federal share accordingly.58018

       Section 309.31.20. RESIDENT PROTECTION FUND58019

       If the Director of Budget and Management determines that the 58020
Resident Protection Fund created in section 5111.62 of the Revised 58021
Code has a cash balance, less encumbrances and appropriations, of 58022
more than $2,000,000, the Department of Job and Family Services or 58023
its designee may issue a competitive request for grant proposals 58024
to support projects that will benefit the residents of nursing 58025
facilities that have been found to have deficiencies. The 58026
directors of Job and Family Services, Health, and Aging or their 58027
designees shall determine priority categories for funding, make 58028
awards, and determine which of the three agencies should 58029
administer each grant. Based on these determinations, the Director 58030
of Budget and Management may transfer cash and appropriations 58031
matching the amount of each award to the appropriate agency. Any 58032
such transfers are hereby appropriated.58033

       Section 309.31.30. OHIO ACCESS SUCCESS PROJECT58034

       Notwithstanding any limitations in sections 3721.51 and58035
3721.56 of the Revised Code, in each fiscal year, cash from Fund 58036
4J5, Home and Community-Based Services for the Aged, in excess of 58037
the amounts needed for the transfers may be used by the Department 58038
of Job and Family Services for the following purposes: (A) up to 58039
$1.0 million in each fiscal year to fund the state share of audits 58040
of nursing facilities and intermediate care facilities for the 58041
mentally retarded; and (B) up to $350,000 in each fiscal year to 58042
provide one-time transitional benefits under the Ohio Access 58043
Success Project that the Director of Job and Family Services may 58044
establish under section 5111.88 of the Revised Code.58045

       Section 309.31.40.  TRANSFER OF FUNDS TO THE DEPARTMENT OF 58046
AGING58047

       The Department of Job and Family Services shall transfer,58048
through intrastate transfer vouchers, cash from Fund 4J5, Home and 58049
Community-Based Services for the Aged, to Fund 4J4, PASSPORT, in 58050
the Department of Aging. The sum of the transfers shall be 58051
$33,263,984 in each fiscal year. The transfer may occur on a58052
quarterly basis or on a schedule developed and agreed to by both58053
departments.58054

       Section 309.31.50. PROVIDER FRANCHISE FEE OFFSETS58055

       (A) At least quarterly, the Director of Job and Family 58056
Services shall certify to the Director of Budget and Management 58057
both of the following:58058

       (1) The amount of offsets withheld under section 3721.541 of 58059
the Revised Code from payments made from the General Revenue Fund. 58060

       (2) The amount of offsets withheld under section 5112.341 of 58061
the Revised Code from payments made from the General Revenue Fund.58062

       (B) The Director of Budget and Management may transfer cash 58063
from the General Revenue Fund to all of the following:58064

       (1) Fund 4J5, Home and Community Based Services/Aged Fund, or 58065
Fund 5R2, Nursing Facility Stabilization Fund, in accordance with 58066
sections 3721.56 and 3721.561 of the Revised Code;58067

       (2) Fund 4K1, ICF/MR Bed Assessments.58068

       (C) Amounts transferred pursuant to this section are hereby 58069
appropriated.58070

       Section 309.31.60. TRANSFER OF FUNDS TO THE DEPARTMENT OF 58071
MENTAL RETARDATION AND DEVELOPMENTAL DISABILITIES58072

       The Department of Job and Family Services shall transfer,58073
through intrastate transfer vouchers, cash from Fund 4K1, ICF/MR58074
Bed Assessments, to Fund 4K8, Home and Community-Based Services, 58075
in the Department of Mental Retardation and Developmental58076
Disabilities. The amount transferred shall equal $12,000,000 in 58077
each fiscal year. The transfer may occur on a quarterly basis or 58078
on a schedule developed and agreed to by both departments.58079

       Section 309.31.70. FUNDING FOR TRANSITION WAIVER SERVICES58080

       Notwithstanding any limitations contained in sections 5112.3158081
and 5112.37 of the Revised Code, in each fiscal year, cash from 58082
Fund 4K1, ICF/MR Bed Assessments, in excess of the amounts needed 58083
for transfers to Fund 4K8, Home and Community-Based Services, in 58084
the Department of Mental Retardation and Developmental 58085
Disabilities, may be used by the Department of Job and Family 58086
Services to cover costs of care provided to participants in a58087
waiver with an ICF/MR level of care requirement administered by 58088
the Department of Job and Family Services.58089

       Section 309.31.80. PAYMENTS FROM THE DEPARTMENT OF EDUCATION 58090
FOR MEDICAID SERVICES58091

       At the request of the Director of Job and Family Services, 58092
the Director of Budget and Management may increase the 58093
appropriation in appropriation item 600-639, Medicaid Revenue and 58094
Collections, by the amounts paid to the department pursuant to 58095
section 3317.023 of the Revised Code.58096

       Section 309.31.90. HOSPITAL CARE ASSURANCE MATCH58097

       Appropriation item 600-650, Hospital Care Assurance Match,58098
shall be used by the Department of Job and Family Services solely 58099
for distributing funds to hospitals under section 5112.08 of the 58100
Revised Code.58101

       Section 309.32.10. HEALTH CARE SERVICES ADMINISTRATION FUND58102

       Of the amount received by the Department of Job and Family58103
Services during fiscal year 2008 and fiscal year 2009 from the 58104
first installment of assessments paid under section 5112.06 of the 58105
Revised Code and intergovernmental transfers made under section 58106
5112.07 of the Revised Code, the Director of Job and Family 58107
Services shall deposit $350,000 in each fiscal year into the state 58108
treasury to the credit of the Health Care Services Administration 58109
Fund (Fund 5U3).58110

       Section 309.32.20. MEDICAID PROGRAM SUPPORT FUND - STATE58111

       The foregoing appropriation item 600-671, Medicaid Program58112
Support, shall be used by the Department of Job and Family58113
Services to pay for Medicaid services and contracts. The 58114
Department may also deposit to Fund 5C9 revenues received from 58115
other state agencies for Medicaid services under the terms of 58116
interagency agreements between the Department and other state 58117
agencies, and all funds the Department recovers because the 58118
benefits a person received under the disability medical assistance 58119
program established in section 5115.10 of the Revised Code were 58120
determined to be covered by the Medicaid Program established under 58121
Chapter 5111. of the Revised Code.58122

       Section 309.32.30. TRANSFERS OF IMD/DSH CASH TO THE 58123
DEPARTMENT OF MENTAL HEALTH58124

       The Department of Job and Family Services shall transfer,58125
through intrastate transfer voucher, cash from Fund 5C9, Medicaid58126
Program Support, to the Department of Mental Health's Fund 4X5,58127
OhioCare, in accordance with an interagency agreement that58128
delegates authority from the Department of Job and Family Services58129
to the Department of Mental Health to administer specified58130
Medicaid services.58131

       Section 309.32.40. PRESCRIPTION DRUG REBATE FUND58132

       The foregoing appropriation item 600-692, Health Care 58133
Services, shall be used by the Department of Job and Family58134
Services to pay for Medicaid services and contracts.58135

       Section 309.32.50. DISABILITY DETERMINATION PROCESS58136

       Based on the recommendations made by the Disability 58137
Determination Consolidation Study Council, the Rehabilitation 58138
Services Commission and the Department of Job and Family Services 58139
shall work together to reduce the duplication of activities 58140
performed by each agency and develop a systems interface so that 58141
medical information for mutual clients may be transferred between 58142
the agencies.58143

       Section 309.40. FAMILY STABILITY58144

       Section 309.40.10. WAIVER OF FOOD STAMP WORK REQUIREMENTS58145

        Pursuant to 7 U.S.C. 2015(o)(4)(A)(i), the Department of Job 58146
and Family Services shall request that the United States Secretary 58147
of Agriculture waive the applicability of the work requirement of 58148
7 U.S.C. 2015(o)(2) during fiscal years 2008 and 2009 to food 58149
stamp benefit recipients who reside in a county of this state that 58150
the Department determines has an unemployment rate of over 10 per 58151
cent or does not have a sufficient number of jobs to provide 58152
employment for the recipients.58153

       Section 309.40.20. FOOD STAMPS TRANSFER58154

       On July 1, 2007, or as soon as possible thereafter, the 58155
Director of Budget and Management may transfer up to $1,000,000 in 58156
cash from Fund 384, Food Stamp Program, to Fund 5ES, Food 58157
Assistance.58158

       Section 309.40.30. OHIO ASSOCIATION OF SECOND HARVEST FOOD 58159
BANKS58160

       As used in this section, "federal poverty guidelines" has the 58161
same meaning as in section 5101.46 of the Revised Code.58162

       Notwithstanding section 5101.46 of the Revised Code, the 58163
Department of Job and Family Services shall provide $5,500,000 in 58164
each fiscal year from the foregoing appropriation item 600-651, 58165
Second Harvest Food Banks, to the Ohio Association of Second 58166
Harvest Food Banks. The Department shall enter into a grant 58167
agreement with the Ohio Association of Second Harvest Food Banks 58168
to allow for the purchase of food products and the distribution of 58169
those food products to agencies participating in the emergency 58170
food distribution program. Notwithstanding section 5101.46 of the 58171
Revised Code, the grant may permit the Ohio Association of Second 58172
Harvest Food Banks to use up to 5 per cent of the annual funding 58173
for administrative costs. As soon as possible after entering into 58174
a grant agreement at the beginning of each fiscal year, the 58175
Department may advance grant funds to the grantee under section 58176
5101.10 of the Revised Code and in accordance with federal law.58177

       Prior to entering into the grant agreement, the Ohio 58178
Association of Second Harvest Food Banks shall submit to the 58179
Department for approval a plan for the distribution of the food 58180
products to local food distribution agencies. If the plan meets 58181
the requirements and conditions established by the Department, the 58182
plan shall be incorporated into the grant agreement. The grant 58183
agreement shall also require the Ohio Association of Second 58184
Harvest Food Banks to ensure that local agencies will limit 58185
participation of individuals and families who receive any of the 58186
food products purchased with these funds to those who have an 58187
income at or below 200 per cent of the federal poverty guidelines. 58188
The Department and the Ohio Association of Second Harvest Food 58189
Banks shall agree on reporting requirements to be incorporated 58190
into the grant agreement, including a statement of expected 58191
performance outcomes from the Ohio Association of Second Harvest 58192
Food Banks and a requirement for their evaluation of their success 58193
in achieving those outcomes.58194

       Section 309.40.33. CHILD SUPPORT COLLECTIONS/TANF MOE58195

       The foregoing appropriation item 600-658, Child Support58196
Collections, shall be used by the Department of Job and Family58197
Services to meet the TANF maintenance of effort requirements of 42 58198
U.S.C. 609(a)(7). When the state is assured that it will meet the58199
maintenance of effort requirement, the Department of Job and 58200
Family Services may use funds from appropriation item 600-658, 58201
Child Support Collections, to support child support activities.58202

       Section 309.40.40. TANF INITIATIVES58203

       The Department of Job and Family Services, in accordance with 58204
sections 5101.80 and 5101.801 of the Revised Code, shall take the 58205
steps necessary, through interagency agreement, adoption of rules, 58206
or otherwise as determined by the Department, to implement and 58207
administer the Title IV-A programs identified in this section.58208

       KINSHIP PERMANENCY INCENTIVE PROGRAM58209

       Of the foregoing appropriation item 600-689, TANF Block Grant 58210
(Fund 3V6), up to $10 million per fiscal year shall be used to 58211
support the activities of the Kinship Permanency Incentive Program 58212
created under section 5101.802 of the Revised Code.58213

       The Department of Job and Family Services shall prepare 58214
reports concerning both of the following:58215

        (A) Stability and permanency outcomes for children for whom 58216
incentive payments are made under the Kinship Permanency Incentive 58217
Program;58218

        (B) The total amount of payments made under the Program, 58219
patterns of expenditures made per child under the Program, and 58220
cost savings realized through the Program from placement with 58221
kinship caregivers rather than other out-of-home placements.58222

        The Department shall submit a report to the Governor, the 58223
Speaker and Minority Leader of the House of Representatives, and 58224
the President and Minority Leader of the Senate not later than 58225
December 31, 2008, and December 31, 2010.58226

       The amendments made by this act to section 5101.802 of the 58227
Revised Code shall not affect the eligibility of any kinship 58228
caregiver whose eligibility was established before the effective 58229
date of this section.58230

        OHIO ALLIANCE OF BOYS AND GIRLS CLUBS58231

        Of the foregoing appropriation item 600-689, TANF Block Grant 58232
(Fund 3V6), the Department of Job and Family Services shall use up 58233
to $600,000 in each fiscal year to support expenditures of the 58234
Ohio Alliance of Boys and Girls Clubs pursuant to section 5101.801 58235
of the Revised Code to provide after-school programs that protect 58236
at-risk children and enable youth to become responsible adults. 58237
The Ohio Alliance of Boys and Girls Clubs shall provide 58238
nutritional meals, snacks, and educational, youth development, and 58239
career development services to TANF eligible children 58240
participating in programs and activities operated by eligible Boys 58241
and Girls Clubs.58242

        The Department of Job and Family Services and the Ohio 58243
Alliance of Boys and Girls Clubs shall agree on reporting 58244
requirements to be incorporated into the grant agreement.58245

       CHILDREN'S HUNGER ALLIANCE58246

       Of the foregoing appropriation item 600-689, TANF Block Grant 58247
(Fund 3V6), up to $1,000,000 in each fiscal year shall be 58248
reimbursed to the Children's Hunger Alliance pursuant to section 58249
5101.801 of the Revised Code for Child Nutrition Program outreach 58250
efforts.58251

       SCHOOL READINESS ENRICHMENT58252

       Of the foregoing appropriation item 600-689, TANF Block Grant 58253
(Fund 3V6), up to $6,500,000 in each fiscal year shall be used for 58254
TANF eligible activities pursuant to section 5101.801 of the 58255
Revised Code to provide intervention services to prepare children 58256
for kindergarten.58257

       FOOD BANKS58258

       Of the foregoing appropriation item 600-689, TANF Block Grant 58259
(Fund 3V6), up to $1,500,000 in each fiscal year shall be used to 58260
reimburse the Ohio network of food banks pursuant to section 58261
5101.801 of the Revised Code for purchases and distribution of 58262
food products.58263

       GOVERNOR'S OFFICE OF FAITH-BASED AND COMMUNITY INITIATIVES58264

       Of the foregoing appropriation item 600-689, TANF Block Grant 58265
(Fund 3V6), up to $13,000,000 in each fiscal year shall be used to 58266
reimburse the Governor's Office for Faith-Based and Community 58267
Initiatives pursuant to section 5101.801 of the Revised Code for 58268
projects designed to serve the state's most vulnerable citizens.58269

       ADOPTION PROMOTION58270

       Of the foregoing appropriation item 600-689, TANF Block Grant 58271
(Fund 3V6), up to $5,000,000 in each fiscal year shall be used for 58272
TANF eligible activities pursuant to section 5101.801 of the 58273
Revised Code to provide additional support for initiatives aimed 58274
at increasing the number of adoptions including recruiting, 58275
promoting, and supporting adoptive families.58276

       INDEPENDENT LIVING INITIATIVES58277

       Of the foregoing appropriation item 600-689, TANF Block Grant 58278
(Fund 3V6), up to $2,500,000 in each fiscal year shall be used for 58279
TANF eligible activities pursuant to section 5101.801 of the 58280
Revised Code to support the independent living initiative, 58281
including life skills training and work supports for older 58282
children in foster care and those who have recently aged out of 58283
foster care.58284

       CLOSING THE ACHIEVEMENT GAP58285

       Of the foregoing appropriation item 600-689, TANF Block Grant 58286
(Fund 3V6), up to $10,000,000 in each fiscal year shall be used 58287
for TANF eligible activities pursuant to section 5101.801 of the 58288
Revised Code to provide intervention services aimed at improving 58289
the African-American male graduation rate.58290

       FAMILY SERVICE OF THE CINCINNATI AREA58291

       Of the foregoing appropriation item 600-689, TANF Block Grant 58292
(Fund 3V6), up to $25,000 in each fiscal year shall be used to 58293
reimburse, in accordance with section 5101.801 of the Revised 58294
Code, Family Service of the Cincinnati Area for the International 58295
Family Resource Center program.58296

       PARENT MENTORS58297

       Of the foregoing appropriation item 600-689, TANF Block Grant 58298
(Fund 3V6), up to $250,000 in fiscal year 2008 shall be used to 58299
reimburse the Department of Education pursuant to section 5101.801 58300
of the Revised Code for providing funding for an additional ten 58301
parent mentors. This additional support for parent mentors shall 58302
be aimed at increasing support for parents with children who have 58303
special needs, thereby reducing stress on the family and 58304
encouraging the maintenance of two parent families. Such funding 58305
shall be in addition to that which is provided for parent 58306
mentoring programs in GRF appropriation item 200-540, Special 58307
Education Enhancements, in the Department of Education.58308

       ACCOUNTABILITY AND CREDIBILITY TOGETHER58309

       Of the foregoing appropriation item 600-689, TANF Block 58310
Grant, up to $1,000,000 in each fiscal year shall be reimbursed to 58311
Accountability and Credibility Together (ACT) to continue its 58312
welfare diversion program to TANF eligible individuals pursuant to 58313
section 5101.801 of the Revised Code.58314

       AMERICAN ACADEMY OF PEDIATRICS58315

       Of the foregoing appropriation item 600-689, TANF Block Grant 58316
(Fund 3V6), up to $100,000 in fiscal year 2008 shall be used to 58317
reimburse, in accordance with section 5101.801 of the Revised 58318
Code, the American Academy of Pediatrics for the Reach Out and 58319
Read program.58320

       HOME WEATHERIZATION58321

       Of the foregoing appropriation item 600-689, TANF Block Grant 58322
(Fund 3V6), up to $500,000 in each fiscal year shall be used to 58323
reimburse, in accordance with section 5101.801 of the Revised 58324
Code, the Corporation for Ohio Appalachian Development for home 58325
weatherization.58326

       PROVIDENCE HOUSE58327

       Of the foregoing appropriation item 600-689, TANF Block Grant 58328
(Fund 3V6), up to $100,000 in fiscal year 2008 shall be used to 58329
reimburse, in accordance with section 5101.801 of the Revised 58330
Code, the Providence House for providing crisis intervention 58331
services for children who are at risk of abuse and neglect.58332

       BUTLER COUNTY SUCCESS PLAN58333

       Of the foregoing appropriation item 600-689, TANF Block Grant 58334
(Fund 3V6), up to $100,000 in fiscal year 2008 shall be used to 58335
provide reimbursement, in accordance with section 5101.801 of the 58336
Revised Code, for the Butler County Success Plan.58337

       AMERICAN RED CROSS-GREATER CLEVELAND CHAPTER AND THE BEREA 58338
CHILDREN'S HOME AND FAMILY SERVICES58339

        Of the foregoing appropriation item 600-689, TANF Block 58340
Grant, up to $2,063,000 in fiscal year 2008 shall be used to 58341
reimburse the American Red Cross-Greater Cleveland Chapter and the 58342
Berea Children's Home and Family Services in accordance with 58343
section 5101.801 of the Revised Code, for enrolling TANF eligible 58344
individuals in the Northeast Ohio Nurse Assistant Training 58345
Program, which will lead to employment opportunities in the 58346
healthcare field in a ten-county region.58347

        CENTER FOR FAMILIES AND CHILDREN RAPART YOUTH FELLOWSHIP 58348
PROGRAM58349

        Of the foregoing appropriation item 600-689, TANF Block 58350
Grant, up to $100,000 in fiscal year 2008 shall be used to 58351
reimburse the Center for Families and Children RapArt Youth 58352
Fellowship Program in accordance with section 5101.801 of the 58353
Revised Code for providing an after-school program that supports 58354
at-risk young adults and enables youth to become responsible 58355
adults.58356

        TALBERT HOUSE58357

        Of the foregoing appropriation item 600-689, TANF Block Grant 58358
(Fund 3V6), up to $50,000 in each fiscal year shall be used to 58359
reimburse, in accordance with section 5101.801 of the Revised 58360
Code, the Talbert House for providing TANF eligible non-medical 58361
behavioral health services.58362

        TANF EDUCATIONAL AWARDS PROGRAM58363

        Of the foregoing appropriation item 600-689, TANF Block Grant 58364
(Fund 3V6), up to $2,000,000 in each fiscal year shall be used to 58365
reimburse the Ohio Board of Regents pursuant to section 5101.801 58366
of the Revised Code for initiatives addressing postsecondary 58367
tuition and educational expenses not covered by other grant 58368
programs that target low-income students.58369

       HOME ENERGY ASSISTANCE PROGRAM58370

       The Department of Job and Family Services shall transfer, 58371
through intrastate transfer voucher, $45,000,000 in cash in fiscal 58372
year 2008 and $15,000,000 in fiscal year 2009 from Fund 3V6, TANF 58373
Block Grant, to Fund 3BJ, TANF Heating Assistance, in the 58374
Department of Development, in accordance with an interagency 58375
agreement. The Departments of Job and Family Services and 58376
Development shall enter into an interagency agreement for 58377
providing reimbursement to the Department of Development to 58378
administer the Title IV-A funded Home Energy Assistance Program 58379
(HEAP), which provides assistance with home energy fuel costs to 58380
needy families with children.58381

       If the Department of Development receives approval for a 58382
federal waiver to increase the percentage of the Home Energy Block 58383
Grant that may be used for weatherization to sixteen and one-half 58384
per cent in fiscal year 2008 and seventeen and one-half per cent 58385
in fiscal year 2009, the Department of Job and Family Services 58386
shall increase the amount of reimbursement to the Department of 58387
Development from Fund 3V6, TANF Block Grant, for the Title IV-A 58388
funded Home Energy Assistance Program by an amount equal to the 58389
additional amounts used for weatherization under the federal 58390
waiver.58391

        The directors of Job and Family Services and Development 58392
shall seek Controlling Board approval to adjust the appropriations 58393
for appropriation item 600-689, TANF Block Grant, in the 58394
Department of Job and Family Services and appropriation item 58395
195-685, TANF Heating Assistance, in the Department of 58396
Development, as needed to carry out the purposes described in the 58397
preceding paragraph.58398

       Section 309.40.60. EARLY LEARNING INITIATIVE58399

       (A) As used in this section:58400

       (1) "Title IV-A services" means benefits and services that 58401
are allowable under Title IV-A of the "Social Security Act," as 58402
specified in 42 U.S.C. 604(a), except that they shall not be 58403
benefits and services included in the term "assistance" as defined 58404
in 45 C.F.R. 260.31(a) and shall be benefits and services that are 58405
excluded from the definition of the term "assistance" under 45 58406
C.F.R. 260.31(b).58407

       (2) "Title IV-A funds" means funds provided under the 58408
temporary assistance for needy families block grant established by 58409
Title IV-A of the "Social Security Act," 110 Stat. 2113 (1996), 42 58410
U.S.C. 601, as amended.58411

       (3) "Eligible child" means a child who is at least three 58412
years of age but not of compulsory school age or enrolled in 58413
kindergarten, is eligible for Title IV-A services, and whose 58414
family income at the time of application does not exceed one 58415
hundred eighty-five per cent of the federal poverty line in fiscal 58416
year 2008 or two hundred per cent of the federal poverty line in 58417
fiscal year 2009.58418

       (4) "Early learning program" means a program for eligible 58419
children that is funded with Title IV-A funds and provides Title 58420
IV-A services, according to the purposes listed in 45 C.F.R. 58421
260.20(c), that are early learning services, as defined by 58422
pursuant to division (D)(1) of this section.58423

       (5) "Early learning provider" means an entity that is 58424
receiving Title IV-A funds to operate an early learning program.58425

       (6) "Early learning agency" means an early learning provider 58426
or an entity that has entered into an agreement with an early 58427
learning provider requiring the early learning provider to operate 58428
an early learning program on behalf of the entity.58429

       (7) "Federal poverty line" has the same meaning as in section 58430
5104.01 of the Revised Code.58431

       (8) "Of compulsory school age" has the same meaning as in 58432
section 3321.01 of the Revised Code.58433

       (B) The Early Learning Initiative is hereby established. The 58434
Department of Education and the Department of Job and Family 58435
Services shall administer the Initiative in accordance with 58436
sections 5101.80 and 5101.801 of the Revised Code. The Initiative 58437
shall provide early learning services to eligible children. Early 58438
learning programs may provide early learning services on a 58439
full-day basis, a part-day basis, or both a full-day and part-day 58440
basis.58441

       (C) The Department of Job and Family Services shall do both 58442
of the following:58443

       (1) Reimburse early learning agencies for Title IV-A services 58444
provided to eligible children according to the terms of the 58445
contract and the rules adopted under division (C)(2) of this 58446
section;58447

       (2) In consultation with the Department of Education, adopt 58448
rules in accordance with Chapter 119. of the Revised Code to 58449
implement the Early Learning Initiative. The rules shall include 58450
all of the following:58451

       (a) Provisions regarding the establishment of co-payments for 58452
families of eligible children whose family income is more than one 58453
hundred sixty-five per cent of the federal poverty line but equal 58454
to or less than the maximum amount of family income authorized for 58455
an eligible child as defined in division (A)(3) of this section;58456

       (b) An exemption from co-payment requirements for families 58457
whose family income is equal to or less than one hundred 58458
sixty-five per cent of the federal poverty line;58459

       (c) A definition of "enrollment" for the purpose of 58460
compensating early learning agencies;58461

       (d) Provisions that establish compensation rates for early 58462
learning agencies based on the enrollment of eligible children;58463

       (e) Caretaker employment eligibility requirements for 58464
participation in the Early Learning Initiative. These requirements 58465
shall specify the minimum number of hours that the caretaker of 58466
the eligible child must be employed and the time period over which 58467
the minimum number of hours is to be measured. These minimum hours 58468
may overlap the period during the day or week in which the child 58469
participates in the early learning program. These requirements 58470
shall permit the child to be determined to be, and remain, an 58471
eligible child for up to thirty days if the county department of 58472
job and family services determines that the caretaker is expected 58473
to begin engaging in an approved activity within that thirty-day 58474
period. These rules shall require the county department of job and 58475
family services to inform both the early learning agency and the 58476
Department of Job and Family Services of this determination. These 58477
rules shall require the Department of Job and Family Services to 58478
designate the activities that constitute approved activities for 58479
purposes of this requirement and to periodically review the 58480
requirement described in this division to ensure that it complies 58481
with federal law and regulations.58482

       (D) The Department of Education shall do all of the 58483
following:58484

       (1) Define the early learning services that will be provided 58485
to eligible children through the Early Learning Initiative;58486

       (2) In consultation with the Department of Job and Family 58487
Services, develop an application form and criteria for the 58488
selection of early learning agencies. The criteria shall require 58489
an early learning agency, or each early learning provider with 58490
which the agency has entered into an agreement for the operation 58491
of an early learning program on the agency's behalf, to be 58492
licensed or certified by the Department of Education under 58493
sections 3301.52 to 3301.59 of the Revised Code or by the 58494
Department of Job and Family Services under Chapter 5104. of the 58495
Revised Code;58496

       (3) Establish early learning program guidelines for school 58497
readiness to assess the operation of early learning programs.58498

       (E) Any entity that seeks to be an early learning agency 58499
shall apply to the Department of Education by a deadline 58500
established by the Department. The Department of Education shall 58501
select entities that meet the criteria established under division 58502
(D)(2) of this section to be early learning agencies. Upon 58503
selection of an entity to be an early learning agency, the 58504
Department of Education shall designate the number of eligible 58505
children the agency may enroll. The Department of Education shall 58506
notify the Department of Job and Family Services of the number so 58507
designated.58508

       (F) The Department of Education and the Department of Job and 58509
Family Services shall enter into a contract with each early 58510
learning agency selected under division (E) of this section. The 58511
requirements of section 127.16 of the Revised Code do not apply to 58512
contracts entered into under this section. The contract shall 58513
outline the terms and conditions applicable to the provision of 58514
Title IV-A services for eligible children and shall include at 58515
least the following:58516

       (1) The respective duties of the early learning agency, the 58517
Department of Education, and the Department of Job and Family 58518
Services;58519

       (2) Requirements applicable to the allowable use of and 58520
accountability for Title IV-A compensation paid under the 58521
contract;58522

       (3) Reporting requirements, including a requirement that the 58523
early learning provider inform the Department of Education when 58524
the provider learns that a kindergarten eligible child will not be 58525
enrolled in kindergarten;58526

       (4) The compensation schedule payable under the contract;58527

       (5) Audit requirements;58528

       (6) Provisions for suspending, modifying, or terminating the 58529
contract.58530

       (G) If an early learning agency, or an early learning 58531
provider operating an early learning program on the agency's 58532
behalf, substantially fails to meet the early learning program 58533
guidelines for school readiness or exhibits below average 58534
performance, as determined by the Department of Education, the 58535
agency shall develop and implement a corrective action plan. The 58536
Department of Education shall approve the corrective action plan 58537
prior to implementation.58538

       (H) If an early learning agency fails to implement a 58539
corrective action plan under division (G) of this section, the 58540
Department of Education may direct the Department of Job and 58541
Family Services to either withhold funding or request that the 58542
Department of Job and Family Services suspend or terminate the 58543
contract with the agency.58544

       (I) Each early learning program shall do all of the 58545
following:58546

       (1) Meet teacher qualification requirements prescribed by 58547
section 3301.311 of the Revised Code;58548

       (2) Align curriculum to the early learning content standards;58549

       (3) Meet any assessment requirements prescribed by section 58550
3301.0715 of the Revised Code that apply to the program;58551

       (4) Require teachers, except teachers enrolled and working to 58552
obtain a degree pursuant to section 3301.311 of the Revised Code, 58553
to attend a minimum of twenty hours per biennium of professional 58554
development as prescribed by the Department of Education regarding 58555
the implementation of early learning program guidelines for school 58556
readiness;58557

       (5) Document and report child progress;58558

       (6) Meet and report compliance with the early learning 58559
program guidelines for school success;58560

       (7) Participate in early language and literacy classroom 58561
observation evaluation studies.58562

       (J) Each county Department of Job and Family Services shall 58563
determine eligibility for Title IV-A services for children seeking 58564
to enroll in an early learning program within fifteen days after 58565
receipt of a completed application in accordance with rules 58566
adopted under this section.58567

       (K) The provision of early learning services in an early 58568
learning program shall not prohibit or otherwise prevent an 58569
individual from obtaining certificates for payment under division 58570
(C) of section 5104.32 of the Revised Code.58571

       (L) Notwithstanding section 126.07 of the Revised Code:58572

        (1) Any fiscal year 2008 contract executed prior to July 1, 58573
2007, between the Departments of Job and Family Services and 58574
Education and an early learning agency that was not an early 58575
learning agency as of June 30, 2007, shall be deemed to be 58576
effective as of July 1, 2007, upon issuance of a state purchase 58577
order, even if the purchase order is approved at some later date.58578

        (2) Any fiscal year 2008 contract executed between the 58579
Departments of Job and Family Services and Education and an early 58580
learning agency that had a valid contract for early learning 58581
services on June 30, 2007, shall be deemed to be effective as of 58582
July 1, 2007, upon the issuance of a state purchase order, even if 58583
the purchase order is approved at some later date.58584

        (3) Any fiscal year 2009 contract executed prior to July 1, 58585
2008, between the Departments of Job and Family Services and 58586
Education and an early learning agency that was not an early 58587
learning agency as of June 30, 2008, shall be deemed to be 58588
effective as of July 1, 2008, upon issuance of a state purchase 58589
order, even if the purchase order is approved at some later date.58590

       (4) Any fiscal year 2009 contract executed between the 58591
Departments of Job and Family Services and Education and an early 58592
learning agency that had a valid contract for early learning 58593
services on June 30, 2008, shall be deemed to be effective as of 58594
July 1, 2008, upon the issuance of a state purchase order, even if 58595
the purchase order is approved at some later date.58596

        (M) Of the foregoing appropriation item 600-689, TANF Block 58597
Grant (Fund 3V6), up to $125,256,000 shall be used in each fiscal 58598
year to compensate early learning agencies under this section. The 58599
Departments of Job and Family Services and Education shall 58600
contract for up to 12,000 enrollment slots for eligible children 58601
in each fiscal year through the Early Learning Initiative.58602

       (N) Of the foregoing appropriation item 600-689, TANF Block 58603
Grant (Fund 3V6), up to $800,000 in each fiscal year may be used 58604
by the Department of Job and Family Services for administration of 58605
the Early Learning Initiative.58606

       (O) Up to $2,200,000 in each fiscal year may be used by the 58607
Department of Education to perform administrative functions for 58608
the Early Learning Initiative. The Department of Job and Family 58609
Services shall transfer, through intrastate transfer vouchers, 58610
cash from Fund 3V6, TANF Block Grant, to Fund 5W2, Early Learning 58611
Initiative, in the Department of Education. The amount transferred 58612
shall not exceed $2,200,000 in fiscal year 2008 and $2,200,000 in 58613
fiscal year 2009. The transfer shall occur on a reimbursement 58614
basis on a schedule developed and agreed to by both departments.58615

       Section 309.50. CHILDREN AND FAMILIES58616

       Section 309.50.10. CHILD WELFARE TRAINING INITIATIVE58617

        In each fiscal year, the Department of Job and Family 58618
Services shall grant $50,000 from appropriation item 600-528, 58619
Adoption Services, and $150,000 from appropriation item 600-606, 58620
Child Welfare (Fund 327), to the National Center for Adoption Law 58621
and Policy to fund a multi-disciplinary child welfare training 58622
initiative. The Department of Job and Family Services shall 58623
coordinate with the National Center for Adoption Law and Policy to 58624
determine the focus of the training provided each year.58625

       ADOPTION LAWSITE INITIATIVE58626

       In each fiscal year, the Department of Job and Family 58627
Services shall grant $37,500 from appropriation item 600-528, 58628
Adoption Services, and $112,500 from appropriation item 600-606, 58629
Child Welfare (Fund 327), to the National Center for Adoption Law 58630
and Policy to fund expansion of the Adoption LawSite Initiative.58631

       Section 309.50.20. CHILDREN'S TRUST FUND58632

       Notwithstanding sections 3109.13 to 3109.18 of the Revised 58633
Code, in each fiscal year, the Director of Budget and Management 58634
shall transfer $1,500,000 cash from the Children's Trust Fund 58635
(Fund 198) in the Department of Job and Family Services to the 58636
Partnerships for Success Fund (Fund 5BH) in the Department of 58637
Youth Services.58638

       Section 309.50.30. STEP UP TO QUALITY58639

       A child day-care center or type A or B family day-care home 58640
participating in the voluntary child care quality-rating program 58641
established pursuant to section 5104.30 of the Revised Code and 58642
providing publicly funded child care is eligible to receive a 58643
reimbursement rate for the publicly funded child care up to the 58644
sixty-fifth percentile of the 2006 Ohio Child Care Market Rate 58645
Survey if the center or home participates in the program in fiscal 58646
year 2008 and maintains a two-star program rating in fiscal year 58647
2009, according to the program rating system established in rules 58648
adopted pursuant to section 5104.30 of the Revised Code.58649

       Section 309.70. WORKFORCE DEVELOPMENT58650

       Section 309.70.10. TRANSFER TO THE MILITARY INJURY RELIEF 58651
FUND58652

       In each year of the biennium, the Director of Job and Family 58653
Services shall certify to the Director of Budget and Management 58654
the total amount of incentive grants deposited into Fund 331, 58655
Federal Operating, on behalf of state and county employees and 58656
other individuals, entities, and persons with exemplary service to 58657
veterans under an approved employment service delivery program 58658
defined in the "Jobs for Veterans Act," 116 Stat. 2033 (2002), as 58659
approved by the United States Department of Labor. The Director of 58660
Budget and Management shall transfer cash equal to the amount 58661
certified by the Director of Job and Family Services from Fund 331 58662
to Fund 5DB, Military Injury Grants. The transferred funds shall 58663
be used to support grants to eligible individuals under section 58664
5101.98 of the Revised Code and rules adopted in accordance with 58665
that section.58666

       Section 309.70.20. WORKFORCE DEVELOPMENT GRANT AGREEMENT58667

       The Department of Job and Family Services may use 58668
appropriations from appropriation item 600-688, Workforce 58669
Investment Act, to provide financial assistance for workforce 58670
development activities included in a grant agreement entered into 58671
by the department in accordance with section 5101.20 of the 58672
Revised Code.58673

       OHIO STATE APPRENTICESHIP COUNCIL58674

       Of the foregoing appropriation item 600-688, Workforce 58675
Investment Act, up to $1,900,000 in fiscal year 2008 and up to 58676
$2,200,000 in fiscal year 2009 may be used to support the 58677
activities of the Ohio State Apprenticeship Council.58678

       YOUTH EMPLOYMENT PROGRAMS58679

       Of the foregoing appropriation item 600-688, Workforce 58680
Investment Act, up to $6,000,000 over the biennium shall be used 58681
for competitive grants to eight major urban centers and four other 58682
locations, at least two of which are rural, to provide strategies 58683
and programs that meet the needs of at-risk youth. The program 58684
shall target youth who have disengaged from the education system 58685
and youthful offenders who will be returning to their communities. 58686
Eligible grant applications include governmental units, workforce 58687
investment boards, and not-for-profit and for-profit entities. 58688
Grant funds may be used for youth wages and benefits, supervisory 58689
costs, training and support costs, and infrastructure expenses. 58690
Grant funds may not be used for construction or renovation of 58691
facilities.58692

       THIRD FRONTIER INTERNSHIP PROGRAM58693

       Of the foregoing appropriation item 600-688, Workforce 58694
Investment Act, $1,500,000 in each fiscal year shall be used to 58695
support the Third Frontier Internship program.58696

       NURSE EDUCATION ASSISTANCE58697

       Of the foregoing appropriation item 600-688, Workforce 58698
Investment Act, $700,000 in each fiscal year shall be used to 58699
support the Nurse Education Assistance program described in 58700
division (C)(1)(a) of section 3333.28 of the Revised Code.58701

       Section 309.80. UNEMPLOYMENT COMPENSATION58702

       Section 309.80.10. EMPLOYER SURCHARGE58703

       The surcharge and the interest on the surcharge amounts due58704
for calendar years 1988, 1989, and 1990 as required by Am. Sub.58705
H.B. 171 of the 117th General Assembly, Am. Sub. H.B. 111 of the58706
118th General Assembly, and section 4141.251 of the Revised Code58707
as it existed prior to its repeal by Sub. H.B. 478 of the 122nd58708
General Assembly, again shall be assessed and collected by, 58709
accounted for, and made available to the Department of Job and58710
Family Services in the same manner as set forth in section 58711
4141.251 of the Revised Code as it existed prior to its repeal by 58712
Sub. H.B. 478 of the 122nd General Assembly, notwithstanding the 58713
repeal of the surcharge for calendar years after 1990, pursuant to 58714
Sub. H.B. 478 of the 122nd General Assembly, except that amounts 58715
received by the Director on or after July 1, 2001, shall be 58716
deposited into the Unemployment Compensation Special 58717
Administrative Fund (Fund 4A9) established pursuant to section 58718
4141.11 of the Revised Code.58719

       Section 309.80.20.  FEDERAL UNEMPLOYMENT PROGRAMS58720

       All unexpended funds remaining at the end of fiscal year 2007 58721
that were appropriated and made available to the state under 58722
section 903(d) of the Social Security Act, as amended, in the 58723
foregoing appropriation item 600-678, Federal Unemployment 58724
Programs (Fund 3V4), are hereby appropriated to the Department of 58725
Job and Family Services. Upon the request of the Director of Job 58726
and Family Services, the Director of Budget and Management may 58727
increase the appropriation for fiscal year 2008 by the amount 58728
remaining unspent from the fiscal year 2007 appropriation and may 58729
increase the appropriation for fiscal year 2009 by the amount 58730
remaining unspent from the fiscal year 2008 appropriation. The 58731
appropriation shall be used under the direction of the Department 58732
of Job and Family Services to pay for administrative activities 58733
for the Unemployment Insurance Program, employment services, and 58734
other allowable expenditures under section 903(d) of the Social 58735
Security Act, as amended.58736

       The amounts obligated pursuant to this section shall not 58737
exceed at any time the amount by which the aggregate of the 58738
amounts transferred to the account of the state under section 58739
903(d) of the Social Security Act, as amended, exceeds the 58740
aggregate of the amounts obligated for administration and paid out 58741
for benefits and required by law to be charged against the amounts 58742
transferred to the account of the state.58743

       Section 309.80.30. TIME-LIMITED MEDICAID PROVIDER AGREEMENTS58744

       Each Medicaid provider agreement that is not time-limited on 58745
the effective date of section 5111.028 of the Revised Code, as 58746
enacted by this act, shall be converted by the Department of Job 58747
and Family Services into a time-limited provider agreement. The 58748
converted provider agreement shall expire three years from 58749
effective date of the conversion. The Department shall notify the 58750
provider in writing that provider agreement has been converted 58751
into a time-limited provider agreement.58752

       Notwithstanding division (B) of section 5111.06 of the 58753
Revised Code, the Department is not required to issue an order 58754
pursuant to an adjudication conducted in accordance with Chapter 58755
119. of the Revised Code when converting a provider agreement 58756
under this section.58757

       Section 311.10.  JCO JUDICIAL CONFERENCE OF OHIO58758

General Revenue Fund58759

GRF 018-321 Operating Expenses $ 985,710 $ 1,015,281 58760
TOTAL GRF General Revenue Fund $ 985,710 $ 1,015,281 58761

General Services Fund Group58762

403 018-601 Ohio Jury Instructions $ 350,000 $ 350,000 58763
TOTAL GSF General Services Fund Group $ 350,000 $ 350,000 58764
TOTAL ALL BUDGET FUND GROUPS $ 1,335,710 $ 1,365,281 58765

       STATE COUNCIL OF UNIFORM STATE LAWS58766

       Notwithstanding section 105.26 of the Revised Code, of the58767
foregoing appropriation item 018-321, Operating Expenses, up to58768
$71,000 in fiscal year 2008 and up to $73,000 in fiscal year 200958769
may be used to pay the expenses of the State Council of Uniform58770
State Laws, including membership dues to the National Conference58771
of Commissioners on Uniform State Laws.58772

       OHIO JURY INSTRUCTIONS FUND58773

       The Ohio Jury Instructions Fund (Fund 403) shall consist of58774
grants, royalties, dues, conference fees, bequests, devises, and58775
other gifts received for the purpose of supporting costs incurred58776
by the Judicial Conference of Ohio in dispensing educational and58777
informational data to the state's judicial system. Fund 403 shall58778
be used by the Judicial Conference of Ohio to pay expenses58779
incurred in dispensing educational and informational data to the58780
state's judicial system. All moneys accruing to Fund 403 in excess 58781
of $350,000 in fiscal year 2008 and in excess of $350,000 in 58782
fiscal year 2009 are hereby appropriated for the purposes58783
authorized.58784

       No money in the Ohio Jury Instructions Fund shall be58785
transferred to any other fund by the Director of Budget and58786
Management or the Controlling Board.58787

       Section 313.10.  JSC THE JUDICIARY/SUPREME COURT58788

General Revenue Fund58789

GRF 005-321 Operating Expenses - Judiciary/Supreme Court $ 127,778,192 $ 133,144,970 58790
GRF 005-401 State Criminal Sentencing Council $ 331,500 $ 336,770 58791
GRF 005-406 Law-Related Education $ 229,290 $ 236,172 58792
GRF 005-409 Ohio Courts Technology Initiative $ 4,000,000 $ 6,500,000 58793
GRF 005-502 Commission for Legal Education Opportunity $ 250,000 $ 350,000 58794
TOTAL GRF General Revenue Fund $ 132,588,982 $ 140,567,912 58795

General Services Fund Group58796

672 005-601 Continuing Judicial Education $ 136,000 $ 140,000 58797
TOTAL GSF General Services Fund Group $ 136,000 $ 140,000 58798

Federal Special Revenue Fund Group58799

3J0 005-603 Federal Grants $ 1,518,491 $ 1,467,693 58800
TOTAL FED Federal Special Revenue Fund Group $ 1,518,491 $ 1,467,693 58801

State Special Revenue Fund Group58802

4C8 005-605 Attorney Services $ 3,841,416 $ 3,936,058 58803
5T8 005-609 Grants and Awards $ 100,000 $ 100,000 58804
6A8 005-606 Supreme Court Admissions $ 1,496,633 $ 1,541,532 58805
TOTAL SSR State Special Revenue Fund Group $ 5,438,049 $ 5,577,590 58806
TOTAL ALL BUDGET FUND GROUPS $ 139,681,522 $ 147,753,195 58807

       LAW-RELATED EDUCATION58808

        The foregoing appropriation item 005-406, Law-Related 58809
Education, shall be distributed directly to the Ohio Center for 58810
Law-Related Education for the purposes of providing continuing 58811
citizenship education activities to primary and secondary 58812
students, expanding delinquency prevention programs, increasing 58813
activities for at-risk youth, and accessing additional public and 58814
private money for new programs.58815

       OHIO COURTS TECHNOLOGY INITIATIVE58816

       The foregoing appropriation item 005-409, Ohio Courts 58817
Technology Initiative, shall be used to fund an initiative by the 58818
Supreme Court to facilitate the exchange of information and 58819
warehousing of data by and between Ohio courts and other justice 58820
system partners through the creation of an Ohio Courts Network, 58821
the delivery of technology services to courts throughout the 58822
state, including the provision of hardware, software, and the 58823
development and implementation of educational and training 58824
programs for judges and court personnel, and the creation and 58825
operation of the Commission on Technology and the Courts by the 58826
Supreme Court for the promulgation of statewide rules, policies, 58827
and uniform standards, and to aid in the orderly adoption and 58828
comprehensive use of technology in Ohio courts.58829

       COMMISSION FOR LEGAL EDUCATION OPPORTUNITY58830

        The foregoing appropriation item 005-502, Commission for 58831
Legal Education Opportunity, shall be used to fund activities of 58832
the Commission for Legal Education Opportunity created by the 58833
Chief Justice of the Supreme Court of Ohio for purposes of 58834
assisting minority, low-income, and educationally disadvantaged 58835
college graduates in transition to legal education. Moneys 58836
appropriated to the Commission for Legal Education Opportunity may 58837
be used to establish and provide intensive course study designed 58838
to prepare eligible college graduates for law education, provide 58839
annual stipends for students who successfully complete the course 58840
of study and are admitted to and maintain satisfactory academic 58841
standing in an Ohio law school, and pay the administrative costs 58842
associated with the program.58843

       CONTINUING JUDICIAL EDUCATION58844

       The Continuing Judicial Education Fund (Fund 672) shall58845
consist of fees paid by judges and court personnel for attending58846
continuing education courses and other gifts and grants received58847
for the purpose of continuing judicial education. The foregoing58848
appropriation item 005-601, Continuing Judicial Education, shall58849
be used to pay expenses for continuing education courses for58850
judges and court personnel. If it is determined by the58851
Administrative Director of the Supreme Court that additional58852
appropriations are necessary, the amounts are hereby appropriated.58853

       No money in the Continuing Judicial Education Fund shall be58854
transferred to any other fund by the Director of Budget and58855
Management or the Controlling Board. Interest earned on moneys in58856
the Continuing Judicial Education Fund shall be credited to the58857
fund.58858

       FEDERAL GRANTS58859

       The Federal Grants Fund (Fund 3J0) shall consist of grants58860
and other moneys awarded to the Supreme Court (The Judiciary) by 58861
the United States Government or other entities that receive the58862
moneys directly from the United States Government and distribute 58863
those moneys to the Supreme Court (The Judiciary). The foregoing 58864
appropriation item 005-603, Federal Grants, shall be used in a 58865
manner consistent with the purpose of the grant or award. If it is 58866
determined by the Administrative Director of the Supreme Court 58867
that additional appropriations are necessary, the amounts are 58868
hereby appropriated.58869

       No money in the Federal Grants Fund shall be transferred to 58870
any other fund by the Director of Budget and Management or the 58871
Controlling Board. However, interest earned on moneys in the 58872
Federal Grants Fund shall be credited or transferred to the 58873
General Revenue Fund.58874

       ATTORNEY SERVICES58875

       The Attorney Services Fund (Fund 4C8), formerly known as the 58876
Attorney Registration Fund, shall consist of moneys received by 58877
the Supreme Court (The Judiciary) pursuant to the Rules for the 58878
Government of the Bar of Ohio. In addition to funding other 58879
activities considered appropriate by the Supreme Court, the 58880
foregoing appropriation item 005-605, Attorney Services, may be 58881
used to compensate employees and to fund appropriate activities of 58882
the following offices established by the Supreme Court: the Office 58883
of Disciplinary Counsel, the Board of Commissioners on Grievances 58884
and Discipline, the Clients' Security Fund, and the Attorney 58885
Services Division. If it is determined by the Administrative 58886
Director of the Supreme Court that additional appropriations are 58887
necessary, the amounts are hereby appropriated.58888

       No moneys in the Attorney Services Fund shall be transferred 58889
to any other fund by the Director of Budget and Management or the 58890
Controlling Board. Interest earned on moneys in the Attorney 58891
Services Fund shall be credited to the fund.58892

       GRANTS AND AWARDS58893

       The Grants and Awards Fund (Fund 5T8) shall consist of grants 58894
and other moneys awarded to the Supreme Court (The Judiciary) by 58895
the State Justice Institute, the Division of Criminal Justice 58896
Services, or other entities. The foregoing appropriation item 58897
005-609, Grants and Awards, shall be used in a manner consistent 58898
with the purpose of the grant or award. If it is determined by the 58899
Administrative Director of the Supreme Court that additional 58900
appropriations are necessary, the amounts are hereby appropriated.58901

       No moneys in the Grants and Awards Fund shall be transferred 58902
to any other fund by the Director of Budget and Management or the 58903
Controlling Board. However, interest earned on moneys in the 58904
Grants and Awards Fund shall be credited or transferred to the 58905
General Revenue Fund.58906

       SUPREME COURT ADMISSIONS58907

       The foregoing appropriation item 005-606, Supreme Court58908
Admissions, shall be used to compensate Supreme Court employees58909
who are primarily responsible for administering the attorney58910
admissions program under the Rules for the Government of the Bar 58911
of Ohio, and to fund any other activities considered appropriate 58912
by the court. Moneys shall be deposited into the Supreme Court58913
Admissions Fund (Fund 6A8) under the Supreme Court Rules for the58914
Government of the Bar of Ohio. If it is determined by the 58915
Administrative Director of the Supreme Court that additional 58916
appropriations are necessary, the amounts are hereby appropriated.58917

       No moneys in the Supreme Court Admissions Fund shall be58918
transferred to any other fund by the Director of Budget and58919
Management or the Controlling Board. Interest earned on moneys in58920
the Supreme Court Admissions Fund shall be credited to the fund.58921

       FUND ELIMINATION58922

       Effective July 1, 2007, or as soon as practicable thereafter, 58923
the Director of Budget and Management shall transfer the cash 58924
balance in the Commission on Continuing Legal Education Fund (Fund 58925
643) to the Attorney Services Fund (Fund 4C8). The director shall 58926
cancel any existing encumbrances against appropriation item 58927
005-607, Commission on Continuing Legal Education, and 58928
re-establish them against appropriation item 005-605, Attorney 58929
Services. The amounts of the re-established encumbrances are 58930
hereby appropriated. Upon completion of these transfers, the 58931
Commission on Continuing Legal Education Fund (Fund 643) is hereby 58932
abolished.58933

       Section 315.10.  LEC LAKE ERIE COMMISSION58934

State Special Revenue Fund Group58935

4C0 780-601 Lake Erie Protection Fund $ 450,000 $ 450,000 58936
5D8 780-602 Lake Erie Resources Fund $ 387,000 $ 388,000 58937
TOTAL SSR State Special Revenue 58938
Fund Group $ 837,000 $ 838,000 58939
TOTAL ALL BUDGET FUND GROUPS $ 837,000 $ 838,000 58940

       CASH TRANSFER58941

       Not later than the thirtieth day of November of each fiscal58942
year, the Executive Director of the Ohio Lake Erie Office, with58943
the approval of the Lake Erie Commission, shall certify to the58944
Director of Budget and Management the cash balance in the Lake58945
Erie Resources Fund (Fund 5D8) in excess of amounts needed to meet58946
operating expenses of the Lake Erie Office. The Lake Erie Office 58947
may request the Director of Budget and Management to transfer up 58948
to the certified amount from the Lake Erie Resources Fund (Fund 58949
5D8) to the Lake Erie Protection Fund (Fund 4C0). The Director of 58950
Budget and Management may transfer the requested amount, or the 58951
Director may transfer a different amount up to the certified 58952
amount. Cash transferred shall be used for the purposes described 58953
in division (A) of section 1506.23 of the Revised Code. The amount 58954
transferred by the director is hereby appropriated to the58955
foregoing appropriation item 780-601, Lake Erie Protection Fund,58956
which shall be increased by the amount transferred.58957

       Section 317.10.  LRS LEGAL RIGHTS SERVICE58958

General Revenue Fund58959

GRF 054-321 Support Services $ 198,075 $ 198,075 58960
GRF 054-401 Ombudsman $ 291,247 $ 291,247 58961
TOTAL GRF General Revenue Fund $ 489,322 $ 489,322 58962

General Services Fund Group58963

5M0 054-610 Program Support $ 81,352 $ 81,352 58964
TOTAL GSF General Services 58965
Fund Group $ 81,352 $ 81,352 58966

Federal Special Revenue Fund Group58967

3AG 054-613 Protection and Advocacy - Voter Accessibility $ 115,000 $ 115,000 58968
3B8 054-603 Protection and Advocacy - Mentally Ill $ 1,089,999 $ 1,089,999 58969
3CA 054-615 Work Incentives Planning and Assistance $ 355,000 $ 355,000 58970
3N3 054-606 Protection and Advocacy - Individual Rights $ 560,000 $ 560,000 58971
3N9 054-607 Assistive Technology $ 160,000 $ 160,000 58972
3R9 054-604 Family Support Collaborative $ 55,000 $ 55,000 58973
3R9 054-616 Developmental Disability Publications $ 130,000 $ 130,000 58974
3T2 054-609 Client Assistance Program $ 435,000 $ 435,000 58975
3X1 054-611 Protection and Advocacy for Beneficiaries of Social Security $ 235,001 $ 235,001 58976
3Z6 054-612 Traumatic Brain Injury $ 70,000 $ 70,000 58977
305 054-602 Protection and Advocacy - Developmentally Disabled $ 1,500,000 $ 1,500,000 58978
TOTAL FED Federal Special Revenue 58979
Fund Group $ 4,705,000 $ 4,705,000 58980

State Special Revenue Fund Group58981

5AE 054-614 Grants and Contracts $ 100,000 $ 100,000 58982
TOTAL SSR State Special Revenue Fund Group $ 100,000 $ 100,000 58983
TOTAL ALL BUDGET FUND GROUPS $ 5,375,674 $ 5,375,674 58984


       Section 319.10.  JLE JOINT LEGISLATIVE ETHICS COMMITTEE58986

General Revenue Fund58987

GRF 028-321 Legislative Ethics Committee $ 550,000 $ 550,000 58988
TOTAL GRF General Revenue Fund $ 550,000 $ 550,000 58989

General Services Fund Group58990

4G7 028-601 Joint Legislative Ethics Committee $ 100,000 $ 100,000 58991
TOTAL GSF General Services Fund Group $ 100,000 $ 100,000 58992
TOTAL ALL BUDGET FUND GROUPS $ 650,000 $ 650,000 58993

       Section 321.10. LSC LEGISLATIVE SERVICE COMMISSION58994

General Revenue Fund58995

GRF 035-321 Operating Expenses $ 15,167,700 $ 15,167,700 58996
GRF 035-402 Legislative Interns $ 1,022,120 $ 1,022,120 58997
GRF 035-405 Correctional Institution Inspection Committee $ 393,900 $ 393,900 58998
GRF 035-409 National Associations $ 460,560 $ 460,560 58999
GRF 035-410 Legislative Information Systems $ 3,661,250 $ 3,661,250 59000
TOTAL GRF General Revenue Fund $ 20,705,530 $ 20,705,530 59001

General Services Fund Group59002

4F6 035-603 Legislative Budget Services $ 154,025 $ 154,025 59003
410 035-601 Sale of Publications $ 25,250 $ 25,250 59004
5EF 035-607 House and Senate Telephone Usage $ 30,000 $ 30,000 59005
TOTAL GSF General Services 59006
Fund Group $ 209,275 $ 209,275 59007
TOTAL ALL BUDGET FUND GROUPS $ 20,914,805 $ 20,914,805 59008

       JOINT LEGISLATIVE COMMITTEE ON MEDICAID TECHNOLOGY AND REFORM59009

        Of the foregoing appropriation item 035-321, Operating 59010
Expenses, $100,000 in each fiscal year shall be used for costs 59011
associated with employing an executive director for the Joint 59012
Legislative Committee on Medicaid Technology and Reform as 59013
authorized by division (C) of section 101.391 of the Revised Code.59014

       OHIO ECONOMIC ANALYSIS59015

       Of the foregoing appropriation item 035-321, Operating 59016
Expenses, up to $250,000 in each fiscal year shall be used to 59017
contract with a person, business, or other entity to provide the 59018
General Assembly with additional revenue forecasting and analysis 59019
of the Ohio economy.59020

       Section 323.10.  LIB STATE LIBRARY BOARD59021

General Revenue Fund59022

GRF 350-321 Operating Expenses $ 6,298,677 $ 6,298,677 59023
GRF 350-400 Ohio Public Library Information Network $ 4,330,000 $ 4,330,000 59024
GRF 350-401 Ohioana Rental Payments $ 124,816 $ 124,816 59025
GRF 350-501 Library for the Blind-Cincinnati $ 535,615 $ 535,615 59026
GRF 350-502 Regional Library Systems $ 1,010,441 $ 1,010,441 59027
GRF 350-503 Library for the Blind-Cleveland $ 805,642 $ 805,642 59028
TOTAL GRF General Revenue Fund $ 13,105,191 $ 13,105,191 59029

General Services Fund Group59030

139 350-602 Intra-Agency Service Charges $ 9,000 $ 9,000 59031
4S4 350-604 Ohio Public Library Information Network Technology $ 3,000,000 $ 3,000,000 59032
459 350-602 Library Service Charges $ 2,708,092 $ 2,708,092 59033
TOTAL GSF General Services 59034
Fund Group $ 5,717,092 $ 5,717,092 59035

Federal Special Revenue Fund Group59036

313 350-601 LSTA Federal $ 5,691,792 $ 5,691,792 59037
TOTAL FED Federal Special Revenue 59038
Fund Group $ 5,691,792 $ 5,691,792 59039
TOTAL ALL BUDGET FUND GROUPS $ 24,514,075 $ 24,514,075 59040

       OHIOANA RENTAL PAYMENTS59041

       The foregoing appropriation item 350-401, Ohioana Rental59042
Payments, shall be used to pay the rental expenses of the Martha59043
Kinney Cooper Ohioana Library Association pursuant to section59044
3375.61 of the Revised Code.59045

       LIBRARY FOR THE BLIND-CINCINNATI59046

        The foregoing appropriation item 350-501, Library for the 59047
Blind-Cincinnati, shall be used for the Talking Book program, 59048
which assists the blind and disabled.59049

       REGIONAL LIBRARY SYSTEMS59050

       The foregoing appropriation item 350-502, Regional Library59051
Systems, shall be used to support regional library systems59052
eligible for funding under sections 3375.83 and 3375.90 of the 59053
Revised Code.59054

       LIBRARY FOR THE BLIND-CLEVELAND59055

        The foregoing appropriation item 350-503, Library for the 59056
Blind-Cleveland, shall be used for the Talking Book program, which 59057
assists the blind and disabled.59058

       OHIO PUBLIC LIBRARY INFORMATION NETWORK59059

       The foregoing appropriation items 350-604, Ohio Public 59060
Library Information Network Technology, and 350-400, Ohio Public 59061
Library Information Network, shall be used for an information59062
telecommunications network linking public libraries in the state59063
and such others as may be certified as participants by the Ohio59064
Public Library Information Network Board.59065

       The Ohio Public Library Information Network Board shall59066
consist of eleven members appointed by the State Library Board59067
from among the staff of public libraries and past and present59068
members of boards of trustees of public libraries, based on the59069
recommendations of the Ohio library community. The Ohio Public59070
Library Information Network Board, in consultation with the State59071
Library, shall develop a plan of operations for the network. The59072
board may make decisions regarding use of the foregoing 59073
appropriation items 350-400, Ohio Public Library Information 59074
Network, and 350-604, Ohio Public Library Information Network 59075
Technology, may receive and expend grants to carry out the59076
operations of the network in accordance with state law and the 59077
authority to appoint and fix the compensation of a director and59078
necessary staff. The State Library shall be the fiscal agent for59079
the network and shall have fiscal accountability for the59080
expenditure of funds. The Ohio Public Library Information Network59081
Board members shall be reimbursed for actual travel and necessary59082
expenses incurred in carrying out their responsibilities.59083

       In order to limit access to obscene and illegal materials59084
through internet use at Ohio Public Library Information Network59085
(OPLIN) terminals, local libraries with OPLIN computer terminals59086
shall adopt policies that control access to obscene and illegal59087
materials. These policies may include use of technological systems 59088
to select or block certain internet access. The OPLIN shall 59089
condition provision of its funds, goods, and services on59090
compliance with these policies. The OPLIN Board shall also adopt59091
and communicate specific recommendations to local libraries on59092
methods to control such improper usage. These methods may include59093
each library implementing a written policy controlling such59094
improper use of library terminals and requirements for parental59095
involvement or written authorization for juvenile internet usage.59096

       Of the foregoing appropriation item 350-400, Ohio Public 59097
Library Information Network, up to $100,000 in each fiscal year 59098
shall be used to help local libraries purchase or maintain filters 59099
to screen out obscene and illegal internet materials.59100

       The OPLIN Board shall research and assist or advise local59101
libraries with regard to emerging technologies and methods that 59102
may be effective means to control access to obscene and illegal59103
materials. The OPLIN Executive Director shall biannually provide59104
written reports to the Governor, the Speaker and Minority Leader59105
of the House of Representatives, and the President and Minority59106
Leader of the Senate on any steps being taken by OPLIN and public59107
libraries in the state to limit and control such improper usage as59108
well as information on technological, legal, and law enforcement 59109
trends nationally and internationally affecting this area of 59110
public access and service.59111

       The Ohio Public Library Information Network, INFOhio, and59112
OhioLINK shall, to the extent feasible, coordinate and cooperate59113
in their purchase or other acquisition of the use of electronic59114
databases for their respective users and shall contribute funds in59115
an equitable manner to such effort.59116

       Section 325.10.  LCO LIQUOR CONTROL COMMISSION59117

Liquor Control Fund Group59118

043 970-321 Operating Expenses $ 743,093 $ 772,524 59119
TOTAL LCF Liquor Control Fund Group $ 743,093 $ 772,524 59120
TOTAL ALL BUDGET FUND GROUPS $ 743,093 $ 772,524 59121


       Section 327.10.  LOT STATE LOTTERY COMMISSION59123

General Services Fund Group59124

231 950-604 Charitable Gaming Oversight $ 2,253,000 $ 2,378,000 59125
TOTAL GSF General Services Fund Group $ 2,253,000 $ 2,378,000 59126

State Lottery Fund Group59127

044 950-100 Personal Services $ 25,945,116 $ 27,085,265 59128
044 950-200 Maintenance $ 18,748,274 $ 18,693,328 59129
044 950-300 Equipment $ 2,554,500 $ 2,446,500 59130
044 950-402 Advertising Contracts $ 21,250,000 $ 21,250,000 59131
044 950-403 Gaming Contracts $ 50,419,360 $ 51,250,704 59132
044 950-500 Problem Gambling Subsidy $ 335,000 $ 335,000 59133
044 950-601 Direct Prize Payments $ 147,716,286 $ 147,716,286 59134
871 950-602 Annuity Prizes $ 151,724,305 $ 151,724,305 59135
TOTAL SLF State Lottery Fund 59136
Group $ 418,692,841 $ 420,501,388 59137
TOTAL ALL BUDGET FUND GROUPS $ 420,945,841 $ 422,879,388 59138

       OPERATING EXPENSES59139

       Notwithstanding sections 127.14 and 131.35 of the Revised 59140
Code, the Controlling Board may, at the request of the State 59141
Lottery Commission, authorize additional appropriations for 59142
operating expenses of the State Lottery Commission from the State 59143
Lottery Fund up to a maximum of 15 per cent of anticipated total 59144
revenue accruing from the sale of lottery tickets.59145

       DIRECT PRIZE PAYMENTS59146

       Any amounts, in addition to the amounts appropriated in59147
appropriation item 950-601, Direct Prize Payments, that the 59148
Director of the State Lottery Commission determines to be 59149
necessary to fund prizes, bonuses, and commissions are hereby 59150
appropriated.59151

       ANNUITY PRIZES59152

       With the approval of the Office of Budget and Management, the59153
State Lottery Commission shall transfer cash from the State59154
Lottery Fund Group (Fund 044) to the Deferred Prizes Trust Fund59155
(Fund 871) in an amount sufficient to fund deferred prizes. The59156
Treasurer of State, from time to time, shall credit the Deferred59157
Prizes Trust Fund (Fund 871) the pro rata share of interest earned59158
by the Treasurer of State on invested balances.59159

       Any amounts, in addition to the amounts appropriated in59160
appropriation item 950-602, Annuity Prizes, that the Director of 59161
the State Lottery Commission determines to be necessary to fund 59162
deferred prizes and interest earnings are hereby appropriated.59163

       TRANSFERS TO THE LOTTERY PROFITS EDUCATION FUND59164

       The Ohio Lottery Commission shall transfer an amount greater59165
than or equal to $657,900,000 in fiscal year 2008 and $667,900,00059166
in fiscal year 2009 to the Lottery Profits Education Fund.59167
Transfers from the Commission to the Lottery Profits Education59168
Fund shall represent the estimated net income from operations for59169
the Commission in fiscal year 2008 and fiscal year 2009. Transfers 59170
by the Commission to the Lottery Profits Education Fund shall be 59171
administered as the statutes direct.59172

       Section 329.10. MHC MANUFACTURED HOMES COMMISSION59173

General Services Fund Group59174

4K9 996-609 Operating Expenses $ 418,122 $ 434,671 59175
TOTAL GSF General Services 59176
Fund Group $ 418,122 $ 434,671 59177
TOTAL ALL BUDGET FUND GROUPS $ 418,122 $ 434,671 59178


       Section 331.10. MED STATE MEDICAL BOARD59180

General Services Fund Group59181

5C6 883-609 Operating Expenses $ 7,883,145 $ 8,225,945 59182
TOTAL GSF General Services 59183
Fund Group $ 7,883,145 $ 8,225,945 59184
TOTAL ALL BUDGET FUND GROUPS $ 7,883,145 $ 8,225,945 59185


       Section 333.10. AMB MEDICAL TRANSPORTATION BOARD59187

General Services Fund Group59188

4K9 915-604 Operating Expenses $ 471,450 $ 473,450 59189
TOTAL GSF General Services 59190
Fund Group $ 471,450 $ 473,450 59191
TOTAL ALL BUDGET FUND GROUPS $ 471,450 $ 473,450 59192

       CASH TRANSFER TO OCCUPATIONAL LICENSING AND REGULATORY FUND 59193
(FUND 4K9)59194

       Effective July 1, 2007, or as soon as practicable thereafter, 59195
the Director of Budget and Management may transfer the cash 59196
balance in the Ohio Medical Transportation Trust Fund (Fund 4N1), 59197
created in division (B) of section 4766.05 of the Revised Code, to 59198
the Occupational Licensing and Regulatory Fund (Fund 4K9), created 59199
in section 4743.05 of the Revised Code. The director shall cancel 59200
any existing encumbrances against appropriation item 915-601, 59201
Operating Expenses, and re-establish them against appropriation 59202
item 915-604, Operating Expenses. The amounts of the 59203
re-established encumbrances are hereby appropriated. Upon 59204
completion of these transfers, the Ohio Medical Transportation 59205
Trust Fund (Fund 4N1) is hereby abolished.59206

       Section 335.10.  DMH DEPARTMENT OF MENTAL HEALTH59207

General Services Fund Group59208

151 336-601 Office of Support Services $ 134,060,000 $ 148,998,000 59209
TOTAL General Services Fund Group $ 134,060,000 $ 148,998,000 59210

Division of Mental Health--
59211

Psychiatric Services to Correctional Facilities
59212

General Revenue Fund59213

GRF 332-401 Forensic Services $ 4,338,858 $ 4,338,858 59214
TOTAL GRF General Revenue Fund $ 4,338,858 $ 4,338,858 59215


       Section 335.10.10. FORENSIC SERVICES59217

       The foregoing appropriation item 332-401, Forensic Services,59218
shall be used to provide psychiatric services to courts of common59219
pleas. The appropriation shall be allocated through community59220
mental health boards to certified community agencies and shall be59221
distributed according to the criteria delineated in rule59222
5122:32-01 of the Administrative Code. These community forensic59223
funds may also be used to provide forensic training to community59224
mental health boards and to forensic psychiatry residency programs59225
in hospitals operated by the Department of Mental Health and to59226
provide evaluations of patients of forensic status in facilities59227
operated by the Department of Mental Health prior to conditional59228
release to the community.59229

       In addition, appropriation item 332-401, Forensic Services,59230
may be used to support projects involving mental health, substance59231
abuse, courts, and law enforcement to identify and develop59232
appropriate alternative services to incarceration for nonviolent59233
mentally ill offenders, and to provide specialized re-entry 59234
services to offenders leaving prisons and jails. Funds may also be59235
utilized to provide forensic monitoring and tracking in addition 59236
to community programs serving persons of forensic status on 59237
conditional release or probation.59238

       Section 335.20. Division of Mental Health--59239

Administration and Statewide Programs
59240

General Revenue Fund59241

GRF 333-321 Central Administration $ 23,750,000 $ 23,750,000 59242
GRF 333-402 Resident Trainees $ 1,364,919 $ 1,364,919 59243
GRF 333-403 Pre-Admission Screening Expenses $ 650,135 $ 650,135 59244
GRF 333-415 Lease-Rental Payments $ 23,767,400 $ 20,504,500 59245
GRF 333-416 Research Program Evaluation $ 1,001,551 $ 1,001,551 59246
TOTAL GRF General Revenue Fund $ 50,534,005 $ 47,271,105 59247

General Services Fund Group59248

149 333-609 Central Office Operating $ 1,200,000 $ 1,200,000 59249
TOTAL General Services Fund Group $ 1,200,000 $ 1,200,000 59250

Federal Special Revenue Fund Group59251

3A6 333-608 Community & Hospital Services $ 140,000 $ 140,000 59252
3A7 333-612 Social Services Block Grant $ 25,000 $ 25,000 59253
3A8 333-613 Federal Grant - Administration $ 4,888,105 $ 4,888,105 59254
3A9 333-614 Mental Health Block Grant - Administration $ 748,470 $ 748,470 59255
3B1 333-635 Community Medicaid Expansion $ 13,691,682 $ 13,691,682 59256
324 333-605 Medicaid/Medicare $ 154,500 $ 154,500 59257
TOTAL Federal Special Revenue 59258
Fund Group $ 19,647,757 $ 19,647,757 59259

State Special Revenue Fund Group59260

232 333-621 Family and Children First Administration $ 625,000 $ 625,000 59261
4X5 333-607 Behavioral Health Medicaid Services $ 3,000,634 $ 3,000,634 59262
485 333-632 Mental Health Operating $ 134,233 $ 134,233 59263
5V2 333-611 Non-Federal Miscellaneous $ 580,000 $ 560,000 59264
TOTAL State Special Revenue 59265
Fund Group $ 4,339,867 $ 4,319,867 59266
TOTAL ALL BUDGET FUND GROUPS $ 75,721,629 $ 72,438,729 59267


       Section 335.20.10. RESIDENCY TRAINEESHIP PROGRAMS59269

       The foregoing appropriation item 333-402, Resident Trainees,59270
shall be used to fund training agreements entered into by the59271
Department of Mental Health for the development of curricula and59272
the provision of training programs to support public mental health59273
services.59274

       Section 335.20.20. PRE-ADMISSION SCREENING EXPENSES59275

       The foregoing appropriation item 333-403, Pre-Admission59276
Screening Expenses, shall be used to pay for costs to ensure that59277
uniform statewide methods for pre-admission screening are in place59278
to perform assessments for persons who have severe mental illness 59279
and are referred for long-term Medicaid certified nursing facility 59280
placement. Pre-admission screening includes the following59281
activities: pre-admission assessment, consideration of continued 59282
stay requests, discharge planning and referral, and adjudication 59283
of appeals and grievance procedures.59284

       Section 335.20.30. LEASE-RENTAL PAYMENTS59285

       The foregoing appropriation item 333-415, Lease-Rental59286
Payments, shall be used to meet all payments during the period 59287
from July 1, 2007, to June 30, 2009, by the Department of Mental 59288
Health under leases and agreements made under section 154.20 of 59289
the Revised Code. These appropriations are the source of funds 59290
pledged for bond service charges on obligations issued pursuant to 59291
Chapter 154. of the Revised Code.59292

       Section 335.20.40. BEHAVIORAL HEALTH MEDICAID SERVICES59293

       The Department of Mental Health shall administer specified59294
Medicaid Services as delegated by the Department of Job and Family59295
Services in an interagency agreement. The foregoing appropriation59296
item 333-607, Behavioral Health Medicaid Services, may be used to59297
make payments for free-standing psychiatric hospital inpatient59298
services as defined in an interagency agreement with the59299
Department of Job and Family Services.59300

       Section 335.20.50. PERFORMANCE REVIEW59301

       The Auditor of State shall complete a performance review of 59302
the Department of Mental Health. Upon completing the performance 59303
review, the Auditor of State shall submit a report of the findings 59304
of the review to the Governor, the President of the Senate, the 59305
Speaker of the House of Representatives, and the Director of 59306
Mental Health.59307

       Section 335.30. DIVISION OF MENTAL HEALTH - HOSPITALS59308

General Revenue Fund59309

GRF 334-408 Community and Hospital Mental Health Services $ 400,324,545 $ 400,324,545 59310
GRF 334-506 Court Costs $ 976,652 $ 976,652 59311
TOTAL GRF General Revenue Fund $ 401,301,197 $ 401,301,197 59312

General Services Fund Group59313

149 334-609 Hospital - Operating Expenses $ 33,800,000 $ 33,800,000 59314
150 334-620 Special Education $ 120,930 $ 120,930 59315
TOTAL GSF General Services 59316
Fund Group $ 33,920,930 $ 33,920,930 59317

Federal Special Revenue Fund Group59318

3A6 334-608 Subsidy for Federal Grants $ 586,224 $ 586,224 59319
3A8 334-613 Federal Letter of Credit $ 200,000 $ 200,000 59320
3B0 334-617 Adult Basic and Literary Education $ 182,334 $ 182,334 59321
3B1 334-635 Hospital Medicaid Expansion $ 2,000,000 $ 2,000,000 59322
324 334-605 Medicaid/Medicare $ 34,500,000 $ 50,500,000 59323
TOTAL FED Federal Special Revenue 59324
Fund Group $ 37,468,558 $ 53,468,558 59325

State Special Revenue Fund Group59326

485 334-632 Mental Health Operating $ 3,100,000 $ 3,100,000 59327
692 334-636 Community Mental Health Board Risk Fund $ 80,000 $ 80,000 59328
TOTAL SSR State Special Revenue 59329
Fund Group $ 3,180,000 $ 3,180,000 59330
TOTAL ALL BUDGET FUND GROUPS $ 475,870,685 $ 491,870,685 59331


       Section 335.30.20. COMMUNITY MENTAL HEALTH BOARD RISK FUND59333

       The foregoing appropriation item 334-636, Community Mental59334
Health Board Risk Fund, shall be used to make payments under59335
section 5119.62 of the Revised Code.59336

       Section 335.40. DIVISION OF MENTAL HEALTH - COMMUNITY SUPPORT59337
SERVICES59338

General Revenue Fund59339

GRF 335-404 Behavioral Health Services-Children $ 8,076,153 $ 8,711,153 59340
GRF 335-405 Family & Children First $ 2,260,000 $ 2,260,000 59341
GRF 335-419 Community Medication Subsidy $ 7,959,798 $ 7,959,798 59342
GRF 335-505 Local Mental Health Systems of Care $ 101,937,868 $ 101,937,868 59343
TOTAL GRF General Revenue Fund $ 120,233,819 $ 120,868,819 59344

General Services Fund Group59345

4P9 335-604 Community Mental Health Projects $ 250,000 $ 250,000 59346
TOTAL GSF General Services 59347
Fund Group $ 250,000 $ 250,000 59348

Federal Special Revenue Fund Group59349

3A6 335-608 Federal Miscellaneous $ 2,178,699 $ 2,178,699 59350
3A7 335-612 Social Services Block Grant $ 8,657,288 $ 8,657,288 59351
3A8 335-613 Federal Grant - Community Mental Health Board Subsidy $ 2,595,040 $ 2,595,040 59352
3A9 335-614 Mental Health Block Grant $ 14,969,400 $ 14,969,400 59353
3B1 335-635 Community Medicaid Expansion $ 299,614,455 $ 316,699,716 59354
TOTAL FED Federal Special Revenue Fund Group $ 328,014,882 $ 345,100,143 59355

State Special Revenue Fund Group59356

5AU 335-615 Behavioral Healthcare $ 6,690,000 $ 6,690,000 59357
632 335-616 Community Capital Replacement $ 350,000 $ 350,000 59358
TOTAL SSR State Special Revenue Fund Group $ 7,040,000 $ 7,040,000 59359

TOTAL ALL BUDGET FUND GROUPS $ 455,538,701 $ 473,258,962 59360
DEPARTMENT TOTAL 59361
GENERAL REVENUE FUND $ 576,407,879 $ 573,779,979 59362
DEPARTMENT TOTAL 59363
GENERAL SERVICES FUND GROUP $ 169,430,930 $ 184,368,930 59364
DEPARTMENT TOTAL 59365
FEDERAL SPECIAL REVENUE 59366
FUND GROUP $ 385,131,197 $ 418,216,458 59367
DEPARTMENT TOTAL 59368
STATE SPECIAL REVENUE FUND GROUP $ 14,559,867 $ 14,539,867 59369
DEPARTMENT TOTAL 59370
TOTAL DEPARTMENT OF MENTAL HEALTH $ 1,145,529,873 $ 1,190,905,234 59371


       Section 335.40.10. BEHAVIORAL HEALTH SERVICES - CHILDREN59373

       The foregoing appropriation item 335-404, Behavioral Health 59374
Services-Children, shall be used to provide behavioral health 59375
services for children and their families. Behavioral health 59376
services include mental health and alcohol and other drug 59377
treatment services and other necessary supports.59378

       Of the foregoing appropriation item 335-404, Behavioral 59379
Health Services-Children, an amount up to $4.5 million in fiscal 59380
year 2008 and $5.5 million in fiscal year 2009 shall be 59381
distributed to local Alcohol, Drug Addiction, and Mental Health 59382
Boards; Community Mental Health Boards; and Alcohol and Drug 59383
Addiction Boards, based upon a distribution formula and guidance 59384
defined by a team of state and local stakeholders appointed by the 59385
Ohio Family and Children First Cabinet Council. This team shall 59386
include, but not be limited to, all of the following:59387

       (A) At least one representative from each of the Departments 59388
of Alcohol and Drug Addiction Services, Mental Health, Education, 59389
Health, Job and Family Services, Mental Retardation and 59390
Developmental Disabilities, and the Department of Youth Services;59391

       (B) At least one person representing local public children's 59392
services agencies;59393

       (C) At least one person representing juvenile courts;59394

       (D) At least one person representing local Alcohol, Drug 59395
Addiction, and Mental Health Boards; Community Mental Health 59396
Boards; and Alcohol and Drug Addiction Boards;59397

       (E) At least one person representing local Family and 59398
Children First Council Coordinators;59399

       (F) At least one family representative.59400

       Funds may be used to support the following services and 59401
activities as determined by local Alcohol, Drug Addiction, and 59402
Mental Health Boards; Community Mental Health Boards; and Alcohol 59403
and Drug Addiction Boards and local family and children first 59404
councils and aligned with county service coordination mechanism as 59405
described in division (C) of section 121.37 of the Revised Code:59406

       (A) Mental health services provided by the Ohio Department of 59407
Mental Health certified agencies and alcohol and other drug 59408
services provided by Department of Alcohol and Drug Addiction 59409
Services certified agencies;59410

       (B) Services and supports for children and their families 59411
that further the implementation of their individual service plans;59412

       (C) Treatment services in out-of-home settings, including 59413
residential facilities, when other alternatives are not available 59414
or feasible;59415

       (D) Administrative support for efforts associated with this 59416
initiative;59417

       (E) These funds shall not be used to supplant existing 59418
efforts.59419

       Of the foregoing appropriation item 335-404, Behavioral 59420
Health Services-Children, an amount up to $1.0 million in fiscal 59421
year 2008 and $1.0 million in fiscal year 2009 shall be used to 59422
support projects, as determined by the Ohio Family and Children 59423
First Cabinet Council, in select areas around the state to focus 59424
on improving behavioral health juvenile justice services.59425

       Of the foregoing appropriation item 335-405, Family & 59426
Children First, an amount up to $500,000 in fiscal year 2008 and 59427
$500,000 in fiscal year 2009 shall be used for children for whom 59428
the primary focus of treatment is not a mental health or alcohol 59429
or drug addiction disorder and require services or supports to 59430
assist those needs through the County Family and Children First 59431
Council.59432

       Section 335.40.20. COMMUNITY MEDICATION SUBSIDY59433

       The foregoing appropriation item 335-419, Community59434
Medication Subsidy, shall be used to provide subsidized support59435
for psychotropic medication needs of indigent citizens in the59436
community to reduce unnecessary hospitalization because of lack of59437
medication and to provide subsidized support for methadone costs.59438

       Section 335.40.30. LOCAL MENTAL HEALTH SYSTEMS OF CARE59439

       The foregoing appropriation item 335-505, Local Mental Health 59440
Systems of Care, shall be used for mental health services provided 59441
by community mental health boards in accordance with a community 59442
mental health plan submitted under section 340.03 of the Revised 59443
Code and as approved by the Department of Mental Health.59444

       Of the foregoing appropriation item 334-505, Local Mental 59445
Health Systems of Care, not less than $37,058,917 in fiscal year 59446
2008 and not less than $37,058,917 in fiscal year 2009 shall be 59447
distributed by the Department of Mental Health on a per capita 59448
basis to community mental health boards.59449

       Of the foregoing appropriation item 335-505, Local Mental 59450
Health Systems of Care, $10,000 in each fiscal year shall be 59451
allocated to The Gathering Place in Athens.59452

       Section 337.10.  DMR DEPARTMENT OF MENTAL RETARDATION AND59453
DEVELOPMENTAL DISABILITIES59454

       Section 337.20.  GENERAL ADMINISTRATION AND STATEWIDE 59455
SERVICES59456

General Revenue Fund59457

GRF 320-321 Central Administration $ 9,638,610 $ 9,638,610 59458
GRF 320-412 Protective Services $ 2,792,322 $ 2,792,322 59459
GRF 320-415 Lease-Rental Payments $ 23,767,400 $ 20,504,500 59460
TOTAL GRF General Revenue Fund $ 36,198,332 $ 32,935,432 59461

General Services Fund Group59462

4B5 320-640 Training and Service Development $ 100,000 $ 100,000 59463
TOTAL GSF General Services 59464
Fund Group $ 100,000 $ 100,000 59465

Federal Special Revenue Fund Group59466

3A5 320-613 DD Council $ 2,705,004 $ 2,743,630 59467
TOTAL FED Federal Special Revenue 59468
Fund Group $ 2,705,004 $ 2,743,630 59469

State Special Revenue Fund Group 59470
5S2 590-622 Medicaid Administration & Oversight $ 11,003,855 $ 11,472,335 59471
TOTAL SSR State Special Revenue 59472
Fund Group $ 11,003,855 $ 11,472,335 59473
TOTAL ALL GENERAL ADMINISTRATION 59474
AND STATEWIDE SERVICES 59475
BUDGET FUND GROUPS $ 50,007,191 $ 47,251,397 59476

       Section 337.20.10. LEASE-RENTAL PAYMENTS59477

       The foregoing appropriation item 320-415, Lease-Rental59478
Payments, shall be used to meet all payments at the time they are 59479
required to be made during the period from July 1, 2007, to June59480
30, 2009, by the Department of Mental Retardation and59481
Developmental Disabilities under leases and agreements made under 59482
section 154.20 of the Revised Code. These appropriations are the 59483
source of funds pledged for bond service charges or obligations 59484
issued pursuant to Chapter 154. of the Revised Code.59485

       Section 337.20.20. MR/DD FUTURES STUDY COMMITTEE59486

       (A) There is hereby created the MR/DD Futures Study 59487
Committee. The Committee shall consist of the following:59488

       (1) One member who is an individual eligible to receive 59489
services from a county board of mental retardation and 59490
developmental disabilities, appointed by the Governor;59491

       (2) One member who is an immediate family member of an 59492
individual eligible to receive services from a county board of 59493
mental retardation and developmental disabilities, appointed by 59494
the Governor;59495

       (3) Two members who are members of the House of 59496
Representatives, appointed by the Speaker of the House of 59497
Representatives as follows:59498

       (a) One member from the majority party;59499

       (b) One member from the minority party.59500

       (4) Two members who are members of the Senate, appointed by 59501
the President of the Senate as follows:59502

       (a) One member from the majority party;59503

       (b) One member from the minority party.59504

       (5) Four members of statewide advocacy organizations for 59505
individuals with mental retardation or other developmental 59506
disabilities, appointed as follows:59507

       (a) One member by the Board of Trustees of the Arc of Ohio;59508

       (b) One member by the Board of Directors of the Ohio League 59509
for the Mentally Retarded;59510

       (c) One member by the Board of People First of Ohio;59511

       (d) One member by the governing board of an organization 59512
designated by the Director of Mental Retardation and Developmental 59513
Disabilities;59514

       (6) One member appointed by the Board of Directors of the 59515
Ohio Self-Determination Association;59516

       (7) One member appointed by the governing authority of the 59517
Ohio Superintendents of County Boards of Mental Retardation and 59518
Developmental Disabilities Association;59519

       (8) Two members appointed by the Board of Trustees of the 59520
Ohio Association of County Boards of Mental Retardation and 59521
Developmental Disabilities;59522

       (9) One member appointed by the Board of Trustees of the 59523
County Commissioners' Association of Ohio;59524

       (10) Two members appointed by the Board of Trustees of the 59525
Ohio Provider Resource Association;59526

       (11) One member appointed by the Board of Directors of the 59527
Ohio Health Care Association;59528

       (12) The Director of Job and Family Services or the 59529
Director's designee;59530

       (13) Two members appointed by the Governor who are 59531
representatives of statewide labor organizations representing 59532
public employees;59533

       (14) The Director of Mental Retardation and Developmental 59534
Disabilities, who shall serve as the committee's chairperson.59535

       (B) The Governor shall not appoint an individual under 59536
division (A)(1) or (2) of this section if the individual is an 59537
employee of the state, an employee or member of a county board of 59538
mental retardation and developmental disabilities, or an employee 59539
or a governing board member of a provider of services to an 59540
individual with mental retardation and developmental disabilities.59541

       (C) Members of the Committee shall be appointed not later 59542
than thirty days after the effective date of this section. Members 59543
of the Committee shall serve without compensation, except to the 59544
extent that serving on the committee is considered part of their 59545
regular employment duties. The Department of Mental Retardation 59546
and Developmental Disabilities may reimburse members of the 59547
Committee for their reasonable travel expenses.59548

       (D) The Committee shall meet at times and locations 59549
determined by the chairperson to do all of the following:59550

       (1) Review the effectiveness, efficiency, and sustainability 59551
of current uses of funding for the state's mental retardation and 59552
developmental disabilities system;59553

       (2) Propose alternatives for effectively funding the 59554
nonfederal share of Medicaid expenditures for home and 59555
community-based services for individuals with mental retardation 59556
and other developmental disabilities, including the amendments by 59557
this act to sections 5123.047, 5123.048, 5123.0414, 5126.059, 59558
5126.0510, 5126.0511, and 5126.0512 of the Revised Code.59559

       (3) Identify the potential for reducing administrative costs 59560
in the state's mental retardation and developmental disabilities 59561
system;59562

       (4) Propose alternatives for effectively balancing revenues 59563
available to the state and the county boards of mental retardation 59564
and developmental disabilities to fulfill their responsibilities 59565
for funding, planning, and monitoring the delivery of mental 59566
retardation and developmental disability services;59567

       (5) Examine the efficiency and effectiveness of the current 59568
system of separate and concurrent mental retardation and 59569
developmental disabilities accreditation, licensure, 59570
certification, quality assurance, and quality improvement 59571
activities and propose changes to improve that system;59572

       (6) Recommend steps necessary to assure the long term 59573
financial sustainability of mental retardation and developmental 59574
disability services to meet current and future needs while 59575
affording counties the ability to make local decisions about the 59576
priority uses of local tax levy funding;59577

       (7) Determine the feasibility and potential benefits of 59578
regional planning approaches to meet specialized and intensive 59579
service needs;59580

       (8) Propose improvements needed and action steps to fully 59581
realize the principle of self-determination by individuals with 59582
mental retardation and other developmental disabilities;59583

       (9) Evaluate the effectiveness and equity of the state's 59584
mental retardation and developmental disabilities systems' uses of 59585
waiting and service substitution lists, priority populations, and 59586
having separate acuity instruments that vary by service setting;59587

       (10) Review other matters the Director of Mental Retardation 59588
and Developmental Disabilities considers appropriate for 59589
evaluations.59590

       (E) The Committee shall not transact business unless a quorum 59591
is present. A majority of the Committee members constitutes a 59592
quorum.59593

       (F) Not later than March 30, 2008, the Committee shall submit 59594
a report on its actions and recommendations to the Governor and 59595
General Assembly. The Committee shall cease to exist on submission 59596
of the report.59597

       Section 337.30. COMMUNITY SERVICES59598

General Revenue Fund59599

GRF 322-413 Residential and Support Services $ 6,753,881 $ 6,753,881 59600
GRF 322-416 Medicaid Waiver - State Match $ 113,692,413 $ 113,692,413 59601
GRF 322-501 County Boards Subsidies $ 90,067,913 $ 90,067,913 59602
GRF 322-503 Tax Equity $ 14,000,000 $ 14,000,000 59603
GRF 322-504 Martin Settlement $ 6,159,766 $ 29,036,451 59604
TOTAL GRF General Revenue Fund $ 230,673,973 $ 253,550,658 59605

General Services Fund Group59606

488 322-603 Provider Audit Refunds $ 10,000 $ 10,000 59607
5MO 322-628 Martin Settlement $ 150,000 $ 0 59608
TOTAL GSF General Services 59609
Fund Group $ 160,000 $ 10,000 59610

Federal Special Revenue Fund Group59611

3G6 322-639 Medicaid Waiver - Federal $ 456,311,171 $ 506,618,829 59612
3M7 322-650 CAFS Medicaid $ 4,278,713 $ 0 59613
325 322-612 Community Social Service Programs $ 11,186,114 $ 11,164,639 59614
TOTAL FED Federal Special Revenue 59615
Fund Group $ 471,775,998 $ 517,783,468 59616

State Special Revenue Fund Group59617

4K8 322-604 Medicaid Waiver - State Match $ 12,000,000 $ 12,000,000 59618
5DJ 322-625 Targeted Case Management Match $ 11,082,857 $ 11,470,757 59619
5DJ 322-626 Targeted Case Management Services $ 27,548,737 $ 28,512,943 59620
5EV 322-627 Program Fees $ 20,000 $ 20,000 59621
5H0 322-619 Medicaid Repayment $ 10,000 $ 10,000 59622
5Z1 322-624 County Board Waiver Match $ 116,000,000 $ 126,000,000 59623
TOTAL SSR State Special Revenue 59624
Fund Group $ 166,661,594 $ 178,013,700 59625
TOTAL ALL COMMUNITY SERVICES 59626
BUDGET FUND GROUPS $ 869,271,565 $ 949,357,826 59627


       Section 337.30.10. RESIDENTIAL AND SUPPORT SERVICES59629

       The Department of Mental Retardation and Developmental 59630
Disabilities may designate a portion of appropriation item 59631
322-413, Residential and Support Services, for Sermak Class 59632
Services used to implement the requirements of the agreement 59633
settling the condecree in Sermak v. Manuel, Case No. c-2-80-220,59634
United States District Court for the Southern District of Ohio,59635
Eastern Division.59636

       Section 337.30.20. OTHER RESIDENTIAL AND SUPPORT SERVICE 59637
PROGRAMS59638

       Notwithstanding Chapters 5123. and 5126. of the Revised Code, 59639
the Department of Mental Retardation and Developmental 59640
Disabilities may develop residential and support service programs 59641
funded by appropriation item 322-413, Residential and Support 59642
Services; and appropriation item 322-416, Medicaid Waiver - State 59643
Match, and the appropriation for supported living in appropriation 59644
item 322-501, County Board Subsidy, that enable persons with 59645
mental retardation and developmental disabilities to live in the 59646
community. Notwithstanding Chapter 5121. and section 5123.122 of 59647
the Revised Code, the Department may waive the support collection 59648
requirements of those statutes for persons in community programs 59649
developed by the Department under this section. The Department 59650
shall adopt rules under Chapter 119. of the Revised Code or may 59651
use existing rules for the implementation of these programs.59652

       Section 337.30.30. MEDICAID WAIVER - STATE MATCH (GRF)59653

       The purposes for which the foregoing appropriation item 59654
322-416, Medicaid Waiver - State Match, shall be used include the 59655
following:59656

       (A) Home and community-based waiver services under Title XIX 59657
of the "Social Security Act," 49 Stat. 620 (1935), 42 U.S.C. 301, 59658
as amended.59659

       (B) Services contracted by county boards of mental 59660
retardation and developmental disabilities.59661

       (C) To pay the nonfederal share of the cost of one or more 59662
new intermediate care facility for the mentally retarded certified 59663
beds in a county where the county board of mental retardation and 59664
developmental disabilities does not initiate or support the 59665
development or certification of such beds, if the Director of 59666
Mental Retardation and Developmental Disabilities is required by 59667
this act to transfer to the Director of Job and Family Services 59668
funds to pay such nonfederal share.59669

       The Department of Mental Retardation and Developmental 59670
Disabilities may designate a portion of appropriation item 59671
322-416, Medicaid Waiver - State Match, to county boards of mental 59672
retardation and developmental disabilities that have greater need 59673
for various residential and support services because of a low 59674
percentage of residential and support services development in 59675
comparison to the number of individuals with mental retardation or 59676
developmental disabilities in the county.59677

       Section 337.30.40. STATE SUBSIDY TO COUNTY MR/DD BOARDS59678

       The Department of Mental Retardation and Developmental 59679
Disabilities shall use the foregoing appropriation item 322-501, 59680
County Boards Subsidy, to pay each county board of mental 59681
retardation and developmental disabilities in each fiscal year of 59682
the biennium an amount that is equal to the amount such board 59683
received in fiscal year 2007 from former appropriation items 59684
322-417, Supported Living; 322-451, Family Support Services; 59685
322-452, Service and Support Administration; and 322-501, County 59686
Boards Subsidies.59687

        County boards shall use the subsidy for early childhood 59688
services and adult services provided under section 5126.05 of the 59689
Revised Code, family support services provided under section 59690
5126.11 of the Revised Code, service and support administration 59691
provided under section 5126.15 of the Revised Code, and supported 59692
living services provided under sections 5126.40 to 5126.47 of the 59693
Revised Code.59694

       In the event that the appropriation in appropriation item 59695
322-501, County Board Subsidy, for fiscal year 2008 or fiscal year 59696
2009 is greater than the subsidy paid by the Department for fiscal 59697
year 2007, the Department and county boards shall develop a 59698
formula for allocating the additional appropriation to each county 59699
board to support priorities determined by the Department and 59700
county boards.59701

       The Department shall distribute this subsidy to county boards 59702
in quarterly installments of equal amounts. The installments shall 59703
be made not later than the thirtieth day of September, the 59704
thirty-first day of December, the thirty-first day of March, and 59705
thirtieth day of June.59706

       The Department also may use the foregoing appropriation item 59707
322-501, County Boards Subsidy, to pay the nonfederal share of the 59708
cost of one or more new intermediate care facility for the 59709
mentally retarded certified beds in a county where the county 59710
board of mental retardation and developmental disabilities 59711
initiates or supports the development or certification of such 59712
beds, if the Director of Mental Retardation and Developmental 59713
Disabilities is required by this act to transfer to the Director 59714
of Job and Family Services funds to pay such nonfederal share.59715

       Section 337.30.45. MARTIN CONSENT ORDER COMPLIANCE59716

        To comply with the Martin Consent Order, on July 1, 2007, or 59717
as soon as possible thereafter, the Director of Budget and 59718
Management shall transfer $150,000 in cash from the General 59719
Revenue Fund to the Program Income Fund (FUND 5MO).59720

       Section 337.30.50. MEDICAID WAIVER - STATE MATCH (FUND 4K8)59721

       The foregoing appropriation item 322-604, Medicaid Waiver - 59722
State Match (Fund 4K8), shall be used as state matching funds for 59723
the home and community-based waivers.59724

       Section 337.30.60. TARGETED CASE MANAGEMENT SERVICES59725

       County boards of mental retardation and developmental 59726
disabilities shall pay the nonfederal portion of targeted case 59727
management costs to the Department of Mental Retardation and 59728
Developmental Disabilities. The Director of Mental Retardation and 59729
Developmental Disabilities shall withhold any amount owed to the 59730
Department from subsequent disbursements from any appropriation 59731
item or money otherwise due to a nonpaying county.59732

       The Departments of Mental Retardation and Developmental 59733
Disabilities and Job and Family Services may enter into an 59734
interagency agreement under which the Department of Mental 59735
Retardation and Developmental Disabilities shall pay the 59736
Department of Job and Family Services the nonfederal portion of 59737
the cost of targeted case management services paid by county 59738
boards and the Department of Job and Family Services shall pay the 59739
total cost of targeted case management claims.59740

       Section 337.30.70.  TRANSFER TO PROGRAM FEE FUND59741

       On July 1, 2007, or as soon as possible thereafter, the 59742
Director of Mental Retardation and Developmental Disabilities 59743
shall certify to the Director of Budget and Management the amount 59744
of cash that has been deposited into Fund 4B5, 59745
Conference/Training, pursuant to sections 5123.19 and 5126.25 of 59746
the Revised Code, less the amount that has been expended from Fund 59747
4B5 to operate the Certification and Registration Program 59748
established under section 5126.25 of the Revised Code and to 59749
license and inspect residential facilities as outlined in section 59750
5123.19 of the Revised Code. The certified amount shall not 59751
include amounts deposited into Fund 4B5 for training and 59752
conferences conducted by the Department of Mental Retardation and 59753
Developmental Disabilities. Upon receipt of the certification, the 59754
Director of Budget and Management shall transfer cash equal to the 59755
amount certified and all associated liabilities and obligations to 59756
Fund 5EV, Program Fee Fund, in the Department of Mental 59757
Retardation and Developmental Disabilities. 59758

       Section 337.30.80.  DEVELOPMENTAL CENTER BILLING FOR SERVICES 59759

       Developmental centers of the Department of Mental Retardation59760
and Developmental Disabilities may provide services to persons59761
with mental retardation or developmental disabilities living in59762
the community or to providers of services to these persons. The59763
Department may develop a method for recovery of all costs59764
associated with the provisions of these services.59765

       Section 337.40. RESIDENTIAL FACILITIES59766

General Revenue Fund59767

GRF 323-321 Developmental Center and Residential Facilities Operation Expenses $ 102,796,851 $ 102,796,851 59768
TOTAL GRF General Revenue Fund $ 102,796,851 $ 102,796,851 59769

General Services Fund Group59770

152 323-609 Developmental Center and Residential Operating Services $ 912,177 $ 912,177 59771
TOTAL GSF General Services 59772
Fund Group $ 912,177 $ 912,177 59773

Federal Special Revenue Fund Group59774

3A4 323-605 Developmental Center and Residential Facility Services and Support $ 136,299,536 $ 137,555,308 59775
TOTAL FED Federal Special Revenue 59776
Fund Group $ 136,299,536 $ 137,555,308 59777

State Special Revenue Fund Group59778

221 322-620 Supplement Service Trust $ 150,000 $ 150,000 59779
489 323-632 Developmental Center Direct Care Support $ 14,543,764 $ 14,671,616 59780
TOTAL SSR State Special Revenue 59781
Fund Group $ 14,693,764 $ 14,821,616 59782
TOTAL ALL RESIDENTIAL FACILITIES 59783
BUDGET FUND GROUPS $ 254,702,328 $ 256,085,952 59784

DEPARTMENT TOTAL 59785
GENERAL REVENUE FUND $ 369,669,156 $ 389,282,941 59786
DEPARTMENT TOTAL 59787
GENERAL SERVICES FUND GROUP $ 1,172,177 $ 1,022,177 59788
DEPARTMENT TOTAL 59789
FEDERAL SPECIAL REVENUE FUND GROUP $ 610,780,538 $ 658,082,406 59790
DEPARTMENT TOTAL 59791
STATE SPECIAL REVENUE FUND GROUP $ 192,359,213 $ 204,307,651 59792
TOTAL DEPARTMENT OF MENTAL 59793
RETARDATION AND DEVELOPMENTAL 59794
DISABILITIES $ 1,173,981,084 $ 1,252,695,175 59795


       Section 337.40.10. TRANSFER OF FUNDS FOR DEVELOPMENTAL CENTER 59797
PHARMACY PROGRAMS59798

       The Department of Mental Retardation and Developmental 59799
Disabilities shall pay the Department of Job and Family Services 59800
quarterly, through intrastate transfer voucher, the nonfederal 59801
share of Medicaid prescription drug claim costs for all 59802
developmental centers paid by the Department of Job and Family 59803
Services.59804

       Section 337.40.20. NONFEDERAL MATCH FOR ACTIVE TREATMENT 59805
SERVICES59806

        Any county funds received by the Department from county 59807
boards for active treatment shall be deposited in Fund 489, Mental 59808
Retardation Operating.59809

       Section 337.40.30. NONFEDERAL SHARE OF NEW ICF/MR BEDS59810

       (A) As used in this section:59811

       (1) "Family support services," "home and community-based 59812
services," "service and support administration," and "supported 59813
living" have the same meaning as in section 5126.01 of the Revised 59814
Code.59815

       (2) "Intermediate care facility for the mentally retarded" 59816
has the same meaning as in section 5111.20 of the Revised Code.59817

       (B) If one or more new beds obtain certification as an 59818
intermediate care facility for the mentally retarded bed on or 59819
after July 1, 2007, the Director of Mental Retardation and 59820
Developmental Disabilities shall transfer funds to the Department 59821
of Job and Family Services to pay the nonfederal share of the cost 59822
under the Medicaid Program for those beds. The Director shall use 59823
only the following funds for the transfer:59824

       (1) If the beds are located in a county served by a county 59825
board of mental retardation and developmental disabilities that 59826
does not initiate or support the beds' certification, funds 59827
appropriated to the Department of Mental Retardation and 59828
Developmental Disabilities for home and community-based services 59829
and supported living for which the Director is authorized to make 59830
allocations to county boards;59831

       (2) If the beds are located in a county served by a county 59832
board that initiates or supports the beds' certification, funds 59833
appropriated to the Department for family support services, 59834
service and support administration, and other services for which 59835
the Director is authorized to make allocations to counties.59836

       (C) The funds that the Director transfers under division 59837
(B)(2) of this section shall be funds that the Director has 59838
allocated to the county board serving the county in which the beds 59839
are located unless the amount of the allocation is insufficient to 59840
pay the entire nonfederal share of the cost under the Medicaid 59841
Program for those beds. If the allocation is insufficient, the 59842
Director shall use as much of such funds allocated to other 59843
counties as is needed to make up the difference.59844

       Section 339.10.  MIH COMMISSION ON MINORITY HEALTH59845

General Revenue Fund59846

GRF 149-321 Operating Expenses $ 550,211 $ 561,216 59847
GRF 149-501 Minority Health Grants $ 670,965 $ 1,670,965 59848
GRF 149-502 Lupus Program $ 136,126 $ 136,126 59849
TOTAL GRF General Revenue Fund $ 1,357,302 $ 2,368,307 59850

Federal Special Revenue Fund Group59851

3J9 149-602 Federal Grants $ 457,486 $ 320,297 59852
TOTAL FED Federal Special Revenue 59853
Fund Group $ 457,486 $ 320,297 59854

State Special Revenue Fund Group59855

4C2 149-601 Minority Health Conference $ 150,000 $ 150,000 59856
TOTAL SSR State Special Revenue 59857
Fund Group $ 150,000 $ 150,000 59858
TOTAL ALL BUDGET FUND GROUPS $ 1,964,788 $ 2,838,604 59859


       Section 341.10. CRB MOTOR VEHICLE COLLISION REPAIR59861
REGISTRATION BOARD59862

General Service Fund Group59863

4K9 865-601 Operating Expenses $ 334,995 $ 334,995 59864
TOTAL GSF General Services 59865
Fund Group $ 334,995 $ 334,995 59866
TOTAL ALL BUDGET FUND GROUPS $ 334,995 $ 334,995 59867

       CASH TRANSFER TO OCCUPATIONAL LICENSING AND REGULATORY FUND 59868
(FUND 4K9)59869

       Effective July 1, 2007, or as soon as possible thereafter, 59870
the Director of Budget and Management may transfer the cash 59871
balance in the Motor Vehicle Collision Repair Registration Fund 59872
(Fund 5H9), created in division (A) of section 4775.08 of the 59873
Revised Code, to the Occupational Licensing and Regulatory Fund 59874
(Fund 4K9), created in section 4743.05 of the Revised Code. The 59875
Director may cancel any existing encumbrances against 59876
appropriation item 865-609, Operating Expenses – CRB, in Fund 5H9, 59877
and re-establish them against appropriation item 865-601, 59878
Operating Expenses, in Fund 4K9. The amounts of the re-established 59879
encumbrances are hereby appropriated. The Motor Vehicle Collision 59880
Repair Registration Fund (Fund 5H9), created in division (A) of 59881
section 4775.08 of the Revised Code, is hereby abolished.59882

       Section 343.10. DNR DEPARTMENT OF NATURAL RESOURCES59883

General Revenue Fund59884

GRF 725-401 Wildlife-GRF Central Support $ 2,705,950 $ 2,800,930 59885
GRF 725-404 Fountain Square Rental Payments - OBA $ 1,094,900 $ 1,081,200 59886
GRF 725-407 Conservation Reserve Enhancement Program $ 1,000,000 $ 1,000,000 59887
GRF 725-413 Lease Rental Payments $ 19,589,400 $ 18,316,200 59888
GRF 725-423 Stream and Ground Water Gauging $ 311,910 $ 311,910 59889
GRF 725-425 Wildlife License Reimbursement $ 500,000 $ 400,000 59890
GRF 725-456 Canal Lands $ 332,859 $ 332,859 59891
GRF 725-502 Soil and Water Districts $ 12,222,420 $ 12,880,791 59892
GRF 725-903 Natural Resources General Obligation Debt Service $ 24,713,800 $ 25,723,000 59893
GRF 727-321 Division of Forestry $ 8,541,511 $ 8,541,511 59894
GRF 728-321 Division of Geological Survey $ 1,799,222 $ 1,825,150 59895
GRF 729-321 Office of Information Technology $ 440,895 $ 440,895 59896
GRF 730-321 Division of Parks and Recreation $ 39,874,841 $ 39,874,841 59897
GRF 733-321 Division of Water $ 3,207,619 $ 3,257,619 59898
GRF 736-321 Division of Engineering $ 3,118,703 $ 3,118,703 59899
GRF 737-321 Division of Soil and Water $ 4,074,788 $ 4,074,788 59900
GRF 738-321 Division of Real Estate and Land Management $ 2,291,874 $ 2,291,874 59901
GRF 741-321 Division of Natural Areas and Preserves $ 3,050,000 $ 3,050,000 59902
GRF 744-321 Division of Mineral Resources Management $ 3,068,167 $ 3,068,167 59903
TOTAL GRF General Revenue Fund $ 131,938,859 $ 132,390,438 59904

General Services Fund Group59905

155 725-601 Departmental Projects $ 2,259,402 $ 2,260,021 59906
157 725-651 Central Support Indirect $ 6,228,950 $ 6,528,675 59907
204 725-687 Information Services $ 4,676,627 $ 4,676,627 59908
207 725-690 Real Estate Services $ 64,000 $ 64,000 59909
223 725-665 Law Enforcement Administration $ 2,230,485 $ 2,358,307 59910
227 725-406 Parks Projects Personnel $ 110,000 $ 110,000 59911
4D5 725-618 Recycled Materials $ 50,000 $ 50,000 59912
4S9 725-622 NatureWorks Personnel $ 525,000 $ 525,000 59913
4X8 725-662 Water Resources Council $ 125,000 $ 125,000 59914
430 725-671 Canal Lands $ 1,150,082 $ 1,150,082 59915
508 725-684 Natural Resources Publications $ 148,527 $ 148,280 59916
510 725-631 Maintenance - State-owned Residences $ 353,611 $ 303,611 59917
516 725-620 Water Management $ 2,913,618 $ 2,931,513 59918
635 725-664 Fountain Square Facilities Management $ 3,609,835 $ 3,640,398 59919
697 725-670 Submerged Lands $ 751,342 $ 772,011 59920
TOTAL GSF General Services 59921
Fund Group $ 25,196,479 $ 25,643,525 59922

Federal Special Revenue Fund Group59923

3B3 725-640 Federal Forest Pass-Thru $ 225,000 $ 225,000 59924
3B4 725-641 Federal Flood Pass-Thru $ 490,000 $ 490,000 59925
3B5 725-645 Federal Abandoned Mine Lands $ 14,307,664 $ 14,307,667 59926
3B6 725-653 Federal Land and Water Conservation Grants $ 2,000,000 $ 2,000,000 59927
3B7 725-654 Reclamation - Regulatory $ 2,107,291 $ 2,107,292 59928
3P0 725-630 Natural Areas and Preserves - Federal $ 215,000 $ 215,000 59929
3P1 725-632 Geological Survey - Federal $ 655,000 $ 720,000 59930
3P2 725-642 Oil and Gas-Federal $ 226,961 $ 234,509 59931
3P3 725-650 Coastal Management - Federal $ 2,643,323 $ 1,691,237 59932
3P4 725-660 Water - Federal $ 316,304 $ 316,734 59933
3R5 725-673 Acid Mine Drainage Abatement/Treatment $ 1,999,998 $ 2,025,001 59934
3Z5 725-657 REALM-Federal $ 1,850,000 $ 1,850,000 59935
332 725-669 Federal Mine Safety Grant $ 258,102 $ 258,102 59936
TOTAL FED Federal Special Revenue 59937
Fund Group $ 27,294,643 $ 26,440,542 59938

State Special Revenue Fund Group59939

4J2 725-628 Injection Well Review $ 67,578 $ 68,933 59940
4M7 725-631 Wildfire Suppression $ 70,000 $ 0 59941
4M7 725-686 Wildfire Suppression $ 100,000 $ 100,000 59942
4U6 725-668 Scenic Rivers Protection $ 407,100 $ 407,100 59943
5BV 725-683 Soil and Water Districts $ 1,850,000 $ 1,850,000 59944
5B3 725-674 Mining Regulation $ 28,850 $ 28,850 59945
5K1 725-626 Urban Forestry Grant $ 10,000 $ 12,000 59946
5P2 725-634 Wildlife Boater Angler Administration $ 3,500,000 $ 3,500,000 59947
509 725-602 State Forest $ 5,070,946 $ 5,211,924 59948
511 725-646 Ohio Geological Mapping $ 815,179 $ 724,310 59949
512 725-605 State Parks Operations $ 27,314,288 $ 27,314,288 59950
512 725-680 Parks Facilities Maintenance $ 2,576,240 $ 2,576,240 59951
514 725-606 Lake Erie Shoreline $ 917,113 $ 757,113 59952
518 725-643 Oil and Gas Permit Fees $ 2,574,378 $ 2,586,568 59953
518 725-677 Oil and Gas Well Plugging $ 800,000 $ 800,000 59954
521 725-627 Off-Road Vehicle Trails $ 198,490 $ 143,490 59955
522 725-656 Natural Areas and Preserves $ 1,550,670 $ 1,550,670 59956
526 725-610 Strip Mining Administration Fee $ 1,932,491 $ 1,903,871 59957
527 725-637 Surface Mining Administration $ 1,852,842 $ 1,946,591 59958
529 725-639 Unreclaimed Land Fund $ 2,892,516 $ 2,024,257 59959
531 725-648 Reclamation Forfeiture $ 2,062,234 $ 2,062,237 59960
532 725-644 Litter Control and Recycling $ 6,280,681 $ 6,280,681 59961
586 725-633 Scrap Tire Program $ 1,000,000 $ 1,000,000 59962
615 725-661 Dam Safety $ 548,223 $ 595,416 59963
TOTAL SSR State Special Revenue 59964
Fund Group $ 64,419,819 $ 63,444,539 59965

Clean Ohio Fund Group59966

061 725-405 Clean Ohio Operating $ 155,000 $ 155,000 59967
TOTAL CLF Clean Ohio Fund Group $ 155,000 $ 155,000 59968

Wildlife Fund Group59969

015 740-401 Division of Wildlife Conservation $ 53,706,000 $ 54,906,000 59970
815 725-636 Cooperative Management Projects $ 120,449 $ 120,449 59971
816 725-649 Wetlands Habitat $ 966,885 $ 966,885 59972
817 725-655 Wildlife Conservation Checkoff Fund $ 5,000,000 $ 5,000,000 59973
818 725-629 Cooperative Fisheries Research $ 1,500,000 $ 1,500,000 59974
819 725-685 Ohio River Management $ 128,584 $ 128,584 59975
TOTAL WLF Wildlife Fund Group $ 61,421,918 $ 62,621,918 59976

Waterways Safety Fund Group59977

086 725-414 Waterways Improvement $ 3,925,075 $ 4,062,452 59978
086 725-418 Buoy Placement $ 52,182 $ 52,182 59979
086 725-501 Waterway Safety Grants $ 137,867 $ 137,867 59980
086 725-506 Watercraft Marine Patrol $ 576,153 $ 576,153 59981
086 725-513 Watercraft Educational Grants $ 366,643 $ 366,643 59982
086 739-401 Division of Watercraft $ 19,626,681 $ 20,166,681 59983
5AW 725-682 Watercraft Revolving Loans $ 1,000,000 $ 1,000,000 59984
TOTAL WSF Waterways Safety Fund 59985
Group $ 25,684,601 $ 26,361,978 59986

Holding Account Redistribution Fund Group59987

R17 725-659 Performance Cash Bond Refunds $ 279,263 $ 279,263 59988
R43 725-624 Forestry $ 1,950,188 $ 2,007,977 59989
TOTAL 090 Holding Account 59990
Redistribution Fund Group $ 2,229,451 $ 2,287,240 59991

Accrued Leave Liability Fund Group59992

4M8 725-675 FOP Contract $ 20,844 $ 20,844 59993
TOTAL ALF Accrued Leave 59994
Liability Fund Group $ 20,844 $ 20,844 59995
TOTAL ALL BUDGET FUND GROUPS $ 338,361,614 $ 339,366,024 59996


       Section 343.20. CENTRAL SUPPORT INDIRECT59998

        With the exception of the Division of Wildlife, whose direct 59999
and indirect central support charges shall be paid out of the 60000
General Revenue Fund from the foregoing appropriation item 60001
725-401, Wildlife-GRF Central Support, the Department of Natural 60002
Resources, with approval of the Director of Budget and Management, 60003
shall utilize a methodology for determining each division's 60004
payments into the Central Support Indirect Fund (Fund 157). The 60005
methodology used shall contain the characteristics of 60006
administrative ease and uniform application in compliance with 60007
federal grant requirements. It may include direct cost charges for 60008
specific services provided. Payments to the Central Support 60009
Indirect Fund (Fund 157) shall be made using an intrastate 60010
transfer voucher.60011

       Section 343.30. FOUNTAIN SQUARE60012

       The foregoing appropriation item 725-404, Fountain Square60013
Rental Payments - OBA, shall be used by the Department of Natural60014
Resources to meet all payments required to be made to the Ohio60015
Building Authority during the period from July 1, 2007, to June60016
30, 2009, pursuant to leases and agreements with the Ohio Building60017
Authority under section 152.42 of the Revised Code. These 60018
appropriations are the source of funds pledged for bond service 60019
charges on obligations issued pursuant to Chapter 152. of the 60020
Revised Code.60021

       The Director of Natural Resources, using intrastate transfer60022
vouchers, shall make payments to the General Revenue Fund from60023
funds other than the General Revenue Fund to reimburse the General60024
Revenue Fund for the other funds' shares of the lease rental60025
payments to the Ohio Building Authority. The transfers from the60026
non-General Revenue funds shall be made within 10 days of the60027
payment to the Ohio Building Authority for the actual amounts60028
necessary to fulfill the leases and agreements pursuant to section60029
152.241 of the Revised Code.60030

       The foregoing appropriation item 725-664, Fountain Square60031
Facilities Management (Fund 635), shall be used for payment of60032
repairs, renovation, utilities, property management, and building60033
maintenance expenses for the Fountain Square Complex. Cash60034
transferred by intrastate transfer vouchers from various60035
department funds and rental income received by the Department of60036
Natural Resources shall be deposited into the Fountain Square60037
Facilities Management Fund (Fund 635).60038

       LEASE RENTAL PAYMENTS60039

       The foregoing appropriation item 725-413, Lease Rental60040
Payments, shall be used to meet all payments at the times they are60041
required to be made during the period from July 1, 2007, to June60042
30, 2009, by the Department of Natural Resources pursuant to60043
leases and agreements made under section 154.22 of the Revised60044
Code. These appropriations are the source of funds pledged for 60045
bond service charges or obligations issued pursuant to Chapter 60046
154. of the Revised Code.60047

       NATURAL RESOURCES GENERAL OBLIGATION DEBT SERVICE60048

       The foregoing appropriation item 725-903, Natural Resources60049
General Obligation Debt Service, shall be used to pay all debt60050
service and related financing costs during the period July 1, 60051
2007, to June 30, 2009, on obligations issued under sections 60052
151.01 and 151.05 of the Revised Code.60053

       Section 343.40. WILDLIFE LICENSE REIMBURSEMENT60054

       Notwithstanding the limits of the transfer from the General60055
Revenue Fund to the Wildlife Fund, as adopted in section 1533.1560056
of the Revised Code, up to the amount available in appropriation60057
item 725-425, Wildlife License Reimbursement, may be transferred60058
from the General Revenue Fund to the Wildlife Fund (Fund 015).60059
Pursuant to the certification of the Director of Budget and60060
Management of the amount of foregone revenue in accordance with60061
section 1533.15 of the Revised Code, the foregoing appropriation60062
item in the General Revenue Fund, appropriation item 725-425,60063
Wildlife License Reimbursement, shall be used to reimburse the60064
Wildlife Fund (Fund 015) for the cost of hunting and fishing60065
licenses and permits issued after June 30, 1990, to individuals60066
who are exempted under the Revised Code from license, permit, and60067
stamp fees.60068

       WILDLIFE CONSERVATION CHECKOFF FUND60069

        Of the foregoing appropriation item 725-655, Wildlife 60070
Conservation Checkoff Fund, up to $75,000 in each fiscal year 60071
shall be used by the Ohio Wildlife Center for wildlife 60072
preservation, wildlife protection, and wildlife education efforts.60073

       CANAL LANDS60074

       The foregoing appropriation item 725-456, Canal Lands, shall60075
be used to transfer funds to the Canal Lands Fund (Fund 430) to60076
provide operating expenses for the State Canal Lands Program. The60077
transfer shall be made using an intrastate transfer voucher and60078
shall be subject to the approval of the Director of Budget and60079
Management.60080

       SOIL AND WATER DISTRICTS60081

       In addition to state payments to soil and water conservation60082
districts authorized by section 1515.10 of the Revised Code, the60083
Department of Natural Resources may pay to any soil and water60084
conservation district, from authority in appropriation item60085
725-502, Soil and Water Districts, an annual amount not to exceed60086
$30,000, upon receipt of a request and justification from the60087
district and approval by the Ohio Soil and Water Conservation60088
Commission. The county auditor shall credit the payments to the60089
special fund established under section 1515.10 of the Revised Code60090
for the local soil and water conservation district. Moneys60091
received by each district shall be expended for the purposes of60092
the district. The foregoing appropriation item 725-683, Soil and 60093
Water Districts, shall be expended for the purposes described 60094
above, except that the funding source for this appropriation shall 60095
be a fee applied on the disposal of construction and demolition 60096
debris as provided in section 1515.14 of the Revised Code, as 60097
amended by this act.60098

       Of the foregoing appropriation item 725-683, Soil and Water 60099
Districts, $220,000 in each fiscal year shall be used to support 60100
the Heidelberg College Water Quality Laboratory.60101

       Of the foregoing appropriation item 725-683, Soil and Water 60102
Districts, $125,000 in each fiscal year shall be used for the 60103
Indian Lake Watershed in Logan County.60104

       Of the foregoing appropriation item 725-502, Soil and Water 60105
Districts, $35,000 in each fiscal year shall be used for the 60106
Conservation Action Project.60107

       STATE PARK DEPRECIATION RESERVE60108

        The foregoing appropriation item 725-680, Parks Facilities 60109
Maintenance, shall be used by the Division of Parks and Recreation 60110
to maintain state park revenue-producing facilities in the best 60111
economic operating condition and to repair and replace equipment 60112
used in the operation of state park revenue producing facilities.60113

       OIL AND GAS WELL PLUGGING60114

       The foregoing appropriation item 725-677, Oil and Gas Well60115
Plugging, shall be used exclusively for the purposes of plugging60116
wells and to properly restore the land surface of idle and orphan60117
oil and gas wells pursuant to section 1509.071 of the Revised60118
Code. No funds from the appropriation item shall be used for60119
salaries, maintenance, equipment, or other administrative60120
purposes, except for those costs directly attributed to the60121
plugging of an idle or orphan well. Appropriation authority from60122
this appropriation item shall not be transferred to any other fund 60123
or line item.60124

       LITTER CONTROL AND RECYCLING60125

       Of the foregoing appropriation item, 725-644, Litter Control 60126
and Recycling, not more than $1,500,000 may be used in each fiscal 60127
year for the administration of the Recycling and Litter Prevention 60128
program.60129

       CLEAN OHIO OPERATING EXPENSES60130

       The foregoing appropriation item 725-405, Clean Ohio 60131
Operating, shall be used by the Department of Natural Resources in 60132
administering section 1519.05 of the Revised Code.60133

       WATERWAYS IMPROVEMENTS60134

        Of the foregoing appropriation item 725-414, Waterways 60135
Improvement, $50,000 in each fiscal year shall be used for 60136
dredging operations at Fairport Harbor.60137

       WATERCRAFT MARINE PATROL60138

       Of the foregoing appropriation item 739-401, Division of60139
Watercraft, not more than $200,000 in each fiscal year shall be60140
expended for the purchase of equipment for marine patrols60141
qualifying for funding from the Department of Natural Resources60142
pursuant to section 1547.67 of the Revised Code. Proposals for60143
equipment shall accompany the submission of documentation for60144
receipt of a marine patrol subsidy pursuant to section 1547.67 of60145
the Revised Code and shall be loaned to eligible marine patrols60146
pursuant to a cooperative agreement between the Department of60147
Natural Resources and the eligible marine patrol.60148

       WATERCRAFT REVOLVING LOAN PROGRAM60149

        Upon certification by the Director of Natural Resources, the 60150
Director of Budget and Management shall transfer an amount not to 60151
exceed $1,000,000 in fiscal year 2008 and not to exceed $1,000,000 60152
in fiscal year 2009 so certified from the Waterways Safety Fund 60153
(Fund 086) to the Watercraft Revolving Loans Fund (Fund 5AW). The 60154
moneys shall be used pursuant to sections 1547.721 to 1547.726 of 60155
the Revised Code.60156

       PARKS CAPITAL EXPENSES FUND60157

        The Director of Natural Resources shall submit to the 60158
Director of Budget and Management the estimated design, 60159
engineering, and planning costs of capital-related work to be done 60160
by Department of Natural Resources staff for parks projects. If 60161
the Director of Budget and Management approves the estimated 60162
costs, the Director may release appropriations from appropriation 60163
item 725-406, Parks Projects Personnel, for those purposes. Upon 60164
release of the appropriations, the Department of Natural Resources 60165
shall pay for these expenses from the Parks Capital Expenses Fund 60166
(Fund 227). Expenses paid from Fund 227 shall be reimbursed by the 60167
Parks and Recreation Improvement Fund (Fund 035) using an 60168
intrastate transfer voucher.60169

       CAPITAL EXPENSES FUND60170

        The Department of Natural Resources shall periodically 60171
prepare and submit to the Director of Budget and Management the 60172
estimated design, planning, and engineering costs of 60173
capital-related work to be done by the Department of Natural 60174
Resources for each project. Based on the estimates, the Director 60175
of Budget and Management may release appropriations from 60176
appropriation item CAP-753, Project Planning, within the Ohio 60177
Parks and Natural Resources Fund (Fund 031) to pay for design, 60178
planning, and engineering costs incurred by the Department of 60179
Natural Resources for the projects. Upon release of the 60180
appropriations by the Director of Budget and Management, the 60181
Department of Natural Resources shall pay for these expenses from 60182
the Capital Expenses Fund (Fund 4S9), and shall be reimbursed by 60183
the Ohio Parks and Natural Resources Fund (Fund 031) using an 60184
intrastate voucher.60185

       FUND CONSOLIDATION60186

       On July 1, 2007, or as soon thereafter as possible, the 60187
Director of Budget and Management shall transfer the cash balance 60188
as certified by the Director of Natural Resources from the Federal 60189
Forestry Fund (Fund 328) to the State Forest Fund (Fund 509). The 60190
Director shall cancel any remaining outstanding encumbrances 60191
against appropriation item 725-603, Forestry-Federal, and 60192
re-establish them against appropriation item 725-602, State 60193
Forest. The amounts of any encumbrances canceled and 60194
re-established are hereby appropriated.60195

       On July 1, 2007, or as soon thereafter as possible, the 60196
Director of Budget and Management shall transfer the cash balance 60197
as certified by the Director of Natural Resources from the REALM 60198
Support Services Fund (Fund 206) to the Fountain Square Facilities 60199
Management Fund (Fund 635). The Director shall cancel any 60200
remaining outstanding encumbrances against appropriation item 60201
725-689, REALM Support Services, and re-establish them against 60202
appropriation item 725-664, Fountain Square Facilities Management. 60203
The amounts of any encumbrances canceled and re-established are 60204
hereby appropriated.60205

       STATE PARK OPERATING60206

       All proceeds from insurance companies and any other sources 60207
for the replacement and construction of the Lake Hope Lodge and 60208
its appurtenances shall be deposited into the State Park Operating 60209
Fund (Fund 512).60210

       Section 345.10.  NUR STATE BOARD OF NURSING60211

General Services Fund Group60212

4K9 884-609 Operating Expenses $ 5,661,280 $ 5,661,280 60213
5P8 884-601 Nursing Special Issues $ 5,000 $ 5,000 60214
5AC 884-602 Nurse Education Grant Program $ 1,450,000 $ 1,450,000 60215
TOTAL GSF General Services 60216
Fund Group $ 7,116,280 $ 7,116,280 60217
TOTAL ALL BUDGET FUND GROUPS $ 7,116,280 $ 7,116,280 60218

       NURSING SPECIAL ISSUES60219

       The foregoing appropriation item 884-601, Nursing Special60220
Issues (Fund 5P8), shall be used to pay the costs the Board of60221
Nursing incurs in implementing section 4723.062 of the Revised60222
Code.60223

       Section 347.10. PYT OCCUPATIONAL THERAPY, PHYSICAL THERAPY, 60224
AND ATHLETIC TRAINERS BOARD60225

General Services Fund Group60226

4K9 890-609 Operating Expenses $ 892,241 $ 963,984 60227
TOTAL GSF General Services Fund Group $ 892,241 $ 963,984 60228
TOTAL ALL BUDGET FUND GROUPS $ 892,241 $ 963,984 60229


       Section 349.10. OLA OHIOANA LIBRARY ASSOCIATION60231

General Revenue Fund60232

GRF 355-501 Library Subsidy $ 200,000 $ 200,000 60233
TOTAL GRF General Revenue Fund $ 200,000 $ 200,000 60234
TOTAL ALL BUDGET FUND GROUPS $ 200,000 $ 200,000 60235


       Section 351.10. ODB OHIO OPTICAL DISPENSERS BOARD60237

General Services Fund Group60238

4K9 894-609 Operating Expenses $ 333,656 $ 345,324 60239
TOTAL GSF General Services 60240
Fund Group $ 333,656 $ 345,324 60241
TOTAL ALL BUDGET FUND GROUPS $ 333,656 $ 345,324 60242


       Section 353.10. OPT STATE BOARD OF OPTOMETRY60244

General Services Fund Group60245

4K9 885-609 Operating Expenses $ 344,571 $ 351,071 60246
TOTAL GSF General Services 60247
Fund Group $ 344,571 $ 351,071 60248
TOTAL ALL BUDGET FUND GROUPS $ 344,571 $ 351,071 60249


       Section 355.10. OPP STATE BOARD OF ORTHOTICS, PROSTHETICS, 60251
AND PEDORTHICS60252

General Services Fund Group60253

4K9 973-609 Operating Expenses $ 111,300 $ 116,260 60254
TOTAL GSF General Services 60255
Fund Group $ 111,300 $ 116,260 60256
TOTAL ALL BUDGET FUND GROUPS $ 111,300 $ 116,260 60257

       Section 357.10.  PBR STATE PERSONNEL BOARD OF REVIEW60258

General Revenue Fund60259

GRF 124-321 Operating $ 1,137,181 $ 1,179,825 60260
TOTAL GRF General Revenue Fund $ 1,137,181 $ 1,179,825 60261

General Services Fund Group60262

636 124-601 Records and Reporting Support $ 15,000 $ 15,000 60263
TOTAL GSF General Services 60264
Fund Group $ 15,000 $ 15,000 60265
TOTAL ALL BUDGET FUND GROUPS $ 1,152,181 $ 1,194,825 60266


       Section 359.10.  UST PETROLEUM UNDERGROUND STORAGE TANK60268

Agency Fund Group60269

691 810-632 PUSTRCB Staff $ 1,116,658 $ 1,169,181 60270
TOTAL AGY Agency Fund Group $ 1,116,658 $ 1,169,181 60271
TOTAL ALL BUDGET FUND GROUPS $ 1,116,658 $ 1,169,181 60272


       Section 361.10.  PRX STATE BOARD OF PHARMACY60274

General Services Fund Group60275

4A5 887-605 Drug Law Enforcement $ 75,550 $ 75,550 60276
4K9 887-609 Operating Expenses $ 4,874,572 $ 5,251,032 60277
TOTAL GSF General Services Fund Group $ 4,950,122 $ 5,326,582 60278

Federal Special Revenue Fund Group60279

3BC 887-604 Dangerous Drugs Database $ 558,531 $ 491,405 60280
TOTAL FED Federal Special Revenue Fund Group $ 558,531 $ 491,405 60281
TOTAL ALL BUDGET FUND GROUPS $ 5,508,653 $ 5,817,987 60282


       Section 363.10. PSY STATE BOARD OF PSYCHOLOGY60284

General Services Fund Group60285

4K9 882-609 Operating Expenses $ 586,565 $ 586,565 60286
TOTAL GSF General Services 60287
Fund Group $ 586,565 $ 586,565 60288
TOTAL ALL BUDGET FUND GROUPS $ 586,565 $ 586,565 60289


       Section 365.10.  PUB OHIO PUBLIC DEFENDER COMMISSION60291

General Revenue Fund60292

GRF 019-321 Public Defender Administration $ 1,287,404 $ 1,315,150 60293
GRF 019-401 State Legal Defense Services $ 5,914,023 $ 6,120,592 60294
GRF 019-403 Multi-County: State Share $ 766,402 $ 762,727 60295
GRF 019-404 Trumbull County - State Share $ 244,816 $ 243,650 60296
GRF 019-405 Training Account $ 31,324 $ 31,324 60297
GRF 019-501 County Reimbursement $ 29,834,251 $ 29,572,857 60298
TOTAL GRF General Revenue Fund $ 38,078,220 $ 38,046,300 60299

General Services Fund Group60300

101 019-602 Inmate Legal Assistance $ 33,338 $ 34,638 60301
407 019-604 County Representation $ 219,800 $ 227,500 60302
408 019-605 Client Payments $ 611,537 $ 476,760 60303
5CX 019-617 Civil Case Filing Fee $ 409,237 $ 598,400 60304
TOTAL GSF General Services 60305
Fund Group $ 1,273,912 $ 1,337,298 60306

Federal Special Revenue Fund Group60307

3S8 019-608 Federal Representation $ 350,948 $ 364,917 60308
TOTAL FED Federal Special Revenue 60309
Fund Group $ 350,948 $ 364,917 60310

State Special Revenue Fund Group60311

4C7 019-601 Multi-County: County Share $ 2,181,300 $ 2,288,200 60312
4X7 019-610 Trumbull County - County Share $ 696,800 $ 731,000 60313
574 019-606 Civil Legal Aid $ 40,000,000 $ 40,000,000 60314
TOTAL SSR State Special Revenue 60315
Fund Group $ 42,878,100 $ 43,019,200 60316
TOTAL ALL BUDGET FUND GROUPS $ 82,581,180 $ 82,767,715 60317

       INDIGENT DEFENSE OFFICE60318

       The foregoing appropriation items 019-404, Trumbull County -60319
State Share, and 019-610, Trumbull County - County Share, shall be60320
used to support an indigent defense office for Trumbull County.60321

       MULTI-COUNTY OFFICE60322

       The foregoing appropriation items 019-403, Multi-County:60323
State Share, and 019-601, Multi-County: County Share, shall be60324
used to support the Office of the Ohio Public Defender's60325
Multi-County Branch Office Program.60326

       TRAINING ACCOUNT60327

       The foregoing appropriation item 019-405, Training Account,60328
shall be used by the Ohio Public Defender to provide legal60329
training programs at no cost for private appointed counsel who60330
represent at least one indigent defendant at no cost and for state 60331
and county public defenders and attorneys who contract with the 60332
Ohio Public Defender to provide indigent defense services.60333

       FEDERAL REPRESENTATION60334

       The foregoing appropriation item 019-608, Federal60335
Representation, shall be used to receive reimbursements from the60336
federal courts when the Ohio Public Defender provides60337
representation in federal court cases and to support 60338
representation in such cases.60339

       Section 367.10. DHS DEPARTMENT OF PUBLIC SAFETY60340

General Revenue Fund60341

GRF 763-403 Operating Expenses - EMA $ 4,164,697 $ 4,164,697 60342
GRF 768-424 Operating Expenses - CJS $ 814,478 $ 814,478 60343
GRF 769-321 Food Stamp Trafficking Enforcement Operations $ 752,000 $ 752,000 60344
TOTAL GRF General Revenue Fund $ 5,731,175 $ 5,731,175 60345

State Special Revenue Fund Group60346

5EX 768-690 Disaster Preparedness $ 350,000 $ 350,000 60347
TOTAL SSR State Special Revenue Fund Group $ 350,000 $ 350,000 60348

TOTAL ALL BUDGET FUND GROUPS $ 6,081,175 $ 6,081,175 60349

       OHIO TASK FORCE ONE - URBAN SEARCH AND RESCUE UNIT60350

       Of the foregoing appropriation item 763-403, Operating60351
Expenses - EMA, $200,000 in each fiscal year shall be used to fund60352
the Ohio Task Force One - Urban Search and Rescue Unit and other60353
urban search and rescue programs around the state to create a60354
stronger search and rescue capability statewide.60355

       EMA DISASTER PREPAREDNESS AND RESPONSE GRANT60356

       Of the foregoing appropriation item 768-690, Disaster 60357
Preparedness, $275,000 in fiscal year 2008 and $350,000 in fiscal 60358
year 2009 shall be used for a grant to the American Red Cross 60359
Greater Columbus Chapter for implementation of programs to assist 60360
in disaster preparedness and response throughout Ohio. The 60361
American Red Cross Greater Columbus Chapter shall develop a 60362
funding plan that includes programmatic, infrastructure, and 60363
administrative costs. Moneys shall be released to the American Red 60364
Cross Greater Columbus Chapter not more than 45 days after 60365
submission of the plan to the Ohio Emergency Management Agency. Of 60366
the foregoing appropriation item 768-690, Disaster Preparedness, 60367
$75,000 in fiscal year 2008 shall be used for the Fire and 60368
Emergency Services Regionalization Project of Berea and Olmstead 60369
Falls.60370

       Section 369.10. PUC PUBLIC UTILITIES COMMISSION OF OHIO60371

General Services Fund Group60372

5F6 870-622 Utility and Railroad Regulation $ 32,820,027 $ 33,804,627 60373
5F6 870-624 NARUC/NRRI Subsidy $ 158,000 $ 158,000 60374
5F6 870-625 Motor Transportation Regulation $ 4,635,413 $ 4,772,765 60375
TOTAL GSF General Services 60376
Fund Group $ 37,613,440 $ 38,735,392 60377

Federal Special Revenue Fund Group60378

3V3 870-604 Commercial Vehicle Information Systems/Networks $ 300,000 $ 300,000 60379
333 870-601 Gas Pipeline Safety $ 597,957 $ 597,959 60380
350 870-608 Motor Carrier Safety $ 7,137,534 $ 7,351,660 60381
TOTAL FED Federal Special Revenue 60382
Fund Group $ 8,035,491 $ 8,249,619 60383

State Special Revenue Fund Group60384

4A3 870-614 Grade Crossing Protection Devices-State $ 1,349,757 $ 1,349,757 60385
4L8 870-617 Pipeline Safety-State $ 187,621 $ 187,621 60386
4S6 870-618 Hazardous Material Registration $ 464,325 $ 464,325 60387
4S6 870-621 Hazardous Materials Base State Registration $ 373,346 $ 373,346 60388
4U8 870-620 Civil Forfeitures $ 284,986 $ 284,986 60389
5BP 870-623 Wireless 9-1-1 Administration $ 26,875,000 $ 13,375,000 60390
559 870-605 Public Utilities Territorial Administration $ 4,000 $ 4,000 60391
560 870-607 Public Utilities Investigations $ 100,000 $ 100,000 60392
561 870-606 Power Siting Board $ 404,651 $ 404,652 60393
638 870-611 Biomass Energy Program $ 40,000 $ 40,000 60394
661 870-612 Hazardous Materials Transportation $ 900,000 $ 900,000 60395
TOTAL SSR State Special Revenue 60396
Fund Group $ 30,983,686 $ 17,483,687 60397

Agency Fund Group60398

4G4 870-616 Base State Registration Program $ 2,000,000 $ 0 60399
TOTAL AGY Agency Fund Group $ 2,000,000 $ 0 60400
TOTAL ALL BUDGET FUND GROUPS $ 78,632,617 $ 64,468,698 60401

       COMMERCIAL VEHICLE INFORMATION SYSTEMS AND NETWORKS PROJECT60402

       The fund created by section 4923.26 of the Revised Code is 60403
the same fund, with a new name, as the Commercial Vehicle 60404
Information Systems and Networks Fund (Fund 3V3).60405

       ENHANCED AND WIRELESS ENHANCED 9-1-160406

       The foregoing appropriation item 870-623, Wireless 9-1-1 60407
Administration, shall be used pursuant to section 4931.63 of the 60408
Revised Code.60409

       Section 371.10. PWC PUBLIC WORKS COMMISSION60410

General Revenue Fund60411

GRF 150-904 Conservation General Obligation Debt Service $ 14,698,728 $ 19,037,480 60412
GRF 150-907 State Capital Improvements $ 175,738,464 $ 181,620,189 60413
General Obligation Debt Service 60414
TOTAL GRF General Revenue Fund $ 190,437,192 $ 200,657,669 60415

Clean Ohio Conservation Fund Group60416

056 150-403 Clean Ohio Operating Expenses $ 301,537 $ 311,509 60417
TOTAL 056 Clean Ohio Conservation Fund Group $ 301,537 $ 311,509 60418
TOTAL ALL BUDGET FUND GROUPS $ 190,738,729 $ 200,969,178 60419

       CONSERVATION GENERAL OBLIGATION DEBT SERVICE60420

       The foregoing appropriation item 150-904, Conservation60421
General Obligation Debt Service, shall be used to pay all debt60422
service and related financing costs during the period from July 1, 60423
2007, through June 30, 2009, at the times they are required to be 60424
made for obligations issued under sections 151.01 and 151.09 of 60425
the Revised Code.60426

       STATE CAPITAL IMPROVEMENTS GENERAL OBLIGATION DEBT SERVICE60427

       The foregoing appropriation item 150-907, State Capital60428
Improvements General Obligation Debt Service, shall be used to pay60429
all debt service and related financing costs during the period 60430
from July 1, 2007, to June 30, 2009, at the times they are 60431
required to be made for obligations issued under sections 151.01 60432
and 151.08 of the Revised Code.60433

       REIMBURSEMENT TO THE GENERAL REVENUE FUND60434

        (A) On or before July 15, 2009, the Director of the Public 60435
Works Commission shall certify to the Director of Budget and 60436
Management the following:60437

        (1) The total amount disbursed from appropriation item 60438
700-409, Farmland Preservation, during the fiscal year 2008-2009 60439
biennium; and60440

        (2) The amount of interest earnings that have been credited 60441
to the Clean Ohio Conservation Fund (Fund 056) that are in excess 60442
of the amount needed for other purposes as calculated by the 60443
Director of the Public Works Commission.60444

        (B) If the Director of Budget and Management determines under 60445
division (A)(2) of this section that there are excess interest 60446
earnings, the Director of Budget and Management shall, on or 60447
before July 15, 2009, transfer the excess interest earnings to the 60448
General Revenue Fund in an amount equal to the total amount 60449
disbursed under division (A)(1) of this section from the Clean 60450
Ohio Conservation Fund.60451

       CLEAN OHIO OPERATING EXPENSES60452

       The foregoing appropriation item 150-403, Clean Ohio 60453
Operating Expenses, shall be used by the Ohio Public Works 60454
Commission in administering sections 164.20 to 164.27 of the 60455
Revised Code.60456

       Section 373.10.  RAC STATE RACING COMMISSION60457

State Special Revenue Fund Group60458

5C4 875-607 Simulcast Horse Racing Purse $ 16,000,000 $ 16,000,000 60459
562 875-601 Thoroughbred Race Fund $ 3,100,000 $ 3,100,000 60460
563 875-602 Standardbred Development Fund $ 2,600,000 $ 2,600,000 60461
564 875-603 Quarterhorse Development Fund $ 1,000 $ 1,000 60462
565 875-604 Racing Commission Operating $ 4,487,599 $ 4,487,599 60463
TOTAL SSR State Special Revenue 60464
Fund Group $ 26,188,599 $ 26,188,599 60465

Holding Account Redistribution Fund Group60466

R21 875-605 Bond Reimbursements $ 212,900 $ 212,900 60467
TOTAL 090 Holding Account Redistribution 60468
Fund Group $ 212,900 $ 212,900 60469
TOTAL ALL BUDGET FUND GROUPS $ 26,401,499 $ 26,401,499 60470


       Section 375.10. BOR BOARD OF REGENTS60472

General Revenue Fund60473

GRF 235-321 Operating Expenses $ 3,141,351 $ 3,141,351 60474
GRF 235-401 Lease Rental Payments $ 203,177,900 $ 136,017,500 60475
GRF 235-402 Sea Grants $ 300,000 $ 300,000 60476
GRF 235-406 Articulation and Transfer $ 2,900,000 $ 2,900,000 60477
GRF 235-408 Midwest Higher Education Compact $ 95,000 $ 95,000 60478
GRF 235-409 Information System $ 1,175,172 $ 1,175,172 60479
GRF 235-414 State Grants and Scholarship Administration $ 1,707,881 $ 1,707,881 60480
GRF 235-415 Jobs Challenge $ 9,348,300 $ 9,348,300 60481
GRF 235-417 Ohio Learning Network $ 3,119,496 $ 3,119,496 60482
GRF 235-418 Access Challenge $ 66,585,769 $ 66,585,769 60483
GRF 235-420 Success Challenge $ 53,653,973 $ 53,653,973 60484
GRF 235-428 Appalachian New Economy Partnership $ 1,176,068 $ 1,176,068 60485
GRF 235-433 Economic Growth Challenge $ 17,186,194 $ 17,186,194 60486
GRF 235-434 College Readiness and Access $ 12,655,425 $ 12,655,425 60487
GRF 235-435 Teacher Improvement Initiatives $ 4,797,506 $ 11,297,506 60488
GRF 235-436 AccelerateOhio $ 2,500,000 $ 5,000,000 60489
GRF 235-437 STEM Initiatives $ 10,000,000 $ 10,000,000 60490
GRF 235-451 Eminent Scholars $ 0 $ 1,000,000 60491
GRF 235-455 EnterpriseOhio Network $ 1,373,941 $ 1,373,941 60492
GRF 235-474 Area Health Education Centers Program Support $ 1,571,756 $ 1,571,756 60493
GRF 235-501 State Share of Instruction $ 1,620,877,952 $ 1,782,965,747 60494
GRF 235-502 Student Support Services $ 795,790 $ 795,790 60495
GRF 235-503 Ohio Instructional Grants $ 42,533,966 $ 18,315,568 60496
GRF 235-504 War Orphans Scholarships $ 4,812,321 $ 4,812,321 60497
GRF 235-507 OhioLINK $ 7,387,824 $ 7,387,824 60498
GRF 235-508 Air Force Institute of Technology $ 1,925,345 $ 1,925,345 60499
GRF 235-510 Ohio Supercomputer Center $ 4,271,195 $ 4,271,195 60500
GRF 235-511 Cooperative Extension Service $ 26,157,760 $ 26,157,760 60501
GRF 235-513 Ohio University Voinovich Center $ 336,082 $ 336,082 60502
GRF 235-514 Central State Supplement $ 11,413,995 $ 11,413,995 60503
GRF 235-515 Case Western Reserve University School of Medicine $ 3,011,271 $ 3,011,271 60504
GRF 235-518 Capitol Scholarship Program $ 125,000 $ 125,000 60505
GRF 235-519 Family Practice $ 4,548,470 $ 4,548,470 60506
GRF 235-520 Shawnee State Supplement $ 2,056,986 $ 2,056,986 60507
GRF 235-521 The Ohio State University Glenn Institute $ 286,082 $ 286,082 60508
GRF 235-524 Police and Fire Protection $ 171,959 $ 171,959 60509
GRF 235-525 Geriatric Medicine $ 750,110 $ 750,110 60510
GRF 235-526 Primary Care Residencies $ 2,245,688 $ 2,245,688 60511
GRF 235-527 Ohio Aerospace Institute $ 1,764,957 $ 1,764,957 60512
GRF 235-530 Academic Scholarships $ 7,800,000 $ 7,800,000 60513
GRF 235-531 Student Choice Grants $ 38,485,376 $ 38,485,376 60514
GRF 235-535 Ohio Agricultural Research and Development Center $ 36,674,292 $ 36,674,292 60515
GRF 235-536 The Ohio State University Clinical Teaching $ 13,565,885 $ 13,565,885 60516
GRF 235-537 University of Cincinnati Clinical Teaching $ 11,157,756 $ 11,157,756 60517
GRF 235-538 University of Toledo Clinical Teaching $ 8,696,866 $ 8,696,866 60518
GRF 235-539 Wright State University Clinical Teaching $ 4,225,107 $ 4,225,107 60519
GRF 235-540 Ohio University Clinical Teaching $ 4,084,540 $ 4,084,540 60520
GRF 235-541 Northeastern Ohio Universities College of Medicine Clinical Teaching $ 4,200,945 $ 4,200,945 60521
GRF 235-547 School of International Business $ 450,000 $ 450,000 60522
GRF 235-552 Capital Component $ 19,306,442 $ 19,306,442 60523
GRF 235-553 Dayton Area Graduate Studies Institute $ 2,806,599 $ 2,806,599 60524
GRF 235-554 Priorities in Collaborative Graduate Education $ 2,355,548 $ 2,355,548 60525
GRF 235-555 Library Depositories $ 1,696,458 $ 1,696,458 60526
GRF 235-556 Ohio Academic Resources Network $ 3,727,223 $ 3,727,223 60527
GRF 235-558 Long-term Care Research $ 311,047 $ 311,047 60528
GRF 235-561 Bowling Green State University Canadian Studies Center $ 100,015 $ 100,015 60529
GRF 235-563 Ohio College Opportunity Grant $ 139,974,954 $ 151,113,781 60530
GRF 235-567 Central State University Speed to Scale $ 4,400,000 $ 3,800,000 60531
GRF 235-569 Choose Ohio First Scholarship $ 50,000,000 $ 50,000,000 60532
GRF 235-572 The Ohio State University Clinic Support $ 1,277,019 $ 1,277,019 60533
GRF 235-583 Urban University Program $ 5,142,937 $ 5,142,937 60534
GRF 235-587 Rural University Projects $ 1,047,889 $ 1,047,889 60535
GRF 235-596 Hazardous Materials Program $ 360,435 $ 360,435 60536
GRF 235-599 National Guard Scholarship Program $ 16,611,063 $ 16,611,063 60537
GRF 235-909 Higher Education General Obligation Debt Service $ 163,222,668 $ 198,309,840 60538
TOTAL GRF General Revenue Fund $ 2,673,619,549 $ 2,799,954,545 60539

General Services Fund Group60540

220 235-614 Program Approval and Reauthorization $ 800,000 $ 800,000 60541
456 235-603 Sales and Services $ 700,000 $ 700,000 60542
TOTAL GSF General Services 60543
Fund Group $ 1,500,000 $ 1,500,000 60544

Federal Special Revenue Fund Group60545

3BG 235-626 Star Schools $ 2,980,865 $ 2,990,746 60546
3H2 235-608 Human Services Project $ 3,000,000 $ 3,000,000 60547
3H2 235-622 Medical Collaboration Network $ 3,346,144 $ 3,346,144 60548
3N6 235-605 State Student Incentive Grants $ 2,196,680 $ 2,196,680 60549
3T0 235-610 National Health Service Corps - Ohio Loan Repayment $ 250,000 $ 250,000 60550
312 235-609 Tech Prep $ 183,850 $ 183,850 60551
312 235-611 Gear-up Grant $ 3,300,000 $ 3,300,000 60552
312 235-612 Carl D. Perkins Grant/Plan Administration $ 112,960 $ 112,960 60553
312 235-617 Improving Teacher Quality Grant $ 3,200,000 $ 3,200,000 60554
312 235-621 Science Education Network $ 1,686,970 $ 1,686,970 60555
TOTAL FED Federal Special Revenue 60556
Fund Group $ 20,257,469 $ 20,267,350 60557

State Special Revenue Fund Group60558

4E8 235-602 Higher Educational Facility Commission Administration $ 50,000 $ 45,000 60559
4P4 235-604 Physician Loan Repayment $ 476,870 $ 476,870 60560
649 235-607 The Ohio State University Highway/Transportation Research $ 760,000 $ 760,000 60561
682 235-606 Nursing Loan Program $ 893,000 $ 893,000 60562
5DT 235-627 American Diploma Project $ 250,000 $ 0 60563
TOTAL SSR State Special Revenue 60564
Fund Group $ 2,429,870 $ 2,174,870 60565
TOTAL ALL BUDGET FUND GROUPS $ 2,697,806,888 $ 2,823,896,765 60566


       Section 375.10.10. OPERATING EXPENSES60568

       Of the foregoing appropriation item 235-321, Operating 60569
Expenses, up to $150,000 in each fiscal year shall be used in 60570
conjunction with funding provided in the Department of Education 60571
budget under appropriation item 200-427, Academic Standards, to 60572
fund the operations of Ohio's Partnership for Continued Learning. 60573
The Partnership shall advise and make recommendations to promote 60574
collaboration among relevant state entities in an effort to help 60575
local communities develop coherent and successful "P-16" learning 60576
systems. Upon requesting and receiving approval from the 60577
Controlling Board, the Director of Budget and Management may 60578
transfer any unencumbered fiscal year 2008 balance to fiscal year 60579
2009 to support the activities of the Partnership.60580

       Section 375.10.20. LEASE RENTAL PAYMENTS60581

       The foregoing appropriation item 235-401, Lease Rental60582
Payments, shall be used to meet all payments at the times they are 60583
required to be made during the period from July 1, 2007, to June60584
30, 2009, by the Board of Regents under leases and agreements made 60585
under section 154.21 of the Revised Code. These appropriations are 60586
the source of funds pledged for bond service charges or 60587
obligations issued pursuant to Chapter 154. of the Revised Code.60588

       Section 375.10.30. SEA GRANTS60589

       The foregoing appropriation item 235-402, Sea Grants, shall60590
be disbursed to the Ohio State University and shall be used to60591
conduct research on fish in Lake Erie.60592

       Section 375.10.40. ARTICULATION AND TRANSFER60593

       The foregoing appropriation item 235-406, Articulation and 60594
Transfer, shall be used by the Board of Regents to maintain and 60595
expand the work of the Articulation and Transfer Council to 60596
develop a system of transfer policies to ensure that students at 60597
state institutions of higher education can transfer and have 60598
coursework apply to their majors and degrees at any other state 60599
institution of higher education without unnecessary duplication or 60600
institutional barriers under sections 3333.16, 3333.161, and 60601
3333.162 of the Revised Code. The Board of Regents shall, in 60602
consultation with the Governor and the Department of Education, 60603
convene a work group to establish coursework for content knowledge 60604
and teacher competencies for early care and education degrees to 60605
support articulation and transfer of coursework, certifications, 60606
and credit earned across state-supported institutions of higher 60607
education.60608

       Of the foregoing appropriation item 235-406, Articulation and 60609
Transfer, $200,000 in each fiscal year shall be used to support 60610
the work of the Articulation and Transfer Council under division 60611
(B) of section 3333.162 of the Revised Code.60612

       Section 375.10.50. MIDWEST HIGHER EDUCATION COMPACT60613

       The foregoing appropriation item 235-408, Midwest Higher60614
Education Compact, shall be distributed by the Board of Regents60615
under section 3333.40 of the Revised Code.60616

       Section 375.10.60. INFORMATION SYSTEM60617

       The foregoing appropriation item 235-409, Information System,60618
shall be used by the Board of Regents to operate the higher60619
education information data system known as the Higher Education60620
Information System.60621

       Section 375.10.70. STATE GRANTS AND SCHOLARSHIP 60622
ADMINISTRATION60623

       The foregoing appropriation item 235-414, State Grants and 60624
Scholarship Administration, shall be used by the Board of Regents 60625
to administer the following student financial aid programs: Ohio 60626
Instructional Grant, Ohio College Opportunity Grant, Ohio Student 60627
Choice Grant, Ohio Academic Scholarship, Ohio War Orphans' 60628
Scholarship, Nurse Education Assistance Loan Program, Regents 60629
Graduate/Professional Fellowship, Ohio Safety Officers College 60630
Memorial Fund, Capitol Scholarship Program, and any other student 60631
financial aid programs created by the General Assembly. The 60632
appropriation item also shall be used to administer the federal 60633
Leveraging Educational Assistance Partnership (LEAP) and Special 60634
Leveraging Educational Assistance Partnership (SLEAP) programs and 60635
other student financial aid programs created by Congress and to 60636
provide fiscal services for the Ohio National Guard Scholarship 60637
Program, the Physician Loan Repayment Program, and the Dentist 60638
Loan Repayment Program.60639

       Section 375.10.80. JOBS CHALLENGE60640

       Funds appropriated to the foregoing appropriation item 60641
235-415, Jobs Challenge, shall be distributed to state-assisted 60642
community and technical colleges, regional campuses of 60643
state-assisted universities, and other organizationally distinct 60644
and identifiable member campuses of the EnterpriseOhio Network in 60645
support of noncredit job-related training. In fiscal year 2008, 60646
$2,770,773 shall be distributed as performance grants to 60647
EnterpriseOhio Network campuses based upon each campus's 60648
documented performance according to criteria established by the 60649
Board of Regents for assessment, training, and related services to 60650
businesses, industries, and public sector organizations.60651

       Of the foregoing appropriation item 235-415, Jobs Challenge,60652
$2,819,345 in fiscal year 2008 shall be allocated to the Targeted60653
Industries Training Grant Program to attract, develop, and retain60654
business and industry strategically important to the state's60655
economy and regional priorities.60656

       Of the foregoing appropriation item 235-415, Jobs Challenge, 60657
$3,758,182 in fiscal year 2008 shall be allocated to the Higher 60658
Skills Incentives Program to promote and deliver coordinated 60659
assessment and comprehensive training to local employers and to 60660
reward EnterpriseOhio Network campuses for the amount of 60661
non-credit skill upgrading services provided to Ohio employers and 60662
employees. The funds shall be distributed to campuses in 60663
proportion to each campus's share of noncredit job-related 60664
training revenues received by all campuses for the previous fiscal 60665
year.60666

       Section 375.10.90. OHIO LEARNING NETWORK60667

       The foregoing appropriation item 235-417, Ohio Learning 60668
Network, shall be used by the Board of Regents to support the 60669
continued implementation of the Ohio Learning Network, a statewide60670
collaborative that delivers adult education including degree 60671
completion, workforce training, and professional development using 60672
online and distance education initiatives. The funds shall be used 60673
by the Ohio Learning Network to develop and promote learning and 60674
assessment through the use of technology, to test and provide 60675
advice on emerging learning-directed technologies, and to 60676
facilitate cost-effectiveness through shared educational 60677
technology investments.60678

       Section 375.20.10. ACCESS CHALLENGE60679

       The foregoing appropriation item 235-418, Access Challenge, 60680
shall be distributed to Ohio's state-assisted access colleges and60681
universities. For the purposes of this allocation, "access 60682
campuses" includes state-assisted community colleges, state 60683
community colleges, technical colleges, Shawnee State University,60684
Central State University, Cleveland State University, the regional 60685
campuses of state-assisted universities, and, where they are60686
organizationally distinct and identifiable, the 60687
community-technical colleges located at the University of60688
Cincinnati, Youngstown State University, and the University of60689
Akron.60690

       The purpose of Access Challenge is to reduce the student 60691
share of costs for resident undergraduates enrolled in lower 60692
division undergraduate courses at Ohio's access campuses. The 60693
long-term goal is to make the student share of costs for these 60694
students equivalent to the student share of costs for resident 60695
undergraduate students enrolled throughout Ohio's public colleges 60696
and universities. Access Challenge appropriations shall be used to 60697
sustain, as much as possible, the tuition restraint or tuition 60698
reduction that was achieved with Access Challenge allocations in 60699
prior years. Access campuses shall disclose, in their tuition 60700
billing statements to students, the amount of tuition subsidized 60701
by state Access Challenge subsidies.60702

       In fiscal year 2008, Access Challenge subsidies shall be 60703
distributed by the Board of Regents to eligible access campuses on 60704
the basis of the average of each campus's share of fiscal year 60705
2005 and 2006 all-terms subsidy-eligible General Studies FTEs.60706

       For purposes of this calculation, Cleveland State60707
University's enrollments shall be adjusted by the ratio of the sum60708
of subsidy-eligible lower-division FTE student enrollments60709
eligible for access funding to the sum of subsidy-eligible General60710
Studies FTE student enrollments at Central State University and60711
Shawnee State University, and for the following universities and60712
their regional campuses: the Ohio State University, Ohio 60713
University, Kent State University, Bowling Green State University, 60714
Miami University, the University of Cincinnati, the University of 60715
Akron, and Wright State University.60716

       Section 375.20.20. SUCCESS CHALLENGE60717

       The foregoing appropriation item 235-420, Success Challenge,60718
shall be used by the Board of Regents to promote degree completion 60719
by students enrolled at a main campus of a state-assisted60720
university.60721

       Of the foregoing appropriation item 235-420, Success 60722
Challenge, 66.67 per cent of the appropriation in fiscal year 2008 60723
shall be distributed to state-assisted university main campuses in60724
proportion to each campus's share of the total statewide60725
bachelor's degrees granted by university main campuses to60726
"at-risk" students. In fiscal year 2008, an "at-risk" student 60727
means any undergraduate student who was eligible to receive an60728
Ohio need-based financial aid award during the past ten years. An 60729
eligible institution shall not receive its share of this60730
distribution until it has submitted a plan that addresses how the60731
subsidy will be used to better serve at-risk students and increase60732
their likelihood of successful completion of a bachelor's degree60733
program. The Board of Regents shall disseminate to all60734
state-supported institutions of higher education all such plans60735
submitted by institutions that received Success Challenge funds.60736

       Of the foregoing appropriation item 235-420, Success 60737
Challenge, 33.33 per cent of the appropriation in fiscal year 2008 60738
shall be distributed to university main campuses in proportion to 60739
each campus's share of the total bachelor's degrees granted by60740
university main campuses to undergraduate students who completed60741
their bachelor's degrees in a "timely manner" in the previous60742
fiscal year. For purposes of this section, "timely manner" means 60743
the normal time it would take for a full-time degree-seeking60744
undergraduate student to complete the student's degree. Generally,60745
for such students pursuing a bachelor's degree, "timely manner"60746
means four years. Exceptions to this general rule shall be60747
permitted for students enrolled in programs specifically designed60748
to be completed in a longer time period. The Board of Regents60749
shall collect data to assess the timely completion statistics by60750
university main campuses.60751

       Section 375.20.30. APPALACHIAN NEW ECONOMY PARTNERSHIP60752

       The foregoing appropriation item 235-428, Appalachian New60753
Economy Partnership, shall be distributed to Ohio University to60754
continue a multi-campus and multi-agency coordinated effort to 60755
link Appalachia to the new economy. Ohio University shall use 60756
these funds to provide leadership in the development and 60757
implementation of initiatives in the areas of entrepreneurship, 60758
management, education, and technology.60759

       Section 375.20.40. ECONOMIC GROWTH CHALLENGE60760

       The foregoing appropriation item 235-433, Economic Growth 60761
Challenge, shall be used to enhance the basic research 60762
capabilities of Ohio's public and private institutions of higher 60763
education, support improved graduate programs throughout the 60764
state, and promote the transfer of technology developed by 60765
colleges and universities to private industry to further the 60766
economic goals of the state.60767

       Of the foregoing appropriation item 235-433, Economic Growth60768
Challenge, $12,000,000 in fiscal year 2008 shall be used for the 60769
Research Incentive Program to enhance the basic research60770
capabilities of public colleges and universities and accredited60771
Ohio institutions of higher education holding certificates of60772
authorization issued under section 1713.02 of the Revised Code, in 60773
order to strengthen academic research for pursuing Ohio's economic60774
development goals. The Board of Regents, in consultation with the 60775
colleges and universities, shall administer the Research Incentive 60776
Program and utilize a means of matching, on a fractional basis, 60777
external funds attracted in the previous year by institutions for 60778
basic research. The program may include incentives for increasing 60779
the amount of external research funds coming to eligible 60780
institutions and for focusing research efforts upon critical state 60781
needs. Colleges and universities shall submit for review and 60782
approval to the Board of Regents plans for the institutional 60783
allocation of state dollars received through the program. The 60784
institutional plans shall provide the rationale for the allocation 60785
in terms of the strategic targeting of funds for academic and 60786
state purposes, for strengthening research programs, for 60787
increasing the amount of external research funds, and shall 60788
include an evaluation process to provide results of the increased 60789
support. Institutional plans for the use of Research Incentive 60790
funding must demonstrate a significant investment in Third 60791
Frontier activities funded at the institution. For a college or 60792
university with multiple Third Frontier grants, as much as ten per 60793
cent of that institution's Research Incentive funding may be 60794
invested in Third Frontier Project-related activities. Each 60795
institutional plan for the investment of Research Incentive moneys 60796
shall report on existing, planned, or possible relationships with 60797
other state science and technology programs and funding recipients 60798
in order to further ongoing statewide science and technology 60799
collaboration objectives. The Board of Regents shall submit a 60800
biennial report of progress to the General Assembly.60801

       In fiscal year 2008, both those state-assisted doctoral 60802
degree-granting universities and those accredited Ohio 60803
institutions of higher education holding certificates of 60804
authorization under section 1713.02 of the Revised Code may elect 60805
to participate in the Innovation Incentive Plan designed to 60806
enhance doctoral programs and areas of research that have the 60807
greatest potential to attract preeminent researchers and build 60808
research capacity; enhance regional or state economic growth by 60809
creating new products and services to be commercialized; and 60810
complement Ohio's Third Frontier Project.60811

       In fiscal year 2008, funding for the Innovation Incentive 60812
Program shall be generated from those state-assisted doctoral 60813
degree-granting universities electing to set aside a portion of 60814
their allocations as provided in appropriation item 235-501, State 60815
Share of Instruction, and state matching funds provided in 60816
appropriation item 235-433, Economic Growth Challenge. In fiscal 60817
year 2008, the Board of Regents shall withhold each participating 60818
state-assisted university's required matching share from its 60819
allocation as provided in appropriation item 235-501, State Share 60820
of Instruction. Additionally, those accredited Ohio institutions 60821
of higher education holding certificates of authorization under 60822
section 1713.02 of the Revised Code electing to participate in the 60823
Innovation Incentive Program shall be required to set aside an 60824
amount comparable to the state-assisted doctoral degree-granting 60825
universities. The criteria for the determination of this amount 60826
shall be developed by the Board of Regents.60827

       Of the foregoing appropriation item 235-433, Economic Growth 60828
Challenge, $4,686,194 in fiscal year 2008 shall match funds set 60829
aside by the participating universities under the Innovation 60830
Incentive Program.60831

       The Board of Regents shall use the combined amount of each 60832
participating state-assisted university's set aside of the 60833
doctoral reserve that has been withheld, the state matching funds 60834
earmarked under appropriation item 235-433, Economic Growth 60835
Challenge, and the amount set aside by each accredited Ohio 60836
institution of higher education holding a certificate of 60837
authorization under section 1713.02 of the Revised Code electing 60838
to participate in the Innovation Incentive Program to make awards 60839
through a competitive process under the Innovation Incentive 60840
Program. Only universities electing to set aside the prescribed 60841
amount shall be eligible to compete for and receive Innovation 60842
Incentive awards. The participating universities shall use these 60843
awards to restructure their array of doctoral programs.60844

       Of the foregoing appropriation item 235-433, Economic Growth 60845
Challenge, $500,000 in fiscal year 2008 shall be distributed for 60846
the Technology Commercialization Incentive. The purpose of the 60847
Technology Commercialization Incentive is to reward public and 60848
private colleges and universities for successful technology 60849
transfer to Ohio-based business and industry resulting in the 60850
commercialization of new products, processes, and services and the 60851
establishment of new business start-ups within the state. The 60852
Third Frontier Commission, with counsel from the Third Frontier 60853
Advisory Board, shall establish the eligibility criteria for 60854
public and private colleges and universities interested in 60855
applying for Technology Commercialization Incentive funding. To 60856
qualify for the funds, public and private colleges and 60857
universities must maintain a significant investment in their own 60858
technology-transfer and commercialization operation and 60859
capabilities, and possess a significant history of successful 60860
research partnerships with Ohio-based business and industry.60861

       Section 375.20.45. DISTRIBUTION OF CHALLENGE FUNDS60862

       The Chancellor of the Board of Regents shall study the 60863
effectiveness and appropriateness of the programs funded in GRF 60864
appropriation items 235-415, Jobs Challenge, 235-418, Access 60865
Challenge, 235-420, Success Challenge, and 235-433, Economic 60866
Growth Challenge, in the context of today's knowledge-based 60867
economy with a focus on student-based funding, the workforce 60868
development needs of the state in the Twenty-first Century, and 60869
incentives for student success. Based on the findings of the 60870
study, the Chancellor of the Board of Regents shall make 60871
recommendations for the distribution of the funds provided for 60872
fiscal year 2009. Not later than May 1, 2008, the Chancellor of 60873
the Board of Regents shall seek the Controlling Board's approval 60874
of the recommended distribution of the funds provided for fiscal 60875
year 2009 in GRF appropriation items 235-415, Jobs Challenge, 60876
235-418, Access Challenge, 235-420, Success Challenge, and 60877
235-433, Economic Growth Challenge.60878

       Section 375.20.50. COLLEGE READINESS AND ACCESS60879

       Appropriation item 235-434, College Readiness and Access,60880
shall be used by the Board of Regents to support programs designed 60881
to improve the academic preparation and increase the number of 60882
students that enroll and succeed in higher education such as the 60883
Ohio College Access Network, the state match for the federal 60884
Gaining Early Awareness and Readiness for Undergraduate Program, 60885
and early awareness initiatives. The appropriation item shall also 60886
be used to support innovative statewide strategies to increase 60887
student access and retention for specialized populations, and to 60888
provide for pilot projects that will contribute to improving 60889
access to higher education by specialized populations. The funds 60890
also may be used for projects that improve access for nonpublic 60891
secondary students.60892

        Of the foregoing appropriation item 235-434, College 60893
Readiness and Access, $798,684 in fiscal year 2008 and $822,645 in 60894
fiscal year 2009 shall be distributed to the Ohio Appalachian 60895
Center for Higher Education at Shawnee State University. The board 60896
of directors of the Center shall consist of the presidents of 60897
Shawnee State University, Belmont Technical College, Hocking 60898
College, Jefferson Community College, Zane State College, Rio 60899
Grande Community College, Southern State Community College, and 60900
Washington State Community College; the president of Ohio 60901
University or a designee of the president; the dean of one of the 60902
Salem, Tuscarawas, and East Liverpool regional campuses of Kent 60903
State University, as designated by the president of Kent State 60904
University; and a representative of the Board of Regents 60905
designated by the Chancellor.60906

        Of the foregoing appropriation item 235-434, College 60907
Readiness and Access, $169,553 in fiscal year 2008 and $174,640 in 60908
fiscal year 2009 shall be distributed to Miami University for the 60909
Student Achievement in Research and Scholarship (STARS) Program.60910

        Of the foregoing appropriation item 235-434, College 60911
Readiness and Access, $3,503,985 in each fiscal year shall be used 60912
in conjunction with funding provided in the Ohio Department of 60913
Education budget under appropriation item 200-431, School 60914
Improvement Initiatives, to support the Early College High School 60915
Program. The funds shall be distributed according to guidelines 60916
established by the Department of Education and the Board of 60917
Regents.60918

       Section 375.20.60.  TEACHER IMPROVEMENT INITIATIVES60919

       Appropriation item 235-435, Teacher Improvement Initiatives, 60920
shall be used by the Board of Regents to support programs such as 60921
OSI - Discovery and the Centers of Excellence in Mathematics and 60922
Science designed to raise the quality of mathematics and science60923
teaching in primary, secondary, and post-secondary education.60924

       Of the foregoing appropriation item 235-435, Teacher 60925
Improvement Initiatives, $204,049 in each fiscal year shall be 60926
distributed to the Mathematics and Science Center in Lake County.60927

       Of the foregoing appropriation item 235-435, Teacher 60928
Improvement Initiatives, $106,619 in each fiscal year shall be 60929
distributed to the Ohio Mathematics and Science Coalition.60930

       Of the foregoing appropriation item 235-435, Teacher 60931
Improvement Initiatives, $100,000 in each fiscal year shall be 60932
distributed to the Teacher Quality Partnerships study.60933

       Of the foregoing appropriation item 235-435, Teacher 60934
Improvement Initiatives, $100,000 in each fiscal year shall be 60935
distributed to the Sinclair Community College Distance Learning 60936
STEM Partnership.60937

        Of the foregoing appropriation item 235-435, Teacher 60938
Improvement Initiatives, $874,871 in each fiscal year shall be 60939
distributed to the Ohio Resource Center for Mathematics, Science, 60940
and Reading. The funds shall be used to support a resource center 60941
for mathematics, science, and reading to be located at a 60942
state-assisted university for the purpose of identifying best 60943
educational practices in primary and secondary schools and 60944
establishing methods for communicating them to colleges of 60945
education and school districts. The Ohio Resource Center for 60946
Mathematics, Science, and Reading shall not make available 60947
resources that are inconsistent with the K-12 science standards 60948
and policies as adopted by the State Board of Education.60949

       Of the foregoing appropriation item 235-435, Teacher 60950
Improvement Initiatives, up to $2,000,000 in each fiscal year 60951
shall be used to support up to ten regional summer academies that 60952
focus on foreign language, science, mathematics, engineering, and 60953
technology and prepare eleventh and twelfth grade students 60954
enrolled in public or chartered nonpublic schools to pursue 60955
college-level foreign language, mathematics, science, technology, 60956
and engineering, with a focus on secondary teaching in these 60957
disciplines. Successful completion of these academics shall result 60958
in dual high school and college credits. Costs shall be based upon 60959
reasonable expenses, as determined by the Board of Regents, that 60960
institutions of higher education may incur for faculty, supplies, 60961
and other associated costs.60962

       Of the foregoing appropriation item 235-435, Teacher 60963
Improvement Initiatives, up to $4,000,000 in fiscal year 2009 60964
shall be used to fund teacher-signing bonuses for individuals that 60965
enter the teaching profession in a public school district or 60966
school district building that has been designated a hard-to-staff 60967
school by the Department of Education. To qualify for the signing 60968
bonus, an individual must: (a) be licensed to teach; (b) be 60969
assigned to teach in foreign language, science, or mathematics; 60970
and (c) agree to teach in a hard-to-staff school for a minimum of 60971
five years. An individual may qualify for up to $20,000 in 60972
state-funded bonuses if all obligations are met. The Board of 60973
Regents shall develop this program jointly with the Department of 60974
Education and the Partnership for Continued Learning. An 60975
individual may participate in either the teacher-signing bonus 60976
program or the teacher loan-forgiveness program, but may not 60977
receive benefits from both programs. The Board of Regents shall 60978
recoup funds received by any program participant who has not 60979
fulfilled the five-year teaching obligation as described in this 60980
section.60981

       Of the foregoing appropriation item 235-435, Teacher 60982
Improvement Initiatives, up to $2,500,000 in fiscal year 2009 60983
shall be used to fund teacher loan-forgiveness for individuals 60984
that enter the teaching profession in a school district or school 60985
district building that has been designated as a hard-to-staff 60986
school by the Department of Education. To qualify for the loan 60987
forgiveness, an individual must: (a) be licensed to teach; (b) be 60988
assigned to teach in foreign language, science, or mathematics; 60989
and (c) agree to teach in a hard-to-staff school for a minimum of 60990
five years. An individual may qualify for up to $20,000 in state 60991
funded loan forgiveness if all obligations are met. The Board of 60992
Regents shall develop this program jointly with the Department of 60993
Education and the Partnership for Continued Learning. An 60994
individual may participate in either the teacher-signing bonus 60995
program or the teacher loan-forgiveness program, but may not 60996
receive benefits from both programs. The Board of Regents shall 60997
recoup funds received by any program participant who has not 60998
fulfilled the five-year teaching obligation as described in this 60999
section.61000

       Section 375.20.70. ACCELERATEOHIO61001

       Of the foregoing appropriation item 235-436 AccelerateOhio, 61002
$2,000,000 in fiscal year 2008 and $5,000,000 in fiscal year 2009 61003
shall be used by the Board of Regents, in collaboration with 61004
Ohio's public two-year campuses, to develop and implement a 61005
statewide program designed to improve the education and skills of 61006
Ohio's workforce by assisting low-income working adults in Ohio to 61007
improve their education and training. AccelerateOhio shall consist 61008
of competency-based, low-cost, noncredit, and credit-bearing 61009
modules and courses in communications, mathematics, and 61010
information technology, and other fields selected by the Board of 61011
Regents. The program shall be designed to culminate in a 61012
certificate and provide recipients with a foundation for 61013
additional post-secondary education.61014

       Of the foregoing appropriation item 235-436, AccelerateOhio, 61015
$500,000 in fiscal year 2008 shall be used to support the Health 61016
Information and Imaging Technology Workforce Development Pilot 61017
Project pursuant to section 3333.55 of the Revised Code.61018

       Section 375.20.75. STEM INITIATIVES61019

       The foregoing appropriation item 235-437, STEM Initiatives, 61020
shall be used for STEM Academies.61021

       Section 375.20.80. EMINENT SCHOLARS61022

       The foregoing appropriation item 235-451, Eminent Scholars,61023
shall be used by the Ohio Board of Regents to continue the Ohio61024
Eminent Scholars Program, the purpose of which is to invest61025
educational resources to address problems that are of vital61026
statewide significance while fostering the growth in eminence of61027
Ohio's academic programs. Ohio Eminent Scholars endowed chairs 61028
shall allow Ohio universities to recruit senior faculty members 61029
from outside Ohio who are nationally and internationally 61030
recognized scholars in areas of science and technology that 61031
provide the basic research platforms on which the state's 61032
technology and commercialization efforts are built. Endowment 61033
grants of approximately $685,494 to state colleges and 61034
universities and nonprofit Ohio institutions of higher education 61035
holding certificates of authorization issued under section 1713.02 61036
of the Revised Code to match endowment gifts from nonstate sources 61037
may be made in accordance with a plan established by the Ohio 61038
Board of Regents. Matching nonstate endowment gifts shall be equal 61039
to the state's endowment grant of approximately $685,494. The 61040
grants shall have as their purpose attracting and sustaining in 61041
Ohio scholar-leaders of national or international prominence; each 61042
grant shall assist in accelerating state economic growth through 61043
research that provides an essential basic science platform for 61044
commercialization efforts. Such scholar-leaders shall, among their 61045
duties, share broadly the benefits and knowledge unique to their 61046
fields of scholarship to the betterment of Ohio and its people and 61047
collaborate with other state technology programs and program 61048
recipients.61049

       All new Eminent Scholar awards made by the Board of Regents 61050
shall be associated with a Wright Center of Innovation, a 61051
Partnership Award from the Biomedical Research and Technology 61052
Transfer Trust Fund, or a Wright Capital Project.61053

       Section 375.20.90. ENTERPRISEOHIO NETWORK61054

       The foregoing appropriation item 235-455, EnterpriseOhio 61055
Network, shall be allocated by the Board of Regents to continue 61056
increasing the capabilities of the EnterpriseOhio Network to meet 61057
the ongoing training needs of Ohio employers. Funds shall support 61058
multicampus collaboration, best practice dissemination, and 61059
capacity building projects. The Regents Advisory Committee for 61060
Workforce Development, in its advisory role, shall advise in the 61061
development of plans and activities.61062

       Section 375.30.10. AREA HEALTH EDUCATION CENTERS61063

       The foregoing appropriation item 235-474, Area Health61064
Education Centers Program Support, shall be used by the Board of61065
Regents to support the medical school regional area health61066
education centers' educational programs for the continued support61067
of medical and other health professions education and for support61068
of the Area Health Education Center Program.61069

       Of the foregoing appropriation item 235-474, Area Health61070
Education Centers Program Support, $159,158 in each fiscal year 61071
shall be disbursed to the Ohio University College of Osteopathic61072
Medicine to operate a mobile health care unit to serve the61073
southeastern area of the state.61074

        Of the foregoing appropriation item 235-474, Area Health 61075
Education Centers Program Support, $119,369 in each fiscal year 61076
shall be used to support the Ohio Valley Community Health61077
Information Network (OVCHIN) project.61078

       Section 375.30.20. STATE SHARE OF INSTRUCTION61079

       The Board of Regents shall establish procedures to allocate 61080
the foregoing appropriation item 235-501, State Share of 61081
Instruction, based on the formulas and enrollment in the 61082
instructional models set out in this section.61083

       (A) FULL-TIME EQUIVALENT (FTE) ENROLLMENTS61084

       (1) As soon as practicable during each fiscal year of the61085
biennium ending June 30, 2009, in accordance with instructions of 61086
the Board of Regents, each state-assisted institution of higher61087
education shall report its actual enrollment to the Board of61088
Regents.61089

       (2) In defining the number of full-time equivalent students61090
for state subsidy purposes, the Board of Regents shall exclude all 61091
undergraduate students who are not residents of Ohio, except those 61092
charged in-state fees in accordance with reciprocity agreements 61093
made under section 3333.17 of the Revised Code or employer 61094
contracts entered into under section 3333.32 of the Revised Code.61095

       (3) In calculating the core subsidy entitlements for Medical61096
II models only, the Board of Regents shall use the following count61097
of FTE students:61098

       (a) For those medical schools whose current year enrollment, 61099
including students repeating terms, is below the base enrollment, 61100
the Medical II FTE enrollment shall equal: 65 per cent of the base61101
enrollment plus 35 per cent of the current year enrollment 61102
including students repeating terms, where the base enrollment is:61103

The Ohio State University 1010 61104
University of Cincinnati 833 61105
University of Toledo 650 61106
Wright State University 433 61107
Ohio University 433 61108
Northeastern Ohio Universities College of Medicine 433 61109

       (b) For those medical schools whose current year enrollment, 61110
excluding students repeating terms, is equal to or greater than 61111
the base enrollment, the Medical II FTE enrollment shall equal the61112
base enrollment plus the FTE for repeating students.61113

       (c) Students repeating terms may be no more than five per 61114
cent of current year enrollment.61115

       (4) The state share of instruction to state-supported61116
universities for students enrolled in law schools in fiscal year61117
2008 and fiscal year 2009 shall be calculated by using the number61118
of subsidy-eligible FTE law school students funded by state61119
subsidy in fiscal year 1995 or the actual number of61120
subsidy-eligible FTE law school students at the institution in the61121
fiscal year, whichever is less.61122

       (B) TOTAL COSTS PER FULL-TIME EQUIVALENT STUDENT61123

       For purposes of calculating state share of instruction 61124
allocations, the total instructional costs per full-time 61125
equivalent student shall be:61126

Model Fiscal Year 2008 Fiscal Year 2009 61127
ARTS AND HUMANITIES 1 $7,220 $7,494 61128
ARTS AND HUMANITIES 2 9,431 9,790 61129
ARTS AND HUMANITIES 3 12,186 12,649 61130
ARTS AND HUMANITIES 4 17,836 18,514 61131
ARTS AND HUMANITIES 5 27,829 28,887 61132
ARTS AND HUMANITIES 6 34,540 35,852 61133
BUSINESS, EDUCATION & SOCIAL SCIENCES 1 6,352 6,594 61134
BUSINESS, EDUCATION & SOCIAL SCIENCES 2 7,389 7,670 61135
BUSINESS, EDUCATION & SOCIAL SCIENCES 3 8,911 9,249 61136
BUSINESS, EDUCATION & SOCIAL SCIENCES 4 10,744 11,152 61137
BUSINESS, EDUCATION & SOCIAL SCIENCES 5 17,070 17,719 61138
BUSINESS, EDUCATION & SOCIAL SCIENCES 6 21,908 22,740 61139
BUSINESS, EDUCATION & SOCIAL SCIENCES 7 26,019 27,008 61140
MEDICAL 1 43,190 44,831 61141
MEDICAL 2 47,635 49,445 61142
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 1 6,552 6,801 61143
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 2 9,196 9,545 61144
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 3 11,610 12,051 61145
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 4 14,789 15,351 61146
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 5 18,420 19,119 61147
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 6 19,990 20,750 61148
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 7 27,676 28,728 61149
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 8 35,308 36,650 61150
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 9 48,150 49,979 61151

       Doctoral I and Doctoral II models shall be allocated in 61152
accordance with division (D)(1) of this section.61153

       (C) SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICAL, 61154
AND GRADUATE WEIGHTS61155

       For the purpose of implementing the recommendations of the 61156
State Share of Instruction Consultation and the Higher Education 61157
Funding Study Council that priority be given to maintaining state 61158
support for science, technology, engineering, mathematics, 61159
medicine, and graduate programs, the costs in division (B) of this 61160
section shall be weighted by the amounts provided below:61161

Model Fiscal Year 2008 Fiscal Year 2009 61162
ARTS AND HUMANITIES 1 1.000 1.000 61163
ARTS AND HUMANITIES 2 1.000 1.000 61164
ARTS AND HUMANITIES 3 1.000 1.000 61165
ARTS AND HUMANITIES 4 1.000 1.000 61166
ARTS AND HUMANITIES 5 1.250 1.250 61167
ARTS AND HUMANITIES 6 1.250 1.250 61168
BUSINESS, EDUCATION & SOCIAL SCIENCES 1 1.000 1.000 61169
BUSINESS, EDUCATION & SOCIAL SCIENCES 2 1.000 1.000 61170
BUSINESS, EDUCATION & SOCIAL SCIENCES 3 1.000 1.000 61171
BUSINESS, EDUCATION & SOCIAL SCIENCES 4 1.000 1.000 61172
BUSINESS, EDUCATION & SOCIAL SCIENCES 5 1.250 1.250 61173
BUSINESS, EDUCATION & SOCIAL SCIENCES 6 1.250 1.250 61174
BUSINESS, EDUCATION & SOCIAL SCIENCES 7 1.250 1.250 61175
MEDICAL 1 1.500 1.500 61176
MEDICAL 2 1.728 1.728 61177
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 1 1.000 1.000 61178
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 2 1.002 1.002 61179
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 3 1.613 1.613 61180
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 4 1.690 1.690 61181
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 5 1.420 1.420 61182
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 6 2.081 2.081 61183
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 7 1.702 1.702 61184
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 8 1.808 1.808 61185
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 9 1.341 1.341 61186

       (D) CALCULATION OF STATE SHARE OF INSTRUCTION FORMULA 61187
ENTITLEMENTS AND ADJUSTMENTS61188

       (1) Of the foregoing appropriation item 235-501, State Share 61189
of Instruction, up to 10.44 per cent of the appropriation in each 61190
fiscal year shall be reserved for support of doctoral programs to 61191
implement the recommendations of the Graduate Funding Commission. 61192
The amount so reserved shall be referred to as the doctoral 61193
set-aside.61194

       The doctoral set-aside shall be allocated to universities in61195
proportion to their share of the total number of Doctoral I61196
equivalent FTEs as calculated on an institutional basis using the61197
greater of the two-year or five-year FTEs for the period fiscal61198
year 1994 through fiscal year 1998 with annualized FTEs for fiscal61199
years 1994 through 1997 and all-term FTEs for fiscal year 1998 as61200
adjusted to reflect the effects of doctoral review and subsequent 61201
changes in Doctoral I equivalent enrollments. For the purposes of 61202
this calculation, Doctoral I equivalent FTEs shall equal the sum 61203
of Doctoral I FTEs plus 1.5 times the sum of Doctoral II FTEs.61204

       If a university participates in the Innovation Incentive 61205
Program outlined in appropriation item 235-433, Economic Growth 61206
Challenge, in fiscal year 2008 the Board of Regents shall withhold 61207
the university's increasing matching share required by the 61208
Innovation Incentive Program from its allocation of the doctoral 61209
set-aside.61210

       The Board of Regents shall use the combined amount of each 61211
participating state-assisted university's set aside of the 61212
doctoral reserve that has been withheld, the state matching funds 61213
earmarked under appropriation item 235-433, Economic Growth 61214
Challenge, and the amount set aside by each accredited Ohio 61215
institution of higher education holding a certificate of 61216
authorization under section 1713.02 of the Revised Code electing 61217
to participate in the Innovation Incentive Program to make awards 61218
through a competitive process under the Innovation Incentive 61219
Program. Only universities electing to set aside the prescribed 61220
amount shall be eligible to compete for and receive Innovation 61221
Incentive awards. The participating universities shall use these 61222
awards to restructure their array of doctoral programs.61223

       (2) Each campus's state share of instruction base formula 61224
earnings shall be determined as follows:61225

       (a) For each campus in each fiscal year, the instructional 61226
costs shall be determined by multiplying the amounts listed above 61227
in divisions (B) and (C) of this section by (i) average61228
subsidy-eligible FTEs for the two-year period ending in the prior61229
year for all models except Doctoral I and Doctoral II; and (ii)61230
average subsidy-eligible FTEs for the five-year period ending in61231
the prior year for all models except Doctoral I and Doctoral II.61232

       (b) The Board of Regents shall compute the two calculations 61233
listed in division (D)(2)(a) of this section and use the greater 61234
amount as each campus's instructional costs.61235

       (c) The Board of Regents shall compute a uniform state share 61236
of instructional costs by dividing the appropriations for 235-501, 61237
State Share of Instruction, less the doctoral set-aside calculated 61238
in division (D)(1) of this section, by the sum of all campuses' 61239
instructional costs as calculated in division (D)(2)(b) of this 61240
section.61241

       (d) The formula entitlement for each campus shall be 61242
determined by multiplying the uniform state share of costs 61243
calculated in division (D)(2)(c) of this section by the campus's 61244
instructional cost determined in division (D)(2)(b) of this 61245
section.61246

       (3) In addition to the doctoral set-aside allocation 61247
determined in division (D)(1) of this section and the formula 61248
entitlement determined in division (D)(2) of this section, an 61249
allocation based on fiscal year 2007 facility-based plant 61250
operations and maintenance (POM) subsidy shall be made. No campus 61251
shall be eligible for a POM allocation if the campus did not 61252
receive a net-assignable-square-foot-based (NASF) POM allocation 61253
in fiscal year 2007 and the amount of state share of instruction 61254
subsidy the campus would have received in fiscal year 2007 had the 61255
campus's calculation been based on the state share of instruction 61256
method described in this section, but using relevant fiscal year 61257
2007 data, is less than 98.5% of the campus's actual final fiscal 61258
year 2007 state share of instruction earnings.61259

       For each eligible campus, the amount of the POM allocation in 61260
each fiscal year shall be the lesser of:61261

       (a) 98.5% of the campus's actual final fiscal year 2007 state 61262
share of instruction earnings, minus the amount the campus would 61263
have received in fiscal year 2007 had the campus's calculation 61264
been based on the state share of instruction method described in 61265
this section, but using relevant fiscal year 2007 data; or61266

        (b) The actual final fiscal year 2007 61267
net-assignable-square-foot-based (NASF) POM allocation that was 61268
provided to the campus.61269

       Any POM allocations required by this division shall be funded 61270
by proportionately reducing formula entitlement earnings, 61271
including the POM allocations, for all campuses.61272

       The Board of Regents, in consultation with representatives of 61273
state-assisted colleges and universities, shall study the need for 61274
the facility-based POM allocations and make recommendations for 61275
changes by June 30, 2008.61276

       (4) ANNUAL STATE SHARE OF INSTRUCTION FUNDING GUARANTEE61277

       In addition to and after the other adjustment noted above, in 61278
each fiscal year, no campus shall receive a state share of 61279
instruction allocation that is less than 100 per cent of the prior 61280
year's state share of instruction amount. Funds shall be made 61281
available to fund this guarantee provision by recalculating the 61282
uniform state share as described in division (D)(2)(c) of this 61283
section by subtracting guarantee funds and the doctoral set-aside 61284
from the total appropriations for appropriation item 235-501, 61285
State Share of Instruction.61286

       (5) CAPITAL COMPONENT DEDUCTION61287

       After all other adjustments have been made, state share of 61288
instruction earnings shall be reduced for each campus by the 61289
amount, if any, by which debt service charged in Am. H.B. 748 of 61290
the 121st General Assembly, Am. Sub. H.B. 850 of the 122nd General61291
Assembly, Am. Sub. H.B. 640 of the 123rd General Assembly, H.B. 61292
675 of the 124th General Assembly, Am. Sub. H.B. 16 of the 126th 61293
General Assembly, and Am. Sub. H.B. 699 of the 126th General 61294
Assembly for that campus exceeds that campus's capital component 61295
earnings. The sum of the amounts deducted shall be transferred to 61296
appropriation item 235-552, Capital Component, in each fiscal 61297
year.61298

       (E) EXCEPTIONAL CIRCUMSTANCES61299

       Adjustments may be made to the state share of instruction61300
payments and other subsidies distributed by the Board of Regents61301
to state-assisted colleges and universities for exceptional61302
circumstances. No adjustments for exceptional circumstances may be 61303
made without the recommendation of the Chancellor and the approval 61304
of the Controlling Board.61305

       (F) APPROPRIATION REDUCTIONS TO THE STATE SHARE OF 61306
INSTRUCTION61307

       The standard provisions of the state share of instruction 61308
calculation as described in the preceding sections of temporary 61309
law shall apply to any reductions made to appropriation item 61310
235-501, State Share of Instruction, before the Board of Regents 61311
has formally approved the final allocation of the state share of 61312
instruction funds for any fiscal year.61313

       Any reductions made to appropriation item 235-501, State 61314
Share of Instruction, after the Board of Regents has formally 61315
approved the final allocation of the state share of instruction 61316
funds for any fiscal year, shall be uniformly applied to each 61317
campus in proportion to its share of the final allocation.61318

       (G) DISTRIBUTION OF STATE SHARE OF INSTRUCTION61319

       The state share of instruction payments to the institutions61320
shall be in substantially equal monthly amounts during the fiscal61321
year, unless otherwise determined by the Director of Budget and61322
Management pursuant to section 126.09 of the Revised Code.61323
Payments during the first six months of the fiscal year shall be61324
based upon the state share of instruction appropriation estimates61325
made for the various institutions of higher education according to61326
Board of Regents enrollment estimates. Payments during the last61327
six months of the fiscal year shall be distributed after approval61328
of the Controlling Board upon the request of the Board of Regents.61329

       Section 375.30.25.  STATE SHARE OF INSTRUCTION FOR FISCAL 61330
YEARS 2008 AND 200961331

       (A) The boards of trustees of institutions of state-supported 61332
higher education shall restrain increases in in-state 61333
undergraduate instructional and general fees. For the 2007-2008 61334
academic year, each state-supported institution shall not increase 61335
its in-state undergraduate instructional and general fees by more 61336
than three per cent over what the institution charged for the 61337
2006-2007 academic year. For the 2008-2009 academic year, each 61338
state-supported institution shall not increase its in-state 61339
undergraduate instructional and general fees over what the 61340
institution charged for the 2007-2008 academic year.61341

       These limitations shall not apply to increases required to 61342
comply with institutional covenants related to their obligations 61343
or to meet unfunded legal mandates or legally binding obligations 61344
incurred or commitments made prior to the effective date of this 61345
section with respect to which the institution had identified such 61346
fee increases as the source of funds. Any increase required by 61347
such covenants and any such mandates, obligations, or commitments 61348
shall be reported by the Board of Regents to the Controlling 61349
Board. These limitations may also be modified by the Board of 61350
Regents, with the approval of the Controlling Board, to respond to 61351
exceptional circumstances as identified by the Board of Regents.61352

       (B)(1) Notwithstanding the distribution formulas outlined in 61353
Section 375.30.20 of this act, in fiscal year 2008 each 61354
state-supported institution shall receive what was received in 61355
fiscal year 2007. In addition, each institution shall receive a 61356
proportional share of the total appropriation increase from fiscal 61357
year 2007 to fiscal year 2008 in appropriation item 235-501, State 61358
Share of Instruction, if the institution demonstrates one per cent 61359
savings through identified internal efficiencies in fiscal year 61360
2008, as certified by the Chancellor of the Board of Regents.61361

       Notwithstanding the distribution formulas outlined in Section 61362
375.30.20 of this act, in fiscal year 2009 each state-supported 61363
institution shall receive what was received in fiscal year 2008. 61364
In addition, each institution shall receive a proportional share 61365
of the total appropriation increase from fiscal year 2008 to 61366
fiscal year 2009 in appropriation item 235-501, State Share of 61367
Instruction, if the institution demonstrates three per cent 61368
savings through identified internal efficiencies in fiscal year 61369
2009, as certified by the Chancellor of the Board of Regents.61370

       (2) In each fiscal year, state share of instruction earnings61371
shall be reduced for each campus by the amount, if any, by which 61372
debt service charged in Am. H.B. 748 of the 121st General 61373
Assembly, Am. Sub. H.B. 850 of the 122nd General Assembly, Am. 61374
Sub. H.B. 640 of the 123rd General Assembly, H.B. 675 of the 124th 61375
General Assembly, Am. Sub. H.B. 16 of the 126th General Assembly, 61376
and Am. Sub. H.B. 699 of the 126th General Assembly for that 61377
campus exceeds that campus's capital component earnings. The sum 61378
of the amounts deducted shall be transferred to appropriation item 61379
235-552, Capital Component, in each fiscal year.61380

       Adjustments may be made to the state share of instruction61381
payments and other subsidies distributed by the Board of Regents61382
to state-assisted colleges and universities for exceptional61383
circumstances. No adjustments for exceptional circumstances may be 61384
made without the recommendation of the Board of Regents and the61385
approval of the Controlling Board.61386

       Any reductions made to appropriation item 235-501, State 61387
Share of Instruction, shall be uniformly applied to each campus in 61388
proportion to its share of the allocation.61389

       The state share of instruction payments to the institutions61390
shall be in substantially equal monthly amounts during the fiscal61391
year, unless otherwise determined by the Director of Budget and61392
Management pursuant to section 126.09 of the Revised Code.61393
Payments during the last six months of the fiscal year shall be61394
distributed after approval of the Controlling Board upon the61395
request of the Board of Regents.61396

       (C) In consultation with the Department of Development, the 61397
Chancellor of the Board of Regents shall commission a study on the 61398
needs of the business community relative to higher education in 61399
the state. The study shall include all of the following:61400

       (1) Determine the needs of Ohio's business community;61401

       (2) Determine whether state-supported institutions of higher 61402
education are meeting those needs;61403

       (3) Identify how state-supported institutions of higher 61404
education can improve to meet those needs;61405

       (4) Identify the necessary skills and talents required by the 61406
business community that Ohio's college graduates must have in 61407
order to perform in the workplace; and61408

       (5) Make any necessary recommendations as to how 61409
state-supported institutions of higher education can better meet 61410
the needs of the business community.61411

       Not later than December 31, 2007, the Chancellor of the Board 61412
of Regents shall report the findings of the study to the Governor, 61413
the Speaker and the Minority Leader of the House of 61414
Representatives, and the President and the Minority Leader of the 61415
Senate.61416

       (D) In consultation with state-supported institutions of 61417
higher education, the Chancellor of the Board of Regents shall 61418
develop a plan that includes all of the following:61419

       (1) A plan to achieve the access goal of increasing the 61420
number of Ohioans with a college degree by 230,000 by 2017;61421

       (2) A plan to achieve the success goal of increasing the 61422
graduation rate of those who first enroll in college on or after 61423
the effective date of this section by twenty per cent by 2017;61424

       (3) A plan to achieve affordability through tuition restraint 61425
and additional state support for higher education; such a plan 61426
shall include goals for establishing and implementing funding 61427
policies that provide for sufficient state funding support to 61428
reach tuition that matches or is lower than the national average 61429
and state support that matches or exceeds the national average;61430

       (4) A plan to enhance the state's competitiveness for 61431
attracting federal and other support for research and development 61432
at public research universities; such a plan shall include goals 61433
for reaching or exceeding the national average level of support, 61434
on a per capita basis, for research and development;61435

       (5) A plan to promote higher education throughout the state 61436
through the coordinated leadership efforts of the Governor, the 61437
Chancellor of the Board of Regents, and other stakeholders; such a 61438
plan shall include goals for using various media and other 61439
partnerships to raise awareness of college opportunities, to 61440
increase public awareness about the value of a college education, 61441
and to create a shared vision that a higher education is 61442
attainable by all Ohioans.61443

       Each of these plans shall include key outcome measures and 61444
other appropriate indicators to allow for monitoring of progress 61445
made in meeting the established goals. Each state-supported 61446
institution of higher education shall provide any student and 61447
institutional outcome data in any program areas requested by the 61448
Chancellor of the Board of Regents, including program efficiency 61449
and utilization of state resources. Each state-supported 61450
institution of higher education shall also commit to increasing 61451
inter-institution collaborations and partnerships and enhancing 61452
efficiencies with the goal of achieving measurable increases in 61453
savings.61454

       In consultation with state-supported institutions of higher 61455
education, the Chancellor of the Board of Regents shall study the 61456
feasibility of establishing and implementing a tuition flexibility 61457
plan that may allow state-supported institutions of higher 61458
education to charge per-credit-hour-based tuition or differential 61459
tuition.61460

       Not later than December 31, 2007, the Chancellor of the Board 61461
of Regents shall report the plan and the tuition flexibility 61462
feasibility study to the Governor, the Speaker and the Minority 61463
Leader of the House of Representatives, and the President and the 61464
Minority Leader of the Senate.61465

       Section 375.30.30.  HIGHER EDUCATION - BOARD OF TRUSTEES61466

       Funds appropriated for instructional subsidies at colleges61467
and universities may be used to provide such branch or other61468
off-campus undergraduate courses of study and such master's degree61469
courses of study as may be approved by the Board of Regents.61470

       In providing instructional and other services to students,61471
boards of trustees of state-assisted institutions of higher61472
education shall supplement state subsidies by income from charges61473
to students. Each board shall establish the fees to be charged to61474
all students, including an instructional fee for educational and61475
associated operational support of the institution and a general61476
fee for noninstructional services, including locally financed61477
student services facilities used for the benefit of enrolled61478
students. The instructional fee and the general fee shall61479
encompass all charges for services assessed uniformly to all61480
enrolled students. Each board may also establish special purpose61481
fees, service charges, and fines as required; such special purpose61482
fees and service charges shall be for services or benefits61483
furnished individual students or specific categories of students61484
and shall not be applied uniformly to all enrolled students. 61485
Except for the board of trustees of Miami University, in 61486
implementing the pilot tuition restructuring plan recognized in 61487
Section 89.05 of Am. Sub. H.B. 95 of the 125th General Assembly 61488
and again recognized by this act, a tuition surcharge shall be 61489
paid by all students who are not residents of Ohio.61490

       The board of trustees of a state-assisted institution of61491
higher education shall not authorize a waiver or nonpayment of61492
instructional fees or general fees for any particular student or61493
any class of students other than waivers specifically authorized61494
by law or approved by the Chancellor. This prohibition is not61495
intended to limit the authority of boards of trustees to provide61496
for payments to students for services rendered the institution,61497
nor to prohibit the budgeting of income for staff benefits or for61498
student assistance in the form of payment of such instructional61499
and general fees. This prohibition is not intended to limit the 61500
authority of the board of trustees of Miami University in 61501
providing financial assistance to students in implementing the 61502
pilot tuition restructuring plan recognized in Section 89.05 of 61503
Am. Sub. H.B. 95 of the 125th General Assembly and again 61504
recognized by this act.61505

       Except for Miami University, in implementing the pilot 61506
tuition restructuring plan recognized in Section 89.05 of Am. Sub. 61507
H.B. 95 of the 125th General Assembly and again recognized by this 61508
act, each state-assisted institution of higher education in its61509
statement of charges to students shall separately identify the61510
instructional fee, the general fee, the tuition charge, and the61511
tuition surcharge. Fee charges to students for instruction shall61512
not be considered to be a price of service but shall be considered61513
to be an integral part of the state government financing program61514
in support of higher educational opportunity for students.61515

       The board of trustees of state-assisted institutions of 61516
higher education shall ensure that faculty members devote a proper 61517
and judicious part of their work week to the actual instruction of61518
students. Total class credit hours of production per quarter per61519
full-time faculty member is expected to meet the standards set61520
forth in the budget data submitted by the Board of Regents.61521

       The authority of government vested by law in the boards of61522
trustees of state-assisted institutions of higher education shall61523
in fact be exercised by those boards. Boards of trustees may61524
consult extensively with appropriate student and faculty groups.61525
Administrative decisions about the utilization of available61526
resources, about organizational structure, about disciplinary61527
procedure, about the operation and staffing of all auxiliary61528
facilities, and about administrative personnel shall be the61529
exclusive prerogative of boards of trustees. Any delegation of61530
authority by a board of trustees in other areas of responsibility61531
shall be accompanied by appropriate standards of guidance61532
concerning expected objectives in the exercise of such delegated61533
authority and shall be accompanied by periodic review of the61534
exercise of this delegated authority to the end that the public61535
interest, in contrast to any institutional or special interest,61536
shall be served.61537

       Section 375.30.40. STUDENT SUPPORT SERVICES61538

       The foregoing appropriation item 235-502, Student Support61539
Services, shall be distributed by the Board of Regents to Ohio's61540
state-assisted colleges and universities that incur61541
disproportionate costs in the provision of support services to61542
disabled students.61543

       Section 375.30.50. OHIO INSTRUCTIONAL GRANTS61544

       In each fiscal year, instructional grants for all eligible 61545
full-time students who have attended a college, university, or 61546
proprietary school and have completed coursework for college 61547
credit, excluding early college high school and post-secondary 61548
enrollment option students, prior to academic year 2006-2007, 61549
shall be made using the tables under section 3333.12 of the 61550
Revised Code.61551

       Of the foregoing appropriation item 235-503, Ohio 61552
Instructional Grants, an amount in each fiscal year shall be used 61553
to make the payments authorized by division (C) of section 3333.26 61554
of the Revised Code to the institutions described in that 61555
division. In addition, an amount in each fiscal year shall be used 61556
to reimburse the institutions described in division (B) of section 61557
3333.26 of the Revised Code for the cost of the waivers required 61558
by that division.61559

       The unencumbered balance of appropriation item 235-503, Ohio 61560
Instructional Grants, at the end of fiscal year 2008 shall be 61561
transferred to fiscal year 2009 for use under the same 61562
appropriation item. The amounts transferred are hereby 61563
appropriated.61564

       Section 375.30.60.  WAR ORPHANS SCHOLARSHIPS61565

       The foregoing appropriation item 235-504, War Orphans61566
Scholarships, shall be used to reimburse state-assisted61567
institutions of higher education for waivers of instructional fees61568
and general fees provided by them, to provide grants to61569
institutions that have received a certificate of authorization61570
from the Ohio Board of Regents under Chapter 1713. of the Revised61571
Code, in accordance with the provisions of section 5910.04 of the61572
Revised Code, and to fund additional scholarship benefits provided61573
by section 5910.032 of the Revised Code.61574

       Section 375.30.70. OHIOLINK61575

       The foregoing appropriation item 235-507, OhioLINK, shall be 61576
used by the Board of Regents to support OhioLINK, the state's 61577
electronic library information and retrieval system, which 61578
provides access statewide to an extensive set of electronic 61579
databases and resources and the library holdings of all of Ohio's 61580
public colleges and universities, 44 private colleges, and the 61581
State Library of Ohio.61582

       Section 375.30.80. AIR FORCE INSTITUTE OF TECHNOLOGY61583

       The foregoing appropriation item 235-508, Air Force Institute 61584
of Technology, shall be used to strengthen the research and 61585
educational linkages between the Wright Patterson Air Force Base 61586
and institutions of higher education in Ohio. Of the foregoing 61587
appropriation item 235-508, Air Force Institute of Technology, 61588
$1,233,588 in each fiscal year shall be used for research projects 61589
that connect the Air Force Research Laboratories with university 61590
partners. The institute shall provide annual reports to the Third 61591
Frontier Commission, that discuss existing, planned, or possible 61592
collaborations between programs and funding recipients related to 61593
technology, research development, commercialization, and support 61594
for Ohio's economic development.61595

       Of the foregoing appropriation item 235-508, Air Force 61596
Institute of Technology, $691,757 in each fiscal year shall be 61597
used to match federal dollars to support technology 61598
commercialization and job creation. The Development Research 61599
Corporation shall use the funds to create or expand Ohio-based 61600
technology and commercial development collaborations in areas that 61601
are a priority in Ohio's third frontier initiative between 61602
industry, academia, and government.61603

       Section 375.30.90.  OHIO SUPERCOMPUTER CENTER61604

       The foregoing appropriation item 235-510, Ohio Supercomputer61605
Center, shall be used by the Board of Regents to support the61606
operation of the Ohio Super Computer Center, located at The Ohio 61607
State University, as a statewide resource available to Ohio 61608
research universities both public and private. It is also intended 61609
that the center be made accessible to private industry as 61610
appropriate. Policies of the center shall be established by a61611
governance committee, representative of Ohio's research61612
universities and private industry, to be appointed by the61613
Chancellor of the Board of Regents and established for this61614
purpose.61615

       Funds shall be used, in part, to support the Ohio 61616
Supercomputer Center's Computational Science Initiative which 61617
includes its industrial outreach program, Blue Collar Computing, 61618
and its School of Computational Science. These collaborations 61619
between the Ohio Supercomputer Center and Ohio's colleges and 61620
universities shall be aimed at making Ohio a leader in using 61621
computer modeling to promote economic development.61622

       Of the foregoing appropriation item 235-510, Ohio 61623
Supercomputer Center, $250,000 in each fiscal year shall be used 61624
to support the Super Computer Center's activities in Beavercreek.61625

       Section 375.40.10.  COOPERATIVE EXTENSION SERVICE61626

       The foregoing appropriation item 235-511, Cooperative 61627
Extension Service, shall be disbursed through the Board of Regents 61628
to The Ohio State University in monthly payments, unless otherwise 61629
determined by the Director of Budget and Management under section 61630
126.09 of the Revised Code.61631

       Of the foregoing appropriation item 235-511, Cooperative61632
Extension Service, $178,271 in each fiscal year shall be used for61633
additional staffing for county agents for expanded 4-H activities.61634
Of the foregoing appropriation item 235-511, Cooperative Extension61635
Service, $178,271 in each fiscal year shall be used by the61636
Cooperative Extension Service, through the Enterprise Center for61637
Economic Development in cooperation with other agencies, for a61638
public-private effort to create and operate a small business61639
economic development program to enhance the development of61640
alternatives to the growing of tobacco, and implement, through61641
applied research and demonstration, the production and marketing61642
of other high-value crops and value-added products. Of the61643
foregoing appropriation item 235-511, Cooperative Extension61644
Service, $55,179 in each fiscal year shall be used for farm labor61645
mediation and education programs, $182,515 in each fiscal year 61646
shall be used to support the Ohio State University Marion 61647
Enterprise Center, and $772,931 in each fiscal year shall be used 61648
to support the Ohio Watersheds Initiative.61649

       Section 375.40.20.  OHIO UNIVERSITY VOINOVICH CENTER61650

       The foregoing appropriation item 235-513, Ohio University 61651
Voinovich Center, shall be used by the Board of Regents to support 61652
the operations of Ohio University's Voinovich Center.61653

       Section 375.40.30. PERFORMANCE STANDARDS FOR MEDICAL 61654
EDUCATION61655

       The Board of Regents, in consultation with the state-assisted 61656
medical colleges, shall develop performance standards for medical61657
education. Special emphasis in the standards shall be placed on 61658
attempting to ensure that at least 50 per cent of the aggregate 61659
number of students enrolled in state-assisted medical colleges 61660
continue to enter residency as primary care physicians. Primary 61661
care physicians are general family practice physicians, general 61662
internal medicine practitioners, and general pediatric care61663
physicians. The Board of Regents shall monitor medical school61664
performance in relation to their plans for reaching the 50 per61665
cent systemwide standard for primary care physicians.61666

       Section 375.40.35.  CENTRAL STATE SUPPLEMENT61667

       The foregoing appropriation item 235-514, Central State 61668
Supplement, shall be used by Central State University to keep 61669
undergraduate fees below the statewide average, consistent with 61670
its mission of service to many first-generation college students 61671
from groups historically underrepresented in higher education and 61672
from families with limited incomes.61673

       Section 375.40.40. CASE WESTERN RESERVE UNIVERSITY SCHOOL OF 61674
MEDICINE61675

       The foregoing appropriation item 235-515, Case Western61676
Reserve University School of Medicine, shall be disbursed to Case61677
Western Reserve University through the Board of Regents in61678
accordance with agreements entered into under section 3333.10 of 61679
the Revised Code, provided that the state support per full-time 61680
medical student shall not exceed that provided to full-time 61681
medical students at state universities.61682

       Section 375.40.50.  CAPITOL SCHOLARSHIP PROGRAM61683

        The foregoing appropriation item 235-518, Capitol Scholarship 61684
Program, shall be used by the Board of Regents to provide 61685
scholarships to undergraduates of Ohio's four-year public and 61686
private institutions of higher education participating in the 61687
Washington Center Internship Program. A scholarship of $1,800 61688
shall be awarded to students enrolled in an institution operating 61689
on a quarter system, and a scholarship of $2,300 shall be awarded 61690
to students enrolled in an institution operating on a semester 61691
system. The number of scholarships awarded shall be limited by the 61692
amounts appropriated in fiscal years 2008 and 2009. The Washington 61693
Center shall provide a minimum of $1,300 per student in matching 61694
scholarships.61695

       Section 375.40.60. FAMILY PRACTICE61696

       The Board of Regents shall develop plans consistent with 61697
existing criteria and guidelines as may be required for the 61698
distribution of appropriation item 235-519, Family Practice.61699

       Section 375.40.70. SHAWNEE STATE SUPPLEMENT61700

       The foregoing appropriation item 235-520, Shawnee State61701
Supplement, shall be used by Shawnee State University as detailed61702
by both of the following:61703

       (A) To allow Shawnee State University to keep its61704
undergraduate fees below the statewide average, consistent with61705
its mission of service to an economically depressed Appalachian61706
region;61707

       (B) To allow Shawnee State University to employ new faculty61708
to develop and teach in new degree programs that meet the needs of61709
Appalachians.61710

       Shawnee State University shall produce a projection of 61711
in-state undergraduate tuition costs for a four-year period of 61712
study not later than June 30, 2008. In fiscal year 2009, the 61713
disbursement of these funds shall be contingent upon Shawnee State 61714
University producing the required tuition cost projection. Shawnee 61715
State University shall make every effort to restrain future 61716
in-state undergraduate tuition increases to stay within those 61717
projected amounts.61718

       Section 375.40.80.  OSU GLENN INSTITUTE61719

       The foregoing appropriation item 235-521, The Ohio State 61720
University Glenn Institute, shall be used by the Board of Regents 61721
to support the operations of the Ohio State University's Glenn 61722
Institute.61723

       Section 375.40.90. POLICE AND FIRE PROTECTION61724

       The foregoing appropriation item 235-524, Police and Fire61725
Protection, shall be used for police and fire services in the61726
municipalities of Kent, Athens, Oxford, Fairborn, Bowling Green,61727
Portsmouth, Xenia Township (Greene County), Rootstown Township, 61728
and the City of Nelsonville that may be used to assist these local 61729
governments in providing police and fire protection for the 61730
central campus of the state-affiliated university located therein. 61731
Each participating municipality and township shall receive at 61732
least $5,000 in each fiscal year. Funds shall be distributed 61733
according to the method employed by the Board of Regents in the 61734
previous biennium.61735

       Section 375.50.10.  GERIATRIC MEDICINE61736

       The Board of Regents shall develop plans consistent with61737
existing criteria and guidelines as may be required for the61738
distribution of appropriation item 235-525, Geriatric Medicine.61739

       Section 375.50.20.  PRIMARY CARE RESIDENCIES61740

       The Board of Regents shall develop plans consistent with 61741
existing criteria and guidelines as may be required for the 61742
distribution of appropriation item 235-526, Primary Care 61743
Residencies.61744

       The foregoing appropriation item 235-526, Primary Care 61745
Residencies, shall be distributed in each fiscal year of the 61746
biennium, based on whether or not the institution has submitted 61747
and gained approval for a plan. If the institution does not have 61748
an approved plan, it shall receive five per cent less funding per 61749
student than it would have received from its annual allocation. 61750
The remaining funding shall be distributed among those 61751
institutions that meet or exceed their targets.61752

       Section 375.50.30. OHIO AEROSPACE INSTITUTE61753

       The foregoing appropriation item 235-527, Ohio Aerospace61754
Institute, shall be distributed by the Board of Regents under61755
section 3333.042 of the Revised Code.61756

       The Board of Regents, in consultation with the Third Frontier 61757
Commission, shall develop a plan for providing for appropriate, 61758
value-added participation of the Ohio Aerospace Institute in Third 61759
Frontier Project proposals and grants.61760

       Section 375.50.40. ACADEMIC SCHOLARSHIPS61761

       The foregoing appropriation item 235-530, Academic61762
Scholarships, shall be used to provide academic scholarships to61763
students under section 3333.22 of the Revised Code.61764

       Section 375.50.50. STUDENT CHOICE GRANTS61765

       The foregoing appropriation item 235-531, Student Choice61766
Grants, shall be used to provide Student Choice Grants under 61767
section 3333.27 of the Revised Code, except that in each fiscal 61768
year, the Board of Regents shall make a Student Choice Grant under 61769
that section only to a student who has a family income, as defined 61770
by the Board for purposes of section 3333.122 of the Revised Code, 61771
of $95,000 or less.61772

       Section 375.50.60. OHIO AGRICULTURAL RESEARCH AND DEVELOPMENT 61773
CENTER61774

       The foregoing appropriation item 235-535, Ohio Agricultural 61775
Research and Development Center, shall be disbursed through the 61776
Board of Regents to The Ohio State University in monthly payments, 61777
unless otherwise determined by the Director of Budget and 61778
Management under section 126.09 of the Revised Code. The Ohio 61779
Agricultural Research and Development Center shall not be required 61780
to remit payment to The Ohio State University during the biennium 61781
ending June 30, 2009, for cost reallocation assessments. The cost 61782
reallocation assessments include, but are not limited to, any 61783
assessment on state appropriations to the Center.61784

       The Ohio Agricultural Research and Development Center, an 61785
entity of the College of Food, Agricultural, and Environmental 61786
Sciences of The Ohio State University, shall further its mission 61787
of enhancing Ohio's economic development and job creation by 61788
continuing to internally allocate on a competitive basis 61789
appropriated funding of programs based on demonstrated 61790
performance. Academic units, faculty, and faculty-driven programs 61791
shall be evaluated and rewarded consistent with agreed-upon 61792
performance expectations as called for in the College's 61793
Expectations and Criteria for Performance Assessment.61794

       Of the foregoing appropriation item 235-535, Ohio 61795
Agricultural Research and Development Center, $467,578 in each 61796
fiscal year shall be used to purchase equipment.61797

       Of the foregoing appropriation item 235-535, Ohio61798
Agricultural Research and Development Center, $822,592 in each 61799
fiscal year shall be distributed to the Piketon Agricultural61800
Research and Extension Center.61801

       Of the foregoing appropriation item 235-535, Ohio61802
Agricultural Research and Development Center, $216,471 in each 61803
fiscal year shall be distributed to the61804
Raspberry/Strawberry-Ellagic Acid Research program at The Ohio61805
State University Medical College in cooperation with The Ohio61806
State University College of Agriculture.61807

       Of the foregoing appropriation item 235-535, Ohio61808
Agricultural Research and Development Center, $43,294 in each 61809
fiscal year shall be used to support the Ohio Berry Administrator.61810

       Of the foregoing appropriation item 235-535, Ohio61811
Agricultural Research and Development Center, $86,588 in each 61812
fiscal year shall be used for the development of agricultural61813
crops and products not currently in widespread production in Ohio,61814
in order to increase the income and viability of family farmers.61815

       Of the foregoing appropriation item 235-535, Ohio 61816
Agricultural Research and Development Center, $127,500 in each 61817
fiscal year shall be distributed to Wilmington College for the 61818
commercialization of agricultural products.61819

       Section 375.50.70. STATE UNIVERSITY CLINICAL TEACHING61820

       The foregoing appropriation items 235-536, The Ohio State 61821
University Clinical Teaching; 235-537, University of Cincinnati 61822
Clinical Teaching; 235-538, University of Toledo Clinical 61823
Teaching; 235-539, Wright State University Clinical Teaching; 61824
235-540, Ohio University Clinical Teaching; and 235-541, 61825
Northeastern Ohio Universities College of Medicine Clinical 61826
Teaching, shall be distributed through the Board of Regents.61827

       Of the foregoing appropriation item 235-539, Wright State 61828
University Clinical Teaching, $124,644 in each fiscal year of the 61829
biennium shall be for the use of Wright State University's Ellis 61830
Institute for Clinical Teaching Studies to operate the clinical 61831
facility to serve the Greater Dayton area.61832

       Section 375.50.80. SCHOOL OF INTERNATIONAL BUSINESS61833

       Of the foregoing appropriation item 235-547, School of61834
International Business, $250,000 in each fiscal year shall be used 61835
for the continued development and support of the School of61836
International Business of the state universities of northeast61837
Ohio. The money shall go to The University of Akron. These funds61838
shall be used by the university to establish a School of61839
International Business located at The University of Akron. It may61840
confer with Kent State University, Youngstown State University,61841
and Cleveland State University as to the curriculum and other61842
matters regarding the school.61843

       Of the foregoing appropriation item 235-547, School of61844
International Business, $100,000 in each fiscal year shall be used61845
by the University of Toledo College of Business for expansion of61846
its international business programs.61847

       Of the foregoing appropriation item 235-547, School of61848
International Business, $100,000 in each fiscal year shall be used 61849
to support the Ohio State University BioMEMS program.61850

       Section 375.50.90. CAPITAL COMPONENT61851

       The foregoing appropriation item 235-552, Capital Component,61852
shall be used by the Board of Regents to implement the capital61853
funding policy for state-assisted colleges and universities61854
established in Am. H.B. 748 of the 121st General Assembly.61855
Appropriations from this item shall be distributed to all campuses61856
for which the estimated campus debt service attributable to new61857
qualifying capital projects is less than the campus's61858
formula-determined capital component allocation. Campus61859
allocations shall be determined by subtracting the estimated61860
campus debt service attributable to new qualifying capital61861
projects from the campus's formula-determined capital component61862
allocation. Moneys distributed from this appropriation item shall61863
be restricted to capital-related purposes.61864

       Any campus for which the estimated campus debt service 61865
attributable to qualifying capital projects is greater than the 61866
campus's formula-determined capital component allocation shall 61867
have the difference subtracted from its State Share of Instruction 61868
allocation in each fiscal year. The sum of all such amounts shall 61869
be transferred from appropriation item 235-501, State Share of 61870
Instruction, to appropriation item 235-552, Capital Component.61871

       Section 375.60.10. DAYTON AREA GRADUATE STUDIES INSTITUTE61872

       The foregoing appropriation item 235-553, Dayton Area61873
Graduate Studies Institute, shall be used by the Board of Regents61874
to support the Dayton Area Graduate Studies Institute, an61875
engineering graduate consortium of three universities in the61876
Dayton area: Wright State University, the University of Dayton,61877
and the Air Force Institute of Technology, with the participation61878
of the University of Cincinnati and The Ohio State University.61879

       Of the foregoing appropriation item 235-553, Dayton Area 61880
Graduate Studies Institute, $350,000 in each fiscal year shall be 61881
used by the Development Research Corporation to support 61882
collaborative research and technology commercialization 61883
initiatives in Ohio.61884

       Section 375.60.20. PRIORITIES IN COLLABORATIVE GRADUATE 61885
EDUCATION61886

       The foregoing appropriation item 235-554, Priorities in 61887
Collaborative Graduate Education, shall be used to support 61888
improvements in graduate fields of study at state-assisted 61889
universities identified by the Board of Regents, in consultation 61890
with the Department of Development and the Department of Job and 61891
Family Services, as vital to the state's economic strategy or 61892
related to an area of workforce shortage. Each fiscal year, 61893
participating institutions shall collectively submit for Board of 61894
Regents approval a plan describing how they will work 61895
collaboratively to improve the quality of their graduate programs 61896
and how the funds are to be used for this purpose. The 61897
collaborative effort for Ph.D. computer science programs shall be 61898
coordinated by the Ohio Supercomputer Center as part of its School 61899
of Computational Science.61900

       Section 375.60.30. LIBRARY DEPOSITORIES61901

       The foregoing appropriation item, 235-555, Library 61902
Depositories, shall be distributed to the state's five regional 61903
depository libraries for the cost-effective storage of and access 61904
to lesser-used materials in university library collections. The 61905
distribution of funds shall be coordinated by the Board of 61906
Regents.61907

       Section 375.60.40. OHIO ACADEMIC RESOURCES NETWORK (OARNET)61908

       The foregoing appropriation item 235-556, Ohio Academic61909
Resources Network, shall be used to support the operations of the61910
Ohio Academic Resources Network, which shall include support for61911
Ohio's state-assisted colleges and universities in maintaining and61912
enhancing network connections and in using new network 61913
technologies to improve research, education, and economic 61914
development programs. The network shall give priority to 61915
supporting the Third Frontier Network and allocating bandwidth to 61916
programs directly supporting Ohio's economic development.61917

       Section 375.60.50. LONG-TERM CARE RESEARCH61918

       Of the foregoing appropriation item 235-558, Long-term Care61919
Research, $211,047 in each fiscal year shall be disbursed to Miami 61920
University for long-term care research.61921

       Of the foregoing appropriation item, 235-558, Long-term Care 61922
Research, $100,000 in each fiscal year shall be used to support 61923
research on best practices for long-term care in rural areas.61924

       Section 375.60.60. BOWLING GREEN STATE UNIVERSITY CANADIAN 61925
STUDIES CENTER61926

       The foregoing appropriation item 235-561, Bowling Green State61927
University Canadian Studies Center, shall be used by the Canadian61928
Studies Center at Bowling Green State University to study61929
opportunities for Ohio and Ohio businesses to benefit from the61930
Free Trade Agreement between the United States and Canada.61931

       Section 375.60.70.  OHIO COLLEGE OPPORTUNITY GRANT PHASE-IN61932

       The foregoing appropriation item 235-563, Ohio College 61933
Opportunity Grant, shall be used by the Board of Regents to begin 61934
to award needs-based financial aid to students based on the United 61935
States Department of Education's method of determining financial 61936
need. Students who enrolled in a public, private, or proprietary 61937
post-secondary institution of higher education for the first time 61938
in academic year 2006-2007, excluding early college high school 61939
and post-secondary enrollment option participants, shall be 61940
eligible to receive aid based on their expected family 61941
contributions as calculated by the United States Department of 61942
Education, according to section 3333.122 of the Revised Code.61943

       Eligible expenditures from the foregoing appropriation item 61944
235-563, Ohio College Opportunity Grant, shall be claimed each 61945
fiscal year to help meet the state's TANF maintenance of effort 61946
requirement. The Chancellor of the Board of Regents and the 61947
Director of Job and Family Services shall enter into an 61948
interagency agreement to carry out this paragraph, which shall 61949
include, but not be limited to, developing reporting guidelines 61950
for these expenditures.61951

       Section 375.60.80. CENTRAL STATE UNIVERSITY SPEED TO SCALE61952

       The foregoing appropriation 235-567, Central State University 61953
Speed to Scale, shall be used to achieve the goals of the Speed to 61954
Scale Plan, which include increasing student enrollment through 61955
freshman recruitment and transferred students, increasing the 61956
proportion of in-state students to 80 per cent of the total 61957
student population, and increasing the student retention rates 61958
between the first and second year of college by two per cent each 61959
year. The goals shall be accomplished by targeting student 61960
retention, improved articulation agreements with two-year 61961
campuses, increased use of alternative course options, including 61962
online coursework and Ohio Learning Network resources, College 61963
Tech Prep, Post Secondary Enrollment Options, and other 61964
dual-credit programs, and strategic partnerships with research 61965
institutions to improve the quality of Central State University's 61966
offering of science, technology, engineering, mathematics, and 61967
medical instruction. In fiscal year 2009, the disbursement of 61968
these funds shall be contingent upon Central State University 61969
meeting the annual goals for the student enrollment and 61970
first-to-second-year retention rate increases.61971

       There is hereby created the Speed to Scale Task Force that 61972
shall meet not less than quarterly to discuss progress of the 61973
plan, including performance on accountability metrics, issues 61974
experienced in planned efforts, and to monitor and support the 61975
creation of partnerships with other state institutions of higher 61976
education. The Task Force shall consist of the president of 61977
Central State University or the president's designee, the 61978
president of Sinclair Community College or the president's 61979
designee, the president of Cincinnati State Technical and 61980
Community College or the president's designee, the president of 61981
Cuyahoga Community College or the president's designee, The Ohio 61982
State University or the president's designee, the president of the 61983
University of Cincinnati or the president's designee, one 61984
representative from the Board of Regents, one member of the House 61985
of Representatives appointed by the Speaker of the House of 61986
Representatives, one member of the Senate appointed by the 61987
President of the Senate, the Director of Budget and Management or 61988
the director's designee, and a representative of the Governor's 61989
Office as appointed by the Governor.61990

       On the thirtieth day of June of each fiscal year, Central 61991
State University and the Speed to Scale Task Force shall jointly 61992
submit to the Governor, the Director of Budget and Management, the 61993
Speaker of the House of Representatives, the President of the 61994
Senate, and the Board of Regents a report describing the status of 61995
their progress on the accountability metrics included in the Speed 61996
to Scale plan.61997

       Section 375.60.91. CHOOSE OHIO FIRST SCHOLARSHIP61998

       It is the intent of the House of Representatives to work with 61999
the Senate and the Governor to design the criteria for the Choose 62000
Ohio First Scholarship to promote the pursuit of STEM degrees.62001

       Section 375.70.10. THE OHIO STATE UNIVERSITY CLINIC SUPPORT62002

       The foregoing appropriation item 235-572, The Ohio State62003
University Clinic Support, shall be distributed through the Board62004
of Regents to The Ohio State University for support of dental and62005
veterinary medicine clinics.62006

       Section 375.70.20. URBAN UNIVERSITY PROGRAM62007

       Universities receiving funds from the foregoing appropriation 62008
item 235-583, Urban University Program, that are used to support62009
an ongoing university unit shall certify periodically in a manner62010
approved by the Board of Regents that program funds are being62011
matched on a one-to-one basis with equivalent resources. Overhead62012
support may not be used to meet this requirement. Where Urban62013
University Program funds are being used to support an ongoing62014
university unit, matching funds shall come from continuing rather62015
than one-time sources. At each participating state-assisted62016
institution of higher education, matching funds shall be within 62017
the substantial control of the individual designated by the62018
institution's president as the Urban University Program62019
representative.62020

       Of the foregoing appropriation item 235-583, Urban University62021
Program, $117,215 in each fiscal year shall be used to support the 62022
Center for the Interdisciplinary Study of Education and the Urban 62023
Child at Cleveland State University. These funds shall be62024
distributed according to rules adopted by the Board of Regents and62025
shall be used by the center for interdisciplinary activities62026
targeted toward increasing the chance of lifetime success of the62027
urban child, including interventions beginning with the prenatal62028
period. The primary purpose of the center is to study issues in62029
urban education and to systematically map directions for new62030
approaches and new solutions by bringing together a cadre of62031
researchers, scholars, and professionals representing the social,62032
behavioral, education, and health disciplines.62033

       Of the foregoing appropriation item 235-583, Urban University62034
Program, $1,433,037 in each fiscal year shall be distributed by62035
the Board of Regents to Cleveland State University in support of62036
the Maxine Goodman Levin College of Urban Affairs.62037

       Of the foregoing appropriation item 235-583, Urban University62038
Program, $1,433,037 in each fiscal year shall be distributed to62039
the Northeast Ohio Research Consortium, the Urban Linkages62040
Program, and the Urban Research Technical Assistance Grant62041
Program. The distribution among the three programs shall be62042
determined by the chair of the Urban University Program.62043

       Of the foregoing appropriation item 235-583, Urban University62044
Program, $247,453 in each fiscal year shall be used to support a62045
public communication outreach program (WCPN). The primary purpose62046
of the program shall be to develop a relationship between62047
Cleveland State University and nonprofit communications entities.62048

       Of the foregoing appropriation item 235-583, Urban University62049
Program, $169,310 in each fiscal year shall be used to support the 62050
Kent State University Learning and Technology Project. This62051
project is a kindergarten through university collaboration between62052
schools surrounding Kent State University's eight campuses in 62053
northeast Ohio and corporate partners who will assist in 62054
development and delivery.62055

       The Kent State University Project shall provide a faculty62056
member who has a full-time role in the development of62057
collaborative activities and teacher instructional programming62058
between Kent State University and the K-12th grade schools that 62059
surround its eight campuses; appropriate student support staff to 62060
facilitate these programs and joint activities; and hardware and 62061
software to schools that will make possible the delivery of 62062
instruction to pre-service and in-service teachers, and their 62063
students, in their own classrooms or school buildings. This shall 62064
involve the delivery of low-bandwidth streaming video and 62065
web-based technologies in a distributed instructional model.62066

       Of the foregoing appropriation item 235-583, Urban University62067
Program, $65,119 in each fiscal year shall be used to support the62068
Ameritech Classroom/Center for Research at Kent State University.62069

       Of the foregoing appropriation item 235-583, Urban University62070
Program, $723,547 in each fiscal year shall be used to support the 62071
Polymer Distance Learning Project at the University of Akron.62072

       Of the foregoing appropriation item 235-583, Urban University62073
Program, $32,560 in each fiscal year shall be distributed to the62074
Kent State University/Cleveland Design Center program.62075

       Of the foregoing appropriation item 235-583, Urban University62076
Program, $180,886 in each fiscal year shall be used to support the 62077
Bliss Institute of Applied Politics at the University of Akron.62078

       Of the foregoing appropriation item 235-583, Urban University62079
Program, $10,851 in each fiscal year shall be used for the62080
Advancing-Up Program at the University of Akron.62081

       Of the foregoing appropriation item 235-583, Urban University 62082
Program, $139,777 in each fiscal year shall be used to support the 62083
Strategic Economic Research Collaborative at the University of 62084
Toledo Urban Affairs Center.62085

        Of the foregoing appropriation item 235-583, Urban University 62086
Program, $139,777 in each fiscal year shall be used to support the 62087
Institute for Collaborative Research and Public Humanities at The 62088
Ohio State University.62089

       Of the foregoing appropriation item 235-583, Urban University 62090
Program, $300,368 in each fiscal year shall be used to support the 62091
Medina County University Center.62092

       Of the foregoing appropriation item 235-583, Urban University 62093
Program, $150,000 in each fiscal year shall be used to support the 62094
Ohio State University African American and African Studies 62095
Community Extension Center.62096

       Section 375.70.30. RURAL UNIVERSITY PROJECTS62097

       Of the foregoing appropriation item 235-587, Rural University62098
Projects, Bowling Green State University shall receive $263,783 in 62099
each fiscal year, Miami University shall receive $145,320 in each 62100
fiscal year, and Ohio University shall receive $575,015 in each 62101
fiscal year. These funds shall be used to support the Institute62102
for Local Government Administration and Rural Development at Ohio62103
University, the Center for Public Management and Regional Affairs62104
at Miami University, and the Center for Regional Development at62105
Bowling Green State University.62106

       A small portion of the funds provided to Ohio University62107
shall also be used for the Institute for Local Government62108
Administration and Rural Development State and Rural Policy62109
Partnership with the Governor's Office of Appalachia and the62110
Appalachian delegation of the General Assembly.62111

       Of the foregoing appropriation item 235-587, Rural University 62112
Projects, $15,942 in each fiscal year shall be used to support the 62113
Washington State Community College day care center.62114

        Of the foregoing appropriation item 235-587, Rural University 62115
Projects, $47,829 in each fiscal year shall be used to support the 62116
COAD/ILGARD/GOA Appalachian Leadership Initiative.62117

       Section 375.70.40. HAZARDOUS MATERIALS PROGRAM62118

       The foregoing appropriation item 235-596, Hazardous Materials62119
Program, shall be disbursed to Cleveland State University for the62120
operation of a program to certify firefighters for the handling of62121
hazardous materials. Training shall be available to all Ohio62122
firefighters.62123

       Of the foregoing appropriation item 235-596, Hazardous62124
Materials Program, $177,337 in each fiscal year shall be used to62125
support the Center for the Interdisciplinary Study of Education62126
and Leadership in Public Service at Cleveland State University.62127
These funds shall be distributed by the Board of Regents and shall62128
be used by the center targeted toward increasing the role of62129
special populations in public service and not-for-profit62130
organizations. The primary purpose of the center is to study62131
issues in public service and to guide strategies for attracting62132
new communities into public service occupations by bringing62133
together a cadre of researchers, scholars, and professionals62134
representing the public administration, social behavioral, and62135
education disciplines.62136

       Section 375.70.50. NATIONAL GUARD SCHOLARSHIP PROGRAM62137

       The Board of Regents shall disburse funds from appropriation62138
item 235-599, National Guard Scholarship Program, at the direction62139
of the Adjutant General. During each fiscal year, the Board of 62140
Regents, within ten days of cancellation, may certify to the 62141
Director of Budget and Management the amount of canceled 62142
prior-year encumbrances in appropriation item 235-599, National 62143
Guard Scholarship Program. Upon receipt of the certification, the 62144
Director of Budget and Management may transfer an amount up to the 62145
certified amount from the General Revenue Fund to the National 62146
Guard Scholarship Reserve Fund (Fund 5BM). Upon the request of the 62147
Adjutant General, the Board of Regents shall seek Controlling 62148
Board approval to establish appropriations in item 235-623, 62149
National Guard Scholarship Reserve Fund. The Board of Regents 62150
shall disburse funds from appropriation item 235-623, National 62151
Guard Scholarship Reserve Fund, at the direction of the Adjutant 62152
General.62153

       *       Section 375.70.60. PLEDGE OF FEES62154

       Any new pledge of fees, or new agreement for adjustment of62155
fees, made in the biennium ending June 30, 2009, to secure bonds 62156
or notes of a state-assisted institution of higher education for a 62157
project for which bonds or notes were not outstanding on the 62158
effective date of this section shall be effective only after 62159
approval by the Board of Regents, unless approved in a previous 62160
biennium.62161

       Section 375.70.70. HIGHER EDUCATION GENERAL OBLIGATION DEBT 62162
SERVICE62163

       The foregoing appropriation item 235-909, Higher Education62164
General Obligation Debt Service, shall be used to pay all debt62165
service and related financing costs at the times they are required 62166
to be made for obligations issued during the period from July 1, 62167
2007, to June 30, 2009, under sections 151.01 and 151.04 of the 62168
Revised Code.62169

       Section 375.70.80. SALES AND SERVICES62170

        The Board of Regents is authorized to charge and accept 62171
payment for the provision of goods and services. Such charges 62172
shall be reasonably related to the cost of producing the goods and 62173
services. No charges may be levied for goods or services that are 62174
produced as part of the routine responsibilities or duties of the 62175
Board. All revenues received by the Board of Regents shall be 62176
deposited into Fund 456, and may be used by the Board of Regents 62177
to pay for the costs of producing the goods and services.62178

       Section 375.70.90.  OHIO HIGHER EDUCATIONAL FACILITY 62179
COMMISSION SUPPORT62180

       The foregoing appropriation item 235-602, Higher Educational 62181
Facility Commission Administration, shall be used by the Board of 62182
Regents for operating expenses related to the Board of Regents' 62183
support of the activities of the Ohio Higher Educational Facility62184
Commission. Upon the request of the chancellor, the Director of62185
Budget and Management shall transfer up to $50,000 cash in fiscal 62186
year 2008 and up to $45,000 cash in fiscal year 2009 from Fund 461 62187
to Fund 4E8.62188

       Section 375.80.10. PHYSICIAN LOAN REPAYMENT62189

       The foregoing appropriation item 235-604, Physician Loan62190
Repayment, shall be used in accordance with sections 3702.71 to62191
3702.81 of the Revised Code.62192

       Section 375.80.20. NURSING LOAN PROGRAM62193

       The foregoing appropriation item 235-606, Nursing Loan62194
Program, shall be used to administer the nurse education62195
assistance program. Up to $159,600 in fiscal year 2008 and62196
$167,580 in fiscal year 2009 may be used for operating expenses62197
associated with the program. Any additional funds needed for the62198
administration of the program are subject to Controlling Board62199
approval.62200

       Section 375.80.30. REPAYMENT OF RESEARCH FACILITY INVESTMENT62201
FUND MONEYS62202

       Notwithstanding any provision of law to the contrary, all62203
repayments of Research Facility Investment Fund loans shall be62204
made to the Bond Service Trust Fund. All Research Facility62205
Investment Fund loan repayments made prior to the effective date62206
of this section shall be transferred by the Director of Budget and62207
Management to the Bond Service Trust Fund within sixty days after 62208
the effective date of this section.62209

       Campuses shall make timely repayments of Research Facility62210
Investment Fund loans, according to the schedule established by62211
the Board of Regents. In the case of late payments, the Board of62212
Regents may deduct from an institution's periodic subsidy62213
distribution an amount equal to the amount of the overdue payment62214
for that institution, transfer such amount to the Bond Service62215
Trust Fund, and credit the appropriate institution for the62216
repayment.62217

       Section 375.80.40. VETERANS' PREFERENCES62218

       The Board of Regents shall work with the Governor's Office of62219
Veterans' Affairs to develop specific veterans' preference62220
guidelines for higher education institutions. These guidelines62221
shall ensure that the institutions' hiring practices are in62222
accordance with the intent of Ohio's veterans' preference laws.62223

       Section 375.80.50. STATE NEED-BASED FINANCIAL AID 62224
RECONCILIATION62225

       By the first day of August in each fiscal year, or as soon 62226
thereafter as possible, the Ohio Board of Regents shall certify to 62227
the Director of Budget and Management the amount necessary to pay 62228
any outstanding prior year obligations to higher education 62229
institutions for the state's need-based financial aid programs. 62230
The amounts certified are hereby appropriated to appropriation 62231
item 235-618, State Need-based Financial Aid Reconciliation, from 62232
revenues received in the State Need-based Financial Aid 62233
Reconciliation Fund (Fund 5Y5).62234

       Section 375.80.60. TRANSFERS TO STATE NEED-BASED FINANCIAL 62235
AID PROGRAMS62236

       In each fiscal year of the biennium, if the Chancellor of the 62237
Board of Regents determines that additional funds are needed to 62238
support the distribution of state need-based financial aid in 62239
accordance with sections 3333.12 and 3333.122 of the Revised Code, 62240
the Chancellor shall recommend the reallocation of unencumbered 62241
and unobligated appropriation balances of General Revenue Fund 62242
appropriation items in the Board of Regents to GRF appropriation 62243
items 235-503, Ohio Instructional Grants, and 235-563, Ohio 62244
College Opportunity Grant. If the Director of Budget and 62245
Management determines that such a reallocation is required, the 62246
Director may transfer those identified unencumbered and 62247
unobligated funds in the Board of Regents as necessary to GRF 62248
appropriation items 235-503, Ohio Instructional Grants, and 62249
235-563, Ohio College Opportunity Grant. The amounts transferred 62250
to appropriation items 235-503, Ohio Instructional Grants, and 62251
235-563, Ohio College Opportunity Grant, are hereby appropriated. 62252
If those unencumbered and unobligated funds are not sufficient to 62253
support the distribution of state need-based financial aid in 62254
accordance with sections 3333.12 and 3333.122 of the Revised Code 62255
in each fiscal year, the Director of Budget and Management may 62256
increase the appropriation from the General Revenue Fund of 62257
appropriation items 235-503, Ohio Instructional Grants, and 62258
235-563, Ohio College Opportunity Grant, in each fiscal year. The 62259
combined increase to appropriation items 235-503, Ohio 62260
Instructional Grants, and 235-563, Ohio College Opportunity Grant, 62261
authorized under this section shall not exceed $5,000,000 in total 62262
for the purpose of need-based financial aid in each fiscal year of 62263
the biennium.62264

       Section 377.10.  DRC DEPARTMENT OF REHABILITATION AND62265
CORRECTION62266

General Revenue Fund 62267
GRF 501-321 Institutional Operations $ 892,162,864 $ 928,980,197 62268
GRF 501-403 Prisoner Compensation $ 8,599,255 $ 8,599,255 62269
GRF 501-405 Halfway House $ 41,214,205 $ 41,214,205 62270
GRF 501-406 Lease Rental Payments $ 106,531,029 $ 105,948,153 62271
GRF 501-407 Community Nonresidential Programs $ 16,514,626 $ 16,547,367 62272
GRF 501-408 Community Misdemeanor Programs $ 9,313,076 $ 9,313,076 62273
GRF 501-501 Community Residential Programs - CBCF $ 57,104,132 $ 57,104,132 62274
GRF 502-321 Mental Health Services $ 75,112,063 $ 78,405,363 62275
GRF 503-321 Parole and Community Operations $ 79,296,672 $ 82,739,767 62276
GRF 504-321 Administrative Operations $ 27,599,198 $ 28,703,273 62277
GRF 505-321 Institution Medical Services $ 199,073,620 $ 198,337,805 62278
GRF 506-321 Institution Education Services $ 23,784,868 $ 24,847,502 62279
GRF 507-321 Institution Recovery Services $ 7,319,028 $ 7,664,520 62280
TOTAL GRF General Revenue Fund $ 1,543,624,636 $ 1,588,404,615 62281

General Services Fund Group62282

148 501-602 Services and Agricultural $ 104,485,807 $ 108,290,058 62283
200 501-607 Ohio Penal Industries $ 39,395,391 $ 40,845,414 62284
4B0 501-601 Sewer Treatment Services $ 2,331,003 $ 2,407,018 62285
4D4 501-603 Prisoner Programs $ 20,967,703 $ 20,967,703 62286
4L4 501-604 Transitional Control $ 2,051,451 $ 2,051,451 62287
4S5 501-608 Education Services $ 4,564,072 $ 4,564,072 62288
483 501-605 Property Receipts $ 393,491 $ 393,491 62289
5AF 501-609 State and Non-Federal Awards $ 262,718 $ 262,718 62290
5H8 501-617 Offender Financial Responsibility $ 2,500,000 $ 2,500,000 62291
5L6 501-611 Information Technology Services $ 3,741,980 $ 3,741,980 62292
571 501-606 Training Academy Receipts $ 75,190 $ 75,190 62293
593 501-618 Laboratory Services $ 5,799,999 $ 5,799,999 62294
TOTAL GSF General Services Fund Group $ 186,568,805 $ 191,899,094 62295

Federal Special Revenue Fund Group62296

3S1 501-615 Truth-In-Sentencing Grants $ 8,709,142 $ 8,709,142 62297
323 501-619 Federal Grants $ 12,198,353 $ 12,198,353 62298
3CJ 501-621 Medicaid Inpatient Services $ 11,600,000 $ 15,500,000 62299
TOTAL FED Federal Special Revenue 62300
Fund Group $ 32,507,495 $ 36,407,495 62301

TOTAL ALL BUDGET FUND GROUPS $ 1,762,700,936 $ 1,816,711,204 62302

       OHIO BUILDING AUTHORITY LEASE PAYMENTS62303

       The foregoing appropriation item 501-406, Lease Rental62304
Payments, shall be used to meet all payments during the period 62305
from July 1, 2007, to June 30, 2009, under the primary leases and 62306
agreements for those buildings made under Chapter 152. of the 62307
Revised Code. These appropriations are the source of funds pledged 62308
for bond service charges or obligations issued pursuant to Chapter 62309
152. of the Revised Code.62310

       PRISONER COMPENSATION62311

       Money from the foregoing appropriation item 501-403, Prisoner62312
Compensation, shall be transferred on a quarterly basis by62313
intrastate transfer voucher to the Services and Agricultural Fund 62314
(Fund 148) for the purposes of paying prisoner compensation.62315

       HIV/AIDS TESTING REENTRY PILOT PROGRAM62316

        Of the foregoing appropriation item 505-321, Institution 62317
Medical Services, up to $250,000 in each fiscal year shall be used 62318
for the HIV/AIDS testing re-entry pilot program at the Mansfield 62319
Correctional Institution. Prior to a prisoner's release from 62320
custody at the Mansfield Correctional Institution under the 62321
control of the Department of Rehabilitation and Correction, the 62322
department shall examine and test a prisoner for HIV infection and 62323
any sexually transmitted disease. The department may examine and 62324
test involuntarily a prisoner who refuses to be tested.62325

       Section 377.20. LIMA CORRECTIONAL INSTITUTION STUDY COMMITTEE62326

        (A) There is hereby created the Lima Correctional Institution 62327
Study Committee, effective July 1, 2007. The Committee shall 62328
consist of the following nine members:62329

        (1) The Director of Rehabilitation and Correction or the 62330
Director's designee;62331

        (2) The eight members of the Correctional Institution 62332
Inspection Committee.62333

        (B) The Director of Rehabilitation and Correction shall be 62334
the chairperson of the Lima Correctional Institution Study 62335
Committee.62336

        (C) The Lima Correctional Institution Study Committee shall 62337
procure an independent feasibility study, performed by a 62338
consultant, through the Department of Rehabilitation and 62339
Correction. The study shall examine the highest and best use for 62340
the Lima Correctional Institution and shall examine, at a minimum, 62341
all of the following:62342

        (1) State and local correctional needs and the utilization of 62343
state and local facilities to service those needs;62344

        (2) The current condition and value of the Lima Correctional 62345
Institution;62346

        (3) The cost to reopen the Lima Correctional Institution in 62347
part or in whole for a correctional purpose;62348

        (4) Alternative uses for the Lima Correctional Institution;62349

        (5) The funding options to utilize the Lima Correctional 62350
Institution;62351

        (6) The economic impact of the Lima Correctional Institution 62352
on the Lima region and the potential non-prison economic 62353
development opportunities for a closed prison facility.62354

        (D) The Lima Correctional Institution Study Committee and the 62355
consultant selected shall utilize the staff of the Department of 62356
Rehabilitation and Correction for research and other support 62357
functions as much as feasible.62358

        (E) Of the foregoing appropriation item 501-321, 62359
Institutional Operations, $50,000 in fiscal year 2008 shall be 62360
used to fund the feasibility study.62361

        (F) The Lima Correctional Institution Study Committee shall 62362
submit a report of the Committee's findings not later than April 62363
1, 2008, to the Governor, the President of the Senate, and the 62364
Speaker of the House of Representatives. The Committee shall cease 62365
to exist after submitting the report.62366

       Section 377.30. DEPARTMENT OF REHABILITATION AND CORRECTION 62367
BLUE RIBBON COMMISSION62368

       (A) There is hereby created the Blue Ribbon Commission of the 62369
Department of Rehabilitation and Correction composed of the 62370
following members:62371

        (1) The Director of Rehabilitation and Correction or the 62372
Director's designee;62373

        (2) One member of the Criminal Sentencing Commission, 62374
appointed by the Governor;62375

        (3) A representative of the Ohio Civil Service Employees' 62376
Association, appointed by the Governor;62377

        (4) One county sheriff, appointed by the Governor;62378

        (5) One retired judge, appointed by the Governor;62379

        (6) One individual with expertise in corrections from an 62380
accredited college or university, appointed by the Governor;62381

        (7) One individual representing community corrections 62382
facilities, appointed by the Governor;62383

        (8) Two individuals, appointed by the President of the 62384
Senate;62385

        (9) Two individuals, appointed by the Speaker of the House of 62386
Representatives.62387

        (B) All appointments to the Blue Ribbon Commission shall be 62388
made on or after January 1, 2008.62389

        (C) The Blue Ribbon Commission shall conduct a comprehensive 62390
review of county, multicounty, municipal, municipal-county, and 62391
multicounty-municipal jails and workhouses, prisons, 62392
community-based correctional institutions, and other correctional 62393
institutions within the state, and of the offenders confined at 62394
these facilities. The review shall include, but is not limited to, 62395
a review of staffing levels at these facilities, projected needs 62396
and costs related to the operation of these facilities, the health 62397
and safety of the staff and inmates, and per diem costs of 62398
incarceration at each type of facility. The Blue Ribbon Commission 62399
shall develop recommendations based on its review. The 62400
recommendations shall include, but are not limited to, 62401
recommendations for sentencing reform, cost savings, and a means 62402
of better anticipating the fiscal and security impacts of 62403
sentencing legislation.62404

        (D) The members of the Blue Ribbon Commission shall elect a 62405
chairperson and vice-chairperson at the first meeting of the 62406
Commission. Meetings of the Commission shall be open to the 62407
public, and the Commission shall accept public testimony at 62408
Commission meetings. The Commission shall meet as often as 62409
necessary and shall submit its final report and recommendations by 62410
January 1, 2009, to the Governor and the Director of 62411
Rehabilitation and Correction. The Blue Ribbon Commission shall 62412
cease to exist after submitting its final report and 62413
recommendations. Member vacancies shall be filled in the same 62414
manner as for original members of the Commission.62415

        (E) Members of the Blue Ribbon Commission shall serve without 62416
compensation.62417

       Section 379.10. RSC REHABILITATION SERVICES COMMISSION62418

General Revenue Fund62419

GRF 415-100 Personal Services $ 8,851,468 $ 8,851,468 62420
GRF 415-402 Independent Living Council $ 400,000 $ 400,000 62421
GRF 415-406 Assistive Technology $ 47,531 $ 47,531 62422
GRF 415-431 Office for People with Brain Injury $ 226,012 $ 226,012 62423
GRF 415-506 Services for People with Disabilities $ 16,059,541 $ 16,059,541 62424
GRF 415-508 Services for the Deaf $ 50,000 $ 50,000 62425
TOTAL GRF General Revenue Fund $ 25,634,552 $ 25,634,552 62426

General Services Fund Group62427

4W5 415-606 Program Management Expenses $ 18,123,188 $ 18,557,040 62428
467 415-609 Business Enterprise Operating Expenses $ 1,632,082 $ 1,632,082 62429
TOTAL GSF General Services 62430
Fund Group $ 19,755,270 $ 20,189,122 62431

Federal Special Revenue Fund Group62432

3L1 415-601 Social Security Personal Care Assistance $ 3,743,740 $ 3,743,740 62433
3L1 415-608 Social Security Vocational Rehabilitation $ 2,256,260 $ 2,256,260 62434
3L4 415-612 Federal Independent Living Centers or Services $ 648,908 $ 648,908 62435
3L4 415-615 Federal - Supported Employment $ 884,451 $ 796,006 62436
3L4 415-617 Independent Living/Vocational Rehabilitation Programs $ 1,490,944 $ 1,490,944 62437
317 415-620 Disability Determination $ 82,808,006 $ 87,546,215 62438
379 415-616 Federal - Vocational Rehabilitation $ 122,484,545 $ 123,638,578 62439
TOTAL FED Federal Special 62440
Revenue Fund Group $ 214,316,854 $ 220,120,651 62441

State Special Revenue Fund Group62442

4L1 415-619 Services for Rehabilitation $ 3,765,337 $ 4,500,000 62443
468 415-618 Third Party Funding $ 906,910 $ 906,910 62444
TOTAL SSR State Special 62445
Revenue Fund Group $ 4,672,247 $ 5,406,910 62446
TOTAL ALL BUDGET FUND GROUPS $ 264,378,923 $ 271,351,235 62447

       INDEPENDENT LIVING COUNCIL62448

       The foregoing appropriation item 415-402, Independent Living62449
Council, shall be used to fund the operations of the State62450
Independent Living Council and shall be used to support state 62451
independent living centers and independent living services under 62452
Title VII of the Independent Living Services and Centers for 62453
Independent Living of the Rehabilitation Act Amendments of 1992, 62454
106 Stat. 4344, 29 U.S.C. 796d.62455

       OFFICE FOR PEOPLE WITH BRAIN INJURY62456

       Of the foregoing appropriation item 415-431, Office for62457
People with Brain Injury, up to $50,000 in each fiscal year shall 62458
be used for the state match for a federal grant awarded through 62459
the Traumatic Brain Injury Act, Pub. L. No. 104-166, and up to 62460
$50,000 in each fiscal year shall be provided to the Brain Injury 62461
Trust Fund. The remaining appropriation shall be used to plan and62462
coordinate head-injury-related services provided by state agencies 62463
and other government or private entities, to assess the needs for 62464
such services, and to set priorities in this area.62465

       VOCATIONAL REHABILITATION SERVICES62466

       The foregoing appropriation item 415-506, Services for People 62467
with Disabilities, shall be used as state matching funds to 62468
provide vocational rehabilitation services to eligible consumers.62469

       PROGRAM MANAGEMENT EXPENSES62470

       The foregoing appropriation item 415-606, Program Management62471
Expenses, shall be used to support the administrative functions of62472
the commission related to the provision of vocational62473
rehabilitation, disability determination services, and ancillary62474
programs.62475

       INDEPENDENT LIVING/VOCATIONAL REHABILITATION PROGRAMS62476

       The foregoing appropriation item 415-617, Independent62477
Living/Vocational Rehabilitation Programs, shall be used to62478
support vocational rehabilitation programs.62479

       SOCIAL SECURITY REIMBURSEMENT FUNDS62480

       Reimbursement funds received from the Social Security62481
Administration, United States Department of Health and Human62482
Services, for the costs of providing services and training to62483
return disability recipients to gainful employment shall be used62484
in the Social Security Reimbursement Fund (Fund 3L1), to the 62485
extent funds are available, as follows:62486

       (A) Appropriation item 415-601, Social Security Personal Care 62487
Assistance, to provide personal care services in accordance with 62488
section 3304.41 of the Revised Code;62489

       (B) Appropriation item 415-608, Social Security Vocational 62490
Rehabilitation, to provide vocational rehabilitation services to 62491
individuals with severe disabilities who are Social Security62492
beneficiaries, to enable them to achieve competitive employment. 62493
This appropriation item also includes funds to assist the Personal 62494
Care Assistance Program to pay its share of indirect costs as 62495
mandated by federal OMB Circular A-87.62496

       PERFORMANCE REVIEW62497

        The Auditor of State shall complete a performance review of 62498
the Rehabilitation Services Commission. Upon completing the 62499
performance review, the Auditor of State shall submit a report of 62500
the findings of the review to the Governor, the President of the 62501
Senate, the Speaker of the House of Representatives, and the Board 62502
of Rehabilitation Services Commission.62503

       Section 381.10. RCB RESPIRATORY CARE BOARD62504

General Services Fund Group62505

4K9 872-609 Operating Expenses $ 491,628 $ 481,768 62506
TOTAL GSF General Services 62507
Fund Group $ 491,628 $ 481,768 62508
TOTAL ALL BUDGET FUND GROUPS $ 491,628 $ 481,768 62509


       Section 383.10. RDF REVENUE DISTRIBUTION FUNDS62511

Volunteer Firefighters' Dependents Fund62512

085 800-900 Volunteer Firefighters' Dependents Fund $ 300,000 $ 300,000 62513
TOTAL 085 Volunteer Firefighters' 62514
Dependents Fund $ 300,000 $ 300,000 62515
Agency Fund Group 62516
062 110-962 Resort Area Excise Tax $ 1,000,000 $ 1,000,000 62517
063 110-963 Permissive Tax Distribution $ 1,778,662,000 $ 1,849,000,000 62518
067 110-967 School District Income Tax $ 325,000,000 $ 350,000,000 62519
4P8 001-698 Cash Management Improvement Fund $ 3,050,000 $ 3,100,000 62520
608 001-699 Investment Earnings $ 250,000,000 $ 250,000,000 62521
TOTAL AGY Agency Fund Group $ 2,357,712,000 $ 2,453,100,000 62522

Holding Account Redistribution62523

R45 110-617 International Fuel Tax Distribution $ 50,000,000 $ 50,000,000 62524
TOTAL 090 Holding Account Redistribution Fund $ 50,000,000 $ 50,000,000 62525
Revenue Distribution Fund Group 62526
049 038-900 Indigent Drivers Alcohol Treatment $ 1,797,000 $ 1,832,000 62527
050 762-900 International Registration Plan Distribution $ 54,475,631 $ 55,565,143 62528
051 762-901 Auto Registration Distribution $ 500,000,000 $ 539,000,000 62529
054 110-954 Local Government Property Tax Replacement - Utility $ 93,250,000 $ 95,125,000 62530
060 110-960 Gasoline Excise Tax Fund $ 375,000,000 $ 375,000,000 62531
064 110-964 Local Government Revenue Assistance $ 42,400,000 $ 0 62532
065 110-965 Library/Local Government Support Fund $ 207,200,000 $ 0 62533
066 800-900 Undivided Liquor Permits $ 13,500,000 $ 13,500,000 62534
068 110-968 State and Local Government Highway Distribution $ 240,250,000 $ 242,500,000 62535
069 110-969 Local Government Fund $ 298,700,000 $ 0 62536
081 110-981 Local Government Property Tax Replacement-Business $ 262,500,000 $ 366,800,000 62537
082 110-982 Horse Racing Tax $ 125,000 $ 130,000 62538
083 700-900 Ohio Fairs Fund $ 2,277,000 $ 2,325,000 62539
088 110-900 Local Government Services Collaboration $ 1,000,000 $ 0 62540
091 110-991 Local Communities $ 430,600,000 $ 782,800,000 62541
092 110-992 Local Libraries $ 251,700,000 $ 462,800,000 62542
TOTAL RDF Revenue Distribution 62543
Fund Group $ 2,774,774,631 $ 2,937,377,143 62544
TOTAL ALL BUDGET FUND GROUPS $ 5,182,786,631 $ 5,440,777,143 62545

       ADDITIONAL APPROPRIATIONS62546

       Appropriation items in this section shall be used for the62547
purpose of administering and distributing the designated revenue62548
distribution funds according to the Revised Code. If it is62549
determined that additional appropriations are necessary for this 62550
purpose, such amounts are appropriated.62551

       GENERAL REVENUE FUND TRANSFERS TO LOCAL GOVERNMENT PROPERTY 62552
TAX REPLACEMENT – BUSINESS (FUND 081)62553

        Notwithstanding any provision of law to the contrary, in 62554
fiscal year 2008 and fiscal year 2009, the Director of Budget and 62555
Management may transfer from the General Revenue Fund to the Local 62556
Government Property Tax Replacement – Business (Fund 081) in the 62557
Revenue Distribution Fund, those amounts necessary to reimburse 62558
local taxing units under section 5751.22 of the Revised Code. 62559
Also, in fiscal year 2008 and fiscal year 2009, the Director of 62560
Budget and Management may make temporary transfers from the 62561
General Revenue Fund to ensure sufficient balances in the Local 62562
Government Property Tax Replacement - Business Fund (Fund 081) and 62563
to replenish the General Revenue Fund for such transfers.62564

       Section 383.20.  LOCAL GOVERNMENT SERVICES COLLABORATION 62565
GRANT PROGRAM62566

       (A) The Director of Development shall administer a Local 62567
Government Services Collaboration Grant Program. The Director may 62568
adopt rules under section 111.15 of the Revised Code and do all 62569
things necessary for that purpose.62570

       (B) There is hereby created in the State Treasury the Local 62571
Government Services Collaboration Grant Fund (Fund 088). The fund 62572
shall consist of all cash deposited into it pursuant to Section 62573
757.03 of this act. The fund shall be used by the Director of 62574
Development in administering the Local Government Services 62575
Collaboration Grant Program.62576

       On July 1, 2007, or as soon as possible thereafter, the 62577
Director of Budget and Management shall transfer $1,000,000 cash 62578
from the General Revenue Fund to the Local Government Services 62579
Collaboration Grant Fund established in this section. The amount 62580
transferred is hereby appropriated.62581

       (C) The foregoing appropriation item 110-900, Local 62582
Government Services Collaboration, shall be used by the Director 62583
of Development to administer the Local Government Services 62584
Collaboration Grant Program. Moneys shall be used to provide 62585
grants to counties, municipal corporations, and townships that are 62586
interested in combining the provision of local government services 62587
with those of other counties, municipal corporations, or 62588
townships. Individual grant awards shall be used solely for the 62589
cost of conducting a feasibility study that addresses whether, and 62590
in what manner, counties, municipal corporations, and townships 62591
may combine their respective provision of local government 62592
services.62593

       Individual grants shall be available on a competitive basis 62594
to a county, municipal corporation, or township that proposes to 62595
combine its provision of local government services with those of 62596
at least two other counties, municipal corporations, or townships, 62597
or with any combination of at least two other counties, municipal 62598
corporations, or townships. Grants shall be awarded according to 62599
the following formula:62600

       (1) For a total of, or for any combination of, three 62601
counties, municipal corporations, or townships, the grant shall be 62602
equal to fifty per cent of the total cost of the feasibility 62603
study, or not more than $30,000;62604

       (2) For a total of, or for any combination of, four counties, 62605
municipal corporations, or townships, the grant shall be equal to 62606
sixty per cent of the total cost of the feasibility study, or not 62607
more than $40,000; 62608

       (3) For a total of, or for any combination of, five counties, 62609
municipal corporations, or townships, the grant shall be equal to 62610
seventy per cent of the total cost of the feasibility study, or 62611
not more than $50,000; 62612

       (4) For a total of, or for any combination of, six counties, 62613
municipal corporations, or townships, the grant shall be equal to 62614
eighty per cent of the total cost of the feasibility study, or not 62615
more than $60,000; 62616

       (5) For a total of, or for any combination of, seven 62617
counties, municipal corporations, or townships, the grant shall be 62618
equal to ninety per cent of the total cost of the feasibility 62619
study, or not more than $70,000; 62620

       (6) For a total of, or for any combination of, eight or more 62621
counties, municipal corporations, or townships, the grant shall be 62622
equal to the total cost of the feasibility study, or not more than 62623
$80,000.62624

       (D) Of the foregoing appropriation 110-900, Local Government 62625
Services Collaboration, not more than $100,000 over the biennium 62626
may be used by the Department of Development for operating 62627
expenditures in administering the Local Government Services 62628
Collaboration Grant Program.62629

       (E) Applicants for funding under the Local Government 62630
Services Collaboration Grant Program are encouraged to utilize the 62631
services of state-funded colleges and universities to conduct the 62632
feasibility studies referenced under this section.62633

       (F) As used in this section, "local government services" 62634
means services typically provided by a county, municipal 62635
corporation, or township for the health, safety, and well-being of 62636
community residents and includes, but is not limited to, police 62637
and fire protection, 9-1-1 emergency service, trash collection, 62638
snow removal, road repair, and the provision of public utilities 62639
such as water and sewer services.62640

       (G) On or before June 30, 2008, the unencumbered balance of 62641
the foregoing appropriation item 110-900, Local Government 62642
Services Collaboration, for fiscal year 2008 is hereby 62643
appropriated for the same purpose for fiscal year 2009.62644

       Section 385.10. SAN BOARD OF SANITARIAN REGISTRATION62645

General Services Fund Group62646

4K9 893-609 Operating Expenses $ 138,551 $ 138,551 62647
TOTAL GSF General Services 62648
Fund Group $ 138,551 $ 138,551 62649
TOTAL ALL BUDGET FUND GROUPS $ 138,551 $ 138,551 62650


       Section 387.10.  OSB OHIO STATE SCHOOL FOR THE BLIND62652

General Revenue Fund62653

GRF 226-100 Personal Services $ 7,093,127 $ 7,519,318 62654
GRF 226-200 Maintenance $ 704,154 $ 704,154 62655
GRF 226-300 Equipment $ 113,288 $ 113,288 62656
TOTAL GRF General Revenue Fund $ 7,910,569 $ 8,336,760 62657

General Services Fund Group62658

4H8 226-602 School Improvement Grants $ 37,514 $ 37,514 62659
TOTAL GSF General Services 62660
Fund Group $ 37,514 $ 37,514 62661

Federal Special Revenue Fund Group62662

3P5 226-643 Medicaid Services Reimbursement $ 50,000 $ 50,000 62663
310 226-626 Multi-Handicapped Student Support $ 2,527,105 $ 2,527,105 62664
TOTAL FED Federal Special 62665
Revenue Fund Group $ 2,577,105 $ 2,577,105 62666

State Special Revenue Fund Group62667

4M5 226-601 Work Study and Donations $ 217,397 $ 217,397 62668
TOTAL SSR State Special Revenue 62669
Fund Group $ 217,397 $ 217,397 62670
TOTAL ALL BUDGET FUND GROUPS $ 10,742,585 $ 11,168,776 62671


       Section 389.10.  OSD OHIO SCHOOL FOR THE DEAF62673

General Revenue Fund62674

GRF 221-100 Personal Services $ 8,775,363 $ 9,263,862 62675
GRF 221-200 Maintenance $ 1,033,092 $ 1,033,092 62676
GRF 221-300 Equipment $ 222,500 $ 222,500 62677
TOTAL GRF General Revenue Fund $ 10,030,955 $ 10,519,454 62678

General Services Fund Group62679

4M1 221-602 School Improvement Grants $ 38,000 $ 38,000 62680
TOTAL GSF General Services 62681
Fund Group $ 38,000 $ 38,000 62682

Federal Special Revenue Fund Group62683

3AD 221-604 VREAL Ohio $ 25,000 $ 25,000 62684
3R0 221-684 Medicaid Services $ 34,999 $ 34,999 62685
Reimbursement 62686
3Y1 221-686 Federal Early Childhood Grant $ 250,000 $ 250,000 62687
311 221-625 Statewide Outreach $ 2,470,135 $ 2,470,135 62688
TOTAL FED Federal Special 62689
Revenue Fund Group $ 2,780,134 $ 2,780,134 62690

State Special Revenue Fund Group62691

4M0 221-601 Work Study and Donations $ 95,000 $ 95,000 62692
5H6 221-609 Preschool Program Support $ 127,832 $ 125,358 62693
TOTAL SSR State Special Revenue 62694
Fund Group $ 222,832 $ 220,358 62695
TOTAL ALL BUDGET FUND GROUPS $ 13,071,921 $ 13,557,946 62696


       Section 391.10.  SFC SCHOOL FACILITIES COMMISSION62698

General Revenue Fund62699

GRF 230-428 Lease Rental Payments $ 22,702,000 $ 0 62700
GRF 230-908 Common Schools General Obligation Debt Service $ 270,529,980 $ 322,665,885 62701
TOTAL GRF General Revenue Fund $ 293,231,980 $ 322,665,885 62702

State Special Revenue Fund Group62703

5E3 230-644 Operating Expenses $ 7,749,813 $ 7,786,197 62704
TOTAL SSR State Special Revenue 62705
Fund Group $ 7,749,813 $ 7,786,197 62706
TOTAL ALL BUDGET FUND GROUPS $ 300,981,793 $ 330,452,082 62707


       Section 391.20. LEASE RENTAL PAYMENTS62709

       The foregoing appropriation item 230-428, Lease Rental62710
Payments, shall be used to meet all payments at the times they are 62711
required to be made during the period from July 1, 2007, to June62712
30, 2009, by the Ohio School Facilities Commission under leases62713
and agreements made under section 3318.26 of the Revised Code.62714

       COMMON SCHOOLS GENERAL OBLIGATION DEBT SERVICE62715

       The foregoing appropriation item 230-908, Common Schools62716
General Obligation Debt Service, shall be used to pay all debt62717
service and related financing costs at the times they are required 62718
to be made for obligations issued during the period from July 1, 62719
2007, through June 30, 2009, under sections 151.01 and 151.03 of 62720
the Revised Code.62721

       OPERATING EXPENSES62722

       The foregoing appropriation item 230-644, Operating Expenses,62723
shall be used by the Ohio School Facilities Commission to carry62724
out its responsibilities under this section and Chapter 3318. of 62725
the Revised Code.62726

       In both fiscal years 2008 and 2009, the Executive Director of 62727
the Ohio School Facilities Commission shall certify on a quarterly 62728
basis to the Director of Budget and Management the amount of cash 62729
from interest earnings to be transferred from the School Building 62730
Assistance Fund (Fund 032), the Public School Building Fund (Fund 62731
021), and the Educational Facilities Trust Fund (Fund N87) to the 62732
Ohio School Facilities Commission Fund (Fund 5E3). The amount 62733
transferred from the School Building Assistance Fund (Fund 032) 62734
may not exceed investment earnings credited to the fund, less any 62735
amount required to be paid for federal arbitrage rebate purposes.62736

       SCHOOL FACILITIES ENCUMBRANCES AND REAPPROPRIATION62737

       At the request of the Executive Director of the Ohio School62738
Facilities Commission, the Director of Budget and Management may62739
cancel encumbrances for school district projects from a previous62740
biennium if the district has not raised its local share of project62741
costs within one year of receiving Controlling Board approval 62742
under section 3318.05 of the Revised Code. The Executive Director 62743
of the Ohio School Facilities Commission shall certify the amounts 62744
of the canceled encumbrances to the Director of Budget and 62745
Management on a quarterly basis. The amounts of the canceled 62746
encumbrances are hereby appropriated.62747

       Section 391.30. EXTREME ENVIRONMENTAL CONTAMINATION OF SCHOOL62748
FACILITIES62749

       Notwithstanding any other provision of law to the contrary,62750
the Ohio School Facilities Commission may provide assistance under 62751
the Exceptional Needs School Facilities Program established in 62752
section 3318.37 of the Revised Code to any school district, and 62753
not exclusively to a school district in the lowest seventy-five 62754
per cent of adjusted valuation per pupil on the current ranking of62755
school districts established under section 3317.02 of the Revised 62756
Code, for the purpose of the relocation or replacement of school 62757
facilities required as a result of extreme environmental62758
contamination.62759

       The Ohio School Facilities Commission shall contract with an62760
independent environmental consultant to conduct a study and to62761
report to the commission as to the seriousness of the62762
environmental contamination, whether the contamination violates62763
applicable state and federal standards, and whether the facilities62764
are no longer suitable for use as school facilities. The62765
commission then shall make a determination regarding funding for62766
the relocation or replacement of the school facilities. If the62767
federal government or other public or private entity provides62768
funds for restitution of costs incurred by the state or school62769
district in the relocation or replacement of the school62770
facilities, the school district shall use such funds in excess of62771
the school district's share to refund the state for the state's62772
contribution to the environmental contamination portion of the62773
project. The school district may apply an amount of such62774
restitution funds up to an amount equal to the school district's62775
portion of the project, as defined by the commission, toward62776
paying its portion of that project to reduce the amount of bonds62777
the school district otherwise must issue to receive state62778
assistance under sections 3318.01 to 3318.20 of the Revised Code.62779

       Section 391.40.  CANTON CITY SCHOOL DISTRICT PROJECT62780

       (A) The Ohio School Facilities Commission may commit up to62781
thirty-five million dollars to the Canton City School District for62782
construction of a facility described in this section, in lieu of a 62783
high school that would otherwise be authorized under Chapter 3318. 62784
of the Revised Code. The Commission shall not commit funds under 62785
this section unless all of the following conditions are met:62786

       (1) The District has entered into a cooperative agreement62787
with a state-assisted technical college.62788

       (2) The District has received an irrevocable commitment of62789
additional funding from nonpublic sources.62790

       (3) The facility is intended to serve both secondary and62791
postsecondary instructional purposes.62792

       (B) The Commission shall enter into an agreement with the62793
District for the construction of the facility authorized under62794
this section that is separate from and in addition to the62795
agreement required for the District's participation in the62796
Classroom Facilities Assistance Program under section 3318.08 of62797
the Revised Code. Notwithstanding that section and sections62798
3318.03, 3318.04, and 3318.083 of the Revised Code, the additional62799
agreement shall provide, but not be limited to, the following:62800

       (1) The Commission shall not have any oversight62801
responsibilities over the construction of the facility.62802

       (2) The facility need not comply with the specifications for62803
plans and materials for high schools adopted by the Commission.62804

       (3) The Commission may decrease the basic project cost that62805
would otherwise be calculated for a high school under Chapter62806
3318. of the Revised Code.62807

       (4) The state shall not share in any increases in the basic62808
project cost for the facility above the amount authorized under62809
this section.62810

       All other provisions of Chapter 3318. of the Revised Code62811
apply to the approval and construction of a facility authorized62812
under this section.62813

       The state funds committed to the facility authorized by this62814
section shall be part of the total amount the state commits to the62815
Canton City School District under Chapter 3318. of the Revised62816
Code. All additional state funds committed to the Canton City62817
School District for classroom facilities assistance shall be62818
subject to all provisions of Chapter 3318. of the Revised Code.62819

       Section 391.50. CAREER-TECHNICAL LOAN PROGRAM62820

        Within thirty days after the effective date of this section, 62821
or as soon as possible thereafter, the Executive Director of the 62822
Ohio School Facilities Commission shall certify the cash balance 62823
in the Career-Technical School Building Assistance Fund (Fund 020) 62824
to the Director of Budget and Management, who shall transfer that 62825
amount to the Public School Building Fund (Fund 021) and abolish 62826
the Career-Technical School Building Assistance Fund (Fund 020).62827

       All repayments of current loans approved under section 62828
3318.48 of the Revised Code, which is repealed by this act, shall 62829
be deposited to the credit of the Public School Building Fund 62830
(Fund 021). Should a district fail to submit the annual 62831
installment of the loan repayment within sixty days after the due 62832
date, the Department of Education, upon the request of the 62833
Executive Director of the Ohio School Facilities Commission, shall 62834
deduct the amount of the installment from payments due to a 62835
district under Chapter 3317. of the Revised Code or from any other 62836
funds appropriated to the district by the General Assembly, and 62837
shall transfer that amount to the Commission to the credit of the 62838
Public School Building Fund (Fund 021).62839

       Section 393.10. SOS SECRETARY OF STATE62840

General Revenue Fund62841

GRF 050-321 Operating Expenses $ 2,585,000 $ 2,585,000 62842
GRF 050-403 Election Statistics $ 103,936 $ 103,936 62843
GRF 050-407 Pollworkers Training $ 277,997 $ 277,997 62844
GRF 050-409 Litigation Expenditures $ 4,652 $ 4,652 62845
TOTAL GRF General Revenue Fund $ 2,971,585 $ 2,971,585 62846

General Services Fund Group62847

4S8 050-610 Board of Voting Machine Examiners $ 7,200 $ 7,200 62848
412 050-609 Notary Commission $ 685,249 $ 685,249 62849
413 050-601 Information Systems $ 119,955 $ 119,955 62850
414 050-602 Citizen Education Fund $ 55,712 $ 55,712 62851
TOTAL General Services Fund Group $ 868,116 $ 868,116 62852

Federal Special Revenue Fund Group62853

3AH 050-614 Election Reform/Health and Human Services $ 1,000,000 $ 1,000,000 62854
3AS 050-616 2005 HAVA Voting Machines $ 3,750,000 $ 3,750,000 62855
3X4 050-612 Ohio Center/Law Related Educational Grant $ 41,000 $ 41,000 62856
TOTAL FED Federal Special Revenue 62857
Fund Group $ 4,791,000 $ 4,791,000 62858

State Special Revenue Fund Group62859

5N9 050-607 Technology Improvements $ 129,565 $ 129,565 62860
599 050-603 Business Services Operating Expenses $ 13,761,734 $ 13,761,734 62861
TOTAL SSR State Special Revenue 62862
Fund Group $ 13,891,299 $ 13,891,299 62863

Holding Account Redistribution Fund Group62864

R01 050-605 Uniform Commercial Code Refunds $ 30,000 $ 30,000 62865
R02 050-606 Corporate/Business Filing Refunds $ 85,000 $ 85,000 62866
TOTAL 090 Holding Account 62867
Redistribution Fund Group $ 115,000 $ 115,000 62868
TOTAL ALL BUDGET FUND GROUPS $ 22,637,000 $ 22,637,000 62869

       BOARD OF VOTING MACHINE EXAMINERS62870

       The foregoing appropriation item 050-610, Board of Voting62871
Machine Examiners, shall be used to pay for the services and62872
expenses of the members of the Board of Voting Machine Examiners,62873
and for other expenses that are authorized to be paid from the62874
Board of Voting Machine Examiners Fund, which is created in62875
section 3506.05 of the Revised Code. Moneys not used shall be62876
returned to the person or entity submitting the equipment for62877
examination. If it is determined that additional appropriations62878
are necessary, such amounts are appropriated.62879

       2005 HAVA VOTING MACHINES62880

       On July 1, 2008, or as soon as possible thereafter, the 62881
Director of Budget and Management shall transfer any remaining 62882
unexpended, unencumbered appropriations in Fund 3AS, appropriation 62883
item 050-616, 2005 HAVA Voting Machines, for use in fiscal year 62884
2009. The transferred amount is hereby appropriated.62885

       On July 1, 2008, or as soon as possible thereafter, the 62886
Director of Budget and Management shall transfer any remaining 62887
unexpended, unencumbered appropriations in Fund 3AH, appropriation 62888
item 050-614, Election Reform/Health and Human Services Fund, for 62889
use in fiscal year 2009. The transferred amount is hereby 62890
appropriated.62891

       Ongoing interest earnings from the federal Election 62892
Reform/Health and Human Services Fund (Fund 3AH) and the 2005 HAVA 62893
Voting Machines Fund (Fund 3AS) shall be credited to the 62894
respective funds and distributed in accordance with the terms of 62895
the grant under which the money is received.62896

       HOLDING ACCOUNT REDISTRIBUTION GROUP62897

       The foregoing appropriation items 050-605 and 050-606,62898
Holding Account Redistribution Fund Group, shall be used to hold62899
revenues until they are directed to the appropriate accounts or62900
until they are refunded. If it is determined that additional62901
appropriations are necessary, such amounts are appropriated.62902

       Section 395.10.  SEN THE OHIO SENATE62903

General Revenue Fund62904

GRF 020-321 Operating Expenses $ 11,778,439 $ 11,778,439 62905
TOTAL GRF General Revenue Fund $ 11,778,439 $ 11,778,439 62906

General Services Fund Group62907

102 020-602 Senate Reimbursement $ 448,465 $ 448,465 62908
409 020-601 Miscellaneous Sales $ 34,497 $ 34,497 62909
TOTAL GSF General Services 62910
Fund Group $ 482,962 $ 482,962 62911
TOTAL ALL BUDGET FUND GROUPS $ 12,261,401 $ 12,261,401 62912

       OPERATING EXPENSES62913

       On July 1, 2007, or as soon as possible thereafter, the Clerk 62914
of the Senate shall certify to the Director of Budget and 62915
Management the total fiscal year 2007 unencumbered appropriations 62916
in appropriation item 020-321, Operating Expenses. The Clerk may 62917
direct the Director of Budget and Management to transfer an amount 62918
not to exceed the total fiscal year 2007 unencumbered 62919
appropriations to fiscal year 2008 for use within appropriation 62920
item 020-321, Operating Expenses. Additional appropriation 62921
authority equal to the amount certified by the Clerk is hereby 62922
appropriated to appropriation item 020-321, Operating Expenses, in 62923
fiscal year 2008.62924

        On July 1, 2008, or as soon as possible thereafter, the Clerk 62925
of the Senate shall certify to the Director of Budget and 62926
Management the total fiscal year 2008 unencumbered appropriations 62927
in appropriation item 020-321, Operating Expenses. The Clerk may 62928
direct the Director of Budget and Management to transfer an amount 62929
not to exceed the total fiscal year 2008 unencumbered 62930
appropriations to fiscal year 2009 for use within appropriation 62931
item 020-321, Operating Expenses. Additional appropriation 62932
authority equal to the amount certified by the Clerk is hereby 62933
appropriated to appropriation item 020-321, Operating Expenses, in 62934
fiscal year 2009.62935

       Section 397.10. CSF COMMISSIONERS OF THE SINKING FUND62936

Debt Service Fund Group62937

070 155-905 Third Frontier Research & Development Bond Retirement Fund $ 14,349,500 $ 25,023,400 62938
072 155-902 Highway Capital Improvement Bond Retirement Fund $ 202,694,900 $ 205,139,500 62939
073 155-903 Natural Resources Bond Retirement Fund $ 24,713,800 $ 25,723,000 62940
074 155-904 Conservation Projects Bond Service Fund $ 14,847,200 $ 19,779,200 62941
076 155-906 Coal Research and Development Bond Retirement Fund $ 7,232,400 $ 8,192,500 62942
077 155-907 State Capital Improvement Bond Retirement Fund $ 178,713,600 $ 189,296,300 62943
078 155-908 Common Schools Bond Retirement Fund $ 292,268,400 $ 342,148,300 62944
079 155-909 Higher Education Bond Retirement Fund $ 175,972,400 $ 210,372,200 62945
090 155-912 Job Ready Site Development Bond Retirement Fund $ 4,359,400 $ 8,232,500 62946
TOTAL DSF Debt Service Fund Group $ 915,151,600 $ 1,033,906,900 62947
TOTAL ALL BUDGET FUND GROUPS $ 915,151,600 $ 1,033,906,900 62948

       ADDITIONAL APPROPRIATIONS62949

       Appropriation items in this section are for the purpose of62950
paying debt service and financing costs on bonds or notes of the62951
state issued under the Ohio Constitution and acts of the General 62952
Assembly. If it is determined that additional appropriations are 62953
necessary for this purpose, such amounts are hereby appropriated.62954

       Section 399.10. SOA SOUTHERN OHIO AGRICULTURAL AND COMMUNITY 62955
DEVELOPMENT FOUNDATION62956

General Revenue Fund62957

GRF 945-321 Operating Expenses $ 0 $ 475,220 62958
GRF 945-501 Southern Ohio Agricultural and Community Development Foundation $ 0 $ 7,513,251 62959
TOTAL GRF General Revenue Fund $ 0 $ 7,988,471 62960
TOTAL ALL BUDGET FUND GROUPS $ 0 $ 7,988,471 62961

       SOUTHERN OHIO AGRICULTURAL AND COMMUNITY DEVELOPMENT 62962
FOUNDATION62963

       The foregoing appropriation item 945-321, Operating Expenses, 62964
shall be used for the operating expenses of the Southern Ohio 62965
Agricultural and Community Development Foundation in administering 62966
programs under section 183.15 of the Revised Code. 62967

       The foregoing appropriation item 945-501, Southern Ohio 62968
Agricultural and Community Development Foundation, shall be used 62969
by the Southern Ohio Agricultural and Community Development 62970
Foundation for programs administered under section 183.15 of the 62971
Revised Code.62972

       Section 401.10. SPE BOARD OF SPEECH-LANGUAGE PATHOLOGY & 62973
AUDIOLOGY62974

General Services Fund Group62975

4K9 886-609 Operating Expenses $ 430,600 $ 453,000 62976
TOTAL GSF General Services 62977
Fund Group $ 430,600 $ 453,000 62978
TOTAL ALL BUDGET FUND GROUPS $ 430,600 $ 453,000 62979


       Section 403.10. BTA BOARD OF TAX APPEALS62981

General Revenue Fund62982

GRF 116-321 Operating Expenses $ 2,247,476 $ 2,281,188 62983
TOTAL GRF General Revenue Fund $ 2,247,476 $ 2,281,188 62984
TOTAL ALL BUDGET FUND GROUPS $ 2,247,476 $ 2,281,188 62985


       Section 405.10. TAX DEPARTMENT OF TAXATION62987

General Revenue Fund62988

GRF 110-321 Operating Expenses $ 92,040,062 $ 92,440,062 62989
GRF 110-404 Tobacco Settlement Enforcement $ 0 $ 328,034 62990
GRF 110-412 Child Support Administration $ 71,680 $ 71,680 62991
GRF 110-901 Property Tax Allocation - Taxation $ 446,953,165 $ 478,613,618 62992
GRF 110-906 Tangible Tax Exemption - Taxation $ 9,177,962 $ 4,588,981 62993
TOTAL GRF General Revenue Fund $ 548,242,869 $ 576,042,375 62994

General Services Fund Group62995

433 110-602 Tape File Account $ 125,000 $ 140,000 62996
5BQ 110-629 Commercial Activity Tax Administration $ 6,000,000 $ 6,000,000 62997
5W4 110-625 Centralized Tax Filing and Payment $ 400,000 $ 200,000 62998
5W7 110-627 Exempt Facility Administration $ 100,000 $ 150,000 62999
5CZ 110-631 Vendor's License Application $ 1,000,000 $ 1,000,000 63000
TOTAL GSF General Services 63001
Fund Group $ 7,625,000 $ 7,490,000 63002

State Special Revenue Fund Group63003

4C6 110-616 International Registration Plan $ 706,855 $ 706,855 63004
4R6 110-610 Tire Tax Administration $ 125,000 $ 150,000 63005
435 110-607 Local Tax Administration $ 17,250,000 $ 17,250,000 63006
436 110-608 Motor Vehicle Audit $ 1,200,000 $ 1,200,000 63007
437 110-606 Litter Tax and Natural Resource Tax Administration $ 675,000 $ 800,000 63008
438 110-609 School District Income Tax $ 3,600,000 $ 3,600,000 63009
5N5 110-605 Municipal Income Tax Administration $ 500,000 $ 500,000 63010
5N6 110-618 Kilowatt Hour Tax Administration $ 125,000 $ 175,000 63011
5V7 110-622 Motor Fuel Tax Administration $ 4,700,000 $ 5,000,000 63012
5V8 110-623 Property Tax Administration $ 13,500,000 $ 13,500,000 63013
639 110-614 Cigarette Tax Enforcement $ 100,000 $ 100,000 63014
642 110-613 Ohio Political Party Distributions $ 600,000 $ 600,000 63015
688 110-615 Local Excise Tax Administration $ 210,000 $ 180,000 63016
TOTAL SSR State Special Revenue 63017
Fund Group $ 43,291,855 $ 43,761,855 63018

Agency Fund Group63019

095 110-995 Municipal Income Tax $ 21,000,000 $ 21,000,000 63020
425 110-635 Tax Refunds $ 1,565,900,000 $ 1,546,800,000 63021
TOTAL AGY Agency Fund Group $ 1,586,900,000 $ 1,567,800,000 63022

Holding Account Redistribution Fund Group63023

R10 110-611 Tax Distributions $ 50,000 $ 50,000 63024
R11 110-612 Miscellaneous Income Tax Receipts $ 50,000 $ 50,000 63025
TOTAL 090 Holding Account 63026
Redistribution Fund Group $ 100,000 $ 100,000 63027
TOTAL ALL BUDGET FUND GROUPS $ 2,186,159,724 $ 2,195,194,230 63028

       HOMESTEAD EXEMPTION, PROPERTY TAX ROLLBACK, AND TANGIBLE TAX63029
EXEMPTION63030

       The foregoing appropriation item 110-901, Property Tax63031
Allocation - Taxation, is hereby appropriated to pay for the 63032
state's costs incurred because of the Homestead Exemption, the 63033
Manufactured Home Property Tax Rollback, and the Property Tax 63034
Rollback. The Tax Commissioner shall distribute these funds 63035
directly to the appropriate local taxing districts, except for 63036
school districts, notwithstanding the provisions in sections 63037
321.24 and 323.156 of the Revised Code, which provide for payment 63038
of the Homestead Exemption, the Manufactured Home Property Tax 63039
Rollback, and Property Tax Rollback by the Tax Commissioner to the63040
appropriate county treasurer and the subsequent redistribution of63041
these funds to the appropriate local taxing districts by the63042
county auditor.63043

       The foregoing appropriation item 110-906, Tangible Tax63044
Exemption - Taxation, is hereby appropriated to pay for the 63045
state's costs incurred because of the tangible personal property 63046
tax exemption required by division (C)(3) of section 5709.01 of 63047
the Revised Code. The Tax Commissioner shall distribute to each 63048
county treasurer the total amount appearing in the notification 63049
from the county treasurer under division (G) of section 321.24 of 63050
the Revised Code for all local taxing districts located in the 63051
county except for school districts, notwithstanding the provision 63052
in section 321.24 of the Revised Code which provides for payment 63053
of the $10,000 tangible personal property tax exemption by the Tax63054
Commissioner to the appropriate county treasurer for all local63055
taxing districts located in the county including school districts. 63056
The county auditor shall distribute the amount paid by the Tax63057
Commissioner among the appropriate local taxing districts except63058
for school districts under division (G) of section 321.24 of the 63059
Revised Code.63060

       Upon receipt of these amounts, each local taxing district63061
shall distribute the amount among the proper funds as if it had63062
been paid as real or tangible personal property taxes. Payments63063
for the costs of administration shall continue to be paid to the63064
county treasurer and county auditor as provided for in sections63065
319.54, 321.26, and 323.156 of the Revised Code.63066

       Any sums, in addition to the amounts specifically63067
appropriated in appropriation items 110-901, Property Tax63068
Allocation - Taxation, for the Homestead Exemption, the63069
Manufactured Home Property Tax Rollback, and the Property Tax63070
Rollback payments, and 110-906, Tangible Tax Exemption - Taxation,63071
for the $10,000 tangible personal property tax exemption payments,63072
which are determined to be necessary for these purposes, are63073
hereby appropriated.63074

       MUNICIPAL INCOME TAX63075

       The foregoing appropriation item 110-995, Municipal Income 63076
Tax, shall be used to make payments to municipal corporations 63077
under section 5745.05 of the Revised Code. If it is determined 63078
that additional appropriations are necessary to make these 63079
payments, such amounts are hereby appropriated.63080

       TAX REFUNDS63081

       The foregoing appropriation item 110-635, Tax Refunds, shall63082
be used to pay refunds under section 5703.052 of the Revised Code. 63083
If it is determined that additional appropriations are necessary 63084
for this purpose, such amounts are hereby appropriated.63085

       INTERNATIONAL REGISTRATION PLAN AUDIT63086

       The foregoing appropriation item 110-616, International63087
Registration Plan, shall be used under section 5703.12 of the 63088
Revised Code for audits of persons with vehicles registered under 63089
the International Registration Plan.63090

       TRAVEL EXPENSES FOR THE STREAMLINED SALES TAX PROJECT63091

        Of the foregoing appropriation item 110-607, Local Tax 63092
Administration, the Tax Commissioner may disburse funds, if 63093
available, for the purposes of paying travel expenses incurred by 63094
members of Ohio's delegation to the Streamlined Sales Tax Project, 63095
as appointed under section 5740.02 of the Revised Code. Any travel 63096
expense reimbursement paid for by the Department of Taxation shall 63097
be done in accordance with applicable state laws and guidelines.63098

       LITTER CONTROL TAX ADMINISTRATION FUND63099

       Notwithstanding section 5733.12 of the Revised Code, during63100
the period from July 1, 2007, to June 30, 2008, the amount of63101
$675,000, and during the period from July 1, 2008, to June 30,63102
2009, the amount of $800,000, received by the Tax Commissioner63103
under Chapter 5733. of the Revised Code, shall be credited to the63104
Litter Control Tax Administration Fund (Fund 437).63105

       CENTRALIZED TAX FILING AND PAYMENT FUND63106

       The Director of Budget and Management, under a plan submitted 63107
by the Tax Commissioner, or as otherwise determined by the 63108
Director of Budget and Management, shall set a schedule to 63109
transfer cash from the General Revenue Fund to the credit of the 63110
Centralized Tax Filing and Payment Fund (Fund 5W4). The transfers 63111
of cash shall not exceed $600,000 in the biennium.63112

       COMMERCIAL ACTIVITY TAX ADMINISTRATION FUND63113

        The foregoing appropriation item 110-629, Commercial Activity 63114
Tax Administration Fund (Fund 5BQ), shall be used to pay expenses 63115
incurred by the Department of Taxation to implement and administer 63116
the Commercial Activity Tax under Chapter 5751. of the Revised 63117
Code.63118

       Notwithstanding section 3734.9010, division (B)(2)(c) of 63119
section 4505.09, division (B) of section 5703.12, section 5703.80, 63120
division (C)(6) of section 5727.81, sections 5733.122 and 63121
5735.053, division (C) of section 5739.21, section 5745.03, 63122
section 5743.024, section 5743.15, division (C) of section 63123
5747.03, and section 5747.113 of the Revised Code or any other 63124
provisions to the contrary, any residual cash balances determined 63125
and certified by the Tax Commissioner to the Director of Budget 63126
and Management shall be transferred on July 1, 2007, or as soon as 63127
possible thereafter, to the Commercial Activities Tax 63128
Administration Fund (Fund 5BQ).63129

       TOBACCO SETTLEMENT ENFORCEMENT63130

       The foregoing appropriation item 110-404, Tobacco Settlement 63131
Enforcement, shall be used by the Tax Commissioner to pay costs 63132
incurred in the enforcement of divisions (F) and (G) of section 63133
5743.03 of the Revised Code.63134

       Section 407.10.  DOT DEPARTMENT OF TRANSPORTATION63135

Transportation Modes
63136

General Revenue Fund63137

GRF 775-451 Public Transportation - State $ 16,700,000 $ 17,000,000 63138
GRF 776-465 Ohio Rail Development Commission $ 2,700,000 $ 2,700,000 63139
GRF 776-466 Railroad Crossing/Grade Separation $ 789,600 $ 789,600 63140
GRF 777-471 Airport Improvements - State $ 3,293,985 $ 1,794,003 63141
TOTAL GRF General Revenue Fund $ 23,483,585 $ 22,283,603 63142
TOTAL ALL BUDGET FUND GROUPS $ 23,483,585 $ 22,283,603 63143

       PUBLIC TRANSPORTATION - STATE63144

        Of the foregoing GRF appropriation item 775-451, Public 63145
Transportation - State, $200,000 in fiscal year 2008 shall be used 63146
for the Cleveland Metropolitan Park District West Creek Project.63147

       TRANSPORTATION STUDY63148

        Of the foregoing appropriation item 775-451, Public 63149
Transportation-State, $50,000 in fiscal year 2008 shall be used 63150
for a Franklin County school transportation study to determine the 63151
feasibility of a countywide pupil transportation system.63152

       AIRPORT IMPROVEMENTS63153

       Of the foregoing appropriation item 777-471, Airport 63154
Improvements - State, $1,500,000 in fiscal year 2008 shall be used 63155
for air travel and support and economic development of statewide 63156
airports. The Directors of Development and Transportation may 63157
enter into one or more interagency agreements between their two 63158
departments as necessary to implement a statewide strategy to 63159
enhance Ohio's airports as centers of regional economic 63160
development.63161

       Of the foregoing appropriation item 777-471, Airport 63162
Improvements-State, $1,500,000 in fiscal year 2008 shall be used 63163
for Cleveland Hopkins Airport projects to support increased 63164
service and expand the existing hub, as defined in 49 U.S.C. 63165
40102, Infrastructure.63166

       Section 409.10.  TOS TREASURER OF STATE63167

General Revenue Fund63168

GRF 090-321 Operating Expenses $ 9,313,195 $ 9,313,195 63169
GRF 090-401 Office of the Sinking $ 537,223 $ 537,223 63170
Fund 63171
GRF 090-402 Continuing Education $ 448,843 $ 448,843 63172
GRF 090-524 Police and Fire $ 14,000 $ 12,000 63173
Disability Pension Fund 63174
GRF 090-534 Police & Fire Ad Hoc Cost $ 140,000 $ 130,000 63175
of Living 63176
GRF 090-554 Police and Fire Survivor $ 910,000 $ 865,000 63177
Benefits 63178
GRF 090-575 Police and Fire Death $ 20,000,000 $ 20,000,000 63179
Benefits 63180
TOTAL GRF General Revenue Fund $ 31,363,261 $ 31,306,261 63181

General Services Fund Group63182

4E9 090-603 Securities Lending Income $ 3,164,000 $ 3,314,000 63183
577 090-605 Investment Pool $ 550,000 $ 550,000 63184
Reimbursement 63185
605 090-609 Treasurer of State $ 350,000 $ 350,000 63186
Administrative Fund 63187
TOTAL GSF General Services 63188
Fund Group $ 4,064,000 $ 4,214,000 63189

State Special Revenue Fund Group63190

5C5 090-602 County Treasurer Education $ 135,000 $ 135,000 63191
TOTAL SSR State Special Revenue 63192
Fund Group $ 135,000 $ 135,000 63193

Agency Fund Group63194

425 090-635 Tax Refunds $ 31,000,000 $ 31,000,000 63195
TOTAL Agency Fund Group $ 31,000,000 $ 31,000,000 63196
TOTAL ALL BUDGET FUND GROUPS $ 66,562,261 $ 66,655,261 63197


       Section 409.10.10.  OFFICE OF THE SINKING FUND63199

       The foregoing appropriation item 090-401, Office of the63200
Sinking Fund, shall be used for financing and other costs incurred63201
by or on behalf of the Commissioners of the Sinking Fund, the Ohio63202
Public Facilities Commission or its secretary, or the Treasurer of63203
State, with respect to State of Ohio general obligation bonds or63204
notes, including, but not limited to, printing, advertising,63205
delivery, rating fees and the procurement of ratings, professional63206
publications, membership in professional organizations, and63207
services referred to in division (D) of section 151.01 of the63208
Revised Code. The General Revenue Fund shall be reimbursed for63209
such costs by intrastate transfer voucher pursuant to a63210
certification by the Office of the Sinking Fund of the actual63211
amounts used. The amounts necessary to make such reimbursements63212
are appropriated from the general obligation bond retirement funds63213
created by the Constitution and laws to the extent such costs are63214
incurred.63215

       POLICE AND FIRE DEATH BENEFIT FUND63216

       The foregoing appropriation item 090-575, Police and Fire63217
Death Benefits, shall be disbursed quarterly by the Treasurer of63218
State at the beginning of each quarter of each fiscal year to the 63219
Board of Trustees of the Ohio Police and Fire Pension Fund. The 63220
Treasurer of State shall certify such amounts quarterly to the 63221
Director of Budget and Management. By the twentieth day of June of 63222
each fiscal year, the Board of Trustees of the Ohio Police and 63223
Fire Pension Fund shall certify to the Treasurer of State the63224
amount disbursed in the current fiscal year to make the payments63225
required by section 742.63 of the Revised Code and shall return to63226
the Treasurer of State moneys received from this appropriation63227
item but not disbursed.63228

       TAX REFUNDS63229

       The foregoing appropriation item 090-635, Tax Refunds, shall 63230
be used to pay refunds under section 5703.052 of the Revised Code. 63231
If the Director of Budget and Management determines that 63232
additional amounts are necessary for this purpose, such amounts 63233
are hereby appropriated.63234

       Section 411.10.  TTA OHIO TUITION TRUST AUTHORITY63235

State Special Revenue Fund Group63236

5AM 095-603 Index Savings Plan $ 2,376,852 $ 2,425,777 63237
5DC 095-604 Banking Products $ 1,631,283 $ 1,648,123 63238
5P3 095-602 Variable College Savings Fund $ 2,031,354 $ 2,063,596 63239
645 095-601 Operating Expenses $ 872,086 $ 881,169 63240
TOTAL SSR State Special Revenue 63241
Fund Group $ 6,911,575 $ 7,018,665 63242
TOTAL ALL BUDGET FUND GROUPS $ 6,911,575 $ 7,018,665 63243


       Section 413.10. OVH OHIO VETERANS' HOME63245

General Revenue Fund63246

GRF 430-100 Personal Services $ 23,085,261 $ 24,403,903 63247
GRF 430-200 Maintenance $ 7,835,544 $ 8,458,613 63248
GRF 430-402 Hall of Fame $ 125,000 $ 125,000 63249
TOTAL GRF General Revenue Fund $ 31,045,805 $ 32,987,516 63250

General Services Fund Group63251

484 430-603 Veterans Home Services $ 375,880 $ 375,880 63252
TOTAL GSF General Services Fund Group $ 375,880 $ 375,880 63253

Federal Special Revenue Fund Group63254

3BX 430-609 Medicare Services $ 1,446,807 1,446,807 63255
3L2 430-601 Veterans Home Operations - Federal $ 15,290,320 $ 15,410,471 63256
TOTAL FED Federal Special Revenue 63257
Fund Group $ 16,737,127 $ 16,857,278 63258

State Special Revenue Fund Group63259

4E2 430-602 Veterans Home Operating $ 8,530,800 $ 8,530,800 63260
604 430-604 Veterans Home Improvement $ 770,096 $ 770,096 63261
TOTAL SSR State Special Revenue 63262
Fund Group $ 9,300,896 $ 9,300,896 63263
TOTAL ALL BUDGET FUND GROUPS $ 57,459,708 $ 59,521,570 63264

       CORNERSTONE OF HOPE63265

        Of the foregoing appropriation item 430-100, Personal 63266
Services, $100,000 in each fiscal year shall be distributed to 63267
Cornerstone of Hope to be used to provide professional counseling 63268
services for individuals who have recently lost family members, 63269
including the loss of service men and service women in the United 63270
States Armed Forces.63271

       Section 415.10. VET VETERANS' ORGANIZATIONS63272

General Revenue Fund63273

VAP AMERICAN EX-PRISONERS OF WAR
63274

GRF 743-501 State Support $ 25,030 $ 25,030 63275

VAN ARMY AND NAVY UNION, USA, INC.
63276

GRF 746-501 State Support $ 55,012 $ 55,012 63277

VKW KOREAN WAR VETERANS
63278

GRF 747-501 State Support $ 49,453 $ 49,453 63279

VJW JEWISH WAR VETERANS
63280

GRF 748-501 State Support $ 29,715 $ 29,715 63281

VCW CATHOLIC WAR VETERANS
63282

GRF 749-501 State Support $ 57,990 $ 57,990 63283

VPH MILITARY ORDER OF THE PURPLE HEART
63284

GRF 750-501 State Support $ 56,377 $ 56,377 63285

VVV VIETNAM VETERANS OF AMERICA
63286

GRF 751-501 State Support $ 185,954 $ 185,954 63287

VAL AMERICAN LEGION OF OHIO
63288

GRF 752-501 State Support $ 302,328 $ 302,328 63289

VII AMVETS
63290

GRF 753-501 State Support $ 287,919 $ 287,919 63291

VAV DISABLED AMERICAN VETERANS
63292

GRF 754-501 State Support $ 216,308 $ 216,308 63293

VMC MARINE CORPS LEAGUE
63294

GRF 756-501 State Support $ 115,972 $ 115,972 63295

V37 37TH DIVISION AEF VETERANS' ASSOCIATION
63296

GRF 757-501 State Support $ 5,946 $ 5,946 63297

VFW VETERANS OF FOREIGN WARS
63298

GRF 758-501 State Support $ 246,615 $ 246,615 63299

TOTAL GRF General Revenue Fund $ 1,634,619 $ 1,634,619 63300
TOTAL ALL BUDGET FUND GROUPS $ 1,634,619 $ 1,634,619 63301

       RELEASE OF FUNDS63302

       The foregoing appropriation items 743-501, 746-501, 747-501,63303
748-501, 749-501, 750-501, 751-501, 752-501, 753-501, 754-501,63304
756-501, 757-501, and 758-501, State Support, shall be released63305
upon approval by the Director of Budget and Management.63306

       CENTRAL OHIO UNITED SERVICES ORGANIZATION63307

       Of the foregoing appropriation item 751-501, State Support,63308
Vietnam Veterans of America, $50,000 in each fiscal year shall be63309
used to support the activities of the Central Ohio USO.63310

       VAL AMERICAN LEGION OF OHIO63311

       Of the foregoing appropriation item 752-501, State Support, 63312
VAL American Legion, at least $50,000 in each fiscal year shall be 63313
used to fund service officer expenses.63314

       VETERANS SERVICE COMMISSION EDUCATION63315

       Of the foregoing appropriation item 753-501, State Support,63316
AMVETS, up to $20,000 in each fiscal year may be used to provide 63317
moneys to the Association of County Veterans Service Commissioners 63318
to reimburse its member county veterans service commissions for 63319
costs incurred in carrying out educational and outreach duties 63320
required under divisions (E) and (F) of section 5901.03 of the 63321
Revised Code. The Director of Budget and Management shall release 63322
these funds upon the presentation of an itemized receipt, approved 63323
by the Governor's Office of Veterans Affairs, from the association 63324
for reasonable and appropriate expenses incurred while performing 63325
these duties. The association shall establish uniform procedures 63326
for reimbursing member commissions.63327

       VII AMVETS63328

       Of the foregoing appropriation item 753-501, State Support, 63329
AMVETS, at least $50,000 shall be used in each fiscal year to fund 63330
service officer expenses.63331

       VAV DISABLED AMERICAN VETERANS63332

       Of the foregoing appropriation item 754-501, State Support, 63333
VAV Disabled American Veterans, at least $50,000 in each fiscal 63334
year shall be used to fund service officer expenses.63335

       VMC MARINE CORPS LEAGUE63336

       Of the foregoing appropriation item 756-501, State Support, 63337
VMC Marine Corps League, at least $30,000 in each fiscal year 63338
shall be used to fund service officer expenses.63339

       VFW VETERANS OF FOREIGN WARS63340

       Of the foregoing appropriation item 758-501, State Support, 63341
VFW Veterans of Foreign Wars, at least $50,000 in each fiscal year 63342
shall be used to fund service officer expenses.63343

       Section 417.10. DVM STATE VETERINARY MEDICAL BOARD63344

General Services Fund Group63345

4K9 888-609 Operating Expenses $ 322,740 $ 327,312 63346
5BU 888-602 Veterinary Student Loan Program $ 60,000 $ 0 63347
TOTAL GSF General Services 63348
Fund Group $ 382,740 $ 327,312 63349
TOTAL ALL BUDGET FUND GROUPS $ 382,740 $ 327,312 63350


       Section 419.10. DYS DEPARTMENT OF YOUTH SERVICES63352

General Revenue Fund63353

GRF 470-401 RECLAIM Ohio $ 186,338,297 $ 190,599,131 63354
GRF 470-412 Lease Rental Payments $ 23,832,700 $ 23,483,700 63355
GRF 470-510 Youth Services $ 18,558,587 $ 18,558,587 63356
GRF 472-321 Parole Operations $ 15,356,904 $ 15,764,729 63357
GRF 477-321 Administrative Operations $ 14,754,420 $ 14,754,419 63358
TOTAL GRF General Revenue Fund $ 258,840,908 $ 263,160,566 63359

General Services Fund Group63360

175 470-613 Education Reimbursement $ 9,985,035 $ 10,550,725 63361
4A2 470-602 Child Support $ 328,657 $ 328,657 63362
4G6 470-605 General Operational Funds $ 49,713 $ 50,955 63363
4G6 470-631 SCALE Program $ 100,000 $ 100,000 63364
479 470-609 Employee Food Service $ 137,666 $ 137,666 63365
5BN 470-629 E-Rate Program $ 200,000 $ 200,000 63366
TOTAL GSF General Services 63367
Fund Group $ 10,801,071 $ 11,368,003 63368

Federal Special Revenue Fund Group63369

3BH 470-630 Federal Juvenile Programs FFY 06 $ 100,000 $ 50,000 63370
3BT 470-634 Federal Juvenile Programs $ 300,000 $ 50,000 63371
3BY 470-635 Federal Juvenile Programs FFY 07 $ 903,350 $ 350,000 63372
3BZ 470-636 Federal Juvenile Programs FFY 08 $ 0 $ 653,350 63373
3V5 470-604 Juvenile Justice/Delinquency Prevention $ 2,750,000 $ 2,750,000 63374
3Z9 470-626 Federal Juvenile Programs FFY 05 $ 142,253 $ 0 63375
321 470-601 Education $ 5,202,160 $ 5,473,109 63376
321 470-603 Juvenile Justice Prevention $ 51,000 $ 30,000 63377
321 470-606 Nutrition $ 2,908,369 $ 2,981,078 63378
321 470-610 Rehabilitation Programs $ 36,000 $ 36,000 63379
321 470-614 Title IV-E Reimbursements $ 6,162,670 $ 6,316,737 63380
321 470-617 Americorps Programs $ 463,700 $ 463,700 63381
321 470-633 Project Re-entry $ 1,017,843 $ 1,017,843 63382
TOTAL FED Federal Special Revenue 63383
Fund Group $ 20,037,345 $ 20,171,817 63384

State Special Revenue Fund Group63385

147 470-612 Vocational Education $ 2,074,710 $ 2,141,823 63386
5BH 470-628 Partnerships for Success $ 1,500,000 $ 1,500,000 63387
TOTAL SSR State Special Revenue 63388
Fund Group $ 3,574,710 $ 3,641,823 63389
TOTAL ALL BUDGET FUND GROUPS $ 293,254,034 $ 298,342,209 63390

       RECLAIM OHIO63391

        Of the foregoing appropriation item 470-401, RECLAIM Ohio, 63392
$25,000 in each fiscal year shall be distributed directly to the 63393
Lighthouse Youth Services Wrap-Around Program.63394

       OHIO BUILDING AUTHORITY LEASE PAYMENTS63395

       The foregoing appropriation item 470-412, Lease Rental63396
Payments, in the Department of Youth Services, shall be used to 63397
meet all payments to the Ohio Building Authority for the period 63398
from July 1, 2007, to June 30, 2009, under the leases and 63399
agreements for facilities made under Chapter 152. of the Revised 63400
Code. This appropriation is the source of funds pledged for bond 63401
service charges on related obligations issued pursuant to Chapter 63402
152. of the Revised Code.63403

       EDUCATION REIMBURSEMENT63404

       The foregoing appropriation item 470-613, Education63405
Reimbursement, shall be used to fund the operating expenses of63406
providing educational services to youth supervised by the63407
Department of Youth Services. Operating expenses include, but are63408
not limited to, teachers' salaries, maintenance costs, and63409
educational equipment. This appropriation item may be used for63410
capital expenses related to the education program.63411

       EMPLOYEE FOOD SERVICE AND EQUIPMENT63412

       Notwithstanding section 125.14 of the Revised Code, the63413
foregoing appropriation item 470-609, Employee Food Service, may63414
be used to purchase any food operational items with funds received63415
into the fund from reimbursement for state surplus property.63416

       Section 503.03. PERSONAL SERVICE EXPENSES63417

       Unless otherwise prohibited by law, any appropriation from63418
which personal service expenses are paid shall bear the employer's63419
share of public employees' retirement, workers' compensation,63420
disabled workers' relief, and all group insurance programs; the63421
costs of centralized accounting, centralized payroll processing,63422
and related personnel reports and services; the cost of the Office63423
of Collective Bargaining; the cost of the Employee Assistance63424
Program; the cost of the affirmative action and equal employment 63425
opportunity programs administered by the Department of 63426
Administrative Services; the costs of interagency information63427
management infrastructure; and the cost of administering the state63428
employee merit system as required by section 124.07 of the Revised63429
Code. These costs shall be determined in conformity with the 63430
appropriate sections of law and paid in accordance with procedures63431
specified by the Office of Budget and Management. Expenditures63432
from appropriation item 070-601, Public Audit Expense - Local63433
Government, in Fund 422 may be exempted from the requirements of63434
this section.63435

       Section 503.06. SATISFACTION OF JUDGMENTS AND SETTLEMENTS 63436
AGAINST THE STATE63437

       Except as otherwise provided in this section, an 63438
appropriation in this act or any other act may be used for the 63439
purpose of satisfying judgments, settlements, or administrative 63440
awards ordered or approved by the Court of Claims or by any other 63441
court of competent jurisdiction in connection with civil actions 63442
against the state. This authorization does not apply to 63443
appropriations to be applied to or used for payment of guarantees 63444
by or on behalf of the state, or for payments under lease 63445
agreements relating to, or debt service on, bonds, notes, or other 63446
obligations of the state. Notwithstanding any other statute to the 63447
contrary, this authorization includes appropriations from funds 63448
into which proceeds of direct obligations of the state are 63449
deposited only to the extent that the judgment, settlement, or 63450
administrative award is for, or represents, capital costs for 63451
which the appropriation may otherwise be used and is consistent 63452
with the purpose for which any related obligations were issued or 63453
entered into. Nothing contained in this section is intended to 63454
subject the state to suit in any forum in which it is not 63455
otherwise subject to suit, and is not intended to waive or 63456
compromise any defense or right available to the state in any suit 63457
against it.63458

       Section 503.09. CAPITAL PROJECT SETTLEMENTS63459

       This section specifies an additional and supplemental63460
procedure to provide for payments of judgments and settlements if63461
the Director of Budget and Management determines, pursuant to63462
division (C)(4) of section 2743.19 of the Revised Code, that63463
sufficient unencumbered moneys do not exist in the particular63464
appropriation to pay the amount of a final judgment rendered63465
against the state or a state agency, including the settlement of a63466
claim approved by a court, in an action upon and arising out of a63467
contractual obligation for the construction or improvement of a63468
capital facility if the costs under the contract were payable in63469
whole or in part from a state capital projects appropriation. In63470
such a case, the director may either proceed pursuant to division63471
(C)(4) of section 2743.19 of the Revised Code or apply to the63472
Controlling Board to increase an appropriation or create an63473
appropriation out of any unencumbered moneys in the state treasury63474
to the credit of the capital projects fund from which the initial63475
state appropriation was made. The Controlling Board may approve or 63476
disapprove the application as submitted or modified. The amount of 63477
an increase in appropriation or new appropriation specified in an 63478
application approved by the Controlling Board is hereby 63479
appropriated from the applicable capital projects fund and made 63480
available for the payment of the judgment or settlement.63481

       If the director does not make the application authorized by63482
this section or the Controlling Board disapproves the application,63483
and the director does not make application under division (C)(4) 63484
of section 2743.19 of the Revised Code, the director shall for the 63485
purpose of making that payment make a request to the General63486
Assembly as provided for in division (C)(5) of that section.63487

       Section 503.12. RE-ISSUANCE OF VOIDED WARRANTS63488

       In order to provide funds for the reissuance of voided63489
warrants under section 117.47 of the Revised Code, there is hereby 63490
appropriated, out of moneys in the state treasury from the fund63491
credited as provided in section 117.47 of the Revised Code, that63492
amount sufficient to pay such warrants when approved by the Office63493
of Budget and Management.63494

       Section 503.15.  REAPPROPRIATION OF UNEXPENDED ENCUMBERED63495
BALANCES OF OPERATING APPROPRIATIONS63496

       Except for amounts of $1,000,000 or more that are encumbered 63497
for program subsidy payments, which the Director of Budget and 63498
Management must submit to the Controlling Board for approval, an 63499
unexpended balance of an operating appropriation or63500
reappropriation that a state agency lawfully encumbered prior to63501
the close of a fiscal year is reappropriated on the first day of63502
July of the following fiscal year from the fund from which it was63503
originally appropriated or reappropriated for the following period63504
and shall remain available only for the purpose of discharging the63505
encumbrance:63506

       (A) For an encumbrance for personal services, maintenance,63507
equipment, or items for resale, other than an encumbrance for an63508
item of special order manufacture not available on term contract63509
or in the open market or for reclamation of land or oil and gas63510
wells for a period of not more than five months from the end of63511
the fiscal year;63512

       (B) For an encumbrance for an item of special order63513
manufacture not available on term contract or in the open market,63514
for a period of not more than five months from the end of the63515
fiscal year or, with the written approval of the Director of63516
Budget and Management, for a period of not more than twelve months63517
from the end of the fiscal year;63518

       (C) For an encumbrance for reclamation of land or oil and gas 63519
wells, for a period ending when the encumbered appropriation is 63520
expended or for a period of two years, whichever is less;63521

       (D) For an encumbrance for any other expense, for such period 63522
as the director approves, provided such period does not exceed two 63523
years.63524

       Any operating appropriations for which unexpended balances63525
are reappropriated beyond a five-month period from the end of the63526
fiscal year by division (B) of this section shall be reported to 63527
the Controlling Board by the Director of Budget and Management by 63528
the thirty-first day of December of each year. The report on each 63529
such item shall include the item, the cost of the item, and the 63530
name of the vendor. The report shall be updated on a quarterly 63531
basis for encumbrances remaining open.63532

       Upon the expiration of the reappropriation period set out in63533
divisions (A), (B), (C), or (D) of this section, a reappropriation63534
made by this section lapses, and the Director of Budget and 63535
Management shall cancel the encumbrance of the unexpended63536
reappropriation not later than the end of the weekend following 63537
the expiration of the reappropriation period.63538

       Notwithstanding the preceding paragraph, with the approval of63539
the Director of Budget and Management, an unexpended balance of an63540
encumbrance that was reappropriated on the first day of July by 63541
this section for a period specified in division (C) or (D) of this 63542
section and that remains encumbered at the close of the fiscal 63543
biennium is hereby reappropriated on the first day of July of the 63544
following fiscal biennium from the fund from which it was 63545
originally appropriated or reappropriated for the applicable 63546
period specified in division (C) or (D) of this section and shall 63547
remain available only for the purpose of discharging the 63548
encumbrance.63549

       The Director of Budget and Management may correct accounting 63550
errors committed by the staff of the Office of Budget and 63551
Management, such as re-establishing encumbrances or appropriations 63552
cancelled in error, during the cancellation of operating 63553
encumbrances in November and of nonoperating encumbrances in 63554
December.63555

       If the Controlling Board approved a purchase, that approval63556
remains in effect so long as the appropriation used to make that63557
purchase remains encumbered.63558

       Section 503.18. APPROPRIATIONS RELATED TO CASH TRANSFERS AND63559
RE-ESTABLISHMENT OF ENCUMBRANCES63560

       Any cash transferred by the Director of Budget and Management63561
under section 126.15 of the Revised Code is hereby appropriated.63562
Any amounts necessary to re-establish appropriations or63563
encumbrances under section 126.15 of the Revised Code are hereby 63564
appropriated.63565

       Section 503.21. INCOME TAX DISTRIBUTION TO COUNTIES63566

       There are hereby appropriated out of any moneys in the state63567
treasury to the credit of the General Revenue Fund, which are not63568
otherwise appropriated, funds sufficient to make any payment63569
required by division (B)(2) of section 5747.03 of the Revised63570
Code.63571

       Section 503.24. EXPENDITURES AND APPROPRIATION INCREASES63572
APPROVED BY THE CONTROLLING BOARD63573

       Any money that the Controlling Board approves for expenditure63574
or any increase in appropriation authority that the Controlling63575
Board approves under sections 127.14, 131.35, and 131.39 of the 63576
Revised Code or any other provision of law is hereby appropriated 63577
for the period ending June 30, 2009.63578

       Section 503.27. FUNDS RECEIVED FOR USE OF GOVERNOR'S 63579
RESIDENCE63580

       If the Governor's Residence Fund (Fund 4H2) receives payment 63581
for use of the residence pursuant to section 107.40 of the Revised 63582
Code, the amounts so received are hereby appropriated to 63583
appropriation item 100-604, Governor's Residence Gift.63584

       Section 506.03. UTILITY RADIOLOGICAL SAFETY BOARD ASSESSMENTS63585

       The maximum amounts that may be assessed against nuclear63586
electric utilities under division (B)(2) of section 4937.05 of the 63587
Revised Code are as follows:63588

FY 2008 FY 2009 63589
Department of Agriculture 63590
Fund 4E4 Utility Radiological Safety $73,059 $73,059 63591
Department of Health 63592
Fund 610 Radiation Emergency Response $850,000 $850,000 63593
Environmental Protection Agency 63594
Fund 644 ER Radiological Safety $286,114 $286,114 63595
Emergency Management Agency 63596
Fund 657 Utility Radiological Safety $1,260,000 $1,260,000 63597

       Section 512.03. TRANSFERS TO THE GENERAL REVENUE FUND FROM 63598
NON-GRF FUNDS63599

        Notwithstanding any other provision of law to the contrary, 63600
during fiscal years 2008 and 2009, the Director of Budget and 63601
Management is hereby authorized to transfer cash from non-General 63602
Revenue Fund funds that are not constitutionally restricted to the 63603
General Revenue Fund. The total amount of cash transfers made 63604
pursuant to this section to the General Revenue Fund during fiscal 63605
years 2008 and 2009 shall not exceed $70,000,000.63606

       Section 512.06. TRANSFERS TO THE GENERAL REVENUE FUND OF 63607
INTEREST EARNED63608

       Notwithstanding any provision of Ohio law to the contrary, 63609
the Director of Budget and Management, through June 30, 2009, may 63610
transfer interest earned by any fund in the Central Accounting 63611
System to the General Revenue Fund. Subsequent to the making of 63612
such transfers, the Director of Budget and Management shall 63613
provide a report to the Controlling Board at its next regularly 63614
scheduled meeting detailing the funds from which the interest 63615
earned was transferred to the General Revenue Fund and the amount 63616
of interest earnings transferred from each of those funds. This 63617
section does not apply to funds whose source of revenue is 63618
restricted or protected by the Constitution of this state, federal 63619
tax law, or the "Cash Management Improvement Act of 1990" 104 63620
Stat. 1058 (1990), 31 U.S.C. 6501 et seq., as amended.63621

       Section 512.07.  CASH TRANSFERS FROM REPARATIONS FUND (Fund 63622
402) TO DISASTER PREPAREDNESS FUND (Fund 5EX)63623

        Notwithstanding any other provision of law to the contrary, 63624
on the first day of July in each of years 2007 and 2008, or as 63625
soon as practicable thereafter in each of those years, the 63626
Director of Budget and Management shall transfer $350,000 in cash 63627
from the Reparations Fund (Fund 402) to the Disaster Preparedness 63628
Fund (Fund 5EX).63629

       Section 512.09. CORPORATE AND UCC FILING FUND TRANSFER TO GRF63630

       Not later than the first day of June in each year of the63631
biennium, the Director of Budget and Management shall transfer63632
$500,000 from the Corporate and Uniform Commercial Code Filing63633
Fund to the General Revenue Fund.63634

       Section 512.21. GRF TRANSFER TO FUND 5N4, OAKS PROJECT63635
IMPLEMENTATION63636

       On July 1, 2007, or as soon thereafter as possible, the63637
Director of Budget and Management shall transfer an amount not to 63638
exceed $2,200,725 in cash from the General Revenue Fund to Fund 63639
5N4, OAKS Project Implementation. On July 1, 2008, or as soon 63640
thereafter as possible, the Director of Budget and Management 63641
shall transfer an amount not to exceed $2,092,779 in cash from the 63642
General Revenue Fund to Fund 5N4, OAKS Project Implementation.63643

       Section 512.31. TEMPORARY TRANSFER TO THE OAKS SUPPORT 63644
ORGANIZATION FUND63645

       Notwithstanding any provision of law to the contrary, in 63646
fiscal year 2008, the Director of Budget and Management may 63647
transfer an amount not to exceed $1,000,000 in cash from the Human 63648
Resources Services Fund (Fund 125) to the OAKS Support 63649
Organization Fund (Fund 5EB). These amounts shall support the 63650
establishment of the OAKS Support Organization. Amounts 63651
transferred to the OAKS Support Organization Fund and interest 63652
earnings on these amounts transferred during fiscal year 2008 63653
shall be returned to the Human Resources Services Fund not later 63654
than January 1, 2008. Upon certification of the total amount 63655
transferred from Fund 125 to Fund 5EB, the Director of Budget and 63656
Management shall transfer cash in the amount certified from Fund 63657
5EB to Fund 125.63658

       Section 512.34. TRANSFER FROM EDUCATION FACILITIES ENDOWMENT 63659
FUND63660

        Notwithstanding division (G) of section 183.27 of the Revised 63661
Code, the Director of Budget and Management shall transfer 63662
$40,000,000 cash in fiscal year 2008 from the Education Facilities 63663
Endowment Fund (Fund P87) to the Public School Building Fund (Fund 63664
021). The amounts transferred are hereby appropriated to the Ohio 63665
School Facilities Commission for the purposes of appropriation 63666
item CAP-622, Public School Buildings.63667

       Section 512.37. TRANSFER TO ENERGY STRATEGY DEVELOPMENT FUND63668

       On July 1, 2007, and on July 1, 2008, or as soon thereafter 63669
as possible, the Director of Budget and Management may transfer 63670
cash from the funds specified below, in the amount specified 63671
below, to the Energy Strategy Development Fund, which is hereby 63672
created in the state treasury. The fund may accept contributions 63673
and transfers made to the fund. The funds shall be used to develop 63674
energy initiatives, projects, and policy.63675

Agency Fund FY 2008 FY 2009 63676
Department of Administrative Services 117 $35,000 $35,000 63677
Department of Agriculture 3J4 $35,000 $35,000 63678
Department of Development 4H4 $32,447 $0 63679
Department of Development 135 $0 $35,000 63680
Environmental Protection Agency 219 $35,000 $35,000 63681
Department of Natural Resources 157 $35,000 $35,000 63682
Department of Transportation 002 $50,000 $50,000 63683

       Section 512.38. CASH TRANSFER FROM AUTOMATED TITLE PROCESSING 63684
FUND TO TITLE DEFECT RESCISSION FUND63685

       Notwithstanding any other provision of law to the contrary, 63686
on July 1, 2007, or as soon as practicable thereafter, the 63687
Director of Budget and Management shall transfer $1,000,000 in 63688
cash from the Automated Title Processing Fund (Fund 849) to the 63689
Title Defect Rescission Fund (Fund 4Y7).63690

       Section 512.41. For purposes of sections 109.93, 111.18, and 63691
173.85 of the Revised Code, as amended by this act, the Director 63692
of Budget and Management, in collaboration with the Treasurer of 63693
State, may take any action necessary to establish funds in the 63694
state treasury that were previously held in the custody of the 63695
Treasurer of State, including, but not limited to, the transfer of 63696
cash from the custodial funds to the state treasury and the 63697
establishment of appropriations and encumbrances to support 63698
outstanding obligations. The amounts necessary to support 63699
outstanding obligations are hereby appropriated. Agencies may 63700
request additional appropriation authority, but it shall be 63701
subject to approval by the Controlling Board.63702

       Section 515.06. TRANSFER OF PRINTING SERVICES FROM THE OFFICE 63703
OF INFORMATION TECHNOLOGY63704

       Effective July 1, 2007, or the earliest date thereafter 63705
agreed to by the Director of Budget and Management and the 63706
Director of Administrative Services, the Office of Information 63707
Technology printing office currently located on Integrity Drive in 63708
Columbus shall become part of the Department of Administrative 63709
Services. The functions, assets, and liabilities, including, but 63710
not limited to, records, regardless of form or medium, leases, and 63711
contracts, of the printing office are transferred to the 63712
Department of Administrative Services. The Department of 63713
Administrative Services is thereupon and thereafter successor to, 63714
assumes the obligations of, and otherwise constitutes the 63715
continuation of the printing office. The functions of the printing 63716
office are thereupon and thereafter transferred to the Department 63717
of Administrative Services.63718

       Any business commenced but not completed by the printing 63719
office by the date of the transfer shall be completed by the 63720
Department of Administrative Services, in the same manner, and 63721
with the same effect, as if completed by the printing office. No 63722
validation, cure, right, privilege, remedy, obligation, or 63723
liability is lost or impaired by reason of the transfer and shall 63724
be administered by the Department of Administrative Services. All 63725
the printing office's rules, orders, and determinations continue 63726
in effect as rules, orders, and determinations of the Department 63727
of Administrative Services, until modified or rescinded by the 63728
Department of Administrative Services. If necessary to ensure the 63729
integrity of the Administrative Code rule numbering system, the 63730
Director of the Legislative Service Commission shall renumber the 63731
printing office's rules to reflect their transfer to the 63732
Department of Administrative Services.63733

       Employees of the Office of Information Technology designated 63734
as staff in the printing office shall be transferred to the 63735
Department of Administrative Services. Subject to the layoff 63736
provisions of sections 124.321 to 124.328 of the Revised Code, the 63737
layoff provisions of the contract between the state and all 63738
bargaining units affected, the employees transferred to the 63739
Department of Administrative Services retain their positions and 63740
all benefits accruing thereto.63741

       No judicial or administrative action or proceeding to which 63742
the printing office is a party that is pending on July 1, 2007, or 63743
such later date as may be established by the Director of the 63744
Office of Information Technology and the Director of 63745
Administrative Services, is affected by the transfer of functions. 63746
The action or proceeding shall be prosecuted or defended in the 63747
name of the Director of Administrative Services. On application to 63748
the court or agency, the Director of Administrative Services shall 63749
be substituted for the Director of the Office of Information 63750
Technology as a party to the action or proceeding.63751

       On and after July 1, 2007, notwithstanding any provision of 63752
law to the contrary, the Director of Budget and Management shall 63753
take the actions with respect to budget changes made necessary by 63754
the transfer, including administrative reorganization, program 63755
transfers, the creation of new funds, and the consolidation of 63756
funds as authorized by this section. The Director of Budget and 63757
Management may cancel encumbrances and re-establish encumbrances 63758
or parts of encumbrances as needed in fiscal year 2008 in the 63759
appropriate fund and appropriation item for the same purpose and 63760
for payment to the same vendor. The Director of Budget and 63761
Management as determined necessary, may re-establish encumbrances 63762
in fiscal year 2008 in a different fund or appropriation item in 63763
an agency or between agencies. The re-established encumbrances are 63764
hereby appropriated. The Director of Budget and Management shall 63765
reduce each year's appropriation balances by the amount of the 63766
encumbrance canceled in their respective funds and appropriation 63767
items.63768

       Not later than sixty days after the transfer of the printing 63769
office to the Department of Administrative Services, the Director 63770
of the Office of Information Technology shall certify to the 63771
Director of Budget and Management the amount of cash associated 63772
with printing services supported by Fund 133, IT Services Delivery 63773
Fund. Upon receipt of the certification, the Director of Budget 63774
and Management shall transfer cash from Fund 133, IT Services 63775
Delivery Fund, to Fund 210, State Printing Fund. This amount is 63776
hereby appropriated.63777

       Section 515.09. TRANSFER OF MAIL AND FULFILLMENT SERVICES 63778
FROM THE DEPARTMENT OF JOB AND FAMILY SERVICES63779

       Effective July 1, 2007, or the earliest date thereafter 63780
agreed to by the Director of Job and Family Services and the 63781
Director of Administrative Services, the Department of Job and 63782
Family Services mail and fulfillment office, currently located on 63783
Integrity Drive in Columbus shall become part of the Department of 63784
Administrative Services. The functions, assets, and liabilities, 63785
including, but not limited to, records, regardless of form or 63786
medium, leases, and contracts, of the mail and fulfillment office 63787
is transferred to the Department of Administrative Services. The 63788
Department of Administrative Services is thereupon and thereafter 63789
successor to, assumes the obligations of, and otherwise 63790
constitutes the continuation of the mail and fulfillment office. 63791
The functions of the mail and fulfillment office are thereupon and 63792
thereafter transferred to the Department of Administrative 63793
Services.63794

       Any business commenced but not completed by the mail and 63795
fulfillment office by the date of transfer shall be completed by 63796
the Department of Administrative Services, in the same manner, and 63797
with the same effect, as if completed by the mail and fulfillment 63798
office. No validation, cure, right, privilege, remedy, obligation, 63799
or liability is lost or impaired by reason of the transfer and 63800
shall be administered by the Department of Administrative 63801
Services. All of the mail and fulfillment office's rules, orders, 63802
and determinations continue in effect as rules, orders, and 63803
determinations of the Department of Administrative Services, until 63804
modified or rescinded by the Department of Administrative 63805
Services. If necessary to ensure the integrity of the 63806
Administrative Code rule numbering system, the Director of the 63807
Legislative Service Commission shall renumber the mail and 63808
fulfillment office's rules to reflect their transfer to the 63809
Department of Administrative Services.63810

       Employees of the Department of Job and Family Services 63811
designated as staff in the mail and fulfillment office shall be 63812
transferred to the Department of Administrative Services. Subject 63813
to the layoff provisions of sections 124.321 to 124.328 of the 63814
Revised Code, and to provisions of the contract between the state 63815
and all bargaining units affected, the employees transferred to 63816
the Department of Administrative Services retain their positions 63817
and all benefits accruing thereto.63818

       No judicial or administrative action or proceeding to which 63819
the mail and fulfillment office is a party that is pending on July 63820
1, 2007, or such later date as may be established by the Director 63821
of Job and Family Services and the Director of Administrative 63822
Services, is affected by the transfer of functions. The action or 63823
proceeding shall be prosecuted or defended in the name of the 63824
Director of Administrative Services. On application to the court 63825
or agency, the Director of Administrative Services shall be 63826
substituted for the Director of Job and Family Services as a party 63827
to the action or proceeding.63828

       On and after July 1, 2007, notwithstanding any provision of 63829
law to the contrary, the Director of Budget and Management shall 63830
take the actions with respect to budget changes made necessary by 63831
the transfer, including administrative reorganization, program 63832
transfers, the creation of new funds, and the consolidation of 63833
funds as authorized by this section. The Director of Budget and 63834
Management may cancel encumbrances and re-establish encumbrances 63835
or parts of encumbrances as needed in fiscal year 2008 in the 63836
appropriate fund and appropriation item for the same purpose and 63837
for payment to the same vendor. The Director of Budget and 63838
Management, as determined necessary, may re-establish encumbrances 63839
in fiscal year 2008 in a different fund or appropriation item in 63840
an agency or between agencies. The re-established encumbrances are 63841
hereby appropriated. The Director of Budget and Management shall 63842
reduce each year's appropriation balances by the amount of the 63843
encumbrance canceled in their respective funds and appropriation 63844
items.63845

       The Director of Job and Family Services and the Director of 63846
Administrative Services shall enter into an interagency agreement 63847
establishing terms and timetables for the implementation of this 63848
section. The interagency agreement shall include provisions for 63849
credits to the Department of Job and Family Services for prepaid 63850
postage, agreements for the credit, transfer, or reimbursement of 63851
funds to the Department of Job and Family Services to comply with 63852
terms and conditions applicable to federal funds expended by the 63853
department for the purchase, maintenance, and operation of 63854
equipment, agreements for ongoing operations in compliance with 63855
federal requirements applicable to Department of Job and Family 63856
Services programs that utilize the mail and fulfillment services, 63857
transfer of or sharing of lease agreements, and any other 63858
agreements that the Director of Job and Family Services and the 63859
Director of Administrative Services determine to be necessary for 63860
the successful implementation of this section.63861

       Not later than sixty days after the transfer of the mail and 63862
fulfillment office to the Department of Administrative Services, 63863
the Director of Job and Family Services shall certify to the 63864
Director of Budget and Management the amount of any unexpended 63865
balance of appropriations made to the department to support the 63866
office. Upon receipt of the certification, the Director of Budget 63867
and Management shall transfer the appropriations and cash to Fund 63868
210, State Printing Fund.63869

       Section 518.03. BUDGET ADJUSTMENTS TO REFLECT TOBACCO 63870
SECURITIZATION63871

        (A) Notwithstanding any other provision of law to the 63872
contrary, the Director of Budget and Management, periodically on 63873
any date following the issuance of the tobacco obligations 63874
authorized in section 183.51 of the Revised Code and through June 63875
30, 2009, may:63876

       (1) Determine the amount of appropriation items 235-909, 63877
Higher Education General Obligation Debt Service, and 230-908, 63878
Common Schools General Obligation Debt Service, that are in excess 63879
of the amounts needed to pay all debt service and financing costs 63880
on those obligations payable from each of those items and transfer 63881
all or any portion of that excess appropriation to appropriation 63882
item 200-901, Property Tax Allocation-Education, or 110-901, 63883
Property Tax Allocation-Taxation, or both together as needed for 63884
the purposes of making the state's property tax relief payments to 63885
school districts and counties.63886

       (2) Determine the amount by which interest earnings credited 63887
to Fund 034, Higher Education Improvement Fund, and Fund 032, 63888
School Building Program Assistance Fund, from the investment of 63889
the net proceeds of those tobacco obligations exceed the amount 63890
needed to satisfy appropriations from those funds, transfer all or 63891
part of that excess cash balance to the General Revenue Fund, and 63892
increase appropriation item 200-901, Property Tax 63893
Allocation-Education, or 110-901, Property Tax 63894
Allocation-Taxation, or both together, by up to the amount of cash 63895
so transferred to the General Revenue Fund.63896

       (3) Determine the amount of capital appropriation in CAP-770, 63897
School Building Assistance Program, transfer cash to Fund 5E3, 63898
School Facilities Commission, an amount that is necessary to fully 63899
expend the amount of net proceeds deposited into Fund 032, School 63900
Building Program Assistance Fund, from the issuance of those 63901
tobacco obligations and increase the appropriations for CAP-770 63902
and appropriation item 230-644, Operating Expenses-School 63903
Facilities Commission, by the necessary amount.63904

        (4) Determine the amount of additional capital appropriations 63905
necessary to fully expend the amount of net proceeds deposited 63906
from the issuance of those tobacco obligations into Fund 034, 63907
Higher Education Improvement Fund.63908

        (5) Reduce the amount of authorization to issue and sell 63909
general obligations to pay the costs of capital facilities for a 63910
system of common schools throughout the state granted to the Ohio 63911
Public Facilities Commission by prior acts of the General Assembly 63912
to reflect the amount of net proceeds of those tobacco obligations 63913
deposited into Fund 034, Higher Education Improvement Fund, that 63914
are intended to replace general obligations for the purpose.63915

       (6) Reduce the amount of authorization to issue and sell 63916
general obligations to pay the costs of capital facilities for 63917
state-supported and state-assisted institutions of higher 63918
education granted to the Ohio Public Facilities Commission by 63919
prior acts of the General Assembly to reflect the amount of net 63920
proceeds of those tobacco obligations deposited into Fund 034, 63921
Higher Education Improvement Fund, that are intended to replace 63922
general obligations for the purpose.63923

        (B) When any of the determinations, transfers, and increases 63924
or decreases in appropriations and authorizations described in 63925
division (A) of this section have been completed, the Office of 63926
Budget and Management shall make a report to the Controlling Board 63927
at its next regularly scheduled meeting.63928

       Section 518.06. GENERAL OBLIGATION DEBT SERVICE PAYMENTS63929

       Certain appropriations are in this act for the purpose of63930
paying debt service and financing costs on general obligation63931
bonds or notes of the state issued pursuant to the Ohio63932
Constitution and acts of the General Assembly. If it is determined 63933
that additional appropriations are necessary for this purpose, 63934
such amounts are hereby appropriated.63935

       Section 518.09.  LEASE PAYMENTS TO OPFC, OBA, AND TREASURER 63936
OF STATE63937

       Certain appropriations are in this act for the purpose of63938
making lease rental payments pursuant to leases and agreements 63939
relating to bonds or notes issued by the Ohio Building Authority 63940
or the Treasurer of State or, previously, by the Ohio Public 63941
Facilities Commission, pursuant to the Ohio Constitution and acts 63942
of the General Assembly. If it is determined that additional63943
appropriations are necessary for this purpose, such amounts are63944
hereby appropriated.63945

       Section 518.12. AUTHORIZATION FOR TREASURER OF STATE AND OBM 63946
TO EFFECTUATE CERTAIN DEBT SERVICE PAYMENTS63947

       The Office of Budget and Management shall initiate and63948
process disbursements from general obligation and lease rental 63949
payment appropriation items during the period from July 1, 2007, 63950
to June 30, 2009, relating to bonds or notes issued under Sections 63951
2i, 2k, 2l, 2m, 2n, 2o, 2p and 15 of Article VIII, Ohio 63952
Constitution, and Chapters 151. and 154. of the Revised Code. 63953
Disbursements shall be made upon certification by the Treasurer of 63954
State, Office of the Sinking Fund, of the dates and the amounts63955
due on those dates.63956

       Section 521.03.  STATE AND LOCAL REBATE AUTHORIZATION63957

       There is hereby appropriated, from those funds designated by63958
or pursuant to the applicable proceedings authorizing the issuance63959
of state obligations, amounts computed at the time to represent63960
the portion of investment income to be rebated or amounts in lieu63961
of or in addition to any rebate amount to be paid to the federal63962
government in order to maintain the exclusion from gross income63963
for federal income tax purposes of interest on those state63964
obligations under section 148(f) of the Internal Revenue Code.63965

       Rebate payments shall be approved and vouchered by the Office63966
of Budget and Management.63967

       Section 521.06. STATEWIDE INDIRECT COST RECOVERY63968

       Whenever the Director of Budget and Management determines63969
that an appropriation made to a state agency from a fund of the63970
state is insufficient to provide for the recovery of statewide63971
indirect costs under section 126.12 of the Revised Code, the63972
amount required for such purpose is hereby appropriated from the63973
available receipts of such fund.63974

       Section 521.07.  GRF TRANSFERS ON BEHALF OF THE STATEWIDE63975
INDIRECT COST ALLOCATION PLAN63976

       The total transfers made from the General Revenue Fund by the63977
Director of Budget and Management under this section shall not 63978
exceed the amounts transferred into the General Revenue Fund under 63979
division (B) of section 126.12 of the Revised Code.63980

       The director of an agency may certify to the Director of 63981
Budget and Management the amount of expenses not allowed to be 63982
included in the Statewide Indirect Cost Allocation Plan under 63983
federal regulations, from any fund included in the Statewide 63984
Indirect Cost Allocation Plan, prepared as required by section 63985
126.12 of the Revised Code.63986

       Upon determining that no alternative source of funding is63987
available to pay for such expenses, the Director of Budget and63988
Management may transfer from the General Revenue Fund into the63989
fund for which the certification is made, up to the amount of the63990
certification. The director of the agency receiving such funds63991
shall include, as part of the next budget submission prepared63992
under section 126.02 of the Revised Code, a request for funding 63993
for such activities from an alternative source such that further 63994
federal disallowances would not be required.63995

       Section 521.12.  FEDERAL CASH MANAGEMENT IMPROVEMENT ACT63996

       Pursuant to the plan for compliance with the Federal Cash63997
Management Improvement Act required by section 131.36 of the63998
Revised Code, the Director of Budget and Management may cancel and 63999
re-establish all or part of encumbrances in like amounts within 64000
the funds identified by the plan. The amounts necessary to 64001
re-establish all or part of encumbrances are hereby appropriated.64002

       *       Section 603.05. That Section 310.10 of Am. Sub. H.B. 67 of 64003
the 127th General Assembly be amended to read as follows:64004

       Sec. 310.10. In proceeding with the construction project 64005
involving United States Route 68 in Champaign County, the Director 64006
of Transportation shall credit the proceeds from any sale of land 64007
previously acquired for the project to the local matching funds 64008
required for the project.64009

       The Director of Transportation shall make available 64010
$1,000,000 over the fiscal year 2008-2009 biennium for 64011
improvements to the State Route 33 Avery Muirfield Interchange. 64012
The Director shall determine how to fund the project with either 64013
state or federal moneys.64014

       *       Section 603.06. That existing Section 310.10 of Am. Sub. 64015
H.B. 67 of the 127th General Assembly is hereby repealed.64016

       Section 605.05. That Section 252.70 of Am. Sub. H.B. 530 of 64017
the 126th General Assembly be amended to read as follows:64018

Reappropriations

       Sec. 252.70. OSU OHIO STATE UNIVERSITY64019

CAP-074 Basic Renovations $ 19,255,664 64020
CAP-149 Basic Renovations - Regional Campuses $ 2,083,163 64021
CAP-198 Brown Hall Annex Replacement $ 6,213 64022
CAP-254 Basic Renovations - ATI $ 127,444 64023
CAP-255 Supplemental Renovations - OARDC $ 2,826,343 64024
CAP-256 Supplemental Renovations - Regional $ 191,955 64025
CAP-258 Dreese Lab Addition $ 12,340 64026
CAP-261 Bioscience/Parks Hall Addition $ 12,584 64027
CAP-269 Greenhouse Modernization $ 40,982 64028
CAP-271 Horticulture/Entomology Greenhouse - OARDC $ 15,344 64029
CAP-292 Life Sciences Research Building $ 202,898 64030
CAP-302 Food Science & Technology Building $ 89,990 64031
CAP-306 Heart & Lung Institute $ 32,437 64032
CAP-311 Superconducting Radiation $ 65,094 64033
CAP-313 Brain Tumor Research Center $ 6,001 64034
CAP-314 Engineering Center Net Shape Manufacturing $ 20,730 64035
CAP-315 Membrane Protein Typology $ 8,835 64036
CAP-316 Instructional and Data Processing Equipment $ 198,844 64037
CAP-321 Fine Particle Technologies $ 157,936 64038
CAP-323 Advanced Plasma Engineering $ 22,379 64039
CAP-324 Plasma Ramparts $ 1,150 64040
CAP-326 IN-SITU AL-BE Composites $ 1,733 64041
CAP-335 Jay Cooke Residence - Roof and Windows $ 86,668 64042
CAP-347 Asbestos Abatement $ 5,325 64043
CAP-349 Materials Network $ 91,983 64044
CAP-350 Bio-Technology Consortium $ 42,378 64045
CAP-352 Analytical Electron Microscope $ 375,000 64046
CAP-353 High Temp Alloys & Alluminoids $ 220,000 64047
CAP-357 Supplemental Renovations - ATI $ 33,969 64048
CAP-361 Maintenance, Receiving, and Storage Facility - Marion $ 58,646 64049
CAP-362 McPherson Lab Rehabilitation $ 10,278 64050
CAP-368 Heart and Lung Institute $ 101,808 64051
CAP-374 ADA Modifications $ 178,870 64052
CAP-375 ADA Modifications - ATI $ 41,936 64053
CAP-376 ADA Modifications - Lima $ 95,538 64054
CAP-377 ADA Modifications - Mansfield $ 15,253 64055
CAP-387 Titanium Alloys $ 54,912 64056
CAP-394 ATI/OARDC Roof Replacements $ 13,913 64057
CAP-398 Advanced Manufacturing $ 38,579 64058
CAP-399 Manufacturing Processes/Materials $ 62,574 64059
CAP-401 Terhertz Studies $ 35,294 64060
CAP-406 Marion Park/Road/Sidewalk/Lights $ 2,750 64061
CAP-413 Pomerene Lighting/Wiring $ 249,584 64062
CAP-419 NMR Consortium $ 75,116 64063
CAP-420 Versatile Film Facility $ 62,872 64064
CAP-421 OCARNET $ 5,916 64065
CAP-422 Bioprocessing Research $ 1,905 64066
CAP-423 Localized Corrosion Research $ 6,128 64067
CAP-424 ATM Testbed $ 3,633 64068
CAP-425 Physical Sciences Building $ 27,748 64069
CAP-427 Morrill Hall Remodeling - Vacated Library Space - Marion $ 1,347,191 64070
CAP-431 Sisson Hall Replacement $ 5,571 64071
CAP-436 Machinery Acoustics $ 3,804 64072
CAP-439 Sensors and Measurements $ 15,115 64073
CAP-440 Polymer Magnets $ 1,099 64074
CAP-458 A1 Alloy Corrosion $ 14,292 64075
CAP-484 Page Hall Planning $ 7,210 64076
CAP-485 Botany & Zoology Building Planning $ 207,932 64077
CAP-486 Larkins Hall Addition/Renovation Planning $ 26,206 64078
CAP-487 Robinson Laboratory Planning $ 149,100 64079
CAP-488 Don Scott Field Replacement Barns $ 1,495,619 64080
CAP-489 Galvin Hall 3rd Floor Renovation - Lima $ 22,135 64081
CAP-491 Horticultural Operations Center - ATI $ 1,474,400 64082
CAP-492 OARDC Feed Mill $ 5,598,644 64083
CAP-499 Biological Sciences Cooling Tower $ 6,930 64084
CAP-509 Mount Hall HVAC Modifications $ 40,982 64085
CAP-519 Ohio Biomedical Consortium on Medical Therapeutic Micro Devices $ 49,275 64086
CAP-520 Plant and Microbe Functional Genomics Facilities $ 16,259 64087
CAP-523 Consortium for Novem Microfabrications Methods of Medical Devices in Non-Silicon Materials $ 193,886 64088
CAP-524 Bone & Mineral Metabolism Research Lab $ 5,845 64089
CAP-531 Animal & Plant Biology Level 3 $ 8,133,780 64090
CAP-534 Main Library Rehabilitation $ 9,320,846 64091
CAP-535 Psychology Building $ 2,128,529 64092
CAP-536 Thorne Hall and Gowley Hall Renovations - Phase 3 $ 199,799 64093
CAP-539 Nanosecond Infrared Measurement $ 2,588 64094
CAP-550 Millimeter/Submillimeter Instrument $ 5,919 64095
CAP-552 X-Ray Powder Diffractometer $ 558 64096
CAP-554 Deconvolution Microscope $ 1,101 64097
CAP-556 Heart/Lung Institute Animal Facility $ 13,140 64098
CAP-564 Denney Hall Renovation - Phase I $ 18,495 64099
CAP-565 Ion Mass Spectrometry $ 6,594 64100
CAP-568 Role of Molecular Interfaces $ 17,554 64101
CAP-572 New Millimeter Spectrometer $ 714 64102
CAP-574 Noncredit Job Training - Marion $ 2,933 64103
CAP-576 1224 Kinnear Road - Bale $ 11,722 64104
CAP-577 Non-Silicon Micromachining $ 73,991 64105
CAP-579 Veterinary Hospital Auditorium Renovation $ 7,736 64106
CAP-586 Electroscience Lab Renovation $ 5,853 64107
CAP-587 OARDC Boiler Replacement $ 622,757 64108
CAP-590 Supercomputer Center Expansion $ 6,804,275 64109
CAP-596 Information Literacy $ 135,574 64110
CAP-597 Online Business Major $ 5,768 64111
CAP-599 Renovation of Graves Hall $ 68,196 64112
CAP-602 OARDC Wooster Phone System Replacement $ 467,398 64113
CAP-605 Utility - North Tunnel Steamline Upgrade $ 111,981 64114
CAP-608 Dual Beam Characterization $ 150,000 64115
CAP-616 Environmental Technology Consortium $ 11,297 64116
CAP-617 Campbell, University, and Evans Hall $ 87,439 64117
CAP-620 School of Music - Planning $ 1,500 64118
CAP-622 Western Branch Headquarters & Machinery Building $ 779,525 64119
CAP-624 Muck Crops Branch/Shop Building Replacement $ 756,336 64120
CAP-625 Hazardous Waste Handling/Storage Building $ 1,103,062 64121
CAP-626 Agriculture/Engineering Building Renovation & Addition $ 200,000 64122
CAP-628 Wood County Center for Agriculture $ 1,000,000 64123
CAP-629 Community Heritage Art Gallery - Lima $ 100,000 64124
CAP-631 Health Psychology $ 250,000 64125
CAP-632 Nanotechnology Molecular Assembly $ 500,000 64126
CAP-633 Networking and Communication $ 500,000 64127
CAP-634 Planetary Gear $ 125,000 64128
CAP-635 X-Ray Fluorenscence Spectrometer $ 2,283 64129
CAP-636 Precision Navigation $ 85,000 64130
CAP-637 Welding & Metal Working $ 200,000 64131
CAP-638 Spin Driven Electronics $ 6,436 64132
CAP-639 Inductively Coupled Plasma Etching $ 126,729 64133
CAP-641 Accelerated Metals $ 1,020,331 64134
CAP-642 Mathematical Biosciences Institute $ 54,863 64135
CAP-646 Mershon Auditorium HVAC System Improvements $ 2,098 64136
CAP-647 Molecular Microdevices $ 14,033 64137
CAP-648 Research Center HVAC System Improvements $ 17,088 64138
CAP-649 Infrared Absorption Measurements $ 2,899 64139
CAP-650 Dark Fiber $ 3,983,440 64140
CAP-651 Shared Data Backup System $ 20,922 64141
CAP-653 Third Frontier Network Testbed $ 280,564 64142
CAP-654 Distributed Learning Workshop $ 270,000 64143
CAP-656 Accelerated Maturation of Materials $ 209,702 64144
CAP-657 Nanoscale Polymers Manufacturing $ 629,699 64145
CAP-658 Hydrogen Production and Storage $ 32,396 64146
CAP-659 Ohio Organic Semiconductor $ 367,587 64147
CAP-663 Comprehensive Cancer - Chiller Replacement $ 42,687 64148
CAP-664 Kottman Hall - 103 Central Classroom $ 19,285 64149
CAP-668 West Campus Chilled Water & Scott Hall $ 16,139 64150
CAP-669 McCracken Power Plant Spill Control $ 268,508 64151
CAP-670 Glacial Assessment $ 22,764 64152
CAP-672 Chemical Vapor Deposition $ 13,500 64153
CAP-674 Parks Hall Chiller Replacement $ 135,360 64154
CAP-675 Hybrid Electric Vehicle Modeling $ 504,536 64155
CAP-676 Computational Nanotechnology $ 500,000 64156
CAP-677 Townshend Hall - Roof Replacement $ 328,772 64157
CAP-678 Center For Materials Design $ 1,037 64158
CAP-681 Vet Hospital Roof Replacement Phase II $ 85,645 64159
CAP-682 Hopkins Hall Phase II Priorities I, II $ 108,052 64160
CAP-683 Bioscience 6th Floor Renovation - Priority $ 983,186 64161
CAP-684 Ohio Commons For Digital Education $ 118,924 64162
CAP-685 Postle Hall Fire Alarm Replacement $ 116,441 64163
CAP-686 NonCredit Job Education & Training $ 21,104 64164
CAP-687 Campus South Dorms Renovation/Improvements $ 950,000 64165
CAP-688 Bricker Hall Roof Replacement $ 23,123 64166
CAP-694 Neuroscience Center Core $ 193,991 64167
CAP-696 Campus Grounds-Exterior Lighting - Phase VIII $ 33,814 64168
CAP-697 930 Kinnear Road Renovations $ 773,303 64169
CAP-698 Waterman Lab & Don Scott Field $ 652,752 64170
CAP-699 Lincoln Tower Renovations - Phase 1 $ 477,626 64171
CAP-700 Coe Corrosion Coop $ 58,750 64172
CAP-701 OSU Cancer Program Expansion $ 2,000,000 64173
CAP-702 Smith Laboratory Rehabilitation $ 2,800,000 64174
CAP-704 Warner Library and Student Center $ 1,789,324 64175
CAP-705 Hopewell Hall Science Suite $ 508,408 64176
CAP-706 Atomic Force Microscopy $ 180,000 64177
CAP-707 Interactive Applications $ 463,018 64178
CAP-712 OSU Mansfield - Third Street Project $ 234,000 64179
CAP-714 Health Psychology $ 150,000 64180
CAP-716 Ohio Bioproducts Innovation Center $ 9,689,847 64181
CAP-717 Center for Materials Design $ 602,615 64182
CAP-718 Specialized Planetary Gears $ 150,000 64183
CAP-719 OSU Agricultural Building $ 1,500,000 64184
CAP-720 Automated Afm System $ 180,000 64185
CAP-721 Integrated Wireless Communication $ 141,000 64186
Total Ohio State University $ 105,955,671 64187

       BASIC RENOVATIONS64188

       The amount reappropriated for the foregoing appropriation 64189
item CAP-074, Basic Renovations, is the sum of the unencumbered 64190
and unallotted balance as of June 30, 2006, in appropriation item 64191
CAP-074, Basic Renovations, plus $6,927.64192

       OARDC THORNE & GOURLEY HALL64193

       The amount reappropriated for the foregoing appropriation 64194
item CAP-274, OARDC Thorne & Gourley Hall shall be $1,007.64195

       WOOD COUNTY CENTER FOR AGRICULTURE64196

        Of the foregoing appropriation item CAP-628, Wood County 64197
Center for Agriculture, up to $300,000 shall be used for building 64198
renovations to the OSU Extension Office/Ag Business Enhancement 64199
Center.64200

       The remainder of appropriation item CAP-628, Wood County 64201
Center for Agriculture, shall be used for an alternative energy 64202
generation project at the East Gypsy Lane Complex in Wood County 64203
or an agricultural energy facility recommended by the Wood County 64204
commissioners.64205

       Section 605.06. That existing Section 252.70 of Am. Sub. H.B. 64206
530 of the 126th General Assembly is hereby repealed.64207

       Section 621.05. That Section 153 of Am. Sub. H.B. 117 of the 64208
121st General Assembly, as most recently amended by Am. Sub. H.B. 64209
66 of the 126th General Assembly, be amended to read as follows:64210

       Sec. 153.  (A) Sections 5112.01, 5112.03, 5112.04, 5112.05,64211
5112.06, 5112.07, 5112.08, 5112.09, 5112.10, 5112.11, 5112.18, 64212
5112.19, 5112.21, and 5112.99 of the Revised Code are hereby64213
repealed, effective October 16, 20072009.64214

       (B) Any money remaining in the Legislative Budget Services64215
Fund on October 16, 20072009, the date that section 5112.19 of 64216
the Revised Code is repealed by division (A) of this section, 64217
shall be used solely for the purposes stated in then former 64218
section 5112.19 of the Revised Code. When all money in the64219
Legislative Budget Services Fund has been spent after then former64220
section 5112.19 of the Revised Code is repealed under division (A)64221
of this section, the fund shall cease to exist.64222

       Section 621.06. That existing Section 153 of Am. Sub. H.B. 64223
117 of the 121st General Assembly, as most recently amended by Am. 64224
Sub. H.B. 66 of the 126th General Assembly, is hereby repealed.64225

       Section 703.10. The Governor's Office of Faith-Based and 64226
Community Initiatives, with the assistance of the Advisory Board 64227
of the Governor's Office of Faith-Based and Community Initiatives, 64228
shall conduct a study of the feasibility and advisability of the 64229
Office becoming a private nonprofit entity rather than a part of 64230
the Governor's office. The study and any resulting recommendations 64231
shall be submitted, not later than July 1, 2008, to the Governor, 64232
the Speaker of the House of Representatives, the President of the 64233
Senate, and the Minority Leaders of the House of Representatives 64234
and the Senate.64235

       Section 706.03. (A) As used in this section, "appointing 64236
authority" has the same meaning as in section 124.01 of the 64237
Revised Code, and "exempt employee" has the same meaning as in 64238
section 124.152 of the Revised Code.64239

       (B) Notwithstanding section 124.181 of the Revised Code, both 64240
of the following apply:64241

        (1) In cases where no vacancy exists, an appointing authority 64242
may, with the written consent of an exempt employee, assign duties 64243
of a higher classification to that exempt employee for a period of 64244
time not to exceed two years, and that exempt employee shall 64245
receive compensation at a rate commensurate with the duties of the 64246
higher classification.64247

        (2) If necessary, exempt employees who are assigned to duties 64248
within their agency to maintain operations during the Ohio 64249
Administrative Knowledge System (OAKS) implementation may agree to 64250
a temporary assignment that exceeds the two-year limit.64251

       Section 737.10.  (A) Notwithstanding any provision of law to 64252
the contrary, the Public Health Council shall rescind rules 64253
adopted by the Council under section 3718.02 of the Revised Code, 64254
as it existed prior to its repeal by this act, that took effect on 64255
January 1, 2007. At the same time as those rules are rescinded, 64256
the Council shall adopt rules that are identical to the rules 64257
adopted by the Council that were in effect prior to January 1, 64258
2007, and were codified in Chapter 3701-29 of the Administrative 64259
Code.64260

       (B) The rescission and adoption of rules under division (A) 64261
of this section are not subject to section 119.03 of the Revised 64262
Code. However, the Public Health Council shall file the rules in 64263
accordance with section 119.04 of the Revised Code. Upon that 64264
filing, the rules take immediate effect.64265

       Section 739.10. Section 3905.36 of the Revised Code is 64266
amended by this act for the purpose of clarifying the intent of 64267
the 126th General Assembly when it amended division (B)(4) of 64268
section 3905.36 of the Revised Code. Notwithstanding any provision 64269
of section 3905.36 of the Revised Code to the contrary, all 64270
agencies and departments of the state or any political subdivision 64271
shall apply the legislative intent from this amendment as of 64272
January 1, 2007.64273

       Section 753.10. The duties of an owner of residential rental 64274
property to comply with and of a county auditor to accept 64275
compliance with sections 5323.01, 5323.02, 5323.03, 5323.04, and 64276
5323.99 of the Revised Code in a county are tolled until the board 64277
of county commissioners adopts a resolution under the first 64278
paragraph of section 5323.011 of the Revised Code.64279

       Section 753.20.  (A) The staff of the Legislative Service 64280
Commission shall study the feasibility and potential results of 64281
the state's offering incentives for local entities, including 64282
municipal corporations, counties, townships, local historical 64283
societies, and regional authorities, to assume control of state 64284
historical sites. The incentives to be studied shall include the 64285
establishment of tax credits, the contribution of capital dollars, 64286
and the creation of an endowment-matching program.64287

       The study shall focus on the cost and funding aspects of the 64288
incentives that are studied. In addition, the study shall attempt 64289
to determine the potential results of providing each incentive at 64290
varying levels.64291

        (B) Not later than six months after the effective date of 64292
this section, the staff of the Commission shall report its 64293
findings to the Commission.64294

       *       Section 755.03. The Director of Transportation may conduct a 64295
twelve-month pilot project to be completed not later than June 30, 64296
2009, for energy price risk management by entering into a contract 64297
with a qualified provider of energy risk management services. The 64298
contract may include rate analysis, negotiation services, market 64299
and regulatory analysis, budget and financial analysis, and 64300
mitigation strategies for volatile energy sources, including 64301
natural gas, gasoline, oil, and diesel fuel, but shall not include 64302
energy procurement and shall not subject more than thirty per cent 64303
of the Department's annual energy needs to the risk management 64304
services. The Director shall select the energy risk management 64305
services provider through a qualifications-based selection 64306
process, subject to Controlling Board approval. The contract shall 64307
specify that the Department may share the analysis and services of 64308
the energy risk management services provider with all state 64309
agencies and operations. The Director may use revenues from the 64310
state motor vehicle fuel tax or other funds appropriated by the 64311
General Assembly for the pilot project to pay amounts due under 64312
the contract and shall deposit any amounts received under the 64313
contract into the Highway Operating Fund created under section 64314
5735.291 of the Revised Code.64315

       Section 757.01. Every two years during biennial budget 64316
deliberations, the Tax Commissioner shall review the percentage of 64317
the total price of electricity that is indicated under division 64318
(C)(2) of section 5727.81 of the Revised Code, as amended by this 64319
act. Such review shall include a consideration of the fluctuations 64320
in the price of electricity that have occurred in the most recent 64321
two fiscal years and other factors influencing the economy of the 64322
state.64323

       Section 757.03. (A) Beginning in July 2007 and ending in 64324
November 2007, on or before the seventh day of each month, the Tax 64325
Commissioner shall determine and certify to the Director of Budget 64326
and Management the amount to be credited from each tax source 64327
under divisions (B), (C), and (D) of this section to the Local 64328
Government Fund, the Library and Local Government Support Fund, 64329
and the Local Government Revenue Assistance Fund.64330

       (B) Notwithstanding sections 5727.45, 5727.84, 5733.12, 64331
5739.21, 5741.03, and 5747.03 of the Revised Code or any other 64332
provision of law to the contrary, for each month in the period 64333
beginning July 1, 2007, and ending November 30, 2007, tax revenues 64334
credited to the Local Government Fund, the Library and Local 64335
Government Support Fund, and the Local Government Revenue 64336
Assistance Fund under those sections shall instead be credited as 64337
follows:64338

       (1) An amount shall first be credited to the Local Government 64339
Fund as prescribed under division (C) of this section;64340

       (2) An amount shall next be credited to the Local Government 64341
Revenue Assistance Fund as prescribed under division (C) of this 64342
section;64343

       (3) An amount shall next be credited to the Library and Local 64344
Government Support Fund as prescribed under division (D) of this 64345
section.64346

       (C) Receipts from the corporation franchise, sales and use, 64347
public utility excise, kilowatt-hour, and personal income taxes 64348
shall be credited to the Local Government Fund and the Local 64349
Government Revenue Assistance Fund as follows:64350

       (1) In July 2007, the amount that was credited in July 2006;64351

       (2) In August 2007, the amount that was credited in August 64352
2006;64353

       (3) In September 2007, the amount that was credited in 64354
September 2006;64355

       (4) In October 2007, the amount that was credited in October 64356
2006;64357

       (5) In November 2007, the amount that was credited in 64358
November 2006.64359

       (D) Receipts from the personal income tax shall be credited 64360
to the Library and Local Government Support Fund as follows:64361

       (1) In July 2007, the amount that was credited in July 2006;64362

       (2) In August 2007, the amount that was credited in August 64363
2006;64364

       (3) In September 2007, the amount that was credited in 64365
September 2006;64366

       (4) In October 2007, the amount that was credited in October 64367
2006;64368

       (5) In November 2007, the amount that was credited in 64369
November 2006.64370

       (E)(1) To the extent the amounts required to be credited to 64371
the Local Government Fund, the Library and Local Government 64372
Support Fund, and the Local Government Revenue Assistance Fund 64373
under divisions (C) and (D) of this section exceed the amounts 64374
that otherwise would have been credited to those funds under 64375
sections 5727.45, 5727.84, 5733.12, 5739.21, 5741.03, and 5747.03 64376
of the Revised Code, amounts required to be credited to the 64377
General Revenue Fund under those sections shall be reduced 64378
accordingly.64379

       (2) To the extent the amounts required to be credited to the 64380
Local Government Fund, the Library and Local Government Support 64381
Fund, and the Local Government Revenue Assistance Fund under 64382
divisions (C) and (D) of this section are less than the amounts 64383
that otherwise would have been credited to those funds under 64384
sections 5727.45, 5727.84, 5733.12, 5739.21, 5741.03, and 5747.03 64385
of the Revised Code, amounts required to be credited to the 64386
General Revenue Fund under those sections shall be increased 64387
accordingly.64388

       (F) The total amount credited each month under this section 64389
to the Local Government Fund, the Library and Local Government 64390
Support Fund, and the Local Government Revenue Assistance Fund 64391
shall be distributed on or before the tenth day of the immediately 64392
succeeding month as follows:64393

       (1) Each county undivided Local Government Fund shall receive 64394
a distribution from the Local Government Fund that is based upon 64395
its proportionate share of the total amount received by it from 64396
the fund in the same month during the preceding calendar year.64397

       (2) Each municipal corporation receiving a direct 64398
distribution from the Local Government Fund shall receive a 64399
distribution that is based upon its proportionate share of the 64400
total amount received by it from the fund in the same month during 64401
the preceding calendar year.64402

       (3) Each county undivided Local Government Revenue Assistance 64403
Fund shall receive a distribution from the Local Government 64404
Revenue Assistance Fund that is based upon its proportionate share 64405
of the total amount received by it from the fund in the same month 64406
during the preceding calendar year.64407

       (4) Each county undivided Library and Local Government 64408
Support Fund shall receive a distribution from the Library and 64409
Local Government Support Fund that is based upon its proportionate 64410
share of the total amount received by it from the fund in the same 64411
month during the preceding calendar year.64412

       (G) Distributions shall not be made in accordance with 64413
sections 5747.47 and 5747.50 of the Revised Code until January 1, 64414
2008.64415

       (H) Notwithstanding section 5747.47 of the Revised Code, the 64416
Tax Commissioner is not required to issue the certification 64417
required by that section to be made in December 2007 for calendar 64418
year 2007. The Tax Commissioner may, as the Commissioner considers 64419
appropriate, provide to each county auditor additional revised 64420
estimates or other information relating to distributions in 2007, 64421
2008, or 2009 at any time during the period beginning July 1, 64422
2007, and ending June 30, 2009.64423

       (I)(1) Notwithstanding division (A) of section 131.51 of the 64424
Revised Code, on or before January 5, 2008, the Director of Budget 64425
and Management shall credit to the Local Communities Fund an 64426
amount equal to three and sixty-eight one-hundredths per cent of 64427
total tax revenues credited to the General Revenue Fund during 64428
December 2007. In determining the total tax revenues credited to 64429
the General Revenue Fund during that month, transfers made from 64430
the General Revenue Fund during that month to the Local Government 64431
Fund, the Local Government Revenue Assistance Fund, and the 64432
Library and Local Government Support Fund shall be disregarded. 64433
Moneys credited to the Local Communities Fund under division 64434
(I)(1) of this section shall be distributed in January 2008 in 64435
accordance with section 5747.50 of the Revised Code.64436

       (2) Notwithstanding division (B) of section 131.51 of the 64437
Revised Code, on or before January 5, 2008, the Director of Budget 64438
and Management shall credit to the Local Libraries Fund an amount 64439
equal to two and twenty-two one-hundredths per cent of total tax 64440
revenues credited to the General Revenue Fund during December 64441
2007. In determining the total tax revenues credited to the 64442
General Revenue Fund during that month, transfers made from the 64443
General Revenue Fund during that month to the Local Government 64444
Fund, the Local Government Revenue Assistance Fund, and the 64445
Library and Local Government Support Fund shall be disregarded. 64446
Moneys credited to the Local Libraries Fund under division (I)(2) 64447
of this section shall be distributed in January 2008 in accordance 64448
with section 5747.47 of the Revised Code.64449

       Section 757.04. Notwithstanding sections 5747.46 and 5747.47 64450
of the Revised Code or any other provision of law to the contrary, 64451
a county's actual Library and Local Government Support Fund total 64452
entitlement for the 2007 distribution year shall equal the amount 64453
that was distributed to the county's Library and Local Government 64454
Support Fund from the Library and Local Government Support Fund 64455
during the 2007 calendar year. Each county's resulting calendar 64456
year 2007 Library and Local Government Support Fund entitlement 64457
shall be used by the Tax Commissioner for purposes of determining 64458
the guaranteed share of the Local Libraries Fund in section 64459
5747.46 of the Revised Code for the 2008 distribution year and 64460
shall be used by the Commissioner in making:64461

       (A) The calendar year 2008 estimated entitlements of the 64462
Local Libraries Fund required by section 5747.47 of the Revised 64463
Code to be certified to county auditors in July 2007, December 64464
2007, and June 2008; and64465

       (B) The calendar year 2008 actual Local Libraries Fund 64466
entitlement computations required by section 5747.47 of the 64467
Revised Code to be certified to county auditors in December 2008.64468

       Section 757.05. The General Assembly recognizes that some 64469
qualifying taxpayers are authorized to claim the credit against 64470
the commercial activity tax under section 5751.53 of the Revised 64471
Code for disallowed Ohio net operating loss deductions, and that 64472
some qualifying taxpayers are not authorized to claim that credit 64473
as that section currently exists, depending on whether the 64474
taxpayer was able to record deferred tax items on its books and 64475
records and comply with the requirements of division (D) of that 64476
section. The General Assembly further recognizes that the credits 64477
authorized under section 5751.53 of the Revised Code may not be 64478
claimed until 2010. Therefore, the General Assembly declares that 64479
it intends to consider, in consultation with the Governor, whether 64480
eligibility to claim the credit by qualifying taxpayers shall be 64481
modified before the initial credit may be claimed in 2010, with a 64482
view to extending eligibility to qualifying taxpayers not able to 64483
claim the credits under the terms of that section as it currently 64484
exists.64485

        Any term used in this section has the same meaning as in 64486
section 5751.53 of the Revised Code.64487

       Section 757.07. For tax years 2007 and thereafter, telephone, 64488
telegraph, and interexchange telecommunications companies, as 64489
defined in section 5727.01 of the Revised Code, shall list taxable 64490
property at the percentage of true value required in Chapter 5711. 64491
of the Revised Code. For purposes of assigning taxable valuation 64492
to each taxing district for those years, the Tax Commissioner 64493
shall continue to use the apportionment provisions of Chapter 64494
5727. of the Revised Code. However, such property shall be listed 64495
by the county auditor and certified to the county treasurer for 64496
collection under the provisions applicable to the general tax list 64497
of personal property and not upon the tax list and duplicate of 64498
real and public utility personal property.64499

       Section 757.08. Resolutions adopted by a board of township 64500
trustees of a limited home rule township pursuant to Chapter 504. 64501
and section 5709.73 of the Revised Code in December 2005 are 64502
hereby deemed to have had an immediate effective date if the board 64503
unanimously adopts a resolution so declaring.64504

       Section 757.10. The Department of Administrative Services, in 64505
conjunction with the Department of Taxation, may acquire the State 64506
Taxation Revenue and Accounting System (STARS) pursuant to Chapter 64507
125. of the Revised Code, including, but not limited to, the 64508
application software and installation and implementation thereof, 64509
for the use of the Department of Taxation. STARS is an integrated 64510
tax collection and audit system that will replace all of the 64511
state's existing separate tax software and administration systems 64512
for the various taxes collected by the state. Any lease-purchase 64513
arrangement used under Chapter 125. of the Revised Code to acquire 64514
STARS, including any fractionalized interests therein as defined 64515
in division (N) of section 133.01 of the Revised Code, must 64516
provide that at the end of the lease period, STARS becomes the 64517
property of the state.64518

       Section 757.20.  (A)(1) The county auditor of each county 64519
that is included in whole or in part in the Muskingum Watershed 64520
Conservancy District shall include with the second half tax bill 64521
that is required to be mailed in 2007 in accordance with section 64522
323.13 of the Revised Code the notice that is required to be 64523
prepared under division (A)(2) of this section. The notice shall 64524
be included in the second half tax bill of each person on the tax 64525
duplicate whose property is located in the Muskingum Watershed 64526
Conservancy District and subject to the maintenance assessment 64527
referred to in division (A)(2) of this section. The notice shall 64528
be included with the second half tax bill notwithstanding division 64529
(D) of section 323.131 of the Revised Code.64530

       (2) The board of directors of the Muskingum Watershed 64531
Conservancy District shall prepare written notification of the 64532
maintenance assessment to be levied by the District under section 64533
6111.53 of the Revised Code that is scheduled to begin collection 64534
in calendar year 2008. The notification shall be prepared for 64535
inclusion in the 2007 second half tax bill of each person that is 64536
required to receive the notification under division (A)(1) of this 64537
section. For each person receiving a second half tax bill in 2007 64538
and required to receive the notification under that division, the 64539
notification shall include a statement that the District intends 64540
to levy the maintenance assessment and shall include an indication 64541
of the amount of the assessment that is applicable to that person. 64542
The board of directors shall take whatever actions are necessary 64543
and work with each applicable county auditor to ensure that the 64544
notifications are included with the second half tax bills as 64545
required by this section.64546

       (B) With respect to persons that will be subject to the 64547
maintenance assessment to be levied by the Muskingum Watershed 64548
Conservancy District under section 6111.53 of the Revised Code 64549
that is scheduled to begin collection in calendar year 2008, but 64550
that do not receive a second half tax bill in 2007 or that do not 64551
otherwise receive the notification that is required to be included 64552
in the tax bill under division (A) of this section, the board of 64553
directors of the District shall cause to be sent by United States 64554
mail a notification of the assessment. The contents of the 64555
notification shall be the same as those that are specified for the 64556
notification that is required under division (A) of this section. 64557
The notification shall be sent not later than one hundred twenty 64558
days prior to the date on which the maintenance assessment is 64559
effective.64560

       (C) If the board of directors of the Muskingum Watershed 64561
Conservancy District fails to comply with divisions (A) and (B) of 64562
this section, the maintenance assessment that is scheduled to 64563
begin collection in calendar year 2008 shall not be collected. 64564
However, the board of directors subsequently may collect the 64565
maintenance assessment if the board gives notification of the 64566
maintenance assessment to every person that is required to receive 64567
the notification under divisions (A) and (B) of this section. The 64568
notification shall include the information that is required to be 64569
included under division (A)(2) of this section.64570

       Section 803.03. The amendment by this act of sections 64571
3119.022, 3119.023, 3119.29, and 3119.30 of the Revised Code first 64572
applies on February 1, 2008, or on the effective date of 64573
regulations defining "reasonable cost" issued by the United States 64574
Secretary of Health and Human Services, whichever is later.64575

       Section 803.06. (A) The amendment by this act of sections 64576
323.151, 323.152, 323.153, and 323.154 of the Revised Code does 64577
not take effect until the tax year that includes the day the 64578
Director of Budget and Management certifies to the Governor, the 64579
Speaker of the House of Representatives, the Minority Leader of 64580
the House of Representatives, the President of the Senate, and the 64581
Minority Leader of the Senate, either of the following:64582

        (1) That there is sufficient revenue to the credit of one or 64583
more funds in the state treasury, not otherwise appropriated or 64584
encumbered, to make the additional property tax reimbursements 64585
required by the amendment by this act of those sections and 64586
sections 4503.064, 4503.065, 4503.066, and 4503.067 of the Revised 64587
Code.64588

        (2) That, at the time such additional property tax 64589
reimbursements are required to be made under section 323.156 or 64590
4503.068 of the Revised Code, there will be sufficient revenue, 64591
currently in the process of collection and not otherwise 64592
appropriated or encumbered, to the credit of one or more funds of 64593
the state treasury and available to make such additional 64594
reimbursements.64595

        (B) The amendment by this act of sections 4503.064, 4503.065, 64596
4503.066, and 4503.067 of the Revised Code does not apply until 64597
the tax year next ensuing the tax year the amendment of sections 64598
323.151, 323.152, 323.153, and 323.154 of the Revised Code applies 64599
in accordance with division (A) of this section.64600

        (C) For any tax years before the first tax year the 64601
amendments referred to in divisions (A) and (B) of this section 64602
apply, the sections as they existed before the effective date of 64603
those amendments shall apply.64604

       Section 803.09. The amendment or enactment by this act of 64605
section 4505.06, division (B)(23) of section 5739.02, and sections 64606
5739.029, 5739.033, and 5739.213 of the Revised Code apply to 64607
sales described in division (A) of section 5739.029 of the Revised 64608
Code on or after August 1, 2007.64609

       Section 806.03. The sections and items of law contained in 64610
this act, and their applications, are severable. If any section or 64611
item of law contained in this act, or if any application of any 64612
section or item of law contained in this act, is held invalid, the 64613
invalidity does not affect other sections or items of law 64614
contained in this act and their applications that can be given 64615
effect without the invalid section or item of law or application.64616

       Section 809.03. An item of law, other than an amending, 64617
enacting, or repealing clause, that composes the whole or part of 64618
an uncodified section contained in this act has no effect after 64619
June 30, 2009, unless its context clearly indicates otherwise.64620

       Section 812.03. Except as otherwise specifically provided in 64621
this act, the codified sections of law amended or enacted in this 64622
act, and the items of law of which the codified sections of law 64623
amended or enacted in this act are composed, are subject to the 64624
referendum. Therefore, under Ohio Constitution, Article II, 64625
Section 1c and section 1.471 of the Revised Code, the codified 64626
sections of law amended or enacted by this act, and the items of 64627
law of which the codified sections of law as amended or enacted by 64628
this act are composed, take effect on the ninety-first day after 64629
this act is filed with the Secretary of State. If, however, a 64630
referendum petition is filed against any such codified section of 64631
law as amended or enacted by this act, or against any item of law 64632
of which any such codified section of law as amended or enacted by 64633
this act is composed, the codified section of law as amended or 64634
enacted, or item of law, unless rejected at the referendum, takes 64635
effect at the earliest time permitted by law.64636

       Section 812.06. Except as otherwise specifically provided in 64637
this act, the repeal by this act of a codified section of law is 64638
subject to the referendum. Therefore, under Ohio Constitution, 64639
Article II, Section 1c and section 1.471 of the Revised Code, the 64640
repeal by this act of a codified section of law takes effect on 64641
the ninety-first day after this act is filed with the Secretary of 64642
State. If, however, a referendum petition is filed against any 64643
such repeal, the repeal, unless rejected at the referendum, takes 64644
effect at the earliest time permitted by law.64645

       Section 812.09. The sections of law amended, enacted, or 64646
repealed by this act that are listed in this section are subject 64647
to the referendum. Therefore, under Ohio Constitution, Article II, 64648
Section 1c and section 1.471 of the Revised Code, the sections, 64649
and the items of law of which they are composed, take effect as 64650
specified in this section. If, however, a referendum petition is 64651
filed against any such section as amended, enacted, or repealed, 64652
or against any item of law of which any such section as amended or 64653
enacted is composed, the section as amended, enacted, or repealed 64654
goes into effect at the earliest time permitted by law that is on 64655
or after the effective date specified in this section.64656

       Section 5111.014 of the Revised Code takes effect January 1, 64657
2008.64658

       Section 812.12. Uncodified sections of law amended or enacted 64659
in this act, and items of law contained within the uncodified 64660
sections of law amended or enacted in this act, that are marked 64661
with an asterisk are subject to the referendum. Therefore, under 64662
Ohio Constitution, Article II, Section 1c and section 1.471 of the 64663
Revised Code, the uncodified sections and items of law marked with 64664
an asterisk take effect on the ninety-first day after this act is 64665
filed with the Secretary of State. If, however, a referendum 64666
petition is filed against an uncodified section or item of law 64667
marked with an asterisk, the uncodified section or item of law 64668
marked with an asterisk, unless rejected at the referendum, takes 64669
effect at the earliest time permitted by law.64670

       If the amending and existing repeal clauses commanding the 64671
amendment of an uncodified section of law are both marked with 64672
asterisks, the uncodified section as amended is deemed also to 64673
have been marked with an asterisk.64674

       An asterisk marking an uncodified section or item of law has 64675
the form*.64676

       This section defines the meaning and form of, but is not 64677
itself to be considered marked with, an asterisk.64678

       Section 815.03. The sections of law amended or enacted by 64679
this act that are listed in this section, and the items of law of 64680
which such sections as amended or enacted by this act are 64681
composed, are not subject to the referendum. Therefore, under Ohio 64682
Constitution, Article II, Section 1d and section 1.471 of the 64683
Revised Code, such sections as amended or enacted by this act, and 64684
the items of law of which such sections as amended or enacted by 64685
this act are composed, go into immediate effect when this act 64686
becomes law.64687

       Sections 109.57, 122.051, 122.071, 122.076, 122.17, 122.171, 64688
122.174, 122.602, 124.152, 126.16, 126.24, 126.40, 127.16, 173.35, 64689
183.01, 183.021, 183.17, 183.33, 183.34, 183.35, 183.51, 183.52, 64690
1503.05, 1713.031, 2927.023, 3109.04, 3109.041, 3119.022, 64691
3119.023, 3119.29, 3119.30, 3301.0711, 3310.51, 3310.52, 3310.53, 64692
3310.54, 3310.55, 3310.56, 3310.57, 3310.58, 3310.59, 3310.60, 64693
3310.61, 3310.62, 3310.63, 3313.615, 3313.98, 3314.015, 3314.016, 64694
3314.02, 3314.074, 3314.08, 3314.087, 3314.19, 3314.26, 3317.01, 64695
3317.012, 3317.013, 3317.014, 3317.015, 3317.016, 3317.017, 64696
3317.021, 3317.022, 3317.023, 3317.024, 3317.025, 3317.029, 64697
3317.0216, 3317.0217, 3317.03, 3317.04, 3317.08, 3317.16, 3317.20, 64698
3317.201, 3318.12, 3323.052, 3333.55, 3365.01, 3701.135, 3702.68 64699
(3702.59), 3704.03, 3704.14, 3721.51, 3721.541, 3721.56, 3735.672, 64700
4301.43, 4503.10, 4513.263, 4723.621, 4723.63, 4723.64, 4723.65, 64701
4723.66, 4743.05, 4766.05, 4775.08, 5101.802, 5101.98, 5104.30, 64702
5111.871, 5111.8814, 5112.341, 5123.01, 5123.033, 5123.045, 64703
5123.0414, 5123.0415, 5123.051, 5123.16, 5123.161, 5123.162, 64704
5123.163, 5123.164, 5123.165, 5123.166, 5123.167, 5123.168, 64705
5123.169, 5123.19, 5123.196, 5123.198, 5123.20, 5123.211, 5123.38, 64706
5123.41, 5123.51, 5123.605, 5123.99, 5126.11, 5126.12, 5126.15, 64707
5126.19, 5126.25, 5126.40, 5126.42, 5126.43, 5126.45, 5126.47, 64708
5709.68, 5747.46, 5747.47, 5747.50, 5747.501, 5747.51, 5747.52, 64709
5747.53, 5747.54, 5747.55, 5751.21, 5907.15, 5907.16, and 64710
6111.0381 of the Revised Code.64711

       Section 815.06. The repeal by this act of the sections of law 64712
listed in this section is not subject to the referendum. 64713
Therefore, under Ohio Constitution, Article II, Section 1d and 64714
section 1.471 of the Revised Code, the repeals go into immediate 64715
effect when this act becomes law.64716

       Sections 183.02, 183.27, 183.32, 5123.16, 5123.182, 5123.199, 64717
5126.053, 5126.431, 5126.44, 5126.451, 5747.61, 5747.62, and 64718
5747.63 of the Revised Code.64719

       The version of section 3702.68 of the Revised Code that was 64720
scheduled to take effect July 1, 2007.64721

       Section 815.09. The sections of law amended, enacted, or 64722
repealed by this act that are listed in this section are not 64723
subject to the referendum. Therefore, under Ohio Constitution, 64724
Article II, Section 1d and section 1.471 of the Revised Code, the 64725
sections as amended, enacted, or repealed, and the items of law of 64726
which as amended or enacted they are composed, go into effect as 64727
specified in this section.64728

       Sections 126.04, 5123.047, 5123.048, 5123.049, 5123.0411, 64729
5123.0416, 5126.054, 5126.056, 5126.059, 5126.0510, 5126.0512, and 64730
5705.44 of the Revised Code take effect July 1, 2007.64731

       The version of section 127.16 of the Revised Code that is 64732
scheduled to take effect July 1, 2007, takes effect July 1, 2007.64733

       Sections 340.03 and 5119.611 of the Revised Code take effect 64734
July 1, 2007.64735

       Sections 5727.45, 5727.84, 5733.12, 5739.21, 5741.03, and 64736
5747.03 of the Revised Code take effect December 1, 2007.64737

       Sections 118.01, 118.08, 118.17, 118.20, 118.23, 127.14, 64738
131.44, 131.51, 133.10, 133.25, 135.35, 135.352, 152.31, 164.05, 64739
164.051, 307.021, 307.6910, 321.08, 709.191, 742.301, 3375.05, 64740
3375.121, 3375.40, 3375.85, 4123.35, 5139.27, 5139.271, 5705.28, 64741
5705.281, 5705.29, 5705.30, 5705.31, 5705.32, 5705.321, 5705.37, 64742
5709.882, 5715.36, 5719.041, 5725.151, 5725.24, 5747.48, and 64743
6121.043 of the Revised Code take effect January 1, 2008.64744

       Section 815.12. Except as otherwise specifically provided in 64745
this act, the uncodified sections of law amended or enacted in 64746
this act, and the items of law of which the uncodified sections of 64747
law amended or enacted in this act are composed, are not subject 64748
to the referendum. Therefore, under Ohio Constitution, Article II, 64749
Section 1d and section 1.471 of the Revised Code, the uncodified 64750
sections of law amended or enacted in this act, and the items of 64751
law of which the uncodified sections of laws amended or enacted in 64752
this act are composed, go into immediate effect when this act 64753
becomes law.64754

       Section 818.03. The amendment or enactment by this act of the 64755
sections of law listed in this section provides for or is 64756
essential to implementation of a tax levy. Therefore, under Ohio 64757
Constitution, Article II, Section 1d, the amendments and 64758
enactments, and the items of which they are composed, are not 64759
subject to the referendum and go into immediate effect when this 64760
act becomes law.64761

       Sections 133.01, 319.202, 319.54, 322.01, 323.151, 323.152, 64762
323.153, 323.154, 325.31, 1548.06, 4503.06, 4503.061, 4503.064, 64763
4503.065, 4503.066, 4503.067, 4505.06, 4519.55, 5739.02, 5739.029, 64764
5739.033, 5739.12, 5739.213, 5741.02, 5743.01, 5743.20, 5743.331, 64765
5745.02, 5745.05, 5745.13, 5748.01, 5748.02, 5748.021, 5748.022, 64766
5748.04, 5748.08, and 5751.23 of the Revised Code.64767

       Section 821.06. (A) Except as otherwise provided in division 64768
(B) of this section, the amendments by this act to section 3317.02 64769
of the Revised Code are not subject to the referendum. Therefore, 64770
under Ohio Constitution, Article II, Section 1d and section 1.471 64771
of the Revised Code, the amendments go into immediate effect.64772

       (B) The amendment to section 3317.02 of the Revised Code that 64773
substitutes the term "state education aid" for the term "SF-3 64774
payment" is subject to the referendum. Therefore, under Ohio 64775
Constitution, Article II, Section 1c and section 1.471 of the 64776
Revised Code, the amendment takes effect on the ninety-first day 64777
after this act is filed with the Secretary of State. If, however, 64778
a referendum petition is filed against the amendment, the 64779
amendment, unless rejected at the referendum, takes effect at the 64780
earliest time permitted by law.64781

       Section 821.12. (A) Except as otherwise provided in division 64782
(B) of this section, the amendments by this act to section 5111.20 64783
of the Revised Code are subject to the referendum. Therefore, 64784
under Ohio Constitution, Article II, Section 1c and section 1.471 64785
of the Revised Code, the amendments take effect on the 64786
ninety-first day after this act is filed with the Secretary of 64787
State. If, however, a referendum petition is filed against the 64788
amendments, the amendments, unless rejected at the referendum, 64789
take effect at the earliest time permitted by law.64790

       (B) The amendment to division (H)(3)(a) of section 5111.20 of 64791
the Revised Code is not subject to the referendum. Therefore, 64792
under Ohio Constitution, Article II, Section 1d and section 1.471 64793
of the Revised Code, the amendment goes into immediate effect.64794

       Section 821.13. (A) Except as otherwise provided in division 64795
(B) of this section, the amendments by this act to section 64796
5126.046 of the Revised Code are not subject to the referendum. 64797
Therefore, under Ohio Constitution, Article II, Section 1d and 64798
section 1.471 of the Revised Code, the amendments go into 64799
immediate effect.64800

       (B) The amendments to division (A) and the third paragraph of 64801
division (B) of section 5126.046 of the Revised Code are not 64802
subject to the referendum. Therefore, under Ohio Constitution, 64803
Article II, Section 1d and section 1.471 of the Revised Code, the 64804
amendments take effect July 1, 2007.64805

       Section 821.15. (A) Except as otherwise provided in division 64806
(B) of this section, the amendments by this act to section 64807
5126.055 of the Revised Code are subject to the referendum. 64808
Therefore, under Ohio Constitution, Article II, Section 1c and 64809
section 1.471 of the Revised Code, the amendments take effect on 64810
the ninety-first day after this act is filed with the Secretary of 64811
State. If, however, a referendum petition is filed against the 64812
amendments, the amendments, unless rejected at the referendum, 64813
take effect at the earliest time permitted by law.64814

       (B) The amendment to section 5126.055 of the Revised Code 64815
that strikes through "5123.16" and inserts "5123.161" is not 64816
subject to the referendum. Therefore, under Ohio Constitution, 64817
Article II, Section 1d and section 1.471 of the Revised Code, the 64818
amendment goes into immediate effect.64819

       Section 821.16. (A) Except as otherwise provided in division 64820
(B) of this section, the amendments by this act to section 64821
5126.057 (5126.0511) of the Revised Code are not subject to the 64822
referendum. Therefore, under Ohio Constitution, Article II, 64823
Section 1d and section 1.471 of the Revised Code, the amendments 64824
take effect July 1, 2007.64825

       (B) The amendments to relettered division (A)(2) and (A)(4) 64826
of section 5126.057 of the Revised Code are not subject to the 64827
referendum. Therefore, under Ohio Constitution, Article II, 64828
Section 1d and section 1.471 of the Revised Code, the amendments 64829
go into immediate effect.64830

       Section 821.17.  (A) Except as otherwise provided in division 64831
(B) of this section, the amendments by this act to section 5126.18 64832
of the Revised Code are not subject to the referendum. Therefore, 64833
under Ohio Constitution, Article II, Section 1d and section 1.471 64834
of the Revised Code, the amendments go into immediate effect.64835

       (B) The amendments to division (H) of section 5126.18 of the 64836
Revised Code are not subject to the referendum. Therefore, under 64837
Ohio Constitution, Article II, Section 1d and section 1.471 of the 64838
Revised Code, the amendments take effect July 1, 2007.64839

       Section 821.18. (A) Except as otherwise provided in division 64840
(B) of this section, the amendments by this act to section 5727.87 64841
of the Revised Code provide for or are essential to implementation 64842
of a tax levy. Therefore, under Ohio Constitution, Article II, 64843
Section 1d, the amendments are not subject to the referendum and 64844
go into immediate effect when this act becomes law.64845

       (B) The amendment to division (A)(2)(b) of section 5727.87 of 64846
the Revised Code is subject to the referendum. Therefore, under 64847
Ohio Constitution, Article II, Section 1c and section 1.471 of the 64848
Revised Code, the amendment takes effect on the ninety-first day 64849
after this act is filed with the Secretary of State. If, however, 64850
a referendum petition is filed against the amendment, the 64851
amendment, unless rejected at the referendum, takes effect at the 64852
earliest time permitted by law.64853

       Section 821.21. If the amendment or enactment in this act of 64854
a codified or uncodified section of law is subject to the 64855
referendum, the corresponding indications in the amending, 64856
enacting, or existing repeal clauses commanding the amendment or 64857
enactment also are subject to the referendum, along with the 64858
amendment or enactment. If the amendment or enactment by this act 64859
of a codified or uncodified section of law is not subject to the 64860
referendum, the corresponding indications in the amending, 64861
enacting, or existing repeal clauses commanding the amendment or 64862
enactment also are not subject to the referendum, the same as the 64863
amendment or enactment.64864

       Section 824.03. The General Assembly, applying the principle 64865
stated in division (B) of section 1.52 of the Revised Code that 64866
amendments are to be harmonized if reasonably capable of 64867
simultaneous operation, finds that the following sections, 64868
presented in this act as composites of the sections as amended by 64869
the acts indicated, are the resulting versions of the sections in 64870
effect prior to the effective date of the sections as presented in 64871
this act:64872

       Section 109.572 of the Revised Code as amended by both Am. 64873
Sub. S.B. 185 and Am. Sub. S.B. 238 of the 126th General Assembly.64874

        Section 111.18 of the Revised Code as amended by both Am. 64875
Sub. H.B. 94 and Am. Sub. S.B. 74 of the 124th General Assembly.64876

        Section 323.153 of the Revised Code as amended by both Am. 64877
H.B. 595 and Am. Sub. H.B. 672 of the 123rd General Assembly.64878

        Section 711.131 of the Revised Code as amended by both Sub. 64879
H.B. 231 and Sub. S.B. 115 of the 125th General Assembly.64880

       Section 2921.42 of the Revised Code as amended by both Sub. 64881
H.B. 150 and Am. Sub. H.B. 285 of the 120th General Assembly.64882

        Section 3301.0714 of the Revised Code as amended by Am. Sub. 64883
H.B. 79, Am. Sub. H.B. 137, Am. Sub. H.B. 276, and Am. Sub. H.B. 64884
530 of the 126th General Assembly.64885

        Section 3313.64 of the Revised Code as amended Am. Sub. H.B. 64886
137, Am. Sub. H.B. 530, Sub. S.B. 164, and Am. Sub. S.B. 238 of64887
the 126th General Assembly.64888

        Section 3317.03 of the Revised Code as amended by both Am. 64889
Sub. H.B. 79 and Am. Sub. H.B. 699 of the 126th General Assembly.64890

        Section 5107.05 of the Revised Code as amended by Am. Sub. 64891
H.B. 283, H.B. 471, and Sub. S.B. 245, all of the 123rd General 64892
Assembly, and Am. Sub. H.B. 66 of the 126th General Assembly.64893

        Section 5705.31 of the Revised Code as amended by both Sub. 64894
H.B. 129 and Am. Sub. S.B. 5 of the 124th General Assembly.64895

        Section 5748.01 of the Revised Code as amended by both Sub. 64896
H.B. 73 and Am. Sub. H.B. 699 of the 126th General Assembly.64897

        Section 5748.02 of the Revised Code as amended by both Am. 64898
Sub. H.B. 3 and Am. Sub. H.B. 530 of the 126th General Assembly.64899

       The finding in this section takes effect at the same time as 64900
the section referenced in the finding takes effect.64901