As Reported by the House Finance and Appropriations Committee

127th General Assembly
Regular Session
2007-2008
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 



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, 3702.68, 108
3718.01, 3718.02, 3718.021, 3718.03, 3718.04, 109
3718.05, 3718.06, 3718.07, 3718.08, 3718.09, 110
3718.10, 3718.99, 4911.021, 5111.161, 5123.16, 111
5123.182, 5123.199, 5126.035, 5126.036, 5126.053, 112
5126.431, 5126.44, 5126.451, 5747.61, 5747.62, 113
5747.63, and 6111.441 of the Revised Code; to 114
amend Section 310.10 of Am. Sub. H.B. 67 of the 115
127th General Assembly; to amend Section 252.70 of 116
Am. Sub. H.B. 530 of the 126th General Assembly, 117
to amend Section 153 of Am. Sub. H.B. 117 of the 118
121st General Assembly, as subsequently amended, 119
to amend the version of section 127.16 of the 120
Revised Code that is scheduled to take effect July 121
1, 2007, and to repeal the version of section 122
3702.68 of the Revised Code that was to have taken 123
effect July 1, 2007, to make operating 124
appropriations for the biennium beginning July 1, 125
2007, and ending June 30, 2009, and to provide 126
authorization and conditions for the operation of 127
state programs; to confirm and order 128
implementation of sections 9.833, 9.90, 3311.19, 129
3313.12, 3313.202, 3313.33, 4117.03, and 4117.08 130
and to confirm and order complete implementation 131
of section 9.901 of the Revised Code as the 132
sections result from Am. Sub. H.B. 66 of the 126th 133
General Assembly; to repeal Section 611.03 of Am. 134
Sub. H.B. 66 of the 126th General Assembly; and to 135
amend sections 9.90, 9.901, 3313.202, 3313.33, and 136
4117.03 of the Revised Code to make other 137
specifications pertaining to that implementation 138
as have become necessary; and to terminate 139
operation of section 5101.213 of the Revised Code 140
on July 1, 2008, by repealing the section on that 141
date.142


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, 143
107.12, 107.40, 109.57, 109.572, 109.93, 111.18, 118.01, 118.08, 144
118.17, 118.20, 118.23, 119.07, 120.33, 122.17, 122.171, 122.602, 145
124.152, 125.45, 125.93, 125.96, 125.97, 125.98, 126.07, 126.08, 146
126.16, 126.21, 126.22, 127.14, 127.16, 131.44, 133.01, 133.10, 147
133.25, 135.35, 135.352, 151.08, 151.40, 152.31, 156.02, 164.03, 148
164.05, 164.051, 164.08, 164.09, 166.08, 173.04, 173.35, 173.85, 149
173.86, 174.03, 174.06, 183.01, 183.021, 183.17, 183.33, 183.34, 150
183.35, 307.021, 307.37, 307.695, 307.6910, 307.98, 307.981, 151
308.04, 317.08, 319.202, 319.281, 319.54, 321.08, 322.01, 323.151, 152
323.152, 323.153, 323.154, 325.31, 329.04, 329.05, 329.14, 340.03, 153
505.376, 517.08, 521.01, 709.191, 711.05, 711.10, 711.131, 718.13, 154
742.301, 1503.05, 1504.02, 1506.01, 1506.99, 1521.01, 1521.20, 155
1521.21, 1521.22, 1521.23, 1521.24, 1521.25, 1521.26, 1521.27, 156
1521.28, 1521.29, 1521.99, 1531.06, 1531.35, 1548.06, 1555.08, 157
1557.03, 1901.34, 2151.362, 2913.40, 2921.42, 2927.023, 2935.03, 158
3109.04, 3109.041, 3119.022, 3119.023, 3119.27, 3119.29, 3119.30, 159
3125.12, 3301.0711, 3301.0714, 3301.53, 3302.03, 3302.10, 3311.24, 160
3313.41, 3313.603, 3313.615, 3313.64, 3313.646, 3313.66, 3313.661, 161
3313.98, 3314.015, 3314.02, 3314.074, 3314.08, 3314.26, 3317.01, 162
3317.012, 3317.013, 3317.014, 3317.015, 3317.016, 3317.017, 163
3317.02, 3317.021, 3317.022, 3317.023, 3317.024, 3317.025, 164
3317.026, 3317.027, 3317.028, 3317.029, 3317.0216, 3317.0217, 165
3317.03, 3317.04, 3317.06, 3317.08, 3317.16, 3317.20, 3317.201, 166
3318.12, 3318.15, 3318.26, 3319.55, 3323.01, 3323.11, 3327.05, 167
3333.04, 3333.122, 3333.38, 3357.01, 3365.01, 3375.05, 3375.121, 168
3375.40, 3375.85, 3381.04, 3501.17, 3701.74, 3701.741, 3701.83, 169
3702.52, 3702.5211, 3702.5212, 3702.5213, 3702.57, 3702.68, 170
3704.03, 3704.14, 3705.24, 3709.09, 3709.091, 3721.51, 3721.541, 171
3721.56, 3734.57, 3735.672, 3745.11, 3769.087, 3770.03, 3770.06, 172
3905.36, 4123.35, 4141.09, 4301.43, 4503.06, 4503.061, 4503.064, 173
4503.065, 4503.066, 4503.067, 4503.10, 4503.102, 4503.35, 4505.06, 174
4513.263, 4513.35, 4519.55, 4715.251, 4717.07, 4723.621, 4723.63, 175
4723.64, 4723.65, 4723.66, 4731.142, 4731.22, 4736.01, 4743.05, 176
4755.03, 4766.05, 4775.08, 4921.40, 5101.162, 5101.21, 5101.211, 177
5101.212, 5101.213, 5101.24, 5101.242, 5101.244, 5101.51, 178
5101.571, 5101.572, 5101.58, 5101.59, 5101.802, 5101.98, 5104.30, 179
5107.02, 5107.03, 5107.05, 5107.10, 5107.12, 5107.14, 5107.16, 180
5107.17, 5107.281, 5107.30, 5107.36, 5107.41, 5107.42, 5111.01, 181
5111.014, 5111.016, 5111.019, 5111.0112, 5111.023, 5111.03, 182
5111.06, 5111.084, 5111.10, 5111.101, 5111.163, 5111.17, 5111.172, 183
5111.20, 5111.871, 5111.8814, 5111.891, 5111.95, 5111.96, 184
5112.341, 5115.12, 5119.611, 5123.01, 5123.043, 5123.045, 185
5123.047, 5123.048, 5123.049, 5123.0411, 5123.051, 5123.19, 186
5123.196, 5123.198, 5123.20, 5123.211, 5123.38, 5123.41, 5123.51, 187
5123.60, 5123.602, 5123.603, 5123.604, 5123.99, 5126.038, 188
5126.042, 5126.046, 5126.054, 5126.055, 5126.056, 5126.057, 189
5126.06, 5126.11, 5126.12, 5126.15, 5126.18, 5126.19, 5126.25, 190
5126.40, 5126.42, 5126.43, 5126.45, 5126.47, 5139.27, 5139.271, 191
5139.43, 5302.30, 5528.54, 5531.10, 5537.04, 5537.16, 5537.99, 192
5705.28, 5705.281, 5705.29, 5705.30, 5705.31, 5705.32, 5705.321, 193
5705.37, 5705.44, 5709.68, 5709.882, 5715.36, 5719.041, 5725.151, 194
5725.24, 5727.45, 5727.81, 5727.84, 5727.85, 5727.87, 5733.12, 195
5733.98, 5739.02, 5739.033, 5739.12, 5739.21, 5741.02, 5741.03, 196
5743.01, 5743.20, 5743.331, 5745.02, 5745.05, 5745.13, 5747.03, 197
5747.46, 5747.47, 5747.48, 5747.50, 5747.501, 5747.51, 5747.52, 198
5747.53, 5747.54, 5747.55, 5747.98, 5748.01, 5748.02, 5748.021, 199
5748.04, 5748.08, 5751.20, 5751.21, 5751.23, 5907.15, 6109.21, 200
6111.04, 6111.44, 6121.04, 6121.043, and 6131.23 be amended; 201
sections 1521.20 (1506.38), 1521.21 (1506.39), 1521.22 (1506.40), 202
1521.23 (1506.41), 1521.24 (1506.42), 1521.25 (1506.43), 1521.26 203
(1506.44), 1521.27 (1506.45), 1521.28 (1506.46), 1521.29 204
(1506.47), 1521.30 (1506.48), 3702.63 (3702.591), 3702.68 205
(3702.59), 5111.95 (5111.033), 5111.96 (5111.034), and 5126.057 206
(5126.0511) be amended for the purpose of adopting new section 207
numbers as indicated in parentheses; and new sections 3318.47 and 208
5123.16 and sections 122.051, 122.071, 122.076, 122.174, 126.04, 209
126.24, 126.40, 131.51, 183.51, 183.52, 901.261, 991.08, 1713.031, 210
3123.23, 3301.162, 3303.20, 3310.51, 3310.52, 3310.53, 3310.54, 211
3310.55, 3310.56, 3310.57, 3310.58, 3310.59, 3310.60, 3310.61, 212
3310.62, 3310.63, 3314.016, 3314.086, 3314.087, 3314.19, 3317.161, 213
3323.052, 3327.17, 3333.50, 3333.55, 3345.02, 3353.20, 3353.21, 214
3353.22, 3353.23, 3353.24, 3353.25, 3353.26, 3353.27, 3353.28, 215
3353.29, 3353.30, 3357.13, 3701.135, 4766.22, 4923.26, 5101.541, 216
5101.573, 5101.574, 5101.575, 5101.591, 5107.04, 5111.0119, 217
5111.028, 5111.029, 5111.031, 5111.032, 5111.085, 5111.102, 218
5111.165, 5111.84, 5111.861, 5123.033, 5123.0414, 5123.0415, 219
5123.0416, 5123.161, 5123.162, 5123.163, 5123.164, 5123.165, 220
5123.166, 5123.167, 5123.168, 5123.169, 5123.605, 5126.059, 221
5126.0510, 5126.0512, 5323.011, 5533.91, 5733.48, 5739.029, 222
5739.213, 5747.77, 5748.022, 5907.16, and 6111.0381 of the Revised 223
Code be enacted to read as follows:224

       Sec. 9.821.  (A) The department of administrative services225
shall direct and manage for state agencies all risk management and226
insurance programs authorized under section 9.822 of the Revised227
Code.228

       (B) The office of risk management is hereby established229
within the department of administrative services. The director of230
administrative services, or a deputy director appointed by the231
director, shall control and supervise the office.232

       (C) The office may take any of the following actions that it233
determines to be in the best interests of the state:234

       (1) Provide all insurance coverages for the state, including, 235
but not limited to, automobile liability, casualty, property, 236
public liability, and, except as provided in division (C)(6) of 237
this section, fidelity bond insurancebonding. The cost of238
insurance coverage shall be paid from appropriations made to the239
state agencies that the office has designated to receive the240
coverage.241

       (2) Provide coverage of legal expenses that are necessary and 242
related to the legal defense of claims against the state;243

       (3) Purchase insurance policies consistent with sections244
125.01 to 125.111 of the Revised Code, develop and administer245
self-insurance programs, or do both;246

       (4) Consolidate and combine state insurance coverages;247

       (5) Provide technical services in risk management and248
insurance to state agencies;249

       (6)(a) Establish and administer a self-insured fidelity bond250
program for a particular class or subclass of state officer,251
employee, or agent, if, prior to the establishment and252
administration of this program, the director does both of the253
following:254

       (i) Holds a hearing in accordance with Chapter 119. of the255
Revised Code to determine whether fidelity bond insurance for that256
particular class or subclass of state officer, employee, or agent257
is available in the voluntary market;258

       (ii) If, as a result of that hearing, the director determines 259
that fidelity bond insurance for a particular class or subclass of 260
state officer, employee, or agent is unavailable in the voluntary 261
market and that the absence of this insurance threatens the 262
operation of state government and will be detrimental to the 263
general welfare of the citizens of this state, adopts rules in 264
accordance with Chapter 119. of the Revised Code to establish 265
standards and procedures governing the establishment,266
administration, and termination of the fidelity bond program for267
that particular class or subclass of state officer, employee, or268
agent.269

       (b) Division (C)(6)(a) of this section does not apply to any270
self-insured blanket fidelity bond program that, on September 20,271
1993, has been established pursuant to section 9.831 of the272
Revised Code.273

       (7) Except as provided in division (C)(6) of this section,274
adoptAdopt and publish, in accordance with section 111.15 of the275
Revised Code, necessary rules and procedures governing the276
administration of the state's insurance and risk management277
activities.278

       (D) No state agency, except a state agency exempted under279
section 125.02 or 125.04 of the Revised Code from the department's280
purchasing authority, shall purchase any insurance described in281
this section except as authorized by the department, when the 282
office of risk management determines that the purchase is in the 283
best interest of the state pursuant to division (C)(1) of this 284
section, and in accordance with terms, conditions, and procurement 285
methods established by the department.286

       (E) With respect to any civil action, demand, or claim287
against the state that could be filed in the court of claims,288
nothing in sections 9.82 to 9.823 of the Revised Code shall be289
interpreted to permit the settlement or compromise of those civil290
actions, demands, or claims, except in the manner provided in291
Chapter 2743. of the Revised Code.292

       Sec. 9.822.  (A) The department of administrative services293
through the office of risk management shall establish an insurance294
plan or plans that may provide for self-insurance or the purchase295
of insurance, or both, for anyeither of the following purposes:296

       (1) Insuring state real and personal property against losses297
occasioned by fire, windstorm, or other accidents and perils;298

       (2) Insuring the state and its officers and employees against 299
liability resulting from any civil action, demand, or claim 300
against the state or its officers and employees arising out of any 301
act or omission of an officer or employee in the performance of 302
official duties, except acts and omissions for which303
indemnification is prohibited under section 9.87 of the Revised304
Code;.305

       (3) Insuring(B) The department of administrative services 306
through the office of risk management shall establish one or more 307
insurance plans that provide for the purchase of insurance for the 308
purpose of insuring the state through the fidelity bonding of309
state officers, employees, and agents who are required by law to310
provide a fidelity bond. Nothing in this section shall be 311
construed to allow the department of administrative services 312
through the office of risk management to administer the state's 313
fidelity bonding program through a program of self-insurance.314

       (B)(1) Prior to the establishment of any self-insured315
fidelity bond program for a particular class or subclass of state316
officer, employee, or agent authorized pursuant to division (A)(3)317
of this section, the director of administrative services shall318
follow the procedures for holding a hearing and adopting rules set319
forth in division (C)(6)(a) of section 9.821 of the Revised Code.320

       (2) Division (B)(1) of this section does not apply to any321
self-insured blanket fidelity bond program that, on September 20,322
1993, has been established pursuant to section 9.831 of the323
Revised Code.324

       (3) The director shall prepare annually a written report325
detailing any self-insured fidelity bond program established326
pursuant to division (A)(3) of this section. The report shall327
include, but is not limited to, information relating to premiums328
collected, income from recovery, loss experience, and329
administrative costs of the program. A copy of the report,330
together with a copy of those portions of the most recent reports331
submitted under division (D) of section 9.823 of the Revised Code 332
that pertain to any such self-insured fidelity bond program, shall333
be submitted to the speaker of the house of representatives and334
the president of the senate by the last day of March of each year.335

       Sec. 9.823.  (A) All contributions collected by the director 336
of administrative services under division (E) of this section 337
shall be deposited into the state treasury to the credit of the 338
risk management reserve fund, which is hereby created. The fund 339
shall be used to provide insurance and self-insurance for the 340
state under sectionsections 9.822 and 9.83 of the Revised Code. 341
All investment earnings of the fund shall be credited to it.342

       (B) The director, through the office of risk management,343
shall operate the risk management reserve fund on an actuarially344
sound basis.345

       (C) Reserves shall be maintained in the risk management346
reserve fund in any amount that is necessary and adequate, in the347
exercise of sound and prudent actuarial judgment, to cover348
potential liability claims, expenses, fees, or damages. Money in349
the fund may be applied to the payment of liability claims that350
are filed against the state in the court of claims and determined351
in the manner provided for under Chapter 2743. of the Revised352
Code. The director may procure the services of a qualified353
actuarial firm for the purpose of recommending the specific amount 354
of money that would be required to maintain adequate reserves for 355
a given period of time.356

       (D) A report of the amounts reserved and disbursements made 357
from the reserves, together with a written report of a competent 358
property and casualty actuary, shall be submitted, on or before 359
the last day of March for the preceding calendar year, to the 360
speaker of the house of representatives and the president of the 361
senate. The actuary shall certify the adequacy of the rates of 362
contributions, the sufficiency of excess insurance, and whether 363
the amounts reserved conform to the requirements of this section, 364
are computed in accordance with accepted loss reserving standards, 365
and are fairly stated in accordance with sound loss reserving 366
principles. The report shall include disbursements made for the 367
administration of the fund, including claims paid, cost of legal 368
representation of state agencies and employees, and fees paid to 369
consultants.370

       (E) The director shall collect from each state agency or any 371
participating state body its contribution to the risk management 372
reserve fund for the purpose of purchasing insurance or 373
administering self-insurance programs for coverages authorized374
under sectionsections 9.822 and 9.83 of the Revised Code. The 375
contribution shall be determined by the director, with the 376
approval of the director of budget and management, and shall be 377
based upon actuarial assumptions and the relative risk and loss 378
experience of each state agency or participating state body. The 379
contribution shall further include a reasonable sum to cover the 380
department's administrative costs.381

       Sec. 9.83.  (A) The state and any political subdivision may 382
procure a policy or policies of insurance insuring its officers 383
and employees against liability for injury, death, or loss to 384
person or property that arises out of the operation of an385
automobile, truck, motor vehicle with auxiliary equipment,386
self-propelling equipment or trailer, aircraft, or watercraft by387
the officers or employees while engaged in the course of their388
employment or official responsibilities for the state or the389
political subdivision. The state is authorized to expend funds to 390
pay judgments that are rendered in any court against its officers 391
or employees and that result from such operation, and is392
authorized to expend funds to compromise claims for liability393
against its officers or employees that result from such operation. 394
No insurer shall deny coverage under such a policy, and the state 395
shall not refuse to pay judgments or compromise claims, on the 396
ground that an automobile, truck, motor vehicle with auxiliary 397
equipment, self-propelling equipment or trailer, aircraft, or 398
watercraft was not being used in the course of an officer's or 399
employee's employment or official responsibilities for the state 400
or a political subdivision unless the officer or employee who was 401
operating an automobile, truck, motor vehicle with auxiliary 402
equipment, or self-propelling equipment or trailer is convicted of 403
a violation of section 124.71 of the Revised Code as a result of 404
the same events.405

       (B) Funds shall be reserved as necessary, in the exercise of 406
sound and prudent actuarial judgment, to cover potential expense, 407
fees, damage, loss, or other liability. The superintendent of 408
insuranceoffice of risk management may recommend or, if the state409
requests of the superintendentoffice of risk management, shall 410
recommend, a specific amount for any period of time that, in the 411
superintendent's opinion of the office of risk management, 412
represents such a judgment.413

       (C) Nothing in this section shall be construed to require the 414
department of administrative services to purchase liability415
insurance for all state vehicles in a single policy of insurance416
or to cover all state vehicles under a single plan of417
self-insurance.418

       (D) Insurance procured by the state pursuant to this section 419
shall be procured as provided in section 125.03 of the Revised 420
Code.421

       (E) For purposes of liability insurance procured under this422
section to cover the operation of a motor vehicle by a prisoner 423
for whom the insurance is procured, "employee" includes a prisoner 424
in the custody of the department of rehabilitation and correction 425
who is enrolled in a work program that is established by the 426
department pursuant to section 5145.16 of the Revised Code and in 427
which the prisoner is required to operate a motor vehicle, as 428
defined in section 4509.01 of the Revised Code, and who is engaged 429
in the operation of a motor vehicle in the course of the work 430
program.431

       (F) There is hereby created in the state treasury the vehicle 432
liability fund. All contributions collected by the director of 433
administrative services under division (I) of this section shall 434
be deposited into the fund. The fund shall be used to provide 435
insurance and self-insurance for the state under this section. All 436
investment earnings of the fund shall be credited to itrisk 437
management reserve fund created in section 9.823 of the Revised 438
Code to the credit of the vehicle liability program.439

       (G) The director of administrative services, through the 440
office of risk management, shall operate the vehicle liability 441
fund on an actuarially sound basis.442

       (H) Reserves shall be maintained in the vehicle liability443
risk management reserve fund to the credit of the vehicle 444
liability program in any amount that is necessary and adequate, in 445
the exercise of sound and prudent actuarial judgment, to cover 446
potential liability claims, expenses, fees, or damages. Money in 447
the fund may be applied to the payment of liability claims that 448
are filed against the state in the court of claims and determined 449
in the manner provided in Chapter 2743. of the Revised Code. The 450
director of administrative services may procure the services of a 451
qualified actuarial firm for the purpose of recommending the 452
specific amount of money that is required to maintain adequate 453
reserves for a specified period of time.454

       (I)(H) The director of administrative services shall collect 455
from each state agency or any participating state body its 456
contribution to the vehicle liability fundprogram for the purpose 457
of purchasing insurance or administering self-insurance programs 458
for coverage authorized under this section. The amount of the 459
contribution shall be determined by the director, with the 460
approval of the director of budget and management. It shall be 461
based upon actuarial assumptions and the relative risk and loss 462
experience of each state agency or participating state body. The 463
amount of the contribution also shall include a reasonable sum to 464
cover administrative costs of the department of administrative 465
services. The amounts collected pursuant to this division shall be 466
deposited in the risk management reserve fund to the credit of the 467
vehicle liability program.468

       Sec. 107.12. (A) As used in this section, "organization" 469
means a faith-based or other organization that is exempt from 470
federal income taxation under section 501(c)(3) of the Internal 471
Revenue Code of 1986, 100 Stat. 2085, 26 U.S.C. 1, as amended, and 472
provides charitable services to needy residents of this state.473

       (B) There is hereby established within the office of the 474
governor the governor's office of faith-based and community 475
initiatives. The office shall:476

       (1) Serve as a clearinghouse of information on federal, 477
state, and local funding for charitable services performed by 478
organizations;479

       (2) Encourage organizations to seek public funding for their 480
charitable services;481

       (3) Act as a liaison between state agencies and 482
organizations;483

       (4) Advise the governor, general assembly, and the advisory 484
board of the governor's office of faith-based community 485
initiatives on the barriers that exist to collaboration between 486
organizations and governmental entities and on ways to remove the 487
barriers.488

       (C) The governor shall appoint an executive assistant to 489
manage the office and perform or oversee the performance of the 490
duties of the office.491

       (D)(1) There is hereby created the advisory board of the 492
governor's office of faith-based and community initiatives. The 493
board shall consist of members appointed as follows:494

       (a) The directors of aging, alcohol and drug addiction495
services, rehabilitation and correction, health, job and family 496
services, mental health, and youth services shall each appoint to497
the board one employee of that director's department.498

       (b) The speaker of the house of representatives shall appoint 499
to the board two members of the house of representatives, not more 500
than one of whom shall be from the same political party and at 501
least one of whom shall be from the legislative black caucus. The 502
speaker of the house of representatives shall consult with the 503
president of the legislative black caucus in making the 504
legislative black caucus member appointment. The president of the 505
senate shall appoint to the board two members of the senate, not 506
more than one of whom shall be from the same political party.507

       (c) The governor, speaker of the house of representatives,508
and president of the senate shall each appoint to the board three 509
representatives of the nonprofit, faith-based and other nonprofit510
community.511

       (2) The appointments to the board shall be made within thirty 512
days after the effective date of this section. Terms of the office 513
shall be one year. Any vacancy that occurs on the board shall be 514
filled in the same manner as the original appointment. The members 515
of the board shall serve without compensation.516

       (3) At its initial meeting, the board shall elect a517
chairperson. The chairperson shall be a member of the board who is 518
a member of the house of representatives.519

       (E) The board shall do both of the following:520

       (1) Provide direction, guidance, and oversight to the office;521

       (2) Publish a report of its activities on or before the first 522
day of August of each year, and deliver copies of the report to 523
the governor, the speaker and minority leader of the house of 524
representatives, and the president and minority leader of the 525
senate.526

       (F) No member of the board or organization that the member is 527
affiliated or involved with is eligible to receive any grant that 528
the office administers or assists in administering.529

       Sec. 107.40.  (A) There is hereby created the governor's 530
residence advisory commission. The commission shall provide for 531
the preservation, restoration, acquisition, and conservation of 532
all decorations, objects of art, chandeliers, china, silver, 533
statues, paintings, furnishings, accouterments, and other 534
aesthetic materials that have been acquired, donated, loaned, or 535
otherwise obtained by the state for the governor's residence and 536
that have been approved by the commission. In addition, the 537
commission shall provide for the maintenance of plants that have 538
been acquired, donated, loaned, or otherwise obtained by the state 539
for the governor's residence and that have been approved by the 540
commission.541

       (B) The commission shall be responsible for the care, 542
provision, repair, and placement of furnishings and other objects 543
and accessories of the grounds and public areas of the first story 544
of the governor's residence and for the care and placement of 545
plants on the grounds. In exercising this responsibility, the 546
commission shall preserve and seek to further establish all of the 547
following:548

       (1) The authentic ambiance and decor of the historic era 549
during which the governor's residence was constructed;550

       (2) The grounds as a representation of Ohio's natural 551
ecosystems;552

       (3) The heritage garden for all of the following purposes:553

        (a) To preserve, sustain, and encourage the use of native 554
flora throughout the state;555

        (b) To replicate the state's physiographic regions, plant 556
communities, and natural landscapes;557

        (c) To serve as an educational garden that demonstrates the 558
artistic, industrial, political, horticultural, and geologic 559
history of the state through the use of plants;560

        (d) To serve as a reservoir of rare species of plants from 561
the physiographic regions of the state.562

        These duties shall not affect the obligation of the 563
department of administrative services to provide for theand adopt 564
policies and procedures regarding the use, general maintenance,565
and operating expenses of the governor's residence.566

       (C) The commission shall consist of eleven members. One 567
member shall be the director of administrative services or the 568
director's designee, who shall serve during the director's term of 569
office and shall serve as chairperson. One member shall be the 570
director of the Ohio historical society or the director's 571
designee, who shall serve during the director's term of office and 572
shall serve as vice-chairperson. One member shall represent the 573
Columbus landmarks foundation. One member shall represent the574
Bexley historical society. One member shall be the mayor of the 575
city of Bexley, who shall serve during the mayor's term of office. 576
One member shall be the chief executive officer of the Franklin 577
park conservatory joint recreation district, who shall serve 578
during the term of employment as chief executive officer. The579
remaining five members shall be appointed by the governor with the 580
advice and consent of the senate. The five members appointed by 581
the governor shall be persons with knowledge of Ohio history, 582
architecture, decorative arts, or historic preservation, and one 583
of those members shall have knowledge of landscape architecture, 584
garden design, horticulture, and plants native to this state.585

       (D) Of the initial appointees, the representative of the586
Columbus landmarks foundation shall serve for a term expiring587
December 31, 1996, and the representative of the Bexley historical 588
society shall serve for a term expiring December 31, 1997. Of the 589
five members appointed by the governor, three shall serve for 590
terms ending December 31, 1998, and two shall serve for terms 591
ending December 31, 1999. Thereafter, each term shall be for four 592
years, commencing on the first day of January and ending on the 593
last day of December. The member having knowledge of landscape 594
architecture, garden design, horticulture, and plants native to 595
this state initially shall be appointed upon the first vacancy on 596
the commission occurring on or after June 30, 2006.597

        Each member shall hold office from the date of the member's598
appointment until the end of the term for which the member was599
appointed. Any member appointed to fill a vacancy occurring prior 600
to the end of the term for which the member's predecessor was 601
appointed shall hold office for the remainder of the term. Any 602
member shall continue in office subsequent to the expiration of 603
the term until the member's successor takes office.604

       (E) Six members of the commission constitute a quorum, and 605
the affirmative vote of six members is required for approval of 606
any action by the commission.607

       (F) After each initial member of the commission has been 608
appointed, the commission shall meet and select one member as 609
secretary and another as treasurer. Organizational meetings of the 610
commission shall be held at the time and place designated by call 611
of the chairperson. Meetings of the commission may be held 612
anywhere in the state and shall be in compliance with Chapters 613
121. and 149. of the Revised Code. The commission may adopt, 614
pursuant to section 111.15 of the Revised Code, rules necessary to 615
carry out the purposes of this section.616

       (G) Members of the commission shall serve without 617
remuneration, but shall be compensated for actual and necessary 618
expenses incurred in the performance of their official duties.619

       (H) All expenses incurred in carrying out this section are 620
payable solely from money accrued under this section or 621
appropriated for these purposes by the general assembly, and the 622
commission shall incur no liability or obligation beyond such 623
money.624

       (I) TheExcept as otherwise provided in this division, the625
commission may accept any payment for the use of the governor's 626
residence or may accept any donation, gift, bequest, or devise for 627
the governor's residence or as an endowment for the maintenance 628
and care of the garden on the grounds of the governor's residence 629
in furtherance of its duties. The commission shall not accept any 630
donation, gift, bequest, or devise from a person, individual, or 631
member of an individual's immediate family if the person or 632
individual is receiving payments under a contract with the state 633
or a state agency for the purchase of supplies, services, or 634
equipment or for the construction, reconstruction, improvement, 635
enlargement, alteration, repair, painting, or decoration of a 636
public improvement, except for payments received under an 637
employment contract or a collective bargaining agreement. Any 638
revenue received by the commission shall be deposited into the 639
governor's residence fund, which is hereby established in the 640
state treasury, for use by the commission in accordance with the 641
performance of its duties. All investment earnings of the fund 642
shall be credited to the fund. Title to all property acquired by 643
the commission shall be taken in the name of the state and shall 644
be held for the use and benefit of the commission.645

       (J) Nothing in this section limits the ability of a person or 646
other entity to purchase decorations, objects of art, chandeliers, 647
china, silver, statues, paintings, furnishings, accouterments, 648
plants, or other aesthetic materials for placement in the 649
governor's residence or on the grounds of the governor's residence 650
or donation to the commission. No such object or plant, however, 651
shall be placed on the grounds or public areas of the first story 652
of the governor's residence without the consent of the commission.653

       (K) The heritage garden established under this section shall 654
be officially known as "the heritage garden at the Ohio governor's 655
residence."656

        (L) As used in this section, "heritage garden" means the 657
botanical garden of native plants established at the governor's 658
residence.659

       Sec. 109.57.  (A)(1) The superintendent of the bureau of660
criminal identification and investigation shall procure from 661
wherever procurable and file for record photographs, pictures, 662
descriptions, fingerprints, measurements, and other information 663
that may be pertinent of all persons who have been convicted of 664
committing within this state a felony, any crime constituting a 665
misdemeanor on the first offense and a felony on subsequent666
offenses, or any misdemeanor described in division (A)(1)(a) or 667
(A)(10)(a) of section 109.572 of the Revised Code, of all children 668
under eighteen years of age who have been adjudicated delinquent 669
children for committing within this state an act that would be a 670
felony or an offense of violence if committed by an adult or who 671
have been convicted of or pleaded guilty to committing within this 672
state a felony or an offense of violence, and of all well-known 673
and habitual criminals. The person in charge of any county, 674
multicounty, municipal, municipal-county, or multicounty-municipal 675
jail or workhouse, community-based correctional facility, halfway 676
house, alternative residential facility, or state correctional 677
institution and the person in charge of any state institution 678
having custody of a person suspected of having committed a felony, 679
any crime constituting a misdemeanor on the first offense and a 680
felony on subsequent offenses, or any misdemeanor described in 681
division (A)(1)(a) or (A)(10)(a) of section 109.572 of the Revised 682
Code or having custody of a child under eighteen years of age with 683
respect to whom there is probable cause to believe that the child 684
may have committed an act that would be a felony or an offense of 685
violence if committed by an adult shall furnish such material to 686
the superintendent of the bureau. Fingerprints, photographs, or 687
other descriptive information of a child who is under eighteen 688
years of age, has not been arrested or otherwise taken into 689
custody for committing an act that would be a felony or an offense 690
of violence if committed by an adult, has not been adjudicated a 691
delinquent child for committing an act that would be a felony or 692
an offense of violence if committed by an adult, has not been 693
convicted of or pleaded guilty to committing a felony or an694
offense of violence, and is not a child with respect to whom there 695
is probable cause to believe that the child may have committed an 696
act that would be a felony or an offense of violence if committed 697
by an adult shall not be procured by the superintendent or 698
furnished by any person in charge of any county, multicounty, 699
municipal, municipal-county, or multicounty-municipal jail or 700
workhouse, community-based correctional facility, halfway house, 701
alternative residential facility, or state correctional 702
institution, except as authorized in section 2151.313 of the 703
Revised Code.704

       (2) Every clerk of a court of record in this state, other 705
than the supreme court or a court of appeals, shall send to the706
superintendent of the bureau a weekly report containing a summary 707
of each case involving a felony, involving any crime constituting 708
a misdemeanor on the first offense and a felony on subsequent 709
offenses, involving a misdemeanor described in division (A)(1)(a) 710
or (A)(10)(a) of section 109.572 of the Revised Code, or involving 711
an adjudication in a case in which a child under eighteen years of 712
age was alleged to be a delinquent child for committing an act 713
that would be a felony or an offense of violence if committed by714
an adult. The clerk of the court of common pleas shall include in 715
the report and summary the clerk sends under this division all 716
information described in divisions (A)(2)(a) to (f) of this 717
section regarding a case before the court of appeals that is 718
served by that clerk. The summary shall be written on the standard 719
forms furnished by the superintendent pursuant to division (B) of 720
this section and shall include the following information:721

       (a) The incident tracking number contained on the standard 722
forms furnished by the superintendent pursuant to division (B) of 723
this section;724

       (b) The style and number of the case;725

       (c) The date of arrest;726

       (d) The date that the person was convicted of or pleaded 727
guilty to the offense, adjudicated a delinquent child for 728
committing the act that would be a felony or an offense of 729
violence if committed by an adult, found not guilty of the730
offense, or found not to be a delinquent child for committing an 731
act that would be a felony or an offense of violence if committed 732
by an adult, the date of an entry dismissing the charge, an entry 733
declaring a mistrial of the offense in which the person is 734
discharged, an entry finding that the person or child is not 735
competent to stand trial, or an entry of a nolle prosequi, or the 736
date of any other determination that constitutes final resolution 737
of the case;738

       (e) A statement of the original charge with the section of 739
the Revised Code that was alleged to be violated;740

       (f) If the person or child was convicted, pleaded guilty, or 741
was adjudicated a delinquent child, the sentence or terms of 742
probation imposed or any other disposition of the offender or the 743
delinquent child.744

       If the offense involved the disarming of a law enforcement 745
officer or an attempt to disarm a law enforcement officer, the 746
clerk shall clearly state that fact in the summary, and the 747
superintendent shall ensure that a clear statement of that fact is 748
placed in the bureau's records.749

       (3) The superintendent shall cooperate with and assist750
sheriffs, chiefs of police, and other law enforcement officers in 751
the establishment of a complete system of criminal identification 752
and in obtaining fingerprints and other means of identification of 753
all persons arrested on a charge of a felony, any crime 754
constituting a misdemeanor on the first offense and a felony on 755
subsequent offenses, or a misdemeanor described in division756
(A)(1)(a) or (A)(10)(a) of section 109.572 of the Revised Code and 757
of all children under eighteen years of age arrested or otherwise 758
taken into custody for committing an act that would be a felony or 759
an offense of violence if committed by an adult. The760
superintendent also shall file for record the fingerprint 761
impressions of all persons confined in a county, multicounty,762
municipal, municipal-county, or multicounty-municipal jail or 763
workhouse, community-based correctional facility, halfway house,764
alternative residential facility, or state correctional 765
institution for the violation of state laws and of all children 766
under eighteen years of age who are confined in a county, 767
multicounty, municipal, municipal-county, or multicounty-municipal 768
jail or workhouse, community-based correctional facility, halfway 769
house, alternative residential facility, or state correctional770
institution or in any facility for delinquent children for 771
committing an act that would be a felony or an offense of violence 772
if committed by an adult, and any other information that the 773
superintendent may receive from law enforcement officials of the 774
state and its political subdivisions.775

       (4) The superintendent shall carry out Chapter 2950. of the776
Revised Code with respect to the registration of persons who are 777
convicted of or plead guilty to either a sexually oriented offense 778
that is not a registration-exempt sexually oriented offense or a 779
child-victim oriented offense and with respect to all other duties 780
imposed on the bureau under that chapter.781

       (5) The bureau shall perform centralized recordkeeping 782
functions for criminal history records and services in this state 783
for purposes of the national crime prevention and privacy compact 784
set forth in section 109.571 of the Revised Code and is the 785
criminal history record repository as defined in that section for 786
purposes of that compact. The superintendent or the 787
superintendent's designee is the compact officer for purposes of 788
that compact and shall carry out the responsibilities of the 789
compact officer specified in that compact.790

       (B) The superintendent shall prepare and furnish to every791
county, multicounty, municipal, municipal-county, or792
multicounty-municipal jail or workhouse, community-based 793
correctional facility, halfway house, alternative residential 794
facility, or state correctional institution and to every clerk of 795
a court in this state specified in division (A)(2) of this section 796
standard forms for reporting the information required under 797
division (A) of this section. The standard forms that the 798
superintendent prepares pursuant to this division may be in a 799
tangible format, in an electronic format, or in both tangible 800
formats and electronic formats.801

       (C) The superintendent may operate a center for electronic, 802
automated, or other data processing for the storage and retrieval 803
of information, data, and statistics pertaining to criminals and 804
to children under eighteen years of age who are adjudicated805
delinquent children for committing an act that would be a felony 806
or an offense of violence if committed by an adult, criminal 807
activity, crime prevention, law enforcement, and criminal justice, 808
and may establish and operate a statewide communications network 809
to gather and disseminate information, data, and statistics for 810
the use of law enforcement agencies. The superintendent may 811
gather, store, retrieve, and disseminate information, data, and 812
statistics that pertain to children who are under eighteen years 813
of age and that are gathered pursuant to sections 109.57 to 109.61 814
of the Revised Code together with information, data, and815
statistics that pertain to adults and that are gathered pursuant 816
to those sections. In addition to any other authorized use of 817
information, data, and statistics of that nature, the 818
superintendent or the superintendent's designee may provide and 819
exchange the information, data, and statistics pursuant to the 820
national crime prevention and privacy compact as described in 821
division (A)(5) of this section.822

       (D) The information and materials furnished to the823
superintendent pursuant to division (A) of this section and824
information and materials furnished to any board or person under825
division (F) or (G) of this section are not public records under 826
section 149.43 of the Revised Code.827

       (E) The attorney general shall adopt rules, in accordance828
with Chapter 119. of the Revised Code, setting forth the procedure 829
by which a person may receive or release information gathered by 830
the superintendent pursuant to division (A) of this section. A 831
reasonable fee may be charged for this service. If a temporary 832
employment service submits a request for a determination of 833
whether a person the service plans to refer to an employment834
position has been convicted of or pleaded guilty to an offense835
listed in division (A)(1), (3), (4), (5), or (6) of section 836
109.572 of the Revised Code, the request shall be treated as a 837
single request and only one fee shall be charged.838

       (F)(1) As used in division (F)(2) of this section, "head839
start agency" means an entity in this state that has been approved 840
to be an agency for purposes of subchapter II of the "Community 841
Economic Development Act," 95 Stat. 489 (1981), 42 U.S.C.A. 9831, 842
as amended.843

       (2)(a) In addition to or in conjunction with any request that844
is required to be made under section 109.572, 2151.86, 3301.32, or845
3301.541, division (C) of section 3310.58, or section 3319.39, 846
3701.881, 5104.012, 5104.013, 5123.081, 5126.28, 5126.281, or 847
5153.111 of the Revised Code, the board of education of any school 848
district; the director of mental retardation and developmental 849
disabilities; any county board of mental retardation and 850
developmental disabilities; any entity under contract with a851
county board of mental retardation and developmental disabilities; 852
the chief administrator of any chartered nonpublic school; the 853
chief administrator of a registered private provider that is not 854
also a chartered nonpublic school; the chief administrator of any 855
home health agency; the chief administrator of or person operating 856
any child day-care center, type A family day-care home, or type B 857
family day-care home licensed or certified under Chapter 5104. of 858
the Revised Code; the administrator of any type C family day-care859
home certified pursuant to Section 1 of Sub. H.B. 62 of the 121st860
general assembly or Section 5 of Am. Sub. S.B. 160 of the 121st861
general assembly; the chief administrator of any head start 862
agency; or the executive director of a public children services 863
agency may request that the superintendent of the bureau 864
investigate and determine, with respect to any individual who has 865
applied for employment in any position after October 2, 1989, or 866
any individual wishing to apply for employment with a board of 867
education may request, with regard to the individual, whether the 868
bureau has any information gathered under division (A) of this 869
section that pertains to that individual. On receipt of the 870
request, the superintendent shall determine whether that 871
information exists and, upon request of the person, board, or 872
entity requesting information, also shall request from the federal 873
bureau of investigation any criminal records it has pertaining to 874
that individual. The superintendent or the superintendent's 875
designee also may request criminal history records from other 876
states or the federal government pursuant to the national crime 877
prevention and privacy compact set forth in section 109.571 of the 878
Revised Code. Within thirty days of the date that the 879
superintendent receives a request, the superintendent shall send 880
to the board, entity, or person a report of any information that 881
the superintendent determines exists, including information 882
contained in records that have been sealed under section 2953.32 883
of the Revised Code, and, within thirty days of its receipt, shall 884
send the board, entity, or person a report of any information 885
received from the federal bureau of investigation, other than 886
information the dissemination of which is prohibited by federal 887
law.888

       (b) When a board of education or a registered private 889
provider is required to receive information under this section as 890
a prerequisite to employment of an individual pursuant to division 891
(C) of section 3310.58 or section 3319.39 of the Revised Code, it 892
may accept a certified copy of records that were issued by the 893
bureau of criminal identification and investigation and that are894
presented by an individual applying for employment with the895
district in lieu of requesting that information itself. In such a 896
case, the board or provider shall accept the certified copy issued 897
by the bureau in order to make a photocopy of it for that 898
individual's employment application documents and shall return the 899
certified copy to the individual. In a case of that nature, a 900
district or provider only shall accept a certified copy of records 901
of that nature within one year after the date of their issuance by 902
the bureau.903

       (3) The state board of education may request, with respect to 904
any individual who has applied for employment after October 2,905
1989, in any position with the state board or the department of906
education, any information that a school district board of907
education is authorized to request under division (F)(2) of this 908
section, and the superintendent of the bureau shall proceed as if 909
the request has been received from a school district board of 910
education under division (F)(2) of this section.911

       (4) When the superintendent of the bureau receives a request 912
for information under section 3319.291 of the Revised Code, the 913
superintendent shall proceed as if the request has been received 914
from a school district board of education under division (F)(2) of 915
this section.916

       (5) When a recipient of a classroom reading improvement grant 917
paid under section 3301.86 of the Revised Code requests, with 918
respect to any individual who applies to participate in providing 919
any program or service funded in whole or in part by the grant, 920
the information that a school district board of education is 921
authorized to request under division (F)(2)(a) of this section, 922
the superintendent of the bureau shall proceed as if the request 923
has been received from a school district board of education under 924
division (F)(2)(a) of this section.925

       (G) In addition to or in conjunction with any request that is 926
required to be made under section 3701.881, 3712.09, 3721.121, or 927
3722.151 of the Revised Code with respect to an individual who has 928
applied for employment in a position that involves providing 929
direct care to an older adult, the chief administrator of a home 930
health agency, hospice care program, home licensed under Chapter 931
3721. of the Revised Code, adult day-care program operated 932
pursuant to rules adopted under section 3721.04 of the Revised 933
Code, or adult care facility may request that the superintendent 934
of the bureau investigate and determine, with respect to any 935
individual who has applied after January 27, 1997, for employment 936
in a position that does not involve providing direct care to an 937
older adult, whether the bureau has any information gathered under 938
division (A) of this section that pertains to that individual.939

       In addition to or in conjunction with any request that is 940
required to be made under section 173.27 of the Revised Code with 941
respect to an individual who has applied for employment in a 942
position that involves providing ombudsperson services to 943
residents of long-term care facilities or recipients of 944
community-based long-term care services, the state long-term care 945
ombudsperson, ombudsperson's designee, or director of health may 946
request that the superintendent investigate and determine, with 947
respect to any individual who has applied for employment in a 948
position that does not involve providing such ombudsperson 949
services, whether the bureau has any information gathered under 950
division (A) of this section that pertains to that applicant.951

       In addition to or in conjunction with any request that is 952
required to be made under section 173.394 of the Revised Code with 953
respect to an individual who has applied for employment in a 954
position that involves providing direct care to an individual, the 955
chief administrator of a community-based long-term care agency may 956
request that the superintendent investigate and determine, with 957
respect to any individual who has applied for employment in a 958
position that does not involve providing direct care, whether the 959
bureau has any information gathered under division (A) of this 960
section that pertains to that applicant.961

       On receipt of a request under this division, the962
superintendent shall determine whether that information exists963
and, on request of the individual requesting information, shall 964
also request from the federal bureau of investigation any criminal 965
records it has pertaining to the applicant. The superintendent or 966
the superintendent's designee also may request criminal history 967
records from other states or the federal government pursuant to 968
the national crime prevention and privacy compact set forth in 969
section 109.571 of the Revised Code. Within thirty days of the 970
date a request is received, the superintendent shall send to the 971
requester a report of any information determined to exist, 972
including information contained in records that have been sealed 973
under section 2953.32 of the Revised Code, and, within thirty days 974
of its receipt, shall send the requester a report of any975
information received from the federal bureau of investigation,976
other than information the dissemination of which is prohibited by 977
federal law.978

       (H) Information obtained by a government entity or person 979
under this section is confidential and shall not be released or 980
disseminated.981

       (I) The superintendent may charge a reasonable fee for982
providing information or criminal records under division (F)(2) or 983
(G) of this section.984

       (J) As used in this section, "registered private provider" 985
means a nonpublic school or entity registered with the 986
superintendent of public instruction under section 3310.41 of the 987
Revised Code to participate in the autism scholarship program or 988
section 3310.58 of the Revised Code to participate in the special 989
education scholarship pilot program.990

       Sec. 109.572. (A)(1) Upon receipt of a request pursuant to 991
section 121.08, 3301.32, 3301.541, 3319.39, 5104.012, or 5104.013 992
of the Revised Code, a completed form prescribed pursuant to 993
division (C)(1) of this section, and a set of fingerprint 994
impressions obtained in the manner described in division (C)(2) of 995
this section, the superintendent of the bureau of criminal 996
identification and investigation shall conduct a criminal records 997
check in the manner described in division (B) of this section to 998
determine whether any information exists that indicates that the 999
person who is the subject of the request previously has been 1000
convicted of or pleaded guilty to any of the following:1001

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1002
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1003
2905.01, 2905.02, 2905.05, 2907.02, 2907.03, 2907.04, 2907.05, 1004
2907.06, 2907.07, 2907.08, 2907.09, 2907.21, 2907.22, 2907.23, 1005
2907.25, 2907.31, 2907.32, 2907.321, 2907.322, 2907.323, 2911.01, 1006
2911.02, 2911.11, 2911.12, 2919.12, 2919.22, 2919.24, 2919.25, 1007
2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 2925.04, 2925.05, 1008
2925.06, or 3716.11 of the Revised Code, felonious sexual 1009
penetration in violation of former section 2907.12 of the Revised 1010
Code, a violation of section 2905.04 of the Revised Code as it 1011
existed prior to July 1, 1996, a violation of section 2919.23 of 1012
the Revised Code that would have been a violation of section 1013
2905.04 of the Revised Code as it existed prior to July 1, 1996, 1014
had the violation been committed prior to that date, or a 1015
violation of section 2925.11 of the Revised Code that is not a 1016
minor drug possession offense;1017

       (b) A violation of an existing or former law of this state, 1018
any other state, or the United States that is substantially 1019
equivalent to any of the offenses listed in division (A)(1)(a) of 1020
this section.1021

       (2) On receipt of a request pursuant to section 5123.081 of 1022
the Revised Code with respect to an applicant for employment in 1023
any position with the department of mental retardation and 1024
developmental disabilities, pursuant to section 5126.28 of the 1025
Revised Code with respect to an applicant for employment in any 1026
position with a county board of mental retardation and 1027
developmental disabilities, or pursuant to section 5126.281 of the 1028
Revised Code with respect to an applicant for employment in a 1029
direct services position with an entity contracting with a county 1030
board for employment, a completed form prescribed pursuant to 1031
division (C)(1) of this section, and a set of fingerprint 1032
impressions obtained in the manner described in division (C)(2) of 1033
this section, the superintendent of the bureau of criminal 1034
identification and investigation shall conduct a criminal records 1035
check. The superintendent shall conduct the criminal records check 1036
in the manner described in division (B) of this section to 1037
determine whether any information exists that indicates that the 1038
person who is the subject of the request has been convicted of or 1039
pleaded guilty to any of the following:1040

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1041
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1042
2903.341, 2905.01, 2905.02, 2905.04, 2905.05, 2907.02, 2907.03, 1043
2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 2907.12, 1044
2907.21, 2907.22, 2907.23, 2907.25, 2907.31, 2907.32, 2907.321, 1045
2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12, 1046
2919.22, 2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02, 1047
2925.03, or 3716.11 of the Revised Code;1048

       (b) An existing or former municipal ordinance or law of this 1049
state, any other state, or the United States that is substantially 1050
equivalent to any of the offenses listed in division (A)(2)(a) of 1051
this section.1052

       (3) On receipt of a request pursuant to section 173.27, 1053
173.394, 3712.09, 3721.121, or 3722.151 of the Revised Code, a 1054
completed form prescribed pursuant to division (C)(1) of this 1055
section, and a set of fingerprint impressions obtained in the 1056
manner described in division (C)(2) of this section, the 1057
superintendent of the bureau of criminal identification and 1058
investigation shall conduct a criminal records check with respect 1059
to any person who has applied for employment in a position for 1060
which a criminal records check is required by those sections. The 1061
superintendent shall conduct the criminal records check in the 1062
manner described in division (B) of this section to determine 1063
whether any information exists that indicates that the person who 1064
is the subject of the request previously has been convicted of or 1065
pleaded guilty to any of the following:1066

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1067
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1068
2905.01, 2905.02, 2905.11, 2905.12, 2907.02, 2907.03, 2907.05, 1069
2907.06, 2907.07, 2907.08, 2907.09, 2907.12, 2907.25, 2907.31, 1070
2907.32, 2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 1071
2911.12, 2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 1072
2913.31, 2913.40, 2913.43, 2913.47, 2913.51, 2919.25, 2921.36, 1073
2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 2925.11, 2925.13, 1074
2925.22, 2925.23, or 3716.11 of the Revised Code;1075

       (b) An existing or former law of this state, any other state, 1076
or the United States that is substantially equivalent to any of 1077
the offenses listed in division (A)(3)(a) of this section.1078

       (4) On receipt of a request pursuant to section 3701.881 of 1079
the Revised Code with respect to an applicant for employment with 1080
a home health agency as a person responsible for the care, 1081
custody, or control of a child, a completed form prescribed 1082
pursuant to division (C)(1) of this section, and a set of 1083
fingerprint impressions obtained in the manner described in 1084
division (C)(2) of this section, the superintendent of the bureau 1085
of criminal identification and investigation shall conduct a 1086
criminal records check. The superintendent shall conduct the 1087
criminal records check in the manner described in division (B) of 1088
this section to determine whether any information exists that 1089
indicates that the person who is the subject of the request 1090
previously has been convicted of or pleaded guilty to any of the 1091
following:1092

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1093
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1094
2905.01, 2905.02, 2905.04, 2905.05, 2907.02, 2907.03, 2907.04, 1095
2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 2907.12, 2907.21, 1096
2907.22, 2907.23, 2907.25, 2907.31, 2907.32, 2907.321, 2907.322, 1097
2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12, 2919.22, 1098
2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 1099
2925.04, 2925.05, 2925.06, or 3716.11 of the Revised Code or a 1100
violation of section 2925.11 of the Revised Code that is not a 1101
minor drug possession offense;1102

       (b) An existing or former law of this state, any other state, 1103
or the United States that is substantially equivalent to any of 1104
the offenses listed in division (A)(4)(a) of this section.1105

       (5) On receipt of a request pursuant to section 5111.95 or 1106
5111.965111.032, 5111.033, or 5111.034 of the Revised Code with 1107
respect to an applicant for employment with a waiver agency 1108
participating in a department of job and family services 1109
administered home and community-based waiver program or an 1110
independent provider participating in a department administered 1111
home and community-based waiver program in a position that 1112
involves providing home and community-based waiver services to 1113
consumers with disabilities, a completed form prescribed pursuant 1114
to division (C)(1) of this section, and a set of fingerprint 1115
impressions obtained in the manner described in division (C)(2) of 1116
this section, the superintendent of the bureau of criminal 1117
identification and investigation shall conduct a criminal records 1118
check. The superintendent shall conduct the criminal records check 1119
in the manner described in division (B) of this section to 1120
determine whether any information exists that indicates that the 1121
person who is the subject of the request previously has been 1122
convicted of or, has pleaded guilty to, or has been found eligible 1123
for intervention in lieu of conviction for any of the following:1124

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1125
2903.04, 2903.041, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 1126
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02, 1127
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 1128
2907.21, 2907.22, 2907.23, 2907.24, 2907.25, 2907.31, 2907.32, 1129
2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 1130
2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31, 1131
2913.40, 2913.43, 2913.47, 2913.48, 2913.49, 2913.51, 2917.11,1132
2919.12, 2919.22, 2919.24, 2919.25, 2921.13, 2921.36, 2923.02,1133
2923.12, 2923.13, 2923.161, 2923.32, 2925.02, 2925.03, 2925.04, 1134
2925.05, 2925.06, 2925.11, 2925.13, 2925.14, 2925.22, 2925.23, or 1135
3716.11 of the Revised Code, felonious sexual penetration in 1136
violation of former section 2907.12 of the Revised Code, a 1137
violation of section 2905.04 of the Revised Code as it existed 1138
prior to July 1, 1996, a violation of section 2919.23 of the 1139
Revised Code that would have been a violation of section 2905.04 1140
of the Revised Code as it existed prior to July 1, 1996, had the 1141
violation been committed prior to that date;1142

       (b) An existing or former law of this state, any other state, 1143
or the United States that is substantially equivalent to any of 1144
the offenses listed in division (A)(5)(a) of this section.1145

       (6) On receipt of a request pursuant to section 3701.881 of 1146
the Revised Code with respect to an applicant for employment with 1147
a home health agency in a position that involves providing direct 1148
care to an older adult, a completed form prescribed pursuant to 1149
division (C)(1) of this section, and a set of fingerprint 1150
impressions obtained in the manner described in division (C)(2) of 1151
this section, the superintendent of the bureau of criminal 1152
identification and investigation shall conduct a criminal records 1153
check. The superintendent shall conduct the criminal records check 1154
in the manner described in division (B) of this section to 1155
determine whether any information exists that indicates that the 1156
person who is the subject of the request previously has been 1157
convicted of or pleaded guilty to any of the following:1158

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1159
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1160
2905.01, 2905.02, 2905.11, 2905.12, 2907.02, 2907.03, 2907.05, 1161
2907.06, 2907.07, 2907.08, 2907.09, 2907.12, 2907.25, 2907.31, 1162
2907.32, 2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 1163
2911.12, 2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 1164
2913.31, 2913.40, 2913.43, 2913.47, 2913.51, 2919.25, 2921.36, 1165
2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 2925.11, 2925.13, 1166
2925.22, 2925.23, or 3716.11 of the Revised Code;1167

       (b) An existing or former law of this state, any other state, 1168
or the United States that is substantially equivalent to any of 1169
the offenses listed in division (A)(6)(a) of this section.1170

       (7) When conducting a criminal records check upon a request 1171
pursuant to section 3319.39 of the Revised Code for an applicant 1172
who is a teacher, in addition to the determination made under 1173
division (A)(1) of this section, the superintendent shall 1174
determine whether any information exists that indicates that the 1175
person who is the subject of the request previously has been 1176
convicted of or pleaded guilty to any offense specified in section 1177
3319.31 of the Revised Code.1178

       (8) On a request pursuant to section 2151.86 of the Revised 1179
Code, a completed form prescribed pursuant to division (C)(1) of 1180
this section, and a set of fingerprint impressions obtained in the 1181
manner described in division (C)(2) of this section, the 1182
superintendent of the bureau of criminal identification and 1183
investigation shall conduct a criminal records check in the manner 1184
described in division (B) of this section to determine whether any 1185
information exists that indicates that the person who is the 1186
subject of the request previously has been convicted of or pleaded 1187
guilty to any of the following:1188

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1189
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1190
2905.01, 2905.02, 2905.05, 2907.02, 2907.03, 2907.04, 2907.05, 1191
2907.06, 2907.07, 2907.08, 2907.09, 2907.21, 2907.22, 2907.23, 1192
2907.25, 2907.31, 2907.32, 2907.321, 2907.322, 2907.323, 2909.02, 1193
2909.03, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12, 2919.22, 1194
2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 1195
2925.04, 2925.05, 2925.06, or 3716.11 of the Revised Code, a 1196
violation of section 2905.04 of the Revised Code as it existed 1197
prior to July 1, 1996, a violation of section 2919.23 of the 1198
Revised Code that would have been a violation of section 2905.04 1199
of the Revised Code as it existed prior to July 1, 1996, had the 1200
violation been committed prior to that date, a violation of 1201
section 2925.11 of the Revised Code that is not a minor drug 1202
possession offense, or felonious sexual penetration in violation 1203
of former section 2907.12 of the Revised Code;1204

       (b) A violation of an existing or former law of this state, 1205
any other state, or the United States that is substantially 1206
equivalent to any of the offenses listed in division (A)(8)(a) of 1207
this section.1208

       (9) When conducting a criminal records check on a request 1209
pursuant to section 5104.013 of the Revised Code for a person who 1210
is an owner, licensee, or administrator of a child day-care center 1211
or type A family day-care home, an authorized provider of a 1212
certified type B family day-care home, or an adult residing in a 1213
type A or certified type B home, or when conducting a criminal 1214
records check or a request pursuant to section 5104.012 of the 1215
Revised Code for a person who is an applicant for employment in a 1216
center, type A home, or certified type B home, the superintendent, 1217
in addition to the determination made under division (A)(1) of 1218
this section, shall determine whether any information exists that 1219
indicates that the person has been convicted of or pleaded guilty 1220
to any of the following:1221

       (a) A violation of section 2913.02, 2913.03, 2913.04, 1222
2913.041, 2913.05, 2913.06, 2913.11, 2913.21, 2913.31, 2913.32, 1223
2913.33, 2913.34, 2913.40, 2913.41, 2913.42, 2913.43, 2913.44, 1224
2913.441, 2913.45, 2913.46, 2913.47, 2913.48, 2913.49, 2921.11, 1225
2921.13, or 2923.01 of the Revised Code, a violation of section 1226
2923.02 or 2923.03 of the Revised Code that relates to a crime 1227
specified in this division or division (A)(1)(a) of this section, 1228
or a second violation of section 4511.19 of the Revised Code 1229
within five years of the date of application for licensure or 1230
certification.1231

       (b) A violation of an existing or former law of this state, 1232
any other state, or the United States that is substantially 1233
equivalent to any of the offenses or violations described in 1234
division (A)(9)(a) of this section.1235

       (10) Upon receipt of a request pursuant to section 5153.111 1236
of the Revised Code, a completed form prescribed pursuant to 1237
division (C)(1) of this section, and a set of fingerprint 1238
impressions obtained in the manner described in division (C)(2) of 1239
this section, the superintendent of the bureau of criminal 1240
identification and investigation shall conduct a criminal records 1241
check in the manner described in division (B) of this section to 1242
determine whether any information exists that indicates that the 1243
person who is the subject of the request previously has been 1244
convicted of or pleaded guilty to any of the following:1245

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1246
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1247
2905.01, 2905.02, 2905.05, 2907.02, 2907.03, 2907.04, 2907.05, 1248
2907.06, 2907.07, 2907.08, 2907.09, 2907.21, 2907.22, 2907.23, 1249
2907.25, 2907.31, 2907.32, 2907.321, 2907.322, 2907.323, 2909.02, 1250
2909.03, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12, 2919.22, 1251
2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 1252
2925.04, 2925.05, 2925.06, or 3716.11 of the Revised Code, 1253
felonious sexual penetration in violation of former section 1254
2907.12 of the Revised Code, a violation of section 2905.04 of the 1255
Revised Code as it existed prior to July 1, 1996, a violation of 1256
section 2919.23 of the Revised Code that would have been a 1257
violation of section 2905.04 of the Revised Code as it existed 1258
prior to July 1, 1996, had the violation been committed prior to 1259
that date, or a violation of section 2925.11 of the Revised Code 1260
that is not a minor drug possession offense;1261

       (b) A violation of an existing or former law of this state, 1262
any other state, or the United States that is substantially 1263
equivalent to any of the offenses listed in division (A)(10)(a) of 1264
this section.1265

       (11) On receipt of a request for a criminal records check 1266
from an individual pursuant to section 4749.03 or 4749.06 of the 1267
Revised Code, accompanied by a completed copy of the form 1268
prescribed in division (C)(1) of this section and a set of 1269
fingerprint impressions obtained in a manner described in division 1270
(C)(2) of this section, the superintendent of the bureau of 1271
criminal identification and investigation shall conduct a criminal 1272
records check in the manner described in division (B) of this 1273
section to determine whether any information exists indicating 1274
that the person who is the subject of the request has been 1275
convicted of or pleaded guilty to a felony in this state or in any 1276
other state. If the individual indicates that a firearm will be 1277
carried in the course of business, the superintendent shall 1278
require information from the federal bureau of investigation as 1279
described in division (B)(2) of this section. The superintendent 1280
shall report the findings of the criminal records check and any 1281
information the federal bureau of investigation provides to the 1282
director of public safety.1283

       (12) On receipt of a request pursuant to section 1322.03, 1284
1322.031, or 4763.05 of the Revised Code, a completed form 1285
prescribed pursuant to division (C)(1) of this section, and a set 1286
of fingerprint impressions obtained in the manner described in 1287
division (C)(2) of this section, the superintendent of the bureau 1288
of criminal identification and investigation shall conduct a 1289
criminal records check with respect to any person who has applied 1290
for a license, permit, or certification from the department of 1291
commerce or a division in the department. The superintendent shall 1292
conduct the criminal records check in the manner described in 1293
division (B) of this section to determine whether any information 1294
exists that indicates that the person who is the subject of the 1295
request previously has been convicted of or pleaded guilty to any 1296
of the following: a violation of section 2913.02, 2913.11, 1297
2913.31, 2913.51, or 2925.03 of the Revised Code; any other 1298
criminal offense involving theft, receiving stolen property, 1299
embezzlement, forgery, fraud, passing bad checks, money 1300
laundering, or drug trafficking, or any criminal offense involving 1301
money or securities, as set forth in Chapters 2909., 2911., 2913., 1302
2915., 2921., 2923., and 2925. of the Revised Code; or any 1303
existing or former law of this state, any other state, or the 1304
United States that is substantially equivalent to those offenses.1305

       (13) Not later than thirty days after the date the 1306
superintendent receives the request, completed form, and 1307
fingerprint impressions, the superintendent shall send the person, 1308
board, or entity that made the request any information, other than 1309
information the dissemination of which is prohibited by federal 1310
law, the superintendent determines exists with respect to the 1311
person who is the subject of the request that indicates that the 1312
person previously has been convicted of or pleaded guilty to any 1313
offense listed or described in division (A)(1), (2), (3), (4), 1314
(5), (6), (7), (8), (9), (10), (11), or (12) of this section, as 1315
appropriate. The superintendent shall send the person, board, or 1316
entity that made the request a copy of the list of offenses 1317
specified in division (A)(1), (2), (3), (4), (5), (6), (7), (8), 1318
(9), (10), (11), or (12) of this section, as appropriate. If the 1319
request was made under section 3701.881 of the Revised Code with 1320
regard to an applicant who may be both responsible for the care, 1321
custody, or control of a child and involved in providing direct 1322
care to an older adult, the superintendent shall provide a list of 1323
the offenses specified in divisions (A)(4) and (6) of this 1324
section.1325

       (B) The superintendent shall conduct any criminal records 1326
check requested under section 121.08, 173.27, 173.394, 1322.03, 1327
1322.031, 2151.86, 3301.32, 3301.541, 3319.39, 3701.881, 3712.09, 1328
3721.121, 3722.151, 4749.03, 4749.06, 4763.05, 5104.012, 5104.013, 1329
5111.95, 5111.965111.032, 5111.033, 5111.034, 5123.081, 5126.28, 1330
5126.281, or 5153.111 of the Revised Code as follows:1331

       (1) The superintendent shall review or cause to be reviewed 1332
any relevant information gathered and compiled by the bureau under 1333
division (A) of section 109.57 of the Revised Code that relates to 1334
the person who is the subject of the request, including any 1335
relevant information contained in records that have been sealed 1336
under section 2953.32 of the Revised Code;1337

       (2) If the request received by the superintendent asks for 1338
information from the federal bureau of investigation, the 1339
superintendent shall request from the federal bureau of 1340
investigation any information it has with respect to the person 1341
who is the subject of the request and shall review or cause to be 1342
reviewed any information the superintendent receives from that 1343
bureau.1344

        (3) The superintendent or the superintendent's designee may 1345
request criminal history records from other states or the federal 1346
government pursuant to the national crime prevention and privacy 1347
compact set forth in section 109.571 of the Revised Code.1348

       (C)(1) The superintendent shall prescribe a form to obtain 1349
the information necessary to conduct a criminal records check from 1350
any person for whom a criminal records check is required by 1351
section 121.08, 173.27, 173.394, 1322.03, 1322.031, 2151.86, 1352
3301.32, 3301.541, 3319.39, 3701.881, 3712.09, 3721.121, 3722.151, 1353
4749.03, 4749.06, 4763.05, 5104.012, 5104.013, 5111.95, 5111.961354
5111.032, 5111.033, 5111.034, 5123.081, 5126.28, 5126.281, or 1355
5153.111 of the Revised Code. The form that the superintendent 1356
prescribes pursuant to this division may be in a tangible format, 1357
in an electronic format, or in both tangible and electronic 1358
formats.1359

       (2) The superintendent shall prescribe standard impression 1360
sheets to obtain the fingerprint impressions of any person for 1361
whom a criminal records check is required by section 121.08, 1362
173.27, 173.394, 1322.03, 1322.031, 2151.86, 3301.32, 3301.541, 1363
3319.39, 3701.881, 3712.09, 3721.121, 3722.151, 4749.03, 4749.06, 1364
4763.05, 5104.012, 5104.013, 5111.95, 5111.965111.032, 5111.033, 1365
5111.034, 5123.081, 5126.28, 5126.281, or 5153.111 of the Revised 1366
Code. Any person for whom a records check is required by any of 1367
those sections shall obtain the fingerprint impressions at a 1368
county sheriff's office, municipal police department, or any other 1369
entity with the ability to make fingerprint impressions on the 1370
standard impression sheets prescribed by the superintendent. The 1371
office, department, or entity may charge the person a reasonable 1372
fee for making the impressions. The standard impression sheets the 1373
superintendent prescribes pursuant to this division may be in a 1374
tangible format, in an electronic format, or in both tangible and 1375
electronic formats.1376

       (3) Subject to division (D) of this section, the 1377
superintendent shall prescribe and charge a reasonable fee for 1378
providing a criminal records check requested under section 121.08, 1379
173.27, 173.394, 1322.03, 1322.031, 2151.86, 3301.32, 3301.541, 1380
3319.39, 3701.881, 3712.09, 3721.121, 3722.151, 4749.03, 4749.06, 1381
4763.05, 5104.012, 5104.013, 5111.95, 5111.965111.032, 5111.033, 1382
5111.034, 5123.081, 5126.28, 5126.281, or 5153.111 of the Revised 1383
Code. The person making a criminal records request under section 1384
121.08, 173.27, 173.394, 1322.03, 1322.031, 2151.86, 3301.32, 1385
3301.541, 3319.39, 3701.881, 3712.09, 3721.121, 3722.151, 4749.03, 1386
4749.06, 4763.05, 5104.012, 5104.013, 5111.95, 5111.96, 5123.081, 1387
5126.28, 5126.281, or 5153.111 of the Revised Code shall pay the 1388
fee prescribed pursuant to this division. A person making a 1389
request under section 3701.881 of the Revised Code for a criminal 1390
records check for an applicant who may be both responsible for the 1391
care, custody, or control of a child and involved in providing 1392
direct care to an older adult shall pay one fee for the request. 1393
In the case of a request under section 5111.033 of the Revised 1394
Code, the fee shall be paid in the manner specified in that 1395
section.1396

       (4) The superintendent of the bureau of criminal 1397
identification and investigation may prescribe methods of 1398
forwarding fingerprint impressions and information necessary to 1399
conduct a criminal records check, which methods shall include, but 1400
not be limited to, an electronic method.1401

       (D) A determination whether any information exists that 1402
indicates that a person previously has been convicted of or 1403
pleaded guilty to any offense listed or described in division 1404
(A)(1)(a) or (b), (A)(2)(a) or (b), (A)(3)(a) or (b), (A)(4)(a) or 1405
(b), (A)(5)(a) or (b), (A)(6)(a) or (b), (A)(7), (A)(8)(a) or (b), 1406
(A)(9)(a) or (b), (A)(10)(a) or (b), or (A)(12) of this section 1407
that is made by the superintendent with respect to information 1408
considered in a criminal records check in accordance with this 1409
section is valid for the person who is the subject of the criminal 1410
records check for a period of one year from the date upon which 1411
the superintendent makes the determination. During the period in 1412
which the determination in regard to a person is valid, if another 1413
request under this section is made for a criminal records check 1414
for that person, the superintendent shall provide the information 1415
that is the basis for the superintendent's initial determination 1416
at a lower fee than the fee prescribed for the initial criminal 1417
records check.1418

       (E) When the superintendent receives a request for 1419
information from a registered private provider, the superintendent 1420
shall proceed as if the request has been received from a school 1421
district board of education under section 3319.39 of the Revised 1422
Code. The superintendent shall apply division (A)(7) of this 1423
section to any such request for an applicant who is a teacher.1424

       (F) As used in this section:1425

       (1) "Criminal records check" means any criminal records check 1426
conducted by the superintendent of the bureau of criminal 1427
identification and investigation in accordance with division (B) 1428
of this section.1429

       (2) "Home and community-based waiver services" and "waiver 1430
agency" have the same meanings as in section 5111.95 of the 1431
Revised Code.1432

       (3) "Independent provider" has the same meaning as in section 1433
5111.96 of the Revised Code.1434

       (4) "Minor drug possession offense" has the same meaning as 1435
in section 2925.01 of the Revised Code.1436

       (5)(3) "Older adult" means a person age sixty or older.1437

       (4) "Registered private provider" means a nonpublic school or 1438
entity registered with the superintendent of public instruction 1439
under section 3310.41 of the Revised Code to participate in the 1440
autism scholarship program or section 3310.58 of the Revised Code 1441
to participate in the special education scholarship pilot program.1442

       Sec. 109.93.  The attorney general education fund is hereby 1443
created in the custody of the treasurer of state treasury. The 1444
fund shall consist of gifts and grants received by the attorney 1445
general for the purposes of the fund. The fund shall be 1446
administered by the attorney general and shall be used to support 1447
various educational programs. These educational programs may 1448
include programs for consumer protection, victims of crime, 1449
environmental protection, drug abuse, child abuse, peace officer 1450
training, crime prevention, and law. The fund may also be used to 1451
pay costs associated with the solicitation of gifts and grants for 1452
the purposes of the fund, and the costs of administering the fund. 1453
The fund shall not be used to replace money spent by local 1454
programs for similar purposes.1455

       Sec. 111.18.  (A) The secretary of state shall keep a record1456
of all fees collected by the secretary of state and, subject to1457
division (B) of section 1309.528 of the Revised Code and except as 1458
otherwise provided in the Revised Code, shall pay them into the1459
state treasury to the credit of the corporate and uniform1460
commercial code filing fund created by section 1309.528 of the1461
Revised Code.1462

       (B) The secretary of state may implement alternative payment1463
programs that permit payment of any fee charged by the secretary1464
of state by means other than cash, check, money order, or credit1465
card; an alternative payment program may include, but is not1466
limited to, one that permits a fee to be paid by electronic means1467
of transmission. Fees paid under an alternative payment program1468
shall be deposited to the credit of the secretary of state1469
alternative payment program fund, which is hereby created. The1470
secretary of state alternative payment program fund shall be in1471
the custody of the treasurer of state but shall not be part of the1472
state treasury. Any investment income of the secretary of state1473
alternative payment program fund shall be credited to that fund1474
and used to operate the alternative payment program. Within two1475
working days following the deposit of funds to the credit of the1476
secretary of state alternative payment program fund, the secretary1477
of state shall pay those funds into the state treasury to the1478
credit of the corporate and uniform commercial code filing fund,1479
subject to division (B) of section 1309.401 of the Revised Code1480
and except as otherwise provided in the Revised Code.1481

       The secretary of state shall adopt rules necessary to carry1482
out the purposes of this division.1483

       Sec. 118.01.  As used in this chapter:1484

       (A) "Advance tax payment notes" means the notes authorized by 1485
section 118.24 of the Revised Code.1486

       (B) "Appropriation measure" means any appropriation measure, 1487
amendment of an appropriation measure, or supplement to an 1488
appropriation measure of a municipal corporation, county, or 1489
township referred to in sections 5705.38 and 5705.40 of the 1490
Revised Code and any other action of a municipal corporation, 1491
county, or township authorizing expenditure of money not1492
previously included in any appropriation measure.1493

       (C) "Bond anticipation notes" means notes issued in1494
anticipation of the issuance of bonds.1495

       (D) "Certificate of estimated resources" means the official 1496
certificate of estimated resources of the county budget commission 1497
and amendments of the certificate certified to the municipal 1498
corporation, county, or township as provided for in Chapter 5705. 1499
of the Revised Code.1500

       (E) "Commission" means a financial planning and supervision 1501
commission created by section 118.05 of the Revised Code with 1502
respect to a municipal corporation, county, or township.1503

       (F) "Construction funds" means proceeds from the sale of debt 1504
obligations restricted by law or pursuant to the proceedings for 1505
the issuance of such debt obligations to use for permanent1506
improvements as defined in division (E) of section 5705.01 of the1507
Revised Code, including acquisition, construction, or extension of 1508
public utilities, and moneys from any other sources restricted to 1509
such purpose.1510

       (G) "County auditor" means the county auditor with whom tax1511
budgets of the municipal corporation, county, or township are to 1512
be filed in accordance with section 5705.30 of the Revised Code.1513

       (H) "County budget commission" means the county budget1514
commission to which the tax budget of the municipal corporation, 1515
county, or township is to be submitted in accordance with section 1516
5705.31 of the Revised Code.1517

       (I) "Current revenue notes" means debt obligations described 1518
in section 133.10 or Chapter 5705. of the Revised Code or any 1519
other debt obligations issued to obtain funds for current1520
operating expenses.1521

       (J) "Debt limits" means the limitations on net indebtedness 1522
provided in sections 133.05, 133.07, and 133.09 of the Revised 1523
Code, and also includes the limitation, known as the "indirect 1524
debt limit," upon the issuance of unvoted bonds, notes, or 1525
certificates of indebtedness resulting from the ten-mill 1526
limitation provided for in section 5705.02 of the Revised Code.1527

       (K) "Debt obligations" means bonds, notes, certificates of1528
indebtedness, bond anticipation notes, current revenue notes,1529
local government fund notes, local communities fund notes, or 1530
other obligations issued or incurred in borrowing money, or to 1531
renew, refund, fund, or refinance, or issued in exchange for, such 1532
obligations, and any interest coupons pertaining thereto other 1533
than bonds or other obligations issued under authority of Section 1534
13 of Article VIII, Ohio Constitution.1535

       (L) "Default" means failure to pay the principal of or the1536
interest on a debt obligation, or failure to make other payment to 1537
be made to the holder or owner of a debt obligation, in the full 1538
amount and at the time provided for in the contractual commitment 1539
with respect thereto, unless the time for such payment has been 1540
extended by the owner or holder of the debt obligation without 1541
penalty or premium and without the effect of subjecting the 1542
municipal corporation, county, or township to the initiation of 1543
remedies pertaining to such debt obligation or other debt 1544
obligations.1545

       (M) "Deficit fund" means the general fund or any special fund 1546
that, as at the time indicated, has a deficit balance or a balance 1547
that is less than the amount required to be in such fund pursuant 1548
to law or pursuant to contractual requirements, demonstrating that 1549
over a period of time expenditures charged or chargeable to the 1550
fund have exceeded moneys credited to the fund, or that moneys 1551
credited to the fund have not been in the amounts required by law 1552
or contractual requirements.1553

       (N) "Effective financial accounting and reporting system"1554
means an accounting and reporting system fully in compliance with1555
the requirements prescribed by and pursuant to Chapter 117. of the 1556
Revised Code, with such modifications and supplements as are to be 1557
provided pursuant to this chapter in order to meet and deal with 1558
the fiscal emergency, provide to the auditor of state, the1559
commission, the financial supervisor, and the county budget1560
commission the information needed to carry out their functions,1561
and better ensure the implementation of the financial plan.1562

       (O) "Financial plan" means the financial plan approved by the 1563
commission in accordance with section 118.06 of the Revised Code, 1564
as it may from time to time be amended in accordance with this 1565
chapter.1566

       (P) "Financial supervisor" means the auditor of state.1567

       (Q) "Fiscal emergency" means the existence of fiscal1568
emergency conditions determined as provided in section 118.04 of1569
the Revised Code.1570

       (R) "Fiscal emergency conditions" means any of the events or 1571
occurrences described in section 118.03 of the Revised Code.1572

       (S) "Fiscal emergency period" means the period of time1573
commencing on the date when the determination of a fiscal1574
emergency is made by the auditor of state pursuant to section1575
118.04 of the Revised Code and ending when the determination of1576
termination is made and certified pursuant to section 118.27 of1577
the Revised Code.1578

       (T) "Fiscal watch" means the existence of fiscal watch 1579
conditions as determined in accordance with section 118.022 of the 1580
Revised Code.1581

       (U) "Fiscal officer" means the fiscal officer of the1582
municipal corporation, county, or township as defined in division 1583
(D) of section 5705.01 of the Revised Code.1584

       (V) "Fringe benefits" means expenditures for goods and1585
services furnished to municipal, county, or township officers or1586
employees by the municipal corporation, county, or township,1587
including, but not limited to, such benefits as food, temporary 1588
housing, and clothing, and the provision of pension, retirement, 1589
disability, hospitalization, health care, insurance, or other 1590
benefits to employees requiring the advance payment of money other 1591
than directly to employees or other beneficiaries, or the deposit 1592
or reservation of money for such purpose.1593

       (W) "General fund" means the fund referred to in division (A) 1594
of section 5705.09 of the Revised Code.1595

       (X) "General fund budget" means aggregate revenues available 1596
in the general fund during the applicable fiscal year as shown by 1597
the certificate of estimated resources.1598

       (Y) "Mayor" means the officer of the municipal corporation 1599
designated as such by law or the chief executive officer under the 1600
charter of the municipal corporation.1601

       (Z) "Payroll" means compensation due and payable to employees 1602
of the municipal corporation, county, or township, other than 1603
fringe benefits.1604

       (AA) "Revenue estimates" means the estimates of revenue1605
receipts to the credit of the general fund and special funds as1606
estimated and supplemented, modified, or amended by the municipal 1607
corporation, county, or township, or the county budget commission.1608

       (BB) "Special funds" means any of the funds, other than the 1609
general fund, referred to in sections 5705.09 and 5705.12 of the 1610
Revised Code, and includes any fund created from the issuance of 1611
debt obligations pursuant to Section 3 or 12 of Article XVIII,1612
Ohio Constitution, and any fund created in connection with the1613
issuance of debt obligations to provide moneys for the payment of1614
principal or interest, reserves therefor, or reserves or funds for 1615
repair, maintenance, or improvements.1616

       (CC) "Tax budget" means the tax budget provided for in1617
section 5705.28 of the Revised Code.1618

       Sec. 118.08.  (A) The members of the financial planning and1619
supervision commission shall serve without compensation, but shall1620
be paid by the commission their necessary and actual expenses1621
incurred while engaged in the business of the commission.1622

       (B) All expenses incurred for services rendered by the1623
financial supervisor for a period of twenty-four months shall be1624
paid by the commission pursuant to an appropriation made by the1625
general assembly for this purpose. Expenses incurred for services1626
rendered by the financial supervisor beyond this period shall be1627
borne by the municipal corporation, county, or township unless the1628
director of budget and management waives the costs and allows1629
payment in accordance with the following:1630

       (1) If the continued performance of the financial supervisor1631
is required for a period of twenty-five to thirty months, the1632
municipal corporation, county, or township is responsible for1633
twenty per cent of the compensation due.1634

       (2) If the continued performance of the financial supervisor1635
is required for a period of thirty-one to thirty-six months, the1636
municipal corporation, county, or township is responsible for1637
fifty per cent of the compensation due.1638

       (3) If the continued performance of the financial supervisor1639
is required for a period of thirty-seven months or more, the1640
municipal corporation, county, or township is responsible for one1641
hundred per cent of the compensation due except as otherwise1642
provided in division (B)(4) of this section.1643

       (4) If the continued performance of the financial supervisor1644
has been required longer than eight fiscal years for any municipal1645
corporation, county, or township declared to be in a fiscal1646
emergency prior to fiscal year 1996, that municipal corporation,1647
county, or township is responsible for fifty per cent of the1648
compensation due in its ninth fiscal year while in fiscal1649
emergency and one hundred per cent of the compensation due in its1650
tenth fiscal year and every fiscal year thereafter while in fiscal 1651
emergency.1652

       (C) If the municipal corporation, county, or township fails1653
to make any payment to the financial supervisor as required by1654
this chapter, the financial supervisor may certify to the county1655
auditor the amount due, and that amount shall be withheld from the1656
municipal corporation, county, or township from any fund or funds1657
in the custody of the county auditor for distribution to the1658
municipal corporation, county, or township, except for those1659
reserved for payment of local government fund or local communities1660
fund notes. Upon receiving the certification from the financial 1661
supervisor, the county auditor shall draw a voucher for the amount 1662
against those fund or funds in favor of the financial supervisor.1663

       Sec. 118.17.  (A) During a fiscal emergency period and with 1664
the approval of the financial planning and supervision commission, 1665
a municipal corporation, county, or township may issue local 1666
governmentcommunities fund notes, in anticipation of amounts to 1667
be allocated to it pursuant to division (B) of section 5747.50 of 1668
the Revised Code or to be apportioned to it under section 5747.51 1669
or 5747.53 of the Revised Code in a future year or years, for a 1670
period of no more than eight calendar years. The principal amount 1671
of the notes and interest on the notes due and payable in any year 1672
shall not exceed fifty per cent of the total amount of local 1673
government fund or local communities fund moneys so allocated or 1674
apportioned to the municipal corporation, county, or township for1675
the year preceding the year in which the notes are issued. The1676
notes may mature in semiannual or annual installments in such1677
amounts as may be fixed by the commission, and need not mature in1678
substantially equal semiannual or annual installments. The notes1679
of a municipal corporation may be authorized and issued, subject 1680
to the approval of the commission, in the manner provided in 1681
sections 717.15 and 717.16 of the Revised Code, except that, 1682
notwithstanding division (A)(2) of section 717.16 of the Revised 1683
Code, the rate or rates of interest payable on the notes shall be 1684
the prevailing market rate or rates as determined and approved by 1685
the commission, and except that they shall not be issued in 1686
anticipation of bonds, shall not constitute general obligations of 1687
the municipal corporation, and shall not pledge the full faith and 1688
credit of the municipal corporation.1689

       (B) The principal and interest on the notes provided for in 1690
this section shall be payable, as provided in this section, solely 1691
from the portion of the local governmentcommunities fund that 1692
would otherwise be apportioned to the municipal corporation,1693
county, or township and shall not be payable from or constitute a 1694
pledge of or claim upon, or require the levy, collection, or 1695
application of, any unvoted ad valorem property taxes or other 1696
taxes, or in any manner occupy any portion of the indirect debt 1697
limit.1698

       (C) Local governmentcommunities fund notes may be issued 1699
only to the extent needed to achieve one or more of the following 1700
objectives of the financial plan:1701

       (1) Satisfying any contractual or noncontractual judgments, 1702
past due accounts payable, and all past due and payable payroll 1703
and fringe benefits to be taken into account under section 118.03 1704
of the Revised Code;1705

       (2) Restoring to construction funds or other restricted funds 1706
any money applied from such funds to uses not within the purposes 1707
of such funds and which could not be transferred to such use under 1708
section 5705.14 of the Revised Code;1709

       (3) Eliminating deficit balances in all deficit funds,1710
including funds that may be used to pay operating expenses.1711

       In addition to the objectives set forth in divisions (C)(1)1712
to (3) of this section, local governmentcommunities fund notes 1713
may be issued and the proceeds of those notes may be used for the 1714
purpose of retiring or replacing other moneys used to retire 1715
current revenue notes issued pursuant to section 118.23 of the 1716
Revised Code to the extent that the proceeds of the current 1717
revenue notes have been or are to be used directly or to replace 1718
other moneys used to achieve one or more of the objectives of the 1719
financial plan specified in divisions (C)(1) to (3) of this 1720
section. Upon authorization of the local governmentcommunities1721
fund notes by the legislative authority of the municipal 1722
corporation, county, or township, the proceeds of the local1723
governmentcommunities fund notes and the proceeds of any such 1724
current revenue notes shall be deemed to be appropriated, to the 1725
extent that the proceeds have been or are to be so used, for the1726
purposes for which the revenues anticipated by any such current1727
revenue notes are collected and appropriated within the meaning of 1728
section 133.10 of the Revised Code.1729

       (D) The need for an issue of local governmentcommunities1730
fund notes for such purposes shall be determined by taking into1731
consideration other money and sources of moneys available therefor 1732
under this chapter or other provisions of law, and calculating the 1733
respective amounts needed therefor in accordance with section 1734
118.03 of the Revised Code, including the deductions or offsets 1735
therein provided, for determining that a fiscal emergency 1736
condition exists, and by eliminating any duplication of amounts 1737
thereunder. The respective amounts needed to achieve such 1738
objectives and the resulting aggregate net amount shall be1739
determined initially by a certification of the fiscal officer as1740
and to the extent approved by the financial supervisor. The1741
principal amount of such notes shall not exceed the aggregate net1742
amount needed for such purposes. The aggregate amount of all1743
issues of such notes shall not exceed three times the average of1744
the allocation or apportionment to the municipal corporation, 1745
county, or township of moneys from the local government1746
communities fund in each of the three fiscal years preceding the 1747
fiscal year in which the notes are issued.1748

       (E) The proceeds of the sale of local governmentcommunities1749
fund notes shall be appropriated by the municipal corporation, 1750
county, or township for and shall be applied only to the purposes, 1751
and in the respective amounts for those purposes, set forth in the 1752
certification given pursuant to division (D) of this section, as 1753
the purposes and amounts may be modified in the approval by the 1754
commission provided for in this section. The proceeds shall be 1755
deposited in separate accounts with a fiscal agent designated in 1756
the resolution referred to in division (F) of this section and 1757
released only for such respective purposes in accordance with the 1758
procedures set forth in division (D) of section 118.20 of the 1759
Revised Code. Any amounts not needed for such purposes shall be 1760
deposited with the fiscal agent designated to receive deposits for 1761
payment of the principal of and interest due on the notes.1762

       (F) An application for approval by the financial planning and 1763
supervision commission of an issue of local governmentcommunities1764
fund notes shall be authorized by a preliminary resolution adopted 1765
by the legislative authority. The resolution may authorize the1766
application as a part of the initial submission of the financial1767
plan for approval or as a part of any proposed amendment to an1768
approved financial plan or at any time after the approval of a1769
financial plan, or amendment to a financial plan, that proposes1770
the issue of such notes. The preliminary resolution shall1771
designate a fiscal agent for the deposit of the proceeds of the1772
sale of the notes, and shall contain a covenant of the municipal 1773
corporation, county, or township to comply with this chapter and 1774
the financial plan.1775

       The commission shall review and evaluate the application and 1776
supporting certification and financial supervisor action, and1777
shall thereupon certify its approval or disapproval, or1778
modification and approval, of the application.1779

       The commission shall certify the amounts, maturities,1780
interest rates, and terms of issue of the local government1781
communities fund notes approved by the commission and the purposes 1782
to which the proceeds of the sale of the notes will be applied in 1783
respective amounts.1784

       The commission shall certify a copy of its approval, of the1785
preliminary resolution, and of the related certification and1786
action of the financial supervisor to the fiscal officer, the1787
financial supervisor, the county budget commission, the county1788
auditor, the county treasurer, and the fiscal agent designated to1789
receive and disburse the proceeds of the sale of the notes.1790

       (G) Upon the sale of any local governmentcommunities fund 1791
notes issued under this section, the commission shall determine a1792
schedule for the deposit of local governmentcommunities fund 1793
distributions that are pledged for the payment of the principal of 1794
and interest on the notes with the fiscal agent or trustee 1795
designated in the agreement between the municipal corporation, 1796
county, or township and the holders of the notes to receive and 1797
disburse the distributions. The amounts to be deposited shall be 1798
adequate to provide for the payment of principal and interest on 1799
the notes when due and to pay all other proper charges, costs, or 1800
expenses pertaining thereto.1801

       The amount of the local governmentcommunities fund moneys 1802
apportioned to the municipal corporation, county, or township that 1803
is to be so deposited in each year shall not be included in the 1804
tax budget and appropriation measures of the municipal 1805
corporation, county, or township, or in certificates of estimated 1806
revenues, for that year.1807

       The commission shall certify the schedule to the officers1808
designated in division (F) of this section.1809

       (H) Deposit of amounts with the fiscal agent or trustee1810
pursuant to the schedule determined by the commission shall be1811
made from local governmentcommunities fund distributions to or 1812
apportioned to the municipal corporation, county, or township as 1813
provided in this division. The apportionment of local government1814
communities fund moneys to the municipal corporation, county, or 1815
township for any year from the undivided local government1816
communities fund shall be determined as to the municipal 1817
corporation, county, or township without regard to the amounts to 1818
be deposited with the fiscal agent or trustee in that year in1819
accordance with division (G) of this section. After the amount of 1820
the undivided local governmentcommunities fund apportioned to the1821
municipal corporation, county, or township for a calendar year is 1822
determined, the county auditor and the county treasurer shall 1823
withhold from each monthly amount to be distributed to the 1824
municipal corporation, county, or township from the undivided1825
local governmentcommunities fund, and transmit to the fiscal 1826
agent or trustee for deposit, one-twelfth of the amount scheduled 1827
for deposit in that year pursuant to division (G) of this section.1828

       (I) If the commission approves the application, the municipal 1829
corporation, county, or township may proceed with the issuance of 1830
the notes as approved by the commission.1831

       All notes issued under authority of this section are lawful1832
investments for the entities enumerated in division (A)(1) of1833
section 133.03 of the Revised Code and are eligible as security1834
for the repayment of the deposit of public moneys.1835

       Upon the issuance of any notes under this section, the fiscal 1836
officer of the municipal corporation, county, or township shall 1837
certify the fact of the issuance to the county auditor and shall 1838
also certify to the county auditor the last calendar year in which 1839
any of the notes are scheduled to mature.1840

       (J) After the legislative authority of the municipal1841
corporation, county, or township has passed an ordinance or 1842
resolution authorizing the issuance of local government1843
communities fund notes and subsequent to the commission's1844
preliminary or final approval of the ordinance or resolution, the 1845
director of law, prosecuting attorney, or other chief legal 1846
officer of the municipal corporation, county, or township shall1847
certify a sample of the form and content of a note to be used to1848
issue the local governmentcommunities fund notes to the 1849
commission. The commission shall determine whether the sample note 1850
is consistent with this section and the ordinance or resolution 1851
authorizing the issuance of the local governmentcommunities fund 1852
notes, and if the sample note is found to be consistent with this 1853
section and the ordinance, the commission shall approve the sample 1854
note for use by the municipal corporation, county, or township. 1855
The form and content of the notes to be used by the municipal 1856
corporation, county, or township in issuing the local government1857
communities fund notes may be modified at any time subsequent to 1858
the commission's approval of the sample note upon the approval of 1859
the commission and the director of law, prosecuting attorney, or 1860
other chief legal officer of the municipal corporation, county, or 1861
township. The failure of the director of law, prosecuting 1862
attorney, or other chief legal officer of the municipal 1863
corporation, county, or township to make the certification 1864
required by this division shall not subject that legal officer to 1865
removal pursuant to the Revised Code or the charter of a municipal 1866
corporation. If the director of law, prosecuting attorney, or1867
other chief legal officer fails or refuses to make the1868
certification required by this division, or if any officer of the1869
municipal corporation, county, or township fails or refuses to 1870
take any action required by this section or the ordinance or 1871
resolution authorizing the issuance or sale of local government1872
communities fund notes, the mayor of the municipal corporation or 1873
the board of county commissioners or board of township trustees 1874
may cause the commencement of a mandamus action in the supreme 1875
court against the director of law, prosecuting attorney, or other 1876
chief legal officer to secure the certification required by this 1877
division or other action required by this section or the ordinance 1878
or resolution. If an adjudication of the matters that could be 1879
adjudicated in validation proceedings under section 133.70 of the 1880
Revised Code is necessary to a determination of the mandamus 1881
action, the mayor, the board of county commissioners, or the board 1882
of township trustees or the mayor's or board's legal counsel shall 1883
name and cause to be served as defendants to the mandamus action 1884
all of the following:1885

       (1) The director of law, prosecuting attorney, or other chief 1886
legal officer, or other official of the municipal corporation, 1887
county, or township, whose failure or refusal to act necessitated 1888
the action;1889

       (2) The municipal corporation, through its mayor, or the 1890
board of county commissioners or board of township trustees;1891

       (3) The financial planning and supervision commission,1892
through its chairperson;1893

       (4) The prosecuting attorney and auditor of each county in1894
which the municipal corporation, county, or township is located, 1895
in whole or in part;1896

       (5) The auditor of state;1897

       (6) The property owners, taxpayers, citizens of the municipal 1898
corporation, county, or township and others having or claiming any 1899
right, title, or interest in any property or funds to be affected 1900
by the issuance of the local governmentcommunities fund notes by 1901
the municipal corporation, county, or township, or otherwise 1902
affected in any way thereby.1903

       Service upon all defendants described in division (J)(6) of1904
this section shall be by publication three times, with at least1905
six days between each publication, in a newspaper of general1906
circulation in Franklin county and a newspaper of general1907
circulation in the county or counties where the municipal 1908
corporation, county, or township is located. The publication and 1909
the notice shall indicate that the nature of the action is in 1910
mandamus, the name of the parties to the action, and that the 1911
action may result in the validation of the subject local 1912
governmentcommunities fund notes. Authorization to commence such 1913
an action by the legislative authority of the municipal 1914
corporation, county, or township is not required.1915

       A copy of the complaint in the mandamus action shall be1916
served personally or by certified mail upon the attorney general. 1917
If the attorney general has reason to believe that the complaint1918
is defective, insufficient, or untrue, or if in the attorney1919
general's opinion the issuance of the local governmentcommunities1920
fund notes is not lawful or has not been duly authorized, defense 1921
shall be made to the complaint as the attorney general considers 1922
proper.1923

       (K) The action in mandamus authorized by division (J) of this 1924
section shall take priority over all other civil cases pending in 1925
the court, except habeas corpus, and shall be determined with the 1926
least possible delay. The supreme court may determine that the 1927
local governmentcommunities fund notes will be consistent with 1928
the purpose and effects, including not occupying the indirect debt 1929
limit, provided for in this section and will be validly issued and 1930
acquired. Such a determination shall include a finding of 1931
validation of the subject local governmentcommunities fund notes 1932
if the court specifically finds that:1933

       (1) The complaint in mandamus, or subsequent pleadings,1934
include appropriate allegations required by division (C) of1935
section 133.70 of the Revised Code, and that the proceeding is in1936
lieu of an action to validate under section 133.70 of the Revised1937
Code;1938

       (2) All parties described in divisions (J)(1) to (6) of this 1939
section have been duly served with notice or are otherwise1940
properly before the court;1941

       (3) Notice of the action has been published as required by1942
division (J) of this section;1943

       (4) The effect of validation is required to provide a1944
complete review and determination of the controversy in mandamus,1945
and to avoid duplication of litigation, danger of inconsistent1946
results, or inordinate delay in light of the fiscal emergency, or 1947
that a disposition in the mandamus action would, as a practical 1948
matter, be dispositive of any subsequent validation proceedings 1949
under section 133.70 of the Revised Code.1950

       (L) Any decision that includes a finding of validation has1951
the same effect as a validation order established by an action1952
under section 133.70 of the Revised Code.1953

       (M) Divisions (J) and (K) of this section do not prevent a1954
municipal corporation, county, or township from using section 1955
133.70 of the Revised Code to validate local government1956
communities fund notes by the filing of a petition for validation 1957
in the court of common pleas of the county in which the municipal 1958
corporation, county, or township is located, in whole or in part.1959

       (N) It is hereby determined by the general assembly that a1960
validation action authorized by section 133.70 of the Revised Code 1961
is not an adequate remedy at law with respect to a municipal 1962
corporation, county, or township that is a party to a mandamus 1963
action pursuant to divisions (J) and (K) of this section and in 1964
which a fiscal emergency condition has been determined to exist 1965
pursuant to section 118.04 of the Revised Code because of, but not 1966
limited to, the following reasons:1967

       (1) It is urgently necessary for such a municipal1968
corporation, county, or township to take prompt action to issue 1969
local governmentcommunities fund notes for the purposes provided 1970
in division (C) of this section;1971

       (2) The potentially ruinous effect upon the fiscal condition 1972
of a municipal corporation, county, or township by the passage of 1973
the time required to adjudicate such a separate validation action 1974
and any appeals thereof;1975

       (3) The reasons stated in division (K)(4) of this section.1976

       Sec. 118.20.  Pursuant to section 118.19 of the Revised Code:1977

       (A) The ordinance or resolution authorizing the debt 1978
obligations may provide for the pledge of, and covenants to levy, 1979
charge, collect, deposit, and apply ad valorem property taxes, 1980
income taxes, excises, utility revenues, local government1981
communities fund receipts, permit and license fees, and any other 1982
receipts from taxes, permits, licenses, fines, or other sources of 1983
revenue of the municipal corporation, county, or township; accrued1984
and capitalized interest and premium from the proceeds of the sale 1985
of the debt obligations, lawfully available for the purpose, to 1986
the payment of the debt service and costs of issuing, carrying, 1987
redeeming, and retiring such debt obligations; covenants in 1988
respect of the establishment, investment, segregation, and 1989
maintenance of any funds or reserves in connection with the debt 1990
obligations and any other funds of the municipal corporation, 1991
county, or township. No pledge may be made in a manner which1992
impairs the contract rights of the holders of any outstanding debt 1993
obligations.1994

       (B) The ordinance or resolution authorizing the debt 1995
obligations may designate a fiscal agent for the debt obligations, 1996
or the fiscal agent may be designated by other ordinance or 1997
resolution of the legislative authority of the municipal 1998
corporation, county, or township. The fiscal agent may be a 1999
purchaser of such debt obligations or other debt obligations of 2000
the municipal corporation, county, or township.2001

       (C) The ordinance or resolution authorizing the debt 2002
obligations may provide for immediate or periodic deposit of 2003
pledged receipts or a portion thereof in one or more separate bank 2004
accounts, funds, or other accounts established with the fiscal 2005
agent. Provision may be made therein for pledged receipts that are 2006
collected by the state, the county, the township, or any agency 2007
for the municipal corporation, county, or township to be2008
transferred by the appropriate officer of the state or county or2009
agency having charge of the collection or distribution of such2010
pledged receipts directly to the fiscal agent for deposit under2011
the ordinance or resolution. Such officers of the state and county 2012
or agent shall transfer such pledged receipts in accordance with 2013
this section and the ordinance. The fiscal agent shall disburse 2014
funds so held for payments when due in accordance with the 2015
ordinance or resolution, including the transfer of funds to paying 2016
agents for the debt obligations at the times and in the amounts 2017
required. Until needed for such purposes, the fiscal agent shall 2018
invest the funds on behalf of the municipal corporation, county, 2019
or township in obligations that are lawful for the investment of 2020
public funds of the municipal corporation, county, or township, 2021
including provisions for such investments in a municipal charter, 2022
in the manner provided for in the ordinance or resolution. Funds 2023
held by the fiscal agent and all moneys and securities therein and 2024
pledged receipts payable thereto in accordance with the ordinance 2025
or resolution are hereby declared to be property of the municipal 2026
corporation, county, or township devoted to essential governmental 2027
purposes and accordingly shall not be applied to any purpose other 2028
than as provided herein and shall not be subject to any order, 2029
judgment, lien, execution, attachment, setoff, or counterclaim by 2030
any creditor of the municipal corporation, county, or township 2031
other than a creditor for whose benefit such fund is established 2032
and maintained and who is entitled thereto under and pursuant to 2033
this section.2034

       (D) The ordinance or resolution authorizing the debt 2035
obligations shall provide that proceeds of the debt obligations 2036
shall be deposited with a fiscal agent in a special and separate 2037
bank account and held in trust and expended only for the object or 2038
purpose for which such debt obligations were issued. A copy of the 2039
ordinance or resolution authorizing the debt obligations shall be 2040
filed with such fiscal agent at or prior to the time the proceeds 2041
are made available to the municipal corporation, county, or 2042
township. No moneys shall be withdrawn from such account unless 2043
there is filed with such fiscal agent a written requisition of the 2044
fiscal officer of the municipal corporation, county, or township 2045
or the fiscal officer's authorized deputy, setting forth the item 2046
number of the requisition or the account to be charged, the name 2047
of the person to whom payment is due, the amount to be paid, a 2048
statement to the effect that the obligation in the stated amount 2049
has been incurred by the municipal corporation, county, or2050
township and is a proper charge against such account, and such 2051
other information as may be required by the ordinance or2052
resolution. Pending such withdrawals, the moneys shall be 2053
invested for and on behalf of the municipal corporation, county, 2054
or township by the fiscal agent in obligations which are lawful 2055
for the investment of public funds of the municipal corporation, 2056
county, or township, including provisions for such investments in 2057
a municipal charter, in the manner as provided for in the2058
ordinance or resolution.2059

       (E) Amounts held by fiscal agents shall be accounted for in 2060
the appropriate special funds of the municipal corporation, 2061
county, or township as if held in the treasury of the municipal 2062
corporation, county, or township, and the fiscal agents shall2063
provide such information to the municipal corporation, county, or 2064
township as is necessary for the purpose.2065

       (F) The ordinance or resolution authorizing the debt 2066
obligations may contain covenants of the municipal corporation, 2067
county, or township to protect and safeguard the security and 2068
rights of the holders of such debt obligations, and without 2069
limiting the generality of the foregoing, such ordinance or 2070
resolution may contain covenants as to:2071

       (1) Establishment and maintenance of the funds to be held by 2072
fiscal agents as provided in this section and section 118.23 of 2073
the Revised Code, the times, amounts, and levels for deposits to 2074
such funds, and the obligations in which the proceeds of such2075
funds may be invested pending their use, subject to such2076
limitations on investment of public funds otherwise provided for2077
by law or pursuant to the charter of a municipal corporation;2078

       (2) The appointment, rights, powers, and duties of the fiscal 2079
agent, including limiting or abrogating the right of the holders 2080
to appoint a trustee pursuant to section 118.21 of the Revised 2081
Code and vesting in the fiscal agent all or any of such rights, 2082
powers, and duties, in trust;2083

       (3) The execution of a credit agreement with the fiscal agent 2084
for the benefit of holders of such debt obligations and for the 2085
benefit of any other holders of other debt obligations of the2086
municipal corporation, county, or township then outstanding, 2087
provided, however, that such benefit conferred on such holders of 2088
such outstanding debt obligations shall not be deemed to restrict, 2089
preclude, or otherwise impair any rights that such holders 2090
otherwise may assert;2091

       (4) Filings, review, and correction of tax budgets,2092
appropriation measures, annual reports, audits, and other matters2093
of financial record;2094

       (5) Compliance with the provisions of this chapter and the2095
financial plan and other laws applicable to the municipal 2096
corporation, county, or township including Chapters 133. and 5705. 2097
of the Revised Code, and with further restrictions on the powers, 2098
rights, and duties of the municipal corporation, county, or 2099
township necessary, appropriate, or desirable for the proper,2100
provident, and efficient management of financial affairs that the2101
municipal corporation, county, or township, with the approval of 2102
the commission or, when authorized by the commission, the 2103
financial supervisor, determines will assure prompt payment when 2104
due of its debt obligations;2105

       (6) Conditions that would give rise to an event of default2106
under the terms of such ordinance and actions and remedies that2107
the fiscal agent may take or assert on behalf of the holders of2108
such debt obligations;2109

       (7) Restrictions on the issuance of other debt obligations.2110

       Sec. 118.23.  (A) This section shall be applicable to current 2111
revenue notes approved by the financial planning and supervision 2112
commission or, when authorized by the commission, the financial 2113
supervisor pursuant to section 118.15 of the Revised Code and 2114
issued by a municipal corporation, county, or township pursuant to 2115
section 133.10 of the Revised Code and this section during a 2116
fiscal emergency period.2117

       (B) In the case of the issuance of such current revenue notes 2118
in anticipation of ad valorem property taxes, the county auditors 2119
of the counties in which the municipal corporation, county, or 2120
township is located, at the time of and from each distribution to 2121
the municipality of the proceeds of the anticipated taxes, 2122
including any payments from the state pursuant to sections 321.24 2123
and 323.156 of the Revised Code, whether such distribution be in 2124
the form of an advance or settlement that would otherwise have 2125
been paid to a fund or funds of the municipal corporation, county, 2126
or township, shall draw a separate warrant for payment to the 2127
county auditor for deposit in a special account to be held and 2128
applied pursuant to this section by the county auditor as fiscal 2129
agent and entitled "....... (insert name of municipal corporation, 2130
county, or township) current tax revenue note retirement account," 2131
that portion of such distribution as provided for in the ordinance 2132
or resolution authorizing such notes pursuant to this section.2133

       (C) In the case of the issuance of such current revenue notes 2134
in anticipation of revenues other than ad valorem property taxes, 2135
the ordinance or resolution authorizing such notes shall provide 2136
for the times and amounts of deposits with the fiscal agent by the2137
municipal corporation, county, or township of moneys from the 2138
revenues anticipated that shall be deposited in a special account 2139
to be held and applied by the fiscal agent pursuant to this 2140
section and entitled ".......... (insert name of municipal 2141
corporation, county, or township) current revenue note retirement2142
account." Such ordinance or resolution may provide for the direct 2143
deposit to such account by the auditor of state and the county 2144
auditor or county auditors of the receiving counties, as 2145
appropriate, of such portions as therein specified of local 2146
governmentcommunities fund distribution to be made to the 2147
municipal corporation, county, or township.2148

       (D) The moneys in the accounts provided for in divisions (B) 2149
and (C) of this section are pledged and shall be used, so long as 2150
any portion of the debt service on such notes payable from the 2151
respective account is unpaid, solely for the purpose of paying 2152
such debt service, and for any reserves for debt service provided 2153
for in the ordinance or resolution authorizing such debt2154
obligations. If accumulated payments into either account produce 2155
an amount less than that needed to make a timely payment of debt 2156
service or to such reserves, the full amount needed to make up any 2157
such deficiency shall be paid, in the case of the current tax 2158
revenue note retirement account, by the county auditor into such 2159
account from the last distribution or distributions to the2160
municipal corporation, county, or township of the proceeds of the 2161
anticipated taxes to be received prior to the date of such 2162
payment, and in the case of the current revenue note retirement 2163
account, by the fiscal officer from the anticipated revenues 2164
received prior to the date of such payment.2165

       (E) The amounts to be deposited in each respective account2166
pursuant to divisions (B), (C), and (D) of this section must be2167
sufficient, in time and amount, to pay the principal of and2168
interest on current notes payable from such account at their2169
stated payment dates and to develop and maintain the required2170
amounts in any such reserves.2171

       (F) The municipal corporation, county, or township shall not 2172
be entitled to receive from the fiscal agent any moneys held in 2173
the current tax revenue note retirement account or current revenue 2174
note retirement account, except that any surplus moneys remaining 2175
in either such account after the payment in full of the debt 2176
service on the notes payable therefrom shall be paid to the 2177
municipal corporation, county, or township, to be used for any 2178
lawful purpose of the municipal corporation, county, or township 2179
for which the anticipated revenues themselves might have been 2180
used.2181

       (G) Current revenue notes of a municipal corporation, county, 2182
or township issued during a fiscal emergency period may mature on 2183
or before the thirty-first day of December of the calendar year in 2184
which issued, may, when issued in anticipation of the collection 2185
of current tax revenues, anticipate one-half of the amount that 2186
the budget commission estimates the subdivision will receive from 2187
all property taxes that are to be distributed to the subdivision 2188
from all settlements of taxes that are to be made in the remainder 2189
of that year, other than taxes to be received for the payment of2190
debt charges, and less all advances, and may, if issued during the 2191
last two months of the calendar year in which the fiscal emergency 2192
period commenced, anticipate one-half the estimated amount of ad 2193
valorem property taxes levied in that year for the tax budget of 2194
the following year which were authorized to be levied by the 2195
municipal charter or otherwise authorized by vote of the 2196
electorate of the municipal corporation, county, or township and 2197
may mature not later than the thirty-first day of December of the 2198
year following the year in which such notes are issued, 2199
notwithstanding section 133.10 of the Revised Code.2200

       (H) Pursuant to section 118.19 of the Revised Code, the2201
municipal corporation, county, or township may utilize any of the 2202
special provisions of sections 118.20 to 118.22 of the Revised 2203
Code in connection with such current revenue notes.2204

       (I) Before any such current revenue notes may be authorized, 2205
the municipal corporation, county, or township shall submit to the 2206
commission and the commission or, when authorized by the 2207
commission, the financial supervisor shall approve:2208

       (1) A schedule of projected revenues and expenses of the2209
municipal corporation, county, or township during the period in 2210
which such notes would be outstanding, demonstrating an 2211
anticipated cash flow deficit during such period, the amount of 2212
such anticipated cash flow deficit, and the necessity for the 2213
issuance of such current revenue notes to avoid the occurrence of 2214
such a cash flow deficit;2215

       (2) The terms of the proposed notes, including the interest 2216
rate or rates to be paid thereon;2217

       (3) The schedule, showing times, amounts, and sources of2218
payment, for deposits into the account from which such notes are2219
to be paid;2220

       (4) Other documents and data required under section 118.15 of 2221
the Revised Code.2222

       Sec. 119.07.  Except when a statute prescribes a notice and2223
the persons to whom it shall be given, in all cases in which2224
section 119.06 of the Revised Code requires an agency to afford an 2225
opportunity for a hearing prior to the issuance of an order, the 2226
agency shall give notice to the party informing himthe party of 2227
histhe party's right to a hearing. Notice shall be given by 2228
registered or certified mail, return receipt requested, and shall 2229
include the charges or other reasons for the proposed action, the 2230
law or rule directly involved, and a statement informing the party 2231
that hethe party is entitled to a hearing if hethe party2232
requests it within thirty days of the time of mailing the notice. 2233
The notice shall also inform the party that at the hearing hethe 2234
party may appear in person, by histhe party's attorney, or by2235
such other representative as is permitted to practice before the2236
agency, or may present histhe party's position, arguments, or2237
contentions in writing and that at the hearing hethe party may 2238
present evidence and examine witnesses appearing for and against 2239
himthe party. A copy of the notice shall be mailed to attorneys 2240
or other representatives of record representing the party. This 2241
paragraph does not apply to situations in which such section 2242
provides for a hearing only when it is requested by the party.2243

       When a statute specifically permits the suspension of a2244
license without a prior hearing, notice of the agency's order2245
shall be sent to the party by registered or certified mail, return 2246
receipt requested, not later than the business day next succeeding 2247
such order. The notice shall state the reasons for the agency's2248
action, cite the law or rule directly involved, and state that the 2249
party will be afforded a hearing if hethe party requests it2250
within thirty days of the time of mailing the notice. A copy of 2251
the notice shall be mailed to attorneys or other representatives 2252
of record representing the party.2253

       Whenever a party requests a hearing in accordance with this2254
section and section 119.06 of the Revised Code, the agency shall2255
immediately set the date, time, and place for the hearing and2256
forthwith notify the party thereof. The date set for the hearing2257
shall be within fifteen days, but not earlier than seven days,2258
after the party has requested a hearing, unless otherwise agreed2259
to by both the agency and the party.2260

       When any notice sent by registered or certified mail, as 2261
required by sections 119.01 to 119.13 of the Revised Code, is 2262
returned because of failure of delivery the agency shall send the 2263
notice by ordinary mail to the party at the party's last known 2264
address and shall obtain a certificate of mailing. Service by 2265
ordinary mail is complete when the certificate of mailing is 2266
obtained. If a notice sent by ordinary mail is returned showing 2267
failure of delivery, the agency shall notify the attorneys or 2268
other representatives of record representing the party of the 2269
failure of delivery and serve a copy of the notice upon them, by 2270
ordinary or registered or certified mail; if ordinary mail is 2271
used, the agency shall obtain a certificate of mailing. Service 2272
upon the attorneys or other representatives of record is complete 2273
when the notice is mailed. If there are no attorneys or other 2274
representatives of record representing the party, the agency 2275
either shall make personal delivery of the notice by an employee 2276
or agent of the agency or shall cause a summary of the substantive 2277
provisions of the notice to be published once a week for three2278
consecutive weeks in a newspaper of general circulation in the2279
county where the last known place of residence or businessaddress2280
of the party is located. When notice is given by publication, a 2281
copy of the newspapera proof of publication affidavit, with the 2282
first publication of the notice markedset forth in the affidavit,2283
shall be mailed by ordinary mail to the party at the party's last 2284
known address and the notice shall be deemed received as of the 2285
date of the last publication. An employee or agent of the agency 2286
may make personal delivery of the notice upon a party at any time.2287

       Refusal of delivery by personal service or by mail is not 2288
failure of delivery. Failure of delivery occurs only when, with 2289
reasonable diligence, a party cannot be found to make personal 2290
service of a notice, or if a mailed notice is returned by the 2291
postal authorities marked undeliverable, addressee unknown, or 2292
forwarding address unknown or expired. A party's last known 2293
address is the mailing address of the party appearing in the 2294
records of the agency.2295

       The failure of an agency to give the notices for any hearing 2296
required by sections 119.01 to 119.13 of the Revised Code in the 2297
manner provided in this section shall invalidate any order entered 2298
pursuant to the hearing.2299

       Sec. 120.33.  (A) In lieu of using a county public defender2300
or joint county public defender to represent indigent persons in2301
the proceedings set forth in division (A) of section 120.16 of the2302
Revised Code, the board of county commissioners of any county may2303
adopt a resolution to pay counsel who are either personally2304
selected by the indigent person or appointed by the court. The2305
resolution shall include those provisions the board of county2306
commissioners considers necessary to provide effective2307
representation of indigent persons in any proceeding for which2308
counsel is provided under this section. The resolution shall2309
include provisions for contracts with any municipal corporation2310
under which the municipal corporation shall reimburse the county2311
for counsel appointed to represent indigent persons charged with2312
violations of the ordinances of the municipal corporation.2313

       (1) In a county that adopts a resolution to pay counsel, an2314
indigent person shall have the right to do either of the2315
following:2316

       (a) To select the person's own personal counsel to represent2317
the person in any proceeding included within the provisions of the2318
resolution;2319

       (b) To request the court to appoint counsel to represent the2320
person in such a proceeding.2321

       (2) The court having jurisdiction over the proceeding in a2322
county that adopts a resolution to pay counsel shall, after2323
determining that the person is indigent and entitled to legal2324
representation under this section, do either of the following:2325

       (a) By signed journal entry recorded on its docket, enter the 2326
name of the lawyer selected by the indigent person as counsel of 2327
record;2328

       (b) Appoint counsel for the indigent person if the person has 2329
requested the court to appoint counsel and, by signed journal2330
entry recorded on its dockets, enter the name of the lawyer2331
appointed for the indigent person as counsel of record.2332

       (3) The board of county commissioners shall establish a2333
schedule of fees by case or on an hourly basis to be paid to2334
counsel for legal services provided pursuant to a resolution2335
adopted under this section. Prior to establishing the schedule,2336
the board of county commissioners shall request the bar2337
association or associations of the county to submit a proposed2338
schedule. The schedule submitted shall be subject to the review,2339
amendment, and approval of the board of county commissioners.2340

       (4) Counsel selected by the indigent person or appointed by2341
the court at the request of an indigent person in a county that2342
adopts a resolution to pay counsel, except for counsel appointed2343
to represent a person charged with any violation of an ordinance2344
of a municipal corporation that has not contracted with the county2345
commissioners for the payment of appointed counsel, shall be paid2346
by the county and shall receive the compensation and expenses the2347
court approves. Each request for payment shall be accompanied by a 2348
financial disclosure form and an affidavit of indigency that are2349
completed by the indigent person on forms prescribed by the state2350
public defender. Compensation and expenses shall not exceed the2351
amounts fixed by the board of county commissioners in the schedule2352
adopted pursuant to division (A)(3) of this section. No court2353
shall approve compensation and expenses that exceed the amount2354
fixed pursuant to division (A)(3) of this section.2355

       The fees and expenses approved by the court shall not be2356
taxed as part of the costs and shall be paid by the county.2357
However, if the person represented has, or may reasonably be2358
expected to have, the means to meet some part of the cost of the2359
services rendered to the person, the person shall pay the county2360
an amount that the person reasonably can be expected to pay. 2361
Pursuant to section 120.04 of the Revised Code, the county shall2362
pay to the state public defender a percentage of the payment2363
received from the person in an amount proportionate to the2364
percentage of the costs of the person's case that were paid to the2365
county by the state public defender pursuant to this section. The2366
money paid to the state public defender shall be credited to the2367
client payment fund created pursuant to division (B)(5) of section2368
120.04 of the Revised Code.2369

       The county auditor shall draw a warrant on the county2370
treasurer for the payment of counsel in the amount fixed by the2371
court, plus the expenses the court fixes and certifies to the2372
auditor. The county auditor shall report periodically, but not2373
less than annually, to the board of county commissioners and to2374
the Ohiostate public defender commission the amounts paid out 2375
pursuant to the approval of the court. The board of county 2376
commissioners, after review and approval of the auditor's report, 2377
or the county auditor, with permission from and notice to the 2378
board of county commissioners, may then certify it to the state 2379
public defender for reimbursement. If a request for reimbursement 2380
is not accompanied by a financial disclosure form and an affidavit 2381
of indigency completed by the indigent person on forms prescribed 2382
by the state public defender and the court does not certify by 2383
electronic signature as prescribed by the state public defender 2384
that a financial disclosure form and affidavit of indigency have 2385
been completed by the indigent person and are available for 2386
inspection, the state public defender shall not pay the requested2387
reimbursement. If a request for the reimbursement of the cost of2388
counsel in any case is not received by the state public defender2389
within ninety days after the end of the calendar month in which2390
the case is finally disposed of by the court, unless the county2391
has requested and the state public defender has granted an2392
extension of the ninety-day limit, the state public defender shall2393
not pay the requested reimbursement. The state public defender2394
shall also review the report and, in accordance with the2395
standards, guidelines, and maximums established pursuant to2396
divisions (B)(7) and (8) of section 120.04 of the Revised Code,2397
prepare a voucher for fifty per cent of the total cost of each2398
county appointed counsel system in the period of time covered by2399
the certified report and a voucher for fifty per cent of the costs2400
and expenses that are reimbursable under section 120.35 of the2401
Revised Code, if any, or, if the amount of money appropriated by2402
the general assembly to reimburse counties for the operation of2403
county public defender offices, joint county public defender2404
offices, and county appointed counsel systems is not sufficient to2405
pay fifty per cent of the total cost of all of the offices and2406
systems other than costs and expenses that are reimbursable under2407
section 120.35 of the Revised Code, for the lesser amount required2408
by section 120.34 of the Revised Code.2409

       (5) If any county appointed counsel system fails to maintain2410
the standards for the conduct of the system established by the2411
rules of the Ohio public defender commission pursuant to divisions2412
(B) and (C) of section 120.03 or the standards established by the2413
state public defender pursuant to division (B)(7) of section2414
120.04 of the Revised Code, the Ohio public defender commission2415
shall notify the board of county commissioners of the county that2416
the county appointed counsel system has failed to comply with its2417
rules or the standards of the state public defender. Unless the2418
board of county commissioners corrects the conduct of its2419
appointed counsel system to comply with the rules and standards2420
within ninety days after the date of the notice, the state public2421
defender may deny all or part of the county's reimbursement from2422
the state provided for in division (A)(4) of this section.2423

       (B) In lieu of using a county public defender or joint county 2424
public defender to represent indigent persons in the proceedings 2425
set forth in division (A) of section 120.16 of the Revised Code, 2426
and in lieu of adopting the resolution and following the procedure 2427
described in division (A) of this section, the board of county 2428
commissioners of any county may contract with the state public 2429
defender for the state public defender's legal representation of 2430
indigent persons. A contract entered into pursuant to this 2431
division may provide for payment for the services provided on a 2432
per case, hourly, or fixed contract basis.2433

       (C) If a court appoints an attorney pursuant to this section2434
to represent a petitioner in a postconviction relief proceeding2435
under section 2953.21 of the Revised Code, the petitioner has2436
received a sentence of death, and the proceeding relates to that2437
sentence, the attorney who represents the petitioner in the2438
proceeding pursuant to the appointment shall be certified under2439
Rule 20 of the Rules of Superintendence for the Courts of Ohio to 2440
represent indigent defendants charged with or convicted of an2441
offense for which the death penalty can be or has been imposed.2442

       Sec.  122.051.  There is hereby created in the state treasury 2443
the international trade cooperative projects fund. The fund shall 2444
consist of moneys received from private and nonprofit 2445
organizations involved in cooperative agreements related to 2446
import/export and direct foreign investment activities and cash 2447
transfers from other state agencies or any state or local 2448
government to encourage, promote, and assist trade and commerce 2449
between this state and foreign nations, pursuant to section 122.05 2450
and division (E) of section 122.04 of the Revised Code.2451

       Sec. 122.071. There is hereby created in the state treasury 2452
the travel and tourism cooperative projects fund consisting of all 2453
grants, gifts, and contributions made to the director of 2454
development for marketing and promotion of travel and tourism 2455
within this state pursuant to division (F) of section 122.04 and 2456
section 122.07 of the Revised Code.2457

       Sec. 122.076. There is hereby created in the state treasury 2458
the energy projects fund consisting of nonfederal revenue that is 2459
remitted to the director of development for the purpose of energy 2460
projects. Money in the fund shall be used by the department of 2461
development for energy projects and to pay the costs incurred in 2462
administering the energy projects.2463

       Sec. 122.17.  (A) As used in this section:2464

       (1) "Full-time employee" means an individual who is employed 2465
for consideration for at least an average of thirty-five hours a 2466
week or who renders any other standard of service generally 2467
accepted by custom or specified by contract as full-time 2468
employment, or who is employed for consideration for such time or 2469
renders such service but is on active duty reserve or Ohio 2470
national guard service.2471

       (2) "New employee" means one of the following:2472

       (a) A full-time employee first employed by a taxpayer in the 2473
project that is the subject of the agreement after the taxpayer 2474
enters into a tax credit agreement with the tax credit authority 2475
under this section;2476

       (b) A full-time employee first employed by a taxpayer in the 2477
project that is the subject of the tax credit after the tax credit 2478
authority approves a project for a tax credit under this section 2479
in a public meeting, as long as the taxpayer enters into the tax 2480
credit agreement prepared by the department of development after 2481
such meeting within sixty days after receiving the agreement from 2482
the department. If the taxpayer fails to enter into the agreement 2483
within sixty days, "new employee" has the same meaning as under 2484
division (A)(2)(a) of this section. A full-time employee may be 2485
considered a "new employee" of a taxpayer, despite previously 2486
having been employed by a related member of the taxpayer, if all 2487
of the following apply:2488

       (i) The related member is a party to the tax credit agreement 2489
at the time the employee is first employed with the taxpayer;2490

       (ii) The related member will remain subject to the tax 2491
imposed by section 5725.18, 5729.03, 5733.06, or 5747.02 or levied 2492
under Chapter 5751. of the Revised Code for the remainder of the 2493
term of the tax credit, and the tax credit is taken against 2494
liability for that same tax through the remainder of the term of 2495
the tax credit; and2496

       (iii) The employee was considered a new employee of the 2497
related member prior to employment with the taxpayer.2498

       Under division (A)(2)(a) or (b) of this section, if the tax2499
credit authority determines it appropriate, "new employee" also2500
may include an employee re-hired or called back from lay-off to2501
work in a new facility or on a new product or service established2502
or produced by the taxpayer after entering into the agreement2503
under this section or after the tax credit authority approves the2504
tax credit in a public meeting. Except as otherwise provided in 2505
this paragraph, "new employee" does not include any employee of 2506
the taxpayer who was previously employed in this state by a 2507
related member of the taxpayer and whose employment was shifted to 2508
the taxpayer after the taxpayer entered into the tax credit 2509
agreement or after the tax credit authority approved the credit in 2510
a public meeting, or any employee of the taxpayer for which the 2511
taxpayer has been granted a certificate under division (B) of 2512
section 5709.66 of the Revised Code. However, if the taxpayer is 2513
engaged in the enrichment and commercialization of uranium or 2514
uranium products or is engaged in research and development 2515
activities related thereto and if the tax credit authority 2516
determines it appropriate, "new employee" may include an employee 2517
of the taxpayer who was previously employed in this state by a 2518
related member of the taxpayer and whose employment was shifted to 2519
the taxpayer after the taxpayer entered into the tax credit 2520
agreement or after the tax credit authority approved the credit in 2521
a public meeting. "New employee" does not include an employee of 2522
the taxpayer who is employed in an employment position that was2523
relocated to a project from other operations of the taxpayer in2524
this state or from operations of a related member of the taxpayer 2525
in this state. In addition, "new employee" does not include a 2526
child, grandchild, parent, or spouse, other than a spouse who is 2527
legally separated from the individual, of any individual who is an 2528
employee of the taxpayer and who has a direct or indirect 2529
ownership interest of at least five per cent in the profits, 2530
capital, or value of the taxpayer. Such ownership interest shall 2531
be determined in accordance with section 1563 of the Internal 2532
Revenue Code and regulations prescribed thereunder.2533

       (3) "New income tax revenue" means the total amount withheld 2534
under section 5747.06 of the Revised Code by the taxpayer during 2535
the taxable year, or during the calendar year that includes the 2536
tax period, from the compensation of new employees for the tax 2537
levied under Chapter 5747. of the Revised Code.2538

       (4) "Related member" has the same meaning as under division 2539
(A)(6) of section 5733.042 of the Revised Code without regard to 2540
division (B) of that section.2541

       (B) The tax credit authority may make grants under this2542
section to foster job creation in this state. Such a grant shall2543
take the form of a refundable credit allowed against the tax2544
imposed by section 5725.18, 5729.03, 5733.06, or 5747.02 or levied 2545
under Chapter 5751. of the Revised Code. The credit shall be 2546
claimed for the taxable years or tax periods specified in the2547
taxpayer's agreement with the tax credit authority under division2548
(D) of this section. With respect to taxes imposed under section 2549
5733.06 or 5747.02 or Chapter 5751. of the Revised Code, the 2550
credit shall be claimed in the order required under section 2551
5733.98, 5747.98, or 5751.98 of the Revised Code. The amount of 2552
the credit available for a taxable year or for a calendar year 2553
that includes a tax period equals the new income tax revenue for 2554
that year multiplied by the percentage specified in the agreement 2555
with the tax credit authority. Any credit granted under this 2556
section against the tax imposed by section 5733.06 or 5747.02 of 2557
the Revised Code, to the extent not fully utilized against such 2558
tax for taxable years ending prior to 2008, shall automatically be 2559
converted without any action taken by the tax credit authority to 2560
a credit against the tax levied under Chapter 5751. of the Revised 2561
Code for tax periods beginning on or after July 1, 2008, provided 2562
that the person to whom the credit was granted is subject to such 2563
tax. The converted credit shall apply to those calendar years in 2564
which the remaining taxable years specified in the agreement end.2565

       (C) A taxpayer or potential taxpayer who proposes a project 2566
to create new jobs in this state may apply to the tax credit 2567
authority to enter into an agreement for a tax credit under this 2568
section. The director of development shall prescribe the form of 2569
the application. After receipt of an application, the authority 2570
may enter into an agreement with the taxpayer for a credit under 2571
this section if it determines all of the following:2572

       (1) The taxpayer's project will create new jobs in this2573
state;2574

       (2) The taxpayer's project is economically sound and will2575
benefit the people of this state by increasing opportunities for2576
employment and strengthening the economy of this state;2577

       (3) Receiving the tax credit is a major factor in the2578
taxpayer's decision to go forward with the project.2579

       (D) An agreement under this section shall include all of the 2580
following:2581

       (1) A detailed description of the project that is the subject 2582
of the agreement;2583

       (2) The term of the tax credit, which shall not exceed 2584
fifteen years, and the first taxable year, or first calendar year 2585
that includes a tax period, for which the credit may be claimed;2586

       (3) A requirement that the taxpayer shall maintain operations 2587
at the project location for at least twice the number of years as 2588
the term of the tax credit;2589

       (4) The percentage, as determined by the tax credit2590
authority, of new income tax revenue that will be allowed as the2591
amount of the credit for each taxable year or for each calendar 2592
year that includes a tax period;2593

       (5) A specific method for determining how many new employees 2594
are employed during a taxable year or during a calendar year that 2595
includes a tax period;2596

       (6) A requirement that the taxpayer annually shall report to 2597
the director of development the number of new employees, the new 2598
income tax revenue withheld in connection with the new employees, 2599
and any other information the director needs to perform the 2600
director's duties under this section;2601

       (7) A requirement that the director of development annually 2602
shall verify the amounts reported under division (D)(6) of this 2603
section, and after doing so shall issue a certificate to the 2604
taxpayer stating that the amounts have been verified;2605

       (8)(a) A provision requiring that the taxpayer, except as 2606
otherwise provided in division (D)(8)(b) of this section, shall 2607
not relocate employment positions from elsewhere in this state to 2608
the project site that is the subject of the agreement for the 2609
lesser of five years from the date the agreement is entered into 2610
or the number of years the taxpayer is entitled to claim the tax 2611
credit.2612

       (b) The taxpayer may relocate employment positions from 2613
elsewhere in this state to the project site that is the subject of 2614
the agreement if the director of development determines both of 2615
the following:2616

       (i) That the site from which the employment positions would 2617
be relocated is inadequate to meet market and industry conditions, 2618
expansion plans, consolidation plans, or other business 2619
considerations affecting the taxpayer;2620

       (ii) That the legislative authority of the county, township, 2621
or municipal corporation from which the employment positions would2622
be relocated has been notified of the relocation.2623

       For purposes of this section, the movement of an employment 2624
position from one political subdivision to another political 2625
subdivision shall be considered a relocation of an employment 2626
position, but the transfer of an individual employee from one 2627
political subdivision to another political subdivision shall not 2628
be considered a relocation of an employment position as long as 2629
the individual's employment position in the first political 2630
subdivision is refilled.2631

       (E) If a taxpayer fails to meet or comply with any condition 2632
or requirement set forth in a tax credit agreement, the tax credit 2633
authority may amend the agreement to reduce the percentage or term 2634
of the tax credit. The reduction of the percentage or term shall 2635
take effect (1) in the taxable year immediately following the 2636
taxable year in which the authority amends the agreement or the 2637
director of development notifies the taxpayer in writing of such 2638
failure, or (2) in the first tax period beginning in the calendar 2639
year immediately following the calendar year in which the 2640
authority amends the agreement or the director notifies the 2641
taxpayer in writing of such failure. If the taxpayer fails to 2642
annually report any of the information required by division (D)(6) 2643
of this section within the time required by the director, the 2644
reduction of the percentage or term may take effect in the current 2645
taxable year. If the taxpayer relocates employment positions in 2646
violation of the provision required under division (D)(8)(a) of 2647
this section, the taxpayer shall not claim the tax credit under 2648
section 5733.0610 of the Revised Code for any tax years following 2649
the calendar year in which the relocation occurs, or shall not 2650
claim the tax credit under section 5725.32, 5729.032, or 5747.058 2651
of the Revised Code for the taxable year in which the relocation 2652
occurs and any subsequent taxable years, and shall not claim the 2653
tax credit under division (A) of section 5751.50 of the Revised 2654
Code for any tax period in the calendar year in which the 2655
relocation occurs and any subsequent tax periods.2656

       (F) Projects that consist solely of point-of-final-purchase 2657
retail facilities are not eligible for a tax credit under this 2658
section. If a project consists of both point-of-final-purchase 2659
retail facilities and nonretail facilities, only the portion of 2660
the project consisting of the nonretail facilities is eligible for 2661
a tax credit and only the new income tax revenue from new 2662
employees of the nonretail facilities shall be considered when 2663
computing the amount of the tax credit. If a warehouse facility is 2664
part of a point-of-final-purchase retail facility and supplies 2665
only that facility, the warehouse facility is not eligible for a 2666
tax credit. Catalog distribution centers are not considered2667
point-of-final-purchase retail facilities for the purposes of this 2668
division, and are eligible for tax credits under this section.2669

       (G) Financial statements and other information submitted to 2670
the department of development or the tax credit authority by an 2671
applicant or recipient of a tax credit under this section, and any 2672
information taken for any purpose from such statements or2673
information, are not public records subject to section 149.43 of2674
the Revised Code. However, the chairperson of the authority may2675
make use of the statements and other information for purposes of2676
issuing public reports or in connection with court proceedings2677
concerning tax credit agreements under this section. Upon the2678
request of the tax commissioner or, if the applicant or recipient 2679
is an insurance company, upon the request of the superintendent of 2680
insurance, the chairperson of the authority shall provide to the 2681
commissioner or superintendent any statement or information2682
submitted by an applicant or recipient of a tax credit in2683
connection with the credit. The commissioner or superintendent 2684
shall preserve the confidentiality of the statement or 2685
information.2686

       (H) A taxpayer claiming a credit under this section shall2687
submit to the tax commissioner or, if the taxpayer is an insurance 2688
company, to the superintendent of insurance, a copy of the 2689
director of development's certificate of verification under 2690
division (D)(7) of this section with the taxpayer's tax report or 2691
return for the taxable year or for the calendar year that includes 2692
the tax period. Failure to submit a copy of the certificate with 2693
the report or return does not invalidate a claim for a credit if 2694
the taxpayer submits a copy of the certificate to the commissioner 2695
or superintendent within sixty days after the commissioner or 2696
superintendent requests it.2697

       (I) The director of development, after consultation with the 2698
tax commissioner and the superintendent of insurance and in 2699
accordance with Chapter 119. of the Revised Code, shall adopt 2700
rules necessary to implement this section. The rules may provide 2701
for recipients of tax credits under this section to be charged 2702
fees to cover administrative costs of the tax credit program. The 2703
fees collected shall be credited to the tax incentive programs 2704
operating fund created in section 122.174 of the Revised Code. At 2705
the time the director gives public notice under division (A) of 2706
section 119.03 of the Revised Code of the adoption of the rules, 2707
the director shall submit copies of the proposed rules to the 2708
chairpersons of the standing committees on economic development in 2709
the senate and the house of representatives.2710

       (J) For the purposes of this section, a taxpayer may include 2711
a partnership, a corporation that has made an election under 2712
subchapter S of chapter one of subtitle A of the Internal Revenue 2713
Code, or any other business entity through which income flows as a 2714
distributive share to its owners. A credit received under this 2715
section by a partnership, S-corporation, or other such business 2716
entity shall be apportioned amongmay elect to pass the credit 2717
received under this section through to the persons to whom the 2718
income or profit of the partnership, S-corporation, or other2719
entity is distributed,. The election shall be made on the annual 2720
report required under division (D)(6) of this section. The 2721
election applies to and is irrevocable for the credit for which 2722
the report is submitted. If the election is made, the credit shall 2723
be apportioned among those persons in the same proportions as 2724
those in which the income or profit is distributed.2725

       (K) If the director of development determines that a taxpayer 2726
who has received a credit under this section is not complying with 2727
the requirement under division (D)(3) of this section, the 2728
director shall notify the tax credit authority of the2729
noncompliance. After receiving such a notice, and after giving the 2730
taxpayer an opportunity to explain the noncompliance, the tax2731
credit authority may require the taxpayer to refund to this state2732
a portion of the credit in accordance with the following:2733

       (1) If the taxpayer maintained operations at the project2734
location for at least one and one-half times the number of years2735
of the term of the tax credit, an amount not exceeding twenty-five 2736
per cent of the sum of any previously allowed credits under this 2737
section;2738

       (2) If the taxpayer maintained operations at the project2739
location for at least the number of years of the term of the tax2740
credit, an amount not exceeding fifty per cent of the sum of any2741
previously allowed credits under this section;2742

       (3) If the taxpayer maintained operations at the project2743
location for less than the number of years of the term of the tax2744
credit, an amount not exceeding one hundred per cent of the sum of 2745
any previously allowed credits under this section.2746

       In determining the portion of the tax credit to be refunded2747
to this state, the tax credit authority shall consider the effect2748
of market conditions on the taxpayer's project and whether the2749
taxpayer continues to maintain other operations in this state. 2750
After making the determination, the authority shall certify the2751
amount to be refunded to the tax commissioner or superintendent of 2752
insurance, as appropriate. If the amount is certified to the 2753
commissioner, the commissioner shall make an assessment for that 2754
amount against the taxpayer under Chapter 5733., 5747., or 5751. 2755
of the Revised Code. If the amount is certified to the 2756
superintendent, the superintendent shall make an assessment for 2757
that amount against the taxpayer under Chapter 5725. or 5729. of 2758
the Revised Code. The time limitations on assessments under those 2759
chapters do not apply to an assessment under this division, but 2760
the commissioner or superintendent, as appropriate, shall make the 2761
assessment within one year after the date the authority certifies 2762
to the commissioner or superintendent the amount to be refunded.2763

       (L) On or before the thirty-first day of March each year, the 2764
director of development shall submit a report to the governor, the 2765
president of the senate, and the speaker of the house of 2766
representatives on the tax credit program under this section. The 2767
report shall include information on the number of agreements that 2768
were entered into under this section during the preceding calendar 2769
year, a description of the project that is the subject of each 2770
such agreement, and an update on the status of projects under 2771
agreements entered into before the preceding calendar year.2772

       (M) There is hereby created the tax credit authority, which 2773
consists of the director of development and four other members 2774
appointed as follows: the governor, the president of the senate, 2775
and the speaker of the house of representatives each shall appoint 2776
one member who shall be a specialist in economic development; the 2777
governor also shall appoint a member who is a specialist in 2778
taxation. Of the initial appointees, the members appointed by the 2779
governor shall serve a term of two years; the members appointed by 2780
the president of the senate and the speaker of the house of 2781
representatives shall serve a term of four years. Thereafter, 2782
terms of office shall be for four years. Initial appointments to 2783
the authority shall be made within thirty days after January 13,2784
1993. Each member shall serve on the authority until the end of 2785
the term for which the member was appointed. Vacancies shall be 2786
filled in the same manner provided for original appointments. Any 2787
member appointed to fill a vacancy occurring prior to the 2788
expiration of the term for which the member's predecessor was 2789
appointed shall hold office for the remainder of that term. 2790
Members may be reappointed to the authority. Members of the 2791
authority shall receive their necessary and actual expenses while 2792
engaged in the business of the authority. The director of 2793
development shall serve as chairperson of the authority, and the 2794
members annually shall elect a vice-chairperson from among 2795
themselves. Three members of the authority constitute a quorum to 2796
transact and vote on the business of the authority. The majority 2797
vote of the membership of the authority is necessary to approve 2798
any such business, including the election of the vice-chairperson.2799

       The director of development may appoint a professional 2800
employee of the department of development to serve as the 2801
director's substitute at a meeting of the authority. The director 2802
shall make the appointment in writing. In the absence of the 2803
director from a meeting of the authority, the appointed substitute 2804
shall serve as chairperson. In the absence of both the director 2805
and the director's substitute from a meeting, the vice-chairperson2806
shall serve as chairperson.2807

       (N) For purposes of the credits granted by this section 2808
against the taxes imposed under sections 5725.18 and 5729.03 of 2809
the Revised Code, "taxable year" means the period covered by the 2810
taxpayer's annual statement to the superintendent of insurance.2811

       Sec. 122.171. (A) As used in this section:2812

       (1) "Capital investment project" means a plan of investment2813
at a project site for the acquisition, construction, renovation,2814
or repair of buildings, machinery, or equipment, or for2815
capitalized costs of basic research and new product development2816
determined in accordance with generally accepted accounting2817
principles, but does not include any of the following:2818

       (a) Payments made for the acquisition of personal property2819
through operating leases;2820

       (b) Project costs paid before January 1, 2002;2821

       (c) Payments made to a related member as defined in section2822
5733.042 of the Revised Code or to an elected consolidated 2823
taxpayer or a combined taxpayer as defined in section 5751.01 of 2824
the Revised Code.2825

       (2) "Eligible business" means a business with Ohio operations 2826
satisfying all of the following:2827

       (a) Employed an average of at least one thousand employees in 2828
full-time employment positions at a project site during each of2829
the twelve months preceding the application for a tax credit under2830
this section; and2831

       (b) On or after January 1, 2002, has made payments for the2832
capital investment project of either of the following:2833

        (i) At least two hundred million dollars in the aggregate at 2834
the project site during a period of three consecutive calendar2835
years including the calendar year that includes a day of the2836
taxpayer's taxable year or tax period with respect to which the 2837
credit is granted;2838

       (ii) If the average wage of all full-time employment 2839
positions at the project site is greater than four hundred per 2840
cent of the federal minimum wage, at least one hundred million 2841
dollars in the aggregate at the project site during a period of 2842
three consecutive calendar years including the calendar year that 2843
includes a day of the taxpayer's taxable year or tax period with 2844
respect to which the credit is granted.2845

       (c) Is engaged at the project site primarily as a2846
manufacturer or is providing significant corporate administrative2847
functions;2848

        (d) Has had a capital investment project reviewed and2849
approved by the tax credit authority as provided in divisions (C),2850
(D), and (E) of this section.2851

       (3) "Full-time employment position" means a position of2852
employment for consideration for at least an average of 2853
thirty-five hours a week that has been filled for at least one 2854
hundred eighty days immediately preceding the filing of an2855
application under this section and for at least one hundred eighty 2856
days during each taxable year or each calendar year that includes 2857
a tax period with respect to which the credit is granted, or is 2858
employed in such position for consideration for such time, but is 2859
on active duty reserve or Ohio national guard service.2860

       (4) "Manufacturer" has the same meaning as in section2861
5739.011 of the Revised Code.2862

        (5) "Project site" means an integrated complex of facilities2863
in this state, as specified by the tax credit authority under this2864
section, within a fifteen-mile radius where a taxpayer is 2865
primarily operating as an eligible business.2866

       (6) "Applicable corporation" means a corporation satisfying 2867
all of the following:2868

       (a)(i) For the entire taxable year immediately preceding the 2869
tax year, the corporation develops software applications primarily 2870
to provide telecommunication billing and information services 2871
through outsourcing or licensing to domestic or international 2872
customers.2873

       (ii) Sales and licensing of software generated at least six 2874
hundred million dollars in revenue during the taxable year 2875
immediately preceding the tax year the corporation is first 2876
entitled to claim the credit provided under division (B) of this 2877
section.2878

       (b) For the entire taxable year immediately preceding the tax 2879
year, the corporation or one or more of its related members 2880
provides customer or employee care and technical support for 2881
clients through one or more contact centers within this state, and 2882
the corporation and its related members together have a daily 2883
average, based on a three-hundred-sixty-five-day year, of at least 2884
five hundred thousand successful customer contacts through one or 2885
more of their contact centers, wherever located.2886

       (c) The corporation is eligible for the credit under division 2887
(B) of this section for the tax year.2888

       (7) "Related member" has the same meaning as in section 2889
5733.042 of the Revised Code as that section existed on the 2890
effective date of its amendment by Am. Sub. H.B. 215 of the 122nd 2891
general assembly, September 29, 1997.2892

       (8) "Successful customer contact" means a contact with an end 2893
user via telephone, including interactive voice recognition or 2894
similar means, where the contact culminates in a conversation or 2895
connection other than a busy signal or equipment busy.2896

       (9) "Telecommunications" means all forms of 2897
telecommunications service as defined in section 5739.01 of the 2898
Revised Code, and includes services in wireless, wireline, cable, 2899
broadband, internet protocol, and satellite.2900

       (10)(a) "Applicable difference" means the difference between 2901
the tax for the tax year under Chapter 5733. of the Revised Code 2902
applying the law in effect for that tax year, and the tax for that 2903
tax year if section 5733.042 of the Revised Code applied as that 2904
section existed on the effective date of its amendment by Am. Sub. 2905
H.B. 215 of the 122nd general assembly, September 29, 1997, 2906
subject to division (A)(10)(b) of this section.2907

       (b) If the tax rate set forth in division (B) of section 2908
5733.06 of the Revised Code for the tax year is less than eight 2909
and one-half per cent, the tax calculated under division 2910
(A)(10)(a) of this section shall be computed by substituting a tax 2911
rate of eight and one-half per cent for the rate set forth in 2912
division (B) of section 5733.06 of the Revised Code for the tax 2913
year.2914

       (c) If the resulting difference is negative, the applicable 2915
tax difference for the tax year shall be zero.2916

       (B) The tax credit authority created under section 122.17 of2917
the Revised Code may grant tax credits under this section for the2918
purpose of fostering job retention in this state. Upon application 2919
by an eligible business and upon consideration of the2920
recommendation of the director of budget and management, tax2921
commissioner, and director of development under division (C) of2922
this section, the tax credit authority may grant to an eligible2923
business a nonrefundable credit against the tax imposed by section2924
5733.06 or 5747.02 of the Revised Code for a period up to fifteen2925
taxable years and against the tax levied by Chapter 5751. of the 2926
Revised Code for a period of up to fifteen calendar years. The 2927
credit shall be in an amount not exceeding seventy-five per cent 2928
of the Ohio income tax withheld from the employees of the eligible 2929
business occupying full-time employment positions at the project 2930
site during the calendar year that includes the last day of such 2931
business' taxable year or tax period with respect to which the2932
credit is granted. The amount of the credit shall not be based on2933
the Ohio income tax withheld from full-time employees for a2934
calendar year prior to the calendar year in which the minimum 2935
investment requirement referred to in division (A)(2)(b) of this 2936
section is completed. The credit shall be claimed only for the 2937
taxable years or tax periods specified in the eligible business' 2938
agreement with the tax credit authority under division (E) of this 2939
section, but in no event shall the credit be claimed for a taxable 2940
year or tax period terminating before the date specified in the2941
agreement. Any credit granted under this section against the tax 2942
imposed by section 5733.06 or 5747.02 of the Revised Code, to the 2943
extent not fully utilized against such tax for taxable years 2944
ending prior to 2008, shall automatically be converted without any 2945
action taken by the tax credit authority to a credit against the 2946
tax levied under Chapter 5751. of the Revised Code for tax periods 2947
beginning on or after July 1, 2008, provided that the person to 2948
whom the credit was granted is subject to such tax. The converted 2949
credit shall apply to those calendar years in which the remaining 2950
taxable years specified in the agreement end.2951

       The credit computed under this division is in addition to any 2952
credit allowed under division (M) of this section which the tax 2953
credit authority may also include in the agreement.2954

       Any unused portion of a tax credit may be carried forward for2955
not more than three additional years after the year for which the2956
credit is granted.2957

       (C) A taxpayer that proposes a capital investment project to2958
retain jobs in this state may apply to the tax credit authority to2959
enter into an agreement for a tax credit under this section. The2960
director of development shall prescribe the form of the2961
application. After receipt of an application, the authority shall2962
forward copies of the application to the director of budget and2963
management, the tax commissioner, and the director of development,2964
each of whom shall review the application to determine the2965
economic impact the proposed project would have on the state and2966
the affected political subdivisions and shall submit a summary of2967
their determinations and recommendations to the authority. 2968

       (D) Upon review of the determinations and recommendations2969
described in division (C) of this section, the tax credit2970
authority may enter into an agreement with the taxpayer for a2971
credit under this section if the authority determines all of the 2972
following:2973

       (1) The taxpayer's capital investment project will result in2974
the retention of full-time employment positions in this state.2975

       (2) The taxpayer is economically sound and has the ability to 2976
complete the proposed capital investment project.2977

       (3) The taxpayer intends to and has the ability to maintain2978
operations at the project site for at least twice the term of the2979
credit.2980

       (4) Receiving the credit is a major factor in the taxpayer's2981
decision to begin, continue with, or complete the project.2982

       (5) The political subdivisions in which the project is2983
located have agreed to provide substantial financial support to2984
the project.2985

       (E) An agreement under this section shall include all of the2986
following:2987

       (1) A detailed description of the project that is the subject 2988
of the agreement, including the amount of the investment, the 2989
period over which the investment has been or is being made, and 2990
the number of full-time employment positions at the project site.2991

       (2) The method of calculating the number of full-time2992
employment positions as specified in division (A)(3) of this2993
section.2994

       (3) The term and percentage of the tax credit, and the first 2995
year for which the credit may be claimed.2996

       (4) A requirement that the taxpayer maintain operations at2997
the project site for at least twice the number of years as the2998
term of the credit.2999

       (5) A requirement that the taxpayer retain a specified number 3000
of full-time employment positions at the project site and within 3001
this state for the term of the credit, including a requirement 3002
that the taxpayer continue to employ at least one thousand 3003
employees in full-time employment positions at the project site 3004
during the entire term of any agreement, subject to division 3005
(E)(7) of this section.3006

       (6) A requirement that the taxpayer annually report to the3007
director of development the number of full-time employment3008
positions subject to the credit, the amount of tax withheld from3009
employees in those positions, the amount of the payments made for3010
the capital investment project, and any other information the3011
director needs to perform the director's duties under this3012
section.3013

       (7) A requirement that the director of development annually3014
review the annual reports of the taxpayer to verify the3015
information reported under division (E)(6) of this section and3016
compliance with the agreement. Upon verification, the director3017
shall issue a certificate to the taxpayer stating that the3018
information has been verified and identifying the amount of the3019
credit for the taxable year. Unless otherwise specified by the tax 3020
credit authority in a resolution and included as part of the 3021
agreement, the director shall not issue a certificate for any year 3022
in which the total number of filled full-time employment positions 3023
for each day of the calendar year divided by three hundred 3024
sixty-five is less than ninety per cent of the full-time 3025
employment positions specified in division (E)(5) of this section. 3026
In determining the number of full-time employment positions, no 3027
position shall be counted that is filled by an employee who is 3028
included in the calculation of a tax credit under section 122.17 3029
of the Revised Code.3030

       (8)(a) A provision requiring that the taxpayer, except as3031
otherwise provided in division (E)(8)(b) of this section, shall3032
not relocate employment positions from elsewhere in this state to3033
the project site that is the subject of the agreement for the3034
lesser of five years from the date the agreement is entered into3035
or the number of years the taxpayer is entitled to claim the3036
credit.3037

       (b) The taxpayer may relocate employment positions from3038
elsewhere in this state to the project site that is the subject of3039
the agreement if the director of development determines both of3040
the following:3041

       (i) That the site from which the employment positions would3042
be relocated is inadequate to meet market and industry conditions,3043
expansion plans, consolidation plans, or other business3044
considerations affecting the taxpayer;3045

       (ii) That the legislative authority of the county, township,3046
or municipal corporation from which the employment positions would3047
be relocated has been notified of the relocation.3048

       For purposes of this section, the movement of an employment3049
position from one political subdivision to another political3050
subdivision shall be considered a relocation of an employment3051
position unless the movement is confined to the project site. The3052
transfer of an individual employee from one political subdivision3053
to another political subdivision shall not be considered a3054
relocation of an employment position as long as the individual's3055
employment position in the first political subdivision is3056
refilled.3057

       (9) A waiver by the taxpayer of any limitations periods3058
relating to assessments or adjustments resulting from the3059
taxpayer's failure to comply with the agreement.3060

       (F) If a taxpayer fails to meet or comply with any condition3061
or requirement set forth in a tax credit agreement, the tax credit3062
authority may amend the agreement to reduce the percentage or term3063
of the credit. The reduction of the percentage or term shall take3064
effect (1) in the taxable year immediately following the taxable 3065
year in which the authority amends the agreement or the director 3066
of development notifies the taxpayer in writing of such failure, 3067
or (2) in the first tax period beginning in the calendar year 3068
immediately following the calendar year in which the authority 3069
amends the agreement or the director notifies the taxpayer in 3070
writing of such failure. If the taxpayer fails to annually report 3071
any of the information required by division (E)(6) of this section 3072
within the time required by the director, the reduction of the 3073
percentage or term may take effect in the current taxable year. If 3074
the taxpayer relocates employment positions in violation of the 3075
provision required under division (D)(8)(a) of this section, the 3076
taxpayer shall not claim the tax credit under section 5733.0610 of 3077
the Revised Code for any tax years following the calendar year in3078
which the relocation occurs, shall not claim the tax credit under 3079
section 5747.058 of the Revised Code for the taxable year in which 3080
the relocation occurs and any subsequent taxable years, and shall 3081
not claim the tax credit under division (A) of section 5751.50 of 3082
the Revised Code for the tax period in which the relocation occurs 3083
and any subsequent tax periods.3084

       (G) Financial statements and other information submitted to3085
the department of development or the tax credit authority by an3086
applicant for or recipient of a tax credit under this section, and3087
any information taken for any purpose from such statements or3088
information, are not public records subject to section 149.43 of3089
the Revised Code. However, the chairperson of the authority may3090
make use of the statements and other information for purposes of3091
issuing public reports or in connection with court proceedings3092
concerning tax credit agreements under this section. Upon the3093
request of the tax commissioner, the chairperson of the authority3094
shall provide to the commissioner any statement or other3095
information submitted by an applicant for or recipient of a tax3096
credit in connection with the credit. The commissioner shall3097
preserve the confidentiality of the statement or other3098
information.3099

       (H) A taxpayer claiming a tax credit under this section shall 3100
submit to the tax commissioner a copy of the director of3101
development's certificate of verification under division (E)(7) of3102
this section with the taxpayer's tax report or return for the 3103
taxable year or for the calendar year that includes the tax 3104
period. Failure to submit a copy of the certificate with the 3105
report or return does not invalidate a claim for a credit if the 3106
taxpayer submits a copy of the certificate to the commissioner 3107
within sixty days after the commissioner requests it.3108

       (I) For the purposes of this section, a taxpayer may include3109
a partnership, a corporation that has made an election under3110
subchapter S of chapter one of subtitle A of the Internal Revenue3111
Code, or any other business entity through which income flows as a3112
distributive share to its owners. A tax credit received under this 3113
section by a partnership, S-corporation, or other such business 3114
entity shall be apportioned amongmay elect to pass the credit 3115
received under this section through to the persons to whom the3116
income or profit of the partnership, S-corporation, or other3117
entity is distributed,. The election shall be made on the annual 3118
report required under division (E)(6) of this section. The 3119
election applies to and is irrevocable for the credit for which 3120
the report is submitted. If the election is made, the credit shall 3121
be apportioned among those persons in the same proportions as 3122
those in which the income or profit is distributed.3123

       (J) If the director of development determines that a taxpayer 3124
that received a tax credit under this section is not complying 3125
with the requirement under division (E)(4) of this section, the3126
director shall notify the tax credit authority of the3127
noncompliance. After receiving such a notice, and after giving the 3128
taxpayer an opportunity to explain the noncompliance, the3129
authority may terminate the agreement and require the taxpayer to3130
refund to the state all or a portion of the credit claimed in3131
previous years, as follows:3132

        (1) If the taxpayer maintained operations at the project site 3133
for less than the term of the credit, the amount required to be 3134
refunded shall not exceed the amount of any tax credits previously 3135
allowed and received under this section.3136

        (2) If the taxpayer maintained operations at the project site 3137
longer than the term of the credit but less than one and one-half 3138
times the term of the credit, the amount required to be refunded 3139
shall not exceed fifty per cent of the sum of any tax credits 3140
previously allowed and received under this section.3141

        (3) If the taxpayer maintained operations at the project site 3142
for at least one and one-half times the term of the credit but 3143
less than twice the term of the credit, the amount required to be 3144
refunded shall not exceed twenty-five per cent of the sum of any 3145
tax credits previously allowed and received under this section.3146

       In determining the portion of the credit to be refunded to3147
this state, the authority shall consider the effect of market3148
conditions on the taxpayer's project and whether the taxpayer3149
continues to maintain other operations in this state. After making 3150
the determination, the authority shall certify the amount to be 3151
refunded to the tax commissioner. The commissioner shall make an 3152
assessment for that amount against the taxpayer under Chapter 3153
5733., 5747., or 5751. of the Revised Code. The time limitations3154
on assessments under those chapters do not apply to an assessment 3155
under this division, but the commissioner shall make the 3156
assessment within one year after the date the authority certifies 3157
to the commissioner the amount to be refunded.3158

       If the director of development determines that a taxpayer3159
that received a tax credit under this section has reduced the3160
number of employees agreed to under division (E)(5) of this3161
section by more than ten per cent, the director shall notify the3162
tax credit authority of the noncompliance. After receiving such3163
notice, and after providing the taxpayer an opportunity to explain3164
the noncompliance, the authority may amend the agreement to reduce3165
the percentage or term of the tax credit. The reduction in the3166
percentage or term shall take effect in the taxable year, or in 3167
the calendar year that includes the tax period, in which the 3168
authority amends the agreement.3169

       (K) The director of development, after consultation with the3170
tax commissioner and in accordance with Chapter 119. of the3171
Revised Code, shall adopt rules necessary to implement this3172
section. The rules may provide for recipients of tax credits under 3173
this section to be charged fees to cover administrative costs of 3174
the tax credit program. The fees collected shall be credited to 3175
the tax incentive programs operating fund created in section 3176
122.174 of the Revised Code. At the time the director gives public 3177
notice under division (A) of section 119.03 of the Revised Code of 3178
the adoption of the rules, the director shall submit copies of the 3179
proposed rules to the chairpersons of the standing committees on 3180
economic development in the senate and the house of3181
representatives.3182

       (L) On or before the thirty-first day of March of each year,3183
the director of development shall submit a report to the governor,3184
the president of the senate, and the speaker of the house of3185
representatives on the tax credit program under this section. The3186
report shall include information on the number of agreements that3187
were entered into under this section during the preceding calendar3188
year, a description of the project that is the subject of each3189
such agreement, and an update on the status of projects under3190
agreements entered into before the preceding calendar year.3191

       (M)(1) A nonrefundable credit shall be allowed to an 3192
applicable corporation and its related members in an amount equal 3193
to the applicable difference. The credit is in addition to the 3194
credit granted to the corporation or related members under 3195
division (B) of this section. The credit is subject to divisions 3196
(B) to (E) and division (J) of this section.3197

       (2) A person qualifying as an applicable corporation under 3198
this section for a tax year does not necessarily qualify as an 3199
applicable corporation for any other tax year. No person is 3200
entitled to the credit allowed under division (M) of this section 3201
for the tax year immediately following the taxable year during 3202
which the person fails to meet the requirements in divisions 3203
(A)(6)(a)(i) and (A)(6)(b) of this section. No person is entitled 3204
to the credit allowed under division (M) of this section for any 3205
tax year for which the person is not eligible for the credit 3206
provided under division (B) of this section.3207

       Sec. 122.174.  There is hereby created in the state treasury 3208
the tax incentive programs operating fund. Money collected 3209
pursuant to division (I) of section 121.17, division (K) of 3210
section 122.171, division (C) of section 3735.672, and division 3211
(C) of section 5709.68 of the Revised Code shall be credited to 3212
the fund. The director of development shall use money in the fund 3213
to pay expenses related to the administration of the tax credit 3214
programs authorized by sections 122.17, 122.171, 3735.672, and 3215
5709.68 of the Revised Code.3216

       Sec. 122.602.  (A) There is hereby created in the department3217
of development the capital access loan program to assist3218
participating financial institutions in making program loans to3219
eligible businesses that face barriers in accessing working3220
capital and obtaining fixed asset financing. In administering the3221
program, the director of development may do any of the following:3222

       (1) Receive and accept grants, gifts, and contributions of3223
money, property, labor, and other things of value to be held,3224
used, and applied only for the purpose for which the grants,3225
gifts, and contributions are made, from individuals, private and3226
public corporations, the United States or any agency of the United3227
States, the state or any agency of the state, or any political3228
subdivision of the state;3229

       (2) Agree to repay any contribution of money or return any3230
property contributed or the value of that property at the times,3231
in the amounts, and on the terms and conditions, excluding the3232
payment of interest, that the director consents to at the time a3233
contribution is made; and evidence obligations by notes, bonds, or3234
other written instruments;3235

       (3) Adopt rules under Chapter 119. of the Revised Code to3236
carry out the purposes of the program specified in sections 122.603237
to 122.605 of the Revised Code;3238

       (4) Engage in all other acts, and enter into contracts and3239
execute all instruments, necessary or appropriate to carry out the3240
purposes specified in sections 122.60 to 122.605 of the Revised3241
Code.3242

       (B) The director shall determine the eligibility of a3243
financial institution to participate in the program and may set a3244
limit on the number of financial institutions that may participate3245
in the program.3246

       (C) To be considered eligible by the director to participate3247
in the program, a financial institution shall enter into a3248
participation agreement with the department that sets out the3249
terms and conditions under which the department will deposit3250
moneys from the fund into the financial institution's program3251
reserve account, specifies the criteria for loan qualification3252
under the program, and contains any additional terms the director3253
considers necessary.3254

       (D) After receiving the certification required under division3255
(C) of section 122.603 of the Revised Code, the director may 3256
disburse moneys from the fund to a participating financial3257
institution for deposit in its program reserve account if the3258
director determines that the capital access loan involved meets3259
all of the following criteria:3260

       (1) It will be made to an eligible business.3261

       (2) It will be used by the eligible business for a project,3262
activity, or enterprise that fosters economic development.3263

       (3) It will not be made in order to enroll in the program3264
prior debt that is not covered under the program and that is owed3265
or was previously owed by an eligible business to the financial3266
institution.3267

       (4) It will not be utilized for a project or development3268
related to the on-site construction or purchase of residential3269
housing.3270

       (5) It will not be used to finance passive real estate3271
ownership.3272

       (6) It conforms to the requirements of divisions (E), (F),3273
(G), (H), and (I) of this section, and to the rules adopted by the3274
director under division (A)(3) of this section.3275

       (E) The director shall not approve a capital access loan to3276
an eligible business that exceeds two hundred fifty thousand3277
dollars for working capital or five hundred thousand dollars for3278
the purchase of fixed assets. An eligible business may apply for3279
the maximum amount of both working capital and the purchase of3280
fixed assets in the same capital access loan.3281

       (F) A financial institution may apply to the director for the3282
approval of a capital access loan to any business that is owned or3283
operated by a person that has previously defaulted under any state3284
financial assistance program.3285

       (G) Eligible businesses that apply for a capital access loan3286
shall comply with section 9.66 of the Revised Code.3287

       (H) A financial institution may apply to the director for the3288
approval of a capital access loan that refinances a nonprogram3289
loan made by another financial institution.3290

       (I) The director shall not approve a capital access loan that3291
refinances a nonprogram loan made by the same financial3292
institution, unless the amount of the refinanced loan exceeds the3293
existing debt, in which case only the amount exceeding the3294
existing debt is eligible for a loan under the program.3295

       (J) The director shall not approve any capital access loan3296
made after June 30, 2007, or enter into a participation agreement3297
with any financial institution after that date.3298

       Sec. 124.152.  (A)(1) Except as provided in divisions (A)(2) 3299
and (3) of this section, each exempt employee shall be paid a 3300
salary or wage in accordance with schedule E-1 or schedule E-2 of 3301
division (B), (C), or (D) of this section, as applicable.3302

       (2) Each exempt employee who holds a position in the 3303
unclassified civil service pursuant to division (A)(26) or (30) of 3304
section 124.11 of the Revised Code may be paid a salary or wage in 3305
accordance with schedule E-1, schedule E-1 for step seven only, or 3306
schedule E-2 of division (B) or, (C), (D), (E), (F), or (G) of 3307
this section, as applicable.3308

       (3)(a) Except as provided in division (A)(3)(b) of this 3309
section, each exempt employee who was paid a salary or wage at 3310
step 7 in the employee's pay range on June 28, 2003, in accordance 3311
with the applicable schedule E-1 of former section 124.152 of the 3312
Revised Code and who continued to be so paid on June 29, 2003, 3313
shall be paid a salary or wage in the corresponding pay range in 3314
schedule E-1 for step seven only of division (C)(E), (F), or (G)3315
of this section, as applicable, for as long as the employee 3316
remains in the position the employee held as of July 1, 2003.3317

       (b) Except as provided in division (A)(3)(c) of this section, 3318
if an exempt employee who is being paid a salary or wage in 3319
accordance with schedule E-1 for step seven only of division 3320
(C)(E), (F), or (G) of this section, as applicable, moves to 3321
another position, the employee shall not receive a salary or wage 3322
for that position or any other position in the future in 3323
accordance with that schedule.3324

        (c) If an exempt employee who is being paid a salary or wage 3325
in accordance with schedule E-1 for step seven only of division 3326
(C)(E), (F), or (G) of this section, as applicable, moves to 3327
another position assigned to pay range 12 or above, the appointing 3328
authority has the discretion tomay assign the employee to be paid 3329
a salary or wage in the appropriate pay range for that position in 3330
accordance with the applicable schedule E-1 for step seven only, 3331
provided that the appointing authority so notifies the director of 3332
administrative services in writing at the time the employee is 3333
appointed to that position.3334

        (B) Beginning on the first day of the pay period that3335
includes July 1, 2006, each exempt employee who must be paid in 3336
accordance with schedule E-1 or schedule E-2 of this section shall3337
be paid a salary or wage in accordance with the following schedule 3338
of rates:3339

Schedule E-13340

Pay Ranges and Step Values
3341

Step Step Step Step Step Step 3342
Range 1 2 3 4 5 6 3343
1 Hourly 9.40 9.82 10.24 10.68 3344
Annually 19552 20426 21299 22214 3345
2 Hourly 11.40 11.88 12.40 12.94 3346
Annually 23712 24710 25792 26915 3347
3 Hourly 11.94 12.48 13.03 13.60 3348
Annually 24835 25958 27102 28288 3349
4 Hourly 12.54 13.10 13.72 14.34 3350
Annually 26083 27248 28538 29827 3351
5 Hourly 13.15 13.75 14.34 14.97 3352
Annually 27352 28600 29827 31138 3353
6 Hourly 13.86 14.43 15.07 15.69 3354
Annually 28829 30014 31346 32635 3355
7 Hourly 14.72 15.27 15.88 16.44 17.08 3356
Annually 30618 31762 33030 34195 35526 3357
8 Hourly 15.56 16.24 16.95 17.71 18.46 3358
Annually 32365 33779 35256 36837 38397 3359
9 Hourly 16.60 17.46 18.32 19.23 20.21 3360
Annually 34528 36317 38106 39998 42037 3361
10 Hourly 17.91 18.89 19.90 21.05 22.18 3362
Annually 37253 39291 41392 43784 46134 3363
11 Hourly 19.50 20.64 21.84 23.06 24.38 3364
Annually 40560 42931 45427 47965 50710 3365
12 Hourly 21.51 22.72 23.94 25.27 26.68 28.13 3366
Annually 44741 47258 49795 52562 55494 58510 3367
13 Hourly 23.71 25.01 26.39 27.80 29.36 30.96 3368
Annually 49317 52021 54891 57824 61069 64397 3369
14 Hourly 26.08 27.55 29.03 30.62 32.35 34.15 3370
Annually 54246 57304 60382 63690 67288 71032 3371
15 Hourly 28.64 30.25 31.96 33.72 35.59 37.55 3372
Annually 59571 62920 66477 70138 74027 78104 3373
16 Hourly 31.58 33.33 35.17 37.14 39.19 41.43 3374
Annually 65686 69326 73154 77251 81515 86174 3375
17 Hourly 34.80 36.72 38.78 40.92 43.20 45.61 3376
Annually 72384 76378 80662 85114 89856 94869 3377
18 Hourly 38.35 40.47 42.75 45.10 47.60 50.26 3378
Annually 79768 84178 88920 93808 99008 104541 3379

Schedule E-23380

Range Minimum Maximum 3381
41 Hourly 16.23 34.77 3382
Annually 33758 72322 3383
42 Hourly 17.89 38.41 3384
Annually 37211 79893 3385
43 Hourly 19.70 42.30 3386
Annually 40976 87984 3387
44 Hourly 21.73 46.21 3388
Annually 45198 96117 3389
45 Hourly 24.01 50.44 3390
Annually 49941 104915 3391
46 Hourly 26.43 55.13 3392
Annually 54974 114670 3393
47 Hourly 29.14 60.16 3394
Annually 60611 125133 3395
48 Hourly 32.14 65.65 3396
Annually 66851 136552 3397
49 Hourly 35.44 70.89 3398
Annually 73715 147451 3399

       (C) Beginning on the first day of the pay period that 3400
includes July 1, 2007, each exempt employee who must be paid in 3401
accordance with schedule E-1 or schedule E-2 of this section shall 3402
be paid a salary or wage in accordance with the following schedule 3403
of rates:3404

Step Step Step Step Step Step 3405
Range 1 2 3 4 5 6 3406
1 Hourly 9.73 10.16 10.60 11.05 3407
Annually 20238 21133 22048 22984 3408
2 Hourly 11.80 12.30 12.83 13.39 3409
Annually 24544 25584 26686 27851 3410
3 Hourly 12.36 12.92 13.49 14.08 3411
Annually 25709 26874 28059 29286 3412
4 Hourly 12.98 13.56 14.20 14.84 3413
Annually 26998 28205 29536 30867 3414
5 Hourly 13.61 14.23 14.84 15.49 3415
Annually 28309 29598 30867 32219 3416
6 Hourly 14.35 14.94 15.60 16.24 3417
Annually 29848 31075 32448 33779 3418
7 Hourly 15.24 15.80 16.44 17.02 17.68 3419
Annually 31699 32864 34195 35402 36774 3420
8 Hourly 16.10 16.81 17.54 18.33 19.11 3421
Annually 33488 34965 36483 38126 39749 3422
9 Hourly 17.18 18.07 18.96 19.90 20.92 3423
Annually 35734 37586 39437 41392 43514 3424
10 Hourly 18.54 19.55 20.60 21.79 22.96 3425
Annually 38563 40664 42848 45323 47757 3426
11 Hourly 20.18 21.36 22.60 23.87 25.23 3427
Annually 41974 44429 47008 49650 52478 3428
12 Hourly 22.26 23.52 24.78 26.15 27.61 29.11 3429
Annually 46301 48922 51542 54392 57429 60549 3430
13 Hourly 24.54 25.89 27.31 28.77 30.39 32.04 3431
Annually 51043 53851 56805 59842 63211 66643 3432
14 Hourly 26.99 28.51 30.05 31.69 33.48 35.35 3433
Annually 56139 59301 62504 65915 69638 73528 3434
15 Hourly 29.64 31.31 33.08 34.90 36.84 38.86 3435
Annually 61651 65125 68806 72592 76627 80829 3436
16 Hourly 32.69 34.50 36.40 38.44 40.56 42.88 3437
Annually 67995 71760 75712 79955 84365 89190 3438
17 Hourly 36.02 38.01 40.14 42.35 44.71 47.21 3439
Annually 74922 79061 83491 88088 92997 98197 3440
18 Hourly 39.69 41.89 44.25 46.68 49.27 52.02 3441
Annually 82555 87131 92040 97094 102482 108202 3442



Range Minimum Maximum 3444
41 Hourly 16.23 35.99 3445
Annually 33758 74859 3446
42 Hourly 17.89 39.75 3447
Annually 37211 82680 3448
43 Hourly 19.70 43.78 3449
Annually 40976 91062 3450
44 Hourly 21.73 47.83 3451
Annually 45198 99486 3452
45 Hourly 24.01 52.21 3453
Annually 49941 108597 3454
46 Hourly 26.43 57.06 3455
Annually 54974 118685 3456
47 Hourly 29.14 62.27 3457
Annually 60611 129522 3458
48 Hourly 32.14 67.95 3459
Annually 66851 141336 3460
49 Hourly 35.44 73.37 3461
Annually 73715 152610 3462

       (D) Beginning on the first day of the pay period that 3463
includes July 1, 2008, each exempt employee who must be paid in 3464
accordance with schedule E-1 or schedule E-2 of this section shall 3465
be paid a salary or wage in accordance with the following schedule 3466
of rates:3467

Step Step Step Step Step Step 3468
Range 1 2 3 4 5 6 3469
1 Hourly 10.07 10.52 10.97 11.44 3470
Annually 20946 21882 22818 23795 3471
2 Hourly 12.21 12.73 13.28 13.86 3472
Annually 25397 26478 27622 28829 3473
3 Hourly 12.79 13.37 13.96 14.57 3474
Annually 26603 27810 29037 30306 3475
4 Hourly 13.43 14.03 14.70 15.36 3476
Annually 27934 29182 30576 31949 3477
5 Hourly 14.09 14.73 15.36 16.03 3478
Annually 29307 30638 31949 33342 3479
6 Hourly 14.85 15.46 16.15 16.81 3480
Annually 30888 32157 33592 34965 3481
7 Hourly 15.77 16.35 17.02 17.62 18.30 3482
Annually 32802 34008 35402 36650 38064 3483
8 Hourly 16.66 17.40 18.15 18.97 19.78 3484
Annually 34653 36192 37752 39458 41142 3485
9 Hourly 17.78 18.70 19.62 20.60 21.65 3486
Annually 36982 38896 40810 42848 45032 3487
10 Hourly 19.19 20.23 21.32 22.55 23.76 3488
Annually 39915 42078 44346 46904 49421 3489
11 Hourly 20.89 22.11 23.39 24.71 26.11 3490
Annually 43451 45989 48651 51397 54309 3491
12 Hourly 23.04 24.34 25.65 27.07 28.58 30.13 3492
Annually 47923 50627 53352 56306 59446 62670 3493
13 Hourly 25.40 26.80 28.27 29.78 31.45 33.16 3494
Annually 52832 55744 58802 61942 65416 68973 3495
14 Hourly 27.93 29.51 31.10 32.80 34.65 36.59 3496
Annually 58094 61381 64688 68224 72072 76107 3497
15 Hourly 30.68 32.41 34.24 36.12 38.13 40.22 3498
Annually 63814 67413 71219 75130 79310 83658 3499
16 Hourly 33.83 35.71 37.67 39.79 41.98 44.38 3500
Annually 70366 74277 78354 82763 87318 92310 3501
17 Hourly 37.28 39.34 41.54 43.83 46.27 48.86 3502
Annually 77542 81827 86403 91166 96242 101629 3503
18 Hourly 41.08 43.36 45.80 48.31 50.99 53.84 3504
Annually 85446 90189 95264 100485 106059 111987 3505



Range Minimum Maximum 3507
41 Hourly 16.23 37.25 3508
Annually 33758 77480 3509
42 Hourly 17.89 41.14 3510
Annually 37211 85571 3511
43 Hourly 19.70 45.31 3512
Annually 40976 94245 3513
44 Hourly 21.73 49.50 3514
Annually 45198 102960 3515
45 Hourly 24.01 54.04 3516
Annually 49941 112403 3517
46 Hourly 26.43 59.06 3518
Annually 54974 122845 3519
47 Hourly 29.14 64.45 3520
Annually 60611 134056 3521
48 Hourly 32.14 70.33 3522
Annually 66851 146286 3523
49 Hourly 35.44 75.94 3524
Annually 73715 157955 3525

       (E) Beginning on the first day of the pay period that 3526
includes July 1, 2006, each exempt employee who must be paid in 3527
accordance with schedule E-1 for step seven only shall be paid a 3528
salary or wage in accordance with the following schedule of rates:3529

Schedule E-1 for Step Seven Only3530

Pay Ranges and Step Seven Values
3531

Range 3532
12 Hourly 29.68 3533
Annually 61734 3534
13 Hourly 32.66 3535
Annually 67933 3536
14 Hourly 36.01 3537
Annually 74901 3538
15 Hourly 39.61 3539
Annually 82389 3540
16 Hourly 43.70 3541
Annually 90896 3542
17 Hourly 48.13 3543
Annually 100110 3544
18 Hourly 53.02 3545
Annually 110282 3546

       (D)(F) Beginning on the first day of the pay period that 3547
includes July 1, 2007, each exempt employee who must be paid in 3548
accordance with schedule E-1 for step seven only shall be paid a 3549
salary or wage in accordance with the following schedule of rates:3550

Range 3551
12 Hourly 30.72 3552
Annually 63898 3553
13 Hourly 33.80 3554
Annually 70304 3555
14 Hourly 37.27 3556
Annually 77522 3557
15 Hourly 41.00 3558
Annually 85280 3559
16 Hourly 45.23 3560
Annually 94078 3561
17 Hourly 49.81 3562
Annually 103605 3563
18 Hourly 54.88 3564
Annually 114150 3565

       (G) Beginning on the first day of the pay period that 3566
includes July 1, 2008, each exempt employee who must be paid in 3567
accordance with salary schedule E-1 for step seven only shall be 3568
paid a salary or wage in accordance with the following schedule of 3569
rates:3570

Range 3571
12 Hourly 31.80 3572
Annually 66144 3573
13 Hourly 34.98 3574
Annually 72758 3575
14 Hourly 38.57 3576
Annually 80226 3577
15 Hourly 42.44 3578
Annually 88275 3579
16 Hourly 46.81 3580
Annually 97365 3581
17 Hourly 51.55 3582
Annually 107224 3583
18 Hourly 56.80 3584
Annually 118144 3585

       (H) As used in this section, "exempt employee" means a3586
permanent full-time or permanent part-time employee paid directly3587
by warrant of the director of budget and management whose position 3588
is included in the job classification plan established under 3589
division (A) of section 124.14 of the Revised Code but who is not 3590
considered a public employee for the purposes of Chapter 4117. of 3591
the Revised Code. As used in this section, "exempt employee" also 3592
includes a permanent full-time or permanent part-time employee of 3593
the secretary of state, auditor of state, treasurer of state, or3594
attorney general who has not been placed in an appropriate3595
bargaining unit by the state employment relations board.3596

       Sec. 125.45.  The department of administrative services shall 3597
maintain facilities to perform office reproduction services for 3598
all boards, commissions, or departments except for the bureau of 3599
workers' compensation. Upon written application to the department 3600
of administrative services, permission may be granted to a board, 3601
commission, or department to perform such services outside the 3602
central facility and such permission shall state the extent of the 3603
services which the department, board, or commission shall perform.3604

       Office reproduction services using stencils, masters, or3605
plates are restricted to duplicating equipment not larger than3606
seventeen by twenty-two inches. Not to exceed five thousand press 3607
impressions shall be produced of any such order except that up to 3608
one thousand production copies may be produced of any item3609
consisting of multiple pages and except that over five thousand, 3610
but not more than ten thousand, press impressions may be produced 3611
if the director of administrative services determines that there 3612
is an emergency due to the timing of service delivery or another 3613
factor that may cause financial hardship to the state.3614

       Nothing in this section precludes the bureau from entering3615
into a contract with the department of administrative services for 3616
the department to perform office reproduction services for the 3617
bureau.3618

       Neither the department nor any otherNo state agency, other 3619
than the department of administrative services, shall perform 3620
printing or office reproduction services for political 3621
subdivisions.3622

       Sec. 125.93.  The state forms management program shall do 3623
each of the following:3624

       (A) Assist state agencies in establishing internal forms3625
management capabilities;3626

       (B) Study, develop, coordinate, and initiate forms of3627
interagency and common administrative usage, and establish basic3628
design and specification criteria to standardize state forms;3629

       (C) Assist state agencies to design economical forms;3630

       (D)(C) Assist, train, and instruct state agencies and their3631
forms management representatives in forms management techniques,3632
and provide direct forms management assistance to new state3633
agencies as they are created;3634

       (E) Maintain a central forms repository of all state forms to3635
facilitate standardization of the forms, eliminate redundant3636
forms, and provide a central source of information on forms usage3637
and availability.3638

       Sec. 125.96.  The director of administrative services may3639
adopt, amend, or rescind rules necessary to carry out the powers3640
and duties imposed upon the state forms management program and 3641
state agencies by sections 125.92 to 125.98 of the Revised Code. 3642
The director shall adopt, and may amend or rescind, rules3643
providing each of the following:3644

       (A) After a date to be determined by the state forms 3645
management program, no state agency shall utilize any form, other 3646
than a form subject to division (B) of section 125.95 of the 3647
Revised Code, the management of which has not been delegated to 3648
the agency by the program under division (A) of that section or 3649
been approved by the program.3650

       (B) The notice required by section 125.97 of the Revised Code 3651
shall appear in a standard place and a standard manner on each 3652
form to which the notice applies, and shall include specified 3653
indicia of approval by the state forms management program.3654

       (C) Any form required by a state agency on an emergency basis 3655
may be given interim approval by the state forms management 3656
program if the form is accompanied by a letter from the director 3657
or other head of the agency setting forth the nature of the 3658
emergency and requesting interim approval.3659

       Sec. 125.97.  All forms, other than those forms subject to 3660
division (B) of section 125.95 of the Revised Code, used to obtain 3661
information from private business, agriculture, or local 3662
governments, except those forms used by the tax commissioner for 3663
administration of taxes and programs, shall contain a conspicuous 3664
notice on the first page setting forth the authorization for the 3665
form and stating whether providing the information sought is 3666
required or voluntary, and any penalties that apply to failure to 3667
provide the information.3668

       Sec. 125.98.  (A) Each state agency shall appoint a forms3669
management representative, who may be from existing personnel. The 3670
appointee shall cooperate with, and provide other necessary 3671
assistance to, the director of administrative services and the 3672
state forms management program in implementing the program. A 3673
forms management representative shall do all of the following:3674

       (1) Manage the agency's forms management program and 3675
cooperate with and provide other necessary assistance to the 3676
director of administrative services in implementing the state 3677
forms management program;3678

       (2) Monitor the use and reproduction of all forms to ensure 3679
that all policies, procedures, guidelines, and standards 3680
established by the agency and the director of administrative 3681
services are followed;3682

       (3) Ensure that every form used by the agency is presented to 3683
the state forms management program for registration prior to its 3684
reproduction;3685

       (4) Maintain a master forms file history file, in numeric 3686
order, of all agency forms;3687

       (5) Verify and update theall historical information on all 3688
forms in the agency's central forms repository database.3689

       (B) Any state agency, as defined in section 1.60 of the 3690
Revised Code, not included within the definition of a state agency 3691
in section 125.91 of the Revised Code may elect to participate in 3692
the state forms management program. The program may provide to any 3693
such agency any service required or authorized by sections 125.92 3694
to 125.98 of the Revised Code to be performed for a state agency.3695

       Sec. 126.04.  Funds appropriated for purposes of fulfilling 3696
the state's obligations under the consent order filed March 5, 3697
2007, in Martin v. Strickland, Case No. 89-CV-00362, in the United 3698
States district court for the southern district of Ohio, eastern 3699
division, shall be in an appropriation item that authorizes 3700
expenditures only for purposes of fulfilling the state's 3701
obligations under the consent order.3702

       Sec. 126.07. NoExcept as provided in division (B) of 3703
section 126.21 of the Revised Code, no contract, agreement, or 3704
obligation involving the expenditure of money chargeable to an3705
appropriation, nor any resolution or order for the expenditure of3706
money chargeable to an appropriation, shall be valid and3707
enforceable unless the director of budget and management first3708
certifies that there is a balance in the appropriation not already 3709
obligated to pay existing obligations, in an amount at least equal 3710
to the portion of the contract, agreement, obligation, resolution, 3711
or order to be performed in the current fiscal year. Any written3712
contract or agreement entered into by the state shall contain a3713
clause stating that the obligations of the state are subject to3714
this section.3715

       The chief administrative officer of a state agency is 3716
responsible for the preaudit and approval of expenditures and 3717
other transactions of the agency. In order to makeinitiate the 3718
making of a payment from the state treasury, the person in a state3719
agency who requests that the payment be made shall first submit to 3720
the directorchief administrative officer of the agency all 3721
invoices, claims, vouchers, and other evidentiary matter3722
documentation related to the payment. If the director approves 3723
payment to be made, the director shall draw a warrant as provided 3724
in section 126.35 of the Revised Code.The chief administrative 3725
officer shall examine each voucher and all other documentation 3726
required to support the voucher and determine whether they meet 3727
all the requirements established by the director of budget and 3728
management for making the payment. If they do meet those 3729
requirements, the chief administrative officer shall certify to 3730
the director the approval of the chief administrative officer for 3731
payment.3732

        Prior to drawing a warrant as provided in section 126.35 of 3733
the Revised Code, the director may review and audit the voucher, 3734
any documentation accompanying the voucher, and any other 3735
documentation related to the transaction that the director may 3736
require to determine if the transaction is in accordance with law.3737
The director shall not approve payment to be made if the director 3738
finds that there is not an unobligated balance in the 3739
appropriation for the payment, that the payment is not for a valid 3740
claim against the state that is legally due, or that insufficient 3741
evidentiary matterdocumentation has been submitted. If the 3742
director does not approve payment, the director shall notify the 3743
agency of the reasons the director has not given approval.3744

       In approving payments to be made under this section, the3745
director, upon receipt of certification from the director of job 3746
and family services pursuant to section 4141.231 of the Revised 3747
Code, shall withhold from amounts otherwise payable to a person 3748
who is the subject of the director of jobs and family services'3749
certification, the amount certified to be due and unpaid to the3750
director of job and family services, and shall approve for payment 3751
to the director of job and family services, the amount withheld.3752

       As used in this section and in section 126.21 of the Revised 3753
Code, "chief administrative officer" means either of the 3754
following:3755

       (A) The director of the agency or, in the case of a state 3756
agency without a director, the equivalent officer of that agency;3757

       (B) The designee of the chief administrative officer for the 3758
purposes of such sections.3759

       Sec. 126.08.  The director of budget and management may3760
exercise control over the financial transactions of state3761
agencies, including approving, disapproving, voiding, or 3762
invalidating encumbrances or transactions, except those in the 3763
judicial and legislative branches, by:3764

       (A) Requiring encumbrancing documents or any other financial 3765
information to be submitted to the director, where such submission 3766
is prescribed by law or where the director considers such 3767
submission necessary to evaluate the legality of a proposedan3768
expenditure, and by approving or disapproving any encumbrance3769
requested, except that the director shall not disapprove any3770
encumbrancing document submitted by the attorney general, auditor3771
of state, secretary of state, or treasurer of state unless there3772
is an insufficient unobligated balance in the appropriation or the 3773
encumbrance does not meet all other legal requirements. Those 3774
portions of an appropriation that are encumbered are not available 3775
for expenditure for any purpose other than that indicated on the 3776
encumbrancing document. If any requirements of the director 3777
regarding the submission of encumbrancing documents or other 3778
financial information are not complied with, or if any3779
encumbrancing document is disapproved in whole or in part, the3780
director shall notify the submitting agency thereof and shall not3781
authorize payment unless the reasons for disapproval are3782
corrected.3783

       (B) Requiring the allocation and allotment of any3784
appropriation by quarter or by any other period of time.3785

       (C) Reporting to the attorney general for such action, civil 3786
or criminal, as the attorney general considers necessary, all 3787
facts showing improper payment of public money or misappropriation 3788
of public property;3789

       (D) By adopting rules for carrying into effect any powers3790
granted by this chapter.3791

       Sec. 126.16.  (A) This section is in implementation of 3792
division (D) of Section 17 of Article VIII, Ohio Constitution, for 3793
purposes of issuing direct obligations of the state subject to 3794
that section.3795

       (B) For purposes of the computation of debt service under3796
Section 17 of Article VIII, Ohio Constitution, there shall be 3797
included debt service payable on bonds that are direct obligations 3798
of the state issued under Article VIII, Ohio Constitution, and on 3799
those bonds anticipated by bond anticipation notes, to the extent 3800
that debt service on those bonds is anticipated to be paid from 3801
the state general revenue fund or net state lottery proceeds. 3802
Examples of bonds the debt service on which is not anticipated to 3803
be paid from either of those sources are bonds of the state issued 3804
for highway purposes pursuant to Section 2i or 2m of Article VIII, 3805
Ohio Constitution, which, although general obligations of the 3806
state, have been and are anticipated to be paid from highway user 3807
receipts and not from the general revenue fund or net state 3808
lottery proceeds.3809

       (C) If there is no separate constitutional or statutory 3810
provision applicable for the purpose, debt service on bonds 3811
anticipated by bond anticipation notes shall be estimated as 3812
provided in division (C) of this section. That amount, to be 3813
certified either by the issuing authority of the particular notes 3814
or by the governor or the governor's designee pursuant to division 3815
(E) of this section, shall be the estimated amount that would have 3816
been payable on bonds maturing serially in each fiscal year after3817
the fiscal year of the issuance of the notes over the maximum 3818
period of maturity for the bonds authorized in the particular3819
governing constitutional or statutory provision, as if those bonds 3820
had been issued without the prior issuance of the notes, and 3821
computed on a substantially level debt service basis applying an 3822
interest rate or rates certified to be market rates at the time of 3823
issuance of the notes.3824

       (D) In the case of bonds issued to refund or retire bonds, 3825
the debt service on the new bonds shall be counted and the debt 3826
service on the bonds being refunded or retired shall not be 3827
counted.3828

       (E) The governor, or the governor's designee for the purpose,3829
shall determine and certify the fiscal year amounts required to be 3830
applied or set aside for payment of debt service, including debt 3831
service on any variable rate bonds, the securities to which that 3832
debt service relates, the total office of budget and management 3833
estimated revenues of the state for the general revenue fund and 3834
from net state lottery proceeds during the particular fiscal year, 3835
and any other financial data necessary or appropriate for the3836
purpose of the computations under division (A) of Section 17 of3837
Article VIII, Ohio Constitution, and this section. Those 3838
determinations and certifications shall be filed with the director 3839
of budget and management, the treasurer of state, and the issuing3840
authority for the particular obligations, at or prior to the time 3841
those securities are issued. The governor's designee for the 3842
purpose may be the director or assistant director of budget and 3843
management, or any employee or official of the governor's office.3844

       (F) For purposes of this section, "securities," "interest or3845
interest equivalent," and "outstanding" have the same meanings as 3846
in section 133.01 of the Revised Code, and "debt service" means 3847
principal, including any mandatory sinking fund deposits and 3848
mandatory redemption payments, and interest or interest equivalent 3849
payable on securities, as those payments are stated to come due 3850
and to be payable.3851

       (G)(1) As used in this division, "avoided obligations" means 3852
direct obligations of the state that are not issued because the 3853
capital facilities they would have financed are instead paid for 3854
with the proceeds of obligations issued under division (C) of 3855
section 183.51 of the Revised Code.3856

       (2) For purposes of computing the limitation on issuing 3857
direct obligations of the state under this section and Section 17 3858
of Article VIII, Ohio Constitution, any avoided obligations shall 3859
be considered as having been issued. The fiscal year amounts that 3860
would have been required to be applied or set aside for payment of 3861
debt service over the maximum period of maturity of the avoided 3862
obligations had the avoided obligations been issued shall be 3863
included in the computations.3864

       Sec. 126.21.  (A) The director of budget and management shall 3865
do all of the following:3866

       (1) Keep all necessary accounting records;3867

       (2) Prescribe and maintain the accounting system of the state 3868
and establish appropriate accounting procedures and charts of 3869
accounts;3870

       (3) Establish procedures for the use of written, electronic,3871
optical, or other communications media for approving and reviewing3872
payment vouchers;3873

       (4) Reconcile, in the case of any variation between the3874
amount of any appropriation and the aggregate amount of items of3875
the appropriation, with the advice and assistance of the state3876
agency affected by it and the legislative service commission,3877
totals so as to correspond in the aggregate with the total3878
appropriation. In the case of a conflict between the item and the3879
total of which it is a part, the item shall be considered the3880
intended appropriation.3881

       (5) Evaluate on an ongoing basis and, if necessary, recommend 3882
improvements to the internal controls used in state agencies;3883

       (6) Authorize the establishment of petty cash accounts. The3884
director of budget and management may withdraw approval for any3885
petty cash account and require the officer in charge to return to3886
the state treasury any unexpended balance shown by the officer's3887
accounts to be on hand. Any officer who is issued a warrant for3888
petty cash shall render a detailed account of the expenditures of3889
the petty cash and shall report when requested the balance of3890
petty cash on hand at any time.3891

       (7) Process orders, invoices, vouchers, claims, and payrolls3892
and prepare financial reports and statements;3893

       (8) Perform extensions, reviews, and compliance checks prior3894
to or after approving a payment as the director considers3895
necessary;3896

       (9) Issue the official comprehensive annual financial report3897
of the state. The report shall cover all funds of the state3898
reporting entity and shall include basic financial statements and3899
required supplementary information prepared in accordance with3900
generally accepted accounting principles and other information as3901
the director provides. All state agencies, authorities,3902
institutions, offices, retirement systems, and other component3903
units of the state reporting entity as determined by the director3904
shall furnish the director whatever financial statements and other3905
information the director requests for the report, in the form, at3906
the times, covering the periods, and with the attestation the3907
director prescribes. The information for state institutions of3908
higher education, as defined in section 3345.011 of the Revised3909
Code, shall be submitted to the directorchancellor by the Ohio 3910
board of regents. The board shall establish a due date by which 3911
each such institution shall submit the information to the board, 3912
but no such date shall be later than one hundred twenty days after 3913
the end of the state fiscal year unless a later date is approved 3914
by the director.3915

       (B) In addition to the director's duties under division (A)3916
of this section, the director of budget and management may3917
establish and administer one or more state payment card programs3918
that permit or require state agencies to use a payment card to3919
purchase equipment, materials, supplies, or services in accordance3920
with guidelines issued by the director. The chief administrative 3921
officer of a state agency that uses a payment card for such 3922
purposes shall ensure that purchases made with the card are made 3923
in accordance with the guidelines issued by the director and do 3924
not exceed the unexpended, unencumbered, unobligated balance in 3925
the appropriation to be charged for the purchase. State agencies 3926
may only participate in only those state payment card programs 3927
that the director establishes pursuant to this section.3928

       (C) In addition to the director's duties under divisions (A) 3929
and (B) of this section, the director may enter into any contract 3930
or agreement necessary for and incidental to the performance of 3931
the director's duties or the duties of the office of budget and 3932
management.3933

       Sec. 126.22.  The director of budget and management may:3934

       (A) Perform accounting services for and design and implement3935
accounting systems with state agencies;3936

       (B) Provide other accounting services, including the 3937
maintenance and periodic auditing of the financial records of and 3938
submission of vouchers by state agencies, provision of assistance 3939
in the analysis of the financial position of state agencies, and3940
preparation and submission of reports;3941

       (C) Change any accounting code appearing in appropriations 3942
acts of the general assembly.3943

       Sec. 126.24. The OAKS support organization fund is hereby 3944
created in the state treasury for the purpose of paying the 3945
operating expenses of the state's enterprise resource planning 3946
system. The fund shall consist of cash transfers from the 3947
accounting and budgeting fund and the human resources services 3948
fund, and other revenues designated to support the operating costs 3949
of the Ohio administrative knowledge system. All investment 3950
earnings of the fund shall be credited to the fund.3951

       Sec. 126.40. There is hereby created in the state treasury 3952
the forgery recovery fund. The fund shall consist of all moneys 3953
collected by the attorney general from the resolution of cases of 3954
fraud or forgery involving warrants issued by the director of the 3955
office of budget and management. The director shall use the fund 3956
to pay costs associated with the reissue of state warrants to 3957
payees whose warrants were fraudulently redeemed.3958

       Sec. 127.14.  The controlling board may, at the request of3959
any state agency or the director of budget and management,3960
authorize, with respect to the provisions of any appropriation3961
act:3962

       (A) Transfers of all or part of an appropriation within but 3963
not between state agencies, except such transfers as the director 3964
of budget and management is authorized by law to make, provided 3965
that no transfer shall be made by the director for the purpose of 3966
effecting new or changed levels of program service not authorized 3967
by the general assembly;3968

       (B) Transfers of all or part of an appropriation from one3969
fiscal year to another;3970

       (C) Transfers of all or part of an appropriation within or3971
between state agencies made necessary by administrative3972
reorganization or by the abolition of an agency or part of an3973
agency;3974

       (D) Transfers of all or part of cash balances in excess of3975
needs from any fund of the state to the general revenue fund or to 3976
such other fund of the state to which the money would have been 3977
credited in the absence of the fund from which the transfers are 3978
authorized to be made, except that the controlling board may not 3979
authorize such transfers from the accrued leave liability fund, 3980
auto registration distribution fund, budget stabilization fund, 3981
development bond retirement fund, facilities establishment fund, 3982
gasoline excise tax fund, general revenue fund, higher education 3983
improvement fund, highway improvement bond retirement fund, 3984
highway obligations bond retirement fund, highway capital3985
improvement fund, highway operating fund, horse racing tax fund, 3986
improvements bond retirement fund, library and local government 3987
supportlibraries fund, liquor control fund, local government3988
communities fund, local transportation improvement program fund,3989
mental health facilities improvement fund, Ohio fairs fund, parks3990
and recreation improvement fund, public improvements bond3991
retirement fund, school district income tax fund, state agency 3992
facilities improvement fund, state and local government highway 3993
distribution fund, state highway safety fund, state lottery fund, 3994
undivided liquor permit fund, Vietnam conflict compensation bond 3995
retirement fund, volunteer fire fighters' dependents fund, 3996
waterways safety fund, wildlife fund, workers' compensation fund, 3997
or any fund not specified in this division that the director of 3998
budget and management determines to be a bond fund or bond 3999
retirement fund;4000

       (E) Transfers of all or part of those appropriations included 4001
in the emergency purposes account of the controlling board;4002

       (F) Temporary transfers of all or part of an appropriation or 4003
other moneys into and between existing funds, or new funds, as may 4004
be established by law when needed for capital outlays for which 4005
notes or bonds will be issued;4006

       (G) Transfer or release of all or part of an appropriation to 4007
a state agency requiring controlling board approval of such4008
transfer or release as provided by law;4009

       (H) Temporary transfer of funds included in the emergency4010
purposes appropriation of the controlling board. Such temporary4011
transfers may be made subject to conditions specified by the4012
controlling board at the time temporary transfers are authorized.4013
No transfers shall be made under this division for the purpose of4014
effecting new or changed levels of program service not authorized4015
by the general assembly.4016

       As used in this section, "request" means an application by a 4017
state agency or the director of budget and management seeking some 4018
action by the controlling board.4019

       When authorizing the transfer of all or part of an 4020
appropriation under this section, the controlling board may 4021
authorize the transfer to an existing appropriation item and the 4022
creation of and transfer to a new appropriation item.4023

       Whenever there is a transfer of all or part of funds included 4024
in the emergency purposes appropriation by the controlling board, 4025
pursuant to division (E) of this section, the state agency or the 4026
director of budget and management receiving such transfer shall 4027
keep a detailed record of the use of the transferred funds. At the 4028
earliest scheduled meeting of the controlling board following the 4029
accomplishment of the purposes specified in the request originally 4030
seeking the transfer, or following the total expenditure of the 4031
transferred funds for the specified purposes, the state agency or 4032
the director of budget and management shall submit a report on the 4033
expenditure of such funds to the board. The portion of any 4034
appropriation so transferred which is not required to accomplish 4035
the purposes designated in the original request to the controlling 4036
board shall be returned to the proper appropriation of the 4037
controlling board at this time.4038

       Notwithstanding any provisions of law providing for the4039
deposit of revenues received by a state agency to the credit of a4040
particular fund in the state treasury, whenever there is a4041
temporary transfer of funds included in the emergency purposes4042
appropriation of the controlling board pursuant to division (H) of 4043
this section, revenues received by any state agency receiving such 4044
a temporary transfer of funds shall, as directed by the4045
controlling board, be transferred back to the emergency purposes4046
appropriation.4047

       The board may delegate to the director of budget and4048
management authority to approve transfers among items of4049
appropriation under division (A) of this section.4050

       Sec. 127.16.  (A) Upon the request of either a state agency4051
or the director of budget and management and after the controlling4052
board determines that an emergency or a sufficient economic reason4053
exists, the controlling board may approve the making of a purchase4054
without competitive selection as provided in division (B) of this4055
section.4056

       (B) Except as otherwise provided in this section, no state4057
agency, using money that has been appropriated to it directly,4058
shall:4059

       (1) Make any purchase from a particular supplier, that would4060
amount to fifty thousand dollars or more when combined with both4061
the amount of all disbursements to the supplier during the fiscal4062
year for purchases made by the agency and the amount of all4063
outstanding encumbrances for purchases made by the agency from the4064
supplier, unless the purchase is made by competitive selection or4065
with the approval of the controlling board;4066

       (2) Lease real estate from a particular supplier, if the4067
lease would amount to seventy-five thousand dollars or more when4068
combined with both the amount of all disbursements to the supplier4069
during the fiscal year for real estate leases made by the agency4070
and the amount of all outstanding encumbrances for real estate4071
leases made by the agency from the supplier, unless the lease is4072
made by competitive selection or with the approval of the4073
controlling board.4074

       (C) Any person who authorizes a purchase in violation of4075
division (B) of this section shall be liable to the state for any4076
state funds spent on the purchase, and the attorney general shall4077
collect the amount from the person.4078

       (D) Nothing in division (B) of this section shall be4079
construed as:4080

       (1) A limitation upon the authority of the director of4081
transportation as granted in sections 5501.17, 5517.02, and4082
5525.14 of the Revised Code;4083

       (2) Applying to medicaid provider agreements under Chapter4084
5111. of the Revised Code or payments or provider agreements under 4085
the disability medical assistance program established under 4086
Chapter 5115. of the Revised Code;4087

       (3) Applying to the purchase of examinations from a sole4088
supplier by a state licensing board under Title XLVII of the4089
Revised Code;4090

       (4) Applying to entertainment contracts for the Ohio state4091
fair entered into by the Ohio expositions commission, provided4092
that the controlling board has given its approval to the4093
commission to enter into such contracts and has approved a total4094
budget amount for such contracts as agreed upon by commission4095
action, and that the commission causes to be kept itemized records4096
of the amounts of money spent under each contract and annually4097
files those records with the clerk of the house of representatives4098
and the clerk of the senate following the close of the fair;4099

       (5) Limiting the authority of the chief of the division of4100
mineral resources management to contract for reclamation work with4101
an operator mining adjacent land as provided in section 1513.27 of4102
the Revised Code;4103

       (6) Applying to investment transactions and procedures of any 4104
state agency, except that the agency shall file with the board the 4105
name of any person with whom the agency contracts to make, broker, 4106
service, or otherwise manage its investments, as well as the 4107
commission, rate, or schedule of charges of such person with4108
respect to any investment transactions to be undertaken on behalf4109
of the agency. The filing shall be in a form and at such times as4110
the board considers appropriate.4111

       (7) Applying to purchases made with money for the per cent4112
for arts program established by section 3379.10 of the Revised4113
Code;4114

       (8) Applying to purchases made by the rehabilitation services 4115
commission of services, or supplies, that are provided to persons 4116
with disabilities, or to purchases made by the commission in 4117
connection with the eligibility determinations it makes for4118
applicants of programs administered by the social security4119
administration;4120

       (9) Applying to payments by the department of job and family4121
services under section 5111.13 of the Revised Code for group4122
health plan premiums, deductibles, coinsurance, and other4123
cost-sharing expenses;4124

       (10) Applying to any agency of the legislative branch of the4125
state government;4126

       (11) Applying to agreements or contracts entered into under4127
section 5101.11, 5101.20, 5101.201, 5101.21, or 5101.214 of the 4128
Revised Code;4129

       (12) Applying to purchases of services by the adult parole4130
authority under section 2967.14 of the Revised Code or by the4131
department of youth services under section 5139.08 of the Revised4132
Code;4133

       (13) Applying to dues or fees paid for membership in an4134
organization or association;4135

       (14) Applying to purchases of utility services pursuant to4136
section 9.30 of the Revised Code;4137

       (15) Applying to purchases made in accordance with rules4138
adopted by the department of administrative services of motor4139
vehicle, aviation, or watercraft fuel, or emergency repairs of4140
such vehicles;4141

       (16) Applying to purchases of tickets for passenger air4142
transportation;4143

       (17) Applying to purchases necessary to provide public4144
notifications required by law or to provide notifications of job4145
openings;4146

       (18) Applying to the judicial branch of state government;4147

       (19) Applying to purchases of liquor for resale by the4148
division of liquor control;4149

       (20) Applying to purchases of motor courier and freight4150
services made in accordance with department of administrative4151
services rules;4152

       (21) Applying to purchases from the United States postal4153
service and purchases of stamps and postal meter replenishment4154
from vendors at rates established by the United States postal4155
service;4156

       (22) Applying to purchases of books, periodicals, pamphlets,4157
newspapers, maintenance subscriptions, and other published4158
materials;4159

       (23) Applying to purchases from other state agencies,4160
including state-assisted institutions of higher education;4161

       (24) Limiting the authority of the director of environmental4162
protection to enter into contracts under division (D) of section4163
3745.14 of the Revised Code to conduct compliance reviews, as4164
defined in division (A) of that section;4165

       (25) Applying to purchases from a qualified nonprofit agency4166
pursuant to sections 125.60 to 125.6012 or 4115.31 to 4115.35 of 4167
the Revised Code;4168

       (26) Applying to payments by the department of job and family4169
services to the United States department of health and human4170
services for printing and mailing notices pertaining to the tax4171
refund offset program of the internal revenue service of the4172
United States department of the treasury;4173

       (27) Applying to contracts entered into by the department of4174
mental retardation and developmental disabilities under sections4175
section 5123.18, 5123.182, and 5123.199 of the Revised Code;4176

       (28) Applying to payments made by the department of mental4177
health under a physician recruitment program authorized by section4178
5119.101 of the Revised Code;4179

       (29) Applying to contracts entered into with persons by the4180
director of commerce for unclaimed funds collection and remittance4181
efforts as provided in division (F) of section 169.03 of the4182
Revised Code. The director shall keep an itemized accounting of4183
unclaimed funds collected by those persons and amounts paid to4184
them for their services.4185

       (30) Applying to purchases made by a state institution of4186
higher education in accordance with the terms of a contract4187
between the vendor and an inter-university purchasing group4188
comprised of purchasing officers of state institutions of higher4189
education;4190

       (31) Applying to the department of job and family services'4191
purchases of health assistance services under the children's4192
health insurance program part I provided for under section 5101.504193
of the Revised Code or the children's health insurance program4194
part II provided for under section 5101.51 of the Revised Code;4195

       (32) Applying to payments by the attorney general from the4196
reparations fund to hospitals and other emergency medical4197
facilities for performing medical examinations to collect physical4198
evidence pursuant to section 2907.28 of the Revised Code;4199

       (33) Applying to contracts with a contracting authority or4200
administrative receiver under division (B) of section 5126.056 of 4201
the Revised Code;4202

       (34) Applying to reimbursements paid to the United States 4203
department of veterans affairs for pharmaceutical and patient 4204
supply purchases made on behalf of the Ohio veterans' home agency;4205

       (35) Applying to agreements entered into with terminal 4206
distributors of dangerous drugs under section 5110.20 of the 4207
Revised Code.4208

       (E) Notwithstanding division (B)(1) of this section, the4209
cumulative purchase threshold shall be seventy-five thousand4210
dollars for the departments of mental retardation and4211
developmental disabilities, mental health, rehabilitation and4212
correction, and youth services.4213

       (F) When determining whether a state agency has reached the4214
cumulative purchase thresholds established in divisions (B)(1),4215
(B)(2), and (E) of this section, all of the following purchases by4216
such agency shall not be considered:4217

       (1) Purchases made through competitive selection or with4218
controlling board approval;4219

       (2) Purchases listed in division (D) of this section;4220

       (3) For the purposes of the thresholds of divisions (B)(1)4221
and (E) of this section only, leases of real estate.4222

       (G) As used in this section, "competitive selection,"4223
"purchase," "supplies," and "services" have the same meanings as4224
in section 125.01 of the Revised Code.4225

       Sec. 131.44.  (A) As used in this section:4226

       (1) "Surplus revenue" means the excess, if any, of the total 4227
fund balance over the required year-end balance.4228

       (2) "Total fund balance" means the sum of the unencumbered4229
balance in the general revenue fund on the last day of the4230
preceding fiscal year plus the balance in the budget stabilization 4231
fund.4232

       (3) "Required year-end balance" means the sum of the4233
following:4234

       (a) Five per cent of the general revenue fund revenues for 4235
the preceding fiscal year;4236

       (b) "Ending fund balance," which means one-half of one per 4237
cent of general revenue fund revenues for the preceding fiscal 4238
year;4239

       (c) "Carryover balance," which means, with respect to a 4240
fiscal biennium, the excess, if any, of the estimated general 4241
revenue fund appropriation and transfer requirement for the second 4242
fiscal year of the biennium over the estimated general revenue 4243
fund revenue for that fiscal year;4244

       (d) "Capital appropriation reserve," which means the amount, 4245
if any, of general revenue fund capital appropriations made for 4246
the current biennium that the director of budget and management 4247
has determined will be encumbered or disbursed;4248

       (e) "Income tax reduction impact reserve," which means an 4249
amount equal to the reduction projected by the director of budget 4250
and management in income tax revenue in the current fiscal year 4251
attributable to the previous reduction in the income tax rate made 4252
by the tax commissioner pursuant to division (B) of section 4253
5747.02 of the Revised Code.4254

       (4) "Estimated general revenue fund appropriation and4255
transfer requirement" means the most recent adjusted4256
appropriations made by the general assembly from the general4257
revenue fund and includes both of the following:4258

       (a) Appropriations made and transfers of appropriations from 4259
the first fiscal year to the second fiscal year of the biennium in 4260
provisions of acts of the general assembly signed by the governor 4261
but not yet effective;4262

       (b) Transfers of appropriation from the first fiscal year to 4263
the second fiscal year of the biennium approved by the controlling 4264
board.4265

       (5) "Estimated general revenue fund revenue" means the most 4266
recent such estimate available to the director of budget and 4267
management.4268

       (B)(1) Not later than the thirty-first day of July each year, 4269
the director of budget and management shall determine the surplus 4270
revenue that existed on the preceding thirtieth day of June and 4271
transfer from the general revenue fund, to the extent of the 4272
unobligated, unencumbered balance on the preceding thirtieth day 4273
of June in excess of one-half of one per cent of the general4274
revenue fund revenues in the preceding fiscal year, the following:4275

       (a) First, to the budget stabilization fund, any amount 4276
necessary for the balance of the budget stabilization fund to 4277
equal five per cent of the general revenue fund revenues of the 4278
preceding fiscal year;4279

       (b) Then, to the income tax reduction fund, which is hereby 4280
created in the state treasury, an amount equal to the surplus 4281
revenue.4282

       (2) Not later than the thirty-first day of July each year, 4283
the director shall determine the percentage that the balance in 4284
the income tax reduction fund is of the amount of revenue that the4285
director estimates will be received from the tax levied under4286
section 5747.02 of the Revised Code in the current fiscal year 4287
without regard to any reduction under division (B) of that 4288
section. If that percentage exceeds thirty-five one hundredths of 4289
one per cent, the director shall certify the percentage to the tax 4290
commissioner not later than the thirty-first day of July.4291

       (C) The director of budget and management shall transfer 4292
money in the income tax reduction fund to the general revenue 4293
fund, the local governmentcommunities fund, and the library and4294
local government supportlibraries fund, and the local government 4295
revenue assistance fund as necessary to offset revenue reductions 4296
resulting from the reductions in taxes required under division (B) 4297
of section 5747.02 of the Revised Code in the respective amounts 4298
and percentages prescribed by divisionsdivision (A)(1), (2), and 4299
(4) of section 5747.03 and divisions (A) and (B) of section 133.514300
of the Revised Code as if the amount transferred had been 4301
collected as taxes under Chapter 5747. of the Revised Code. If no 4302
reductions in taxes are made under that division that affect 4303
revenue received in the current fiscal year, the director shall 4304
not transfer money from the income tax reduction fund to the 4305
general revenue fund, the local governmentcommunities fund, and4306
the library and local government supportlibraries fund, and the 4307
local government revenue assistance fund.4308

       Sec. 131.51.  (A) Beginning January 2008, on or before the 4309
fifth day of each month, the director of budget and management 4310
shall credit to the local communities fund, which is hereby 4311
created in the state treasury, three and sixty-eight one 4312
hundredths per cent of total tax revenue credited to the general 4313
revenue fund during the preceding month. In determining the total 4314
tax revenue credited to the general revenue fund during the 4315
preceding month, the director shall include amounts transferred 4316
from that fund during the preceding month pursuant to divisions 4317
(A) and (B) of this section. Money shall be distributed from the 4318
local communities fund as required under section 5747.50 of the 4319
Revised Code during the same month in which it is credited to the 4320
fund.4321

       (B) Beginning January 2008, on or before the fifth day of 4322
each month, the director of budget and management shall credit to 4323
the local libraries fund, which is hereby created in the state 4324
treasury, two and twenty-two one hundredths per cent of the total 4325
tax revenue credited to the general revenue fund during the 4326
preceding month. In determining the total tax revenue credited to 4327
the general revenue fund during the preceding month, the director 4328
shall include amounts transferred from that fund during the 4329
preceding month pursuant to divisions (A) and (B) of this section. 4330
Money shall be distributed from the local libraries fund as 4331
required under section 5747.47 of the Revised Code during the same 4332
month in which it is credited to the fund.4333

       (C) The director of budget and management shall develop a 4334
schedule identifying the specific tax revenue sources to be used 4335
to make the monthly transfers required under divisions (A) and (B) 4336
of this section. The director may, from time to time, revise the 4337
schedule as the director considers necessary.4338

       Sec. 133.01.  As used in this chapter, in sections 9.95,4339
9.96, and 2151.655 of the Revised Code, in other sections of the4340
Revised Code that make reference to this chapter unless the4341
context does not permit, and in related proceedings, unless4342
otherwise expressly provided:4343

       (A) "Acquisition" as applied to real or personal property4344
includes, among other forms of acquisition, acquisition by4345
exercise of a purchase option, and acquisition of interests in4346
property, including, without limitation, easements and4347
rights-of-way, and leasehold and other lease interests initially4348
extending or extendable for a period of at least sixty months.4349

       (B) "Anticipatory securities" means securities, including4350
notes, issued in anticipation of the issuance of other securities.4351

       (C) "Board of elections" means the county board of elections4352
of the county in which the subdivision is located. If the4353
subdivision is located in more than one county, "board of4354
elections" means the county board of elections of the county that4355
contains the largest portion of the population of the subdivision4356
or that otherwise has jurisdiction in practice over and4357
customarily handles election matters relating to the subdivision.4358

       (D) "Bond retirement fund" means the bond retirement fund4359
provided for in section 5705.09 of the Revised Code, and also4360
means a sinking fund or any other special fund, regardless of the4361
name applied to it, established by or pursuant to law or the4362
proceedings for the payment of debt charges. Provision may be made 4363
in the applicable proceedings for the establishment in a bond4364
retirement fund of separate accounts relating to debt charges on4365
particular securities, or on securities payable from the same or4366
common sources, and for the application of moneys in those4367
accounts only to specified debt charges on specified securities or4368
categories of securities. Subject to law and any provisions in the 4369
applicable proceedings, moneys in a bond retirement fund or4370
separate account in a bond retirement fund may be transferred to4371
other funds and accounts.4372

       (E) "Capitalized interest" means all or a portion of the4373
interest payable on securities from their date to a date stated or4374
provided for in the applicable legislation, which interest is to4375
be paid from the proceeds of the securities.4376

       (F) "Chapter 133. securities" means securities authorized by4377
or issued pursuant to or in accordance with this chapter.4378

       (G) "County auditor" means the county auditor of the county4379
in which the subdivision is located. If the subdivision is located 4380
in more than one county, "county auditor" means the county auditor 4381
of the county that contains the highest amount of the tax4382
valuation of the subdivision or that otherwise has jurisdiction in4383
practice over and customarily handles property tax matters4384
relating to the subdivision. In the case of a county that has4385
adopted a charter, "county auditor" means the officer who4386
generally has the duties and functions provided in the Revised4387
Code for a county auditor.4388

       (H) "Credit enhancement facilities" means letters of credit,4389
lines of credit, stand-by, contingent, or firm securities purchase4390
agreements, insurance, or surety arrangements, guarantees, and4391
other arrangements that provide for direct or contingent payment4392
of debt charges, for security or additional security in the event4393
of nonpayment or default in respect of securities, or for making4394
payment of debt charges to and at the option and on demand of4395
securities holders or at the option of the issuer or upon certain4396
conditions occurring under put or similar arrangements, or for4397
otherwise supporting the credit or liquidity of the securities,4398
and includes credit, reimbursement, marketing, remarketing,4399
indexing, carrying, interest rate hedge, and subrogation4400
agreements, and other agreements and arrangements for payment and4401
reimbursement of the person providing the credit enhancement4402
facility and the security for that payment and reimbursement.4403

       (I) "Current operating expenses" or "current expenses" means4404
the lawful expenditures of a subdivision, except those for4405
permanent improvements and for payments of debt charges of the4406
subdivision.4407

       (J) "Debt charges" means the principal, including any4408
mandatory sinking fund deposits and mandatory redemption payments,4409
interest, and any redemption premium, payable on securities as4410
those payments come due and are payable. The use of "debt charges" 4411
for this purpose does not imply that any particular securities 4412
constitute debt within the meaning of the Ohio Constitution or 4413
other laws.4414

       (K) "Financing costs" means all costs and expenses relating4415
to the authorization, including any required election, issuance,4416
sale, delivery, authentication, deposit, custody, clearing,4417
registration, transfer, exchange, fractionalization, replacement,4418
payment, and servicing of securities, including, without4419
limitation, costs and expenses for or relating to publication and4420
printing, postage, delivery, preliminary and final official4421
statements, offering circulars, and informational statements,4422
travel and transportation, underwriters, placement agents,4423
investment bankers, paying agents, registrars, authenticating4424
agents, remarketing agents, custodians, clearing agencies or4425
corporations, securities depositories, financial advisory4426
services, certifications, audits, federal or state regulatory4427
agencies, accounting and computation services, legal services and4428
obtaining approving legal opinions and other legal opinions,4429
credit ratings, redemption premiums, and credit enhancement4430
facilities. Financing costs may be paid from any moneys available4431
for the purpose, including, unless otherwise provided in the4432
proceedings, from the proceeds of the securities to which they4433
relate and, as to future financing costs, from the same sources4434
from which debt charges on the securities are paid and as though4435
debt charges.4436

       (L) "Fiscal officer" means the following, or, in the case of4437
absence or vacancy in the office, a deputy or assistant authorized4438
by law or charter to act in the place of the named officer, or if4439
there is no such authorization then the deputy or assistant4440
authorized by legislation to act in the place of the named officer4441
for purposes of this chapter, in the case of the following4442
subdivisions:4443

       (1) A county, the county auditor;4444

       (2) A municipal corporation, the city auditor or village4445
clerk or clerk-treasurer, or the officer who, by virtue of a4446
charter, has the duties and functions provided in the Revised Code4447
for the city auditor or village clerk or clerk-treasurer;4448

       (3) A school district, the treasurer of the board of4449
education;4450

       (4) A regional water and sewer district, the secretary of the 4451
board of trustees;4452

       (5) A joint township hospital district, the treasurer of the4453
district;4454

       (6) A joint ambulance district, the clerk of the board of4455
trustees;4456

       (7) A joint recreation district, the person designated4457
pursuant to section 755.15 of the Revised Code;4458

       (8) A detention facility district or a district organized4459
under section 2151.65 of the Revised Code or a combined district4460
organized under sections 2152.41 and 2151.65 of the Revised Code,4461
the county auditor of the county designated by law to act as the4462
auditor of the district;4463

       (9) A township, a fire district organized under division (C)4464
of section 505.37 of the Revised Code, or a township police4465
district, the fiscal officer of the township;4466

       (10) A joint fire district, the clerk of the board of4467
trustees of that district;4468

       (11) A regional or county library district, the person4469
responsible for the financial affairs of that district;4470

       (12) A joint solid waste management district, the fiscal4471
officer appointed by the board of directors of the district under4472
section 343.01 of the Revised Code;4473

       (13) A joint emergency medical services district, the person4474
appointed as fiscal officer pursuant to division (D) of section4475
307.053 of the Revised Code;4476

       (14) A fire and ambulance district, the person appointed as4477
fiscal officer under division (B) of section 505.375 of the4478
Revised Code;4479

       (15) A subdivision described in division (MM)(17) of this4480
section, the officer who is designated by law as or performs the4481
functions of its chief fiscal officer.4482

       (M) "Fiscal year" has the same meaning as in section 9.34 of4483
the Revised Code.4484

       (N) "Fractionalized interests in public obligations" means4485
participations, certificates of participation, shares, or other4486
instruments or agreements, separate from the public obligations4487
themselves, evidencing ownership of interests in public4488
obligations or of rights to receive payments of, or on account of,4489
principal or interest or their equivalents payable by or on behalf4490
of an obligor pursuant to public obligations.4491

       (O) "Fully registered securities" means securities in4492
certificated or uncertificated form, registered as to both4493
principal and interest in the name of the owner.4494

       (P) "Fund" means to provide for the payment of debt charges4495
and expenses related to that payment at or prior to retirement by4496
purchase, call for redemption, payment at maturity, or otherwise.4497

       (Q) "General obligation" means securities to the payment of4498
debt charges on which the full faith and credit and the general4499
property taxing power, including taxes within the tax limitation4500
if available to the subdivision, of the subdivision are pledged.4501

       (R) "Interest" or "interest equivalent" means those payments4502
or portions of payments, however denominated, that constitute or4503
represent consideration for forbearing the collection of money, or4504
for deferring the receipt of payment of money to a future time.4505

       (S) "Internal Revenue Code" means the "Internal Revenue Code4506
of 1986," 100 Stat. 2085, 26 U.S.C.A. 1 et seq., as amended, and4507
includes any laws of the United States providing for application4508
of that code.4509

       (T) "Issuer" means any public issuer and any nonprofit4510
corporation authorized to issue securities for or on behalf of any4511
public issuer.4512

       (U) "Legislation" means an ordinance or resolution passed by4513
a majority affirmative vote of the then members of the taxing4514
authority unless a different vote is required by charter4515
provisions governing the passage of the particular legislation by4516
the taxing authority.4517

       (V) "Mandatory sinking fund redemption requirements" means4518
amounts required by proceedings to be deposited in a bond4519
retirement fund for the purpose of paying in any year or fiscal4520
year by mandatory redemption prior to stated maturity the4521
principal of securities that is due and payable, except for4522
mandatory prior redemption requirements as provided in those4523
proceedings, in a subsequent year or fiscal year.4524

       (W) "Mandatory sinking fund requirements" means amounts4525
required by proceedings to be deposited in a year or fiscal year4526
in a bond retirement fund for the purpose of paying the principal4527
of securities that is due and payable in a subsequent year or4528
fiscal year.4529

       (X) "Net indebtedness" has the same meaning as in division4530
(A) of section 133.04 of the Revised Code.4531

       (Y) "Obligor," in the case of securities or fractionalized4532
interests in public obligations issued by another person the debt4533
charges or their equivalents on which are payable from payments4534
made by a public issuer, means that public issuer.4535

       (Z) "One purpose" relating to permanent improvements means4536
any one permanent improvement or group or category of permanent4537
improvements for the same utility, enterprise, system, or project,4538
development or redevelopment project, or for or devoted to the4539
same general purpose, function, or use or for which4540
self-supporting securities, based on the same or different sources4541
of revenues, may be issued or for which special assessments may be4542
levied by a single ordinance or resolution. "One purpose"4543
includes, but is not limited to, in any case any off-street4544
parking facilities relating to another permanent improvement, and:4545

       (1) Any number of roads, highways, streets, bridges,4546
sidewalks, and viaducts;4547

       (2) Any number of off-street parking facilities;4548

       (3) In the case of a county, any number of permanent4549
improvements for courthouse, jail, county offices, and other4550
county buildings, and related facilities;4551

       (4) In the case of a school district, any number of4552
facilities and buildings for school district purposes, and related4553
facilities.4554

       (AA) "Outstanding," referring to securities, means securities 4555
that have been issued, delivered, and paid for, except any of the 4556
following:4557

       (1) Securities canceled upon surrender, exchange, or4558
transfer, or upon payment or redemption;4559

       (2) Securities in replacement of which or in exchange for4560
which other securities have been issued;4561

       (3) Securities for the payment, or redemption or purchase for 4562
cancellation prior to maturity, of which sufficient moneys or4563
investments, in accordance with the applicable legislation or4564
other proceedings or any applicable law, by mandatory sinking fund4565
redemption requirements, mandatory sinking fund requirements, or4566
otherwise, have been deposited, and credited for the purpose in a4567
bond retirement fund or with a trustee or paying or escrow agent,4568
whether at or prior to their maturity or redemption, and, in the4569
case of securities to be redeemed prior to their stated maturity,4570
notice of redemption has been given or satisfactory arrangements4571
have been made for giving notice of that redemption, or waiver of4572
that notice by or on behalf of the affected security holders has4573
been filed with the subdivision or its agent for the purpose.4574

       (BB) "Paying agent" means the one or more banks, trust4575
companies, or other financial institutions or qualified persons,4576
including an appropriate office or officer of the subdivision,4577
designated as a paying agent or place of payment of debt charges4578
on the particular securities.4579

       (CC) "Permanent improvement" or "improvement" means any4580
property, asset, or improvement certified by the fiscal officer,4581
which certification is conclusive, as having an estimated life or4582
period of usefulness of five years or more, and includes, but is4583
not limited to, real estate, buildings, and personal property and4584
interests in real estate, buildings, and personal property,4585
equipment, furnishings, and site improvements, and reconstruction,4586
rehabilitation, renovation, installation, improvement,4587
enlargement, and extension of property, assets, or improvements so4588
certified as having an estimated life or period of usefulness of4589
five years or more. The acquisition of all the stock ownership of4590
a corporation is the acquisition of a permanent improvement to the4591
extent that the value of that stock is represented by permanent4592
improvements. A permanent improvement for parking, highway, road,4593
and street purposes includes resurfacing, but does not include4594
ordinary repair.4595

       (DD) "Person" has the same meaning as in section 1.59 of the4596
Revised Code and also includes any federal, state, interstate,4597
regional, or local governmental agency, any subdivision, and any4598
combination of those persons.4599

       (EE) "Proceedings" means the legislation, certifications,4600
notices, orders, sale proceedings, trust agreement or indenture,4601
mortgage, lease, lease-purchase agreement, assignment, credit4602
enhancement facility agreements, and other agreements,4603
instruments, and documents, as amended and supplemented, and any4604
election proceedings, authorizing, or providing for the terms and4605
conditions applicable to, or providing for the security or sale or4606
award of, public obligations, and includes the provisions set4607
forth or incorporated in those public obligations and proceedings.4608

       (FF) "Public issuer" means any of the following that is4609
authorized by law to issue securities or enter into public4610
obligations:4611

       (1) The state, including an agency, commission, officer,4612
institution, board, authority, or other instrumentality of the4613
state;4614

       (2) A taxing authority, subdivision, district, or other local 4615
public or governmental entity, and any combination or consortium, 4616
or public division, district, commission, authority, department, 4617
board, officer, or institution, thereof;4618

       (3) Any other body corporate and politic, or other public4619
entity.4620

       (GG) "Public obligations" means both of the following:4621

       (1) Securities;4622

       (2) Obligations of a public issuer to make payments under4623
installment sale, lease, lease purchase, or similar agreements,4624
which obligations bear interest or interest equivalent.4625

       (HH) "Refund" means to fund and retire outstanding4626
securities, including advance refunding with or without payment or4627
redemption prior to maturity.4628

       (II) "Register" means the books kept and maintained by the4629
registrar for registration, exchange, and transfer of registered4630
securities.4631

       (JJ) "Registrar" means the person responsible for keeping the 4632
register for the particular registered securities, designated by 4633
or pursuant to the proceedings.4634

       (KK) "Securities" means bonds, notes, certificates of4635
indebtedness, commercial paper, and other instruments in writing,4636
including, unless the context does not admit, anticipatory4637
securities, issued by an issuer to evidence its obligation to4638
repay money borrowed, or to pay interest, by, or to pay at any4639
future time other money obligations of, the issuer of the4640
securities, but not including public obligations described in4641
division (GG)(2) of this section.4642

       (LL) "Self-supporting securities" means securities or4643
portions of securities issued for the purpose of paying costs of4644
permanent improvements to the extent that receipts of the4645
subdivision, other than the proceeds of taxes levied by that4646
subdivision, derived from or with respect to the improvements or4647
the operation of the improvements being financed, or the4648
enterprise, system, project, or category of improvements of which4649
the improvements being financed are part, are estimated by the4650
fiscal officer to be sufficient to pay the current expenses of4651
that operation or of those improvements or enterprise, system,4652
project, or categories of improvements and the debt charges4653
payable from those receipts on securities issued for the purpose.4654
Until such time as the improvements or increases in rates and4655
charges have been in operation or effect for a period of at least4656
six months, the receipts therefrom, for purposes of this4657
definition, shall be those estimated by the fiscal officer, except4658
that those receipts may include, without limitation, payments made4659
and to be made to the subdivision under leases or agreements in4660
effect at the time the estimate is made. In the case of an4661
operation, improvements, or enterprise, system, project, or4662
category of improvements without at least a six-month history of4663
receipts, the estimate of receipts by the fiscal officer, other4664
than those to be derived under leases and agreements then in4665
effect, shall be confirmed by the taxing authority.4666

       (MM) "Subdivision" means any of the following:4667

       (1) A county, including a county that has adopted a charter4668
under Article X, Ohio Constitution;4669

       (2) A municipal corporation, including a municipal4670
corporation that has adopted a charter under Article XVIII, Ohio4671
Constitution;4672

       (3) A school district;4673

       (4) A regional water and sewer district organized under4674
Chapter 6119. of the Revised Code;4675

       (5) A joint township hospital district organized under4676
section 513.07 of the Revised Code;4677

       (6) A joint ambulance district organized under section 505.71 4678
of the Revised Code;4679

       (7) A joint recreation district organized under division (C)4680
of section 755.14 of the Revised Code;4681

       (8) A detention facility district organized under section4682
2152.41, a district organized under section 2151.65, or a combined4683
district organized under sections 2152.41 and 2151.65 of the4684
Revised Code;4685

       (9) A township police district organized under section 505.48 4686
of the Revised Code;4687

       (10) A township;4688

       (11) A joint fire district organized under section 505.371 of 4689
the Revised Code;4690

       (12) A county library district created under section 3375.194691
or a regional library district created under section 3375.28 of4692
the Revised Code;4693

       (13) A joint solid waste management district organized under4694
section 343.01 or 343.012 of the Revised Code;4695

       (14) A joint emergency medical services district organized4696
under section 307.052 of the Revised Code;4697

       (15) A fire and ambulance district organized under section4698
505.375 of the Revised Code;4699

       (16) A fire district organized under division (C) of section4700
505.37 of the Revised Code;4701

       (17) Any other political subdivision or taxing district or4702
other local public body or agency authorized by this chapter or4703
other laws to issue Chapter 133. securities.4704

       (NN) "Taxing authority" means in the case of the following4705
subdivisions:4706

       (1) A county, a county library district, or a regional4707
library district, the board or boards of county commissioners, or4708
other legislative authority of a county that has adopted a charter4709
under Article X, Ohio Constitution, but with respect to such a4710
library district acting solely as agent for the board of trustees4711
of that district;4712

       (2) A municipal corporation, the legislative authority;4713

       (3) A school district, the board of education;4714

       (4) A regional water and sewer district, a joint ambulance4715
district, a joint recreation district, a fire and ambulance4716
district, or a joint fire district, the board of trustees of the4717
district;4718

       (5) A joint township hospital district, the joint township4719
hospital board;4720

       (6) A detention facility district or a district organized4721
under section 2151.65 of the Revised Code, a combined district4722
organized under sections 2152.41 and 2151.65 of the Revised Code,4723
or a joint emergency medical services district, the joint board of4724
county commissioners;4725

       (7) A township, a fire district organized under division (C)4726
of section 505.37 of the Revised Code, or a township police4727
district, the board of township trustees;4728

       (8) A joint solid waste management district organized under4729
section 343.01 or 343.012 of the Revised Code, the board of4730
directors of the district;4731

       (9) A subdivision described in division (MM)(17) of this4732
section, the legislative or governing body or official.4733

       (OO) "Tax limitation" means the "ten-mill limitation" as4734
defined in section 5705.02 of the Revised Code without diminution4735
by reason of section 5705.313 of the Revised Code or otherwise,4736
or, in the case of a municipal corporation or county with a4737
different charter limitation on property taxes levied to pay debt4738
charges on unvoted securities, that charter limitation. Those4739
limitations shall be respectively referred to as the "ten-mill4740
limitation" and the "charter tax limitation."4741

       (PP) "Tax valuation" means the aggregate of the valuations of 4742
property subject to ad valorem property taxation by the4743
subdivision on the real property, personal property, and public4744
utility property tax lists and duplicates most recently certified4745
for collection, and shall be calculated without deductions of the4746
valuations of otherwise taxable property exempt in whole or in4747
part from taxation by reason of exemptions of certain amounts of4748
taxable value under division (C) of section 5709.01 or, tax 4749
reductions under section 323.152 of the Revised Code, or similar 4750
laws now or in the future in effect.4751

       For purposes of section 133.06 of the Revised Code, "tax 4752
valuation" shall not include the valuation of tangible personal 4753
property used in business, telephone or telegraph property, 4754
interexchange telecommunications company property, or personal 4755
property owned or leased by a railroad company and used in 4756
railroad operations listed under or described in section 5711.22, 4757
division (B) or (F) of section 5727.111, or section 5727.12 of the 4758
Revised Code.4759

       (QQ) "Year" means the calendar year.4760

       (RR) "Administrative agent," "agent," "commercial paper,"4761
"floating rate interest structure," "indexing agent," "interest 4762
rate hedge," "interest rate period," "put arrangement," and 4763
"remarketing agent" have the same meanings as in section 9.98 of 4764
the Revised Code.4765

       (SS) "Sales tax supported" means obligations to the payment4766
of debt charges on which an additional sales tax or additional4767
sales taxes have been pledged by the taxing authority of a county4768
pursuant to section 133.081 of the Revised Code.4769

       Sec. 133.10.  (A) In anticipation of the collection of4770
current property tax revenues in and for any fiscal year, the4771
taxing authority of any subdivision may issue securities, but the4772
aggregate principal amount of such securities shall not exceed4773
one-half of the amount that the budget commission estimates the4774
subdivision will receive from property taxes in that fiscal year4775
and prior to the last day of the sixth month following the month4776
in which the securities are issued, other than taxes to be4777
received for the payment of debt charges or allocated to debt4778
charges on securities issued pursuant to division (C) of this4779
section, and less all advances. When a partial, semiannual, or4780
final property tax settlement is delayed, securities may also be4781
issued in anticipation of the receipt of property taxes levied or4782
collected for debt charges to the extent necessary to meet such4783
debt charges but not in excess of such estimated receipts, less4784
all advances. The securities issued pursuant to this division (A) 4785
shall mature not later than the last day of the sixth month4786
following the month in which the securities are issued and in any4787
case not later than the last day of the fiscal year in which they4788
are issued.4789

       (B) In anticipation of the collection of current revenues in 4790
and for any fiscal year from any source or combination of sources, 4791
including distributions of any federal or state moneys, other than 4792
the proceeds of property taxes levied by the subdivision, the 4793
taxing authority of any subdivision may issue securities, but the 4794
aggregate principal amount of such securities shall not exceed 4795
one-half of the amount estimated by the fiscal officer to be 4796
received by the subdivision from such sources during the remainder 4797
of such fiscal year, less advances and prior collections.4798

       (C) In anticipation of the collection of current property tax 4799
revenues in and for any fiscal year, the taxing authority of a 4800
county, municipal corporation, township, or school district may4801
issue securities, but the aggregate principal amount of those4802
securities and of any securities issued pursuant to division (A)4803
of this section outstanding at the time of issuance shall not4804
exceed one-half of the amount that the budget commission estimates 4805
the subdivision will receive from all property taxes that are to 4806
be distributed to the subdivision from all settlements of taxes 4807
that are to be made in the remainder of that fiscal year, other 4808
than taxes to be received for the payment of debt charges, and 4809
less all advances.4810

       (D) When the tax settlement scheduled under division (B) of 4811
section 321.24 of the Revised Code is delayed pursuant to division 4812
(E) of that section, the taxing authority of a school district may 4813
issue property tax anticipation securities against the taxes to be 4814
included in that settlement, but the aggregate principal amount of 4815
all securities outstanding against those taxes shall not exceed 4816
ninety per cent of the amount estimated to be received from that 4817
settlement by the budget commission, other than taxes to be 4818
received for the payment of debt charges, and less all advances. 4819
The securities issued pursuant to this division (D) shall mature 4820
on or before the next ensuing thirty-first day of August.4821

       (E) This division applies to all securities authorized by4822
this section.4823

       (1) The amounts from the sources anticipated needed to pay4824
debt charges and financing costs shall be considered appropriated4825
for that purpose, and other appropriations from those sources by4826
the taxing authority shall be limited to the balance available4827
after deducting the amount to pay those debt charges and financing 4828
costs. The portions of those amounts as received and to be applied 4829
to those debt charges shall be deposited and set aside in an 4830
account for the purpose in the bond retirement fund in the amounts 4831
and at the times required to pay those debt charges as provided 4832
for by the authorizing legislation or otherwise provided by law.4833

       (2) Except as otherwise provided in division (H) of this 4834
section, the securities shall not be issued prior to the first day 4835
and, except as otherwise provided in divisions (A) and (D) of this 4836
section, shall mature not later than the last day of the fiscal 4837
year for which the revenues are anticipated.4838

       (3) The proceeds of the principal amount of the securities4839
shall be used only for the purposes for which the amounts4840
anticipated were levied, collected, distributed, and appropriated, 4841
and for financing costs related to those securities.4842

       (4) Property taxes include distributions from the state in4843
payment of credits against or partial exemptions from, or4844
reduction of, property taxes.4845

       (5) If for any reason debt charges on securities authorized 4846
by this section are not paid by the subdivision in the fiscal year 4847
when due, the taxing authority of the subdivision shall include in 4848
its next annual appropriation measure an amount sufficient to pay 4849
those debt charges, and the county auditor and county treasurer 4850
shall withhold, in a custodial account, amounts due the 4851
subdivision from the sources anticipated until such amount is 4852
accumulated by those officers and they directly pay or provide, 4853
through the paying agent or otherwise, for the payment of those 4854
debt charges.4855

       (F) The authority to issue securities under divisions (A) and 4856
(B) of this section may be exercised by any board of library4857
trustees of a public library, or board of park commissioners of a4858
township, to which the budget commission has allotted a share of4859
the local governmentcommunities fund under section 5747.51 of the 4860
Revised Code or of the library and local government support4861
libraries fund under section 5707.051 of the Revised Code.4862

       (G) The taxing authority of a school district issuing4863
securities under division (A), (C), or (D) of this section shall4864
in the legislation authorizing the securities affirm the levy of,4865
or covenant to levy, the anticipated property taxes to be4866
collected in the following year.4867

       (H) The taxing authority of a school district may issue4868
securities authorized by this section on or after the tenth day 4869
preceding the first day of the fiscal year for which the revenues 4870
are anticipated; provided, that if the taxing authority of a 4871
school district issues securities authorized by this section prior 4872
to the first day of the fiscal year for which the revenues are 4873
anticipated:4874

       (1) None of the proceeds received by the school district from 4875
the sale of the securities shall be considered available for 4876
appropriation prior to the first day of the fiscal year for which 4877
the revenues are anticipated; and4878

       (2) None of the proceeds received by the school district from 4879
the sale of the securities shall be expended prior to the first 4880
day of the fiscal year for which the revenues are anticipated.4881

       Sec. 133.25.  (A) After the issuance of general obligation4882
securities or of securities to which section 133.24 of the Revised 4883
Code applies, the taxing authority of the subdivision shall 4884
include in its annual tax budget, and levy a property tax in a 4885
sufficient amount, with any other moneys available for the4886
purpose, to pay the debt charges on the securities payable from4887
property taxes. The necessary property tax rate shall be included 4888
in the fiscal year tax budget that is certified by the subdivision 4889
to the county budget commission, and, if within the ten-mill 4890
limitation, shall be without diminution by reason of section 4891
5705.313 of the Revised Code or any similar provisions.4892

       (B) If the taxing authority determines it to be necessary or 4893
appropriate, and if not prohibited by other law, legislation4894
relating to Chapter 133. securities may, or that legislation may4895
provide for proceedings that may, contain or provide for any one4896
or more or combination of the following:4897

       (1) The pledge to the payment of debt charges of, and related 4898
covenants to levy, charge, collect, deposit, and apply, receipts 4899
of the subdivision lawfully available for the purpose, referred to 4900
in this division (B) as pledged receipts, including, without 4901
limitation, ad valorem property taxes as permitted by law, income 4902
taxes, excises, utility and service revenues, local government4903
communities fund, school foundation, and moneys described in4904
Section 5a of Article XII, Ohio Constitution, and any other4905
receipts from taxes, excises, permits, licenses, fines, or other4906
sources of revenue of or of revenue distributions to the4907
subdivision, and covenants for the establishment, investment,4908
segregation, and maintenance of any funds or reserves in4909
connection with the securities. No pledge or covenant may be made 4910
that impairs the express contract rights of the holders of4911
outstanding securities of the subdivision.4912

       (2) Designation of a bank or trust company authorized to4913
exercise corporate trust powers in this state as a fiscal agent4914
for the securities, which fiscal agent may be a purchaser of any4915
securities and fiscal agent for any other securities of the4916
subdivision, and provision for the periodic deposit of pledged4917
receipts in one or more separate bank accounts, funds, or other4918
accounts established with the fiscal agent, including provision4919
for pledged receipts collected or paid by the state or another4920
subdivision to be transferred, by the appropriate officer of the4921
state or other subdivision having charge of the distribution of4922
the pledged receipts to the subdivision, directly to the fiscal4923
agent for such deposit, which officers shall transfer such pledged 4924
receipts in accordance with this division and the legislation. The 4925
fiscal agent shall disburse moneys so held in accordance with the 4926
legislation, including the transfer of moneys to paying agents or 4927
to persons providing credit enhancement facilities at the times 4928
and in the amounts required. Until needed for that purpose, and 4929
subject to any limitations in the legislation, the fiscal agent 4930
shall either deposit such moneys on behalf of the subdivision in 4931
an institution that is eligible to become a public depository 4932
pursuant to section 135.03 of the Revised Code or invest the 4933
moneys on behalf of the subdivision in obligations that are under 4934
applicable law lawful for the investment of the particular moneys. 4935
Divisions (D), (E), and (G) of section 135.04 and sections 135.08 4936
and 135.09 of the Revised Code do not apply to any such deposits 4937
or investments. Amounts so held and received by a fiscal agent 4938
shall be accounted for in the appropriate special funds of the 4939
subdivision as if held in the treasury of the subdivision, and the 4940
fiscal agent shall provide such information to the subdivision and 4941
to the auditor of state as is necessary for the purpose.4942

       (3) Covenants of the subdivision and other provisions to4943
protect and safeguard the security and rights of the holders of4944
the securities and of the providers of any credit enhancement4945
facilities and provisions for defeasance, including, without4946
limiting the generality of the foregoing, such covenants and4947
provisions as to:4948

       (a) Establishment and maintenance of the funds to be held by 4949
a fiscal agent as provided in this division, the times, amounts, 4950
and levels for deposit to such funds, and the obligations in which 4951
the proceeds of such funds may be invested pending their use, 4952
subject to limitations on investment of public funds otherwise 4953
provided for by law or charter or by the legislation;4954

       (b) The appointment, rights, powers, and duties of the fiscal 4955
agent, and vesting in the fiscal agent all or any of those rights, 4956
powers, and duties in trust;4957

       (c) Compliance with the provisions of this chapter and other 4958
laws applicable to the payment of debt charges on securities of 4959
the subdivision, including Chapter 5705. of the Revised Code;4960

       (d) Conditions that would give rise to an event of default4961
under the terms of the legislation, and actions and remedies that4962
any fiscal agent may take or assert on behalf of the holders of4963
the securities.4964

       (4) As rights and remedies of the holders of securities, in 4965
addition to any other rights and remedies under law, but subject 4966
to the terms of the legislation and of any credit enhancement 4967
facility, provision that if the subdivision defaults in the 4968
payment of debt charges on the securities and such default4969
continues for a period of thirty days, or if the subdivision fails 4970
or refuses to comply with the requirements of this chapter or the 4971
applicable proceedings, or defaults in any contract made with the 4972
holders of those securities, the holders of not less than 4973
twenty-five per cent in principal amount of the outstanding4974
securities of that issue may appoint a trustee, who may be the4975
fiscal agent, to represent those holders for the purposes provided 4976
in this division (B)(4). That trustee may, and upon written 4977
request of the holders of not less than twenty-five per cent in 4978
principal amount of those securities then outstanding shall, in 4979
its own name exercise all or any of the powers of such holders 4980
under division (B)(3) of this section and in addition may:4981

       (a) Bring action for payment of any debt charges then due on 4982
the securities;4983

       (b) By mandamus or other action or proceeding enforce all4984
rights of the holders of the securities, including any right to4985
require the subdivision to assess, levy, charge, collect, and4986
apply pledged receipts adequate to carry out the provisions of the 4987
legislation and any agreement with those holders and to perform 4988
its duties under the legislation and this chapter;4989

       (c) Bring action upon the securities;4990

       (d) By action, require the subdivision to account as if it4991
were the trustee of an express trust for the holders of the4992
securities;4993

       (e) By action, enjoin any acts or things that may be unlawful 4994
or in violation of the rights of the holders of those securities;4995

       (f) Except in the case of securities payable from a property 4996
tax, declare all securities of the issue due and payable, and if 4997
all defaults are subsequently corrected, then, with the consent of 4998
the holders of not less than ten per cent in principal amount of 4999
those securities then outstanding, rescind and annul that 5000
declaration and its consequences.5001

       In addition to the foregoing, the trustee shall have all of5002
the powers necessary or appropriate for the exercise of any5003
functions specifically set forth in this section or the5004
legislation or incident to the general representation of the5005
holders of those securities in the enforcement and protection of5006
their rights.5007

       (5) Contracts or other arrangements for credit enhancement5008
facilities, which may be with a fiscal agent. The costs of or5009
under credit enhancement facilities may be paid from any moneys of 5010
the subdivision lawfully available for the purpose. The credit 5011
enhancement facility may be for the benefit of holders of the 5012
particular securities and of any other securities of the5013
subdivision. Any such benefit conferred with respect to other5014
securities shall not be deemed to restrict, preclude, or otherwise 5015
impair any rights that those holders otherwise may assert.5016

       (C) Unless otherwise provided in the proceedings, the holders 5017
of not less than ten per cent in principal amount of the5018
particular securities at the time outstanding, whether or not then 5019
due and payable or reduced to judgment and either on their own 5020
behalf or on behalf of all persons similarly situated, may:5021

       (1) By mandamus, mandatory or other injunction, or any other 5022
order, writ, process, or decree, or by any other action or5023
proceeding, enforce all contractual or other rights of such5024
holders, including any right to require the subdivision to assess, 5025
levy, charge, collect, and apply the pledged receipts pledged to 5026
carry out the provisions of any agreement with such holders and 5027
perform its duties under the legislation and this chapter;5028

       (2) In the case of default in payment of debt charges on5029
their securities, commence an action upon their securities to5030
require the subdivision to account as if it were the trustee of an 5031
express trust for those holders or to enjoin any acts or things 5032
that may be unlawful or in violation of the rights of those 5033
holders.5034

       (D) The state pledges to and agrees with the holders of5035
Chapter 133. securities that the state will not, by enacting any5036
law or adopting any rule, repeal, revoke, repudiate, limit, alter, 5037
stay, suspend, or otherwise reduce, rescind, or impair the power 5038
or duty of a subdivision to exercise, perform, carry out, and 5039
fulfill its responsibilities or covenants under this chapter or 5040
legislation or agreements as to its Chapter 133. securities,5041
including a credit enhancement facility, passed or entered into5042
pursuant to this chapter, or repeal, revoke, repudiate, limit,5043
alter, stay, suspend, or otherwise reduce, rescind, or impair the5044
rights and remedies of any such holders fully to enforce such5045
responsibilities, covenants, and agreements or to enforce the5046
pledge and agreement of the state contained in this division, or5047
otherwise exercise any sovereign power materially impairing or5048
materially inconsistent with the provisions of such legislation,5049
covenants, and agreements. The general assembly determines and5050
declares that the provisions of this chapter and the powers and5051
duties of subdivisions authorized and imposed under this chapter5052
are proper, reasonable, and appropriate means by which the state5053
can and should exercise and has exercised its duties and powers5054
under the Ohio Constitution, and that those provisions are5055
necessary and in the public interest and a proper means to better5056
provide for the security for, and market reception for the5057
purchase of, those securities. This pledge and agreement shall be 5058
of no force and effect as to securities that are not outstanding. 5059
This pledge and agreement by the state may be temporarily 5060
suspended upon the declaration of martial law in the subdivision 5061
in the event of circumstances deriving directly out of a natural 5062
disaster, such as an earthquake or major conflagration or flood 5063
but not a snowstorm or civil disturbance, or out of military 5064
invasions or civil insurrections, but not strikes or crises 5065
created by financial or economic events. Payment for securities by 5066
the original and subsequent holders shall be deemed conclusive 5067
evidence of valuable consideration received by the state and 5068
subdivision for this pledge and agreement, and any action by the 5069
state contrary to or inconsistent with this division is void as 5070
applied to those securities. The state hereby grants any such 5071
benefited holder the right to sue the state and enforce this 5072
pledge and agreement, and waives all rights of defense based on 5073
sovereign immunity or sovereign power in such an action or suit, 5074
it being expressly determined and declared that the continued 5075
integrity of the contract of any such holder is essential to the 5076
continued right of the subdivision to issue and pay debt charges 5077
on securities as a subdivision of the state. Nothing in this 5078
division requires the state to continue any particular level of 5079
appropriations of moneys, or precludes the state from authorizing 5080
the subdivision to exercise, or the subdivision from exercising, 5081
subject to approval of the tax commissioner, any power provided by 5082
law to seek application of laws then in effect under the 5083
bankruptcy provisions of the United States Constitution but in any 5084
case providing for debt charges as provided in section 133.36 of 5085
the Revised Code, or to preclude the state from further exercise 5086
of any of its powers and responsibilities under the Ohio5087
Constitution.5088

       (E) Moneys and investments held by the subdivision or a5089
paying agent or a fiscal agent, and all receipts of the5090
subdivision, needed and allocated to payment of debt charges or5091
payments by the subdivision under credit enhancement facilities,5092
are property of the subdivision devoted to essential governmental5093
purposes and accordingly shall not be applied to any purpose other 5094
than as provided in this chapter and in the legislation, and shall 5095
not be subject to any order, judgment, lien, execution,5096
attachment, setoff, or counterclaim by any creditor or judgment5097
creditor, as a result of a tort judgment or otherwise, of the5098
subdivision other than the holders of the securities or the5099
provider of the credit enhancement facility who are entitled5100
thereto pursuant to this chapter and the legislation.5101

       Sec. 135.35.  (A) The investing authority shall deposit or5102
invest any part or all of the county's inactive moneys and shall5103
invest all of the money in the county library and local government 5104
supportlibraries fund when required by section 135.352 of the5105
Revised Code. The following classifications of securities and5106
obligations are eligible for such deposit or investment:5107

       (1) United States treasury bills, notes, bonds, or any other 5108
obligation or security issued by the United States treasury, any 5109
other obligation guaranteed as to principal or interest by the 5110
United States, or any book entry, zero-coupon United States 5111
treasury security that is a direct obligation of the United 5112
States.5113

       Nothing in the classification of eligible securities and 5114
obligations set forth in divisions (A)(2) to (11) of this section 5115
shall be construed to authorize any investment in stripped 5116
principal or interest obligations of such eligible securities and 5117
obligations.5118

       (2) Bonds, notes, debentures, or any other obligations or5119
securities issued by any federal government agency or5120
instrumentality, including but not limited to, the federal5121
national mortgage association, federal home loan bank, federal 5122
farm credit bank, federal home loan mortgage corporation, 5123
government national mortgage association, and student loan 5124
marketing association. All federal agency securities shall be 5125
direct issuances of federal government agencies or5126
instrumentalities.5127

       (3) Time certificates of deposit or savings or deposit5128
accounts, including, but not limited to, passbook accounts, in any 5129
eligible institution mentioned in section 135.32 of the Revised 5130
Code;5131

       (4) Bonds and other obligations of this state or the 5132
political subdivisions of this state, provided that such political 5133
subdivisions are located wholly or partly within the same county 5134
as the investing authority;5135

       (5) No-load money market mutual funds consisting exclusively 5136
of obligations described in division (A)(1) or (2) of this section 5137
and repurchase agreements secured by such obligations, provided 5138
that investments in securities described in this division are made 5139
only through eligible institutions mentioned in section 135.32 of 5140
the Revised Code;5141

       (6) The Ohio subdivision's fund as provided in section 135.45 5142
of the Revised Code;5143

       (7) Securities lending agreements with any eligible 5144
institution mentioned in section 135.32 of the Revised Code that 5145
is a member of the federal reserve system or federal home loan 5146
bank or with any recognized United States government securities 5147
dealer meeting the description in division (J)(1) of this section, 5148
under the terms of which agreements the investing authority lends 5149
securities and the eligible institution or dealer agrees to 5150
simultaneously exchange similar securities or cash, equal value 5151
for equal value.5152

       Securities and cash received as collateral for a securities 5153
lending agreement are not inactive moneys of the county or moneys 5154
of a county library and local government supportlibraries fund. 5155
The investment of cash collateral received pursuant to a 5156
securities lending agreement may be invested only in instruments 5157
specified by the investing authority in the written investment 5158
policy described in division (K) of this section.5159

       (8) Up to twenty-five per cent of the county's total average 5160
portfolio in either of the following investments:5161

       (a) Commercial paper notes issued by an entity that is5162
defined in division (D) of section 1705.01 of the Revised Code and 5163
that has assets exceeding five hundred million dollars, to which 5164
notes all of the following apply:5165

       (i) The notes are rated at the time of purchase in the 5166
highest classification established by at least two nationally 5167
recognized standard rating services.5168

       (ii) The aggregate value of the notes does not exceed ten per5169
cent of the aggregate value of the outstanding commercial paper of 5170
the issuing corporation.5171

       (iii) The notes mature not later than two hundred seventy 5172
days after purchase.5173

       (b) Bankers acceptances of banks that are insured by the 5174
federal deposit insurance corporation and to which both of the 5175
following apply:5176

       (i) The obligations are eligible for purchase by the federal5177
reserve system.5178

       (ii) The obligations mature not later than one hundred eighty5179
days after purchase.5180

       No investment shall be made pursuant to division (A)(8) of 5181
this section unless the investing authority has completed 5182
additional training for making the investments authorized by 5183
division (A)(8) of this section. The type and amount of additional 5184
training shall be approved by the auditor of state and may be 5185
conducted by or provided under the supervision of the auditor of 5186
state.5187

       (9) Up to fifteen per cent of the county's total average5188
portfolio in notes issued by corporations that are incorporated5189
under the laws of the United States and that are operating within5190
the United States, or by depository institutions that are doing5191
business under authority granted by the United States or any state5192
and that are operating within the United States, provided both of5193
the following apply:5194

        (a) The notes are rated in the second highest or higher 5195
category by at least two nationally recognized standard rating 5196
services at the time of purchase.5197

        (b) The notes mature not later than two years after purchase.5198

        (10) No-load money market mutual funds rated in the highest 5199
category at the time of purchase by at least one nationally 5200
recognized standard rating service and consisting exclusively of 5201
obligations described in division (A)(1), (2), or (6) of section5202
135.143 of the Revised Code;5203

        (11) Debt interests rated at the time of purchase in the 5204
three highest categories by two nationally recognized standard 5205
rating services and issued by foreign nations diplomatically 5206
recognized by the United States government. All interest and 5207
principal shall be denominated and payable in United States funds. 5208
The investments made under division (A)(11) of this section shall 5209
not exceed in the aggregate one per cent of a county's total 5210
average portfolio.5211

       The investing authority shall invest under division (A)(11)5212
of this section in a debt interest issued by a foreign nation only5213
if the debt interest is backed by the full faith and credit of5214
that foreign nation, there is no prior history of default, and the5215
debt interest matures not later than five years after purchase. 5216
For purposes of division (A)(11) of this section, a debt interest 5217
is rated in the three highest categories by two nationally 5218
recognized standard rating services if either the debt interest 5219
itself or the issuer of the debt interest is rated, or is 5220
implicitly rated, at the time of purchase in the three highest 5221
categories by two nationally recognized standard rating services.5222

       (B) Nothing in the classifications of eligible obligations 5223
and securities set forth in divisions (A)(1) to (11) of this 5224
section shall be construed to authorize investment in a 5225
derivative, and no investing authority shall invest any county 5226
inactive moneys or any moneys in a county library and local 5227
government supportlibraries fund in a derivative. For purposes of 5228
this division, "derivative" means a financial instrument or5229
contract or obligation whose value or return is based upon or 5230
linked to another asset or index, or both, separate from the 5231
financial instrument, contract, or obligation itself. Any 5232
security, obligation, trust account, or other instrument that is 5233
created from an issue of the United States treasury or is created 5234
from an obligation of a federal agency or instrumentality or is 5235
created from both is considered a derivative instrument. An 5236
eligible investment described in this section with a variable5237
interest rate payment, based upon a single interest payment or 5238
single index comprised of other eligible investments provided for 5239
in division (A)(1) or (2) of this section, is not a derivative, 5240
provided that such variable rate investment has a maximum maturity 5241
of two years. A treasury inflation-protected security shall not be 5242
considered a derivative, provided the security matures not later 5243
than five years after purchase.5244

       (C) Except as provided in division (D) of this section, any 5245
investment made pursuant to this section must mature within five5246
years from the date of settlement, unless the investment is 5247
matched to a specific obligation or debt of the county or to a 5248
specific obligation or debt of a political subdivision of this 5249
state located wholly or partly within the county, and the 5250
investment is specifically approved by the investment advisory5251
committee.5252

       (D) The investing authority may also enter into a written5253
repurchase agreement with any eligible institution mentioned in 5254
section 135.32 of the Revised Code or any eligible securities5255
dealer pursuant to division (J) of this section, under the terms 5256
of which agreement the investing authority purchases and the 5257
eligible institution or dealer agrees unconditionally to 5258
repurchase any of the securities listed in divisions (B)(1) to 5259
(5), except letters of credit described in division (B)(2), of5260
section 135.18 of the Revised Code. The market value of securities 5261
subject to an overnight written repurchase agreement must exceed 5262
the principal value of the overnight written repurchase agreement 5263
by at least two per cent. A written repurchase agreement must 5264
exceed the principal value of the overnight written repurchase 5265
agreement, by at least two per cent. A written repurchase5266
agreement shall not exceed thirty days, and the market value of 5267
securities subject to a written repurchase agreement must exceed 5268
the principal value of the written repurchase agreement by at5269
least two per cent and be marked to market daily. All securities 5270
purchased pursuant to this division shall be delivered into the5271
custody of the investing authority or the qualified custodian of 5272
the investing authority or an agent designated by the investing 5273
authority. A written repurchase agreement with an eligible 5274
securities dealer shall be transacted on a delivery versus payment 5275
basis. The agreement shall contain the requirement that for each 5276
transaction pursuant to the agreement the participating 5277
institution shall provide all of the following information:5278

       (1) The par value of the securities;5279

       (2) The type, rate, and maturity date of the securities;5280

       (3) A numerical identifier generally accepted in the5281
securities industry that designates the securities.5282

       No investing authority shall enter into a written repurchase5283
agreement under the terms of which the investing authority agrees 5284
to sell securities owned by the county to a purchaser and agrees 5285
with that purchaser to unconditionally repurchase those 5286
securities.5287

       (E) No investing authority shall make an investment under 5288
this section, unless the investing authority, at the time of 5289
making the investment, reasonably expects that the investment can5290
be held until its maturity. The investing authority's written 5291
investment policy shall specify the conditions under which an 5292
investment may be redeemed or sold prior to maturity.5293

       (F) No investing authority shall pay a county's inactive 5294
moneys or moneys of a county library and local government support5295
libraries fund into a fund established by another subdivision, 5296
treasurer, governing board, or investing authority, if that fund 5297
was established by the subdivision, treasurer, governing board, or 5298
investing authority for the purpose of investing or depositing the 5299
public moneys of other subdivisions. This division does not apply 5300
to the payment of public moneys into either of the following:5301

       (1) The Ohio subdivision's fund pursuant to division (A)(6) 5302
of this section;5303

       (2) A fund created solely for the purpose of acquiring, 5304
constructing, owning, leasing, or operating municipal utilities 5305
pursuant to the authority provided under section 715.02 of the 5306
Revised Code or Section 4 of Article XVIII, Ohio Constitution.5307

       For purposes of division (F) of this section, "subdivision" 5308
includes a county.5309

       (G) The use of leverage, in which the county uses its current5310
investment assets as collateral for the purpose of purchasing 5311
other assets, is prohibited. The issuance of taxable notes for the 5312
purpose of arbitrage is prohibited. Contracting to sell securities 5313
not owned by the county, for the purpose of purchasing such 5314
securities on the speculation that bond prices will decline, is 5315
prohibited.5316

       (H) Any securities, certificates of deposit, deposit5317
accounts, or any other documents evidencing deposits or5318
investments made under authority of this section shall be issued5319
in the name of the county with the county treasurer or investing5320
authority as the designated payee. If any such deposits or5321
investments are registrable either as to principal or interest, or 5322
both, they shall be registered in the name of the treasurer.5323

       (I) The investing authority shall be responsible for the5324
safekeeping of all documents evidencing a deposit or investment5325
acquired under this section, including, but not limited to,5326
safekeeping receipts evidencing securities deposited with a5327
qualified trustee, as provided in section 135.37 of the Revised5328
Code, and documents confirming the purchase of securities under5329
any repurchase agreement under this section shall be deposited5330
with a qualified trustee, provided, however, that the qualified5331
trustee shall be required to report to the investing authority,5332
auditor of state, or an authorized outside auditor at any time5333
upon request as to the identity, market value, and location of the 5334
document evidencing each security, and that if the participating 5335
institution is a designated depository of the county for the 5336
current period of designation, the securities that are the subject 5337
of the repurchase agreement may be delivered to the treasurer or 5338
held in trust by the participating institution on behalf of the 5339
investing authority.5340

       Upon the expiration of the term of office of an investing5341
authority or in the event of a vacancy in the office for any5342
reason, the officer or the officer's legal representative shall 5343
transfer and deliver to the officer's successor all documents5344
mentioned in this division for which the officer has been5345
responsible for safekeeping. For all such documents transferred 5346
and delivered, the officer shall be credited with, and the 5347
officer's successor shall be charged with, the amount of moneys 5348
evidenced by such documents.5349

       (J)(1) All investments, except for investments in securities5350
described in divisions (A)(5) and (6) of this section, shall be 5351
made only through a member of the national association of 5352
securities dealers, through a bank, savings bank, or savings and 5353
loan association regulated by the superintendent of financial 5354
institutions, or through an institution regulated by the 5355
comptroller of the currency, federal deposit insurance 5356
corporation, or board of governors of the federal reserve system.5357

       (2) Payment for investments shall be made only upon the 5358
delivery of securities representing such investments to the 5359
treasurer, investing authority, or qualified trustee. If the 5360
securities transferred are not represented by a certificate, 5361
payment shall be made only upon receipt of confirmation of 5362
transfer from the custodian by the treasurer, governing board, or 5363
qualified trustee.5364

       (K)(1) Except as otherwise provided in division (K)(2) of5365
this section, no investing authority shall make an investment or 5366
deposit under this section, unless there is on file with the 5367
auditor of state a written investment policy approved by the 5368
investing authority. The policy shall require that all entities 5369
conducting investment business with the investing authority shall 5370
sign the investment policy of that investing authority. All5371
brokers, dealers, and financial institutions, described in 5372
division (J)(1) of this section, initiating transactions with the 5373
investing authority by giving advice or making investment 5374
recommendations shall sign the investing authority's investment 5375
policy thereby acknowledging their agreement to abide by the5376
policy's contents. All brokers, dealers, and financial 5377
institutions, described in division (J)(1) of this section, 5378
executing transactions initiated by the investing authority, 5379
having read the policy's contents, shall sign the investment 5380
policy thereby acknowledging their comprehension and receipt.5381

       (2) If a written investment policy described in division 5382
(K)(1) of this section is not filed on behalf of the county with 5383
the auditor of state, the investing authority of that county shall 5384
invest the county's inactive moneys and moneys of the county 5385
library and local government supportlibraries fund only in time 5386
certificates of deposits or savings or deposit accounts pursuant 5387
to division (A)(3) of this section, no-load money market mutual 5388
funds pursuant to division (A)(5) of this section, or the Ohio 5389
subdivision's fund pursuant to division (A)(6) of this section.5390

       (L)(1) The investing authority shall establish and maintain 5391
an inventory of all obligations and securities acquired by the 5392
investing authority pursuant to this section. The inventory shall5393
include a description of each obligation or security, including 5394
type, cost, par value, maturity date, settlement date, and any 5395
coupon rate.5396

       (2) The investing authority shall also keep a complete record 5397
of all purchases and sales of the obligations and securities made 5398
pursuant to this section.5399

       (3) The investing authority shall maintain a monthly 5400
portfolio report and issue a copy of the monthly portfolio report 5401
describing such investments to the county investment advisory 5402
committee, detailing the current inventory of all obligations and 5403
securities, all transactions during the month that affected the 5404
inventory, any income received from the obligations and 5405
securities, and any investment expenses paid, and stating the 5406
names of any persons effecting transactions on behalf of the 5407
investing authority.5408

       (4) The monthly portfolio report shall be a public record and 5409
available for inspection under section 149.43 of the Revised Code.5410

       (5) The inventory and the monthly portfolio report shall be 5411
filed with the board of county commissioners.5412

       (M) An investing authority may enter into a written 5413
investment or deposit agreement that includes a provision under 5414
which the parties agree to submit to nonbinding arbitration to 5415
settle any controversy that may arise out of the agreement, 5416
including any controversy pertaining to losses of public moneys 5417
resulting from investment or deposit. The arbitration provision 5418
shall be set forth entirely in the agreement, and the agreement 5419
shall include a conspicuous notice to the parties that any party 5420
to the arbitration may apply to the court of common pleas of the 5421
county in which the arbitration was held for an order to vacate,5422
modify, or correct the award. Any such party may also apply to the 5423
court for an order to change venue to a court of common pleas 5424
located more than one hundred miles from the county in which the 5425
investing authority is located.5426

       For purposes of this division, "investment or deposit 5427
agreement" means any agreement between an investing authority and 5428
a person, under which agreement the person agrees to invest, 5429
deposit, or otherwise manage, on behalf of the investing 5430
authority, a county's inactive moneys or moneys in a county 5431
library and local government supportlibraries fund, or agrees to 5432
provide investment advice to the investing authority.5433

       (N) An investment held in the county portfolio on September5434
27, 1996, that was a legal investment under the law as it existed5435
before September 27, 1996, may be held until maturity, or if the 5436
investment does not have a maturity date the investment may be 5437
held until five years from September 27, 1996, regardless of 5438
whether the investment would qualify as a legal investment under 5439
the terms of this section as amended.5440

       Sec. 135.352.  The investment authority shall invest all 5441
moneys in the county library and local government support5442
libraries fund that are not distributed due to an appeal of the 5443
budget commission's allocation of such fund. Interest earned on5444
such investments shall be credited to the fund and distributed in 5445
accordance with section 5747.48 of the Revised Code.5446

       Sec. 151.08.  This section applies to obligations as defined 5447
in this section.5448

       (A) As used in this section:5449

       (1) "Capital facilities" or "capital improvement projects" 5450
means the acquisition, construction, reconstruction, improvement, 5451
planning, and equipping of roads and bridges, waste water 5452
treatment systems, water supply systems, solid waste disposal 5453
facilities, flood control systems, and storm water and sanitary 5454
collection, storage, and treatment facilities, including real5455
property, interests in real property, facilities, and equipment 5456
related or incidental to those facilities.5457

       (2) "Costs of capital facilities" include related direct 5458
administrative expenses and allocable portions of direct costs of 5459
the Ohio public works commission and the local subdivision.5460

       (3) "Local subdivision" means any county, municipal 5461
corporation, township, sanitary district, or regional water and 5462
sewer district.5463

       (4) "Obligations" means obligations as defined in section 5464
151.01 of the Revised Code issued to pay costs of capital 5465
facilities.5466

       (B)(1) The issuing authority shall issue obligations to pay 5467
costs of financing or assisting in the financing of the capital5468
improvement projects of local subdivisions pursuant to Section 2m 5469
of Article VIII, Ohio Constitution, section 151.01 of the Revised 5470
Code, and this section. Not more than one hundred twenty million 5471
dollars principal amount of obligations, plus the principal amount 5472
of obligations that in any prior fiscal years could have been, but 5473
were not, issued within that one-hundred-twenty-million dollar5474
fiscal year limit, may be issued in any fiscal year. Not more than 5475
one billion two hundred million dollars principal amount of 5476
obligations pursuant to Section 2m of Article VIII, Ohio 5477
Constitution may be issued for the purposes of this section and 5478
division (B)(2) of section 164.09 of the Revised Code.5479

       (2) The issuing authority shall issue obligations to pay 5480
costs of financing or assisting in the financing of the capital 5481
improvement projects of local subdivisions pursuant to Section 2p 5482
of Article VIII, Ohio Constitution, section 151.01 of the Revised 5483
Code, and this section. Not more than one hundred twenty million 5484
dollars in principal amount of such obligations may be issued in 5485
any of the first five fiscal years of issuance and not more than 5486
one hundred fifty million dollars in principal amount of such 5487
obligations may be issued in any of the next five fiscal years, 5488
plus in each case the principal amount of such obligations that in 5489
any prior fiscal year could have been but were not issued within 5490
those fiscal year limits. No obligations shall be issued for the 5491
purposes of this section pursuant to Section 2p of Article VIII, 5492
Ohio Constitution, until at least one billion one hundred 5493
ninety-nine million five hundred thousand dollars aggregate 5494
principal amount of obligations have been issued pursuant to 5495
Section 2m of Article VIII, Ohio Constitution. Not more than one 5496
billion three hundred fifty million dollars principal amount of 5497
obligations may be issued pursuant to Section 2p of Article VIII, 5498
Ohio Constitution for the purposes of this section.5499

       (C) Net proceeds of obligations shall be deposited into the 5500
state capital improvements fund created by section 164.08 of the 5501
Revised Code.5502

       (D) There is hereby created in the state treasury the "state5503
capital improvements bond service fund." All moneys received by 5504
the state and required by the bond proceedings, consistent with 5505
this section and section 151.01 of the Revised Code, to be 5506
deposited, transferred, or credited to the bond service fund, and 5507
all other moneys transferred or allocated to or received for the 5508
purposes of that fund, shall be deposited and credited to the bond 5509
service fund, subject to any applicable provisions of the bond 5510
proceedings but without necessity for any act of appropriation. 5511
During the period beginning with the date of the first issuance of 5512
obligations and continuing during the time that any obligations 5513
are outstanding in accordance with their terms, so long as moneys 5514
in the bond service fund are insufficient to pay debt service when 5515
due on those obligations payable from that fund (except the 5516
principal amounts of bond anticipation notes payable from the 5517
proceeds of renewal notes or bonds anticipated) and due in the 5518
particular fiscal year, a sufficient amount of revenues of the 5519
state is committed and, without necessity for further act of5520
appropriation, shall be paid to the bond service fund for the 5521
purpose of paying that debt service when due.5522

       Sec. 151.40. (A) As used in this section:5523

       (1) "Bond proceedings" includes any trust agreements, and any 5524
amendments or supplements to them, as authorized by this section.5525

       (2) "Costs of revitalization projects" includes related5526
direct administrative expenses and allocable portions of the5527
direct costs of those projects of the department of development or5528
the environmental protection agency.5529

       (3) "Issuing authority" means the treasurer of state.5530

       (4) "Obligations" means obligations as defined in section5531
151.01 of the Revised Code issued to pay the costs of projects for5532
revitalization purposes as referred to in division (A)(2) of5533
Section 2o of Article VIII, Ohio Constitution.5534

       (5) "Pledged liquor profits" means all receipts of the state5535
representing the gross profit on the sale of spirituous liquor, as5536
referred to in division (B)(4) of section 4301.10 of the Revised5537
Code, after paying all costs and expenses of the division of5538
liquor control and providing an adequate working capital reserve5539
for the division of liquor control as provided in that division,5540
but excluding the sum required by the second paragraph of section5541
4301.12 of the Revised Code, as it was in effect on May 2, 1980,5542
to be paid into the state treasury.5543

       (6) "Pledged receipts" means, as and to the extent provided5544
in bond proceedings:5545

       (a) Pledged liquor profits. The pledge of pledged liquor5546
profits to obligations is subject to the priority of the pledge of5547
those profits to obligations issued and to be issued pursuant to 5548
Chapter 166. of the Revised Code.5549

       (b) Moneys accruing to the state from the lease, sale, or5550
other disposition or use of revitalization projects or from the5551
repayment, including any interest, of loans or advances made from5552
net proceeds;5553

       (c) Accrued interest received from the sale of obligations;5554

       (d) Income from the investment of the special funds;5555

       (e) Any gifts, grants, donations, or pledges, and receipts5556
therefrom, available for the payment of debt service;5557

       (f) Additional or any other specific revenues or receipts5558
lawfully available to be pledged, and pledged, pursuant to further5559
authorization by the general assembly, to the payment of debt5560
service.5561

       (B)(1) The issuing authority shall issue obligations of the5562
state to pay costs of revitalization projects pursuant to division5563
(B)(2) of Section 2o of Article VIII, Ohio Constitution, section5564
151.01 of the Revised Code as applicable to this section, and this5565
section. The issuing authority, upon the certification to it by5566
the clean Ohio council of the amount of moneys needed in and for5567
the purposes of the clean Ohio revitalization fund created by5568
section 122.658 of the Revised Code, shall issue obligations in5569
the amount determined by the issuing authority to be required for5570
those purposes. Not more than two hundred million dollars 5571
principal amount of obligations issued under this section for 5572
revitalization purposes may be outstanding at any one time. Not 5573
more than fifty million dollars principal amount of obligations, 5574
plus the principal amount of obligations that in any prior fiscal 5575
year could have been, but were not issued within the 5576
fifty-million-dollar fiscal year limit, may be issued in any 5577
fiscal year.5578

       (2) The provisions and authorizations in section 151.01 of 5579
the Revised Code apply to the obligations and the bond proceedings 5580
except as otherwise provided or provided for in those obligations 5581
and bond proceedings.5582

       (C) Net proceeds of obligations shall be deposited in the5583
clean Ohio revitalization fund created in section 122.658 of the5584
Revised Code.5585

       (D) There is hereby created the revitalization projects bond5586
service fund, which shall be in the custody of the treasurer of5587
state, but shall be separate and apart from and not a part of the5588
state treasury. All money received by the state and required by5589
the bond proceedings, consistent with section 151.01 of the5590
Revised Code and this section, to be deposited, transferred, or5591
credited to the bond service fund, and all other money transferred5592
or allocated to or received for the purposes of that fund, shall5593
be deposited and credited to the bond service fund, subject to any5594
applicable provisions of the bond proceedings, but without5595
necessity for any act of appropriation. During the period5596
beginning with the date of the first issuance of obligations and5597
continuing during the time that any obligations are outstanding in5598
accordance with their terms, so long as moneys in the bond service5599
fund are insufficient to pay debt service when due on those5600
obligations payable from that fund, except the principal amounts5601
of bond anticipation notes payable from the proceeds of renewal5602
notes or bonds anticipated, and due in the particular fiscal year,5603
a sufficient amount of pledged receipts is committed and, without5604
necessity for further act of appropriation, shall be paid to the5605
bond service fund for the purpose of paying that debt service when5606
due.5607

       (E) The issuing authority may pledge all, or such portion as5608
the issuing authority determines, of the pledged receipts to the5609
payment of the debt service charges on obligations issued under5610
this section, and for the establishment and maintenance of any5611
reserves, as provided in the bond proceedings, and make other5612
provisions in the bond proceedings with respect to pledged5613
receipts as authorized by this section, which provisions are5614
controlling notwithstanding any other provisions of law pertaining5615
to them.5616

       (F) The issuing authority may covenant in the bond5617
proceedings, and such covenants shall be controlling5618
notwithstanding any other provision of law, that the state and5619
applicable officers and state agencies, including the general5620
assembly, so long as any obligations issued under this section are5621
outstanding, shall maintain statutory authority for and cause to5622
be charged and collected wholesale or retail prices for spirituous5623
liquor sold by the state or its agents so that the available5624
pledged receipts are sufficient in time and amount to meet debt5625
service payable from pledged liquor profits and for the5626
establishment and maintenance of any reserves and other5627
requirements provided for in the bond proceedings.5628

       (G) Obligations may be further secured, as determined by the5629
issuing authority, by a trust agreement between the state and a5630
corporate trustee, which may be any trust company or bank having5631
its principala place of business within the state. Any trust5632
agreement may contain the resolution or order authorizing the5633
issuance of the obligations, any provisions that may be contained5634
in any bond proceedings, and other provisions that are customary5635
or appropriate in an agreement of that type, including, but not5636
limited to:5637

       (1) Maintenance of each pledge, trust agreement, or other5638
instrument comprising part of the bond proceedings until the state5639
has fully paid or provided for the payment of debt service on the5640
obligations secured by it;5641

       (2) In the event of default in any payments required to be5642
made by the bond proceedings, enforcement of those payments or5643
agreements by mandamus, the appointment of a receiver, suit in5644
equity, action at law, or any combination of them;5645

       (3) The rights and remedies of the holders or owners of5646
obligations and of the trustee and provisions for protecting and5647
enforcing them, including limitations on rights of individual5648
holders and owners.5649

       (H) The obligations shall not be general obligations of the5650
state and the full faith and credit, revenue, and taxing power of5651
the state shall not be pledged to the payment of debt service on5652
them. The holders or owners of the obligations shall have no right5653
to have any moneys obligated or pledged for the payment of debt5654
service except as provided in this section and in the applicable5655
bond proceedings. The rights of the holders and owners to payment5656
of debt service are limited to all or that portion of the pledged5657
receipts, and those special funds, pledged to the payment of debt5658
service pursuant to the bond proceedings in accordance with this5659
section, and each obligation shall bear on its face a statement to5660
that effect.5661

       Sec. 152.31.  The Ohio building authority may construct and5662
operate capital facilities for the housing of branches and 5663
agencies of state government, municipal corporations, counties, or 5664
other governmental entities, in any municipal corporation when the 5665
municipal corporation and the authority agree on a location and 5666
all of the following occur:5667

       (A) Two or more of such agencies or governmental entities5668
submit to the authority an application requesting the authority to 5669
construct and operate capital facilities and expressing their 5670
intent to become the initial tenants of the capital facilities and 5671
to thereby occupy all of its available office space;5672

       (B) Any municipal corporation, county, township, or other5673
governmental entities joining in the submission of an application5674
pursuant to division (A) of this section further submits a lease5675
committing it to occupy, for a period equal to the greater of 5676
twenty consecutive years from the date of initial occupancy or the 5677
term of any bonds issued by the authority for the capital 5678
facilities, the capital facilities that, through the application, 5679
it expressed its intent to initially occupy, and obligating it to 5680
pay such rent as the authority determines to be appropriate. 5681
Notwithstanding any other section of the Revised Code, any 5682
governmental entity may enter into such a lease and any such lease 5683
is legally sufficient to obligate the governmental entity for the 5684
term stated therein. Any such lease shall constitute an agreement 5685
described in division (E) of section 152.24 of the Revised Code.5686

       If rental payments required by a lease established pursuant5687
to this division are not paid in accordance with the provision of5688
such a lease, the funds which would otherwise be apportioned to5689
the lessees from the county undivided local governmentcommunities5690
fund, pursuant to sections 5747.51 to 5747.53 of the Revised Code,5691
shall be reduced by the amount of rent payable to the authority.5692
The county treasurer shall immediately pay the amount of such5693
reductions to the authority.5694

       All rents charged by the authority for occupancy of such a5695
capital facility shall be fixed and expended pursuant to section 5696
152.16 of the Revised Code. Any lease with the department of5697
administrative services with respect to such a capital facility 5698
may provide for rental payments that satisfy the requirements of5699
section 152.16 of the Revised Code, but the amount of any rentals5700
paid by other tenants in the capital facility pursuant to leases 5701
with the authority shall be credited against such rental payments 5702
of the department of administrative services. Any lease with the5703
department of administrative services or a using state agency may5704
provide for the payment of rental payments that satisfy the 5705
requirements of section 152.16 of the Revised Code prior to 5706
initial occupancy of such capital facility. In the process of 5707
inviting bids and awarding contracts, the authority shall be 5708
guided by the procedures set forth in sections 153.01 to 153.20 of 5709
the Revised Code. Any provision of sections 152.21, 152.22, and 5710
152.26 of the Revised Code that applies to capital facilities 5711
described in section 152.19 of the Revised Code also applies to 5712
the capital facilities described in this section unless it is 5713
inconsistent with this section.5714

       Sec. 156.02.  The director of administrative services may5715
contract with an energy services company, contractor, architect,5716
professional engineer, or other person experienced in the design5717
and implementation of energy conservation measures for a report5718
containing an analysis and recommendations pertaining to the5719
implementation of energy conservation measures that would5720
significantly reduce energy consumption and operating costs in any 5721
buildings owned by the state and, upon request of its board of 5722
trustees or managing authority, any building owned by an 5723
institution of higher education as defined in section 3345.12 of 5724
the Revised Code. The report shall include estimates of all costs 5725
of such measures, including the costs of design, engineering, 5726
installation, maintenance, repairs, and debt service, and 5727
estimates of the amounts by which energy consumption and operating 5728
costs would be reduced. The cost of each report requested by the 5729
board or managing authority of an institution of higher education 5730
shall be paid by the institution of higher education.5731

       Sec. 164.03.  For the purpose of allocating the funds made5732
available to finance public infrastructure capital improvement 5733
projects of local subdivisions through the issuance of general 5734
obligations of the state of Ohio pursuant to Section 2k or, 2m, or 5735
2p of Article VIII, Ohio Constitution, the state is divided into 5736
the following districts:5737

       District one. Cuyahoga county shall constitute district one.5738

       District two. Hamilton county shall constitute district two.5739

       District three. Franklin county shall constitute district 5740
three.5741

       District four. Montgomery county shall constitute district 5742
four.5743

       District five. Defiance, Erie, Fulton, Henry, Ottawa,5744
Paulding, Sandusky, Williams, and Wood counties shall constitute5745
district five.5746

       District six. Mahoning and Trumbull counties shall constitute 5747
district six.5748

       District seven. Ashtabula, Geauga, Lake, and Portage counties 5749
shall constitute district seven.5750

       District eight. Summit county shall constitute district5751
eight.5752

       District nine. Lorain, Huron, and Medina counties shall5753
constitute district nine.5754

       District ten. Butler, Clermont, Clinton, and Warren counties 5755
shall constitute district ten.5756

       District eleven. Champaign, Clark, Darke, Greene, Madison,5757
Miami, Preble, and Union counties shall constitute district5758
eleven.5759

       District twelve. Lucas county shall constitute district5760
twelve.5761

       District thirteen. Allen, Auglaize, Hancock, Logan, Mercer, 5762
Putnam, Shelby, and Van Wert counties shall constitute district 5763
thirteen.5764

       District fourteen. Carroll, Columbiana, Coshocton, Guernsey, 5765
Harrison, Holmes, Jefferson, and Tuscarawas counties shall 5766
constitute district fourteen.5767

       District fifteen. Adams, Brown, Fayette, Gallia, Highland,5768
Jackson, Lawrence, Pike, Ross, Scioto, and Vinton counties shall5769
constitute district fifteen.5770

       District sixteen. Ashland, Crawford, Hardin, Marion,5771
Richland, Seneca, Wayne, and Wyandot counties shall constitute5772
district sixteen.5773

       District seventeen. Delaware, Fairfield, Knox, Licking,5774
Morrow, and Pickaway counties shall constitute district seventeen.5775

       District eighteen. Athens, Belmont, Hocking, Meigs, Monroe, 5776
Morgan, Muskingum, Noble, Perry, and Washington counties shall 5777
constitute district eighteen.5778

       District nineteen. Stark county shall constitute district5779
nineteen.5780

       Sec. 164.05.  (A) The director of the Ohio public works5781
commission shall do all of the following:5782

       (1) Approve requests for financial assistance from district 5783
public works integrating committees and enter into agreements with 5784
one or more local subdivisions to provide loans, grants, and local 5785
debt support and credit enhancements for a capital improvement 5786
project if the director determines that:5787

       (a) The project is an eligible project pursuant to this5788
chapter;5789

       (b) The financial assistance for the project has been5790
properly approved and requested by the district committee of the5791
district which includes the recipient of the loan or grant;5792

       (c) The amount of the financial assistance, when added to all 5793
other financial assistance provided during the fiscal year for 5794
projects within the district, does not exceed that district's5795
allocation of money from the state capital improvements fund for5796
that fiscal year;5797

       (d) The district committee has provided such documentation5798
and other evidence as the director may require that the district5799
committee has satisfied the requirements of section 164.06 or5800
164.14 of the Revised Code;5801

       (e) The portion of a district's annual allocation which the 5802
director approves in the form of loans and local debt support and 5803
credit enhancements for eligible projects is consistent with5804
divisions (E) and (F) of this section.5805

       (2) Authorize payments to local subdivisions or their5806
contractors for costs incurred for capital improvement projects5807
which have been approved pursuant to this chapter. All requests5808
for payments shall be submitted to the director on forms and in5809
accordance with procedures specified in rules adopted by the5810
director pursuant to division (A)(4) of this section.5811

       (3) Retain the services of or employ financial consultants, 5812
engineers, accountants, attorneys, and such other employees as the 5813
director determines are necessary to carry out the director's 5814
duties under this chapter and fix the compensation for their 5815
services;5816

       (4) Adopt rules establishing the procedures for making5817
applications, reviewing, approving, and rejecting projects for5818
which assistance is authorized under this chapter, and any other5819
rules needed to implement the provisions of this chapter. Such5820
rules shall be adopted under Chapter 119. of the Revised Code.5821

       (5) Provide information and other assistance to local5822
subdivisions and district public works integrating committees in5823
developing their requests for financial assistance for capital5824
improvements under this chapter and encourage cooperation and5825
coordination of requests and the development of multisubdivision5826
and multidistrict projects in order to maximize the benefits that5827
may be derived by districts from each year's allocation;5828

       (6) Require local subdivisions, to the extent practicable, to 5829
use Ohio products, materials, services, and labor in connection 5830
with any capital improvement project financed in whole or in part 5831
under this chapter;5832

       (7) Notify the director of budget and management of all5833
approved projects, and supply all information necessary to track5834
approved projects through the state accounting system;5835

       (8) Appoint the administrator of the Ohio small government5836
capital improvements commission;5837

       (9) Do all other acts, enter into contracts, and execute all 5838
instruments necessary or appropriate to carry out this chapter;5839

       (10) Develop a standardized methodology for evaluating5840
capital improvement needs which will be used by local subdivisions 5841
in preparing the plans required by division (C) of section 164.06 5842
of the Revised Code. The director shall develop this methodology 5843
not later than July 1, 1991.5844

       (11) Establish a program to provide local subdivisions with 5845
technical assistance in preparing project applications. The5846
program shall be designed to assist local subdivisions that lack5847
the financial or technical resources to prepare project5848
applications on their own.5849

       (B) When the director of the Ohio public works commission5850
decides to conditionally approve or disapprove projects, the5851
director's decisions and the reasons for which they are made shall 5852
be made in writing. These written decisions shall be conclusive 5853
for the purposes of the validity and enforceability of such 5854
determinations.5855

       (C) Fees, charges, rates of interest, times of payment of5856
interest and principal, and other terms, conditions, and5857
provisions of and security for financial assistance provided5858
pursuant to the provisions of this chapter shall be such as the5859
director determines to be appropriate. If any payments required by 5860
a loan agreement entered into pursuant to this chapter are not5861
paid, the funds which would otherwise be apportioned to the local5862
subdivision from the county undivided local governmentcommunities5863
fund, pursuant to sections 5747.51 to 5747.53 of the Revised Code, 5864
may, at the direction of the director of the Ohio public works5865
commission, be reduced by the amount payable. The county treasurer 5866
shall, at the direction of the director, pay the amount of such 5867
reductions to the state capital improvements revolving loan fund. 5868
The director may renegotiate a loan repayment schedule with a 5869
local subdivision whose payments from the county undivided local 5870
governmentcommunities fund could be reduced pursuant to this5871
division, but such a renegotiation may occur only one time with5872
respect to any particular loan agreement.5873

       (D) Grants approved for the repair and replacement of5874
existing infrastructure pursuant to this chapter shall not exceed5875
ninety per cent of the estimated total cost of the capital5876
improvement project. Grants approved for new or expanded5877
infrastructure shall not exceed fifty per cent of the estimated5878
cost of the new or expansion elements of the capital improvement5879
project. A local subdivision share of the estimated cost of a5880
capital improvement may consist of any of the following:5881

       (1) The reasonable value, as determined by the director or5882
the administrator, of labor, materials, and equipment that will be 5883
contributed by the local subdivision in performing the capital5884
improvement project;5885

       (2) Moneys received by the local subdivision in any form from 5886
an authority, commission, or agency of the United States for use 5887
in performing the capital improvement project;5888

       (3) Loans made to the local subdivision under this chapter;5889

       (4) Engineering costs incurred by the local subdivision in5890
performing engineering activities related to the project.5891

       A local subdivision share of the cost of a capital5892
improvement shall not include any amounts awarded to it from the5893
local transportation improvement program fund created in section5894
164.14 of the Revised Code.5895

       (E) The following portion of a district public works5896
integrating committee's annual allocation share pursuant to5897
section 164.08 of the Revised Code may be awarded to subdivisions5898
only in the form of interest-free, low-interest, market rate of5899
interest, or blended-rate loans:5900

YEAR IN WHICH PORTION USED FOR 5901
MONEYS ARE ALLOCATED LOANS 5902
Year 1 0% 5903
Year 2 0% 5904
Year 3 10% 5905
Year 4 12% 5906
Year 5 15% 5907
Year 6 20% 5908
Year 7, 8, 9, and 10 22% 5909

       (F) The following portion of a district public works5910
integrating committee's annual allocation pursuant to section5911
164.08 of the Revised Code shall be awarded to subdivisions in the 5912
form of local debt supported and credit enhancements:5913

PORTIONS USED FOR 5914
YEAR IN WHICH LOCAL DEBT SUPPORT 5915
MONEYS ARE ALLOCATED AND CREDIT ENHANCEMENTS 5916
Year 1 0% 5917
Year 2 0% 5918
Year 3 3% 5919
Year 4 5% 5920
Year 5 5% 5921
Year 6 7% 5922
Year 7 7% 5923
Year 8 8% 5924
Year 9 8% 5925
Year 10 8% 5926

       (G) For the period commencing on March 29, 1988 and ending on 5927
June 30, 1993, for the period commencing July 1, 1993, and ending 5928
June 30, 1999, and for each five-year period thereafter, the total 5929
amount of financial assistance awarded under sections 164.01 to 5930
164.08 of the Revised Code for capital improvement projects 5931
located wholly or partially within a county shall be equal to at 5932
least thirty per cent of the amount of what the county would have 5933
been allocated from the obligations authorized to be sold under 5934
this chapter during each period, if such amounts had been 5935
allocable to each county on a per capita basis.5936

       (H) The amount of the annual allocations made pursuant to5937
divisions (B)(1) and (6) of section 164.08 of the Revised Code5938
which can be used for new or expanded infrastructure is limited as 5939
follows:5940

PORTION WHICH MAY 5941
YEAR IN WHICH BE USED FOR NEW OR 5942
MONEYS ARE ALLOCATED EXPANSION INFRASTRUCTURE 5943
Year 1 5% 5944
Year 2 5% 5945
Year 3 10% 5946
Year 4 10% 5947
Year 5 10% 5948
Year 6 15% 5949
Year 7 15% 5950
Year 8 20% 5951
Year 9 20% 5952
Year 10 and each year 5953
thereafter 20% 5954

       (I) The following portion of a district public works5955
integrating committee's annual allocation share pursuant to 5956
section 164.08 of the Revised Code shall be awarded to 5957
subdivisions in the form of interest-free, low-interest, market 5958
rate of interest, or blended-rate loans, or local debt support and 5959
credit enhancements:5960

PORTION USED FOR LOANS 5961
YEAR IN WHICH OR LOCAL DEBT SUPPORT 5962
MONEYS ARE ALLOCATED AND CREDIT ENHANCEMENTS 5963
Year 11 and each year 5964
thereafter 20% 5965

       (J) No project shall be approved under this section unless 5966
the project is designed to have a useful life of at least seven 5967
years. In addition, the average useful life of all projects for 5968
which grants or loans are awarded in each district during a 5969
program year shall not be less than twenty years.5970

       Sec. 164.051.  (A) The administrator of the Ohio small5971
government capital improvements commission shall review projects5972
submitted to himthe administrator by subcommittees of district5973
public works integrating committees in accordance with section 5974
164.06 of the Revised Code. If hethe administrator determines 5975
that a project satisfies the criteria of division (B) of that 5976
section, while taking into consideration the special needs of 5977
villages and townships, the administrator shall recommend to the 5978
Ohio small government capital improvements commission that the 5979
project be approved. If hethe administrator determines that a 5980
project should not be approved or that a decision on the project 5981
should be delayed, such determinations and an explanation should 5982
also be sent to the Ohio small government capital improvements 5983
commission for final resolution.5984

       (B) With respect to projects which the Ohio small government 5985
capital improvements commission approves, the administrator is 5986
authorized to:5987

       (1) Enter into agreements to provide financial assistance in 5988
the form of loans, grants, or local debt support and credit5989
enhancements to villages or townships with populations in the5990
unincorporated areas of the township of less than five thousand;5991

       (2) Authorize payments to such villages or townships or their 5992
contractors for the costs incurred for capital improvement5993
projects which have been approved in accordance with this chapter. 5994
All requests for payments shall be submitted to the administrator 5995
on forms and in accordance with procedures specified in rules 5996
adopted pursuant to division (A)(4) of section 164.05 of the 5997
Revised Code.5998

       (3) Notify the director of budget and management of all5999
approved projects, and supply all information necessary to track6000
the approved projects through the state accounting system.6001

       (4) Do all other acts and enter into contracts and execute6002
all instruments necessary or appropriate to carry out this6003
section.6004

       (C) Fees, charges, rates of interest, times of payment of6005
interest and principal, and other terms, conditions, and6006
provisions of and security for financial assistance provided6007
pursuant to the provisions of this section shall be such as the6008
administrator determines to be appropriate. If any payments6009
required by a loan agreement entered into pursuant to this section 6010
are not paid, the funds which would otherwise be apportioned to 6011
the local subdivision from the county undivided local government6012
communities fund, pursuant to sections 5747.51 to 5747.53 of the 6013
Revised Code, may, at the direction of the Ohio small government 6014
capital improvements commission, be reduced by the amount payable. 6015
The county treasurer shall, at the direction of the commission, 6016
pay the amount of such reductions to the state capital 6017
improvements revolving loan fund. Subject to the approval of the 6018
Ohio small government capital improvements commission, the 6019
administrator may renegotiate a loan repayment schedule with a 6020
local subdivision whose payments from the county undivided local 6021
governmentcommunities fund could be reduced pursuant to this6022
division, but such a renegotiation may occur only one time with6023
respect to any particular loan agreement.6024

       Sec. 164.08.  (A) Except as provided in sections 151.01 and 6025
151.08 or section 164.09 of the Revised Code, the net proceeds of 6026
obligations issued and sold by the treasurer of state pursuant to 6027
section 164.09 of the Revised Code before September 30, 2000, or 6028
pursuant to sections 151.01 and 151.08 of the Revised Code, for 6029
the purpose of financing or assisting in the financing of the cost 6030
of public infrastructure capital improvement projects of local 6031
subdivisions, as provided for in Section 2k or, 2m, or 2p of 6032
Article VIII, Ohio Constitution, and this chapter, shall be paid 6033
into the state capital improvements fund, which is hereby created 6034
in the state treasury. Investment earnings on moneys in the fund 6035
shall be credited to the fund.6036

       (B) Each program year the amount of obligations authorized by 6037
the general assembly in accordance with sections 151.01 and 151.086038
or section 164.09 of the Revised Code, excluding the proceeds of 6039
refunding or renewal obligations, shall be allocated by the 6040
director of the Ohio public works commission as follows:6041

       (1) First, twelve million dollars of the amount of6042
obligations authorized shall be allocated to provide financial6043
assistance to villages and to townships with populations in the6044
unincorporated areas of the township of less than five thousand6045
persons, for capital improvements in accordance with section6046
164.051 and division (D) of section 164.06 of the Revised Code. As 6047
used in division (B)(1) of this section, "capital improvements" 6048
includes resurfacing and improving roads.6049

       (2) Following the allocation required by division (B)(1) of 6050
this section, the director may allocate two million five hundred 6051
thousand dollars of the authorized obligations to provide 6052
financial assistance to local subdivisions for capital improvement 6053
projects which in the judgment of the director of the Ohio public 6054
works commission are necessary for the immediate preservation of 6055
the health, safety, and welfare of the citizens of the local 6056
subdivision requesting assistance.6057

       (3) For the second, third, fourth, and fifth years that6058
obligations are authorized and are available for allocation under6059
this chapter, one million dollars shall be allocated to the sewer6060
and water fund created in section 1525.11 of the Revised Code.6061
Money from this allocation shall be transferred to that fund when6062
needed to support specific payments from that fund.6063

       (4) For program years twelve and fourteen that obligations 6064
are authorized and available for allocation under this chapter, 6065
two million dollars each program year shall be allocated to the 6066
small county capital improvement program for use in providing 6067
financial assistance under division (F) of section 164.02 of the 6068
Revised Code.6069

       (5) After the allocation required by division (B)(3) of this 6070
section is made, the director shall determine the amount of the 6071
remaining obligations authorized to be issued and sold that each 6072
county would receive if such amounts were allocated on a per6073
capita basis each year. If a county's per capita share for the6074
year would be less than three hundred thousand dollars, the6075
director shall allocate to the district in which that county is6076
located an amount equal to the difference between three hundred6077
thousand dollars and the county's per capita share.6078

       (6) After making the allocation required by division (B)(5) 6079
of this section, the director shall allocate the remaining amount 6080
to each district on a per capita basis.6081

       (C)(1) There is hereby created in the state treasury the6082
state capital improvements revolving loan fund, into which shall6083
be deposited all repayments of loans made to local subdivisions6084
for capital improvements pursuant to this chapter. Investment 6085
earnings on moneys in the fund shall be credited to the fund.6086

       (2) There may also be deposited in the state capital6087
improvements revolving loan fund moneys obtained from federal or6088
private grants, or from other sources, which are to be used for6089
any of the purposes authorized by this chapter. Such moneys shall 6090
be allocated each year in accordance with division (B)(6) of this 6091
section.6092

       (3) Moneys deposited into the state capital improvements 6093
revolving loan fund shall be used to make loans for the purpose of 6094
financing or assisting in the financing of the cost of capital6095
improvement projects of local subdivisions.6096

       (4) Investment earnings credited to the state capital 6097
improvements revolving loan fund that exceed the amounts required 6098
to meet estimated federal arbitrage rebate requirements shall be 6099
used to pay costs incurred by the public works commission in 6100
administering this section. Investment earnings credited to the 6101
state capital improvements revolving loan fund that exceed the 6102
amounts required to pay for the administrative costs and estimated 6103
rebate requirements shall be allocated to each district on a per 6104
capita basis.6105

       (5) Each program year, loan repayments received and on 6106
deposit in the state capital improvements revolving loan fund 6107
shall be allocated as follows:6108

       (a) Each district public works integrating committee shall be 6109
allocated an amount equal to the sum of all loan repayments made 6110
to the state capital improvements revolving loan fund by local 6111
subdivisions that are part of the district. Moneys not used in a 6112
program year may be used in the next program year in the same 6113
manner and for the same purpose as originally allocated.6114

       (b) Loan repayments made pursuant to projects approved under 6115
division (B)(1) of this section shall be used to make loans in 6116
accordance with section 164.051 and division (D) of section 164.06 6117
of the Revised Code. Allocations for this purpose made pursuant to 6118
division (C)(5) of this section shall be in addition to the 6119
allocation provided in division (B)(1) of this section.6120

       (c) Loan repayments made pursuant to projects approved under 6121
division (B)(2) of this section shall be used to make loans in 6122
accordance with division (B)(2) of this section. Allocations for 6123
this purpose made pursuant to division (C)(5) of this section 6124
shall be in addition to the allocation provided in division (B)(2) 6125
of this section.6126

       (d) Loans made from the state capital improvements revolving 6127
loan fund shall not be limited in their usage by divisions (E), 6128
(F), (G), (H), and (I) of section 164.05 of the Revised Code.6129

       (D) Investment earnings credited to the state capital6130
improvements fund that exceed the amounts required to meet6131
estimated federal arbitrage rebate requirements shall be used to6132
pay costs incurred by the public works commission in administering 6133
sections 164.01 to 164.12 of the Revised Code.6134

       (E) The director of the Ohio public works commission shall6135
notify the director of budget and management of the amounts6136
allocated pursuant to this section and such information shall be6137
entered into the state accounting system. The director of budget6138
and management shall establish appropriation line items as needed6139
to track these allocations.6140

       (F) If the amount of a district's allocation in a program6141
year exceeds the amount of financial assistance approved for the6142
district by the commission for that year, the remaining portion of 6143
the district's allocation shall be added to the district's6144
allocation pursuant to division (B) of this section for the next6145
succeeding year for use in the same manner and for the same6146
purposes as it was originally allocated, except that any portion6147
of a district's allocation which was available for use on new or6148
expanded infrastructure pursuant to division (H) of section 164.05 6149
of the Revised Code shall be available in succeeding years only 6150
for the repair and replacement of existing infrastructure.6151

       (G) When an allocation based on population is made by the6152
director pursuant to division (B) of this section, the director 6153
shall use the most recent decennial census statistics, and shall 6154
not make any reallocations based upon a change in a district's 6155
population.6156

       Sec. 164.09.  (A) The issuer is authorized to issue and sell, 6157
as provided in this section and in amounts from time to time 6158
authorized by the general assembly, general obligations of this 6159
state for the purpose of financing or assisting in the financing 6160
of the costs of public infrastructure capital improvements for 6161
local subdivisions. The full faith and credit, revenues, and 6162
taxing power of the state are and shall be pledged to the timely 6163
payment of bond service charges on outstanding obligations, all in 6164
accordance with Section 2k or 2m of Article VIII, Ohio 6165
Constitution and sections 164.09 to 164.12 of the Revised Code, 6166
excluding from that pledge fees, excises, or taxes relating to the 6167
registration, operation, or use of vehicles on the public 6168
highways, or to fuels used for propelling those vehicles, and so 6169
long as such obligations are outstanding there shall be levied and 6170
collected excises and taxes, excluding those excepted above, in 6171
amounts sufficient to pay the bond service charges on such 6172
obligations and costs relating to credit facilities.6173

       (B)(1) The total principal amount of obligations issued 6174
pursuant to Section 2k of Article VIII, Ohio Constitution shall6175
not exceed one billion two hundred million dollars, and not more6176
than one hundred twenty million dollars in principal amount of6177
obligations may be issued in any calendar year, all determined as6178
provided in sections 164.09 to 164.12 of the Revised Code.6179

       (2) The total principal amount of obligations issued for the 6180
purposes of this section pursuant to Section 2m of Article VIII, 6181
Ohio Constitution, shall not exceed one billion two hundred 6182
million dollars. Not more than one hundred twenty million dollars 6183
in principal amount of such obligations, plus the principal amount 6184
of such obligations that in any prior fiscal years could have been 6185
but were not issued within the one-hundred-twenty-million-dollar 6186
fiscal year limit, may be issued in any fiscal year. No 6187
obligations shall be issued for the purposes of this section 6188
pursuant to Section 2m of Article VIII, Ohio Constitution, until 6189
at least one billion one hundred ninety-nine million five hundred 6190
thousand dollars aggregate principal amount of obligations have 6191
been issued pursuant to Section 2k of Article VIII, Ohio 6192
Constitution. The amounts specified under division (B)(2) of this 6193
section shall be determined as provided in sections 164.09 to 6194
164.12 of the Revised Code.6195

       (C) Each issue of obligations shall be authorized by order of 6196
the issuer. The bond proceedings shall provide for the principal 6197
amount or maximum principal amount of obligations of an issue, and 6198
shall provide for or authorize the manner or agency for 6199
determining the principal maturity or maturities, not exceeding 6200
the earlier of thirty years from the date of issuance of the 6201
particular obligations or thirty years from the date the debt 6202
represented by the particular obligations was originally6203
contracted, the interest rate or rates, the date of and the dates6204
of payment of interest on the obligations, their denominations,6205
and the establishment within or without the state of a place or6206
places of payment of bond service charges. Sections 9.96 and 9.98 6207
to 9.983 of the Revised Code are applicable to the obligations. 6208
The purpose of the obligations may be stated in the bond 6209
proceedings as "financing or assisting in the financing of local 6210
subdivisions capital improvement projects."6211

       (D) The proceeds of the obligations, except for any portion 6212
to be deposited in special funds, or in escrow funds for the 6213
purpose of refunding outstanding obligations, all as may be6214
provided in the bond proceedings, shall be deposited to the state6215
capital improvements fund established by section 164.08 of the6216
Revised Code.6217

       (E) The issuer may appoint paying agents, bond registrars,6218
securities depositories, and transfer agents, and may retain the6219
services of financial advisers and accounting experts, and retain6220
or contract for the services of marketing, remarketing, indexing,6221
and administrative agents, other consultants, and independent6222
contractors, including printing services, as are necessary in the6223
issuer's judgment to carry out sections 164.01 to 164.12 of the6224
Revised Code. Financing costs are payable, as provided in the bond 6225
proceedings, from the proceeds of the obligations, from special 6226
funds, or from other moneys available for the purpose.6227

       (F) The bond proceedings, including any trust agreement, may 6228
contain additional provisions customary or appropriate to the6229
financing or to the obligations or to particular obligations,6230
including but not limited to:6231

       (1) The redemption of obligations prior to maturity at the6232
option of the state or of the holder or upon the occurrence of6233
certain conditions at such price or prices and under such terms6234
and conditions as are provided in the bond proceedings;6235

       (2) The form of and other terms of the obligations;6236

       (3) The establishment, deposit, investment, and application 6237
of special funds, and the safeguarding of moneys on hand or on 6238
deposit, without regard to Chapter 131. or 135. of the Revised 6239
Code, but subject to any special provisions of this section with 6240
respect to particular funds or moneys, and provided that any bank 6241
or trust company that acts as a depository of any moneys in 6242
special funds may furnish such indemnifying bonds or may pledge 6243
such securities as required by the issuer;6244

       (4) Any or every provision of the bond proceedings binding6245
upon the issuer and such state agency or local subdivision,6246
officer, board, commission, authority, agency, department, or6247
other person or body as may from time to time have the authority6248
under law to take such actions as may be necessary to perform all6249
or any part of the duty required by such provision;6250

       (5) The maintenance of each pledge, any trust agreement, or 6251
other instrument comprising part of the bond proceedings until the 6252
state has fully paid or provided for the payment of the bond6253
service charges on the obligations or met other stated conditions;6254

       (6) In the event of default in any payments required to be6255
made by the bond proceedings, or any other agreement of the issuer 6256
made as a part of a contract under which the obligations were 6257
issued or secured, the enforcement of such payments or agreements 6258
by mandamus, suit in equity, action at law, or any combination of 6259
the foregoing;6260

       (7) The rights and remedies of the holders of obligations and 6261
of the trustee under any trust agreement, and provisions for6262
protecting and enforcing them, including limitations on rights of6263
individual holders of obligations;6264

       (8) The replacement of any obligations that become mutilated 6265
or are destroyed, lost, or stolen;6266

       (9) Provision for the funding, refunding, or advance6267
refunding or other provision for payment of obligations which will 6268
then no longer be outstanding for purposes of this section or of 6269
the bond proceedings;6270

       (10) Any provision that may be made in bond proceedings or a 6271
trust agreement, including provision for amendment of the bond 6272
proceedings;6273

       (11) Such other provisions as the issuer determines,6274
including limitations, conditions, or qualifications relating to6275
any of the foregoing;6276

       (12) Any other or additional agreements with the holders of 6277
the obligations relating to the obligations or the security for 6278
the obligations.6279

       (G) The great seal of the state or a facsimile of that seal 6280
may be affixed to or printed on the obligations. The obligations 6281
requiring signature by the issuer shall be signed by or bear the 6282
facsimile signature of the issuer as provided in the bond 6283
proceedings. Any obligations may be signed by the person who, on 6284
the date of execution, is the authorized signer although on the 6285
date of such obligations such person was not the issuer. In case 6286
the person whose signature or a facsimile of whose signature 6287
appears on any obligation ceases to be the issuer before delivery 6288
of the obligation, such signature or facsimile is nevertheless 6289
valid and sufficient for all purposes as if the person had 6290
remained the member until such delivery, and in case the seal to 6291
be affixed to or printed on obligations has been changed after the 6292
seal has been affixed to or a facsimile of the seal has been6293
printed on the obligations, that seal or facsimile seal shall6294
continue to be sufficient as to those obligations and obligations6295
issued in substitution or exchange therefor.6296

       (H) The obligations are negotiable instruments and securities 6297
under Chapter 1308. of the Revised Code, subject to the provisions 6298
of the bond proceedings as to registration. Obligations may be 6299
issued in coupon or in fully registered form, or both, as the 6300
issuer determines. Provision may be made for the registration of 6301
any obligations with coupons attached as to principal alone or as 6302
to both principal and interest, their exchange for obligations so 6303
registered, and for the conversion or reconversion into 6304
obligations with coupons attached of any obligations registered as 6305
to both principal and interest, and for reasonable charges for 6306
such registration, exchange, conversion, and reconversion. Pending 6307
preparation of definitive obligations, the issuer may issue 6308
interim receipts or certificates which shall be exchanged for such 6309
definitive obligations.6310

       (I) Obligations may be sold at public sale or at private6311
sale, and at such price at, above, or below par, as determined by6312
the issuer in the bond proceedings.6313

       (J) In the discretion of the issuer, obligations may be6314
secured additionally by a trust agreement between the state and a6315
corporate trustee which may be any trust company or bank having6316
its principala place of business within the state. Any trust6317
agreement may contain the order authorizing the issuance of the6318
obligations, any provisions that may be contained in the bond6319
proceedings, and other provisions that are customary or6320
appropriate in an agreement of the type.6321

       (K) Except to the extent that their rights are restricted by 6322
the bond proceedings, any holder of obligations, or a trustee6323
under the bond proceedings, may by any suitable form of legal6324
proceedings protect and enforce any rights under the laws of this6325
state or granted by the bond proceedings. Such rights include the 6326
right to compel the performance of all duties of the issuer and 6327
the state. Each duty of the issuer and the issuer's employees, and 6328
of each state agency and local public entity and its officers, 6329
members, or employees, undertaken pursuant to the bond 6330
proceedings, is hereby established as a duty of the issuer, and of 6331
each such agency, local subdivision, officer, member, or employee 6332
having authority to perform such duty, specifically enjoined by 6333
the law and resulting from an office, trust, or station within the 6334
meaning of section 2731.01 of the Revised Code. The persons who 6335
are at the time the issuer, or the issuer's employees, are not 6336
liable in their personal capacities on any obligations or any 6337
agreements of or with the issuer relating to obligations or under 6338
the bond proceedings.6339

       (L) Obligations are lawful investments for banks, societies 6340
for savings, savings and loan associations, deposit guarantee 6341
associations, trust companies, trustees, fiduciaries, insurance 6342
companies, including domestic for life and domestic not for life, 6343
trustees or other officers having charge of sinking and bond 6344
retirement or other special funds of political subdivisions and 6345
taxing districts of this state, the commissioners of the sinking 6346
fund, the administrator of workers' compensation, the state6347
teachers retirement system, the public employees retirement6348
system, the school employees retirement system, and the Ohio 6349
police and fire pension fund, notwithstanding any other provisions 6350
of the Revised Code or rules adopted pursuant thereto by any state 6351
agency with respect to investments by them, and are also 6352
acceptable as security for the deposit of public moneys.6353

       (M) Unless otherwise provided in any applicable bond6354
proceedings, moneys to the credit of or in the special funds6355
established by or pursuant to this section may be invested by or6356
on behalf of the issuer only in notes, bonds, or other direct6357
obligations of the United States or of any agency or6358
instrumentality of the United States, in obligations of this state 6359
or any political subdivision of this state, in certificates of 6360
deposit of any national bank located in this state and any bank, 6361
as defined in section 1101.01 of the Revised Code, subject to6362
inspection by the superintendent of financial institutions, in the 6363
Ohio subdivision's fund established pursuant to section 135.45 of 6364
the Revised Code, in no-front-end-load money market mutual funds6365
consisting exclusively of direct obligations of the United States6366
or of an agency or instrumentality of the United States, and in 6367
repurchase agreements, including those issued by any fiduciary, 6368
secured by direct obligations of the United States or an agency or6369
instrumentality of the United States, and in collective investment 6370
funds established in accordance with section 1111.14 of the 6371
Revised Code and consisting exclusively of direct obligations of 6372
the United States or of an agency or instrumentality of the United6373
States, notwithstanding division (A)(1)(c) of that section. The 6374
income from investments shall be credited to such special funds or 6375
otherwise as the issuer determines in the bond proceedings, and 6376
the investments may be sold or exchanged at such times as the 6377
issuer determines or authorizes.6378

       (N) Unless otherwise provided in any applicable bond6379
proceedings, moneys to the credit of or in a special fund shall be 6380
disbursed on the order of the issuer, provided that no such order 6381
is required for the payment from the bond service fund or other 6382
special fund when due of bond service charges or required payments 6383
under credit facilities.6384

       (O) The issuer may covenant in the bond proceedings, and any 6385
such covenants shall be controlling notwithstanding any other6386
provision of law, that the state and the applicable officers and6387
agencies of the state, including the general assembly, so long as 6388
any obligations are outstanding in accordance with their terms, 6389
shall maintain statutory authority for and cause to be charged and 6390
collected taxes, excises, and other receipts of the state so that 6391
the receipts to the bond service fund shall be sufficient in6392
amounts to meet bond service charges and for the establishment and 6393
maintenance of any reserves and other requirements, including6394
payment of financing costs, provided for in the bond proceedings.6395

       (P) The obligations, and the transfer of, and the interest6396
and other income from, including any profit made on the sale,6397
transfer, or other disposition of, the obligations shall at all6398
times be free from taxation, direct or indirect, within the state.6399

       (Q) Unless a judicial action or proceeding challenging the6400
validity of obligations is commenced by personal service on the6401
treasurer of state prior to the initial delivery of an issue of6402
the obligations, the obligations of that issue and the bond6403
proceedings pertaining to that issue are incontestable and those6404
obligations shall be conclusively considered to be and to have6405
been issued, secured, payable, sold, executed, and delivered, and6406
the bond proceedings relating to them taken, in conformity with6407
law if all of the following apply to the obligations:6408

       (1) They state that they are issued under the provisions of 6409
this section and comply on their face with those provisions;6410

       (2) They are issued within the limitations prescribed by this 6411
section;6412

       (3) Their purchase price has been paid in full;6413

       (4) They state that all the bond proceedings were held in6414
compliance with law, which statement creates a conclusive6415
presumption that the bond proceedings were held in compliance with 6416
all laws, including section 121.22 of the Revised Code, where 6417
applicable, and rules.6418

       (R) This section applies only with respect to obligations 6419
issued and delivered before September 30, 2000.6420

       Sec. 166.08.  (A) As used in this chapter:6421

       (1) "Bond proceedings" means the resolution, order, trust6422
agreement, indenture, lease, and other agreements, amendments and6423
supplements to the foregoing, or any one or more or combination6424
thereof, authorizing or providing for the terms and conditions6425
applicable to, or providing for the security or liquidity of,6426
obligations issued pursuant to this section, and the provisions6427
contained in such obligations.6428

       (2) "Bond service charges" means principal, including6429
mandatory sinking fund requirements for retirement of obligations,6430
and interest, and redemption premium, if any, required to be paid6431
by the state on obligations.6432

       (3) "Bond service fund" means the applicable fund and6433
accounts therein created for and pledged to the payment of bond6434
service charges, which may be, or may be part of, the economic6435
development bond service fund created by division (S) of this6436
section including all moneys and investments, and earnings from6437
investments, credited and to be credited thereto.6438

       (4) "Issuing authority" means the treasurer of state, or the6439
officer who by law performs the functions of such officer.6440

       (5) "Obligations" means bonds, notes, or other evidence of6441
obligation including interest coupons pertaining thereto, issued6442
pursuant to this section.6443

       (6) "Pledged receipts" means all receipts of the state6444
representing the gross profit on the sale of spirituous liquor, as6445
referred to in division (B)(4) of section 4301.10 of the Revised6446
Code, after paying all costs and expenses of the division of6447
liquor control and providing an adequate working capital reserve6448
for the division of liquor control as provided in that division,6449
but excluding the sum required by the second paragraph of section6450
4301.12 of the Revised Code, as in effect on May 2, 1980, to be6451
paid into the state treasury; moneys accruing to the state from6452
the lease, sale, or other disposition, or use, of project6453
facilities, and from the repayment, including interest, of loans6454
made from proceeds received from the sale of obligations; accrued6455
interest received from the sale of obligations; income from the6456
investment of the special funds; and any gifts, grants, donations,6457
and pledges, and receipts therefrom, available for the payment of6458
bond service charges.6459

       (7) "Special funds" or "funds" means, except where the6460
context does not permit, the bond service fund, and any other6461
funds, including reserve funds, created under the bond6462
proceedings, and the economic development bond service fund6463
created by division (S) of this section to the extent provided in6464
the bond proceedings, including all moneys and investments, and6465
earnings from investment, credited and to be credited thereto.6466

       (B) Subject to the limitations provided in section 166.11 of6467
the Revised Code, the issuing authority, upon the certification by6468
the director of development to the issuing authority of the amount6469
of moneys or additional moneys needed in the facilities6470
establishment fund, the loan guarantee fund, the innovation Ohio 6471
loan fund, the innovation Ohio loan guarantee fund, or the 6472
research and development loan fund for the purpose of paying, or 6473
making loans for, allowable costs from the facilities 6474
establishment fund, allowable innovation costs from the innovation 6475
Ohio loan fund, or allowable costs from the research and 6476
development loan fund, or needed for capitalized interest, for 6477
funding reserves, and for paying costs and expenses incurred in 6478
connection with the issuance, carrying, securing, paying,6479
redeeming, or retirement of the obligations or any obligations6480
refunded thereby, including payment of costs and expenses relating6481
to letters of credit, lines of credit, insurance, put agreements,6482
standby purchase agreements, indexing, marketing, remarketing and6483
administrative arrangements, interest swap or hedging agreements,6484
and any other credit enhancement, liquidity, remarketing, renewal,6485
or refunding arrangements, all of which are authorized by this6486
section, or providing moneys for the loan guarantee fund or the6487
innovation Ohio loan guarantee fund, as provided in this chapter6488
or needed for the purposes of funds established in accordance with6489
or pursuant to sections 122.35, 122.42, 122.54, 122.55, 122.56,6490
122.561, 122.57, and 122.80 of the Revised Code which are within6491
the authorization of Section 13 of Article VIII, Ohio6492
Constitution, shall issue obligations of the state under this6493
section in the required amount; provided that such obligations may6494
be issued to satisfy the covenants in contracts of guarantee made 6495
under section 166.06 or 166.15 of the Revised Code,6496
notwithstanding limitations otherwise applicable to the issuance6497
of obligations under this section. The proceeds of such6498
obligations, except for the portion to be deposited in special6499
funds, including reserve funds, as may be provided in the bond6500
proceedings, shall as provided in the bond proceedings be6501
deposited by the director of development to the facilities6502
establishment fund, the loan guarantee fund, the innovation Ohio 6503
loan guarantee fund, the innovation Ohio loan fund, or the 6504
research and development loan fund. Bond proceedings for project 6505
financing obligations may provide that the proceeds derived from 6506
the issuance of such obligations shall be deposited into such fund 6507
or funds provided for in the bond proceedings and, to the extent6508
provided for in the bond proceedings, such proceeds shall be 6509
deemed to have been deposited into the facilities establishment 6510
fund and transferred to such fund or funds. The issuing authority 6511
may appoint trustees, paying agents, and transfer agents and may 6512
retain the services of financial advisors, accounting experts, and 6513
attorneys, and retain or contract for the services of marketing, 6514
remarketing, indexing, and administrative agents, other 6515
consultants, and independent contractors, including printing 6516
services, as are necessary in the issuing authority's judgment to 6517
carry out this section. The costs of such services are allowable 6518
costs payable from the facilities establishment fund or the 6519
research and development loan fund or allowable innovation costs 6520
payable from the innovation Ohio loan fund.6521

       (C) The holders or owners of such obligations shall have no6522
right to have moneys raised by taxation obligated or pledged, and6523
moneys raised by taxation shall not be obligated or pledged, for6524
the payment of bond service charges. Such holders or owners shall6525
have no rights to payment of bond service charges from any moneys6526
accruing to the state from the lease, sale, or other disposition,6527
or use, of project facilities, or from payment of the principal of6528
or interest on loans made, or fees charged for guarantees made, or6529
from any money or property received by the director, treasurer of6530
state, or the state under Chapter 122. of the Revised Code, or6531
from any other use of the proceeds of the sale of the obligations,6532
and no such moneys may be used for the payment of bond service6533
charges, except for accrued interest, capitalized interest, and6534
reserves funded from proceeds received upon the sale of the6535
obligations and except as otherwise expressly provided in the6536
applicable bond proceedings pursuant to written directions by the6537
director. The right of such holders and owners to payment of bond6538
service charges is limited to all or that portion of the pledged6539
receipts and those special funds pledged thereto pursuant to the6540
bond proceedings in accordance with this section, and each such6541
obligation shall bear on its face a statement to that effect.6542

       (D) Obligations shall be authorized by resolution or order of 6543
the issuing authority and the bond proceedings shall provide for 6544
the purpose thereof and the principal amount or amounts, and shall 6545
provide for or authorize the manner or agency for determining the 6546
principal maturity or maturities, not exceeding twenty-five years 6547
from the date of issuance, the interest rate or rates or the 6548
maximum interest rate, the date of the obligations and the dates 6549
of payment of interest thereon, their denomination, and the 6550
establishment within or without the state of a place or places of 6551
payment of bond service charges. Sections 9.98 to 9.983 of the 6552
Revised Code are applicable to obligations issued under this 6553
section, subject to any applicable limitation under section 166.11 6554
of the Revised Code. The purpose of such obligations may be stated 6555
in the bond proceedings in terms describing the general purpose or 6556
purposes to be served. The bond proceedings also shall provide, 6557
subject to the provisions of any other applicable bond6558
proceedings, for the pledge of all, or such part as the issuing6559
authority may determine, of the pledged receipts and the6560
applicable special fund or funds to the payment of bond service6561
charges, which pledges may be made either prior or subordinate to6562
other expenses, claims, or payments, and may be made to secure the6563
obligations on a parity with obligations theretofore or thereafter6564
issued, if and to the extent provided in the bond proceedings. The6565
pledged receipts and special funds so pledged and thereafter6566
received by the state are immediately subject to the lien of such6567
pledge without any physical delivery thereof or further act, and6568
the lien of any such pledges is valid and binding against all6569
parties having claims of any kind against the state or any6570
governmental agency of the state, irrespective of whether such6571
parties have notice thereof, and shall create a perfected security6572
interest for all purposes of Chapter 1309. of the Revised Code,6573
without the necessity for separation or delivery of funds or for6574
the filing or recording of the bond proceedings by which such6575
pledge is created or any certificate, statement or other document6576
with respect thereto; and the pledge of such pledged receipts and6577
special funds is effective and the money therefrom and thereof may6578
be applied to the purposes for which pledged without necessity for6579
any act of appropriation. Every pledge, and every covenant and6580
agreement made with respect thereto, made in the bond proceedings6581
may therein be extended to the benefit of the owners and holders6582
of obligations authorized by this section, and to any trustee6583
therefor, for the further security of the payment of the bond6584
service charges.6585

       (E) The bond proceedings may contain additional provisions as 6586
to:6587

       (1) The redemption of obligations prior to maturity at the6588
option of the issuing authority at such price or prices and under6589
such terms and conditions as are provided in the bond proceedings;6590

       (2) Other terms of the obligations;6591

       (3) Limitations on the issuance of additional obligations;6592

       (4) The terms of any trust agreement or indenture securing6593
the obligations or under which the same may be issued;6594

       (5) The deposit, investment and application of special funds, 6595
and the safeguarding of moneys on hand or on deposit, without 6596
regard to Chapter 131. or 135. of the Revised Code, but subject to 6597
any special provisions of this chapter, with respect to particular 6598
funds or moneys, provided that any bank or trust company which 6599
acts as depository of any moneys in the special funds may furnish 6600
such indemnifying bonds or may pledge such securities as required 6601
by the issuing authority;6602

       (6) Any or every provision of the bond proceedings being6603
binding upon such officer, board, commission, authority, agency,6604
department, or other person or body as may from time to time have6605
the authority under law to take such actions as may be necessary6606
to perform all or any part of the duty required by such provision;6607

       (7) Any provision that may be made in a trust agreement or6608
indenture;6609

       (8) Any other or additional agreements with the holders of6610
the obligations, or the trustee therefor, relating to the6611
obligations or the security therefor, including the assignment of6612
mortgages or other security obtained or to be obtained for loans6613
under section 122.43, 166.07, or 166.16 of the Revised Code.6614

       (F) The obligations may have the great seal of the state or a 6615
facsimile thereof affixed thereto or printed thereon. The6616
obligations and any coupons pertaining to obligations shall be6617
signed or bear the facsimile signature of the issuing authority. 6618
Any obligations or coupons may be executed by the person who, on6619
the date of execution, is the proper issuing authority although on6620
the date of such bonds or coupons such person was not the issuing6621
authority. If the issuing authority whose signature or a facsimile 6622
of whose signature appears on any such obligation or coupon ceases 6623
to be the issuing authority before delivery thereof, such 6624
signature or facsimile is nevertheless valid and sufficient for 6625
all purposes as if the former issuing authority had remained the 6626
issuing authority until such delivery; and if the seal to be6627
affixed to obligations has been changed after a facsimile of the6628
seal has been imprinted on such obligations, such facsimile seal6629
shall continue to be sufficient as to such obligations and6630
obligations issued in substitution or exchange therefor.6631

       (G) All obligations are negotiable instruments and securities 6632
under Chapter 1308. of the Revised Code, subject to the provisions 6633
of the bond proceedings as to registration. The obligations may be 6634
issued in coupon or in registered form, or both, as the issuing 6635
authority determines. Provision may be made for the registration 6636
of any obligations with coupons attached thereto as to principal 6637
alone or as to both principal and interest, their exchange for 6638
obligations so registered, and for the conversion or reconversion 6639
into obligations with coupons attached thereto of any obligations 6640
registered as to both principal and interest, and for reasonable 6641
charges for such registration, exchange, conversion, and 6642
reconversion.6643

       (H) Obligations may be sold at public sale or at private6644
sale, as determined in the bond proceedings.6645

       Obligations issued to provide moneys for the loan guarantee6646
fund or the innovation Ohio loan guarantee fund may, as determined6647
by the issuing authority, be sold at private sale, and without6648
publication of a notice of sale.6649

       (I) Pending preparation of definitive obligations, the6650
issuing authority may issue interim receipts or certificates which6651
shall be exchanged for such definitive obligations.6652

       (J) In the discretion of the issuing authority, obligations6653
may be secured additionally by a trust agreement or indenture6654
between the issuing authority and a corporate trustee which may be6655
any trust company or bank having its principala place of business6656
within the state. Any such agreement or indenture may contain the6657
resolution or order authorizing the issuance of the obligations,6658
any provisions that may be contained in any bond proceedings, and6659
other provisions which are customary or appropriate in an6660
agreement or indenture of such type, including, but not limited6661
to:6662

       (1) Maintenance of each pledge, trust agreement, indenture,6663
or other instrument comprising part of the bond proceedings until6664
the state has fully paid the bond service charges on the6665
obligations secured thereby, or provision therefor has been made;6666

       (2) In the event of default in any payments required to be6667
made by the bond proceedings, or any other agreement of the6668
issuing authority made as a part of the contract under which the6669
obligations were issued, enforcement of such payments or agreement6670
by mandamus, the appointment of a receiver, suit in equity, action6671
at law, or any combination of the foregoing;6672

       (3) The rights and remedies of the holders of obligations and 6673
of the trustee, and provisions for protecting and enforcing them, 6674
including limitations on rights of individual holders of6675
obligations;6676

       (4) The replacement of any obligations that become mutilated6677
or are destroyed, lost, or stolen;6678

       (5) Such other provisions as the trustee and the issuing6679
authority agree upon, including limitations, conditions, or6680
qualifications relating to any of the foregoing.6681

       (K) Any holders of obligations or trustees under the bond6682
proceedings, except to the extent that their rights are restricted6683
by the bond proceedings, may by any suitable form of legal6684
proceedings, protect and enforce any rights under the laws of this6685
state or granted by such bond proceedings. Such rights include the 6686
right to compel the performance of all duties of the issuing6687
authority, the director of development, or the division of liquor6688
control required by this chapter or the bond proceedings; to6689
enjoin unlawful activities; and in the event of default with6690
respect to the payment of any bond service charges on any6691
obligations or in the performance of any covenant or agreement on6692
the part of the issuing authority, the director of development, or6693
the division of liquor control in the bond proceedings, to apply6694
to a court having jurisdiction of the cause to appoint a receiver6695
to receive and administer the pledged receipts and special funds,6696
other than those in the custody of the treasurer of state, which6697
are pledged to the payment of the bond service charges on such6698
obligations or which are the subject of the covenant or agreement,6699
with full power to pay, and to provide for payment of bond service6700
charges on, such obligations, and with such powers, subject to the6701
direction of the court, as are accorded receivers in general6702
equity cases, excluding any power to pledge additional revenues or6703
receipts or other income or moneys of the issuing authority or the6704
state or governmental agencies of the state to the payment of such6705
principal and interest and excluding the power to take possession6706
of, mortgage, or cause the sale or otherwise dispose of any6707
project facilities.6708

       Each duty of the issuing authority and the issuing6709
authority's officers and employees, and of each governmental6710
agency and its officers, members, or employees, undertaken6711
pursuant to the bond proceedings or any agreement or lease,6712
lease-purchase agreement, or loan made under authority of this6713
chapter, and in every agreement by or with the issuing authority,6714
is hereby established as a duty of the issuing authority, and of6715
each such officer, member, or employee having authority to perform6716
such duty, specifically enjoined by the law resulting from an6717
office, trust, or station within the meaning of section 2731.01 of6718
the Revised Code.6719

       The person who is at the time the issuing authority, or the6720
issuing authority's officers or employees, are not liable in their6721
personal capacities on any obligations issued by the issuing6722
authority or any agreements of or with the issuing authority.6723

       (L) The issuing authority may authorize and issue obligations 6724
for the refunding, including funding and retirement, and advance 6725
refunding with or without payment or redemption prior to maturity, 6726
of any obligations previously issued by the issuing authority. 6727
Such obligations may be issued in amounts sufficient for payment 6728
of the principal amount of the prior obligations, any redemption 6729
premiums thereon, principal maturities of any such obligations 6730
maturing prior to the redemption of the remaining obligations on a 6731
parity therewith, interest accrued or to accrue to the maturity 6732
dates or dates of redemption of such obligations, and any 6733
allowable costs including expenses incurred or to be incurred in 6734
connection with such issuance and such refunding, funding, and 6735
retirement. Subject to the bond proceedings therefor, the portion 6736
of proceeds of the sale of obligations issued under this division 6737
to be applied to bond service charges on the prior obligations 6738
shall be credited to an appropriate account held by the trustee 6739
for such prior or new obligations or to the appropriate account in 6740
the bond service fund for such obligations. Obligations authorized 6741
under this division shall be deemed to be issued for those 6742
purposes for which such prior obligations were issued and are 6743
subject to the provisions of this section pertaining to other 6744
obligations, except as otherwise provided in this section; 6745
provided that, unless otherwise authorized by the general 6746
assembly, any limitations imposed by the general assembly pursuant 6747
to this section with respect to bond service charges applicable to 6748
the prior obligations shall be applicable to the obligations 6749
issued under this division to refund, fund, advance refund or 6750
retire such prior obligations.6751

       (M) The authority to issue obligations under this section6752
includes authority to issue obligations in the form of bond6753
anticipation notes and to renew the same from time to time by the6754
issuance of new notes. The holders of such notes or interest6755
coupons pertaining thereto shall have a right to be paid solely6756
from the pledged receipts and special funds that may be pledged to6757
the payment of the bonds anticipated, or from the proceeds of such6758
bonds or renewal notes, or both, as the issuing authority provides6759
in the resolution or order authorizing such notes. Such notes may6760
be additionally secured by covenants of the issuing authority to6761
the effect that the issuing authority and the state will do such6762
or all things necessary for the issuance of such bonds or renewal6763
notes in appropriate amount, and apply the proceeds thereof to the6764
extent necessary, to make full payment of the principal of and6765
interest on such notes at the time or times contemplated, as6766
provided in such resolution or order. For such purpose, the6767
issuing authority may issue bonds or renewal notes in such6768
principal amount and upon such terms as may be necessary to6769
provide funds to pay when required the principal of and interest6770
on such notes, notwithstanding any limitations prescribed by or6771
for purposes of this section. Subject to this division, all6772
provisions for and references to obligations in this section are6773
applicable to notes authorized under this division.6774

       The issuing authority in the bond proceedings authorizing the6775
issuance of bond anticipation notes shall set forth for such bonds6776
an estimated interest rate and a schedule of principal payments6777
for such bonds and the annual maturity dates thereof, and for6778
purposes of any limitation on bond service charges prescribed6779
under division (A) of section 166.11 of the Revised Code, the6780
amount of bond service charges on such bond anticipation notes is6781
deemed to be the bond service charges for the bonds anticipated6782
thereby as set forth in the bond proceedings applicable to such6783
notes, but this provision does not modify any authority in this6784
section to pledge receipts and special funds to, and covenant to6785
issue bonds to fund, the payment of principal of and interest and6786
any premium on such notes.6787

       (N) Obligations issued under this section are lawful6788
investments for banks, societies for savings, savings and loan6789
associations, deposit guarantee associations, trust companies,6790
trustees, fiduciaries, insurance companies, including domestic for6791
life and domestic not for life, trustees or other officers having6792
charge of sinking and bond retirement or other special funds of6793
political subdivisions and taxing districts of this state, the6794
commissioners of the sinking fund of the state, the administrator6795
of workers' compensation, the state teachers retirement system,6796
the public employees retirement system, the school employees6797
retirement system, and the Ohio police and fire pension fund,6798
notwithstanding any other provisions of the Revised Code or rules6799
adopted pursuant thereto by any governmental agency of the state6800
with respect to investments by them, and are also acceptable as6801
security for the deposit of public moneys.6802

       (O) Unless otherwise provided in any applicable bond6803
proceedings, moneys to the credit of or in the special funds6804
established by or pursuant to this section may be invested by or6805
on behalf of the issuing authority only in notes, bonds, or other6806
obligations of the United States, or of any agency or6807
instrumentality of the United States, obligations guaranteed as to6808
principal and interest by the United States, obligations of this6809
state or any political subdivision of this state, and certificates6810
of deposit of any national bank located in this state and any6811
bank, as defined in section 1101.01 of the Revised Code, subject6812
to inspection by the superintendent of banks. If the law or the6813
instrument creating a trust pursuant to division (J) of this6814
section expressly permits investment in direct obligations of the6815
United States or an agency of the United States, unless expressly6816
prohibited by the instrument, such moneys also may be invested in6817
no-front-end-load money market mutual funds consisting exclusively6818
of obligations of the United States or an agency of the United6819
States and in repurchase agreements, including those issued by the6820
fiduciary itself, secured by obligations of the United States or6821
an agency of the United States; and in common trust funds6822
established in accordance with section 1111.20 of the Revised Code6823
and consisting exclusively of any such securities, notwithstanding6824
division (A)(4) of that section. The income from such investments6825
shall be credited to such funds as the issuing authority6826
determines, and such investments may be sold at such times as the6827
issuing authority determines or authorizes.6828

       (P) Provision may be made in the applicable bond proceedings6829
for the establishment of separate accounts in the bond service6830
fund and for the application of such accounts only to the6831
specified bond service charges on obligations pertinent to such6832
accounts and bond service fund and for other accounts therein6833
within the general purposes of such fund. Unless otherwise6834
provided in any applicable bond proceedings, moneys to the credit6835
of or in the several special funds established pursuant to this6836
section shall be disbursed on the order of the treasurer of state,6837
provided that no such order is required for the payment from the6838
bond service fund when due of bond service charges on obligations.6839

       (Q) The issuing authority may pledge all, or such portion as6840
the issuing authority determines, of the pledged receipts to the6841
payment of bond service charges on obligations issued under this6842
section, and for the establishment and maintenance of any6843
reserves, as provided in the bond proceedings, and make other6844
provisions therein with respect to pledged receipts as authorized6845
by this chapter, which provisions are controlling notwithstanding6846
any other provisions of law pertaining thereto.6847

       (R) The issuing authority may covenant in the bond6848
proceedings, and any such covenants are controlling6849
notwithstanding any other provision of law, that the state and6850
applicable officers and governmental agencies of the state,6851
including the general assembly, so long as any obligations are6852
outstanding, shall:6853

       (1) Maintain statutory authority for and cause to be charged6854
and collected wholesale and retail prices for spirituous liquor6855
sold by the state or its agents so that the pledged receipts are6856
sufficient in amount to meet bond service charges, and the6857
establishment and maintenance of any reserves and other6858
requirements provided for in the bond proceedings, and, as6859
necessary, to meet covenants contained in contracts of guarantee6860
made under section 166.06 of the Revised Code;6861

       (2) Take or permit no action, by statute or otherwise, that6862
would impair the exemption from federal income taxation of the6863
interest on the obligations.6864

       (S) There is hereby created the economic development bond6865
service fund, which shall be in the custody of the treasurer of6866
state but shall be separate and apart from and not a part of the6867
state treasury. All moneys received by or on account of the6868
issuing authority or state agencies and required by the applicable6869
bond proceedings, consistent with this section, to be deposited,6870
transferred, or credited to a bond service fund or the economic6871
development bond service fund, and all other moneys transferred or6872
allocated to or received for the purposes of the fund, shall be6873
deposited and credited to such fund and to any separate accounts6874
therein, subject to applicable provisions of the bond proceedings,6875
but without necessity for any act of appropriation. During the6876
period beginning with the date of the first issuance of6877
obligations and continuing during such time as any such6878
obligations are outstanding, and so long as moneys in the6879
pertinent bond service funds are insufficient to pay all bond6880
services charges on such obligations becoming due in each year, a6881
sufficient amount of the gross profit on the sale of spirituous6882
liquor included in pledged receipts are committed and shall be6883
paid to the bond service fund or economic development bond service6884
fund in each year for the purpose of paying the bond service6885
charges becoming due in that year without necessity for further6886
act of appropriation for such purpose and notwithstanding anything6887
to the contrary in Chapter 4301. of the Revised Code. The6888
economic development bond service fund is a trust fund and is6889
hereby pledged to the payment of bond service charges to the6890
extent provided in the applicable bond proceedings, and payment6891
thereof from such fund shall be made or provided for by the6892
treasurer of state in accordance with such bond proceedings6893
without necessity for any act of appropriation.6894

       (T) The obligations, the transfer thereof, and the income6895
therefrom, including any profit made on the sale thereof, shall at6896
all times be free from taxation within the state.6897

       Sec. 173.04.  (A) As used in this section, "respite care"6898
means short-term, temporary care or supervision provided to a6899
person who has Alzheimer's disease in the absence of the person6900
who normally provides that care or supervision.6901

       (B) TheThrough the internet web site maintained by the 6902
department of aging, the director of aging shall develop and6903
disseminate new training materials or disseminate existing6904
Alzheimer's disease training materials for licensed physicians, 6905
registered nurses, licensed practical nurses, administrators of 6906
health care programs, social workers, and other health care and 6907
social service personnel who participate or assist in the care or 6908
treatment of persons who have Alzheimer's disease. The training 6909
materials disseminated through the web site may be developed by 6910
the director or obtained from other sources.6911

       (C) To the extent funds are available, the director shall6912
administer respite care programs and other supportive services for 6913
persons who have Alzheimer's disease and their families or care 6914
givers. Respite care programs shall be approved by the director 6915
and shall be provided for the following purposes:6916

       (1) Giving persons who normally provide care or supervision 6917
for a person who has Alzheimer's disease relief from the stresses 6918
and responsibilities that result from providing such care;6919

       (2) Preventing or reducing inappropriate institutional care 6920
and enabling persons who have Alzheimer's disease to remain at 6921
home as long as possible.6922

       (D) The director may provide services under this section to 6923
persons with Alzheimer's disease and their families regardless of 6924
the age of the persons with Alzheimer's disease.6925

       (E) The director shall adopt rules in accordance with Chapter 6926
119. of the Revised Code governing respite care programs and other 6927
supportive services, the distribution of funds, and the purpose 6928
for which funds may be utilized under this section.6929

       (F) The director may create an Alzheimer's disease task force 6930
to advise the director on the rights of persons with Alzheimer's 6931
disease and on the development and evaluation of education and 6932
training programs, home care programs, respite care programs, and 6933
long-term care initiatives as they relate to Alzheimer's disease. 6934
If a task force is created, the members shall include 6935
representatives of the Alzheimer's disease association and other 6936
organizations the director considers appropriate.6937

       Sec. 173.35.  (A) As used in this section, "PASSPORT6938
administrative agency" means an entity under contract with the6939
department of aging to provide administrative services regarding6940
the PASSPORT program created under section 173.40 of the Revised6941
Code.6942

       (B) The department of aging shall administer the residential6943
state supplement program under which the state supplements the6944
supplemental security income payments received by aged, blind, or6945
disabled adults under Title XVI of the "Social Security Act," 496946
Stat. 620 (1935), 42 U.S.C.A., as amended. Residential state6947
supplement payments shall be used for the provision of6948
accommodations, supervision, and personal care services to6949
supplemental security income recipients who the department6950
determines are at risk of needing institutional care.6951

       (C) For an individual to be eligible for residential state6952
supplement payments, all of the following must be the case:6953

       (1) Except as provided by division (G) of this section, the6954
individual must reside in one of the following:6955

       (a) An adult foster home certified under section 173.36 of6956
the Revised Code;6957

       (b) A home or facility, other than a nursing home or nursing6958
home unit of a home for the aging, licensed by the department of6959
health under Chapter 3721. or 3722. of the Revised Code and 6960
certified in accordance with standards established by the director 6961
of aging under division (D)(2) of this section;6962

       (c) A community alternative home licensed under section6963
3724.03 of the Revised Code and certified in accordance with 6964
standards established by the director of aging under division 6965
(D)(2) of this section;6966

       (d) A residential facility as defined in division6967
(A)(1)(d)(ii) of section 5119.22 of the Revised Code licensed by6968
the department of mental health and certified in accordance with 6969
standards established by the director of aging under division 6970
(D)(2) of this section;6971

       (e) An apartment or room used to provide community mental6972
health housing services certified by the department of mental6973
health under section 5119.611 of the Revised Code and approved by 6974
a board of alcohol, drug addiction, and mental health services6975
under division (A)(14) of section 340.03 of the Revised Code and 6976
certified in accordance with standards established by the director 6977
of aging under division (D)(2) of this section.6978

       (2) Effective July 1, 2000, a PASSPORT administrative agency6979
must have determined that the environment in which the individual6980
will be living while receiving the payments is appropriate for the6981
individual's needs. If the individual is eligible for supplemental 6982
security income payments or social security disability insurance 6983
benefits because of a mental disability, the PASSPORT6984
administrative agency shall refer the individual to a community 6985
mental health agency for the community mental health agency to 6986
issue in accordance with section 340.091 of the Revised Code a 6987
recommendation on whether the PASSPORT administrative agency 6988
should determine that the environment in which the individual will 6989
be living while receiving the payments is appropriate for the6990
individual's needs. Division (C)(2) of this section does not apply6991
to an individual receiving residential state supplement payments 6992
on June 30, 2000, until the individual's first eligibility6993
redetermination after that date.6994

       (3) The individual satisfies all eligibility requirements6995
established by rules adopted under division (D) of this section.6996

       (D)(1) The directors of aging and job and family services 6997
shall adopt rules in accordance with section 111.15 of the Revised 6998
Code as necessary to implement the residential state supplement6999
program.7000

       To the extent permitted by Title XVI of the "Social Security7001
Act," and any other provision of federal law, the director of job7002
and family services shall adopt rules establishing standards for7003
adjusting the eligibility requirements concerning the level of7004
impairment a person must have so that the amount appropriated for7005
the program by the general assembly is adequate for the number of7006
eligible individuals. The rules shall not limit the eligibility of 7007
disabled persons solely on a basis classifying disabilities as7008
physical or mental. The director of job and family services also7009
shall adopt rules that establish eligibility standards for aged,7010
blind, or disabled individuals who reside in one of the homes or7011
facilities specified in division (C)(1) of this section but who,7012
because of their income, do not receive supplemental security7013
income payments. The rules may provide that these individuals may7014
include individuals who receive other types of benefits,7015
including, social security disability insurance benefits provided7016
under Title II of the "Social Security Act," 49 Stat. 620 (1935),7017
42 U.S.C.A. 401, as amended. Notwithstanding division (B) of this7018
section, such payments may be made if funds are available for7019
them.7020

       The director of aging shall adopt rules establishing the7021
method to be used to determine the amount an eligible individual7022
will receive under the program. The amount the general assembly7023
appropriates for the program shall be a factor included in the7024
method that department establishes.7025

       (2) The director of aging shall adopt rules in accordance 7026
with Chapter 119. of the Revised Code establishing standards for 7027
certification of living facilities described in division (C)(1) of 7028
this section.7029

        The directors of aging and mental health shall enter into an 7030
agreement to certify facilities that apply for certification and 7031
meet the standards established by the director of aging under this 7032
division.7033

       (E) The county department of job and family services of the7034
county in which an applicant for the residential state supplement7035
program resides shall determine whether the applicant meets income7036
and resource requirements for the program.7037

       (F) The department of aging shall maintain a waiting list of7038
any individuals eligible for payments under this section but not7039
receiving them because moneys appropriated to the department for7040
the purposes of this section are insufficient to make payments to7041
all eligible individuals. An individual may apply to be placed on7042
the waiting list even though the individual does not reside in one7043
of the homes or facilities specified in division (C)(1) of this7044
section at the time of application. TheIndividuals on the waiting 7045
list who reside in a community setting not required to be licensed 7046
or certified shall have their eligibility for the payments 7047
assessed before other individuals on the waiting list.7048

       The director of aging, by rules adopted in accordance with 7049
Chapter 119. of the Revised Code, shall specify procedures and 7050
requirements for placing an individual on the waiting list. 7051
Individuals on the waiting list who reside in a community setting 7052
not required to be licensed or certified shall have their7053
eligibility for the payments assessed before other individuals on 7054
the waiting list.7055

       The director may adopt rules giving priority to individuals 7056
placed on the waiting list on or after July 1, 2006, who receive 7057
supplemental security income benefits under Title XVI of the 7058
"Social Security Act," 86 Stat. 1475 (1972), 42 U.S.C. 1381, as 7059
amended. The rules shall not affect the place on the waiting list 7060
of any person who was on the list on July 1, 2006.7061

       (G) An individual in a licensed or certified living7062
arrangement receiving state supplementation on November 15, 1990,7063
under former section 5101.531 of the Revised Code shall not become7064
ineligible for payments under this section solely by reason of the7065
individual's living arrangement as long as the individual remains7066
in the living arrangement in which the individual resided on7067
November 15, 1990.7068

       (H) The department of aging shall notify each person denied7069
approval for payments under this section of the person's right to7070
a hearing. On request, the hearing shall be provided by the7071
department of job and family services in accordance with section7072
5101.35 of the Revised Code.7073

       Sec. 173.85.  (A) The Ohio's best Rx program fund is hereby 7074
created. The fund shall be in the custody of the treasurer of 7075
state, but shall not be part of the state treasury. The fund shall 7076
consist of the following:7077

       (1) Manufacturer payments made by participating manufacturers 7078
pursuant to agreements entered into under section 173.81 of the 7079
Revised Code;7080

       (2) Administrative fees, if an administrative fee is 7081
determined by the department of aging in rules adopted under 7082
section 173.83 of the Revised Code;7083

       (3) Any amounts donated to the fund and accepted by the 7084
department;7085

        (4) The fund's investment earnings.7086

       (B) Money in the Ohio's best Rx program fund shall be used to 7087
make payments under section 173.801 of the Revised Code and to 7088
make transfers to the Ohio's best Rx administration fund in 7089
accordance with section 173.86 of the Revised Code.7090

       Sec. 173.86.  (A) The Ohio's best Rx administration fund is 7091
hereby created in the state treasury. The treasurer of state7092
director of budget and management shall transfer from the Ohio's 7093
best Rx program fund to the Ohio's best Rx administration fund 7094
amounts equal to the following:7095

       (1) Amounts resulting from application of the program 7096
administration percentage, if a program administration percentage 7097
is determined by the department of aging in rules adopted under 7098
section 173.83 of the Revised Code;7099

       (2) The amount of the administrative fees charged Ohio's best 7100
Rx participants, if an administrative fee is determined by the 7101
department of aging in rules adopted under section 173.83 of the 7102
Revised Code;7103

       (3) The amount of any donations credited to the Ohio's best 7104
Rx program fund;7105

        (4) The amount of investment earnings credited to the Ohio's 7106
best Rx program fund.7107

       The treasurer of statedirector of budget and management7108
shall make the transfers in accordance with a schedule developed 7109
by the treasurer of statedirector and the department of aging.7110

       (B) The department of aging shall use money in the Ohio's 7111
best Rx administration fund to pay the administrative costs of the 7112
Ohio's best Rx program, including, but not limited to, costs 7113
associated with contracted services, staff, outreach activities, 7114
computers and network services, and the Ohio's best Rx program 7115
council. If the fund includes an amount that exceeds the amount 7116
necessary to pay the administrative costs of the program, the 7117
department may use the excess amount to pay the cost of subsidies 7118
provided to Ohio's best Rx program participants under any subsidy 7119
program established pursuant to section 173.861 of the Revised 7120
Code.7121

       Sec. 174.03.  (A) The department of development and the Ohio7122
housing finance agency shall each develop programs under which, in7123
accordance with rules adopted under this section, they may make7124
grants, loans, loan guarantees, and loan subsidies to counties,7125
municipal corporations, townships, local housing authorities, and7126
nonprofit organizations and may make loans, loan guarantees, and7127
loan subsidies to private developers and private lenders to assist 7128
in activities that provide housing and housing assistance for 7129
specifically targeted low- and moderate-income families and 7130
individuals. There is no minimum housing project size for awards 7131
under this division for any project that is developed for a 7132
special needs population and that is supported by a social service 7133
agency where the housing project is located. Activities for which 7134
grants, loans, loan guarantees, and loan subsidies may be made7135
under this section include all of the following:7136

       (1) Acquiring, financing, constructing, leasing,7137
rehabilitating, remodeling, improving, and equipping publicly or7138
privately owned housing;7139

       (2) Providing supportive services related to housing and the7140
homeless, including housing counseling. Not more than twenty per7141
cent of the current year appropriation authority for the low- and7142
moderate-income housing trust fund that remains after the award of 7143
funds made pursuant to divisions (A)(1), (A)(2), and (A)(3) of 7144
section 174.02 of the Revised Code, shall be awarded in any fiscal7145
year for supportive services.7146

       (3) Providing rental assistance payments or other project7147
operating subsidies that lower tenant rents.7148

       (B) Activities listed under division (A) of this section may 7149
include emergency shelter care programs for unaccompanied youth 7150
seventeen years of age and younger.7151

       (C) Grants, loans, loan guarantees, and loan subsidies may be7152
made to counties, municipal corporations, townships, and nonprofit7153
organizations for the additional purposes of providing technical7154
assistance, design and finance services and consultation, and7155
payment of pre-development and administrative costs related to any7156
of the activities listed above.7157

       (C)(D) In developing programs under this section, the7158
department and the agency shall invite, accept, and consider7159
public comment, and recommendations from the housing trust fund7160
advisory committee created under section 174.06 of the Revised7161
Code, on how the programs should be designed to most effectively7162
benefit low- and moderate-income families and individuals. The7163
programs developed under this section shall respond collectively7164
to housing and housing assistance needs of low- and7165
moderate-income families and individuals statewide.7166

       (D)(E) The department and the agency, in accordance with7167
Chapter 119. of the Revised Code, shall each adopt rules to 7168
administer programs developed under this section. The rules shall 7169
prescribe procedures and forms that counties, municipal 7170
corporations, townships, local housing authorities, and nonprofit 7171
organizations shall use in applying for grants, loans, loan7172
guarantees, and loan subsidies and that private developers and 7173
private lenders shall use in applying for loans, loan guarantees, 7174
and loan subsidies; eligibility criteria for the receipt of funds;7175
procedures for reviewing and granting or denying applications;7176
procedures for paying out funds; conditions on the use of funds;7177
procedures for monitoring the use of funds; and procedures under7178
which a recipient shall be required to repay funds that are7179
improperly used. The rules shall do both of the following:7180

       (1) Require each recipient of a grant or loan made from the7181
low- and moderate-income housing trust fund for activities that 7182
provide, or assist in providing, a rental housing project, to7183
reasonably ensure that the rental housing project will remain7184
affordable to those families and individuals targeted for the7185
rental housing project for the useful life of the rental housing7186
project or for thirty years, whichever is longer;7187

       (2) Require each recipient of a grant or loan made from the7188
low- and moderate-income housing trust fund for activities that 7189
provide, or assist in providing, a housing project to prepare and 7190
implement a plan to reasonably assist any families and individuals 7191
displaced by the housing project in obtaining decent affordable 7192
housing.7193

       (E)(F) In prescribing eligibility criteria and conditions for7194
the use of funds, neither the department nor the agency is limited 7195
to the criteria and conditions specified in this section and each7196
may prescribe additional eligibility criteria and conditions that7197
relate to the purposes for which grants, loans, loan guarantees,7198
and loan subsidies may be made. However, the department and agency 7199
are limited by the following specifically targeted low- and7200
moderate-income guidelines:7201

       (1) Not less than seventy-five per cent of the money granted7202
and loaned under this section in any fiscal year shall be for7203
activities that provide affordable housing and housing assistance 7204
to families and individuals whose incomes are equal to or less 7205
than fifty per cent of the median income for the county in which 7206
they live, as determined by the department under section 174.04 7207
of the Revised Code.7208

       (2) Any money granted and loaned under this section in any 7209
fiscal year that is not granted or loaned pursuant to division 7210
(E)(F)(1) of this section shall be for activities that provide7211
affordable housing and housing assistance to families and7212
individuals whose incomes are equal to or less than eighty per 7213
cent of the median income for the county in which they live, as7214
determined by the department under section 174.04 of the Revised7215
Code.7216

       (F)(G) In making grants, loans, loan guarantees, and loan7217
subsidies under this section, the department and the agency shall7218
give preference to viable projects and activities that benefit 7219
those families and individuals whose incomes are equal to or less 7220
than thirty-five per cent of the median income for the county in 7221
which they live, as determined by the department under section 7222
174.04 of the Revised Code.7223

       (G)(H) The department and the agency shall monitor the 7224
programs developed under this section to ensure that money granted 7225
and loaned under this section is not used in a manner that 7226
violates division (H) of section 4112.02 of the Revised Code or 7227
discriminates against families with children.7228

       Sec. 174.06.  (A) There is hereby created the housing trust7229
fund advisory committee. The committee consists of fourteen7230
members the governor appoints as follows to represent 7231
organizations committed to housing and housing assistance for low- 7232
and moderate-income persons:7233

       (1) One member to represent lenders.7234

       (2) One member to represent for-profit builders and7235
developers.7236

       (3) One member to represent the families and individuals 7237
included in the income groups targeted for housing and housing 7238
assistance under divisions (E) and (F) and (G) of section 174.03 7239
of the Revised Code.7240

       (4) One member to represent religious, civic, or social7241
service organizations.7242

       (5) One member to represent counties.7243

       (6) One member to represent municipal corporations.7244

       (7) One member to represent townships.7245

       (8) One member to represent local housing authorities.7246

       (9) One member to represent fair housing organizations.7247

       (10) Three members to represent nonprofit organizations.7248

       (11) One member to represent real estate brokers licensed 7249
under Chapter 4735. of the Revised Code.7250

       (12) One member to represent the for-profit rental housing 7251
industry.7252

       (B)(1) Terms of office are for four years, with each term7253
ending on the same day of the same month as did the term that it7254
succeeds. Each member shall hold office from the date of 7255
appointment until the end of the term for which the member was 7256
appointed. Vacancies shall be filled in the manner prescribed for 7257
the original appointment. A member appointed to fill a vacancy7258
occurring prior to the expiration of a term shall hold office for 7259
the remainder of that term. A member shall continue in office 7260
subsequent to the expiration of a term until a successor takes 7261
office or until a period of sixty days has elapsed, whichever 7262
occurs first.7263

       (2) The governor may remove a member for misfeasance, 7264
malfeasance, or willful neglect of duty.7265

       (C)(1) The committee shall select a chairperson from among 7266
its members. The committee shall meet at least once each calendar7267
year and upon the call of the chair. Members of the committee 7268
serve without compensation, but shall be reimbursed for reasonable 7269
and necessary expenses incurred in the discharge of duties.7270

       (2) The department of development shall provide the committee7271
with a meeting place, supplies, and staff assistance as the 7272
committee requests.7273

       (D) The committee shall assist the department and the Ohio7274
housing finance agency in defining housing needs and priorities, 7275
recommend to the department and agency at least annually how the 7276
programs developed under section 174.02 of the Revised Code should 7277
be designed to most effectively benefit low- and moderate-income 7278
persons, consider an allocation of funds for projects of fifteen 7279
units or less, and advise the director of development on whether 7280
and how to reallocate money in the low- and moderate-income 7281
housing trust fund under division (B) of section 174.02 of the 7282
Revised Code.7283

       Sec. 183.01.  As used in this chapter:7284

       (A) "Tobacco master settlement agreement" means the 7285
settlement agreement (and related documents) entered into on 7286
November 23, 1998 by the state and leading United States tobacco 7287
product manufacturers.7288

       (B) "Net amounts credited to the tobacco master settlement7289
agreement fund" means all amounts credited to the tobacco master 7290
settlement agreement fund during a fiscal year, minus all amounts7291
required to be transferred under section 183.02 of the Revised7292
Code to the education facilities trust fund, the education 7293
facilities endowment fund, and the income tax reduction fund 7294
during the fiscal year. In addition, in fiscal year 2000, "net 7295
amounts credited to the tobacco master settlement agreement fund" 7296
does not include amounts credited to the tobacco use prevention7297
and cessation trust fund, law enforcement improvements trust fund, 7298
and southern Ohio agricultural and community development trust 7299
fund from the first payment received that year.7300

       (C) "Southern Ohio" includes any county in this state where 7301
tobacco has traditionally been grown.7302

       Sec. 183.021.  (A) No money from the tobacco master7303
settlement agreement fund, as that fund existed prior to the 7304
repeal of section 183.02 of the Revised Code by H.B. 119 of the 7305
127th general assembly, shall be expended to do any of the7306
following:7307

       (1) Hire an executive agency lobbyist, as defined under7308
section 121.60 of the Revised Code, or a legislative agent, as7309
defined under section 101.70 of the Revised Code;7310

       (2) Support or oppose candidates, ballot questions,7311
referendums, or ballot initiatives.7312

       (B) Nothing in this section prohibits any of the following7313
from advocating on behalf of the specific objectives of a program7314
funded under this chapter:7315

       (1) The members of the board of trustees, executive director, 7316
or employees of the tobacco use prevention and control foundation;7317

       (2) The members of the board of trustees, executive director, 7318
or employees of the southern Ohio agricultural and community7319
development foundation;7320

       (3) The members or employees of the third frontier commission 7321
or the members of the third frontier advisory board.7322

       Sec. 183.17.  The fiscal year of the southern Ohio7323
agricultural and community development foundation shall be the7324
same as the fiscal year of the state.7325

       Within ninety days after the end of each fiscal year, the7326
foundation shall submit to the governor and the general assembly7327
both of the following:7328

       (A) A report of the activities of the foundation during the7329
preceding fiscal year. The report shall also contain an7330
independent evaluation of the progress being made by the7331
foundation in carrying out its duties.7332

       (B) A financial report of the foundation for the preceding7333
year, which shall include both:7334

       (1) Information on the amount and percentage of overhead and7335
administrative expenditures compared to programmatic expenditures;7336

       (2) An independent auditor's report on the basic financial7337
statements and required supplementary information of the7338
foundation. Such financial statements shall be prepared in7339
conformity with generally accepted accounting principles7340
prescribed for governmental entities.7341

       On or before July 1, 2010, the foundation shall report to the7342
governor and the general assembly on the progress that the7343
foundation has made in replacing the production of tobacco in7344
southern Ohio with the production of other agricultural products7345
and in mitigating the adverse economic impact of reduced tobacco7346
production in the region. If the foundation concludes that a need7347
for additional funding still exists, the foundation may request7348
that provision be made for a portion of the payments credited to7349
the tobacco master settlement agreement fund to continue to be7350
transferred to the southern Ohio agricultural and community7351
development trust fund.7352

       Sec. 183.33.  No money shall be appropriated or transferred 7353
from the general revenue fund to the tobacco master settlement 7354
agreement fund, tobacco use prevention and cessation trust fund, 7355
tobacco use prevention and control endowment fund, law enforcement7356
improvements trust fund, southern Ohio agricultural and community7357
development trust fund, southern Ohio agricultural and community7358
development foundation endowment fund, Ohio's public health7359
priorities trust fund, biomedical research and technology transfer7360
trust fund, education facilities trust fund, education facilities7361
endowment fund, or education technology trust fund. In addition,7362
no money shall be otherwise appropriated or transferred from the7363
general revenue fund for the use of the tobacco use prevention and7364
control foundation or the southern Ohio agricultural and community7365
development foundation.7366

       Sec. 183.34. There is hereby created in the state treasury7367
the tobacco settlement oversight, administration, and enforcement7368
fund, to which shall be creditedconsist of amounts transferred 7369
under division (I) of section 183.02 of the Revised Code prior to 7370
the repeal of that section by H.B. 119 of the 127th general 7371
assembly. The attorney general shall use the fund to pay costs 7372
incurred in the oversight, administration, and enforcement of the 7373
tobacco master settlement agreement.7374

       Sec. 183.35. There is hereby created in the state treasury7375
the tobacco settlement enforcement fund, to which shall be7376
creditedconsist of amounts transferred under division (J) of 7377
section 183.02 of the Revised Code prior to the repeal of that 7378
section by H.B. 119 of the 127th general assembly. The tax 7379
commissioner shall use the fund to pay costs incurred in the 7380
enforcement of divisions (F) and (G) of section 5743.03 of the 7381
Revised Code.7382

       Sec. 183.51. (A) As used in this section and in the 7383
applicable bond proceedings unless otherwise provided:7384

       (1) "Bond proceedings" means the resolutions, orders, 7385
indentures, purchase and sale and trust and other agreements 7386
including any amendments or supplements to them, and credit 7387
enhancement facilities, and amendments and supplements to them, or 7388
any one or more or combination of them, authorizing, awarding, or 7389
providing for the terms and conditions applicable to or providing 7390
for the security or liquidity of, the particular obligations, and 7391
the provisions contained in those obligations.7392

       (2) "Bond service fund" means the bond service fund created 7393
in the bond proceedings for the obligations.7394

       (3) "Capital facilities" means, as applicable, capital 7395
facilities or projects as referred to in sections 151.03, 151.04, 7396
152.09, 152.33, 154.20, or 154.22 of the Revised Code.7397

       (4) "Consent decree" means the consent decree and final 7398
judgment entered November 25, 1998, in the court of common pleas 7399
of Franklin county, Ohio, as the same may be amended or 7400
supplemented from time to time.7401

        (5) "Cost of capital facilities" has the same meaning as in 7402
section 151.01, 152.09, or 154.01 of the Revised Code, as 7403
applicable.7404

       (6) "Credit enhancement facilities," "financing costs," and 7405
"interest" or "interest equivalent" have the same meanings as in 7406
section 133.01 of the Revised Code.7407

       (7) "Debt service" means principal, including any mandatory 7408
sinking fund or redemption requirements for retirement of 7409
obligations, interest and other accreted amounts, interest 7410
equivalent, and any redemption premium, payable on obligations. If 7411
not prohibited by the applicable bond proceedings, "debt service" 7412
may include costs relating to credit enhancement facilities that 7413
are related to and represent, or are intended to provide a source 7414
of payment of or limitation on, other debt service.7415

       (8) "Improvement fund" means, as applicable, the school 7416
building program assistance fund created in section 3318.25 of the 7417
Revised Code, the higher education improvement fund created in 7418
section 154.21 of the Revised Code, the mental health facilities 7419
improvement fund created in section 154.20 of the Revised Code, 7420
the parks and recreation improvement fund created in section 7421
154.22 of the Revised Code, the administrative building fund 7422
created in section 123.10 of the Revised Code, and the adult 7423
correctional building fund referred to in section 5120.105 of the 7424
Revised Code.7425

       (9) "Issuing authority" means the Ohio tobacco settlement 7426
financing authority created in section 183.52 of the Revised Code.7427

       (10) "Net proceeds" means amounts received from the sale of 7428
obligations, excluding amounts used to refund or retire 7429
outstanding obligations, amounts required to be deposited into 7430
special funds pursuant to the applicable bond proceedings, and 7431
amounts to be used to pay financing costs.7432

       (11) "Obligations" means bonds, notes, or other evidences of 7433
obligation of the issuing authority, including any appertaining 7434
interest coupons, issued by the issuing authority under this 7435
section and Section 2i of Article VIII, Ohio Constitution, for the 7436
purpose of providing funds to the state, in exchange for the 7437
assignment and sale described in division (B) of this section, for 7438
the purpose of paying costs of capital facilities for: (a) housing 7439
branches and agencies of state government, including but not 7440
limited to facilities for housing state agencies, for a system of 7441
common schools throughout the state, and for use as state 7442
correctional facilities or county, multicounty, municipal-county, 7443
and multicounty-municipal jail facilities or workhouses; (b) 7444
state-supported or state-assisted institutions of higher 7445
education; (c) mental hygiene and retardation; and (d) parks and 7446
recreation.7447

       (12) "Pledged receipts" means, as and to the extent provided 7448
for in the applicable bond proceedings:7449

       (a) Pledged tobacco settlement receipts;7450

       (b) Accrued interest received from the sale of obligations;7451

       (c) Income from the investment of the special funds;7452

       (d) Additional or any other specific revenues or receipts 7453
lawfully available to be pledged, and pledged, pursuant to the 7454
bond proceedings, including but not limited to amounts received 7455
under credit enhancement facilities, to the payment of debt 7456
service.7457

       (13) "Pledged tobacco settlement receipts" means all amounts 7458
received by the issuing authority pursuant to division (B) of this 7459
section.7460

       (14) "Principal amount" means the aggregate of the amount as 7461
stated or provided for in the applicable bond proceedings as the 7462
amount on which interest or interest equivalent on particular 7463
obligations is initially calculated. "Principal amount" does not 7464
include any premium paid to the issuing authority by the initial 7465
purchaser of the obligations. "Principal amount" of a capital 7466
appreciation bond, as defined in division (C) of section 3334.01 7467
of the Revised Code, means its original face amount and not its 7468
accreted value, and "principal amount" of a zero coupon bond, as 7469
defined in division (J) of section 3334.01 of the Revised Code, 7470
means the discounted offering price at which the bond is initially 7471
sold to the public, disregarding any purchase price discount to 7472
the original purchaser, if provided in or for pursuant to the bond 7473
proceedings.7474

       (15) "Special funds" or "funds," unless the context indicates 7475
otherwise, means the bond service fund, and any other funds, 7476
including any reserve funds, created under the bond proceedings 7477
and stated to be special funds in those proceedings, including 7478
moneys and investments, and earnings from investments, credited 7479
and to be credited to the particular fund. "Special funds" does 7480
not include any improvement fund or investment earnings on amounts 7481
in any improvement fund, or other funds created by the bond 7482
proceedings that are not stated by those proceedings to be special 7483
funds.7484

       (B) The state may assign and sell to the issuing authority, 7485
and the issuing authority may accept and purchase, all or a 7486
portion of the amounts to be received by the state under the 7487
tobacco master settlement agreement for a purchase price payable 7488
by the issuing authority to the state consisting of the net 7489
proceeds of obligations and any residual interest, if any. Any 7490
such assignment and sale shall be irrevocable in accordance with 7491
its terms during the period any obligations secured by amounts so 7492
assigned and sold are outstanding under the applicable bond 7493
proceedings, and shall constitute a contractual obligation to the 7494
holders or owners of those obligations. Any such assignment and 7495
sale shall also be treated as an absolute transfer and true sale 7496
for all purposes, and not as a pledge or other security interest. 7497
The characterization of any such assignment and sale as a true 7498
sale and absolute transfer shall not be negated or adversely 7499
affected by only a portion of the amounts to be received under the 7500
tobacco master settlement agreement being transferred, the 7501
acquisition or retention by the state of a residual interest, the 7502
participation of any state officer or employee as a member or 7503
officer of, or providing staff support to, the issuing authority, 7504
any responsibility of an officer or employee of the state for 7505
collecting the amounts to be received under the tobacco master 7506
settlement agreement or otherwise enforcing that agreement or 7507
retaining any legal title to or interest in any portion of the 7508
amounts to be received under that agreement for the purpose of 7509
these collection activities, any characterization of the issuing 7510
authority or its obligations for purposes of accounting, taxation, 7511
or securities regulation, or by any other factors whatsoever. A 7512
true sale shall exist under this section regardless of whether the 7513
issuing authority has any recourse against the state or any other 7514
term of the bond proceedings or the treatment or characterization 7515
of the transfer as a financing for any purpose. Upon and following 7516
the assignment and sale, the state shall not have any right, 7517
title, or interest in the portion of the receipts under the 7518
tobacco master settlement agreement so assigned and sold, other 7519
than any residual interest that may be described in the applicable 7520
bond proceedings for those obligations, and that portion, if any, 7521
shall be the property of the issuing authority and not of the 7522
state, and shall be paid directly to the issuing authority, and 7523
shall be owned, received, held, and disbursed by the issuing 7524
authority and not by the state. 7525

       The state may covenant, pledge, and agree in the bond 7526
proceedings, with and for the benefit of the issuing authority, 7527
the holders and owners of obligations, and providers of any credit 7528
enhancement facilities, that it shall: (1) maintain statutory 7529
authority for, and cause to be collected and paid directly to the 7530
issuing authority or its assignee, the pledged receipts, (2) 7531
enforce the rights of the issuing authority to receive the 7532
receipts under the tobacco master settlement agreement assigned 7533
and sold to the issuing authority, (3) not limit or alter the 7534
rights of the issuing authority to fulfill the terms of its 7535
agreements with the holders or owners of obligations outstanding 7536
under the bond proceedings, (4) not in any way impair the rights 7537
and remedies of the holders or owners of obligations outstanding 7538
under the bond proceedings or impair the security for those 7539
obligations, and (5) enforce Chapter 1346. of the Revised Code, 7540
the tobacco master settlement agreement, and the consent decree to 7541
effectuate the collection of the pledged tobacco settlement 7542
receipts.7543

        The bond proceedings may also include such other covenants, 7544
pledges, and agreements by the state to protect and safeguard the 7545
security and rights of the holders and owners of the obligations, 7546
and of the providers of any credit enhancement facilities, 7547
including, without limiting the generality of the foregoing, any 7548
covenant, pledge, or agreement customary in transactions involving 7549
the issuance of securities the debt service on which is payable 7550
from or secured by amounts received under the tobacco master 7551
settlement agreement. Notwithstanding any other provision of law, 7552
any covenant, pledge, and agreement of the state, if and when made 7553
in the bond proceedings, shall be controlling and binding upon, 7554
and enforceable against the state in accordance with its terms for 7555
so long as any obligations are outstanding under the applicable 7556
bond proceedings. The bond proceedings may also include 7557
limitations on the remedies available to the issuing authority, 7558
the holders and owners of the obligations, and the providers of 7559
any credit enhancement facilities, including, without limiting the 7560
generality of the foregoing, a provision that those remedies may 7561
be limited to injunctive relief in circumstances where there has 7562
been no prior determination by a court of competent jurisdiction 7563
that the state has not enforced Chapter 1346. of the Revised Code, 7564
the tobacco master settlement agreement, or the consent decree as 7565
may have been covenanted or agreed in the bond proceedings under 7566
division (B)(5) of this section.7567

        Nothing in this section or the bond proceedings shall 7568
preclude or limit, or be construed to preclude or limit, the state 7569
from regulating or authorizing or permitting the regulation of 7570
smoking or from taxing and regulating the sale of cigarettes or 7571
other tobacco products, or from defending or prosecuting cases or 7572
other actions relating to the sale or use of cigarettes or other 7573
tobacco products. Except as otherwise may be agreed in writing by 7574
the attorney general, nothing in this section or the bond 7575
proceedings shall modify or limit, or be construed to modify or 7576
limit, the responsibility, power, judgment, and discretion of the 7577
attorney general to protect and discharge the duties, rights, and 7578
obligations of the state under the tobacco master settlement 7579
agreement, the consent decree, or Chapter 1346. of the Revised 7580
Code.7581

       The governor and the director of budget and management, in 7582
consultation with the attorney general, on behalf of the state, 7583
and any member or officer of the issuing authority as authorized 7584
by that issuing authority, on behalf of the issuing authority, may 7585
take any action and execute any documents, including any purchase 7586
and sale agreements, necessary to effect the assignment and sale 7587
and the acceptance of the assignment and title to the receipts 7588
including, providing irrevocable direction to the escrow agent 7589
acting under the tobacco master settlement agreement to transfer 7590
directly to the issuing authority the amounts to be received under 7591
that agreement that are subject to such assignment and sale. Any 7592
purchase and sale agreement or other bond proceedings may contain 7593
the terms and conditions established by the state and the issuing 7594
authority to carry out and effectuate the purposes of this 7595
section, including, without limitation, covenants binding the 7596
state in favor of the issuing authority and its assignees and the 7597
owners of the obligations. Any such purchase and sale agreement 7598
shall be sufficient to effectuate such purchase and sale without 7599
regard to any other laws governing other property sales or 7600
financial transactions by the state.7601

       Not later than two years following the date on which there 7602
are no longer any obligations outstanding under the bond 7603
proceedings, all assets of the issuing authority shall vest in the 7604
state, the issuing authority shall execute any necessary 7605
assignments or instruments, including any assignment of any right, 7606
title, or ownership to the state for receipt of amounts under the 7607
tobacco master settlement agreement, and the issuing authority 7608
shall be dissolved.7609

       (C) The issuing authority is authorized to issue and to sell 7610
obligations as provided in this section. The aggregate principal 7611
amount of obligations issued under this section shall not exceed 7612
six billion dollars, exclusive of obligations issued under 7613
division (M)(1) of this section to refund, renew, or advance 7614
refund other obligations issued or incurred. At least seventy-five 7615
per cent of the aggregate net proceeds of the obligations issued 7616
under the authority of this section, exclusive of obligations 7617
issued to refund, renew, or advance refund other obligations, 7618
shall be paid to the state for deposit into the school building 7619
program assistance fund created in section 3318.25 of the Revised 7620
Code.7621

       (D) Each issue of obligations shall be authorized by 7622
resolution or order of the issuing authority. The bond proceedings 7623
shall provide for or authorize the manner for determining the 7624
principal amount or maximum principal amount of obligations of an 7625
issue, the principal maturity or maturities, the interest rate or 7626
rates, the date of and the dates of payment of interest on the 7627
obligations, their denominations, and the place or places of 7628
payment of debt service which may be within or outside the state. 7629
Unless otherwise provided by law, the latest principal maturity 7630
may not be later than the earlier of the thirty-first day of 7631
December of the fiftieth calendar year after the year of issuance 7632
of the particular obligations or of the fiftieth calendar year 7633
after the year in which the original obligation to pay was issued 7634
or entered into. Sections 9.96, 9.98, 9.981, 9.982, and 9.983 of 7635
the Revised Code apply to the obligations.7636

       The purpose of the obligations may be stated in the bond 7637
proceedings in general terms, such as, as applicable, "paying 7638
costs of capital facilities for a system of common schools," 7639
"paying costs of facilities for state-supported and state-assisted 7640
institutions of higher education," "paying the cost of capital 7641
facilities for housing of branches and agencies of state 7642
government, including capital facilities for the purpose of 7643
housing personnel, equipment, or functions, or any combination 7644
thereof that the state agencies are responsible for housing," 7645
"paying costs of capital facilities for use as state correctional 7646
facilities or county, multicounty, municipal-county, and 7647
multicounty-municipal jail facilities or workhouses, or as single 7648
county or district community-based correctional facilities," 7649
"paying costs of capital facilities for mental hygiene and 7650
retardation," and "paying costs of capital facilities for parks 7651
and recreation." Unless otherwise provided in the bond proceedings 7652
or in division (C) of this section, the net proceeds from the 7653
issuance of the obligations shall be paid to the state for deposit 7654
into the applicable improvement fund. Notwithstanding division 7655
(B)(4) of section 3318.38 of the Revised Code, net proceeds of 7656
obligations deposited into the school building program assistance 7657
fund created in section 3318.25 of the Revised Code may be used to 7658
pay basic project costs under section 3318.38 of the Revised Code 7659
at the times determined by the Ohio school facilities commission 7660
without regard to whether those expenditures are in proportion to 7661
the state's and the school district's respective shares of that 7662
basic project cost. As used in the preceding sentence, "Ohio 7663
school facilities commission" and "basic project costs" have the 7664
same meanings as in section 3318.01 of the Revised Code.7665

       (E) The issuing authority may, without need for any other 7666
approval, appoint or provide for the appointment of paying agents, 7667
bond registrars, securities depositories, credit enhancement 7668
providers or counterparties, clearing corporations, and transfer 7669
agents, and retain or contract for the services of underwriters, 7670
investment bankers, financial advisers, accounting experts, 7671
marketing, remarketing, indexing, and administrative agents, other 7672
consultants, and independent contractors, including printing 7673
services, as are necessary in the judgment of the issuing 7674
authority to carry out the issuing authority's functions under 7675
this section and section 183.52 of the Revised Code. The attorney 7676
general as counsel to the issuing authority shall represent the 7677
authority in the execution of its powers and duties, and shall 7678
institute and prosecute all actions on its behalf. The issuing 7679
authority and the attorney general shall work together to arrange 7680
for the appointment of counsel who shall be appointed by the 7681
attorney general, after receipt of recommendations from the 7682
issuing authority, for the purposes of carrying out the functions 7683
under this section and related sections of the Revised Code. 7684
Financing costs are payable, as may be provided in the bond 7685
proceedings, from the proceeds of the obligations, from special 7686
funds, or from other moneys available for the purpose, including 7687
as to future financing costs, from the pledged receipts.7688

       (F) The issuing authority may irrevocably pledge and assign 7689
all, or such portion as the issuing authority determines, of the 7690
pledged receipts to the payment of the debt service charges on 7691
obligations issued under this section, and for the establishment 7692
and maintenance of any reserves, as provided in the bond 7693
proceedings, and make other provisions in the bond proceedings 7694
with respect to pledged receipts as authorized by this section, 7695
which provisions are controlling notwithstanding any other 7696
provisions of law pertaining to them. Any and all pledged receipts 7697
received by the issuing authority and required by the bond 7698
proceedings, consistent with this section, to be deposited, 7699
transferred, or credited to the bond service fund, and all other 7700
money transferred or allocated to or received for the purposes of 7701
that fund, shall be deposited and credited to the bond service 7702
fund created in the bond proceedings for the obligations, subject 7703
to any applicable provisions of those bond proceedings, but 7704
without necessity for any act of appropriation. Those pledged 7705
receipts shall immediately be subject to the lien of that pledge 7706
without any physical delivery thereof or further act, and shall 7707
not be subject to other court judgments. The lien of the pledge of 7708
those pledged receipts shall be valid and binding against all 7709
parties having claims of any kind against the issuing authority, 7710
irrespective of whether those parties have notice thereof. The 7711
pledge shall create a perfected security interest for all purposes 7712
of Chapter 1309. of the Revised Code and a perfected lien for 7713
purposes of any other interest, all without the necessity for 7714
separation or delivery of funds or for the filing or recording of 7715
the applicable bond proceedings by which that pledge is created or 7716
any certificate, statement, or other document with respect 7717
thereto. The pledge of the pledged receipts shall be effective and 7718
the money therefrom and thereof may be applied to the purposes for 7719
which pledged.7720

       (G) Obligations may be further secured, as determined by the 7721
issuing authority, by an indenture or a trust agreement between 7722
the issuing authority and a corporate trustee, which may be any 7723
trust company or bank having a place of business within the state. 7724
Any indenture or trust agreement may contain the resolution or 7725
order authorizing the issuance of the obligations, any provisions 7726
that may be contained in any bond proceedings, and other 7727
provisions that are customary or appropriate in an agreement of 7728
that type, including, but not limited to:7729

       (1) Maintenance of each pledge, indenture, trust agreement, 7730
or other instrument comprising part of the bond proceedings until 7731
the issuing authority has fully paid or provided for the payment 7732
of debt service on the obligations secured by it;7733

       (2) In the event of default in any payments required to be 7734
made by the bond proceedings, enforcement of those payments or 7735
agreements by mandamus, the appointment of a receiver, suit in 7736
equity, action at law, or any combination of them;7737

       (3) The rights and remedies of the holders or owners of 7738
obligations and of the trustee and provisions for protecting and 7739
enforcing them, including limitations on rights of individual 7740
holders and owners.7741

       (H) The bond proceedings may contain additional provisions 7742
customary or appropriate to the financing or to the obligations or 7743
to particular obligations including, but not limited to, 7744
provisions for:7745

       (1) The redemption of obligations prior to maturity at the 7746
option of the issuing authority or of the holder or upon the 7747
occurrence of certain conditions, and at a particular price or 7748
prices and under particular terms and conditions;7749

       (2) The form of and other terms of the obligations;7750

       (3) The establishment, deposit, investment, and application 7751
of special funds, and the safeguarding of moneys on hand or on 7752
deposit, in lieu of the applicability of provisions of Chapter 7753
131. or 135. of the Revised Code, but subject to any special 7754
provisions of this section with respect to the application of 7755
particular funds or moneys. Any financial institution that acts as 7756
a depository of any moneys in special funds or other funds under 7757
the bond proceedings may furnish indemnifying bonds or pledge 7758
securities as required by the issuing authority.7759

       (4) Any or every provision of the bond proceedings being 7760
binding upon the issuing authority and upon such governmental 7761
agency or entity, officer, board, authority, agency, department, 7762
institution, district, or other person or body as may from time to 7763
time be authorized to take actions as may be necessary to perform 7764
all or any part of the duty required by the provision;7765

       (5) The maintenance of each pledge or instrument comprising 7766
part of the bond proceedings until the issuing authority has fully 7767
paid or provided for the payment of the debt service on the 7768
obligations or met other stated conditions;7769

       (6) In the event of default in any payments required to be 7770
made by the bond proceedings, or by any other agreement of the 7771
issuing authority made as part of a contract under which the 7772
obligations were issued or secured, including a credit enhancement 7773
facility, the enforcement of those payments by mandamus, a suit in 7774
equity, an action at law, or any combination of those remedial 7775
actions;7776

       (7) The rights and remedies of the holders or owners of 7777
obligations or of book-entry interests in them, and of third 7778
parties under any credit enhancement facility, and provisions for 7779
protecting and enforcing those rights and remedies, including 7780
limitations on rights of individual holders or owners;7781

       (8) The replacement of mutilated, destroyed, lost, or stolen 7782
obligations;7783

       (9) The funding, refunding, or advance refunding, or other 7784
provision for payment, of obligations that will then no longer be 7785
outstanding for purposes of this section or of the applicable bond 7786
proceedings;7787

       (10) Amendment of the bond proceedings;7788

       (11) Any other or additional agreements with the owners of 7789
obligations, and such other provisions as the issuing authority 7790
determines, including limitations, conditions, or qualifications, 7791
relating to any of the foregoing or the activities of the issuing 7792
authority in connection therewith.7793

       The bond proceedings shall make provision for the payment of 7794
the expenses of the enforcement activity of the attorney general 7795
referred to in division (B) of this section from the amounts from 7796
the tobacco master settlement agreement assigned and sold to the 7797
issuing authority under that division or from the proceeds of 7798
obligations, or a combination thereof, which may include provision 7799
for both annual payments and a special fund providing reserve 7800
amounts for the payment of those expenses.7801

       The issuing authority shall not, and shall covenant in the 7802
bond proceedings that it shall not, be authorized to and shall not 7803
file a voluntary petition under the United States Bankruptcy Code, 7804
11 U.S.C. 101 et seq., as amended, or voluntarily commence any 7805
similar bankruptcy proceeding under state law including, without 7806
limitation, consenting to the appointment of a receiver or trustee 7807
or making a general or specific assignment for the benefit of 7808
creditors, and neither any public officer or any organization, 7809
entity, or other person shall authorize the issuing authority to 7810
be or become a debtor under the United States Bankruptcy Code or 7811
take any of those actions under the United States Bankruptcy Code 7812
or state law. The state hereby covenants, and the issuing 7813
authority shall covenant, with the holders or owners of the 7814
obligations, that the state shall not permit the issuing authority 7815
to file a voluntary petition under the United States Bankruptcy 7816
Code or take any of those actions under the United States 7817
Bankruptcy Code or state law during the period obligations are 7818
outstanding and for any additional period for which the issuing 7819
authority covenants in the bond proceedings, which additional 7820
period may, but need not, be a period of three hundred sixty-seven 7821
days or more.7822

       (I) The obligations requiring execution by or for the issuing 7823
authority shall be signed as provided in the bond proceedings, and 7824
may bear the official seal of the issuing authority or a facsimile 7825
thereof. Any obligation may be signed by the individual who, on 7826
the date of execution, is the authorized signer even though, on 7827
the date of the obligations, that individual is not an authorized 7828
signer. In case the individual whose signature or facsimile 7829
signature appears on any obligation ceases to be an authorized 7830
signer before delivery of the obligation, that signature or 7831
facsimile is nevertheless valid and sufficient for all purposes as 7832
if that individual had remained the authorized signer until 7833
delivery.7834

       (J) Obligations are investment securities under Chapter 1308. 7835
of the Revised Code. Obligations may be issued in bearer or in 7836
registered form, registrable as to principal alone or as to both 7837
principal and interest, or both, or in certificated or 7838
uncertificated form, as the issuing authority determines. 7839
Provision may be made for the exchange, conversion, or transfer of 7840
obligations and for reasonable charges for registration, exchange, 7841
conversion, and transfer. Pending preparation of final 7842
obligations, the issuing authority may provide for the issuance of 7843
interim instruments to be exchanged for the final obligations.7844

       (K) Obligations may be sold at public sale or at private 7845
sale, in such manner, and at such price at, above, or below par, 7846
all as determined by and provided by the issuing authority in the 7847
bond proceedings.7848

       (L) Except to the extent that rights are restricted by the 7849
bond proceedings, any owner of obligations or provider of or 7850
counterparty to a credit enhancement facility may by any suitable 7851
form of legal proceedings protect and enforce any rights relating 7852
to obligations or that facility under the laws of this state or 7853
granted by the bond proceedings. Those rights include the right to 7854
compel the performance of all applicable duties of the issuing 7855
authority and the state. Each duty of the issuing authority and 7856
that issuing authority's officers, staff, and employees, and of 7857
each state entity or agency, or using district or using 7858
institution, and its officers, members, staff, or employees, 7859
undertaken pursuant to the bond proceedings, is hereby established 7860
as a duty of the entity or individual having authority to perform 7861
that duty, specifically enjoined by law and resulting from an 7862
office, trust, or station within the meaning of section 2731.01 of 7863
the Revised Code. The individuals who are from time to time 7864
members of the issuing authority, or their designees acting 7865
pursuant to section 183.52 of the Revised Code, or the issuing 7866
authority's officers, staff, agents, or employees, when acting 7867
within the scope of their employment or agency, shall not be 7868
liable in their personal capacities on any obligations or 7869
otherwise under the bond proceedings, or for otherwise exercising 7870
or carrying out any purposes or powers of the issuing authority.7871

       (M)(1) Subject to any applicable limitations in division (C) 7872
of this section, the issuing authority may also authorize and 7873
provide for the issuance of:7874

       (a) Obligations in the form of bond anticipation notes, and 7875
may authorize and provide for the renewal of those notes from time 7876
to time by the issuance of new notes. The holders of notes or 7877
appertaining interest coupons have the right to have debt service 7878
on those notes paid solely from the moneys and special funds, and 7879
all or any portion of the pledged receipts, that are or may be 7880
pledged to that payment, including the proceeds of bonds or 7881
renewal notes or both, as the issuing authority provides in the 7882
bond proceedings authorizing the notes. Notes may be additionally 7883
secured by covenants of the issuing authority to the effect that 7884
the issuing authority will do all things necessary for the 7885
issuance of bonds or renewal notes in such principal amount and 7886
upon such terms as may be necessary to provide moneys to pay when 7887
due the debt service on the notes, and apply their proceeds to the 7888
extent necessary, to make full and timely payment of debt service 7889
on the notes as provided in the applicable bond proceedings. In 7890
the bond proceedings authorizing the issuance of bond anticipation 7891
notes the issuing authority shall set forth for the bonds 7892
anticipated an estimated schedule of annual principal payments the 7893
latest of which shall be no later than provided in division (D) of 7894
this section. While the notes are outstanding there shall be 7895
deposited, as shall be provided in the bond proceedings for those 7896
notes, from the sources authorized for payment of debt service on 7897
the bonds, amounts sufficient to pay the principal of the bonds 7898
anticipated as set forth in that estimated schedule during the 7899
time the notes are outstanding, which amounts shall be used solely 7900
to pay the principal of those notes or of the bonds anticipated.7901

       (b) Obligations for the refunding, including funding and 7902
retirement, and advance refunding, with or without payment or 7903
redemption prior to maturity, of any obligations previously issued 7904
under this section and any bonds or notes previously issued for 7905
the purpose of paying costs of capital facilities for: (i) 7906
state-supported or state-assisted institutions of higher education 7907
as authorized by sections 151.01 and 151.04 of the Revised Code, 7908
pursuant to Sections 2i and 2n of Article VIII, Ohio Constitution; 7909
(ii) housing branches and agencies of state government, including 7910
but not limited to facilities for housing state agencies as 7911
authorized by section 152.09 of the Revised Code, pursuant to 7912
Section 2i of Article VIII, Ohio Constitution, for a system of 7913
common schools throughout the state as authorized by sections 7914
151.01 and 151.03 of the Revised Code, pursuant to Sections 2i and 7915
2n of Article VIII, Ohio Constitution, and for use as state 7916
correctional facilities or county, multicounty, municipal-county, 7917
and multicounty-municipal jail facilities or workhouses as 7918
authorized by section 152.33 of the Revised Code, pursuant to 7919
Section 2i of Article VIII, Ohio Constitution; (iii) mental 7920
hygiene and retardation as authorized by sections 154.01 and 7921
154.20 of the Revised Code, pursuant to Section 2i of Article 7922
VIII, Ohio Constitution; and (iv) parks and recreation as 7923
authorized by sections 154.01 and 154.22 of the Revised Code, 7924
pursuant to Section 2i of Article VIII, Ohio Constitution. 7925
Refunding obligations may be issued in amounts sufficient to pay 7926
or to provide for repayment of the principal amount, including 7927
principal amounts maturing prior to the redemption of the 7928
remaining prior obligations or bonds or notes, any redemption 7929
premium, and interest accrued or to accrue to the maturity or 7930
redemption date or dates, payable on the prior obligations or 7931
bonds or notes, and related financing costs and any expenses 7932
incurred or to be incurred in connection with that issuance and 7933
refunding. Subject to the applicable bond proceedings, the portion 7934
of the proceeds of the sale of refunding obligations issued under 7935
division (M)(1)(b) of this section to be applied to debt service 7936
on the prior obligations or bonds or notes shall be credited to an 7937
appropriate separate account in the bond service fund and held in 7938
trust for the purpose by the issuing authority or by a corporate 7939
trustee, and may be invested as provided in the bond proceedings. 7940
Obligations authorized under this division shall be considered to 7941
be issued for those purposes for which the prior obligations or 7942
bonds or notes were issued.7943

       (2) The principal amount of refunding, advance refunding, or 7944
renewal obligations issued pursuant to division (M) of this 7945
section shall be in addition to the amount authorized in division 7946
(C) of this section.7947

       (N) Obligations are lawful investments for banks, savings and 7948
loan associations, credit union share guaranty corporations, trust 7949
companies, trustees, fiduciaries, insurance companies, including 7950
domestic for life and domestic not for life, trustees or other 7951
officers having charge of sinking and bond retirement or other 7952
special funds of the state and political subdivisions and taxing 7953
districts of this state, notwithstanding any other provisions of 7954
the Revised Code or rules adopted pursuant to those provisions by 7955
any state agency with respect to investments by them, and are also 7956
acceptable as security for the repayment of the deposit of public 7957
moneys. The exemptions from taxation in Ohio as provided for in 7958
particular sections of the Ohio Constitution and section 5709.76 7959
of the Revised Code apply to the obligations.7960

       (O)(1) Unless otherwise provided or provided for in any 7961
applicable bond proceedings, moneys to the credit of or in a 7962
special fund shall be disbursed on the order of the issuing 7963
authority. No such order is required for the payment, from the 7964
bond service fund or other special fund, when due of debt service 7965
or required payments under credit enhancement facilities.7966

       (2) Payments received by the issuing authority under interest 7967
rate hedges entered into as credit enhancement facilities under 7968
this section shall be deposited as provided in the applicable bond 7969
proceedings.7970

       (P) The obligations shall not be general obligations of the 7971
state and the full faith and credit, revenue, and taxing power of 7972
the state shall not be pledged to the payment of debt service on 7973
them or to any guarantee of the payment of that debt service. The 7974
holders or owners of the obligations shall have no right to have 7975
any moneys obligated or pledged for the payment of debt service 7976
except as provided in this section and in the applicable bond 7977
proceedings. The rights of the holders and owners to payment of 7978
debt service are limited to all or that portion of the pledged 7979
receipts, and those special funds, pledged to the payment of debt 7980
service pursuant to the bond proceedings in accordance with this 7981
section, and each obligation shall bear on its face a statement to 7982
that effect.7983

       (Q) Each bond service fund is a trust fund and is hereby 7984
pledged to the payment of debt service on the applicable 7985
obligations. Payment of that debt service shall be made or 7986
provided for by the issuing authority in accordance with the bond 7987
proceedings without necessity for any act of appropriation. The 7988
bond proceedings may provide for the establishment of separate 7989
accounts in the bond service fund and for the application of those 7990
accounts only to debt service on specific obligations, and for 7991
other accounts in the bond service fund within the general 7992
purposes of that fund.7993

       (R) Subject to the bond proceedings pertaining to any 7994
obligations then outstanding in accordance with their terms, the 7995
issuing authority may in the bond proceedings pledge all, or such 7996
portion as the issuing authority determines, of the moneys in the 7997
bond service fund to the payment of debt service on particular 7998
obligations, and for the establishment and maintenance of any 7999
reserves for payment of particular debt service.8000

       (S)(1) Unless otherwise provided in any applicable bond 8001
proceedings, moneys to the credit of special funds may be invested 8002
by or on behalf of the issuing authority only in one or more of 8003
the following:8004

       (a) Notes, bonds, or other direct obligations of the United 8005
States or of any agency or instrumentality of the United States, 8006
or in no-front-end-load money market mutual funds consisting 8007
exclusively of those obligations, or in repurchase agreements, 8008
including those issued by any fiduciary, secured by those 8009
obligations, or in collective investment funds consisting 8010
exclusively of those obligations;8011

       (b) Obligations of this state or any political subdivision of 8012
this state;8013

       (c) Certificates of deposit of any national bank located in 8014
this state and any bank, as defined in section 1101.01 of the 8015
Revised Code, subject to inspection by the superintendent of 8016
financial institutions;8017

       (d) The treasurer of state's pooled investment program under 8018
section 135.45 of the Revised Code;8019

       (e) Other investment agreements or repurchase agreements that 8020
are consistent with the ratings on the obligations.8021

       (2) The income from investments referred to in division 8022
(S)(1) of this section shall be credited to special funds or 8023
otherwise as the issuing authority determines in the bond 8024
proceedings. Those investments may be sold or exchanged at times 8025
as the issuing authority determines, provides for, or authorizes.8026

       (T) The treasurer of state shall have responsibility for 8027
keeping records, making reports, and making payments, relating to 8028
any arbitrage rebate requirements under the applicable bond 8029
proceedings.8030

       Sec. 183.52.  (A) There is hereby created a body, both 8031
corporate and politic, constituting an agency and instrumentality 8032
of this state and performing essential functions of the state, to 8033
be known as the Ohio tobacco settlement financing authority, which 8034
in that name may contract and be contracted with, sue and be sued, 8035
and exercise all other authority vested in that authority by this 8036
section and section 183.51 of the Revised Code. The authority is 8037
created for the sole purpose of purchasing and receiving any 8038
assignment of the tobacco settlement receipts and issuing 8039
obligations, all as provided for in section 183.51 of the Revised 8040
Code, to provide financing of essential functions and facilities. 8041
The property of the authority and its income and operations shall 8042
be exempt from taxation involving the state or by the state and 8043
any political subdivision of the state. All income of the 8044
authority, after the payment of necessary expenses, shall accrue 8045
to the state.8046

       (B) The authority shall consist of, in each case ex officio, 8047
the governor, the director of budget and management, the tax 8048
commissioner, the treasurer of state, and the auditor of state. 8049
The governor shall serve as the chair of the authority, the 8050
director of budget and management shall serve as its secretary, 8051
and the authority shall have such other officers as it determines, 8052
who may but need not be members of the authority. Four members of 8053
the authority constitute a quorum and the affirmative vote of four 8054
members is necessary for any action taken by vote of the 8055
authority. No vacancy in the membership of the authority shall 8056
impair the rights of a quorum by such vote to exercise all the 8057
rights and perform all the duties of the authority. Each of the 8058
members above identified may designate an employee or officer of 8059
their office to attend meetings of the authority when that member 8060
is absent or unable for any reason to attend and that designee, 8061
when present, shall be counted in determining whether a quorum is 8062
present at any meeting and may vote and participate in all 8063
proceedings and actions of the authority. A designee may not 8064
execute or cause a facsimile signature to be placed on any 8065
obligation. That designation shall be in writing, executed by the 8066
designating member, and be filed with the secretary of the 8067
authority. A designation may be changed from time to time by a 8068
similar written designation. The authority may delegate to such of 8069
its members, officers, employees, or staff as it determines those 8070
powers and duties as it deems appropriate. No member of the 8071
authority or designee shall, by reason of being or serving as a 8072
member of the authority, be required to abstain from action in any 8073
other capacity as an incumbent of a state office or position or 8074
from any action as a member of the authority in any matter 8075
affecting or in any way pertaining to both that office or position 8076
and the authority, or for any purpose be deemed to be disqualified 8077
from either such office or position or as a member of the 8078
authority by reason of so acting or to have violated any law by 8079
reason thereof. The authority may adopt and alter bylaws and rules 8080
for the conduct of its affairs, including provisions for meetings, 8081
and for the manner in which its powers and functions are to be 8082
exercised and embodied, and may adopt and alter at will an 8083
official seal to be affixed to official documents, provided that 8084
the failure to affix any such seal shall not affect the legality 8085
of such documents. Members of the authority shall receive no added 8086
compensation for their services as such members but may be 8087
reimbursed, as determined by the authority, for their necessary 8088
and actual expenses incurred in the conduct of the authority's 8089
business. The office of budget and management shall provide staff 8090
support to the authority.8091

       Notwithstanding the existence of common management, the 8092
authority shall be treated and accounted for as a separate and 8093
independent legal entity with its separate purposes as set forth 8094
in this section and section 183.51 of the Revised Code. The 8095
assets, liabilities, and funds of the authority shall not be 8096
consolidated or commingled with those of the state, and contracts 8097
entered into by the authority shall be entered into in the name of 8098
the authority and not in the name of the state.8099

       (C) In connection with the exercise of its powers pursuant to 8100
this section and section 183.51 of the Revised Code, the authority 8101
may enter into contracts and execute all instruments necessary or 8102
incidental to the performance of the issuing authority's duties 8103
and the execution of the issuing authority's powers and do all 8104
other acts necessary or proper to the fulfillment of the issuing 8105
authority's purposes and to carry out the powers expressly granted 8106
in this section and section 183.51 of the Revised Code.8107

       (D) Unless otherwise provided in Article IV of the Ohio 8108
Constitution, any action, suit, or special proceeding brought 8109
against the issuing authority or the state concerning or relating 8110
to the bond proceedings, section 183.51 of the Revised Code, or 8111
this section, shall be filed and determined in the court of claims 8112
under Chapter 2743. of the Revised Code. Any special proceeding 8113
brought against the issuing authority or the state in which the 8114
court of appeals has original jurisdiction shall be filed and 8115
determined in the court of appeals of Franklin county. Any such 8116
action or proceeding to which the issuing authority or the state 8117
is a party shall be preferred over all other civil causes of 8118
action or cases, except election causes of action or cases, 8119
irrespective of position on the calendar.8120

       Sec. 307.021.  (A) It is hereby declared to be a public8121
purpose and function of the state, and a matter of urgent8122
necessity, that the state acquire, construct, or renovate capital8123
facilities for use as county, multicounty, municipal-county, and8124
multicounty-municipal jail facilities or workhouses, as8125
single-county or district community-based correctional facilities8126
authorized under section 2301.51 of the Revised Code, as minimum8127
security misdemeanant jails under sections 341.34 and 753.21 of8128
the Revised Code, and as single-county or joint-county juvenile8129
facilities authorized under section 2151.65 of the Revised Code in 8130
order to comply with constitutional standards and laws for the8131
incarceration of alleged and convicted offenders against state and 8132
local laws, and for use as county family court centers. For these 8133
purposes, counties and municipal corporations are designated as 8134
state agencies to perform duties of the state in relation to such 8135
facilities, workhouses, jails, and centers, and such facilities, 8136
workhouses, jails, and centers are designated as state capital 8137
facilities. The Ohio building authority is authorized to issue 8138
revenue obligations under sections 152.09 to 152.33 of the Revised 8139
Code to pay all or part of the cost of such state capital 8140
facilities as are designated by law.8141

       The office of the sheriff, due to its responsibilities8142
concerning alleged and convicted offenders against state laws, is8143
designated as the state agency having jurisdiction over such jail, 8144
workhouse, community-based correctional, or county minimum8145
security misdemeanant jail capital facilities in any one county or 8146
over any district community-based correctional facilities. The 8147
corrections commission, due to its responsibilities in relation to 8148
such offenders, is designated as the state agency having 8149
jurisdiction over any such multicounty, municipal-county, or 8150
multicounty-municipal jail, workhouse, or correctional capital8151
facilities. The office of the chief of police or marshal of a8152
municipal corporation, due to its responsibilities concerning8153
certain alleged and convicted criminal offenders, is designated as 8154
the state agency having jurisdiction over any such municipal8155
corporation minimum security misdemeanant jail capital facilities8156
in the municipal corporation. The juvenile court, as defined in8157
section 2151.011 of the Revised Code, is designated as the branch8158
of state government having jurisdiction over any such family court 8159
center or single-county or joint-county juvenile capital8160
facilities. It is hereby determined and declared that such capital 8161
facilities are for the purpose of housing such state agencies, 8162
their functions, equipment, and personnel.8163

       (B) The capital facilities provided for in this section may 8164
be included in capital facilities in which one or more8165
governmental entities are participating or in which other8166
facilities of the county or counties, or any municipal8167
corporations, are included pursuant to section 152.31 or 152.33 of 8168
the Revised Code or in an agreement between any county or counties 8169
and any municipal corporation or municipal corporations for 8170
participating in the joint construction, acquisition, or8171
improvement of public works, public buildings, or improvements8172
benefiting the parties in the same manner as set forth in section8173
153.61 of the Revised Code.8174

       (C) A county or counties or a municipal corporation or8175
municipal corporations may contribute to the cost of capital8176
facilities authorized under this section.8177

       (D) A county or counties, and any municipal corporations,8178
shall lease capital facilities described in this section that are8179
constructed, reconstructed, otherwise improved, or financed by the 8180
Ohio building authority pursuant to sections 152.09 to 152.33 of 8181
the Revised Code for the use of the county or counties and any8182
municipal corporations, and may enter into other agreements8183
ancillary to the construction, reconstruction, improvement,8184
financing, leasing, or operation of such capital facilities,8185
including, but not limited to, any agreements required by the8186
applicable bond proceedings authorized by sections 152.09 to8187
152.33 of the Revised Code.8188

       Such lease may obligate the county or counties and any8189
municipal corporation, as using state agencies under Chapter 152.8190
of the Revised Code, to occupy and operate such capital facilities 8191
for such period of time as may be specified by law and to pay such 8192
rent as the authority determines to be appropriate.8193
Notwithstanding any other section of the Revised Code, any county8194
or counties or municipal corporation may enter into such a lease,8195
and any such lease is legally sufficient to obligate the political 8196
subdivision for the term stated in the lease. Any such lease 8197
constitutes an agreement described in division (E) of section 8198
152.24 of the Revised Code.8199

       (E) If rental payments required from the county or counties 8200
or municipal corporation by a lease established pursuant to this 8201
section are not paid in accordance with such lease, the funds 8202
which otherwise would be apportioned to the lessees from the 8203
county undivided local governmentcommunities fund, pursuant to 8204
sections 5747.51 to 5747.53 of the Revised Code, shall be reduced 8205
by the amount of rent payable to the authority. The county 8206
treasurer immediately shall pay the amount of such reductions to 8207
the authority.8208

       (F) Any lease of capital facilities authorized by this8209
section, the rentals of which are payable in whole or in part from 8210
appropriations made by the general assembly, is governed by8211
division (D) of section 152.24 of the Revised Code. Such rentals8212
constitute available receipts as defined in section 152.09 of the8213
Revised Code and may be pledged for the payment of bond service8214
charges as provided in section 152.10 of the Revised Code.8215

       (G) Any provision of section 152.21, 152.22, or 152.26 of the 8216
Revised Code that applies to buildings and facilities described in 8217
section 152.19 of the Revised Code also applies to the buildings 8218
and facilities described in this section, unless it is 8219
inconsistent with this section.8220

       Sec. 307.37. (A) As used in division (B)(3) of this section, 8221
"proposed new construction" means a proposal to erect, construct, 8222
repair, alter, redevelop, or maintain a single-family, two-family, 8223
or three-family dwelling or any structure that is regulated by the 8224
Ohio building code.8225

       (B)(1)(a) The board of county commissioners may adopt local 8226
residential building regulations governing residential buildings 8227
as defined in section 3781.06 of the Revised Code, to be enforced 8228
within the unincorporated area of the county or within districts 8229
the board establishes in any part of the unincorporated area. No 8230
local residential building regulation shall differ from the state 8231
residential building code the board of building standards 8232
establishes pursuant to Chapter 3781. of the Revised Code unless 8233
the regulation addresses subject matter not addressed by the state 8234
residential building code or is adopted pursuant to section 8235
3781.01 of the Revised Code.8236

       (b) The board of county commissioners may, by resolution, 8237
adopt, administer, and enforce within the unincorporated area of 8238
the county, or within districts the board establishes in the 8239
unincorporated area, an existing structures code pertaining to the 8240
repair and continued maintenance of structures and the premises of 8241
those structures provided that the existing structures code 8242
governs subject matter not addressed by, and is not in conflict 8243
with, the state residential building code adopted pursuant to 8244
Chapter 3781. of the Revised Code. The board may adopt by 8245
incorporation by reference a model or standard code prepared and 8246
promulgated by the state, any agency of this state, or any private 8247
organization that publishes a recognized or standard existing 8248
structures code.8249

       (c) The board shall assign the duties of administering and 8250
enforcing any local residential building regulations or existing 8251
structures code to a county officer or employee who is trained and 8252
qualified for those duties and shall establish by resolution the 8253
minimum qualifications necessary to perform those duties.8254

       (2) The board may adopt regulations for participation in the 8255
national flood insurance program as defined in section 1521.01 of 8256
the Revised Code and regulations for the purposes of section 8257
1506.04 or 1506.07 of the Revised Code governing the prohibition, 8258
location, erection, construction, redevelopment, or floodproofing 8259
of new buildings or structures, substantial improvements to 8260
existing buildings or structures, or other development in 8261
unincorporated territory within flood hazard areas identified 8262
under the "Flood Disaster Protection Act of 1973," 87 Stat. 975, 8263
42 U.S.C.A. 4002, as amended, or within Lake Erie coastal erosion 8264
areas identified under section 1506.06 of the Revised Code, 8265
including, but not limited to, residential, commercial, 8266
institutional, or industrial buildings or structures or other 8267
permanent structures, as defined in section 1506.01 of the Revised 8268
Code. Rules adopted under division (B)(2) of this section shall 8269
not conflict with the state residential and nonresidential8270
building codes adopted pursuant to section 3781.10 of the Revised 8271
Code.8272

       (3)(a) A board may adopt regulations that provide for a 8273
review of the specific effects of a proposed new construction on8274
existing surface or subsurface drainage. The regulations may8275
require reasonable drainage mitigation and reasonable alteration 8276
of a proposed new construction before a building permit is issued 8277
in order to prevent or correct any adverse effects that the 8278
proposed new construction may have on existing surface or 8279
subsurface drainage. The regulations shall not be inconsistent 8280
with, more stringent than, or broader in scope than standards 8281
adopted by the natural resource conservation service in the United 8282
States department of agriculture concerning drainage or rules 8283
adopted by the environmental protection agency for reducing, 8284
controlling, or mitigating storm water runoff from construction 8285
sites, where applicable. The regulations shall allow a person who 8286
is registered under Chapter 4703. or 4733. of the Revised Code to 8287
prepare and submit relevant plans and other documents for review, 8288
provided that the person is authorized to prepare the plans and 8289
other documents pursuant to the person's registration.8290

       (b) If regulations are adopted under division (B)(3) of this8291
section, the board shall specify in the regulations a procedure8292
for the review of the specific effects of a proposed new8293
construction on existing surface or subsurface drainage. The8294
procedure shall include at a minimum all of the following:8295

       (i) A meeting at which the proposed new construction shall be8296
examined for those specific effects. The meeting shall be held8297
within thirty days after an application for a building permit is8298
filed or a review is requested unless the applicant agrees in 8299
writing to extend that time period or to postpone the meeting to 8300
another date, time, or place. The meeting shall be scheduled 8301
within five days after an application for a building permit is 8302
filed or a review is requested.8303

        (ii) Written notice of the date, time, and place of that8304
meeting, sent by regular mail to the applicant. The written notice 8305
shall be mailed at least seven days before the scheduled meeting 8306
date.8307

        (iii) Completion of the review by the board of county8308
commissioners not later than thirty days after the application for8309
a building permit is filed or a review is requested unless the 8310
applicant has agreed in writing to extend that time period or 8311
postpone the meeting to a later time, in which case the review 8312
shall be completed not later than two days after the date of the 8313
meeting. A complete review shall include the issuance of any order 8314
of the board of county commissioners regarding necessary 8315
reasonable drainage mitigation and necessary reasonable 8316
alterations to the proposed new construction to prevent or correct 8317
any adverse effects on existing surface or subsurface drainage so 8318
long as those alterations comply with the state residential and 8319
nonresidential building codes adopted pursuant to section 3781.10 8320
of the Revised Code. If the review is not completed within the8321
thirty-day period or an extended or postponed period that the8322
applicant has agreed to, the proposed new construction shall be8323
deemed to have no adverse effects on existing surface or8324
subsurface drainage, and those effects shall not be a valid basis8325
for the denial of a building permit.8326

        (iv) A written statement, provided to the applicant at the8327
meeting or in an order for alterations to a proposed new8328
construction, informing the applicant of the right to seek8329
appellate review of the denial of a building permit under division8330
(B)(3)(b)(iii) of this section by filing a petition in accordance8331
with Chapter 2506. of the Revised Code.8332

        (c) The regulations may authorize the board, after obtaining 8333
the advice of the county engineer, to enter into an agreement with 8334
the county engineer or another qualified person or entity to carry 8335
out any necessary inspections and make evaluations about what, if 8336
any, alterations are necessary to prevent or correct any adverse8337
effects that a proposed new construction may have on existing8338
surface or subsurface drainage.8339

       (d) Regulations adopted pursuant to division (B)(3) of this8340
section shall not apply to any property that a platting authority 8341
has approved under section 711.05, 711.09, or 711.10 of the 8342
Revised Code and shall not govern the same subject matter as the 8343
state residential or nonresidential building codes adopted 8344
pursuant to section 3781.10 of the Revised Code.8345

       (e) As used in division (B)(3) of this section, "subsurface8346
drainage" does not include a household sewage treatmentdisposal8347
system as defined in section 3709.091 of the Revised Code.8348

       (C)(1) Any regulation, code, or amendment may be adopted 8349
under this section only after a public hearing at not fewer than 8350
two regular or special sessions of the board. The board shall 8351
cause notice of any public hearing to be published in a newspaper 8352
of general circulation in the county once a week for the two 8353
consecutive weeks immediately preceding the hearing, except that 8354
if the board posts the hearing notice on the board's internet site 8355
on the world wide web, the board need publish only one notice of 8356
the hearing in a newspaper of general circulation if that 8357
newspaper notice includes the board's internet site and a 8358
statement that the notice is also posted on the internet site. Any 8359
notice of a public hearing shall include the time, date, and place 8360
of the hearing.8361

       (2) Any proposed regulation, code, or amendment shall be made 8362
available to the public at the board office. The regulations or 8363
amendments shall take effect on the thirty-first day following the 8364
date of their adoption.8365

       (D)(1) No person shall violate any regulation, code, or 8366
amendment the board adopts under sections 307.37 to 307.40 of the 8367
Revised Code.8368

       (2) Each day during which an illegal location, erection,8369
construction, floodproofing, repair, alteration, development,8370
redevelopment, or maintenance continues may be considered a8371
separate offense.8372

       (E) Regulations or amendments the board adopts pursuant to 8373
this section, with the exception of an existing structures code, 8374
do not affect buildings or structures that exist or on which8375
construction has begun on or before the date the board adopts the 8376
regulation or amendment.8377

       (F)(1) The board may create a building department and employ 8378
the personnel it determines necessary to administer and enforce 8379
any local residential building regulations or existing structures 8380
code the board adopts pursuant to this section. The building 8381
department may enforce the state residential and nonresidential 8382
building codes adopted pursuant to Chapter 3781. of the Revised 8383
Code if the building department is certified pursuant to section 8384
3781.10 of the Revised Code to enforce those codes.8385

        (2) The board may direct the building department, upon 8386
certification, to exercise enforcement authority and to accept and8387
approve plans pursuant to sections 3781.03 and 3791.04 of the8388
Revised Code for the class of building for which the department 8389
and personnel are certified.8390

       Sec. 307.695.  (A) As used in this section:8391

       (1) "Arena" means any structure designed and constructed for 8392
the purpose of providing a venue for public entertainment and 8393
recreation by the presentation of concerts, sporting and athletic 8394
events, and other events and exhibitions, including facilities 8395
intended to house or provide a site for one or more athletic or 8396
sports teams or activities, spectator facilities, parking 8397
facilities, walkways, and auxiliary facilities, real and personal 8398
property, property rights, easements, leasehold estates, and 8399
interests that may be appropriate for, or used in connection with, 8400
the operation of the arena.8401

       (2) "Convention center" means any structure expressly 8402
designed and constructed for the purposes of presenting 8403
conventions, public meetings, and exhibitions and includes parking 8404
facilities that serve the center and any personal property used in 8405
connection with any such structure or facilities.8406

       (3) "Eligible county" means a county having a population of 8407
at least four hundred thousand but not more than eight hundred 8408
thousand according to the 2000 federal decennial census and that 8409
directly borders the geographic boundaries of another state.8410

        (4) "Entity" means a nonprofit corporation, a municipal 8411
corporation, a port authority created under Chapter 4582. of the 8412
Revised Code, or a convention facilities authority created under 8413
Chapter 351. of the Revised Code.8414

       (5) "Lodging taxes" means excise taxes levied under division 8415
(A)(1), (A)(2), or (C) of section 5739.09 of the Revised Code and 8416
the revenues arising therefrom.8417

       (6) "Nonprofit corporation" means a nonprofit corporation 8418
that is organized under the laws of this state and that includes 8419
within the purposes for which it is incorporated the authorization 8420
to lease and operate facilities such as a convention center or an 8421
arena or a combination of an arena and convention center.8422

       (7) "Project" means acquiring, constructing, reconstructing, 8423
renovating, rehabilitating, expanding, adding to, equipping, 8424
furnishing or otherwise improving an arena, a convention center, 8425
or a combination of an arena and convention center. For purposes 8426
of this section, a project is a permanent improvement for one 8427
purpose under Chapter 133. of the Revised Code.8428

       (8) "Project revenues" means money received by an eligiblea8429
county with a population of four hundred thousand or more, other 8430
than money from taxes or from the proceeds of securities secured 8431
by taxes, in connection with, derived from, related to, or 8432
resulting from a project, including, but not limited to, rentals 8433
and other payments received under a lease or agreement with 8434
respect to the project, ticket charges or surcharges for admission 8435
to events at a project, charges or surcharges for parking for 8436
events at a project, charges for the use of a project or any 8437
portion of a project, including suites and seating rights, the 8438
sale of naming rights for the project or a portion of the project, 8439
unexpended proceeds of any county revenue bonds issued for the 8440
project, and any income and profit from the investment of the 8441
proceeds of any such revenue bonds or any project revenues.8442

       (9) "Chapter 133. securities," "debt charges," "general 8443
obligation," "legislation," "one purpose," "outstanding," 8444
"permanent improvement," "person," and "securities" have the 8445
meanings given to those terms in section 133.01 of the Revised 8446
Code.8447

       (B) A board of county commissioners may enter into an8448
agreement with a convention and visitors' bureau operating in the8449
county under which:8450

       (1) The bureau agrees to construct and equip a convention8451
center in the county and to pledge and contribute from the tax8452
revenues received by it under division (A) of section 5739.09 of8453
the Revised Code, not more than such portion thereof that it is8454
authorized to pledge and contribute for the purpose described in8455
division (C) of this section; and8456

       (2) The board agrees to levy a tax under division (C) of8457
section 5739.09 of the Revised Code and pledge and contribute the8458
revenues therefrom for the purpose described in division (C) of8459
this section.8460

       (C) The purpose of the pledges and contributions described in 8461
divisions (B)(1) and (2) of this section is payment of principal, 8462
interest, and premium, if any, on bonds and notes issued by or for 8463
the benefit of the bureau to finance the construction and 8464
equipping of a convention center. The pledges and contributions 8465
provided for in the agreement shall be for the period stated in 8466
the agreement. Revenues determined from time to time by the board 8467
to be needed to cover the real and actual costs of administering 8468
the tax imposed by division (C) of section 5739.09 of the Revised 8469
Code may not be pledged or contributed. The agreement shall 8470
provide that any such bonds and notes shall be secured by a trust8471
agreement between the bureau or other issuer acting for the8472
benefit of the bureau and a corporate trustee that is a trust8473
company or bank having the powers of a trust company within or8474
without the state, and the trust agreement shall pledge or assign8475
to the retirement of the bonds or notes, all moneys paid by the8476
county under this section. A tax the revenues from which are8477
pledged under an agreement entered into by a board of county8478
commissioners under this section shall not be subject to8479
diminution by initiative or referendum, or diminution by statute,8480
unless provision is made therein for an adequate substitute8481
therefor reasonably satisfactory to the trustee under the trust8482
agreement that secures the bonds and notes.8483

       (D) A pledge of money by a county under division (B) of this 8484
section shall not be indebtedness of the county for purposes of 8485
Chapter 133. of the Revised Code.8486

       (E) If the terms of the agreement so provide, the board of8487
county commissioners may acquire and lease real property to the8488
convention bureau as the site of the convention center. The lease 8489
shall be on such terms as are set forth in the agreement. The 8490
purchase and lease are not subject to the limitations of sections 8491
307.02 and 307.09 of the Revised Code.8492

       (F) In addition to the authority granted to a board of county 8493
commissioners under divisions (B) to (E) of this section, a board 8494
of county commissioners in a county with a population of one 8495
million two hundred thousand or more, or a county with a 8496
population greater than four hundred thousand but less than five 8497
hundred thousand, may establish and provide local funding options 8498
for constructing and equipping a convention center.8499

       (G) The board of county commissioners of an eligiblea county 8500
with a population of four hundred thousand or more may undertake, 8501
finance, operate, and maintain a project. The board may lease a 8502
project to an entity on terms that the board determines to be in 8503
the best interest of the county and in furtherance of the public 8504
purpose of the project; the lease may be for a term of thirty-five 8505
years or less and may provide for an option of the entity to renew 8506
the lease for a term of thirty-five years or less. The board may 8507
enter into an agreement with an entity with respect to a project 8508
on terms that the board determines to be in the best interest of 8509
the county and in furtherance of the public purpose of the 8510
project. To the extent provided for in an agreement or a lease 8511
with an entity, the board may authorize the entity to administer 8512
on behalf of the board any contracts for the project. The board 8513
may enter into an agreement providing for the sale to a person of 8514
naming rights to a project or portion of a project, for a period, 8515
for consideration, and on other terms and conditions that the 8516
board determines to be in the best interest of the county and in 8517
furtherance of the public purpose of the project. The board may 8518
enter into an agreement with a person owning or operating a 8519
professional athletic or sports team providing for the use by that 8520
person of a project or portion of a project for that team's 8521
offices, training, practices, and home games for a period, for 8522
consideration, and on other terms and conditions that the board 8523
determines to be in the best interest of the county and in 8524
furtherance of the public purpose of the project. The board may 8525
establish ticket charges or surcharges for admission to events at 8526
a project, charges or surcharges for parking for events at a 8527
project, and charges for the use of a project or any portion of a 8528
project, including suites and seating rights, and may, as 8529
necessary, enter into agreements related thereto with persons for 8530
a period, for consideration, and on other terms and conditions 8531
that the board determines to be in the best interest of the county 8532
and in furtherance of the public purpose of the project. A lease 8533
or agreement authorized by this division is not subject to 8534
sections 307.02, 307.09, and 307.12 of the Revised Code.8535

       (H) Notwithstanding any contrary provision in Chapter 5739. 8536
of the Revised Code, after adopting a resolution declaring it to 8537
be in the best interest of the county to undertake a project as 8538
described in division (G) of this section, the board of county 8539
commissioners of an eligible county may adopt a resolution 8540
enacting or increasing any lodging taxes within the limits 8541
specified in Chapter 5739. of the Revised Code with respect to 8542
those lodging taxes and amending any prior resolution under which 8543
any of its lodging taxes have been imposed in order to provide 8544
that those taxes, after deducting the real and actual costs of 8545
administering the taxes and any portion of the taxes returned to 8546
any municipal corporation or township as provided in division 8547
(A)(1) of section 5739.09 of the Revised Code, shall be used by 8548
the board for the purposes of undertaking, financing, operating, 8549
and maintaining the project, including paying debt charges on any 8550
securities issued by the board under division (I) of this section, 8551
or to make contributions to the convention and visitors' bureau 8552
operating within the county, or to promote, advertise, and market 8553
the region in which the county is located, all as the board may 8554
determine and make appropriations for from time to time, subject 8555
to the terms of any pledge to the payment of debt charges on 8556
outstanding general obligation securities or special obligation 8557
securities authorized under division (I) of this section. A 8558
resolution adopted under division (H) of this section shall be 8559
adopted not earlier than January 15, 2007, and not later than 8560
January 15, 2008.8561

       A resolution adopted under division (H) of this section may 8562
direct the board of elections to submit the question of enacting 8563
or increasing lodging taxes, as the case may be, to the electors 8564
of the county at a special election held on the date specified by 8565
the board in the resolution, provided that the election occurs not 8566
less than seventy-five days after a certified copy of the 8567
resolution is transmitted to the board of elections and no later 8568
than January 15, 2008. A resolution submitted to the electors 8569
under this division shall not go into effect unless it is approved 8570
by a majority of those voting upon it. A resolution adopted under 8571
division (H) of this section that is not submitted to the electors 8572
of the county for their approval or disapproval is subject to a 8573
referendum as provided in sections 305.31 to 305.41 of the Revised 8574
Code.8575

       A resolution adopted under division (H) of this section takes 8576
effect upon its adoption, unless the resolution is submitted to 8577
the electors of the county for their approval or disapproval, in 8578
which case the resolution takes effect on the date the board of 8579
county commissioners receives notification from the board of 8580
elections of the affirmative vote. Lodging taxes received after 8581
the effective date of the resolution may be used for the purposes 8582
described in division (H) of this section, except that lodging 8583
taxes that have been pledged to the payment of debt charges on any 8584
bonds or notes issued by or for the benefit of a convention and 8585
visitors' bureau under division (C) of this section shall be used 8586
exclusively for that purpose until such time as the bonds or notes 8587
are no longer outstanding under the trust agreement securing those 8588
bonds or notes.8589

       (I)(1) The board of county commissioners of an eligiblea8590
county with a population of four hundred thousand or more may 8591
issue the following securities of the county for the purpose of 8592
paying costs of the project, refunding any outstanding county 8593
securities issued for that purpose, refunding any outstanding 8594
bonds or notes issued by or for the benefit of the bureau under 8595
division (C) of this section, or for any combination of those 8596
purposes:8597

       (a) General obligation securities issued under Chapter 133. 8598
of the Revised Code. The resolution authorizing these securities 8599
may include covenants to appropriate annually from lawfully 8600
available lodging taxes, and to continue to levy and collect those 8601
lodging taxes in, amounts necessary to meet the debt charges on 8602
those securities.8603

       (b) Special obligation securities issued under Chapter 133. 8604
of the Revised Code that are secured only by lawfully available 8605
lodging taxes and any other taxes and revenues pledged to pay the 8606
debt charges on those securities, except ad valorem property 8607
taxes. The resolution authorizing those securities shall include a 8608
pledge of and covenants to appropriate annually from lawfully 8609
available lodging taxes and any other taxes and revenues pledged 8610
for such purpose, and to continue to collect any of those revenues 8611
pledged for such purpose and to levy and collect those lodging 8612
taxes and any other taxes pledged for such purpose, in amounts 8613
necessary to meet the debt charges on those securities. The pledge 8614
is valid and binding from the time the pledge is made, and the 8615
lodging taxes so pledged and thereafter received by the county are 8616
immediately subject to the lien of the pledge without any physical 8617
delivery of the lodging taxes or further act. The lien of any 8618
pledge is valid and binding as against all parties having claims 8619
of any kind in tort, contract, or otherwise against the county, 8620
regardless of whether such parties have notice of the lien. 8621
Neither the resolution nor any trust agreement by which a pledge 8622
is created or further evidenced is required to be filed or 8623
recorded except in the records of the board. The special 8624
obligation securities shall contain a statement on their face to 8625
the effect that they are not general obligation securities, and, 8626
unless paid from other sources, are payable from the pledged 8627
lodging taxes.8628

       (c) Revenue securities authorized under section 133.08 of the 8629
Revised Code and issued under Chapter 133. of the Revised Code 8630
that are secured only by lawfully available project revenues 8631
pledged to pay the debt charges on those securities.8632

       (2) The securities described in division (I)(1) of this 8633
section are subject to Chapter 133. of the Revised Code.8634

       (3) Section 133.34 of the Revised Code, except for division 8635
(A) of that section, applies to the issuance of any refunding 8636
securities authorized under this division. In lieu of division (A) 8637
of section 133.34 of the Revised Code, the board of county 8638
commissioners shall establish the maturity date or dates, the 8639
interest payable on, and other terms of refunding securities as it 8640
considers necessary or appropriate for their issuance, provided 8641
that the final maturity of refunding securities shall not exceed 8642
by more than ten years the final maturity of any bonds refunded by 8643
refunding securities.8644

       (4) The board may not repeal, rescind, or reduce all or any 8645
portion of any lodging taxes pledged to the payment of debt 8646
charges on any outstanding special obligation securities 8647
authorized under this division, and no portion of any lodging 8648
taxes that is pledged, or that the board has covenanted to levy, 8649
collect, and appropriate annually to pay debt charges on any 8650
outstanding securities authorized under this division is subject 8651
to repeal, rescission, or reduction by the electorate of the 8652
county.8653

       Sec. 307.6910. (A) As used in this section, "contracting8654
subdivision" means any political subdivision or taxing district8655
that enters into an agreement with a board of county commissioners8656
as authorized by this section.8657

       (B) A board of county commissioners may enter into an8658
agreement with the legislative authority of one or more political8659
subdivisions or taxing districts located wholly or partially8660
within the territorial boundaries of the county providing for both8661
of the following:8662

       (1) Authorization for the board of county commissioners to8663
receive funds due the political subdivision or taxing district8664
from the county treasury, other than funds raised by taxes levied8665
by the political subdivision or taxing district, including, but8666
not limited to, the political subdivision's or taxing district's8667
share of the undivided local governmentcommunities fund, provided 8668
those received funds may lawfully be applied to the purpose for 8669
which money is owed to the county;8670

       (2) The crediting of the funds so received by the county8671
against money owed to it by the political subdivision or taxing8672
district.8673

       The agreement shall be in writing and include the signature8674
of an authorized officer or representative of the county and of8675
the political subdivision or taxing district.8676

       (C) Upon entering into an agreement, the board of county8677
commissioners shall cause two copies of the agreement, certified8678
by an authorized officer or representative of the county and of8679
the contracting subdivision, to be transmitted to the county8680
auditor. The county auditor shall forward one copy of the8681
agreement to the county treasurer and shall present the other copy8682
of the agreement to the county budget commission. The county8683
budget commission shall give effect to the agreement in8684
determining or revising the amounts to be credited to the funds of8685
the county and the contracting subdivision in the official or8686
amended official certificate of estimated resources under sections8687
5705.35 and 5705.36 of the Revised Code.8688

       (D) The county auditor may rely on the certified agreement8689
entered into under division (B) of this section for the purpose of8690
making a certification under division (D) of section 5705.41 of8691
the Revised Code for a county contract or order of money incurred8692
on behalf of the contracting subdivision if the county auditor8693
finds that the amount credited to the county under division (B)(2)8694
of this section is available in the amount and at the time8695
necessary to meet the obligation.8696

       (E) The county auditor and county treasurer, in carrying out8697
their statutory duties regarding the crediting and distribution of8698
money to the funds of the parties to agreements entered into under8699
this section, shall give effect to any such agreements certified8700
to the county auditor under this section. A certified agreement8701
shall not affect the time at which moneys otherwise would be8702
available by law to the parties to the agreement.8703

       (F) The terms of an agreement entered into under this section 8704
may be enforced in the court of common pleas of the county that is 8705
a party to the agreement in an action for a writ of mandamus. For 8706
purposes of that action, it shall be deemed that the legislative 8707
authority of the contracting subdivision has a duty to allow 8708
payments to the county as specified in the agreement, that the 8709
board of county commissioners of the county has a duty to receive 8710
those payments in the manner specified in the agreement, and that 8711
those duties are specifically enjoined by law and result from an 8712
office, trust, or station.8713

       Sec. 307.98. BoardsAs used in this section, "county 8714
grantee" has the same meaning as in section 5101.21 of the Revised 8715
Code.8716

        Each board of county commissioners mayand each other county 8717
grantee of the county shall jointly enter into one or more written 8718
fiscalgrant agreements with the director of job and family 8719
services in accordance with section 5101.21 of the Revised Code. 8720
If a board enters into a fiscal agreement, theThe board of county 8721
commissioners shall enter into the agreement on behalf of the 8722
county family services agencies, other than a county family 8723
services agency that is a county signer as defined in section 8724
5101.21 of the Revised Codegrantee.8725

       Sec. 307.981.  (A)(1) As used in the Revised Code:8726

       (a) "County family services agency" means all of the8727
following:8728

       (i) A child support enforcement agency;8729

       (ii) A county department of job and family services;8730

       (iii) A public children services agency.8731

       (b) "Family services duty" means a duty state law requires or 8732
allows a county family services agency to assume, including 8733
financial and general administrative duties. "Family services 8734
duty" does not include a duty funded by the United States 8735
department of labor.8736

       (2) As used in sections 307.981 to 307.989 of the Revised 8737
Code, "private entity" means an entity other than a government 8738
entity.8739

       (B) To the extent permitted by federal law, including, when 8740
applicable, subpart F of 5 C.F.R. part 900, and subject to any 8741
limitations established by the Revised Code, including division 8742
(H) of this section, a board of county commissioners may designate 8743
any private or government entity within this state to serve as any 8744
of the following:8745

       (1) A child support enforcement agency;8746

       (2) A county department of job and family services;8747

       (3) A public children services agency;8748

       (4) A county department of job and family services and one 8749
other of those county family services agencies;8750

       (5) All three of those county family services agencies.8751

       (C) To the extent permitted by federal law, including, when 8752
applicable, subpart F of 5 C.F.R. part 900, and subject to any 8753
limitations of the Revised Code, including division (H) of this 8754
section, a board of county commissioners may change the8755
designation it makes under division (B) of this section by8756
designating another private or government entity.8757

       (D) If a designation under division (B) or (C) of this 8758
section constitutes a change from the designation in a fiscal8759
grant agreement between the director of job and family services 8760
and the board under sections 307.98 and 5101.21 of the Revised 8761
Code, the director may require that the director and board amend 8762
the fiscalgrant agreement and that the board provide the director 8763
written assurances that the newly designated private or government 8764
entity will meet or exceed all requirements of the family services 8765
duties the entity is to assume.8766

       (E) Not less than sixty days before a board of county 8767
commissioners designates an entity under division (B) or (C) of 8768
this section, the board shall notify the director of job and 8769
family services and publish notice in a newspaper of general8770
circulation in the county of the board's intention to make the8771
designation and reasons for the designation.8772

       (F) A board of county commissioners shall enter into a 8773
written contract with each entity it designates under division (B) 8774
or (C) of this section specifying the entity's responsibilities 8775
and standards the entity is required to meet.8776

       (G) This section does not require a board of county8777
commissioners to abolish the child support enforcement agency,8778
county department of job and family services, or public children 8779
services agency serving the county on October 1, 1997, and 8780
designate a different private or government entity to serve as the 8781
county's child support enforcement agency, county department of 8782
job and family services, or public children services agency.8783

       (H) If a county children services board appointed under 8784
section 5153.03 of the Revised Code serves as a public children 8785
services agency for a county, the board of county commissioners 8786
may not redesignate the public children services agency unless the 8787
board of county commissioners does all of the following:8788

       (1) Notifies the county children services board of its intent 8789
to redesignate the public children services agency. In its8790
notification, the board of county commissioners shall provide the 8791
county children services board a written explanation of the 8792
administrative, fiscal, or performance considerations causing the 8793
board of county commissioners to seek to redesignate the public 8794
children services agency.8795

       (2) Provides the county children services board an 8796
opportunity to comment on the proposed redesignation before the 8797
redesignation occurs;8798

       (3) If the county children services board, not more than8799
sixty days after receiving the notice under division (H)(1) of 8800
this section, notifies the board of county commissioners that the 8801
county children services board has voted to oppose the 8802
redesignation, votes unanimously to proceed with the 8803
redesignation.8804

       Sec. 308.04.  Within sixty days after a regional airport 8805
authority has been created under section 308.03 of the Revised 8806
Code, the board of trustees for such regional airport authority 8807
shall be appointed as provided in the resolution creating it.8808

       Each member of the board of trustees, before entering upon 8809
histhe member's official duties, shall take and subscribe to an 8810
oath or affirmation that hethe member will honestly, faithfully, 8811
and impartially perform the duties of his office, and that hethe 8812
member will not be interested directly or indirectly in any 8813
contract let by the regional airport authority. Any contract let 8814
by the regional airport authority in which a member of the board 8815
of trustees is directly or indirectly interested is void and 8816
unenforceable.8817

       After each member of the board has taken the oath as 8818
prescribed by this section the board shall meet and organize by 8819
electing one of its members as president and another as 8820
vice-president, who shall hold their respective offices until the 8821
next annual meeting of the board as provided in its bylaws. At 8822
each annual meeting thereafter the board shall elect from its 8823
membership a president and a vice-president who shall serve for a 8824
term of one year.8825

       The board shall appoint and fix the compensation of a 8826
secretary-treasurer, who shall not be a member of the board and 8827
who shall serve at the pleasure of the board.8828

       Sec. 317.08. (A) Except as provided in divisions (C) and (D) 8829
of this section, the county recorder shall keep six separate sets8830
of records as follows:8831

       (1) A record of deeds, in which shall be recorded all deeds8832
and other instruments of writing for the absolute and8833
unconditional sale or conveyance of lands, tenements, and8834
hereditaments; all notices as provided in sections 5301.47 to8835
5301.56 of the Revised Code; all judgments or decrees in actions8836
brought under section 5303.01 of the Revised Code; all8837
declarations and bylaws, and all amendments to declarations and8838
bylaws, as provided in Chapter 5311. of the Revised Code;8839
affidavits as provided in sections 5301.252 and 5301.56 of the 8840
Revised Code; all certificates as provided in section 5311.17 of 8841
the Revised Code; all articles dedicating archaeological preserves8842
accepted by the director of the Ohio historical society under8843
section 149.52 of the Revised Code; all articles dedicating nature8844
preserves accepted by the director of natural resources under8845
section 1517.05 of the Revised Code; all agreements for the8846
registration of lands as archaeological or historic landmarks8847
under section 149.51 or 149.55 of the Revised Code; all8848
conveyances of conservation easements and agricultural easements8849
under section 5301.68 of the Revised Code; all instruments8850
extinguishing agricultural easements under section 901.21 or8851
5301.691 of the Revised Code or pursuant to terms of such an8852
easement granted to a charitable organization under section8853
5301.68 of the Revised Code; all instruments or orders described8854
in division (B)(2)(b) of section 5301.56 of the Revised Code; all 8855
no further action letters issued under section 122.654 or 3746.11 8856
of the Revised Code; all covenants not to sue issued under section8857
3746.12 of the Revised Code, including all covenants not to sue 8858
issued pursuant to section 122.654 of the Revised Code; any8859
restrictions on the use of property contained in a no further8860
action letter issued under section 122.654 of the Revised Code,8861
any restrictions on the use of property identified pursuant to8862
division (C)(3)(a) of section 3746.10 of the Revised Code, and any 8863
restrictions on the use of property contained in a deed or other 8864
instrument as provided in division (E) or (F) of section 3737.882 8865
of the Revised Code; any easement executed or granted under 8866
section 3734.22, 3734.24, 3734.25, or 3734.26 of the Revised Code; 8867
any environmental covenant entered into in accordance with 8868
sections 5301.80 to 5301.92 of the Revised Code; all memoranda of 8869
trust, as described in division (A) of section 5301.255 of the 8870
Revised Code, that describe specific real property; and all 8871
agreements entered into under division (A) of section 1521.268872
1506.44 of the Revised Code;8873

       (2) A record of mortgages, in which shall be recorded all of8874
the following:8875

       (a) All mortgages, including amendments, supplements,8876
modifications, and extensions of mortgages, or other instruments8877
of writing by which lands, tenements, or hereditaments are or may8878
be mortgaged or otherwise conditionally sold, conveyed, affected,8879
or encumbered;8880

       (b) All executory installment contracts for the sale of land8881
executed after September 29, 1961, that by their terms are not8882
required to be fully performed by one or more of the parties to8883
them within one year of the date of the contracts;8884

       (c) All options to purchase real estate, including8885
supplements, modifications, and amendments of the options, but no8886
option of that nature shall be recorded if it does not state a8887
specific day and year of expiration of its validity;8888

       (d) Any tax certificate sold under section 5721.33 of the8889
Revised Code, or memorandum of it, that is presented for filing of 8890
record.8891

       (3) A record of powers of attorney, including all memoranda8892
of trust, as described in division (A) of section 5301.255 of the8893
Revised Code, that do not describe specific real property;8894

       (4) A record of plats, in which shall be recorded all plats8895
and maps of town lots, of the subdivision of town lots, and of8896
other divisions or surveys of lands, any center line survey of a8897
highway located within the county, the plat of which shall be8898
furnished by the director of transportation or county engineer,8899
and all drawings and amendments to drawings, as provided in8900
Chapter 5311. of the Revised Code;8901

       (5) A record of leases, in which shall be recorded all8902
leases, memoranda of leases, and supplements, modifications, and8903
amendments of leases and memoranda of leases;8904

       (6) A record of declarations executed pursuant to section8905
2133.02 of the Revised Code and durable powers of attorney for8906
health care executed pursuant to section 1337.12 of the Revised8907
Code.8908

       (B) All instruments or memoranda of instruments entitled to8909
record shall be recorded in the proper record in the order in8910
which they are presented for record. The recorder may index, keep, 8911
and record in one volume unemployment compensation liens, internal 8912
revenue tax liens and other liens in favor of the United States as 8913
described in division (A) of section 317.09 of the Revised Code, 8914
personal tax liens, mechanic's liens, agricultural product liens, 8915
notices of liens, certificates of satisfaction or partial release 8916
of estate tax liens, discharges of recognizances, excise and 8917
franchise tax liens on corporations, broker's liens, and liens8918
provided for in sections 1513.33, 1513.37, 3752.13, 5111.022, and8919
5311.18 of the Revised Code.8920

       The recording of an option to purchase real estate, including8921
any supplement, modification, and amendment of the option, under8922
this section shall serve as notice to any purchaser of an interest8923
in the real estate covered by the option only during the period of8924
the validity of the option as stated in the option.8925

       (C) In lieu of keeping the six separate sets of records8926
required in divisions (A)(1) to (6) of this section and the8927
records required in division (D) of this section, a county8928
recorder may record all the instruments required to be recorded by8929
this section in two separate sets of record books. One set shall8930
be called the "official records" and shall contain the instruments8931
listed in divisions (A)(1), (2), (3), (5), and (6) and (D) of this 8932
section. The second set of records shall contain the instruments 8933
listed in division (A)(4) of this section.8934

       (D) Except as provided in division (C) of this section, the8935
county recorder shall keep a separate set of records containing8936
all corrupt activity lien notices filed with the recorder pursuant8937
to section 2923.36 of the Revised Code and a separate set of8938
records containing all medicaid fraud lien notices filed with the8939
recorder pursuant to section 2933.75 of the Revised Code.8940

       Sec. 319.202.  Before the county auditor indorses any real8941
property conveyance or manufactured or mobile home conveyance 8942
presented to the auditor pursuant to section 319.20 of the Revised 8943
Code or registers any manufactured or mobile home conveyance8944
pursuant to section 4503.061 of the Revised Code, the grantee or 8945
the grantee's representative shall submit in triplicate a 8946
statement, prescribed by the tax commissioner, and other 8947
information as the county auditor may require, declaring the value 8948
of real property or manufactured or mobile home conveyed, except8949
that when the transfer is exempt under division (F)(G)(3) of 8950
section 319.54 of the Revised Code only a statement of the reason 8951
for the exemption shall be required. Each statement submitted 8952
under this section shall contain the information required under 8953
divisions (A) and (B) of this section.8954

       (A) Each statement submitted under this section shall either:8955

       (1) Contain an affirmation by the grantee that the grantor8956
has been asked by the grantee or the grantee's representative 8957
whether to the best of the grantor's knowledge either the8958
preceding or the current year's taxes on the real property or the 8959
current or following year's taxes on the manufactured or mobile 8960
home conveyed will be reduced under division (A) of section 8961
323.152 or under section 4503.065 of the Revised Code and that the 8962
grantor indicated that to the best of the grantor's knowledge the 8963
taxes will not be so reduced; or8964

       (2) Be accompanied by a sworn or affirmed instrument stating:8965

       (a) To the best of the grantor's knowledge the real property 8966
or the manufactured or mobile home that is the subject of the8967
conveyance is eligible for and will receive a reduction in taxes 8968
for or payable in the current year under division (A) of section 8969
323.152 or under section 4503.065 of the Revised Code and that the 8970
reduction or reductions will be reflected in the grantee's taxes;8971

       (b) The estimated amount of such reductions that will be8972
reflected in the grantee's taxes;8973

       (c) That the grantor and the grantee have considered and8974
accounted for the total estimated amount of such reductions to the 8975
satisfaction of both the grantee and the grantor. The auditor 8976
shall indorse the instrument, return it to the grantee or the 8977
grantee's representative, and provide a copy of the indorsed 8978
instrument to the grantor or the grantor's representative.8979

       (B) Each statement submitted under this section shall either:8980

       (1) Contain an affirmation by the grantee that the grantor8981
has been asked by the grantee or the grantee's representative 8982
whether to the best of the grantor's knowledge the real property 8983
conveyed qualified for the current agricultural use valuation 8984
under section 5713.30 of the Revised Code either for the preceding 8985
or the current year and that the grantor indicated that to the 8986
best of the grantor's knowledge the property conveyed was not so8987
qualified; or8988

       (2) Be accompanied by a sworn or affirmed instrument stating:8989

       (a) To the best of the grantor's knowledge the real property 8990
conveyed was qualified for the current agricultural use valuation 8991
under section 5713.30 of the Revised Code either for the preceding 8992
or the current year;8993

       (b) To the extent that the property will not continue to8994
qualify for the current agricultural use valuation either for the8995
current or the succeeding year, that the property will be subject8996
to a recoupment charge equal to the tax savings in accordance with 8997
section 5713.34 of the Revised Code;8998

       (c) That the grantor and the grantee have considered and8999
accounted for the total estimated amount of such recoupment, if9000
any, to the satisfaction of both the grantee and the grantor. The 9001
auditor shall indorse the instrument, forward it to the grantee or 9002
the grantee's representative, and provide a copy of the indorsed9003
instrument to the grantor or the grantor's representative.9004

       (C) The grantor shall pay the fee required by division9005
(F)(G)(3) of section 319.54 of the Revised Code; and, in the event9006
the board of county commissioners of the county has levied a real9007
property or a manufactured home transfer tax pursuant to Chapter 9008
322. of the Revised Code, the amount required by the real property 9009
or manufactured home transfer tax so levied. If the conveyance is 9010
exempt from the fee provided for in division (F)(G)(3) of section 9011
319.54 of the Revised Code and the tax, if any, levied pursuant to 9012
Chapter 322. of the Revised Code, the reason for such exemption 9013
shall be shown on the statement. "Value" means, in the case of any 9014
deed or certificate of title not a gift in whole or part, the 9015
amount of the full consideration therefor, paid or to be paid for 9016
the real estate or manufactured or mobile home described in the9017
deed or title, including the amount of any mortgage or vendor's 9018
lien thereon. If property sold under a land installment contract 9019
is conveyed by the seller under such contract to a third party and 9020
the contract has been of record at least twelve months prior to 9021
the date of conveyance, "value" means the unpaid balance owed to 9022
the seller under the contract at the time of the conveyance, but 9023
the statement shall set forth the amount paid under such contract 9024
prior to the date of conveyance. In the case of a gift in whole 9025
or part, "value" means the estimated price the real estate or 9026
manufactured or mobile home described in the deed or certificate 9027
of title would bring in the open market and under the then 9028
existing and prevailing market conditions in a sale between a 9029
willing seller and a willing buyer, both conversant with the 9030
property and with prevailing general price levels. No person shall 9031
willfully falsify the value of property conveyed.9032

       (D) The auditor shall indorse each conveyance on its face to 9033
indicate the amount of the conveyance fee and compliance with this 9034
section. The auditor shall retain the original copy of the9035
statement of value, forward to the tax commissioner one copy on9036
which shall be noted the most recent assessed value of the9037
property, and furnish one copy to the grantee or the grantee's 9038
representative.9039

       (E) In order to achieve uniform administration and collection 9040
of the transfer fee required by division (F)(G)(3) of section 9041
319.54 of the Revised Code, the tax commissioner shall adopt and 9042
promulgate rules for the administration and enforcement of the 9043
levy and collection of such fee.9044

       Sec. 319.281.  The county auditor shall place on the general9045
tax list and duplicate compiled in accordance with section 319.289046
of the Revised Code the amount certified by the health9047
commissioner of a city or general health district pursuant to9048
section 3709.091 of the Revised Code of any unpaid operation9049
permit or inspection fee for a household sewage treatmentdisposal9050
system or a small flow on-site sewage treatment system or any 9051
other unpaid fee levied under Chapter 3718. of the Revised Code9052
and any accrued late payment penalties, together with any fee 9053
charged by the county auditor for placing the amount on the 9054
general tax list and duplicate and for the expenses of its9055
collection. The amount placed on the general tax list and9056
duplicate shall be a lien on the real property on which the9057
household sewage treatmentdisposal system or small flow on-site 9058
sewage treatment system is located from the date the amount was 9059
placed on the tax list and duplicate, and shall be charged and 9060
collected in the same manner as taxes on the list.9061

       Sec. 319.54.  (A) On all moneys collected by the county9062
treasurer on any tax duplicate of the county, other than estate9063
tax duplicates, and on all moneys received as advance payments of9064
personal property and classified property taxes, the county9065
auditor, on settlement with the treasurer and tax commissioner, on 9066
or before the date prescribed by law for such settlement or any 9067
lawful extension of such date, shall be allowed as compensation 9068
for the county auditor's services the following percentages:9069

       (1) On the first one hundred thousand dollars, two and9070
one-half per cent;9071

       (2) On the next two million dollars, eight thousand three9072
hundred eighteen ten-thousandths of one per cent;9073

       (3) On the next two million dollars, six thousand six hundred 9074
fifty-five ten-thousandths of one per cent;9075

       (4) On all further sums, one thousand six hundred sixty-three 9076
ten-thousandths of one per cent.9077

       If any settlement is not made on or before the date9078
prescribed by law for such settlement or any lawful extension of9079
such date, the aggregate compensation allowed to the auditor shall 9080
be reduced one per cent for each day such settlement is delayed 9081
after the prescribed date. No penalty shall apply if the auditor 9082
and treasurer grant all requests for advances up to ninety per 9083
cent of the settlement pursuant to section 321.34 of the Revised 9084
Code. The compensation allowed in accordance with this section on 9085
settlements made before the dates prescribed by law, or the 9086
reduced compensation allowed in accordance with this section on 9087
settlements made after the date prescribed by law or any lawful 9088
extension of such date, shall be apportioned ratably by the 9089
auditor and deducted from the shares or portions of the revenue 9090
payable to the state as well as to the county, townships,9091
municipal corporations, and school districts.9092

       (B) For the purpose of compensating county auditors for the 9093
expenses associated with the increased number of applications for 9094
reductions in real property taxes under sections 323.152 and 9095
4503.065 of the Revised Code that results from the amendment of 9096
those sections by H.B. 119 of the 127th general assembly, there 9097
shall be paid from the general revenue fund to each county auditor 9098
each year an amount equal to one per cent of the total annual 9099
amount of property tax relief reimbursement paid to that county 9100
under sections 323.156 and 4503.068 of the Revised Code.9101

        (C) From all moneys collected by the county treasurer on any 9102
tax duplicate of the county, other than estate tax duplicates, and 9103
on all moneys received as advance payments of personal property 9104
and classified property taxes, there shall be paid into the county 9105
treasury to the credit of the real estate assessment fund created 9106
by section 325.31 of the Revised Code, an amount to be determined 9107
by the county auditor, which shall not exceed the following 9108
percentages:9109

       (1) On the first one hundred thousand dollars, three and9110
one-half per cent;9111

       (2) On the next three million dollars, one and three-eighths 9112
per cent;9113

       (3) On the next three million dollars, one per cent;9114

       (4) On all further sums not exceeding one hundred fifty9115
million dollars, three-quarters of one per cent;9116

       (5) On amounts exceeding one hundred fifty million dollars, 9117
six-tenths of one per cent.9118

       Such compensation shall be apportioned ratably by the auditor 9119
and deducted from the shares or portions of the revenue payable to 9120
the state as well as to the county, townships, municipal 9121
corporations, and school districts.9122

       (C)(D) Each county auditor shall receive four per cent of the9123
amount of tax collected and paid into the county treasury, on9124
property omitted and placed by the county auditor on the tax9125
duplicate.9126

       (D)(E) On all estate tax moneys collected by the county9127
treasurer, the county auditor, on settlement semiannually with the 9128
tax commissioner, shall be allowed, as compensation for the9129
auditor's services under Chapter 5731. of the Revised Code, the 9130
following percentages:9131

       (1) Four per cent on the first one hundred thousand dollars;9132

       (2) One-half of one per cent on all additional sums.9133

       Such percentages shall be computed upon the amount collected 9134
and reported at each semiannual settlement, and shall be for the 9135
use of the general fund of the county.9136

       (E)(F) On all cigarette license moneys collected by the9137
county treasurer, the county auditor, on settlement semiannually9138
with the treasurer, shall be allowed as compensation for the9139
auditor's services in the issuing of such licenses one-half of one 9140
per cent of such moneys, to be apportioned ratably and deducted 9141
from the shares of the revenue payable to the county and 9142
subdivisions, for the use of the general fund of the county.9143

       (F)(G) The county auditor shall charge and receive fees as9144
follows:9145

       (1) For deeds of land sold for taxes to be paid by the9146
purchaser, five dollars;9147

       (2) For the transfer or entry of land, lot, or part of lot, 9148
or the transfer or entry on or after January 1, 2000, of a used 9149
manufactured home or mobile home as defined in section 5739.0210 9150
of the Revised Code, fifty cents for each transfer or entry, to be 9151
paid by the person requiring it;9152

       (3) For receiving statements of value and administering9153
section 319.202 of the Revised Code, one dollar, or ten cents for 9154
each one hundred dollars or fraction of one hundred dollars, 9155
whichever is greater, of the value of the real property 9156
transferred or, for sales occurring on or after January 1, 2000, 9157
the value of the used manufactured home or used mobile home, as 9158
defined in section 5739.0210 of the Revised Code, transferred, 9159
except no fee shall be charged when the transfer is made:9160

       (a) To or from the United States, this state, or any9161
instrumentality, agency, or political subdivision of the United9162
States or this state;9163

       (b) Solely in order to provide or release security for a debt 9164
or obligation;9165

       (c) To confirm or correct a deed previously executed and9166
recorded;9167

       (d) To evidence a gift, in trust or otherwise and whether9168
revocable or irrevocable, between husband and wife, or parent and9169
child or the spouse of either;9170

       (e) On sale for delinquent taxes or assessments;9171

       (f) Pursuant to court order, to the extent that such transfer 9172
is not the result of a sale effected or completed pursuant to such 9173
order;9174

       (g) Pursuant to a reorganization of corporations or9175
unincorporated associations or pursuant to the dissolution of a9176
corporation, to the extent that the corporation conveys the9177
property to a stockholder as a distribution in kind of the9178
corporation's assets in exchange for the stockholder's shares in9179
the dissolved corporation;9180

       (h) By a subsidiary corporation to its parent corporation for 9181
no consideration, nominal consideration, or in sole consideration 9182
of the cancellation or surrender of the subsidiary's stock;9183

       (i) By lease, whether or not it extends to mineral or mineral 9184
rights, unless the lease is for a term of years renewable forever;9185

       (j) When the value of the real property or the manufactured 9186
or mobile home or the value of the interest that is conveyed does 9187
not exceed one hundred dollars;9188

       (k) Of an occupied residential property, including a 9189
manufactured or mobile home, being transferred to the builder of a 9190
new residence or to the dealer of a new manufactured or mobile 9191
home when the former residence is traded as part of the 9192
consideration for the new residence or new manufactured or mobile 9193
home;9194

       (l) To a grantee other than a dealer in real property or in 9195
manufactured or mobile homes, solely for the purpose of, and as a 9196
step in, the prompt sale of the real property or manufactured or 9197
mobile home to others;9198

       (m) To or from a person when no money or other valuable and 9199
tangible consideration readily convertible into money is paid or 9200
to be paid for the real estate or manufactured or mobile home and9201
the transaction is not a gift;9202

       (n) Pursuant to division (B) of section 317.22 of the Revised9203
Code, or section 2113.61 of the Revised Code, between spouses or 9204
to a surviving spouse pursuant to section 5302.17 of the Revised 9205
Code as it existed prior to April 4, 1985, between persons 9206
pursuant to section 5302.17 or 5302.18 of the Revised Code on or 9207
after April 4, 1985, to a person who is a surviving, survivorship 9208
tenant pursuant to section 5302.17 of the Revised Code on or after 9209
April 4, 1985, or pursuant to section 5309.45 of the Revised Code;9210

       (o) To a trustee acting on behalf of minor children of the9211
deceased;9212

       (p) Of an easement or right-of-way when the value of the9213
interest conveyed does not exceed one thousand dollars;9214

       (q) Of property sold to a surviving spouse pursuant to9215
section 2106.16 of the Revised Code;9216

       (r) To or from an organization exempt from federal income9217
taxation under section 501(c)(3) of the "Internal Revenue Code of9218
1986," 100 Stat. 2085, 26 U.S.C.A. 1, as amended, provided such9219
transfer is without consideration and is in furtherance of the9220
charitable or public purposes of such organization;9221

       (s) Among the heirs at law or devisees, including a surviving 9222
spouse, of a common decedent, when no consideration in money is 9223
paid or to be paid for the real property or manufactured or mobile9224
home;9225

       (t) To a trustee of a trust, when the grantor of the trust9226
has reserved an unlimited power to revoke the trust;9227

       (u) To the grantor of a trust by a trustee of the trust, when 9228
the transfer is made to the grantor pursuant to the exercise of 9229
the grantor's power to revoke the trust or to withdraw trust 9230
assets;9231

       (v) To the beneficiaries of a trust if the fee was paid on9232
the transfer from the grantor of the trust to the trustee or if 9233
the transfer is made pursuant to trust provisions which became 9234
irrevocable at the death of the grantor;9235

       (w) To a corporation for incorporation into a sports facility 9236
constructed pursuant to section 307.696 of the Revised Code;9237

       (x) Between persons pursuant to section 5302.18 of the 9238
Revised Code.9239

       The auditor shall compute and collect the fee. The auditor9240
shall maintain a numbered receipt system, as prescribed by the tax 9241
commissioner, and use such receipt system to provide a receipt to 9242
each person paying a fee. The auditor shall deposit the receipts 9243
of the fees on conveyances in the county treasury daily to the 9244
credit of the general fund of the county.9245

       The real property transfer fee provided for in division 9246
(F)(G)(3) of this section shall be applicable to any conveyance of 9247
real property presented to the auditor on or after January 1, 9248
1968, regardless of its time of execution or delivery.9249

       The transfer fee for a used manufactured home or used mobile 9250
home shall be computed by and paid to the county auditor of the 9251
county in which the home is located immediately prior to the 9252
transfer.9253

       Sec. 321.08.  The county treasurer shall enter on histhe9254
treasurer's account each day the money received for advance 9255
payments of taxes and taxes charged on the general and special 9256
duplicates of the current year in the following manner:9257

       (A) Collections of estate tax to be credited to the 9258
"undivided estate tax fund;"9259

       (B) Collections of classified property taxes, including 9260
interest and penalties thereon, shall be credited to the county 9261
library and local government supportlibraries fund and 9262
distributed in accordance with section 5747.48 of the Revised 9263
Code;9264

       (C) Collections of other taxes and assessments of whatever 9265
kind to be credited to the undivided general tax fund.9266

       Sec. 322.01.  As used in sections 322.01 to 322.07 of the 9267
Revised Code:9268

       (A) "Value" means, in the case of any deed not a gift in9269
whole or part, the amount of the full consideration therefor, paid 9270
or to be paid for the real estate described in the deed, including 9271
the amount of any liens thereon, with the following exceptions:9272

       (1) The amount owed on a debt secured by a mortgage which has 9273
been of record at least twelve months prior to the date of the 9274
conveyance and which is assumed by the purchaser;9275

       (2) The difference between the full amount of consideration 9276
and the unpaid balance owed to the seller at the time of the 9277
conveyance of property to a third party under a land installment 9278
contract that has been of record at least twelve months prior to 9279
the date of conveyance.9280

       (B) "Value" means, in the case of a manufactured or mobile 9281
home that is not a gift in whole or in part, the amount of the 9282
full consideration paid or to be paid for the home, including the 9283
amounts of any liens thereon.9284

       (C) "Value" means, in the case of a gift in whole or part,9285
the estimated price the real estate described in the deed, or the 9286
manufactured or mobile home, would bring in the open market and 9287
under the then existing and prevailing market conditions in a sale 9288
between a willing seller and a willing buyer, both conversant with 9289
the property and with prevailing general price levels.9290

       (D) "Deed" means any deed, instrument, or writing by which9291
any real property or any interest in real property is granted,9292
assigned, transferred, or otherwise conveyed except that it does9293
not include any deed, instrument, or writing which grants,9294
assigns, transfers, or otherwise conveys any real property or9295
interests in real property exempted from the fee required by9296
division (F)(G)(3) of section 319.54 of the Revised Code.9297

       (E) "Manufactured home" has the same meaning as in division 9298
(C)(4) of section 3781.06 of the Revised Code.9299

       (F) "Mobile home" has the same meaning as in division (O) of 9300
section 4501.01 of the Revised Code.9301

       Sec. 323.151.  As used in sections 323.151 to 323.159 of the9302
Revised Code:9303

       (A) "Homestead" means either of the following:9304

       (1) A dwelling, including a unit in a multiple-unit dwelling9305
and a manufactured home or mobile home taxed as real property9306
pursuant to division (B) of section 4503.06 of the Revised Code,9307
owned and occupied as a home by an individual whose domicile is in9308
this state and who has not acquired ownership from a person, other9309
than the individual's spouse, related by consanguinity or affinity9310
for the purpose of qualifying for the real property tax reduction9311
provided in section 323.152 of the Revised Code.9312

       (2) A unit in a housing cooperative that is occupied as a9313
home, but not owned, by an individual whose domicile is in this9314
state.9315

       The homestead shall include so much of the land surrounding9316
it, not exceeding one acre, as is reasonably necessary for the use9317
of the dwelling or unit as a home. An owner includes a holder of9318
one of the several estates in fee, a vendee in possession under a9319
purchase agreement or a land contract, a mortgagor, a life tenant,9320
one or more tenants with a right of survivorship, tenants in9321
common, and a settlor of a revocable inter vivos trust holding the9322
title to a homestead occupied by the settlor as of right under the9323
trust. The tax commissioner shall adopt rules for the uniform9324
classification and valuation of real property or portions of real9325
property as homesteads.9326

       (B) "Sixty-five years of age or older" means a person who has 9327
attained age sixty-four prior to the first day of January of the 9328
year of application for reduction in real estate taxes.9329

       (C) "Total income" means the adjusted gross income of the9330
owner and the owner's spouse for the year preceding the year in9331
which application for a reduction in taxes is made, as determined9332
under the "Internal Revenue Code of 1986," 100 Stat. 2085, 269333
U.S.C.A. 1, as amended, adjusted as follows:9334

       (1) Subtract the amount of disability benefits included in9335
adjusted gross income, but not to exceed fifty-two hundred9336
dollars;9337

       (2) Add old age and survivors benefits received pursuant to9338
the "Social Security Act" that are not included in adjusted gross9339
income;9340

       (3) Add retirement, pension, annuity, or other retirement9341
payments or benefits not included in adjusted gross income;9342

       (4) Add tier I and tier II railroad retirement benefits9343
received pursuant to the "Railroad Retirement Act," 50 Stat. 307,9344
45 U.S.C.A. 228;9345

       (5) Add interest on federal, state, and local government9346
obligations;9347

       (6) For a person who received the homestead exemption for a9348
prior year on the basis of being permanently and totally disabled9349
and whose current application for the exemption is made on the9350
basis of age, subtract the following amount:9351

       (a) If the person received disability benefits that were not9352
included in adjusted gross income in the year preceding the first9353
year in which the person applied for the exemption on the basis of9354
age, subtract an amount equal to the disability benefits the9355
person received in that preceding year, to the extent included in9356
total income in the current year and not subtracted under division9357
(C)(1) of this section in the current year;9358

       (b) If the person received disability benefits that were9359
included in adjusted gross income in the year preceding the first9360
year in which the person applied for the exemption on the basis of9361
age, subtract an amount equal to the amount of disability benefits9362
that were subtracted pursuant to division (C)(1) of this section9363
in that preceding year, to the extent included in total income in9364
the current year and not subtracted under division (C)(1) of this9365
section in the current year.9366

       Disability benefits that are paid by the department of9367
veterans affairs or a branch of the armed forces of the United9368
States on account of an injury or disability shall not be included9369
in total income.9370

       (D) "Old age and survivors benefits received pursuant to the9371
'Social Security Act'" or "tier I railroad retirement benefits9372
received pursuant to the 'Railroad Retirement Act'" means:9373

       (1) For those persons receiving the homestead exemption for9374
the first time for tax years 1976 and earlier, old age benefits9375
payable under the social security or railroad retirement laws in9376
effect on December 31, 1975, except in those cases where a change9377
in social security or railroad retirement benefits would result in9378
a reduction in income.9379

       (2) For those persons receiving the homestead exemption for9380
the first time for tax years 1977 and thereafter, old age benefits9381
payable under the social security or railroad retirement laws in9382
effect on the last day of the calendar year prior to the year for9383
which the homestead exemption is first received, or, if no such9384
benefits are payable that year, old age benefits payable the first9385
succeeding year in which old age benefits under the social9386
security or railroad retirement laws are payable, except in those9387
cases where a change in social security or railroad retirement9388
benefits results in a reduction in income.9389

       (3) The lesser of:9390

       (a) Survivors benefits payable under the social security or9391
railroad retirement laws in effect on the last day of the calendar9392
year prior to the year for which the homestead exemption is first9393
received, or, if no such benefits are payable that year, survivors9394
benefits payable the first succeeding year in which survivors9395
benefits are payable; or9396

       (b) Old age benefits of the deceased spouse, as determined9397
under division (D)(1) or (2) of this section, upon which the9398
surviving spouse's survivors benefits are based under the social9399
security or railroad retirement laws, except in those cases where9400
a change in benefits would cause a reduction in income.9401

       Survivors benefits are those described in division (D)(3)(b)9402
of this section only if the deceased spouse received old age9403
benefits in the year in which the deceased spouse died. If the9404
deceased spouse did not receive old age benefits in the year in9405
which the deceased spouse died, then survivors benefits are those9406
described in division (D)(3)(a) of this section.9407

       (E) "Permanently and totally disabled" means a person who9408
has, on the first day of January of the year of application for9409
reduction in real estate taxes, some impairment in body or mind9410
that makes the person unable to work at any substantially9411
remunerative employment that the person is reasonably able to9412
perform and that will, with reasonable probability, continue for9413
an indefinite period of at least twelve months without any present9414
indication of recovery therefrom or has been certified as9415
permanently and totally disabled by a state or federal agency9416
having the function of so classifying persons.9417

       (F)(D) "Housing cooperative" means a housing complex of at9418
least two hundred fifty units that is owned and operated by a9419
nonprofit corporation that issues a share of the corporation's9420
stock to an individual, entitling the individual to live in a unit9421
of the complex, and collects a monthly maintenance fee from the9422
individual to maintain, operate, and pay the taxes of the complex.9423

       Sec. 323.152.  In addition to the reduction in taxes required9424
under section 319.302 of the Revised Code, taxes shall be reduced9425
as provided in divisions (A) and (B) of this section.9426

       (A)(1) Division (A) of this section applies to any of the9427
following:9428

       (a) A person who is permanently and totally disabled;9429

       (b) A person who is sixty-five years of age or older;9430

       (c) A person who is the surviving spouse of a deceased person 9431
who was permanently and totally disabled or sixty-five years of 9432
age or older and who applied and qualified for a reduction in 9433
taxes under this division in the year of death, provided the9434
surviving spouse is at least fifty-nine but not sixty-five or more 9435
years of age on the date the deceased spouse dies.9436

       (2) Real property taxes on a homestead owned and occupied, or 9437
a homestead in a housing cooperative occupied, by a person to whom 9438
division (A) of this section applies shall be reduced for each 9439
year for which the owner obtains a certificate of reduction from 9440
the county auditor under section 323.154 of the Revised Code or 9441
for which the occupant obtains a certificate of reduction in9442
accordance with section 323.159 of the Revised Code. The reduction9443
shall equal the amount obtained by multiplying the tax rate for 9444
the tax year for which the certificate is issued by the reduction 9445
in taxable value shown in the following schedule:9446

Reduce Taxable Value 9447
Total Income by the Lesser of: 9448

$11,900 or less $5,000 or seventy-five per cent 9449
More than $11,900 but not more than $17,500 $3,000 or sixty per cent 9450
More than $17,500 but not more than $23,000 $1,000 or twenty-five per cent 9451
More than $23,000 -0- 9452

       (3) Each calendar year, the tax commissioner shall adjust the 9453
foregoing schedule by completing the following calculations in 9454
September of each year:9455

       (a) Determine the percentage increase in the gross domestic9456
product deflator determined by the bureau of economic analysis of9457
the United States department of commerce from the first day of 9458
January of the preceding calendar year to the last day of December 9459
of the preceding calendar year;9460

       (b) Multiply that percentage increase by each of the total9461
income amounts, and by each dollar amount by which taxable value9462
is reduced, for the current tax year;9463

       (c) Add the resulting product to each of the total income9464
amounts, and to each of the dollar amounts by which taxable value9465
is reduced, for the current tax year;9466

       (d)(i) Except as provided in division (A)(3)(d)(ii) of this 9467
section, round the resulting sum to the nearest multiple of one9468
hundred dollars;9469

       (ii) If rounding the resulting sum to the nearest multiple of 9470
one hundred dollars under division (A)(3)(d)(i) of this section 9471
does not increase the dollar amounts by which taxable value is 9472
reduced, the resulting sum instead shall be rounded to the nearest 9473
multiple of ten dollars.9474

       The commissioner shall certify the amounts resulting from the9475
adjustment to each county auditor not later than the first day of9476
December each year. The certified amounts apply to the following9477
tax year. The commissioner shall not make the adjustment in any9478
calendar year in which the amounts resulting from the adjustment9479
would be less than the total income amounts, or less than the9480
dollar amounts by which taxable value is reduced, for the current9481
tax yeargreater of the reduction granted for tax year 2006, if 9482
the taxpayer received a reduction for tax year 2006, or the 9483
product of the following:9484

       (a) Twenty-five thousand dollars of the true value of the 9485
property in money;9486

       (b) The assessment percentage established by the tax 9487
commissioner under division (B) of section 5715.01 of the Revised 9488
Code, not to exceed thirty-five per cent;9489

       (c) The effective tax rate on residential/agricultural real 9490
property, where "effective tax rate" is defined as in section 9491
323.08 of the Revised Code, and where "residential/agricultural 9492
real property" is defined as in section 5713.041 of the Revised 9493
Code;9494

        (d) The quantity equal to one minus the sum of the percentage 9495
reductions in taxes allowed by section 319.302 of the Revised Code 9496
and division (B) of section 323.152 of the Revised Code.9497

       (B) To provide a partial exemption, real property taxes on 9498
any homestead, and manufactured home taxes on any manufactured or 9499
mobile home on which a manufactured home tax is assessed pursuant 9500
to division (D)(2) of section 4503.06 of the Revised Code, shall 9501
be reduced for each year for which the owner obtains a certificate 9502
of reduction from the county auditor under section 323.154 of the9503
Revised Code. The amount of the reduction shall equal two and 9504
one-half per cent of the amount of taxes to be levied on the9505
homestead or the manufactured or mobile home after applying9506
section 319.301 of the Revised Code.9507

       (C) The reductions granted by this section do not apply to9508
special assessments or respread of assessments levied against the9509
homestead, and if there is a transfer of ownership subsequent to9510
the filing of an application for a reduction in taxes, such9511
reductions are not forfeited for such year by virtue of such9512
transfer.9513

       (D) The reductions in taxable value referred to in this9514
section shall be applied solely as a factor for the purpose of9515
computing the reduction of taxes under this section and shall not9516
affect the total value of property in any subdivision or taxing9517
district as listed and assessed for taxation on the tax lists and9518
duplicates, or any direct or indirect limitations on indebtedness9519
of a subdivision or taxing district. If after application of9520
sections 5705.31 and 5705.32 of the Revised Code, including the9521
allocation of all levies within the ten-mill limitation to debt9522
charges to the extent therein provided, there would be9523
insufficient funds for payment of debt charges not provided for by9524
levies in excess of the ten-mill limitation, the reduction of9525
taxes provided for in sections 323.151 to 323.159 of the Revised9526
Code shall be proportionately adjusted to the extent necessary to9527
provide such funds from levies within the ten-mill limitation.9528

       (E) No reduction shall be made on the taxes due on the9529
homestead of any person convicted of violating division (C) or (D)9530
of section 323.153 of the Revised Code for a period of three years9531
following the conviction.9532

       Sec. 323.153.  (A) To obtain a reduction in real property9533
taxes under division (A) or (B) of section 323.152 of the Revised9534
Code or in manufactured home taxes under division (B) of section9535
323.152 of the Revised Code, the owner shall file an application9536
with the county auditor of the county in which the owner's9537
homestead is located.9538

       To obtain a reduction in real property taxes under division9539
(A) of section 323.152 of the Revised Code, the occupant of a9540
homestead in a housing cooperative shall file an application with9541
the nonprofit corporation that owns and operates the housing9542
cooperative, in accordance with this paragraph. Not later than the 9543
first day of March each year, the corporation shall obtain9544
applications from the county auditor's office and provide one to9545
each new occupant. Not later than the first day of May, any9546
occupant who may be eligible for a reduction in taxes under9547
division (A) of section 323.152 of the Revised Code shall submit9548
the completed application to the corporation. Not later than the9549
fifteenth day of May, the corporation shall file all completed9550
applications, and the information required by division (B) of9551
section 323.159 of the Revised Code, with the county auditor of9552
the county in which the occupants' homesteads are located. 9553
Continuing applications shall be furnished to an occupant in the9554
manner provided in division (C)(4) of this section.9555

       (1) An application for reduction based upon a physical9556
disability shall be accompanied by a certificate signed by a9557
physician, and an application for reduction based upon a mental9558
disability shall be accompanied by a certificate signed by a9559
physician or psychologist licensed to practice in this state,9560
attesting to the fact that the applicant is permanently and9561
totally disabled. The certificate shall be in a form that the tax9562
commissioner requires and shall include the definition of9563
permanently and totally disabled as set forth in section 323.1519564
of the Revised Code. An application for reduction based upon a9565
disability certified as permanent and total by a state or federal9566
agency having the function of so classifying persons shall be9567
accompanied by a certificate from that agency. Such an9568

       An application for a reduction under division (A) of section 9569
323.152 of the Revised Code constitutes a continuing application 9570
for a reduction in taxes for each year in which the dwelling is 9571
the applicant's homestead and the amount of the reduction in 9572
taxable value to which the applicant is entitled does not exceed 9573
either the amount or percentage of the reduction to which the 9574
applicant was entitled for the year in which the application was 9575
first filed.9576

       (2) An application for a reduction in taxes under division9577
(B) of section 323.152 of the Revised Code shall be filed only if9578
the homestead or manufactured or mobile home was transferred in9579
the preceding year or did not qualify for and receive the9580
reduction in taxes under that division for the preceding tax year. 9581
The application for homesteads transferred in the preceding year9582
shall be incorporated into any form used by the county auditor to9583
administer the tax law in respect to the conveyance of real9584
property pursuant to section 319.20 of the Revised Code or of used9585
manufactured homes or used mobile homes as defined in section9586
5739.0210 of the Revised Code. The owner of a manufactured or9587
mobile home who has elected under division (D)(4) of section9588
4503.06 of the Revised Code to be taxed under division (D)(2) of9589
that section for the ensuing year may file the application at the9590
time of making that election. The application shall contain a9591
statement that failure by the applicant to affirm on the9592
application that the dwelling on the property conveyed is the9593
applicant's homestead prohibits the owner from receiving the9594
reduction in taxes until a proper application is filed within the9595
period prescribed by division (A)(3) of this section. Such an9596
application constitutes a continuing application for a reduction9597
in taxes for each year in which the dwelling is the applicant's9598
homestead.9599

       (3) Failure to receive a new application filed under division 9600
(A)(1) or (2) or notification under division (C) of this section 9601
after a certificate of reduction has been issued under section 9602
323.154 of the Revised Code, or failure to receive a new9603
application filed under division (A)(1) or notification under9604
division (C) of this section after a certificate of reduction has9605
been issued under section 323.159 of the Revised Code, is9606
prima-facie evidence that the original applicant is entitled to9607
the reduction in taxes calculated on the basis of the information9608
contained in the original application. The original application9609
and any subsequent application, including any late application,9610
shall be in the form of a signed statement and shall be filed9611
after the first Monday in January and not later than the first9612
Monday in June. The original application and any subsequent9613
application for a reduction in real property taxes shall be filed9614
in the year for which the reduction is sought. The original9615
application and any subsequent application for a reduction in9616
manufactured home taxes shall be filed in the year preceding the9617
year for which the reduction is sought. The statement shall be on9618
a form, devised and supplied by the tax commissioner, which shall9619
require no more information than is necessary to establish the9620
applicant's eligibility for the reduction in taxes and the amount9621
of the reduction, and, for a certificate of reduction issued under9622
section 323.154 of the Revised Code, shall include an affirmation9623
by the applicant that ownership of the homestead was not acquired9624
from a person, other than the applicant's spouse, related to the9625
owner by consanguinity or affinity for the purpose of qualifying9626
for the real property or manufactured home tax reduction provided9627
for in division (A) or (B) of section 323.152 of the Revised Code. 9628
The form shall contain a statement that conviction of willfully9629
falsifying information to obtain a reduction in taxes or failing9630
to comply with division (C) of this section results in the9631
revocation of the right to the reduction for a period of three9632
years. In the case of an application for a reduction in taxes9633
under division (A) of section 323.152 of the Revised Code, the9634
form shall contain a statement that signing the application9635
constitutes a delegation of authority by the applicant to the9636
county auditor to examine any financial records relating to income9637
earned by the applicant as stated on the application for the9638
purpose of determining a possible violation of division (D) or (E)9639
of this section.9640

       (B) A late application for a tax reduction for the year9641
preceding the year in which an original application is filed, or9642
for a reduction in manufactured home taxes for the year in which9643
an original application is filed, may be filed with the original9644
application. If the county auditor determines the information9645
contained in the late application is correct, the auditor shall9646
determine the amount of the reduction in taxes to which the9647
applicant would have been entitled for the preceding tax year had9648
the applicant's application been timely filed and approved in that9649
year.9650

       The amount of such reduction shall be treated by the auditor9651
as an overpayment of taxes by the applicant and shall be refunded9652
in the manner prescribed in section 5715.22 of the Revised Code9653
for making refunds of overpayments. On the first day of July of9654
each year, the county auditor shall certify the total amount of9655
the reductions in taxes made in the current year under this9656
division to the tax commissioner, who shall treat the full amount9657
thereof as a reduction in taxes for the preceding tax year and9658
shall make reimbursement to the county therefor in the manner9659
prescribed by section 323.156 of the Revised Code, from money9660
appropriated for that purpose.9661

       (C)(1) If, in any year after an application has been filed9662
under division (A)(1) or (2) of this section, the owner does not9663
qualify for a reduction in taxes on the homestead or on the9664
manufactured or mobile home set forth on such application, or9665
qualifies for a reduction in taxes that is to be based upon a9666
reduction in taxable value less than either the percentage or9667
amount of the reduction in taxable value to which the owner was9668
entitled in the year the application was filed, the owner shall9669
notify the county auditor that the owner is not qualified for a9670
reduction in taxes or file a new application under division (A)(1)9671
or (2) of this section.9672

       (2) If, in any year after an application has been filed under9673
division (A)(1) of this section, the occupant of a homestead in a9674
housing cooperative does not qualify for a reduction in taxes on 9675
the homestead, the occupant shall notify the county auditor that 9676
the occupant is not qualified for a reduction in taxes or file a 9677
new application under division (A)(1) of this section.9678

       (3) If the county auditor or county treasurer discovers that9679
the owner of property not entitled to the reduction in taxes under9680
division (B) of section 323.152 of the Revised Code failed to9681
notify the county auditor as required by division (C)(1) of this9682
section, a charge shall be imposed against the property in the9683
amount by which taxes were reduced under that division for each9684
tax year the county auditor ascertains that the property was not9685
entitled to the reduction and was owned by the current owner.9686
Interest shall accrue in the manner prescribed by division (B) of9687
section 323.121 or division (G)(2) of section 4503.06 of the9688
Revised Code on the amount by which taxes were reduced for each9689
such tax year as if the reduction became delinquent taxes at the9690
close of the last day the second installment of taxes for that tax9691
year could be paid without penalty. The county auditor shall9692
notify the owner, by ordinary mail, of the charge, of the owner's9693
right to appeal the charge, and of the manner in which the owner9694
may appeal. The owner may appeal the imposition of the charge and9695
interest by filing an appeal with the county board of revision not9696
later than the last day prescribed for payment of real and public9697
utility property taxes under section 323.12 of the Revised Code9698
following receipt of the notice and occurring at least ninety days9699
after receipt of the notice. The appeal shall be treated in the9700
same manner as a complaint relating to the valuation or assessment9701
of real property under Chapter 5715. of the Revised Code. The9702
charge and any interest shall be collected as other delinquent9703
taxes.9704

       (4) Each year during January, the county auditor shall9705
furnish by ordinary mail a continuing application to each person9706
issued a certificate of reduction under section 323.154 or 323.1599707
of the Revised Code with respect to a reduction in taxes under9708
division (A) of section 323.152 of the Revised Code. The9709
continuing application shall be used to report changes in total9710
income that would have the effect of increasing or decreasing the9711
reduction in taxable value to which the person is entitled,9712
changes in ownership or occupancy of the homestead, including9713
changes in or revocation of a revocable inter vivos trust, changes9714
in disability, and other changes in the information earlier9715
furnished the auditor relative to the reduction in taxes on the9716
property. The continuing application shall be returned to the9717
auditor not later than the first Monday in June; provided, that if9718
such changes do not affect the status of the homestead exemption9719
or the amount of the reduction to which the owner is entitled9720
under division (A) of section 323.152 of the Revised Code or to9721
which the occupant is entitled under section 323.159 of the9722
Revised Code, the application does not need to be returned.9723

       (5) Each year during February, the county auditor, except as9724
otherwise provided in this paragraph, shall furnish by ordinary9725
mail an original application to the owner, as of the first day of9726
January of that year, of a homestead or a manufactured or mobile9727
home that transferred during the preceding calendar year and that9728
qualified for and received a reduction in taxes under division (B)9729
of section 323.152 of the Revised Code for the preceding tax year. 9730
In order to receive the reduction under that division, the owner9731
shall file the application with the county auditor not later than9732
the first Monday in June. If the application is not timely filed,9733
the auditor shall not grant a reduction in taxes for the homestead9734
for the current year, and shall notify the owner that the9735
reduction in taxes has not been granted, in the same manner9736
prescribed under section 323.154 of the Revised Code for9737
notification of denial of an application. Failure of an owner to9738
receive an application does not excuse the failure of the owner to9739
file an original application. The county auditor is not required9740
to furnish an application under this paragraph for any homestead9741
for which application has previously been made on a form9742
incorporated into any form used by the county auditor to9743
administer the tax law in respect to the conveyance of real9744
property or of used manufactured homes or used mobile homes, and9745
an owner who previously has applied on such a form is not required9746
to return an application furnished under this paragraph.9747

       (D) No person shall knowingly make a false statement for the9748
purpose of obtaining a reduction in the person's real property or9749
manufactured home taxes under section 323.152 of the Revised Code.9750

       (E) No person shall knowingly fail to notify the county9751
auditor of changes required by division (C) of this section that9752
have the effect of maintaining or securing a reduction in taxable9753
value of homestead property or a reduction in taxes in excess of9754
the reduction allowed under section 323.152 of the Revised Code.9755

       (F) No person shall knowingly make a false statement or9756
certification attesting to any person's physical or mental9757
condition for purposes of qualifying such person for tax relief9758
pursuant to sections 323.151 to 323.159 of the Revised Code.9759

       Sec. 323.154.  On or before the day the county auditor has9760
completed the duties imposed by sections 319.30 to 319.302 of the9761
Revised Code, the auditor shall issue a certificate of reduction 9762
in taxes in triplicate for each person who has complied with 9763
section 323.153 of the Revised Code and whose homestead, as9764
defined in division (A)(1) of section 323.151 of the Revised Code, 9765
or manufactured or mobile home the auditor finds is entitled to a 9766
reduction in real property or manufactured home taxes for that 9767
year under section 323.152 of the Revised Code. Except as provided 9768
in section 323.159 of the Revised Code, in the case of a homestead 9769
entitled to a reduction under division (A) of that section, the 9770
certificate shall state the taxable value of the homestead on the 9771
first day of January of that year, the amount of the reduction in 9772
taxable value and the total reduction in taxes for that year under 9773
that section, the tax rate that is applicable against such 9774
homestead for that year, and any other information the tax 9775
commissioner requires. In the case of a homestead or a9776
manufactured or mobile home entitled to a reduction under division 9777
(B) of that section, the certificate shall state the total amount 9778
of the reduction in taxes for that year under that section and any 9779
other information the tax commissioner requires. The certificate 9780
for reduction in taxes shall be on a form approved by the 9781
commissioner. Upon issuance of such a certificate, the county 9782
auditor shall forward one copy and the original to the county 9783
treasurer and retain one copy. The county auditor also shall 9784
record the amount of reduction in taxes in the appropriate column 9785
on the general tax list and duplicate of real and public utility 9786
property and on the manufactured home tax list.9787

       If an application, late application, or continuing9788
application is not approved, or if the county auditor otherwise9789
determines that a homestead or a manufactured or mobile home does 9790
not qualify for a reduction in taxes under division (A) or (B) of 9791
section 323.152 of the Revised Code, the auditor shall notify the 9792
applicant of the reasons for denial not later than the first 9793
Monday in October. If an applicant believes that the application 9794
for reduction has been improperly denied or that the reduction is 9795
for less than that to which the applicant is entitled, the 9796
applicant may file an appeal with the county board of revision not 9797
later than the date of closing of the collection for the first 9798
half of real and public utility property taxes or manufactured 9799
home taxes. The appeal shall be treated in the same manner as a 9800
complaint relating to the valuation or assessment of real property 9801
under Chapter 5715. of the Revised Code.9802

       Sec. 325.31.  (A) On the first business day of each month,9803
and at the end of the officer's term of office, each officer named 9804
in section 325.27 of the Revised Code shall pay into the county9805
treasury, to the credit of the general county fund, on the warrant 9806
of the county auditor, all fees, costs, penalties, percentages, 9807
allowances, and perquisites collected by the officer's office 9808
during the preceding month or part thereof for official services, 9809
except the fees allowed the county auditor by division (B)(C) of9810
section 319.54 of the Revised Code, which shall be paid into the9811
county treasury to the credit of the real estate assessment fund9812
hereby created.9813

       (B) Moneys to the credit of the real estate assessment fund 9814
may be expended, upon appropriation by the board of county9815
commissioners, for the purpose of defraying one or more of the 9816
following:9817

       (1) The cost incurred by the county auditor in assessing real 9818
estate pursuant to Chapter 5713. of the Revised Code and 9819
manufactured and mobile homes pursuant to Chapter 4503. of the 9820
Revised Code;9821

       (2) At the county auditor's discretion, costs and expenses 9822
incurred by the county auditor in preparing the list of real and 9823
public utility property, in administering laws related to the 9824
taxation of real property and the levying of special assessments 9825
on real property, including administering reductions under 9826
Chapters 319. and 323. and section 4503.065 of the Revised Code, 9827
and to support assessments of real property in any administrative 9828
or judicial proceeding;9829

        (3) At the county auditor's discretion, the expenses incurred 9830
by the county board of revision under Chapter 5715. of the Revised 9831
Code;9832

       (4) At the county auditor's discretion, the expenses incurred 9833
by the county auditor for geographic information systems, mapping 9834
programs, and technological advances in those or similar systems 9835
or programs;9836

       (5) At the county auditor's discretion, expenses incurred by 9837
the county auditor in compiling the general tax list of tangible 9838
personal property and administering tangible personal property 9839
taxes under Chapters 5711. and 5719. of the Revised Code;9840

       (6) At the county auditor's discretion, costs, expenses, and 9841
fees incurred by the county auditor in the administration of 9842
estate taxes under Chapter 5731. of the Revised Code and the 9843
amounts incurred under section 5731.41 of the Revised Code.9844

       Any expenditures made from the real estate assessment fund 9845
shall comply with rules that the tax commissioner adopts under 9846
division (O) of section 5703.05 of the Revised Code. Those rules 9847
shall include a requirement that a copy of any appraisal plans, 9848
progress of work reports, contracts, or other documents required 9849
to be filed with the tax commissioner shall be filed also with the 9850
board of county commissioners.9851

       The board of county commissioners shall not transfer moneys9852
required to be deposited in the real estate assessment fund to any 9853
other fund. Following an assessment of real property pursuant to 9854
Chapter 5713. of the Revised Code, or an assessment of a9855
manufactured or mobile home pursuant to Chapter 4503. of the 9856
Revised Code, any moneys not expended for the purpose of defraying 9857
the cost incurred in assessing real estate or manufactured or 9858
mobile homes or for the purpose of defraying the expenses 9859
described in divisions (B)(2), (3), (4), (5), and (6) of this 9860
section, and thereby remaining to the credit of the real estate 9861
assessment fund, shall be apportioned ratably and distributed to 9862
those taxing authorities that contributed to the fund. However, no 9863
such distribution shall be made if the amount of such unexpended 9864
moneys remaining to the credit of the real estate assessment fund 9865
does not exceed five thousand dollars.9866

       (C) None of the officers named in section 325.27 of the9867
Revised Code shall collect any fees from the county. Each of such 9868
officers shall, at the end of each calendar year, make and file a 9869
sworn statement with the board of county commissioners of all such 9870
fees, costs, penalties, percentages, allowances, and perquisites 9871
which have been due in the officer's office and unpaid for more 9872
than one year prior to the date such statement is required to be 9873
made.9874

       Sec. 329.04.  (A) The county department of job and family9875
services shall have, exercise, and perform the following powers9876
and duties:9877

       (1) Perform any duties assigned by the state department of9878
job and family services regarding the provision of public family9879
services, including the provision of the following services to9880
prevent or reduce economic or personal dependency and to9881
strengthen family life:9882

       (a) Services authorized by a Title IV-A program, as defined 9883
in section 5101.80 of the Revised Code;9884

       (b) Social services authorized by Title XX of the "Social9885
Security Act" and provided for by section 5101.46 or 5101.461 of 9886
the Revised Code;9887

       (c) If the county department is designated as the child9888
support enforcement agency, services authorized by Title IV-D of9889
the "Social Security Act" and provided for by Chapter 3125. of9890
the Revised Code. The county department may perform the services9891
itself or contract with other government entities, and, pursuant9892
to division (C) of section 2301.35 and section 2301.42 of the9893
Revised Code, private entities, to perform the Title IV-D9894
services.9895

       (d) Duties assigned under section 5111.98 of the Revised 9896
Code.9897

       (2) Administer disability financial assistance, as required 9898
by the state department of job and family services under section 9899
5115.03 of the Revised Code;9900

       (3) Administer disability medical assistance, as required by 9901
the state department of job and family services under section 9902
5115.13 of the Revised Code;9903

       (4) Administer burials insofar as the administration of9904
burials was, prior to September 12, 1947, imposed upon the board9905
of county commissioners and if otherwise required by state law;9906

       (5) Cooperate with state and federal authorities in any9907
matter relating to family services and to act as the agent of such9908
authorities;9909

       (6) Submit an annual account of its work and expenses to the9910
board of county commissioners and to the state department of job9911
and family services at the close of each fiscal year;9912

       (7) Exercise any powers and duties relating to family9913
services duties or workforce development activities imposed upon 9914
the county department of job and family services by law, by 9915
resolution of the board of county commissioners, or by order of 9916
the governor, when authorized by law, to meet emergencies during 9917
war or peace;9918

       (8) Determine the eligibility for medical assistance of9919
recipients of aid under Title XVI of the "Social Security Act";9920

       (9) If assigned by the state director of job and family9921
services under section 5101.515 of the Revised Code, determine9922
applicants' eligibility for health assistance under the children's9923
health insurance program part II;9924

       (10) Enter into a plan of cooperation with the board of9925
county commissioners under section 307.983, consult with the board9926
in the development of the transportation work plan developed under9927
section 307.985, establish with the board procedures under section9928
307.986 for providing services to children whose families relocate9929
frequently, and comply with the contracts the board enters into9930
under sections 307.981 and 307.982 of the Revised Code that affect9931
the county department;9932

       (11) For the purpose of complying with a fiscalgrant9933
agreement the board of county commissioners enters into under9934
sectionsections 307.98 and 5101.21 of the Revised Code, exercise 9935
the powers and perform the duties the fiscalgrant agreement 9936
assigns to the county department;9937

       (12) If the county department is designated as the workforce9938
development agency, provide the workforce development activities9939
specified in the contract required by section 330.05 of the9940
Revised Code.9941

       (B) The powers and duties of a county department of job and9942
family services are, and shall be exercised and performed, under9943
the control and direction of the board of county commissioners.9944
The board may assign to the county department any power or duty of9945
the board regarding family services duties and workforce 9946
development activities. If the new power or duty necessitates the 9947
state department of job and family services changing its federal 9948
cost allocation plan, the county department may not implement the 9949
power or duty unless the United States department of health and 9950
human services approves the changes.9951

       Sec. 329.05.  The county department of job and family9952
services may administer or assist in administering any state or9953
local family services duty in addition to those mentioned in9954
section 329.04 of the Revised Code, supported wholly or in part by9955
public funds from any source provided by agreement between the9956
board of county commissioners and the officer, department, board,9957
or agency in which the administration of such activity is vested.9958
Such officer, department, board, or agency may enter into such9959
agreement and confer upon the county department of job and family9960
services, to the extent and in particulars specified in the9961
agreement, the performance of any duties and the exercise of any9962
powers imposed upon or vested in such officer, board, department,9963
or agency, with respect to the administration of such activity.9964
Such agreement shall be in the form of a resolution of the board9965
of county commissioners, accepted in writing by the other party to9966
the agreement, and filed in the office of the county auditor, and9967
when so filed, shall have the effect of transferring the exercise9968
of the powers and duties to which the agreement relates and shall9969
exempt the other party from all further responsibility for the9970
exercise of the powers and duties so transferred, during the life9971
of the agreement.9972

       Such agreement shall be coordinated and not conflict with a 9973
fiscalgrant agreement entered into under sectionsections 307.98 9974
and 5101.21, a contract entered into under section 307.981 or 9975
307.982, a plan of cooperation entered into under section 307.983, 9976
a regional plan of cooperation entered into under section 307.984, 9977
a transportation work plan developed under section 307.985, or 9978
procedures for providing services to children whose families 9979
relocate frequently established under section 307.986 of the 9980
Revised Code. It may be revoked at the option of either party, by 9981
a resolution or order of the revoking party filed in the office of 9982
the auditor. Such revocation shall become effective at the end of 9983
the fiscal year occurring at least six months following the filing 9984
of the resolution or order. In the absence of such an express 9985
revocation so filed, the agreement shall continue indefinitely.9986

       This section does not permit a county department of job and9987
family services to manage or control hospitals, humane societies,9988
detention facilities, jails or probation departments of courts, or 9989
veterans service commissions.9990

       Sec. 329.14.  (A) An individual whose household income does 9991
not exceed onetwo hundred fifty per cent of the federal poverty 9992
line is eligible to participate in an individual development 9993
account program established by the county department of job and 9994
family services of the county in which the individual resides. An 9995
eligible individual seeking to be a participant in the program 9996
shall enter into an agreement with the fiduciary organization 9997
administering the program. The agreement shall specify the terms 9998
and conditions of uses of funds deposited, financial documentation9999
required to be maintained by the participant, expectations and10000
responsibilities of the participant, and services to be provided 10001
by the fiduciary organization.10002

       (B) A participant may deposit earned income, as defined in 26 10003
U.S.C. 911(d)(2), as amended, into the account. The fiduciary10004
organization may deposit into the account an amount not exceeding 10005
twicefour times the amount deposited by the participant except 10006
that a fiduciary organization may not, pursuant to an agreement 10007
with an employer, deposit an amount into an account held by a 10008
participant who is employed by the employer. An account may have 10009
no more than ten thousand dollars in it at any time.10010

       (C) Notwithstanding eligibility requirements established in 10011
or pursuant to Chapter 5107., 5108., or 5111. of the Revised Code, 10012
to the extent permitted by federal statutes and regulations, money 10013
in an individual development account, including interest, is 10014
exempt from consideration in determining whether the participant 10015
or a member of the participant's assistance group is eligible for10016
assistance under Chapter 5107., 5108., or 5111. of the Revised10017
Code and the amount of assistance the participant or assistance 10018
group is eligible to receive.10019

       (D)(1) Except as provided in division (D)(2) of this section, 10020
an individual development account program participant may use 10021
money in the account only for the following purposes:10022

       (a) Postsecondary educational expenses paid directly from the 10023
account to an eligible education institution or vendor;10024

       (b) Qualified acquisition expenses of a principal residence, 10025
as defined in 26 U.S.C. 1034, as amended, paid directly from the10026
account to the person or government entity to which the expenses 10027
are due;10028

       (c) Qualified business capitalization expenses made in10029
accordance with a qualified business plan that has been approved 10030
by a financial institution or by a nonprofit microenterprise 10031
program having demonstrated business expertise and paid directly10032
from the account to the person to whom the expenses are due.10033

       (2) A fiduciary organization shall permit a participant to 10034
withdraw money deposited by the participant if it is needed to 10035
deal with a personal emergency of the participant or a member of 10036
the participant's family or household. Withdrawal shall result in 10037
the loss of any matching funds in an amount equal to the amount of 10038
the withdrawal.10039

       (3) Regardless of the reason for the withdrawal, a withdrawal 10040
from an individual development account may be made only with the 10041
approval of the fiduciary organization.10042

       Sec. 340.03.  (A) Subject to rules issued by the director of10043
mental health after consultation with relevant constituencies as10044
required by division (A)(11) of section 5119.06 of the Revised10045
Code, with regard to mental health services, the board of alcohol,10046
drug addiction, and mental health services shall:10047

       (1) Serve as the community mental health planning agency for10048
the county or counties under its jurisdiction, and in so doing it10049
shall:10050

       (a) Evaluate the need for facilities and community mental10051
health services;10052

       (b) In cooperation with other local and regional planning and 10053
funding bodies and with relevant ethnic organizations, assess the 10054
community mental health needs, set priorities, and develop plans 10055
for the operation of facilities and community mental health10056
services;10057

       (c) In accordance with guidelines issued by the director of10058
mental health after consultation with board representatives,10059
develop and submit to the department of mental health, no later10060
than six months prior to the conclusion of the fiscal year in10061
which the board's current plan is scheduled to expire, a community10062
mental health plan listing community mental health needs,10063
including the needs of all residents of the district now residing10064
in state mental institutions and severely mentally disabled10065
adults, children, and adolescents; all children subject to a10066
determination made pursuant to section 121.38 of the Revised Code;10067
and all the facilities and community mental health services that10068
are or will be in operation or provided during the period for10069
which the plan will be in operation in the service district to10070
meet such needs.10071

       The plan shall include, but not be limited to, a statement of10072
which of the services listed in section 340.09 of the Revised Code10073
the board intends to make available. The board must include crisis 10074
intervention services for individuals in an emergency situation in 10075
the plan and explain how the board intends to make such services 10076
available. The plan must also include an explanation of how the 10077
board intends to make any payments that it may be required to pay 10078
under section 5119.62 of the Revised Code, a statement of the10079
inpatient and community-based services the board proposes that the10080
department operate, an assessment of the number and types of10081
residential facilities needed, such other information as the10082
department requests, and a budget for moneys the board expects to10083
receive. The board shall also submit an allocation request for10084
state and federal funds. Within sixty days after the department's10085
determination that the plan and allocation request are complete,10086
the department shall approve or disapprove the plan and request,10087
in whole or in part, according to the criteria developed pursuant10088
to section 5119.61 of the Revised Code. The department's statement 10089
of approval or disapproval shall specify the inpatient and the 10090
community-based services that the department will operate for the 10091
board. Eligibility10092

       Eligibility for state and federal funding shall be contingent 10093
upon an approved plan or relevant part of a plan. The department 10094
may provide state and federal funding for services included in a 10095
plan only if the services are for individuals whose focus of 10096
treatment or prevention is a mental disorder according to the 10097
edition of the American psychiatric association's diagnostic and 10098
statistical manual of mental disorders that is current at the time 10099
the funding is provided. This shall include such services for 10100
individuals who have a mental disorder and a co-occurring 10101
substance use disorder, substance-induced disorder, chronic 10102
dementing organic mental disorder, mental retardation, or 10103
developmental disability. The department may not provide state or 10104
federal funding under a plan for a service for individuals whose 10105
focus of treatment or prevention is solely a substance use 10106
disorder, substance-induced disorder, chronic dementing organic 10107
mental disorder, mental retardation, or developmental disability.10108

       If the director disapproves all or part of any plan, the10109
director shall inform the board of the reasons for the disapproval10110
and of the criteria that must be met before the plan may be10111
approved. The director shall provide the board an opportunity to10112
present its case on behalf of the plan. The director shall give10113
the board a reasonable time in which to meet the criteria, and10114
shall offer the board technical assistance to help it meet the10115
criteria.10116

       If the approval of a plan remains in dispute thirty days10117
prior to the conclusion of the fiscal year in which the board's10118
current plan is scheduled to expire, the board or the director may10119
request that the dispute be submitted to a mutually agreed upon10120
third-party mediator with the cost to be shared by the board and10121
the department. The mediator shall issue to the board and the10122
department recommendations for resolution of the dispute. Prior to10123
the conclusion of the fiscal year in which the current plan is10124
scheduled to expire, the director, taking into consideration the10125
recommendations of the mediator, shall make a final determination10126
and approve or disapprove the plan, in whole or in part.10127

       If a board determines that it is necessary to amend a plan or10128
an allocation request that has been approved under division10129
(A)(1)(c) of this section, the board shall submit a proposed10130
amendment to the director. The director may approve or disapprove10131
all or part of the amendment. If the director does not approve all 10132
or part of the amendment within thirty days after it is submitted, 10133
the amendment or part of it shall be considered to have been 10134
approved. The director shall inform the board of the reasons for10135
disapproval of all or part of an amendment and of the criteria10136
that must be met before the amendment may be approved. The10137
director shall provide the board an opportunity to present its10138
case on behalf of the amendment. The director shall give the board 10139
a reasonable time in which to meet the criteria, and shall offer 10140
the board technical assistance to help it meet the criteria.10141

       The board shall implement the plan approved by the10142
department.10143

       (d) Receive, compile, and transmit to the department of10144
mental health applications for state reimbursement;10145

       (e) Promote, arrange, and implement working agreements with10146
social agencies, both public and private, and with judicial10147
agencies.10148

       (2) Investigate, or request another agency to investigate,10149
any complaint alleging abuse or neglect of any person receiving10150
services from a community mental health agency as defined in10151
section 5122.01 of the Revised Code, or from a residential10152
facility licensed under section 5119.22 of the Revised Code. If10153
the investigation substantiates the charge of abuse or neglect,10154
the board shall take whatever action it determines is necessary to10155
correct the situation, including notification of the appropriate10156
authorities. Upon request, the board shall provide information10157
about such investigations to the department.10158

       (3) For the purpose of section 5119.611 of the Revised Code,10159
cooperate with the director of mental health in visiting and10160
evaluating whether the services of a community mental health10161
agency satisfy the certification standards established by rules10162
adopted under that section;10163

       (4) In accordance with criteria established under division10164
(G) of section 5119.61 of the Revised Code, review and evaluate10165
the quality, effectiveness, and efficiency of services provided10166
through its community mental health plan and submit its findings10167
and recommendations to the department of mental health;10168

       (5) In accordance with section 5119.22 of the Revised Code,10169
review applications for residential facility licenses and10170
recommend to the department of mental health approval or10171
disapproval of applications;10172

       (6) Audit, in accordance with rules adopted by the auditor of 10173
state pursuant to section 117.20 of the Revised Code, at least10174
annually all programs and services provided under contract with10175
the board. In so doing, the board may contract for or employ the10176
services of private auditors. A copy of the fiscal audit report10177
shall be provided to the director of mental health, the auditor of10178
state, and the county auditor of each county in the board's10179
district.10180

       (7) Recruit and promote local financial support for mental10181
health programs from private and public sources;10182

       (8)(a) Enter into contracts with public and private10183
facilities for the operation of facility services included in the10184
board's community mental health plan and enter into contracts with10185
public and private community mental health agencies for the10186
provision of community mental health services that are listed in 10187
section 340.09 of the Revised Code and included in the board's 10188
community mental health plan. The board may not contract with a 10189
community mental health agency to provide community mental health 10190
services included in the board's community mental health plan 10191
unless the services are certified by the director of mental health 10192
under section 5119.611 of the Revised Code. Section 307.86 of the 10193
Revised Code does not apply to contracts entered into under this 10194
division. In contracting with a community mental health agency, a 10195
board shall consider the cost effectiveness of services provided 10196
by that agency and the quality and continuity of care, and may 10197
review cost elements, including salary costs, of the services to 10198
be provided. A utilization review process shall be established as 10199
part of the contract for services entered into between a board and 10200
a community mental health agency. The board may establish this 10201
process in a way that is most effective and efficient in meeting 10202
local needs. In the case of a contract with a community mental 10203
health facility, as defined in section 5111.023 of the Revised 10204
Code, to provide services listed in division (B) of that section, 10205
the contract shall provide for the facility to be paid in 10206
accordance with the contract entered into between the departments 10207
of job and family services and mental health under section 10208
5111.91 of the Revised Code and any rules adopted under division 10209
(A) of section 5119.61 of the Revised Code.10210

       If either the board or a facility or community mental health10211
agency with which the board contracts under division (A)(8)(a) of 10212
this section proposes not to renew the contract or proposes10213
substantial changes in contract terms, the other party shall be10214
given written notice at least one hundred twenty days before the10215
expiration date of the contract. During the first sixty days of10216
this one hundred twenty-day period, both parties shall attempt to10217
resolve any dispute through good faith collaboration and10218
negotiation in order to continue to provide services to persons in10219
need. If the dispute has not been resolved sixty days before the10220
expiration date of the contract, either party may notify the10221
department of mental health of the unresolved dispute. The10222
director may require both parties to submit the dispute to a third10223
party with the cost to be shared by the board and the facility or10224
community mental health agency. The third party shall issue to the 10225
board, the facility or agency, and the department recommendations 10226
on how the dispute may be resolved twenty days prior to the 10227
expiration date of the contract, unless both parties agree to a 10228
time extension. The director shall adopt rules establishing the 10229
procedures of this dispute resolution process.10230

       (b) With the prior approval of the director of mental health, 10231
a board may operate a facility or provide a community mental 10232
health service as follows, if there is no other qualified private 10233
or public facility or community mental health agency that is10234
immediately available and willing to operate such a facility or10235
provide the service:10236

       (i) In an emergency situation, any board may operate a10237
facility or provide a community mental health service in order to10238
provide essential services for the duration of the emergency;10239

       (ii) In a service district with a population of at least one10240
hundred thousand but less than five hundred thousand, a board may10241
operate a facility or provide a community mental health service10242
for no longer than one year;10243

       (iii) In a service district with a population of less than10244
one hundred thousand, a board may operate a facility or provide a10245
community mental health service for no longer than one year,10246
except that such a board may operate a facility or provide a10247
community mental health service for more than one year with the10248
prior approval of the director and the prior approval of the board10249
of county commissioners, or of a majority of the boards of county10250
commissioners if the district is a joint-county district.10251

       The director shall not give a board approval to operate a10252
facility or provide a community mental health service under10253
division (A)(8)(b)(ii) or (iii) of this section unless the10254
director determines that it is not feasible to have the department10255
operate the facility or provide the service.10256

       The director shall not give a board approval to operate a10257
facility or provide a community mental health service under10258
division (A)(8)(b)(iii) of this section unless the director10259
determines that the board will provide greater administrative10260
efficiency and more or better services than would be available if10261
the board contracted with a private or public facility or10262
community mental health agency.10263

       The director shall not give a board approval to operate a10264
facility previously operated by a person or other government10265
entity unless the board has established to the director's10266
satisfaction that the person or other government entity cannot10267
effectively operate the facility or that the person or other10268
government entity has requested the board to take over operation10269
of the facility. The director shall not give a board approval to10270
provide a community mental health service previously provided by a10271
community mental health agency unless the board has established to10272
the director's satisfaction that the agency cannot effectively10273
provide the service or that the agency has requested the board10274
take over providing the service.10275

       The director shall review and evaluate a board's operation of 10276
a facility and provision of community mental health service under10277
division (A)(8)(b) of this section.10278

       Nothing in division (A)(8)(b) of this section authorizes a10279
board to administer or direct the daily operation of any facility10280
or community mental health agency, but a facility or agency may10281
contract with a board to receive administrative services or staff10282
direction from the board under the direction of the governing body10283
of the facility or agency.10284

       (9) Approve fee schedules and related charges or adopt a unit 10285
cost schedule or other methods of payment for contract services 10286
provided by community mental health agencies in accordance with 10287
guidelines issued by the department as necessary to comply with 10288
state and federal laws pertaining to financial assistance;10289

       (10) Submit to the director and the county commissioners of10290
the county or counties served by the board, and make available to10291
the public, an annual report of the programs under the10292
jurisdiction of the board, including a fiscal accounting;10293

       (11) Establish, to the extent resources are available, a10294
community support system, which provides for treatment, support,10295
and rehabilitation services and opportunities. The essential10296
elements of the system include, but are not limited to, the10297
following components in accordance with section 5119.06 of the10298
Revised Code:10299

       (a) To locate persons in need of mental health services to10300
inform them of available services and benefits mechanisms;10301

       (b) Assistance for clients to obtain services necessary to10302
meet basic human needs for food, clothing, shelter, medical care,10303
personal safety, and income;10304

       (c) Mental health care, including, but not limited to,10305
outpatient, partial hospitalization, and, where appropriate,10306
inpatient care;10307

       (d) Emergency services and crisis intervention;10308

       (e) Assistance for clients to obtain vocational services and10309
opportunities for jobs;10310

       (f) The provision of services designed to develop social,10311
community, and personal living skills;10312

       (g) Access to a wide range of housing and the provision of10313
residential treatment and support;10314

       (h) Support, assistance, consultation, and education for10315
families, friends, consumers of mental health services, and10316
others;10317

       (i) Recognition and encouragement of families, friends,10318
neighborhood networks, especially networks that include racial and10319
ethnic minorities, churches, community organizations, and10320
meaningful employment as natural supports for consumers of mental10321
health services;10322

       (j) Grievance procedures and protection of the rights of10323
consumers of mental health services;10324

       (k) Case management, which includes continual individualized10325
assistance and advocacy to ensure that needed services are offered10326
and procured.10327

       (12) Designate the treatment program, agency, or facility for 10328
each person involuntarily committed to the board pursuant to10329
Chapter 5122. of the Revised Code and authorize payment for such10330
treatment. The board shall provide the least restrictive and most10331
appropriate alternative that is available for any person10332
involuntarily committed to it and shall assure that the services10333
listed in section 340.09 of the Revised Code are available to10334
severely mentally disabled persons residing within its service10335
district. The board shall establish the procedure for authorizing10336
payment for services, which may include prior authorization in10337
appropriate circumstances. The board may provide for services10338
directly to a severely mentally disabled person when life or10339
safety is endangered and when no community mental health agency is10340
available to provide the service.10341

       (13) Establish a method for evaluating referrals for10342
involuntary commitment and affidavits filed pursuant to section10343
5122.11 of the Revised Code in order to assist the probate10344
division of the court of common pleas in determining whether there10345
is probable cause that a respondent is subject to involuntary10346
hospitalization and what alternative treatment is available and10347
appropriate, if any;10348

       (14) Ensure that apartments or rooms built, subsidized,10349
renovated, rented, owned, or leased by the board or a community10350
mental health agency have been approved as meeting minimum fire10351
safety standards and that persons residing in the rooms or10352
apartments are receiving appropriate and necessary services,10353
including culturally relevant services, from a community mental10354
health agency. This division does not apply to residential10355
facilities licensed pursuant to section 5119.22 of the Revised10356
Code.10357

       (15) Establish a mechanism for involvement of consumer10358
recommendation and advice on matters pertaining to mental health10359
services in the alcohol, drug addiction, and mental health service10360
district;10361

       (16) Perform the duties under section 3722.18 of the Revised10362
Code required by rules adopted under section 5119.61 of the10363
Revised Code regarding referrals by the board or mental health10364
agencies under contract with the board of individuals with mental10365
illness or severe mental disability to adult care facilities and10366
effective arrangements for ongoing mental health services for the10367
individuals. The board is accountable in the manner specified in10368
the rules for ensuring that the ongoing mental health services are10369
effectively arranged for the individuals.10370

       (B) The board shall establish such rules, operating10371
procedures, standards, and bylaws, and perform such other duties10372
as may be necessary or proper to carry out the purposes of this10373
chapter.10374

       (C) A board of alcohol, drug addiction, and mental health10375
services may receive by gift, grant, devise, or bequest any10376
moneys, lands, or property for the benefit of the purposes for10377
which the board is established, and may hold and apply it10378
according to the terms of the gift, grant, or bequest. All money10379
received, including accrued interest, by gift, grant, or bequest10380
shall be deposited in the treasury of the county, the treasurer of10381
which is custodian of the alcohol, drug addiction, and mental10382
health services funds to the credit of the board and shall be10383
available for use by the board for purposes stated by the donor or10384
grantor.10385

       (D) No board member or employee of a board of alcohol, drug10386
addiction, and mental health services shall be liable for injury10387
or damages caused by any action or inaction taken within the scope10388
of the board member's official duties or the employee's10389
employment, whether or not such action or inaction is expressly10390
authorized by this section, section 340.033, or any other section10391
of the Revised Code, unless such action or inaction constitutes10392
willful or wanton misconduct. Chapter 2744. of the Revised Code10393
applies to any action or inaction by a board member or employee of10394
a board taken within the scope of the board member's official10395
duties or employee's employment. For the purposes of this10396
division, the conduct of a board member or employee shall not be10397
considered willful or wanton misconduct if the board member or10398
employee acted in good faith and in a manner that the board member10399
or employee reasonably believed was in or was not opposed to the10400
best interests of the board and, with respect to any criminal10401
action or proceeding, had no reasonable cause to believe the10402
conduct was unlawful.10403

       (E) The meetings held by any committee established by a board 10404
of alcohol, drug addiction, and mental health services shall be 10405
considered to be meetings of a public body subject to section10406
121.22 of the Revised Code.10407

       Sec. 505.376.  When any expenditure of a fire and ambulance10408
district, other than for the compensation of district employees,10409
exceeds twenty-fivefifty thousand dollars, the contract for the 10410
expenditure shall be in writing and made with the lowest and best10411
bidder after advertising for not less than two nor more than four 10412
consecutive weeks in a newspaper of general circulation within the 10413
district. The bids shall be opened and shall be publicly read by 10414
the clerk of the district, or the clerk's designee, at the time, 10415
date, and place specified in the advertisement to bidders or the10416
specifications. The time, date, and place of bid openings may be10417
extended to a later date by the board of trustees of the district,10418
provided that written or oral notice of the change shall be given10419
to all persons who have received or requested specifications no10420
later than ninety-six hours prior to the original time and date10421
fixed for the opening.10422

       Each bid on any contract shall contain the full name of every10423
person interested in the bid. If the bid is for a contract for the 10424
construction, demolition, alteration, repair, or reconstruction of 10425
an improvement, it shall meet the requirements of section 153.54 10426
of the Revised Code. If the bid is for any other contract, it 10427
shall be accompanied by a sufficient bond or certified check, 10428
cashier's check, or money order on a solvent bank or savings and 10429
loan association that, if the bid is accepted, a contract will be10430
entered into and the performance of it will be properly secured. 10431
If the bid for work embraces both labor and material, it shall be 10432
separately stated, with the price of the labor and the material.10433
The board may reject any and all bids. The contract shall be10434
between the district and the bidder, and the district shall pay10435
the contract price in cash. When a bonus is offered for completion 10436
of a contract prior to a specified date, the board may exact a 10437
prorated penalty in like sum for each day of delay beyond the 10438
specified date. When there is reason to believe there is collusion 10439
or combination among bidders, the bids of those concerned shall 10440
be rejected.10441

       Sec. 517.08.  The proceeds arising from the sale of cemetery 10442
lots under section 517.07 of the Revised Code shall be used in 10443
maintaining, improving, beautifying, and embellishing such 10444
grounds, except that upon unanimous consent of the board of 10445
township trustees, such proceeds may be used in the purchase or 10446
appropriation of additional land for cemetery purposes in 10447
accordance with sections 517.01 and 517.13 of the Revised Code; 10448
and the board of township trustees may build and maintain proper 10449
and secure fences around all such cemeteries, to be paid for from 10450
the township funds.10451

       Sec. 521.01.  (A) As used in this chapter, "private sewage10452
collection tile" means any tile, ditch, pipe, or other improvement10453
installed by a private person to receive and convey sewage and10454
sewage effluent from at least five household sewage treatment10455
disposal systems, as those systems are defined in rules adopted by 10456
the public health council under section 3718.013701.34 of the 10457
Revised Code.10458

       (B) A board of township trustees may maintain and repair10459
private sewage collection tiles located within a township road10460
right-of-way in the township, where the expenditure from the10461
township general fund for materials to maintain and repair the10462
tiles does not exceed two hundred dollars for any one project. No10463
maintenance or repair shall be performed that is paid for from the10464
township general fund under this division until the board adopts a10465
resolution authorizing the maintenance or repair. If material10466
costs would exceed two hundred dollars, the board may proceed10467
under this chapter to maintain and repair the tiles by assessing 10468
the cost against property based on the special benefits the 10469
property receives from the project.10470

       Sec. 709.191.  In lieu of making any of the payments required 10471
by section 709.19 of the Revised Code and for any proposed 10472
annexation which does not require payments under that section, the 10473
legislative authority of a municipal corporation which proposes to 10474
annex unincorporated territory of a township may enter into an 10475
agreement with the board of township trustees of the township in 10476
which the territory to be annexed is located, whereby the 10477
municipal corporation agrees to make an annual payment to the 10478
township to compensate for lost tax revenues. The agreement shall 10479
set forth the amount of the annual payment and the number of 10480
payments to be made.10481

       If a municipal corporation fails to make an annual payment10482
pursuant to an agreement entered into under this section, the10483
board of township trustees shall notify the county budget10484
commission in writing of the amount owed by the municipal10485
corporation to the township. The county budget commission shall10486
reduce the amount apportioned to the municipal corporation from10487
the undivided local governmentcommunities fund pursuant to 10488
section 5747.51 or 5747.53 of the Revised Code by the amount of 10489
the payment due the township under the municipal-township 10490
agreement and shall increase, by an amount equal to this 10491
reduction, the amount apportioned to the township from the 10492
undivided local governmentcommunities fund.10493

       Sec. 711.05.  (A) Upon the submission of a plat for approval,10494
in accordance with section 711.041 of the Revised Code, the board10495
of county commissioners shall certify on it the date of the10496
submission. Within five days of submission of the plat, the board 10497
shall schedule a meeting to consider the plat and send a written 10498
notice by regular mail to the fiscal officer of the board of 10499
township trustees of the township in which the plat is located and 10500
the board of health of the health district in which the plat is 10501
located. The notice shall inform the trustees and the board of 10502
health of the submission of the plat and of the date, time, and 10503
location of any meeting at which the board of county commissioners 10504
will consider or act upon the proposed plat. The meeting shall 10505
take place within thirty days of submission of the plat, and no10506
meeting shall be held until at least seven days have passed from10507
the date the notice was sent by the board of county commissioners. 10508
The approval of the board required by section 711.041 of the 10509
Revised Code or the refusal to approve shall take place within 10510
thirty days from the date of submission or such further time as 10511
the applying party may agree to in writing; otherwise, the plat is 10512
deemed approved and may be recorded as if bearing such approval.10513

       (B) The board may adopt general rules governing plats and 10514
subdivisions of land falling within its jurisdiction, to secure 10515
and provide for the coordination of the streets within the 10516
subdivision with existing streets and roads or with existing 10517
county highways, for the proper amount of open spaces for traffic, 10518
circulation, and utilities, and for the avoidance of future 10519
congestion of population detrimental to the public health, safety, 10520
or welfare, but shall not impose a greater minimum lot area than 10521
forty-eight hundred square feet. Before the board may amend or10522
adopt rules, it shall notify all the townships in the county of10523
the proposed amendments or rules by regular mail at least thirty10524
days before the public meeting at which the proposed amendments or 10525
rules are to be considered.10526

       The rules may require the boardcounty department of health 10527
to review and comment on a plat before the board of county 10528
commissioners acts upon it and may also require proof of 10529
compliance with any applicable zoning resolutions, and with 10530
household sewage treatment rules adopted under section 3718.02 of 10531
the Revised Code, as a basis for approval of a plat. Where under 10532
section 711.101 of the Revised Code the board of county10533
commissioners has set up standards and specifications for the10534
construction of streets, utilities, and other improvements for10535
common use, the general rules may require the submission of10536
appropriate plans and specifications for approval. The board shall 10537
not require the person submitting the plat to alter the plat or 10538
any part of it as a condition for approval, as long as the plat is 10539
in accordance with general rules governing plats and subdivisions 10540
of land, adopted by the board as provided in this section, in 10541
effect at the time the plat was submitted and the plat is in 10542
accordance with any standards and specifications set up under 10543
section 711.101 of the Revised Code, in effect at the time the 10544
plat was submitted.10545

       (C) The ground of refusal to approve any plat, submitted in 10546
accordance with section 711.041 of the Revised Code, shall be 10547
stated upon the record of the board, and, within sixty days 10548
thereafter, the person submitting any plat that the board refuses 10549
to approve may file a petition in the court of common pleas of the 10550
county in which the land described in the plat is situated to 10551
review the action of the board. A board of township trustees is 10552
not entitled to appeal a decision of the board of county 10553
commissioners under this section.10554

       Sec. 711.10. (A) Whenever a county planning commission or a10555
regional planning commission adopts a plan for the major streets10556
or highways of the county or region, no plat of a subdivision of10557
land within the county or region, other than land within a10558
municipal corporation or land within three miles of a city or one10559
and one-half miles of a village as provided in section 711.09 of10560
the Revised Code, shall be recorded until it is approved by the10561
county or regional planning commission under division (C) of this10562
section and the approval is endorsed in writing on the plat.10563

       (B) A county or regional planning commission may require the10564
submission of a preliminary plan for each plat sought to be10565
recorded. If the commission requires this submission, it shall10566
provide for a review process for the preliminary plan. Under this10567
review process, the planning commission shall give its approval,10568
its approval with conditions, or its disapproval of each10569
preliminary plan. The commission's decision shall be in writing,10570
shall be under the signature of the secretary of the commission,10571
and shall be issued within thirty-five business days after the10572
submission of the preliminary plan to the commission. The10573
disapproval of a preliminary plan shall state the reasons for the10574
disapproval. A decision of the commission under this division is10575
preliminary to and separate from the commission's decision to10576
approve, conditionally approve, or refuse to approve a plat under10577
division (C) of this section.10578

        (C) Within five calendar days after the submission of a plat 10579
for approval under this division, the county or regional planning10580
commission shall schedule a meeting to consider the plat and send10581
a notice by regular mail or by electronic mail to the fiscal 10582
officer of the board of township trustees of the township in which 10583
the plat is located and the board of health of the health district 10584
in which the plat is located. The notice shall inform the trustees 10585
and the board of health of the submission of the plat and of the 10586
date, time, and location of any meeting at which the county or 10587
regional planning commission will consider or act upon the plat. 10588
The meeting shall take place within thirty calendar days after 10589
submission of the plat, and no meeting shall be held until at10590
least seven calendar days have passed from the date the planning 10591
commission sent the notice.10592

       The approval of the county or regional planning commission,10593
the commission's conditional approval as described in this10594
division, or the refusal of the commission to approve shall be10595
endorsed on the plat within thirty calendar days after the 10596
submission of the plat for approval under this division or within 10597
such further time as the applying party may agree to in writing; 10598
otherwise that plat is deemed approved, and the certificate of the 10599
commission as to the date of the submission of the plat for 10600
approval under this division and the failure to take action on it 10601
within that time shall be sufficient in lieu of the written 10602
endorsement or evidence of approval required by this division.10603

       A county or regional planning commission may grant 10604
conditional approval under this division to a plat by requiring a 10605
person submitting the plat to alter the plat or any part of it, 10606
within a specified period after the end of the thirty calendar 10607
days, as a condition for final approval under this division. Once 10608
all the conditions have been met within the specified period, the10609
commission shall cause its final approval under this division to 10610
be endorsed on the plat. No plat shall be recorded until it is 10611
endorsed with the commission's final or unconditional approval 10612
under this division.10613

       The ground of refusal of approval of any plat submitted under10614
this division, including citation of or reference to the rule10615
violated by the plat, shall be stated upon the record of the10616
county or regional planning commission. Within sixty calendar days10617
after the refusal under this division, the person submitting any 10618
plat that the commission refuses to approve under this division 10619
may file a petition in the court of common pleas of the proper 10620
county, and the proceedings on the petition shall be governed by10621
section 711.09 of the Revised Code as in the case of the refusal 10622
of a planning authority to approve a plat. A board of township 10623
trustees is not entitled to appeal a decision of the commission 10624
under this division.10625

       A county or regional planning commission shall adopt general10626
rules, of uniform application, governing plats and subdivisions of10627
land falling within its jurisdiction, to secure and provide for10628
the proper arrangement of streets or other highways in relation to10629
existing or planned streets or highways or to the county or10630
regional plan, for adequate and convenient open spaces for10631
traffic, utilities, access of firefighting apparatus, recreation,10632
light, and air, and for the avoidance of congestion of population.10633
The rules may provide for their modification by the commission in 10634
specific cases where unusual topographical and other exceptional 10635
conditions require the modification. The rules may require the 10636
boardcounty department of health to review and comment on a plat 10637
before the commission acts upon it and also may require proof of 10638
compliance with any applicable zoning resolutions, and with 10639
household sewage treatment rules adopted under section 3718.02 of 10640
the Revised Code, as a basis for approval of a plat.10641

       Before adoption of its rules or amendment of its rules, the10642
commission shall hold a public hearing on the adoption or 10643
amendment. Notice of the public hearing shall be sent to all 10644
townships in the county or region by regular mail or electronic10645
mail at least thirty business days before the hearing. No county 10646
or regional planning commission shall adopt any rules requiring 10647
actual construction of streets or other improvements or facilities 10648
or assurance of that construction as a condition precedent to the 10649
approval of a plat of a subdivision unless the requirements have 10650
first been adopted by the board of county commissioners after a 10651
public hearing. A copy of the rules shall be certified by the 10652
planning commission to the county recorders of the appropriate 10653
counties.10654

       After a county or regional street or highway plan has been10655
adopted as provided in this section, the approval of plats and10656
subdivisions provided for in this section shall be in lieu of any10657
approvals provided for in other sections of the Revised Code, 10658
insofar as the territory within the approving jurisdiction of the 10659
county or regional planning commission, as provided in this10660
section, is concerned. Approval of a plat shall not be an10661
acceptance by the public of the dedication of any street, highway,10662
or other way or open space shown upon the plat.10663

       No county or regional planning commission shall require a 10664
person submitting a plat to alter the plat or any part of it as 10665
long as the plat is in accordance with the general rules governing 10666
plats and subdivisions of land, adopted by the commission as 10667
provided in this section, in effect at the time the plat is 10668
submitted.10669

       A county or regional planning commission and a city or10670
village planning commission, or platting commissioner or10671
legislative authority of a village, with subdivision regulation10672
jurisdiction over unincorporated territory within the county or10673
region may cooperate and agree by written agreement that the10674
approval of a plat by the city or village planning commission, or10675
platting commissioner or legislative authority of a village, as10676
provided in section 711.09 of the Revised Code, shall be10677
conditioned upon receiving advice from or approval by the county10678
or regional planning commission.10679

       (D) As used in this section, "business day" means a day of 10680
the week excluding Saturday, Sunday, or a legal holiday as defined 10681
in section 1.14 of the Revised Code.10682

       Sec. 711.131.  (A) Notwithstanding sections 711.001 to 711.13 10683
of the Revised Code and except as provided in division (C) of this 10684
section, unless the rules adopted under section 711.05, 711.09, or 10685
711.10 of the Revised Code are amended pursuant to division (B) of 10686
this section, a proposed division of a parcel of land along an10687
existing public street, not involving the opening, widening, or10688
extension of any street or road, and involving no more than five10689
lots after the original tract has been completely subdivided, may10690
be submitted to the planning authority having approving 10691
jurisdiction of plats under section 711.05, 711.09, or 711.10 of 10692
the Revised Code for approval without plat. If the authority 10693
acting through a properly designated representative finds that a10694
proposed division is not contrary to applicable platting,10695
subdividing, zoning, health, sanitary, or access management10696
regulations,or regulations adopted under division (B)(3) of 10697
section 307.37 of the Revised Code regarding existing surface or 10698
subsurface drainage, or household sewage treatment rules adopted 10699
under section 3718.02 of the Revised Code, including, but not 10700
limited to, rules governing household sewage disposal systems, it 10701
shall approve the proposed division within seven business days 10702
after its submission and, on presentation of a conveyance of the 10703
parcel, shall stamp the conveyance "approved by (planning 10704
authority); no plat required" and have it signed by its clerk, 10705
secretary, or other official as may be designated by it. The 10706
planning authority may require the submission of a sketch and 10707
other information that is pertinent to its determination under 10708
this division.10709

       (B) For a period of up to two years after the effective date10710
of this amendmentApril 15, 2005, the rules adopted under section 10711
711.05, 711.09, or 711.10 of the Revised Code may be amended 10712
within that period to authorize the planning authority involved to 10713
approve proposed divisions of parcels of land without plat under10714
this division. If an authority so amends its rules, it may approve 10715
no more than five lots without a plat from an original tract as 10716
that original tract exists on the effective date of the amendment 10717
to the rules. The authority shall make the findings and approve a 10718
proposed division in the time and manner specified in division (A) 10719
of this section.10720

       (C) This section does not apply to parcels subject to section 10721
711.133 of the Revised Code.10722

       (D) As used in this section:10723

       (1), "Businessbusiness day" means a day of the week 10724
excluding Saturday, Sunday, or a legal holiday as defined in 10725
section 1.14 of the Revised Code.10726

       (2) "Household sewage disposal system" has the same meaning10727
as in section 3709.091 of the Revised Code.10728

       Sec. 718.13. (A) Any information gained as a result of10729
returns, investigations, hearings, or verifications required or10730
authorized by this chapter or by a charter or ordinance of a10731
municipal corporation levying an income tax pursuant to this10732
chapter is confidential, and no person shall disclose such10733
information except in accordance with a proper judicial order or10734
in connection with the performance of that person's official10735
duties or the official business of the municipal corporation as10736
authorized by this chapter or the charter or ordinance authorizing 10737
the levy. The tax administrator of the municipal corporation may 10738
furnish copies of returns filed under this chapter to the internal 10739
revenue service and to the tax commissioner.10740

       (B) This section does not prohibit the legislative authority 10741
of a municipal corporation, by ordinance or resolution, from 10742
authorizing the tax administrator to publish statistics in a form 10743
that does not disclose information with respect to particular 10744
taxpayers.10745

       Sec. 742.301.  Each employer shall promptly pay the amount10746
due on the accrued liability on the dates fixed by the board of10747
trustees of the Ohio police and fire pension fund. Upon 10748
certification by the board that payment of an employer's accrued 10749
liability has not been paid within thirty days following the date 10750
a payment is due, a penalty of five per cent of the amount due 10751
shall be assessed against such employer. If the payment and 10752
penalty have not been paid within ninety days following the date a 10753
payment is due, annual interest at six per cent shall be assessed 10754
against the payment and penalty from the date that the payment is 10755
due.10756

       Upon certification by the board to the superintendent of 10757
liquor control or the county auditor of an amount due from any 10758
employer who is subject to this chapter by reason of such 10759
employer's delinquency in making payments on the accrued 10760
liability, the amount due shall be withheld from the employer from 10761
liquor control permit fees to be distributed to that employer 10762
according to Chapter 4301. of the Revised Code or from the local 10763
governmentcommunities fund allocated for distribution to that 10764
employer by the county budget commission in accordance with 10765
Chapter 5739. of the Revised Code. Upon receipt of the 10766
certification from the board, the superintendent or county auditor 10767
shall provide for payment against such funds in favor of the Ohio 10768
police and fire pension fund for the certified amount due and any 10769
penalty and interest thereon.10770

       Sec. 901.261. The director of agriculture, in conducting 10771
investigations, inquiries, or hearings, may assess the party to an 10772
action that is brought before the department of agriculture 10773
pursuant to Chapter 119. of the Revised Code the actual costs 10774
incurred by the department for depositions, investigations, 10775
issuance and service of subpoenas, witness fees, employment of a 10776
stenographer and hearing officer, and the production of books, 10777
accounts, papers, records, documents, and testimony if the 10778
applicable hearing officer determines that the party to the action 10779
has failed to comply with any chapter of the Revised Code or any 10780
rule adopted under any of those chapters that is administered by 10781
the director or if the hearing officer determines that the action 10782
was frivolous conduct by the party. Assessment of costs under this 10783
section may be appealed to a court of competent jurisdiction.10784

       Sec. 991.08. The Ohio expositions commission shall use not 10785
less than thirty-five per cent of the revenue that it receives 10786
from lease payments and parking fees related to events held at the 10787
Columbus crew stadium, as it is named on the effective date of 10788
this section, for the purpose of improving and maintaining parking 10789
facilities that are utilized for events at the stadium.10790

       Sec. 1503.05.  (A) The chief of the division of forestry may10791
sell timber and other forest products from the state forest and 10792
state forest nurseries whenever the chief considers such a sale 10793
desirable and, with the approval of the attorney general and the 10794
director of natural resources, may sell portions of the state 10795
forest lands when such a sale is advantageous to the state.10796

       (B) Except as otherwise provided in this section, a timber 10797
sale agreement shall not be executed unless the person or 10798
governmental entity bidding on the sale executes and files a 10799
surety bond conditioned on completion of the timber sale in 10800
accordance with the terms of the agreement in an amount equal to 10801
twenty-five per cent of the highest value cutting section. All 10802
bonds shall be given in a form prescribed by the chief and shall 10803
run to the state as obligee.10804

       The chief shall not approve any bond until it is personally10805
signed and acknowledged by both principal and surety, or as to10806
either by the attorney in fact thereof, with a certified copy of 10807
the power of attorney attached. The chief shall not approve the 10808
bond unless there is attached a certificate of the superintendent 10809
of insurance that the company is authorized to transact a fidelity10810
and surety business in this state.10811

       In lieu of a bond, the bidder may deposit any of the10812
following:10813

       (1) Cash in an amount equal to the amount of the bond;10814

       (2) United States government securities having a par value10815
equal to or greater than the amount of the bond;10816

       (3) Negotiable certificates of deposit or irrevocable letters 10817
of credit issued by any bank organized or transacting business in 10818
this state having a par value equal to or greater than the amount 10819
of the bond.10820

       The cash or securities shall be deposited on the same terms10821
as bonds. If one or more certificates of deposit are deposited in 10822
lieu of a bond, the chief shall require the bank that issued any 10823
of the certificates to pledge securities of the aggregate market 10824
value equal to the amount of the certificate or certificates that 10825
is in excess of the amount insured by the federal deposit 10826
insurance corporation. The securities to be pledged shall be those 10827
designated as eligible under section 135.18 of the Revised Code. 10828
The securities shall be security for the repayment of the 10829
certificate or certificates of deposit.10830

       Immediately upon a deposit of cash, securities, certificates 10831
of deposit, or letters of credit, the chief shall deliver them to 10832
the treasurer of state, who shall hold them in trust for the 10833
purposes for which they have been deposited. The treasurer of 10834
state is responsible for the safekeeping of the deposits. A bidder 10835
making a deposit of cash, securities, certificates of deposit, or 10836
letters of credit may withdraw and receive from the treasurer of 10837
state, on the written order of the chief, all or any portion of 10838
the cash, securities, certificates of deposit, or letters of 10839
credit upon depositing with the treasurer of state cash, other 10840
United States government securities, or other negotiable 10841
certificates of deposit or irrevocable letters of credit issued by 10842
any bank organized or transacting business in this state, equal in 10843
par value to the par value of the cash, securities, certificates 10844
of deposit, or letters of credit withdrawn.10845

       A bidder may demand and receive from the treasurer of state10846
all interest or other income from any such securities or10847
certificates as it becomes due. If securities so deposited with10848
and in the possession of the treasurer of state mature or are10849
called for payment by their issuer, the treasurer of state, at the 10850
request of the bidder who deposited them, shall convert the 10851
proceeds of the redemption or payment of the securities into other 10852
United States government securities, negotiable certificates of 10853
deposit, or cash as the bidder designates.10854

       When the chief finds that a person or governmental agency has 10855
failed to comply with the conditions of the person's or10856
governmental agency's bond, the chief shall make a finding of that 10857
fact and declare the bond, cash, securities, certificates, or 10858
letters of credit forfeited. The chief thereupon shall certify the 10859
total forfeiture to the attorney general, who shall proceed to 10860
collect the amount of the bond, cash, securities, certificates, or 10861
letters of credit.10862

       In lieu of total forfeiture, the surety, at its option, may10863
cause the timber sale to be completed or pay to the treasurer of10864
state the cost thereof.10865

       All moneys collected as a result of forfeitures of bonds,10866
cash, securities, certificates, and letters of credit under this10867
section shall be credited to the state forest fund created in this 10868
section.10869

       (C) The chief may grant easements and leases on portions of 10870
the state forest lands and state forest nurseries under terms that 10871
are advantageous to the state, and the chief may grant mineral 10872
rights on a royalty basis on those lands and nurseries, with the 10873
approval of the attorney general and the director.10874

       (D) All moneys received from the sale of state forest lands, 10875
or in payment for easements or leases on or as rents from those10876
lands or from state forest nurseries, shall be paid into the state10877
treasury to the credit of the state forest fund, which is hereby 10878
created. In addition, all moneys received from federal grants, 10879
payments, and reimbursements, from the sale of reforestation tree 10880
stock, from the sale of forest products, other than standing 10881
timber, and from the sale of minerals taken from the state forest 10882
lands and state forest nurseries, together with royalties from 10883
mineral rights, shall be paid into the state treasury to the 10884
credit of the state forest fund. Any other revenues derived from 10885
the operation of the state forests and related facilities or 10886
equipment also shall be paid into the state treasury to the credit 10887
of the state forest fund, as shall contributions received for the 10888
issuance of Smokey Bear license plates under section 4503.574 of 10889
the Revised Code and any other moneys required by law to be 10890
deposited in the fund.10891

        The state forest fund shall not be expended for any purpose 10892
other than the administration, operation, maintenance, 10893
development, or utilization of the state forests, forest 10894
nurseries, and forest programs, for facilities or equipment 10895
incident to them, or for the further purchase of lands for state 10896
forest or forest nursery purposes and, in the case of 10897
contributions received pursuant to section 4503.574 of the Revised 10898
Code, for fire prevention purposes.10899

        All moneys received from the sale of standing timber taken 10900
from state forest lands and state forest nurseries shall be 10901
deposited into the state treasury to the credit of the forestry 10902
holding account redistribution fund, which is hereby created. The 10903
moneys shall remain in the fund until they are redistributed in 10904
accordance with this division.10905

        The redistribution shall occur at least once each year. To 10906
begin the redistribution, the chief first shall determine the10907
amount of all standing timber sold from state forest lands and 10908
state forest nurseries, together with the amount of the total sale 10909
proceeds, in each county, in each township within the county, and 10910
in each school district within the county. The chief next shall 10911
determine the amount of the direct costs that the division of 10912
forestry incurred in association with the sale of that standing 10913
timber. The amount of the direct costs shall be subtracted from 10914
the amount of the total sale proceeds and shall be transferred 10915
from the forestry holding account redistribution fund to the state 10916
forest fund.10917

        The remaining amount of the total sale proceeds equals the 10918
net value of the standing timber that was sold. The chief shall 10919
determine the net value of standing timber sold from state forest 10920
lands and state forest nurseries in each county, in each township 10921
within the county, and in each school district within the county 10922
and shall send to each county treasurer a copy of the 10923
determination at the time that moneys are paid to the county 10924
treasurer under this division.10925

        Twenty-five per cent of the net value of standing timber sold 10926
from state forest lands and state forest nurseries located in a 10927
county shall be transferred from the forestry holding account 10928
redistribution fund to the state forest fund. Ten per cent of that 10929
net value shall be transferred from the forestry holding account 10930
redistribution fund to the general revenue fund. The remaining 10931
sixty-five per cent of the net value shall be transferred from the 10932
forestry holding account redistribution fund and paid to the 10933
county treasurer for the use of the general fund of that county.10934

       The county auditor shall do all of the following:10935

       (1) Retain for the use of the general fund of the county 10936
one-fourth of the amount received by the county under division (D) 10937
of this section;10938

       (2) Pay into the general fund of any township located within 10939
the county and containing such lands and nurseries one-fourth of 10940
the amount received by the county from standing timber sold from 10941
lands and nurseries located in the township;10942

       (3) Request the board of education of any school district 10943
located within the county and containing such lands and nurseries 10944
to identify which fund or funds of the district should receive the 10945
moneys available to the school district under division (D)(3) of 10946
this section. After receiving notice from the board, the county 10947
auditor shall pay into the fund or funds so identified one-half of 10948
the amount received by the county from standing timber sold from 10949
lands and nurseries located in the school district, distributed10950
proportionately as identified by the board.10951

       The division of forestry shall not supply logs, lumber, or 10952
other forest products or minerals, taken from the state forest 10953
lands or state forest nurseries, to any other agency or 10954
subdivision of the state unless payment is made therefor in the 10955
amount of the actual prevailing value thereof. This section is 10956
applicable to the moneys so received.10957

       Sec. 1504.02.  (A) The division of real estate and land10958
management shall do all of the following:10959

       (1) Except as otherwise provided in the Revised Code,10960
coordinate and conduct all real estate functions for the10961
department of natural resources, including at least acquisitions10962
by purchase, lease, gift, devise, bequest, appropriation, or10963
otherwise; grants through sales, leases, exchanges, easements, and 10964
licenses; inventories of land; and other related general10965
management duties;10966

       (2) Assist the department and its divisions by providing10967
department-wide planning, including at least master planning,10968
comprehensive planning, capital improvements planning, and special 10969
purpose planning such as trails coordination and planning under 10970
section 1519.03 of the Revised Code;10971

       (3) On behalf of the director of natural resources,10972
administer the coastal management program established under10973
sections 1506.01 to 1506.03 and 1506.05 to 1506.09 of the Revised10974
Code and consult with and provide coordination among state10975
agencies, political subdivisions, the United States and agencies10976
of it, and interstate, regional, and areawide agencies to assist10977
the director in executing the director's duties and10978
responsibilities under that program and to assist the department 10979
as the lead agency for the development and implementation of the 10980
program;10981

       (4) On behalf of the director, administer sections 1506.1010982
and 1506.11 and sections 1506.31 to 1506.36 of the Revised Code;10983

       (5) Cooperate with the United States and agencies of it and 10984
with political subdivisions in administering federal recreation 10985
moneys under the "Land and Water Conservation Fund Act of 1965," 10986
78 Stat. 897, 16 U.S.C.A. 4601-8, as amended; prepare and 10987
distribute the statewide comprehensive outdoor recreation plan; 10988
and administer the state recreational vehicle fund created in 10989
section 4519.11 of the Revised Code;10990

       (6)(4)(a) Support the geographic information system needs for10991
the department as requested by the director, which shall include,10992
but not be limited to, all of the following:10993

       (i) Assisting in the training and education of department10994
resource managers, administrators, and other staff in the10995
application and use of geographic information system technology;10996

       (ii) Providing technical support to the department in the10997
design, preparation of data, and use of appropriate geographic10998
information system applications in order to help solve resource10999
related problems and to improve the effectiveness and efficiency11000
of department delivered services;11001

       (iii) Creating, maintaining, and documenting spatial digital 11002
data bases for the division and for other divisions as assigned by 11003
the director.11004

       (b) Provide information to and otherwise assist government11005
officials, planners, and resource managers in understanding land11006
use planning and resource management;11007

       (c) Provide continuing assistance to local government11008
officials and others in natural resource digital data base11009
development and in applying and utilizing the geographic11010
information system for land use planning, current agricultural use 11011
value assessment, development reviews, coastal management, and 11012
other resource management activities;11013

       (d) Coordinate and administer the remote sensing needs of the 11014
department, including the collection and analysis of aerial11015
photography, satellite data, and other data pertaining to land,11016
water, and other resources of the state;11017

       (e) Prepare and publish maps and digital data relating to the 11018
state's land use and land cover over time on a local, regional, 11019
and statewide basis;11020

       (f) Locate and distribute hard copy maps, digital data,11021
aerial photography, and other resource data and information to11022
government agencies and the public.11023

       (7)(5) Prepare special studies and execute any other duties,11024
functions, and responsibilities requested by the director.11025

       (B) The division may do any of the following:11026

       (1) Coordinate such environmental matters concerning the11027
department and the state as are necessary to comply with the11028
"National Environmental Policy Act of 1969," 83 Stat. 852, 4211029
U.S.C.A. 4321, as amended, the "Intergovernmental Cooperation Act11030
of 1968," 82 Stat. 1098, 31 U.S.C.A. 6506, and the "Federal Water11031
Pollution Control Act," 91 Stat. 1566 (1977), 33 U.S.C.A. 1251, as 11032
amended, and regulations adopted under those acts;11033

       (2) With the approval of the director, coordinate and 11034
administer compensatory mitigation grant programs and other 11035
programs for streams and wetlands as approved in accordance with 11036
certifications and permits issued under sections 401 and 404 of 11037
the "Federal Water Pollution Control Act", 91 Stat. 1566(1977), 33 11038
U.S.C.A. 1251, as amended, by the environmental protection agency 11039
and the United States army corps of engineers;11040

       (3) Administer any state or federally funded grant program11041
that is related to natural resources and recreation as considered11042
necessary by the director.11043

       Sec. 1506.01.  As used in this chapter:11044

       (A) "Coastal area" means the waters of Lake Erie, the islands 11045
in the lake, and the lands under and adjacent to the lake, 11046
including transitional areas, wetlands, and beaches. The coastal 11047
area extends in Lake Erie to the international boundary line 11048
between the United States and Canada and landward only to the 11049
extent necessary to include shorelands, the uses of which have a 11050
direct and significant impact on coastal waters as determined by 11051
the director of natural resources.11052

       (B) "Coastal management program" means the comprehensive11053
action of the state and its political subdivisions cooperatively11054
to preserve, protect, develop, restore, or enhance the resources11055
of the coastal area and to ensure wise use of the land and water11056
resources of the coastal area, giving attention to natural,11057
cultural, historic, and aesthetic values; agricultural,11058
recreational, energy, and economic needs; and the national11059
interest. "Coastal management program" includes the establishment 11060
of objectives, policies, standards, and criteria concerning, 11061
without limitation, protection of air, water, wildlife, rare and 11062
endangered species, wetlands and natural areas, and other natural 11063
resources in the coastal area; management of coastal development 11064
and redevelopment; preservation and restoration of historic, 11065
cultural, and aesthetic coastal features; and public access to the 11066
coastal area for recreation purposes.11067

       (C) "Coastal management program document" means a11068
comprehensive statement consisting of, without limitation, text,11069
maps, and illustrations that is adopted by the director in11070
accordance with this chapter, describes the objectives, policies,11071
standards, and criteria of the coastal management program for11072
guiding public and private uses of lands and waters in the coastal 11073
area, lists the governmental agencies, including, without11074
limitation, state agencies, involved in implementing the coastal11075
management program, describes their applicable policies and11076
programs, and cites the statutes and rules under which they may11077
adopt and implement those policies and programs.11078

       (D) "Person" means any agency of this state, any political11079
subdivision of this state or of the United States, and any legal11080
entity defined as a person under section 1.59 of the Revised Code.11081

       (E) "Director" means the director of natural resources or the 11082
director's designee.11083

       (F) "Permanent structure" means any residential, commercial, 11084
industrial, institutional, or agricultural building, any mobile 11085
home as defined in division (O) of section 4501.01 of the Revised 11086
Code, any manufactured home as defined in division (C)(4) of 11087
section 3781.06 of the Revised Code, and any septic system that 11088
receives sewage from a single-family, two-family, or three-family 11089
dwelling, but does not include any recreational vehicle as defined 11090
in section 4501.01 of the Revised Code.11091

       (G) "State agency" or "agency of the state" has the same11092
meaning as "agency" as defined in section 111.15 of the Revised11093
Code.11094

       (H) "Coastal flood hazard area" means any territory within11095
the coastal area that has been identified as a flood hazard area11096
under the "Flood Disaster Protection Act of 1973," 87 Stat. 975,11097
42 U.S.C.A. 4002, as amended.11098

       (I) "Coastal erosion area" means any territory included in11099
Lake Erie coastal erosion areas identified by the director under 11100
section 1506.06 of the Revised Code.11101

       (J) "Conservancy district" means a conservancy district that 11102
is established under Chapter 6101. of the Revised Code.11103

       (K) "Park board" means the board of park commissioners of a 11104
park district that is created under Chapter 1545. of the Revised 11105
Code.11106

       (L) "Erosion control structure" means a structure that is 11107
designed solely and specifically to reduce or control erosion of 11108
the shore along or near Lake Erie, including, without limitation, 11109
revetments, seawalls, bulkheads, certain breakwaters, and similar 11110
structures.11111

       (M) "Shore structure" includes, but is not limited to, 11112
beaches; groins; revetments; bulkheads; seawalls; breakwaters; 11113
certain dikes designated by the chief of the division of water; 11114
piers; docks; jetties; wharves; marinas; boat ramps; any 11115
associated fill or debris used as part of the construction of 11116
shore structures that may affect shore erosion, wave action, or 11117
inundation; and fill or debris that is placed along or near the 11118
shore, including bluffs, banks, or beach ridges, for the purpose 11119
of stabilizing slopes.11120

       Sec. 1521.20.        Sec. 1506.38.  The chiefdirector of the division of 11121
waternatural resources shall act as the erosion agent of the 11122
state for the purpose of cooperating with the secretary of the 11123
army, acting through the chief of engineers of the United States 11124
army corps of engineers in the department of defense. The chief11125
director shall cooperate with the secretary in carrying out, and 11126
may conduct, investigations and studies of conditions along the11127
shorelines of Lake Erie and of the bays and projections therefrom, 11128
and of the islands therein, within the territorial waters of the 11129
state, with a view to devising and perfecting economical and 11130
effective methods and works for preventing, correcting, and 11131
controlling shore erosion and damage therefrom and controlling the 11132
inundation of improved property by the waters of Lake Erie, its 11133
bays, and associated inlets.11134

       Sec. 1521.21.        Sec. 1506.39.  The chiefdirector of the division of11135
waternatural resources, in the discharge of the chief's11136
director's duties under sections 1507.201506.38 to 1507.3011137
1506.48 of the Revised Code, may call to the chief'sdirector's11138
assistance, temporarily, any engineers or other employees in any 11139
state department, or in the Ohio state university or other11140
educational institutions financed wholly or in part by the state,11141
for the purpose of devising the most effective and economical11142
methods of controlling shore erosion and damage from it and 11143
controlling the inundation of improved property by the waters of 11144
Lake Erie and its bays and associated inlets.11145

       Such engineers and employees shall not receive any additional 11146
compensation over that which they receive from the departments or 11147
institutions by which they are employed, but they shall be11148
reimbursed for their actual necessary expenses incurred while11149
working under the direction of the chiefdirector on erosion and11150
inundation projects.11151

       Sec. 1521.22.        Sec. 1506.40. No person shall construct a beach,11152
groin, or other structure to control erosion, wave action, or11153
inundation along or near the Ohio shoreline of Lake Erie, 11154
including related islands, bays, and inlets, without first 11155
obtaining a shore structure permit from the chief of the division11156
director of water. Thenatural resources.11157

       The application for a shore structure permit shall include 11158
detailed plans and specifications prepared by a professional 11159
engineer registered under Chapter 4733. of the Revised Code. An 11160
applicant shall provide appropriate evidence of compliance with 11161
any applicable provisions of this chapter and Chapters 1505. and 11162
1506.1521. of the Revised Code, as determined by the chief11163
director. A temporary shore structure permit may be issued by the 11164
chief or an authorized representative of the chiefdirector if it11165
is determined necessary to safeguard life, health, or property.11166

       Each application or reapplication for a permit under this 11167
section shall be accompanied by a non-refundable fee as the chief11168
director shall prescribe by rule.11169

       If the application is approved, the chiefdirector shall 11170
issue a permit to the applicant authorizing construction of the 11171
project. If requested in writing by the applicant within thirty 11172
days of issuance of a notice of disapproval of the application, 11173
the chiefdirector shall conduct an adjudication hearing under 11174
Chapter 119. of the Revised Code, except sections 119.12 and 11175
119.121 of the Revised Code. After reviewing the record of the 11176
hearing, the chiefdirector shall issue a final order approving 11177
the application, disapproving it, or approving it conditioned on 11178
the making of specified revisions in the plans and specifications.11179

       The chiefdirector, by rule, shall limit the period during 11180
which a construction permit issued under this section is valid and 11181
shall establish reapplication requirements governing a 11182
construction permit that expires before construction is completed.11183

       In accordance with Chapter 119. of the Revised Code, the 11184
chiefdirector shall adopt, and may amend or rescind, such rules 11185
as are necessary for the administration, implementation, and 11186
enforcement of this section.11187

       Sec. 1521.23.        Sec. 1506.41.  All moneys derived from the granting 11188
of permits and leases under section 1505.07 of the Revised Code 11189
for the removal of sand, gravel, stone, gas, oil, and other 11190
minerals and substances from and under the bed of Lake Erie and 11191
from applications for shore structure permits submitted under 11192
section 1521.221506.40 of the Revised Code shall be paid into the 11193
state treasury to the credit of the permit and lease fund, which 11194
is hereby created. Notwithstanding any section of the Revised Code 11195
relating to the distribution or crediting of fines for violations 11196
of the Revised Code, all fines imposed under division (A) of11197
section 1505.99 of the Revised Code and under division (C) of 11198
section 1521.991506.99 of the Revised Code shall be paid into 11199
that fund. The fund shall be administered by the department of 11200
natural resources for the protection of Lake Erie shores and11201
waters; investigation and control of erosion; the planning,11202
development, and construction of facilities for recreational use 11203
of Lake Erie; implementation of section 1521.221506.40 of the 11204
Revised Code; preparation of the state shore erosion plan under 11205
section 1521.291506.47 of the Revised Code; and state 11206
administration of Lake Erie coastal erosion areas under sections 11207
1506.06 and 1506.07 of the Revised Code.11208

       Sec. 1521.24.        Sec. 1506.42.  The state, acting through the chief11209
director of the division of waternatural resources, subject to 11210
section 1521.281506.46 of the Revised Code, may enter into 11211
agreements with counties, townships, municipal corporations, park 11212
boards, and conservancy districts, other political subdivisions, 11213
or any state departments or divisions for the purpose of 11214
constructing and maintaining projects to control erosion along the 11215
Ohio shoreline of Lake Erie and in any rivers and bays that are11216
connected with Lake Erie and any other watercourses that flow into 11217
Lake Erie. Such projects also may be constructed on any Lake Erie11218
island that is situated within the boundaries of the state.11219

       The cost of such shore erosion projects that are for the11220
benefit of public littoral property shall be prorated on the basis 11221
of two-thirds of the total cost to the state through11222
appropriations made to the divisiondepartment of waternatural 11223
resources and one-third of the cost to the counties, townships, 11224
municipal corporations, park boards, conservancy districts, or 11225
other political subdivisions.11226

       If a shore erosion emergency is declared by the governor, the 11227
state, acting through the chiefdirector, may spend whatever state 11228
funds are available to alleviate shore erosion, without11229
participation by any political subdivision, regardless of whether11230
the project will benefit public or private littoral property.11231

       A board of county commissioners, acting for the county over 11232
which it has jurisdiction, may enter into and carry out agreements 11233
with the chiefdirector for the construction and maintenance of 11234
projects to control shore erosion. In providing the funds for the 11235
county's proportionate share of the cost of constructing and 11236
maintaining the projects referred to in this section, the board 11237
shall be governed by and may issue and refund bonds in accordance 11238
with Chapter 133. of the Revised Code.11239

       A municipal corporation or a township, acting through the11240
legislative authority or the board of township trustees, may enter 11241
into and carry out agreements with the chiefdirector for the 11242
purpose of constructing and maintaining projects to control shore11243
erosion. In providing the funds for the municipal corporation's or 11244
township's proportionate share of the cost of constructing and 11245
maintaining the projects referred to in this section, a municipal 11246
corporation or township may issue and refund bonds in accordance 11247
with Chapter 133. of the Revised Code. The contract shall be 11248
executed on behalf of the municipal corporation or township by the 11249
mayor, city manager, or other chief executive officer who has the 11250
authority to act for the municipal corporation or township.11251

       Conservancy districts may enter into and carry out agreements 11252
with the chiefdirector, in accordance with the intent of this 11253
section, under the powers conferred upon conservancy districts 11254
under Chapter 6101. of the Revised Code.11255

       Park boards may enter into and carry out agreements with the 11256
chiefdirector, in accordance with the intent of this section, and 11257
issue bonds for that purpose under the powers conferred upon park 11258
districts under Chapter 1545. of the Revised Code.11259

       The chiefdirector shall approve and supervise all projects11260
that are to be constructed in accordance with this section. The11261
chiefdirector shall not proceed with the construction of any11262
project until all funds that are to be paid by the county, 11263
township, municipal corporation, park board, or conservancy 11264
district, in accordance with the terms of the agreement entered 11265
into between the chiefdirector and the county, township, 11266
municipal corporation, park board, or conservancy district, are in 11267
the chief'sdirector's possession and deposited in the shore 11268
erosion fund, which is hereby created in the state treasury. If 11269
the chiefdirector finds it to be in the best interests of the 11270
state to construct projects as set forth in this section by the 11271
state itself, without the financial contribution of counties, 11272
townships, municipal corporations, park boards, or conservancy 11273
districts, the chiefdirector may construct the projects.11274

       In deciding whether to assist a county or municipal11275
corporation in constructing and maintaining a project under this11276
section, the state, acting through the chiefdirector, shall11277
consider, among other factors, whether the county or municipal11278
corporation has adopted or is in the process of adopting a Lake11279
Erie coastal erosion area resolution or ordinance under division11280
(D) of section 1506.07 of the Revised Code.11281

       All projects constructed by the state in conformity with11282
sections 1521.201506.38 to 1521.281506.46 of the Revised Code 11283
shall be constructed subject to sections 153.01 to 153.20 of the 11284
Revised Code, except that the state architect and engineer is not11285
required to prepare the plans and specifications for those11286
projects.11287

       Sec. 1521.25.        Sec. 1506.43.  The chiefdirector of the division of 11288
waternatural resources may enter into a contract with any county, 11289
township, municipal corporation, conservancy district, or park 11290
board that has an agreement with the state in accordance with 11291
section 1521.241506.42 of the Revised Code for the construction 11292
of a shore erosion project. No contract shall be let until all 11293
money that is to be paid by the political subdivision entering 11294
into the agreement has been deposited in the shore erosion fund 11295
created in that section 1521.24 of the Revised Code, and no 11296
contract shall be valid until approved by the director of natural11297
resources.11298

       Sec. 1521.26.        Sec. 1506.44.  (A) A board of county commissioners 11299
may use a loan obtained under division (C) of this section to 11300
provide financial assistance to any person who owns real property 11301
in a coastal erosion area, as defined in section 1506.01 of the11302
Revised Code, and who has received a permit under section 1521.2211303
1506.40 of the Revised Code to construct an erosion control 11304
structure in that coastal erosion area. The board shall enter into 11305
an agreement with the person that complies with all of the 11306
following requirements:11307

       (1) The agreement shall identify the person's real property 11308
for which the erosion control structure is being constructed and 11309
shall include a legal description of that property and a reference 11310
to the volume and page of the deed record in which the title of 11311
that person to that property is recorded.11312

       (2) In accordance with rules adopted by the Ohio water11313
development authority under division (V) of section 6121.04 of the11314
Revised Code for the purposes of division (C) of this section and 11315
pursuant to an agreement between the board and the authority under 11316
that division, the board shall agree to cause payments to be made 11317
by the authority to the contractor hired by the person to 11318
construct an erosion control structure in amounts not to exceed 11319
the total amount specified in the agreement between the board and 11320
the person.11321

       (3) The person shall agree to pay to the board, or to the 11322
authority as the assignee pursuant to division (C) of this 11323
section, the total amount of the payments plus administrative or 11324
other costs of the board or the authority at times, in 11325
installments, and bearing interest as specified in the agreement.11326

       The agreement may contain additional provisions that the 11327
board determines necessary to safeguard the interests of the 11328
county or to comply with an agreement entered into under division 11329
(C) of this section.11330

       (B) Upon entering into an agreement under division (A) of 11331
this section, the board shall do all of the following:11332

       (1) Cause the agreement to be recorded in the county deed 11333
records in the office of the county recorder of the county in 11334
which the real property is situated. Failure to record the 11335
agreement does not affect the validity of the agreement or the 11336
collection of any amounts due under the agreement.11337

       (2) Establish by resolution an erosion control repayment fund 11338
into which shall be deposited all amounts collected under division 11339
(B)(3) of this section. Moneys in that fund shall be used by the 11340
board for the repayment of the loan and for administrative or 11341
other costs of the board or the authority as specified in an 11342
agreement entered into under division (C) of this section. If the 11343
amount of money in the fund is inadequate to repay the loan when 11344
due, the board of county commissioners, by resolution, may advance 11345
money from any other fund in order to repay the loan if that use 11346
of the money from the other fund is not in conflict with law. If 11347
the board so advances money in order to repay the loan, the board11348
subsequently shall reimburse each fund from which the board 11349
advances money with moneys from the erosion control repayment 11350
fund.11351

       (3) Bill and collect all amounts when due under the agreement 11352
entered into under division (A) of this section. The board shall 11353
certify amounts not paid when due to the county auditor, who shall 11354
enter the amounts on the real property tax list and duplicate 11355
against the property identified under division (A)(1) of this 11356
section. The amounts not paid when due shall be a lien on that 11357
property from the date on which the amounts are placed on the tax 11358
list and duplicate and shall be collected in the same manner as 11359
other taxes.11360

       (C) A board may apply to the authority for a loan for the 11361
purpose of entering into agreements under division (A) of this 11362
section. The loan shall be for an amount and on the terms 11363
established in an agreement between the board and the authority. 11364
The board may assign any agreements entered into under division 11365
(A) of this section to the authority in order to provide for the 11366
repayment of the loan and may pledge any lawfully available 11367
revenues to the repayment of the loan, provided that no moneys 11368
raised by taxation shall be obligated or pledged by the board for 11369
the repayment of the loan. Any agreement with the authority11370
pursuant to this division is not subject to Chapter 133. of the 11371
Revised Code or any requirements or limitations established in 11372
that chapter.11373

       (D) The authority, as assignee of any agreement pursuant to 11374
division (C) of this section, may enforce and compel the board and 11375
the county auditor by mandamus pursuant to Chapter 2731. of the 11376
Revised Code to comply with division (B) of this section in a 11377
timely manner.11378

       (E) The construction of an erosion control structure by a11379
contractor hired by an individual homeowner, group of individual 11380
homeowners, or homeowners association that enters into an 11381
agreement with a board under division (A) of this section is not a 11382
public improvement, as defined in section 4115.03 of the Revised 11383
Code, and is not subject to competitive bidding or public bond 11384
laws.11385

       Sec. 1521.27.        Sec. 1506.45.  The state, or any county, township,11386
municipal corporation, conservancy district, or park board that 11387
has entered into a contract under section 1521.251506.43 of the 11388
Revised Code, may acquire lands by gift or devise, purchase, or 11389
appropriation. In case of appropriation, the proceedings shall be 11390
instituted in the name of the state or the political subdivision 11391
and shall be conducted in the manner provided for the 11392
appropriation of private property by the state or the political 11393
subdivision insofar as those proceedings are applicable. Either 11394
the fee or any lesser interest may be acquired as the state or the 11395
political subdivision considers advisable.11396

       Sec. 1521.28.        Sec. 1506.46.  Any action taken by the chiefdirector11397
of the division of waternatural resources under sections 1521.2011398
1506.38 to 1521.301506.48 of the Revised Code shall not be deemed 11399
in conflict with certain powers and duties conferred upon and11400
delegated to federal agencies and to municipal corporations under 11401
Section 7 of Article XVIII, Ohio Constitution, or as provided by 11402
sections 721.04 to 721.11 of the Revised Code.11403

       Sec. 1521.29.        Sec. 1506.47.  The chiefdirector of the division of 11404
waternatural resources, in cooperation with appropriate offices 11405
and divisions, including the division of geological survey, may11406
prepare a plan for the management of shore erosion in the state 11407
along Lake Erie, its bays, and associated inlets, revise the plan11408
whenever it can be made more effective, and make the plan 11409
available for public inspection. In the preparation of the plan, 11410
the chiefdirector may employ such existing plans as are 11411
available.11412

       The chiefdirector also may establish a program to provide 11413
technical assistance on shore erosion control measures to 11414
municipal corporations, counties, townships, conservancy 11415
districts, park boards, and shoreline property owners.11416

       Sec. 1521.30.        Sec. 1506.48.  Upon application of any owner of real11417
property damaged or destroyed by shore erosion, the county auditor 11418
of the county in which the real property is situated shall cause a 11419
reappraisal to be made and shall place the property on the tax 11420
list at its true value in money.11421

       Whenever the county auditor finds that ninety per cent or 11422
more of the area of any littoral parcel of land appearing upon the 11423
tax duplicate has been eroded and lies within the natural 11424
boundaries of Lake Erie and that the remainder of the parcel, if 11425
any, has no taxable value, the auditor may certify that finding to 11426
the county board of revision. Upon consideration thereof, the11427
board may authorize removal of the parcel from the tax duplicate 11428
and cancellation of all current and delinquent taxes, assessments, 11429
interest, and penalties charged against the parcel.11430

       Sec. 1506.99.  (A) Whoever violates division (A) of section 11431
1506.09 of the Revised Code shall be fined not less than one 11432
hundred nor more than five hundred dollars for each offense.11433

       (B) Whoever violates division (K) of section 1506.32 of the 11434
Revised Code is guilty of a misdemeanor of the third degree.11435

       (C) Whoever violates sections 1506.38 to 1506.48 of the 11436
Revised Code shall be fined not less than one hundred dollars nor 11437
more than five hundred dollars for each offense. Each day of 11438
violation constitutes a separate offense.11439

       Sec. 1521.01.  As used in sections 1521.01 to 1521.05,and11440
1521.13 to 1521.18, and 1521.20 to 1521.30 of the Revised Code:11441

       (A) "Consumptive use," "diversion," "Lake Erie drainage11442
basin," "other great lakes states and provinces," "water11443
resources," and "waters of the state" have the same meanings as in 11444
section 1501.30 of the Revised Code.11445

       (B) "Well" means any excavation, regardless of design or11446
method of construction, created for any of the following purposes:11447

       (1) Removing ground water from or recharging water into an11448
aquifer, excluding subsurface drainage systems installed to11449
enhance agricultural crop production or urban or suburban11450
landscape management or to control seepage in dams, dikes, and11451
levees;11452

       (2) Determining the quantity, quality, level, or movement of 11453
ground water in or the stratigraphy of an aquifer, excluding11454
borings for instrumentation in dams, dikes, levees, or highway11455
embankments;11456

       (3) Removing or exchanging heat from ground water, excluding 11457
horizontal trenches that are installed for water source heat pump 11458
systems.11459

       (C) "Aquifer" means a consolidated or unconsolidated geologic 11460
formation or series of formations that are hydraulically11461
interconnected and that have the ability to receive, store, or11462
transmit water.11463

       (D) "Ground water" means all water occurring in an aquifer.11464

       (E) "Ground water stress area" means a definable geographic 11465
area in which ground water quantity is being affected by human 11466
activity or natural forces to the extent that continuous11467
availability of supply is jeopardized by withdrawals.11468

       (F) "Person" has the same meaning as in section 1.59 of the 11469
Revised Code and also includes the United States, the state, any 11470
political subdivision of the state, and any department, division, 11471
board, commission, agency, or instrumentality of the United 11472
States, the state, or a political subdivision of the state.11473

       (G) "State agency" or "agency of the state" has the same11474
meaning as "agency" in section 111.15 of the Revised Code.11475

       (H) "Development" means any artificial change to improved or11476
unimproved real estate, including the construction of buildings11477
and other structures, any substantial improvement of a structure, 11478
mining, dredging, filling, grading, paving, excavating, and11479
drilling operations, and storage of equipment or materials.11480

       (I) "Floodplain" means the area adjoining any river, stream, 11481
watercourse, or lake that has been or may be covered by flood 11482
water.11483

       (J) "Floodplain management" means the implementation of an11484
overall program of corrective and preventive measures for reducing 11485
flood damage, including the collection and dissemination of flood 11486
information, construction of flood control works, nonstructural 11487
flood damage reduction techniques, and adoption of rules, 11488
ordinances, or resolutions governing development in floodplains.11489

       (K) "One-hundred-year flood" means a flood having a one per 11490
cent chance of being equaled or exceeded in any given year.11491

       (L) "One-hundred-year floodplain" means that portion of a11492
floodplain inundated by a one-hundred-year flood.11493

       (M) "Structure" means a walled and roofed building,11494
including, without limitation, gas or liquid storage tanks, mobile 11495
homes, and manufactured homes.11496

       (N) "Substantial improvement" means any reconstruction,11497
rehabilitation, addition, or other improvement of a structure, the 11498
cost of which equals or exceeds fifty per cent of the market value 11499
of the structure before the start of construction of the11500
improvement. "Substantial improvement" includes repairs to11501
structures that have incurred substantial damage regardless of the 11502
actual repair work performed. "Substantial improvement" does not 11503
include either of the following:11504

       (1) Any project for the improvement of a structure to correct 11505
existing violations of state or local health, sanitary, or safety 11506
code specifications that have been identified by the state or 11507
local code enforcement official having jurisdiction and that are 11508
the minimum necessary to ensure safe living conditions;11509

       (2) Any alteration of an historic structure designated or11510
listed pursuant to federal or state law, provided that the11511
alteration will not preclude the structure's continued listing or11512
designation as an historic structure.11513

       (O) "Shore structure" includes, but is not limited to: 11514
beaches; groins; revetments; bulkheads; seawalls; breakwaters; 11515
certain dikes designated by the chief of the division of water; 11516
piers; docks; jetties; wharves; marinas; boat ramps; any 11517
associated fill or debris used as part of the construction of 11518
shore structures that may affect shore erosion, wave action, or 11519
inundation; and fill or debris placed along or near the shore, 11520
including bluffs, banks, or beach ridges, for the purpose of 11521
stabilizing slopes.11522

       (P) "Substantial damage" means damage of any origin that is 11523
sustained by a structure if the cost of restoring the structure to 11524
its condition prior to the damage would equal or exceed fifty per 11525
cent of the market value of the structure before the damage 11526
occurred.11527

       (Q)(P) "National flood insurance program" means the national 11528
flood insurance program established in the "National Flood 11529
Insurance Act of 1968," 82 Stat. 572, 42 U.S.C. 4001, as amended, 11530
and regulations adopted under it.11531

       (R)(Q) "Conservancy district" means a conservancy district11532
established under Chapter 6101. of the Revised Code.11533

       (S) "Park board" means the board of park commissioners of a 11534
park district created under Chapter 1545. of the Revised Code.11535

       (T) "Erosion control structure" means anything that is 11536
designed primarily to reduce or control erosion of the shore along 11537
or near lake erie, including, but not limited to, revetments, 11538
seawalls, bulkheads, certain breakwaters designated by the chief, 11539
and similar structures. "Erosion control structure" does not 11540
include wharves, piers, docks, marinas, boat ramps, and other 11541
similar structures.11542

       Sec. 1521.99.  (A) Whoever violates division (E)(1) of 11543
section 1521.05 or division (E)(1) of section 1521.16 of the 11544
Revised Code is guilty of a misdemeanor of the fourth degree.11545

       (B) Whoever violates section 1521.06 or 1521.062 of the 11546
Revised Code shall be fined not less than one hundred dollars nor 11547
more than one thousand dollars for each offense. Each day of 11548
violation constitutes a separate offense.11549

       (C) Whoever violates sections 1521.20 to 1521.30 of the11550
Revised Code shall be fined not less than one hundred dollars nor 11551
more than one thousand dollars for each offense. Each day of11552
violation constitutes a separate offense.11553

       Sec. 1531.06.  (A) The chief of the division of wildlife,11554
with the approval of the director of natural resources, may11555
acquire by gift, lease, purchase, or otherwise lands or surface11556
rights upon lands and waters or surface rights upon waters for11557
wild animals, fish or game management, preservation, propagation,11558
and protection, outdoor and nature activities, public fishing and11559
hunting grounds, and flora and fauna preservation. The chief, with 11560
the approval of the director, may receive by grant, devise,11561
bequest, donation, or assignment evidences of indebtedness, the11562
proceeds of which are to be used for the purchase of such lands or11563
surface rights upon lands and waters or surface rights upon11564
waters.11565

       (B)(1) The chief shall adopt rules for the protection of11566
state-owned or leased lands and waters and property under the 11567
control of the division of wildlife against wrongful use or 11568
occupancy that will ensure the carrying out of the intent of this 11569
section, protect those lands, waters, and property from 11570
depredations, and preserve them from molestation, spoilation, 11571
destruction, or any improper use or occupancy thereof, including 11572
rules with respect to recreational activities and for the 11573
government and use of such lands, waters, and property.11574

       (2) The chief may adopt rules benefiting wild animals, fish11575
or game management, preservation, propagation, and protection,11576
outdoor and nature activities, public fishing and hunting grounds,11577
and flora and fauna preservation, and regulating the taking and11578
possession of wild animals on any lands or waters owned or leased11579
or under the division's supervision and control and, for a11580
specified period of years, may prohibit or recall the taking and11581
possession of any wild animal on any portion of such lands or11582
waters. The division clearly shall define and mark the boundaries11583
of the lands and waters owned or leased or under its supervision11584
and control upon which the taking of any wild animal is11585
prohibited.11586

       (C) The chief, with the approval of the director, may acquire11587
by gift, lease, or purchase land for the purpose of establishing11588
state fish hatcheries and game farms and may erect on it buildings 11589
or structures that are necessary.11590

       The title to or lease of such lands and waters shall be taken11591
by the chief in the name of the state. The lease or purchase price 11592
of all such lands and waters may be paid from hunting and trapping 11593
and fishing licenses and any other funds.11594

       (D) To provide more public recreation, stream and lake11595
agreements for public fishing only may be obtained under rules11596
adopted by the chief.11597

       (E) The chief, with the approval of the director, may11598
establish user fees for the use of special public facilities or11599
participation in special activities on lands and waters11600
administered by the division. The special facilities and11601
activities may include hunting or fishing on special designated11602
public lands and waters intensively managed or stocked with11603
artificially propagated game birds or fish, field trial11604
facilities, wildlife nature centers, firearm ranges, boat mooring11605
facilities, camping sites, and other similar special facilities11606
and activities. The chief shall determine whether the user fees11607
are refundable and shall ensure that that information is provided11608
at the time the user fees are paid.11609

       (F) The chief, with the approval of the director, may enter11610
into lease agreements for rental of concessions or other special11611
projects situated on state-owned or leased lands or waters or11612
other property under the division's control. The chief shall set11613
and collect the fees for concession rentals or other special11614
projects; regulate through contracts between the division and11615
concessionaires the sale of tangible objects at concessions or11616
other special projects; and keep a record of all such fee payments11617
showing the amount received, from whom received, and for what11618
purpose the fee was collected.11619

       (G) The chief may sell or donate conservation-related items11620
or items that promote wildlife conservation, including, but not11621
limited to, stamps, pins, badges, books, bulletins, maps,11622
publications, calendars, and any other educational article or11623
artifact pertaining to wild animals; sell confiscated or forfeited11624
items; and sell surplus structures and equipment, and timber or11625
crops from lands owned, administered, leased, or controlled by the11626
division. The chief, with the approval of the director, also may 11627
engage in campaigns and special events that promote wildlife 11628
conservation by selling or donating wildlife-related materials, 11629
memberships, and other items of promotional value.11630

       (H) The chief may sell, lease, or transfer minerals or11631
mineral rights, with the approval of the director, when the chief11632
and the director determine it to be in the best interest of the11633
state. Upon approval of the director, the chief may make, execute, 11634
and deliver contracts, including leases, to mine, drill, or 11635
excavate iron ore, stone, coal, petroleum, gas, salt, and other11636
minerals upon and under lands owned by the state and administered11637
by the division to any person who complies with the terms of such11638
a contract. No such contract shall be valid for more than fifty11639
years from its effective date. Consideration for minerals and11640
mineral rights shall be by rental or royalty basis as prescribed11641
by the chief and payable as prescribed by contract. Moneys11642
collected under this division shall be paid into the state11643
treasury to the credit of the wildlife habitat fund created in11644
section 1531.33 of the Revised Code. Contracts entered into under11645
this division also may provide for consideration for minerals or11646
mineral rights in the form of acquisition of lands as provided11647
under divisions (A) and (C) of this section.11648

       (I) All moneys received under divisions (E), (F), and (G) of11649
this section shall be paid into the state treasury to the credit11650
of a fund that shall be used for the purposes outlined in section11651
1533.15 of the Revised Code and for the management of other wild11652
animals for their ecological and nonconsumptive recreational value11653
or benefit.11654

       (J) The chief, with the approval of the director, may barter11655
or sell wild animals to other states, state or federal agencies,11656
and conservation or zoological organizations. Moneys received from 11657
the sale of wild animals shall be deposited into the wild animal 11658
fund created in section 1531.34 of the Revised Code.11659

       (K) The chief shall adopt rules establishing standards and11660
guidelines for the administration of contraceptive chemicals to11661
noncaptive wild animals. The rules may specify chemical delivery11662
methods and devices and monitoring requirements.11663

       The chief shall establish criteria for the issuance of and11664
shall issue permits for the administration of contraceptive11665
chemicals to noncaptive wild animals. No person shall administer11666
contraceptive chemicals to noncaptive wild animals without a11667
permit issued by the chief.11668

       (L) All fees set by the chief under this section shall be11669
approved by the wildlife council.11670

       (M) Information contained in the wildlife diversity database 11671
that is established pursuant to division (B)(2) of this section 11672
and section 1531.25 of the Revised Code may be made available to 11673
any individual or public or private agency for research, 11674
educational, environmental, land management, or other similar 11675
purposes that are not detrimental to the conservation of a species 11676
or feature. Information regarding sensitive site locations of 11677
species that are listed pursuant to section 1531.25 of the Revised 11678
Code and of features that are included in the wildlife diversity 11679
database is not subject to section 149.43 of the Revised Code if 11680
the chief determines that the release of the information could be 11681
detrimental to the conservation of a species or feature.11682

       Sec. 1531.35.  The wildlife boater angler fund is hereby11683
created in the state treasury. The fund shall consist of money11684
credited to the fund pursuant to section 5735.051 of the Revised11685
Code and other money contributed to the division of wildlife for11686
the purposes of the fund. The fund shall be used for boating11687
access construction, improvements, and maintenance, and to pay for 11688
equipment and personnel costs involved with those activities, on 11689
lakes on which the operation of gasoline-powered watercraft is11690
permissible. However, not more than two hundred thousand dollars 11691
of the annual expenditures from the fund may be used to pay for 11692
the equipment and personnel costs.11693

       Sec. 1548.06.  (A)(1) Application for a certificate of title 11694
for a watercraft or outboard motor shall be made upon a form 11695
prescribed by the chief of the division of watercraft and shall be 11696
sworn to before a notary public or other officer empowered to 11697
administer oaths. The application shall be filed with the clerk of 11698
any court of common pleas. An application for a certificate of 11699
title may be filed electronically by any electronic means approved 11700
by the chief in any county with the clerk of the court of common11701
pleas of that county. The application shall be accompanied by the 11702
fee prescribed in section 1548.10 of the Revised Code. The fee 11703
shall be retained by the clerk who issues the certificate of title 11704
and shall be distributed in accordance with that section. If a 11705
clerk of a court of common pleas, other than the clerk of the 11706
court of common pleas of an applicant's county of residence,11707
issues a certificate of title to the applicant, the clerk shall11708
transmit data related to the transaction to the automated title11709
processing system.11710

       (2) If a certificate of title previously has been issued for 11711
the watercraft or outboard motor, the application for a11712
certificate of title also shall be accompanied by the certificate11713
of title duly assigned unless otherwise provided in this chapter. 11714
If a certificate of title previously has not been issued for the 11715
watercraft or outboard motor in this state, the application, 11716
unless otherwise provided in this chapter, shall be accompanied by 11717
a manufacturer's or importer's certificate; by a sworn statement 11718
of ownership if the watercraft or outboard motor was purchased by 11719
the applicant on or before October 9, 1963, or if the watercraft 11720
is less than fourteen feet long with a permanently affixed 11721
mechanical means of propulsion and was purchased by the applicant 11722
on or before January 1, 2000; or by a certificate of title, bill 11723
of sale, or other evidence of ownership required by the law of 11724
another state from which the watercraft or outboard motor was 11725
brought into this state. Evidence of ownership of a watercraft or 11726
outboard motor for which an Ohio certificate of title previously 11727
has not been issued and which watercraft or outboard motor does 11728
not have permanently affixed to it a manufacturer's serial number11729
shall be accompanied by the certificate of assignment of a hull 11730
identification number assigned by the chief as provided in section 11731
1548.07 of the Revised Code.11732

       (3) The clerk shall retain the evidence of title presented by11733
the applicant and on which the certificate of title is issued,11734
except that, if an application for a certificate of title is filed11735
electronically, by a vendor on behalf of a purchaser of a11736
watercraft or outboard motor, the clerk shall retain the completed11737
electronic record to which the vendor converted the certificate of11738
title application and other required documents. The chief, after 11739
consultation with the attorney general, shall adopt rules that 11740
govern the location at which, and the manner in which, are stored 11741
the actual application and all other documents relating to the 11742
sale of a watercraft or outboard motor when a vendor files the11743
application for a certificate of title electronically on behalf of11744
a purchaser.11745

       (B) The clerk shall use reasonable diligence in ascertaining11746
whether the facts in the application are true by checking the11747
application and documents accompanying it or the electronic record 11748
to which a vendor converted the application and accompanying 11749
documents with the records of watercraft and outboard motors in 11750
the clerk's office. If the clerk is satisfied that the applicant 11751
is the owner of the watercraft or outboard motor and that the 11752
application is in the proper form, the clerk shall issue a11753
physical certificate of title over the clerk's signature and 11754
sealed with the clerk's seal unless the applicant specifically 11755
requests the clerk not to issue a physical certificate of title 11756
and instead to issue an electronic certificate of title. However, 11757
if the evidence indicates and an investigation shows that one or 11758
more Ohio titles already exist for the watercraft or outboard 11759
motor, the chief may cause the redundant title or titles to be 11760
canceled.11761

       (C) In the case of the sale of a watercraft or outboard motor 11762
by a vendor to a general purchaser or user, the certificate of 11763
title shall be obtained in the name of the purchaser by the vendor 11764
upon application signed by the purchaser. In all other cases, the 11765
certificate shall be obtained by the purchaser. In all cases of 11766
transfer of watercraft or outboard motors, the application for 11767
certificate of title shall be filed within thirty days after the 11768
later of the date of purchase or assignment of ownership of the 11769
watercraft or outboard motor. If the application for certificate 11770
of title is not filed within thirty days after the later of the 11771
date of purchase or assignment of ownership of the watercraft or 11772
outboard motor, the clerk shall charge a late penalty fee of five 11773
dollars in addition to the fee prescribed by section 1548.10 of 11774
the Revised Code. The clerk shall retain the entire amount of each 11775
late penalty fee.11776

       (D) The clerk shall refuse to accept an application for 11777
certificate of title unless the applicant either tenders with the 11778
application payment of all taxes levied by or pursuant to Chapter 11779
5739. or 5741. of the Revised Code based on the applicant's county 11780
of residence less, in the case of a sale by a vendor, any discount 11781
to which the vendor is entitled under section 5739.12 of the 11782
Revised Code, or submits any of the following:11783

       (1) A receipt issued by the tax commissioner or a clerk of 11784
courts showing payment of the tax;11785

       (2) A copy of the unit certificate of exemption completed by 11786
the purchaser at the time of sale as provided in section 5739.03 11787
of the Revised Code;11788

       (3) An exemption certificate, in a form prescribed by the tax 11789
commissioner, that specifies why the purchase is not subject to 11790
the tax imposed by Chapter 5739. or 5741. of the Revised Code.11791

       Payment of the tax shall be in accordance with rules issued 11792
by the tax commissioner, and the clerk shall issue a receipt in 11793
the form prescribed by the tax commissioner to any applicant who 11794
tenders payment of the tax with the application for the11795
certificate of title.11796

       (E)(1) For receiving and disbursing the taxes paid to the 11797
clerk by a resident of the clerk's county, the clerk may retain a 11798
poundage fee of one and one one-hundredth per cent of the taxes 11799
collected, which shall be paid into the certificate of title 11800
administration fund created by section 325.33 of the Revised Code. 11801
The clerk shall not retain a poundage fee from payments of taxes 11802
by persons who do not reside in the clerk's county.11803

       (2) A clerk, however, may retain from the taxes paid to the11804
clerk an amount equal to the poundage fees associated with11805
certificates of title issued by other clerks of courts of common11806
pleas to applicants who reside in the first clerk's county. The11807
chief of the division of watercraft, in consultation with the tax11808
commissioner and the clerks of the courts of common pleas, shall11809
develop a report from the automated title processing system that11810
informs each clerk of the amount of the poundage fees that the11811
clerk is permitted to retain from those taxes because of11812
certificates of title issued by the clerks of other counties to11813
applicants who reside in the first clerk's county.11814

       (F) In the case of casual sales of watercraft or outboard 11815
motors that are subject to the tax imposed by Chapter 5739. or 11816
5741. of the Revised Code, the purchase price for the purpose of 11817
determining the tax shall be the purchase price on an affidavit 11818
executed and filed with the clerk by the vendor on a form to be 11819
prescribed by the chief, which shall be prima-facie evidence of 11820
the price for the determination of the tax. In addition to the 11821
information required by section 1548.08 of the Revised Code, each 11822
certificate of title shall contain in bold lettering the following 11823
notification and statements: "WARNING TO TRANSFEROR AND TRANSFEREE 11824
(SELLER AND BUYER). You are required by law to state the true 11825
selling price. A false statement is a violation of section 2921.13 11826
of the Revised Code and is punishable by six months imprisonment 11827
or a fine of up to one thousand dollars, or both. All transfers 11828
are audited by the department of taxation. The seller and buyer 11829
must provide any information requested by the department of 11830
taxation. The buyer may be assessed any additional tax found to be 11831
due."11832

        (G) Each county clerk of courts shall forward to the 11833
treasurer of state all sales and use tax collections resulting 11834
from sales of titled watercraft and outboard motors during a 11835
calendar week on or before the Friday following the close of that 11836
week. If, on any Friday, the offices of the clerk of courts or the 11837
state are not open for business, the tax shall be forwarded to the 11838
treasurer of state on or before the next day on which the offices 11839
are open. Every remittance of tax under this division shall be 11840
accompanied by a remittance report in such form as the tax 11841
commissioner prescribes. Upon receipt of a tax remittance and 11842
remittance report, the treasurer of state shall date stamp the 11843
report and forward it to the tax commissioner. If the tax due for 11844
any week is not remitted by a clerk of courts as required under 11845
this division, the clerk shall forfeit the poundage fees for the 11846
sales made during that week. The treasurer of state may require 11847
the clerks of courts to transmit tax collections and remittance 11848
reports electronically.11849

       (H) For purposes of a transfer of a certificate of title, if 11850
the clerk is satisfied that a secured party has discharged a lien 11851
but has not canceled the lien notation with a clerk, the clerk may 11852
cancel the lien notation on the automated title processing system 11853
and notify the clerk of the county of origin.11854

       (I) Every clerk shall have the capability to transact by 11855
electronic means all procedures and transactions relating to the 11856
issuance of watercraft or outboard motor certificates of title 11857
that are described in the Revised Code as being accomplished by 11858
electronic means.11859

       Sec. 1555.08.  (A) Subject to the limitations provided in11860
Section 15 of Article VIII, Ohio Constitution, the commissioners11861
of the sinking fund, upon certification by the director of the11862
Ohio coal development office of the amount of moneys or additional 11863
moneys needed in the coal research and development fund for the 11864
purpose of making grants or loans for allowable costs, or needed 11865
for capitalized interest, for funding reserves, and for paying 11866
costs and expenses incurred in connection with the issuance, 11867
carrying, securing, paying, redeeming, or retirement of the 11868
obligations or any obligations refunded thereby, including payment 11869
of costs and expenses relating to letters of credit, lines of 11870
credit, insurance, put agreements, standby purchase agreements, 11871
indexing, marketing, remarketing and administrative arrangements, 11872
interest swap or hedging agreements, and any other credit 11873
enhancement, liquidity, remarketing, renewal, or refunding11874
arrangements, all of which are authorized by this section, or11875
providing moneys for loan guarantees, shall issue obligations of11876
the state under this section in amounts authorized by the general11877
assembly; provided that such obligations may be issued to the11878
extent necessary to satisfy the covenants in contracts of11879
guarantee made under section 1555.05 of the Revised Code to issue11880
obligations to meet such guarantees, notwithstanding limitations11881
otherwise applicable to the issuance of obligations under this11882
section except the one-hundred-million-dollar limitation provided11883
in Section 15 of Article VIII, Ohio Constitution. The proceeds of 11884
such obligations, except for the portion to be deposited in the 11885
coal research and development bond service fund as may be provided 11886
in the bond proceedings, shall as provided in the bond proceedings 11887
be deposited in the coal research and development fund. The 11888
commissioners of the sinking fund may appoint trustees, paying 11889
agents, and transfer agents and may retain the services of 11890
financial advisors, accounting experts, and attorneys, and retain 11891
or contract for the services of marketing, remarketing, indexing, 11892
and administrative agents, other consultants, and independent 11893
contractors, including printing services, as are necessary in 11894
their judgment to carry out this section.11895

       (B) The full faith and credit of the state of Ohio is hereby 11896
pledged to obligations issued under this section. The right of the 11897
holders and owners to payment of bond service charges is limited 11898
to all or that portion of the moneys pledged thereto pursuant to 11899
the bond proceedings in accordance with this section, and each 11900
such obligation shall bear on its face a statement to that effect.11901

       (C) Obligations shall be authorized by resolution of the11902
commissioners of the sinking fund on request of the director of11903
the Ohio coal development office as provided in section 1555.02 of 11904
the Revised Code and the bond proceedings shall provide for the 11905
purpose thereof and the principal amount or amounts, and shall 11906
provide for or authorize the manner or agency for determining the 11907
principal maturity or maturities, not exceeding forty years from 11908
the date of issuance, the interest rate or rates or the maximum 11909
interest rate, the date of the obligations and the dates of 11910
payment of interest thereon, their denomination, and the11911
establishment within or without the state of a place or places of11912
payment of bond service charges. Sections 9.98 to 9.983 of the11913
Revised Code apply to obligations issued under this section. The 11914
purpose of such obligations may be stated in the bond proceedings 11915
in terms describing the general purpose or purposes to be served. 11916
The bond proceedings shall also provide, subject to the provisions 11917
of any other applicable bond proceedings, for the pledge of all, 11918
or such part as the commissioners of the sinking fund may 11919
determine, of the moneys credited to the coal research and 11920
development bond service fund to the payment of bond service 11921
charges, which pledges may be made either prior or subordinate to 11922
other expenses, claims, or payments and may be made to secure the 11923
obligations on a parity with obligations theretofore or thereafter 11924
issued, if and to the extent provided in the bond proceedings. The 11925
moneys so pledged and thereafter received by the state are 11926
immediately subject to the lien of such pledge without any 11927
physical delivery thereof or further act, and the lien of any such 11928
pledges is valid and binding against all parties having claims of 11929
any kind against the state or any governmental agency of the 11930
state, irrespective of whether such parties have notice thereof, 11931
and shall create a perfected security interest for all purposes of 11932
Chapter 1309. of the Revised Code, without the necessity for 11933
separation or delivery of funds or for the filing or recording of 11934
the bond proceedings by which such pledge is created or any 11935
certificate, statement or other document with respect thereto; and 11936
the pledge of such moneys is effective and the money therefrom and 11937
thereof may be applied to the purposes for which pledged without11938
necessity for any act of appropriation. Every pledge, and every11939
covenant and agreement made with respect thereto, made in the bond 11940
proceedings may therein be extended to the benefit of the owners 11941
and holders of obligations authorized by this section, and to any 11942
trustee therefor, for the further security of the payment of the 11943
bond service charges.11944

       (D) The bond proceedings may contain additional provisions as 11945
to:11946

       (1) The redemption of obligations prior to maturity at the11947
option of the commissioners of the sinking fund at such price or11948
prices and under such terms and conditions as are provided in the11949
bond proceedings;11950

       (2) Other terms of the obligations;11951

       (3) Limitations on the issuance of additional obligations;11952

       (4) The terms of any trust agreement or indenture securing11953
the obligations or under which the obligations may be issued;11954

       (5) The deposit, investment, and application of the coal11955
research and development bond service fund, and the safeguarding11956
of moneys on hand or on deposit, without regard to Chapter 131. or 11957
135. of the Revised Code, but subject to any special provisions of 11958
this chapter, with respect to particular moneys; provided, that 11959
any bank or trust company which acts as depository of any moneys 11960
in the fund may furnish such indemnifying bonds or may pledge such 11961
securities as required by the commissioners of the sinking fund;11962

       (6) Any other provision of the bond proceedings being binding 11963
upon the commissioners of the sinking fund, or such other body or 11964
person as may from time to time have the authority under law to 11965
take such actions as may be necessary to perform all or any part 11966
of the duty required by such provision;11967

       (7) Any provision which may be made in a trust agreement or 11968
indenture;11969

       (8) Any other or additional agreements with the holders of11970
the obligations, or the trustee therefor, relating to the11971
obligations or the security therefor, including the assignment of11972
mortgages or other security obtained or to be obtained for loans11973
under this chapter.11974

       (E) The obligations may have the great seal of the state or a 11975
facsimile thereof affixed thereto or printed thereon. The11976
obligations shall be signed by such members of the commissioners11977
of the sinking fund as are designated in the resolution11978
authorizing the obligations or bear the facsimile signatures of11979
such members. Any coupons attached to the obligations shall bear11980
the facsimile signature of the treasurer of state. Any obligations 11981
may be executed by the persons who, on the date of execution, are 11982
the commissioners although on the date of such bonds the persons 11983
were not the commissioners. Any coupons may be executed by the 11984
person who, on the date of execution, is the treasurer of state 11985
although on the date of such coupons the person was not the 11986
treasurer of state. In case any officer or commissioner whose 11987
signature or a facsimile of whose signature appears on any such 11988
obligations or any coupons ceases to be such officer or 11989
commissioner before delivery thereof, such signature or facsimile 11990
is nevertheless valid and sufficient for all purposes as if the 11991
individual had remained such officer or commissioner until such 11992
delivery; and in case the seal to be affixed to obligations has 11993
been changed after a facsimile of the seal has been imprinted on 11994
such obligations, such facsimile seal shall continue to be11995
sufficient as to such obligations and obligations issued in11996
substitution or exchange therefor.11997

       (F) All obligations except loan guarantees are negotiable11998
instruments and securities under Chapter 1308. of the Revised11999
Code, subject to the provisions of the bond proceedings as to12000
registration. The obligations may be issued in coupon or in12001
registered form, or both, as the commissioners of the sinking fund 12002
determine. Provision may be made for the registration of any 12003
obligations with coupons attached thereto as to principal alone or 12004
as to both principal and interest, their exchange for obligations 12005
so registered, and for the conversion or reconversion into 12006
obligations with coupons attached thereto of any obligations12007
registered as to both principal and interest, and for reasonable12008
charges for such registration, exchange, conversion, and12009
reconversion.12010

       (G) Obligations may be sold at public sale or at private12011
sale, as determined in the bond proceedings.12012

       (H) Pending preparation of definitive obligations, the12013
commissioners of the sinking fund may issue interim receipts or12014
certificates which shall be exchanged for such definitive12015
obligations.12016

       (I) In the discretion of the commissioners of the sinking12017
fund, obligations may be secured additionally by a trust agreement 12018
or indenture between the commissioners and a corporate trustee, 12019
which may be any trust company or bank having its principala12020
place of business within the state. Any such agreement or 12021
indenture may contain the resolution authorizing the issuance of 12022
the obligations, any provisions that may be contained in any bond 12023
proceedings, and other provisions that are customary or12024
appropriate in an agreement or indenture of such type, including,12025
but not limited to:12026

       (1) Maintenance of each pledge, trust agreement, indenture, 12027
or other instrument comprising part of the bond proceedings until 12028
the state has fully paid the bond service charges on the 12029
obligations secured thereby, or provision therefor has been made;12030

       (2) In the event of default in any payments required to be12031
made by the bond proceedings, or any other agreement of the12032
commissioners of the sinking fund made as a part of the contract12033
under which the obligations were issued, enforcement of such12034
payments or agreement by mandamus, the appointment of a receiver,12035
suit in equity, action at law, or any combination of the12036
foregoing;12037

       (3) The rights and remedies of the holders of obligations and 12038
of the trustee, and provisions for protecting and enforcing them, 12039
including limitations on rights of individual holders of12040
obligations;12041

       (4) The replacement of any obligations that become mutilated 12042
or are destroyed, lost, or stolen;12043

       (5) Such other provisions as the trustee and the12044
commissioners of the sinking fund agree upon, including12045
limitations, conditions, or qualifications relating to any of the12046
foregoing.12047

       (J) Any holder of obligations or a trustee under the bond12048
proceedings, except to the extent that the holder's rights are 12049
restricted by the bond proceedings, may by any suitable form of 12050
legal proceedings protect and enforce any rights under the laws of 12051
this state or granted by such bond proceedings. Such rights 12052
include the right to compel the performance of all duties of the12053
commissioners of the sinking fund, the Ohio air quality 12054
development authority, or the Ohio coal development office 12055
required by this chapter and Chapter 1551. of the Revised Code or 12056
the bond proceedings; to enjoin unlawful activities; and in the 12057
event of default with respect to the payment of any bond service 12058
charges on any obligations or in the performance of any covenant 12059
or agreement on the part of the commissioners, the authority, or 12060
the office in the bond proceedings, to apply to a court having 12061
jurisdiction of the cause to appoint a receiver to receive and 12062
administer the moneys pledged, other than those in the custody of 12063
the treasurer of state, that are pledged to the payment of the 12064
bond service charges on such obligations or that are the subject 12065
of the covenant or agreement, with full power to pay, and to 12066
provide for payment of bond service charges on, such obligations, 12067
and with such powers, subject to the direction of the court, as 12068
are accorded receivers in general equity cases, excluding any 12069
power to pledge additional revenues or receipts or other income or12070
moneys of the commissioners of the sinking fund or the state or12071
governmental agencies of the state to the payment of such12072
principal and interest and excluding the power to take possession12073
of, mortgage, or cause the sale or otherwise dispose of any12074
project.12075

       Each duty of the commissioners of the sinking fund and their 12076
employees, and of each governmental agency and its officers, 12077
members, or employees, undertaken pursuant to the bond proceedings 12078
or any grant, loan, or loan guarantee agreement made under 12079
authority of this chapter, and in every agreement by or with the 12080
commissioners, is hereby established as a duty of the12081
commissioners, and of each such officer, member, or employee12082
having authority to perform such duty, specifically enjoined by12083
the law resulting from an office, trust, or station within the12084
meaning of section 2731.01 of the Revised Code.12085

       The persons who are at the time the commissioners of the12086
sinking fund, or their employees, are not liable in their personal 12087
capacities on any obligations issued by the commissioners or any 12088
agreements of or with the commissioners.12089

       (K) Obligations issued under this section are lawful12090
investments for banks, societies for savings, savings and loan12091
associations, deposit guarantee associations, trust companies,12092
trustees, fiduciaries, insurance companies, including domestic for 12093
life and domestic not for life, trustees or other officers having 12094
charge of sinking and bond retirement or other special funds of 12095
political subdivisions and taxing districts of this state, the 12096
commissioners of the sinking fund of the state, the administrator 12097
of workers' compensation, the state teachers retirement system, 12098
the public employees retirement system, the school employees 12099
retirement system, and the Ohio police and fire pension fund, 12100
notwithstanding any other provisions of the Revised Code or rules 12101
adopted pursuant thereto by any governmental agency of the state 12102
with respect to investments by them, and are also acceptable as 12103
security for the deposit of public moneys.12104

       (L) If the law or the instrument creating a trust pursuant to 12105
division (I) of this section expressly permits investment in12106
direct obligations of the United States or an agency of the United 12107
States, unless expressly prohibited by the instrument, such moneys 12108
also may be invested in no-front-end-load money market mutual 12109
funds consisting exclusively of obligations of the United States 12110
or an agency of the United States and in repurchase agreements, 12111
including those issued by the fiduciary itself, secured by 12112
obligations of the United States or an agency of the United12113
States; and in collective investment funds established in 12114
accordance with section 1111.14 of the Revised Code and consisting 12115
exclusively of any such securities, notwithstanding division 12116
(A)(1)(c) of that section. The income from such investments shall 12117
be credited to such funds as the commissioners of the sinking fund 12118
determine, and such investments may be sold at such times as the 12119
commissioners determine or authorize.12120

       (M) Provision may be made in the applicable bond proceedings 12121
for the establishment of separate accounts in the bond service 12122
fund and for the application of such accounts only to the 12123
specified bond service charges on obligations pertinent to such 12124
accounts and bond service fund and for other accounts therein 12125
within the general purposes of such fund. Moneys to the credit of 12126
the bond service fund shall be disbursed on the order of the 12127
treasurer of state; provided, that no such order is required for 12128
the payment from the bond service fund when due of bond service 12129
charges on obligations.12130

       (N) The commissioners of the sinking fund may pledge all, or 12131
such portion as they determine, of the receipts of the bond12132
service fund to the payment of bond service charges on obligations 12133
issued under this section, and for the establishment and 12134
maintenance of any reserves, as provided in the bond proceedings, 12135
and make other provisions therein with respect to pledged receipts 12136
as authorized by this chapter, which provisions control 12137
notwithstanding any other provisions of law pertaining thereto.12138

       (O) The commissioners of the sinking fund may covenant in the 12139
bond proceedings, and any such covenants control notwithstanding 12140
any other provision of law, that the state and applicable officers 12141
and governmental agencies of the state, including the general 12142
assembly, so long as any obligations are outstanding, shall:12143

       (1) Maintain statutory authority for and cause to be levied 12144
and collected taxes so that the pledged receipts are sufficient in 12145
amount to meet bond service charges, and the establishment and 12146
maintenance of any reserves and other requirements provided for in 12147
the bond proceedings, and, as necessary, to meet covenants 12148
contained in any loan guarantees made under this chapter;12149

       (2) Take or permit no action, by statute or otherwise, that 12150
would impair the exemption from federal income taxation of the 12151
interest on the obligations.12152

       (P) All moneys received by or on account of the state and 12153
required by the applicable bond proceedings, consistent with this 12154
section, to be deposited, transferred, or credited to the coal 12155
research and development bond service fund, and all other moneys 12156
transferred or allocated to or received for the purposes of the 12157
fund, shall be credited to such fund and to any separate accounts 12158
therein, subject to applicable provisions of the bond proceedings, 12159
but without necessity for any act of appropriation. During the 12160
period beginning with the date of the first issuance of 12161
obligations and continuing during such time as any such12162
obligations are outstanding, and so long as moneys in the bond12163
service fund are insufficient to pay all bond service charges on12164
such obligations becoming due in each year, a sufficient amount of 12165
moneys of the state are committed and shall be paid to the bond12166
service fund in each year for the purpose of paying the bond12167
service charges becoming due in that year without necessity for12168
further act of appropriation for such purpose. The bond service12169
fund is a trust fund and is hereby pledged to the payment of bond12170
service charges to the extent provided in the applicable bond12171
proceedings, and payment thereof from such fund shall be made or12172
provided for by the treasurer of state in accordance with such12173
bond proceedings without necessity for any act of appropriation.12174
All investment earnings of the fund shall be credited to the fund.12175

       (Q) For purposes of establishing the limitations contained in 12176
Section 15 of Article VIII, Ohio Constitution, the "principal12177
amount" refers to the aggregate of the offering price of the bonds 12178
or notes. "Principal amount" does not refer to the aggregate value 12179
at maturity or redemption of the bonds or notes.12180

       (R) This section applies only with respect to obligations 12181
issued and delivered prior to September 30, 2000.12182

       Sec. 1557.03.  (A)(1) The commissioners of the sinking fund 12183
are authorized to issue and sell, as provided in this section and 12184
in amounts from time to time authorized by the general assembly, 12185
general obligations of this state for the purpose of financing or 12186
assisting in the financing of the costs of projects. The full 12187
faith and credit, revenues, and taxing power of the state are and 12188
shall be pledged to the timely payment of debt charges on 12189
outstanding obligations, all in accordance with Section 2l of 12190
Article VIII, Ohio Constitution, and Chapter 1557. of the Revised12191
Code, excluding from that pledge fees, excises, or taxes relating 12192
to the registration, operation, or use of vehicles on the public 12193
highways, or to fuels used for propelling those vehicles, and so 12194
long as such obligations are outstanding there shall be levied and 12195
collected excises and taxes, excluding those excepted above, in 12196
amount sufficient to pay the debt charges on such obligations and12197
financing costs relating to credit enhancement facilities.12198

       (2) For meetings of the commissioners of the sinking fund12199
pertaining to the obligations under this chapter, each of the12200
commissioners may designate an employee or officer of that12201
commissioner's office to attend meetings when that commissioner is 12202
absent for any reason, and such designee, when present, shall be 12203
counted in determining whether a quorum is present at any meeting 12204
and may vote and participate in all proceedings and actions of the 12205
commissioners at that meeting pertaining to the obligations, 12206
provided, that such designee shall not execute or cause a 12207
facsimile of the designee's signature to be placed on any12208
obligation, or execute any trust agreement or indenture of the12209
commissioners. Such designation shall be in writing, executed by12210
the designating member, and shall be filed with the secretary of12211
the commissioners and such designation may be changed from time to 12212
time by a similar written designation.12213

       (B) The total principal amount of obligations outstanding at 12214
any one time shall not exceed two hundred million dollars, and not 12215
more than fifty million dollars in principal amount of obligations 12216
to pay costs of projects may be issued in any fiscal year, all 12217
determined as provided in Chapter 1557. of the Revised Code.12218

       (C) The state may participate by grants or contributions in 12219
financing projects under this section made by local government12220
entities. Of the proceeds of the first two hundred million dollars 12221
principal amount in obligations issued under this section to pay 12222
costs of projects, at least twenty per cent shall be allocated in 12223
accordance with section 1557.06 of the Revised Code to grants or 12224
contributions to local government entities. The director of budget 12225
and management shall establish and maintain records in such manner 12226
as to show that the proceeds credited to the Ohio parks and 12227
natural resources fund have been expended for the purposes and in 12228
accordance with the limitations set forth herein.12229

       (D) Each issue of obligations shall be authorized by12230
resolution of the commissioners of the sinking fund. The bond12231
proceedings shall provide for the principal amount or maximum12232
principal amount of obligations of an issue, and shall provide for 12233
or authorize the manner or agency for determining the principal 12234
maturity or maturities, not exceeding the earlier of twenty-five 12235
years from the date the debt represented by the particular 12236
obligations was originally contracted, the interest rate or rates, 12237
the date of and the dates of payment of interest on the 12238
obligations, their denominations, and the establishment within or 12239
without the state of a place or places of payment of debt charges. 12240
Sections 9.96 and 9.98 to 9.983 of the Revised Code are applicable 12241
to the obligations. The purpose of the obligations may be stated 12242
in the bond proceedings as "financing or assisting in the 12243
financing of projects as provided in Section 2l of Article VIII, 12244
Ohio Constitution."12245

       (E) The proceeds of the obligations, except for any portion 12246
to be deposited in special funds, or in escrow funds for the 12247
purpose of refunding outstanding obligations, all as may be12248
provided in the bond proceedings, shall be deposited in the Ohio12249
parks and natural resources fund established by section 1557.02 of 12250
the Revised Code.12251

       (F) The commissioners of the sinking fund may appoint paying 12252
agents, bond registrars, securities depositories, and transfer 12253
agents, and may retain the services of financial advisers and 12254
accounting experts, and retain or contract for the services of 12255
marketing, remarketing, indexing, and administrative agents, other 12256
consultants, and independent contractors, including printing 12257
services, as are necessary in the judgment of the commissioners to 12258
carry out this chapter of the Revised Code. Financing costs are 12259
payable, as provided in the bond proceedings, from the proceeds of 12260
the obligations, from special funds, or from other moneys 12261
available for the purpose.12262

       (G) The bond proceedings, including any trust agreement, may 12263
contain additional provisions customary or appropriate to the12264
financing or to the obligations or to particular obligations,12265
including, but not limited to:12266

       (1) The redemption of obligations prior to maturity at the12267
option of the state or of the holder or upon the occurrence of12268
certain conditions at such price or prices and under such terms12269
and conditions as are provided in the bond proceedings;12270

       (2) The form of and other terms of the obligations;12271

       (3) The establishment, deposit, investment, and application 12272
of special funds, and the safeguarding of moneys on hand or on 12273
deposit, without regard to Chapter 131. or 135. of the Revised 12274
Code, provided that any bank or trust company that acts as a 12275
depository of any moneys in special funds may furnish such12276
indemnifying bonds or may pledge such securities as required by12277
the commissioners of the sinking fund;12278

       (4) Any or every provision of the bond proceedings binding12279
upon the commissioners of the sinking fund and such state agency12280
or local government entities, officer, board, commission,12281
authority, agency, department, or other person or body as may from 12282
time to time have the authority under law to take such actions as 12283
may be necessary to perform all or any part of the duty required 12284
by such provision;12285

       (5) The maintenance of each pledge, any trust agreement, or 12286
other instrument composing part of the bond proceedings until the 12287
state has fully paid or provided for the payment of the debt12288
charges on the obligations or met other stated conditions;12289

       (6) In the event of default in any payments required to be12290
made by the bond proceedings, or any other agreement of the12291
commissioners of the sinking fund made as part of a contract under 12292
which the obligations were issued or secured, the enforcement of 12293
such payments or agreements by mandamus, suit in equity, action at 12294
law, or any combination of the foregoing;12295

       (7) The rights and remedies of the holders of obligations and 12296
of the trustee under any trust agreement, and provisions for12297
protecting and enforcing them, including limitations on rights of12298
individual holders of obligations;12299

       (8) The replacement of any obligations that become mutilated 12300
or are destroyed, lost, or stolen;12301

       (9) Provision for the funding, refunding, or advance12302
refunding or other provision for payment of obligations which will 12303
then no longer be or be deemed to be outstanding for purposes of 12304
this section or of the bond proceedings;12305

       (10) Any provision that may be made in bond proceedings or a 12306
trust agreement, including provision for amendment of the bond 12307
proceedings;12308

       (11) Such other provisions as the commissioners of the12309
sinking fund determine, including limitations, conditions, or12310
qualifications relating to any of the foregoing;12311

       (12) Any other or additional agreements with the holders of 12312
the obligations relating to the obligations or the security for 12313
the obligations.12314

       (H) The great seal of the state or a facsimile of that seal 12315
may be affixed to or printed on the obligations. The obligations 12316
shall be signed by or bear the facsimile signatures of two or more 12317
of the commissioners of the sinking fund as provided in the bond 12318
proceedings. Any obligations may be signed by the person who, on 12319
the date of execution, is the authorized signer although on the 12320
date of such obligations such person was not a commissioner. In 12321
case the individual whose signature or a facsimile of whose 12322
signature appears on any obligation ceases to be a commissioner 12323
before delivery of the obligation, such signature or facsimile is 12324
nevertheless valid and sufficient for all purposes as if the 12325
individual had remained the member until such delivery, and in 12326
case the seal to be affixed to or printed on obligations has been 12327
changed after the seal has been affixed to or a facsimile of the 12328
seal has been printed on the obligations, that seal or facsimile 12329
seal shall continue to be sufficient as to those obligations and 12330
obligations issued in substitution or exchange therefor.12331

       (I) Obligations may be issued in coupon or in fully12332
registered form, or both, as the commissioners of the sinking fund 12333
determine. Provision may be made for the registration of any 12334
obligations with coupons attached as to principal alone or as to 12335
both principal and interest, their exchange for obligations so12336
registered, and for the conversion or reconversion into12337
obligations with coupons attached of any obligations registered as 12338
to both principal and interest, and for reasonable charges for12339
such registration, exchange, conversion, and reconversion. Pending 12340
preparation of definitive obligations, the commissioners of the 12341
sinking fund may issue interim receipts or certificates which 12342
shall be exchanged for such definitive obligations.12343

       (J) Obligations may be sold at public sale or at private12344
sale, and at such price at, above, or below par, as determined by12345
the commissioners of the sinking fund in the bond proceedings.12346

       (K) In the discretion of the commissioners of the sinking12347
fund, obligations may be secured additionally by a trust agreement 12348
between the state and a corporate trustee which may be any trust 12349
company or bank having its principala place of business within 12350
the state. Any trust agreement may contain the resolution12351
authorizing the issuance of the obligations, any provisions that12352
may be contained in the bond proceedings, and other provisions12353
that are customary or appropriate in an agreement of the type.12354

       (L) Except to the extent that their rights are restricted by 12355
the bond proceedings, any holder of obligations, or a trustee12356
under the bond proceedings, may by any suitable form of legal12357
proceedings protect and enforce any rights under the laws of this12358
state or granted by the bond proceedings. Such rights include the 12359
right to compel the performance of all duties of the commissioners 12360
and the state. Each duty of the commissioners and employees of the 12361
commissioners, and of each state agency and local public entity 12362
and its officers, members, or employees, undertaken pursuant to 12363
the bond proceedings, is hereby established as a duty of the 12364
commissioners, and of each such agency, local government entity, 12365
officer, member, or employee having authority to perform such 12366
duty, specifically enjoined by the law and resulting from an 12367
office, trust, or station within the meaning of section 2731.01 of 12368
the Revised Code. The persons who are at the time the 12369
commissioners, or employees of the commissioners, are not liable 12370
in their personal capacities on any obligations or any agreements 12371
of or with the commissioners relating to obligations or under the 12372
bond proceedings.12373

       (M) Obligations are lawful investments for banks, societies 12374
for savings, savings and loan associations, deposit guarantee 12375
associations, trust companies, trustees, fiduciaries, insurance 12376
companies, including domestic for life and domestic not for life, 12377
trustees or other officers having charge of sinking and bond 12378
retirement or other special funds of political subdivisions and 12379
taxing districts of this state, the commissioners of the sinking 12380
fund, the administrator of workers' compensation, the state 12381
teachers retirement system, the public employees retirement 12382
system, the school employees retirement system, and the Ohio 12383
police and fire pension fund, notwithstanding any other provisions 12384
of the Revised Code or rules adopted pursuant thereto by any state 12385
agency with respect to investments by them, and are also 12386
acceptable as security for the deposit of public moneys.12387

       (N) Unless otherwise provided in any applicable bond12388
proceedings, moneys to the credit of or in the special funds12389
established by or pursuant to this section may be invested by or12390
on behalf of the commissioners of the sinking fund only in notes,12391
bonds, or other direct obligations of the United States or of any12392
agency or instrumentality of the United States, in obligations of 12393
this state or any political subdivision of this state, in 12394
certificates of deposit of any national bank located in this state 12395
and any bank, as defined in section 1101.01 of the Revised Code, 12396
subject to inspection by the superintendent of financial12397
institutions, in the Ohio subdivision's fund established pursuant 12398
to section 135.45 of the Revised Code, in no-front-end-load money 12399
market mutual funds consisting exclusively of direct obligations 12400
of the United States or of an agency or instrumentality of the 12401
United States, and in repurchase agreements, including those 12402
issued by any fiduciary, secured by direct obligations of the 12403
United States or an agency or instrumentality of the United 12404
States, and in collective investment funds established in12405
accordance with section 1111.14 of the Revised Code and consisting 12406
exclusively of direct obligations of the United States or of an 12407
agency or instrumentality of the United States, notwithstanding12408
division (A)(1)(c) of that section. The income from investments12409
shall be credited to such special funds or otherwise as the12410
commissioners of the sinking fund determine in the bond12411
proceedings, and the investments may be sold or exchanged at such12412
times as the commissioners determine or authorize.12413

       (O) Unless otherwise provided in any applicable bond12414
proceedings, moneys to the credit of or in a special fund shall be 12415
disbursed on the order of the commissioners of the sinking fund, 12416
provided that no such order is required for the payment from the 12417
bond service fund or other special fund when due of debt charges 12418
or required payments under credit enhancement facilities.12419

       (P) The commissioners of the sinking fund may covenant in the 12420
bond proceedings, and any such covenants shall be controlling12421
notwithstanding any other provision of law, that the state and the 12422
applicable officers and agencies of the state, including the12423
general assembly, so long as any obligations are outstanding in 12424
accordance with their terms, shall maintain statutory authority 12425
for and cause to be charged and collected taxes, excises, and 12426
other receipts of the state so that the receipts to the bond 12427
service fund shall be sufficient in amounts to meet debt charges 12428
and for the establishment and maintenance of any reserves and 12429
other requirements, including payment of the costs of credit12430
enhancement facilities, provided for in the bond proceedings.12431

       (Q) The obligations, the transfer thereof, and the interest, 12432
other accreted amounts, and other income therefrom, including any 12433
profit made on the sale thereof, at all times shall be free from 12434
taxation, direct or indirect, within the state.12435

       (R) This section applies only with respect to obligations 12436
issued and delivered before September 30, 2000.12437

       Sec. 1713.031. The Ohio board of regents shall review an 12438
application for a certificate of authorization from a school 12439
described in division (E) of section 3332.01 of the Revised Code 12440
within twenty-two weeks.12441

       Sec. 1901.34.  (A) Except as provided in divisions (B) and12442
(D) of this section, the village solicitor, city director of law,12443
or similar chief legal officer for each municipal corporation12444
within the territory of a municipal court shall prosecute all12445
cases brought before the municipal court for criminal offenses12446
occurring within the municipal corporation for which that person12447
is the solicitor, director of law, or similar chief legal officer.12448
Except as provided in division (B) of this section, the village12449
solicitor, city director of law, or similar chief legal officer of12450
the municipal corporation in which a municipal court is located12451
shall prosecute all criminal cases brought before the court12452
arising in the unincorporated areas within the territory of the12453
municipal court.12454

       (B) The Auglaize county, Brown county, Clermont county, 12455
Hocking county, Holmes county, Jackson county, Morrow county, 12456
Ottawa county, and Portage county prosecuting attorneys shall 12457
prosecute in municipal court all violations of state law arising 12458
in their respective counties. The Carroll county, Crawford county, 12459
Hamilton county, Madison county, and Wayne county prosecuting 12460
attorneys and beginning January 1, 2008, the Erie county 12461
prosecuting attorney shall prosecute all violations of state law12462
arising within the unincorporated areas of their respective12463
counties. The Columbiana county prosecuting attorney shall12464
prosecute in the Columbiana county municipal court all violations12465
of state law arising in the county, except for violations arising12466
in the municipal corporation of East Liverpool, Liverpool12467
township, or St. Clair township. The Darke county prosecuting 12468
attorney shall prosecute in the Darke county municipal court all 12469
violations of state law arising in the county, except for 12470
violations of state law arising in the municipal corporation of 12471
Greenville and violations of state law arising in the village of 12472
Versailles. The Greene county prosecuting attorney may, with the 12473
concurrence of the Greene county board of county commissioners, 12474
prosecute in the Fairborn municipal courtmay provide for the 12475
prosecution of all violations of state law arising within the 12476
unincorporated areas of Bath and Beavercreek townships in Greene 12477
county and prosecute in the Xenia municipal court all violations 12478
of state law arising within the unincorporated areas of 12479
Ceasarcreek, Cedarville, Jefferson, Miami, New Jasper, Ross, 12480
Silvercreek, Spring Valley, Sugarcreek, and Xenia townships12481
territorial jurisdiction of any municipal court located in Greene 12482
county.12483

       The prosecuting attorney of any county given the duty of12484
prosecuting in municipal court violations of state law shall12485
receive no additional compensation for assuming these additional12486
duties, except that the prosecuting attorney of Hamilton, Portage,12487
and Wayne counties shall receive compensation at the rate of four12488
thousand eight hundred dollars per year, and the prosecuting12489
attorney of Auglaize county shall receive compensation at the rate12490
of one thousand eight hundred dollars per year, each payable from12491
the county treasury of the respective counties in semimonthly12492
installments.12493

       (C) The village solicitor, city director of law, or similar12494
chief legal officer shall perform the same duties, insofar as they12495
are applicable to the village solicitor, city director of law, or12496
similar chief legal officer, as are required of the prosecuting12497
attorney of the county. The village solicitor, city director of12498
law, similar chief legal officer or any assistants who may be12499
appointed shall receive for such services additional compensation12500
to be paid from the treasury of the county as the board of county12501
commissioners prescribes.12502

       (D) The(1) Subject to division (D)(2) of this section, the12503
prosecuting attorney of any county, other than Auglaize, Brown, 12504
Clermont, Hocking, Holmes, Jackson, Morrow, Ottawa, or Portage12505
county, may enter into an agreement with any municipal corporation12506
in the county in which the prosecuting attorney serves pursuant to12507
which the prosecuting attorney prosecutes all criminal cases12508
brought before the municipal court that has territorial12509
jurisdiction over that municipal corporation for criminal offenses12510
occurring within the municipal corporation. The prosecuting12511
attorney of Auglaize, Brown, Clermont, Hocking, Holmes, Jackson,12512
Morrow, Ottawa, or Portage county may enter into an agreement with 12513
any municipal corporation in the county in which the prosecuting12514
attorney serves pursuant to which the respective prosecuting12515
attorney prosecutes all cases brought before the Auglaize county,12516
Brown county, Clermont county, Hocking county, Holmes county, 12517
Jackson county, Morrow county, Ottawa county, or Portage county 12518
municipal court for violations of the ordinances of the municipal12519
corporation or for criminal offenses other than violations of12520
state law occurring within the municipal corporation. For12521
prosecuting these cases, the prosecuting attorney and the12522
municipal corporation may agree upon a fee to be paid by the12523
municipal corporation, which fee shall be paid into the county12524
treasury, to be used to cover expenses of the office of the12525
prosecuting attorney.12526

       (2) Any agreement entered into by the Greene county 12527
prosecuting attorney under division (D)(1) of this section is 12528
subject to the authority under division (B) of this section of the 12529
Greene county board of county commissioners to provide for the 12530
prosecution of violations of state law in municipal courts located 12531
in Greene county.12532

       Sec. 2151.362. (A)(1) In the manner prescribed by division 12533
(C)(1) or (2) of section 3313.64 of the Revised Code, as 12534
applicable, the court, at the time of making any order that 12535
removes a child from the child's own home or that vests legal or 12536
permanent custody of the child in a person other than the child's 12537
parent or a government agency, shall determine the school district 12538
that is to bear the cost of educating the child. The court shall 12539
make the determination a part of the order that provides for the 12540
child's placement or commitment. That school district shall bear 12541
the cost of educating the child unless and until the court 12542
modifies its orderdepartment of education determines that a 12543
different district shall be responsible for bearing that cost12544
pursuant to division (A)(2) of this section. The court's order 12545
shall state that the determination of which school district is 12546
responsible to bear the cost of educating the child is subject to 12547
re-determination by the department pursuant to that division.12548

        (2) If, while the child is in the custody of a person other 12549
than the child's parent or a government agency, the department of 12550
education notifies the courtdetermines that the place of 12551
residence of the child's parent has changed since the court issued 12552
its initial order, the courtdepartment may modify its order to12553
name a different school district to bear the cost of educating the 12554
child. The department may submit the notice to the court upon 12555
receipt,shall make this new determination, and any future 12556
determinations, based on evidence received from the school 12557
district initially orderedcurrently responsible to bear the cost 12558
of educating the child, of evidence acceptable to the department. 12559
If the department finds that the evidence demonstrates to its 12560
satisfaction that the residence of the child's parent has changed 12561
since the court issued its initial order. In the notice to the 12562
court, the department shall recommend to the court whether a 12563
different district should be ordered to bear the cost of educating 12564
the child and, if so, which district should be so ordered. The12565
under division (A)(1) of this section, or since the department 12566
last made a determination under division (A)(2) of this section, 12567
the department shall recommend to the courtname the district in 12568
which the child's parent currently resides or, if the parent's 12569
residence is not known, the district in which the parent's last 12570
known residence is located. If the department cannot determine any 12571
Ohio district in which the parent currently resides or has 12572
resided, the school district designated in the initial court order 12573
under division (A)(1) of this section, or in the most recent 12574
determination made by the department under division (A)(2) of this 12575
section, shall continue to bear the cost of educating the child.12576

       The court may consider the content of a notice by the 12577
department of education under division (A)(2) of this section as 12578
conclusive evidence as to which school district should bear the 12579
cost of educating the child and may amend its order accordingly.12580

       (B) Whenever a child is placed in a detention facility12581
established under section 2152.41 of the Revised Code or a12582
juvenile facility established under section 2151.65 of the Revised12583
Code, the child's school district as determined by the court or 12584
the department, in the same manner as prescribed in division (A) 12585
of this section, shall pay the cost of educating the child based 12586
on the per capita cost of the educational facility within the 12587
detention home or juvenile facility.12588

       (C) Whenever a child is placed by the court in a private12589
institution, school, or residential treatment center or any other12590
private facility, the state shall pay to the court a subsidy to12591
help defray the expense of educating the child in an amount equal12592
to the product of the daily per capita educational cost of the12593
private facility, as determined pursuant to this section, and the12594
number of days the child resides at the private facility, provided12595
that the subsidy shall not exceed twenty-five hundred dollars per12596
year per child. The daily per capita educational cost of a private 12597
facility shall be determined by dividing the actual program cost12598
of the private facility or twenty-five hundred dollars, whichever 12599
is less, by three hundred sixty-five days or by three hundred 12600
sixty-six days for years that include February twenty-ninth. The12601
state shall pay seventy-five per cent of the total subsidy for 12602
each year quarterly to the court. The state may adjust the 12603
remaining twenty-five per cent of the total subsidy to be paid to 12604
the court for each year to an amount that is less than twenty-five 12605
per cent of the total subsidy for that year based upon the12606
availability of funds appropriated to the department of education 12607
for the purpose of subsidizing courts that place a child in a 12608
private institution, school, or residential treatment center or 12609
any other private facility and shall pay that adjusted amount to 12610
the court at the end of the year.12611

       Sec. 2913.40.  (A) As used in this section:12612

       (1) "Statement or representation" means any oral, written,12613
electronic, electronic impulse, or magnetic communication that is12614
used to identify an item of goods or a service for which12615
reimbursement may be made under the medical assistance program or12616
that states income and expense and is or may be used to determine12617
a rate of reimbursement under the medical assistance program.12618

       (2) "Medical assistance program" means the program12619
established by the department of job and family services to12620
provide medical assistance under section 5111.01 of the Revised12621
Code and the medicaid program of Title XIX of the "Social Security12622
Act," 49 Stat. 620 (1935), 42 U.S.C. 301, as amended.12623

       (3) "Provider" means any person who has signed a provider12624
agreement with the department of job and family services to12625
provide goods or services pursuant to the medical assistance12626
program or any person who has signed an agreement with a party to12627
such a provider agreement under which the person agrees to provide12628
goods or services that are reimbursable under the medical12629
assistance program.12630

       (4) "Provider agreement" means an oral or written agreement12631
between the department of job and family services and a person in12632
which the person agrees to provide goods or services under the12633
medical assistance program.12634

       (5) "Recipient" means any individual who receives goods or12635
services from a provider under the medical assistance program.12636

       (6) "Records" means any medical, professional, financial, or12637
business records relating to the treatment or care of any12638
recipient, to goods or services provided to any recipient, or to12639
rates paid for goods or services provided to any recipient and any12640
records that are required by the rules of the director of job and12641
family services to be kept for the medical assistance program.12642

       (B) No person shall knowingly make or cause to be made a12643
false or misleading statement or representation for use in12644
obtaining reimbursement from the medical assistance program.12645

       (C) No person, with purpose to commit fraud or knowing that12646
the person is facilitating a fraud, shall do either of the12647
following:12648

       (1) Contrary to the terms of the person's provider agreement,12649
charge, solicit, accept, or receive for goods or services that the12650
person provides under the medical assistance program any property,12651
money, or other consideration in addition to the amount of12652
reimbursement under the medical assistance program and the 12653
person's provider agreement for the goods or services and any 12654
deductibles or co-paymentscost-sharing expenses authorized by 12655
section 5111.0112 of the Revised Code or rules adopted pursuant to 12656
section 5111.01, 5111.011, or 5111.02 of the Revised Code.12657

       (2) Solicit, offer, or receive any remuneration, other than12658
any deductibles or co-paymentscost-sharing expenses authorized by 12659
section 5111.0112 of the Revised Code or rules adopted under12660
section 5111.01, 5111.011, or 5111.02 of the Revised Code, in cash 12661
or in kind, including, but not limited to, a kickback or rebate, 12662
in connection with the furnishing of goods or services for which 12663
whole or partial reimbursement is or may be made under the medical 12664
assistance program.12665

       (D) No person, having submitted a claim for or provided goods 12666
or services under the medical assistance program, shall do either 12667
of the following for a period of at least six years after a12668
reimbursement pursuant to that claim, or a reimbursement for those12669
goods or services, is received under the medical assistance12670
program:12671

       (1) Knowingly alter, falsify, destroy, conceal, or remove any 12672
records that are necessary to fully disclose the nature of all12673
goods or services for which the claim was submitted, or for which12674
reimbursement was received, by the person;12675

       (2) Knowingly alter, falsify, destroy, conceal, or remove any 12676
records that are necessary to disclose fully all income and12677
expenditures upon which rates of reimbursements were based for the12678
person.12679

       (E) Whoever violates this section is guilty of medicaid12680
fraud. Except as otherwise provided in this division, medicaid12681
fraud is a misdemeanor of the first degree. If the value of12682
property, services, or funds obtained in violation of this section12683
is five hundred dollars or more and is less than five thousand12684
dollars, medicaid fraud is a felony of the fifth degree. If the12685
value of property, services, or funds obtained in violation of12686
this section is five thousand dollars or more and is less than one12687
hundred thousand dollars, medicaid fraud is a felony of the fourth12688
degree. If the value of the property, services, or funds obtained12689
in violation of this section is one hundred thousand dollars or12690
more, medicaid fraud is a felony of the third degree.12691

       (F) Upon application of the governmental agency, office, or12692
other entity that conducted the investigation and prosecution in a12693
case under this section, the court shall order any person who is12694
convicted of a violation of this section for receiving any12695
reimbursement for furnishing goods or services under the medical12696
assistance program to which the person is not entitled to pay to12697
the applicant its cost of investigating and prosecuting the case. 12698
The costs of investigation and prosecution that a defendant is12699
ordered to pay pursuant to this division shall be in addition to12700
any other penalties for the receipt of that reimbursement that are12701
provided in this section, section 5111.03 of the Revised Code, or12702
any other provision of law.12703

       (G) The provisions of this section are not intended to be12704
exclusive remedies and do not preclude the use of any other12705
criminal or civil remedy for any act that is in violation of this12706
section.12707

       Sec. 2921.42.  (A) No public official shall knowingly do any 12708
of the following:12709

       (1) Authorize, or employ the authority or influence of his12710
the public official's office to secure authorization of any public 12711
contract in which hethe public official, a member of histhe 12712
public official's family, or any of histhe public official's12713
business associates has an interest;12714

       (2) Authorize, or employ the authority or influence of his12715
the public official's office to secure the investment of public 12716
funds in any share, bond, mortgage, or other security, with 12717
respect to which hethe public official, a member of histhe 12718
public official's family, or any of histhe public official's12719
business associates either has an interest, is an underwriter, or 12720
receives any brokerage, origination, or servicing fees;12721

       (3) During histhe public official's term of office or within12722
one year thereafter, occupy any position of profit in the 12723
prosecution of a public contract authorized by himthe public 12724
official or by a legislative body, commission, or board of which 12725
hethe public official was a member at the time of authorization, 12726
unless the contract was let by competitive bidding to the lowest 12727
and best bidder;12728

       (4) Have an interest in the profits or benefits of a public 12729
contract entered into by or for the use of the political12730
subdivision or governmental agency or instrumentality with which12731
hethe public official is connected;12732

       (5) Have an interest in the profits or benefits of a public 12733
contract that is not let by competitive bidding if required by law 12734
and that involves more than one hundred fifty dollars.12735

       (B) In the absence of bribery or a purpose to defraud, a12736
public official, member of hisa public official's family, or any 12737
of hisa public official's business associates shall not be 12738
considered as having an interest in a public contract or the 12739
investment of public funds, if all of the following apply:12740

       (1) The interest of that person is limited to owning or12741
controlling shares of the corporation, or being a creditor of the12742
corporation or other organization, that is the contractor on the12743
public contract involved, or that is the issuer of the security in 12744
which public funds are invested;12745

       (2) The shares owned or controlled by that person do not12746
exceed five per cent of the outstanding shares of the corporation, 12747
and the amount due that person as creditor does not exceed five 12748
per cent of the total indebtedness of the corporation or other 12749
organization;12750

       (3) That person, prior to the time the public contract is12751
entered into, files with the political subdivision or governmental 12752
agency or instrumentality involved, an affidavit giving histhat 12753
person's exact status in connection with the corporation or other 12754
organization.12755

       (C) This section does not apply to a public contract in which 12756
a public official, member of hisa public official's family, or 12757
one of hisa public official's business associates has an 12758
interest, when all of the following apply:12759

       (1) The subject of the public contract is necessary supplies 12760
or services for the political subdivision or governmental agency 12761
or instrumentality involved;12762

       (2) The supplies or services are unobtainable elsewhere for 12763
the same or lower cost, or are being furnished to the political 12764
subdivision or governmental agency or instrumentality as part of a 12765
continuing course of dealing established prior to the public 12766
official's becoming associated with the political subdivision or 12767
governmental agency or instrumentality involved;12768

       (3) The treatment accorded the political subdivision or12769
governmental agency or instrumentality is either preferential to12770
or the same as that accorded other customers or clients in similar 12771
transactions;12772

       (4) The entire transaction is conducted at arm's length, with 12773
full knowledge by the political subdivision or governmental agency 12774
or instrumentality involved, of the interest of the public12775
official, member of histhe public official's family, or business 12776
associate, and the public official takes no part in the 12777
deliberations or decision of the political subdivision or 12778
governmental agency or instrumentality with respect to the public 12779
contract.12780

       (D) Division (A)(4) of this section does not prohibit12781
participation by a public employee in any housing program funded12782
by public moneys if the public employee otherwise qualifies for12783
the program and does not use the authority or influence of histhe12784
public employee's office or employment to secure benefits from the 12785
program and if the moneys are to be used on the primary residence 12786
of the public employee. Such participation does not constitute an 12787
unlawful interest in a public contract in violation of this 12788
section.12789

       (E) Whoever violates this section is guilty of having an12790
unlawful interest in a public contract. Violation of division12791
(A)(1) or (2) of this section is a felony of the fourth degree.12792
Violation of division (A)(3), (4), or (5) of this section is a12793
misdemeanor of the first degree.12794

       (F) It is not a violation of this section for a prosecuting 12795
attorney to appoint assistants and employees in accordance with 12796
sections 309.06 and 2921.421 of the Revised Code, for a chief 12797
legal officer of a municipal corporation or an official designated 12798
as prosecutor in a municipal corporation to appoint assistants and 12799
employees in accordance with sections 733.621 and 2921.421 of the 12800
Revised Code, or for a township law director appointed under 12801
section 504.15 of the Revised Code to appoint assistants and 12802
employees in accordance with sections 504.151 and 2921.421 of the 12803
Revised Code.12804

       (F)(G) This section does not apply to a public contract in12805
which a township trustee in a township with a population of five12806
thousand or less in its unincorporated area, a member of the12807
township trustee's family, or one of histhe township trustee's12808
business associates has an interest, if all of the following 12809
apply:12810

       (1) The subject of the public contract is necessary supplies 12811
or services for the township and the amount of the contract is 12812
less than five thousand dollars per year;12813

       (2) The supplies or services are being furnished to the12814
township as part of a continuing course of dealing established12815
before the township trustee held that office with the township;12816

       (3) The treatment accorded the township is either12817
preferential to or the same as that accorded other customers or12818
clients in similar transactions;12819

       (4) The entire transaction is conducted with full knowledge 12820
by the township of the interest of the township trustee, member of 12821
histhe township trustee's family, or histhe township trustee's12822
business associate.12823

       (G)(H) Any public contract in which a public official, a 12824
member of the public official's family, or any of the public 12825
official's business associates has an interest in violation of 12826
this section is void and unenforceable. Any contract securing the 12827
investment of public funds in which a public official, a member of 12828
the public official's family, or any of the public official's 12829
business associates has an interest, is an underwriter, or 12830
receives any brokerage, origination, or servicing fees and that 12831
was entered into in violation of this section is void and 12832
unenforceable.12833

       (I) As used in this section:12834

       (1) "Public contract" means any of the following:12835

       (a) The purchase or acquisition, or a contract for the12836
purchase or acquisition, of property or services by or for the use 12837
of the state, any of its political subdivisions, or any agency or 12838
instrumentality of either, including the employment of an 12839
individual by the state, any of its political subdivisions, or any 12840
agency or instrumentality of either;12841

       (b) A contract for the design, construction, alteration,12842
repair, or maintenance of any public property.12843

       (2) "Chief legal officer" has the same meaning as in section 12844
733.621 of the Revised Code.12845

       Sec. 2927.023.  (A) As used in this section "authorized 12846
recipient of tobacco products" means a person who is:12847

       (1) Licensed as a cigarette wholesale dealer under section 12848
5743.15 of the Revised Code;12849

       (2) Licensed as a distributor of tobacco products under 12850
section 5743.61 of the Revised Coderetail dealer as long as the 12851
person purchases cigarettes with the appropriate tax stamp 12852
affixed;12853

       (3) An export warehouse proprietor as defined in section 5702 12854
of the Internal Revenue Code;12855

       (4) An operator of a customs bonded warehouse under 19 U.S.C. 12856
1311 or 19 U.S.C. 1555;12857

       (5) An officer, employee, or agent of the federal government 12858
or of this state acting in the person's official capacity;12859

       (6) A department, agency, instrumentality, or political 12860
subdivision of the federal government or of this state;12861

       (7) A person having a consent for consumer shipment issued by 12862
the tax commissioner under section 5743.71 of the Revised Code.12863

       The purpose of this section is to prevent the sale of 12864
cigarettes to minors and to ensure compliance with the Master 12865
Settlement Agreement, as defined in section 1346.01 of the Revised 12866
Code.12867

       (B)(1) No person shall cause to be shipped any cigarettes to 12868
any person in this state other than an authorized recipient of 12869
tobacco products.12870

       (2) No common carrier, contract carrier, or other person 12871
shall knowingly transport cigarettes to any person in this state 12872
that the carrier or other person reasonably believes is not an 12873
authorized recipient of tobacco products. If cigarettes are 12874
transported to a home or residence, it shall be presumed that the 12875
common carrier, contract carrier, or other person knew that the 12876
person to whom the cigarettes were delivered was not an authorized 12877
recipient of tobacco products.12878

       (C) No person engaged in the business of selling cigarettes 12879
who ships or causes to be shipped cigarettes to any person in this 12880
state in any container or wrapping other than the original 12881
container or wrapping of the cigarettes shall fail to plainly and 12882
visibly mark the exterior of the container or wrapping in which 12883
the cigarettes are shipped with the words "cigarettes."12884

       (D) A court shall impose a fine of up to one thousand dollars 12885
for each violation of division (B)(1), (B)(2), or (C) of this 12886
section.12887

       Sec. 2935.03.  (A)(1) A sheriff, deputy sheriff, marshal,12888
deputy marshal, municipal police officer, township constable,12889
police officer of a township or joint township police district,12890
member of a police force employed by a metropolitan housing12891
authority under division (D) of section 3735.31 of the Revised12892
Code, member of a police force employed by a regional transit12893
authority under division (Y) of section 306.35 of the Revised12894
Code, state university law enforcement officer appointed under12895
section 3345.04 of the Revised Code, veterans' home police officer 12896
appointed under section 5907.02 of the Revised Code, special 12897
police officer employed by a port authority under section 4582.04 12898
or 4582.28 of the Revised Code, or a special police officer 12899
employed by a municipal corporation at a municipal airport, or 12900
other municipal air navigation facility, that has scheduled 12901
operations, as defined in section 119.3 of Title 14 of the Code of 12902
Federal Regulations, 14 C.F.R. 119.3, as amended, and that is 12903
required to be under a security program and is governed by12904
aviation security rules of the transportation security12905
administration of the United States department of transportation12906
as provided in Parts 1542. and 1544. of Title 49 of the Code of12907
Federal Regulations, as amended, shall arrest and detain, until a12908
warrant can be obtained, a person found violating, within the12909
limits of the political subdivision, metropolitan housing12910
authority housing project, regional transit authority facilities12911
or areas of a municipal corporation that have been agreed to by a12912
regional transit authority and a municipal corporation located12913
within its territorial jurisdiction, college, university,12914
veterans' home operated under Chapter 5907. of the Revised Code, 12915
port authority, or municipal airport or other municipal air 12916
navigation facility, in which the peace officer is appointed, 12917
employed, or elected, a law of this state, an ordinance of a 12918
municipal corporation, or a resolution of a township.12919

       (2) A peace officer of the department of natural resources or 12920
an individual designated to perform law enforcement duties under 12921
section 511.232, 1545.13, or 6101.75 of the Revised Code shall 12922
arrest and detain, until a warrant can be obtained, a person found 12923
violating, within the limits of the peace officer's or12924
individual's territorial jurisdiction, a law of this state.12925

       (3) The house sergeant at arms if the house sergeant at arms12926
has arrest authority pursuant to division (E)(1) of section12927
101.311 of the Revised Code and an assistant house sergeant at12928
arms shall arrest and detain, until a warrant can be obtained, a12929
person found violating, within the limits of the sergeant at 12930
arms's or assistant sergeant at arms's territorial jurisdiction12931
specified in division (D)(1)(a) of section 101.311 of the Revised 12932
Code or while providing security pursuant to division (D)(1)(f) of 12933
section 101.311 of the Revised Code, a law of this state, an 12934
ordinance of a municipal corporation, or a resolution of a 12935
township.12936

       (B)(1) When there is reasonable ground to believe that an12937
offense of violence, the offense of criminal child enticement as12938
defined in section 2905.05 of the Revised Code, the offense of12939
public indecency as defined in section 2907.09 of the Revised12940
Code, the offense of domestic violence as defined in section12941
2919.25 of the Revised Code, the offense of violating a protection12942
order as defined in section 2919.27 of the Revised Code, the12943
offense of menacing by stalking as defined in section 2903.211 of12944
the Revised Code, the offense of aggravated trespass as defined in12945
section 2911.211 of the Revised Code, a theft offense as defined12946
in section 2913.01 of the Revised Code, or a felony drug abuse12947
offense as defined in section 2925.01 of the Revised Code, has12948
been committed within the limits of the political subdivision,12949
metropolitan housing authority housing project, regional transit12950
authority facilities or those areas of a municipal corporation12951
that have been agreed to by a regional transit authority and a12952
municipal corporation located within its territorial jurisdiction,12953
college, university, veterans' home operated under Chapter 5907. 12954
of the Revised Code, port authority, or municipal airport or other 12955
municipal air navigation facility, in which the peace officer is 12956
appointed, employed, or elected or within the limits of the 12957
territorial jurisdiction of the peace officer, a peace officer 12958
described in division (A) of this section may arrest and detain 12959
until a warrant can be obtained any person who the peace officer12960
has reasonable cause to believe is guilty of the violation.12961

       (2) For purposes of division (B)(1) of this section, the12962
execution of any of the following constitutes reasonable ground to12963
believe that the offense alleged in the statement was committed12964
and reasonable cause to believe that the person alleged in the12965
statement to have committed the offense is guilty of the12966
violation:12967

       (a) A written statement by a person alleging that an alleged12968
offender has committed the offense of menacing by stalking or12969
aggravated trespass;12970

       (b) A written statement by the administrator of the12971
interstate compact on mental health appointed under section12972
5119.51 of the Revised Code alleging that a person who had been12973
hospitalized, institutionalized, or confined in any facility under12974
an order made pursuant to or under authority of section 2945.37,12975
2945.371, 2945.38, 2945.39, 2945.40, 2945.401, or 2945.402 of the12976
Revised Code has escaped from the facility, from confinement in a12977
vehicle for transportation to or from the facility, or from12978
supervision by an employee of the facility that is incidental to12979
hospitalization, institutionalization, or confinement in the12980
facility and that occurs outside of the facility, in violation of12981
section 2921.34 of the Revised Code;12982

       (c) A written statement by the administrator of any facility12983
in which a person has been hospitalized, institutionalized, or12984
confined under an order made pursuant to or under authority of12985
section 2945.37, 2945.371, 2945.38, 2945.39, 2945.40, 2945.401, or12986
2945.402 of the Revised Code alleging that the person has escaped12987
from the facility, from confinement in a vehicle for12988
transportation to or from the facility, or from supervision by an12989
employee of the facility that is incidental to hospitalization,12990
institutionalization, or confinement in the facility and that12991
occurs outside of the facility, in violation of section 2921.34 of12992
the Revised Code.12993

       (3)(a) For purposes of division (B)(1) of this section, a12994
peace officer described in division (A) of this section has12995
reasonable grounds to believe that the offense of domestic12996
violence or the offense of violating a protection order has been12997
committed and reasonable cause to believe that a particular person12998
is guilty of committing the offense if any of the following12999
occurs:13000

       (i) A person executes a written statement alleging that the13001
person in question has committed the offense of domestic violence13002
or the offense of violating a protection order against the person13003
who executes the statement or against a child of the person who13004
executes the statement.13005

       (ii) No written statement of the type described in division13006
(B)(3)(a)(i) of this section is executed, but the peace officer,13007
based upon the peace officer's own knowledge and observation of13008
the facts and circumstances of the alleged incident of the offense13009
of domestic violence or the alleged incident of the offense of13010
violating a protection order or based upon any other information,13011
including, but not limited to, any reasonably trustworthy13012
information given to the peace officer by the alleged victim of13013
the alleged incident of the offense or any witness of the alleged13014
incident of the offense, concludes that there are reasonable13015
grounds to believe that the offense of domestic violence or the13016
offense of violating a protection order has been committed and13017
reasonable cause to believe that the person in question is guilty13018
of committing the offense.13019

       (iii) No written statement of the type described in division13020
(B)(3)(a)(i) of this section is executed, but the peace officer13021
witnessed the person in question commit the offense of domestic13022
violence or the offense of violating a protection order.13023

       (b) If pursuant to division (B)(3)(a) of this section a peace 13024
officer has reasonable grounds to believe that the offense of 13025
domestic violence or the offense of violating a protection order 13026
has been committed and reasonable cause to believe that a13027
particular person is guilty of committing the offense, it is the13028
preferred course of action in this state that the officer arrest13029
and detain that person pursuant to division (B)(1) of this section13030
until a warrant can be obtained.13031

       If pursuant to division (B)(3)(a) of this section a peace13032
officer has reasonable grounds to believe that the offense of13033
domestic violence or the offense of violating a protection order13034
has been committed and reasonable cause to believe that family or13035
household members have committed the offense against each other,13036
it is the preferred course of action in this state that the13037
officer, pursuant to division (B)(1) of this section, arrest and13038
detain until a warrant can be obtained the family or household13039
member who committed the offense and whom the officer has13040
reasonable cause to believe is the primary physical aggressor.13041
There is no preferred course of action in this state regarding any13042
other family or household member who committed the offense and13043
whom the officer does not have reasonable cause to believe is the13044
primary physical aggressor, but, pursuant to division (B)(1) of13045
this section, the peace officer may arrest and detain until a13046
warrant can be obtained any other family or household member who13047
committed the offense and whom the officer does not have13048
reasonable cause to believe is the primary physical aggressor.13049

       (c) If a peace officer described in division (A) of this13050
section does not arrest and detain a person whom the officer has13051
reasonable cause to believe committed the offense of domestic13052
violence or the offense of violating a protection order when it is13053
the preferred course of action in this state pursuant to division13054
(B)(3)(b) of this section that the officer arrest that person, the13055
officer shall articulate in the written report of the incident13056
required by section 2935.032 of the Revised Code a clear statement13057
of the officer's reasons for not arresting and detaining that13058
person until a warrant can be obtained.13059

       (d) In determining for purposes of division (B)(3)(b) of this 13060
section which family or household member is the primary physical 13061
aggressor in a situation in which family or household members have 13062
committed the offense of domestic violence or the offense of 13063
violating a protection order against each other, a peace officer13064
described in division (A) of this section, in addition to any 13065
other relevant circumstances, should consider all of the13066
following:13067

       (i) Any history of domestic violence or of any other violent13068
acts by either person involved in the alleged offense that the13069
officer reasonably can ascertain;13070

       (ii) If violence is alleged, whether the alleged violence was 13071
caused by a person acting in self-defense;13072

       (iii) Each person's fear of physical harm, if any, resulting13073
from the other person's threatened use of force against any person13074
or resulting from the other person's use or history of the use of13075
force against any person, and the reasonableness of that fear;13076

       (iv) The comparative severity of any injuries suffered by the 13077
persons involved in the alleged offense.13078

       (e)(i) A peace officer described in division (A) of this13079
section shall not require, as a prerequisite to arresting or13080
charging a person who has committed the offense of domestic13081
violence or the offense of violating a protection order, that the13082
victim of the offense specifically consent to the filing of13083
charges against the person who has committed the offense or sign a13084
complaint against the person who has committed the offense.13085

       (ii) If a person is arrested for or charged with committing13086
the offense of domestic violence or the offense of violating a13087
protection order and if the victim of the offense does not13088
cooperate with the involved law enforcement or prosecuting13089
authorities in the prosecution of the offense or, subsequent to13090
the arrest or the filing of the charges, informs the involved law13091
enforcement or prosecuting authorities that the victim does not13092
wish the prosecution of the offense to continue or wishes to drop13093
charges against the alleged offender relative to the offense, the13094
involved prosecuting authorities, in determining whether to13095
continue with the prosecution of the offense or whether to dismiss13096
charges against the alleged offender relative to the offense and13097
notwithstanding the victim's failure to cooperate or the victim's13098
wishes, shall consider all facts and circumstances that are13099
relevant to the offense, including, but not limited to, the13100
statements and observations of the peace officers who responded to13101
the incident that resulted in the arrest or filing of the charges13102
and of all witnesses to that incident.13103

       (f) In determining pursuant to divisions (B)(3)(a) to (g) of13104
this section whether to arrest a person pursuant to division13105
(B)(1) of this section, a peace officer described in division (A)13106
of this section shall not consider as a factor any possible13107
shortage of cell space at the detention facility to which the13108
person will be taken subsequent to the person's arrest or any13109
possibility that the person's arrest might cause, contribute to,13110
or exacerbate overcrowding at that detention facility or at any13111
other detention facility.13112

       (g) If a peace officer described in division (A) of this13113
section intends pursuant to divisions (B)(3)(a) to (g) of this13114
section to arrest a person pursuant to division (B)(1) of this13115
section and if the officer is unable to do so because the person13116
is not present, the officer promptly shall seek a warrant for the13117
arrest of the person.13118

       (h) If a peace officer described in division (A) of this13119
section responds to a report of an alleged incident of the offense13120
of domestic violence or an alleged incident of the offense of13121
violating a protection order and if the circumstances of the13122
incident involved the use or threatened use of a deadly weapon or13123
any person involved in the incident brandished a deadly weapon13124
during or in relation to the incident, the deadly weapon that was13125
used, threatened to be used, or brandished constitutes contraband,13126
and, to the extent possible, the officer shall seize the deadly13127
weapon as contraband pursuant to Chapter 2981. of the Revised13128
Code. Upon the seizure of a deadly weapon pursuant to division13129
(B)(3)(h) of this section, section 2981.12 of the Revised Code13130
shall apply regarding the treatment and disposition of the deadly13131
weapon. For purposes of that section, the "underlying criminal13132
offense" that was the basis of the seizure of a deadly weapon13133
under division (B)(3)(h) of this section and to which the deadly13134
weapon had a relationship is any of the following that is13135
applicable:13136

       (i) The alleged incident of the offense of domestic violence13137
or the alleged incident of the offense of violating a protection13138
order to which the officer who seized the deadly weapon responded;13139

       (ii) Any offense that arose out of the same facts and13140
circumstances as the report of the alleged incident of the offense13141
of domestic violence or the alleged incident of the offense of13142
violating a protection order to which the officer who seized the13143
deadly weapon responded.13144

       (4) If, in the circumstances described in divisions (B)(3)(a) 13145
to (g) of this section, a peace officer described in division (A) 13146
of this section arrests and detains a person pursuant to division 13147
(B)(1) of this section, or if, pursuant to division (B)(3)(h) of 13148
this section, a peace officer described in division (A) of this 13149
section seizes a deadly weapon, the officer, to the extent13150
described in and in accordance with section 9.86 or 2744.03 of the 13151
Revised Code, is immune in any civil action for damages for13152
injury, death, or loss to person or property that arises from or13153
is related to the arrest and detention or the seizure.13154

       (C) When there is reasonable ground to believe that a13155
violation of division (A)(1), (2), (3), (4), or (5) of section 13156
4506.15 or a violation of section 4511.19 of the Revised Code has 13157
been committed by a person operating a motor vehicle subject to13158
regulation by the public utilities commission of Ohio under Title13159
XLIX of the Revised Code, a peace officer with authority to13160
enforce that provision of law may stop or detain the person whom13161
the officer has reasonable cause to believe was operating the13162
motor vehicle in violation of the division or section and, after13163
investigating the circumstances surrounding the operation of the13164
vehicle, may arrest and detain the person.13165

       (D) If a sheriff, deputy sheriff, marshal, deputy marshal,13166
municipal police officer, member of a police force employed by a13167
metropolitan housing authority under division (D) of section13168
3735.31 of the Revised Code, member of a police force employed by13169
a regional transit authority under division (Y) of section 306.3513170
of the Revised Code, special police officer employed by a port13171
authority under section 4582.04 or 4582.28 of the Revised Code,13172
special police officer employed by a municipal corporation at a13173
municipal airport or other municipal air navigation facility13174
described in division (A) of this section, township constable,13175
police officer of a township or joint township police district,13176
state university law enforcement officer appointed under section13177
3345.04 of the Revised Code, peace officer of the department of13178
natural resources, individual designated to perform law13179
enforcement duties under section 511.232, 1545.13, or 6101.75 of13180
the Revised Code, the house sergeant at arms if the house sergeant13181
at arms has arrest authority pursuant to division (E)(1) of13182
section 101.311 of the Revised Code, or an assistant house13183
sergeant at arms is authorized by division (A) or (B) of this13184
section to arrest and detain, within the limits of the political13185
subdivision, metropolitan housing authority housing project,13186
regional transit authority facilities or those areas of a13187
municipal corporation that have been agreed to by a regional13188
transit authority and a municipal corporation located within its13189
territorial jurisdiction, port authority, municipal airport or13190
other municipal air navigation facility, college, or university in13191
which the officer is appointed, employed, or elected or within the13192
limits of the territorial jurisdiction of the peace officer, a13193
person until a warrant can be obtained, the peace officer, outside13194
the limits of that territory, may pursue, arrest, and detain that13195
person until a warrant can be obtained if all of the following13196
apply:13197

       (1) The pursuit takes place without unreasonable delay after13198
the offense is committed;13199

       (2) The pursuit is initiated within the limits of the13200
political subdivision, metropolitan housing authority housing13201
project, regional transit authority facilities or those areas of a13202
municipal corporation that have been agreed to by a regional13203
transit authority and a municipal corporation located within its13204
territorial jurisdiction, port authority, municipal airport or13205
other municipal air navigation facility, college, or university in13206
which the peace officer is appointed, employed, or elected or13207
within the limits of the territorial jurisdiction of the peace13208
officer;13209

       (3) The offense involved is a felony, a misdemeanor of the13210
first degree or a substantially equivalent municipal ordinance, a13211
misdemeanor of the second degree or a substantially equivalent13212
municipal ordinance, or any offense for which points are13213
chargeable pursuant to section 4510.036 of the Revised Code.13214

       (E) In addition to the authority granted under division (A)13215
or (B) of this section:13216

       (1) A sheriff or deputy sheriff may arrest and detain, until13217
a warrant can be obtained, any person found violating section13218
4503.11, 4503.21, or 4549.01, sections 4549.08 to 4549.12, section13219
4549.62, or Chapter 4511. or 4513. of the Revised Code on the13220
portion of any street or highway that is located immediately13221
adjacent to the boundaries of the county in which the sheriff or13222
deputy sheriff is elected or appointed.13223

       (2) A member of the police force of a township police13224
district created under section 505.48 of the Revised Code, a13225
member of the police force of a joint township police district13226
created under section 505.481 of the Revised Code, or a township13227
constable appointed in accordance with section 509.01 of the13228
Revised Code, who has received a certificate from the Ohio peace13229
officer training commission under section 109.75 of the Revised13230
Code, may arrest and detain, until a warrant can be obtained, any13231
person found violating any section or chapter of the Revised Code13232
listed in division (E)(1) of this section, other than sections13233
4513.33 and 4513.34 of the Revised Code, on the portion of any13234
street or highway that is located immediately adjacent to the13235
boundaries of the township police district or joint township13236
police district, in the case of a member of a township police13237
district or joint township police district police force, or the13238
unincorporated territory of the township, in the case of a13239
township constable. However, if the population of the township13240
that created the township police district served by the member's13241
police force, or the townships that created the joint township13242
police district served by the member's police force, or the13243
township that is served by the township constable, is sixty13244
thousand or less, the member of the township police district or13245
joint police district police force or the township constable may13246
not make an arrest under division (E)(2) of this section on a13247
state highway that is included as part of the interstate system.13248

       (3) A police officer or village marshal appointed, elected,13249
or employed by a municipal corporation may arrest and detain,13250
until a warrant can be obtained, any person found violating any13251
section or chapter of the Revised Code listed in division (E)(1)13252
of this section on the portion of any street or highway that is13253
located immediately adjacent to the boundaries of the municipal13254
corporation in which the police officer or village marshal is13255
appointed, elected, or employed.13256

       (4) A peace officer of the department of natural resources or 13257
an individual designated to perform law enforcement duties under 13258
section 511.232, 1545.13, or 6101.75 of the Revised Code may13259
arrest and detain, until a warrant can be obtained, any person13260
found violating any section or chapter of the Revised Code listed13261
in division (E)(1) of this section, other than sections 4513.3313262
and 4513.34 of the Revised Code, on the portion of any street or13263
highway that is located immediately adjacent to the boundaries of13264
the lands and waters that constitute the territorial jurisdiction13265
of the peace officer.13266

       (F)(1) A department of mental health special police officer13267
or a department of mental retardation and developmental13268
disabilities special police officer may arrest without a warrant13269
and detain until a warrant can be obtained any person found13270
committing on the premises of any institution under the13271
jurisdiction of the particular department a misdemeanor under a13272
law of the state.13273

       A department of mental health special police officer or a13274
department of mental retardation and developmental disabilities13275
special police officer may arrest without a warrant and detain13276
until a warrant can be obtained any person who has been13277
hospitalized, institutionalized, or confined in an institution13278
under the jurisdiction of the particular department pursuant to or13279
under authority of section 2945.37, 2945.371, 2945.38, 2945.39,13280
2945.40, 2945.401, or 2945.402 of the Revised Code and who is13281
found committing on the premises of any institution under the13282
jurisdiction of the particular department a violation of section13283
2921.34 of the Revised Code that involves an escape from the13284
premises of the institution.13285

       (2)(a) If a department of mental health special police13286
officer or a department of mental retardation and developmental13287
disabilities special police officer finds any person who has been13288
hospitalized, institutionalized, or confined in an institution13289
under the jurisdiction of the particular department pursuant to or13290
under authority of section 2945.37, 2945.371, 2945.38, 2945.39,13291
2945.40, 2945.401, or 2945.402 of the Revised Code committing a13292
violation of section 2921.34 of the Revised Code that involves an13293
escape from the premises of the institution, or if there is13294
reasonable ground to believe that a violation of section 2921.3413295
of the Revised Code has been committed that involves an escape13296
from the premises of an institution under the jurisdiction of the13297
department of mental health or the department of mental13298
retardation and developmental disabilities and if a department of13299
mental health special police officer or a department of mental13300
retardation and developmental disabilities special police officer13301
has reasonable cause to believe that a particular person who has13302
been hospitalized, institutionalized, or confined in the13303
institution pursuant to or under authority of section 2945.37,13304
2945.371, 2945.38, 2945.39, 2945.40, 2945.401, or 2945.402 of the13305
Revised Code is guilty of the violation, the special police13306
officer, outside of the premises of the institution, may pursue,13307
arrest, and detain that person for that violation of section13308
2921.34 of the Revised Code, until a warrant can be obtained, if13309
both of the following apply:13310

       (i) The pursuit takes place without unreasonable delay after13311
the offense is committed;13312

       (ii) The pursuit is initiated within the premises of the13313
institution from which the violation of section 2921.34 of the13314
Revised Code occurred.13315

       (b) For purposes of division (F)(2)(a) of this section, the13316
execution of a written statement by the administrator of the13317
institution in which a person had been hospitalized,13318
institutionalized, or confined pursuant to or under authority of13319
section 2945.37, 2945.371, 2945.38, 2945.39, 2945.40, 2945.401, or13320
2945.402 of the Revised Code alleging that the person has escaped13321
from the premises of the institution in violation of section13322
2921.34 of the Revised Code constitutes reasonable ground to13323
believe that the violation was committed and reasonable cause to13324
believe that the person alleged in the statement to have committed13325
the offense is guilty of the violation.13326

       (G) As used in this section:13327

       (1) A "department of mental health special police officer"13328
means a special police officer of the department of mental health13329
designated under section 5119.14 of the Revised Code who is13330
certified by the Ohio peace officer training commission under13331
section 109.77 of the Revised Code as having successfully13332
completed an approved peace officer basic training program.13333

       (2) A "department of mental retardation and developmental13334
disabilities special police officer" means a special police13335
officer of the department of mental retardation and developmental13336
disabilities designated under section 5123.13 of the Revised Code13337
who is certified by the Ohio peace officer training council under13338
section 109.77 of the Revised Code as having successfully13339
completed an approved peace officer basic training program.13340

       (3) "Deadly weapon" has the same meaning as in section13341
2923.11 of the Revised Code.13342

       (4) "Family or household member" has the same meaning as in13343
section 2919.25 of the Revised Code.13344

       (5) "Street" or "highway" has the same meaning as in section13345
4511.01 of the Revised Code.13346

       (6) "Interstate system" has the same meaning as in section13347
5516.01 of the Revised Code.13348

       (7) "Peace officer of the department of natural resources"13349
means an employee of the department of natural resources who is a13350
natural resources law enforcement staff officer designated13351
pursuant to section 1501.013 of the Revised Code, a forest officer 13352
designated pursuant to section 1503.29 of the Revised Code, a 13353
preserve officer designated pursuant to section 1517.10 of the 13354
Revised Code, a wildlife officer designated pursuant to section13355
1531.13 of the Revised Code, a park officer designated pursuant to 13356
section 1541.10 of the Revised Code, or a state watercraft officer13357
designated pursuant to section 1547.521 of the Revised Code.13358

       (8) "Portion of any street or highway" means all lanes of the 13359
street or highway irrespective of direction of travel, including 13360
designated turn lanes, and any berm, median, or shoulder.13361

       Sec. 3109.04.  (A) In any divorce, legal separation, or13362
annulment proceeding and in any proceeding pertaining to the13363
allocation of parental rights and responsibilities for the care of13364
a child, upon hearing the testimony of either or both parents and13365
considering any mediation report filed pursuant to section13366
3109.052 of the Revised Code and in accordance with sections 13367
3127.01 to 3127.53 of the Revised Code, the court shall allocate13368
the parental rights and responsibilities for the care of the minor13369
children of the marriage. Subject to division (D)(2) of this13370
section, the court may allocate the parental rights and13371
responsibilities for the care of the children in either of the13372
following ways:13373

       (1) If neither parent files a pleading or motion in13374
accordance with division (G) of this section, if at least one13375
parent files a pleading or motion under that division but no13376
parent who filed a pleading or motion under that division also13377
files a plan for shared parenting, or if at least one parent files13378
both a pleading or motion and a shared parenting plan under that13379
division but no plan for shared parenting is in the best interest13380
of the children, the court, in a manner consistent with the best13381
interest of the children, shall allocate the parental rights and13382
responsibilities for the care of the children primarily to one of13383
the parents, designate that parent as the residential parent and13384
the legal custodian of the child, and divide between the parents13385
the other rights and responsibilities for the care of the13386
children, including, but not limited to, the responsibility to13387
provide support for the children and the right of the parent who13388
is not the residential parent to have continuing contact with the13389
children.13390

       (2) If at least one parent files a pleading or motion in13391
accordance with division (G) of this section and a plan for shared13392
parenting pursuant to that division and if a plan for shared13393
parenting is in the best interest of the children and is approved13394
by the court in accordance with division (D)(1) of this section,13395
the court may allocate the parental rights and responsibilities13396
for the care of the children to both parents and issue a shared13397
parenting order requiring the parents to share all or some of the13398
aspects of the physical and legal care of the children in13399
accordance with the approved plan for shared parenting. If the13400
court issues a shared parenting order under this division and it13401
is necessary for the purpose of receiving public assistance, the13402
court shall designate which one of the parents' residences is to13403
serve as the child's home. The child support obligations of the13404
parents under a shared parenting order issued under this division13405
shall be determined in accordance with Chapters 3119., 3121.,13406
3123., and 3125. of the Revised Code.13407

       (B)(1) When making the allocation of the parental rights and13408
responsibilities for the care of the children under this section13409
in an original proceeding or in any proceeding for modification of13410
a prior order of the court making the allocation, the court shall13411
take into account that which would be in the best interest of the13412
children. In determining the child's best interest for purposes of 13413
making its allocation of the parental rights and responsibilities 13414
for the care of the child and for purposes of resolving any issues 13415
related to the making of that allocation, the court, in its 13416
discretion, may and, upon the request of either party, shall 13417
interview in chambers any or all of the involved children 13418
regarding their wishes and concerns with respect to the13419
allocation.13420

       (2) If the court interviews any child pursuant to division13421
(B)(1) of this section, all of the following apply:13422

       (a) The court, in its discretion, may and, upon the motion of 13423
either parent, shall appoint a guardian ad litem for the child.13424

       (b) The court first shall determine the reasoning ability of13425
the child. If the court determines that the child does not have13426
sufficient reasoning ability to express the child's wishes and13427
concern with respect to the allocation of parental rights and13428
responsibilities for the care of the child, it shall not determine13429
the child's wishes and concerns with respect to the allocation. If 13430
the court determines that the child has sufficient reasoning13431
ability to express the child's wishes or concerns with respect to13432
the allocation, it then shall determine whether, because of13433
special circumstances, it would not be in the best interest of the13434
child to determine the child's wishes and concerns with respect to13435
the allocation. If the court determines that, because of special13436
circumstances, it would not be in the best interest of the child13437
to determine the child's wishes and concerns with respect to the13438
allocation, it shall not determine the child's wishes and concerns13439
with respect to the allocation and shall enter its written13440
findings of fact and opinion in the journal. If the court13441
determines that it would be in the best interests of the child to13442
determine the child's wishes and concerns with respect to the13443
allocation, it shall proceed to make that determination.13444

       (c) The interview shall be conducted in chambers, and no13445
person other than the child, the child's attorney, the judge, any13446
necessary court personnel, and, in the judge's discretion, the13447
attorney of each parent shall be permitted to be present in the13448
chambers during the interview.13449

       (3) No person shall obtain or attempt to obtain from a child13450
a written or recorded statement or affidavit setting forth the13451
child's wishes and concerns regarding the allocation of parental13452
rights and responsibilities concerning the child. No court, in13453
determining the child's best interest for purposes of making its13454
allocation of the parental rights and responsibilities for the13455
care of the child or for purposes of resolving any issues related13456
to the making of that allocation, shall accept or consider a13457
written or recorded statement or affidavit that purports to set13458
forth the child's wishes and concerns regarding those matters.13459

       (C) Prior to trial, the court may cause an investigation to13460
be made as to the character, family relations, past conduct,13461
earning ability, and financial worth of each parent and may order13462
the parents and their minor children to submit to medical,13463
psychological, and psychiatric examinations. The report of the13464
investigation and examinations shall be made available to either13465
parent or the parent's counsel of record not less than five days13466
before trial, upon written request. The report shall be signed by13467
the investigator, and the investigator shall be subject to13468
cross-examination by either parent concerning the contents of the13469
report. The court may tax as costs all or any part of the expenses 13470
for each investigation.13471

       If the court determines that either parent previously has13472
been convicted of or pleaded guilty to any criminal offense13473
involving any act that resulted in a child being a neglected13474
child, that either parent previously has been determined to be the13475
perpetrator of the neglectful act that is the basis of an13476
adjudication that a child is a neglected child, or that there is13477
reason to believe that either parent has acted in a manner13478
resulting in a child being a neglected child, the court shall13479
consider that fact against naming that parent the residential13480
parent and against granting a shared parenting decree. When the13481
court allocates parental rights and responsibilities for the care13482
of children or determines whether to grant shared parenting in any13483
proceeding, it shall consider whether either parent or any member 13484
of the household of either parent has been convicted of or pleaded 13485
guilty to a violation of section 2919.25 of the Revised Code or a 13486
sexually oriented offense involving a victim who at the time of 13487
the commission of the offense was a member of the family or 13488
household that is the subject of the proceeding, has been 13489
convicted of or pleaded guilty to any sexually oriented offense or 13490
other offense involving a victim who at the time of the commission 13491
of the offense was a member of the family or household that is the 13492
subject of the proceeding and caused physical harm to the victim 13493
in the commission of the offense, or has been determined to be the 13494
perpetrator of the abusive act that is the basis of an 13495
adjudication that a child is an abused child. If the court 13496
determines that either parent has been convicted of or pleaded 13497
guilty to a violation of section 2919.25 of the Revised Code or a 13498
sexually oriented offense involving a victim who at the time of 13499
the commission of the offense was a member of the family or 13500
household that is the subject of the proceeding, has been 13501
convicted of or pleaded guilty to any sexually oriented offense or 13502
other offense involving a victim who at the time of the commission 13503
of the offense was a member of the family or household that is the 13504
subject of the proceeding and caused physical harm to the victim 13505
in the commission of the offense, or has been determined to be the 13506
perpetrator of the abusive act that is the basis of an 13507
adjudication that a child is an abused child, it may designate 13508
that parent as the residential parent and may issue a shared 13509
parenting decree or order only if it determines that it is in the 13510
best interest of the child to name that parent the residential 13511
parent or to issue a shared parenting decree or order and it makes 13512
specific written findings of fact to support its determination.13513

       (D)(1)(a) Upon the filing of a pleading or motion by either13514
parent or both parents, in accordance with division (G) of this13515
section, requesting shared parenting and the filing of a shared13516
parenting plan in accordance with that division, the court shall13517
comply with division (D)(1)(a)(i), (ii), or (iii) of this section,13518
whichever is applicable:13519

       (i) If both parents jointly make the request in their13520
pleadings or jointly file the motion and also jointly file the13521
plan, the court shall review the parents' plan to determine if it13522
is in the best interest of the children. If the court determines13523
that the plan is in the best interest of the children, the court13524
shall approve it. If the court determines that the plan or any13525
part of the plan is not in the best interest of the children, the13526
court shall require the parents to make appropriate changes to the13527
plan to meet the court's objections to it. If changes to the plan13528
are made to meet the court's objections, and if the new plan is in13529
the best interest of the children, the court shall approve the13530
plan. If changes to the plan are not made to meet the court's13531
objections, or if the parents attempt to make changes to the plan13532
to meet the court's objections, but the court determines that the13533
new plan or any part of the new plan still is not in the best13534
interest of the children, the court may reject the portion of the13535
parents' pleadings or deny their motion requesting shared13536
parenting of the children and proceed as if the request in the13537
pleadings or the motion had not been made. The court shall not13538
approve a plan under this division unless it determines that the13539
plan is in the best interest of the children.13540

       (ii) If each parent makes a request in the parent's pleadings 13541
or files a motion and each also files a separate plan, the court 13542
shall review each plan filed to determine if either is in the best 13543
interest of the children. If the court determines that one of the 13544
filed plans is in the best interest of the children, the court may 13545
approve the plan. If the court determines that neither filed plan 13546
is in the best interest of the children, the court may order each 13547
parent to submit appropriate changes to the parent's plan or both 13548
of the filed plans to meet the court's objections, or may select 13549
one of the filed plans and order each parent to submit appropriate 13550
changes to the selected plan to meet the court's objections. If 13551
changes to the plan or plans are submitted to meet the court's 13552
objections, and if any of the filed plans with the changes is in 13553
the best interest of the children, the court may approve the plan 13554
with the changes. If changes to the plan or plans are not 13555
submitted to meet the court's objections, or if the parents submit 13556
changes to the plan or plans to meet the court's objections but 13557
the court determines that none of the filed plans with the 13558
submitted changes is in the best interest of the children, the 13559
court may reject the portion of the parents' pleadings or deny 13560
their motions requesting shared parenting of the children and 13561
proceed as if the requests in the pleadings or the motions had not 13562
been made. If the court approves a plan under this division, 13563
either as originally filed or with submitted changes, or if the 13564
court rejects the portion of the parents' pleadings or denies 13565
their motions requesting shared parenting under this division and 13566
proceeds as if the requests in the pleadings or the motions had 13567
not been made, the court shall enter in the record of the case 13568
findings of fact and conclusions of law as to the reasons for the 13569
approval or the rejection or denial. Division (D)(1)(b) of this 13570
section applies in relation to the approval or disapproval of a 13571
plan under this division.13572

       (iii) If each parent makes a request in the parent's13573
pleadings or files a motion but only one parent files a plan, or13574
if only one parent makes a request in the parent's pleadings or13575
files a motion and also files a plan, the court in the best13576
interest of the children may order the other parent to file a plan13577
for shared parenting in accordance with division (G) of this13578
section. The court shall review each plan filed to determine if13579
any plan is in the best interest of the children. If the court13580
determines that one of the filed plans is in the best interest of13581
the children, the court may approve the plan. If the court13582
determines that no filed plan is in the best interest of the13583
children, the court may order each parent to submit appropriate13584
changes to the parent's plan or both of the filed plans to meet13585
the court's objections or may select one filed plan and order each13586
parent to submit appropriate changes to the selected plan to meet13587
the court's objections. If changes to the plan or plans are13588
submitted to meet the court's objections, and if any of the filed13589
plans with the changes is in the best interest of the children,13590
the court may approve the plan with the changes. If changes to the 13591
plan or plans are not submitted to meet the court's objections, or 13592
if the parents submit changes to the plan or plans to meet the 13593
court's objections but the court determines that none of the filed 13594
plans with the submitted changes is in the best interest of the13595
children, the court may reject the portion of the parents'13596
pleadings or deny the parents' motion or reject the portion of the 13597
parents' pleadings or deny their motions requesting shared13598
parenting of the children and proceed as if the request or13599
requests or the motion or motions had not been made. If the court13600
approves a plan under this division, either as originally filed or13601
with submitted changes, or if the court rejects the portion of the13602
pleadings or denies the motion or motions requesting shared13603
parenting under this division and proceeds as if the request or13604
requests or the motion or motions had not been made, the court13605
shall enter in the record of the case findings of fact and13606
conclusions of law as to the reasons for the approval or the13607
rejection or denial. Division (D)(1)(b) of this section applies in 13608
relation to the approval or disapproval of a plan under this13609
division.13610

       (b) The approval of a plan under division (D)(1)(a)(ii) or13611
(iii) of this section is discretionary with the court. The court13612
shall not approve more than one plan under either division and13613
shall not approve a plan under either division unless it13614
determines that the plan is in the best interest of the children.13615
If the court, under either division, does not determine that any13616
filed plan or any filed plan with submitted changes is in the best13617
interest of the children, the court shall not approve any plan.13618

       (c) Whenever possible, the court shall require that a shared13619
parenting plan approved under division (D)(1)(a)(i), (ii), or13620
(iii) of this section ensure the opportunity for both parents to13621
have frequent and continuing contact with the child, unless13622
frequent and continuing contact with any parent would not be in13623
the best interest of the child.13624

       (d) If a court approves a shared parenting plan under13625
division (D)(1)(a)(i), (ii), or (iii) of this section, the13626
approved plan shall be incorporated into a final shared parenting13627
decree granting the parents the shared parenting of the children.13628
Any final shared parenting decree shall be issued at the same time13629
as and shall be appended to the final decree of dissolution,13630
divorce, annulment, or legal separation arising out of the action13631
out of which the question of the allocation of parental rights and13632
responsibilities for the care of the children arose.13633

       No provisional shared parenting decree shall be issued in13634
relation to any shared parenting plan approved under division13635
(D)(1)(a)(i), (ii), or (iii) of this section. A final shared13636
parenting decree issued under this division has immediate effect13637
as a final decree on the date of its issuance, subject to13638
modification or termination as authorized by this section.13639

       (2) If the court finds, with respect to any child under13640
eighteen years of age, that it is in the best interest of the13641
child for neither parent to be designated the residential parent13642
and legal custodian of the child, it may commit the child to a13643
relative of the child or certify a copy of its findings, together13644
with as much of the record and the further information, in13645
narrative form or otherwise, that it considers necessary or as the13646
juvenile court requests, to the juvenile court for further13647
proceedings, and, upon the certification, the juvenile court has13648
exclusive jurisdiction.13649

       (E)(1)(a) The court shall not modify a prior decree13650
allocating parental rights and responsibilities for the care of13651
children unless it finds, based on facts that have arisen since13652
the prior decree or that were unknown to the court at the time of13653
the prior decree, that a change has occurred in the circumstances13654
of the child, the child's residential parent, or either of the13655
parents subject to a shared parenting decree, and that the13656
modification is necessary to serve the best interest of the child.13657
In applying these standards, the court shall retain the13658
residential parent designated by the prior decree or the prior13659
shared parenting decree, unless a modification is in the best13660
interest of the child and one of the following applies:13661

       (i) The residential parent agrees to a change in the13662
residential parent or both parents under a shared parenting decree13663
agree to a change in the designation of residential parent.13664

       (ii) The child, with the consent of the residential parent or 13665
of both parents under a shared parenting decree, has been13666
integrated into the family of the person seeking to become the13667
residential parent.13668

       (iii) The harm likely to be caused by a change of environment 13669
is outweighed by the advantages of the change of environment to 13670
the child.13671

       (b) One or both of the parents under a prior decree13672
allocating parental rights and responsibilities for the care of13673
children that is not a shared parenting decree may file a motion13674
requesting that the prior decree be modified to give both parents13675
shared rights and responsibilities for the care of the children.13676
The motion shall include both a request for modification of the13677
prior decree and a request for a shared parenting order that13678
complies with division (G) of this section. Upon the filing of the 13679
motion, if the court determines that a modification of the prior 13680
decree is authorized under division (E)(1)(a) of this section, the 13681
court may modify the prior decree to grant a shared parenting 13682
order, provided that the court shall not modify the prior decree 13683
to grant a shared parenting order unless the court complies with 13684
divisions (A) and (D)(1) of this section and, in accordance with 13685
those divisions, approves the submitted shared parenting plan and 13686
determines that shared parenting would be in the best interest of 13687
the children.13688

       (2) In addition to a modification authorized under division13689
(E)(1) of this section:13690

       (a) Both parents under a shared parenting decree jointly may13691
modify the terms of the plan for shared parenting approved by the13692
court and incorporated by it into the shared parenting decree.13693
Modifications under this division may be made at any time. The13694
modifications to the plan shall be filed jointly by both parents13695
with the court, and the court shall include them in the plan,13696
unless they are not in the best interest of the children. If the13697
modifications are not in the best interests of the children, the13698
court, in its discretion, may reject the modifications or make13699
modifications to the proposed modifications or the plan that are13700
in the best interest of the children. Modifications jointly13701
submitted by both parents under a shared parenting decree shall be13702
effective, either as originally filed or as modified by the court,13703
upon their inclusion by the court in the plan. Modifications to13704
the plan made by the court shall be effective upon their inclusion13705
by the court in the plan.13706

       (b) The court may modify the terms of the plan for shared13707
parenting approved by the court and incorporated by it into the13708
shared parenting decree upon its own motion at any time if the13709
court determines that the modifications are in the best interest13710
of the children or upon the request of one or both of the parents13711
under the decree. Modifications under this division may be made at 13712
any time. The court shall not make any modification to the plan 13713
under this division, unless the modification is in the best13714
interest of the children.13715

       (c) The court may terminate a prior final shared parenting13716
decree that includes a shared parenting plan approved under13717
division (D)(1)(a)(i) of this section upon the request of one or13718
both of the parents or whenever it determines that shared13719
parenting is not in the best interest of the children. The court13720
may terminate a prior final shared parenting decree that includes13721
a shared parenting plan approved under division (D)(1)(a)(ii) or13722
(iii) of this section if it determines, upon its own motion or13723
upon the request of one or both parents, that shared parenting is13724
not in the best interest of the children. If modification of the13725
terms of the plan for shared parenting approved by the court and13726
incorporated by it into the final shared parenting decree is13727
attempted under division (E)(2)(a) of this section and the court13728
rejects the modifications, it may terminate the final shared13729
parenting decree if it determines that shared parenting is not in13730
the best interest of the children.13731

       (d) Upon the termination of a prior final shared parenting13732
decree under division (E)(2)(c) of this section, the court shall13733
proceed and issue a modified decree for the allocation of parental13734
rights and responsibilities for the care of the children under the13735
standards applicable under divisions (A), (B), and (C) of this13736
section as if no decree for shared parenting had been granted and13737
as if no request for shared parenting ever had been made.13738

       (F)(1) In determining the best interest of a child pursuant13739
to this section, whether on an original decree allocating parental13740
rights and responsibilities for the care of children or a13741
modification of a decree allocating those rights and13742
responsibilities, the court shall consider all relevant factors,13743
including, but not limited to:13744

       (a) The wishes of the child's parents regarding the child's13745
care;13746

       (b) If the court has interviewed the child in chambers13747
pursuant to division (B) of this section regarding the child's13748
wishes and concerns as to the allocation of parental rights and13749
responsibilities concerning the child, the wishes and concerns of13750
the child, as expressed to the court;13751

       (c) The child's interaction and interrelationship with the13752
child's parents, siblings, and any other person who may13753
significantly affect the child's best interest;13754

       (d) The child's adjustment to the child's home, school, and13755
community;13756

       (e) The mental and physical health of all persons involved in 13757
the situation;13758

       (f) The parent more likely to honor and facilitate13759
court-approved parenting time rights or visitation and13760
companionship rights;13761

       (g) Whether either parent has failed to make all child13762
support payments, including all arrearages, that are required of13763
that parent pursuant to a child support order under which that13764
parent is an obligor;13765

       (h) Whether either parent or any member of the household of 13766
either parent previously has been convicted of or pleaded guilty 13767
to any criminal offense involving any act that resulted in a child 13768
being an abused child or a neglected child; whether either parent, 13769
in a case in which a child has been adjudicated an abused child or 13770
a neglected child, previously has been determined to be the 13771
perpetrator of the abusive or neglectful act that is the basis of 13772
an adjudication; whether either parent or any member of the 13773
household of either parent previously has been convicted of or 13774
pleaded guilty to a violation of section 2919.25 of the Revised 13775
Code or a sexually oriented offense involving a victim who at the 13776
time of the commission of the offense was a member of the family 13777
or household that is the subject of the current proceeding;13778
whether either parent or any member of the household of either 13779
parent previously has been convicted of or pleaded guilty to any 13780
offense involving a victim who at the time of the commission of 13781
the offense was a member of the family or household that is the 13782
subject of the current proceeding and caused physical harm to the 13783
victim in the commission of the offense; and whether there is 13784
reason to believe that either parent has acted in a manner 13785
resulting in a child being an abused child or a neglected child;13786

       (i) Whether the residential parent or one of the parents13787
subject to a shared parenting decree has continuously and13788
willfully denied the other parent's right to parenting time in13789
accordance with an order of the court;13790

       (j) Whether either parent has established a residence, or is13791
planning to establish a residence, outside this state.13792

       (2) In determining whether shared parenting is in the best13793
interest of the children, the court shall consider all relevant13794
factors, including, but not limited to, the factors enumerated in13795
division (F)(1) of this section, the factors enumerated in section 13796
3119.23 of the Revised Code, and all of the following factors:13797

       (a) The ability of the parents to cooperate and make13798
decisions jointly, with respect to the children;13799

       (b) The ability of each parent to encourage the sharing of13800
love, affection, and contact between the child and the other13801
parent;13802

       (c) Any history of, or potential for, child abuse, spouse13803
abuse, other domestic violence, or parental kidnapping by either13804
parent;13805

       (d) The geographic proximity of the parents to each other, as 13806
the proximity relates to the practical considerations of shared13807
parenting;13808

       (e) The recommendation of the guardian ad litem of the child, 13809
if the child has a guardian ad litem.13810

       (3) When allocating parental rights and responsibilities for13811
the care of children, the court shall not give preference to a13812
parent because of that parent's financial status or condition.13813

       (G) Either parent or both parents of any children may file a13814
pleading or motion with the court requesting the court to grant13815
both parents shared parental rights and responsibilities for the13816
care of the children in a proceeding held pursuant to division (A)13817
of this section. If a pleading or motion requesting shared13818
parenting is filed, the parent or parents filing the pleading or13819
motion also shall file with the court a plan for the exercise of13820
shared parenting by both parents. If each parent files a pleading13821
or motion requesting shared parenting but only one parent files a13822
plan or if only one parent files a pleading or motion requesting13823
shared parenting and also files a plan, the other parent as13824
ordered by the court shall file with the court a plan for the13825
exercise of shared parenting by both parents. The plan for shared13826
parenting shall be filed with the petition for dissolution of13827
marriage, if the question of parental rights and responsibilities13828
for the care of the children arises out of an action for13829
dissolution of marriage, or, in other cases, at a time at least13830
thirty days prior to the hearing on the issue of the parental13831
rights and responsibilities for the care of the children. A plan13832
for shared parenting shall include provisions covering all factors13833
that are relevant to the care of the children, including, but not13834
limited to, provisions covering factors such as physical living13835
arrangements, child support obligations, provision for the13836
children's medical and dental care, school placement, and the13837
parent with which the children will be physically located during13838
legal holidays, school holidays, and other days of special13839
importance.13840

       (H) If an appeal is taken from a decision of a court that13841
grants or modifies a decree allocating parental rights and13842
responsibilities for the care of children, the court of appeals13843
shall give the case calendar priority and handle it expeditiously.13844

       (I) Upon receipt of an order to active military service in 13845
the uniformed services, a parent who is subject to an order 13846
allocating parental rights and responsibilities or in relation to 13847
whom an action to allocate parental rights and responsibilities is 13848
pending and who is ordered to active military service shall notify 13849
the other parent who is subject to the order or in relation to 13850
whom the case is pending of the order to active military service. 13851
Either parent may apply to the court for a hearing to expedite an 13852
allocation or modification proceeding. The application shall 13853
include the date on which the active military service begins.13854

       The court shall schedule a hearing upon receipt of the 13855
application and hold the hearing not later than thirty days after 13856
receipt of the application, except that the court shall give the 13857
case calendar priority and handle the case expeditiously if 13858
exigent circumstances exist in the case.13859

       The court shall not modify a prior decree allocating parental 13860
rights and responsibilities unless the court determines by clear 13861
and convincing evidence that there has been a change in 13862
circumstances of the child, the child's residential parent, or 13863
either of the parents subject to a shared parenting decree, and 13864
that modification is necessary to serve the best interest of the 13865
child. The court shall not consider active military service in the 13866
uniformed services in determining whether a change in 13867
circumstances exists under this section.13868

       Nothing in this division shall prevent a court from issuing a 13869
temporary order allocating or modifying parental rights and 13870
responsibilities for the duration of the parent's active military 13871
service.13872

       (J) As used in this section:13873

       (1) "Abused child" has the same meaning as in section 13874
2151.031 of the Revised Code, and "neglected.13875

       (2) "Active military service" means the performance of active 13876
military duty by a member of the uniformed services for a period 13877
of more than thirty days.13878

       (3) "Neglected child" has the same meaning as in section 13879
2151.03 of the Revised Code.13880

       (2)(4) "Sexually oriented offense" has the same meaning as in 13881
section 2950.01 of the Revised Code.13882

       (5) "Uniformed services" means the United States armed 13883
forces, army national guard and air national guard when engaged in 13884
active duty for training, or the commissioned corps of the United 13885
States public health service.13886

       (J)(K) As used in the Revised Code, "shared parenting" means13887
that the parents share, in the manner set forth in the plan for13888
shared parenting that is approved by the court under division13889
(D)(1) and described in division (K)(L)(6) of this section, all or13890
some of the aspects of physical and legal care of their children.13891

       (K)(L) For purposes of the Revised Code:13892

       (1) A parent who is granted the care, custody, and control of 13893
a child under an order that was issued pursuant to this section13894
prior to April 11, 1991, and that does not provide for shared13895
parenting has "custody of the child" and "care, custody, and13896
control of the child" under the order, and is the "residential13897
parent," the "residential parent and legal custodian," or the13898
"custodial parent" of the child under the order.13899

       (2) A parent who primarily is allocated the parental rights13900
and responsibilities for the care of a child and who is designated13901
as the residential parent and legal custodian of the child under13902
an order that is issued pursuant to this section on or after April13903
11, 1991, and that does not provide for shared parenting has13904
"custody of the child" and "care, custody, and control of the13905
child" under the order, and is the "residential parent," the13906
"residential parent and legal custodian," or the "custodial13907
parent" of the child under the order.13908

       (3) A parent who is not granted custody of a child under an13909
order that was issued pursuant to this section prior to April 11,13910
1991, and that does not provide for shared parenting is the13911
"parent who is not the residential parent," the "parent who is not13912
the residential parent and legal custodian," or the "noncustodial13913
parent" of the child under the order.13914

       (4) A parent who is not primarily allocated the parental13915
rights and responsibilities for the care of a child and who is not13916
designated as the residential parent and legal custodian of the13917
child under an order that is issued pursuant to this section on or13918
after April 11, 1991, and that does not provide for shared13919
parenting is the "parent who is not the residential parent," the13920
"parent who is not the residential parent and legal custodian," or13921
the "noncustodial parent" of the child under the order.13922

       (5) Unless the context clearly requires otherwise, if an13923
order is issued by a court pursuant to this section and the order13924
provides for shared parenting of a child, both parents have13925
"custody of the child" or "care, custody, and control of the13926
child" under the order, to the extent and in the manner specified13927
in the order.13928

       (6) Unless the context clearly requires otherwise and except13929
as otherwise provided in the order, if an order is issued by a13930
court pursuant to this section and the order provides for shared13931
parenting of a child, each parent, regardless of where the child13932
is physically located or with whom the child is residing at a13933
particular point in time, as specified in the order, is the13934
"residential parent," the "residential parent and legal13935
custodian," or the "custodial parent" of the child.13936

       (7) Unless the context clearly requires otherwise and except13937
as otherwise provided in the order, a designation in the order of13938
a parent as the residential parent for the purpose of determining13939
the school the child attends, as the custodial parent for purposes13940
of claiming the child as a dependent pursuant to section 152(e) of13941
the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A.13942
1, as amended, or as the residential parent for purposes of13943
receiving public assistance pursuant to division (A)(2) of this13944
section, does not affect the designation pursuant to division13945
(K)(L)(6) of this section of each parent as the "residential 13946
parent," the "residential parent and legal custodian," or the 13947
"custodial parent" of the child.13948

       (L)(M) The court shall require each parent of a child to file 13949
an affidavit attesting as to whether the parent, and the members 13950
of the parent's household, have been convicted of or pleaded 13951
guilty to any of the offenses identified in divisions (C) and 13952
(F)(1)(h) of this section.13953

       Sec. 3109.041.  (A) Parties to any custody decree issued13954
pursuant to section 3109.04 of the Revised Code prior to the13955
effective date of this amendmentApril 11, 1991, may file a motion 13956
with the court that issued the decree requesting the issuance of a 13957
shared parenting decree in accordance with division (G) of section 13958
3109.04 of the Revised Code. Upon the filing of the motion, the 13959
court shall determine whether to grant the parents shared rights 13960
and responsibilities for the care of the children in accordance 13961
with divisions (A), (D)(1), and (E)(1), and (I) of section 3109.04 13962
of the Revised Code.13963

       (B) A custody decree issued pursuant to section 3109.04 of13964
the Revised Code prior to the effective date of this amendment13965
April 11, 1991, that granted joint care, custody, and control of 13966
the children to the parents shall not be affected or invalidated 13967
by, and shall not be construed as being affected or invalidated 13968
by, the provisions of section 3109.04 of the Revised Code relative 13969
to the granting of a shared parenting decree or a decree 13970
allocating parental rights and responsibilities for the care of 13971
children on and after the effective date of this amendmentApril 13972
11, 1991. The decree issued prior to the effective date of this 13973
amendmentApril 11, 1991 shall remain in full force and effect,13974
subject to modification or termination pursuant to section 3109.04 13975
of the Revised Code as that section exists on and after the 13976
effective date of this amendmentApril 11, 1991.13977

       (C) As used in this section, "joint custody" and "joint care, 13978
custody, and control" have the same meaning as "shared parenting."13979

       Sec. 3119.022.  When a court or child support enforcement13980
agency calculates the amount of child support to be paid pursuant13981
to a child support order in a proceeding in which one parent is13982
the residential parent and legal custodian of all of the children13983
who are the subject of the child support order or in which the13984
court issues a shared parenting order, the court or agency shall13985
use a worksheet identical in content and form to the following:13986

CHILD SUPPORT COMPUTATION WORKSHEET
13987

SOLE RESIDENTIAL PARENT OR SHARED PARENTING ORDER
13988

Name of parties ................................................13989

Case No. .......................................................13990

Number of minor children .......................................13991

The following parent was designated as residential parent and13992
legal custodian: ...... mother ...... father ...... shared13993

Column I Column II Column III 13994
Father Mother Combined 13995
INCOME: 13996
1.a. Annual gross income from 13997
employment or, when 13998
determined appropriate 13999
by the court or agency, 14000
average annual gross income 14001
from employment over a 14002
reasonable period of years. 14003
(Exclude overtime, bonuses, 14004
self-employment income, or 14005
commissions)............... $...... $...... 14006
b. Amount of overtime, 14007
bonuses, and commissions 14008
(year 1 representing the 14009
most recent year) 14010

Father Mother 14011
Yr. 3 $.......... Yr. 3 $.......... 14012
(Three years ago) (Three years ago) 14013
Yr. 2 $.......... Yr. 2 $.......... 14014
(Two years ago) (Two years ago) 14015
Yr. 1 $.......... Yr. 1 $.......... 14016
(Last calendar year) (Last calendar year) 14017
Average $......... Average $......... 14018

(Include in Col. I and/or 14019
Col. II the average of the 14020
three years or the year 1 14021
amount, whichever is less, 14022
if there exists a reasonable 14023
expectation that the total 14024
earnings from overtime and/or 14025
bonuses during the current 14026
calendar year will meet or 14027
exceed the amount that is 14028
the lower of the average 14029
of the three years or the 14030
year 1 amount. If, however, 14031
there exists a reasonable 14032
expectation that the total 14033
earnings from overtime/ 14034
bonuses during the current 14035
calendar year will be less 14036
than the lower of the average 14037
of the 3 years or the year 1 14038
amount, include only the 14039
amount reasonably expected 14040
to be earned this year.)... $...... $...... 14041
14042
2. For self-employment income: 14043
a. Gross receipts from 14044
business................... $...... $...... 14045
b. Ordinary and necessary 14046
business expenses.......... $...... $...... 14047
c. 5.6% of adjusted gross 14048
income or the actual 14049
marginal difference between 14050
the actual rate paid by the 14051
self-employed individual 14052
and the F.I.C.A. rate ..... $...... $...... 14053
d. Adjusted gross income from 14054
self-employment (subtract 14055
the sum of 2b and 2c from 14056
2a)........................ $...... $...... 14057
14058
3. Annual income from interest 14059
and dividends (whether or 14060
not taxable)............... $...... $...... 14061
14062
4. Annual income from 14063
unemployment compensation... $...... $...... 14064
14065
5. Annual income from workers' 14066
compensation, disability 14067
insurance benefits, or social 14068
security disability/ 14069
retirement benefits........ $...... $...... 14070
14071
6. Other annual income 14072
(identify)................. $...... $...... 14073
14074
7.a. Total annual gross income 14075
(add lines 1a, 1b, 2d, and 14076
3-6)....................... $...... $...... 14077
b. Health care maximum (multiply 14078
line 7a by 5%) $...... $...... 14079
14080
ADJUSTMENTS TO INCOME: 14081
8. Adjustment for minor children 14082
born to or adopted by either 14083
parent and another parent who 14084
are living with this parent; 14085
adjustment does not apply 14086
to stepchildren (number of 14087
children times federal income 14088
tax exemption less child 14089
support received, not to 14090
exceed the federal tax 14091
exemption)................. $...... $...... 14092
14093
9. Annual court-ordered support 14094
paid for other children.... $...... $...... 14095
14096
10. Annual court-ordered spousal 14097
support paid to any spouse 14098
or former spouse........... $...... $...... 14099
14100
11. Amount of local income taxes 14101
actually paid or estimated 14102
to be paid................. $...... $...... 14103
14104
12. Mandatory work-related 14105
deductions such as union 14106
dues, uniform fees, etc. 14107
(not including taxes, social 14108
security, or retirement)... $...... $...... 14109
14110
13. Total gross income 14111
adjustments (add lines 14112
8 through 12).............. $...... $...... 14113
14114
14. Adjusted annual gross 14115
income (subtract line 13 14116
from line 7a).............. $...... $...... 14117
14118
15. Combined annual income that 14119
is basis for child support 14120
order (add line 14, Col. I 14121
and Col. II)................ $...... 14122
14123
16. Percentage of parent's 14124
income to total income 14125
a. Father (divide line 14, 14126
Col. I, by line 15, Col. 14127
III).......................% 14128
b. Mother (divide line 14, 14129
Col. II, by line 15, Col. 14130
III).......................% 14131
14132
17. Basic combined child 14133
support obligation (refer 14134
to schedule, first column, 14135
locate the amount nearest 14136
to the amount on line 15, 14137
Col. III, then refer to 14138
column for number of 14139
children in this family. 14140
If the income of the 14141
parents is more than one 14142
sum but less than another, 14143
you may calculate the 14144
difference.)............... $...... 14145
14146
18. Annual support obligation per parent 14147
a. Father (multiply line 17, 14148
Col. III, by line 16a)..... $...... 14149
b. Mother (multiply line 17, 14150
Col. III, by line 16b)..... $...... 14151
14152
19. Annual child care expenses 14153
for children who are the 14154
subject of this order that 14155
are work-, employment 14156
training-, or education- 14157
related, as approved by 14158
the court or agency 14159
(deduct tax credit from 14160
annual cost, whether or 14161
not claimed).............. $...... $...... 14162
14163
20. Marginal, out-of-pocket 14164
costs, necessary to provide 14165
for health insurance for 14166
the children who are the 14167
subject of this order 14168
Actual out-of-pocket 14169
health insurance cost 14170
to parent for the children 14171
who are the subject of 14172
this order, if the parent 14173
is ordered to provide 14174
health insurance ........ $...... $...... 14175
14176
21. ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS PROVIDED: 14177

Father (only if obligor Mother (only if obligor 14178
or shared parenting) or shared parenting) 14179
a. Additions: line 16a b. Additions: line 16b 14180
times sum of amounts times sum of amounts 14181
shown on line 19, Col. II shown on line 19, Col. I 14182
and line 20, Col. II and line 20, Col. I 14183
$...................... $...................... 14184
c. Subtractions: line 16b d. Subtractions: line 16a 14185
times sum of amounts times sum of amounts 14186
shown on line 19, Col. I shown on line 19, Col. II 14187
and line 20, Col. I and line 20, Col. II 14188
$....................... $....................... 14189

14190
22. OBLIGATION AFTER ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS PROVIDED: 14191
a. Father: line 18a plus or 14192
minus the difference between 14193
line 21a minus line 21c 14194
$...... 14195
b. Mother: line 18b plus or 14196
minus the difference between 14197
line 21b minus line 21d 14198
$...... 14199
  14200
23. ACTUAL ANNUAL OBLIGATION WHEN HEALTH INSURANCE IS PROVIDED: 14201
a. (Line 22a or 22b, whichever 14202
line corresponds to the 14203
parent who is the obligor). $...... 14204
b. Any non-means-tested 14205
benefits, including social 14206
security and veterans' 14207
benefits, paid to and 14208
received by a child or a 14209
person on behalf of the 14210
child due to death, 14211
disability, or retirement 14212
of the parent............... $...... 14213
c. Actual annual obligation 14214
(subtract line 23b from 14215
line 23a)................... $...... 14216
  14217
24. ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS NOT PROVIDED: 14218

Father (only if obligor Mother (only if obligor 14219
or shared parenting) or shared parenting) 14220
a. Additions: line 16a times b. Additions: line 16b times 14221
amount shown on line 19, amount shown on line 19, 14222
Col. II Col. I 14223
$...................... $...................... 14224
c. Subtractions: line 16b d. Subtractions: line 16a 14225
times amount shown on times amount shown on 14226
line 19, Col. I line 19, Col. II 14227
$....................... $....................... 14228
  14229

25. OBLIGATION AFTER ADJUSTMENTS TO CHILD SUPPORT 14230
WHEN HEALTH INSURANCE IS NOT PROVIDED: 14231
a. Father: line 18a plus or minus the difference between line 24a minus line 24c 14232
$...... 14233
b. Mother: line 18b plus or minus the difference between line 24b and 24d 14234
$...... 14235
  14236
26. ACTUAL ANNUAL OBLIGATION WHEN HEALTH INSURANCE IS NOT PROVIDED: 14237
a. (Line 25a or 25b, whichever line corresponds to the parent who is the 14238
obligor) $...... 14239
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 14240
parent $...... 14241
c. Actual annual obligation (subtract line 26b from line 14242
26a $...... 14243

  14244
27.a. Deviation from sole residential parent support amount shown 14245
on line 23c if amount would be unjust or inappropriate: (see 14246
section 3119.23 of the Revised Code.) (Specific facts and 14247
monetary value must be stated.) 14248
14249
14250
14251
14252
b. Deviation from shared parenting order: (see sections 3119.23 14253
and 3119.24 of the Revised Code.) (Specific facts including 14254
amount of time children spend with each parent, ability of 14255
each parent to maintain adequate housing for children, and 14256
each parent's expenses for children must be stated to justify 14257
deviation.) 14258
14259
14260
14261
14262

WHEN HEALTH INSURANCE IS PROVIDED WHEN HEALTH INSURANCE IS NOT PROVIDED 14263
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) 14264
$...... $...... Father/Mother, OBLIGOR 14265
14266
26 29. FOR DECREE: Child support per month (divide obligor's annual share, line 25 28, by 12) plus any processing charge 14267
$...... $...... 14268
14269
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 14270
line 7b $...... 14271
14272
31. FOR DECREE: Cash medical support per month (divide 14273
line 30 by 12) $...... 14274

Prepared by: 14275
Counsel: .................... Pro se: ................. 14276
(For mother/father) 14277
CSEA: ....................... Other: .................. 14278

Worksheet Has Been Reviewed and Agreed To:
14279

........................... ........................... 14280
Mother Date 14281
........................... ........................... 14282
Father Date 14283

       Sec. 3119.023.  When a court or child support enforcement14284
agency calculates the amount of child support to be paid pursuant14285
to a court child support order in a proceeding in which the14286
parents have split parental rights and responsibilities with14287
respect to the children who are the subject of the child support14288
order, the court or child support enforcement agency shall use a14289
worksheet that is identical in content and form to the following:14290

CHILD SUPPORT COMPUTATION WORKSHEET
14291

SPLIT PARENTAL RIGHTS AND RESPONSIBILITIES
14292

Name of parties ................................................14293

Case No. .......................................................14294

Number of minor children .......................................14295

Number of minor children with mother .......... father .........14296

Column I Column II Column III 14297
Father Mother Combined 14298
INCOME: 14299
1.a. Annual gross income from 14300
employment or, when 14301
determined appropriate 14302
by the court or agency, 14303
average annual gross income 14304
from employment over a 14305
reasonable period of years. 14306
(Exclude overtime, bonuses, 14307
self-employment income, or 14308
commissions)............... $...... $...... 14309
b. Amount of overtime, 14310
bonuses, and commissions 14311
(year 1 representing the 14312
most recent year) 14313

Father Mother 14314
Yr. 3 $.......... Yr. 3 $.......... 14315
(Three years ago) (Three years ago) 14316
Yr. 2 $.......... Yr. 2 $.......... 14317
(Two years ago) (Two years ago) 14318
Yr. 1 $.......... Yr. 1 $.......... 14319
(Last calendar year) (Last calendar year) 14320
Average $.......... $............ 14321

(Include in Col. I and/or 14322
Col. II the average of the 14323
three years or the year 1 14324
amount, whichever is less, 14325
if there exists a reasonable 14326
expectation that the total 14327
earnings from overtime and/or 14328
bonuses during the current 14329
calendar year will meet or 14330
exceed the amount that is 14331
the lower of the average 14332
of the three years or the 14333
year 1 amount. If, however, 14334
there exists a reasonable 14335
expectation that the total 14336
earnings from overtime/ 14337
bonuses during the current 14338
calendar year will be less 14339
than the lower of the average 14340
of the 3 years or the year 1 14341
amount, include only the 14342
amount reasonably expected 14343
to be earned this year.)... $...... $...... 14344
14345
2. For self-employment income 14346
a. Gross receipts from 14347
business................... $...... $...... 14348
b. Ordinary and necessary 14349
business expenses.......... $...... $...... 14350
c. 5.6% of adjusted gross 14351
income or the actual 14352
marginal difference between 14353
the actual rate paid by the 14354
self-employed individual 14355
and the F.I.C.A. rate ..... $...... $...... 14356
d. Adjusted gross income from 14357
self-employment (subtract 14358
the sum of 2b and 2c from 14359
2a)........................ $...... $...... 14360
14361
3. Annual income from interest 14362
and dividends (whether or 14363
not taxable)............... $...... $...... 14364
14365
4. Annual income from 14366
unemployment compensation... $...... $...... 14367
14368
5. Annual income from workers' 14369
compensation, disability 14370
insurance benefits or social 14371
security disability 14372
retirement benefits........ $...... $...... 14373
14374
6. Other annual income 14375
(identify)................. $...... $...... 14376
14377
7.a. Total annual gross income 14378
(add lines 1a, 1b, 2d, and 14379
3-6)....................... $...... $...... 14380
b. Health care maximum 14381
(multiply line 7a 14382
by 5%) $...... $...... 14383
14384
ADJUSTMENTS TO INCOME: 14385
8. Adjustment for minor children 14386
born to or adopted by either 14387
parent and another parent who 14388
are living with this parent; 14389
adjustment does not apply 14390
to stepchildren (number of 14391
children times federal income 14392
tax exemption less child 14393
support received, not to 14394
exceed the federal tax 14395
exemption)................. $...... $...... 14396
14397
9. Annual court-ordered support 14398
paid for other children.... $...... $...... 14399
14400
10. Annual court-ordered spousal 14401
support paid to any spouse 14402
or former spouse........... $...... $...... 14403
14404
11. Amount of local income taxes 14405
actually paid or estimated 14406
to be paid................. $...... $...... 14407
14408
12. Mandatory work-related 14409
deductions such as union 14410
dues, uniform fees, etc. 14411
(not including taxes, social 14412
security, or retirement)... $...... $...... 14413
14414
13. Total gross income 14415
adjustments (add lines 14416
8 through 12).............. $...... $...... 14417
14418
14. Adjusted annual gross 14419
income (subtract line 13 14420
from 7a).................... $...... $...... 14421
14422
15. Combined annual income that 14423
is basis for child support 14424
order (add line 14, Col. I 14425
and Col. II)................ $...... 14426
14427
16. Percentage of parent's 14428
income to total income 14429
a. Father (divide line 14, 14430
Col. I, by line 15, Col. 14431
III).......................% 14432
b. Mother (divide line 14, 14433
Col. II, by line 15, Col. 14434
III).......................% 14435
14436
17. Basic combined child 14437
support obligation (refer 14438
to schedule, first column, 14439
locate the amount nearest 14440
to the amount on line 15, 14441
Col. III, then refer to 14442
column for number of 14443
children with this parent. 14444
If the income of the 14445
parents is more than one 14446
sum but less than another, 14447
you may calculate the 14448
difference)................ 14449
14450

For children For children 14451
for whom the for whom the 14452
mother is the father is the 14453
residential residential 14454
parent and parent and 14455
legal custodian legal custodian 14456
$............ $............ 14457

14458
18. Annual support obligation per parent 14459
a. Of father for children for 14460
whom mother is the 14461
residential parent and 14462
legal custodian (multiply 14463
line 17, Col. I, by line 14464
16a)....................... $...... 14465
b. Of mother for children for 14466
whom the father is the 14467
residential parent and 14468
legal custodian (multiply 14469
line 17, Col. II, by line 14470
16b)....................... $...... 14471
14472
19. Annual child care expenses 14473
for children who are the 14474
subject of this order that 14475
are work-, employment 14476
training-, or education- 14477
related, as approved by 14478
the court or agency 14479
(deduct tax credit from 14480
annual cost whether or 14481
not claimed)............... Paid by Paid by 14482
father mother 14483
$...... $...... 14484
14485
20. Marginal, out-of-pocket 14486
costs, necessary to provide 14487
for health insurance for 14488
the children who are the 14489
subject of this order........ 14490
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 14491
insurance Paid by Paid by 14492
father mother 14493
$...... $...... 14494
14495
21. ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS PROVIDED: 14496

Father Mother 14497
a. Additions: line 16a b. Additions: line 16b 14498
times sum of amounts times sum of amounts 14499
shown on line 19, Col. II shown on line 19, Col. I 14500
and line 20, Col. II and line 20, Col. I 14501
$...................... $...................... 14502
c. Subtractions: line 16b d. Subtractions: line 16a 14503
times sum of amounts times sum of amounts 14504
shown on line 19, Col. I shown on line 19, Col. II 14505
and line 20, Col. I and line 20, Col. II 14506
$....................... $....................... 14507

  14508
22. ACTUAL ANNUAL OBLIGATION WHEN HEALTH INSURANCE IS PROVIDED: 14509
a. Father: line 18a plus line 14510
21a minus line 21c (if the 14511
amount on line 21c is 14512
greater than or equal to 14513
the amount on line 21a-- 14514
enter the number on line 14515
18a in Col. I).............. $...... 14516
b. Any non-means-tested 14517
benefits, including social 14518
security and veterans' 14519
benefits, paid to and 14520
received by children for 14521
whom the mother is the 14522
residential parent and 14523
legal custodian or a person 14524
on behalf of those children 14525
due to death, disability, 14526
or retirement of the 14527
father..................... $...... 14528
c. Actual annual obligation of 14529
father (subtract line 22b 14530
from line 22a)............. $...... 14531
d. Mother: line 18b plus line 14532
21b minus line 21d (if the 14533
amount on line 21d is 14534
greater than or equal to 14535
the amount on line 14536
21b--enter the number on 14537
line 18b in Col. II)....... $...... 14538
e. Any non-means-tested 14539
benefits, including social 14540
security and veterans' 14541
benefits, paid to and 14542
received by children for 14543
whom the father is the 14544
residential parent and 14545
legal custodian or a person 14546
on behalf of those children 14547
due to death, disability, 14548
or retirement of the 14549
mother...................... $...... 14550
f. Actual annual obligation 14551
of mother (subtract line 22e 14552
from line 22d).............. $...... 14553
g. Actual annual obligation 14554
payable (subtract lesser 14555
actual annual obligation 14556
from greater actual annual 14557
obligation using amounts in 14558
lines 22c and 22f to 14559
determine net child support 14560
payable).................... $...... $...... 14561
14562
23. ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS NOT PROVIDED: 14563

Father Mother 14564
a. Additions: line 16a times amount shown on line 19, Col. II b. Additions: line 16b times amount shown on line 19, Col. I 14565
$.......... $.......... 14566
c. Subtractions: line 16b times amount shown on line 19, Col. I d. Subtractions: line 16a times amount shown on line 19, Col. II 14567
$.......... $.......... 14568

  14569
24. ACTUAL ANNUAL OBLIGATION WHEN HEALTH INSURANCE IS NOT PROVIDED: 14570
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 14571
Col. I) $...... 14572
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 14573
retirement of the father $...... 14574
c. Actual annual obligation of the father (subtract line 24b 14575
from line 24a) $...... 14576
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) 14577
$...... 14578
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 14579
$...... 14580
f. Actual annual obligation of the mother (subtract line 24e 14581
from line 24d) $...... 14582
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) 14583
$...... $...... 14584
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 14585
$...... $...... 14586

  14587
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.) 14588
14589
14590
14591
14592

  WHEN HEALTH INSURANCE IS PROVIDED WHEN HEALTH INSURANCE IS NOT PROVIDED 14593
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.) 14594
$...... $...... Father/Mother, OBLIGOR 14595
14596
25 27. FOR DECREE: Child support per month (divide obligor's annual share, line 24 26, by 12) plus any processing charge 14597
$...... $...... 14598
14599
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) 14600
$...... 14601
14602
29. FOR DECREE: Cash medical support per month (divide line 28 by 12) 14603
$...... 14604

Prepared by: 14605
Counsel: .................... Pro se: ................. 14606
       (For mother/father) 14607
CSEA: ....................... Other: .................. 14608

Worksheet Has Been Reviewed and Agreed To:
14609

........................... ........................... 14610
Mother Date 14611
........................... ........................... 14612
Father Date 14613

       Sec. 3119.27. (A) A court that issues or modifies a court14614
support order, or an administrative agency that issues or modifies14615
an administrative child support order, shall impose on the obligor14616
under the support order a processing charge that is the greater of14617
two per cent of the support payment to be collected under a14618
support order or one dollar per month. No court or agency may call 14619
the charge a poundage fee.14620

       (B) In each child support case that is a Title IV-D case, the 14621
department of job and family services shall claim twenty-five 14622
dollars from the processing charge described in division (A) of 14623
this section for federal reporting purposes if the obligee has 14624
never received assistance under Title IV-A and the department has 14625
collected at least five hundred dollars of child support for the 14626
obligee. The director of job and family services shall adopt rules 14627
under Chapter 119. of the Revised Code to implement this division, 14628
and the department shall implement this division not later than 14629
March 31, 2008.14630

       (C) As used in this section:14631

       (1) "Annual" means the period as defined in regulations 14632
issued by the United States secretary of health and human services 14633
to implement the Deficit Reduction Act of 2005 (P.L. 109-171).14634

       (2) "Title IV-A" has the same meaning as in section 5107.02 14635
of the Revised Code.14636

       (3) "Title IV-D case" has the same meaning as in section 14637
3125.01 of the Revised Code.14638

       Sec. 3119.29. (A) As used in this section and sections 14639
3119.30 to 3119.56 of the Revised Code:14640

       (A)(1) "Cash medical support" means an amount ordered to be 14641
paid in a child support order toward the cost of health insurance 14642
provided by a public entity, another parent, or person with whom 14643
the child resides, through employment or otherwise, or for other 14644
medical cost not covered by insurance.14645

       (2) "Federal poverty line" has the same meaning as defined in 14646
section 5104.01 of the Revised Code.14647

       (3) "Health care" means such medical support that includes 14648
coverage under a health insurance plan, payment of costs of 14649
premiums, co-payments, and deductibles, or payment for medical 14650
expenses incurred on behalf of the child.14651

       (4) "Health insurance coverage" means accessible health 14652
insurance that provides primary care services within either thirty 14653
miles or thirty minutes driving time from the residence of the 14654
child subject to the child support order.14655

       (5) "Health plan administrator" means any entity authorized14656
under Title XXXIX of the Revised Code to engage in the business of14657
insurance in this state, any health insuring corporation, any14658
legal entity that is self-insured and provides benefits to its14659
employees or members, and the administrator of any such entity or14660
corporation.14661

       (B)(6) "National medical support notice" means a form 14662
required by the "Child Support Performance and Incentive Act of 14663
1998," P.L. 105-200, 112 Stat. 659, 42 U.S.C. 666(a)(19), as 14664
amended, and jointly developed and promulgated by the secretary of 14665
health and human services and the secretary of labor in federal 14666
regulations adopted under that act as modified by the department 14667
of job and family services under section 3119.291 of the Revised 14668
Code.14669

       (C)(7) "Person required to provide health insurance coverage"14670
means the obligor, obligee, or both, required by the court under a14671
court child support order or by the child support enforcement14672
agency under an administrative child support order to provide14673
health insurance coverage pursuant to section 3119.30 of the14674
Revised Code.14675

       (8) Subject to division (B) of this section, "reasonable 14676
cost" means the cost of private family health insurance that does 14677
not exceed an amount equal to five per cent of the annual gross 14678
income of the person responsible for the health care of the 14679
children subject to the child support order.14680

       (9) "Title XIX" has the same meaning as defined in section 14681
5111.20 of the Revised Code.14682

       (B) If the United States secretary of health and human 14683
services issues a regulation defining "reasonable cost" or a 14684
similar term or phrase relevant to the provisions in child support 14685
orders relating to the provision of health care for children 14686
subject to the orders, and if that definition is substantively 14687
different from the meaning of "reasonable cost" as defined in 14688
division (A) of this section, "reasonable cost" as used in this 14689
section shall have the meaning as defined by the United States 14690
secretary of health and human services.14691

       Sec. 3119.30. (A) In any action or proceeding in which a 14692
child support order is issued or modified, the court, with respect 14693
to court child support orders, and the child support enforcement14694
agency, with respect to administrative child support orders, shall14695
determine the person responsible for the health care of the14696
children subject to the child support order. The determination 14697
shall be based on information provided to the court or to the 14698
child support enforcement agency under section 3119.31 of the 14699
Revised Code. The order shall include one of the following:14700

       (A) A requirement that the obligor under the child support14701
order obtain health insurance coverage for the children if14702
coverage is available at a reasonable cost through a group policy,14703
contract, or plan offered by the obligor's employer or through any14704
other group policy, contract, or plan available to the obligor and14705
is not available for a more reasonable cost through a group14706
policy, contract, or plan available to the obligee;14707

       (B)(1) A requirement that the obligee obtain health insurance14708
coverage for the children if coverage is available through a group14709
policy, contract, or plan offered by the obligee's employer or14710
through any other group policy, contract, or plan available to the14711
obligee and is available at a more reasonable cost than coverage14712
is available to the obligor;14713

       (C)(2) A requirement that the obligor under the child support 14714
order obtain health insurance coverage for the children if 14715
coverage is available at a reasonable cost through any group 14716
policy, contract, or plan available to the obligor and, in the 14717
alternative, if the court or child support enforcement agency 14718
determines that health insurance coverage is not available at a 14719
reasonable cost to the obligee or obligor, and that the gross 14720
income of the obligor is over one hundred fifty per cent of the 14721
federal poverty line, pay cash medical support that is five per 14722
cent of the obligor's annual gross income to either the office of 14723
child support in the department of job and family services to 14724
defray the cost of expenditures under Title XIX to provide health 14725
care for the children, or the obligee if the children are not 14726
receiving assistance under Title XIX;14727

       (3) If health insurance coverage for the children is not14728
available at a reasonable cost through a group policy, contract,14729
or plan offered by the obligor's or obligee's employer or through14730
any other group policy, contract, or plan available to the obligor14731
or the obligee, a requirement that the obligor and the obligee14732
share liability for the cost of the medical and health care needs14733
of the children, under an equitable formula established by the14734
court, with respect to a court child support order, or the child14735
support enforcement agency, with respect to an administrative14736
child support order, with appropriate offset of the amount of any 14737
cash medical payment ordered pursuant to division (A)(2) of this 14738
section, and a requirement that if, after the issuance of the 14739
order, health insurance coverage for the children becomes14740
available at a reasonable cost through a group policy, contract,14741
or plan offered by the obligor's or obligee's employer or through14742
any other group policy, contract, or plan available to the obligor14743
or obligee, the obligor or obligee to whom the coverage becomes14744
available immediately inform the court, with respect to a court14745
child support order, or the child support enforcement agency, with14746
respect to an administrative child support order;14747

       (D)(4) A requirement that both the obligor and the obligee14748
obtain health insurance coverage for the children if coverage is14749
available for the children at a reasonable cost to both the14750
obligor and the obligee and dual coverage would provide for 14751
coordination of medical benefits without unnecessary duplication 14752
of coverage.14753

       (B) The court, with respect to court child support orders, 14754
and the child support enforcement agency, with respect to 14755
administrative child support orders, may determine and include in 14756
an order issued under division (A) of this section that longer 14757
travel times are permissible if residents in part or all of the 14758
service area customarily travel distances farther than thirty 14759
miles or thirty minutes driving time or that primary care services 14760
are accessible only by public transportation.14761

       Sec. 3123.23. (A) The director of job and family services 14762
shall adopt rules under Chapter 119. of the Revised Code to 14763
implement a program to collect arrearages owed under child support 14764
orders from insurance claims, settlements, awards, and payments 14765
based on information obtained pursuant to Title IV-D of the Social 14766
Security Act, 42 U.S.C. 652.14767

       (B) Any insurer and any director, agent, or employee 14768
authorized to act on behalf of an insurer, that releases 14769
information or makes a disclosure in accordance with rules adopted 14770
pursuant to this section shall be immune from liability in a civil 14771
action for harm resulting from the disclosure.14772

       (C) As used in this section, "insurer" has the same meaning 14773
as in section 3901.32 of the Revised Code.14774

       Sec. 3125.12.  Each child support enforcement agency shall 14775
enter into a plan of cooperation with the board of county 14776
commissioners under section 307.983 of the Revised Code and comply 14777
with each fiscalgrant agreement the board enters into under 14778
sectionsections 307.98 and 5101.21 and contracts the board enters 14779
into under sections 307.981 and 307.982 of the Revised Code that 14780
affect the agency.14781

       Sec. 3301.0711.  (A) The department of education shall:14782

       (1) Annually furnish to, grade, and score all tests required14783
by section 3301.0710 of the Revised Code to be administered by14784
city, local, exempted village, and joint vocational school14785
districts, except that each district shall score any test 14786
administered pursuant to division (B)(10) of this section. Each 14787
test so furnished shall include the data verification code of the 14788
student to whom the test will be administered, as assigned 14789
pursuant to division (D)(2) of section 3301.0714 of the Revised 14790
Code. In furnishing the practice versions of Ohio graduation tests 14791
prescribed by division (F) of section 3301.0710 of the Revised 14792
Code, the department shall make the tests available on its web 14793
site for reproduction by districts. In awarding contracts for 14794
grading tests, the department shall give preference to Ohio-based 14795
entities employing Ohio residents.14796

       (2) Adopt rules for the ethical use of tests and prescribing14797
the manner in which the tests prescribed by section 3301.0710 of14798
the Revised Code shall be administered to students.14799

       (B) Except as provided in divisions (C) and (J) of this14800
section, the board of education of each city, local, and exempted14801
village school district shall, in accordance with rules adopted14802
under division (A) of this section:14803

       (1) Administer the reading test prescribed under division 14804
(A)(1)(a) of section 3301.0710 of the Revised Code twice annually 14805
to all students in the third grade who have not attained the score14806
designated for that test under division (A)(2)(c) of section14807
3301.0710 of the Revised Code.14808

       (2) Administer the mathematics test prescribed under division 14809
(A)(1)(a) of section 3301.0710 of the Revised Code at least once 14810
annually to all students in the third grade.14811

       (3) Administer the tests prescribed under division (A)(1)(b)14812
of section 3301.0710 of the Revised Code at least once annually to 14813
all students in the fourth grade.14814

       (4) Administer the tests prescribed under division (A)(1)(c)14815
of section 3301.0710 of the Revised Code at least once annually to14816
all students in the fifth grade.14817

       (5) Administer the tests prescribed under division (A)(1)(d) 14818
of section 3301.0710 of the Revised Code at least once annually to 14819
all students in the sixth grade.14820

       (6) Administer the tests prescribed under division (A)(1)(e)14821
of section 3301.0710 of the Revised Code at least once annually to 14822
all students in the seventh grade.14823

       (7) Administer the tests prescribed under division (A)(1)(f)14824
of section 3301.0710 of the Revised Code at least once annually to14825
all students in the eighth grade.14826

       (8) Except as provided in division (B)(9) of this section,14827
administer any test prescribed under division (B) of section14828
3301.0710 of the Revised Code as follows:14829

       (a) At least once annually to all tenth grade students and at14830
least twice annually to all students in eleventh or twelfth grade 14831
who have not yet attained the score on that test designated under 14832
that division;14833

       (b) To any person who has successfully completed the14834
curriculum in any high school or the individualized education14835
program developed for the person by any high school pursuant to14836
section 3323.08 of the Revised Code but has not received a high14837
school diploma and who requests to take such test, at any time14838
such test is administered in the district.14839

       (9) In lieu of the board of education of any city, local, or14840
exempted village school district in which the student is also14841
enrolled, the board of a joint vocational school district shall14842
administer any test prescribed under division (B) of section14843
3301.0710 of the Revised Code at least twice annually to any 14844
student enrolled in the joint vocational school district who has14845
not yet attained the score on that test designated under that14846
division. A board of a joint vocational school district may also14847
administer such a test to any student described in division14848
(B)(8)(b) of this section.14849

       (10) If the district has been declared to be under an 14850
academic watch or in a state of academic emergency pursuant to 14851
section 3302.03 of the Revised Code or has a three-year average 14852
graduation rate of not more than seventy-five per cent, administer 14853
each test prescribed by division (F) of section 3301.0710 of the 14854
Revised Code in September to all ninth grade students, beginning 14855
in the school year that starts July 1, 2005.14856

       (C)(1)(a) Any student receiving special education services14857
under Chapter 3323. of the Revised Code may be excused from taking14858
any particular test required to be administered under this section 14859
if the individualized education program developed for the student 14860
pursuant to section 3323.08 of the Revised Code excuses the 14861
student from taking that test and instead specifies an alternate 14862
assessment method approved by the department of education as 14863
conforming to requirements of federal law for receipt of federal 14864
funds for disadvantaged pupils. To the extent possible, the 14865
individualized education program shall not excuse the student from 14866
taking a test unless no reasonable accommodation can be made to 14867
enable the student to take the test.14868

       (b) Any alternate assessment approved by the department for a 14869
student under this division shall produce measurable results14870
comparable to those produced by the tests which the alternate14871
assessments are replacing in order to allow for the student's14872
assessment results to be included in the data compiled for a14873
school district or building under section 3302.03 of the Revised 14874
Code.14875

       (c) Any student enrolled in a chartered nonpublic school who 14876
has been identified, based on an evaluation conducted in14877
accordance with section 3323.03 of the Revised Code or section 50414878
of the "Rehabilitation Act of 1973," 87 Stat. 355, 29 U.S.C.A.14879
794, as amended, as a child with a disability shall be excused14880
from taking any particular test required to be administered under14881
this section if a plan developed for the student pursuant to rules14882
adopted by the state board excuses the student from taking that14883
test. In the case of any student so excused from taking a test,14884
the chartered nonpublic school shall not prohibit the student from14885
taking the test.14886

       (2) A district board may, for medical reasons or other good14887
cause, excuse a student from taking a test administered under this14888
section on the date scheduled, but any such test shall be14889
administered to such excused student not later than nine days14890
following the scheduled date. The board shall annually report the14891
number of students who have not taken one or more of the tests14892
required by this section to the state board of education not later14893
than the thirtieth day of June.14894

       (3) As used in this division, "limited English proficient 14895
student" has the same meaning as in 20 U.S.C. 7801.14896

       No school district board shall excuse any limited English 14897
proficient student from taking any particular test required to be 14898
administered under this section, except that any limited English 14899
proficient student who has been enrolled in United States schools 14900
for less than one full school year shall not be required to take 14901
any such reading or writing test. However, no board shall prohibit 14902
a limited English proficient student who is not required to take a 14903
test under this division from taking the test. A board may permit 14904
any limited English proficient student to take any test required 14905
to be administered under this section with appropriate 14906
accommodations, as determined by the department. For each limited 14907
English proficient student, each school district shall annually 14908
assess that student's progress in learning English, in accordance 14909
with procedures approved by the department.14910

       The governing authority of a chartered nonpublic school may 14911
excuse a limited English proficient student from taking any test 14912
administered under this section. However, no governing authority 14913
shall prohibit a limited English proficient student from taking 14914
the test.14915

       (D)(1) In the school year next succeeding the school year in14916
which the tests prescribed by division (A)(1) or (B) of section14917
3301.0710 of the Revised Code or former division (A)(1), (A)(2), 14918
or (B) of section 3301.0710 of the Revised Code as it existed 14919
prior to September 11, 2001, are administered to any student, the 14920
board of education of any school district in which the student is14921
enrolled in that year shall provide to the student intervention14922
services commensurate with the student's test performance,14923
including any intensive intervention required under section14924
3313.608 of the Revised Code, in any skill in which the student14925
failed to demonstrate at least a score at the proficient level on 14926
the test.14927

       (2) Following any administration of the tests prescribed by 14928
division (F) of section 3301.0710 of the Revised Code to ninth 14929
grade students, each school district that has a three-year average 14930
graduation rate of not more than seventy-five per cent shall 14931
determine for each high school in the district whether the school 14932
shall be required to provide intervention services to any students 14933
who took the tests. In determining which high schools shall 14934
provide intervention services based on the resources available, 14935
the district shall consider each school's graduation rate and 14936
scores on the practice tests. The district also shall consider the 14937
scores received by ninth grade students on the reading and 14938
mathematics tests prescribed under division (A)(1)(f) of section 14939
3301.0710 of the Revised Code in the eighth grade in determining 14940
which high schools shall provide intervention services.14941

       Each high school selected to provide intervention services 14942
under this division shall provide intervention services to any 14943
student whose test results indicate that the student is failing to 14944
make satisfactory progress toward being able to attain scores at 14945
the proficient level on the Ohio graduation tests. Intervention 14946
services shall be provided in any skill in which a student 14947
demonstrates unsatisfactory progress and shall be commensurate 14948
with the student's test performance. Schools shall provide the 14949
intervention services prior to the end of the school year, during 14950
the summer following the ninth grade, in the next succeeding 14951
school year, or at any combination of those times.14952

       (E) Except as provided in section 3313.608 of the Revised14953
Code and division (M) of this section, no school district board of14954
education shall utilize any student's failure to attain a14955
specified score on any test administered under this section as a14956
factor in any decision to deny the student promotion to a higher14957
grade level. However, a district board may choose not to promote14958
to the next grade level any student who does not take any test14959
administered under this section or make up such test as provided14960
by division (C)(2) of this section and who is not exempt from the 14961
requirement to take the test under division (C)(3) of this 14962
section.14963

       (F) No person shall be charged a fee for taking any test14964
administered under this section.14965

       (G)(1) Each school district board shall submitdesignate one 14966
location for the collection of tests administered in the spring 14967
under division (B)(1) of this section and the tests administered 14968
under divisions (B)(2) to (7) of this section. Each district board 14969
shall submit the tests to the entity with which the department 14970
contracts for the scoring of the tests as follows:14971

        (a) If the district's total enrollment in grades kindergarten 14972
through twelve during the first full school week of October was 14973
less than two thousand five hundred, not later than the Friday 14974
after the tests are administered, except that;14975

       (b) If the district's total enrollment in grades kindergarten 14976
through twelve during the first full school week of October was 14977
two thousand five hundred or more, but less than seven thousand, 14978
not later than the Monday after the tests are administered;14979

        (c) If the district's total enrollment in grades kindergarten 14980
through twelve during the first full school week of October was 14981
seven thousand or more, not later than the Tuesday after the tests 14982
are administered.14983

        However, any such test that a student takes during the 14984
make-up period described in division (C)(2) of this section shall 14985
be submitted not later than the Friday following the day the 14986
student takes the test.14987

        (2) The department or an entity with which the department 14988
contracts for the scoring of the test shall send to each school 14989
district board a list of the individual test scores of all persons 14990
taking any test prescribed by division (A)(1) or (B) of section 14991
3301.0710 of the Revised Code within sixty days after its 14992
administration, but in no case shall the scores be returned later 14993
than the fifteenth day of June following the administration. For 14994
any tests administered under this section by a joint vocational 14995
school district, the department or entity shall also send to each 14996
city, local, or exempted village school district a list of the 14997
individual test scores of any students of such city, local, or 14998
exempted village school district who are attending school in the 14999
joint vocational school district.15000

       (H) Individual test scores on any tests administered under15001
this section shall be released by a district board only in15002
accordance with section 3319.321 of the Revised Code and the rules15003
adopted under division (A) of this section. No district board or15004
its employees shall utilize individual or aggregate test results15005
in any manner that conflicts with rules for the ethical use of15006
tests adopted pursuant to division (A) of this section.15007

       (I) Except as provided in division (G) of this section, the15008
department or an entity with which the department contracts for 15009
the scoring of the test shall not release any individual test 15010
scores on any test administered under this section. The state 15011
board of education shall adopt rules to ensure the protection of 15012
student confidentiality at all times. The rules may require the 15013
use of the data verification codes assigned to students pursuant 15014
to division (D)(2) of section 3301.0714 of the Revised Code to 15015
protect the confidentiality of student test scores.15016

       (J) Notwithstanding division (D) of section 3311.52 of the15017
Revised Code, this section does not apply to the board of15018
education of any cooperative education school district except as15019
provided under rules adopted pursuant to this division.15020

       (1) In accordance with rules that the state board of15021
education shall adopt, the board of education of any city,15022
exempted village, or local school district with territory in a15023
cooperative education school district established pursuant to15024
divisions (A) to (C) of section 3311.52 of the Revised Code may15025
enter into an agreement with the board of education of the 15026
cooperative education school district for administering any test15027
prescribed under this section to students of the city, exempted15028
village, or local school district who are attending school in the15029
cooperative education school district.15030

       (2) In accordance with rules that the state board of15031
education shall adopt, the board of education of any city,15032
exempted village, or local school district with territory in a15033
cooperative education school district established pursuant to15034
section 3311.521 of the Revised Code shall enter into an agreement15035
with the cooperative district that provides for the administration15036
of any test prescribed under this section to both of the15037
following:15038

       (a) Students who are attending school in the cooperative15039
district and who, if the cooperative district were not15040
established, would be entitled to attend school in the city,15041
local, or exempted village school district pursuant to section15042
3313.64 or 3313.65 of the Revised Code;15043

       (b) Persons described in division (B)(8)(b) of this section.15044

       Any testing of students pursuant to such an agreement shall15045
be in lieu of any testing of such students or persons pursuant to15046
this section.15047

       (K)(1) Any chartered nonpublic school may participate in the15048
testing program by administering any of the tests prescribed by15049
section 3301.0710 or 3301.0712 of the Revised Code if the chief15050
administrator of the school specifies which tests the school15051
wishes to administer. Such specification shall be made in writing 15052
to the superintendent of public instruction prior to the first day 15053
of August of any school year in which tests are administered and15054
shall include a pledge that the nonpublic school will administer15055
the specified tests in the same manner as public schools are15056
required to do under this section and rules adopted by the15057
department.15058

       (2) The department of education shall furnish the tests15059
prescribed by section 3301.0710 or 3301.0712 of the Revised Code 15060
to any chartered nonpublic school electing to participate under 15061
this division.15062

       (L)(1) The superintendent of the state school for the blind15063
and the superintendent of the state school for the deaf shall15064
administer the tests described by section 3301.0710 of the Revised15065
Code. Each superintendent shall administer the tests in the same15066
manner as district boards are required to do under this section15067
and rules adopted by the department of education and in conformity15068
with division (C)(1)(a) of this section.15069

       (2) The department of education shall furnish the tests15070
described by section 3301.0710 of the Revised Code to each15071
superintendent.15072

       (M) Notwithstanding division (E) of this section, a school15073
district may use a student's failure to attain a score in at least 15074
the basic range on the mathematics test described by division 15075
(A)(1)(a) of section 3301.0710 of the Revised Code or on any of 15076
the tests described by division (A)(1)(b), (c), (d), (e), or (f) 15077
of section 3301.0710 of the Revised Code as a factor in retaining 15078
that student in the current grade level.15079

       (N)(1) In the manner specified in divisions (N)(3) to (5) of 15080
this section, the tests required by section 3301.0710 of the15081
Revised Code shall become public records pursuant to section15082
149.43 of the Revised Code on the first day of July following the15083
school year that the test was administered.15084

       (2) The department may field test proposed test questions15085
with samples of students to determine the validity, reliability,15086
or appropriateness of test questions for possible inclusion in a15087
future year's test. The department also may use anchor questions 15088
on tests to ensure that different versions of the same test are of 15089
comparable difficulty.15090

       Field test questions and anchor questions shall not be 15091
considered in computing test scores for individual students. Field 15092
test questions and anchor questions may be included as part of the 15093
administration of any test required by section 3301.0710 of the 15094
Revised Code.15095

       (3) Any field test question or anchor question administered 15096
under division (N)(2) of this section shall not be a public 15097
record. Such field test questions and anchor questions shall be15098
redacted from any tests which are released as a public record 15099
pursuant to division (N)(1) of this section.15100

       (4) This division applies to the tests prescribed by division 15101
(A) of section 3301.0710 of the Revised Code.15102

       (a) The first administration of each test, as specified in 15103
section 3301.0712 of the Revised Code, shall be a public record.15104

       (b) For subsequent administrations of each test, not less 15105
than forty per cent of the questions on the test that are used to 15106
compute a student's score shall be a public record. The department 15107
shall determine which questions will be needed for reuse on a 15108
future test and those questions shall not be public records and 15109
shall be redacted from the test prior to its release as a public 15110
record. However, for each redacted question, the department shall 15111
inform each city, local, and exempted village school district of 15112
the statewide academic standard adopted by the state board of 15113
education under section 3301.079 of the Revised Code and the 15114
corresponding benchmark to which the question relates. The 15115
preceding sentence does not apply to field test questions that are 15116
redacted under division (N)(3) of this section.15117

       (5) Each test prescribed by division (B) of section 3301.0710 15118
of the Revised Code that is administered in the spring shall be a 15119
public record. Each test prescribed by that division that is 15120
administered in the fall or summer shall not be a public record.15121

       (O) As used in this section:15122

        (1) "Three-year average" means the average of the most recent 15123
consecutive three school years of data.15124

        (2) "Dropout" means a student who withdraws from school 15125
before completing course requirements for graduation and who is 15126
not enrolled in an education program approved by the state board 15127
of education or an education program outside the state. "Dropout" 15128
does not include a student who has departed the country.15129

        (3) "Graduation rate" means the ratio of students receiving a 15130
diploma to the number of students who entered ninth grade four 15131
years earlier. Students who transfer into the district are added 15132
to the calculation. Students who transfer out of the district for 15133
reasons other than dropout are subtracted from the calculation. If 15134
a student who was a dropout in any previous year returns to the 15135
same school district, that student shall be entered into the 15136
calculation as if the student had entered ninth grade four years 15137
before the graduation year of the graduating class that the 15138
student joins.15139

       Sec. 3301.0714.  (A) The state board of education shall adopt 15140
rules for a statewide education management information system. The 15141
rules shall require the state board to establish guidelines for 15142
the establishment and maintenance of the system in accordance with 15143
this section and the rules adopted under this section. The 15144
guidelines shall include:15145

       (1) Standards identifying and defining the types of data in15146
the system in accordance with divisions (B) and (C) of this15147
section;15148

       (2) Procedures for annually collecting and reporting the data 15149
to the state board in accordance with division (D) of this15150
section;15151

       (3) Procedures for annually compiling the data in accordance15152
with division (G) of this section;15153

       (4) Procedures for annually reporting the data to the public15154
in accordance with division (H) of this section.15155

       (B) The guidelines adopted under this section shall require15156
the data maintained in the education management information system15157
to include at least the following:15158

       (1) Student participation and performance data, for each15159
grade in each school district as a whole and for each grade in15160
each school building in each school district, that includes:15161

       (a) The numbers of students receiving each category of15162
instructional service offered by the school district, such as15163
regular education instruction, vocational education instruction,15164
specialized instruction programs or enrichment instruction that is15165
part of the educational curriculum, instruction for gifted15166
students, instruction for handicapped students, and remedial15167
instruction. The guidelines shall require instructional services15168
under this division to be divided into discrete categories if an15169
instructional service is limited to a specific subject, a specific15170
type of student, or both, such as regular instructional services15171
in mathematics, remedial reading instructional services,15172
instructional services specifically for students gifted in15173
mathematics or some other subject area, or instructional services15174
for students with a specific type of handicap. The categories of15175
instructional services required by the guidelines under this15176
division shall be the same as the categories of instructional15177
services used in determining cost units pursuant to division15178
(C)(3) of this section.15179

       (b) The numbers of students receiving support or15180
extracurricular services for each of the support services or15181
extracurricular programs offered by the school district, such as15182
counseling services, health services, and extracurricular sports15183
and fine arts programs. The categories of services required by the 15184
guidelines under this division shall be the same as the categories 15185
of services used in determining cost units pursuant to division 15186
(C)(4)(a) of this section.15187

       (c) Average student grades in each subject in grades nine15188
through twelve;15189

       (d) Academic achievement levels as assessed by the testing of 15190
student achievement under sections 3301.0710 and 3301.0711 of the 15191
Revised Code;15192

       (e) The number of students designated as having a15193
handicapping condition pursuant to division (C)(1) of section15194
3301.0711 of the Revised Code;15195

       (f) The numbers of students reported to the state board15196
pursuant to division (C)(2) of section 3301.0711 of the Revised15197
Code;15198

       (g) Attendance rates and the average daily attendance for the 15199
year. For purposes of this division, a student shall be counted as 15200
present for any field trip that is approved by the school 15201
administration.15202

       (h) Expulsion rates;15203

       (i) Suspension rates;15204

       (j) The percentage of students receiving corporal punishment;15205

       (k) Dropout rates;15206

       (l) Rates of retention in grade;15207

       (m) For pupils in grades nine through twelve, the average15208
number of carnegie units, as calculated in accordance with state15209
board of education rules;15210

       (n) Graduation rates, to be calculated in a manner specified15211
by the department of education that reflects the rate at which15212
students who were in the ninth grade three years prior to the15213
current year complete school and that is consistent with15214
nationally accepted reporting requirements;15215

       (o) Results of diagnostic assessments administered to15216
kindergarten students as required under section 3301.0715 of the15217
Revised Code to permit a comparison of the academic readiness of15218
kindergarten students. However, no district shall be required to15219
report to the department the results of any diagnostic assessment15220
administered to a kindergarten student if the parent of that15221
student requests the district not to report those results.15222

       (2) Personnel and classroom enrollment data for each school15223
district, including:15224

       (a) The total numbers of licensed employees and nonlicensed15225
employees and the numbers of full-time equivalent licensed15226
employees and nonlicensed employees providing each category of15227
instructional service, instructional support service, and15228
administrative support service used pursuant to division (C)(3) of15229
this section. The guidelines adopted under this section shall15230
require these categories of data to be maintained for the school15231
district as a whole and, wherever applicable, for each grade in15232
the school district as a whole, for each school building as a15233
whole, and for each grade in each school building.15234

       (b) The total number of employees and the number of full-time 15235
equivalent employees providing each category of service used 15236
pursuant to divisions (C)(4)(a) and (b) of this section, and the 15237
total numbers of licensed employees and nonlicensed employees and 15238
the numbers of full-time equivalent licensed employees and15239
nonlicensed employees providing each category used pursuant to15240
division (C)(4)(c) of this section. The guidelines adopted under15241
this section shall require these categories of data to be15242
maintained for the school district as a whole and, wherever15243
applicable, for each grade in the school district as a whole, for15244
each school building as a whole, and for each grade in each school15245
building.15246

       (c) The total number of regular classroom teachers teaching15247
classes of regular education and the average number of pupils15248
enrolled in each such class, in each of grades kindergarten15249
through five in the district as a whole and in each school15250
building in the school district.15251

       (d) The number of master teachers employed by each school 15252
district and each school building, once a definition of master 15253
teacher has been developed by the educator standards board 15254
pursuant to section 3319.61 of the Revised Code.15255

       (3)(a) Student demographic data for each school district,15256
including information regarding the gender ratio of the school15257
district's pupils, the racial make-up of the school district's15258
pupils, the number of limited English proficient students in the 15259
district, and an appropriate measure of the number of the school15260
district's pupils who reside in economically disadvantaged15261
households. The demographic data shall be collected in a manner to 15262
allow correlation with data collected under division (B)(1) of15263
this section. Categories for data collected pursuant to division15264
(B)(3) of this section shall conform, where appropriate, to15265
standard practices of agencies of the federal government.15266

       (b) With respect to each student entering kindergarten,15267
whether the student previously participated in a public preschool15268
program, a private preschool program, or a head start program, and15269
the number of years the student participated in each of these15270
programs.15271

       (4) Any data required to be collected pursuant to federal 15272
law.15273

       (C) The education management information system shall include 15274
cost accounting data for each district as a whole and for each 15275
school building in each school district. The guidelines adopted 15276
under this section shall require the cost data for each school 15277
district to be maintained in a system of mutually exclusive cost 15278
units and shall require all of the costs of each school district 15279
to be divided among the cost units. The guidelines shall require 15280
the system of mutually exclusive cost units to include at least 15281
the following:15282

       (1) Administrative costs for the school district as a whole.15283
The guidelines shall require the cost units under this division15284
(C)(1) to be designed so that each of them may be compiled and15285
reported in terms of average expenditure per pupil in formula ADM15286
in the school district, as determined pursuant to section 3317.0315287
of the Revised Code.15288

       (2) Administrative costs for each school building in the15289
school district. The guidelines shall require the cost units under 15290
this division (C)(2) to be designed so that each of them may be 15291
compiled and reported in terms of average expenditure per15292
full-time equivalent pupil receiving instructional or support15293
services in each building.15294

       (3) Instructional services costs for each category of15295
instructional service provided directly to students and required15296
by guidelines adopted pursuant to division (B)(1)(a) of this15297
section. The guidelines shall require the cost units under15298
division (C)(3) of this section to be designed so that each of15299
them may be compiled and reported in terms of average expenditure15300
per pupil receiving the service in the school district as a whole15301
and average expenditure per pupil receiving the service in each15302
building in the school district and in terms of a total cost for15303
each category of service and, as a breakdown of the total cost, a15304
cost for each of the following components:15305

       (a) The cost of each instructional services category required 15306
by guidelines adopted under division (B)(1)(a) of this section 15307
that is provided directly to students by a classroom teacher;15308

       (b) The cost of the instructional support services, such as15309
services provided by a speech-language pathologist, classroom15310
aide, multimedia aide, or librarian, provided directly to students15311
in conjunction with each instructional services category;15312

       (c) The cost of the administrative support services related15313
to each instructional services category, such as the cost of15314
personnel that develop the curriculum for the instructional15315
services category and the cost of personnel supervising or15316
coordinating the delivery of the instructional services category.15317

       (4) Support or extracurricular services costs for each15318
category of service directly provided to students and required by15319
guidelines adopted pursuant to division (B)(1)(b) of this section.15320
The guidelines shall require the cost units under division (C)(4)15321
of this section to be designed so that each of them may be15322
compiled and reported in terms of average expenditure per pupil15323
receiving the service in the school district as a whole and15324
average expenditure per pupil receiving the service in each15325
building in the school district and in terms of a total cost for15326
each category of service and, as a breakdown of the total cost, a15327
cost for each of the following components:15328

       (a) The cost of each support or extracurricular services15329
category required by guidelines adopted under division (B)(1)(b)15330
of this section that is provided directly to students by a15331
licensed employee, such as services provided by a guidance15332
counselor or any services provided by a licensed employee under a15333
supplemental contract;15334

       (b) The cost of each such services category provided directly 15335
to students by a nonlicensed employee, such as janitorial15336
services, cafeteria services, or services of a sports trainer;15337

       (c) The cost of the administrative services related to each15338
services category in division (C)(4)(a) or (b) of this section,15339
such as the cost of any licensed or nonlicensed employees that15340
develop, supervise, coordinate, or otherwise are involved in15341
administering or aiding the delivery of each services category.15342

       (D)(1) The guidelines adopted under this section shall15343
require school districts to collect information about individual15344
students, staff members, or both in connection with any data15345
required by division (B) or (C) of this section or other reporting15346
requirements established in the Revised Code. The guidelines may 15347
also require school districts to report information about15348
individual staff members in connection with any data required by15349
division (B) or (C) of this section or other reporting15350
requirements established in the Revised Code. The guidelines shall 15351
not authorize school districts to request social security numbers 15352
of individual students. The guidelines shall prohibit the15353
reporting under this section of a student's name, address, and15354
social security number to the state board of education or the15355
department of education. The guidelines shall also prohibit the15356
reporting under this section of any personally identifiable15357
information about any student, except for the purpose of assigning15358
the data verification code required by division (D)(2) of this15359
section, to any other person unless such person is employed by the15360
school district or the information technology center operated 15361
under section 3301.075 of the Revised Code and is authorized by 15362
the district or technology center to have access to such15363
information or is employed by an entity with which the department 15364
contracts for the scoring of tests administered under section 15365
3301.0711 or 3301.0712 of the Revised Code. The guidelines may15366
require school districts to provide the social security numbers of15367
individual staff members.15368

       (2) The guidelines shall provide for each school district or15369
community school to assign a data verification code that is unique15370
on a statewide basis over time to each student whose initial Ohio15371
enrollment is in that district or school and to report all15372
required individual student data for that student utilizing such15373
code. The guidelines shall also provide for assigning data15374
verification codes to all students enrolled in districts or15375
community schools on the effective date of the guidelines15376
established under this section.15377

       Individual student data shall be reported to the department15378
through the information technology centers utilizing the code but, 15379
except as provided in section 3310.11 of the Revised Code, at no15380
time shall the state board or the department have access to15381
information that would enable any data verification code to be15382
matched to personally identifiable student data.15383

       Each school district shall ensure that the data verification15384
code is included in the student's records reported to any15385
subsequent school district or community school in which the15386
student enrolls. Any such subsequent district or school shall 15387
utilize the same identifier in its reporting of data under this 15388
section.15389

       The director of health shall request and receive, pursuant to 15390
sections 3301.0723 and 3701.62 of the Revised Code, a data 15391
verification code for a child who is receiving services under 15392
division (A)(2) of section 3701.61 of the Revised Code. 15393

       A school district or community school shall submit to the 15394
eTech Ohio commission the data verification code for each of its 15395
enrolled students who is also enrolled in a course offered through 15396
the clearinghouse established under section 3353.21 of the Revised 15397
Code.15398

       (E) The guidelines adopted under this section may require15399
school districts to collect and report data, information, or15400
reports other than that described in divisions (A), (B), and (C)15401
of this section for the purpose of complying with other reporting15402
requirements established in the Revised Code. The other data,15403
information, or reports may be maintained in the education15404
management information system but are not required to be compiled15405
as part of the profile formats required under division (G) of this15406
section or the annual statewide report required under division (H)15407
of this section.15408

       (F) Beginning with the school year that begins July 1, 1991,15409
the board of education of each school district shall annually15410
collect and report to the state board, in accordance with the15411
guidelines established by the board, the data required pursuant to15412
this section. A school district may collect and report these data15413
notwithstanding section 2151.357 or 3319.321 of the Revised Code.15414

       (G) The state board shall, in accordance with the procedures15415
it adopts, annually compile the data reported by each school15416
district pursuant to division (D) of this section. The state board 15417
shall design formats for profiling each school district as a whole 15418
and each school building within each district and shall compile 15419
the data in accordance with these formats. These profile formats 15420
shall:15421

       (1) Include all of the data gathered under this section in a15422
manner that facilitates comparison among school districts and15423
among school buildings within each school district;15424

       (2) Present the data on academic achievement levels as15425
assessed by the testing of student achievement maintained pursuant 15426
to division (B)(1)(d) of this section.15427

       (H)(1) The state board shall, in accordance with the15428
procedures it adopts, annually prepare a statewide report for all15429
school districts and the general public that includes the profile15430
of each of the school districts developed pursuant to division (G)15431
of this section. Copies of the report shall be sent to each school 15432
district.15433

       (2) The state board shall, in accordance with the procedures15434
it adopts, annually prepare an individual report for each school15435
district and the general public that includes the profiles of each15436
of the school buildings in that school district developed pursuant15437
to division (G) of this section. Copies of the report shall be15438
sent to the superintendent of the district and to each member of15439
the district board of education.15440

       (3) Copies of the reports received from the state board under 15441
divisions (H)(1) and (2) of this section shall be made available 15442
to the general public at each school district's offices. Each 15443
district board of education shall make copies of each report15444
available to any person upon request and payment of a reasonable15445
fee for the cost of reproducing the report. The board shall15446
annually publish in a newspaper of general circulation in the15447
school district, at least twice during the two weeks prior to the15448
week in which the reports will first be available, a notice15449
containing the address where the reports are available and the15450
date on which the reports will be available.15451

       (I) Any data that is collected or maintained pursuant to this 15452
section and that identifies an individual pupil is not a public 15453
record for the purposes of section 149.43 of the Revised Code.15454

       (J) As used in this section:15455

       (1) "School district" means any city, local, exempted15456
village, or joint vocational school district.15457

       (2) "Cost", "cost" means any expenditure for operating 15458
expenses made by a school district excluding any expenditures for 15459
debt retirement except for payments made to any commercial lending15460
institution for any loan approved pursuant to section 3313.483 of15461
the Revised Code.15462

       (K) Any person who removes data from the information system15463
established under this section for the purpose of releasing it to15464
any person not entitled under law to have access to such15465
information is subject to section 2913.42 of the Revised Code15466
prohibiting tampering with data.15467

       (L) Any time the department of education determines that a15468
school district has taken any of the actions described under15469
division (L)(1), (2), or (3) of this section, it shall make a15470
report of the actions of the district, send a copy of the report15471
to the superintendent of such school district, and maintain a copy15472
of the report in its files:15473

       (1) The school district fails to meet any deadline15474
established pursuant to this section for the reporting of any data15475
to the education management information system;15476

       (2) The school district fails to meet any deadline15477
established pursuant to this section for the correction of any15478
data reported to the education management information system;15479

       (3) The school district reports data to the education15480
management information system in a condition, as determined by the15481
department, that indicates that the district did not make a good15482
faith effort in reporting the data to the system.15483

       Any report made under this division shall include15484
recommendations for corrective action by the school district.15485

       Upon making a report for the first time in a fiscal year, the15486
department shall withhold ten per cent of the total amount due15487
during that fiscal year under Chapter 3317. of the Revised Code to15488
the school district to which the report applies. Upon making a15489
second report in a fiscal year, the department shall withhold an15490
additional twenty per cent of such total amount due during that15491
fiscal year to the school district to which the report applies.15492
The department shall not release such funds unless it determines15493
that the district has taken corrective action. However, no such15494
release of funds shall occur if the district fails to take15495
corrective action within forty-five days of the date upon which 15496
the report was made by the department.15497

       (1) In accordance with division (L)(2) of this section, the 15498
department of education may sanction any school district that 15499
reports incomplete or inaccurate data, reports data that does not 15500
conform to data requirements and descriptions published by the 15501
department, fails to report data in a timely manner, or otherwise 15502
does not make a good faith effort to report data as required by 15503
this section.15504

       (2) If the department decides to sanction a school district 15505
under this division, the department shall take the following 15506
sequential actions:15507

       (a) Notify the district in writing that the department has 15508
determined that data has not been reported as required under this 15509
section and require the district to review its data submission and 15510
submit corrected data by a deadline established by the department. 15511
The department also may require the district to develop a 15512
corrective action plan, which shall include provisions for the 15513
district to provide mandatory staff training on data reporting 15514
procedures.15515

       (b) Withhold up to ten per cent of the total amount due to 15516
the district under Chapter 3317. of the Revised Code for the 15517
current fiscal year and, if not previously required under division 15518
(L)(2)(a) of this section, require the district to develop a 15519
corrective action plan in accordance with that division;15520

       (c) Withhold an additional amount of up to twenty per cent of 15521
the total amount due to the district under Chapter 3317. of the 15522
Revised Code for the current fiscal year;15523

       (d) Direct department staff or an outside entity to 15524
investigate the district's data reporting practices and make 15525
recommendations for subsequent actions. The recommendations may 15526
include one or more of the following actions:15527

       (i) Arrange for an audit of the district's data reporting 15528
practices by department staff or an outside entity;15529

       (ii) Conduct a site visit and evaluation of the district;15530

       (iii) Withhold an additional amount of up to thirty per cent 15531
of the total amount due to the district under Chapter 3317. of the 15532
Revised Code for the current fiscal year;15533

       (iv) Continue monitoring the district's data reporting;15534

       (v) Assign department staff to supervise the district's data 15535
management system;15536

       (vi) Conduct an investigation to determine whether to suspend 15537
or revoke the license of any district employee in accordance with 15538
division (N) of this section;15539

       (vii) Indicate on the report card issued for the district 15540
under section 3302.03 of the Revised Code that the district has 15541
been sanctioned for failing to report data as required by this 15542
section;15543

       (viii) If incomplete or inaccurate data submitted by the 15544
district likely caused the district to receive a higher 15545
performance rating than it deserved under section 3302.03 of the 15546
Revised Code, issue a revised report card for the district;15547

       (ix) Any other action designed to correct the district's data 15548
reporting problems.15549

       (3) Any time the department takes an action against a school 15550
district under division (L)(2) of this section, the department 15551
shall make a report of the circumstances that prompted the action. 15552
The department shall send a copy of the report to the district 15553
superintendent and maintain a copy of the report in its files.15554

       (4) If any action taken under division (L)(2) of this section 15555
resolves a school district's data reporting problems to the 15556
department's satisfaction, the department shall not take any 15557
further actions described by that division. If the department 15558
withheld funds from the district under that division, the 15559
department may release those funds to the district, except that if 15560
the department withheld funding under division (L)(2)(c) of this 15561
section, the department shall not release the funds withheld under 15562
division (L)(2)(b) of this section and, if the department withheld 15563
funding under division (L)(2)(d) of this section, the department 15564
shall not release the funds withheld under division (L)(2)(b) or 15565
(c) of this section.15566

       (5) Notwithstanding anything in this section to the contrary, 15567
the department may use its own staff or an outside entity to 15568
conduct an audit of a school district's data reporting practices 15569
any time the department has reason to believe the district has not 15570
made a good faith effort to report data as required by this 15571
section. If any audit conducted by an outside entity under 15572
division (L)(2)(d)(i) or (5) of this section confirms that a 15573
district has not made a good faith effort to report data as 15574
required by this section, the district shall reimburse the 15575
department for the full cost of the audit. The department may 15576
withhold funds due to the district under Chapter 3317. of the 15577
Revised Code for this purpose.15578

       (6) Prior to issuing a revised report card for a school 15579
district under division (L)(2)(d)(viii) of this section, the 15580
department may hold a hearing to provide the district with an 15581
opportunity to demonstrate that it made a good faith effort to 15582
report data as required by this section. The hearing shall be 15583
conducted by a referee appointed by the department. Based on the 15584
information provided in the hearing, the referee shall recommend 15585
whether the department should issue a revised report card for the 15586
district. If the referee affirms the department's contention that 15587
the district did not make a good faith effort to report data as 15588
required by this section, the district shall bear the full cost of 15589
conducting the hearing and of issuing any revised report card.15590

       (7) If the department determines that any inaccurate data 15591
reported under this section caused a school district to receive 15592
excess funds under Chapter 3317. of the Revised Code in any fiscal 15593
year, the district shall reimburse the department an amount equal 15594
to the excess funds, in accordance with a payment schedule 15595
determined by the department. The department may withhold funds 15596
due to the district under Chapter 3317. of the Revised Code for 15597
this purpose.15598

       (8) Any school district that has funds withheld under 15599
division (L)(2) of this section may appeal the withholding in 15600
accordance with Chapter 119. of the Revised Code.15601

       (9) In all cases of a disagreement between the department and 15602
a school district regarding the appropriateness of an action taken 15603
under division (L)(2) of this section, the burden of proof shall 15604
be on the district to demonstrate that it made a good faith effort 15605
to report data as required by this section.15606

       (M) No information technology center or school district shall 15607
acquire, change, or update its student administration software 15608
package to manage and report data required to be reported to the 15609
department unless it converts to a student software package that 15610
is certified by the department.15611

       (N) The state board of education, in accordance with sections 15612
3319.31 and 3319.311 of the Revised Code, may suspend or revoke a 15613
license as defined under division (A) of section 3319.31 of the 15614
Revised Code that has been issued to any school district employee 15615
found to have willfully reported erroneous, inaccurate, or 15616
incomplete data to the education management information system.15617

       (O) No person shall release or maintain any information about 15618
any student in violation of this section. Whoever violates this 15619
division is guilty of a misdemeanor of the fourth degree.15620

       (P) The department shall disaggregate the data collected15621
under division (B)(1)(o) of this section according to the race and15622
socioeconomic status of the students assessed. No data collected15623
under that division shall be included on the report cards required15624
by section 3302.03 of the Revised Code.15625

       (Q) If the department cannot compile any of the information15626
required by division (C)(5) of section 3302.03 of the Revised Code15627
based upon the data collected under this section, the department15628
shall develop a plan and a reasonable timeline for the collection15629
of any data necessary to comply with that division.15630

       Sec. 3301.162. (A) If the governing authority of a chartered 15631
nonpublic school intends to close the school, the governing 15632
authority shall notify all of the following of that intent prior 15633
to closing the school:15634

       (1) The department of education;15635

        (2) The school district that receives auxiliary services 15636
funding under division (I) of section 3317.024 of the Revised Code 15637
on behalf of the students enrolled in the school;15638

        (3) The accrediting association that most recently accredited 15639
the school for purposes of chartering the school in accordance 15640
with the rules of the state board of education, if applicable.15641

        The notice shall include the school year and, if possible, 15642
the actual date the school will close.15643

        (B) The chief administrator of each chartered nonpublic 15644
school that closes shall deposit the school's records with the 15645
school district that received auxiliary services funding under 15646
division (I) of section 3317.024 of the Revised Code on behalf of 15647
the students enrolled in the school.15648

       The school district that receives the records may charge for 15649
and receive a one-time reimbursement from auxiliary services 15650
funding under division (I) of section 3317.024 of the Revised Code 15651
for costs the district incurred to store the records.15652

       Sec. 3301.53.  (A) Not later than July 1, 1988, theThe state15653
board of education, in consultation with the director of job and15654
family services, shall formulate and prescribe by rule adopted15655
under Chapter 119. of the Revised Code minimum standards to be15656
applied to preschool programs operated by school district boards15657
of education, county MR/DD boards, or eligible nonpublic schools. 15658
The rules shall include the following:15659

       (1) Standards ensuring that the preschool program is located15660
in a safe and convenient facility that accommodates the enrollment15661
of the program, is of the quality to support the growth and15662
development of the children according to the program objectives,15663
and meets the requirements of section 3301.55 of the Revised Code;15664

       (2) Standards ensuring that supervision, discipline, and15665
programs will be administered according to established objectives15666
and procedures;15667

       (3) Standards ensuring that preschool staff members and15668
nonteaching employees are recruited, employed, assigned,15669
evaluated, and provided inservice education without discrimination15670
on the basis of age, color, national origin, race, or sex; and15671
that preschool staff members and nonteaching employees are15672
assigned responsibilities in accordance with written position15673
descriptions commensurate with their training and experience;15674

       (4) A requirement that boards of education intending to15675
establish a preschool program on or after March 17, 1989,15676
demonstrate a need for a preschool program that is not being met15677
by any existing program providing child care, prior to15678
establishing the program;15679

       (5) Requirements that children participating in preschool15680
programs have been immunized to the extent considered appropriate15681
by the state board to prevent the spread of communicable disease;15682

       (6) Requirements that the parents of preschool children15683
complete the emergency medical authorization form specified in15684
section 3313.712 of the Revised Code.15685

       (B) The state board of education in consultation with the15686
director of job and family services shall ensure that the rules15687
adopted by the state board under sections 3301.52 to 3301.58 of15688
the Revised Code are consistent with and meet or exceed the15689
requirements of Chapter 5104. of the Revised Code with regard to15690
child day-care centers. The state board and the director of job15691
and family services shall review all such rules at least once15692
every five years.15693

       (C) On or before January 1, 1992, theThe state board of15694
education, in consultation with the director of job and family15695
services, shall adopt rules for school child programs that are15696
consistent with and meet or exceed the requirements of the rules15697
adopted for school child day-care centers under Chapter 5104. of15698
the Revised Code.15699

       Sec. 3302.03.  (A) Annually the department of education shall 15700
report for each school district and each school building in a 15701
district all of the following:15702

       (1) The extent to which the school district or building meets 15703
each of the applicable performance indicators created by the state15704
board of education under section 3302.02 of the Revised Code and 15705
the number of applicable performance indicators that have been15706
achieved;15707

       (2) The performance index score of the school district or 15708
building;15709

       (3) Whether the school district or building has made adequate 15710
yearly progress;15711

       (4) Whether the school district or building is excellent, 15712
effective, needs continuous improvement, is under an academic15713
watch, or is in a state of academic emergency.15714

       (B) Except as otherwise provided in divisiondivisions (B)(6) 15715
and (7) of this section:15716

       (1) A school district or building shall be declared excellent 15717
if it fulfills one of the following requirements:15718

       (a) It makes adequate yearly progress and either meets at 15719
least ninety-four per cent of the applicable state performance 15720
indicators or has a performance index score established by the 15721
department.15722

       (b) It has failed to make adequate yearly progress for not 15723
more than two consecutive years and either meets at least 15724
ninety-four per cent of the applicable state performance 15725
indicators or has a performance index score established by the 15726
department.15727

       (2) A school district or building shall be declared effective 15728
if it fulfills one of the following requirements:15729

       (a) It makes adequate yearly progress and either meets at 15730
least seventy-five per cent but less than ninety-four per cent of15731
the applicable state performance indicators or has a performance 15732
index score established by the department.15733

       (b) It does not make adequate yearly progress and either 15734
meets at least seventy-five per cent of the applicable state 15735
performance indicators or has a performance index score 15736
established by the department, except that if it does not make 15737
adequate yearly progress for three consecutive years, it shall be 15738
declared in need of continuous improvement.15739

       (3) A school district or building shall be declared to be in15740
need of continuous improvement if it fulfills one of the following 15741
requirements:15742

       (a) It makes adequate yearly progress, meets less than 15743
seventy-five per cent of the applicable state performance 15744
indicators, and has a performance index score established by the 15745
department.15746

       (b) It does not make adequate yearly progress and either 15747
meets at least fifty per cent but less than seventy-five per cent 15748
of the applicable state performance indicators or has a 15749
performance index score established by the department.15750

       (4) A school district or building shall be declared to be15751
under an academic watch if it does not make adequate yearly 15752
progress and either meets at least thirty-one per cent but less 15753
than fifty per cent of the applicable state performance indicators 15754
or has a performance index score established by the department.15755

       (5) A school district or building shall be declared to be in15756
a state of academic emergency if it does not make adequate yearly 15757
progress, does not meet at least thirty-one per cent of the15758
applicable state performance indicators, and has a performance 15759
index score established by the department.15760

       (6) When designating performance ratings for school districts 15761
and buildings under divisions (B)(1) to (5) of this section, the 15762
department shall not assign a school district or building a lower 15763
designation from its previous year's designation based solely on 15764
one subgroup not making adequate yearly progress.15765

       (7) Division (B)(7) of this section does not apply to any 15766
community school established under Chapter 3314. of the Revised 15767
Code in which a majority of the students are enrolled in a dropout 15768
prevention and recovery program.15769

        A school district or building shall not be assigned a higher 15770
performance rating than in need of continuous improvement if at 15771
least ten per cent but not more than fifteen per cent of the 15772
enrolled students do not take all achievement tests prescribed for 15773
their grade level under section 3301.0710 of the Revised Code from 15774
which they are not excused pursuant to division (C)(1) or (3) of 15775
section 3301.0711 of the Revised Code. A school district or 15776
building shall not be assigned a higher performance rating than 15777
under an academic watch if more than fifteen per cent but not more 15778
than twenty per cent of the enrolled students do not take all 15779
achievement tests prescribed for their grade level under section 15780
3301.0710 of the Revised Code from which they are not excused 15781
pursuant to division (C)(1) or (3) of section 3301.0711 of the 15782
Revised Code. A school district or building shall not be assigned 15783
a higher performance rating than in a state of academic emergency 15784
if more than twenty per cent of the enrolled students do not take 15785
all achievement tests prescribed for their grade level under 15786
section 3301.0710 of the Revised Code from which they are not 15787
excused pursuant to division (C)(1) or (3) of section 3301.0711 of 15788
the Revised Code.15789

       (C)(1) The department shall issue annual report cards for15790
each school district, each building within each district, and for15791
the state as a whole reflecting performance on the indicators15792
created by the state board under section 3302.02 of the Revised15793
Code, the performance index score, and adequate yearly progress.15794

       (2) The department shall include on the report card for each15795
district information pertaining to any change from the previous15796
year made by the school district or school buildings within the15797
district on any performance indicator.15798

       (3) When reporting data on student performance, the15799
department shall disaggregate that data according to the following15800
categories:15801

       (a) Performance of students by age group;15802

       (b) Performance of students by race and ethnic group;15803

       (c) Performance of students by gender;15804

       (d) Performance of students grouped by those who have been15805
enrolled in a district or school for three or more years;15806

       (e) Performance of students grouped by those who have been15807
enrolled in a district or school for more than one year and less15808
than three years;15809

       (f) Performance of students grouped by those who have been15810
enrolled in a district or school for one year or less;15811

       (g) Performance of students grouped by those who are15812
economically disadvantaged;15813

       (h) Performance of students grouped by those who are enrolled15814
in a conversion community school established under Chapter 3314.15815
of the Revised Code;15816

       (i) Performance of students grouped by those who are 15817
classified as limited English proficient;15818

       (j) Performance of students grouped by those who have 15819
disabilities;15820

       (k) Performance of students grouped by those who are 15821
classified as migrants;15822

       (l) Performance of students grouped by those who are 15823
identified as gifted pursuant to Chapter 3324. of the Revised 15824
Code.15825

       The department may disaggregate data on student performance15826
according to other categories that the department determines are15827
appropriate. To the extent possible, the department shall 15828
disaggregate data on student performance according to any 15829
combinations of two or more of the categories listed in divisions 15830
(C)(3)(a) to (l) of this section that it deems relevant.15831

       In reporting data pursuant to division (C)(3) of this15832
section, the department shall not include in the report cards any15833
data statistical in nature that is statistically unreliable or15834
that could result in the identification of individual students. 15835
For this purpose, the department shall not report student 15836
performance data for any group identified in division (C)(3) of 15837
this section that contains less than ten students.15838

       (4) The department may include with the report cards any15839
additional education and fiscal performance data it deems15840
valuable.15841

       (5) The department shall include on each report card a list15842
of additional information collected by the department that is15843
available regarding the district or building for which the report15844
card is issued. When available, such additional information shall15845
include student mobility data disaggregated by race and15846
socioeconomic status, college enrollment data, and the reports15847
prepared under section 3302.031 of the Revised Code.15848

       The department shall maintain a site on the world wide web.15849
The report card shall include the address of the site and shall15850
specify that such additional information is available to the15851
public at that site. The department shall also provide a copy of15852
each item on the list to the superintendent of each school15853
district. The district superintendent shall provide a copy of any15854
item on the list to anyone who requests it.15855

       (6)(a) This division does not apply to conversion community 15856
schools that primarily enroll students between sixteen and 15857
twenty-two years of age who dropped out of high school or are at 15858
risk of dropping out of high school due to poor attendance, 15859
disciplinary problems, or suspensions.15860

       For any district that sponsors a conversion community school 15861
under Chapter 3314. of the Revised Code, the department shall 15862
combine data regarding the academic performance of students15863
enrolled in the community school with comparable data from the15864
schools of the district for the purpose of calculating the15865
performance of the district as a whole on the report card issued15866
for the district.15867

       (b) Any district that leases a building to a community school 15868
located in the district or that enters into an agreement with a 15869
community school located in the district whereby the district and 15870
the school endorse each other's programs may elect to have data 15871
regarding the academic performance of students enrolled in the 15872
community school combined with comparable data from the schools of 15873
the district for the purpose of calculating the performance of the 15874
district as a whole on the district report card. Any district that 15875
so elects shall annually file a copy of the lease or agreement 15876
with the department.15877

       (7) The department shall include on each report card the 15878
percentage of teachers in the district or building who are highly 15879
qualified, as defined by the "No Child Left Behind Act of 2001," 15880
and a comparison of that percentage with the percentages of such 15881
teachers in similar districts and buildings.15882

       (8) The department shall include on the report card the 15883
number of master teachers employed by each district and each 15884
building once the data is available from the education management 15885
information system established under section 3301.0714 of the 15886
Revised Code.15887

       (D)(1) In calculating reading, writing, mathematics, social15888
studies, or science proficiency or achievement test passage rates15889
used to determine school district or building performance under15890
this section, the department shall include all students taking a 15891
test with accommodation or to whom an alternate assessment is 15892
administered pursuant to division (C)(1) or (3) of section 15893
3301.0711 of the Revised Code.15894

        (2) In calculating performance index scores, rates of 15895
achievement on the performance indicators established by the state 15896
board under section 3302.02 of the Revised Code, and adequate 15897
yearly progress for school districts and buildings under this 15898
section, the department shall do all of the following:15899

       (a) Include for each district or building only those students 15900
who are included in the ADM certified for the first full school 15901
week of October and are continuously enrolled in the district or 15902
building through the time of the spring administration of any test 15903
prescribed by section 3301.0710 of the Revised Code that is 15904
administered to the student's grade level;15905

       (b) Include cumulative totals from both the fall and spring 15906
administrations of the third grade reading achievement test;15907

       (c) Except as required by the "No Child Left Behind Act of 15908
2001" for the calculation of adequate yearly progress, exclude for 15909
each district or building any limited English proficient student 15910
who has been enrolled in United States schools for less than one 15911
full school year.15912

       Sec. 3302.10.  (A) Beginning July 1, 2007, the superintendent 15913
of public instruction shallmay establish an academic distress 15914
commission for eachany school district that has been declared to 15915
be in a state of academic emergency pursuant to section 3302.03 of 15916
the Revised Code and has failed to make adequate yearly progress 15917
for four or more consecutive school years. Each commission shall 15918
assist the district for which it was established in improving the 15919
district's academic performance.15920

       Each commission is a body both corporate and politic, 15921
constituting an agency and instrumentality of the state and 15922
performing essential governmental functions of the state. A 15923
commission shall be known as the "academic distress commission for 15924
............... (name of school district)," and, in that name, may 15925
exercise all authority vested in such a commission by this 15926
section. A separate commission shall be established for each 15927
school district designated by the superintendent of public 15928
instruction.15929

       (B) Each academic distress commission shall consist of five 15930
voting members, three of whom shall be appointed by the 15931
superintendent of public instruction and two of whom shall be 15932
residents of the applicable school district appointed by the 15933
president of the district board of education of the applicable 15934
school district. When a school district becomes subject to this 15935
section, the superintendent of public instruction shall provide 15936
written notification of that fact to the district board of 15937
education and shall request the president of the district board to 15938
submit to the superintendent of public instruction, in writing, 15939
the names of the president's appointees to the commission. The 15940
superintendent of public instruction and the president of the 15941
district board shall make appointments to the commission within 15942
thirty days after the district is notified that it is subject to 15943
this section.15944

        Members of the commission shall serve at the pleasure of 15945
their appointing authority during the life of the commission. In 15946
the event of the death, resignation, incapacity, removal, or 15947
ineligibility to serve of a member, the appointing authority shall 15948
appoint a successor within fifteen days after the vacancy occurs. 15949
Members shall serve without compensation, but shall be paid by the 15950
commission their necessary and actual expenses incurred while 15951
engaged in the business of the commission.15952

       (C) Immediately after appointment of the initial members of 15953
an academic distress commission, the superintendent of public 15954
instruction shall call the first meeting of the commission and 15955
shall cause written notice of the time, date, and place of that 15956
meeting to be given to each member of the commission at least 15957
forty-eight hours in advance of the meeting. The first meeting 15958
shall include an overview of the commission's roles and 15959
responsibilities, the requirements of section 2921.42 and Chapter 15960
102. of the Revised Code as they pertain to commission members, 15961
the requirements of section 121.22 of the Revised Code, and the 15962
provisions of division (F) of this section. At its first meeting, 15963
the commission shall adopt temporary bylaws in accordance with 15964
division (D) of this section to govern its operations until the 15965
adoption of permanent bylaws.15966

        The superintendent of public instruction shall designate a 15967
chairperson for the commission from among the members appointed by 15968
the superintendent. The chairperson shall call and conduct 15969
meetings, set meeting agendas, and serve as a liaison between the 15970
commission and the district board of education. The chairperson 15971
also shall appoint a secretary, who shall not be a member of the 15972
commission.15973

        The department of education shall provide administrative 15974
support for the commission, provide data requested by the 15975
commission, and inform the commission of available state resources 15976
that could assist the commission in its work.15977

        (D) Each academic distress commission may adopt and alter 15978
bylaws and rules, which shall not be subject to section 111.15 or 15979
Chapter 119. of the Revised Code, for the conduct of its affairs 15980
and for the manner, subject to this section, in which its powers 15981
and functions shall be exercised and embodied.15982

        (E) Three members of an academic distress commission 15983
constitute a quorum of the commission. The affirmative vote of 15984
three members of the commission is necessary for any action taken 15985
by vote of the commission. No vacancy in the membership of the 15986
commission shall impair the rights of a quorum by such vote to 15987
exercise all the rights and perform all the duties of the 15988
commission. Members of the commission are not disqualified from 15989
voting by reason of the functions of any other office they hold 15990
and are not disqualified from exercising the functions of the 15991
other office with respect to the school district, its officers, or 15992
the commission.15993

        (F) The members of an academic distress commission, the 15994
superintendent of public instruction, and any person authorized to 15995
act on behalf of or assist them shall not be personally liable or 15996
subject to any suit, judgment, or claim for damages resulting from 15997
the exercise of or failure to exercise the powers, duties, and 15998
functions granted to them in regard to their functioning under 15999
this section, but the commission, superintendent of public 16000
instruction, and such other persons shall be subject to mandamus 16001
proceedings to compel performance of their duties under this 16002
section.16003

        (G) The members of an academic distress commission are not 16004
subject to section 102.02 of the Revised Code, except that a 16005
member who is subject to that section by virtue of holding another 16006
office or position shall comply with that section with respect to 16007
that other office or position. However, each member of the 16008
commission shall file with the Ohio ethics commission a signed 16009
written statement setting forth the general nature of sales of 16010
goods, property, or services or of loans to the applicable school 16011
district, in which the commission member has a pecuniary interest 16012
or in which any member of the commission member's immediate 16013
family, as defined in section 102.01 of the Revised Code, or any 16014
corporation, partnership, or enterprise of which the commission 16015
member is an officer, director, or partner, or of which the 16016
commission member or a member of the commission member's immediate 16017
family owns more than a five per cent interest, has a pecuniary 16018
interest, and of which sale, loan, or interest the commission 16019
member has knowledge. The statement shall be supplemented from 16020
time to time to reflect changes in the general nature of any such 16021
sales or loans.16022

        (H) Meetings of each academic distress commission shall be 16023
subject to section 121.22 of the Revised Code.16024

        (I)(1) Within one hundred twenty days after the first meeting 16025
of an academic distress commission, the commission shall adopt an 16026
academic recovery plan to improve academic performance in the 16027
school district. The plan shall address academic problems at both 16028
the district and school levels. The plan shall include the 16029
following:16030

        (a) Short-term and long-term actions to be taken to improve 16031
the district's academic performance, including any actions 16032
required by section 3302.04 of the Revised Code;16033

        (b) The sequence and timing of the actions described in 16034
division (I)(1)(a) of this section and the persons responsible for 16035
implementing the actions;16036

        (c) Resources that will be applied toward improvement 16037
efforts;16038

        (d) Procedures for monitoring and evaluating improvement 16039
efforts;16040

        (e) Requirements for reporting to the commission and the 16041
district board of education on the status of improvement efforts.16042

        (2) The commission may amend the academic recovery plan 16043
subsequent to adoption. The commission shall update the plan at 16044
least annually.16045

        (3) The commission shall submit the academic recovery plan it 16046
adopts or updates to the superintendent of public instruction for 16047
approval immediately following its adoption or updating. The 16048
superintendent shall evaluate the plan and either approve or 16049
disapprove it within thirty days after its submission. If the plan 16050
is disapproved, the superintendent shall recommend modifications 16051
that will render it acceptable. No academic distress commission 16052
shall implement an academic recovery plan unless the 16053
superintendent has approved it.16054

        (4) County, state, and school district officers and employees 16055
shall assist the commission diligently and promptly in the 16056
implementation of the academic recovery plan.16057

        (J) Each academic distress commission shall seek input from 16058
the district board of education regarding ways to improve the 16059
district's academic performance, but any decision of the 16060
commission related to any authority granted to the commission 16061
under this section shall be final.16062

       The commission may do any of the following:16063

       (1) Appoint school building administrators and reassign 16064
administrative personnel;16065

       (2) Terminate the contracts of administrators or 16066
administrative personnel. The commission shall not be required to 16067
comply with section 3319.16 of the Revised Code with respect to 16068
any contract terminated under this division.16069

       (3) Contract with a private entity to perform school or 16070
district management functions;16071

       (4) Establish a budget for the district and approve district 16072
appropriations and expenditures, unless a financial planning and 16073
supervision commission has been established for the district 16074
pursuant to section 3316.05 of the Revised Code.16075

       (D)(K) If the board of education of a district for which an 16076
academic distress commission has been established under this 16077
section renews any collective bargaining agreement under Chapter 16078
4117. of the Revised Code during the existence of the commission, 16079
the district board shall not enter into any agreement that would 16080
render any decision of the commission unenforceable. Section 16081
3302.08 of the Revised Code does not apply to this division.16082

       Notwithstanding any provision to the contrary in Chapter 16083
4117. of the Revised Code, if the board of education has entered 16084
into a collective bargaining agreement after the effective date of 16085
this sectionSeptember 29, 2005, that contains stipulations 16086
relinquishing one or more of the rights or responsibilities listed 16087
in division (C) of section 4117.08 of the Revised Code, those 16088
stipulations are not enforceable and the district board shall 16089
resume holding those rights or responsibilities as if it had not 16090
relinquished them in that agreement until such time as both the 16091
academic distress commission ceases to exist and the district 16092
board agrees to relinquish those rights or responsibilities in a 16093
new collective bargaining agreement. The provisions of this 16094
paragraph apply to a collective bargaining agreement entered into 16095
after the effective date of this sectionSeptember 29, 2005, and 16096
those provisions are deemed to be part of that agreement 16097
regardless of whether the district satisfied the conditions 16098
prescribed in division (A) of this section at the time the 16099
district entered into that agreement.16100

       (E)(L) An academic distress commission shall cease to exist 16101
when the district for which it was established receives a 16102
performance rating under section 3302.03 of the Revised Code of in 16103
need of continuous improvement or better for two out of the three 16104
prior school years; however, the superintendent of public 16105
instruction may dissolve the commission earlier if the 16106
superintendent determines that the district can perform adequately 16107
without the supervision of the commission. Upon termination of the 16108
commission, the department of education shall compile a final 16109
report of the commission's activities to assist other academic 16110
distress commissions in the conduct of their functions.16111

       Sec. 3303.20. The superintendent of public instruction shall 16112
appoint a supervisor of agricultural education within the 16113
department of education. The supervisor shall be responsible for 16114
administering and disseminating to school districts information 16115
about agricultural education.16116

        The department shall maintain an appropriate number of 16117
full-time employees focusing on agricultural education. The 16118
department shall employ at least three program consultants who 16119
shall be available to provide assistance to school districts on a 16120
regional basis throughout the state. At least one consultant may 16121
coordinate local activities of the student organization known as 16122
the future farmers of America.16123

       Sec. 3310.51.  As used in sections 3310.51 to 3310.63 of the 16124
Revised Code:16125

       (A) "Alternative public provider" means either of the 16126
following providers that agrees to enroll a child in the 16127
provider's special education program to implement the child's 16128
individualized education program and to which the eligible 16129
applicant owes fees for the services provided to the child:16130

        (1) A school district that is not the school district in 16131
which the child is entitled to attend school or the child's school 16132
district of residence, if different;16133

        (2) A public entity other than a school district.16134

        (B) "Applicable special education weight" means the multiple 16135
specified in section 3317.013 of the Revised Code for a handicap 16136
described in that section.16137

       (C) "Category one through six special education ADM" means 16138
the respective categories prescribed in divisions (F)(1) to (6) of 16139
section 3317.02 of the Revised Code.16140

       (D) "Eligible applicant" means any of the following:16141

       (1) Either of the natural or adoptive parents of a qualified 16142
special education child, except as otherwise specified in this 16143
division. When the marriage of the natural or adoptive parents of 16144
the student has been terminated by a divorce, dissolution of 16145
marriage, or annulment, or when the natural or adoptive parents of 16146
the student are living separate and apart under a legal separation 16147
decree, and a court has issued an order allocating the parental 16148
rights and responsibilities with respect to the child, "eligible 16149
applicant" means the residential parent as designated by the 16150
court. If the court issues a shared parenting decree, "eligible 16151
applicant" means either parent. "Eligible applicant" does not mean 16152
a parent whose custodial rights have been terminated.16153

       (2) The custodian of a qualified special education child, 16154
when a court has granted temporary, legal, or permanent custody of 16155
the child to an individual other than either of the natural or 16156
adoptive parents of the child or to a government agency;16157

       (3) The guardian of a qualified special education child, when 16158
a court has appointed a guardian for the child;16159

       (4) The grandparent of a qualified special education child, 16160
when the grandparent is the child's attorney in fact under a power 16161
of attorney executed under sections 3109.51 to 3109.62 of the 16162
Revised Code or when the grandparent has executed a caregiver 16163
authorization affidavit under sections 3109.65 to 3109.73 of the 16164
Revised Code;16165

       (5) The surrogate parent appointed for a qualified special 16166
education child pursuant to division (B) of section 3323.05 and 16167
section 3323.051 of the Revised Code;16168

       (6) A qualified special education child, if the child does 16169
not have a custodian or guardian and the child is at least 16170
eighteen years of age.16171

       (E) "Entitled to attend school" means entitled to attend 16172
school in a school district under sections 3313.64 and 3313.65 of 16173
the Revised Code.16174

       (F) "Formula ADM" and "formula amount" have the same meanings 16175
as in section 3317.02 of the Revised Code.16176

       (G) "Handicapped child," "individualized education program," 16177
and "special education program" have the same meanings as in 16178
section 3323.01 of the Revised Code.16179

       (H) "Qualified special education child" is a child for whom 16180
all of the following conditions apply:16181

       (1) The child is at least five years of age and less than 16182
twenty-two years of age;16183

       (2) The school district in which the child is entitled to 16184
attend school, or the child's school district of residence if 16185
different, has identified the child as a handicapped child;16186

       (3) The school district in which the child is entitled to 16187
attend school, or the child's school district of residence if 16188
different, has developed an individualized education program under 16189
Chapter 3323. of the Revised Code for the child;16190

       (4) The child either:16191

       (a) Was enrolled in the schools of the school district in 16192
which the child is entitled to attend school in any grade from 16193
kindergarten through twelve in the school year prior to the school 16194
year in which a scholarship is first sought for the child;16195

       (b) Is eligible to enter school in any grade kindergarten 16196
through twelve in the school district in which the child is 16197
entitled to attend school in the school year in which a 16198
scholarship is first sought for the child.16199

       (I) "Registered private provider" means a nonpublic school or 16200
other nonpublic entity that has been registered by the 16201
superintendent of public instruction under section 3310.58 of the 16202
Revised Code.16203

       (J) "Scholarship" means a scholarship awarded under the 16204
special education scholarship pilot program pursuant to sections 16205
3310.51 to 3310.63 of the Revised Code.16206

       (K) "School district of residence" has the same meaning as in 16207
section 3323.01 of the Revised Code. A community school 16208
established under Chapter 3314. of the Revised Code is not a 16209
"school district of residence" for purposes of sections 3310.51 to 16210
3310.63 of the Revised Code.16211

       (L) "School year" has the same meaning as in section 3313.62 16212
of the Revised Code.16213

       Sec. 3310.52.  (A) The special education scholarship pilot 16214
program is hereby established. Under the program, in fiscal years 16215
2008 through 2013, subject to division (B) of this section, the 16216
department of education annually shall pay a scholarship to an 16217
alternative public provider or a registered private provider on 16218
behalf of an eligible applicant for services provided for a 16219
qualified special education child. The scholarship shall be used 16220
only to pay all or part of the fees for the child to attend the 16221
special education program operated by the alternative public 16222
provider or registered private provider to implement the child's 16223
individualized education program in lieu of the child's attending 16224
the special education program operated by the school district in 16225
which the child is entitled to attend school.16226

       (B) The number of scholarships awarded under the pilot 16227
program in any fiscal year shall not exceed three per cent of the 16228
total number of students residing in the state identified as 16229
handicapped children during the previous fiscal year.16230

       Sec. 3310.53.  (A) Except for development of the child's 16231
individualized education program, as specified in division (B) of 16232
this section, the school district in which a qualified special 16233
education child is entitled to attend school and the child's 16234
school district of residence, if different, are not obligated to 16235
provide the child with a free appropriate public education under 16236
Chapter 3323. of the Revised Code for as long as the child 16237
continues to attend the special education program operated by 16238
either an alternative public provider or a registered private 16239
provider for which a scholarship is awarded under the special 16240
education scholarship pilot program. If at any time, the eligible 16241
applicant for the child decides no longer to accept scholarship 16242
payments and enrolls the child in the special education program of 16243
the school district in which the child is entitled to attend 16244
school, that district shall provide the child with a free 16245
appropriate public education under Chapter 3323. of the Revised 16246
Code.16247

       (B) Each eligible applicant and each qualified special 16248
education child have a continuing right to the development of an 16249
individualized education program for the child that complies with 16250
Chapter 3323. of the Revised Code, 20 U.S.C. 1400 et seq., and 16251
administrative rules or guidelines adopted by the Ohio department 16252
of education or the United States department of education. The 16253
school district in which a qualified special education child is 16254
entitled to attend school, or the child's school district of 16255
residence if different, shall develop each individualized 16256
education program for the child in accordance with those 16257
provisions.16258

        (C) Each school district shall notify an eligible applicant 16259
of the applicant's and qualified special education child's rights 16260
under sections 3310.51 to 3310.63 of the Revised Code by providing 16261
to each eligible applicant the comparison document prescribed in 16262
section 3323.052 of the Revised Code. An eligible applicant's 16263
receipt of that document, as acknowledged in a format prescribed 16264
by the department of education, shall constitute notice that the 16265
eligible applicant has been informed of those rights. Upon receipt 16266
of that document, subsequent acceptance of a scholarship 16267
constitutes the eligible applicant's informed consent to the 16268
provisions of sections 3310.51 to 3310.63 of the Revised Code.16269

       Sec. 3310.54.  As prescribed in divisions (A)(2)(h), 16270
(B)(3)(g), and (B)(5) to (10) of section 3317.03 of the Revised 16271
Code, a qualified special education child in any of grades 16272
kindergarten through twelve for whom a scholarship is awarded 16273
under the special education scholarship pilot program shall be 16274
counted in the formula ADM and category one through six special 16275
education ADM, as appropriate, of the school district in which the 16276
child is entitled to attend school. A qualified special education 16277
child shall not be counted in the formula ADM or category one 16278
through six special education ADM of any other school district.16279

       Sec. 3310.55.  The department of education shall deduct from 16280
the amounts paid to each school district under Chapter 3317. of 16281
the Revised Code, and, if necessary, sections 321.24 and 323.156 16282
of the Revised Code, the aggregate amount of scholarships paid 16283
under section 3310.57 of the Revised Code for qualified special 16284
education children included in the formula ADM and the category 16285
one through six special education ADM of that school district.16286

       Sec. 3310.56.  The amount of the scholarship awarded and paid 16287
on behalf of an eligible applicant for services for a qualified 16288
special education child under the special education scholarship 16289
pilot program in each school year shall be the lesser of the 16290
following:16291

       (A) The amount of fees charged for that school year by the 16292
alternative public provider or registered private provider;16293

       (B) The sum of the amounts calculated under divisions (B)(1) 16294
and (2) of this section:16295

        (1) The sum of the formula amount plus the per pupil amount 16296
of the base funding supplements specified in divisions (C)(1) to 16297
(4) of section 3317.012 of the Revised Code.16298

       (2) The formula amount times the applicable special education 16299
weight for the child's disability.16300

       Sec. 3310.57.  The department of education shall make 16301
periodic payments to an alternative public provider or a 16302
registered private provider on behalf of an eligible applicant for 16303
services for each qualified special education child for whom a 16304
scholarship has been awarded. The total of all payments made on 16305
behalf of an applicant in each school year shall not exceed the 16306
amount calculated for the child under section 3310.56 of the 16307
Revised Code.16308

       The scholarship amount shall be proportionately reduced in 16309
the case of a child who is not enrolled in the special education 16310
program of an alternative public provider or a registered private 16311
provider for the entire school year.16312

       In accordance with division (A) of section 3310.62 of the 16313
Revised Code, the department shall make no payments on behalf of 16314
an applicant for a first-time scholarship for a qualified special 16315
education child while any administrative or judicial mediation or 16316
proceedings with respect to the content of the child's 16317
individualized education program are pending.16318

       Sec. 3310.58.  No nonpublic school or entity shall receive 16319
payments for services for a qualified special education child 16320
under the special education scholarship pilot program until the 16321
school or entity registers with the superintendent of public 16322
instruction. The superintendent shall register and designate as a 16323
registered private provider any nonpublic school or entity that 16324
meets the following requirements:16325

       (A) The special education program operated by the school or 16326
entity meets the minimum education standards established by the 16327
state board of education.16328

       (B) The school or entity does not discriminate on the basis 16329
of race, ethnicity, national origin, religion, sex, disability, 16330
age, or ancestry.16331

       (C) If the school or entity is not chartered by the state 16332
board under section 3301.16 of the Revised Code, the school or 16333
entity agrees to comply with section 3319.39 of the Revised Code 16334
as if it were a school district.16335

       (D) The teaching and nonteaching professionals employed by 16336
the school or entity, or employed by any subcontractors of the 16337
school or entity, hold credentials determined by the state board 16338
to be appropriate for the qualified special education children 16339
enrolled in the special education program it operates.16340

       (E) The school or entity meets applicable health and safety 16341
standards established by law for school buildings.16342

       (F) The school or entity agrees to retain on file 16343
documentation as required by the department of education.16344

       (G) The school or entity demonstrates fiscal soundness to the 16345
satisfaction of the department.16346

       (H) The school or entity agrees to meet other requirements 16347
established by rule of the state board under section 3310.63 of 16348
the Revised Code.16349

       Sec. 3310.59.  The superintendent of public instruction shall 16350
revoke the registration of any school or entity if, after a 16351
hearing, the superintendent determines that the school or entity 16352
is in violation of any provision of section 3310.58 of the Revised 16353
Code.16354

       Sec. 3310.60.  A qualified special education child attending 16355
a special education program at an alternative public provider or a 16356
registered private provider with a scholarship shall be entitled 16357
to transportation to and from that program in the manner 16358
prescribed by law for any handicapped child attending a nonpublic 16359
special education program.16360

       Sec. 3310.61.  An eligible applicant on behalf of a child who 16361
currently attends a public special education program under a 16362
contract, compact, or other bilateral agreement, or on behalf of a 16363
child who currently attends a community school, shall not be 16364
prohibited from applying for and accepting a scholarship so that 16365
the applicant may withdraw the child from that program or 16366
community school and use the scholarship for the child to attend a 16367
special education program operated by an alternative public 16368
provider or a registered private provider.16369

       Sec. 3310.62.  (A) A scholarship under the special education 16370
scholarship pilot program shall not be awarded for the first time 16371
to an eligible applicant on behalf of a qualified special 16372
education child while the child's individualized education program 16373
is being developed by the school district in which the child is 16374
entitled to attend school, or by the child's school district of 16375
residence if different, or while any administrative or judicial 16376
mediation or proceedings with respect to the content of that 16377
individualized education program are pending.16378

       (B) Development of individualized education programs 16379
subsequent to the one developed for the child the first time a 16380
scholarship was awarded on behalf of the child and the 16381
prosecuting, by the eligible applicant on behalf of the child, of 16382
administrative or judicial mediation or proceedings with respect 16383
to any of those subsequent individualized education programs do 16384
not affect the applicant's and the child's continued eligibility 16385
for scholarship payments.16386

        (C) In the case of any child for whom a scholarship has been 16387
awarded, if the school district in which the child is entitled to 16388
attend school has agreed to provide some services for the child 16389
under an agreement entered into with the eligible applicant or 16390
with the alternative public provider or registered private 16391
provider implementing the child's individualized education 16392
program, or if the district is required by law to provide some 16393
services for the child, including transportation services under 16394
sections 3310.60 and 3327.01 of the Revised Code, the district 16395
shall not discontinue the services it is providing pending 16396
completion of any administrative proceedings regarding those 16397
services. The prosecuting, by the eligible applicant on behalf of 16398
the child, of administrative proceedings regarding the services 16399
provided by the district does not affect the applicant's and the 16400
child's continued eligibility for scholarship payments.16401

       (D) The department of education shall continue to make 16402
payments to the alternative public provider or registered private 16403
provider on behalf of the eligible applicant under section 3310.57 16404
of the Revised Code while either of the following are pending:16405

        (1) Administrative or judicial mediation or proceedings with 16406
respect to a subsequent individualized education program for the 16407
child referred to in division (B) of this section;16408

        (2) Administrative proceedings regarding services provided by 16409
the district under division (C) of this section.16410

       Sec. 3310.63. The state board of education shall adopt rules 16411
in accordance with Chapter 119. of the Revised Code prescribing 16412
procedures necessary to implement sections 3310.51 to 3310.62 of 16413
the Revised Code including, but not limited to, procedures and 16414
deadlines for parents to apply for scholarships, standards for 16415
registered private providers, and procedures for registration of 16416
private providers.16417

       Sec. 3311.24.  (A)(1) Except as provided in division (B) of16418
this section, if the board of education of a city, exempted16419
village, or local school district deems it advisableshall file 16420
with the state board of education a proposal to transfer territory 16421
from such district to an adjoining city, exempted village, or 16422
local school district, or if ain any of the following 16423
circumstances:16424

       (a) The district board deems the transfer advisable;16425

       (b) A petition, signed by seventy-five per cent of the16426
qualified electors residing within that portion of a city,16427
exempted village, or local school district proposed to be16428
transferred voting at the last general election, requests such a 16429
transfer, the;16430

       (c) If no qualified electors reside in that portion of the 16431
district proposed to be transferred, a petition, signed by 16432
seventy-five per cent of the owners of parcels of real property on 16433
the tax duplicate within that portion of the district, requests 16434
such a transfer.16435

       (2) The board of education of the district in which such 16436
proposal originates shall file such proposal, together with a map 16437
showing the boundaries of the territory proposed to be 16438
transferred, with the state board of education prior to the first 16439
day of April in any even-numbered year. The state board of 16440
education may, if it is advisable, provide for a hearing in any 16441
suitable place in any of the school districts affected by such 16442
proposed transfer of territory. The state board of education or 16443
its representatives shall preside at any such hearing.16444

       (3) A board of education of a city, exempted village, or 16445
local school district that receives a petition of transfer signed 16446
by electors of the district under this division (A)(1)(b) of this 16447
section shall cause the board of elections to check the 16448
sufficiency of signatures on the petition. A board of education of 16449
a city, exempted village, or local school district that receives a 16450
petition of transfer signed by owners of parcels of real property 16451
under division (A)(1)(c) of this section shall cause the county 16452
auditor to check the sufficiency of signatures on the petition.16453

       (4) Not later than the first day of September the state board16454
of education shall either approve or disapprove a proposed16455
transfer of territory filed with it as provided by this section16456
and shall notify, in writing, the boards of education of the16457
districts affected by such proposed transfer of territory of its16458
decision.16459

       If the decision of the state board of education is an16460
approval of the proposed transfer of territory then the board of16461
education of the district in which the territory is located shall, 16462
within thirty days after receiving the state board of education's 16463
decision, adopt a resolution transferring the territory and shall 16464
forthwith submit a copy of such resolution to the treasurer of the 16465
board of education of the city, exempted village, or local school 16466
district to which the territory is transferred. Such transfer 16467
shall not be complete however, until:16468

       (1)(a) A resolution accepting the transfer has been passed by16469
a majority vote of the full membership of the board of education16470
of the city, exempted village, or local school district to which16471
the territory is transferred;16472

       (2)(b) An equitable division of the funds and indebtedness16473
between the districts involved has been made by the board of16474
education making the transfer;16475

       (3)(c) A map showing the boundaries of the territory16476
transferred has been filed, by the board of education accepting16477
the transfer, with the county auditor of each county affected by16478
the transfer.16479

       When such transfer is complete the legal title of the school 16480
property in the territory transferred shall be vested in the board 16481
of education or governing board of the school district to which 16482
the territory is transferred.16483

       (B) Whenever the transfer of territory pursuant to this16484
section is initiated by a board of education, the board shall,16485
before filing a proposal for transfer with the state board of16486
education under this section, make a good faith effort to16487
negotiate the terms of transfer with any other school district16488
whose territory would be affected by the transfer. Before the16489
state board may hold a hearing on the transfer, or approve or16490
disapprove any such transfer, it must receive the following:16491

       (1) A resolution requesting approval of the transfer, passed 16492
by the school district submitting the proposal;16493

       (2) Evidence determined to be sufficient by the state board 16494
to show that good faith negotiations have taken place or that the 16495
district requesting the transfer has made a good faith effort to 16496
hold such negotiations;16497

       (3) If any negotiations took place, a statement signed by all 16498
boards that participated in the negotiations, listing the terms 16499
agreed on and the points on which no agreement could be reached.16500

       Negotiations held pursuant to this section shall be governed 16501
by the rules adopted by the state board under division (D) of 16502
section 3311.06 of the Revised Code. Districts involved in a 16503
transfer under division (B) of this section may agree to share 16504
revenues from the property included in the territory to be16505
transferred, establish cooperative programs between the16506
participating districts, and establish mechanisms for the16507
settlement of any future boundary disputes.16508

       Sec. 3313.41.  (A) Except as provided in divisions (C), (D), 16509
(F), and (G) of this section, when a board of education decides to16510
dispose of real or personal property that it owns in its corporate16511
capacity and that exceeds in value ten thousand dollars, it shall16512
sell the property at public auction, after giving at least thirty16513
days' notice of the auction by publication in a newspaper of16514
general circulation or by posting notices in five of the most16515
public places in the school district in which the property, if it16516
is real property, is situated, or, if it is personal property, in16517
the school district of the board of education that owns the16518
property. The board may offer real property for sale as an entire16519
tract or in parcels.16520

       (B) When the board of education has offered real or personal16521
property for sale at public auction at least once pursuant to16522
division (A) of this section, and the property has not been sold,16523
the board may sell it at a private sale. Regardless of how it was16524
offered at public auction, at a private sale, the board shall, as16525
it considers best, sell real property as an entire tract or in16526
parcels, and personal property in a single lot or in several lots.16527

       (C) If a board of education decides to dispose of real or16528
personal property that it owns in its corporate capacity and that16529
exceeds in value ten thousand dollars, it may sell the property to16530
the adjutant general; to any subdivision or taxing authority as16531
respectively defined in divisions (A) and (C) of section 5705.0116532
of the Revised Code, township park district, board of park16533
commissioners established under Chapter 755. of the Revised Code,16534
or park district established under Chapter 1545. of the Revised16535
Code; to a wholly or partially tax-supported university,16536
university branch, or college; or to the board of trustees of a16537
school district library, upon such terms as are agreed upon. The16538
sale of real or personal property to the board of trustees of a16539
school district library is limited, in the case of real property,16540
to a school district library within whose boundaries the real16541
property is situated, or, in the case of personal property, to a16542
school district library whose boundaries lie in whole or in part16543
within the school district of the selling board of education.16544

       (D) When a board of education decides to trade as a part or16545
an entire consideration, an item of personal property on the16546
purchase price of an item of similar personal property, it may16547
trade the same upon such terms as are agreed upon by the parties16548
to the trade.16549

       (E) The president and the treasurer of the board of education 16550
shall execute and deliver deeds or other necessary instruments of 16551
conveyance to complete any sale or trade under this section.16552

       (F) When a board of education has identified a parcel of real16553
property that it determines is needed for school purposes, the16554
board may, upon a majority vote of the members of the board,16555
acquire that property by exchanging real property that the board16556
owns in its corporate capacity for the identified real property or16557
by using real property that the board owns in its corporate16558
capacity as part or an entire consideration for the purchase price16559
of the identified real property. Any exchange or acquisition made16560
pursuant to this division shall be made by a conveyance executed16561
by the president and the treasurer of the board.16562

       (G)(1) When a school district board of education decides to16563
dispose of real property suitable for use as classroom space,16564
prior to disposing of that property under divisions (A) to (F) of 16565
this section, it shall first offer that property for sale to the 16566
governing authorities of the start-up community schools16567
established under Chapter 3314. of the Revised Code located within 16568
the territory of the school district, at a price that is not 16569
higher than the appraised fair market value of that property. If 16570
more than one community school governing authority accepts the16571
offer made by the school district board, the board shall sell the16572
property to the governing authority that accepted the offer first16573
in time. If no community school governing authority accepts the16574
offer within sixty days after the offer is made by the school16575
district board, the board may dispose of the property in the16576
applicable manner prescribed under divisions (A) to (F) of this16577
section.16578

       (2) When a school district board of education has not used 16579
real propertyat least seventy-five per cent of a building16580
suitable for classroom space for academic instruction, 16581
administration, storage, or any other educational purpose for one 16582
fullat least seventy-five per cent of a school year and has not 16583
adopted a resolution outlining a plan for using at least 16584
seventy-five per cent of that propertybuilding for any of those 16585
purposes withinacademic instruction for at least seventy-five per 16586
cent of the next three school yearsyear, it shall offer that 16587
propertybuilding for sale to the governing authorities of the 16588
start-up community schools established under Chapter 3314. of the 16589
Revised Code located within the territory of the school district, 16590
at a price that is not higher than the appraised fair market value 16591
of that property. If more than one community school governing 16592
authority accepts the offer made by the school district board, the 16593
board shall sell the property to the governing authority that 16594
accepted the offer first in time.16595

       (H) When a school district board of education has property 16596
that the board, by resolution, finds is not needed for school 16597
district use, is obsolete, or is unfit for the use for which it 16598
was acquired, the board may donate that property in accordance 16599
with this division if the fair market value of the property is, in 16600
the opinion of the board, two thousand five hundred dollars or 16601
less.16602

        The property may be donated to an eligible nonprofit 16603
organization that is located in this state and is exempt from 16604
federal income taxation pursuant to 26 U.S.C. 501(a) and (c)(3). 16605
Before donating any property under this division, the board shall 16606
adopt a resolution expressing its intent to make unneeded, 16607
obsolete, or unfit-for-use school district property available to 16608
these organizations. The resolution shall include guidelines and 16609
procedures the board considers to be necessary to implement the 16610
donation program and shall indicate whether the school district 16611
will conduct the donation program or the board will contract with 16612
a representative to conduct it. If a representative is known when 16613
the resolution is adopted, the resolution shall provide contact 16614
information such as the representative's name, address, and 16615
telephone number.16616

       The resolution shall include within its procedures a16617
requirement that any nonprofit organization desiring to obtain16618
donated property under this division shall submit a written notice16619
to the board or its representative. The written notice shall16620
include evidence that the organization is a nonprofit organization 16621
that is located in this state and is exempt from federal income 16622
taxation pursuant to 26 U.S.C. 501(a) and (c)(3); a description of 16623
the organization's primary purpose; a description of the type or 16624
types of property the organization needs; and the name, address, 16625
and telephone number of a person designated by the organization's 16626
governing board to receive donated property and to serve as its 16627
agent.16628

       After adoption of the resolution, the board shall publish, in16629
a newspaper of general circulation in the school district, notice 16630
of its intent to donate unneeded, obsolete, or unfit-for-use 16631
school district property to eligible nonprofit organizations. The 16632
notice shall include a summary of the information provided in the 16633
resolution and shall be published at least twice. The second and 16634
any subsequent notice shall be published not less than ten nor 16635
more than twenty days after the previous notice. A similar notice 16636
also shall be posted continually in the board's office, and, if 16637
the school district maintains a web site on the internet, the 16638
notice shall be posted continually at that web site.16639

       The board or its representatives shall maintain a list of all16640
nonprofit organizations that notify the board or its16641
representative of their desire to obtain donated property under16642
this division and that the board or its representative determines16643
to be eligible, in accordance with the requirements set forth in 16644
this section and in the donation program's guidelines and 16645
procedures, to receive donated property.16646

       The board or its representative also shall maintain a list of16647
all school district property the board finds to be unneeded, 16648
obsolete, or unfit for use and to be available for donation under 16649
this division. The list shall be posted continually in a 16650
conspicuous location in the board's office, and, if the school 16651
district maintains a web site on the internet, the list shall be 16652
posted continually at that web site. An item of property on the 16653
list shall be donated to the eligible nonprofit organization that 16654
first declares to the board or its representative its desire to 16655
obtain the item unless the board previously has established, by 16656
resolution, a list of eligible nonprofit organizations that shall 16657
be given priority with respect to the item's donation. Priority 16658
may be given on the basis that the purposes of a nonprofit 16659
organization have a direct relationship to specific school 16660
district purposes of programs provided or administered by the 16661
board. A resolution giving priority to certain nonprofit 16662
organizations with respect to the donation of an item of property 16663
shall specify the reasons why the organizations are given that 16664
priority.16665

       Members of the board shall consult with the Ohio ethics 16666
commission, and comply with Chapters 102. and 2921. of the Revised 16667
Code, with respect to any donation under this division to a 16668
nonprofit organization of which a board member, any member of a 16669
board member's family, or any business associate of a board member 16670
is a trustee, officer, board member, or employee.16671

       Sec. 3313.603.  (A) As used in this section:16672

       (1) "One unit" means a minimum of one hundred twenty hours of 16673
course instruction, except that for a laboratory course, "one16674
unit" means a minimum of one hundred fifty hours of course16675
instruction.16676

       (2) "One-half unit" means a minimum of sixty hours of course16677
instruction, except that for physical education courses, "one-half16678
unit" means a minimum of one hundred twenty hours of course16679
instruction.16680

       (B) Beginning September 15, 2001, except as required in16681
division (C) of this section and division (C) of section 3313.614 16682
of the Revised Code, the requirements for graduation from every 16683
high school shall include twenty units earned in grades nine 16684
through twelve and shall be distributed as follows:16685

       (1) English language arts, four units;16686

       (2) Health, one-half unit;16687

       (3) Mathematics, three units;16688

       (4) Physical education, one-half unit;16689

       (5) Science, two units until September 15, 2003, and three16690
units thereafter, which at all times shall include both of the16691
following:16692

       (a) Biological sciences, one unit;16693

       (b) Physical sciences, one unit.16694

       (6) Social studies, three units, which shall include both of16695
the following:16696

       (a) American history, one-half unit;16697

       (b) American government, one-half unit.16698

       (7) Elective units, seven units until September 15, 2003, and16699
six units thereafter.16700

       Each student's electives shall include at least one unit, or16701
two half units, chosen from among the areas of16702
business/technology, fine arts, and/or foreign language.16703

       (C) Beginning with students who enter ninth grade for the 16704
first time on or after July 1, 2010, except as provided in 16705
divisions (D) to (F) of this section, the requirements for16706
graduation from every public and chartered nonpublic high school 16707
shall include twenty units that are designed to prepare students 16708
for the workforce and college. The units shall be distributed as 16709
follows:16710

       (1) English language arts, four units;16711

       (2) Health, one-half unit;16712

       (3) Mathematics, four units, which shall include one unit of 16713
algebra II or the equivalent of algebra II;16714

       (4) Physical education, one-half unit;16715

       (5) Science, three units with inquiry-based laboratory 16716
experience that engages students in asking valid scientific 16717
questions and gathering and analyzing information, which shall 16718
include the following, or their equivalent:16719

       (a) Physical sciences, one unit;16720

       (b) BiologyLife sciences, one unit;16721

       (c) Advanced study in one or more of the following sciences, 16722
one unit:16723

       (i) Chemistry, physics, or other physical science;16724

       (ii) Advanced biology or other life science;16725

       (iii) Astronomy, physical geology, or other earth or space 16726
science.16727

       (6) Social studies, three units, which shall include both of16728
the following:16729

       (a) American history, one-half unit;16730

       (b) American government, one-half unit.16731

       Each school shall integrate the study of economics and 16732
financial literacy, as expressed in the social studies academic 16733
content standards adopted by the state board of education under 16734
section 3301.079 of the Revised Code, into one or more existing 16735
social studies credits required under division (C)(6) of this 16736
section, or into the content of another class, so that every high 16737
school student receives instruction in those concepts. In 16738
developing the curriculum required by this paragraph, schools 16739
shall use available public-private partnerships and resources and 16740
materials that exist in business, industry, and through the 16741
centers for economics education at institutions of higher 16742
education in the state.16743

       (7) Five units consisting of one or any combination of 16744
foreign language, fine arts, business, career-technical education, 16745
family and consumer sciences, technology, agricultural education, 16746
or English language arts, mathematics, science, or social studies 16747
courses not otherwise required under division (C) of this section.16748

       Ohioans must be prepared to apply increased knowledge and 16749
skills in the workplace and to adapt their knowledge and skills 16750
quickly to meet the rapidly changing conditions of the 16751
twenty-first century. National studies indicate that all high 16752
school graduates need the same academic foundation, regardless of 16753
the opportunities they pursue after graduation. The goal of Ohio's 16754
system of elementary and secondary education is to prepare all 16755
students for and seamlessly connect all students to success in 16756
life beyond high school graduation, regardless of whether the next 16757
step is entering the workforce, beginning an apprenticeship, 16758
engaging in post-secondary training, serving in the military, or 16759
pursuing a college degree.16760

        The Ohio core curriculum is the standard expectation for all 16761
students entering ninth grade for the first time at a public or 16762
chartered nonpublic high school on or after July 1, 2010. A 16763
student may satisfy this expectation through a variety of methods, 16764
including, but not limited to, integrated, applied, 16765
career-technical, and traditional coursework.16766

       Whereas teacher quality is essential for student success in 16767
completing the Ohio core curriculum, the general assembly shall 16768
appropriate funds for strategic initiatives designed to strengthen 16769
schools' capacities to hire and retain highly qualified teachers 16770
in the subject areas required by the curriculum. Such initiatives 16771
are expected to require an investment of $120,000,000 over five 16772
years.16773

       Stronger coordination between high schools and institutions 16774
of higher education is necessary to prepare students for more 16775
challenging academic endeavors and to lessen the need for academic 16776
remediation in college, thereby reducing the costs of higher 16777
education for Ohio's students, families, and the state. The state 16778
board of education, the Ohio board of regents, and the partnership 16779
for continued learning shall develop policies to ensure that only 16780
in rare instances will students who complete the Ohio core 16781
curriculum require academic remediation after high school.16782

       School districts, community schools, and chartered nonpublic 16783
schools shall integrate technology into learning experiences 16784
whenever practicable across the curriculum in order to maximize 16785
efficiency, enhance learning, and prepare students for success in 16786
the technology-driven twenty-first century. Districts and schools 16787
may use distance and web-based course delivery as a method of 16788
providing or augmenting all instruction required under this 16789
division, including laboratory experience in science. Districts 16790
and schools shall whenever practicable utilize technology access 16791
and electronic learning opportunities provided by the eTech Ohio 16792
commission, the Ohio learning network, education technology 16793
centers, public television stations, and other public and private 16794
providers.16795

       (D) Except as provided in division (E) of this section, a 16796
student who enters ninth grade on or after July 1, 2010, and 16797
before July 1, 2014, may qualify for graduation from a public or 16798
chartered nonpublic high school even though the student has not 16799
completed the Ohio core curriculum prescribed in division (C) of 16800
this section if all of the following conditions are satisfied:16801

       (1) After the student has attended high school for two years, 16802
as determined by the school, the student and the student's parent, 16803
guardian, or custodian sign and file with the school a written 16804
statement asserting the parent's, guardian's, or custodian's 16805
consent to the student's graduating without completing the Ohio 16806
core curriculum and acknowledging that one consequence of not 16807
completing the Ohio core curriculum is ineligibility to enroll in 16808
most state universities in Ohio without further coursework.16809

       (2) The student and parent, guardian, or custodian fulfill 16810
any procedural requirements the school stipulates to ensure the 16811
student's and parent's, guardian's, or custodian's informed 16812
consent and to facilitate orderly filing of statements under 16813
division (D)(1) of this section.16814

       (3) The student and the student's parent, guardian, or 16815
custodian and a representative of the student's high school 16816
jointly develop an individual career plan for the student that 16817
specifies the student matriculating to a two-year degree program, 16818
acquiring a business and industry credential, or entering an 16819
apprenticeship.16820

       (4) The student's high school provides counseling and support 16821
for the student related to the plan developed under division 16822
(D)(3) of this section during the remainder of the student's high 16823
school experience.16824

       (5) The student successfully completes, at a minimum, the 16825
curriculum prescribed in division (B) of this section.16826

       The partnership for continued learning, in collaboration with 16827
the department of education and the Ohio board of regents, shall 16828
analyze student performance data to determine if there are 16829
mitigating factors that warrant extending the exception permitted 16830
by division (D) of this section to high school classes beyond 16831
those entering ninth grade before July 1, 2014. The partnership 16832
shall submit its findings and any recommendations not later than 16833
August 1, 2014, to the speaker and minority leader of the house of 16834
representatives, the president and minority leader of the senate, 16835
the chairpersons and ranking minority members of the standing 16836
committees of the house of representatives and the senate that 16837
consider education legislation, the state board of education, and 16838
the superintendent of public instruction.16839

       (E) Each school district and chartered nonpublic school 16840
retains the authority to require an even more rigorous minimum 16841
curriculum for high school graduation than specified in division 16842
(B) or (C) of this section. A school district board of education, 16843
through the adoption of a resolution, or the governing authority 16844
of a chartered nonpublic school may stipulate any of the 16845
following:16846

        (1) A minimum high school curriculum that requires more than 16847
twenty units of academic credit to graduate;16848

        (2) An exception to the district's or school's minimum high 16849
school curriculum that is comparable to the exception provided in 16850
division (D) of this section but with additional requirements, 16851
which may include a requirement that the student successfully 16852
complete more than the minimum curriculum prescribed in division 16853
(B) of this section;16854

        (3) That no exception comparable to that provided in division 16855
(D) of this section is available.16856

       (F) A student enrolled in a dropout prevention and recovery 16857
program, which program has received a waiver from the department 16858
of education, may qualify for graduation from high school by 16859
successfully completing a competency-based instructional program 16860
administered by the dropout prevention and recovery program in 16861
lieu of completing the Ohio core curriculum prescribed in division 16862
(C) of this section. The department shall grant a waiver to a 16863
dropout prevention and recovery program, within sixty days after 16864
the program applies for the waiver, if the program meets all of 16865
the following conditions:16866

       (1) The program serves only students not younger than sixteen 16867
years of age and not older than twenty-one years of age.16868

       (2) The program enrolls students who, at the time of their 16869
initial enrollment, either, or both, are at least one grade level 16870
behind their cohort age groups or experience crises that 16871
significantly interfere with their academic progress such that 16872
they are prevented from continuing their traditional programs.16873

       (3) The program requires students to attain at least the 16874
applicable score designated for each of the tests prescribed under 16875
division (B) of section 3301.0710 of the Revised Code.16876

       (4) The program develops an individual career plan for the 16877
student that specifies the student's matriculating to a two-year 16878
degree program, acquiring a business and industry credential, or 16879
entering an apprenticeship.16880

       (5) The program provides counseling and support for the 16881
student related to the plan developed under division (F)(4) of 16882
this section during the remainder of the student's high school 16883
experience.16884

       (6) The program requires the student and the student's 16885
parent, guardian, or custodian to sign and file, in accordance 16886
with procedural requirements stipulated by the program, a written 16887
statement asserting the parent's, guardian's, or custodian's 16888
consent to the student's graduating without completing the Ohio 16889
core curriculum and acknowledging that one consequence of not 16890
completing the Ohio core curriculum is ineligibility to enroll in 16891
most state universities in Ohio without further coursework.16892

       (7) Prior to receiving the waiver, the program has submitted 16893
to the department an instructional plan that demonstrates how the 16894
academic content standards adopted by the state board of education 16895
under section 3301.079 of the Revised Code will be taught and 16896
assessed.16897

       If the department does not act either to grant the waiver or 16898
to reject the program application for the waiver within sixty days 16899
as required under this section, the waiver shall be considered to 16900
be granted.16901

       (G) Every high school may permit students below the ninth16902
grade to take advanced work for high school credit. A high school 16903
shall count such advanced work toward the graduation requirements 16904
of division (B) or (C) of this section if the advanced work was 16905
both:16906

       (1) Taught by a person who possesses a license or certificate 16907
issued under section 3301.071, 3319.22, or 3319.222 of the Revised 16908
Code that is valid for teaching high school;16909

       (2) Designated by the board of education of the city, local,16910
or exempted village school district, the board of the cooperative16911
education school district, or the governing authority of the16912
chartered nonpublic school as meeting the high school curriculum16913
requirements.16914

        Each high school shall record on the student's high school 16915
transcript all high school credit awarded under division (G) of 16916
this section. In addition, if the student completed a seventh- or 16917
eighth-grade fine arts course described in division (K) of this 16918
section and the course qualified for high school credit under that 16919
division, the high school shall record that course on the 16920
student's high school transcript.16921

       (H) The department shall make its individual academic career 16922
plan available through its Ohio career information system web site 16923
for districts and schools to use as a tool for communicating with 16924
and providing guidance to students and families in selecting high 16925
school courses.16926

        (I) Units earned in English language arts, mathematics,16927
science, and social studies that are delivered through integrated16928
academic and career-technical instruction are eligible to meet the16929
graduation requirements of division (B) or (C) of this section.16930

       (J) The state board of education, in consultation with the 16931
Ohio board of regents and the partnership for continued learning, 16932
shall adopt a statewide plan implementing methods for students to 16933
earn units of high school credit based on a demonstration of 16934
subject area competency, instead of or in combination with 16935
completing hours of classroom instruction. The state board shall 16936
adopt the plan not later than March 31, 2009, and commence phasing 16937
in the plan during the 2009-2010 school year. The plan shall 16938
include a standard method for recording demonstrated proficiency 16939
on high school transcripts. Each school district, community 16940
school, and chartered nonpublic school shall comply with the state 16941
board's plan adopted under this division and award units of high 16942
school credit in accordance with the plan. The state board may 16943
adopt existing methods for earning high school credit based on a 16944
demonstration of subject area competency as necessary prior to the 16945
2009-2010 school year.16946

       (K) This division does not apply to students who qualify for 16947
graduation from high school under division (D) or (F) of this 16948
section, or to students pursuing a career-technical instructional 16949
track as determined by the school district board of education or 16950
the chartered nonpublic school's governing authority. 16951
Nevertheless, the general assembly encourages such students to 16952
consider enrolling in a fine arts course as an elective.16953

       Beginning with students who enter ninth grade for the first 16954
time on or after July 1, 2010, each student enrolled in a public 16955
or chartered nonpublic high school shall complete two semesters or 16956
the equivalent of fine arts to graduate from high school. The 16957
coursework may be completed in any of grades seven to twelve. Each 16958
student who completes a fine arts course in grade seven or eight 16959
may elect to count that course toward the five units of electives 16960
required for graduation under division (C)(7) of this section, if 16961
the course satisfied the requirements of division (G) of this 16962
section. In that case, the high school shall award the student 16963
high school credit for the course and count the course toward the 16964
five units required under division (C)(7) of this section. If the 16965
course in grade seven or eight did not satisfy the requirements of 16966
division (G) of this section, the high school shall not award the 16967
student high school credit for the course but shall count the 16968
course toward the two semesters or the equivalent of fine arts 16969
required by this division.16970

       (L) Notwithstanding anything to the contrary in this section, 16971
the board of education of each school district and the governing 16972
authority of each chartered nonpublic school may adopt a policy to 16973
excuse from the high school physical education requirement each 16974
student who, during high school, has participated in 16975
interscholastic athletics, marching band, or cheerleading for at 16976
least two full seasons. If the board or authority adopts such a 16977
policy, the board or authority shall not require the student to 16978
complete any physical education course as a condition to graduate. 16979
However, the student shall be required to complete one-half unit, 16980
consisting of at least sixty hours of instruction, in another 16981
course of study.16982

       Sec. 3313.615.  This section shall apply to diplomas awarded16983
after September 15, 2006, to students who are required to take the16984
five Ohio graduation tests prescribed by division (B) of section16985
3301.0710 of the Revised Code.16986

       (A) As an alternative to the requirement that a person attain 16987
the scores designated under division (B) of section 3301.0710 of 16988
the Revised Code on all the tests required under that division in 16989
order to be eligible for a high school diploma or an honors 16990
diploma under sections 3313.61, 3313.612, or 3325.08 of the16991
Revised Code or for a diploma of adult education under section16992
3313.611 of the Revised Code, a person who has attained at least16993
the applicable scores designated under division (B) of section16994
3301.0710 of the Revised Code on all but one of the tests required16995
by that division and from which the person was not excused or16996
exempted, pursuant to division (H) or (L) of section 3313.61,16997
division (B)(1) of section 3313.612, or section 3313.532 of the16998
Revised Code, may be awarded a diploma or honors diploma if the16999
person has satisfied all of the following conditions:17000

       (1) On the one test required under division (B) of section17001
3301.0710 of the Revised Code for which the person failed to17002
attain the designated score, the person missed that score by ten17003
points or less;17004

       (2) Has a ninety-seven per cent school attendance rate in17005
each of the last four school years, excluding any excused17006
absences;17007

       (3) Has not been expelled from school under section 3313.6617008
of the Revised Code in any of the last four school years;17009

       (4) Has a grade point average of at least 2.5 out of 4.0, or17010
its equivalent as designated in rules adopted by the state board17011
of education, in the subject area of the test required under17012
division (B) of section 3301.0710 of the Revised Code for which17013
the person failed to attain the designated score;17014

       (5) Has completed the high school curriculum requirements17015
prescribed in section 3313.603 of the Revised Code or has 17016
qualified under division (D) or (F) of that section;17017

       (6) Has taken advantage of any intervention programs provided 17018
by the school district or school in the subject area described in 17019
division (A)(4) of this section and has a ninety-seven per cent 17020
attendance rate, excluding any excused absences, in any of those 17021
programs that are provided at times beyond the normal school day, 17022
school week, or school year or has received comparable 17023
intervention services from a source other than the school district 17024
or school;17025

       (7) Holds a letter recommending graduation from each of the17026
person's high school teachers in the subject area described in17027
division (A)(4) of this section and from the person's high school17028
principal.17029

       (B) The state board of education shall establish rules17030
designating grade point averages equivalent to the average17031
specified in division (A)(4) of this section for use by school17032
districts and schools with different grading systems.17033

       (C) Any student who is exempt from attaining the applicable 17034
score designated under division (B) of section 3301.0710 of the 17035
Revised Code on the Ohio graduation test in social studies 17036
pursuant to division (H) of section 3313.61 or division (B)(2) of 17037
section 3313.612 of the Revised Code shall not qualify for a high 17038
school diploma under this section, unless, notwithstanding the 17039
exemption, the student attains the applicable score on that test. 17040
If the student attains the applicable score on that test, the 17041
student may qualify for a diploma under this section in the same 17042
manner as any other student who is required to take the five Ohio 17043
graduation tests prescribed by division (B) of section 3301.0710 17044
of the Revised Code.17045

       Sec. 3313.64.  (A) As used in this section and in section17046
3313.65 of the Revised Code:17047

       (1)(a) Except as provided in division (A)(1)(b) of this 17048
section, "parent" means either parent, unless the parents are17049
separated or divorced or their marriage has been dissolved or17050
annulled, in which case "parent" means the parent who is the17051
residential parent and legal custodian of the child. When a child17052
is in the legal custody of a government agency or a person other17053
than the child's natural or adoptive parent, "parent" means the17054
parent with residual parental rights, privileges, and17055
responsibilities. When a child is in the permanent custody of a17056
government agency or a person other than the child's natural or17057
adoptive parent, "parent" means the parent who was divested of17058
parental rights and responsibilities for the care of the child and17059
the right to have the child live with the parent and be the legal17060
custodian of the child and all residual parental rights,17061
privileges, and responsibilities.17062

       (b) When a child is the subject of a power of attorney17063
executed under sections 3109.51 to 3109.62 of the Revised Code,17064
"parent" means the grandparent designated as attorney in fact 17065
under the power of attorney. When a child is the subject of a 17066
caretaker authorization affidavit executed under sections 3109.64 17067
to 3109.73 of the Revised Code, "parent" means the grandparent 17068
that executed the affidavit.17069

       (2) "Legal custody," "permanent custody," and "residual17070
parental rights, privileges, and responsibilities" have the same17071
meanings as in section 2151.011 of the Revised Code.17072

       (3) "School district" or "district" means a city, local, or17073
exempted village school district and excludes any school operated17074
in an institution maintained by the department of youth services.17075

       (4) Except as used in division (C)(2) of this section, "home" 17076
means a home, institution, foster home, group home, or other 17077
residential facility in this state that receives and cares for 17078
children, to which any of the following applies:17079

       (a) The home is licensed, certified, or approved for such17080
purpose by the state or is maintained by the department of youth17081
services.17082

       (b) The home is operated by a person who is licensed,17083
certified, or approved by the state to operate the home for such17084
purpose.17085

       (c) The home accepted the child through a placement by a17086
person licensed, certified, or approved to place a child in such a17087
home by the state.17088

       (d) The home is a children's home created under section17089
5153.21 or 5153.36 of the Revised Code.17090

       (5) "Agency" means all of the following:17091

       (a) A public children services agency;17092

       (b) An organization that holds a certificate issued by the17093
Ohio department of job and family services in accordance with the17094
requirements of section 5103.03 of the Revised Code and assumes17095
temporary or permanent custody of children through commitment,17096
agreement, or surrender, and places children in family homes for17097
the purpose of adoption;17098

       (c) Comparable agencies of other states or countries that17099
have complied with applicable requirements of section 2151.39, or17100
sections 5103.20 to 5103.22 of the Revised Code.17101

       (6) A child is placed for adoption if either of the following 17102
occurs:17103

       (a) An agency to which the child has been permanently17104
committed or surrendered enters into an agreement with a person17105
pursuant to section 5103.16 of the Revised Code for the care and17106
adoption of the child.17107

       (b) The child's natural parent places the child pursuant to17108
section 5103.16 of the Revised Code with a person who will care17109
for and adopt the child.17110

       (7) "Handicapped preschool child" means a handicapped child,17111
as defined by division (A) of section 3323.01 of the Revised Code,17112
who is at least three years of age but is not of compulsory school17113
age, as defined in section 3321.01 of the Revised Code, and who is17114
not currently enrolled in kindergarten.17115

       (8) "Child," unless otherwise indicated, includes handicapped17116
preschool children.17117

       (9) "Active duty" means active duty pursuant to an executive 17118
order of the president of the United States, an act of the 17119
congress of the United States, or section 5919.29 or 5923.21 of 17120
the Revised Code.17121

       (B) Except as otherwise provided in section 3321.01 of the17122
Revised Code for admittance to kindergarten and first grade, a17123
child who is at least five but under twenty-two years of age and17124
any handicapped preschool child shall be admitted to school as17125
provided in this division.17126

       (1) A child shall be admitted to the schools of the school17127
district in which the child's parent resides.17128

       (2) A child who does not reside in the district where the17129
child's parent resides shall be admitted to the schools of the17130
district in which the child resides if any of the following17131
applies:17132

       (a) The child is in the legal or permanent custody of a17133
government agency or a person other than the child's natural or17134
adoptive parent.17135

       (b) The child resides in a home.17136

       (c) The child requires special education.17137

       (3) A child who is not entitled under division (B)(2) of this 17138
section to be admitted to the schools of the district where the 17139
child resides and who is residing with a resident of this state 17140
with whom the child has been placed for adoption shall be admitted17141
to the schools of the district where the child resides unless 17142
either of the following applies:17143

       (a) The placement for adoption has been terminated.17144

       (b) Another school district is required to admit the child17145
under division (B)(1) of this section.17146

       Division (B) of this section does not prohibit the board of17147
education of a school district from placing a handicapped child17148
who resides in the district in a special education program outside17149
of the district or its schools in compliance with Chapter 3323. of17150
the Revised Code.17151

       (C) A district shall not charge tuition for children admitted 17152
under division (B)(1) or (3) of this section. If the district 17153
admits a child under division (B)(2) of this section, tuition 17154
shall be paid to the district that admits the child as follows:17155

       (1) If the child receives special education in accordance17156
with Chapter 3323. of the Revised Code, the school district of 17157
residence, as defined in section 3323.01 of the Revised Code, 17158
shall pay tuition for the child in accordance with section 17159
3323.091, 3323.13, 3323.14, or 3323.141 of the Revised Code 17160
regardless of who has custody of the child or whether the child 17161
resides in a home.17162

       (2) For a child that does not receive special education in 17163
accordance with Chapter 3323. of the Revised Code, except as 17164
otherwise provided in division (C)(2)(d) of this section, if the 17165
child is in the permanent or legal custody of a government agency 17166
or person other than the child's parent, tuition shall be paid by:17167

       (a) The district in which the child's parent resided at the17168
time the court removed the child from home or at the time the17169
court vested legal or permanent custody of the child in the person17170
or government agency, whichever occurred first;17171

       (b) If the parent's residence at the time the court removed17172
the child from home or placed the child in the legal or permanent17173
custody of the person or government agency is unknown, tuition17174
shall be paid by the district in which the child resided at the17175
time the child was removed from home or placed in legal or17176
permanent custody, whichever occurred first;17177

       (c) If a school district cannot be established under division 17178
(C)(2)(a) or (b) of this section, tuition shall be paid by the 17179
district determined as required by section 2151.362 of the Revised 17180
Code by the court at the time it vests custody of the child in the 17181
person or government agency;17182

       (d) If at the time the court removed the child from home or17183
vested legal or permanent custody of the child in the person or17184
government agency, whichever occurred first, one parent was in a17185
residential or correctional facility or a juvenile residential17186
placement and the other parent, if living and not in such a17187
facility or placement, was not known to reside in this state,17188
tuition shall be paid by the district determined under division17189
(D) of section 3313.65 of the Revised Code as the district17190
required to pay any tuition while the parent was in such facility17191
or placement;17192

       (e) If the court has modified its order as to which district17193
department of education has determined, pursuant to division 17194
(A)(2) of section 2151.362 of the Revised Code, that a school 17195
district other than the one named in the court's initial order, or 17196
in a prior determination of the department, is responsible to bear 17197
the cost of educating the child pursuant to division (A)(2) of 17198
section 2151.362 of the Revised Code, the district so determined 17199
toshall be responsible for that cost in the order so modified.17200

       (3) If the child is not in the permanent or legal custody of17201
a government agency or person other than the child's parent and17202
the child resides in a home, tuition shall be paid by one of the17203
following:17204

       (a) The school district in which the child's parent resides;17205

       (b) If the child's parent is not a resident of this state,17206
the home in which the child resides.17207

       (D) Tuition required to be paid under divisions (C)(2) and17208
(3)(a) of this section shall be computed in accordance with17209
section 3317.08 of the Revised Code. Tuition required to be paid17210
under division (C)(3)(b) of this section shall be computed in17211
accordance with section 3317.081 of the Revised Code. If a home17212
fails to pay the tuition required by division (C)(3)(b) of this17213
section, the board of education providing the education may17214
recover in a civil action the tuition and the expenses incurred in17215
prosecuting the action, including court costs and reasonable17216
attorney's fees. If the prosecuting attorney or city director of17217
law represents the board in such action, costs and reasonable17218
attorney's fees awarded by the court, based upon the prosecuting17219
attorney's, director's, or one of their designee's time spent17220
preparing and presenting the case, shall be deposited in the17221
county or city general fund.17222

       (E) A board of education may enroll a child free of any17223
tuition obligation for a period not to exceed sixty days, on the17224
sworn statement of an adult resident of the district that the17225
resident has initiated legal proceedings for custody of the child.17226

       (F) In the case of any individual entitled to attend school17227
under this division, no tuition shall be charged by the school17228
district of attendance and no other school district shall be17229
required to pay tuition for the individual's attendance.17230
Notwithstanding division (B), (C), or (E) of this section:17231

       (1) All persons at least eighteen but under twenty-two years17232
of age who live apart from their parents, support themselves by17233
their own labor, and have not successfully completed the high17234
school curriculum or the individualized education program17235
developed for the person by the high school pursuant to section17236
3323.08 of the Revised Code, are entitled to attend school in the17237
district in which they reside.17238

       (2) Any child under eighteen years of age who is married is17239
entitled to attend school in the child's district of residence.17240

       (3) A child is entitled to attend school in the district in17241
which either of the child's parents is employed if the child has a17242
medical condition that may require emergency medical attention.17243
The parent of a child entitled to attend school under division17244
(F)(3) of this section shall submit to the board of education of17245
the district in which the parent is employed a statement from the17246
child's physician certifying that the child's medical condition17247
may require emergency medical attention. The statement shall be17248
supported by such other evidence as the board may require.17249

       (4) Any child residing with a person other than the child's17250
parent is entitled, for a period not to exceed twelve months, to17251
attend school in the district in which that person resides if the17252
child's parent files an affidavit with the superintendent of the17253
district in which the person with whom the child is living resides17254
stating all of the following:17255

       (a) That the parent is serving outside of the state in the17256
armed services of the United States;17257

       (b) That the parent intends to reside in the district upon17258
returning to this state;17259

       (c) The name and address of the person with whom the child is 17260
living while the parent is outside the state.17261

       (5) Any child under the age of twenty-two years who, after17262
the death of a parent, resides in a school district other than the17263
district in which the child attended school at the time of the17264
parent's death is entitled to continue to attend school in the17265
district in which the child attended school at the time of the17266
parent's death for the remainder of the school year, subject to17267
approval of that district board.17268

       (6) A child under the age of twenty-two years who resides17269
with a parent who is having a new house built in a school district17270
outside the district where the parent is residing is entitled to17271
attend school for a period of time in the district where the new17272
house is being built. In order to be entitled to such attendance,17273
the parent shall provide the district superintendent with the17274
following:17275

       (a) A sworn statement explaining the situation, revealing the 17276
location of the house being built, and stating the parent's17277
intention to reside there upon its completion;17278

       (b) A statement from the builder confirming that a new house17279
is being built for the parent and that the house is at the17280
location indicated in the parent's statement.17281

       (7) A child under the age of twenty-two years residing with a17282
parent who has a contract to purchase a house in a school district 17283
outside the district where the parent is residing and who is 17284
waiting upon the date of closing of the mortgage loan for the17285
purchase of such house is entitled to attend school for a period17286
of time in the district where the house is being purchased. In17287
order to be entitled to such attendance, the parent shall provide17288
the district superintendent with the following:17289

       (a) A sworn statement explaining the situation, revealing the 17290
location of the house being purchased, and stating the parent's 17291
intent to reside there;17292

       (b) A statement from a real estate broker or bank officer17293
confirming that the parent has a contract to purchase the house,17294
that the parent is waiting upon the date of closing of the17295
mortgage loan, and that the house is at the location indicated in17296
the parent's statement.17297

       The district superintendent shall establish a period of time17298
not to exceed ninety days during which the child entitled to17299
attend school under division (F)(6) or (7) of this section may17300
attend without tuition obligation. A student attending a school17301
under division (F)(6) or (7) of this section shall be eligible to17302
participate in interscholastic athletics under the auspices of17303
that school, provided the board of education of the school17304
district where the student's parent resides, by a formal action,17305
releases the student to participate in interscholastic athletics17306
at the school where the student is attending, and provided the17307
student receives any authorization required by a public agency or17308
private organization of which the school district is a member17309
exercising authority over interscholastic sports.17310

       (8) A child whose parent is a full-time employee of a city,17311
local, or exempted village school district, or of an educational17312
service center, may be admitted to the schools of the district17313
where the child's parent is employed, or in the case of a child17314
whose parent is employed by an educational service center, in the17315
district that serves the location where the parent's job is17316
primarily located, provided the district board of education17317
establishes such an admission policy by resolution adopted by a17318
majority of its members. Any such policy shall take effect on the17319
first day of the school year and the effective date of any17320
amendment or repeal may not be prior to the first day of the17321
subsequent school year. The policy shall be uniformly applied to17322
all such children and shall provide for the admission of any such17323
child upon request of the parent. No child may be admitted under17324
this policy after the first day of classes of any school year.17325

       (9) A child who is with the child's parent under the care of17326
a shelter for victims of domestic violence, as defined in section17327
3113.33 of the Revised Code, is entitled to attend school free in17328
the district in which the child is with the child's parent, and no17329
other school district shall be required to pay tuition for the17330
child's attendance in that school district.17331

       The enrollment of a child in a school district under this17332
division shall not be denied due to a delay in the school17333
district's receipt of any records required under section 3313.67217334
of the Revised Code or any other records required for enrollment. 17335
Any days of attendance and any credits earned by a child while17336
enrolled in a school district under this division shall be17337
transferred to and accepted by any school district in which the17338
child subsequently enrolls. The state board of education shall17339
adopt rules to ensure compliance with this division.17340

       (10) Any child under the age of twenty-two years whose parent17341
has moved out of the school district after the commencement of17342
classes in the child's senior year of high school is entitled,17343
subject to the approval of that district board, to attend school17344
in the district in which the child attended school at the time of17345
the parental move for the remainder of the school year and for one17346
additional semester or equivalent term. A district board may also17347
adopt a policy specifying extenuating circumstances under which a17348
student may continue to attend school under division (F)(10) of17349
this section for an additional period of time in order to17350
successfully complete the high school curriculum for the17351
individualized education program developed for the student by the17352
high school pursuant to section 3323.08 of the Revised Code.17353

       (11) As used in this division, "grandparent" means a parent17354
of a parent of a child. A child under the age of twenty-two years17355
who is in the custody of the child's parent, resides with a17356
grandparent, and does not require special education is entitled to17357
attend the schools of the district in which the child's17358
grandparent resides, provided that, prior to such attendance in17359
any school year, the board of education of the school district in17360
which the child's grandparent resides and the board of education17361
of the school district in which the child's parent resides enter17362
into a written agreement specifying that good cause exists for17363
such attendance, describing the nature of this good cause, and17364
consenting to such attendance.17365

       In lieu of a consent form signed by a parent, a board of17366
education may request the grandparent of a child attending school17367
in the district in which the grandparent resides pursuant to17368
division (F)(11) of this section to complete any consent form17369
required by the district, including any authorization required by17370
sections 3313.712, 3313.713, 3313.716, and 3313.718 of the Revised 17371
Code. Upon request, the grandparent shall complete any consent 17372
form required by the district. A school district shall not incur 17373
any liability solely because of its receipt of a consent form from 17374
a grandparent in lieu of a parent.17375

       Division (F)(11) of this section does not create, and shall17376
not be construed as creating, a new cause of action or substantive17377
legal right against a school district, a member of a board of17378
education, or an employee of a school district. This section does17379
not affect, and shall not be construed as affecting, any17380
immunities from defenses to tort liability created or recognized17381
by Chapter 2744. of the Revised Code for a school district,17382
member, or employee.17383

       (12) A child under the age of twenty-two years is entitled to 17384
attend school in a school district other than the district in17385
which the child is entitled to attend school under division (B),17386
(C), or (E) of this section provided that, prior to such17387
attendance in any school year, both of the following occur:17388

       (a) The superintendent of the district in which the child is17389
entitled to attend school under division (B), (C), or (E) of this17390
section contacts the superintendent of another district for17391
purposes of this division;17392

       (b) The superintendents of both districts enter into a17393
written agreement that consents to the attendance and specifies17394
that the purpose of such attendance is to protect the student's17395
physical or mental well-being or to deal with other extenuating17396
circumstances deemed appropriate by the superintendents.17397

       While an agreement is in effect under this division for a17398
student who is not receiving special education under Chapter 3323.17399
of the Revised Code and notwithstanding Chapter 3327. of the17400
Revised Code, the board of education of neither school district17401
involved in the agreement is required to provide transportation17402
for the student to and from the school where the student attends.17403

       A student attending a school of a district pursuant to this17404
division shall be allowed to participate in all student17405
activities, including interscholastic athletics, at the school17406
where the student is attending on the same basis as any student17407
who has always attended the schools of that district while of17408
compulsory school age.17409

       (13) All school districts shall comply with the17410
"McKinney-Vento Homeless Assistance Act," 42 U.S.C.A. 11431 et17411
seq., for the education of homeless children. Each city, local,17412
and exempted village school district shall comply with the17413
requirements of that act governing the provision of a free,17414
appropriate public education, including public preschool, to each17415
homeless child.17416

       When a child loses permanent housing and becomes a homeless17417
person, as defined in 42 U.S.C.A. 11481(5), or when a child who is17418
such a homeless person changes temporary living arrangements, the17419
child's parent or guardian shall have the option of enrolling the17420
child in either of the following:17421

       (a) The child's school of origin, as defined in 42 U.S.C.A.17422
11432(g)(3)(C);17423

       (b) The school that is operated by the school district in17424
which the shelter where the child currently resides is located and17425
that serves the geographic area in which the shelter is located.17426

       (14) A child under the age of twenty-two years who resides 17427
with a person other than the child's parent is entitled to attend 17428
school in the school district in which that person resides if both 17429
of the following apply:17430

       (a) That person has been appointed, through a military power 17431
of attorney executed under section 574(a) of the "National Defense 17432
Authorization Act for Fiscal Year 1994," 107 Stat. 1674 (1993), 10 17433
U.S.C. 1044b, or through a comparable document necessary to 17434
complete a family care plan, as the parent's agent for the care, 17435
custody, and control of the child while the parent is on active 17436
duty as a member of the national guard or a reserve unit of the 17437
armed forces of the United States or because the parent is a 17438
member of the armed forces of the United States and is on a duty 17439
assignment away from the parent's residence.17440

       (b) The military power of attorney or comparable document 17441
includes at least the authority to enroll the child in school.17442

        The entitlement to attend school in the district in which the 17443
parent's agent under the military power of attorney or comparable 17444
document resides applies until the end of the school year in which 17445
the military power of attorney or comparable document expires.17446

       (G) A board of education, after approving admission, may17447
waive tuition for students who will temporarily reside in the17448
district and who are either of the following:17449

       (1) Residents or domiciliaries of a foreign nation who17450
request admission as foreign exchange students;17451

       (2) Residents or domiciliaries of the United States but not17452
of Ohio who request admission as participants in an exchange17453
program operated by a student exchange organization.17454

       (H) Pursuant to sections 3311.211, 3313.90, 3319.01, 3323.04, 17455
3327.04, and 3327.06 of the Revised Code, a child may attend 17456
school or participate in a special education program in a school 17457
district other than in the district where the child is entitled to 17458
attend school under division (B) of this section.17459

       (I)(1) Notwithstanding anything to the contrary in this 17460
section or section 3313.65 of the Revised Code, a child under 17461
twenty-two years of age may attend school in the school district 17462
in which the child, at the end of the first full week of October 17463
of the school year, was entitled to attend school as otherwise 17464
provided under this section or section 3313.65 of the Revised 17465
Code, if at that time the child was enrolled in the schools of the 17466
district but since that time the child or the child's parent has 17467
relocated to a new address located outside of that school district 17468
and within the same county as the child's or parent's address 17469
immediately prior to the relocation. The child may continue to 17470
attend school in the district, and at the school to which the 17471
child was assigned at the end of the first full week of October of 17472
the current school year, for the balance of the school year. 17473
Division (I)(1) of this section applies only if both of the 17474
following conditions are satisfied:17475

       (a) The board of education of the school district in which 17476
the child was entitled to attend school at the end of the first 17477
full week in October and of the district to which the child or 17478
child's parent has relocated each has adopted a policy to enroll 17479
children described in division (I)(1) of this section.17480

       (b) The child's parent provides written notification of the 17481
relocation outside of the school district to the superintendent of 17482
each of the two school districts.17483

       (2) At the beginning of the school year following the school 17484
year in which the child or the child's parent relocated outside of 17485
the school district as described in division (I)(1) of this 17486
section, the child is not entitled to attend school in the school 17487
district under that division.17488

       (3) Any person or entity owing tuition to the school district 17489
on behalf of the child at the end of the first full week in 17490
October, as provided in division (C) of this section, shall 17491
continue to owe such tuition to the district for the child's 17492
attendance under division (I)(1) of this section for the lesser of 17493
the balance of the school year or the balance of the time that the 17494
child attends school in the district under division (I)(1) of this 17495
section.17496

       (4) A pupil who may attend school in the district under 17497
division (I)(1) of this section shall be entitled to 17498
transportation services pursuant to an agreement between the 17499
district and the district in which the child or child's parent has 17500
relocated unless the districts have not entered into such 17501
agreement, in which case the child shall be entitled to 17502
transportation services in the same manner as a pupil attending 17503
school in the district under interdistrict open enrollment as 17504
described in division (H) of section 3313.981 of the Revised Code, 17505
regardless of whether the district has adopted an open enrollment 17506
policy as described in division (B)(1)(b) or (c) of section 17507
3313.98 of the Revised Code.17508

       (J) This division does not apply to a child receiving special 17509
education.17510

       A school district required to pay tuition pursuant to17511
division (C)(2) or (3) of this section or section 3313.65 of the17512
Revised Code shall have an amount deducted under division (F) of17513
section 3317.023 of the Revised Code equal to its own tuition rate17514
for the same period of attendance. A school district entitled to17515
receive tuition pursuant to division (C)(2) or (3) of this section17516
or section 3313.65 of the Revised Code shall have an amount17517
credited under division (F) of section 3317.023 of the Revised17518
Code equal to its own tuition rate for the same period of17519
attendance. If the tuition rate credited to the district of17520
attendance exceeds the rate deducted from the district required to17521
pay tuition, the department of education shall pay the district of17522
attendance the difference from amounts deducted from all17523
districts' payments under division (F) of section 3317.023 of the17524
Revised Code but not credited to other school districts under such17525
division and from appropriations made for such purpose. The17526
treasurer of each school district shall, by the fifteenth day of17527
January and July, furnish the superintendent of public instruction17528
a report of the names of each child who attended the district's17529
schools under divisions (C)(2) and (3) of this section or section17530
3313.65 of the Revised Code during the preceding six calendar17531
months, the duration of the attendance of those children, the17532
school district responsible for tuition on behalf of the child,17533
and any other information that the superintendent requires.17534

       Upon receipt of the report the superintendent, pursuant to17535
division (F) of section 3317.023 of the Revised Code, shall deduct17536
each district's tuition obligations under divisions (C)(2) and (3)17537
of this section or section 3313.65 of the Revised Code and pay to17538
the district of attendance that amount plus any amount required to17539
be paid by the state.17540

       (K) In the event of a disagreement, the superintendent of17541
public instruction shall determine the school district in which17542
the parent resides.17543

       (L) Nothing in this section requires or authorizes, or shall17544
be construed to require or authorize, the admission to a public17545
school in this state of a pupil who has been permanently excluded17546
from public school attendance by the superintendent of public17547
instruction pursuant to sections 3301.121 and 3313.662 of the17548
Revised Code.17549

       (M) In accordance with division (B)(1) of this section, a 17550
child whose parent is a member of the national guard or a reserve 17551
unit of the armed forces of the United States and is called to 17552
active duty, or a child whose parent is a member of the armed 17553
forces of the United States and is ordered to a temporary duty 17554
assignment outside of the district, may continue to attend school 17555
in the district in which the child's parent lived before being 17556
called to active duty or ordered to a temporary duty assignment 17557
outside of the district, as long as the child's parent continues 17558
to be a resident of that district, and regardless of where the 17559
child lives as a result of the parent's active duty status or 17560
temporary duty assignment. However, the district is not 17561
responsible for providing transportation for the child if the 17562
child lives outside of the district as a result of the parent's 17563
active duty status or temporary duty assignment.17564

       Sec. 3313.646.  (A) The board of education of a school17565
district, except a cooperative education district established17566
pursuant to section 3311.521 of the Revised Code, may establish17567
and operate a preschool program except that no such program shall17568
be established after March 17, 1989, unless both of the following17569
apply at the time the program is established:17570

       (1) The, provided the board has demonstrated a need for the 17571
program.17572

       (2) Unless it is a cooperative education district established 17573
pursuant to divisions (A) to (C) of section 3311.52 of the Revised 17574
Code, the school district is eligible for moneys distributed by 17575
the department of education pursuant to section 3317.029 of the 17576
Revised Code. A board may use school funds in support of preschool 17577
programs. The board shall maintain, operate, and admit children to 17578
any such program pursuant to rules adopted by such board and the 17579
rules of the state board of education adopted under sections 17580
3301.52 to 3301.57 of the Revised Code.17581

       A board of education may establish fees or tuition, which may 17582
be graduated in proportion to family income, for participation in 17583
a preschool program. In cases where payment of fees or tuition 17584
would create a hardship for the child's parent or guardian, the 17585
board may waive any such fees or tuition.17586

       (B) No board of education that is not receiving funds under 17587
the "Head Start Act," 95 Stat. 489 (1981), 42 U.S.C.A. 9831, on 17588
March 17, 1989, shall compete for funds under the "Head Start Act" 17589
with any grantee receiving funds under that act.17590

       (C) A board of education may contract with any of the17591
following preschool providers to provide preschool programs, other 17592
than programs for units described by divisions (B) and (C) of17593
section 3317.05 of the Revised Code, for children of the school17594
district:17595

       (1) Any organization receiving funds under the "Head Start17596
Act";17597

       (2) Any nonsectarian eligible nonpublic school as defined in 17598
division (H) of section 3301.52 of the Revised Code;17599

       (3) Any child care provider licensed under Chapter 5104. of 17600
the Revised Code.17601

       Boards may contract to provide preschool programs only with17602
such organizations whose staff meet the requirements of rules17603
adopted under section 3301.53 of the Revised Code or those of the17604
child development associate credential established by the national 17605
association for the education of young children.17606

       (D) A contract entered into under division (C) of this17607
section may provide for the board of education to lease school17608
facilities to the preschool provider or to furnish transportation, 17609
utilities, or staff for the preschool program.17610

       (E) The treasurer of any board of education operating a17611
preschool program pursuant to this section shall keep an account17612
of all funds used to operate the program in the same manner as he17613
the treasurer would any other funds of the district pursuant to 17614
this chapter.17615

       Sec. 3313.66.  (A) Except as provided under division (B)(2)17616
of this section, the superintendent of schools of a city, exempted17617
village, or local school district, or the principal of a public17618
school may suspend a pupil from school for not more than ten17619
school days. The board of education of a city, exempted village,17620
or local school district may adopt a policy granting assistant17621
principals and other administrators the authority to suspend a17622
pupil from school for a period of time as specified in the policy17623
of the board of education, not to exceed ten school days. If at17624
the time a suspension is imposed there are fewer than ten school17625
days remaining in the school year in which the incident that gives17626
rise to the suspension takes place, the superintendent may apply17627
any remaining part or all of the period of the suspension to the17628
following school year. Except in the case of a pupil given an17629
in-school suspension, no pupil shall be suspended unless prior to17630
the suspension such superintendent or principal does both of the17631
following:17632

       (1) Gives the pupil written notice of the intention to17633
suspend the pupil and the reasons for the intended suspension and,17634
if the proposed suspension is based on a violation listed in17635
division (A) of section 3313.662 of the Revised Code and if the17636
pupil is sixteen years of age or older, includes in the notice a17637
statement that the superintendent may seek to permanently exclude17638
the pupil if the pupil is convicted of or adjudicated a delinquent17639
child for that violation;17640

       (2) Provides the pupil an opportunity to appear at an17641
informal hearing before the principal, assistant principal,17642
superintendent, or superintendent's designee and challenge the17643
reason for the intended suspension or otherwise to explain the17644
pupil's actions.17645

       (B)(1) Except as provided under division (B)(2), (3), or (4)17646
of this section, the superintendent of schools of a city, exempted17647
village, or local school district may expel a pupil from school17648
for a period not to exceed the greater of eighty school days or17649
the number of school days remaining in the semester or term in17650
which the incident that gives rise to the expulsion takes place,17651
unless the expulsion is extended pursuant to division (F) of this17652
section. If at the time an expulsion is imposed there are fewer17653
than eighty school days remaining in the school year in which the17654
incident that gives rise to the expulsion takes place, the17655
superintendent may apply any remaining part or all of the period17656
of the expulsion to the following school year.17657

       (2)(a) Unless a pupil is permanently excluded pursuant to17658
section 3313.662 of the Revised Code, the superintendent of17659
schools of a city, exempted village, or local school district17660
shall expel a pupil from school for a period of one year for17661
bringing a firearm to a school operated by the board of education17662
of the district or onto any other property owned or controlled by17663
the board, except that the superintendent may reduce this17664
requirement on a case-by-case basis in accordance with the policy17665
adopted by the board under section 3313.661 of the Revised Code.17666

       (b) The superintendent of schools of a city, exempted17667
village, or local school district may expel a pupil from school17668
for a period of one year for bringing a firearm to an17669
interscholastic competition, an extracurricular event, or any17670
other school program or activity that is not located in a school17671
or on property that is owned or controlled by the district. The17672
superintendent may reduce this disciplinary action on a17673
case-by-case basis in accordance with the policy adopted by the17674
board under section 3313.661 of the Revised Code.17675

       (c) Any expulsion pursuant to division (B)(2) of this section 17676
shall extend, as necessary, into the school year following the 17677
school year in which the incident that gives rise to the expulsion 17678
takes place. As used in this division, "firearm" has the same 17679
meaning as provided pursuant to the "Gun-Free Schools Act of17680
1994," 108115 Stat. 2701762, 20 U.S.C. 8001(a)(2)7151.17681

       (3) The board of education of a city, exempted village, or17682
local school district may adopt a resolution authorizing the17683
superintendent of schools to expel a pupil from school for a17684
period not to exceed one year for bringing a knife to a school17685
operated by the board, onto any other property owned or controlled17686
by the board, or to an interscholastic competition, an17687
extracurricular event, or any other program or activity sponsored17688
by the school district or in which the district is a participant,17689
or for possessing a firearm or knife at a school, on any other17690
property owned or controlled by the board, or at an17691
interscholastic competition, an extracurricular event, or any17692
other school program or activity, which firearm or knife was17693
initially brought onto school board property by another person.17694
The resolution may authorize the superintendent to extend such an17695
expulsion, as necessary, into the school year following the school17696
year in which the incident that gives rise to the expulsion takes17697
place.17698

       (4) The board of education of a city, exempted village, or17699
local school district may adopt a resolution establishing a policy17700
under section 3313.661 of the Revised Code that authorizes the17701
superintendent of schools to expel a pupil from school for a17702
period not to exceed one year for committing an act that is a17703
criminal offense when committed by an adult and that results in17704
serious physical harm to persons as defined in division (A)(5) of17705
section 2901.01 of the Revised Code or serious physical harm to17706
property as defined in division (A)(6) of section 2901.01 of the17707
Revised Code while the pupil is at school, on any other property17708
owned or controlled by the board, or at an interscholastic17709
competition, an extracurricular event, or any other school program17710
or activity. Any expulsion under this division shall extend, as17711
necessary, into the school year following the school year in which17712
the incident that gives rise to the expulsion takes place.17713

       (5) The board of education of any city, exempted village, or17714
local school district may adopt a resolution establishing a policy17715
under section 3313.661 of the Revised Code that authorizes the17716
superintendent of schools to expel a pupil from school for a17717
period not to exceed one year for making a bomb threat to a school17718
building or to any premises at which a school activity is17719
occurring at the time of the threat. Any expulsion under this17720
division shall extend, as necessary, into the school year17721
following the school year in which the incident that gives rise to17722
the expulsion takes place.17723

       (6) No pupil shall be expelled under division (B)(1), (2),17724
(3), (4), or (5) of this section unless, prior to the pupil's17725
expulsion, the superintendent does both of the following:17726

       (a) Gives the pupil and the pupil's parent, guardian, or17727
custodian written notice of the intention to expel the pupil;17728

       (b) Provides the pupil and the pupil's parent, guardian,17729
custodian, or representative an opportunity to appear in person17730
before the superintendent or the superintendent's designee to17731
challenge the reasons for the intended expulsion or otherwise to17732
explain the pupil's actions.17733

       The notice required in this division shall include the17734
reasons for the intended expulsion, notification of the17735
opportunity of the pupil and the pupil's parent, guardian,17736
custodian, or representative to appear before the superintendent17737
or the superintendent's designee to challenge the reasons for the17738
intended expulsion or otherwise to explain the pupil's action, and17739
notification of the time and place to appear. The time to appear17740
shall not be earlier than three nor later than five school days17741
after the notice is given, unless the superintendent grants an17742
extension of time at the request of the pupil or the pupil's17743
parent, guardian, custodian, or representative. If an extension is 17744
granted after giving the original notice, the superintendent shall 17745
notify the pupil and the pupil's parent, guardian, custodian, or17746
representative of the new time and place to appear. If the 17747
proposed expulsion is based on a violation listed in division (A) 17748
of section 3313.662 of the Revised Code and if the pupil is 17749
sixteen years of age or older, the notice shall include a17750
statement that the superintendent may seek to permanently exclude17751
the pupil if the pupil is convicted of or adjudicated a delinquent17752
child for that violation.17753

       (7) A superintendent of schools of a city, exempted village,17754
or local school district shall initiate expulsion proceedings17755
pursuant to this section with respect to any pupil who has17756
committed an act warranting expulsion under the district's policy17757
regarding expulsion even if the pupil has withdrawn from school17758
for any reason after the incident that gives rise to the hearing17759
but prior to the hearing or decision to impose the expulsion. If,17760
following the hearing, the pupil would have been expelled for a17761
period of time had the pupil still been enrolled in the school,17762
the expulsion shall be imposed for the same length of time as on a17763
pupil who has not withdrawn from the school.17764

       (C) If a pupil's presence poses a continuing danger to17765
persons or property or an ongoing threat of disrupting the17766
academic process taking place either within a classroom or17767
elsewhere on the school premises, the superintendent or a17768
principal or assistant principal may remove a pupil from17769
curricular activities or from the school premises, and a teacher17770
may remove a pupil from curricular activities under the teacher's17771
supervision, without the notice and hearing requirements of17772
division (A) or (B) of this section. As soon as practicable after17773
making such a removal, the teacher shall submit in writing to the17774
principal the reasons for such removal.17775

       If a pupil is removed under this division from a curricular17776
activity or from the school premises, written notice of the17777
hearing and of the reason for the removal shall be given to the17778
pupil as soon as practicable prior to the hearing, which shall be17779
held within three school days from the time the initial removal is17780
ordered. The hearing shall be held in accordance with division (A) 17781
of this section unless it is probable that the pupil may be17782
subject to expulsion, in which case a hearing in accordance with17783
division (B) of this section shall be held, except that the17784
hearing shall be held within three school days of the initial17785
removal. The individual who ordered, caused, or requested the17786
removal to be made shall be present at the hearing.17787

       If the superintendent or the principal reinstates a pupil in17788
a curricular activity under the teacher's supervision prior to the17789
hearing following a removal under this division, the teacher, upon17790
request, shall be given in writing the reasons for such17791
reinstatement.17792

       (D) The superintendent or principal, within one school day17793
after the time of a pupil's expulsion or suspension, shall notify17794
in writing the parent, guardian, or custodian of the pupil and the17795
treasurer of the board of education of the expulsion or17796
suspension. The notice shall include the reasons for the expulsion 17797
or suspension, notification of the right of the pupil or the 17798
pupil's parent, guardian, or custodian to appeal the expulsion or 17799
suspension to the board of education or to its designee, to be17800
represented in all appeal proceedings, to be granted a hearing17801
before the board or its designee in order to be heard against the17802
suspension or expulsion, and to request that the hearing be held17803
in executive session, notification that the expulsion may be17804
subject to extension pursuant to division (F) of this section if17805
the pupil is sixteen years of age or older, and notification that17806
the superintendent may seek the pupil's permanent exclusion if the17807
suspension or expulsion was based on a violation listed in17808
division (A) of section 3313.662 of the Revised Code that was17809
committed when the child was sixteen years of age or older and if17810
the pupil is convicted of or adjudicated a delinquent child for17811
that violation.17812

       In accordance with the policy adopted by the board of 17813
education under section 3313.661 of the Revised Code, the notice 17814
provided under this division shall specify the manner and date by 17815
which the pupil or the pupil's parent, guardian, or custodian 17816
shall notify the board of the pupil's, parent's, guardian's, or 17817
custodian's intent to appeal the expulsion or suspension to the 17818
board or its designee.17819

       Any superintendent expelling a pupil under this section for17820
more than twenty school days or for any period of time if the17821
expulsion will extend into the following semester or school year17822
shall, in the notice required under this division, provide the17823
pupil and the pupil's parent, guardian, or custodian with17824
information about services or programs offered by public and17825
private agencies that work toward improving those aspects of the17826
pupil's attitudes and behavior that contributed to the incident17827
that gave rise to the pupil's expulsion. The information shall17828
include the names, addresses, and phone numbers of the appropriate17829
public and private agencies.17830

       (E) A pupil or the pupil's parent, guardian, or custodian may 17831
appeal the pupil's expulsion by a superintendent or suspension by 17832
a superintendent, principal, assistant principal, or other17833
administrator to the board of education or to its designee. If the 17834
pupil or the pupil's parent, guardian, or custodian intends to 17835
appeal the expulsion or suspension to the board or its designee, 17836
the pupil or the pupil's parent, guardian, or custodian shall 17837
notify the board in the manner and by the date specified in the 17838
notice provided under division (D) of this section. The pupil or 17839
the pupil's parent, guardian, or custodian may be represented in17840
all appeal proceedings and shall be granted a hearing before the17841
board or its designee in order to be heard against the suspension17842
or expulsion. At the request of the pupil or of the pupil's17843
parent, guardian, custodian, or attorney, the board or its 17844
designee may hold the hearing in executive session but shall act 17845
upon the suspension or expulsion only at a public meeting. The 17846
board, by a majority vote of its full membership or by the action 17847
of its designee, may affirm the order of suspension or expulsion,17848
reinstate the pupil, or otherwise reverse, vacate, or modify the17849
order of suspension or expulsion.17850

       The board or its designee shall make a verbatim record of17851
hearings held under this division. The decisions of the board or17852
its designee may be appealed under Chapter 2506. of the Revised17853
Code.17854

       This section shall not be construed to require notice and17855
hearing in accordance with division (A), (B), or (C) of this17856
section in the case of normal disciplinary procedures in which a17857
pupil is removed from a curricular activity for a period of less17858
than one school day and is not subject to suspension or expulsion.17859

       (F)(1) If a pupil is expelled pursuant to division (B) of17860
this section for committing any violation listed in division (A)17861
of section 3313.662 of the Revised Code and the pupil was sixteen17862
years of age or older at the time of committing the violation, if17863
a complaint, indictment, or information is filed alleging that the17864
pupil is a delinquent child based upon the commission of the17865
violation or the pupil is prosecuted as an adult for the17866
commission of the violation, and if the resultant juvenile court17867
or criminal proceeding is pending at the time that the expulsion17868
terminates, the superintendent of schools that expelled the pupil17869
may file a motion with the court in which the proceeding is17870
pending requesting an order extending the expulsion for the lesser17871
of an additional eighty days or the number of school days17872
remaining in the school year. Upon the filing of the motion, the17873
court immediately shall schedule a hearing and give written notice17874
of the time, date, and location of the hearing to the17875
superintendent and to the pupil and the pupil's parent, guardian,17876
or custodian. At the hearing, the court shall determine whether17877
there is reasonable cause to believe that the pupil committed the17878
alleged violation that is the basis of the expulsion and, upon17879
determining that reasonable cause to believe the pupil committed17880
the violation does exist, shall grant the requested extension.17881

       (2) If a pupil has been convicted of or adjudicated a17882
delinquent child for a violation listed in division (A) of section17883
3313.662 of the Revised Code for an act that was committed when17884
the child was sixteen years of age or older, if the pupil has been17885
expelled pursuant to division (B) of this section for that17886
violation, and if the board of education of the school district of17887
the school from which the pupil was expelled has adopted a17888
resolution seeking the pupil's permanent exclusion, the17889
superintendent may file a motion with the court that convicted the17890
pupil or adjudicated the pupil a delinquent child requesting an17891
order to extend the expulsion until an adjudication order or other17892
determination regarding permanent exclusion is issued by the17893
superintendent of public instruction pursuant to section 3301.12117894
and division (D) of section 3313.662 of the Revised Code. Upon the 17895
filing of the motion, the court immediately shall schedule a17896
hearing and give written notice of the time, date, and location of17897
the hearing to the superintendent of the school district, the17898
pupil, and the pupil's parent, guardian, or custodian. At the17899
hearing, the court shall determine whether there is reasonable17900
cause to believe the pupil's continued attendance in the public17901
school system may endanger the health and safety of other pupils17902
or school employees and, upon making that determination, shall17903
grant the requested extension.17904

       (G) The failure of the superintendent or the board of17905
education to provide the information regarding the possibility of17906
permanent exclusion in the notice required by divisions (A), (B),17907
and (D) of this section is not jurisdictional, and the failure17908
shall not affect the validity of any suspension or expulsion17909
procedure that is conducted in accordance with this section or the17910
validity of a permanent exclusion procedure that is conducted in17911
accordance with sections 3301.121 and 3313.662 of the Revised17912
Code.17913

       (H) With regard to suspensions and expulsions pursuant to17914
divisions (A) and (B) of this section by the board of education of17915
any city, exempted village, or local school district, this section17916
shall apply to any student, whether or not the student is enrolled17917
in the district, attending or otherwise participating in any17918
curricular program provided in a school operated by the board or17919
provided on any other property owned or controlled by the board.17920

       (I) Whenever a student is expelled under this section, the17921
expulsion shall result in removal of the student from the17922
student's regular school setting. However, during the period of17923
the expulsion, the board of education of the school district that17924
expelled the student or any board of education admitting the17925
student during that expulsion period may provide educational17926
services to the student in an alternative setting.17927

       (J)(1) Notwithstanding sections 3109.51 to 3109.80, 3313.64, 17928
and 3313.65 of the Revised Code, any school district, after 17929
offering an opportunity for a hearing, may temporarily deny17930
admittance to any pupil if one of the following applies:17931

       (a) The pupil has been suspended from the schools of another17932
district under division (A) of this section and the period of17933
suspension, as established under that division, has not expired;17934

       (b) The pupil has been expelled from the schools of another17935
district under division (B) of this section and the period of the17936
expulsion, as established under that division or as extended under17937
division (F) of this section, has not expired.17938

       If a pupil is temporarily denied admission under this17939
division, the pupil shall be admitted to school in accordance with 17940
sections 3109.51 to 3109.80, 3313.64, or 3313.65 of the Revised 17941
Code no later than upon expiration of the suspension or expulsion 17942
period, as applicable.17943

       (2) Notwithstanding sections 3109.51 to 3109.80, 3313.64, and 17944
3313.65 of the Revised Code, any school district, after offering 17945
an opportunity for a hearing, may temporarily deny admittance to 17946
any pupil if the pupil has been expelled or otherwise removed for 17947
disciplinary purposes from a public school in another state and 17948
the period of expulsion or removal has not expired. If a pupil is17949
temporarily denied admission under this division, the pupil shall 17950
be admitted to school in accordance with sections 3109.51 to 17951
3109.80, 3313.64, or 3313.65 of the Revised Code no later than the 17952
earlier of the following:17953

       (a) Upon expiration of the expulsion or removal period17954
imposed by the out-of-state school;17955

       (b) Upon expiration of a period established by the district,17956
beginning with the date of expulsion or removal from the17957
out-of-state school, that is no greater than the period of17958
expulsion that the pupil would have received under the policy17959
adopted by the district under section 3313.661 of the Revised Code17960
had the offense that gave rise to the expulsion or removal by the17961
out-of-state school been committed while the pupil was enrolled in17962
the district.17963

       (K) As used in this section:17964

       (1) "Permanently exclude" and "permanent exclusion" have the17965
same meanings as in section 3313.662 of the Revised Code.17966

       (2) "In-school suspension" means the pupil will serve all of17967
the suspension in a school setting.17968

       Sec. 3313.661.  (A) The board of education of each city,17969
exempted village, and local school district shall adopt a policy17970
regarding suspension, expulsion, removal, and permanent exclusion17971
that specifies the types of misconduct for which a pupil may be17972
suspended, expelled, or removed. The types of misconduct may17973
include misconduct by a pupil that occurs off of property owned or17974
controlled by the district but that is connected to activities or17975
incidents that have occurred on property owned or controlled by17976
that district and misconduct by a pupil that, regardless of where17977
it occurs, is directed at a district official or employee, or the17978
property of such official or employee. The policy shall specify17979
the reasons for which the superintendent of the district may17980
reduce the expulsion requirement in division (B)(2) of section17981
3313.66 of the Revised Code. If a board of education adopts a17982
resolution pursuant to division (B)(3) of section 3313.66 of the17983
Revised Code, the policy shall define the term "knife" or17984
"firearm," as applicable, for purposes of expulsion under that17985
resolution and shall specify any reasons for which the17986
superintendent of the district may reduce any required expulsion17987
period on a case-by-case basis. If a board of education adopts a17988
resolution pursuant to division (B)(4) or (5) of section 3313.6617989
of the Revised Code, the policy shall specify any reasons for17990
which the superintendent of the district may reduce any required17991
expulsion period on a case-by-case basis. The policy also shall17992
set forth the acts listed in section 3313.662 of the Revised Code17993
for which a pupil may be permanently excluded.17994

       The policy adopted under this division shall specify the date 17995
and manner by which a pupil or a pupil's parent, guardian, or 17996
custodian may notify the board of the pupil's, parent's, 17997
guardian's, or custodian's intent to appeal an expulsion or 17998
suspension to the board or its designee pursuant to division (E) 17999
of section 3313.66 of the Revised Code. In the case of any 18000
expulsion, the policy shall not specify a date that is less than 18001
fourteen days after the date of the notice provided to the pupil 18002
or the pupil's parent, guardian, or custodian under division (D) 18003
of that section.18004

       A copy of the policy shall be posted in a central location in18005
the school and made available to pupils upon request. No pupil18006
shall be suspended, expelled, or removed except in accordance with18007
the policy adopted by the board of education of the school18008
district in which the pupil attends school, and no pupil shall be18009
permanently excluded except in accordance with sections 3301.12118010
and 3313.662 of the Revised Code.18011

       (B) A board of education may establish a program and adopt18012
guidelines under which a superintendent may require a pupil to18013
perform community service in conjunction with a suspension or18014
expulsion imposed under section 3313.66 of the Revised Code or in18015
place of a suspension or expulsion imposed under section 3313.6618016
of the Revised Code except for an expulsion imposed pursuant to18017
division (B)(2) of that section. If a board adopts guidelines18018
under this division, they shall permit, except with regard to an18019
expulsion pursuant to division (B)(2) of section 3313.66 of the18020
Revised Code, a superintendent to impose a community service18021
requirement beyond the end of the school year in lieu of applying18022
the suspension or expulsion into the following school year. Any18023
guidelines adopted shall be included in the policy adopted under18024
this section.18025

       (C) The written policy of each board of education that is18026
adopted pursuant to section 3313.20 of the Revised Code shall be18027
posted in a central location in each school that is subject to the18028
policy and shall be made available to pupils upon request.18029

       (D) Any policy, program, or guideline adopted by a board of18030
education under this section with regard to suspensions or18031
expulsions pursuant to division (A) or (B) of section 3313.66 of18032
the Revised Code shall apply to any student, whether or not the18033
student is enrolled in the district, attending or otherwise18034
participating in any curricular program provided in a school18035
operated by the board or provided on any other property owned or18036
controlled by the board.18037

       (E) As used in this section, "permanently exclude" and18038
"permanent exclusion" have the same meanings as in section18039
3313.662 of the Revised Code.18040

       Sec. 3313.98.  Notwithstanding division (D) of section18041
3311.19 and division (D) of section 3311.52 of the Revised Code,18042
the provisions of this section and sections 3313.981 to 3313.98318043
of the Revised Code that apply to a city school district do not18044
apply to a joint vocational or cooperative education school18045
district unless expressly specified.18046

       (A) As used in this section and sections 3313.981 to 3313.983 18047
of the Revised Code:18048

       (1) "Parent" means either of the natural or adoptive parents 18049
of a student, except under the following conditions:18050

       (a) When the marriage of the natural or adoptive parents of 18051
the student has been terminated by a divorce, dissolution of18052
marriage, or annulment or the natural or adoptive parents of the18053
student are living separate and apart under a legal separation18054
decree and the court has issued an order allocating the parental18055
rights and responsibilities with respect to the student, "parent"18056
means the residential parent as designated by the court except18057
that "parent" means either parent when the court issues a shared18058
parenting decree.18059

       (b) When a court has granted temporary or permanent custody 18060
of the student to an individual or agency other than either of the 18061
natural or adoptive parents of the student, "parent" means the 18062
legal custodian of the child.18063

       (c) When a court has appointed a guardian for the student,18064
"parent" means the guardian of the student.18065

       (2) "Native student" means a student entitled under section 18066
3313.64 or 3313.65 of the Revised Code to attend school in a 18067
district adopting a resolution under this section.18068

       (3) "Adjacent district" means a city, exempted village, or 18069
local school district having territory that abuts the territory of 18070
a district adopting a resolution under this section.18071

       (4) "Adjacent district student" means a student entitled18072
under section 3313.64 or 3313.65 of the Revised Code to attend18073
school in an adjacent district.18074

       (5) "Adjacent district joint vocational student" means an 18075
adjacent district student who enrolls in a city, exempted village, 18076
or local school district pursuant to this section and who also 18077
enrolls in a joint vocational school district that does not 18078
contain the territory of the district for which that student is a 18079
native student and does contain the territory of the city,18080
exempted village, or local district in which the student enrolls.18081

       (6) "Formula amount" has the same meaning as in section 18082
3317.02 of the Revised Code.18083

       (7) "Adjusted formula amount" means the greater of the 18084
following:18085

       (a) The fiscal year 2005 formula amount multiplied by the 18086
fiscal year 2005 cost-of-doing-business factor for a district 18087
defined in the version of section 3317.02 of the Revised Code in 18088
effect that year;18089

       (b) The sum of (the current formula amount times the current 18090
cost-of-doing-business factor as defined in section 3317.02 of the 18091
Revised Code) plus the per pupil amount of the base funding 18092
supplements specified in divisions (C)(1) to (4) of section 18093
3317.012 of the Revised Code.18094

       (8) "Poverty line" means the poverty line established by the 18095
director of the United States office of management and budget as 18096
revised by the director of the office of community services in18097
accordance with section 673(2) of the "Community Services Block18098
Grant Act," 95 Stat. 1609, 42 U.S.C.A. 9902, as amended.18099

       (9) "IEP" means an individualized education program defined 18100
by division (E) of section 3323.01 of the Revised Code.18101

       (10) "Other district" means a city, exempted village, or 18102
local school district having territory outside of the territory of 18103
a district adopting a resolution under this section.18104

       (11) "Other district student" means a student entitled under 18105
section 3313.64 or 3313.65 of the Revised Code to attend school in 18106
an other district.18107

       (12) "Other district joint vocational student" means a18108
student who is enrolled in any city, exempted village, or local18109
school district and who also enrolls in a joint vocational school 18110
district that does not contain the territory of the district for 18111
which that student is a native student in accordance with a policy 18112
adopted under section 3313.983 of the Revised Code.18113

       (B)(1) The board of education of each city, local, and18114
exempted village school district shall adopt a resolution18115
establishing for the school district one of the following 18116
policies:18117

       (a) A policy that entirely prohibits the enrollment of 18118
students from adjacent districts or other districts, other than 18119
students for whom tuition is paid in accordance with section 18120
3317.08 of the Revised Code;18121

       (b) A policy that permits enrollment of students from all 18122
adjacent districts in accordance with policy statements contained 18123
in the resolution;18124

       (c) A policy that permits enrollment of students from all 18125
other districts in accordance with policy statements contained in 18126
the resolution.18127

       (2) A policy permitting enrollment of students from adjacent18128
or from other districts, as applicable, shall provide for all of 18129
the following:18130

       (a) Application procedures, including deadlines for18131
application and for notification of students and the18132
superintendent of the applicable district whenever an adjacent or 18133
other district student's application is approved.18134

       (b) Procedures for admitting adjacent or other district 18135
applicants free of any tuition obligation to the district's 18136
schools, including, but not limited to:18137

       (i) The establishment of district capacity limits by grade18138
level, school building, and education program;18139

       (ii) A requirement that all native students wishing to be18140
enrolled in the district will be enrolled and that any adjacent or 18141
other district students previously enrolled in the district shall18142
receive preference over first-time applicants;18143

       (iii) Procedures to ensure that an appropriate racial balance 18144
is maintained in the district schools.18145

       (C) Except as provided in section 3313.982 of the Revised18146
Code, the procedures for admitting adjacent or other district18147
students, as applicable, shall not include:18148

       (1) Any requirement of academic ability, or any level of18149
athletic, artistic, or other extracurricular skills;18150

       (2) Limitations on admitting applicants because of18151
handicapping conditions, except that a board may refuse to admit a 18152
student receiving services under Chapter 3323. of the Revised 18153
Code, if the services described in the student's IEP are not 18154
available in the district's schools;18155

       (3) A requirement that the student be proficient in the18156
English language;18157

       (4) Rejection of any applicant because the student has been 18158
subject to disciplinary proceedings, except that if an applicant 18159
has been suspended or expelled by the student's district for ten 18160
consecutive days or more in the term for which admission is sought 18161
or in the term immediately preceding the term for which admission 18162
is sought, the procedures may include a provision denying 18163
admission of such applicant.18164

       (D)(1) Each school board permitting only enrollment of 18165
adjacent district students shall provide information about the18166
policy adopted under this section, including the application18167
procedures and deadlines, to the superintendent and the board of18168
education of each adjacent district and, upon request, to the18169
parent of any adjacent district student.18170

       (2) Each school board permitting enrollment of other district 18171
students shall provide information about the policy adopted under 18172
this section, including the application procedures and deadlines, 18173
upon request, to the board of education of any other school 18174
district or to the parent of any student anywhere in the state.18175

       (E) Any school board shall accept all credits toward18176
graduation earned in adjacent or other district schools by an18177
adjacent or other district student or a native student.18178

       (F)(1) No board of education may adopt a policy discouraging 18179
or prohibiting its native students from applying to enroll in the 18180
schools of an adjacent or any other district that has adopted a 18181
policy permitting such enrollment, except that:18182

       (a) A district may object to the enrollment of a native18183
student in an adjacent or other district in order to maintain an18184
appropriate racial balance.18185

       (b) The board of education of a district receiving funds18186
under 64 Stat. 1100 (1950), 20 U.S.C.A. 236 et seq., as amended,18187
may adopt a resolution objecting to the enrollment of its native18188
students in adjacent or other districts if at least ten per cent 18189
of its students are included in the determination of the United 18190
States secretary of education made under section 20 U.S.C.A. 18191
238(a).18192

       (2) If a board objects to enrollment of native students under 18193
this division, any adjacent or other district shall refuse to18194
enroll such native students unless tuition is paid for the 18195
students in accordance with section 3317.08 of the Revised Code. 18196
An adjacent or other district enrolling such students may not 18197
receive funding for those students in accordance with section 18198
3313.981 of the Revised Code.18199

       (G) The state board of education shall monitor school18200
districts to ensure compliance with this section and the18201
districts' policies. The board may adopt rules requiring uniform18202
application procedures, deadlines for application, notification18203
procedures, and record-keeping requirements for all school boards18204
that adopt policies permitting the enrollment of adjacent or other18205
district students, as applicable. If the state board adopts such 18206
rules, no school board shall adopt a policy that conflicts with 18207
those rules.18208

       (H) A resolution adopted by a board of education under this 18209
section that entirely prohibits the enrollment of students from 18210
adjacent and from other school districts does not abrogate any18211
agreement entered into under section 3313.841 or 3313.92 of the 18212
Revised Code or any contract entered into under section 3313.90 of 18213
the Revised Code between the board of education adopting the18214
resolution and the board of education of any adjacent or other18215
district or prohibit these boards of education from entering into 18216
any such agreement or contract.18217

       (I) Nothing in this section shall be construed to permit or 18218
require the board of education of a city, exempted village, or18219
local school district to exclude any native student of the18220
district from enrolling in the district.18221

       Sec. 3314.015.  (A) The department of education shall be18222
responsible for the oversight of sponsors of the community schools18223
established under this chapter and shall provide technical18224
assistance to schools and sponsors in their compliance with18225
applicable laws and the terms of the contracts entered into under18226
section 3314.03 of the Revised Code and in the development and18227
start-up activities of those schools. In carrying out its duties18228
under this section, the department shall do all of the following:18229

        (1) In providing technical assistance to proposing parties,18230
governing authorities, and sponsors, conduct training sessions and18231
distribute informational materials;18232

       (2) Approve entities to be sponsors of community schools and18233
monitor the effectiveness of those sponsors in their oversight of18234
the schools with which they have contracted;18235

        (3) By December thirty-first of each year, issue a report to 18236
the governor, the speaker of the house of representatives, the18237
president of the senate, and the chairpersons of the house and18238
senate committees principally responsible for education matters18239
regarding the effectiveness of academic programs, operations, and18240
legal compliance and of the financial condition of all community18241
schools established under this chapter;18242

        (4) From time to time, make legislative recommendations to18243
the general assembly designed to enhance the operation and18244
performance of community schools.18245

        (B)(1) No entity listed in division (C)(1) of section 3314.02 18246
of the Revised Code shall enter into a preliminary agreement under 18247
division (C)(2) of section 3314.02 of the Revised Code until it 18248
has received approval from the department of education to sponsor 18249
community schools under this chapter and has entered into a 18250
written agreement with the department regarding the manner in 18251
which the entity will conduct such sponsorship. The department 18252
shall adopt in accordance with Chapter 119. of the Revised Code 18253
rules containing criteria, procedures, and deadlines for18254
processing applications for such approval, for oversight of18255
sponsors, for revocation of the approval of sponsors, and for18256
entering into written agreements with sponsors. The rules shall18257
require an entity to submit evidence of the entity's ability and18258
willingness to comply with the provisions of division (D) of18259
section 3314.03 of the Revised Code. The rules also shall require 18260
entities approved as sponsors on and after June 30, 2005, to 18261
demonstrate a record of financial responsibility and successful 18262
implementation of educational programs. If an entity seeking 18263
approval on or after June 30, 2005, to sponsor community schools 18264
in this state sponsors or operates schools in another state, at 18265
least one of the schools sponsored or operated by the entity must 18266
be comparable to or better than the performance of Ohio schools in 18267
a state of academic watchneed of continuous improvement under 18268
section 3302.03 of the Revised Code, as determined by the 18269
department.18270

       An entity that sponsors community schools may enter into 18271
preliminary agreements and sponsor schools as follows, provided 18272
each school and the contract for sponsorship meets the 18273
requirements of this chapter:18274

       (a) An entity that sponsored fifty or fewer schools that were 18275
open for operation as of May 1, 2005, may sponsor not more than 18276
fifty schools.18277

       (b) An entity that sponsored more than fifty but not more 18278
than seventy-five schools that were open for operation as of May 18279
1, 2005, may sponsor not more than the number of schools the 18280
entity sponsored that were open for operation as of May 1, 2005.18281

       (c) Until June 30, 2006, an entity that sponsored more than 18282
seventy-five schools that were open for operation as of May 1, 18283
2005, may sponsor not more than the number of schools the entity 18284
sponsored that were open for operation as of May 1, 2005. After 18285
June 30, 2006, such an entity may sponsor not more than 18286
seventy-five schools.18287

        Upon approval of an entity to be a sponsor under this 18288
division, the department shall notify the entity of the number of 18289
schools the entity may sponsor.18290

       The limit imposed on an entity to which division (B)(1) of 18291
this section applies shall be decreased by one for each school 18292
sponsored by the entity that permanently closes.18293

       If at any time an entity exceeds the number of schools it may 18294
sponsor under this division, the department shall assist the 18295
schools in excess of the entity's limit in securing new sponsors. 18296
If a school is unable to secure a new sponsor, the department 18297
shall assume sponsorship of the school in accordance with division 18298
(C) of this section. Those schools for which another sponsor or 18299
the department assumes sponsorship shall be the schools that most 18300
recently entered into contracts with the entity under section 18301
3314.03 of the Revised Code.18302

       (2) The department of education shall determine, pursuant to18303
criteria adopted by rule of the department, whether the mission18304
proposed to be specified in the contract of a community school to18305
be sponsored by a state university board of trustees or the18306
board's designee under division (C)(1)(e) of section 3314.02 of18307
the Revised Code complies with the requirements of that division.18308
Such determination of the department is final.18309

       (3) The department of education shall determine, pursuant to18310
criteria adopted by rule of the department, if any tax-exempt18311
entity under section 501(c)(3) of the Internal Revenue Code that18312
is proposed to be a sponsor of a community school is an18313
education-oriented entity for purpose of satisfying the condition18314
prescribed in division (C)(1)(f)(iii) of section 3314.02 of the18315
Revised Code. Such determination of the department is final.18316

       (C) If at any time the state board of education finds that a18317
sponsor is not in compliance or is no longer willing to comply18318
with its contract with any community school or with the18319
department's rules for sponsorship, the state board or designee18320
shall conduct a hearing in accordance with Chapter 119. of the18321
Revised Code on that matter. If after the hearing, the state board 18322
or designee has confirmed the original finding, the department of 18323
education may revoke the sponsor's approval to sponsor community 18324
schools and may assume the sponsorship of any schools with which 18325
the sponsor has contracted until the earlier of the expiration of 18326
two school years or until a new sponsor as described in division 18327
(C)(1) of section 3314.02 of the Revised Code is secured by the 18328
school's governing authority. The department may extend the term 18329
of the contract in the case of a school for which it has assumed 18330
sponsorship under this division as necessary to accommodate the 18331
term of the department's authorization to sponsor the school 18332
specified in this division.18333

       (D) The decision of the department to disapprove an entity18334
for sponsorship of a community school or to revoke approval for18335
such sponsorship, as provided in division (C) of this section, may18336
be appealed by the entity in accordance with section 119.12 of the18337
Revised Code.18338

       (E) The department shall adopt procedures for use by a 18339
community school governing authority and sponsor when the school 18340
permanently closes and ceases operation, which shall include at 18341
least procedures for data reporting to the department, handling of 18342
student records, distribution of assets in accordance with section 18343
3314.074 of the Revised Code, and other matters related to ceasing 18344
operation of the school.18345

       (F) In carrying out its duties under this chapter, the18346
department shall not impose requirements on community schools or18347
their sponsors that are not permitted by law or duly adopted18348
rules.18349

       Sec. 3314.016.  (A) After June 30, 2007, a new start-up 18350
school may be established under this chapter only if the school's 18351
governing authority enters into a contract with an operator that 18352
manages other schools in the United States that perform at a level 18353
higher than academic watch. The governing authority of the 18354
community school may sign a contract with an operator only if the 18355
operator has fewer contracts with the governing authorities of new 18356
start-up schools established under this chapter after June 30, 18357
2007, than the number of schools managed by the operator in the 18358
United States that perform at a level higher than academic watch, 18359
as determined by the department of education.18360

        (B) Notwithstanding division (A) of this section, the 18361
governing authority of a start-up school sponsored by an entity 18362
described in divisions (C)(1)(b) to (f) of section 3314.02 of the 18363
Revised Code may establish one additional school serving the same 18364
grade levels and providing the same educational program as the 18365
current start-up school and may open that additional school in the 18366
2007-2008 school year, if both of the following conditions are 18367
met:18368

        (1) The governing authority entered into another contract 18369
with the same sponsor or a different sponsor described in 18370
divisions (C)(1)(b) to (f) of section 3314.02 of the Revised Code 18371
and filed a copy of that contract with the superintendent of 18372
public instruction prior to March 15, 2006.18373

        (2) The governing authority's current school satisfies all of 18374
the following conditions:18375

        (a) The school currently is rated as excellent or effective 18376
pursuant to section 3302.03 of the Revised Code.18377

        (b) The school made adequate yearly progress, as defined in 18378
section 3302.01 of the Revised Code, for the previous school year.18379

        (c) The school has been in operation for at least four school 18380
years.18381

        (d) The school is not managed by an operator.18382

       Sec. 3314.02.  (A) As used in this chapter:18383

       (1) "Sponsor" means an entity listed in division (C)(1) of18384
this section, which has been approved by the department of 18385
education to sponsor community schools and with which the18386
governing authority of the proposed community school enters into a18387
contract pursuant to this section.18388

       (2) "Pilot project area" means the school districts included18389
in the territory of the former community school pilot project18390
established by former Section 50.52 of Am. Sub. H.B. No. 215 of18391
the 122nd general assembly.18392

       (3) "Challenged school district" means any of the following:18393

       (a) A school district that is part of the pilot project area;18394

       (b) A school district that is either in a state of academic18395
emergency or in a state of academic watch under section 3302.03 of18396
the Revised Code;18397

       (c) A big eight school district.18398

       (4) "Big eight school district" means a school district that18399
for fiscal year 1997 had both of the following:18400

       (a) A percentage of children residing in the district and18401
participating in the predecessor of Ohio works first greater than18402
thirty per cent, as reported pursuant to section 3317.10 of the18403
Revised Code;18404

       (b) An average daily membership greater than twelve thousand, 18405
as reported pursuant to former division (A) of section 3317.03 of 18406
the Revised Code.18407

       (5) "New start-up school" means a community school other than18408
one created by converting all or part of an existing public18409
school, as designated in the school's contract pursuant to18410
division (A)(17) of section 3314.03 of the Revised Code.18411

       (6) "Urban school district" means one of the state's18412
twenty-one urban school districts as defined in division (O) of18413
section 3317.02 of the Revised Code as that section existed prior18414
to July 1, 1998.18415

       (7) "Internet- or computer-based community school" means a18416
community school established under this chapter in which the18417
enrolled students work primarily from their residences on18418
assignments in nonclassroom-based learning opportunities provided 18419
via an internet- or other computer-based instructional method that 18420
does not rely on regular classroom instruction or via 18421
comprehensive instructional methods that include internet-based, 18422
other computer-based, and noncomputer-based learning 18423
opportunities.18424

       (B) Any person or group of individuals may initially propose18425
under this division the conversion of all or a portion of a public18426
school to a community school. The proposal shall be made to the18427
board of education of the city, local, or exempted village school18428
district in which the public school is proposed to be converted.18429
Upon receipt of a proposal, a board may enter into a preliminary18430
agreement with the person or group proposing the conversion of the18431
public school, indicating the intention of the board of education18432
to support the conversion to a community school. A proposing18433
person or group that has a preliminary agreement under this18434
division may proceed to finalize plans for the school, establish a18435
governing authority for the school, and negotiate a contract with18436
the board of education. Provided the proposing person or group18437
adheres to the preliminary agreement and all provisions of this18438
chapter, the board of education shall negotiate in good faith to18439
enter into a contract in accordance with section 3314.03 of the18440
Revised Code and division (C) of this section.18441

       (C)(1) Any person or group of individuals may propose under18442
this division the establishment of a new start-up school to be18443
located in a challenged school district. The proposal may be made18444
to any of the following entities:18445

       (a) The board of education of the district in which the18446
school is proposed to be located;18447

       (b) The board of education of any joint vocational school18448
district with territory in the county in which is located the18449
majority of the territory of the district in which the school is18450
proposed to be located;18451

       (c) The board of education of any other city, local, or18452
exempted village school district having territory in the same18453
county where the district in which the school is proposed to be18454
located has the major portion of its territory;18455

       (d) The governing board of any educational service center, as 18456
long as the proposed school will be located in a county within the 18457
territory of the service center or in a county contiguous to such 18458
county;18459

        (e) A sponsoring authority designated by the board of18460
trustees of any of the thirteen state universities listed in 18461
section 3345.011 of the Revised Code or the board of trustees 18462
itself as long as a mission of the proposed school to be specified 18463
in the contract under division (A)(2) of section 3314.03 of the 18464
Revised Code and as approved by the department of education under 18465
division (B)(2) of section 3314.015 of the Revised Code will be 18466
the practical demonstration of teaching methods, educational18467
technology, or other teaching practices that are included in the18468
curriculum of the university's teacher preparation program18469
approved by the state board of education;18470

        (f) Any qualified tax-exempt entity under section 501(c)(3) 18471
of the Internal Revenue Code as long as all of the following 18472
conditions are satisfied:18473

        (i) The entity has been in operation for at least five years 18474
prior to applying to be a community school sponsor.18475

        (ii) The entity has assets of at least five hundred thousand 18476
dollars and a demonstrated record of financial responsibility.18477

        (iii) The department of education has determined that the18478
entity is an education-oriented entity under division (B)(3) of18479
section 3314.015 of the Revised Code and the entity has a 18480
demonstrated record of successful implementation of educational 18481
programs.18482

       (iv) The entity is not a community school.18483

        Any entity described in division (C)(1) of this section may 18484
enter into a preliminary agreement pursuant to division (C)(2) of 18485
this section with the proposing person or group.18486

       (2) A preliminary agreement indicates the intention of an 18487
entity described in division (C)(1) of this section to sponsor the 18488
community school. A proposing person or group that has such a 18489
preliminary agreement may proceed to finalize plans for the 18490
school, establish a governing authority as described in division 18491
(E) of this section for the school, and negotiate a contract with 18492
the entity. Provided the proposing person or group adheres to the18493
preliminary agreement and all provisions of this chapter, the 18494
entity shall negotiate in good faith to enter into a contract in 18495
accordance with section 3314.03 of the Revised Code.18496

       (3) A new start-up school that is established in a school18497
district while that district is either in a state of academic18498
emergency or in a state of academic watch under section 3302.03 of18499
the Revised Code may continue in existence once the school18500
district is no longer in a state of academic emergency or academic18501
watch, provided there is a valid contract between the school and a18502
sponsor.18503

       (4) A copy of every preliminary agreement entered into under18504
this division shall be filed with the superintendent of public18505
instruction.18506

       (D) A majority vote of the board of a sponsoring entity and a18507
majority vote of the members of the governing authority of a18508
community school shall be required to adopt a contract and convert18509
the public school to a community school or establish the new18510
start-up school. Beginning September 29, 2005, adoption of the 18511
contract shall occur not later than the fifteenth day of March, 18512
and signing of the contract shall occur not later than the 18513
fifteenth day of May, prior to the school year in which the school 18514
will open. The governing authority shall notify the department of 18515
education when the contract has been signed. Subject to sections 18516
3314.013 and, 3314.014, and 3314.016 of the Revised Code, an 18517
unlimited number of community schools may be established in any 18518
school district provided that a contract is entered into for each 18519
community school pursuant to this chapter.18520

       (E)(1) As used in this division, "immediate relatives" are18521
limited to spouses, children, parents, grandparents, siblings, and18522
in-laws.18523

        Each new start-up community school established under this18524
chapter shall be under the direction of a governing authority18525
which shall consist of a board of not less than five individuals .18526

        No person shall serve on the governing authority or operate 18527
the community school under contract with the governing authority 18528
so long as the person owes the state any money or is in a dispute 18529
over whether the person owes the state any money concerning the 18530
operation of a community school that has closed.18531

       (2) No person shall serve on the governing authorities of 18532
more than two start-up community schools at the same time.18533

       (3) No present or former member, or immediate relative of a 18534
present or former member, of the governing authority of any 18535
community school established under this chapter shall be an owner, 18536
employee, or consultant of any nonprofit or for-profit operator of 18537
a community school, as defined in section 3314.014 of the Revised 18538
Code, unless at least one year has elapsed since the conclusion of 18539
the person's membership.18540

       (F) Nothing in this chapter shall be construed to permit the18541
establishment of a community school in more than one school18542
district under the same contract.18543

       (G)(1) A new start-up school that is established prior to 18544
August 15, 2003, in an urban school district that is not also a 18545
big-eight school district may continue to operate after that date 18546
and the contract between the school's governing authority and the 18547
school's sponsor may be renewed, as provided under this chapter, 18548
after that date, but no additional new start-up schools may be 18549
established in such a district unless the district is a challenged 18550
school district as defined in this section as it exists on and 18551
after that date.18552

       (2) A community school that was established prior to June 29, 18553
1999, and is located in a county contiguous to the pilot project 18554
area and in a school district that is not a challenged school 18555
district may continue to operate after that date, provided the 18556
school complies with all provisions of this chapter. The contract 18557
between the school's governing authority and the school's sponsor 18558
may be renewed, but no additional start-up community school may be 18559
established in that district unless the district is a challenged 18560
school district.18561

       (3) Any educational service center that, on the effective 18562
date of this amendment, sponsors a community school that is not 18563
located in a county within the territory of the service center or 18564
in a county contiguous to such county may continue to sponsor that 18565
community school on and after the effective date of this amendment 18566
and may renew its contract with the school. However, the 18567
educational service center shall not enter into a contract with 18568
any additional community school unless the school is located in a 18569
county within the territory of the service center or in a county 18570
contiguous to such county.18571

       Sec. 3314.074. Divisions (A) and (B) of this section apply18572
only to the extent permitted under Chapter 1702. of the Revised18573
Code.18574

       (A) If any community school established under this chapter18575
permanently closes and ceases its operation as a community school,18576
the assets of that school shall be distributed first to the18577
retirement funds of employees of the school, employees of the18578
school, and private creditors who are owed compensation, and then18579
any remaining funds shall be paid to the state treasury to the18580
credit of the general revenue funddepartment of education for 18581
redistribution to the school districts in which the students who 18582
were enrolled in the school at the time it ceased operation were 18583
entitled to attend school under section 3313.64 or 3313.65 of the 18584
Revised Code. The amount distributed to each school district shall 18585
be proportional to the district's share of the total enrollment in 18586
the community school.18587

       (B) If a community school closes and ceases to operate as a18588
community school and the school has received computer hardware or18589
software from the former Ohio SchoolNet commission or the eTech 18590
Ohio commission, such hardware or software shall be returned to 18591
the eTech Ohio commission, and the eTech Ohio commission shall 18592
redistribute the hardware and software, to the extent such18593
redistribution is possible, to school districts in conformance18594
with the provisions of the programs operated and administered by18595
the eTech Ohio commission.18596

       (C) If the assets of the school are insufficient to pay all18597
persons or entities to whom compensation is owed, the18598
prioritization of the distribution of the assets to individual18599
persons or entities within each class of payees may be determined18600
by decree of a court in accordance with this section and Chapter18601
1702. of the Revised Code.18602

       Sec. 3314.08.  (A) As used in this section:18603

       (1) "Base formula amount" means the amount specified as such18604
in a community school's financial plan for a school year pursuant18605
to division (A)(15) of section 3314.03 of the Revised Code.18606

       (2) "Cost-of-doing-business factor" has the same meaning as18607
in section 3317.02 of the Revised Code.18608

       (3) "IEP" means an individualized education program as18609
defined in section 3323.01 of the Revised Code.18610

       (4)(3) "Applicable special education weight" means the18611
multiple specified in section 3317.013 of the Revised Code for a 18612
handicap described in that section.18613

       (5)(4) "Applicable vocational education weight" means:18614

       (a) For a student enrolled in vocational education programs18615
or classes described in division (A) of section 3317.014 of the18616
Revised Code, the multiple specified in that division;18617

       (b) For a student enrolled in vocational education programs18618
or classes described in division (B) of section 3317.014 of the18619
Revised Code, the multiple specified in that division.18620

       (6)(5) "Entitled to attend school" means entitled to attend18621
school in a district under section 3313.64 or 3313.65 of the18622
Revised Code.18623

       (7)(6) A community school student is "included in the 18624
poverty student count" of a school district if the student is 18625
entitled to attend school in the district and the student's family 18626
receives assistance under the Ohio works first program.18627

       (8)(7) "Poverty-based assistance reduction factor" means the18628
percentage figure, if any, for reducing the per pupil amount of 18629
poverty-based assistance a community school is entitled to receive 18630
pursuant to divisions (D)(5) and (6)to (9) of this section in any 18631
year, as specified in the school's financial plan for the year 18632
pursuant to division (A)(15) of section 3314.03 of the Revised 18633
Code.18634

       (9)(8) "All-day kindergarten" has the same meaning as in18635
section 3317.029 of the Revised Code.18636

       (10) "SF-3 payment" means the sum of the payments to a school 18637
district in a fiscal year under divisions (A), (C)(1), (C)(4), 18638
(D), (E), and (F) of section 3317.022, divisions (G), (L), and (N) 18639
of section 3317.024, and sections 3317.029, 3317.0216, 3317.0217, 18640
3317.04, 3317.05, 3317.052, and 3317.053 of the Revised Code after 18641
making the adjustments required by sections 3313.981 and 3313.979, 18642
divisions (B), (C), (D), (E), (K), (L), (M), (N), and (O) of 18643
section 3317.023, and division (C) of section 3317.20(9) "State 18644
education aid" has the same meaning as in section 5751.20 of the 18645
Revised Code.18646

       (B) The state board of education shall adopt rules requiring18647
both of the following:18648

       (1) The board of education of each city, exempted village,18649
and local school district to annually report the number of18650
students entitled to attend school in the district who are18651
enrolled in grades one through twelve in a community school18652
established under this chapter, the number of students entitled to18653
attend school in the district who are enrolled in kindergarten in18654
a community school, the number of those kindergartners who are18655
enrolled in all-day kindergarten in their community school, and18656
for each child, the community school in which the child is18657
enrolled.18658

       (2) The governing authority of each community school18659
established under this chapter to annually report all of the18660
following:18661

       (a) The number of students enrolled in grades one through18662
twelve and the number of students enrolled in kindergarten in the18663
school who are not receiving special education and related18664
services pursuant to an IEP;18665

       (b) The number of enrolled students in grades one through18666
twelve and the number of enrolled students in kindergarten, who18667
are receiving special education and related services pursuant to18668
an IEP;18669

       (c) The number of students reported under division (B)(2)(b)18670
of this section receiving special education and related services18671
pursuant to an IEP for a handicap described in each of divisions18672
(A) to (F) of section 3317.013 of the Revised Code;18673

       (d) The full-time equivalent number of students reported18674
under divisions (B)(2)(a) and (b) of this section who are enrolled18675
in vocational education programs or classes described in each of18676
divisions (A) and (B) of section 3317.014 of the Revised Code that18677
are provided by the community school;18678

       (e) Twenty per cent of the number of students reported under18679
divisions (B)(2)(a) and (b) of this section who are not reported18680
under division (B)(2)(d) of this section but who are enrolled in18681
vocational education programs or classes described in each of18682
divisions (A) and (B) of section 3317.014 of the Revised Code at a18683
joint vocational school district under a contract between the18684
community school and the joint vocational school district and are18685
entitled to attend school in a city, local, or exempted village18686
school district whose territory is part of the territory of the18687
joint vocational district;18688

       (f) The number of enrolled preschool handicapped students18689
receiving special education services in a state-funded unit;18690

       (g) The community school's base formula amount;18691

       (h) For each student, the city, exempted village, or local18692
school district in which the student is entitled to attend school;18693

       (i) Any poverty-based assistance reduction factor that 18694
applies to a school year.18695

       (C) From the SF-3 payment made tostate education aid 18696
calculated for a city, exempted village, or local school district 18697
and, if necessary, from the payment made to the district under18698
sections 321.24 and 323.156 of the Revised Code, the department of 18699
education shall annually subtract the sum of the amounts described 18700
in divisions (C)(1) to (9) of this section. However, when 18701
deducting payments on behalf of students enrolled in internet- or 18702
computer-based community schools, the department shall deduct only 18703
those amounts described in divisions (C)(1) and (2) of this 18704
section. Furthermore, the aggregate amount deducted under this 18705
division shall not exceed the sum of the district's SF-3 payment18706
state education aid and its payment under sections 321.24 and 18707
323.156 of the Revised Code.18708

       (1) An amount equal to the sum of the amounts obtained when,18709
for each community school where the district's students are18710
enrolled, the number of the district's students reported under18711
divisions (B)(2)(a), (b), and (e) of this section who are enrolled 18712
in grades one through twelve, and one-half the number of students18713
reported under those divisions who are enrolled in kindergarten,18714
in that community school is multiplied by the greater of the 18715
following:18716

       (a) The fiscal year 2005 base formula amount of that 18717
community school as adjusted by the school district's fiscal year 18718
2005 cost-of-doing-business factor;18719

       (b) The sum of (the current base formula amount of that 18720
community school times the school district's current 18721
cost-of-doing-business factor) plus the per pupil amount of the 18722
base funding supplements specified in divisions (C)(1) to (4) of 18723
section 3317.012 of the Revised Code.18724

       (2) The sum of the amounts calculated under divisions18725
(C)(2)(a) and (b) of this section:18726

       (a) For each of the district's students reported under18727
division (B)(2)(c) of this section as enrolled in a community18728
school in grades one through twelve and receiving special18729
education and related services pursuant to an IEP for a handicap18730
described in section 3317.013 of the Revised Code, the product of18731
the applicable special education weight times the community18732
school's base formula amount;18733

       (b) For each of the district's students reported under18734
division (B)(2)(c) of this section as enrolled in kindergarten in18735
a community school and receiving special education and related18736
services pursuant to an IEP for a handicap described in section18737
3317.013 of the Revised Code, one-half of the amount calculated as18738
prescribed in division (C)(2)(a) of this section.18739

       (3) For each of the district's students reported under18740
division (B)(2)(d) of this section for whom payment is made under18741
division (D)(4) of this section, the amount of that payment;18742

       (4) An amount equal to the sum of the amounts obtained when,18743
for each community school where the district's students are18744
enrolled, the number of the district's students enrolled in that18745
community school who are included in the district's poverty 18746
student count is multiplied by the per pupil amount of 18747
poverty-based assistance the school district receives that year 18748
pursuant to division (B) or (C) of section 3317.029 of the Revised18749
Code, as adjusted by any poverty-based assistance reduction factor 18750
of that community school. If the district receives poverty-based 18751
assistance under division (B) of that section, the per pupil18752
amount of that aid is the quotient of the amount the district18753
received under that division divided by the district's poverty 18754
student count, as defined in that section. If the district 18755
receives poverty-based assistance under division (C) of section18756
3317.029 of the Revised Code, theThe per pupil amount of that aid 18757
for the district shall be calculated by the department.18758

       (5) An amount equal to the sum of the amounts obtained when,18759
for each community school where the district's students are18760
enrolled, the district's per pupil amount of aid received under18761
division (E) of section 3317.029 of the Revised Code, as adjusted18762
by any poverty-based assistance reduction factor of the community 18763
school, is multiplied by the sum of the following:18764

       (a) The number of the district's students reported under18765
division (B)(2)(a) of this section who are enrolled in grades one18766
to three in that community school and who are not receiving18767
special education and related services pursuant to an IEP;18768

       (b) One-half of the district's students who are enrolled in18769
all-day or any other kindergarten class in that community school18770
and who are not receiving special education and related services18771
pursuant to an IEP;18772

       (c) One-half of the district's students who are enrolled in18773
all-day kindergarten in that community school and who are not18774
receiving special education and related services pursuant to an18775
IEP.18776

       The district's per pupil amount of aid under division (E) of18777
section 3317.029 of the Revised Code is the quotient of the amount18778
the district received under that division divided by the18779
district's kindergarten through third grade ADM, as defined in18780
that section.18781

       (6) An amount equal to the sum of the amounts obtained when, 18782
for each community school where the district's students are 18783
enrolled, the district's per pupil amount received under division 18784
(F) of section 3317.029 of the Revised Code, as adjusted by any 18785
poverty-based assistance reduction factor of that community 18786
school, is multiplied by the number of the district's students 18787
enrolled in the community school who are identified as 18788
limited-English proficient.18789

       (7) An amount equal to the sum of the amounts obtained when, 18790
for each community school where the district's students are 18791
enrolled, the district's per pupil amount received under division 18792
(G) of section 3317.029 of the Revised Code, as adjusted by any 18793
poverty-based assistance reduction factor of that community 18794
school, is multiplied by the sum of the following:18795

       (a) The number of the district's students enrolled in grades 18796
one through twelve in that community school;18797

       (b) One-half of the number of the district's students 18798
enrolled in kindergarten in that community school.18799

       The district's per pupil amount under division (G) of section 18800
3317.029 of the Revised Code is the district's amount per teacher 18801
calculated under division (G)(1) or (2) of that section divided by 18802
17, times a multiple of 0.40 in fiscal year 2006 and 0.70 in 18803
fiscal year 2007.18804

       (8) An amount equal to the sum of the amounts obtained when, 18805
for each community school where the district's students are 18806
enrolled, the district's per pupil amount received under divisions 18807
(H) and (I) of section 3317.029 of the Revised Code, as adjusted 18808
by any poverty-based assistance reduction factor of that community 18809
school, is multiplied by the sum of the following:18810

       (a) The number of the district's students enrolled in grades 18811
one through twelve in that community school;18812

       (b) One-half of the number of the district's students 18813
enrolled in kindergarten in that community school.18814

       The district's per pupil amount under divisions (H) and (I) 18815
of section 3317.029 of the Revised Code is the amount calculated 18816
under each division divided by the district's formula ADM, as 18817
defined in section 3317.02 of the Revised Code.18818

       (9) An amount equal to the per pupil state parity aid funding 18819
calculated for the school district under either division (C) or 18820
(D) of section 3317.0217 of the Revised Code multiplied by the sum 18821
of the number of students in grades one through twelve, and 18822
one-half of the number of students in kindergarten, who are 18823
entitled to attend school in the district and are enrolled in a 18824
community school as reported under division (B)(1) of this 18825
section.18826

       (D) The department shall annually pay to a community school18827
established under this chapter the sum of the amounts described in 18828
divisions (D)(1) to (10) of this section. However, the department 18829
shall calculate and pay to each internet- or computer-based 18830
community school only the amounts described in divisions (D)(1) to 18831
(3) of this section. Furthermore, the sum of the payments to all 18832
community schools under divisions (D)(1), (2), and (4) to (10) of 18833
this section for the students entitled to attend school in any 18834
particular school district shall not exceed the sum of that 18835
district's SF-3 paymentstate education aid and its payment under 18836
sections 321.24 and 323.156 of the Revised Code. If the sum of the 18837
payments calculated under those divisions for the students 18838
entitled to attend school in a particular school district exceeds 18839
the sum of that district's SF-3 paymentstate education aid and 18840
its payment under sections 321.24 and 323.156 of the Revised Code, 18841
the department shall calculate and apply a proration factor to the 18842
payments to all community schools under those divisions for the 18843
students entitled to attend school in that district.18844

       (1) Subject to section 3314.085 of the Revised Code, an 18845
amount equal to the sum of the amounts obtained when the number of 18846
students enrolled in grades one through twelve, plus one-half of 18847
the kindergarten students in the school, reported under divisions 18848
(B)(2)(a), (b), and (e) of this section who are not receiving 18849
special education and related services pursuant to an IEP for a 18850
handicap described in section 3317.013 of the Revised Code is18851
multiplied by the greater of the following:18852

       (a) The community school's fiscal year 2005 base formula18853
amount, as adjusted by the fiscal year 2005 cost-of-doing-business 18854
factor of the school district in which the student is entitled to 18855
attend school;18856

       (b) The sum of (the community school's current base formula 18857
amount times the current cost-of-doing-business factor of the 18858
school district in which the student is entitled to attend school)18859
plus the per pupil amount of the base funding supplements 18860
specified in divisions (C)(1) to (4) of section 3317.012 of the 18861
Revised Code.18862

       (2) Prior to fiscal year 2007, the greater of the amount 18863
calculated under division (D)(2)(a) or (b) of this section, and in 18864
fiscal year 2007 and thereafter, the amount calculated under 18865
division (D)(2)(b) of this section:18866

       (a) The aggregate amount that the department paid to the18867
community school in fiscal year 1999 for students receiving18868
special education and related services pursuant to IEPs, excluding18869
federal funds and state disadvantaged pupil impact aid funds;18870

       (b) The sum of the amounts calculated under divisions18871
(D)(2)(b)(i) and (ii) of this section:18872

       (i) For each student reported under division (B)(2)(c) of18873
this section as enrolled in the school in grades one through18874
twelve and receiving special education and related services18875
pursuant to an IEP for a handicap described in section 3317.013 of 18876
the Revised Code, the following amount:18877

the greater of (the community school's fiscal year 2005
18878

base formula amount X the fiscal year 2005
18879

cost-of-doing-business factor of the district
18880

where the student is entitled to attend school)
18881

or [
(the school's
current
base formula amount
times
18882

the current cost-of-doing-business factor of the school district
18883

where the student is entitled to attend school)
plus
18884

the per pupil amount of the base funding supplements specified in
18885

divisions (C)(1) to (4) of section 3317.012 of the Revised Code
]
)
18886

+ (the applicable special education weight X the
18887

community school's base formula amount);
18888

       (ii) For each student reported under division (B)(2)(c) of18889
this section as enrolled in kindergarten and receiving special18890
education and related services pursuant to an IEP for a handicap18891
described in section 3317.013 of the Revised Code, one-half of the18892
amount calculated under the formula prescribed in division18893
(D)(2)(b)(i) of this section.18894

       (3) An amount received from federal funds to provide special18895
education and related services to students in the community18896
school, as determined by the superintendent of public instruction.18897

       (4) For each student reported under division (B)(2)(d) of18898
this section as enrolled in vocational education programs or18899
classes that are described in section 3317.014 of the Revised18900
Code, are provided by the community school, and are comparable as18901
determined by the superintendent of public instruction to school18902
district vocational education programs and classes eligible for18903
state weighted funding under section 3317.014 of the Revised Code,18904
an amount equal to the applicable vocational education weight18905
times the community school's base formula amount times the18906
percentage of time the student spends in the vocational education18907
programs or classes.18908

       (5) An amount equal to the sum of the amounts obtained when,18909
for each school district where the community school's students are18910
entitled to attend school, the number of that district's students18911
enrolled in the community school who are included in the18912
district's poverty student count is multiplied by the per pupil18913
amount of poverty-based assistance that school district receives 18914
that year pursuant to division (B) or (C) of section 3317.029 of 18915
the Revised Code, as adjusted by any poverty-based assistance 18916
reduction factor of the community school. The per pupil amount of18917
aid shall be determined as described in division (C)(4) of this18918
section.18919

       (6) An amount equal to the sum of the amounts obtained when,18920
for each school district where the community school's students are18921
entitled to attend school, the district's per pupil amount of aid18922
received under division (E) of section 3317.029 of the Revised18923
Code, as adjusted by any poverty-based assistance reduction 18924
factor of the community school, is multiplied by the sum of the18925
following:18926

       (a) The number of the district's students reported under18927
division (B)(2)(a) of this section who are enrolled in grades one18928
to three in that community school and who are not receiving18929
special education and related services pursuant to an IEP;18930

       (b) One-half of the district's students who are enrolled in18931
all-day or any other kindergarten class in that community school18932
and who are not receiving special education and related services18933
pursuant to an IEP;18934

       (c) One-half of the district's students who are enrolled in18935
all-day kindergarten in that community school and who are not18936
receiving special education and related services pursuant to an18937
IEP.18938

       The district's per pupil amount of aid under division (E) of18939
section 3317.029 of the Revised Code shall be determined as18940
described in division (C)(5) of this section.18941

       (7) An amount equal to the sum of the amounts obtained when, 18942
for each school district where the community school's students are 18943
entitled to attend school, the number of that district's students 18944
enrolled in the community school who are identified as 18945
limited-English proficient is multiplied by the district's per 18946
pupil amount received under division (F) of section 3317.029 of 18947
the Revised Code, as adjusted by any poverty-based assistance 18948
reduction factor of the community school.18949

       (8) An amount equal to the sum of the amounts obtained when, 18950
for each school district where the community school's students are 18951
entitled to attend school, the district's per pupil amount 18952
received under division (G) of section 3317.029 of the Revised 18953
Code, as adjusted by any poverty-based assistance reduction factor 18954
of the community school, is multiplied by the sum of the 18955
following:18956

       (a) The number of the district's students enrolled in grades 18957
one through twelve in that community school;18958

       (b) One-half of the number of the district's students 18959
enrolled in kindergarten in that community school.18960

       The district's per pupil amount under division (G) of section 18961
3317.029 of the Revised Code shall be determined as described in 18962
division (C)(7) of this section.18963

       (9) An amount equal to the sum of the amounts obtained when, 18964
for each school district where the community school's students are 18965
entitled to attend school, the district's per pupil amount 18966
received under divisions (H) and (I) of section 3317.029 of the 18967
Revised Code, as adjusted by any poverty-based assistance 18968
reduction factor of the community school, is multiplied by the sum 18969
of the following:18970

       (a) The number of the district's students enrolled in grades 18971
one through twelve in that community school;18972

       (b) One-half of the number of the district's students 18973
enrolled in kindergarten in that community school.18974

       The district's per pupil amount under divisions (H) and (I) 18975
of section 3317.029 of the Revised Code shall be determined as 18976
described in division (C)(8) of this section.18977

       (10) An amount equal to the sum of the amounts obtained when, 18978
for each school district where the community school's students are 18979
entitled to attend school, the district's per pupil amount of 18980
state parity aid funding calculated under either division (C) or 18981
(D) of section 3317.0217 of the Revised Code is multiplied by the 18982
sum of the number of that district's students enrolled in grades 18983
one through twelve, and one-half of the number of that district's 18984
students enrolled in kindergarten, in the community school as 18985
reported under division (B)(2)(a) and (b) of this section.18986

       (E)(1) If a community school's costs for a fiscal year for a18987
student receiving special education and related services pursuant18988
to an IEP for a handicap described in divisions (B) to (F) of18989
section 3317.013 of the Revised Code exceed the threshold18990
catastrophic cost for serving the student as specified in division18991
(C)(3)(b) of section 3317.022 of the Revised Code, the school may18992
submit to the superintendent of public instruction documentation,18993
as prescribed by the superintendent, of all its costs for that18994
student. Upon submission of documentation for a student of the18995
type and in the manner prescribed, the department shall pay to the18996
community school an amount equal to the school's costs for the18997
student in excess of the threshold catastrophic costs.18998

       (2) The community school shall only report under division18999
(E)(1) of this section, and the department shall only pay for, the19000
costs of educational expenses and the related services provided to19001
the student in accordance with the student's individualized19002
education program. Any legal fees, court costs, or other costs19003
associated with any cause of action relating to the student may19004
not be included in the amount.19005

       (F) A community school may apply to the department of19006
education for preschool handicapped or gifted unit funding the19007
school would receive if it were a school district. Upon request of 19008
its governing authority, a community school that received unit19009
funding as a school district-operated school before it became a19010
community school shall retain any units awarded to it as a school19011
district-operated school provided the school continues to meet19012
eligibility standards for the unit.19013

       A community school shall be considered a school district and19014
its governing authority shall be considered a board of education19015
for the purpose of applying to any state or federal agency for19016
grants that a school district may receive under federal or state19017
law or any appropriations act of the general assembly. The19018
governing authority of a community school may apply to any private19019
entity for additional funds.19020

       (G) A board of education sponsoring a community school may19021
utilize local funds to make enhancement grants to the school or19022
may agree, either as part of the contract or separately, to19023
provide any specific services to the community school at no cost19024
to the school.19025

       (H) A community school may not levy taxes or issue bonds19026
secured by tax revenues.19027

       (I) No community school shall charge tuition for the19028
enrollment of any student.19029

       (J)(1)(a) A community school may borrow money to pay any19030
necessary and actual expenses of the school in anticipation of the19031
receipt of any portion of the payments to be received by the19032
school pursuant to division (D) of this section. The school may19033
issue notes to evidence such borrowing. The proceeds of the notes 19034
shall be used only for the purposes for which the anticipated 19035
receipts may be lawfully expended by the school.19036

       (b) A school may also borrow money for a term not to exceed19037
fifteen years for the purpose of acquiring facilities.19038

       (2) Except for any amount guaranteed under section 3318.50 of19039
the Revised Code, the state is not liable for debt incurred by the19040
governing authority of a community school.19041

       (K) For purposes of determining the number of students for19042
which divisions (D)(5) and (6) of this section applies in any19043
school year, a community school may submit to the department of19044
job and family services, no later than the first day of March, a19045
list of the students enrolled in the school. For each student on19046
the list, the community school shall indicate the student's name,19047
address, and date of birth and the school district where the19048
student is entitled to attend school. Upon receipt of a list under 19049
this division, the department of job and family services shall 19050
determine, for each school district where one or more students on 19051
the list is entitled to attend school, the number of students 19052
residing in that school district who were included in the19053
department's report under section 3317.10 of the Revised Code. The19054
department shall make this determination on the basis of19055
information readily available to it. Upon making this19056
determination and no later than ninety days after submission of19057
the list by the community school, the department shall report to19058
the state department of education the number of students on the19059
list who reside in each school district who were included in the19060
department's report under section 3317.10 of the Revised Code. In19061
complying with this division, the department of job and family19062
services shall not report to the state department of education any19063
personally identifiable information on any student.19064

       (L) The department of education shall adjust the amounts19065
subtracted and paid under divisions (C) and (D) of this section to19066
reflect any enrollment of students in community schools for less19067
than the equivalent of a full school year. The state board of19068
education within ninety days after April 8, 2003, shall adopt in19069
accordance with Chapter 119. of the Revised Code rules governing19070
the payments to community schools under this section including19071
initial payments in a school year and adjustments and reductions19072
made in subsequent periodic payments to community schools and19073
corresponding deductions from school district accounts as provided19074
under divisions (C) and (D) of this section. For purposes of this19075
section:19076

       (1) A student shall be considered enrolled in the community19077
school for any portion of the school year the student is19078
participating at a college under Chapter 3365. of the Revised19079
Code.19080

       (2) A student shall be considered to be enrolled in a19081
community school during a school year for the period of time 19082
beginning on the later of the date on which the school both has 19083
received documentation of the student's enrollment from a parent 19084
and the student has commenced participation in learning 19085
opportunities as defined in the contract with the sponsor, or 19086
thirty days prior to the date on which the student is entered into 19087
the education management information system established under 19088
section 3301.0714 of the Revised Code. For purposes of applying 19089
this division to a community school student, "learning19090
opportunities" shall be defined in the contract, which shall19091
describe both classroom-based and non-classroom-based learning19092
opportunities and shall be in compliance with criteria and19093
documentation requirements for student participation which shall19094
be established by the department. Any student's instruction time19095
in non-classroom-based learning opportunities shall be certified19096
by an employee of the community school. A student's enrollment19097
shall be considered to cease on the date on which any of the 19098
following occur:19099

        (a) The community school receives documentation from a parent 19100
terminating enrollment of the student.19101

        (b) The community school is provided documentation of a19102
student's enrollment in another public or private school.19103

        (c) The community school ceases to offer learning19104
opportunities to the student pursuant to the terms of the contract19105
with the sponsor or the operation of any provision of this19106
chapter.19107

        (3) A student's percentage of full-time equivalency shall be 19108
considered to be the percentage the hours of learning opportunity 19109
offered to that student is of nine hundred and twenty hours. 19110
However, no internet- or computer-based community school shall be 19111
credited for any time a student spends participating in learning 19112
opportunities beyond ten hours within any period of twenty-four 19113
consecutive hours.19114

       (M) The department of education shall reduce the amounts paid19115
under division (D) of this section to reflect payments made to19116
colleges under division (B) of section 3365.07 of the Revised19117
Code.19118

       (N)(1) No student shall be considered enrolled in any19119
internet- or computer-based community school or, if applicable to 19120
the student, in any community school that is required to provide 19121
the student with a computer pursuant to division (C) of section 19122
3314.22 of the Revised Code, unless both of the following 19123
conditions are satisfied:19124

       (a) The student possesses or has been provided with all 19125
required hardware and software materials and all such materials 19126
are operational so that the student is capable of fully 19127
participating in the learning opportunities specified in the 19128
contract between the school and the school's sponsor as required 19129
by division (A)(23) of section 3314.03 of the Revised Code;19130

       (b) The school is in compliance with division (A) of section 19131
3314.22 of the Revised Code, relative to such student.19132

       (2) In accordance with policies adopted jointly by the19133
superintendent of public instruction and the auditor of state, the19134
department shall reduce the amounts otherwise payable under19135
division (D) of this section to any community school that includes 19136
in its program the provision of computer hardware and software 19137
materials to any student, if such hardware and software materials 19138
have not been delivered, installed, and activated for each such 19139
student in a timely manner or other educational materials or19140
services have not been provided according to the contract between19141
the individual community school and its sponsor.19142

       The superintendent of public instruction and the auditor of19143
state shall jointly establish a method for auditing any community19144
school to which this division pertains to ensure compliance with19145
this section.19146

       The superintendent, auditor of state, and the governor shall19147
jointly make recommendations to the general assembly for19148
legislative changes that may be required to assure fiscal and19149
academic accountability for such schools.19150

       (O)(1) The department shall not withhold payments to a 19151
community school based on a challenge brought by a school district 19152
concerning the community school's enrollment and student residency 19153
reports submitted to the department without first providing the 19154
governing authority of the community school written notice stating 19155
the specific grounds for the challenge and requiring the school 19156
district to submit evidence supporting its claim that a particular 19157
student should not be included in the community school's 19158
enrollment or that payment for that student otherwise should be 19159
denied. The department also shall permit the governing authority 19160
to submit documentation the governing authority believes confirms 19161
or corrects its earlier reports that are subject to challenge. The 19162
school district bears the burden of proof. The department shall 19163
set a reasonable deadline for the school district and community 19164
school to submit documentation regarding the challenge. The 19165
department shall not withhold payments pending that deadline. The 19166
department immediately shall dismiss any challenge regarding a 19167
particular student if the department finds that the school 19168
district has not timely submitted evidence as required under this 19169
division or otherwise has not met its burden of proof or that the 19170
documentation submitted by the governing authority confirms or 19171
corrects its earlier reports regarding that student.19172

        (2) If the department finds that the school district has 19173
timely submitted evidence and has met its burden of proof and, 19174
accordingly, that the particular student for which the district 19175
brought the challenge should not be included in the community 19176
school's enrollment or that payment otherwise should be denied for 19177
that student, the department shall withhold payments to the 19178
community school for that student.19179

        If the governing authority of the community school 19180
subsequently submits documentation that the department finds 19181
confirms or corrects the earlier reports regarding that student, 19182
the department shall resume payments to the community school for 19183
that student and, if appropriate, shall include payment for the 19184
prior months that were withheld.19185

        (3) The department shall not withhold any other payments from 19186
a community school without first providing to the governing 19187
authority of the community school written notice stating the 19188
amount to be withheld, reasons for withholding, and offering an 19189
opportunity for a hearing in accordance with division (P)(2) of 19190
this section.19191

       (P)(1) If the department determines that a review of a19192
community school's enrollment is necessary, such review shall be19193
completed and written notice of the findings shall be provided to19194
the governing authority of the community school and its sponsor19195
within ninety days of the end of the community school's fiscal19196
year, unless extended for a period not to exceed thirty additional19197
days for one of the following reasons:19198

        (a) The department and the community school mutually agree to 19199
the extension.19200

        (b) Delays in data submission caused by either a community19201
school or its sponsor.19202

       (2) If the review results in a finding that additional19203
funding is owed to the school, such payment shall be made within19204
thirty days of the written notice. If the review results in a19205
finding that the community school owes moneys to the state, the19206
following procedure shall apply:19207

       (a) Within ten business days of the receipt of the notice of19208
findings, the community school may appeal the department's19209
determination to the state board of education or its designee.19210

        (b) The board or its designee shall conduct an informal19211
hearing on the matter within thirty days of receipt of such an19212
appeal and shall issue a decision within fifteen days of the19213
conclusion of the hearing.19214

        (c) If the board has enlisted a designee to conduct the19215
hearing, the designee shall certify its decision to the board. The19216
board may accept the decision of the designee or may reject the19217
decision of the designee and issue its own decision on the matter.19218

        (d) Any decision made by the board under this division is19219
final.19220

        (3) If it is decided that the community school owes moneys to 19221
the state, the department shall deduct such amount from the19222
school's future payments in accordance with guidelines issued by19223
the superintendent of public instruction.19224

       (P)(Q) The department shall not subtract from a school 19225
district's state aid account under division (C) of this section 19226
and shall not pay to a community school under division (D) of this 19227
section any amount for any of the following:19228

        (1) Any student who has graduated from the twelfth grade of a 19229
public or nonpublic high school;19230

        (2) Any student who is not a resident of the state;19231

        (3) Any student who was enrolled in the community school 19232
during the previous school year when tests were administered under 19233
section 3301.0711 of the Revised Code but did not take one or more 19234
of the tests required by that section and was not excused pursuant 19235
to division (C)(1) or (3) of that section, unless the 19236
superintendent of public instruction grants the student a waiver 19237
from the requirement to take the test and a parent is not paying 19238
tuition for the student pursuant to section 3314.26 of the Revised 19239
Code. The superintendent may grant a waiver only for good cause in 19240
accordance with rules adopted by the state board of education.19241

        (4) Any student who has attained the age of twenty-two years, 19242
except for veterans of the armed services whose attendance was 19243
interrupted before completing the recognized twelve-year course of 19244
the public schools by reason of induction or enlistment in the 19245
armed forces and who apply for enrollment in a community school 19246
not later than four years after termination of war or their 19247
honorable discharge. If, however, any such veteran elects to 19248
enroll in special courses organized for veterans for whom tuition 19249
is paid under federal law, or otherwise, the department shall not 19250
subtract from a school district's state aid account under division 19251
(C) of this section and shall not pay to a community school under 19252
division (D) of this section any amount for that veteran.19253

       Sec. 3314.086.  If the department of education is required to 19254
pay an amount under section 3353.25 of the Revised Code to a 19255
school district delivering a course included in the clearinghouse 19256
established under section 3353.21 of the Revised Code for a 19257
student enrolled in a community school established under this 19258
chapter, the department shall deduct the amount of that payment 19259
from the amount calculated for payment to the community school 19260
under section 3314.08 of the Revised Code.19261

       Sec. 3314.087.  (A) As used in this section:19262

        (1) "Career-technical program" means vocational programs or 19263
classes described in division (A) or (B) of section 3317.014 of 19264
the Revised Code in which a student is enrolled.19265

        (2) "Formula ADM," "category one or two vocational education 19266
ADM," and "FTE basis" have the same meanings as in section 3317.02 19267
of the Revised Code.19268

        (3) "Resident school district" means the city, exempted 19269
village, or local school district in which a student is entitled 19270
to attend school under section 3313.64 or 3313.65 of the Revised 19271
Code.19272

        (B) Notwithstanding anything to the contrary in this chapter 19273
or Chapter 3317. of the Revised Code, a student enrolled in a 19274
community school may simultaneously enroll in the career-technical 19275
program operated by the student's resident school district. On an 19276
FTE basis, the student's resident school district shall count the 19277
student in the category one or two vocational education ADM for 19278
the proportion of the time the student is enrolled in the 19279
district's career-technical program and, accordingly, the 19280
department of education shall calculate funds under Chapter 3317. 19281
for the district attributable to the student for the proportion of 19282
time the student attends the career-technical program. The 19283
community school shall count the student in its enrollment report 19284
under section 3314.08 of the Revised Code and shall report to the 19285
department the proportion of time that the student attends classes 19286
at the community school. The department shall pay the community 19287
school and deduct from the student's resident school district the 19288
amount computed for the student under section 3314.08 of the 19289
Revised Code in proportion to the fraction of the time on an FTE 19290
basis that the student attends classes at the community school. 19291
"Full-time equivalency" for a community school student, as defined 19292
in division (L) of section 3314.08 of the Revised Code, does not 19293
apply to the student.19294

       Sec. 3314.19.  The sponsor of each community school annually 19295
shall provide the following assurances in writing to the 19296
department of education not later than ten business days prior to 19297
the opening of the school:19298

       (A) That a current copy of the contract between the sponsor 19299
and the governing authority of the school entered into under 19300
section 3314.03 of the Revised Code has been filed with the state 19301
office of community schools established under section 3314.11 of 19302
the Revised Code and that any subsequent modifications to that 19303
contract will be filed with the office;19304

       (B) That the school has submitted to the sponsor a plan for 19305
providing special education and related services to students with 19306
disabilities and has demonstrated the capacity to provide those 19307
services in accordance with Chapter 3323. of the Revised Code and 19308
federal law;19309

       (C) That the school has a plan and procedures for 19310
administering the achievement tests and diagnostic assessments 19311
prescribed by sections 3301.0710 and 3301.0715 of the Revised 19312
Code;19313

       (D) That school personnel have the necessary training, 19314
knowledge, and resources to properly use and submit information to 19315
all databases maintained by the department for the collection of 19316
education data, including the education management information 19317
system established under section 3301.0714 of the Revised Code in 19318
accordance with methods and timelines established under section 19319
3314.17 of the Revised Code;19320

       (E) That all required information about the school has been 19321
submitted to the Ohio education directory system or any successor 19322
system;19323

       (F) That the school will enroll at least the minimum number 19324
of students required by division (A)(11)(a) of section 3314.03 of 19325
the Revised Code in the school year for which the assurances are 19326
provided;19327

       (G) That all classroom teachers are licensed in accordance 19328
with sections 3319.22 to 3319.31 of the Revised Code, except for 19329
noncertificated persons engaged to teach up to twelve hours per 19330
week pursuant to section 3319.301 of the Revised Code;19331

       (H) That the school's fiscal officer is in compliance with 19332
section 3314.011 of the Revised Code;19333

       (I) That the school has complied with section 3319.39 of the 19334
Revised Code with respect to all employees who are responsible for 19335
the care, custody, or control of a child and that the school has 19336
conducted a criminal records check of each of its governing 19337
authority members;19338

       (J) That the school holds all of the following:19339

       (1) Proof of property ownership or a lease for the facilities 19340
used by the school;19341

       (2) A certificate of occupancy;19342

       (3) Liability insurance for the school, as required by 19343
division (A)(11)(b) of section 3314.03 of the Revised Code, that 19344
the sponsor considers sufficient to indemnify the school's 19345
facilities, staff, and governing authority against risk;19346

       (4) A satisfactory health and safety inspection;19347

       (5) A satisfactory fire inspection;19348

       (6) A valid food permit, if applicable.19349

       (K) That the sponsor has conducted a pre-opening site visit 19350
to the school for the school year for which the assurances are 19351
provided;19352

       (L) That the school has designated a date it will open for 19353
the school year for which the assurances are provided that is in 19354
compliance with division (A)(25) of section 3314.03 of the Revised 19355
Code;19356

       (M) That the school has met all of the sponsor's requirements 19357
for opening and any other requirements of the sponsor.19358

       Sec. 3314.26. (A) Each internet- or computer-based community 19359
school shall withdraw from the school any student who, for two 19360
consecutive school years, has failed to participate in the spring 19361
administration of any test prescribed under section 3301.0710 or 19362
3301.0712 of the Revised Code for the student's grade level and 19363
was not excused from the test pursuant to division (C)(1) or (3) 19364
of section 3301.0711 of the Revised Code, regardless of whether a 19365
waiver was granted for the student under division (P)(Q)(3) of 19366
section 3314.08 of the Revised Code. The school shall report any 19367
such student's data verification code, as assigned pursuant to 19368
section 3301.0714 of the Revised Code, to the department of 19369
education. The department shall maintain a list of all data 19370
verification codes reported under this division and section 19371
3313.6410 of the Revised Code and provide that list to each 19372
internet- or computer-based community school and to each school to 19373
which section 3313.6410 of the Revised Code applies.19374

        (B) No internet- or computer-based community school shall 19375
receive any state funds under this chapter for any enrolled 19376
student whose data verification code appears on the list 19377
maintained by the department under division (A) of this section.19378

       Notwithstanding any provision of the Revised Code to the 19379
contrary, the parent of any such student shall pay tuition to the 19380
internet- or computer-based community school in an amount equal to 19381
the state funds the school otherwise would receive for that 19382
student, as determined by the department. An internet- or 19383
computer-based community school may withdraw any student for whom 19384
the parent does not pay tuition as required by this division.19385

       Sec. 3317.01.  As used in this section and section 3317.01119386
of the Revised Code, "school district," unless otherwise19387
specified, means any city, local, exempted village, joint19388
vocational, or cooperative education school district and any19389
educational service center.19390

       This chapter shall be administered by the state board of19391
education. The superintendent of public instruction shall19392
calculate the amounts payable to each school district and shall19393
certify the amounts payable to each eligible district to the19394
treasurer of the district as provided by this chapter. As soon as 19395
possible after such amounts are calculated, the superintendent 19396
shall certify to the treasurer of each school district the 19397
district's adjusted charge-off increase, as defined in section 19398
5705.211 of the Revised Code. No moneys shall be distributed 19399
pursuant to this chapter without the approval of the controlling 19400
board.19401

       The state board of education shall, in accordance with19402
appropriations made by the general assembly, meet the financial19403
obligations of this chapter.19404

       Annually, the department of education shall calculate and19405
report to each school district the district's total state and19406
local funds for providing an adequate basic education to the19407
district's nonhandicapped students, utilizing the determination in19408
section 3317.012 of the Revised Code. In addition, the department19409
shall calculate and report separately for each school district the19410
district's total state and local funds for providing an adequate19411
education for its handicapped students, utilizing the19412
determinations in both sections 3317.012 and 3317.013 of the19413
Revised Code.19414

       Not later than the thirty-first day of August of each fiscal19415
year, the department of education shall provide to each school19416
district and county MR/DD board a preliminary estimate of the19417
amount of funding that the department calculates the district will19418
receive under each of divisions (C)(1) and (4) of section 3317.02219419
of the Revised Code. No later than the first day of December of19420
each fiscal year, the department shall update that preliminary19421
estimate.19422

       Moneys distributed pursuant to this chapter shall be19423
calculated and paid on a fiscal year basis, beginning with the19424
first day of July and extending through the thirtieth day of June.19425
The moneys appropriated for each fiscal year shall be distributed19426
at least monthly to each school district unless otherwise provided19427
for. The state board shall submit a yearly distribution plan to19428
the controlling board at its first meeting in July. The state19429
board shall submit any proposed midyear revision of the plan to19430
the controlling board in January. Any year-end revision of the19431
plan shall be submitted to the controlling board in June. If19432
moneys appropriated for each fiscal year are distributed other19433
than monthly, such distribution shall be on the same basis for19434
each school district.19435

       The total amounts paid each month shall constitute, as nearly19436
as possible, one-twelfth of the total amount payable for the19437
entire year. 19438

       Until fiscal year 2007, paymentsPayments made during the 19439
first six months of the fiscal year may be based on an estimate of 19440
the amounts payable for the entire year. Payments made in the last 19441
six months shall be based on the final calculation of the amounts19442
payable to each school district for that fiscal year. Payments19443
made in the last six months may be adjusted, if necessary, to19444
correct the amounts distributed in the first six months, and to19445
reflect enrollment increases when such are at least three per19446
cent.19447

       Beginning in fiscal year 2007, payments shall be calculated 19448
to reflect the biannual reporting of average daily membership. In 19449
fiscal year 2007 and in each fiscal year thereafter, annualized 19450
periodic payments for each school district shall be based on the 19451
district's student counts certified pursuant to section 3317.03 of 19452
the Revised Code as follows:19453

the sum of one-half of the number of students reported
19454

for the first full week in October plus one-half of the
19455

average of the numbers reported for the first full week
19456

in October and for the first full week in February
19457

       Except as otherwise provided, payments under this chapter19458
shall be made only to those school districts in which:19459

       (A) The school district, except for any educational service19460
center and any joint vocational or cooperative education school19461
district, levies for current operating expenses at least twenty19462
mills. Levies for joint vocational or cooperative education19463
school districts or county school financing districts, limited to19464
or to the extent apportioned to current expenses, shall be19465
included in this qualification requirement. School district income 19466
tax levies under Chapter 5748. of the Revised Code, limited to or 19467
to the extent apportioned to current operating expenses, shall be19468
included in this qualification requirement to the extent19469
determined by the tax commissioner under division (D) of section19470
3317.021 of the Revised Code.19471

       (B) The school year next preceding the fiscal year for which19472
such payments are authorized meets the requirement of section19473
3313.48 or 3313.481 of the Revised Code, with regard to the19474
minimum number of days or hours school must be open for19475
instruction with pupils in attendance, for individualized19476
parent-teacher conference and reporting periods, and for19477
professional meetings of teachers. This requirement shall be19478
waived by the superintendent of public instruction if it had been19479
necessary for a school to be closed because of disease epidemic,19480
hazardous weather conditions, inoperability of school buses or19481
other equipment necessary to the school's operation, damage to a19482
school building, or other temporary circumstances due to utility19483
failure rendering the school building unfit for school use,19484
provided that for those school districts operating pursuant to19485
section 3313.48 of the Revised Code the number of days the school19486
was actually open for instruction with pupils in attendance and19487
for individualized parent-teacher conference and reporting periods19488
is not less than one hundred seventy-five, or for those school19489
districts operating on a trimester plan the number of days the19490
school was actually open for instruction with pupils in attendance19491
not less than seventy-nine days in any trimester, for those school19492
districts operating on a quarterly plan the number of days the19493
school was actually open for instruction with pupils in attendance19494
not less than fifty-nine days in any quarter, or for those school19495
districts operating on a pentamester plan the number of days the19496
school was actually open for instruction with pupils in attendance19497
not less than forty-four days in any pentamester.19498

       A school district shall not be considered to have failed to19499
comply with this division or section 3313.481 of the Revised Code19500
because schools were open for instruction but either twelfth grade19501
students were excused from attendance for up to three days or only19502
a portion of the kindergarten students were in attendance for up19503
to three days in order to allow for the gradual orientation to19504
school of such students.19505

       The superintendent of public instruction shall waive the19506
requirements of this section with reference to the minimum number19507
of days or hours school must be in session with pupils in19508
attendance for the school year succeeding the school year in which19509
a board of education initiates a plan of operation pursuant to19510
section 3313.481 of the Revised Code. The minimum requirements of19511
this section shall again be applicable to such a district19512
beginning with the school year commencing the second July19513
succeeding the initiation of one such plan, and for each school19514
year thereafter.19515

       A school district shall not be considered to have failed to19516
comply with this division or section 3313.48 or 3313.481 of the19517
Revised Code because schools were open for instruction but the19518
length of the regularly scheduled school day, for any number of19519
days during the school year, was reduced by not more than two19520
hours due to hazardous weather conditions.19521

       (C) The school district has on file, and is paying in19522
accordance with, a teachers' salary schedule which complies with19523
section 3317.13 of the Revised Code.19524

       A board of education or governing board of an educational19525
service center which has not conformed with other law and the19526
rules pursuant thereto, shall not participate in the distribution19527
of funds authorized by sections 3317.022 to 3317.0211, 3317.11,19528
3317.16, 3317.17, and 3317.19 of the Revised Code, except for good19529
and sufficient reason established to the satisfaction of the state19530
board of education and the state controlling board.19531

       All funds allocated to school districts under this chapter,19532
except those specifically allocated for other purposes, shall be19533
used to pay current operating expenses only.19534

       Sec. 3317.012. (A) The general assembly, having deliberated 19535
on the model with which to calculate the base cost of an adequate 19536
education per pupil, has made a policy decision to calculate that 19537
amount as consisting of the following building blocks:19538

       (1) Base classroom teachers;19539

        (2) Other personnel support, which includes additional 19540
teachers, such as music, arts, and physical education teachers 19541
funded by state, local, or federal funds or other funds that are 19542
above the base cost funding level, and other school personnel 19543
including administrators;19544

        (3) Nonpersonnel support.19545

        This model reflects policy decisions made by the general 19546
assembly concerning the cost of base classroom teachers, which 19547
decisions entail two policy variables: the number of students per 19548
base classroom teacher necessary for an adequate education and the 19549
average compensation for a base classroom teacher necessary for an 19550
adequate education. The model requires the general assembly to 19551
decide the amount of other personnel support necessary for an 19552
adequate education, and increase that amount from year to year by 19553
the same percentage as it increases the average compensation for 19554
base classroom teachers. The model finally requires the general 19555
assembly to decide the nonpersonnel costs necessary for an 19556
adequate education and to inflate the nonpersonnel costs from year 19557
to year using the projected inflationary measure for the gross 19558
domestic product deflator (all items) prepared by the bureau of 19559
labor statistics of the United States department of labor.19560

        (B)(1) For fiscal year 20062008, the general assembly has 19561
resolved that a ratio of one base classroom teacher per twenty 19562
students is necessary for an adequate education. The general 19563
assembly has made a policy decision that the average compensation 19564
for base classroom teachers is $53,680$56,754 for fiscal year 19565
20062008, which includes an amount for the value of fringe 19566
benefits. For fiscal year 20072009, the general assembly has 19567
resolved that a ratio of one base classroom teacher per twenty 19568
students is necessary for an adequate education. The general 19569
assembly has made a policy decision that the average compensation 19570
for base classroom teachers is $54,941$58,621 for fiscal year 19571
2009, which includes an amount for the value of fringe benefits. 19572
Based on a ratio of twenty students per base classroom teacher, 19573
these amounts equal $2,684$2,838 per pupil in fiscal year 200619574
2008 and $2,747$2,931 per pupil in fiscal year 20072009. 19575

       (2) The general assembly has made a policy decision that the 19576
per pupil cost of salary and benefits of other personnel support 19577
is $1,807$1,905 in fiscal year 20062008. Based on the percentage 19578
increase for the average compensation of base classroom teachers19579
per pupil cost of salary and benefits of other personnel support19580
from fiscal year 20062007 to fiscal year 20072008, the per pupil 19581
cost of other personnel support is $1,850$1,962 in fiscal year 19582
20072009.19583

        (3) The general assembly has made a policy decision that the 19584
per pupil cost of nonpersonnel support is $792$822 in fiscal year 19585
20062008 and $806$839 in fiscal year 20072009. The amount for 19586
fiscal year 20072009 reflects the projected inflationary measure 19587
for the gross domestic product deflator (all items) of 1.80%19588
2.00%.19589

       (4) Based on the determinations specified in divisions (B)(1) 19590
to (3) of this section, the per-pupil base cost is $5,283$5,56519591
in fiscal year 20062008 and $5,403$5,732 in fiscal year 200719592
2009.19593

        (C) In addition to the per-pupil base cost as determined 19594
under divisions (A) and (B) of this section, the general assembly 19595
determines that the following base funding supplements shall be 19596
paid to each school district:19597

       (1) Base funding for large-group academic intervention for 19598
all students, based on 25 hours per group of students per year at 19599
an hourly rate of $20.00$21.01 in fiscal year 20062008 and 19600
$20.40$21.64 in fiscal year 20072009, as follows:19601

large-group intervention units X 25 hours X hourly rate
19602

       Where:19603

       (a) "Large-group intervention units" equals the district's 19604
formula ADM divided by 20;19605

       (b) "Hourly rate" equals $20.00$21.01 in fiscal year 200619606
2008 and $20.40$21.64 in fiscal year 20072009.19607

        (2) Base funding for professional development, phased in 19608
according to the following formula:19609

district's teacher factor X 0.045 X
19610

formula amount X phase-in percentage
19611

        Where:19612

        (a) For each school district, the district's "teacher factor" 19613
is the district's formula ADM divided by 17;19614

        (b) "Phase-in percentage" equals 0.25 in fiscal year 2006 and19615
0.75 in fiscal year 2007.19616

        (3) Base funding for data-based decision making, calculated 19617
according to the following formula:19618

0.001 X formula amount X formula ADM
19619

        (4) Base funding for professional development regarding 19620
data-based decision making, calculated according to the following 19621
formula:19622

(0.20 X the district's teacher factor X 0.08 X formula amount) +
19623

(the district's principal factor X
19624

0.08 X formula amount)
19625

        Where:19626

        (a) For each school district, the district's "teacher factor" 19627
is the district's formula ADM divided by 17;19628

        (b) For each school district, the district's "principal 19629
factor" is the district's formula ADM divided by 340.19630

       (D) The general assembly intends that school districts spend 19631
the state funds calculated and paid for each component of the 19632
building blocks methodology described in divisions (B)(1) to (3) 19633
and (C)(1) to (4) of this section according to the purposes 19634
described in those divisions.19635

       Sec. 3317.013.  Except for a handicapped preschool child for 19636
whom a scholarship has been awarded under section 3310.41 of the 19637
Revised Code, this section does not apply to handicapped preschool 19638
students.19639

       Analysis of special education cost data has resulted in a19640
finding that the average special education additional cost per19641
pupil, including the costs of related services, can be expressed19642
as a multiple of the base cost per pupil calculated under section19643
3317.012 of the Revised Code. The multiples for the following19644
categories of special education programs, as these programs are19645
defined for purposes of Chapter 3323. of the Revised Code, and19646
adjusted as provided in this section, are as follows:19647

       (A) A multiple of 0.2892 for students whose primary or only19648
identified handicap is a speech and language handicap, as this19649
term is defined pursuant to Chapter 3323. of the Revised Code;19650

       (B) A multiple of 0.3691 for students identified as specific19651
learning disabled or developmentally handicapped, as these terms 19652
are defined pursuant to Chapter 3323. of the Revised Code, or 19653
other health handicapped-minor;19654

       (C) A multiple of 1.7695 for students identified as hearing19655
handicapped, vision impaired, or severe behavior handicapped, as19656
these terms are defined pursuant to Chapter 3323. of the Revised19657
Code;19658

       (D) A multiple of 2.3646 for students identified as19659
orthopedically handicapped, as this term is defined pursuant to19660
Chapter 3323. of the Revised Code or other health handicapped -19661
major;19662

       (E) A multiple of 3.1129 for students identified as19663
multihandicapped, as this term is defined pursuant to Chapter19664
3323. of the Revised Code;19665

       (F) A multiple of 4.7342 for students identified as autistic, 19666
having traumatic brain injuries, or as both visually and hearing 19667
disabled, as these terms are defined pursuant to Chapter 3323. of 19668
the Revised Code.19669

       In fiscal year 2004years 2008 and 2009, the multiples 19670
specified in divisions (A) to (F) of this section shall be 19671
adjusted by multiplying them by 0.88. In fiscal years 2005, 2006, 19672
and 2007, the multiples specified in those divisions shall be 19673
adjusted by multiplying them by 0.90.19674

       Not later than the thirtieth day of MayDecember in 2004, 19675
2005, 2006, and 2007, 2008, and 2009, the department of education19676
shall submit to the office of budget and management a report that 19677
specifies for each city, local, exempted village, and joint 19678
vocational school district the fiscal year allocation of the state 19679
and local shares of special education and related services 19680
additional weighted funding and federal special education funds 19681
passed through to the district.19682

       Not later than January 31, 2009, and the thirty-first day of 19683
January of each odd-numbered year thereafter, the department shall 19684
prepare an analysis of whether the multiples specified in this 19685
section continue to accurately reflect the cost of providing 19686
special education, including the costs of related services, for 19687
students in each of the respective categories of programs 19688
specified in this section.19689

       Sec. 3317.014.  The average vocational education additional19690
cost per pupil can be expressed as a multiple of the base cost per19691
pupil calculated under section 3317.012 of the Revised Code. the19692
The multiples for the following categories of vocational education19693
programs are as follows:19694

       (A) A multiple of 0.57 for students enrolled in vocational19695
education job-training and workforce development programs approved19696
by the department of education in accordance with rules adopted19697
under section 3313.90 of the Revised Code.19698

       (B) A multiple of 0.28 for students enrolled in vocational19699
education classes other than job-training and workforce19700
development programs.19701

       Vocational education associated services costs can be19702
expressed as a multiple of 0.05 of the base cost per pupil19703
calculated under section 3317.012 of the Revised Code.19704

       The general assembly has adjusted the multiples specified in19705
this section for calculating payments beginning in fiscal year19706
2002 in recognition that its policy change regarding the19707
application of the cost-of-doing-business factor produces a higher19708
base cost amount than would exist if no change were made to its19709
application. The adjustment maintains the same weighted costs as19710
would exist if no change were made to the application of the19711
cost-of-doing-business factor.19712

       TheBy the thirtieth day of each December, the department of 19713
education shall annually report to the governoroffice of budget 19714
and management and the general assembly the amount of weighted 19715
funding for vocational education and associated services that is19716
was spent by each city, local, exempted village, and joint 19717
vocational school district specifically for vocational educational 19718
and associated services during the previous fiscal year.19719

       Sec. 3317.015.  (A) In addition to the information certified 19720
to the department of education and the office of budget and 19721
management under division (A) of section 3317.021 of the Revised 19722
Code, the tax commissioner shall, at the same time, certify the19723
following information to the department and the office of budget 19724
and management for each city, exempted village, and local school19725
district to be used for the same purposes as described under that 19726
division:19727

       (1) The taxable value of the school district's carryover 19728
property, as defined in section 319.301 of the Revised Code, for 19729
the preceding tax year;19730

       (2) The increase in such carryover value, if any, between the 19731
second preceding tax year and the preceding tax year as used in19732
calculating the percentage reduction under section 319.301 of the 19733
Revised Code.19734

       (B) For each fiscal year the department of education shall19735
calculate each school district's recognized valuation in the 19736
following manner:19737

       (1) For a school district located in a county in which a 19738
reappraisal or triennial update occurred in the preceding tax 19739
year, the recognized valuation equals the district's total taxable 19740
value for the preceding tax year minus two-thirds times the 19741
increase in the carryover value from the second preceding tax year 19742
to the preceding tax year.19743

       (2) For a school district located in a county in which a 19744
reappraisal or triennial update occurred in the second preceding 19745
tax year, the recognized valuation equals the district's total 19746
taxable value for the preceding tax year minus one-third times the 19747
increase in the carryover value from the third preceding tax year 19748
to the second preceding tax year.19749

       (3) For a school district located in a county in which a 19750
reappraisal or triennial update occurred in the third preceding 19751
tax year, the recognized valuation equals the district's total 19752
taxable value for the preceding tax year.19753

       Sec. 3317.016. In addition to its form SF-3, or any successor 19754
to that form, the department of education shall publish on its web 19755
site a spreadsheet for each school district that specifies the 19756
constituent components of the district's "building blocks" funds, 19757
as follows:19758

       (A) For compensation of base classroom teachers, as described 19759
in division (B)(1) of section 3317.012 of the Revised Code, each 19760
spreadsheet shall specify the district's aggregate and per pupil 19761
amounts of state funds and of combined state and local funds, the 19762
average compensation decided by the general assembly for base 19763
classroom teachers, as specified in that division, and the number 19764
of base classroom teachers attributable to the district based on 19765
the student-teacher ratio decided by the general assembly, as 19766
specified in that division.19767

        (B) Each spreadsheet shall specify the district's aggregate 19768
and per pupil amounts of state funds and of combined state and 19769
local funds for each of the following:19770

        (1) Other personnel support, as described in division (B)(2) 19771
of section 3317.012 of the Revised Code;19772

        (2) Nonpersonnel support, as described in division (B)(3) of 19773
that section;19774

        (3) Academic intervention services, as described in division 19775
(C)(1) of that section;19776

        (4) Professional development, as described in division (C)(2) 19777
of that section;19778

        (5) Data-based decision making, as described in division 19779
(C)(3) of that section;19780

        (6) Professional development for data-based decision making, 19781
as described in division (C)(4) of that section.19782

        (C) Each spreadsheet shall separately specify the district's 19783
aggregate and per pupil state funds for each of the following 19784
components of poverty-based assistance under section 3317.029 of 19785
the Revised Code:19786

        (1) Poverty-based assistance guarantee payment under division 19787
(B) of that section;19788

       (2) Academic intervention funding under division (C) of that 19789
section;19790

       (3)(2) All-day kindergarten under division (D) of that 19791
section;19792

       (4) Class-size reduction(3) Increased classroom learning 19793
opportunities under division (E) of that section;19794

       (5)(4) Services to limited English proficient students under 19795
division (F) of that section;19796

       (6)(5) Professional development, under division (G) of that 19797
section;19798

       (7)(6) Dropout prevention under division (H) of that section;19799

       (8)(7) Community outreach under division (I) of that section;19800

       (8) Assistance in closing the achievement gap under division 19801
(J) of that section.19802

       Sec. 3317.017.  (A) Not later than July 1, 2006, the 19803
superintendent of public instruction shall adopt a rule under 19804
which the superintendent may issue an order with respect to the 19805
spending, by a school district declared to be under an academic 19806
watch or in a state of academic emergency under section 3302.03 of 19807
the Revised Code, of the following state building block funds 19808
intended to pay instructional-related costs:19809

       (1) State funds for compensation of base classroom teachers, 19810
as described in division (B)(1) of section 3317.012 of the Revised 19811
Code;19812

       (2) State funds for academic intervention services under 19813
division (C)(1) of section 3317.012 and division (C) of section 19814
3317.029 of the Revised Code;19815

       (3) State funds for professional development under divisions 19816
(C)(2) and (4) of section 3317.012 and division (G) of section 19817
3317.029 of the Revised Code;19818

       (4) State funds for data based decision making under division 19819
(C)(3) of section 3317.012 of the Revised Code;19820

       (5) The poverty-based assistance guarantee payment under 19821
division (B) of section 3317.029 of the Revised Code;19822

       (6) State funds for all-day kindergarten under division (D) 19823
of section 3317.029 of the Revised Code;19824

       (7)(6) State funds for class-size reductionincreased 19825
classroom learning opportunities under division (E) of section 19826
3317.029 of the Revised Code;19827

       (8)(7) State funds for services to limited English proficient 19828
students under division (F) of section 3317.029 of the Revised 19829
Code;19830

       (9)(8) State funds for dropout prevention under division (H) 19831
of section 3317.029 of the Revised Code;19832

       (10)(9) State funds for community outreach under division (I) 19833
of section 3317.029 of the Revised Code;19834

       (10) State funds for assistance in closing the achievement 19835
gap under division (J) of section 3317.029 of the Revised Code.19836

       (B) The rule shall authorize the superintendent of public 19837
instruction to issue an order that does one or a combination of 19838
the following:19839

       (1) Requires the school district to periodically report to 19840
the superintendent of public instruction on its spending of the 19841
state funds paid for each building blocks component described in 19842
divisions (A)(1) to (10) of this section;19843

       (2) Requires the district to establish a separate account for 19844
each of the building blocks components described in divisions 19845
(A)(1) to (10) of this section to which the district shall credit 19846
the state funds paid for each;19847

       (3) Directs the district's spending of any or all of the 19848
state funds paid for the components described in divisions (A)(1) 19849
to (10) of this section in accordance with the descriptions and 19850
requirements of sections 3317.012 and 3317.029 of the Revised 19851
Code.19852

       (C) The rule shall specify situations in which the 19853
superintendent may issue an order and the types of orders the 19854
superintendent will issue for each of those situations. The rule, 19855
however, shall authorize the superintendent to issue orders in 19856
situations that are not enumerated or described in the rule.19857

       (D) The board of education of each school district to which 19858
the superintendent of public instruction issues an order pursuant 19859
to the rule adopted under this section shall comply with that 19860
order.19861

       Sec. 3317.02.  As used in this chapter:19862

       (A) Unless otherwise specified, "school district" means city,19863
local, and exempted village school districts.19864

       (B) "Formula amount" means the base cost for the fiscal year19865
specified in division (B)(4) of section 3317.012 of the Revised 19866
Code.19867

       (C) "FTE basis" means a count of students based on full-time19868
equivalency, in accordance with rules adopted by the department of19869
education pursuant to section 3317.03 of the Revised Code. In19870
adopting its rules under this division, the department shall19871
provide for counting any student in category one, two, three,19872
four, five, or six special education ADM or in category one or two19873
vocational education ADM in the same proportion the student is19874
counted in formula ADM.19875

       (D) "Formula ADM" means, for a city, local, or exempted19876
village school district, the final number verified by the 19877
superintendent of public instruction, based on the number reported 19878
pursuant to division (A) of section 3317.03 of the Revised Code, 19879
andas adjusted, if so ordered, under division (K) of that 19880
section. "Formula ADM" means, for a joint vocational school 19881
district, the final number verified by the superintendent of 19882
public instruction, based on the number reported pursuant to19883
division (D) of section 3317.03 of the Revised Code. Beginning in 19884
fiscal year 2007, for payments in which formula ADM is a factor, 19885
the formula ADM for each school district for the fiscal year is 19886
the sum of one-half of the number reported for October of that 19887
fiscal year plus one-half of the average of the numbers reported 19888
for October and February of that fiscal year, as adjusted, if so 19889
ordered, under division (K) of that section.19890

       (E) "Three-year average formula ADM" means the average of19891
formula ADMs for the current and preceding twothree fiscal years.19892

       (F)(1) "Category one special education ADM" means the average19893
daily membership of handicapped children receiving special19894
education services for the handicap specified in division (A) of19895
section 3317.013 of the Revised Code and reported under division19896
(B)(5) or (D)(2)(b) of section 3317.03 of the Revised Code. 19897
Beginning in fiscal year 2007, the district's category one special 19898
education ADM for a fiscal year is the sum of one-half of the 19899
number reported for October of that fiscal year plus one-half of 19900
the average of the numbers reported for October and February of 19901
that fiscal year.19902

       (2) "Category two special education ADM" means the average19903
daily membership of handicapped children receiving special19904
education services for those handicaps specified in division (B)19905
of section 3317.013 of the Revised Code and reported under19906
division (B)(6) or (D)(2)(c) of section 3317.03 of the Revised19907
Code. Beginning in fiscal year 2007, the district's category two 19908
special education ADM for a fiscal year is the sum of one-half of 19909
the number reported for October of that fiscal year plus one-half 19910
of the average of the numbers reported for October and February of 19911
that fiscal year.19912

       (3) "Category three special education ADM" means the average19913
daily membership of students receiving special education services19914
for those handicaps specified in division (C) of section 3317.01319915
of the Revised Code, and reported under division (B)(7) or19916
(D)(2)(d) of section 3317.03 of the Revised Code. Beginning in 19917
fiscal year 2007, the district's category three special education 19918
ADM for a fiscal year is the sum of one-half of the number 19919
reported for October of that fiscal year plus one-half of the 19920
average of the numbers reported for October and February of that 19921
fiscal year.19922

       (4) "Category four special education ADM" means the average19923
daily membership of students receiving special education services19924
for those handicaps specified in division (D) of section 3317.01319925
of the Revised Code and reported under division (B)(8) or19926
(D)(2)(e) of section 3317.03 of the Revised Code. Beginning in 19927
fiscal year 2007, the district's category four special education 19928
ADM for a fiscal year is the sum of one-half of the number 19929
reported for October of that fiscal year plus one-half of the 19930
average of the numbers reported for October and February of that 19931
fiscal year.19932

       (5) "Category five special education ADM" means the average19933
daily membership of students receiving special education services19934
for the handicap specified in division (E) of section 3317.013 of19935
the Revised Code and reported under division (B)(9) or (D)(2)(f)19936
of section 3317.03 of the Revised Code. Beginning in fiscal year 19937
2007, the district's category five special education ADM for a 19938
fiscal year is the sum of one-half of the number reported for 19939
October of that fiscal year plus one-half of the average of the 19940
numbers reported for October and February of that fiscal year.19941

       (6) "Category six special education ADM" means the average19942
daily membership of students receiving special education services19943
for the handicap specified in division (F) of section 3317.013 of19944
the Revised Code and reported under division (B)(10) or (D)(2)(g)19945
of section 3317.03 of the Revised Code. Beginning in fiscal year 19946
2007, the district's category six special education ADM for a 19947
fiscal year is the sum of one-half of the number reported for 19948
October of that fiscal year plus one-half of the average of the 19949
numbers reported for October and February of that fiscal year.19950

       (7) "Category one vocational education ADM" means the average19951
daily membership of students receiving vocational education19952
services described in division (A) of section 3317.014 of the19953
Revised Code and reported under division (B)(11) or (D)(2)(h) of19954
section 3317.03 of the Revised Code. Beginning in fiscal year 19955
2007, the district's category one vocational education ADM for a 19956
fiscal year is the sum of one-half of the number reported for 19957
October of that fiscal year plus one-half of the average of the 19958
numbers reported for October and February of that fiscal year.19959

       (8) "Category two vocational education ADM" means the average19960
daily membership of students receiving vocational education19961
services described in division (B) of section 3317.014 of the19962
Revised Code and reported under division (B)(12) or (D)(2)(i) of19963
section 3317.03 of the Revised Code. Beginning in fiscal year 19964
2007, the district's category two vocational education ADM for a 19965
fiscal year is the sum of one-half of the number reported for 19966
October of that fiscal year plus one-half of the average of the 19967
numbers reported for October and February of that fiscal year.19968

       (G) "Handicapped preschool child" means a handicapped child,19969
as defined in section 3323.01 of the Revised Code, who is at least19970
age three but is not of compulsory school age, as defined in19971
section 3321.01 of the Revised Code, and who is not currently19972
enrolled in kindergarten.19973

       (H) "County MR/DD board" means a county board of mental19974
retardation and developmental disabilities.19975

       (I) "Recognized valuation" means the amount calculated for a19976
school district pursuant to section 3317.015 of the Revised Code.19977

       (J) "Transportation ADM" means the number of children19978
reported under division (B)(13) of section 3317.03 of the Revised19979
Code.19980

       (K) "Average efficient transportation use cost per student"19981
means a statistical representation of transportation costs as19982
calculated under division (D)(2) of section 3317.022 of the19983
Revised Code.19984

       (L) "Taxes charged and payable" means the taxes charged and19985
payable against real and public utility property after making the19986
reduction required by section 319.301 of the Revised Code, plus19987
the taxes levied against tangible personal property.19988

       (M)(K) "Total taxable value" means the sum of the amounts19989
certified for a city, local, exempted village, or joint vocational19990
school district under divisions (A)(1) and (2) of section 3317.02119991
of the Revised Code.19992

       (N) "Cost-of-doing-business factor" means the amount19993
indicated in division (N)(1) or (2) of this section for the county 19994
in which a city, local, exempted village, or joint vocational 19995
school district is located. If a city, local, or exempted village 19996
school district is located in more than one county, the factor is 19997
the amount indicated for the county to which the district is 19998
assigned by the state department of education. If a joint19999
vocational school district is located in more than one county, the 20000
factor is the amount indicated for the county in which the joint 20001
vocational school with the greatest formula ADM operated by the 20002
district is located.20003

       (1) In fiscal year 2006, the cost-of-doing-business factor 20004
for each county is:20005

COST-OF-DOING-BUSINESS 20006
COUNTY FACTOR AMOUNT 20007
Adams 1.00233 20008
Allen 1.01373 20009
Ashland 1.01980 20010
Ashtabula 1.02647 20011
Athens 1.00093 20012
Auglaize 1.01647 20013
Belmont 1.00427 20014
Brown 1.01180 20015
Butler 1.04307 20016
Carroll 1.00913 20017
Champaign 1.02973 20018
Clark 1.02980 20019
Clermont 1.03607 20020
Clinton 1.02193 20021
Columbiana 1.01427 20022
Coshocton 1.01153 20023
Crawford 1.01093 20024
Cuyahoga 1.04173 20025
Darke 1.02253 20026
Defiance 1.00973 20027
Delaware 1.03520 20028
Erie 1.02587 20029
Fairfield 1.02440 20030
Fayette 1.02127 20031
Franklin 1.04053 20032
Fulton 1.0220 20033
Gallia 1.00000 20034
Geauga 1.03340 20035
Greene 1.02960 20036
Guernsey 1.00440 20037
Hamilton 1.05000 20038
Hancock 1.01433 20039
Hardin 1.02373 20040
Harrison 1.00493 20041
Henry 1.02120 20042
Highland 1.00987 20043
Hocking 1.01253 20044
Holmes 1.01187 20045
Huron 1.01953 20046
Jackson 1.00920 20047
Jefferson 1.00487 20048
Knox 1.01860 20049
Lake 1.03493 20050
Lawrence 1.00540 20051
Licking 1.02540 20052
Logan 1.02567 20053
Lorain 1.03433 20054
Lucas 1.02600 20055
Madison 1.03253 20056
Mahoning 1.02307 20057
Marion 1.02040 20058
Medina 1.03573 20059
Meigs 1.00173 20060
Mercer 1.01353 20061
Miami 1.02740 20062
Monroe 1.00333 20063
Montgomery 1.03020 20064
Morgan 1.00593 20065
Morrow 1.02007 20066
Muskingum 1.00847 20067
Noble 1.00487 20068
Ottawa 1.03240 20069
Paulding 1.00767 20070
Perry 1.01067 20071
Pickaway 1.02607 20072
Pike 1.00687 20073
Portage 1.03147 20074
Preble 1.02947 20075
Putnam 1.01440 20076
Richland 1.01327 20077
Ross 1.01007 20078
Sandusky 1.02140 20079
Scioto 1.00080 20080
Seneca 1.01487 20081
Shelby 1.01853 20082
Stark 1.01700 20083
Summit 1.03613 20084
Trumbull 1.02340 20085
Tuscarawas 1.00593 20086
Union 1.03333 20087
Van Wert 1.00887 20088
Vinton 1.00633 20089
Warren 1.04387 20090
Washington 1.00400 20091
Wayne 1.02320 20092
Williams 1.01520 20093
Wood 1.02400 20094
Wyandot 1.01140 20095

       (2) In fiscal year 2007, the cost-of-doing-business factor 20096
for each county is:20097

COST-OF-DOING-BUSINESS 20098
COUNTY FACTOR AMOUNT 20099
Adams 1.00117 20100
Allen 1.00687 20101
Ashland 1.00990 20102
Ashtabula 1.01323 20103
Athens 1.00047 20104
Auglaize 1.00823 20105
Belmont 1.00213 20106
Brown 1.00590 20107
Butler 1.02153 20108
Carroll 1.00457 20109
Champaign 1.01487 20110
Clark 1.01490 20111
Clermont 1.01803 20112
Clinton 1.01097 20113
Columbiana 1.00713 20114
Coshocton 1.00577 20115
Crawford 1.00547 20116
Cuyahoga 1.02087 20117
Darke 1.01127 20118
Defiance 1.00487 20119
Delaware 1.01760 20120
Erie 1.01293 20121
Fairfield 1.01220 20122
Fayette 1.01063 20123
Franklin 1.02027 20124
Fulton 1.01100 20125
Gallia 1.00000 20126
Geauga 1.01670 20127
Greene 1.01480 20128
Guernsey 1.00220 20129
Hamilton 1.02500 20130
Hancock 1.00717 20131
Hardin 1.01187 20132
Harrison 1.00247 20133
Henry 1.01060 20134
Highland 1.00493 20135
Hocking 1.00627 20136
Holmes 1.00593 20137
Huron 1.00977 20138
Jackson 1.00460 20139
Jefferson 1.00243 20140
Knox 1.00930 20141
Lake 1.01747 20142
Lawrence 1.00270 20143
Licking 1.01270 20144
Logan 1.01283 20145
Lorain 1.01717 20146
Lucas 1.01300 20147
Madison 1.01627 20148
Mahoning 1.01153 20149
Marion 1.01020 20150
Medina 1.01787 20151
Meigs 1.00087 20152
Mercer 1.00677 20153
Miami 1.01370 20154
Monroe 1.00167 20155
Montgomery 1.01510 20156
Morgan 1.00297 20157
Morrow 1.01003 20158
Muskingum 1.00423 20159
Noble 1.00243 20160
Ottawa 1.01620 20161
Paulding 1.00383 20162
Perry 1.00533 20163
Pickaway 1.01303 20164
Pike 1.00343 20165
Portage 1.01573 20166
Preble 1.01473 20167
Putnam 1.00720 20168
Richland 1.00663 20169
Ross 1.00503 20170
Sandusky 1.01070 20171
Scioto 1.00040 20172
Seneca 1.00743 20173
Shelby 1.00927 20174
Stark 1.00850 20175
Summit 1.01807 20176
Trumbull 1.01170 20177
Tuscarawas 1.00297 20178
Union 1.01667 20179
Van Wert 1.00443 20180
Vinton 1.00317 20181
Warren 1.02193 20182
Washington 1.00200 20183
Wayne 1.01160 20184
Williams 1.00760 20185
Wood 1.01200 20186
Wyandot 1.00570 20187

       (O)(L) "Tax exempt value" of a school district means the20188
amount certified for a school district under division (A)(4) of20189
section 3317.021 of the Revised Code.20190

       (P)(M) "Potential value" of a school district means the 20191
recognized valuation of a school district plus the tax exempt20192
value of the district.20193

       (Q)(N) "District median income" means the median Ohio20194
adjusted gross income certified for a school district. On or 20195
before the first day of July of each year, the tax commissioner 20196
shall certify to the department of education and the office of 20197
budget and management for each city, exempted village, and local 20198
school district the median Ohio adjusted gross income of the 20199
residents of the school district determined on the basis of tax 20200
returns filed for the second preceding tax year by the residents 20201
of the district.20202

       (R)(O) "Statewide median income" means the median district20203
median income of all city, exempted village, and local school20204
districts in the state.20205

       (S)(P) "Income factor" for a city, exempted village, or local20206
school district means the quotient obtained by dividing that20207
district's median income by the statewide median income.20208

       (T)(Q) "Medically fragile child" means a child to whom all of20209
the following apply:20210

       (1) The child requires the services of a doctor of medicine20211
or osteopathic medicine at least once a week due to the20212
instability of the child's medical condition.20213

       (2) The child requires the services of a registered nurse on20214
a daily basis.20215

       (3) The child is at risk of institutionalization in a20216
hospital, skilled nursing facility, or intermediate care facility20217
for the mentally retarded.20218

       (U)(R) A child may be identified as "other health20219
handicapped-major" if the child's condition meets the definition20220
of "other health impaired" established in rules adopted by the20221
state board of education prior to July 1, 2001, and if either of 20222
the following apply:20223

       (1) The child is identified as having a medical condition20224
that is among those listed by the superintendent of public20225
instruction as conditions where a substantial majority of cases20226
fall within the definition of "medically fragile child." The20227
superintendent of public instruction shall issue an initial list20228
no later than September 1, 2001.20229

       (2) The child is determined by the superintendent of public20230
instruction to be a medically fragile child. A school district20231
superintendent may petition the superintendent of public20232
instruction for a determination that a child is a medically20233
fragile child.20234

       (V)(S) A child may be identified as "other health20235
handicapped-minor" if the child's condition meets the definition20236
of "other health impaired" established in rules adopted by the20237
state board of education prior to July 1, 2001, but the child's 20238
condition does not meet either of the conditions specified in 20239
division (U)(R)(1) or (2) of this section.20240

       (W) "SF-3 payment" means the sum of the payments to a school 20241
district in a fiscal year under divisions (A), (C)(1), (C)(4), 20242
(D), (E), and (F) of section 3317.022, divisions (G), (L), and (N) 20243
of section 3317.024, and sections 3317.029, 3317.0216, 3317.0217, 20244
3317.04, 3317.05, 3317.052, and 3317.053 of the Revised Code after 20245
making the adjustments required by sections 3313.981 and 3313.979 20246
of the Revised Code, divisions (B), (C), (D), (E), (K), (L), (M), 20247
(N), and (O) of section 3317.023, and division (C) of section 20248
3317.20(T) "State education aid" has the same meaning as in 20249
section 5751.20 of the Revised Code.20250

       (X)(U) "Property exemption value" means zero in fiscal year 20251
2006, and in fiscal year 2007 and each fiscal year thereafter, the 20252
amount certified for a school district under divisions (A)(6) and 20253
(7) of section 3317.021 of the Revised Code.20254

       (V) "Internet- or computer-based community school" has the 20255
same meaning as in section 3314.02 of the Revised Code.20256

       Sec. 3317.021.  (A) On or before the first day of June of20257
each year, the tax commissioner shall certify to the department of20258
education and the office of budget and management the information 20259
described in divisions (A)(1) to (8) of this section for each 20260
city, exempted village, and local school district, and the 20261
information required by divisions (A)(1) and (2) of this section 20262
for each joint vocational school district, and it shall be used, 20263
along with the information certified under division (B) of this 20264
section, in making the computations for the district under 20265
sections 3317.022, 3317.0216, and 3317.0217 or section 3317.16 of 20266
the Revised Code.20267

       (1) The taxable value of real and public utility real20268
property in the school district subject to taxation in the20269
preceding tax year, by class and by county of location.20270

       (2) The taxable value of tangible personal property,20271
including public utility personal property, subject to taxation by20272
the district for the preceding tax year.20273

       (3)(a) The total property tax rate and total taxes charged20274
and payable for the current expenses for the preceding tax year20275
and the total property tax rate and the total taxes charged and20276
payable to a joint vocational district for the preceding tax year20277
that are limited to or to the extent apportioned to current20278
expenses.20279

       (b) The portion of the amount of taxes charged and payable20280
reported for each city, local, and exempted village school20281
district under division (A)(3)(a) of this section attributable to20282
a joint vocational school district.20283

       (4) The value of all real and public utility real property in 20284
the school district exempted from taxation minus both of the20285
following:20286

       (a) The value of real and public utility real property in the 20287
district owned by the United States government and used20288
exclusively for a public purpose;20289

       (b) The value of real and public utility real property in the 20290
district exempted from taxation under Chapter 725. or 1728. or20291
section 3735.67, 5709.40, 5709.41, 5709.62, 5709.63, 5709.632,20292
5709.73, or 5709.78 of the Revised Code.20293

       (5) The total federal adjusted gross income of the residents20294
of the school district, based on tax returns filed by the20295
residents of the district, for the most recent year for which this20296
information is available.20297

       (6) The sum of the school district compensation value as 20298
indicated on the list of exempted property for the preceding tax 20299
year under section 5713.08 of the Revised Code as if such property 20300
had been assessed for taxation that year and the other 20301
compensation value for the school district, minus the amounts 20302
described in divisions (A)(6)(c) to (i) of this section. The 20303
portion of school district compensation value or other 20304
compensation value attributable to an incentive district exemption 20305
may be subtracted only once even if that incentive district 20306
satisfies more than one of the criteria in divisions (A)(6)(c) to 20307
(i) of this section.20308

       (a) "School district compensation value" means the aggregate 20309
value of real property in the school district exempted from 20310
taxation pursuant to an ordinance or resolution adopted under 20311
division (C) of section 5709.40, division (C) of section 5709.73, 20312
or division (B) of section 5709.78 of the Revised Code to the 20313
extent that the exempted value results in the charging of payments 20314
in lieu of taxes required to be paid to the school district under 20315
division (D)(1) or (2) of section 5709.40, division (D) of section 20316
5709.73, or division (C) of section 5709.78 of the Revised Code.20317

       (b) "Other compensation value" means the quotient that 20318
results from dividing (i) the dollar value of compensation 20319
received by the school district during the preceding tax year 20320
pursuant to division (B), (C), or (D) of section 5709.82 of the 20321
Revised Code and the amounts received pursuant to an agreement as 20322
specified in division (D)(2) of section 5709.40, division (D) of 20323
section 5709.73, or division (C) of section 5709.78 of the Revised 20324
Code to the extent those amounts were not previously reported or 20325
included in division (A)(6)(a) of this section, and so that any 20326
such amount is reported only once under division (A)(6)(b) of this 20327
section, in relation to exemptions from taxation granted pursuant 20328
to an ordinance or resolution adopted under division (C) of 20329
section 5709.40, division (C) of section 5709.73, or division (B) 20330
of section 5709.78 of the Revised Code, by (ii) the real property 20331
tax rate in effect for the preceding tax year for 20332
nonresidential/agricultural real property after making the 20333
reductions required by section 319.301 of the Revised Code.20334

       (c) The portion of school district compensation value or 20335
other compensation value that was exempted from taxation pursuant 20336
to such an ordinance or resolution for the preceding tax year, if 20337
the ordinance or resolution is adopted prior to January 1, 2006, 20338
and the legislative authority or board of township trustees or 20339
county commissioners, prior to January 1, 2006, executes a 20340
contract or agreement with a developer, whether for-profit or 20341
not-for-profit, with respect to the development of a project 20342
undertaken or to be undertaken and identified in the ordinance or 20343
resolution, and upon which parcels such project is being, or will 20344
be, undertaken;20345

        (d) The portion of school district compensation value that 20346
was exempted from taxation for the preceding tax year and for 20347
which payments in lieu of taxes for the preceding tax year were 20348
provided to the school district under division (D)(1) of section 20349
5709.40 of the Revised Code.20350

       (e) The portion of school district compensation value that 20351
was exempted from taxation for the preceding tax year pursuant to 20352
such an ordinance or resolution, if and to the extent that, on or 20353
before April 1, 2006, the fiscal officer of the municipal 20354
corporation that adopted the ordinance, or of the township or 20355
county that adopted the resolution, certifies and provides 20356
appropriate supporting documentation to the tax commissioner and 20357
the director of development that, based on hold-harmless 20358
provisions in any agreement between the school district and the 20359
legislative authority of the municipal corporation, board of 20360
township trustees, or board of county commissioners that was 20361
entered into on or before June 1, 2005, the ability or obligation 20362
of the municipal corporation, township, or county to repay bonds, 20363
notes, or other financial obligations issued or entered into prior 20364
to January 1, 2006, will be impaired, including obligations to or 20365
of any other body corporate and politic with whom the legislative 20366
authority of the municipal corporation or board of township 20367
trustees or county commissioners has entered into an agreement 20368
pertaining to the use of service payments derived from the 20369
improvements exempted;20370

        (f) The portion of school district compensation value that 20371
was exempted from taxation for the preceding tax year pursuant to 20372
such an ordinance or resolution, if the ordinance or resolution is 20373
adopted prior to January 1, 2006, in a municipal corporation with 20374
a population that exceeds one hundred thousand, as shown by the 20375
most recent federal decennial census, that includes a major 20376
employment center and that is adjacent to historically distressed 20377
neighborhoods, if the legislative authority of the municipal 20378
corporation that exempted the property prepares an economic 20379
analysis that demonstrates that all taxes generated within the 20380
incentive district accruing to the state by reason of improvements 20381
constructed within the district during its existence exceed the 20382
amount the state pays the school district under section 3317.022 20383
of the Revised Code attributable to such property exemption from 20384
the school district's recognized valuation. The analysis shall be 20385
submitted to and approved by the department of development prior 20386
to January 1, 2006, and the department shall not unreasonably 20387
withhold approval. 20388

        (g) The portion of school district compensation value that 20389
was exempted from taxation for the preceding tax year under such 20390
an ordinance or resolution, if the ordinance or resolution is 20391
adopted prior to January 1, 2006, and if service payments have 20392
been pledged to be used for mixed-use riverfront entertainment 20393
development in any county with a population that exceeds six 20394
hundred thousand, as shown by the most recent federal decennial 20395
census;20396

        (h) The portion of school district compensation value that 20397
was exempted from taxation for the preceding tax year under such 20398
an ordinance or resolution, if, prior to January 1, 2006, the 20399
legislative authority of a municipal corporation, board of 20400
township trustees, or board of county commissioners has pledged 20401
service payments for a designated transportation capacity project 20402
approved by the transportation review advisory council under 20403
Chapter 5512. of the Revised Code;20404

        (i) The portion of school district compensation value that 20405
was exempted from taxation for the preceding tax year under such 20406
an ordinance or resolution if the legislative authority of a 20407
municipal corporation, board of township trustees, or board of 20408
county commissioners have, by January 1, 2006, pledged proceeds 20409
for designated transportation improvement projects that involve 20410
federal funds for which the proceeds are used to meet a local 20411
share match requirement for such funding.20412

       As used in division (A)(6) of this section, "project" has the 20413
same meaning as in section 5709.40 of the Revised Code.20414

       (7) The aggregate value of real property in the school 20415
district for which an exemption from taxation is granted by an 20416
ordinance or resolution adopted on or after January 1, 2006, under 20417
Chapter 725. or 1728., sections 3735.65 to 3735.70, or section 20418
5709.62, 5709.63, 5709.632, 5709.84, or 5709.88 of the Revised 20419
Code, as indicated on the list of exempted property for the 20420
preceding tax year under section 5713.08 of the Revised Code and 20421
as if such property had been assessed for taxation that year, 20422
minus the product determined by multiplying (a) the aggregate 20423
value of the real property in the school district exempted from 20424
taxation for the preceding tax year under any of the chapters or 20425
sections specified in this division, by (b) a fraction, the 20426
numerator of which is the difference between (i) the amount of 20427
anticipated revenue such school district would have received for 20428
the preceding tax year if the real property exempted from taxation 20429
had not been exempted from taxation and (ii) the aggregate amount 20430
of payments in lieu of taxes on the exempt real property for the 20431
preceding tax year and other compensation received for the 20432
preceding tax year by the school district pursuant to any 20433
agreements entered into on or after January 1, 2006, under section 20434
5709.82 of the Revised Code between the school district and the 20435
legislative authority of a political subdivision that acted under 20436
the authority of a chapter or statute specified in this division, 20437
that were entered into in relation to such exemption, and the 20438
denominator of which is the amount of anticipated revenue such 20439
school district would have received in the preceding fiscal year 20440
if the real property exempted from taxation had not been exempted.20441

       (8) For each school district receiving payments under 20442
division (B) or (C) of section 3317.0216 of the Revised Code 20443
during the current fiscal year, as included on the most recent 20444
list of such districts sent to the tax commissioner under division 20445
(F) of that section, the following:20446

        (a) The portion of the total amount of taxes charged and 20447
payable for current expenses certified under division (A)(3)(a) of 20448
this section that is attributable to each new levy approved and 20449
charged in the preceding tax year and the respective tax rate of 20450
each of those new levies;20451

        (b) The portion of the total taxes collected for current 20452
expenses under a school district income tax adopted pursuant to 20453
section 5748.03 or 5748.08 of the Revised Code, as certified under 20454
division (A)(2) of section 3317.08 of the Revised Code, that is 20455
attributable to each new school district income tax first 20456
effective in the current taxable year or in the preceding taxable 20457
year.20458

       (B) On or before the first day of May each year, the tax20459
commissioner shall certify to the department of education and the 20460
office of budget and management the total taxable real property 20461
value of railroads and, separately, the total taxable tangible 20462
personal property value of all public utilities for the preceding 20463
tax year, by school district and by county of location.20464

       (C) If a public utility has properly and timely filed a20465
petition for reassessment under section 5727.47 of the Revised20466
Code with respect to an assessment issued under section 5727.23 of20467
the Revised Code affecting taxable property apportioned by the tax20468
commissioner to a school district, the taxable value of public20469
utility tangible personal property included in the certification20470
under divisions (A)(2) and (B) of this section for the school20471
district shall include only the amount of taxable value on the20472
basis of which the public utility paid tax for the preceding year20473
as provided in division (B)(1) or (2) of section 5727.47 of the20474
Revised Code.20475

       (D) If on the basis of the information certified under20476
division (A) of this section, the department determines that any20477
district fails in any year to meet the qualification requirement20478
specified in division (A) of section 3317.01 of the Revised Code,20479
the department shall immediately request the tax commissioner to20480
determine the extent to which any school district income tax20481
levied by the district under Chapter 5748. of the Revised Code20482
shall be included in meeting that requirement. Within five days of 20483
receiving such a request from the department, the tax commissioner 20484
shall make the determination required by this division and report 20485
the quotient obtained under division (D)(3) of this section to the 20486
department and the office of budget and management. This quotient 20487
represents the number of mills that the department shall include 20488
in determining whether the district meets the qualification 20489
requirement of division (A) of section 3317.01 of the Revised 20490
Code.20491

       The tax commissioner shall make the determination required by20492
this division as follows:20493

       (1) Multiply one mill times the total taxable value of the20494
district as determined in divisions (A)(1) and (2) of this20495
section;20496

       (2) Estimate the total amount of tax liability for the20497
current tax year under taxes levied by Chapter 5748. of the20498
Revised Code that are apportioned to current operating expenses of20499
the district;20500

       (3) Divide the amount estimated under division (D)(2) of this 20501
section by the product obtained under division (D)(1) of this20502
section.20503

       (E)(1) On or before June 1, 2006, and the first day of April 20504
of each year thereafter, the director of development shall report 20505
to the department of education and, the tax commissioner, and the 20506
director of budget and management the total amounts of payments 20507
received by each city, local, exempted village, or joint 20508
vocational school district for the preceding tax year pursuant to 20509
division (D) of section 5709.40, division (D) of section 5709.73, 20510
division (C) of section 5709.78, or division (B)(1), (B)(2), (C), 20511
or (D) of section 5709.82 of the Revised Code in relation to 20512
exemptions from taxation granted pursuant to an ordinance adopted 20513
by the legislative authority of a municipal corporation under 20514
division (C) of section 5709.40 of the Revised Code, or a 20515
resolution adopted by a board of township trustees or board of 20516
county commissioners under division (C) of section 5709.73 or 20517
division (B) of section 5709.78 of the Revised Code, respectively. 20518
On or before April 1, 2006, and the first day of March of each 20519
year thereafter, the treasurer of each city, local, exempted 20520
village, or joint vocational school district that has entered into 20521
such an agreement shall report to the director of development the 20522
total amounts of such payments the district received for the 20523
preceding tax year as provided in this section. The state board of 20524
education, in accordance with sections 3319.31 and 3319.311 of the 20525
Revised Code, may suspend or revoke the license of a treasurer 20526
found to have willfully reported erroneous, inaccurate, or 20527
incomplete data under this division.20528

       (2) On or before April 1, 2007, and the first day of April of 20529
each year thereafter, the director of development shall report to 20530
the department of education and to, the tax commissioner, and the 20531
director of budget and management the total amounts of payments 20532
received by each city, local, exempted village, or joint 20533
vocational school district for the preceding tax year pursuant to 20534
divisions (B), (C), and (D) of section 5709.82 of the Revised Code 20535
in relation to exemptions from taxation granted pursuant to 20536
ordinances or resolutions adopted on or after January 1, 2006, 20537
under Chapter 725. or 1728., sections 3735.65 to 3735.70, or 20538
section 5709.62, 5709.63, 5709.632, 5709.84, or 5709.88 of the 20539
Revised Code. On or before March 1, 2007, and the first day of 20540
March of each year thereafter, the treasurer of each city, local, 20541
exempted village, or joint vocational school district that has 20542
entered into such an agreement shall report to the director of 20543
development the total amounts of such payments the district 20544
received for the preceding tax year as provided by this section. 20545
The state board of education, in accordance with sections 3319.31 20546
and 3319.311 of the Revised Code, may suspend or revoke the 20547
license of a treasurer found to have willfully reported erroneous, 20548
inaccurate, or incomplete data under this division.20549

       Sec. 3317.022.  (A)(1) The department of education shall20550
compute and distribute state base cost funding to each eligible20551
school district for the fiscal year using the information 20552
obtained under section 3317.021 of the Revised Code in the 20553
calendar year in which the fiscal year begins.20554

       (1) Compute the following for each eligible districtformula:20555

{[
cost-of-doing-business factor X
20556

the formula amount X (formula ADM +
20557

preschool scholarship ADM)] +
20558

the sum of the base funding supplements
20559

prescribed in divisions (C)(1) to (4)
20560

of section 3317.012 of the Revised Code} -
20561

[.023 x (the sum of recognized valuation
20562

and property exemption value)]
+
20563

the amounts calculated for the district under
20564

sections 3317.029 and 3317.0217 of the Revised Code
20565

       If the difference obtained is a negative number, the20566
district's computation shall be zero.20567

       (2) Compute both of the following for each school district:20568

       (a) The difference of (i) the district's fiscal year 2005 20569
base cost payment under the version of division (A)(1) of this 20570
section in effect in fiscal year 2005, minus (ii) the amount 20571
computed for the district for the current fiscal year under 20572
current division (A)(1) of this section;20573

       (b) The following amount:20574

[(fiscal year 2005 base cost payment/fiscal
20575

year 2005 formula ADM) X
20576

(current year formula ADM + preschool scholarship ADM)]
20577

minus the amount computed for the district
20578

under current division (A)(1) of this section
20579

       If one of the amounts computed under division (A)(2)(a) or 20580
(b) of this section is a positive amount, the department shall pay 20581
the district that amount in addition to the amount calculated 20582
under division (A)(1) of this section. If both amounts are 20583
positive amounts, the department shall pay the district the lesser 20584
of the two amounts in addition to the amount calculated under 20585
division (A)(1) of this section.20586

       (3)(a) For each school district for which the tax exempt20587
value of the district equals or exceeds twenty-five per cent of20588
the potential value of the district, the department of education20589
shall calculate the difference between the district's tax exempt20590
value and twenty-five per cent of the district's potential value.20591

       (b) For each school district to which division (A)(3)(2)(a) 20592
of this section applies, the department shall adjust the 20593
recognized valuation used in the calculation under division (A)(1) 20594
of this section by subtracting from it the amount calculated under20595
division (A)(3)(2)(a) of this section.20596

       (B) As used in this section:20597

       (1) The "total special education weight" for a district means 20598
the sum of the following amounts:20599

       (a) The district's category one special education ADM20600
multiplied by the multiple specified in division (A) of section20601
3317.013 of the Revised Code;20602

       (b) The district's category two special education ADM20603
multiplied by the multiple specified in division (B) of section20604
3317.013 of the Revised Code;20605

       (c) The district's category three special education ADM20606
multiplied by the multiple specified in division (C) of section20607
3317.013 of the Revised Code;20608

       (d) The district's category four special education ADM20609
multiplied by the multiple specified in division (D) of section20610
3317.013 of the Revised Code;20611

       (e) The district's category five special education ADM20612
multiplied by the multiple specified in division (E) of section20613
3317.013 of the Revised Code;20614

       (f) The district's category six special education ADM20615
multiplied by the multiple specified in division (F) of section20616
3317.013 of the Revised Code.20617

       (2) "State share percentage" means the percentage calculated20618
for a district as follows:20619

       (a) Calculate the state base cost funding amount for the20620
district for the fiscal year under division (A) of this section.20621
If the district would not receive any state base cost funding for20622
that year under that division, the district's state share20623
percentage is zero.20624

       (b) If the district would receive state base cost funding20625
under that division, divide that amount by an amount equal to the20626
following:20627

(
Cost-of-doing-business factor X
20628

the formula amount X formula ADM) +
20629

the sum of the base funding supplements
20630

prescribed in divisions (C)(1) to (4)
20631

of section 3317.012 of the Revised Code
+
20632

the sum of the amounts calculated for the district under
20633

sections 3317.029 and 3317.0217 of the Revised Code
20634

       The resultant number is the district's state share20635
percentage.20636

       (3) "Related services" includes:20637

       (a) Child study, special education supervisors and20638
coordinators, speech and hearing services, adaptive physical20639
development services, occupational or physical therapy, teacher20640
assistants for handicapped children whose handicaps are described20641
in division (B) of section 3317.013 or division (F)(3) of section20642
3317.02 of the Revised Code, behavioral intervention, interpreter20643
services, work study, nursing services, and specialized20644
integrative services as those terms are defined by the department;20645

       (b) Speech and language services provided to any student with 20646
a handicap, including any student whose primary or only handicap 20647
is a speech and language handicap;20648

       (c) Any related service not specifically covered by other20649
state funds but specified in federal law, including but not20650
limited to, audiology and school psychological services;20651

       (d) Any service included in units funded under former20652
division (O)(1) of section 3317.0233317.024 of the Revised Code;20653

       (e) Any other related service needed by handicapped children20654
in accordance with their individualized education plans.20655

       (4) The "total vocational education weight" for a district20656
means the sum of the following amounts:20657

       (a) The district's category one vocational education ADM20658
multiplied by the multiple specified in division (A) of section20659
3317.014 of the Revised Code;20660

       (b) The district's category two vocational education ADM20661
multiplied by the multiple specified in division (B) of section20662
3317.014 of the Revised Code.20663

       (5) "Preschool scholarship ADM" means the number of 20664
handicapped preschool children reported under division (B)(3)(h) 20665
of section 3317.03 of the Revised Code.20666

       (C)(1) The department shall compute and distribute state20667
special education and related services additional weighted costs20668
funds to each school district in accordance with the following20669
formula:20670

The district's state share percentage X
20671

the formula amount for the year for which
20672

the aid is calculated X the district's
20673

total special education weight
20674

       (2) The attributed local share of special education and20675
related services additional weighted costs equals:20676

(1 - the district's state share percentage) X the district's
20677

total special education weight X the formula amount
20678

       (3)(a) The department shall compute and pay in accordance20679
with this division additional state aid to school districts for20680
students in categories two through six special education ADM. If a 20681
district's costs for the fiscal year for a student in its 20682
categories two through six special education ADM exceed the20683
threshold catastrophic cost for serving the student, the district20684
may submit to the superintendent of public instruction20685
documentation, as prescribed by the superintendent, of all its20686
costs for that student. Upon submission of documentation for a20687
student of the type and in the manner prescribed, the department20688
shall pay to the district an amount equal to the sum of the20689
following:20690

       (i) One-half of the district's costs for the student in20691
excess of the threshold catastrophic cost;20692

       (ii) The product of one-half of the district's costs for the20693
student in excess of the threshold catastrophic cost multiplied by20694
the district's state share percentage.20695

       (b) For purposes of division (C)(3)(a) of this section, the20696
threshold catastrophic cost for serving a student equals:20697

       (i) For a student in the school district's category two,20698
three, four, or five special education ADM, twenty-five thousand20699
dollars in fiscal year 2002, twenty-five thousand seven hundred20700
dollars in fiscal years 2003, 2004, and 2005, and twenty-six 20701
thousand five hundred dollars in fiscal years 2006 and 200720702
twenty-seven thousand three hundred seventy-five dollars in fiscal 20703
years 2008 and 2009;20704

       (ii) For a student in the district's category six special20705
education ADM, thirty thousand dollars in fiscal year 2002, thirty 20706
thousand eight hundred forty dollars in fiscal years 2003, 2004, 20707
and 2005, and thirty-one thousand eight hundred dollars in fiscal 20708
years 2006 and 2007thirty-two thousand eight hundred fifty 20709
dollars in fiscal years 2008 and 2009.20710

       (c) The district shall only report under division (C)(3)(a)20711
of this section, and the department shall only pay for, the costs20712
of educational expenses and the related services provided to the20713
student in accordance with the student's individualized education20714
program. Any legal fees, court costs, or other costs associated20715
with any cause of action relating to the student may not be20716
included in the amount.20717

       (4)(a) As used in this division, the "personnel allowance"20718
means thirty thousand dollars in fiscal years 2002, 2003, 2004, 20719
2005, 2006, and 20072008 and 2009.20720

       (b) For the provision of speech language pathology services 20721
to students, including students who do not have individualized 20722
education programs prepared for them under Chapter 3323. of the 20723
Revised Code, and for no other purpose, the department of 20724
education shall pay each school district an amount calculated 20725
under the following formula:20726

(formula ADM divided by 2000) X
20727

the personnel allowance X
20728

the state share percentage
20729

       (5) In any fiscal year, a school district shall spend for20730
purposes that the department designates as approved for special20731
education and related services expenses at least the amount20732
calculated as follows:20733

(
cost-of-doing-business factor X
20734

formula amount X the sum of categories
20735

one through six special education ADM) +
20736

(total special education weight X formula amount)
20737

       The purposes approved by the department for special education20738
expenses shall include, but shall not be limited to,20739
identification of handicapped children, compliance with state20740
rules governing the education of handicapped children and20741
prescribing the continuum of program options for handicapped20742
children, provision of speech language pathology services, and the 20743
portion of the school district's overall administrative and 20744
overhead costs that are attributable to the district's special 20745
education student population.20746

       The scholarships deducted from the school district's account 20747
under section 3310.41 or 3310.55 of the Revised Code shall be 20748
considered to be an approved special education and related 20749
services expense for the purpose of the school district's 20750
compliance with division (C)(5) of this section.20751

       The department shall require school districts to report data20752
annually to allow for monitoring compliance with division (C)(5)20753
of this section. The department shall annually report to the20754
governor and the general assembly the amount of money spent by20755
each school district for special education and related services.20756

       (6) In any fiscal year, a school district shall spend for the 20757
provision of speech language pathology services not less than the 20758
sum of the amount calculated under division (C)(1) of this section 20759
for the students in the district's category one special education 20760
ADM and the amount calculated under division (C)(4) of this 20761
section.20762

       The scholarships deducted from the school district's account 20763
under section 3310.55 of the Revised Code for students counted in 20764
the district's category one special education ADM shall be 20765
considered to be an approved speech language pathology services 20766
expense for the purpose of the school district's compliance with 20767
division (C)(6) of this section.20768

       (D)(1) As used in this division:20769

       (a) "Daily bus miles per student" equals the number of bus20770
miles traveled per day, divided by transportation base.20771

       (b) "Transportation base" equals total student count as20772
defined in section 3301.011 of the Revised Code, minus the number20773
of students enrolled in preschool handicapped units, plus the20774
number of nonpublic school students included in transportation20775
ADM.20776

       (c) "Transported student percentage" equals transportation20777
ADM divided by transportation base.20778

       (d) "Transportation cost per student" equals total operating20779
costs for board-owned or contractor-operated school buses divided20780
by transportation base.20781

       (2) Analysis of student transportation cost data has resulted 20782
in a finding that an average efficient transportation use cost per 20783
student can be calculated by means of a regression formula that 20784
has as its two independent variables the number of daily bus miles 20785
per student and the transported student percentage. For fiscal20786
year 1998 transportation cost data, the average efficient20787
transportation use cost per student is expressed as follows:20788

51.79027 + (139.62626 X daily bus miles per student) +
20789

(116.25573 X transported student percentage)
20790

       The department of education shall annually determine the20791
average efficient transportation use cost per student in20792
accordance with the principles stated in division (D)(2) of this20793
section, updating the intercept and regression coefficients of the20794
regression formula modeled in this division, based on an annual20795
statewide analysis of each school district's daily bus miles per20796
student, transported student percentage, and transportation cost20797
per student data. The department shall conduct the annual update20798
using data, including daily bus miles per student, transported20799
student percentage, and transportation cost per student data, from20800
the prior fiscal year. The department shall notify the office of20801
budget and management of such update by the fifteenth day of20802
February of each year.20803

       (3) In addition to funds paid under divisions (A), (C), and20804
(E) of this section, each district with a transported student20805
percentage greater than zero shall receive a payment equal to a20806
percentage of the product of the district's transportation base20807
from the prior fiscal year times the annually updated average20808
efficient transportation use cost per student, times an inflation20809
factor of two and eight tenths per cent to account for the20810
one-year difference between the data used in updating the formula20811
and calculating the payment and the year in which the payment is20812
made. The percentage shall be the following percentage of that20813
product specified for the corresponding fiscal year:20814

FISCAL YEAR PERCENTAGE 20815
2000 52.5% 20816
2001 55% 20817
2002 57.5% 20818
2003 and thereafter The greater of 60% or the district's state share percentage 20819

       The payments made under division (D)(3) of this section each20820
year shall be calculated based on all of the same prior year's20821
data used to update the formula.20822

       (4) In addition to funds paid under divisions (D)(2) and (3)20823
of this section, a school district shall receive a rough road20824
subsidy if both of the following apply:20825

       (a) Its county rough road percentage is higher than the20826
statewide rough road percentage, as those terms are defined in20827
division (D)(5) of this section;20828

       (b) Its district student density is lower than the statewide20829
student density, as those terms are defined in that division.20830

       (5) The rough road subsidy paid to each district meeting the20831
qualifications of division (D)(4) of this section shall be20832
calculated in accordance with the following formula:20833

(per rough mile subsidy X total rough road miles)
20834

X density multiplier
20835

       where:20836

       (a) "Per rough mile subsidy" equals the amount calculated in20837
accordance with the following formula:20838

0.75 - {0.75 X [(maximum rough road percentage -
20839

county rough road percentage)/(maximum rough road
20840

percentage - statewide rough road percentage)]}
20841

       (i) "Maximum rough road percentage" means the highest county20842
rough road percentage in the state.20843

       (ii) "County rough road percentage" equals the percentage of20844
the mileage of state, municipal, county, and township roads that20845
is rated by the department of transportation as type A, B, C, E2,20846
or F in the county in which the school district is located or, if20847
the district is located in more than one county, the county to20848
which it is assigned for purposes of determining its20849
cost-of-doing-business factor.20850

       (iii) "Statewide rough road percentage" means the percentage20851
of the statewide total mileage of state, municipal, county, and20852
township roads that is rated as type A, B, C, E2, or F by the20853
department of transportation.20854

       (b) "Total rough road miles" means a school district's total20855
bus miles traveled in one year times its county rough road20856
percentage.20857

       (c) "Density multiplier" means a figure calculated in20858
accordance with the following formula:20859

1 - [(minimum student density - district student
20860

density)/(minimum student density -
20861

statewide student density)]
20862

       (i) "Minimum student density" means the lowest district20863
student density in the state.20864

       (ii) "District student density" means a school district's20865
transportation base divided by the number of square miles in the20866
district.20867

       (iii) "Statewide student density" means the sum of the20868
transportation bases for all school districts divided by the sum20869
of the square miles in all school districts.20870

       (6)(a) "Total cost of transportation" is equal to the cost of 20871
transporting qualifying riders using the following types of 20872
transportation:20873

       (i) Board-owned, leased, and operated school buses;20874

       (ii) School bus service contracted from another school, 20875
including transportation in a consortium arrangement on buses 20876
managed and reported by another district or entity;20877

       (iii) Contractor-owned, leased, and operated school buses.20878

       (b) "Qualifying riders" are students transported living over 20879
one mile from school in grades kindergarten through twelve, 20880
including students with dual enrollment in a joint vocational or 20881
cooperative education district, nonpublic school students, and 20882
community school students. Only students eligible for a 20883
transportation payment under section 3327.01 of the Revised Code 20884
shall be included in this count. This count shall be determined as 20885
the average number of students transported during the first full 20886
week of October, and reported as required by the department of 20887
education. Adjustments to this count may be made only in 20888
accordance with rules adopted by the department.20889

       (c) "Nontraditional riders" are those qualifying riders being 20890
educated in a community school or a nonpublic school.20891

       (d) "Total miles" is the total miles driven for all types of 20892
transportation as listed under division (D)(1)(a) of this section.20893

       (e) "Transportation state share percentage" is the district's 20894
state share percentage, as defined in division (B)(2) of this 20895
section, as determined by the department for the district's second 20896
June state education aid payment of the previous fiscal year.20897

       (f) "Assigned bus" means a bus used for transporting regular 20898
education qualifying riders.20899

       (2) For each school district, the department shall determine 20900
the statewide average cost per student as follows:20901

       (a) Determine the district's cost per student by dividing the 20902
total costs of transportation in the previous fiscal year by total 20903
qualifying riders in the previous fiscal year for each district.20904

       (b) Exclude from the determination under division (D)(2)(a) 20905
of this section the ten districts with the highest cost per 20906
student and the ten districts with the lowest cost per student.20907

       (c) After excluding the districts as prescribed in division 20908
(D)(2)(b) of this section, determine the statewide average cost 20909
per student by dividing the aggregate statewide total costs of 20910
transportation by the aggregate statewide total qualifying riders.20911

       (3) For each school district, the department shall determine 20912
the statewide average cost per mile as follows:20913

       (a) Determine the district's cost per mile by dividing the 20914
total costs of transportation in the previous fiscal year by the 20915
total miles in the previous fiscal year for each district.20916

       (b) Exclude from the determination made under division 20917
(D)(3)(a) of this section, the ten districts with the highest cost 20918
per mile and the ten districts with the lowest cost per mile.20919

       (c) After excluding the districts as prescribed in division 20920
(D)(3)(b) of this section, determine the statewide average cost 20921
per mile by dividing the aggregate statewide total miles for all 20922
districts by the aggregate statewide total qualifying riders.20923

       (4) For each school district, the department shall determine 20924
each district's base calculation as follows:20925

       (a) Determine the per student base by multiplying the state 20926
average cost per student as determined under division (D)(2)(a) of 20927
this section by the district's current year total qualifying 20928
riders.20929

       (b) Determine the per mile base by multiplying the state 20930
average cost per mile as determined under division (D)(3)(a) of 20931
this section by the district's current year total miles.20932

       (c) Determine the current year base by multiplying the 20933
greater of the amount determined under division (D)(4)(a) or (b) 20934
of this section by the greater of sixty per cent or the district's 20935
transportation state share percentage as defined under division 20936
(D)(1) of this section.20937

       (5) For each school district, the department calculate the 20938
district's nontraditional student adjustment as follows:20939

       (a) Determine the district's nontraditional student ratio by 20940
dividing total nontraditional riders by total qualifying riders.20941

       (b) Multiply the ratio determined under division (D)(5)(a) of 20942
this section by 0.1.20943

       (c) Multiply the product calculated under division (D)(5)(b) 20944
of this section by the district's current year base.20945

       (6) If a district provides any of the types of transportation 20946
listed in division (D)(1)(a) of this section to all of its high 20947
school students, the department shall multiply the district's 20948
current year base by 0.025.20949

       (7) If a district provides any of the types of transportation 20950
listed in division (D)(1)(a) of this section to students in grades 20951
kindergarten to eight living less than two miles from school but 20952
greater than one mile from school, the district's current year 20953
base shall be multiplied by 0.025.20954

       (8) For each school district, the department shall calculate 20955
an adjustment based upon efficiency. "Efficiency" means the 20956
ability to exceed a target number of riders per assigned bus. The 20957
target value shall be recalculated each year based upon current 20958
year data, and based upon the median riders per assigned bus.20959

       (a) Each district's efficiency target shall be adjusted based 20960
upon its ridership density, using a formula that compares its 20961
ridership density with other districts, and adjusts the ridership 20962
target based upon that relative density.20963

       (b) The efficiency index for each district shall be 20964
determined by dividing each district's current year qualifying 20965
riders per assigned bus by its target riders per assigned bus.20966

       (c) The efficiency adjustment for each district shall be as 20967
follows:20968

       (i) If the district's efficiency index is greater than or 20969
equal to 1.5, the efficiency adjustment is ten per cent times the 20970
current year base.20971

       (ii) If the district's efficiency index is less than 1.5 but 20972
greater than or equal to 1.0, the district's efficiency adjustment 20973
is as follows:20974

       [(the district's efficiency index minus one) divided by five] 20975
times the current year base.20976

       (iii) If the district's efficiency index is less than 1.0, 20977
the district's efficiency adjustment is zero.20978

       (d) The department shall publish on its web site the 20979
efficiency index for each district and the details of how the 20980
index was calculated.20981

       (9) Each district shall be paid the lesser of the amount 20982
described in division (D)(9)(a) or (b) of this section:20983

       (a) The sum of the amounts determined under divisions 20984
(D)(4)(c), (5)(c), (6), (7), and (8)(c) of this section;20985

       (b) The district's total actual cost from the prior fiscal 20986
year.20987

       (10) In addition to funds paid under divisions (D)(2) to (5)20988
division (D)(9) of this section, each district shall receive in 20989
accordance with rules adopted by the state board of education a 20990
payment for students transported by means other than board-owned 20991
or contractor-operated buses and whose transportation is not 20992
funded under division (G) of section 3317.024 of the Revised Code. 20993
The rules shall include provisions for school district reporting 20994
of such students.20995

       (E)(1) The department shall compute and distribute state20996
vocational education additional weighted costs funds to each20997
school district in accordance with the following formula:20998

state share percentage X
20999

the formula amount X
21000

total vocational education weight
21001

       In any fiscal year, a school district receiving funds under21002
division (E)(1) of this section shall spend those funds only for21003
the purposes that the department designates as approved for21004
vocational education expenses. Vocational educational expenses 21005
approved by the department shall include only expenses connected 21006
to the delivery of career-technical programming to 21007
career-technical students. The department shall require the school 21008
district to report data annually so that the department may 21009
monitor the district's compliance with the requirements regarding 21010
the manner in which funding received under division (E)(1) of this 21011
section may be spent.21012

       (2) The department shall compute for each school district21013
state funds for vocational education associated services in21014
accordance with the following formula:21015

state share percentage X .05 X the formula amount X
21016

the sum of categories one and two vocational education ADM
21017

       In any fiscal year, a school district receiving funds under21018
division (E)(2) of this section, or through a transfer of funds21019
pursuant to division (L) of section 3317.023 of the Revised Code,21020
shall spend those funds only for the purposes that the department21021
designates as approved for vocational education associated21022
services expenses, which may include such purposes as21023
apprenticeship coordinators, coordinators for other vocational21024
education services, vocational evaluation, and other purposes21025
designated by the department. The department may deny payment21026
under division (E)(2) of this section to any district that the21027
department determines is not operating those services or is using21028
funds paid under division (E)(2) of this section, or through a21029
transfer of funds pursuant to division (L) of section 3317.023 of21030
the Revised Code, for other purposes.21031

       (F) The actual local share in any fiscal year for the21032
combination of special education and related services additional21033
weighted costs funding calculated under division (C)(1) of this21034
section, transportation funding calculated under divisions (D)(2)21035
and (3) of this section, and vocational education and associated21036
services additional weighted costs funding calculated under21037
divisions (E)(1) and (2) of this section shall not exceed for any21038
school district the product of three and three-tenths mills times 21039
the district's recognized valuation. The department annually shall 21040
pay each school district as an excess cost supplement any amount 21041
by which the sum of the district's attributed local shares for 21042
that funding exceeds that product. For purposes of calculating the21043
excess cost supplement:21044

       (1) The attributed local share for special education and21045
related services additional weighted costs funding is the amount21046
specified in division (C)(2) of this section.21047

       (2) The attributed local share of transportation funding21048
equals the difference of the total amount calculated for the21049
district using the formula developed under division (D)(2) of this21050
section minus the actual amount paid to the district after21051
applying the percentage specified in division (D)(3) of this21052
sectionone hundred one per cent of the district's local share of 21053
transportation funding calculated by the department for the 21054
previous fiscal year.21055

       (3) The attributed local share of vocational education and21056
associated services additional weighted costs funding is the21057
amount determined as follows:21058

(1 - state share percentage) X
21059

[(total vocational education weight X
21060

the formula amount) + the payment under
21061

division (E)(2) of this section]
21062

       Sec. 3317.023.  (A) Notwithstanding section 3317.022 of the21063
Revised Code, the amounts required to be paid to a district under21064
this chapter shall be adjusted by the amount of the computations21065
made under divisions (B) to (O)(P) of this section.21066

       As used in this section:21067

       (1) "Classroom teacher" means a licensed employee who21068
provides direct instruction to pupils, excluding teachers funded21069
from money paid to the district from federal sources; educational21070
service personnel; and vocational and special education teachers.21071

       (2) "Educational service personnel" shall not include such21072
specialists funded from money paid to the district from federal21073
sources or assigned full-time to vocational or special education21074
students and classes and may only include those persons employed21075
in the eight specialist areas in a pattern approved by the21076
department of education under guidelines established by the state21077
board of education.21078

       (3) "Annual salary" means the annual base salary stated in21079
the state minimum salary schedule for the performance of the21080
teacher's regular teaching duties that the teacher earns for21081
services rendered for the first full week of October of the fiscal21082
year for which the adjustment is made under division (C) of this21083
section. It shall not include any salary payments for supplemental 21084
teachers contracts.21085

       (4) "Regular student population" means the formula ADM plus21086
the number of students reported as enrolled in the district21087
pursuant to division (A)(1) of section 3313.981 of the Revised21088
Code; minus the number of students reported under division (A)(2)21089
of section 3317.03 of the Revised Code; minus the FTE of students21090
reported under division (B)(6), (7), (8), (9), (10), (11), or (12) 21091
of that section who are enrolled in a vocational education class 21092
or receiving special education; and minus twenty per cent of the21093
students enrolled concurrently in a joint vocational school21094
district.21095

       (5) "State share percentage" has the same meaning as in21096
section 3317.022 of the Revised Code.21097

       (6) "VEPD" means a school district or group of school21098
districts designated by the department of education as being21099
responsible for the planning for and provision of vocational21100
education services to students within the district or group.21101

       (7) "Lead district" means a school district, including a21102
joint vocational school district, designated by the department as21103
a VEPD, or designated to provide primary vocational education21104
leadership within a VEPD composed of a group of districts.21105

       (B) If the district employs less than one full-time21106
equivalent classroom teacher for each twenty-five pupils in the21107
regular student population in any school district, deduct the sum21108
of the amounts obtained from the following computations:21109

       (1) Divide the number of the district's full-time equivalent21110
classroom teachers employed by one twenty-fifth;21111

       (2) Subtract the quotient in (1) from the district's regular21112
student population;21113

       (3) Multiply the difference in (2) by seven hundred fifty-two 21114
dollars.21115

       (C) If a positive amount, add one-half of the amount obtained 21116
by multiplying the number of full-time equivalent classroom 21117
teachers by:21118

       (1) The mean annual salary of all full-time equivalent21119
classroom teachers employed by the district at their respective21120
training and experience levels minus;21121

       (2) The mean annual salary of all such teachers at their21122
respective levels in all school districts receiving payments under21123
this section.21124

       The number of full-time equivalent classroom teachers used in21125
this computation shall not exceed one twenty-fifth of the21126
district's regular student population. In calculating the21127
district's mean salary under this division, those full-time21128
equivalent classroom teachers with the highest training level21129
shall be counted first, those with the next highest training level21130
second, and so on, in descending order. Within the respective21131
training levels, teachers with the highest years of service shall21132
be counted first, the next highest years of service second, and so21133
on, in descending order.21134

       (D) This division does not apply to a school district that21135
has entered into an agreement under division (A) of section21136
3313.42 of the Revised Code. Deduct the amount obtained from the21137
following computations if the district employs fewer than five21138
full-time equivalent educational service personnel, including21139
elementary school art, music, and physical education teachers,21140
counselors, librarians, visiting teachers, school social workers,21141
and school nurses for each one thousand pupils in the regular21142
student population:21143

       (1) Divide the number of full-time equivalent educational21144
service personnel employed by the district by five21145
one-thousandths;21146

       (2) Subtract the quotient in (1) from the district's regular21147
student population;21148

       (3) Multiply the difference in (2) by ninety-four dollars.21149

       (E) If a local school district, or a city or exempted village 21150
school district to which a governing board of an educational 21151
service center provides services pursuant to section 3313.843 of 21152
the Revised Code, deduct the amount of the payment required for 21153
the reimbursement of the governing board under section 3317.11 of 21154
the Revised Code.21155

       (F)(1) If the district is required to pay to or entitled to21156
receive tuition from another school district under division (C)(2)21157
or (3) of section 3313.64 or section 3313.65 of the Revised Code,21158
or if the superintendent of public instruction is required to21159
determine the correct amount of tuition and make a deduction or21160
credit under section 3317.08 of the Revised Code, deduct and21161
credit such amounts as provided in division (J) of section 3313.6421162
or section 3317.08 of the Revised Code.21163

       (2) For each child for whom the district is responsible for21164
tuition or payment under division (A)(1) of section 3317.082 or21165
section 3323.091 of the Revised Code, deduct the amount of tuition21166
or payment for which the district is responsible.21167

       (G) If the district has been certified by the superintendent21168
of public instruction under section 3313.90 of the Revised Code as21169
not in compliance with the requirements of that section, deduct an21170
amount equal to ten per cent of the amount computed for the21171
district under section 3317.022 of the Revised Code.21172

       (H) If the district has received a loan from a commercial21173
lending institution for which payments are made by the21174
superintendent of public instruction pursuant to division (E)(3)21175
of section 3313.483 of the Revised Code, deduct an amount equal to21176
such payments.21177

       (I)(1) If the district is a party to an agreement entered21178
into under division (D), (E), or (F) of section 3311.06 or21179
division (B) of section 3311.24 of the Revised Code and is21180
obligated to make payments to another district under such an21181
agreement, deduct an amount equal to such payments if the district21182
school board notifies the department in writing that it wishes to21183
have such payments deducted.21184

       (2) If the district is entitled to receive payments from21185
another district that has notified the department to deduct such21186
payments under division (I)(1) of this section, add the amount of21187
such payments.21188

       (J) If the district is required to pay an amount of funds to21189
a cooperative education district pursuant to a provision described21190
by division (B)(4) of section 3311.52 or division (B)(8) of21191
section 3311.521 of the Revised Code, deduct such amounts as21192
provided under that provision and credit those amounts to the21193
cooperative education district for payment to the district under21194
division (B)(1) of section 3317.19 of the Revised Code.21195

       (K)(1) If a district is educating a student entitled to21196
attend school in another district pursuant to a shared education21197
contract, compact, or cooperative education agreement other than21198
an agreement entered into pursuant to section 3313.842 of the21199
Revised Code, credit to that educating district on an FTE basis 21200
both of the following:21201

       (a) An amount equal to the greater of the following:21202

       (i) The fiscal year 2005 formula amount times the fiscal year 21203
2005 cost of doing business factor of the school district where 21204
the student is entitled to attend school pursuant to section 21205
3313.64 or 3313.65 of the Revised Code;21206

       (ii) The sum of (the current formula amount times the current 21207
cost-of-doing-business factor of the school district when the 21208
student is entitled to attend school pursuant to section 3313.64 21209
or 3313.65 of the Revised Code) plus the per pupil amount of the 21210
base funding supplements specified in divisions (C)(1) to (4) of 21211
section 3317.012 of the Revised Code.21212

       (b) An amount equal to the current formula amount times the 21213
state share percentage times any multiple applicable to the 21214
student pursuant to section 3317.013 or 3317.014 of the Revised 21215
Code.21216

       (2) Deduct any amount credited pursuant to division (K)(1) of21217
this section from amounts paid to the school district in which the 21218
student is entitled to attend school pursuant to section 3313.64 21219
or 3313.65 of the Revised Code.21220

       (3) If the district is required by a shared education21221
contract, compact, or cooperative education agreement to make21222
payments to an educational service center, deduct the amounts from21223
payments to the district and add them to the amounts paid to the21224
service center pursuant to section 3317.11 of the Revised Code.21225

       (L)(1) If a district, including a joint vocational school21226
district, is a lead district of a VEPD, credit to that district21227
the amounts calculated for all the school districts within that21228
VEPD pursuant to division (E)(2) of section 3317.022 of the21229
Revised Code.21230

       (2) Deduct from each appropriate district that is not a lead21231
district, the amount attributable to that district that is21232
credited to a lead district under division (L)(1) of this section.21233

       (M) If the department pays a joint vocational school district 21234
under division (G)(4) of section 3317.16 of the Revised Code for 21235
excess costs of providing special education and related services 21236
to a handicapped student, as calculated under division (G)(2) of 21237
that section, the department shall deduct the amount of that 21238
payment from the city, local, or exempted village school district 21239
that is responsible as specified in that section for the excess 21240
costs.21241

       (N)(1) If the district reports an amount of excess cost for 21242
special education services for a child under division (C) of 21243
section 3323.14 of the Revised Code, the department shall pay that 21244
amount to the district.21245

       (2) If the district reports an amount of excess cost for 21246
special education services for a child under division (C) of 21247
section 3323.14 of the Revised Code, the department shall deduct 21248
that amount from the district of residence of that child.21249

       (O) If the department of job and family services presents to 21250
the department of education a payment request through an 21251
intrastate transfer voucher for the nonfederal share of 21252
reimbursements made to a school district for medicaid services 21253
provided by the district, the department of education shall pay 21254
the amount of that request to the department of job and family 21255
services and shall deduct the amount of that payment from the 21256
district.21257

       (P) If the department is required to pay an amount under 21258
section 3353.25 of the Revised Code to a school district 21259
delivering a course included in the clearinghouse established 21260
under section 3353.21 of the Revised Code for a student enrolled 21261
in a school district, the department shall deduct that amount from 21262
the school district in which the student is enrolled.21263

       Sec. 3317.024.  In addition to the moneys paid to eligible21264
school districts pursuant to section 3317.022 of the Revised Code,21265
moneys appropriated for the education programs in divisions (A) to21266
(I), (K), (L), and (N) of this section shall be distributed to 21267
school districts meeting the requirements of section 3317.01 of 21268
the Revised Code; in the case of divisions (G) and (L) of this21269
section, to educational service centers as provided in section21270
3317.11 of the Revised Code; in the case of divisions (D) and (J) 21271
of this section, to county MR/DD boards; in the case of division 21272
(N) of this section, to joint vocational school districts; in the21273
case of division (H) of this section, to cooperative education 21274
school districts; and in the case of division (M) of this section, 21275
to the institutions defined under section 3317.082 of the Revised 21276
Code providing elementary or secondary education programs to 21277
children other than children receiving special education under 21278
section 3323.091 of the Revised Code. The following shall be 21279
distributed monthly, quarterly, or annually as may be determined 21280
by the state board of education:21281

       (A) An amount for each island school district and each joint21282
state school district for the operation of each high school and21283
each elementary school maintained within such district and for21284
capital improvements for such schools. Such amounts shall be21285
determined on the basis of standards adopted by the state board of21286
education.21287

       (B) An amount for each school district operating classes for21288
children of migrant workers who are unable to be in attendance in21289
an Ohio school during the entire regular school year. The amounts21290
shall be determined on the basis of standards adopted by the state21291
board of education, except that payment shall be made only for21292
subjects regularly offered by the school district providing the21293
classes.21294

       (C) An amount for each school district with guidance,21295
testing, and counseling programs approved by the state board of21296
education. The amount shall be determined on the basis of21297
standards adopted by the state board of education.21298

       (D) An amount for the emergency purchase of school buses as21299
provided for in section 3317.07 of the Revised Code;21300

       (E) An amount for each school district required to pay21301
tuition for a child in an institution maintained by the department21302
of youth services pursuant to section 3317.082 of the Revised21303
Code, provided the child was not included in the calculation of21304
the district's average daily membership for the preceding school21305
year.21306

       (F) An amount for adult basic literacy education for each21307
district participating in programs approved by the state board of21308
education. The amount shall be determined on the basis of21309
standards adopted by the state board of education.21310

       (G) An amount for the approved cost of transporting eligible 21311
pupils with disabilities attending a special education program 21312
approved by the department of education whom it is impossible or21313
impractical to transport by regular school bus in the course of21314
regular route transportation provided by the district or service21315
center. No district or service center is eligible to receive a21316
payment under this division for the cost of transporting any pupil21317
whom it transports by regular school bus and who is included in21318
the district's transportation ADM. The state board of education21319
shall establish standards and guidelines for use by the department21320
of education in determining the approved cost of such21321
transportation for each district or service center.21322

       (H) An amount to each school district, including each21323
cooperative education school district, pursuant to section 3313.8121324
of the Revised Code to assist in providing free lunches to needy21325
children and an amount to assist needy school districts in21326
purchasing necessary equipment for food preparation. The amounts21327
shall be determined on the basis of rules adopted by the state21328
board of education.21329

       (I) An amount to each school district, for each pupil21330
attending a chartered nonpublic elementary or high school within21331
the district. The amount shall equal the amount appropriated for21332
the implementation of section 3317.06 of the Revised Code divided21333
by the average daily membership in grades kindergarten through21334
twelve in nonpublic elementary and high schools within the state21335
as determined during the first full week in October of each school21336
year.21337

       (J) An amount for each county MR/DD board, distributed on the 21338
basis of standards adopted by the state board of education, for 21339
the approved cost of transportation required for children21340
attending special education programs operated by the county MR/DD21341
board under section 3323.09 of the Revised Code;21342

       (K) An amount for each school district that establishes a21343
mentor teacher program that complies with rules of the state board21344
of education. No school district shall be required to establish or21345
maintain such a program in any year unless sufficient funds are21346
appropriated to cover the district's total costs for the program.21347

       (L) An amount to each school district or educational service21348
center for the total number of gifted units approved pursuant to21349
section 3317.05 of the Revised Code. The amount for each such unit 21350
shall be the sum of the minimum salary for the teacher of the21351
unit, calculated on the basis of the teacher's training level and21352
years of experience pursuant to the salary schedule prescribed in21353
the version of section 3317.13 of the Revised Code in effect prior21354
to July 1, 2001, plus fifteen per cent of that minimum salary21355
amount, plus two thousand six hundred seventy-eight dollars.21356

       (M) An amount to each institution defined under section21357
3317.082 of the Revised Code providing elementary or secondary21358
education to children other than children receiving special21359
education under section 3323.091 of the Revised Code. This amount21360
for any institution in any fiscal year shall equal the total of21361
all tuition amounts required to be paid to the institution under21362
division (A)(1) of section 3317.082 of the Revised Code.21363

       (N) A grant to each school district and joint vocational21364
school district that operates a "graduation, reality, and21365
dual-role skills" (GRADS) program for pregnant and parenting21366
students that is approved by the department. The amount of the21367
payment shall be the district's state share percentage, as defined21368
in section 3317.022 or 3317.16 of the Revised Code, times the21369
GRADS personnel allowance times the full-time-equivalent number of21370
GRADS teachers approved by the department. The GRADS personnel21371
allowance is $47,555 in fiscal years 2004, 2005, 2006, and 200721372
2008 and 2009.21373

       The state board of education or any other board of education21374
or governing board may provide for any resident of a district or21375
educational service center territory any educational service for21376
which funds are made available to the board by the United States21377
under the authority of public law, whether such funds come21378
directly or indirectly from the United States or any agency or21379
department thereof or through the state or any agency, department,21380
or political subdivision thereof.21381

       Sec. 3317.025.  On or before the first day of June of each21382
year, the tax commissioner shall certify the following information21383
to the department of education and the office of budget and 21384
management, for each school district in which the value of the 21385
property described under division (A) of this section exceeds one 21386
per cent of the taxable value of all real and tangible personal 21387
property in the district or in which is located tangible personal 21388
property designed for use or used in strip mining operations, 21389
whose taxable value exceeds five million dollars, and the taxes 21390
upon which the district is precluded from collecting by virtue of 21391
legal proceedings to determine the value of such property:21392

       (A) The total taxable value of all property in the district21393
owned by a public utility or railroad that has filed a petition21394
for reorganization under the "Bankruptcy Act," 47 Stat. 147421395
(1898), 11 U.S.C. 205, as amended, and all tangible personal21396
property in the district designed for use or used in strip mining21397
operations whose taxable value exceeds five million dollars upon21398
which have not been paid in full on or before the first day of21399
April of that calendar year all real and tangible personal21400
property taxes levied for the preceding calendar year and which21401
the district was precluded from collecting by virtue of21402
proceedings under section 205 of said act or by virtue of legal21403
proceedings to determine the tax liability of such strip mining21404
equipment;21405

       (B) The percentage of the total operating taxes charged and21406
payable for school district purposes levied against such valuation21407
for the preceding calendar year that have not been paid by such21408
date;21409

       (C) The product obtained by multiplying the value certified21410
under division (A) of this section by the percentage certified21411
under division (B) of this section. If the value certified under21412
division (A) of this section includes taxable property owned by a21413
public utility or railroad that has filed a petition for21414
reorganization under the bankruptcy act, the amount used in making21415
the calculation under this division shall be reduced by one per21416
cent of the total value of all real and tangible personal property21417
in the district or the value of the utility's or railroad's21418
property, whichever is less.21419

       Upon receipt of the certification, the department shall21420
recompute the payments required under section 3317.022 of the21421
Revised Code in the manner the payments would have been computed21422
if:21423

       (1) The amount certified under division (C) of this section21424
was not subject to taxation by the district and was not included21425
in the certification made under division (A)(1), (A)(2), or (D) of21426
section 3317.021 of the Revised Code.21427

       (2) The amount of taxes charged and payable and unpaid and21428
used to make the computation under division (B) of this section21429
had not been levied and had not been used in the computation21430
required by division (B) of section 3317.021 of the Revised Code. 21431
The department shall pay the district that amount in the ensuing21432
fiscal year in lieu of the amounts computed under section 3317.02221433
of the Revised Code.21434

       If a school district received a grant from the catastrophic21435
expenditures account pursuant to division (C) of section 3316.2021436
of the Revised Code on the basis of the same circumstances for21437
which a recomputation is made under this section, the amount of21438
the recomputation shall be reduced and transferred in accordance21439
with division (C) of section 3316.20 of the Revised Code.21440

       Sec. 3317.026.  (A) As used in this section, "refunded taxes" 21441
means taxes charged and payable from real and tangible personal 21442
property, including public utility property, that have been found 21443
to have been overpaid as the result of reductions in the taxable 21444
value of such property and that have been refunded, including any 21445
interest or penalty refunded with those taxes. If taxes are 21446
refunded over a period of time pursuant to division (B)(2), (3), 21447
or (4) of section 319.36 or division (C) of section 5727.471 of 21448
the Revised Code, the total amount of taxes required to be 21449
refunded, excluding any interest accruing after the day the21450
undertaking is entered into, shall be considered to have been21451
refunded on the day the first portion of the overpayment is paid21452
or credited.21453

       (B) Not later than the last day of February each year, each21454
county auditor shall certify to the tax commissioner, for each21455
school district in the county, the amount of refunded taxes21456
refunded in the preceding calendar year and the reductions in21457
taxable value that resulted in those refunds, except for21458
reductions in taxable value that previously have been reported to21459
the tax commissioner on an abstract. If the tax commissioner21460
determines that the amount of refunded taxes certified for a21461
school district exceeds three per cent of the total taxes charged21462
and payable for current expenses of the school district for the21463
calendar year in which those taxes were refunded, the tax21464
commissioner shall certify the reductions in taxable value that21465
resulted in those refunds on or before the first day of June to21466
the department of education and the office of budget and 21467
management. Upon receiving the certification by the tax 21468
commissioner, the department of education shall reduce the total 21469
taxable value of the school district, as defined in section21470
3317.02 of the Revised Code, by the total amount of the reductions21471
in taxable value that resulted in those refunds for the purpose of21472
computing the SF-3 paymentstate education aid for the school 21473
district for the current fiscal year. The increase in the amount 21474
of such aid resulting from the adjustment required by this section 21475
shall be paid to the school district on or before the thirty-first 21476
day of July of the following fiscal year. The payment date shall 21477
be determined by the director of budget and management. The 21478
director shall select a payment date that is not earlier than the 21479
first day of June of the current fiscal year and not later than 21480
the thirty-first day of July of the following fiscal year. The 21481
department of education shall not pay the district under this 21482
section prior to approval by the director of budget and management 21483
to make that payment.21484

       If an adjustment is made under this division in the amount of 21485
state aid paid to a school district, the tax value reductions from 21486
which that adjustment results shall not be used in recomputing aid 21487
to a school district under section 3317.027 of the Revised Code.21488

       (C) If a school district received a grant from the21489
catastrophic expenditures account pursuant to division (C) of21490
section 3316.20 of the Revised Code on the basis of the same21491
circumstances for which an adjustment is made under this section,21492
the amount of the adjustment shall be reduced and transferred in21493
accordance with division (C) of section 3316.20 of the Revised21494
Code.21495

       (D) Not later than the first day of June each year, the tax21496
commissioner shall certify to the department of education and the 21497
office of budget and management for each school district the total 21498
of the increases in taxable value above the amount of taxable 21499
value on which tax was paid, as provided in division (B)(1) or (2) 21500
of section 5727.47 of the Revised Code, as determined by the 21501
commissioner, and for which a notification was sent pursuant to 21502
section 5727.471 of the Revised Code, in the preceding calendar 21503
year. Upon receiving the certification, the department shall 21504
increase the total taxable value, as defined in section 3317.02 of 21505
the Revised Code, of the school district by the total amount of 21506
the increase in taxable value certified by the commissioner for21507
the school district for the purpose of computing the school21508
district's SF-3 paymentstate education aid for the following 21509
fiscal year.21510

       Sec. 3317.027.  On or before the fifteenth day of May of each21511
year, the tax commissioner shall certify to the department of21512
education and the office of budget and management:21513

       (A) The amount by which applications filed under section21514
5713.38 of the Revised Code or complaints filed under section21515
5715.19 of the Revised Code resulted in a reduction in the second21516
preceding year's taxable value in each school district in which21517
such a reduction occurred, and the amount by which such reduction21518
reduced the district's taxes charged and payable for such year;21519
and21520

       (B) The taxes charged and payable for the second preceding21521
tax year that were remitted under section 5713.081 of the Revised21522
Code and the taxable value against which such taxes were imposed.21523

       Upon receipt of such certifications, the department shall21524
recompute the district's SF-3 paymentstate education aid and 21525
determine the amount that the SF-3 paymentstate education aid21526
would have been paid had the taxable value not been used in the21527
computation made under division (A)(1) of section 3317.021 of the21528
Revised Code and had the taxes charged and payable not been 21529
included in the certification made under division (A)(3) of such 21530
section. The department shall calculate the amount that the 21531
remainder of the fiscal year's payments should have been for the 21532
fiscal year including the amount of the SF-3 paymentstate 21533
education aid as recomputed. The increase or decrease in the 21534
amount of aid resulting from the adjustment required under this 21535
section shall be paid to the school district on or before the 21536
thirty-first day of July of the following fiscal year. The payment 21537
date shall be determined by the director of budget and management. 21538
The director shall select a payment date that is not earlier than 21539
the first day of June of the current fiscal year and not later 21540
than the thirty-first day of July of the following fiscal year. 21541
The department of education shall not pay the district under this 21542
section prior to approval by the director of budget and management 21543
to make that payment.21544

       If a school district received a grant from the catastrophic21545
expenditures account pursuant to division (C) of section 3316.2021546
of the Revised Code on the basis of the same circumstances for21547
which a recomputation is made under this section, the amount of21548
the recomputation shall be reduced and transferred in accordance21549
with division (C) of section 3316.20 of the Revised Code.21550

       Sec. 3317.028.  (A) On or before the fifteenth day of May in21551
each calendar year prior to calendar year 2007, the tax 21552
commissioner shall determine for each school district whether the 21553
taxable value of all tangible personal property, including utility 21554
tangible personal property, subject to taxation by the district in 21555
the preceding tax year was less or greater than the taxable value 21556
of such property during the second preceding tax year. If any such 21557
decrease exceeds five per cent of the district's tangible personal 21558
property taxable value included in the total taxable value used in 21559
computing the district's SF-3 paymentstate education aid for the 21560
fiscal year that ends in the current calendar year, or if any such 21561
increase exceeds five per cent of the district's total taxable 21562
value used in computing the district's SF-3 paymentstate 21563
education aid for the fiscal year that ends in the current 21564
calendar year, the tax commissioner shall certify both of the21565
following to the department of education and the office of budget 21566
and management:21567

       (1) The taxable value of the tangible personal property21568
increase or decrease, including utility tangible personal property21569
increase or decrease, which shall be considered a change in21570
valuation;21571

       (2) The decrease or increase in taxes charged and payable on21572
such change in taxable value calculated in the same manner as in21573
division (A)(3) of section 3317.021 of the Revised Code.21574

       (B) On or before May 15, 2007, and the fifteenth day of May 21575
in each calendar year thereafter, the tax commissioner shall 21576
determine for each school district whether the taxable value of 21577
all utility tangible personal property subject to taxation by the 21578
district in the preceding tax year was less or greater than the 21579
taxable value of such property during the second preceding tax 21580
year. If any decrease exceeds five per cent of the district's 21581
tangible personal property taxable value included in the total 21582
taxable value used in the district's state aid computation for the 21583
fiscal year that ends in the current calendar year, or if any 21584
increase exceeds five per cent of the district's total taxable 21585
value used in the district's state education aid computation for 21586
the fiscal year that ends in the current calendar year, the tax 21587
commissioner shall certify both of the following to the department 21588
of education and the office of budget and management:21589

       (1) The taxable value of the utility tangible personal 21590
property increase or decrease, which shall be considered a change 21591
in valuation;21592

       (2) The decrease or increase in taxes charged and payable on 21593
such change in taxable value calculated in the same manner as in 21594
division (A)(3) of section 3317.021 of the Revised Code.21595

       (C) Upon receipt of a certification specified in this 21596
section, the department of education shall reduce or increase by 21597
the respective amounts certified and the taxable value and the 21598
taxes charged and payable that were used in computing the 21599
district's SF-3 paymentstate education aid for the fiscal year 21600
that ends in the current calendar year and shall recompute the 21601
SF-3 paymentstate education aid for such fiscal year. The 21602
department shall pay the district a sum equal to one-half of the 21603
recomputed payments in lieu of the payments otherwise required21604
under that section on or before the thirty-first day of July of 21605
the following fiscal yearto or deduct from the district an amount 21606
equal to one-half of the difference between the district's state 21607
education aid prior to the recomputation under this section and 21608
the district's recomputed state education aid. The payment date 21609
shall be determined by the director of budget and management. The 21610
director shall select a payment date that is not earlier than the 21611
first day of June of the current fiscal year and not later than 21612
the thirty-first day of July of the following fiscal year. The 21613
department of education shall not pay the district under this 21614
section prior to approval by the director of budget and management 21615
to make that payment.21616

       (D) If a school district received a grant from the21617
catastrophic expenditures account pursuant to division (C) of21618
section 3316.20 of the Revised Code on the basis of the same21619
circumstances for which a recomputation is made under this21620
section, the amount of the recomputation shall be reduced and21621
transferred in accordance with division (C) of section 3316.20 of21622
the Revised Code.21623

       Sec. 3317.029.  (A) As used in this section:21624

       (1) "Poverty percentage" means the quotient obtained by21625
dividing the five-year average number of children ages five to21626
seventeen residing in the school district and living in a family21627
receiving assistance under the Ohio works first program or an 21628
antecedent program known as TANF or ADC for the preceding five 21629
years, as certified or adjusted under section 3317.10 of the 21630
Revised Code, by the district's three-year average formula ADM.21631

       (2) "Statewide poverty percentage" means the five-year21632
average of the total number of children ages five to seventeen21633
years residing in the state and receiving assistance under the21634
Ohio works first program or an antecedent program known as TANF or21635
ADC for the preceding five years, divided by the sum of the 21636
three-year average formula ADMs for all school districts in the 21637
state.21638

       (3) "Poverty index" means the quotient obtained by dividing 21639
the school district's poverty percentage by the statewide poverty 21640
percentage.21641

       (4) "Poverty student count" means the five-year average 21642
number of children ages five to seventeen residing in the school 21643
district and living in a family receiving assistance under the 21644
Ohio works first program or an antecedent program known as TANF or 21645
ADC for the preceding five years, as certified under section 21646
3317.10 of the Revised Code.21647

       (5) "Kindergarten ADM" means the number of students reported21648
under section 3317.03 of the Revised Code as enrolled in21649
kindergarten, excluding any kindergarten students reported under 21650
division (B)(3)(e), (f), or (g) of section 3317.03 of the Revised 21651
Code.21652

       (6) "Kindergarten through third grade ADM" means the amount21653
calculated as follows:21654

       (a) Multiply the kindergarten ADM by the sum of one plus the21655
all-day kindergarten percentage;21656

       (b) Add the number of students in grades one through three;21657

       (c) Subtract from the sum calculated under division (A)(6)(b) 21658
of this section the number of special education students in grades 21659
kindergarten through three.21660

        "Kindergarten through third grade ADM" shall not include any 21661
students reported under division (B)(3)(e), (f), or (g) of section 21662
3317.03 of the Revised Code.21663

       (7) "All-day kindergarten" means a kindergarten class that is21664
in session five days per week for not less than the same number of21665
clock hours each day as for pupils in grades one through six.21666

       (8) "All-day kindergarten percentage" means the percentage of21667
a district's actual total number of students enrolled in21668
kindergarten who are enrolled in all-day kindergarten.21669

       (9) "All-day kindergarten ADM" means the number of students 21670
reported under section 3317.03 of the Revised Code as enrolled in 21671
all-day kindergarten, excluding any kindergarten students reported 21672
under division (B)(3)(e), (f), or (g) of that section.21673

       (10) "Academic distress percentage" means the quotient of the 21674
number of district-operated buildings in the school district 21675
designated under section 3302.03 of the Revised Code as in a state 21676
of academic watch or academic emergency, divided by the total 21677
number of buildings in the district that were open for instruction 21678
during the same school year to which the ratings apply.21679

       (11) "Statewide academic distress percentage" means the 21680
quotient of the statewide number of school district buildings and 21681
community schools designated under section 3302.03 of the Revised 21682
Code as in a state of academic watch or academic emergency, 21683
divided by the statewide total number of school district buildings 21684
and community schools that were open for instruction during the 21685
same school year to which the ratings apply.21686

       (12) "Academic distress index" means the quotient of the 21687
school district's academic distress percentage, divided by the 21688
statewide academic distress percentage.21689

       (13) "Buildings with the highest concentration of need" means21690
the school buildings in a district withthat meet either of the 21691
following criteria:21692

       (a) Are in school improvement status pursuant to the "No 21693
Child Left Behind Act of 2001," as defined in section 3302.01 of 21694
the Revised Code;21695

       (b) Have percentages of students in grades kindergarten21696
through three receiving assistance under Ohio works first at least 21697
as high as the district-wide percentage of students receiving such21698
assistance. However, the district shall give priority to any of 21699
those buildings that have been declared to be in a state of 21700
academic watch or academic emergency under section 3302.03 of the 21701
Revised Code.21702

        If, in any fiscal year, the information provided by the21703
department of job and family services under section 3317.10 of the21704
Revised Code is insufficient to determine the Ohio works first 21705
percentage in each building, "buildings with the highest 21706
concentration of need" has the meaning given in rules that the 21707
department of education shall adopt. The rules shall base the21708
definition of "buildings with the highest concentration of need"21709
on family income of students in grades kindergarten through three21710
in a manner that, to the extent possible with available data,21711
approximates the intent of this division and division (K) of this21712
section to designate buildings where the Ohio works first 21713
percentage in those grades equals or exceeds the district-wide21714
Ohio works first percentage.21715

       (B) In addition to the amounts required to be paid to a21716
school district under section 3317.022 of the Revised Code, the21717
The department of education shall compute and distribute tofor21718
each school district for poverty-based assistance the greater of 21719
the following:21720

       (1) The amount the district received in fiscal year 2005 for 21721
disadvantaged pupil impact aid pursuant to Section 41.10 of Am. 21722
Sub. H.B. 95 of the 125th general assembly, as amended, minus the 21723
amount deducted from the district under Section 16 of Am. Sub. 21724
S.B. 2 of the 125th general assembly that year for payments to 21725
internet- and computer-based community schools;21726

       (2) The sum of the computations made under divisions (C) to 21727
(I)(J) of this section and shall pay that sum to the district in 21728
accordance with division (A) of section 3317.022 of the Revised 21729
Code.21730

       (C) A payment for academic intervention programs, if the 21731
district's poverty index is greater than or equal to 0.25, 21732
calculated as follows:21733

       (1) If the district's poverty index is greater than or equal 21734
to 0.25, calculate the district's level one amount for large-group 21735
academic intervention for all students as follows:21736

        (a) If the district's poverty index is greater than or equal 21737
to 0.25 but less than 0.75:21738

large-group intervention units X hourly rate X
21739

level one hours X [(poverty index – 0.25)/0.5]
21740

X phase-in percentage
21741

        Where:21742

        (i) "Large-group intervention units" equals the district's 21743
formula ADM divided by 20;21744

        (ii) "Hourly rate" equals $20.00$21.01 in fiscal year 200621745
2008 and $20.40$21.64 in fiscal year 20072009;21746

        (iii) "Level one hours" equals 25 hours;21747

       (iv) "Phase-in percentage" equals 0.60 in fiscal year 2006 21748
and 1.00 in fiscal year 2007.21749

        (b) If the district's poverty index is greater than or equal 21750
to 0.75:21751

large-group intervention units X hourly rate X
21752

level one hours
X phase-in percentage
21753

        Where "large-group intervention units," "hourly rate," and21754
"level one hours," and "phase-in percentage" have the same 21755
meanings as in division (C)(1)(a) of this section.21756

        (2) If the district's poverty index is greater than or equal 21757
to 0.75, calculate the district's level two amount for 21758
medium-group academic intervention for all students as follows:21759

        (a) If the district's poverty index is greater than or equal 21760
to 0.75 but less than 1.50:21761

medium-group intervention units X hourly rate
21762

X {level one hours + [25 hours X ((poverty index – 0.75)/0.75)]}
21763

X phase-in percentage
21764

        Where:21765

       (i) "Medium group intervention units" equals the district's 21766
formula ADM divided by 15;21767

       (ii) "Hourly rate," and "level one hours," and "phase-in 21768
percentage" have the same meanings as in division (C)(1)(a) of 21769
this section.21770

        (b) If the district's poverty index is greater than or equal 21771
to 1.50:21772

medium-group intervention units X hourly rate X
21773

level two hours
X phase-in percentage
21774

        Where:21775

        (i) "Medium group intervention units" has the same meaning as 21776
in division (C)(2)(a)(i) of this section;21777

       (ii) "Hourly rate" and "phase-in percentage" havehas the 21778
same meaningsmeaning as in division (C)(1)(a) of this section;21779

        (iii) "Level two hours" equals 50 hours.21780

        (3) If the district's poverty index is greater than or equal 21781
to 1.50, calculate the district's level three amount for 21782
small-group academic intervention for impoverished students as 21783
follows:21784

        (a) If the district's poverty index is greater than or equal 21785
to 1.50 but less than 2.50:21786

small group intervention units X hourly rate X
21787

{level one hours + [level three hours X
21788

(poverty index – 1.50)]}
X phase-in percentage
21789

        Where:21790

        (i) "Small group intervention units" equals the quotient of 21791
(the district's poverty student count times 3) divided by 10;21792

       (ii) "Hourly rate," and "level one hours," and "phase-in 21793
percentage" have the same meanings as in division (C)(1)(a) of 21794
this section;21795

        (iii) "Level three hours" equals 135 hours.21796

        (b) If the district's poverty index is greater than or equal 21797
to 2.50:21798

small group intervention units X hourly rate
21799

X level three hours
X phase-in percentage
21800

        Where:21801

        (i) "Small group intervention units" has the same meaning as 21802
in division (C)(3)(a)(i) of this section;21803

       (ii) "Hourly rate" and "phase-in percentage" havehas the 21804
same meaningsmeaning as in division (C)(1)(a) of this section;21805

        (iii) "Level three hours" equals 160 hours.21806

       Any district that receives funds under division (C)(2) or (3) 21807
of this section annually shall submit to the department of 21808
education by a date established by the department a plan 21809
describing how the district will deploy those funds. The 21810
deployment measures described in that plan shall comply with any 21811
applicable spending requirements prescribed in division (J)(6) of21812
this section or with any order issued by the superintendent of 21813
public instruction under section 3317.017 of the Revised Code.21814

       (D) A payment for all-day kindergarten if the poverty index 21815
of the school district is greater than or equal to 1.0 or if the21816
district's three-year average formula ADM exceeded seventeen21817
thousand five hundred. In addition, the department shall make a 21818
payment under this division to any school district that, in a 21819
prior fiscal year, qualified for this payment and provided all-day 21820
kindergarten, regardless of changes to the district's poverty 21821
index. The department shall calculate the payment under this 21822
division by multiplying the all-day kindergarten percentage by the21823
kindergarten ADM and multiplying that product by the formula21824
amount.21825

       (E) A class-size reduction payment for increased classroom 21826
learning opportunities based on calculating the number of new21827
teachers necessary to achieve a lower student-teacher ratio, as 21828
follows:21829

       (1) Determine or calculate a formula number of teachers per21830
one thousand students based on the poverty index of the school21831
district as follows:21832

       (a) If the poverty index of the school district is less than 21833
1.0, the formula number of teachers is 50.0, which is the number 21834
of teachers per one thousand students at a student-teacher ratio21835
of twenty to one;21836

       (b) If the poverty index of the school district is greater 21837
than or equal to 1.0, but less than 1.5, the formula number of 21838
teachers is calculated as follows:21839

50.0 + {[(poverty index – 1.0)/0.5] X 16.667}
21840

       Where 50.0 is the number of teachers per one thousand21841
students at a student-teacher ratio of twenty to one; 0.5 is the 21842
interval from a poverty index of 1.0 to a poverty index of 1.5; 21843
and 16.667 is the difference in the number of teachers per one 21844
thousand students at a student-teacher ratio of fifteen to one and 21845
the number of teachers per one thousand students at a 21846
student-teacher ratio of twenty to one.21847

       (c) If the poverty index of the school district is greater 21848
than or equal to 1.5, the formula number of teachers is 66.667,21849
which is the number of teachers per one thousand students at a21850
student-teacher ratio of fifteen to one.21851

       (2) Multiply the formula number of teachers determined or21852
calculated in division (E)(1) of this section by the kindergarten21853
through third grade ADM for the district and divide that product21854
by one thousand;21855

       (3) Calculate the number of new teachers as follows:21856

       (a) Multiply the kindergarten through third grade ADM by 21857
50.0, which is the number of teachers per one thousand students at 21858
a student-teacher ratio of twenty to one, and divide that product 21859
by one thousand;21860

       (b) Subtract the quotient obtained in division (E)(3)(a) of21861
this section from the product in division (E)(2) of this section.21862

       (4) Multiply the greater of the difference obtained under21863
division (E)(3) of this section or zero by the statewide average21864
teachers compensation. For this purpose, the "statewide average 21865
teacher compensation" is $53,680$56,754 in fiscal year 2006200821866
and $54,941$58,621 in fiscal year 20072009, which includes an 21867
amount for the value of fringe benefits.21868

       (F) A payment for services to limited English proficient 21869
students, if the district's poverty index is greater than or equal 21870
to 1.0 and the proportion of its students who are limited English 21871
proficient, as reported in 2003 on its school district report 21872
issued under section 3302.03 of the Revised Code for the 2002-2003 21873
school year, is greater than or equal to 2.0%, calculated as 21874
follows:21875

       (1) If the district's poverty index is greater than or equal 21876
to 1.0, but less than 1.75, determine the amount per limited 21877
English proficient student as follows:21878

{0.125 + [0.125 X ((poverty index - 1.0)/0.75)]}
21879

X formula amount
21880

       (2) If the district's poverty index is greater than or equal 21881
to 1.75, the amount per limited English proficient student equals:21882

0.25 X formula amount
21883

       (3) Multiply the per student amount determined for the 21884
district under division (F)(1) or (2) of this section by the 21885
number of the district's limited English proficient students, 21886
times a phase-in percentage of 0.40 in fiscal year 2006 and 0.70 21887
in fiscal year 2007years 2008 and 2009. For purposes of this 21888
calculation, the number of limited English proficient students for 21889
each district shall be the number determined by the department 21890
when it calculated the district's percentage of limited English 21891
proficient students for its school district report card issued in 21892
2003 for the 2002-2003 school year.21893

       Not later than December 31, 2006, the department of education 21894
shall recommend to the general assembly and the director of budget 21895
and management a method of identifying the number of limited 21896
English proficient students for purposes of calculating payments 21897
under this division after fiscal year 2007.21898

       (G) A payment for professional development of teachers, if 21899
the district's poverty index is greater than or equal to 1.0, 21900
calculated as follows:21901

       (1) If the district's poverty index is greater than or equal 21902
to 1.0, but less than 1.75, determine the amount per teacher as 21903
follows:21904

[(poverty index – 1.0)/0.75] X 0.045 X formula amount
21905

       (2) If the district's poverty index is greater than or equal 21906
to 1.75, the amount per teacher equals:21907

0.045 X formula amount
21908

       (3) Determine the number of teachers, as follows:21909

(formula ADM/17)
21910

       (4) Multiply the per teacher amount determined for the 21911
district under division (G)(1) or (2) of this section by the 21912
number of teachers determined under division (G)(3) of this 21913
section, times a phase-in percentage of 0.40 in fiscal year 2006 21914
and 0.70 in fiscal year 2007.21915

       (H) A payment for dropout prevention, if the district is a 21916
big eight school district as defined in section 3314.02 of the 21917
Revised Code, calculated as follows:21918

0.005 X formula amount X poverty index
21919

X formula ADM
X phase-in percentage
21920

       Where "phase-in percentage" equals 0.40 in fiscal year 2006 21921
and 0.70 in fiscal year 2007.21922

       (I) An amount for community outreach, if the district is an 21923
urban school district as defined in section 3314.02 of the Revised 21924
Code, calculated as follows:21925

0.005 X formula amount X poverty index X
21926

formula ADM
X phase-in percentage
21927

       Where "phase-in percentage" equals 0.40 in fiscal year 2006 21928
and 0.70 in fiscal year 2007.21929

       (J) A payment for assistance in closing the achievement gap, 21930
if the district's poverty index is greater than or equal to 1.0 21931
and its academic distress index is greater than or equal to 1.0, 21932
as determined based on the most recent report card issued under 21933
section 3302.03 of the Revised Code prior to the beginning of the 21934
fiscal year, calculated as follows:21935

       (1) In fiscal year 2008:21936

poverty index X academic distress index X
21937

(0.0015 X formula amount) X formula ADM
21938

       (2) In fiscal year 2009:21939

       (a) If the district's academic distress percentage is less 21940
than its academic distress percentage used for the prior fiscal 21941
year:21942

poverty index X academic distress index X
21943

(0.0015 X formula amount) X formula ADM X 1.035
21944

       (b) If the district's academic distress percentage is greater 21945
than or equal to its academic distress percentage used for the 21946
prior fiscal year:21947

poverty index X academic distress index X
21948

(0.0015 X formula amount) X formula ADM
21949

       (K) This division applies only to school districts whose 21950
poverty index is 1.0 or greater.that receive more than ten 21951
thousand dollars under this section. Except as provided in 21952
division (L) of this section with respect to funds paid under 21953
division (J)(2)(b) of this section, in division (M)(2) of this 21954
section with respect to funds paid under division (D) of this 21955
section, and in division (O) of this section, each such district 21956
shall use funds paid under this section only for one or more of 21957
the following purposes:21958

       (1) Each school district subject to this division shall first 21959
utilize funds received under this section so that, when combined 21960
with other funds of the district, sufficient funds exist toTo21961
provide all-day kindergarten to at least the number of children in 21962
the district's all-day kindergarten percentage. To satisfy this 21963
requirement, a district may use funds paid under division (C), 21964
(F), (G), (H), or (I) of this section to provide all-day 21965
kindergarten in addition to the all-day kindergarten payment under 21966
division (D) of this section.ADM;21967

       (2) Except as permitted under division (J)(1) of this 21968
section, each school district shall use its payment under division 21969
(F) of this section forTo provide services to students with 21970
limited English proficiency through one or more of the following 21971
purposesactivities:21972

       (a) To hireHiring teachers for limited English proficient 21973
students or other personnel to provide intervention services for 21974
those students;21975

       (b) To contractContracting for intervention services for 21976
those students;21977

       (c) To provideProviding other services to assist those 21978
students in passing the third-grade reading achievement test, and 21979
to provide for those students the intervention services required 21980
by section 3313.608 of the Revised Code.21981

       (3) Except as permitted under division (J)(1) of this 21982
section, each school district shall use its payment under division 21983
(G) of this section forTo provide professional development of 21984
teachers or other licensed personnel providing educational 21985
services to students only in one or more of the following areas:21986

       (a) Data-based decision making;21987

       (b) Standards-based curriculum models;21988

       (c) Job-embeddedHigh quality professional development 21989
activities that are research-based, as defined in federal lawby 21990
state standards developed under section 3319.61 of the Revised 21991
Code;21992

       (d) Professional learning communities.21993

       In addition, each district that elects to use funds paid 21994
under this section for professional development shall use the 21995
payment only to implement programs identified on a list of 21996
eligible professional development programs provided by the 21997
department of education. The department annually shall provide the 21998
list to each district receiving a payment under division (G) of21999
this section. However, a district may apply to the department for 22000
a waiver to implement an alternative professional development 22001
program in one or more of the areas specified in divisions 22002
(J)(3)(a) to (c) of this section. If the department grants the 22003
waiver, the district may use its payment under division (G) of 22004
this section to implement the alternative program.22005

       (4) Except as permitted under division (J)(1) of this 22006
section, each big eight school district shall use its payment 22007
under division (H) of this section either forFor preventing 22008
at-risk students from dropping out of school, for safety and 22009
security measures described in division (J)(5)(b) of this section, 22010
for academic intervention services described in division (J)(6) of 22011
this section, or for a combination of those purposes. Not later 22012
than September 1, 20052007, the department of education shall 22013
provide each big eight school district receiving a payment under 22014
this section with a list of dropout prevention programs that it 22015
has determined are successful. The department subsequently may 22016
update the list. Each district that elects to use its payment 22017
under division (H) of this section for dropout prevention shall 22018
use the payment only to implement a dropout prevention program 22019
specified on the department's list. However, a district may apply 22020
to the department for a waiver to implement an alternative dropout 22021
prevention program. If the department grants the waiver, the 22022
district may use its payment under division (H) of this section to 22023
implement the alternative program.22024

       (5) Except as permitted under division (J)(1) of this 22025
section, each urban school district that has a poverty index 22026
greater than or equal to 1.0 shall use its payment under division 22027
(I) of this section forFor one or a combinationboth of the 22028
following purposes:22029

       (a) To hire or contract for community liaison officers, 22030
attendance or truant officers, or safety and security personnel;22031

       (b) To implement programs designed to ensure that schools are 22032
free of drugs and violence and have a disciplined environment 22033
conducive to learning;22034

       (c) To implement academic intervention services described in 22035
division (J)(6) of this section.22036

       (6) Except as permitted under division (J)(1) of this 22037
section, each school district with a poverty index greater than or 22038
equal to 1.0 shall use the amount of its payment under division 22039
(C) of this section, and may use any amount of its payment under 22040
division (H) or (I) of this section, forFor academic intervention 22041
services for students who have failed or are in danger of failing 22042
any of the tests administered pursuant to section 3301.0710 of the 22043
Revised Code, including intervention services required by section22044
3313.608 of the Revised Code. Except as permitted under division 22045
(J)(1) of this section, no district shall spend any portion of its 22046
payment under division (C) of this section for any other purpose. 22047
Notwithstanding any provision to the contrary in Chapter 4117. of 22048
the Revised Code, no collective bargaining agreement entered into 22049
after June 30, 2005, shall require use of the payment for any 22050
other purpose.22051

       (7) Except as otherwise required by division (K) or permitted 22052
under division (O) of this section, all remaining funds22053
distributed under this section to districts with a poverty index 22054
greater than or equal to 1.0 shall be utilized for the purpose of22055
the third grade guarantee. The third grade guarantee consists of22056
For increased classroom learning opportunities by increasing the22057
amount of instructional attention received per pupil in22058
kindergarten through third grade, either by reducing the ratio of22059
students to instructional personnel or by increasing the amount of22060
instruction and curriculum-related activities by extending the22061
length of the school day or the school year.22062

       School districts may implement a reduction of the ratio of22063
students to instructional personnel through any or all of the22064
following methods:22065

       (a) Reducing the number of students in a classroom taught by22066
a single teacher;22067

       (b) Employing full-time educational aides or educational22068
paraprofessionals issued a permit or license under section22069
3319.088 of the Revised Code;22070

       (c) Instituting a team-teaching method that will result in a22071
lower student-teacher ratio in a classroom.22072

       Districts may extend the school day either by increasing the22073
amount of time allocated for each class, increasing the number of22074
classes provided per day, offering optional academic-related22075
after-school programs, providing curriculum-related extra22076
curricular activities, or establishing tutoring or remedial22077
services for students who have demonstrated an educational need.22078
In accordance with section 3319.089 of the Revised Code, a22079
district extending the school day pursuant to this division may22080
utilize a participant of the work experience program who has a22081
child enrolled in a public school in that district and who is22082
fulfilling the work requirements of that program by volunteering22083
or working in that public school. If the work experience program22084
participant is compensated, the school district may use the funds22085
distributed under this section for all or part of the22086
compensation.22087

       Districts may extend the school year either through adding22088
regular days of instruction to the school calendar or by providing22089
summer programs.22090

       (K) Each district shall not expend any funds received under 22091
division (E) of this section in any school buildings that are not 22092
buildings with the highest concentration of need, unless there is 22093
a ratio of instructional personnel to students of no more than 22094
fifteen to one in each kindergarten and first grade class in all22095
buildings with the highest concentration of need. This division 22096
does not require that the funds used in buildings with the highest 22097
concentration of need be spent solely to reduce the ratio of 22098
instructional personnel to students in kindergarten and first 22099
grade. A school district may spend the funds in those buildings in 22100
any manner permitted by division (J)(7) of this section, but may22101
not spend the money in other buildings unless the fifteen-to-one 22102
ratio required by this division is attained.22103

       (L)(1) By the first day of August of each fiscal year, each22104
(8) For early childhood programs or early learning programs, as 22105
defined by the department of education, for children age three or 22106
four who are not eligible for kindergarten;22107

       (9) To furnish, free of charge, materials used in courses of 22108
instruction, except for the necessary textbooks or electronic 22109
textbooks required to be furnished without charge pursuant to 22110
section 3329.06 of the Revised Code, to pupils living in families 22111
participating in Ohio works first in accordance with section 22112
3313.642 of the Revised Code;22113

       (10) For programs designed to reduce nonacademic barriers to 22114
learning, in accordance with guidelines developed by the 22115
department of education;22116

       (11) For school nutrition programs provided pursuant to 22117
section 3313.813 of the Revised Code.22118

       However, a school district may apply to the department, in 22119
the form and manner prescribed by the department, for a waiver to 22120
spend funds paid under this section for programs not described in 22121
divisions (K)(1) to (11) of this section. The waiver application 22122
shall specify the rationale for the alternative expenditure and 22123
the intended benefits for disadvantaged students. If the 22124
department grants the waiver, the district may use funds paid 22125
under this section to implement the alternative program.22126

       (L) This division applies only to funds paid under division 22127
(J)(2)(b) of this section.22128

       (1) If applicable, each school district shall use the funds 22129
for any necessary expenses for the continued operation of a school 22130
district academic distress commission appointed under section 22131
3302.10 of the Revised Code.22132

       (2) After satisfying the requirement of division (L)(1) of 22133
this section, each district shall spend the remaining funds only 22134
for one or more of the following purposes and only in buildings 22135
with the highest concentration of need:22136

       (a) Assistance in improving student performance;22137

       (b) Professional development for teachers and administrators;22138

       (c) Assistance in recruiting and retaining teachers and 22139
administrators.22140

       (M)(1) Each school district wishing to receive any funds 22141
under division (D) of this section shall submit to the department 22142
of education an estimate of itsthe number of students attending22143
all-day kindergarten percentagewhen reporting formula ADM under 22144
section 3317.03 of the Revised Code. Each district shall update 22145
its estimate throughout the fiscal year in the form and manner 22146
required by the department, and the department shall adjust 22147
payments under this section to reflect the updates.22148

       (2) Annually by the end of December, the department of22149
education, utilizing data from the information system established22150
under section 3301.0714 of the Revised Code, shall determine for 22151
each school district subject to division (J) of this section 22152
whether in the preceding fiscal year the district's ratio of 22153
instructional personnel to students and its number of kindergarten 22154
students receiving all-day kindergarten appear reasonable, given 22155
the amounts of money the district received for that fiscal year 22156
pursuant to divisions (D) and (E) of this section. If the 22157
department is unable to verify from the data available that 22158
students are receiving reasonable amounts of instructional 22159
attention and all-day kindergarten, given the funds the district22160
has received under this section and that class-size reduction22161
funds are being used in school buildings with the highest 22162
concentration of need as required by division (K) of this section, 22163
the department shall conduct a more intensive investigation to22164
ensure that funds have been expended as required by this section. 22165
The department shall file an annual report of its findings under22166
this division with the chairpersons of the committees in each 22167
house of the general assembly dealing with finance and education.22168

        (M)(1)(2) Each school district with a poverty index less than 22169
1.0 that receives a payment under division (D) of this section 22170
shall first utilize funds received under this section so that ,22171
when combined with other funds of the district, sufficient funds22172
existdivision to provide all-day kindergarten to at least the22173
number of children in the district's all-day kindergarten22174
percentage. To satisfy this requirement, a district may use funds 22175
paid under division (C) or (I) of this section to provide all-day 22176
kindergarten in addition to the all-day kindergarten payment under 22177
division (D) of this section.22178

       (2) Except as permitted under division (M)(1) of this 22179
section, each school district with a poverty index less than 1.0 22180
that receives a payment under division (C) of this section shall 22181
use its payment under that division in accordance with all 22182
requirements of division (J)(6) of this section.22183

       (3) Except as permitted under division (M)(1) of this 22184
section, each school district with a poverty index less than 1.0 22185
that receives a payment under division (I) of this section shall 22186
use its payment under that division for one or a combination of 22187
the following purposes:22188

       (a) To hire or contract for community liaison officers, 22189
attendance or truant officers, or safety and security personnel;22190

       (b) To implement programs designed to ensure that schools are 22191
free of drugs and violence and have a disciplined environment 22192
conducive to learning;22193

       (c) To implement academic intervention services described in 22194
division (J)(6) of this section.22195

       (4) Each school district to which division (M)(1), (2), or 22196
(3) of this section applies shall expend the remaining funds 22197
received under this section, and any other district with a poverty 22198
index less than 1.0 shall expend all funds received under this22199
section, for any of the following purposes:22200

       (a) The purchase of technology for instructional purposes for 22201
remediation;22202

       (b) All-day kindergarten;22203

       (c) Reduction of class sizes in grades kindergarten through 22204
three, as described in division (J)(7) of this section;22205

       (d) Summer school remediation;22206

       (e) Dropout prevention programs approved by the department of 22207
education under division (J)(4) of this section;22208

       (f) Guaranteeing that all third graders are ready to progress 22209
to more advanced work;22210

       (g) Summer education and work programs;22211

       (h) Adolescent pregnancy programs;22212

       (i) Head start, preschool, early childhood education, or 22213
early learning programs;22214

       (j) Reading improvement and remediation programs described by 22215
the department of education;22216

       (k) Programs designed to ensure that schools are free of22217
drugs and violence and have a disciplined environment conducive to22218
learning;22219

       (l) Furnishing, free of charge, materials used in courses of 22220
instruction, except for the necessary textbooks or electronic22221
textbooks required to be furnished without charge pursuant to22222
section 3329.06 of the Revised Code, to pupils living in families22223
participating in Ohio works first in accordance with section22224
3313.642 of the Revised Code;22225

       (m) School breakfasts provided pursuant to section 3313.81322226
of the Revised Code.22227

       (N) If at any time the superintendent of public instruction22228
determines that a school district receiving funds under division22229
(D) of this section has enrolled lessfewer than the number of22230
all-day kindergarten percentagestudents reported for that fiscal 22231
year, the superintendent shall withhold from the funds otherwise 22232
due the district under this section a proportional amount as 22233
determined by the difference in the certified all-day kindergarten 22234
percentageADM and the percentage actually enrolled inactual22235
all-day kindergarten ADM.22236

       The superintendent shall also withhold an appropriate amount22237
of funds otherwise due a district for any other misuse of funds22238
not in accordance with this section.22239

       (O)(1) A district may use a portion of the funds calculated22240
for itpaid under division (D) of this section to modify or 22241
purchase classroom space to provide all-day kindergarten, if both 22242
of the following conditions are met:22243

       (a) The district certifies to the department, in a manner22244
acceptable to the department, that it has a shortage of space for22245
providing all-day kindergarten.22246

       (b) The district provides all-day kindergarten to the number22247
of children in the all-day kindergarten percentage it certified22248
under this section.22249

       (2) A district may use a portion of the funds described in22250
division (J)(7) ofpaid under this section to modify or purchase 22251
classroom space to enable it to further reduce class size in 22252
grades kindergarten through two with a goal of attaining class 22253
sizes of fifteen students per licensed teacher. To do so, the 22254
district must certify its need for additional space to the 22255
department, in a manner satisfactory to the department.22256

       (P) Not later than the thirtieth day of September each year, 22257
each school district paid under this section shall report to the 22258
department, in the form and manner prescribed by the department, 22259
how the district deployed funds received under this section in the 22260
prior fiscal year. If a school district does not meet adequate 22261
progress standards as defined by the department, the department 22262
shall make recommendations to the district for deploying funds 22263
under this section in a more effective manner.22264

       Sec. 3317.0216.  (A) As used in this section:22265

       (1) "Total taxes charged and payable for current expenses"22266
means the sum of the taxes charged and payable as certified under22267
division (A)(3)(a) of section 3317.021 of the Revised Code less22268
any amounts reported under division (A)(3)(b) of that section, and22269
the tax distribution for the preceding year under any school22270
district income tax levied by the district pursuant to Chapter22271
5748. of the Revised Code to the extent the revenue from the22272
income tax is allocated or apportioned to current expenses.22273

       (2) "Charge-off amount" means two and three-tenths per cent 22274
multiplied by (the sum of recognized valuation and property 22275
exemption value).22276

       (3) Until fiscal year 2003, the "actual local share of22277
special education, transportation, and vocational education22278
funding" for any school district means the sum of the district's22279
attributed local shares described in divisions (F)(1) to (3) of22280
section 3317.022 of the Revised Code. Beginning in fiscal year22281
2003, the "actual local share of special education,22282
transportation, and vocational education funding" means that sum22283
minus the amount of any excess cost supplement payment calculated22284
for the district under division (F) of section 3317.022 of the22285
Revised Code.22286

       (4) "Current expense revenues from the tangible property tax 22287
replacement fund" means payments received from the school district 22288
tangible property tax replacement fund or the general revenue fund 22289
under section 5751.21 of the Revised Code for fixed-rate levies 22290
for current expenses and for fixed-sum levies for current 22291
expenses, including school district emergency levies under 22292
sections 5705.194 to 5705.197 of the Revised Code.22293

       (B) Upon receiving the certifications under section 3317.02122294
of the Revised Code, the department of education shall determine22295
for each city, local, and exempted village school district whether22296
the district's charge-off amount is greater than the sum of the 22297
district's total taxes charged and payable for current expenses 22298
and current expense revenues from the tangible property tax 22299
replacement fund, and if the charge-off amount is greater, shall 22300
pay the district the amount of the difference. A payment shall not 22301
be made to any school district for which the computation under 22302
division (A) of section 3317.022 of the Revised Code equals zero.22303

       (C)(1) If a district's charge-off amount is equal to or22304
greater than the sum of its total taxes charged and payable for 22305
current expenses and current expense revenues from the tangible 22306
property tax replacement fund, the department shall, in addition 22307
to the payment required under division (B) of this section, pay 22308
the district the amount of its actual local share of special22309
education, transportation, and vocational education funding.22310

       (2) If a district's charge-off amount is less than the sum of22311
its total taxes charged and payable for current expenses and 22312
current expense revenues from the tangible property tax 22313
replacement fund, the department shall pay the district any amount 22314
by which its actual local share of special education,22315
transportation, and vocational education funding exceeds the sum 22316
of its total taxes charged and payable for current expenses and 22317
current expense revenues from the tangible property tax 22318
replacement fund minus its charge-off amount.22319

       (D) If a school district that received a payment under 22320
division (B) or (C) of this section in the prior fiscal year is 22321
ineligible for payment under those divisions in the current fiscal 22322
year, the department shall determine if the ineligibility is the 22323
result of a property tax or income tax levy approved by the 22324
district's voters to take effect in tax year 2005 or thereafter. 22325
If the department determines that is the case, and calculates that 22326
the levy causing the ineligibility exceeded by at least one mill 22327
the equivalent millage of the prior year's payment under divisions 22328
(B) and (C) of this section, the department shall make a payment 22329
to the district for the first three years that the district loses 22330
eligibility for payment under divisions (B) and (C) of this 22331
section, as follows:22332

       (1) In the first year of ineligibility, the department shall 22333
pay the district seventy-five per cent of the amount it last paid 22334
the district under divisions (B) and (C) of this section.22335

       (2) In the second year of ineligibility, the department shall 22336
pay the district fifty per cent of the amount it last paid the 22337
district under those divisions.22338

       (3) In the third year of ineligibility, the department shall 22339
pay the district twenty-five per cent of the amount it last paid 22340
the district under those divisions.22341

       (E) A district that receives payment under division (D) of 22342
this section and subsequently qualifies for payment under division 22343
(B) or (C) of this section is ineligible for future payments under 22344
division (D) of this section.22345

       (F) To enable the department of education to make the 22346
determinations and to calculate payments under division (D) of 22347
this section, on the effective date of this amendmentMarch 30, 22348
2006, and on or before the first day of March of each year 22349
thereafter, the department shall send to the tax commissioner a 22350
list of school districts receiving payments under division (B) or 22351
(C) of this section for the current fiscal year. On or before the 22352
first day of the following June, the tax commissioner shall 22353
certify to the department of education for those school districts 22354
the information required by division (A)(8) of section 3317.021 of 22355
the Revised Code.22356

       Sec. 3317.0217. ThePayment of the amount calculated for a 22357
school district under this section shall be made under division 22358
(A) of section 3317.022 of the Revised Code.22359

       The department of education shall annually compute and pay22360
state parity aid to school districts, as follows:22361

       (A) Calculate the local wealth per pupil of each school22362
district, which equals the following sum:22363

       (1) Two-thirds times the quotient of (a) the district's22364
recognized valuation divided by (b) its formula ADM; plus22365

       (2) One-third times the quotient of (a) the average of the22366
total federal adjusted gross income of the school district's22367
residents for the three years most recently reported under section22368
3317.021 of the Revised Code divided by (b) its formula ADM.22369

       (B) Rank all school districts in order of local wealth per22370
pupil, from the district with the lowest local wealth per pupil to22371
the district with the highest local wealth per pupil.22372

       (C) Compute the per pupil state parity aid funding for each 22373
eligible school district in accordance with the following formula:22374

(threshold local wealth
22375

per pupil - the district's local
22376

wealth per pupil) X
0.0075
parity millage
22377

       Where:22378

       (1) Seven and one-half mills (0.0075) is an adjustment to the 22379
original parity aid standard of nine and one-half mills, to 22380
account for the general assembly's policy decision to phase-out 22381
use of the cost-of-doing-business factor in the base cost formula22382
In fiscal year 2008, an "eligible school district" means a school 22383
district with a local wealth per pupil less than that of the 22384
school district with the four-hundred-eleventh lowest local wealth 22385
per pupil. In fiscal year 2009, an "eligible school district" 22386
means a school district with a local wealth per pupil less than 22387
that of the school district with the three-hundred-sixty-eighth 22388
lowest local wealth per pupil.22389

       (2) The "threshold local wealth per pupil" is the local22390
wealth per pupil of the school district with the22391
four-hundred-ninetieth lowest local wealth per pupil.22392

       (3) "Parity millage," in fiscal year 2008, equals 0.0080 and, 22393
in fiscal year 2009, equals 0.0085.22394

       If the result of the calculation for a school district under22395
division (C) of this section is less than zero, the district's per22396
pupil parity aid shall be zero.22397

       (D) Compute the per pupil alternative parity aid for each22398
school district that has a combination of an income factor of 1.022399
or less, a poverty index of 1.0 or greater, and a fiscal year 200522400
cost-of-doing-business factor of 1.0375 or greater, in accordance22401
with the following formula:22402

Payment percentage X $60,000 X
22403

(1 - income factor) X 4/15 X 0.023
22404

       Where:22405

       (1) "Poverty index" has the same meaning as in section 22406
3317.029 of the Revised Code.22407

       (2) "Payment percentage," for purposes of division (D) of22408
this section, equals 50% in fiscal year 2002 and 100% after fiscal22409
year 2002.22410

       (3) "Fiscal year 2005 cost-of-doing-business factor" means 22411
the cost-of-doing-business factor in effect for fiscal year 2005 22412
designated under former division (N) of section 3317.02 of the 22413
Revised Code as that division existed in fiscal year 2005.22414

       (E) Pay each district that has a combination of an income22415
factor of 1.0 or less, a poverty index of 1.0 or greater, and a 22416
fiscal year 2005 cost-of-doing-business factor of 1.0375 or 22417
greater, the greater of the following:22418

       (1) The product of the district's per pupil parity aid22419
calculated under division (C) of this section times its net 22420
formula ADM;22421

       (2) The product of its per pupil alternative parity aid22422
calculated under division (D) of this section times its net 22423
formula ADM.22424

       (F) Pay every other district the product of its per pupil22425
parity aid calculated under division (C) of this section times its 22426
net formula ADM.22427

        (G) As used in divisions (E) and (F) of this section, "net 22428
formula ADM" means formula ADM minus the number of internet- and 22429
computer-based community school students and scholarship students 22430
reported under divisions (B)(3)(e), (f), and (g) of section 22431
3317.03 of the Revised Code.22432

       Sec. 3317.03.  Notwithstanding divisions (A)(1), (B)(1), and22433
(C) of this section, except as provided in division (A)(2)(h) of 22434
this section, any student enrolled in kindergarten more than half 22435
time shall be reported as one-half student under this section.22436

       (A) The superintendent of each city and exempted village22437
school district and of each educational service center shall, for22438
the schools under the superintendent's supervision, certify to the22439
state board of education on or before the fifteenth day of October22440
in each year for the first full school week in October the formula22441
ADM. Beginning in fiscal year 2007, each superintendent also shall 22442
certify to the state board, for the schools under the 22443
superintendent's supervision, the formula ADM for the first full 22444
week in February. If a school under the superintendent's 22445
supervision is closed for one or more days during that week due to 22446
hazardous weather conditions or other circumstances described in 22447
the first paragraph of division (B) of section 3317.01 of the 22448
Revised Code, the superintendent may apply to the superintendent 22449
of public instruction for a waiver, under which the superintendent 22450
of public instruction may exempt the district superintendent from 22451
certifying the formula ADM for that school for that week and 22452
specify an alternate week for certifying the formula ADM of that 22453
school.22454

       The formula ADM shall consist of the average daily membership 22455
during such week of the sum of the following:22456

       (1) On an FTE basis, the number of students in grades22457
kindergarten through twelve receiving any educational services22458
from the district, except that the following categories of22459
students shall not be included in the determination:22460

       (a) Students enrolled in adult education classes;22461

       (b) Adjacent or other district students enrolled in the22462
district under an open enrollment policy pursuant to section22463
3313.98 of the Revised Code;22464

       (c) Students receiving services in the district pursuant to a 22465
compact, cooperative education agreement, or a contract, but who22466
are entitled to attend school in another district pursuant to22467
section 3313.64 or 3313.65 of the Revised Code;22468

       (d) Students for whom tuition is payable pursuant to sections 22469
3317.081 and 3323.141 of the Revised Code;22470

       (e) Students receiving services in the district through a 22471
scholarship awarded under either section 3310.41 or sections 22472
3310.51 to 3310.63 of the Revised Code.22473

       (2) On an FTE basis, except as provided in division (A)(2)(h) 22474
of this section, the number of students entitled to attend school 22475
in the district pursuant to section 3313.64 or 3313.65 of the22476
Revised Code, but receiving educational services in grades 22477
kindergarten through twelve from one or more of the following 22478
entities:22479

       (a) A community school pursuant to Chapter 3314. of the22480
Revised Code, including any participation in a college pursuant to22481
Chapter 3365. of the Revised Code while enrolled in such community22482
school;22483

       (b) An alternative school pursuant to sections 3313.974 to22484
3313.979 of the Revised Code as described in division (I)(2)(a) or22485
(b) of this section;22486

       (c) A college pursuant to Chapter 3365. of the Revised Code,22487
except when the student is enrolled in the college while also22488
enrolled in a community school pursuant to Chapter 3314. of the22489
Revised Code;22490

       (d) An adjacent or other school district under an open22491
enrollment policy adopted pursuant to section 3313.98 of the22492
Revised Code;22493

       (e) An educational service center or cooperative education22494
district;22495

       (f) Another school district under a cooperative education22496
agreement, compact, or contract;22497

       (g) A chartered nonpublic school with a scholarship paid 22498
under section 3310.08 of the Revised Code;22499

        (h) An alternative public provider or a registered private 22500
provider with a scholarship awarded under either section 3310.41 22501
or sections 3310.51 to 3310.63 of the Revised Code. Each such 22502
scholarship student who is enrolled in kindergarten shall be 22503
counted as one full-time-equivalent student.22504

       As used in this section, "alternative public provider" and 22505
"registered private provider" have the same meanings as in section 22506
3310.41 or 3310.51 of the Revised Code, as applicable.22507

       (3) Twenty per cent of the number of students enrolled in a 22508
joint vocational school district or under a vocational education22509
compact, excluding any students entitled to attend school in the22510
district under section 3313.64 or 3313.65 of the Revised Code who22511
are enrolled in another school district through an open enrollment22512
policy as reported under division (A)(2)(d) of this section and22513
then enroll in a joint vocational school district or under a22514
vocational education compact;22515

       (4) The number of handicapped children, other than22516
handicapped preschool children, entitled to attend school in the22517
district pursuant to section 3313.64 or 3313.65 of the Revised22518
Code who are placed by the district with a county MR/DD board, 22519
minus the number of such children placed with a county MR/DD board 22520
in fiscal year 1998. If this calculation produces a negative 22521
number, the number reported under division (A)(4) of this section 22522
shall be zero.22523

       (5) Beginning in fiscal year 2007, in the case of the report 22524
submitted for the first full week in February, or the alternative 22525
week if specified by the superintendent of public instruction, the 22526
number of students reported under division (A)(1) or (2) of this 22527
section for the first full week of the preceding October but who 22528
since that week have received high school diplomas.22529

       (B) To enable the department of education to obtain the data22530
needed to complete the calculation of payments pursuant to this22531
chapter, in addition to the formula ADM, each superintendent shall22532
report separately the following student counts for the same week 22533
for which formula ADM is certified:22534

       (1) The total average daily membership in regular day classes 22535
included in the report under division (A)(1) or (2) of this22536
section for kindergarten, and each of grades one through twelve in22537
schools under the superintendent's supervision;22538

       (2) The number of all handicapped preschool children enrolled 22539
as of the first day of December in classes in the district that 22540
are eligible for approval under division (B) of section 3317.05 22541
of the Revised Code and the number of those classes, which shall 22542
be reported not later than the fifteenth day of December, in 22543
accordance with rules adopted under that section;22544

       (3) The number of children entitled to attend school in the22545
district pursuant to section 3313.64 or 3313.65 of the Revised22546
Code who are:22547

       (a) Participating in a pilot project scholarship program22548
established under sections 3313.974 to 3313.979 of the Revised22549
Code as described in division (I)(2)(a) or (b) of this section;22550

       (b) Enrolled in a college under Chapter 3365. of the Revised 22551
Code, except when the student is enrolled in the college while 22552
also enrolled in a community school pursuant to Chapter 3314. of 22553
the Revised Code;22554

       (c) Enrolled in an adjacent or other school district under 22555
section 3313.98 of the Revised Code;22556

       (d) Enrolled in a community school established under Chapter 22557
3314. of the Revised Code that is not an internet- or 22558
computer-based community school as defined in section 3314.02 of 22559
the Revised Code, including any participation in a college22560
pursuant to Chapter 3365. of the Revised Code while enrolled in 22561
such community school;22562

       (e) Enrolled in an internet- or computer-based community 22563
school, as defined in section 3314.02 of the Revised Code, 22564
including any participation in a college pursuant to Chapter 3365. 22565
of the Revised Code while enrolled in the school;22566

        (f) Enrolled in a chartered nonpublic school with a 22567
scholarship paid under section 3310.08 of the Revised Code;22568

       (g) Enrolled in kindergarten through grade twelve in an 22569
alternative public provider or a registered private provider with 22570
a scholarship awarded under either section 3310.41 or sections 22571
3310.51 to 3310.63 of the Revised Code;22572

        (h) Enrolled as a handicapped preschool child in an 22573
alternative public provider or a registered private provider with 22574
a scholarship awarded under section 3310.41 of the Revised Code;22575

       (i) Participating in a program operated by a county MR/DD 22576
board or a state institution.22577

       (4) The number of pupils enrolled in joint vocational22578
schools;22579

       (5) The combined average daily membership of handicapped 22580
children reported under division (A)(1) or (2) of this section 22581
receiving special education services for the category one handicap 22582
described in division (A) of section 3317.013 of the Revised Code, 22583
including children attending a special education program operated 22584
by an alternative public provider or a registered private provider 22585
with a scholarship awarded under sections 3310.51 to 3310.63 of 22586
the Revised Code;22587

       (6) The combined average daily membership of handicapped 22588
children reported under division (A)(1) or (2) of this section 22589
receiving special education services for category two handicaps 22590
described in division (B) of section 3317.013 of the Revised Code, 22591
including children attending a special education program operated 22592
by an alternative public provider or a registered private provider 22593
with a scholarship awarded under sections 3310.51 to 3310.63 of 22594
the Revised Code;22595

       (7) The combined average daily membership of handicapped 22596
children reported under division (A)(1) or (2) of this section 22597
receiving special education services for category three handicaps 22598
described in division (C) of section 3317.013 of the Revised Code, 22599
including children attending a special education program operated 22600
by an alternative public provider or a registered private provider 22601
with a scholarship awarded under sections 3310.51 to 3310.63 of 22602
the Revised Code;22603

       (8) The combined average daily membership of handicapped 22604
children reported under division (A)(1) or (2) of this section 22605
receiving special education services for category four handicaps 22606
described in division (D) of section 3317.013 of the Revised Code, 22607
including children attending a special education program operated 22608
by an alternative public provider or a registered private provider 22609
with a scholarship awarded under sections 3310.51 to 3310.63 of 22610
the Revised Code;22611

       (9) The combined average daily membership of handicapped 22612
children reported under division (A)(1) or (2) of this section 22613
receiving special education services for the category five 22614
handicap described in division (E) of section 3317.013 of the 22615
Revised Code, including children attending a special education 22616
program operated by an alternative public provider or a registered 22617
private provider with a scholarship awarded under sections 3310.51 22618
to 3310.63 of the Revised Code;22619

       (10) The combined average daily membership of handicapped 22620
children reported under division (A)(1) or (2) and under division 22621
(B)(3)(h) of this section receiving special education services for 22622
category six handicaps described in division (F) of section 22623
3317.013 of the Revised Code, including children attending a 22624
special education program operated by an alternative public 22625
provider or a registered private provider with a scholarship 22626
awarded under either section 3310.41 or sections 3310.51 to 22627
3310.63 of the Revised Code;22628

       (11) The average daily membership of pupils reported under22629
division (A)(1) or (2) of this section enrolled in category one22630
vocational education programs or classes, described in division22631
(A) of section 3317.014 of the Revised Code, operated by the22632
school district or by another district, other than a joint22633
vocational school district, or by an educational service center, 22634
excluding any student reported under division (B)(3)(e) of this 22635
section as enrolled in an internet- or computer-based community 22636
school, notwithstanding division (C) of section 3317.02 of the 22637
Revised Code and division (C)(3) of this section;22638

       (12) The average daily membership of pupils reported under22639
division (A)(1) or (2) of this section enrolled in category two22640
vocational education programs or services, described in division22641
(B) of section 3317.014 of the Revised Code, operated by the22642
school district or another school district, other than a joint22643
vocational school district, or by an educational service center, 22644
excluding any student reported under division (B)(3)(e) of this 22645
section as enrolled in an internet- or computer-based community 22646
school, notwithstanding division (C) of section 3317.02 of the 22647
Revised Code and division (C)(3) of this section;22648

       (13) The average number of children transported by the school 22649
district on board-owned or contractor-owned and -operated buses,22650
reported in accordance with rules adopted by the department of 22651
education;22652

       (14)(a) The number of children, other than handicapped22653
preschool children, the district placed with a county MR/DD board22654
in fiscal year 1998;22655

       (b) The number of handicapped children, other than22656
handicapped preschool children, placed with a county MR/DD board22657
in the current fiscal year to receive special education services22658
for the category one handicap described in division (A) of section22659
3317.013 of the Revised Code;22660

       (c) The number of handicapped children, other than22661
handicapped preschool children, placed with a county MR/DD board22662
in the current fiscal year to receive special education services22663
for category two handicaps described in division (B) of section22664
3317.013 of the Revised Code;22665

       (d) The number of handicapped children, other than22666
handicapped preschool children, placed with a county MR/DD board22667
in the current fiscal year to receive special education services22668
for category three handicaps described in division (C) of section 22669
3317.013 of the Revised Code;22670

       (e) The number of handicapped children, other than22671
handicapped preschool children, placed with a county MR/DD board22672
in the current fiscal year to receive special education services22673
for category four handicaps described in division (D) of section22674
3317.013 of the Revised Code;22675

       (f) The number of handicapped children, other than22676
handicapped preschool children, placed with a county MR/DD board22677
in the current fiscal year to receive special education services22678
for the category five handicap described in division (E) of22679
section 3317.013 of the Revised Code;22680

       (g) The number of handicapped children, other than22681
handicapped preschool children, placed with a county MR/DD board22682
in the current fiscal year to receive special education services22683
for category six handicaps described in division (F) of section22684
3317.013 of the Revised Code.22685

       (C)(1) Except as otherwise provided in this section for22686
kindergarten students, the average daily membership in divisions22687
(B)(1) to (12) of this section shall be based upon the number of22688
full-time equivalent students. The state board of education shall22689
adopt rules defining full-time equivalent students and for22690
determining the average daily membership therefrom for the22691
purposes of divisions (A), (B), and (D) of this section.22692

       (2) A student enrolled in a community school established22693
under Chapter 3314. of the Revised Code shall be counted in the22694
formula ADM and, if applicable, the category one, two, three,22695
four, five, or six special education ADM of the school district in22696
which the student is entitled to attend school under section22697
3313.64 or 3313.65 of the Revised Code for the same proportion of22698
the school year that the student is counted in the enrollment of22699
the community school for purposes of section 3314.08 of the22700
Revised Code.22701

        (3) No child shall be counted as more than a total of one22702
child in the sum of the average daily memberships of a school22703
district under division (A), divisions (B)(1) to (12), or division22704
(D) of this section, except as follows:22705

       (a) A child with a handicap described in section 3317.013 of22706
the Revised Code may be counted both in formula ADM and in22707
category one, two, three, four, five, or six special education ADM 22708
and, if applicable, in category one or two vocational education22709
ADM. As provided in division (C) of section 3317.02 of the Revised 22710
Code, such a child shall be counted in category one, two, three, 22711
four, five, or six special education ADM in the same proportion 22712
that the child is counted in formula ADM.22713

       (b) A child enrolled in vocational education programs or22714
classes described in section 3317.014 of the Revised Code may be22715
counted both in formula ADM and category one or two vocational22716
education ADM and, if applicable, in category one, two, three,22717
four, five, or six special education ADM. Such a child shall be22718
counted in category one or two vocational education ADM in the22719
same proportion as the percentage of time that the child spends in22720
the vocational education programs or classes.22721

       (4) Based on the information reported under this section, the22722
department of education shall determine the total student count,22723
as defined in section 3301.011 of the Revised Code, for each22724
school district.22725

       (D)(1) The superintendent of each joint vocational school22726
district shall certify to the superintendent of public instruction22727
on or before the fifteenth day of October in each year for the22728
first full school week in October the formula ADM. Beginning in 22729
fiscal year 2007, each superintendent also shall certify to the 22730
state superintendent the formula ADM for the first full week in 22731
February. If a school operated by the joint vocational school 22732
district is closed for one or more days during that week due to 22733
hazardous weather conditions or other circumstances described in 22734
the first paragraph of division (B) of section 3317.01 of the 22735
Revised Code, the superintendent may apply to the superintendent 22736
of public instruction for a waiver, under which the superintendent 22737
of public instruction may exempt the district superintendent from 22738
certifying the formula ADM for that school for that week and 22739
specify an alternate week for certifying the formula ADM of that 22740
school.22741

       The formula ADM, except as otherwise provided in this 22742
division, shall consist of the average daily membership during 22743
such week, on an FTE basis, of the number of students receiving 22744
any educational services from the district, including students 22745
enrolled in a community school established under Chapter 3314. of 22746
the Revised Code who are attending the joint vocational district 22747
under an agreement between the district board of education and the22748
governing authority of the community school and are entitled to22749
attend school in a city, local, or exempted village school22750
district whose territory is part of the territory of the joint22751
vocational district. Beginning in fiscal year 2007, in the case of 22752
the report submitted for the first week in February, or the 22753
alternative week if specified by the superintendent of public 22754
instruction, the superintendent of the joint vocational school 22755
district may include the number of students reported under 22756
division (D)(1) of this section for the first full week of the 22757
preceding October but who since that week have received high 22758
school diplomas.22759

        The following categories of students shall not be included in 22760
the determination made under division (D)(1) of this section:22761

       (a) Students enrolled in adult education classes;22762

       (b) Adjacent or other district joint vocational students22763
enrolled in the district under an open enrollment policy pursuant22764
to section 3313.98 of the Revised Code;22765

       (c) Students receiving services in the district pursuant to a 22766
compact, cooperative education agreement, or a contract, but who22767
are entitled to attend school in a city, local, or exempted22768
village school district whose territory is not part of the22769
territory of the joint vocational district;22770

       (d) Students for whom tuition is payable pursuant to sections22771
3317.081 and 3323.141 of the Revised Code.22772

       (2) To enable the department of education to obtain the data22773
needed to complete the calculation of payments pursuant to this22774
chapter, in addition to the formula ADM, each superintendent shall22775
report separately the average daily membership included in the22776
report under division (D)(1) of this section for each of the22777
following categories of students for the same week for which 22778
formula ADM is certified:22779

       (a) Students enrolled in each grade included in the joint22780
vocational district schools;22781

       (b) Handicapped children receiving special education services22782
for the category one handicap described in division (A) of section 22783
3317.013 of the Revised Code;22784

       (c) Handicapped children receiving special education services22785
for the category two handicaps described in division (B) of 22786
section 3317.013 of the Revised Code;22787

       (d) Handicapped children receiving special education services 22788
for category three handicaps described in division (C) of section 22789
3317.013 of the Revised Code;22790

       (e) Handicapped children receiving special education services22791
for category four handicaps described in division (D) of section22792
3317.013 of the Revised Code;22793

       (f) Handicapped children receiving special education services 22794
for the category five handicap described in division (E) of22795
section 3317.013 of the Revised Code;22796

       (g) Handicapped children receiving special education services 22797
for category six handicaps described in division (F) of section 22798
3317.013 of the Revised Code;22799

       (h) Students receiving category one vocational education22800
services, described in division (A) of section 3317.014 of the22801
Revised Code;22802

       (i) Students receiving category two vocational education22803
services, described in division (B) of section 3317.014 of the22804
Revised Code.22805

       The superintendent of each joint vocational school district22806
shall also indicate the city, local, or exempted village school22807
district in which each joint vocational district pupil is entitled22808
to attend school pursuant to section 3313.64 or 3313.65 of the22809
Revised Code.22810

       (E) In each school of each city, local, exempted village,22811
joint vocational, and cooperative education school district there22812
shall be maintained a record of school membership, which record22813
shall accurately show, for each day the school is in session, the22814
actual membership enrolled in regular day classes. For the purpose 22815
of determining average daily membership, the membership figure of 22816
any school shall not include any pupils except those pupils 22817
described by division (A) of this section. The record of22818
membership for each school shall be maintained in such manner that22819
no pupil shall be counted as in membership prior to the actual22820
date of entry in the school and also in such manner that where for22821
any cause a pupil permanently withdraws from the school that pupil22822
shall not be counted as in membership from and after the date of22823
such withdrawal. There shall not be included in the membership of22824
any school any of the following:22825

       (1) Any pupil who has graduated from the twelfth grade of a22826
public or nonpublic high school;22827

       (2) Any pupil who is not a resident of the state;22828

       (3) Any pupil who was enrolled in the schools of the district 22829
during the previous school year when tests were administered under 22830
section 3301.0711 of the Revised Code but did not take one or more 22831
of the tests required by that section and was not excused pursuant 22832
to division (C)(1) or (3) of that section;22833

       (4) Any pupil who has attained the age of twenty-two years,22834
except for veterans of the armed services whose attendance was22835
interrupted before completing the recognized twelve-year course of22836
the public schools by reason of induction or enlistment in the22837
armed forces and who apply for reenrollment in the public school22838
system of their residence not later than four years after22839
termination of war or their honorable discharge.22840

       If, however, any veteran described by division (E)(4) of this22841
section elects to enroll in special courses organized for veterans22842
for whom tuition is paid under the provisions of federal laws, or22843
otherwise, that veteran shall not be included in average daily22844
membership.22845

       Notwithstanding division (E)(3) of this section, the22846
membership of any school may include a pupil who did not take a22847
test required by section 3301.0711 of the Revised Code if the22848
superintendent of public instruction grants a waiver from the22849
requirement to take the test to the specific pupil and a parent is 22850
not paying tuition for the pupil pursuant to section 3313.6410 of 22851
the Revised Code. The superintendent may grant such a waiver only 22852
for good cause in accordance with rules adopted by the state board 22853
of education.22854

       Except as provided in divisions (B)(2) and (F) of this 22855
section, the average daily membership figure of any local, city,22856
exempted village, or joint vocational school district shall be22857
determined by dividing the figure representing the sum of the22858
number of pupils enrolled during each day the school of attendance22859
is actually open for instruction during the week for which the 22860
formula ADM is being certified by the total number of days the 22861
school was actually open for instruction during that week. For 22862
purposes of state funding, "enrolled" persons are only those 22863
pupils who are attending school, those who have attended school 22864
during the current school year and are absent for authorized 22865
reasons, and those handicapped children currently receiving home 22866
instruction.22867

       The average daily membership figure of any cooperative22868
education school district shall be determined in accordance with22869
rules adopted by the state board of education.22870

       (F)(1) If the formula ADM for the first full school week in22871
February is at least three per cent greater than that certified22872
for the first full school week in the preceding October, the22873
superintendent of schools of any city, exempted village, or joint22874
vocational school district or educational service center shall22875
certify such increase to the superintendent of public instruction.22876
Such certification shall be submitted no later than the fifteenth22877
day of February. For the balance of the fiscal year, beginning22878
with the February payments, the superintendent of public22879
instruction shall use the increased formula ADM in calculating or22880
recalculating the amounts to be allocated in accordance with 22881
section 3317.022 or 3317.16 of the Revised Code. In no event shall 22882
the superintendent use an increased membership certified to the 22883
superintendent after the fifteenth day of February. Division 22884
(F)(1) of this section does not apply after fiscal year 2006.22885

       (2) If on the first school day of April the total number of22886
classes or units for handicapped preschool children that are22887
eligible for approval under division (B) of section 3317.05 of the22888
Revised Code exceeds the number of units that have been approved22889
for the year under that division, the superintendent of schools of22890
any city, exempted village, or cooperative education school22891
district or educational service center shall make the22892
certifications required by this section for that day. If the 22893
department determines additional units can be approved for the22894
fiscal year within any limitations set forth in the acts22895
appropriating moneys for the funding of such units, the department 22896
shall approve additional units for the fiscal year on the basis of 22897
such average daily membership. For each unit so approved, the 22898
department shall pay an amount computed in the manner prescribed 22899
in section 3317.052 or 3317.19 and section 3317.053 of the Revised 22900
Code.22901

       (3) If a student attending a community school under Chapter22902
3314. of the Revised Code is not included in the formula ADM22903
certified for the school district in which the student is entitled 22904
to attend school under section 3313.64 or 3313.65 of the Revised 22905
Code, the department of education shall adjust the formula ADM of 22906
that school district to include the community school student in 22907
accordance with division (C)(2) of this section, and shall 22908
recalculate the school district's payments under this chapter for 22909
the entire fiscal year on the basis of that adjusted formula ADM. 22910
This requirement applies regardless of whether the student was 22911
enrolled, as defined in division (E) of this section, in the 22912
community school during the week for which the formula ADM is 22913
being certified.22914

       (4) If a student awarded an educational choice scholarship is 22915
not included in the formula ADM of the school district from which 22916
the department deducts funds for the scholarship under section 22917
3310.08 of the Revised Code, the department shall adjust the 22918
formula ADM of that school district to include the student to the 22919
extent necessary to account for the deduction, and shall 22920
recalculate the school district's payments under this chapter for 22921
the entire fiscal year on the basis of that adjusted formula ADM. 22922
This requirement applies regardless of whether the student was 22923
enrolled, as defined in division (E) of this section, in the 22924
chartered nonpublic school, the school district, or a community 22925
school during the week for which the formula ADM is being 22926
certified.22927

       (G)(1)(a) The superintendent of an institution operating a22928
special education program pursuant to section 3323.091 of the22929
Revised Code shall, for the programs under such superintendent's22930
supervision, certify to the state board of education, in the 22931
manner prescribed by the superintendent of public instruction, 22932
both of the following:22933

       (i) The average daily membership of all handicapped children 22934
other than handicapped preschool children receiving services at 22935
the institution for each category of handicap described in 22936
divisions (A) to (F) of section 3317.013 of the Revised Code;22937

       (ii) The average daily membership of all handicapped 22938
preschool children in classes or programs approved annually by the 22939
department of education for unit funding under section 3317.05 of 22940
the Revised Code.22941

       (b) The superintendent of an institution with vocational22942
education units approved under division (A) of section 3317.05 of22943
the Revised Code shall, for the units under the superintendent's22944
supervision, certify to the state board of education the average22945
daily membership in those units, in the manner prescribed by the22946
superintendent of public instruction.22947

       (2) The superintendent of each county MR/DD board that22948
maintains special education classes under section 3317.20 of the22949
Revised Code or units approved pursuant to section 3317.05 of the 22950
Revised Code shall do both of the following:22951

       (a) Certify to the state board, in the manner prescribed by22952
the board, the average daily membership in classes under section 22953
3317.20 of the Revised Code for each school district that has22954
placed children in the classes;22955

       (b) Certify to the state board, in the manner prescribed by22956
the board, the number of all handicapped preschool children22957
enrolled as of the first day of December in classes eligible for22958
approval under division (B) of section 3317.05 of the Revised22959
Code, and the number of those classes.22960

       (3)(a) If on the first school day of April the number of22961
classes or units maintained for handicapped preschool children by22962
the county MR/DD board that are eligible for approval under22963
division (B) of section 3317.05 of the Revised Code is greater22964
than the number of units approved for the year under that22965
division, the superintendent shall make the certification required22966
by this section for that day.22967

       (b) If the department determines that additional classes or22968
units can be approved for the fiscal year within any limitations22969
set forth in the acts appropriating moneys for the funding of the22970
classes and units described in division (G)(3)(a) of this section, 22971
the department shall approve and fund additional units for the22972
fiscal year on the basis of such average daily membership. For22973
each unit so approved, the department shall pay an amount computed 22974
in the manner prescribed in sections 3317.052 and 3317.053 of the 22975
Revised Code.22976

       (H) Except as provided in division (I) of this section, when22977
any city, local, or exempted village school district provides22978
instruction for a nonresident pupil whose attendance is22979
unauthorized attendance as defined in section 3327.06 of the22980
Revised Code, that pupil's membership shall not be included in22981
that district's membership figure used in the calculation of that22982
district's formula ADM or included in the determination of any22983
unit approved for the district under section 3317.05 of the22984
Revised Code. The reporting official shall report separately the22985
average daily membership of all pupils whose attendance in the22986
district is unauthorized attendance, and the membership of each22987
such pupil shall be credited to the school district in which the22988
pupil is entitled to attend school under division (B) of section22989
3313.64 or section 3313.65 of the Revised Code as determined by22990
the department of education.22991

       (I)(1) A city, local, exempted village, or joint vocational22992
school district admitting a scholarship student of a pilot project22993
district pursuant to division (C) of section 3313.976 of the22994
Revised Code may count such student in its average daily22995
membership.22996

       (2) In any year for which funds are appropriated for pilot22997
project scholarship programs, a school district implementing a22998
state-sponsored pilot project scholarship program that year22999
pursuant to sections 3313.974 to 3313.979 of the Revised Code may 23000
count in average daily membership:23001

       (a) All children residing in the district and utilizing a23002
scholarship to attend kindergarten in any alternative school, as23003
defined in section 3313.974 of the Revised Code;23004

       (b) All children who were enrolled in the district in the23005
preceding year who are utilizing a scholarship to attend any such23006
alternative school.23007

       (J) The superintendent of each cooperative education school23008
district shall certify to the superintendent of public23009
instruction, in a manner prescribed by the state board of23010
education, the applicable average daily memberships for all23011
students in the cooperative education district, also indicating23012
the city, local, or exempted village district where each pupil is23013
entitled to attend school under section 3313.64 or 3313.65 of the23014
Revised Code.23015

       (K) If the superintendent of public instruction discovers an 23016
error in the formula ADM certified by a district superintendent, 23017
the superintendent of public instruction may order that the 23018
formula ADM used for the purposes of payments under any section of 23019
Title XXXIII of the Revised Code be adjusted in the amount of the 23020
error.23021

       Sec. 3317.04.  The amount paid to school districts in each23022
fiscal year under Chapter 3317. of the Revised Code shall not be23023
less than the following:23024

       (A) In the case of a district created under section 3311.26 23025
or 3311.37 of the Revised Code, the amount paid shall not be less, 23026
in any of the three succeeding fiscal years following the 23027
creation, than the sum of the amounts allocated under Chapter23028
3317. of the Revised Code to the districts separately in the year23029
of the creation.23030

       (B) In the case of a school district which is transferred to 23031
another school district or districts, pursuant to section 3311.22, 23032
3311.231, or 3311.38 of the Revised Code, the amount paid to the 23033
district accepting the transferred territory shall not be less, in 23034
any of the three succeeding fiscal years following the transfer, 23035
than the sum of the amounts allocated under Chapter 3317. of the 23036
Revised Code to the districts separately in the year of the 23037
consummation of the transfer.23038

       (C) In the case of any school district, the amount paid under 23039
Chapter 3317. of the Revised Code to the district in the fiscal 23040
year of distribution shall not be less than that paid under such 23041
chapter in the preceding fiscal year, less any amount paid in that 23042
preceding fiscal year under section 3317.0216 of the Revised Code, 23043
if in the calendar year ending the thirty-first day of December 23044
preceding the fiscal year of distribution, the county auditor of 23045
the county to which the district has been assigned by the 23046
department of education for administrative purposes has completed 23047
reassessment of all real estate within the county, or the tax 23048
duplicate of that county was increased by the application of a 23049
uniform taxable value per cent of true value pursuant to a rule or 23050
order of the tax commissioner and the revised valuations were 23051
entered on the tax list and duplicate. Notwithstanding sections 23052
3311.22, 3311.231, 3311.26, 3311.37, and 3311.38 of the Revised 23053
Code, this minimum guarantee is applicable only during the fiscal 23054
year immediately following the reassessment or application.23055

       (D) In the case of any school district that has territory in 23056
three or more counties, each of which contains at least twenty per 23057
cent of the district's territory, the amount paid under Chapter 23058
3317. of the Revised Code to the district in the fiscal year of 23059
distribution shall not be less than that paid under such chapter 23060
in the preceding fiscal year, less any amount paid in that 23061
preceding fiscal year under section 3317.0216 of the Revised Code, 23062
if in the calendar year ending the thirty-first day of December 23063
preceding the fiscal year of distribution, the county auditor of 23064
any such county completed reassessment of all real estate within 23065
the county, or the tax duplicate of any such county was increased 23066
by the application of a uniform taxable value per cent of true 23067
value pursuant to a rule or order of the tax commissioner and the 23068
revised valuations were entered on the tax list and duplicate. 23069
Notwithstanding sections 3311.22, 3311.231, 3311.26, 3311.37, and 23070
3311.38 of the Revised Code, this minimum guarantee is applicable 23071
only during the fiscal year immediately following the reassessment 23072
or application.23073

       Notwithstanding sections 3311.22, 3311.231, 3311.26, 3311.37, 23074
and 3311.38 of the Revised Code, the minimum guarantees prescribed 23075
by divisions (A) and (B) of this section shall not affect the 23076
amount of aid received by a school district for more than three 23077
consecutive years.23078

       Sec. 3317.06.  Moneys paid to school districts under division23079
(I) of section 3317.024 of the Revised Code shall be used for the23080
following independent and fully severable purposes:23081

       (A) To purchase such secular textbooks or electronic23082
textbooks as have been approved by the superintendent of public23083
instruction for use in public schools in the state and to loan23084
such textbooks or electronic textbooks to pupils attending23085
nonpublic schools within the district or to their parents and to23086
hire clerical personnel to administer such lending program. Such23087
loans shall be based upon individual requests submitted by such23088
nonpublic school pupils or parents. Such requests shall be23089
submitted to the school district in which the nonpublic school is23090
located. Such individual requests for the loan of textbooks or23091
electronic textbooks shall, for administrative convenience, be23092
submitted by the nonpublic school pupil or the pupil's parent to23093
the nonpublic school, which shall prepare and submit collective23094
summaries of the individual requests to the school district. As23095
used in this section:23096

       (1) "Textbook" means any book or book substitute that a pupil 23097
uses as a consumable or nonconsumable text, text substitute, or 23098
text supplement in a particular class or program in the school the 23099
pupil regularly attends.23100

       (2) "Electronic textbook" means computer software,23101
interactive videodisc, magnetic media, CD-ROM, computer23102
courseware, local and remote computer assisted instruction,23103
on-line service, electronic medium, or other means of conveying23104
information to the student or otherwise contributing to the23105
learning process through electronic means.23106

       (B) To provide speech and hearing diagnostic services to23107
pupils attending nonpublic schools within the district. Such23108
service shall be provided in the nonpublic school attended by the23109
pupil receiving the service.23110

       (C) To provide physician, nursing, dental, and optometric23111
services to pupils attending nonpublic schools within the23112
district. Such services shall be provided in the school attended23113
by the nonpublic school pupil receiving the service.23114

       (D) To provide diagnostic psychological services to pupils23115
attending nonpublic schools within the district. Such services23116
shall be provided in the school attended by the pupil receiving23117
the service.23118

       (E) To provide therapeutic psychological and speech and23119
hearing services to pupils attending nonpublic schools within the23120
district. Such services shall be provided in the public school, in 23121
nonpublic schools, in public centers, or in mobile units located 23122
on or off of the nonpublic premises. If such services are provided 23123
in the public school or in public centers, transportation to and 23124
from such facilities shall be provided by the school district in 23125
which the nonpublic school is located.23126

       (F) To provide guidance and counseling services to pupils23127
attending nonpublic schools within the district. Such services23128
shall be provided in the public school, in nonpublic schools, in23129
public centers, or in mobile units located on or off of the23130
nonpublic premises. If such services are provided in the public23131
school or in public centers, transportation to and from such23132
facilities shall be provided by the school district in which the23133
nonpublic school is located.23134

       (G) To provide remedial services to pupils attending23135
nonpublic schools within the district. Such services shall be23136
provided in the public school, in nonpublic schools, in public23137
centers, or in mobile units located on or off of the nonpublic23138
premises. If such services are provided in the public school or in 23139
public centers, transportation to and from such facilities shall 23140
be provided by the school district in which the nonpublic school 23141
is located.23142

       (H) To supply for use by pupils attending nonpublic schools23143
within the district such standardized tests and scoring services23144
as are in use in the public schools of the state;23145

       (I) To provide programs for children who attend nonpublic23146
schools within the district and are handicapped children as23147
defined in division (A) of section 3323.01 of the Revised Code or23148
gifted children. Such programs shall be provided in the public23149
school, in nonpublic schools, in public centers, or in mobile23150
units located on or off of the nonpublic premises. If such23151
programs are provided in the public school or in public centers,23152
transportation to and from such facilities shall be provided by23153
the school district in which the nonpublic school is located.23154

       (J) To hire clerical personnel to assist in the23155
administration of programs pursuant to divisions (B), (C), (D),23156
(E), (F), (G), and (I) of this section and to hire supervisory23157
personnel to supervise the providing of services and textbooks23158
pursuant to this section.23159

       (K) To purchase or lease any secular, neutral, and23160
nonideological computer software (including site-licensing),23161
prerecorded video laserdiscs, digital video on demand (DVD),23162
compact discs, and video cassette cartridges, wide area23163
connectivity and related technology as it relates to internet23164
access, mathematics or science equipment and materials,23165
instructional materials, and school library materials that are in23166
general use in the public schools of the state and loan such items23167
to pupils attending nonpublic schools within the district or to23168
their parents, and to hire clerical personnel to administer the23169
lending program. Only such items that are incapable of diversion23170
to religious use and that are susceptible of loan to individual23171
pupils and are furnished for the use of individual pupils shall be23172
purchased and loaned under this division. As used in this section,23173
"instructional materials" means prepared learning materials that23174
are secular, neutral, and nonideological in character and are of23175
benefit to the instruction of school children, and may include23176
educational resources and services developed by the eTech Ohio 23177
commission.23178

       (L) To purchase or lease instructional equipment, including23179
computer hardware and related equipment in general use in the23180
public schools of the state, for use by pupils attending nonpublic23181
schools within the district and to loan such items to pupils23182
attending nonpublic schools within the district or to their23183
parents, and to hire clerical personnel to administer the lending23184
program.23185

       (M) To purchase mobile units to be used for the provision of23186
services pursuant to divisions (E), (F), (G), and (I) of this23187
section and to pay for necessary repairs and operating costs23188
associated with these units.23189

       (N) To reimburse costs the district incurred to store the 23190
records of a chartered nonpublic school that closes. 23191
Reimbursements under this division shall be made one time only for 23192
each chartered nonpublic school that closes.23193

       Clerical and supervisory personnel hired pursuant to division23194
(J) of this section shall perform their services in the public23195
schools, in nonpublic schools, public centers, or mobile units23196
where the services are provided to the nonpublic school pupil,23197
except that such personnel may accompany pupils to and from the23198
service sites when necessary to ensure the safety of the children23199
receiving the services.23200

       All services provided pursuant to this section may be23201
provided under contract with educational service centers, the23202
department of health, city or general health districts, or private23203
agencies whose personnel are properly licensed by an appropriate23204
state board or agency.23205

       Transportation of pupils provided pursuant to divisions (E),23206
(F), (G), and (I) of this section shall be provided by the school23207
district from its general funds and not from moneys paid to it23208
under division (I) of section 3317.024 of the Revised Code unless23209
a special transportation request is submitted by the parent of the23210
child receiving service pursuant to such divisions. If such an23211
application is presented to the school district, it may pay for23212
the transportation from moneys paid to it under division (I) of23213
section 3317.024 of the Revised Code.23214

       No school district shall provide health or remedial services23215
to nonpublic school pupils as authorized by this section unless23216
such services are available to pupils attending the public schools23217
within the district.23218

       Materials, equipment, computer hardware or software,23219
textbooks, electronic textbooks, and health and remedial services23220
provided for the benefit of nonpublic school pupils pursuant to23221
this section and the admission of pupils to such nonpublic schools23222
shall be provided without distinction as to race, creed, color, or23223
national origin of such pupils or of their teachers.23224

       No school district shall provide services, materials, or23225
equipment that contain religious content for use in religious23226
courses, devotional exercises, religious training, or any other23227
religious activity.23228

       As used in this section, "parent" includes a person standing23229
in loco parentis to a child.23230

       Notwithstanding section 3317.01 of the Revised Code, payments23231
shall be made under this section to any city, local, or exempted23232
village school district within which is located one or more23233
nonpublic elementary or high schools and any payments made to23234
school districts under division (I) of section 3317.024 of the23235
Revised Code for purposes of this section may be disbursed without23236
submission to and approval of the controlling board.23237

       The allocation of payments for materials, equipment,23238
textbooks, electronic textbooks, health services, and remedial23239
services to city, local, and exempted village school districts23240
shall be on the basis of the state board of education's estimated23241
annual average daily membership in nonpublic elementary and high23242
schools located in the district.23243

       Payments made to city, local, and exempted village school23244
districts under this section shall be equal to specific23245
appropriations made for the purpose. All interest earned by a23246
school district on such payments shall be used by the district for23247
the same purposes and in the same manner as the payments may be23248
used.23249

       The department of education shall adopt guidelines and23250
procedures under which such programs and services shall be23251
provided, under which districts shall be reimbursed for23252
administrative costs incurred in providing such programs and23253
services, and under which any unexpended balance of the amounts23254
appropriated by the general assembly to implement this section may23255
be transferred to the auxiliary services personnel unemployment23256
compensation fund established pursuant to section 4141.47 of the23257
Revised Code. The department shall also adopt guidelines and23258
procedures limiting the purchase and loan of the items described23259
in division (K) of this section to items that are in general use23260
in the public schools of the state, that are incapable of23261
diversion to religious use, and that are susceptible to individual23262
use rather than classroom use. Within thirty days after the end of 23263
each biennium, each board of education shall remit to the23264
department all moneys paid to it under division (I) of section23265
3317.024 of the Revised Code and any interest earned on those23266
moneys that are not required to pay expenses incurred under this23267
section during the biennium for which the money was appropriated23268
and during which the interest was earned. If a board of education23269
subsequently determines that the remittal of moneys leaves the23270
board with insufficient money to pay all valid expenses incurred23271
under this section during the biennium for which the remitted23272
money was appropriated, the board may apply to the department of23273
education for a refund of money, not to exceed the amount of the23274
insufficiency. If the department determines the expenses were23275
lawfully incurred and would have been lawful expenditures of the23276
refunded money, it shall certify its determination and the amount23277
of the refund to be made to the director of job and family23278
services who shall make a refund as provided in section 4141.47 of23279
the Revised Code.23280

       Each school district shall label materials, equipment, 23281
computer hardware or software, textbooks, and electronic textbooks 23282
purchased or leased for loan to a nonpublic school under this 23283
section, acknowledging that they were purchased or leased with 23284
state funds under this section. However, a district need not label 23285
materials, equipment, computer hardware or software, textbooks, or 23286
electronic textbooks that the district determines are consumable 23287
in nature or have a value of less than two hundred dollars.23288

       Sec. 3317.08.  A board of education may admit to its schools 23289
a child it is not required by section 3313.64 or 3313.65 of the 23290
Revised Code to admit, if tuition is paid for the child.23291

       Unless otherwise provided by law, tuition shall be computed23292
in accordance with this section. A district's tuition charge for a 23293
school year shall be one of the following:23294

       (A) For any child, except a handicapped preschool child23295
described in division (B) of this section, the quotient obtained23296
by dividing the sum of the amounts described in divisions (A)(1)23297
and (2) of this section by the district's formula ADM.23298

       (1) The district's total taxes charged and payable for23299
current expenses for the tax year preceding the tax year in which23300
the school year begins as certified under division (A)(3) of23301
section 3317.021 of the Revised Code.23302

       (2) The district's total taxes collected for current expenses 23303
under a school district income tax adopted pursuant to section 23304
5748.03 or 5748.08 of the Revised Code that are disbursed to the23305
district during the fiscal year. On or before the first day of23306
June of each year, the tax commissioner shall certify the amount23307
to be used in the calculation under this division for the next23308
fiscal year to the department of education and the office of 23309
budget and management for each city, local, and exempted village 23310
school district that levies a school district income tax.23311

       (B) For any handicapped preschool child not included in a23312
unit approved under division (B) of section 3317.05 of the Revised 23313
Code, an amount computed for the school year as follows:23314

       (1) For each type of special education service provided to23315
the child for whom tuition is being calculated, determine the23316
amount of the district's operating expenses in providing that type 23317
of service to all handicapped preschool children not included in 23318
units approved under division (B) of section 3317.05 of the 23319
Revised Code;23320

       (2) For each type of special education service for which23321
operating expenses are determined under division (B)(1) of this23322
section, determine the amount of such operating expenses that was23323
paid from any state funds received under this chapter;23324

       (3) For each type of special education service for which23325
operating expenses are determined under division (B)(1) of this23326
section, divide the difference between the amount determined under 23327
division (B)(1) of this section and the amount determined under 23328
division (B)(2) of this section by the total number of handicapped 23329
preschool children not included in units approved under division 23330
(B) of section 3317.05 of the Revised Code who received that type 23331
of service;23332

       (4) Determine the sum of the quotients obtained under23333
division (B)(3) of this section for all types of special education 23334
services provided to the child for whom tuition is being 23335
calculated.23336

       The state board of education shall adopt rules defining the23337
types of special education services and specifying the operating23338
expenses to be used in the computation under this section.23339

       If any child for whom a tuition charge is computed under this 23340
section for any school year is enrolled in a district for only 23341
part of that school year, the amount of the district's tuition 23342
charge for the child for the school year shall be computed in 23343
proportion to the number of school days the child is enrolled in 23344
the district during the school year.23345

       Except as otherwise provided in division (J) of section23346
3313.64 of the Revised Code, whenever a district admits a child to 23347
its schools for whom tuition computed in accordance with this23348
section is an obligation of another school district, the amount of 23349
the tuition shall be certified by the treasurer of the board of 23350
education of the district of attendance, to the board of education 23351
of the district required to pay tuition for its approval and 23352
payment. If agreement as to the amount payable or the district 23353
required to pay the tuition cannot be reached, or the board of 23354
education of the district required to pay the tuition refuses to 23355
pay that amount, the board of education of the district of 23356
attendance shall notify the superintendent of public instruction. 23357
The superintendent shall determine the correct amount and the 23358
district required to pay the tuition and shall deduct that amount, 23359
if any, under division (G) of section 3317.023 of the Revised 23360
Code, from the district required to pay the tuition and add that 23361
amount to the amount allocated to the district attended under such 23362
division. The superintendent of public instruction shall send to 23363
the district required to pay the tuition an itemized statement 23364
showing such deductions at the time of such deduction.23365

       When a political subdivision owns and operates an airport,23366
welfare, or correctional institution or other project or facility23367
outside its corporate limits, the territory within which the23368
facility is located is exempt from taxation by the school district 23369
within which such territory is located, and there are school age 23370
children residing within such territory, the political subdivision 23371
owning such tax exempt territory shall pay tuition to the district 23372
in which such children attend school. The tuition for these 23373
children shall be computed as provided for in this section.23374

       Sec. 3317.16.  (A) As used in this section:23375

       (1) "State share percentage" means the percentage calculated23376
for a joint vocational school district as follows:23377

       (a) Calculate the state base cost funding amount for the23378
district under division (B) of this section. If the district would 23379
not receive any base cost funding for that year under that23380
division, the district's state share percentage is zero.23381

       (b) If the district would receive base cost funding under23382
that division, divide that base cost amount by an amount equal to23383
the following:23384

cost-of-doing-business factor X
23385

the formula amount X
23386

formula ADM
23387

       The resultant number is the district's state share23388
percentage.23389

       (2) The "total special education weight" for a joint23390
vocational school district shall be calculated in the same manner23391
as prescribed in division (B)(1) of section 3317.022 of the23392
Revised Code.23393

       (3) The "total vocational education weight" for a joint23394
vocational school district shall be calculated in the same manner23395
as prescribed in division (B)(4) of section 3317.022 of the23396
Revised Code.23397

       (4) The "total recognized valuation" of a joint vocational23398
school district shall be determined by adding the recognized23399
valuations of all its constituent school districts for the23400
applicable fiscal year.23401

       (5) "Resident district" means the city, local, or exempted 23402
village school district in which a student is entitled to attend 23403
school under section 3313.64 or 3313.65 of the Revised Code.23404

       (6) "Community school" means a community school established 23405
under Chapter 3314. of the Revised Code.23406

       (B) The department of education shall compute and distribute23407
state base cost funding to each joint vocational school district23408
for the fiscal year in accordance with division (B) of this 23409
section.23410

       (1) Compute the following for each eligible districtformula:23411

(
cost-of-doing-business factor X
23412

formula amount X
23413

formula ADM) -
23414

(.0005 X total recognized valuation)
23415

       If the difference obtained under this division is a negative23416
number, the district's computation shall be zero.23417

       (2) Compute both of the following for each district:23418

       (a) The difference of (i) the district's fiscal year 2005 23419
base cost payment under the version of division (B) of this 23420
section in effect in fiscal year 2005, minus (ii) the amount 23421
computed for the district for the current fiscal year under 23422
current division (B)(1) of this section;23423

       (b) The following amount:23424

[(fiscal year 2005 base cost payment/fiscal year 2005 formula
23425

ADM) X current year formula ADM] minus the amount computed for
23426

the district under current division (B)(1) of this section
23427

       If one of the amounts computed under division (B)(2)(a) or 23428
(b) of this section is a positive amount, the department shall pay 23429
the district that amount in addition to the amount calculated 23430
under division (B)(1) of this section. If both amounts are 23431
positive amounts, the department shall pay the district the lesser 23432
of the two amounts in addition to the amount calculated under 23433
division (B)(1) of this section.23434

       (C)(1) The department shall compute and distribute state23435
vocational education additional weighted costs funds to each joint23436
vocational school district in accordance with the following23437
formula:23438

state share percentage X formula amount X
23439

total vocational education weight
23440

        In each fiscal year, a joint vocational school district 23441
receiving funds under division (C)(1) of this section shall spend 23442
those funds only for the purposes the department designates as 23443
approved for vocational education expenses. Vocational educational 23444
expenses approved by the department shall include only expenses 23445
connected to the delivery of career-technical programming to 23446
career-technical students. The department shall require the joint 23447
vocational school district to report data annually so that the 23448
department may monitor the district's compliance with the 23449
requirements regarding the manner in which funding received under 23450
division (C)(1) of this section may be spent.23451

       (2) The department shall compute for each joint vocational23452
school district state funds for vocational education associated23453
services costs in accordance with the following formula:23454

state share percentage X .05 X
23455

the formula amount X the sum of
23456

categories one and two vocational
23457

education ADM
23458

       In any fiscal year, a joint vocational school district23459
receiving funds under division (C)(2) of this section, or through23460
a transfer of funds pursuant to division (L) of section 3317.02323461
of the Revised Code, shall spend those funds only for the purposes23462
that the department designates as approved for vocational23463
education associated services expenses, which may include such23464
purposes as apprenticeship coordinators, coordinators for other23465
vocational education services, vocational evaluation, and other23466
purposes designated by the department. The department may deny23467
payment under division (C)(2) of this section to any district that23468
the department determines is not operating those services or is23469
using funds paid under division (C)(2) of this section, or through23470
a transfer of funds pursuant to division (L) of section 3317.02323471
of the Revised Code, for other purposes.23472

       (D)(1) The department shall compute and distribute state23473
special education and related services additional weighted costs23474
funds to each joint vocational school district in accordance with23475
the following formula:23476

state share percentage X formula amount X
23477

total special education weight
23478

       (2)(a) As used in this division, the "personnel allowance"23479
means thirty thousand dollars in fiscal years 2002, 2003, 2004, 23480
2005, 2006, and 20072008 and 2009.23481

       (b) For the provision of speech language pathology services 23482
to students, including students who do not have individualized 23483
education programs prepared for them under Chapter 3323. of the 23484
Revised Code, and for no other purpose, the department shall pay 23485
each joint vocational school district an amount calculated under 23486
the following formula:23487

(formula ADM divided by 2000) X the personnel
23488

allowance X state share percentage
23489

       (3) In any fiscal year, a joint vocational school district 23490
shall spend for purposes that the department designates as 23491
approved for special education and related services expenses at 23492
least the amount calculated as follows:23493

(
cost-of-doing-business factor X
formula amount
23494

X the sum of categories one through
23495

six special education ADM) +
23496

(total special education weight X
23497

formula amount)
23498

       The purposes approved by the department for special education 23499
expenses shall include, but shall not be limited to, compliance 23500
with state rules governing the education of handicapped children, 23501
providing services identified in a student's individualized 23502
education program as defined in section 3323.01 of the Revised 23503
Code, provision of speech language pathology services, and the 23504
portion of the district's overall administrative and overhead 23505
costs that are attributable to the district's special education 23506
student population.23507

       The department shall require joint vocational school 23508
districts to report data annually to allow for monitoring 23509
compliance with division (D)(3) of this section. The department 23510
shall annually report to the governor and the general assembly the 23511
amount of money spent by each joint vocational school district for 23512
special education and related services.23513

       (4) In any fiscal year, a joint vocational school district 23514
shall spend for the provision of speech language pathology 23515
services not less than the sum of the amount calculated under 23516
division (D)(1) of this section for the students in the district's 23517
category one special education ADM and the amount calculated under 23518
division (D)(2) of this section.23519

       (E)(1) If a joint vocational school district's costs for a23520
fiscal year for a student in its categories two through six23521
special education ADM exceed the threshold catastrophic cost for23522
serving the student, as specified in division (C)(3)(b) of section23523
3317.022 of the Revised Code, the district may submit to the23524
superintendent of public instruction documentation, as prescribed23525
by the superintendent, of all of its costs for that student. Upon23526
submission of documentation for a student of the type and in the23527
manner prescribed, the department shall pay to the district an23528
amount equal to the sum of the following:23529

       (a) One-half of the district's costs for the student in23530
excess of the threshold catastrophic cost;23531

       (b) The product of one-half of the district's costs for the23532
student in excess of the threshold catastrophic cost multiplied by23533
the district's state share percentage.23534

       (2) The district shall only report under division (E)(1) of23535
this section, and the department shall only pay for, the costs of23536
educational expenses and the related services provided to the23537
student in accordance with the student's individualized education23538
program. Any legal fees, court costs, or other costs associated23539
with any cause of action relating to the student may not be23540
included in the amount.23541

       (F) Each fiscal year, the department shall pay each joint23542
vocational school district an amount for adult technical and23543
vocational education and specialized consultants.23544

       (G)(1) A joint vocational school district's local share of23545
special education and related services additional weighted costs23546
equals:23547

(1 - state share percentage) X
23548

Total special education weight X
23549

the formula amount
23550

       (2) For each handicapped student receiving special education 23551
and related services under an individualized education program, as 23552
defined in section 3323.01 of the Revised Code, at a joint 23553
vocational district, the resident district or, if the student is 23554
enrolled in a community school, the community school shall be 23555
responsible for the amount of any costs of providing those special 23556
education and related services to that student that exceed the sum 23557
of the amount calculated for those services attributable to that 23558
student under divisions (B), (D), (E), and (G)(1) of this section.23559

       Those excess costs shall be calculated by subtracting the sum 23560
of the following from the actual cost to provide special education 23561
and related services to the student:23562

       (a) The product of the formula amount times the 23563
cost-of-doing-business factor;23564

       (b) The product of the formula amount times the applicable 23565
multiple specified in section 3317.013 of the Revised Code;23566

       (c) Any funds paid under division (E) of this section for the 23567
student;23568

       (d) Any other funds received by the joint vocational school 23569
district under this chapter to provide special education and 23570
related services to the student, not including the amount 23571
calculated under division (G)(2) of this section.23572

       (3) The board of education of the joint vocational school 23573
district may report the excess costs calculated under division 23574
(G)(2) of this section to the department of education.23575

       (4) If the board of education of the joint vocational school 23576
district reports excess costs under division (G)(3) of this 23577
section, the department shall pay the amount of excess cost 23578
calculated under division (G)(2) of this section to the joint 23579
vocational school district and shall deduct that amount as 23580
provided in division (G)(4)(a) or (b) of this section, as 23581
applicable:23582

       (a) If the student is not enrolled in a community school, the 23583
department shall deduct the amount from the account of the 23584
student's resident district pursuant to division (M) of section 23585
3317.023 of the Revised Code.23586

       (b) If the student is enrolled in a community school, the 23587
department shall deduct the amount from the account of the 23588
community school pursuant to section 3314.083 of the Revised Code.23589

       Sec. 3317.161. If the department of education is required to 23590
pay an amount under section 3353.25 of the Revised Code to a 23591
school district delivering a course included in the clearinghouse 23592
established under section 3353.21 of the Revised Code for a 23593
student enrolled in a joint vocational school district, the 23594
department shall deduct the amount of that payment from the amount 23595
calculated for the joint vocational school district under section 23596
3317.16 of the Revised Code.23597

       Sec. 3317.20.  This section does not apply to handicapped23598
preschool children.23599

       (A) As used in this section:23600

       (1) "Applicable weight" means the multiple specified in23601
section 3317.013 of the Revised Code for a handicap described in23602
that section.23603

       (2) "Child's school district" means the school district in23604
which a child is entitled to attend school pursuant to section23605
3313.64 or 3313.65 of the Revised Code.23606

       (3) "State share percentage" means the state share percentage23607
of the child's school district as defined in section 3317.022 of23608
the Revised Code.23609

       (B) Except as provided in division (C) of this section, the23610
department shall annually pay each county MR/DD board for each 23611
handicapped child, other than a handicapped preschool child, for 23612
whom the county MR/DD board provides special education and related23613
services the greater of the amount calculated under division 23614
(B)(1) or (2) of this section:23615

       (1) (The formula amount for fiscal year 2005 X the 23616
cost-of-doing-business factor for the child's school district for 23617
fiscal year 2005) + (state share percentage for fiscal year 2005 X 23618
formula amount for fiscal year 2005 X the applicable weight);23619

       (2) (The currentan amount equal to the formula amount times 23620
the current cost-of-doing-business factor for the child's school 23621
district) + (state share percentage X current formula amount X the 23622
applicable weight).23623

       (C) If any school district places with a county MR/DD board23624
more handicapped children than it had placed with a county MR/DD23625
board in fiscal year 1998, the department shall not make a payment23626
under division (B) of this section for the number of children23627
exceeding the number placed in fiscal year 1998. The department23628
instead shall deduct from the district's payments under this23629
chapter, and pay to the county MR/DD board, an amount calculated23630
in accordance with the formula prescribed in division (B) of this23631
section for each child over the number of children placed in23632
fiscal year 1998.23633

       (D) The department shall calculate for each county MR/DD23634
board receiving payments under divisions (B) and (C) of this23635
section the following amounts:23636

       (1) The amount received by the county MR/DD board for23637
approved special education and related services units, other than23638
preschool handicapped units, in fiscal year 1998, divided by the23639
total number of children served in the units that year;23640

       (2) The product of the quotient calculated under division23641
(D)(1) of this section times the number of children for whom23642
payments are made under divisions (B) and (C) of this section.23643

       If the amount calculated under division (D)(2) of this23644
section is greater than the total amount calculated under23645
divisions (B) and (C) of this section, the department shall pay23646
the county MR/DD board one hundred per cent of the difference in23647
addition to the payments under divisions (B) and (C) of this23648
section.23649

       Sec. 3317.201. This section does not apply to handicapped 23650
preschool children.23651

       (A) As used in this section, the "total special education 23652
weight" for an institution means the sum of the following amounts:23653

       (1) The number of children reported by the institution under 23654
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as 23655
receiving services for a handicap described in division (A) of 23656
section 3317.013 of the Revised Code multiplied by the multiple 23657
specified in that division;23658

       (2) The number of children reported by the institution under 23659
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as 23660
receiving services for a handicap described in division (B) of 23661
section 3317.013 of the Revised Code multiplied by the multiple 23662
specified in that division;23663

       (3) The number of children reported by the institution under 23664
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as 23665
receiving services for a handicap described in division (C) of 23666
section 3317.013 of the Revised Code multiplied by the multiple 23667
specified in that division;23668

       (4) The number of children reported by the institution under 23669
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as 23670
receiving services for a handicap described in division (D) of 23671
section 3317.013 of the Revised Code multiplied by the multiple 23672
specified in that division;23673

       (5) The number of children reported by the institution under 23674
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as 23675
receiving services for a handicap described in division (E) of 23676
section 3317.013 of the Revised Code multiplied by the multiple 23677
specified in that division;23678

       (6) The number of children reported by the institution under 23679
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as 23680
receiving services for a handicap described in division (F) of 23681
section 3317.013 of the Revised Code multiplied by the multiple 23682
specified in that division.23683

       (B) TheFor each fiscal year, the department of education 23684
annually shall pay each state institution required to provide 23685
special education services under division (A) of section 3323.091 23686
of the Revised Code an amount equal to the greater of:23687

       (1) The formula amount times the institution's total special 23688
education weight;23689

       (2) The aggregate amount of special education and related 23690
services unit funding the institution received for all handicapped 23691
children other than handicapped preschool children in fiscal year 23692
2005 under sections 3317.052 and 3317.053 of the Revised Code, as 23693
those sections existed prior to the effective date of this section23694
June 30, 2005.23695

       Sec. 3318.12. (A) The Ohio school facilities commission shall23696
cause to be transferred to the school district's project23697
construction fund the necessary amounts from amounts appropriated23698
by the general assembly and set aside for such purpose, from time23699
to time as may be necessary to pay obligations chargeable to such23700
fund when due. All investment earnings of a school district's23701
project construction fund shall be credited to the fund.23702

       (B)(1) The treasurer of the school district board shall 23703
disburse funds from the school district's project construction 23704
fund, including investment earnings credited to the fund, only 23705
upon the approval of the commission or the commission's designated23706
representative. The commission or the commission's designated23707
representative shall issue vouchers against such fund, in such23708
amounts, and at such times as required by the contracts for23709
construction of the project.23710

       (2) Notwithstanding anything to the contrary in division 23711
(B)(1) of this section, the school district board may, by a duly 23712
adopted resolution, choose to use all or part of the investment 23713
earnings of the district's project construction fund that are 23714
attributable to the district's contribution to the fund to pay the 23715
cost of classroom facilities or portions or components of 23716
classroom facilities that are not included in the district's basic 23717
project cost but that are related to the district's project. If 23718
the district board adopts a resolution in favor of using those 23719
investment earnings as authorized under division (B)(2) of this 23720
section, the treasurer shall disburse the amount as designated and 23721
directed by the board. However, if the district board chooses to 23722
use any part of the investment earnings for classroom facilities 23723
or portions or components of classroom facilities that are not 23724
included in the basic project cost, as authorized under division 23725
(B)(2) of this section, and, subsequently, the cost of the project 23726
exceeds the amount in the project construction fund, the district 23727
board shall restore to the project construction fund the full 23728
amount of the investment earnings used under division (B)(2) of 23729
this section before any additional state moneys shall be released 23730
for the project.23731

       (C) After the project has been completed:23732

       (1) AnyAt the discretion of the school district board, any23733
investment earnings remaining in the project construction fund 23734
that are attributable to the school district's contribution to the 23735
fund shall be transferred:23736

       (a) Retained in the project construction fund for future 23737
projects;23738

       (b) Transferred to the district's maintenance fund required23739
by division (B) of section 3318.05 or section 3318.43 of the 23740
Revised Code, and the money so transferred shall be used solely 23741
for maintaining the classroom facilities included in the project;23742

       (c) Transferred to the district's permanent improvement fund.23743

       (2) Any investment earnings remaining in the project23744
construction fund that are attributable to the state's23745
contribution to the fund shall be transferred to the commission23746
for expenditure pursuant to sections 3318.01 to 3318.20 or23747
sections 3318.40 to 3318.45 of the Revised Code.23748

       (3) Any other surplus remaining in the school district's23749
project construction fund after the project has been completed23750
shall be transferred to the commission and the school district23751
board in proportion to their respective contributions to the fund.23752
The commission shall use the money transferred to it under this23753
division for expenditure pursuant to sections 3318.01 to 3318.2023754
or sections 3318.40 to 3318.45 of the Revised Code.23755

       (D) Pursuant to appropriations of the general assembly, any23756
moneys transferred to the commission under division (C)(2) or (3)23757
of this section from a project construction fund for a project23758
under sections 3318.40 to 3318.45 of the Revised Code may be used23759
for future expenditures for projects under sections 3318.40 to23760
3318.45 of the Revised Code, notwithstanding the two per cent23761
annual limit specified in division (B) of section 3318.40 of the23762
Revised Code.23763

       Sec. 3318.15.  There is hereby created the public school23764
building fund within the state treasury consisting of any moneys23765
transferred or appropriated to the fund by the general assembly, 23766
moneys paid into or transferred in accordance with section 3318.47 23767
of the Revised Code, and any grants, gifts, or contributions 23768
received by the Ohio school facilities commission to be used for 23769
the purposes of the fund. All investment earnings of the fund 23770
shall be credited to the fund.23771

       Moneys transferred or appropriated to the fund by the general23772
assembly and moneys in the fund from grants, gifts, and23773
contributions shall be used for the purposes of Chapter 3318. of 23774
the Revised Code as prescribed by the general assembly.23775

       Sec. 3318.26.  (A) The provisions of this section apply only23776
to obligations issued by the issuing authority prior to December23777
1, 1999.23778

       (B) Subject to the limitations provided in section 3318.29 of 23779
the Revised Code, the issuing authority, upon the certification by 23780
the Ohio school facilities commission to the issuing authority of 23781
the amount of moneys or additional moneys needed in the school23782
building program assistance fund for the purposes of sections23783
3318.01 to 3318.20 and sections 3318.40 to 3318.45 of the Revised23784
Code, or needed for capitalized interest, for funding reserves,23785
and for paying costs and expenses incurred in connection with the23786
issuance, carrying, securing, paying, redeeming, or retirement of23787
the obligations or any obligations refunded thereby, including23788
payment of costs and expenses relating to letters of credit, lines23789
of credit, insurance, put agreements, standby purchase agreements,23790
indexing, marketing, remarketing and administrative arrangements,23791
interest swap or hedging agreements, and any other credit23792
enhancement, liquidity, remarketing, renewal, or refunding23793
arrangements, all of which are authorized by this section, shall23794
issue obligations of the state under this section in the required23795
amount. The proceeds of such obligations, except for obligations23796
issued to provide moneys for the school building program23797
assistance fund shall be deposited by the treasurer of state in23798
special funds, including reserve funds, as provided in the bond23799
proceedings. The issuing authority may appoint trustees, paying23800
agents, and transfer agents and may retain the services of23801
financial advisors and accounting experts and retain or contract23802
for the services of marketing, remarketing, indexing, and23803
administrative agents, other consultants, and independent23804
contractors, including printing services, as are necessary in the23805
issuing authority's judgment to carry out this section. The costs23806
of such services are payable from the school building program23807
assistance fund or any special fund determined by the issuing23808
authority.23809

       (C) The holders or owners of such obligations shall have no23810
right to have moneys raised by taxation obligated or pledged, and23811
moneys raised by taxation shall not be obligated or pledged, for23812
the payment of bond service charges. Such holders or owners shall23813
have no rights to payment of bond service charges from any money23814
or property received by the commission, treasurer of state, or the23815
state, or from any other use of the proceeds of the sale of the23816
obligations, and no such moneys may be used for the payment of23817
bond service charges, except for accrued interest, capitalized23818
interest, and reserves funded from proceeds received upon the sale23819
of the obligations and except as otherwise expressly provided in23820
the applicable bond proceedings pursuant to written directions by23821
the treasurer of state. The right of such holders and owners to23822
payment of bond service charges shall be limited to all or that23823
portion of the pledged receipts and those special funds pledged23824
thereto pursuant to the bond proceedings in accordance with this23825
section, and each such obligation shall bear on its face a23826
statement to that effect.23827

       (D) Obligations shall be authorized by resolution or order of 23828
the issuing authority and the bond proceedings shall provide for 23829
the purpose thereof and the principal amount or amounts, and shall 23830
provide for or authorize the manner or agency for determining the 23831
principal maturity or maturities, not exceeding the limits 23832
specified in section 3318.29 of the Revised Code, the interest 23833
rate or rates or the maximum interest rate, the date of the 23834
obligations and the dates of payment of interest thereon, their 23835
denomination, and the establishment within or without the state of 23836
a place or places of payment of bond service charges. Sections 23837
9.98 to 9.983 of the Revised Code are applicable to obligations 23838
issued under this section, subject to any applicable limitation 23839
under section 3318.29 of the Revised Code. The purpose of such 23840
obligations may be stated in the bond proceedings in terms23841
describing the general purpose or purposes to be served. The bond23842
proceedings shall also provide, subject to the provisions of any23843
other applicable bond proceedings, for the pledge of all, or such23844
part as the issuing authority may determine, of the pledged23845
receipts and the applicable special fund or funds to the payment23846
of bond service charges, which pledges may be made either prior or23847
subordinate to other expenses, claims, or payments, and may be23848
made to secure the obligations on a parity with obligations23849
theretofore or thereafter issued, if and to the extent provided in23850
the bond proceedings. The pledged receipts and special funds so23851
pledged and thereafter received by the state are immediately23852
subject to the lien of such pledge without any physical delivery23853
thereof or further act, and the lien of any such pledges is valid23854
and binding against all parties having claims of any kind against23855
the state or any governmental agency of the state, irrespective of23856
whether such parties have notice thereof, and shall create a23857
perfected security interest for all purposes of Chapter 1309. of23858
the Revised Code, without the necessity for separation or delivery23859
of funds or for the filing or recording of the bond proceedings by23860
which such pledge is created or any certificate, statement or23861
other document with respect thereto; and the pledge of such23862
pledged receipts and special funds is effective and the money23863
therefrom and thereof may be applied to the purposes for which23864
pledged without necessity for any act of appropriation, except as23865
required by section 3770.06 of the Revised Code. Every pledge, and 23866
every covenant and agreement made with respect thereto, made in 23867
the bond proceedings may therein be extended to the benefit of the 23868
owners and holders of obligations authorized by this section, and 23869
to any trustee therefor, for the further security of the payment 23870
of the bond service charges.23871

       (E) The bond proceedings may contain additional provisions as 23872
to:23873

       (1) The redemption of obligations prior to maturity at the23874
option of the issuing authority at such price or prices and under23875
such terms and conditions as are provided in the bond proceedings;23876

       (2) Other terms of the obligations;23877

       (3) Limitations on the issuance of additional obligations;23878

       (4) The terms of any trust agreement or indenture securing23879
the obligations or under which the same may be issued;23880

       (5) The deposit, investment and application of special funds, 23881
and the safeguarding of moneys on hand or on deposit, without 23882
regard to Chapter 131., 133., or 135. of the Revised Code, but 23883
subject to any special provisions of sections 3318.21 to 3318.29 23884
of the Revised Code, with respect to particular funds or moneys, 23885
provided that any bank or trust company that acts as depository of 23886
any moneys in the special funds may furnish such indemnifying 23887
bonds or may pledge such securities as required by the issuing 23888
authority;23889

       (6) Any or every provision of the bond proceedings being23890
binding upon such officer, board, commission, authority, agency,23891
department, or other person or body as may from time to time have23892
the authority under law to take such actions as may be necessary23893
to perform all or any part of the duty required by such provision;23894

       (7) Any provision that may be made in a trust agreement or23895
indenture;23896

       (8) The lease or sublease of any interest of the school23897
district or the state in one or more projects as defined in23898
division (C) of section 3318.01 of the Revised Code, or in one or23899
more permanent improvements, to or from the issuing authority, as23900
provided in one or more lease or sublease agreements between the23901
school or the state and the issuing authority;23902

       (9) Any other or additional agreements with the holders of23903
the obligations, or the trustee therefor, relating to the23904
obligations or the security therefor.23905

       (F) The obligations may have the great seal of the state or a 23906
facsimile thereof affixed thereto or printed thereon. The23907
obligations and any coupons pertaining to obligations shall be23908
signed or bear the facsimile signature of the issuing authority.23909
Any obligations or coupons may be executed by the person who, on23910
the date of execution, is the proper issuing authority although on23911
the date of such bonds or coupons such person was not the issuing23912
authority. In case the issuing authority whose signature or a23913
facsimile of whose signature appears on any such obligation or23914
coupon ceases to be the issuing authority before delivery thereof,23915
such signature or facsimile is nevertheless valid and sufficient23916
for all purposes as if the issuing authority had remained the23917
issuing authority until such delivery; and in case the seal to be23918
affixed to obligations has been changed after a facsimile of the23919
seal has been imprinted on such obligations, such facsimile seal23920
shall continue to be sufficient as to such obligations and23921
obligations issued in substitution or exchange therefor.23922

       (G) All obligations are negotiable instruments and securities 23923
under Chapter 1308. of the Revised Code, subject to the provisions 23924
of the bond proceedings as to registration. The obligations may be 23925
issued in coupon or in registered form, or both, as the issuing 23926
authority determines. Provision may be made for the registration 23927
of any obligations with coupons attached thereto as to principal 23928
alone or as to both principal and interest, their exchange for 23929
obligations so registered, and for the conversion or reconversion 23930
into obligations with coupons attached thereto of any obligations 23931
registered as to both principal and interest, and for reasonable 23932
charges for such registration, exchange, conversion, and 23933
reconversion.23934

       (H) Obligations may be sold at public sale or at private23935
sale, as determined in the bond proceedings.23936

       (I) Pending preparation of definitive obligations, the23937
issuing authority may issue interim receipts or certificates which23938
shall be exchanged for such definitive obligations.23939

       (J) In the discretion of the issuing authority, obligations23940
may be secured additionally by a trust agreement or indenture23941
between the issuing authority and a corporate trustee which may be23942
any trust company or bank having its principala place of business23943
within the state. Any such agreement or indenture may contain the23944
resolution or order authorizing the issuance of the obligations,23945
any provisions that may be contained in any bond proceedings, and23946
other provisions that are customary or appropriate in an agreement23947
or indenture of such type, including, but not limited to:23948

       (1) Maintenance of each pledge, trust agreement, indenture,23949
or other instrument comprising part of the bond proceedings until23950
the state has fully paid the bond service charges on the23951
obligations secured thereby, or provision therefor has been made;23952

       (2) In the event of default in any payments required to be23953
made by the bond proceedings, or any other agreement of the23954
issuing authority made as a part of the contract under which the23955
obligations were issued, enforcement of such payments or agreement23956
by mandamus, the appointment of a receiver, suit in equity, action23957
at law, or any combination of the foregoing;23958

       (3) The rights and remedies of the holders of obligations and 23959
of the trustee, and provisions for protecting and enforcing them, 23960
including limitations on rights of individual holders of23961
obligations;23962

       (4) The replacement of any obligations that become mutilated23963
or are destroyed, lost, or stolen;23964

       (5) Such other provisions as the trustee and the issuing23965
authority agree upon, including limitations, conditions, or23966
qualifications relating to any of the foregoing.23967

       (K) Any holder of obligations or a trustee under the bond23968
proceedings, except to the extent that the holder's or trustee's23969
rights are restricted by the bond proceedings, may by any suitable23970
form of legal proceedings, protect and enforce any rights under23971
the laws of this state or granted by such bond proceedings. Such23972
rights include the right to compel the performance of all duties23973
of the issuing authority, the commission, or the director of23974
budget and management required by sections 3318.21 to 3318.29 of23975
the Revised Code or the bond proceedings; to enjoin unlawful23976
activities; and in the event of default with respect to the23977
payment of any bond service charges on any obligations or in the23978
performance of any covenant or agreement on the part of the23979
issuing authority, the commission, or the director of budget and23980
management in the bond proceedings, to apply to a court having23981
jurisdiction of the cause to appoint a receiver to receive and23982
administer the pledged receipts and special funds, other than23983
those in the custody of the treasurer of state or the commission,23984
which are pledged to the payment of the bond service charges on23985
such obligations or which are the subject of the covenant or23986
agreement, with full power to pay, and to provide for payment of23987
bond service charges on, such obligations, and with such powers,23988
subject to the direction of the court, as are accorded receivers23989
in general equity cases, excluding any power to pledge additional23990
revenues or receipts or other income or moneys of the issuing23991
authority or the state or governmental agencies of the state to23992
the payment of such principal and interest and excluding the power23993
to take possession of, mortgage, or cause the sale or otherwise23994
dispose of any permanent improvement.23995

       Each duty of the issuing authority and the issuing23996
authority's officers and employees, and of each governmental23997
agency and its officers, members, or employees, undertaken23998
pursuant to the bond proceedings or any agreement or loan made23999
under authority of sections 3318.21 to 3318.29 of the Revised24000
Code, and in every agreement by or with the issuing authority, is24001
hereby established as a duty of the issuing authority, and of each24002
such officer, member, or employee having authority to perform such24003
duty, specifically enjoined by the law resulting from an office,24004
trust, or station within the meaning of section 2731.01 of the24005
Revised Code.24006

       The person who is at the time the issuing authority, or the24007
issuing authority's officers or employees, are not liable in their24008
personal capacities on any obligations issued by the issuing24009
authority or any agreements of or with the issuing authority.24010

       (L) Obligations issued under this section are lawful24011
investments for banks, societies for savings, savings and loan24012
associations, deposit guarantee associations, trust companies,24013
trustees, fiduciaries, insurance companies, including domestic for24014
life and domestic not for life, trustees or other officers having24015
charge of sinking and bond retirement or other special funds of24016
political subdivisions and taxing districts of this state, the24017
commissioners of the sinking fund of the state, the administrator24018
of workers' compensation, the state teachers retirement system,24019
the public employees retirement system, the school employees24020
retirement system, and the Ohio police and fire pension fund,24021
notwithstanding any other provisions of the Revised Code or rules24022
adopted pursuant thereto by any governmental agency of the state24023
with respect to investments by them, and also are acceptable as24024
security for the deposit of public moneys.24025

       (M) Unless otherwise provided in any applicable bond24026
proceedings, moneys to the credit of or in the special funds24027
established by or pursuant to this section may be invested by or24028
on behalf of the issuing authority only in notes, bonds, or other24029
obligations of the United States, or of any agency or24030
instrumentality of the United States, obligations guaranteed as to24031
principal and interest by the United States, obligations of this24032
state or any political subdivision of this state, and certificates24033
of deposit of any national bank located in this state and any24034
bank, as defined in section 1101.01 of the Revised Code, subject24035
to inspection by the superintendent of financial institutions. If24036
the law or the instrument creating a trust pursuant to division24037
(J) of this section expressly permits investment in direct24038
obligations of the United States or an agency of the United24039
States, unless expressly prohibited by the instrument, such moneys24040
also may be invested in no front end load money market mutual24041
funds consisting exclusively of obligations of the United States24042
or an agency of the United States and in repurchase agreements,24043
including those issued by the fiduciary itself, secured by24044
obligations of the United States or an agency of the United24045
States; and in collective investment funds established in24046
accordance with section 1111.14 of the Revised Code and consisting24047
exclusively of any such securities, notwithstanding division24048
(B)(1)(c) of that section. The income from such investments shall24049
be credited to such funds as the issuing authority determines, and24050
such investments may be sold at such times as the issuing24051
authority determines or authorizes.24052

       (N) Provision may be made in the applicable bond proceedings24053
for the establishment of separate accounts in the bond service24054
fund and for the application of such accounts only to the24055
specified bond service charges on obligations pertinent to such24056
accounts and bond service fund and for other accounts therein24057
within the general purposes of such fund. Unless otherwise24058
provided in any applicable bond proceedings, moneys to the credit24059
of or in the several special funds established pursuant to this24060
section shall be disbursed on the order of the treasurer of state,24061
provided that no such order is required for the payment from the24062
bond service fund when due of bond service charges on obligations.24063

       (O) The issuing authority may pledge all, or such portion as24064
the issuing authority determines, of the pledged receipts to the24065
payment of bond service charges on obligations issued under this24066
section, and for the establishment and maintenance of any24067
reserves, as provided in the bond proceedings, and make other24068
provisions therein with respect to pledged receipts as authorized24069
by this chapter, which provisions shall be controlling24070
notwithstanding any other provisions of law pertaining thereto.24071

       (P) The issuing authority may covenant in the bond24072
proceedings, and any such covenants shall be controlling24073
notwithstanding any other provision of law, that the state and24074
applicable officers and governmental agencies of the state,24075
including the general assembly, so long as any obligations are24076
outstanding, shall:24077

       (1) Maintain statutory authority for and cause to be operated 24078
the state lottery, including the transfers to and from the lottery 24079
profits education fund created in section 3770.06 of the Revised 24080
Code so that the pledged receipts shall be sufficient in amount to 24081
meet bond service charges, and the establishment and maintenance 24082
of any reserves and other requirements provided for in the bond 24083
proceedings;24084

       (2) Take or permit no action, by statute or otherwise, that24085
would impair the exclusion from gross income for federal income24086
tax purposes of the interest on any obligations designated by the24087
bond proceeding as tax-exempt obligations.24088

       (Q) There is hereby created the school building program bond24089
service fund, which shall be in the custody of the treasurer of24090
state but shall be separate and apart from and not a part of the24091
state treasury. All moneys received by or on account of the24092
issuing authority or state agencies and required by the applicable24093
bond proceedings, consistent with this section, to be deposited,24094
transferred, or credited to the school building program bond24095
service fund, and all other moneys transferred or allocated to or24096
received for the purposes of the fund, shall be deposited and24097
credited to such fund and to any separate accounts therein,24098
subject to applicable provisions of the bond proceedings, but24099
without necessity for any act of appropriation, except as required24100
by section 3770.06 of the Revised Code. During the period24101
beginning with the date of the first issuance of obligations and24102
continuing during such time as any such obligations are24103
outstanding, and so long as moneys in the school building program24104
bond service fund are insufficient to pay all bond service charges24105
on such obligations becoming due in each year, a sufficient amount24106
of the moneys from the lottery profits education fund included in24107
pledged receipts, subject to appropriation for such purpose as24108
provided in section 3770.06 of the Revised Code, are committed and24109
shall be paid to the school building program bond service fund in24110
each year for the purpose of paying the bond service charges24111
becoming due in that year. The school building program bond24112
service fund is a trust fund and is hereby pledged to the payment24113
of bond service charges solely on obligations issued to provide24114
moneys for the school building program assistance fund to the24115
extent provided in the applicable bond proceedings, and payment24116
thereof from such fund shall be made or provided for by the24117
treasurer of state in accordance with such bond proceedings24118
without necessity for any act of appropriation except as required24119
by section 3770.06 of the Revised Code.24120

       (R) The obligations, the transfer thereof, and the income24121
therefrom, including any profit made on the sale thereof, at all24122
times shall be free from taxation within the state.24123

       Sec. 3318.47.  (A) On the effective date of this section, the 24124
director of budget and management shall transfer any amount on 24125
hand in the fund established under former section 3318.47 of the 24126
Revised Code, as that section existed prior to the effective date 24127
of this section, into the fund established under section 3318.15 24128
of the Revised Code. 24129

       (B) On or after the effective date of this section, any 24130
amounts received from school districts in repayment of loans made 24131
under former sections 3318.47 to 3318.49, as those sections 24132
existed prior to the effective date of this section, shall be 24133
deposited into the fund established under section 3318.15 of the 24134
Revised Code.24135

       Sec. 3319.55.  (A) A grant program is hereby established to24136
recognize and reward teachers in public and chartered nonpublic 24137
schools who hold valid teaching certificates or licenses issued by 24138
the national board for professional teaching standards. The 24139
superintendent of public instruction shall administer this program 24140
in accordance with this section and rules which the state board of24141
education shall adopt in accordance with Chapter 119. of the 24142
Revised Code.24143

       In each fiscal year that the general assembly appropriates 24144
funds for purposes of this section, the superintendent of public 24145
instruction shall award a grant to each person who, by the first 24146
day of April of that year and in accordance with the rules adopted 24147
under this section, submits to the superintendent evidence 24148
indicating allboth of the following:24149

       (1) The person holds a valid certificate or license issued by 24150
the national board for professional teaching standards;24151

       (2) The person has been employed full-time as a teacher by 24152
the board of education of a school district or by a chartered 24153
nonpublic school in this state during the current school year;24154

       (3) The date the person was accepted into the national board 24155
certification or licensure program.24156

       An individual may receive a grant under this section in each 24157
fiscal year the person is eligible for a grant and submits 24158
evidence of that eligibility in accordance with this section. No 24159
person may receive a grant after the expiration of the person's 24160
initial certification or license issued by the national board.24161

       (B) The amount of the grant awarded to each eligible person 24162
under division (A) of this section in any fiscal year shall equal 24163
the following:24164

       (1) Twotwo thousand five hundred dollars for any teacher 24165
accepted as a candidate for certification or licensure by the 24166
national board on or before May 31, 2003, and issued a certificate 24167
or license by the national board on or before December 31, 2004;24168

       (2) One thousand dollars for any other teacher issued a 24169
certificate or license by the national board.24170

       However. However, if the funds appropriated for purposes of 24171
this section in any fiscal year are not sufficient to award the24172
full grant amount to each person who is eligible in that fiscal 24173
year, the superintendent shall prorate the amount of the grant 24174
awarded in that fiscal year to each eligible person.24175

       Sec. 3323.01.  As used in this chapter and Chapter 3321. of24176
the Revised Code:24177

       (A) "Handicapped child" means a person under twenty-two years 24178
of age who is developmentally handicapped, hearing handicapped, 24179
speech handicapped, visually disabled, severe behavior 24180
handicapped, orthopedically handicapped, multihandicapped, other 24181
health handicapped, specific learning disabled, autistic, or 24182
traumatic brain injured, and by reason thereof requires special 24183
education.24184

       (B) "Special education program" means the required related24185
services and instruction specifically designed to meet the unique24186
needs of a handicapped child, including classroom instruction,24187
home instruction, and instruction in hospitals and institutions24188
and in other settings.24189

       (C) "Related services" means transportation, and such24190
developmental, corrective, and other supportive services as may be 24191
required to assist a handicapped child to benefit from special24192
education, including the early identification and assessment of24193
handicapped conditions in children, speech pathology and24194
audiology, psychological services, occupational and physical24195
therapy, physical education, recreation, counseling services24196
including rehabilitative counseling, and medical services, except24197
that such medical services shall be for diagnostic and evaluation24198
purposes only.24199

       (D) "Appropriate public education" means special education24200
and related services that:24201

       (1) Are provided at public expense and under public24202
supervision;24203

       (2) Meet the standards of the state board of education;24204

       (3) Include an appropriate preschool, elementary, or24205
secondary education;24206

       (4) Are provided in conformity with the individualized24207
education program required under this chapter.24208

       (E) "Individualized education program" means a written24209
statement for each handicapped child designed to meet the unique24210
needs of a handicapped child, which statement shall include:24211

       (1) A statement of the present levels of educational24212
performance of such child;24213

       (2) A statement of annual goals, including short-term24214
instructional objectives;24215

       (3) A statement of the specific educational services to be24216
provided to such child, and the extent to which such child will be 24217
able to participate in regular educational programs;24218

       (4) A statement of the transition services needed for such24219
child beginning no later than age sixteen and annually thereafter24220
(and, when determined appropriate for such child, beginning at age 24221
fourteen or younger), including, when appropriate, a statement of 24222
the interagency responsibilities and linkages before the student 24223
leaves the school setting;24224

       (5) The projected date for initiation and anticipated24225
duration of such services;24226

       (6) Appropriate objective criteria and evaluation procedures 24227
and schedules for determining, on at least an annual basis, 24228
whether instructional objectives are being achieved, and whether 24229
current placement is appropriate.24230

       (F) "Other educational agency" means a department, division, 24231
bureau, office, institution, board, commission, committee, 24232
authority, or other state or local agency, other than a school 24233
district or an agency administered by the department of mental 24234
retardation and developmental disabilities, that provides or seeks 24235
to provide special education or related services to handicapped 24236
children.24237

       (G) "School district" means a city, local, or exempted24238
village school district.24239

       (H) "Parents" means either parent. If the parents are24240
separated or divorced, "parent" means the parent who is the24241
residential parent and legal custodian of the handicapped child.24242
Except as used in division (I) of this section and in sections24243
3323.09 and 3323.141 of the Revised Code, "parents" includes a24244
child's guardian or custodian. This definition does not apply to24245
Chapter 3321. of the Revised Code.24246

       (I) As used in sections 3323.09, 3323.091, 3323.13, and24247
3323.14 of the Revised Code, "school district of residence" means:24248

       (1) The school district in which the child's parents reside;24249

       (2) If the school district specified in division (I)(1) of24250
this section cannot be determined, the last school district in24251
which the child's parents are known to have resided if the24252
parents' whereabouts are unknown;24253

       (3) If the school district specified in division (I)(2) of24254
this section cannot be determined, the school district determined24255
by the court under section 2151.362 of the Revised Code, or if no24256
district has been so determined, the school district as determined 24257
by the probate court of the county in which the child resides. The 24258
school district of residence that had been established under this 24259
section on December 12, 1983, shall remain the child's school 24260
district of residence unless a district of residence can be 24261
determined under division (I)(1) or (2) of this section.24262

       (4) Notwithstanding divisions (I)(1) to (3) of this section, 24263
if a school district is required by section 3313.65 of the Revised 24264
Code to pay tuition for a child, that district shall be the 24265
child's school district of residence.24266

       (J) "County MR/DD board" means a county board of mental24267
retardation and developmental disabilities.24268

       (K) "Handicapped preschool child" means a handicapped child 24269
who is at least three years of age but is not of compulsory school 24270
age, as defined under section 3321.01 of the Revised Code, and who 24271
is not currently enrolled in kindergarten.24272

       (L) "Transition services" means a coordinated set of24273
activities for a student, designed within an outcome-oriented24274
process, that:24275

       (1) Promotes movement from school to post-school activities, 24276
including post-secondary education; vocational training; 24277
integrated employment, including supported employment; continuing 24278
and adult education; adult services; independent living; and 24279
community participation;24280

       (2) Is based upon the individual student's needs, including 24281
taking into account the student's preferences and interests;24282

       (3) Includes instruction, community experiences, the24283
development of employment and other post-school adult living24284
objectives, and, when appropriate, acquisition of daily living24285
skills and functional vocational evaluation.24286

       (M) "Visual disability" for any individual means that one of 24287
the following applies to the individual:24288

       (1) The individual has a visual acuity of 20/200 or less in 24289
the better eye with correcting lenses or has a limited field of 24290
vision in the better eye such that the widest diameter subtends an 24291
angular distance of no greater than twenty degrees.24292

       (2) The individual has a medically indicated expectation of 24293
meeting the requirements of division (M)(1) of this section over a 24294
period of time.24295

       (3) The individual has a medically diagnosed and medically 24296
uncorrectable limitation in visual functioning that adversely 24297
affects the individual's ability to read and write standard print 24298
at levels expected of the individual's peers of comparable ability 24299
and grade level.24300

       (N) "Student with a visual disability" means any person under 24301
twenty-two years of age who has a visual disability.24302

       (O) "Instruction in braille reading and writing" means the 24303
teaching of the system of reading and writing through touch 24304
commonly known as standard English braille.24305

       Sec. 3323.052.  Not later than sixty days after the effective 24306
date of this section, the department of education shall develop a 24307
document that compares a parent's and child's rights under this 24308
chapter and 20 U.S.C. 1400 et seq. with the parent's and child's 24309
rights under the special education scholarship pilot program, 24310
established in sections 3310.51 to 3310.63 of the Revised Code, 24311
including the provisions of divisions (A) and (B) of section 24312
3310.53 of the Revised Code. The department shall revise that 24313
document as necessary to reflect any pertinent changes in state or 24314
federal statutory law, rule, or regulation enacted or adopted 24315
after the initial document is developed. The department and each 24316
school district shall ensure that the document prescribed in this 24317
section is included in, appended to, or otherwise distributed in 24318
conjunction with the notice required under 20 U.S.C. 1415(d), and 24319
any provision of the Code of Federal Regulations implementing that 24320
requirement, in the manner and at all the times specified for such 24321
notice in federal law or regulation.24322

       Sec. 3323.11.  Teachers in education programs under this 24323
chapter shall possess the usual qualifications required of special 24324
education teachersintervention specialists in the public schools.24325

       Sec. 3327.05.  (A) Except as provided in division (B) of this 24326
section, no board of education of any school district shall24327
provide transportation for any pupil who is a school resident of24328
another school district unless the pupil is enrolled pursuant to24329
section 3313.98 of the Revised Code or the board of the other24330
district has given its written consent thereto. If the board of24331
any school district files with the state board of education a24332
written complaint that transportation for resident pupils is being 24333
provided by the board of another school district contrary to this 24334
division, the state board of education shall make an investigation 24335
of such complaint. If the state board of education finds that 24336
transportation is being provided contrary to this section, it may 24337
withdraw from state funds due the offending district any part of 24338
the amount that has been approved for transportation pursuant to 24339
division (D) of section 3317.022 of the Revised Code.24340

       (B) Notwithstanding division (D) of section 3311.19 and24341
division (D) of section 3311.52 of the Revised Code, this division 24342
does not apply to any joint vocational or cooperative education 24343
school district.24344

       A board of education may provide transportation to and from24345
the nonpublic high school of attendance if both of the following24346
apply:24347

       (1) The parent, guardian, or other person in charge of the24348
pupil agrees to pay the board for all costs incurred in providing24349
the transportation that are not reimbursed pursuant to Chapter24350
3317. of the Revised Code;24351

       (2) The pupil's school district of residence does not provide 24352
transportation for public school pupils of the same grade as the 24353
pupil being transported under this division, or that district is 24354
not required under section 3327.01 of the Revised Code to 24355
transport the pupil to and from the nonpublic school because the 24356
direct travel time to the nonpublic school is more than thirty 24357
minutes.24358

       Upon receipt of the request to provide transportation, the 24359
board shall review the request and determine whether the board 24360
will accommodate the request. If the board agrees to transport the 24361
pupil, the board may transport the pupil to and from the nonpublic 24362
school and a collection point in the district, as determined by 24363
the board. If the board transports the pupil, the board may 24364
include the pupil in the district's transportation ADM reported to 24365
the department of education under section 3317.03 of the Revised 24366
Code and, accordingly, may receive a state payment under division 24367
(D) of section 3317.022 of the Revised Code for transporting the 24368
pupil.24369

       If the board declines to transport the pupil, the board, in a 24370
written communication to the parent, guardian, or other person in 24371
charge of the pupil, shall state the reasons for declining the 24372
request.24373

       Sec. 3327.17. The department of development shall establish a 24374
biodiesel school bus program under which the director of 24375
development shall make grants to school districts that use 24376
biodiesel fuel for pupil transportation to help offset incremental 24377
costs incurred by using biodiesel instead of one hundred per cent 24378
petroleum diesel.24379

        As used in this section, "biodiesel" has the same meaning as 24380
in section 122.075 of the Revised Code.24381

       Sec. 3333.04.  The Ohio board of regents shall:24382

       (A) Make studies of state policy in the field of higher24383
education and formulate a master plan for higher education for the24384
state, considering the needs of the people, the needs of the24385
state, and the role of individual public and private institutions24386
within the state in fulfilling these needs;24387

       (B)(1) Report annually to the governor and the general24388
assembly on the findings from its studies and the master plan for24389
higher education for the state;24390

       (2) Report at least semiannually to the general assembly and24391
the governor the enrollment numbers at each state-assisted24392
institution of higher education.24393

       (C) Approve or disapprove the establishment of new branches24394
or academic centers of state colleges and universities;24395

       (D) Approve or disapprove the establishment of state24396
technical colleges or any other state institution of higher24397
education;24398

       (E) Recommend the nature of the programs, undergraduate,24399
graduate, professional, state-financed research, and public24400
services which should be offered by the state colleges,24401
universities, and other state-assisted institutions of higher24402
education in order to utilize to the best advantage their24403
facilities and personnel;24404

       (F) Recommend to the state colleges, universities, and other24405
state-assisted institutions of higher education graduate or24406
professional programs, including, but not limited to, doctor of24407
philosophy, doctor of education, and juris doctor programs, that24408
could be eliminated because they constitute unnecessary24409
duplication, as shall be determined using the process developed24410
pursuant to this section, or for other good and sufficient cause. 24411
For purposes of determining the amounts of any state instructional24412
subsidies paid to these colleges, universities, and institutions,24413
the board may exclude students enrolled in any program that the24414
board has recommended for elimination pursuant to this division24415
except that the board shall not exclude any such student who24416
enrolled in the program prior to the date on which the board24417
initially commences to exclude students under this division. The24418
board of regents and these colleges, universities, and24419
institutions shall jointly develop a process for determining which24420
existing graduate or professional programs constitute unnecessary24421
duplication.24422

       (G) Recommend to the state colleges, universities, and other24423
state-assisted institutions of higher education programs which24424
should be added to their present programs;24425

       (H) Conduct studies for the state colleges, universities, and 24426
other state-assisted institutions of higher education to assist 24427
them in making the best and most efficient use of their existing 24428
facilities and personnel;24429

       (I) Make recommendations to the governor and general assembly 24430
concerning the development of state-financed capital plans for 24431
higher education; the establishment of new state colleges, 24432
universities, and other state-assisted institutions of higher 24433
education; and the establishment of new programs at the existing 24434
state colleges, universities, and other institutions of higher 24435
education;24436

       (J) Review the appropriation requests of the public community 24437
colleges and the state colleges and universities and submit to the 24438
office of budget and management and to the chairpersons of the 24439
finance committees of the house of representatives and of the 24440
senate its recommendations in regard to the biennial higher24441
education appropriation for the state, including appropriations24442
for the individual state colleges and universities and public24443
community colleges. For the purpose of determining the amounts of 24444
instructional subsidies to be paid to state-assisted colleges and 24445
universities, the board shall define "full-time equivalent24446
student" by program per academic year. The definition may take24447
into account the establishment of minimum enrollment levels in24448
technical education programs below which support allowances will24449
not be paid. Except as otherwise provided in this section, the24450
board shall make no change in the definition of "full-time24451
equivalent student" in effect on November 15, 1981, which would24452
increase or decrease the number of subsidy-eligible full-time24453
equivalent students, without first submitting a fiscal impact24454
statement to the president of the senate, the speaker of the house 24455
of representatives, the legislative service commission, and the 24456
director of budget and management. The board shall work in close 24457
cooperation with the director of budget and management in this 24458
respect and in all other matters concerning the expenditures of 24459
appropriated funds by state colleges, universities, and other 24460
institutions of higher education.24461

       (K) Seek the cooperation and advice of the officers and24462
trustees of both public and private colleges, universities, and24463
other institutions of higher education in the state in performing24464
its duties and making its plans, studies, and recommendations;24465

       (L) Appoint advisory committees consisting of persons24466
associated with public or private secondary schools, members of24467
the state board of education, or personnel of the state department24468
of education;24469

       (M) Appoint advisory committees consisting of college and24470
university personnel, or other persons knowledgeable in the field24471
of higher education, or both, in order to obtain their advice and24472
assistance in defining and suggesting solutions for the problems24473
and needs of higher education in this state;24474

       (N) Approve or disapprove all new degrees and new degree24475
programs at all state colleges, universities, and other24476
state-assisted institutions of higher education;24477

       (O) Adopt such rules as are necessary to carry out its duties 24478
and responsibilities;24479

       (P) Establish and submit to the governor and the general24480
assembly a clear and measurable set of goals and timetables for24481
their achievement for each program under the supervision of the24482
board that is designed to accomplish any of the following:24483

       (1) Increased access to higher education;24484

       (2) Job training;24485

       (3) Adult literacy;24486

       (4) Research;24487

       (5) Excellence in higher education;24488

       (6) Reduction in the number of graduate programs within the24489
same subject area.24490

       In July of each odd-numbered year, the board of regents shall24491
submit to the governor and the general assembly a report on24492
progress made toward these goals.24493

       (Q) Make recommendations to the governor and the general24494
assembly regarding the design and funding of the student financial24495
aid programs specified in sections 3333.12, 3333.122, 3333.21 to24496
3333.27, and 5910.02 of the Revised Code;24497

       (R) Participate in education-related state or federal24498
programs on behalf of the state and assume responsibility for the24499
administration of such programs in accordance with applicable24500
state or federal law;24501

       (S) Adopt rules for student financial aid programs as24502
required by sections 3333.12, 3333.122, 3333.21 to 3333.27, 24503
3333.28, 3333.29, and 5910.02 of the Revised Code, and perform any 24504
other administrative functions assigned to the board by those24505
sections;24506

       (T) Administer contracts under sections 3702.74 and 3702.7524507
of the Revised Code in accordance with rules adopted by the24508
director of health under section 3702.79 of the Revised Code;24509

       (U) Conduct enrollment audits of state-supported institutions 24510
of higher education;24511

       (V) Appoint consortiums of college and university personnel24512
to participate in the development and operation of statewide24513
collaborative efforts, including the Ohio supercomputer center,24514
the Ohio academic resources network, OhioLink, and the Ohio24515
learning network. For each consortium, the board shall designate a24516
college or university to serve as that consortium's fiscal agent,24517
financial officer, and employer. Any funds appropriated to the24518
board for consortiums shall be distributed to the fiscal agents24519
for the operation of the consortiums. A consortium shall follow24520
the rules of the college or university that serves as its fiscal24521
agent.24522

       Sec. 3333.122.  (A) As used in this section:24523

       (1) "Eligible student" means a student who is:24524

       (a) An Ohio resident who first enrolls in an undergraduate 24525
program in the 2006-2007 academic year or thereafter;24526

       (b) EnrolledIf the student first enrolled in an 24527
undergraduate program in the 2006-2007 or 2007-2008 academic year, 24528
the student is enrolled in either of the following:24529

       (i) An accredited institution of higher education in this24530
state that meets the requirements of Title VI of the Civil Rights24531
Act of 1964 and is state-assisted, is nonprofit and has a24532
certificate of authorization from the Ohio board of regents24533
pursuant to Chapter 1713. of the Revised Code, has a certificate24534
of registration from the state board of career colleges and 24535
schools and program authorization to award an associate or24536
bachelor's degree, or is a private institution exempt from24537
regulation under Chapter 3332. of the Revised Code as prescribed24538
in section 3333.046 of the Revised Code. Students who attend an24539
institution that holds a certificate of registration shall be24540
enrolled in a program leading to an associate or bachelor's degree24541
for which associate or bachelor's degree program the institution24542
has program authorization issued under section 3332.05 of the24543
Revised Code.24544

       (ii) A technical education program of at least two years24545
duration sponsored by a private institution of higher education in24546
this state that meets the requirements of Title VI of the Civil24547
Rights Act of 1964.24548

       (c) If the student first enrolled in an undergraduate program 24549
after the 2007-2008 academic year, the student is enrolled in 24550
either of the following:24551

       (i) An accredited institution of higher education in this 24552
state that meets the requirements of Title VI of the Civil Rights 24553
Act of 1964 and is state-assisted, is nonprofit and has a 24554
certificate of authorization from the board of regents pursuant to 24555
Chapter 1713. of the Revised Code, or is a private institution 24556
exempt from regulation under Chapter 3332. of the Revised Code as 24557
prescribed in section 3333.046 of the Revised Code;24558

       (ii) An education program of at least two years duration 24559
sponsored by a private institution of higher education in this 24560
state that meets the requirements of Title VI of the Civil Rights 24561
Act of 1964 and has a certificate of authorization from the board 24562
of regents pursuant to Chapter 1713. of the Revised Code.24563

       (2) A student who participated in either the early college 24564
high school program administered by the department of education or 24565
in the post-secondary enrollment options program pursuant to 24566
Chapter 3365. of the Revised Code before the 2006-2007 academic 24567
year shall not be excluded from eligibility for a need based24568
needs-based financial aid grant under this section.24569

       (3) "Resident," "expected family contribution" or "EFC," 24570
"full-time student," "three-quarters-time student," "half-time 24571
student," "one-quarter-time student," and "accredited" shall be 24572
defined by rules adopted by the board.24573

       (B) The Ohio board of regents shall establish and administer24574
a needs-based financial aid program based on the United States 24575
department of education's method of determining financial need and 24576
may adopt rules to carry out this section. The program shall be 24577
known as the Ohio college opportunity grant program. The general 24578
assembly shall support the needs-based financial aid program by 24579
such sums and in such manner as it may provide, but the board may 24580
also receive funds from other sources to support the program. If 24581
the amounts available for support of the program are inadequate to 24582
provide grants to all eligible students, preference in the payment 24583
of grants shall be given in terms of expected family contribution, 24584
beginning with the lowest expected family contribution category 24585
and proceeding upward by category to the highest expected family 24586
contribution category.24587

       A needs-based financial aid grant shall be paid to an 24588
eligible student through the institution in which the student is 24589
enrolled, except that no needs-based financial aid grant shall be 24590
paid to any person serving a term of imprisonment. Applications 24591
for such grants shall be made as prescribed by the board, and such 24592
applications may be made in conjunction with and upon the basis of 24593
information provided in conjunction with student assistance 24594
programs funded by agencies of the United States government or 24595
from financial resources of the institution of higher education. 24596
The institution shall certify that the student applicant meets the 24597
requirements set forth in divisions (A)(1)(a) and (b) of this 24598
section. Needs-based financial aid grants shall be provided to an 24599
eligible student only as long as the student is making appropriate 24600
progress toward a nursing diploma or an associate or bachelor's 24601
degree. No student shall be eligible to receive a grant for more 24602
than ten semesters, fifteen quarters, or the equivalent of five 24603
academic years. A grant made to an eligible student on the basis 24604
of less than full-time enrollment shall be based on the number of 24605
credit hours for which the student is enrolled and shall be 24606
computed in accordance with a formula adopted by the board. No 24607
student shall receive more than one grant on the basis of less 24608
than full-time enrollment.24609

       A needs-based financial aid grant shall not exceed the total24610
instructional and general charges of the institution.24611

       (C) The tables in this division prescribe the maximum grant24612
amounts covering two semesters, three quarters, or a comparable24613
portion of one academic year. Grant amounts for additional terms24614
in the same academic year shall be determined under division (D)24615
of this section.24616

       As used in the tables in division (C) of this section:24617

        (1) "Private institution" means an institution that is 24618
nonprofit and has a certificate of authorization from the Ohio 24619
board of regents pursuant to Chapter 1713. of the Revised Code.24620

        (2) "Career college" means either an institution that holds a 24621
certificate of registration from the state board of career 24622
colleges and schools or a private institution exempt from 24623
regulation under Chapter 3332. of the Revised Code as prescribed 24624
in section 3333.046 of the Revised Code.24625

       Full-time students shall be eligible to receive awards 24626
according to the following table:24627

Full-Time Enrollment
24628

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: 24629
$2,101 $2,190 $300 $600 $480 24630
2,001 2,100 402 798 642 24631
1,901 2,000 498 1,002 798 24632
1,801 1,900 600 1,200 960 24633
1,701 1,800 702 1,398 1,122 24634
1,601 1,700 798 1,602 1,278 24635
1,501 1,600 900 1,800 1,440 24636
1,401 1,500 1,002 1,998 1,602 24637
1,301 1,400 1,098 2,202 1,758 24638
1,201 1,300 1,200 2,400 1,920 24639
1,101 1,200 1,302 2,598 2,082 24640
1,001 1,100 1,398 2,802 2,238 24641
901 1,000 1,500 3,000 2,400 24642
801 900 1,602 3,198 2,562 24643
701 800 1,698 3,402 2,718 24644
601 700 1,800 3,600 2,280 24645
501 600 1,902 3,798 3,042 24646
401 500 1,998 4,002 3,198 24647
301 400 2,100 4,200 3,360 24648
201 300 2,202 4,398 3,522 24649
101 200 2,298 4,602 3,678 24650
1 100 2,400 4,800 3,840 24651
0 0 2,496 4,992 3,996 24652

       Three-quarters-time students shall be eligible to receive 24653
awards according to the following table:24654

Three-Quarters-Time Enrollment
24655

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: 24656
$2,101 $2,190 $228 $450 $360 24657
2,001 2,100 300 600 480 24658
1,901 2,000 372 750 600 24659
1,801 1,900 450 900 720 24660
1,701 1,800 528 1,050 840 24661
1,601 1,700 600 1,200 960 24662
1,501 1,600 678 1,350 1,080 24663
1,401 1,500 750 1,500 1,200 24664
1,301 1,400 822 1,650 1,320 24665
1,201 1,300 900 1,800 1,440 24666
1,101 1,200 978 1,950 1,560 24667
1,001 1,100 1,050 2,100 1,680 24668
901 1,000 1,128 2,250 1,800 24669
801 900 1,200 2,400 1,920 24670
701 800 1,272 2,550 2,040 24671
601 700 1,350 2,700 2,160 24672
501 600 1,428 2,850 2,280 24673
401 500 1,500 3,000 2,400 24674
301 400 1,578 3,150 2,520 24675
201 300 1,650 3,300 2,640 24676
101 200 1,722 3,450 2,760 24677
1 100 1,800 3,600 2,880 24678
0 0 1,872 3,744 3,000 24679

       Half-time students shall be eligible to receive awards 24680
according to the following table:24681

Half-Time Enrollment
24682

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: 24683
$2,101 $2,190 $150 $300 $240 24684
2,001 2,100 204 402 324 24685
1,901 2,000 252 504 402 24686
1,801 1,900 300 600 480 24687
1,701 1,800 354 702 564 24688
1,601 1,700 402 804 642 24689
1,501 1,600 450 900 720 24690
1,401 1,500 504 1,002 804 24691
1,301 1,400 552 1,104 882 24692
1,201 1,300 600 1,200 960 24693
1,101 1,200 654 1,302 1,044 24694
1,001 1,100 702 1,404 1,122 24695
901 1,000 750 1,500 1,200 24696
801 900 804 1,602 1,284 24697
701 800 852 1,704 1,362 24698
601 700 900 1,800 1,440 24699
501 600 954 1,902 1,524 24700
401 500 1,002 2,004 1,602 24701
301 400 1,050 2,100 1,680 24702
201 300 1,104 2,202 1,764 24703
101 200 1,152 2,304 1,842 24704
1 100 1,200 2,400 1,920 24705
0 0 1,248 2,496 1,998 24706

       One-quarter-time students shall be eligible to receive awards 24707
according to the following table:24708

One-Quarter-Time Enrollment
24709

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: 24710
$2,101 $2,190 $78 $150 $120 24711
2,001 2,100 102 198 162 24712
1,901 2,000 126 252 198 24713
1,801 1,900 150 300 240 24714
1,701 1,800 174 348 282 24715
1,601 1,700 198 402 318 24716
1,501 1,600 228 450 360 24717
1,401 1,500 252 498 402 24718
1,301 1,400 276 552 438 24719
1,201 1,300 300 600 480 24720
1,101 1,200 324 648 522 24721
1,001 1,100 348 702 558 24722
901 1,000 378 750 600 24723
801 900 402 798 642 24724
701 800 426 852 678 24725
601 700 450 900 720 24726
501 600 474 948 762 24727
401 500 498 1,002 798 24728
301 400 528 1,050 840 24729
201 300 552 1,098 882 24730
101 200 576 1,152 918 24731
1 100 600 1,200 960 24732
0 0 624 1,248 1,002 24733

       (D) For a full-time student enrolled in an eligible24734
institution for a semester or quarter in addition to the portion24735
of the academic year covered by a grant determined under division24736
(C) of this section, the maximum grant amount shall be a24737
percentage of the maximum prescribed in the applicable table of24738
that division. The maximum grant for a fourth quarter shall be24739
one-third of the maximum amount prescribed under that division.24740
The maximum grant for a third semester shall be one-half of the24741
maximum amount prescribed under that division.24742

       (E) No grant shall be made to any student in a course of24743
study in theology, religion, or other field of preparation for a24744
religious profession unless such course of study leads to an24745
accredited bachelor of arts, bachelor of science, associate of24746
arts, or associate of science degree.24747

       (F)(1) Except as provided in division (F)(2) of this section, 24748
no grant shall be made to any student for enrollment during a 24749
fiscal year in an institution with a cohort default rate24750
determined by the United States secretary of education pursuant to24751
the "Higher Education Amendments of 1986," 100 Stat. 1278, 1408,24752
20 U.S.C.A. 1085, as amended, as of the fifteenth day of June24753
preceding the fiscal year, equal to or greater than thirty per24754
cent for each of the preceding two fiscal years.24755

       (2) Division (F)(1) of this section does not apply to the24756
following:24757

       (a) Any student enrolled in an institution that under the24758
federal law appeals its loss of eligibility for federal financial24759
aid and the United States secretary of education determines its24760
cohort default rate after recalculation is lower than the rate24761
specified in division (F)(1) of this section or the secretary24762
determines due to mitigating circumstances the institution may24763
continue to participate in federal financial aid programs. The24764
board shall adopt rules requiring institutions to provide24765
information regarding an appeal to the board.24766

       (b) Any student who has previously received a grant under24767
this section who meets all other requirements of this section.24768

       (3) The board shall adopt rules for the notification of all24769
institutions whose students will be ineligible to participate in24770
the grant program pursuant to division (F)(1) of this section.24771

       (4) A student's attendance at an institution whose students24772
lose eligibility for grants under division (F)(1) of this section24773
shall not affect that student's eligibility to receive a grant24774
when enrolled in another institution.24775

       (G) Institutions of higher education that enroll students24776
receiving needs-based financial aid grants under this section 24777
shall report to the board all students who have received 24778
needs-based financial aid grants but are no longer eligible for 24779
all or part of such grants and shall refund any moneys due the 24780
state within thirty days after the beginning of the quarter or 24781
term immediately following the quarter or term in which the 24782
student was no longer eligible to receive all or part of the 24783
student's grant. There shall be an interest charge of one per cent 24784
per month on all moneys due and payable after such thirty-day 24785
period. The board shall immediately notify the office of budget 24786
and management and the legislative service commission of all24787
refunds so received.24788

       Sec. 3333.38.  (A) As used in this section:24789

       (1) "Institution of higher education" includes all of the 24790
following:24791

       (a) A state institution of higher education, as defined in 24792
section 3345.011 of the Revised Code;24793

       (b) A nonprofit institution issued a certificate of 24794
authorization by the Ohio board of regents under Chapter 1713. of 24795
the Revised Code;24796

       (c) A private institution exempt from regulation under 24797
Chapter 3332. of the Revised Code, as prescribed in section 24798
3333.046 of the Revised Code;24799

       (d) An institution of higher education with a certificate of 24800
registration from the state board of career colleges and schools 24801
under Chapter 3332. of the Revised Code.24802

       (2) "Student financial assistance supported by state funds" 24803
includes assistance granted under sections 3315.33, 3333.12, 24804
3333.122, 3333.21, 3333.26, 3333.27, 3333.28, 3333.29, 3333.372, 24805
5910.03, 5910.032, and 5919.34 of the Revised Code and any other 24806
post-secondary student financial assistance supported by state 24807
funds.24808

       (B) An individual who is convicted of, pleads guilty to, or 24809
is adjudicated a delinquent child for one of the following 24810
violations shall be ineligible to receive any student financial 24811
assistance supported by state funds at an institution of higher 24812
education for two calendar years from the time the individual 24813
applies for assistance of that nature:24814

       (1) A violation of section 2917.02 or 2917.03 of the Revised 24815
Code;24816

       (2) A violation of section 2917.04 of the Revised Code that 24817
is a misdemeanor of the fourth degree;24818

       (3) A violation of section 2917.13 of the Revised Code that 24819
is a misdemeanor of the fourth or first degree and occurs within 24820
the proximate area where four or more others are acting in a 24821
course of conduct in violation of section 2917.11 of the Revised 24822
Code.24823

       (C) If an individual is convicted of, pleads guilty to, or is 24824
adjudicated a delinquent child for committing a violation of 24825
section 2917.02 or 2917.03 of the Revised Code, and if the 24826
individual is enrolled in a state-supported institution of higher 24827
education, the institution in which the individual is enrolled 24828
shall immediately dismiss the individual. No state-supported 24829
institution of higher education shall admit an individual of that 24830
nature for one academic year after the individual applies for 24831
admission to a state-supported institution of higher education. 24832
This division does not limit or affect the ability of a 24833
state-supported institution of higher education to suspend or 24834
otherwise discipline its students.24835

       Sec. 3333.50. The Ohio board of regents, in consultation with 24836
the governor and the department of development, shall develop a 24837
critical needs rapid response system to respond quickly to 24838
critical workforce shortages in the state. Not later than ninety 24839
days after a critical workforce shortage is identified, the 24840
chancellor of the board shall submit to the governor a proposal 24841
for addressing the shortage through initiatives of the board or 24842
institutions of higher education.24843

       Sec. 3333.55.  (A) The health information and imaging 24844
technology workforce development pilot project is hereby 24845
established. Under the project, in fiscal years 2008 through 2010, 24846
the Ohio board of regents shall design and implement a three-year 24847
pilot program to test, in the vicinity of Clark, Greene, and 24848
Montgomery counties, how a P-16 public-private education and 24849
workforce development collaborative may address each of the 24850
following goals: 24851

       (1) Increase the number of students taking and mastering 24852
high-level science, technology, engineering, or mathematics 24853
courses and pursuing careers in those subjects, in all demographic 24854
regions of the state; 24855

       (2) Increase the number of students pursuing professional 24856
careers in health information and imaging technology upon 24857
receiving related technical education and professional experience, 24858
in all demographic regions of the state; 24859

       (3) Unify efforts among schools, career centers, 24860
post-secondary programs, and employers in a region for career and 24861
workforce development, preservation, and public education.24862

       (B) The project shall focus on enhancing P-16 education and 24863
workforce development in the field of health information and 24864
imaging technology through such activities as increased academic 24865
intervention in related areas of study, after-school and summer 24866
intervention programs, tutoring, career and job fairs and other 24867
promotional and recruitment activities, externships, professional 24868
development, field trips, academic competitions, development of 24869
related specialized study modules, development of honors programs, 24870
and development and enhancement of dual high school and college 24871
enrollment programs.24872

       (C) Project participants shall include Clark-Shawnee local 24873
school district, Springfield city school district, Greene county 24874
career center, Clark state community college, Central state 24875
university, Wright state university, Cedarville university, 24876
Wittenberg university, the university of Dayton, and private 24877
employers in the health information and imaging technology 24878
industry in the vicinity of Clark, Greene, and Montgomery 24879
counties, selected by the board of regents.24880

       For the third year of the project, the board of regents may 24881
add as participants the Dayton city school district and Xenia city 24882
school district. 24883

       (D) Wittenberg university shall be the lead coordinating 24884
agent and Clark state community college shall be the fiscal agent 24885
for the project.24886

       (E) The board of regents shall create an advisory council 24887
made up of representatives of the participating entities to 24888
coordinate, monitor, and evaluate the project. The advisory 24889
council shall submit an annual activity report to the board of 24890
regents by a date specified by the board of regents.24891

       Sec. 3345.02. As used in this section, "state institution of 24892
higher education" has the same meaning as in section 3345.011 of 24893
the Revised Code.24894

        Beginning in the 2008-2009 academic year, each state 24895
institution of higher education shall include in each statement of 24896
estimated or actual charges owed by a student enrolled in the 24897
institution an itemized list of the instructional fees, general 24898
fees, special purpose fees, service charges, fines, and any other 24899
fees or surcharges applicable to the student.24900

       Sec. 3353.20.  As used in sections 3353.20 to 3353.30 of the 24901
Revised Code:24902

       (A) "Clearinghouse" means the clearinghouse established under 24903
section 3353.21 of the Revised Code.24904

       (B) "Data verification code" means the code assigned to a 24905
student under division (D)(2) of section 3301.0714 of the Revised 24906
Code.24907

       (C) "One-half unit" of instruction has the same meaning as in 24908
section 3313.603 of the Revised Code.24909

       (D) A "student's community school" means the community school 24910
established under Chapter 3314. of the Revised Code in which the 24911
student is enrolled instead of being enrolled in a school operated 24912
by a school district.24913

       (E) A "student's school district" means the school district 24914
operating the school in which the student is lawfully enrolled.24915

       Sec. 3353.21.  (A) The eTech Ohio commission shall establish 24916
a clearinghouse of interactive distance learning courses and other 24917
distance learning courses delivered via a computer-based method 24918
offered by school districts for sharing with other school 24919
districts and community schools for the fee set pursuant to 24920
section 3353.24 of the Revised Code. The commission shall not be 24921
responsible for the content of courses offered through the 24922
clearinghouse; however, all such courses shall be delivered only 24923
in accordance with technical specifications approved by the 24924
commission.24925

       (B) To offer a course through the clearinghouse, a school 24926
district shall apply to the commission in a form and manner 24927
prescribed by the commission. The application for each course 24928
shall describe the course of study in as much detail as required 24929
by the commission, the qualification and credentials of the 24930
teacher, the number of hours of instruction, the technology 24931
required to deliver and receive the course, the technical capacity 24932
of the school district to deliver the course, the times that the 24933
school district plans to deliver the course, and any other 24934
information required by the commission. The commission may require 24935
school districts to include in their applications information 24936
recommended by the state board of education under section 3353.30 24937
of the Revised Code.24938

       (C) The commission shall review the technical specifications 24939
of each application submitted under division (B) of this section 24940
and shall approve a course offered if the commission determines 24941
that the school district can satisfactorily deliver the course 24942
through the technology necessary for that delivery. In reviewing 24943
applications, the commission may consult with the department of 24944
education; however, the responsibility to either approve or not 24945
approve a course for the clearinghouse belongs to the commission. 24946
The commission may request additional information from a school 24947
district that submits an application under division (B) of this 24948
section, if the commission determines that such information is 24949
necessary. The commission may negotiate changes in the proposal to 24950
offer a course, if the commission determines that changes are 24951
necessary in order to approve the course.24952

       (D) The commission shall catalog each course approved for the 24953
clearinghouse, through a print or electronic medium, displaying 24954
the following:24955

       (1) Information necessary for a student and the student's 24956
parent, guardian, or custodian and the student's school district 24957
or community school to decide whether to enroll in the course;24958

       (2) Instructions for enrolling in that course, including 24959
deadlines for enrollment.24960

       Sec. 3353.22.  (A) A student who is enrolled in a school 24961
operated by a school district or in a community school may enroll 24962
in a course included in the clearinghouse only if both of the 24963
following conditions are satisfied:24964

       (1) The student's enrollment in the course is approved by the 24965
student's school district or the student's community school.24966

       (2) The student's school district or the student's community 24967
school agrees to accept for credit the grade assigned by the 24968
district that is delivering the course.24969

       (B) For each student enrolling in a course, the student's 24970
school district or the student's community school shall transmit 24971
to the eTech Ohio commission only the student's data verification 24972
code and not the student's name. The commission shall transmit 24973
that student's code to the school district delivering the course.24974

       The district delivering the course may request from the 24975
student's school district or the student's community school the 24976
student's name and other information from the student's school 24977
record. The student's school district or the student's community 24978
school shall provide the requested information only in accordance 24979
with section 3319.321 of the Revised Code.24980

       (C) The student's school district or the student's community 24981
school shall determine the manner in which and facilities at which 24982
the student shall participate in the course consistent with 24983
specifications for technology and connectivity adopted by the 24984
commission.24985

       (D) A student may withdraw from a course prior to the end of 24986
the course only by a date and in a manner prescribed by the 24987
student's school district or community school.24988

       (E) A student who is enrolled in a school operated by a 24989
school district or in a community school and who takes a course 24990
included in the clearinghouse shall be counted in the formula ADM 24991
of a school district under section 3317.03 of the Revised Code as 24992
if the student were taking the course from the student's school 24993
district or the student's community school.24994

       Sec. 3353.23.  (A) The eTech Ohio commission shall keep a 24995
record of each student enrolled in each course included in the 24996
clearinghouse using the student's data verification code.24997

       (B) The commission shall report to the department of 24998
education the data verification code for each student enrolled in 24999
a course, the name of the school district delivering the course, 25000
the name of the student's school district or the name of the 25001
student's community school, the fee for the course, and the 25002
beginning and ending date of the course.25003

       Sec. 3353.24.  (A) Unless the eTech Ohio commission sets a 25004
different fee amount pursuant to division (B) of this section, the 25005
fee for each course that is the equivalent of one-half unit of 25006
instruction offered through the clearinghouse shall be one hundred 25007
seventy-five dollars per student. The commission shall set the fee 25008
for a course that is either less than or greater than one-half 25009
unit of instruction based on the proportional amount the course is 25010
either less than or greater than one-half unit of instruction.25011

       (B) The commission, by rule adopted in accordance with 25012
Chapter 119. of the Revised Code, may set a fee for courses 25013
offered through the clearinghouse at a rate other than the one 25014
specified in division (A) of this section.25015

       (C) The commission shall proportionally reduce the fee for 25016
any student who withdraws from a course prior to the end of the 25017
course pursuant to division (D) of section 3353.22 of the Revised 25018
Code.25019

       Sec. 3353.25.  For each student enrolled in a course included 25020
in the clearinghouse, in accordance with information reported 25021
under division (B) of section 3353.23 of the Revised Code and not 25022
later than the last day of that course, the department of 25023
education shall deduct the amount of the fee for that course from 25024
the student's school district or the student's community school, 25025
under division (P) of section 3317.023 or section 3314.086 or 25026
3317.161 of the Revised Code, and shall pay that amount to the 25027
school district delivering the course.25028

       Sec. 3353.26.  The grade for a student who enrolls in a 25029
course included in the clearinghouse shall be assigned by the 25030
school district that delivers the course and shall be transmitted 25031
by that district to the student's school district or the student's 25032
community school.25033

       Sec. 3353.27.  The eTech Ohio commission may determine the 25034
manner in which a course included in the clearinghouse may be 25035
offered as a dual enrollment program as defined in section 25036
3313.6013 of the Revised Code, may be offered to students who are 25037
enrolled in nonpublic schools or are instructed at home pursuant 25038
to section 3321.04 of the Revised Code, or may be offered at times 25039
outside the normal school day or school week, including any 25040
necessary additional fees and methods of payment for a course so 25041
offered.25042

       Sec. 3353.28.  The eTech Ohio commission shall adopt rules in 25043
accordance with Chapter 119. of the Revised Code prescribing 25044
procedures for the implementation of sections 3353.20 to 3353.27 25045
of the Revised Code.25046

       Sec. 3353.29.  Nothing in sections 3353.20 to 3353.28 of the 25047
Revised Code, or in rules implementing those sections, shall 25048
prohibit a school district from offering an interactive distance 25049
learning course or other distance learning course using a 25050
computer-based method through any means other than the 25051
clearinghouse established and maintained under those sections.25052

       Sec. 3353.30.  Not later than six months after the effective 25053
date of this section, the state board of education shall adopt a 25054
resolution recommending to the eTech Ohio commission the types of 25055
information about a distance learning course that the commission 25056
might require school districts to submit with their applications 25057
to include the course in the clearinghouse.25058

       Sec. 3357.01.  As used in sections 3357.01 to 3357.19,25059
inclusive, of the Revised Code:25060

       (A) "Technical college" means an institution of education25061
beyond the high school, including an institution of higher25062
education, organized for the principal purpose of providing for25063
the residents of the technical college district, wherein such25064
college is situated, any one or more of the instructional programs 25065
defined in this section as "technical-collegetechnical college," 25066
or "adult-education technical programs," normally not exceeding 25067
two years duration and not leading to a baccalaureate degree.25068

       (B) "Technical college district" means a political25069
subdivision of the state and a body corporate with all the powers25070
of a corporation, comprised of the territory of a city school25071
district or a county, or two or more contiguous school districts25072
or counties, which meets the standards prescribed by the Ohio25073
board of regents pursuant to section 3357.02 of the Revised Code,25074
and which is organized for the purpose of establishing, owning,25075
and operating one or more technical colleges within the territory25076
of such district.25077

       (C) "Contiguous school districts or counties" means school25078
districts or counties so located that each such school district or 25079
county shares at least one boundary or a portion thereof in common 25080
with at least one other such school district or county in the 25081
group of school districts or counties referred to as being25082
"contiguous."25083

       (D) "Technical college program" means a post high school25084
curricular program provided within a technical college, planned25085
and intended to qualify students, after satisfactory completion of 25086
such a program normally two years in duration, to pursue careers 25087
in which they provide immediate technical assistance to25088
professional or managerial persons generally required to hold25089
baccalaureate or higher academic degrees in technical or25090
professional fields. The technical and professional fields25091
referred to in this section include, but are not limited to,25092
engineering and physical, medical, or other sciences.25093

       (E) "Adult-education technical program" means the25094
dissemination of post high school technical education service and25095
knowledge, for the occupational, or general educational benefit of 25096
adult persons.25097

       (F) "Charter amendment" means a change in the official plan 25098
of a technical college for the purpose of acquiring additional 25099
lands or structures, disposing of or transferring lands or 25100
structures, erecting structures, creating or abolishing technical 25101
college or adult education technical curricular programs.25102

       (G) "Baccalaureate-oriented program" means a curricular 25103
program of not more than two years' duration that is planned and 25104
intended to enable students to gain academic credit for courses 25105
comparable to first- and second-year courses offered by accredited 25106
colleges and universities. The purpose of baccalaureate-oriented 25107
coursework in technical colleges is to enable students to transfer 25108
to colleges and universities and earn baccalaureate degrees or to 25109
enable students to terminate academic study after two years with a 25110
proportionate recognition of academic achievement through receipt 25111
of an associate degree.25112

       Sec. 3357.13. As used in this section, "state institution of 25113
higher education" has the same meaning as in section 3345.011 of 25114
the Revised Code.25115

        A technical college may offer baccalaureate-oriented programs 25116
regardless of its co-location with another state institution of 25117
higher education.25118

       Sec. 3365.01.  As used in this chapter:25119

       (A) "College" means any state-assisted college or university25120
described in section 3333.041 of the Revised Code, any nonprofit25121
institution holding a certificate of authorization pursuant to25122
Chapter 1713. of the Revised Code, any private institution exempt25123
from regulation under Chapter 3332. of the Revised Code as25124
prescribed in section 3333.046 of the Revised Code, and any25125
institution holding a certificate of registration from the state25126
board of career colleges and schools and program authorization for 25127
an associate or bachelor's degree program issued under section25128
3332.05 of the Revised Code.25129

       (B) "School district," except as specified in division (G) of 25130
this section, means any school district to which a student is25131
admitted under section 3313.64, 3313.65, 3313.98, or 3317.08 of25132
the Revised Code and does not include a joint vocational or25133
cooperative education school district.25134

       (C) "Parent" has the same meaning as in section 3313.64 of25135
the Revised Code.25136

       (D) "Participant" means a student enrolled in a college under 25137
the post-secondary enrollment options program established by this 25138
chapter.25139

       (E) "Secondary grade" means the ninth through twelfth grades.25140

       (F) "School foundation payments" means the amount required to 25141
be paid to a school district for a fiscal year under Chapter 3317. 25142
of the Revised Code.25143

       (G) "Tuition base" means, with respect to a participant's25144
school district, the greater of the following:25145

       (1) The fiscal year 2005 formula amount defined in section 25146
3317.02 of the Revised Code multiplied by the district's fiscal 25147
year 2005 cost-of-doing-business factor defined in that section;25148

       (2) The sum of (the current formula amount times the current 25149
cost-of-doing-business factor defined in section 3317.02 of the 25150
Revised Code) plus the per pupil amount of the base funding 25151
supplements specified in divisions (C)(1) to (4) of section 25152
3317.012 of the Revised Code.25153

       The participant's "school district" in the case of a 25154
participant enrolled in a community school shall be the school 25155
district in which the student is entitled to attend school under25156
section 3313.64 or 3313.65 of the Revised Code.25157

       (H) "Educational program" means enrollment in one or more25158
school districts, in a nonpublic school, or in a college under25159
division (B) of section 3365.04 of the Revised Code.25160

       (I) "Nonpublic school" means a chartered or nonchartered25161
school for which minimum standards are prescribed by the state25162
board of education pursuant to division (D) of section 3301.07 of25163
the Revised Code.25164

       (J) "School year" means the year beginning on the first day25165
of July and ending on the thirtieth day of June.25166

       (K) "Community school" means any school established pursuant25167
to Chapter 3314. of the Revised Code that includes secondary25168
grades.25169

       (L) "Community school payments" means payments made by the25170
department of education to a community school pursuant to division25171
(D) of section 3314.08 of the Revised Code.25172

       Sec. 3375.05.  The board of trustees of any public library25173
receiving money from a county's library and local government25174
supportlibraries fund that desires to render public library 25175
service by means of branches, library stations, or traveling 25176
library service to the inhabitants of any school district, other 25177
than a school district situated within the territorial boundaries 25178
of the subdivision or district over which said board has 25179
jurisdiction of free public library service, may make application 25180
to the state library board, upon forms provided by said board, for 25181
the establishment of such service. Said application shall set 25182
forth the total number of people being served by said library on 25183
the date of said application; an inventory of the books owned by 25184
said library; the number of branches, library stations, and 25185
traveling library service maintained by said library on the date 25186
of said application; the number and classification of the 25187
employees of said library and such other information as the state 25188
library board deems pertinent. Such application shall be 25189
accompanied by a financial statement of the library making the 25190
application covering the two fiscal years next preceding the date 25191
of said application. Upon receipt of said application by the state25192
library board, the state librarian, or an employee of the state25193
library board designated by such librarian, shall visit the25194
library making the application for the purpose of determining25195
whether or not the establishment of branches, library stations, or 25196
traveling library service as requested in said application will 25197
promote better library service in the district covered by said 25198
application. Upon the completion of such inspection, the25199
librarian, or the person designated by the librarian to make such25200
inspection, shall prepare a written report setting forth histhe25201
librarian's or designee's recommendations pertaining to the 25202
establishment of the branches, stations, or traveling library 25203
service as set forth in the application. Such report shall be 25204
submitted to the state library board within ninety days after the 25205
receipt of such application by the state library board. Within 25206
thirty days after such report has been filed with the state 25207
library board, said board shall either approve or disapprove, in 25208
whole or in part, the establishment of branches, library stations, 25209
or traveling library service as requested in said application. The 25210
decision of the state library board shall be final. Within ten 25211
days after final action has been taken by the state library board, 25212
upon such application, the librarian shall notify in writing the 25213
board of trustees of the public library making such application of 25214
the decision of the state library board.25215

       The state library board may withdraw its approval of library 25216
service rendered by any library to the inhabitants of a school 25217
district other than the school district in which the main library 25218
of such library is located. At least thirty days before the 25219
approval of such service may be withdrawn, the state library board 25220
shall give written notice to the board of trustees of the library 25221
rendering the service and the board of education of the school 25222
district to which such service is being rendered. Such notice 25223
shall set forth the reasons for the withdrawal of the approval of 25224
such service. If the board of trustees of the library rendering 25225
such service, or the board of education of a school district to 25226
which such service is being rendered, objects to the withdrawal of 25227
such approval it may, within twenty days of the receipt of such 25228
notice, request, in writing, the state library board to hold a 25229
hearing for the purpose of hearing protests to the withdrawal of 25230
such approval. Upon the receipt of such request, the state library 25231
board shall set the time and place of such hearing which shall be 25232
held within the territorial boundaries of the school district 25233
being served by the branch, station, or traveling library service 25234
whose continued operation is in question. Such hearing shall be 25235
held not less than thirty days after the receipt by the state 25236
library board of the request for such hearing. The state library 25237
board shall take no action on the withdrawal of approval of such 25238
service until after the holding of such hearing. The decision of 25239
the state library board shall be final.25240

       Sec. 3375.121.  (A) In any municipal corporation, not located 25241
in a county library district, which has a population of not less 25242
than twenty-five thousand, and within which there is not located a 25243
main library of a township, municipal, school district,25244
association, or county free public library, a library district may 25245
be created by a resolution adopted by the legislative authority of 25246
that municipal corporation. No such resolution shall be adopted 25247
after one year from June 20, 1977. Upon the adoption of such a 25248
resolution, any branches of an existing library that are located 25249
in that municipal corporation shall become the property of the 25250
municipal library district created.25251

       The municipal corporation and the board of trustees of the25252
public library maintaining any existing branches in that municipal 25253
corporation shall forthwith take appropriate action transferring 25254
all title and interest in all real and personal property located 25255
in that municipal corporation in the name of the library district 25256
maintaining those branches in that municipal corporation to the 25257
municipal corporation adopting the appropriate resolution. Upon 25258
transfer of all title and interest in that property, the branches 25259
shall become a part of, and be operated by, the board of library 25260
trustees appointed by the mayor.25261

       (B) In any municipal corporation that has a population of25262
less than twenty-five thousand and that has not less than one25263
hundred thousand dollars available from a bequest for the25264
establishment of a municipal library, the legislative authority of 25265
that municipal corporation may adopt, within one year after June 25266
20, 1977, a resolution creating a library district. Upon the 25267
establishment of any such library district, the board of trustees 25268
of any library operating a branch library in that municipal25269
corporation shall not be required to transfer any property to the25270
newly established library.25271

       (C) The board of library trustees of any library district 25272
created under this section shall be composed of six members. Those25273
trustees shall be appointed by the mayor, to serve without25274
compensation, for a term of four years. In the first instance,25275
three of those trustees shall be appointed for a term of two25276
years, and three of them shall be appointed for a term of four 25277
years. Vacancies shall be filled by like appointment for the 25278
unexpired term. A library district created under this section 25279
shall be governed in accordance with and exercise the authority 25280
provided for in sections 3375.32 to 3375.41 of the Revised Code.25281

       Notwithstanding any contrary provision of section 3.24 of the 25282
Revised Code, the president of a board of township trustees may 25283
administer the oath of office to a person or persons representing 25284
the township on the board of library trustees of any library 25285
district created under this section, even if the geographical 25286
limits of the library district do not fall within the geographical 25287
limits of the township.25288

       (D) Any library district created under this section is25289
eligible to participate in the proceeds of the county library and25290
local government supportlibraries fund in accordance with section 25291
5705.28 of the Revised Code.25292

       (E) A municipal corporation may establish and operate a free25293
public library regardless of whether the municipal corporation is 25294
located in a county library district or school library district, 25295
if all of the following conditions are met:25296

       (1) The facility in which the library is principally located 25297
is transferred to the municipal corporation from the county 25298
library district or school library district in which it is located 25299
prior to January 1, 1996.25300

       (2) The population of the municipal corporation is less than 25301
five hundred when the library is transferred from the county 25302
library district or school library district to the municipal 25303
corporation.25304

       (3) The municipal corporation does not establish a municipal 25305
library district under this section.25306

       (4) The library does not receive any proceeds from the county 25307
library and local government supportlibraries fund under section 25308
5747.48 of the Revised Code.25309

       Sec. 3375.40.  Each board of library trustees appointed25310
pursuant to section 3375.06, 3375.10, 3375.12, 3375.15, 3375.22, 25311
or 3375.30 of the Revised Code may do the following:25312

       (A) Hold title to and have the custody of all real and25313
personal property of the free public library under its25314
jurisdiction;25315

       (B) Expend for library purposes, and in the exercise of the 25316
power enumerated in this section, all moneys, whether derived from 25317
the county library and local government supportlibraries fund or25318
otherwise, credited to the free public library under its25319
jurisdiction and generally do all things it considers necessary25320
for the establishment, maintenance, and improvement of the free 25321
public library under its jurisdiction;25322

       (C) Purchase, lease, construct, remodel, renovate, or25323
otherwise improve, equip, and furnish buildings or parts of25324
buildings and other real property, and purchase, lease, or 25325
otherwise acquire motor vehicles and other personal property, 25326
necessary for the proper maintenance and operation of the free 25327
public library under its jurisdiction, and pay their costs in 25328
installments or otherwise. Financing of these costs may be 25329
provided through the issuance of notes, through an installment 25330
sale, or through a lease-purchase agreement. Any such notes shall 25331
be issued pursuant to section 3375.404 of the Revised Code.25332

       (D) Purchase, lease, lease with an option to purchase, or25333
erect buildings or parts of buildings to be used as main25334
libraries, branch libraries, or library stations pursuant to25335
section 3375.41 of the Revised Code;25336

       (E) Establish and maintain a main library, branches, library 25337
stations, and traveling library service within the territorial 25338
boundaries of the political subdivision or district over which it 25339
has jurisdiction of free public library service;25340

       (F) Except as otherwise provided in this division, establish 25341
and maintain branches, library stations, and traveling library 25342
service in any school district, outside the territorial boundaries 25343
of the political subdivision or district over which it has 25344
jurisdiction of free public library service, upon application to 25345
and approval of the state library board, pursuant to section 25346
3375.05 of the Revised Code. The board of library trustees of any 25347
free public library maintaining branches, stations, or traveling 25348
library service, outside the territorial boundaries of the 25349
political subdivision or district over which it has jurisdiction 25350
of free public library service, on September 4, 1947, may continue 25351
to maintain and operate those branches, those stations, and that25352
traveling library service without the approval of the state25353
library board.25354

       (G) Appoint and fix the compensation of all of the employees 25355
of the free public library under its jurisdiction, pay the 25356
reasonable cost of tuition for any of its employees who enroll in 25357
a course of study the board considers essential to the duties of 25358
the employee or to the improvement of the employee's performance, 25359
and reimburse applicants for employment for any reasonable 25360
expenses they incur by appearing for a personal interview;25361

       (H) Make and publish rules for the proper operation and25362
management of the free public library and facilities under its 25363
jurisdiction, including rules pertaining to the provision of 25364
library services to individuals, corporations, or institutions 25365
that are not inhabitants of the county;25366

       (I) Assess uniform fees for the provision of services to 25367
patrons of the library, but no fee shall be assessed for the 25368
circulation of printed materials held by the library except for 25369
the assessment of fines for materials not returned in accordance 25370
with the board's rules;25371

        (J) Establish and maintain a museum in connection with and as 25372
an adjunct to the free public library under its jurisdiction;25373

       (K) By the adoption of a resolution, accept any bequest,25374
gift, or endowment upon the conditions connected with the bequest, 25375
gift, or endowment. No such bequest, gift, or endowment shall be 25376
accepted by the board if its conditions remove any portion of the 25377
free public library under the board's jurisdiction from the 25378
control of the board or if the conditions, in any manner, limit 25379
the free use of the library or any part of it by the residents of 25380
the counties in which the library is located.25381

       (L) At the end of any fiscal year, by a two-thirds vote of25382
its full membership, set aside any unencumbered surplus remaining25383
in the general fund of the free public library under its 25384
jurisdiction for any purpose, including creating or increasing a 25385
special building and repair fund, or for operating the library or 25386
acquiring equipment and supplies;25387

       (M) Procure and pay all or part of the cost of group term 25388
life, hospitalization, surgical, major medical, disability 25389
benefit, dental care, eye care, hearing aids, or prescription drug25390
insurance or coverage, or a combination of any of those types of25391
insurance or coverage, whether issued by an insurance company or a 25392
health insuring corporation duly licensed by the state, covering 25393
its employees, and, in the case of group term life,25394
hospitalization, surgical, major medical, dental care, eye care, 25395
hearing aids, or prescription drug insurance or coverage, also 25396
covering the dependents and spouses of its employees, and, in the 25397
case of disability benefits, also covering the spouses of its 25398
employees.25399

       (N) Pay reasonable dues and expenses for the free public 25400
library and library trustees in library associations.25401

       Any instrument by which real property is acquired pursuant to 25402
this section shall identify the agency of the state that has the 25403
use and benefit of the real property as specified in section 25404
5301.012 of the Revised Code.25405

       Sec. 3375.85.  An interstate library district lying partly25406
within this state may claim and be entitled to receive state aid,25407
other than aid from the library and local government support25408
libraries fund, in support of any of its functions to the same 25409
extent and in the same manner as such functions are eligible for 25410
suportsupport when carried on by entities wholly within this 25411
state. For the purposes of computing and apportioning such state 25412
aid to an interstate library district, this state will consider 25413
that portion of the area which lies within this state as an25414
independent entity for the performance of the aided function or25415
functions and compute and apportion the aid accordingly. Any25416
library association that was organized and operated prior to25417
January 1, 1968, and which pursuant to the authority granted in25418
section 3375.83 of the Revised Code, has become part of an25419
interstate library district shall be considered a library25420
association under section 5705.28 of the Revised Code and entitled 25421
to participate in the county library and local government support25422
libraries fund and other public funds. Subject to any applicable 25423
laws of this state, such a district also may apply for and be 25424
entitled to receive any federal aid for which it may be eligible.25425

       Sec. 3381.04.  (A) In lieu of the procedure set forth in25426
section 3381.03 of the Revised Code, any county with a population 25427
of five hundred thousand or more, at any time before the creation 25428
of a regional arts and cultural district under that section, may 25429
create a regional arts and cultural district by adoption of a 25430
resolution by the board of county commissioners of that county. 25431
The resolution shall state all of the following:25432

       (1) The purposes for the creation of the district;25433

        (2) That the territory of the district shall be coextensive 25434
with the territory of the county;25435

       (3) The official name by which the district shall be known;25436

       (4) The location of the principal office of the district or 25437
the manner in which the location shall be selected.25438

       (B) The district provided for in the resolution shall be 25439
created upon the adoption of the resolution by the board of county 25440
commissioners of that county. Upon the adoption of the resolution, 25441
the county and the municipal corporations and townships contained 25442
in the county shall not thereafter be a part of any other regional 25443
arts and cultural district.25444

       (C) The board of trustees of any regional arts and cultural25445
district formed in accordance with this section shall be comprised 25446
of threefive members appointed by the board of county 25447
commissioners.25448

       Sec. 3501.17.  (A) The expenses of the board of elections 25449
shall be paid from the county treasury, in pursuance of 25450
appropriations by the board of county commissioners, in the same 25451
manner as other county expenses are paid. If the board of county 25452
commissioners fails to appropriate an amount sufficient to provide 25453
for the necessary and proper expenses of the board of elections 25454
pertaining to the conduct of elections, the board of elections 25455
may apply to the court of common pleas within the county, which 25456
shall fix the amount necessary to be appropriated and the amount 25457
shall be appropriated. Payments shall be made upon vouchers of the 25458
board of elections certified to by its chairperson or acting 25459
chairperson and the director or deputy director, upon warrants of 25460
the county auditor.25461

       The board of elections shall not incur any obligation 25462
involving the expenditure of money unless there are moneys 25463
sufficient in the funds appropriated therefor to meet the 25464
obligation. If the board of elections requests a transfer of funds 25465
from one of its appropriation items to another, the board of 25466
county commissioners shall adopt a resolution providing for the 25467
transfer except as otherwise provided in section 5705.40 of the 25468
Revised Code. The expenses of the board of elections shall be 25469
apportioned among the county and the various subdivisions as 25470
provided in this section, and the amount chargeable to each 25471
subdivision shall be withheld by the auditor from the moneys 25472
payable thereto at the time of the next tax settlement. At the 25473
time of submitting budget estimates in each year, the board of 25474
elections shall submit to the taxing authority of each 25475
subdivision, upon the request of the subdivision, an estimate of 25476
the amount to be withheld from the subdivision during the next 25477
fiscal year.25478

       (B) Except as otherwise provided in division (F) of this 25479
section, the entire compensation of the members of the board of 25480
elections and of the director, deputy director, and otherregular25481
employees in the board's offices, other than compensation for 25482
overtime worked; the expenditures for the rental, furnishing, and 25483
equipping of the office of the board and for the necessary office 25484
supplies for the use of the board; the expenditures for the 25485
acquisition, repair, care, and custody of the polling places, 25486
booths, guardrails, and other equipment for polling places; the 25487
cost of pollbooks, tally sheets, maps, flags, ballot boxes, and 25488
all other permanent records and equipment; the cost of all 25489
elections held in and for the state and county; and all other 25490
expenses of the board which are not chargeable to a political 25491
subdivision in accordance with this section shall be paid in the 25492
same manner as other county expenses are paid.25493

       (C) The compensation of judges andof elections, clerks of 25494
elections, and intermittent employees in the board's offices; the25495
cost of renting, moving, heating, and lighting polling places and25496
of placing and removing ballot boxes and other fixtures and25497
equipment thereof, including voting machines, marking devices, and 25498
automatic tabulating equipment; the cost of printing and 25499
delivering ballots, cards of instructions, registration lists 25500
required under section 3503.23 of the Revised Code, and other 25501
election supplies, including the supplies required to comply with 25502
division (H) of section 3506.01 of the Revised Code; the cost of 25503
contractors engaged by the board to prepare, program, test, and 25504
operate voting machines, marking devices, and automatic tabulating 25505
equipment; and all other expenses of conducting primaries and 25506
elections in the odd-numbered years shall be charged to the 25507
subdivisions in and for which such primaries or elections are 25508
held. The charge for each primary or general election in 25509
odd-numbered years for each subdivision shall be determined in the 25510
following manner: first, the total cost of all chargeable items 25511
used in conducting such elections shall be ascertained; second, 25512
the total charge shall be divided by the number of precincts 25513
participating in such election, in order to fix the cost per 25514
precinct; third, the cost per precinct shall be prorated by the 25515
board of elections to the subdivisions conducting elections for 25516
the nomination or election of offices in such precinct; fourth, 25517
the total cost for each subdivision shall be determined by adding 25518
the charges prorated to it in each precinct within the 25519
subdivision.25520

       (D) The entire cost of special elections held on a day other25521
than the day of a primary or general election, both in25522
odd-numbered or in even-numbered years, shall be charged to the25523
subdivision. Where a special election is held on the same day as a 25524
primary or general election in an even-numbered year, the25525
subdivision submitting the special election shall be charged only25526
for the cost of ballots and advertising. Where a special election 25527
is held on the same day as a primary or general election in an 25528
odd-numbered year, the subdivision submitting the special election 25529
shall be charged for the cost of ballots and advertising for such 25530
special election, in addition to the charges prorated to such 25531
subdivision for the election or nomination of candidates in each 25532
precinct within the subdivision, as set forth in the preceding 25533
paragraph.25534

       (E) Where a special election is held on the day specified by25535
division (E) of section 3501.01 of the Revised Code for the25536
holding of a primary election, for the purpose of submitting to25537
the voters of the state constitutional amendments proposed by the25538
general assembly, and a subdivision conducts a special election on 25539
the same day, the entire cost of the special election shall be25540
divided proportionally between the state and the subdivision based 25541
upon a ratio determined by the number of issues placed on the 25542
ballot by each, except as otherwise provided in division (G) of 25543
this section. Such proportional division of cost shall be made 25544
only to the extent funds are available for such purpose from25545
amounts appropriated by the general assembly to the secretary of25546
state. If a primary election is also being conducted in the25547
subdivision, the costs shall be apportioned as otherwise provided25548
in this section.25549

       (F) When a precinct is open during a general, primary, or 25550
special election solely for the purpose of submitting to the 25551
voters a statewide ballot issue, the state shall bear the entire 25552
cost of the election in that precinct and shall reimburse the 25553
county for all expenses incurred in opening the precinct.25554

       (G) The state shall bear the entire cost of advertising in25555
newspapers statewide ballot issues, explanations of those issues, 25556
and arguments for or against those issues, as required by Section25557
1g of Article II and Section 1 of Article XVI, Ohio Constitution, 25558
and any other section of law and shall reimburse the counties for 25559
all expenses they incur for such advertising.25560

       (H) The cost of renting, heating, and lighting registration25561
places; the cost of the necessary books, forms, and supplies for25562
the conduct of registration; and the cost of printing and posting25563
precinct registration lists shall be charged to the subdivision in 25564
which such registration is held.25565

       (I) As used in this section, "statewide:25566

       (1) "Political subdivision" and "subdivision" mean any board 25567
of county commissioners, board of township trustees, legislative 25568
authority of a municipal corporation, board of education, or any 25569
other board, commission, district, or authority that is empowered 25570
to levy taxes or permitted to receive the proceeds of a tax levy, 25571
regardless of whether the entity receives tax settlement moneys as 25572
described in division (A) of this section;25573

        (2) "Statewide ballot issue" means any ballot issue, whether 25574
proposed by the general assembly or by initiative or referendum, 25575
that is submitted to the voters throughout the state.25576

       Sec. 3701.135. (A) The autism diagnosis education pilot 25577
program is hereby established in the department of health. The 25578
program shall have the following goals:25579

        (1) To educate health care professionals, teachers and other 25580
educational personnel, child care providers, parents, early 25581
intervention and developmental disabilities providers, and other 25582
community-based services providers in this state regarding the 25583
diagnosis of autism spectrum disorders, including the range of 25584
symptoms that may indicate autism spectrum disorders and screening 25585
tools;25586

       (2) To promote appropriate standards for the diagnosis of 25587
autism spectrum disorders in children, including screening tools 25588
and treatment planning for children diagnosed with autism spectrum 25589
disorders;25590

        (3) To encourage physicians and other health care 25591
professionals with expertise in screening, diagnosing, and 25592
treating autism spectrum disorders to share that information with 25593
other health care professionals in this state;25594

        (4) To encourage the regional coordination of services to 25595
facilitate the effective, timely treatment of children diagnosed 25596
with autism spectrum disorders.25597

        (B) The director of health shall contract with a public or 25598
private entity to conduct or administer the autism diagnosis 25599
education pilot program.25600

       Sec. 3701.74.  (A) As used in this section and section25601
3701.741 of the Revised Code:25602

       (1) "Ambulatory care facility" means a facility that provides25603
medical, diagnostic, or surgical treatment to patients who do not25604
require hospitalization, including a dialysis center, ambulatory25605
surgical facility, cardiac catheterization facility, diagnostic25606
imaging center, extracorporeal shock wave lithotripsy center, home25607
health agency, inpatient hospice, birthing center, radiation25608
therapy center, emergency facility, and an urgent care center.25609
"Ambulatory care facility" does not include the private office of25610
a physician or dentist, whether the office is for an individual or25611
group practice.25612

       (2) "Chiropractor" means an individual licensed under Chapter25613
4734. of the Revised Code to practice chiropractic.25614

       (3) "Emergency facility" means a hospital emergency25615
department or any other facility that provides emergency medical25616
services.25617

       (4) "Health care practitioner" means all of the following:25618

       (a) A dentist or dental hygienist licensed under Chapter25619
4715. of the Revised Code;25620

       (b) A registered or licensed practical nurse licensed under25621
Chapter 4723. of the Revised Code;25622

       (c) An optometrist licensed under Chapter 4725. of the25623
Revised Code;25624

       (d) A dispensing optician, spectacle dispensing optician,25625
contact lens dispensing optician, or spectacle-contact lens25626
dispensing optician licensed under Chapter 4725. of the Revised25627
Code;25628

       (e) A pharmacist licensed under Chapter 4729. of the Revised25629
Code;25630

       (f) A physician;25631

       (g) A physician assistant authorized under Chapter 4730. of25632
the Revised Code to practice as a physician assistant;25633

       (h) A practitioner of a limited branch of medicine issued a25634
certificate under Chapter 4731. of the Revised Code;25635

       (i) A psychologist licensed under Chapter 4732. of the25636
Revised Code;25637

       (j) A chiropractor;25638

       (k) A hearing aid dealer or fitter licensed under Chapter25639
4747. of the Revised Code;25640

       (l) A speech-language pathologist or audiologist licensed25641
under Chapter 4753. of the Revised Code;25642

       (m) An occupational therapist or occupational therapy25643
assistant licensed under Chapter 4755. of the Revised Code;25644

       (n) A physical therapist or physical therapy assistant25645
licensed under Chapter 4755. of the Revised Code;25646

       (o) A professional clinical counselor, professional25647
counselor, social worker, or independent social worker licensed,25648
or a social work assistant registered, under Chapter 4757. of the25649
Revised Code;25650

       (p) A dietitian licensed under Chapter 4759. of the Revised25651
Code;25652

       (q) A respiratory care professional licensed under Chapter25653
4761. of the Revised Code;25654

       (r) An emergency medical technician-basic, emergency medical25655
technician-intermediate, or emergency medical technician-paramedic25656
certified under Chapter 4765. of the Revised Code.25657

       (5) "Health care provider" means a hospital, ambulatory care 25658
facility, long-term care facility, pharmacy, emergency facility, 25659
or health care practitioner.25660

       (6) "Hospital" has the same meaning as in section 3727.01 of25661
the Revised Code.25662

       (7) "Long-term care facility" means a nursing home,25663
residential care facility, or home for the aging, as those terms25664
are defined in section 3721.01 of the Revised Code; an adult care25665
facility, as defined in section 3722.01 of the Revised Code; a25666
nursing facility or intermediate care facility for the mentally25667
retarded, as those terms are defined in section 5111.20 of the25668
Revised Code; a facility or portion of a facility certified as a25669
skilled nursing facility under Title XVIII of the "Social Security25670
Act," 49 Stat. 286 (1965), 42 U.S.C.A. 1395, as amended.25671

       (8) "Medical record" means data in any form that pertains to 25672
a patient's medical history, diagnosis, prognosis, or medical25673
condition and that is generated and maintained by a health care25674
provider in the process of the patient's health care treatment.25675

       (9) "Medical records company" means a person who stores,25676
locates, or copies medical records for a health care provider, or25677
is compensated for doing so by a health care provider, and charges25678
a fee for providing medical records to a patient or patient's25679
representative.25680

       (10) "Patient" means either of the following:25681

       (a) An individual who received health care treatment from a25682
health care provider;25683

       (b) A guardian, as defined in section 1337.11 of the Revised25684
Code, of an individual described in division (A)(10)(a) of this25685
section.25686

       (11) "Patient's personal representative" means a minor 25687
patient's parent or other person acting in loco parentis, a 25688
court-appointed guardian, or a person with durable power of 25689
attorney for health care for a patient, the executor or 25690
administrator of the patient's estate, or the person responsible25691
for the patient's estate if it is not to be probated. "Patient's 25692
personal representative" does not include an insurer authorized 25693
under Title XXXIX of the Revised Code to do the business of25694
sickness and accident insurance in this state, a health insuring 25695
corporation holding a certificate of authority under Chapter 1751. 25696
of the Revised Code, or any other person not named in this 25697
division.25698

       (12) "Pharmacy" has the same meaning as in section 4729.01 of25699
the Revised Code.25700

       (13) "Physician" means a person authorized under Chapter25701
4731. of the Revised Code to practice medicine and surgery,25702
osteopathic medicine and surgery, or podiatric medicine and 25703
surgery.25704

       (14) "Authorized person" means a person to whom a patient has 25705
given written authorization to act on the patient's behalf 25706
regarding the patient's medical record.25707

       (B) A patient, a patient's personal representative or an 25708
authorized person who wishes to examine or obtain a copy of part 25709
or all of a medical record shall submit to the health care 25710
provider a written request signed by the patient, personal 25711
representative, or authorized person dated not more than sixty 25712
daysone year before the date on which it is submitted. The 25713
request shall indicate whether the copy is to be sent to the 25714
requestor, physician or chiropractor, , or held for the requestor 25715
at the office of the health care provider. Within a reasonable25716
time after receiving a request that meets the requirements of this25717
division and includes sufficient information to identify the25718
record requested, a health care provider that has the patient's25719
medical records shall permit the patient to examine the record 25720
during regular business hours without charge or, on request, shall 25721
provide a copy of the record in accordance with section 3701.741 25722
of the Revised Code, except that if a physician or chiropractor 25723
who has treated the patient determines for clearly stated 25724
treatment reasons that disclosure of the requested record is 25725
likely to have an adverse effect on the patient, the health care 25726
provider shall provide the record to a physician or chiropractor 25727
designated by the patient. The health care provider shall take25728
reasonable steps to establish the identity of the person making 25729
the request to examine or obtain a copy of the patient's record.25730

       (C) If a health care provider fails to furnish a medical25731
record as required by division (B) of this section, the patient, 25732
personal representative, or authorized person who requested the25733
record may bring a civil action to enforce the patient's right of25734
access to the record.25735

       (D)(1) This section does not apply to medical records whose25736
release is covered by section 173.20 or 3721.13 of the Revised25737
Code, by Chapter 1347. or 5122. of the Revised Code, by 42 C.F.R.25738
part 2, "Confidentiality of Alcohol and Drug Abuse Patient25739
Records," or by 42 C.F.R. 483.10.25740

       (2) Nothing in this section is intended to supersede the25741
confidentiality provisions of sections 2305.24, 2305.25, 2305.251, 25742
and 2305.252 of the Revised Code.25743

       Sec. 3701.741.  (A) Through December 31, 2008, each health25744
care provider and medical records company shall provide copies of25745
medical records in accordance with this section.25746

       (B) Except as provided in divisions (C) and (E) of this25747
section, a health care provider or medical records company that25748
receives a request for a copy of a patient's medical record shall25749
charge not more than the amounts set forth in this section. 25750

       (1) If the request is made by the patient or the patient's 25751
personal representative, total costs for copies and all services 25752
related to those copies shall not exceed the sum of the following:25753

       (a) With respect to data recorded on paper, the following 25754
amounts:25755

        (i) Two dollars and fifty cents per page for the first ten 25756
pages;25757

        (ii) Fifty-one cents per page for pages eleven through fifty;25758

       (iii) Twenty cents per page for pages fifty-one and higher;25759

        (b) With respect to data recorded other than on paper, one 25760
dollar and seventy cents per page;25761

        (c) The actual cost of any related postage incurred by the 25762
health care provider or medical records company.25763

        (2) If the request is made other than by the patient or the 25764
patient's personal representative, total costs for copies and all 25765
services related to those copies shall not exceed the sum of the 25766
following:25767

       (a) An initial fee of fifteen dollars and thirty-five cents, 25768
which shall compensate for the records search;25769

       (b) With respect to data recorded on paper, the following25770
amounts:25771

       (i) One dollar and two cents per page for the first ten 25772
pages;25773

       (ii) Fifty-one cents per page for pages eleven through fifty;25774

       (iii) Twenty cents per page for pages fifty-one and higher.25775

       (c) With respect to data recorded other than on paper, one 25776
dollar and seventy cents per page;25777

       (d) The actual cost of any related postage incurred by the25778
health care provider or medical records company.25779

       (C)(1) A health care provider or medical records company 25780
shall provide one copy without charge to the following:25781

       (a) The bureau of workers' compensation, in accordance with25782
Chapters 4121. and 4123. of the Revised Code and the rules adopted25783
under those chapters;25784

       (b) The industrial commission, in accordance with Chapters25785
4121. and 4123. of the Revised Code and the rules adopted under25786
those chapters;25787

       (c) The department of job and family services or a county 25788
department of job and family services, in accordance with Chapter25789
Chapters 5101. and 5111. of the Revised Code and the rules adopted 25790
under those chapters;25791

       (d) The attorney general, in accordance with sections 2743.51 25792
to 2743.72 of the Revised Code and any rules that may be adopted 25793
under those sections;25794

       (e) A patient or patient's personal representative if the 25795
medical record is necessary to support a claim under Title II or25796
Title XVI of the "Social Security Act," 49 Stat. 620 (1935), 42 25797
U.S.C.A. 401 and 1381, as amended, and the request is accompanied 25798
by documentation that a claim has been filed.25799

       (2) Nothing in division (C)(1) of this section requires a 25800
health care provider or medical records company to provide a copy 25801
without charge to any person or entity not listed in division 25802
(C)(1) of this section.25803

       (D) Division (C) of this section shall not be construed to25804
supersede any rule of the bureau of workers' compensation, the25805
industrial commission, or the department of job and family25806
services.25807

       (E) A health care provider or medical records company may25808
enter into a contract with either of the following for the copying 25809
of medical records at a fee other than as provided in division (B) 25810
of this section:25811

       (1) A patient, a patient's personal representative, or an 25812
authorized person;25813

       (2) An insurer authorized under Title XXXIX of the Revised 25814
Code to do the business of sickness and accident insurance in this 25815
state or health insuring corporations holding a certificate of 25816
authority under Chapter 1751. of the Revised Code.25817

       (F) This section does not apply to medical records the 25818
copying of which is covered by section 173.20 of the Revised Code 25819
or by 42 C.F.R. 483.10.25820

       Sec. 3701.83.  (A) There is hereby created in the state 25821
treasury the general operations fund. Moneys in the fund shall be 25822
used for the purposes specified in sections 3701.04, 3701.344, 25823
3702.20, 3710.15, 3711.021, 3717.45, 3718.06, 3721.02, 3722.04, 25824
3729.07, 3733.04, 3733.25, 3733.43, 3748.04, 3748.05, 3748.07, 25825
3748.12, 3748.13, 3749.04, 3749.07, 4747.04, 4751.04, and 4769.09 25826
of the Revised Code.25827

       (B) The alcohol testing program fund is hereby created in the 25828
state treasury. The director of health shall use the fund to25829
administer and enforce the alcohol testing and permit program25830
authorized by section 3701.143 of the Revised Code.25831

       The fund shall receive transfers from the liquor control fund 25832
created under section 4301.12 of the Revised Code. All investment 25833
earnings of the alcohol testing program fund shall be credited to 25834
the fund.25835

       Sec. 3702.52.  The director of health shall administer a 25836
state certificate of need program in accordance with sections25837
3702.51 to 3702.62 of the Revised Code and rules adopted under25838
those sections.25839

       (A) The director shall issue rulings on whether a particular 25840
proposed project is a reviewable activity. The director shall 25841
issue a ruling not later than forty-five days after receiving a 25842
request for a ruling accompanied by the information needed to make 25843
the ruling. If the director does not issue a ruling in that time, 25844
the project shall be considered to have been ruled not a 25845
reviewable activity.25846

       (B) The director shall review applications for certificates 25847
of need. Each application shall be submitted to the director on 25848
forms prescribed by the director, shall include all information 25849
required by rules adopted under division (B) of section 3702.57 of 25850
the Revised Code, and shall be accompanied by the application fee 25851
established in rules adopted under division (G) of that section. 25852
Application25853

       Application fees received by the director under this division 25854
shall be deposited into the state treasury to the credit of the 25855
certificate of need fund, which is hereby created. The director 25856
shall use the fund only to pay the costs of administering sections 25857
3702.11 to 3702.20, 3702.30, and 3702.51 to 3702.62 of the Revised 25858
Code and rules adopted under those sections.25859

       The director shall mail to the applicant a written notice 25860
that the application meets the criteria for a complete application 25861
specified in rules adopted under section 3702.57 of the Revised 25862
Code, or a written request for additional information, not later 25863
than fifteenthirty days after receiving an application or a 25864
response to an earlier request for information. The director 25865
shall not make more than two requests for additional information.25866

       The director may conduct a public informational hearing in 25867
the course of reviewing any application for a certificate of need, 25868
and shall conduct one if requested to do so by any affected person 25869
not later than fifteen days after the director mails the notice 25870
that the application is complete. The hearing shall be conducted 25871
in the community in which the activities authorized by the25872
certificate of need would be carried out. Any affected person may 25873
testify at the hearing. The director may, with the health service 25874
agency's consent, designate a health service agency to conduct the 25875
hearing.25876

       Except during a public hearing or as necessary to comply with 25877
a subpoena issued under division (F) of this section, after a25878
notice of completeness has been received, no person shall 25879
knowingly discuss in person or by telephone the merits of the 25880
application with the director. If one or more persons request a25881
meeting in person or by telephone, the director shall make a 25882
reasonable effort to invite interested parties to the meeting or 25883
conference call.25884

       (C) Divisions (C)(1) to (7) of this section apply to 25885
certificate of need applications for which the director had not 25886
issued a written decision prior to April 20, 1995, unless the 25887
director was required, under the version of this section in effect 25888
immediately prior to June 30, 1995, to grant a certificate of need 25889
prior to June 30, 1995, because of a lack of written objections 25890
from any affected person. Divisions (C)(1) to (7) of this section25891
do not invalidate any certificate of need that the director was25892
required to grant prior to June 30, 1995, under that circumstance.25893

       (1) TheAll of the following apply to the process of granting 25894
or denying a certificate of need:25895

        (1) If the project proposed in a certificate of need 25896
application meets all of the applicable certificate of need 25897
criteria for approval under sections 3702.51 to 3702.62 of the 25898
Revised Code and the rules adopted under those sections, the25899
director shall grant a certificate of need for the entire project 25900
that is the subject of the application immediately after both of 25901
the following conditions are met:25902

       (a) The board of trustees of the health service agency of the 25903
health service area in which the reviewable activity is proposed 25904
to be conducted recommends, prior to the deadline specified in 25905
division (C)(4) of this section or any extension of it under 25906
division (C)(5) of this section, that the certificate of need be 25907
granted;25908

       (b) The director receives nodoes not receive any written 25909
objections to the application from any affected person by the 25910
later of May 20, 1995, or thirty daysthirtieth day after the25911
director mails the notice of completeness.25912

       (2) In the case of certificate of need applications under 25913
comparative review, if the projects proposed in the applications 25914
meet all of the applicable certificate of need criteria for 25915
approval under sections 3702.51 to 3702.62 of the Revised Code and 25916
the rules adopted under those sections, the director shall grant 25917
certificates of need for the entire projects that are the subject 25918
of the applications immediately after both of the following 25919
conditions are met:25920

       (a) The board of trustees of the health service agency of 25921
each health service area in which the reviewable activities are 25922
proposed to be conducted recommends, prior to the deadline 25923
specified in division (C)(4) of this section or any extension of 25924
it under division (C)(5) of this section, that certificates of 25925
need be granted for each of the reviewable activities to be25926
conducted in its health service area;25927

       (b) The director receives nodoes not receive any written 25928
objections to any of the applications from any affected person by 25929
the later of May 20, 1995, or thirty daysthirtieth day after the 25930
director mails the last notice of completeness.25931

       The director's grant of a certificate of need under division 25932
(C)(1) or (2) of this section does not affect, and sets no 25933
precedent for, the director's decision to grant or deny other 25934
applications for similar reviewable activities proposed to be 25935
conducted in the same or different health service areas.25936

       (3) If the director receives written objections to an 25937
application from any affected person by the later of May 20, 1995, 25938
or thirty daysthirtieth day after mailing the notice of 25939
completeness, regardless of the health service agency's 25940
recommendation, the director shall notify the applicant and assign 25941
a hearing examiner to conduct an adjudication hearing concerning 25942
the application in accordance with Chapter 119. of the Revised 25943
Code. In the case of applications under comparative review, if the 25944
director receives written objections to any of the applications 25945
from any affected person by the later of May 20, 1995, or thirty 25946
daysthirtieth day after the director mails the last notice of25947
completeness, regardless of the health service agencies'25948
recommendation, the director shall notify all of the applicants 25949
and appoint a hearing examiner to conduct a consolidated 25950
adjudication hearing concerning the applications in accordance25951
with Chapter 119. of the Revised Code. The hearing examiner shall 25952
be employed by or under contract with the department of health.25953

       The adjudication hearings may be conducted in the health 25954
service area in which the reviewable activity is proposed to be25955
conducted. Consolidated adjudication hearings for applications in25956
comparative review may be conducted in the geographic region in 25957
which all of the reviewable activities will be conducted. The 25958
applicant, the director, and the affected persons that filed 25959
objections to the application shall be parties to the hearing. If 25960
none of the affected persons that submitted written objections to 25961
the application appears or prosecutes the hearing, the hearing25962
examiner shall dismiss the hearing and the director shall grant a 25963
certificate of need for the entire project that is the subject of 25964
the application if the proposed project meets all of the 25965
applicable certificate of need criteria for approval under 25966
sections 3702.51 to 3702.62 of the Revised Code and the rules 25967
adopted under those sections. The affected persons bear the burden 25968
of proving by a preponderance of evidence that the project is not25969
needed or that granting the certificate would not be in accordance 25970
with sections 3702.51 to 3702.62 of the Revised Code or the rules 25971
adopted under section 3702.57 of the Revised Codethose sections.25972

       (4) Except as provided in divisions (C)(1) and (2) of this 25973
section, the director shall grant or deny certificate of need25974
applications for which an adjudication hearing is not conducted25975
under division (C)(3) of this section not later than ninetysixty25976
days after mailing the notice of completeness or, in the case of 25977
an application proposing addition of long-term care beds, not 25978
later than ninetysixty days after such other time as is specified 25979
in rules adopted under section 3702.57 of the Revised Code. The 25980
director shall grant or deny certificate of need applications for 25981
which an adjudication hearing is conducted under division (C)(3) 25982
of this section not later than thirty days after the expiration of 25983
the time for filing objections to the report and recommendation of 25984
the hearing examiner under section 119.09 of the Revised Code. The 25985
director shall base decisions concerning applications for which an 25986
adjudication hearing is conducted under division (C)(3) of this 25987
section on the report and recommendations of the hearing examiner.25988

       (5) Except as otherwise provided in division (C)(1), (2), or 25989
(6) of this section, the director or the applicant may extend the 25990
deadline prescribed in division (C)(4) of this section once, for 25991
no longer than thirty days, by written notice before the end of 25992
the original thirty-day period. An extension by the director under 25993
division (C)(5) of this section shall apply to all applications 25994
that are in comparative review.25995

       (6) No applicant in a comparative review may extend the 25996
deadline specified in division (C)(4) of this section. 25997

       (7) Except as provided in divisions (C)(1) and (2) of this 25998
section, the director may grant a certificate of need for all or 25999
part of the project that is the subject of an application. If the 26000
director does not grant or deny the certificate by the applicable26001
deadline specified in division (C)(4) of this section or any 26002
extension of it under division (C)(5) of this section, the 26003
certificate shall be considered to have been granted. The 26004
director, in reviewing certificate of need applications for solid 26005
organ transplantation services, may ask for assistance from a 26006
statewide transplantation advisory group consisting of qualified 26007
professionals and administrators. Such consultation shall not 26008
cause the review period for any application to be extended beyond 26009
the applicable deadline specified in division (C)(4) of this 26010
section or any extension of it under division (C)(5) of this 26011
section.26012

       (D)(8) In granting a certificate of need, the director shall26013
specify as the maximum capital expenditure the certificate holder26014
may obligate under the certificate a figure equal to one hundred26015
ten per cent of the approved project cost.26016

       (E)(9) In granting a certificate of need, the director may 26017
grant the certificate with conditions that must be met by the 26018
holder of the certificate.26019

       (D) The director shall monitor the activities of persons 26020
granted certificates of need concerning long-term care beds during 26021
the period beginning with the granting of the certificate of need 26022
and ending five years after implementation of the activity for 26023
which the certificate was granted.26024

       In the case of any other certificate of need, the director 26025
shall monitor the activities of persons granted certificates of 26026
need during the period beginning with the granting of the 26027
certificate of need and ending when the activity for which the 26028
certificate was granted ceases to be a reviewable activity in 26029
accordance with section 3702.511 of the Revised Code.26030

       (F)(E) When reviewing applications for certificates of need 26031
or monitoring activities of persons granted certificates of need, 26032
the director may issue and enforce, in the manner provided in 26033
section 119.09 of the Revised Code, subpoenas duces tecum to26034
compel the production of documents relevant to review of the26035
application or monitoring of the activities. In addition, the 26036
director or the director's designee, which may include a health 26037
service agency, may visit the sites where the activities are or 26038
will be conducted.26039

       (G)(F) The director may withdraw certificates of need.26040

       (H)(G) The director shall conduct, on a regular basis, health26041
system data collection and analysis activities and prepare26042
reports. The director shall make recommendations based upon these 26043
activities to the public health council concerning the adoption of 26044
appropriate rules under section 3702.57 of the Revised Code. All 26045
health care facilities and other health care providers shall 26046
submit to the director, upon request, any information that is 26047
necessary to conduct reviews of certificate of need applications 26048
and to develop recommendations for criteria for reviews, and that 26049
is prescribed by rules adopted under division (H) of section 26050
3702.57 of the Revised Code.26051

       (I)(H) Any decision to grant or deny a certificate of need26052
shall consider the special needs and circumstances resulting from26053
moral and ethical values and the free exercise of religious rights 26054
of health care facilities administered by religious organizations, 26055
and the special needs and circumstances of children's hospitals, 26056
inner city hospitals, and small rural hospitals.26057

       Sec. 3702.5211.  Notwithstanding any conflicting provision of26058
sections 3702.51 to 3702.683702.62 of the Revised Code, the 26059
veterans' home operated under Chapter 5907. of the Revised Code 26060
that is located in Sandusky, including the Secrest nursing home 26061
and Giffin care facility, is not required to obtain a certificate 26062
of need for the addition of up to fifty-two additional nursing 26063
home beds to be licensed under Chapter 3721. of the Revised Code 26064
if the additional beds are placed in service prior to June 30, 26065
1999.26066

       Sec. 3702.5212.  (A) This section applies to each long-term 26067
care facility that meets the following requirements:26068

       (1) The facility has been in continuous operation for not 26069
less than one hundred twenty years prior to the effective date of 26070
this section;26071

       (2) The facility is located in an inner city area;26072

       (3) The facility is operating as a nonprofit entity organized 26073
under Chapter 1702. of the Revised Code or the nonprofit law of 26074
another state.26075

       (B) Notwithstanding any conflicting provision of sections 26076
3702.51 to 3702.683702.62 of the Revised Code, the owner or 26077
operator of a long-term care facility described in division (A) of26078
this section is not required to obtain a certificate of need for 26079
the addition of up to thirty long-term care beds to be licensed 26080
under Chapter 3721. of the Revised Code. The exemption shall apply26081
only as long as the beds are owned and operated by the facility to 26082
which the exemption is granted.26083

       Sec. 3702.5213. Notwithstanding any conflicting provision of26084
sections 3702.51 to 3702.683702.62 of the Revised Code, the 26085
veterans' home operated under Chapter 5907. of the Revised Code 26086
that is located in Brown county is not required to obtain a 26087
certificate of need for the addition of up to one hundred 26088
sixty-eight additional nursing home beds to be licensed under 26089
Chapter 3721. of the Revised Code if the additional beds are 26090
placed in service prior to December 31, 2004.26091

       Sec. 3702.57.  (A) The public health council shall adopt26092
rules establishing procedures and criteria for reviews of26093
applications for certificates of need and issuance, denial, or26094
withdrawal of certificates.26095

       (1) The rules shall require that, in addition to any other 26096
applicable review requirements of sections 3702.51 to 3702.62 of 26097
the Revised Code and rules adopted thereunder, any application for 26098
a certificate of need from an osteopathic hospital be reviewed on 26099
the basis of the need for and the availability in the community of 26100
services and hospitals for osteopathic physicians and their 26101
patients, and in terms of its impact on existing and proposed 26102
institutional training programs for doctors of osteopathy and 26103
doctors of medicine at the student, internship, and residency 26104
training levels.26105

       (2) In adopting rules that establish criteria for reviews of 26106
applications of certificates of need, the council shall consider 26107
the availability of and need for long-term care beds to provide 26108
care and treatment to persons diagnosed as having traumatic brain 26109
injuries and shall prescribe criteria for reviewing applications 26110
that propose to add long-term care beds to provide care and 26111
treatment to persons diagnosed as having traumatic brain injuries.26112

       (3) The criteria for reviews of applications for certificates 26113
of need shall relate to the need for the reviewable activity and 26114
shall pertain to all of the following matters:26115

       (a) The impact of the reviewable activity on the cost and26116
quality of health services in the relevant geographic area,26117
including, but not limited, to the historical and projected26118
utilization of the services to which the application pertains and26119
the effect of the reviewable activity on utilization of other26120
providers of similar services;26121

       (b) The quality of the services to be provided as the result 26122
of the activity, as evidenced by the historical performance of the 26123
persons that will be involved in providing the services and by the 26124
provisions that are proposed in the application to ensure quality, 26125
including but not limited to adequate available personnel, 26126
available ancillary and support services, available equipment, 26127
size and configuration of physical plant, and relations with other 26128
providers;26129

       (c) The impact of the reviewable activity on the availability 26130
and accessibility of the type of services proposed in the 26131
application to the population of the relevant geographic area, and 26132
the level of access to the services proposed in the application 26133
that will be provided to medically underserved individuals such as 26134
recipients of public assistance and individuals who have no health 26135
insurance or whose health insurance is insufficient;26136

       (d) The activity's short- and long-term financial feasibility 26137
and cost-effectiveness, the impact of the activity on the26138
applicant's costs and charges, and a comparison of the applicant's 26139
costs and charges with those of providers of similar services in 26140
the applicant's proposed service area;26141

       (e) The advantages, disadvantages, and costs of alternatives 26142
to the reviewable activity;26143

       (f) The impact of the activity on all other providers of 26144
similar services in the health service area or other relevant 26145
geographic area, including the impact on their utilization, market 26146
share, and financial status;26147

       (g) The historical performance of the applicant and related 26148
or affiliated parties in complying with previously granted 26149
certificates of need and any applicable certification,26150
accreditation, or licensure requirements;26151

       (h) The relationship of the activity to the current edition 26152
of the state health resources plan issued under section 3702.521 26153
of the Revised Code;26154

       (i) The historical performance of the applicant and related 26155
or affiliated parties in providing cost-effective health care 26156
services;26157

       (j) The special needs and circumstances of the applicant or 26158
population proposed to be served by the proposed project, 26159
including research activities, prevalence of particular diseases, 26160
unusual demographic characteristics, cost-effective contractual 26161
affiliations, and other special circumstances;26162

       (k) The appropriateness of the zoning status of the proposed 26163
site of the activity;26164

       (l) The participation by the applicant in research conducted 26165
by the United States food and drug administration or clinical 26166
trials sponsored by the national institutes of health.26167

       (4) The criteria for reviews of applications may include 26168
formulas for determining need for beds and services.26169

       (a) The criteria prescribing formulas shall not, either by26170
themselves or in conjunction with any established occupancy26171
guidelines, require, as a condition of being granted a certificate 26172
of need, that a hospital reduce its complement of registered beds 26173
or discontinue any service that is not related to the service or 26174
project for which the certificate of need is sought.26175

       (b) With respect to applications to conduct reviewable26176
activities that are affected directly by the inpatient occupancy26177
of a health care facility, including addition, relocation, or26178
recategorization of beds or renovation or other construction26179
activities relating to inpatient services, the rules shall26180
prescribe criteria for determining whether the scope of the26181
proposed project is appropriate in light of the historical and26182
reasonably projected occupancy rates for the beds related to the26183
project.26184

       (c) Any rules prescribing criteria that establish ratios of 26185
beds, services, or equipment to population shall specify the bases 26186
for establishing the ratios or mitigating factors or exceptions to26187
the ratios.26188

       (B) The council shall adopt rules specifying all of the26189
following:26190

       (1) Information that must be provided in applications for26191
certificates of need, which shall include a plan for obligating 26192
the capital expenditure or implementing the proposed project on a 26193
timely basis in accordance with section 3702.525 of the Revised 26194
Code;26195

       (2) Procedures for reviewing applications for completeness of 26196
information;26197

       (3) Criteria for determining that the application is 26198
complete.26199

       (C) The council shall adopt rules specifying requirements26200
that holders of certificates of need must meet in order for the26201
certificates to remain valid and establishing definitions and26202
requirements for obligation of capital expenditures and26203
implementation of projects authorized by certificates of need.26204

       (D) The council shall adopt rules establishing criteria and 26205
procedures under which the director of health may withdraw a26206
certificate of need if the holder fails to meet requirements for26207
continued validity of the certificate.26208

       (E) The council shall adopt rules establishing procedures26209
under which the department of health shall monitor project 26210
implementation activities of holders of certificates of need. The 26211
rules adopted under this division also may establish procedures 26212
for monitoring implementation activities of persons that have 26213
received nonreviewability rulings.26214

       (F) The council shall adopt rules establishing procedures26215
under which the director of health shall review certificates of26216
need whose holders exceed or appear likely to exceed an 26217
expenditure maximum specified in a certificate.26218

       (G) The council shall adopt rules establishing certificate of 26219
need application fees sufficient to pay the costs incurred by the 26220
department for administering sections 3702.51 to 3702.62 of the 26221
Revised Code and to pay health service agencies for the functions 26222
they perform under division (D)(5) of section 3702.58 of the 26223
Revised Code. Unless rules are adopted under this division 26224
establishing different application fees, the application fee for a 26225
project not involving a capital expenditure shall be three 26226
thousand dollars and the application fee for a project involving a 26227
capital expenditure shall be nine-tenths of one per cent of the 26228
capital expenditure proposed subject to a minimum of three 26229
thousand dollars and a maximum of twenty thousand dollars.26230

       (H) The council shall adopt rules specifying information that 26231
is necessary to conduct reviews of certificate of need26232
applications and to develop recommendations for criteria for26233
reviews that health care facilities and other health care26234
providers are to submit to the director under division (H)(G) of 26235
section 3702.52 of the Revised Code.26236

       (I) The council shall adopt rules defining "affiliated 26237
person,""related person," and "ultimate controlling interest" for 26238
purposes of section 3702.524 of the Revised Code.26239

       (J) The council shall adopt rules prescribing requirements 26240
for holders of certificates of need to demonstrate to the director 26241
under section 3702.526 of the Revised Code that reasonable 26242
progress is being made toward completion of the reviewable26243
activity and establishing standards by which the director shall 26244
determine whether reasonable progress is being made.26245

       (K) The council shall adopt rules defining high-risk cardiac26246
catheterization patients. High-risk patients shall include 26247
patients with significant ischemic syndromes or unstable 26248
myocardial infarction, patients who need intervention such as 26249
angioplasty or bypass surgery, patients who may require difficult 26250
or complex catheterization procedures such as transeptal 26251
assessment of valvular dysfunction, patients with critical aortic 26252
stenosis or congestive heart failure, and other patients specified 26253
by the council.26254

       (L) The public health council shall adopt all rules under26255
divisions (A) to (K) of this section in accordance with Chapter 26256
119. of the Revised Code. The council may adopt other rules as 26257
necessary to carry out the purposes of sections 3702.51 to 3702.62 26258
of the Revised Code.26259

       Sec. 3702.68.        Sec. 3702.59.  (A) Notwithstanding any conflicting 26260
provision of sections 3702.51 to 3702.62 of the Revised Code, 26261
other than the provisions of sections 3702.5210, 3702.5211, 26262
3702.5212, and 3702.5213 of the Revised Code, both of the 26263
following apply under the certificate of need program:26264

        (1) Divisions (B) to (E) of this section appliesapply to the 26265
review of certificate of need applications during the period 26266
beginning July 1, 1993, and ending June 30, 20072009.26267

       As used in this section, "existing health care facility" has 26268
the same meaning as in section 3702.51 of the Revised Code(2) 26269
Beginning July 1, 2009, the director of health shall not accept 26270
for review under section 3702.52 of the Revised Code any 26271
application for a certificate of need to recategorize hospital 26272
beds as described in section 3702.522 of the Revised Code.26273

       (B)(1) Except as provided in division (B)(2) of this section, 26274
the director of health shall neither grant nor deny any26275
application for a certificate of need submitted prior to July 1,26276
1993, if the application was for any of the following and the26277
director had not issued a written decision concerning the26278
application prior to that date:26279

       (a) Approval of beds in a new health care facility or an26280
increase of beds in an existing health care facility, if the beds26281
are proposed to be licensed as nursing home beds under Chapter26282
3721. of the Revised Code;26283

       (b) Approval of beds in a new county home or new county26284
nursing home as defined in section 5155.31 of the Revised Code, or26285
an increase of beds in an existing county home or existing county26286
nursing home, if the beds are proposed to be certified as skilled26287
nursing facility beds under Title XVIII or nursing facility beds26288
under Title XIX of the "Social Security Act," 49 Stat. 620 (1935),26289
42 U.S.C.A. 301, as amended;26290

       (c) Recategorization of hospital beds as described in section 26291
3702.522 of the Revised Code, an increase of hospital beds26292
registered pursuant to section 3701.07 of the Revised Code as26293
long-term care beds or skilled nursing facility beds, or a26294
recategorization of hospital beds that would result in an increase26295
of beds registered pursuant to that section as long-term care beds26296
or skilled nursing facility beds.26297

       On July 1, 1993, the director shall return each such26298
application to the applicant and, notwithstanding section 3702.5226299
of the Revised Code regarding the uses of the certificate of need26300
fund, shall refund to the applicant the application fee paid under26301
that section. Applications returned under division (B)(1) of this26302
section may be resubmitted in accordance with section 3702.52 of26303
the Revised Code no sooner than July 1, 20072009.26304

       (2) The director shall continue to review and shall issue a26305
decision regarding any application submitted prior to July 1,26306
1993, to increase beds for either of the purposes described in26307
division (B)(1)(a) or (b) of this section if the proposed increase26308
in beds is attributable solely to a replacement or relocation of26309
existing beds within the same county. The director shall authorize 26310
under such an application no additional beds beyond those being 26311
replaced or relocated.26312

       (C)(1) Except as provided in division (C)(2) of this section, 26313
the director, during the period beginning July 1, 1993, and ending26314
June 30, 20072009, shall not accept for review under section26315
3702.52 of the Revised Code any application for a certificate of26316
need for any of the purposes described in divisions (B)(1)(a) to26317
(c) of this section.26318

       (2)(a) The director shall accept for review any application26319
for either of the purposes described in division (B)(1)(a) or (b)26320
of this section if the proposed increase in beds is attributable26321
solely to a replacement or relocation of existing beds from an 26322
existing health care facility within the same county. The director 26323
shall authorize under such an application no additional beds 26324
beyond those being replaced or relocated.26325

        The director shall not approve an application for a 26326
certificate of need for addition of long-term care beds to an 26327
existing health care facility by relocation of beds or for the 26328
development of a new health care facility by relocation of beds 26329
unless all of the following conditions are met:26330

        (i) The existing health care facility to which the beds are 26331
being relocated has no waivers for life safety code waivers26332
deficiencies, no state fire code violations, and no state building 26333
code violations, or the project identified in the application 26334
proposes to correct all life safety code deficiencies for which a 26335
waiver has been granted, all state fire code violations, and all 26336
state building code violations at the existing health care 26337
facility to which the beds are being relocated;26338

        (ii) During the sixty-month period preceding the filing of 26339
the application, no notice of proposed revocation of the 26340
facility's license was issued under section 3721.03 of the Revised 26341
Code to the operator of the existing facility to which the beds 26342
are being relocated or to any health care facility owned or 26343
operated by the applicant or any principal participant in the same 26344
corporation or other business;26345

       (iii) Neither the existing health care facility to which the 26346
beds are being relocated nor any health care facility owned or 26347
operated by the applicant or any principal participant in the same 26348
corporation or other business has had a long-standing pattern of 26349
violations of this chapter or deficiencies that caused one or more 26350
residents physical, emotional, mental, or psychosocial harm.26351

        (b) The director also shall accept for review any application 26352
for the conversion of infirmary beds to long-term care beds if the 26353
infirmary meets all of the following conditions:26354

       (i) Is operated exclusively by a religious order;26355

       (ii) Provides care exclusively to members of religious orders 26356
who take vows of celibacy and live by virtue of their vows within 26357
the orders as if related;26358

       (iii) Was providing care exclusively to members of such a 26359
religious order on January 1, 1994.26360

       (D) The director shall issue a decision regarding any case26361
remanded by a court as the result of a decision issued by the26362
director prior to July 1, 1993, to grant, deny, or withdraw a26363
certificate of need for any of the purposes described in divisions26364
(B)(1)(a) to (c) of this section.26365

       (E) The director shall not project the need for beds listed26366
in division (B)(1) of this section for the period beginning July26367
1, 1993, and ending June 30, 20072009.26368

       This section is an interim section effective until July 1, 26369
2007.26370

       Sec. 3702.63.        Sec. 3702.591.  As specified in former Section 11 of 26371
Am. Sub. S.B. 50 of the 121st general assembly, as amended by Am. 26372
Sub. H.B. 405 of the 124th general assembly, all of the following 26373
apply:26374

       (A) The removal of former divisions (E) and (F) of section 26375
3702.52 of the Revised Code by Sections 1 and 2 of Am. Sub. S.B. 26376
50 of the 121st general assembly does not release the holders of26377
certificates of need issued under those divisions from complying 26378
with any conditions on which the granting of the certificates of 26379
need was based, including the requirement of former division 26380
(E)(6) of that section that the holders not enter into provider 26381
agreements under Chapter 5111. of the Revised Code and Title XIX 26382
of the "Social Security Act," 49 Stat. 620 (1935), 42 U.S.C. 301, 26383
as amended, for at least ten years following initial licensure of26384
the long-term care facilities for which the certificates were 26385
granted.26386

       (B) The repeal of section 3702.55 of the Revised Code by 26387
Section 2 of Am. Sub. S.B. 50 of the 121st general assembly does26388
not release the holders of certificates of need issued under that26389
section from complying with any conditions on which the granting26390
of the certificates of need was based, other than the requirement26391
of division (A)(6) of that section that the holders not seek26392
certification under Title XVIII of the "Social Security Act" for 26393
beds recategorized under the certificates. That repeal also does 26394
not eliminate the requirement that the director of health revoke 26395
the licensure of the beds under Chapter 3721. of the Revised Code 26396
if a person to which their ownership is transferred fails, as 26397
required by division (A)(6) of the repealed section, to file26398
within ten days after the transfer a sworn statement not to seek 26399
certification under Title XIX of the "Social Security Act" for 26400
beds recategorized under the certificates of need.26401

       (C) The repeal of section 3702.56 of the Revised Code by 26402
Section 2 of Am. Sub. S.B. 50 of the 121st general assembly does26403
not release the holders of certificates of need issued under that26404
section from complying with any conditions on which the granting26405
of the certificates of need was based.26406

       Sec. 3704.03.  The director of environmental protection may26407
do any of the following:26408

       (A) Develop programs for the prevention, control, and26409
abatement of air pollution;26410

       (B) Advise, consult, contract, and cooperate with any26411
governmental or private agency in the furtherance of the purposes26412
of this chapter;26413

       (C) Encourage, participate in, or conduct studies,26414
investigations, and research relating to air pollution, collect26415
and disseminate information, and conduct education and training26416
programs relating to the causes, prevention, control, and26417
abatement of air pollution;26418

       (D) Adopt, modify, and rescind rules prescribing ambient air 26419
quality standards for the state as a whole or for various areas of 26420
the state that are consistent with and no more stringent than the 26421
national ambient air quality standards in effect under the federal 26422
Clean Air Act;26423

       (E) Adopt, modify, suspend, and rescind rules for the26424
prevention, control, and abatement of air pollution, including26425
rules prescribing for the state as a whole or for various areas of 26426
the state emission standards for air contaminants, and other26427
necessary rules for the purpose of achieving and maintaining26428
compliance with ambient air quality standards in all areas within26429
the state as expeditiously as practicable, but not later than any26430
deadlines applicable under the federal Clean Air Act; rules for26431
the prevention or control of the emission of hazardous or toxic26432
air contaminants; rules prescribing fugitive dust limitations and26433
standards that are related, on an areawide basis, to attainment26434
and maintenance of ambient air quality standards; rules26435
prescribing shade, density, or opacity limitations and standards26436
for emissions, provided that with regard to air contaminant26437
sources for which there are particulate matter emission standards26438
in addition to a shade, density, or opacity rule, upon26439
demonstration by such a source of compliance with those other26440
standards, the shade, density, or opacity rule shall provide for26441
establishment of a shade, density, or opacity limitation for that26442
source that does not require the source to reduce emissions below26443
the level specified by those other standards; rules for the26444
prevention or control of odors and air pollution nuisances; rules26445
that prevent significant deterioration of air quality to the26446
extent required by the federal Clean Air Act; rules for the26447
protection of visibility as required by the federal Clean Air Act; 26448
and rules prescribing open burning limitations and standards. In 26449
adopting, modifying, suspending, or rescinding any such rules, the 26450
director, to the extent consistent with the federal Clean Air Act, 26451
shall hear and give consideration to evidence relating to all of 26452
the following:26453

       (1) Conditions calculated to result from compliance with the 26454
rules, the overall cost within this state of compliance with the 26455
rules, and their relation to benefits to the people of the state 26456
to be derived from that compliance;26457

       (2) The quantity and characteristics of air contaminants, the 26458
frequency and duration of their presence in the ambient air, and 26459
the dispersion and dilution of those contaminants;26460

       (3) Topography, prevailing wind directions and velocities,26461
physical conditions, and other factors that may or may combine to26462
affect air pollution.26463

       Consistent with division (K) of section 3704.036 of the26464
Revised Code, the director shall consider alternative emission26465
limits proposed by the owner or operator of an air contaminant26466
source that is subject to an emission limit established in rules26467
adopted under this division and shall accept those alternative26468
emission limits that the director determines to be equivalent to26469
emission limits established in rules adopted under this division.26470

       (F)(1) Adopt, modify, suspend, and rescind rules consistent26471
with the purposes of this chapter prohibiting the location,26472
installation, construction, or modification of any air contaminant 26473
source or any machine, equipment, device, apparatus, or physical 26474
facility intended primarily to prevent or control the emission of 26475
air contaminants unless an installation permit therefor has been 26476
obtained from the director or the director's authorized 26477
representative.26478

       (2) Applications for installation permits shall be26479
accompanied by plans, specifications, construction schedules, and26480
such other pertinent information and data, including data on26481
ambient air quality impact and a demonstration of best available26482
technology, as the director may require. Installation permits26483
shall be issued for a period specified by the director and are26484
transferable. The director shall specify in each permit the26485
applicable emission standards and that the permit is conditioned26486
upon payment of the applicable fees as required by section 3745.11 26487
of the Revised Code and upon the right of the director's 26488
authorized representatives to enter upon the premises of the26489
person to whom the permit has been issued, at any reasonable time 26490
and subject to safety requirements of the person in control of the 26491
premises, for the purpose of determining compliance with such 26492
standards, this chapter, the rules adopted thereunder, and the 26493
conditions of any permit, variance, or order issued thereunder. 26494
Each proposed new or modified air contaminant source shall provide 26495
such notice of its proposed installation or modification to other 26496
states as is required under the federal Clean Air Act. 26497
Installation permits shall include the authorization to operate 26498
sources installed and operated in accordance with terms and 26499
conditions of the installation permits for a period not to exceed 26500
one year from commencement of operation, which authorization shall 26501
constitute an operating permit under division (G) of this section 26502
and rules adopted under it.26503

       No installation permit shall be required for activities that 26504
are subject to and in compliance with a plant-wide applicability 26505
limit issued by the director in accordance with rules adopted 26506
under this section.26507

       No installation permit shall be issued except in accordance26508
with all requirements of this chapter and rules adopted26509
thereunder. No application shall be denied or permit revoked or26510
modified without a written order stating the findings upon which26511
denial, revocation, or modification is based. A copy of the order 26512
shall be sent to the applicant or permit holder by certified mail.26513

       (3) Not later than two years after the effective date of this 26514
amendmentAugust 3, 2006, the director shall adopt a rule in 26515
accordance with Chapter 119. of the Revised Code specifying that a 26516
permit to install is required only for new or modified air 26517
contaminant sources that emit any of the following air 26518
contaminants:26519

       (a) An air contaminant or precursor of an air contaminant for 26520
which a national ambient air quality standard has been adopted 26521
under the federal Clean Air Act;26522

       (b) An air contaminant for which the air contaminant source 26523
is regulated under the federal Clean Air Act;26524

       (c) An air contaminant that presents, or may present, through 26525
inhalation or other routes of exposure, a threat of adverse human 26526
health effects, including, but not limited to, substances that are 26527
known to be, or may reasonably be anticipated to be, carcinogenic, 26528
mutagenic, teratogenic, or neurotoxic, that cause reproductive 26529
dysfunction, or that are acutely or chronically toxic, or a threat 26530
of adverse environmental effects whether through ambient 26531
concentrations, bioaccumulation, deposition, or otherwise, and 26532
that is identified in the rule by chemical name and chemical 26533
abstract service number.26534

       The director may modify the rule adopted under division 26535
(F)(3)(c) of this section for the purpose of adding or deleting 26536
air contaminants. For each air contaminant that is contained in or 26537
deleted from the rule adopted under division (F)(3)(c) of this 26538
section, the director shall include in a notice accompanying any 26539
proposed or final rule an explanation of the director's 26540
determination that the air contaminant meets the criteria 26541
established in that division and should be added to, or no longer 26542
meets the criteria and should be deleted from, the list of air 26543
contaminants. The explanation shall include an identification of 26544
the scientific evidence on which the director relied in making the 26545
determination. Until adoption of the rule under division (F)(3)(c) 26546
of this section, nothing shall affect the director's authority to 26547
issue, deny, modify, or revoke permits to install under this 26548
chapter and rules adopted under it.26549

       (4)(a) Applications for permits to install new or modified 26550
air contaminant sources shall contain sufficient information 26551
regarding air contaminants for which the director may require a 26552
permit to install to determine conformity with the environmental 26553
protection agency's document entitled "Review of New Sources of 26554
Air Toxics Emissions, Option A," dated May 1986, which the 26555
director shall use to evaluate toxic emissions from new or 26556
modified air contaminant sources. The director shall make copies 26557
of the document available to the public upon request at no cost 26558
and post the document on the environmental protection agency's web 26559
site. Any inconsistency between the document and division (F)(4) 26560
of this section shall be resolved in favor of division (F)(4) of 26561
this section.26562

       (b) The maximum acceptable ground level concentration of an 26563
air contaminant shall be calculated in accordance with the 26564
document entitled "Review of New Sources of Air Toxics Emissions, 26565
Option A." Modeling shall be conducted to determine the increase 26566
in the ground level concentration of an air contaminant beyond the 26567
facility's boundary caused by the emissions from a new or modified 26568
source that is the subject of an application for a permit to 26569
install. Modeling shall be based on the maximum hourly rate of 26570
emissions from the source using information including, but not 26571
limited to, any emission control devices or methods, operational 26572
restrictions, stack parameters, and emission dispersion devices or 26573
methods that may affect ground level concentrations, either 26574
individually or in combination. The director shall determine 26575
whether the activities for which a permit to install is sought 26576
will cause an increase in the ground level concentration of one or 26577
more relevant air contaminants beyond the facility's boundary by 26578
an amount in excess of the maximum acceptable ground level 26579
concentration. In making the determination as to whether the 26580
maximum acceptable ground level concentration will be exceeded, 26581
the director shall give consideration to the modeling conducted 26582
under division (F)(4)(b) of this section and other relevant 26583
information submitted by the applicant.26584

       (c) If the modeling conducted under division (F)(4)(b) of 26585
this section with respect to an application for a permit to 26586
install demonstrates that the maximum ground level concentration 26587
from a new or modified source will be greater than or equal to 26588
eighty per cent, but less than one hundred per cent of the maximum 26589
acceptable ground level concentration for an air contaminant, the 26590
director may establish terms and conditions in the permit to 26591
install for the air contaminant source that will require the owner 26592
or operator of the air contaminant source to maintain emissions of 26593
that air contaminant commensurate with the modeled level, which 26594
shall be expressed as allowable emissions per day. In order to 26595
calculate the allowable emissions per day, the director shall 26596
multiply the hourly emission rate modeled under division (F)(4)(b) 26597
of this section to determine the ground level concentration by the 26598
operating schedule that has been identified in the permit to 26599
install application. Terms and conditions imposed under division 26600
(F)(4)(c) of this section are not federally enforceable 26601
requirements and, if included in a Title V permit, shall be placed 26602
in the portion of the permit that is only enforceable by the 26603
state.26604

       (d) If the modeling conducted under division (F)(4)(b) of 26605
this section with respect to an application for a permit to 26606
install demonstrates that the maximum ground level concentration 26607
from a new or modified source will be less than eighty per cent of 26608
the maximum acceptable ground level concentration, the owner or 26609
operator of the source annually shall report to the director, on a 26610
form prescribed by the director, whether operations of the source 26611
are consistent with the information regarding the operations that 26612
was used to conduct the modeling with regard to the permit to 26613
install application. The annual report to the director shall be in 26614
lieu of an emission limit or other permit terms and conditions 26615
imposed pursuant to division (F)(4) of this section. The director 26616
may consider any significant departure from the operations of the 26617
source described in the permit to install application that results 26618
in greater emissions than the emissions rate modeled to determine 26619
the ground level concentration as a modification and require the 26620
owner or operator to submit a permit to install application for 26621
the increased emissions. The requirements established in division 26622
(F)(4)(d) of this section are not federally enforceable 26623
requirements and, if included in a Title V permit, shall be placed 26624
in the portion of the permit that is only enforceable by the 26625
state.26626

       (e) Division (F)(4) of this section and the document entitled 26627
"Review of New Sources of Air Toxics Emissions, Option A" shall 26628
not be included in the state implementation plan under section 110 26629
of the federal Clean Air Act and do not apply to an air 26630
contaminant source that is subject to a maximum achievable control 26631
technology standard or residual risk standard under section 112 of 26632
the federal Clean Air Act, to a particular air contaminant 26633
identified under 40 C.F.R. 51.166, division (b)(23), for which the 26634
director has determined that the owner or operator of the source 26635
is required to install best available control technology for that 26636
particular air contaminant, or to a particular air contaminant for 26637
which the director has determined that the source is required to 26638
meet the lowest achievable emission rate, as defined in 40 C.F.R. 26639
part 51, Appendix S, for that particular air contaminant.26640

       (f)(i) Division (F)(4) of this section and the document 26641
entitled "Review of New Sources of Air Toxics Emissions, Option A" 26642
do not apply to parking lots, storage piles, storage tanks, 26643
transfer operations, grain silos, grain dryers, emergency 26644
generators, gasoline dispensing operations, air contaminant 26645
sources that emit air contaminants solely from the combustion of 26646
fossil fuels, or the emission of wood dust, sand, glass dust, coal 26647
dust, silica, and grain dust.26648

       (ii) Notwithstanding division (F)(4)(f)(i) of this section, 26649
the director may require an individual air contaminant source that 26650
is within one of the source categories identified in division 26651
(F)(4)(f)(i) of this section to submit information in an 26652
application for a permit to install a new or modified source in 26653
order to determine the source's conformity to the document if the 26654
director has information to conclude that the particular new or 26655
modified source will potentially cause an increase in ground level 26656
concentration beyond the facility's boundary that exceeds the 26657
maximum acceptable ground level concentration as set forth in the 26658
document.26659

       (iii) The director may adopt rules in accordance with Chapter 26660
119. of the Revised Code that are consistent with the purposes of 26661
this chapter and that add to or delete from the source category 26662
exemptions established in division (F)(4)(f)(i) of this section.26663

       (5) Not later than one year after the effective date of this 26664
amendmentAugust 3, 2006, the director shall adopt rules in 26665
accordance with Chapter 119. of the Revised Code specifying 26666
activities that do not, by themselves, constitute beginning actual 26667
construction activities related to the installation or 26668
modification of an air contaminant source for which a permit to 26669
install is required such as the grading and clearing of land, 26670
on-site storage of portable parts and equipment, and the 26671
construction of foundations or buildings that do not themselves 26672
emit air contaminants. The rules also shall allow specified 26673
initial activities that are part of the installation or 26674
modification of an air contaminant source, such as the 26675
installation of electrical and other utilities for the source, 26676
prior to issuance of a permit to install, provided that the owner 26677
or operator of the source has filed a complete application for a 26678
permit to install, the director or the director's designee has 26679
determined that the application is complete, and the owner or 26680
operator of the source has notified the director that this 26681
activity will be undertaken prior to the issuance of a permit to 26682
install. Any activity that is undertaken by the source under those 26683
rules shall be at the risk of the owner or operator. The rules 26684
shall not apply to activities that are precluded prior to permit 26685
issuance under section 111, section 112, Part C of Title I, and 26686
Part D of Title I of the federal Clean Air Act.26687

       (G) Adopt, modify, suspend, and rescind rules prohibiting the 26688
operation or other use of any new, modified, or existing air26689
contaminant source unless an operating permit has been obtained26690
from the director or the director's authorized representative, or 26691
the air contaminant source is being operated in compliance with 26692
the conditions of a variance issued pursuant to division (H) of 26693
this section. Applications for operating permits shall be 26694
accompanied by such plans, specifications, and other pertinent 26695
information as the director may require. Operating permits may be 26696
issued for a period determined by the director not to exceed five26697
ten years, are renewable, and are transferable. The director shall 26698
specify in each operating permit that the permit is conditioned 26699
upon payment of the applicable fees as required by section 3745.11 26700
of the Revised Code and upon the right of the director's 26701
authorized representatives to enter upon the premises of the 26702
person to whom the permit has been issued, at any reasonable time 26703
and subject to safety requirements of the person in control of the 26704
premises, for the purpose of determining compliance with this 26705
chapter, the rules adopted thereunder, and the conditions of any 26706
permit, variance, or order issued thereunder. Operating permits 26707
may be denied or revoked for failure to comply with this chapter 26708
or the rules adopted thereunder. An operating permit shall be 26709
issued only upon a showing satisfactory to the director or the26710
director's representative that the air contaminant source is being26711
operated in compliance with applicable emission standards and 26712
other rules or upon submission of a schedule of compliance 26713
satisfactory to the director for a source that is not in 26714
compliance with all applicable requirements at the time of permit 26715
issuance, provided that the compliance schedule shall be 26716
consistent with and at least as stringent as that contained in any 26717
judicial consent decree or administrative order to which the air 26718
contaminant source is subject. The rules shall provide for the 26719
issuance of conditional operating permits for such reasonable 26720
periods as the director may determine to allow the holder of an 26721
installation permit, who has constructed, installed, located, or 26722
modified a new air contaminant source in accordance with the 26723
provisions of an installation permit, to make adjustments or 26724
modifications necessary to enable the new air contaminant source 26725
to comply with applicable emission standards and other rules. 26726
Terms and conditions of operating permits issued pursuant to this 26727
division shall be federally enforceable for the purpose of 26728
establishing the potential to emit of a stationary source and 26729
shall be expressly designated as federally enforceable. Any such26730
federally enforceable restrictions on a source's potential to emit 26731
shall include both an annual limit and a short-term limit of not 26732
more than thirty days for each pollutant to be restricted together 26733
with adequate methods for establishing compliance with the 26734
restrictions. In other respects, operating permits issued pursuant 26735
to this division are enforceable as state law only. No application 26736
shall be denied or permit revoked or modified without a written 26737
order stating the findings upon which denial, revocation, or 26738
modification is based. A copy of the order shall be sent to the 26739
applicant or permit holder by certified mail.26740

       (H) Adopt, modify, and rescind rules governing the issuance, 26741
revocation, modification, or denial of variances that authorize 26742
emissions in excess of the applicable emission standards.26743

       No variance shall be issued except pursuant to those rules.26744
The rules shall prescribe conditions and criteria in furtherance26745
of the purposes of this chapter and consistent with the federal26746
Clean Air Act governing eligibility for issuance of variances,26747
which shall include all of the following:26748

       (1) Provisions requiring consistency of emissions authorized 26749
by a variance with timely attainment and maintenance of ambient 26750
air quality standards;26751

       (2) Provisions prescribing the classes and categories of air 26752
contaminants and air contaminant sources for which variances may 26753
be issued;26754

       (3) Provisions defining the circumstances under which an26755
applicant shall demonstrate that compliance with applicable26756
emission standards is technically infeasible, economically26757
unreasonable, or impossible because of conditions beyond the26758
control of the applicant;26759

       (4) Other provisions prescribed in furtherance of the goals 26760
of this chapter.26761

       The rules shall prohibit the issuance of variances from any26762
emission limitation that was applicable to a source pursuant to an 26763
installation permit and shall prohibit issuance of variances that 26764
conflict with the federal Clean Air Act.26765

       Applications for variances shall be accompanied by such26766
information as the director may require. In issuing variances, the 26767
director may order the person to whom a variance is issued to26768
furnish plans and specifications and such other information and26769
data, including interim reports, as the director may require and26770
to proceed to take such action within such time as the director26771
may determine to be appropriate and reasonable to prevent,26772
control, or abate the person's existing emissions of air26773
contaminants. The director shall specify in each variance that the 26774
variance is conditioned upon payment of the applicable fees as 26775
required by section 3745.11 of the Revised Code and upon the right 26776
of the director's authorized representatives to enter upon the 26777
premises of the person to whom the variance has been issued, at 26778
any reasonable time and subject to safety requirements of the 26779
person in control of the premises, for the purpose of determining 26780
compliance with this chapter, the rules adopted thereunder, and 26781
the conditions of any permit, variance, or order issued 26782
thereunder.26783

       The director may hold a public hearing on an application for 26784
a variance or renewal thereof at a location in the county where 26785
the variance is sought. The director shall give not less than 26786
twenty days' notice of the hearing to the applicant by certified 26787
mail and cause at least one publication of notice in a newspaper 26788
with general circulation in the county where the variance is 26789
sought. The director shall keep available for public inspection at 26790
the principal office of the environmental protection agency a 26791
current schedule of pending applications for variances and a 26792
current schedule of pending variance hearings. The director shall 26793
make a complete stenographic record of testimony and other 26794
evidence submitted at the hearing. The director shall make a 26795
written determination to issue, renew, or deny the variance and 26796
shall enter the determination and the basis therefor into the 26797
record of the hearing. The director shall issue, renew, or deny an 26798
application for a variance or renewal thereof, or issue a proposed 26799
action upon the application pursuant to section 3745.07 of the 26800
Revised Code, within six months of the date upon which the 26801
director receives a complete application with all pertinent 26802
information and data required by the director.26803

       Any variance granted pursuant to rules adopted under this26804
division shall be for a period specified by the director, not to26805
exceed three years, and may be renewed from time to time on such26806
terms and for such periods, not to exceed three years each, as the 26807
director determines to be appropriate. A variance may be revoked, 26808
or renewal denied, for failure to comply with conditions specified 26809
in the variance. No variance shall be issued, denied, revoked, or 26810
modified without a written order stating the findings upon which 26811
the issuance, denial, revocation, or modification is based. A copy 26812
of the order shall be sent to the applicant or variance holder by 26813
certified mail.26814

       (I) Require the owner or operator of an air contaminant26815
source to install, employ, maintain, and operate such emissions,26816
ambient air quality, meteorological, or other monitoring devices26817
or methods as the director shall prescribe; to sample those26818
emissions at such locations, at such intervals, and in such manner 26819
as the director prescribes; to maintain records and file periodic 26820
reports with the director containing information as to location, 26821
size, and height of emission outlets, rate, duration, and 26822
composition of emissions, and any other pertinent information the 26823
director prescribes; and to provide such written notice to other 26824
states as the director shall prescribe. In requiring monitoring 26825
devices, records, and reports, the director, to the extent 26826
consistent with the federal Clean Air Act, shall give26827
consideration to technical feasibility and economic reasonableness 26828
and allow reasonable time for compliance. For sources where a 26829
specific monitoring, record-keeping, or reporting requirement is 26830
specified for a particular air contaminant from a particular air 26831
contaminant source in an applicable regulation adopted by the 26832
United States environmental protection agency under the federal 26833
Clean Air Act or in an applicable rule adopted by the director, 26834
the director shall not impose an additional requirement in a 26835
permit that is a different monitoring, record-keeping, or 26836
reporting requirement other than the requirement specified in the 26837
applicable regulation or rule for that air contaminant except as 26838
otherwise agreed to by the owner or operator of the air 26839
contaminant source and the director. If two or more regulations or 26840
rules impose different monitoring, record-keeping, or reporting 26841
requirements for the same air contaminant from the same air 26842
contaminant source, the director may impose permit terms and 26843
conditions that consolidate or streamline the monitoring, 26844
record-keeping, or reporting requirements in a manner that 26845
conforms with each applicable requirement. To the extent 26846
consistent with the federal Clean Air Act and except as otherwise 26847
agreed to by the owner or operator of an air contaminant source 26848
and the director, the director shall not require an operating 26849
restriction that has the practical effect of increasing the 26850
stringency of an existing applicable emission limitation or 26851
standard.26852

       (J) Establish, operate, and maintain monitoring stations and 26853
other devices designed to measure air pollution and enter into 26854
contracts with any public or private agency for the establishment, 26855
operation, or maintenance of such stations and devices;26856

       (K) By rule adopt procedures for giving reasonable public26857
notice and conducting public hearings on any plans for the26858
prevention, control, and abatement of air pollution that the26859
director is required to submit to the federal government;26860

       (L) Through any employee, agent, or authorized representative 26861
of the director or the environmental protection agency, enter upon 26862
private or public property, including improvements thereon, at any 26863
reasonable time, to make inspections, take samples, conduct tests, 26864
and examine records or reports pertaining to any emission of air 26865
contaminants and any monitoring equipment or methods and to 26866
determine if there are any actual or potential emissions from such 26867
premises and, if so, to determine the sources, amounts, contents, 26868
and extent of those emissions, or to ascertain whether there is 26869
compliance with this chapter, any orders issued or rules adopted 26870
thereunder, or any other determination of the director. The 26871
director, at reasonable times, may have access to and copy any 26872
such records. If entry or inspection authorized by this division 26873
is refused, hindered, or thwarted, the director or the director's 26874
authorized representative may by affidavit apply for, and any 26875
judge of a court of record may issue, an appropriate inspection 26876
warrant necessary to achieve the purposes of this chapter within 26877
the court's territorial jurisdiction.26878

       (M) Accept and administer gifts or grants from the federal26879
government and from any other source, public or private, for26880
carrying out any of the functions under this chapter;26881

       (N) Obtain necessary scientific, technical, and laboratory26882
services;26883

       (O) Establish advisory boards in accordance with section26884
121.13 of the Revised Code;26885

       (P) Delegate to any city or general health district or26886
political subdivision of the state any of the director's 26887
enforcement and monitoring powers and duties, other than 26888
rule-making powers, as the director elects to delegate, and in 26889
addition employ, compensate, and prescribe the powers and duties 26890
of such officers, employees, and consultants as are necessary to 26891
enable the director to exercise the authority and perform duties26892
imposed upon the director by law. Technical and other services 26893
shall be performed, insofar as practical, by personnel of the26894
environmental protection agency.26895

       (Q) Certify to the government of the United States or any26896
agency thereof that an industrial air pollution facility is in26897
conformity with the state program or requirements for control of26898
air pollution whenever such certificate is required for a taxpayer 26899
pursuant to any federal law or requirements;26900

       (R) Issue, modify, or revoke orders requiring abatement of or 26901
prohibiting emissions that violate applicable emission standards 26902
or other requirements of this chapter and rules adopted26903
thereunder, or requiring emission control devices or measures in26904
order to comply with applicable emission standards or other26905
requirements of this chapter and rules adopted thereunder. Any26906
such order shall require compliance with applicable emission26907
standards by a specified date and shall not conflict with any26908
requirement of the federal Clean Air Act. In the making of such26909
orders, the director, to the extent consistent with the federal26910
Clean Air Act, shall give consideration to, and base the26911
determination on, evidence relating to the technical feasibility26912
and economic reasonableness of compliance with such orders and26913
their relation to benefits to the people of the state to be26914
derived from such compliance. If, under the federal Clean Air Act, 26915
any such order shall provide for the posting of a bond or surety 26916
to secure compliance with the order as a condition of issuance of 26917
the order, the order shall so provide, but only to the extent 26918
required by the federal Clean Air Act.26919

       (S) To the extent provided by the federal Clean Air Act,26920
adopt, modify, and rescind rules providing for the administrative26921
assessment and collection of monetary penalties, not in excess of26922
those required pursuant to the federal Clean Air Act, for failure26923
to comply with any emission limitation or standard, compliance26924
schedule, or other requirement of any rule, order, permit, or26925
variance issued or adopted under this chapter or required under26926
the applicable implementation plan whether or not the source is26927
subject to a federal or state consent decree. The director may26928
require the submission of compliance schedules, calculations of26929
penalties for noncompliance, and related information. Any orders, 26930
payments, sanctions, or other requirements imposed pursuant to 26931
rules adopted under this division shall be in addition to any 26932
other permits, orders, payments, sanctions, or other requirements 26933
established under this chapter and shall not affect any civil or 26934
criminal enforcement proceedings brought under any provision of 26935
this chapter or any other provision of state or local law. This 26936
division does not apply to any requirement of this chapter 26937
regarding the prevention or abatement of odors.26938

       (T) Require new or modified air contaminant sources to 26939
install best available technology, but only in accordance with 26940
this division. With respect to permits issued pursuant to division 26941
(F) of this section beginning three years after the effective date 26942
of this amendmentAugust 3, 2006, best available technology for 26943
air contaminant sources and air contaminants emitted by those 26944
sources that are subject to standards adopted under section 112, 26945
Part C of Title I, and Part D of Title I of the federal Clean Air 26946
Act shall be equivalent to and no more stringent than those 26947
standards. For an air contaminant or precursor of an air 26948
contaminant for which a national ambient air quality standard has 26949
been adopted under the federal Clean Air Act, best available 26950
technology only shall be required to the extent required by rules 26951
adopted under Chapter 119. of the Revised Code for permit to 26952
install applications filed three or more years after the effective 26953
date of this amendmentAugust 3, 2006.26954

       Best available technology requirements established in rules 26955
adopted under this division shall be expressed only in one of the 26956
following ways that is most appropriate for the applicable source 26957
or source categories:26958

       (1) Work practices;26959

       (2) Source design characteristics or design efficiency of 26960
applicable air contaminant control devices;26961

       (3) Raw material specifications or throughput limitations 26962
averaged over a twelve-month rolling period;26963

       (4) Monthly allowable emissions averaged over a twelve-month 26964
rolling period.26965

       Best available technology requirements shall not apply to an 26966
air contaminant source that has the potential to emit, taking into 26967
account air pollution controls installed on the source, less than 26968
ten tons per year of emissions of an air contaminant or precursor 26969
of an air contaminant for which a national ambient air quality 26970
standard has been adopted under the federal Clean Air Act. In 26971
addition, best available technology requirements established in 26972
rules adopted under this division shall not apply to any existing, 26973
new, or modified air contaminant source that is subject to a 26974
plant-wide applicability limit that has been approved by the 26975
director. Further, best available technology requirements 26976
established in rules adopted under this division shall not apply 26977
to general permits issued prior to January 1, 2006, under rules 26978
adopted under this chapter.26979

       For permits to install issued three or more years after the 26980
effective date of this amendmentAugust 3, 2006, any new or 26981
modified air contaminant source that has the potential to emit, 26982
taking into account air pollution controls installed on the 26983
source, ten or more tons per year of volatile organic compounds or 26984
nitrogen oxides shall meet, at a minimum, the requirements of any 26985
applicable reasonably available control technology rule in effect 26986
as of January 1, 2006, regardless of the location of the source.26987

       (U) Consistent with section 507 of the federal Clean Air Act, 26988
adopt, modify, suspend, and rescind rules for the establishment of 26989
a small business stationary source technical and environmental 26990
compliance assistance program as provided in section 3704.18 of 26991
the Revised Code;26992

       (V) Provide for emissions trading, marketable permits,26993
auctions of emission rights, and economic incentives that would26994
reduce the cost or increase the efficiency of achieving a26995
specified level of environmental protection;26996

       (W) Provide for the construction of an air contaminant source 26997
prior to obtaining a permit to install pursuant to division (F) of 26998
this section if the applicant demonstrates that the source will be 26999
installed to comply with all applicable emission limits and will 27000
not adversely affect public health or safety or the environment 27001
and if the director determines that such an action will avoid an 27002
unreasonable hardship on the owner or operator of the source. Any 27003
such determination shall be consistent with the federal Clean Air 27004
Act.27005

       (X) Exercise all incidental powers, including adoption of27006
rules, required to carry out this chapter.27007

       The environmental protection agency shall develop a plan to27008
control air pollution resulting from state-operated facilities and 27009
property.27010

       Sec. 3704.14. (A) The director of environmental protection 27011
shall continue to implement an enhanced motor vehicle inspection 27012
and maintenance program for a period of two years beginning on 27013
January 1, 20062008, and ending on December 31, 20072009, in 27014
counties in which a motor vehicle inspection and maintenance 27015
program is federally mandated. The program shall be substantially 27016
similar to the enhanced program implemented in those counties 27017
under a contract that is scheduled to expire on December 31, 200527018
2007. The program, at a minimum, shall do all of the following:27019

        (1) Comply with the federal Clean Air Act;27020

        (2) Provide for the extension of a contract for a period of 27021
two years, beginning on January 1, 20062008, and ending on 27022
December 31, 20072009, with the contractor who conducted the 27023
enhanced motor vehicle inspection and maintenance program in those 27024
federally mandated counties where the program was in operation on 27025
January 3, 2006, pursuant to a contract entered into under former 27026
section 3704.14 of the Revised Code as that section existed prior 27027
to its repeal and reenactment by Am. Sub. H.B. 66 of the 126th 27028
General Assemblywith the state;27029

        (3) Provide for the issuance of inspection certificates;27030

        (4) Provide for a new car exemption for motor vehicles four 27031
years old or newer and provide that a new motor vehicle is exempt 27032
for four years regardless of whether legal title to the motor 27033
vehicle is transferred during that period.27034

        (B) The director shall not implement a motor vehicle 27035
inspection and maintenance program in any county other than a 27036
county in which a motor vehicle inspection and maintenance program 27037
is federally mandated.27038

       (C) The director shall adopt rules in accordance with Chapter 27039
119. of the Revised Code that the director determines are 27040
necessary to implement this section. The director may continue to 27041
implement and enforce rules pertaining to the enhanced motor 27042
vehicle inspection and maintenance program previously implemented 27043
under former section 3704.14 of the Revised Code as that section 27044
existed prior to its repeal and reenactment by Am. Sub. H.B. 66 of 27045
the 126th general assembly, provided that the rules do not 27046
conflict with this section.27047

       (D)(C) There is hereby created in the state treasury the 27048
motor vehicle inspection and maintenance fund, which shall consist 27049
of money received by the director from any fees for inspections 27050
that are established in rules adopted under this section. The 27051
director shall use money in the fund solely for the 27052
implementation, supervision, administration, operation, and 27053
enforcement of the enhanced motor vehicle inspection and 27054
maintenance program established under this section.27055

       (E)(D) The enhanced motor vehicle inspection and maintenance 27056
program established under this section expires on December 31, 27057
20072009, and shall not be continued beyond that date unless 27058
otherwise federally mandated.27059

       (E) Notwithstanding divisions (A) to (D) of this section, the 27060
director shall not implement an enhanced motor vehicle inspection 27061
and maintenance program and no such program shall be operated in 27062
an area of the state where such a program was not in operation on 27063
January 3, 2006, pursuant to a contract entered into by this state 27064
unless both of following apply:27065

       (1) The program is required in the approved state 27066
implementation plan; and27067

       (2) After January 3, 2006, the United States environmental 27068
protection agency has expressly notified the director in writing 27069
that the failure to operate the program in a specific area will 27070
result in the imposition of sanctions under the federal Clean Air 27071
Act.27072

       Sec. 3705.24.  (A)(1) The public health council shall, in 27073
accordance with section 111.15 of the Revised Code, adopt rules 27074
prescribing fees for the following services provided by the state 27075
office of vital statistics:27076

       (a) Except as provided in division (A)(4) of this section:27077

       (i) A certified copy of a vital record or a certification of 27078
birth;27079

       (ii) A search by the office of vital statistics of its files 27080
and records pursuant to a request for information, regardless of 27081
whether a copy of a record is provided;27082

       (iii) A copy of a record provided pursuant to a request;27083

       (b) Replacement of a birth certificate following an adoption, 27084
legitimation, paternity determination or acknowledgement, or court 27085
order;27086

       (c) Filing of a delayed registration of a vital record;27087

       (d) Amendment of a vital record that is requested later than 27088
one year after the filing date of the vital record;27089

       (e) Any other documents or services for which the public 27090
health council considers the charging of a fee appropriate.27091

       (2) Fees prescribed under division (A)(1)(a) of this section 27092
shall not be less than seven dollars.27093

       (3) Fees prescribed under division (A)(1) of this section 27094
shall be collected in addition to any fees required by sections 27095
3109.14 and 3705.242 of the Revised Code.27096

       (4) Fees prescribed under division (A) of this section shall 27097
not apply to certifications issued under division (H) of this 27098
section or copies provided under section 3705.241 of the Revised 27099
Code.27100

       (B) In addition to the fees prescribed under division (A) of 27101
this section or section 3709.09 of the Revised Code, the office of 27102
vital statistics or the board of health of a city or general 27103
health district shall charge a five-dollar fee for each certified 27104
copy of a vital record and each certification of birth. This fee 27105
shall be deposited in the general operations fund created under 27106
section 3701.83 of the Revised Code and be used solely towardto 27107
support the operations, the modernization, and the automation of 27108
the system of vital records program in this state. A board of 27109
health shall forward all fees collected under this division to the 27110
department of health not later than thirty days after the end of 27111
each calendar quarter.27112

       (C) Except as otherwise provided in division (H) of this 27113
section, and except as provided in section 3705.241 of the Revised 27114
Code, fees collected by the director of health under sections 27115
3705.01 to 3705.29 of the Revised Code shall be paid into the 27116
state treasury to the credit of the general operations fund27117
created by section 3701.83 of the Revised Code. Except as 27118
provided in division (B) of this section, money generated by the 27119
fees shall be used only for administration and enforcement of this 27120
chapter and the rules adopted under it. Amounts submitted to the27121
department of health for copies of vital records or services in 27122
excess of the fees imposed by this section shall be dealt with as 27123
follows:27124

       (1) An overpayment of two dollars or less shall be retained 27125
by the department and deposited in the state treasury to the27126
credit of the general operations fund created by section 3701.83 27127
of the Revised Code.27128

       (2) An overpayment in excess of two dollars shall be returned 27129
to the person who made the overpayment.27130

       (D) If a local registrar is a salaried employee of a city or 27131
a general health district, any fees the local registrar receives 27132
pursuant to section 3705.23 of the Revised Code shall be paid into27133
the general fund of the city or the health fund of the general 27134
health district.27135

       Each local registrar of vital statistics, or each health27136
district where the local registrar is a salaried employee of the27137
district, shall be entitled to a fee for each birth, fetal death,27138
death, or military service certificate properly and completely27139
made out and registered with the local registrar or district and27140
correctly copied and forwarded to the office of vital statistics 27141
in accordance with the population of the primary registration 27142
district at the last federal census. The fee for each birth, fetal 27143
death, death, or military service certificate shall be:27144

       (1) In primary registration districts of over two hundred27145
fifty thousand, twenty cents;27146

       (2) In primary registration districts of over one hundred27147
twenty-five thousand and less than two hundred fifty thousand,27148
sixty cents;27149

       (3) In primary registration districts of over fifty thousand 27150
and less than one hundred twenty-five thousand, eighty cents;27151

       (4) In primary registration districts of less than fifty27152
thousand, one dollar.27153

       (E) The director of health shall annually certify to the27154
county treasurers of the several counties the number of birth, 27155
fetal death, death, and military service certificates registered27156
from their respective counties with the names of the local27157
registrars and the amounts due each registrar and health district27158
at the rates fixed in this section. Such amounts shall be paid by 27159
the treasurer of the county in which the registration districts 27160
are located. No fees shall be charged or collected by registrars 27161
except as provided by this chapter and section 3109.14 of the 27162
Revised Code.27163

       (F) A probate judge shall be paid a fee of fifteen cents for 27164
each certified abstract of marriage prepared and forwarded by the 27165
probate judge to the department of health pursuant to section 27166
3705.21 of the Revised Code. The fee shall be in addition to the 27167
fee paid for a marriage license and shall be paid by the 27168
applicants for the license.27169

       (G) The clerk of a court of common pleas shall be paid a fee 27170
of one dollar for each certificate of divorce, dissolution, and 27171
annulment of marriage prepared and forwarded by the clerk to the27172
department pursuant to section 3705.21 of the Revised Code. The27173
fee for the certified abstract of divorce, dissolution, or27174
annulment of marriage shall be added to the court costs allowed in 27175
these cases.27176

       (H) The fee for an heirloom certification of birth issued27177
pursuant to division (B)(2) of section 3705.23 of the Revised Code 27178
shall be an amount prescribed by rule by the director of health 27179
plus any fee required by section 3109.14 of the Revised Code. In 27180
setting the amount of the fee, the director shall establish a 27181
surcharge in addition to an amount necessary to offset the expense27182
of processing heirloom certifications of birth. The fee prescribed27183
by the director of health pursuant to this division shall be 27184
deposited into the state treasury to the credit of the heirloom 27185
certification of birth fund which is hereby created. Money 27186
credited to the fund shall be used by the office of vital 27187
statistics to offset the expense of processing heirloom27188
certifications of birth. However, the money collected for the 27189
surcharge, subject to the approval of the controlling board, shall 27190
be used for the purposes specified by the family and children 27191
first council pursuant to section 121.37 of the Revised Code.27192

       Sec. 3709.09.  (A) The board of health of a city or general 27193
health district may, by rule, establish a uniform system of fees 27194
to pay the costs of any services provided by the board.27195

       The fee for issuance of a certified copy of a vital record or 27196
a certification of birth shall not be less than the fee prescribed 27197
for the same service under division (A)(1) of section 3705.24 of 27198
the Revised Code and shall include the fees required by division 27199
(B) of section 3705.24 and section 3109.14 of the Revised Code.27200

       Fees for services provided by the board for purposes 27201
specified in sections 3701.344, 3711.05, 3718.06, 3729.07, 27202
3730.03, 3733.04, 3733.25, and 3749.04 of the Revised Code shall 27203
be established in accordance with rules adopted under division (B) 27204
of this section. The district advisory council, in the case of a 27205
general health district, and the legislative authority of the 27206
city, in the case of a city health district, may disapprove any 27207
fee established by the board of health under this division, and 27208
any such fee, as disapproved, shall not be charged by the board of 27209
health.27210

       (B) The public health council shall adopt rules under section 27211
111.15 of the Revised Code that establish fee categories and 27212
uniform methodologies for use in calculating the costs of services 27213
provided for purposes specified in sections 3701.344, 3711.05, 27214
3718.06, 3729.07, 3730.03, 3733.04, 3733.25, and 3749.04 of the 27215
Revised Code. In adopting the rules, the public health council 27216
shall consider recommendations it receives from advisory boards 27217
established either by statute or the director of health for 27218
entities subject to the fees.27219

       (C) At least thirty days prior to establishing a fee for a27220
service provided by the board for a purpose specified in section27221
3701.344, 3711.05, 3718.06, 3729.07, 3730.03, 3733.04, 3733.25, or 27222
3749.04 of the Revised Code, a board of health shall notify any 27223
entity that would be affected by the proposed fee of the amount of 27224
the proposed fee.27225

       Sec. 3709.091.  (A) As used in this section:27226

       (1) "Household sewage treatmentdisposal system" means any27227
sewage disposal or treatment system, or part of such a system, for 27228
a single-family, two-family, or three-family dwelling that 27229
receives sewage.27230

       (2) "Sewage" means any liquid waste containing animal or27231
vegetable matter in suspension or solution that originates from 27232
humans and human activities. "Sewage" includes liquids containing 27233
household chemicals in solution commonly discharged from a 27234
residence or from commercial, institutional, or other similar 27235
facilities.27236

       (3) "Small flow on-site sewage treatment system" means a 27237
system, other than a household sewage treatment system, that 27238
treats not more than one thousand gallons of sewage per day and 27239
that does not require a national pollutant discharge elimination 27240
system permit issued under section 6111.03 of the Revised Code or 27241
an injection well drilling or operating permit issued under 27242
section 6111.043 of the Revised Codewater closets, urinals, 27243
lavatories, bathtubs, laundry tubs or devices, floor drains, 27244
drinking fountains, or other sanitary fixtures and may include 27245
liquid containing chemicals in solution.27246

       (B) If any owner, leaseholder, or assignee of real property27247
fails to pay a fee as required by rule of a board of health of a27248
city or general health district pursuant to section 3709.09 of the27249
Revised Code for an operation permit for, or for inspection of, a27250
household sewage treatmentdisposal system or a small flow on-site 27251
sewage treatment system located on the real property, the health 27252
commissioner of the city or general health district or the 27253
commissioner's designated representative shall notify the owner, 27254
leaseholder, or assignee of the real property of the amount of the 27255
fee and any accrued penalties for late payment of the fee. The 27256
notice shall state, in boldface letters: "You have 30 days to 27257
object to the amount of the unpaid operation permit or inspection 27258
fee for your household sewage treatmentdisposal system or small 27259
flow on-site sewage treatment system, as applicable, as designated 27260
in this notice, which may include accrued penalties for late 27261
payment of the fee. If you do not pay this amount as instructed 27262
herein within 30 days of receipt of this notice or object to this 27263
amount during that time period in accordance with the procedures 27264
set forth herein, the amount will be placed as a lien on your real27265
property." The notice also shall explain how the owner, 27266
leaseholder, or assignee may pay the amount, or object to the 27267
amount in accordance with the procedures established by divisions 27268
(C) and (D) of this section.27269

       Notice to the owner, leaseholder, or assignee shall be made27270
by either of the following:27271

       (1) Certified mail, overnight delivery service, hand27272
delivery, or any other method that includes written evidence of27273
receipt;27274

       (2) The sheriff of the county in which the owner,27275
leaseholder, or assignee to be served resides, in one or more of27276
the methods provided in the Ohio Rules of Civil Procedure. The27277
sheriff may charge reasonable fees for that service.27278

       (C) Not later than thirty days after receipt under division27279
(B) of this section of notification of the amount of an unpaid27280
operation permit or inspection fee and any accrued late payment27281
penalties, the owner, leaseholder, or assignee may object to the27282
amount by delivering a written notice of objection to the health27283
commissioner by any of the means provided for in division (B)(1)27284
of this section. Not later than sixty days after receipt of the27285
notice of objection, the county prosecutor, on behalf of the city27286
or general health district, may file a civil action in the court27287
of common pleas against the owner, leaseholder, or assignee. If27288
the county prosecutor fails to commence suit within the sixty-day27289
period, or if the action is commenced, but dismissed with27290
prejudice before adjudication, the unpaid fee and any accrued late27291
payment penalties are void and cannot be placed on the general tax27292
list and duplicate as a lien against the real property.27293

       (D) If, in accordance with division (C) of this section, the27294
owner, leaseholder, or assignee objects to the amount of the27295
unpaid operation permit or inspection fee and any accrued late27296
payment penalties and the county prosecutor commences suit and27297
prevails in the action, the owner, leaseholder, or assignee27298
objecting shall pay the amount of the fee, any accrued late27299
payment penalties, and the costs of the action, as determined by27300
the court.27301

       (E) If the owner, leaseholder, or assignee on which the27302
notice required by division (B) of this section was served does27303
not pay to the city or general health district the amount of an27304
unpaid operation permit or inspection fee and any accrued late27305
payment penalties within thirty days after receipt of the notice,27306
or does not object to the amount in the manner provided in27307
division (C) of this section, the health commissioner of the city27308
or general health district or the commissioner's designated27309
representative may certify, on or before the first Monday of27310
September, the amount of the unpaid fee and any accrued late27311
payment penalties to the county auditor to be placed on the27312
general tax list and duplicate as provided in section 319.281 of27313
the Revised Code.27314

       Sec. 3721.51.  The department of job and family services27315
shall do all of the following:27316

       (A) Subject to division (C) of this section and for the 27317
purposes specified in sections 3721.56 and 3721.561 of the Revised 27318
Code, determine an annual franchise permit fee on each nursing 27319
home in an amount equal to six dollars and twenty-five cents for 27320
fiscal years 2006 and 2007 and one dollar for each fiscal year27321
thereafter, multiplied by the product of the following:27322

       (1) The number of beds licensed as nursing home beds, plus27323
any other beds certified as skilled nursing facility beds under27324
Title XVIII or nursing facility beds under Title XIX on the first27325
day of May of the calendar year in which the fee is determined27326
pursuant to division (A) of section 3721.53 of the Revised Code;27327

       (2) The number of days in the fiscal year beginning on the 27328
first day of July of the calendar year in which the fee is27329
determined pursuant to division (A) of section 3721.53 of the27330
Revised Code.27331

       (B) Subject to division (C) of this section and for the 27332
purposes specified in sections 3721.56 and 3721.561 of the Revised 27333
Code, determine an annual franchise permit fee on each hospital in 27334
an amount equal to six dollars and twenty-five cents for fiscal 27335
years 2006 and 2007 and one dollar for each fiscal year27336
thereafter, multiplied by the product of the following:27337

       (1) The number of beds registered pursuant to section 3701.07 27338
of the Revised Code as skilled nursing facility beds or long-term 27339
care beds, plus any other beds licensed as nursing home beds under 27340
section 3721.02 or 3721.09 of the Revised Code, on the first day 27341
of May of the calendar year in which the fee is determined 27342
pursuant to division (A) of section 3721.53 of the Revised Code;27343

       (2) The number of days in the fiscal year beginning on the 27344
first day of July of the calendar year in which the fee is27345
determined pursuant to division (A) of section 3721.53 of the27346
Revised Code.27347

       (C) If the United States centers for medicare and medicaid27348
services determines that the franchise permit fee established by27349
sections 3721.50 to 3721.58 of the Revised Code is an27350
impermissible health care related tax under section 1903(w) of the27351
"Social Security Act," 49 Stat. 620 (1935), 42 U.S.C. 1396b(w), as27352
amended, take all necessary actions to cease implementation of 27353
sections 3721.50 to 3721.58 of the Revised Code in accordance with 27354
rules adopted under section 3721.58 of the Revised Code.27355

       Sec. 3721.541.  (A) In addition to assessing a penalty 27356
pursuant to section 3721.54 of the Revised Code, the department of 27357
job and family services may do either or both of the following if 27358
a nursing facility or hospital fails to pay the full amount of a 27359
franchise permit fee installment when due:27360

        (1) WithholdOffset an amount less than or equal to the 27361
installment and penalty assessed under section 3721.54 of the 27362
Revised Code from a medicaid payment due the nursing facility or 27363
hospital until the nursing facility or hospital pays the 27364
installment and penalty;27365

        (2) Terminate the nursing facility or hospital's medicaid 27366
provider agreement.27367

        (B) The department may withholdoffset a medicaid payment 27368
under division (A)(1) of this section without providing notice to 27369
the nursing facility or hospital and without conducting an 27370
adjudication under Chapter 119. of the Revised Code.27371

       Sec. 3721.56.  There is hereby created in the state treasury 27372
the home- and community-based services for the aged fund. Sixteen 27373
per cent of all payments and penalties paid by nursing homes and 27374
hospitals under sections 3721.53 and 3721.54 of the Revised Code27375
for fiscal years 2006 and 2007, and all such payments and 27376
penalties paid for subsequent fiscal years, shall be deposited 27377
into the fund. The departments of job and family services and 27378
aging shall use the moneys in the fund to fund the following in27379
accordance with rules adopted under section 3721.58 of the Revised27380
Code:27381

       (A) The medicaid program established under Chapter 5111. of 27382
the Revised Code, including the PASSPORT program established under 27383
section 173.40 of the Revised Code;27384

       (B) The residential state supplement program established27385
under section 173.35 of the Revised Code.27386

       Sec. 3734.57.  (A) The following fees are hereby levied on 27387
the transfer or disposal of solid wastes in this state:27388

       (1) One dollar per ton on and after July 1, 2003, through 27389
June 30, 20082010, one-half of the proceeds of which shall be 27390
deposited in the state treasury to the credit of the hazardous 27391
waste facility management fund created in section 3734.18 of the 27392
Revised Code and one-half of the proceeds of which shall be 27393
deposited in the state treasury to the credit of the hazardous 27394
waste clean-up fund created in section 3734.28 of the Revised 27395
Code;27396

       (2) An additional one dollar per ton on and after July 1, 27397
2003, through June 30, 20082010, the proceeds of which shall be 27398
deposited in the state treasury to the credit of the solid waste 27399
fund, which is hereby created. The environmental protection agency 27400
shall use money in the solid waste fund to pay the costs of 27401
administering and enforcing the laws pertaining to solid wastes, 27402
infectious wastes, and construction and demolition debris, 27403
including, without limitation, ground water evaluations related to 27404
solid wastes, infectious wastes, and construction and demolition 27405
debris, under this chapter and Chapter 3714. of the Revised Code 27406
and any rules adopted under them, providing compliance assistance 27407
to small businesses, and paying a share of the administrative 27408
costs of the environmental protection agency pursuant to section 27409
3745.014 of the Revised Code.27410

        (3) An additional one dollar and fifty cents per ton on and 27411
after July 1, 2005, through June 30, 20082010, the proceeds of 27412
which shall be deposited in the state treasury to the credit of 27413
the environmental protection fund created in section 3745.015 of 27414
the Revised Code.27415

       In the case of solid wastes that are taken to a solid waste 27416
transfer facility located in this state prior to being transported 27417
for disposal at a solid waste disposal facility located in this 27418
state or outside of this state, the fees levied under this 27419
division shall be collected by the owner or operator of the 27420
transfer facility as a trustee for the state. The amount of fees 27421
required to be collected under this division at such a transfer 27422
facility shall equal the total tonnage of solid wastes received at 27423
the facility multiplied by the fees levied under this division. In 27424
the case of solid wastes that are not taken to a solid waste 27425
transfer facility located in this state prior to being transported 27426
to a solid waste disposal facility, the fees shall be collected by 27427
the owner or operator of the solid waste disposal facility as a 27428
trustee for the state. The amount of fees required to be collected 27429
under this division at such a disposal facility shall equal the 27430
total tonnage of solid wastes received at the facility that was 27431
not previously taken to a solid waste transfer facility located in 27432
this state multiplied by the fees levied under this division. Fees 27433
levied under this division do not apply to materials separated 27434
from a mixed waste stream for recycling by a generator or 27435
materials removed from the solid waste stream through recycling, 27436
as "recycling" is defined in rules adopted under section 3734.02 27437
of the Revised Code.27438

       The owner or operator of a solid waste transfer facility or 27439
disposal facility, as applicable, shall prepare and file with the 27440
director of environmental protection each month a return 27441
indicating the total tonnage of solid wastes received at the27442
facility during that month and the total amount of the fees 27443
required to be collected under this division during that month. In 27444
addition, the owner or operator of a solid waste disposal facility 27445
shall indicate on the return the total tonnage of solid wastes 27446
received from transfer facilities located in this state during 27447
that month for which the fees were required to be collected by the 27448
transfer facilities. The monthly returns shall be filed on a form 27449
prescribed by the director. Not later than thirty days after the 27450
last day of the month to which a return applies, the owner or 27451
operator shall mail to the director the return for that month 27452
together with the fees required to be collected under this 27453
division during that month as indicated on the return. If the 27454
return is filed and the amount of the fees due is paid in a timely 27455
manner as required in this division, the owner or operator may 27456
retain a discount of three-fourths of one per cent of the total 27457
amount of the fees that are required to be paid as indicated on 27458
the return.27459

        The owner or operator may request an extension of not more 27460
than thirty days for filing the return and remitting the fees,27461
provided that the owner or operator has submitted such a request 27462
in writing to the director together with a detailed description of 27463
why the extension is requested, the director has received the 27464
request not later than the day on which the return is required to 27465
be filed, and the director has approved the request. If the fees 27466
are not remitted within thirty days after the last day of the 27467
month to which the return applies or are not remitted by the last 27468
day of an extension approved by the director, the owner or 27469
operator shall not retain the three-fourths of one per cent 27470
discount and shall pay an additional ten per cent of the amount of 27471
the fees for each month that they are late. For purposes of 27472
calculating the late fee, the first month in which fees are late 27473
begins on the first day after the deadline has passed for timely 27474
submitting the return and fees, and one additional month shall be 27475
counted every thirty days thereafter.27476

       The owner or operator of a solid waste facility may request a 27477
refund or credit of fees levied under this division and remitted 27478
to the director that have not been paid to the owner or operator. 27479
Such a request shall be made only if the fees have not been 27480
collected by the owner or operator, have become a debt that has 27481
become worthless or uncollectable for a period of six months or 27482
more, and may be claimed as a deduction, including a deduction 27483
claimed if the owner or operator keeps accounts on an accrual 27484
basis, under the "Internal Revenue Code of 1954," 68A Stat. 50, 26 27485
U.S.C. 166, as amended, and regulations adopted under it. Prior to 27486
making a request for a refund or credit, an owner or operator 27487
shall make reasonable efforts to collect the applicable fees. A 27488
request for a refund or credit shall not include any costs 27489
resulting from those efforts to collect unpaid fees.27490

       A request for a refund or credit of fees shall be made in 27491
writing, on a form prescribed by the director, and shall be 27492
supported by evidence that may be required in rules adopted by the 27493
director under this chapter. After reviewing the request, and if 27494
the request and evidence submitted with the request indicate that 27495
a refund or credit is warranted, the director shall grant a refund 27496
to the owner or operator or shall permit a credit to be taken by 27497
the owner or operator on a subsequent monthly return submitted by 27498
the owner or operator. The amount of a refund or credit shall not 27499
exceed an amount that is equal to ninety days' worth of fees owed 27500
to an owner or operator by a particular debtor of the owner or 27501
operator. A refund or credit shall not be granted by the director 27502
to an owner or operator more than once in any twelve-month period 27503
for fees owed to the owner or operator by a particular debtor.27504

       If, after receiving a refund or credit from the director, an 27505
owner or operator receives payment of all or part of the fees, the 27506
owner or operator shall remit the fees with the next monthly 27507
return submitted to the director together with a written 27508
explanation of the reason for the submittal.27509

        For purposes of computing the fees levied under this division 27510
or division (B) of this section, any solid waste transfer or 27511
disposal facility that does not use scales as a means of 27512
determining gate receipts shall use a conversion factor of three 27513
cubic yards per ton of solid waste or one cubic yard per ton for 27514
baled waste, as applicable.27515

       The fees levied under this division and divisions (B) and (C)27516
of this section are in addition to all other applicable fees and27517
taxes and shall be paid by the customer or a political subdivision 27518
to the owner or operator of a solid waste transfer or disposal 27519
facility notwithstanding the existence of any provision in a 27520
contract that the customer or a political subdivision may have 27521
with the owner or operator or with a transporter of waste to the 27522
facility that would not require or allow such payment.27523

       (B) For the purposes specified in division (G) of this 27524
section, the solid waste management policy committee of a county27525
or joint solid waste management district may levy fees upon the 27526
following activities:27527

       (1) The disposal at a solid waste disposal facility located27528
in the district of solid wastes generated within the district;27529

       (2) The disposal at a solid waste disposal facility within27530
the district of solid wastes generated outside the boundaries of27531
the district, but inside this state;27532

       (3) The disposal at a solid waste disposal facility within27533
the district of solid wastes generated outside the boundaries of27534
this state.27535

        The solid waste management plan of the county or joint27536
district approved under section 3734.521 or 3734.55 of the Revised27537
Code and any amendments to it, or the resolution adopted under27538
this division, as appropriate, shall establish the rates of the27539
fees levied under divisions (B)(1), (2), and (3) of this section,27540
if any, and shall specify whether the fees are levied on the basis27541
of tons or cubic yards as the unit of measurement. A solid waste27542
management district that levies fees under this division on the 27543
basis of cubic yards shall do so in accordance with division (A) 27544
of this section.27545

        The fee levied under division (B)(1) of this section shall be 27546
not less than one dollar per ton nor more than two dollars per 27547
ton, the fee levied under division (B)(2) of this section shall be 27548
not less than two dollars per ton nor more than four dollars per 27549
ton, and the fee levied under division (B)(3) of this section 27550
shall be not more than the fee levied under division (B)(1) of 27551
this section.27552

       Prior to the approval of the solid waste management plan of a 27553
district under section 3734.55 of the Revised Code, the solid27554
waste management policy committee of a district may levy fees27555
under this division by adopting a resolution establishing the27556
proposed amount of the fees. Upon adopting the resolution, the27557
committee shall deliver a copy of the resolution to the board of27558
county commissioners of each county forming the district and to27559
the legislative authority of each municipal corporation and27560
township under the jurisdiction of the district and shall prepare27561
and publish the resolution and a notice of the time and location27562
where a public hearing on the fees will be held. Upon adopting the 27563
resolution, the committee shall deliver written notice of the27564
adoption of the resolution; of the amount of the proposed fees;27565
and of the date, time, and location of the public hearing to the27566
director and to the fifty industrial, commercial, or institutional27567
generators of solid wastes within the district that generate the27568
largest quantities of solid wastes, as determined by the27569
committee, and to their local trade associations. The committee27570
shall make good faith efforts to identify those generators within27571
the district and their local trade associations, but the27572
nonprovision of notice under this division to a particular27573
generator or local trade association does not invalidate the27574
proceedings under this division. The publication shall occur at27575
least thirty days before the hearing. After the hearing, the27576
committee may make such revisions to the proposed fees as it27577
considers appropriate and thereafter, by resolution, shall adopt27578
the revised fee schedule. Upon adopting the revised fee schedule,27579
the committee shall deliver a copy of the resolution doing so to27580
the board of county commissioners of each county forming the27581
district and to the legislative authority of each municipal27582
corporation and township under the jurisdiction of the district.27583
Within sixty days after the delivery of a copy of the resolution27584
adopting the proposed revised fees by the policy committee, each27585
such board and legislative authority, by ordinance or resolution,27586
shall approve or disapprove the revised fees and deliver a copy of27587
the ordinance or resolution to the committee. If any such board or 27588
legislative authority fails to adopt and deliver to the policy27589
committee an ordinance or resolution approving or disapproving the27590
revised fees within sixty days after the policy committee27591
delivered its resolution adopting the proposed revised fees, it27592
shall be conclusively presumed that the board or legislative27593
authority has approved the proposed revised fees. The committee 27594
shall determine if the resolution has been ratified in the same 27595
manner in which it determines if a draft solid waste management 27596
plan has been ratified under division (B) of section 3734.55 of 27597
the Revised Code.27598

       The committee may amend the schedule of fees levied pursuant27599
to a resolution adopted and ratified under this division by 27600
adopting a resolution establishing the proposed amount of the 27601
amended fees. The committee may repeal the fees levied pursuant to 27602
such a resolution by adopting a resolution proposing to repeal 27603
them. Upon adopting such a resolution, the committee shall proceed 27604
to obtain ratification of the resolution in accordance with this 27605
division.27606

       Not later than fourteen days after declaring the new fees to 27607
be ratified or the fees to be repealed under this division, the 27608
committee shall notify by certified mail the owner or operator of 27609
each solid waste disposal facility that is required to collect the27610
fees of the ratification and the amount of the fees or of the 27611
repeal of the fees. Collection of any fees shall commence or 27612
collection of repealed fees shall cease on the first day of the 27613
second month following the month in which notification is sent to 27614
the owner or operator.27615

       Fees levied under this division also may be established, 27616
amended, or repealed by a solid waste management policy committee 27617
through the adoption of a new district solid waste management 27618
plan, the adoption of an amended plan, or the amendment of the 27619
plan or amended plan in accordance with sections 3734.55 and 27620
3734.56 of the Revised Code or the adoption or amendment of a 27621
district plan in connection with a change in district composition 27622
under section 3734.521 of the Revised Code.27623

       Not later than fourteen days after the director issues an27624
order approving a district's solid waste management plan, amended 27625
plan, or amendment to a plan or amended plan that establishes, 27626
amends, or repeals a schedule of fees levied by the district, the 27627
committee shall notify by certified mail the owner or operator of 27628
each solid waste disposal facility that is required to collect the 27629
fees of the approval of the plan or amended plan, or the amendment 27630
to the plan, as appropriate, and the amount of the fees, if any. 27631
In the case of an initial or amended plan approved under section 27632
3734.521 of the Revised Code in connection with a change in 27633
district composition, other than one involving the withdrawal of a 27634
county from a joint district, the committee, within fourteen days27635
after the change takes effect pursuant to division (G) of that27636
section, shall notify by certified mail the owner or operator of27637
each solid waste disposal facility that is required to collect the27638
fees that the change has taken effect and of the amount of the27639
fees, if any. Collection of any fees shall commence or collection 27640
of repealed fees shall cease on the first day of the second month 27641
following the month in which notification is sent to the owner or 27642
operator.27643

       If, in the case of a change in district composition involving27644
the withdrawal of a county from a joint district, the director27645
completes the actions required under division (G)(1) or (3) of27646
section 3734.521 of the Revised Code, as appropriate, forty-five27647
days or more before the beginning of a calendar year, the policy27648
committee of each of the districts resulting from the change that27649
obtained the director's approval of an initial or amended plan in27650
connection with the change, within fourteen days after the27651
director's completion of the required actions, shall notify by27652
certified mail the owner or operator of each solid waste disposal27653
facility that is required to collect the district's fees that the27654
change is to take effect on the first day of January immediately27655
following the issuance of the notice and of the amount of the fees27656
or amended fees levied under divisions (B)(1) to (3) of this27657
section pursuant to the district's initial or amended plan as so27658
approved or, if appropriate, the repeal of the district's fees by 27659
that initial or amended plan. Collection of any fees set forth in27660
such a plan or amended plan shall commence on the first day of27661
January immediately following the issuance of the notice. If such 27662
an initial or amended plan repeals a schedule of fees, collection 27663
of the fees shall cease on that first day of January.27664

       If, in the case of a change in district composition involving27665
the withdrawal of a county from a joint district, the director27666
completes the actions required under division (G)(1) or (3) of27667
section 3734.521 of the Revised Code, as appropriate, less than27668
forty-five days before the beginning of a calendar year, the27669
director, on behalf of each of the districts resulting from the27670
change that obtained the director's approval of an initial or27671
amended plan in connection with the change proceedings, shall27672
notify by certified mail the owner or operator of each solid waste27673
disposal facility that is required to collect the district's fees27674
that the change is to take effect on the first day of January27675
immediately following the mailing of the notice and of the amount27676
of the fees or amended fees levied under divisions (B)(1) to (3)27677
of this section pursuant to the district's initial or amended plan27678
as so approved or, if appropriate, the repeal of the district's 27679
fees by that initial or amended plan. Collection of any fees set 27680
forth in such a plan or amended plan shall commence on the first 27681
day of the second month following the month in which notification 27682
is sent to the owner or operator. If such an initial or amended27683
plan repeals a schedule of fees, collection of the fees shall27684
cease on the first day of the second month following the month in27685
which notification is sent to the owner or operator.27686

        If the schedule of fees that a solid waste management 27687
district is levying under divisions (B)(1) to (3) of this section 27688
is amended or repealed, the fees in effect immediately prior to 27689
the amendment or repeal shall continue to be collected until 27690
collection of the amended fees commences or collection of the 27691
repealed fees ceases, as applicable, as specified in this 27692
division. In the case of a change in district composition, money 27693
so received from the collection of the fees of the former27694
districts shall be divided among the resulting districts in27695
accordance with division (B) of section 343.012 of the Revised27696
Code and the agreements entered into under division (B) of section27697
343.01 of the Revised Code to establish the former and resulting27698
districts and any amendments to those agreements.27699

       For the purposes of the provisions of division (B) of this27700
section establishing the times when newly established or amended27701
fees levied by a district are required to commence and the27702
collection of fees that have been amended or repealed is required27703
to cease, "fees" or "schedule of fees" includes, in addition to27704
fees levied under divisions (B)(1) to (3) of this section, those27705
levied under section 3734.573 or 3734.574 of the Revised Code.27706

       (C) For the purposes of defraying the added costs to a27707
municipal corporation or township of maintaining roads and other27708
public facilities and of providing emergency and other public27709
services, and compensating a municipal corporation or township for27710
reductions in real property tax revenues due to reductions in real27711
property valuations resulting from the location and operation of a27712
solid waste disposal facility within the municipal corporation or27713
township, a municipal corporation or township in which such a27714
solid waste disposal facility is located may levy a fee of not27715
more than twenty-five cents per ton on the disposal of solid27716
wastes at a solid waste disposal facility located within the27717
boundaries of the municipal corporation or township regardless of27718
where the wastes were generated.27719

       The legislative authority of a municipal corporation or27720
township may levy fees under this division by enacting an27721
ordinance or adopting a resolution establishing the amount of the27722
fees. Upon so doing the legislative authority shall mail a27723
certified copy of the ordinance or resolution to the board of27724
county commissioners or directors of the county or joint solid27725
waste management district in which the municipal corporation or27726
township is located or, if a regional solid waste management27727
authority has been formed under section 343.011 of the Revised27728
Code, to the board of trustees of that regional authority, the27729
owner or operator of each solid waste disposal facility in the27730
municipal corporation or township that is required to collect the27731
fee by the ordinance or resolution, and the director of27732
environmental protection. Although the fees levied under this27733
division are levied on the basis of tons as the unit of27734
measurement, the legislative authority, in its ordinance or27735
resolution levying the fees under this division, may direct that27736
the fees be levied on the basis of cubic yards as the unit of27737
measurement based upon a conversion factor of three cubic yards27738
per ton generally or one cubic yard per ton for baled wastes.27739

       Not later than five days after enacting an ordinance or27740
adopting a resolution under this division, the legislative27741
authority shall so notify by certified mail the owner or operator27742
of each solid waste disposal facility that is required to collect27743
the fee. Collection of any fee levied on or after March 24, 1992,27744
shall commence on the first day of the second month following the27745
month in which notification is sent to the owner or operator.27746

       (D)(1) The fees levied under divisions (A), (B), and (C) of27747
this section do not apply to the disposal of solid wastes that:27748

       (a) Are disposed of at a facility owned by the generator of27749
the wastes when the solid waste facility exclusively disposes of27750
solid wastes generated at one or more premises owned by the27751
generator regardless of whether the facility is located on a27752
premises where the wastes are generated;27753

       (b) Are disposed of at facilities that exclusively dispose of 27754
wastes that are generated from the combustion of coal, or from the 27755
combustion of primarily coal in combination with scrap tires, that 27756
is not combined in any way with garbage at one or more premises 27757
owned by the generator.27758

       (2) Except as provided in section 3734.571 of the Revised27759
Code, any fees levied under division (B)(1) of this section apply27760
to solid wastes originating outside the boundaries of a county or27761
joint district that are covered by an agreement for the joint use27762
of solid waste facilities entered into under section 343.02 of the27763
Revised Code by the board of county commissioners or board of27764
directors of the county or joint district where the wastes are27765
generated and disposed of.27766

       (3) When solid wastes, other than solid wastes that consist27767
of scrap tires, are burned in a disposal facility that is an27768
incinerator or energy recovery facility, the fees levied under27769
divisions (A), (B), and (C) of this section shall be levied upon27770
the disposal of the fly ash and bottom ash remaining after burning27771
of the solid wastes and shall be collected by the owner or27772
operator of the sanitary landfill where the ash is disposed of.27773

       (4) When solid wastes are delivered to a solid waste transfer 27774
facility, the fees levied under divisions (B) and (C) of this 27775
section shall be levied upon the disposal of solid wastes 27776
transported off the premises of the transfer facility for disposal 27777
and shall be collected by the owner or operator of the solid waste 27778
disposal facility where the wastes are disposed of.27779

       (5) The fees levied under divisions (A), (B), and (C) of this 27780
section do not apply to sewage sludge that is generated by a waste 27781
water treatment facility holding a national pollutant discharge 27782
elimination system permit and that is disposed of through 27783
incineration, land application, or composting or at another 27784
resource recovery or disposal facility that is not a landfill.27785

       (6) The fees levied under divisions (A), (B), and (C) of this 27786
section do not apply to solid wastes delivered to a solid waste 27787
composting facility for processing. When any unprocessed solid 27788
waste or compost product is transported off the premises of a 27789
composting facility and disposed of at a landfill, the fees levied 27790
under divisions (A), (B), and (C) of this section shall be27791
collected by the owner or operator of the landfill where the27792
unprocessed waste or compost product is disposed of.27793

       (7) When solid wastes that consist of scrap tires are27794
processed at a scrap tire recovery facility, the fees levied under27795
divisions (A), (B), and (C) of this section shall be levied upon27796
the disposal of the fly ash and bottom ash or other solid wastes27797
remaining after the processing of the scrap tires and shall be27798
collected by the owner or operator of the solid waste disposal27799
facility where the ash or other solid wastes are disposed of.27800

       (8) The director of environmental protection may issue an 27801
order exempting from the fees levied under this section solid 27802
wastes, including, but not limited to, scrap tires, that are 27803
generated, transferred, or disposed of as a result of a contract 27804
providing for the expenditure of public funds entered into by the 27805
administrator or regional administrator of the United States 27806
environmental protection agency, the director of environmental 27807
protection, or the director of administrative services on behalf 27808
of the director of environmental protection for the purpose of 27809
remediating conditions at a hazardous waste facility, solid waste 27810
facility, or other location at which the administrator or regional 27811
administrator or the director of environmental protection has 27812
reason to believe that there is a substantial threat to public 27813
health or safety or the environment or that the conditions are 27814
causing or contributing to air or water pollution or soil 27815
contamination. An order issued by the director of environmental 27816
protection under division (D)(8) of this section shall include a 27817
determination that the amount of the fees not received by a solid 27818
waste management district as a result of the order will not 27819
adversely impact the implementation and financing of the 27820
district's approved solid waste management plan and any approved 27821
amendments to the plan. Such an order is a final action of the 27822
director of environmental protection.27823

       (E) The fees levied under divisions (B) and (C) of this27824
section shall be collected by the owner or operator of the solid27825
waste disposal facility where the wastes are disposed of as a27826
trustee for the county or joint district and municipal corporation27827
or township where the wastes are disposed of. Moneys from the fees 27828
levied under division (B) of this section shall be forwarded to 27829
the board of county commissioners or board of directors of the27830
district in accordance with rules adopted under division (H) of27831
this section. Moneys from the fees levied under division (C) of27832
this section shall be forwarded to the treasurer or such other27833
officer of the municipal corporation as, by virtue of the charter,27834
has the duties of the treasurer or to the fiscal officer of the 27835
township, as appropriate, in accordance with those rules.27836

       (F) Moneys received by the treasurer or other officer of the 27837
municipal corporation under division (E) of this section shall be 27838
paid into the general fund of the municipal corporation. Moneys 27839
received by the fiscal officer of the township under that division27840
shall be paid into the general fund of the township. The treasurer 27841
or other officer of the municipal corporation or the township 27842
fiscal officer, as appropriate, shall maintain separate records of 27843
the moneys received from the fees levied under division (C) of 27844
this section.27845

       (G) Moneys received by the board of county commissioners or27846
board of directors under division (E) of this section or section27847
3734.571, 3734.572, 3734.573, or 3734.574 of the Revised Code27848
shall be paid to the county treasurer, or other official acting in27849
a similar capacity under a county charter, in a county district or27850
to the county treasurer or other official designated by the board27851
of directors in a joint district and kept in a separate and27852
distinct fund to the credit of the district. If a regional solid27853
waste management authority has been formed under section 343.01127854
of the Revised Code, moneys received by the board of trustees of27855
that regional authority under division (E) of this section shall27856
be kept by the board in a separate and distinct fund to the credit27857
of the district. Moneys in the special fund of the county or joint 27858
district arising from the fees levied under division (B) of this 27859
section and the fee levied under division (A) of section 3734.573 27860
of the Revised Code shall be expended by the board of county 27861
commissioners or directors of the district in accordance with the 27862
district's solid waste management plan or amended plan approved 27863
under section 3734.521, 3734.55, or 3734.56 of the Revised Code 27864
exclusively for the following purposes:27865

       (1) Preparation of the solid waste management plan of the27866
district under section 3734.54 of the Revised Code, monitoring27867
implementation of the plan, and conducting the periodic review and27868
amendment of the plan required by section 3734.56 of the Revised27869
Code by the solid waste management policy committee;27870

       (2) Implementation of the approved solid waste management27871
plan or amended plan of the district, including, without27872
limitation, the development and implementation of solid waste27873
recycling or reduction programs;27874

       (3) Providing financial assistance to boards of health within 27875
the district, if solid waste facilities are located within the 27876
district, for enforcement of this chapter and rules, orders, and 27877
terms and conditions of permits, licenses, and variances adopted 27878
or issued under it, other than the hazardous waste provisions of 27879
this chapter and rules adopted and orders and terms and conditions 27880
of permits issued under those provisions;27881

       (4) Providing financial assistance to each county within the27882
district to defray the added costs of maintaining roads and other27883
public facilities and of providing emergency and other public27884
services resulting from the location and operation of a solid27885
waste facility within the county under the district's approved27886
solid waste management plan or amended plan;27887

       (5) Pursuant to contracts entered into with boards of health27888
within the district, if solid waste facilities contained in the27889
district's approved plan or amended plan are located within the27890
district, for paying the costs incurred by those boards of health27891
for collecting and analyzing samples from public or private water27892
wells on lands adjacent to those facilities;27893

       (6) Developing and implementing a program for the inspection27894
of solid wastes generated outside the boundaries of this state27895
that are disposed of at solid waste facilities included in the27896
district's approved solid waste management plan or amended plan;27897

       (7) Providing financial assistance to boards of health within 27898
the district for the enforcement of section 3734.03 of the Revised 27899
Code or to local law enforcement agencies having jurisdiction 27900
within the district for enforcing anti-littering laws and 27901
ordinances;27902

       (8) Providing financial assistance to boards of health of27903
health districts within the district that are on the approved list27904
under section 3734.08 of the Revised Code to defray the costs to27905
the health districts for the participation of their employees27906
responsible for enforcement of the solid waste provisions of this27907
chapter and rules adopted and orders and terms and conditions of27908
permits, licenses, and variances issued under those provisions in27909
the training and certification program as required by rules27910
adopted under division (L) of section 3734.02 of the Revised Code;27911

       (9) Providing financial assistance to individual municipal27912
corporations and townships within the district to defray their27913
added costs of maintaining roads and other public facilities and27914
of providing emergency and other public services resulting from27915
the location and operation within their boundaries of a27916
composting, energy or resource recovery, incineration, or27917
recycling facility that either is owned by the district or is27918
furnishing solid waste management facility or recycling services27919
to the district pursuant to a contract or agreement with the board27920
of county commissioners or directors of the district;27921

       (10) Payment of any expenses that are agreed to, awarded, or27922
ordered to be paid under section 3734.35 of the Revised Code and27923
of any administrative costs incurred pursuant to that section. In27924
the case of a joint solid waste management district, if the board27925
of county commissioners of one of the counties in the district is27926
negotiating on behalf of affected communities, as defined in that27927
section, in that county, the board shall obtain the approval of27928
the board of directors of the district in order to expend moneys27929
for administrative costs incurred.27930

       Prior to the approval of the district's solid waste27931
management plan under section 3734.55 of the Revised Code, moneys27932
in the special fund of the district arising from the fees shall be27933
expended for those purposes in the manner prescribed by the solid27934
waste management policy committee by resolution.27935

       Notwithstanding division (G)(6) of this section as it existed27936
prior to October 29, 1993, or any provision in a district's solid27937
waste management plan prepared in accordance with division27938
(B)(2)(e) of section 3734.53 of the Revised Code as it existed27939
prior to that date, any moneys arising from the fees levied under27940
division (B)(3) of this section prior to January 1, 1994, may be27941
expended for any of the purposes authorized in divisions (G)(1) to27942
(10) of this section.27943

       (H) The director shall adopt rules in accordance with Chapter 27944
119. of the Revised Code prescribing procedures for collecting and 27945
forwarding the fees levied under divisions (B) and (C) of this 27946
section to the boards of county commissioners or directors of 27947
county or joint solid waste management districts and to the 27948
treasurers or other officers of municipal corporations and the 27949
fiscal officers of townships. The rules also shall prescribe the27950
dates for forwarding the fees to the boards and officials and may27951
prescribe any other requirements the director considers necessary27952
or appropriate to implement and administer divisions (A), (B), and27953
(C) of this section.27954

       Sec. 3735.672.  (A) On or before the thirty-first day of27955
March each year, a legislative authority that has entered into an27956
agreement with a party under section 3735.671 of the Revised Code27957
shall submit to the director of development and the board of27958
education of each school district of which a municipal corporation 27959
or township to which such an agreement applies is a part a report 27960
on all such agreements in effect during the preceding calendar 27961
year. The report shall include the following information:27962

       (1) The designation, assigned by the director of development, 27963
of each community reinvestment area within the municipal 27964
corporation or county, and the total population of each area 27965
according to the most recent data available;27966

       (2) The number of agreements and the number of full-time27967
employees subject to those agreements within each area, each27968
according to the most recent data available and identified and27969
categorized by the appropriate standard industrial code, and the27970
rate of unemployment in the municipal corporation or county in27971
which the area is located for each year since the area was27972
certified;27973

       (3) The number of agreements approved and executed during the 27974
calendar year for which the report is submitted, the total number 27975
of agreements in effect on the thirty-first day of December of the 27976
preceding calendar year, the number of agreements that expired 27977
during the calendar year for which the report is submitted, and 27978
the number of agreements scheduled to expire during the calendar 27979
year in which the report is submitted. For each agreement that 27980
expired during the calendar year for which the report is 27981
submitted, the legislative authority shall include the amount of 27982
taxes exempted under the agreement.27983

       (4) The number of agreements receiving compliance reviews by 27984
the tax incentive review council in the municipal corporation or 27985
county during the calendar year for which the report is submitted, 27986
including all of the following information:27987

       (a) The number of agreements the terms of which the party has 27988
complied with, indicating separately for each such agreement the 27989
value of the real property exempted pursuant to the agreement and 27990
a comparison of the stipulated and actual schedules for hiring new 27991
employees, for retaining existing employees, and for the amount of 27992
payroll of the party attributable to these employees;27993

       (b) The number of agreements the terms of which a party has 27994
failed to comply with, indicating separately for each such27995
agreement the value of the real and personal property exempted27996
pursuant to the agreement and a comparison of the stipulated and27997
actual schedules for hiring new employees, for retaining existing27998
employees, and for the amount of payroll of the enterprise27999
attributable to these employees;28000

       (c) The number of agreements about which the tax incentive28001
review council made recommendations to the legislative authority,28002
and the number of such recommendations that have not been28003
followed;28004

       (d) The number of agreements rescinded during the calendar28005
year for which the report is submitted.28006

       (5) The number of parties subject to agreements that expanded 28007
within each area, including the number of new employees hired and 28008
existing employees retained by that party, and the number of new 28009
parties subject to agreements that established within each area, 28010
including the number of new employees hired by each party;28011

       (6) For each agreement in effect during any part of the28012
preceding year, the number of employees employed by the party at28013
the property that is the subject of the agreement immediately28014
prior to formal approval of the agreement, the number of employees 28015
employed by the party at that property on the thirty-first day of 28016
December of the preceding year, the payroll of the party for the 28017
preceding year, the amount of taxes paid on real property that was 28018
exempted under the agreement, and the amount of such taxes that 28019
were not paid because of the exemption.28020

       (B) Upon the failure of a municipal corporation or county to 28021
comply with division (A) of this section:28022

       (1) Beginning on the first day of April of the calendar year 28023
in which the municipal corporation or county fails to comply with 28024
that division, the municipal corporation or county shall not enter 28025
into any agreements under section 3735.671 of the Revised Code 28026
until the municipal corporation or county has complied with28027
division (A) of this section.28028

       (2) On the first day of each ensuing calendar month until the 28029
municipal corporation or county complies with that division, the 28030
director of development shall either order the proper county28031
auditor to deduct from the next succeeding payment of taxes to the 28032
municipal corporation or county under section 321.31, 321.32,28033
321.33, or 321.34 of the Revised Code an amount equal to five28034
hundred dollars for each calendar month the municipal corporation28035
or county fails to comply with that division, or order the county28036
auditor to deduct such an amount from the next succeeding payment28037
to the municipal corporation or county from the undivided local28038
governmentcommunities fund under section 5747.51 of the Revised 28039
Code. At the time such a payment is made, the county auditor shall 28040
comply with the director's order by issuing a warrant, drawn on 28041
the fund from which such money would have been paid, to the 28042
director of development, who shall deposit the warrant into the 28043
state community reinvestment area program administration fund 28044
created in division (C) of this section.28045

       (C) The director, by rule, shall establish the state's28046
application fee for applications submitted to a municipal28047
corporation or county to enter into an agreement under section28048
3735.671 of the Revised Code. In establishing the amount of the28049
fee, the director shall consider the state's cost of administering 28050
the community reinvestment area program, including the cost of 28051
reviewing the reports required under division (A) of this section. 28052
The director may change the amount of the fee at such times and in 28053
such increments as hethe director considers necessary. Any 28054
municipal corporation or county that receives an application shall 28055
collect the application fee and remit the fee for deposit in the 28056
state treasury to the credit of the state community reinvestment 28057
area program administration fund, which is hereby created. Money 28058
credited to the fund shall be used by the department of 28059
development to pay the costs of administering the community 28060
reinvestment area program, including the cost of reviewing the 28061
reports required under division (A) of this sectiontax incentive 28062
programs operating fund created in section 122.174 of the Revised 28063
Code.28064

       Sec. 3745.11.  (A) Applicants for and holders of permits,28065
licenses, variances, plan approvals, and certifications issued by28066
the director of environmental protection pursuant to Chapters28067
3704., 3734., 6109., and 6111. of the Revised Code shall pay a fee28068
to the environmental protection agency for each such issuance and28069
each application for an issuance as provided by this section. No28070
fee shall be charged for any issuance for which no application has28071
been submitted to the director.28072

       (B) Each person who is issued a permit to install prior to 28073
July 1, 2003, pursuant to rules adopted under division (F) of 28074
section 3704.03 of the Revised Code shall pay the fees specified 28075
in the following schedules:28076

       (1) Fuel-burning equipment (boilers)28077

Input capacity (maximum)   28078
(million British thermal units per hour) Permit to install 28079

Greater than 0, but less than 10 $ 200 28080
10 or more, but less than 100     400 28081
100 or more, but less than 300     800 28082
300 or more, but less than 500    1500 28083
500 or more, but less than 1000    2500 28084
1000 or more, but less than 5000  4000 28085
5000 or more  6000 28086

       Units burning exclusively natural gas, number two fuel oil, 28087
or both shall be assessed a fee that is one-half of the applicable 28088
amount established in division (F)(1) of this section.28089

       (2) Incinerators28090

Input capacity (pounds per hour) Permit to install 28091

0 to 100 $ 100 28092
101 to 500     400 28093
501 to 2000     750 28094
2001 to 20,000    1000 28095
more than 20,000    2500 28096

       (3)(a) Process28097

Process weight rate (pounds per hour) Permit to install 28098

0 to 1000 $ 200 28099
1001 to 5000     400 28100
5001 to 10,000     600 28101
10,001 to 50,000     800 28102
more than 50,000    1000 28103

       In any process where process weight rate cannot be28104
ascertained, the minimum fee shall be assessed.28105

       (b) Notwithstanding division (B)(3)(a) of this section, any 28106
person issued a permit to install pursuant to rules adopted under 28107
division (F) of section 3704.03 of the Revised Code shall pay the 28108
fees established in division (B)(3)(c) of this section for a 28109
process used in any of the following industries, as identified by 28110
the applicable four-digit standard industrial classification code 28111
according to the Standard Industrial Classification Manual 28112
published by the United States office of management and budget in 28113
the executive office of the president, 1972, as revised:28114

       1211 Bituminous coal and lignite mining;28115

       1213 Bituminous coal and lignite mining services;28116

       1411 Dimension stone;28117

       1422 Crushed and broken limestone;28118

       1427 Crushed and broken stone, not elsewhere classified;28119

       1442 Construction sand and gravel;28120

       1446 Industrial sand;28121

       3281 Cut stone and stone products;28122

       3295 Minerals and earth, ground or otherwise treated.28123

       (c) The fees established in the following schedule apply to 28124
the issuance of a permit to install pursuant to rules adopted 28125
under division (F) of section 3704.03 of the Revised Code for a 28126
process listed in division (B)(3)(b) of this section:28127

Process weight rate (pounds per hour) Permit to install 28128

0 to 1000 $ 200 28129
10,001 to 50,000   300 28130
50,001 to 100,000   400 28131
100,001 to 200,000   500 28132
200,001 to 400,000   600 28133
400,001 or more   700 28134

       (4) Storage tanks28135

Gallons (maximum useful capacity) Permit to install 28136

0 to 20,000 $ 100 28137
20,001 to 40,000   150 28138
40,001 to 100,000   200 28139
100,001 to 250,000   250 28140
250,001 to 500,000   350 28141
500,001 to 1,000,000     500 28142
1,000,001 or greater     750 28143

       (5) Gasoline/fuel dispensing facilities28144

For each gasoline/fuel dispensing Permit to install 28145
facility $ 100 28146

       (6) Dry cleaning facilities28147

For each dry cleaning facility Permit to install 28148
(includes all units at the facility) $ 100 28149

       (7) Registration status28150

For each source covered Permit to install 28151
by registration status $  75 28152

       (C)(1) Except as otherwise provided in division (C)(2) of28153
this section, beginning July 1, 1994, each person who owns or28154
operates an air contaminant source and who is required to apply28155
for and obtain a Title V permit under section 3704.036 of the28156
Revised Code shall pay the fees set forth in division (C)(1) of28157
this section. For the purposes of that division, total emissions28158
of air contaminants may be calculated using engineering28159
calculations, emissions factors, material balance calculations, or28160
performance testing procedures, as authorized by the director.28161

       The following fees shall be assessed on the total actual28162
emissions from a source in tons per year of the regulated28163
pollutants particulate matter, sulfur dioxide, nitrogen oxides,28164
organic compounds, and lead:28165

       (a) Fifteen dollars per ton on the total actual emissions of28166
each such regulated pollutant during the period July through28167
December 1993, to be collected no sooner than July 1, 1994;28168

       (b) Twenty dollars per ton on the total actual emissions of28169
each such regulated pollutant during calendar year 1994, to be28170
collected no sooner than April 15, 1995;28171

       (c) Twenty-five dollars per ton on the total actual emissions 28172
of each such regulated pollutant in calendar year 1995, and each 28173
subsequent calendar year, to be collected no sooner than the 28174
fifteenth day of April of the year next succeeding the calendar 28175
year in which the emissions occurred.28176

       The fees levied under division (C)(1) of this section do not28177
apply to that portion of the emissions of a regulated pollutant at28178
a facility that exceed four thousand tons during a calendar year.28179

       (2) The fees assessed under division (C)(1) of this section28180
are for the purpose of providing funding for the Title V permit28181
program.28182

       (3) The fees assessed under division (C)(1) of this section28183
do not apply to emissions from any electric generating unit28184
designated as a Phase I unit under Title IV of the federal Clean28185
Air Act prior to calendar year 2000. Those fees shall be assessed28186
on the emissions from such a generating unit commencing in28187
calendar year 2001 based upon the total actual emissions from the28188
generating unit during calendar year 2000 and shall continue to be28189
assessed each subsequent calendar year based on the total actual28190
emissions from the generating unit during the preceding calendar28191
year.28192

       (4) The director shall issue invoices to owners or operators28193
of air contaminant sources who are required to pay a fee assessed28194
under division (C) or (D) of this section. Any such invoice shall28195
be issued no sooner than the applicable date when the fee first28196
may be collected in a year under the applicable division, shall28197
identify the nature and amount of the fee assessed, and shall28198
indicate that the fee is required to be paid within thirty days28199
after the issuance of the invoice.28200

       (D)(1) Except as provided in division (D)(3) of this section, 28201
from January 1, 1994, through December 31, 2003, each person who 28202
owns or operates an air contaminant source; who is required to 28203
apply for a permit to operate pursuant to rules adopted under 28204
division (G), or a variance pursuant to division (H), of section 28205
3704.03 of the Revised Code; and who is not required to apply for 28206
and obtain a Title V permit under section 3704.036 of the Revised 28207
Code shall pay a single fee based upon the sum of the actual 28208
annual emissions from the facility of the regulated pollutants28209
particulate matter, sulfur dioxide, nitrogen oxides, organic 28210
compounds, and lead in accordance with the following schedule:28211

Total tons per year 28212
of regulated pollutants Annual fee 28213
emitted per facility 28214
More than 0, but less than 50    $ 75 28215
50 or more, but less than 100     300 28216
100 or more     700 28217

       (2) Except as provided in division (D)(3) of this section, 28218
beginning January 1, 2004, each person who owns or operates an air 28219
contaminant source; who is required to apply for a permit to 28220
operate pursuant to rules adopted under division (G), or a 28221
variance pursuant to division (H), of section 3704.03 of the 28222
Revised Code; and who is not required to apply for and obtain a 28223
Title V permit under section 3704.03 of the Revised Code shall pay 28224
a single fee based upon the sum of the actual annual emissions 28225
from the facility of the regulated pollutants particulate matter, 28226
sulfur dioxide, nitrogen oxides, organic compounds, and lead in 28227
accordance with the following schedule:28228

Total tons per year 28229
of regulated pollutants Annual fee 28230
emitted per facility 28231
More than 0, but less than 10    $ 100 28232
10 or more, but less than 50      200 28233
50 or more, but less than 100      300 28234
100 or more      700 28235

       (3)(a) As used in division (D) of this section, "synthetic28236
minor facility" means a facility for which one or more permits to28237
install or permits to operate have been issued for the air28238
contaminant sources at the facility that include terms and28239
conditions that lower the facility's potential to emit air28240
contaminants below the major source thresholds established in28241
rules adopted under section 3704.036 of the Revised Code.28242

       (b) Beginning January 1, 2000, through June 30, 20082010,28243
each person who owns or operates a synthetic minor facility shall28244
pay an annual fee based on the sum of the actual annual emissions28245
from the facility of particulate matter, sulfur dioxide, nitrogen28246
dioxide, organic compounds, and lead in accordance with the28247
following schedule:28248

Combined total tons 28249
per year of all regulated Annual fee 28250
pollutants emitted per facility 28251

Less than 10 $ 170 28252
10 or more, but less than 20   340 28253
20 or more, but less than 30   670 28254
30 or more, but less than 40 1,010 28255
40 or more, but less than 50 1,340 28256
50 or more, but less than 60 1,680 28257
60 or more, but less than 70 2,010 28258
70 or more, but less than 80 2,350 28259
80 or more, but less than 90 2,680 28260
90 or more, but less than 100 3,020 28261
100 or more 3,350 28262

       (4) The fees assessed under division (D)(1) of this section28263
shall be collected annually no sooner than the fifteenth day of28264
April, commencing in 1995. The fees assessed under division 28265
(D)(2) of this section shall be collected annually no sooner than 28266
the fifteenth day of April, commencing in 2005. The fees assessed 28267
under division (D)(3) of this section shall be collected no sooner 28268
than the fifteenth day of April, commencing in 2000. The fees 28269
assessed under division (D) of this section in a calendar year28270
shall be based upon the sum of the actual emissions of those28271
regulated pollutants during the preceding calendar year. For the 28272
purpose of division (D) of this section, emissions of air28273
contaminants may be calculated using engineering calculations, 28274
emission factors, material balance calculations, or performance 28275
testing procedures, as authorized by the director. The director, 28276
by rule, may require persons who are required to pay the fees 28277
assessed under division (D) of this section to pay those fees28278
biennially rather than annually.28279

       (E)(1) Consistent with the need to cover the reasonable costs 28280
of the Title V permit program, the director annually shall28281
increase the fees prescribed in division (C)(1) of this section by28282
the percentage, if any, by which the consumer price index for the28283
most recent calendar year ending before the beginning of a year28284
exceeds the consumer price index for calendar year 1989. Upon28285
calculating an increase in fees authorized by division (E)(1) of28286
this section, the director shall compile revised fee schedules for28287
the purposes of division (C)(1) of this section and shall make the28288
revised schedules available to persons required to pay the fees28289
assessed under that division and to the public.28290

       (2) For the purposes of division (E)(1) of this section:28291

       (a) The consumer price index for any year is the average of28292
the consumer price index for all urban consumers published by the28293
United States department of labor as of the close of the28294
twelve-month period ending on the thirty-first day of August of28295
that year.28296

       (b) If the 1989 consumer price index is revised, the director 28297
shall use the revision of the consumer price index that is most 28298
consistent with that for calendar year 1989.28299

       (F) Each person who is issued a permit to install pursuant to 28300
rules adopted under division (F) of section 3704.03 of the Revised 28301
Code on or after July 1, 2003, shall pay the fees specified in the 28302
following schedules:28303

       (1) Fuel-burning equipment (boilers, furnaces, or process 28304
heaters used in the process of burning fuel for the primary 28305
purpose of producing heat or power by indirect heat transfer)28306

Input capacity (maximum) 28307
(million British thermal units per hour) Permit to install 28308
Greater than 0, but less than 10    $ 200 28309
10 or more, but less than 100      400 28310
100 or more, but less than 300     1000 28311
300 or more, but less than 500     2250 28312
500 or more, but less than 1000     3750 28313
1000 or more, but less than 5000     6000 28314
5000 or more     9000 28315

       Units burning exclusively natural gas, number two fuel oil,28316
or both shall be assessed a fee that is one-half the applicable28317
amount shown in division (F)(1) of this section.28318

       (2) Combustion turbines and stationary internal combustion 28319
engines designed to generate electricity28320

Generating capacity (mega watts) Permit to install 28321
0 or more, but less than 10    $  25 28322
10 or more, but less than 25      150 28323
25 or more, but less than 50      300 28324
50 or more, but less than 100      500 28325
100 or more, but less than 250     1000 28326
250 or more     2000 28327

       (3) Incinerators28328

Input capacity (pounds per hour) Permit to install 28329
0 to 100    $ 100 28330
101 to 500      500 28331
501 to 2000     1000 28332
2001 to 20,000     1500 28333
more than 20,000     3750 28334

       (4)(a) Process28335

Process weight rate (pounds per hour) Permit to install 28336
0 to 1000    $ 200 28337
1001 to 5000      500 28338
5001 to 10,000      750 28339
10,001 to 50,000     1000 28340
more than 50,000     1250 28341

       In any process where process weight rate cannot be28342
ascertained, the minimum fee shall be assessed. A boiler, furnace, 28343
combustion turbine, stationary internal combustion engine, or 28344
process heater designed to provide direct heat or power to a 28345
process not designed to generate electricity shall be assessed a 28346
fee established in division (F)(4)(a) of this section. A 28347
combustion turbine or stationary internal combustion engine 28348
designed to generate electricity shall be assessed a fee 28349
established in division (F)(2) of this section.28350

       (b) Notwithstanding division (F)(4)(a) of this section, any28351
person issued a permit to install pursuant to rules adopted under28352
division (F) of section 3704.03 of the Revised Code shall pay the28353
fees set forth in division (F)(4)(c) of this section for a process28354
used in any of the following industries, as identified by the28355
applicable two-digit, three-digit, or four-digit standard 28356
industrial classification code according to the Standard 28357
Industrial Classification Manual published by the United States 28358
office of management and budget in the executive office of the 28359
president, 1987, as revised:28360

        Major group 10, metal mining;28361

       Major group 12, coal mining;28362

       Major group 14, mining and quarrying of nonmetallic minerals;28363

       Industry group 204, grain mill products;28364

       2873 Nitrogen fertilizers;28365

       2874 Phosphatic fertilizers;28366

       3281 Cut stone and stone products;28367

       3295 Minerals and earth, ground or otherwise treated;28368

       4221 Grain elevators (storage only);28369

       5159 Farm related raw materials;28370

       5261 Retail nurseries and lawn and garden supply stores.28371

       (c) The fees set forth in the following schedule apply to the 28372
issuance of a permit to install pursuant to rules adopted under 28373
division (F) of section 3704.03 of the Revised Code for a process 28374
identified in division (F)(4)(b) of this section:28375

Process weight rate (pounds per hour) Permit to install 28376
0 to 10,000   $  200 28377
10,001 to 50,000      400 28378
50,001 to 100,000      500 28379
100,001 to 200,000      600 28380
200,001 to 400,000      750 28381
400,001 or more      900 28382

       (5) Storage tanks28383

Gallons (maximum useful capacity) Permit to install 28384
0 to 20,000   $  100 28385
20,001 to 40,000      150 28386
40,001 to 100,000      250 28387
100,001 to 500,000      400 28388
500,001 or greater      750 28389

       (6) Gasoline/fuel dispensing facilities28390

For each gasoline/fuel 28391
dispensing facility (includes all Permit to install 28392
units at the facility)     $ 100 28393

       (7) Dry cleaning facilities28394

For each dry cleaning 28395
facility (includes all units Permit to install 28396
at the facility)     $ 100 28397

       (8) Registration status28398

For each source covered Permit to install 28399
by registration status     $  75 28400

       (G) An owner or operator who is responsible for an asbestos28401
demolition or renovation project pursuant to rules adopted under28402
section 3704.03 of the Revised Code shall pay the fees set forth28403
in the following schedule:28404

Action Fee 28405
Each notification $75 28406
Asbestos removal $3/unit 28407
Asbestos cleanup $4/cubic yard 28408

For purposes of this division, "unit" means any combination of28409
linear feet or square feet equal to fifty.28410

       (H) A person who is issued an extension of time for a permit28411
to install an air contaminant source pursuant to rules adopted28412
under division (F) of section 3704.03 of the Revised Code shall28413
pay a fee equal to one-half the fee originally assessed for the28414
permit to install under this section, except that the fee for such28415
an extension shall not exceed two hundred dollars.28416

       (I) A person who is issued a modification to a permit to28417
install an air contaminant source pursuant to rules adopted under28418
section 3704.03 of the Revised Code shall pay a fee equal to28419
one-half of the fee that would be assessed under this section to28420
obtain a permit to install the source. The fee assessed by this28421
division only applies to modifications that are initiated by the28422
owner or operator of the source and shall not exceed two thousand28423
dollars.28424

       (J) Notwithstanding division (B) or (F) of this section, a28425
person who applies for or obtains a permit to install pursuant to28426
rules adopted under division (F) of section 3704.03 of the Revised28427
Code after the date actual construction of the source began shall28428
pay a fee for the permit to install that is equal to twice the fee28429
that otherwise would be assessed under the applicable division28430
unless the applicant received authorization to begin construction28431
under division (W) of section 3704.03 of the Revised Code. This28432
division only applies to sources for which actual construction of28433
the source begins on or after July 1, 1993. The imposition or28434
payment of the fee established in this division does not preclude28435
the director from taking any administrative or judicial28436
enforcement action under this chapter, Chapter 3704., 3714.,28437
3734., or 6111. of the Revised Code, or a rule adopted under any28438
of them, in connection with a violation of rules adopted under28439
division (F) of section 3704.03 of the Revised Code.28440

       As used in this division, "actual construction of the source"28441
means the initiation of physical on-site construction activities28442
in connection with improvements to the source that are permanent28443
in nature, including, without limitation, the installation of28444
building supports and foundations and the laying of underground28445
pipework.28446

       (K) Fifty cents per ton of each fee assessed under division28447
(C) of this section on actual emissions from a source and received28448
by the environmental protection agency pursuant to that division28449
shall be deposited into the state treasury to the credit of the28450
small business assistance fund created in section 3706.19 of the28451
Revised Code. The remainder of the moneys received by the division 28452
pursuant to that division and moneys received by the agency 28453
pursuant to divisions (D), (F), (G), (H), (I), and (J) of this 28454
section shall be deposited in the state treasury to the credit of 28455
the clean air fund created in section 3704.035 of the Revised 28456
Code.28457

       (L)(1)(a) Except as otherwise provided in division (L)(1)(b)28458
or (c) of this section, a person issued a water discharge permit28459
or renewal of a water discharge permit pursuant to Chapter 6111.28460
of the Revised Code shall pay a fee based on each point source to28461
which the issuance is applicable in accordance with the following28462
schedule:28463

Design flow discharge (gallons per day) Fee  28464
0 to 1000 $  0 28465
1,001 to 5000 100 28466
5,001 to 50,000 200 28467
50,001 to 100,000 300 28468
100,001 to 300,000 525 28469
over 300,000 750 28470

       (b) Notwithstanding the fee schedule specified in division28471
(L)(1)(a) of this section, the fee for a water discharge permit28472
that is applicable to coal mining operations regulated under28473
Chapter 1513. of the Revised Code shall be two hundred fifty28474
dollars per mine.28475

       (c) Notwithstanding the fee schedule specified in division28476
(L)(1)(a) of this section, the fee for a water discharge permit28477
for a public discharger identified by I in the third character of28478
the permittee's NPDES permit number shall not exceed seven hundred28479
fifty dollars.28480

       (2) A person applying for a plan approval for a wastewater28481
treatment works pursuant to section 6111.44, 6111.45, or 6111.4628482
of the Revised Code shall pay a fee of one hundred dollars plus28483
sixty-five one-hundredths of one per cent of the estimated project28484
cost through June 30, 20082010, and one hundred dollars plus28485
two-tenths of one per cent of the estimated project cost on and28486
after July 1, 20082010, except that the total fee shall not28487
exceed fifteen thousand dollars through June 30, 20082010, and28488
five thousand dollars on and after July 1, 20082010. The fee28489
shall be paid at the time the application is submitted.28490

       (3) A person issued a modification of a water discharge28491
permit shall pay a fee equal to one-half the fee that otherwise28492
would be charged for a water discharge permit, except that the fee28493
for the modification shall not exceed four hundred dollars.28494

       (4) A person who has entered into an agreement with the28495
director under section 6111.14 of the Revised Code shall pay an28496
administrative service fee for each plan submitted under that28497
section for approval that shall not exceed the minimum amount28498
necessary to pay administrative costs directly attributable to28499
processing plan approvals. The director annually shall calculate28500
the fee and shall notify all persons who have entered into28501
agreements under that section, or who have applied for agreements,28502
of the amount of the fee.28503

       (5)(a)(i) Not later than January 30, 20062008, and January28504
30, 20072009, a person holding an NPDES discharge permit issued28505
pursuant to Chapter 6111. of the Revised Code with an average28506
daily discharge flow of five thousand gallons or more shall pay a28507
nonrefundable annual discharge fee. Any person who fails to pay28508
the fee at that time shall pay an additional amount that equals28509
ten per cent of the required annual discharge fee.28510

       (ii) The billing year for the annual discharge fee28511
established in division (L)(5)(a)(i) of this section shall consist28512
of a twelve-month period beginning on the first day of January of28513
the year preceding the date when the annual discharge fee is due.28514
In the case of an existing source that permanently ceases to28515
discharge during a billing year, the director shall reduce the28516
annual discharge fee, including the surcharge applicable to28517
certain industrial facilities pursuant to division (L)(5)(c) of28518
this section, by one-twelfth for each full month during the28519
billing year that the source was not discharging, but only if the28520
person holding the NPDES discharge permit for the source notifies28521
the director in writing, not later than the first day of October28522
of the billing year, of the circumstances causing the cessation of28523
discharge.28524

       (iii) The annual discharge fee established in division28525
(L)(5)(a)(i) of this section, except for the surcharge applicable28526
to certain industrial facilities pursuant to division (L)(5)(c) of28527
this section, shall be based upon the average daily discharge flow28528
in gallons per day calculated using first day of May through28529
thirty-first day of October flow data for the period two years28530
prior to the date on which the fee is due. In the case of NPDES28531
discharge permits for new sources, the fee shall be calculated28532
using the average daily design flow of the facility until actual28533
average daily discharge flow values are available for the time28534
period specified in division (L)(5)(a)(iii) of this section. The28535
annual discharge fee may be prorated for a new source as described28536
in division (L)(5)(a)(ii) of this section.28537

       (b) An NPDES permit holder that is a public discharger shall28538
pay the fee specified in the following schedule:28539

Average daily Fee due by 28540
discharge flow January 30, 28541
2006 2008, and 28542
January 30, 2007 2009 28543

5,000 to 49,999 $ 200 28544
50,000 to 100,000 500 28545
100,001 to 250,000 1,050 28546
250,001 to 1,000,000 2,600 28547
1,000,001 to 5,000,000 5,200 28548
5,000,001 to 10,000,000 10,350 28549
10,000,001 to 20,000,000 15,550 28550
20,000,001 to 50,000,000 25,900 28551
50,000,001 to 100,000,000 41,400 28552
100,000,001 or more 62,100 28553

       Public dischargers owning or operating two or more publicly28554
owned treatment works serving the same political subdivision, as28555
"treatment works" is defined in section 6111.01 of the Revised28556
Code, and that serve exclusively political subdivisions having a28557
population of fewer than one hundred thousand shall pay an annual28558
discharge fee under division (L)(5)(b) of this section that is28559
based on the combined average daily discharge flow of the28560
treatment works.28561

       (c) An NPDES permit holder that is an industrial discharger,28562
other than a coal mining operator identified by P in the third28563
character of the permittee's NPDES permit number, shall pay the28564
fee specified in the following schedule:28565

Average daily Fee due by 28566
discharge flow January 30, 28567
2006 2008, and 28568
January 30, 2007 2009 28569

5,000 to 49,999 $ 250 28570
50,000 to 250,000 1,200 28571
250,001 to 1,000,000 2,950 28572
1,000,001 to 5,000,000 5,850 28573
5,000,001 to 10,000,000 8,800 28574
10,000,001 to 20,000,000 11,700 28575
20,000,001 to 100,000,000 14,050 28576
100,000,001 to 250,000,000 16,400 28577
250,000,001 or more 18,700 28578

       In addition to the fee specified in the above schedule, an28579
NPDES permit holder that is an industrial discharger classified as28580
a major discharger during all or part of the annual discharge fee28581
billing year specified in division (L)(5)(a)(ii) of this section28582
shall pay a nonrefundable annual surcharge of seven thousand five28583
hundred dollars not later than January 30, 20062008, and not 28584
later than January 30, 20072009. Any person who fails to pay the28585
surcharge at that time shall pay an additional amount that equals 28586
ten per cent of the amount of the surcharge.28587

       (d) Notwithstanding divisions (L)(5)(b) and (c) of this28588
section, a public discharger identified by I in the third28589
character of the permittee's NPDES permit number and an industrial28590
discharger identified by I, J, L, V, W, X, Y, or Z in the third28591
character of the permittee's NPDES permit number shall pay a28592
nonrefundable annual discharge fee of one hundred eighty dollars28593
not later than January 30, 20062008, and not later than January28594
30, 20072009. Any person who fails to pay the fee at that time28595
shall pay an additional amount that equals ten per cent of the28596
required fee.28597

       (6) Each person obtaining a national pollutant discharge28598
elimination system general or individual permit for municipal28599
storm water discharge shall pay a nonrefundable storm water28600
discharge fee of one hundred dollars per square mile of area28601
permitted. The fee shall not exceed ten thousand dollars and shall 28602
be payable on or before January 30, 2004, and the thirtieth day of 28603
January of each year thereafter. Any person who fails to pay the 28604
fee on the date specified in division (L)(6) of this section shall 28605
pay an additional amount per year equal to ten per cent of the 28606
annual fee that is unpaid.28607

       (7) The director shall transmit all moneys collected under28608
division (L) of this section to the treasurer of state for deposit28609
into the state treasury to the credit of the surface water28610
protection fund created in section 6111.038 of the Revised Code.28611

       (8) As used in division (L) of this section:28612

       (a) "NPDES" means the federally approved national pollutant28613
discharge elimination system program for issuing, modifying,28614
revoking, reissuing, terminating, monitoring, and enforcing28615
permits and imposing and enforcing pretreatment requirements under28616
Chapter 6111. of the Revised Code and rules adopted under it.28617

       (b) "Public discharger" means any holder of an NPDES permit28618
identified by P in the second character of the NPDES permit number28619
assigned by the director.28620

       (c) "Industrial discharger" means any holder of an NPDES28621
permit identified by I in the second character of the NPDES permit28622
number assigned by the director.28623

       (d) "Major discharger" means any holder of an NPDES permit28624
classified as major by the regional administrator of the United28625
States environmental protection agency in conjunction with the28626
director.28627

       (M) Through June 30, 20082010, a person applying for a28628
license or license renewal to operate a public water system under28629
section 6109.21 of the Revised Code shall pay the appropriate fee28630
established under this division at the time of application to the28631
director. Any person who fails to pay the fee at that time shall28632
pay an additional amount that equals ten per cent of the required28633
fee. The director shall transmit all moneys collected under this28634
division to the treasurer of state for deposit into the drinking28635
water protection fund created in section 6109.30 of the Revised28636
Code.28637

        Except as provided in division (M)(4) of this section, fees 28638
required under this division shall be calculated and paid in 28639
accordance with the following schedule:28640

       (1) For the initial license required under division (A)(1) of 28641
section 6109.21 of the Revised Code for any public water system28642
that is a community water system as defined in section 6109.01 of28643
the Revised Code, and for each license renewal required for such a28644
system prior to January 31, 20082010, the fee is:28645

Number of service connections Fee amount 28646
Not more than 49    $ 112 28647
50 to 99      176 28648

Number of service connections Average cost per connection 28649
100 to 2,499 $ 1.92 28650
2,500 to 4,999   1.48 28651
5,000 to 7,499   1.42 28652
7,500 to 9,999   1.34 28653
10,000 to 14,999   1.16 28654
15,000 to 24,999   1.10 28655
25,000 to 49,999   1.04 28656
50,000 to 99,999   .92 28657
100,000 to 149,999   .86 28658
150,000 to 199,999   .80 28659
200,000 or more   .76 28660

       A public water system may determine how it will pay the total28661
amount of the fee calculated under division (M)(1) of this28662
section, including the assessment of additional user fees that may28663
be assessed on a volumetric basis.28664

       As used in division (M)(1) of this section, "service28665
connection" means the number of active or inactive pipes,28666
goosenecks, pigtails, and any other fittings connecting a water28667
main to any building outlet.28668

       (2) For the initial license required under division (A)(2) of 28669
section 6109.21 of the Revised Code for any public water system28670
that is not a community water system and serves a nontransient28671
population, and for each license renewal required for such a28672
system prior to January 31, 20082010, the fee is:28673

Population served Fee amount 28674
Fewer than 150 $    112 28675
150 to 299      176 28676
300 to 749      384 28677
750 to 1,499      628 28678
1,500 to 2,999    1,268 28679
3,000 to 7,499    2,816 28680
7,500 to 14,999    5,510 28681
15,000 to 22,499    9,048 28682
22,500 to 29,999   12,430 28683
30,000 or more   16,820 28684

       As used in division (M)(2) of this section, "population28685
served" means the total number of individuals receiving water from28686
the water supply during a twenty-four-hour period for at least28687
sixty days during any calendar year. In the absence of a specific28688
population count, that number shall be calculated at the rate of28689
three individuals per service connection.28690

       (3) For the initial license required under division (A)(3) of 28691
section 6109.21 of the Revised Code for any public water system28692
that is not a community water system and serves a transient28693
population, and for each license renewal required for such a28694
system prior to January 31, 20082010, the fee is:28695

  Number of wells supplying system Fee amount 28696
1 $112 28697
2  112 28698
3  176 28699
4  278 28700
5  568 28701
System designated as using a 28702
surface water source  792 28703

       As used in division (M)(3) of this section, "number of wells28704
supplying system" means those wells that are physically connected28705
to the plumbing system serving the public water system.28706

       (4) A public water system designated as using a surface water 28707
source shall pay a fee of seven hundred ninety-two dollars or the 28708
amount calculated under division (M)(1) or (2) of this section, 28709
whichever is greater.28710

       (N)(1) A person applying for a plan approval for a public28711
water supply system under section 6109.07 of the Revised Code28712
shall pay a fee of one hundred fifty dollars plus thirty-five 28713
hundredths of one per cent of the estimated project cost, except 28714
that the total fee shall not exceed twenty thousand dollars 28715
through June 30, 20082010, and fifteen thousand dollars on and 28716
after July 1, 20082010. The fee shall be paid at the time the 28717
application is submitted.28718

       (2) A person who has entered into an agreement with the28719
director under division (A)(2) of section 6109.07 of the Revised28720
Code shall pay an administrative service fee for each plan28721
submitted under that section for approval that shall not exceed28722
the minimum amount necessary to pay administrative costs directly28723
attributable to processing plan approvals. The director annually28724
shall calculate the fee and shall notify all persons that have28725
entered into agreements under that division, or who have applied28726
for agreements, of the amount of the fee.28727

       (3) Through June 30, 20082010, the following fee, on a per28728
survey basis, shall be charged any person for services rendered by28729
the state in the evaluation of laboratories and laboratory28730
personnel for compliance with accepted analytical techniques and28731
procedures established pursuant to Chapter 6109. of the Revised28732
Code for determining the qualitative characteristics of water:28733

microbiological 28734
MMO-MUG $2,000 28735
MF 2,100 28736
MMO-MUG and MF 2,550 28737
organic chemical 5,400 28738
trace metals 5,400 28739
standard chemistry 2,800 28740
limited chemistry 1,550 28741

       On and after July 1, 20082010, the following fee, on a per28742
survey basis, shall be charged any such person:28743

microbiological $ 1,650 28744
organic chemicals 3,500 28745
trace metals 3,500 28746
standard chemistry 1,800 28747
limited chemistry 1,000 28748

The fee for those services shall be paid at the time the request28749
for the survey is made. Through June 30, 2008 2010, an individual28750
laboratory shall not be assessed a fee under this division more28751
than once in any three-year period unless the person requests the 28752
addition of analytical methods or analysts, in which case the 28753
person shall pay eighteen hundred dollars for each additional 28754
survey requested.28755

       As used in division (N)(3) of this section:28756

        (a) "MF" means microfiltration.28757

        (b) "MMO" means minimal medium ONPG.28758

        (c) "MUG" means 4-methylumbelliferyl-beta-D-glucuronide.28759

        (d) "ONPG" means o-nitrophenyl-beta-D-galactopyranoside.28760

       The director shall transmit all moneys collected under this28761
division to the treasurer of state for deposit into the drinking28762
water protection fund created in section 6109.30 of the Revised28763
Code.28764

        (O) Any person applying to the director for examination for 28765
certification as an operator of a water supply system or 28766
wastewater system under Chapter 6109. or 6111. of the Revised 28767
Code, at the time the application is submitted, shall pay an 28768
application fee of forty-five dollars through November 30, 200828769
2010, and twenty-five dollars on and after December 1, 20082010. 28770
Upon approval from the director that the applicant is eligible to 28771
take the examination therefor, the applicant shall pay a fee in 28772
accordance with the following schedule through November 30, 200828773
2010:28774

Class A operator $35 28775
Class I operator  60 28776
Class II operator  75 28777
Class III operator  85 28778
Class IV operator  100 28779

       On and after December 1, 20082010, the applicant shall pay a 28780
fee in accordance with the following schedule:28781

Class A operator $25 28782
Class I operator $45 28783
Class II operator  55 28784
Class III operator  65 28785
Class IV operator  75 28786

       A person shall pay a biennial certification renewal fee for 28787
each applicable class of certification in accordance with the 28788
following schedule:28789

Class A operator $25 28790
Class I operator  35 28791
Class II operator  45 28792
Class III operator  55 28793
Class IV operator  65 28794

        If a certification renewal fee is received by the director 28795
more than thirty days, but not more than one year after the 28796
expiration date of the certification, the person shall pay a 28797
certification renewal fee in accordance with the following 28798
schedule:28799

Class A operator $45 28800
Class I operator  55 28801
Class II operator  65 28802
Class III operator  75 28803
Class IV operator  85 28804

       A person who requests a replacement certificate shall pay a 28805
fee of twenty-five dollars at the time the request is made.28806

       The director shall transmit all moneys collected under this28807
division to the treasurer of state for deposit into the drinking28808
water protection fund created in section 6109.30 of the Revised28809
Code.28810

       (P) Any person submitting an application for an industrial 28811
water pollution control certificate under section 6111.31 of the 28812
Revised Code, as that section existed before its repeal by H.B. 95 28813
of the 125th general assembly, shall pay a nonrefundable fee of 28814
five hundred dollars at the time the application is submitted. The 28815
director shall transmit all moneys collected under this division 28816
to the treasurer of state for deposit into the surface water 28817
protection fund created in section 6111.038 of the Revised Code. A 28818
person paying a certificate fee under this division shall not pay 28819
an application fee under division (S)(1) of this section. On and 28820
after June 26, 2003, persons shall file such applications and pay 28821
the fee as required under sections 5709.20 to 5709.27 of the 28822
Revised Code, and proceeds from the fee shall be credited as 28823
provided in section 5709.212 of the Revised Code.28824

       (Q) Except as otherwise provided in division (R) of this28825
section, a person issued a permit by the director for a new solid28826
waste disposal facility other than an incineration or composting28827
facility, a new infectious waste treatment facility other than an28828
incineration facility, or a modification of such an existing28829
facility that includes an increase in the total disposal or28830
treatment capacity of the facility pursuant to Chapter 3734. of28831
the Revised Code shall pay a fee of ten dollars per thousand cubic28832
yards of disposal or treatment capacity, or one thousand dollars,28833
whichever is greater, except that the total fee for any such28834
permit shall not exceed eighty thousand dollars. A person issued a 28835
modification of a permit for a solid waste disposal facility or an 28836
infectious waste treatment facility that does not involve an28837
increase in the total disposal or treatment capacity of the28838
facility shall pay a fee of one thousand dollars. A person issued28839
a permit to install a new, or modify an existing, solid waste28840
transfer facility under that chapter shall pay a fee of two28841
thousand five hundred dollars. A person issued a permit to install 28842
a new or to modify an existing solid waste incineration or28843
composting facility, or an existing infectious waste treatment28844
facility using incineration as its principal method of treatment,28845
under that chapter shall pay a fee of one thousand dollars. The28846
increases in the permit fees under this division resulting from28847
the amendments made by Amended Substitute House Bill 592 of the28848
117th general assembly do not apply to any person who submitted an28849
application for a permit to install a new, or modify an existing,28850
solid waste disposal facility under that chapter prior to28851
September 1, 1987; any such person shall pay the permit fee28852
established in this division as it existed prior to June 24, 1988.28853
In addition to the applicable permit fee under this division, a28854
person issued a permit to install or modify a solid waste facility28855
or an infectious waste treatment facility under that chapter who28856
fails to pay the permit fee to the director in compliance with28857
division (V) of this section shall pay an additional ten per cent28858
of the amount of the fee for each week that the permit fee is28859
late.28860

       Permit and late payment fees paid to the director under this28861
division shall be credited to the general revenue fund.28862

       (R)(1) A person issued a registration certificate for a scrap 28863
tire collection facility under section 3734.75 of the Revised Code 28864
shall pay a fee of two hundred dollars, except that if the 28865
facility is owned or operated by a motor vehicle salvage dealer 28866
licensed under Chapter 4738. of the Revised Code, the person shall 28867
pay a fee of twenty-five dollars.28868

       (2) A person issued a registration certificate for a new28869
scrap tire storage facility under section 3734.76 of the Revised28870
Code shall pay a fee of three hundred dollars, except that if the28871
facility is owned or operated by a motor vehicle salvage dealer28872
licensed under Chapter 4738. of the Revised Code, the person shall28873
pay a fee of twenty-five dollars.28874

       (3) A person issued a permit for a scrap tire storage28875
facility under section 3734.76 of the Revised Code shall pay a fee28876
of one thousand dollars, except that if the facility is owned or28877
operated by a motor vehicle salvage dealer licensed under Chapter28878
4738. of the Revised Code, the person shall pay a fee of fifty28879
dollars.28880

       (4) A person issued a permit for a scrap tire monocell or28881
monofill facility under section 3734.77 of the Revised Code shall28882
pay a fee of ten dollars per thousand cubic yards of disposal28883
capacity or one thousand dollars, whichever is greater, except28884
that the total fee for any such permit shall not exceed eighty28885
thousand dollars.28886

       (5) A person issued a registration certificate for a scrap28887
tire recovery facility under section 3734.78 of the Revised Code28888
shall pay a fee of one hundred dollars.28889

       (6) A person issued a permit for a scrap tire recovery28890
facility under section 3734.78 of the Revised Code shall pay a fee28891
of one thousand dollars.28892

       (7) In addition to the applicable registration certificate or 28893
permit fee under divisions (R)(1) to (6) of this section, a person 28894
issued a registration certificate or permit for any such scrap 28895
tire facility who fails to pay the registration certificate or 28896
permit fee to the director in compliance with division (V) of this 28897
section shall pay an additional ten per cent of the amount of the 28898
fee for each week that the fee is late.28899

       (8) The registration certificate, permit, and late payment28900
fees paid to the director under divisions (R)(1) to (7) of this28901
section shall be credited to the scrap tire management fund28902
created in section 3734.82 of the Revised Code.28903

       (S)(1) Except as provided by divisions (L), (M), (N), (O),28904
(P), and (S)(2) of this section, division (A)(2) of section28905
3734.05 of the Revised Code, section 3734.79 of the Revised Code,28906
and rules adopted under division (T)(1) of this section, any28907
person applying for a registration certificate under section28908
3734.75, 3734.76, or 3734.78 of the Revised Code or a permit,28909
variance, or plan approval under Chapter 3734. of the Revised Code28910
shall pay a nonrefundable fee of fifteen dollars at the time the28911
application is submitted.28912

       Except as otherwise provided, any person applying for a28913
permit, variance, or plan approval under Chapter 6109. or 6111. of28914
the Revised Code shall pay a nonrefundable fee of one hundred28915
dollars at the time the application is submitted through June 30, 28916
20082010, and a nonrefundable fee of fifteen dollars at the time28917
the application is submitted on and after July 1, 20082010.28918
Through June 30, 20082010, any person applying for a national28919
pollutant discharge elimination system permit under Chapter 6111.28920
of the Revised Code shall pay a nonrefundable fee of two hundred28921
dollars at the time of application for the permit. On and after28922
July 1, 20082010, such a person shall pay a nonrefundable fee of28923
fifteen dollars at the time of application.28924

       In addition to the application fee established under division28925
(S)(1) of this section, any person applying for a national28926
pollutant discharge elimination system general storm water28927
construction permit shall pay a nonrefundable fee of twenty28928
dollars per acre for each acre that is permitted above five acres28929
at the time the application is submitted. However, the per acreage 28930
fee shall not exceed three hundred dollars. In addition, any 28931
person applying for a national pollutant discharge elimination28932
system general storm water industrial permit shall pay a28933
nonrefundable fee of one hundred fifty dollars at the time the28934
application is submitted.28935

       The director shall transmit all moneys collected under28936
division (S)(1) of this section pursuant to Chapter 6109. of the28937
Revised Code to the treasurer of state for deposit into the28938
drinking water protection fund created in section 6109.30 of the28939
Revised Code.28940

       The director shall transmit all moneys collected under28941
division (S)(1) of this section pursuant to Chapter 6111. of the28942
Revised Code to the treasurer of state for deposit into the28943
surface water protection fund created in section 6111.038 of the28944
Revised Code.28945

       If a registration certificate is issued under section28946
3734.75, 3734.76, or 3734.78 of the Revised Code, the amount of28947
the application fee paid shall be deducted from the amount of the28948
registration certificate fee due under division (R)(1), (2), or28949
(5) of this section, as applicable.28950

       If a person submits an electronic application for a 28951
registration certificate, permit, variance, or plan approval for 28952
which an application fee is established under division (S)(1) of 28953
this section, the person shall pay the applicable application fee 28954
as expeditiously as possible after the submission of the 28955
electronic application. An application for a registration 28956
certificate, permit, variance, or plan approval for which an 28957
application fee is established under division (S)(1) of this 28958
section shall not be reviewed or processed until the applicable 28959
application fee, and any other fees established under this 28960
division, are paid.28961

       (2) Division (S)(1) of this section does not apply to an28962
application for a registration certificate for a scrap tire28963
collection or storage facility submitted under section 3734.75 or28964
3734.76 of the Revised Code, as applicable, if the owner or28965
operator of the facility or proposed facility is a motor vehicle28966
salvage dealer licensed under Chapter 4738. of the Revised Code.28967

       (T) The director may adopt, amend, and rescind rules in28968
accordance with Chapter 119. of the Revised Code that do all of28969
the following:28970

       (1) Prescribe fees to be paid by applicants for and holders28971
of any license, permit, variance, plan approval, or certification28972
required or authorized by Chapter 3704., 3734., 6109., or 6111. of28973
the Revised Code that are not specifically established in this28974
section. The fees shall be designed to defray the cost of28975
processing, issuing, revoking, modifying, denying, and enforcing28976
the licenses, permits, variances, plan approvals, and28977
certifications.28978

       The director shall transmit all moneys collected under rules28979
adopted under division (T)(1) of this section pursuant to Chapter28980
6109. of the Revised Code to the treasurer of state for deposit28981
into the drinking water protection fund created in section 6109.3028982
of the Revised Code.28983

       The director shall transmit all moneys collected under rules28984
adopted under division (T)(1) of this section pursuant to Chapter28985
6111. of the Revised Code to the treasurer of state for deposit28986
into the surface water protection fund created in section 6111.03828987
of the Revised Code.28988

       (2) Exempt the state and political subdivisions thereof,28989
including education facilities or medical facilities owned by the28990
state or a political subdivision, or any person exempted from28991
taxation by section 5709.07 or 5709.12 of the Revised Code, from28992
any fee required by this section;28993

       (3) Provide for the waiver of any fee, or any part thereof,28994
otherwise required by this section whenever the director28995
determines that the imposition of the fee would constitute an28996
unreasonable cost of doing business for any applicant, class of28997
applicants, or other person subject to the fee;28998

       (4) Prescribe measures that the director considers necessary28999
to carry out this section.29000

       (U) When the director reasonably demonstrates that the direct 29001
cost to the state associated with the issuance of a permit to 29002
install, license, variance, plan approval, or certification29003
exceeds the fee for the issuance or review specified by this29004
section, the director may condition the issuance or review on the29005
payment by the person receiving the issuance or review of, in29006
addition to the fee specified by this section, the amount, or any29007
portion thereof, in excess of the fee specified under this29008
section. The director shall not so condition issuances for which29009
fees are prescribed in divisions (B)(7) and (L)(1)(b) of this29010
section.29011

       (V) Except as provided in divisions (L), (M), and (P) of this 29012
section or unless otherwise prescribed by a rule of the director 29013
adopted pursuant to Chapter 119. of the Revised Code, all fees 29014
required by this section are payable within thirty days after the 29015
issuance of an invoice for the fee by the director or the29016
effective date of the issuance of the license, permit, variance,29017
plan approval, or certification. If payment is late, the person29018
responsible for payment of the fee shall pay an additional ten per29019
cent of the amount due for each month that it is late.29020

       (W) As used in this section, "fuel-burning equipment,"29021
"fuel-burning equipment input capacity," "incinerator,"29022
"incinerator input capacity," "process," "process weight rate,"29023
"storage tank," "gasoline dispensing facility," "dry cleaning29024
facility," "design flow discharge," and "new source treatment29025
works" have the meanings ascribed to those terms by applicable29026
rules or standards adopted by the director under Chapter 3704. or29027
6111. of the Revised Code.29028

       (X) As used in divisions (B), (C), (D), (E), (F), (H), (I),29029
and (J) of this section, and in any other provision of this29030
section pertaining to fees paid pursuant to Chapter 3704. of the29031
Revised Code:29032

       (1) "Facility," "federal Clean Air Act," "person," and "Title29033
V permit" have the same meanings as in section 3704.01 of the29034
Revised Code.29035

       (2) "Title V permit program" means the following activities29036
as necessary to meet the requirements of Title V of the federal29037
Clean Air Act and 40 C.F.R. part 70, including at least:29038

       (a) Preparing and adopting, if applicable, generally29039
applicable rules or guidance regarding the permit program or its29040
implementation or enforcement;29041

       (b) Reviewing and acting on any application for a Title V29042
permit, permit revision, or permit renewal, including the29043
development of an applicable requirement as part of the processing29044
of a permit, permit revision, or permit renewal;29045

       (c) Administering the permit program, including the29046
supporting and tracking of permit applications, compliance29047
certification, and related data entry;29048

       (d) Determining which sources are subject to the program and29049
implementing and enforcing the terms of any Title V permit, not29050
including any court actions or other formal enforcement actions;29051

       (e) Emission and ambient monitoring;29052

       (f) Modeling, analyses, or demonstrations;29053

       (g) Preparing inventories and tracking emissions;29054

       (h) Providing direct and indirect support to small business29055
stationary sources to determine and meet their obligations under29056
the federal Clean Air Act pursuant to the small business29057
stationary source technical and environmental compliance29058
assistance program required by section 507 of that act and29059
established in sections 3704.18, 3704.19, and 3706.19 of the29060
Revised Code.29061

       (Y)(1) Except as provided in divisions (Y)(2), (3), and (4)29062
of this section, each sewage sludge facility shall pay a29063
nonrefundable annual sludge fee equal to three dollars and fifty29064
cents per dry ton of sewage sludge, including the dry tons of29065
sewage sludge in materials derived from sewage sludge, that the29066
sewage sludge facility treats or disposes of in this state. The29067
annual volume of sewage sludge treated or disposed of by a sewage29068
sludge facility shall be calculated using the first day of January29069
through the thirty-first day of December of the calendar year29070
preceding the date on which payment of the fee is due.29071

       (2)(a) Except as provided in division (Y)(2)(d) of this29072
section, each sewage sludge facility shall pay a minimum annual29073
sewage sludge fee of one hundred dollars.29074

       (b) The annual sludge fee required to be paid by a sewage29075
sludge facility that treats or disposes of exceptional quality29076
sludge in this state shall be thirty-five per cent less per dry29077
ton of exceptional quality sludge than the fee assessed under29078
division (Y)(1) of this section, subject to the following29079
exceptions:29080

       (i) Except as provided in division (Y)(2)(d) of this section, 29081
a sewage sludge facility that treats or disposes of exceptional 29082
quality sludge shall pay a minimum annual sewage sludge fee of one 29083
hundred dollars.29084

       (ii) A sewage sludge facility that treats or disposes of29085
exceptional quality sludge shall not be required to pay the annual29086
sludge fee for treatment or disposal in this state of exceptional29087
quality sludge generated outside of this state and contained in29088
bags or other containers not greater than one hundred pounds in29089
capacity.29090

       A thirty-five per cent reduction for exceptional quality29091
sludge applies to the maximum annual fees established under29092
division (Y)(3) of this section.29093

       (c) A sewage sludge facility that transfers sewage sludge to29094
another sewage sludge facility in this state for further treatment29095
prior to disposal in this state shall not be required to pay the29096
annual sludge fee for the tons of sewage sludge that have been29097
transferred. In such a case, the sewage sludge facility that29098
disposes of the sewage sludge shall pay the annual sludge fee.29099
However, the facility transferring the sewage sludge shall pay the29100
one-hundred-dollar minimum fee required under division (Y)(2)(a)29101
of this section.29102

       In the case of a sewage sludge facility that treats sewage29103
sludge in this state and transfers it out of this state to another29104
entity for disposal, the sewage sludge facility in this state29105
shall be required to pay the annual sludge fee for the tons of29106
sewage sludge that have been transferred.29107

       (d) A sewage sludge facility that generates sewage sludge29108
resulting from an average daily discharge flow of less than five29109
thousand gallons per day is not subject to the fees assessed under29110
division (Y) of this section.29111

       (3) No sewage sludge facility required to pay the annual29112
sludge fee shall be required to pay more than the maximum annual29113
fee for each disposal method that the sewage sludge facility uses.29114
The maximum annual fee does not include the additional amount that29115
may be charged under division (Y)(5) of this section for late29116
payment of the annual sludge fee. The maximum annual fee for the29117
following methods of disposal of sewage sludge is as follows:29118

       (a) Incineration: five thousand dollars;29119

       (b) Preexisting land reclamation project or disposal in a29120
landfill: five thousand dollars;29121

       (c) Land application, land reclamation, surface disposal, or29122
any other disposal method not specified in division (Y)(3)(a) or29123
(b) of this section: twenty thousand dollars.29124

       (4)(a) In the case of an entity that generates sewage sludge29125
or a sewage sludge facility that treats sewage sludge and29126
transfers the sewage sludge to an incineration facility for29127
disposal, the incineration facility, and not the entity generating29128
the sewage sludge or the sewage sludge facility treating the29129
sewage sludge, shall pay the annual sludge fee for the tons of29130
sewage sludge that are transferred. However, the entity or29131
facility generating or treating the sewage sludge shall pay the29132
one-hundred-dollar minimum fee required under division (Y)(2)(a)29133
of this section.29134

       (b) In the case of an entity that generates sewage sludge and 29135
transfers the sewage sludge to a landfill for disposal or to a29136
sewage sludge facility for land reclamation or surface disposal,29137
the entity generating the sewage sludge, and not the landfill or29138
sewage sludge facility, shall pay the annual sludge fee for the29139
tons of sewage sludge that are transferred.29140

       (5) Not later than the first day of April of the calendar29141
year following March 17, 2000, and each first day of April29142
thereafter, the director shall issue invoices to persons who are29143
required to pay the annual sludge fee. The invoice shall identify29144
the nature and amount of the annual sludge fee assessed and state29145
the first day of May as the deadline for receipt by the director29146
of objections regarding the amount of the fee and the first day of29147
July as the deadline for payment of the fee.29148

       Not later than the first day of May following receipt of an29149
invoice, a person required to pay the annual sludge fee may submit29150
objections to the director concerning the accuracy of information29151
regarding the number of dry tons of sewage sludge used to29152
calculate the amount of the annual sludge fee or regarding whether29153
the sewage sludge qualifies for the exceptional quality sludge29154
discount established in division (Y)(2)(b) of this section. The29155
director may consider the objections and adjust the amount of the29156
fee to ensure that it is accurate.29157

       If the director does not adjust the amount of the annual29158
sludge fee in response to a person's objections, the person may29159
appeal the director's determination in accordance with Chapter29160
119. of the Revised Code.29161

       Not later than the first day of June, the director shall29162
notify the objecting person regarding whether the director has29163
found the objections to be valid and the reasons for the finding.29164
If the director finds the objections to be valid and adjusts the29165
amount of the annual sludge fee accordingly, the director shall29166
issue with the notification a new invoice to the person29167
identifying the amount of the annual sludge fee assessed and29168
stating the first day of July as the deadline for payment.29169

       Not later than the first day of July, any person who is29170
required to do so shall pay the annual sludge fee. Any person who29171
is required to pay the fee, but who fails to do so on or before29172
that date shall pay an additional amount that equals ten per cent29173
of the required annual sludge fee.29174

       (6) The director shall transmit all moneys collected under29175
division (Y) of this section to the treasurer of state for deposit29176
into the surface water protection fund created in section 6111.03829177
of the Revised Code. The moneys shall be used to defray the costs29178
of administering and enforcing provisions in Chapter 6111. of the29179
Revised Code and rules adopted under it that govern the use,29180
storage, treatment, or disposal of sewage sludge.29181

       (7) Beginning in fiscal year 2001, and every two years29182
thereafter, the director shall review the total amount of moneys29183
generated by the annual sludge fees to determine if that amount 29184
exceeded six hundred thousand dollars in either of the two29185
preceding fiscal years. If the total amount of moneys in the fund29186
exceeded six hundred thousand dollars in either fiscal year, the29187
director, after review of the fee structure and consultation with29188
affected persons, shall issue an order reducing the amount of the29189
fees levied under division (Y) of this section so that the29190
estimated amount of moneys resulting from the fees will not exceed29191
six hundred thousand dollars in any fiscal year.29192

       If, upon review of the fees under division (Y)(7) of this29193
section and after the fees have been reduced, the director29194
determines that the total amount of moneys collected and29195
accumulated is less than six hundred thousand dollars, the29196
director, after review of the fee structure and consultation with29197
affected persons, may issue an order increasing the amount of the29198
fees levied under division (Y) of this section so that the29199
estimated amount of moneys resulting from the fees will be29200
approximately six hundred thousand dollars. Fees shall never be29201
increased to an amount exceeding the amount specified in division29202
(Y)(7) of this section.29203

       Notwithstanding section 119.06 of the Revised Code, the29204
director may issue an order under division (Y)(7) of this section29205
without the necessity to hold an adjudicatory hearing in29206
connection with the order. The issuance of an order under this29207
division is not an act or action for purposes of section 3745.0429208
of the Revised Code.29209

       (8) As used in division (Y) of this section:29210

       (a) "Sewage sludge facility" means an entity that performs29211
treatment on or is responsible for the disposal of sewage sludge.29212

       (b) "Sewage sludge" means a solid, semi-solid, or liquid29213
residue generated during the treatment of domestic sewage in a29214
treatment works as defined in section 6111.01 of the Revised Code.29215
"Sewage sludge" includes, but is not limited to, scum or solids29216
removed in primary, secondary, or advanced wastewater treatment29217
processes. "Sewage sludge" does not include ash generated during29218
the firing of sewage sludge in a sewage sludge incinerator, grit29219
and screenings generated during preliminary treatment of domestic29220
sewage in a treatment works, animal manure, residue generated29221
during treatment of animal manure, or domestic septage.29222

       (c) "Exceptional quality sludge" means sewage sludge that29223
meets all of the following qualifications:29224

       (i) Satisfies the class A pathogen standards in 40 C.F.R.29225
503.32(a);29226

       (ii) Satisfies one of the vector attraction reduction29227
requirements in 40 C.F.R. 503.33(b)(1) to (b)(8);29228

       (iii) Does not exceed the ceiling concentration limitations29229
for metals listed in table one of 40 C.F.R. 503.13;29230

       (iv) Does not exceed the concentration limitations for metals 29231
listed in table three of 40 C.F.R. 503.13.29232

       (d) "Treatment" means the preparation of sewage sludge for29233
final use or disposal and includes, but is not limited to,29234
thickening, stabilization, and dewatering of sewage sludge.29235

       (e) "Disposal" means the final use of sewage sludge,29236
including, but not limited to, land application, land reclamation,29237
surface disposal, or disposal in a landfill or an incinerator.29238

       (f) "Land application" means the spraying or spreading of29239
sewage sludge onto the land surface, the injection of sewage29240
sludge below the land surface, or the incorporation of sewage29241
sludge into the soil for the purposes of conditioning the soil or29242
fertilizing crops or vegetation grown in the soil.29243

       (g) "Land reclamation" means the returning of disturbed land29244
to productive use.29245

       (h) "Surface disposal" means the placement of sludge on an29246
area of land for disposal, including, but not limited to,29247
monofills, surface impoundments, lagoons, waste piles, or29248
dedicated disposal sites.29249

       (i) "Incinerator" means an entity that disposes of sewage29250
sludge through the combustion of organic matter and inorganic29251
matter in sewage sludge by high temperatures in an enclosed29252
device.29253

       (j) "Incineration facility" includes all incinerators owned29254
or operated by the same entity and located on a contiguous tract29255
of land. Areas of land are considered to be contiguous even if29256
they are separated by a public road or highway.29257

       (k) "Annual sludge fee" means the fee assessed under division29258
(Y)(1) of this section.29259

       (l) "Landfill" means a sanitary landfill facility, as defined29260
in rules adopted under section 3734.02 of the Revised Code, that29261
is licensed under section 3734.05 of the Revised Code.29262

       (m) "Preexisting land reclamation project" means a29263
property-specific land reclamation project that has been in29264
continuous operation for not less than five years pursuant to29265
approval of the activity by the director and includes the29266
implementation of a community outreach program concerning the29267
activity.29268

       Sec. 3769.087.  (A) In addition to the commission of eighteen29269
per cent retained by each permit holder as provided in section29270
3769.08 of the Revised Code, each permit holder shall retain an29271
additional amount equal to four per cent of the total of all29272
moneys wagered on each racing day on all wagering pools other than 29273
win, place, and show, of which amount retained an amount equal to 29274
three per cent of the total of all moneys wagered on each racing 29275
day on those pools shall be paid by check, draft, or money order 29276
to the tax commissioner, as a tax. Subject to the restrictions29277
contained in divisions (B), (C), and (M) of section 3769.08 of the 29278
Revised Code, from such additional moneys paid to the tax 29279
commissioner:29280

       (1) Four-sixths shall be allocated to fund distribution as29281
provided in division (M) of section 3769.08 of the Revised Code.29282

       (2) One-twelfth shall be paid into the Ohio fairs fund29283
created by section 3769.082 of the Revised Code.29284

       (3) One-twelfth of the additional moneys paid to the tax29285
commissioner by thoroughbred racing permit holders shall be paid29286
into the Ohio thoroughbred race fund created by section 3769.08329287
of the Revised Code.29288

       (4) One-twelfth of the additional moneys paid to the tax29289
commissioner by harness horse racing permit holders shall be paid29290
to the Ohio standardbred development fund created by section29291
3769.085 of the Revised Code.29292

       (5) One-twelfth of the additional moneys paid to the tax29293
commissioner by quarter horse racing permit holders shall be paid29294
to the Ohio quarter horse development fund created by section29295
3769.086 of the Revised Code.29296

       (6) One-sixth shall be paid into the state racing commission29297
operating fund created by section 3769.03 of the Revised Code.29298

       The remaining one per cent that is retained of the total of29299
all moneys wagered on each racing day on all pools other than win,29300
place, and show, shall be retained by racing permit holders, and,29301
except as otherwise provided in section 3769.089 of the Revised29302
Code, racing permit holders shall use one-half for purse money and29303
retain one-half.29304

       (B) In addition to the commission of eighteen per cent29305
retained by each permit holder as provided in section 3769.08 of29306
the Revised Code and the additional amount retained by each permit29307
holder as provided in division (A) of this section, each permit29308
holder shall retain an additional amount equal to one-half of one 29309
per cent of the total of all moneys wagered on each racing day on29310
all wagering pools other than win, place, and show. Except as 29311
provided in division (C) of this section, from theThe additional 29312
amount retained under this division, each permit holder shall 29313
retain an amount equal to one-quarter of one per cent of the total 29314
of all moneys wagered on each racing day on all pools other than 29315
win, place, and show and shall pay that amountshall be paid by29316
check, draft, or money order to the tax commissioner, as a tax.29317
The tax commissioner shall pay the amount of the tax received29318
under this division to the state racing commission operating fund29319
created by section 3769.03 of the Revised Code.29320

        Except as provided in division (C) of this section, the 29321
remaining one-quarter of one per cent that is retained from the 29322
total of all moneys wagered on each racing day on all pools other 29323
than win, place, and show shall be retained by the permit holder, 29324
and the permit holder shall use one-half for purse money and 29325
retain one-half.29326

       (C) During the period commencing on July 1, 2006, and ending 29327
on and including June 30, 2007, the additional amount retained by 29328
each permit holder under division (B) of this section shall be 29329
paid by check, draft, or money order to the tax commissioner, as a 29330
tax. The tax commissioner shall pay the amount of the tax received 29331
under this division to the state racing commission operating fund 29332
created by section 3769.03 of the Revised Code.29333

       Sec. 3770.03.  (A) The state lottery commission shall29334
promulgate rules under which a statewide lottery may be conducted. 29335
The rules shall be promulgated pursuant to Chapter 119. of the29336
Revised Code, except that instant game rules shall be promulgated29337
pursuant to section 111.15 of the Revised Code but are not subject29338
to division (D) of that section. Subjects covered in these rules29339
shall include, but need not be limited to, the following:29340

       (1) The type of lottery to be conducted;29341

       (2) The prices of tickets in the lottery;29342

       (3) The number, nature, and value of prize awards, the manner 29343
and frequency of prize drawings, and the manner in which prizes 29344
shall be awarded to holders of winning tickets. No rule shall 29345
authorize drawings on a Sunday for any lottery game unless the 29346
rule is approved by an executive order of the governor.29347

       (B) The commission shall promulgate rules, in addition to29348
those described in division (A) of this section, pursuant to29349
Chapter 119. of the Revised Code under which a statewide lottery29350
and statewide joint lottery games may be conducted. Subjects29351
covered in these rules shall include, but not be limited to, the29352
following:29353

       (1) The locations at which lottery tickets may be sold and29354
the manner in which they are to be sold. These rules may authorize29355
the sale of lottery tickets by commission personnel or other 29356
licensed individuals from traveling show wagons at the state fair, 29357
and at any other expositions the director of the commission29358
considers acceptable. These rules shall prohibit commission29359
personnel or other licensed individuals from soliciting from an29360
exposition the right to sell lottery tickets at that exposition,29361
but shall allow commission personnel or other licensed individuals29362
to sell lottery tickets at an exposition if the exposition29363
requests commission personnel or licensed individuals to do so. 29364
These rules may also address the accessibility of sales agent29365
locations to commission products in accordance with the "Americans29366
with Disabilities Act of 1990," 104 Stat. 327, 42 U.S.C.A. 1210129367
et seq.29368

       (2) The manner in which lottery sales revenues are to be29369
collected, including authorization for the director to impose29370
penalties for failure by lottery sales agents to transfer revenues29371
to the commission in a timely manner;29372

       (3) The amount of compensation to be paid licensed lottery29373
sales agents;29374

       (4) The substantive criteria for the licensing of lottery29375
sales agents consistent with section 3770.05 of the Revised Code,29376
and procedures for revoking or suspending their licenses29377
consistent with Chapter 119. of the Revised Code. If29378
circumstances, such as the nonpayment of funds owed by a lottery29379
sales agent, or other circumstances related to the public safety,29380
convenience, or trust, require immediate action, the director may29381
suspend a license without affording an opportunity for a prior29382
hearing under section 119.07 of the Revised Code.29383

       (5) Special game rules to implement any agreements signed by29384
the governor that the director enters into with other lottery29385
jurisdictions under division (J) of section 3770.02 of the Revised29386
Code to conduct statewide joint lottery games. The rules shall29387
require that the entire net proceeds of those games that remain,29388
after associated operating expenses, prize disbursements, lottery29389
sales agent bonuses, commissions, and reimbursements, and any29390
other expenses necessary to comply with the agreements or the29391
rules are deducted from the gross proceeds of those games, be29392
transferred to the lottery profits education fund under division29393
(B) of section 3770.06 of the Revised Code.29394

       (C) The commission may promulgate rules, in addition to those 29395
described in divisions (A) and (B) of this section, that establish 29396
standards governing the display of advertising and celebrity 29397
images on lottery tickets and on other items that are used in the 29398
conduct of, or to promote, the statewide lottery and statewide 29399
joint lottery games. Any revenue derived from the sale of 29400
advertising displayed on lottery tickets and on those other items 29401
shall be considered, for purposes of section 3770.06 of the 29402
Revised Code, to be related proceeds in connection with the 29403
statewide lottery or gross proceeds from statewide joint lottery 29404
games, as applicable.29405

       (D)(1) The commission shall meet with the director at least 29406
once each month and shall convene other meetings at the request of 29407
the chairperson or any five of the members. No action taken by the 29408
commission shall be binding unless at least five of the members 29409
present vote in favor of the action. A written record shall be 29410
made of the proceedings of each meeting and shall be transmitted 29411
forthwith to the governor, the president of the senate, the senate 29412
minority leader, the speaker of the house of representatives, and 29413
the house minority leader.29414

       (2) The director shall present to the commission a report29415
each month, showing the total revenues, prize disbursements, and29416
operating expenses of the state lottery for the preceding month.29417
As soon as practicable after the end of each fiscal year, the29418
commission shall prepare and transmit to the governor and the29419
general assembly a report of lottery revenues, prize29420
disbursements, and operating expenses for the preceding fiscal29421
year and any recommendations for legislation considered necessary29422
by the commission.29423

       Sec. 3770.06.  (A) There is hereby created the state lottery29424
gross revenue fund, which shall be in the custody of the treasurer29425
of state but shall not be part of the state treasury. All gross29426
revenues received from sales of lottery tickets, fines, fees, and29427
related proceeds in connection with the statewide lottery and all29428
gross proceeds from statewide joint lottery games shall be29429
deposited into the fund. The treasurer of state shall invest any29430
portion of the fund not needed for immediate use in the same29431
manner as, and subject to all provisions of law with respect to29432
the investment of, state funds. The treasurer of state shall29433
disburse money from the fund on order of the director of the state29434
lottery commission or the director's designee.29435

       Except for gross proceeds from statewide joint lottery games,29436
all revenues of the state lottery gross revenue fund that are not29437
paid to holders of winning lottery tickets, that are not required29438
to meet short-term prize liabilities, that are not credited to29439
lottery sales agents in the form of bonuses, commissions, or29440
reimbursements, that are not paid to financial institutions to29441
reimburse those institutions for sales agent nonsufficient funds,29442
and that are collected from sales agents for remittance to29443
insurers under contract to provide sales agent bonding services29444
shall be transferred to the state lottery fund, which is hereby29445
created in the state treasury. In addition, all revenues of the29446
state lottery gross revenue fund that represent the gross proceeds29447
from the statewide joint lottery games and that are not paid to29448
holders of winning lottery tickets, that are not required to meet29449
short-term prize liabilities, that are not credited to lottery29450
sales agents in the form of bonuses, commissions, or29451
reimbursements, and that are not necessary to cover operating29452
expenses associated with those games or to otherwise comply with29453
the agreements signed by the governor that the director enters29454
into under division (J) of section 3770.02 of the Revised Code or29455
the rules the commission adopts under division (B)(5) of section29456
3770.03 of the Revised Code shall be transferred to the state29457
lottery fund. All investment earnings of the fund shall be29458
credited to the fund. Moneys shall be disbursed from the fund29459
pursuant to vouchers approved by the director. Total disbursements 29460
for monetary prize awards to holders of winning lottery tickets in 29461
connection with the statewide lottery and purchases of goods and 29462
services awarded as prizes to holders of winning lottery tickets 29463
shall be of an amount equal to at least fifty per cent of the 29464
total revenue accruing from the sale of lottery tickets.29465

       (B) Pursuant to Section 6 of Article XV, Ohio Constitution,29466
there is hereby established in the state treasury the lottery29467
profits education fund. Whenever, in the judgment of the director29468
of budget and management, the amount to the credit of the state29469
lottery fund that does not represent proceeds from statewide joint29470
lottery games is in excess of that needed to meet the maturing29471
obligations of the commission and as working capital for its29472
further operations, the director shall transfer the excess to the29473
lottery profits education fund in connection with the statewide29474
lottery. In addition, whenever, in the judgment of the director of 29475
budget and management, the amount to the credit of the state29476
lottery fund that represents proceeds from statewide joint lottery29477
games equals the entire net proceeds of those games as described29478
in division (B)(5) of section 3770.03 of the Revised Code and the29479
rules adopted under that division, the director shall transfer29480
those proceeds to the lottery profits education fund. There shall29481
also be credited to the fund any repayments of moneys loaned from29482
the educational excellence investment fund. Investment earnings of 29483
the lottery profits education fund shall be credited to the fund.29484

       The lottery profits education fund shall be used solely for29485
the support of elementary, secondary, vocational, and special29486
education programs as determined in appropriations made by the29487
general assembly, or as provided in applicable bond proceedings29488
for the payment of debt service on obligations issued to pay costs29489
of capital facilities, including those for a system of common29490
schools throughout the state pursuant to section 2n of Article29491
VIII, Ohio Constitution. When determining the availability of29492
money in the lottery profits education fund, the director of29493
budget and management may consider all balances and estimated29494
revenues of the fund.29495

       From the amounts that the director of budget and management29496
transfers in any fiscal year from the state lottery fund to the29497
lottery profits education fund, the director shall transfer the29498
initial ten million dollars of those amounts from the lottery29499
profits education fund to the school building program bond service29500
fund created in division (Q) of section 3318.26 of the Revised29501
Code to be pledged for the purpose of paying bond service charges29502
as defined in division (C) of section 3318.21 of the Revised Code29503
on one or more issuances of obligations, which obligations are29504
issued to provide moneys for the school building program29505
assistance fund created in section 3318.25 of the Revised Code.29506

       (C) There is hereby established in the state treasury the29507
deferred prizes trust fund. With the approval of the director of29508
budget and management, an amount sufficient to fund annuity prizes29509
shall be transferred from the state lottery fund and credited to29510
the trust fund. The treasurer of state shall credit all earnings29511
arising from investments purchased under this division to the29512
trust fund. Within sixty days after the end of each fiscal year, 29513
the treasurer of state shall certify to the director of budget and 29514
management whether the actuarial amount of the trust fund is 29515
sufficient over the fund's life for continued funding of all 29516
remaining deferred prize liabilities as of the last day of the 29517
fiscal year just ended. Also, within that sixty days, the director 29518
of budget and management shall certify the amount of investment 29519
earnings necessary to have been credited to the trust fund during 29520
the fiscal year just ending to provide for such continued funding 29521
of deferred prizes. Any earnings credited in excess of thisthe 29522
latter certified amount shall be transferred to the lottery 29523
profits education fund.29524

       To provide all or a part of the amounts necessary to fund29525
deferred prizes awarded by the commission in connection with the29526
statewide lottery, the treasurer of state, in consultation with29527
the commission, may invest moneys contained in the deferred prizes29528
trust fund which represents proceeds from the statewide lottery in29529
obligations of the type permitted for the investment of state29530
funds but whose maturities are thirty years or less.29531
Notwithstanding the requirements of any other section of the29532
Revised Code, to provide all or part of the amounts necessary to29533
fund deferred prizes awarded by the commission in connection with29534
statewide joint lottery games, the treasurer of state, in29535
consultation with the commission, may invest moneys in the trust29536
fund which represent proceeds derived from the statewide joint29537
lottery games in accordance with the rules the commission adopts29538
under division (B)(5) of section 3770.03 of the Revised Code.29539
Investments of the trust fund are not subject to the provisions of 29540
division (A)(10) of section 135.143 of the Revised Code limiting 29541
to twenty-five per cent the amount of the state's total average29542
portfolio that may be invested in debt interests and limiting to29543
one-half of one per cent the amount that may be invested in debt29544
interests of a single issuer.29545

       All purchases made under this division shall be effected on a29546
delivery versus payment method and shall be in the custody of the29547
treasurer of state.29548

       The treasurer of state may retain an investment advisor, if29549
necessary. The commission shall pay any costs incurred by the29550
treasurer of state in retaining an investment advisor.29551

       (D) The auditor of state shall conduct annual audits of all29552
funds and any other audits as the auditor of state or the general29553
assembly considers necessary. The auditor of state may examine all 29554
records, files, and other documents of the commission, and records 29555
of lottery sales agents that pertain to their activities as 29556
agents, for purposes of conducting authorized audits.29557

       The state lottery commission shall establish an internal29558
audit program before the beginning of each fiscal year, subject to29559
the approval of the auditor of state. At the end of each fiscal29560
year, the commission shall prepare and submit an annual report to29561
the auditor of state for the auditor of state's review and29562
approval, specifying the internal audit work completed by the end29563
of that fiscal year and reporting on compliance with the annual29564
internal audit program. The form and content of the report shall29565
be prescribed by the auditor of state under division (C) of29566
section 117.20 of the Revised Code.29567

       (E) Whenever, in the judgment of the director of budget and29568
management, an amount of net state lottery proceeds is necessary29569
to be applied to the payment of debt service on obligations, all29570
as defined in sections 151.01 and 151.03 of the Revised Code, the29571
director shall transfer that amount directly from the state29572
lottery fund or from the lottery profits education fund to the29573
bond service fund defined in those sections. The provisions of29574
this division are subject to any prior pledges or obligation of29575
those amounts to the payment of bond service charges as defined in29576
division (C) of section 3318.21 of the Revised Code, as referred29577
to in division (B) of this section.29578

       Sec. 3905.36.  (A) Except as provided in divisions (B) and 29579
(C) of this section, every insured association, company,29580
corporation, or other person that enters, directly or indirectly,29581
into any agreements with any insurance company, association,29582
individual, firm, underwriter, or Lloyd's, not authorized to do29583
business in this state, whereby the insured shall procure,29584
continue, or renew contracts of insurance covering subjects of29585
insurance resident, located, or to be performed within this state,29586
with such unauthorized insurance company, association, individual,29587
firm, underwriter, or Lloyd's, for which insurance there is a29588
gross premium, membership fee, assessment, dues, or other 29589
consideration charged or collected, shall annually, on or before 29590
the thirty-first day of January, return to the superintendent of29591
insurance a statement under oath showing the name and address of29592
the insured, name and address of the insurer, subject of the29593
insurance, general description of the coverage, and amount of29594
gross premium, fee, assessment, dues, or other consideration for29595
such insurance for the preceding twelve-month period and shall at29596
the same time pay to the treasurer of state a tax of five per cent29597
of such gross premium, fee, assessment, dues, or other29598
consideration, after a deduction for return premium, if any, as29599
calculated on a form prescribed by the treasurer of state. All29600
taxes collected under this section by the treasurer of state shall29601
be paid into the general revenue fund. If the tax is not paid when29602
due, the tax shall be increased by a penalty of twenty-five per29603
cent. An interest charge computed as set forth in section29604
5725.221 of the Revised Code shall be made on the entire sum of29605
the tax plus penalty, which interest shall be computed from the29606
date the tax is due until it is paid. For purposes of this29607
section, payment is considered made when it is received by the29608
treasurer of state, irrespective of any United States postal29609
service marking or other stamp or mark indicating the date on29610
which the payment may have been mailed.29611

       (B) This section does not apply to:29612

       (1) Transactions in this state involving a policy solicited,29613
written, and delivered outside this state covering only subjects29614
of insurance not resident, located, or to be performed in this29615
state at the time of issuance, provided such transactions are29616
subsequent to the issuance of the policy;29617

       (2) Attorneys-at-law acting on behalf of their clients in the 29618
adjustment of claims or losses;29619

       (3) Transactions involving policies issued by a captive 29620
insurer. For this purpose, a "captive insurer" means any of the 29621
following:29622

        (a) An insurer owned by one or more individuals or 29623
organizations, whose exclusive purpose is to insure risks of one 29624
or more of the parent organizations or individual owners and risks 29625
of one or more affiliates of the parent organizations or 29626
individual owners;29627

        (b) In the case of groups and associations, insurers owned by 29628
the group or association whose exclusive purpose is to insure 29629
risks of members of the group or association and affiliates of the 29630
members;29631

        (c) Other types of insurers, licensed and operated in 29632
accordance with the captive insurance laws of their jurisdictions 29633
of domicile and operated in a manner so as to self-insure risks of 29634
their owners and insureds.29635

       (4) Professional or, medical liability, or other insurance 29636
procured by a hospital organized under Chapter 3701. of the 29637
Revised Code or on behalf of an entity that manufactures, 29638
packages, and sells, as more than fifty per cent of the entity's 29639
business, pharmaceutical products for human use where the 29640
production, packaging, and sale of such products are subject to 29641
regulation by an agency of the United States;29642

       (5) Insurance with an initial policy period of more than 29643
three years and that is procured to cover known events related to 29644
environmental remediation that occurred prior to the effective 29645
date of that insurance.29646

        (C) In transactions that are subject to sections 3905.30 to 29647
3905.35 of the Revised Code, each person licensed under section 29648
3905.30 of the Revised Code shall pay to the treasurer of state, 29649
on or before the thirty-first day of January of each year, five 29650
per cent of the balance of the gross premiums charged for 29651
insurance placed or procured under the license after a deduction 29652
for return premiums, as reported on a form prescribed by the29653
treasurer of state. The tax shall be collected from the insured by 29654
the surplus line broker who placed or procured the policy of29655
insurance at the time the policy is delivered to the insured. No 29656
license issued under section 3905.30 of the Revised Code shall be 29657
renewed until payment is made. If the tax is not paid when due, 29658
the tax shall be increased by a penalty of twenty-five per cent. 29659
An interest charge computed as set forth in section 5725.221 of 29660
the Revised Code shall be made on the entire sum of the tax plus 29661
penalty, which interest shall be computed from the date the tax is 29662
due until it is paid. For purposes of this section, payment is29663
considered made when it is received by the treasurer of state,29664
irrespective of any United States postal service marking or other29665
stamp or mark indicating the date on which the payment may have29666
been mailed.29667

       Sec. 4123.35.  (A) Except as provided in this section, every 29668
employer mentioned in division (B)(2) of section 4123.01 of the 29669
Revised Code, and every publicly owned utility shall pay29670
semiannually in the months of January and July into the state29671
insurance fund the amount of annual premium the administrator of29672
workers' compensation fixes for the employment or occupation of29673
the employer, the amount of which premium to be paid by each29674
employer to be determined by the classifications, rules, and rates29675
made and published by the administrator. The employer shall pay29676
semiannually a further sum of money into the state insurance fund29677
as may be ascertained to be due from the employer by applying the29678
rules of the administrator, and a receipt or certificate29679
certifying that payment has been made, along with a written notice 29680
as is required in section 4123.54 of the Revised Code, shall be 29681
mailed immediately to the employer by the bureau of workers' 29682
compensation. The receipt or certificate is prima-facie evidence 29683
of the payment of the premium, and the proper posting of the 29684
notice constitutes the employer's compliance with the notice 29685
requirement mandated in section 4123.54 of the Revised Code.29686

       The bureau of workers' compensation shall verify with the29687
secretary of state the existence of all corporations and29688
organizations making application for workers' compensation29689
coverage and shall require every such application to include the29690
employer's federal identification number.29691

       An employer as defined in division (B)(2) of section 4123.0129692
of the Revised Code who has contracted with a subcontractor is29693
liable for the unpaid premium due from any subcontractor with29694
respect to that part of the payroll of the subcontractor that is29695
for work performed pursuant to the contract with the employer.29696

       Division (A) of this section providing for the payment of29697
premiums semiannually does not apply to any employer who was a29698
subscriber to the state insurance fund prior to January 1, 1914,29699
or who may first become a subscriber to the fund in any month29700
other than January or July. Instead, the semiannual premiums shall 29701
be paid by those employers from time to time upon the expiration 29702
of the respective periods for which payments into the fund have 29703
been made by them.29704

       The administrator shall adopt rules to permit employers to29705
make periodic payments of the semiannual premium due under this29706
division. The rules shall include provisions for the assessment of 29707
interest charges, where appropriate, and for the assessment of29708
penalties when an employer fails to make timely premium payments.29709
An employer who timely pays the amounts due under this division is29710
entitled to all of the benefits and protections of this chapter.29711
Upon receipt of payment, the bureau immediately shall mail a29712
receipt or certificate to the employer certifying that payment has29713
been made, which receipt is prima-facie evidence of payment.29714
Workers' compensation coverage under this chapter continues29715
uninterrupted upon timely receipt of payment under this division.29716

       Every public employer, except public employers that are29717
self-insuring employers under this section, shall comply with29718
sections 4123.38 to 4123.41, and 4123.48 of the Revised Code in29719
regard to the contribution of moneys to the public insurance fund.29720

       (B) Employers who will abide by the rules of the29721
administrator and who may be of sufficient financial ability to29722
render certain the payment of compensation to injured employees or29723
the dependents of killed employees, and the furnishing of medical,29724
surgical, nursing, and hospital attention and services and29725
medicines, and funeral expenses, equal to or greater than is29726
provided for in sections 4123.52, 4123.55 to 4123.62, and 4123.6429727
to 4123.67 of the Revised Code, and who do not desire to insure29728
the payment thereof or indemnify themselves against loss sustained29729
by the direct payment thereof, upon a finding of such facts by the29730
administrator, may be granted the privilege to pay individually29731
compensation, and furnish medical, surgical, nursing, and hospital29732
services and attention and funeral expenses directly to injured29733
employees or the dependents of killed employees, thereby being29734
granted status as a self-insuring employer. The administrator may29735
charge employers who apply for the status as a self-insuring29736
employer a reasonable application fee to cover the bureau's costs29737
in connection with processing and making a determination with29738
respect to an application.29739

       All employers granted status as self-insuring employers shall 29740
demonstrate sufficient financial and administrative ability to 29741
assure that all obligations under this section are promptly met. 29742
The administrator shall deny the privilege where the employer is29743
unable to demonstrate the employer's ability to promptly meet all29744
the obligations imposed on the employer by this section.29745

       (1) The administrator shall consider, but is not limited to,29746
the following factors, where applicable, in determining the29747
employer's ability to meet all of the obligations imposed on the29748
employer by this section:29749

       (a) The employer employs a minimum of five hundred employees29750
in this state;29751

       (b) The employer has operated in this state for a minimum of29752
two years, provided that an employer who has purchased, acquired,29753
or otherwise succeeded to the operation of a business, or any part29754
thereof, situated in this state that has operated for at least two29755
years in this state, also shall qualify;29756

       (c) Where the employer previously contributed to the state29757
insurance fund or is a successor employer as defined by bureau29758
rules, the amount of the buyout, as defined by bureau rules;29759

       (d) The sufficiency of the employer's assets located in this29760
state to insure the employer's solvency in paying compensation29761
directly;29762

       (e) The financial records, documents, and data, certified by29763
a certified public accountant, necessary to provide the employer's29764
full financial disclosure. The records, documents, and data29765
include, but are not limited to, balance sheets and profit and29766
loss history for the current year and previous four years.29767

       (f) The employer's organizational plan for the administration 29768
of the workers' compensation law;29769

       (g) The employer's proposed plan to inform employees of the29770
change from a state fund insurer to a self-insuring employer, the29771
procedures the employer will follow as a self-insuring employer,29772
and the employees' rights to compensation and benefits; and29773

       (h) The employer has either an account in a financial29774
institution in this state, or if the employer maintains an account29775
with a financial institution outside this state, ensures that29776
workers' compensation checks are drawn from the same account as29777
payroll checks or the employer clearly indicates that payment will29778
be honored by a financial institution in this state.29779

       The administrator may waive the requirements of divisions29780
(B)(1)(a) and (b) of this section and the requirement of division29781
(B)(1)(e) of this section that the financial records, documents,29782
and data be certified by a certified public accountant. The29783
administrator shall adopt rules establishing the criteria that an29784
employer shall meet in order for the administrator to waive the29785
requirement of division (B)(1)(e) of this section. Such rules may29786
require additional security of that employer pursuant to division29787
(E) of section 4123.351 of the Revised Code.29788

       The administrator shall not grant the status of self-insuring29789
employer to the state, except that the administrator may grant the29790
status of self-insuring employer to a state institution of higher29791
education, excluding its hospitals, that meets the requirements of29792
division (B)(2) of this section.29793

       (2) When considering the application of a public employer,29794
except for a board of county commissioners described in division29795
(G) of section 4123.01 of the Revised Code, a board of a county29796
hospital, or a publicly owned utility, the administrator shall29797
verify that the public employer satisfies all of the following29798
requirements as the requirements apply to that public employer:29799

       (a) For the two-year period preceding application under this29800
section, the public employer has maintained an unvoted debt29801
capacity equal to at least two times the amount of the current29802
annual premium established by the administrator under this chapter29803
for that public employer for the year immediately preceding the29804
year in which the public employer makes application under this29805
section.29806

       (b) For each of the two fiscal years preceding application29807
under this section, the unreserved and undesignated year-end fund29808
balance in the public employer's general fund is equal to at least29809
five per cent of the public employer's general fund revenues for29810
the fiscal year computed in accordance with generally accepted29811
accounting principles.29812

       (c) For the five-year period preceding application under this 29813
section, the public employer, to the extent applicable, has29814
complied fully with the continuing disclosure requirements29815
established in rules adopted by the United States securities and29816
exchange commission under 17 C.F.R. 240.15c 2-12.29817

       (d) For the five-year period preceding application under this 29818
section, the public employer has not had its local government or 29819
local communities fund distribution withheld on account of the 29820
public employer being indebted or otherwise obligated to the 29821
state.29822

       (e) For the five-year period preceding application under this 29823
section, the public employer has not been under a fiscal watch or 29824
fiscal emergency pursuant to section 118.023, 118.04, or 3316.03 29825
of the Revised Code.29826

       (f) For the public employer's fiscal year preceding29827
application under this section, the public employer has obtained29828
an annual financial audit as required under section 117.10 of the29829
Revised Code, which has been released by the auditor of state29830
within seven months after the end of the public employer's fiscal29831
year.29832

       (g) On the date of application, the public employer holds a29833
debt rating of Aa3 or higher according to Moody's investors29834
service, inc., or a comparable rating by an independent rating29835
agency similar to Moody's investors service, inc.29836

       (h) The public employer agrees to generate an annual29837
accumulating book reserve in its financial statements reflecting29838
an actuarially generated reserve adequate to pay projected claims29839
under this chapter for the applicable period of time, as29840
determined by the administrator.29841

       (i) For a public employer that is a hospital, the public29842
employer shall submit audited financial statements showing the29843
hospital's overall liquidity characteristics, and the29844
administrator shall determine, on an individual basis, whether the29845
public employer satisfies liquidity standards equivalent to the29846
liquidity standards of other public employers.29847

       (j) Any additional criteria that the administrator adopts by29848
rule pursuant to division (E) of this section.29849

       The administrator shall not approve the application of a29850
public employer, except for a board of county commissioners29851
described in division (G) of section 4123.01 of the Revised Code,29852
a board of a county hospital, or publicly owned utility, who does29853
not satisfy all of the requirements listed in division (B)(2) of29854
this section.29855

       (C) A board of county commissioners described in division (G) 29856
of section 4123.01 of the Revised Code, as an employer, that will 29857
abide by the rules of the administrator and that may be of29858
sufficient financial ability to render certain the payment of29859
compensation to injured employees or the dependents of killed29860
employees, and the furnishing of medical, surgical, nursing, and29861
hospital attention and services and medicines, and funeral29862
expenses, equal to or greater than is provided for in sections29863
4123.52, 4123.55 to 4123.62, and 4123.64 to 4123.67 of the Revised29864
Code, and that does not desire to insure the payment thereof or29865
indemnify itself against loss sustained by the direct payment29866
thereof, upon a finding of such facts by the administrator, may be29867
granted the privilege to pay individually compensation, and29868
furnish medical, surgical, nursing, and hospital services and29869
attention and funeral expenses directly to injured employees or29870
the dependents of killed employees, thereby being granted status29871
as a self-insuring employer. The administrator may charge a board29872
of county commissioners described in division (G) of section29873
4123.01 of the Revised Code that applies for the status as a29874
self-insuring employer a reasonable application fee to cover the29875
bureau's costs in connection with processing and making a29876
determination with respect to an application. All employers29877
granted such status shall demonstrate sufficient financial and29878
administrative ability to assure that all obligations under this29879
section are promptly met. The administrator shall deny the29880
privilege where the employer is unable to demonstrate the29881
employer's ability to promptly meet all the obligations imposed on29882
the employer by this section. The administrator shall consider,29883
but is not limited to, the following factors, where applicable, in29884
determining the employer's ability to meet all of the obligations29885
imposed on the board as an employer by this section:29886

       (1) The board as an employer employs a minimum of five29887
hundred employees in this state;29888

       (2) The board has operated in this state for a minimum of two 29889
years;29890

       (3) Where the board previously contributed to the state29891
insurance fund or is a successor employer as defined by bureau29892
rules, the amount of the buyout, as defined by bureau rules;29893

       (4) The sufficiency of the board's assets located in this29894
state to insure the board's solvency in paying compensation29895
directly;29896

       (5) The financial records, documents, and data, certified by29897
a certified public accountant, necessary to provide the board's29898
full financial disclosure. The records, documents, and data29899
include, but are not limited to, balance sheets and profit and29900
loss history for the current year and previous four years.29901

       (6) The board's organizational plan for the administration of 29902
the workers' compensation law;29903

       (7) The board's proposed plan to inform employees of the29904
proposed self-insurance, the procedures the board will follow as a29905
self-insuring employer, and the employees' rights to compensation29906
and benefits;29907

       (8) The board has either an account in a financial29908
institution in this state, or if the board maintains an account29909
with a financial institution outside this state, ensures that29910
workers' compensation checks are drawn from the same account as29911
payroll checks or the board clearly indicates that payment will be29912
honored by a financial institution in this state;29913

       (9) The board shall provide the administrator a surety bond29914
in an amount equal to one hundred twenty-five per cent of the29915
projected losses as determined by the administrator.29916

       (D) The administrator shall require a surety bond from all29917
self-insuring employers, issued pursuant to section 4123.351 of29918
the Revised Code, that is sufficient to compel, or secure to29919
injured employees, or to the dependents of employees killed, the29920
payment of compensation and expenses, which shall in no event be29921
less than that paid or furnished out of the state insurance fund29922
in similar cases to injured employees or to dependents of killed29923
employees whose employers contribute to the fund, except when an29924
employee of the employer, who has suffered the loss of a hand,29925
arm, foot, leg, or eye prior to the injury for which compensation29926
is to be paid, and thereafter suffers the loss of any other of the29927
members as the result of any injury sustained in the course of and29928
arising out of the employee's employment, the compensation to be29929
paid by the self-insuring employer is limited to the disability 29930
suffered in the subsequent injury, additional compensation, if29931
any, to be paid by the bureau out of the surplus created by29932
section 4123.34 of the Revised Code.29933

       (E) In addition to the requirements of this section, the29934
administrator shall make and publish rules governing the manner of29935
making application and the nature and extent of the proof required29936
to justify a finding of fact by the administrator as to granting29937
the status of a self-insuring employer, which rules shall be29938
general in their application, one of which rules shall provide29939
that all self-insuring employers shall pay into the state29940
insurance fund such amounts as are required to be credited to the29941
surplus fund in division (B) of section 4123.34 of the Revised29942
Code. The administrator may adopt rules establishing requirements29943
in addition to the requirements described in division (B)(2) of29944
this section that a public employer shall meet in order to qualify29945
for self-insuring status.29946

       Employers shall secure directly from the bureau central29947
offices application forms upon which the bureau shall stamp a29948
designating number. Prior to submission of an application, an29949
employer shall make available to the bureau, and the bureau shall29950
review, the information described in division (B)(1) of this29951
section, and public employers shall make available, and the bureau29952
shall review, the information necessary to verify whether the29953
public employer meets the requirements listed in division (B)(2)29954
of this section. An employer shall file the completed application29955
forms with an application fee, which shall cover the costs of29956
processing the application, as established by the administrator,29957
by rule, with the bureau at least ninety days prior to the29958
effective date of the employer's new status as a self-insuring29959
employer. The application form is not deemed complete until all29960
the required information is attached thereto. The bureau shall29961
only accept applications that contain the required information.29962

       (F) The bureau shall review completed applications within a29963
reasonable time. If the bureau determines to grant an employer the 29964
status as a self-insuring employer, the bureau shall issue a29965
statement, containing its findings of fact, that is prepared by29966
the bureau and signed by the administrator. If the bureau29967
determines not to grant the status as a self-insuring employer,29968
the bureau shall notify the employer of the determination and29969
require the employer to continue to pay its full premium into the29970
state insurance fund. The administrator also shall adopt rules29971
establishing a minimum level of performance as a criterion for29972
granting and maintaining the status as a self-insuring employer29973
and fixing time limits beyond which failure of the self-insuring29974
employer to provide for the necessary medical examinations and29975
evaluations may not delay a decision on a claim.29976

       (G) The administrator shall adopt rules setting forth29977
procedures for auditing the program of self-insuring employers.29978
The bureau shall conduct the audit upon a random basis or whenever29979
the bureau has grounds for believing that a self-insuring employer29980
is not in full compliance with bureau rules or this chapter.29981

       The administrator shall monitor the programs conducted by29982
self-insuring employers, to ensure compliance with bureau29983
requirements and for that purpose, shall develop and issue to29984
self-insuring employers standardized forms for use by the29985
self-insuring employer in all aspects of the self-insuring29986
employers' direct compensation program and for reporting of29987
information to the bureau.29988

       The bureau shall receive and transmit to the self-insuring29989
employer all complaints concerning any self-insuring employer. In29990
the case of a complaint against a self-insuring employer, the29991
administrator shall handle the complaint through the29992
self-insurance division of the bureau. The bureau shall maintain a 29993
file by employer of all complaints received that relate to the29994
employer. The bureau shall evaluate each complaint and take29995
appropriate action.29996

       The administrator shall adopt as a rule a prohibition against29997
any self-insuring employer from harassing, dismissing, or29998
otherwise disciplining any employee making a complaint, which rule29999
shall provide for a financial penalty to be levied by the30000
administrator payable by the offending self-insuring employer.30001

       (H) For the purpose of making determinations as to whether to 30002
grant status as a self-insuring employer, the administrator may30003
subscribe to and pay for a credit reporting service that offers30004
financial and other business information about individual30005
employers. The costs in connection with the bureau's subscription30006
or individual reports from the service about an applicant may be30007
included in the application fee charged employers under this30008
section.30009

       (I) The administrator, notwithstanding other provisions of30010
this chapter, may permit a self-insuring employer to resume30011
payment of premiums to the state insurance fund with appropriate30012
credit modifications to the employer's basic premium rate as such30013
rate is determined pursuant to section 4123.29 of the Revised30014
Code.30015

       (J) On the first day of July of each year, the administrator30016
shall calculate separately each self-insuring employer's30017
assessments for the safety and hygiene fund, administrative costs30018
pursuant to section 4123.342 of the Revised Code, and for the30019
portion of the surplus fund under division (B) of section 4123.3430020
of the Revised Code that is not used for handicapped30021
reimbursement, on the basis of the paid compensation attributable30022
to the individual self-insuring employer according to the30023
following calculation:30024

       (1) The total assessment against all self-insuring employers30025
as a class for each fund and for the administrative costs for the30026
year that the assessment is being made, as determined by the30027
administrator, divided by the total amount of paid compensation30028
for the previous calendar year attributable to all amenable30029
self-insuring employers;30030

       (2) Multiply the quotient in division (J)(1) of this section30031
by the total amount of paid compensation for the previous calendar30032
year that is attributable to the individual self-insuring employer30033
for whom the assessment is being determined. Each self-insuring30034
employer shall pay the assessment that results from this30035
calculation, unless the assessment resulting from this calculation30036
falls below a minimum assessment, which minimum assessment the30037
administrator shall determine on the first day of July of each30038
year with the advice and consent of the workers' compensation30039
oversight commission, in which event, the self-insuring employer30040
shall pay the minimum assessment.30041

       In determining the total amount due for the total assessment30042
against all self-insuring employers as a class for each fund and30043
the administrative assessment, the administrator shall reduce30044
proportionately the total for each fund and assessment by the30045
amount of money in the self-insurance assessment fund as of the30046
date of the computation of the assessment.30047

       The administrator shall calculate the assessment for the30048
portion of the surplus fund under division (B) of section 4123.3430049
of the Revised Code that is used for handicapped reimbursement in30050
the same manner as set forth in divisions (J)(1) and (2) of this30051
section except that the administrator shall calculate the total30052
assessment for this portion of the surplus fund only on the basis30053
of those self-insuring employers that retain participation in the30054
handicapped reimbursement program and the individual self-insuring30055
employer's proportion of paid compensation shall be calculated30056
only for those self-insuring employers who retain participation in30057
the handicapped reimbursement program. The administrator, as the30058
administrator determines appropriate, may determine the total30059
assessment for the handicapped portion of the surplus fund in30060
accordance with sound actuarial principles.30061

       The administrator shall calculate the assessment for the30062
portion of the surplus fund under division (B) of section 4123.3430063
of the Revised Code that under division (D) of section 4121.66 of30064
the Revised Code is used for rehabilitation costs in the same30065
manner as set forth in divisions (J)(1) and (2) of this section,30066
except that the administrator shall calculate the total assessment30067
for this portion of the surplus fund only on the basis of those30068
self-insuring employers who have not made the election to make30069
payments directly under division (D) of section 4121.66 of the30070
Revised Code and an individual self-insuring employer's proportion30071
of paid compensation only for those self-insuring employers who30072
have not made that election.30073

       The administrator shall calculate the assessment for the 30074
portion of the surplus fund under division (B) of section 4123.34 30075
of the Revised Code that is used for reimbursement to a 30076
self-insuring employer under division (H) of section 4123.512 of 30077
the Revised Code in the same manner as set forth in divisions 30078
(J)(1) and (2) of this section except that the administrator shall 30079
calculate the total assessment for this portion of the surplus 30080
fund only on the basis of those self-insuring employers that 30081
retain participation in reimbursement to the self-insuring 30082
employer under division (H) of section 4123.512 of the Revised 30083
Code and the individual self-insuring employer's proportion of 30084
paid compensation shall be calculated only for those self-insuring 30085
employers who retain participation in reimbursement to the 30086
self-insuring employer under division (H) of section 4123.512 of 30087
the Revised Code.30088

       An employer who no longer is a self-insuring employer in this30089
state or who no longer is operating in this state, shall continue30090
to pay assessments for administrative costs and for the portion of30091
the surplus fund under division (B) of section 4123.34 of the30092
Revised Code that is not used for handicapped reimbursement, based30093
upon paid compensation attributable to claims that occurred while30094
the employer was a self-insuring employer within this state.30095

       (K) There is hereby created in the state treasury the30096
self-insurance assessment fund. All investment earnings of the30097
fund shall be deposited in the fund. The administrator shall use30098
the money in the self-insurance assessment fund only for30099
administrative costs as specified in section 4123.341 of the30100
Revised Code.30101

       (L) Every self-insuring employer shall certify, in affidavit30102
form subject to the penalty for perjury, to the bureau the amount30103
of the self-insuring employer's paid compensation for the previous30104
calendar year. In reporting paid compensation paid for the30105
previous year, a self-insuring employer shall exclude from the30106
total amount of paid compensation any reimbursement the30107
self-insuring employer receives in the previous calendar year from30108
the surplus fund pursuant to section 4123.512 of the Revised Code30109
for any paid compensation. The self-insuring employer also shall30110
exclude from the paid compensation reported any amount recovered30111
under section 4123.931 of the Revised Code and any amount that is30112
determined not to have been payable to or on behalf of a claimant30113
in any final administrative or judicial proceeding. The30114
self-insuring employer shall exclude such amounts from the paid30115
compensation reported in the reporting period subsequent to the30116
date the determination is made. The administrator shall adopt30117
rules, in accordance with Chapter 119. of the Revised Code, that 30118
provide for all of the following:30119

       (1) Establishing the date by which self-insuring employers 30120
must submit such information and the amount of the assessments 30121
provided for in division (J) of this section for employers who 30122
have been granted self-insuring status within the last calendar 30123
year;30124

       (2) If an employer fails to pay the assessment when due, the 30125
administrator may add a late fee penalty of not more than five 30126
hundred dollars to the assessment plus an additional penalty 30127
amount as follows:30128

       (a) For an assessment from sixty-one to ninety days past due, 30129
the prime interest rate, multiplied by the assessment due;30130

       (b) For an assessment from ninety-one to one hundred twenty 30131
days past due, the prime interest rate plus two per cent, 30132
multiplied by the assessment due;30133

       (c) For an assessment from one hundred twenty-one to one 30134
hundred fifty days past due, the prime interest rate plus four per 30135
cent, multiplied by the assessment due;30136

       (d) For an assessment from one hundred fifty-one to one 30137
hundred eighty days past due, the prime interest rate plus six per 30138
cent, multiplied by the assessment due;30139

       (e) For an assessment from one hundred eighty-one to two 30140
hundred ten days past due, the prime interest rate plus eight per 30141
cent, multiplied by the assessment due;30142

       (f) For each additional thirty-day period or portion thereof 30143
that an assessment remains past due after it has remained past due 30144
for more than two hundred ten days, the prime interest rate plus 30145
eight per cent, multiplied by the assessment due.30146

        (3) An employer may appeal a late fee penalty and penalty 30147
assessment to the administrator.30148

        For purposes of this division, "prime interest rate" means 30149
the average bank prime rate, and the administrator shall determine 30150
the prime interest rate in the same manner as a county auditor 30151
determines the average bank prime rate under section 929.02 of the 30152
Revised Code.30153

       The administrator shall include any assessment and penalties 30154
that remain unpaid for previous assessment periods in the 30155
calculation and collection of any assessments due under this 30156
division or division (J) of this section.30157

       (M) As used in this section, "paid compensation" means all30158
amounts paid by a self-insuring employer for living maintenance30159
benefits, all amounts for compensation paid pursuant to sections30160
4121.63, 4121.67, 4123.56, 4123.57, 4123.58, 4123.59, 4123.60, and30161
4123.64 of the Revised Code, all amounts paid as wages in lieu of30162
such compensation, all amounts paid in lieu of such compensation30163
under a nonoccupational accident and sickness program fully funded30164
by the self-insuring employer, and all amounts paid by a30165
self-insuring employer for a violation of a specific safety30166
standard pursuant to Section 35 of Article II, Ohio Constitution30167
and section 4121.47 of the Revised Code.30168

       (N) Should any section of this chapter or Chapter 4121. of30169
the Revised Code providing for self-insuring employers'30170
assessments based upon compensation paid be declared30171
unconstitutional by a final decision of any court, then that30172
section of the Revised Code declared unconstitutional shall revert30173
back to the section in existence prior to November 3, 1989,30174
providing for assessments based upon payroll.30175

       (O) The administrator may grant a self-insuring employer the30176
privilege to self-insure a construction project entered into by30177
the self-insuring employer that is scheduled for completion within30178
six years after the date the project begins, and the total cost of30179
which is estimated to exceed one hundred million dollars or, for30180
employers described in division (R) of this section, if the30181
construction project is estimated to exceed twenty-five million30182
dollars. The administrator may waive such cost and time criteria30183
and grant a self-insuring employer the privilege to self-insure a30184
construction project regardless of the time needed to complete the30185
construction project and provided that the cost of the30186
construction project is estimated to exceed fifty million dollars.30187
A self-insuring employer who desires to self-insure a construction30188
project shall submit to the administrator an application listing30189
the dates the construction project is scheduled to begin and end,30190
the estimated cost of the construction project, the contractors30191
and subcontractors whose employees are to be self-insured by the30192
self-insuring employer, the provisions of a safety program that is30193
specifically designed for the construction project, and a30194
statement as to whether a collective bargaining agreement30195
governing the rights, duties, and obligations of each of the30196
parties to the agreement with respect to the construction project30197
exists between the self-insuring employer and a labor30198
organization.30199

       A self-insuring employer may apply to self-insure the30200
employees of either of the following:30201

       (1) All contractors and subcontractors who perform labor or30202
work or provide materials for the construction project;30203

       (2) All contractors and, at the administrator's discretion, a 30204
substantial number of all the subcontractors who perform labor or 30205
work or provide materials for the construction project.30206

       Upon approval of the application, the administrator shall30207
mail a certificate granting the privilege to self-insure the30208
construction project to the self-insuring employer. The30209
certificate shall contain the name of the self-insuring employer30210
and the name, address, and telephone number of the self-insuring30211
employer's representatives who are responsible for administering30212
workers' compensation claims for the construction project. The30213
self-insuring employer shall post the certificate in a conspicuous30214
place at the site of the construction project.30215

       The administrator shall maintain a record of the contractors30216
and subcontractors whose employees are covered under the30217
certificate issued to the self-insured employer. A self-insuring30218
employer immediately shall notify the administrator when any30219
contractor or subcontractor is added or eliminated from inclusion30220
under the certificate.30221

       Upon approval of the application, the self-insuring employer30222
is responsible for the administration and payment of all claims30223
under this chapter and Chapter 4121. of the Revised Code for the30224
employees of the contractor and subcontractors covered under the30225
certificate who receive injuries or are killed in the course of30226
and arising out of employment on the construction project, or who30227
contract an occupational disease in the course of employment on30228
the construction project. For purposes of this chapter and Chapter 30229
4121. of the Revised Code, a claim that is administered and paid 30230
in accordance with this division is considered a claim against the 30231
self-insuring employer listed in the certificate. A contractor or 30232
subcontractor included under the certificate shall report to the 30233
self-insuring employer listed in the certificate, all claims that 30234
arise under this chapter and Chapter 4121. of the Revised Code in 30235
connection with the construction project for which the certificate 30236
is issued.30237

       A self-insuring employer who complies with this division is30238
entitled to the protections provided under this chapter and30239
Chapter 4121. of the Revised Code with respect to the employees of30240
the contractors and subcontractors covered under a certificate30241
issued under this division for death or injuries that arise out30242
of, or death, injuries, or occupational diseases that arise in the30243
course of, those employees' employment on that construction30244
project, as if the employees were employees of the self-insuring30245
employer, provided that the self-insuring employer also complies30246
with this section. No employee of the contractors and30247
subcontractors covered under a certificate issued under this30248
division shall be considered the employee of the self-insuring30249
employer listed in that certificate for any purposes other than30250
this chapter and Chapter 4121. of the Revised Code. Nothing in30251
this division gives a self-insuring employer authority to control30252
the means, manner, or method of employment of the employees of the30253
contractors and subcontractors covered under a certificate issued30254
under this division.30255

       The contractors and subcontractors included under a30256
certificate issued under this division are entitled to the30257
protections provided under this chapter and Chapter 4121. of the30258
Revised Code with respect to the contractor's or subcontractor's30259
employees who are employed on the construction project which is30260
the subject of the certificate, for death or injuries that arise30261
out of, or death, injuries, or occupational diseases that arise in30262
the course of, those employees' employment on that construction30263
project.30264

       The contractors and subcontractors included under a30265
certificate issued under this division shall identify in their30266
payroll records the employees who are considered the employees of30267
the self-insuring employer listed in that certificate for purposes30268
of this chapter and Chapter 4121. of the Revised Code, and the30269
amount that those employees earned for employment on the30270
construction project that is the subject of that certificate.30271
Notwithstanding any provision to the contrary under this chapter30272
and Chapter 4121. of the Revised Code, the administrator shall30273
exclude the payroll that is reported for employees who are30274
considered the employees of the self-insuring employer listed in30275
that certificate, and that the employees earned for employment on30276
the construction project that is the subject of that certificate,30277
when determining those contractors' or subcontractors' premiums or30278
assessments required under this chapter and Chapter 4121. of the30279
Revised Code. A self-insuring employer issued a certificate under30280
this division shall include in the amount of paid compensation it30281
reports pursuant to division (L) of this section, the amount of30282
paid compensation the self-insuring employer paid pursuant to this30283
division for the previous calendar year.30284

       Nothing in this division shall be construed as altering the30285
rights of employees under this chapter and Chapter 4121. of the30286
Revised Code as those rights existed prior to September 17, 1996.30287
Nothing in this division shall be construed as altering the rights30288
devolved under sections 2305.31 and 4123.82 of the Revised Code as30289
those rights existed prior to September 17, 1996.30290

       As used in this division, "privilege to self-insure a30291
construction project" means privilege to pay individually30292
compensation, and to furnish medical, surgical, nursing, and30293
hospital services and attention and funeral expenses directly to30294
injured employees or the dependents of killed employees.30295

       (P) A self-insuring employer whose application is granted30296
under division (O) of this section shall designate a safety30297
professional to be responsible for the administration and30298
enforcement of the safety program that is specifically designed30299
for the construction project that is the subject of the30300
application.30301

       A self-insuring employer whose application is granted under30302
division (O) of this section shall employ an ombudsperson for the30303
construction project that is the subject of the application. The30304
ombudsperson shall have experience in workers' compensation or the30305
construction industry, or both. The ombudsperson shall perform all 30306
of the following duties:30307

       (1) Communicate with and provide information to employees who 30308
are injured in the course of, or whose injury arises out of30309
employment on the construction project, or who contract an30310
occupational disease in the course of employment on the30311
construction project;30312

       (2) Investigate the status of a claim upon the request of an30313
employee to do so;30314

       (3) Provide information to claimants, third party30315
administrators, employers, and other persons to assist those30316
persons in protecting their rights under this chapter and Chapter30317
4121. of the Revised Code.30318

       A self-insuring employer whose application is granted under30319
division (O) of this section shall post the name of the safety30320
professional and the ombudsperson and instructions for contacting30321
the safety professional and the ombudsperson in a conspicuous30322
place at the site of the construction project.30323

       (Q) The administrator may consider all of the following when30324
deciding whether to grant a self-insuring employer the privilege30325
to self-insure a construction project as provided under division30326
(O) of this section:30327

       (1) Whether the self-insuring employer has an organizational30328
plan for the administration of the workers' compensation law;30329

       (2) Whether the safety program that is specifically designed30330
for the construction project provides for the safety of employees30331
employed on the construction project, is applicable to all30332
contractors and subcontractors who perform labor or work or30333
provide materials for the construction project, and has as a30334
component, a safety training program that complies with standards30335
adopted pursuant to the "Occupational Safety and Health Act of30336
1970," 84 Stat. 1590, 29 U.S.C.A. 651, and provides for continuing30337
management and employee involvement;30338

       (3) Whether granting the privilege to self-insure the30339
construction project will reduce the costs of the construction30340
project;30341

       (4) Whether the self-insuring employer has employed an30342
ombudsperson as required under division (P) of this section;30343

       (5) Whether the self-insuring employer has sufficient surety30344
to secure the payment of claims for which the self-insuring30345
employer would be responsible pursuant to the granting of the30346
privilege to self-insure a construction project under division (O)30347
of this section.30348

       (R) As used in divisions (O), (P), and (Q), "self-insuring30349
employer" includes the following employers, whether or not they30350
have been granted the status of being a self-insuring employer30351
under division (B) of this section:30352

        (1) A state institution of higher education;30353

        (2) A school district;30354

        (3) A county school financing district;30355

        (4) An educational service center;30356

        (5) A community school established under Chapter 3314. of the 30357
Revised Code.30358

        (S) As used in this section:30359

       (1) "Unvoted debt capacity" means the amount of money that a30360
public employer may borrow without voter approval of a tax levy;30361

       (2) "State institution of higher education" means the state30362
universities listed in section 3345.011 of the Revised Code,30363
community colleges created pursuant to Chapter 3354. of the30364
Revised Code, university branches created pursuant to Chapter30365
3355. of the Revised Code, technical colleges created pursuant to30366
Chapter 3357. of the Revised Code, and state community colleges30367
created pursuant to Chapter 3358. of the Revised Code.30368

       Sec. 4141.09.  (A) There is hereby created an unemployment30369
compensation fund to be administered by the state without30370
liability on the part of the state beyond the amounts paid into30371
the fund and earned by the fund. The unemployment compensation30372
fund shall consist of all contributions, payments in lieu of30373
contributions described in sections 4141.241 and 4141.242 of the30374
Revised Code, reimbursements of the federal share of extended30375
benefits described in section 4141.301 of the Revised Code,30376
collected under sections 4141.01 to 4141.46 of the Revised Code,30377
together with all interest earned upon any moneys deposited with30378
the secretary of the treasury of the United States to the credit30379
of the account of this state in the unemployment trust fund30380
established and maintained pursuant to section 904 of the "Social30381
Security Act," any property or securities acquired through the use30382
of moneys belonging to the fund, and all earnings of such property30383
or securities. The unemployment compensation fund shall be used to 30384
pay benefits and refunds as provided by such sections and for no 30385
other purpose.30386

       (B) The treasurer of state shall be the custodian of the30387
unemployment compensation fund and shall administer such fund in30388
accordance with the directions of the director of job and family30389
services. All disbursements therefrom shall be paid by the30390
treasurer of state on warrants drawn by the director. Such30391
warrants may bear the facsimile signature of the director printed30392
thereon and that of a deputy or other employee of the director30393
charged with the duty of keeping the account of the unemployment30394
compensation fund and with the preparation of warrants for the30395
payment of benefits to the persons entitled thereto. Moneys in the 30396
clearing and benefit accounts shall not be commingled with other 30397
state funds, except as provided in division (C) of this section, 30398
but shall be maintained in separate accounts on the books of the 30399
depositary bank. Such money shall be secured by the depositary 30400
bank to the same extent and in the same manner as required by 30401
sections 135.01 to 135.21 of the Revised Code; and collateral 30402
pledged for this purpose shall be kept separate and distinct from 30403
any collateral pledged to secure other funds of this state. All 30404
sums recovered for losses sustained by the unemployment 30405
compensation fund shall be deposited therein. The treasurer of 30406
state shall be liable on the treasurer's official bond for the 30407
faithful performance of the treasurer's duties in connection with 30408
the unemployment compensation fund, such liability to exist in 30409
addition to any liability upon any separate bond.30410

       (C) The treasurer of state shall maintain within the30411
unemployment compensation fund three separate accounts which shall30412
be a clearing account, an unemploymenta trust fund account, and a30413
benefit account. All moneys payable to the unemployment30414
compensation fund, upon receipt thereof by the director, shall be30415
forwarded to the treasurer of state, who shall immediately deposit30416
them in the clearing account. Refunds of contributions, or30417
payments in lieu of contributions, payable pursuant to division30418
(E) of this section may be paid from the clearing account upon30419
warrants signed by a deputy or other employee of the director30420
charged with the duty of keeping the record of the clearing30421
account and with the preparation of warrants for the payment of30422
refunds to persons entitled thereto. After clearance thereof, all30423
moneys in the clearing account shall be deposited with the30424
secretary of the treasury of the United States to the credit of30425
the account of this state in the unemployment trust fund30426
established and maintained pursuant to section 904 of the "Social30427
Security Act," in accordance with requirements of the "Federal30428
Unemployment Tax Act," 53 Stat. 183 (1939), 26 U.S.C.A. 3301,30429
3304(a)(3), any law in this state relating to the deposit,30430
administration, release, or disbursement of moneys in the30431
possession or custody of this state to the contrary30432
notwithstanding. The benefit account shall consist of all moneys30433
requisitioned from this state's account in the unemployment trust30434
fund. Federal funds, other than funds received by the director30435
under divisions (I) and (J) of this section, received for payment30436
of federal benefits may be deposited, at the director's 30437
discretion, into the benefit account. Any funds deposited into the 30438
benefit account shall be disbursed solely for payment of benefits 30439
under a federal program administered by this state. Moneys so30440
requisitioned shall be used solely for the payment of benefits and 30441
for no other purpose. Moneys in the clearing and benefit accounts 30442
may be deposited by the treasurer of state, under the direction of 30443
the director, in any bank or public depositary in which general 30444
funds of the state may be deposited, but no public deposit 30445
insurance charge or premium shall be paid out of the fund.30446

       (D) Moneys shall be requisitioned from this state's account30447
in the unemployment trust fund solely for the payment of benefits30448
and in accordance with regulations prescribed by the director. The30449
director shall requisition from the unemployment trust fund such30450
amounts, not exceeding the amount standing to this state's account30451
therein, as are deemed necessary for the payment of benefits for a30452
reasonable future period. Upon receipt thereof, the treasurer of30453
state shall deposit such moneys in the benefit account.30454
Expenditures of such money in the benefit account and refunds from30455
the clearing account shall not require specific appropriations or30456
other formal release by state officers of money in their custody.30457
Any balance of moneys requisitioned from the unemployment trust30458
fund which remains unclaimed or unpaid in the benefit account30459
after the expiration of the period for which such sums were30460
requisitioned shall either be deducted from estimates for and may30461
be utilized for the payment of benefits during succeeding periods,30462
or, in the discretion of the director, shall be redeposited with30463
the secretary of the treasury of the United States to the credit30464
of this state's account in the unemployment trust fund, as30465
provided in division (C) of this section. Unclaimed or unpaid30466
federal funds redeposited with the secretary of the treasury of30467
the United States shall be credited to the appropriate federal30468
account.30469

       (E) No claim for an adjustment or a refund on contribution,30470
payment in lieu of contributions, interest, or forfeiture alleged30471
to have been erroneously or illegally assessed or collected, or30472
alleged to have been collected without authority, and no claim for30473
an adjustment or a refund of any sum alleged to have been30474
excessive or in any manner wrongfully collected shall be allowed30475
unless an application, in writing, therefor is made within four30476
years from the date on which such payment was made. If the30477
director determines that such contribution, payment in lieu of30478
contributions, interest, or forfeiture, or any portion thereof, 30479
was erroneously collected, the director shall allow such employer 30480
to make an adjustment thereof without interest in connection with30481
subsequent contribution payments, or payments in lieu of30482
contributions, by the employer, or the director may refund said30483
amount, without interest, from the clearing account of the30484
unemployment compensation fund, except as provided in division (B)30485
of section 4141.11 of the Revised Code. For like cause and within30486
the same period, adjustment or refund may be so made on the30487
director's own initiative. An overpayment of contribution, payment 30488
in lieu of contributions, interest, or forfeiture for which an 30489
employer has not made application for refund prior to the date of 30490
sale of the employer's business shall accrue to the employer's 30491
successor in interest.30492

       An application for an adjustment or a refund, or any portion30493
thereof, that is rejected is binding upon the employer unless,30494
within thirty days after the mailing of a written notice of30495
rejection to the employer's last known address, or, in the absence30496
of mailing of such notice, within thirty days after the delivery30497
of such notice, the employer files an application for a review and30498
redetermination setting forth the reasons therefor. The director30499
shall promptly examine the application for review and30500
redetermination, and if a review is granted, the employer shall be30501
promptly notified thereof, and shall be granted an opportunity for30502
a prompt hearing.30503

       (F) If the director finds that contributions have been paid30504
to the director in error, and that such contributions should have30505
been paid to a department of another state or of the United States30506
charged with the administration of an unemployment compensation30507
law, the director may upon request by such department or upon the30508
director's own initiative transfer to such department the amount30509
of such contributions, less any benefits paid to claimants whose30510
wages were the basis for such contributions. The director may30511
request and receive from such department any contributions or30512
adjusted contributions paid in error to such department which30513
should have been paid to the director.30514

       (G) In accordance with section 303(c)(3) of the Social30515
Security Act, and section 3304(a)(17) of the Internal Revenue Code30516
of 1954 for continuing certification of Ohio unemployment30517
compensation laws for administrative grants and for tax credits,30518
any interest required to be paid on advances under Title XII of30519
the Social Security Act shall be paid in a timely manner and shall30520
not be paid, directly or indirectly, by an equivalent reduction in30521
the Ohio unemployment taxes or otherwise, by the state from30522
amounts in the unemployment compensation fund.30523

       (H) The treasurer of state, under the direction of the30524
director and in accordance with the "Cash Management Improvement30525
Act of 1990," 104 Stat. 1061, 31 U.S.C.A. 335, 6503, shall deposit30526
amounts of interest earned by the state on funds in the benefit30527
account established pursuant to division (C) of this section into30528
the department of job and family services banking fees fund, which30529
is hereby created in the state treasury for the purpose of paying30530
related banking costs incurred by the state for the period for30531
which the interest is calculated, except that if the deposited30532
interest exceeds the banking costs incurred by the state for the30533
period for which the interest is calculated, the treasurer of30534
state shall deposit the excess interest into the unemployment30535
trust fund.30536

       (I) The treasurer of state, under the direction of the30537
director, shall deposit federal funds received by the director for 30538
the payment of benefits, job search, relocation, transportation, 30539
and subsistence allowances pursuant to the "Trade Act of 1974," 8830540
Stat. 1978, 19 U.S.C.A. 2101, as amended; the "North American Free 30541
Trade Implementation Act of 1993," 107 Stat. 2057, 19 U.S.C.A. 30542
3301, as amended; and the "Trade Act of 2002," 116 Stat. 993, 19 30543
U.S.C.A. 3801, as amended, into the Trade Act benefit account, 30544
which is hereby created for the purpose of making payments 30545
specified under those acts.30546

       (J) The treasurer of state, under the direction of the30547
director, shall deposit federal funds received by the director for 30548
training and administration and for payment of benefits, job 30549
search, relocation, transportation, and subsistence allowances30550
pursuant to the "Trade Act of 1974," 88 Stat. 1978, 19 U.S.C.A. 30551
2101, as amended; the "North American Free Trade Agreement30552
Implementation Act," 107 Stat. 2057 (1993), 19 U.S.C.A. 3301, as 30553
amended; and the "Trade Act of 2002," 116 Stat. 993, 19 U.S.C.A. 30554
3801, as amended, into the Trade Act training and administration 30555
account, which is hereby created for the purpose of making 30556
payments specified under those acts. The treasurer of state, under 30557
the direction of the director, may transfer funds from the Trade 30558
Act training and administration account to the benefit account for 30559
the purpose of making any payments directly to claimants for 30560
benefits, job search, relocation, transportation, and subsistence 30561
allowances, as specified by those acts.30562

       Sec. 4301.43.  (A) As used in sections 4301.43 to 4301.50 of30563
the Revised Code:30564

       (1) "Gallon" or "wine gallon" means one hundred twenty-eight30565
fluid ounces.30566

       (2) "Sale" or "sell" includes exchange, barter, gift,30567
distribution, and, except with respect to A-4 permit holders,30568
offer for sale.30569

       (B) For the purposes of providing revenues for the support of 30570
the state and encouraging the grape industries in the state, a tax 30571
is hereby levied on the sale or distribution of wine in Ohio,30572
except for known sacramental purposes, at the rate of thirty cents30573
per wine gallon for wine containing not less than four per cent of30574
alcohol by volume and not more than fourteen per cent of alcohol30575
by volume, ninety-eight cents per wine gallon for wine containing30576
more than fourteen per cent but not more than twenty-one per cent30577
of alcohol by volume, one dollar and eight cents per wine gallon30578
for vermouth, and one dollar and forty-eight cents per wine gallon30579
for sparkling and carbonated wine and champagne, the tax to be30580
paid by the holders of A-2 and B-5 permits or by any other person30581
selling or distributing wine upon which no tax has been paid. From30582
the tax paid under this section on wine, vermouth, and sparkling30583
and carbonated wine and champagne, the treasurer of state shall30584
credit to the Ohio grape industries fund created under section30585
924.54 of the Revised Code a sum equal to one cent per gallon for30586
each gallon upon which the tax is paid.30587

       (C) For the purpose of providing revenues for the support of30588
the state, there is hereby levied a tax on prepared and bottled30589
highballs, cocktails, cordials, and other mixed beverages at the30590
rate of one dollar and twenty cents per wine gallon to be paid by30591
holders of A-4 permits or by any other person selling or30592
distributing those products upon which no tax has been paid. Only30593
one sale of the same article shall be used in computing the amount30594
of tax due. The tax on mixed beverages to be paid by holders of30595
A-4 permits under this section shall not attach until the30596
ownership of the mixed beverage is transferred for valuable30597
consideration to a wholesaler or retailer, and no payment of the30598
tax shall be required prior to that time.30599

       (D) During the period of July 1, 20052007, through June 30, 30600
20072009, from the tax paid under this section on wine, vermouth, 30601
and sparkling and carbonated wine and champagne, the treasurer of30602
state shall credit to the Ohio grape industries fund created under30603
section 924.54 of the Revised Code a sum equal to two cents per30604
gallon upon which the tax is paid. The amount credited under this30605
division is in addition to the amount credited to the Ohio grape30606
industries fund under division (B) of this section.30607

       (E) For the purpose of providing revenues for the support of30608
the state, there is hereby levied a tax on cider at the rate of30609
twenty-four cents per wine gallon to be paid by the holders of A-230610
and B-5 permits or by any other person selling or distributing30611
cider upon which no tax has been paid. Only one sale of the same30612
article shall be used in computing the amount of the tax due.30613

       Sec. 4503.06.  (A) The owner of each manufactured or mobile30614
home that has acquired situs in this state shall pay either a real30615
property tax pursuant to Title LVII of the Revised Code or a30616
manufactured home tax pursuant to division (C) of this section.30617

       (B) The owner of a manufactured or mobile home shall pay real 30618
property taxes if either of the following applies:30619

       (1) The manufactured or mobile home acquired situs in the30620
state or ownership in the home was transferred on or after January30621
1, 2000, and all of the following apply:30622

       (a) The home is affixed to a permanent foundation as defined30623
in division (C)(5) of section 3781.06 of the Revised Code.30624

       (b) The home is located on land that is owned by the owner of 30625
the home.30626

       (c) The certificate of title has been inactivated by the30627
clerk of the court of common pleas that issued it, pursuant to30628
division (H) of section 4505.11 of the Revised Code.30629

       (2) The manufactured or mobile home acquired situs in the30630
state or ownership in the home was transferred before January 1,30631
2000, and all of the following apply:30632

       (a) The home is affixed to a permanent foundation as defined30633
in division (C)(5) of section 3781.06 of the Revised Code.30634

       (b) The home is located on land that is owned by the owner of 30635
the home.30636

       (c) The owner of the home has elected to have the home taxed30637
as real property and, pursuant to section 4505.11 of the Revised30638
Code, has surrendered the certificate of title to the auditor of30639
the county containing the taxing district in which the home has30640
its situs, together with proof that all taxes have been paid.30641

       (d) The county auditor has placed the home on the real30642
property tax list and delivered the certificate of title to the30643
clerk of the court of common pleas that issued it and the clerk30644
has inactivated the certificate.30645

       (C)(1) Any mobile or manufactured home that is not taxed as30646
real property as provided in division (B) of this section is30647
subject to an annual manufactured home tax, payable by the owner,30648
for locating the home in this state. The tax as levied in this30649
section is for the purpose of supplementing the general revenue30650
funds of the local subdivisions in which the home has its situs30651
pursuant to this section.30652

       (2) The year for which the manufactured home tax is levied30653
commences on the first day of January and ends on the following30654
thirty-first day of December. The state shall have the first lien30655
on any manufactured or mobile home on the list for the amount of30656
taxes, penalties, and interest charged against the owner of the30657
home under this section. The lien of the state for the tax for a30658
year shall attach on the first day of January to a home that has30659
acquired situs on that date. The lien for a home that has not30660
acquired situs on the first day of January, but that acquires30661
situs during the year, shall attach on the next first day of30662
January. The lien shall continue until the tax, including any30663
penalty or interest, is paid.30664

       (3)(a) The situs of a manufactured or mobile home located in30665
this state on the first day of January is the local taxing30666
district in which the home is located on that date.30667

       (b) The situs of a manufactured or mobile home not located in30668
this state on the first day of January, but located in this state30669
subsequent to that date, is the local taxing district in which the 30670
home is located thirty days after it is acquired or first enters 30671
this state.30672

       (4) The tax is collected by and paid to the county treasurer30673
of the county containing the taxing district in which the home has30674
its situs.30675

       (D) The manufactured home tax shall be computed and assessed30676
by the county auditor of the county containing the taxing district30677
in which the home has its situs as follows:30678

       (1) On a home that acquired situs in this state prior to30679
January 1, 2000:30680

       (a) By multiplying the assessable value of the home by the30681
tax rate of the taxing district in which the home has its situs,30682
and deducting from the product thus obtained any reduction30683
authorized under section 4503.065 of the Revised Code. The tax30684
levied under this formula shall not be less than thirty-six30685
dollars, unless the home qualifies for a reduction in assessable30686
value under section 4503.065 of the Revised Code, in which case30687
there shall be no minimum tax and the tax shall be the amount30688
calculated under this division.30689

       (b) The assessable value of the home shall be forty per cent30690
of the amount arrived at by the following computation:30691

       (i) If the cost to the owner, or market value at time of30692
purchase, whichever is greater, of the home includes the30693
furnishings and equipment, such cost or market value shall be30694
multiplied according to the following schedule:30695

For the first calendar year 30696
in which the 30697
home is owned by the 30698
current owner x 80% 30699
2nd calendar year x 75% 30700
3rd " x 70% 30701
4th " x 65% 30702
5th " x 60% 30703
6th " x 55% 30704
7th " x 50% 30705
8th " x 45% 30706
9th " x 40% 30707
10th and each year thereafter x 35% 30708

       The first calendar year means any period between the first30709
day of January and the thirty-first day of December of the first30710
year.30711

       (ii) If the cost to the owner, or market value at the time of 30712
purchase, whichever is greater, of the home does not include the 30713
furnishings and equipment, such cost or market value shall be30714
multiplied according to the following schedule:30715

For the first calendar year 30716
in which the 30717
home is owned by the 30718
current owner x 95% 30719
2nd calendar year x 90% 30720
3rd " x 85% 30721
4th " x 80% 30722
5th " x 75% 30723
6th " x 70% 30724
7th " x 65% 30725
8th " x 60% 30726
9th " x 55% 30727
10th and each year thereafter x 50% 30728

       The first calendar year means any period between the first30729
day of January and the thirty-first day of December of the first30730
year.30731

       (2) On a home in which ownership was transferred or that30732
first acquired situs in this state on or after January 1, 2000:30733

       (a) By multiplying the assessable value of the home by the30734
effective tax rate, as defined in section 323.08 of the Revised30735
Code, for residential real property of the taxing district in30736
which the home has its situs, and deducting from the product thus30737
obtained the reductions required or authorized under section30738
319.302, division (B) of section 323.152, or section 4503.065 of30739
the Revised Code.30740

       (b) The assessable value of the home shall be thirty-five per 30741
cent of its true value as determined under division (L) of this 30742
section.30743

       (3) On or before the fifteenth day of January each year, the 30744
county auditor shall record the assessable value and the amount of30745
tax on the manufactured or mobile home on the tax list and deliver30746
a duplicate of the list to the county treasurer. In the case of an 30747
emergency as defined in section 323.17 of the Revised Code, the30748
tax commissioner, by journal entry, may extend the times for30749
delivery of the duplicate for an additional fifteen days upon30750
receiving a written application from the county auditor regarding30751
an extension for the delivery of the duplicate, or from the county30752
treasurer regarding an extension of the time for the billing and30753
collection of taxes. The application shall contain a statement30754
describing the emergency that will cause the unavoidable delay and30755
must be received by the tax commissioner on or before the last day30756
of the month preceding the day delivery of the duplicate is30757
otherwise required. When an extension is granted for delivery of30758
the duplicate, the time period for payment of taxes shall be30759
extended for a like period of time. When a delay in the closing of 30760
a tax collection period becomes unavoidable, the tax commissioner, 30761
upon application by the county auditor and county treasurer, may 30762
order the time for payment of taxes to be extended if the tax 30763
commissioner determines that penalties have accrued or would 30764
otherwise accrue for reasons beyond the control of the taxpayers 30765
of the county. The order shall prescribe the final extended date 30766
for payment of taxes for that collection period.30767

       (4) After January 1, 1999, the owner of a manufactured or30768
mobile home taxed pursuant to division (D)(1) of this section may30769
elect to have the home taxed pursuant to division (D)(2) of this30770
section by filing a written request with the county auditor of the30771
taxing district in which the home is located on or before the30772
first day of December of any year. Upon the filing of the request, 30773
the county auditor shall determine whether all taxes levied under 30774
division (D)(1) of this section have been paid, and if those taxes 30775
have been paid, the county auditor shall tax the manufactured or30776
mobile home pursuant to division (D)(2) of this section commencing 30777
in the next tax year.30778

       (5) A manufactured or mobile home that acquired situs in this 30779
state prior to January 1, 2000, shall be taxed pursuant to30780
division (D)(2) of this section if no manufactured home tax had30781
been paid for the home and the home was not exempted from taxation30782
pursuant to division (E) of this section for the year for which30783
the taxes were not paid.30784

       (6)(a) Immediately upon receipt of any manufactured home tax30785
duplicate from the county auditor, but not less than twenty days30786
prior to the last date on which the first one-half taxes may be30787
paid without penalty as prescribed in division (F) of this30788
section, the county treasurer shall cause to be prepared and30789
mailed or delivered to each person charged on that duplicate with30790
taxes, or to an agent designated by such person, the tax bill30791
prescribed by the tax commissioner under division (D)(7) of this30792
section. When taxes are paid by installments, the county30793
treasurer shall mail or deliver to each person charged on such30794
duplicate or the agent designated by that person a second tax bill30795
showing the amount due at the time of the second tax collection.30796
The second half tax bill shall be mailed or delivered at least30797
twenty days prior to the close of the second half tax collection30798
period. A change in the mailing address of any tax bill shall be30799
made in writing to the county treasurer. Failure to receive a bill 30800
required by this section does not excuse failure or delay to pay 30801
any taxes shown on the bill or, except as provided in division30802
(B)(1) of section 5715.39 of the Revised Code, avoid any penalty,30803
interest, or charge for such delay.30804

       (b) After delivery of the copy of the delinquent manufactured30805
home tax list under division (H) of this section, the county30806
treasurer may prepare and mail to each person in whose name a home 30807
is listed an additional tax bill showing the total amount of 30808
delinquent taxes charged against the home as shown on the list.30809
The tax bill shall include a notice that the interest charge30810
prescribed by division (G) of this section has begun to accrue.30811

       (7) Each tax bill prepared and mailed or delivered under30812
division (D)(6) of this section shall be in the form and contain30813
the information required by the tax commissioner. The commissioner 30814
may prescribe different forms for each county and may authorize 30815
the county auditor to make up tax bills and tax receipts to be 30816
used by the county treasurer. The tax bill shall not contain or 30817
be mailed or delivered with any information or material that is 30818
not required by this section or that is not authorized by section 30819
321.45 of the Revised Code or by the tax commissioner. In addition 30820
to the information required by the commissioner, each tax bill 30821
shall contain the following information:30822

       (a) The taxes levied and the taxes charged and payable30823
against the manufactured or mobile home;30824

       (b) The following notice: "Notice: If the taxes are not paid 30825
within sixty days after the county auditor delivers the delinquent 30826
manufactured home tax list to the county treasurer, you and your 30827
home may be subject to collection proceedings for tax30828
delinquency." Failure to provide such notice has no effect upon30829
the validity of any tax judgment to which a home may be subjected.30830

       (c) In the case of manufactured or mobile homes taxed under30831
division (D)(2) of this section, the following additional30832
information:30833

       (i) The effective tax rate. The words "effective tax rate"30834
shall appear in boldface type.30835

       (ii) The following notice: "Notice: If the taxes charged30836
against this home have been reduced by the 2-1/2 per cent tax30837
reduction for residences occupied by the owner but the home is not30838
a residence occupied by the owner, the owner must notify the30839
county auditor's office not later than March 31 of the year for30840
which the taxes are due. Failure to do so may result in the owner30841
being convicted of a fourth degree misdemeanor, which is30842
punishable by imprisonment up to 30 days, a fine up to $250, or30843
both, and in the owner having to repay the amount by which the30844
taxes were erroneously or illegally reduced, plus any interest30845
that may apply.30846

       If the taxes charged against this home have not been reduced30847
by the 2-1/2 per cent tax reduction and the home is a residence30848
occupied by the owner, the home may qualify for the tax reduction. 30849
To obtain an application for the tax reduction or further30850
information, the owner may contact the county auditor's office at30851
.......... (insert the address and telephone number of the county30852
auditor's office)."30853

       (E)(1) A manufactured or mobile home is not subject to this30854
section when any of the following applies:30855

       (a) It is taxable as personal property pursuant to section30856
5709.01 of the Revised Code. Any manufactured or mobile home that30857
is used as a residence shall be subject to this section and shall30858
not be taxable as personal property pursuant to section 5709.01 of30859
the Revised Code.30860

       (b) It bears a license plate issued by any state other than30861
this state unless the home is in this state in excess of an30862
accumulative period of thirty days in any calendar year.30863

       (c) The annual tax has been paid on the home in this state30864
for the current year.30865

       (d) The tax commissioner has determined, pursuant to section30866
5715.27 of the Revised Code, that the property is exempt from30867
taxation, or would be exempt from taxation under Chapter 5709. of30868
the Revised Code if it were classified as real property.30869

       (2) A travel trailer or park trailer, as these terms are30870
defined in section 4501.01 of the Revised Code, is not subject to30871
this section if it is unused or unoccupied and stored at the30872
owner's normal place of residence or at a recognized storage30873
facility.30874

       (3) A travel trailer or park trailer, as these terms are30875
defined in section 4501.01 of the Revised Code, is subject to this30876
section and shall be taxed as a manufactured or mobile home if it30877
has a situs longer than thirty days in one location and is30878
connected to existing utilities, unless either of the following30879
applies:30880

       (a) The situs is in a state facility or a camping or park30881
area as defined in division (C), (Q), (S), or (V) of section 30882
3729.01 of the Revised Code.30883

       (b) The situs is in a camping or park area that is a tract of 30884
land that has been limited to recreational use by deed or zoning 30885
restrictions and subdivided for sale of five or more individual 30886
lots for the express or implied purpose of occupancy by either 30887
self-contained recreational vehicles as defined in division (T) of 30888
section 3729.01 of the Revised Code or by dependent recreational 30889
vehicles as defined in division (D) of section 3729.01 of the 30890
Revised Code.30891

       (F) Except as provided in division (D)(3) of this section,30892
the manufactured home tax is due and payable as follows:30893

       (1) When a manufactured or mobile home has a situs in this30894
state, as provided in this section, on the first day of January,30895
one-half of the amount of the tax is due and payable on or before30896
the first day of March and the balance is due and payable on or30897
before the thirty-first day of July. At the option of the owner of 30898
the home, the tax for the entire year may be paid in full on the 30899
first day of March.30900

       (2) When a manufactured or mobile home first acquires a situs30901
in this state after the first day of January, no tax is due and 30902
payable for that year.30903

       (G)(1)(a) Except as otherwise provided in division (G)(1)(b) 30904
of this section, if one-half of the current taxes charged under 30905
this section against a manufactured or mobile home, together with 30906
the full amount of any delinquent taxes, are not paid on or before 30907
the first day of March in that year, or on or before the last day 30908
for such payment as extended pursuant to section 4503.063 of the 30909
Revised Code, a penalty of ten per cent shall be charged against 30910
the unpaid balance of such half of the current taxes. If the total 30911
amount of all such taxes is not paid on or before the thirty-first 30912
day of July, next thereafter, or on or before the last day for 30913
payment as extended pursuant to section 4503.063 of the Revised 30914
Code, a like penalty shall be charged on the balance of the total 30915
amount of the unpaid current taxes.30916

       (b) After a valid delinquent tax contract that includes30917
unpaid current taxes from a first-half collection period described30918
in division (F) of this section has been entered into under30919
section 323.31 of the Revised Code, no ten per cent penalty shall30920
be charged against such taxes after the second-half collection30921
period while the delinquent tax contract remains in effect. On the 30922
day a delinquent tax contract becomes void, the ten per cent 30923
penalty shall be charged against such taxes and shall equal the 30924
amount of penalty that would have been charged against unpaid 30925
current taxes outstanding on the date on which the second-half 30926
penalty would have been charged thereon under division (G)(1)(a) 30927
of this section if the contract had not been in effect.30928

       (2)(a) On the first day of the month following the last day30929
the second installment of taxes may be paid without penalty30930
beginning in 2000, interest shall be charged against and computed30931
on all delinquent taxes other than the current taxes that became30932
delinquent taxes at the close of the last day such second30933
installment could be paid without penalty. The charge shall be for 30934
interest that accrued during the period that began on the30935
preceding first day of December and ended on the last day of the30936
month that included the last date such second installment could be30937
paid without penalty. The interest shall be computed at the rate30938
per annum prescribed by section 5703.47 of the Revised Code and30939
shall be entered as a separate item on the delinquent manufactured30940
home tax list compiled under division (H) of this section.30941

       (b) On the first day of December beginning in 2000, the30942
interest shall be charged against and computed on all delinquent30943
taxes. The charge shall be for interest that accrued during the30944
period that began on the first day of the month following the last30945
date prescribed for the payment of the second installment of taxes30946
in the current year and ended on the immediately preceding last30947
day of November. The interest shall be computed at the rate per30948
annum prescribed by section 5703.47 of the Revised Code and shall30949
be entered as a separate item on the delinquent manufactured home30950
tax list.30951

       (c) After a valid undertaking has been entered into for the30952
payment of any delinquent taxes, no interest shall be charged30953
against such delinquent taxes while the undertaking remains in30954
effect in compliance with section 323.31 of the Revised Code. If a 30955
valid undertaking becomes void, interest shall be charged against 30956
the delinquent taxes for the periods that interest was not30957
permitted to be charged while the undertaking was in effect. The30958
interest shall be charged on the day the undertaking becomes void30959
and shall equal the amount of interest that would have been30960
charged against the unpaid delinquent taxes outstanding on the30961
dates on which interest would have been charged thereon under30962
divisions (G)(1) and (2) of this section had the undertaking not30963
been in effect.30964

       (3) If the full amount of the taxes due at either of the30965
times prescribed by division (F) of this section is paid within30966
ten days after such time, the county treasurer shall waive the30967
collection of and the county auditor shall remit one-half of the30968
penalty provided for in this division for failure to make that30969
payment by the prescribed time.30970

       (4) The treasurer shall compile and deliver to the county30971
auditor a list of all tax payments the treasurer has received as30972
provided in division (G)(3) of this section. The list shall30973
include any information required by the auditor for the remission30974
of the penalties waived by the treasurer. The taxes so collected30975
shall be included in the settlement next succeeding the settlement30976
then in process.30977

       (H)(1) Beginning in 2000, the county auditor shall compile30978
annually a "delinquent manufactured home tax list" consisting of30979
homes the county treasurer's records indicate have taxes that were30980
not paid within the time prescribed by divisions (D)(3) and (F) of30981
this section, have taxes that remain unpaid from prior years, or30982
have unpaid tax penalties or interest that have been assessed.30983

       (2) Within thirty days after the settlement under division30984
(H)(2) of section 321.24 of the Revised Code beginning in 2000,30985
the county auditor shall deliver a copy of the delinquent30986
manufactured home tax list to the county treasurer. The auditor30987
shall update and publish the delinquent manufactured home tax list30988
annually in the same manner as delinquent real property tax lists30989
are published. The county auditor shall apportion the cost of30990
publishing the list among taxing districts in proportion to the30991
amount of delinquent manufactured home taxes so published that30992
each taxing district is entitled to receive upon collection of30993
those taxes.30994

       (3) When taxes, penalties, or interest are charged against a30995
person on the delinquent manufactured home tax list and are not 30996
paid within sixty days after the list is delivered to the county 30997
treasurer, the county treasurer shall, in addition to any other 30998
remedy provided by law for the collection of taxes, penalties, and 30999
interest, enforce collection of such taxes, penalties, and 31000
interest by civil action in the name of the treasurer against the 31001
owner for the recovery of the unpaid taxes following the 31002
procedures for the recovery of delinquent real property taxes in 31003
sections 323.25 to 323.28 of the Revised Code. The action may be 31004
brought in municipal or county court, provided the amount charged 31005
does not exceed the monetary limitations for original jurisdiction 31006
for civil actions in those courts.31007

       It is sufficient, having made proper parties to the suit, for31008
the county treasurer to allege in the treasurer's bill of31009
particulars or petition that the taxes stand chargeable on the 31010
books of the county treasurer against such person, that they are 31011
due and unpaid, and that such person is indebted in the amount of 31012
taxes appearing to be due the county. The treasurer need not set 31013
forth any other matter relating thereto. If it is found on the 31014
trial of the action that the person is indebted to the state, 31015
judgment shall be rendered in favor of the county treasurer 31016
prosecuting the action. The judgment debtor is not entitled to the 31017
benefit of any law for stay of execution or exemption of property 31018
from levy or sale on execution in the enforcement of the judgment.31019

       Upon the filing of an entry of confirmation of sale or an31020
order of forfeiture in a proceeding brought under this division,31021
title to the manufactured or mobile home shall be in the31022
purchaser. The clerk of courts shall issue a certificate of title31023
to the purchaser upon presentation of proof of filing of the entry31024
of confirmation or order and, in the case of a forfeiture,31025
presentation of the county auditor's certificate of sale.31026

       (I) The total amount of taxes collected shall be distributed31027
in the following manner: four per cent shall be allowed as31028
compensation to the county auditor for the county auditor's31029
service in assessing the taxes; two per cent shall be allowed as31030
compensation to the county treasurer for the services the county31031
treasurer renders as a result of the tax levied by this section.31032
Such amounts shall be paid into the county treasury, to the credit31033
of the county general revenue fund, on the warrant of the county31034
auditor. Fees to be paid to the credit of the real estate31035
assessment fund shall be collected pursuant to division (B)(C) of31036
section 319.54 of the Revised Code and paid into the county31037
treasury, on the warrant of the county auditor. The balance of the 31038
taxes collected shall be distributed among the taxing subdivisions 31039
of the county in which the taxes are collected and paid in the 31040
same ratio as those taxes were collected for the benefit of the 31041
taxing subdivision. The taxes levied and revenues collected under 31042
this section shall be in lieu of any general property tax and any 31043
tax levied with respect to the privilege of using or occupying a 31044
manufactured or mobile home in this state except as provided in31045
sections 4503.04 and 5741.02 of the Revised Code.31046

       (J) An agreement to purchase or a bill of sale for a31047
manufactured home shall show whether or not the furnishings and31048
equipment are included in the purchase price.31049

       (K) If the county treasurer and the county prosecuting31050
attorney agree that an item charged on the delinquent manufactured31051
home tax list is uncollectible, they shall certify that31052
determination and the reasons to the county board of revision. If31053
the board determines the amount is uncollectible, it shall certify31054
its determination to the county auditor, who shall strike the item31055
from the list.31056

       (L)(1) The county auditor shall appraise at its true value31057
any manufactured or mobile home in which ownership is transferred31058
or which first acquires situs in this state on or after January 1,31059
2000, and any manufactured or mobile home the owner of which has31060
elected, under division (D)(4) of this section, to have the home31061
taxed under division (D)(2) of this section. The true value shall31062
include the value of the home, any additions, and any fixtures,31063
but not any furnishings in the home. In determining the true value 31064
of a manufactured or mobile home, the auditor shall consider all31065
facts and circumstances relating to the value of the home,31066
including its age, its capacity to function as a residence, any31067
obsolete characteristics, and other factors that may tend to prove31068
its true value.31069

       (2)(a) If a manufactured or mobile home has been the subject31070
of an arm's length sale between a willing seller and a willing31071
buyer within a reasonable length of time prior to the31072
determination of true value, the county auditor shall consider the 31073
sale price of the home to be the true value for taxation purposes.31074

       (b) The sale price in an arm's length transaction between a31075
willing seller and a willing buyer shall not be considered the31076
true value of the home if either of the following occurred after31077
the sale:31078

       (i) The home has lost value due to a casualty.31079

       (ii) An addition or fixture has been added to the home.31080

       (3) The county auditor shall have each home viewed and 31081
appraised at least once in each six-year period in the same year 31082
in which real property in the county is appraised pursuant to 31083
Chapter 5713. of the Revised Code, and shall update the appraised 31084
values in the third calendar year following the appraisal. The 31085
person viewing or appraising a home may enter the home to 31086
determine by actual view any additions or fixtures that have been 31087
added since the last appraisal. In conducting the appraisals and 31088
establishing the true value, the auditor shall follow the 31089
procedures set forth for appraising real property in sections 31090
5713.01 and 5713.03 of the Revised Code.31091

       (4) The county auditor shall place the true value of each 31092
home on the manufactured home tax list upon completion of an31093
appraisal.31094

       (5)(a) If the county auditor changes the true value of a31095
home, the auditor shall notify the owner of the home in writing,31096
delivered by mail or in person. The notice shall be given at least 31097
thirty days prior to the issuance of any tax bill that reflects 31098
the change. Failure to receive the notice does not invalidate any31099
proceeding under this section.31100

       (b) Any owner of a home or any other person or party listed31101
in division (A)(1) of section 5715.19 of the Revised Code may file31102
a complaint against the true value of the home as appraised under31103
this section. The complaint shall be filed with the county auditor 31104
on or before the thirty-first day of March of the current tax year31105
or the date of closing of the collection for the first half of 31106
manufactured home taxes for the current tax year, whichever is 31107
later. The auditor shall present to the county board of revision 31108
all complaints filed with the auditor under this section. The 31109
board shall hear and investigate the complaint and may take action 31110
on it as provided under sections 5715.11 to 5715.19 of the Revised 31111
Code.31112

       (c) If the county board of revision determines, pursuant to a31113
complaint against the valuation of a manufactured or mobile home31114
filed under this section, that the amount of taxes, assessments,31115
or other charges paid was in excess of the amount due based on the31116
valuation as finally determined, then the overpayment shall be31117
refunded in the manner prescribed in section 5715.22 of the31118
Revised Code.31119

       (d) Payment of all or part of a tax under this section for31120
any year for which a complaint is pending before the county board31121
of revision does not abate the complaint or in any way affect the31122
hearing and determination thereof.31123

       (M) If the county auditor determines that any tax or other 31124
charge or any part thereof has been erroneously charged as a 31125
result of a clerical error as defined in section 319.35 of the 31126
Revised Code, the county auditor shall call the attention of the 31127
county board of revision to the erroneous charges. If the board 31128
finds that the taxes or other charges have been erroneously 31129
charged or collected, it shall certify the finding to the auditor. 31130
Upon receipt of the certification, the auditor shall remove the 31131
erroneous charges on the manufactured home tax list or delinquent 31132
manufactured home tax list in the same manner as is prescribed in 31133
section 319.35 of the Revised Code for erroneous charges against 31134
real property, and refund any erroneous charges that have been 31135
collected, with interest, in the same manner as is prescribed in 31136
section 319.36 of the Revised Code for erroneous charges against 31137
real property.31138

       (N) As used in this section and section 4503.061 of the31139
Revised Code:31140

       (1) "Manufactured home taxes" includes taxes, penalties, and31141
interest charged under division (C) or (G) of this section and any31142
penalties charged under division (G) or (H)(5) of section 4503.06131143
of the Revised Code.31144

       (2) "Current taxes" means all manufactured home taxes charged31145
against a manufactured or mobile home that have not appeared on 31146
the manufactured home tax list for any prior year. Current taxes 31147
become delinquent taxes if they remain unpaid after the last day31148
prescribed for payment of the second installment of current taxes31149
without penalty, whether or not they have been certified31150
delinquent.31151

       (3) "Delinquent taxes" means:31152

       (a) Any manufactured home taxes that were charged against a31153
manufactured or mobile home for a prior year, including any31154
penalties or interest charged for a prior year, and that remain31155
unpaid;31156

       (b) Any current manufactured home taxes charged against a31157
manufactured or mobile home that remain unpaid after the last day31158
prescribed for payment of the second installment of current taxes31159
without penalty, whether or not they have been certified31160
delinquent, including any penalties or interest.31161

       Sec. 4503.061.  (A) All manufactured and mobile homes shall31162
be listed on either the real property tax list or the manufactured31163
home tax list of the county in which the home has situs. Each31164
owner shall follow the procedures in this section to identify the31165
home to the county auditor of the county containing the taxing31166
district in which the home has situs so that the auditor may place31167
the home on the appropriate tax list.31168

       (B) When a manufactured or mobile home first acquires situs31169
in this state and is subject to real property taxation pursuant to31170
division (B)(1) or (2) of section 4503.06 of the Revised Code, the31171
owner shall present to the auditor of the county containing the31172
taxing district in which the home has its situs the certificate of31173
title for the home, together with proof that all taxes due have31174
been paid and proof that a relocation notice was obtained for the31175
home if required under this section. Upon receiving the31176
certificate of title and the required proofs, the auditor shall31177
place the home on the real property tax list and proceed to treat31178
the home as other properties on that list. After the auditor has31179
placed the home on the tax list of real and public utility31180
property, the auditor shall deliver the certificate of title to31181
the clerk of the court of common pleas that issued it pursuant to31182
section 4505.11 of the Revised Code, and the clerk shall31183
inactivate the certificate of title.31184

       (C)(1) When a manufactured or mobile home subject to a31185
manufactured home tax is relocated to or first acquires situs in31186
any county that has adopted a permanent manufactured home31187
registration system, as provided in division (F) of this section,31188
the owner, within thirty days after the home is relocated or first31189
acquires situs under section 4503.06 of the Revised Code, shall31190
register the home with the county auditor of the county containing31191
the taxing district in which the home has its situs. For the first 31192
registration in each county of situs, the owner or vendee in31193
possession shall present to the county auditor an Ohio certificate31194
of title, certified copy of the certificate of title, or31195
memorandum certificate of title as such are required by law, and31196
proof, as required by the county auditor, that the home, if it has31197
previously been occupied and is being relocated, has been31198
previously registered, that all taxes due and required to be paid31199
under division (H)(1) of this section before a relocation notice31200
may be issued have been paid, and that a relocation notice was31201
obtained for the home if required by division (H) of this section. 31202
If the owner or vendee does not possess the Ohio certificate of31203
title, certified copy of the certificate of title, or memorandum31204
certificate of title at the time the owner or vendee first31205
registers the home in a county, the county auditor shall register31206
the home without presentation of the document, but the owner or31207
vendee shall present the certificate of title, certified copy of31208
the certificate of title, or memorandum certificate of title to31209
the county auditor within fourteen days after the owner or vendee31210
obtains possession of the document.31211

       (2) When a manufactured or mobile home is registered for the31212
first time in a county and when the total tax due has been paid as31213
required by division (F) of section 4503.06 of the Revised Code or31214
divisions (E) and (H) of this section, the county treasurer shall31215
note by writing or by a stamp on the certificate of title,31216
certified copy of certificate of title, or memorandum certificate31217
of title that the home has been registered and that the taxes due,31218
if any, have been paid for the preceding five years and for the31219
current year. The treasurer shall then issue a certificate31220
evidencing registration and a decal to be displayed on the street31221
side of the home. The certificate is valid in any county in this31222
state during the year for which it is issued.31223

       (3) For each year thereafter, the county treasurer shall31224
issue a tax bill stating the amount of tax due under section31225
4503.06 of the Revised Code, as provided in division (D)(6) of31226
that section. When the total tax due has been paid as required by31227
division (F) of that section, the county treasurer shall issue a 31228
certificate evidencing registration that shall be valid in any 31229
county in this state during the year for which the certificate is 31230
issued.31231

       (4) The permanent decal issued under this division is valid31232
during the period of ownership, except that when a manufactured31233
home is relocated in another county the owner shall apply for a31234
new registration as required by this section and section 4503.0631235
of the Revised Code.31236

       (D)(1) All owners of manufactured or mobile homes subject to31237
the manufactured home tax being relocated to or having situs in a31238
county that has not adopted a permanent registration system, as31239
provided in division (F) of this section, shall register the home31240
within thirty days after the home is relocated or first acquires31241
situs under section 4503.06 of the Revised Code and thereafter31242
shall annually register the home with the county auditor of the31243
county containing the taxing district in which the home has its31244
situs.31245

       (2) Upon the annual registration, the county treasurer shall 31246
issue a tax bill stating the amount of annual manufactured home 31247
tax due under section 4503.06 of the Revised Code, as provided in 31248
division (D)(6) of that section. When a manufactured or mobile 31249
home is registered and when the tax for the current one-half year 31250
has been paid as required by division (F) of that section, the 31251
county treasurer shall issue a certificate evidencing registration 31252
and a decal. The certificate and decal are valid in any county in 31253
this state during the year for which they are issued. The decal 31254
shall be displayed on the street side of the home.31255

       (3) For the first annual registration in each county of31256
situs, the county auditor shall require the owner or vendee to31257
present an Ohio certificate of title, certified copy of the31258
certificate of title, or memorandum certificate of title as such31259
are required by law, and proof, as required by the county auditor,31260
that the manufactured or mobile home has been previously31261
registered, if such registration was required, that all taxes due31262
and required to be paid under division (H)(1) of this section31263
before a relocation notice may be issued have been paid, and that31264
a relocation notice was obtained for the home if required by31265
division (H) of this section. If the owner or vendee does not31266
possess the Ohio certificate of title, certified copy of the31267
certificate of title, or memorandum certificate of title at the31268
time the owner or vendee first registers the home in a county, the31269
county auditor shall register the home without presentation of the31270
document, but the owner or vendee shall present the certificate of31271
title, certified copy of the certificate of title, or memorandum31272
certificate of title to the county auditor within fourteen days31273
after the owner or vendee obtains possession of the document. When31274
the county treasurer receives the tax payment, the county31275
treasurer shall note by writing or by a stamp on the certificate31276
of title, certified copy of the certificate of title, or31277
memorandum certificate of title that the home has been registered31278
for the current year and that the manufactured home taxes due, if31279
any, have been paid for the preceding five years and for the31280
current year.31281

       (4) For subsequent annual registrations, the auditor may31282
require the owner or vendee in possession to present an Ohio31283
certificate of title, certified copy of the certificate of title,31284
or memorandum certificate of title to the county treasurer upon31285
payment of the manufactured home tax that is due.31286

       (E)(1) Upon the application to transfer ownership of a31287
manufactured or mobile home for which manufactured home taxes are31288
paid pursuant to division (C) of section 4503.06 of the Revised31289
Code the clerk of the court of common pleas shall not issue any31290
certificate of title that does not contain or have attached both31291
of the following:31292

       (a) An endorsement of the county treasurer stating that the31293
home has been registered for each year of ownership and that all31294
manufactured home taxes imposed pursuant to section 4503.06 of the31295
Revised Code have been paid or that no tax is due;31296

       (b) An endorsement of the county auditor that the31297
manufactured home transfer tax imposed pursuant to section 322.0631298
of the Revised Code and any fees imposed under division (F)(G) of31299
section 319.54 of the Revised Code have been paid.31300

       (2) If all the taxes have not been paid, the clerk shall31301
notify the vendee to contact the county treasurer of the county31302
containing the taxing district in which the home has its situs at31303
the time of the proposed transfer. The county treasurer shall then 31304
collect all the taxes that are due for the year of the transfer 31305
and all previous years not exceeding a total of five years. The 31306
county treasurer shall distribute that part of the collection owed 31307
to the county treasurer of other counties if the home had its 31308
situs in another county during a particular year when the unpaid 31309
tax became due and payable. The burden to prove the situs of the 31310
home in the years that the taxes were not paid is on the 31311
transferor of the home. Upon payment of the taxes, the county 31312
auditor shall remove all remaining taxes from the manufactured 31313
home tax list and the delinquent manufactured home tax list, and 31314
the county treasurer shall release all liens for such taxes. The 31315
clerk of courts shall issue a certificate of title, free and clear 31316
of all liens for manufactured home taxes, to the transferee of the 31317
home.31318

       (3) Once the transfer is complete and the certificate of31319
title has been issued, the transferee shall register the31320
manufactured or mobile home pursuant to division (C) or (D) of31321
this section with the county auditor of the county containing the31322
taxing district in which the home remains after the transfer or,31323
if the home is relocated to another county, with the county31324
auditor of the county to which the home is relocated. The31325
transferee need not pay the annual tax for the year of acquisition31326
if the original owner has already paid the annual tax for that31327
year.31328

       (F) The county auditor may adopt a permanent registration31329
system and issue a permanent decal with the first registration as31330
prescribed by the tax commissioner.31331

       (G) When any manufactured or mobile home required to be31332
registered by this section is not registered, the county auditor31333
shall impose a penalty of one hundred dollars upon the owner and31334
deposit the amount to the credit of the county real estate31335
assessment fund to be used to pay the costs of administering this31336
section and section 4503.06 of the Revised Code. If unpaid, the31337
penalty shall constitute a lien on the home and shall be added by31338
the county auditor to the manufactured home tax list for31339
collection.31340

       (H)(1) Except as otherwise provided in this division, before 31341
moving a manufactured or mobile home on public roads from one 31342
address within this state to another address within or outside 31343
this state, the owner of the home shall obtain a relocation 31344
notice, as provided by this section, from the auditor of the 31345
county in which the home is located if the home is currently 31346
subject to taxation pursuant to section 4503.06 of the Revised 31347
Code. The auditor shall charge five dollars for the notice, and31348
deposit the amount to the credit of the county real estate 31349
assessment fund to be used to pay the costs of administering this 31350
section and section 4503.06 of the Revised Code. The auditor shall 31351
not issue a relocation notice unless all taxes owed on the home 31352
under section 4503.06 of the Revised Code that were first charged 31353
to the home during the period of ownership of the owner seeking 31354
the relocation notice have been paid. If the home is being moved 31355
by a new owner of the home or by a party taking repossession of 31356
the home, the auditor shall not issue a relocation notice unless 31357
all of the taxes due for the preceding five years and for the 31358
current year have been paid. A relocation notice issued by a 31359
county auditor is valid until the last day of December of the year 31360
in which it was issued.31361

       If the home is being moved by a sheriff, police officer,31362
constable, bailiff, or manufactured home park operator, as defined31363
in section 3733.01 of the Revised Code, or any agent of any of31364
these persons, for purposes of removal from a manufactured home31365
park and storage, sale, or destruction under section 1923.14 of31366
the Revised Code, the auditor shall issue a relocation notice31367
without requiring payment of any taxes owed on the home under31368
section 4503.06 of the Revised Code.31369

       (2) If a manufactured or mobile home is not yet subject to31370
taxation under section 4503.06 of the Revised Code, the owner of31371
the home shall obtain a relocation notice from the dealer of the31372
home. Within thirty days after the manufactured or mobile home is31373
purchased, the dealer of the home shall provide the auditor of the31374
county in which the home is to be located written notice of the31375
name of the purchaser of the home, the registration number or31376
vehicle identification number of the home, and the address or31377
location to which the home is to be moved. The county auditor31378
shall provide to each manufactured and mobile home dealer, without31379
charge, a supply of relocation notices to be distributed to31380
purchasers pursuant to this section.31381

       (3) The notice shall be in the form of a one-foot square31382
yellow sign with the words "manufactured home relocation notice"31383
printed prominently on it. The name of the owner of the home, the31384
home's registration number or vehicle identification number, the31385
county and the address or location to which the home is being31386
moved, and the county in which the notice is issued shall also be31387
entered on the notice.31388

       (4) The relocation notice must be attached to the rear of the 31389
home when the home is being moved on a public road. Except as31390
provided in divisions (H)(1) and (5) of this section, no person 31391
shall drive a motor vehicle moving a manufactured or mobile home 31392
on a public road from one address to another address within this 31393
state unless a relocation notice is attached to the rear of the 31394
home.31395

       (5) If the county auditor determines that a manufactured or31396
mobile home has been moved without a relocation notice as required31397
under this division, the auditor shall impose a penalty of one31398
hundred dollars upon the owner of the home and upon the person who31399
moved the home and deposit the amount to the credit of the county31400
real estate assessment fund to pay the costs of administering this31401
section and section 4503.06 of the Revised Code. If the home was31402
relocated from one county in this state to another county in this31403
state and the county auditor of the county to which the home was31404
relocated imposes the penalty, that county auditor, upon31405
collection of the penalty, shall cause an amount equal to the 31406
penalty to be transmitted from the county real estate assessment 31407
fund to the county auditor of the county from which the home was 31408
relocated, who shall deposit the amount to the credit of the 31409
county real estate assessment fund. If the penalty on the owner is 31410
unpaid, the penalty shall constitute a lien on the home and the 31411
auditor shall add the penalty to the manufactured home tax list 31412
for collection. If the county auditor determines that a dealer 31413
that has sold a manufactured or mobile home has failed to timely31414
provide the information required under this division, the auditor31415
shall impose a penalty upon the dealer in the amount of one31416
hundred dollars. The penalty shall be credited to the county real31417
estate assessment fund and used to pay the costs of administering31418
this section and section 4503.06 of the Revised Code.31419

       (I) Whoever violates division (H)(4) of this section is31420
guilty of a minor misdemeanor.31421

       Sec. 4503.064.  As used in sections 4503.064 to 4503.069 of31422
the Revised Code:31423

       (A) "Sixty-five years of age or older" means a person who31424
will be age sixty-five or older in the calendar year following the 31425
year of application for reduction in the assessable value of the 31426
person's manufactured or mobile home.31427

       (B) "Total income" means the adjusted gross income of the31428
owner and the owner's spouse for the year preceding the year in 31429
which application for a reduction in taxes is made, as determined 31430
under the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 31431
U.S.C.A. 1, as amended, adjusted as follows:31432

       (1) Subtract the amount of disability benefits included in31433
adjusted gross income but not to exceed five thousand two hundred31434
dollars;31435

       (2) Add old age and survivors benefits received pursuant to 31436
the "Social Security Act" that are not included in adjusted gross 31437
income;31438

       (3) Add retirement, pension, annuity, or other retirement31439
payments or benefits not included in adjusted gross income;31440

       (4) Add tier I and II railroad retirement benefits received 31441
pursuant to the "Railroad Retirement Act," 50 Stat. 307, 45 U.S.C. 31442
228;31443

       (5) Add interest on federal, state, and local government31444
obligations;31445

       (6) For a person who received the homestead exemption for a 31446
prior year on the basis of being permanently and totally disabled 31447
and whose current application for the exemption is made on the 31448
basis of age, subtract the following amount:31449

       (a) If the person received disability benefits that were not31450
included in adjusted gross income in the year preceding the first 31451
year in which the person applied for the exemption on the basis of 31452
age, subtract an amount equal to the disability benefits the 31453
person received in that preceding year, to the extent included in 31454
total income in the current year and not subtracted under division31455
(B)(1) of this section in the current year;31456

       (b) If the person received disability benefits that were 31457
included in adjusted gross income in the year preceding the first 31458
year in which the person applied for the exemption on the basis of 31459
age, subtract an amount equal to the amount of disability benefits 31460
that were subtracted pursuant to division (B)(1) of this section 31461
in that preceding year, to the extent included in total income in 31462
the current year and not subtracted under division (B)(1) of this31463
section in the current year.31464

       Disability benefits that are paid by the department of 31465
veterans affairs or a branch of the armed forces of the United 31466
States on account of an injury or disability shall not be included 31467
in total income.31468

       (C) "Old age and survivors benefits received pursuant to the 31469
'Social Security Act'" or "tier I railroad retirement benefits 31470
received pursuant to the 'Railroad Retirement Act'" means:31471

       (1) The old age benefits payable under the social security or 31472
railroad retirement laws in effect on the last day of the calendar 31473
year preceding the year in which the applicant's application for 31474
reduction is first successfully made, or, if no such benefits are 31475
payable that year, old age benefits payable the first succeeding 31476
year in which old age benefits under the social security or 31477
railroad retirement laws are payable, except in those cases where 31478
a change in social security or railroad retirement benefits 31479
results in a reduction in income.31480

       (2) The lesser of:31481

       (a) Survivors benefits payable under the social security or 31482
railroad retirement laws in effect on the last day of the calendar 31483
year preceding the year in which the applicant's application for 31484
reduction is first successfully made, or, if no such benefits are 31485
payable that year, survivors benefits payable the first succeeding 31486
year in which survivors benefits are payable; or31487

       (b) Old age benefits of the deceased spouse, as determined31488
under division (C)(1) of this section, upon which the surviving31489
spouse's survivors benefits are based under the social security or 31490
railroad retirement laws, except in those cases where a change in 31491
benefits would cause a reduction in income.31492

       Survivors benefits are those described in division (C)(2)(b) 31493
of this section only if the deceased spouse received old age 31494
benefits in the year in which the deceased died. If the deceased 31495
spouse did not receive old age benefits in the year in which the 31496
deceased died, then survivors benefits are those described in 31497
division (C)(2)(a) of this section.31498

       (D) "Permanently and totally disabled" means a person who, on 31499
the first day of January of the year of application, including31500
late application, for reduction in the assessable value of a31501
manufactured or mobile home, has some impairment in body or mind 31502
that makes the person unable to work at any substantially 31503
remunerative employment which the person is reasonably able to 31504
perform and which will, with reasonable probability, continue for 31505
an indefinite period of at least twelve months without any present 31506
indication of recovery therefrom or has been certified as 31507
permanently and totally disabled by a state or federal agency 31508
having the function of so classifying persons.31509

       (E)(C) "Homestead exemption" means the reduction in taxes31510
allowed under division (A) of section 323.152 of the Revised Code31511
for the year in which an application is filed under section31512
4503.066 of the Revised Code.31513

       (F)(D) "Manufactured home" has the meaning given in division31514
(C)(4) of section 3781.06 of the Revised Code, and includes a31515
structure consisting of two manufactured homes that were purchased 31516
either together or separately and are combined to form a single 31517
dwelling, but does not include a manufactured home that is taxed 31518
as real property pursuant to division (B) of section 4503.06 of 31519
the Revised Code.31520

       (G)(E) "Mobile home" has the meaning given in division (O) of 31521
section 4501.01 of the Revised Code and includes a structure31522
consisting of two mobile homes that were purchased together or31523
separately and combined to form a single dwelling, but does not 31524
include a mobile home that is taxed as real property pursuant to 31525
division (B) of section 4503.06 of the Revised Code.31526

       (H)(F) "Late application" means an application filed with an31527
original application under division (A)(3) of section 4503.066 of31528
the Revised Code.31529

       Sec. 4503.065.  (A) This section applies to any of the31530
following:31531

       (1) An individual who is permanently and totally disabled;31532

       (2) An individual who is sixty-five years of age or older;31533

       (3) An individual who is the surviving spouse of a deceased31534
person who was permanently and totally disabled or sixty-five31535
years of age or older and who applied and qualified for a31536
reduction in assessable value under this section in the year of31537
death, provided the surviving spouse is at least fifty-nine but31538
not sixty-five or more years of age on the date the deceased31539
spouse dies.31540

       (B)(1) The manufactured home tax on a manufactured or mobile31541
home that is paid pursuant to division (C) of section 4503.06 of31542
the Revised Code and that is owned and occupied as a home by an31543
individual whose domicile is in this state and to whom this31544
section applies, shall be reduced for any tax year for which the31545
owner obtains a certificate of reduction from the county auditor31546
under section 4503.067 of the Revised Code, provided the31547
individual did not acquire ownership from a person, other than the31548
individual's spouse, related by consanguinity or affinity for the31549
purpose of qualifying for the reduction in assessable value. An31550
owner includes a settlor of a revocable inter vivos trust holding31551
the title to a manufactured or mobile home occupied by the settlor31552
as of right under the trust. The reduction shall equal the amount31553
obtained by multiplying the tax rate for the tax year for which31554
the certificate is issued by the reduction in assessable value31555
shown in the following schedule.31556

Reduce Assessable Value 31557
Total Income by the Lesser of: 31558
Column A Column B 31559

$11,900 or less $5,000 or seventy-five per cent 31560
More than $11,900 but not more than $17,500 $3,000 or sixty per cent 31561
More than $17,500 but not more than $23,000 $1,000 or twenty-five per cent 31562
More than $23,000 -0- 31563

       (2) Each calendar year, the tax commissioner shall adjust the 31564
foregoing schedule by completing the following calculations in 31565
September of each year:31566

       (a) Determine the percentage increase in the gross domestic31567
product deflator determined by the bureau of economic analysis of31568
the United States department of commerce from the first day of 31569
January of the preceding calendar year to the last day of December 31570
of the preceding calendar year;31571

       (b) Multiply that percentage increase by each of the total31572
income amounts, and by each dollar amount by which assessable31573
value is reduced, for the ensuing tax year;31574

       (c) Add the resulting product to each of the total income31575
amounts, and to each of the dollar amounts by which assessable31576
value is reduced, for the ensuing tax year;31577

       (d)(i) Except as provided in division (B)(2)(d)(ii) of this 31578
section, round the resulting sum to the nearest multiple of one31579
hundred dollars;31580

       (ii) If rounding the resulting sum to the nearest multiple of 31581
one hundred dollars under division (B)(2)(d)(i) of this section 31582
does not increase the dollar amounts by which assessable value is 31583
reduced, the resulting sum instead shall be rounded to the nearest 31584
multiple of ten dollars.31585

       The commissioner shall certify the amounts resulting from the31586
adjustment to each county auditor not later than the first day of31587
December each year. The certified amounts apply to the second31588
ensuing tax year. The commissioner shall not make the adjustment31589
in any calendar year in which the amounts resulting from the31590
adjustment would be less than the total income amounts, or less31591
than the dollar amounts by which assessable value is reduced, for31592
the ensuing tax yeargreater of the reduction granted for tax year 31593
2006, if the taxpayer received a reduction for tax year 2006, or 31594
the product of the following:31595

       (1) Twenty-five thousand dollars of the true value of the 31596
property in money;31597

        (2) The assessment percentage established by the tax 31598
commissioner under division (B) of section 5715.01 of the Revised 31599
Code, not to exceed thirty-five per cent;31600

        (3) The effective tax rate on residential/agricultural real 31601
property, where "effective tax rate" is defined as in section 31602
323.08 of the Revised Code, and where "residential/agricultural 31603
real property" is defined as in section 5713.041 of the Revised 31604
Code;31605

       (4) In the case of a manufactured or mobile home for which 31606
the tax is computed under division (C)(2) of section 4503.06 of 31607
the Revised Code, the quantity equal to one minus the sum of the 31608
percentage reductions in taxes allowed by section 319.302 of the 31609
Revised Code and division (B) of section 323.152 of the Revised 31610
Code.31611

       (C) If the owner or the spouse of the owner of a manufactured 31612
or mobile home is eligible for a homestead exemption on the land 31613
upon which the home is located, the reduction in assessable value31614
to which the owner or spouse is entitled under this section shall 31615
not exceed the difference between the reduction in assessable 31616
value to which the owner or spouse is entitled under column A of 31617
the above scheduledivision (B) of this section and the amount of 31618
the reduction in taxable value that was used to computeunder the31619
homestead exemption.31620

       (D) No reduction shall be made on the assessable value of31621
with respect to the home of any person convicted of violating 31622
division (C) or (D) of section 4503.066 of the Revised Code for a 31623
period of three years following the conviction.31624

       Sec. 4503.066.  (A)(1) To obtain a tax reduction in the31625
assessable value of a manufactured or mobile home under section31626
4503.065 of the Revised Code, the owner of the home shall file an31627
application with the county auditor of the county in which the31628
home is located. An application for reduction in assessable value31629
taxes based upon a physical disability shall be accompanied by a31630
certificate signed by a physician, and an application for31631
reduction in assessable valuetaxes based upon a mental disability 31632
shall be accompanied by a certificate signed by a physician or31633
psychologist licensed to practice in this state. The certificate31634
shall attest to the fact that the applicant is permanently and31635
totally disabled, shall be in a form that the department of31636
taxation requires, and shall include the definition of totally and31637
permanently disabled as set forth in section 4503.064 of the31638
Revised Code. An application for reduction in assessable value31639
taxes based upon a disability certified as permanent and total by 31640
a state or federal agency having the function of so classifying31641
persons shall be accompanied by a certificate from that agency.31642

       (2) Each application shall constitute a continuing31643
application for a reduction in assessable valuetaxes for each 31644
year in which the manufactured or mobile home is occupied by the 31645
applicant and in which the amount of the reduction in assessable 31646
value does not exceed either the amount or per cent of the31647
reduction for the year in which the application was first filed. 31648
Failure to receive a new application or notification under 31649
division (B) of this section after a certificate of reduction has 31650
been issued under section 4503.067 of the Revised Code is 31651
prima-facie evidence that the original applicant is entitled to 31652
the reduction in assessable value calculated on the basis of the 31653
information contained in the original application. The original 31654
application and any subsequent application shall be in the form of 31655
a signed statement and shall be filed not later than the first 31656
Monday in June. The statement shall be on a form, devised and 31657
supplied by the tax commissioner, that shall require no more 31658
information than is necessary to establish the applicant's 31659
eligibility for the reduction in assessable valuetaxes and the 31660
amount of the reduction to which the applicant is entitled. The 31661
form shall contain a statement that signing such application 31662
constitutes a delegation of authority by the applicant to the 31663
county auditor to examine any financial records that relate to 31664
income earned by the applicant as stated on the application for 31665
the purpose of determining eligibility under, or possible 31666
violation of, division (C) or (D) of this section. The form also 31667
shall contain a statement that conviction of willfully falsifying 31668
information to obtain a reduction in assessable valuetaxes or 31669
failing to comply with division (B) of this section shall result 31670
in the revocation of the right to the reduction for a period of 31671
three years.31672

       (3) A late application for a reduction in assessable value31673
taxes for the year preceding the year for which an original 31674
application is filed may be filed with an original application. If 31675
the auditor determines that the information contained in the late31676
application is correct, the auditor shall determine both the31677
amount of the reduction in assessable valuetaxes to which the 31678
applicant would have been entitled for the current tax year had 31679
the application been timely filed and approved in the preceding 31680
year, and the amount the taxes levied under section 4503.06 of the31681
Revised Code for the current year would have been reduced as a31682
result of the reduction in assessable value. When an applicant is31683
permanently and totally disabled on the first day of January of31684
the year in which the applicant files a late application, the31685
auditor, in making the determination of the amounts of the31686
reduction in assessable value and taxes under division (A)(3) of31687
this section, is not required to determine that the applicant was31688
permanently and totally disabled on the first day of January of31689
the preceding year.31690

       The amount of the reduction in taxes pursuant to a late31691
application shall be treated as an overpayment of taxes by the31692
applicant. The auditor shall credit the amount of the overpayment31693
against the amount of the taxes or penalties then due from the31694
applicant, and, at the next succeeding settlement, the amount of31695
the credit shall be deducted from the amount of any taxes or31696
penalties distributable to the county or any taxing unit in the31697
county that has received the benefit of the taxes or penalties31698
previously overpaid, in proportion to the benefits previously31699
received. If, after the credit has been made, there remains a31700
balance of the overpayment, or if there are no taxes or penalties31701
due from the applicant, the auditor shall refund that balance to31702
the applicant by a warrant drawn on the county treasurer in favor31703
of the applicant. The treasurer shall pay the warrant from the31704
general fund of the county. If there is insufficient money in the31705
general fund to make the payment, the treasurer shall pay the31706
warrant out of any undivided manufactured or mobile home taxes31707
subsequently received by the treasurer for distribution to the31708
county or taxing district in the county that received the benefit31709
of the overpaid taxes, in proportion to the benefits previously31710
received, and the amount paid from the undivided funds shall be31711
deducted from the money otherwise distributable to the county or31712
taxing district in the county at the next or any succeeding31713
distribution. At the next or any succeeding distribution after31714
making the refund, the treasurer shall reimburse the general fund31715
for any payment made from that fund by deducting the amount of31716
that payment from the money distributable to the county or other31717
taxing unit in the county that has received the benefit of the31718
taxes, in proportion to the benefits previously received. On the31719
second Monday in September of each year, the county auditor shall31720
certify the total amount of the reductions in taxes made in the31721
current year under division (A)(3) of this section to the tax31722
commissioner who shall treat that amount as a reduction in taxes31723
for the current tax year and shall make reimbursement to the31724
county of that amount in the manner prescribed in section 4503.06831725
of the Revised Code, from moneys appropriated for that purpose.31726

       (B) If in any year after an application has been filed under31727
division (A) of this section the owner no longer qualifies for the31728
reduction in assessable valuetaxes for which the owner was issued 31729
a certificate or qualifies for a reduction that is less than 31730
either the per cent or amount of the reduction to which the owner31731
was entitled in the year the application was filed, the owner 31732
shall notify the county auditor that the owner is not qualified 31733
for a reduction in the assessable value of the home or file a new31734
application under division (A) of this sectiontaxes.31735

       During January of each year, the county auditor shall furnish31736
each person issued a certificate of reduction in value, by31737
ordinary mail, a form on which to report any changes in total31738
income that would have the effect of increasing or decreasing the31739
reduction to which the person is entitled, changes in ownership of31740
the home, including changes in or revocation of a revocable inter31741
vivos trust, changes in disability, and other changes in the31742
information earlier furnished the auditor relative to the31743
application. The form shall be completed and returned to the31744
auditor not later than the first Monday in June if the changes31745
would affect the level of reduction in assessable value.31746

       (C) No person shall knowingly make a false statement for the31747
purpose of obtaining a reduction in assessable valuetaxes under31748
section 4503.065 of the Revised Code.31749

       (D) No person shall knowingly fail to notify the county31750
auditor of any change required by division (B) of this section31751
that has the effect of maintaining or securing a reduction in31752
assessable value of the home in excess of the reduction allowed31753
taxes under section 4503.065 of the Revised Code.31754

       (E) No person shall knowingly make a false statement or31755
certification attesting to any person's physical or mental31756
condition for purposes of qualifying such person for tax relief31757
pursuant to sections 4503.064 to 4503.069 of the Revised Code.31758

       (F) Whoever violates division (C), (D), or (E) of this31759
section is guilty of a misdemeanor of the fourth degree.31760

       Sec. 4503.067.  (A) At the same time the tax bill for the 31761
first half of the tax year is issued, the county auditor shall 31762
issue a certificate of reduction in assessable value oftaxes for31763
a manufactured or mobile home in triplicate for each person who 31764
has complied with section 4503.066 of the Revised Code and been 31765
found by the auditor to be entitled to a reduction of assessable 31766
valuein taxes for the succeeding tax year. The certificate shall 31767
set forth the assessable value of the home calculated under 31768
section 4503.06 of the Revised Code and the amount of the 31769
reduction in assessable value of the hometaxes calculated under 31770
section 4503.065 of the Revised Code. Upon issuance of the 31771
certificate, the auditor shall reduce the assessable value of31772
manufactured home tax levied on the home for the succeeding tax31773
year by the required amount and forward the original and one copy 31774
of the certificate to the county treasurer. The auditor shall 31775
retain one copy of the certificate. The treasurer shall retain the 31776
original certificate and forward the remaining copy to the31777
recipient with the tax bill delivered pursuant to division (D)(6) 31778
of section 4503.06 of the Revised Code.31779

       (B) If the application or a continuing application is not31780
approved, the auditor shall notify the applicant of the reasons31781
for denial no later than the first Monday in October. If a person 31782
believes that the person's application for reduction in assessable 31783
value of a hometaxes has been improperly denied or is for less 31784
than that to which the person is entitled, the person may file an 31785
appeal with the county board of revision no later than the 31786
thirty-first day of January of the following calendar year. The 31787
appeal shall be treated in the same manner as a complaint relating 31788
to the valuation or assessment of real property under Chapter 31789
5715. of the Revised Code.31790

       Sec. 4503.10.  (A) The owner of every snowmobile, off-highway 31791
motorcycle, and all-purpose vehicle required to be registered 31792
under section 4519.02 of the Revised Code shall file an31793
application for registration under section 4519.03 of the Revised31794
Code. The owner of a motor vehicle, other than a snowmobile,31795
off-highway motorcycle, or all-purpose vehicle, that is not31796
designed and constructed by the manufacturer for operation on a31797
street or highway may not register it under this chapter except31798
upon certification of inspection pursuant to section 4513.02 of31799
the Revised Code by the sheriff, or the chief of police of the31800
municipal corporation or township, with jurisdiction over the31801
political subdivision in which the owner of the motor vehicle31802
resides. Except as provided in section 4503.103 of the Revised31803
Code, every owner of every other motor vehicle not previously31804
described in this section and every person mentioned as owner in31805
the last certificate of title of a motor vehicle that is operated31806
or driven upon the public roads or highways shall cause to be31807
filed each year, by mail or otherwise, in the office of the31808
registrar of motor vehicles or a deputy registrar, a written or31809
electronic application or a preprinted registration renewal notice31810
issued under section 4503.102 of the Revised Code, the form of31811
which shall be prescribed by the registrar, for registration for31812
the following registration year, which shall begin on the first31813
day of January of every calendar year and end on the thirty-first31814
day of December in the same year. Applications for registration31815
and registration renewal notices shall be filed at the times31816
established by the registrar pursuant to section 4503.101 of the31817
Revised Code. A motor vehicle owner also may elect to apply for or 31818
renew a motor vehicle registration by electronic means using31819
electronic signature in accordance with rules adopted by the31820
registrar. Except as provided in division (J) of this section,31821
applications for registration shall be made on blanks furnished by31822
the registrar for that purpose, containing the following31823
information:31824

       (1) A brief description of the motor vehicle to be31825
registered, including the year, make, model, and vehicle 31826
identification number, and, in the case of commercial cars, the 31827
gross weight of the vehicle fully equipped computed in the manner 31828
prescribed in section 4503.08 of the Revised Code;31829

       (2) The name and residence address of the owner, and the31830
township and municipal corporation in which the owner resides;31831

       (3) The district of registration, which shall be determined31832
as follows:31833

       (a) In case the motor vehicle to be registered is used for31834
hire or principally in connection with any established business or31835
branch business, conducted at a particular place, the district of31836
registration is the municipal corporation in which that place is31837
located or, if not located in any municipal corporation, the31838
county and township in which that place is located.31839

       (b) In case the vehicle is not so used, the district of31840
registration is the municipal corporation or county in which the31841
owner resides at the time of making the application.31842

       (4) Whether the motor vehicle is a new or used motor vehicle;31843

       (5) The date of purchase of the motor vehicle;31844

       (6) Whether the fees required to be paid for the registration 31845
or transfer of the motor vehicle, during the preceding 31846
registration year and during the preceding period of the current 31847
registration year, have been paid. Each application for31848
registration shall be signed by the owner, either manually or by31849
electronic signature, or pursuant to obtaining a limited power of31850
attorney authorized by the registrar for registration, or other31851
document authorizing such signature. If the owner elects to apply31852
for or renew the motor vehicle registration with the registrar by31853
electronic means, the owner's manual signature is not required.31854

       (7) The owner's social security number, if assigned, or,31855
where a motor vehicle to be registered is used for hire or31856
principally in connection with any established business, the31857
owner's federal taxpayer identification number. The bureau of31858
motor vehicles shall retain in its records all social security31859
numbers provided under this section, but the bureau shall not31860
place social security numbers on motor vehicle certificates of31861
registration.31862

       (B) Except as otherwise provided in this division, each time 31863
an applicant first registers a motor vehicle in the applicant's 31864
name, the applicant shall present for inspection a physical31865
certificate of title or memorandum certificate showing title to31866
the motor vehicle to be registered in the name of the applicant if 31867
a physical certificate of title or memorandum certificate has been 31868
issued by a clerk of a court of common pleas. If, under sections 31869
4505.021, 4505.06, and 4505.08 of the Revised Code, a clerk 31870
instead has issued an electronic certificate of title for the 31871
applicant's motor vehicle, that certificate may be presented for 31872
inspection at the time of first registration in a manner 31873
prescribed by rules adopted by the registrar. An applicant is not 31874
required to present a certificate of title to an electronic motor 31875
vehicle dealer acting as a limited authority deputy registrar in 31876
accordance with rules adopted by the registrar. When a motor 31877
vehicle inspection and maintenance program is in effect under 31878
section 3704.14 of the Revised Code and rules adopted under it, 31879
each application for registration for a vehicle required to be 31880
inspected under that section and those rules shall be accompanied 31881
by an inspection certificate for the motor vehicle issued in 31882
accordance with that section. The application shall be refused if 31883
any of the following applies:31884

       (1) The application is not in proper form.31885

       (2) The application is prohibited from being accepted by31886
division (D) of section 2935.27, division (A) of section 2937.221,31887
division (A) of section 4503.13, division (B) of section 4510.22,31888
or division (B)(1) of section 4521.10 of the Revised Code.31889

       (3) A certificate of title or memorandum certificate of title 31890
is required but does not accompany the application or, in the case 31891
of an electronic certificate of title, is required but is not 31892
presented in a manner prescribed by the registrar's rules.31893

       (4) All registration and transfer fees for the motor vehicle, 31894
for the preceding year or the preceding period of the current 31895
registration year, have not been paid.31896

       (5) The owner or lessee does not have an inspection31897
certificate for the motor vehicle as provided in section 3704.1431898
of the Revised Code, and rules adopted under it, if that section31899
is applicable.31900

       This section does not require the payment of license or31901
registration taxes on a motor vehicle for any preceding year, or31902
for any preceding period of a year, if the motor vehicle was not31903
taxable for that preceding year or period under sections 4503.02,31904
4503.04, 4503.11, 4503.12, and 4503.16 or Chapter 4504. of the31905
Revised Code. When a certificate of registration is issued upon31906
the first registration of a motor vehicle by or on behalf of the31907
owner, the official issuing the certificate shall indicate the31908
issuance with a stamp on the certificate of title or memorandum31909
certificate or, in the case of an electronic certificate of title,31910
an electronic stamp or other notation as specified in rules31911
adopted by the registrar, and with a stamp on the inspection31912
certificate for the motor vehicle, if any. The official also shall 31913
indicate, by a stamp or by other means the registrar prescribes, 31914
on the registration certificate issued upon the first registration 31915
of a motor vehicle by or on behalf of the owner the odometer 31916
reading of the motor vehicle as shown in the odometer statement 31917
included in or attached to the certificate of title. Upon each 31918
subsequent registration of the motor vehicle by or on behalf of 31919
the same owner, the official also shall so indicate the odometer 31920
reading of the motor vehicle as shown on the immediately preceding31921
certificate of registration.31922

       The registrar shall include in the permanent registration31923
record of any vehicle required to be inspected under section31924
3704.14 of the Revised Code the inspection certificate number from31925
the inspection certificate that is presented at the time of31926
registration of the vehicle as required under this division.31927

       (C)(1) Commencing with each registration renewal with an 31928
expiration date on or after October 1, 2003, and for each initial 31929
application for registration received on and after that date, the 31930
registrar and each deputy registrar shall collect an additional 31931
fee of eleven dollars for each application for registration and 31932
registration renewal received. The additional fee is for the 31933
purpose of defraying the department of public safety's costs 31934
associated with the administration and enforcement of the motor 31935
vehicle and traffic laws of Ohio. Each deputy registrar shall 31936
transmit the fees collected under division (C)(1) of this section 31937
in the time and manner provided in this section. The registrar 31938
shall deposit all moneys received under division (C)(1) of this 31939
section into the state highway safety fund established in section 31940
4501.06 of the Revised Code.31941

       (2) In addition, a charge of twenty-five cents shall be made31942
for each reflectorized safety license plate issued, and a single31943
charge of twenty-five cents shall be made for each county31944
identification sticker or each set of county identification31945
stickers issued, as the case may be, to cover the cost of31946
producing the license plates and stickers, including material,31947
manufacturing, and administrative costs. Those fees shall be in31948
addition to the license tax. If the total cost of producing the31949
plates is less than twenty-five cents per plate, or if the total31950
cost of producing the stickers is less than twenty-five cents per31951
sticker or per set issued, any excess moneys accruing from the31952
fees shall be distributed in the same manner as provided by31953
section 4501.04 of the Revised Code for the distribution of31954
license tax moneys. If the total cost of producing the plates31955
exceeds twenty-five cents per plate, or if the total cost of31956
producing the stickers exceeds twenty-five cents per sticker or31957
per set issued, the difference shall be paid from the license tax31958
moneys collected pursuant to section 4503.02 of the Revised Code.31959

       (D) Each deputy registrar shall be allowed a fee of two31960
dollars and seventy-five cents commencing on July 1, 2001, three31961
dollars and twenty-five cents commencing on January 1, 2003, and31962
three dollars and fifty cents commencing on January 1, 2004, for31963
each application for registration and registration renewal notice31964
the deputy registrar receives, which shall be for the purpose of31965
compensating the deputy registrar for the deputy registrar's31966
services, and such office and rental expenses, as may be necessary31967
for the proper discharge of the deputy registrar's duties in the31968
receiving of applications and renewal notices and the issuing of31969
registrations.31970

       (E) Upon the certification of the registrar, the county31971
sheriff or local police officials shall recover license plates31972
erroneously or fraudulently issued.31973

       (F) Each deputy registrar, upon receipt of any application31974
for registration or registration renewal notice, together with the31975
license fee and any local motor vehicle license tax levied31976
pursuant to Chapter 4504. of the Revised Code, shall transmit that31977
fee and tax, if any, in the manner provided in this section,31978
together with the original and duplicate copy of the application,31979
to the registrar. The registrar, subject to the approval of the31980
director of public safety, may deposit the funds collected by31981
those deputies in a local bank or depository to the credit of the31982
"state of Ohio, bureau of motor vehicles." Where a local bank or31983
depository has been designated by the registrar, each deputy31984
registrar shall deposit all moneys collected by the deputy31985
registrar into that bank or depository not more than one business31986
day after their collection and shall make reports to the registrar31987
of the amounts so deposited, together with any other information,31988
some of which may be prescribed by the treasurer of state, as the31989
registrar may require and as prescribed by the registrar by rule.31990
The registrar, within three days after receipt of notification of31991
the deposit of funds by a deputy registrar in a local bank or31992
depository, shall draw on that account in favor of the treasurer31993
of state. The registrar, subject to the approval of the director31994
and the treasurer of state, may make reasonable rules necessary31995
for the prompt transmittal of fees and for safeguarding the31996
interests of the state and of counties, townships, municipal31997
corporations, and transportation improvement districts levying31998
local motor vehicle license taxes. The registrar may pay service31999
charges usually collected by banks and depositories for such32000
service. If deputy registrars are located in communities where32001
banking facilities are not available, they shall transmit the fees32002
forthwith, by money order or otherwise, as the registrar, by rule32003
approved by the director and the treasurer of state, may32004
prescribe. The registrar may pay the usual and customary fees for32005
such service.32006

       (G) This section does not prevent any person from making an32007
application for a motor vehicle license directly to the registrar32008
by mail, by electronic means, or in person at any of the32009
registrar's offices, upon payment of a service fee of two dollars32010
and seventy-five cents commencing on July 1, 2001, three dollars32011
and twenty-five cents commencing on January 1, 2003, and three32012
dollars and fifty cents commencing on January 1, 2004, for each32013
application.32014

       (H) No person shall make a false statement as to the district 32015
of registration in an application required by division (A) of this 32016
section. Violation of this division is falsification under section 32017
2921.13 of the Revised Code and punishable as specified in that 32018
section.32019

       (I)(1) Where applicable, the requirements of division (B) of32020
this section relating to the presentation of an inspection32021
certificate issued under section 3704.14 of the Revised Code and32022
rules adopted under it for a motor vehicle, the refusal of a32023
license for failure to present an inspection certificate, and the32024
stamping of the inspection certificate by the official issuing the32025
certificate of registration apply to the registration of and32026
issuance of license plates for a motor vehicle under sections32027
4503.102, 4503.12, 4503.14, 4503.15, 4503.16, 4503.171, 4503.172,32028
4503.19, 4503.40, 4503.41, 4503.42, 4503.43, 4503.44, 4503.46,32029
4503.47, and 4503.51 of the Revised Code.32030

       (2)(a) The registrar shall adopt rules ensuring that each32031
owner registering a motor vehicle in a county where a motor32032
vehicle inspection and maintenance program is in effect under32033
section 3704.14 of the Revised Code and rules adopted under it32034
receives information about the requirements established in that32035
section and those rules and about the need in those counties to32036
present an inspection certificate with an application for32037
registration or preregistration.32038

       (b) Upon request, the registrar shall provide the director of 32039
environmental protection, or any person that has been awarded a32040
contract under division (D) of section 3704.14 of the Revised32041
Code, an on-line computer data link to registration information32042
for all passenger cars, noncommercial motor vehicles, and32043
commercial cars that are subject to that section. The registrar32044
also shall provide to the director of environmental protection a32045
magnetic data tape containing registration information regarding32046
passenger cars, noncommercial motor vehicles, and commercial cars32047
for which a multi-year registration is in effect under section32048
4503.103 of the Revised Code or rules adopted under it, including,32049
without limitation, the date of issuance of the multi-year32050
registration, the registration deadline established under rules32051
adopted under section 4503.101 of the Revised Code that was32052
applicable in the year in which the multi-year registration was32053
issued, and the registration deadline for renewal of the32054
multi-year registration.32055

       (J) Application for registration under the international32056
registration plan, as set forth in sections 4503.60 to 4503.66 of32057
the Revised Code, shall be made to the registrar on forms32058
furnished by the registrar. In accordance with international32059
registration plan guidelines and pursuant to rules adopted by the32060
registrar, the forms shall include the following:32061

       (1) A uniform mileage schedule;32062

       (2) The gross vehicle weight of the vehicle or combined gross 32063
vehicle weight of the combination vehicle as declared by the32064
registrant;32065

       (3) Any other information the registrar requires by rule.32066

       Sec. 4503.102.  (A) The registrar of motor vehicles shall32067
adopt rules to establish a centralized system of motor vehicle32068
registration renewal by mail or by electronic means. Any person32069
owning a motor vehicle that was registered in the person's name32070
during the preceding registration year shall renew the32071
registration of the motor vehicle not more than ninety days prior32072
to the expiration date of the registration either by mail or by32073
electronic means through the centralized system of registration32074
established under this section, or in person at any office of the32075
registrar or at a deputy registrar's office.32076

       (B)(1) No less than forty-five days prior to the expiration32077
date of any motor vehicle registration, the registrar shall mail a32078
renewal notice to the person in whose name the motor vehicle is32079
registered. The renewal notice shall clearly state that the32080
registration of the motor vehicle may be renewed by mail or32081
electronic means through the centralized system of registration or32082
in person at any office of the registrar or at a deputy32083
registrar's office and shall be preprinted with information32084
including, but not limited to, the owner's name and residence32085
address as shown in the records of the bureau of motor vehicles, a32086
brief description of the motor vehicle to be registered, notice of32087
the license taxes and fees due on the motor vehicle, the toll-free32088
telephone number of the registrar as required under division32089
(D)(1) of section 4503.031 of the Revised Code, and any additional32090
information the registrar may require by rule. The renewal notice32091
shall be sent by regular mail to the owner's last known address as32092
shown in the records of the bureau of motor vehicles.32093

       (2) If the application for renewal of the registration of a32094
motor vehicle is prohibited from being accepted by the registrar32095
or a deputy registrar by division (D) of section 2935.27, division32096
(A) of section 2937.221, division (A) of section 4503.13, division32097
(B) of section 4510.22, or division (B)(1) of section 4521.10 of32098
the Revised Code, the registrar is not required to send a renewal32099
notice to the vehicle owner or vehicle lessee.32100

       (C) The owner of the motor vehicle shall verify the32101
information contained in the notice, sign it either manually or by32102
electronic means, and return it, either by mail or electronic32103
means, or the owner may take it in person to any office of the32104
registrar or of a deputy registrar, together with a financial32105
transaction device number, when permitted by rule of the32106
registrar, check, or money order in the amount of the registration32107
taxes and fees payable on the motor vehicle and a mail fee of two32108
dollars and seventy-five cents commencing on July 1, 2001, three32109
dollars and twenty-five cents commencing on January 1, 2003, and32110
three dollars and fifty cents commencing on January 1, 2004, plus32111
postage as indicated on the notice, if the registration is renewed32112
by mail, and an inspection certificate for the motor vehicle as32113
provided in section 3704.14 of the Revised Code. If the motor32114
vehicle owner chooses to renew the motor vehicle registration by32115
electronic means, the owner shall proceed in accordance with the32116
rules the registrar adopts.32117

       (D) If all registration and transfer fees for the motor32118
vehicle for the preceding year or the preceding period of the32119
current registration year have not been paid, if division (D) of32120
section 2935.27, division (A) of section 2937.221, division (A) of32121
section 4503.13, division (B) of section 4510.22, or division32122
(B)(1) of section 4521.10 of the Revised Code prohibits acceptance32123
of the renewal notice, or if the owner or lessee does not have an32124
inspection certificate for the motor vehicle as provided in32125
section 3704.14 of the Revised Code, if that section is32126
applicable, the license shall be refused, and the registrar or32127
deputy registrar shall so notify the owner. This section does not32128
require the payment of license or registration taxes on a motor32129
vehicle for any preceding year, or for any preceding period of a32130
year, if the motor vehicle was not taxable for that preceding year32131
or period under section 4503.02, 4503.04, 4503.11, 4503.12, or32132
4503.16 or Chapter 4504. of the Revised Code.32133

       (E)(1) Failure to receive a renewal notice does not relieve a 32134
motor vehicle owner from the responsibility to renew the32135
registration for the motor vehicle. Any person who has a motor32136
vehicle registered in this state and who does not receive a32137
renewal notice as provided in division (B) of this section prior32138
to the expiration date of the registration shall request an32139
application for registration from the registrar or a deputy32140
registrar and sign the application manually or by electronic means32141
and submit the application and pay any applicable license taxes32142
and fees to the registrar or deputy registrar.32143

       (2) If the owner of a motor vehicle submits an application32144
for registration and the registrar is prohibited by division (D)32145
of section 2935.27, division (A) of section 2937.221, division (A)32146
of section 4503.13, division (B) of section 4510.22, or division32147
(B)(1) of section 4521.10 of the Revised Code from accepting the32148
application, the registrar shall return the application and the32149
payment to the owner. If the owner of a motor vehicle submits a32150
registration renewal application to the registrar by electronic32151
means and the registrar is prohibited from accepting the32152
application as provided in this division, the registrar shall32153
notify the owner of this fact and deny the application and return32154
the payment or give a credit on the financial transaction device32155
account of the owner in the manner the registrar prescribes by32156
rule adopted pursuant to division (A) of this section.32157

       (F) Every deputy registrar shall post in a prominent place at 32158
the deputy's office a notice informing the public of the mail32159
registration system required by this section and also shall post a32160
notice that every owner of a motor vehicle and every chauffeur32161
holding a certificate of registration is required to notify the32162
registrar in writing of any change of residence within ten days32163
after the change occurs. The notice shall be in such form as the32164
registrar prescribes by rule.32165

       (G) The two dollars and seventy-five cents fee collected from 32166
July 1, 2001, through December 31, 2002, the three dollars and 32167
twenty-five cents fee collected from January 1, 2003, through32168
December 31, 2003, and the three dollars and fifty cents fee32169
collected after January 1, 2004, plus postage and any financial32170
transaction device surcharge collected by the registrar for32171
registration by mail, shall be paid to the credit of the state32172
bureau of motor vehicles fund established by section 4501.25 of32173
the Revised Code.32174

       (H)(1) Pursuant to section 113.40 of the Revised Code, the32175
registrar may implement a program permitting payment of motor32176
vehicle registration taxes and fees, driver's license and32177
commercial driver's license fees, and any other taxes, fees,32178
penalties, or charges imposed or levied by the state by means of a32179
financial transaction device. The registrar may adopt rules as32180
necessary for this purpose.32181

       (2) Not later than December 31, 2007, the registrar shall 32182
adopt rules to implement a program permitting payment in person at 32183
the office of a deputy registrar of all motor vehicle registration 32184
taxes and fees, driver's licenses and commercial driver's license 32185
fees, and any other taxes, fees, penalties, or charges imposed or 32186
levied by the state by means of a financial transaction device. A 32187
deputy registrar may choose, but in no case shall be required, to 32188
participate in this program.32189

       (I) For persons who reside in counties where tailpipe32190
emissions inspections are required under the motor vehicle32191
inspection and maintenance program, the notice required by32192
division (B) of this section shall also include the toll-free32193
telephone number maintained by the Ohio environmental protection32194
agency to provide information concerning the locations of32195
emissions testing centers.32196

       Sec. 4503.35. (A) The motor vehicles furnished by the state 32197
for use by the elective state officials, and motor vehicles owned 32198
and operated by political subdivisions of the state, are exempt 32199
from section 4503.23 of the Revised Code.32200

       (B) The motorfollowing vehicles are exempt from section 32201
4503.23 of the Revised Code:32202

       (1) Motor vehicles operated by troopers of the state highway 32203
patrol, and motor;32204

       (2) Motor vehicles operated by or on behalf of any person 32205
whose responsibilities include involvement in authorized civil or 32206
criminal investigations requiring that the presence and identity 32207
of the vehicle occupants be undisclosed, are exempt from section 32208
4503.23 of the Revised Code;32209

       (3) Motor vehicles used to assist crime victims when a state 32210
agency determines that the situation warrants it.32211

       Sec. 4505.06.  (A)(1) Application for a certificate of title 32212
shall be made in a form prescribed by the registrar of motor 32213
vehicles and shall be sworn to before a notary public or other 32214
officer empowered to administer oaths. The application shall be 32215
filed with the clerk of any court of common pleas. An application 32216
for a certificate of title may be filed electronically by any32217
electronic means approved by the registrar in any county with the 32218
clerk of the court of common pleas of that county. Any payments 32219
required by this chapter shall be considered as accompanying any 32220
electronically transmitted application when payment actually is 32221
received by the clerk. Payment of any fee or taxes may be made by 32222
electronic transfer of funds.32223

       (2) The application for a certificate of title shall be 32224
accompanied by the fee prescribed in section 4505.09 of the 32225
Revised Code. The fee shall be retained by the clerk who issues32226
the certificate of title and shall be distributed in accordance32227
with that section. If a clerk of a court of common pleas, other32228
than the clerk of the court of common pleas of an applicant's32229
county of residence, issues a certificate of title to the32230
applicant, the clerk shall transmit data related to the 32231
transaction to the automated title processing system.32232

       (3) If a certificate of title previously has been issued for 32233
a motor vehicle in this state, the application for a certificate 32234
of title also shall be accompanied by that certificate of title 32235
duly assigned, unless otherwise provided in this chapter. If a 32236
certificate of title previously has not been issued for the motor 32237
vehicle in this state, the application, unless otherwise provided 32238
in this chapter, shall be accompanied by a manufacturer's or 32239
importer's certificate or by a certificate of title of another 32240
state from which the motor vehicle was brought into this state. If 32241
the application refers to a motor vehicle last previously 32242
registered in another state, the application also shall be 32243
accompanied by the physical inspection certificate required by 32244
section 4505.061 of the Revised Code. If the application is made 32245
by two persons regarding a motor vehicle in which they wish to 32246
establish joint ownership with right of survivorship, they may do 32247
so as provided in section 2131.12 of the Revised Code. If the 32248
applicant requests a designation of the motor vehicle in 32249
beneficiary form so that upon the death of the owner of the motor 32250
vehicle, ownership of the motor vehicle will pass to a designated 32251
transfer-on-death beneficiary or beneficiaries, the applicant may 32252
do so as provided in section 2131.13 of the Revised Code. A person 32253
who establishes ownership of a motor vehicle that is transferable 32254
on death in accordance with section 2131.13 of the Revised Code 32255
may terminate that type of ownership or change the designation of 32256
the transfer-on-death beneficiary or beneficiaries by applying for 32257
a certificate of title pursuant to this section. The clerk shall32258
retain the evidence of title presented by the applicant and on32259
which the certificate of title is issued, except that, if an 32260
application for a certificate of title is filed electronically by 32261
an electronic motor vehicle dealer on behalf of the purchaser of a 32262
motor vehicle, the clerk shall retain the completed electronic 32263
record to which the dealer converted the certificate of title 32264
application and other required documents. The registrar, after 32265
consultation with the attorney general, shall adopt rules that 32266
govern the location at which, and the manner in which, are stored 32267
the actual application and all other documents relating to the 32268
sale of a motor vehicle when an electronic motor vehicle dealer 32269
files the application for a certificate of title electronically on 32270
behalf of the purchaser.32271

       The clerk shall use reasonable diligence in ascertaining 32272
whether or not the facts in the application for a certificate of 32273
title are true by checking the application and documents 32274
accompanying it or the electronic record to which a dealer32275
converted the application and accompanying documents with the32276
records of motor vehicles in the clerk's office. If the clerk is32277
satisfied that the applicant is the owner of the motor vehicle and 32278
that the application is in the proper form, the clerk, within five 32279
business days after the application is filed and except as 32280
provided in section 4505.021 of the Revised Code, shall issue a32281
physical certificate of title over the clerk's signature and 32282
sealed with the clerk's seal, unless the applicant specifically 32283
requests the clerk not to issue a physical certificate of title32284
and instead to issue an electronic certificate of title. For 32285
purposes of the transfer of a certificate of title, if the clerk 32286
is satisfied that the secured party has duly discharged a lien 32287
notation but has not canceled the lien notation with a clerk, the 32288
clerk may cancel the lien notation on the automated title 32289
processing system and notify the clerk of the county of origin.32290

       (4) In the case of the sale of a motor vehicle to a general32291
buyer or user by a dealer, by a motor vehicle leasing dealer32292
selling the motor vehicle to the lessee or, in a case in which the32293
leasing dealer subleased the motor vehicle, the sublessee, at the 32294
end of the lease agreement or sublease agreement, or by a32295
manufactured home broker, the certificate of title shall be 32296
obtained in the name of the buyer by the dealer, leasing dealer,32297
or manufactured home broker, as the case may be, upon application 32298
signed by the buyer. The certificate of title shall be issued, or 32299
the process of entering the certificate of title application 32300
information into the automated title processing system if a 32301
physical certificate of title is not to be issued shall be 32302
completed, within five business days after the application for 32303
title is filed with the clerk. If the buyer of the motor vehicle 32304
previously leased the motor vehicle and is buying the motor 32305
vehicle at the end of the lease pursuant to that lease, the 32306
certificate of title shall be obtained in the name of the buyer by 32307
the motor vehicle leasing dealer who previously leased the motor 32308
vehicle to the buyer or by the motor vehicle leasing dealer who 32309
subleased the motor vehicle to the buyer under a sublease 32310
agreement.32311

       In all other cases, except as provided in section 4505.032 32312
and division (D)(2) of section 4505.11 of the Revised Code, such 32313
certificates shall be obtained by the buyer.32314

       (5)(a)(i) If the certificate of title is being obtained in32315
the name of the buyer by a motor vehicle dealer or motor vehicle32316
leasing dealer and there is a security interest to be noted on the32317
certificate of title, the dealer or leasing dealer shall submit32318
the application for the certificate of title and payment of the32319
applicable tax to a clerk within seven business days after the32320
later of the delivery of the motor vehicle to the buyer or the32321
date the dealer or leasing dealer obtains the manufacturer's or32322
importer's certificate, or certificate of title issued in the name32323
of the dealer or leasing dealer, for the motor vehicle. Submission32324
of the application for the certificate of title and payment of the32325
applicable tax within the required seven business days may be32326
indicated by postmark or receipt by a clerk within that period.32327

       (ii) Upon receipt of the certificate of title with the32328
security interest noted on its face, the dealer or leasing dealer32329
shall forward the certificate of title to the secured party at the32330
location noted in the financing documents or otherwise specified32331
by the secured party.32332

       (iii) A motor vehicle dealer or motor vehicle leasing dealer32333
is liable to a secured party for a late fee of ten dollars per day32334
for each certificate of title application and payment of the32335
applicable tax that is submitted to a clerk more than seven32336
business days but less than twenty-one days after the later of the32337
delivery of the motor vehicle to the buyer or the date the dealer32338
or leasing dealer obtains the manufacturer's or importer's32339
certificate, or certificate of title issued in the name of the32340
dealer or leasing dealer, for the motor vehicle and, from then on,32341
twenty-five dollars per day until the application and applicable32342
tax are submitted to a clerk.32343

       (b) In all cases of transfer of a motor vehicle, the32344
application for certificate of title shall be filed within thirty 32345
days after the assignment or delivery of the motor vehicle. If an 32346
application for a certificate of title is not filed within the 32347
period specified in division (A)(5)(b) of this section, the clerk 32348
shall collect a fee of five dollars for the issuance of the 32349
certificate, except that no such fee shall be required from a 32350
motor vehicle salvage dealer, as defined in division (A) of 32351
section 4738.01 of the Revised Code, who immediately surrenders 32352
the certificate of title for cancellation. The fee shall be in 32353
addition to all other fees established by this chapter, and shall 32354
be retained by the clerk. The registrar shall provide, on the 32355
certificate of title form prescribed by section 4505.07 of the 32356
Revised Code, language necessary to give evidence of the date on 32357
which the assignment or delivery of the motor vehicle was made.32358

       (6) As used in division (A) of this section, "lease32359
agreement," "lessee," and "sublease agreement" have the same32360
meanings as in section 4505.04 of the Revised Code.32361

       (B)(1) The clerk, except as provided in this section, shall 32362
refuse to accept for filing any application for a certificate of 32363
title and shall refuse to issue a certificate of title unless the 32364
dealer or manufactured home broker or the applicant, in cases in 32365
which the certificate shall be obtained by the buyer, submits with 32366
the application payment of the tax levied by or pursuant to 32367
Chapters 5739. and 5741. of the Revised Code based on the 32368
purchaser's county of residence. Upon payment of the tax in 32369
accordance with division (E) of this section, the clerk shall 32370
issue a receipt prescribed by the registrar and agreed upon by the 32371
tax commissioner showing payment of the tax or a receipt issued by 32372
the commissioner showing the payment of the tax. When submitting 32373
payment of the tax to the clerk, a dealer shall retain any 32374
discount to which the dealer is entitled under section 5739.12 of 32375
the Revised Code.32376

       (2) For receiving and disbursing such taxes paid to the clerk32377
by a resident of the clerk's county, the clerk may retain a 32378
poundage fee of one and one one-hundredth per cent, and the clerk32379
shall pay the poundage fee into the certificate of title 32380
administration fund created by section 325.33 of the Revised Code.32381
The clerk shall not retain a poundage fee from payments of taxes 32382
by persons who do not reside in the clerk's county.32383

       A clerk, however, may retain from the taxes paid to the clerk32384
an amount equal to the poundage fees associated with certificates32385
of title issued by other clerks of courts of common pleas to32386
applicants who reside in the first clerk's county. The registrar,32387
in consultation with the tax commissioner and the clerks of the32388
courts of common pleas, shall develop a report from the automated32389
title processing system that informs each clerk of the amount of32390
the poundage fees that the clerk is permitted to retain from those32391
taxes because of certificates of title issued by the clerks of32392
other counties to applicants who reside in the first clerk's32393
county.32394

       (3) In the case of casual sales of motor vehicles, as defined 32395
in section 4517.01 of the Revised Code, the price for the purpose 32396
of determining the tax shall be the purchase price on the assigned 32397
certificate of title executed by the seller and filed with the 32398
clerk by the buyer on a form to be prescribed by the registrar, 32399
which shall be prima-facie evidence of the amount for the 32400
determination of the tax.32401

       (4) Each county clerk shall forward to the treasurer of state 32402
all sales and use tax collections resulting from sales of motor 32403
vehicles, off-highway motorcycles, and all-purpose vehicles during 32404
a calendar week on or before the Friday following the close of 32405
that week. If, on any Friday, the offices of the clerk of courts 32406
or the state are not open for business, the tax shall be forwarded 32407
to the treasurer of state on or before the next day on which the 32408
offices are open. Every remittance of tax under division (B)(4) of 32409
this section shall be accompanied by a remittance report in such 32410
form as the tax commissioner prescribes. Upon receipt of a tax 32411
remittance and remittance report, the treasurer of state shall 32412
date stamp the report and forward it to the tax commissioner. If 32413
the tax due for any week is not remitted by a clerk of courts as 32414
required under division (B)(4) of this section, the commissioner 32415
may require the clerk to forfeit the poundage fees for the sales 32416
made during that week. The treasurer of state may require the 32417
clerks of courts to transmit tax collections and remittance 32418
reports electronically.32419

       (C)(1) If the transferor indicates on the certificate of 32420
title that the odometer reflects mileage in excess of the designed 32421
mechanical limit of the odometer, the clerk shall enter the phrase 32422
"exceeds mechanical limits" following the mileage designation. If 32423
the transferor indicates on the certificate of title that the 32424
odometer reading is not the actual mileage, the clerk shall enter 32425
the phrase "nonactual: warning - odometer discrepancy" following 32426
the mileage designation. The clerk shall use reasonable care in 32427
transferring the information supplied by the transferor, but is 32428
not liable for any errors or omissions of the clerk or those of 32429
the clerk's deputies in the performance of the clerk's duties 32430
created by this chapter.32431

       The registrar shall prescribe an affidavit in which the 32432
transferor shall swear to the true selling price and, except as 32433
provided in this division, the true odometer reading of the motor 32434
vehicle. The registrar may prescribe an affidavit in which the 32435
seller and buyer provide information pertaining to the odometer 32436
reading of the motor vehicle in addition to that required by this 32437
section, as such information may be required by the United States 32438
secretary of transportation by rule prescribed under authority of 32439
subchapter IV of the "Motor Vehicle Information and Cost Savings 32440
Act," 86 Stat. 961 (1972), 15 U.S.C. 1981.32441

       (2) Division (C)(1) of this section does not require the 32442
giving of information concerning the odometer and odometer reading 32443
of a motor vehicle when ownership of a motor vehicle is being 32444
transferred as a result of a bequest, under the laws of intestate 32445
succession, to a survivor pursuant to section 2106.18, 2131.12, or 32446
4505.10 of the Revised Code, to a transfer-on-death beneficiary or 32447
beneficiaries pursuant to section 2131.13 of the Revised Code, in32448
connection with the creation of a security interest or for a 32449
vehicle with a gross vehicle weight rating of more than sixteen 32450
thousand pounds.32451

       (D) When the transfer to the applicant was made in some other 32452
state or in interstate commerce, the clerk, except as provided in 32453
this section, shall refuse to issue any certificate of title 32454
unless the tax imposed by or pursuant to Chapter 5741. of the 32455
Revised Code based on the purchaser's county of residence has been 32456
paid as evidenced by a receipt issued by the tax commissioner, or 32457
unless the applicant submits with the application payment of the 32458
tax. Upon payment of the tax in accordance with division (E) of 32459
this section, the clerk shall issue a receipt prescribed by the 32460
registrar and agreed upon by the tax commissioner, showing payment 32461
of the tax.32462

       For receiving and disbursing such taxes paid to the clerk by 32463
a resident of the clerk's county, the clerk may retain a poundage 32464
fee of one and one one-hundredth per cent. The clerk shall not 32465
retain a poundage fee from payments of taxes by persons who do not 32466
reside in the clerk's county.32467

       A clerk, however, may retain from the taxes paid to the clerk32468
an amount equal to the poundage fees associated with certificates32469
of title issued by other clerks of courts of common pleas to32470
applicants who reside in the first clerk's county. The registrar,32471
in consultation with the tax commissioner and the clerks of the32472
courts of common pleas, shall develop a report from the automated32473
title processing system that informs each clerk of the amount of32474
the poundage fees that the clerk is permitted to retain from those32475
taxes because of certificates of title issued by the clerks of32476
other counties to applicants who reside in the first clerk's32477
county.32478

       When the vendor is not regularly engaged in the business of 32479
selling motor vehicles, the vendor shall not be required to 32480
purchase a vendor's license or make reports concerning those32481
sales.32482

       (E) The clerk shall accept any payment of a tax in cash, or 32483
by cashier's check, certified check, draft, money order, or teller 32484
check issued by any insured financial institution payable to the 32485
clerk and submitted with an application for a certificate of title 32486
under division (B) or (D) of this section. The clerk also may 32487
accept payment of the tax by corporate, business, or personal 32488
check, credit card, electronic transfer or wire transfer, debit 32489
card, or any other accepted form of payment made payable to the 32490
clerk. The clerk may require bonds, guarantees, or letters of 32491
credit to ensure the collection of corporate, business, or 32492
personal checks. Any service fee charged by a third party to a 32493
clerk for the use of any form of payment may be paid by the clerk 32494
from the certificate of title administration fund created in 32495
section 325.33 of the Revised Code, or may be assessed by the 32496
clerk upon the applicant as an additional fee. Upon collection, 32497
the additional fees shall be paid by the clerk into that 32498
certificate of title administration fund.32499

       The clerk shall make a good faith effort to collect any 32500
payment of taxes due but not made because the payment was returned 32501
or dishonored, but the clerk is not personally liable for the 32502
payment of uncollected taxes or uncollected fees. The clerk shall 32503
notify the tax commissioner of any such payment of taxes that is 32504
due but not made and shall furnish the information to the 32505
commissioner that the commissioner requires. The clerk shall 32506
deduct the amount of taxes due but not paid from the clerk's 32507
periodic remittance of tax payments, in accordance with procedures 32508
agreed upon by the tax commissioner. The commissioner may collect 32509
taxes due by assessment in the manner provided in section 5739.13 32510
of the Revised Code.32511

       Any person who presents payment that is returned or 32512
dishonored for any reason is liable to the clerk for payment of a 32513
penalty over and above the amount of the taxes due. The clerk 32514
shall determine the amount of the penalty, and the penalty shall32515
be no greater than that amount necessary to compensate the clerk 32516
for banking charges, legal fees, or other expenses incurred by the 32517
clerk in collecting the returned or dishonored payment. The 32518
remedies and procedures provided in this section are in addition 32519
to any other available civil or criminal remedies. Subsequently 32520
collected penalties, poundage fees, and title fees, less any title32521
fee due the state, from returned or dishonored payments collected32522
by the clerk shall be paid into the certificate of title 32523
administration fund. Subsequently collected taxes, less poundage32524
fees, shall be sent by the clerk to the treasurer of state at the 32525
next scheduled periodic remittance of tax payments, with 32526
information as the commissioner may require. The clerk may abate 32527
all or any part of any penalty assessed under this division.32528

       (F) In the following cases, the clerk shall accept for filing 32529
an application and shall issue a certificate of title without 32530
requiring payment or evidence of payment of the tax:32531

       (1) When the purchaser is this state or any of its political 32532
subdivisions, a church, or an organization whose purchases are 32533
exempted by section 5739.02 of the Revised Code;32534

       (2) When the transaction in this state is not a retail sale 32535
as defined by section 5739.01 of the Revised Code;32536

       (3) When the purchase is outside this state or in interstate 32537
commerce and the purpose of the purchaser is not to use, store, or 32538
consume within the meaning of section 5741.01 of the Revised Code;32539

       (4) When the purchaser is the federal government;32540

       (5) When the motor vehicle was purchased outside this state 32541
for use outside this state;32542

       (6) When the motor vehicle is purchased by a nonresident of 32543
this state for immediate removal from this state, and will be 32544
permanently titled and registered in another state, as provided by 32545
division (B)(23) of section 5739.02under the circumstances 32546
described in division (B)(1) of section 5739.029 of the Revised 32547
Code, and upon presentation of a copy of the affidavit provided by32548
that section, and a copy of the exemption certificate provided by 32549
section 5739.03 of the Revised Code.32550

       (G) An application, as prescribed by the registrar and agreed 32551
to by the tax commissioner, shall be filled out and sworn to by 32552
the buyer of a motor vehicle in a casual sale. The application 32553
shall contain the following notice in bold lettering: "WARNING TO 32554
TRANSFEROR AND TRANSFEREE (SELLER AND BUYER): You are required by 32555
law to state the true selling price. A false statement is in 32556
violation of section 2921.13 of the Revised Code and is punishable 32557
by six months' imprisonment or a fine of up to one thousand 32558
dollars, or both. All transfers are audited by the department of 32559
taxation. The seller and buyer must provide any information 32560
requested by the department of taxation. The buyer may be assessed 32561
any additional tax found to be due."32562

       (H) For sales of manufactured homes or mobile homes occurring 32563
on or after January 1, 2000, the clerk shall accept for filing, 32564
pursuant to Chapter 5739. of the Revised Code, an application for 32565
a certificate of title for a manufactured home or mobile home 32566
without requiring payment of any tax pursuant to section 5739.02, 32567
5741.021, 5741.022, or 5741.023 of the Revised Code, or a receipt 32568
issued by the tax commissioner showing payment of the tax. For 32569
sales of manufactured homes or mobile homes occurring on or after 32570
January 1, 2000, the applicant shall pay to the clerk an 32571
additional fee of five dollars for each certificate of title 32572
issued by the clerk for a manufactured or mobile home pursuant to 32573
division (H) of section 4505.11 of the Revised Code and for each 32574
certificate of title issued upon transfer of ownership of the 32575
home. The clerk shall credit the fee to the county certificate of 32576
title administration fund, and the fee shall be used to pay the 32577
expenses of archiving those certificates pursuant to division (A) 32578
of section 4505.08 and division (H)(3) of section 4505.11 of the 32579
Revised Code. The tax commissioner shall administer any tax on a 32580
manufactured or mobile home pursuant to Chapters 5739. and 5741. 32581
of the Revised Code.32582

       (I) Every clerk shall have the capability to transact by 32583
electronic means all procedures and transactions relating to the 32584
issuance of motor vehicle certificates of title that are described 32585
in the Revised Code as being accomplished by electronic means.32586

       Sec. 4513.263.  (A) As used in this section and in section32587
4513.99 of the Revised Code:32588

       (1) "Automobile" means any commercial tractor, passenger car, 32589
commercial car, or truck that is required to be factory-equipped 32590
with an occupant restraining device for the operator or any 32591
passenger by regulations adopted by the United States secretary of 32592
transportation pursuant to the "National Traffic and Motor Vehicle 32593
Safety Act of 1966," 80 Stat. 719, 15 U.S.C.A. 1392.32594

       (2) "Occupant restraining device" means a seat safety belt,32595
shoulder belt, harness, or other safety device for restraining a32596
person who is an operator of or passenger in an automobile and32597
that satisfies the minimum federal vehicle safety standards32598
established by the United States department of transportation.32599

       (3) "Passenger" means any person in an automobile, other than 32600
its operator, who is occupying a seating position for which an 32601
occupant restraining device is provided.32602

       (4) "Commercial tractor," "passenger car," and "commercial32603
car" have the same meanings as in section 4501.01 of the Revised32604
Code.32605

       (5) "Vehicle" and "motor vehicle," as used in the definitions 32606
of the terms set forth in division (A)(4) of this section, have 32607
the same meanings as in section 4511.01 of the Revised Code.32608

       (6) "Tort action" means a civil action for damages for 32609
injury, death, or loss to person or property. "Tort action" 32610
includes a product liability claim, as defined in section 2307.71 32611
of the Revised Code, and an asbestos claim, as defined in section 32612
2307.91 of the Revised Code, but does not include a civil action 32613
for damages for breach of contract or another agreement between 32614
persons.32615

       (B) No person shall do any of the following:32616

       (1) Operate an automobile on any street or highway unless32617
that person is wearing all of the available elements of a properly32618
adjusted occupant restraining device, or operate a school bus that32619
has an occupant restraining device installed for use in its32620
operator's seat unless that person is wearing all of the available32621
elements of the device, as properly adjusted;32622

       (2) Operate an automobile on any street or highway unless32623
each passenger in the automobile who is subject to the requirement32624
set forth in division (B)(3) of this section is wearing all of the32625
available elements of a properly adjusted occupant restraining32626
device;32627

       (3) Occupy, as a passenger, a seating position on the front32628
seat of an automobile being operated on any street or highway32629
unless that person is wearing all of the available elements of a32630
properly adjusted occupant restraining device;32631

       (4) Operate a taxicab on any street or highway unless all32632
factory-equipped occupant restraining devices in the taxicab are32633
maintained in usable form.32634

       (C) Division (B)(3) of this section does not apply to a32635
person who is required by section 4511.81 of the Revised Code to32636
be secured in a child restraint device. Division (B)(1) of this32637
section does not apply to a person who is an employee of the32638
United States postal service or of a newspaper home delivery32639
service, during any period in which the person is engaged in the32640
operation of an automobile to deliver mail or newspapers to32641
addressees. Divisions (B)(1) and (3) of this section do not apply32642
to a person who has an affidavit signed by a physician licensed to32643
practice in this state under Chapter 4731. of the Revised Code or32644
a chiropractor licensed to practice in this state under Chapter32645
4734. of the Revised Code that states that the person has a32646
physical impairment that makes use of an occupant restraining32647
device impossible or impractical.32648

       (D) Notwithstanding any provision of law to the contrary, no32649
law enforcement officer shall cause an operator of an automobile32650
being operated on any street or highway to stop the automobile for32651
the sole purpose of determining whether a violation of division32652
(B) of this section has been or is being committed or for the sole32653
purpose of issuing a ticket, citation, or summons for a violation32654
of that nature or causing the arrest of or commencing a32655
prosecution of a person for a violation of that nature, and no law32656
enforcement officer shall view the interior or visually inspect32657
any automobile being operated on any street or highway for the32658
sole purpose of determining whether a violation of that nature has32659
been or is being committed.32660

       (E) All fines collected for violations of division (B) of32661
this section, or for violations of any ordinance or resolution of32662
a political subdivision that is substantively comparable to that32663
division, shall be forwarded to the treasurer of state for deposit32664
as follows:32665

       (1) Eight per cent shall be deposited into the seat belt32666
education fund, which is hereby created in the state treasury, and32667
shall be used by the department of public safety to establish a32668
seat belt education program.32669

       (2) Eight per cent shall be deposited into the elementary32670
school program fund, which is hereby created in the state32671
treasury, and shall be used by the department of public safety to32672
establish and administer elementary school programs that encourage32673
seat safety belt use.32674

       (3) Two per cent shall be deposited into the Ohio medical 32675
transportation trustoccupational licensing and regulatory fund 32676
created by section 4766.054743.05 of the Revised Code.32677

       (4) Twenty-eight per cent shall be deposited into the trauma32678
and emergency medical services fund, which is hereby created in32679
the state treasury, and shall be used by the department of public32680
safety for the administration of the division of emergency medical32681
services and the state board of emergency medical services.32682

       (5) Fifty-four per cent shall be deposited into the trauma32683
and emergency medical services grants fund, which is hereby32684
created in the state treasury, and shall be used by the state32685
board of emergency medical services to make grants, in accordance32686
with section 4765.07 of the Revised Code and rules the board32687
adopts under section 4765.11 of the Revised Code.32688

       (F)(1) Subject to division (F)(2) of this section, the32689
failure of a person to wear all of the available elements of a32690
properly adjusted occupant restraining device in violation of 32691
division (B)(1) or (3) of this section or the failure of a person 32692
to ensure that each minor who is a passenger of an automobile32693
being operated by that person is wearing all of the available32694
elements of a properly adjusted occupant restraining device in32695
violation of division (B)(2) of this section shall not be32696
considered or used by the trier of fact in a tort action as32697
evidence of negligence or contributory negligence. But, the trier 32698
of fact may determine based on evidence admitted consistent with 32699
the Ohio rulesRules of evidenceEvidence that the failure 32700
contributed to the harm alleged in the tort action and may 32701
diminish a recovery of compensatory damages that represents 32702
noneconomic loss, as defined in section 2307.011 of the Revised 32703
Code, in a tort action that could have been recovered but for the 32704
plaintiff's failure to wear all of the available elements of a 32705
properly adjusted occupant restraining device. Evidence of that 32706
failure shall not be used as a basis for a criminal prosecution of 32707
the person other than a prosecution for a violation of this 32708
section; and shall not be admissible as evidence in a criminal 32709
action involving the person other than a prosecution for a 32710
violation of this section.32711

       (2) If, at the time of an accident involving a passenger car32712
equipped with occupant restraining devices, any occupant of the32713
passenger car who sustained injury or death was not wearing an32714
available occupant restraining device, was not wearing all of the32715
available elements of such a device, or was not wearing such a32716
device as properly adjusted, then, consistent with the Rules of32717
Evidence, the fact that the occupant was not wearing the available32718
occupant restraining device, was not wearing all of the available32719
elements of such a device, or was not wearing such a device as32720
properly adjusted is admissible in evidence in relation to any32721
claim for relief in a tort action to the extent that the claim for32722
relief satisfies all of the following:32723

       (a) It seeks to recover damages for injury or death to the32724
occupant.32725

       (b) The defendant in question is the manufacturer, designer,32726
distributor, or seller of the passenger car.32727

       (c) The claim for relief against the defendant in question is 32728
that the injury or death sustained by the occupant was enhanced or 32729
aggravated by some design defect in the passenger car or that the 32730
passenger car was not crashworthy.32731

       (G)(1) Whoever violates division (B)(1) of this section shall 32732
be fined thirty dollars.32733

       (2) Whoever violates division (B)(3) of this section shall be 32734
fined twenty dollars.32735

       (3) Except as otherwise provided in this division, whoever32736
violates division (B)(4) of this section is guilty of a minor32737
misdemeanor. If the offender previously has been convicted of or32738
pleaded guilty to a violation of division (B)(4) of this section,32739
whoever violates division (B)(4) of this section is guilty of a32740
misdemeanor of the third degree.32741

       Sec. 4513.35.  (A) All fines collected under sections 4511.01 32742
to 4511.78, 4511.99, and 4513.01 to 4513.37 of the Revised Code 32743
shall be paid into the county treasury and, with the exception of 32744
that portion distributed under section 3375.53 of the Revised 32745
Code, shall be placed to the credit of the fund for the 32746
maintenance and repair of the highways within that county, except 32747
that:32748

       (1) All fines for violations of division (B) of section32749
4513.263 shall be delivered to the treasurer of state as provided32750
in division (E) of section 4513.263 of the Revised Code.32751

       (2) All fines collected from, or moneys arising from bonds32752
forfeited by, persons apprehended or arrested by state highway32753
patrolmen shall be distributed as provided in section 5503.04 of32754
the Revised Code.32755

       (3)(a) Subject to division (E) of section 4513.263 of the32756
Revised Code and except as otherwise provided in division32757
(A)(3)(b) of this section, one-half of all fines collected from,32758
and one-half of all moneys arising from bonds forfeited by,32759
persons apprehended or arrested by a township constable or other32760
township police officer shall be paid to the township treasury to32761
be placed to the credit of the general fund.32762

       (b) All fines collected from, and all moneys arising from32763
bonds forfeited by, persons apprehended or arrested by a township32764
constable or other township police officer pursuant to division32765
(B)(2) of section 4513.39 of the Revised Code for a violation of32766
section 4511.21 of the Revised Code or any other law, ordinance,32767
or regulation pertaining to speed that occurred on a highway32768
included as part of the interstate system, as defined in section32769
5516.01 of the Revised Code, shall be paid into the county32770
treasury and be credited as provided in the first paragraph of32771
this section.32772

       (B) Notwithstanding any other provision of this section or of 32773
any other section of the Revised Code:32774

       (1) All fines collected from, and all moneys arising from32775
bonds forfeited by, persons arrested under division (E)(1) or (2) 32776
of section 2935.03 of the Revised Code are deemed to be collected, 32777
and to arise, from arrests made within the jurisdiction in which 32778
the arresting officer is appointed, elected, or employed, for 32779
violations of one of the sections or chapters of the Revised Code 32780
listed in division (E)(1) of that section and shall be distributed 32781
accordingly.32782

       (2) All fines collected from, and all moneys arising from32783
bonds forfeited by, persons arrested under division (E)(3) of 32784
section 2935.03 of the Revised Code are deemed to be collected,32785
and to arise, from arrests made within the jurisdiction in which32786
the arresting officer is appointed, elected, or employed, for32787
violations of municipal ordinances that are substantially32788
equivalent to one of the sections or one of the provisions of one32789
of the chapters of the Revised Code listed in division (E)(1) of 32790
that section and for violations of one of the sections or one of 32791
the provisions of one of the chapters of the Revised Code listed 32792
in division (E)(1) of that section, and shall be distributed 32793
accordingly.32794

       Sec. 4519.55.  Application for a certificate of title for an 32795
off-highway motorcycle or all-purpose vehicle shall be made upon a 32796
form prescribed by the registrar of motor vehicles and shall be 32797
sworn to before a notary public or other officer empowered to 32798
administer oaths. The application shall be filed with the clerk of 32799
any court of common pleas. An application for a certificate of32800
title may be filed electronically by any electronic means approved 32801
by the registrar in any county with the clerk of the court of 32802
common pleas of that county.32803

       If an application for a certificate of title is filed 32804
electronically by an electronic dealer on behalf of the purchaser 32805
of an off-highway motorcycle or all-purpose vehicle, the clerk 32806
shall retain the completed electronic record to which the dealer 32807
converted the certificate of title application and other required 32808
documents. The registrar, after consultation with the attorney 32809
general, shall adopt rules that govern the location at which, and 32810
the manner in which, are stored the actual application and all 32811
other documents relating to the sale of an off-highway motorcycle 32812
or all-purpose vehicle when an electronic dealer files the 32813
application for a certificate of title electronically on behalf of 32814
the purchaser.32815

       The application shall be accompanied by the fee prescribed in 32816
section 4519.59 of the Revised Code. The fee shall be retained by 32817
the clerk who issues the certificate of title and shall be32818
distributed in accordance with that section. If a clerk of a32819
court of common pleas, other than the clerk of the court of common 32820
pleas of an applicant's county of residence, issues a certificate 32821
of title to the applicant, the clerk shall transmit data related 32822
to the transaction to the automated title processing system.32823

       If a certificate of title previously has been issued for an 32824
off-highway motorcycle or all-purpose vehicle, the application 32825
also shall be accompanied by the certificate of title duly 32826
assigned, unless otherwise provided in this chapter. If a 32827
certificate of title previously has not been issued for the 32828
off-highway motorcycle or all-purpose vehicle, the application, 32829
unless otherwise provided in this chapter, shall be accompanied by 32830
a manufacturer's or importer's certificate; by a sworn statement 32831
of ownership; or by a certificate of title, bill of sale, or other 32832
evidence of ownership required by law of another state from which 32833
the off-highway motorcycle or all-purpose vehicle was brought into 32834
this state. The registrar, in accordance with Chapter 119. of the 32835
Revised Code, shall prescribe the types of additional 32836
documentation sufficient to establish proof of ownership, 32837
including, but not limited to, receipts from the purchase of parts 32838
or components, photographs, and affidavits of other persons.32839

       For purposes of the transfer of a certificate of title, if 32840
the clerk is satisfied that a secured party has duly discharged a 32841
lien notation but has not canceled the lien notation with a clerk, 32842
the clerk may cancel the lien notation on the automated title 32843
processing system and notify the clerk of the county of origin.32844

       In the case of the sale of an off-highway motorcycle or 32845
all-purpose vehicle by a dealer to a general purchaser or user, 32846
the certificate of title shall be obtained in the name of the 32847
purchaser by the dealer upon application signed by the purchaser. 32848
In all other cases, the certificate shall be obtained by the 32849
purchaser. In all cases of transfer of an off-highway motorcycle 32850
or all-purpose vehicle, the application for certificate of title 32851
shall be filed within thirty days after the later of the date of 32852
purchase or assignment of ownership of the off-highway motorcycle 32853
or all-purpose vehicle. If the application for certificate of 32854
title is not filed within thirty days after the later of the date 32855
of purchase or assignment of ownership of the off-highway 32856
motorcycle or all-purpose vehicle, the clerk shall charge a late 32857
filing fee of five dollars in addition to the fee prescribed by 32858
section 4519.59 of the Revised Code. The clerk shall retain the 32859
entire amount of each late filing fee.32860

       Except in the case of an off-highway motorcycle or 32861
all-purpose vehicle purchased prior to July 1, 1999, the clerk32862
shall refuse to accept an application for certificate of title32863
unless the applicant either tenders with the application payment32864
of all taxes levied by or pursuant to Chapter 5739. or 5741. of32865
the Revised Code based on the purchaser's county of residence, or 32866
submits either of the following:32867

       (A) A receipt issued by the tax commissioner or a clerk of 32868
courts showing payment of the tax;32869

       (B) An exemption certificate, in any form prescribed by the 32870
tax commissioner, that specifies why the purchase is not subject 32871
to the tax imposed by Chapter 5739. or 5741. of the Revised Code.32872

       Payment of the tax shall be made in accordance with division 32873
(E) of section 4505.06 of the Revised Code and any rules issued by 32874
the tax commissioner. When a dealer submits payment of the tax to 32875
the clerk, the dealer shall retain any discount to which the 32876
dealer is entitled under section 5739.12 of the Revised Code. The 32877
clerk shall issue a receipt in the form prescribed by the tax 32878
commissioner to any applicant who tenders payment of the tax with 32879
the application for a certificate of title. If the application for 32880
a certificate of title is for an off-highway motorcycle or 32881
all-purpose vehicle purchased prior to July 1, 1999, the clerk 32882
shall accept the application without payment of the taxes levied 32883
by or pursuant to Chapter 5739. or 5741. of the Revised Code or32884
presentation of either of the items listed in division (A) or (B) 32885
of this section.32886

       For receiving and disbursing such taxes paid to the clerk by32887
a resident of the clerk's county, the clerk may retain a poundage 32888
fee of one and one-hundredth per cent of the taxes collected, 32889
which shall be paid into the certificate of title administration 32890
fund created by section 325.33 of the Revised Code. The clerk32891
shall not retain a poundage fee from payments of taxes by persons32892
who do not reside in the clerk's county.32893

       A clerk, however, may retain from the taxes paid to the clerk32894
an amount equal to the poundage fees associated with certificates32895
of title issued by other clerks of courts of common pleas to32896
applicants who reside in the first clerk's county. The registrar,32897
in consultation with the tax commissioner and the clerks of the32898
courts of common pleas, shall develop a report from the automated32899
title processing system that informs each clerk of the amount of32900
the poundage fees that the clerk is permitted to retain from those32901
taxes because of certificates of title issued by the clerks of32902
other counties to applicants who reside in the first clerk's32903
county.32904

       In the case of casual sales of off-highway motorcycles or 32905
all-purpose vehicles that are subject to the tax imposed by 32906
Chapter 5739. or 5741. of the Revised Code, the purchase price for 32907
the purpose of determining the tax shall be the purchase price on 32908
an affidavit executed and filed with the clerk by the seller on a 32909
form to be prescribed by the registrar, which shall be prima-facie 32910
evidence of the price for the determination of the tax.32911

       In addition to the information required by section 4519.57 of 32912
the Revised Code, each certificate of title shall contain in bold 32913
lettering the following notification and statements: "WARNING TO 32914
TRANSFEROR AND TRANSFEREE (SELLER AND BUYER): You are required by 32915
law to state the true selling price. A false statement is in 32916
violation of section 2921.13 of the Revised Code and is punishable 32917
by six months imprisonment or a fine of up to one thousand 32918
dollars, or both. All transfers are audited by the department of 32919
taxation. The seller and buyer must provide any information 32920
requested by the department of taxation. The buyer may be assessed 32921
any additional tax found to be due."32922

       The clerk shall forward all payments of taxes, less poundage32923
fees, to the treasurer of state in a manner to be prescribed by 32924
the tax commissioner and shall furnish information to the 32925
commissioner as the commissioner may require.32926

       Every clerk shall have the capability to transact by 32927
electronic means all procedures and transactions relating to the 32928
issuance of certificates of title for off-highway motorcycles and 32929
all-purpose vehicles that are described in the Revised Code as 32930
being accomplished by electronic means.32931

       Sec. 4715.251.  Each person licensed to practice as a dental 32932
hygienist and required to register with the state dental board 32933
shall, each time hethe person applies for renewal of registration 32934
beginning in 1995, be currently certified to perform basic 32935
life-support procedures by having successfully completed a basic 32936
life-support training course certified by either the American red 32937
cross or, the American heart association, or, if determined 32938
equivalent by the board, the American safety and health institute. 32939
An applicant for renewal of registration shall certify on the 32940
application for renewal of registration prescribed by the board 32941
under section 4715.24 of the Revised Code that hethe applicant32942
possesses the certification required by this section.32943

       The board shall, not later than one hundred eighty days after 32944
the effective date of this amendment, determine whether basic 32945
life-support training certified by the American safety and health 32946
institute meets national standards. The board shall compare the 32947
training certified by the institute with the training certified by 32948
the American red cross and the American heart association and the 32949
training of instructors certified by the institute to the training 32950
of instructors certified by the American red cross and the 32951
American heart association.32952

       If the board determines that the training certified by the 32953
American safety and health institute meets national standards and 32954
is equivalent to the training certified by the American red cross 32955
and the American heart association, the board shall accept 32956
training certified by the American safety and health institute in 32957
fulfillment of the requirements of this section.32958

       Sec. 4717.07.  (A) The board of embalmers and funeral32959
directors shall charge and collect the following fees:32960

       (1) For the initial issuance or biennial renewal of an 32961
embalmer's or funeral director's license, one hundred forty 32962
dollars;32963

       (2) For the issuance of an embalmer or funeral director32964
registration, twenty-five dollars;32965

       (3) For filing an embalmer or funeral director certificate of32966
apprenticeship, ten dollars;32967

       (4) For the application to take the examination for a license 32968
to practice as an embalmer or funeral director, or to retake a 32969
section of the examination, thirty-five dollars;32970

       (5) For the initial issuance of a license to operate a32971
funeral home, two hundred fifty dollars and biennial renewal of a 32972
license to operate a funeral home, two hundred fifty dollars;32973

       (6) For the reinstatement of a lapsed embalmer's or funeral32974
director's license, the renewal fee prescribed in division32975
(A)(5)(1) of this section plus fifty dollars for each month or32976
portion of a month the license is lapsed until reinstatement;32977

       (7) For the reinstatement of a lapsed license to operate a32978
funeral home, the renewal fee prescribed in division (A)(6)(5) of32979
this section plus fifty dollars for each month or portion of a32980
month the license is lapsed until reinstatement;32981

       (8) For the initial issuance of a license to operate an32982
embalming facility, two hundred dollars and biennial renewal of a32983
license to operate an embalming facility, two hundred dollars;32984

       (9) For the reinstatement of a lapsed license to operate an32985
embalming facility, the renewal fee prescribed in division32986
(A)(9)(8) of this section plus fifty dollars for each month or32987
portion of a month the license is lapsed until reinstatement;32988

       (10) For the initial issuance of a license to operate a32989
crematory facility, two hundred dollars and biennial renewal of a32990
license to operate a crematory facility, two hundred dollars;32991

       (11) For the reinstatement of a lapsed license to operate a32992
crematory facility, the renewal fee prescribed in division32993
(A)(11)(10) of this section plus fifty dollars for each month or32994
portion of a month the license is lapsed until reinstatement;32995

       (12) For the issuance of a duplicate of a license issued32996
under this chapter, four dollars.32997

       (B) In addition to the fees set forth in division (A) of this 32998
section, an applicant shall pay the examination fee assessed by 32999
any examining agency the board uses for any section of an33000
examination required under this chapter.33001

       (C) Subject to the approval of the controlling board, the33002
board of embalmers and funeral directors may establish fees in33003
excess of the amounts set forth in this section, provided that33004
these fees do not exceed the amounts set forth in this section by33005
more than fifty per cent.33006

       Sec. 4723.621.  The medication aide advisory council created 33007
under section 4723.62 of the Revised Code shall make 33008
recommendations to the board of nursing with respect to all of the 33009
following:33010

       (A) The design and operation of the medication aide pilot 33011
program conducted under section 4723.63 of the Revised Code, 33012
including a method of collecting data through reports submitted by 33013
participating nursing homes and residential care facilities;33014

       (B) The content of the course of instruction required to 33015
obtain certification as a medication aide, including the 33016
examination to be used to evaluate the ability to administer 33017
prescription medications safely and the score that must be 33018
attained to pass the examination;33019

       (C) Whether medication aides may administer prescription 33020
medications through a gastrostomy or jejunostomy tube and the 33021
amount and type of training a medication aide needs to be 33022
adequately prepared to administer prescription medications through 33023
a gastrostomy or jejunostomy tube;33024

       (D) Protection of the health and welfare of the residents of 33025
nursing homes and residential care facilities participating in the 33026
pilot program and using medication aides pursuant to section 33027
4723.64 of the Revised Code on or after July 1, 2007;33028

       (E) The board's adoption of rules under section 4723.69 of 33029
the Revised Code;33030

       (F) Any other issue the council considers relevant to the use 33031
of medication aides in nursing homes and residential care 33032
facilities.33033

       Sec. 4723.63.  (A) In consultation with the medication aide 33034
advisory council established under section 4723.62 of the Revised 33035
Code, the board of nursing shall conduct a pilot program for the 33036
use of medication aides in nursing homes and residential care 33037
facilities. The board shall conduct the pilot program in a manner 33038
consistent with human protection and other ethical concerns 33039
typically associated with research studies involving live 33040
subjects. The pilot program shall be commenced not later than May 33041
1, 2006, and shall be conducted until July 1, 2007end on the 33042
thirty-first day after the report required by division (F)(2) of 33043
this section is submitted in accordance with that division.33044

        During the period the pilot program is conducted, a nursing 33045
home or residential care facility participating in the pilot 33046
program may use one or more medication aides to administer 33047
prescription medications to its residents, subject to bothall of 33048
the following conditions:33049

        (1) Each individual used as a medication aide must hold a 33050
current, valid medication aide certificate issued by the board of 33051
nursing under this chapter.33052

        (2) The nursing home or residential care facility shall 33053
ensure that the requirements of section 4723.67 of the Revised 33054
Code are met.33055

       (3) The nursing home or residential care facility shall 33056
submit to the board, not later than the thirty-first day after the 33057
day the board makes its request under division (F)(1)(a) of this 33058
section, the data required by division (F)(1)(a) of this section.33059

       (B) The board, in consultation with the medication aide 33060
advisory council, shall do all of the following not later than 33061
February 1, 2006:33062

       (1) Design the pilot program;33063

       (2) Establish standards to govern medication aides and the 33064
nursing homes and residential care facilities participating in the 33065
pilot program, including standards for the training of medication 33066
aides and the staff of participating nursing homes and residential 33067
care facilities;33068

       (3) Establish standards to protect the health and safety of 33069
the residents of the nursing homes and residential care facilities 33070
participating in the program;33071

       (4) Implement a process for selecting the nursing homes and 33072
residential care facilities to participate in the program.33073

       (C)(1) A nursing home or residential care facility may 33074
volunteer to participate in the pilot program by submitting an 33075
application to the board on a form prescribed and provided by the 33076
board. From among the applicants, the board shall select eighty 33077
nursing homes and forty residential care facilities to participate 33078
in the pilot program. When the board denies an application, it 33079
shall notify, in writing, the president and minority leader of the 33080
senate and the speaker and minority leader of the house of 33081
representatives of the denial and the reasons for the denial.33082

       (2) To be eligible to participate, a nursing home or 33083
residential care facility shall agree to observe the standards 33084
established by the board for the use of medication aides. A 33085
nursing home is eligible to participate only if the department of 33086
health has found in the two most recent surveyssurvey or 33087
inspectionsinspection of the home that the home is free from 33088
deficiencies related to the administration of medication. A 33089
residential care facility is eligible to participate only if the 33090
department has found that the facility is free from deficiencies 33091
related to the provision of skilled nursing care or the 33092
administration of medication.33093

       (D) As a condition of participation in the pilot program, a 33094
nursing home and residential care facility selected by the board 33095
shall pay the participation fee established in rules adopted under 33096
section 4723.69 of the Revised Code. The participation fee is not 33097
reimbursable under the medicaid program established under Chapter 33098
5111. of the Revised Code.33099

       (E) On receipt of evidence found credible by the board that 33100
continued participation by a nursing home or residential care 33101
facility poses an imminent danger, risk of serious harm, or 33102
jeopardy to a resident of the home or facility, the board may 33103
terminate the authority of the home or facility to participate in 33104
the pilot program.33105

       (F)(1) With the assistance of the medication aide advisory 33106
council, the board shall conduct an evaluation of the pilot 33107
program. In conducting the evaluation, the board shall do all of 33108
the following:33109

       (a) Request from each nursing home and residential care 33110
facility participating in the pilot program, on the ninety-first 33111
day after the day the board issues a medication aide certificate 33112
under section 4723.651 of the Revised Code to the seventy-fifth 33113
individual, the data the board requires participating nursing 33114
homes and residential care facilities to report under rules the 33115
board adopts under section 4723.69 of the Revised Code.33116

       (b) Assess whether medication aides are able to administer 33117
prescription medications safely to nursing home and residential 33118
care facility residents;33119

       (b)(c) Determine the financial implications of using 33120
medication aides in nursing homes and residential care facilities;33121

       (c)(d) Consider any other issue the board or council 33122
considers relevant to the evaluation.33123

       (2) Not later than March 1, 2007the one hundred eighty-first 33124
day after the day the board issues a medication aide certificate 33125
under section 4723.651 of the Revised Code to the seventy-fifth 33126
individual, the board shall prepare a report of its findings and 33127
recommendations derived from the evaluation of the pilot program. 33128
The board shall submit the report to the governor, president and 33129
minority leader of the senate, speaker and minority leader of the 33130
house of representatives, and director of health.33131

       (G) The board shall, on the day it issues a medication aide 33132
certificate to the seventy-fifth individual, post a notice on its 33133
web site indicating the date on which any nursing home or 33134
residential care facility may use medication aides in accordance 33135
with section 4723.64 of the Revised Code.33136

       Sec. 4723.64.  On and after July 1, 2007the thirty-first day 33137
following the board of nursing's submission of the report required 33138
by division (F)(2) of section 4723.63 of the Revised Code, any 33139
nursing home or residential care facility may use one or more 33140
medication aides to administer prescription medications to its 33141
residents, subject to both of the following conditions:33142

        (A) Each individual used as a medication aide must hold a 33143
current, valid medication aide certificate issued by the board of 33144
nursing under this chapter.33145

        (B) The nursing home or residential care facility shall 33146
ensure that the requirements of section 4723.67 of the Revised 33147
Code are met.33148

       Sec. 4723.65.  (A) An individual seeking certification as a 33149
medication aide shall apply to the board of nursing on a form 33150
prescribed and provided by the board. If the application is 33151
submitted on or after July 1, 2007the day any nursing home or 33152
residential care facility may initially use medication aides as 33153
specified in section 4723.64 of the Revised Code, the application 33154
shall be accompanied by the certification fee established in rules 33155
adopted under section 4723.69 of the Revised Code.33156

       (B)(1) Except as provided in division (B)(2) of this section, 33157
an applicant for a medication aide certificate shall submit a 33158
request to the bureau of criminal identification and investigation 33159
for a criminal records check. The request shall be on the form 33160
prescribed pursuant to division (C)(1) of section 109.572 of the 33161
Revised Code and shall be accompanied by a standard impression 33162
sheet to obtain fingerprints prescribed pursuant to division 33163
(C)(2) of that section. The request shall also be accompanied by 33164
the fee prescribed pursuant to division (C)(3) of section 109.572 33165
of the Revised Code. On receipt of the completed form, the 33166
completed impression sheet, and the fee, the bureau shall conduct 33167
a criminal records check of the applicant. On completion of the 33168
criminal records check, the bureau shall send the results of the 33169
check to the board. An applicant requesting a criminal records 33170
check under this division who has not lived in this state for at 33171
least five years shall ask the superintendent of the bureau of 33172
criminal identification and investigation to also request that the 33173
federal bureau of investigation provide the superintendent with 33174
any information it has with respect to the applicant.33175

       (2) If a criminal records check of an applicant was completed 33176
pursuant to section 3721.121 of the Revised Code not more than 33177
five years prior to the date the application is submitted, the 33178
applicant may include a certified copy of the criminal records 33179
check completed pursuant to that section and is not required to 33180
comply with division (B)(1) of this section.33181

       (3) A criminal records check provided to the board in 33182
accordance with division (B)(1) or (B)(2) of this section shall 33183
not be made available to any person or for any purpose other than 33184
the following:33185

       (a) The results may be made available to any person for use 33186
in determining whether the individual who is the subject of the 33187
check should be issued a medication aide certificate.33188

       (b) The results may be made available to the person who is 33189
the subject of the check or a representative of that person.33190

       Sec. 4723.66.  (A) A person or government entity seeking 33191
approval to provide a medication aide training program shall apply 33192
to the board of nursing on a form prescribed and provided by the 33193
board. If the application is submitted on or after July 1, 200733194
the day any nursing home or residential care facility may 33195
initially use medication aides as specified in section 4723.64 of 33196
the Revised Code, the application shall be accompanied by the fee 33197
established in rules adopted under section 4723.69 of the Revised 33198
Code.33199

       (B) The board shall approve the applicant to provide a 33200
medication aide training program if the content of the course of 33201
instruction to be provided by the program meets the standards 33202
specified by the board in rules adopted under section 4723.69 of 33203
the Revised Code and includes all of the following:33204

       (1) At least seventy clock-hours of instruction, including 33205
both classroom instruction on medication administration and at 33206
least twenty clock-hours of supervised clinical practice in 33207
medication administration;33208

       (2) A mechanism for evaluating whether an individual's 33209
reading, writing, and mathematical skills are sufficient for the 33210
individual to be able to administer prescription medications 33211
safely;33212

       (3) An examination that tests the ability to administer 33213
prescription medications safely and that meets the requirements 33214
established by the board in rules adopted under section 4723.69 of 33215
the Revised Code.33216

       (C) The board may deny, suspend, or revoke the approval 33217
granted to the provider of a medication aide training program for 33218
reasons specified in rules adopted under section 4723.69 of the 33219
Revised Code. All actions taken by the board to deny, suspend, or 33220
revoke the approval of a training program shall be taken in 33221
accordance with Chapter 119. of the Revised Code.33222

       Sec. 4731.142.  (A) Except as provided in division (B) of33223
this section, an individual must demonstrate proficiency in spoken 33224
English, by passing an examination specified by the state medical 33225
board, to receive a certificate to practice issued under section33226
4731.14 of the Revised Code if the individual's eligibility for 33227
the certificate is based in part on certification from the33228
educational commission for foreign medical graduates and 33229
fulfillment of the undergraduate requirements established by 33230
section 4731.09 of the Revised Code at an institution outside the 33231
United States. The individual may demonstrate such proficiency by33232
obtaining a score of forty or higher on the test of spoken English 33233
conducted by the educational testing serviceThe board shall adopt 33234
rules specifying an acceptable examination and establishing the 33235
minimum score that demonstrates proficiency in spoken English.33236

       (B) An individual is not required to demonstrate proficiency 33237
in spoken English in accordance with division (A) of this section 33238
if the individual was required to demonstrate such proficiency as 33239
a condition of certification from the educational commission for 33240
foreign medical graduates.33241

       Sec. 4731.22.  (A) The state medical board, by an affirmative 33242
vote of not fewer than six of its members, may revoke or may33243
refuse to grant a certificate to a person found by the board to33244
have committed fraud during the administration of the examination 33245
for a certificate to practice or to have committed fraud, 33246
misrepresentation, or deception in applying for or securing any 33247
certificate to practice or certificate of registration issued by 33248
the board.33249

       (B) The board, by an affirmative vote of not fewer than six33250
members, shall, to the extent permitted by law, limit, revoke, or33251
suspend an individual's certificate to practice, refuse to33252
register an individual, refuse to reinstate a certificate, or33253
reprimand or place on probation the holder of a certificate for33254
one or more of the following reasons:33255

       (1) Permitting one's name or one's certificate to practice or33256
certificate of registration to be used by a person, group, or33257
corporation when the individual concerned is not actually33258
directing the treatment given;33259

       (2) Failure to maintain minimal standards applicable to the33260
selection or administration of drugs, or failure to employ33261
acceptable scientific methods in the selection of drugs or other33262
modalities for treatment of disease;33263

       (3) Selling, giving away, personally furnishing, prescribing, 33264
or administering drugs for other than legal and legitimate 33265
therapeutic purposes or a plea of guilty to, a judicial finding of 33266
guilt of, or a judicial finding of eligibility for intervention in33267
lieu of conviction of, a violation of any federal or state law 33268
regulating the possession, distribution, or use of any drug;33269

       (4) Willfully betraying a professional confidence.33270

       For purposes of this division, "willfully betraying a33271
professional confidence" does not include providing any33272
information, documents, or reports to a child fatality review33273
board under sections 307.621 to 307.629 of the Revised Code and33274
does not include the making of a report of an employee's use of a33275
drug of abuse, or a report of a condition of an employee other33276
than one involving the use of a drug of abuse, to the employer of33277
the employee as described in division (B) of section 2305.33 of33278
the Revised Code. Nothing in this division affects the immunity33279
from civil liability conferred by that section upon a physician33280
who makes either type of report in accordance with division (B) of33281
that section. As used in this division, "employee," "employer,"33282
and "physician" have the same meanings as in section 2305.33 of33283
the Revised Code.33284

       (5) Making a false, fraudulent, deceptive, or misleading33285
statement in the solicitation of or advertising for patients; in33286
relation to the practice of medicine and surgery, osteopathic33287
medicine and surgery, podiatric medicine and surgery, or a limited 33288
branch of medicine; or in securing or attempting to secure any 33289
certificate to practice or certificate of registration issued by 33290
the board.33291

       As used in this division, "false, fraudulent, deceptive, or33292
misleading statement" means a statement that includes a33293
misrepresentation of fact, is likely to mislead or deceive because33294
of a failure to disclose material facts, is intended or is likely33295
to create false or unjustified expectations of favorable results,33296
or includes representations or implications that in reasonable33297
probability will cause an ordinarily prudent person to33298
misunderstand or be deceived.33299

       (6) A departure from, or the failure to conform to, minimal33300
standards of care of similar practitioners under the same or33301
similar circumstances, whether or not actual injury to a patient33302
is established;33303

       (7) Representing, with the purpose of obtaining compensation33304
or other advantage as personal gain or for any other person, that33305
an incurable disease or injury, or other incurable condition, can33306
be permanently cured;33307

       (8) The obtaining of, or attempting to obtain, money or33308
anything of value by fraudulent misrepresentations in the course33309
of practice;33310

       (9) A plea of guilty to, a judicial finding of guilt of, or a 33311
judicial finding of eligibility for intervention in lieu of33312
conviction for, a felony;33313

       (10) Commission of an act that constitutes a felony in this33314
state, regardless of the jurisdiction in which the act was33315
committed;33316

       (11) A plea of guilty to, a judicial finding of guilt of, or33317
a judicial finding of eligibility for intervention in lieu of33318
conviction for, a misdemeanor committed in the course of practice;33319

       (12) Commission of an act in the course of practice that33320
constitutes a misdemeanor in this state, regardless of the33321
jurisdiction in which the act was committed;33322

       (13) A plea of guilty to, a judicial finding of guilt of, or33323
a judicial finding of eligibility for intervention in lieu of33324
conviction for, a misdemeanor involving moral turpitude;33325

       (14) Commission of an act involving moral turpitude that33326
constitutes a misdemeanor in this state, regardless of the33327
jurisdiction in which the act was committed;33328

       (15) Violation of the conditions of limitation placed by the33329
board upon a certificate to practice;33330

       (16) Failure to pay license renewal fees specified in this33331
chapter;33332

       (17) Except as authorized in section 4731.31 of the Revised33333
Code, engaging in the division of fees for referral of patients,33334
or the receiving of a thing of value in return for a specific33335
referral of a patient to utilize a particular service or business;33336

       (18) Subject to section 4731.226 of the Revised Code,33337
violation of any provision of a code of ethics of the American33338
medical association, the American osteopathic association, the33339
American podiatric medical association, or any other national33340
professional organizations that the board specifies by rule. The33341
state medical board shall obtain and keep on file current copies33342
of the codes of ethics of the various national professional33343
organizations. The individual whose certificate is being suspended 33344
or revoked shall not be found to have violated any provision of a 33345
code of ethics of an organization not appropriate to the33346
individual's profession.33347

       For purposes of this division, a "provision of a code of33348
ethics of a national professional organization" does not include33349
any provision that would preclude the making of a report by a33350
physician of an employee's use of a drug of abuse, or of a33351
condition of an employee other than one involving the use of a33352
drug of abuse, to the employer of the employee as described in33353
division (B) of section 2305.33 of the Revised Code. Nothing in33354
this division affects the immunity from civil liability conferred33355
by that section upon a physician who makes either type of report33356
in accordance with division (B) of that section. As used in this33357
division, "employee," "employer," and "physician" have the same33358
meanings as in section 2305.33 of the Revised Code.33359

       (19) Inability to practice according to acceptable and33360
prevailing standards of care by reason of mental illness or33361
physical illness, including, but not limited to, physical33362
deterioration that adversely affects cognitive, motor, or33363
perceptive skills.33364

       In enforcing this division, the board, upon a showing of a33365
possible violation, may compel any individual authorized to33366
practice by this chapter or who has submitted an application33367
pursuant to this chapter to submit to a mental examination,33368
physical examination, including an HIV test, or both a mental and33369
a physical examination. The expense of the examination is the33370
responsibility of the individual compelled to be examined. Failure33371
to submit to a mental or physical examination or consent to an HIV33372
test ordered by the board constitutes an admission of the33373
allegations against the individual unless the failure is due to33374
circumstances beyond the individual's control, and a default and33375
final order may be entered without the taking of testimony or33376
presentation of evidence. If the board finds an individual unable33377
to practice because of the reasons set forth in this division, the33378
board shall require the individual to submit to care, counseling,33379
or treatment by physicians approved or designated by the board, as33380
a condition for initial, continued, reinstated, or renewed33381
authority to practice. An individual affected under this division33382
shall be afforded an opportunity to demonstrate to the board the33383
ability to resume practice in compliance with acceptable and33384
prevailing standards under the provisions of the individual's33385
certificate. For the purpose of this division, any individual who33386
applies for or receives a certificate to practice under this33387
chapter accepts the privilege of practicing in this state and, by33388
so doing, shall be deemed to have given consent to submit to a33389
mental or physical examination when directed to do so in writing33390
by the board, and to have waived all objections to the33391
admissibility of testimony or examination reports that constitute33392
a privileged communication.33393

       (20) Except when civil penalties are imposed under section33394
4731.225 or 4731.281 of the Revised Code, and subject to section33395
4731.226 of the Revised Code, violating or attempting to violate,33396
directly or indirectly, or assisting in or abetting the violation33397
of, or conspiring to violate, any provisions of this chapter or33398
any rule promulgated by the board.33399

       This division does not apply to a violation or attempted33400
violation of, assisting in or abetting the violation of, or a33401
conspiracy to violate, any provision of this chapter or any rule33402
adopted by the board that would preclude the making of a report by33403
a physician of an employee's use of a drug of abuse, or of a33404
condition of an employee other than one involving the use of a33405
drug of abuse, to the employer of the employee as described in33406
division (B) of section 2305.33 of the Revised Code. Nothing in33407
this division affects the immunity from civil liability conferred33408
by that section upon a physician who makes either type of report33409
in accordance with division (B) of that section. As used in this33410
division, "employee," "employer," and "physician" have the same33411
meanings as in section 2305.33 of the Revised Code.33412

       (21) The violation of section 3701.79 of the Revised Code or 33413
of any abortion rule adopted by the public health council pursuant 33414
to section 3701.341 of the Revised Code;33415

       (22) Any of the following actions taken by the agency33416
responsible for regulating the practice of medicine and surgery,33417
osteopathic medicine and surgery, podiatric medicine and surgery,33418
or the limited branches of medicine in another jurisdiction, for33419
any reason other than the nonpayment of fees: the limitation,33420
revocation, or suspension of an individual's license to practice;33421
acceptance of an individual's license surrender; denial of a33422
license; refusal to renew or reinstate a license; imposition of33423
probation; or issuance of an order of censure or other reprimand;33424

       (23) The violation of section 2919.12 of the Revised Code or33425
the performance or inducement of an abortion upon a pregnant woman33426
with actual knowledge that the conditions specified in division33427
(B) of section 2317.56 of the Revised Code have not been satisfied33428
or with a heedless indifference as to whether those conditions33429
have been satisfied, unless an affirmative defense as specified in33430
division (H)(2) of that section would apply in a civil action33431
authorized by division (H)(1) of that section;33432

       (24) The revocation, suspension, restriction, reduction, or33433
termination of clinical privileges by the United States department33434
of defense or department of veterans affairs or the termination or33435
suspension of a certificate of registration to prescribe drugs by33436
the drug enforcement administration of the United States33437
department of justice;33438

       (25) Termination or suspension from participation in the33439
medicare or medicaid programs by the department of health and33440
human services or other responsible agency for any act or acts33441
that also would constitute a violation of division (B)(2), (3),33442
(6), (8), or (19) of this section;33443

       (26) Impairment of ability to practice according to33444
acceptable and prevailing standards of care because of habitual or33445
excessive use or abuse of drugs, alcohol, or other substances that33446
impair ability to practice.33447

       For the purposes of this division, any individual authorized33448
to practice by this chapter accepts the privilege of practicing in33449
this state subject to supervision by the board. By filing an33450
application for or holding a certificate to practice under this33451
chapter, an individual shall be deemed to have given consent to33452
submit to a mental or physical examination when ordered to do so33453
by the board in writing, and to have waived all objections to the33454
admissibility of testimony or examination reports that constitute33455
privileged communications.33456

       If it has reason to believe that any individual authorized to33457
practice by this chapter or any applicant for certification to33458
practice suffers such impairment, the board may compel the33459
individual to submit to a mental or physical examination, or both.33460
The expense of the examination is the responsibility of the33461
individual compelled to be examined. Any mental or physical33462
examination required under this division shall be undertaken by a33463
treatment provider or physician who is qualified to conduct the33464
examination and who is chosen by the board.33465

       Failure to submit to a mental or physical examination ordered33466
by the board constitutes an admission of the allegations against33467
the individual unless the failure is due to circumstances beyond33468
the individual's control, and a default and final order may be33469
entered without the taking of testimony or presentation of33470
evidence. If the board determines that the individual's ability to 33471
practice is impaired, the board shall suspend the individual's33472
certificate or deny the individual's application and shall require33473
the individual, as a condition for initial, continued, reinstated,33474
or renewed certification to practice, to submit to treatment.33475

       Before being eligible to apply for reinstatement of a33476
certificate suspended under this division, the impaired33477
practitioner shall demonstrate to the board the ability to resume33478
practice in compliance with acceptable and prevailing standards of33479
care under the provisions of the practitioner's certificate. The33480
demonstration shall include, but shall not be limited to, the33481
following:33482

       (a) Certification from a treatment provider approved under33483
section 4731.25 of the Revised Code that the individual has33484
successfully completed any required inpatient treatment;33485

       (b) Evidence of continuing full compliance with an aftercare33486
contract or consent agreement;33487

       (c) Two written reports indicating that the individual's33488
ability to practice has been assessed and that the individual has33489
been found capable of practicing according to acceptable and33490
prevailing standards of care. The reports shall be made by33491
individuals or providers approved by the board for making the33492
assessments and shall describe the basis for their determination.33493

       The board may reinstate a certificate suspended under this33494
division after that demonstration and after the individual has33495
entered into a written consent agreement.33496

       When the impaired practitioner resumes practice, the board33497
shall require continued monitoring of the individual. The33498
monitoring shall include, but not be limited to, compliance with33499
the written consent agreement entered into before reinstatement or33500
with conditions imposed by board order after a hearing, and, upon33501
termination of the consent agreement, submission to the board for33502
at least two years of annual written progress reports made under33503
penalty of perjury stating whether the individual has maintained33504
sobriety.33505

       (27) A second or subsequent violation of section 4731.66 or33506
4731.69 of the Revised Code;33507

       (28) Except as provided in division (N) of this section:33508

       (a) Waiving the payment of all or any part of a deductible or 33509
copayment that a patient, pursuant to a health insurance or health 33510
care policy, contract, or plan that covers the individual's33511
services, otherwise would be required to pay if the waiver is used33512
as an enticement to a patient or group of patients to receive33513
health care services from that individual;33514

       (b) Advertising that the individual will waive the payment of 33515
all or any part of a deductible or copayment that a patient,33516
pursuant to a health insurance or health care policy, contract, or33517
plan that covers the individual's services, otherwise would be33518
required to pay.33519

       (29) Failure to use universal blood and body fluid33520
precautions established by rules adopted under section 4731.051 of33521
the Revised Code;33522

       (30) Failure to provide notice to, and receive acknowledgment 33523
of the notice from, a patient when required by section 4731.143 of 33524
the Revised Code prior to providing nonemergency professional 33525
services, or failure to maintain that notice in the patient's 33526
file;33527

       (31) Failure of a physician supervising a physician assistant 33528
to maintain supervision in accordance with the requirements of 33529
Chapter 4730. of the Revised Code and the rules adopted under that 33530
chapter;33531

       (32) Failure of a physician or podiatrist to enter into a33532
standard care arrangement with a clinical nurse specialist,33533
certified nurse-midwife, or certified nurse practitioner with whom33534
the physician or podiatrist is in collaboration pursuant to33535
section 4731.27 of the Revised Code or failure to fulfill the33536
responsibilities of collaboration after entering into a standard33537
care arrangement;33538

       (33) Failure to comply with the terms of a consult agreement33539
entered into with a pharmacist pursuant to section 4729.39 of the33540
Revised Code;33541

       (34) Failure to cooperate in an investigation conducted by33542
the board under division (F) of this section, including failure to33543
comply with a subpoena or order issued by the board or failure to33544
answer truthfully a question presented by the board at a33545
deposition or in written interrogatories, except that failure to33546
cooperate with an investigation shall not constitute grounds for33547
discipline under this section if a court of competent jurisdiction33548
has issued an order that either quashes a subpoena or permits the33549
individual to withhold the testimony or evidence in issue;33550

       (35) Failure to supervise an acupuncturist in accordance with33551
Chapter 4762. of the Revised Code and the board's rules for33552
supervision of an acupuncturist;33553

       (36) Failure to supervise an anesthesiologist assistant in33554
accordance with Chapter 4760. of the Revised Code and the board's33555
rules for supervision of an anesthesiologist assistant;33556

       (37) Assisting suicide as defined in section 3795.01 of the33557
Revised Code.33558

       (C) Disciplinary actions taken by the board under divisions33559
(A) and (B) of this section shall be taken pursuant to an33560
adjudication under Chapter 119. of the Revised Code, except that33561
in lieu of an adjudication, the board may enter into a consent33562
agreement with an individual to resolve an allegation of a33563
violation of this chapter or any rule adopted under it. A consent33564
agreement, when ratified by an affirmative vote of not fewer than33565
six members of the board, shall constitute the findings and order33566
of the board with respect to the matter addressed in the33567
agreement. If the board refuses to ratify a consent agreement, the 33568
admissions and findings contained in the consent agreement shall 33569
be of no force or effect.33570

       If the board takes disciplinary action against an individual33571
under division (B) of this section for a second or subsequent plea33572
of guilty to, or judicial finding of guilt of, a violation of33573
section 2919.123 of the Revised Code, the disciplinary action33574
shall consist of a suspension of the individual's certificate to33575
practice for a period of at least one year or, if determined33576
appropriate by the board, a more serious sanction involving the33577
individual's certificate to practice. Any consent agreement33578
entered into under this division with an individual that pertains33579
to a second or subsequent plea of guilty to, or judicial finding33580
of guilt of, a violation of that section shall provide for a33581
suspension of the individual's certificate to practice for a33582
period of at least one year or, if determined appropriate by the33583
board, a more serious sanction involving the individual's33584
certificate to practice.33585

       (D) For purposes of divisions (B)(10), (12), and (14) of this33586
section, the commission of the act may be established by a finding 33587
by the board, pursuant to an adjudication under Chapter 119. of 33588
the Revised Code, that the individual committed the act. The board33589
does not have jurisdiction under those divisions if the trial 33590
court renders a final judgment in the individual's favor and that 33591
judgment is based upon an adjudication on the merits. The board 33592
has jurisdiction under those divisions if the trial court issues 33593
an order of dismissal upon technical or procedural grounds.33594

       (E) The sealing of conviction records by any court shall have33595
no effect upon a prior board order entered under this section or 33596
upon the board's jurisdiction to take action under this section33597
if, based upon a plea of guilty, a judicial finding of guilt, or a33598
judicial finding of eligibility for intervention in lieu of33599
conviction, the board issued a notice of opportunity for a hearing33600
prior to the court's order to seal the records. The board shall33601
not be required to seal, destroy, redact, or otherwise modify its33602
records to reflect the court's sealing of conviction records.33603

       (F)(1) The board shall investigate evidence that appears to33604
show that a person has violated any provision of this chapter or33605
any rule adopted under it. Any person may report to the board in a 33606
signed writing any information that the person may have that33607
appears to show a violation of any provision of this chapter or33608
any rule adopted under it. In the absence of bad faith, any person 33609
who reports information of that nature or who testifies before the 33610
board in any adjudication conducted under Chapter 119. of the 33611
Revised Code shall not be liable in damages in a civil action as a 33612
result of the report or testimony. Each complaint or allegation of 33613
a violation received by the board shall be assigned a case number 33614
and shall be recorded by the board.33615

       (2) Investigations of alleged violations of this chapter or33616
any rule adopted under it shall be supervised by the supervising33617
member elected by the board in accordance with section 4731.02 of33618
the Revised Code and by the secretary as provided in section33619
4731.39 of the Revised Code. The president may designate another33620
member of the board to supervise the investigation in place of the33621
supervising member. No member of the board who supervises the33622
investigation of a case shall participate in further adjudication33623
of the case.33624

       (3) In investigating a possible violation of this chapter or33625
any rule adopted under this chapter, the board may administer33626
oaths, order the taking of depositions, issue subpoenas, and33627
compel the attendance of witnesses and production of books,33628
accounts, papers, records, documents, and testimony, except that a33629
subpoena for patient record information shall not be issued33630
without consultation with the attorney general's office and33631
approval of the secretary and supervising member of the board.33632
Before issuance of a subpoena for patient record information, the33633
secretary and supervising member shall determine whether there is33634
probable cause to believe that the complaint filed alleges a33635
violation of this chapter or any rule adopted under it and that33636
the records sought are relevant to the alleged violation and33637
material to the investigation. The subpoena may apply only to33638
records that cover a reasonable period of time surrounding the33639
alleged violation.33640

       On failure to comply with any subpoena issued by the board33641
and after reasonable notice to the person being subpoenaed, the33642
board may move for an order compelling the production of persons33643
or records pursuant to the Rules of Civil Procedure.33644

       A subpoena issued by the board may be served by a sheriff,33645
the sheriff's deputy, or a board employee designated by the board.33646
Service of a subpoena issued by the board may be made by33647
delivering a copy of the subpoena to the person named therein,33648
reading it to the person, or leaving it at the person's usual33649
place of residence. When the person being served is a person whose 33650
practice is authorized by this chapter, service of the subpoena 33651
may be made by certified mail, restricted delivery, return receipt 33652
requested, and the subpoena shall be deemed served on the date 33653
delivery is made or the date the person refuses to accept 33654
delivery.33655

       A sheriff's deputy who serves a subpoena shall receive the33656
same fees as a sheriff. Each witness who appears before the board33657
in obedience to a subpoena shall receive the fees and mileage33658
provided for witnesses in civil cases in the courts of common33659
pleas.33660

       (4) All hearings and investigations of the board shall be33661
considered civil actions for the purposes of section 2305.252 of33662
the Revised Code.33663

       (5) Information received by the board pursuant to an33664
investigation is confidential and not subject to discovery in any33665
civil action.33666

       The board shall conduct all investigations and proceedings in33667
a manner that protects the confidentiality of patients and persons33668
who file complaints with the board. The board shall not make33669
public the names or any other identifying information about33670
patients or complainants unless proper consent is given or, in the33671
case of a patient, a waiver of the patient privilege exists under33672
division (B) of section 2317.02 of the Revised Code, except that33673
consent or a waiver of that nature is not required if the board33674
possesses reliable and substantial evidence that no bona fide33675
physician-patient relationship exists.33676

       The board may share any information it receives pursuant to33677
an investigation, including patient records and patient record33678
information, with law enforcement agencies, other licensing33679
boards, and other governmental agencies that are prosecuting,33680
adjudicating, or investigating alleged violations of statutes or33681
administrative rules. An agency or board that receives the33682
information shall comply with the same requirements regarding33683
confidentiality as those with which the state medical board must33684
comply, notwithstanding any conflicting provision of the Revised33685
Code or procedure of the agency or board that applies when it is33686
dealing with other information in its possession. In a judicial33687
proceeding, the information may be admitted into evidence only in33688
accordance with the Rules of Evidence, but the court shall require33689
that appropriate measures are taken to ensure that confidentiality33690
is maintained with respect to any part of the information that33691
contains names or other identifying information about patients or33692
complainants whose confidentiality was protected by the state33693
medical board when the information was in the board's possession.33694
Measures to ensure confidentiality that may be taken by the court33695
include sealing its records or deleting specific information from33696
its records.33697

       (6) On a quarterly basis, the board shall prepare a report33698
that documents the disposition of all cases during the preceding33699
three months. The report shall contain the following information33700
for each case with which the board has completed its activities:33701

       (a) The case number assigned to the complaint or alleged33702
violation;33703

       (b) The type of certificate to practice, if any, held by the33704
individual against whom the complaint is directed;33705

       (c) A description of the allegations contained in the33706
complaint;33707

       (d) The disposition of the case.33708

       The report shall state how many cases are still pending and33709
shall be prepared in a manner that protects the identity of each33710
person involved in each case. The report shall be a public record33711
under section 149.43 of the Revised Code.33712

       (G) If the secretary and supervising member determine that33713
there is clear and convincing evidence that an individual has33714
violated division (B) of this section and that the individual's33715
continued practice presents a danger of immediate and serious harm33716
to the public, they may recommend that the board suspend the33717
individual's certificate to practice without a prior hearing.33718
Written allegations shall be prepared for consideration by the33719
board.33720

       The board, upon review of those allegations and by an33721
affirmative vote of not fewer than six of its members, excluding33722
the secretary and supervising member, may suspend a certificate33723
without a prior hearing. A telephone conference call may be33724
utilized for reviewing the allegations and taking the vote on the33725
summary suspension.33726

       The board shall issue a written order of suspension by33727
certified mail or in person in accordance with section 119.07 of33728
the Revised Code. The order shall not be subject to suspension by33729
the court during pendency of any appeal filed under section 119.1233730
of the Revised Code. If the individual subject to the summary33731
suspension requests an adjudicatory hearing by the board, the date33732
set for the hearing shall be within fifteen days, but not earlier33733
than seven days, after the individual requests the hearing, unless33734
otherwise agreed to by both the board and the individual.33735

       Any summary suspension imposed under this division shall33736
remain in effect, unless reversed on appeal, until a final33737
adjudicative order issued by the board pursuant to this section33738
and Chapter 119. of the Revised Code becomes effective. The board33739
shall issue its final adjudicative order within sixtyseventy-five33740
days after completion of its hearing. A failure to issue the order33741
within sixtyseventy-five days shall result in dissolution of the 33742
summary suspension order but shall not invalidate any subsequent, 33743
final adjudicative order.33744

       (H) If the board takes action under division (B)(9), (11), or 33745
(13) of this section and the judicial finding of guilt, guilty33746
plea, or judicial finding of eligibility for intervention in lieu33747
of conviction is overturned on appeal, upon exhaustion of the33748
criminal appeal, a petition for reconsideration of the order may33749
be filed with the board along with appropriate court documents.33750
Upon receipt of a petition of that nature and supporting court33751
documents, the board shall reinstate the individual's certificate33752
to practice. The board may then hold an adjudication under Chapter 33753
119. of the Revised Code to determine whether the individual33754
committed the act in question. Notice of an opportunity for a 33755
hearing shall be given in accordance with Chapter 119. of the 33756
Revised Code. If the board finds, pursuant to an adjudication held 33757
under this division, that the individual committed the act or if33758
no hearing is requested, the board may order any of the sanctions33759
identified under division (B) of this section.33760

       (I) The certificate to practice issued to an individual under33761
this chapter and the individual's practice in this state are33762
automatically suspended as of the date of the individual's second33763
or subsequent plea of guilty to, or judicial finding of guilt of,33764
a violation of section 2919.123 of the Revised Code, or the date 33765
the individual pleads guilty to, is found by a judge or jury to be 33766
guilty of, or is subject to a judicial finding of eligibility for 33767
intervention in lieu of conviction in this state or treatment or 33768
intervention in lieu of conviction in another jurisdiction for any 33769
of the following criminal offenses in this state or a33770
substantially equivalent criminal offense in another jurisdiction: 33771
aggravated murder, murder, voluntary manslaughter, felonious 33772
assault, kidnapping, rape, sexual battery, gross sexual 33773
imposition, aggravated arson, aggravated robbery, or aggravated 33774
burglary. Continued practice after suspension shall be considered 33775
practicing without a certificate.33776

       The board shall notify the individual subject to the33777
suspension by certified mail or in person in accordance with33778
section 119.07 of the Revised Code. If an individual whose33779
certificate is automatically suspended under this division fails 33780
to make a timely request for an adjudication under Chapter 119. of 33781
the Revised Code, the board shall do whichever of the following is 33782
applicable:33783

       (1) If the automatic suspension under this division is for a33784
second or subsequent plea of guilty to, or judicial finding of33785
guilt of, a violation of section 2919.123 of the Revised Code, the33786
board shall enter an order suspending the individual's certificate33787
to practice for a period of at least one year or, if determined33788
appropriate by the board, imposing a more serious sanction33789
involving the individual's certificate to practice.33790

       (2) In all circumstances in which division (I)(1) of this 33791
section does not apply, enter a final order permanently revoking 33792
the individual's certificate to practice.33793

       (J) If the board is required by Chapter 119. of the Revised33794
Code to give notice of an opportunity for a hearing and if the33795
individual subject to the notice does not timely request a hearing33796
in accordance with section 119.07 of the Revised Code, the board33797
is not required to hold a hearing, but may adopt, by an33798
affirmative vote of not fewer than six of its members, a final33799
order that contains the board's findings. In that final order, the 33800
board may order any of the sanctions identified under division (A) 33801
or (B) of this section.33802

       (K) Any action taken by the board under division (B) of this33803
section resulting in a suspension from practice shall be33804
accompanied by a written statement of the conditions under which33805
the individual's certificate to practice may be reinstated. The33806
board shall adopt rules governing conditions to be imposed for33807
reinstatement. Reinstatement of a certificate suspended pursuant33808
to division (B) of this section requires an affirmative vote of33809
not fewer than six members of the board.33810

       (L) When the board refuses to grant a certificate to an33811
applicant, revokes an individual's certificate to practice,33812
refuses to register an applicant, or refuses to reinstate an33813
individual's certificate to practice, the board may specify that33814
its action is permanent. An individual subject to a permanent33815
action taken by the board is forever thereafter ineligible to hold33816
a certificate to practice and the board shall not accept an33817
application for reinstatement of the certificate or for issuance33818
of a new certificate.33819

       (M) Notwithstanding any other provision of the Revised Code,33820
all of the following apply:33821

       (1) The surrender of a certificate issued under this chapter33822
shall not be effective unless or until accepted by the board.33823
Reinstatement of a certificate surrendered to the board requires33824
an affirmative vote of not fewer than six members of the board.33825

       (2) An application for a certificate made under the33826
provisions of this chapter may not be withdrawn without approval33827
of the board.33828

       (3) Failure by an individual to renew a certificate of33829
registration in accordance with this chapter shall not remove or33830
limit the board's jurisdiction to take any disciplinary action33831
under this section against the individual.33832

       (N) Sanctions shall not be imposed under division (B)(28) of33833
this section against any person who waives deductibles and33834
copayments as follows:33835

       (1) In compliance with the health benefit plan that expressly 33836
allows such a practice. Waiver of the deductibles or copayments 33837
shall be made only with the full knowledge and consent of the plan 33838
purchaser, payer, and third-party administrator. Documentation of33839
the consent shall be made available to the board upon request.33840

       (2) For professional services rendered to any other person33841
authorized to practice pursuant to this chapter, to the extent33842
allowed by this chapter and rules adopted by the board.33843

       (O) Under the board's investigative duties described in this33844
section and subject to division (F) of this section, the board33845
shall develop and implement a quality intervention program33846
designed to improve through remedial education the clinical and33847
communication skills of individuals authorized under this chapter33848
to practice medicine and surgery, osteopathic medicine and33849
surgery, and podiatric medicine and surgery. In developing and33850
implementing the quality intervention program, the board may do33851
all of the following:33852

       (1) Offer in appropriate cases as determined by the board an33853
educational and assessment program pursuant to an investigation33854
the board conducts under this section;33855

       (2) Select providers of educational and assessment services,33856
including a quality intervention program panel of case reviewers;33857

       (3) Make referrals to educational and assessment service33858
providers and approve individual educational programs recommended33859
by those providers. The board shall monitor the progress of each33860
individual undertaking a recommended individual educational33861
program.33862

       (4) Determine what constitutes successful completion of an33863
individual educational program and require further monitoring of33864
the individual who completed the program or other action that the33865
board determines to be appropriate;33866

       (5) Adopt rules in accordance with Chapter 119. of the33867
Revised Code to further implement the quality intervention33868
program.33869

       An individual who participates in an individual educational33870
program pursuant to this division shall pay the financial33871
obligations arising from that educational program.33872

       Sec. 4736.01.  As used in this chapter:33873

       (A) "Environmental health science" means the aspect of public 33874
health science that includes, but is not limited to, the following 33875
bodies of knowledge: air quality, food quality and protection, 33876
hazardous and toxic substances, consumer product safety, housing, 33877
institutional health and safety, community noise control, 33878
radiation protection, recreational facilities, solid and liquid 33879
waste management, vector control, drinking water quality, milk 33880
sanitation, and rabies control.33881

       (B) "Sanitarian" means a person who performs for compensation 33882
educational, investigational, technical, or administrative duties 33883
requiring specialized knowledge and skills in the field of 33884
environmental health science.33885

       (C) "Registered sanitarian" means a person who is registered33886
as a sanitarian in accordance with this chapter.33887

       (D) "Sanitarian-in-training" means a person who is registered 33888
as a sanitarian-in-training in accordance with this chapter.33889

       (E) "Practice of environmental health" means consultation,33890
instruction, investigation, inspection, or evaluation by an33891
employee of a city health district, a general health district, the 33892
environmental protection agency, the department of health, or the 33893
department of agriculture requiring specialized knowledge,33894
training, and experience in the field of environmental health33895
science, with the primary purpose of improving or conducting33896
administration or enforcement under any of the following:33897

       (1) Chapter 911., 913., 917., 3717., 3718., 3721., 3729., or33898
3733. of the Revised Code;33899

       (2) Chapter 3734. of the Revised Code as it pertains to solid 33900
waste;33901

       (3) Section 955.26, 3701.344, 3707.01, or 3707.03, sections 33902
3707.38 to 3707.99, or section 3715.21 of the Revised Code;33903

       (4) Rules adopted under section 3701.34 of the Revised Code33904
pertaining to home sewage, rabies control, or swimming pools;33905

       (5) Rules adopted under section 3701.935 of the Revised Code 33906
for school health and safety network inspections and rules adopted 33907
under section 3707.26 of the Revised Code for sanitary 33908
inspections.33909

       "Practice of environmental health" does not include sampling,33910
testing, controlling of vectors, reporting of observations, or33911
other duties that do not require application of specialized33912
knowledge and skills in environmental health science performed33913
under the supervision of a registered sanitarian.33914

       The state board of sanitarian registration may further define33915
environmental health science in relation to specific functions in33916
the practice of environmental health through rules adopted by the33917
board under Chapter 119. of the Revised Code.33918

       Sec. 4743.05.  Except as otherwise provided in sections33919
4701.20, 4723.062, 4723.082, and 4729.65 of the Revised Code, all 33920
money collected under Chapters 3773., 4701., 4703., 4709., 4713., 33921
4715., 4717., 4723., 4725., 4729., 4732., 4733., 4734., 4736., 33922
4741., 4753., 4755., 4757., 4758., 4759., 4761., 4766., 4771., 33923
4775., 4779., and 4781. of the Revised Code shall be paid into the 33924
state treasury to the credit of the occupational licensing and 33925
regulatory fund, which is hereby created for use in administering 33926
such chapters.33927

       At the end of each quarter, the director of budget and33928
management shall transfer from the occupational licensing and33929
regulatory fund to the nurse education assistance fund created in33930
section 3333.28 of the Revised Code the amount certified to the33931
director under division (B) of section 4723.08 of the Revised33932
Code.33933

       At the end of each quarter, the director shall transfer from33934
the occupational licensing and regulatory fund to the certified33935
public accountant education assistance fund created in section33936
4701.26 of the Revised Code the amount certified to the director33937
under division (H)(2) of section 4701.10 of the Revised Code.33938

       Sec. 4755.03. AllExcept as provided in section 4755.99 of 33939
the Revised Code, all fees and fines collected and assessed under 33940
this chapter by the appropriate section of the Ohio occupational 33941
therapy, physical therapy, and athletic trainers board, shall be 33942
deposited into the state treasury to the credit of the 33943
occupational licensing and regulatory fund.33944

       Sec. 4766.05.  (A) The Ohio medical transportation board33945
shall establish by rule a license fee, a permit fee for each33946
ambulance, ambulette, rotorcraft air ambulance, fixed wing air 33947
ambulance, and nontransport vehicle owned or leased by the33948
licensee that is or will be used as provided in section 4766.07 of 33949
the Revised Code, and fees for renewals of licenses and permits, 33950
taking into consideration the actual costs incurred by the board 33951
in carrying out its duties under this chapter. However, the fee 33952
for each license and each renewal of a license shall not exceed 33953
one hundred dollars, and the fee for each permit and each renewal 33954
of a permit shall not exceed one hundred dollars for each33955
ambulance, rotorcraft air ambulance, fixed wing air ambulance, and33956
nontransport vehicle. The fee for each permit and each renewal of33957
a permit shall be twenty-five dollars for each ambulette for one33958
year after the effective date of this amendmentMarch 9, 2004.33959
Thereafter, the board shall determine by rule the fee, which shall 33960
not exceed fifty dollars, for each permit and each renewal of a 33961
permit for each ambulette. For purposes of establishing fees, 33962
"actual costs" includes the costs of salaries, expenses, 33963
inspection equipment, supervision, and program administration.33964

       (B) The board shall deposit all fees and other moneys33965
collected pursuant to sections 4766.04, 4766.07, and 4766.08 of33966
the Revised Code in the state treasury to the credit of the Ohio 33967
medical transportation trustoccupational licensing and regulatory33968
fund, which is hereby created by section 4743.05 of the Revised 33969
Code. All moneys from the fund shall be used solely for the33970
salaries and expenses of the board incurred in implementing and33971
enforcing this chapter.33972

       (C) The board, subject to the approval of the controlling33973
board, may establish fees in excess of the maximum amounts allowed33974
under division (A) of this section, but such fees shall not exceed33975
those maximum amounts by more than fifty per cent.33976

       Sec. 4766.22.  (A) Not later than forty-five days after the 33977
end of each fiscal year, the Ohio medical transportation board 33978
shall submit a report to the governor and general assembly that 33979
provides all of the following information for that fiscal year:33980

       (1) The number of each of the following the board issued:33981

       (a) Basic life-support organization licenses;33982

       (b) Intermediate life-support organization licenses;33983

       (c) Advanced life-support organization licenses;33984

       (d) Mobile intensive care unit organization licenses;33985

       (e) Ambulette service licenses;33986

       (f) Air medical service organization licenses;33987

       (g) Ambulance permits;33988

       (h) Nontransport vehicle permits;33989

       (i) Ambulette vehicle permits;33990

       (j) Rotorcraft air ambulance permits;33991

       (k) Fixed wing air ambulance permits.33992

       (2) The amount of fees the board collected for issuing and 33993
renewing each type of license and permit specified in division 33994
(A)(1) of this section;33995

       (3) The number of inspections the board or a third party on 33996
the board's behalf conducted in connection with each type of 33997
license and permit specified in division (A)(1) of this section 33998
and the amount of fees the board collected for the inspections;33999

       (4) The number of complaints that were submitted to the 34000
board;34001

       (5) The number of investigations the board conducted under 34002
section 4766.11 of the Revised Code;34003

       (6) The number of adjudication hearings the board held and 34004
the outcomes of the adjudications;34005

       (7) The amount of penalties the board imposed and collected 34006
under section 4766.08 of the Revised Code;34007

       (8) Other information the board determines reflects the 34008
board's operations.34009

       (B) The board shall post the annual report required by this 34010
section on its web site and make it available to the public on 34011
request.34012

       Sec. 4775.08.  (A) The initial and annual renewal fee for a34013
motor vehicle collision repair registration certificate and for a34014
temporary motor vehicle collision repair registration certificate34015
is one hundred fifty dollars for each business location at which34016
the motor vehicle collision repair operator conducts business as34017
an operator, except that the board of motor vehicle collision34018
repair registration, with the approval of the controlling board,34019
may establish fees in excess of or less than that amount, provided34020
that such fees do not exceed or are not less than that amount by34021
more than fifty per cent.34022

       The board shall adjust the fees as necessary in order to34023
provide for the expenses associated with carrying out this chapter34024
without causing an excessive build-up of surplus funds in the34025
motor vehicle collision repair registration fund, which is hereby34026
created in the state treasury.34027

       (B) If the board has notified or attempted to notify a motor34028
vehicle collision repair operator that the operator is required to34029
be registered under this chapter, and the operator fails to34030
register, the initial fee for the registration of such an34031
unregistered operator for each business location at which the34032
operator conducts business as an operator, is the initial fee then34033
in effect plus an additional amount equal to the initial fee then34034
in effect for each calendar year that the operator is not34035
registered after the board has notified or attempted to notify the34036
operator.34037

       (C) The board shall deposit all fees and fines collected34038
under this chapter into the motor vehicle collision repair34039
registration fund. The board shall use the fund solely for the34040
administration and enforcement of this chapteroccupational 34041
licensing and regulatory fund created by section 4743.05 of the 34042
Revised Code.34043

       Sec. 4921.40.  In accordance with section 4921.04 of the34044
Revised Code, the public utilities commission may adopt rules:34045

       (A) Providing for binding estimates by motor transportation 34046
companies engaged, for hire, in the business of transporting 34047
household goods over a public highway in this state;34048

       (B) Providing for guaranteed-not-to-exceed estimates by such 34049
motor transportation companies;34050

       (C) Requiring such motor transportation companies to include 34051
their certificate number in all advertising, written estimates, 34052
and contracts related to the transportation of household goods in 34053
this state;34054

       (D) As are necessary and proper to carry out this chapter 34055
with respect to such motor transportation companies;34056

        (E) Providing for the enforcement of the consumer protection 34057
provisions of Title 49 of the United States Code related to the 34058
delivery and transportation of household goods in interstate 34059
commerce, as permitted by 49 U.S.C. 14710. Any fine or penalty 34060
imposed as a result of such enforcement shall be deposited into 34061
the state treasury to the credit of the general revenue fund.34062

       Sec. 4923.26. There is hereby created in the state treasury 34063
the federal commercial vehicle transportation systems fund. The 34064
fund shall consist of money received from the United States 34065
department of transportation's commercial vehicle intelligent 34066
transportation systems infrastructure deployment program. The 34067
public utilities commission shall use the fund to deploy the Ohio 34068
commercial vehicle information systems networks project and to 34069
improve safety of motor carrier operations through electronic 34070
exchange of data by means of on-highway electronic systems.34071

       Sec. 5101.162.  Subject to available federal funds and 34072
appropriations made by the general assembly, the department of job 34073
and family services may, at its sole discretion, use available 34074
federal funds to reimburse county expenditures for county 34075
administration of food stamps or medicaid even though the county 34076
expenditures meet or exceed the maximum allowable reimbursement34077
amount established by rules adopted under section 5101.161 of the34078
Revised Code if the board of county commissioners has entered into 34079
a fiscal agreement with the director of job and family services 34080
under section 5101.21 of the Revised Code. The director may adopt34081
internal management rules in accordance with section 111.15 of the 34082
Revised Code to implement this section.34083

       Sec. 5101.21.  (A) As used in this section, "county signer34084
sections 5101.21 to 5101.212 of the Revised Code:34085

       (1) "County grantee" means all of the following:34086

       (1)(a) A board of county commissioners;34087

       (2)(b) A county children services board appointed under 34088
section 5153.03 of the Revised Code if required by division (B) of 34089
this section to enter into a fiscal agreement;34090

       (3)(c) A county elected official that is a child support 34091
enforcement agency if required by division (B) of this section to 34092
enter into a fiscal agreement.34093

       (2) "County subgrant" means a grant that a county grantee 34094
awards to another entity.34095

       (3) "County subgrant agreement" means an agreement between a 34096
county grantee and another entity under which the county grantee 34097
awards the other entity one or more county subgrants.34098

        (4) "Fiscal biennial period" means a two-year period 34099
beginning on the first day of July of an odd-numbered year and 34100
ending on the last day of June of the next odd-numbered year.34101

        (5) "Grant" means an award for one or more family services 34102
duties of federal financial assistance that a federal agency 34103
provides in the form of money, or property in lieu of money, to 34104
the department of job and family services and that the department 34105
awards to a county grantee. "Grant" may include state funds the 34106
department awards to a county grantee to match the federal 34107
financial assistance. "Grant" does not mean either of the 34108
following:34109

        (a) Technical assistance that provides services instead of 34110
money;34111

        (b) Other assistance provided in the form of revenue sharing, 34112
loans, loan guarantees, interest subsidies, or insurance.34113

       (6) "Grant agreement" means an agreement between the 34114
department of job and family services and a county grantee under 34115
which the department awards the county grantee one or more grants. 34116

       (B) TheEffective July 1, 2008, the director of job and 34117
family services may award grants to counties only through grant 34118
agreements entered into under this section.34119

       (C) The director shall enter into one or more written fiscal34120
grant agreements with boards ofthe county commissioners under 34121
which financial assistance is awarded for family services duties 34122
included in the agreementsgrantees of each county. Boards of 34123
county commissioners shall select which family services duties to 34124
include in a fiscal agreement. If a board of county commissioners 34125
elects to include family services duties of a public children 34126
services agency and a county children services board appointed 34127
under section 5153.03 of the Revised Code serves as the county's 34128
public children services agency, the board of county commissioners 34129
and county children services board shall jointly enter into the 34130
fiscal agreement with the director. If a board of county 34131
commissioners elects to include family services duties of a child 34132
support enforcement agency and the entity designated under former 34133
section 2301.35 of the Revised Code prior to October 1, 1997, or 34134
designated under section 307.981 of the Revised Code as the 34135
county's child support enforcement agency is an elected official 34136
of the county, the board of county commissioners and county 34137
elected officialIf a county has multiple county grantees, the 34138
director shall jointly enter into the fiscalgrant agreement with 34139
the directorall of the county grantees. The initial grant 34140
agreement shall be entered into not later than January 31, 2008, 34141
and shall be in effect for fiscal year 2009. Except as provided in 34142
rules adopted under this section, subsequent grant agreements 34143
shall be entered into before the first day of each successive 34144
fiscal biennial period and shall be in effect for that fiscal 34145
biennial period or, in the case of a grant agreement entered into 34146
after the first day of a fiscal biennial period and except as 34147
provided by section 5101.211 of the Revised Code, for the 34148
remainder of the fiscal biennial period. A fiscalgrant agreement 34149
shall do all of the following:34150

       (1) Comply with all of the conditions, requirements, and 34151
restrictions applicable to the family services duties for which 34152
the grants included in the agreement are awarded, including the 34153
conditions, requirements, and restrictions established by the 34154
department, federal or state law, state plans for receipt of 34155
federal financial participation, agreements between the department 34156
and a federal agency, and executive orders issued by the governor;34157

        (2) Establish terms and conditions governing the 34158
accountability for and use of the grants included in the grant 34159
agreement;34160

        (3) Specify theboth of the following:34161

       (a) The family services duties included in the agreement and 34162
thefor which the grants included in the agreement are awarded;34163

       (b) The private and government entities designated under 34164
section 307.981 of the Revised Code to serve as the county family 34165
services agencies performing the family services duties;34166

       (2)(4) Provide for the department of job and family services 34167
to award financial assistance for the family services duties34168
grants included in the agreement in accordance with a methodology 34169
for determining the amount of the award established by rules 34170
adopted under division (D) of this section;34171

       (3)(5) Specify the form of the award of financial assistance34172
grants which may be an allocation,a cash draw, reimbursement, 34173
property, advance, working capital advance, or, to the extent 34174
authorized by an appropriation made by the general assembly and to 34175
the extent practicable and not in conflict with a federal or state 34176
law, a consolidated funding allocation for two or more family 34177
services duties included in the agreementother forms specified in 34178
rules adopted under this section;34179

       (4)(6) Provide that the award of financial assistance is34180
grants are subject to the availability of federal funds and 34181
appropriations made by the general assembly;34182

       (5)(7) Specify annual financial, administrative, or other 34183
incentive awards, if any, to be provided in accordance with 34184
section 5101.23 of the Revised Code;34185

       (6)(8) Include the assurance of each county signergrantee34186
that the county signergrantee will do all of the following:34187

       (a) Ensure that the financial assistance awarded undergrants 34188
included in the agreement isare used, and the family services 34189
duties included infor which the agreementgrants are awarded are 34190
performed, in accordance with conditions, requirements for, and 34191
restrictions applicable to the duties established by the 34192
department, a federal or state law, or any of the following that 34193
concern the family services duties included in the fiscal 34194
agreement and are published under section 5101.212 of the Revised 34195
Code: state plans for receipt of federal financial participation, 34196
grant agreements between the department and a federal agency, and 34197
executive orders issued by the governor;34198

       (b) Ensure that the board and county family services agencies 34199
utilizeUtilize a financial management system and other 34200
accountability mechanisms for the financial assistancegrants34201
awarded under the agreement that meet requirements the department 34202
establishes;34203

       (c) Require the county family services agencies to do bothDo 34204
all of the following with regard to a county subgrant:34205

       (i) Award the subgrant through a written county subgrant 34206
agreement that requires the entity awarded the county subgrant to 34207
comply with all conditions, requirements, and restrictions 34208
applicable to the county grantee regarding the grant that the 34209
county grantee subgrants to the entity, including the conditions, 34210
requirements, and restrictions of this section;34211

        (ii) Monitor all private and government entitiesthe entity34212
that receive a payment from financial assistanceis awarded under34213
the agreementsubgrant to ensure that eachthe entity uses the 34214
paymentsubgrant in accordance with conditions, requirements for, 34215
and restrictions applicable to the family services duties included 34216
infor which the agreementsubgrant is awarded;34217

       (ii)(iii) Take action to recover paymentssubgrants that are 34218
not used in accordance with the conditions, requirements for, or 34219
restrictions applicable to the family services duties included in34220
for which the agreementsubgrant is awarded.34221

       (d) Require county family services agencies to promptly34222
Promptly reimburse the department the amount that represents the 34223
amount an agencythe county grantee is responsible for, pursuant 34224
to action the department takes under division (C) of section 34225
5101.24 of the Revised Code, of funds the department pays to any 34226
entity because of an adverse audit finding, adverse quality 34227
control finding, final disallowance of federal financial 34228
participation, or other sanction or penalty;34229

       (e) Require county family services agencies to takeTake34230
prompt corrective action, including paying amounts resulting from 34231
an adverse finding, sanction, or penalty, if the department, 34232
auditor of state, federal agency, or other entity authorized by 34233
federal or state law to determine compliance with the conditions,34234
requirements for, and restrictions applicable to a family services 34235
duty for which a grant included in the agreement is awarded34236
determines compliance has not been achieved;34237

        (f) Ensure that any matching funds, regardless of the source, 34238
that the county grantee manages are clearly identified and used in 34239
accordance with federal and state laws and the agreement.34240

       (7)(9) Provide for the department taking action pursuant to 34241
division (C) of section 5101.24 of the Revised Code if authorized 34242
by division (B)(1), (2), (3), or (4) of that section;34243

       (8)(10) Provide for timely audits required by federal and 34244
state law and require prompt release of audit findings and prompt 34245
action to correct problems identified in an audit;34246

       (9) Comply with all of the requirements for the family 34247
services duties that are included in the agreement and have been 34248
established by the department, federal or state law, or any of the 34249
following that concern the family services duties included in the 34250
fiscal agreement and are published under section 5101.212 of the 34251
Revised Code: state plans for receipt of federal financial 34252
participation, grant agreements between the department and a 34253
federal agency, and executive orders issued by the governor;34254

       (10)(11) Provide for dispute resolutionadministrative review34255
procedures in accordance with section 5101.24 of the Revised Code;34256

       (11)(12) Establish the method of amending or terminating the 34257
agreement and an expedited process for correcting terms or 34258
conditions of the agreement that the director and each county 34259
signergrantee agree are erroneous;34260

       (12) Except as provided in rules adopted under division (D) 34261
of this section, begin on the first day of July of an odd-numbered 34262
year and end on the last day of June of the next odd-numbered 34263
year.34264

       (C)(D) A grant agreement does not have to be amended for a 34265
county grantee to be required to comply with a new or amended 34266
condition, requirement, or restriction for a family services duty 34267
established by federal or state law, state plan for receipt of 34268
federal financial participation, agreement between the department 34269
and a federal agency, or executive order issued by the governor.34270

        (E) The department shall make payments authorized by a fiscal34271
grant agreement on vouchers it prepares and may include any funds 34272
appropriated or allocated to it for carrying out family services 34273
duties for which a grant included in the agreement is awarded, 34274
including funds for personal services and maintenance.34275

       (D)(F)(1) The director shall adopt rules in accordance with 34276
section 111.15 of the Revised Code governing fiscalgrant34277
agreements. The director shall adopt the rules as if they were 34278
internal management rules. Before adopting the rules, the director 34279
shall give the public an opportunity to review and comment on the 34280
proposed rules. The rules shall establish methodologies to be used 34281
to determine the amount of financial assistance to be awarded 34282
underthe grants included in the agreements. The rules also shall 34283
establish terms and conditions under which an agreement may be 34284
entered into after the first day of July of an odd-numbered yeara 34285
fiscal biennial period. The rules may do any or all of the 34286
following:34287

       (a) Govern the award of grants included in grant agreements, 34288
including the establishment of allocations, and restrictions on, 34289
the form of the grants and the distribution of the grants;34290

       (b) Specify allowable uses of financial assistance awarded 34291
underthe grants included in the agreements;34292

       (c) Establish reporting, cash management, audit, and other 34293
requirements the director determines are necessary to provide 34294
accountability for the use of financial assistance awarded under34295
the grants included in the agreements and determine compliance 34296
with conditions, requirements, and restrictions established by the 34297
department, a federal or state law, or any of the following that 34298
concern the family services duties included in the agreements and 34299
are published under section 5101.212 of the Revised Code: state 34300
plans for receipt of federal financial participation, grant34301
agreements between the department and a federal entityagency, and 34302
executive orders issued by the governor.34303

       (2) A requirement of a fiscalgrant agreement established by 34304
a rule adopted under this division is applicable to a fiscalgrant34305
agreement without having to be restated in the fiscalgrant34306
agreement. A requirement established by a grant agreement is 34307
applicable to the grant agreement without having to be restated in 34308
a rule.34309

       Sec. 5101.211. (A) Except as provided in division (B) of 34310
this section, theThe director of job and family services may 34311
provide for a fiscalgrant agreement entered into under section 34312
5101.21 of the Revised Code to have a retroactive effective date 34313
of the first day of July of an odd-numbered year if both of the 34314
following are the case:34315

       (1)(A) The agreement is entered into after that date and 34316
before the last day of that July.34317

       (2)(B) The board of county commissioners requests the 34318
retroactive effective date and provides the director good cause 34319
satisfactory to the director for the reason the agreement was not 34320
entered into on or before the first day of that July.34321

       (B) The director may provide for a fiscal agreement to have a 34322
retroactive effective date of July 1, 2003, if both of the 34323
following are the case:34324

       (1) The agreement is entered into after July 1, 2003, and 34325
before August 29, 2003.34326

       (2) The board of county commissioners requests the 34327
retroactive effective date.34328

       Sec. 5101.212.  The department of job and family services 34329
shall publish in a manner accessible to the public all of the 34330
following that concern family services duties for which grants34331
included in fiscalgrant agreements entered into under section 34332
5101.21 of the Revised Code are awarded: state plans for receipt 34333
of federal financial participation, grant agreements between the 34334
department and a federal agency, and executive orders issued by 34335
the governor. The department may publish the materials 34336
electronically or otherwise.34337

       Sec. 5101.213.  (A) Except as provided in section 5101.211 of 34338
the Revised Code, if a fiscal agreement under section 5101.21 of 34339
the Revised Code between the director of job and family services 34340
and a board of county commissioners is not in effectUntil July 1, 34341
2008, all of the following apply:34342

       (1) TheFor each board of county commissioners, the34343
department of job and family services shall award to the county 34344
the board serves financial assistance for family services duties 34345
in accordance with a methodology for determining the amount of the 34346
award established by rules adopted under division (B) of this 34347
section.34348

       (2) The financial assistance may be provided in the form of 34349
allocations, cash draws, reimbursements, and property but may not 34350
be made in the form of a consolidated funding allocation.34351

       (3) The award of the financial assistance is subject to the 34352
availability of federal funds and appropriations made by the 34353
general assembly.34354

       (4) The county family services agencies performing the family 34355
services duties for which the financial assistance is awarded 34356
shall do all of the following:34357

       (a) Use the financial assistance, and perform the family 34358
services duties, in accordance with requirements for the duties 34359
established by the department, a federal or state law, or any of 34360
the following that concern the duties: state plans for receipt of 34361
federal financial participation, grant agreements between the 34362
department and a federal agency, and executive orders issued by 34363
the governor;34364

       (b) Utilize a financial management system and other 34365
accountability mechanisms for the financial assistance that meet 34366
requirements the department establishes;34367

       (c) Monitor all private and government entities that receive 34368
a payment from the financial assistance to ensure that each entity 34369
uses the payment in accordance with requirements for the family 34370
services duties and take action to recover payments that are not 34371
used in accordance with the requirements for the family services 34372
duties;34373

       (d) Promptly reimburse the department the amount that 34374
represents the amount an agency is responsible for, pursuant to 34375
action the department takes under division (C) of section 5101.24 34376
of the Revised Code, of funds the department pays to any entity 34377
because of an adverse audit finding, adverse quality control 34378
finding, final disallowance of federal financial participation, or 34379
other sanction or penalty;34380

       (e) Take prompt corrective action, including paying amounts 34381
resulting from an adverse finding, sanction, or penalty, if the 34382
department, auditor of state, federal agency, or other entity 34383
authorized by federal or state law to determine compliance with 34384
requirements for a family services duty determines compliance has 34385
not been achieved.34386

       (B) The director shall adopt rules in accordance with section 34387
111.15 of the Revised Code as necessary to implement this section. 34388
The director shall adopt the rules as if they were internal 34389
management rules. Before adopting the rules, the director shall 34390
give the public an opportunity to review and comment on the 34391
proposed rules. The rules shall establish methodologies to be used 34392
to determine the amount of financial assistance to be awarded and 34393
may do any or all of the following:34394

       (1) Govern the establishment of funding allocations;34395

       (2) Specify allowable uses of financial assistance the 34396
department awards under this section;34397

       (3) Establish reporting, cash management, audit, and other 34398
requirements the director determines are necessary to provide 34399
accountability for the use of the financial assistance and 34400
determine compliance with requirements established by the 34401
department, a federal or state law, or any of the following that 34402
concern the family services duties for which the financial 34403
assistance is awarded: state plans for receipt of federal 34404
financial participation, grant agreements between the department 34405
and a federal entity, and executive orders issued by the governor.34406

       Sec. 5101.24.  (A) As used in this section, "responsible 34407
entitycounty grantee" means a board of county commissioners or a 34408
county family services agency, whichever county grantee, as 34409
defined in section 5101.21 of the Revised Code, the director of 34410
job and family services determines is appropriate to take action 34411
against under division (C) of this section.34412

       (B) Regardless of whether a family services duty is performed 34413
by a county family services agency, private or government entity 34414
pursuant to a contract entered into under section 307.982 of the 34415
Revised Code or division (C)(2) of section 5153.16 of the Revised 34416
Code, or private or government provider of a family service duty, 34417
the department of job and family services may take action under34418
division (C) of this section against the responsible entitycounty 34419
grantee if the department determines any of the following are the 34420
case:34421

       (1) A requirement of a fiscalgrant agreement entered into 34422
under section 5101.21 of the Revised Code that includes a grant 34423
for the family services duty, including a requirement for fiscal34424
grant agreements established by rules adopted under that section, 34425
is not complied with;34426

       (2) A county family services agency fails to develop, submit 34427
to the department, or comply with a corrective action plan under 34428
division (B) of section 5101.221 of the Revised Code, or the 34429
department disapproves the agency's corrective action plan 34430
developed under division (B) of section 5101.221 of the Revised 34431
Code;34432

        (3) A requirement for the family services duty established by 34433
the department or any of the following is not complied with: a 34434
federal or state law, state plan for receipt of federal financial 34435
participation, grant agreement between the department and a 34436
federal agency, or executive order issued by the governor;34437

       (4) The responsible entitycounty grantee is solely or 34438
partially responsible, as determined by the director of job and 34439
family services, for an adverse audit finding, adverse quality 34440
control finding, final disallowance of federal financial 34441
participation, or other sanction or penalty regarding the family 34442
services duty.34443

       (C) The department may take one or more of the following 34444
actions against the responsible entitycounty grantee when 34445
authorized by division (B)(1), (2), (3), or (4) of this section:34446

       (1) Require the responsible entitycounty grantee to comply 34447
with a corrective action plan pursuant to a time schedule 34448
specified by the department. The corrective action plan shall be 34449
established or approved by the department and shall not require a 34450
county family services agencygrantee to commit resources to the 34451
plan.34452

       (2) Require the responsible entitycounty grantee to comply 34453
with a corrective action plan pursuant to a time schedule 34454
specified by the department. The corrective action plan shall be 34455
established or approved by the department and require a county 34456
family services agencygrantee to commit to the plan existing 34457
resources identified by the agency.34458

        (3) Require the responsible entitycounty grantee to do one 34459
of the following:34460

       (a) Share with the department a final disallowance of federal34461
financial participation or other sanction or penalty;34462

       (b) Reimburse the department the final amount the department 34463
pays to the federal government or another entity that represents 34464
the amount the responsible entitycounty grantee is responsible 34465
for of an adverse audit finding, adverse quality control finding, 34466
final disallowance of federal financial participation, or other 34467
sanction or penalty issued by the federal government, auditor of 34468
state, or other entity;34469

       (c) Pay the federal government or another entity the final 34470
amount that represents the amount the responsible entitycounty 34471
grantee is responsible for of an adverse audit finding, adverse 34472
quality control finding, final disallowance of federal financial 34473
participation, or other sanction or penalty issued by the federal 34474
government, auditor of state, or other entity;34475

       (d) Pay the department the final amount that represents the 34476
amount the responsible entitycounty grantee is responsible for of 34477
an adverse audit finding or adverse quality control finding.34478

       (4) Impose an administrative sanction issued by the 34479
department against the responsible entitycounty grantee. A34480
sanction may be increased if the department has previously taken 34481
action against the responsible entity under this division.34482

       (5) Perform, or contract with a government or private entity 34483
for the entity to perform, the family services duty until the 34484
department is satisfied that the responsible entitycounty grantee34485
ensures that the duty will be performed satisfactorily. If the 34486
department performs or contracts with an entity to perform a34487
family services duty under division (C)(5) of this section, the34488
department may do either or both of the following:34489

       (a) Spend funds in the county treasury appropriated by the 34490
board of county commissioners for the duty;34491

       (b) Withhold funds allocated or reimbursements due to the 34492
responsible entitycounty grantee for the duty and spend the funds 34493
for the duty. 34494

       (6) Request that the attorney general bring mandamus34495
proceedings to compel the responsible entitycounty grantee to 34496
take or cease the action that causes division (B)(1), (2), (3), or 34497
(4) of this section to apply. The attorney general shall bring 34498
mandamus proceedings in the Franklin county court of appeals at 34499
the department's request.34500

       (7) If the department takes action under this division 34501
because of division (B)(3) of this section, temporarily withhold 34502
funds allocated or reimbursement due to the responsible entity34503
county grantee until the department determines that the 34504
responsible entitycounty grantee is in compliance with the 34505
requirement. The department shall release the funds when the 34506
department determines that compliance has been achieved.34507

       (D) If the department proposes to take action against the 34508
responsible entitycounty grantee under division (C) of this34509
section, the department shall notify the responsible entitycounty 34510
grantee, director of the appropriate county family services 34511
agency, and county auditor. The notice shall be in writing and 34512
specify the action the department proposes to take. The department 34513
shall send the notice by regular United States mail.34514

        Except as provided by division (E) of this section, the 34515
responsible entitycounty grantee may request an administrative 34516
review of a proposed action in accordance with administrative 34517
review procedures the department shall establish. The 34518
administrative review procedures shall comply with all of the 34519
following:34520

       (1) A request for an administrative review shall state 34521
specifically all of the following:34522

       (a) The proposed action specified in the notice from the 34523
department for which the review is requested;34524

       (b) The reason why the responsible entitycounty grantee34525
believes the proposed action is inappropriate;34526

       (c) All facts and legal arguments that the responsible entity34527
county grantee wants the department to consider;34528

       (d) The name of the person who will serve as the responsible 34529
entity'scounty grantee's representative in the review.34530

       (2) If the department's notice specifies more than one 34531
proposed action and the responsible entitycounty grantee does not 34532
specify all of the proposed actions in its request pursuant to 34533
division (D)(1)(a) of this section, the proposed actions not 34534
specified in the request shall not be subject to administrative 34535
review and the parts of the notice regarding those proposed 34536
actions shall be final and binding on the responsible entity34537
county grantee.34538

       (3) In the case of a proposed action under division (C)(1) of34539
this section, the responsible entitycounty grantee shall have 34540
fifteen calendar days after the department mails the notice to the 34541
responsible entitycounty grantee to send a written request to the 34542
department for an administrative review. If it receives such a34543
request within the required time, the department shall postpone34544
taking action under division (C)(1) of this section for fifteen 34545
calendar days following the day it receives the request or 34546
extended period of time provided for in division (D)(5) of this 34547
section to allow a representative of the department and a 34548
representative of the responsible entitycounty grantee an 34549
informal opportunity to resolve any dispute during that 34550
fifteen-day or extended period.34551

       (4) In the case of a proposed action under division (C)(2), 34552
(3), (4), (5), or (7) of this section, the responsible entity34553
county grantee shall have thirty calendar days after the 34554
department mails the notice to the responsible entitycounty 34555
grantee to send a written request to the department for an 34556
administrative review. If it receives such a request within the 34557
required time, the department shall postpone taking action under 34558
division (C)(2), (3), (4), (5), or (7) of this section for thirty 34559
calendar days following the day it receives the request or 34560
extended period of time provided for in division (D)(5) of this 34561
section to allow a representative of the department and a 34562
representative of the responsible entitycounty grantee an 34563
informal opportunity to resolve any dispute during that thirty-day 34564
or extended period.34565

       (5) If the informal opportunity provided in division (D)(3) 34566
or (4) of this section does not result in a written resolution to 34567
the dispute within the fifteen- or thirty-day period, the director 34568
of job and family services and representative of the responsible 34569
entitycounty grantee may enter into a written agreement extending 34570
the time period for attempting an informal resolution of the 34571
dispute under division (D)(3) or (4) of this section.34572

        (6) In the case of a proposed action under division (C)(3) of 34573
this section, the responsible entitycounty grantee may not 34574
include in its request disputes over a finding, final disallowance 34575
of federal financial participation, or other sanction or penalty 34576
issued by the federal government, auditor of state, or entity 34577
other than the department.34578

       (7) If the responsible entitycounty grantee fails to request 34579
an administrative review within the required time, the responsible 34580
entitycounty grantee loses the right to request an administrative 34581
review of the proposed actions specified in the notice and the 34582
notice becomes final and binding on the responsible entitycounty 34583
grantee.34584

       (8) If the informal opportunity provided in division (D)(3) 34585
or (4) of this section does not result in a written resolution to 34586
the dispute within the time provided by division (D)(3), (4), or 34587
(5) of this section, the director shall appoint an administrative 34588
review panel to conduct the administrative review. The review 34589
panel shall consist of department employees and one director or 34590
other representative of the type of county family services agency 34591
that is responsible for the kind of family services duty that is 34592
the subject of the dispute and serves a different county than the 34593
county served by the responsible entitycounty grantee. No 34594
individual involved in the department's proposal to take action 34595
against the responsible entitycounty grantee may serve on the 34596
review panel. The review panel shall review the responsible 34597
entity'scounty grantee's request. The review panel may require 34598
that the department or responsible entitycounty grantee submit 34599
additional information and schedule and conduct an informal 34600
hearing to obtain testimony or additional evidence. A review of a 34601
proposal to take action under division (C)(3) of this section 34602
shall be limited solely to the issue of the amount the responsible 34603
entitycounty grantee shall share with the department, reimburse 34604
the department, or pay to the federal government, department, or 34605
other entity under division (C)(3) of this section. The review 34606
panel is not required to make a stenographic record of its hearing 34607
or other proceedings.34608

       (9) After finishing an administrative review, an 34609
administrative review panel appointed under division (D)(8) of 34610
this section shall submit a written report to the director setting 34611
forth its findings of fact, conclusions of law, and 34612
recommendations for action. The director may approve, modify, or 34613
disapprove the recommendations. If the director modifies or 34614
disapproves the recommendations, the director shall state the 34615
reasons for the modification or disapproval and the actions to be 34616
taken against the responsible entitycounty grantee.34617

       (10) The director's approval, modification, or disapproval 34618
under division (D)(9) of this section shall be final and binding 34619
on the responsible entitycounty grantee and shall not be subject 34620
to further departmental review.34621

       (E) The responsible entitycounty grantee is not entitled to 34622
an administrative review under division (D) of this section for 34623
any of the following:34624

       (1) An action taken under division (C)(6) of this section;34625

       (2) An action taken under section 5101.242 of the Revised 34626
Code;34627

       (3) An action taken under division (C)(3) of this section if 34628
the federal government, auditor of state, or entity other than the 34629
department has identified the responsible county family services 34630
agencygrantee as being solely or partially responsible for an 34631
adverse audit finding, adverse quality control finding, final 34632
disallowance of federal financial participation, or other sanction 34633
or penalty;34634

       (4) An adjustment to an allocation, cash draw, advance, or 34635
reimbursement to a responsible county family services agency34636
grantee that the department determines necessary for budgetary 34637
reasons;34638

       (5) Withholding of a cash draw or reimbursement due to 34639
noncompliance with a reporting requirement established in rules 34640
adopted under section 5101.243 of the Revised Code.34641

       (F) This section does not apply to other actions the 34642
department takes against the responsible entitycounty grantee34643
pursuant to authority granted by another state law unless the 34644
other state law requires the department to take the action in 34645
accordance with this section.34646

       (G) The director of job and family services may adopt rules 34647
in accordance with Chapter 119. of the Revised Code as necessary 34648
to implement this section.34649

       Sec. 5101.242.  The department of job and family services may 34650
certify a claim to the attorney general under section 131.02 of 34651
the Revised Code for the attorney general to take action under 34652
that section against a responsible county grantee or responsible 34653
entity to recover any funds that the department determines the 34654
responsible county grantee or responsible entity owes the 34655
department for actions taken under division (C)(2), (3), (4), or 34656
(5) of section 5101.24 or 5101.241 of the Revised Code.34657

       Sec. 5101.244.  If a county family services agency submits an 34658
expenditure report to the department of job and family services 34659
and the department subsequently determines that a grant awarded to 34660
a county grantee in a grant agreement entered into under section 34661
5101.21 of the Revised Code, an allocation, advance, or 34662
reimbursement the department makes to thea county family services34663
agency, or a cash draw thea county family services agency makes, 34664
for an expenditure exceeds the allowable amount for the 34665
expendituregrant, allocation, advance, reimbursement, or cash 34666
draw, the department may adjust, offset, withhold, or reduce an 34667
allocation, cash draw, advance, reimbursement, or other financial 34668
assistance to the county grantee or county family services agency 34669
as necessary to recover the amount of the excess grant,34670
allocation, advance, reimbursement, or cash draw. The department 34671
is not required to make the adjustment, offset, withholding, or 34672
reduction in accordance with section 5101.24 of the Revised Code.34673

       The director of job and family services may adopt rules under 34674
section 111.15 of the Revised Code as necessary to implement this 34675
section. The director shall adopt the rules as if they were 34676
internal management rules.34677

       Sec. 5101.51.  In accordance with federal law governing the34678
children's health insurance program, the director of job and34679
family services may submit a state child health plan to the United 34680
States secretary of health and human services to provide, except 34681
as provided in section 5101.516 of the Revised Code, health 34682
assistance to uninsured individuals under nineteen years of age 34683
with family incomes above one hundred fifty per cent of the 34684
federal poverty guidelines but not exceeding twothree hundred per 34685
cent of the federal poverty guidelines. If the director submits 34686
the plan, the director shall include bothall of the following in 34687
the plan and any subsequent amendments to the plan:34688

       (A) TheFor individuals with family incomes above one hundred 34689
fifty per cent but not exceeding two hundred per cent of the 34690
federal poverty guidelines, the health assistance will not begin 34691
before January 1, 2000.34692

       (B) For individuals with family incomes above two hundred per 34693
cent but not exceeding three hundred per cent of the federal 34694
poverty guidelines, the health assistance will not begin before 34695
January 1, 2008.34696

       (C) The health assistance will be available only while 34697
federal financial participation is available for it.34698

       Sec. 5101.541. The food stamp program fund is hereby created 34699
in the state treasury. The fund shall consist of federal 34700
reimbursement for food stamp program administrative expenses and 34701
other food stamp program expenses. The department of job and 34702
family services shall use the money credited to the fund to pay 34703
for food stamp program administrative expenses and other food 34704
stamp program expenses.34705

       Sec. 5101.571.  As used in sections 5101.571 to 5101.5934706
5101.591 of the Revised Code:34707

       (A) "Information" means all of the following:34708

       (1) An individual's name, address, date of birth, and social 34709
security number;34710

       (2) The group or plan number, or other identifier, assigned 34711
by a third party to a policy held by an individual or a plan in 34712
which the individual participates and the nature of the coverage;34713

       (3) Any other data the director of job and family services 34714
specifies in rules adopted under section 5101.591 of the Revised 34715
Code.34716

       (B) "Medical assistance" means medical items or services 34717
provided under any of the following:34718

        (1) Medicaid, as defined in section 5111.01 of the Revised 34719
Code;34720

       (2) The children's health insurance program part I and part 34721
II established under sections 5101.50 to 5101.5110 of the Revised 34722
Code;34723

       (3) The disability medical assistance program established 34724
under Chapter 5115. of the Revised Code.34725

       (C) "Medical support" means support specified as support for 34726
the purpose of medical care by order of a court or administrative 34727
agency.34728

       (B) "Third party"(D) "Public assistance" means medical 34729
assistance or assistance under the Ohio works first program 34730
established under Chapter 5107. of the Revised Code.34731

       (E)(1) Subject to division (E)(2) of this section, and except 34732
as provided in division (E)(3) of this section, "third party"34733
means any health insurer as defined in section 3924.41 of the 34734
Revised Code, individual, entity, or public or private program, 34735
that is or may be liable to pay all or part of the medical cost of 34736
injury, disease, or disability of an applicant or recipient. 34737
"Third party" includes any such insurer, individual, entity, or 34738
program that would have been obligated to pay for the service, 34739
even when such third party limits or excludes payments in the case 34740
of an individual who is eligible for medicaid.all of the 34741
following:34742

       (a) A person authorized to engage in the business of sickness 34743
and accident insurance under Title XXXIX of the Revised Code;34744

       (b) A person or governmental entity providing coverage for 34745
medical services or items to individuals on a self-insurance 34746
basis;34747

       (c) A health insuring corporation as defined in section 34748
1751.01 of the Revised Code;34749

       (d) A group health plan as defined in 29 U.S.C. 1167;34750

       (e) A service benefit plan as referenced in 42 U.S.C. 34751
1396a(a)(25);34752

       (f) A managed care organization;34753

       (g) A pharmacy benefit manager;34754

       (h) A third party administrator;34755

       (i) Any other person or governmental entity that is, by law, 34756
contract, or agreement, responsible for the payment or processing 34757
of a claim for a medical item or service for a public assistance 34758
recipient or participant.34759

       (2) Except when otherwise provided by 42 U.S.C. 1395y(b), a 34760
person or governmental entity listed in division (E)(1) of this 34761
section is a third party even if the person or governmental entity 34762
limits or excludes payments for a medical item or service in the 34763
case of a public assistance recipient. 34764

       (3) "Third party" does not include the program for medically 34765
handicapped children established under section 3701.023 of the 34766
Revised Code.34767

       Sec. 5101.572. Upon the request of the department of job and34768
family services, any(A) A third party as defined in section 34769
5101.571 of the Revised Code shall cooperate with the department 34770
of job and family services in identifying individuals for the 34771
purpose of establishing third party liability pursuant to Title 34772
XIX of the Social Security Act, as amended. The34773

       (B) In furtherance of the requirement in division (A) of this 34774
section and to allow the department to determine any period that 34775
the individual or the individual's spouse or dependent may have 34776
been covered by the third party and the nature of the coverage, a 34777
third party shall provide, as the department so chooses, 34778
information or access to information, or both, in the third 34779
party's electronic data system on the department's request and in 34780
accordance with division (C) of this section.34781

       (C)(1) If the department chooses to receive information 34782
directly, the third party shall provide the information under all 34783
of the following circumstances:34784

       (a) In a medium, format, and manner prescribed by the 34785
director of job and family services in rules adopted under section 34786
5101.591 of the Revised Code;34787

       (b) Free of charge;34788

       (c) Not later than the end of the thirtieth day after the 34789
department makes its request, unless a different time is agreed to 34790
by the director in writing.34791

       (2) If the department chooses to receive access to 34792
information, the third party shall provide access by a method 34793
prescribed by the director of job and family services in rules 34794
adopted under section 5101.591 of the Revised Code. In 34795
facilitating access, the department may enter into a trading 34796
partner agreement with the third party to permit the exchange of 34797
information via "ASC X 12N 270/271 Health Care Eligibility Benefit 34798
Inquiry and Response" transactions.34799

       (D) All of the following apply with respect to information 34800
provided by a third party to the department under this section:34801

       (1) The information is confidential and not a public record 34802
under section 149.43 of the Revised Code.34803

       (2) The release of information to the department is not to be 34804
considered a violation of any right of confidentiality or contract 34805
that the third party may have with covered persons including, but 34806
not limited to, contractees, beneficiaries, heirs, assignees, and 34807
subscribers.34808

       (3) The third party is immune from any liability that it may 34809
otherwise incur through its release of information to the 34810
department.34811

       The department of job and family services shall limit its use 34812
of information gained from third parties to purposes directly34813
connected with the administration of the medicaid program. No34814

       (E) No third party shall disclose to other parties or make 34815
use of any information regarding recipients of aid under Chapter 34816
5107. or 5111. of the Revised Code that it obtains from the 34817
department of job and family services, except in the manner 34818
provided for by the director of job and family services in 34819
administrative rules. Any information provided by a third party to 34820
the department of job and family services shall not be considered 34821
a violation of any right of confidentiality or contract that the 34822
third party may have with covered persons including, but not 34823
limited to, contractees, beneficiaries, heirs, assignees, and 34824
subscribers. The third party is immune from any liability that it 34825
may otherwise incur through its release of information to the 34826
department of job and family services.34827

       Sec. 5101.573. (A) Subject to division (B) of this section, a 34828
third party shall do all of the following:34829

       (1) Accept the department of job and family services' right 34830
of recovery under section 5101.58 of the Revised Code and the 34831
assignment of rights to the department that are described in 34832
section 5101.59 of the Revised Code.34833

       (2) Respond to an inquiry by the department regarding a claim 34834
for payment of a medical item or service that was submitted to the 34835
third party not later than six years after the date of the 34836
provision of such medical item or service;34837

       (3) Pay a claim described in division (A)(2) of this section;34838

       (4) Not deny a claim submitted by the department solely on 34839
the basis of the date of submission of the claim, type or format 34840
of the claim form, or a failure by the medical assistance 34841
recipient who is the subject of the claim to present proper 34842
documentation of coverage at the time of service, if both of the 34843
following are true:34844

       (a) The claim was submitted by the department not later than 34845
six years after the date of the provision of the medical item or 34846
service;34847

       (b) An action by the department to enforce its right of 34848
recovery under section 5101.58 of the Revised Code on the claim 34849
was commenced not later than six years after the department's 34850
submission of the claim.34851

       (B) For purposes of the requirements in division (A) of this 34852
section, a third party shall treat a managed care organization as 34853
the department for a claim in which both of the following are 34854
true:34855

       (1) The individual who is the subject of the claim received a 34856
medical item or service through a managed care organization that 34857
has entered into a contract with the department of job and family 34858
services under section 5111.16 of the Revised Code;34859

       (2) The department has assigned its right of recovery for the 34860
claim to the managed care organization.34861

       Sec. 5101.574.  No third party shall consider whether an 34862
individual is eligible for or receives medical assistance when 34863
either of the following applies:34864

       (A) The individual seeks to obtain a policy or enroll in a 34865
plan or program operated or administered by the third party;34866

       (B) The individual, or a person or governmental entity on the 34867
individual's behalf, seeks payment for a medical item or service 34868
provided to the individual.34869

       Sec. 5101.575. If a third party violates section 5101.572, 34870
5101.573, or 5101.574 of the Revised Code, a governmental entity 34871
that is responsible for issuing a license, certificate of 34872
authority, registration, or approval that authorizes the third 34873
party to do business in this state shall, in accordance with 34874
Chapter 119. of the Revised Code, deny, revoke, or terminate, as 34875
determined to be appropriate by the governmental entity, the 34876
license, certificate, registration, or approval of the third 34877
party. In addition, the attorney general may petition a court of 34878
common pleas to enjoin the violation.34879

       Sec. 5101.58. As used in this section and section 5101.59 of 34880
the Revised Code, "public assistance" means aid provided under 34881
Chapter 5111. or 5115. of the Revised Code and participation in 34882
the Ohio works first program established under Chapter 5107. of 34883
the Revised Code.34884

       (A) The acceptance of public assistance gives aan automatic34885
right of recovery to the department of job and family services and34886
a county department of job and family services against the34887
liability of a third party for the cost of medical services and 34888
care arising out of injury, disease, or disabilityassistance paid 34889
on behalf of the public assistance recipient or participant. When 34890
an action or claim is brought against a third party by a public 34891
assistance recipient or participant, the entire amount of any 34892
payment, settlement or compromise of the action or claim, or any 34893
court award or judgment, is subject to the recovery right of the34894
department of job and family services or county department of job 34895
and family services. Except in the case of a recipient or 34896
participant who receives medical services or careassistance34897
through a managed care organization, the department's or county 34898
department's claim shall not exceed the amount of medical expenses34899
assistance paid by the departmentsa department on behalf of the 34900
recipient or participant. InA payment, settlement, compromise, 34901
judgment, or award that excludes the cost of medical assistance 34902
paid for by a department shall not preclude a department from 34903
enforcing its rights under this section.34904

       (B) In the case of a recipient or participant who receives 34905
medical services or careassistance through a managed care 34906
organization, the amount of the department's or county 34907
department's claim shall be the amount the managed care 34908
organization pays for medical services or careassistance rendered 34909
to the recipient or participant, even if that amount is more than 34910
the amount the departments paya department pays to the managed 34911
care organization for the recipient's or participant's medical 34912
services or care. Any settlement, compromise, judgment, or award34913
that excludes the cost of medical services or care shall not34914
preclude the departments from enforcing their rights under this34915
sectionassistance.34916

       Prior to initiating any(C) A recipient or participant, and 34917
the recipient's or participant's attorney, if any, shall cooperate 34918
with the departments. In furtherance of this requirement, the 34919
recipient or participant, or the recipient's or participant's 34920
attorney, if any, shall, not later than thirty days after 34921
initiating informal recovery activity or filing a legal recovery 34922
action, the recipient or participant, or the recipient's or 34923
participant's representative, shall discloseagainst a third 34924
party, provide written notice of the activity or action to the 34925
appropriate department or departments as follows:34926

       (1) To only the department of job and family services when 34927
medical assistance under medicaid has been paid;34928

       (2) To the department of job and family services and the 34929
appropriate county department of job and family services when 34930
medical assistance under the disability medical assistance program 34931
or medical assistance under the nonfederal medical assistance 34932
program has been paid.34933

       (D) The written notice that must be given under division (C) 34934
of this section shall disclose the identity and address of any 34935
third party against whom the recipient or participant has or may 34936
have a right of recovery. Disclosure shall be made to the 34937
department of job and family services when medical expenses have 34938
been paid pursuant to Chapter 5111. or 5115. of the Revised Code. 34939
Disclosure shall be made to both the department of job and family 34940
services and the appropriate county department of job and family 34941
services when medical expenses have been paid pursuant to Chapter 34942
5115. of the Revised Code. No34943

       (E) No settlement, compromise, judgment, or award or any 34944
recovery in any action or claim by a recipient or participant 34945
where the departments have a right of recovery shall be made final 34946
without first giving the appropriate departments written notice as 34947
described in division (C) of this section and a reasonable 34948
opportunity to perfect their rights of recovery. If the34949
departments are not given the appropriate written notice, the 34950
recipient or participant isand, if there is one, the recipient's 34951
or participant's attorney, are liable to reimburse the departments 34952
for the recovery received to the extent of medical payments made 34953
by the departments. The34954

       (F) The departments shall be permitted to enforce their 34955
recovery rights against the third party even though they accepted 34956
prior payments in discharge of their rights under this section if, 34957
at the time the departments received such payments, they were not 34958
aware that additional medical expenses had been incurred but had 34959
not yet been paid by the departments. The third party becomes 34960
liable to the department of job and family services or county34961
department of job and family services as soon as the third party 34962
is notified in writing of the valid claims for recovery under this34963
section.34964

       The(G)(1) Subject to division (G)(2) of this section, the34965
right of recovery of a department does not apply to that portion34966
of any judgment, award, settlement, or compromise of a claim, to 34967
the extent of attorneys' fees, costs, or other expenses incurred 34968
by a recipient or participant in securing the judgment, award, 34969
settlement, or compromise, or to the extent of medical, surgical, 34970
and hospital expenses paid by such recipient or participant from 34971
the recipient's or participant's own resources. Attorney fees and 34972
costs or other expenses in securing any recovery shall not be 34973
assessed against any claims of the departments.34974

       To(2) Reasonable attorneys' fees, not to exceed one-third of 34975
the total judgment, award, settlement, or compromise, plus costs 34976
and other expenses incurred by the recipient or participant in 34977
securing the judgment, award, settlement, or compromise, shall 34978
first be deducted from the total judgment, award, settlement, or 34979
compromise. After fees, costs, and other expenses are deducted 34980
from the total judgment, award, settlement, or compromise, the 34981
department of job and family services or appropriate county 34982
department of job and family services shall receive no less than 34983
one-half of the remaining amount, or the actual amount of medical 34984
assistance paid, whichever is less.34985

       (H) A right of recovery created by this section may be 34986
enforced separately or jointly by the department of job and family 34987
services or the appropriate county department of job and family 34988
services. To enforce their recovery rights, the departments may do34989
any of the following:34990

       (A)(1) Intervene or join in any action or proceeding brought34991
by the recipient or participant or on the recipient's or 34992
participant's behalf against any third party who may be liable for 34993
the cost of medical services and care arising out of the 34994
recipient's or participant's injury, disease, or disability34995
assistance paid;34996

       (B)(2) Institute and pursue legal proceedings against any34997
third party who may be liable for the cost of medical services and 34998
care arising out of the recipient's or participant's injury, 34999
disease, or disabilityassistance paid;35000

       (C)(3) Initiate legal proceedings in conjunction with theany35001
injured, diseased, or disabled recipient or participant or the 35002
recipient's or participant's legalattorney or representative.35003

       Recovery rights created by this section may be enforced35004
separately or jointly by the department of job and family services 35005
and the county department of job and family services.35006

       (I) A recipient or participant shall not assess attorney 35007
fees, costs, or other expenses against the department of job and 35008
family services or a county department of job and family services 35009
when the department or county department enforces its right of 35010
recovery created by this section.35011

       (J) The right of recovery given to the department under this35012
section does not include rights to support from any other person35013
assigned to the state under sections 5107.20 and 5115.07 of the 35014
Revised Code, but includes payments made by a third party under 35015
contract with a person having a duty to support.35016

       The director of job and family services may adopt rules in 35017
accordance with Chapter 119. of the Revised Code the department 35018
considers necessary to implement this section.35019

       Sec. 5101.59.  (A) The application for, or acceptance of,35020
public assistance constitutes an automatic assignment of certain 35021
rights to the department of job and family services. This 35022
assignment includes the rights of the applicant, recipient, or35023
participant and also the rights of any other member of the 35024
assistance group for whom the applicant, recipient, or participant 35025
can legally make an assignment.35026

       (B) Pursuant to this section, the applicant, recipient, or 35027
participant assigns to the department any rights to medical 35028
support available to the applicant, recipient, or participant or 35029
for other members of the assistance group under an order of a 35030
court or administrative agency, and any rights to payments from 35031
anyby a liable third party liable to pay for the cost of medical 35032
care and services arising out of injury, disease, or disability of 35033
the applicant, recipient, participant, or other members of the35034
assistance groupassistance paid on behalf of a public assistance 35035
recipient or participant. The recipient or participant shall 35036
cooperate with the department in obtaining such payments.35037

       Medicare benefits shall not be assigned pursuant to this35038
section. Benefits assigned to the department by operation of this 35039
section are directly reimbursable to the department by liable 35040
third parties.35041

       (B)(C) Refusal by the applicant, recipient, or participant to 35042
cooperate in obtaining medical support and paymentsassistance 35043
paid for self or any other member of the assistance group renders 35044
the applicant, recipient, or participant ineligible for public35045
assistance, unless cooperation is waived by the department. 35046
Eligibility shall continue for any individual who cannot legally 35047
assign the individual's own rights and who would have been35048
eligible for public assistance but for the refusal to assign the 35049
individual's rights or to cooperate as required by this section by 35050
another person legally able to assign the individual's rights.35051

       (D) If the applicant, recipient, or participant or any member 35052
of the assistance group becomes ineligible for public assistance, 35053
the department shall restore to the applicant, recipient, 35054
participant, or member of the assistance group any future rights 35055
to benefits assigned under this section.35056

       (E) The rights of assignment given to the department under 35057
this section do not include rights to support assigned under 35058
section 5107.20 or 5115.07 of the Revised Code.35059

       (C) The director of job and family services may adopt rules 35060
in accordance with Chapter 119. of the Revised Code to implement 35061
this section, including rules that specify what constitutes 35062
cooperating with efforts to obtain medical support and payments 35063
and when the cooperation requirement may be waived.35064

       Sec. 5101.591. (A) Except as provided in division (B) of this 35065
section, the director of job and family services may adopt rules 35066
in accordance with Chapter 119. of the Revised Code to implement 35067
sections 5101.571 to 5101.59 of the Revised Code, including rules 35068
that specify what constitutes cooperating with efforts to obtain 35069
support or payments, or medical assistance payments, and when 35070
cooperation may be waived.35071

       (B) The department shall adopt rules in accordance with 35072
Chapter 119. of the Revised Code to do all of the following:35073

       (1) For purposes of the definition of "information" in 35074
division (A) of section 5101.571 of the Revised Code, any data 35075
other than the data specified in that division that should be 35076
included in the definition.35077

       (2) For purposes of division (C)(1)(a) of section 5101.572 of 35078
the Revised Code, the medium, format, and manner in which a third 35079
party must provide information to the department.35080

       (3) For purposes of division (C)(2) of section 5101.572 of 35081
the Revised Code, the method by which a third party must provide 35082
the department with access to information.35083

       Sec. 5101.802.  (A) As used in this section:35084

        (1) "Custodian," "guardian," and "minor child" have the same 35085
meanings as in section 5107.02 of the Revised Code.35086

       (2) "Federal poverty guidelines" has the same meaning as in 35087
section 5101.46 of the Revised Code.35088

        (3) "Kinship caregiver" has the same meaning as in section 35089
5101.85 of the Revised Code.35090

        (B) Subject to division (E) of section 5101.801 of the 35091
Revised Code, there is hereby created the kinship permanency 35092
incentive program to promote permanency for a minor child in the 35093
legal and physical custody of a kinship caregiver. The program 35094
shall provide an initial one-time incentive payment to the kinship 35095
caregiver to defray the costs of initial placement of the minor 35096
child in the kinship caregiver's home. The program may provide 35097
additional permanency incentive payments for the minor child at 35098
six month intervals for a total period not to exceed thirty-six 35099
months.35100

        (C) A kinship caregiver may participate in the program if all 35101
of the following requirements are met:35102

        (1) The kinship caregiver applies to a public children 35103
services agency in accordance with the application process 35104
established in rules authorized by division (E) of this section;35105

        (2) The minor child the kinship caregiver is caring for is a 35106
child with special needs as that term is defined in rules adopted 35107
under section 5153.163 of the Revised Code;35108

       (3) ANot earlier than July 1, 2005, a juvenile court has 35109
adjudicated the minor child to be an abused, neglected, dependent, 35110
or unruly child and determined that it is in the child's best 35111
interest to be in theissues an order granting legal custody ofto35112
the kinship caregiver, or thea probate court has determined that 35113
it is in the child's best interest to be in the guadianship of35114
grants guardianship to the kinship caregiver, except that a 35115
temporary court order is not sufficient to meet this requirement;35116

        (4)(3) The kinship caregiver is either the minor child's 35117
custodian or guardian;35118

       (5)(4) The minor child resides with the kinship caregiver 35119
pursuant to a placement approval process established in rules 35120
authorized by division (E) of this section;35121

       (6) The(5) Excluding any income excluded under rules adopted 35122
under division (E) of this section, the gross income of the 35123
kinship caregiver's family, including the minor child, does not 35124
exceed twothree hundred per cent of the federal poverty 35125
guidelines.35126

        (D) Public children services agencies shall make initial and 35127
ongoing eligibility determinations for the kinship permanency 35128
incentive program in accordance with rules authorized by division 35129
(E) of this section. The director of job and family services shall 35130
supervise public children services agencies' duties under this 35131
section.35132

        (E) The director of job and family services shall adopt rules 35133
under division (C) of section 5101.801 of the Revised Code as 35134
necessary to implement the kinship permanency incentive program. 35135
The rules shall establish all of the following:35136

        (1) The application process for the program;35137

        (2) The placement approval process through which a minor 35138
child is placed with a kinship caregiver for the kinship caregiver 35139
to be eligible for the program;35140

        (3) The initial and ongoing eligibility determination process 35141
for the program, including the computation of income eligibility;35142

        (4) The amount of the incentive payments provided under the 35143
program;35144

        (5) The method by which the incentive payments are provided 35145
to a kinship caregiver;.35146

       (6) Anything else the director considers necessary to 35147
implement the program.35148

       (F) The director shall begin implementation of the kinship 35149
permanency incentive program no later than January 1, 2006.35150

       Sec. 5101.98.  (A) There is hereby created in the state 35151
treasury the military injury relief fund, which shall consist of 35152
money contributed to it under section 5747.113 of the Revised 35153
Code, of incentive grants authorized by the "Jobs for Veterans 35154
Act," 116 Stat. 2033 (2002), and of contributions made directly to 35155
it. Any person or entity may contribute directly to the fund in 35156
addition to or independently of the income tax refund contribution 35157
system established in section 5747.113 of the Revised Code.35158

       (B) Upon application, the director of job and family services 35159
shall grant money in the fund to individuals injured while in 35160
active service as a member of the armed forces of the United 35161
States and while serving under operation Iraqi freedom or 35162
operation enduring freedom and to individuals diagnosed with 35163
post-traumatic stress disorder while serving, or after having 35164
served, in operation Iraqi freedom or operation enduring freedom.35165

       (C) An individual who receives a grant under this section is 35166
not precluded from receiving one or more additional grants under 35167
this section andduring the same state fiscal year but is not 35168
precluded from being considered for or receiving other assistance 35169
offered by the department of job and family services.35170

       (D) The director shall adopt rules under Chapter 119. of the 35171
Revised Code establishing:35172

       (1) Forms and procedures by which individuals may apply for a 35173
grant under this section;35174

       (2) Criteria for reviewing, evaluating, and rankingapproving 35175
or denying grant applications;35176

       (3) Criteria for determining the amount of grants awarded 35177
under this section; and35178

       (4) Definitions and standards applicable to determining 35179
whether an individual meets the requirements established in 35180
division (B) of this section;35181

       (5) The process for appealing eligibility determinations; and35182

       (6) Any other rules necessary to administer the grant program 35183
established in this section.35184

       (E) An eligibility determination, a grant approval, or a 35185
grant denial made under this section may not be appealed under 35186
Chapter 119., section 5101.35, or any other provision of the 35187
Revised Code.35188

       Sec. 5104.30.  (A) The department of job and family services 35189
is hereby designated as the state agency responsible for35190
administration and coordination of federal and state funding for35191
publicly funded child care in this state. Publicly funded child 35192
care shall be provided to the following:35193

       (1) Recipients of transitional child care as provided under 35194
section 5104.34 of the Revised Code;35195

       (2) Participants in the Ohio works first program established 35196
under Chapter 5107. of the Revised Code;35197

       (3) Individuals who would be participating in the Ohio works35198
first program if not for a sanction under section 5107.16 of the 35199
Revised Code and who continue to participate in a work activity, 35200
developmental activity, or alternative work activity pursuant to 35201
an assignment under section 5107.42 of the Revised Code;35202

       (4) A family receiving publicly funded child care on October 35203
1, 1997, until the family's income reaches one hundred fifty per 35204
cent of the federal poverty line;35205

       (5) Subject to available funds, other individuals determined 35206
eligible in accordance with rules adopted under section 5104.38 of 35207
the Revised Code.35208

       The department shall apply to the United States department of 35209
health and human services for authority to operate a coordinated 35210
program for publicly funded child care, if the director of job and 35211
family services determines that the application is necessary. For 35212
purposes of this section, the department of job and family 35213
services may enter into agreements with other state agencies that 35214
are involved in regulation or funding of child care. The 35215
department shall consider the special needs of migrant workers 35216
when it administers and coordinates publicly funded child care and 35217
shall develop appropriate procedures for accommodating the needs 35218
of migrant workers for publicly funded child care.35219

       (B) The department of job and family services shall 35220
distribute state and federal funds for publicly funded child care,35221
including appropriations of state funds for publicly funded child 35222
care and appropriations of federal funds available under the child 35223
care block grant act, Title IV-A, and Title XX. The department may 35224
use any state funds appropriated for publicly funded child care as 35225
the state share required to match any federal funds appropriated 35226
for publicly funded child care.35227

       (C) In the use of federal funds available under the child 35228
care block grant act, all of the following apply:35229

       (1) The department may use the federal funds to hire staff to 35230
prepare any rules required under this chapter and to administer 35231
and coordinate federal and state funding for publicly funded child 35232
care.35233

       (2) Not more than five per cent of the aggregate amount of 35234
the federal funds received for a fiscal year may be expended for 35235
administrative costs.35236

       (3) The department shall allocate and use at least four per 35237
cent of the federal funds for the following:35238

       (a) Activities designed to provide comprehensive consumer 35239
education to parents and the public;35240

       (b) Activities that increase parental choice;35241

       (c) Activities, including child care resource and referral 35242
services, designed to improve the quality, and increase the 35243
supply, of child care;35244

       (d) Establishing a voluntary child care quality-rating 35245
program in which participation in the program may allow a child 35246
day-care center or type A or B family day-care home to be eligible 35247
for grants, technical assistance, training, or other assistance 35248
and become eligible for unrestricted monetary awards for 35249
maintaining a quality rating.35250

       (4) The department shall ensure that the federal funds will 35251
be used only to supplement, and will not be used to supplant, 35252
federal, state, and local funds available on the effective date of 35253
the child care block grant act for publicly funded child care and 35254
related programs. A county department of job and family services 35255
may purchase child care from funds obtained through any other 35256
means.35257

       (D) The department shall encourage the development of35258
suitable child care throughout the state, especially in areas with 35259
high concentrations of recipients of public assistance and35260
families with low incomes. The department shall encourage the 35261
development of suitable child care designed to accommodate the 35262
special needs of migrant workers. On request, the department, 35263
through its employees or contracts with state or community child 35264
care resource and referral service organizations, shall provide 35265
consultation to groups and individuals interested in developing 35266
child care. The department of job and family services may enter 35267
into interagency agreements with the department of education, the 35268
board of regents, the department of development, and other state 35269
agencies and entities whenever the cooperative efforts of the 35270
other state agencies and entities are necessary for the department 35271
of job and family services to fulfill its duties and 35272
responsibilities under this chapter.35273

       The department shall develop and maintain a registry of 35274
persons providing child care. The director shall adopt rules 35275
pursuant to Chapter 119. of the Revised Code establishing 35276
procedures and requirements for the registry's administration.35277

       (E)(1) The director shall adopt rules in accordance with35278
Chapter 119. of the Revised Code establishing both of the 35279
following:35280

       (a) Reimbursement ceilings for providers of publicly funded 35281
child care;35282

       (b) A procedure for reimbursing and paying providers of35283
publicly funded child care.35284

       (2) In establishing reimbursement ceilings under division 35285
(E)(1)(a) of this section, the director shall do all of the 35286
following:35287

       (a) Use the information obtained under division (B)(3) of 35288
section 5104.04 of the Revised Code;35289

       (b) Establish an enhanced reimbursement ceiling for providers 35290
who provide child care for caretaker parents who work 35291
nontraditional hours;35292

       (c) For a type B family day-care home provider that has 35293
received limited certification pursuant to rules adopted under35294
division (G)(1) of section 5104.011 of the Revised Code, establish 35295
a reimbursement ceiling that is the following:35296

        (i) If the provider is a person described in division 35297
(G)(1)(a) of section 5104.011 of the Revised Code, seventy-five 35298
per cent of the reimbursement ceiling that applies to a type B 35299
family day-care home certified by the same county department of 35300
job and family services pursuant to section 5104.11 of the Revised 35301
Code;35302

       (ii) If the provider is a person described in division 35303
(G)(1)(b) of section 5104.011 of the Revised Code, sixty per cent 35304
of the reimbursement ceiling that applies to a type B family 35305
day-care home certified by the same county department pursuant to 35306
section 5104.11 of the Revised Code.35307

       (3) In establishing reimbursement ceilings under division 35308
(E)(1)(a) of this section, the director may establish different 35309
reimbursement ceilings based on any of the following:35310

        (a) Geographic location of the provider;35311

        (b) Type of care provided;35312

        (c) Age of the child served;35313

        (d) Special needs of the child served;35314

        (e) Whether the expanded hours of service are provided;35315

        (f) Whether weekend service is provided;35316

        (g) Whether the provider has exceeded the minimum 35317
requirements of state statutes and rules governing child care;35318

        (h) Any other factors the director considers appropriate.35319

       (F) Not later than September 1, 2007, the director shall 35320
adopt rules in accordance with Chapter 119. of the Revised Code to 35321
implement the voluntary child care quality-rating program 35322
described in division (C)(3)(d) of this section.35323

       Sec. 5107.02.  As used in this chapter:35324

       (A) "Adult" means an individual who is not a minor child.35325

       (B) "Assistance group" means a group of individuals treated35326
as a unit for purposes of determining eligibility for and the35327
amount of assistance provided under Ohio works first.35328

       (C) "Custodian" means an individual who has legal custody, as35329
defined in section 2151.011 of the Revised Code, of a minor child35330
or comparable status over a minor child created by a court of35331
competent jurisdiction in another state.35332

       (D) "Guardian" means an individual that is granted authority35333
by a probate court pursuant to Chapter 2111. of the Revised Code,35334
or a court of competent jurisdiction in another state, to exercise35335
parental rights over a minor child to the extent provided in the35336
court's order and subject to residual parental rights of the minor35337
child's parents.35338

       (E) "LEAP program" means the learning, earning, and parenting 35339
program conducted under section 5107.30 of the Revised Code.35340

       (F) "Minor child" means either of the following:35341

       (1) An individual who has not attained age eighteen;35342

       (2) An individual who has not attained age nineteen and is a35343
full-time student in a secondary school or in the equivalent level35344
of vocational or technical training.35345

       (F)(G) "Minor head of household" means a minor child who is 35346
either of the following:35347

       (1) Is married, at least six months pregnant, and a member of 35348
an assistance group that does not include an adult;35349

       (2) Is married and is a parent of a child included in the 35350
same assistance group that does not include an adult.35351

       (G)(H) "Ohio works first" means the program established by35352
this chapter known as temporary assistance for needy families in35353
Title IV-A.35354

       (H)(I) "Payment standard" means the amount specified in rules35355
adopted under section 5107.05 of the Revised Code that is the35356
maximum amount of cash assistance an assistance group may receive35357
under Ohio works first from state and federal funds.35358

       (I)(J) "Specified relative" means the following individuals35359
who are age eighteen or older:35360

       (1) The following individuals related by blood or adoption:35361

       (a) Grandparents, including grandparents with the prefix35362
"great," "great-great," or "great-great-great";35363

       (b) Siblings;35364

       (c) Aunts, uncles, nephews, and nieces, including such35365
relatives with the prefix "great," "great-great," "grand," or35366
"great-grand";35367

       (d) First cousins and first cousins once removed.35368

       (2) Stepparents and stepsiblings;35369

       (3) Spouses and former spouses of individuals named in35370
division (I)(J)(1) or (2) of this section.35371

       (J)(K) "Title IV-A" or "Title IV-D" means Title IV-A or Title35372
IV-D of the "Social Security Act," 49 Stat. 620 (1935), 42 U.S.C.35373
301, as amended.35374

       Sec. 5107.03.  There is hereby established the Ohio works 35375
first program. The department of job and family services shall 35376
administer the program, as long as federal funds are provided for 35377
the program, in accordance with Title IV-A, federal regulations, 35378
state law, the Title IV-A state plan submitted to the United 35379
States secretary of health and human services under section 35380
5101.80 of the Revised Code, amendments to the plan, and federal 35381
waivers granted by the United States secretary.35382

       The department shall make all cash assistance payments for35383
Ohio works first from funds appropriated for the Ohio works first 35384
program. A county department of job and family services may use35385
county funds to increase the amount of cash assistance an35386
assistance group receives. An increase in the amount of cash 35387
assistance that results from such a use of county funds shall not 35388
be included as countable income, gross earned income, or gross 35389
unearned income of the assistance group.35390

       Sec. 5107.04. As used in this section, "cost-of-living 35391
adjustment" means the cost-of-living adjustment made by the United 35392
States commissioner of social security under 42 U.S.C. 415(i) for 35393
benefits provided under Title II of the "Social Security Act of 35394
1935."35395

       The department of job and family services shall make all cash 35396
assistance payments for Ohio works first from funds appropriated 35397
for the Ohio works first program. The amount of a cash assistance 35398
payment the department is to make to an assistance group shall be 35399
determined in accordance with rules adopted under section 5107.05 35400
of the Revised Code and shall not exceed the payment standard. The 35401
department shall increase the payment standard on January 1, 2009, 35402
and the first day of each January thereafter by the cost-of-living 35403
adjustment made in the immediately preceding December.35404

       A county department of job and family services may use county 35405
funds to increase the amount of cash assistance an assistance 35406
group receives. An increase in the amount of cash assistance that 35407
results from such a use of county funds shall not be included as 35408
countable income, gross earned income, or gross unearned income of 35409
the assistance group.35410

       Sec. 5107.05.  The director of job and family services shall35411
adopt rules to implement this chapter. The rules shall be35412
consistent with Title IV-A, Title IV-D, federal regulations, state 35413
law, the Title IV-A state plan submitted to the United States 35414
secretary of health and human services under section 5101.80 of 35415
the Revised Code, amendments to the plan, and waivers granted by 35416
the United States secretary. Rules governing eligibility, program 35417
participation, and other applicant and participant requirements 35418
shall be adopted in accordance with Chapter 119. of the Revised 35419
Code. Rules governing financial and other administrative 35420
requirements applicable to the department of job and family 35421
services and county departments of job and family services shall 35422
be adopted in accordance with section 111.15 of the Revised Code.35423

       (A) The rules shall specify, establish, or govern all of the35424
following:35425

       (1) A payment standard for Ohio works first based on federal 35426
and state appropriations that is increased in accordance with 35427
section 5107.04 of the Revised Code;35428

       (2) TheFor the purpose of section 5107.04 of the Revised 35429
Code, the method of determining the amount of cash assistance an 35430
assistance group receives under Ohio works first;35431

       (3) Requirements for initial and continued eligibility for 35432
Ohio works first, including requirements regarding income,35433
citizenship, age, residence, and assistance group composition. 35434
The rules regarding income shall specify what is countable income, 35435
gross earned income, and gross unearned income for the purpose of 35436
section 5107.10 of the Revised Code.;35437

       (4) For the purpose of section 5107.12 of the Revised Code, 35438
application and verification procedures, including the minimum 35439
information an application must contain. If there are at least two 35440
telephone numbers available that a county department of human 35441
services can call to contact members of an assistance group, which 35442
may include the telephone number of an individual who can contact 35443
an assistance group member for the county department, the minimum 35444
information shall include at least those two telephone numbers.;35445

       (5) The extent to which a participant of Ohio works first 35446
must notify, pursuant to section 5107.12 of the Revised Code, a 35447
county department of job and family services of additional income 35448
not previously reported to the county department;35449

       (6) For the purpose of section 5107.16 of the Revised Code, 35450
standards for the determination of good cause for failure or 35451
refusal to comply in full with a provision of a self-sufficiency 35452
contract;35453

       (7) The department of job and family services providing 35454
written notice of a sanction under section 5107.161 of the Revised 35455
Code;35456

       (7)(8) Requirements for the collection and distribution of35457
support payments owed participants of Ohio works first pursuant to35458
section 5107.20 of the Revised Code;35459

       (8)(9) For the purpose of section 5107.22 of the Revised 35460
Code, what constitutes cooperating in establishing a minor child's 35461
paternity or establishing, modifying, or enforcing a child support 35462
order and good cause for failure or refusal to cooperate. The rule 35463
shall be consistent with 42 U.S.C.A. 654(29).;35464

       (9)(10) The requirements governing the LEAP program provided 35465
for under section 5107.30 of the Revised Code, including the 35466
definitions of "equivalent of a high school diploma" and "good 35467
cause," and the incentives provided under the LEAP program;35468

       (10)(11) If the director implements section 5107.301 of the 35469
Revised Code, the requirements governing the award provided under 35470
that section, including the form that the award is to take and 35471
requirements an individual must satisfy to receive the award;35472

       (11)(12) Circumstances under which a county department of job 35473
and family services may exempt a minor head of household or adult 35474
from participating in a work activity or developmental activity 35475
for all or some of the weekly hours otherwise required by section 35476
5107.43 of the Revised Code. Circumstances shall include that a 35477
school or place of work is closed due to a holiday or weather or 35478
other emergency and that an employer grants the minor head of 35479
household or adult leave for illness or earned vacation.35480

       (12)(13) The maximum amount of time the department will35481
subsidize positions created by state agencies and political35482
subdivisions under division (C) of section 5107.52 of the Revised 35483
Code. 35484

       (B) The rules adopted under division (A)(3) of this section 35485
regarding income shall specify what is countable income, gross 35486
earned income, and gross unearned income for the purpose of 35487
section 5107.10 of the Revised Code.35488

       The rules adopted under division (A)(9) of this section shall 35489
be consistent with 42 U.S.C. 654(29). 35490

       The rules adopted under division (A)(12) of this section 35491
shall specify that the circumstances include that a school or 35492
place of work is closed due to a holiday or weather or other 35493
emergency and that an employer grants the minor head of household 35494
or adult leave for illness or earned vacation.35495

       (C) The rules may provide that a county department of job and 35496
family services is not required to take action under section 35497
5107.76 of the Revised Code to recover an erroneous payment that 35498
is below an amount the department specifies.35499

       Sec. 5107.10.  (A) As used in this section:35500

       (1) "Countable income," "gross earned income," and "gross35501
unearned income" have the meanings established in rules adopted35502
under section 5107.05 of the Revised Code.35503

       (2) "Federal poverty guidelines" has the same meaning as in 35504
section 5101.46 of the Revised Code, except that references to a 35505
person's family in the definition shall be deemed to be references 35506
to the person's assistance group.35507

       (3) "Gross income" means gross earned income and gross35508
unearned income.35509

       (4) "Initial eligibility threshold" means the higher of the 35510
following:35511

       (a) Fifty per cent of the federal poverty guidelines;35512

       (b) The gross income maximum for initial eligibility for Ohio 35513
works first as that maximum was set by division (D)(1)(a) of this 35514
section on the day before the effective date of this amendment.35515

       (5) "Strike" means continuous concerted action in failing to35516
report to duty; willful absence from one's position; or stoppage35517
of work in whole from the full, faithful, and proper performance35518
of the duties of employment, for the purpose of inducing,35519
influencing, or coercing a change in wages, hours, terms, and35520
other conditions of employment. "Strike" does not include a35521
stoppage of work by employees in good faith because of dangerous35522
or unhealthful working conditions at the place of employment that35523
are abnormal to the place of employment.35524

       (B) Under the Ohio works first program, an assistance group35525
shall receive, except as otherwise provided by this chapter,35526
time-limited cash assistance. In the case of an assistance group35527
that includes a minor head of household or adult, assistance shall35528
be provided in accordance with the self-sufficiency contract35529
entered into under section 5107.14 of the Revised Code.35530

       (C) To be eligible to participate in Ohio works first, an35531
assistance group must meet all of the following requirements:35532

       (1) The assistance group, except as provided in division (E)35533
of this section, must include at least one of the following:35534

       (a) A minor child who, except as provided in section 5107.2435535
of the Revised Code, resides with a parent, or specified relative35536
caring for the child, or, to the extent permitted by Title IV-A35537
and federal regulations adopted until Title IV-A, resides with a35538
guardian or custodian caring for the child;35539

       (b) A parent residing with and caring for the parent's minor35540
child who receives supplemental security income under Title XVI of35541
the "Social Security Act," 86 Stat. 1475 (1972), 42 U.S.C.A. 1383,35542
as amended, or federal, state, or local adoption assistance;35543

       (c) A specified relative residing with and caring for a minor 35544
child who is related to the specified relative in a manner that 35545
makes the specified relative a specified relative and receives 35546
supplemental security income or federal, state, or local foster 35547
care or adoption assistance;35548

       (d) A woman at least six months pregnant.35549

       (2) The assistance group must meet the income requirements35550
established by division (D) of this section.35551

       (3) No member of the assistance group may be involved in a35552
strike.35553

       (4) The assistance group must satisfy the requirements for35554
Ohio works first established by this chapter and sections 5101.58, 35555
5101.59, and 5101.83 of the Revised Code.35556

       (5) The assistance group must meet requirements for Ohio35557
works first established by rules adopted under section 5107.05 of35558
the Revised Code.35559

       (D)(1) Except as provided in division (D)(4) of this section, 35560
to determine whether an assistance group is initially eligible to 35561
participate in Ohio works first, a county department of job and 35562
family services shall do the following:35563

       (a) Determine whether the assistance group's gross income35564
exceeds the initial eligibility thresholdfifty per cent of the 35565
federal poverty guidelines. In making this determination, the 35566
county department shall disregard amounts that federal statutes or 35567
regulations and sections 5101.17 and 5117.10 of the Revised Code 35568
require be disregarded. The assistance group is ineligible to 35569
participate in Ohio works first if the assistance group's gross 35570
income, less the amounts disregarded, exceeds the initial 35571
eligibility thresholdfifty per cent of the federal poverty 35572
guidelines.35573

       (b) If the assistance group's gross income, less the amounts35574
disregarded pursuant to division (D)(1)(a) of this section, does35575
not exceed the initial eligibility thresholdfifty per cent of the 35576
federal poverty guidelines, determine whether the assistance35577
group's countable income is less than the payment standard. The 35578
assistance group is ineligible to participate in Ohio works first 35579
if the assistance group's countable income equals or exceeds the 35580
payment standard.35581

       (2) For the purpose of determining whether an assistance 35582
group meets the income requirement established by division 35583
(D)(1)(a) of this section, the annual revision that the United 35584
States department of health and human services makes to the 35585
federal poverty guidelines shall go into effect on the first day 35586
of July of the year for which the revision is made.35587

       (3) To determine whether an assistance group participating in 35588
Ohio works first continues to be eligible to participate, a county 35589
department of job and family services shall determine whether the 35590
assistance group's countable income continues to be less than the 35591
payment standard. In making this determination, the county 35592
department shall disregard the first two hundred fifty dollars and 35593
fifty per cent of the remainder of the assistance group's gross 35594
earned income. No amounts shall be disregarded from the assistance35595
group's gross unearned income. The assistance group ceases to be 35596
eligible to participate in Ohio works first if its countable 35597
income, less the amounts disregarded, equals or exceeds the 35598
payment standard.35599

       (4) If an assistance group reapplies to participate in Ohio35600
works first not more than four months after ceasing to35601
participate, a county department of job and family services shall35602
use the income requirement established by division (D)(3) of this35603
section to determine eligibility for resumed participation rather35604
than the income requirement established by division (D)(1) of this35605
section.35606

       (E)(1) An assistance group may continue to participate in35607
Ohio works first even though a public children services agency35608
removes the assistance group's minor children from the assistance35609
group's home due to abuse, neglect, or dependency if the agency35610
does both of the following:35611

       (a) Notifies the county department of job and family services 35612
at the time the agency removes the children that it believes the 35613
children will be able to return to the assistance group within six 35614
months;35615

       (b) Informs the county department at the end of each of the35616
first five months after the agency removes the children that the35617
parent, guardian, custodian, or specified relative of the children35618
is cooperating with the case plans prepared for the children under35619
section 2151.412 of the Revised Code and that the agency is making35620
reasonable efforts to return the children to the assistance group.35621

       (2) An assistance group may continue to participate in Ohio35622
works first pursuant to division (E)(1) of this section for not35623
more than six payment months. This division does not affect the35624
eligibility of an assistance group that includes a woman at least35625
six months pregnant.35626

       Sec. 5107.12.  An assistance group seeking to participate in 35627
the Ohio works first program shall apply to a county department of 35628
job and family services using an application containing35629
information the director of job and family services requires 35630
pursuant to rules adopted under section 5107.05 of the Revised 35631
Code and any additional information the county department35632
requires. If cash assistance under the program is to be paid by 35633
the director of budget and management through the medium of direct35634
deposit as provided by section 329.03 of the Revised Code, the 35635
application shall be accompanied by information the director needs 35636
to make direct deposits.35637

       When a county department receives an application for 35638
participation in Ohio works first, it shall promptly make an 35639
investigation and record of the circumstances of the applicant in 35640
order to ascertain the facts surrounding the application and to 35641
obtain such other information as may be required. Upon the 35642
completion of the investigation, the county department shall 35643
determine as soon as possible whether the applicant is eligible to 35644
participate, the amount of cash assistance the applicant should 35645
receive, and the approximate date when participation shall begin. 35646
The county department shall not delay making the determination of 35647
whether the applicant is eligible to participate on the basis that 35648
the individuals required by section 5107.14 of the Revised Code to 35649
enter into a written self-sufficiency contract with the county 35650
department have not yet done that. The amount of cash assistance 35651
so determined shall be certified to the department of job and 35652
family services in such form as the department shall prescribe. 35653
Warrants, direct deposits, or debit cards shall be delivered or 35654
made payable in the manner the department may prescribe.35655

       To the extent required by rules adopted under section 5107.05 35656
of the Revised Code, a participant of Ohio works first shall 35657
notify the county department immediately upon the receipt or35658
possession of additional income not previously reported to the 35659
county department. Any failure to so notify a county department 35660
shall be regarded as prima-facie evidence of an intent to defraud.35661

       Sec. 5107.14. (A) An assistance group is ineligible to35662
participate in Ohio works first unless the minor head of household35663
or each adult member of the assistance group, not later than35664
thirty days after applying for or undergoing a redetermination of35665
eligibility for the program, entersthe following enter into a 35666
written self-sufficiency contract with the county department of35667
job and family services not later than thirty days after the 35668
assistance group applies for or undergoes a redetermination of 35669
eligibility for the program:35670

       (1) Each adult member of the assistance group;35671

       (2) The assistance group's minor head of household unless the 35672
minor head of household is participating in the LEAP program. The35673

       (B) A self-sufficiency contract shall set forth the rights 35674
and responsibilities of the assistance group as applicants for and35675
participants of the program, including work responsibilities35676
established under sections 5107.40 to 5107.69 of the Revised Code35677
and other requirements designed to assist the assistance group in35678
achieving self sufficiency and personal responsibility. The county 35679
department shall provide without charge a copy of the contract to 35680
each assistance group member who signs it.35681

       EachOhio works first. Each self-sufficiency contract shall 35682
include, based on appraisals conducted under section 5107.41 of 35683
the Revised Code and assessments conducted under section 5107.7035684
of the Revised Code, the following:35685

       (A)(1) The assistance group's plan, developed under section35686
5107.41 of the Revised Code, to achieve the goal of self35687
sufficiency and personal responsibility through unsubsidized35688
employment within the time limit for participating in Ohio works35689
first established by section 5107.18 of the Revised Code;35690

       (B)(2) Work activities, developmental activities, and35691
alternative work activities to which members of the assistance35692
group are assigned under sections 5107.40 to 5107.69 of the35693
Revised Code;35694

       (C)(3) The responsibility of a caretaker member of the35695
assistance group to cooperate in establishing a minor child's35696
paternity and establishing, modifying, and enforcing a support35697
order for the child in accordance with section 5107.22 of the35698
Revised Code;35699

       (D)(4) Other responsibilities that members of the assistance35700
group must satisfy to participate in Ohio works first and the35701
consequences for failure or refusal to satisfy the35702
responsibilities;35703

       (E)(5) An agreement that the assistance group will comply 35704
with the conditions of participating in Ohio works first 35705
established by this chapter and sections 5101.58, 5101.59, and 35706
5101.83 of the Revised Code;35707

       (F)(6) Assistance and services the county department will35708
provide to the assistance group;35709

       (G)(7) Assistance and services the child support enforcement35710
agency and public children services agency will provide to the35711
assistance group pursuant to a plan of cooperation entered into35712
under section 307.983 of the Revised Code;35713

       (H)(8) Other provisions designed to assist the assistance35714
group in achieving self sufficiency and personal responsibility;35715

       (I)(9) Procedures for assessing whether responsibilities are35716
being satisfied and whether the contract should be amended;35717

       (J)(10) Procedures for amending the contract.35718

       (C) No self-sufficiency contract shall include provisions 35719
regarding the LEAP program.35720

       (D) The county department shall provide without charge a copy 35721
of the self-sufficiency contract to each assistance group member 35722
who signs it.35723

       Sec. 5107.16.  (A) If a member of an assistance group fails 35724
or refuses, without good cause, to comply in full with a provision 35725
of a self-sufficiency contract entered into under section 5107.14 35726
of the Revised Code, a county department of job and family35727
services shall sanction the assistance group as follows:35728

       (1) For a first failure or refusal, the county department35729
shall deny or terminate the assistance group's eligibility to35730
participate in Ohio works first for one payment month or until the 35731
failure or refusal ceases, whichever is longer;35732

       (2) For a second failure or refusal, the county department 35733
shall deny or terminate the assistance group's eligibility to35734
participate in Ohio works first for three payment months or until 35735
the failure or refusal ceases, whichever is longer;35736

       (3) For a third or subsequent failure or refusal, the county 35737
department shall deny or terminate the assistance group's35738
eligibility to participate in Ohio works first for six payment35739
months or until the failure or refusal ceases, whichever is35740
longer.35741

       (B) Each county departmentThe director of job and family 35742
services shall establish standards for the determination of good 35743
cause for failure or refusal to comply in full with a provision of 35744
a self-sufficiency contract in rules adopted under section 5107.05 35745
of the Revised Code.35746

       (1) In the case of a failure or refusal to participate in a 35747
work activity, developmental activity, or alternative work35748
activity under sections 5107.40 to 5107.69 of the Revised Code, 35749
good cause shall include, except as provided in division (B)(2) of 35750
this section, the following:35751

       (a) Failure of the county department to place the member in 35752
an activity;35753

       (b) Failure of the county department to provide for the 35754
assistance group to receive support services the county department 35755
determines under section 5107.66 of the Revised Code to be 35756
necessary. In determining whether good cause exists, a county 35757
department shall determine that day care is a necessary support 35758
service if a single custodial parent caring for a minor child 35759
under age six proves a demonstrated inability, as determined by 35760
the county department, to obtain needed child care for one or more 35761
of the following reasons:35762

       (i) Unavailability of appropriate child care within a 35763
reasonable distance from the parent's home or work site;35764

       (ii) Unavailability or unsuitability of informal child care 35765
by a relative or under other arrangements;35766

       (iii) Unavailability of appropriate and affordable formal 35767
child care arrangements.35768

       (2) Good cause does not exist if the member of the assistance 35769
group is placed in a work activity established under section 35770
5107.58 of the Revised Code and exhausts the support services 35771
available for that activity.35772

       (C) When a state hearing under division (B) of section35773
5101.35 of the Revised Code or an administrative appeal under 35774
division (C) of that section is held regarding a sanction under 35775
this section, the hearing officer, director of job and family 35776
services, or director's designee shall base the decision in the 35777
hearing or appeal on the county department's standards of good 35778
cause for failure or refusal to comply in full with a provision of 35779
a self-sufficiency contract, if the county department provides the 35780
hearing officer, director, or director's designee a copy of the 35781
county department's good cause standards.35782

       (D) After sanctioning an assistance group under division (A) 35783
of this section, a county department of job and family services 35784
shall continue to work with the assistance group to provide the 35785
member of the assistance group who caused the sanction an 35786
opportunity to demonstrate to the county department a willingness 35787
to cease the failure or refusal to comply with the 35788
self-sufficiency contract.35789

       (E)(D) An adult eligible for medical assistancemedicaid35790
pursuant to division (A)(1)(a) of section 5111.01 of the Revised35791
Code who is sanctioned under division (A)(3) of this section for a 35792
failure or refusal, without good cause, to comply in full with a 35793
provision of a self-sufficiency contract related to work35794
responsibilities under sections 5107.40 to 5107.69 of the Revised 35795
Code loses eligibility for medical assistancemedicaid unless the 35796
adult is otherwise eligible for medical assistancemedicaid35797
pursuant to another division of section 5111.01 of the Revised35798
Code.35799

       (F) An assistance group that would be participating in Ohio 35800
works first if not for a sanction under this section shall35801
continue to be eligible for all of the following:35802

       (1) Publicly funded child care in accordance with division35803
(A)(3) of section 5104.30 of the Revised Code;35804

       (2) Support services in accordance with section 5107.66 of 35805
the Revised Code;35806

       (3) To the extent permitted by the "Fair Labor Standards Act 35807
of 1938," 52 Stat. 1060, 29 U.S.C.A. 201, as amended, to 35808
participate in work activities, developmental activities, and 35809
alternative work activities in accordance with sections 5107.40 to 35810
5107.69 of the Revised Code.35811

       Sec. 5107.17.  An assistance group that resumes participation 35812
in Ohio works first following a sanction under section 5107.16 of 35813
the Revised Code is not required to do either of the following:35814

       (A) Reapply under section 5107.12 of the Revised Code, unless 35815
it is the assistance group's regularly scheduled time for an 35816
eligibility redetermination;35817

       (B) Enter into a new self-sufficiency contract under section35818
5107.14 of the Revised Code, unless the county department of job 35819
and family services determines it is time for a new appraisal 35820
under section 5107.41 of the Revised Code or the assistance 35821
group's circumstances have changed in a manner necessitating an 35822
amendment to the self-sufficiency contract as determined using 35823
procedures included in the contract under division (I)(B)(9) of 35824
section 5107.14 of the Revised Code.35825

       Sec. 5107.281.  A participant of Ohio works first who is 35826
enrolled in a school district in a county that is participating in 35827
the learnfare program and is not younger than age six but not 35828
older than age nineteen shall participate in the learnfare program35829
unless one of the following is the case:35830

       (A) The participant is not yet eligible for enrollment in35831
first grade;35832

       (B) The participant is subject to the LEAP program under 35833
section 5107.30 of the Revised Code;35834

       (C) The participant has received one of the following:35835

       (1) A high school diploma;35836

       (2) A certificate stating that the participant has achieved35837
the equivalent of a high school education as measured by scores35838
obtained on the tests of general educational development as35839
published by the American council on education.35840

       (D) The participant has been excused from school attendance35841
pursuant to section 3321.04 of the Revised Code;35842

       (E) If child care services for a member of the participant's 35843
household are necessary for the participant to attend school, 35844
child care licensed or certified under Chapter 5104. of the 35845
Revised Code or under sections 3301.52 to 3301.59 of the Revised 35846
Code and transportation to and from the child care are not35847
available;35848

       (F) The participant has been adjudicated a delinquent or35849
unruly child pursuant to section 2151.28 of the Revised Code.35850

       Sec. 5107.30.  (A) As used in this section:35851

       (1) "Equivalent of a high school diploma" and "good cause" 35852
have the meanings established in rules adopted under section 35853
5107.05 of the Revised Code.35854

       (2) "LEAP program" means the learning, earning, and parenting 35855
program.35856

       (3) "Participating teen" means an individual to whom all of 35857
the following apply:35858

       (a) The individual is a participant of Ohio works first;35859

       (b) The individual is under age eighteen or is age eighteen 35860
and in school and is a natural or adoptive parent or is pregnant;35861

       (c) The individual is subject to the LEAP program's 35862
requirements.35863

       (4)(3) "School" means an educational program that is designed35864
to lead to the attainment of a high school diploma or the35865
equivalent of a high school diploma.35866

       (B) The director of job and family services may conduct a 35867
program titled the "LEAP program" in accordance with rules adopted 35868
under section 5107.05 of the Revised Code. The purpose of the LEAP 35869
program is to encourage teens to complete school.35870

        Every participating teen shall attend school in accordance 35871
with the requirements governing the LEAP program unless the 35872
participating teen shows good cause for not attending school. The 35873
department shall provide, in addition to the cash assistance 35874
payment provided under Ohio works first, an incentive payment, in 35875
an amount determined by the department, to every participating 35876
teen who attends school in accordance with the requirements 35877
governing the LEAP program. In addition to the incentive payment, 35878
the department may provide other incentives to participating teens 35879
who attend school in accordance with the LEAP program's 35880
requirements. The department shall reduce the cash assistance35881
payment, in an amount determined by the department, under Ohio 35882
works first to every participating teen who fails or refuses, 35883
without good cause, to meet the LEAP program's requirements.35884

        Every participating teen shall enter into a written agreement 35885
with the county department of job and family services that 35886
specifies all of the following:35887

       (1) The participating teen, to be eligible to receive the 35888
incentive payment and other incentives, if any, under this 35889
section, must meet the requirements of the LEAP program.35890

       (2) The incentive payment and other incentives, if any, will 35891
be provided if the participating teen meets the requirements of 35892
the LEAP program.35893

       (3) The participating teen's cash assistance payment under 35894
Ohio works first will be reduced if the participating teen fails 35895
or refuses without good cause to attend school in accordance with 35896
the requirements governing the LEAP program.35897

       (C) A minor head of household who is participating35898
household's participation in the LEAP program shall be considered 35899
to be participating in a work activity for the purpose of sections 35900
5107.40 to 5107.69counted in determining whether a county 35901
department of job and family services meets the requirement of 35902
section 5107.44 of the Revised Code. However, the minor head of 35903
household is not subject to the requirements or sanctions of those 35904
sections.35905

       (D) Subject to the availability of funds, county departments 35906
of job and family services shall provide for participating teens 35907
to receive support services the county department determines to be 35908
necessary for LEAP participation. Support services may include 35909
publicly funded child care under Chapter 5104. of the Revised 35910
Code, transportation, and other services.35911

       Sec. 5107.36.  An individual is not eligible to participate 35912
inineligible for assistance under Ohio works first if either of 35913
the following apply:35914

       (A) The individual is a fugitive felon as defined in section 35915
5101.20 of the Revised Code;35916

       (B) The individual is violating a condition of probation, a35917
community control sanction, parole, or a post-release control 35918
sanction imposed under federal or state law.35919

       Sec. 5107.41.  As soon as possible after an assistance group 35920
submits an application to participate in Ohio works first, the 35921
county department of job and family services that receives the35922
application shall schedule and conduct an appraisal of each member 35923
of the assistance group who is a minor head of household or adult, 35924
other than a minor head of household participating in the LEAP 35925
program. The appraisal may include an evaluation of the 35926
employment, educational, physiological, and psychological 35927
abilities or liabilities, or both, of the minor head of household 35928
or adult. At the appraisal, the county department shall develop35929
with the minor head of household or adult a plan for the 35930
assistance group to achieve the goal of self sufficiency and 35931
personal responsibility through unsubsidized employment within the 35932
time limit for participating in the Ohio works first program 35933
established by section 5107.18 of the Revised Code. The plan shall 35934
include assignments to one or more work activities, developmental35935
activities, or alternative work activities in accordance with35936
section 5107.42 of the Revised Code. The county department shall 35937
include the plan in the self-sufficiency contract entered into 35938
under section 5107.14 of the Revised Code. 35939

       The county department shall conduct more appraisals of the 35940
minor head of household or adult at times the county department 35941
determines. 35942

       If the minor head of household or adult claims to have a35943
medically determinable physiological or psychological impairment, 35944
illness, or disability, the county department may require that the 35945
minor head of household or adult undergo an independent medical or 35946
psychological examination at a time and place reasonably 35947
convenient to the minor head of household or adult.35948

       Sec. 5107.42.  (A) Except as provided in divisions (B) and 35949
(C) of this section, county departments of job and family services 35950
shall assign each minor head of household and adult participating 35951
in Ohio works first, other than a minor head of household 35952
participating in the LEAP program, to one or more work activities 35953
and developmental activities.35954

       If a county department assigns a minor head of household or 35955
adult to the work activity established under division (H) of35956
section 5107.60 of the Revised Code, the county department shall 35957
make reasonable efforts to assign the minor head of household or 35958
adult to at least one other work activity at the same time. If a 35959
county department assigns a minor head of household or adult to 35960
the work activity established under section 5107.58 of the Revised 35961
Code, the county department shall assign the minor head of 35962
household or adult to at least one other work activity at the same 35963
time.35964

       A county department may not assign a minor head of household 35965
or adult to a work activity established under division (D) of 35966
section 5107.60 of the Revised Code for more than twelve months.35967

       (B) If a county department determines that a minor head of 35968
household or adult has a temporary or permanent barrier to 35969
participation in a work activity, it may assign the minor head of 35970
household or adult to one or more alternative work activities 35971
instead of assigning the minor head of household or adult to one 35972
or more work activities or developmental activities. A county 35973
department may not assign more than twenty per cent of minor heads 35974
of household and adults participating in Ohio works first to an35975
alternative work activity. 35976

       County departments shall establish standards for determining 35977
whether a minor head of household or adult has a temporary or 35978
permanent barrier to participating in a work activity. The 35979
following are examples of circumstances that a county department 35980
may consider when it develops its standards:35981

       (1) A minor head of household or adult provides the county 35982
department documented evidence that one or more members of the 35983
assistance group have been the victim of domestic violence and are 35984
in imminent danger of suffering continued domestic violence;35985

       (2) A minor head of household or adult is actively 35986
participating in an alcohol or drug addiction program certified by 35987
the department of alcohol and drug addiction services under 35988
section 3793.06 of the Revised Code; 35989

       (3) An assistance group is homeless.35990

       (C) A county department may exempt a minor head of household 35991
or adult who is unmarried and caring for a minor child under 35992
twelve months of age from the work requirements of sections 35993
5107.40 to 5107.69 of the Revised Code for not more than twelve35994
months. While exempt, the minor head of household or adult shall 35995
be disregarded in determining whether the county department is 35996
meeting the requirement of section 5107.44 of the Revised Code. 35997
The county department shall assign the exempt minor head of 35998
household or adult to at least one developmental activity for a 35999
number of hours a week the county department determines. The 36000
county department may assign the exempt minor head of household or 36001
adult to one or more work activities, in addition to developmental 36002
activities, for a number of hours the county department 36003
determines. Division (B) of section 5107.43 of the Revised Code 36004
does not apply to the exempt minor head of household or adult. 36005

       (D) A county department may reassign a minor head of 36006
household or adult when the county department determines 36007
reassignment will aid the assistance group in achieving self 36008
sufficiency and personal responsibility and shall make 36009
reassignments when circumstances requiring reassignment occur, 36010
including when a temporary barrier to participating in a work 36011
activity is eliminated. 36012

       A county department shall include assignments in the36013
self-sufficiency contract entered into under section 5107.14 of36014
the Revised Code and shall amend the contract when a reassignment 36015
is made to include the reassignment in the contract.36016

       Sec. 5111.01.  As used in this chapter, "medical assistance36017
program" or "medicaid" means the program that is authorized by36018
this chapter and provided by the department of job and family36019
services under this chapter, Title XIX of the "Social Security36020
Act," 79 Stat. 286 (1965), 42 U.S.C.A. 1396, as amended, and the 36021
waivers of Title XIX requirements granted to the department by the 36022
health care financing administrationcenters for medicare and 36023
medicaid services of the United States department of health and36024
human services.36025

       The department of job and family services shall act as the36026
single state agency to supervise the administration of the36027
medicaid program. As the single state agency, the department shall 36028
comply with 42 C.F.R. 431.10(e). The department's rules governing 36029
medicaid are binding on other agencies that administer components 36030
of the medicaid program. No agency may establish, by rule or 36031
otherwise, a policy governing medicaid that is inconsistent with a 36032
medicaid policy established, in rule or otherwise, by the director 36033
of job and family services.36034

       (A) The department of job and family services may provide36035
medical assistance under the medicaid program as long as federal36036
funds are provided for such assistance, to the following:36037

       (1) Families with children that meet either of the following36038
conditions:36039

       (a) The family meets the income, resource, and family36040
composition requirements in effect on July 16, 1996, for the36041
former aid to dependent children program as those requirements36042
were established by Chapter 5107. of the Revised Code, federal36043
waivers granted pursuant to requests made under former section36044
5101.09 of the Revised Code, and rules adopted by the department36045
or any changes the department makes to those requirements in36046
accordance with paragraph (a)(2) of section 114 of the "Personal36047
Responsibility and Work Opportunity Reconciliation Act of 1996,"36048
110 Stat. 2177, 42 U.S.C.A. 1396u-1, for the purpose of36049
implementing section 5111.019 of the Revised Code. An adult loses36050
eligibility for medical assistance under division (A)(1)(a) of36051
this section pursuant to division (E)(D) of section 5107.16 of the36052
Revised Code.36053

       (b) The family does not meet the requirements specified in36054
division (A)(1)(a) of this section but is eligible for medical36055
assistance pursuant to section 5101.18 of the Revised Code.36056

       (2) Aged, blind, and disabled persons who meet the following36057
conditions:36058

       (a) Receive federal aid under Title XVI of the "Social36059
Security Act," or are eligible for but are not receiving such aid,36060
provided that the income from all other sources for individuals36061
with independent living arrangements shall not exceed one hundred36062
seventy-five dollars per month. The income standards hereby36063
established shall be adjusted annually at the rate that is used by36064
the United States department of health and human services to36065
adjust the amounts payable under Title XVI.36066

       (b) Do not receive aid under Title XVI, but meet any of the36067
following criteria:36068

       (i) Would be eligible to receive such aid, except that their36069
income, other than that excluded from consideration as income36070
under Title XVI, exceeds the maximum under division (A)(2)(a) of36071
this section, and incurred expenses for medical care, as36072
determined under federal regulations applicable to section 209(b)36073
of the "Social Security Amendments of 1972," 86 Stat. 1381, 4236074
U.S.C.A. 1396a(f), as amended, equal or exceed the amount by which36075
their income exceeds the maximum under division (A)(2)(a) of this36076
section;36077

       (ii) Received aid for the aged, aid to the blind, or aid for36078
the permanently and totally disabled prior to January 1, 1974, and36079
continue to meet all the same eligibility requirements;36080

       (iii) Are eligible for medical assistance pursuant to section36081
5101.18 of the Revised Code.36082

       (3) Persons to whom federal law requires, as a condition of36083
state participation in the medicaid program, that medical36084
assistance be provided;36085

       (4) Persons under age twenty-one who meet the income36086
requirements for the Ohio works first program established under36087
Chapter 5107. of the Revised Code but do not meet other36088
eligibility requirements for the program. The director shall36089
adopt rules in accordance with Chapter 119. of the Revised Code36090
specifying which Ohio works first requirements shall be waived for36091
the purpose of providing medicaid eligibility under division36092
(A)(4) of this section.36093

       (B) If sufficient funds are appropriated for such purpose by 36094
the general assemblythe medical assistance program, the 36095
department may provide medical assistance to persons in groups 36096
designated by federal law as groups to which a state, at its 36097
option, may provide medical assistance under the medicaid program.36098

       (C) The department may expand eligibility for medical36099
assistance to include individuals under age nineteen with family36100
incomes at or below one hundred fifty per cent of the federal36101
poverty guidelines, except that the eligibility expansion shall36102
not occur unless the department receives the approval of the36103
federal government. The department may implement the eligibility36104
expansion authorized under this division on any date selected by36105
the department, but not sooner than January 1, 1998.36106

       (D) In addition to any other authority or requirement to36107
adopt rules under this chapter, the director may adopt rules in36108
accordance with section 111.15 of the Revised Code as the director36109
considers necessary to establish standards, procedures, and other36110
requirements regarding the provision of medical assistance. The36111
rules may establish requirements to be followed in applying for36112
medical assistance, making determinations of eligibility for36113
medical assistance, and verifying eligibility for medical36114
assistance. The rules may include special conditions as the36115
department determines appropriate for making applications,36116
determining eligibility, and verifying eligibility for any medical36117
assistance that the department may provide pursuant to division36118
(C) of this section and section 5111.014 or 5111.019 of the36119
Revised Code.36120

       Sec. 5111.014.  (A) The director of job and family services 36121
shall submit to the United States secretary of health and human 36122
services an amendment to the state medicaid plan to make an 36123
individual who meets all of the following requirements eligible 36124
for medicaid:36125

       (1) The individual is pregnant;36126

       (2) The individual's family income does not exceed onetwo36127
hundred fifty per cent of the federal poverty guidelines;36128

       (3) The individual satisfies all relevant requirements 36129
established by rules adopted under division (D) of section 5111.01 36130
of the Revised Code.36131

       (B) If approved by the United States secretary of health and 36132
human services, the director of job and family services shall 36133
implement the medicaid plan amendment submitted under division (A) 36134
of this section as soon as possible after receipt of notice of the 36135
approval, but not sooner than January 1, 20002008.36136

       Sec. 5111.016. (A) As used in this section, "healthcheck" has36137
the same meaning as in section 3313.714 of the Revised Code.36138

       (B) In accordance with federal law and regulations, theThe36139
department of job and family services shall establishadopt rules 36140
in accordance with Chapter 119. of the Revised Code establishing a36141
combination of written and oral methods designed to provide 36142
information about healthcheck to all persons eligible for the 36143
program or their parents or guardians. The department shall ensure 36144
that its methods of providing information are effective. The 36145
methods shall comply with federal law and regulations.36146

       Each county department of job and family services or other36147
entity that distributes or accepts applications for medical 36148
assistance shall prominently display in a conspicuous place the 36149
following notice:36150

       "Under state and federal law, if you are a Medicaid36151
recipient, your child is entitled to a thorough medical36152
examination provided through Healthcheck. Once this examination is 36153
completed, your child is entitled to receive, at no cost to you, 36154
any service determined to be medically necessary."that complies 36155
with the rules adopted under this division.36156

       Sec. 5111.019. (A) The director of job and family services36157
shall submit to the United States secretary of health and human36158
services an amendment to the state medicaid plan to make an36159
individual eligible for medicaid who meets all of the following 36160
requirements eligible for medicaid for the amount of time provided 36161
by division (B) of this section:36162

       (1)(A) The individual is the parent of a child under nineteen36163
years of age and resides with the child;36164

       (2)(B) The individual's family income does not exceed ninety 36165
per cent of the federal poverty guidelines;36166

       (3)(C) The individual is not otherwise eligible for medicaid;36167

       (4)(D) The individual satisfies all relevant requirements36168
established by rules adopted under division (D) of section 5111.0136169
of the Revised Code.36170

       (B) An individual is eligible to receive medicaid under this36171
section for a period that does not exceed two years beginning on36172
the date on which eligibility is established.36173

       Sec. 5111.0112.  (A) Not later than July 1, 2006, theThe36174
director of job and family services shall institute a copayment36175
cost-sharing program under the medicaid program. To the extent 36176
permitted by federal law, the copaymentIn instituting the 36177
cost-sharing program, the director shall comply with federal law. 36178
The cost-sharing program shall establish a copayment requirement 36179
for onlyat least dental services, vision services, nonemergency 36180
emergency department services, and prescription drugs, other than 36181
generic drugs. The cost-sharing program shall establish 36182
requirements regarding premiums, enrollment fees, deductions, and 36183
similar charges. The director shall adopt rules under section 36184
5111.02 of the Revised Code governing the copayment program.36185

       (B) The copaymentcost-sharing program shall, to the extent 36186
permitted by federal law, provide for all of the following with 36187
regard to any providers participating in the medicaid program:36188

        (1) No provider shall refuse to provide a service to a 36189
medicaid recipient who is unable to pay a required copayment for 36190
the service.36191

        (2) Division (B)(1) of this section shall not be considered 36192
to do either of the following with regard to a medicaid recipient 36193
who is unable to pay a required copayment:36194

       (a) Relieve the medicaid recipient from the obligation to pay 36195
a copayment;36196

        (b) Prohibit the provider from attempting to collect an 36197
unpaid copayment.36198

        (3) Except as provided in division (C) of this section, no 36199
provider shall waive a medicaid recipient's obligation to pay the 36200
provider a copayment.36201

        (4) No provider or drug manufacturer, including the 36202
manufacturer's representative, employee, independent contractor, 36203
or agent, shall pay any copayment on behalf of a medicaid 36204
recipient.36205

        (5) If it is the routine business practice of the provider to 36206
refuse service to any individual who owes an outstanding debt to 36207
the provider, the provider may consider an unpaid copayment 36208
imposed by the copaymentcost-sharing program as an outstanding 36209
debt and may refuse service to a medicaid recipient who owes the 36210
provider an outstanding debt. If the provider intends to refuse 36211
service to a medicaid recipient who owes the provider an 36212
outstanding debt, the provider shall notify the individual of the 36213
provider's intent to refuse services.36214

       (C) In the case of a provider that is a hospital, the 36215
copaymentcost-sharing program shall permit the hospital to take 36216
action to collect a copayment by providing, at the time services 36217
are rendered to a medicaid recipient, notice that a copayment may 36218
be owed. If the hospital provides the notice and chooses not to 36219
take any further action to pursue collection of the copayment, the 36220
prohibition against waiving copayments specified in division 36221
(B)(3) of this section does not apply.36222

       (D) The department of job and family services may work with a 36223
state agency that is administering, pursuant to a contract entered 36224
into under section 5111.91 of the Revised Code, one or more 36225
components of the medicaid program or one or more aspects of a 36226
component as necessary for the state agency to apply the 36227
cost-sharing program to the components or aspects of the medicaid 36228
program that the state agency administers.36229

       Sec. 5111.0119.  (A) The director of job and family services 36230
shall submit to the United States secretary of health and human 36231
services an amendment to the state medicaid plan to establish the 36232
medicaid buy-in program in accordance with 42 U.S.C. 36233
1396a(a)(10)(A)(ii)(XV) and (XVI).36234

       (B) The director of job and family services shall adopt rules 36235
under section 5111.011 of the Revised Code to implement this 36236
section.36237

       Sec. 5111.023.  (A) As used in this section:36238

       (1) "Community mental health facility" means a community 36239
mental health facility that has a quality assurance program 36240
accredited by the joint commission on accreditation of healthcare 36241
organizations or is certified by the department of mental health 36242
or department of job and family services.36243

        (2) "Mental health professional" means a person qualified to 36244
work with mentally ill persons under the standards established by 36245
the director of mental health pursuant to section 5119.611 of the 36246
Revised Code.36247

        (B) The state medicaid plan shall include provision of the36248
following mental health services when provided by community mental 36249
health facilities:36250

       (1) Outpatient mental health services, including, but not36251
limited to, preventive, diagnostic, therapeutic, rehabilitative,36252
and palliative interventions rendered to individuals in an36253
individual or group setting by a mental health professional in36254
accordance with a plan of treatment appropriately established,36255
monitored, and reviewed;36256

       (2) Partial-hospitalization mental health services of three36257
to fourteen hours per service day, rendered by persons directly36258
supervised by a mental health professional;36259

       (3) Unscheduled, emergency mental health services of a kind36260
ordinarily provided to persons in crisis when rendered by persons36261
supervised by a mental health professional;36262

       (4) Subject to receipt of federal approval, assertive 36263
community treatment and intensive home-based mental health 36264
services.36265

       (C) The comprehensive annual plan shall certify the36266
availability of sufficient unencumbered community mental health36267
state subsidy and local funds to match federal medicaid 36268
reimbursement funds earned by community mental health facilities. 36269

       (D) The department of job and family services shall enter36270
into a separate contract with the department of mental health 36271
under section 5111.91 of the Revised Code with regard to the 36272
component of the medicaid program provided for by this section.36273

       (E) Not later than July 21, 2006, the department of job and 36274
family services shall request federal approval to provide 36275
assertive community treatment and intensive home-based mental 36276
health services under medicaid pursuant to this section.36277

       (F) On receipt of federal approval sought under division (E) 36278
of this section, the director of job and family services shall 36279
adopt rules in accordance with Chapter 119. of the Revised Code 36280
for assertive community treatment and intensive home-based mental 36281
health services provided under medicaid pursuant to this section. 36282
The director shall consult with the department of mental health in 36283
adopting the rules.36284

       Sec. 5111.028. (A) Pursuant to section 5111.02 of the Revised 36285
Code, the director of job and family services shall adopt rules 36286
establishing the use of time-limited provider agreements under the 36287
medicaid program. Under the rules, each provider agreement shall 36288
expire three years from the effective date of the agreement.36289

        (B) The rules for use of time-limited provider agreements 36290
shall include a process for re-enrollment of providers. All of the 36291
following apply to the re-enrollment process:36292

       (1) The department may terminate a time-limited provider 36293
agreement or deny re-enrollment when a provider fails to file an 36294
application for re-enrollment within the time and in the manner 36295
required under the re-enrollment process.36296

       (2) If a provider files an application for re-enrollment 36297
within the time and in the manner required under the re-enrollment 36298
process, but the provider agreement expires before the department 36299
acts on the application or before the effective date of the 36300
department's decision on the application, the provider may 36301
continue operating under the terms of the expired provider 36302
agreement until the effective date of the department's decision.36303

       (3) A decision by the department to approve an application 36304
for re-enrollment becomes effective on the date of the 36305
department's decision. A decision by the department to deny 36306
re-enrollment shall take effect not sooner than thirty days after 36307
the date the department mails written notice of the decision to 36308
the provider. The department shall specify in the notice the date 36309
on which the provider is required to cease operating under the 36310
provider agreement.36311

       (C) Pursuant to section 5111.06 of the Revised Code, the 36312
department is not required to take the actions specified in 36313
division (B)(1) of this section by issuing an order pursuant to an 36314
adjudication conducted in accordance with Chapter 119. of the 36315
Revised Code.36316

       Sec. 5111.029. The medicaid program shall cover occupational 36317
therapy services provided by an occupational therapist licensed 36318
under section 4755.08 of the Revised Code. Coverage shall not be 36319
limited to services provided in a hospital or nursing facility. 36320
Any licensed occupational therapist may enter into a medicaid 36321
provider agreement with the department of job and family services 36322
to provide occupational therapy services under the medicaid 36323
program.36324

       Sec. 5111.03.  (A) No provider of services or goods36325
contracting with the department of job and family services36326
pursuant to the medicaid program shall, by deception, obtain or 36327
attempt to obtain payments under this chapter to which the 36328
provider is not entitled pursuant to the provider agreement, or 36329
the rules of the federal government or the department of job and 36330
family services relating to the program. No provider shall 36331
willfully receive payments to which the provider is not entitled, 36332
or willfully receive payments in a greater amount than that to 36333
which the provider is entitled; nor shall any provider falsify any 36334
report or document required by state or federal law, rule, or 36335
provider agreement relating to medicaid payments. As used in this 36336
section, a provider engages in "deception" when the provider, 36337
acting with actual knowledge of the representation or information 36338
involved, acting in deliberate ignorance of the truth or falsity 36339
of the representation or information involved, or acting in 36340
reckless disregard of the truth or falsity of the representation 36341
or information involved, deceives another or causes another to be 36342
deceived by any false or misleading representation, by withholding 36343
information, by preventing another from acquiring information, or 36344
by any other conduct, act, or omission that creates, confirms, or 36345
perpetuates a false impression in another, including a false 36346
impression as to law, value, state of mind, or other objective or 36347
subjective fact. No proof of specific intent to defraud is 36348
required to show, for purposes of this section, that a provider 36349
has engaged in deception.36350

       (B) Any provider who violates division (A) of this section36351
shall be liable, in addition to any other penalties provided by36352
law, for all of the following civil penalties:36353

       (1) Payment of interest on the amount of the excess payments 36354
at the maximum interest rate allowable for real estate mortgages 36355
under section 1343.01 of the Revised Code on the date the payment 36356
was made to the provider for the period from the date upon which 36357
payment was made, to the date upon which repayment is made to the 36358
state;36359

       (2) Payment of an amount equal to three times the amount of 36360
any excess payments;36361

       (3) Payment of a sum of not less than five thousand dollars 36362
and not more than ten thousand dollars for each deceptive claim or 36363
falsification;36364

       (4) All reasonable expenses which the court determines have 36365
been necessarily incurred by the state in the enforcement of this 36366
section.36367

       (C) As used in this division, "intermediate care facility for 36368
the mentally retarded" and "nursing facility" have the same 36369
meanings given in section 5111.20 of the Revised Code.36370

       In addition to the civil penalties provided in division (B) 36371
of this section, the director of job and family services, upon the 36372
conviction of, or the entry of a judgment in either a criminal or 36373
civil action against, a medicaid provider or its owner, officer, 36374
authorized agent, associate, manager, or employee in an action 36375
brought pursuant to section 109.85 of the Revised Code, shall 36376
terminate the provider agreement between the department and the 36377
provider and stop reimbursement to the provider for services 36378
rendered for a period of up to five years from the date of 36379
conviction or entry of judgment. As used in this chapterdivision, 36380
"owner" means any person having at least five per cent ownership 36381
in the medicaid provider. No such provider, owner, officer, 36382
authorized agent, associate, manager, or employee shall own or 36383
provide services to any other medicaid provider or risk contractor 36384
or arrange for, render, or order services for medicaid recipients 36385
during the period of termination as provided in division (C) of 36386
this section, nor, during the period of termination as provided in 36387
division (C) of this section, shall such provider, owner, officer, 36388
authorized agent, associate, manager, or employee receive 36389
reimbursement in the form of direct payments from the department 36390
or indirect payments of medicaid funds in the form of salary, 36391
shared fees, contracts, kickbacks, or rebates from or through any 36392
participating provider or risk contractor. The provider agreement 36393
shall not be terminated or reimbursement terminated if the 36394
provider or owner can demonstrate that the provider or owner did 36395
not directly or indirectly sanction the action of its authorized 36396
agent, associate, manager, or employee that resulted in the 36397
conviction or entry of a judgment in a criminal or civil action 36398
brought pursuant to section 109.85 of the Revised Code. Nothing in 36399
this division prohibits any owner, officer, authorized agent, 36400
associate, manager, or employee of a medicaid provider from 36401
entering into a medicaid provider agreement if the person can 36402
demonstrate that the person had no knowledge of an action of the 36403
medicaid provider the person was formerly associated with that 36404
resulted in the conviction or entry of a judgment in a criminal or 36405
civil action brought pursuant to section 109.85 of the Revised 36406
Code.36407

        Nursing facility or intermediate care facility for the 36408
mentally retarded providers whose agreements are terminated 36409
pursuant to this section may continue to receive reimbursement for 36410
up to thirty days after the effective date of the termination if 36411
the provider makes reasonable efforts to transfer recipients to 36412
another facility or to alternate care and if federal funds are 36413
provided for such reimbursement.36414

       (D) For any reason permitted or required by federal law, the 36415
director of job and family services may deny a provider agreement 36416
or terminate a provider agreement.36417

       For any reason permitted or required by federal law, the 36418
director may exclude an individual, provider of services or goods, 36419
or other entity from participation in the medicaid program. No 36420
individual, provider, or entity excluded under this division shall 36421
own or provide services to any other medicaid provider or risk 36422
contractor or arrange for, render, or order services for medicaid 36423
recipients during the period of exclusion, nor, during the period 36424
of exclusion, shall such individual, provider, or entity receive 36425
reimbursement in the form of direct payments from the department 36426
or indirect payments of medicaid funds in the form of salary, 36427
shared fees, contracts, kickbacks, or rebates from or through any 36428
participating provider or risk contractor. An excluded individual, 36429
provider, or entity may request a reconsideration of the 36430
exclusion. The director shall adopt rules in accordance with 36431
Chapter 119. of the Revised Code governing the process for 36432
requesting a reconsideration.36433

       Nothing in this division limits the applicability of section 36434
5111.06 of the Revised Code to a medicaid provider.36435

       (E) Any provider of services or goods contracting with the36436
department of job and family services pursuant to Title XIX of the36437
"Social Security Act," who, without intent, obtains payments under 36438
this chapter in excess of the amount to which the provider is36439
entitled, thereby becomes liable for payment of interest on the36440
amount of the excess payments at the maximum real estate mortgage36441
rate on the date the payment was made to the provider for the36442
period from the date upon which payment was made to the date upon36443
which repayment is made to the state.36444

       (E)(F) The attorney general on behalf of the state may36445
commence proceedings to enforce this section in any court of36446
competent jurisdiction; and the attorney general may settle or36447
compromise any case brought under this section with the approval36448
of the department of job and family services. Notwithstanding any 36449
other provision of law providing a shorter period of limitations, 36450
the attorney general may commence a proceeding to enforce this36451
section at any time within six years after the conduct in36452
violation of this section terminates.36453

       (F)(G) The authority, under state and federal law, of the36454
department of job and family services or a county department of 36455
job and family services to recover excess payments made to a 36456
provider is not limited by the availability of remedies under 36457
sections 5111.11 and 5111.12 of the Revised Code for recovering 36458
benefits paid on behalf of recipients of medical assistance.36459

       The penalties under this chapter apply to any overpayment,36460
billing, or falsification occurring on and after April 24, 1978.36461
All moneys collected by the state pursuant to this section shall36462
be deposited in the state treasury to the credit of the general36463
revenue fund.36464

       Sec. 5111.031. (A) As used in this section:36465

       (1) "Independent provider" has the same meaning as in section 36466
5111.034 of the Revised Code.36467

       (2) "Intermediate care facility for the mentally retarded" 36468
and "nursing facility" have the same meanings as in section 36469
5111.20 of the Revised Code.36470

       (3) "Noninstitutional medicaid provider" means any person or 36471
entity with a medicaid provider agreement other than a hospital, 36472
nursing facility, or intermediate care facility for the mentally 36473
retarded.36474

       (4) "Owner" means any person having at least five per cent 36475
ownership in a noninstitutional medicaid provider.36476

       (B) Notwithstanding any provision of this chapter to the 36477
contrary, the department of job and family services shall take 36478
action under this section against a noninstitutional medicaid 36479
provider or its owner, officer, authorized agent, associate, 36480
manager, or employee.36481

       (C) Except as provided in division (D) of this section and in 36482
rules adopted by the department under division (H) of this 36483
section, on receiving notice and a copy of an indictment that is 36484
issued on or after the effective date of this section and charges 36485
a noninstitutional medicaid provider or its owner, officer, 36486
authorized agent, associate, manager, or employee with committing 36487
an offense specified in division (E) of this section, the 36488
department shall suspend the provider agreement held by the 36489
noninstitutional medicaid provider. Subject to division (D) of 36490
this section, the department shall also terminate medicaid 36491
reimbursement to the provider for services rendered.36492

       The suspension shall continue in effect until the proceedings 36493
in the criminal case are completed through conviction, dismissal 36494
of the indictment, plea, or finding of not guilty. If the 36495
department commences a process to terminate the suspended provider 36496
agreement, the suspension shall continue in effect until the 36497
termination process is concluded. Pursuant to section 5111.06 of 36498
the Revised Code, the department is not required to take action 36499
under this division by issuing an order pursuant to an 36500
adjudication conducted in accordance with Chapter 119. of the 36501
Revised Code.36502

       When subject to a suspension under this division, a provider, 36503
owner, officer, authorized agent, associate, manager, or employee 36504
shall not own or provide services to any other medicaid provider 36505
or risk contractor or arrange for, render, or order services for 36506
medicaid recipients during the period of suspension. During the 36507
period of suspension, the provider, owner, officer, authorized 36508
agent, associate, manager, or employee shall not receive 36509
reimbursement in the form of direct payments from the department 36510
or indirect payments of medicaid funds in the form of salary, 36511
shared fees, contracts, kickbacks, or rebates from or through any 36512
participating provider or risk contractor.36513

       (D)(1) The department shall not suspend a provider agreement 36514
or terminate medicaid reimbursement under division (C) of this 36515
section if the provider or owner can demonstrate that the provider 36516
or owner did not directly or indirectly sanction the action of its 36517
authorized agent, associate, manager, or employee that resulted in 36518
the indictment.36519

       (2) The termination of medicaid reimbursement applies only to 36520
payments for medicaid services rendered subsequent to the date on 36521
which the notice required under division (F) of this section is 36522
sent. Claims for reimbursement for medicaid services rendered by 36523
the provider prior to the issuance of the notice may be subject to 36524
prepayment review procedures whereby the department reviews claims 36525
to determine whether they are supported by sufficient 36526
documentation, are in compliance with state and federal statutes 36527
and rules, and are otherwise complete.36528

       (E)(1) In the case of a noninstitutional medicaid provider 36529
that is not an independent provider, the suspension of a provider 36530
agreement under division (C) of this section applies when an 36531
indictment charges a person with committing an act that would be a 36532
felony or misdemeanor under the laws of this state and the act 36533
relates to or results from either of the following:36534

       (a) Furnishing or billing for medical care, services, or 36535
supplies under the medicaid program;36536

       (b) Participating in the performance of management or 36537
administrative services relating to furnishing medical care, 36538
services, or supplies under the medicaid program.36539

       (2) In the case of a noninstitutional medicaid provider that 36540
is an independent provider, the suspension of a provider agreement 36541
under division (C) of this section applies when an indictment 36542
charges a person with committing an act that would constitute one 36543
of the offenses specified in division (D) of section 5111.034 of 36544
the Revised Code.36545

       (F) Not later than five days after suspending a provider 36546
agreement under division (C) of this section, the department shall 36547
send notice of the suspension to the affected provider or owner. 36548
In providing the notice, the department shall do all of the 36549
following:36550

       (1) Describe the indictment that was the cause of the 36551
suspension, without necessarily disclosing specific information 36552
concerning any ongoing civil or criminal investigation;36553

       (2) State that the suspension will continue in effect until 36554
the proceedings in the criminal case are completed through 36555
conviction, dismissal of the indictment, plea, or finding of not 36556
guilty and, if the department commences a process to terminate the 36557
suspended provider agreement, until the termination process is 36558
concluded;36559

       (3) Inform the provider or owner of the opportunity to submit 36560
to the department, not later than thirty days after receiving the 36561
notice, a request for a reconsideration pursuant to division (G) 36562
of this section. 36563

       (G)(1) A noninstitutional medicaid provider or owner subject 36564
to a suspension under this section may request a reconsideration. 36565
The request shall be made not later than thirty days after receipt 36566
of the notice provided under division (F) of this section. The 36567
reconsideration is not subject to an adjudication hearing pursuant 36568
to Chapter 119. of the Revised Code.36569

       (2) In requesting a reconsideration, the provider or owner 36570
shall submit written information and documents to the department. 36571
The information and documents may pertain to any of the following 36572
issues:36573

       (a) Whether the determination to suspend the provider 36574
agreement was based on a mistake of fact, other than the validity 36575
of the indictment;36576

       (b) Whether any offense charged in the indictment resulted 36577
from an offense specified in division (E) of this section;36578

       (c) Whether the provider or owner can demonstrate that the 36579
provider or owner did not directly or indirectly sanction the 36580
action of its authorized agent, associate, manager, or employee 36581
that resulted in the indictment.36582

       (3) The department shall review the information and documents 36583
submitted in a request for reconsideration. After the review, the 36584
suspension may be affirmed, reversed, or modified, in whole or in 36585
part. The department shall notify the affected provider or owner 36586
of the results of the review. The review and notification of its 36587
results shall be completed not later than forty-five days after 36588
receiving the information and documents submitted in a request for 36589
reconsideration.36590

       (H) The department may adopt rules in accordance with Chapter 36591
119. of the Revised Code to implement this section. The rules may 36592
specify circumstances under which the department would not suspend 36593
a provider agreement pursuant to this section.36594

       Sec. 5111.032. (A) As used in this section:36595

       (1) "Criminal records check" has the same meaning as in 36596
section 109.572 of the Revised Code.36597

       (2) "Department" includes a designee of the department of job 36598
and family services.36599

       (3) "Owner" means a person who has an ownership interest in a 36600
provider in an amount designated by the department of job and 36601
family services in rules adopted under this section.36602

       (4) "Provider" means a person, institution, or entity that 36603
has a provider agreement with the department of job and family 36604
services pursuant to Title XIX of the "Social Security Act," 49 36605
State. 620 (1965), 42 U.S.C. 1396, as amended.36606

       (B)(1) Except as provided in division (B)(2) of this section, 36607
the department of job and family services may require that any 36608
provider, applicant to be a provider, employee or prospective 36609
employee of a provider, owner or prospective owner of a provider, 36610
officer or prospective officer of a provider, or board member or 36611
prospective board member of a provider submit to a criminal 36612
records check as a condition of obtaining a provider agreement, 36613
continuing to hold a provider agreement, being employed by a 36614
provider, having an ownership interest in a provider, or being an 36615
officer or board member of a provider. The department may 36616
designate the categories of persons who are subject to the 36617
criminal records check requirement. The department shall designate 36618
the times at which the criminal records checks must be conducted.36619

       (2) The section does not apply to providers, applicants to be 36620
providers, employees of a provider, or prospective employees of a 36621
provider who are subject to criminal records checks under section 36622
5111.033 or 5111.034 of the Revised Code.36623

       (C)(1) The department shall inform each provider or applicant 36624
to be a provider whether the provider or applicant is subject to a 36625
criminal records check requirement under division (B) of this 36626
section. For providers, the information shall be given at times 36627
designated in rules adopted under this section. For applicants to 36628
be providers, the information shall be given at the time of 36629
initial application. When the information is given, the department 36630
shall specify which of the provider's or applicant's employees or 36631
prospective employees, owners or prospective owners, officers or 36632
prospective officers, or board members or prospective board 36633
members are subject to the criminal records check requirement.36634

       (2) At times designated in rules adopted under this section, 36635
a provider that is subject to the criminal records check 36636
requirement shall inform each person specified by the department 36637
under division (C)(1) of this section that the person is required, 36638
as applicable, to submit to a criminal records check for final 36639
consideration for employment in a full-time, part-time, or 36640
temporary position; as a condition of continued employment; or as 36641
a condition of becoming or continuing to be an officer, board 36642
member or owner of a provider.36643

       (D)(1) If a provider or applicant to be a provider is subject 36644
to a criminal records check under this section, the department 36645
shall require the conduct of a criminal records check by the 36646
superintendent of the bureau of criminal identification and 36647
investigation. If a provider or applicant to be a provider for 36648
whom a criminal records check is required does not present proof 36649
of having been a resident of this state for the five-year period 36650
immediately prior to the date the criminal records check is 36651
requested or provide evidence that within that five-year period 36652
the superintendent has requested information about the individual 36653
from the federal bureau of investigation in a criminal records 36654
check, the department shall require the provider or applicant to 36655
request that the superintendent obtain information from the 36656
federal bureau of investigation as part of the criminal records 36657
check of the provider or applicant. Even if a provider or 36658
applicant for whom a criminal records check request is required 36659
presents proof of having been a resident of this state for the 36660
five-year period, the department may require that the provider or 36661
applicant request that the superintendent obtain information from 36662
the federal bureau of investigation and include it in the criminal 36663
records check of the provider or applicant.36664

       (2) A provider shall require the conduct of a criminal 36665
records check by the superintendent with respect to each of the 36666
persons specified by the department under division (C)(1) of this 36667
section. If the person for whom a criminal records check is 36668
required does not present proof of having been a resident of this 36669
state for the five-year period immediately prior to the date the 36670
criminal records check is requested or provide evidence that 36671
within that five-year period the superintendent of the bureau of 36672
criminal identification and investigation has requested 36673
information about the individual from the federal bureau of 36674
investigation in a criminal records check, the individual shall 36675
request that the superintendent obtain information from the 36676
federal bureau of investigation as part of the criminal records 36677
check of the individual. Even if an individual for whom a criminal 36678
records check request is required presents proof of having been a 36679
resident of this state for the five-year period, the department 36680
may require the provider to request that the superintendent obtain 36681
information from the federal bureau of investigation and include 36682
it in the criminal records check of the person.36683

       (E)(1) Criminal records checks required under this section 36684
for providers or applicants to be providers shall be obtained as 36685
follows:36686

       (a) The department shall provide each provider or applicant 36687
information about accessing and completing the form prescribed 36688
pursuant to division (C)(1) of section 109.572 of the Revised Code 36689
and the standard fingerprint impression sheet prescribed pursuant 36690
to division (C)(2) of that section.36691

       (b) The provider or applicant shall submit the required form 36692
and one complete set of fingerprint impressions directly to the 36693
superintendent for purposes of conducting the criminal records 36694
check using the applicable methods prescribed by division (C) of 36695
section 109.572 of the Revised Code. The applicant or provider 36696
shall pay all fees associated with obtaining the criminal records 36697
check.36698

       (c) The superintendent shall conduct the criminal records 36699
check in accordance with section 109.572 of the Revised Code. The 36700
provider or applicant shall instruct the superintendent to submit 36701
the report of the criminal records check directly to the director 36702
of job and family services.36703

       (2) Criminal records checks required under this section for 36704
persons specified by the department under division (C)(1) of this 36705
section shall be obtained as follows:36706

       (a) The provider shall give to each person subject to 36707
criminal records check requirement information about accessing and 36708
completing the form prescribed pursuant to division (C)(1) of 36709
section 109.572 of the Revised Code and the standard fingerprint 36710
impression sheet prescribed pursuant to division (C)(2) of that 36711
section.36712

       (b) The person shall submit the required form and one 36713
complete set of fingerprint impressions directly to the 36714
superintendent for purposes of conducting the criminal records 36715
check using the applicable methods prescribed by division (C) of 36716
section 109.572 of the Revised Code. The person shall pay all fees 36717
associated with obtaining the criminal records check.36718

       (c) The superintendent shall conduct the criminal records 36719
check in accordance with section 109.572 of the Revised Code. The 36720
person subject to the criminal records check shall instruct the 36721
superintendent to submit the report of the criminal records check 36722
directly to the provider. The department may require the provider 36723
to submit the report to the department.36724

       (F) If a provider or applicant to be a provider is given the 36725
information specified in division (E)(1)(a) of this section but 36726
fails to obtain a criminal records check, the department shall, as 36727
applicable, terminate the provider agreement or deny the 36728
application to be a provider.36729

       If a person is given the information specified in division 36730
(E)(2)(a) of this section but fails to obtain a criminal records 36731
check, the provider shall not, as applicable, permit the person to 36732
be an employee, owner, officer, or board member of the provider.36733

       (G) Except as provided in rules adopted under division (J) of 36734
this section, the department shall terminate the provider 36735
agreement of a provider or the department shall not issue a 36736
provider agreement to an applicant if the provider or applicant is 36737
subject to a criminal records check under this section and the 36738
provider or applicant has been convicted of, has pleaded guilty 36739
to, or has been found eligible for intervention in lieu of 36740
conviction for any of the following:36741

       (1) A violation of section 2903.01, 2903.02, 2903.03, 36742
2903.04, 2903.041, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 36743
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02, 36744
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 36745
2907.21, 2907.22, 2907.23, 2907.24, 2907.25, 2907.31, 2907.32, 36746
2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 36747
2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31, 36748
2913.40, 2913.43, 2913.47, 2913.48, 2913.49, 2913.51, 2917.11, 36749
2919.12, 2919.22, 2919.24, 2919.25, 2921.13, 2921.36, 2923.02, 36750
2923.12, 2923.13, 2923.161, 2923.32, 2925.02, 2925.03, 2925.04, 36751
2925.05, 2925.06, 2925.11, 2925.13, 2925.14, 2925.22, 2925.23, or 36752
3716.11 of the Revised Code, felonious sexual penetration in 36753
violation of former section 2907.12 of the Revised Code, a 36754
violation of section 2905.04 of the Revised Code as it existed 36755
prior to July 1, 1996, a violation of section 2919.23 of the 36756
Revised Code that would have been a violation of section 2905.04 36757
of the Revised Code as it existed prior to July 1, 1996, had the 36758
violation been committed prior to that date;36759

       (2) An existing or former law of this state, any other state, 36760
or the United States that is substantially equivalent to any of 36761
the offenses listed in division (D)(1) of this section.36762

       (H)(1)(a) Except as provided in rules adopted under division 36763
(J) of this section and subject to division (H)(2) of this 36764
section, no provider shall permit a person to be an employee, 36765
owner, officer, or board member of the provider if the person is 36766
subject to a criminal records check under this section and the 36767
person has been convicted of, has pleaded guilty to, or has been 36768
found eligible for intervention in lieu of conviction for any of 36769
the offenses specified in division (G)(1) or (2) of this section.36770

       (b) No provider shall employ a person who has been excluded 36771
from participating in the medicaid program, the medicare program 36772
operated pursuant to Title XVIII of the "Social Security Act," or 36773
any other federal health care program.36774

       (2)(a) A provider may employ conditionally a person for whom 36775
a criminal records check is required under this section prior to 36776
obtaining the results of a criminal records check regarding the 36777
person, but only if the person submits a request for a criminal 36778
records check not later than five business days after the 36779
individual begins conditional employment.36780

       (b) A provider that employs a person conditionally under 36781
authority of division (H)(2)(a) of this section shall terminate 36782
the person's employment if the results of the criminal records 36783
check request are not obtained within the period ending sixty days 36784
after the date the request is made. Regardless of when the results 36785
of the criminal records check are obtained, if the results 36786
indicate that the individual has been convicted of, has pleaded 36787
guilty to, or has been found eligible for intervention in lieu of 36788
conviction for any of the offenses specified in division (G)(1) or 36789
(2) of this section, the provider shall terminate the person's 36790
employment unless the provider chooses to employ the individual 36791
pursuant to division (J) of this section.36792

       (I) The report of a criminal records check conducted pursuant 36793
to this section is not a public record for the purposes of section 36794
149.43 of the Revised Code and shall not be made available to any 36795
person other than the following:36796

       (1) The person who is the subject of the criminal records 36797
check or the person's representative;36798

       (2) The director of job and family services and the staff of 36799
the department in the administration of the medicaid program;36800

       (3) A court, hearing officer, or other necessary individual 36801
involved in a case dealing with the denial or termination of a 36802
provider agreement;36803

       (4) A court, hearing officer, or other necessary individual 36804
involved in a case dealing with a person's denial of employment, 36805
termination of employment, or employment or unemployment benefits.36806

       (J) The department may adopt rules in accordance with Chapter 36807
119. of the Revised Code to implement this section. The rules may 36808
specify circumstances under which the department may continue a 36809
provider agreement or issue a provider agreement to an applicant 36810
when the provider or applicant has been convicted of, has pleaded 36811
guilty to, or has been found eligible for intervention in lieu of 36812
conviction for any of the offenses specified in division (G)(1) or 36813
(2) of this section. The rules may also specify circumstances 36814
under which a provider may permit a person to be an employee, 36815
owner, officer, or board member of the provider, when the person 36816
has been convicted of, has pleaded guilty to, or has been found 36817
eligible for intervention in lieu of conviction for any of the 36818
offenses specified in division (G)(1) or (2) of this section.36819

       Sec. 5111.95.        Sec. 5111.033.  (A) As used in this section:36820

       (1) "Applicant" means a person who is under final 36821
consideration for employment or, after the effective date of this 36822
sectionSeptember 26, 2003, an existing employee with a waiver 36823
agency in a full-time, part-time, or temporary position that 36824
involves providing home and community-based waiver services to a 36825
person with disabilities. "Applicant" also means an existing 36826
employee with a waiver agency in a full-time, part-time, or 36827
temporary position that involves providing home and 36828
community-based waiver services to a person with disabilities 36829
after the effective date of this sectionSeptember 26, 2003.36830

       (2) "Criminal records check" has the same meaning as in 36831
section 109.572 of the Revised Code.36832

       (3) "Waiver agency" means a person or government entity that 36833
is not certified under the medicare program and is accredited by 36834
the community health accreditation program or the joint commission 36835
on accreditation of health care organizations or a company that 36836
provides home and community-based waiver services to persons with 36837
disabilities through department of job and family services 36838
administered home and community-based waiver programs.36839

       (4) "Home and community-based waiver services" means services 36840
furnished under the provision of 42 C.F.R. 441, subpart G, that 36841
permit individuals to live in a home setting rather than a nursing 36842
facility or hospital. Home and community-based waiver services are 36843
approved by the centers for medicare and medicaid for specific 36844
populations and are not otherwise available under the medicaid 36845
state plan.36846

       (B)(1) The chief administrator of a waiver agency shall 36847
require each applicant to request that the superintendent of the 36848
bureau of criminal identification and investigation conduct a 36849
criminal records check with respect to eachthe applicant. If an 36850
applicant for whom a criminal records check request is required 36851
under this division does not present proof of having been a 36852
resident of this state for the five-year period immediately prior 36853
to the date the criminal records check is requested or provide 36854
evidence that within that five-year period the superintendent has 36855
requested information about the applicant from the federal bureau 36856
of investigation in a criminal records check, the chief 36857
administrator shall require the applicant to request that the 36858
superintendent obtain information from the federal bureau of 36859
investigation as part of the criminal records check of the 36860
applicant. Even if an applicant for whom a criminal records check 36861
request is required under this division presents proof of having 36862
been a resident of this state for the five-year period, the chief 36863
administrator may require the applicant to request that the 36864
superintendent include information from the federal bureau of 36865
investigation in the criminal records check.36866

       (2) A person required by division (B)(1) of this section to 36867
request a criminal records checkThe chief administrator shall do 36868
both ofprovide the following:36869

       (a) Provide to each applicant for whom a criminal records 36870
check request is required under division (B)(1) of this section a 36871
copy of:36872

       (a) Information about accessing, completing, and forwarding 36873
to the superintendent of the bureau of criminal identification and 36874
investigation the form prescribed pursuant to division (C)(1) of 36875
section 109.572 of the Revised Code and athe standard fingerprint 36876
impression sheet prescribed pursuant to division (C)(2) of that 36877
section, and obtain the completed form and impression sheet from 36878
the applicant;36879

       (b) Forward the completed form and impression sheet to the 36880
superintendent of the bureau of criminal identification and 36881
investigationWritten notification that the applicant is to 36882
instruct the superintendent to submit the completed report of the 36883
criminal records check directly to the chief administrator.36884

       (3) An applicant provided the form and fingerprint impression 36885
sheet under division (B)(2)(a) of this section who fails to 36886
complete the form or provide fingerprint impressionsgiven 36887
information and notification under divisions (B)(2)(a) and (b) of 36888
this section who fails to access, complete, and forward to the 36889
superintendent the form or the standard fingerprint impression 36890
sheet, or who fails to instruct the superintendent to submit the 36891
completed report of the criminal records check directly to the 36892
chief administrator, shall not be employed in any position in a 36893
waiver agency for which a criminal records check is required by 36894
this section.36895

       (C)(1) Except as provided in rules adopted by the department 36896
of job and family services in accordance with division (F) of this 36897
section and subject to division (C)(2) of this section, no waiver 36898
agency shall employ a person in a position that involves providing 36899
home and community-based waiver services to persons with 36900
disabilities if the person has been convicted of or, has pleaded 36901
guilty to, or has been found eligible for intervention in lieu of 36902
conviction for any of the following:36903

       (a) A violation of section 2903.01, 2903.02, 2903.03, 36904
2903.04, 2903.041, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 36905
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02, 36906
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 36907
2907.21, 2907.22, 2907.23, 2907.24, 2907.25, 2907.31, 2907.32, 36908
2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 36909
2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31, 36910
2913.40, 2913.43, 2913.47, 2913.48, 2913.49, 2913.51, 2917.11,36911
2919.12, 2919.22, 2919.24, 2919.25, 2921.13, 2921.36, 2923.02,36912
2923.12, 2923.13, 2923.161, 2923.32, 2925.02, 2925.03, 2925.04, 36913
2925.05, 2925.06, 2925.11, 2925.13, 2925.14, 2925.22, 2925.23, or 36914
3716.11 of the Revised Code, felonious sexual penetration in 36915
violation of former section 2907.12 of the Revised Code, a 36916
violation of section 2905.04 of the Revised Code as it existed 36917
prior to July 1, 1996, a violation of section 2919.23 of the 36918
Revised Code that would have been a violation of section 2905.04 36919
of the Revised Code as it existed prior to July 1, 1996, had the 36920
violation been committed prior to that date;36921

       (b) An existing or former law of this state, any other state, 36922
or the United States that is substantially equivalent to any of 36923
the offenses listed in division (C)(1)(a) of this section.36924

       (2)(a) A waiver agency may employ conditionally an applicant 36925
for whom a criminal records check request is required under 36926
division (B) of this section prior to obtaining the results of a 36927
criminal records check regarding the individual, provided that the 36928
agency shall require the individual to request a criminal records 36929
check regarding the individual in accordance with division (B)(1) 36930
of this section not later than five business days after the 36931
individual begins conditional employment.36932

       (b) A waiver agency that employs an individual conditionally 36933
under authority of division (C)(2)(a) of this section shall 36934
terminate the individual's employment if the results of the 36935
criminal records check request under division (B) of this section, 36936
other than the results of any request for information from the 36937
federal bureau of investigation, are not obtained within the 36938
period ending sixty days after the date the request is made. 36939
Regardless of when the results of the criminal records check are 36940
obtained, if the results indicate that the individual has been 36941
convicted of or, has pleaded guilty to, or has been found eligible 36942
for intervention in lieu of conviction for any of the offenses 36943
listed or described in division (C)(1) of this section, the agency 36944
shall terminate the individual's employment unless the agency 36945
chooses to employ the individual pursuant to division (F) of this 36946
section.36947

       (D)(1) Each waiver agency shall pay to the bureau of criminal 36948
identification and investigation theThe fee prescribed pursuant 36949
to division (C)(3) of section 109.572 of the Revised Code for each 36950
criminal records check conducted pursuant to a request made under 36951
division (B) of this section shall be paid to the bureau of 36952
criminal identification and investigation by the applicant or the 36953
waiver agency.36954

       (2) AIf a waiver agency pays the fee, it may charge anthe36955
applicant a fee not exceeding the amount the agency pays under 36956
division (D)(1) of this section. An agency may collect a fee only 36957
if the agency notifies the person at the time of initial 36958
application for employment of the amount of the fee and that, 36959
unless the fee is paid, the person will not be considered for 36960
employment.36961

       (E) The report of any criminal records check conducted 36962
pursuant to a request made under this section is not a public 36963
record for the purposes of section 149.43 of the Revised Code and 36964
shall not be made available to any person other than the 36965
following:36966

       (1) The individual who is the subject of the criminal records 36967
check or the individual's representative;36968

       (2) The chief administrator of the agency requesting the 36969
criminal records check or the administrator's representative;36970

       (3) An administrator at the department;36971

       (4) A court, hearing officer, or other necessary individual 36972
involved in a case dealing with a denial of employment of the 36973
applicant or dealing with employment or unemployment benefits of 36974
the applicant.36975

       (F) The department shall adopt rules in accordance with 36976
Chapter 119. of the Revised Code to implement this section. The 36977
rules shall specify circumstances under which a waiver agency may 36978
employ a person who has been convicted of or, has pleaded guilty 36979
to, or has been found eligible for intervention in lieu of 36980
conviction for an offense listed or described in division (C)(1) 36981
of this section but meets personal character standards set by the 36982
department.36983

       (G) The chief administrator of a waiver agency shall inform 36984
each person, at the time of initial application for a position 36985
that involves providing home and community-based waiver services 36986
to a person with a disability, that the person is required to 36987
provide a set of fingerprint impressions and that a criminal 36988
records check is required to be conducted if the person comes 36989
under final consideration for employment.36990

       (H)(1) A person who, on the effective date of this section36991
September 26, 2003, is an employee of a waiver agency in a 36992
full-time, part-time, or temporary position that involves 36993
providing home and community-based waiver services to a person 36994
with disabilities shall comply with this section within sixty days 36995
after the effective date of this sectionSeptember 26, 2003,36996
unless division (H)(2) of this section applies.36997

       (2) This section shall not apply to a person to whom all of 36998
the following apply:36999

       (a) On the effective date of this sectionSeptember 26, 2003, 37000
the person is an employee of a waiver agency in a full-time, 37001
part-time, or temporary position that involves providing home and 37002
community-based waiver services to a person with disabilities.37003

       (b) The person previously had been the subject of a criminal 37004
background check relating to that position; 37005

       (c) The person has been continuously employed in that 37006
position since that criminal background check had been conducted.37007

       Sec. 5111.96.        Sec. 5111.034.  (A) As used in this section:37008

       (1) "Anniversary date" means the later of the effective date 37009
of the provider agreement relating to the independent provider or 37010
sixty days after the effective date of this sectionSeptember 26, 37011
2003.37012

       (2) "Criminal records check" has the same meaning as in 37013
section 109.572 of the Revised Code.37014

       (3) "The departmentDepartment" meansincludes a designee of37015
the department of job and family services or its designee.37016

       (4) "Independent provider" means a person who is submitting 37017
an application for a provider agreement or who has a provider 37018
agreement as an independent provider in a department of job and 37019
family services administered home and community-based services 37020
program providing home and community-based waiver services to 37021
consumers with disabilities.37022

       (5) "Home and community-based waiver services" has the same 37023
meaning as in section 5111.955111.033 of the Revised Code.37024

       (B)(1) The department of job and family services shall inform 37025
each independent provider, at the time of initial application for 37026
a provider agreement that involves providing home and 37027
community-based waiver services to consumers with disabilities, 37028
that the independent provider is required to provide a set of 37029
fingerprint impressions and that a criminal records check is 37030
required to be conducted if the person is to become an independent 37031
provider in a department administered home and community-based 37032
waiver program.37033

       (2) Beginning on the effective date of this sectionSeptember 37034
26, 2003, the department shall inform each enrolled medicaid 37035
independent provider on or before time of the anniversary date of 37036
the provider agreement that involves providing home and 37037
community-based waiver services to consumers with disabilities 37038
that the independent provider is required to provide a set of 37039
fingerprint impressions and that a criminal records check is 37040
required to be conducted.37041

       (C)(1) The department shall require the independent provider 37042
to complete a criminal records check prior to entering into a 37043
provider agreement with the independent provider and at least 37044
annually thereafter. If an independent provider for whom a 37045
criminal records check is required under this division does not 37046
present proof of having been a resident of this state for the 37047
five-year period immediately prior to the date the criminal 37048
records check is requested or provide evidence that within that 37049
five-year period the superintendent of the bureau of criminal 37050
identification and investigation has requested information about 37051
the applicantindependent provider from the federal bureau of 37052
investigation in a criminal records check, the department shall 37053
request that the independent provider obtain through the 37054
superintendent a criminal records request from the federal bureau 37055
of investigation as part of the criminal records check of the 37056
independent provider. Even if an independent provider for whom a 37057
criminal records check request is required under this division 37058
presents proof of having been a resident of this state for the 37059
five-year period, the department may request that the independent 37060
provider obtain information through the superintendent from the 37061
federal bureau of investigation in the criminal records check.37062

       (2) The department shall do both ofprovide the following:37063

       (a) Provide information to each independent provider for whom 37064
a criminal records check request is required under division (C)(1) 37065
of this section about requesting a copy of:37066

       (a) Information about accessing, completing, and forwarding 37067
to the superintendent of the bureau of criminal identification and 37068
investigation the form prescribed pursuant to division (C)(1) of 37069
section 109.572 of the Revised Code and athe standard fingerprint 37070
impression sheet prescribed pursuant to division (C)(2) of that 37071
section, and obtain the completed form and impression sheet and 37072
fee from the independent provider;37073

       (b) Forward the completed form, impression sheet, and fee to 37074
the superintendent of the bureau of criminal identification and 37075
investigationWritten notification that the independent provider 37076
is to instruct the superintendent to submit the completed report 37077
of the criminal records check directly to the department.37078

       (3) An independent provider given information about obtaining 37079
the form and fingerprint impression sheet under division (C)(2)(a) 37080
of this section who fails to complete the form or provide 37081
fingerprint impressionsand notification under divisions (C)(2)(a) 37082
and (b) of this section who fails to access, complete, and forward 37083
to the superintendent the form or the standard fingerprint 37084
impression sheet, or who fails to instruct the superintendent to 37085
submit the completed report of the criminal records check directly 37086
to the department, shall not be approved as an independent 37087
provider.37088

       (D) Except as provided in rules adopted by the department in 37089
accordance with division (G) of this section, the department shall 37090
not issue a new provider agreement to, and shall terminate an 37091
existing provider agreement of, an independent provider if the 37092
person has been convicted of or, has pleaded guilty to, or has 37093
been found eligible for intervention in lieu of conviction for any 37094
of the following:37095

       (1) A violation of section 2903.01, 2903.02, 2903.03, 37096
2903.04, 2903.041, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 37097
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02, 37098
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 37099
2907.21, 2907.22, 2907.23, 2907.24, 2907.25, 2907.31, 2907.32, 37100
2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 37101
2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31, 37102
2913.40, 2913.43, 2913.47, 2913.48, 2913.49, 2913.51, 2917.11,37103
2919.12, 2919.22, 2919.24, 2919.25, 2921.13, 2921.36, 2923.02,37104
2923.12, 2923.13, 2923.161, 2923.32, 2925.02, 2925.03, 2925.04, 37105
2925.05, 2925.06, 2925.11, 2925.13, 2925.14, 2925.22, 2925.23, or 37106
3716.11 of the Revised Code, felonious sexual penetration in 37107
violation of former section 2907.12 of the Revised Code, a 37108
violation of section 2905.04 of the Revised Code as it existed 37109
prior to July 1, 1996, a violation of section 2919.23 of the 37110
Revised Code that would have been a violation of section 2905.04 37111
of the Revised Code as it existed prior to July 1, 1996, had the 37112
violation been committed prior to that date;37113

       (2) An existing or former law of this state, any other state, 37114
or the United States that is substantially equivalent to any of 37115
the offenses listed in division (D)(1) of this section.37116

       (E) Each independent provider shall pay to the bureau of 37117
criminal identification and investigation the fee prescribed 37118
pursuant to division (C)(3) of section 109.572 of the Revised Code 37119
for each criminal records check conducted pursuant to a request 37120
made under division (C) of this section.37121

       (F) The report of any criminal records check conducted by the 37122
bureau of criminal identification and investigation in accordance 37123
with section 109.572 of the Revised Code and pursuant to a request 37124
made under division (C) of this section is not a public record for 37125
the purposes of section 149.43 of the Revised Code and shall not 37126
be made available to any person other than the following:37127

       (1) The person who is the subject of the criminal records 37128
check or the person's representative;37129

       (2) TheAn administrator at the department who is requesting 37130
the criminal records check or the administrator's representative;37131

       (3) AnyA court, hearing officer, or other necessary 37132
individual involved in a case dealing with a denial or termination 37133
of a provider agreement related to the criminal records check.37134

       (G) The department shall adopt rules in accordance with 37135
Chapter 119. of the Revised Code to implement this section. The 37136
rules shall specify circumstances under which the department may 37137
either issue a provider agreement to an independent provider who37138
or allow an independent provider to maintain an existing provider 37139
agreement when the independent provider has been convicted of or, 37140
has pleaded guilty to, or has been found eligible for intervention 37141
in lieu of conviction for an offense listed or described in 37142
division (C)(1) of this section but meets personal character 37143
standards set by the department.37144

       Sec. 5111.06.  (A)(1) As used in this section and in sections 37145
5111.061 and 5111.062 of the Revised Code:37146

       (a) "Provider" means any person, institution, or entity that37147
furnishes medicaid services under a provider agreement with the37148
department of job and family services pursuant to Title XIX of the37149
"Social Security Act," 49 Stat. 620 (1935), 42 U.S.C.A. 301, as37150
amended.37151

       (b) "Party" has the same meaning as in division (G) of37152
section 119.01 of the Revised Code.37153

       (c) "Adjudication" has the same meaning as in division (D) of 37154
section 119.01 of the Revised Code.37155

       (2) This section does not apply to any action taken by the37156
department of job and family services under sections 5111.35 to37157
5111.62 of the Revised Code.37158

       (B) Except as provided in division (D) of this section and 37159
section 5111.914 of the Revised Code, the department shall do 37160
either of the following by issuing an order pursuant to an 37161
adjudication conducted in accordance with Chapter 119. of the 37162
Revised Code:37163

       (1) Enter into or refuse to enter into a provider agreement37164
with a provider, or suspend, terminate, renew, or refuse to renew37165
an existing provider agreement with a provider;37166

       (2) Take any action based upon a final fiscal audit of a37167
provider.37168

       (C) Any party who is adversely affected by the issuance of an 37169
adjudication order under division (B) of this section may appeal 37170
to the court of common pleas of Franklin county in accordance with 37171
section 119.12 of the Revised Code.37172

       (D) The department is not required to comply with division37173
(B)(1) of this section whenever any of the following occur:37174

       (1) The terms of a provider agreement require the provider to 37175
havehold a license, permit, or certificate or maintain a 37176
certification issued by an official, board, commission, 37177
department, division, bureau, or other agency of state or federal37178
government other than the department of job and family services,37179
and the license, permit, or certificate, or certification has been 37180
denied or, revoked, not renewed, suspended, or otherwise limited.37181

       (2) The terms of a provider agreement require the provider to 37182
hold a license, permit, or certificate or maintain certification 37183
issued by an official, board, commission, department, division, 37184
bureau, or other agency of state or federal government other than 37185
the department of job and family services, and the provider has 37186
not obtained the license, permit, certificate, or certification.37187

       (3) The provider agreement is denied, terminated, or not 37188
renewed due to the termination, refusal to renew, or denial of a 37189
license, permit, certificate, or certification by an official, 37190
board, commission, department, division, bureau, or other agency 37191
of this state other than the department of job and family 37192
services, notwithstanding the fact that the provider may hold a 37193
license, permit, certificate, or certification from an official, 37194
board, commission, department, division, bureau, or other agency 37195
of another state.37196

       (2)(4) The provider agreement is denied, terminated, or not37197
renewed pursuant to division (C) or (E)(F) of section 5111.03 of 37198
the Revised Code;37199

       (3)(5) The provider agreement is denied, terminated, or not37200
renewed due to the provider's termination, suspension, or37201
exclusion from the medicare program established under Title XVIII37202
of the "Social Security Act," and the termination, suspension, or37203
exclusion is binding on the provider's participation in the37204
medicaid program;37205

       (4)(6) The provider agreement is denied, terminated, or not37206
renewed due to the provider's pleading guilty to or being37207
convicted of a criminal activity materially related to either the37208
medicare or medicaid program;37209

       (5)(7) The provider agreement is denied, terminated, or37210
suspended as a result of action by the United States department of37211
health and human services and that action is binding on the37212
provider's participation in the medicaid program;37213

       (6)(8) The provider agreement is suspended pursuant to 37214
section 5111.031 of the Revised Code pending indictment of the 37215
provider.37216

       (9) The provider agreement is denied, terminated, or not 37217
renewed because the provider has been convicted of one of the 37218
offenses that caused the provider agreement to be suspended 37219
pursuant to section 5111.031 of the Revised Code.37220

       (10) The provider agreement is terminated or an application 37221
for re-enrollment is denied because the provider has failed to 37222
apply for re-enrollment within the time or in the manner specified 37223
for re-enrollment pursuant to section 5111.028 of the Revised 37224
Code.37225

       (11) The provider agreement is terminated or not renewed 37226
because the provider has not billed or otherwise submitted a 37227
medicaid claim to the department for two years or longer, and the 37228
department has determined that the provider has moved from the 37229
address on record with the department without leaving an active 37230
forwarding address with the department.37231

       In the case of a provider described in division (D)(6)(11) of 37232
this section, the department may terminate or not renew the 37233
provider agreement by sending a notice explaining the department's 37234
proposed action to the address on record with the department. The 37235
notice may be sent by regular mail.37236

       (E) The department may withhold payments for services37237
rendered by a medicaid provider under the medical assistance37238
program during the pendency of proceedings initiated under37239
division (B)(1) of this section. If the proceedings are initiated37240
under division (B)(2) of this section, the department may withhold37241
payments only to the extent that they equal amounts determined in37242
a final fiscal audit as being due the state. This division does37243
not apply if the department fails to comply with section 119.07 of37244
the Revised Code, requests a continuance of the hearing, or does37245
not issue a decision within thirty days after the hearing is37246
completed. This division does not apply to nursing facilities and37247
intermediate care facilities for the mentally retarded as defined 37248
in section 5111.20 of the Revised Code.37249

       Sec. 5111.084.  There is hereby established the pharmacy and37250
therapeutics committee of the department of job and family37251
services. The committee shall consist of nine members and shall be 37252
appointed by the director of job and family services. The37253
membership of the committee shall include: three pharmacists37254
licensed under Chapter 4729. of the Revised Code; two doctors of37255
medicine and two doctors of osteopathy licensed under Chapter37256
4731. of the Revised Code; a registered nurse licensed under37257
Chapter 4723. of the Revised Code; and a pharmacologist who has a37258
doctoral degree. At least one of the members who is a doctor of 37259
medicine or doctor of osteopathy shall be a psychiatrist. The 37260
committee shall elect one of its members as chairperson.37261

       Sec. 5111.085.  (A) As used in this section, "mental health 37262
drug" means a drug that meets one of the following requirements: 37263

       (1) Is classified as an antianxiety, antidepressant, 37264
anticonvulsant, or antipsychotic central nervous system drug in 37265
the most recent edition of one of the following publications:37266

       (a) The American psychiatric press textbook of 37267
psychopharmacology;37268

       (b) Current clinical strategies for psychiatry;37269

       (c) Drug facts and comparisons;37270

       (d) A publication with a focus and content comparable to the 37271
publications described in divisions (A)(1)(a) to (c) of this 37272
section as determined by the director of job and family services.37273

       (2) Is classified in one of the publications described in 37274
division (A)(1) of this section as a central nervous system drug 37275
in a category or classification that is created after the 37276
effective date of this section;37277

       (3) Is classified in one of the publications described in 37278
division (A)(1) of this section as a cross-indicated drug for any 37279
of the central nervous system drugs specified in division (A)(1) 37280
or (2) of this section because the drug's use in that capacity is 37281
generally held to be reasonable, appropriate, and within the 37282
community standards of care even though the use is not included in 37283
the United States food and drug administration's approved labeling 37284
for the drug;37285

       (4) Is recommended for the treatment of a mental illness or 37286
mental disorder, as those terms are defined in the most recent 37287
edition of the American psychiatric association's diagnostic and 37288
statistical manual of mental disorders.37289

       (B) The only mental health drugs that may be subjected to a 37290
prior authorization requirement, preferred drug list, or 37291
therapeutic substitution requirement under the medicaid program 37292
are mental health drugs that are brand name and for which there 37293
are generic equivalents.37294

       Sec. 5111.10.  The director of job and family services may 37295
conduct reviews of the medicaid program. The reviews may include 37296
physical inspections of records and sites where medicaid-funded 37297
services are provided and interviews of providers and recipients 37298
of the services. If the director determines pursuant to a review 37299
that a person or government entity has violated a rule governing 37300
the medicaid program, the director may establish a corrective 37301
action plan for the violator and impose fiscal, administrative, or 37302
both types of sanctions on the violator in accordance with rules 37303
governing the medicaid program. Such action to be taken against a 37304
responsible entity, as defined in section 5101.24 of the Revised 37305
Code, shall be taken in accordance with that section.37306

       Sec. 5111.101. (A) As used in this section, "federal;37307

        "Agent" and "contractor" include any agent, contractor, 37308
subcontractor, or other person who, on behalf of an entity, 37309
furnishes or authorizes the furnishing of health care items or 37310
services under the medicaid program, performs billing or coding 37311
functions, or is involved in monitoring of health care that an 37312
entity provides.37313

       "Employee" includes any officer or employee (including 37314
management employees) of an entity.37315

       "Entity" includes a governmental entity or an organization, 37316
unit, corporation, partnership, or other business arrangement, 37317
including any medicaid managed care organization, irrespective of 37318
the form of business structure or arrangement by which it exists, 37319
whether for-profit or not-for-profit. "Entity" does not include a 37320
government entity that administers one or more components of the 37321
medicaid program, unless the government entity receives medicaid 37322
payments for providing items or services.37323

       "Federal health care programs" has the same meaning as in 42 37324
U.S.C. 1320a-7b(f).37325

       (B) Each person and government entity that receives or makes 37326
medicaidin a federal fiscal year payments in a calendar year that 37327
totalunder the medicaid program, either through the state 37328
medicaid plan or a federal medicaid waiver, totaling at least five 37329
million dollars or more shall, as a condition of receiving such 37330
payments, do all of the following not later than the first day of 37331
the succeeding calendar year:37332

       (1) Provide each of the person or government entity's37333
Establish written policies for all of the entity's employees 37334
(including management employees), contractors, and agents,that 37335
provide detailed, written information about the role of all of the 37336
following in preventing and detecting fraud, waste, and abuse in 37337
federal health care programs:37338

       (a) Federal false claims law under 31 U.S.C. 3729 to 3733;37339

       (b) Federal administrative remedies for false claims and 37340
statements available under 31 U.S.C. 3801 to 3812;37341

       (c) Sections 124.341, 2913.40, 2913.401, and 2921.13 of the 37342
Revised Code and any other state laws pertaining to civil or 37343
criminal penalties for false claims and statements;37344

       (d) Whistleblower protections under the laws specified in 37345
divisions (B)(1)(a) to (c) of this section.37346

       (2) Include inas part of the written information provided 37347
underpolicies required by division (B)(1) of this section 37348
detailed information aboutprovisions regarding the person or 37349
government entity's policies and procedures for preventing and 37350
detecting fraud, waste, and abuse.37351

       (3) IncludeDisseminate the written policies required by 37352
division (B)(1) of this section to each of the entity's employees, 37353
contractors, and agents in a paper or electronic form and make the 37354
written policies readily available to the entity's employees, 37355
contractors, and agents.37356

       (4) If the entity has an employee handbook, include in the 37357
person or government entity's employee handbook a specific 37358
discussion of the laws specified in division (B)(1) of this 37359
section, the rights of employees to be protected as 37360
whistleblowers, and the person or government entity's policies and 37361
procedures for preventing and detecting fraud, waste, and abuse.37362

       (5) Require the entity's contractors and agents to adopt the 37363
entity's written policies required by division (B)(1) of this 37364
section.37365

       (C) An entity that furnishes items or services at multiple 37366
locations or under multiple contractual or other payment 37367
arrangements is required to comply with division (B) of this 37368
section if the entity receives in a federal fiscal year medicaid 37369
payments totaling in the aggregate at least five million dollars. 37370
This applies regardless of whether the entity submits claims for 37371
medicaid payments using multiple provider identification or tax 37372
identification numbers.37373

       Sec. 5111.102. As used in this section, "state agency" has 37374
the same meaning as in section 9.23 of the Revised Code.37375

       No provision of Title LI of the Revised Code or any other law 37376
of this state that incorporates any provision of federal Medicaid 37377
law, Title XIX of the Social Security Act, 79 Stat. 286 (1965), 42 37378
U.S.C. 1396, or that may be construed as requiring the state, a 37379
state agency, or any state official or employee to comply with 37380
that federal provision, shall be construed as creating a cause of 37381
action to enforce such state law beyond the causes of action 37382
available under federal law for enforcement of the provision of 37383
federal law.37384

       Sec. 5111.163.  (A) As used in this section:37385

       (1) "Emergency services" has the same meaning as in section 37386
1932(b)(2) of the "Social Security Act," 79 Stat. 286 (1965), 42 37387
U.S.C. 1396u-2(b)(2), as amended.37388

       (2) "Medicaid managed care organization" has the same meaning 37389
as in section 5111.162 of the Revised Code.37390

       (3) "Provider" has the same meaning as in section 5111.06 of 37391
the Revised Codemeans any person, institution, or entity that 37392
furnishes emergency services to a medicaid recipient enrolled in a 37393
medicaid managed care organization, regardless of whether the 37394
person, institution, or entity has a provider agreement with the 37395
department of job and family services pursuant to Title XIX of the 37396
"Social Security Act."37397

       (B) When a participant in the care management system 37398
established under section 5111.16 of the Revised Code is enrolled 37399
in a medicaid managed care organization and receives emergency 37400
services on or after January 1, 2007, from a provider that is not 37401
under contract with the organization, the provider shall accept 37402
from the organization, as payment in full, not more than the 37403
amounts (less any payments for indirect costs of medical education 37404
and direct costs of graduate medical education) that the provider 37405
could collect if the participant received medicaid other than 37406
through enrollment in a managed care organization.37407

       Sec. 5111.165. In the case of individuals who receive 37408
medicaid on the basis of being included in the category identified 37409
by the department of job and family services as covered families 37410
and children, the department shall develop and implement a 37411
reimbursement system based on a risk-adjusted rate structure. The 37412
risk-adjusted reimbursement rates shall be applied individually 37413
and shall apply starting one year after the individual enrolls in 37414
the medicaid program.37415

       Sec. 5111.17.  (A) The department of job and family services37416
may enter into contracts with managed care organizations, 37417
including health insuring corporations, under which the 37418
organizations are authorized to provide, or arrange for the 37419
provision of, health care services to medical assistance 37420
recipients who are required or permitted to obtain health care 37421
services through managed care organizations as part of the care 37422
management system established under section 5111.16 of the 37423
Revised Code.37424

       (B) The department shall develop and implement a financial 37425
incentive program to improve and reward positive health outcomes 37426
through the managed care organization contracts entered into under 37427
this section. In developing and implementing the program, the 37428
department may take into consideration the recommendations 37429
regarding the program made by the medicaid care management working 37430
group created under section 5111.161(1) For purposes of making 37431
payments to health insuring corporations under contract pursuant 37432
to this section, the department shall develop, certify, and 37433
implement actuarially sound capitation rates, as defined in 42 37434
C.F.R. 438.6. In taking these actions, the department shall comply 37435
with all applicable requirements of 42 C.F.R. 438.6 and Title XIX 37436
of the "Social Security Act," 79 Stat. 286 (1965), 42 U.S.C. 37437
1396b(m), as amended.37438

       (2) Before the department may submit proposed capitation 37439
rates for approval by the United States centers for medicare and 37440
medicaid services, the department shall submit the proposed rates 37441
to the superintendent of insurance for review. On each submission, 37442
the superintendent shall conduct a review of the proposed rates 37443
and provide written notice to the department of the results of the 37444
review.37445

       (3) The department may not submit the proposed rates for 37446
approval by the centers for medicare and medicaid services unless 37447
the superintendent specifies in the results of the review that the 37448
proposed rates will do none of the following with respect to the 37449
health insuring corporation that will receive payments according 37450
to the proposed rates:37451

       (a) Negatively impact the financial solvency of the health 37452
insuring corporation; 37453

       (b) Cause a change in the health insuring corporation's RBC 37454
levels, as defined in section 3903.81 of the Revised Code;37455

       (c) Require that an application for a certificate of 37456
authority include the parent company's guaranty, as specified in 37457
division (A)(27) of section 1751.03 of the Revised Code.37458

       (C) The director of job and family services may adopt rules37459
in accordance with Chapter 119. of the Revised Code to implement37460
this section.37461

       Sec. 5111.172. (A) When contracting under section 5111.17 of 37462
the Revised Code with a managed care organization that is a health 37463
insuring corporation, the department of job and family services 37464
may require the health insuring corporation to provide coverage of 37465
prescription drugs for medicaid recipients enrolled in the health 37466
insuring corporation. In providing the required coverage, the 37467
health insuring corporation may, subject to the department's 37468
approval and the limitations provided under division (C) of this 37469
section, use strategies for the management of drug utilization.37470

       (B) As used in this division, "controlled substance" has the 37471
same meaning as in section 3719.01 of the Revised Code.37472

       If a health insuring corporation is required under this 37473
section to provide coverage of prescription drugs, the department 37474
shall permit the health insuring corporation to develop and 37475
implement a pharmacy utilization management program under which 37476
prior authorization through the program is established as a 37477
condition of obtaining a controlled substance pursuant to a 37478
prescription. The program may include processes for requiring 37479
medicaid recipients at high risk for fraud or abuse involving 37480
controlled substances to have their prescriptions for controlled 37481
substances filled by a pharmacy, medical provider, or health care 37482
facility designated by the program.37483

       (C) As used in this division, "mental health drug" has the 37484
same meaning as in section 5111.085 of the Revised Code.37485

       If a contract under section 5111.17 of the Revised Code 37486
requires a health insuring corporation to provide prescription 37487
drug coverage for medicaid recipients as described in division (A) 37488
of this section, the contract shall include terms under which the 37489
only mental health drugs that may be subjected to a prior 37490
authorization requirement, preferred drug list, or therapeutic 37491
substitution requirement are mental health drugs that are brand 37492
name and for which there are generic equivalents.37493

       Sec. 5111.20.  As used in sections 5111.20 to 5111.34 of the37494
Revised Code:37495

       (A) "Allowable costs" are those costs determined by the37496
department of job and family services to be reasonable and do not37497
include fines paid under sections 5111.35 to 5111.61 and section37498
5111.99 of the Revised Code.37499

       (B) "Ancillary and support costs" means all reasonable costs 37500
incurred by a nursing facility other than direct care costs or 37501
capital costs. "Ancillary and support costs" includes, but is not 37502
limited to, costs of activities, social services, pharmacy 37503
consultants, habilitation supervisors, qualified mental 37504
retardation professionals, program directors, medical and 37505
habilitation records, program supplies, incontinence supplies, 37506
food, enterals, dietary supplies and personnel, laundry, 37507
housekeeping, security, administration, medical equipment, 37508
utilities, liability insurance, bookkeeping, purchasing 37509
department, human resources, communications, travel, dues, license 37510
fees, subscriptions, home office costs not otherwise allocated, 37511
legal services, accounting services, minor equipment, maintenance 37512
and repairs, help-wanted advertising, informational advertising, 37513
start-up costs, organizational expenses, other interest, property 37514
insurance, employee training and staff development, employee 37515
benefits, payroll taxes, and workers' compensation premiums or 37516
costs for self-insurance claims and related costs as specified in 37517
rules adopted by the director of job and family services under 37518
section 5111.02 of the Revised Code, for personnel listed in this 37519
division. "Ancillary and support costs" also means the cost of 37520
equipment, including vehicles, acquired by operating lease 37521
executed before December 1, 1992, if the costs are reported as 37522
administrative and general costs on the facility's cost report for 37523
the cost reporting period ending December 31, 1992.37524

       (C) "Capital costs" means costs of ownership and, in the case 37525
of an intermediate care facility for the mentally retarded, costs 37526
of nonextensive renovation.37527

       (1) "Cost of ownership" means the actual expense incurred for 37528
all of the following:37529

       (a) Depreciation and interest on any capital assets that cost 37530
five hundred dollars or more per item, including the following:37531

       (i) Buildings;37532

       (ii) Building improvements that are not approved as37533
nonextensive renovations under section 5111.251 of the Revised 37534
Code;37535

       (iii) Except as provided in division (B) of this section, 37536
equipment;37537

       (iv) In the case of an intermediate care facility for the 37538
mentally retarded, extensive renovations;37539

       (v) Transportation equipment.37540

       (b) Amortization and interest on land improvements and37541
leasehold improvements;37542

       (c) Amortization of financing costs;37543

       (d) Except as provided in division (K) of this section, lease 37544
and rent of land, building, and equipment.37545

       The costs of capital assets of less than five hundred dollars37546
per item may be considered capital costs in accordance with a37547
provider's practice.37548

       (2) "Costs of nonextensive renovation" means the actual37549
expense incurred by an intermediate care facility for the mentally 37550
retarded for depreciation or amortization and interest on37551
renovations that are not extensive renovations.37552

       (D) "Capital lease" and "operating lease" shall be construed37553
in accordance with generally accepted accounting principles.37554

       (E) "Case-mix score" means the measure determined under37555
section 5111.232 of the Revised Code of the relative direct-care37556
resources needed to provide care and habilitation to a resident of37557
a nursing facility or intermediate care facility for the mentally37558
retarded.37559

       (F)(1) "Date of licensure," for a facility originally 37560
licensed as a nursing home under Chapter 3721. of the Revised 37561
Code, means the date specific beds were originally licensed as37562
nursing home beds under that chapter, regardless of whether they 37563
were subsequently licensed as residential facility beds under 37564
section 5123.19 of the Revised Code. For a facility originally 37565
licensed as a residential facility under section 5123.19 of the 37566
Revised Code, "date of licensure" means the date specific beds 37567
were originally licensed as residential facility beds under that37568
section.37569

       (1) If nursing home beds licensed under Chapter 3721. of the37570
Revised Code or residential facility beds licensed under section37571
5123.19 of the Revised Code were not required by law to be37572
licensed when they were originally used to provide nursing home or37573
residential facility services, "date of licensure" means the date37574
the beds first were used to provide nursing home or residential37575
facility services, regardless of the date the present provider37576
obtained licensure.37577

       (2) If a facility adds nursing home beds or residential37578
facility beds or extensively renovates all or part of the facility37579
after its original date of licensure, it will have a different37580
date of licensure for the additional beds or extensively renovated37581
portion of the facility, unless the beds are added in a space that37582
was constructed at the same time as the previously licensed beds37583
but was not licensed under Chapter 3721. or section 5123.19 of the37584
Revised Code at that time.37585

       (2) The definition of "date of licensure" in this section 37586
applies in determinations of the medicaid reimbursement rate for a 37587
nursing facility or intermediate care facility for the mentally 37588
retarded but does not apply in determinations of the franchise 37589
permit fee for a nursing facility or intermediate care facility 37590
for the mentally retarded.37591

       (G) "Desk-reviewed" means that costs as reported on a cost37592
report submitted under section 5111.26 of the Revised Code have37593
been subjected to a desk review under division (A) of section37594
5111.27 of the Revised Code and preliminarily determined to be37595
allowable costs.37596

       (H) "Direct care costs" means all of the following:37597

       (1)(a) Costs for registered nurses, licensed practical37598
nurses, and nurse aides employed by the facility;37599

       (b) Costs for direct care staff, administrative nursing37600
staff, medical directors, respiratory therapists, and except as 37601
provided in division (H)(2) of this section, other persons holding 37602
degrees qualifying them to provide therapy;37603

       (c) Costs of purchased nursing services;37604

       (d) Costs of quality assurance;37605

       (e) Costs of training and staff development, employee37606
benefits, payroll taxes, and workers' compensation premiums or37607
costs for self-insurance claims and related costs as specified in37608
rules adopted by the director of job and family services in37609
accordance with Chapter 119. of the Revised Code, for personnel37610
listed in divisions (H)(1)(a), (b), and (d) of this section;37611

       (f) Costs of consulting and management fees related to direct 37612
care;37613

       (g) Allocated direct care home office costs.37614

       (2) In addition to the costs specified in division (H)(1) of 37615
this section, for nursing facilities only, direct care costs 37616
include costs of habilitation staff (other than habilitation 37617
supervisors), medical supplies, emergency oxygen, habilitation 37618
supplies, and universal precautions supplies.37619

       (3) In addition to the costs specified in division (H)(1) of37620
this section, for intermediate care facilities for the mentally37621
retarded only, direct care costs include both of the following:37622

       (a) Costs for physical therapists and physical therapy37623
assistants, occupational therapists and occupational therapy37624
assistants, speech therapists, audiologists, habilitation staff 37625
(including habilitation supervisors), qualified mental retardation 37626
professionals, program directors, social services staff, 37627
activities staff, off-site day programming, psychologists and 37628
psychology assistants, and social workers and counselors;37629

       (b) Costs of training and staff development, employee37630
benefits, payroll taxes, and workers' compensation premiums or37631
costs for self-insurance claims and related costs as specified in37632
rules adopted under section 5111.02 of the Revised Code, for 37633
personnel listed in division (H)(3)(a) of this section.37634

       (4) Costs of other direct-care resources that are specified37635
as direct care costs in rules adopted under section 5111.02 of the 37636
Revised Code.37637

       (I) "Fiscal year" means the fiscal year of this state, as37638
specified in section 9.34 of the Revised Code.37639

       (J) "Franchise permit fee" means the following:37640

       (1) In the context of nursing facilities, the fee imposed by 37641
sections 3721.50 to 3721.58 of the Revised Code;37642

       (2) In the context of intermediate care facilities for the 37643
mentally retarded, the fee imposed by sections 5112.30 to 5112.39 37644
of the Revised Code.37645

        (K) "Indirect care costs" means all reasonable costs incurred 37646
by an intermediate care facility for the mentally retarded other37647
than direct care costs, other protected costs, or capital costs.37648
"Indirect care costs" includes but is not limited to costs of37649
habilitation supplies, pharmacy consultants, medical and37650
habilitation records, program supplies, incontinence supplies,37651
food, enterals, dietary supplies and personnel, laundry,37652
housekeeping, security, administration, liability insurance,37653
bookkeeping, purchasing department, human resources,37654
communications, travel, dues, license fees, subscriptions, home37655
office costs not otherwise allocated, legal services, accounting37656
services, minor equipment, maintenance and repairs, help-wanted37657
advertising, informational advertising, start-up costs,37658
organizational expenses, other interest, property insurance,37659
employee training and staff development, employee benefits,37660
payroll taxes, and workers' compensation premiums or costs for37661
self-insurance claims and related costs as specified in rules37662
adopted under section 5111.02 of the Revised Code, for personnel37663
listed in this division. Notwithstanding division (C)(1) of this37664
section, "indirect care costs" also means the cost of equipment,37665
including vehicles, acquired by operating lease executed before37666
December 1, 1992, if the costs are reported as administrative and37667
general costs on the facility's cost report for the cost reporting 37668
period ending December 31, 1992.37669

       (L) "Inpatient days" means all days during which a resident,37670
regardless of payment source, occupies a bed in a nursing facility37671
or intermediate care facility for the mentally retarded that is37672
included in the facility's certified capacity under Title XIX. 37673
Therapeutic or hospital leave days for which payment is made under 37674
section 5111.33 of the Revised Code are considered inpatient days 37675
proportionate to the percentage of the facility's per resident per 37676
day rate paid for those days.37677

       (M) "Intermediate care facility for the mentally retarded"37678
means an intermediate care facility for the mentally retarded37679
certified as in compliance with applicable standards for the 37680
medicaid program by the director of health in accordance with 37681
Title XIX.37682

       (N) "Maintenance and repair expenses" means, except as37683
provided in division (BB)(2) of this section, expenditures that37684
are necessary and proper to maintain an asset in a normally37685
efficient working condition and that do not extend the useful life 37686
of the asset two years or more. "Maintenance and repair expenses"37687
includes but is not limited to the cost of ordinary repairs such37688
as painting and wallpapering.37689

       (O) "Medicaid days" means all days during which a resident 37690
who is a Medicaid recipient eligible for nursing facility services 37691
occupies a bed in a nursing facility that is included in the 37692
nursing facility's certified capacity under Title XIX. Therapeutic 37693
or hospital leave days for which payment is made under section 37694
5111.33 of the Revised Code are considered Medicaid days 37695
proportionate to the percentage of the nursing facility's per 37696
resident per day rate paid for those days.37697

        (P) "Nursing facility" means a facility, or a distinct part37698
of a facility, that is certified as a nursing facility by the37699
director of health in accordance with Title XIX and is not an 37700
intermediate care facility for the mentally retarded. "Nursing 37701
facility" includes a facility, or a distinct part of a facility, 37702
that is certified as a nursing facility by the director of health 37703
in accordance with Title XIX and is certified as a skilled nursing37704
facility by the director in accordance with Title XVIII.37705

       (Q) "Operator" means the person or government entity 37706
responsible for the daily operating and management decisions for a 37707
nursing facility or intermediate care facility for the mentally 37708
retarded.37709

       (R) "Other protected costs" means costs incurred by an 37710
intermediate care facility for the mentally retarded for medical37711
supplies; real estate, franchise, and property taxes; natural gas,37712
fuel oil, water, electricity, sewage, and refuse and hazardous37713
medical waste collection; allocated other protected home office37714
costs; and any additional costs defined as other protected costs37715
in rules adopted under section 5111.02 of the Revised Code.37716

       (S)(1) "Owner" means any person or government entity that has37717
at least five per cent ownership or interest, either directly,37718
indirectly, or in any combination, in any of the following 37719
regarding a nursing facility or intermediate care facility for the 37720
mentally retarded:37721

       (a) The land on which the facility is located;37722

       (b) The structure in which the facility is located;37723

       (c) Any mortgage, contract for deed, or other obligation 37724
secured in whole or in part by the land or structure on or in 37725
which the facility is located;37726

       (d) Any lease or sublease of the land or structure on or in 37727
which the facility is located.37728

       (2) "Owner" does not mean a holder of a debenture or bond 37729
related to the nursing facility or intermediate care facility for 37730
the mentally retarded and purchased at public issue or a regulated 37731
lender that has made a loan related to the facility unless the 37732
holder or lender operates the facility directly or through a 37733
subsidiary.37734

       (T) "Patient" includes "resident."37735

       (U) Except as provided in divisions (U)(1) and (2) of this37736
section, "per diem" means a nursing facility's or intermediate37737
care facility for the mentally retarded's actual, allowable costs37738
in a given cost center in a cost reporting period, divided by the37739
facility's inpatient days for that cost reporting period.37740

       (1) When calculating indirect care costs for the purpose of37741
establishing rates under section 5111.241 of the Revised Code,37742
"per diem" means an intermediate care facility for the mentally 37743
retarded's actual, allowable indirect care costs in a cost 37744
reporting period divided by the greater of the facility's 37745
inpatient days for that period or the number of inpatient days the 37746
facility would have had during that period if its occupancy rate 37747
had been eighty-five per cent.37748

       (2) When calculating capital costs for the purpose of37749
establishing rates under section 5111.251 of the Revised Code,37750
"per diem" means a facility's actual, allowable capital costs in a 37751
cost reporting period divided by the greater of the facility's 37752
inpatient days for that period or the number of inpatient days the 37753
facility would have had during that period if its occupancy rate 37754
had been ninety-five per cent.37755

       (V) "Provider" means an operator with a provider agreement.37756

       (W) "Provider agreement" means a contract between the37757
department of job and family services and the operator of a 37758
nursing facility or intermediate care facility for the mentally 37759
retarded for the provision of nursing facility services or 37760
intermediate care facility services for the mentally retarded 37761
under the medicaid program.37762

       (X) "Purchased nursing services" means services that are37763
provided in a nursing facility by registered nurses, licensed37764
practical nurses, or nurse aides who are not employees of the37765
facility.37766

       (Y) "Reasonable" means that a cost is an actual cost that is37767
appropriate and helpful to develop and maintain the operation of37768
patient care facilities and activities, including normal standby37769
costs, and that does not exceed what a prudent buyer pays for a37770
given item or services. Reasonable costs may vary from provider to 37771
provider and from time to time for the same provider.37772

       (Z) "Related party" means an individual or organization that, 37773
to a significant extent, has common ownership with, is associated 37774
or affiliated with, has control of, or is controlled by, the 37775
provider.37776

       (1) An individual who is a relative of an owner is a related37777
party.37778

       (2) Common ownership exists when an individual or individuals 37779
possess significant ownership or equity in both the provider and 37780
the other organization. Significant ownership or equity exists 37781
when an individual or individuals possess five per cent ownership 37782
or equity in both the provider and a supplier. Significant 37783
ownership or equity is presumed to exist when an individual or 37784
individuals possess ten per cent ownership or equity in both the 37785
provider and another organization from which the provider 37786
purchases or leases real property.37787

       (3) Control exists when an individual or organization has the 37788
power, directly or indirectly, to significantly influence or37789
direct the actions or policies of an organization.37790

       (4) An individual or organization that supplies goods or37791
services to a provider shall not be considered a related party if37792
all of the following conditions are met:37793

       (a) The supplier is a separate bona fide organization.37794

       (b) A substantial part of the supplier's business activity of 37795
the type carried on with the provider is transacted with others37796
than the provider and there is an open, competitive market for the37797
types of goods or services the supplier furnishes.37798

       (c) The types of goods or services are commonly obtained by37799
other nursing facilities or intermediate care facilities for the37800
mentally retarded from outside organizations and are not a basic37801
element of patient care ordinarily furnished directly to patients37802
by the facilities.37803

       (d) The charge to the provider is in line with the charge for 37804
the goods or services in the open market and no more than the37805
charge made under comparable circumstances to others by the37806
supplier.37807

       (AA) "Relative of owner" means an individual who is related37808
to an owner of a nursing facility or intermediate care facility37809
for the mentally retarded by one of the following relationships:37810

       (1) Spouse;37811

       (2) Natural parent, child, or sibling;37812

       (3) Adopted parent, child, or sibling;37813

       (4) Stepparent, stepchild, stepbrother, or stepsister;37814

       (5) Father-in-law, mother-in-law, son-in-law,37815
daughter-in-law, brother-in-law, or sister-in-law;37816

       (6) Grandparent or grandchild;37817

       (7) Foster caregiver, foster child, foster brother, or foster 37818
sister.37819

       (BB) "Renovation" and "extensive renovation" mean:37820

       (1) Any betterment, improvement, or restoration of an 37821
intermediate care facility for the mentally retarded started 37822
before July 1, 1993, that meets the definition of a renovation or 37823
extensive renovation established in rules adopted by the director 37824
of job and family services in effect on December 22, 1992.37825

       (2) In the case of betterments, improvements, and37826
restorations of intermediate care facilities for the mentally 37827
retarded started on or after July 1, 1993:37828

       (a) "Renovation" means the betterment, improvement, or37829
restoration of an intermediate care facility for the mentally 37830
retarded beyond its current functional capacity through a 37831
structural change that costs at least five hundred dollars per 37832
bed. A renovation may include betterment, improvement, 37833
restoration, or replacement of assets that are affixed to the 37834
building and have a useful life of at least five years. A 37835
renovation may include costs that otherwise would be considered 37836
maintenance and repair expenses if they are an integral part of 37837
the structural change that makes up the renovation project.37838
"Renovation" does not mean construction of additional space for 37839
beds that will be added to a facility's licensed or certified 37840
capacity.37841

       (b) "Extensive renovation" means a renovation that costs more 37842
than sixty-five per cent and no more than eighty-five per cent of 37843
the cost of constructing a new bed and that extends the useful 37844
life of the assets for at least ten years.37845

       For the purposes of division (BB)(2) of this section, the37846
cost of constructing a new bed shall be considered to be forty37847
thousand dollars, adjusted for the estimated rate of inflation37848
from January 1, 1993, to the end of the calendar year during which 37849
the renovation is completed, using the consumer price index for37850
shelter costs for all urban consumers for the north central37851
region, as published by the United States bureau of labor37852
statistics.37853

       The department of job and family services may treat a37854
renovation that costs more than eighty-five per cent of the cost37855
of constructing new beds as an extensive renovation if the37856
department determines that the renovation is more prudent than37857
construction of new beds.37858

       (CC) "Title XIX" means Title XIX of the "Social Security 37859
Act," 79 Stat. 286 (1965), 42 U.S.C. 1396, as amended.37860

        (DD) "Title XVIII" means Title XVIII of the "Social Security 37861
Act," 79 Stat. 286 (1965), 42 U.S.C. 1395, as amended.37862

       Sec. 5111.84. The director of job and family services may not 37863
submit a request to the United States secretary of health and 37864
human services for a medicaid waiver under section 1115 of the 37865
"Social Security Act of 1935," 42 U.S.C. 1315, unless the director 37866
provides the speaker of the house of representatives and president 37867
of the senate written notice of director's intent to submit the 37868
request at least ten days before the date the director submits the 37869
request to the United States secretary. The notice shall include a 37870
detailed explanation of the medicaid waiver the director proposes 37871
to seek.37872

       Sec. 5111.861.  (A) "Home and community-based services 37873
medicaid waiver component" has the same meaning as in section 37874
5111.851 of the Revised Code.37875

       (B) The director shall submit a request to the United States 37876
secretary of health and human services to approve amendments to 37877
one or more home and community-based services medicaid waiver 37878
components to do one or more of the following:37879

       (1) Allow a participant receiving services under a component 37880
to retain eligibility for those services while participating in 37881
the medicaid buy-in program established under section 5111.0119 of 37882
the Revised Code.37883

       (2) Make changes to one or more components so that the 37884
component or components contains one or more features of the 37885
medicaid buy-in program established under section 5111.0119 of the 37886
Revised Code.37887

       Sec. 5111.871.  The department of job and family services37888
shall enter into a contract with the department of mental37889
retardation and developmental disabilities under section 5111.9137890
of the Revised Code with regard to one or more of the components 37891
of the medicaid program established by the department of job and 37892
family services under one or more of the medicaid waivers sought 37893
under section 5111.87 of the Revised Code. The contract shall37894
provide for the department of mental retardation and developmental37895
disabilities to administer the components in accordance with the 37896
terms of the waivers. The directors of job and family services and 37897
mental retardation and developmental disabilities shall adopt37898
rules in accordance with Chapter 119. of the Revised Code37899
governing the components.37900

       If the department of mental retardation and developmental37901
disabilities or the department of job and family services denies37902
an individual's application for home and community-based services37903
provided under any of these medicaid components, the department 37904
that denied the services shall give timely notice to the 37905
individual that the individual may request a hearing under section 37906
5101.35 of the Revised Code.37907

       The departments of mental retardation and developmental37908
disabilities and job and family services may approve, reduce,37909
deny, or terminate a service included in the individualized37910
service plan developed for a medicaid recipient eligible for home37911
and community-based services provided under any of these medicaid 37912
components. The departments shall consider the recommendations a37913
county board of mental retardation and developmental disabilities37914
makes under division (A)(1)(c) of section 5126.055 of the Revised37915
Code. If either department approves, reduces, denies, or37916
terminates a service, that department shall give timely notice to37917
the medicaid recipient that the recipient may request a hearing37918
under section 5101.35 of the Revised Code.37919

       If supported living or residential services, as defined in37920
section 5126.01 of the Revised Code, areis to be provided as a 37921
service under any of these components, any person or government 37922
entity with a current, valid medicaid provider agreement and a 37923
current, valid license under section 5123.19 or certificate under 37924
section 5123.16 or 5126.4315123.161 of the Revised Code may 37925
provide the servicesservice.37926

       If a service is to be provided under any of these components 37927
by a residential facility, as defined in section 5123.19 of the 37928
Revised Code, any person or government entity with a current, 37929
valid medicaid provider agreement and a current, valid license 37930
under section 5123.19 of the Revised Code may provide the service.37931

       Sec. 5111.8814.  An intermediate care facility for the 37932
mentally retarded that converts in whole to providing home and 37933
community-based services under the ICF/MR conversion pilot program 37934
shall either be licensed as a residential facility under section 37935
5123.19 of the Revised Code or certified to provide supported 37936
living under section 5126.4315123.161 of the Revised Code. If an 37937
intermediate care facility for the mentally retarded converts in 37938
part to providing such home and community-based services, the 37939
distinct part of the facility that provides the home and 37940
community-based services shall either be licensed as a residential 37941
facility under section 5123.19 of the Revised Code or certified to 37942
provide supported living under section 5126.4315123.161 of the 37943
Revised Code. The facility or distinct part of the facility shall 37944
be licensed as a residential facility rather than certified to 37945
provide supported living if it meets the definition of 37946
"residential facility" in section 5123.19 of the Revised Code.37947

       Sec. 5111.891.  To be eligible for the assisted living 37948
program, an individual must meet all of the following 37949
requirements:37950

       (A) Need an intermediate level of care as determined under 37951
rule 5101:3-3-06 of the Administrative Code;37952

       (B) At the time the individual applies for the assisted 37953
living program, be one of the following:37954

       (1) A nursing facility resident who is seeking to move to a 37955
residential care facility and would remain in a nursing facility 37956
for long term care if not for the assisted living program;37957

       (2) A participant of any of the following medicaid waiver 37958
components who would move to a nursing facility if not for the 37959
assisted living program:37960

       (a) The PASSPORT program created under section 173.40 of the 37961
Revised Code;37962

       (b) The medicaid waiver component called the choices program 37963
that the department of aging administers;37964

       (c) A medicaid waiver component that the department of job 37965
and family services administers.37966

       (3) A resident of a residential care facility who has resided 37967
in a residential care facility for at least six months immediately 37968
before the date the individual applies for the assisted living 37969
program.37970

       (C) At the time the individual receives assisted living 37971
services under the assisted living program, reside in a 37972
residential care facility, including both of the following: 37973

       (1) A residential care facility that is owned or operated by 37974
a metropolitan housing authority that has a contract with the 37975
United States department of housing and urban development to 37976
receive an operating subsidy or rental assistance for the 37977
residents of the facility;37978

       (2) A county or district home licensed as a residential care 37979
facility.37980

       (D) Meet all other eligibility requirements for the assisted 37981
living program established in rules adopted under section 5111.85 37982
of the Revised Code.37983

       Sec. 5112.341.  (A) In addition to assessing a penalty 37984
pursuant to section 5112.34 of the Revised Code, the department of 37985
job and family services may do either or both of the following if 37986
an intermediate care facility for the mentally retarded fails to 37987
pay the full amount of a franchise permit fee installment when 37988
due:37989

        (1) WithholdOffset an amount less than or equal to the 37990
installment and penalty assessed under section 5112.34 of the 37991
Revised Code from a medicaid payment due the facility until the 37992
facility pays the installment and penalty;37993

        (2) Terminate the facility's medicaid provider agreement.37994

        (B) The department may withholdoffset a medicaid payment 37995
under division (A)(1) of this section without providing notice to 37996
the intermediate care facility for the mentally retarded and 37997
without conducting an adjudication under Chapter 119. of the 37998
Revised Code.37999

       Sec. 5115.12. (A) The director of job and family services 38000
shall adopt rules in accordance with section 111.15 of the Revised 38001
Code governing the disability medical assistance program. The 38002
rules may establish or specify any or all of the following:38003

       (1) Income, resource, citizenship, age, residence, living 38004
arrangement, and other eligibility requirements;38005

        (2) Health services to be included in the program;38006

        (3) The maximum authorized amount, scope, duration, or limit 38007
of payment for services;38008

        (4) Limits on the length of time an individual may receive 38009
disability medical assistance;38010

        (5) Limits on the total number of individuals in the state 38011
who may receive disability medical assistance;38012

       (6) Limits on the number and types of providers eligible to 38013
be reimbursed for services provided to individuals enrolled in the 38014
program.38015

        (B) For purposes of limiting the cost of the disability 38016
medical assistance program, the director may do either of the 38017
following:38018

       (1) Adopt rules in accordance with section 111.15 of the 38019
Revised Code that revise the program's eligibility requirements; 38020
the maximum authorized amount, scope, duration, or limit of 38021
payment for services included in the program; or any other 38022
requirement or standard established or specified by rules adopted 38023
under division (A) of this section or under section 5115.10 of the 38024
Revised Code;38025

       (2) Suspend acceptance of applications for disability medical 38026
assistance. While a suspension is in effect, no person shall 38027
receive a determination or redetermination of eligibility for 38028
disability medical assistance unless the person was receiving the 38029
assistance during the month immediately preceding the suspension's 38030
effective date or the person submitted an application prior to the 38031
suspension's effective date and receives a determination of 38032
eligibility based on that application. The director may adopt 38033
rules in accordance with section 111.15 of the Revised Code 38034
establishing requirements and specifying procedures applicable to 38035
the suspension of acceptance of applications.38036

       Sec. 5119.611. (A) A community mental health agency that 38037
seeks certification of its community mental health services shall 38038
submit an application to the director of mental health. On receipt 38039
of the application, the director may visit and shall evaluate the 38040
agency to determine whether its services satisfy the standards 38041
established by rules adopted under division (D)(C) of this 38042
section. The director shall make the evaluation, and, if the 38043
director visits the agency, shall make the visit, in cooperation 38044
with the board of alcohol, drug addiction, and mental health 38045
services with which the agency seeks to contract under division 38046
(A)(8)(a) of section 340.03 of the Revised Code.38047

        Subject to divisions (B) and (C) of this sectionIf the 38048
director determines that a community mental health agency's 38049
services satisfy the standards and the agency has paid the fee 38050
required under division (B) of this section, the director shall38051
certify a community mental health agency'sthe services that the 38052
director determines satisfy the standards.38053

       If the director determines that a community mental health38054
agency's services do not satisfy the standards, the director shall38055
identify the areas of noncompliance, specify what action is38056
necessary to satisfy the standards, and offer technical assistance38057
to the board of alcohol, drug addiction, and mental health38058
services so that the board may assist the agency in satisfying the38059
standards. The director shall give the agency a reasonable time38060
within which to demonstrate that its services satisfy the38061
standards or to bring the services into compliance with the38062
standards. If the director concludes that the services continue to 38063
fail to satisfy the standards, the director may request that the 38064
board reallocate the funds for the community mental health38065
services the agency was to provide to another community mental38066
health agency whose community mental health services satisfy the38067
standards. If the board does not reallocate those funds in a38068
reasonable period of time, the director may withhold state and38069
federal funds for the community mental health services and38070
allocate those funds directly to a community mental health agency38071
whose community mental health services satisfy the standards.38072

       (B) Each community mental health agency seeking certification 38073
of its community mental health services under this section shall 38074
pay a fee for the certification review required by this section. 38075
Fees shall be paid into the sale of goods and services fund 38076
created pursuant to section 5119.161 of the Revised Code.38077

       (C) The director may certify a community mental health 38078
service only if the service is for individuals whose focus of 38079
treatment is a mental disorder according to the edition of the 38080
American psychiatric association's diagnostic and statistical 38081
manual of mental disorders that is current at the time the 38082
director issues the certification, including such services for 38083
individuals who have a mental disorder and a co-occurring 38084
substance use disorder, substance induced disorder, chronic 38085
dementing organic mental disorder, mental retardation, or 38086
developmental disability. The director may not certify a service 38087
that is for individuals whose focus of treatment is solely a 38088
substance use disorder, substance-induced disorder, chronic 38089
dementing organic mental disorder, mental retardation, or 38090
developmental disability.38091

       (D) The director shall adopt rules in accordance with Chapter 38092
119. of the Revised Code to implement this section. The rules 38093
shall do all of the following:38094

       (1) Establish certification standards for community mental38095
health services, including assertive community treatment and 38096
intensive home-based mental health services, that are consistent 38097
with nationally recognized applicable standards and facilitate 38098
participation in federal assistance programs. The rules shall 38099
include as certification standards only requirements that improve 38100
the quality of services or the health and safety of clients of 38101
community mental health services. The standards shall address at a38102
minimum all of the following:38103

       (a) Reporting major unusual incidents to the director;38104

       (b) Procedures for applicants for and clients of community38105
mental health services to file grievances and complaints;38106

       (c) Seclusion;38107

       (d) Restraint;38108

       (e) Development of written policies addressing the rights of38109
clients, including all of the following:38110

       (i) The right to a copy of the written policies addressing38111
client rights;38112

       (ii) The right at all times to be treated with consideration38113
and respect for the client's privacy and dignity;38114

       (iii) The right to have access to the client's own38115
psychiatric, medical, or other treatment records unless access is38116
specifically restricted in the client's treatment plan for clear38117
treatment reasons;38118

       (iv) The right to have a client rights officer provided by38119
the agency or board of alcohol, drug addiction, and mental health38120
services advise the client of the client's rights, including the38121
client's rights under Chapter 5122. of the Revised Code if the38122
client is committed to the agency or board.38123

       (2) Establish standards for qualifications of mental health38124
professionals as defined in section 340.02 of the Revised Code and38125
personnel who provide the community mental health services;38126

       (3) Establish the process for certification of community38127
mental health services;38128

       (4) Set the amount of certification review fees based on a38129
portion of the cost of performing the review;38130

       (5) Specify the type of notice and hearing to be provided38131
prior to a decision on whether to reallocate funds.38132

       Sec. 5123.01.  As used in this chapter:38133

       (A) "Chief medical officer" means the licensed physician38134
appointed by the managing officer of an institution for the38135
mentally retarded with the approval of the director of mental38136
retardation and developmental disabilities to provide medical38137
treatment for residents of the institution.38138

       (B) "Chief program director" means a person with special38139
training and experience in the diagnosis and management of the38140
mentally retarded, certified according to division (C) of this38141
section in at least one of the designated fields, and appointed by38142
the managing officer of an institution for the mentally retarded38143
with the approval of the director to provide habilitation and care38144
for residents of the institution.38145

       (C) "Comprehensive evaluation" means a study, including a38146
sequence of observations and examinations, of a person leading to38147
conclusions and recommendations formulated jointly, with38148
dissenting opinions if any, by a group of persons with special38149
training and experience in the diagnosis and management of persons38150
with mental retardation or a developmental disability, which group38151
shall include individuals who are professionally qualified in the38152
fields of medicine, psychology, and social work, together with38153
such other specialists as the individual case may require.38154

       (D) "Education" means the process of formal training and38155
instruction to facilitate the intellectual and emotional38156
development of residents.38157

       (E) "Habilitation" means the process by which the staff of38158
the institution assists the resident in acquiring and maintaining38159
those life skills that enable the resident to cope more38160
effectively with the demands of the resident's own person and of38161
the resident's environment and in raising the level of the38162
resident's physical, mental, social, and vocational efficiency.38163
Habilitation includes but is not limited to programs of formal,38164
structured education and training.38165

       (F) "Health officer" means any public health physician,38166
public health nurse, or other person authorized or designated by a38167
city or general health district.38168

       (G) "Home and community-based services" means medicaid-funded 38169
home and community-based services specified in division (B)(1) of 38170
section 5111.87 of the Revised Code provided under the medicaid 38171
waiver components the department of mental retardation and38172
developmental disabilities administers pursuant to section38173
5111.871 of the Revised Code.38174

       (H) "Indigent person" means a person who is unable, without38175
substantial financial hardship, to provide for the payment of an38176
attorney and for other necessary expenses of legal representation,38177
including expert testimony.38178

       (I) "Institution" means a public or private facility, or a38179
part of a public or private facility, that is licensed by the38180
appropriate state department and is equipped to provide38181
residential habilitation, care, and treatment for the mentally38182
retarded.38183

       (J) "Licensed physician" means a person who holds a valid38184
certificate issued under Chapter 4731. of the Revised Code38185
authorizing the person to practice medicine and surgery or38186
osteopathic medicine and surgery, or a medical officer of the38187
government of the United States while in the performance of the38188
officer's official duties.38189

       (K) "Managing officer" means a person who is appointed by the38190
director of mental retardation and developmental disabilities to38191
be in executive control of an institution for the mentally38192
retarded under the jurisdiction of the department.38193

       (L) "Medicaid" has the same meaning as in section 5111.01 of38194
the Revised Code.38195

       (M) "Medicaid case management services" means case management 38196
services provided to an individual with mental retardation or 38197
other developmental disability that the state medicaid plan 38198
requires.38199

       (N) "Mentally retarded person" means a person having38200
significantly subaverage general intellectual functioning existing38201
concurrently with deficiencies in adaptive behavior, manifested38202
during the developmental period.38203

       (O) "Mentally retarded person subject to institutionalization38204
by court order" means a person eighteen years of age or older who38205
is at least moderately mentally retarded and in relation to whom,38206
because of the person's retardation, either of the following38207
conditions exist:38208

       (1) The person represents a very substantial risk of physical 38209
impairment or injury to self as manifested by evidence that the 38210
person is unable to provide for and is not providing for the 38211
person's most basic physical needs and that provision for those38212
needs is not available in the community;38213

       (2) The person needs and is susceptible to significant38214
habilitation in an institution.38215

       (P) "A person who is at least moderately mentally retarded"38216
means a person who is found, following a comprehensive evaluation,38217
to be impaired in adaptive behavior to a moderate degree and to be38218
functioning at the moderate level of intellectual functioning in38219
accordance with standard measurements as recorded in the most38220
current revision of the manual of terminology and classification38221
in mental retardation published by the American association on38222
mental retardation.38223

       (Q) As used in this division, "substantial functional38224
limitation," "developmental delay," and "established risk" have38225
the meanings established pursuant to section 5123.011 of the38226
Revised Code.38227

       "Developmental disability" means a severe, chronic disability38228
that is characterized by all of the following:38229

       (1) It is attributable to a mental or physical impairment or38230
a combination of mental and physical impairments, other than a38231
mental or physical impairment solely caused by mental illness as38232
defined in division (A) of section 5122.01 of the Revised Code.38233

       (2) It is manifested before age twenty-two.38234

       (3) It is likely to continue indefinitely.38235

       (4) It results in one of the following:38236

       (a) In the case of a person under three years of age, at38237
least one developmental delay or an established risk;38238

       (b) In the case of a person at least three years of age but38239
under six years of age, at least two developmental delays or an38240
established risk;38241

       (c) In the case of a person six years of age or older, a38242
substantial functional limitation in at least three of the38243
following areas of major life activity, as appropriate for the38244
person's age: self-care, receptive and expressive language,38245
learning, mobility, self-direction, capacity for independent38246
living, and, if the person is at least sixteen years of age,38247
capacity for economic self-sufficiency.38248

       (5) It causes the person to need a combination and sequence38249
of special, interdisciplinary, or other type of care, treatment,38250
or provision of services for an extended period of time that is38251
individually planned and coordinated for the person.38252

       (R) "Developmentally disabled person" means a person with a38253
developmental disability.38254

       (S) "State institution" means an institution that is38255
tax-supported and under the jurisdiction of the department.38256

       (T) "Residence" and "legal residence" have the same meaning38257
as "legal settlement," which is acquired by residing in Ohio for a38258
period of one year without receiving general assistance prior to38259
July 17, 1995, under former Chapter 5113. of the Revised Code, 38260
financial assistance under Chapter 5115. of the Revised Code, or38261
assistance from a private agency that maintains records of38262
assistance given. A person having a legal settlement in the state38263
shall be considered as having legal settlement in the assistance38264
area in which the person resides. No adult person coming into this38265
state and having a spouse or minor children residing in another 38266
state shall obtain a legal settlement in this state as long as the 38267
spouse or minor children are receiving public assistance, care, or 38268
support at the expense of the other state or its subdivisions. For 38269
the purpose of determining the legal settlement of a person who is 38270
living in a public or private institution or in a home subject to 38271
licensing by the department of job and family services, the38272
department of mental health, or the department of mental 38273
retardation and developmental disabilities, the residence of the 38274
person shall be considered as though the person were residing in 38275
the county in which the person was living prior to the person's 38276
entrance into the institution or home. Settlement once acquired 38277
shall continue until a person has been continuously absent from 38278
Ohio for a period of one year or has acquired a legal residence in 38279
another state. A woman who marries a man with legal settlement in 38280
any county immediately acquires the settlement of her husband. The 38281
legal settlement of a minor is that of the parents, surviving 38282
parent, sole parent, parent who is designated the residential 38283
parent and legal custodian by a court, other adult having 38284
permanent custody awarded by a court, or guardian of the person of 38285
the minor, provided that:38286

       (1) A minor female who marries shall be considered to have38287
the legal settlement of her husband and, in the case of death of38288
her husband or divorce, she shall not thereby lose her legal38289
settlement obtained by the marriage.38290

       (2) A minor male who marries, establishes a home, and who has 38291
resided in this state for one year without receiving general38292
assistance prior to July 17, 1995, under former Chapter 5113. of38293
the Revised Code, financial assistance under Chapter 5115. of the38294
Revised Code, or assistance from a private agency that maintains38295
records of assistance given shall be considered to have obtained a38296
legal settlement in this state.38297

       (3) The legal settlement of a child under eighteen years of38298
age who is in the care or custody of a public or private child38299
caring agency shall not change if the legal settlement of the38300
parent changes until after the child has been in the home of the38301
parent for a period of one year.38302

       No person, adult or minor, may establish a legal settlement38303
in this state for the purpose of gaining admission to any state38304
institution.38305

       (U)(1) "Resident" means, subject to division (R)(2) of this38306
section, a person who is admitted either voluntarily or38307
involuntarily to an institution or other facility pursuant to38308
section 2945.39, 2945.40, 2945.401, or 2945.402 of the Revised38309
Code subsequent to a finding of not guilty by reason of insanity38310
or incompetence to stand trial or under this chapter who is under38311
observation or receiving habilitation and care in an institution.38312

       (2) "Resident" does not include a person admitted to an38313
institution or other facility under section 2945.39, 2945.40,38314
2945.401, or 2945.402 of the Revised Code to the extent that the38315
reference in this chapter to resident, or the context in which the38316
reference occurs, is in conflict with any provision of sections38317
2945.37 to 2945.402 of the Revised Code.38318

       (V) "Respondent" means the person whose detention,38319
commitment, or continued commitment is being sought in any38320
proceeding under this chapter.38321

       (W) "Working day" and "court day" mean Monday, Tuesday,38322
Wednesday, Thursday, and Friday, except when such day is a legal38323
holiday.38324

       (X) "Prosecutor" means the prosecuting attorney, village38325
solicitor, city director of law, or similar chief legal officer38326
who prosecuted a criminal case in which a person was found not38327
guilty by reason of insanity, who would have had the authority to38328
prosecute a criminal case against a person if the person had not38329
been found incompetent to stand trial, or who prosecuted a case in38330
which a person was found guilty.38331

       (Y) "Court" means the probate division of the court of common38332
pleas.38333

       (Z) "Supported living" has the same meaning as in section 38334
5126.01 of the Revised Code.38335

       Sec. 5123.033. The program fee fund is hereby created in the 38336
state treasury. All fees collected pursuant to sections 5123.161, 38337
5123.164, 5123.19, and 5126.25 of the Revised Code shall be 38338
credited to the fund. Money credited to the fund shall be used 38339
solely for the department of mental retardation and developmental 38340
disabilities' duties under sections 5123.16 to 5123.169, 5123.19, 38341
and 5126.25 of the Revised Code and to provide continuing 38342
education and professional training to employees of county boards 38343
of mental retardation and developmental disabilities for the 38344
purpose of section 5126.25 of the Revised Code and other providers 38345
of services to individuals with mental retardation or a 38346
developmental disability. If the money credited to the fund is 38347
inadequate to pay all of the department's costs in performing 38348
those duties and providing the continuing education and 38349
professional training, the department may use other available 38350
funds appropriated to the department to pay the remaining costs of 38351
performing those duties and providing the continuing education and 38352
professional training.38353

       Sec. 5123.043.  (A) The director of mental retardation and38354
developmental disabilities shall adopt rules establishing38355
procedures for administrative resolution of complaints filed under38356
division (B) of this section and section 5126.06 of the Revised38357
Code. The rules shall be adopted in accordance with Chapter 119.38358
of the Revised Code.38359

       (B) Except as provided in division (C) of this section, any38360
person or county board of mental retardation and developmental38361
disabilities that has a complaint involving any of the programs,38362
services, policies, or administrative practices of the department38363
of mental retardation and developmental disabilities or any of the38364
entities under contract with the department, may file a complaint38365
with the department. Prior to commencing a civil action regarding38366
the complaint, a person or county board shall attempt to have the38367
complaint resolved through the administrative resolution process38368
established in the rules adopted under this section. After38369
exhausting the administrative resolution process, the person or38370
county board may commence a civil action if the complaint is not38371
settled to the person's or county board's satisfaction.38372

       (C) An employee of the department may not file under this38373
section a complaint related to the terms and conditions of38374
employment for the employee.38375

       (D) This section does not apply to a conflict between a38376
county board of mental retardation and developmental disabilities38377
and a person or government entity that provides or seeks to38378
provide services to an individual with mental retardation or other38379
developmental disability. Section 5126.036 of the Revised Code38380
applies to such a conflict.38381

       Sec. 5123.045.  No person or government entity shall receive 38382
payment for providing home and community-based services unless the 38383
person or government entity is one of the following:38384

       (A) Certified under section 5123.165123.161 of the Revised 38385
Code;38386

       (B) Licensed as a residential facility under section 5123.1938387
of the Revised Code. 38388

       Sec. 5123.047. (A) The department of mental retardation and 38389
developmental disabilities shall pay the nonfederal share of38390
medicaid expenditures for medicaid case management services if the 38391
services are provided to an individual with mental retardation or 38392
other developmental disability who a county board of mental 38393
retardation and developmental disabilities has determined under 38394
section 5126.041 of the Revised Code is not eligible for county 38395
board services.38396

       (B) The department shall pay the nonfederal share of medicaid 38397
expenditures forand home and community-based services if any of 38398
the following apply:38399

       (1) The services are provided to an individual with mental38400
retardation or other developmental disability who a county board38401
has determined under section 5126.041 of the Revised Code is not38402
eligible for county board services;38403

       (2) The services are provided to an individual with mental38404
retardation or other developmental disability given priority for38405
the services pursuant to division (D)(3) of section 5126.042 of38406
the Revised Code. The department shall pay the nonfederal share of 38407
medicaid expenditures for home and community-based services38408
provided to such an individual for as long as the individual38409
continues to be eligible for and receive the services, regardless38410
of whether the services are provided after June 30, 2003.38411

       (3) An agreement entered into under section 5123.048 of the 38412
Revised Code requires that the department pay the nonfederal share 38413
of medicaid expenditures for the servicesfor which no county 38414
board of mental retardation and developmental disabilities is 38415
required by section 5126.059 or 5126.0510 of the Revised Code to 38416
pay.38417

       Sec. 5123.048. The director of mental retardation and 38418
developmental disabilities may enter into an agreement with a 38419
county board of mental retardation and developmental disabilities 38420
under which the department of mental retardation and developmental 38421
disabilities is to pay the nonfederal share of medicaid 38422
expenditures for one or more of the home and community-based 38423
services provided to individuals with mental retardation or other 38424
developmental disability residing in the county served bythat the 38425
county board would, if not for the agreement, be required by 38426
section 5126.0510 of the Revised Code to pay. The agreement shall 38427
specify which home and community-based services the agreement 38428
covers. The department shall pay the nonfederal share of medicaid 38429
expenditures for the home and community-based services that the 38430
agreement covers as long as the agreement is in effect.38431

       Sec. 5123.049. The director of mental retardation and38432
developmental disabilities shall adopt rules in accordance with38433
Chapter 119. of the Revised Code governing the authorization and38434
payment of home and community-based services and medicaid case38435
management services. The rules shall provide for private providers 38436
of the services to receive one hundred per cent of the medicaid 38437
allowable payment amount and for government providers of the 38438
services to receive the federal share of the medicaid allowable 38439
payment, less the amount withheld as a fee under section 5123.0412 38440
of the Revised Code and any amount that may be required by rules 38441
adopted under section 5123.0413 of the Revised Code to be 38442
deposited into the state MR/DD risk fund. The rules shall 38443
establish the process by which county boards of mental retardation 38444
and developmental disabilities shall certify and provide the 38445
nonfederal share of medicaid expenditures that the county board is 38446
required by division (A) of section 5126.057sections 5126.059 and 38447
5126.0510 of the Revised Code to pay. The process shall require a38448
county board to certify that the county board has funding38449
available at one time for two months costs for those expenditures.38450
The process may permit a county board to certify that the county38451
board has funding available at one time for more than two months38452
costs for those expenditures.38453

       Sec. 5123.0411. The department of mental retardation and38454
developmental disabilities may bring a mandamus action against a38455
county board of mental retardation and developmental disabilities38456
that fails to pay the nonfederal share of medicaid expenditures38457
that the county board is required by division (A) of section 38458
5126.057sections 5126.059 and 5126.0510 of the Revised Code to 38459
pay. The department may bring the mandamus action in the court of 38460
common pleas of the county served by the county board or in the 38461
Franklin county court of common pleas.38462

       Sec. 5123.0414. (A) When the director of mental retardation 38463
and developmental disabilities, under section 119.07 of the 38464
Revised Code, sends a party a notice by registered mail, return 38465
receipt requested, that the director intends to take action 38466
against the party authorized by section 5123.082, 5123.166, 38467
5123.168, 5123.19, 5123.45, 5123.51, or 5126.25 of the Revised 38468
Code and the notice is returned to the director with an 38469
endorsement indicating that the notice was refused or unclaimed, 38470
the director shall resend the notice by ordinary mail to the 38471
party.38472

        (B) If the original notice was refused, the notice shall be 38473
deemed received as of the date the director resends the notice.38474

        (C) If the original notice was unclaimed, the notice shall be 38475
deemed received as of the date the director resends the notice 38476
unless, not later than thirty days after the date the director 38477
sent the original notice, the resent notice is returned to the 38478
director for failure of delivery.38479

       If the notice concerns taking action under section 5123.51 of 38480
the Revised Code and the resent notice is returned to the director 38481
for failure of delivery not later than thirty days after the date 38482
the director sent the original notice, the director shall cause 38483
the notice to be published in a newspaper of general circulation 38484
in the county of the party's last known residence or business and 38485
shall mail a dated copy of the published notice to the party at 38486
the last known address. The notice shall be deemed received as of 38487
the date of the publication.38488

        If the notice concerns taking action under section 5123.082, 38489
5123.166, 5123.168, 5123.19, 5123.45, or 5126.25 of the Revised 38490
Code and the resent notice is returned to the director for failure 38491
of delivery not later than thirty days after the date the director 38492
sent the original notice, the director shall resend the notice to 38493
the party a second time. The notice shall be deemed received as of 38494
the date the director resends the notice the second time.38495

       Sec. 5123.0415. As used in this section, "license" means a 38496
license, certificate, or evidence of registration.38497

       Each person and government entity that applies for or holds a 38498
valid license issued under section 5123.082, 5123.161, 5123.19, 38499
5123.45, 5126.25, or 5126.252 of the Revised Code shall notify the 38500
director of mental retardation and developmental disabilities of 38501
any change in the person or government entity's address.38502

       Sec. 5123.0416.  (A) Subject to the availability of funds 38503
appropriated to the department of mental retardation and 38504
developmental disabilities for medicaid waiver state match, the 38505
department shall expend, in fiscal year 2009 and each fiscal year 38506
thereafter, not less than the amount appropriated in appropriation 38507
item 322-416, medicaid waiver – state match, in fiscal year 2008 38508
to do both of the following:38509

       (1) Pay the nonfederal share of medicaid expenditures for 38510
home and community-based services that section 5123.047 of the 38511
Revised Code requires the department to pay;38512

       (2) Assist county boards of mental retardation and 38513
developmental disabilities in paying the nonfederal share of 38514
medicaid expenditures for home and community-based services that 38515
section 5126.0510 of the Revised Code requires county boards to 38516
pay.38517

       (B) The department may make the expenditures required by 38518
division (A)(2) of this section in the form of allocations to 38519
county boards or by other means. If the department makes the 38520
expenditures in the form of allocations, the process for making 38521
the allocations shall conform to a process the department shall 38522
establish after consulting with representatives of county boards.38523

       Sec. 5123.051.  (A) If the department of mental retardation 38524
and developmental disabilities determines pursuant to an audit 38525
conducted under section 5123.05 of the Revised Code or a 38526
reconciliation conducted under section 5123.18 or 5123.199 of the 38527
Revised Code that money is owed the state by a provider of a38528
service or program, the department may enter into a payment 38529
agreement with the provider. The agreement shall include the 38530
following:38531

       (1) A schedule of installment payments whereby the money owed 38532
the state is to be paid in full within a period not to exceed one 38533
year;38534

       (2) A provision that the provider may pay the entire balance 38535
owed at any time during the term of the agreement;38536

       (3) A provision that if any installment is not paid in full 38537
within forty-five days after it is due, the entire balance owed is 38538
immediately due and payable;38539

       (4) Any other terms and conditions that are agreed to by the 38540
department and the provider.38541

       (B) The department may include a provision in a payment 38542
agreement that requires the provider to pay interest on the money 38543
owed the state. The department, in its discretion, shall determine 38544
whether to require the payment of interest and, if it so requires, 38545
the rate of interest. Neither the obligation to pay interest nor 38546
the rate of interest is subject to negotiation between the 38547
department and the provider.38548

       (C) If the provider fails to pay any installment in full 38549
within forty-five days after its due date, the department shall 38550
certify the entire balance owed to the attorney general for 38551
collection under section 131.02 of the Revised Code. The 38552
department may withhold funds from payments made to a provider 38553
under section 5123.18 or 5123.199 of the Revised Code to satisfy a38554
judgment secured by the attorney general.38555

       (D) The purchase of service fund is hereby created. Money 38556
credited to the fund shall be used solely for purposes of section 38557
5123.05 of the Revised Code.38558

       Sec. 5123.16.  (A) As used in sections 5123.16 to 5123.169 of 38559
the Revised Code:38560

       (1) "Provider" means a person or government entity certified 38561
by the director of mental retardation and developmental 38562
disabilities to provide supported living.38563

       (2) "Related party" means any of the following:38564

       (a) In the case of a provider who is an individual, any of 38565
the following:38566

       (i) The spouse of the provider;38567

       (ii) A parent or stepparent of the provider or provider's 38568
spouse;38569

       (iii) A child of the provider or provider's spouse;38570

       (iv) A sibling, half sibling, or stepsibling of the provider 38571
or provider's spouse;38572

       (v) A grandparent of the provider or provider's spouse;38573

       (vi) A grandchild of the provider or provider's spouse;38574

       (vii) An employee or employer of the provider or provider's 38575
spouse.38576

       (b) In the case of a provider that is a person other than an 38577
individual, any of the following:38578

       (i) An employee of the person;38579

       (ii) An officer of the provider, including the chief 38580
executive officer, president, vice-president, secretary, and 38581
treasurer;38582

       (iii) A member of the provider's board of directors or 38583
trustees;38584

       (iv) A person owning a financial interest of five per cent or 38585
more in the provider;38586

       (v) A corporation that has a subsidiary relationship with the 38587
provider;38588

       (vi) A person or government entity that has control over the 38589
provider's day-to-day operation;38590

       (vii) A person over which the provider has control of the 38591
day-to-day operation.38592

       (c) In the case of a provider that is a government entity, 38593
any of the following:38594

       (i) An employee of the provider;38595

       (ii) An officer of the provider;38596

       (iii) A member of the provider's governing board;38597

       (iv) A government entity that has control over the provider's 38598
day-to-day operation;38599

       (v) A person or government entity over which the provider has 38600
control of the day-to-day operation.38601

       (B) No person or government entity may provide supported 38602
living without a valid supported living certificate issued by the 38603
director of mental retardation and developmental disabilities.38604

       (C) A county board of mental retardation and developmental 38605
disabilities may provide supported living only to the extent 38606
permitted by rules adopted under section 5123.169 of the Revised 38607
Code.38608

       Sec. 5123.161.  A person or government entity that seeks to 38609
provide supported living shall apply to the director of mental 38610
retardation and developmental disabilities for a supported living 38611
certificate.38612

        Except as provided in section 5123.166 of the Revised Code, 38613
the director shall issue the applicant a supported living 38614
certificate if the applicant follows the application process 38615
established in rules adopted under section 5123.169 of the Revised 38616
Code, meets the applicable certification standards established in 38617
those rules, and pays the certification fee established in those 38618
rules.38619

       Sec. 5123.162.  The director of mental retardation and 38620
developmental disabilities may conduct surveys of persons and 38621
government entities that seek a supported living certificate to 38622
determine whether the persons and government entities meet the 38623
certification standards. The director may also conduct surveys of 38624
providers to determine whether the providers continue to meet the 38625
certification standards. The director shall conduct the surveys in 38626
accordance with rules adopted under section 5123.169 of the 38627
Revised Code.38628

       The records of surveys conducted under this section are 38629
public records for the purpose of section 149.43 of the Revised 38630
Code and shall be made available on the request of any person or 38631
government entity.38632

       Sec. 5123.163.  A supported living certificate is valid for a 38633
period of time established in rules adopted under section 5123.169 38634
of the Revised Code, unless any of the following occur before the 38635
end of that period of time:38636

        (A) The director of mental retardation and developmental 38637
disabilities issues an order requiring that action be taken 38638
against the certificate holder under section 5123.166 of the 38639
Revised Code.38640

        (B) The director issues an order terminating the certificate 38641
under section 5123.168 of the Revised Code.38642

        (C) The certificate holder voluntarily surrenders the 38643
certificate to the director.38644

       Sec. 5123.164. Except as provided in section 5123.166 of the 38645
Revised Code, the director of mental retardation and developmental 38646
disabilities shall renew a supported living certificate if the 38647
certificate holder follows the renewal process established in 38648
rules adopted under section 5123.169 of the Revised Code, 38649
continues to meet the applicable certification standards 38650
established in those rules, and pays the renewal fee established 38651
in those rules.38652

       Sec. 5123.165.  (A) Except as provided in division (B) of 38653
this section, no person or government entity may provide supported 38654
living to an individual with mental retardation or a developmental 38655
disability if the person or government entity or a related party 38656
of the person or government entity also provides the individual a 38657
residence.38658

       (B) A person may provide supported living to an individual 38659
with mental retardation or a developmental disability even though 38660
the person or a related party of the person also provides the 38661
individual a residence if either of the following apply:38662

       (1) The person also resides in the residence with the 38663
individual and does not provide at any one time supported living 38664
to more than a total of three individuals with mental retardation 38665
or a developmental disability who reside in that residence;38666

       (2) The person is an association of family members related to 38667
two or more of the individuals with mental retardation or a 38668
developmental disability who reside in the residence and does not 38669
provide at any one time supported living to more than a total of 38670
four individuals with mental retardation or a developmental 38671
disability who reside in that residence.38672

       Sec. 5123.166.  (A) If good cause exists as specified in 38673
division (B) of this section and determined in accordance with 38674
procedures established in rules adopted under section 5123.169 of 38675
the Revised Code, the director of mental retardation and 38676
developmental disabilities may issue an adjudication order 38677
requiring that one of the following actions be taken against a 38678
person or government entity seeking or holding a supported living 38679
certificate:38680

       (1) Refusal to issue or renew a supported living certificate;38681

       (2) Revocation of a supported living certificate;38682

       (3) Suspension of a supported living certificate holder's 38683
authority to do either or both of the following:38684

        (a) Continue to provide supported living to one or more 38685
individuals from one or more counties who receive supported living 38686
from the certificate holder at the time the director takes the 38687
action;38688

        (b) Begin to provide supported living to one or more 38689
individuals from one or more counties who do not receive supported 38690
living from the certificate holder at the time the director takes 38691
the action.38692

       (B) The following constitute good cause for taking action 38693
under division (A) of this section against a person or government 38694
entity seeking or holding a supported living certificate:38695

       (1) The person or government entity's failure to meet or 38696
continue to meet the applicable certification standards 38697
established in rules adopted under section 5123.169 of the Revised 38698
Code;38699

       (2) The person or government entity violates section 5123.165 38700
of the Revised Code;38701

       (3) The person or government entity's failure to satisfy the 38702
requirements of section 5123.52, 5126.28, or 5126.281 of the 38703
Revised Code;38704

       (4) Misfeasance;38705

       (5) Malfeasance;38706

       (6) Nonfeasance;38707

       (7) Confirmed abuse or neglect;38708

       (8) Financial irresponsibility;38709

       (9) Other conduct the director determines is or would be 38710
injurious to individuals who receive or would receive supported 38711
living from the person or government entity.38712

       (C) Except as provided in division (D) of this section, the 38713
director shall issue an adjudication order under division (A) of 38714
this section in accordance with Chapter 119. of the Revised Code.38715

       (D)(1) The director may issue an order requiring that action 38716
specified in division (A)(3) of this section be taken before a 38717
provider is provided notice and an opportunity for a hearing if 38718
all of the following are the case:38719

       (a) The director determines such action is warranted by the 38720
provider's failure to continue to meet the applicable 38721
certification standards;38722

       (b) The director determines that the failure either 38723
represents a pattern of serious noncompliance or creates a 38724
substantial risk to the health or safety of an individual who 38725
receives or would receive supported living from the provider;38726

        (c) If the order will suspend the provider's authority to 38727
continue to provide supported living to an individual who receives 38728
supported living from the provider at the time the director issues 38729
the order, both of the following are the case:38730

        (i) The director makes the individual, or the individual's 38731
guardian, aware of the director's determination under division 38732
(D)(1)(b) of this section and the individual or guardian does not 38733
select another provider.38734

        (ii) A county board of mental retardation and developmental 38735
disabilities has filed a complaint with a probate court under 38736
section 5123.33 of the Revised Code that includes facts describing 38737
the nature of abuse or neglect that the individual has suffered 38738
due to the provider's actions that are the basis for the director 38739
making the determination under division (D)(1)(b) of this section 38740
and the probate court does not issue an order authorizing the 38741
county board to arrange services for the individual pursuant to an 38742
individualized service plan developed for the individual under 38743
section 5123.31 of the Revised Code.38744

       (2) If the director issues an order under division (D)(1) of 38745
this section, sections 119.091 to 119.13 of the Revised Code and 38746
all of the following apply:38747

       (a) The director shall send the provider notice of the order 38748
by registered mail, return receipt requested, not later than 38749
twenty-four hours after issuing the order and shall include in the 38750
notice the reasons for the order, the citation to the law or rule 38751
directly involved, and a statement that the provider will be 38752
afforded a hearing if the provider requests it within ten days of 38753
the time of receiving the notice.38754

       (b) If the provider requests a hearing within the required 38755
time and the provider has provided the director the provider's 38756
current address, the director shall immediately set, and notify 38757
the provider of, the date, time, and place for the hearing.38758

       (c) The date of the hearing shall be not later than thirty 38759
days after the director receives the provider's timely request for 38760
the hearing.38761

       (d) The hearing shall be conducted in accordance with section 38762
119.09 of the Revised Code, except for all of the following:38763

       (i) The hearing shall continue uninterrupted until its close, 38764
except for weekends, legal holidays, and other interruptions the 38765
provider and director agree to.38766

       (ii) If the director appoints a referee or examiner to 38767
conduct the hearing, the referee or examiner, not later than ten 38768
days after the date the referee or examiner receives a transcript 38769
of the testimony and evidence presented at the hearing or, if the 38770
referee or examiner does not receive the transcript or no such 38771
transcript is made, the date that the referee or examiner closes 38772
the record of the hearing, shall submit to the director a written 38773
report setting forth the referee or examiner's findings of fact 38774
and conclusions of law and a recommendation of the action the 38775
director should take.38776

       (iii) The provider may, not later than five days after the 38777
date the director, in accordance with section 119.09 of the 38778
Revised Code, sends the provider or the provider's attorney or 38779
other representative of record a copy of the referee or examiner's 38780
report and recommendation, file with the director written 38781
objections to the report and recommendation.38782

       (iv) The director shall approve, modify, or disapprove the 38783
referee or examiner's report and recommendation not earlier than 38784
six days, and not later than fifteen days, after the date the 38785
director, in accordance with section 119.09 of the Revised Code, 38786
sends a copy of the report and recommendation to the provider or 38787
the provider's attorney or other representative of record.38788

       (3) The director may lift an order issued under division 38789
(D)(1) of this section even though a hearing regarding the order 38790
is occurring or pending if the director determines that the 38791
provider has taken action eliminating the good cause for issuing 38792
the order. The hearing shall proceed unless the provider withdraws 38793
the request for the hearing in a written letter to the director.38794

       (4) The director shall lift an order issued under division 38795
(D)(1) of this section if both of the following are the case:38796

        (a) The provider provides the director a plan of compliance 38797
the director determines is acceptable.38798

        (b) The director determines that the provider has implemented 38799
the plan of compliance correctly.38800

       Sec. 5123.167.  If the director of mental retardation and 38801
developmental disabilities issues an adjudication order under 38802
section 5123.166 of the Revised Code refusing to issue a supported 38803
living certificate to a person or government entity or to renew a 38804
person or government entity's supported living certificate, 38805
neither the person or government entity nor a related party of the 38806
person or government entity may apply for another supported living 38807
certificate earlier than the date that is one year after the date 38808
the order is issued. If the director issues an adjudication order 38809
under that section revoking a person or government entity's 38810
supported living certificate, neither the person or government 38811
entity nor a related party of the person or government entity may 38812
apply for another supported living certificate earlier than the 38813
date that is five years after the date the order is issued.38814

       Sec. 5123.168. The director of mental retardation and 38815
developmental disabilities may issue an adjudication order in 38816
accordance with Chapter 119. of the Revised Code to terminate a 38817
supported living certificate if the certificate holder has not 38818
billed for supported living for twelve consecutive months.38819

       Sec. 5123.169.  The director of mental retardation and 38820
developmental disabilities shall adopt rules under Chapter 119. of 38821
the Revised Code establishing all of the following:38822

       (A) The extent to which a county board of mental retardation 38823
and developmental disabilities may provide supported living;38824

       (B) The application process for obtaining a supported living 38825
certificate under section 5123.161 of the Revised Code;38826

       (C) The certification standards a person or government entity 38827
must meet to obtain a supported living certificate to provide 38828
supported living;38829

       (D) The certification fee for a supported living certificate, 38830
which shall be deposited into the program fee fund created under 38831
section 5123.033 of the Revised Code;38832

       (E) The period of time a supported living certificate is 38833
valid;38834

       (F) The process for renewing a supported living certificate 38835
under section 5123.164 of the Revised Code;38836

       (G) The renewal fee for a supported living certificate, which 38837
shall be deposited into the program fee fund created under section 38838
5123.033 of the Revised Code;38839

       (H) Procedures for conducting surveys under section 5123.162 38840
of the Revised Code;38841

       (I) Procedures for determining whether there is good cause to 38842
take action under section 5123.166 of the Revised Code against a 38843
person or government entity seeking or holding a supported living 38844
certificate.38845

       Sec. 5123.19.  (A) As used in this section and in sections38846
5123.191, 5123.194, 5123.196, 5123.198, and 5123.20 of the Revised 38847
Code:38848

       (1)(a) "Residential facility" means a home or facility in38849
which a mentally retarded or developmentally disabled person38850
resides, except the home of a relative or legal guardian in which38851
a mentally retarded or developmentally disabled person resides, a38852
respite care home certified under section 5126.05 of the Revised38853
Code, a county home or district home operated pursuant to Chapter38854
5155. of the Revised Code, or a dwelling in which the only38855
mentally retarded or developmentally disabled residents are in an38856
independent living arrangement or are being provided supported38857
living.38858

        (b) "Intermediate care facility for the mentally retarded" 38859
means a residential facility that is considered an intermediate 38860
care facility for the mentally retarded for the purposes of 38861
Chapter 5111. of the Revised Code.38862

       (2) "Political subdivision" means a municipal corporation,38863
county, or township.38864

       (3) "Independent living arrangement" means an arrangement in38865
which a mentally retarded or developmentally disabled person38866
resides in an individualized setting chosen by the person or the38867
person's guardian, which is not dedicated principally to the38868
provision of residential services for mentally retarded or38869
developmentally disabled persons, and for which no financial38870
support is received for rendering such service from any38871
governmental agency by a provider of residential services.38872

       (4) "Supported living" has the same meaning as in section38873
5126.01 of the Revised Code.38874

       (5) "Licensee" means the person or government agency that has 38875
applied for a license to operate a residential facility and to38876
which the license was issued under this section.38877

       (5) "Related party" has the same meaning as in section 38878
5123.16 of the Revised Code except that "provider" as used in the 38879
definition of "related party" means a person or government entity 38880
that held or applied for a license to operate a residential 38881
facility, rather than a person or government entity certified to 38882
provide supported living.38883

       (B) Every person or government agency desiring to operate a38884
residential facility shall apply for licensure of the facility to38885
the director of mental retardation and developmental disabilities38886
unless the residential facility is subject to section 3721.02,38887
3722.04, 5103.03, or 5119.20 of the Revised Code. Notwithstanding38888
Chapter 3721. of the Revised Code, a nursing home that is38889
certified as an intermediate care facility for the mentally38890
retarded under Title XIX of the "Social Security Act," 79 Stat. 38891
286 (1965), 42 U.S.C.A. 1396, as amended, shall apply for 38892
licensure of the portion of the home that is certified as an38893
intermediate care facility for the mentally retarded.38894

       (C) Subject to section 5123.196 of the Revised Code, the 38895
director of mental retardation and developmental disabilities 38896
shall license the operation of residential facilities. An initial 38897
license shall be issued for a period that does not exceed one 38898
year, unless the director denies the license under division (D) of 38899
this section. A license shall be renewed for a period that does 38900
not exceed three years, unless the director refuses to renew the 38901
license under division (D) of this section. The director, when38902
issuing or renewing a license, shall specify the period for which38903
the license is being issued or renewed. A license remains valid38904
for the length of the licensing period specified by the director,38905
unless the license is terminated, revoked, or voluntarily38906
surrendered.38907

       (D) If it is determined that an applicant or licensee is not 38908
in compliance with a provision of this chapter that applies to38909
residential facilities or the rules adopted under such a38910
provision, the director may deny issuance of a license, refuse to38911
renew a license, terminate a license, revoke a license, issue an38912
order for the suspension of admissions to a facility, issue an38913
order for the placement of a monitor at a facility, issue an order38914
for the immediate removal of residents, or take any other action38915
the director considers necessary consistent with the director's38916
authority under this chapter regarding residential facilities. In38917
the director's selection and administration of the sanction to be38918
imposed, all of the following apply:38919

       (1) The director may deny, refuse to renew, or revoke a38920
license, if the director determines that the applicant or licensee38921
has demonstrated a pattern of serious noncompliance or that a38922
violation creates a substantial risk to the health and safety of38923
residents of a residential facility.38924

       (2) The director may terminate a license if more than twelve38925
consecutive months have elapsed since the residential facility was38926
last occupied by a resident or a notice required by division 38927
(J)(K) of this section is not given.38928

       (3) The director may issue an order for the suspension of38929
admissions to a facility for any violation that may result in38930
sanctions under division (D)(1) of this section and for any other38931
violation specified in rules adopted under division (G)(H)(2) of 38932
this section. If the suspension of admissions is imposed for a38933
violation that may result in sanctions under division (D)(1) of38934
this section, the director may impose the suspension before38935
providing an opportunity for an adjudication under Chapter 119. of38936
the Revised Code. The director shall lift an order for the38937
suspension of admissions when the director determines that the38938
violation that formed the basis for the order has been corrected.38939

       (4) The director may order the placement of a monitor at a38940
residential facility for any violation specified in rules adopted38941
under division (G)(H)(2) of this section. The director shall lift38942
the order when the director determines that the violation that38943
formed the basis for the order has been corrected.38944

       (5) If the director determines that two or more residential38945
facilities owned or operated by the same person or government38946
entity are not being operated in compliance with a provision of38947
this chapter that applies to residential facilities or the rules38948
adopted under such a provision, and the director's findings are38949
based on the same or a substantially similar action, practice,38950
circumstance, or incident that creates a substantial risk to the38951
health and safety of the residents, the director shall conduct a38952
survey as soon as practicable at each residential facility owned38953
or operated by that person or government entity. The director may38954
take any action authorized by this section with respect to any38955
facility found to be operating in violation of a provision of this38956
chapter that applies to residential facilities or the rules38957
adopted under such a provision.38958

       (6) When the director initiates license revocation38959
proceedings, no opportunity for submitting a plan of correction38960
shall be given. The director shall notify the licensee by letter38961
of the initiation of the proceedings. The letter shall list the38962
deficiencies of the residential facility and inform the licensee38963
that no plan of correction will be accepted. The director shall38964
also notify each affected resident, the resident's guardian if the38965
resident is an adult for whom a guardian has been appointed, the38966
resident's parent or guardian if the resident is a minor, and the38967
county board of mental retardation and developmental disabilities38968
send a copy of the letter to the county board of mental 38969
retardation and developmental disabilities. The county board shall 38970
send a copy of the letter to each of the following:38971

        (a) Each resident who receives services from the licensee;38972

        (b) The guardian of each resident who receives services from 38973
the licensee if the resident has a guardian;38974

        (c) The parent or guardian of each resident who receives 38975
services from the licensee if the resident is a minor.38976

       (7) Pursuant to rules which shall be adopted in accordance38977
with Chapter 119. of the Revised Code, the director may order the38978
immediate removal of residents from a residential facility38979
whenever conditions at the facility present an immediate danger of38980
physical or psychological harm to the residents.38981

       (8) In determining whether a residential facility is being38982
operated in compliance with a provision of this chapter that38983
applies to residential facilities or the rules adopted under such38984
a provision, or whether conditions at a residential facility38985
present an immediate danger of physical or psychological harm to38986
the residents, the director may rely on information obtained by a38987
county board of mental retardation and developmental disabilities38988
or other governmental agencies.38989

       (9) In proceedings initiated to deny, refuse to renew, or38990
revoke licenses, the director may deny, refuse to renew, or revoke38991
a license regardless of whether some or all of the deficiencies38992
that prompted the proceedings have been corrected at the time of38993
the hearing.38994

       (E) The director shall establish a program under which public 38995
notification may be made when the director has initiated license 38996
revocation proceedings or has issued an order for the suspension 38997
of admissions, placement of a monitor, or removal of residents. 38998
The director shall adopt rules in accordance with Chapter 119. of 38999
the Revised Code to implement this division. The rules shall 39000
establish the procedures by which the public notification will be 39001
made and specify the circumstances for which the notification must 39002
be made. The rules shall require that public notification be made 39003
if the director has taken action against the facility in the 39004
eighteen-month period immediately preceding the director's latest 39005
action against the facility and the latest action is being taken 39006
for the same or a substantially similar violation of a provision 39007
of this chapter that applies to residential facilities or the 39008
rules adopted under such a provision. The rules shall specify a 39009
method for removing or amending the public notification if the39010
director's action is found to have been unjustified or the39011
violation at the residential facility has been corrected.39012

       (F)(1) Except as provided in division (F)(2) of this section,39013
appeals from proceedings initiated to impose a sanction under 39014
division (D) of this section shall be conducted in accordance with 39015
Chapter 119. of the Revised Code.39016

       (2) Appeals from proceedings initiated to order the39017
suspension of admissions to a facility shall be conducted in39018
accordance with Chapter 119. of the Revised Code, unless the order39019
was issued before providing an opportunity for an adjudication, in39020
which case all of the following apply:39021

       (a) The licensee may request a hearing not later than ten39022
days after receiving the notice specified in section 119.07 of the39023
Revised Code.39024

       (b) If a timely request for a hearing that includes the 39025
licensee's current address is made, the hearing shall commence not 39026
later than thirty days after the department receives the request.39027

       (c) After commencing, the hearing shall continue39028
uninterrupted, except for Saturdays, Sundays, and legal holidays,39029
unless other interruptions are agreed to by the licensee and the39030
director.39031

       (d) If the hearing is conducted by a hearing examiner, the39032
hearing examiner shall file a report and recommendations not later39033
than ten days after the last of the following:39034

       (i) The close of the hearing;39035

       (ii) If a transcript of the proceedings is ordered, the 39036
hearing examiner receives the transcript;39037

        (iii) If post-hearing briefs are timely filed, the hearing 39038
examiner receives the briefs.39039

       (e) A copy of the written report and recommendation of the 39040
hearing examiner shall be sent, by certified mail, to the licensee 39041
and the licensee's attorney, if applicable, not later than five 39042
days after the report is filed.39043

        (f) Not later than five days after the hearing examiner files 39044
the report and recommendations, the licensee may file objections 39045
to the report and recommendations.39046

       (f)(g) Not later than fifteen days after the hearing examiner39047
files the report and recommendations, the director shall issue an39048
order approving, modifying, or disapproving the report and39049
recommendations.39050

       (g)(h) Notwithstanding the pendency of the hearing, the39051
director shall lift the order for the suspension of admissions39052
when the director determines that the violation that formed the39053
basis for the order has been corrected.39054

       (G) Neither a person or government agency whose application 39055
for a license to operate a residential facility is denied nor a 39056
related party of the person or government agency may apply for a 39057
license to operate a residential facility before the date that is 39058
one year after the date of the denial. Neither a licensee whose 39059
residential facility license is revoked nor a related party of the 39060
licensee may apply for a residential facility license before the 39061
date that is five years after the date of the revocation.39062

        (H) In accordance with Chapter 119. of the Revised Code, the39063
director shall adopt and may amend and rescind rules for licensing39064
and regulating the operation of residential facilities, including 39065
intermediate care facilities for the mentally retarded. The rules 39066
for intermediate care facilities for the mentally retarded may 39067
differ from those for other residential facilities. The rules39068
shall establish and specify the following:39069

       (1) Procedures and criteria for issuing and renewing39070
licenses, including procedures and criteria for determining the39071
length of the licensing period that the director must specify for39072
each license when it is issued or renewed;39073

       (2) Procedures and criteria for denying, refusing to renew,39074
terminating, and revoking licenses and for ordering the suspension39075
of admissions to a facility, placement of a monitor at a facility,39076
and the immediate removal of residents from a facility;39077

       (3) Fees for issuing and renewing licenses, which shall be 39078
deposited into the program fee fund created under section 5123.033 39079
of the Revised Code;39080

       (4) Procedures for surveying residential facilities;39081

       (5) Requirements for the training of residential facility39082
personnel;39083

       (6) Classifications for the various types of residential39084
facilities;39085

       (7) Certification procedures for licensees and management39086
contractors that the director determines are necessary to ensure39087
that they have the skills and qualifications to properly operate39088
or manage residential facilities;39089

       (8) The maximum number of persons who may be served in a39090
particular type of residential facility;39091

       (9) Uniform procedures for admission of persons to and39092
transfers and discharges of persons from residential facilities;39093

       (10) Other standards for the operation of residential39094
facilities and the services provided at residential facilities;39095

       (11) Procedures for waiving any provision of any rule adopted 39096
under this section.39097

       (H)(I) Before issuing a license, the director of the39098
department or the director's designee shall conduct a survey of39099
the residential facility for which application is made. The39100
director or the director's designee shall conduct a survey of each 39101
licensed residential facility at least once during the period the 39102
license is valid and may conduct additional inspections as needed. 39103
A survey includes but is not limited to an on-site examination and39104
evaluation of the residential facility, its personnel, and the39105
services provided there.39106

       In conducting surveys, the director or the director's39107
designee shall be given access to the residential facility; all 39108
records, accounts, and any other documents related to the 39109
operation of the facility; the licensee; the residents of the 39110
facility; and all persons acting on behalf of, under the control 39111
of, or in connection with the licensee. The licensee and all 39112
persons on behalf of, under the control of, or in connection with 39113
the licensee shall cooperate with the director or the director's39114
designee in conducting the survey.39115

       Following each survey, unless the director initiates a 39116
license revocation proceeding, the director or the director's 39117
designee shall provide the licensee with a report listing any 39118
deficiencies, specifying a timetable within which the licensee 39119
shall submit a plan of correction describing how the deficiencies 39120
will be corrected, and, when appropriate, specifying a timetable 39121
within which the licensee must correct the deficiencies. After a 39122
plan of correction is submitted, the director or the director's39123
designee shall approve or disapprove the plan. A copy of the 39124
report and any approved plan of correction shall be provided to 39125
any person who requests it.39126

       The director shall initiate disciplinary action against any39127
department employee who notifies or causes the notification to any39128
unauthorized person of an unannounced survey of a residential 39129
facility by an authorized representative of the department.39130

       (I)(J) In addition to any other information which may be39131
required of applicants for a license pursuant to this section, the39132
director shall require each applicant to provide a copy of an39133
approved plan for a proposed residential facility pursuant to39134
section 5123.042 of the Revised Code. This division does not apply39135
to renewal of a license.39136

       (J)(K) A licensee shall notify the owner of the building in39137
which the licensee's residential facility is located of any39138
significant change in the identity of the licensee or management39139
contractor before the effective date of the change if the licensee39140
is not the owner of the building.39141

       Pursuant to rules which shall be adopted in accordance with39142
Chapter 119. of the Revised Code, the director may require39143
notification to the department of any significant change in the39144
ownership of a residential facility or in the identity of the39145
licensee or management contractor. If the director determines that 39146
a significant change of ownership is proposed, the director shall39147
consider the proposed change to be an application for development39148
by a new operator pursuant to section 5123.042 of the Revised Code39149
and shall advise the applicant within sixty days of the39150
notification that the current license shall continue in effect or39151
a new license will be required pursuant to this section. If the39152
director requires a new license, the director shall permit the39153
facility to continue to operate under the current license until39154
the new license is issued, unless the current license is revoked,39155
refused to be renewed, or terminated in accordance with Chapter39156
119. of the Revised Code.39157

       (K)(L) A county board of mental retardation and developmental39158
disabilities, the legal rights service, and any interested person39159
may file complaints alleging violations of statute or department39160
rule relating to residential facilities with the department. All39161
complaints shall be in writing and shall state the facts39162
constituting the basis of the allegation. The department shall not 39163
reveal the source of any complaint unless the complainant agrees 39164
in writing to waive the right to confidentiality or until so 39165
ordered by a court of competent jurisdiction.39166

       The department shall adopt rules in accordance with Chapter 39167
119. of the Revised Code establishing procedures for the receipt, 39168
referral, investigation, and disposition of complaints filed with 39169
the department under this division.39170

       (L)(M) The department shall establish procedures for the39171
notification of interested parties of the transfer or interim care39172
of residents from residential facilities that are closing or are39173
losing their license.39174

       (M)(N) Before issuing a license under this section to a39175
residential facility that will accommodate at any time more than39176
one mentally retarded or developmentally disabled individual, the39177
director shall, by first class mail, notify the following:39178

       (1) If the facility will be located in a municipal39179
corporation, the clerk of the legislative authority of the39180
municipal corporation;39181

       (2) If the facility will be located in unincorporated39182
territory, the clerk of the appropriate board of county39183
commissioners and the fiscal officer of the appropriate board of 39184
township trustees.39185

       The director shall not issue the license for ten days after39186
mailing the notice, excluding Saturdays, Sundays, and legal39187
holidays, in order to give the notified local officials time in39188
which to comment on the proposed issuance.39189

       Any legislative authority of a municipal corporation, board39190
of county commissioners, or board of township trustees that39191
receives notice under this division of the proposed issuance of a39192
license for a residential facility may comment on it in writing to39193
the director within ten days after the director mailed the notice,39194
excluding Saturdays, Sundays, and legal holidays. If the director39195
receives written comments from any notified officials within the39196
specified time, the director shall make written findings39197
concerning the comments and the director's decision on the39198
issuance of the license. If the director does not receive written39199
comments from any notified local officials within the specified39200
time, the director shall continue the process for issuance of the39201
license.39202

       (N)(O) Any person may operate a licensed residential facility39203
that provides room and board, personal care, habilitation39204
services, and supervision in a family setting for at least six but39205
not more than eight persons with mental retardation or a39206
developmental disability as a permitted use in any residential39207
district or zone, including any single-family residential district39208
or zone, of any political subdivision. These residential39209
facilities may be required to comply with area, height, yard, and39210
architectural compatibility requirements that are uniformly39211
imposed upon all single-family residences within the district or39212
zone.39213

       (O)(P) Any person may operate a licensed residential facility 39214
that provides room and board, personal care, habilitation39215
services, and supervision in a family setting for at least nine39216
but not more than sixteen persons with mental retardation or a39217
developmental disability as a permitted use in any multiple-family39218
residential district or zone of any political subdivision, except39219
that a political subdivision that has enacted a zoning ordinance39220
or resolution establishing planned unit development districts may39221
exclude these residential facilities from those districts, and a39222
political subdivision that has enacted a zoning ordinance or39223
resolution may regulate these residential facilities in39224
multiple-family residential districts or zones as a conditionally39225
permitted use or special exception, in either case, under39226
reasonable and specific standards and conditions set out in the39227
zoning ordinance or resolution to:39228

       (1) Require the architectural design and site layout of the39229
residential facility and the location, nature, and height of any39230
walls, screens, and fences to be compatible with adjoining land39231
uses and the residential character of the neighborhood;39232

       (2) Require compliance with yard, parking, and sign39233
regulation;39234

       (3) Limit excessive concentration of these residential39235
facilities.39236

       (P)(Q) This section does not prohibit a political subdivision39237
from applying to residential facilities nondiscriminatory39238
regulations requiring compliance with health, fire, and safety39239
regulations and building standards and regulations.39240

       (Q)(R) Divisions (N)(O) and (O)(P) of this section are not39241
applicable to municipal corporations that had in effect on June39242
15, 1977, an ordinance specifically permitting in residential39243
zones licensed residential facilities by means of permitted uses,39244
conditional uses, or special exception, so long as such ordinance39245
remains in effect without any substantive modification.39246

       (R)(S)(1) The director may issue an interim license to39247
operate a residential facility to an applicant for a license under39248
this section if either of the following is the case:39249

       (a) The director determines that an emergency exists 39250
requiring immediate placement of persons in a residential39251
facility, that insufficient licensed beds are available, and that 39252
the residential facility is likely to receive a permanent license 39253
under this section within thirty days after issuance of the 39254
interim license.39255

       (b) The director determines that the issuance of an interim39256
license is necessary to meet a temporary need for a residential39257
facility.39258

       (2) To be eligible to receive an interim license, an39259
applicant must meet the same criteria that must be met to receive39260
a permanent license under this section, except for any differing39261
procedures and time frames that may apply to issuance of a39262
permanent license.39263

       (3) An interim license shall be valid for thirty days and may39264
be renewed by the director for a period not to exceed one hundred 39265
fifty days.39266

       (4) The director shall adopt rules in accordance with Chapter 39267
119. of the Revised Code as the director considers necessary to 39268
administer the issuance of interim licenses.39269

       (S)(T) Notwithstanding rules adopted pursuant to this section39270
establishing the maximum number of persons who may be served in a39271
particular type of residential facility, a residential facility39272
shall be permitted to serve the same number of persons being39273
served by the facility on the effective date of the rules or the39274
number of persons for which the facility is authorized pursuant to 39275
a current application for a certificate of need with a letter of 39276
support from the department of mental retardation and39277
developmental disabilities and which is in the review process39278
prior to April 4, 1986.39279

       (T)(U) The director or the director's designee may enter at39280
any time, for purposes of investigation, any home, facility, or39281
other structure that has been reported to the director or that the39282
director has reasonable cause to believe is being operated as a39283
residential facility without a license issued under this section.39284

       The director may petition the court of common pleas of the39285
county in which an unlicensed residential facility is located for39286
an order enjoining the person or governmental agency operating the39287
facility from continuing to operate without a license. The court39288
may grant the injunction on a showing that the person or39289
governmental agency named in the petition is operating a39290
residential facility without a license. The court may grant the39291
injunction, regardless of whether the residential facility meets39292
the requirements for receiving a license under this section.39293

       Sec. 5123.196. (A) Except as provided in division (F) of this 39294
section, the director of mental retardation and developmental 39295
disabilities shall not issue a license under section 5123.19 of 39296
the Revised Code on or after July 1, 2003, if issuance will result 39297
in there being more beds in all residential facilities licensed 39298
under that section than is permitted under division (B) of this 39299
section.39300

       (B) Except as provided in division (D) of this section, the 39301
maximum number of beds for the purpose of division (A) of this 39302
section shall not exceed ten thousand eight hundred thirty-eight 39303
minus, except as provided in division (C) of this section, both of 39304
the following:39305

       (1) The number of such beds that cease to be residential 39306
facility beds on or after July 1, 2003, because a residential 39307
facility license is revoked, terminated, or not renewed for any 39308
reason or is surrendered in accordance with section 5123.19 of the 39309
Revised Code and after the issuance of an adjudication order 39310
pursuant to Chapter 119. of the Revised Code;39311

       (2) The number of such beds for which a licensee voluntarily 39312
converts to use for supported living on or after July 1, 2003.39313

       (C) The director is not required to reduce the maximum number 39314
of beds pursuant to division (B) of this section by a bed that 39315
ceases to be a residential facility bed if the director determines 39316
that the bed is needed to provide services to an individual with 39317
mental retardation or a developmental disability who resided in 39318
the residential facility in which the bed was located unless the 39319
reason the bed ceases to be a residential facility bed is because 39320
it is converted to providing home and community-based services 39321
under the ICF/MR conversion pilot program that is authorized by a 39322
waiver sought under division (B)(1) of section 5111.88 of the 39323
Revised Code.39324

       (D) The director shall increase the number of beds determined 39325
under division (B) of this section if necessary to enable the 39326
operator of a residential facility to do either of the following:39327

       (1) Obtain a residential facility license as required by 39328
section 5111.8814 of the Revised Code;39329

       (2) Reconvert beds to providing ICF/MR services under section 39330
5111.8811 of the Revised Code.39331

       (E) The director shall maintain an up-to-date written record 39332
of the maximum number of residential facility beds provided for by 39333
division (B) of this section.39334

       (F) The director may issue an interim license under division 39335
(R)(S) of section 5123.19 of the Revised Code and issue, pursuant 39336
to rules adopted under division (G)(H)(11) of that section, a 39337
waiver allowing a residential facility to admit more residents 39338
than the facility is licensed to admit regardless of whether the 39339
interim license or waiver will result in there being more beds in 39340
all residential facilities licensed under that section than is 39341
permitted under division (B) of this section.39342

       Sec. 5123.198. (A) As used in this section, "date of the 39343
commitment" means the date that an individual specified in 39344
division (B) of this section begins to reside in a state-operated 39345
intermediate care facility for the mentally retarded after being 39346
committed to the facility pursuant to sections 5123.71 to 5123.76 39347
of the Revised Code.39348

       (B) Except as provided in division (C) of this section, 39349
whenever a resident of a residential facility is committed to a 39350
state-operated intermediate care facility for the mentally 39351
retarded pursuant to sections 5123.71 to 5123.76 of the Revised 39352
Code, the department of mental retardation and developmental 39353
disabilities, pursuant to an adjudication order issued in 39354
accordance with Chapter 119. of the Revised Code, shall reduce by 39355
one the number of residents for which the facility in which the 39356
resident resided is licensed. 39357

       (C) The department shall not reduce under division (B) of 39358
this section the number of residents for which a residential 39359
facility is licensed if any of the following are the case:39360

       (1) The resident of the residential facility who is committed 39361
to a state-operated intermediate care facility for the mentally 39362
retarded resided in the residential facility because of the 39363
closure, on or after the effective date of this sectionJune 26, 39364
2003, of another state-operated intermediate care facility for the 39365
mentally retarded;39366

       (2) The residential facility admits within ninety days of the 39367
date of the commitment an individual who resides on the date of 39368
the commitment in a state-operated intermediate care facility for 39369
the mentally retarded or another residential facility;39370

       (3) The department fails to do either of the following within 39371
ninety days of the date of the commitment:39372

       (a) Identify an individual to whom all of the following 39373
applies:39374

       (i) Resides on the date of the commitment in a state-operated 39375
intermediate care facility for the mentally retarded or another 39376
residential facility;39377

       (ii) Has indicated to the department an interest in 39378
relocating to the residential facility or has a parent or guardian 39379
who has indicated to the department an interest for the individual 39380
to relocate to the residential facility;39381

       (iii) The department determines the individual has needs that 39382
the residential facility can meet.39383

       (b) Provide the residential facility with information about 39384
the individual identified under division (C)(2)(a) of this section 39385
that the residential facility needs in order to determine whether 39386
the facility can meet the individual's needs.39387

       (4) If the department completes the actions specified in 39388
divisions (C)(3)(a) and (b) of this section not later than ninety 39389
days after the date of the commitment and except as provided in 39390
division (D) of this section, the residential facility does all of 39391
the following not later than ninety days after the date of the 39392
commitment:39393

       (a) Evaluates the information provided by the department;39394

       (b) Assesses the identified individual's needs;39395

       (c) Determines that the residential facility cannot meet the 39396
identified individual's needs.39397

       (5) If the department completes the actions specified in 39398
divisions (C)(3)(a) and (b) of this section not later than ninety 39399
days after the date of the commitment and the residential facility 39400
determines that the residential facility can meet the identified 39401
individual's needs, the individual, or a parent or guardian of the 39402
individual, refuses placement in the residential facility.39403

       (D) The department may reduce under division (B) of this 39404
section the number of residents for which a residential facility 39405
is licensed even though the residential facility completes the 39406
actions specified in division (C)(4) of this section not later 39407
than ninety days after the date of the commitment if all of the 39408
following are the case:39409

       (1) The department disagrees with the residential facility's 39410
determination that the residential facility cannot meet the 39411
identified individual's needs.39412

       (2) The department issues a written decision pursuant to the 39413
uniform procedures for admissions, transfers, and discharges 39414
established by rules adopted under division (G)(H)(9) of section 39415
5123.19 of the Revised Code that the residential facility should 39416
admit the identified individual.39417

       (3) After the department issues the written decision 39418
specified in division (D)(2) of this section, the residential 39419
facility refuses to admit the identified individual.39420

       (E) A residential facility that admits, refuses to admit, 39421
transfers, or discharges a resident under this section shall 39422
comply with the uniform procedures for admissions, transfers, and 39423
discharges established by rules adopted under division (G)(H)(9) 39424
of section 5123.19 of the Revised Code.39425

       (F) The department of mental retardation and developmental 39426
disabilities may notify the department of job and family services 39427
of any reduction under this section in the number of residents for 39428
which a residential facility that is an intermediate care facility 39429
for the mentally retarded is licensed. On receiving the notice, 39430
the department of job and family services may transfer to the 39431
department of mental retardation and developmental disabilities 39432
the savings in the nonfederal share of medicaid expenditures for 39433
each fiscal year after the year of the commitment to be used for 39434
costs of the resident's care in the state-operated intermediate 39435
care facility for the mentally retarded. In determining the amount 39436
saved, the department of job and family services shall consider 39437
medicaid payments for the remaining residents of the facility in 39438
which the resident resided.39439

       Sec. 5123.20. As used in this section, "supported living"39440
has the same meaning as in section 5126.01 of the Revised Code.39441

       No person or government agency shall operate a residential39442
facility or receive a mentally retarded or developmentally39443
disabled person as a resident of a residential facility unless the 39444
facility is licensed under section 5123.19 of the Revised Code, 39445
and no person or governmental agency shall operate a respite care 39446
home or receive a mentally retarded or developmentally disabled 39447
person in a respite care home unless the home is certified under 39448
section 5126.05 of the Revised Code.39449

       No person or government agency shall provide supported living 39450
unless that person or government agency is certified under section 39451
5126.431 of the Revised Code.39452

       Sec. 5123.211.  (A) As used in this section, "residential39453
services" and "supported living" havehas the same meanings39454
meaning as in section 5126.01 of the Revised Code.39455

       (B) The department of mental retardation and developmental39456
disabilities shall provide or arrange provision of residential39457
services for each person who, on or after July 1, 1989, ceases to39458
be a resident of a state institution because of closure of the39459
institution or a reduction in the institution's population by39460
forty per cent or more within a period of one year. The services39461
shall be provided in the county in which the person chooses to39462
reside and shall consist of one of the following as determined39463
appropriate by the department in consultation with the county39464
board of mental retardation and developmental disabilities of the39465
county in which the services are to be provided:39466

       (1) Residential services provided pursuant to section 5123.18 39467
of the Revised Code;39468

       (2) Supported living provided pursuant to section 5123.182 of 39469
the Revised Code;39470

       (3) Residential services for which reimbursement is made39471
under the medical assistance program established under section39472
5111.01 of the Revised Code;39473

       (4)(3) Residential services provided in a manner or setting39474
approved by the director of mental retardation and developmental39475
disabilities.39476

       (C) Not less than six months prior to closing a state39477
institution or reducing a state institution's population by forty39478
per cent or more within a period of one year, the department shall 39479
identify those counties in which individuals leaving the39480
institution have chosen to reside and notify the county boards of39481
mental retardation and developmental disabilities in those39482
counties of the need to develop the services specified in division 39483
(B) of this section. The notice shall specify the number of 39484
individuals requiring services who plan to reside in the county 39485
and indicate the amount of funds the department will use to 39486
provide or arrange services for those individuals.39487

       (D) In each county in which one or more persons receive39488
residential services pursuant to division (B) of this section, the 39489
department shall provide or arrange provision of residential39490
services, or shall distribute moneys to the county board of mental 39491
retardation and developmental disabilities to provide or arrange 39492
provision of residential services, for an equal number of persons 39493
with mental retardation or developmental disabilities in that 39494
county who the county board has determined need residential39495
services but are not receiving them.39496

       Sec. 5123.38. (A) Except as provided in division (B) and (C) 39497
of this section, if an individual receiving supported living or 39498
home and community-based services, as defined in section 5126.01 39499
of the Revised Code, funded by a county board of mental 39500
retardation and developmental disabilities is committed to a 39501
state-operated intermediate care facility for the mentally 39502
retarded pursuant to sections 5123.71 to 5123.76 of the Revised 39503
Code, the department of mental retardation and developmental 39504
disabilities shall use the funds otherwise allocated to the county 39505
board as the nonfederal share of medicaid expenditures for the 39506
individual's care in the state-operated facility.39507

       (B) Division (A) of this section does not apply if the county 39508
board, not later than ninety days after the date of the commitment 39509
of a person receiving supported services, commences funding of 39510
supported living for an individual who resides in a state-operated 39511
intermediate care facility for the mentally retarded on the date 39512
of the commitment or another eligible individual designated by the 39513
department.39514

       (C) Division (A) of this section does not apply if the county 39515
board, not later than ninety days after the date of the commitment 39516
of a person receiving home and community-based services, commences 39517
funding of home and community-based services for an individual who 39518
resides in a state-operated intermediate care facility for the 39519
mentally retarded on the date of the commitment or another 39520
eligible individual designated by the department.39521

       Sec. 5123.41.  As used in this section and sections 5123.4239522
to 5123.47 of the Revised Code:39523

       (A) "Adult services" has the same meaning as in section39524
5126.01 of the Revised Code.39525

       (B) "Certified home and community-based services provider"39526
means a person or government entity certified under section 39527
5123.16 of the Revised Code.39528

       (C) "Certified supported living provider" means a person or39529
government entity certified under section 5126.4315123.161 of the 39530
Revised Code.39531

       (D)(C) "Drug" has the same meaning as in section 4729.01 of39532
the Revised Code.39533

       (E)(D) "Family support services" has the same meaning as in39534
section 5126.01 of the Revised Code.39535

       (F)(E) "Health-related activities" means the following:39536

       (1) Taking vital signs;39537

       (2) Application of clean dressings that do not require health39538
assessment;39539

       (3) Basic measurement of bodily intake and output;39540

       (4) Oral suctioning;39541

       (5) Use of glucometers;39542

       (6) External urinary catheter care;39543

       (7) Emptying and replacing colostomy bags;39544

       (8) Collection of specimens by noninvasive means.39545

       (G)(F) "Licensed health professional authorized to prescribe39546
drugs" has the same meaning as in section 4729.01 of the Revised39547
Code.39548

       (H) "Medicaid" has the same meaning as in section 5111.01 of39549
the Revised Code.39550

       (I)(G) "MR/DD personnel" means the employees and the workers39551
under contract who provide specialized services to individuals39552
with mental retardation and developmental disabilities. "MR/DD39553
personnel" includes those who provide the services as follows:39554

       (1) Through direct employment with the department of mental39555
retardation and developmental disabilities or a county board of39556
mental retardation and developmental disabilities;39557

       (2) Through an entity under contract with the department of39558
mental retardation and developmental disabilities or a county39559
board of mental retardation and developmental disabilities;39560

       (3) Through direct employment or by being under contract with 39561
private entities, including private entities that operate39562
residential facilities.39563

       (J)(H) "Nursing delegation" means the process established in39564
rules adopted by the board of nursing pursuant to Chapter 4723. of39565
the Revised Code under which a registered nurse or licensed39566
practical nurse acting at the direction of a registered nurse39567
transfers the performance of a particular nursing activity or task39568
to another person who is not otherwise authorized to perform the39569
activity or task.39570

       (K)(I) "Prescribed medication" means a drug that is to be39571
administered according to the instructions of a licensed health39572
professional authorized to prescribe drugs.39573

       (L)(J) "Residential facility" means a facility licensed under39574
section 5123.19 of the Revised Code or subject to section 5123.19239575
of the Revised Code.39576

       (M)(K) "Specialized services" has the same meaning as in39577
section 5123.50 of the Revised Code.39578

       (N)(L) "Tube feeding" means the provision of nutrition to an39579
individual through a gastrostomy tube or a jejunostomy tube.39580

       Sec. 5123.51.  (A) In addition to any other action required 39581
by sections 5123.61 and 5126.31 of the Revised Code, the39582
department of mental retardation and developmental disabilities 39583
shall review each report the department receives of abuse or 39584
neglect of an individual with mental retardation or a 39585
developmental disability or misappropriation of an individual's 39586
property that includes an allegation that an MR/DD employee 39587
committed or was responsible for the abuse, neglect, or 39588
misappropriation. The department shall review a report it receives 39589
from a public children services agency only after the agency39590
completes its investigation pursuant to section 2151.421 of the39591
Revised Code. On receipt of a notice under section 2930.061 or 39592
5123.541 of the Revised Code, the department shall review the 39593
notice.39594

       (B) The department shall do both of the following:39595

       (1) Investigate the allegation or adopt the findings of an 39596
investigation or review of the allegation conducted by another 39597
person or government entity and determine whether there is a 39598
reasonable basis for the allegation;39599

       (2) If the department determines that there is a reasonable 39600
basis for the allegation, conduct an adjudication pursuant to 39601
Chapter 119. of the Revised Code.39602

       (C)(1) The department shall appoint an independent hearing 39603
officer to conduct any hearing conducted pursuant to division 39604
(B)(2) of this section, except that, if the hearing is regarding 39605
an employee of the department who is represented by a union, the 39606
department and a representative of the union shall jointly select 39607
the hearing officer.39608

       (2)(a) Except as provided in division (C)(2)(b) of this 39609
section, no hearing shall be conducted under division (B)(2) of 39610
this section until any criminal proceeding or collective 39611
bargaining arbitration concerning the same allegation has39612
concluded.39613

       (b) The department may conduct a hearing pursuant to division 39614
(B)(2) of this section before a criminal proceeding concerning the 39615
same allegation is concluded if both of the following are the 39616
case:39617

        (i) The department notifies the prosecutor responsible for 39618
the criminal proceeding that the department proposes to conduct a 39619
hearing.39620

        (ii) The prosecutor consents to the hearing.39621

       (3) In conducting a hearing pursuant to division (B)(2) of 39622
this section, the hearing officer shall do all of the following:39623

       (a) Determine whether there is clear and convincing evidence 39624
that the MR/DD employee has done any of the following:39625

       (i) Misappropriated property of one or more individuals with 39626
mental retardation or a developmental disability that has a value, 39627
either separately or taken together, of one hundred dollars or 39628
more;39629

       (ii) Misappropriated property of an individual with mental 39630
retardation or a developmental disability that is designed to be 39631
used as a check, draft, negotiable instrument, credit card, charge 39632
card, or device for initiating an electronic fund transfer at a 39633
point of sale terminal, automated teller machine, or cash 39634
dispensing machine;39635

       (iii) Knowingly abused such an individual;39636

       (iv) Recklessly abused or neglected such an individual, with39637
resulting physical harm;39638

       (v) Negligently abused or neglected such an individual, with39639
resulting serious physical harm;39640

       (vi) Recklessly neglected such an individual, creating a 39641
substantial risk of serious physical harm;39642

       (vii) Engaged in sexual conduct or had sexual contact with an 39643
individual with mental retardation or another developmental 39644
disability who was not the MR/DD employee's spouse and for whom 39645
the MR/DD employee was employed or under a contract to provide 39646
care;39647

       (viii) Unreasonably failed to make a report pursuant to 39648
division (C) of section 5123.61 of the Revised Code when the 39649
employee knew or should have known that the failure would result 39650
in a substantial risk of harm to an individual with mental 39651
retardation or a developmental disability.39652

       (b) Give weight to the decision in any collective bargaining39653
arbitration regarding the same allegation;39654

        (c) Give weight to any relevant facts presented at the 39655
hearing.39656

       (D)(1) Unless the director of mental retardation and39657
developmental disabilities determines that there are extenuating 39658
circumstances and except as provided in division (E) of this 39659
section, if the director, after considering all of the factors 39660
listed in division (C)(3) of this section, finds that there is 39661
clear and convincing evidence that an MR/DD employee has done one 39662
or more of the things described in division (C)(3)(a) of this 39663
section the director shall include the name of the employee in the 39664
registry established under section 5123.52 of the Revised Code.39665

       (2) Extenuating circumstances the director must consider 39666
include the use of physical force by an MR/DD employee that was 39667
necessary as self-defense.39668

       (3) If the director includes an MR/DD employee in the 39669
registry established under section 5123.52 of the Revised Code, 39670
the director shall notify the employee, the person or government 39671
entity that employs or contracts with the employee, the individual 39672
with mental retardation or a developmental disability who was the 39673
subject of the report and that individual's legal guardian, if 39674
any, the attorney general, and the prosecuting attorney or other39675
law enforcement agency. If the MR/DD employee holds a license,39676
certificate, registration, or other authorization to engage in a 39677
profession issued pursuant to Title XLVII of the Revised Code, the 39678
director shall notify the appropriate agency, board, department, 39679
or other entity responsible for regulating the employee's 39680
professional practice.39681

       (4) If an individual whose name appears on the registry is 39682
involved in a court proceeding or arbitration arising from the 39683
same facts as the allegation resulting in the individual's 39684
placement on the registry, the disposition of the proceeding or 39685
arbitration shall be noted in the registry next to the 39686
individual's name.39687

       (E) In the case of an allegation concerning an employee of 39688
the department, after the hearing conducted pursuant to division 39689
(B)(2) of this section, the director of health or that director's 39690
designee shall review the decision of the hearing officer to 39691
determine whether the standard described in division (C)(3) of 39692
this section has been met. If the director or designee determines 39693
that the standard has been met and that no extenuating39694
circumstances exist, the director or designee shall notify the 39695
director of mental retardation and developmental disabilities that 39696
the MR/DD employee is to be included in the registry established 39697
under section 5123.52 of the Revised Code. If the director of 39698
mental retardation and developmental disabilities receives such 39699
notification, the director shall include the MR/DD employee in the39700
registry and shall provide the notification described in division 39701
(D)(3) of this section.39702

       (F) If the department is required by Chapter 119. of the 39703
Revised Code to give notice of an opportunity for a hearing and 39704
the MR/DD employee subject to the notice does not timely request a 39705
hearing in accordance with section 119.07 or 5123.0414 of the 39706
Revised Code, the department is not required to hold a hearing.39707

       (G) Files and records of investigations conducted pursuant to 39708
this section are not public records as defined in section 149.43 39709
of the Revised Code, but, on request, the department shall provide39710
copies of those files and records to the attorney general, a 39711
prosecuting attorney, or a law enforcement agency.39712

       Sec. 5123.60.  (A) A legal rights service is hereby created39713
and established to protect and advocate the rights of mentally ill39714
persons, mentally retarded persons, developmentally disabled39715
persons, and other disabled persons who may be represented by the39716
service pursuant to division (L) of this section; to receive and39717
act upon complaints concerning institutional and hospital39718
practices and conditions of institutions for mentally retarded or39719
developmentally disabled persons and hospitals for the mentally39720
ill; and to assure that all persons detained, hospitalized,39721
discharged, or institutionalized, and all persons whose detention,39722
hospitalization, discharge, or institutionalization is sought or39723
has been sought under this chapter or Chapter 5122. of the Revised39724
Code are fully informed of their rights and adequately represented39725
by counsel in proceedings under this chapter or Chapter 5122. of39726
the Revised Code and in any proceedings to secure the rights of 39727
those persons. Notwithstanding the definitions of "mentally39728
retarded person" and "developmentally disabled person" in section39729
5123.01 of the Revised Code, the legal rights service shall39730
determine who is a mentally retarded or developmentally disabled39731
person for purposes of this section and sections 5123.601 to39732
5123.604 of the Revised Code.If the legal rights service obtains 39733
any information in furtherance of its duties and state or federal 39734
law requires the source of that information to maintain the 39735
information confidentially, the legal rights service shall 39736
maintain that information confidentially in accordance with the 39737
law applicable to the source of the information. The legal rights 39738
service may disclose such information only in accordance with the 39739
law applicable to the source of the information.39740

       (B)(1) In regard to those persons detained, hospitalized, or39741
institutionalized under Chapter 5122. of the Revised Code, the39742
legal rights service shall undertake formal representation only of39743
those persons who are involuntarily detained, hospitalized, or39744
institutionalized pursuant to sections 5122.10 to 5122.15 of the39745
Revised Code, and those voluntarily detained, hospitalized, or39746
institutionalized who are minors, who have been adjudicated39747
incompetent, who have been detained, hospitalized, or39748
institutionalized in a public hospital, or who have requested39749
representation by the legal rights service. If39750

       (2) If a person referred to in division (A) of this section 39751
voluntarily requests in writing that the legal rights service 39752
terminate participation in the person's case, such involvement 39753
shall cease.39754

       (3) Persons described in divisions (A) and (B)(1) of this 39755
section who are formally represented by the legal rights service 39756
are clients of the legal rights service.39757

       (C) Any person voluntarily hospitalized or institutionalized39758
in a public hospital under division (A) of section 5122.02 of the39759
Revised Code, after being fully informed of the person's rights 39760
under division (A) of this section, may, by written request, waive39761
assistance by the legal rights service if the waiver is knowingly39762
and intelligently made, without duress or coercion.39763

       The waiver may be rescinded at any time by the voluntary39764
patient or resident, or by the voluntary patient's or resident's39765
legal guardian.39766

       (D)(1) The legal rights service commission is hereby created39767
for the purposes of appointing an administrator of the legal39768
rights service, advising the administrator, assisting the39769
administrator in developing a budget, advising the administrator 39770
in establishing and annually reviewing a strategic plan, creating 39771
a procedure for filing and determination of grievances against the 39772
legal rights service, and establishing general policy guidelines, 39773
including guidelines for the commencement of litigation, for the 39774
legal rights service. The commission may adopt rules to carry 39775
these purposes into effect and may receive and act upon appeals of 39776
personnel decisions by the administrator.39777

       (2) The commission shall consist of seven members. One39778
member, who shall serve as chairperson, shall be appointed by the39779
chief justice of the supreme court, three members shall be39780
appointed by the speaker of the house of representatives, and39781
three members shall be appointed by the president of the senate.39782
At least two members shall have experience in the field of39783
developmental disabilities, and at least two members shall have39784
experience in the field of mental health. No member shall be a39785
provider or related to a provider of services to mentally39786
retarded, developmentally disabled, or mentally ill persons.39787

       (3) Terms of office of the members of the commission shall be39788
for three years, each term ending on the same day of the month of 39789
the year as did the term which it succeeds. Each member shall39790
serve subsequent to the expiration of the member's term until a39791
successor is appointed and qualifies, or until sixty days has39792
elapsed, whichever occurs first. No member shall serve more than39793
two consecutive terms.39794

       All vacancies in the membership of the commission shall be39795
filled in the manner prescribed for regular appointments to the39796
commission and shall be limited to the unexpired terms.39797

       (4) The commission shall meet at least four times each year.39798
Members shall be reimbursed for their necessary and actual39799
expenses incurred in the performance of their official duties.39800

       (5) The administrator of the legal rights service shall serve 39801
at the pleasure of the commission.39802

       The administrator shall be a person who has had special39803
training and experience in the type of work with which the legal39804
rights service is charged. If the administrator is not an39805
attorney, the administrator shall seek legal counsel when39806
appropriate. The salary of the administrator shall be established39807
in accordance with section 124.14 of the Revised Code.39808

       (E) The legal rights service shall be completely independent39809
of the department of mental health and the department of mental39810
retardation and developmental disabilities and, notwithstanding39811
section 109.02 of the Revised Code, shall also be independent of39812
the office of the attorney general. The administrator of the legal 39813
rights service, staff, and attorneys designated by the39814
administrator to represent persons detained, hospitalized, or39815
institutionalized under this chapter or Chapter 5122. of the39816
Revised Code shall have ready access to the following:39817

       (1) During normal business hours and at other reasonable39818
times, all records relating to expenditures of state and federal39819
funds or to the commitment, care, treatment, and habilitation of39820
all persons represented by the legal rights service, including39821
those who may be represented pursuant to division (L) of this39822
section, or persons detained, hospitalized, institutionalized, or39823
receiving services under this chapter or Chapter 340., 5119.,39824
5122., or 5126. of the Revised Code that are records maintained by39825
the following entities providing services for those persons:39826
departments; institutions; hospitals; community residential39827
facilities; boards of alcohol, drug addiction, and mental health39828
services; county boards of mental retardation and developmental39829
disabilities; contract agencies of those boards; and any other39830
entity providing services to persons who may be represented by the39831
service pursuant to division (L) of this section;39832

       (2) Any records maintained in computerized data banks of the39833
departments or boards or, in the case of persons who may be39834
represented by the service pursuant to division (L) of this39835
section, any other entity that provides services to those persons;39836

       (3) During their normal working hours, personnel of the39837
departments, facilities, boards, agencies, institutions,39838
hospitals, and other service-providing entities;39839

       (4) At any time, all persons detained, hospitalized, or39840
institutionalized; persons receiving services under this chapter39841
or Chapter 340., 5119., 5122., or 5126. of the Revised Code; and39842
persons who may be represented by the service pursuant to division39843
(L) of this sectionall records of mentally ill persons, mentally 39844
retarded persons, and developmentally disabled persons in 39845
accordance with 42 U.S.C. 10805 and 15043.39846

       (F) The administrator of the legal rights service shall do39847
the following:39848

       (1) Administer and organize the work of the legal rights39849
service and establish administrative or geographic divisions as39850
the administrator considers necessary, proper, and expedient;39851

       (2) Adopt and promulgate rules that are not in conflict with 39852
rules adopted by the commission and prescribe duties for the39853
efficient conduct of the business and general administration of39854
the legal rights service;39855

       (3) Appoint and discharge employees, and hire experts,39856
consultants, advisors, or other professionally qualified persons39857
as the administrator considers necessary to carry out the duties39858
of the legal rights service;39859

       (4) Apply for and accept grants of funds, and accept39860
charitable gifts and bequests;39861

       (5) Prepare and submit a budget to the general assembly for39862
the operation of the legal rights service. At least thirty days 39863
prior to submitting the budget to the general assembly, the 39864
administrator shall provide a copy of the budget to the commission 39865
for review and comment. When submitting the budget to the general 39866
assembly, the administrator shall include a copy of any written 39867
comments returned by the commission to the administrator.39868

       (6) Enter into contracts and make expenditures necessary for 39869
the efficient operation of the legal rights service;39870

       (7) Annually prepare a report of activities and submit copies 39871
of the report to the governor, the chief justice of the supreme 39872
court, the president of the senate, the speaker of the house of 39873
representatives, the director of mental health, and the director 39874
of mental retardation and developmental disabilities, and make the 39875
report available to the public;39876

       (8) Upon request of the commission or of the chairperson of 39877
the commission, report to the commission on specific litigation 39878
issues or activities.39879

       (G)(1) The legal rights service may act directly or contract39880
with other organizations or individuals for the provision of the39881
services envisioned under this section.39882

       (2) Whenever possible, the administrator shall attempt to39883
facilitate the resolution of complaints through administrative39884
channels. Subject to division (G)(3) of this section, if attempts39885
at administrative resolution prove unsatisfactory, the39886
administrator may pursue any legal, administrative, and other39887
appropriate remedies or approaches that may be necessary to39888
accomplish the purposes of this section.39889

       (3) The administrator may not pursue a class action lawsuit39890
under division (G)(2) of this section when attempts at39891
administrative resolution of a complaint prove unsatisfactory39892
under that division unless both of the following have first39893
occurred:39894

       (a) At least four members of the commission, by their39895
affirmative vote, have consented to the pursuit of the class39896
action lawsuit;39897

       (b) At least five members of the commission are present at39898
the meeting of the commission at which that consent is obtained.39899

       (4) Subject to division (G)(5) of this section, relationships 39900
between personnel and the agents of the legal rights service and 39901
its clients shall be fiduciary relationships, and all39902
communications shall be confidential, as if between attorney and39903
client.39904

       (5) Any person who has been represented by the legal rights 39905
service or who has applied for and been denied representation and 39906
who files a grievance with the service concerning the 39907
representation or application may appeal the decision of the 39908
service on the grievance to the commission. The person may appeal 39909
notwithstanding any objections of the person's legal guardian. The 39910
commission may examine any records relevant to the appeal and 39911
shall maintain the confidentiality of any records that are 39912
required to be kept confidential.39913

       (H) The legal rights service, on the order of the39914
administrator, with the approval by an affirmative vote of at39915
least four members of the commission, may compel by subpoena the39916
appearance and sworn testimony of any person the administrator39917
reasonably believes may be able to provide information or to39918
produce any documents, books, records, papers, or other39919
information necessary to carry out its duties.39920

       (I) The legal rights service may conduct public hearings.39921

       (J) The legal rights service may request from any39922
governmental agency any cooperation, assistance, services, or data39923
that will enable it to perform its duties.39924

       (K) In any malpractice action filed against the administrator 39925
of the legal rights service, a member of the staff of the legal 39926
rights service, or an attorney designated by the administrator to 39927
perform legal services under division (E) of this section, the 39928
state shall, when the administrator, member, or attorney has acted 39929
in good faith and in the scope of employment, indemnify the 39930
administrator, member, or attorney for any judgment awarded or 39931
amount negotiated in settlement, and for any court costs or legal 39932
fees incurred in defense of the claim.39933

       This division does not limit or waive, and shall not be39934
construed to limit or waive, any defense that is available to the39935
legal rights service, its administrator or employees, persons39936
under a personal services contract with it, or persons designated39937
under division (E) of this section, including, but not limited to,39938
any defense available under section 9.86 of the Revised Code.39939

       (L) In addition to providing services to mentally ill,39940
mentally retarded, or developmentally disabled persons, when a39941
grant authorizing the provision of services to other individuals39942
is accepted pursuant to division (F)(4) of this section, the legal39943
rights service and its ombudsperson section may provide advocacy39944
or ombudsperson services to those other individuals and exercise39945
any other authority granted by this section or sections 5123.60139946
to 5123.604 of the Revised Code on behalf of those individuals.39947
Determinations of whether an individual is eligible for services39948
under this division shall be made by the legal rights service.39949

       (M) As used in this section and sections 5123.601 to 5123.604 39950
of the Revised Code, "mentally ill person" means a person to whom 39951
both of the following apply:39952

        (1) The person has a significant mental illness or emotional 39953
impairment, as determined by a mental health professional 39954
qualified under the laws and rules of this state.39955

        (2) One of the following applies to the person:39956

        (a) The person is an inpatient or resident in a facility 39957
rendering care or treatment, even if the whereabouts of the person 39958
are unknown.39959

        (b) The person is in the process of being admitted to a 39960
facility rendering care or treatment, including persons being 39961
transported to such a facility.39962

        (c) The person is involuntarily confined in a municipal 39963
detention facility for reasons other than serving a sentence 39964
resulting from conviction of or plea of guilty to a criminal 39965
offense.39966

        (d) The person lives in a community setting, including the 39967
person's own home.39968

       Sec. 5123.602.  The ombudsmanombudsperson section of the 39969
legal rights service may, in order to carry out its duties under 39970
this chapter, make necessary inquiries and obtain information it 39971
considers necessary. For those purposes the section shall have39972
ready access to the premises and records of all providers of 39973
services to mentally retarded, developmentally disabled, or 39974
mentally ill persons and shall have the right to communicate in a 39975
private and confidential setting with any mentally retarded, 39976
developmentally disabled, or mentally ill persons,and with their 39977
parents, guardians, or advocates, and with employees of any 39978
provider.39979

       Sec. 5123.603.  The ombudsmanombudsperson section of the 39980
legal rights service shall:39981

       (A) Publicize its existence, functions, and activities, and 39982
the procedures for filing a complaint under section 5123.601 of 39983
the Revised Code, and send this information in written form to39984
each provider with instructions that the information is to be39985
posted in a conspicuous place accessible to residents, visitors,39986
and employees;39987

       (B) Maintain the confidentiality of all its records and39988
files;39989

       (C) Not be required to testify in any court with respect to 39990
any matters it is required to maintain as confidential;39991

       (D)(C) Collect, compile, and analyze data relating to39992
complaints, investigations, or other actions or conditions, for39993
the purpose of helping prepare the annual report required by39994
division (F)(7) of section 5123.60 of the Revised Code and39995
identifying and resolving significant systemic problems affecting39996
mentally retarded, developmentally disabled, or mentally ill39997
persons;39998

       (E)(D) Recommend or propose to other governmental agencies39999
changes in policies and rules that affect mentally retarded,40000
developmentally disabled, or mentally ill persons;40001

       (F)(E) Establish, maintain, and publicize a toll-free number40002
for receiving complaints.40003

       Sec. 5123.604.  (A) No one shall take a discriminatory,40004
disciplinary, or retaliatory action against any officer or40005
employee of a provider, any mentally retarded, developmentally40006
disabled, or mentally ill person, the parents or guardian of a40007
mentally retarded, developmentally disabled, or mentally ill40008
person, or any volunteer or advocate for a mentally retarded,40009
developmentally disabled, or mentally ill person, for any40010
communication these persons make or information they disclose in40011
good faith to the ombudsperson section of the legal rights 40012
service.40013

       (B) No person shall knowingly interfere with lawful actions 40014
of the ombudsperson section, refuse entry to its representatives, 40015
fail to comply with its lawful demands, or offer any compensation, 40016
gratuity, or promise thereof in an effort to influence the outcome 40017
of any matter being considered by the section.40018

       (C) The department of mental retardation and developmental40019
disabilities shall immediately notify the ombudsperson section of40020
all investigations of major unusual incidents or life-threatening40021
situations, as defined in rules adopted by the department,40022
involving mentally retarded and developmentally disabled persons,40023
and shall furnish copies of all relevant reports within40024
forty-eight hours after receipt. The department of mental health40025
shall notify the ombudsperson section of all major unusual40026
reportable incidents or life-threatening situations, as defined in 40027
rules adopted by the department, involving mentally ill persons 40028
within forty-eight hours after receipt of the report of the 40029
incident or situation. The departments of health and job and 40030
family services shall notify the department of mental retardation 40031
and developmental disabilities of all allegations and 40032
investigations of abuse, neglect, or life-threatening situations 40033
involving mentally retarded or developmentally disabled persons. 40034
Any other state agency with information concerning abuse, neglect, 40035
or life-threatening situations involving mentally retarded or 40036
developmentally disabled persons shall report that information 40037
immediately to the department of mental retardation and 40038
developmental disabilities.40039

       Nothing in this section or section 5123.60, 5123.601, or40040
5123.602 of the Revised Code shall preclude any department or40041
board, its contract agencies, a community residential facility, or 40042
other governmental entity from carrying out its responsibility as 40043
prescribed by law.40044

       Sec. 5123.605. There is hereby created in the state treasury 40045
the program income fund. Revenue generated from settlements, 40046
gifts, donations, and other sources of legal rights service 40047
program income shall be credited to the fund. The program income 40048
fund shall be used to support legal rights service programs for 40049
purposes from which the income was derived and for the general 40050
support of legal rights service programs.40051

       Sec. 5123.99.  (A) Whoever violates section 5123.16 or40052
5123.20 of the Revised Code is guilty of a misdemeanor of the 40053
first degree.40054

       (B) Whoever violates division (C), (E), or (G)(3) of section 40055
5123.61 of the Revised Code is guilty of a misdemeanor of the 40056
fourth degree or, if the abuse or neglect constitutes a felony, a 40057
misdemeanor of the second degree. In addition to any other 40058
sanction or penalty authorized or required by law, if a person who 40059
is convicted of or pleads guilty to a violation of division (C), 40060
(E), or (G)(3) of section 5123.61 of the Revised Code is an MR/DD 40061
employee, as defined in section 5123.50 of the Revised Code, the 40062
offender shall be eligible to be included in the registry 40063
regarding misappropriation, abuse, neglect, or other specified 40064
misconduct by MR/DD employees established under section 5123.52 of 40065
the Revised Code.40066

       (C) Whoever violates division (A) of section 5123.604 of the 40067
Revised Code is guilty of a misdemeanor of the second degree.40068

       (D) Whoever violates division (B) of section 5123.604 of the 40069
Revised Code shall be fined not more than one thousand dollars. 40070
Each violation constitutes a separate offense.40071

       Sec. 5126.038.  (A)(1) As used in this section, "professional 40072
services" means all of the following services provided on behalf 40073
of a county board of mental retardation and developmental 40074
disabilities, members or employees of a county board, or both:40075

       (a)(1) Lobbying and other governmental affairs services;40076

       (b)(2) Legal services other than the legal services provided 40077
by a county prosecutor or provided for the purpose of collective 40078
bargaining;40079

       (c)(3) Public relation services;40080

       (d)(4) Consulting services;40081

       (e)(5) Personnel training services, not including tuition or 40082
professional growth reimbursement programs for county board 40083
members or employees.40084

       (2) "Professional services" does not mean services provided 40085
pursuant to a service contract as defined in section 5126.035 of 40086
the Revised Code.40087

       (B) Each county board of mental retardation and developmental 40088
disabilities shall submit to the board of county commissioners of 40089
each county that is served by the county board, in accordance with 40090
the normal budget process and as part of its budget request, a 40091
list identifying the total expenditures projected for any of the 40092
following:40093

       (1) Any membership dues of the members or employees of the 40094
county board, in any organization, association, or other entity;40095

       (2) Any professional services of the county board, its 40096
members or employees, or both;40097

       (3) Any training of the members or employees of the county 40098
board.40099

       Sec. 5126.042.  (A) As used in this section, "emergency" 40100
means any situation that creates for an individual with mental 40101
retardation or developmental disabilities a risk of substantial 40102
self-harm or substantial harm to others if action is not taken40103
within thirty days. An "emergency" may include one or more of the 40104
following situations:40105

       (1) Loss of present residence for any reason, including legal40106
action;40107

       (2) Loss of present caretaker for any reason, including40108
serious illness of the caretaker, change in the caretaker's40109
status, or inability of the caretaker to perform effectively for40110
the individual;40111

       (3) Abuse, neglect, or exploitation of the individual;40112

       (4) Health and safety conditions that pose a serious risk to40113
the individual or others of immediate harm or death;40114

       (5) Change in the emotional or physical condition of the40115
individual that necessitates substantial accommodation that cannot40116
be reasonably provided by the individual's existing caretaker.40117

       (B) If a county board of mental retardation and developmental 40118
disabilities determines that available resources are not 40119
sufficient to meet the needs of all individuals who request40120
programs and services and may be offered the programs and40121
services, it shall establish waiting lists for services. The board 40122
may establish priorities for making placements on its waiting 40123
lists according to an individual's emergency status and shall 40124
establish priorities in accordance with divisions (D) and (E) of 40125
this section.40126

       The individuals who may be placed on a waiting list include40127
individuals with a need for services on an emergency basis and40128
individuals who have requested services for which resources are40129
not available.40130

       Except for an individual who is to receive priority for40131
services pursuant to division (D)(3) of this section, an40132
individual who currently receives a service but would like to40133
change to another service shall not be placed on a waiting list40134
but shall be placed on a service substitution list. The board40135
shall work with the individual, service providers, and all40136
appropriate entities to facilitate the change in service as40137
expeditiously as possible. The board may establish priorities for40138
making placements on its service substitution lists according to40139
an individual's emergency status.40140

       In addition to maintaining waiting lists and service40141
substitution lists, a board shall maintain a long-term service40142
planning registry for individuals who wish to record their40143
intention to request in the future a service they are not40144
currently receiving. The purpose of the registry is to enable the40145
board to document requests and to plan appropriately. The board40146
may not place an individual on the registry who meets the40147
conditions for receipt of services on an emergency basis.40148

       (C) A county board shall establish a separate waiting list40149
for each of the following categories of services, and may40150
establish separate waiting lists within the waiting lists:40151

       (1) Early childhood services;40152

       (2) Educational programs for preschool and school age40153
children;40154

       (3) Adult services;40155

       (4) Service and support administration;40156

       (5) Residential services and supported living;40157

       (6) Transportation services;40158

       (7) Other services determined necessary and appropriate for40159
persons with mental retardation or a developmental disability40160
according to their individual habilitation or service plans;40161

       (8) Family support services provided under section 5126.11 of 40162
the Revised Code.40163

       (D) Except as provided in division (G) of this section, a40164
county board shall do, as priorities, all of the following in40165
accordance with the assessment component, approved under section40166
5123.046 of the Revised Code, of the county board's plan developed40167
under section 5126.054 of the Revised Code:40168

       (1) For the purpose of obtaining additional federal medicaid40169
funds for home and community-based services and medicaid case40170
management services, do both of the following:40171

       (a) Give an individual who is eligible for home and40172
community-based services and meets both of the following40173
requirements priority over any other individual on a waiting list40174
established under division (C) of this section for home and40175
community-based services that include supported living,40176
residential services, or family support services:40177

       (i) Is twenty-two years of age or older;40178

       (ii) Receives supported living or family support services.40179

       (b) Give an individual who is eligible for home and40180
community-based services and meets both of the following40181
requirements priority over any other individual on a waiting list40182
established under division (C) of this section for home and40183
community-based services that include adult services:40184

       (i) Resides in the individual's own home or the home of the40185
individual's family and will continue to reside in that home after40186
enrollment in home and community-based services;40187

       (ii) Receives adult services from the county board.40188

       (2) As federal medicaid funds become available pursuant to40189
division (D)(1) of this section, give an individual who is40190
eligible for home and community-based services and meets any of40191
the following requirements priority for such services over any40192
other individual on a waiting list established under division (C)40193
of this section:40194

       (a) Does not receive residential services or supported40195
living, either needs services in the individual's current living40196
arrangement or will need services in a new living arrangement, and40197
has a primary caregiver who is sixty years of age or older;40198

       (b) Is less than twenty-two years of age and has at least one 40199
of the following service needs that are unusual in scope or40200
intensity:40201

       (i) Severe behavior problems for which a behavior support40202
plan is needed;40203

       (ii) An emotional disorder for which anti-psychotic40204
medication is needed;40205

       (iii) A medical condition that leaves the individual40206
dependent on life-support medical technology;40207

       (iv) A condition affecting multiple body systems for which a40208
combination of specialized medical, psychological, educational, or40209
habilitation services are needed;40210

       (v) A condition the county board determines to be comparable40211
in severity to any condition described in divisiondivisions40212
(D)(2)(b)(i) to (iv) of this section and places the individual at40213
significant risk of institutionalization.40214

       (c) Is twenty-two years of age or older, does not receive40215
residential services or supported living, and is determined by the40216
county board to have intensive needs for home and community-based40217
services on an in-home or out-of-home basis.40218

       (3) In fiscal years 2002 and 2003, give an individual who is40219
eligible for home and community-based services, resides in an40220
intermediate care facility for the mentally retarded or nursing40221
facility, chooses to move to another setting with the help of home40222
and community-based services, and has been determined by the40223
department of mental retardation and developmental disabilities to40224
be capable of residing in the other setting, priority over any40225
other individual on a waiting list established under division (C)40226
of this section for home and community-based services who does not40227
meet these criteria. The department of mental retardation and40228
developmental disabilities shall identify the individuals to40229
receive priority under division (D)(3) of this section, assess the40230
needs of the individuals, and notify the county boards that are to40231
provide the individuals priority under division (D)(3) of this40232
section of the individuals identified by the department and the40233
individuals' assessed needs.40234

       (E) Except as provided in division (G) of this section and 40235
for a number of years and beginning on a date specified in rules 40236
adopted under division (K) of this section, a county board shall 40237
give an individual who is eligible for home and community-based 40238
services, resides in a nursing facility, and chooses to move to 40239
another setting with the help of home and community-based 40240
services, priority over any other individual on a waiting list 40241
established under division (C) of this section for home and 40242
community-based services who does not meet these criteria.40243

       (F) If two or more individuals on a waiting list established40244
under division (C) of this section for home and community-based40245
services have priority for the services pursuant to division40246
(D)(1) or (2) or (E) of this section, a county board may use,40247
until December 31, 20072009, criteria specified in rules adopted 40248
under division (K)(2) of this section in determining the order in 40249
which the individuals with priority will be offered the services.40250
Otherwise, the county board shall offer the home and40251
community-based services to such individuals in the order they are40252
placed on the waiting list.40253

       (G)(1) No individual may receive priority for services40254
pursuant to division (D) or (E) of this section over an individual40255
placed on a waiting list established under division (C) of this40256
section on an emergency status.40257

       (2) No more than four hundred individuals in the state may40258
receive priority for services during the 20062008 and 2007200940259
biennium pursuant to division (D)(2)(b) of this section.40260

       (3) No more than a total of seventy-five individuals in the40261
state may receive priority for services during state fiscal years40262
2002 and 2003 pursuant to division (D)(3) of this section.40263

       (4) No more than forty individuals in the state may receive 40264
priority for services pursuant to division (E) of this section for 40265
each year that priority category is in effect as specified in 40266
rules adopted under division (K) of this section.40267

       (H) Prior to establishing any waiting list under this40268
section, a county board shall develop and implement a policy for40269
waiting lists that complies with this section and rules adopted40270
under division (K) of this section.40271

       Prior to placing an individual on a waiting list, the county40272
board shall assess the service needs of the individual in40273
accordance with all applicable state and federal laws. The county40274
board shall place the individual on the appropriate waiting list40275
and may place the individual on more than one waiting list. The40276
county board shall notify the individual of the individual's40277
placement and position on each waiting list on which the40278
individual is placed.40279

       At least annually, the county board shall reassess the40280
service needs of each individual on a waiting list. If it40281
determines that an individual no longer needs a program or40282
service, the county board shall remove the individual from the40283
waiting list. If it determines that an individual needs a program40284
or service other than the one for which the individual is on the40285
waiting list, the county board shall provide the program or40286
service to the individual or place the individual on a waiting40287
list for the program or service in accordance with the board's40288
policy for waiting lists.40289

       When a program or service for which there is a waiting list40290
becomes available, the county board shall reassess the service40291
needs of the individual next scheduled on the waiting list to40292
receive that program or service. If the reassessment demonstrates40293
that the individual continues to need the program or service, the40294
board shall offer the program or service to the individual. If it40295
determines that an individual no longer needs a program or40296
service, the county board shall remove the individual from the40297
waiting list. If it determines that an individual needs a program40298
or service other than the one for which the individual is on the40299
waiting list, the county board shall provide the program or40300
service to the individual or place the individual on a waiting40301
list for the program or service in accordance with the board's40302
policy for waiting lists. The county board shall notify the40303
individual of the individual's placement and position on the40304
waiting list on which the individual is placed.40305

       (I) A child subject to a determination made pursuant to40306
section 121.38 of the Revised Code who requires the home and40307
community-based services provided through a medicaid component40308
that the department of mental retardation and developmental40309
disabilities administers under section 5111.871 of the Revised40310
Code shall receive services through that medicaid component. For40311
all other services, a child subject to a determination made40312
pursuant to section 121.38 of the Revised Code shall be treated as40313
an emergency by the county boards and shall not be subject to a40314
waiting list.40315

       (J) Not later than the fifteenth day of March of each40316
even-numbered year, each county board shall prepare and submit to40317
the director of mental retardation and developmental disabilities40318
its recommendations for the funding of services for individuals40319
with mental retardation and developmental disabilities and its40320
proposals for reducing the waiting lists for services.40321

       (K)(1) The department of mental retardation and developmental40322
disabilities shall adopt rules in accordance with Chapter 119. of40323
the Revised Code governing waiting lists established under this40324
section. The rules shall include procedures to be followed to40325
ensure that the due process rights of individuals placed on40326
waiting lists are not violated.40327

       (2) As part of the rules adopted under this division, the40328
department shall adopt rules establishing criteria a county board 40329
may use under division (F) of this section in determining the 40330
order in which individuals with priority for home and 40331
community-based services will be offered the services. The rules 40332
shall also specify conditions under which a county board, when 40333
there is no individual with priority for home and community-based 40334
services pursuant to division (D)(1) or (2) or (E) of this section 40335
available and appropriate for the services, may offer the services 40336
to an individual on a waiting list for the services but not given 40337
such priority for the services. The rules adopted under division 40338
(K)(2) of this section shall cease to have effect December 31, 40339
20072009.40340

       (3) As part of the rules adopted under this division, the 40341
department shall adopt rules specifying both of the following for 40342
the priority category established under division (E) of this 40343
section:40344

        (a) The number of years, which shall not exceed five, that 40345
the priority category will be in effect;40346

        (b) The date that the priority category is to go into effect.40347

        (L) The following shall take precedence over the applicable40348
provisions of this section:40349

       (1) Medicaid rules and regulations;40350

       (2) Any specific requirements that may be contained within a40351
medicaid state plan amendment or waiver program that a county40352
board has authority to administer or with respect to which it has40353
authority to provide services, programs, or supports.40354

       Sec. 5126.046. (A) Each county board of mental retardation40355
and developmental disabilities that has medicaid local40356
administrative authority under division (A) of section 5126.055 of40357
the Revised Code for habilitation, vocational, or community40358
employment services provided as part of home and community-based40359
services shall create a list of all persons and government40360
entities eligible to provide such habilitation, vocational, or40361
community employment services. If the county board chooses and is40362
eligible to provide such habilitation, vocational, or community40363
employment services, the county board shall include itself on the40364
list. The county board shall make the list available to each40365
individual with mental retardation or other developmental40366
disability who resides in the county and is eligible for such40367
habilitation, vocational, or community employment services. The40368
county board shall also make the list available to such40369
individuals' families.40370

       An individual with mental retardation or other developmental40371
disability who is eligible for habilitation, vocational, or40372
community employment services may choose the provider of the40373
services.40374

       A county board that has medicaid local administrative40375
authority under division (A) of section 5126.055 of the Revised40376
Code for habilitation, vocational, and community employment40377
services provided as part of home and community-based services40378
shall pay the nonfederal share of the habilitation, vocational,40379
and community employment services when required by section 40380
5126.057 of the Revised Code. The department of mental retardation 40381
and developmental disabilities shall pay the nonfederal share of 40382
such habilitation, vocational, and community employment services 40383
when required by section 5123.047 of the Revised Code.40384

       (B) Each month, the department of mental retardation and40385
developmental disabilities shall create a list of all persons and40386
government entities eligible to provide residential services and40387
supported living. The department shall include on the list all40388
residential facilities licensed under section 5123.19 of the40389
Revised Code and all supported living providers certified under40390
section 5126.4315123.161 of the Revised Code. The department 40391
shall distribute the monthly lists to county boards that have 40392
local administrative authority under division (A) of section 40393
5126.055 of the Revised Code for residential services and 40394
supported living provided as part of home and community-based 40395
services. A county board that receives a list shall make it 40396
available to each individual with mental retardation or other 40397
developmental disability who resides in the county and is eligible 40398
for such residential services or supported living. The county 40399
board shall also make the list available to the families of those 40400
individuals.40401

       An individual who is eligible for residential services or40402
supported living may choose the provider of the residential40403
services or supported living.40404

       A county board that has medicaid local administrative40405
authority under division (A) of section 5126.055 of the Revised40406
Code for residential services and supported living provided as40407
part of home and community-based services shall pay the nonfederal40408
share of the residential services and supported living when40409
required by section 5126.057 of the Revised Code. The department40410
shall pay the nonfederal share of the residential services and40411
supported living when required by section 5123.047 of the Revised40412
Code.40413

       (C) If a county board that has medicaid local administrative40414
authority under division (A) of section 5126.055 of the Revised40415
Code for home and community-based services violates the right40416
established by this section of an individual to choose a provider40417
that is qualified and willing to provide services to the40418
individual, the individual shall receive timely notice that the40419
individual may request a hearing under section 5101.35 of the40420
Revised Code.40421

       (D) The departments of mental retardation and developmental40422
disabilities and job and family services shall adopt rules in40423
accordance with Chapter 119. of the Revised Code governing the40424
implementation of this section. The rules shall include procedures 40425
for individuals to choose their service providers. The rules shall 40426
not be limited by a provider selection system established under 40427
section 5126.42 of the Revised Code, including any pool of 40428
providers created pursuant to a provider selection system.40429

       Sec. 5126.054.  (A) Each county board of mental retardation40430
and developmental disabilities shall, by resolution, develop a40431
three-calendar year plan that includes the following four40432
components:40433

       (1) An assessment component that includes all of the40434
following:40435

       (a) The number of individuals with mental retardation or40436
other developmental disability residing in the county who need the40437
level of care provided by an intermediate care facility for the40438
mentally retarded, may seek home and community-based services, are40439
given priority for the services pursuant to division (D) of40440
section 5126.042 of the Revised Code; the service needs of those40441
individuals; and the projected annualized cost for services;40442

       (b) The source of funds available to the county board to pay40443
the nonfederal share of medicaid expenditures that the county40444
board is required by division (A) of section 5126.057sections 40445
5126.059 and 5126.0510 of the Revised Code to pay;40446

       (c) Any other applicable information or conditions that the40447
department of mental retardation and developmental disabilities40448
requires as a condition of approving the component under section40449
5123.046 of the Revised Code.40450

       (2) A component that provides for the recruitment, training,40451
and retention of existing and new direct care staff necessary to40452
implement services included in individualized service plans,40453
including behavior management services and health management40454
services such as delegated nursing and other habilitation 40455
services, and protect the health and welfare of individuals40456
receiving services included in the individual's individualized40457
service plan by complying with safeguards for unusual and major40458
unusual incidents, day-to-day program management, and other40459
requirements the department shall identify. A county board shall40460
develop this component in collaboration with providers of40461
medicaid-funded services with which the county board contracts. A40462
county board shall include all of the following in the component:40463

       (a) The source and amount of funds available for the40464
component;40465

       (b) A plan and timeline for implementing the component with40466
the medicaid providers under contract with the county board;40467

       (c) The mechanisms the county board shall use to ensure the40468
financial and program accountability of the medicaid provider's40469
implementation of the component.40470

       (3) A preliminary implementation component that specifies the40471
number of individuals to be provided, during the first year that40472
the plan is in effect, home and community-based services pursuant40473
to the priority given to them under divisions (D)(1) and (2) of40474
section 5126.042 of the Revised Code and the types of home and40475
community-based services the individuals are to receive;40476

       (4) A component that provides for the implementation of 40477
medicaid case management services and home and community-based 40478
services for individuals who begin to receive the services on or 40479
after the date the plan is approved under section 5123.046 of the 40480
Revised Code. A county board shall include all of the following in 40481
the component:40482

       (a) If the department of mental retardation and developmental 40483
disabilities or department of job and family services requires, an 40484
agreement to pay the nonfederal share of medicaid expenditures 40485
that the county board is required by division (A) of section 40486
5126.057sections 5126.059 and 5126.0510 of the Revised Code to40487
pay;40488

       (b) How the services are to be phased in over the period the40489
plan covers, including how the county board will serve individuals40490
on a waiting list established under division (C) of section40491
5126.042 who are given priority status under division (D)(1) of40492
that section;40493

       (c) Any agreement or commitment regarding the county board's40494
funding of home and community-based services that the county board40495
has with the department at the time the county board develops the40496
component;40497

       (d) Assurances adequate to the department that the county40498
board will comply with all of the following requirements:40499

       (i) To provide the types of home and community-based services40500
specified in the preliminary implementation component required by40501
division (A)(3) of this section to at least the number of40502
individuals specified in that component;40503

       (ii) To use any additional funds the county board receives40504
for the services to improve the county board's resource40505
capabilities for supporting such services available in the county40506
at the time the component is developed and to expand the services40507
to accommodate the unmet need for those services in the county;40508

       (iii) To employ a business manager who is either a new40509
employee who has earned at least a bachelor's degree in business40510
administration or a current employee who has the equivalent40511
experience of a bachelor's degree in business administration. If40512
the county board will employ a new employee, the county board40513
shall include in the component a timeline for employing the40514
employee.40515

       (iv) To employ or contract with a medicaid services manager40516
who is either a new employee who has earned at least a bachelor's40517
degree or a current employee who has the equivalent experience of40518
a bachelor's degree. If the county board will employ a new40519
employee, the county board shall include in the component a40520
timeline for employing the employee. Two or three county boards40521
that have a combined total enrollment in county board services not40522
exceeding one thousand individuals as determined pursuant to40523
certifications made under division (B) of section 5126.12 of the40524
Revised Code may satisfy this requirement by sharing the services40525
of a medicaid services manager or using the services of a medicaid40526
services manager employed by or under contract with a regional40527
council that the county boards establish under section 5126.13 of40528
the Revised Code.40529

       (e) An agreement to comply with the method, developed by40530
rules adopted under section 5123.0413 of the Revised Code, of40531
paying for extraordinary costs, including extraordinary costs for40532
services to individuals with mental retardation or other40533
developmental disability, and ensuring the availability of40534
adequate funds in the event a county property tax levy for40535
services for individuals with mental retardation or other40536
developmental disability fails;40537

       (f) Programmatic and financial accountability measures and40538
projected outcomes expected from the implementation of the plan;40539

       (g) Any other applicable information or conditions that the40540
department requires as a condition of approving the component40541
under section 5123.046 of the Revised Code.40542

       (B) For the purpose of obtaining the department's approval40543
under section 5123.046 of the Revised Code of the plan the county40544
board develops under division (A) of this section, a county board40545
shall do all of the following:40546

       (1) Submit the components required by divisions (A)(1) and40547
(2) of this section to the department not later than August 1,40548
2001;40549

       (2) Submit the component required by division (A)(3) of this40550
section to the department not later than January 31, 2002;40551

       (3) Submit the component required by division (A)(4) of this40552
section to the department not later than July 1, 2002.40553

       (C) A county board whose plan developed under division (A) of 40554
this section is approved by the department under section 5123.046 40555
of the Revised Code shall update and renew the plan in accordance 40556
with a schedule the department shall develop.40557

       Sec. 5126.055.  (A) Except as provided in section 5126.056 40558
of the Revised Code, a county board of mental retardation and40559
developmental disabilities has medicaid local administrative40560
authority to, and shall, do all of the following for an individual40561
with mental retardation or other developmental disability who40562
resides in the county that the county board serves and seeks or40563
receives home and community-based services:40564

       (1) Perform assessments and evaluations of the individual. As 40565
part of the assessment and evaluation process, the county board40566
shall do all of the following:40567

       (a) Make a recommendation to the department of mental40568
retardation and developmental disabilities on whether the40569
department should approve or deny the individual's application for40570
the services, including on the basis of whether the individual40571
needs the level of care an intermediate care facility for the40572
mentally retarded provides;40573

       (b) If the individual's application is denied because of the40574
county board's recommendation and the individual requests a40575
hearing under section 5101.35 of the Revised Code, present, with40576
the department of mental retardation and developmental40577
disabilities or department of job and family services, whichever40578
denies the application, the reasons for the recommendation and40579
denial at the hearing;40580

       (c) If the individual's application is approved, recommend to 40581
the departments of mental retardation and developmental40582
disabilities and job and family services the services that should40583
be included in the individual's individualized service plan and,40584
if either department approves, reduces, denies, or terminates a40585
service included in the individual's individualized service plan40586
under section 5111.871 of the Revised Code because of the county40587
board's recommendation, present, with the department that made the40588
approval, reduction, denial, or termination, the reasons for the40589
recommendation and approval, reduction, denial, or termination at40590
a hearing under section 5101.35 of the Revised Code.40591

       (2) If the individual has been identified by the department40592
of mental retardation and developmental disabilities as an40593
individual to receive priority for home and community-based40594
services pursuant to division (D)(3) of section 5126.042 of the40595
Revised Code, assist the department in expediting the transfer of40596
the individual from an intermediate care facility for the mentally40597
retarded or nursing facility to the home and community-based40598
services;40599

       (3) In accordance with the rules adopted under section40600
5126.046 of the Revised Code, perform the county board's duties40601
under that section regarding assisting the individual's right to40602
choose a qualified and willing provider of the services and, at a40603
hearing under section 5101.35 of the Revised Code, present40604
evidence of the process for appropriate assistance in choosing40605
providers;40606

       (4) Unless the county board provides the services under40607
division (A)(5) of this section, contract with the person or40608
government entity the individual chooses in accordance with40609
section 5126.046 of the Revised Code to provide the services if40610
the person or government entity is qualified and agrees to provide40611
the services. The contract shall contain all the provisions40612
required by section 5126.035 of the Revised Code and require the40613
provider to agree to furnish, in accordance with the provider's40614
medicaid provider agreement and for the authorized reimbursement40615
rate, the services the individual requires.40616

       (5) If the county board is certified under section 5123.1640617
5123.161 of the Revised Code to provide the services and agrees to40618
provide the services to the individual and the individual chooses40619
the county board to provide the services, furnish, in accordance40620
with the county board's medicaid provider agreement and for the40621
authorized reimbursement rate, the services the individual40622
requires;40623

       (6)(5) Monitor the services provided to the individual and40624
ensure the individual's health, safety, and welfare. The40625
monitoring shall include quality assurance activities. If the40626
county board provides the services, the department of mental40627
retardation and developmental disabilities shall also monitor the40628
services.40629

       (7)(6) Develop, with the individual and the provider of the40630
individual's services, an effective individualized service plan40631
that includes coordination of services, recommend that the40632
departments of mental retardation and developmental disabilities40633
and job and family services approve the plan, and implement the40634
plan unless either department disapproves it;40635

       (8)(7) Have an investigative agent conduct investigations 40636
under section 5126.313 of the Revised Code that concern the 40637
individual;40638

       (9)(8) Have a service and support administrator perform the40639
duties under division (B)(9) of section 5126.15 of the Revised40640
Code that concern the individual.40641

       (B) A county board shall perform its medicaid local40642
administrative authority under this section in accordance with all40643
of the following:40644

       (1) The county board's plan that the department of mental40645
retardation and developmental disabilities approves under section40646
5123.046 of the Revised Code;40647

       (2) All applicable federal and state laws;40648

       (3) All applicable policies of the departments of mental40649
retardation and developmental disabilities and job and family40650
services and the United States department of health and human40651
services;40652

       (4) The department of job and family services' supervision40653
under its authority under section 5111.01 of the Revised Code to40654
act as the single state medicaid agency;40655

       (5) The department of mental retardation and developmental40656
disabilities' oversight.40657

       (C) The departments of mental retardation and developmental40658
disabilities and job and family services shall communicate with40659
and provide training to county boards regarding medicaid local40660
administrative authority granted by this section. The40661
communication and training shall include issues regarding audit40662
protocols and other standards established by the United States40663
department of health and human services that the departments40664
determine appropriate for communication and training. County40665
boards shall participate in the training. The departments shall40666
assess the county board's compliance against uniform standards40667
that the departments shall establish.40668

       (D) A county board may not delegate its medicaid local40669
administrative authority granted under this section but may40670
contract with a person or government entity, including a council40671
of governments, for assistance with its medicaid local40672
administrative authority. A county board that enters into such a40673
contract shall notify the director of mental retardation and40674
developmental disabilities. The notice shall include the tasks and40675
responsibilities that the contract gives to the person or40676
government entity. The person or government entity shall comply in 40677
full with all requirements to which the county board is subject40678
regarding the person or government entity's tasks and40679
responsibilities under the contract. The county board remains40680
ultimately responsible for the tasks and responsibilities.40681

       (E) A county board that has medicaid local administrative40682
authority under this section shall, through the departments of40683
mental retardation and developmental disabilities and job and40684
family services, reply to, and cooperate in arranging compliance40685
with, a program or fiscal audit or program violation exception40686
that a state or federal audit or review discovers. The department40687
of job and family services shall timely notify the department of40688
mental retardation and developmental disabilities and the county40689
board of any adverse findings. After receiving the notice, the40690
county board, in conjunction with the department of mental40691
retardation and developmental disabilities, shall cooperate fully40692
with the department of job and family services and timely prepare40693
and send to the department a written plan of correction or40694
response to the adverse findings. The county board is liable for40695
any adverse findings that result from an action it takes or fails40696
to take in its implementation of medicaid local administrative40697
authority.40698

       (F) If the department of mental retardation and developmental 40699
disabilities or department of job and family services determines 40700
that a county board's implementation of its medicaid local 40701
administrative authority under this section is deficient, the 40702
department that makes the determination shall require that county 40703
board do the following:40704

       (1) If the deficiency affects the health, safety, or welfare40705
of an individual with mental retardation or other developmental40706
disability, correct the deficiency within twenty-four hours;40707

       (2) If the deficiency does not affect the health, safety, or40708
welfare of an individual with mental retardation or other40709
developmental disability, receive technical assistance from the40710
department or submit a plan of correction to the department that40711
is acceptable to the department within sixty days and correct the40712
deficiency within the time required by the plan of correction.40713

       Sec. 5126.056. (A) The department of mental retardation and40714
developmental disabilities shall take action under division (B) of40715
this section against a county board of mental retardation and40716
developmental disabilities if any of the following are the case:40717

       (1) The county board fails to submit to the department all40718
the components of its three-year plan required by section 5126.05440719
of the Revised Code within the time required by division (B) of40720
that section.40721

       (2) The department disapproves the county board's three-year40722
plan under section 5123.046 of the Revised Code.40723

       (3) The county board fails, as required by division (C) of40724
section 5126.054 of the Revised Code, to update and renew its40725
three-year plan in accordance with a schedule the department40726
develops under that section.40727

       (4) The county board fails to implement its initial or40728
renewed three-year plan approved by the department.40729

       (5) The county board fails to correct a deficiency within the 40730
time required by division (F) of section 5126.055 of the Revised 40731
Code to the satisfaction of the department.40732

       (6) The county board fails to submit an acceptable plan of40733
correction to the department within the time required by division40734
(F)(2) of section 5126.055 of the Revised Code.40735

       (B) If required by division (A) of this section to take40736
action against a county board, the department shall issue an order40737
terminating the county board's medicaid local administrative40738
authority over all or part of home and community-based services,40739
medicaid case management services, or all or part of both of those 40740
services. The department shall provide a copy of the order to the 40741
board of county commissioners, senior probate judge, county40742
auditor, and president and superintendent of the county board. The40743
department shall specify in the order the medicaid local40744
administrative authority that the department is terminating, the40745
reason for the termination, and the county board's option and40746
responsibilities under this division.40747

       A county board whose medicaid local administrative authority40748
is terminated may, not later than thirty days after the department40749
issues the termination order, recommend to the department that40750
another county board that has not had any of its medicaid local40751
administrative authority terminated or another entity the40752
department approves administer the services for which the county40753
board's medicaid local administrative authority is terminated. The40754
department may contract with the other county board or entity to40755
administer the services. If the department enters into such a40756
contract, the county board shall adopt a resolution giving the40757
other county board or entity full medicaid local administrative40758
authority over the services that the other county board or entity40759
is to administer. The other county board or entity shall be known40760
as the contracting authority.40761

       If the department rejects the county board's recommendation40762
regarding a contracting authority, the county board may appeal the40763
rejection under section 5123.043 of the Revised Code.40764

       If the county board does not submit a recommendation to the40765
department regarding a contracting authority within the required40766
time or the department rejects the county board's recommendation40767
and the rejection is upheld pursuant to an appeal, if any, under40768
section 5123.043 of the Revised Code, the department shall appoint40769
an administrative receiver to administer the services for which40770
the county board's medicaid local administrative authority is40771
terminated. To the extent necessary for the department to appoint40772
an administrative receiver, the department may utilize employees40773
of the department, management personnel from another county board,40774
or other individuals who are not employed by or affiliated with in40775
any manner a person that provides home and community-based40776
services or medicaid case management services pursuant to a 40777
contract with any county board. The administrative receiver shall 40778
assume full administrative responsibility for the county board's 40779
services for which the county board's medicaid local 40780
administrative authority is terminated.40781

       The contracting authority or administrative receiver shall40782
develop and submit to the department a plan of correction to40783
remediate the problems that caused the department to issue the40784
termination order. If, after reviewing the plan, the department40785
approves it, the contracting authority or administrative receiver40786
shall implement the plan.40787

       The county board shall transfer control of state and federal40788
funds it is otherwise eligible to receive for the services for40789
which the county board's medicaid local administrative authority40790
is terminated and funds the county board may use under division40791
(B)(A) of section 5126.0575126.0511 of the Revised Code to pay 40792
the nonfederal share of the services that the county board is 40793
required by division (A) of that sectionsections 5126.059 and 40794
5126.0510 of the Revised Code to pay. The county board shall40795
transfer control of the funds to the contracting authority or40796
administrative receiver administering the services. The amount the 40797
county board shall transfer shall be the amount necessary for the 40798
contracting authority or administrative receiver to fulfill its 40799
duties in administering the services, including its duties to pay 40800
its personnel for time worked, travel, and related matters. If the 40801
county board fails to make the transfer, the department may40802
withhold the state and federal funds from the county board and40803
bring a mandamus action against the county board in the court of40804
common pleas of the county served by the county board or in the40805
Franklin county court of common pleas. The mandamus action may not 40806
require that the county board transfer any funds other than the 40807
funds the county board is required by division (B) of this section 40808
to transfer.40809

       The contracting authority or administrative receiver has the40810
right to authorize the payment of bills in the same manner that40811
the county board may authorize payment of bills under this chapter40812
and section 319.16 of the Revised Code.40813

       Sec. 5126.059.  A county board of mental retardation and 40814
developmental disabilities shall pay the nonfederal share of 40815
medicaid expenditures for medicaid case management services the 40816
county board provides to an individual with mental retardation or 40817
other developmental disability who the county board determines 40818
under section 5126.041 of the Revised Code is eligible for county 40819
board services.40820

       Sec. 5126.0510.  (A) Except as otherwise provided in an 40821
agreement entered into under section 5123.048 of the Revised Code 40822
and subject to divisions (B), (C), and (D) of this section, a 40823
county board of mental retardation and developmental disabilities 40824
shall pay the nonfederal share of medicaid expenditures for the 40825
following home and community-based services provided to an 40826
individual with mental retardation or other developmental 40827
disability who the county board determines under section 5126.041 40828
of the Revised Code is eligible for county board services:40829

       (1) Home and community-based services that the county board 40830
provides to such an individual;40831

       (2) Home and community-based services provided by a provider 40832
other than the county board to such an individual who is enrolled 40833
as of June 30, 2007, in the medicaid waiver component under which 40834
the services are provided;40835

       (3) Home and community-based services provided by a provider 40836
other than the county board to such an individual who, pursuant to 40837
a request the county board makes, enrolls in the medicaid waiver 40838
component under which the services are provided after June 30, 40839
2007; 40840

       (4) Home and community-based services provided by a provider 40841
other than the county board to such an individual for whom there 40842
is in effect an agreement entered into under division (E) of this 40843
section between the county board and director of mental 40844
retardation and developmental disabilities.40845

       (B) In the case of medicaid expenditures for home and 40846
community-based services for which division (A)(2) of this section 40847
requires a county board to pay the nonfederal share, the following 40848
shall apply to such services provided during fiscal year 2008 40849
under the individual options medicaid waiver component:40850

       (1) The county board shall pay no less than the total amount 40851
the county board paid as the nonfederal share for home and 40852
community-based services provided in fiscal year 2007 under the 40853
individual options medicaid waiver component;40854

       (2) The county board shall pay no more than the sum of the 40855
following:40856

       (a) The total amount the county board paid as the nonfederal 40857
share for home and community-based services provided in fiscal 40858
year 2007 under the individual options medicaid waiver component;40859

       (b) An amount equal to one per cent of the total amount the 40860
department of mental retardation and developmental disabilities 40861
and county board paid as the nonfederal share for home and 40862
community-based services provided in fiscal year 2007 under the 40863
individual options medicaid waiver component to individuals the 40864
county department determined under section 5126.041 of the Revised 40865
Code are eligible for county board services.40866

       (C) A county board is not required to pay the nonfederal 40867
share of home and community-based services provided after June 30, 40868
2008, that the county board is otherwise required by division 40869
(A)(2) of this section to pay if the department of mental 40870
retardation and developmental disabilities fails to comply with 40871
division (A) of section 5123.0416 of the Revised Code.40872

       (D) A county board is not required to pay the nonfederal 40873
share of home and community-based services that the county board 40874
is otherwise required by division (A)(3) of this section to pay if 40875
both of the following apply:40876

       (1) The services are provided to an individual who enrolls in 40877
the medicaid waiver component under which the services are 40878
provided as the result of an order issued following a state 40879
hearing, administrative appeal, or appeal to a court of common 40880
pleas made under section 5101.35 of the Revised Code;40881

       (2) There are more individuals who are eligible for services 40882
from the county board enrolled in the medicaid waiver component 40883
than is required by section 5126.0512 of the Revised Code.40884

       (E) A county board may enter into an agreement with the 40885
director of mental retardation and developmental disabilities 40886
under which the county board agrees to pay the nonfederal share of 40887
medicaid expenditures for one or more home and community-based 40888
services that the county board is not otherwise required by 40889
division (A)(1), (2), or (3) of this section to pay and that are 40890
provided to an individual the county board determines under 40891
section 5126.041 of the Revised Code is eligible for county board 40892
services. The agreement shall specify which home and 40893
community-based services the agreement covers. The county board 40894
shall pay the nonfederal share of medicaid expenditures for the 40895
home and community-based services that the agreement covers as 40896
long as the agreement is in effect.40897

       Sec. 5126.057.        Sec. 5126.0511. (A) A county board of mental40898
retardation and developmental disabilities that has medicaid local40899
administrative authority under division (A) of section 5126.055 of40900
the Revised Code for home and community-based services shall pay40901
the nonfederal share of medicaid expenditures for such services40902
provided to an individual with mental retardation or other40903
developmental disability who the county board determines under40904
section 5126.041 of the Revised Code is eligible for county board40905
services unless division (B)(2) or (3) of section 5123.047 of the 40906
Revised Code requires the department of mental retardation and40907
developmental disabilities to pay the nonfederal share.40908

       A county board that provides medicaid case management 40909
services shall pay the nonfederal share of medicaid expenditures 40910
for such services provided to an individual with mental 40911
retardation or other developmental disability who the county board 40912
determines under section 5126.041 of the Revised Code is eligible 40913
for county board services.40914

       (B) A county board of mental retardation and developmental 40915
disabilities may use the following funds to pay the nonfederal 40916
share of the servicesmedicaid expenditures that the county board 40917
is required by division (A)sections 5126.059 and 5126.0510 of 40918
this sectionthe Revised Code to pay:40919

       (1) To the extent consistent with the levy that generated the 40920
taxes, the following taxes:40921

       (a) Taxes levied pursuant to division (L) of section 5705.1940922
of the Revised Code and section 5705.222 of the Revised Code;40923

       (b) Taxes levied under section 5705.191 of the Revised Code40924
that the board of county commissioners allocates to the county40925
board to pay the nonfederal share of the services.40926

       (2) Funds that the department of mental retardation and40927
developmental disabilities distributes to the county board under40928
sections 5126.11, 5126.12, 5126.15,section 5126.18, and 5126.4440929
of the Revised Code;40930

        (3) Earned federal revenue funds the county board receives40931
for medicaid services the county board provides pursuant to the40932
county board's valid medicaid provider agreement;40933

       (4) Funds that the department of mental retardation and 40934
developmental disabilities distributes to the county board as 40935
subsidy payments;40936

       (5) In the case of medicaid expenditures for home and 40937
community-based services, funds allocated to or otherwise made 40938
available for the county board under section 5123.0416 of the 40939
Revised Code to pay the nonfederal share of such medicaid 40940
expenditures.40941

       (C) If by December 31, 2001, the United States secretary of40942
health and human services approves at least five hundred more40943
slots for home and community-based services for calendar year 200240944
than were available for calendar year 2001, each county board40945
shall provide, by the last day of calendar year 2001, assurances40946
to the department of mental retardation and developmental40947
disabilities that the county board will have for calendar year40948
2002 at least one-third of the value of one-half, effective mill40949
levied in the county the preceding year available to pay the40950
nonfederal share of the services that the county board is required40951
by division (A) of this section to pay.40952

       If by December 31, 2002, the United States secretary approves40953
at least five hundred more slots for home and community-based40954
services for calendar year 2003 than were available for calendar40955
year 2002, each county board shall provide, by the last day of40956
calendar year 2002, assurances to the department that the county40957
board will have for calendar year 2003 at least two-thirds of the40958
value of one-half, effective mill levied in the county the40959
preceding year available to pay the nonfederal share of the40960
services that the county board is required by division (A) of this40961
section to pay.40962

       If by December 31, 2003, the United States secretary approves40963
at least five hundred more slots for home and community-based40964
services for calendar year 2004 than were available for calendar40965
year 2003, each county board shall provide, by the last day of40966
calendar year 2003 and each calendar year thereafter, assurances40967
to the department that the county board will have for calendar40968
year 2004 and each calendar year thereafter at least the value of40969
one-half, effective mill levied in the county the preceding year40970
available to pay the nonfederal share of the services that the40971
county board is required by division (A) of this section to pay.40972

       (D) Each year, each county board shall adopt a resolution40973
specifying the amount of funds it will use in the next year to pay40974
the nonfederal share of the servicesmedicaid expenditures that 40975
the county board is required by division (A) of this section40976
sections 5126.059 and 5126.0510 of the Revised Code to pay. The 40977
amount specified shall be adequate to assure that the services for 40978
which the medicaid expenditures are made will be available in the 40979
county in a manner that conforms to all applicable state and 40980
federal laws. A county board shall state in its resolution that 40981
the payment of the nonfederal share represents an ongoing 40982
financial commitment of the county board. A county board shall 40983
adopt the resolution in time for the county auditor to make the 40984
determination required by division (E)(C) of this section.40985

       (E)(C) Each year, a county auditor shall determine whether 40986
the amount of funds a county board specifies in the resolution it40987
adopts under division (D)(B) of this section will be available in 40988
the following year for the county board to pay the nonfederal 40989
share of the servicesmedicaid expenditures that the county board 40990
is required by division (A) of this sectionsections 5126.059 and 40991
5126.0510 of the Revised Code to pay. The county auditor shall 40992
make the determination not later than the last day of the year 40993
before the year in which the funds are to be used.40994

       Sec. 5126.0512.  (A) As used in this section, "medicaid 40995
waiver component" means a medicaid waiver component as defined in 40996
section 5111.85 of the Revised Code under which home and 40997
community-based services are provided.40998

       (B) Effective July 1, 2007, each county board of mental 40999
retardation and developmental disabilities shall ensure, for each 41000
medicaid waiver component, that the number of individuals eligible 41001
under section 5126.041 of the Revised Code for services from the 41002
county board who are enrolled in a medicaid waiver component is no 41003
less than the sum of the following:41004

       (1) The number of individuals eligible for services from the 41005
county board who are enrolled in the medicaid waiver component on 41006
June 30, 2007;41007

       (2) The number of medicaid waiver component slots that the 41008
county board requested before July 1, 2007, were assigned to the 41009
county board before that date, but in which no individual was 41010
enrolled before that date.41011

       (C) An individual enrolled in a medicaid waiver component 41012
after March 1, 2007, due to an emergency reserve capacity waiver 41013
assignment shall not be counted in determining the number of 41014
individuals a county board must ensure under division (B) of this 41015
section are enrolled in a medicaid waiver component.41016

       (D) An individual who is enrolled in a medicaid waiver 41017
component to comply with the terms of the consent order filed 41018
March 5, 2007, in Martin v. Strickland, Case No. 89-CV-00362, in 41019
the United States district court for the southern district of 41020
Ohio, eastern division, shall be excluded in determining whether a 41021
county board has complied with division (B) of this section.41022

       (E) A county board shall make as many requests for 41023
individuals to be enrolled in a medicaid waiver component as 41024
necessary for the county board to comply with division (B) of this 41025
section.41026

       Sec. 5126.06.  (A) Except as provided in division (B) of this 41027
section and section 5126.036 of the Revised Code, any person who 41028
has a complaint involving any of the programs, services, policies, 41029
or administrative practices of a county board of mental41030
retardation and developmental disabilities or any of the entities41031
under contract with the county board, may file a complaint with41032
the board. Prior to commencing a civil action regarding the41033
complaint, a person shall attempt to have the complaint resolved41034
through the administrative resolution process established in the41035
rules adopted under section 5123.043 of the Revised Code. After41036
exhausting the administrative resolution process, the person may41037
commence a civil action if the complaint is not settled to the41038
person's satisfaction.41039

       (B) An employee of a county board may not file under this41040
section a complaint related to the terms and conditions of41041
employment of the employee.41042

       Sec. 5126.11.  (A) As used in this section, "respite care"41043
means appropriate, short-term, temporary care that is provided to41044
a mentally retarded or developmentally disabled person to sustain41045
the family structure or to meet planned or emergency needs of the41046
family.41047

       (B) Subject to rules adopted by the director of mental41048
retardation and developmental disabilities, and subject to the41049
availability of money from state and federal sources, the county41050
board of mental retardation and developmental disabilities shall41051
establish a family support services program. Under such a program, 41052
the board shall make payments to an individual with mental 41053
retardation or other developmental disability or the family of an 41054
individual with mental retardation or other developmental41055
disability who desires to remain in and be supported in the family41056
home. Payments shall be made for all or part of costs incurred or41057
estimated to be incurred for services that would promote41058
self-sufficiency and normalization, prevent or reduce41059
inappropriate institutional care, and further the unity of the41060
family by enabling the family to meet the special needs of the41061
individual and to live as much like other families as possible.41062
Payments may be made in the form of reimbursement for expenditures41063
or in the form of vouchers to be used to purchase services.41064

       (C) Payment shall not be made under this section to an41065
individual or the individual's family if the individual is living41066
in a residential facility that is providing residential services41067
under contract with the department of mental retardation and41068
developmental disabilities or a county board.41069

       (D) Payments may be made for the following services:41070

       (1) Respite care, in or out of the home;41071

       (2) Counseling, supervision, training, and education of the41072
individual, the individual's caregivers, and members of the41073
individual's family that aid the family in providing proper care41074
for the individual, provide for the special needs of the family,41075
and assist in all aspects of the individual's daily living;41076

       (3) Special diets, purchase or lease of special equipment, or 41077
modifications of the home, if such diets, equipment, or41078
modifications are necessary to improve or facilitate the care and41079
living environment of the individual;41080

       (4) Providing support necessary for the individual's41081
continued skill development, including such services as41082
development of interventions to cope with unique problems that may41083
occur within the complexity of the family, enrollment of the41084
individual in special summer programs, provision of appropriate41085
leisure activities, and other social skills development41086
activities;41087

       (5) Any other services that are consistent with the purposes41088
specified in division (B) of this section and specified in the41089
individual's service plan.41090

       (E) In order to be eligible for payments under a family41091
support services program, the individual or the individual's41092
family must reside in the county served by the county board, and41093
the individual must be in need of habilitation. Payments shall be41094
adjusted for income in accordance with the payment schedule41095
established in rules adopted under this section. Payments shall be 41096
made only after the county board has taken into account all other 41097
available assistance for which the individual or family is41098
eligible.41099

       (F) Before incurring expenses for a service for which payment 41100
will be sought under a family support services program, the 41101
individual or family shall apply to the county board for a41102
determination of eligibility and approval of the service. The41103
service need not be provided in the county served by the county41104
board. After being determined eligible and receiving approval for41105
the service, the individual or family may incur expenses for the41106
service or use the vouchers received from the county board for the41107
purchase of the service.41108

       If the county board refuses to approve a service, an appeal41109
may be made in accordance with rules adopted by the department41110
under this section.41111

       (G) To be reimbursed for expenses incurred for approved41112
services, the individual or family shall submit to the county41113
board a statement of the expenses incurred accompanied by any41114
evidence required by the board. To redeem vouchers used to41115
purchase approved services, the entity that provided the service41116
shall submit to the county board evidence that the service was41117
provided and a statement of the charges. The county board shall41118
make reimbursements and redeem vouchers no later than forty-five41119
days after it receives the statements and evidence required by41120
this division.41121

       (H) A county board shall consider the following objectives in 41122
carrying out a family support services program:41123

       (1) Enabling individuals to return to their families from an41124
institution under the jurisdiction of the department of mental41125
retardation and developmental disabilities;41126

       (2) Enabling individuals found to be subject to41127
institutionalization by court order under section 5123.76 of the41128
Revised Code to remain with their families with the aid of41129
payments provided under this section;41130

       (3) Providing services to eligible children and adults41131
currently residing in the community;41132

       (4) Providing services to individuals with developmental41133
disabilities who are not receiving other services from the board.41134

       (I) The director shall adopt, and may amend and rescind,41135
rules for the implementation of family support services programs41136
by county boards. Such rules shall include the following:41137

       (1) A payment schedule adjusted for income;41138

       (2) A formula for distributing to county boards the money41139
appropriated for family support services;41140

       (3) Standards for supervision, training, and quality control41141
in the provision of respite care services;41142

       (4)(3) Eligibility standards and procedures for providing41143
temporary emergency respite care;41144

       (5)(4) Procedures for hearing and deciding appeals made under41145
division (F) of this section;41146

       (6) Requirements to be followed by county boards regarding41147
reports submitted under division (K) of this section.41148

       Rules adopted under divisionsdivision (I)(1) and (2) of this41149
section shall be adopted in accordance with section 111.15 of the41150
Revised Code. Rules adopted under divisions (I)(3)(2) to (6)(4) of41151
this section shall be adopted in accordance with Chapter 119. of41152
the Revised Code.41153

       (J) All individuals certified by the superintendent of the41154
county board as eligible for temporary emergency respite care in41155
accordance with rules adopted under this section shall be41156
considered eligible for temporary emergency respite care for not41157
more than five days to permit the determination of eligibility for41158
family support services. The requirements of divisions (E) and (F) 41159
of this section do not apply to temporary emergency respite care.41160

       (K) The department of mental retardation and developmental 41161
disabilities shall distribute to county boards money appropriated 41162
for family support services in quarterly installments of equal 41163
amounts. The installments shall be made not later than the 41164
thirtieth day of September, the thirty-first day of December, the 41165
thirty-first day of March, and the thirtieth day of June. A county 41166
board shall use no more than seven per cent of the funds for 41167
administrative costs. Each county board shall submit reports to 41168
the department on payments made under this section. The reports 41169
shall be submitted at those times and in the manner specified in 41170
rules adopted under this section.41171

       (L) The county board shall not be required to make payments41172
for family support services at a level that exceeds available41173
state and federal funds for such payments.41174

       Sec. 5126.12.  (A) As used in this section:41175

       (1) "Approved school age class" means a class operated by a41176
county board of mental retardation and developmental disabilities41177
and funded by the department of education under section 3317.20 of 41178
the Revised Code.41179

       (2) "Approved preschool unit" means a class or unit operated41180
by a county board of mental retardation and developmental41181
disabilities and approved under division (B) of section 3317.05 of 41182
the Revised Code.41183

       (3) "Active treatment" means a continuous treatment program,41184
which includes aggressive, consistent implementation of a program41185
of specialized and generic training, treatment, health services,41186
and related services, that is directed toward the acquisition of41187
behaviors necessary for an individual with mental retardation or41188
other developmental disability to function with as much41189
self-determination and independence as possible and toward the41190
prevention of deceleration, regression, or loss of current optimal41191
functional status.41192

       (4) "Eligible for active treatment" means that an individual41193
with mental retardation or other developmental disability resides41194
in an intermediate care facility for the mentally retarded41195
certified under Title XIX of the "Social Security Act," 79 Stat. 41196
286 (1965), 42 U.S.C. 1396, as amended; resides in a state41197
institution operated by the department of mental retardation and41198
developmental disabilities; or is enrolled in home and41199
community-based services.41200

       (5) "Traditional adult services" means vocational and41201
nonvocational activities conducted within a sheltered workshop or41202
adult activity center or supportive home services.41203

       (B) Each county board of mental retardation and developmental 41204
disabilities shall certify to the director of mental retardation 41205
and developmental disabilities all of the following:41206

       (1) On or before the fifteenth day of October, the average41207
daily membership for the first full week of programs and services41208
during October receiving:41209

       (a) Early childhood services provided pursuant to section41210
5126.05 of the Revised Code for children who are less than three41211
years of age on the thirtieth day of September of the academic41212
year;41213

       (b) Special education for handicapped children in approved41214
school age classes;41215

       (c) Adult services for persons sixteen years of age and older 41216
operated pursuant to section 5126.05 and division (B) of section 41217
5126.051 of the Revised Code. Separate counts shall be made for41218
the following:41219

       (i) Persons enrolled in traditional adult services who are41220
eligible for but not enrolled in active treatment;41221

       (ii) Persons enrolled in traditional adult services who are41222
eligible for and enrolled in active treatment;41223

       (iii) Persons enrolled in traditional adult services but who41224
are not eligible for active treatment;41225

       (iv) Persons participating in community employment services.41226
To be counted as participating in community employment services, a41227
person must have spent an average of no less than ten hours per41228
week in that employment during the preceding six months.41229

       (d) Other programs in the county for individuals with mental41230
retardation and developmental disabilities that have been approved41231
for payment of subsidy by the department of mental retardation and41232
developmental disabilities.41233

       The membership in each such program and service in the county41234
shall be reported on forms prescribed by the department of mental41235
retardation and developmental disabilities.41236

       The department of mental retardation and developmental41237
disabilities shall adopt rules defining full-time equivalent41238
enrollees and for determining the average daily membership41239
therefrom, except that certification of average daily membership41240
in approved school age classes shall be in accordance with rules41241
adopted by the state board of education. The average daily41242
membership figure shall be determined by dividing the amount41243
representing the sum of the number of enrollees in each program or41244
service in the week for which the certification is made by the41245
number of days the program or service was offered in that week. No41246
enrollee may be counted in average daily membership for more than41247
one program or service.41248

       (2) By the fifteenth day of December, the number of children41249
enrolled in approved preschool units on the first day of December;41250

       (3) On or before the thirtieth day of MarchApril, an 41251
itemized report of all income and operating expenditures for the41252
immediately preceding calendar year, in the format specified by41253
the department of mental retardation and developmental41254
disabilities;41255

       (4) By the fifteenth day of February, a report of the total41256
annual cost per enrollee for operation of programs and services in41257
the preceding calendar year. The report shall include a grand41258
total of all programs operated, the cost of the individual41259
programs, and the sources of funds applied to each program.41260

       (5) That each required certification and report is in41261
accordance with rules established by the department of mental41262
retardation and developmental disabilities and the state board of41263
education for the operation and subsidization of the programs and41264
services.41265

       (C) To compute payments under this section to the board for41266
the fiscal year, the department of mental retardation and41267
developmental disabilities shall use the certification of average41268
daily membership required by division (B)(1) of this section41269
exclusive of the average daily membership in any approved school41270
age class and the number in any approved preschool unit.41271

       (D) The department shall pay each county board for each41272
fiscal year an amount equal to nine hundred fifty dollars times41273
the certified number of persons who on the first day of December41274
of the academic year are under three years of age and are not in41275
an approved preschool unit. For persons who are at least age41276
sixteen and are not in an approved school age class, the41277
department shall pay each county board for each fiscal year the41278
following amounts:41279

       (1) One thousand dollars times the certified average daily41280
membership of persons enrolled in traditional adult services who41281
are eligible for but not enrolled in active treatment;41282

       (2) One thousand two hundred dollars times the certified41283
average daily membership of persons enrolled in traditional adult41284
services who are eligible for and enrolled in active treatment;41285

       (3) No less than one thousand five hundred dollars times the41286
certified average daily membership of persons enrolled in41287
traditional adult services but who are not eligible for active41288
treatment;41289

       (4) No less than one thousand five hundred dollars times the41290
certified average daily membership of persons participating in41291
community employment services.41292

       (E) The department shall distribute this subsidy to county41293
boards in quarterly installments of equal amounts. The41294
installments shall be made not later than the thirtieth day of 41295
September, the thirty-first day of December, the thirty-first day 41296
of March, and the thirtieth day of June.41297

       (F) The director of mental retardation and developmental41298
disabilities shall make efforts to obtain increases in the41299
subsidies for early childhood services and adult services so that41300
the amount of the subsidies is equal to at least fifty per cent of41301
the statewide average cost of those services minus any applicable41302
federal reimbursements for those services. The director shall41303
advise the director of budget and management of the need for any41304
such increases when submitting the biennial appropriations request41305
for the department.41306

       (G) In determining the reimbursement of a county board for41307
the provision of service and support administration, family41308
support services, and other services required or approved by the41309
director for which children three through twenty-one years of age41310
are eligible, the department shall include the average daily41311
membership in approved school age or preschool units. The41312
department, in accordance with this section and upon receipt and41313
approval of the certification required by this section and any41314
other information it requires to enable it to determine a board's41315
payments, shall pay the agency providing the specialized training41316
the amounts payable under this section.41317


       Sec. 5126.15.  (A) A county board of mental retardation and41319
developmental disabilities shall provide service and support41320
administration to each individual three years of age or older who41321
is eligible for service and support administration if the41322
individual requests, or a person on the individual's behalf41323
requests, service and support administration. A board shall41324
provide service and support administration to each individual41325
receiving home and community-based services. A board may provide,41326
in accordance with the service coordination requirements of 3441327
C.F.R. 303.23, service and support administration to an individual41328
under three years of age eligible for early intervention services41329
under 34 C.F.R. part 303. A board may provide service and support41330
administration to an individual who is not eligible for other41331
services of the board. Service and support administration shall be41332
provided in accordance with rules adopted under section 5126.08 of41333
the Revised Code.41334

       A board may provide service and support administration by41335
directly employing service and support administrators or by41336
contracting with entities for the performance of service and41337
support administration. Individuals employed or under contract as41338
service and support administrators shall not be in the same41339
collective bargaining unit as employees who perform duties that41340
are not administrative.41341

       Individuals employed by a board as service and support41342
administrators shall not be assigned responsibilities for41343
implementing other services for individuals and shall not be41344
employed by or serve in a decision-making or policy-making41345
capacity for any other entity that provides programs or services41346
to individuals with mental retardation or developmental41347
disabilities. An individual employed as a conditional status41348
service and support administrator shall perform the duties of41349
service and support administration only under the supervision of a41350
management employee who is a service and support administration41351
supervisor.41352

       (B) The individuals employed by or under contract with a41353
board to provide service and support administration shall do all41354
of the following:41355

       (1) Establish an individual's eligibility for the services of 41356
the county board of mental retardation and developmental41357
disabilities;41358

       (2) Assess individual needs for services;41359

       (3) Develop individual service plans with the active41360
participation of the individual to be served, other persons41361
selected by the individual, and, when applicable, the provider41362
selected by the individual, and recommend the plans for approval41363
by the department of mental retardation and developmental41364
disabilities when services included in the plans are funded41365
through medicaid;41366

       (4) Establish budgets for services based on the individual's41367
assessed needs and preferred ways of meeting those needs;41368

       (5) Assist individuals in making selections from among the41369
providers they have chosen;41370

       (6) Ensure that services are effectively coordinated and41371
provided by appropriate providers;41372

       (7) Establish and implement an ongoing system of monitoring41373
the implementation of individual service plans to achieve41374
consistent implementation and the desired outcomes for the41375
individual;41376

       (8) Perform quality assurance reviews as a distinct function41377
of service and support administration;41378

       (9) Incorporate the results of quality assurance reviews and41379
identified trends and patterns of unusual incidents and major41380
unusual incidents into amendments of an individual's service plan41381
for the purpose of improving and enhancing the quality and41382
appropriateness of services rendered to the individual;41383

       (10) Ensure that each individual receiving services has a41384
designated person who is responsible on a continuing basis for41385
providing the individual with representation, advocacy, advice,41386
and assistance related to the day-to-day coordination of services41387
in accordance with the individual's service plan. The service and41388
support administrator shall give the individual receiving services41389
an opportunity to designate the person to provide daily41390
representation. If the individual declines to make a designation,41391
the administrator shall make the designation. In either case, the41392
individual receiving services may change at any time the person41393
designated to provide daily representation.41394

       (C) Subject to available funds, the department of mental41395
retardation and developmental disabilities shall pay a county41396
board an annual subsidy for service and support administration.41397
The amount of the subsidy shall be equal to the greater of twenty41398
thousand dollars or two hundred dollars times the board's41399
certified average daily membership. The payments shall be made in 41400
quarterly installments of equal amounts, which shall be made no41401
later than the thirtieth day of September, the thirty-first day of 41402
December, the thirty-first day of March, and the thirtieth day of 41403
June. Funds received shall be used solely for service and support41404
administration.41405


       Sec. 5126.18.  (A) As used in this section:41407

       (1) "County board" means a county board of mental retardation 41408
and developmental disabilities.41409

       (2) Notwithstanding section 5126.01 of the Revised Code,41410
"adult services" means the following services, as they are41411
identified on individual information forms submitted by county41412
boards to the department of mental retardation and developmental41413
disabilities for the purpose of subsidies paid to county boards41414
under section 5126.12 of the Revised Code, provided to an 41415
individual with mental retardation or other developmental41416
disability who is at least twenty-two years of age:41417

       (a) Assessment;41418

       (b) Home service;41419

       (c) Adult program;41420

       (d) Community employment services;41421

       (e) Retirement.41422

       (3) "Adult services enrollment" means a county board's41423
average daily membership in adult services, exclusive of such41424
services provided to individuals served solely through service and41425
support administration provided pursuant to section 5126.15 of the41426
Revised Code or family support services provided pursuant to41427
section 5126.11 of the Revised Code.41428

       (4) "Taxable value" means the taxable value of a county board41429
certified under division (B)(1) of this section.41430

       (5) "Per-mill yield" of a county board means the quotient41431
obtained by dividing (a) the taxable value of the county board by41432
(b) one thousand.41433

       (6) "Local adult services cost" means a county board's41434
expenditures for adult services, excluding all federal and state41435
reimbursements and subsidy allocations received by such boards and41436
expended for such services, as certified under section 5126.12 of41437
the Revised Code.41438

       (7) "Statewide average millage" means one thousand multiplied 41439
by the quotient obtained by dividing (a) the total of the local 41440
adult services costs of all county boards by (b) the total of the 41441
taxable values of all county boards.41442

       (8) "County yield" of a county board means the product41443
obtained by multiplying (a) the statewide average millage by (b)41444
the per-mill yield of the county board.41445

       (9) "County yield per enrollee" of a county board means the41446
quotient obtained by dividing (a) the county yield of the county41447
board by (b) the adult enrollment of the county board.41448

       (10) "Statewide yield per enrollee" means the quotient41449
obtained by dividing (a) the sum of the county yields of all41450
county boards by (b) the sum of the adult enrollments of all41451
county boards.41452

       (11) "Local tax effort for adult services" of a county board41453
means one thousand multiplied by the quotient obtained by dividing41454
(a) the local adult services cost of the county board by (b) the41455
taxable value of the county board.41456

       (12) "Funding percentage" for a fiscal year means the41457
percentage that the amount appropriated to the department for the41458
purpose of making payments under this section in the fiscal year41459
is of the amount computed under division (C)(3) of this section41460
for the fiscal year.41461

       (13) "Funding-adjusted required millage" for a fiscal year41462
means the statewide average millage multiplied by the funding41463
percentage for that fiscal year.41464

       (B)(1) On the request of the director of mental retardation41465
and developmental disabilities, the tax commissioner shall provide41466
to the department of mental retardation and developmental41467
disabilities information specifying the taxable value of property41468
on each county's tax list of real and public utility property and41469
tax list of personal property for the most recent tax year for41470
which such information is available. The director may request any41471
other tax information necessary for the purposes of this section.41472

       (2) On the request of the director, each county board shall41473
report the county board's adult services enrollment and local41474
adult services cost.41475

       (C) Each year, the department of mental retardation and41476
developmental disabilities shall compute the following:41477

       (1) For each county board, the amount, if any, by which the41478
statewide yield per enrollee exceeds the county yield per41479
enrollee;41480

       (2) For each county board, the amount of any excess computed41481
under division (C)(1) of this section multiplied by the adult41482
services enrollment of the county board;41483

       (3) The sum of the amounts computed under division (C)(2) of41484
this section for all county boards.41485

       (D) From money appropriated for the purpose, the department 41486
shall provide for payment to each county board of the amount41487
computed for that county board under division (C)(2) of this41488
section, subject to any reduction or adjustment under division41489
(E), (F), or (G) of this section. The department shall make the 41490
payments in quarterly installments of equal amounts. The 41491
installments shall be made not later than the thirtieth day of 41492
September, thirty-first day of December, thirty-first day of 41493
March, and thirtieth day of June.41494

       (E) If a county board's local tax effort for adult services41495
is less than the funding-adjusted required millage, the director41496
shall reduce the amount of payment otherwise computed under41497
division (C)(2) of this section so that the amount paid, after the41498
reduction, is the same percentage of the amount computed under41499
division (C)(2) of this section as the county board's local tax41500
effort for adult services is of the funding-adjusted required41501
millage.41502

       If the director reduces the amount of a county board's41503
payment under this division, the department, not later than the41504
fifteenth day of July, shall notify the county board of the41505
reduction and the amount of the reduction. The notice shall41506
include a statement that the county board may request to be41507
exempted from the reduction by filing a request with the director,41508
in the manner and form prescribed by the director, within41509
twenty-one days after such notification is issued. The board may41510
present evidence of its attempt to obtain passage of levies or any41511
other extenuating circumstances the board considers relevant. If41512
the county board requests a hearing before the director to present41513
such evidence, the director shall conduct a hearing on the request41514
unless the director exempts the board from the reduction on the41515
basis of the evidence presented in the request filed by the board.41516
Upon receiving a properly and timely filed request for exemption,41517
but not later than the thirty-first day of August, the director41518
shall determine whether the county board shall be exempted from41519
all or a part of the reduction. The director may exempt the board41520
from all or part of the reduction if the director finds that the41521
board has made good faith efforts to obtain passage of tax levies41522
or that there are extenuating circumstances.41523

       (F) If a payment is reduced under division (E) of this41524
section and the director does not exempt the county board from the41525
reduction, the amount of the reduction shall be apportioned among41526
all county boards entitled to payments under this section for41527
which payments were not so reduced. The amount apportioned to each 41528
county board shall be proportionate to the amount of the board's 41529
payment as computed under division (C)(2) of this section.41530

       (G) If, for any fiscal year, the amount appropriated to the41531
department for the purpose of this section is less than the amount41532
computed under division (C)(3) of this section for the fiscal41533
year, the department shall adjust the amount of each payment as41534
computed under divisions (C)(2), (E), and (F) of this section by41535
multiplying that amount by the funding percentage.41536

       (H) The payments authorized by this section are supplemental41537
to all other funds that may be received by a county board. A41538
county board shall use the payments solely to pay the nonfederal41539
share of medicaid expenditures that division (A) of section41540
5126.057sections 5126.059 and 5126.0510 of the Revised Code 41541
requiresrequire the county board to pay.41542

       Sec. 5126.19.  (A) The director of mental retardation and41543
developmental disabilities may grant temporary funding from the41544
community mental retardation and developmental disabilities trust41545
fund based on allocations to county boards of mental retardation41546
and developmental disabilities. The director may distribute all or 41547
part of the funding directly to a county board, the persons who41548
provide the services for which the funding is granted, or persons41549
with mental retardation or developmental disabilities who are to41550
receive those services.41551

       (B) Funding granted under division (A) of this section shall41552
be granted according to the availability of moneys in the fund and41553
priorities established by the director. Funding may be granted for 41554
any of the following purposes:41555

       (1) Behavioral or short-term interventions for persons with41556
mental retardation or developmental disabilities that assist them41557
in remaining in the community by preventing institutionalization;41558

       (2) Emergency respite care services, as defined in section41559
5126.11 of the Revised Code;41560

       (3) Family support services provided under section 5126.11 of 41561
the Revised Code;41562

       (4) Supported living, as defined in section 5126.01 of the41563
Revised Code;41564

       (5) Staff training for county board employees, employees of41565
providers of residential services as defined in section 5126.01 of41566
the Revised Code, and other personnel under contract with a county41567
board, to provide the staff with necessary training in serving41568
mentally retarded or developmentally disabled persons in the41569
community;41570

       (6) Short-term provision of early childhood services provided 41571
under section 5126.05, adult services provided under sections 41572
5126.05 and 5126.051, and service and support administration 41573
provided under section 5126.15 of the Revised Code, when local41574
moneys are insufficient to meet the need for such services due to41575
the successive failure within a two-year period of three or more41576
proposed levies for the services;41577

       (7) Contracts with providers of residential services to41578
maintain persons with mental retardation and developmental41579
disabilities in their programs and avoid institutionalization.41580

       (C) If the trust fund contains more than ten million dollars41581
on the first day of July the director shall use one million41582
dollars for payments under section 5126.12 of the Revised Code,41583
one million dollars for payments under section 5126.18 of the41584
Revised Code, and two million dollars for payments under section41585
5126.44 of the Revised Codesubsidies to county boards for 41586
supported living, and one million dollars for subsidies to county 41587
boards for early childhood services and adult services provided 41588
under section 5126.05 of the Revised Code. Distributions of funds41589
under this division shall be made prior to August 31 of the state41590
fiscal year in which the funds are available. The funds shall be 41591
allocated to a county board in an amount equal to the same41592
percentage of the total amount allocated to the county board the 41593
immediately preceding state fiscal year.41594

       (D) In addition to making grants under division (A) of this41595
section, the director may use money available in the trust fund41596
for the same purposes that rules adopted under section 5123.041341597
of the Revised Code provide for money in the state MR/DD risk fund41598
and the state insurance against MR/DD risk fund, both created41599
under that section, to be used.41600

       Sec. 5126.25.  (A) The director of mental retardation and41601
developmental disabilities shall adopt rules in accordance with41602
Chapter 119. of the Revised Code establishing uniform standards41603
and procedures for the certification of persons for employment by41604
county boards of mental retardation and developmental disabilities41605
as superintendents, management employees, and professional41606
employees and uniform standards and procedures for the41607
registration of persons for employment by county boards as41608
registered service employees. As part of the rules, the director41609
may establish continuing education and professional training41610
requirements for renewal of certificates and evidence of41611
registration and shall establish such requirements for renewal of41612
an investigative agent certificate. In the rules, the director41613
shall establish certification standards for employment in the41614
position of investigative agent that require an individual to have41615
or obtain no less than an associate degree from an accredited41616
college or university or have or obtain comparable experience or41617
training. The director shall not adopt rules that require any41618
service employee to have or obtain a bachelor's or higher degree.41619

       The director shall adopt the rules in a manner that provides41620
for the issuance of certificates and evidence of registration41621
according to categories, levels, and grades. The rules shall41622
describe each category, level, and grade.41623

       The rules adopted under this division shall apply to persons41624
employed or seeking employment in a position that includes41625
directly providing, or supervising persons who directly provide,41626
services or instruction to or on behalf of individuals with mental41627
retardation or developmental disabilities, except that the rules41628
shall not apply to persons who hold a valid license issued under41629
Chapter 3319. of the Revised Code and perform no duties other than41630
teaching or supervision of a teaching program or persons who hold41631
a valid license or certificate issued under Title XLVII of the41632
Revised Code and perform only those duties governed by the license41633
or certificate. The rules shall specify the positions that require41634
certification or registration. The rules shall specify that the41635
position of investigative agent requires certification.41636

       (B) The director shall adopt rules in accordance with Chapter 41637
119. of the Revised Code establishing standards for approval of 41638
courses of study to prepare persons to meet certification 41639
requirements. The director shall approve courses of study meeting 41640
the standards and provide for the inspection of the courses to 41641
ensure the maintenance of satisfactory training procedures. The 41642
director shall approve courses of study only if given by a state 41643
university or college as defined in section 3345.32 of the Revised 41644
Code, a state university or college of another state, or an 41645
institution that has received a certificate of authorization to 41646
confer degrees from the board of regents pursuant to Chapter 1713. 41647
of the Revised Code or from a comparable agency of another state.41648

       (C) Each applicant for a certificate for employment or41649
evidence of registration for employment by a county board shall41650
apply to the department of mental retardation and developmental41651
disabilities on forms that the director of the department shall41652
prescribe and provide. The application shall be accompanied by the 41653
application fee established in rules adopted under this section.41654

       (D) The director shall issue a certificate for employment to41655
each applicant who meets the standards for certification41656
established under this section and shall issue evidence of41657
registration for employment to each applicant who meets the41658
standards for registration established under this section. Each41659
certificate or evidence of registration shall state the category,41660
level, and grade for which it is issued.41661

       The director shall issue, renew, deny, suspend, or revoke41662
certificates and evidence of registration in accordance with rules41663
adopted under this section. The director shall deny, suspend, or41664
revoke a certificate or evidence of registration if the director41665
finds, pursuant to an adjudication conducted in accordance with41666
Chapter 119. of the Revised Code, that the applicant for or holder41667
of the certificate or evidence of registration is guilty of41668
intemperate, immoral, or other conduct unbecoming to the41669
applicant's or holder's position, or is guilty of incompetence or41670
negligence within the scope of the applicant's or holder's duties.41671
The director shall deny or revoke a certificate or evidence of41672
registration if the director finds, pursuant to an adjudication41673
conducted in accordance with Chapter 119. of the Revised Code,41674
that the applicant for or holder of the certificate or evidence of41675
registration has been convicted of or pleaded guilty to any of the41676
offenses described in division (E) of section 5126.28 of the41677
Revised Code, unless the individual meets standards for41678
rehabilitation that the director establishes in the rules adopted41679
under that section. Evidence supporting such allegations shall be41680
presented to the director in writing and the director shall41681
provide prompt notice of the allegations to the person who is the41682
subject of the allegations. A denial, suspension, or revocation41683
may be appealed in accordance with procedures the director shall41684
establish in the rules adopted under this section.41685

       (E)(1) A person holding a valid certificate under this41686
section on the effective date of any rules adopted under this41687
section that increase certification standards shall have such41688
period as the rules prescribe, but not less than one year after41689
the effective date of the rules, to meet the new certification41690
standards.41691

       A person who is registered under this section on the41692
effective date of any rule that changes the standards adopted41693
under this section shall have such period as the rules prescribe,41694
but not less than one year, to meet the new registration41695
standards.41696

       (2) If an applicant for a certificate for employment has not41697
completed the courses of instruction necessary to meet the41698
department's standards for certification, the department shall41699
inform the applicant of the courses the applicant must41700
successfully complete to meet the standards and shall specify the41701
time within which the applicant must complete the courses. The41702
department shall grant the applicant at least one year to complete41703
the courses and shall not require the applicant to complete more41704
than four courses in any one year. The applicant is not subject to 41705
any changes regarding the courses required for certification that 41706
are made after the department informs the applicant of the courses41707
the applicant must complete, unless the applicant does not41708
successfully complete the courses within the time specified by the41709
department.41710

       (F) A person who holds a certificate or evidence of41711
registration, other than one designated as temporary, is qualified41712
to be employed according to that certificate or evidence of41713
registration by any county board.41714

       (G) The director shall monitor county boards to ensure that41715
their employees who must be certified or registered are41716
appropriately certified or registered and performing those41717
functions they are authorized to perform under their certificate41718
or evidence of registration.41719

       (H) A county board superintendent or the superintendent's41720
designee may certify to the director that county board employees41721
who are required to meet continuing education or professional41722
training requirements as a condition of renewal of certificates or41723
evidence of registration have met the requirements. The41724
superintendent or the superintendent's designee shall maintain in41725
appropriate personnel files evidence acceptable to the director41726
that the employees have met the requirements and permit41727
representatives of the department access to the evidence on41728
request.41729

       (I) All fees collected pursuant to this section shall be41730
deposited in the state treasury to the credit of the employee41731
certification and registrationprogram fee fund, which is hereby41732
created under section 5123.033 of the Revised Code. Money credited 41733
to the fund shall be used solely for the operation of the 41734
certification and registration program established under this 41735
section and for providing continuing training to county board41736
employees.41737

       (J) Employees of entities that contract with county boards of41738
mental retardation and developmental disabilities to operate41739
programs and services for individuals with mental retardation and41740
developmental disabilities are subject to the certification and41741
registration requirements established under section 5123.082 of41742
the Revised Code.41743

       Sec. 5126.40.  (A) Sections 5126.40 to 5126.47 of the Revised 41744
Code do not apply to medicaid-funded supported living.41745

       (B) As used in this section and sections 5126.415126.40 to 41746
5126.47 of the Revised Code, "provider" means a person or41747
government entity certified by the departmentdirector of mental41748
retardation and developmental disabilities to provide supported 41749
living for individuals with mental retardation and developmental 41750
disabilities.41751

       (B) This division is in effect until July 1, 1995. By 41752
adoption of a resolution by affirmative vote of a majority of its 41753
members, a county board of mental retardation and developmental 41754
disabilities shall have authority to plan and develop supported 41755
living for individuals with mental retardation and developmental 41756
disabilities who are residents of the county and, as provided in 41757
sections 5126.41 to 5126.47 of the Revised Code, contract with 41758
providers and enter into shared funding arrangements. The board's 41759
authority under this division is effective on the department's 41760
receipt of the resolution.41761

       (C) On and after July 1, 1995, each county board shall plan 41762
and develop supported living for individuals with mental 41763
retardation and developmental disabilities who are residents of 41764
the county in accordance with sections 5126.41 to 5126.47 of the 41765
Revised Code.41766

       Sec. 5126.42.  (A) A county board of mental retardation and 41767
developmental disabilities shall establish an advisory council 41768
composed of board members or employees of the board, providers, 41769
individuals receiving supported living, and advocates for 41770
individuals receiving supported living to provide on-going41771
communication among all persons concerned with supported living.41772

       (B) The board shall develop procedures for the resolution of 41773
grievances between the board and providers or between the board 41774
and an entity with which it has a shared funding agreement.41775

       (C) The board shall develop and implement a provider41776
selection system. Each system shall enable an individual to choose 41777
to continue receiving supported living from the same providers, to 41778
select additional providers, or to choose alternative providers. 41779
Annually, the board shall review its provider selection system to 41780
determine whether it has been implemented in a manner that allows 41781
individuals fair and equitable access to providers.41782

       In developing a provider selection system, the county board41783
shall create a pool of providers for individuals to use in41784
choosing their providers of supported living. The pool shall be41785
created by placing in the pool all providers on record with the41786
board or by placing in the pool all providers approved by the41787
board through soliciting requests for proposals for supported41788
living contracts. In either case, only providers that are41789
certified by the departmentdirector of mental retardation and41790
developmental disabilities and in compliance with the quality41791
assurance standards established in rules adopted by the department41792
may be placed in the pool.41793

       If the board places all providers on record in the pool, the 41794
board shall review the pool at least annually to determine whether 41795
each provider has continued interest in being a provider and has 41796
maintained its certification by the department. At any time, an 41797
interested and certified provider may make a request to the board 41798
that it be added to the pool, and the board shall add the provider 41799
to the pool not later than seven days after receiving the request.41800

       If the board solicits requests for proposals for inclusion of 41801
providers in the pool, the board shall develop standards for41802
selecting the providers to be included. Requests for proposals41803
shall be solicited at least annually. When requests are solicited, 41804
the board shall cause legal notices to be published at least once 41805
each week for two consecutive weeks in a newspaper with general 41806
circulation within the county. The board's formal request for 41807
proposals shall include a description of any applicable contract 41808
terms, the standards that are used to select providers for 41809
inclusion in the pool, and the process the board uses to resolve 41810
disputes arising from the selection process. The board shall 41811
accept requests from any entity interested in being a provider of 41812
supported living for individuals served by the board. Requests 41813
shall be approved or denied according to the standards developed 41814
by the board. Providers that previously have been placed in the 41815
pool are not required to resubmit a request for proposal to be 41816
included in the pool, unless the board's standards have been 41817
changed.41818

       In assisting an individual in choosing a provider, the county 41819
board shall provide the individual with uniform and consistent 41820
information pertaining to each provider in the pool, including the 41821
provider evaluations conducted under section 5126.431 of the 41822
Revised Code on and after July 1, 1995. An individual may choose 41823
to receive supported living from a provider that is not included 41824
in the pool, if the provider is certified by the department41825
director of mental retardation and developmental disabilities and 41826
in compliance with the quality assurance standards established in 41827
rules adopted by the department.41828

       Sec. 5126.43.  (A) After receiving notice from the department 41829
of mental retardation and developmental disabilities of the amount 41830
of state funds to be distributed to it under section 5126.44 of 41831
the Revised Codefor planning, developing, contracting for, and 41832
providing supported living, the county board of mental retardation 41833
and developmental disabilities shall arrange for supported living41834
on behalf of and with the consent of individuals based on their 41835
individual service plans developed under section 5126.41 of the 41836
Revised Code. With the state distribution and any other money 41837
designated by the board for supported living, the board shall 41838
arrange for supported living in one or more of the following ways:41839

       (1) By contracting under section 5126.45 of the Revised Code 41840
with providers selected by the individual to be served;41841

       (2) By entering into shared funding agreements with state 41842
agencies, local public agencies, or political subdivisions at 41843
rates negotiated by the board;41844

       (3) By providing direct payment or vouchers to be used to 41845
purchase supported living, pursuant to a written contract in an41846
amount determined by the board, to the individual or a person 41847
providing the individual with protective services as defined in 41848
section 5123.55 of the Revised Code.41849

       (B) When the board contracts for supported living on behalf 41850
of an individual, theThe board may contractarrange for supported 41851
living only with providers that are certified by the department41852
director of mental retardation and developmental disabilities and 41853
are in compliance with the quality assurance standards established 41854
in rules adopted by the department. The contract terms shall be as 41855
provided in section 5126.45 of the Revised Code.41856

       When no certified provider is willing and able to provide 41857
supported living for an individual in accordance with the terms of 41858
the individual service plan for that individual, a county board 41859
may provide supported living directly, if it complies with 41860
certification and quality assurance standards established by the41861
departmentis certified by the director of mental retardation and 41862
developmental disabilities to provide supported living.41863

       A county board may, for a period not to exceed ninety days, 41864
contract for or provide supported living without meeting the 41865
requirements of this section for an individual it determines to be 41866
in emergency need of supported living. Thereafter, the individual 41867
shall choose providers in accordance with sections 5126.41 and 41868
5126.42 of the Revised Code.41869

       Sec. 5126.45.  (A) A contract between a county board of41870
mental retardation and developmental disabilities and a provider41871
of supported living shall be in writing and shall be based on the 41872
individual service plan developed by the individual under section 41873
5126.41 of the Revised Code. The plan may be submitted as an 41874
addendum to the contract. An individual receiving services 41875
pursuant to a contract shall be considered a third-party 41876
beneficiary to the contract.41877

       The board shall not contract with a provider to provide a 41878
residence to a person to whom the provider is providing other 41879
supported living services, unless one of the following applies:41880

       (1) The provider is under contract with the board for both41881
residence and services on July 17, 1990, and the contract is being 41882
renewed.41883

       (2) The provider has a contract being transferred from the 41884
state to the county board under section 5126.451 of the Revised 41885
Code and the contract is being renewed.41886

       (3) The provider lives in the residence and provides services 41887
to not more than three persons who reside in the residence at any 41888
one time.41889

       (4) The provider is an association of family members related 41890
to two or more of the persons who reside in the residence and 41891
provides services to not more than four persons who reside in the 41892
residence at any one time.41893

       (B) The contract shall be negotiated between the provider and 41894
the county board. The terms of the contract shall include at least 41895
the following:41896

       (1) The contract period and conditions for renewal;41897

       (2) The services to be provided pursuant to the individual 41898
service plan;41899

       (3) The rights and responsibilities of all parties to the 41900
contract;41901

       (4) The methods that will be used to evaluate the services 41902
delivered by the provider;41903

       (5) Procedures for contract modification that ensure all 41904
parties affected by the modification are involved and agree;41905

       (6) A process for resolving conflicts between individuals 41906
receiving services, the county board, and the provider, as 41907
applicable;41908

       (7) Procedures for the retention of applicable records;41909

       (8) Provisions for contract termination by any party involved 41910
that include requirements for an appropriate notice of intent to 41911
terminate the contract;41912

       (9) Methods to be used to document services provided;41913

       (10) Procedures for submitting reports required by the county 41914
board as a condition of receiving payment under the contract;41915

       (11) The method and schedule the board will use to make 41916
payments to the provider and whether periodic payment adjustments 41917
will be made to the provider;41918

       (12) Provisions for conducting fiscal reconciliations for 41919
payments made through methods other than a fee-for-service 41920
arrangement.41921

       (C) Payments to the provider under a supported living41922
contract must be determined by the board to be reasonable in41923
accordance with policies and procedures developed by the board.41924
Goods or services provided without charge to the provider shall41925
not be included as expenditures of the provider.41926

       (D) The board shall establish procedures for reconciling41927
expenditures and payments, other than those made under a 41928
fee-for-service arrangement, for the prior contract year when a41929
contract is not renewed and shall reconcile expenditures and41930
payments in accordance with these procedures.41931

       (E) A provider or an entity with which the board has entered 41932
into a shared funding agreement may appeal a negotiated contract 41933
or proposed shared funding rate to the county board using the 41934
procedures established by the board under section 5126.42 of the 41935
Revised Code.41936

       Sec. 5126.47.  A county board of mental retardation and41937
developmental disabilities that has adopted a resolution under41938
section 5126.40 of the Revised Code may, pursuant to a resolution41939
adopted by an affirmative vote of the majority of its members,41940
establish, by agreement with one or more other county boards of41941
mental retardation and developmental disabilities, a residential41942
services consortium to jointly provide residential services and41943
supported living. The agreement shall designate one board to41944
assume the fiscal responsibilities for the consortium. The county 41945
auditor of the designated county shall establish a community 41946
mental retardation and developmental disabilities residential 41947
services fund for the consortium. Each board that is a member of 41948
the consortium shall cause to be deposited in the fund all moneys 41949
distributed to it by the department of mental retardation and 41950
developmental disabilities under section 5126.44 of the Revised 41951
Code and any other state or federal money received for community 41952
residential services the county board has agreed to contribute to 41953
the consortium.41954

       Sec. 5139.27.  The department of youth services shall adopt41955
rules prescribing the minimum standards of construction for a41956
school, forestry camp, or other facility established under section41957
2151.65 of the Revised Code for which financial assistance may be41958
granted to assist in defraying the cost of the construction of the41959
school, forestry camp, or other facility. If an application for41960
that financial assistance is filed with the department under41961
section 2151.651 of the Revised Code, and the department finds41962
that the application is in proper form and the specifications for41963
the construction of the school, forestry camp, or other facility41964
meet the minimum standards set forth in the rules adopted by the41965
department, the department may, from moneys available to it for41966
granting financial assistance for the construction of schools,41967
forestry camps, or other facilities established under section41968
2151.65 of the Revised Code, grant financial assistance to the41969
county making the application, subject to the approval of the41970
controlling board, in an amount not to exceed one-half of the41971
county's share of the cost of construction of the school, forestry41972
camp, or other facility but not to exceed six thousand five41973
hundred dollars for each bed unit provided for in the school,41974
forestry camp, or other facility. As used in this section,41975
"construction" means the building and the initial equipping of new41976
structures and, to the extent provided for in rules adopted by the41977
department, the acquisition, remodeling, and initial equipping of41978
existing structures, excluding architect's fees and the cost of41979
land acquisition.41980

       A county that receives financial assistance under this41981
section shall not be obligated to repay the assistance to the41982
state unless the school, forestry camp, or other facility for41983
which the assistance is granted is used within the ten-year period41984
immediately following its establishment for other than the purpose41985
of rehabilitating children between the ages of twelve to eighteen41986
years, other than psychotic or mentally retarded children, who are41987
designated delinquent children, as defined in section 2152.02 of41988
the Revised Code, or unruly, as defined in section 2151.022 of the41989
Revised Code, by order of a juvenile court. If the department of41990
youth services finds that the school, forestry camp, or other41991
facility is used for other than that purpose within that ten-year41992
period, the county shall be obligated to repay the assistance to41993
the state and, through its board of county commissioners, may41994
enter into an agreement with the director of budget and management41995
for the discharge of that obligation over a period not to exceed41996
ten years in duration. Whenever a county is obligated to repay41997
that assistance to the state and its board of county commissioners41998
fails to enter into or fails to comply with an agreement for the41999
discharge of that obligation, the tax commissioner, pursuant to42000
section 5747.54 of the Revised Code, shall withhold from42001
distribution to the county from the local governmentcommunities42002
fund an amount sufficient to discharge the county from that 42003
obligation to the state.42004

       Sec. 5139.271.  Subject to the approval of the controlling42005
board, the department of youth services may grant and pay42006
financial assistance to defray the county's share of the cost of42007
acquiring or constructing a district detention facility,42008
established under section 2152.41 of the Revised Code, to any42009
county making application under section 2152.43 of the Revised42010
Code if the department finds that the application was made in42011
accordance with its rules and the facility or the specifications42012
for the facility meet minimum standards established by the42013
department. No financial assistance shall be granted for defraying 42014
the cost of architects' fees or land.42015

       The department shall adopt rules prescribing the minimum42016
standards of construction and condition of existing structures,42017
established under section 2152.41 of the Revised Code, for which42018
financial assistance is granted under this section. The department 42019
may recommend programs of education and training and the 42020
qualifications desired for personnel of a district detention42021
facility.42022

       The amount of financial assistance granted to any county42023
shall not exceed one-half of the county's share of the cost of42024
acquisition or construction of the facility. The total of all42025
state assistance for any home shall not exceed six thousand five42026
hundred dollars for each bed unit provided for in the facility.42027

       A county that receives financial assistance under this42028
section shall repay the assistance to the state if the facility42029
for which the assistance is granted is used within the ten-year42030
period immediately following its establishment for purposes other42031
than those contained in section 2152.41 of the Revised Code. A42032
board of county commissioners that uses the facility for any other 42033
purpose within that period shall enter into an agreement with the 42034
director of budget and management for the discharge of that42035
obligation over a period not to exceed ten years. If a board of42036
county commissioners fails to enter into an agreement for the42037
discharge of that obligation, or fails to comply with the terms of42038
such an agreement, the director shall direct the tax commissioner,42039
pursuant to section 5747.54 of the Revised Code, to withhold from42040
the distribution of the local governmentcommunities fund an 42041
amount sufficient to discharge the obligation.42042

       As used in this section:42043

       (A) "Construction" means the building and initial equipping42044
of new structures.42045

       (B) "Acquisition" means "acquisition" as defined in the rules 42046
of the department, which may include the purchase, remodeling, and 42047
initial equipping of existing structures.42048

       Sec. 5139.43.  (A) The department of youth services shall 42049
operate a felony delinquent care and custody program that shall be 42050
operated in accordance with the formula developed pursuant to 42051
section 5139.41 of the Revised Code, subject to the conditions 42052
specified in this section.42053

       (B)(1) Each juvenile court shall use the moneys disbursed to 42054
it by the department of youth services pursuant to division (B) of 42055
section 5139.41 of the Revised Code in accordance with the 42056
applicable provisions of division (B)(2) of this section and shall 42057
transmit the moneys to the county treasurer for deposit in 42058
accordance with this division. The county treasurer shall create 42059
in the county treasury a fund that shall be known as the felony 42060
delinquent care and custody fund and shall deposit in that fund 42061
the moneys disbursed to the juvenile court pursuant to division 42062
(B) of section 5139.41 of the Revised Code. The county treasurer 42063
also shall deposit into that fund the state subsidy funds granted 42064
to the county pursuant to section 5139.34 of the Revised Code. The 42065
moneys disbursed to the juvenile court pursuant to division (B) of 42066
section 5139.41 of the Revised Code and deposited pursuant to this42067
division in the felony delinquent care and custody fund shall not42068
be commingled with any other county funds except state subsidy 42069
funds granted to the county pursuant to section 5139.34 of the 42070
Revised Code; shall not be used for any capital construction 42071
projects; upon an order of the juvenile court and subject to 42072
appropriation by the board of county commissioners, shall be 42073
disbursed to the juvenile court for use in accordance with the 42074
applicable provisions of division (B)(2) of this section; shall 42075
not revert to the county general fund at the end of any fiscal 42076
year; and shall carry over in the felony delinquent care and 42077
custody fund from the end of any fiscal year to the next fiscal 42078
year. At the end of each fiscal year, beginning June 30, 2008, the 42079
balance in the felony delinquent care and custody fund in any 42080
county shall not exceed the total moneys allocated to the county 42081
pursuant to sections 5139.34 and 5139.41 of the Revised Code 42082
during the previous fiscal year, unless that county has applied 42083
for and been granted an exemption by the director of youth 42084
services. The department shall withhold from future payments to a 42085
county an amount equal to any moneys in the felony delinquent care 42086
and custody fund of the county that exceed the total moneys 42087
allocated pursuant to those sections to the county during the 42088
preceding fiscal year and shall reallocate the withheld amount. 42089
The department shall adopt rules for the withholding and 42090
reallocation of moneys disbursed under sections 5139.34 and 42091
5139.41 of the Revised Code and for the criteria and process for a 42092
county to obtain an exemption from the withholding requirement.42093
The moneys disbursed to the juvenile court pursuant to division42094
(B) of section 5139.41 of the Revised Code and deposited pursuant 42095
to this division in the felony delinquent care and custody fund 42096
shall be in addition to, and shall not be used to reduce, any 42097
usual annual increase in county funding that the juvenile court is 42098
eligible to receive or the current level of county funding of the 42099
juvenile court and of any programs or services for delinquent 42100
children, unruly children, or juvenile traffic offenders.42101

       (2)(a) A county and the juvenile court that serves the county42102
shall use the moneys in its felony delinquent care and custody 42103
fund in accordance with rules that the department of youth 42104
services adopts pursuant to division (D) of section 5139.04 of the 42105
Revised Code and as follows:42106

       (i) The moneys in the fund that represent state subsidy funds42107
granted to the county pursuant to section 5139.34 of the Revised 42108
Code shall be used to aid in the support of prevention, early 42109
intervention, diversion, treatment, and rehabilitation programs 42110
that are provided for alleged or adjudicated unruly children or 42111
delinquent children or for children who are at risk of becoming 42112
unruly children or delinquent children. The county shall not use 42113
for capital improvements more than fifteen per cent of the moneys 42114
in the fund that represent the applicable annual grant of those42115
state subsidy funds.42116

       (ii) The moneys in the fund that were disbursed to the 42117
juvenile court pursuant to division (B) of section 5139.41 of the 42118
Revised Code and deposited pursuant to division (B)(1) of this 42119
section in the fund shall be used to provide programs and services 42120
for the training, treatment, or rehabilitation of felony 42121
delinquents that are alternatives to their commitment to the 42122
department, including, but not limited to, community residential 42123
programs, day treatment centers, services within the home, and 42124
electronic monitoring, and shall be used in connection with 42125
training, treatment, rehabilitation, early intervention, or other 42126
programs or services for any delinquent child, unruly child, or 42127
juvenile traffic offender who is under the jurisdiction of the 42128
juvenile court. 42129

        The fund also may be used for prevention, early intervention, 42130
diversion, treatment, and rehabilitation programs that are 42131
provided for alleged or adjudicated unruly children, delinquent 42132
children, or juvenile traffic offenders or for children who are at 42133
risk of becoming unruly children, delinquent children, or juvenile 42134
traffic offenders. Consistent with division (B)(1) of this42135
section, a county and the juvenile court of a county shall not use 42136
any of those moneys for capital construction projects.42137

       (iii) The county and the juvenile court that serves the 42138
county may not use moneys in the fund for the provision of care 42139
and services for children, including, but not limited to, care and 42140
services in a detention facility, in another facility, or in 42141
out-of-home placement, unless the minimum standards that apply to 42142
the care and services and that the department prescribes in rules 42143
adopted pursuant to division (D) of section 5139.04 of the Revised 42144
Code have been satisfied.42145

       (b) Each juvenile court shall comply with division (B)(3)(d) 42146
of this section as implemented by the department. 42147

       (3) In accordance with rules adopted by the department42148
pursuant to division (D) of section 5139.04 of the Revised Code, 42149
each juvenile court and the county served by that juvenile court 42150
shall do all of the following that apply:42151

       (a) The juvenile court shall prepare an annual grant 42152
agreement and application for funding that satisfies the 42153
requirements of this section and section 5139.34 of the Revised 42154
Code and that pertains to the use, upon an order of the juvenile 42155
court and subject to appropriation by the board of county 42156
commissioners, of the moneys in its felony delinquent care and 42157
custody fund for specified programs, care, and services as 42158
described in division (B)(2)(a) of this section, shall submit that 42159
agreement and application to the county family and children first 42160
council, the regional family and children first council, or the 42161
local intersystem services to children cluster as described in42162
sections 121.37 and 121.38 of the Revised Code, whichever is 42163
applicable, and shall file that agreement and application with the42164
department for its approval. The annual grant agreement and 42165
application for funding shall include a method of ensuring equal42166
access for minority youth to the programs, care, and services 42167
specified in it.42168

       The department may approve an annual grant agreement and 42169
application for funding only if the juvenile court involved has 42170
complied with the preparation, submission, and filing requirements 42171
described in division (B)(3)(a) of this section. If the juvenile 42172
court complies with those requirements and the department approves 42173
that agreement and application, the juvenile court and the county42174
served by the juvenile court may expend the state subsidy funds42175
granted to the county pursuant to section 5139.34 of the Revised 42176
Code only in accordance with division (B)(2)(a) of this section, 42177
the rules pertaining to state subsidy funds that the department 42178
adopts pursuant to division (D) of section 5139.04 of the Revised42179
Code, and the approved agreement and application.42180

       (b) By the thirty-first day of August of each year, the 42181
juvenile court shall file with the department a report that 42182
contains all of the statistical and other information for each 42183
month of the prior state fiscal year. If the juvenile court fails 42184
to file the report required by division (B)(3)(b) of this section 42185
by the thirty-first day of August of any year, the department 42186
shall not disburse any payment of state subsidy funds to which the 42187
county otherwise is entitled pursuant to section 5139.34 of the 42188
Revised Code and shall not disburse pursuant to division (B) of 42189
section 5139.41 of the Revised Code the applicable allocation 42190
until the juvenile court fully complies with division (B)(3)(b) of 42191
this section.42192

       (c) If the department requires the juvenile court to prepare 42193
monthly statistical reports and to submit the reports on forms 42194
provided by the department, the juvenile court shall file those 42195
reports with the department on the forms so provided. If the 42196
juvenile court fails to prepare and submit those monthly 42197
statistical reports within the department's timelines, the 42198
department shall not disburse any payment of state subsidy funds 42199
to which the county otherwise is entitled pursuant to section 42200
5139.34 of the Revised Code and shall not disburse pursuant to 42201
division (B) of section 5139.41 of the Revised Code the applicable 42202
allocation until the juvenile court fully complies with division42203
(B)(3)(c) of this section. If the juvenile court fails to prepare 42204
and submit those monthly statistical reports within one hundred 42205
eighty days of the date the department establishes for their 42206
submission, the department shall not disburse any payment of state 42207
subsidy funds to which the county otherwise is entitled pursuant 42208
to section 5139.34 of the Revised Code and shall not disburse 42209
pursuant to division (B) of section 5139.41 of the Revised Code 42210
the applicable allocation, and the state subsidy funds and the 42211
remainder of the applicable allocation shall revert to the 42212
department. If a juvenile court states in a monthly statistical 42213
report that the juvenile court adjudicated within a state fiscal42214
year five hundred or more children to be delinquent children for 42215
committing acts that would be felonies if committed by adults and 42216
if the department determines that the data in the report may be 42217
inaccurate, the juvenile court shall have an independent auditor 42218
or other qualified entity certify the accuracy of the data on a 42219
date determined by the department.42220

       (d) If the department requires the juvenile court and the 42221
county to participate in a fiscal monitoring program or another 42222
monitoring program that is conducted by the department to ensure 42223
compliance by the juvenile court and the county with division (B) 42224
of this section, the juvenile court and the county shall 42225
participate in the program and fully comply with any guidelines 42226
for the performance of audits adopted by the department pursuant 42227
to that program and all requests made by the department pursuant 42228
to that program for information necessary to reconcile fiscal 42229
accounting. If an audit that is performed pursuant to a fiscal42230
monitoring program or another monitoring program described in this 42231
division determines that the juvenile court or the county used 42232
moneys in the county's felony delinquent care and custody fund for 42233
expenses that are not authorized under division (B) of this 42234
section, within forty-five days after the department notifies the 42235
county of the unauthorized expenditures, the county either shall 42236
repay the amount of the unauthorized expenditures from the county 42237
general revenue fund to the state's general revenue fund or shall42238
file a written appeal with the department. If an appeal is timely 42239
filed, the director of the department shall render a decision on 42240
the appeal and shall notify the appellant county or its juvenile 42241
court of that decision within forty-five days after the date that 42242
the appeal is filed. If the director denies an appeal, the 42243
county's fiscal agent shall repay the amount of the unauthorized 42244
expenditures from the county general revenue fund to the state's 42245
general revenue fund within thirty days after receiving the 42246
director's notification of the appeal decision. If the county 42247
fails to make the repayment within that thirty-day period and if42248
the unauthorized expenditures pertain to moneys allocated under42249
sections 5139.41 to 5139.43 of the Revised Code, the department 42250
shall deduct the amount of the unauthorized expenditures from the42251
next allocation of those moneys to the county in accordance with 42252
this section or from the allocations that otherwise would be made 42253
under those sections to the county during the next state fiscal42254
year in accordance with this section and shall return that 42255
deducted amount to the state's general revenue fund. If the county 42256
fails to make the repayment within that thirty-day period and if 42257
the unauthorized expenditures pertain to moneys granted pursuant 42258
to section 5139.34 of the Revised Code, the department shall42259
deduct the amount of the unauthorized expenditures from the next42260
annual grant to the county pursuant to that section and shall42261
return that deducted amount to the state's general revenue fund.42262

       (C) The determination of which county a reduction of the 42263
care and custody allocation will be charged against for a 42264
particular youth shall be made as outlined below for all youths 42265
who do not qualify as public safety beds. The determination of 42266
which county a reduction of the care and custody allocation will 42267
be charged against shall be made as follows until each youth is 42268
released: 42269

       (1) In the event of a commitment, the reduction shall be 42270
charged against the committing county. 42271

       (2) In the event of a recommitment, the reduction shall be 42272
charged against the original committing county until the 42273
expiration of the minimum period of institutionalization under the 42274
original order of commitment or until the date on which the youth 42275
is admitted to the department of youth services pursuant to the 42276
order of recommitment, whichever is later. Reductions of the 42277
allocation shall be charged against the county that recommitted42278
the youth after the minimum expiration date of the original42279
commitment. 42280

       (3) In the event of a revocation of a release on parole, the 42281
reduction shall be charged against the county that revokes the 42282
youth's parole.42283

       (D) A juvenile court is not precluded by its allocation 42284
amount for the care and custody of felony delinquents from 42285
committing a felony delinquent to the department of youth services 42286
for care and custody in an institution or a community corrections 42287
facility when the juvenile court determines that the commitment is 42288
appropriate. 42289

       Sec. 5302.30.  (A) As used in this section:42290

       (1) "Good faith" means honesty in fact in a transaction42291
involving the transfer of residential real property.42292

       (2) "Land installment contract" has the same meaning as in42293
section 5313.01 of the Revised Code.42294

       (3) "Political subdivision" and "state" have the same42295
meanings as in section 2744.01 of the Revised Code.42296

       (4) "Residential real property" means real property that is42297
improved by a building or other structure that has one to four42298
dwelling units.42299

       (B)(1) Except as provided in division (B)(2) of this section, 42300
this section applies to any transfer of residential real property 42301
that occurs on or after July 1, 1993, by sale, land installment 42302
contract, lease with option to purchase, exchange, or lease for a 42303
term of ninety-nine years and renewable forever. For purposes of 42304
this section, a transfer occurs when the initial contract for 42305
transfer is executed, regardless of when legal title is 42306
transferred, and references in this section to transfer offers and 42307
transfer agreements refer to offers and agreements in respect of 42308
the initial contract for transfer.42309

       (2) This section does not apply to any transfer of42310
residential real property that is any of the following:42311

       (a) A transfer pursuant to court order, including, but not42312
limited to, a transfer ordered by a probate court during the42313
administration of a decedent's estate, a transfer pursuant to a42314
writ of execution, a transfer by a trustee in bankruptcy, a42315
transfer as a result of the exercise of the power of eminent42316
domain, and a transfer that results from a decree for specific42317
performance of a contract or other agreement between persons;42318

       (b) A transfer to a mortgagee by a mortgagor by deed in lieu42319
of foreclosure or in satisfaction of the mortgage debt;42320

       (c) A transfer to a beneficiary of a deed of trust by a42321
trustor in default;42322

       (d) A transfer by a foreclosure sale that follows a default42323
in the satisfaction of an obligation secured by a mortgage;42324

       (e) A transfer by a sale under a power of sale following a42325
default in the satisfaction of an obligation that is secured by a42326
deed of trust or another instrument containing a power of sale;42327

       (f) A transfer by a mortgagee, or a beneficiary under a deed42328
of trust, who has acquired the residential real property at a sale42329
conducted pursuant to a power of sale under a mortgage or a deed42330
of trust or who has acquired the residential real property by a42331
deed in lieu of foreclosure;42332

       (g) A transfer by a fiduciary in the course of the42333
administration of a decedent's estate, a guardianship, a42334
conservatorship, or a trust;42335

       (h) A transfer from one co-owner to one or more other42336
co-owners;42337

       (i) A transfer made to the transferor's spouse or to one or42338
more persons in the lineal line of consanguinity of one or more of42339
the transferors;42340

       (j) A transfer between spouses or former spouses as a result42341
of a decree of divorce, dissolution of marriage, annulment, or42342
legal separation or as a result of a property settlement agreement42343
incidental to a decree of divorce, dissolution of marriage,42344
annulment, or legal separation;42345

       (k) A transfer to or from the state, a political subdivision42346
of the state, or another governmental entity;42347

       (l) A transfer that involves newly constructed residential42348
real property that previously has not been inhabited;42349

       (m) A transfer to a transferee who has occupied the property42350
as a personal residence for one or more years immediately prior to42351
the transfer;42352

       (n) A transfer from a transferor who both has not occupied42353
the property as a personal residence within one year immediately42354
prior to the transfer and has acquired the property through42355
inheritance or devise.42356

       (C) Except as provided in division (B)(2) of this section and 42357
subject to divisions (E) and (F) of this section, every person who 42358
intends to transfer any residential real property on or after July 42359
1, 1993, by sale, land installment contract, lease with option to 42360
purchase, exchange, or lease for a term of ninety-nine years and 42361
renewable forever shall complete all applicable items in a 42362
property disclosure form prescribed under division (D) of this 42363
section and shall deliver in accordance with division (I) of this 42364
section a signed and dated copy of the completed form to each 42365
prospective transferee or prospective transferee's agent as soon 42366
as is practicable.42367

       (D)(1) Prior to July 1, 1993, the director of commerce, by42368
rule adopted in accordance with Chapter 119. of the Revised Code,42369
shall prescribe the disclosure form to be completed by42370
transferors. The form prescribed by the director shall be designed 42371
to permit the transferor to disclose material matters relating to 42372
the physical condition of the property to be transferred, 42373
including, but not limited to, the source of water supply to the 42374
property; the nature of the sewer system serving the property; the 42375
condition of the structure of the property, including the roof, 42376
foundation, walls, and floors; the presence of hazardous materials 42377
or substances, including lead-based paint, asbestos, 42378
urea-formaldehyde foam insulation, and radon gas; and any material 42379
defects in the property that are within the actual knowledge of 42380
the transferor.42381

       The form also shall set forth a statement of the purpose of42382
the form, including statements substantially similar to the42383
following: that the form constitutes a statement of the conditions 42384
of the property and of information concerning the property 42385
actually known by the transferor; that, unless the transferee is 42386
otherwise advised in writing, the transferor, other than having 42387
lived at or owning the property, possesses no greater knowledge 42388
than that which could be obtained by a careful inspection of the 42389
property by a potential transferee; that the statement is not a 42390
warranty of any kind by the transferor or by any agent or subagent 42391
representing the transferor in this transaction; that the 42392
statement is not a substitute for any inspections; that the 42393
transferee is encouraged to obtain the transferee's own 42394
professional inspection; that the representations are made by the 42395
transferor and are not the representations of the transferor's 42396
agent or subagent; and that the form and the representations 42397
contained therein are provided by the transferor exclusively to 42398
potential transferees in a transfer made by the transferor, and 42399
are not made to transferees in any subsequent transfers.42400

       The form shall include instructions to the transferor for42401
completing the form, space in which the transferor or transferors42402
shall sign and date the form, and space in which the transferee or42403
transferees shall sign and date the form acknowledging receipt of42404
a copy of the form and stating that the transferee or transferees42405
understand the purpose of the form as stated thereon.42406

       (2) Not later than January 1, 2006, the director shall revise 42407
the disclosure form to include a statement that information on the 42408
operation and maintenance of the type of sewage treatment system42409
serving the property is available from the department of health or 42410
the board of health of the health district in which the property 42411
is located.42412

       As used in this section, "sewage treatment system" has the 42413
same meaning as in section 3718.01 of the Revised Code.42414

       (E)(1) Each disclosure of an item of information that is42415
required to be made in the property disclosure form prescribed42416
under division (D) of this section in connection with particular42417
residential real property and each act that may be performed in42418
making any disclosure of an item of information shall be made or42419
performed in good faith.42420

       (2) If an item of information is unknown to the transferor of 42421
residential real property at the time the item is required to be 42422
disclosed in the property disclosure form and if the approximation 42423
is not used for the purpose of circumventing or otherwise evading 42424
divisions (C) and (D) of this section, the transferor may make a 42425
good faith approximation of the item of information.42426

       (F)(1) A transferor of residential real property is not42427
liable in damages in a civil action for injury, death, or loss to42428
person or property that allegedly arises from any error in,42429
inaccuracy of, or omission of any item of information required to42430
be disclosed in the property disclosure form if the error,42431
inaccuracy, or omission was not within the transferor's actual42432
knowledge.42433

       (2) If any item of information that is disclosed in the42434
property disclosure form is rendered inaccurate after the delivery 42435
of the form to the transferee of residential real property or the 42436
transferee's agent as a result of any act, occurrence, or42437
agreement, the subsequent inaccuracy does not cause, and shall not 42438
be construed as causing, the transferor of the residential real 42439
property to be in noncompliance with the requirements of divisions 42440
(C) and (D) of this section.42441

       (G) Any disclosure of an item of information in the property42442
disclosure form prescribed under division (D) of this section may 42443
be amended in writing by the transferor of residential real 42444
property at any time following the delivery of the form in 42445
accordance with divisions (C) and (I) of this section. The 42446
amendment shall be subject to this section.42447

       (H) Except as provided in division (B)(2) of this section,42448
every prospective transferee of residential real property who42449
receives in accordance with division (C) of this section a signed42450
and dated copy of a completed property disclosure form as42451
prescribed under division (D) of this section shall acknowledge 42452
receipt of the form by doing both of the following:42453

       (1) Signing and dating a copy of the form;42454

       (2) Delivering a signed and dated copy of the form to the42455
transferor or the transferor's agent or subagent.42456

       (I) The transferor's delivery under division (C) of this42457
section of a property disclosure form as prescribed under division 42458
(D) of this section and the prospective transferee's delivery 42459
under division (H) of this section of an acknowledgment of receipt 42460
of that form shall be made by personal delivery to the other party 42461
or the other party's agent or subagent, by ordinary mail or42462
certified mail, return receipt requested, or by facsimile42463
transmission. For the purposes of the delivery requirements of42464
this section, the delivery of a property disclosure form to a42465
prospective co-transferee of residential real property or a42466
prospective co-transferee's agent shall be considered delivery to42467
the other prospective transferees unless otherwise provided by42468
contract.42469

       (J) The specification of items of information that must be42470
disclosed in the property disclosure form as prescribed under42471
division (D)(1) of this section does not limit or abridge, and42472
shall not be construed as limiting or abridging, any obligation to42473
disclose an item of information that is created by any other42474
provision of the Revised Code or the common law of this state or42475
that may exist in order to preclude fraud, either by42476
misrepresentation, concealment, or nondisclosure in a transaction42477
involving the transfer of residential real property. The42478
disclosure requirements of this section do not bar, and shall not42479
be construed as barring, the application of any legal or equitable42480
defense that a transferor of residential real property may assert42481
in a civil action commenced against the transferor by a42482
prospective or actual transferee of that property.42483

       (K)(1) Except as provided in division (K)(2) of this section, 42484
but subject to divisions (J) and (L) of this section, a transfer 42485
of residential real property that is subject to this section shall 42486
not be invalidated because of the failure of the transferor to 42487
provide to the transferee in accordance with division (C) of this 42488
section a completed property disclosure form as prescribed under 42489
division (D) of this section.42490

       (2) Subject to division (K)(3)(c) of this section, if a42491
transferee of residential real property that is subject to this42492
section receives a property disclosure form or an amendment of42493
that form as described in division (G) of this section after the42494
transferee has entered into a transfer agreement with respect to42495
the property, the transferee, after receipt of the form or42496
amendment, may rescind the transfer agreement in a written,42497
signed, and dated document that is delivered to the transferor or 42498
the transferor's agent or subagent in accordance with divisions42499
(K)(3)(a) and (b) of this section, without incurring any legal42500
liability to the transferor because of the rescission, including,42501
but not limited to, a civil action for specific performance of the42502
transfer agreement. Upon the rescission of the transfer agreement, 42503
the transferee is entitled to the return of, and the transferor 42504
shall return, any deposits made by the transferee in connection 42505
with the proposed transfer of the residential real property.42506

       (3)(a) Subject to division (K)(3)(b) of this section, a42507
rescission of a transfer agreement under division (K)(2) of this42508
section only may occur if the transferee's written, signed, and42509
dated document of rescission is delivered to the transferor or the 42510
transferor's agent or subagent within three business days42511
following the date on which the transferee or the transferee's42512
agent receives the property disclosure form prescribed under 42513
division (D) of this section or the amendment of that form as 42514
described in division (G) of this section.42515

       (b) A transferee may not rescind a transfer agreement under42516
division (K)(2) of this section unless the transferee rescinds the42517
transfer agreement by the earlier of the date that is thirty days42518
after the date upon which the transferor accepted the transferee's 42519
transfer offer or the date of the closing of the transfer of the 42520
residential real property.42521

       (c) A transferee of residential real property may waive the42522
right of rescission of a transfer agreement described in division42523
(K)(2) of this section.42524

       (d) A rescission of a transfer agreement is not permissible42525
under division (K)(2) of this section if a transferee of42526
residential real property that is subject to this section receives42527
a property disclosure form as prescribed under division (D) of 42528
this section or an amendment of that form as described in division 42529
(G) of this section prior to the transferee's submission to the 42530
transferor or the transferor's agent or subagent of a transfer 42531
offer and the transferee's entry into a transfer agreement with 42532
respect to the property.42533

       (4) If a transferee of residential real property subject to42534
this section does not receive a property disclosure form from the 42535
transferor after the transferee has submitted to the transferor or 42536
the transferor's agent or subagent a transfer offer and has42537
entered into a transfer agreement with respect to the property,42538
the transferee may rescind the transfer agreement in a written,42539
signed, and dated document that is delivered to the transferor or 42540
the transferor's agent or subagent in accordance with division 42541
(K)(4) of this section without incurring any legal liability to 42542
the transferor because of the rescission, including, but not 42543
limited to, a civil action for specific performance of the 42544
transfer agreement. Upon the rescission of the transfer agreement, 42545
the transferee is entitled to the return of, and the transferor 42546
shall return, any deposits made by the transferee in connection 42547
with the proposed transfer of the residential real property. A 42548
transferee may not rescind a transfer agreement under division 42549
(K)(4) of this section unless the transferee rescinds the transfer42550
agreement by the earlier of the date that is thirty days after the42551
date upon which the transferor accepted the transferee's transfer42552
offer or the date of the closing of the transfer of the42553
residential real property.42554

       (L) The right of rescission of a transfer agreement described 42555
in division (K)(2) of this section or the absence of that right 42556
does not affect, and shall not be construed as affecting, any 42557
other legal causes of action or other remedies that a transferee 42558
or prospective transferee of residential real property may possess 42559
against the transferor of that property.42560

       Sec. 5323.011. Sections 5323.01, 5323.02, 5323.03, 5323.04, 42561
and 5323.99 of the Revised Code do not apply in a county unless 42562
the board of county commissioners adopts a resolution declaring 42563
that the sections apply in the county. The board may not adopt 42564
such a resolution unless it has found that the benefit from 42565
compliance with the sections will exceed the cost to the county 42566
and its people and to persons traveling, working, or doing 42567
business in the county. The board may not declare that fewer than 42568
all the sections apply in the county.42569

       The board of county commissioners may repeal a resolution 42570
that has been adopted under the first paragraph of this section. 42571
The board may not adopt such a resolution unless it has found that 42572
the cost of continued compliance with the sections exceeds the 42573
benefit to the county and its people and to persons traveling, 42574
working, or doing business in the county. Upon the repeal, the 42575
duties of an owner of residential rental property to comply with 42576
and of the county auditor to accept compliance with sections 42577
5323.01, 5323.02, 5323.03, 5323.04, and 5323.99 of the Revised 42578
Code are tolled.42579

       An owner of residential rental property in a county is not 42580
required to comply with, and the auditor of a county is not 42581
required to accept compliance with, sections 5323.01, 5323.02, 42582
5323.03, 5323.04, and 5323.99 of the Revised Code unless the board 42583
of county commissioners has adopted a resolution declaring that 42584
the sections apply in the county and the resolution continues in 42585
effect.42586

       Sec. 5528.54.  (A) The commissioners of the sinking fund are42587
authorized to issue and sell, as provided in this section and in42588
amounts from time to time authorized by the general assembly,42589
general obligations of this state for the purpose of financing or42590
assisting in the financing of the costs of projects. The full42591
faith and credit, revenues, and taxing power of the state are and42592
shall be pledged to the timely payment of bond service charges on42593
outstanding obligations, all in accordance with Section 2m of42594
Article VIII, Ohio Constitution, and sections 5528.51 to 5528.5342595
of the Revised Code, and so long as such obligations are42596
outstanding there shall be levied and collected excises, taxes,42597
and other revenues in amounts sufficient to pay the bond service42598
charges on such obligations and costs relating to credit42599
enhancement facilities.42600

       (B) Not more than two hundred twenty million dollars42601
principal amount of obligations, plus the principal amount of42602
obligations that in any prior fiscal years could have been, but42603
were not issued within that two-hundred-twenty-million-dollar42604
fiscal year limit, may be issued in any fiscal year, and not more42605
thatthan one billion two hundred million dollars principal amount 42606
of obligations may be outstanding at any one time, all determined 42607
as provided in sections 5528.51 to 5528.53 of the Revised Code.42608

       (C) The state may participate in financing projects by42609
grants, loans, or contributions to local government entities.42610

       (D) Each issue of obligations shall be authorized by42611
resolution of the commissioners. The bond proceedings shall42612
provide for the principal amount or maximum principal amount of42613
obligations of an issue, and shall provide for or authorize the42614
manner for determining the principal maturity or maturities, not42615
exceeding the earlier of thirty years from the date of issuance of42616
the particular obligations or thirty years from the date the debt42617
represented by the particular obligations was originally42618
contracted, the interest rate or rates, the date of and the dates42619
of payment of interest on the obligations, their denominations,42620
and the establishment within or outside the state of a place or42621
places of payment of bond service charges. Sections 9.96, 9.98,42622
9.981, 9.982, and 9.983 of the Revised Code are applicable to the42623
obligations. The purpose of the obligations may be stated in the42624
bond proceedings as "financing or assisting in the financing of42625
highway capital improvement projects as provided in Section 2m of42626
Article VIII, Ohio Constitution."42627

       (E) The proceeds of the obligations, except for any portion42628
to be deposited into special funds, or into escrow funds for the42629
purpose of refunding outstanding obligations, all as may be42630
provided in the bond proceedings, shall be deposited into the42631
highway capital improvement fund established by section 5528.53 of42632
the Revised Code.42633

       (F) The commissioners may appoint or provide for the42634
appointment of paying agents, bond registrars, securities42635
depositories, and transfer agents, and may retain the services of42636
financial advisers and accounting experts, and retain or contract42637
for the services of marketing, remarketing, indexing, and42638
administrative agents, other consultants, and independent42639
contractors, including printing services, as are necessary in the42640
judgment of the commissioners to carry out sections 5528.51 to42641
5528.53 of the Revised Code. Financing costs are payable, as42642
provided in the bond proceedings, from the proceeds of the42643
obligations, from special funds, or from other moneys available42644
for the purpose.42645

       (G) The bond proceedings, including any trust agreement, may42646
contain additional provisions customary or appropriate to the42647
financing or to the obligations or to particular obligations42648
including, but not limited to:42649

       (1) The redemption of obligations prior to maturity at the42650
option of the state or of the holder or upon the occurrence of42651
certain conditions at such price or prices and under such terms42652
and conditions as are provided in the bond proceedings;42653

       (2) The form of and other terms of the obligations;42654

       (3) The establishment, deposit, investment, and application42655
of special funds, and the safeguarding of moneys on hand or on42656
deposit, in lieu of otherwise applicable provisions of Chapter42657
131. or 135. of the Revised Code, but subject to any special42658
provisions of this section with respect to particular funds or42659
moneys, and provided that any bank or trust company that acts as a42660
depository of any moneys in special funds may furnish such42661
indemnifying bonds or may pledge such securities as required by42662
the commissioners;42663

       (4) Any or every provision of the bond proceedings binding42664
upon the commissioners and such state agency or local government42665
entities, officer, board, commission, authority, agency,42666
department, or other person or body as may from time to time have42667
the authority under law to take such actions as may be necessary42668
to perform all or any part of the duty required by such provision;42669

       (5) The maintenance of each pledge, any trust agreement, or42670
other instrument composing part of the bond proceedings until the42671
state has fully paid or provided for the payment of the bond42672
service charges on the obligations or met other stated conditions;42673

       (6) In the event of default in any payments required to be42674
made by the bond proceedings, or any other agreement of the42675
commissioners made as part of a contract under which the42676
obligations were issued or secured, the enforcement of such42677
payments or agreements by mandamus, suit in equity, action at law,42678
or any combination of the foregoing;42679

       (7) The rights and remedies of the holders of obligations and 42680
of the trustee under any trust agreement, and provisions for42681
protecting and enforcing them, including limitations on rights of42682
individual holders of obligations;42683

       (8) The replacement of any obligations that become mutilated42684
or are destroyed, lost, or stolen;42685

       (9) Provision for the funding, refunding, or advance42686
refunding or other provision for payment of obligations that will42687
then no longer be outstanding for purposes of sections 5528.51 to42688
5528.56 of the Revised Code or of the bond proceedings;42689

       (10) Any provision that may be made in bond proceedings or a42690
trust agreement, including provision for amendment of the bond42691
proceedings;42692

       (11) Any other or additional agreements with the holders of42693
the obligations relating to any of the foregoing;42694

       (12) Such other provisions as the commissioners determine,42695
including limitations, conditions, or qualifications relating to42696
any of the foregoing.42697

       (H) The great seal of the state or a facsimile of that seal42698
may be affixed to or printed on the obligations. The obligations42699
requiring signatures by the commissioners shall be signed by or42700
bear the facsimile signatures of two or more of the commissioners42701
as provided in the bond proceedings. Any obligations may be signed 42702
by the person who, on the date of execution, is the authorized 42703
signer although on the date of such obligations such person was 42704
not a commissioner. In case the individual whose signature or a 42705
facsimile of whose signature appears on any obligation ceases to 42706
be a commissioner before delivery of the obligation, such 42707
signature or facsimile is nevertheless valid and sufficient for 42708
all purposes as if that individual had remained the member until 42709
such delivery, and in case the seal to be affixed to or printed on 42710
obligations has been changed after the seal has been affixed to or 42711
a facsimile of the seal has been printed on the obligations, that 42712
seal or facsimile seal shall continue to be sufficient as to those 42713
obligations and obligations issued in substitution or exchange 42714
therefor.42715

       (I) The obligations are negotiable instruments and securities42716
under Chapter 1308. of the Revised Code, subject to the provisions 42717
of the bond proceedings as to registration. Obligations may be 42718
issued in coupon or in fully registered form, or both, as the 42719
commissioners determine. Provision may be made for the 42720
registration of any obligations with coupons attached as to42721
principal alone or as to both principal and interest, their42722
exchange for obligations so registered, and for the conversion or42723
reconversion into obligations with coupons attached of any42724
obligations registered as to both principal and interest, and for42725
reasonable charges for such registration, exchange, conversion,42726
and reconversion. Pending preparation of definitive obligations,42727
the commissioners may issue interim receipts or certificates which42728
shall be exchanged for such definitive obligations.42729

       (J) Obligations may be sold at public sale or at private42730
sale, and at such price at, above, or below par, as determined by42731
the commissioners in the bond proceedings.42732

       (K) In the discretion of the commissioners, obligations may42733
be secured additionally by a trust agreement between the state and42734
a corporate trustee which may be any trust company or bank having42735
its principala place of business within the state. Any trust42736
agreement may contain the resolution authorizing the issuance of42737
the obligations, any provisions that may be contained in the bond42738
proceedings, and other provisions that are customary or42739
appropriate in an agreement of the type.42740

       (L) Except to the extent that their rights are restricted by42741
the bond proceedings, any holder of obligations, or a trustee42742
under the bond proceedings may by any suitable form of legal42743
proceedings protect and enforce any rights under the laws of this42744
state or granted by the bond proceedings. Such rights include the42745
right to compel the performance of all duties of the commissioners42746
and the state. Each duty of the commissioners and its employees,42747
and of each state agency and local government entity and its42748
officers, members, or employees, undertaken pursuant to the bond42749
proceedings, is hereby established as a duty of the commissioners,42750
and of each such agency, local government entity, officer, member,42751
or employee having authority to perform such duty, specifically42752
enjoined by the law and resulting from an office, trust, or42753
station within the meaning of section 2731.01 of the Revised Code. 42754
The persons who are at the time the commissioners of the sinking42755
fund, or its employees, are not liable in their personal42756
capacities on any obligations or any agreements of or with the42757
commissioners relating to obligations or under the bond42758
proceedings.42759

       (M) Obligations are lawful investments for banks, societies42760
for savings, savings and loan associations, deposit guarantee42761
associations, trust companies, trustees, fiduciaries, insurance42762
companies, including domestic for life and domestic not for life,42763
trustees or other officers having charge of sinking and bond42764
retirement or other special funds of political subdivisions and42765
taxing districts of this state, the commissioners of the sinking42766
fund, the administrator of workers' compensation, subject to the42767
approval of the workers' compensation board and the industrial42768
commission, the state teachers retirement system, the public42769
employees retirement system, the school employees retirement42770
system, and the Ohio police and fire pension fund, notwithstanding42771
any other provisions of the Revised Code or rules adopted pursuant42772
thereto by any state agency with respect to investments by them,42773
and are also acceptable as security for the deposit of public42774
moneys.42775

       (N) Unless otherwise provided in any applicable bond42776
proceedings, moneys to the credit of or in the special funds42777
established by or pursuant to this section may be invested by or42778
on behalf of the commissioners only in notes, bonds, or other42779
direct obligations of the United States or of any agency or42780
instrumentality thereof, in obligations of this state or any42781
political subdivision of this state, in certificates of deposit of42782
any national bank located in this state and any bank, as defined42783
in section 1101.01 of the Revised Code, subject to inspection by42784
the superintendent of financial institutions, in the Ohio42785
subdivision's fund established pursuant to section 135.45 of the42786
Revised Code, in no-front-end-load money market mutual funds42787
consisting exclusively of direct obligations of the United States42788
or of an agency or instrumentality thereof, and in repurchase42789
agreements, including those issued by any fiduciary, secured by42790
direct obligations of the United States or an agency or42791
instrumentality thereof, and in common trust funds established in42792
accordance with section 1109.20 of the Revised Code and consisting42793
exclusively of direct obligations of the United States or of an42794
agency or instrumentality thereof, notwithstanding division (A)(4)42795
of that section. The income from investments shall be credited to42796
such special funds or otherwise as the commissioners determine in42797
the bond proceedings, and the investments may be sold or exchanged42798
at such times as the commissioners determine or authorize.42799

       (O) Unless otherwise provided in any applicable bond42800
proceedings, moneys to the credit of or in a special fund shall be42801
disbursed on the order of the commissioners, provided that no such42802
order is required for the payment from the bond service fund or42803
other special fund when due of bond service charges or required42804
payments under credit enhancement facilities.42805

       (P) The commissioners may covenant in the bond proceedings,42806
and any such covenants shall be controlling notwithstanding any42807
other provision of law, that the state and the applicable officers42808
and agencies of the state, including the general assembly, shall,42809
so long as any obligations are outstanding in accordance with42810
their terms, maintain statutory authority for and cause to be42811
charged and collected taxes, excises, and other receipts of the42812
state so that the receipts to the bond service fund shall be42813
sufficient in amounts to meet bond service charges and for the42814
establishment and maintenance of any reserves and other42815
requirements, including payment of financing costs, provided for42816
in the bond proceedings.42817

       (Q) The obligations, and the transfer of, and the interest,42818
interest equivalent, and other income and accreted amounts from,42819
including any profit made on the sale, exchange, or other42820
disposition of, the obligations shall at all times be free from42821
taxation, direct or indirect, within the state.42822

       (R) This section applies only with respect to obligations42823
issued and delivered prior to September 30, 2000.42824

       Sec. 5531.10.  (A) As used in this chapter:42825

       (1) "Bond proceedings" means the resolution, order, trust42826
agreement, indenture, lease, lease-purchase agreements, and other42827
agreements, amendments and supplements to the foregoing, or any 42828
one or more or combination thereof, authorizing or providing for 42829
the terms and conditions applicable to, or providing for the 42830
security or liquidity of, obligations issued pursuant to this 42831
section, and the provisions contained in such obligations.42832

       (2) "Bond service charges" means principal, including42833
mandatory sinking fund requirements for retirement of obligations, 42834
and interest, and redemption premium, if any, required to be paid 42835
by the state on obligations.42836

       (3) "Bond service fund" means the applicable fund and42837
accounts therein created for and pledged to the payment of bond42838
service charges, which may be, or may be part of, the state 42839
infrastructure bank revenue bond service fund created by division 42840
(R) of this section including all moneys and investments, and 42841
earnings from investments, credited and to be credited thereto.42842

       (4) "Issuing authority" means the treasurer of state, or the 42843
officer who by law performs the functions of the treasurer of 42844
state.42845

       (5) "Obligations" means bonds, notes, or other evidence of42846
obligation including interest coupons pertaining thereto, issued42847
pursuant to this section.42848

       (6) "Pledged receipts" means moneys accruing to the state 42849
from the lease, lease-purchase, sale, or other disposition, or 42850
use, of qualified projects, and from the repayment, including42851
interest, of loans made from proceeds received from the sale of42852
obligations; accrued interest received from the sale of42853
obligations; income from the investment of the special funds; any 42854
gifts, grants, donations, and pledges, and receipts therefrom, 42855
available for the payment of bond service charges; and any amounts42856
in the state infrastructure bank pledged to the payment of such 42857
charges. If the amounts in the state infrastructure bank are 42858
insufficient for the payment of such charges, "pledged receipts" 42859
also means moneys that are apportioned by the United States 42860
secretary of transportation under United States Code, Title XXIII, 42861
as amended, or any successor legislation, or under any other 42862
federal law relating to aid for highways, and that are to be 42863
received as a grant by the state, to the extent the state is not 42864
prohibited by state or federal law from using such moneys and the 42865
moneys are pledged to the payment of such bond service charges.42866

       (7) "Special funds" or "funds" means, except where the42867
context does not permit, the bond service fund, and any other42868
funds, including reserve funds, created under the bond42869
proceedings, and the state infrastructure bank revenue bond 42870
service fund created by division (R) of this section to the extent42871
provided in the bond proceedings, including all moneys and 42872
investments, and earnings from investment, credited and to be 42873
credited thereto.42874

       (8) "State infrastructure project" means any public42875
transportation project undertaken by the state, including, but not 42876
limited to, all components of any such project, as described in 42877
division (D) of section 5531.09 of the Revised Code.42878

       (9) "District obligations" means bonds, notes, or other 42879
evidence of obligation including interest coupons pertaining 42880
thereto, issued to finance a qualified project by a transportation 42881
improvement district created pursuant to section 5540.02 of the 42882
Revised Code, of which the principal, including mandatory sinking 42883
fund requirements for retirement of such obligations, and interest 42884
and redemption premium, if any, are payable by the department of 42885
transportation.42886

       (B) The issuing authority, after giving written notice to the 42887
director of budget and management and upon the certification by 42888
the director of transportation to the issuing authority of the 42889
amount of moneys or additional moneys needed either for state 42890
infrastructure projects or to provide financial assistance for any42891
of the purposes for which the state infrastructure bank may be 42892
used under section 5531.09 of the Revised Code, or needed for 42893
capitalized interest, funding reserves, and paying costs and 42894
expenses incurred in connection with the issuance, carrying, 42895
securing, paying, redeeming, or retirement of the obligations or 42896
any obligations refunded thereby, including payment of costs and42897
expenses relating to letters of credit, lines of credit,42898
insurance, put agreements, standby purchase agreements, indexing,42899
marketing, remarketing and administrative arrangements, interest42900
swap or hedging agreements, and any other credit enhancement,42901
liquidity, remarketing, renewal, or refunding arrangements, all of 42902
which are authorized by this section, shall issue obligations of 42903
the state under this section in the required amount. The proceeds 42904
of such obligations, except for the portion to be deposited in 42905
special funds, including reserve funds, as may be provided in the 42906
bond proceedings, shall as provided in the bond proceedings be 42907
credited to the infrastructure bank obligations fund of the state 42908
infrastructure bank created by section 5531.09 of the Revised Code 42909
and disbursed as provided in the bond proceedings for such 42910
obligations. The issuing authority may appoint trustees, paying42911
agents, transfer agents, and authenticating agents, and may retain 42912
the services of financial advisors, accounting experts, and 42913
attorneys, and retain or contract for the services of marketing, 42914
remarketing, indexing, and administrative agents, other 42915
consultants, and independent contractors, including printing 42916
services, as are necessary in the issuing authority's judgment to 42917
carry out this section. The costs of such services are payable 42918
from funds of the state infrastructure bank.42919

       (C) The holders or owners of such obligations shall have no 42920
right to have moneys raised by taxation by the state of Ohio 42921
obligated or pledged, and moneys so raised shall not be obligated 42922
or pledged, for the payment of bond service charges. The right of 42923
such holders and owners to the payment of bond service charges is 42924
limited to all or that portion of the pledged receipts and those 42925
special funds pledged thereto pursuant to the bond proceedings for 42926
such obligations in accordance with this section, and each such 42927
obligation shall bear on its face a statement to that effect. 42928
Moneys received as repayment of loans made by the state 42929
infrastructure bank pursuant to section 5531.09 of the Revised 42930
Code shall not be considered moneys raised by taxation by the 42931
state of Ohio regardless of the source of the moneys.42932

       (D) Obligations shall be authorized by order of the issuing 42933
authority and the bond proceedings shall provide for the purpose 42934
thereof and the principal amount or amounts, and shall provide for 42935
or authorize the manner or agency for determining the principal 42936
maturity or maturities, not exceeding twenty-five years from the 42937
date of issuance, the interest rate or rates or the maximum 42938
interest rate, the date of the obligations and the dates of 42939
payment of interest thereon, their denomination, and the 42940
establishment within or without the state of a place or places of 42941
payment of bond service charges. Sections 9.98 to 9.983 of the 42942
Revised Code are applicable to obligations issued under this 42943
section. The purpose of such obligations may be stated in the bond 42944
proceedings in terms describing the general purpose or purposes to 42945
be served. The bond proceedings also shall provide, subject to the 42946
provisions of any other applicable bond proceedings, for the 42947
pledge of all, or such part as the issuing authority may42948
determine, of the pledged receipts and the applicable special fund 42949
or funds to the payment of bond service charges, which pledges may 42950
be made either prior or subordinate to other expenses, claims, or 42951
payments, and may be made to secure the obligations on a parity 42952
with obligations theretofore or thereafter issued, if and to the 42953
extent provided in the bond proceedings. The pledged receipts and 42954
special funds so pledged and thereafter received by the state 42955
immediately are subject to the lien of such pledge without any 42956
physical delivery thereof or further act, and the lien of any such 42957
pledges is valid and binding against all parties having claims of 42958
any kind against the state or any governmental agency of the 42959
state, irrespective of whether such parties have notice thereof, 42960
and shall create a perfected security interest for all purposes of 42961
Chapter 1309. of the Revised Code, without the necessity for 42962
separation or delivery of funds or for the filing or recording of 42963
the bond proceedings by which such pledge is created or any 42964
certificate, statement, or other document with respect thereto; 42965
and the pledge of such pledged receipts and special funds is 42966
effective and the money therefrom and thereof may be applied to 42967
the purposes for which pledged without necessity for any act of 42968
appropriation. Every pledge, and every covenant and agreement 42969
made with respect thereto, made in the bond proceedings may 42970
therein be extended to the benefit of the owners and holders of 42971
obligations authorized by this section, and to any trustee 42972
therefor, for the further security of the payment of the bond 42973
service charges.42974

       (E) The bond proceedings may contain additional provisions as 42975
to:42976

       (1) The redemption of obligations prior to maturity at the42977
option of the issuing authority at such price or prices and under42978
such terms and conditions as are provided in the bond proceedings;42979

       (2) Other terms of the obligations;42980

       (3) Limitations on the issuance of additional obligations;42981

       (4) The terms of any trust agreement or indenture securing42982
the obligations or under which the same may be issued;42983

       (5) The deposit, investment, and application of special42984
funds, and the safeguarding of moneys on hand or on deposit,42985
without regard to Chapter 131. or 135. of the Revised Code, but42986
subject to any special provisions of this section with respect to 42987
particular funds or moneys, provided that any bank or trust42988
company which acts as depository of any moneys in the special42989
funds may furnish such indemnifying bonds or may pledge such42990
securities as required by the issuing authority;42991

       (6) Any or every provision of the bond proceedings being42992
binding upon such officer, board, commission, authority, agency,42993
department, or other person or body as may from time to time have42994
the authority under law to take such actions as may be necessary42995
to perform all or any part of the duty required by such provision;42996

       (7) Any provision that may be made in a trust agreement or42997
indenture;42998

       (8) Any other or additional agreements with the holders of42999
the obligations, or the trustee therefor, relating to the43000
obligations or the security therefor, including the assignment of43001
mortgages or other security relating to financial assistance for 43002
qualified projects under section 5531.09 of the Revised Code.43003

       (F) The obligations may have the great seal of the state or a 43004
facsimile thereof affixed thereto or printed thereon. The43005
obligations and any coupons pertaining to obligations shall be43006
signed or bear the facsimile signature of the issuing authority. 43007
Any obligations or coupons may be executed by the person who, on43008
the date of execution, is the proper issuing authority although on 43009
the date of such bonds or coupons such person was not the issuing 43010
authority. In case the issuing authority whose signature or a 43011
facsimile of whose signature appears on any such obligation or 43012
coupon ceases to be the issuing authority before delivery thereof, 43013
such signature or facsimile nevertheless is valid and sufficient 43014
for all purposes as if the former issuing authority had remained 43015
the issuing authority until such delivery; and in case the seal to 43016
be affixed to obligations has been changed after a facsimile of 43017
the seal has been imprinted on such obligations, such facsimile 43018
seal shall continue to be sufficient as to such obligations and 43019
obligations issued in substitution or exchange therefor.43020

       (G) All obligations are negotiable instruments and securities 43021
under Chapter 1308. of the Revised Code, subject to the provisions 43022
of the bond proceedings as to registration. The obligations may be 43023
issued in coupon or in registered form, or both, as the issuing 43024
authority determines. Provision may be made for the registration 43025
of any obligations with coupons attached thereto as to principal 43026
alone or as to both principal and interest, their exchange for 43027
obligations so registered, and for the conversion or reconversion 43028
into obligations with coupons attached thereto of any obligations 43029
registered as to both principal and interest, and for reasonable 43030
charges for such registration, exchange, conversion, and 43031
reconversion.43032

       (H) Obligations may be sold at public sale or at private43033
sale, as determined in the bond proceedings.43034

       (I) Pending preparation of definitive obligations, the43035
issuing authority may issue interim receipts or certificates which 43036
shall be exchanged for such definitive obligations.43037

       (J) In the discretion of the issuing authority, obligations 43038
may be secured additionally by a trust agreement or indenture 43039
between the issuing authority and a corporate trustee which may be 43040
any trust company or bank having its principala place of business 43041
within the state. Any such agreement or indenture may contain the 43042
order authorizing the issuance of the obligations, any provisions 43043
that may be contained in any bond proceedings, and other 43044
provisions which are customary or appropriate in an agreement or 43045
indenture of such type, including, but not limited to:43046

       (1) Maintenance of each pledge, trust agreement, indenture, 43047
or other instrument comprising part of the bond proceedings until 43048
the state has fully paid the bond service charges on the 43049
obligations secured thereby, or provision therefor has been made;43050

       (2) In the event of default in any payments required to be43051
made by the bond proceedings, or any other agreement of the43052
issuing authority made as a part of the contract under which the43053
obligations were issued, enforcement of such payments or agreement 43054
by mandamus, the appointment of a receiver, suit in equity, action 43055
at law, or any combination of the foregoing;43056

       (3) The rights and remedies of the holders of obligations and 43057
of the trustee, and provisions for protecting and enforcing them, 43058
including limitations on the rights of individual holders of43059
obligations;43060

       (4) The replacement of any obligations that become mutilated 43061
or are destroyed, lost, or stolen;43062

       (5) Such other provisions as the trustee and the issuing43063
authority agree upon, including limitations, conditions, or43064
qualifications relating to any of the foregoing.43065

       (K) Any holder of obligations or a trustee under the bond43066
proceedings, except to the extent that the holder's or trustee's 43067
rights are restricted by the bond proceedings, may by any suitable 43068
form of legal proceedings, protect and enforce any rights under 43069
the laws of this state or granted by such bond proceedings. Such 43070
rights include the right to compel the performance of all duties 43071
of the issuing authority and the director of transportation 43072
required by the bond proceedings or sections 5531.09 and 5531.10 43073
of the Revised Code; to enjoin unlawful activities; and in the43074
event of default with respect to the payment of any bond service 43075
charges on any obligations or in the performance of any covenant 43076
or agreement on the part of the issuing authority or the director 43077
of transportation in the bond proceedings, to apply to a court 43078
having jurisdiction of the cause to appoint a receiver to receive 43079
and administer the pledged receipts and special funds, other than 43080
those in the custody of the treasurer of state, which are pledged 43081
to the payment of the bond service charges on such obligations or 43082
which are the subject of the covenant or agreement, with full 43083
power to pay, and to provide for payment of bond service charges 43084
on, such obligations, and with such powers, subject to the 43085
direction of the court, as are accorded receivers in general 43086
equity cases, excluding any power to pledge additional revenues or 43087
receipts or other income or moneys of the state or local43088
governmental entities, or agencies thereof, to the payment of such 43089
principal and interest and excluding the power to take possession 43090
of, mortgage, or cause the sale or otherwise dispose of any 43091
project facilities.43092

       Each duty of the issuing authority and the issuing43093
authority's officers and employees, and of each state or local43094
governmental agency and its officers, members, or employees, 43095
undertaken pursuant to the bond proceedings or any loan, loan43096
guarantee, lease, lease-purchase agreement, or other agreement 43097
made under authority of section 5531.09 of the Revised Code, and 43098
in every agreement by or with the issuing authority, is hereby 43099
established as a duty of the issuing authority, and of each such 43100
officer, member, or employee having authority to perform such 43101
duty, specifically enjoined by the law resulting from an office, 43102
trust, or station within the meaning of section 2731.01 of the 43103
Revised Code.43104

       The person who is at the time the issuing authority, or the43105
issuing authority's officers or employees, are not liable in their 43106
personal capacities on any obligations issued by the issuing 43107
authority or any agreements of or with the issuing authority.43108

       (L) The issuing authority may authorize and issue obligations 43109
for the refunding, including funding and retirement, and advance 43110
refunding with or without payment or redemption prior to maturity, 43111
of any obligations previously issued by the issuing authority or 43112
district obligations. Such refunding obligations may be issued in 43113
amounts sufficient for payment of the principal amount of the 43114
prior obligations or district obligations, any redemption premiums 43115
thereon, principal maturities of any such obligations or district 43116
obligations maturing prior to the redemption of the remaining43117
obligations or district obligations on a parity therewith, 43118
interest accrued or to accrue to the maturity dates or dates of 43119
redemption of such obligations or district obligations, and any 43120
expenses incurred or to be incurred in connection with such 43121
issuance and such refunding, funding, and retirement. Subject to 43122
the bond proceedings therefor, the portion of proceeds of the sale 43123
of refunding obligations issued under this division to be applied 43124
to bond service charges on the prior obligations or district 43125
obligations shall be credited to an appropriate account held by 43126
the trustee for such prior or new obligations or to the 43127
appropriate account in the bond service fund for such obligations 43128
or district obligations. Obligations authorized under this 43129
division shall be deemed to be issued for those purposes for which 43130
such prior obligations or district obligations were issued and are 43131
subject to the provisions of this section pertaining to other 43132
obligations, except as otherwise provided in this section. The43133
last maturity of obligations authorized under this division shall 43134
not be later than twenty-five years from the date of issuance of 43135
the original securities issued for the original purpose.43136

       (M) The authority to issue obligations under this section43137
includes authority to issue obligations in the form of bond43138
anticipation notes and to renew the same from time to time by the43139
issuance of new notes. The holders of such notes or interest43140
coupons pertaining thereto shall have a right to be paid solely43141
from the pledged receipts and special funds that may be pledged to 43142
the payment of the bonds anticipated, or from the proceeds of such 43143
bonds or renewal notes, or both, as the issuing authority provides 43144
in the order authorizing such notes. Such notes may be 43145
additionally secured by covenants of the issuing authority to the 43146
effect that the issuing authority and the state will do such or 43147
all things necessary for the issuance of such bonds or renewal 43148
notes in the appropriate amount, and apply the proceeds thereof to 43149
the extent necessary, to make full payment of the principal of and 43150
interest on such notes at the time or times contemplated, as 43151
provided in such order. For such purpose, the issuing authority 43152
may issue bonds or renewal notes in such principal amount and upon 43153
such terms as may be necessary to provide funds to pay when 43154
required the principal of and interest on such notes, 43155
notwithstanding any limitations prescribed by or for purposes of 43156
this section. Subject to this division, all provisions for and 43157
references to obligations in this section are applicable to notes 43158
authorized under this division.43159

       The issuing authority in the bond proceedings authorizing the 43160
issuance of bond anticipation notes shall set forth for such bonds 43161
an estimated interest rate and a schedule of principal payments 43162
for such bonds and the annual maturity dates thereof.43163

       (N) Obligations issued under this section are lawful43164
investments for banks, societies for savings, savings and loan43165
associations, deposit guarantee associations, trust companies,43166
trustees, fiduciaries, insurance companies, including domestic for 43167
life and domestic not for life, trustees or other officers having 43168
charge of sinking and bond retirement or other special funds of 43169
political subdivisions and taxing districts of this state, the 43170
commissioners of the sinking fund of the state, the administrator 43171
of workers' compensation, the state teachers retirement system, 43172
the public employees retirement system, the school employees 43173
retirement system, and the Ohio police and fire pension fund, 43174
notwithstanding any other provisions of the Revised Code or rules 43175
adopted pursuant thereto by any agency of the state with respect 43176
to investments by them, and are also acceptable as security for 43177
the deposit of public moneys.43178

       (O) Unless otherwise provided in any applicable bond43179
proceedings, moneys to the credit of or in the special funds43180
established by or pursuant to this section may be invested by or43181
on behalf of the issuing authority only in notes, bonds, or other43182
obligations of the United States, or of any agency or43183
instrumentality of the United States, obligations guaranteed as to 43184
principal and interest by the United States, obligations of this 43185
state or any political subdivision of this state, and certificates 43186
of deposit of any national bank located in this state and any 43187
bank, as defined in section 1101.01 of the Revised Code, subject 43188
to inspection by the superintendent of financial institutions. If 43189
the law or the instrument creating a trust pursuant to division 43190
(J) of this section expressly permits investment in direct 43191
obligations of the United States or an agency of the United 43192
States, unless expressly prohibited by the instrument, such moneys 43193
also may be invested in no-front-end-load money market mutual 43194
funds consisting exclusively of obligations of the United States 43195
or an agency of the United States and in repurchase agreements, 43196
including those issued by the fiduciary itself, secured by 43197
obligations of the United States or an agency of the United 43198
States; and in collective investment funds as defined in division 43199
(A) of section 1111.01 of the Revised Code and consisting 43200
exclusively of any such securities. The income from such 43201
investments shall be credited to such funds as the issuing 43202
authority determines, and such investments may be sold at such 43203
times as the issuing authority determines or authorizes.43204

       (P) Provision may be made in the applicable bond proceedings 43205
for the establishment of separate accounts in the bond service 43206
fund and for the application of such accounts only to the 43207
specified bond service charges on obligations pertinent to such 43208
accounts and bond service fund and for other accounts therein 43209
within the general purposes of such fund. Unless otherwise 43210
provided in any applicable bond proceedings, moneys to the credit 43211
of or in the several special funds established pursuant to this 43212
section shall be disbursed on the order of the treasurer of state, 43213
provided that no such order is required for the payment from the 43214
bond service fund when due of bond service charges on obligations.43215

       (Q)(1) The issuing authority may pledge all, or such portion43216
as the issuing authority determines, of the pledged receipts to43217
the payment of bond service charges on obligations issued under43218
this section, and for the establishment and maintenance of any43219
reserves, as provided in the bond proceedings, and make other43220
provisions therein with respect to pledged receipts as authorized43221
by this chapter, which provisions are controlling notwithstanding43222
any other provisions of law pertaining thereto.43223

       (2) An action taken under division (Q)(2) of this section 43224
does not limit the generality of division (Q)(1) of this section, 43225
and is subject to division (C) of this section and, if and to the 43226
extent otherwise applicable, Section 13 of Article VIII, Ohio 43227
Constitution. The bond proceedings may contain a covenant that, in 43228
the event the pledged receipts primarily pledged and required to 43229
be used for the payment of bond service charges on obligations 43230
issued under this section, and for the establishment and 43231
maintenance of any reserves, as provided in the bond proceedings, 43232
are insufficient to make any such payment in full when due, or to43233
maintain any such reserve, the director of transportation shall so 43234
notify the governor, and shall determine to what extent, if any, 43235
the payment may be made or moneys may be restored to the reserves 43236
from lawfully available moneys previously appropriated for that 43237
purpose to the department of transportation. The covenant also 43238
may provide that if the payments are not made or the moneys are 43239
not immediately and fully restored to the reserves from such 43240
moneys, the director shall promptly submit to the governor and to 43241
the director of budget and management a written request for either 43242
or both of the following:43243

       (a) That the next biennial budget submitted by the governor 43244
to the general assembly include an amount to be appropriated from 43245
lawfully available moneys to the department for the purpose of and 43246
sufficient for the payment in full of bond service charges 43247
previously due and for the full replenishment of the reserves;43248

       (b) That the general assembly be requested to increase43249
appropriations from lawfully available moneys for the department 43250
in the current biennium sufficient for the purpose of and for the 43251
payment in full of bond service charges previously due and to come 43252
due in the biennium and for the full replenishment of the 43253
reserves.43254

       The director of transportation shall include with such 43255
requests a recommendation that the payment of the bond service 43256
charges and the replenishment of the reserves be made in the 43257
interest of maximizing the benefits of the state infrastructure43258
bank. Any such covenant shall not obligate or purport to obligate 43259
the state to pay the bond service charges on such bonds or notes 43260
or to deposit moneys in a reserve established for such payments 43261
other than from moneys that may be lawfully available and 43262
appropriated for that purpose during the then-current biennium.43263

       (R) There is hereby created the state infrastructure bank 43264
revenue bond service fund, which shall be in the custody of the 43265
treasurer of state but shall not be a part of the state treasury. 43266
All moneys received by or on account of the issuing authority or 43267
state agencies and required by the applicable bond proceedings, 43268
consistent with this section, to be deposited, transferred, or 43269
credited to the bond service fund, and all other moneys 43270
transferred or allocated to or received for the purposes of the43271
fund, shall be deposited and credited to such fund and to any43272
separate accounts therein, subject to applicable provisions of the 43273
bond proceedings, but without necessity for any act of43274
appropriation. The state infrastructure bank revenue bond service 43275
fund is a trust fund and is hereby pledged to the payment of bond 43276
service charges to the extent provided in the applicable bond 43277
proceedings, and payment thereof from such fund shall be made or 43278
provided for by the treasurer of state in accordance with such 43279
bond proceedings without necessity for any act of appropriation.43280

       (S) The obligations issued pursuant to this section, the 43281
transfer thereof, and the income therefrom, including any profit 43282
made on the sale thereof, shall at all times be free from taxation 43283
within this state.43284

       Sec. 5533.91. That part of the road known as state route 43285
number forty-four, located within Lake county and commencing at 43286
the intersection of that state route and state route number two 43287
and extending in a northerly direction and ending at headlands 43288
beach state park, shall be known as the "LCpl Andy Nowacki 43289
Memorial Highway."43290

       The director of transportation may erect suitable markers 43291
along the highway indicating its name.43292

       Sec. 5537.04.  (A) The Ohio turnpike commission may do any of 43293
the following:43294

       (1) Adopt bylaws for the regulation of its affairs and the43295
conduct of its business;43296

       (2) Adopt an official seal, which shall not be the great seal 43297
of the state and which need not be in compliance with section 5.10 43298
of the Revised Code;43299

       (3) Maintain a principal office and suboffices at such places 43300
within the state as it designates;43301

       (4) Sue and be sued in its own name, plead and be impleaded, 43302
provided any actions against the commission shall be brought in 43303
the court of common pleas of the county in which the principal 43304
office of the commission is located, or in the court of common 43305
pleas of the county in which the cause of action arose if that 43306
county is located within this state, and all summonses,43307
exceptions, and notices of every kind shall be served on the43308
commission by leaving a copy thereof at its principal office with43309
the secretary-treasurer or executive director of the commission;43310

       (5) Construct, maintain, repair, police, and operate the43311
turnpike system, and establish rules for the use of any turnpike43312
project;43313

       (6) Issue revenue bonds of the state, payable solely from43314
pledged revenues, as provided in this chapter, for the purpose of43315
paying any part of the cost of constructing any one or more43316
turnpike projects;43317

       (7) Fix, and revise from time to time, and charge and collect 43318
tolls;43319

       (8) Acquire, hold, and dispose of property in the exercise of 43320
its powers and the performance of its duties under this chapter;43321

       (9) Designate the locations and establish, limit, and control 43322
such points of ingress to and egress from each turnpike project as 43323
are necessary or desirable in the judgment of the commission and 43324
of the director of transportation to ensure the proper operation 43325
and maintenance of that project, and prohibit entrance to such a 43326
project from any point not so designated;43327

       (10) Make and enter into all contracts and agreements43328
necessary or incidental to the performance of its duties and the43329
execution of its powers under this chapter, including 43330
participation in a multi-jurisdiction electronic toll collection 43331
agreement and collection or remittance of tolls, fees, or other 43332
charges to or from entities or agencies that participate in such 43333
an agreement;43334

       (11) Employ or retain or contract for the services of43335
consulting engineers, superintendents, managers, and any other43336
engineers, construction and accounting experts, financial43337
advisers, trustees, marketing, remarketing, and administrative43338
agents, attorneys, and other employees, independent contractors,43339
or agents that are necessary in its judgment and fix their43340
compensation, provided all such expenses shall be payable solely43341
from the proceeds of bonds or from revenues of the Ohio turnpike43342
system;43343

       (12) Receive and accept from any federal agency, subject to 43344
the approval of the governor, and from any other governmental43345
agency grants for or in aid of the construction, reconstruction,43346
repair, renovation, maintenance, or operation of any turnpike43347
project, and receive and accept aid or contributions from any43348
source or person of money, property, labor, or other things of43349
value, to be held, used, and applied only for the purposes for43350
which such grants and contributions are made;43351

       (13) Provide coverage for its employees under Chapters 4123. 43352
and 4141. of the Revised Code;43353

        (14) Fix and revise by rule, from time to time, such permit 43354
fees, processing fees, or administrative charges for the 43355
prepayment, deferred payment, or nonpayment of tolls and use of 43356
electronic tolling equipment or other commission property.43357

       (B) The commission may do all acts necessary or proper to43358
carry out the powers expressly granted in this chapter.43359

       Sec. 5537.16.  (A) The Ohio turnpike commission may adopt43360
such bylaws and rules as it considers advisable for the control43361
and regulation of traffic on any turnpike project, for the43362
protection and preservation of property under its jurisdiction and 43363
control, and for the maintenance and preservation of good order 43364
within the property under its control, and for the purpose of 43365
establishing owner or operator liability for failure to comply 43366
with toll collection rules. The rules of the commission with 43367
respect to the speed, axle loads, vehicle loads, and vehicle 43368
dimensions of vehicles on turnpike projects, including the 43369
issuance of a special permit by the commission to allow the 43370
operation on any turnpike project of a motor vehicle transporting 43371
two or fewer steel coils, shall apply notwithstanding sections 43372
4511.21 to 4511.24, 4513.34, and Chapter 5577. of the Revised 43373
Code. Such bylaws and rules shall be published in a newspaper of 43374
general circulation in Franklin county, and in such other manner 43375
as the commission prescribes.43376

       (B) Such rules shall provide that public police officers43377
shall be afforded ready access, while in the performance of their43378
official duty, to all property under the jurisdiction of the43379
commission and without the payment of tolls.43380

       (C) No person shall violate any such bylaws or rules of the 43381
commission. All43382

       (D)(1) All fines collected for the violation of applicable 43383
laws of the state and the bylaws and rules of the commission or 43384
moneys arising from bonds forfeited for such violation shall be 43385
disposed of in accordance with section 5503.04 of the Revised 43386
Code.43387

       (2) All fees or charges assessed by the commission against an 43388
owner or operator of a vehicle as a civil violation for failure to 43389
comply with toll collection rules shall be revenues of the 43390
commission.43391

       Sec. 5537.99. Whoever(A) Except as provided in division (B) 43392
of this section, whoever violates division (C) of section 5537.16 43393
of the Revised Code is guilty of a minor misdemeanor on a first 43394
offense; on each subsequent offense such person is guilty of a 43395
misdemeanor of the fourth degree.43396

       (B) Whoever violates division (C) of section 5537.16 of the 43397
Revised Code when the violation is a civil violation for failure 43398
to comply with toll collection rules is subject to a fee or charge 43399
established by the commission by rule.43400

       Sec. 5705.28.  (A) Except as provided in division (B)(1) or43401
(2) of this section or in section 5705.281 of the Revised Code, 43402
the taxing authority of each subdivision or other taxing unit 43403
shall adopt a tax budget for the next succeeding fiscal year:43404

       (1) On or before the fifteenth day of January in the case of 43405
a school district;43406

       (2) On or before the fifteenth day of July in the case of all 43407
other subdivisions and taxing units.43408

       (B)(1) Before the first day of June in each year, the board43409
of trustees of a school library district entitled to participate43410
in any appropriation or revenue of a school district or to have a 43411
tax proposed by the board of education of a school district shall 43412
file with the board of education of the school district a tax 43413
budget for the ensuing fiscal year. On or before the fifteenth day 43414
of July in each year, the board of education of a school district 43415
to which a school library district tax budget was submitted under 43416
this division shall adopt such tax budget on behalf of the library43417
district, but such budget shall not be part of the school43418
district's tax budget.43419

       (2)(a) The taxing authority of a taxing unit that does not 43420
levy a tax is not required to adopt a tax budget pursuant to 43421
division (A) of this section. Instead, on or before the fifteenth 43422
day of July each year, such taxing authority shall adopt an 43423
operating budget for the taxing unit for the ensuing fiscal year. 43424
The operating budget shall include an estimate of receipts from 43425
all sources, a statement of all taxing unit expenses that are 43426
anticipated to occur, and the amount required for debt charges 43427
during the fiscal year. The operating budget is not required to be 43428
filed with the county auditor or the county budget commission.43429

       (b) Except for this section and sections 5705.36, 5705.38,43430
5705.40, 5705.41, 5705.43, 5705.44, and 5705.45 of the Revised43431
Code, a taxing unit that does not levy a tax is not a taxing unit 43432
for purposes of Chapter 5705. of the Revised Code. Documents 43433
prepared in accordance with such sections are not required to be 43434
filed with the county auditor or county budget commission.43435

       (c) The total appropriations from each fund of a taxing unit 43436
that does not levy a tax shall not exceed the total estimated 43437
revenue available for expenditures from the fund, and 43438
appropriations shall be made from each fund only for the purposes 43439
for which the fund is established.43440

       (C)(1) To assist in the preparation of the tax budget, the43441
head of each department, board, commission, and district authority 43442
entitled to participate in any appropriation or revenue of a 43443
subdivision shall file with the taxing authority, or in the case 43444
of a municipal corporation, with its chief executive officer, 43445
before the forty-fifth day prior to the date on which the budget 43446
must be adopted, an estimate of contemplated revenue and 43447
expenditures for the ensuing fiscal year, in such form as is43448
prescribed by the taxing authority of the subdivision or by the43449
auditor of state. The taxing authority shall include in its budget 43450
of expenditures the full amounts requested by district43451
authorities, not to exceed the amount authorized by law, if such43452
authorities may fix the amount of revenue they are to receive from 43453
the subdivision. In a municipal corporation in which a special 43454
levy for a municipal university has been authorized to be levied 43455
in excess of the ten-mill limitation, or is required by the 43456
charter of the municipal corporation, the taxing authority shall 43457
include an amount not less than the estimated yield of such levy, 43458
if such amount is requested by the board of directors of the 43459
municipal university.43460

       (2) A county board of mental retardation and developmental43461
disabilities may include within its estimate of contemplated43462
revenue and expenditures a reserve balance account in the43463
community mental retardation and developmental disabilities43464
residential services fund. The account shall contain money that is 43465
not needed to pay for current expenses for residential services 43466
and supported living but will be needed to pay for expenses for 43467
such services in the future or may be needed for unanticipated 43468
emergency expenses. On the request of the county board of mental 43469
retardation and developmental disabilities, the board of county 43470
commissioners shall include such an account in its budget of 43471
expenditures and appropriate money to the account from residential 43472
service moneys for the county board.43473

       (D) The board of trustees of any public library desiring to 43474
participate in the distribution of the county library and local 43475
government supportlibraries fund shall adopt appropriate rules43476
extending the benefits of the library service of such library to43477
all the inhabitants of the county on equal terms, unless such43478
library service is by law available to all such inhabitants, and43479
shall certify a copy of such rules to the taxing authority with43480
its estimate of contemplated revenue and expenditures. Where such 43481
rules have been so certified or where the adoption of such rules 43482
is not required, the taxing authority shall include in its budget 43483
of receipts such amounts as are specified by such board as43484
contemplated revenue from the county library and local government43485
supportlibraries fund, and in its budget of expenditures the full 43486
amounts requested therefrom by such board. No library association,43487
incorporated or unincorporated, is entitled to participate in the43488
proceeds of the county library and local government support43489
libraries fund or other public funds unless such association was 43490
organized and operating prior to January 1, 1968.43491

       Sec. 5705.281. (A) Notwithstanding section 5705.28 of the 43492
Revised Code, the county budget commission, by an affirmative vote 43493
of a majority of the commission, including an affirmative vote by 43494
the county auditor, may waive the requirement that the taxing 43495
authority of a subdivision or other taxing unit adopt a tax budget43496
as provided under section 5705.28 of the Revised Code, but shall 43497
require such a taxing authority to provide such information to the 43498
commission as may be required by the commission to perform its43499
duties under this chapter, including dividing the rates of each of43500
the subdivision's or taxing unit's tax levies as provided under43501
section 5705.04 of the Revised Code.43502

       (B)(1) Notwithstanding divisions (B)(1) and (D) of section 43503
5705.28 of the Revised Code, in any county in which a single 43504
library receives all of the county library and local government 43505
supportlibraries fund or receives all of that portion of the fund 43506
that is distributed to libraries, the county budget commission, by 43507
an affirmative vote of a majority of the commission, including an 43508
affirmative vote by the county auditor, may waive any or all of 43509
the following requirements:43510

        (a) The requirement that the board of trustees of a school 43511
library district entitled to participate in any appropriation or 43512
revenue of a school district or to have a tax proposed by the 43513
board of education of a school district file with the board of 43514
education of the school district a tax budget, and the requirement 43515
that the board of education adopt the tax budget on behalf of the 43516
library district, as provided in division (B)(1) of section 43517
5705.28 of the Revised Code;43518

        (b) The requirement that the board of trustees of a public 43519
library desiring to participate in the distribution of the county 43520
library and local government supportlibraries fund certify to the 43521
taxing authority its estimate of contemplated revenue and 43522
expenditures, and the requirement that the taxing authority 43523
include in its budget of receipts and budget of expenditures the 43524
full amounts specified or requested by the board of trustees, as 43525
provided in division (D) of section 5705.28 of the Revised Code.43526

        (2) If a county budget commission waives the requirements 43527
described in division (B)(1)(a) or (b) of this section, the 43528
commission shall require the board of trustees of the school 43529
library district or the board of trustees of the public library 43530
desiring to participate in the distribution of the county library 43531
and local government supportlibraries fund to provide to the 43532
commission any information the commission may require from the 43533
board in order for the commission to perform its duties under this 43534
chapter.43535

       Sec. 5705.29. This section does not apply to a subdivision or43536
taxing unit for which the county budget commission has waived the43537
requirement to adopt a tax budget pursuant to section 5705.281 of43538
the Revised Code. The tax budget shall present the following43539
information in such detail as is prescribed by the auditor of43540
state:43541

       (A)(1) A statement of the necessary current operating43542
expenses for the ensuing fiscal year for each department and43543
division of the subdivision, classified as to personal services43544
and other expenses, and the fund from which such expenditures are43545
to be made. Except in the case of a school district, this estimate 43546
may include a contingent expense not designated for any particular 43547
purpose, and not to exceed three per cent of the total amount of 43548
appropriations for current expenses. In the case of a school 43549
district, this estimate may include a contingent expense not 43550
designated for any particular purpose and not to exceed thirteen 43551
per cent of the total amount of appropriations for current 43552
expenses.43553

       (2) A statement of the expenditures for the ensuing fiscal43554
year necessary for permanent improvements, exclusive of any43555
expense to be paid from bond issues, classified as to the43556
improvements contemplated by the subdivision and the fund from43557
which such expenditures are to be made;43558

       (3) The amounts required for the payment of final judgments;43559

       (4) A statement of expenditures for the ensuing fiscal year43560
necessary for any purpose for which a special levy is authorized,43561
and the fund from which such expenditures are to be made;43562

       (5) Comparative statements, so far as possible, in parallel43563
columns of corresponding items of expenditures for the current43564
fiscal year and the two preceding fiscal years.43565

       (B)(1) An estimate of receipts from other sources than the43566
general property tax during the ensuing fiscal year, which shall43567
include an estimate of unencumbered balances at the end of the43568
current fiscal year, and the funds to which such estimated43569
receipts are credited;43570

       (2) The amount each fund requires from the general property43571
tax, which shall be the difference between the contemplated43572
expenditure from the fund and the estimated receipts, as provided43573
in this section. The section of the Revised Code under which the43574
tax is authorized shall be set forth.43575

       (3) Comparative statements, so far as possible, in parallel43576
columns of taxes and other revenues for the current fiscal year43577
and the two preceding fiscal years.43578

       (C)(1) The amount required for debt charges;43579

       (2) The estimated receipts from sources other than the tax43580
levy for payment of such debt charges, including the proceeds of43581
refunding bonds to be issued to refund bonds maturing in the next43582
succeeding fiscal year;43583

       (3) The net amount for which a tax levy shall be made,43584
classified as to bonds authorized and issued prior to January 1,43585
1922, and those authorized and issued subsequent to such date, and43586
as to what portion of the levy will be within and what in excess43587
of the ten-mill limitation.43588

       (D) An estimate of amounts from taxes authorized to be levied 43589
in excess of the ten-mill limitation on the tax rate, and the fund 43590
to which such amounts will be credited, together with the sections 43591
of the Revised Code under which each such tax is exempted from all 43592
limitations on the tax rate.43593

       (E)(1) A board of education may include in its budget for the 43594
fiscal year in which a levy proposed under section 5705.194,43595
5705.21, or 5705.213, or the original levy under section 5705.21243596
of the Revised Code is first extended on the tax list and43597
duplicate an estimate of expenditures to be known as a voluntary43598
contingency reserve balance, which shall not be greater than43599
twenty-five per cent of the total amount of the levy estimated to43600
be available for appropriation in such year.43601

       (2) A board of education may include in its budget for the43602
fiscal year following the year in which a levy proposed under43603
section 5705.194, 5705.21, or 5705.213, or the original levy under43604
section 5705.212 of the Revised Code is first extended on the tax43605
list and duplicate an estimate of expenditures to be known as a43606
voluntary contingency reserve balance, which shall not be greater43607
than twenty per cent of the amount of the levy estimated to be43608
available for appropriation in such year.43609

       (3) Except as provided in division (E)(4) of this section,43610
the full amount of any reserve balance the board includes in its43611
budget shall be retained by the county auditor and county43612
treasurer out of the first semiannual settlement of taxes until43613
the beginning of the next succeeding fiscal year, and thereupon,43614
with the depository interest apportioned thereto, it shall be43615
turned over to the board of education, to be used for the purposes43616
of such fiscal year.43617

       (4) A board of education, by a two-thirds vote of all members 43618
of the board, may appropriate any amount withheld as a voluntary 43619
contingency reserve balance during the fiscal year for any lawful 43620
purpose, provided that prior to such appropriation the board of 43621
education has authorized the expenditure of all amounts43622
appropriated for contingencies under section 5705.40 of the43623
Revised Code. Upon request by the board of education, the county43624
auditor shall draw a warrant on the district's account in the43625
county treasury payable to the district in the amount requested.43626

       (F)(1) A board of education may include a spending reserve in 43627
its budget for fiscal years ending on or before June 30, 2002. The 43628
spending reserve shall consist of an estimate of expenditures not 43629
to exceed the district's spending reserve balance. A district's 43630
spending reserve balance is the amount by which the designated 43631
percentage of the district's estimated personal property taxes to 43632
be settled during the calendar year in which the fiscal year ends 43633
exceeds the estimated amount of personal property taxes to be so 43634
settled and received by the district during that fiscal year. 43635
Moneys from a spending reserve shall be appropriated in accordance 43636
with section 133.301 of the Revised Code.43637

       (2) For the purposes of computing a school district's43638
spending reserve balance for a fiscal year, the designated43639
percentage shall be as follows:43640

Fiscal year ending in: Designated percentage 43641
1998 50% 43642
1999 40% 43643
2000 30% 43644
2001 20% 43645
2002 10% 43646

       (G) Except as otherwise provided in this division, the county 43647
budget commission shall not reduce the taxing authority of a 43648
subdivision as a result of the creation of a reserve balance43649
account. Except as otherwise provided in this division, the county 43650
budget commission shall not consider the amount in a reserve 43651
balance account of a township, county, or municipal corporation as 43652
an unencumbered balance or as revenue for the purposes of division43653
(E)(3) or (4) of section 5747.51 or division (E)(3) or (4) of 43654
section 5747.62 of the Revised Code. The county budget commission 43655
may require documentation of the reasonableness of the reserve 43656
balance held in any reserve balance account. The commission shall 43657
consider any amount in a reserve balance account that it 43658
determines to be unreasonable as unencumbered and as revenue for 43659
the purposes of sections 5747.51 and 5747.62 of the Revised Code 43660
and may take such amounts into consideration when determining 43661
whether to reduce the taxing authority of a subdivision.43662

       Sec. 5705.30.  This section does not apply to a subdivision43663
for which the county budget commission has waived the requirement43664
to adopt a tax budget under section 5705.281 of the Revised Code.43665

       In addition to the information required by section 5705.29 of43666
the Revised Code, the budget of each subdivision and school43667
library district shall include such other information as is43668
prescribed by the auditor of state. At least two copies of the43669
budget shall be filed in the office of the fiscal officer of the43670
subdivision for public inspection not less than ten days before43671
its adoption by the taxing authority, and such taxing authority43672
shall hold at least one public hearing thereon, of which public43673
notice shall be given by at least one publication not less than43674
ten days prior to the date of hearing in the official publication43675
of such subdivision, or in a newspaper having general circulation43676
in the subdivision. The budget, after adoption, shall be submitted43677
to the county auditor on or before the twentieth day of July, or43678
in the case of a school district, by the twentieth day of January.43679
The tax commissioner may prescribe a later date for the submission43680
of a subdivision's tax budget. Any subdivision that fails to43681
submit its budget to the county auditor on or before the twentieth43682
day of July, unless the commissioner on or before the twentieth43683
day of July prescribes a later date for submission of the budget43684
by that subdivision, shall not receive an apportionment from the43685
undivided local governmentcommunities fund distribution for the 43686
ensuing calendar year, unless upon review of the matter the 43687
commissioner determines that the budget was adopted by the 43688
subdivision on or before the fifteenth day of July, but was not 43689
submitted to the county auditor by the twentieth day of July or 43690
the later time prescribed by the commissioner because of 43691
ministerial error by the subdivision or its officers, employees, 43692
or other representatives.43693

       Sec. 5705.31.  The county auditor shall present to the county43694
budget commission the annual tax budgets submitted under sections43695
5705.01 to 5705.47 of the Revised Code, together with an estimate43696
prepared by the auditor of the amount of any state levy, the rate43697
of any school tax levy as previously determined, the tax43698
commissioner's estimate of the amount to be received in the county43699
library and local government supportlibraries fund, the tax rates 43700
provided under section 5705.281 of the Revised Code if adoption of 43701
the tax budget was waived under that section, and such other43702
information as the commission requests or the tax commissioner43703
prescribes. The budget commission shall examine such budget and43704
ascertain the total amount proposed to be raised in the county for43705
the purposes of each subdivision and other taxing units in the43706
county.43707

       The commission shall ascertain that the following levies have43708
been properly authorized and, if so authorized, shall approve them43709
without modification:43710

       (A) All levies in excess of the ten-mill limitation;43711

       (B) All levies for debt charges not provided for by levies in 43712
excess of the ten-mill limitation, including levies necessary to 43713
pay notes issued for emergency purposes;43714

       (C) The levies prescribed by division (B) of sections 742.3343715
and 742.34 of the Revised Code;43716

       (D) Except as otherwise provided in this division, a minimum43717
levy within the ten-mill limitation for the current expense and43718
debt service of each subdivision or taxing unit, which shall equal43719
two-thirds of the average levy for current expenses and debt43720
service allotted within the fifteen-mill limitation to such43721
subdivision or taxing unit during the last five years the43722
fifteen-mill limitation was in effect unless such subdivision or43723
taxing unit requests an amount requiring a lower rate. Except as43724
provided in section 5705.312 of the Revised Code, if the levies43725
required in divisions (B) and (C) of this section for the43726
subdivision or taxing unit equal or exceed the entire minimum levy43727
of the subdivision as fixed, the minimum levies of the other43728
subdivisions or taxing units shall be reduced by the commission to43729
provide for the levies and an operating levy for the subdivision.43730
Such additional levy shall be deducted from the minimum levies of43731
each of the other subdivisions or taxing units, but the operating43732
levy for a school district shall not be reduced below a figure43733
equivalent to forty-five per cent of the millage available within43734
the ten-mill limitation after all the levies in divisions (B) and43735
(C) of this section have been provided for.43736

       If a municipal corporation and a township have entered into43737
an annexation agreement under section 709.192 of the Revised Code43738
in which they agree to reallocate their shares of the minimum43739
levies established under this division and if that annexation43740
agreement is submitted along with the annual tax budget of both43741
the township and the municipal corporation, then, when determining43742
the minimum levy under this division, the auditor shall allocate,43743
to the extent possible, the minimum levy for that municipal43744
corporation and township in accordance with their annexation43745
agreement.43746

       (E) The levies prescribed by section 3709.29 of the Revised43747
Code.43748

       Divisions (A) to (E) of this section are mandatory, and43749
commissions shall be without discretion to reduce such minimum43750
levies except as provided in such divisions.43751

       If any debt charge is omitted from the budget, the commission43752
shall include it therein.43753

       Sec. 5705.32.  (A) The county budget commission shall adjust43754
the estimated amounts required from the general property tax for43755
each fund, as shown by the tax budgets or other information43756
required to be provided under section 5705.281 of the Revised43757
Code, so as to bring the tax levies required therefor within the43758
limitations specified in sections 5705.01 to 5705.47 of the43759
Revised Code, for such levies, but no levy shall be reduced below43760
a minimum fixed by law. The commission may revise and adjust the43761
estimate of balances and receipts from all sources for each fund43762
and shall determine the total appropriations that may be made43763
therefrom.43764

       (B) The commission shall fix the amount of the county library 43765
and local government supportlibraries fund to be distributed to43766
each board of public library trustees that has qualified under43767
section 5705.28 of the Revised Code for participation in the43768
proceeds of such fund. The amount paid to all libraries in the43769
county from such fund shall never be a smaller per cent of the43770
fund than the average of the percentages of the county's43771
classified taxes that were distributed to libraries in 1982, 1983,43772
and 1984, as determined by the county auditor. The commission43773
shall base the amount for distribution on the needs of such43774
library for the construction of new library buildings, parts of43775
buildings, improvements, operation, maintenance, or other43776
expenses. In determining the needs of each library board of43777
trustees, and in calculating the amount to be distributed to any43778
library board of trustees on the basis of its needs, the43779
commission shall make no reduction in its allocation from the fund43780
on account of additional revenues realized by a library from43781
increased taxes or service charges voted by its electorate, from43782
revenues received through federal or state grants, projects, or43783
programs, or from grants from private sources.43784

       (C) Notwithstanding the fact that alternative methods of43785
financing such needs are available, after fixing the amount to be43786
distributed to libraries, the commission shall fix the amount, if43787
any, of the county library and local government supportlibraries43788
fund to be distributed to each board of township park43789
commissioners, the county, and each municipal corporation in 43790
accordance with the following:43791

       (1) Each municipal corporation in the county shall receive a43792
per cent of the remainder that equals the per cent that the county43793
auditor determines the classified property taxes originating in43794
such municipal corporation in 1984 were of the total of all of the43795
county's classified property taxes in 1984. The commission may43796
deduct from this amount any amount that the budget commission43797
allows to the board of township park commissioners of a township43798
park district, the boundaries of which are coextensive with or43799
contained within the boundaries of the municipal corporation.43800

       (2) The county shall receive a per cent of the remainder that 43801
equals the per cent that the county auditor determines the43802
classified property taxes originating outside of the boundaries of43803
municipal corporations in the county in 1984 were of the total of43804
all of the county's classified property taxes in 1984. The43805
commission may deduct from this amount any amount that the budget43806
commission allows to the board of township park commissioners of a43807
township park district, the boundaries of which are not43808
coextensive with or contained within those of any municipal43809
corporation in the county.43810

       (D) The commission shall separately set forth the amounts43811
fixed and determined under divisions (B) and (C) of this section43812
in the "official certificate of estimated resources," as provided43813
in section 5705.35 of the Revised Code, and separately certify43814
such amount to the county auditor who shall be guided thereby in43815
the distribution of the county library and local government43816
supportlibraries fund for and during the fiscal year. In 43817
determining such amounts, the commission shall be guided by the 43818
estimate certified by the tax commissioner and presented by the 43819
auditor under section 5705.31 of the Revised Code, as to the total 43820
amount of revenue to be received in the county library and local 43821
government supportlibraries fund during such fiscal year.43822

       (E)(1) At least five days before the date of any meeting at43823
which the budget commission plans to discuss the distribution of43824
the county library and local government supportlibraries fund, it 43825
shall notify each legislative authority and board of public 43826
library trustees, county commissioners, and township park43827
commissioners eligible to participate in the distribution of the 43828
fund of the date, time, place, and agenda for the meeting. Any 43829
legislative authority or board entitled to notice under this 43830
division may designate an officer or employee of such legislative 43831
authority or board to whom the commission shall deliver the 43832
notice.43833

       (2) Before the final determination of the amount to be43834
allotted to each subdivision from any source, the commission shall43835
permit representatives of each subdivision and of each board of43836
public library trustees to appear before it to explain its43837
financial needs.43838

       (F) If any public library receives and expends any funds43839
allocated to it under this section for the construction of new43840
library buildings or parts of buildings, such library shall be43841
free and open to the inhabitants of the county in which it is43842
located. Any board of library trustees that receives funds under43843
this section and section 5747.48 of the Revised Code shall have43844
its financial records open for public inspection at all reasonable43845
times.43846

       Sec. 5705.321.  (A) As used in this section:43847

       (1) "City, located wholly or partially in the county, with43848
the greatest population" means the city, located wholly or43849
partially in the county, with the greatest population residing in43850
the county; however, if the county budget commission on or before43851
January 1, 1998, adopted an alternative method of apportionment43852
that was approved by the city, located partially in the county,43853
with the greatest population but not the greatest population43854
residing in the county, "city, located wholly or partially in the43855
county, with the greatest population" means the city, located43856
wholly or partially in the county, with the greatest population43857
whether residing in the county or not, if this alternative meaning43858
is adopted by action of the board of county commissioners and a43859
majority of the boards of township trustees and legislative43860
authorities of municipal corporations located wholly or partially43861
in the county.43862

       (2) "Participating political subdivision" means a municipal43863
corporation or township that satisfies all of the following:43864

       (a) It is located wholly or partially in the county.43865

       (b) It is not the city, located wholly or partially in the43866
county, with the greatest population.43867

       (c) Library and local government supportLocal libraries fund 43868
moneys are apportioned to it under the county's alternative method 43869
or formula of apportionment in the current calendar year.43870

       (B) In lieu of the method of apportionment of the county43871
library and local government supportlibraries fund provided by 43872
division (C) of section 5705.32 of the Revised Code, the county 43873
budget commission may provide for the apportionment of the fund43874
under an alternative method or on a formula basis as authorized by43875
this section.43876

       Except as otherwise provided in division (C) of this section,43877
the alternative method of apportionment shall have first been43878
approved by all of the following governmental units: the board of43879
county commissioners; the legislative authority of the city,43880
located wholly or partially in the county, with the greatest43881
population; and a majority of the boards of township trustees and43882
legislative authorities of municipal corporations, located wholly43883
or partially in the county, excluding the legislative authority of43884
the city, located wholly or partially in the county, with the43885
greatest population. In granting or denying approval for an43886
alternative method of apportionment, the board of county43887
commissioners, boards of township trustees, and legislative43888
authorities of municipal corporations shall act by motion. A43889
motion to approve shall be passed upon a majority vote of the43890
members of a board of county commissioners, board of township43891
trustees, or legislative authority of a municipal corporation,43892
shall take effect immediately, and need not be published.43893

       Any alternative method of apportionment adopted and approved43894
under this division may be revised, amended, or repealed in the43895
same manner as it may be adopted and approved. If an alternative43896
method of apportionment adopted and approved under this division43897
is repealed, the county library and local government support43898
libraries fund shall be apportioned among the subdivisions 43899
eligible to participate in the fund, commencing in the ensuing 43900
calendar year, under the apportionment provided in divisions (B) 43901
and (C) of section 5705.32 of the Revised Code, unless the repeal 43902
occurs by operation of division (C) of this section or a new 43903
method for apportionment of the fund is provided in the action of 43904
repeal.43905

       (C) This division applies only in counties in which the city,43906
located wholly or partially in the county, with the greatest43907
population has a population of twenty thousand or less and a43908
population that is less than fifteen per cent of the total43909
population of the county. In such a county, the legislative43910
authorities or boards of township trustees of two or more43911
participating political subdivisions, which together have a43912
population residing in the county that is a majority of the total43913
population of the county, each may adopt a resolution to exclude43914
the approval otherwise required of the legislative authority of43915
the city, located wholly or partially in the county, with the43916
greatest population. All of the resolutions to exclude that43917
approval shall be adopted not later than the first Monday of43918
August of the year preceding the calendar year in which43919
distributions are to be made under an alternative method of43920
apportionment.43921

       A motion granting or denying approval of an alternative43922
method of apportionment under this division shall be adopted by a43923
majority vote of the members of the board of county commissioners43924
and by a majority vote of a majority of the boards of township43925
trustees and legislative authorities of the municipal corporations43926
located wholly or partially in the county, other than the city,43927
located wholly or partially in the county, with the greatest43928
population, shall take effect immediately, and need not be43929
published. The alternative method of apportionment under this43930
division shall be adopted and approved annually, not later than43931
the first Monday of August of the year preceding the calendar year43932
in which distributions are to be made under it. A motion granting43933
approval of an alternative method of apportionment under this43934
division repeals any existing alternative method of apportionment,43935
effective with distributions to be made from the fund in the43936
ensuing calendar year. An alternative method of apportionment43937
under this division shall not be revised or amended after the43938
first Monday of August of the year preceding the calendar year in43939
which distributions are to be made under it.43940

       (D) In determining an alternative method of apportionment43941
authorized by this section, the county budget commission may43942
include in the method any factor considered to be appropriate and43943
reliable, in the sole discretion of the county budget commission.43944

       (E) On the basis of any alternative method of apportionment43945
adopted and approved as authorized by this section, as certified43946
by the auditor to the county treasurer, the county treasurer shall43947
make distribution of the money in the county library and local43948
government supportlibraries fund to each subdivision eligible to43949
participate in the fund, and the auditor, when the amount of those 43950
shares is in the custody of the treasurer in the amounts so43951
computed to be due the respective subdivisions, shall at the same43952
time certify to the tax commissioner the percentage share of the43953
county as a subdivision. All money received into the treasury of a 43954
subdivision from the county library and local government support43955
libraries fund in a county treasury shall be paid into the general 43956
fund and used for the current operating expenses of the 43957
subdivision.43958

       (F) The actions of the county budget commission taken43959
pursuant to this section are final and may not be appealed to the43960
board of tax appeals, except on the issues of abuse of discretion43961
and failure to comply with the formula.43962

       Sec. 5705.37.  The taxing authority of any subdivision that43963
is dissatisfied with any action of the county budget commission43964
may, through its fiscal officer, appeal to the board of tax43965
appeals within thirty days after the receipt by the subdivision of 43966
the official certificate or notice of the commission's action. In 43967
like manner, but through its clerk, the board of trustees of any 43968
public library, nonprofit corporation, or library association43969
maintaining a free public library that has adopted and certified43970
rules under section 5705.28 of the Revised Code, or any park43971
district may appeal to the board of tax appeals. An appeal under43972
this section shall be taken by the filing of a notice of appeal,43973
either in person or by certified mail, express mail, or authorized 43974
delivery service as provided in section 5703.056 of the Revised 43975
Code, with the board and with the commission. If notice of appeal 43976
is filed by certified mail, express mail, or authorized delivery 43977
service, date of the United States postmark placed on the sender's43978
receipt by the postal service or the date of receipt recorded by 43979
the authorized delivery service shall be treated as the date of 43980
filing. Upon receipt of the notice of appeal, the commission, by 43981
certified mail, shall notify all persons who were parties to the 43982
proceeding before the commission of the filing of the notice of 43983
appeal and shall file proof of notice with the board of tax 43984
appeals. The secretary of the commission shall forthwith certify 43985
to the board a transcript of the full and accurate record of all 43986
proceedings before the commission, together with all evidence 43987
presented in the proceedings or considered by the commission, 43988
pertaining to the action from which the appeal is taken. The 43989
secretary of the commission also shall certify to the board any 43990
additional information that the board may request.43991

       The board of tax appeals, in a de novo proceeding, shall43992
forthwith consider the matter presented to the commission, and may 43993
modify any action of the commission with reference to the budget, 43994
the estimate of revenues and balances, the allocation of the 43995
library and local government supportlibraries fund, or the fixing 43996
of tax rates. The finding of the board of tax appeals shall be43997
substituted for the findings of the commission, and shall be43998
certified to the tax commissioner, the county auditor, and the43999
taxing authority of the subdivision affected, or to the board of44000
public library trustees affected, as the action of the commission44001
under sections 5705.01 to 5705.47 of the Revised Code.44002

       This section does not give the board of tax appeals any44003
authority to place any tax levy authorized by law within the44004
ten-mill limitation outside of that limitation, or to reduce any44005
levy below any minimum fixed by law.44006

       Sec. 5705.44.  When contracts or leases run beyond the44007
termination of the fiscal year in which they are made, the fiscal44008
officer of the taxing authority shall make a certification for the44009
amount required to meet the obligation of such contract or lease44010
maturing in such fiscal year. The amount of the obligation under44011
such contract or lease remaining unfulfilled at the end of a44012
fiscal year, and which will become payable during the next fiscal44013
year, shall be included in the annual appropriation measure for44014
the next year as a fixed charge.44015

       The certificate required by section 5705.41 of the Revised44016
Code as to money in the treasury shall not be required for44017
contracts on which payments are to be made from the earnings of a44018
publicly operated water works or public utility, but in the case44019
of any such contract made without such certification, no payment44020
shall be made on account thereof, and no claim or demand thereon44021
shall be recoverable, except out of such earnings. That44022
certificate also shall not be required if requiring the44023
certificate makes it impossible for a county board of mental44024
retardation and developmental disabilities to pay the nonfederal44025
share of medicaid expenditures that the county board is required44026
by division (A) of section 5126.057sections 5126.059 and 44027
5126.0510 of the Revised Code to pay.44028

       Sec. 5709.68.  (A) On or before the thirty-first day of March 44029
each year, a municipal corporation or county that has entered into 44030
an agreement with an enterprise under section 5709.62, 5709.63, or 44031
5709.632 of the Revised Code shall submit to the director of 44032
development and the board of education of each school district of 44033
which a municipal corporation or township to which such an 44034
agreement applies is a part a report on all of those agreements in 44035
effect during the preceding calendar year. The report shall 44036
include all of the following information:44037

       (1) The designation, assigned by the director of development, 44038
of each urban jobs and enterprise zone within the municipal 44039
corporation or county, the date each zone was certified, the name 44040
of each municipal corporation or township within each zone, and 44041
the total population of each zone according to the most recent 44042
data available;44043

       (2) The number of enterprises that are subject to those44044
agreements and the number of full-time employees subject to those44045
agreements within each zone, each according to the most recent44046
data available and identified and categorized by the appropriate44047
standard industrial code, and the rate of unemployment in the44048
municipal corporation or county in which the zone is located for44049
each year since each zone was certified;44050

       (3) The number of agreements approved and executed during the 44051
calendar year for which the report is submitted, the total number 44052
of agreements in effect on the thirty-first day of December of the 44053
preceding calendar year, the number of agreements that expired 44054
during the calendar year for which the report is submitted, and 44055
the number of agreements scheduled to expire during the calendar 44056
year in which the report is submitted. For each agreement that 44057
expired during the calendar year for which the report is 44058
submitted, the municipal corporation or county shall include the 44059
amount of taxes exempted and the estimated dollar value of any 44060
other incentives provided under the agreement.44061

       (4) The number of agreements receiving compliance reviews by44062
the tax incentive review council in the municipal corporation or44063
county during the calendar year for which the report is submitted,44064
including all of the following information:44065

       (a) The number of agreements the terms of which an enterprise 44066
has complied with, indicating separately for each agreement the 44067
value of the real and personal property exempted pursuant to the 44068
agreement and a comparison of the stipulated and actual schedules 44069
for hiring new employees, for retaining existing employees, for 44070
the amount of payroll of the enterprise attributable to these 44071
employees, and for investing in establishing, expanding, 44072
renovating, or occupying a facility;44073

       (b) The number of agreements the terms of which an enterprise 44074
has failed to comply with, indicating separately for each 44075
agreement the value of the real and personal property exempted 44076
pursuant to the agreement and a comparison of the stipulated and 44077
actual schedules for hiring new employees, for retaining existing 44078
employees, for the amount of payroll of the enterprise 44079
attributable to these employees, and for investing in44080
establishing, expanding, renovating, or occupying a facility;44081

       (c) The number of agreements about which the tax incentive44082
review council made recommendations to the legislative authority44083
of the municipal corporation or county, and the number of those44084
recommendations that have not been followed;44085

       (d) The number of agreements rescinded during the calendar44086
year for which the report is submitted.44087

       (5) The number of enterprises that are subject to agreements44088
that expanded within each zone, including the number of new44089
employees hired and existing employees retained by each44090
enterprise, and the number of new enterprises that are subject to44091
agreements and that established within each zone, including the44092
number of new employees hired by each enterprise;44093

       (6)(a) The number of enterprises that are subject to44094
agreements and that closed or reduced employment at any place of44095
business within the state for the primary purpose of establishing,44096
expanding, renovating, or occupying a facility, indicating44097
separately for each enterprise the political subdivision in which44098
the enterprise closed or reduced employment at a place of business44099
and the number of full-time employees transferred and retained by44100
each such place of business;44101

       (b) The number of enterprises that are subject to agreements44102
and that closed or reduced employment at any place of business44103
outside the state for the primary purpose of establishing,44104
expanding, renovating, or occupying a facility.44105

       (7) For each agreement in effect during any part of the44106
preceding year, the number of employees employed by the enterprise44107
at the project site immediately prior to formal approval of the44108
agreement, the number of employees employed by the enterprise at44109
the project site on the thirty-first day of December of the44110
preceding year, the payroll of the enterprise for the preceding44111
year, the amount of taxes paid on tangible personal property44112
situated at the project site and the amount of those taxes that44113
were not paid because of the exemption granted under the44114
agreement, and the amount of taxes paid on real property44115
constituting the project site and the amount of those taxes that44116
were not paid because of the exemption granted under the44117
agreement. If an agreement was entered into under section 5709.632 44118
of the Revised Code with an enterprise described in division 44119
(B)(2) of that section, the report shall include the number of 44120
employee positions at all of the enterprise's locations in this 44121
state. If an agreement is conditioned on a waiver issued under 44122
division (B) of section 5709.633 of the Revised Code on the basis 44123
of the circumstance described in division (B)(3)(a) or (b) of that 44124
section, the report shall include the number of employees at the 44125
facilities referred to in division (B)(3)(a)(i) or (b)(i) of that 44126
section, respectively.44127

       (B) Upon the failure of a municipal corporation or county to44128
comply with division (A) of this section:44129

       (1) Beginning on the first day of April of the calendar year44130
in which the municipal corporation or county fails to comply with44131
that division, the municipal corporation or county shall not enter44132
into any agreements with an enterprise under section 5709.62,44133
5709.63, or 5709.632 of the Revised Code until the municipal44134
corporation or county has complied with division (A) of this44135
section.44136

       (2) On the first day of each ensuing calendar month until the 44137
municipal corporation or county complies with division (A) of this 44138
section, the director of development shall either order the proper 44139
county auditor to deduct from the next succeeding payment of taxes 44140
to the municipal corporation or county under section 321.31, 44141
321.32, 321.33, or 321.34 of the Revised Code an amount equal to 44142
one thousand dollars for each calendar month the municipal44143
corporation or county fails to comply with that division, or order 44144
the county auditor to deduct that amount from the next succeeding44145
payment to the municipal corporation or county from the undivided 44146
local governmentcommunities fund under section 5747.51 of the 44147
Revised Code. At the time such a payment is made, the county44148
auditor shall comply with the director's order by issuing a44149
warrant, drawn on the fund from which the money would have been44150
paid, to the director of development, who shall deposit the44151
warrant into the state enterprise zone program administration fund 44152
created in division (C) of this section.44153

       (C) The director, by rule, shall establish the state's44154
application fee for applications submitted to a municipal44155
corporation or county to enter into an agreement under section44156
5709.62, 5709.63, or 5709.632 of the Revised Code. In establishing 44157
the amount of the fee, the director shall consider the state's 44158
cost of administering the enterprise zone program, including the 44159
cost of reviewing the reports required under division (A) of this 44160
section. The director may change the amount of the fee at the 44161
times and in the increments the director considers necessary. Any 44162
municipal corporation or county that receives an application shall 44163
collect the application fee and remit the fee for deposit in the 44164
state treasury to the credit of the state enterprise zone program 44165
administration fund, which is hereby created. Money credited to 44166
the fund shall be used by the department of development to pay the 44167
costs of administering the enterprise zone program, including the 44168
cost of reviewing the reports required under division (A) of this 44169
sectiontax incentive programs operating fund created in section 44170
122.174 of the Revised Code.44171

       (D) On or before the thirtieth day of June each year, the44172
director of development shall certify to the tax commissioner the44173
information described under division (A)(7) of this section,44174
derived from the reports submitted to the director under this44175
section.44176

       On the basis of the information certified under this44177
division, the tax commissioner annually shall submit a report to44178
the governor, the speaker of the house of representatives, the44179
president of the senate, and the chairpersons of the ways and44180
means committees of the respective houses of the general assembly,44181
indicating for each enterprise zone the amount of state and local44182
taxes that were not required to be paid because of exemptions44183
granted under agreements entered into under section 5709.62,44184
5709.63, or 5709.632 of the Revised Code and the amount of44185
additional taxes paid from the payroll of new employees.44186

       Sec. 5709.882.  (A) On or before the thirty-first day of44187
March each year, a municipal corporation or county that has44188
entered into an agreement with an enterprise under section 5709.88 44189
of the Revised Code shall submit to the director of development 44190
and the board of education of each school district of which a 44191
municipal corporation or county to which such an agreement applies 44192
is a part a report on all such agreements in effect during the 44193
preceding calendar year. The report shall include all of the 44194
following information:44195

       (1) The number of enterprises that are subject to such44196
agreements and the number of full-time employees subject to those44197
agreements in the county or municipal corporation;44198

       (2) The number of agreements approved and executed during the 44199
calendar year for which the report is submitted, the total number 44200
of agreements in effect on the thirty-first day of December of the 44201
preceding calendar year, the number of agreements that expired 44202
during the calendar year for which the report is submitted, and 44203
the number of agreements scheduled to expire during the calendar 44204
year in which the report is submitted. For each agreement that 44205
expired during the calendar year for which the report is 44206
submitted, the municipal corporation or county shall include the 44207
amount of taxes exempted and the estimated dollar value of any 44208
other incentives provided under the agreement.44209

       (3) The number of agreements receiving compliance reviews by 44210
the tax incentive review council in the municipal corporation or 44211
county under section 5709.883 of the Revised Code during the44212
calendar year for which the report is submitted, including all of44213
the following information:44214

       (a) The number of agreements the terms of which an enterprise 44215
has complied with, indicating separately for each such agreement 44216
the value of the real and personal property exempted pursuant to 44217
the agreement and a comparison of the stipulated and actual 44218
schedules for hiring new employees, for retaining existing44219
employees, for the amount of payroll of the enterprise44220
attributable to these employees, and for remediating and investing 44221
in establishing, expanding, renovating, or occupying a facility;44222

       (b) The number of agreements the terms of which an enterprise 44223
has failed to comply with, indicating separately for each such 44224
agreement the value of the real and personal property exempted 44225
pursuant to the agreement and a comparison of the stipulated and 44226
actual schedules for hiring new employees, for retaining existing 44227
employees, for the amount of payroll of the enterprise 44228
attributable to these employees, and for remediating and investing 44229
in establishing, expanding, renovating, or occupying a facility;44230

       (c) The number of agreements about which the tax incentive44231
review council made recommendations to the legislative authority44232
of the municipal corporation or county, and the number of such44233
recommendations that have not been followed;44234

       (d) The number of agreements rescinded during the calendar44235
year for which the report is submitted.44236

       (4) The number of enterprises that are subject to agreements 44237
and the number of new employees hired and existing employees 44238
retained by each such enterprise;44239

       (5)(a) The number of enterprises that are subject to44240
agreements and that closed or reduced employment at any place of44241
business within the state for the primary purpose of remediating44242
and establishing, expanding, renovating, or occupying a facility,44243
indicating separately for each such enterprise the political44244
subdivision in which the enterprise closed or reduced employment44245
at a place of business and the number of full-time employees44246
transferred and retained by each such place of business;44247

       (b) The number of enterprises that are subject to agreements 44248
and that closed or reduced employment at any place of business 44249
outside the state for the primary purpose of remediating and 44250
establishing, expanding, renovating, or occupying a facility.44251

       (B) Upon the failure of a municipal corporation or county to 44252
comply with division (A) of this section, both of the following 44253
apply:44254

       (1) Beginning on the first day of April of the calendar year 44255
in which the municipal corporation or county fails to comply with 44256
that division, the municipal corporation or county shall not enter 44257
into any agreements with an enterprise under section 5709.88 of 44258
the Revised Code until the municipal corporation or county has 44259
complied with division (A) of this section;44260

       (2) On the first day of each ensuing calendar month until the 44261
municipal corporation or county complies with that division, the 44262
director of development shall either order the proper county44263
auditor to deduct from the next succeeding payment of taxes to the 44264
municipal corporation or county under section 321.31, 321.32,44265
321.33, or 321.34 of the Revised Code an amount equal to five44266
hundred dollars for each calendar month the municipal corporation44267
or county fails to comply with that division, or order the county44268
auditor to deduct such an amount from the next succeeding payment44269
to the municipal corporation or county from the undivided local44270
governmentcommunities fund under section 5747.51 of the Revised 44271
Code. At the time such a payment is made, the county auditor shall 44272
comply with the director's order by issuing a warrant, drawn on 44273
the fund from which such money would have been paid, to the 44274
director of development, who shall deposit the warrant into the 44275
contaminated sites development program administration fund created 44276
in division (C) of this section.44277

       (C) The director, by rule, shall establish the state's44278
application fee for applications submitted to a municipal44279
corporation or county to enter into an agreement under section44280
5709.88 of the Revised Code. In establishing the amount of the44281
fee, the director shall consider the state's cost of administering 44282
this section and section 5709.88 of the Revised Code. The director 44283
may change the amount of the fee at such times and in such 44284
increments as hethe director considers necessary. Any municipal 44285
corporation or county that receives an application shall collect 44286
the application fee and remit the fee for deposit in the state 44287
treasury to the credit of the contaminated sites development 44288
program administration fund, which is hereby created. Money 44289
credited to the fund shall be used by the department of44290
development to pay the costs of administering this section and44291
section 5709.88 of the Revised Code.44292

       Sec. 5715.36.  (A) Any expense incurred by the tax44293
commissioner as to the annual assessment of real property in any44294
taxing district shall be paid out of the treasury of the county in 44295
which such district is located upon presentation of the order of 44296
the commissioner certifying the amount thereof to the county44297
auditor, who shall thereupon issue hisa warrant therefor upon the 44298
general fund of the county and direct the warrant to the county44299
treasurer, who shall pay the same. All money paid out of the44300
county treasury under authority of this division and section44301
5703.30 of the Revised Code shall be charged against the proper44302
district, and amounts paid by the county shall be retained by the44303
auditor from funds due such district at the time of making the44304
semiannual distribution of taxes.44305

       (B) Any expense incurred by the board of tax appeals as to44306
the hearing of any appeal from a county budget commission with44307
respect to the allocation of the local government or local 44308
communities fund or the county library and local government 44309
support fund or county local libraries fund shall be paid out of 44310
the treasury of the county involved upon presentation of the order 44311
of the board certifying the amount thereof to the county auditor, 44312
who shall thereupon issue hisa warrant therefor upon the general 44313
fund of the county and direct the warrant to the county treasurer, 44314
who shall pay the same. At the time the local government or local 44315
communities fund or the county library and local government44316
support fund or county local libraries fund is distributed, all 44317
money which had been paid out of the county treasury for such 44318
expenses shall be deducted by the county auditor from the fund 44319
involved in the appeal. The amount so deducted by the county 44320
auditor shall be forthwith returned to the general fund of the 44321
county.44322

       (C) An amount equal to the sum of the expenses incurred by44323
the board of tax appeals as to any of the following shall be paid44324
out of the general fund of the county in which such property is44325
located upon presentation of the order of the board certifying the 44326
amount thereof to the county auditor, who shall thereupon issue 44327
hisa warrant therefor upon the general fund of the county and 44328
direct the warrant to the county treasurer, who shall pay the44329
same:44330

       (1) The hearing of any appeal from a county board of revision 44331
under section 5717.01 of the Revised Code;44332

       (2) An appeal from any finding, computation, determination, 44333
or order of the tax commissioner made with respect to the 44334
assessment or exemption of real property under division (B) of 44335
section 5715.61 and section 5717.02 of the Revised Code. At the 44336
time of each settlement of taxes under divisions (A) and (C) of 44337
section 321.24 of the Revised Code, there shall be deducted from 44338
the taxes included in such settlement and paid into the county 44339
general fund in the same manner as the fees allowed the county 44340
treasurer on amounts included in such settlement, the amounts paid 44341
out under this division since the preceding settlement. Each 44342
deduction shall be apportioned among the taxing districts within 44343
which the property that was the subject of the appeal is located 44344
in proportion to their relative shares of their respective taxes 44345
included in the settlement.44346

       Sec. 5719.041.  If the payment of a general personal property 44347
or classified property tax is not made on or before the last day 44348
prescribed by section 5719.03 or 5719.031 of the Revised Code, an 44349
interest charge shall begin to accrue and shall continue until all 44350
charges are paid, except that no interest charge shall accrue for 44351
or in the month in which such payment was due under such section 44352
or under the circumstances and for the period described in 44353
division (A)(2) of section 5711.33 of the Revised Code or upon 44354
delinquent taxes that are the subject of a delinquent tax contract 44355
entered into pursuant to section 5719.05 of the Revised Code.44356

       The interest charge shall accrue against the balance of such 44357
taxes and any penalty thereon outstanding that remains unpaid on 44358
the last day of each month and shall be at the rate per calendar 44359
month, rounded to the nearest one-hundredth of one per cent, equal 44360
to one-twelfth of the federal short-term rate determined by the 44361
tax commissioner under section 5703.47 of the Revised Code for the 44362
calendar year that includes the month for which the charge 44363
accrues. The charge is payable in addition to the unpaid balance 44364
of taxes and penalties on the day the charge accrues, unless the 44365
entire balance is sooner paid.44366

       If a delinquent tax contract becomes void, interest shall be 44367
charged on the day on which the contract becomes void in the 44368
amount that would have been charged had the delinquent tax 44369
contract not been entered into and shall thereafter accrue as 44370
provided in this section.44371

       Interest shall be allowed, at the same rate per calendar44372
month as is applicable that month for underpayments, on any44373
overpayment of the tax charged on a general personal property or a 44374
classified property tax duplicate, from the first day of the month 44375
following the date of the overpayment until the last day of the 44376
month preceding the date of the refund of the overpayment. The 44377
interest shall be paid from the fund or funds to which the44378
overpayment was credited.44379

       When the county treasurer makes the treasurer's annual44380
settlement with the county auditor under division (D) of section 44381
321.24 of the Revised Code, the treasurer shall certify to the 44382
auditor a list of all entries on the cumulative delinquent tax 44383
duplicate that are at that time in the process of being paid in 44384
installments under a valid delinquent tax contract. For each entry 44385
that appears on the duplicate that is not on the certified list, 44386
the auditor shall compute the full amount of interest charges 44387
which have accrued against such entry since the preceding such 44388
settlement was made and shall include such charges through the 44389
last day of the month preceding the current settlement. The 44390
auditor shall include such amounts on the tax list and duplicates 44391
prepared by the auditor as prescribed in section 5719.04 of the 44392
Revised Code unless the interest is less than one dollar, in which 44393
case it shall not be added to such tax lists and duplicates.44394

       Before the county treasurer accepts any payment of taxes44395
against which there are accrued interest charges that do not44396
appear on the delinquent tax duplicate, the treasurer shall notify 44397
the auditor who shall issue a certificate to the treasurer showing44398
the amount of such interest charges, and the treasurer shall44399
collect the amount shown on such certificate at the time of 44400
accepting payment of such taxes. If the amount of such interest 44401
charges is less than one dollar, no such certificate shall be 44402
issued. In the case of delinquent personal property taxes, the 44403
interest shown on such certificate shall be credited to the 44404
undivided general tax fund, and distributed in the same manner as 44405
the delinquent taxes upon which the interest charges accrued. In 44406
the case of delinquent classified property taxes, the interest 44407
shown on such certificate shall be credited to the county library 44408
and local government supportlibraries fund and distributed in 44409
accordance with section 5747.48 of the Revised Code. When the44410
payment of delinquent taxes is credited on the tax duplicate the44411
treasurer shall make a separate notation thereon indicating the44412
amount collected and the index number of the auditor's certificate 44413
herein prescribed.44414

       Sec. 5725.151.  (A) As used in this section, "certificate 44415
owner" has the same meaning as in section 149.311 of the Revised 44416
Code.44417

       (B) There is allowed a refundable credit against the tax 44418
imposed by section 5707.03 and assessed under section 5725.15 of 44419
the Revised Code for a dealer in intangibles subject to that tax 44420
that is a certificate owner of a rehabilitation tax credit 44421
certificate issued under section 149.311 of the Revised Code. The 44422
credit shall equal twenty-five per cent of the dollar amount 44423
indicated on the certificate. The credit shall be claimed in the 44424
calendar year specified in the certificate.44425

       (C) A dealer in intangibles claiming a credit under this 44426
section shall retain the rehabilitation tax credit certificate for 44427
four years following the end of the year in which the credit was 44428
claimed, and shall make the certificate available for inspection 44429
by the tax commissioner upon the request of the tax commissioner 44430
during that period.44431

       (D) For the purpose of division (C) of section 5725.24 of the 44432
Revised Code, reductions in the amount of taxes collected on 44433
account of credits allowed under this section shall be applied to 44434
reduce the amount credited to the general revenue fund and shall 44435
not be applied to reduce the amount to be credited to the 44436
undivided local governmentcommunities funds of the counties in 44437
which such taxes originate.44438

       Sec. 5725.24. (A) As used in this section, "qualifying44439
dealer" means a dealer in intangibles that is a qualifying dealer44440
in intangibles as defined in section 5733.45 of the Revised Code44441
or a member of a qualifying controlled group, as defined in44442
section 5733.04 of the Revised Code, of which an insurance company44443
also is a member on the first day of January of the year in and44444
for which the tax imposed by section 5707.03 of the Revised Code44445
is required to be paid by the dealer.44446

       (B) The taxes levied by section 5725.18 of the Revised Code 44447
and collected pursuant to this chapter shall be paid into the44448
state treasury to the credit of the general revenue fund.44449

       (C) The taxes levied by section 5707.03 of the Revised Code44450
on the value of shares in and capital employed by dealers in44451
intangibles other than those that are qualifying dealers shall be44452
for the use of the general revenue fund of the state and the local44453
governmentcommunities funds of the several counties in which the 44454
taxes originate as provided in this division.44455

       On or before the first day ofDuring each month onfor which 44456
there is money in the state treasury for disbursement under this 44457
division, the tax commissioner shall provide for payment to the44458
county treasurer of each county of five-eighths of the amount of44459
the taxes collected on account of shares in and capital employed 44460
by dealers in intangibles other than those that are qualifying44461
dealers, representing capital employed in the county. The balance44462
of the money received and credited on account of taxes assessed on44463
shares in and capital employed by such dealers in intangibles44464
shall be credited to the general revenue fund.44465

       Reductions in the amount of taxes collected on account of 44466
credits allowed under section 5725.151 of the Revised Code shall 44467
be applied to reduce the amount credited to the general revenue 44468
fund and shall not be applied to reduce the amount to be credited 44469
to the undivided local governmentcommunities funds of the 44470
counties in which such taxes originate.44471

       For the purpose of this division, such taxes are deemed to44472
originate in the counties in which such dealers in intangibles44473
have their offices.44474

       Money received into the treasury of a county pursuant to this44475
section shall be credited to the undivided local government44476
communities fund of the county and shall be distributed by the 44477
budget commission as provided by law.44478

       (D) All of the taxes levied under section 5707.03 of the44479
Revised Code on the value of the shares in and capital employed by44480
dealers in intangibles that are qualifying dealers shall be paid44481
into the state treasury to the credit of the general revenue fund.44482

       Sec. 5727.45. Four and two-tenthsOne hundred per cent of 44483
all excise taxes and penalties collected under sections 5727.01 to 44484
5727.62 of the Revised Code shall be credited to the local 44485
government fund for distribution in accordance with section 44486
5747.50 of the Revised Code, six-tenths of one per cent shall be 44487
credited to the local government revenue assistance fund for44488
distribution in accordance with section 5747.61 of the Revised 44489
Code, and ninety-five and two-tenths per cent shall be credited to44490
the general revenue fund.44491

       Sec. 5727.81.  (A) For the purpose of raising revenue for44492
public education and state and local government operations, an44493
excise tax is hereby levied and imposed on an electric44494
distribution company for all electricity distributed by such44495
company beginning with the measurement period that includes May 1, 44496
2001, at the following rates per kilowatt hour of electricity44497
distributed in a thirty-day period by the company through a meter44498
of an end user in this state:44499

KILOWATT HOURS DISTRIBUTED RATE PER 44500
TO AN END USER KILOWATT HOUR 44501
For the first 2,000 $.00465 44502
For the next 2,001 to 15,000 $.00419 44503
For 15,001 and above $.00363 44504

       If no meter is used to measure the kilowatt hours of44505
electricity distributed by the company, the rates shall apply to44506
the estimated kilowatt hours of electricity distributed to an44507
unmetered location in this state.44508

       The electric distribution company shall base the monthly tax44509
on the kilowatt hours of electricity distributed to an end user44510
through the meter of the end user that is not measured for a44511
thirty-day period by dividing the days in the measurement period44512
into the total kilowatt hours measured during the measurement44513
period to obtain a daily average usage. The tax shall be44514
determined by obtaining the sum of divisions (A)(1), (2), and (3)44515
of this section and multiplying that amount by the number of days44516
in the measurement period:44517

       (1) Multiplying $0.00465 per kilowatt hour for the first44518
sixty-seven kilowatt hours distributed using a daily average;44519

       (2) Multiplying $0.00419 for the next sixty-eight to five44520
hundred kilowatt hours distributed using a daily average;44521

       (3) Multiplying $0.00363 for the remaining kilowatt hours44522
distributed using a daily average.44523

       Until January 1, 2003, except as provided in division (C) of44524
this section, the electric distribution company shall pay the tax44525
to the treasurer of state in accordance with section 5727.82 of44526
the Revised Code. Beginning January 1, 2003, exceptExcept as44527
provided in division (C) of this section, the electric44528
distribution company shall pay the tax to the tax commissioner in44529
accordance with section 5727.82 of the Revised Code, unless44530
required to remit each tax payment by electronic funds transfer to44531
the treasurer of state in accordance with section 5727.83 of the44532
Revised Code.44533

       Only the distribution of electricity through a meter of an44534
end user in this state shall be used by the electric distribution44535
company to compute the amount or estimated amount of tax due. In44536
the event a meter is not actually read for a measurement period,44537
the estimated kilowatt hours distributed by an electric44538
distribution company to bill for its distribution charges shall be 44539
used.44540

       (B) Except as provided in division (C) of this section, each44541
electric distribution company shall pay the tax imposed by this44542
section in all of the following circumstances:44543

       (1) The electricity is distributed by the company through a44544
meter of an end user in this state;44545

       (2) The company is distributing electricity through a meter44546
located in another state, but the electricity is consumed in this44547
state in the manner prescribed by the tax commissioner;44548

       (3) The company is distributing electricity in this state44549
without the use of a meter, but the electricity is consumed in44550
this state as estimated and in the manner prescribed by the tax44551
commissioner.44552

       (C)(1) As used in division (C) of this section:44553

       (a) "Total price of electricity" means the aggregate value in44554
money of anything paid or transferred, or promised to be paid or44555
transferred, to obtain electricity or electric service, including44556
but not limited to the value paid or promised to be paid for the44557
transmission or distribution of electricity and for transition44558
costs as described in Chapter 4928. of the Revised Code.44559

       (b) "Package" means the provision or the acquisition, at a44560
combined price, of electricity with other services or products, or44561
any combination thereof, such as natural gas or other fuels;44562
energy management products, software, and services; machinery and44563
equipment acquisition; and financing agreements.44564

       (c) "Single location" means a facility located on contiguous44565
property separated only by a roadway, railway, or waterway.44566

       (2) Division (C) of this section applies to any commercial or 44567
industrial purchaser's receipt of electricity through a meter of 44568
an end user in this state or through more than one meter at a44569
single location in this state in a quantity that exceeds44570
forty-five million kilowatt hours of electricity over the course44571
of the preceding calendar year, or any commercial or industrial44572
purchaser that will consume more than forty-five million kilowatt44573
hours of electricity over the course of the succeeding twelve44574
months as estimated by the tax commissioner. The tax commissioner44575
shall make such an estimate upon the written request by an44576
applicant for registration as a self-assessing purchaser under44577
this division. Such a purchaser may elect to self-assess the44578
excise tax imposed by this section at the rate of $.00075 per44579
kilowatt hour on the first five hundred four million kilowatt44580
hours distributed to that meter or location during the44581
registration year, and four per centa percentage of the total 44582
price of all electricity distributed to that meter or location 44583
equal to four per cent through June 30, 2008, and three and 44584
one-half per cent for July 1, 2008, and thereafter. A qualified44585
end user that receives electricity through a meter of an end user44586
in this state or through more than one meter at a single location44587
in this state and that consumes, over the course of the previous44588
calendar year, more than forty-five million kilowatt hours in44589
other than its qualifying manufacturing process, may elect to44590
self-assess the tax as allowed by this division with respect to44591
the electricity used in other than its qualifying manufacturing44592
process. Until January 1, 2003, payment of the tax shall be made44593
directly to the treasurer of state in accordance with divisions44594
(A)(4) and (5) of section 5727.82 of the Revised Code. Beginning44595
January 1, 2003, payment44596

       Payment of the tax shall be made directly to the tax 44597
commissioner in accordance with divisions (A)(4) and (5) of44598
section 5727.82 of the Revised Code, or the treasurer of state in44599
accordance with section 5727.83 of the Revised Code. If the44600
electric distribution company serving the self-assessing purchaser44601
is a municipal electric utility and the purchaser is within the44602
municipal corporation's corporate limits, payment shall be made to44603
such municipal corporation's general fund and reports shall be44604
filed in accordance with divisions (A)(4) and (5) of section44605
5727.82 of the Revised Code, except that "municipal corporation"44606
shall be substituted for "treasurer of state" and "tax44607
commissioner." A self-assessing purchaser that pays the excise tax 44608
as provided in this division shall not be required to pay the tax 44609
to the electric distribution company from which its electricity is44610
distributed. If a self-assessing purchaser's receipt of44611
electricity is not subject to the tax as measured under this44612
division, the tax on the receipt of such electricity shall be44613
measured and paid as provided in division (A) of this section.44614

       (3) In the case of the acquisition of a package, unless the44615
elements of the package are separately stated isolating the total44616
price of electricity from the price of the remaining elements of44617
the package, the tax imposed under this section applies to the44618
entire price of the package. If the elements of the package are44619
separately stated, the tax imposed under this section applies to44620
the total price of the electricity.44621

       (4) Any electric supplier that sells electricity as part of a44622
package shall separately state to the purchaser the total price of 44623
the electricity and, upon request by the tax commissioner, the44624
total price of each of the other elements of the package.44625

       (5) The tax commissioner may adopt rules relating to the44626
computation of the total price of electricity with respect to44627
self-assessing purchasers, which may include rules to establish44628
the total price of electricity purchased as part of a package.44629

       (6) An annual application for registration as a44630
self-assessing purchaser shall be made for each qualifying meter44631
or location on a form prescribed by the tax commissioner. The44632
registration year begins on the first day of May and ends on the44633
following thirtieth day of April. Persons may apply after the44634
first day of May for the remainder of the registration year. In44635
the case of an applicant applying on the basis of an estimated44636
consumption of forty-five million kilowatt hours over the course44637
of the succeeding twelve months, the applicant shall provide such44638
information as the tax commissioner considers to be necessary to44639
estimate such consumption. At the time of making the application44640
and by the first day of May of each year, excluding May 1, 2000, a44641
self-assessing purchaser shall pay a fee of five hundred dollars44642
to the tax commissioner, or to the treasurer of state as provided44643
in section 5727.83 of the Revised Code, for each qualifying meter44644
or location. The tax commissioner shall immediately pay to the44645
treasurer of state all amounts that the tax commissioner receives44646
under this section. The treasurer of state shall deposit such 44647
amounts into the kilowatt hour excise tax administration fund,44648
which is hereby created in the state treasury. Money in the fund44649
shall be used to defray the tax commissioner's cost in44650
administering the tax owed under section 5727.81 of the Revised44651
Code by self-assessing purchasers. After the application is44652
approved by the tax commissioner, the registration shall remain in44653
effect for the current registration year, or until canceled by the44654
registrant upon written notification to the commissioner of the44655
election to pay the tax in accordance with division (A) of this44656
section, or until canceled by the tax commissioner for not paying44657
the tax or fee under division (C) of this section or for not44658
meeting the qualifications in division (C)(2) of this section. The44659
tax commissioner shall give written notice to the electric44660
distribution company from which electricity is delivered to a44661
self-assessing purchaser of the purchaser's self-assessing status,44662
and the electric distribution company is relieved of the44663
obligation to pay the tax imposed by division (A) of this section44664
for electricity distributed to that self-assessing purchaser until44665
it is notified by the tax commissioner that the self-assessing44666
purchaser's registration is canceled. Within fifteen days of44667
notification of the canceled registration, the electric44668
distribution company shall be responsible for payment of the tax44669
imposed by division (A) of this section on electricity distributed44670
to a purchaser that is no longer registered as a self-assessing44671
purchaser. A self-assessing purchaser with a canceled registration 44672
must file a report and remit the tax imposed by division (A) of 44673
this section on all electricity it receives for any measurement 44674
period prior to the tax being reported and paid by the electric 44675
distribution company. A self-assessing purchaser whose 44676
registration is canceled by the tax commissioner is not eligible 44677
to register as a self-assessing purchaser for two years after the 44678
registration is canceled.44679

       (7) If the tax commissioner cancels the self-assessing44680
registration of a purchaser registered on the basis of its44681
estimated consumption because the purchaser does not consume at44682
least forty-five million kilowatt hours of electricity over the44683
course of the twelve-month period for which the estimate was made,44684
the tax commissioner shall assess and collect from the purchaser44685
the difference between (a) the amount of tax that would have been44686
payable under division (A) of this section on the electricity44687
distributed to the purchaser during that period and (b) the amount44688
of tax paid by the purchaser on such electricity pursuant to44689
division (C)(2)(a) of this section. The assessment shall be paid44690
within sixty days after the tax commissioner issues it, regardless44691
of whether the purchaser files a petition for reassessment under44692
section 5727.89 of the Revised Code covering that period. If the44693
purchaser does not pay the assessment within the time prescribed,44694
the amount assessed is subject to the additional charge and the44695
interest prescribed by divisions (B) and (C) of section 5727.82 of44696
the Revised Code, and is subject to assessment under section44697
5727.89 of the Revised Code. If the purchaser is a qualified end44698
user, division (C)(7) of this section applies only to electricity44699
it consumes in other than its qualifying manufacturing process.44700

       (D) The tax imposed by this section does not apply to the44701
distribution of any kilowatt hours of electricity to the federal44702
government, to an end user located at a federal facility that uses44703
electricity for the enrichment of uranium, to a qualified44704
regeneration meter, or to an end user for any day the end user is44705
a qualified end user. The exemption under this division for a44706
qualified end user only applies to the manufacturing location44707
where the qualified end user uses more than three million kilowatt44708
hours per day in a qualifying manufacturing process.44709

       Sec. 5727.84.  (A) As used in this section and sections44710
5727.85, 5727.86, and 5727.87 of the Revised Code:44711

       (1) "School district" means a city, local, or exempted44712
village school district.44713

       (2) "Joint vocational school district" means a joint44714
vocational school district created under section 3311.16 of the44715
Revised Code, and includes a cooperative education school district44716
created under section 3311.52 or 3311.521 of the Revised Code and44717
a county school financing district created under section 3311.5044718
of the Revised Code.44719

       (3) "Local taxing unit" means a subdivision or taxing unit,44720
as defined in section 5705.01 of the Revised Code, a park district44721
created under Chapter 1545. of the Revised Code, or a township44722
park district established under section 511.23 of the Revised44723
Code, but excludes school districts and joint vocational school44724
districts.44725

       (4) "State education aid," for a school district, means the 44726
sum of state aid amounts computed for the district under divisions 44727
(A), (C)(1), (C)(4), (D), (E), and (F) of section 3317.022; 44728
divisions (B), (C), and (D) of section 3317.023; divisions (G), 44729
(L), and (N) of section 3317.024; and sections 3317.029, 44730
3317.0216, 3317.0217, 3317.04, 3317.05, 3317.052, and 3317.053 of 44731
the Revised Code; and the adjustments required by: division (C) of 44732
section 3310.08; division (C) of section 3314.08; division (D) of 44733
section 3314.13; divisions (E), (K), (L), (M), (N), and (O) of 44734
section 3317.023; division (C) of section 3317.20; and sections 44735
3313.979 and 3313.981 of the Revised Code. However, when 44736
calculating state education aid for a school district for fiscal 44737
years 20062008 and 20072009, include the amount computed for the 44738
district under Section 206.09.21269.20.80 of Am. Sub. H.B. 6611944739
of the 126th127th general assembly, as subsequently amended, 44740
instead of division (D) of section 3317.022 of the Revised Code; 44741
include amounts calculated under Section 206.09.39269.30.80 of 44742
thatthis act, as subsequently amended; and account for 44743
adjustments under division (C)(2) of section 3310.41 of the 44744
Revised Code.44745

       (5) "State education aid," for a joint vocational school 44746
district, means the sum of the state aid amounts computed for the 44747
district under division (N) of section 3317.024 and section 44748
3317.16 of the Revised Code. However, when calculating state 44749
education aid for a joint vocational school district for fiscal 44750
years 20062008 and 20072009, include the amount computed for the 44751
district under Section 206.09.42269.30.90 of Am. Sub. H.B. 6611944752
of the 126th127th general assembly, as subsequently amended.44753

        (6) "State education aid offset" means the amount determined44754
for each school district or joint vocational school district under44755
division (A)(1) of section 5727.85 of the Revised Code.44756

       (7) "Recognized valuation" has the same meaning as in section44757
3317.02 of the Revised Code.44758

       (8) "Electric company tax value loss" means the amount44759
determined under division (D) of this section.44760

       (9) "Natural gas company tax value loss" means the amount44761
determined under division (E) of this section.44762

       (10) "Tax value loss" means the sum of the electric company44763
tax value loss and the natural gas company tax value loss.44764

       (11) "Fixed-rate levy" means any tax levied on property other44765
than a fixed-sum levy.44766

       (12) "Fixed-rate levy loss" means the amount determined under44767
division (G) of this section.44768

       (13) "Fixed-sum levy" means a tax levied on property at44769
whatever rate is required to produce a specified amount of tax44770
money or levied in excess of the ten-mill limitation to pay debt44771
charges, and includes school district emergency levies imposed44772
pursuant to section 5705.194 of the Revised Code.44773

       (14) "Fixed-sum levy loss" means the amount determined under44774
division (H) of this section.44775

       (15) "Consumer price index" means the consumer price index44776
(all items, all urban consumers) prepared by the bureau of labor44777
statistics of the United States department of labor.44778

       (B) The kilowatt-hour tax receipts fund is hereby created in44779
the state treasury and shall consist of money arising from the tax44780
imposed by section 5727.81 of the Revised Code. All money in the44781
kilowatt-hour tax receipts fund shall be credited as follows:44782

       (1) Fifty-nine and nine hundred seventy-six one-thousandths44783
Sixty-three per cent, shall be credited to the general revenue 44784
fund.44785

       (2) Two and six hundred forty-six one-thousandths per cent44786
shall be credited to the local government fund, for distribution44787
in accordance with section 5747.50 of the Revised Code.44788

       (3) Three hundred seventy-eight one-thousandths per cent44789
shall be credited to the local government revenue assistance fund,44790
for distribution in accordance with section 5747.61 of the Revised44791
Code.44792

       (4) Twenty-five and four-tenths per cent shall be credited to 44793
the school district property tax replacement fund, which is hereby 44794
created in the state treasury for the purpose of making the44795
payments described in section 5727.85 of the Revised Code.44796

       (5)(3) Eleven and six-tenths per cent shall be credited to 44797
the local government property tax replacement fund, which is 44798
hereby created in the state treasury for the purpose of making the44799
payments described in section 5727.86 of the Revised Code.44800

       (C) The natural gas tax receipts fund is hereby created in44801
the state treasury and shall consist of money arising from the tax44802
imposed by section 5727.811 of the Revised Code. All money in the44803
fund shall be credited as follows:44804

       (1) Sixty-eight and seven-tenths per cent shall be credited44805
to the school district property tax replacement fund for the44806
purpose of making the payments described in section 5727.85 of the44807
Revised Code.44808

       (2) Thirty-one and three-tenths per cent shall be credited to 44809
the local government property tax replacement fund for the purpose 44810
of making the payments described in section 5727.86 of the Revised 44811
Code.44812

       (D) Not later than January 1, 2002, the tax commissioner44813
shall determine for each taxing district its electric company tax44814
value loss, which is the sum of the applicable amounts described 44815
in divisions (D)(1) to (3) of this section:44816

       (1) The difference obtained by subtracting the amount44817
described in division (D)(1)(b) from the amount described in44818
division (D)(1)(a) of this section.44819

       (a) The value of electric company and rural electric company44820
tangible personal property as assessed by the tax commissioner for44821
tax year 1998 on a preliminary assessment, or an amended44822
preliminary assessment if issued prior to March 1, 1999, and as44823
apportioned to the taxing district for tax year 1998;44824

       (b) The value of electric company and rural electric company44825
tangible personal property as assessed by the tax commissioner for44826
tax year 1998 had the property been apportioned to the taxing44827
district for tax year 2001, and assessed at the rates in effect44828
for tax year 2001.44829

       (2) The difference obtained by subtracting the amount44830
described in division (D)(2)(b) from the amount described in44831
division (D)(2)(a) of this section.44832

       (a) The three-year average for tax years 1996, 1997, and 1998 44833
of the assessed value from nuclear fuel materials and assemblies 44834
assessed against a person under Chapter 5711. of the Revised Code44835
from the leasing of them to an electric company for those 44836
respective tax years, as reflected in the preliminary assessments;44837

       (b) The three-year average assessed value from nuclear fuel44838
materials and assemblies assessed under division (D)(2)(a) of this44839
section for tax years 1996, 1997, and 1998, as reflected in the44840
preliminary assessments, using an assessment rate of twenty-five44841
per cent.44842

       (3) In the case of a taxing district having a nuclear power 44843
plant within its territory, any amount, resulting in an electric 44844
company tax value loss, obtained by subtracting the amount 44845
described in division (D)(1) of this section from the difference 44846
obtained by subtracting the amount described in division (D)(3)(b) 44847
of this section from the amount described in division (D)(3)(a) of 44848
this section.44849

        (a) The value of electric company tangible personal property 44850
as assessed by the tax commissioner for tax year 2000 on a 44851
preliminary assessment, or an amended preliminary assessment if 44852
issued prior to March 1, 2001, and as apportioned to the taxing 44853
district for tax year 2000;44854

        (b) The value of electric company tangible personal property 44855
as assessed by the tax commissioner for tax year 2001 on a 44856
preliminary assessment, or an amended preliminary assessment if 44857
issued prior to March 1, 2002, and as apportioned to the taxing 44858
district for tax year 2001.44859

       (E) Not later than January 1, 2002, the tax commissioner44860
shall determine for each taxing district its natural gas company44861
tax value loss, which is the sum of the amounts described in44862
divisions (E)(1) and (2) of this section:44863

       (1) The difference obtained by subtracting the amount44864
described in division (E)(1)(b) from the amount described in44865
division (E)(1)(a) of this section.44866

       (a) The value of all natural gas company tangible personal44867
property, other than property described in division (E)(2) of this44868
section, as assessed by the tax commissioner for tax year 1999 on44869
a preliminary assessment, or an amended preliminary assessment if44870
issued prior to March 1, 2000, and apportioned to the taxing44871
district for tax year 1999;44872

       (b) The value of all natural gas company tangible personal44873
property, other than property described in division (E)(2) of this44874
section, as assessed by the tax commissioner for tax year 1999 had44875
the property been apportioned to the taxing district for tax year44876
2001, and assessed at the rates in effect for tax year 2001.44877

       (2) The difference in the value of current gas obtained by44878
subtracting the amount described in division (E)(2)(b) from the44879
amount described in division (E)(2)(a) of this section.44880

       (a) The three-year average assessed value of current gas as44881
assessed by the tax commissioner for tax years 1997, 1998, and44882
1999 on a preliminary assessment, or an amended preliminary44883
assessment if issued prior to March 1, 2001, and as apportioned in44884
the taxing district for those respective years;44885

       (b) The three-year average assessed value from current gas44886
under division (E)(2)(a) of this section for tax years 1997, 1998,44887
and 1999, as reflected in the preliminary assessment, using an44888
assessment rate of twenty-five per cent.44889

       (F) The tax commissioner may request that natural gas44890
companies, electric companies, and rural electric companies file a44891
report to help determine the tax value loss under divisions (D)44892
and (E) of this section. The report shall be filed within thirty44893
days of the commissioner's request. A company that fails to file44894
the report or does not timely file the report is subject to the44895
penalty in section 5727.60 of the Revised Code.44896

       (G) Not later than January 1, 2002, the tax commissioner44897
shall determine for each school district, joint vocational school44898
district, and local taxing unit its fixed-rate levy loss, which is44899
the sum of its electric company tax value loss multiplied by the44900
tax rate in effect in tax year 1998 for fixed-rate levies and its44901
natural gas company tax value loss multiplied by the tax rate in44902
effect in tax year 1999 for fixed-rate levies.44903

       (H) Not later than January 1, 2002, the tax commissioner44904
shall determine for each school district, joint vocational school44905
district, and local taxing unit its fixed-sum levy loss, which is44906
the amount obtained by subtracting the amount described in44907
division (H)(2) of this section from the amount described in44908
division (H)(1) of this section:44909

       (1) The sum of the electric company tax value loss multiplied 44910
by the tax rate in effect in tax year 1998, and the natural gas 44911
company tax value loss multiplied by the tax rate in effect in tax 44912
year 1999, for fixed-sum levies for all taxing districts within44913
each school district, joint vocational school district, and local44914
taxing unit. For the years 2002 through 2006, this computation 44915
shall include school district emergency levies that existed in 44916
1998 in the case of the electric company tax value loss, and 1999 44917
in the case of the natural gas company tax value loss, and all 44918
other fixed-sum levies that existed in 1998 in the case of the 44919
electric company tax value loss and 1999 in the case of the 44920
natural gas company tax value loss and continue to be charged in 44921
the tax year preceding the distribution year. For the years 200744922
through 2016 in the case of school district emergency levies, and 44923
for all years after 2006 in the case of all other fixed-sum 44924
levies, this computation shall exclude all fixed-sum levies that44925
existed in 1998 in the case of the electric company tax value loss 44926
and 1999 in the case of the natural gas company tax value loss, 44927
but are no longer in effect in the tax year preceding the 44928
distribution year. For the purposes of this section, an emergency 44929
levy that existed in 1998 in the case of the electric company tax44930
value loss, and 1999 in the case of the natural gas company tax 44931
value loss, continues to exist in a year beginning on or after 44932
January 1, 2007, but before January 1, 2017, if, in that year, the 44933
board of education levies a school district emergency levy for an 44934
annual sum at least equal to the annual sum levied by the board in 44935
tax year 1998 or 1999, respectively, less the amount of the 44936
payment certified under this division for 2002.44937

       (2) The total taxable value in tax year 1999 less the tax44938
value loss in each school district, joint vocational school44939
district, and local taxing unit multiplied by one-fourth of one44940
mill.44941

       If the amount computed under division (H) of this section for 44942
any school district, joint vocational school district, or local 44943
taxing unit is greater than zero, that amount shall equal the 44944
fixed-sum levy loss reimbursed pursuant to division (E) of section 44945
5727.85 of the Revised Code or division (A)(2) of section 5727.86 44946
of the Revised Code, and the one-fourth of one mill that is 44947
subtracted under division (H)(2) of this section shall be44948
apportioned among all contributing fixed-sum levies in the44949
proportion of each levy to the sum of all fixed-sum levies within44950
each school district, joint vocational school district, or local44951
taxing unit.44952

       (I) Notwithstanding divisions (D), (E), (G), and (H) of this 44953
section, in computing the tax value loss, fixed-rate levy loss, 44954
and fixed-sum levy loss, the tax commissioner shall use the44955
greater of the 1998 tax rate or the 1999 tax rate in the case of44956
levy losses associated with the electric company tax value loss,44957
but the 1999 tax rate shall not include for this purpose any tax44958
levy approved by the voters after June 30, 1999, and the tax44959
commissioner shall use the greater of the 1999 or the 2000 tax44960
rate in the case of levy losses associated with the natural gas44961
company tax value loss.44962

       (J) Not later than January 1, 2002, the tax commissioner44963
shall certify to the department of education the tax value loss44964
determined under divisions (D) and (E) of this section for each44965
taxing district, the fixed-rate levy loss calculated under44966
division (G) of this section, and the fixed-sum levy loss44967
calculated under division (H) of this section. The calculations44968
under divisions (G) and (H) of this section shall separately44969
display the levy loss for each levy eligible for reimbursement.44970

       (K) Not later than September 1, 2001, the tax commissioner44971
shall certify the amount of the fixed-sum levy loss to the county44972
auditor of each county in which a school district with a fixed-sum44973
levy loss has territory.44974

       Sec. 5727.85.  (A) By the thirty-first day of July of each44975
year, beginning in 2002 and ending in 2016, the department of44976
education shall determine the following for each school district44977
and each joint vocational school district eligible for payment44978
under division (C) or (D) of this section:44979

       (1) The state education aid offset, which is the difference44980
obtained by subtracting the amount described in division (A)(1)(b)44981
of this section from the amount described in division (A)(1)(a) of44982
this section:44983

       (a) The state education aid computed for the school district44984
or joint vocational school district for the current fiscal year as 44985
of the thirty-first day of July;44986

       (b) The state education aid that would be computed for the44987
school district or joint vocational school district for the44988
current fiscal year as of the thirty-first day of July if the 44989
recognized valuation included the tax value loss for the school44990
district or joint vocational school district.44991

       (2) The greater of zero or the difference obtained by44992
subtracting the state education aid offset determined under44993
division (A)(1) of this section from the fixed-rate levy loss 44994
certified under division (J) of section 5727.84 of the Revised44995
Code for all taxing districts in each school district and joint44996
vocational school district.44997

       By the fifth day of August of each such year, the department44998
of education shall certify the amount so determined under division44999
(A)(1) of this section to the director of budget and management.45000

       (B) Not later than the thirty-first day of October of the45001
years 2006 through 2016, the department of education shall45002
determine all of the following for each school district:45003

       (1) The amount obtained by subtracting the district's state45004
education aid computed for fiscal year 2002 from the district's45005
state education aid computed for the current fiscal year;45006

       (2) The inflation-adjusted property tax loss. The45007
inflation-adjusted property tax loss equals the fixed-rate levy45008
loss, excluding the tax loss from levies within the ten-mill45009
limitation to pay debt charges, determined under division (G) of45010
section 5727.84 of the Revised Code for all taxing districts in45011
each school district, plus the product obtained by multiplying 45012
that loss by the cumulative percentage increase in the consumer 45013
price index from January 1, 2002, to the thirtieth day of June of 45014
the current year.45015

       (3) The difference obtained by subtracting the amount45016
computed under division (B)(1) from the amount of the45017
inflation-adjusted property tax loss. If this difference is zero45018
or a negative number, no further payments shall be made under45019
division (C) of this section to the school district from the45020
school district property tax replacement fund.45021

       (C) The department of education shall pay from the school45022
district property tax replacement fund to each school district all 45023
of the following:45024

       (1) In February 2002, one-half of the fixed-rate levy loss45025
certified under division (J) of section 5727.84 of the Revised45026
Code between the twenty-first and twenty-eighth days of February.45027

       (2) From August 2002 through August 2017, one-half of the45028
amount calculated for that fiscal year under division (A)(2) of45029
this section between the twenty-first and twenty-eighth days of45030
August and of February, provided the difference computed under 45031
division (B)(3) of this section is not less than or equal to zero.45032

        For taxes levied within the ten-mill limitation for debt45033
purposes in tax year 1998 in the case of electric company tax45034
value losses, and in tax year 1999 in the case of natural gas45035
company tax value losses, payments shall be made equal to one45036
hundred per cent of the loss computed as if the tax were a45037
fixed-rate levy, but those payments shall extend from fiscal year45038
2006 through fiscal year 2016.45039

       The department of education shall report to each school45040
district the apportionment of the payments among the school45041
district's funds based on the certifications under division (J) of45042
section 5727.84 of the Revised Code.45043

       (D) Not later than January 1, 2002, for all taxing districts45044
in each joint vocational school district, the tax commissioner45045
shall certify to the department of education the fixed-rate levy45046
loss determined under division (G) of section 5727.84 of the45047
Revised Code. From February 2002 to August 2016, the department45048
shall pay from the school district property tax replacement fund45049
to the joint vocational school district one-half of the amount45050
calculated for that fiscal year under division (A)(2) of this45051
section between the twenty-first and twenty-eighth days of August45052
and of February.45053

       (E)(1) Not later than January 1, 2002, for each fixed-sum45054
levy levied by each school district or joint vocational school45055
district and for each year for which a determination is made under 45056
division (H) of section 5727.84 of the Revised Code that a45057
fixed-sum levy loss is to be reimbursed, the tax commissioner45058
shall certify to the department of education the fixed-sum levy45059
loss determined under that division. The certification shall cover 45060
a time period sufficient to include all fixed-sum levies for which 45061
the tax commissioner made such a determination. The department 45062
shall pay from the school district property tax replacement fund 45063
to the school district or joint vocational school district 45064
one-half of the fixed-sum levy loss so certified for each year 45065
between the twenty-first and twenty-eighth days of August and of 45066
February.45067

       (2) Beginning in 2003, by the thirty-first day of January of45068
each year, the tax commissioner shall review the certification45069
originally made under division (E)(1) of this section. If the45070
commissioner determines that a debt levy that had been scheduled45071
to be reimbursed in the current year has expired, a revised45072
certification for that and all subsequent years shall be made to45073
the department of education.45074

       (F) If the balance of the half-mill equalization fund created 45075
under section 3318.18 of the Revised Code is insufficient to make 45076
the full amount of payments required under division (D) of that 45077
section, the department of education, at the end of the third 45078
quarter of the fiscal year, shall certify to the director of 45079
budget and management the amount of the deficiency, and the 45080
director shall transfer an amount equal to the deficiency from the 45081
school district property tax replacement fund to the half-mill 45082
equalization fund.45083

       (G) Beginning in August 2002, and ending in May 2017, the 45084
director of budget and management shall transfer from the school 45085
district property tax replacement fund to the general revenue fund 45086
each of the following:45087

       (1) Between the twenty-eighth day of August and the fifth day 45088
of September, the lesser of one-half of the amount certified for 45089
that fiscal year under division (A)(2) of this section or the45090
balance in the school district property tax replacement fund;45091

       (2) Between the first and fifth days of May, the lesser of45092
one-half of the amount certified for that fiscal year under45093
division (A)(2) of this section or the balance in the school45094
district property tax replacement fund.45095

       (H) On the first day of June each year, the director of 45096
budget and management shall transfer any balance remaining in the 45097
school district property tax replacement fund after the payments 45098
have been made under divisions (C), (D), (E), (F), and (G) of this 45099
section to the half-mill equalization fund created under section 45100
3318.18 of the Revised Code to the extent required to make any 45101
payments in the current fiscal year under that section, and shall 45102
transfer the remaining balance to the general revenue fund.45103

       (I) From fiscal year 2002 through fiscal year 2016, if the45104
total amount in the school district property tax replacement fund45105
is insufficient to make all payments under divisions (C), (D), 45106
(E), and (F) of this section at the time the payments are to be 45107
made, the director of budget and management shall transfer from 45108
the general revenue fund to the school district property tax45109
replacement fund the difference between the total amount to be45110
paid and the total amount in the school district property tax45111
replacement fund, except that no transfer shall be made by reason 45112
of a deficiency to the extent that it results from the amendment 45113
of section 5727.84 of the Revised Code by Amended Substitute House 45114
Bill No. 95 of the 125th general assembly.45115

       (J) If all of the territory of a school district or joint 45116
vocational school district is merged with an existing district, or 45117
if a part of the territory of a school district or joint 45118
vocational school district is transferred to an existing or new 45119
district, the department of education, in consultation with the 45120
tax commissioner, shall adjust the payments made under this 45121
section as follows:45122

        (1) For the merger of all of the territory of two or more 45123
districts, the fixed-rate levy loss and the fixed-sum levy loss of 45124
the successor district shall be equal to the sum of the fixed-rate 45125
levy losses and the fixed-sum levy losses for each of the 45126
districts involved in the merger.45127

        (2) For the transfer of a part of one district's territory to 45128
an existing district, the amount of the fixed-rate levy loss that 45129
is transferred to the recipient district shall be an amount equal 45130
to the transferring district's total fixed-rate levy loss times a 45131
fraction, the numerator of which is the value of electric company 45132
tangible personal property located in the part of the territory 45133
that was transferred, and the denominator of which is the total 45134
value of electric company tangible personal property located in 45135
the entire district from which the territory was transferred. The 45136
value of electric company tangible personal property under this 45137
division shall be determined for the most recent year for which 45138
data is available. Fixed-sum levy losses for both districts shall 45139
be determined under division (J)(4) of this section.45140

        (3) For the transfer of a part of the territory of one or 45141
more districts to create a new district:45142

        (a) If the new district is created on or after January 1, 45143
2000, but before January 1, 2005, the new district shall be paid 45144
its current fixed-rate levy loss through August 20082009. From 45145
February 20092010 to August 2016, the new district shall be paid 45146
the lesser of: (i) the amount calculated under division (C)(2) of 45147
this section or (ii) an amount equal to the new district's 45148
fixed-rate levy loss multiplied by the percentage prescribed by 45149
the following schedule:45150

YEAR PERCENTAGE 45151
2009 75% 45152
2010 70% 45153
2011 70% 45154
2012 60% 45155
2013 50% 45156
2014 40% 45157
2015 24% 45158
2016 11.5% 45159
2017 and thereafter 0% 45160

        Fixed-sum levy losses for the districts shall be determined 45161
under division (J)(4) of this section.45162

        (b) If the new district is created on or after January 1, 45163
2005, the new district shall be deemed not to have any fixed-rate 45164
levy loss or, except as provided in division (J)(4) of this 45165
section, fixed-sum levy loss. The district or districts from which 45166
the territory was transferred shall have no reduction in their 45167
fixed-rate levy loss, or, except as provided in division (J)(4) of 45168
this section, their fixed-sum levy loss.45169

        (4) If a recipient district under division (J)(2) of this 45170
section or a new district under division (J)(3)(a) or (b) of this 45171
section takes on debt from one or more of the districts from which 45172
territory was transferred, and any of the districts transferring 45173
the territory had fixed-sum levy losses, the department of 45174
education, in consultation with the tax commissioner, shall make 45175
an equitable division of the fixed-sum levy losses.45176

       (K) There is hereby created the public utility property tax45177
study committee, effective January 1, 2011. The committee shall45178
consist of the following seven members: the tax commissioner,45179
three members of the senate appointed by the president of the45180
senate, and three members of the house of representatives45181
appointed by the speaker of the house of representatives. The45182
appointments shall be made not later than January 31, 2011. The45183
tax commissioner shall be the chairperson of the committee.45184

       The committee shall study the extent to which each school45185
district or joint vocational school district has been compensated,45186
under sections 5727.84 and 5727.85 of the Revised Code as enacted45187
by Substitute Senate Bill No. 3 of the 123rd general assembly and45188
any subsequent acts, for the property tax loss caused by the45189
reduction in the assessment rates for natural gas, electric, and45190
rural electric company tangible personal property. Not later than45191
June 30, 2011, the committee shall issue a report of its findings,45192
including any recommendations for providing additional45193
compensation for the property tax loss or regarding remedial45194
legislation, to the president of the senate and the speaker of the45195
house of representatives, at which time the committee shall cease45196
to exist.45197

       The department of taxation and department of education shall45198
provide such information and assistance as is required for the45199
committee to carry out its duties.45200

       Sec. 5727.87.  (A) As used in this section:45201

       (1) "Administrative fees" means the dollar percentages45202
allowed by the county auditor for services or by the county45203
treasurer as fees, or paid to the credit of the real estate45204
assessment fund, under divisions (A) and (B)(C) of section 319.54 45205
and division (A) of section 321.26 of the Revised Code.45206

       (2) "Administrative fee loss" means a county's loss of45207
administrative fees due to its tax value loss, determined as45208
follows:45209

       (a) For purposes of the determination made under division (B) 45210
of this section in the years 2002 through 2006, the administrative45211
fee loss shall be computed by multiplying the amounts determined45212
for all taxing districts in the county under divisions (G) and (H)45213
of section 5727.84 of the Revised Code by nine thousand six45214
hundred fifty-nine ten-thousandths of one per cent if total taxes45215
collected in the county in 1999 exceeded one hundred fifty million 45216
dollars, or one and one thousand one hundred fifty-nine 45217
ten-thousandths of one per cent if total taxes collected in the 45218
county in 1999 were one hundred fifty million dollars or less;45219

       (b) For purposes of the determination under division (B) of45220
this section in the years 2007 through 2011, the administrative45221
fee loss shall be the lesser of the amount computed under division 45222
(A)(2)(a) of this section or the amount determined by subtracting 45223
from the dollar amount of administrative fees collected in the 45224
county in 1999, the dollar amount of administrative fees collected 45225
in the county in the current calendar year.45226

       (3) "Total taxes collected" means all money collected on any45227
tax duplicate of the county, other than the estate tax duplicates.45228
"Total taxes collected" does not include amounts received pursuant45229
to divisions (F) and (G) of section 321.24 or section 323.156 of45230
the Revised Code.45231

       (B) Not later than the thirty-first day of December of 200145232
through 2005, the tax commissioner shall certify to each county45233
auditor the tax levy losses calculated under divisions (G) and (H)45234
of section 5727.84 of the Revised Code for each school district,45235
joint vocational school district, and local taxing unit in the45236
county. Not later than the thirty-first day of January of 200245237
through 2011, the county auditor shall determine the45238
administrative fee loss for the county and apportion that loss45239
ratably among the school districts, joint vocational school45240
districts, and local taxing units on the basis of the tax levy45241
losses certified under this division.45242

       (C) On or before each of the days prescribed for the45243
settlements under divisions (A) and (C) of section 321.24 of the45244
Revised Code in the years 2002 through 2011, the county treasurer45245
shall deduct one-half of the amount apportioned to each school45246
district, joint vocational school district, and local taxing unit45247
from the portions of revenue payable to them.45248

       (D) On or before each of the days prescribed for settlements45249
under divisions (A) and (C) of section 321.24 of the Revised Code45250
in the years 2002 through 2011, the county auditor shall cause to45251
be deposited an amount equal to one-half of the amount of the45252
administrative fee loss in the same funds as if allowed as45253
administrative fees.45254

       After payment of the administrative fee loss on or before45255
August 10, 2011, all payments under this section shall cease.45256

       Sec. 5733.12.  (A) Four and two-tenths per cent of allAll45257
payments received from the taxes imposed under sections 5733.0645258
and 5733.41 of the Revised Code shall be credited to the local45259
government fund for distribution in accordance with section45260
5747.50 of the Revised Code, six-tenths of one per cent shall be45261
credited to the local government revenue assistance fund for45262
distribution in accordance with section 5747.61 of the Revised45263
Code, and ninety-five and two-tenths per cent shall be credited to45264
the general revenue fund.45265

       (B) Except as otherwise provided under divisions (C) and (D)45266
of this section, an application to refund to the corporation the45267
amount of taxes imposed under section 5733.06 of the Revised Code45268
that are overpaid, paid illegally or erroneously, or paid on any45269
illegal, erroneous, or excessive assessment, with interest thereon45270
as provided by section 5733.26 of the Revised Code, shall be filed45271
with the tax commissioner, on the form prescribed by the45272
commissioner, within three years from the date of the illegal,45273
erroneous, or excessive payment of the tax, or within any45274
additional period allowed by division (C)(2) of section 5733.031,45275
division (D)(2) of section 5733.067, or division (A) of section45276
5733.11 of the Revised Code. For purposes of division (B) of this45277
section, any payment that the applicant made before the due date45278
or extended due date for filing the report to which the payment45279
relates shall be deemed to have been made on the due date or45280
extended due date.45281

       On the filing of the refund application, the commissioner45282
shall determine the amount of refund to which the applicant is45283
entitled. If the amount is not less than that claimed the45284
commissioner shall certify the amount to the director of budget45285
and management and treasurer of state for payment from the tax45286
refund fund created by section 5703.052 of the Revised Code. If45287
the amount is less than that claimed, the commissioner shall45288
proceed in accordance with section 5703.70 of the Revised Code.45289

       (C) "Ninety days" shall be substituted for "three years" in45290
division (B) of this section if the taxpayer satisfies both of the45291
following:45292

       (1) The taxpayer has applied for a refund based in whole or45293
in part upon section 5733.0611 of the Revised Code;45294

       (2) The taxpayer asserts that the imposition or collection of 45295
the tax imposed or charged by section 5733.06 of the Revised Code 45296
or any portion of such tax violates the Constitution of the United 45297
States or the Constitution of this state.45298

       (D)(1) Division (D)(2) of this section applies only if all of 45299
the following conditions are satisfied:45300

       (a) A qualifying pass-through entity pays an amount of the45301
tax imposed by section 5733.41 of the Revised Code;45302

       (b) The taxpayer is a qualifying investor as to that45303
qualifying pass-through entity;45304

       (c) The taxpayer did not claim the credit provided for in45305
section 5733.0611 of the Revised Code as to the tax described in45306
division (D)(1)(a) of this section;45307

       (d) The three-year period described in division (B) of this45308
section has ended as to the taxable year for which the taxpayer45309
otherwise would have claimed that credit.45310

       (2) A taxpayer shall file an application for refund pursuant45311
to this division within one year after the date the payment45312
described in division (D)(1)(a) of this section is made. An45313
application filed under this division shall only claim refund of45314
overpayments resulting from the taxpayer's failure to claim the45315
credit described in division (D)(1)(c) of this section. Nothing in 45316
this division shall be construed to relieve a taxpayer from45317
complying with the provisions of division (I)(14) of section45318
5733.04 of the Revised Code.45319

       Sec. 5733.48.  (A) As used in this section, "alternative 45320
fuel," "retail dealer," and "retail service station" have the same 45321
meanings as in section 5747.77 of the Revised Code.45322

       (B) There is hereby allowed a nonrefundable credit against 45323
the tax imposed by section 5733.06 of the Revised Code for a 45324
retail dealer that sells alternative fuel. The credit may be 45325
claimed for tax years 2008 and 2009. The credit for tax year 2008 45326
shall equal fifteen cents per gallon of alternative fuel sold and 45327
dispensed through a metered pump at the retail dealer's retail 45328
service station during any part of calendar year 2007 that is 45329
included in the dealer's taxable year ending in 2007. The credit 45330
for tax year 2009 shall equal fifteen cents per gallon of 45331
alternative fuel sold and dispensed through a metered pump at the 45332
retail dealer's retail service station during any part of calendar 45333
year 2007 that is included in the dealer's taxable year ending in 45334
2008, plus thirteen cents per gallon of alternative fuel sold and 45335
dispensed in that manner during any part of calendar year 2008 45336
that is included in that taxable year. The credit shall be 45337
calculated separately for each retail service station owned or 45338
operated by the retail dealer.45339

       (C) The retail dealer shall claim the credit under this 45340
section in the order prescribed in section 5733.98 of the Revised 45341
Code. The credit shall not exceed the amount of tax otherwise due 45342
under section 5747.02 of the Revised Code after deducting any 45343
other credits that precede the credit claimed under this section 45344
in that order.45345

       Sec. 5733.98.  (A) To provide a uniform procedure for45346
calculating the amount of tax imposed by section 5733.06 of the45347
Revised Code that is due under this chapter, a taxpayer shall45348
claim any credits to which it is entitled in the following order,45349
except as otherwise provided in section 5733.058 of the Revised45350
Code:45351

       (1) For tax year 2005, the credit for taxes paid by a 45352
qualifying pass-through entity allowed under section 5733.0611 of 45353
the Revised Code;45354

       (2) The credit allowed for financial institutions under45355
section 5733.45 of the Revised Code;45356

       (3) The credit for qualifying affiliated groups under section45357
5733.068 of the Revised Code;45358

       (4) The subsidiary corporation credit under section 5733.06745359
of the Revised Code;45360

       (5) The savings and loan assessment credit under section45361
5733.063 of the Revised Code;45362

       (6) The credit for recycling and litter prevention donations45363
under section 5733.064 of the Revised Code;45364

       (7) The credit for employers that enter into agreements with45365
child day-care centers under section 5733.36 of the Revised Code;45366

       (8) The credit for employers that reimburse employee child 45367
care expenses under section 5733.38 of the Revised Code;45368

       (9) The credit for maintaining railroad active grade crossing45369
warning devices under section 5733.43 of the Revised Code;45370

       (10) The credit for purchases of lights and reflectors under45371
section 5733.44 of the Revised Code;45372

       (11) The job retention credit under division (B) of section45373
5733.0610 of the Revised Code;45374

       (12) The credit for purchases of new manufacturing machinery45375
and equipment under section 5733.31 or section 5733.311tax years 45376
2008 and 2009 for selling alternative fuel under section 5733.4845377
of the Revised Code;45378

       (13) The second credit for purchases of new manufacturing45379
machinery and equipment under section 5733.33 of the Revised Code;45380

       (14) The job training credit under section 5733.42 of the45381
Revised Code;45382

       (15) The credit for qualified research expenses under section 45383
5733.351 of the Revised Code;45384

       (16) The enterprise zone credit under section 5709.66 of the45385
Revised Code;45386

       (17) The credit for the eligible costs associated with a45387
voluntary action under section 5733.34 of the Revised Code;45388

       (18) The credit for employers that establish on-site child45389
day-care centers under section 5733.37 of the Revised Code;45390

       (19) The ethanol plant investment credit under section45391
5733.46 of the Revised Code;45392

       (20) The credit for purchases of qualifying grape production45393
property under section 5733.32 of the Revised Code;45394

       (21) The export sales credit under section 5733.069 of the45395
Revised Code;45396

       (22) The credit for research and development and technology45397
transfer investors under section 5733.35 of the Revised Code;45398

       (23) The enterprise zone credits under section 5709.65 of the45399
Revised Code;45400

       (24) The credit for using Ohio coal under section 5733.39 of45401
the Revised Code;45402

       (25) The credit for small telephone companies under section 45403
5733.57 of the Revised Code;45404

       (26) The credit for eligible nonrecurring 9-1-1 charges under 45405
section 5733.55 of the Revised Code;45406

       (27) For tax year 2005, the credit for providing programs to 45407
aid the communicatively impaired under division (A) of section 45408
5733.56 of the Revised Code;45409

       (28) The research and development credit under section 45410
5733.352 of the Revised Code;45411

       (29) For tax years 2006 and subsequent tax years, the credit 45412
for taxes paid by a qualifying pass-through entity allowed under 45413
section 5733.0611 of the Revised Code;45414

       (30) The refundable credit for rehabilitating a historic 45415
building under section 5733.47 of the Revised Code;45416

       (31) The refundable jobs creation credit under division (A)45417
of section 5733.0610 of the Revised Code;45418

       (32) The refundable credit for tax withheld under division45419
(B)(2) of section 5747.062 of the Revised Code;45420

       (33) The refundable credit under section 5733.49 of the 45421
Revised Code for losses on loans made to the Ohio venture capital 45422
program under sections 150.01 to 150.10 of the Revised Code;45423

       (34) For tax years 2006, 2007, and 2008, the refundable 45424
credit allowable under division (B) of section 5733.56 of the 45425
Revised Code.45426

       (B) For any credit except the credits enumerated in divisions 45427
(A)(30) to (34) of this section, the amount of the credit for a 45428
tax year shall not exceed the tax due after allowing for any other 45429
credit that precedes it in the order required under this section. 45430
Any excess amount of a particular credit may be carried forward if 45431
authorized under the section creating that credit.45432

       Sec. 5739.02.  For the purpose of providing revenue with45433
which to meet the needs of the state, for the use of the general45434
revenue fund of the state, for the purpose of securing a thorough45435
and efficient system of common schools throughout the state, for45436
the purpose of affording revenues, in addition to those from45437
general property taxes, permitted under constitutional45438
limitations, and from other sources, for the support of local45439
governmental functions, and for the purpose of reimbursing the45440
state for the expense of administering this chapter, an excise tax45441
is hereby levied on each retail sale made in this state.45442

       (A)(1) The tax shall be collected as provided in section 45443
5739.025 of the Revised Code, provided that on and after July 1, 45444
2003, and on or before June 30, 2005, the rate of tax shall be six 45445
per cent. On and after July 1, 2005, the rate of the tax shall be 45446
five and one-half per cent. The tax applies and is collectible 45447
when the sale is made, regardless of the time when the price is 45448
paid or delivered.45449

        (2) In the case of the lease or rental, with a fixed term of 45450
more than thirty days or an indefinite term with a minimum period 45451
of more than thirty days, of any motor vehicles designed by the 45452
manufacturer to carry a load of not more than one ton, watercraft, 45453
outboard motor, or aircraft, or of any tangible personal property, 45454
other than motor vehicles designed by the manufacturer to carry a 45455
load of more than one ton, to be used by the lessee or renter 45456
primarily for business purposes, the tax shall be collected by the 45457
vendor at the time the lease or rental is consummated and shall be 45458
calculated by the vendor on the basis of the total amount to be 45459
paid by the lessee or renter under the lease agreement. If the 45460
total amount of the consideration for the lease or rental includes 45461
amounts that are not calculated at the time the lease or rental is 45462
executed, the tax shall be calculated and collected by the vendor 45463
at the time such amounts are billed to the lessee or renter. In 45464
the case of an open-end lease or rental, the tax shall be 45465
calculated by the vendor on the basis of the total amount to be 45466
paid during the initial fixed term of the lease or rental, and for 45467
each subsequent renewal period as it comes due. As used in this 45468
division, "motor vehicle" has the same meaning as in section 45469
4501.01 of the Revised Code, and "watercraft" includes an outdrive 45470
unit attached to the watercraft.45471

       A lease with a renewal clause and a termination penalty or 45472
similar provision that applies if the renewal clause is not 45473
exercised is presumed to be a sham transaction. In such a case, 45474
the tax shall be calculated and paid on the basis of the entire 45475
length of the lease period, including any renewal periods, until 45476
the termination penalty or similar provision no longer applies. 45477
The taxpayer shall bear the burden, by a preponderance of the 45478
evidence, that the transaction or series of transactions is not a 45479
sham transaction.45480

       (3) Except as provided in division (A)(2) of this section, in 45481
the case of a sale, the price of which consists in whole or in 45482
part of the lease or rental of tangible personal property, the tax 45483
shall be measured by the installments of that lease or rental.45484

       (4) In the case of a sale of a physical fitness facility 45485
service or recreation and sports club service, the price of which 45486
consists in whole or in part of a membership for the receipt of 45487
the benefit of the service, the tax applicable to the sale shall 45488
be measured by the installments thereof.45489

       (B) The tax does not apply to the following:45490

       (1) Sales to the state or any of its political subdivisions,45491
or to any other state or its political subdivisions if the laws of45492
that state exempt from taxation sales made to this state and its45493
political subdivisions;45494

       (2) Sales of food for human consumption off the premises45495
where sold;45496

       (3) Sales of food sold to students only in a cafeteria,45497
dormitory, fraternity, or sorority maintained in a private,45498
public, or parochial school, college, or university;45499

       (4) Sales of newspapers and of magazine subscriptions and45500
sales or transfers of magazines distributed as controlled45501
circulation publications;45502

       (5) The furnishing, preparing, or serving of meals without45503
charge by an employer to an employee provided the employer records45504
the meals as part compensation for services performed or work45505
done;45506

       (6) Sales of motor fuel upon receipt, use, distribution, or45507
sale of which in this state a tax is imposed by the law of this45508
state, but this exemption shall not apply to the sale of motor45509
fuel on which a refund of the tax is allowable under division (A) 45510
of section 5735.14 of the Revised Code; and the tax commissioner 45511
may deduct the amount of tax levied by this section applicable to 45512
the price of motor fuel when granting a refund of motor fuel tax 45513
pursuant to division (A) of section 5735.14 of the Revised Code 45514
and shall cause the amount deducted to be paid into the general 45515
revenue fund of this state;45516

       (7) Sales of natural gas by a natural gas company, of water45517
by a water-works company, or of steam by a heating company, if in45518
each case the thing sold is delivered to consumers through pipes45519
or conduits, and all sales of communications services by a 45520
telegraph company, all terms as defined in section 5727.01 of the 45521
Revised Code, and sales of electricity delivered through wires;45522

       (8) Casual sales by a person, or auctioneer employed directly 45523
by the person to conduct such sales, except as to such sales of45524
motor vehicles, watercraft or outboard motors required to be45525
titled under section 1548.06 of the Revised Code, watercraft45526
documented with the United States coast guard, snowmobiles, and45527
all-purpose vehicles as defined in section 4519.01 of the Revised45528
Code;45529

       (9)(a) Sales of services or tangible personal property, other45530
than motor vehicles, mobile homes, and manufactured homes, by45531
churches, organizations exempt from taxation under section45532
501(c)(3) of the Internal Revenue Code of 1986, or nonprofit45533
organizations operated exclusively for charitable purposes as45534
defined in division (B)(12) of this section, provided that the45535
number of days on which such tangible personal property or45536
services, other than items never subject to the tax, are sold does45537
not exceed six in any calendar year, except as otherwise provided 45538
in division (B)(9)(b) of this section. If the number of days on45539
which such sales are made exceeds six in any calendar year, the45540
church or organization shall be considered to be engaged in45541
business and all subsequent sales by it shall be subject to the45542
tax. In counting the number of days, all sales by groups within a45543
church or within an organization shall be considered to be sales45544
of that church or organization, except that.45545

       (b) The limitation on the number of days on which tax-exempt 45546
sales may be made by a church or organization under division 45547
(B)(9)(a) of this section does not apply to sales made by separate45548
student clubs and other groups of students of a primary or45549
secondary school, and sales made byor a parent-teacher45550
association, booster group, or similar organization that raises45551
money to support or fund curricular or extracurricular activities45552
of a primary or secondary school, shall not be considered to be45553
sales of such school, and sales by each such club, group,45554
association, or organization shall be counted separately for45555
purposes of the six-day limitation. This division does.45556

       (c) Divisions (B)(9)(a) and (b) of this section do not apply45557
to sales by a noncommercial educational radio or television45558
broadcasting station.45559

       (10) Sales not within the taxing power of this state under45560
the Constitution of the United States;45561

       (11) Except for transactions that are sales under division 45562
(B)(3)(r) of section 5739.01 of the Revised Code, the 45563
transportation of persons or property, unless the transportation 45564
is by a private investigation and security service;45565

       (12) Sales of tangible personal property or services to45566
churches, to organizations exempt from taxation under section45567
501(c)(3) of the Internal Revenue Code of 1986, and to any other45568
nonprofit organizations operated exclusively for charitable45569
purposes in this state, no part of the net income of which inures45570
to the benefit of any private shareholder or individual, and no45571
substantial part of the activities of which consists of carrying45572
on propaganda or otherwise attempting to influence legislation;45573
sales to offices administering one or more homes for the aged or45574
one or more hospital facilities exempt under section 140.08 of the45575
Revised Code; and sales to organizations described in division (D)45576
of section 5709.12 of the Revised Code.45577

       "Charitable purposes" means the relief of poverty; the45578
improvement of health through the alleviation of illness, disease,45579
or injury; the operation of an organization exclusively for the45580
provision of professional, laundry, printing, and purchasing45581
services to hospitals or charitable institutions; the operation of45582
a home for the aged, as defined in section 5701.13 of the Revised45583
Code; the operation of a radio or television broadcasting station45584
that is licensed by the federal communications commission as a45585
noncommercial educational radio or television station; the45586
operation of a nonprofit animal adoption service or a county45587
humane society; the promotion of education by an institution of45588
learning that maintains a faculty of qualified instructors,45589
teaches regular continuous courses of study, and confers a45590
recognized diploma upon completion of a specific curriculum; the45591
operation of a parent-teacher association, booster group, or45592
similar organization primarily engaged in the promotion and45593
support of the curricular or extracurricular activities of a45594
primary or secondary school; the operation of a community or area45595
center in which presentations in music, dramatics, the arts, and45596
related fields are made in order to foster public interest and45597
education therein; the production of performances in music,45598
dramatics, and the arts; or the promotion of education by an45599
organization engaged in carrying on research in, or the45600
dissemination of, scientific and technological knowledge and45601
information primarily for the public.45602

       Nothing in this division shall be deemed to exempt sales to45603
any organization for use in the operation or carrying on of a45604
trade or business, or sales to a home for the aged for use in the45605
operation of independent living facilities as defined in division45606
(A) of section 5709.12 of the Revised Code.45607

       (13) Building and construction materials and services sold to 45608
construction contractors for incorporation into a structure or45609
improvement to real property under a construction contract with45610
this state or a political subdivision of this state, or with the45611
United States government or any of its agencies; building and45612
construction materials and services sold to construction45613
contractors for incorporation into a structure or improvement to45614
real property that are accepted for ownership by this state or any45615
of its political subdivisions, or by the United States government45616
or any of its agencies at the time of completion of the structures 45617
or improvements; building and construction materials sold to 45618
construction contractors for incorporation into a horticulture 45619
structure or livestock structure for a person engaged in the 45620
business of horticulture or producing livestock; building45621
materials and services sold to a construction contractor for45622
incorporation into a house of public worship or religious45623
education, or a building used exclusively for charitable purposes45624
under a construction contract with an organization whose purpose45625
is as described in division (B)(12) of this section; building45626
materials and services sold to a construction contractor for45627
incorporation into a building under a construction contract with45628
an organization exempt from taxation under section 501(c)(3) of45629
the Internal Revenue Code of 1986 when the building is to be used45630
exclusively for the organization's exempt purposes; building and45631
construction materials sold for incorporation into the original45632
construction of a sports facility under section 307.696 of the45633
Revised Code; and building and construction materials and services45634
sold to a construction contractor for incorporation into real45635
property outside this state if such materials and services, when45636
sold to a construction contractor in the state in which the real45637
property is located for incorporation into real property in that45638
state, would be exempt from a tax on sales levied by that state;45639

       (14) Sales of ships or vessels or rail rolling stock used or45640
to be used principally in interstate or foreign commerce, and45641
repairs, alterations, fuel, and lubricants for such ships or45642
vessels or rail rolling stock;45643

       (15) Sales to persons primarily engaged in any of the 45644
activities mentioned in division (B)(42)(a) or (g) of this 45645
section, to persons engaged in making retail sales, or to persons 45646
who purchase for sale from a manufacturer tangible personal 45647
property that was produced by the manufacturer in accordance with 45648
specific designs provided by the purchaser, of packages, including 45649
material, labels, and parts for packages, and of machinery, 45650
equipment, and material for use primarily in packaging tangible 45651
personal property produced for sale, including any machinery,45652
equipment, and supplies used to make labels or packages, to 45653
prepare packages or products for labeling, or to label packages or 45654
products, by or on the order of the person doing the packaging, or 45655
sold at retail. "Packages" includes bags, baskets, cartons, 45656
crates, boxes, cans, bottles, bindings, wrappings, and other 45657
similar devices and containers, but does not include motor 45658
vehicles or bulk tanks, trailers, or similar devices attached to 45659
motor vehicles. "Packaging" means placing in a package. Division 45660
(B)(15) of this section does not apply to persons engaged in 45661
highway transportation for hire.45662

       (16) Sales of food to persons using food stamp benefits to45663
purchase the food. As used in this division, "food" has the same 45664
meaning as in the "Food Stamp Act of 1977," 91 Stat. 958, 7 U.S.C. 45665
2012, as amended, and federal regulations adopted pursuant to that 45666
act.45667

       (17) Sales to persons engaged in farming, agriculture,45668
horticulture, or floriculture, of tangible personal property for45669
use or consumption directly in the production by farming,45670
agriculture, horticulture, or floriculture of other tangible45671
personal property for use or consumption directly in the45672
production of tangible personal property for sale by farming,45673
agriculture, horticulture, or floriculture; or material and parts45674
for incorporation into any such tangible personal property for use45675
or consumption in production; and of tangible personal property45676
for such use or consumption in the conditioning or holding of45677
products produced by and for such use, consumption, or sale by45678
persons engaged in farming, agriculture, horticulture, or45679
floriculture, except where such property is incorporated into real45680
property;45681

       (18) Sales of drugs for a human being that may be dispensed 45682
only pursuant to a prescription; insulin as recognized in the 45683
official United States pharmacopoeia; urine and blood testing 45684
materials when used by diabetics or persons with hypoglycemia to 45685
test for glucose or acetone; hypodermic syringes and needles when 45686
used by diabetics for insulin injections; epoetin alfa when 45687
purchased for use in the treatment of persons with medical 45688
disease; hospital beds when purchased by hospitals, nursing homes, 45689
or other medical facilities; and medical oxygen and medical 45690
oxygen-dispensing equipment when purchased by hospitals, nursing 45691
homes, or other medical facilities;45692

       (19) Sales of prosthetic devices, durable medical equipment 45693
for home use, or mobility enhancing equipment, when made pursuant 45694
to a prescription and when such devices or equipment are for use 45695
by a human being.45696

       (20) Sales of emergency and fire protection vehicles and45697
equipment to nonprofit organizations for use solely in providing45698
fire protection and emergency services, including trauma care and45699
emergency medical services, for political subdivisions of the45700
state;45701

       (21) Sales of tangible personal property manufactured in this 45702
state, if sold by the manufacturer in this state to a retailer for 45703
use in the retail business of the retailer outside of this state 45704
and if possession is taken from the manufacturer by the purchaser45705
within this state for the sole purpose of immediately removing the 45706
same from this state in a vehicle owned by the purchaser;45707

       (22) Sales of services provided by the state or any of its45708
political subdivisions, agencies, instrumentalities, institutions,45709
or authorities, or by governmental entities of the state or any of45710
its political subdivisions, agencies, instrumentalities,45711
institutions, or authorities;45712

       (23) Sales of motor vehicles to nonresidents of this state45713
upon the presentation of an affidavit executed in this state by45714
the nonresident purchaser affirming that the purchaser is a45715
nonresident of this state, that possession of the motor vehicle is45716
taken in this state for the sole purpose of immediately removing45717
it from this state, that the motor vehicle will be permanently45718
titled and registered in another state, and that the motor vehicle45719
will not be used in this stateunder the circumstances described 45720
in division (B) of section 5739.029 of the Revised Code;45721

       (24) Sales to persons engaged in the preparation of eggs for45722
sale of tangible personal property used or consumed directly in45723
such preparation, including such tangible personal property used45724
for cleaning, sanitizing, preserving, grading, sorting, and45725
classifying by size; packages, including material and parts for45726
packages, and machinery, equipment, and material for use in45727
packaging eggs for sale; and handling and transportation equipment45728
and parts therefor, except motor vehicles licensed to operate on45729
public highways, used in intraplant or interplant transfers or45730
shipment of eggs in the process of preparation for sale, when the45731
plant or plants within or between which such transfers or45732
shipments occur are operated by the same person. "Packages"45733
includes containers, cases, baskets, flats, fillers, filler flats,45734
cartons, closure materials, labels, and labeling materials, and45735
"packaging" means placing therein.45736

       (25)(a) Sales of water to a consumer for residential use,45737
except the sale of bottled water, distilled water, mineral water,45738
carbonated water, or ice;45739

       (b) Sales of water by a nonprofit corporation engaged45740
exclusively in the treatment, distribution, and sale of water to45741
consumers, if such water is delivered to consumers through pipes45742
or tubing.45743

       (26) Fees charged for inspection or reinspection of motor45744
vehicles under section 3704.14 of the Revised Code;45745

       (27) Sales to persons licensed to conduct a food service45746
operation pursuant to section 3717.43 of the Revised Code, of45747
tangible personal property primarily used directly for the45748
following:45749

       (a) To prepare food for human consumption for sale;45750

       (b) To preserve food that has been or will be prepared for45751
human consumption for sale by the food service operator, not45752
including tangible personal property used to display food for45753
selection by the consumer;45754

       (c) To clean tangible personal property used to prepare or45755
serve food for human consumption for sale.45756

       (28) Sales of animals by nonprofit animal adoption services45757
or county humane societies;45758

       (29) Sales of services to a corporation described in division 45759
(A) of section 5709.72 of the Revised Code, and sales of tangible 45760
personal property that qualifies for exemption from taxation under 45761
section 5709.72 of the Revised Code;45762

       (30) Sales and installation of agricultural land tile, as45763
defined in division (B)(5)(a) of section 5739.01 of the Revised45764
Code;45765

       (31) Sales and erection or installation of portable grain45766
bins, as defined in division (B)(5)(b) of section 5739.01 of the45767
Revised Code;45768

       (32) The sale, lease, repair, and maintenance of, parts for,45769
or items attached to or incorporated in, motor vehicles that are45770
primarily used for transporting tangible personal property 45771
belonging to others by a person engaged in highway transportation 45772
for hire, except for packages and packaging used for the 45773
transportation of tangible personal property;45774

       (33) Sales to the state headquarters of any veterans'45775
organization in this state that is either incorporated and issued45776
a charter by the congress of the United States or is recognized by45777
the United States veterans administration, for use by the45778
headquarters;45779

       (34) Sales to a telecommunications service vendor, mobile 45780
telecommunications service vendor, or satellite broadcasting 45781
service vendor of tangible personal property and services used 45782
directly and primarily in transmitting, receiving, switching, or 45783
recording any interactive, one- or two-way electromagnetic 45784
communications, including voice, image, data, and information, 45785
through the use of any medium, including, but not limited to, 45786
poles, wires, cables, switching equipment, computers, and record 45787
storage devices and media, and component parts for the tangible 45788
personal property. The exemption provided in this division shall45789
be in lieu of all other exemptions under division (B)(42)(a) of 45790
this section to which the vendor may otherwise be entitled, based 45791
upon the use of the thing purchased in providing the 45792
telecommunications, mobile telecommunications, or satellite 45793
broadcasting service.45794

       (35)(a) Sales where the purpose of the consumer is to use or45795
consume the things transferred in making retail sales and45796
consisting of newspaper inserts, catalogues, coupons, flyers, gift45797
certificates, or other advertising material that prices and45798
describes tangible personal property offered for retail sale.45799

       (b) Sales to direct marketing vendors of preliminary45800
materials such as photographs, artwork, and typesetting that will45801
be used in printing advertising material; of printed matter that45802
offers free merchandise or chances to win sweepstake prizes and45803
that is mailed to potential customers with advertising material45804
described in division (B)(35)(a) of this section; and of equipment45805
such as telephones, computers, facsimile machines, and similar45806
tangible personal property primarily used to accept orders for45807
direct marketing retail sales.45808

       (c) Sales of automatic food vending machines that preserve45809
food with a shelf life of forty-five days or less by refrigeration45810
and dispense it to the consumer.45811

       For purposes of division (B)(35) of this section, "direct45812
marketing" means the method of selling where consumers order45813
tangible personal property by United States mail, delivery45814
service, or telecommunication and the vendor delivers or ships the45815
tangible personal property sold to the consumer from a warehouse,45816
catalogue distribution center, or similar fulfillment facility by45817
means of the United States mail, delivery service, or common45818
carrier.45819

       (36) Sales to a person engaged in the business of45820
horticulture or producing livestock of materials to be45821
incorporated into a horticulture structure or livestock structure;45822

       (37) Sales of personal computers, computer monitors, computer 45823
keyboards, modems, and other peripheral computer equipment to an 45824
individual who is licensed or certified to teach in an elementary 45825
or a secondary school in this state for use by that individual in 45826
preparation for teaching elementary or secondary school students;45827

       (38) Sales to a professional racing team of any of the45828
following:45829

       (a) Motor racing vehicles;45830

       (b) Repair services for motor racing vehicles;45831

       (c) Items of property that are attached to or incorporated in 45832
motor racing vehicles, including engines, chassis, and all other 45833
components of the vehicles, and all spare, replacement, and45834
rebuilt parts or components of the vehicles; except not including45835
tires, consumable fluids, paint, and accessories consisting of45836
instrumentation sensors and related items added to the vehicle to45837
collect and transmit data by means of telemetry and other forms of45838
communication.45839

       (39) Sales of used manufactured homes and used mobile homes,45840
as defined in section 5739.0210 of the Revised Code, made on or45841
after January 1, 2000;45842

       (40) Sales of tangible personal property and services to a45843
provider of electricity used or consumed directly and primarily in45844
generating, transmitting, or distributing electricity for use by45845
others, including property that is or is to be incorporated into45846
and will become a part of the consumer's production, transmission,45847
or distribution system and that retains its classification as45848
tangible personal property after incorporation; fuel or power used45849
in the production, transmission, or distribution of electricity;45850
and tangible personal property and services used in the repair and45851
maintenance of the production, transmission, or distribution45852
system, including only those motor vehicles as are specially45853
designed and equipped for such use. The exemption provided in this 45854
division shall be in lieu of all other exemptions in division45855
(B)(42)(a) of this section to which a provider of electricity may 45856
otherwise be entitled based on the use of the tangible personal 45857
property or service purchased in generating, transmitting, or45858
distributing electricity.45859

       (41) Sales to a person providing services under division 45860
(B)(3)(r) of section 5739.01 of the Revised Code of tangible 45861
personal property and services used directly and primarily in 45862
providing taxable services under that section.45863

       (42) Sales where the purpose of the purchaser is to do any of 45864
the following:45865

       (a) To incorporate the thing transferred as a material or a 45866
part into tangible personal property to be produced for sale by 45867
manufacturing, assembling, processing, or refining; or to use or 45868
consume the thing transferred directly in producing tangible 45869
personal property for sale by mining, including, without 45870
limitation, the extraction from the earth of all substances that 45871
are classed geologically as minerals, production of crude oil and 45872
natural gas, farming, agriculture, horticulture, or floriculture, 45873
or directly in the rendition of a public utility service, except 45874
that the sales tax levied by this section shall be collected upon 45875
all meals, drinks, and food for human consumption sold when 45876
transporting persons. Persons engaged in rendering farming, 45877
agricultural, horticultural, or floricultural services, and 45878
services in the exploration for, and production of, crude oil and 45879
natural gas, for others are deemed engaged directly in farming, 45880
agriculture, horticulture, and floriculture, or exploration for, 45881
and production of, crude oil and natural gas. This paragraph does 45882
not exempt from "retail sale" or "sales at retail" the sale of 45883
tangible personal property that is to be incorporated into a 45884
structure or improvement to real property.45885

       (b) To hold the thing transferred as security for the 45886
performance of an obligation of the vendor;45887

       (c) To resell, hold, use, or consume the thing transferred as 45888
evidence of a contract of insurance;45889

       (d) To use or consume the thing directly in commercial 45890
fishing;45891

       (e) To incorporate the thing transferred as a material or a 45892
part into, or to use or consume the thing transferred directly in 45893
the production of, magazines distributed as controlled circulation 45894
publications;45895

       (f) To use or consume the thing transferred in the production 45896
and preparation in suitable condition for market and sale of 45897
printed, imprinted, overprinted, lithographic, multilithic, 45898
blueprinted, photostatic, or other productions or reproductions of 45899
written or graphic matter;45900

       (g) To use the thing transferred, as described in section 45901
5739.011 of the Revised Code, primarily in a manufacturing 45902
operation to produce tangible personal property for sale;45903

       (h) To use the benefit of a warranty, maintenance or service 45904
contract, or similar agreement, as described in division (B)(7) of 45905
section 5739.01 of the Revised Code, to repair or maintain 45906
tangible personal property, if all of the property that is the 45907
subject of the warranty, contract, or agreement would not be 45908
subject to the tax imposed by this section;45909

       (i) To use the thing transferred as qualified research and 45910
development equipment;45911

       (j) To use or consume the thing transferred primarily in 45912
storing, transporting, mailing, or otherwise handling purchased 45913
sales inventory in a warehouse, distribution center, or similar 45914
facility when the inventory is primarily distributed outside this 45915
state to retail stores of the person who owns or controls the 45916
warehouse, distribution center, or similar facility, to retail 45917
stores of an affiliated group of which that person is a member, or 45918
by means of direct marketing. This division does not apply to 45919
motor vehicles registered for operation on the public highways. As 45920
used in this division, "affiliated group" has the same meaning as 45921
in division (B)(3)(e) of section 5739.01 of the Revised Code and 45922
"direct marketing" has the same meaning as in division (B)(35) of 45923
this section.45924

       (k) To use or consume the thing transferred to fulfill a 45925
contractual obligation incurred by a warrantor pursuant to a 45926
warranty provided as a part of the price of the tangible personal 45927
property sold or by a vendor of a warranty, maintenance or service 45928
contract, or similar agreement the provision of which is defined 45929
as a sale under division (B)(7) of section 5739.01 of the Revised 45930
Code;45931

       (l) To use or consume the thing transferred in the production 45932
of a newspaper for distribution to the public;45933

       (m) To use tangible personal property to perform a service 45934
listed in division (B)(3) of section 5739.01 of the Revised Code, 45935
if the property is or is to be permanently transferred to the 45936
consumer of the service as an integral part of the performance of 45937
the service.45938

       As used in division (B)(42) of this section, "thing" includes 45939
all transactions included in divisions (B)(3)(a), (b), and (e) of 45940
section 5739.01 of the Revised Code.45941

       (43) Sales conducted through a coin operated device that 45942
activates vacuum equipment or equipment that dispenses water, 45943
whether or not in combination with soap or other cleaning agents 45944
or wax, to the consumer for the consumer's use on the premises in 45945
washing, cleaning, or waxing a motor vehicle, provided no other 45946
personal property or personal service is provided as part of the 45947
transaction.45948

       (44) Sales of replacement and modification parts for engines, 45949
airframes, instruments, and interiors in, and paint for, aircraft 45950
used primarily in a fractional aircraft ownership program, and 45951
sales of services for the repair, modification, and maintenance of 45952
such aircraft, and machinery, equipment, and supplies primarily 45953
used to provide those services.45954

       (45) Sales of telecommunications service that is used 45955
directly and primarily to perform the functions of a call center. 45956
As used in this division, "call center" means any physical 45957
location where telephone calls are placed or received in high 45958
volume for the purpose of making sales, marketing, customer 45959
service, technical support, or other specialized business 45960
activity, and that employs at least fifty individuals that engage 45961
in call center activities on a full-time basis, or sufficient 45962
individuals to fill fifty full-time equivalent positions.45963

        (46) Sales by a telecommunications service vendor of 900 45964
service to a subscriber. This division does not apply to 45965
information services, as defined in division (FF) of section 45966
5739.01 of the Revised Code.45967

        (47) Sales of value-added non-voice data service. This 45968
division does not apply to any similar service that is not 45969
otherwise a telecommunications service.45970

       (C) For the purpose of the proper administration of this45971
chapter, and to prevent the evasion of the tax, it is presumed45972
that all sales made in this state are subject to the tax until the 45973
contrary is established.45974

       (D) The levy of this tax on retail sales of recreation and45975
sports club service shall not prevent a municipal corporation from45976
levying any tax on recreation and sports club dues or on any45977
income generated by recreation and sports club dues.45978

       (E) The tax collected by the vendor from the consumer under 45979
this chapter is not part of the price, but is a tax collection for 45980
the benefit of the state, and of counties levying an additional 45981
sales tax pursuant to section 5739.021 or 5739.026 of the Revised 45982
Code and of transit authorities levying an additional sales tax 45983
pursuant to section 5739.023 of the Revised Code. Except for the 45984
discount authorized under section 5739.12 of the Revised Code and 45985
the effects of any rounding pursuant to section 5703.055 of the 45986
Revised Code, no person other than the state or such a county or 45987
transit authority shall derive any benefit from the collection or 45988
payment of the tax levied by this section or section 5739.021, 45989
5739.023, or 5739.026 of the Revised Code.45990

       Sec. 5739.029.  (A) Notwithstanding sections 5739.02, 45991
5739.021, 5739.023, 5739.026, 5741.02, 5741.021, 5741.022, and 45992
5741.023 of the Revised Code, and except as otherwise provided in 45993
division (B) of this section, the tax due under this chapter on 45994
the sale of a motor vehicle required to be titled under Chapter 45995
4505. of the Revised Code by a motor vehicle dealer to a consumer 45996
that is a nonresident of this state shall be the lesser of the 45997
amount of tax that would be due under this chapter and Chapter 45998
5741. of the Revised Code if the total combined rate were six per 45999
cent, or the amount of tax that would be due, taking into 46000
consideration all applicable credits and exemptions, to the state 46001
in which the consumer titles or registers the motor vehicle or to 46002
which the consumer removes the vehicle for use.46003

       (B) No tax is due under this section, any other section of 46004
this chapter, or Chapter 5741. of the Revised Code under any of 46005
the following circumstances:46006

       (1)(a) The consumer intends to immediately remove the motor 46007
vehicle from this state for use outside this state;46008

       (b) Upon removal of the motor vehicle from this state, the 46009
consumer intends to title or register the vehicle in another state 46010
if such titling or registration is required;46011

       (c) The consumer executes an affidavit as required under 46012
division (C) of this section affirming the consumer's intentions 46013
under divisions (B)(1)(a) and (b) of this section; and46014

       (d) The state in which the consumer titles or registers the 46015
motor vehicle or to which the consumer removes the vehicle for use 46016
provides an exemption under circumstances substantially similar to 46017
those described in division (B)(1) of this section.46018

       (2) The state in which the consumer titles or registers the 46019
motor vehicle or to which the consumer removes the vehicle for use 46020
does not provide a credit against its sales or use tax or similar 46021
excise tax for sales or use tax paid to this state.46022

       (3) The state in which the consumer titles or registers the 46023
motor vehicle or to which the consumer removes the vehicle for use 46024
does not impose a sales or use tax or similar excise tax on the 46025
ownership or use of motor vehicles.46026

       (C) Any nonresident consumer that purchases a motor vehicle 46027
from a motor vehicle dealer in this state under the circumstances 46028
described in divisions (B)(1)(a) and (b) of this section shall 46029
execute an affidavit affirming the intentions described in those 46030
divisions. The affidavit shall be executed in triplicate and in 46031
the form specified by the tax commissioner. The affidavit shall be 46032
given to the motor vehicle dealer.46033

       A motor vehicle dealer that accepts in good faith an 46034
affidavit presented under this division by a nonresident consumer 46035
may rely upon the representations made in the affidavit.46036

       (D) A motor vehicle dealer making a sale subject to the tax 46037
under division (A) of this section shall collect the tax due 46038
unless the sale is subject to the exception under division (B) of 46039
this section or unless the sale is not otherwise subject to taxes 46040
levied under sections 5739.02, 5739.021, 5739.023, 5739.026, 46041
5741.02, 5741.021, 5741.022, and 5741.023 of the Revised Code. In 46042
the case of a sale under the circumstances described in division 46043
(B)(1) of this section, the dealer shall retain one copy of the 46044
affidavit and file the original and the other copy with the clerk 46045
of the court of common pleas. If tax is due under division (A) of 46046
this section, the dealer shall remit the tax collected to the 46047
clerk at the time the dealer obtains the Ohio certificate of title 46048
in the name of the consumer as required under section 4505.06 of 46049
the Revised Code. The clerk shall forward the original affidavit 46050
to the tax commissioner in the manner prescribed by the 46051
commissioner.46052

       Unless a sale is excepted from taxation under division (B) of 46053
this section, upon receipt of an application for certificate of 46054
title a clerk of the court of common pleas shall collect the sales 46055
tax due under division (A) of this section. The clerk shall remit 46056
the tax collected to the tax commissioner in the manner prescribed 46057
by the commissioner.46058

       (E) If a motor vehicle is purchased by a corporation 46059
described in division (B)(6) of section 5739.01 of the Revised 46060
Code, the state of residence of the consumer for the purposes of 46061
this section is the state of residence of the corporation's 46062
principal shareholder.46063

       (F) Any provision of this chapter or of Chapter 5741. of the 46064
Revised Code that is not inconsistent with this section applies to 46065
sales described in division (A) of this section.46066

       (G) As used in this section:46067

       (1) For the purposes of this section only, the sale or 46068
purchase of a motor vehicle does not include a lease or rental of 46069
a motor vehicle subject to division (A)(2) or (3) of section 46070
5739.02 or division (A)(2) or (3) of section 5741.02 of the 46071
Revised Code;46072

       (2) "State," except in reference to "this state," means any 46073
state, district, commonwealth, or territory of the United States.46074

       Sec. 5739.033.  (A) Except as provided in division (B) of 46075
this section, divisions (C) to (I) of this section apply to sales 46076
made on and after May 1, 2006. Sales made before May 1, 2006, are 46077
subject to section 5739.035 of the Revised Code. On and after 46078
January 1, 2005, any vendor may irrevocably elect to comply with 46079
divisions (C) to (I) of this section for all of the vendor's sales 46080
and places of business in this state.46081

        The amount of tax due pursuant to sections 5739.02, 5739.021, 46082
5739.023, and 5739.026 of the Revised Code is the sum of the taxes 46083
imposed pursuant to those sections at the sourcing location of the 46084
sale as determined under this section or, if applicable, under 46085
division (C) of section 5739.031 or section 5739.034 of the 46086
Revised Code, or at the situs of the sale as determined under 46087
section 5739.035 of the Revised Code. This section applies only to 46088
a vendor's or seller's obligation to collect and remit sales taxes 46089
under section 5739.02, 5739.021, 5739.023, or 5739.026 of the 46090
Revised Code or use taxes under section 5741.02, 5741.021, 46091
5741.022, or 5741.023 of the Revised Code. Division (A) of this 46092
section does not apply in determining the jurisdiction for which 46093
sellers are required to collect the use tax under section 5741.05 46094
of the Revised Code. This section does not affect the obligation 46095
of a consumer to remit use taxes on the storage, use, or other 46096
consumption of tangible personal property or on the benefit 46097
realized of any service provided, to the jurisdiction of that 46098
storage, use, or consumption, or benefit realized.46099

       (B)(1) As used in this division:46100

       (a) "Delivery sale" means the taxable sale of tangible 46101
personal property or a service that is received by a consumer, or 46102
a donee designated by the consumer, in a taxing jurisdiction that 46103
is not the taxing jurisdiction in which the vendor has a fixed 46104
place of business.46105

       (b) "Agreement" has the same meaning as in section 5740.01 of 46106
the Revised Code.46107

       (c) "Governing board" has the same meaning as in section 46108
5740.02 of the Revised Code.46109

        (2)(a) A vendor with total delivery sales in calendar year 46110
2005 that are less than thirty million dollars may continue to 46111
situs its sales under section 5739.035 of the Revised Code from 46112
May 1, 2006, through April 30, 2007, except that, if the tax 46113
commissioner does not enter a determination in the commissioner's 46114
journal under division (B)(2)(b) of this section, those dates 46115
shall be May 1, 2006, through December 31, 2007.46116

       (b) On or before February 1, 2007, the tax commissioner shall 46117
determine whether certified service provider services are being 46118
provided by the governing board of the streamlined sales and use 46119
tax agreement for all delivery sales. If the commissioner 46120
determines that such services are being so provided, the 46121
commissioner shall enter the determination in the commissioner's 46122
journal and shall provide notice of the determination on the 46123
department of taxation's official internet web site. If the 46124
commissioner makes such an entry in the journal, then a vendor 46125
with total delivery sales in calendar year 2006 that are less than 46126
five million dollars may continue to situs its sales under section 46127
5739.035 of the Revised Code from May 1, 2007, through December 46128
31, 2007.46129

       (3) Beginning January 1, 2008, all vendors shall source their 46130
sales under divisions (C) to (I) of this section.46131

       (4) Once a vendor has total delivery sales that exceed the 46132
dollar amount in division (B)(2)(a) or (b) of this section, the 46133
vendor shall source its sales under divisions (C) to (I) of this 46134
section and shall continue to source its sales under those 46135
divisions, regardless of the amount of the vendor's total delivery 46136
sales in future years.46137

       (C) Except for sales, other than leases, of titled motor 46138
vehicles, titled watercraft, or titled outboard motors as provided 46139
in sectionsections 5739.029 and 5741.05 of the Revised Code, or 46140
as otherwise provided in this section and section 5739.034 of the46141
Revised Code, all sales shall be sourced as follows:46142

       (1) If the consumer or a donee designated by the consumer 46143
receives tangible personal property or a service at a vendor's46144
place of business, the sale shall be sourced to that place of 46145
business.46146

       (2) When the tangible personal property or service is not46147
received at a vendor's place of business, the sale shall be 46148
sourced to the location known to the vendor where the consumer or 46149
the donee designated by the consumer receives the tangible 46150
personal property or service, including the location indicated by46151
instructions for delivery to the consumer or the consumer's donee.46152

       (3) If divisions (C)(1) and (2) of this section do not apply, 46153
the sale shall be sourced to the location indicated by an address 46154
for the consumer that is available from the vendor's business 46155
records that are maintained in the ordinary course of the 46156
vendor's business, when use of that address does not constitute 46157
bad faith.46158

       (4) If divisions (C)(1), (2), and (3) of this section do not46159
apply, the sale shall be sourced to the location indicated by an 46160
address for the consumer obtained during the consummation of the 46161
sale, including the address associated with the consumer's payment 46162
instrument, if no other address is available, when use of that 46163
address does not constitute bad faith.46164

       (5) If divisions (C)(1), (2), (3), and (4) of this section do 46165
not apply, including in the circumstance where the vendor is46166
without sufficient information to apply any of those divisions, 46167
the sale shall be sourced to the address from which tangible 46168
personal property was shipped, or from which the service was 46169
provided, disregarding any location that merely provided the 46170
electronic transfer of the property sold or service provided.46171

       (6) As used in division (C) of this section, "receive" means46172
taking possession of tangible personal property or making first46173
use of a service. "Receive" does not include possession by a46174
shipping company on behalf of a consumer.46175

       (D)(1)(a) Notwithstanding divisions (C)(1) to (5) of this46176
section, a business consumer that is not a holder of a direct 46177
payment permit granted under section 5739.031 of the Revised Code, 46178
that purchases a digital good, computer software, except computer 46179
software received in person by a business consumer at a vendor's 46180
place of business, or a service, and that knows at the time of46181
purchase that such digital good, software, or service will be 46182
concurrently available for use in more than one taxing 46183
jurisdiction shall deliver to the vendor in conjunction with its 46184
purchase an exemption certificate claiming multiple points of use, 46185
or shall meet the requirements of division (D)(2) of this section. 46186
On receipt of the exemption certificate claiming multiple points 46187
of use, the vendor is relieved of its obligation to collect, pay, 46188
or remit the tax due, and the business consumer must pay the tax 46189
directly to the state.46190

       (b) A business consumer that delivers the exemption 46191
certificate claiming multiple points of use to a vendor may use46192
any reasonable, consistent, and uniform method of apportioning the46193
tax due on the digital good, computer software, or service that is46194
supported by the consumer's business records as they existed at46195
the time of the sale. The business consumer shall report and pay 46196
the appropriate tax to each jurisdiction where concurrent use 46197
occurs. The tax due shall be calculated as if the apportioned 46198
amount of the digital good, computer software, or service had been 46199
delivered to each jurisdiction to which the sale is apportioned 46200
under this division.46201

       (c) The exemption certificate claiming multiple points of use 46202
shall remain in effect for all future sales by the vendor to the 46203
business consumer until it is revoked in writing by the business 46204
consumer, except as to the business consumer's specific 46205
apportionment of a subsequent sale under division (D)(1)(b) of 46206
this section and the facts existing at the time of the sale.46207

       (2) When the vendor knows that a digital good, computer 46208
software, or service sold will be concurrently available for use 46209
by the business consumer in more than one jurisdiction, but the 46210
business consumer does not provide an exemption certificate 46211
claiming multiple points of use as required by division (D)(1) of 46212
this section, the vendor may work with the business consumer to 46213
produce the correct apportionment. Governed by the principles of 46214
division (D)(1)(b) of this section, the vendor and business 46215
consumer may use any reasonable, but consistent and uniform, 46216
method of apportionment that is supported by the vendor's and 46217
business consumer's books and records as they exist at the time 46218
the sale is reported for purposes of the taxes levied under this 46219
chapter. If the business consumer certifies to the accuracy of the 46220
apportionment and the vendor accepts the certification, the vendor 46221
shall collect and remit the tax accordingly. In the absence of bad 46222
faith, the vendor is relieved of any further obligation to collect 46223
tax on any transaction where the vendor has collected tax pursuant 46224
to the information certified by the business consumer.46225

        (3) When the vendor knows that the digital good, computer 46226
software, or service will be concurrently available for use in 46227
more than one jurisdiction, and the business consumer does not 46228
have a direct pay permit and does not provide to the vendor an 46229
exemption certificate claiming multiple points of use as required 46230
in division (D)(1) of this section, or certification pursuant to 46231
division (D)(2) of this section, the vendor shall collect and 46232
remit the tax based on division (C) of this section.46233

        (4) Nothing in this section shall limit a person's obligation 46234
for sales or use tax to any state in which a digital good, 46235
computer software, or service is concurrently available for use, 46236
nor limit a person's ability under local, state, or federal law, 46237
to claim a credit for sales or use taxes legally due and paid to 46238
other jurisdictions.46239

       (E) A person who holds a direct payment permit issued under46240
section 5739.031 of the Revised Code is not required to deliver an 46241
exemption certificate claiming multiple points of use to a vendor. 46242
But such permit holder shall comply with division (D)(2) of this 46243
section in apportioning the tax due on a digital good, computer 46244
software, or a service for use in business that will be 46245
concurrently available for use in more than one taxing 46246
jurisdiction.46247

       (F)(1) Notwithstanding divisions (C)(1) to (5) of this 46248
section, the consumer of direct mail that is not a holder of a 46249
direct payment permit shall provide to the vendor in conjunction 46250
with the sale either an exemption certificate claiming direct mail 46251
prescribed by the tax commissioner, or information to show the 46252
jurisdictions to which the direct mail is delivered to recipients.46253

       (2) Upon receipt of such exemption certificate, the vendor is 46254
relieved of all obligations to collect, pay, or remit the 46255
applicable tax and the consumer is obligated to pay that tax on a 46256
direct pay basis. An exemption certificate claiming direct mail 46257
shall remain in effect for all future sales of direct mail by the 46258
vendor to the consumer until it is revoked in writing.46259

       (3) Upon receipt of information from the consumer showing the 46260
jurisdictions to which the direct mail is delivered to recipients, 46261
the vendor shall collect the tax according to the delivery 46262
information provided by the consumer. In the absence of bad faith, 46263
the vendor is relieved of any further obligation to collect tax on 46264
any transaction where the vendor has collected tax pursuant to the 46265
delivery information provided by the consumer.46266

       (4) If the consumer of direct mail does not have a direct 46267
payment permit and does not provide the vendor with either an 46268
exemption certificate claiming direct mail or delivery information 46269
as required by division (F)(1) of this section, the vendor shall 46270
collect the tax according to division (C)(5) of this section. 46271
Nothing in division (F)(4) of this section shall limit a 46272
consumer's obligation to pay sales or use tax to any state to 46273
which the direct mail is delivered.46274

       (5) If a consumer of direct mail provides the vendor with 46275
documentation of direct payment authority, the consumer shall not 46276
be required to provide an exemption certificate claiming direct 46277
mail or delivery information to the vendor.46278

       (G) If the vendor provides lodging to transient guests as46279
specified in division (B)(2) of section 5739.01 of the Revised46280
Code, the sale shall be sourced to the location where the lodging 46281
is located.46282

       (H)(1) As used in this division and division (I) of this 46283
section, "transportation equipment" means any of the following:46284

        (a) Locomotives and railcars that are utilized for the 46285
carriage of persons or property in interstate commerce.46286

        (b) Trucks and truck-tractors with a gross vehicle weight 46287
rating of greater than ten thousand pounds, trailers, 46288
semi-trailers, or passenger buses that are registered through the 46289
international registration plan and are operated under authority 46290
of a carrier authorized and certificated by the United States 46291
department of transportation or another federal authority to 46292
engage in the carriage of persons or property in interstate 46293
commerce.46294

        (c) Aircraft that are operated by air carriers authorized and 46295
certificated by the United States department of transportation or 46296
another federal authority to engage in the carriage of persons or 46297
property in interstate or foreign commerce.46298

        (d) Containers designed for use on and component parts 46299
attached to or secured on the items set forth in division 46300
(H)(1)(a), (b), or (c) of this section.46301

        (2) A sale, lease, or rental of transportation equipment 46302
shall be sourced pursuant to division (C) of this section.46303

        (I)(1) A lease or rental of tangible personal property that 46304
does not require recurring periodic payments shall be sourced 46305
pursuant to division (C) of this section.46306

        (2) A lease or rental of tangible personal property that 46307
requires recurring periodic payments shall be sourced as follows:46308

        (a) In the case of a motor vehicle, other than a motor 46309
vehicle that is transportation equipment, or an aircraft, other 46310
than an aircraft that is transportation equipment, such lease or 46311
rental shall be sourced as follows:46312

        (i) An accelerated tax payment on a lease or rental taxed 46313
pursuant to division (A)(2) of section 5739.02 of the Revised Code 46314
shall be sourced to the primary property location at the time the 46315
lease or rental is consummated. Any subsequent taxable charges on 46316
the lease or rental shall be sourced to the primary property 46317
location for the period in which the charges are incurred.46318

        (ii) For a lease or rental taxed pursuant to division (A)(3) 46319
of section 5739.02 of the Revised Code, each lease or rental 46320
installment shall be sourced to the primary property location for 46321
the period covered by the installment.46322

        (b) In the case of a lease or rental of all other tangible 46323
personal property, other than transportation equipment, such lease 46324
or rental shall be sourced as follows:46325

        (i) An accelerated tax payment on a lease or rental that is 46326
taxed pursuant to division (A)(2) of section 5739.02 of the 46327
Revised Code shall be sourced pursuant to division (C) of this 46328
section at the time the lease or rental is consummated. Any 46329
subsequent taxable charges on the lease or rental shall be sourced 46330
to the primary property location for the period in which the 46331
charges are incurred.46332

        (ii) For a lease or rental that is taxed pursuant to division 46333
(A)(3) of section 5739.02 of the Revised Code, the initial lease 46334
or rental installment shall be sourced pursuant to division (C) of 46335
this section. Each subsequent installment shall be sourced to the 46336
primary property location for the period covered by the 46337
installment.46338

        (3) As used in division (I) of this section, "primary 46339
property location" means an address for tangible personal property 46340
provided by the lessee or renter that is available to the lessor 46341
or owner from its records maintained in the ordinary course of 46342
business, when use of that address does not constitute bad faith.46343

       Sec. 5739.12. (A) Each person who has or is required to have 46344
a vendor's license, on or before the twenty-third day of each46345
month, shall make and file a return for the preceding month, on46346
forms prescribed by the tax commissioner, and shall pay the tax46347
shown on the return to be due. The commissioner may require a 46348
vendor that operates from multiple locations or has multiple 46349
vendor's licenses to report all tax liabilities on one 46350
consolidated return. The return shall show the amount of tax due46351
from the vendor to the state for the period covered by the return46352
and such other information as the commissioner deems necessary for46353
the proper administration of this chapter. The commissioner may46354
extend the time for making and filing returns and paying the tax,46355
and may require that the return for the last month of any annual46356
or semiannual period, as determined by the commissioner, be a46357
reconciliation return detailing the vendor's sales activity for46358
the preceding annual or semiannual period. The reconciliation46359
return shall be filed by the last day of the month following the46360
last month of the annual or semiannual period. The commissioner46361
may remit all or any part of amounts or penalties that may become46362
due under this chapter and may adopt rules relating thereto. Such46363
return shall be filed by mailing it to the tax commissioner,46364
together with payment of the amount of tax shown to be due thereon46365
after deduction of any discount provided for under this section.46366
Remittance shall be made payable to the treasurer of state. The46367
return shall be considered filed when received by the tax46368
commissioner, and the payment shall be considered made when46369
received by the tax commissioner or when credited to an account46370
designated by the treasurer of state or the tax commissioner.46371

       (B)(1) If the return is filed and the amount of tax shown 46372
thereon to be due is paid on or before the date such return is 46373
required to be filed, the vendor shall be entitled to the 46374
followinga discount of:46375

       (1)(a) On and after July 1, 2005, and on and before June 30, 46376
2007, nine-tenths of one per cent of the amount shown to be due on 46377
the return;46378

       (2)(b) On and after July 1, 2007, three-fourths of one per 46379
cent of the amount shown to be due on the return.46380

       (2) A vendor that has selected a certified service provider 46381
as its agent shall not be entitled to the discount if the 46382
certified service provider receives a monetary allowance pursuant 46383
to section 5739.06 of the Revised Code for performing the vendor's 46384
sales and use tax functions in this state. Amounts paid to the46385
clerk of courts pursuant to section 4505.06 of the Revised Code46386
shall be subject to the applicable discount. The discount shall be 46387
in consideration for prompt payment to the clerk of courts and for46388
other services performed by the vendor in the collection of the46389
tax.46390

       (3) Vendors of watercraft or outboard motors required to be 46391
titled under section 1548.06 of the Revised Code, dealers of motor 46392
vehicles required to be titled under section 4505.06 of the 46393
Revised Code, and dealers of off-highway motorcycles or 46394
all-purpose vehicles required to be titled under section 4519.55 46395
of the Revised Code that submit to the clerk of the court of 46396
common pleas payment of the tax collected on sales of watercraft, 46397
outboard motors, motor vehicles, off-highway motorcycles, or 46398
all-purpose vehicles may, when computing the discount provided for 46399
in division (B)(1) of this section, include those sales on the 46400
return for the period in which the sales were made. If the tax 46401
reported to be due on the return is less than the discount allowed 46402
under this section, the vendor or dealer may file a claim for 46403
refund of any unused discount in the manner provided in section 46404
5739.07 of the Revised Code, provided that such refund claims may 46405
not be filed more frequently than twice per year by a vendor or 46406
dealer.46407

       (C)(1) Upon application to the commissioner, a vendor who is46408
required to file monthly returns may be relieved of the46409
requirement to report and pay the actual tax due, provided that46410
the vendor agrees to remit to the tax commissioner payment of not46411
less than an amount determined by the commissioner to be the46412
average monthly tax liability of the vendor, based upon a review46413
of the returns or other information pertaining to such vendor for46414
a period of not less than six months nor more than two years46415
immediately preceding the filing of the application. Vendors who46416
agree to the above conditions shall make and file an annual or46417
semiannual reconciliation return, as prescribed by the46418
commissioner. The reconciliation return shall be filed by mailing46419
or delivering it to the tax commissioner, together with payment of 46420
the amount of tax shown to be due thereon after deduction of any 46421
discount provided in this section. Remittance shall be made46422
payable to the treasurer of state. Failure of a vendor to comply46423
with any of the above conditions may result in immediate46424
reinstatement of the requirement of reporting and paying the46425
actual tax liability on each monthly return, and the commissioner46426
may at the commissioner's discretion deny the vendor the right to46427
report and pay based upon the average monthly liability for a46428
period not to exceed two years. The amount ascertained by the46429
commissioner to be the average monthly tax liability of a vendor46430
may be adjusted, based upon a review of the returns or other46431
information pertaining to the vendor for a period of not less than46432
six months nor more than two years preceding such adjustment.46433

       (2) The commissioner may authorize vendors whose tax 46434
liability is not such as to merit monthly returns, as ascertained 46435
by the commissioner upon the basis of administrative costs to the46436
state, to make and file returns at less frequent intervals. When46437
returns are filed at less frequent intervals in accordance with46438
such authorization, the vendor shall be allowed the discount 46439
provided in this section in consideration for prompt payment with 46440
the return, provided the return is filed together with payment of 46441
the amount of tax shown to be due thereon, at the time specified 46442
by the commissioner, but a vendor that has selected a certified 46443
service provider as its agent shall not be entitled to the 46444
discount.46445

       (D) Any vendor who fails to file a return or pay the full 46446
amount of the tax shown on the return to be due under this section 46447
and the rules of the commissioner may, for each such return the 46448
vendor fails to file or each such tax the vendor fails to pay in 46449
full as shown on the return within the period prescribed by this 46450
section and the rules of the commissioner, be required to forfeit 46451
and pay into the state treasury an additional charge not exceeding46452
fifty dollars or ten per cent of the tax required to be paid for46453
the reporting period, whichever is greater, as revenue arising46454
from the tax imposed by this chapter, and such sum may be46455
collected by assessment in the manner provided in section 5739.1346456
of the Revised Code. The commissioner may remit all or a portion46457
of the additional charge and may adopt rules relating to the 46458
imposition and remission of the additional charge.46459

       (E) If the amount required to be collected by a vendor from46460
consumers is in excess of the applicable percentage of the 46461
vendor's receipts from sales that are taxable under section 46462
5739.02 of the Revised Code, or in the case of sales subject to a 46463
tax levied pursuant to section 5739.021, 5739.023, or 5739.026 of 46464
the Revised Code, in excess of the percentage equal to the 46465
aggregate rate of such taxes and the tax levied by section 5739.02 46466
of the Revised Code, such excess shall be remitted along with the 46467
remittance of the amount of tax due under section 5739.10 of the 46468
Revised Code.46469

       (F) The commissioner, if the commissioner deems it necessary 46470
in order to insure the payment of the tax imposed by this chapter,46471
may require returns and payments to be made for other than monthly46472
periods. The returns shall be signed by the vendor or the vendor's 46473
authorized agent.46474

       (G) Any vendor required to file a return and pay the tax 46475
under this section, whose total payment equals or exceeds the46476
amount shown in division (A) of section 5739.122 of the Revised 46477
Code, shall make each payment required by this section in the 46478
second ensuing and each succeeding year by electronic funds 46479
transfer as prescribed by, and on or before the dates specified 46480
in, section 5739.122 of the Revised Code, except as otherwise46481
prescribed by that section. For a vendor that operates from 46482
multiple locations or has multiple vendor's licenses, in 46483
determining whether the vendor's total payment equals or exceeds 46484
the amount shown in division (A) of that section, the vendor's 46485
total payment amount shall be the amount of the vendor's total tax 46486
liability for the previous calendar year for all of the vendor's 46487
locations or licenses.46488

       Sec. 5739.21.  (A) Four and two-tenthsOne hundred per cent 46489
of all money deposited into the state treasury under sections 46490
5739.01 to 5739.31 of the Revised Code and not required to be 46491
distributed as provided in section 5739.102 of the Revised Code or 46492
division (B) of this section shall be credited to the local 46493
government fund for distribution in accordance with section 46494
5747.50 of the Revised Code, six-tenths of one per cent shall be 46495
credited to the local government revenue assistance fund for 46496
distribution in accordance with section 5747.61 of the Revised 46497
Code, and ninety-five and two-tenths per cent shall be credited to46498
the general revenue fund.46499

       (B)(1) In any case where any county or transit authority has46500
levied a tax or taxes pursuant to section 5739.021, 5739.023, or46501
5739.026 of the Revised Code, the tax commissioner shall, within46502
forty-five days after the end of each month, determine and certify 46503
to the director of budget and management the amount of the 46504
proceeds of such tax or taxes received during that month from 46505
billings and assessments, or associated with tax returns or 46506
reports filed during that month, to be returned to the county or 46507
transit authority levying the tax or taxes. The amount to be 46508
returned to each county and transit authority shall be a fraction 46509
of the aggregate amount of money collected with respect to each 46510
area in which one or more of such taxes are concurrently in effect 46511
with the tax levied by section 5739.02 of the Revised Code. The46512
numerator of the fraction is the rate of the tax levied by the 46513
county or transit authority and the denominator of the fraction is 46514
the aggregate rate of such taxes applicable to such area. The 46515
amount to be returned to each county or transit authority shall be 46516
reduced by the amount of any refunds of county or transit 46517
authority tax paid pursuant to section 5739.07 of the Revised Code 46518
during the same month, or transfers made pursuant to division 46519
(B)(2) of section 5703.052 of the Revised Code.46520

       (2) On a periodic basis, using the best information 46521
available, the tax commissioner shall distribute any amount of a 46522
county or transit authority tax that cannot be distributed under 46523
division (B)(1) of this section. Through audit or other means, the 46524
commissioner shall attempt to obtain the information necessary to 46525
make the distribution as provided under that division and, on 46526
receipt of that information, shall make adjustments to 46527
distributions previously made under this division.46528

       (C) The aggregate amount to be returned to any county or 46529
transit authority shall be reduced by one per cent, which shall be46530
certified directly to the credit of the local sales tax46531
administrative fund, which is hereby created in the state46532
treasury. For the purpose of determining the amount to be returned 46533
to a county and transit authority in which the rate of tax imposed 46534
by the transit authority has been reduced under section 5739.028 46535
of the Revised Code, the tax commissioner shall use the respective 46536
rates of tax imposed by the county or transit authority that 46537
results from the change in the rates authorized under that 46538
section. 46539

       (D) The director of budget and management shall transfer,46540
from the same funds and in the same proportions specified in46541
division (A) of this section, to the permissive tax distribution46542
fund created by division (B)(1) of section 4301.423 of the Revised 46543
Code and to the local sales tax administrative fund, the amounts 46544
certified by the tax commissioner. The tax commissioner shall 46545
then, on or before the twentieth day of the month in which such 46546
certification is made, provide for payment of such respective 46547
amounts to the county treasurer and to the fiscal officer of the 46548
transit authority levying the tax or taxes. The amount transferred 46549
to the local sales tax administrative fund is for use by the tax 46550
commissioner in defraying costs incurred in administering such 46551
taxes levied by a county or transit authority.46552

       Sec. 5739.213.  Notwithstanding section 5739.21 or 5741.03 of 46553
the Revised Code, of the revenue collected from the tax due under 46554
division (A) of section 5739.029 of the Revised Code, an amount 46555
equal to one-half per cent of the price of each transaction 46556
subject to taxation under that division shall be distributed to 46557
the county where the sale is sitused as provided in section 46558
5739.035 of the Revised Code. The amount to be so distributed to 46559
each county shall be credited to the funds of the county as 46560
provided by divisions (A) and (B) of section 5739.211 of the 46561
Revised Code.46562

       Sec. 5741.02.  (A)(1) For the use of the general revenue fund46563
of the state, an excise tax is hereby levied on the storage, use,46564
or other consumption in this state of tangible personal property46565
or the benefit realized in this state of any service provided. The46566
tax shall be collected as provided in section 5739.025 of the 46567
Revised Code, provided that on and after July 1, 2003, and on or 46568
before June 30, 2005, the rate of the tax shall be six per cent. 46569
On and after July 1, 2005, the rate of the tax shall be five and 46570
one-half per cent.46571

       (2) In the case of the lease or rental, with a fixed term of 46572
more than thirty days or an indefinite term with a minimum period 46573
of more than thirty days, of any motor vehicles designed by the 46574
manufacturer to carry a load of not more than one ton, watercraft, 46575
outboard motor, or aircraft, or of any tangible personal property, 46576
other than motor vehicles designed by the manufacturer to carry a 46577
load of more than one ton, to be used by the lessee or renter 46578
primarily for business purposes, the tax shall be collected by the 46579
seller at the time the lease or rental is consummated and shall be 46580
calculated by the seller on the basis of the total amount to be 46581
paid by the lessee or renter under the lease or rental agreement. 46582
If the total amount of the consideration for the lease or rental 46583
includes amounts that are not calculated at the time the lease or 46584
rental is executed, the tax shall be calculated and collected by 46585
the seller at the time such amounts are billed to the lessee or 46586
renter. In the case of an open-end lease or rental, the tax shall 46587
be calculated by the seller on the basis of the total amount to be 46588
paid during the initial fixed term of the lease or rental, and for 46589
each subsequent renewal period as it comes due. As used in this 46590
division, "motor vehicle" has the same meaning as in section 46591
4501.01 of the Revised Code, and "watercraft" includes an outdrive 46592
unit attached to the watercraft.46593

       (3) Except as provided in division (A)(2) of this section, in 46594
the case of a transaction, the price of which consists in whole or 46595
part of the lease or rental of tangible personal property, the tax 46596
shall be measured by the installments of those leases or rentals.46597

       (B) Each consumer, storing, using, or otherwise consuming in46598
this state tangible personal property or realizing in this state46599
the benefit of any service provided, shall be liable for the tax,46600
and such liability shall not be extinguished until the tax has46601
been paid to this state; provided, that the consumer shall be46602
relieved from further liability for the tax if the tax has been46603
paid to a seller in accordance with section 5741.04 of the Revised46604
Code or prepaid by the seller in accordance with section 5741.0646605
of the Revised Code.46606

       (C) The tax does not apply to the storage, use, or46607
consumption in this state of the following described tangible46608
personal property or services, nor to the storage, use, or46609
consumption or benefit in this state of tangible personal property46610
or services purchased under the following described circumstances:46611

       (1) When the sale of property or service in this state is46612
subject to the excise tax imposed by sections 5739.01 to 5739.3146613
of the Revised Code, provided said tax has been paid;46614

       (2) Except as provided in division (D) of this section,46615
tangible personal property or services, the acquisition of which,46616
if made in Ohio, would be a sale not subject to the tax imposed by46617
sections 5739.01 to 5739.31 of the Revised Code;46618

       (3) Property or services, the storage, use, or other46619
consumption of or benefit from which this state is prohibited from46620
taxing by the Constitution of the United States, laws of the46621
United States, or the Constitution of this state. This exemption46622
shall not exempt from the application of the tax imposed by this46623
section the storage, use, or consumption of tangible personal46624
property that was purchased in interstate commerce, but that has46625
come to rest in this state, provided that fuel to be used or46626
transported in carrying on interstate commerce that is stopped46627
within this state pending transfer from one conveyance to another46628
is exempt from the excise tax imposed by this section and section46629
5739.02 of the Revised Code;46630

       (4) Transient use of tangible personal property in this state 46631
by a nonresident tourist or vacationer, or a nonbusiness use 46632
within this state by a nonresident of this state, if the property 46633
so used was purchased outside this state for use outside this 46634
state and is not required to be registered or licensed under the 46635
laws of this state;46636

       (5) Tangible personal property or services rendered, upon46637
which taxes have been paid to another jurisdiction to the extent46638
of the amount of the tax paid to such other jurisdiction. Where46639
the amount of the tax imposed by this section and imposed pursuant46640
to section 5741.021, 5741.022, or 5741.023 of the Revised Code46641
exceeds the amount paid to another jurisdiction, the difference46642
shall be allocated between the tax imposed by this section and any46643
tax imposed by a county or a transit authority pursuant to section46644
5741.021, 5741.022, or 5741.023 of the Revised Code, in proportion46645
to the respective rates of such taxes.46646

       As used in this subdivision, "taxes paid to another46647
jurisdiction" means the total amount of retail sales or use tax or46648
similar tax based upon the sale, purchase, or use of tangible46649
personal property or services rendered legally, levied by and paid46650
to another state or political subdivision thereof, or to the46651
District of Columbia, where the payment of such tax does not46652
entitle the taxpayer to any refund or credit for such payment.46653

       (6) The transfer of a used manufactured home or used mobile46654
home, as defined by section 5739.0210 of the Revised Code, made on46655
or after January 1, 2000;46656

       (7) Drugs that are or are intended to be distributed free of46657
charge to a practitioner licensed to prescribe, dispense, and46658
administer drugs to a human being in the course of a professional46659
practice and that by law may be dispensed only by or upon the46660
order of such a practitioner.46661

        (8) Computer equipment and related software leased from a 46662
lessor located outside this state and initially received in this 46663
state on behalf of the consumer by a third party that will retain 46664
possession of such property for not more than ninety days and that 46665
will, within that ninety-day period, deliver such property to the 46666
consumer at a location outside this state. Division (C)(8) of this 46667
section does not provide exemption from taxation for any otherwise 46668
taxable charges associated with such property while it is in this 46669
state or for any subsequent storage, use, or consumption of such 46670
property in this state by or on behalf of the consumer.46671

       (9) Cigarettes that have a wholesale value of three hundred 46672
dollars or less used, stored, or consumed, but not for resale, in 46673
any month and in any county that shares a border with a state in 46674
which the total rate of excise tax on the sale or use of 46675
cigarettes exceeds the rate imposed under sections 5743.02 and 46676
5743.32 of the Revised Code by at least forty-five mills per 46677
cigarette.46678

       (10) Tangible personal property held for sale by a person but 46679
not for that person's own use and donated by that person, without 46680
charge or other compensation, to either of the following:46681

       (a) A nonprofit organization operated exclusively for 46682
charitable purposes in this state, no part of the net income of 46683
which inures to the benefit of any private shareholder or 46684
individual and no substantial part of the activities of which 46685
consists of carrying on propaganda or otherwise attempting to 46686
influence legislation; or46687

       (b) This state or any political subdivision of this state, 46688
but only if donated for exclusively public purposes.46689

        For the purposes of division (C)(10)(9) of this section, 46690
"charitable purposes" has the same meaning as in division (B)(12) 46691
of section 5739.02 of the Revised Code.46692

       (D) The tax applies to the storage, use, or other consumption 46693
in this state of tangible personal property or services, the 46694
acquisition of which at the time of sale was excepted under 46695
division (E) of section 5739.01 of the Revised Code from the tax 46696
imposed by section 5739.02 of the Revised Code, but which has 46697
subsequently been temporarily or permanently stored, used, or 46698
otherwise consumed in a taxable manner.46699

       (E)(1)(a) If any transaction is claimed to be exempt under46700
division (E) of section 5739.01 of the Revised Code or under46701
section 5739.02 of the Revised Code, with the exception of46702
divisions (B)(1) to (11) or (28) of section 5739.02 of the Revised46703
Code, the consumer shall provide to the seller, and the seller46704
shall obtain from the consumer, a certificate specifying the46705
reason that the transaction is not subject to the tax. The46706
certificate shall be in such form, and shall be provided either in 46707
a hard copy form or electronic form, as the tax commissioner 46708
prescribes.46709

       (b) A seller that obtains a fully completed exemption 46710
certificate from a consumer is relieved of liability for 46711
collecting and remitting tax on any sale covered by that 46712
certificate. If it is determined the exemption was improperly 46713
claimed, the consumer shall be liable for any tax due on that sale 46714
under this chapter. Relief under this division from liability does 46715
not apply to any of the following:46716

       (i) A seller that fraudulently fails to collect tax;46717

       (ii) A seller that solicits consumers to participate in the 46718
unlawful claim of an exemption;46719

       (iii) A seller that accepts an exemption certificate from a 46720
consumer that claims an exemption based on who purchases or who 46721
sells property or a service, when the subject of the transaction 46722
sought to be covered by the exemption certificate is actually 46723
received by the consumer at a location operated by the seller in 46724
this state, and this state has posted to its web site an exemption 46725
certificate form that clearly and affirmatively indicates that the 46726
claimed exemption is not available in this state;46727

       (iv) A seller that accepts an exemption certificate from a 46728
consumer who claims a multiple points of use exemption under 46729
division (D) of section 5739.033 of the Revised Code, if the item 46730
purchased is tangible personal property, other than prewritten 46731
computer software.46732

       (2) The seller shall maintain records, including exemption 46733
certificates, of all sales on which a consumer has claimed an 46734
exemption, and provide them to the tax commissioner on request.46735

       (3) If no certificate is provided or obtained within ninety 46736
days after the date on which the transaction is consummated, it 46737
shall be presumed that the tax applies. Failure to have so 46738
provided or obtained a certificate shall not preclude a seller, 46739
within one hundred twenty days after the tax commissioner gives 46740
written notice of intent to levy an assessment, from either 46741
establishing that the transaction is not subject to the tax, or 46742
obtaining, in good faith, a fully completed exemption certificate.46743

       (4) If a transaction is claimed to be exempt under division 46744
(B)(13) of section 5739.02 of the Revised Code, the contractor 46745
shall obtain certification of the claimed exemption from the 46746
contractee. This certification shall be in addition to an 46747
exemption certificate provided by the contractor to the seller. A 46748
contractee that provides a certification under this division shall 46749
be deemed to be the consumer of all items purchased by the 46750
contractor under the claim of exemption, if it is subsequently 46751
determined that the exemption is not properly claimed. The 46752
certification shall be in such form as the tax commissioner 46753
prescribes.46754

       (F) A seller who files a petition for reassessment contesting 46755
the assessment of tax on transactions for which the seller 46756
obtained no valid exemption certificates, and for which the seller 46757
failed to establish that the transactions were not subject to the 46758
tax during the one-hundred-twenty-day period allowed under46759
division (E) of this section, may present to the tax commissioner46760
additional evidence to prove that the transactions were exempt.46761
The seller shall file such evidence within ninety days of the46762
receipt by the seller of the notice of assessment, except that,46763
upon application and for reasonable cause, the tax commissioner46764
may extend the period for submitting such evidence thirty days.46765

       (G) For the purpose of the proper administration of sections46766
5741.01 to 5741.22 of the Revised Code, and to prevent the evasion46767
of the tax hereby levied, it shall be presumed that any use,46768
storage, or other consumption of tangible personal property in46769
this state is subject to the tax until the contrary is46770
established.46771

       (H) The tax collected by the seller from the consumer under 46772
this chapter is not part of the price, but is a tax collection for 46773
the benefit of the state, and of counties levying an additional 46774
use tax pursuant to section 5741.021 or 5741.023 of the Revised 46775
Code and of transit authorities levying an additional use tax 46776
pursuant to section 5741.022 of the Revised Code. Except for the 46777
discount authorized under section 5741.12 of the Revised Code and 46778
the effects of any rounding pursuant to section 5703.055 of the 46779
Revised Code, no person other than the state or such a county or 46780
transit authority shall derive any benefit from the collection of 46781
such tax.46782

       Sec. 5741.03.  (A) Four and two-tenthsOne hundred per cent 46783
of all money deposited into the state treasury under sections 46784
5741.01 to 5741.22 of the Revised Code that is not required to be46785
distributed as provided in division (B) of this section shall be46786
credited to the local government fund for distribution in46787
accordance with section 5747.50 of the Revised Code, six-tenths of 46788
one per cent shall be credited to the local government revenue 46789
assistance fund for distribution in accordance with section46790
5747.61 of the Revised Code, and ninety-five and two-tenths per 46791
cent shall be credited to the general revenue fund.46792

       (B) In any case where any county or transit authority has46793
levied a tax or taxes pursuant to section 5741.021, 5741.022, or46794
5741.023 of the Revised Code, the tax commissioner shall, within46795
forty-five days after the end of each month, determine and certify46796
to the director of budget and management the amount of the46797
proceeds of such tax or taxes from billings and assessments 46798
received during that month, or shown on tax returns or reports 46799
filed during that month, to be returned to the county or transit46800
authority levying the tax or taxes, which amounts shall be46801
determined in the manner provided in section 5739.21 of the46802
Revised Code. The director of budget and management shall46803
transfer, from the same funds and in the same proportions46804
specified in division (A) of this section, to the permissive tax46805
distribution fund created by division (B)(1) of section 4301.42346806
of the Revised Code and to the local sales tax administrative fund 46807
created by division (B)(C) of section 5739.21 of the Revised Code, 46808
the amounts certified by the tax commissioner. The tax46809
commissioner shall then, on or before the twentieth day of the46810
month in which such certification is made, provide for payment of46811
such respective amounts to the county treasurer or to the fiscal46812
officer of the transit authority levying the tax or taxes. The46813
amount transferred to the local sales tax administrative fund is46814
for use by the tax commissioner in defraying costs the46815
commissioner incurs in administering such taxes levied by a county 46816
or transit authority.46817

       Sec. 5743.01.  As used in this chapter:46818

       (A) "Person" includes individuals, firms, partnerships,46819
associations, joint-stock companies, corporations, combinations of 46820
individuals of any form, and the state and any of its political 46821
subdivisions.46822

       (B) "Wholesale dealer" includes only those persons:46823

       (1) Who bring in or cause to be brought into this state46824
unstamped cigarettes purchased directly from the manufacturer,46825
producer, or importer of cigarettes for sale in this state but46826
does not include persons who bring in or cause to be brought into46827
this state cigarettes with respect to which no evidence of tax46828
payment is required thereon as provided in section 5743.04 of the46829
Revised Code; or46830

       (2) Who are engaged in the business of selling cigarettes or 46831
tobacco products to others for the purpose of resale.46832

       "Wholesale dealer" does not include any cigarette 46833
manufacturer, export warehouse proprietor, or importer with a 46834
valid permit under 26 U.S.C. 5713 if that person sells cigarettes 46835
in this state only to wholesale dealers holding valid and current 46836
licenses under section 5743.15 of the Revised Code or to an export 46837
warehouse proprietor or another manufacturer.46838

       (C) "Retail dealer" includes:46839

       (1) In reference to dealers in cigarettes, every person other 46840
than a wholesale dealer engaged in the business of selling46841
cigarettes in this state, regardless of whether the person is 46842
located in this state or elsewhere, and regardless of quantity, 46843
amount, or number of sales;46844

       (2) In reference to dealers in tobacco products, any person 46845
in this state engaged in the business of selling tobacco products 46846
to ultimate consumers in this state, regardless of quantity, 46847
amount, or number of sales.46848

       (D) "Sale" includes exchange, barter, gift, offer for sale, 46849
and distribution, and includes transactions in interstate or 46850
foreign commerce.46851

       (E) "Cigarettes" includes any roll for smoking made wholly or 46852
in part of tobacco, irrespective of size or shape, and whether or 46853
not such tobacco is flavored, adulterated, or mixed with any other 46854
ingredient, the wrapper or cover of which is made of paper,46855
reconstituted cigarette tobacco, homogenized cigarette tobacco,46856
cigarette tobacco sheet, or any similar materials other than cigar 46857
tobacco.46858

       (F) "Package" means the individual package, box, or other46859
container in or from which retail sales of cigarettes are normally 46860
made or intended to be made.46861

       (G) "Stamp" includes an impression made by a metering device 46862
as provided for in section 5743.04 of the Revised Code.46863

       (H) "Storage" includes any keeping or retention of cigarettes 46864
or tobacco products for use or consumption in this state.46865

       (I) "Use" includes the exercise of any right or power46866
incidental to the ownership of cigarettes or tobacco products.46867

       (J) "Tobacco product" or "other tobacco product" means any 46868
product made from tobacco, other than cigarettes, that is made for 46869
smoking or chewing, or both, and snuff.46870

       (K) "Wholesale price" means the invoice price, including all 46871
federal excise taxes, at which the manufacturer of the tobacco 46872
product sells the tobacco product to unaffiliated distributors, 46873
excluding any discounts based on the method of payment of the 46874
invoice or on time of payment of the invoice. If the taxpayer buys 46875
from other than a manufacturer, "wholesale price" means the 46876
invoice price, including all federal excise taxes and excluding 46877
any discounts based on the method of payment of the invoice or on 46878
time of payment of the invoice.46879

       (L) "Distributor" means:46880

       (1) Any manufacturer who sells, barters, exchanges, or46881
distributes tobacco products to a retail dealer in the state, 46882
except when selling to a retail dealer that has filed with the 46883
manufacturer a signed statement agreeing to pay and be liable for 46884
the tax imposed by section 5743.51 of the Revised Code;46885

       (2) Any wholesale dealer located in the state who receives46886
tobacco products from a manufacturer, or who receives tobacco46887
products on which the tax imposed by this chapter has not been46888
paid;46889

       (3) Any wholesale dealer located outside the state who sells, 46890
barters, exchanges, or distributes tobacco products to a wholesale 46891
or retail dealer in the state; or46892

       (4) Any retail dealer who receives tobacco products on which 46893
the tax has not or will not be paid by another distributor, 46894
including a retail dealer that has filed a signed statement with a 46895
manufacturer in which the retail dealer agrees to pay and be 46896
liable for the tax that would otherwise be imposed on the46897
manufacturer by section 5743.51 of the Revised Code.46898

       (M) "Taxpayer" means any person liable for the tax imposed by 46899
section 5743.51, 5743.62, or 5743.63 of the Revised Code.46900

       (N) "Seller" means any person located outside this state46901
engaged in the business of selling tobacco products to consumers46902
for storage, use, or other consumption in this state.46903

       (O) "Manufacturer" means any person who manufactures and46904
sells cigarettes or tobacco products.46905

       (P) "Importer" means any person that imports is authorized, 46906
under a valid permit issued under Section 5713 of the Internal 46907
Revenue Code, to import finished cigarettes into the United 46908
States, either directly or indirectly.46909

       Sec. 5743.20.  No person shall sell any cigarettes both as a 46910
retail dealer and as a wholesale dealer at the same place of 46911
business. No person other than a licensed wholesale dealer shall 46912
sell cigarettes to a licensed retail dealer. No retail dealer 46913
shall purchase cigarettes from any person other than a licensed 46914
wholesale dealer.46915

       Subject to section 5743.031 of the Revised Code, a licensed 46916
wholesale dealer may not sell cigarettes to any person in this 46917
state other than a licensed retail dealer, except a licensed 46918
wholesale dealer may sell cigarettes to another licensed wholesale 46919
dealer if the tax commissioner has authorized the sale of the 46920
cigarettes between those wholesale dealers and the wholesale 46921
dealer that sells the cigarettes received them directly from a 46922
licensed manufacturer or licensed importer.46923

        The tax commissioner shall adopt rules governing sales of 46924
cigarettes between licensed wholesale dealers, including rules 46925
establishing criteria for authorizing such sales.46926

       No manufacturer or importer shall sell cigarettes to any 46927
person in this state other than to a licensed wholesale dealer or 46928
licensed importer. No importer shall purchase cigarettes from any 46929
person other than a licensed manufacturer or licensed importer.46930

       A retail dealer may purchase other tobacco products only from 46931
a licensed distributor. A licensed distributor may sell tobacco 46932
products only to a retail dealer, except a licensed distributor 46933
may sell tobacco products to another licensed distributor if the 46934
tax commissioner has authorized the sale of the tobacco products 46935
between those distributors and the distributor that sells the 46936
tobacco products received them directly from a manufacturer or 46937
importer of tobacco products.46938

        The tax commissioner may adopt rules governing sales of 46939
tobacco products between licensed distributors, including rules 46940
establishing criteria for authorizing such sales.46941

       The identities of licensed distributorscigarette 46942
manufacturers and importers, licensed cigarette wholesalers, 46943
licensed distributors of other tobacco products, and registered 46944
manufacturers, importers, and brokers of other tobacco products46945
are subject to public disclosure. The tax commissioner shall 46946
maintain an alphabetical list of all such distributors46947
manufacturers, importers, wholesalers, distributors, and brokers, 46948
shall post the list on a web site accessible to the public through 46949
the internet, and shall periodically update the web site posting.46950

       As used in this section, "licensed" means the manufacturer, 46951
importer, wholesale dealer, retail dealer, or distributor holds a 46952
current and valid license issued under section 5743.15 or 5743.61 46953
of the Revised Code, and "registered" means registered with the 46954
tax commissioner under section 5743.66 of the Revised Code.46955

       Sec. 5743.331.  Notwithstanding any other section in this 46956
chapter to the contrary, a person may use, store, or consume 46957
cigarettes with a wholesale value of not more than three hundred 46958
dollars in any month and not for resale in any qualifying border 46959
county without incurring liability for any tax levied under this 46960
chapter, and is not required to file any return that otherwise 46961
would be required under this chapter.46962

       As used in this section, "qualifying border county" is any 46963
county that shares a border with a state in which the total rate 46964
of excise tax on the sale or use of cigarettes exceeds the rate 46965
imposed by sections 5743.02 and 5743.32 of the Revised Code by at 46966
least forty-five mills per cigarette.46967

       Sec. 5745.02.  (A) The annual report filed under section46968
5745.03 of the Revised Code determines a taxpayer's Ohio net46969
income and the portion of Ohio net income to be apportioned to a46970
municipal corporation.46971

       (B) A taxpayer's Ohio net income is determined by multiplying 46972
the taxpayer's adjusted federal taxable income by the sum of the 46973
property factor multiplied by one-third, the payroll factor 46974
multiplied by one-third, and the sales factor multiplied by46975
one-third. If the denominator of one of the factors is zero, the46976
remaining two factors each shall be multiplied by one-half instead46977
of one-third; if the denominator of two of the factors is zero,46978
the remaining factor shall be multiplied by one. The property,46979
payroll, and sales factors shall be determined in the manner46980
prescribed by divisions (B)(1), (2), and (3) of this section.46981

       (1) The property factor is a fraction, the numerator of which46982
is the average value of the taxpayer's real and tangible personal46983
property owned or rented, and used in business in this state46984
during the taxable year, and the denominator of which is the46985
average value of all the taxpayer's real and tangible personal46986
property owned or rented, and used in business everywhere during46987
such year. Property owned by the taxpayer is valued at its46988
original cost. Property rented by the taxpayer is valued at eight46989
times the net annual rental rate. "Net annual rental rate" means46990
the annual rental rate paid by the taxpayer less any annual rental46991
rate received by the taxpayer from subrentals. The average value46992
of property shall be determined by averaging the values at the46993
beginning and the end of the taxable year, but the tax46994
commissioner may require the averaging of monthly values during46995
the taxable year, if reasonably required to reflect properly the46996
average value of the taxpayer's property.46997

       (2) The payroll factor is a fraction, the numerator of which46998
is the total amount paid in this state during the taxable year by46999
the taxpayer for compensation, and the denominator of which is the47000
total compensation paid everywhere by the taxpayer during such47001
year. Compensation means any form of remuneration paid to an47002
employee for personal services. Compensation is paid in this state 47003
if: (a) the recipient's service is performed entirely within this 47004
state, (b) the recipient's service is performed both within and 47005
without this state, but the service performed without this state 47006
is incidental to the recipient's service within this state, or (c) 47007
some of the service is performed within this state and either the 47008
base of operations, or if there is no base of operations, the 47009
place from which the service is directed or controlled is within 47010
this state, or the base of operations or the place from which the 47011
service is directed or controlled is not in any state in which 47012
some part of the service is performed, but the recipient's 47013
residence is in this state.47014

       (3) The sales factor is a fraction, the numerator of which is47015
the total sales in this state by the taxpayer during the taxable47016
year, and the denominator of which is the total sales by the47017
taxpayer everywhere during such year. Sales of electricity shall47018
be sitused to this state in the manner provided under section47019
5733.059 of the Revised Code. In determining the numerator and47020
denominator of the sales factor, receipts from the sale or other47021
disposal of a capital asset or an asset described in section 123147022
of the Internal Revenue Code shall be eliminated. Also, in47023
determining the numerator and denominator of the sales factor, in47024
the case of a reporting taxpayer owning at least eighty per cent47025
of the issued and outstanding common stock of one or more47026
insurance companies or public utilities, except an electric47027
company, a combined company, or a telephone company, or owning at47028
least twenty-five per cent of the issued and outstanding common47029
stock of one or more financial institutions, receipts received by47030
the reporting taxpayer from such utilities, insurance companies, 47031
and financial institutions shall be eliminated.47032

       For the purpose of division (B)(3) of this section, sales of47033
tangible personal property are in this state where such property47034
is received in this state by the purchaser. In the case of47035
delivery of tangible personal property by common carrier or by47036
other means of transportation, the place at which such property is47037
ultimately received after all transportation has been completed47038
shall be considered as the place at which such property is47039
received by the purchaser. Direct delivery in this state, other47040
than for purposes of transportation, to a person or firm47041
designated by a purchaser constitutes delivery to the purchaser in47042
this state, and direct delivery outside this state to a person or47043
firm designated by a purchaser does not constitute delivery to the47044
purchaser in this state, regardless of where title passes or other47045
conditions of sale.47046

       Sales, other than sales of electricity or tangible personal47047
property, are in this state if either the income-producing 47048
activity is performed solely in this state, or the 47049
income-producing activity is performed both within and without 47050
this state and a greater proportion of the income-producing 47051
activity is performed within this state than in any other state, 47052
based on costs of performance.47053

       For the purposes of division (B)(3) of this section, the tax 47054
commissioner may adopt rules to apportion sales within this state.47055

       (C) The portion of a taxpayer's Ohio net income taxable by47056
each municipal corporation imposing an income tax shall be47057
determined by multiplying the taxpayer's Ohio net income by the47058
sum of the municipal property factor multiplied by one-third, the47059
municipal payroll factor multiplied by one-third, and the47060
municipal sales factor multiplied by one-third, and subtracting47061
from the product so obtained any "municipal net operating loss47062
carryforward from prior taxable years." If the denominator of one47063
of the factors is zero, the remaining two factors each shall be47064
multiplied by one-half instead of one-third; if the denominator of47065
two of the factors is zero, the remaining factor shall be47066
multiplied by one. In calculating the "municipal net operating47067
loss carryforward from prior taxable years" for each municipal47068
corporation, net operating losses are apportioned in and out of a47069
municipal corporation for the taxable year in which the net47070
operating loss occurs in the same manner that positive net income47071
would have been so apportioned. Any net operating loss for a47072
municipal corporation may be applied to subsequent net income in47073
that municipal corporation to reduce that income to zero or until47074
the net operating loss has been fully used as a deduction. The47075
unused portion of net operating losses for each taxable year47076
apportioned to a municipal corporation may only be applied against47077
the income apportioned to that municipal corporation for five47078
subsequent taxable years. Net operating losses occurring in47079
taxable years ending before 2002 may not be subtracted under this47080
section.47081

       A taxpayer's municipal property, municipal payroll, and47082
municipal sales factors for a municipal corporation shall be47083
determined as provided in divisions (C)(1), (2), and (3) of this47084
section.47085

       (1) The municipal property factor is the quotient obtained by47086
dividing (a) the average value of real and tangible personal47087
property owned or rented by the taxpayer and used in business in47088
the municipal corporation during the taxable year by (b) the47089
average value of all of the taxpayer's real and tangible personal47090
property owned or rented and used in business during that taxable47091
year in this state. The value and average value of such property47092
shall be determined in the same manner provided in division (B)(1)47093
of this section.47094

       (2) The municipal payroll factor is the quotient obtained by47095
dividing (a) the total amount of compensation earned in the47096
municipal corporation by the taxpayer's employees during the47097
taxable year for services performed for the taxpayer and that is47098
subject to income tax withholding by the municipal corporation by47099
(b) the total amount of compensation paid by the taxpayer to its47100
employees in this state during the taxable year. Compensation has47101
the same meaning as in division (B)(2) of this section.47102

       (3) The municipal sales factor is a fraction, the numerator47103
of which is the taxpayer's total sales in a municipal corporation47104
during the taxable year, and the denominator of which is the47105
taxpayer's total sales in this state during such year.47106

       For the purpose of division (C)(3) of this section, sales of47107
tangible personal property are in the municipal corporation where47108
such property is received in the municipal corporation by the47109
purchaser. Sales of electricity directly to the consumercustomer, 47110
as defined in section 5733.059 of the Revised Code, shall be47111
considered sales of tangible personal property. In the case of the 47112
delivery of tangible personal property by common carrier or by47113
other means of transportation, the place at which such property47114
ultimately is received after all transportation has been completed47115
shall be considered as the place at which the property is received47116
by the purchaser. Direct delivery in the municipal corporation,47117
other than for purposes of transportation, to a person or firm47118
designated by a purchaser constitutes delivery to the purchaser in47119
that municipal corporation, and direct delivery outside the47120
municipal corporation to a person or firm designated by a47121
purchaser does not constitute delivery to the purchaser in that47122
municipal corporation, regardless of where title passes or other47123
conditions of sale. Sales, other than sales of tangible personal47124
property, are in the municipal corporation if either:47125

       (a) The income-producing activity is performed solely in the47126
municipal corporation;47127

       (b) The income-producing activity is performed both within47128
and without the municipal corporation and a greater proportion of47129
the income-producing activity is performed within that municipal47130
corporation than any other location in this state, based on costs47131
of performance.47132

       For the purposes of division (C)(3) of this section, the tax 47133
commissioner may adopt rules to apportion sales within each 47134
municipal corporation.47135

       (D) If a taxpayer is a combined company as defined in section47136
5727.01 of the Revised Code, the municipal property, payroll, and 47137
sales factors under division (C) of this section shall be adjusted 47138
as follows:47139

       (1) The numerator of the municipal property factor shall47140
include only the value, as determined under division (C)(1) of47141
this section, of the company's real and tangible property in the47142
municipal corporation attributed to the company's activity as an47143
electric company using the same methodology prescribed under47144
section 5727.03 of the Revised Code for taxable tangible personal47145
property.47146

       (2) The numerator of the municipal payroll factor shall47147
include only compensation paid in the municipal corporation by the47148
company to its employees for personal services rendered in the47149
company's activity as an electric company.47150

       (3) The numerator of the municipal sales factor shall include 47151
only the sales of tangible personal property and services, as 47152
determined under division (C)(3) of this section, made in the47153
municipal corporation in the course of the company's activity as47154
an electric company.47155

       (E)(1) If the provisions for apportioning adjusted federal47156
taxable income or Ohio net income under divisions (B), (C), and 47157
(D) of this section do not fairly represent business activity in 47158
this state or among municipal corporations, the tax commissioner 47159
may adopt rules for apportioning such income by an alternative47160
method that fairly represents business activity in this state or 47161
among municipal corporations.47162

       (2) If any of the factors determined under division (B), (C), 47163
or (D) of this section does not fairly represent the extent of a 47164
taxpayer's business activity in this state or among municipal47165
corporations, the taxpayer may request, or the tax commissioner47166
may require, that the taxpayer's adjusted federal taxable income47167
or Ohio net income be determined by an alternative method,47168
including any of the alternative methods enumerated in division47169
(B)(2)(d) of section 5733.05 of the Revised Code. A taxpayer47170
requesting an alternative method shall make the request in writing47171
to the tax commissioner either with the annual report, a timely47172
filed amended report, or a timely filed petition for reassessment.47173
When the tax commissioner requires or permits an alternative47174
method under division (E)(2) of this section, the tax commissioner47175
shall cause a written notice to that effect to be delivered to any47176
municipal corporation that would be affected by application of the47177
alternative method. Nothing in this division shall be construed47178
to extend any statute of limitations under this chapter.47179

       (F)(1) The tax commissioner may adopt rules providing for the 47180
combination of adjusted federal taxable incomes of taxpayers47181
satisfying the ownership or control requirements of section47182
5733.052 of the Revised Code if the tax commissioner finds that47183
such combinations are necessary to properly reflect adjusted47184
federal taxable income, Ohio net income, or the portion of Ohio47185
net income to be taxable by municipal corporations.47186

       (2) A taxpayer satisfying the ownership or control47187
requirements of section 5733.052 of the Revised Code with respect47188
to one or more other taxpayers may not combine their adjusted47189
federal taxable incomes for the purposes of this section unless47190
rules are adopted under division (F)(1) of this section allowing47191
such a combination or the tax commissioner finds that such a47192
combination is necessary to properly reflect the taxpayers'47193
adjusted federal taxable incomes, Ohio net incomes, or the portion47194
of Ohio net incomes to be subject to taxation within a municipal47195
corporation.47196

       (G) The tax commissioner may adopt rules providing for 47197
alternative apportionment methods for a telephone company.47198

       Sec. 5745.05.  (A) Prior to the first day of March, June,47199
September, and December, the tax commissioner shall certify to the47200
director of budget and management the amount to be paid to each47201
municipal corporation, as indicated on the declaration of47202
estimated tax reports and annual reports received under sections47203
5745.03 and 5745.04 of the Revised Code, less any amounts47204
previously distributed and net of any audit adjustments made by47205
the tax commissioner. Not later than the first day of March, June, 47206
September, and December, the director of budget and management 47207
shall provide for payment of the amount certified to each 47208
municipal corporation from the municipal income tax fund, plus a 47209
pro rata share of any investment earnings accruing to the fund 47210
since the previous payment under this section apportioned among 47211
municipal corporations entitled to such payments in proportion to 47212
the amount certified by the tax commissioner.47213

       (B) If the tax commissioner determines that the amount of tax47214
paid by a taxpayer and distributed to a municipal corporation47215
under this section for a taxable year exceeds the amount payable47216
to that municipal corporation under this chapter after accounting47217
for amounts remitted with the annual report and as estimated47218
taxes, the tax commissioner shall permit the taxpayer to credit47219
the excess against the taxpayer's payments to the municipal47220
corporation of estimated taxes remitted for an ensuing taxable47221
year under section 5745.04 of the Revised Code. If, upon the47222
written request of the taxpayer, the tax commissioner determines47223
that the excess to be so credited is likely to exceed the amount47224
of estimated taxes payable by the taxpayer to the municipal47225
corporation during the ensuing twelve months, the tax commissioner47226
shall so notify the municipal corporation and the municipal47227
corporation shall issue a refund of the excess to the taxpayer47228
within ninety days after receiving such a notice. Interest shall47229
accrue on the amount to be refunded and is payable to the taxpayer47230
at the rate per annum prescribed by section 5703.47 of the Revised47231
Code from the ninety-first day after the notice is received by the47232
municipal corporation until the day the refund is paid. 47233
Immediately after notifying a municipal corporation under this 47234
division of an excess to be refunded, the commissioner also shall 47235
notify the director of budget and management of the amount of the 47236
excess, and the director shall transfer from the municipal income 47237
tax administrative fund to the municipal income tax fund one and 47238
one-half per cent of the amount of the excess. The commissioner 47239
shall include the transferred amount in the computation of the 47240
amount due the municipal corporation in the next certification to 47241
the director under division (A) of this section.47242

       Sec. 5745.13.  If, upon examination of any books, records,47243
reports, or other documents of a taxpayer, the tax commissioner47244
determines that an adjustment shall be made in the portion of the47245
taxpayer's income that is to be apportioned to a municipal47246
corporation, the tax commissioner shall notify the taxpayer and,47247
if the adjustment causes an adjustment in the taxpayer's tax owed 47248
to a municipal corporation for the taxpayer's taxable year of more 47249
than five hundred dollars, shall notify each affectedthat47250
municipal corporation that the taxpayer's tax has been adjusted.47251

       Any municipal corporation to which such a notice is issued47252
may request a review and redetermination of the taxpayer's federal47253
taxable income, Ohio net income, or the portion of Ohio net income47254
apportioned to the municipal corporation by filing a petition with47255
the tax commissioner not later than sixty days after the tax47256
commissioner issues the notice. The petition shall be filed either 47257
personally or by certified mail, and shall indicate the objections 47258
of the municipal corporation.47259

       Upon receiving such a petition, if a hearing is requested the47260
tax commissioner shall assign a time and place for a hearing on47261
the petition and shall notify the petitioner of the time and place47262
of the hearing by ordinary mail. The tax commissioner may continue 47263
the hearing from time to time as necessary. The tax commissioner 47264
shall make any correction to the taxpayer's federal taxable 47265
income, Ohio net income, or apportionment of Ohio net income that 47266
the commissioner finds proper, and issue notice of any correction47267
by ordinary mail to the petitioner, to each other municipal 47268
corporation affected by the correction of the apportionment, and 47269
to the taxpayer. The tax commissioner's decision on the matter is 47270
final, and is not subject to further appeal.47271

       Sec. 5747.03.  (A) All money collected under this chapter47272
arising from the taxes imposed by section 5747.02 or 5747.41 of 47273
the Revised Code shall be credited to the general revenue fund, 47274
except that the treasurer of state shall:47275

       (1) Credit an amount equal to four and two-tenths per cent of 47276
those taxes collected under this chapter to the local government 47277
fund, which is hereby created in the state treasury, for47278
distribution in accordance with section 5747.50 of the Revised47279
Code;47280

       (2) Credit an amount equal to five and seven-tenths per cent 47281
of those taxes collected under this chapter to the library and47282
local government support fund, which is hereby created in the47283
state treasury, for distribution in accordance with section47284
5747.47 of the Revised Code;47285

       (3) At, at the beginning of each calendar quarter, credit to47286
the Ohio political party fund, pursuant to section 3517.16 of the47287
Revised Code, an amount equal to the total dollar value realized47288
from the taxpayer exercise of the income tax checkoff option on47289
tax forms processed during the preceding calendar quarter;47290

       (4) Credit an amount equal to six-tenths of one per cent of47291
those taxes collected under this chapter to the local government47292
revenue assistance fund for distribution in accordance with47293
section 5747.61 of the Revised Code.47294

       (B)(1) Following the crediting of moneys pursuant to division 47295
(A) of this section, the remainder deposited in the general 47296
revenue fund shall be distributed pursuant to division (F) of 47297
section 321.24 and section 323.156 of the Revised Code; to make 47298
subsidy payments to institutions of higher education from47299
appropriations to the Ohio board of regents; to support47300
expenditures for programs and services for the mentally ill,47301
mentally retarded, developmentally disabled, and elderly; for47302
primary and secondary education; for medical assistance; and for47303
any other purposes authorized by law, subject to the limitation47304
that at least fifty per cent of the income tax collected by the47305
state from the tax imposed by section 5747.02 of the Revised Code47306
shall be returned pursuant to Section 9 of Article XII, Ohio47307
Constitution.47308

       (2) To ensure that such constitutional requirement is47309
satisfied the tax commissioner shall, on or before the thirtieth47310
day of June of each year, from the best information available to47311
the tax commissioner, determine and certify for each county to the 47312
director of budget and management the amount of taxes collected 47313
under this chapter from the tax imposed under section 5747.02 of 47314
the Revised Code during the preceding calendar year that are 47315
required to be returned to the county by Section 9 of Article XII, 47316
Ohio Constitution. The director shall provide for payment from the47317
general revenue fund to the county in the amount, if any, that the 47318
sum of the amount so certified for that county exceeds the sum of 47319
the following:47320

       (a) The sum of the payments from the general revenue fund for 47321
the preceding calendar year credited to the credit of the county's47322
undivided income tax fund pursuant to division (F) of section47323
321.24 and section 323.156 of the Revised Code or made directly 47324
from the general revenue fund to political subdivisions located in 47325
the county;47326

       (b) The sum of the amounts from the general revenue fund47327
distributed in the county during the preceding calendar year for47328
subsidy payments to institutions of higher education from47329
appropriations to the Ohio board of regents; for programs and47330
services for mentally ill, mentally retarded, developmentally47331
disabled, and elderly persons; for primary and secondary47332
education; and for medical assistance.47333

       (c) TheIn the case of payments made by the director under 47334
this division in 2007, the total amount distributed to the county 47335
during the preceding calendar year from the local government fund 47336
and the local government revenue assistance fund, and, in the case 47337
of payments made by the director under this division in subsequent 47338
calendar years, the amount distributed to the county from the 47339
local communities fund;47340

       (d) TheIn the case of payments made by the director under 47341
this division in 2007, the total amount distributed to the county 47342
during the preceding calendar year from the library and local 47343
government support fund;47344

       (e) The amount distributed to the county during the preceding 47345
calendar year from the local government revenue assistance fund47346
and, in the case of payments made by the director under this 47347
division in subsequent calendar years, the amount distributed to 47348
the county from the local libraries fund.47349

       Payments under this division shall be credited to the47350
county's undivided income tax fund, except that, notwithstanding47351
section 5705.14 of the Revised Code, such payments may be47352
transferred by the board of county commissioners to the county47353
general fund by resolution adopted with the affirmative vote of47354
two-thirds of the members thereof.47355

       (C) All payments received in each month from taxes imposed47356
under Chapter 5748. of the Revised Code and any penalties or47357
interest thereon shall be paid into the school district income tax 47358
fund, which is hereby created in the state treasury, except that 47359
an amount equal to the following portion of such payments shall be 47360
paid into the general school district income tax administrative 47361
fund, which is hereby created in the state treasury:47362

       (1) One and three-quarters of one per cent of those received 47363
in fiscal year 1996;47364

       (2) One and one-half per cent of those received in fiscal47365
year 1997 and thereafter.47366

       Money in the school district income tax administrative fund47367
shall be used by the tax commissioner to defray costs incurred in47368
administering the school district's income tax, including the cost 47369
of providing employers with information regarding the rate of tax 47370
imposed by any school district. Any moneys remaining in the fund 47371
after such use shall be deposited in the school district income 47372
tax fund.47373

       All interest earned on moneys in the school district income 47374
tax fund shall be credited to the fund.47375

       (D)(1)(a) Within thirty days of the end of each calendar47376
quarter ending on the last day of March, June, September, and47377
December, the director of budget and management shall make a47378
payment from the school district income tax fund to each school47379
district for which school district income tax revenue was received 47380
during that quarter. The amount of the payment shall equal the 47381
balance in the school district's account at the end of that 47382
quarter.47383

       (b) After a school district ceases to levy an income tax, the47384
director of budget and management shall adjust the payments under 47385
division (D)(1)(a) of this section to retain sufficient money in47386
the school district's account to pay refunds. For the calendar 47387
quarters ending on the last day of March and December of the 47388
calendar year following the last calendar year the tax is levied, 47389
the director shall make the payments in the amount required under 47390
division (D)(1)(a) of this section. For the calendar quarter 47391
ending on the last day of June of the calendar year following the 47392
last calendar year the tax is levied, the director shall make a 47393
payment equal to nine-tenths of the balance in the account at the 47394
end of that quarter. For the calendar quarter ending on the last 47395
day of September of the calendar year following the last calendar 47396
year the tax is levied, the director shall make no payment. For 47397
the second and succeeding calendar years following the last 47398
calendar year the tax is levied, the director shall make one 47399
payment each year, within thirty days of the last day of June, in 47400
an amount equal to the balance in the district's account on the 47401
last day of June.47402

       (2) Moneys paid to a school district under this division47403
shall be deposited in its school district income tax fund. All47404
interest earned on moneys in the school district income tax fund47405
shall be apportioned by the tax commissioner pro rata among the47406
school districts in the proportions and at the times the districts 47407
are entitled to receive payments under this division.47408

       Sec. 5747.46.  As used in sections 5747.46 and 5747.47 of the 47409
Revised Code:47410

       (A) "Year's fund balance" means the amount credited to the47411
library and local government supportlibraries fund during a 47412
calendar year.47413

       (B) "Distribution year" means the calendar year during which 47414
a year's fund balance is distributed under section 5747.47 of the 47415
Revised Code.47416

       (C) "CPI" means the consumer price index for all urban47417
consumers (United States city average, all items), prepared by the 47418
United States department of labor, bureau of labor statistics.47419

       (D) "Inflation factor" means the quotient obtained by47420
dividing the CPI for May of the year preceding the distribution47421
year by the CPI for May of the second preceding year. If the the47422
quotient so obtained is less than one, the inflation factor shall47423
equal one.47424

       (E) "Population" means whichever of the following has most47425
recently been issued, as of the first day of June preceding the47426
distribution year:47427

       (1) The most recent decennial census figures that include47428
population figures for each county in the state;47429

       (2) The most current issue of "Current Population Reports:47430
Local Population Estimates" issued by the United States bureau of47431
the census that contains population estimates for each county in47432
the state and the state.47433

       (F) "County's equalization ratio for a distribution year"47434
means a percentage computed for that county as follows:47435

       (1) Square the per cent that the county's population is of47436
the state's population;47437

       (2) Divide the product so obtained by the per cent that the 47438
county's total entitlement for the preceding year is of all47439
counties' total entitlements for the preceding year;47440

       (3) Divide the quotient so obtained by the sum of the47441
quotients so obtained for all counties.47442

       (G) "Total entitlement" means, with respect to a distribution 47443
year, the sum of a county's guaranteed share plus its share of the 47444
excess.47445

       (1) "Guaranteed share" means, for a distribution year, the47446
product obtained by multiplying a county's total entitlement for47447
the preceding distribution year by the inflaction factor. If the47448
sum of the guaranteed shares for all counties exceeds the year's47449
fund balance, the guaranteed shares of all counties shall be47450
reduced by a percentage that will result in the sum of such47451
guaranteed shares being equal to the year's fund balance.47452

       (2) "Share of excess" means, for a distribution year, the47453
product obtained by multiplying a county's equalization ratio by47454
the difference between the year's fund balance and the sum of the47455
guaranteed shares for all counties. If the sum of the guaranteed47456
shares for all counties exceeds the year's fund balance the share47457
of the excess for all counties is zero.47458

       (H) "Net distribution" means the sum of the payments made to 47459
a county's library and local government supportlibraries fund 47460
during a distribution year, adjusted as follows:47461

       (1) If the county received an overpayment during the47462
preceding distribution year, add the amount of the overpayment;47463

       (2) If the county received an underpayment during the47464
preceding distribution year, deduct the amount of the47465
underpayment.47466

       (I) "Overpayment" or "underpayment" for a distribution year 47467
means the amount by which the net distribution to a county's47468
library and local government supportlibraries fund during that47469
distribution year exceeded or was less than the county's total47470
entitlement for that year.47471

       All computations made under this section shall be rounded to 47472
the nearest one-hundredth of one per cent.47473

       Sec. 5747.47. (A)(1) By the twentieth day of July of each 47474
year, the tax commissioner shall estimate and certify the 47475
following for each county to its county auditor:47476

       (a) Its guaranteed share of the ensuing year's fund balance;47477

       (b) Its share of the excess of the ensuing year's fund 47478
balance;47479

       (c) Its total entitlement.47480

       (2) In December and in June following such estimations and 47481
certifications, the commissioner shall revise such estimates and 47482
certify such revised estimates to the respective county auditors.47483

       (B) By the tenth day of each month the commissioner shall 47484
distribute the amount credited to the library and local government 47485
supportlibraries fund from taxes collected under this chapter 47486
during the preceding monthin the current month under section 47487
131.51 of the Revised Code. The distributions shall be made as 47488
follows:47489

       (1) During the first six months of each year, each county 47490
shall be paid a percentage of the balance that is the same per 47491
cent that the revised estimate of the county's total entitlement 47492
certified in December under division (A)(2) of this section is of 47493
the sum of such revised estimates of the total entitlements for 47494
all counties.47495

       (2) During the last six months, each county shall be paid a 47496
percentage of the balance that is the same per cent that the 47497
revised estimate of the county's total entitlement certified in 47498
June under division (A)(2) of this section is of the sum of such 47499
revised estimates of the total entitlements for all counties.47500

       (3) During each of the first six months of each year, the 47501
payments made to each county shall be adjusted as follows:47502

       (a) If the county received an overpayment during the 47503
preceding distribution year, reduce the sum of the payments by the 47504
amount of such overpayment. The reduction shall be apportioned 47505
over the six months.47506

       (b) If the county received an underpayment during the 47507
preceding distribution year, increase the sum of the payments by 47508
the amount of such underpayment. The increase shall be apportioned 47509
over the six months.47510

       (C) By the twentieth day of December of each year, the tax 47511
commissioner shall determine and certify to the auditor of each 47512
county each of the following with respect to the current 47513
distribution year:47514

       (1) The year's fund balance;47515

       (2) Each county's guaranteed share;47516

       (3) Each county's share of the excess;47517

       (4) Each county's total entitlement;47518

       (5) Each county's net distribution;47519

       (6) The amount by which each county's net distribution 47520
exceeded or was less than its total entitlement, which amount 47521
shall constitute the county's overpayment or underpayment for 47522
purposes of division (B)(3) of this section in the ensuing 47523
distribution year.47524

       Sec. 5747.48.  On the fifteenth day of each month, the county 47525
treasurer shall distribute the balance in the county library and47526
local government supportlibraries fund among the county, boards 47527
of public library trustees, municipal corporations, and boards of 47528
township park commissioners for which the county budget commission 47529
has fixed an allocation from the fund in that year in accordance 47530
with section 5705.32 of the Revised Code in the same proportions 47531
that each such entity's allocation as fixed by the commission is 47532
of the total of all such allocations in that year.47533

       All money received into the treasury of a municipal47534
corporation or county shall be credited to the general fund47535
therein, provided that in a municipal corporation there shall be47536
credited to the funds established under division (D) of section47537
5705.09 of the Revised Code a portion of the total amount to be47538
credited to funds of the municipal corporation, which portion47539
shall be determined by multiplying the total amount to be credited 47540
by the percentage that the funds credited under division (D) of 47541
said section in 1938 bore to all the funds credited under said 47542
section in 1938. If a municipal corporation is in default with 47543
respect to the principal or interest of any outstanding notes or 47544
bonds, the moneys distributed under this section shall be credited 47545
to the funds established under divisions (A), (B), (C), and (D) of 47546
section 5705.09 of the Revised Code, in the same proportion in 47547
which the funds derived from the levy for the previous year on the 47548
general tax list and duplicate are divided.47549

       Sec. 5747.50.  (A) As used in this section:47550

       (1) "County's proportionate share of the calendar year 2007 47551
LGF and LGRAF distributions" means the percentage computed for the 47552
county under division (B)(1)(a) of section 5747.501 of the Revised 47553
Code for use in the current calendar year.47554

       (2) "1983 share" means the sum of all payments made to a47555
county under section 5747.50 of the Revised Code during 1983 under 47556
all versions of such section that were in effect during such year 47557
plus the payments made to the county's undivided local government 47558
fund in 1983 from the tax imposed on deposits under division (C) 47559
of section 5707.03 of the Revised Code.47560

       (3) "Amount available for distribution under division (B) of 47561
this section" means for any calendar year, both of the following:47562

       (a) Nine-tenths of the difference between the amount47563
available for distribution under this section during that year and 47564
the deposit tax revenue of all counties;47565

       (b) The deposit tax revenue of all counties less six million 47566
dollars. 47567

       Each year, an amount equal to the amount available for47568
distribution under division (B) of this section shall be47569
distributed from the local government fund as provided in that47570
division. The balance in the fund available for distribution in47571
that year under this section and not available for distribution47572
under this division shall be distributed in accordance with47573
division (C) of this section. The tax commissioner shall determine 47574
in each month what proportion of that month's local government 47575
fund balance shall be distributed under division (B) of this 47576
section and what proportion shall be distributed under division 47577
(C) of this section"County's proportionate share of the total 47578
amount of the local communities fund additional revenue formula" 47579
means each county's proportionate share of the state's population 47580
as determined for and certified to the county for distributions to 47581
be made during the current calendar year under division (B)(2)(a) 47582
of section 5747.501 of the Revised Code. If prior to the first day 47583
of January of the current calendar year the federal government has 47584
issued a revision to the population figures reflected in the 47585
estimate produced pursuant to division (B)(2)(a) of section 47586
5747.501 of the Revised Code, such revised population figures 47587
shall be used for making the distributions during the current 47588
calendar year.47589

       (3) "2007 LGF and LGRAF county distribution base available in 47590
that month" means the lesser of the amounts described in division 47591
(A)(3)(a) and (b) of this section, provided that the amount shall 47592
not be less than zero:47593

       (a) The total amount available for distribution to counties 47594
from the local communities fund during the current month.47595

       (b) The total amount distributed to counties from the local 47596
government fund and the local government revenue assistance fund 47597
to counties in calendar year 2007 less the total amount 47598
distributed to counties under division (B)(1) of this section 47599
during previous months of the current calendar year.47600

       (4) "Local communities fund additional revenue distribution 47601
base available during that month" means the total amount available 47602
for distribution to counties during the month from the local 47603
communities fund, less any amounts to be distributed in that month 47604
from the local communities fund under division (B)(1) of this 47605
section, provided that the local communities fund additional 47606
revenue distribution base available during that month shall not be 47607
less than zero.47608

       (5) "Total amount available for distribution to counties" 47609
means the total amount available for distribution from the local 47610
communities fund during the current month less the total amount 47611
available for distribution to municipal corporations during the 47612
current month under division (C) of this section. 47613

       (B) On or before the tenth day of each month, the tax47614
commissioner shall provide for payment to the county treasurer of47615
each county of an amount equal to the sum of:47616

       (1) The county's proportionate share of the calendar year 47617
2007 LGF and LGRAF distributions multiplied by the 2007 LGF and 47618
LGRAF county distribution base available in that month, provided 47619
that if the 2007 LGF and LGRAF county distribution base available 47620
in that month is zero, no payment shall be made under division 47621
(B)(1) of this section for the month or the remainder of the 47622
calendar year; and47623

       (2) The county's proportionate share of the total amount of 47624
the local governmentcommunities fund additional revenue formula 47625
multiplied by the local communities fund additional revenue 47626
distribution base available for distribution during that month 47627
under this division, except as otherwise provided and in such a 47628
way that on the last day of each calendar year, each county shall 47629
have received an amount equal to its proportionate share of the 47630
amount available for distribution under this division during that 47631
year. Counties whose proportionate shares are less than their 1983 47632
shares shall receive an amount equal to their 1983 shares during 47633
the year in lieu of their proportionate shares, and the amounts 47634
required to be paid to all other counties shall be proportionately 47635
reduced to fund such deficiency. If any county receives payments 47636
in any year that exceed the amount to which it is entitled, that 47637
excess shall be deducted from the payments due the county in the 47638
ensuing calendar year and apportioned among and paid to the 47639
counties that did not receive any such excess.47640

       The amount paid to any county in any month shall not be less 47641
than twenty-five thousand dollars unless a smaller payment is 47642
required in order to avoid paying that county more during the year 47643
than the amount to which it is entitled for that year.47644

       Money received into the treasury of a county under this47645
division shall be credited to the undivided local government47646
communities fund in the treasury of the county on or before the 47647
fifteenth day of each month. TheOn or before the twentieth day of 47648
each month, the county auditor shall issue warrants against all of 47649
the undivided local governmentcommunities fund in the county 47650
treasury in the respective amounts allowed as provided in section 47651
5747.51 of the Revised Code, and the treasurer shall distribute 47652
and pay such sums to the subdivision therein. 47653

       (C)(1) As used in division (C) of this section:47654

       (a) "Total amount available for distribution to 47655
municipalities during the current month" means the product 47656
obtained by multiplying the total amount available for 47657
distribution from the local communities fund during the current 47658
month by the aggregate municipal share.47659

       (b) "Aggregate municipal share" means the quotient obtained 47660
by dividing the total amount distributed directly from the local 47661
government fund to municipal corporations during calendar year 47662
2007 by the total distributions from the local government fund and 47663
local government revenue assistance fund during calendar year 47664
2007.47665

       (2) On or before the tenth day of each month, the tax47666
commissioner shall provide for payment from the local communities 47667
fund to each municipal corporation which had in effect during the 47668
preceding calendar year a tax imposed under Chapter 718. of the 47669
Revised Code. The amount paid to each municipal corporation shall 47670
bear the samean amount equal to the product derived by 47671
multiplying the municipal corporation's percentage toof the total 47672
amount to be distributed to all such municipal corporations under 47673
this division as the total income taxes collected by such 47674
municipal corporation during the secondcalendar year preceding 47675
the year in which distribution is made bears to the total amount 47676
of such taxes collected by all municipal corporations during such 47677
period2007 by the total amount available for distribution to 47678
municipal corporations during the current month. Payments47679

       (3) Payments received by a municipal corporation under this 47680
division shall be paid into its general fund and may be used for 47681
any lawful purpose. 47682

       (4) The amount distributed to municipal corporations under 47683
this division during any calendar year shall not exceed the amount 47684
distributed directly from the local government fund to municipal 47685
corporations during calendar year 2007. If that maximum amount is 47686
reached during any month, distributions to municipal corporations 47687
in that month shall be as provided in divisions (C)(1) and (2) of 47688
this section, but no further distributions shall be made to 47689
municipal corporations under division (C) of this section during 47690
the remainder of the calendar year.47691

       (5) Upon being informed of a municipal corporation's 47692
dissolution, the tax commissioner shall cease providing for 47693
payments to that municipal corporation under division (C) of this 47694
section. The proportionate shares of the total amount available 47695
for distribution to each of the remaining municipal corporations 47696
under this division shall be increased on a pro rata basis.47697

       (D) Each municipal corporation which has in effect a tax47698
imposed under Chapter 718. of the Revised Code shall, no later47699
than the thirty-first day of August of each year, certify to the47700
tax commissioner the total amount of income taxes collected by47701
such municipal corporation pursuant to such chapter during the47702
preceding calendar year. The tax commissioner shallmay withhold47703
payment of local governmentcommunities fund moneys pursuant to 47704
division (C) of this section from any municipal corporation for 47705
failure to comply with this reporting requirement.47706

       Sec. 5747.501.  (A) ByOn or before the fifteenth47707
twenty-fifth day of DecemberJuly of each year, the tax 47708
commissioner shall estimate and certify to each county auditor the47709
amount to be paid intodistributed from the local government47710
communities fund for distribution to each undivided local 47711
communities fund during the following calendar year under section 47712
5747.50 of the Revised Code. The commissionerestimate shall then 47713
determineequal the sum of the separate amounts that would be paid 47714
to each county if the amount so certified were distributed47715
computed under divisions (A)(B)(1) and (2) of this section as 47716
follows:47717

       (1)(a) As used in this division and in section 5747.50 of the 47718
Revised Code, "deposit tax revenue" means one hundred forty-five 47719
and forty-five one-hundredths per cent of the payments made to the 47720
county's undivided local government fund in 1983 from the tax 47721
imposed on deposits under division (C) of section 5707.03 of the 47722
Revised Code.47723

       (b) Compute each county's deposit tax revenue.47724

       (c) Determine how much each county would receive if47725
nine-tenths of the difference between the amount certified under47726
division (A) of this section and the sum of all counties' deposit47727
tax revenues, less six million dollars, were allocated among the47728
counties in the following year as follows:47729

       (i) Seventy-five per cent of said amount shall be apportioned 47730
in the ratio that the total of the real, public utility, and 47731
tangible personal property tax duplicates of the municipal 47732
corporations, or parts thereof, in the county for the year next 47733
preceding the year in which the computation is made bears to the 47734
total aggregate real, public utility, and tangible personal 47735
property tax duplicates of all the municipal corporations in the 47736
state for the same year.47737

       (ii) Twenty-five per cent shall be apportioned among all the 47738
counties in the ratio that the population of the county at the 47739
last federal decennial census bears to the total population of the 47740
state.47741

       (iii) Adjust the sum of the allocations under divisions47742
(A)(1)(c)(i) and (ii) for each county so that the sum allocated to 47743
each county under those divisions is at least two hundred47744
twenty-five thousand dollars. If such an adjustment is made, the47745
sum of the apportionments to the counties for which no adjustment47746
is necessary shall be proportionately reduced so that the sum of47747
the allocations to all counties equals the amount to be allocated47748
under divisions (A)(1)(c)(i) to (iii) of this section.47749

       (d) Add the amount allocated to each county under division47750
(A)(1)(c) to its deposit tax revenue.47751

       (2) Determine how much each county would receive if47752
nine-tenths of the amount certified by the commissioner, less six47753
million dollars, were allocated in the manner prescribed by47754
division (A)(1)(c) of this section.47755

       (B) Upon the completion of the computations required by47756
division (A) of this section, the commissioner shall assign to47757
each county, the amount computed for it under division (A)(1)(d)47758
of this section or the amount computed under division (A)(2) of47759
this section, whichever is the higher amount, and compute the per47760
cent that the assigned amount for each county is of the sum of the 47761
assigned amounts for all counties. The percentage so computed 47762
shall be the proportionate share of the county for the following 47763
calendar year for purposes of making the distributions required by 47764
section 5747.50 of the Revised Code(1) The product obtained by 47765
multiplying the percentage described in division (B)(1)(a) of this 47766
section by the amount described in division (B)(1)(b) of this 47767
section.47768

       (a) Each county's proportionate share of the total amount 47769
distributed to the counties from the local government fund and the 47770
local government revenue assistance fund during calendar year 47771
2007.47772

       (b) The total amount distributed to counties from the local 47773
government fund and the local government revenue assistance fund 47774
during calendar year 2007 adjusted downward if, and to the extent 47775
that, total local communities fund distributions to counties for 47776
the following year are projected to be less than what was 47777
distributed to counties from the local government fund and local 47778
government revenue assistance fund during calendar year 2007.47779

       (2) The product obtained by multiplying the percentage 47780
described in division (B)(2)(a) of this section by the amount 47781
described in division (B)(2)(b) of this section.47782

       (a) Each county's proportionate share of the state's 47783
population as reflected in the most recent federal decennial 47784
census or the federal government's most recent census estimates, 47785
whichever represents the most recent year.47786

       (b) The amount by which total estimated distributions from 47787
the local communities fund during the immediately succeeding 47788
calendar year, less the total estimated amount to be distributed 47789
from the fund to municipal corporations under division (C) of 47790
section 5747.50 of the Revised Code during the immediately 47791
succeeding calendar year, exceed the total amount distributed to 47792
counties from the local government fund and local government 47793
revenue assistance fund during calendar year 2007.47794

       Sec. 5747.51.  (A) Within ten days afterOn or before the 47795
fifteenthtwenty-fifth day of July of each year, the tax 47796
commissioner shall make and certify to the county auditor of each 47797
county an estimate of the amount of the local government47798
communities fund to be allocated to the undivided local government47799
communities fund of each county for the ensuing calendar year and47800
the estimated amount to be received by the undivided local47801
governmentcommunities fund of each county from the taxes levied 47802
pursuant to section 5707.03 of the Revised Code for the ensuing 47803
calendar year.47804

       (B) At each annual regular session of the county budget47805
commission convened pursuant to section 5705.27 of the Revised47806
Code, each auditor shall present to the commission the certificate47807
of the commissioner, the annual tax budget and estimates, and the47808
records showing the action of the commission in its last preceding47809
regular session. The estimates shown on the certificate of the47810
commissioner of the amount to be allocated from the local47811
governmentcommunities fund and the amount to be received from47812
taxes levied pursuant to section 5707.03 of the Revised Code shall 47813
be combined into one total comprising the estimate of the47814
undivided local governmentcommunities fund of the county. The 47815
commission, after extending to the representatives of each 47816
subdivision an opportunity to be heard, under oath administered by 47817
any member of the commission, and considering all the facts and 47818
information presented to it by the auditor, shall determine the 47819
amount of the undivided local governmentcommunities fund needed 47820
by and to be apportioned to each subdivision for current operating 47821
expenses, as shown in the tax budget of the subdivision. This 47822
determination shall be made pursuant to divisions (C) to (I) of 47823
this section, unless the commission has provided for a formula 47824
pursuant to section 5747.53 of the Revised Code.47825

       Nothing in this section prevents the budget commission, for47826
the purpose of apportioning the undivided local government47827
communities fund, from inquiring into the claimed needs of any47828
subdivision as stated in its tax budget, or from adjusting claimed 47829
needs to reflect actual needs. For the purposes of this section,47830
"current operating expenses" means the lawful expenditures of a47831
subdivision, except those for permanent improvements and except47832
payments for interest, sinking fund, and retirement of bonds,47833
notes, and certificates of indebtedness of the subdivision.47834

       (C) The commission shall determine the combined total of the47835
estimated expenditures, including transfers, from the general fund47836
and any special funds other than special funds established for47837
road and bridge; street construction, maintenance, and repair;47838
state highway improvement; and gas, water, sewer, and electric47839
public utilities operated by a subdivision, as shown in the47840
subdivision's tax budget for the ensuing calendar year.47841

       (D) From the combined total of expenditures calculated47842
pursuant to division (C) of this section, the commission shall47843
deduct the following expenditures, if included in these funds in47844
the tax budget:47845

       (1) Expenditures for permanent improvements as defined in47846
division (E) of section 5705.01 of the Revised Code;47847

       (2) In the case of counties and townships, transfers to the47848
road and bridge fund, and in the case of municipalities, transfers47849
to the street construction, maintenance, and repair fund and the47850
state highway improvement fund;47851

       (3) Expenditures for the payment of debt charges;47852

       (4) Expenditures for the payment of judgments.47853

       (E) In addition to the deductions made pursuant to division47854
(D) of this section, revenues accruing to the general fund and any47855
special fund considered under division (C) of this section from47856
the following sources shall be deducted from the combined total of47857
expenditures calculated pursuant to division (C) of this section:47858

       (1) Taxes levied within the ten-mill limitation, as defined47859
in section 5705.02 of the Revised Code;47860

       (2) The budget commission allocation of estimated county47861
library and local government supportlibraries fund revenues to be47862
distributed pursuant to section 5747.48 of the Revised Code;47863

       (3) Estimated unencumbered balances as shown on the tax47864
budget as of the thirty-first day of December of the current year47865
in the general fund, but not any estimated balance in any special47866
fund considered in division (C) of this section;47867

       (4) Revenue, including transfers, shown in the general fund47868
and any special funds other than special funds established for47869
road and bridge; street construction, maintenance, and repair;47870
state highway improvement; and gas, water, sewer, and electric47871
public utilities, from all other sources except those that a47872
subdivision receives from an additional tax or service charge47873
voted by its electorate or receives from special assessment or47874
revenue bond collection. For the purposes of this division, where47875
the charter of a municipal corporation prohibits the levy of an47876
income tax, an income tax levied by the legislative authority of47877
such municipal corporation pursuant to an amendment of the charter47878
of that municipal corporation to authorize such a levy represents47879
an additional tax voted by the electorate of that municipal47880
corporation. For the purposes of this division, any measure47881
adopted by a board of county commissioners pursuant to section47882
322.02, 324.02, 4504.02, or 5739.021 of the Revised Code,47883
including those measures upheld by the electorate in a referendum47884
conducted pursuant to section 322.021, 324.021, 4504.021, or47885
5739.022 of the Revised Code, shall not be considered an47886
additional tax voted by the electorate.47887

       Subject to division (G) of section 5705.29 of the Revised47888
Code, money in a reserve balance account established by a county,47889
township, or municipal corporation under section 5705.13 of the47890
Revised Code shall not be considered an unencumbered balance or47891
revenue under division (E)(3) or (4) of this section. Money in a 47892
reserve balance account established by a township under section 47893
5705.132 of the Revised Code shall not be considered an 47894
unencumbered balance or revenue under division (E)(3) or (4) of 47895
this section.47896

       If a county, township, or municipal corporation has created47897
and maintains a nonexpendable trust fund under section 5705.131 of47898
the Revised Code, the principal of the fund, and any additions to47899
the principal arising from sources other than the reinvestment of47900
investment earnings arising from such a fund, shall not be47901
considered an unencumbered balance or revenue under division47902
(E)(3) or (4) of this section. Only investment earnings arising47903
from investment of the principal or investment of such additions47904
to principal may be considered an unencumbered balance or revenue47905
under those divisions.47906

       (F) The total expenditures calculated pursuant to division47907
(C) of this section, less the deductions authorized in divisions47908
(D) and (E) of this section, shall be known as the "relative need"47909
of the subdivision, for the purposes of this section.47910

       (G) The budget commission shall total the relative need of47911
all participating subdivisions in the county, and shall compute a47912
relative need factor by dividing the total estimate of the47913
undivided local government fund by the total relative need of all47914
participating subdivisions.47915

       (H) The relative need of each subdivision shall be multiplied 47916
by the relative need factor to determine the proportionate share 47917
of the subdivision in the undivided local governmentcommunities47918
fund of the county; provided, that the maximum proportionate share 47919
of a county shall not exceed the following maximum percentages of 47920
the total estimate of the undivided local governmentcommunities47921
fund governed by the relationship of the percentage of the 47922
population of the county that resides within municipal47923
corporations within the county to the total population of the47924
county as reported in the reports on population in Ohio by the47925
department of development as of the twentieth day of July of the47926
year in which the tax budget is filed with the budget commission:47927

Percentage of Percentage share 47928
municipal population of the county 47929
within the county: shall not exceed: 47930
Less than forty-one per cent Sixty per cent 47931
Forty-one per cent or more but less 47932
than eighty-one per cent Fifty per cent 47933
Eighty-one per cent or more Thirty per cent 47934

       Where the proportionate share of the county exceeds the47935
limitations established in this division, the budget commission47936
shall adjust the proportionate shares determined pursuant to this47937
division so that the proportionate share of the county does not47938
exceed these limitations, and it shall increase the proportionate47939
shares of all other subdivisions on a pro rata basis. In counties47940
having a population of less than one hundred thousand, not less47941
than ten per cent shall be distributed to the townships therein.47942

       (I) The proportionate share of each subdivision in the47943
undivided local governmentcommunities fund determined pursuant to 47944
division (H) of this section for any calendar year shall not be 47945
less than the product of the average of the percentages of the 47946
undivided local government fund of the county as apportioned to 47947
that subdivision for the calendar years 1968, 1969, and 1970,47948
multiplied by the total amount of the undivided local government47949
fund of the county apportioned pursuant to former section 5735.2347950
of the Revised Code for the calendar year 1970. For the purposes47951
of this division, the total apportioned amount for the calendar47952
year 1970 shall be the amount actually allocated to the county in47953
1970 from the state collected intangible tax as levied by section47954
5707.03 of the Revised Code and distributed pursuant to section47955
5725.24 of the Revised Code, plus the amount received by the47956
county in the calendar year 1970 pursuant to division (B)(1) of47957
former section 5739.21 of the Revised Code, and distributed47958
pursuant to former section 5739.22 of the Revised Code. If the47959
total amount of the undivided local governmentcommunities fund 47960
for any calendar year is less than the amount of the undivided 47961
local government fund apportioned pursuant to former section 47962
5739.23 of the Revised Code for the calendar year 1970, the 47963
minimum amount guaranteed to each subdivision for that calendar 47964
year pursuant to this division shall be reduced on a basis 47965
proportionate to the amount by which the amount of the undivided 47966
local governmentcommunities fund for that calendar year is less 47967
than the amount of the undivided local government fund apportioned 47968
for the calendar year 1970.47969

       (J) On the basis of such apportionment, the county auditor47970
shall compute the percentage share of each such subdivision in the47971
undivided local governmentcommunities fund and shall at the same 47972
time certify to the tax commissioner the percentage share of the47973
county as a subdivision. No payment shall be made from the47974
undivided local governmentcommunities fund, except in accordance 47975
with such percentage shares.47976

       Within ten days after the budget commission has made its47977
apportionment, whether conducted pursuant to section 5747.51 or47978
5747.53 of the Revised Code, the auditor shall publish a list of47979
the subdivisions and the amount each is to receive from the47980
undivided local governmentcommunities fund and the percentage 47981
share of each subdivision, in a newspaper or newspapers of 47982
countywide circulation, and send a copy of such allocation to the 47983
tax commissioner.47984

       The county auditor shall also send by certified mail, return47985
receipt requested, a copy of such allocation to the fiscal officer47986
of each subdivision entitled to participate in the allocation of47987
the undivided local governmentcommunities fund of the county.47988
This copy shall constitute the official notice of the commission47989
action referred to in section 5705.37 of the Revised Code.47990

       All money received into the treasury of a subdivision from47991
the undivided local governmentcommunities fund in a county 47992
treasury shall be paid into the general fund and used for the 47993
current operating expenses of the subdivision.47994

       If a municipal corporation maintains a municipal university,47995
such municipal university, when the board of trustees so requests47996
the legislative authority of the municipal corporation, shall47997
participate in the money apportioned to such municipal corporation47998
from the total local governmentcommunities fund, however created 47999
and constituted, in such amount as requested by the board of 48000
trustees, provided such sum does not exceed nine per cent of the 48001
total amount paid to the municipal corporation.48002

       If any public official fails to maintain the records required48003
by sections 5747.50 to 5747.55 of the Revised Code or by the rules48004
issued by the tax commissioner, the auditor of state, or the48005
treasurer of state pursuant to such sections, or fails to comply48006
with any law relating to the enforcement of such sections, the48007
local governmentcommunities fund money allocated to the county48008
shallmay be withheld until such time as the public official has48009
complied with such sections or such law or the rules issued48010
pursuant thereto.48011

       Sec. 5747.52.  The form used by the county budget commission 48012
to calculate subdivision shares of the undivided local government48013
communities fund as apportioned pursuant to section 5747.51 of the48014
Revised Code shall be as follows:48015

Calculation of (name of subdivision) share of
48016

undivided local
government
communities
fund for
48017

(name of county) county
48018

Authorized expenditure for subdivision Total 48019
1. Estimated expenditures from general fund ..... 48020
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 ..... 48021
3. Total ..... 48022
Deductions from authorized expenditures 48023
4. Expenditures for permanent improvements ..... 48024
5. Transfers to road and bridge fund (counties and townships only) ..... 48025
6. Transfers to street construction, maintenance, and repair, and state highway improvements funds ..... 48026
7. Expenditures for the payment of debt charges ..... 48027
8. Expenditures for the payment of judgments ..... 48028
9. Taxes levied inside the "ten-mill limitation" ..... 48029
10. Budget commission allocation of estimated county library and local government support libraries fund revenues ..... 48030
11. Estimated unemcumbered balances as of December 31 of current year in the general funds as stated in the tax budget ..... 48031
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 ..... 48032
13. Total ..... 48033
Calculation of subdivision share 48034
14. Relative need of subdivision (line 3 less line 13) ..... 48035
15. Relative need factor for county (total estimate of undivided local government communities fund divided by total relative need of all participating subdivisions) ..... 48036
16. Proportionate share of subdivision (relative need of subdivision multiplied by relative need factor) ..... 48037
17. After any adjustments necessary to comply with statutory maximum share allowable to county ..... 48038
18. After any adjustments necessary to comply with statutory minimum share allowable to townships ..... 48039
19. After any adjustments necessary to comply with minimum guarantee in division (I) of section 5747.51 of the Revised Code ..... 48040
20. Proportionate share of subdivision (line 16, 17, 18, or 19, whichever is appropriate) ..... 48041

       Sec. 5747.53.  (A) As used in this section:48042

       (1) "City, located wholly or partially in the county, with48043
the greatest population" means the city, located wholly or48044
partially in the county, with the greatest population residing in48045
the county; however, if the county budget commission on or before48046
January 1, 1998, adopted an alternative method of apportionment48047
that was approved by the legislative authority of the city,48048
located partially in the county, with the greatest population but48049
not the greatest population residing in the county, "city, located48050
wholly or partially in the county, with the greatest population"48051
means the city, located wholly or partially in the county, with48052
the greatest population whether residing in the county or not, if48053
this alternative meaning is adopted by action of the board of48054
county commissioners and a majority of the boards of township48055
trustees and legislative authorities of municipal corporations48056
located wholly or partially in the county. If the county budget 48057
commission adopted a method or formula for apportioning the 48058
undivided local government fund under this section as this section 48059
existed on the effective date of its amendment by H.B. 119 of the 48060
127th general assembly, and, if it were not for the amendment 48061
replacing "undivided local government fund" with "undivided local 48062
communities fund" the undivided local government fund would have 48063
been apportioned among subdivisions eligible to participate in the 48064
fund on the basis of such method or formula, then such method or 48065
formula shall be used to apportion the undivided local communities 48066
fund among subdivisions eligible to participate in the fund.48067

       (2) "Participating political subdivision" means a municipal48068
corporation or township that satisfies all of the following:48069

       (a) It is located wholly or partially in the county.48070

       (b) It is not the city, located wholly or partially in the48071
county, with the greatest population.48072

       (c) Undivided local governmentcommunities fund moneys are 48073
apportioned to it under the county's alternative method or formula 48074
of apportionment in the current calendar year.48075

       (B) In lieu of the method of apportionment of the undivided48076
local governmentcommunities fund of the county provided by48077
section 5747.51 of the Revised Code, the county budget commission48078
may provide for the apportionment of the fund under an alternative 48079
method or on a formula basis as authorized by this section.48080

       Except as otherwise provided in division (C) of this section,48081
the alternative method of apportionment shall have first been48082
approved by all of the following governmental units: the board of48083
county commissioners; the legislative authority of the city,48084
located wholly or partially in the county, with the greatest48085
population; and a majority of the boards of township trustees and48086
legislative authorities of municipal corporations, located wholly48087
or partially in the county, excluding the legislative authority of48088
the city, located wholly or partially in the county, with the48089
greatest population. In granting or denying approval for an48090
alternative method of apportionment, the board of county48091
commissioners, boards of township trustees, and legislative48092
authorities of municipal corporations shall act by motion. A48093
motion to approve shall be passed upon a majority vote of the48094
members of a board of county commissioners, board of township48095
trustees, or legislative authority of a municipal corporation,48096
shall take effect immediately, and need not be published.48097

       Any alternative method of apportionment adopted and approved48098
under this division may be revised, amended, or repealed in the48099
same manner as it may be adopted and approved. If an alternative48100
method of apportionment adopted and approved under this division48101
is repealed, the undivided local governmentcommunities fund of 48102
the county shall be apportioned among the subdivisions eligible to48103
participate in the fund, commencing in the ensuing calendar year,48104
under the apportionment provided in section 5747.52 of the Revised48105
Code, unless the repeal occurs by operation of division (C) of48106
this section or a new method for apportionment of the fund is48107
provided in the action of repeal.48108

       (C) This division applies only in counties in which the city,48109
located wholly or partially in the county, with the greatest48110
population has a population of twenty thousand or less and a48111
population that is less than fifteen per cent of the total48112
population of the county. In such a county, the legislative48113
authorities or boards of township trustees of two or more48114
participating political subdivisions, which together have a48115
population residing in the county that is a majority of the total48116
population of the county, each may adopt a resolution to exclude48117
the approval otherwise required of the legislative authority of48118
the city, located wholly or partially in the county, with the48119
greatest population. All of the resolutions to exclude that48120
approval shall be adopted not later than the first Monday of48121
August of the year preceding the calendar year in which48122
distributions are to be made under an alternative method of48123
apportionment.48124

       A motion granting or denying approval of an alternative48125
method of apportionment under this division shall be adopted by a48126
majority vote of the members of the board of county commissioners48127
and by a majority vote of a majority of the boards of township48128
trustees and legislative authorities of the municipal corporations48129
located wholly or partially in the county, other than the city,48130
located wholly or partially in the county, with the greatest48131
population, shall take effect immediately, and need not be48132
published. The alternative method of apportionment under this48133
division shall be adopted and approved annually, not later than48134
the first Monday of August of the year preceding the calendar year48135
in which distributions are to be made under it. A motion granting48136
approval of an alternative method of apportionment under this48137
division repeals any existing alternative method of apportionment,48138
effective with distributions to be made from the fund in the48139
ensuing calendar year. An alternative method of apportionment48140
under this division shall not be revised or amended after the48141
first Monday of August of the year preceding the calendar year in48142
which distributions are to be made under it.48143

       (D) In determining an alternative method of apportionment48144
authorized by this section, the county budget commission may48145
include in the method any factor considered to be appropriate and48146
reliable, in the sole discretion of the county budget commission.48147

       (E) The limitations set forth in section 5747.51 of the48148
Revised Code, stating the maximum amount that the county may48149
receive from the undivided local governmentcommunities fund and 48150
the minimum amount the townships in counties having a population 48151
of less than one hundred thousand may receive from the fund, are48152
applicable to any alternative method of apportionment authorized48153
under this section.48154

       (F) On the basis of any alternative method of apportionment48155
adopted and approved as authorized by this section, as certified48156
by the auditor to the county treasurer, the county treasurer shall48157
make distribution of the money in the undivided local government48158
communities fund to each subdivision eligible to participate in 48159
the fund, and the auditor, when the amount of those shares is in 48160
the custody of the treasurer in the amounts so computed to be due 48161
the respective subdivisions, shall at the same time certify to the 48162
tax commissioner the percentage share of the county as a 48163
subdivision. All money received into the treasury of a subdivision 48164
from the undivided local governmentcommunities fund in a county48165
treasury shall be paid into the general fund and used for the48166
current operating expenses of the subdivision. If a municipal48167
corporation maintains a municipal university, the university, when48168
the board of trustees so requests the legislative authority of the 48169
municipal corporation, shall participate in the money apportioned 48170
to the municipal corporation from the total local government48171
communities fund, however created and constituted, in the amount 48172
requested by the board of trustees, provided that amount does not48173
exceed nine per cent of the total amount paid to the municipal48174
corporation.48175

       (G) The actions of the county budget commission taken48176
pursuant to this section are final and may not be appealed to the48177
board of tax appeals, except on the issues of abuse of discretion48178
and failure to comply with the formula.48179

       Sec. 5747.54.  The tax commissioner shall not distributemay 48180
withhold distributions of local governmentcommunities fund money 48181
to any county where the county auditor has failed to certify to 48182
the tax commissioner the percentage share of the undivided local 48183
governmentcommunities fund of the county as a subdivision for the 48184
year for which distribution is to be made. The director shallof 48185
budget and management may direct the tax commissioner to withhold 48186
from sucha county the percentage of the amount distributable 48187
thereto that constitutes the share of the county as a subdivision 48188
of the local communities fund so long as such county is indebted 48189
or otherwise obligated to the state, until such indebtedness or 48190
other obligation has been duly paid, but no distribution of such 48191
percentage share of the local governmentcommunities fund shall be 48192
withheld unless an itemized statement of such indebtedness is 48193
furnished the county auditor of the county from which the 48194
indebtedness is due at least thirty days prior to the withholding 48195
of the distribution.48196

       Any indebtedness or obligation of the state to a county shall 48197
be deducted from the amount owing to the state by such county in 48198
determining the indebtedness or obligation as to which48199
distribution is withheld.48200

       Sec. 5747.55.  The action of the county budget commission48201
under sections 5747.51 and 5747.62 of the Revised Code may be48202
appealed to the board of tax appeals in the manner and with the48203
effect provided in section 5705.37 of the Revised Code, in48204
accordance with the following rules:48205

       (A) The notice of appeal shall be signed by the authorized48206
fiscal officer and shall set forth in clear and concise language:48207

       (1) A statement of the action of the budget commission48208
appealed from, and the date of the receipt by the subdivision of48209
the official certificate or notice of such action;48210

       (2) The error or errors the taxing district believes the48211
budget commission made;48212

       (3) The specific relief sought by the taxing district.48213

       (B) The notice of appeal shall have attached thereto:48214

       (1) A certified copy of the resolution of the taxing48215
authority authorizing the fiscal officer to file the appeal;48216

       (2) An exact copy of the official certificate, or notice of 48217
the action of the budget commission appealed from;48218

       (3) An exact copy of the budget request filed with the budget 48219
commission by the complaining subdivision, with the date of filing 48220
noted thereon.48221

       (C) There shall also be attached to the notice of appeal a48222
statement showing:48223

       (1) The name of the fund involved, the total amount in48224
dollars allocated, and the exact amount in dollars allocated to48225
each participating subdivision;48226

       (2) The amount in dollars which the complaining subdivision 48227
believes it should have received;48228

       (3) The name of each participating subdivision, as well as48229
the name and address of the fiscal officer thereof, that the48230
complaining subdivision believes received more than its proper48231
share of the allocation, and the exact amount in dollars of such48232
alleged over-allocation.48233

       (D) Only the participating subdivisions named pursuant to48234
division (C) of this section are to be considered as appellees48235
before the board of tax appeals and no change shall, in any48236
amount, be made in the amount allocated to participating48237
subdivisions not appellees.48238

       (E) The total of the undivided local government fund or,48239
undivided local government revenue assistance fund, or local 48240
communities fund to be allocated by the board of tax appeals upon 48241
appeal is the total of that fund allocated by the budget 48242
commission to those subdivisions which are appellants and 48243
appellees before the board of tax appeals.48244

       Sec. 5747.77.  (A) As used in this section:48245

       (1) "Alternative fuel" means E85 blend fuel or blended 48246
biodiesel.48247

       (2) "Biodiesel" means a mono-alkyl ester combustible liquid 48248
fuel that is derived from vegetable oils or animal fats, or any 48249
combination of those reagents that meets the American society for 48250
testing and materials specification for biodiesel fuel (B100) 48251
blend stock distillate fuels.48252

       (3) "Blended biodiesel" means a blend of biodiesel with 48253
petroleum based diesel fuel in which the resultant product 48254
contains not less than twenty per cent biodiesel and meets the 48255
American society for testing and materials specification for 48256
blended diesel fuel.48257

       (4) "Diesel fuel" means any liquid fuel that is capable of 48258
use in discrete form or as a blend component in the operation of 48259
engines of the diesel type.48260

       (5) "Ethanol" means fermentation ethyl alcohol derived from 48261
agricultural products, including potatoes, cereal, grains, cheese 48262
whey, and sugar beets; forest products; or other renewable 48263
resources, including residue and waste generated from the 48264
production, processing, and marketing of agricultural products, 48265
forest products, and other renewable resources that meet all of 48266
the specifications in the American society for testing and 48267
materials (ASTM) specification D 4806-88 and is denatured as 48268
specified in Parts 20 and 21 of Title 27 of the Code of Federal 48269
Regulations.48270

       (6) "E85 blend fuel" means fuel containing eighty-five per 48271
cent or more ethanol, or containing any other percentage of not 48272
less than seventy per cent ethanol if the United States department 48273
of energy determines, by rule, that the lower percentage is 48274
necessary to provide for the requirements of cold start, safety, 48275
or other vehicle functions, and that meets the American society 48276
for testing and materials specification for E85 blend fuel.48277

       (7) "Retail dealer" means any person that is a taxpayer under 48278
this chapter that owns or operates a retail service station 48279
located in this state.48280

       (8) "Retail service station" means a location from which 48281
alternative fuel is sold to the general public and is dispensed or 48282
pumped directly into motor vehicle fuel tanks for consumption.48283

       (B) For taxable years ending in 2008 or 2009, there is hereby 48284
allowed a nonrefundable credit against the tax imposed by section 48285
5747.02 of the Revised Code for a retail dealer that sells 48286
alternative fuel. The credit for a dealer's taxable year ending in 48287
2008 shall equal fifteen cents per gallon of alternative fuel sold 48288
and dispensed through a metered pump at the retail dealer's retail 48289
service station during any part of calendar year 2007 or 2008 48290
included in that taxable year. The credit for a dealer's taxable 48291
year ending in 2009 shall equal fifteen cents per gallon of 48292
alternative fuel sold and dispensed through a metered pump at the 48293
retail dealer's retail service station during any part of calendar 48294
year 2008 included in that taxable year, plus thirteen cents per 48295
gallon of alternative fuel sold and dispensed in that manner 48296
during any part of calendar year 2009 included in that taxable 48297
year.48298

       The credit shall be calculated separately for each retail 48299
service station owned or operated by the retail dealer. The credit 48300
allowed under this section may not be claimed for alternative fuel 48301
sold or dispensed before January 1, 2008, or on or after January 48302
1, 2010.48303

       (C) The retail dealer shall claim the credit under this 48304
section in the order prescribed in section 5747.98 of the Revised 48305
Code. The credit shall not exceed the amount of tax otherwise due 48306
under section 5747.02 of the Revised Code after deducting any 48307
other credits that precede the credit claimed under this section 48308
in that order.48309

       (D) Nothing in this section limits or disallows pass-through 48310
treatment of the credit if the retail dealer is a pass-through 48311
entity. If the retail dealer is a pass-through entity, references 48312
in other divisions of this section to "taxable year" refer to the 48313
dealer's taxable year; an equity owner of the entity that is a 48314
taxpayer may claim the owner's distributive or proportionate share 48315
of the credit for the equity owner's taxable year that includes 48316
the last day of the entity's taxable year.48317

       Sec. 5747.98.  (A) To provide a uniform procedure for48318
calculating the amount of tax due under section 5747.02 of the48319
Revised Code, a taxpayer shall claim any credits to which the48320
taxpayer is entitled in the following order:48321

       (1) The retirement income credit under division (B) of48322
section 5747.055 of the Revised Code;48323

       (2) The senior citizen credit under division (C) of section48324
5747.05 of the Revised Code;48325

       (3) The lump sum distribution credit under division (D) of48326
section 5747.05 of the Revised Code;48327

       (4) The dependent care credit under section 5747.054 of the48328
Revised Code;48329

       (5) The lump sum retirement income credit under division (C)48330
of section 5747.055 of the Revised Code;48331

       (6) The lump sum retirement income credit under division (D)48332
of section 5747.055 of the Revised Code;48333

       (7) The lump sum retirement income credit under division (E)48334
of section 5747.055 of the Revised Code;48335

       (8) The low-income credit under section 5747.056 of the 48336
Revised Code;48337

       (9) The credit for displaced workers who pay for job training 48338
under section 5747.27 of the Revised Code;48339

       (10) The campaign contribution credit under section 5747.2948340
of the Revised Code;48341

       (11) The twenty-dollar personal exemption credit under48342
section 5747.022 of the Revised Code;48343

       (12) The joint filing credit under division (G) of section48344
5747.05 of the Revised Code;48345

       (13) The nonresident credit under division (A) of section48346
5747.05 of the Revised Code;48347

       (14) The credit for a resident's out-of-state income under48348
division (B) of section 5747.05 of the Revised Code;48349

       (15) The credit for employers that enter into agreements with 48350
child day-care centers under section 5747.34 of the Revised Code;48351

       (16) The credit for employers that reimburse employee child 48352
care expenses under section 5747.36 of the Revised Code;48353

       (17) The credit for adoption of a minor child under section48354
5747.37 of the Revised Code;48355

       (18) The credit for purchases of lights and reflectors under48356
section 5747.38 of the Revised Code;48357

       (19) The job retention credit under division (B) of section48358
5747.058 of the Revised Code;48359

       (20) The credit for purchases of new manufacturing machinery48360
and equipment under section 5747.26 or section 5747.261for 48361
selling alternative fuel under section 5747.77 of the Revised 48362
Code;48363

       (21) The second credit for purchases of new manufacturing48364
machinery and equipment and the credit for using Ohio coal under48365
section 5747.31 of the Revised Code;48366

       (22) The job training credit under section 5747.39 of the48367
Revised Code;48368

       (23) The enterprise zone credit under section 5709.66 of the48369
Revised Code;48370

       (24) The credit for the eligible costs associated with a48371
voluntary action under section 5747.32 of the Revised Code;48372

       (25) The credit for employers that establish on-site child48373
day-care centers under section 5747.35 of the Revised Code;48374

       (26) The ethanol plant investment credit under section48375
5747.75 of the Revised Code;48376

       (27) The credit for purchases of qualifying grape production48377
property under section 5747.28 of the Revised Code;48378

       (28) The export sales credit under section 5747.057 of the48379
Revised Code;48380

       (29) The credit for research and development and technology48381
transfer investors under section 5747.33 of the Revised Code;48382

       (30) The enterprise zone credits under section 5709.65 of the48383
Revised Code;48384

       (31) The research and development credit under section 48385
5747.331 of the Revised Code;48386

       (32) The refundable credit for rehabilitating a historic 48387
building under section 5747.76 of the Revised Code;48388

       (33) The refundable jobs creation credit under division (A)48389
of section 5747.058 of the Revised Code;48390

       (34) The refundable credit for taxes paid by a qualifying48391
entity granted under section 5747.059 of the Revised Code;48392

       (35) The refundable credits for taxes paid by a qualifying48393
pass-through entity granted under division (J) of section 5747.0848394
of the Revised Code;48395

       (36) The refundable credit for tax withheld under division48396
(B)(1) of section 5747.062 of the Revised Code;48397

       (37) The refundable credit under section 5747.80 of the 48398
Revised Code for losses on loans made to the Ohio venture capital 48399
program under sections 150.01 to 150.10 of the Revised Code.48400

       (B) For any credit, except the credits enumerated in 48401
divisions (A)(32) to (37) of this section and the credit granted 48402
under division (I) of section 5747.08 of the Revised Code, the 48403
amount of the credit for a taxable year shall not exceed the tax 48404
due after allowing for any other credit that precedes it in the 48405
order required under this section. Any excess amount of a 48406
particular credit may be carried forward if authorized under the 48407
section creating that credit. Nothing in this chapter shall be 48408
construed to allow a taxpayer to claim, directly or indirectly, a48409
credit more than once for a taxable year.48410

       Sec. 5748.01.  As used in this chapter:48411

       (A) "School district income tax" means an income tax adopted 48412
under one of the following:48413

       (1) Former section 5748.03 of the Revised Code as it existed 48414
prior to its repeal by Amended Substitute House Bill No. 291 of 48415
the 115th general assembly;48416

       (2) Section 5748.03 of the Revised Code as enacted in48417
Substitute Senate Bill No. 28 of the 118th general assembly;48418

       (3) Section 5748.08 of the Revised Code as enacted in Amended48419
Substitute Senate Bill No. 17 of the 122nd general assembly;48420

       (4) Section 5748.021 of the Revised Code;48421

       (5) Section 5748.081 of the Revised Code.48422

       (B) "Individual" means an individual subject to the tax48423
levied by section 5747.02 of the Revised Code.48424

       (C) "Estate" means an estate subject to the tax levied by48425
section 5747.02 of the Revised Code.48426

       (D) "Taxable year" means a taxable year as defined in48427
division (M) of section 5747.01 of the Revised Code.48428

       (E) "Taxable income" means:48429

       (1) In the case of an individual, one of the following, as 48430
specified in the resolution imposing the tax:48431

       (a) Ohio adjusted gross income for the taxable year as 48432
defined in division (A) of section 5747.01 of the Revised Code, 48433
less the exemptions provided by section 5747.02 of the Revised 48434
Code;48435

       (b) Wages, salaries, tips, and other employee compensation to 48436
the extent included in Ohio adjusted gross income as defined in 48437
section 5747.01 of the Revised Code, and net earnings from 48438
self-employment, as defined in section 1402(a) of the Internal 48439
Revenue Code, to the extent included in Ohio adjusted gross 48440
income.48441

       (2) In the case of an estate, taxable income for the taxable 48442
year as defined in division (S) of section 5747.01 of the Revised 48443
Code.48444

       (F) "Resident" of the school district means:48445

       (1) An individual who is a resident of this state as defined 48446
in division (I) of section 5747.01 of the Revised Code during all 48447
or a portion of the taxable year and who, during all or a portion 48448
of such period of state residency, is domiciled in the school 48449
district or lives in and maintains a permanent place of abode in 48450
the school district;48451

       (2) An estate of a decedent who, at the time of death, was 48452
domiciled in the school district.48453

       (G) "School district income" means:48454

       (1) With respect to an individual, the portion of the taxable 48455
income of an individual that is received by the individual during 48456
the portion of the taxable year that the individual is a resident 48457
of the school district and the school district income tax is in 48458
effect in that school district. An individual may have school 48459
district income with respect to more than one school district.48460

       (2) With respect to an estate, the taxable income of the48461
estate for the portion of the taxable year that the school48462
district income tax is in effect in that school district.48463

       (H) "Taxpayer" means an individual or estate having school48464
district income upon which a school district income tax is48465
imposed.48466

       (I) "School district purposes" means any of the purposes for 48467
which a tax may be levied pursuant to section 5705.21 of the48468
Revised Code, including the combined purposes authorized by 48469
section 5705.217 of the Revised Code.48470

       Sec. 5748.02.  (A) The board of education of any school48471
district, except a joint vocational school district, may declare, 48472
by resolution, the necessity of raising annually a specified 48473
amount of money for school district purposes. The resolution shall 48474
specify whether the income that is to be subject to the tax is 48475
taxable income of individuals and estates as defined in divisions 48476
(E)(1)(a) and (2) of section 5748.01 of the Revised Code or 48477
taxable income of individuals as defined in division (E)(1)(b) of 48478
that section. A copy of the resolution shall be certified to the 48479
tax commissioner no later than eighty-five days prior to the date 48480
of the election at which the board intends to propose a levy under 48481
this section. Upon receipt of the copy of the resolution, the tax 48482
commissioner shall estimate both of the following:48483

       (1) The property tax rate that would have to be imposed in48484
the current year by the district to produce an equivalent amount48485
of money;48486

       (2) The income tax rate that would have had to have been in 48487
effect for the current year to produce an equivalent amount of48488
money from a school district income tax.48489

       Within ten days of receiving the copy of the board's48490
resolution, the commissioner shall prepare these estimates and48491
certify them to the board. Upon receipt of the certification, the 48492
board may adopt a resolution proposing an income tax under48493
division (B) of this section at the estimated rate contained in48494
the certification rounded to the nearest one-fourthone-tenth of 48495
one per cent. The commissioner's certification applies only to the48496
board's proposal to levy an income tax at the election for which48497
the board requested the certification. If the board intends to48498
submit a proposal to levy an income tax at any other election, it48499
shall request another certification for that election in the48500
manner prescribed in this division.48501

       (B)(1) Upon the receipt of a certification from the tax48502
commissioner under division (A) of this section, a majority of the 48503
members of a board of education may adopt a resolution proposing 48504
the levy of an annual tax for school district purposes on school 48505
district income. The proposed levy may be for a continuing period 48506
of time or for a specified number of years. The resolution shall 48507
set forth the purpose for which the tax is to be imposed, the rate 48508
of the tax, which shall be the rate set forth in the 48509
commissioner's certification rounded to the nearest one-fourth48510
one-tenth of one per cent, the number of years the tax will be 48511
levied or that it will be levied for a continuing period of time, 48512
the date on which the tax shall take effect, which shall be the 48513
first day of January of any year following the year in which the 48514
question is submitted, and the date of the election at which the 48515
proposal shall be submitted to the electors of the district, which 48516
shall be on the date of a primary, general, or special election 48517
the date of which is consistent with section 3501.01 of the 48518
Revised Code. The resolution shall specify whether the income that 48519
is to be subject to the tax is taxable income of individuals and 48520
estates as defined in divisions (E)(1)(a) and (2) of section 48521
5748.01 of the Revised Code or taxable income of individuals as 48522
defined in division (E)(1)(b) of that section. The specification 48523
shall be the same as the specification in the resolution adopted 48524
and certified under division (A) of this section. If48525

       If the tax is to be levied for current expenses and permanent 48526
improvements, the resolution shall apportion the annual rate of 48527
the tax. The apportionment may be the same or different for each 48528
year the tax is levied, but the respective portions of the rate 48529
actually levied each year for current expenses and for permanent 48530
improvements shall be limited by the apportionment.48531

       If the board of education currently imposes an income tax 48532
pursuant to this chapter that is due to expire and a question is 48533
submitted under this section for a proposed income tax to take48534
effect upon the expiration of the existing tax, the board may 48535
specify in the resolution that the proposed tax renews the48536
expiring tax and is not an additional income tax, provided that 48537
the tax rate being proposed is no higher than the tax rate that is 48538
currently imposed.48539

       (2) A board of education adopting a resolution under division 48540
(B)(1) of this section proposing a school district income tax for 48541
a continuing period of time and limited to the purpose of current 48542
expenses may propose in that resolution to reduce the rate or 48543
rates of one or more of the school district's property taxes 48544
levied for a continuing period of time in excess of the ten-mill 48545
limitation for the purpose of current expenses. The reduction in 48546
the rate of a property tax may be any amount, expressed in mills 48547
per one dollar in valuation, not exceeding the rate at which the 48548
tax is authorized to be levied. The reduction in the rate of a tax 48549
shall first take effect for the tax year that includes the day on 48550
which the school district income tax first takes effect, and shall 48551
continue for each tax year that both the school district income 48552
tax and the property tax levy are in effect.48553

       In addition to the matters required to be set forth in the48554
resolution under division (B)(1) of this section, a resolution48555
containing a proposal to reduce the rate of one or more property48556
taxes shall state for each such tax the maximum rate at which it48557
currently may be levied and the maximum rate at which the tax48558
could be levied after the proposed reduction, expressed in mills48559
per one dollar in valuation, and that the tax is levied for a48560
continuing period of time.48561

       If a board of education proposes to reduce the rate of one or 48562
more property taxes under division (B)(2) of this section, the48563
board, when it makes the certification required under division (A) 48564
of this section, shall designate the specific levy or levies to be 48565
reduced, the maximum rate at which each levy currently is48566
authorized to be levied, and the rate by which each levy is48567
proposed to be reduced. The tax commissioner, when making the48568
certification to the board under division (A) of this section,48569
also shall certify the reduction in the total effective tax rate48570
for current expenses for each class of property that would have48571
resulted if the proposed reduction in the rate or rates had been48572
in effect the previous tax year. As used in this paragraph,48573
"effective tax rate" has the same meaning as in section 323.08 of48574
the Revised Code.48575

       (C) A resolution adopted under division (B) of this section 48576
shall go into immediate effect upon its passage, and no48577
publication of the resolution shall be necessary other than that48578
provided for in the notice of election. Immediately after its48579
adoption and at least seventy-five days prior to the election at48580
which the question will appear on the ballot, a copy of the48581
resolution shall be certified to the board of elections of the48582
proper county, which shall submit the proposal to the electors on48583
the date specified in the resolution. The form of the ballot shall 48584
be as provided in section 5748.03 of the Revised Code. Publication 48585
of notice of the election shall be made in one or more newspapers 48586
of general circulation in the county once a week for two 48587
consecutive weeks prior to the election, and, if the board of 48588
elections operates and maintains a web site, the board of 48589
elections shall post notice of the election on its web site for 48590
thirty days prior to the election. The notice shall contain the 48591
time and place of the election and the question to be submitted to 48592
the electors. The question covered by the resolution shall be48593
submitted as a separate proposition, but may be printed on the48594
same ballot with any other proposition submitted at the same48595
election, other than the election of officers.48596

       (D) No board of education shall submit the question of a tax 48597
on school district income to the electors of the district more 48598
than twice in any calendar year. If a board submits the question 48599
twice in any calendar year, one of the elections on the question 48600
shall be held on the date of the general election.48601

       (E)(1) No board of education may submit to the electors of 48602
the district the question of a tax on school district income on 48603
the taxable income of individuals as defined in division (E)(1)(b) 48604
of section 5748.01 of the Revised Code if that tax would be in 48605
addition to an existing tax on the taxable income of individuals 48606
and estates as defined in divisions (E)(1)(a) and (2) of that 48607
section.48608

        (2) No board of education may submit to the electors of the 48609
district the question of a tax on school district income on the 48610
taxable income of individuals and estates as defined in divisions 48611
(E)(1)(a) and (2) of section 5748.01 of the Revised Code if that 48612
tax would be in addition to an existing tax on the taxable income 48613
of individuals as defined in division (E)(1)(b) of that section.48614

       Sec. 5748.021. A board of education that levies a tax under 48615
section 5748.02 of the Revised Code on the school district income 48616
of individuals and estates as defined in divisions (G) and 48617
(E)(1)(a) and (2) of section 5748.01 of the Revised Code may 48618
declare, at any time, by a resolution adopted by a majority of its 48619
members, the necessity of raising annually a specified amount of 48620
money for school district purposes by replacing the existing tax 48621
with a tax on the school district income of individuals as defined 48622
in divisions (G)(1) and (E)(1)(b) of section 5748.01 of the 48623
Revised Code. The specified amount of money to be raised annually 48624
may be the same as, or more or less than, the amount of money 48625
raised annually by the existing tax.48626

       The board shall certify a copy of the resolution to the tax 48627
commissioner not later than the eighty-fifth day before the date 48628
of the election at which the board intends to propose the 48629
replacement to the electors of the school district. Not later than 48630
the tenth day after receiving the resolution, the tax commissioner 48631
shall estimate the tax rate that would be required in the school 48632
district annually to raise the amount of money specified in the 48633
resolution. The tax commissioner shall certify the estimate to the 48634
board.48635

       Upon receipt of the tax commissioner's estimate, the board 48636
may propose, by a resolution adopted by a majority of its members, 48637
to replace the existing tax on the school district income of 48638
individuals and estates as defined in divisions (G) and (E)(1)(a) 48639
and (2) of section 5748.01 of the Revised Code with the levy of an 48640
annual tax on the school district income of individuals as defined 48641
in divisions (G)(1) and (E)(1)(b) of section 5748.01 of the 48642
Revised Code. In the resolution, the board shall specify the rate 48643
of the replacement tax, whether the replacement tax is to be 48644
levied for a specified number of years or for a continuing time, 48645
the specific school district purposes for which the replacement 48646
tax is to be levied, the date on which the replacement tax will 48647
begin to be levied, the date of the election at which the question 48648
of the replacement is to be submitted to the electors of the 48649
school district, that the existing tax will cease to be levied and 48650
the replacement tax will begin to be levied if the replacement is 48651
approved by a majority of the electors voting on the replacement, 48652
and that if the replacement is not approved by a majority of the 48653
electors voting on the replacement the existing tax will remain in 48654
effect under its original authority for the remainder of its 48655
previously approved term. The resolution goes into immediate 48656
effect upon its adoption. Publication of the resolution is not 48657
necessary, and the information that will be provided in the notice 48658
of election is sufficient notice. At least seventy-five days 48659
before the date of the election at which the question of the 48660
replacement will be submitted to the electors of the school 48661
district, the board shall certify a copy of the resolution to the 48662
board of elections.48663

       The replacement tax shall have the same specific school 48664
district purposes as the existing tax, and its rate shall be the 48665
same as the tax commissioner's estimate rounded to the nearest 48666
one-fourthone-tenth of one per cent. The replacement tax shall 48667
begin to be levied on the first day of January of the year 48668
following the year in which the question of the replacement is 48669
submitted to and approved by the electors of the school district 48670
or on the first day of January of a later year, as specified in 48671
the resolution. The date of the election shall be the date of an 48672
otherwise scheduled primary, general, or special election.48673

       The board of elections shall make arrangements to submit the 48674
question of the replacement to the electors of the school district 48675
on the date specified in the resolution. The board of elections 48676
shall publish notice of the election on the question of the 48677
replacement in one or more newspapers of general circulation in 48678
the school district once a week for four consecutive weeks. The 48679
notice shall set forth the question to be submitted to the 48680
electors and the time and place of the election thereon.48681

       The question shall be submitted to the electors of the school 48682
district as a separate proposition, but may be printed on the same 48683
ballot with other propositions that are submitted at the same 48684
election, other than the election of officers. The form of the 48685
ballot shall be substantially as follows:48686

       "Shall the existing tax of ..... (state the rate) on the 48687
school district income of individuals and estates imposed by ..... 48688
(state the name of the school district) be replaced by a tax of 48689
..... (state the rate) on the earned income of individuals 48690
residing in the school district for ..... (state the number of 48691
years the tax is to be in effect or that it will be in effect for 48692
a continuing time), beginning ..... (state the date the new tax 48693
will take effect), for the purpose of ..... (state the specific 48694
school district purposes of the tax)? If the new tax is not 48695
approved, the existing tax will remain in effect under its 48696
original authority, for the remainder of its previously approved 48697
term.48698

For replacing the existing tax with the new tax 48699
Against replacing the existing tax with the new tax  " 48700

       The board of elections shall conduct and canvass the election 48701
in the same manner as regular elections in the school district for 48702
the election of county officers. The board shall certify the 48703
results of the election to the board of education and to the tax 48704
commissioner. If a majority of the electors voting on the question 48705
vote in favor of the replacement, the existing tax shall cease to 48706
be levied, and the replacement tax shall begin to be levied, on 48707
the date specified in the ballot question. If a majority of the 48708
electors voting on the question vote against the replacement, the 48709
existing tax shall continue to be levied under its original 48710
authority, for the remainder of its previously approved term.48711

       A board of education may not submit the question of replacing 48712
a tax more than twice in a calendar year. If a board submits the 48713
question more than once, one of the elections at which the 48714
question is submitted shall be on the date of a general election.48715

       If a board of education later intends to renew a replacement 48716
tax levied under this section, it shall repeat the procedure 48717
outlined in this section to do so, the replacement tax then being 48718
levied being the "existing tax" and the renewed replacement tax 48719
being the "replacement tax."48720

       Sec. 5748.022.  A majority of the members of a board of 48721
education of a school district levying a tax under section 5748.02 48722
of the Revised Code may adopt a resolution reducing the rate of 48723
the tax by a multiple of one-tenth of one per cent.48724

       The resolution shall set forth the current rate of the tax, 48725
the reduced rate of tax that results from adoption of the 48726
resolution, the purpose or purposes for which the tax is levied, 48727
the remaining number of years the tax will be levied or that it is 48728
levied for a continuing period of time, and the date on which the 48729
reduced tax rate shall take effect, which shall be the ensuing 48730
first day of January occurring at least sixty days after a copy of 48731
the resolution is certified to the tax commissioner.48732

       Sec. 5748.04. (A) The question of the repeal of a school48733
district income tax levied for more than five years may be48734
initiated not more than once in any five-year period by filing48735
with the board of elections of the appropriate counties not later48736
than seventy-five days before the general election in any year48737
after the year in which it is approved by the electors a petition48738
requesting that an election be held on the question. The petition48739
shall be signed by qualified electors residing in the school48740
district levying the income tax equal in number to ten per cent of48741
those voting for governor at the most recent gubernatorial48742
election.48743

       The board of elections shall determine whether the petition48744
is valid, and if it so determines, it shall submit the question to48745
the electors of the district at the next general election. The48746
election shall be conducted, canvassed, and certified in the same48747
manner as regular elections for county offices in the county.48748
Notice of the election shall be published in a newspaper of48749
general circulation in the district once a week for two 48750
consecutive weeks prior to the election, and, if the board of 48751
elections operates and maintains a web site, the board of 48752
elections shall post notice of the election on its web site for 48753
thirty days prior to the election. The notice shall state the 48754
purpose, time, and place of the election. The form of the ballot 48755
cast at the election shall be as follows:48756

       "Shall the annual income tax of ..... per cent, currently48757
levied on the school district income of individuals and estates by48758
.......... (state the name of the school district) for the purpose48759
of .......... (state purpose of the tax), be repealed?48760

        48761

 For repeal of the income tax 48762
 Against repeal of the income tax  " 48763

        48764

        (B)(1) If the tax is imposed on taxable income as defined in 48765
division (E)(1)(b) of section 5748.01 of the Revised Code, the 48766
form of the ballot shall be modified by stating that the tax 48767
currently is levied on the "earned income of individuals residing 48768
in the school district" in lieu of the "school district income of 48769
individuals and estates."48770

       (2) If the rate of one or more property tax levies was 48771
reduced for the duration of the income tax levy pursuant to 48772
division (B)(2) of section 5748.02 of the Revised Code, the form 48773
of the ballot shall be modified by adding the following language48774
immediately after "repealed": ", and shall the rate of an existing 48775
tax on property for the purpose of current expenses, which rate 48776
was reduced for the duration of the income tax, be INCREASED from 48777
..... mills to ..... mills per one dollar of valuation beginning 48778
in ..... (state the first year for which the rate of the property 48779
tax will increase)." In lieu of "for repeal of the income tax" and48780
"against repeal of the income tax," the phrases "for the issue" 48781
and "against the issue," respectively, shall be substituted.48782

       (3) If the rate of more than one property tax was reduced for48783
the duration of the income tax, the ballot language shall be48784
modified accordingly to express the rates at which those taxes48785
currently are levied and the rates to which the taxes would be48786
increased.48787

       (C) The question covered by the petition shall be submitted 48788
as a separate proposition, but it may be printed on the same 48789
ballot with any other proposition submitted at the same election 48790
other than the election of officers. If a majority of the 48791
qualified electors voting on the question vote in favor of it, the 48792
result shall be certified immediately after the canvass by the 48793
board of elections to the board of education of the school 48794
district and the tax commissioner, who shall thereupon, after the 48795
current year, cease to levy the tax, except that if notes have 48796
been issued pursuant to section 5748.05 of the Revised Code the 48797
tax commissioner shall continue to levy and collect under 48798
authority of the election authorizing the levy an annual amount, 48799
rounded upward to the nearest one-fourthone-tenth of one per 48800
cent, as will be sufficient to pay the debt charges on the notes 48801
as they fall due.48802

       (D) If a school district income tax repealed pursuant to this48803
section was approved in conjunction with a reduction in the rate48804
of one or more school district property taxes as provided in48805
division (B)(2) of section 5748.02 of the Revised Code, then each48806
such property tax may be levied after the current year at the rate48807
at which it could be levied prior to the reduction, subject to any48808
adjustments required by the county budget commission pursuant to48809
Chapter 5705. of the Revised Code. Upon the repeal of a school48810
district income tax under this section, the board of education may48811
resume levying a property tax, the rate of which has been reduced48812
pursuant to a question approved under section 5748.02 of the48813
Revised Code, at the rate the board originally was authorized to48814
levy the tax. A reduction in the rate of a property tax under48815
section 5748.02 of the Revised Code is a reduction in the rate at48816
which a board of education may levy that tax only for the period48817
during which a school district income tax is levied prior to any48818
repeal pursuant to this section. The resumption of the authority48819
to levy the tax upon such a repeal does not constitute a tax48820
levied in excess of the one per cent limitation prescribed by48821
Section 2 of Article XII, Ohio Constitution, or in excess of the48822
ten-mill limitation.48823

       (E) This section does not apply to school district income tax48824
levies that are levied for five or fewer years.48825

       Sec. 5748.08.  (A) The board of education of a city, local,48826
or exempted village school district, at any time by a vote of48827
two-thirds of all its members, may declare by resolution that it48828
may be necessary for the school district to do all of the48829
following:48830

       (1) Raise a specified amount of money for school district48831
purposes by levying an annual tax on school district income;48832

       (2) Issue general obligation bonds for permanent48833
improvements, stating in the resolution the necessity and purpose48834
of the bond issue and the amount, approximate date, estimated rate48835
of interest, and maximum number of years over which the principal48836
of the bonds may be paid;48837

       (3) Levy a tax outside the ten-mill limitation to pay debt48838
charges on the bonds and any anticipatory securities;48839

       (4) Submit the question of the school district income tax and 48840
bond issue to the electors of the district at a special election.48841

       The resolution shall specify whether the income that is to be 48842
subject to the tax is taxable income of individuals and estates as 48843
defined in divisions (E)(1)(a) and (2) of section 5748.01 of the 48844
Revised Code or taxable income of individuals as defined in 48845
division (E)(1)(b) of that section.48846

       On adoption of the resolution, the board shall certify a copy48847
of it to the tax commissioner and the county auditor no later than48848
ninety days prior to the date of the special election at which the48849
board intends to propose the income tax and bond issue. Not later48850
than ten days of receipt of the resolution, the tax commissioner,48851
in the same manner as required by division (A) of section 5748.0248852
of the Revised Code, shall estimate the rates designated in 48853
divisions (A)(1) and (2) of that section and certify them to the48854
board. Not later than ten days of receipt of the resolution, the48855
county auditor shall estimate and certify to the board the average48856
annual property tax rate required throughout the stated maturity48857
of the bonds to pay debt charges on the bonds, in the same manner48858
as under division (C) of section 133.18 of the Revised Code.48859

       (B) On receipt of the tax commissioner's and county auditor's 48860
certifications prepared under division (A) of this section, the 48861
board of education of the city, local, or exempted village school 48862
district, by a vote of two-thirds of all its members, may adopt a 48863
resolution proposing for a specified number of years or for a 48864
continuing period of time the levy of an annual tax for school 48865
district purposes on school district income and declaring that the 48866
amount of taxes that can be raised within the ten-mill limitation 48867
will be insufficient to provide an adequate amount for the present 48868
and future requirements of the school district; that it is 48869
necessary to issue general obligation bonds of the school district 48870
for specified permanent improvements and to levy an additional tax48871
in excess of the ten-mill limitation to pay the debt charges on48872
the bonds and any anticipatory securities; and that the question 48873
of the bonds and taxes shall be submitted to the electors of the48874
school district at a special election, which shall not be earlier48875
than seventy-five days after certification of the resolution to48876
the board of elections, and the date of which shall be consistent48877
with section 3501.01 of the Revised Code. The resolution shall48878
specify all of the following:48879

       (1) The purpose for which the school district income tax is48880
to be imposed and the rate of the tax, which shall be the rate set48881
forth in the tax commissioner's certification rounded to the48882
nearest one-fourthone-tenth of one per cent;48883

       (2) Whether the income that is to be subject to the tax is 48884
taxable income of individuals and estates as defined in divisions 48885
(E)(1)(a) and (2) of section 5748.01 of the Revised Code or 48886
taxable income of individuals as defined in division (E)(1)(b) of 48887
that section. The specification shall be the same as the 48888
specification in the resolution adopted and certified under 48889
division (A) of this section.48890

       (3) The number of years the tax will be levied, or that it48891
will be levied for a continuing period of time;48892

       (4) The date on which the tax shall take effect, which shall48893
be the first day of January of any year following the year in48894
which the question is submitted;48895

       (5) The county auditor's estimate of the average annual48896
property tax rate required throughout the stated maturity of the48897
bonds to pay debt charges on the bonds.48898

       (C) A resolution adopted under division (B) of this section48899
shall go into immediate effect upon its passage, and no48900
publication of the resolution shall be necessary other than that48901
provided for in the notice of election. Immediately after its48902
adoption and at least seventy-five days prior to the election at48903
which the question will appear on the ballot, the board of48904
education shall certify a copy of the resolution, along with48905
copies of the auditor's estimate and its resolution under division48906
(A) of this section, to the board of elections of the proper48907
county. The board of education shall make the arrangements for the 48908
submission of the question to the electors of the school district, 48909
and the election shall be conducted, canvassed, and certified in 48910
the same manner as regular elections in the district for the48911
election of county officers.48912

       The resolution shall be put before the electors as one ballot48913
question, with a majority vote indicating approval of the school48914
district income tax, the bond issue, and the levy to pay debt48915
charges on the bonds and any anticipatory securities. The board of48916
elections shall publish the notice of the election in one or more 48917
newspapers of general circulation in the school district once a 48918
week for two consecutive weeks prior to the election and, if the 48919
board of elections operates and maintains a web site, also shall 48920
post notice of the election on its web site for thirty days prior 48921
to the election. The notice of election shall state all of the48922
following:48923

       (1) The questions to be submitted to the electors;48924

       (2) The rate of the school district income tax;48925

       (3) The principal amount of the proposed bond issue;48926

       (4) The permanent improvements for which the bonds are to be48927
issued;48928

       (5) The maximum number of years over which the principal of48929
the bonds may be paid;48930

       (6) The estimated additional average annual property tax rate 48931
to pay the debt charges on the bonds, as certified by the county 48932
auditor;48933

       (7) The time and place of the special election.48934

       (D) The form of the ballot on a question submitted to the48935
electors under this section shall be as follows:48936

       "Shall the ........ school district be authorized to do both48937
of the following:48938

       (1) Impose an annual income tax of ...... (state the proposed 48939
rate of tax) on the school district income of individuals and of 48940
estates, for ........ (state the number of years the tax would be 48941
levied, or that it would be levied for a continuing period of 48942
time), beginning ........ (state the date the tax would first take 48943
effect), for the purpose of ........ (state the purpose of the 48944
tax)?48945

       (2) Issue bonds for the purpose of ....... in the principal48946
amount of $......, to be repaid annually over a maximum period of48947
....... years, and levy a property tax outside the ten-mill48948
limitation estimated by the county auditor to average over the48949
bond repayment period ....... mills for each one dollar of tax48950
valuation, which amounts to ....... (rate expressed in cents or48951
dollars and cents, such as "36 cents" or "$1.41") for each $100 of48952
tax valuation, to pay the annual debt charges on the bonds, and to48953
pay debt charges on any notes issued in anticipation of those48954
bonds?48955

        48956

 FOR THE INCOME TAX AND BOND ISSUE 48957
 AGAINST THE INCOME TAX AND BOND ISSUE  " 48958

        48959

       (E) If the question submitted to electors proposes a school 48960
district income tax only on the taxable income of individuals as 48961
defined in division (E)(1)(b) of section 5748.01 of the Revised 48962
Code, the form of the ballot shall be modified by stating that the 48963
tax is to be levied on the "earned income of individuals residing 48964
in the school district" in lieu of the "school district income of 48965
individuals and of estates."48966

       (F) The board of elections promptly shall certify the results 48967
of the election to the tax commissioner and the county auditor of 48968
the county in which the school district is located. If a majority 48969
of the electors voting on the question vote in favor of it, the 48970
income tax and the applicable provisions of Chapter 5747. of the48971
Revised Code shall take effect on the date specified in the48972
resolution, and the board of education may proceed with issuance48973
of the bonds and with the levy and collection of the property48974
taxes to pay debt charges on the bonds, at the additional rate or48975
any lesser rate in excess of the ten-mill limitation. Any48976
securities issued by the board of education under this section are48977
Chapter 133. securities, as that term is defined in section 133.0148978
of the Revised Code.48979

       (G) After approval of a question under this section, the48980
board of education may anticipate a fraction of the proceeds of48981
the school district income tax in accordance with section 5748.0548982
of the Revised Code. Any anticipation notes under this division48983
shall be issued as provided in section 133.24 of the Revised Code,48984
shall have principal payments during each year after the year of48985
their issuance over a period not to exceed five years, and may48986
have a principal payment in the year of their issuance.48987

       (H) The question of repeal of a school district income tax48988
levied for more than five years may be initiated and submitted in48989
accordance with section 5748.04 of the Revised Code.48990

       (I) No board of education shall submit a question under this48991
section to the electors of the school district more than twice in48992
any calendar year. If a board submits the question twice in any48993
calendar year, one of the elections on the question shall be held48994
on the date of the general election.48995

       Sec. 5751.20.  (A) As used in sections 5751.20 to 5751.22 of 48996
the Revised Code:48997

       (1) "School district," "joint vocational school district," 48998
"local taxing unit," "state education aid," "recognized 48999
valuation," "fixed-rate levy," and "fixed-sum levy" have the same 49000
meanings as used in section 5727.84 of the Revised Code.49001

       (2) "State education aid" for a school district means the sum 49002
of state aid amounts computed for the district under divisions 49003
(A), (C)(1), (C)(4), (D), (E), and (F) of section 3317.022; 49004
divisions (B), (C), and (D) of section 3317.023; divisions (L) and 49005
(N) of section 3317.024; section 3317.0216; and any unit payments 49006
for gifted student services paid under sections 3317.05, 3317.052, 49007
and 3317.053 of the Revised Code; except that, for fiscal years 49008
2008 and 2009, the amount computed for the district under Section 49009
269.20.80 of H.B. 119 of the 127th general assembly and as that 49010
section subsequently may be amended shall be substituted for the 49011
amount computed under division (D) of section 3317.022 of the 49012
Revised Code, and the amount computed under Section 269.30.80 of 49013
H.B. 119 of the 127th general assembly and as that section 49014
subsequently may be amended shall be included.49015

       (3) "State education aid" for a joint vocational school 49016
district means the sum of the state aid computed for the district 49017
under division (N) of section 3317.024 and section 3317.16 of the 49018
Revised Code, except that, for fiscal years 2008 and 2009, the 49019
amount computed under Section 269.30.80 of H.B. 119 of the 127th 49020
general assembly and as that section subsequently may be amended 49021
shall be included.49022

       (4) "State education aid offset" means the amount determined 49023
for each school district or joint vocational school district under 49024
division (A)(1) of section 5751.21 of the Revised Code.49025

       (3)(5) "Machinery and equipment property tax value loss" 49026
means the amount determined under division (C)(1) of this section.49027

       (4)(6) "Inventory property tax value loss" means the amount 49028
determined under division (C)(2) of this section.49029

       (5)(7) "Furniture and fixtures property tax value loss" means 49030
the amount determined under division (C)(3) of this section.49031

       (6)(8) "Machinery and equipment fixed-rate levy loss" means 49032
the amount determined under division (D)(1) of this section.49033

       (7)(9) "Inventory fixed-rate levy loss" means the amount 49034
determined under division (D)(2) of this section.49035

       (8)(10) "Furniture and fixtures fixed-rate levy loss" means 49036
the amount determined under division (D)(3) of this section.49037

       (9)(11) "Total fixed-rate levy loss" means the sum of the 49038
machinery and equipment fixed-rate levy loss, the inventory 49039
fixed-rate levy loss, the furniture and fixtures fixed-rate levy 49040
loss, and the telephone company fixed-rate levy loss.49041

       (10)(12) "Fixed-sum levy loss" means the amount determined 49042
under division (E) of this section.49043

       (11)(13) "Machinery and equipment" means personal property 49044
subject to the assessment rate specified in division (F) of 49045
section 5711.22 of the Revised Code.49046

       (12)(14) "Inventory" means personal property subject to the 49047
assessment rate specified in division (E) of section 5711.22 of 49048
the Revised Code.49049

       (13)(15) "Furniture and fixtures" means personal property 49050
subject to the assessment rate specified in division (G) of 49051
section 5711.22 of the Revised Code.49052

       (14)(16) "Qualifying levies" are levies in effect for tax 49053
year 2004 or applicable to tax year 2005 or approved at an 49054
election conducted before September 1, 2005. For the purpose of 49055
determining the rate of a qualifying levy authorized by section 49056
5705.212 or 5705.213 of the Revised Code, the rate shall be the 49057
rate that would be in effect for tax year 2010.49058

       (15)(17) "Telephone property" means tangible personal 49059
property of a telephone, telegraph, or interexchange 49060
telecommunications company subject to an assessment rate specified 49061
in section 5727.111 of the Revised Code in tax year 2004.49062

       (16)(18) "Telephone property tax value loss" means the amount 49063
determined under division (C)(4) of this section.49064

       (17)(19) "Telephone property fixed-rate levy loss" means the 49065
amount determined under division (D)(4) of this section.49066

       (B) The commercial activities tax receipts fund is hereby 49067
created in the state treasury and shall consist of money arising 49068
from the tax imposed under this chapter. All money in that fund 49069
shall be credited for each fiscal year in the following 49070
percentages to the general revenue fund, to the school district 49071
tangible property tax replacement fund, which is hereby created in 49072
the state treasury for the purpose of making the payments 49073
described in section 5751.21 of the Revised Code, and to the local 49074
government tangible property tax replacement fund, which is hereby 49075
created in the state treasury for the purpose of making the 49076
payments described in section 5751.22 of the Revised Code, in the 49077
following percentages:49078

Fiscal year General Revenue Fund School District Tangible Property Tax Replacement Fund Local Government Tangible Property Tax Replacement Fund 49079
2006 67.7% 22.6% 9.7% 49080
2007 0% 70.0% 30.0% 49081
2008 0% 70.0% 30.0% 49082
2009 0% 70.0% 30.0% 49083
2010 0% 70.0% 30.0% 49084
2011 0% 70.0% 30.0% 49085
2012 5.3% 70.0% 24.7% 49086
2013 19.4% 70.0% 10.6% 49087
2014 14.1% 70.0% 15.9% 49088
2015 17.6% 70.0% 12.4% 49089
2016 21.1% 70.0% 8.9% 49090
2017 24.6% 70.0% 5.4% 49091
2018 28.1% 70.0% 1.9% 49092
2019 and thereafter 100% 0% 0% 49093

       (C) Not later than September 15, 2005, the tax commissioner 49094
shall determine for each school district, joint vocational school 49095
district, and local taxing unit its machinery and equipment, 49096
inventory property, furniture and fixtures property, and telephone 49097
property tax value losses, which are the applicable amounts 49098
described in divisions (C)(1), (2), (3), and (4) of this section, 49099
except as provided in division (C)(5) of this section:49100

       (1) Machinery and equipment property tax value loss is the 49101
taxable value of machinery and equipment property as reported by 49102
taxpayers for tax year 2004 multiplied by:49103

       (a) For tax year 2006, thirty-three and eight-tenths per 49104
cent;49105

       (b) For tax year 2007, sixty-one and three-tenths per cent;49106

       (c) For tax year 2008, eighty-three per cent;49107

       (d) For tax year 2009 and thereafter, one hundred per cent.49108

       (2) Inventory property tax value loss is the taxable value of 49109
inventory property as reported by taxpayers for tax year 2004 49110
multiplied by:49111

       (a) For tax year 2006, a fraction, the numerator of which is 49112
five and three-fourths and the denominator of which is 49113
twenty-three;49114

        (b) For tax year 2007, a fraction, the numerator of which is 49115
nine and one-half and the denominator of which is twenty-three;49116

        (c) For tax year 2008, a fraction, the numerator of which is 49117
thirteen and one-fourth and the denominator of which is 49118
twenty-three;49119

        (d) For tax year 2009 and thereafter a fraction, the 49120
numerator of which is seventeen and the denominator of which is 49121
twenty-three.49122

        (3) Furniture and fixtures property tax value loss is the 49123
taxable value of furniture and fixture property as reported by 49124
taxpayers for tax year 2004 multiplied by:49125

        (a) For tax year 2006, twenty-five per cent;49126

        (b) For tax year 2007, fifty per cent;49127

        (c) For tax year 2008, seventy-five per cent;49128

        (d) For tax year 2009 and thereafter, one hundred per cent.49129

       The taxable value of property reported by taxpayers used in 49130
divisions (C)(1), (2), and (3) of this section shall be such 49131
values as determined to be final by the tax commissioner as of 49132
August 31, 2005. Such determinations shall be final except for any 49133
correction of a clerical error that was made prior to August 31, 49134
2005, by the tax commissioner.49135

       (4) Telephone property tax value loss is the taxable value of 49136
telephone property as taxpayers would have reported that property 49137
for tax year 2004 if the assessment rate for all telephone 49138
property for that year were twenty-five per cent, multiplied by:49139

       (a) For tax year 2006, zero per cent;49140

       (b) For tax year 2007, zero per cent;49141

       (c) For tax year 2008, zero per cent;49142

       (d) For tax year 2009, sixty per cent;49143

       (e) For tax year 2010, eighty per cent;49144

       (f) For tax year 2011 and thereafter, one hundred per cent.49145

       (5) Division (C)(5) of this section applies to any school 49146
district, joint vocational school district, or local taxing unit 49147
in a county in which is located a facility currently or formerly 49148
devoted to the enrichment or commercialization of uranium or 49149
uranium products, and for which the total taxable value of 49150
property listed on the general tax list of personal property for 49151
any tax year from tax year 2001 to tax year 2004 was fifty per 49152
cent or less of the taxable value of such property listed on the 49153
general tax list of personal property for the next preceding tax 49154
year.49155

       In computing the fixed-rate levy losses under divisions 49156
(D)(1), (2), and (3) of this section for any school district, 49157
joint vocational school district, or local taxing unit to which 49158
division (C)(5) of this section applies, the taxable value of such 49159
property as listed on the general tax list of personal property 49160
for tax year 2000 shall be substituted for the taxable value of 49161
such property as reported by taxpayers for tax year 2004, in the 49162
taxing district containing the uranium facility, if the taxable 49163
value listed for tax year 2000 is greater than the taxable value 49164
reported by taxpayers for tax year 2004. For the purpose of making 49165
the computations under divisions (D)(1), (2), and (3) of this 49166
section, the tax year 2000 valuation is to be allocated to 49167
machinery and equipment, inventory, and furniture and fixtures 49168
property in the same proportions as the tax year 2004 values. For 49169
the purpose of the calculations in division (A) of section 5751.21 49170
of the Revised Code, the tax year 2004 taxable values shall be 49171
used.49172

       To facilitate the calculations required under division (C) of 49173
this section, the county auditor, upon request from the tax 49174
commissioner, shall provide by August 1, 2005, the values of 49175
machinery and equipment, inventory, and furniture and fixtures for 49176
all single-county personal property taxpayers for tax year 2004.49177

       (D) Not later than September 15, 2005, the tax commissioner 49178
shall determine for each tax year from 2006 through 2009 for each 49179
school district, joint vocational school district, and local 49180
taxing unit its machinery and equipment, inventory, and furniture 49181
and fixtures fixed-rate levy losses, and for each tax year from 49182
2006 through 2011 its telephone property fixed-rate levy loss, 49183
which are the applicable amounts described in divisions (D)(1), 49184
(2), (3), and (4) of this section:49185

       (1) The machinery and equipment fixed-rate levy loss is the 49186
machinery and equipment property tax value loss multiplied by the 49187
sum of the tax rates of fixed-rate qualifying levies.49188

       (2) The inventory fixed-rate loss is the inventory property 49189
tax value loss multiplied by the sum of the tax rates of 49190
fixed-rate qualifying levies.49191

        (3) The furniture and fixtures fixed-rate levy loss is the 49192
furniture and fixture property tax value loss multiplied by the 49193
sum of the tax rates of fixed-rate qualifying levies.49194

       (4) The telephone property fixed-rate levy loss is the 49195
telephone property tax value loss multiplied by the sum of the tax 49196
rates of fixed-rate qualifying levies.49197

       (E) Not later than September 15, 2005, the tax commissioner 49198
shall determine for each school district, joint vocational school 49199
district, and local taxing unit its fixed-sum levy loss. The 49200
fixed-sum levy loss is the amount obtained by subtracting the 49201
amount described in division (E)(2) of this section from the 49202
amount described in division (E)(1) of this section:49203

       (1) The sum of the machinery and equipment property tax value 49204
loss, the inventory property tax value loss, and the furniture and 49205
fixtures property tax value loss, and, for 2008 through 2017 the 49206
telephone property tax value loss of the district or unit 49207
multiplied by the sum of the fixed-sum tax rates of qualifying 49208
levies. For 2006 through 2010, this computation shall include all 49209
qualifying levies remaining in effect for the current tax year and 49210
any school district emergency levies that are qualifying levies 49211
not remaining in effect for the current year. For 2011 through 49212
2017, this computation shall include only qualifying levies 49213
remaining in effect for the current year. For purposes of this 49214
computation, a qualifying school district emergency levy remains 49215
in effect in a year after 2010 only if, for that year, the board 49216
of education levies a school district emergency levy for an annual 49217
sum at least equal to the annual sum levied by the board in tax 49218
year 2004 less the amount of the payment certified under this 49219
division for 2006.49220

       (2) The total taxable value in tax year 2004 less the sum of 49221
the machinery and equipment, inventory, furniture and fixtures, 49222
and telephone property tax value losses in each school district, 49223
joint vocational school district, and local taxing unit multiplied 49224
by one-half of one mill per dollar.49225

       (3) For the calculations in divisions (E)(1) and (2) of this 49226
section, the tax value losses are those that would be calculated 49227
for tax year 2009 under divisions (C)(1), (2), and (3) of this 49228
section and for tax year 2011 under division (C)(4) of this 49229
section.49230

       (4) To facilitate the calculation under divisions (D) and (E) 49231
of this section, not later than September 1, 2005, any school 49232
district, joint vocational school district, or local taxing unit 49233
that has a qualifying levy that was approved at an election 49234
conducted during 2005 before September 1, 2005, shall certify to 49235
the tax commissioner a copy of the county auditor's certificate of 49236
estimated property tax millage for such levy as required under 49237
division (B) of section 5705.03 of the Revised Code, which is the 49238
rate that shall be used in the calculations under such divisions.49239

       If the amount determined under division (E) of this section 49240
for any school district, joint vocational school district, or 49241
local taxing unit is greater than zero, that amount shall equal 49242
the reimbursement to be paid pursuant to division (D) of section 49243
5751.21 or division (A)(3) of section 5751.22 of the Revised Code, 49244
and the one-half of one mill that is subtracted under division 49245
(E)(2) of this section shall be apportioned among all contributing 49246
fixed-sum levies in the proportion that each levy bears to the sum 49247
of all fixed-sum levies within each school district, joint 49248
vocational school district, or local taxing unit.49249

       (F) Not later than October 1, 2005, the tax commissioner 49250
shall certify to the department of education for every school 49251
district and joint vocational school district the machinery and 49252
equipment, inventory, furniture and fixtures, and telephone 49253
property tax value losses determined under division (C) of this 49254
section, the machinery and equipment, inventory, furniture and 49255
fixtures, and telephone fixed-rate levy losses determined under 49256
division (D) of this section, and the fixed-sum levy losses 49257
calculated under division (E) of this section. The calculations 49258
under divisions (D) and (E) of this section shall separately 49259
display the levy loss for each levy eligible for reimbursement.49260

       (G) Not later than October 1, 2005, the tax commissioner 49261
shall certify the amount of the fixed-sum levy losses to the 49262
county auditor of each county in which a school district, joint 49263
vocational school district, or local taxing unit with a fixed-sum 49264
levy loss reimbursement has territory.49265

       Sec. 5751.21.  (A) Not later than the thirty-firstfifteenth49266
day of July of 2007 through 2017, the department of education 49267
shall consult with the director of budget and management and49268
determine the following for each school district and each joint 49269
vocational school district eligible for payment under division (B) 49270
of this section:49271

       (1) The state education aid offset, which is the difference 49272
obtained by subtracting the amount described in division (A)(1)(b) 49273
of this section from the amount described in division (A)(1)(a) of 49274
this section:49275

       (a) The state education aid computed for the school district 49276
or joint vocational school district for the current fiscal year as 49277
of the thirty-firstfifteenth day of July;49278

       (b) The state education aid that would be computed for the 49279
school district or joint vocational school district for the 49280
current fiscal year as of the thirty-firstfifteenth day of July 49281
if the recognized valuation included the machinery and equipment, 49282
inventory, furniture and fixtures, and telephone property tax 49283
value losses for the school district or joint vocational school 49284
district for the second preceding tax year.49285

       (2) The greater of zero or the difference obtained by 49286
subtracting the state education aid offset determined under 49287
division (A)(1) of this section from the sum of the machinery and 49288
equipment fixed-rate levy loss, the inventory fixed-rate levy 49289
loss, furniture and fixtures fixed-rate levy loss, and telephone 49290
property fixed-rate levy loss certified under division (F) of 49291
section 5751.20 of the Revised Code for all taxing districts in 49292
each school district and joint vocational school district for the 49293
second preceding tax year.49294

       By the fifthtwentieth day of AugustJuly of each such year, 49295
the department of education and the director of budget and 49296
management shall certifyagree upon the amount soto be determined 49297
under division (A)(1) of this section to the director of budget 49298
and management.49299

       (B) The department of education shall pay from the school 49300
district tangible property tax replacement fund to each school 49301
district and joint vocational school district all of the following 49302
for fixed-rate levy losses certified under division (F) of section 49303
5751.20 of the Revised Code:49304

       (1) On or before May 31, 2006, one-seventh of the total 49305
fixed-rate levy loss for tax year 2006;49306

       (2) On or before August 31, 2006, and October 31, 2006, 49307
one-half of six-sevenths of the total fixed-rate levy loss for tax 49308
year 2006;49309

       (3) On or before May 31, 2007, one-seventh of the total 49310
fixed-rate levy loss for tax year 2007;49311

       (4) On or before August 31, 2007, and October 31, 2007, 49312
forty-three per cent of the amount determined under division 49313
(A)(2) of this section for fiscal year 2008, but not less than 49314
zero, plus one-half of six-sevenths of the difference between the 49315
total fixed-rate levy loss for tax year 2007 and the total 49316
fixed-rate levy loss for tax year 2006.49317

       (5) On or before May 31, 2008, fourteen per cent of the 49318
amount determined under division (A)(2) of this section for fiscal 49319
year 2008, but not less than zero, plus one-seventh of the 49320
difference between the total fixed-rate levy loss for tax year 49321
2008 and the total fixed-rate levy loss for tax year 2006.49322

       (6) On or before August 31, 2008, and October 31, 2008, 49323
forty-three per cent of the amount determined under division 49324
(A)(2) of this section for fiscal year 2009, but not less than 49325
zero, plus one-half of six-sevenths of the difference between the 49326
total fixed-rate levy loss in tax year 2008 and the total 49327
fixed-rate levy loss in tax year 2007.49328

       (7) On or before May 31, 2009, fourteen per cent of the 49329
amount determined under division (A)(2) of this section for fiscal 49330
year 2009, but not less than zero, plus one-seventh of the 49331
difference between the total fixed-rate levy loss for tax year 49332
2009 and the total fixed-rate levy loss for tax year 2007.49333

       (8) On or before August 31, 2009, and October 31, 2009, 49334
forty-three per cent of the amount determined under division 49335
(A)(2) of this section for fiscal year 2010, but not less than 49336
zero, plus one-half of six-sevenths of the difference between the 49337
total fixed-rate levy loss in tax year 2009 and the total 49338
fixed-rate levy loss in tax year 2008.49339

       (9) On or before May 31, 2010, fourteen per cent of the 49340
amount determined under division (A)(2) of this section for fiscal 49341
year 2010, but not less than zero, plus one-seventh of the 49342
difference between the total fixed-rate levy loss in tax year 2010 49343
and the total fixed-rate levy loss in tax year 2008.49344

       (10) On or before August 31, 2010, and October 31, 2010, 49345
one-third of the amount determined under division (A)(2) of this 49346
section for fiscal year 2011, but not less than zero, plus 49347
one-half of six-sevenths of the difference between the telephone 49348
property fixed-rate levy loss for tax year 2010 and the telephone 49349
property fixed-rate levy loss for tax year 2009.49350

       (11) On or before May 31, 2011, fourteen per cent of the 49351
amount determined under division (A)(2) of this section for fiscal 49352
year 2011, but not less than zero, plus one-seventh of the 49353
difference between the telephone property fixed-rate levy loss for 49354
tax year 2011 and the telephone property fixed-rate levy loss for 49355
tax year 2009.49356

       (12) On or before August 31, 2011, October 31, 2011, and May 49357
31, 2012, the amount determined under division (A)(2) of this 49358
section multiplied by a fraction, the numerator of which is 49359
fourteen and the denominator of which is seventeen, but not less 49360
than zero, multiplied by one-third, plus one-half of six-sevenths 49361
of the difference between the telephone property fixed-rate levy 49362
loss for tax year 2011 and the telephone property fixed-rate levy 49363
loss for tax year 2010.49364

       (13) On or before May 31, 2012, fourteen per cent of the 49365
amount determined under division (A)(2) of this section for fiscal 49366
year 2012, multiplied by a fraction, the numerator of which is 49367
fourteen and the denominator of which is seventeen, plus 49368
one-seventh of the difference between the telephone property 49369
fixed-rate levy loss for tax year 2011 and the telephone property 49370
fixed-rate levy loss for tax year 2010.49371

       (14) On or before August 31, 2012, October 31, 2012, and May 49372
31, 2013, the amount determined under division (A)(2) of this 49373
section multiplied by a fraction, the numerator of which is eleven 49374
and the denominator of which is seventeen, but not less than zero, 49375
multiplied by one-third.49376

       (15) On or before August 31, 2013, October 31, 2013, and May 49377
31, 2014, the amount determined under division (A)(2) of this 49378
section multiplied by a fraction, the numerator of which is nine 49379
and the denominator of which is seventeen, but not less than zero, 49380
multiplied by one-third.49381

       (16) On or before August 31, 2014, October 31, 2014, and May 49382
31, 2015, the amount determined under division (A)(2) of this 49383
section multiplied by a fraction, the numerator of which is seven 49384
and the denominator of which is seventeen, but not less than zero, 49385
multiplied by one-third.49386

       (17) On or before August 31, 2015, October 31, 2015, and May 49387
31, 2016, the amount determined under division (A)(2) of this 49388
section multiplied by a fraction, the numerator of which is five 49389
and the denominator of which is seventeen, but not less than zero, 49390
multiplied by one-third.49391

       (18) On or before August 31, 2016, October 31, 2016, and May 49392
31, 2017, the amount determined under division (A)(2) of this 49393
section multiplied by a fraction, the numerator of which is three 49394
and the denominator of which is seventeen, but not less than zero, 49395
multiplied by one-third.49396

       (19) On or before August 31, 2017, October 31, 2017, and May 49397
31, 2018, the amount determined under division (A)(2) of this 49398
section multiplied by a fraction, the numerator of which is one 49399
and the denominator of which is seventeen, but not less than zero, 49400
multiplied by one-third.49401

       (20) After May 31, 2018, no payments shall be made under this 49402
section.49403

       The department of education shall report to each school 49404
district and joint vocational school district the apportionment of 49405
the payments among the school district's or joint vocational 49406
school district's funds based on the certifications under division 49407
(F) of section 5751.20 of the Revised Code.49408

       Any qualifying levy that is a fixed-rate levy that is not 49409
applicable to a tax year after 2010 does not qualify for any 49410
reimbursement after the tax year to which it is last applicable.49411

       (C) For taxes levied within the ten-mill limitation for debt 49412
purposes in tax year 2005, payments shall be made equal to one 49413
hundred per cent of the loss computed as if the tax were a 49414
fixed-rate levy, but those payments shall extend from fiscal year 49415
2006 through fiscal year 2018, as long as the qualifying levy 49416
continues to be used for debt purposes. If the purpose of such a 49417
qualifying levy is changed, that levy becomes subject to the 49418
payments determined in division (B) of this section.49419

       (D)(1) Not later than January 1, 2006, for each fixed-sum 49420
levy of each school district or joint vocational school district 49421
and for each year for which a determination is made under division 49422
(F) of section 5751.20 of the Revised Code that a fixed-sum levy 49423
loss is to be reimbursed, the tax commissioner shall certify to 49424
the department of education the fixed-sum levy loss determined 49425
under that division. The certification shall cover a time period 49426
sufficient to include all fixed-sum levies for which the 49427
commissioner made such a determination. The department shall pay 49428
from the school district property tax replacement fund to the 49429
school district or joint vocational school district one-third of 49430
the fixed-sum levy loss so certified for each year on or before 49431
the last day of May, August, and October of the current year.49432

       (2) Beginning in 2006, by the first day of January of each 49433
year, the tax commissioner shall review the certification 49434
originally made under division (D)(1) of this section. If the 49435
commissioner determines that a debt levy that had been scheduled 49436
to be reimbursed in the current year has expired, a revised 49437
certification for that and all subsequent years shall be made to 49438
the department of education.49439

       (E) Beginning in September 2007 and through June 2018, the 49440
director of budget and management shall transfer from the school 49441
district tangible property tax replacement fund to the general 49442
revenue fund each of the following:49443

       (1) On the first day of September, the lesser of one-fourth 49444
of the amount certifieddetermined for that fiscal year under 49445
division (A)(1) of this section or the balance in the school 49446
district tangible property tax replacement fund;49447

       (2) On the first day of December, the lesser of one-fourth of 49448
the amount certifieddetermined for that fiscal year under 49449
division (A)(1) of this section or the balance in the school 49450
district tangible property tax replacement fund;49451

       (3) On the first day of March, the lesser of one-fourth of 49452
the amount certifieddetermined for that fiscal year under 49453
division (A)(1) of this section or the balance in the school 49454
district tangible property tax replacement fund;49455

       (4) On the first day of June, the lesser of one-fourth of the 49456
amount certifieddetermined for that fiscal year under division 49457
(A)(1) of this section or the balance in the school district 49458
tangible property tax replacement fund.49459

       If, when a transfer is required under division (E)(1), (2), 49460
(3), or (4) of this section, there is not sufficient money in the 49461
school district tangible property tax replacement fund to make the 49462
transfer in the required amount, the director shall transfer the 49463
balance in the fund to the general revenue fund and may make 49464
additional transfers on later dates as determined by the director 49465
in a total amount that does not exceed one-fourth of the amount 49466
determined for the fiscal year.49467

       (F) For each of the fiscal years 2006 through 2018, if the 49468
total amount in the school district tangible property tax 49469
replacement fund is insufficient to make all payments under 49470
divisions (B), (C), and (D) of this section at the times the 49471
payments are to be made, the director of budget and management 49472
shall transfer from the general revenue fund to the school 49473
district tangible property tax replacement fund the difference 49474
between the total amount to be paid and the amount in the school 49475
district tangible property tax replacement fund. For each fiscal 49476
year after 2018, at the time payments under division (D) of this 49477
section are to be made, the director of budget and management 49478
shall transfer from the general revenue fund to the school 49479
district property tax replacement fund the amount necessary to 49480
make such payments.49481

       (G) On the fifteenth day of June of 2006 through 2011, the 49482
director of budget and management may transfer any balance in the 49483
school district tangible property tax replacement fund to the 49484
general revenue fund. At the end of fiscal years 2012 through 49485
2018, any balance in the school district tangible property tax 49486
replacement fund shall remain in the fund to be used in future 49487
fiscal years for school purposes.49488

       (H) If all of the territory of a school district or joint 49489
vocational school district is merged with another district, or if 49490
a part of the territory of a school district or joint vocational 49491
school district is transferred to an existing or newly created 49492
district, the department of education, in consultation with the 49493
tax commissioner, shall adjust the payments made under this 49494
section as follows:49495

       (1) For a merger of two or more districts, the machinery and 49496
equipment, inventory, furniture and fixtures, and telephone 49497
property fixed-rate levy losses and the fixed-sum levy losses of 49498
the successor district shall be equal to the sum of the machinery 49499
and equipment, inventory, furniture and fixtures, and telephone 49500
property fixed-rate levy losses and debt levy losses as determined 49501
in section 5751.20 of the Revised Code, for each of the districts 49502
involved in the merger.49503

       (2) If property is transferred from one district to a 49504
previously existing district, the amount of machinery and 49505
equipment, inventory, furniture and fixtures, and telephone 49506
property tax value losses and fixed-rate levy losses that shall be 49507
transferred to the recipient district shall be an amount equal to 49508
the total machinery and equipment, inventory, furniture and 49509
fixtures, and telephone property fixed-rate levy losses times a 49510
fraction, the numerator of which is the value of business tangible 49511
personal property on the land being transferred in the most recent 49512
year for which data are available, and the denominator of which is 49513
the total value of business tangible personal property in the 49514
district from which the land is being transferred in the most 49515
recent year for which data are available. For each of the first 49516
five years after the property is transferred, but not after fiscal 49517
year 2012, if the tax rate in the recipient district is less than 49518
the tax rate of the district from which the land was transferred, 49519
one-half of the payments arising from the amount of fixed-rate 49520
levy losses so transferred to the recipient district shall be paid 49521
to the recipient district and one-half of the payments arising 49522
from the fixed-rate levy losses so transferred shall be paid to 49523
the district from which the land was transferred. Fixed-rate levy 49524
losses so transferred shall be computed on the basis of the sum of 49525
the rates of fixed-rate qualifying levies of the district from 49526
which the land was transferred, notwithstanding division (D) of 49527
this section.49528

       (3) After December 31, 2004, if property is transferred from 49529
one or more districts to a district that is newly created out of 49530
the transferred property, the newly created district shall be 49531
deemed not to have any machinery and equipment, inventory, 49532
furniture and fixtures, or telephone property fixed-rate levy 49533
losses and the districts from which the property was transferred 49534
shall have no reduction in their machinery and equipment, 49535
inventory, furniture and fixtures, and telephone property 49536
fixed-rate levy losses.49537

       (4) If the recipient district under division (H)(2) of this 49538
section or the newly created district under divisions (H)(3) of 49539
this section is assuming debt from one or more of the districts 49540
from which the property was transferred and any of the districts 49541
losing the property had fixed-sum levy losses, the department of 49542
education, in consultation with the tax commissioner, shall make 49543
an equitable division of the fixed-sum levy loss reimbursements.49544

       Sec. 5751.23.  (A) As used in this section:49545

       (1) "Administrative fees" means the dollar percentages 49546
allowed by the county auditor for services or by the county 49547
treasurer as fees, or paid to the credit of the real estate 49548
assessment fund, under divisions (A) and (B)(C) of section 319.54 49549
and division (A) of section 321.26 of the Revised Code.49550

       (2) "Administrative fee loss" means a county's loss of 49551
administrative fees due to its tax value loss, determined as 49552
follows:49553

       (a) For purposes of the determination made under division (B) 49554
of this section in the years 2006 through 2010, the administrative 49555
fee loss shall be computed by multiplying the amounts determined 49556
for all taxing districts in the county under divisions (D) and (E) 49557
of section 5751.20 of the Revised Code by nine thousand six 49558
hundred fifty-nine ten-thousandths of one per cent if total taxes 49559
collected in the county in 2004 exceeded one hundred fifty million 49560
dollars, or one and one thousand one hundred fifty-nine 49561
ten-thousandths of one per cent if total taxes collected in the 49562
county in 2004 were one hundred fifty million dollars or less;49563

       (b) For purposes of the determination under division (B) of 49564
this section in the years after 2010, the administrative fee 49565
losses shall be determined by multiplying the administrative fee 49566
losses calculated for 2010 by the fractions in divisions (A)(1)(b) 49567
to (i) of section 5751.22 of the Revised Code.49568

       (3) "Total taxes collected" means all money collected on any 49569
tax duplicate of the county, other than the estate tax duplicates. 49570
"Total taxes collected" does not include amounts received pursuant 49571
to divisions (F) and (G) of section 321.24 or section 323.156 of 49572
the Revised Code.49573

       (B) Not later than December 31, 2005, the tax commissioner 49574
shall certify to each county auditor the tax levy losses 49575
calculated under divisions (D) and (E) of section 5751.20 of the 49576
Revised Code for each school district, joint vocational school 49577
district, and local taxing unit in the county. Not later than the 49578
thirty-first day of January of 2006 through 2017, the county 49579
auditor shall determine the administrative fee loss for the county 49580
and apportion that loss ratably among the school districts, joint 49581
vocational school districts, and local taxing units on the basis 49582
of the tax levy losses certified under this division.49583

       (C) On or before each of the days prescribed for the 49584
settlements under divisions (A) and (C) of section 321.24 of the 49585
Revised Code in the years 2006 through 2017, the county treasurer 49586
shall deduct one-half of the amount apportioned to each school 49587
district, joint vocational school district, and local taxing unit 49588
from the portions of revenue payable to them.49589

       (D) On or before each of the days prescribed for settlements 49590
under divisions (A) and (C) of section 321.24 of the Revised Code 49591
in the years 2006 through 2017, the county auditor shall cause to 49592
be deposited an amount equal to one-half of the amount of the 49593
administrative fee loss in the same funds as if allowed as 49594
administrative fees.49595

       Sec. 5907.15.  There is hereby created in the state treasury49596
the Ohio veterans' homes rental,and service, and medicare49597
reimbursement fund. Revenue generated from temporary use49598
agreements of a veterans' home, from the sale of meals at a home's 49599
dining halls, and from rental, lease, or sharing agreements for 49600
the use of facilities, supplies, equipment, utilities, or services49601
provided by a home, and from medicare reimbursements shall be 49602
credited to the fund. The fund shall be used only for maintenance 49603
costs of the homes and for the purchase of medications, medication 49604
services, medical supplies, and medical equipment by the homes.49605

       Sec. 5907.16. There is hereby created in the state treasury 49606
the medicare services fund. Revenue from federal reimbursement of 49607
medicare services that were provided at state veterans' homes 49608
shall be credited to the fund. The fund shall be used for paying 49609
the operating costs of the state veterans' homes.49610

       Sec. 6109.21.  (A) Except as provided in divisions (D) and49611
(E) of this section, on and after January 1, 1994, no person shall49612
operate or maintain a public water system in this state without a49613
license issued by the director of environmental protection. A49614
person who operates or maintains a public water system on January49615
1, 1994, shall obtain an initial license under this section in49616
accordance with the following schedule:49617

       (1) If the public water system is a community water system,49618
not later than January 31, 1994;49619

       (2) If the public water system is not a community water49620
system and serves a nontransient population, not later than49621
January 31, 1994;49622

       (3) If the public water system is not a community water49623
system and serves a transient population, not later than January49624
31, 1995.49625

       A person proposing to operate or maintain a new public water49626
system after January 1, 1994, in addition to complying with49627
section 6109.07 of the Revised Code and rules adopted under it,49628
shall submit an application for an initial license under this49629
section to the director prior to commencing operation of the49630
system.49631

       A license or license renewal issued under this section shall49632
be renewed annually. Such a license or license renewal shall49633
expire on the thirtieth day of January in the year following its49634
issuance. A license holder that proposes to continue operating the 49635
public water system for which the license or license renewal was 49636
issued shall apply for a license renewal at least thirty days49637
prior to that expiration date.49638

       The director shall adopt, and may amend and rescind, rules in49639
accordance with Chapter 119. of the Revised Code establishing49640
procedures governing and information to be included on49641
applications for licenses and license renewals under this section.49642
Through June 30, 20082010, each application shall be accompanied49643
by the appropriate fee established under division (M) of section49644
3745.11 of the Revised Code, provided that an applicant for an49645
initial license who is proposing to operate or maintain a new49646
public water system after January 1, 1994, shall submit a fee that49647
equals a prorated amount of the appropriate fee established under49648
that division for the remainder of the licensing year.49649

       (B) Not later than thirty days after receiving a completed49650
application and the appropriate license fee for an initial license49651
under division (A) of this section, the director shall issue the49652
license for the public water system. Not later than thirty days49653
after receiving a completed application and the appropriate49654
license fee for a license renewal under division (A) of this49655
section, the director shall do one of the following:49656

       (1) Issue the license renewal for the public water system;49657

       (2) Issue the license renewal subject to terms and conditions 49658
that the director determines are necessary to ensure compliance 49659
with this chapter and rules adopted under it;49660

       (3) Deny the license renewal if the director finds that the49661
public water system was not operated in substantial compliance49662
with this chapter and rules adopted under it.49663

       (C) The director may suspend or revoke a license or license49664
renewal issued under this section if the director finds that the49665
public water system was not operated in substantial compliance49666
with this chapter and rules adopted under it. The director shall49667
adopt, and may amend and rescind, rules in accordance with Chapter49668
119. of the Revised Code governing such suspensions and49669
revocations.49670

       (D)(1) As used in division (D) of this section, "church"49671
means a fellowship of believers, congregation, society,49672
corporation, convention, or association that is formed primarily49673
or exclusively for religious purposes and that is not formed or49674
operated for the private profit of any person.49675

       (2) This section does not apply to a church that operates or49676
maintains a public water system solely to provide water for that49677
church or for a campground that is owned by the church and49678
operated primarily or exclusively for members of the church and49679
their families. A church that, on or before March 5, 1996, has49680
obtained a license under this section for such a public water49681
system need not obtain a license renewal under this section.49682

       (E) This section does not apply to any public or nonpublic49683
school that meets minimum standards of the state board of49684
education that operates or maintains a public water system solely49685
to provide water for that school.49686

       Sec. 6111.0381. There is hereby created in the state treasury 49687
the water quality protection fund. The fund shall consist of 49688
federal grants, including grants made pursuant to the Federal 49689
Water Pollution Control Act, and contributions made to the 49690
environmental protection agency for water quality protection and 49691
restoration. The director of environmental protection shall use 49692
money in the fund for water quality protection and restoration.49693

       Sec. 6111.04.  (A) Both of the following apply except as49694
otherwise provided in division (A) or (F) of this section:49695

       (1) No person shall cause pollution or place or cause to be49696
placed any sewage, sludge, sludge materials, industrial waste, or49697
other wastes in a location where they cause pollution of any49698
waters of the state.49699

       (2) Such an action prohibited under division (A)(1) of this49700
section is hereby declared to be a public nuisance.49701

       Divisions (A)(1) and (2) of this section do not apply if the49702
person causing pollution or placing or causing to be placed wastes49703
in a location in which they cause pollution of any waters of the49704
state holds a valid, unexpired permit, or renewal of a permit,49705
governing the causing or placement as provided in sections 6111.0149706
to 6111.08 of the Revised Code or if the person's application for49707
renewal of such a permit is pending.49708

       (B) If the director of environmental protection administers a 49709
sludge management program pursuant to division (S) of section 49710
6111.03 of the Revised Code, both of the following apply except as 49711
otherwise provided in division (B) or (F) of this section:49712

       (1) No person, in the course of sludge management, shall49713
place on land located in the state or release into the air of the49714
state any sludge or sludge materials.49715

       (2) An action prohibited under division (B)(1) of this49716
section is hereby declared to be a public nuisance.49717

       Divisions (B)(1) and (2) of this section do not apply if the49718
person placing or releasing the sludge or sludge materials holds a49719
valid, unexpired permit, or renewal of a permit, governing the49720
placement or release as provided in sections 6111.01 to 6111.08 of49721
the Revised Code or if the person's application for renewal of49722
such a permit is pending.49723

       (C) No person to whom a permit has been issued shall place or49724
discharge, or cause to be placed or discharged, in any waters of49725
the state any sewage, sludge, sludge materials, industrial waste, 49726
or other wastes in excess of the permissive discharges specified 49727
under an existing permit without first receiving a permit from the 49728
director to do so.49729

       (D) No person to whom a sludge management permit has been49730
issued shall place on the land or release into the air of the49731
state any sludge or sludge materials in excess of the permissive49732
amounts specified under the existing sludge management permit49733
without first receiving a modification of the existing sludge49734
management permit or a new sludge management permit to do so from49735
the director.49736

       (E) The director may require the submission of plans,49737
specifications, and other information that the director considers49738
relevant in connection with the issuance of permits.49739

       (F) This section does not apply to any of the following:49740

       (1) Waters used in washing sand, gravel, other aggregates, or 49741
mineral products when the washing and the ultimate disposal of the 49742
water used in the washing, including any sewage, industrial waste, 49743
or other wastes contained in the waters, are entirely confined to 49744
the land under the control of the person engaged in the recovery 49745
and processing of the sand, gravel, other aggregates, or mineral 49746
products and do not result in the pollution of waters of the 49747
state;49748

       (2) Water, gas, or other material injected into a well to49749
facilitate, or that is incidental to, the production of oil, gas,49750
artificial brine, or water derived in association with oil or gas49751
production and disposed of in a well, in compliance with a permit49752
issued under Chapter 1509. of the Revised Code, or sewage,49753
industrial waste, or other wastes injected into a well in49754
compliance with an injection well operating permit. Division49755
(F)(2) of this section does not authorize, without a permit, any49756
discharge that is prohibited by, or for which a permit is required49757
by, regulation of the United States environmental protection49758
agency.49759

       (3) Application of any materials to land for agricultural49760
purposes or runoff of the materials from that application or49761
pollution by animal waste or soil sediment, including attached49762
substances, resulting from farming, silvicultural, or earthmoving49763
activities regulated by Chapter 307. or 1511. of the Revised Code. 49764
Division (F)(3) of this section does not authorize, without a 49765
permit, any discharge that is prohibited by, or for which a permit 49766
is required by, the Federal Water Pollution Control Act or 49767
regulations adopted under it.49768

       (4) The excrement of domestic and farm animals defecated on49769
land or runoff therefrom into any waters of the state. Division 49770
(F)(4) of this section does not authorize, without a permit, any 49771
discharge that is prohibited by, or for which a permit is required 49772
by, the Federal Water Pollution Control Act or regulations adopted 49773
under it.49774

       (5) On and after the date on which the United States49775
environmental protection agency approves the NPDES program49776
submitted by the director of agriculture under section 903.08 of49777
the Revised Code, any discharge that is within the scope of the 49778
approved NPDES program submitted by the director of agriculture;49779

       (6) The discharge of sewage, industrial waste, or other49780
wastes into a sewerage system tributary to a treatment works. 49781
Division (F)(6) of this section does not authorize any discharge49782
into a publicly owned treatment works in violation of a49783
pretreatment program applicable to the publicly owned treatment49784
works.49785

       (7) A household sewage treatment system or a small flow 49786
on-site sewage treatment system, as applicable, as defined in 49787
section 3718.01 of the Revised Code that is installedSeptic tanks 49788
or other disposal systems for the disposal or treatment of sewage 49789
from single-family, two-family, or three-family dwellings in 49790
compliance with Chapter 3718.the sanitary code and section 49791
3707.01 of the Revised Code and rules adopted under it. Division 49792
(F)(7) of this section does not authorize, without a permit, any 49793
discharge that is prohibited by, or for which a permit is required 49794
by, regulation of the United States environmental protection 49795
agency.49796

       (8) Exceptional quality sludge generated outside of this49797
state and contained in bags or other containers not greater than49798
one hundred pounds in capacity. As used in division (F)(8) of this 49799
section, "exceptional quality sludge" has the same meaning as in 49800
division (Y) of section 3745.11 of the Revised Code.49801

       (G) The holder of a permit issued under section 402 (a) of49802
the Federal Water Pollution Control Act need not obtain a permit49803
for a discharge authorized by the permit until its expiration49804
date. Except as otherwise provided in this division, the director 49805
of environmental protection shall administer and enforce those 49806
permits within this state and may modify their terms and 49807
conditions in accordance with division (J) of section 6111.03 of 49808
the Revised Code. On and after the date on which the United States 49809
environmental protection agency approves the NPDES program 49810
submitted by the director of agriculture under section 903.08 of 49811
the Revised Code, the director of agriculture shall administer and 49812
enforce those permits within this state that are issued for any 49813
discharge that is within the scope of the approved NPDES program 49814
submitted by the director of agriculture.49815

       Sec. 6111.44.  (A) Except as otherwise provided in division49816
(B) of this section, in section 6111.14 of the Revised Code, or in49817
rules adopted under division (G) of section 6111.03 of the Revised49818
Code, no municipal corporation, county, public institution,49819
corporation, or officer or employee thereof or other person shall49820
provide or install sewerage or treatment works for sewage, sludge,49821
or sludge materials disposal or treatment or make a change in any49822
sewerage or treatment works until the plans therefor have been49823
submitted to and approved by the director of environmental49824
protection. Sections 6111.44 to 6111.46 of the Revised Code apply49825
to sewerage and treatment works of a municipal corporation or part49826
thereof, an unincorporated community, a county sewer district, or49827
other land outside of a municipal corporation or any publicly or49828
privately owned building or group of buildings or place, used for49829
the assemblage, entertainment, recreation, education, correction,49830
hospitalization, housing, or employment of persons.49831

       In granting an approval, the director may stipulate49832
modifications, conditions, and rules that the public health and49833
prevention of pollution may require. Any action taken by the49834
director shall be a matter of public record and shall be entered49835
in the director's journal. Each period of thirty days that a49836
violation of this section continues, after a conviction for the49837
violation, constitutes a separate offense.49838

       (B) Sections 6111.45 and 6111.46 of the Revised Code and49839
division (A) of this section do not apply to any of the following:49840

       (1) Sewerage or treatment works for sewage installed or to be 49841
installed for the use of a private residence or dwelling;49842

       (2) Sewerage systems, treatment works, or disposal systems 49843
for storm water from an animal feeding facility or manure, as 49844
"animal feeding facility" and "manure" are defined in section 49845
903.01 of the Revised Code;49846

       (3) Animal waste treatment or disposal works and related49847
management and conservation practices that are subject to rules49848
adopted under division (E)(2) of section 1511.02 of the Revised49849
Code;49850

       (4) Sewerage or treatment works for the on-lot disposal or 49851
treatment of sewage from a small flow on-site sewage treatment 49852
system, as defined in section 3718.01 of the Revised Code, if the 49853
board of health of a city or general health district has notified 49854
the director of health and the director of environmental 49855
protection under section 3718.021 of the Revised Code that the 49856
board has chosen to regulate the system, provided that the board 49857
remains in compliance with the rules adopted under division 49858
(A)(13) of section 3718.02 of the Revised Code.49859

        The exclusions established in divisions (B)(2) and (3) of49860
this section do not apply to the construction or installation of 49861
disposal systems, as defined in section 6111.01 of the Revised49862
Code, that are located at an animal feeding facility and that49863
store, treat, or discharge wastewaters that do not include storm49864
water or manure or that discharge to a publicly owned treatment49865
works.49866

       Sec. 6121.04.  The Ohio water development authority may do 49867
any or all of the following:49868

       (A) Adopt bylaws for the regulation of its affairs and the 49869
conduct of its business;49870

       (B) Adopt an official seal;49871

       (C) Maintain a principal office and suboffices at places 49872
within the state that it designates;49873

       (D) Sue and plead in its own name and be sued and impleaded 49874
in its own name with respect to its contracts or torts of its 49875
members, employees, or agents acting within the scope of their 49876
employment, or to enforce its obligations and covenants made under 49877
sections 6121.06, 6121.08, and 6121.13 of the Revised Code. Any 49878
such actions against the authority shall be brought in the court 49879
of common pleas of the county in which the principal office of the 49880
authority is located or in the court of common pleas of the county 49881
in which the cause of action arose, provided that the county is 49882
located within this state, and all summonses, exceptions, and 49883
notices of every kind shall be served on the authority by leaving 49884
a copy thereof at the principal office with the person in charge 49885
thereof or with the secretary-treasurer of the authority.49886

       (E) Make loans and grants to governmental agencies for the 49887
acquisition or construction of water development projects by any 49888
such governmental agency and adopt rules and procedures for making 49889
such loans and grants;49890

       (F) Acquire, construct, reconstruct, enlarge, improve, 49891
furnish, equip, maintain, repair, operate, or lease or rent to, or 49892
contract for operation by, a governmental agency or person, water 49893
development projects, and establish rules for the use of those 49894
projects;49895

       (G) Make available the use or services of any water 49896
development project to one or more persons, one or more 49897
governmental agencies, or any combination thereof;49898

       (H) Issue water development revenue bonds and notes and water 49899
development revenue refunding bonds of the state, payable solely 49900
from revenues as provided in section 6121.06 of the Revised Code, 49901
unless the bonds are refunded by refunding bonds, for the purpose 49902
of paying any part of the cost of one or more water development 49903
projects or parts thereof;49904

       (I) Acquire by gift or purchase, hold, and dispose of real 49905
and personal property in the exercise of its powers and the 49906
performance of its duties under this chapter;49907

       (J) Acquire, in the name of the state, by purchase or 49908
otherwise, on terms and in the manner that it considers proper, or 49909
by the exercise of the right of condemnation in the manner 49910
provided by section 6121.18 of the Revised Code, public or private 49911
lands, including public parks, playgrounds, or reservations, or 49912
parts thereof or rights therein, rights-of-way, property, rights, 49913
easements, and interests that it considers necessary for carrying 49914
out this chapter, but excluding the acquisition by the exercise of 49915
the right of condemnation of any waste water facility or water 49916
management facility owned by any person or governmental agency, 49917
and compensation shall be paid for public or private lands so 49918
taken, except that a government-owned waste water facility may be 49919
appropriated in accordance with section 6121.041 of the Revised 49920
Code;49921

       (K) Adopt rules to protect augmented flow in waters of the 49922
state, to the extent augmented by a water development project, 49923
from depletion so it will be available for beneficial use, and to 49924
provide standards for the withdrawal from waters of the state of 49925
the augmented flow created by a water development project that is 49926
not returned to the waters of the state so augmented and to49927
establish reasonable charges therefor if considered necessary by 49928
the authority;49929

       (L) Make and enter into all contracts and agreements and 49930
execute all instruments necessary or incidental to the performance 49931
of its duties and the execution of its powers under this chapter 49932
in accordance with the following requirements:49933

       (1) When the cost under any such contract or agreement, other 49934
than compensation for personal services, involves an expenditure 49935
of more than twenty-five thousand dollars, the authority shall 49936
make a written contract with the lowest responsive and responsible 49937
bidder, in accordance with section 9.312 of the Revised Code, 49938
after advertisement for not less than two consecutive weeks in a49939
newspaper of general circulation in Franklin county, and in other49940
publications that the authority determines, which shall state the 49941
general character of the work and the general character of the 49942
materials to be furnished, the place where plans and 49943
specifications therefor may be examined, and the time and place of 49944
receiving bids, provided that a contract or lease for the 49945
operation of a water development project constructed and owned by 49946
the authority or an agreement for cooperation in the acquisition 49947
or construction of a water development project pursuant to section 49948
6121.13 of the Revised Code or any contract for the construction 49949
of a water development project that is to be leased by the 49950
authority to, and operated by, persons who are not governmental 49951
agencies and the cost of the project is to be amortized49952
exclusively from rentals or other charges paid to the authority by 49953
persons who are not governmental agencies is not subject to the 49954
foregoing requirements and the authority may enter into such a 49955
contract or lease or such an agreement pursuant to negotiation and 49956
upon terms and conditions and for the period that it finds to be 49957
reasonable and proper in the circumstances and in the best49958
interests of proper operation or of efficient acquisition or 49959
construction of the project.49960

       (2) Each bid for a contract for the construction, demolition, 49961
alteration, repair, or reconstruction of an improvement shall 49962
contain the full name of every person interested in it and shall 49963
meet the requirements of section 153.54 of the Revised Code.49964

       (3) Each bid for a contract except as provided in division 49965
(L)(2) of this section shall contain the full name of every person 49966
or company interested in it and shall be accompanied by a 49967
sufficient bond or certified check on a solvent bank that if the 49968
bid is accepted, a contract will be entered into and the 49969
performance thereof secured.49970

       (4) The authority may reject any and all bids.49971

       (5) A bond with good and sufficient surety, approved by the 49972
authority, shall be required of every contractor awarded a 49973
contract except as provided in division (L)(2) of this section, in 49974
an amount equal to at least fifty per cent of the contract price, 49975
conditioned upon the faithful performance of the contract.49976

       (M) Employ managers, superintendents, and other employees and 49977
retain or contract with consulting engineers, financial 49978
consultants, accounting experts, architects, attorneys, and other 49979
consultants and independent contractors that are necessary in its 49980
judgment to carry out this chapter, and fix the compensation 49981
thereof. All expenses thereof shall be payable solely from the49982
proceeds of water development revenue bonds or notes issued under 49983
this chapter, from revenues, or from funds appropriated for that 49984
purpose by the general assembly.49985

       (N) Receive and accept from any federal agency, subject to 49986
the approval of the governor, grants for or in aid of the 49987
construction of any water development project or for research and 49988
development with respect to waste water or water management 49989
facilities, and receive and accept aid or contributions from any 49990
source of money, property, labor, or other things of value, to be 49991
held, used, and applied only for the purposes for which the grants 49992
and contributions are made;49993

       (O) Engage in research and development with respect to waste 49994
water or water management facilities;49995

       (P) Purchase fire and extended coverage and liability 49996
insurance for any water development project and for the principal 49997
office and suboffices of the authority, insurance protecting the 49998
authority and its officers and employees against liability for 49999
damage to property or injury to or death of persons arising from 50000
its operations, and any other insurance the authority may agree to 50001
provide under any resolution authorizing its water development 50002
revenue bonds or in any trust agreement securing the same;50003

       (Q) Charge, alter, and collect rentals and other charges for 50004
the use or services of any water development project as provided 50005
in section 6121.13 of the Revised Code;50006

       (R) Provide coverage for its employees under Chapters 145., 50007
4123., and 4141. of the Revised Code;50008

       (S) Assist in the implementation and administration of the 50009
drinking water assistance fund and program created in section 50010
6109.22 of the Revised Code and the water pollution control loan 50011
fund and program created in section 6111.036 of the Revised Code, 50012
including, without limitation, performing or providing fiscal 50013
management for the funds and investing and disbursing moneys in 50014
the funds, and enter into all necessary and appropriate agreements 50015
with the director of environmental protection for those purposes;50016

       (T) Issue water development revenue bonds and notes of the 50017
state in principal amounts that are necessary for the purpose of 50018
raising moneys for the sole benefit of the water pollution control 50019
loan fund created in section 6111.036 of the Revised Code, 50020
including moneys to meet the requirement for providing matching 50021
moneys under division (D) of that section. The bonds and notes may50022
be secured by appropriate trust agreements and repaid from moneys 50023
credited to the fund from payments of principal and interest on 50024
loans made from the fund, as provided in division (F) of section 50025
6111.036 of the Revised Code.50026

       (U) Issue water development revenue bonds and notes of the 50027
state in principal amounts that are necessary for the purpose of 50028
raising moneys for the sole benefit of the drinking water 50029
assistance fund created in section 6109.22 of the Revised Code, 50030
including moneys to meet the requirement for providing matching 50031
moneys under divisions (B) and (F) of that section. The bonds and 50032
notes may be secured by appropriate trust agreements and repaid 50033
from moneys credited to the fund from payments of principal and 50034
interest on loans made from the fund, as provided in division (F) 50035
of section 6109.22 of the Revised Code.50036

       (V) Make loans to and enter into agreements with boards of 50037
county commissioners for the purposes of section 1521.261506.4450038
of the Revised Code and adopt rules establishing requirements and 50039
procedures for making the loans and entering into the agreements;50040

       (W) Do all acts necessary or proper to carry out the powers50041
expressly granted in this chapter.50042

       Any instrument by which real property is acquired pursuant to 50043
this section shall identify the agency of the state that has the 50044
use and benefit of the real property as specified in section 50045
5301.012 of the Revised Code.50046

       Sec. 6121.043.  If a governmental agency fails to pay any50047
charge imposed pursuant to an order issued under section 6121.04150048
of the Revised Code within sixty days of the date due, such charge 50049
shall be deducted from the amount of the undivided local50050
governmentcommunities fund to which the agency is entitled 50051
pursuant to section 5747.51 or 5747.53 of the Revised Code, and 50052
shall be paid directly to the Ohio water development authority. If 50053
a person fails to pay a charge within sixty days of the date due, 50054
the authority shall certify such charge to the county auditor, who50055
shall place the charge on the real property tax list and duplicate 50056
against the property served. Such charge becomes a lien on such 50057
property from the date it is certified by the authority, and shall 50058
be collected in the manner that taxes are ordinarily collected and 50059
forwarded to the authority.50060

       Any revenues or other moneys pledged against obligations50061
which are collected by the authority in the operation of a single50062
or regional system of waste water facilities shall first be50063
applied to the payment of debt service on such obligations. No50064
action of the authority relieves a governmental agency of any duty 50065
which it may have to pay such obligations.50066

       Sec. 6131.23.  The assessments estimated in accordance with50067
section 6131.14 of the Revised Code shall be payable in not less50068
than two semiannual installments. At the time of the final50069
hearing, in the order approving the levying of the assessments,50070
the board of county commissioners shall determine how long a50071
period of time, in semiannual installments, as taxes are paid,50072
shall be given the owners of land benefited to pay the assessments 50073
that are made for an improvement and whether or not bonds or notes 50074
shall be issued and sold in anticipation of such payments. If 50075
bonds or notes are to be issued, the interest shall be added to 50076
the assessments. If the estimated cost of the improvement does not 50077
exceed five hundred dollars, not more than two semiannual 50078
installments, as taxes are paid, shall be given to owners of lands 50079
benefited to pay the assessments that are made for the 50080
improvement. If the estimated cost of the improvement exceeds five 50081
hundred dollars, the board may determine the number of 50082
installments in which the assessments are to be paid. If any such 50083
assessment is twenty-five dollars or less, or whenever the unpaid 50084
balance of any such assessment is twenty-five dollars or less, the 50085
same shall be paid in full, and not in installments, at the time 50086
the first or next installment would otherwise become due.50087

       When assessments are payable in installments and county50088
general funds are used to pay for the improvement, the assessment50089
shall not exceed tenthirty semiannual installments, as computed 50090
by the county auditor pursuant to section 6131.49 of the Revised 50091
Code, and shall be payable upon completion of the contract.50092

       When assessments are made payable in installments and bonds50093
or notes have been sold to pay for the improvement, interest shall 50094
be added to the installments of assessments at the same rate as is 50095
drawn by the bonds or notes issued to pay for the improvements. 50096
Any owner may pay the estimated assessments on the owner's land 50097
in cash within thirty days after the final hearing without paying 50098
any interest thereon. If the legislative authority of a political 50099
subdivision chooses to pay the assessments on all parcels within 50100
the subdivision, both public and private, in one installment, it 50101
shall pass a resolution so stating and shall send the resolution, 50102
or a copy thereof, to the board of county commissioners before 50103
making the payment. The legislative authority shall pay all 50104
subsequent maintenance assessments levied under section 6137.03 of 50105
the Revised Code if it chooses to pay the construction assessments 50106
on all parcels within the subdivision.50107

       Bonds may be sold for any repayment period that the board of 50108
county commissioners may determine proper, not to exceed sixteen50109
thirty semiannual installments, except that for bonds sold by a 50110
board of county commissioners for soil and water conservation 50111
district improvements pursuant to section 1515.24 of the Revised 50112
Code, the repayment period shall not exceed thirty semiannual 50113
installments.50114

       Section 101.02. That existing sections 9.821, 9.822, 9.823, 50115
9.83, 107.12, 107.40, 109.57, 109.572, 109.93, 111.18, 118.01, 50116
118.08, 118.17, 118.20, 118.23, 119.07, 120.33, 122.17, 122.171, 50117
122.602, 124.152, 125.45, 125.93, 125.96, 125.97, 125.98, 126.07, 50118
126.08, 126.16, 126.21, 126.22, 127.14, 127.16, 131.44, 133.01, 50119
133.10, 133.25, 135.35, 135.352, 151.08, 151.40, 152.31, 156.02, 50120
164.03, 164.05, 164.051, 164.08, 164.09, 166.08, 173.04, 173.35, 50121
173.85, 173.86, 174.03, 174.06, 183.01, 183.021, 183.17, 183.33, 50122
183.34, 183.35, 307.021, 307.37, 307.695, 307.6910, 307.98, 50123
307.981, 308.04, 317.08, 319.202, 319.281, 319.54, 321.08, 322.01, 50124
323.151, 323.152, 323.153, 323.154, 325.31, 329.04, 329.05, 50125
329.14, 340.03, 505.376, 517.08, 521.01, 709.191, 711.05, 711.10, 50126
711.131, 718.13, 742.301, 1503.05, 1504.02, 1506.01, 1506.99, 50127
1521.01, 1521.20, 1521.21, 1521.22, 1521.23, 1521.24, 1521.25, 50128
1521.26, 1521.27, 1521.28, 1521.29, 1521.30, 1521.99, 1531.06, 50129
1531.35, 1548.06, 1555.08, 1557.03, 1901.34, 2151.362, 2913.40, 50130
2921.42, 2927.023, 2935.03, 3109.04, 3109.041, 3119.022, 3119.023, 50131
3119.27, 3119.29, 3119.30, 3125.12, 3301.0711, 3301.0714, 3301.53, 50132
3302.03, 3302.10, 3311.24, 3313.41, 3313.603, 3313.615, 3313.64, 50133
3313.646, 3313.66, 3313.661, 3313.98, 3314.015, 3314.02, 3314.074, 50134
3314.08, 3314.26, 3317.01, 3317.012, 3317.013, 3317.014, 3317.015, 50135
3317.016, 3317.017, 3317.02, 3317.021, 3317.022, 3317.023, 50136
3317.024, 3317.025, 3317.026, 3317.027, 3317.028, 3317.029, 50137
3317.0216, 3317.0217, 3317.03, 3317.04, 3317.06, 3317.08, 3317.16, 50138
3317.20, 3317.201, 3318.12, 3318.15, 3318.26, 3319.55, 3323.01, 50139
3323.11, 3327.05, 3333.04, 3333.122, 3333.38, 3357.01, 3365.01, 50140
3375.05, 3375.121, 3375.40, 3375.85, 3381.04, 3501.17, 3701.74, 50141
3701.741, 3701.83, 3702.52, 3702.5211, 3702.5212, 3702.5213, 50142
3702.57, 3702.63, 3702.68, 3704.03, 3704.14, 3705.24, 3709.09, 50143
3709.091, 3721.51, 3721.541, 3721.56, 3734.57, 3735.672, 3745.11, 50144
3769.087, 3770.03, 3770.06, 3905.36, 4123.35, 4141.09, 4301.43, 50145
4503.06, 4503.061, 4503.064, 4503.065, 4503.066, 4503.067, 50146
4503.10, 4503.102, 4503.35, 4505.06, 4513.263, 4513.35, 4519.55, 50147
4715.251, 4717.07, 4723.621, 4723.63, 4723.64, 4723.65, 4723.66, 50148
4731.142, 4731.22, 4736.01, 4743.05, 4755.03, 4766.05, 4775.08, 50149
4921.40, 5101.162, 5101.21, 5101.211, 5101.212, 5101.213, 5101.24, 50150
5101.242, 5101.244, 5101.571, 5101.572, 5101.58, 5101.59, 50151
5101.802, 5101.98, 5104.30, 5107.02, 5107.03, 5107.05, 5107.10, 50152
5107.12, 5107.14, 5107.16, 5107.17, 5107.281, 5107.30, 5107.36, 50153
5107.41, 5107.42, 5111.01, 5111.014, 5111.016, 5111.019, 50154
5111.0112, 5111.023, 5111.03, 5111.06, 5111.084, 5111.10, 50155
5111.101, 5111.163, 5111.17, 5111.172, 5111.20, 5111.871, 50156
5111.8814, 5111.891, 5111.95, 5111.96, 5112.341, 5115.12, 50157
5119.611, 5123.01, 5123.043, 5123.045, 5123.047, 5123.048, 50158
5123.049, 5123.0411, 5123.051, 5123.19, 5123.196, 5123.198, 50159
5123.20, 5123.211, 5123.38, 5123.41, 5123.51, 5123.60, 5123.602, 50160
5163.603, 5123.604, 5123.99, 5126.038, 5126.042, 5126.046, 50161
5126.054, 5126.055, 5126.056, 5126.057, 5126.06, 5126.11, 5126.12, 50162
5126.15, 5126.18, 5126.19, 5126.25, 5126.40, 5126.42, 5126.43, 50163
5126.45, 5126.47, 5139.27, 5139.271, 5139.43, 5302.30, 5528.54, 50164
5531.10, 5537.04, 5537.16, 5537.99, 5705.28, 5705.281, 5705.29, 50165
5705.30, 5705.31, 5705.32, 5705.321, 5705.37, 5705.44, 5709.68, 50166
5709.882, 5715.36, 5719.041, 5725.151, 5725.24, 5727.45, 5727.81, 50167
5727.84, 5727.85, 5727.87, 5733.12, 5733.98, 5739.02, 5739.033, 50168
5739.12, 5739.21, 5741.02, 5741.03, 5743.01, 5743.20, 5743.331, 50169
5745.02, 5745.05, 5745.13, 5747.03, 5747.46, 5747.47, 5747.48, 50170
5747.50, 5747.501, 5747.51, 5747.52, 5747.53, 5747.54, 5747.55, 50171
5747.98, 5748.01, 5748.02, 5748.021, 5748.04, 5748.08, 5751.20, 50172
5751.21, 5751.23, 5907.15, 6109.21, 6111.04, 6111.44, 6121.04, 50173
6121.043, and 6131.23 of the Revised Code are hereby repealed.50174

       Section 105.01. That sections 125.95, 183.02, 183.27, 183.32, 50175
3318.47, 3318.48, 3318.49, 3333.29, 3718.01, 3718.02, 3718.021, 50176
3718.03, 3718.04, 3718.05, 3718.06, 3718.07, 3718.08, 3718.09, 50177
3718.10, 3718.99, 4911.021, 5111.161, 5123.16, 5123.182, 5123.199, 50178
5126.035, 5126.036, 5126.053, 5126.431, 5126.44, 5126.451, 50179
5747.61, 5747.62, 5747.63, and 6111.441 of the Revised Code are 50180
hereby repealed.50181

       Section 105.03. That the version of section 3702.68 of the 50182
Revised Code that was to have taken effect July 1, 2007, as a 50183
result of Sections 3 to 5 of Am. Sub. S.B. 50 of the 121st General 50184
Assembly, as most recently amended by Am. Sub. H.B. 66 of the 50185
126th General Assembly, is hereby repealed. It is the intent of 50186
this section to prevent the amendment of section 3702.68 of the 50187
Revised Code that was to have taken effect July 1, 2007.50188

       Section 110.07. That the version of section 127.16 of the 50189
Revised Code that is scheduled to take effect July 1, 2007, be 50190
amended to read as follows:50191

       Sec. 127.16.  (A) Upon the request of either a state agency50192
or the director of budget and management and after the controlling50193
board determines that an emergency or a sufficient economic reason50194
exists, the controlling board may approve the making of a purchase50195
without competitive selection as provided in division (B) of this50196
section.50197

       (B) Except as otherwise provided in this section, no state50198
agency, using money that has been appropriated to it directly,50199
shall:50200

       (1) Make any purchase from a particular supplier, that would50201
amount to fifty thousand dollars or more when combined with both50202
the amount of all disbursements to the supplier during the fiscal50203
year for purchases made by the agency and the amount of all50204
outstanding encumbrances for purchases made by the agency from the50205
supplier, unless the purchase is made by competitive selection or50206
with the approval of the controlling board;50207

       (2) Lease real estate from a particular supplier, if the50208
lease would amount to seventy-five thousand dollars or more when50209
combined with both the amount of all disbursements to the supplier50210
during the fiscal year for real estate leases made by the agency50211
and the amount of all outstanding encumbrances for real estate50212
leases made by the agency from the supplier, unless the lease is50213
made by competitive selection or with the approval of the50214
controlling board.50215

       (C) Any person who authorizes a purchase in violation of50216
division (B) of this section shall be liable to the state for any50217
state funds spent on the purchase, and the attorney general shall50218
collect the amount from the person.50219

       (D) Nothing in division (B) of this section shall be50220
construed as:50221

       (1) A limitation upon the authority of the director of50222
transportation as granted in sections 5501.17, 5517.02, and50223
5525.14 of the Revised Code;50224

       (2) Applying to medicaid provider agreements under Chapter50225
5111. of the Revised Code or payments or provider agreements under 50226
the disability medical assistance program established under 50227
Chapter 5115. of the Revised Code;50228

       (3) Applying to the purchase of examinations from a sole50229
supplier by a state licensing board under Title XLVII of the50230
Revised Code;50231

       (4) Applying to entertainment contracts for the Ohio state50232
fair entered into by the Ohio expositions commission, provided50233
that the controlling board has given its approval to the50234
commission to enter into such contracts and has approved a total50235
budget amount for such contracts as agreed upon by commission50236
action, and that the commission causes to be kept itemized records50237
of the amounts of money spent under each contract and annually50238
files those records with the clerk of the house of representatives50239
and the clerk of the senate following the close of the fair;50240

       (5) Limiting the authority of the chief of the division of50241
mineral resources management to contract for reclamation work with50242
an operator mining adjacent land as provided in section 1513.27 of50243
the Revised Code;50244

       (6) Applying to investment transactions and procedures of any 50245
state agency, except that the agency shall file with the board the 50246
name of any person with whom the agency contracts to make, broker, 50247
service, or otherwise manage its investments, as well as the 50248
commission, rate, or schedule of charges of such person with50249
respect to any investment transactions to be undertaken on behalf50250
of the agency. The filing shall be in a form and at such times as50251
the board considers appropriate.50252

       (7) Applying to purchases made with money for the per cent50253
for arts program established by section 3379.10 of the Revised50254
Code;50255

       (8) Applying to purchases made by the rehabilitation services 50256
commission of services, or supplies, that are provided to persons 50257
with disabilities, or to purchases made by the commission in 50258
connection with the eligibility determinations it makes for50259
applicants of programs administered by the social security50260
administration;50261

       (9) Applying to payments by the department of job and family50262
services under section 5111.13 of the Revised Code for group50263
health plan premiums, deductibles, coinsurance, and other50264
cost-sharing expenses;50265

       (10) Applying to any agency of the legislative branch of the50266
state government;50267

       (11) Applying to agreements or contracts entered into under50268
section 5101.11, 5101.20, 5101.201, 5101.21, or 5101.214 of the 50269
Revised Code;50270

       (12) Applying to purchases of services by the adult parole50271
authority under section 2967.14 of the Revised Code or by the50272
department of youth services under section 5139.08 of the Revised50273
Code;50274

       (13) Applying to dues or fees paid for membership in an50275
organization or association;50276

       (14) Applying to purchases of utility services pursuant to50277
section 9.30 of the Revised Code;50278

       (15) Applying to purchases made in accordance with rules50279
adopted by the department of administrative services of motor50280
vehicle, aviation, or watercraft fuel, or emergency repairs of50281
such vehicles;50282

       (16) Applying to purchases of tickets for passenger air50283
transportation;50284

       (17) Applying to purchases necessary to provide public50285
notifications required by law or to provide notifications of job50286
openings;50287

       (18) Applying to the judicial branch of state government;50288

       (19) Applying to purchases of liquor for resale by the50289
division of liquor control;50290

       (20) Applying to purchases of motor courier and freight50291
services made in accordance with department of administrative50292
services rules;50293

       (21) Applying to purchases from the United States postal50294
service and purchases of stamps and postal meter replenishment50295
from vendors at rates established by the United States postal50296
service;50297

       (22) Applying to purchases of books, periodicals, pamphlets,50298
newspapers, maintenance subscriptions, and other published50299
materials;50300

       (23) Applying to purchases from other state agencies,50301
including state-assisted institutions of higher education;50302

       (24) Limiting the authority of the director of environmental50303
protection to enter into contracts under division (D) of section50304
3745.14 of the Revised Code to conduct compliance reviews, as50305
defined in division (A) of that section;50306

       (25) Applying to purchases from a qualified nonprofit agency50307
pursuant to sections 125.60 to 125.6012 or 4115.31 to 4115.35 of 50308
the Revised Code;50309

       (26) Applying to payments by the department of job and family50310
services to the United States department of health and human50311
services for printing and mailing notices pertaining to the tax50312
refund offset program of the internal revenue service of the50313
United States department of the treasury;50314

       (27) Applying to contracts entered into by the department of50315
mental retardation and developmental disabilities under sections50316
section 5123.18, 5123.182, and 5123.199 of the Revised Code;50317

       (28) Applying to payments made by the department of mental50318
health under a physician recruitment program authorized by section50319
5119.101 of the Revised Code;50320

       (29) Applying to contracts entered into with persons by the50321
director of commerce for unclaimed funds collection and remittance50322
efforts as provided in division (F) of section 169.03 of the50323
Revised Code. The director shall keep an itemized accounting of50324
unclaimed funds collected by those persons and amounts paid to50325
them for their services.50326

       (30) Applying to purchases made by a state institution of50327
higher education in accordance with the terms of a contract50328
between the vendor and an inter-university purchasing group50329
comprised of purchasing officers of state institutions of higher50330
education;50331

       (31) Applying to the department of job and family services'50332
purchases of health assistance services under the children's50333
health insurance program part I provided for under section 5101.5050334
of the Revised Code or the children's health insurance program50335
part II provided for under section 5101.51 of the Revised Code;50336

       (32) Applying to payments by the attorney general from the50337
reparations fund to hospitals and other emergency medical50338
facilities for performing medical examinations to collect physical50339
evidence pursuant to section 2907.28 of the Revised Code;50340

       (33) Applying to contracts with a contracting authority or50341
administrative receiver under division (B) of section 5126.056 of 50342
the Revised Code;50343

       (34) Applying to reimbursements paid to the United States 50344
department of veterans affairs for pharmaceutical and patient 50345
supply purchases made on behalf of the Ohio veterans' home agency;50346

       (35) Applying to agreements entered into with terminal 50347
distributors of dangerous drugs under section 173.79 of the 50348
Revised Code.50349

       (E) Notwithstanding division (B)(1) of this section, the50350
cumulative purchase threshold shall be seventy-five thousand50351
dollars for the departments of mental retardation and50352
developmental disabilities, mental health, rehabilitation and50353
correction, and youth services.50354

       (F) When determining whether a state agency has reached the50355
cumulative purchase thresholds established in divisions (B)(1),50356
(B)(2), and (E) of this section, all of the following purchases by50357
such agency shall not be considered:50358

       (1) Purchases made through competitive selection or with50359
controlling board approval;50360

       (2) Purchases listed in division (D) of this section;50361

       (3) For the purposes of the thresholds of divisions (B)(1)50362
and (E) of this section only, leases of real estate.50363

       (G) As used in this section, "competitive selection,"50364
"purchase," "supplies," and "services" have the same meanings as50365
in section 125.01 of the Revised Code.50366

       Section 110.08. That the existing version of section 127.16 50367
of the Revised Code that is scheduled to take effect July 1, 2007, 50368
is hereby repealed.50369

       Section 115.03. That section 5101.213 of the Revised Code is 50370
hereby repealed, effective July 1, 2008.50371

       Section 130.01. As is more completely explained in Sections 50372
130.02 and 130.03 that follow, this act, pursuant to Section 50373
611.03 of Am. Sub. H.B. 66 of the 126th General Assembly, confirms 50374
and orders implementation of the amendments and the enactment 50375
referred to in Section 611.03, the taking effect of which 50376
amendments and enactment by Am. Sub. H.B. 66 was postponed in 50377
whole or in part by Section 611.03 pending this confirmation and 50378
order.50379

       Section 130.02. (A)(1) Section 9.833 of the Revised Code is 50380
presented in division (B) of this section solely for the purpose 50381
of confirming the section and ordering its implementation as it 50382
results from Am. Sub. H.B. 46 and Am. Sub. H.B. 66 of the 126th 50383
General Assembly. Sections 3111.19, 3313.12, and 4117.08 of the 50384
Revised Code are presented in division (B) of this section solely 50385
for the purpose of confirming the sections and ordering their 50386
implementation as they result from Am. Sub. H.B. 66 of the 126th 50387
General Assembly. No other action is being taken with regard to 50388
these sections.50389

        (2) Section 9.90 of the Revised Code is presented in division 50390
(B) of this section for the purposes of confirming the section and 50391
ordering its implementation as it results from Am. Sub. H.B. 66 50392
and Sub. H.B. 193 of the 126th General Assembly and of amending 50393
the section to read as directed by this act. Section 9.901 of the 50394
Revised Code is presented in division (B) of this section for the 50395
purposes of confirming the section and ordering its complete 50396
implementation as it results from Am. Sub. H.B. 66 of the 126th 50397
General Assembly and as it was subsequently amended by Am. Sub. 50398
H.B. 530 of the 126th General Assembly and of amending the section 50399
to read as directed by this act. Sections 3313.202, 3313.33, and 50400
4117.03 of the Revised Code are presented in division (B) of this 50401
section for the purposes of confirming the sections and ordering 50402
their implementation as they result from Am. Sub. H.B. 66 of the 50403
126th General Assembly and of amending the sections to read as 50404
directed by this act.50405

        (B) Sections 9.833, 9.90, 9.901, 3311.19, 3313.12, 3313.202, 50406
3313.33, 4117.03, and 4117.08 of the Revised Code are presented in 50407
this division as explained in divisions (A)(1) and (2) of this 50408
section:50409

       Sec. 9.833.  (A) As used in this section, "political50410
subdivision" means a municipal corporation, township, county, or 50411
other body corporate and politic responsible for governmental 50412
activities in a geographic area smaller than that of the state, 50413
and agencies and instrumentalities of these entities. For purposes 50414
of this section, a school district is not a "political 50415
subdivision."50416

       (B) Political subdivisions that provide health care benefits 50417
for their officers or employees may do any of the following:50418

       (1) Establish and maintain an individual self-insurance50419
program with public moneys to provide authorized health care50420
benefits, including but not limited to, health care, prescription 50421
drugs, dental care, and vision care, in accordance with division 50422
(C) of this section;50423

       (2) Establish and maintain a health savings account program 50424
whereby employees or officers may establish and maintain health 50425
savings accounts in accordance with section 223 of the Internal 50426
Revenue Code. Public moneys may be used to pay for or fund 50427
federally qualified high deductible health plans that are linked 50428
to health savings accounts or to make contributions to health 50429
savings accounts. A health savings account program may be a part 50430
of a self-insurance program.50431

       (3) After establishing an individual self-insurance program, 50432
agree with other political subdivisions that have established 50433
individual self-insurance programs for health care benefits, that 50434
their programs will be jointly administered in a manner specified 50435
in the agreement;50436

       (4) Pursuant to a written agreement and in accordance with50437
division (C) of this section, join in any combination with other50438
political subdivisions to establish and maintain a joint50439
self-insurance program to provide health care benefits;50440

       (5) Pursuant to a written agreement, join in any combination 50441
with other political subdivisions to procure or contract for 50442
policies, contracts, or plans of insurance to provide health care 50443
benefits, which may include a health savings account program, for 50444
their officers and employees subject to the agreement;50445

       (6) Use in any combination any of the policies, contracts,50446
plans, or programs authorized under this division.50447

       (C) Except as otherwise provided in division (E) of this50448
section, the following apply to individual or joint self-insurance 50449
programs established pursuant to this section:50450

       (1) Such funds shall be reserved as are necessary, in the50451
exercise of sound and prudent actuarial judgment, to cover50452
potential cost of health care benefits for the officers and50453
employees of the political subdivision. A report of amounts so50454
reserved and disbursements made from such funds, together with a50455
written report of a member of the American academy of actuaries50456
certifying whether the amounts reserved conform to the50457
requirements of this division, are computed in accordance with50458
accepted loss reserving standards, and are fairly stated in50459
accordance with sound loss reserving principles, shall be prepared 50460
and maintained, within ninety days after the last day of the 50461
fiscal year of the entity for which the report is provided for 50462
that fiscal year, in the office of the program administrator50463
described in division (C)(3) of this section.50464

       The report required by division (C)(1) of this section shall 50465
include, but not be limited to, disbursements made for the50466
administration of the program, including claims paid, costs of the50467
legal representation of political subdivisions and employees, and50468
fees paid to consultants.50469

       The program administrator described in division (C)(3) of50470
this section shall make the report required by this division50471
available for inspection by any person at all reasonable times50472
during regular business hours, and, upon the request of such50473
person, shall make copies of the report available at cost within a 50474
reasonable period of time.50475

       (2) Each political subdivision shall reserve funds necessary 50476
for an individual or joint self-insurance program in a special 50477
fund that may be established for political subdivisions other than 50478
an agency or instrumentality pursuant to an ordinance or50479
resolution of the political subdivision and not subject to section 50480
5705.12 of the Revised Code. An agency or instrumentality shall 50481
reserve the funds necessary for an individual or joint 50482
self-insurance program in a special fund established pursuant to a 50483
resolution duly adopted by the agency's or instrumentality's 50484
governing board. The political subdivision may allocate the costs 50485
of insurance or any self-insurance program, or both, among the 50486
funds or accounts established under this division on the basis of 50487
relative exposure and loss experience.50488

       (3) A contract may be awarded, without the necessity of50489
competitive bidding, to any person, political subdivision,50490
nonprofit corporation organized under Chapter 1702. of the Revised 50491
Code, or regional council of governments created under Chapter 50492
167. of the Revised Code for purposes of administration of an 50493
individual or joint self-insurance program. No such contract shall 50494
be entered into without full, prior, public disclosure of all 50495
terms and conditions. The disclosure shall include, at a minimum, 50496
a statement listing all representations made in connection with 50497
any possible savings and losses resulting from the contract, and 50498
potential liability of any political subdivision or employee. The 50499
proposed contract and statement shall be disclosed and presented 50500
at a meeting of the political subdivision not less than one week 50501
prior to the meeting at which the political subdivision authorizes 50502
the contract.50503

       A contract awarded to a nonprofit corporation or a regional 50504
council of governments under this division may provide that all 50505
employees of the nonprofit corporation or regional council of 50506
governments and the employees of all entities related to the 50507
nonprofit corporation or regional council of governments may be 50508
covered by the individual or joint self-insurance program under 50509
the terms and conditions set forth in the contract.50510

       (4) The individual or joint self-insurance program shall50511
include a contract with a member of the American academy of50512
actuaries for the preparation of the written evaluation of the50513
reserve funds required under division (C)(1) of this section.50514

       (5) A joint self-insurance program may allocate the costs of 50515
funding the program among the funds or accounts established under 50516
this division to the participating political subdivisions on the50517
basis of their relative exposure and loss experience.50518

       (6) An individual self-insurance program may allocate the 50519
costs of funding the program among the funds or accounts 50520
established under this division to the political subdivision that 50521
established the program.50522

       (7) Two or more political subdivisions may also authorize the 50523
establishment and maintenance of a joint health care cost50524
containment program, including, but not limited to, the employment50525
of risk managers, health care cost containment specialists, and50526
consultants, for the purpose of preventing and reducing health50527
care costs covered by insurance, individual self-insurance, or 50528
joint self-insurance programs.50529

       (8) A political subdivision is not liable under a joint50530
self-insurance program for any amount in excess of amounts payable 50531
pursuant to the written agreement for the participation of the 50532
political subdivision in the joint self-insurance program. Under a 50533
joint self-insurance program agreement, a political subdivision 50534
may, to the extent permitted under the written agreement, assume 50535
the risks of any other political subdivision. A joint 50536
self-insurance program established under this section is deemed a 50537
separate legal entity for the public purpose of enabling the 50538
members of the joint self-insurance program to obtain insurance or 50539
to provide for a formalized, jointly administered self-insurance 50540
fund for its members. An entity created pursuant to this section 50541
is exempt from all state and local taxes.50542

       (9) Any political subdivision, other than an agency or 50543
instrumentality, may issue general obligation bonds, or special 50544
obligation bonds that are not payable from real or personal 50545
property taxes, and may also issue notes in anticipation of such 50546
bonds, pursuant to an ordinance or resolution of its legislative 50547
authority or other governing body for the purpose of providing 50548
funds to pay expenses associated with the settlement of claims, 50549
whether by way of a reserve or otherwise, and to pay the political 50550
subdivision's portion of the cost of establishing and maintaining 50551
an individual or joint self-insurance program or to provide for 50552
the reserve in the special fund authorized by division (C)(2) of 50553
this section.50554

       In its ordinance or resolution authorizing bonds or notes50555
under this section, a political subdivision may elect to issue50556
such bonds or notes under the procedures set forth in Chapter 133. 50557
of the Revised Code. In the event of such an election,50558
notwithstanding Chapter 133. of the Revised Code, the maturity of50559
the bonds may be for any period authorized in the ordinance or50560
resolution not exceeding twenty years, which period shall be the50561
maximum maturity of the bonds for purposes of section 133.22 of50562
the Revised Code.50563

       Bonds and notes issued under this section shall not be50564
considered in calculating the net indebtedness of the political50565
subdivision under sections 133.04, 133.05, 133.06, and 133.07 of50566
the Revised Code. Sections 9.98 to 9.983 of the Revised Code are50567
hereby made applicable to bonds or notes authorized under this50568
section.50569

       (10) A joint self-insurance program is not an insurance50570
company. Its operation does not constitute doing an insurance50571
business and is not subject to the insurance laws of this state.50572

       (D) A political subdivision may procure group life insurance 50573
for its employees in conjunction with an individual or joint 50574
self-insurance program authorized by this section, provided that 50575
the policy of group life insurance is not self-insured.50576

       (E) Divisions (C)(1), (2), and (4) of this section do not50577
apply to individual self-insurance programs in municipal50578
corporations, townships, or counties.50579

       (F) A public official or employee of a political subdivision 50580
who is or becomes a member of the governing body of the program 50581
administrator of a joint self-insurance program in which the 50582
political subdivision participates is not in violation of division 50583
(D) or (E) of section 102.03, division (C) of section 102.04, or 50584
section 2921.42 of the Revised Code as a result of either of the 50585
following:50586

       (1) The political subdivision's entering under this section 50587
into the written agreement to participate in the joint 50588
self-insurance program;50589

       (2) The political subdivision's entering under this section 50590
into any other contract with the joint self-insurance program.50591

       Sec. 9.90.  (A) The governing board of any public institution 50592
of higher education, including without limitation state 50593
universities and colleges, community college districts, university 50594
branch districts, technical college districts, and municipal 50595
universities, may, in addition to all other powers provided in the50596
Revised Code:50597

       (1) Contract for, purchase, or otherwise procure from an50598
insurer or insurers licensed to do business by the state of Ohio50599
for or on behalf of such of its employees as it may determine,50600
life insurance, or sickness, accident, annuity, endowment, health, 50601
medical, hospital, dental, or surgical coverage and benefits, or 50602
any combination thereof, by means of insurance plans or other 50603
types of coverage, family, group or otherwise, and may pay from 50604
funds under its control and available for such purpose all or any 50605
portion of the cost, premium, or charge for such insurance, 50606
coverage, or benefits. However, the governing board, in addition 50607
to or as an alternative to the authority otherwise granted by 50608
division (A)(1) of this section, may elect to procure coverage for 50609
health care services, for or on behalf of such of its employees as 50610
it may determine, by means of policies, contracts, certificates, 50611
or agreements issued by at least two health insuring corporations 50612
holding a certificate of authority under Chapter 1751. of the 50613
Revised Code and may pay from funds under the governing board's 50614
control and available for such purpose all or any portion of the 50615
cost of such coverage.50616

       (2) Make payments to a custodial account for investment in50617
regulated investment company stock for the purpose of providing50618
retirement benefits as described in section 403(b)(7) of the50619
Internal Revenue Code of 1954, as amended. Such stock shall be50620
purchased only from persons authorized to sell such stock in this50621
state.50622

       Any income of an employee deferred under divisions (A)(1) and 50623
(2) of this section in a deferred compensation program eligible 50624
for favorable tax treatment under the Internal Revenue Code of 50625
1954, as amended, shall continue to be included as regular 50626
compensation for the purpose of computing the contributions to and 50627
benefits from the retirement system of such employee. Any sum so 50628
deferred shall not be included in the computation of any federal 50629
and state income taxes withheld on behalf of any such employee.50630

       (B) All or any portion of the cost, premium, or charge50631
therefor may be paid in such other manner or combination of50632
manners as the governing board may determine, including direct 50633
payment by the employee in cases under division (A)(1) of this 50634
section, and, if authorized in writing by the employee in cases 50635
under division (A)(1) or (2) of this section, by such governing 50636
board with moneys made available by deduction from or reduction in 50637
salary or wages or by the foregoing of a salary or wage increase. 50638
Nothing in section 3917.01 or section 3917.06 of the Revised Code 50639
shall prohibit the issuance or purchase of group life insurance 50640
authorized by this section by reason of payment of premiums 50641
therefor by the governing board from its funds, and such group 50642
life insurance may be so issued and purchased if otherwise 50643
consistent with the provisions of sections 3917.01 to 3917.07 of 50644
the Revised Code.50645

       (C) The board of education of any school district may 50646
exercise any of the powers granted to the governing boards of 50647
public institutions of higher education under divisions (A) and 50648
(B) of this section, except in relation to the provision of health 50649
care benefits to employees. All health care benefits provided to 50650
persons employed by the public schools of this state shall be 50651
medicalhealth care plans designedthat contain best practices 50652
established by the school employees health care board pursuant to 50653
section 9.901 of the Revised Code.50654

       Sec. 9.901.  (A)(1) All health care benefits provided to 50655
persons employed by the public schoolsschool districts of this 50656
state shall be provided by medicalhealth care plans designedthat 50657
contain best practices established pursuant to this section by the 50658
school employees health care board. The board, in consultation 50659
with the superintendent of insurance, shall negotiate with and, in 50660
accordance with the competitive selection procedures of Chapter 50661
125. of the Revised Code, contract with one or more insurance 50662
companies authorized to do business in this state for the issuance 50663
of the plans.The plans described under this section shall be 50664
available to cover public school district employees not later than 50665
the last day of the month that is the eighteenth full month after 50666
the effective date of this amendment. The board shall release its 50667
best practices standards prior to the eighteen-month deadline. Any 50668
or all of the medicalhealth care plans designedthat contain best 50669
practices specified by the board may be self-insured. All 50670
self-insured plans adopted shall be administered by the board in 50671
accordance with this section. As used in this section, a "public 50672
school district" means a school in a city, local, exempted 50673
village, or joint vocational school district, and includes the 50674
educational service centers associated with those schools50675
districts.50676

       (2) Prior to soliciting proposals from insurance companies 50677
for the issuance of medical plans, the board shall determine what 50678
geographic regions exist in the state based on the availability of 50679
providers, networks, costs, and other factors relating to 50680
providing health care benefits. The board shall then determine 50681
what medical plans are offered by school districts and existing 50682
consortiums in the state. The board shall determine what medical 50683
plan offered by a school district or existing consortium in the 50684
region offers the lowest premium cost plan.50685

       (3) The board shall develop a request for proposals and 50686
solicit bids for medical plans for the school districts in a 50687
region similar to the existing plans. The board shall also 50688
determine the benefits offered by existing medical plans, the 50689
employees' costs, and the cost-sharing arrangements used by public 50690
schools participating in a consortium. The board shall determine 50691
what strategies are used by the existing medical plans to manage 50692
health care costs and shall study the potential benefits of state 50693
or regional consortiums of public schools offering multiple health 50694
care plans.50695

       (4) As used in this section, a:50696

       (a) A "medicalhealth care plan" includes group policies, 50697
contracts, and agreements that provide hospital, surgical, or 50698
medical expense coverage, including self-insured plans. A "medical50699
health care plan" does not include an individual plan offered to 50700
the employees of a public school district, or a plan that provides 50701
coverage only for specific disease or accidents, or a hospital 50702
indemnity, medicare supplement, or other plan that provides only 50703
supplemental benefits, paid for by the employees of a public 50704
school district.50705

       (b) A "health plan sponsor" means a public school district, a 50706
consortium of public school districts, or a council of 50707
governments.50708

       (B) The school employees health care board is hereby created. 50709
The school employees health care board shall consist of the 50710
following ninetwelve members and shall include individuals with 50711
experience with public school district benefit programs, health 50712
care industry providers, and medicalhealth care plan 50713
beneficiaries:50714

       (1) ThreeFour members appointed by the governor, one of whom 50715
shall be representative of nonadministrative public school 50716
district employees;50717

       (2) ThreeFour members appointed by the president of the 50718
senate, one of whom shall be representative of nonadministrative 50719
public school district employees;50720

       (3) ThreeFour members appointed by the speaker of the house 50721
of representatives, one of whom shall be representative of 50722
nonadministrative public school district employees.50723

       A member of the school employees health care board shall not 50724
be employed by, represent, or in any way be affiliated with a 50725
private entity that is providing services to the board, an 50726
individual school district, employers, or employees in the state 50727
of Ohio. 50728

       (C)(1) Members of the school employees health care board 50729
shall serve four-year terms; however, one of each of the initial 50730
members appointed under divisions (B)(1) to (3) of this section 50731
shall be appointed to a term of one year. The initial appointments 50732
under this section shall be made within forty-five days after 50733
September 29, 2005, but may be reappointed, except as otherwise 50734
specified in division (B) of this section.50735

       Members' terms shall end on the twenty-ninth day of 50736
September, but aA member shall continue to serve subsequent to 50737
the expiration of the member's term until a successor is 50738
appointed. Any vacancy occurring during a member's term shall be 50739
filled in the same manner as the original appointment, except that 50740
the person appointed to fill the vacancy shall be appointed to the 50741
remainder of the unexpired term.50742

       (2) Members shall serve withoutreceive compensation but50743
fixed pursuant to division (J) of section 124.15 of the Revised 50744
Code and shall be reimbursed from the school employees health care 50745
fund for actual and necessary expenses incurred in the performance 50746
of their official duties as members of the board.50747

       (3) Members may be removed by their appointing authority for 50748
misfeasance, malfeasance, incompetence, dereliction of duty, or 50749
other just cause.50750

       (D)(1) The governor shall call the first meeting of the 50751
school employees health care board. At that meeting, and annually 50752
thereafterAt the first meeting of the board after the first day 50753
of January of each calendar year, the board shall elect a 50754
chairperson and may elect members to other positions on the board 50755
as the board considers necessary or appropriate. The board shall 50756
meet at least fournine times each calendar year and shall also 50757
meet at the call of the chairperson or threefour or more board 50758
members. The chairperson shall provide reasonable advance notice 50759
of the time and place of board meetings to all members.50760

       (2) A majority of the board constitutes a quorum for the 50761
transaction of business at a board meeting. A majority vote of the 50762
members present is necessary for official action.50763

       (E) The school employees health care board shall conduct its 50764
business at open meetings; however, the records of the board are 50765
not public records for purposes of section 149.43 of the Revised 50766
Code.50767

       (F) The school employees health care fund is hereby created 50768
in the state treasury. The public schools shall pay all school 50769
employees health care board plan premiums in the manner prescribed 50770
by the school employees health care board to the board for deposit 50771
into the school employees health care fund. AllThe board shall 50772
use all funds in the school employees health care fund shall be 50773
used solely for the provision of health care benefits to public 50774
schools employees pursuant to this sectionto carry out the 50775
provisions of this section and related administrative costs. 50776
Premiums received by the board or insurance companies contracted 50777
pursuant to division (A) of this section are not subject to any 50778
state insurance premium tax.50779

       (G) The school employees health care board shall do all of 50780
the following:50781

       (1) Design multiple medicalAdopt and release a set of 50782
standards that shall be considered the best practices to which 50783
public school districts shall adhere in the selection and 50784
implementation of health care plans;50785

       (2) Develop best practices for the provision of health care 50786
benefits and subsequently approve health care plans, including 50787
regional plans, to provide, in the board's judgment, the optimal 50788
combination of coverage, cost, choice, and stability of health 50789
cost benefits. The board may establish more than one tier of 50790
premium rates for any medical plan. The board shall establish 50791
regions as necessary for the implementation of the board's medical 50792
plans. Plans and premium rates may vary across the regions 50793
established by the board.50794

       (2) Set an aggregate goalbased on the best practices 50795
developed by the board;50796

       (3) Require that the plans the health plan sponsors 50797
administer make readily available to the public all cost and 50798
design elements of the plan;50799

       (4) Determine the feasibility of procurement of selected 50800
health care benefits through consolidated systems that offer 50801
demonstrated economies of scale;50802

       (5) Work with health plan sponsors through educational 50803
outlets and consultation;50804

       (6) Maintain a commitment to transparency and public access 50805
of its meetings and activity pursuant to division (E) of this 50806
section;50807

       (7) Promote cooperation among all organizations affected by 50808
this section in identifying the elements for the successful 50809
implementation of this section;50810

       (8) Develop recommendations for employee and employer 50811
portions of premiums for the board's medicalhealth care plans so 50812
as to manage plan participation and encourage the use of 50813
value-based plan participation by employees;50814

       (3) Set(9) Develop recommendations for employer and employee 50815
plan copayments, deductibles, exclusions, limitations, 50816
formularies, premium shares, and other responsibilities;50817

       (4) Include(10) Ensure that disease management and consumer 50818
education programs, to the extent that the board determines is 50819
appropriate, are included in all medicalhealth care plans 50820
designed by the board, which programs shall include, but are not 50821
limited to, wellness programs and other measures designed to 50822
encourage the wise use of medicalhealth care plan coverage. These 50823
programs are not services or treatments for purposes of section 50824
3901.71 of the Revised Code.50825

       (5)(11) Create and distribute to the governor, the speaker of 50826
the house of representatives, and the president of the senate, an 50827
annual report covering the plan background; plan coverage options; 50828
plan administration, including procedures for monitoring and 50829
managing objectives, scope, and methodology; plan operations; 50830
employee and employer contribution rates and the relationship 50831
between the rates and the school employees health care fund 50832
balance; a means to develop and maintain identity and evaluate 50833
alternative employee and employer cost-sharing strategies; an 50834
evaluation of the effectiveness of cost-saving services and 50835
programs; an evaluation of efforts to control and manage member 50836
eligibility and to insure that proper employee and employer 50837
contributions are remitted to the trust fund; efforts to prevent 50838
and detect fraud; and efforts to manage and monitor board 50839
contracts;50840

       (6)(12) Utilize cost containment measures aligned with 50841
patient, plan, and provider management strategies in developing 50842
and managing medicalhealth care plans.50843

       (13) Prepare and disseminate to the public an annual report 50844
on the status of health plan sponsors' effectiveness in making 50845
progress to reduce the rate of increase in insurance premiums and 50846
employee out of pocket expenses, as well as progress in improving 50847
the health status of school district employees and their families.50848

       (H) The board also may develop and implement programs through 50849
its own initiative for specific health benefits to be utilized by 50850
health plan sponsors to supplement coverages offered by the school 50851
districts, including, but not limited to, prescription drugs and 50852
disease management.50853

       (I) The sections in Chapter 3923. of the Revised Code 50854
regulating public employee benefit plans are not applicable to the 50855
medicalhealth care plans designed pursuant to this section.50856

       (I)(J)(1) Public schoolsschool districts are not subject to 50857
this section prior to the release of medical plans designed 50858
pursuant tobest practices covered by this section, but shall 50859
adopt and implement board-approved best practices after the date 50860
the board releases its best practices pursuant to this section and 50861
by not later than the first day following the expiration of any 50862
collective bargaining agreement applicable to employees of the 50863
public school district that occurs after the release date. The 50864
board shall designate the specific date by which a particular 50865
public school district shall adopt and implement board-approved 50866
best practices.50867

       (2) Prior to the school employees health care board's release 50868
of the board's initial medical plans, theThe board shallmay50869
contract with anone or more independent consultantconsultants to 50870
analyze costs related to employee health care benefits provided by 50871
existing public school district plans in this state. The 50872
consultant shallconsultants may determine the benefits offered by 50873
existing medicalhealth care plans, the employees' costs, and the 50874
cost-sharing arrangements used by public schoolsschool districts50875
either participating in a consortium or by other means. The 50876
consultant shallconsultants may determine what strategies are 50877
used by the existing medicalhealth care plans to manage health 50878
care costs and shallmay study the potential benefits of state or 50879
regional consortiums of public schools offering multiple health 50880
care plans. Based on the findings of the analysis, the consultant 50881
shallconsultants may submit written recommendations to the board 50882
for the development and implementation of a successful program50883
best practices and programs for poolingimproving school 50884
districts' combined purchasing power for the acquisition of 50885
employee medicalhealth care plans. The consultant's 50886
recommendations shall address, at a minimum, all of the following 50887
issues:50888

       (a) The establishment of regions for the provision of medical 50889
plans, based on the availability of providers and plans in the 50890
state at the time that the school employees health care board is 50891
established;50892

       (b) The use of regional preferred provider and closed panel 50893
plans, health savings accounts, and alternative medical plans, to 50894
stabilize both costs and the premiums charged school districts and 50895
district employees;50896

       (c) The development of a system to obtain eligibility data 50897
and data compiled pursuant to the "Consolidated Omnibus Budget 50898
Reconciliation Act of 1985 (COBRA)," 100 Stat. 227, 29 U.S.C. 50899
1161, as amended;50900

       (d) The use of the competitive bidding process for regional 50901
medical plans;50902

       (e) The development of a timeline planning for the design and 50903
use of board medical plans by not later than December 31, 2007;50904

       (f) The use of information on claims and costs and of 50905
information reported by districts pursuant to COBRA in analyzing 50906
administrative and premium costs;50907

       (g) The experience of states that have mandated statewide 50908
medical plans for public school employees, including the 50909
implementation strategies used by those states;50910

       (h) Recommended strategies for the use of first-year roll-in 50911
premiums in the transition from district medical plans to school 50912
employees health care board plans;50913

       (i) The option of allowing school districts to join an 50914
existing regional consortium as an alternative to school employees 50915
health care board plans;50916

       (j) Mandatory and optional coverages to be offered by the 50917
board's medical plans;50918

       (k) Potential risks to the state from the use of medical 50919
plans developed pursuant to this section;50920

       (l) Any legislation needed to ensure the long-term financial 50921
solvency and stability of a health care purchasing system;50922

       (m) The potential impacts of any changes to the existing 50923
purchasing structure on all of the following:50924

       (i) Existing health care pooling and consortiums;50925

       (ii) School district employees;50926

       (iii) Individual school districts.50927

       (n) Issues that could arise when school districts transition 50928
from the existing purchasing structure to a new purchasing 50929
structure;50930

       (o) Strategies available to the board in the creation of fund 50931
reserves and the need for stop-loss insurance coverage for 50932
catastrophic losses;50933

       (p) Any legislation needed to establish and maintain medical 50934
plans designed pursuant to this section. The consultant shall 50935
submit all legislative recommendations not later than December 31, 50936
2006, in writing, to the school employees health care board and to 50937
the governor, the speaker of the house of representatives, and the 50938
president of the senate.50939

       (3) The public schools health care advisory committee is 50940
hereby created under the school employees health care board. The 50941
committee shall make recommendations to the school employees 50942
health care board related to the board's accomplishment of the 50943
duties assigned to the board under this section. The committee 50944
shall consist of eighteen members. The governor, the speaker of 50945
the house of representatives, and the president of the senate 50946
shall each appoint a representative from the Ohio education 50947
association, the Ohio school boards association, the Ohio 50948
association of school business officials, the Ohio association of 50949
health underwriters, an existing health care consortium serving 50950
public schools, and a health insuring corporation licensed to do 50951
business in Ohio and recommended by the Ohio association of health 50952
plans. The initial appointees shall be appointed to a one-year 50953
term not later than July 31, 2007, the members' term to begin on 50954
that date. Subsequentserve until December 31, 2007; subsequent50955
one-year appointments, to commence on the thirty-first day of July50956
first day of January of each year thereafter, and shall be made in 50957
the same manner. A member shall continue to serve subsequent to 50958
the expiration of the member's term until the member's successor 50959
is appointed. Any vacancy occurring during a member's term shall 50960
be filled in the same manner as the original appointment, except 50961
that the person appointed to fill the vacancy shall be appointed 50962
to the remainder of the unexpired term. The governor shall call 50963
the first meeting of each newly appointed committee. At that 50964
meeting the board shall elect a chairperson who shall call the 50965
time and place of future committee meetings. Committee members are 50966
not subject to the conditions for eligibility set by division (B) 50967
of this section for members of the school employees health care 50968
board.50969

       (4) The school employees health care board shall submit a 50970
written study to the governor and the general assembly not later 50971
than January 31, 2007, of a plan to operate in compliance with 50972
this section, and on the governance of the school employees health 50973
care board. A copy of the board's plan of operation, including 50974
audit provisions, shall accompany the report on the board's 50975
governance and the report shall include the board's 50976
recommendations on any legislation needed to enforce the 50977
recommendations of the board on implementing the provisions of 50978
this section.50979

       (5) Not later than January 15, 2009, and not later than the 50980
same day of each subsequent year, the school employees health care 50981
board shall submit a written report to the governor and each 50982
member of the general assembly, which report evaluates the 50983
performance of school employees health care board medical plans 50984
during the previous year. Districts offering employee health care 50985
benefits through a plan offered by a consortium of two or more 50986
districts, or a consortium of one or more districts and one or 50987
more political subdivisions as defined in section 9.833 of the 50988
Revised Code, representing five thousand or more employees as of 50989
January 1, 2005, may request permission from the school employees 50990
health care board to continue offering consortium plans to the 50991
districts' employees at the discretion of the board. If the board 50992
grants permission, the permission is valid for only one year but 50993
may be renewed annually thereafter upon application to an approval 50994
of the board. The board shall grant initial or continued approval 50995
upon finding, based on an actuarial evaluation of the existing 50996
consortium plan offerings, that benefit design, premium costs, 50997
administrative cost, and other factors considered by the board are 50998
equivalent to or lower than comparable costs of the board's plan 50999
options offered to the local district. Age and gender adjustments, 51000
benefit comparison adjustments, and the total cost of the 51001
consortium plan, including administration, benefit cost, stop-loss 51002
insurance, and all other expenses or information requested by the 51003
board shall be presented to the board prior to the board's 51004
decision to allow a local district to continue to offer health 51005
care benefits under a consortium plan. A district shall not 51006
participate in the consortium plan once the district has chosen to 51007
offer plans designed by the board to the district's employees and 51008
begins premium payments for deposit into the school employees 51009
health care fund.51010

       (6)If based upon an audit of a health care sponsor, the 51011
board makes a determination that the sponsor no longer meets the 51012
best practice standards adopted by the board, the board may 51013
suspend or cancel the sponsor's right to administer plans under 51014
the jurisdiction of the board. The decision of the board to 51015
suspend or cancel a sponsor's right may be appealed by the sponsor 51016
pursuant to a hearing and appeal process the board shall adopt by 51017
rule.51018

        (5) Upon a failure by a sponsor to adhere to the directives 51019
of the board, the board may request the attorney general to apply 51020
to a court having jurisdiction for any necessary orders to enforce 51021
compliance with the requirement of this section that a health care 51022
sponsor, unless otherwise allowed, shall adopt and adhere to best 51023
practices designed by the board or comply with any other 51024
requirements of this section, as the case may be. The board also 51025
may engage outside counsel if it deems necessary.51026

       (6) Upon notice by the board to the department of education 51027
that a district is not in compliance with the board's directives 51028
and a court order as described in this section, the department 51029
shall withhold one per cent of all state financial aid and 51030
assistance to the district each month until the department 51031
receives notice from the board that the district is in full 51032
compliance with the board's directives and subsequent court order.51033

       (7) Any districts providing medicalhealth care plan coverage 51034
for the employees of public schools, or that have provided 51035
coverage within two years prior to September 29, 2005,school 51036
districts shall provide nonidentifiable aggregate claims data for 51037
the coverage to the school employees health care board or the 51038
department of administrative services, without charge, within 51039
thirty days after receiving a written request from the board or 51040
the department. The claims data shall include data relating to 51041
employee group benefit sets, demographics, and claims experience.51042

       (J)(K)(1) The school employees health care board may contract 51043
with other state agencies for services as the board deems 51044
necessary for the implementation and operation of this section, 51045
based on demonstrated experience and expertise in administration, 51046
management, data handling, actuarial studies, quality assurance, 51047
or for other needed services. The school employees health care 51048
board shallmay contract with the department of administrative 51049
services for central services until such time the board isdeems 51050
itself able to obtain such services from its own staff or from 51051
other sources. The board shall reimburse the department of 51052
administrative services for the reasonable cost of those services.51053

       (K)(2) The board shall hire staff as necessary to provide 51054
administrative support to the board and the public school employee 51055
health care plan program established by this section.51056

       (L) The board's administrative functions shall include, but 51057
are not limited to, the following:51058

       (1) Maintaining reserves in the school employees health care 51059
fund, reinsurance, and other measures that in the judgment of the 51060
board will result in the long-term stability and solvency of the 51061
medical plans designed by the board. The board shall bill school 51062
districts, in proportion to a district's premium payments to all 51063
premium payments paid into the school employees health care fund 51064
during the previous year, in order to maintain necessary reserves, 51065
reinsurance, and administrative and operating funds. Each school 51066
district contributing to a board medical plan shall share any 51067
losses due to the expense of claims paid by the plan. In the event 51068
of a loss, the board may bill each district an amount, in 51069
proportion to the district's premium payments to all premium 51070
payments paid into the school employees health care fund during 51071
the previous year, sufficient in total to cover the loss. The 51072
state is not liable for any obligations of the school employees 51073
health care board or the school employees health care fund, or for 51074
expenses of public schools or school districts related to the 51075
board's medical plans.51076

       (2) Providing health care information, wellness programs, and 51077
other preventive health care measures to medicalhealth care plan 51078
beneficiaries, to the extent that the board determines to be 51079
appropriate;51080

       (3) Coordinating(2) Developing requests for proposals and 51081
establishing contracts for services related to the board's medical51082
health care plans related to the benefits the board believes are 51083
in the best interests of employees of public school districts as 51084
permitted in division (H) of this section. Contracts shall be 51085
approved by the school employees health care board.51086

       (L)(M) Not less than ninety days before coverage begins for 51087
public school district employees under medicalhealth care plans 51088
designed bycontaining best practices prescribed by the school 51089
employees health care board, a public school district's board of 51090
education shall provide detailed information about the medical51091
health care plans to the employees.51092

       (M)(N) Nothing in this section shall be construed as 51093
prohibiting public schools or school districts from consulting 51094
with and compensating insurance agents and brokers for 51095
professional services. The arrangement and contracts for these 51096
services shall be a public record and disclosed along with other 51097
data required by the board.51098

       (N) The department of administrative services shall report to 51099
the governor, the speaker of the house of representatives, and the 51100
president of the senate not later than April 30, 2007, on the 51101
feasibility of achieving all of the following:51102

       (1) Designing multiple medical plans to cover persons 51103
employed by public institutions of higher education that achieve 51104
an optimal combination of coverage, cost, choice, and stability, 51105
which plans include both state and regional preferred provider 51106
plans, set employee and employer premiums, and set employee plan 51107
copayments, deductibles, exclusions, limitations, formularies, and 51108
other responsibilities. For this purpose, "public institutions of 51109
higher education" include, without limitation, state universities 51110
and colleges, state community college districts, community college 51111
districts, university branch districts, technical college 51112
districts, and municipal universities.51113

       (2) Maintaining reserves, reinsurance, and other measures to 51114
insure the long-term stability and solvency of the medical plans;51115

       (3) Providing appropriate health care information, wellness 51116
programs, and other preventive health care measures to medical 51117
plan beneficiaries;51118

       (4) Coordinating contracts for services related to the 51119
medical plans.51120

       (O)(1) Pursuant to Chapter 117. of the Revised Code, the 51121
auditor of state shall conduct all necessary and required audits 51122
of the board. The auditor of state, upon request, also shall 51123
furnish to the board copies of audits of public school districts 51124
or consortia performed by the auditor of state.51125

        (2) Annually, the superintendent of insurance shall evaluate 51126
the performance of the school employee health care board best 51127
practices during the previous year and submit the results in 51128
writing to the governor and the general assembly. The 51129
superintendent also shall include in the audit of the health care 51130
plans of the health plan sponsors for which the superintendent has 51131
jurisdiction for a determination of adherence to the best 51132
practices established by the board.51133

       (3) Any health care provider or other vendor that contracts 51134
with a public school district or consortium to furnish health care 51135
benefits or services pursuant to a health care plan under this 51136
section, as a condition of such contract, shall agree to submit to 51137
audits the board may require to ensure compliance with the best 51138
practices of the board for the provision of such benefits or 51139
services. The board may contract with persons for independent 51140
audits of such providers or vendors. The audits shall cover the 51141
overall performance of the provider or vendor including, but not 51142
limited to, claims processing procedures and results, eligibility 51143
determination procedures and standards for health care plan 51144
participants, and adherence to best practices established by the 51145
board.51146

       Sec. 3311.19.  (A) The management and control of a joint51147
vocational school district shall be vested in the joint vocational51148
school district board of education. Where a joint vocational51149
school district is composed only of two or more local school51150
districts located in one county, or when all the participating51151
districts are in one county and the boards of such participating51152
districts so choose, the educational service center governing51153
board of the county in which the joint vocational school district51154
is located shall serve as the joint vocational school district51155
board of education. Where a joint vocational school district is51156
composed of local school districts of more than one county, or of51157
any combination of city, local, or exempted village school51158
districts or educational service centers, unless administration by51159
the educational service center governing board has been chosen by51160
all the participating districts in one county pursuant to this51161
section, the board of education of the joint vocational school51162
district shall be composed of one or more persons who are members51163
of the boards of education from each of the city or exempted51164
village school districts or members of the educational service51165
centers' governing boards affected to be appointed by the boards51166
of education or governing boards of such school districts and51167
educational service centers. In such joint vocational school51168
districts the number and terms of members of the joint vocational51169
school district board of education and the allocation of a given51170
number of members to each of the city and exempted village51171
districts and educational service centers shall be determined in51172
the plan for such district, provided that each such joint51173
vocational school district board of education shall be composed of51174
an odd number of members.51175

       (B) Notwithstanding division (A) of this section, a governing51176
board of an educational service center that has members of its51177
governing board serving on a joint vocational school district 51178
board of education may make a request to the joint vocational 51179
district board that the joint vocational school district plan be 51180
revised to provide for one or more members of boards of education 51181
of local school districts that are within the territory of the 51182
educational service district and within the joint vocational 51183
school district to serve in the place of or in addition to its 51184
educational service center governing board members. If agreement51185
is obtained among a majority of the boards of education and 51186
governing boards that have a member serving on the joint51187
vocational school district board of education and among a majority51188
of the local school district boards of education included in the51189
district and located within the territory of the educational51190
service center whose board requests the substitution or addition,51191
the state board of education may revise the joint vocational51192
school district plan to conform with such agreement.51193

       (C) If the board of education of any school district or51194
educational service center governing board included within a joint51195
vocational district that has had its board or governing board51196
membership revised under division (B) of this section requests the51197
joint vocational school district board to submit to the state51198
board of education a revised plan under which one or more joint51199
vocational board members chosen in accordance with a plan revised51200
under such division would again be chosen in the manner prescribed51201
by division (A) of this section, the joint vocational board shall51202
submit the revised plan to the state board of education, provided51203
the plan is agreed to by a majority of the boards of education51204
represented on the joint vocational board, a majority of the local51205
school district boards included within the joint vocational51206
district, and each educational service center governing board51207
affected by such plan. The state board of education may revise the 51208
joint vocational school district plan to conform with the revised 51209
plan.51210

       (D) The vocational schools in such joint vocational school51211
district shall be available to all youth of school age within the51212
joint vocational school district subject to the rules adopted by51213
the joint vocational school district board of education in regard51214
to the standards requisite to admission. A joint vocational school 51215
district board of education shall have the same powers, duties, 51216
and authority for the management and operation of such joint 51217
vocational school district as is granted by law, except by this 51218
chapter and Chapters 124., 3317., 3323., and 3331. of the Revised 51219
Code, to a board of education of a city school district, and shall 51220
be subject to all the provisions of law that apply to a city 51221
school district, except such provisions in this chapter and51222
Chapters 124., 3317., 3323., and 3331. of the Revised Code.51223

       (E) Where a governing board of an educational service center51224
has been designated to serve as the joint vocational school51225
district board of education, the educational service center51226
superintendent shall be the executive officer for the joint51227
vocational school district, and the governing board may provide51228
for additional compensation to be paid to the educational service51229
center superintendent by the joint vocational school district, but51230
the educational service center superintendent shall have no51231
continuing tenure other than that of educational service center51232
superintendent. The superintendent of schools of a joint51233
vocational school district shall exercise the duties and authority51234
vested by law in a superintendent of schools pertaining to the51235
operation of a school district and the employment and supervision51236
of its personnel. The joint vocational school district board of51237
education shall appoint a treasurer of the joint vocational school51238
district who shall be the fiscal officer for such district and who51239
shall have all the powers, duties, and authority vested by law in51240
a treasurer of a board of education. Where a governing board of an 51241
educational service center has been designated to serve as the51242
joint vocational school district board of education, such board51243
may appoint the educational service center superintendent as the51244
treasurer of the joint vocational school district.51245

       (F) Each member of a joint vocational school district board51246
of education may be paid such compensation as the board provides51247
by resolution, but it shall not exceed one hundred twenty-five51248
dollars per member for each meeting attended plus mileage, at the51249
rate per mile provided by resolution of the board, to and from51250
meetings of the board.51251

       The board may provide by resolution for the deduction of51252
amounts payable for benefits under section 3313.202 of the Revised 51253
Code.51254

       Each member of a joint vocational school district board may51255
be paid such compensation as the board provides by resolution for51256
attendance at an approved training program, provided that such51257
compensation shall not exceed sixty dollars per day for attendance51258
at a training program three hours or fewer in length and one51259
hundred twenty-five dollars a day for attendance at a training51260
program longer than three hours in length. However, no board51261
member shall be compensated for the same training program under51262
this section and section 3313.12 of the Revised Code.51263

       Sec. 3313.12.  Each member of the educational service center51264
governing board may be paid such compensation as the governing51265
board provides by resolution, provided that any such compensation51266
shall not exceed one hundred twenty-five dollars a day plus51267
mileage both ways, at the rate per mile provided by resolution of51268
the governing board, for attendance at any meeting of the board.51269
Such compensation and the expenses of the educational service51270
center superintendent, itemized and verified, shall be paid from51271
the educational service center governing board fund upon vouchers51272
signed by the president of the governing board.51273

       The board of education of any city, local, or exempted51274
village school district may provide by resolution for compensation51275
of its members, provided that such compensation shall not exceed 51276
one hundred twenty-five dollars per member for meetings attended.51277
The board may provide by resolution for the deduction of amounts51278
payable for benefits under section 3313.202 of the Revised Code.51279

       Each member of a district board or educational service center51280
governing board may be paid such compensation as the respective51281
board provides by resolution for attendance at an approved51282
training program, provided that such compensation shall not exceed51283
sixty dollars a day for attendance at a training program three51284
hours or fewer in length and one hundred twenty-five dollars a day51285
for attendance at a training program longer than three hours in51286
length.51287

       Sec. 3313.202.  Any elected or appointed member of the board 51288
of education of a school district and the dependent children and 51289
spouse of the member may be covered, at the option of the member, 51290
under any medicalhealth care plan designedcontaining best 51291
practices prescribed by the school employees health care board 51292
under section 9.901 of the Revised Code. The member shall pay all 51293
premiums for that coverage. Payments for such coverage shall be 51294
made, in advance, in a manner prescribed by the school employees 51295
health care board. The member's exercise of an option to be 51296
covered under this section shall be in writing, announced at a 51297
regular public meeting of the board of education, and recorded as 51298
a public record in the minutes of the board.51299

       Sec. 3313.33.  (A) Conveyances made by a board of education51300
shall be executed by the president and treasurer thereof.51301

       (B) Except as provided in division (C) of this section, no 51302
member of the board shall have, directly or indirectly, any51303
pecuniary interest in any contract of the board or be employed in51304
any manner for compensation by the board of which the person is a 51305
member. No contract shall be binding upon any board unless it is 51306
made or authorized at a regular or special meeting of such board.51307

       (C) A member of the board may have a pecuniary interest in a 51308
contract of the board if all of the following apply:51309

       (1) The member's pecuniary interest in that contract is that 51310
the member is employed by a political subdivision, 51311
instrumentality, or agency of the state that is contracting with 51312
the board;51313

       (2) The member does not participate in any discussion or 51314
debate regarding the contract or vote on the contract;51315

       (3) The member files with the school district treasurer an 51316
affidavit stating the member's exact employment status with the 51317
political subdivision, instrumentality, or agency contracting with 51318
the board.51319

       (D) This section does not apply where a member of the board,51320
being a shareholder of a corporation but not being an officer or51321
director thereof, owns not in excess of five per cent of the stock 51322
of such corporation. If a stockholder desires to avail self of the 51323
exception, before entering upon such contract such person shall 51324
first file with the treasurer an affidavit stating the 51325
stockholder's exact status and connection with said corporation.51326

       This section does not apply where a member of the board51327
elects to be covered by a medicalhealth care plan under section 51328
3313.202 of the Revised Code.51329

       Sec. 4117.03.  (A) Public employees have the right to:51330

       (1) Form, join, assist, or participate in, or refrain from51331
forming, joining, assisting, or participating in, except as51332
otherwise provided in Chapter 4117. of the Revised Code, any51333
employee organization of their own choosing;51334

       (2) Engage in other concerted activities for the purpose of 51335
collective bargaining or other mutual aid and protection;51336

       (3) Representation by an employee organization;51337

       (4) Bargain collectively with their public employers to51338
determine wages, hours, terms and other conditions of employment51339
and the continuation, modification, or deletion of an existing51340
provision of a collective bargaining agreement, and enter into51341
collective bargaining agreements;51342

       (5) Present grievances and have them adjusted, without the51343
intervention of the bargaining representative, as long as the51344
adjustment is not inconsistent with the terms of the collective51345
bargaining agreement then in effect and as long as the bargaining51346
representatives have the opportunity to be present at the51347
adjustment.51348

       (B) Persons on active duty or acting in any capacity as51349
members of the organized militia do not have collective bargaining 51350
rights.51351

       (C) Except as provided in division (D) of this section, 51352
nothing in Chapter 4117. of the Revised Code prohibits public 51353
employers from electing to engage in collective bargaining, to 51354
meet and confer, to hold discussions, or to engage in any other 51355
form of collective negotiations with public employees who are not 51356
subject to Chapter 4117. of the Revised Code pursuant to division 51357
(C) of section 4117.01 of the Revised Code.51358

       (D) A public employer shall not engage in collective 51359
bargaining or other forms of collective negotiations with the 51360
employees of county boards of elections referred to in division 51361
(C)(12) of section 4117.01 of the Revised Code.51362

       (E)(1) Employees of public schoolschools may bargain 51363
collectively for health care benefits; however, all health care 51364
benefits shall be provided throughinclude best practices 51365
prescribed by the school employees health care board medical 51366
plans, in accordance with section 9.901 of the Revised Code. If a 51367
school district provides its employees with health care benefits 51368
pursuant to collective bargaining, the employees shall be 51369
permitted to choose a plan option from among the school employees 51370
health care board plans agreed to during collective bargaining.51371

       (2) During collective bargaining, employees of public schools 51372
may agree to pay a higher percentage of the premium for health 51373
benefit coverage under the plans designed by the school employees 51374
health care board pursuant to section 9.901 of the Revised Code 51375
than the percentage designated as the employees' contribution 51376
level by the board. A collective bargaining agreement, however, 51377
shall not permit the employees to contribute a lesser percentage 51378
of the premium than that set as the employees' contribution level 51379
by the school employees health care board, unless, in so doing, 51380
the participating school board is able to remain in compliance 51381
with the aggregate goal set pursuant to division (G)(3) of section 51382
9.901 of the Revised Code.51383

       Sec. 4117.08.  (A) All matters pertaining to wages, hours, or 51384
terms and other conditions of employment and the continuation,51385
modification, or deletion of an existing provision of a collective 51386
bargaining agreement are subject to collective bargaining between 51387
the public employer and the exclusive representative, except as 51388
otherwise specified in this section and division (E) of section 51389
4117.03 of the Revised Code.51390

       (B) The conduct and grading of civil service examinations,51391
the rating of candidates, the establishment of eligible lists from 51392
the examinations, and the original appointments from the eligible 51393
lists are not appropriate subjects for collective bargaining.51394

       (C) Unless a public employer agrees otherwise in a collective 51395
bargaining agreement, nothing in Chapter 4117. of the Revised Code 51396
impairs the right and responsibility of each public employer to:51397

       (1) Determine matters of inherent managerial policy which51398
include, but are not limited to areas of discretion or policy such 51399
as the functions and programs of the public employer, standards of 51400
services, its overall budget, utilization of technology, and 51401
organizational structure;51402

       (2) Direct, supervise, evaluate, or hire employees;51403

       (3) Maintain and improve the efficiency and effectiveness of 51404
governmental operations;51405

       (4) Determine the overall methods, process, means, or51406
personnel by which governmental operations are to be conducted;51407

       (5) Suspend, discipline, demote, or discharge for just cause, 51408
or lay off, transfer, assign, schedule, promote, or retain51409
employees;51410

       (6) Determine the adequacy of the work force;51411

       (7) Determine the overall mission of the employer as a unit 51412
of government;51413

       (8) Effectively manage the work force;51414

       (9) Take actions to carry out the mission of the public51415
employer as a governmental unit.51416

       The employer is not required to bargain on subjects reserved 51417
to the management and direction of the governmental unit except as 51418
affect wages, hours, terms and conditions of employment, and the 51419
continuation, modification, or deletion of an existing provision 51420
of a collective bargaining agreement. A public employee or 51421
exclusive representative may raise a legitimate complaint or file 51422
a grievance based on the collective bargaining agreement.51423

       Section 130.03. Section 611.03 of Am. Sub. H.B. 66 of the 51424
126th General Assembly is hereby repealed.51425

       Section 130.04. Existing sections 9.90, 9.901, 3313.202, 51426
3313.33, and 4117.03 of the Revised Code are hereby repealed.51427

       Section 130.05. The Governor, the President of the Senate, 51428
and the Speaker of the House of Representatives each shall appoint 51429
one additional member to the School Employees Health Care Board 51430
created pursuant to section 9.901 of the Revised Code. The terms 51431
of these additional members as well as the terms of the current 51432
members shall end on December 31, 2010. Thereafter, terms of 51433
office shall be as specified in section 9.901 of the Revised Code 51434
as it results from its amendment by this act. The three additional 51435
members each shall be representative of nonadministrative public 51436
school employees.51437

       Section 201.01.  Except as otherwise provided in this act, 51438
all appropriation items in this act are appropriated out of any 51439
moneys in the state treasury to the credit of the designated fund 51440
that are not otherwise appropriated. For all appropriations made 51441
in this act, the amounts in the first column are for fiscal year 51442
2008 and the amounts in the second column are for fiscal year 51443
2009.51444

       Section 203.10.  ACC ACCOUNTANCY BOARD OF OHIO51445

General Services Fund Group51446

4J8 889-601 CPA Education Assistance $ 325,000 $ 325,000 51447
4K9 889-609 Operating Expenses $ 1,092,246 $ 1,117,000 51448
TOTAL GSF General Services Fund 51449
Group $ 1,417,246 $ 1,442,000 51450
TOTAL ALL BUDGET FUND GROUPS $ 1,417,246 $ 1,442,000 51451


       Section 205.10. ADJ ADJUTANT GENERAL51453

General Revenue Fund51454

GRF 745-401 Ohio Military Reserve $ 15,188 $ 15,188 51455
GRF 745-404 Air National Guard $ 2,246,005 $ 2,284,198 51456
GRF 745-407 National Guard Benefits $ 1,400,000 $ 1,400,000 51457
GRF 745-409 Central Administration $ 4,295,778 $ 4,460,069 51458
GRF 745-499 Army National Guard $ 5,064,836 $ 5,169,368 51459
GRF 745-502 Ohio National Guard Unit Fund $ 102,973 $ 102,973 51460
TOTAL GRF General Revenue Fund $ 13,124,780 $ 13,431,796 51461

General Services Fund Group51462

534 745-612 Property Operations/Management $ 534,304 $ 534,304 51463
536 745-620 Camp Perry/Buckeye Inn Operations $ 1,202,970 $ 1,202,970 51464
537 745-604 Ohio National Guard Facility Maintenance $ 269,826 $ 269,826 51465
TOTAL GSF General Services Fund Group $ 2,007,100 $ 2,007,100 51466

Federal Special Revenue Fund Group51467

3E8 745-628 Air National Guard Agreement $ 14,100,000 $ 14,906,820 51468
3R8 745-603 Counter Drug Operations $ 25,000 $ 25,000 51469
341 745-615 Air National Guard Base Security $ 2,497,480 $ 2,729,939 51470
342 745-616 Army National Guard Agreement $ 10,146,178 $ 10,590,050 51471
TOTAL FED Federal Special Revenue Fund Group $ 26,768,658 $ 28,251,809 51472

State Special Revenue Fund Group51473

5U8 745-613 Community Match Armories $ 220,000 $ 220,000 51474
528 745-605 Marksmanship Activities $ 128,600 $ 128,600 51475
TOTAL SSR State Special Revenue Fund Group $ 348,600 $ 348,600 51476

TOTAL ALL BUDGET FUND GROUPS $ 42,249,138 $ 44,039,305 51477

       NATIONAL GUARD BENEFITS51478

       The foregoing appropriation item 745-407, National Guard 51479
Benefits, shall be used for purposes of sections 5919.31 and 51480
5919.33 of the Revised Code, and for administrative costs of the 51481
associated programs.51482

       For active duty members of the Ohio National Guard who died 51483
after October 7, 2001, while performing active duty, the death 51484
benefit, pursuant to section 5919.33 of the Revised Code, shall be 51485
paid to the beneficiary or beneficiaries designated on the 51486
member's Servicemembers' Group Life Insurance Policy.51487

       STATE ACTIVE DUTY COSTS51488

       Of the foregoing appropriation item 745-409, Central 51489
Administration, $50,000 in each fiscal year shall be used for the 51490
purpose of paying expenses related to state active duty of members 51491
of the Ohio organized militia, in accordance with a proclamation 51492
of the Governor. Expenses include, but are not limited to, the 51493
cost of equipment, supplies, and services, as determined by the 51494
Adjutant General's Department.51495

       Of the foregoing appropriation item 745-409, Central 51496
Administration, up to $60,000 in each fiscal year of unspent and 51497
unencumbered funds remaining after meeting all other obligations 51498
of this appropriation shall be used for a grant to the American 51499
Red Cross Greater Columbus Chapter to be distributed equally to 51500
the Ohio chapters in existence on the effective date of this 51501
section. The funds from this grant shall be used for the Armed 51502
Forces Emergency Services program of the American Red Cross in 51503
Ohio to support members of the military and their families. Upon 51504
distribution of the funds, the American Red Cross Greater Columbus 51505
Chapter shall report to the Adjutant General on the actual 51506
distribution to the various chapters and any administrative costs 51507
associated with the distribution.51508

       Section 207.10. DAS DEPARTMENT OF ADMINISTRATIVE SERVICES51509

General Revenue Fund51510

GRF 100-403 Public School Employee Benefits $ 1,425,000 $ 1,425,000 51511
GRF 100-404 CRP Procurement Program $ 255,000 $ 255,000 51512
GRF 100-405 Agency Audit Expenses $ 300,000 $ 300,000 51513
GRF 100-406 County & University Human Resources Services $ 875,000 $ 875,000 51514
GRF 100-410 Veterans' Records Conversion $ 46,170 $ 46,171 51515
GRF 100-415 OAKS Rental Payments $ 14,162,000 $ 14,165,000 51516
GRF 100-418 Web Sites and Business Gateway $ 3,270,473 $ 3,270,083 51517
GRF 100-419 IT Security Infrastructure $ 1,500,000 $ 1,500,000 51518
GRF 100-421 OAKS Project Implementation $ 375,000 $ 375,000 51519
GRF 100-433 State of Ohio Computer Center $ 4,800,000 $ 4,825,000 51520
GRF 100-439 Equal Opportunity Certification Programs $ 705,000 $ 705,000 51521
GRF 100-447 OBA - Building Rent Payments $ 107,803,008 $ 103,282,108 51522
GRF 100-448 OBA - Building Operating Payments $ 26,457,000 $ 27,303,000 51523
GRF 100-449 DAS - Building Operating Payments $ 3,769,510 $ 3,834,871 51524
GRF 100-451 Minority Affairs $ 52,927 $ 52,927 51525
GRF 100-734 Major Maintenance - State Bldgs $ 42,000 $ 42,000 51526
GRF 102-321 Construction Compliance $ 1,000,000 $ 1,000,000 51527
GRF 130-321 State Agency Support Services $ 6,000,000 $ 6,250,000 51528
TOTAL GRF General Revenue Fund $ 172,838,088 $ 169,506,160 51529

General Services Fund Group51530

112 100-616 DAS Administration $ 5,299,427 $ 5,299,427 51531
115 100-632 Central Service Agency $ 860,878 $ 928,403 51532
117 100-644 General Services Division - Operating $ 8,295,772 $ 8,540,772 51533
122 100-637 Fleet Management $ 2,182,968 $ 2,032,968 51534
125 100-622 Human Resources Division - Operating $ 19,890,614 $ 20,560,614 51535
128 100-620 Collective Bargaining $ 3,464,533 $ 3,662,534 51536
130 100-606 Risk Management Reserve $ 2,568,548 $ 2,568,548 51537
131 100-639 State Architect's Office $ 7,348,483 $ 7,544,164 51538
132 100-631 DAS Building Management $ 9,716,228 $ 10,166,228 51539
133 100-607 IT Services Delivery $ 72,539,887 $ 75,847,949 51540
188 100-649 Equal Opportunity Division - Operating $ 847,409 $ 884,650 51541
201 100-653 General Services Resale Merchandise $ 1,553,000 $ 1,553,000 51542
210 100-612 State Printing $ 5,681,421 $ 5,436,421 51543
229 100-630 IT Governance $ 17,108,546 $ 17,108,546 51544
4N6 100-617 Major IT Purchases $ 7,495,719 $ 7,495,719 51545
4P3 100-603 DAS Information Services $ 4,793,190 $ 4,958,218 51546
427 100-602 Investment Recovery $ 5,683,564 $ 5,683,564 51547
5C2 100-605 MARCS Administration $ 11,069,291 $ 11,069,291 51548
5C3 100-608 Skilled Trades $ 934,982 $ 934,982 51549
5D7 100-621 Workforce Development $ 70,000 $ 0 51550
5EB 100-635 OAKS Support Organization $ 19,132,671 $ 19,132,671 51551
5L7 100-610 Professional Development $ 3,900,000 $ 3,900,000 51552
5V6 100-619 Employee Educational Development $ 936,129 $ 936,129 51553
5X3 100-634 Centralized Gateway Enhancement $ 974,023 $ 974,023 51554
TOTAL GSF General Services Fund 51555
Group $ 212,347,283 $ 217,218,821 51556

TOTAL ALL BUDGET FUND GROUPS $ 385,185,371 $ 386,724,981 51557


       Section 207.10.10. PUBLIC SCHOOL EMPLOYEE BENEFITS51559

       The foregoing appropriation item 100-403, Public School 51560
Employee Benefits, shall be used by the School Employees Health 51561
Care Board to hire staff to provide administrative support to the 51562
Board and other lawful uses of said fund as prescribed under 51563
section 9.901 of the Revised Code. This section succeeds Section 51564
203.12.02 of Am. Sub. H.B. 66 of the 126th General Assembly.51565

       Section 207.10.20.  AGENCY AUDIT EXPENSES51566

       The foregoing appropriation item 100-405, Agency Audit51567
Expenses, shall be used for auditing expenses designated in 51568
division (A)(1) of section 117.13 of the Revised Code for those 51569
state agencies audited on a biennial basis.51570

       Section 207.10.30. OAKS RENTAL PAYMENTS51571

       The foregoing appropriation item 100-415, OAKS Rental 51572
Payments, shall be used for payments for the period from July 1, 51573
2007, through June 30, 2009, pursuant to leases and agreements 51574
entered into under Chapter 125. of the Revised Code, as 51575
supplemented by Section 403.10 of Am. Sub. H.B. 530 of the 126th 51576
General Assembly with respect to financing the costs associated 51577
with the acquisition, development, installation, and 51578
implementation of the Ohio Administrative Knowledge System. If it 51579
is determined that additional appropriations are necessary for 51580
this purpose, the amounts are hereby appropriated.51581

       Section 207.10.40. BUILDING RENT PAYMENTS51582

       The foregoing appropriation item 100-447, OBA - Building Rent51583
Payments, shall be used to meet all payments at the times they are51584
required to be made during the period from July 1, 2007, to June51585
30, 2009, by the Department of Administrative Services to the Ohio51586
Building Authority pursuant to leases and agreements under Chapter51587
152. of the Revised Code. These appropriations are the source of 51588
funds pledged for bond service charges on obligations issued 51589
pursuant to Chapter 152. of the Revised Code.51590

        The foregoing appropriation item 100-448, OBA - Building 51591
Operating Payments, shall be used to meet all payments at the 51592
times that they are required to be made during the period from51593
July 1, 2007, to June 30, 2009, by the Department of51594
Administrative Services to the Ohio Building Authority pursuant to 51595
leases and agreements under Chapter 152. of the Revised Code, but51596
limited to the aggregate amount of $53,760,000.51597

       The payments to the Ohio Building Authority are for the51598
purpose of paying the expenses of agencies that occupy space in51599
the various state facilities. The Department of Administrative51600
Services may enter into leases and agreements with the Ohio51601
Building Authority providing for the payment of these expenses.51602
The Ohio Building Authority shall report to the Department of51603
Administrative Services and the Office of Budget and Management51604
not later than five months after the start of a fiscal year the51605
actual expenses incurred by the Ohio Building Authority in51606
operating the facilities and any balances remaining from payments51607
and rentals received in the prior fiscal year. The Department of51608
Administrative Services shall reduce subsequent payments by the51609
amount of the balance reported to it by the Ohio Building51610
Authority.51611

       Section 207.10.50.  DAS - BUILDING OPERATING PAYMENTS51612

       The foregoing appropriation item 100-449, DAS - Building51613
Operating Payments, shall be used to pay the rent expenses of51614
veterans organizations pursuant to section 123.024 of the Revised51615
Code in fiscal years 2008 and 2009.51616

       The foregoing appropriation item, 100-449, DAS - Building51617
Operating Payments, may be used to provide funding for the cost of51618
property appraisals or building studies that the Department of 51619
Administrative Services may be required to obtain for property 51620
that is being sold by the state or property under consideration to 51621
be renovated or purchased by the state.51622

       Notwithstanding section 125.28 of the Revised Code, the51623
remaining portion of the appropriation may be used to pay the51624
operating expenses of state facilities maintained by the51625
Department of Administrative Services that are not billed to51626
building tenants. These expenses may include, but are not limited51627
to, the costs for vacant space and space undergoing renovation,51628
and the rent expenses of tenants that are relocated due to51629
building renovations. These payments shall be processed by the51630
Department of Administrative Services through intrastate transfer51631
vouchers and placed in the Building Management Fund (Fund 132).51632

       Section 207.10.60. CENTRAL SERVICE AGENCY FUND51633

       The Department of Administrative Services shall not allocate 51634
annual costs for maintaining an automated application for the 51635
professional licensing boards and for the costs of supporting 51636
licensing functions in excess of the amounts allocated for these 51637
purposes for fiscal year 2007. The charges shall be billed to the 51638
professional licensing boards and deposited via intrastate 51639
transfer vouchers to the credit of the Central Service Agency Fund 51640
(Fund 115).51641

       Section 207.10.70. ELIMINATION OF THE VEHICLE LIABILITY FUND 51642
ASSETS51643

       (A) Effective July 1, 2007, the Vehicle Liability Fund (Fund 51644
127) is abolished and its functions, assets, and liabilities are 51645
transferred to the Risk Management Reserve Fund (Fund 130). The 51646
Risk Management Reserve Fund is thereupon and thereafter successor 51647
to, assumes the obligations of, and otherwise constitutes the 51648
continuation of the Vehicle Liability Fund.51649

       Any business commenced but not completed with regard to the 51650
Vehicle Liability Fund on July 1, 2007, shall be completed with 51651
regard to the Risk Management Reserve Fund, in the same manner, 51652
and with the same effect, as if completed with regard to the 51653
Vehicle Liability Fund. No validation, cure, right, privilege, 51654
remedy, obligation, or liability is lost or impaired by reason of 51655
the transfer and shall be administered with regard to the Risk 51656
Management Reserve Fund. All of the rules, orders, and 51657
determinations associated with the Vehicle Liability Fund continue 51658
in effect as rules, orders, and determinations associated with the 51659
Risk Management Reserve Fund, until modified or rescinded by the 51660
Director of Administrative Services. If necessary to ensure the 51661
integrity of the Administrative Code, the Director of the 51662
Legislative Service Commission shall renumber the rules relating 51663
to the Vehicle Liability Fund to reflect its transfer to the Risk 51664
Management Reserve Fund.51665

       (B) Employees paid from the Vehicle Liability Fund shall be 51666
transferred to the Risk Management Reserve Fund or dismissed. 51667
Employees paid from the Vehicle Liability Fund so dismissed cease 51668
to hold their positions of employment on July 1, 2007. 51669

       (C) No judicial or administrative action or proceeding by 51670
which the Vehicle Liability Fund is affected that is pending on 51671
July 1, 2007, is affected by the transfer of functions under 51672
division (A) of this section. The action or proceeding shall be 51673
prosecuted or defended on behalf of the Risk Management Reserve 51674
Fund and the Risk Management Reserve Fund upon application to the 51675
court or agency shall be substituted for the Vehicle Liability 51676
Fund as affected by the action or proceeding.51677

       (D) On and after July 1, 2007, when the Vehicle Liability 51678
Fund is referred to in any statute, rule, contract, grant, or 51679
other document, the reference is hereby deemed to refer to the 51680
Risk Management Reserve Fund.51681

       Section 207.10.80. TRANSFER OF VEHICLE LIABILITY FUND ASSETS51682

       On and after July 1, 2007, notwithstanding any provision to 51683
the contrary, the Director of Budget and Management is authorized 51684
to take the actions and effectuate the budget changes made 51685
necessary by administrative reorganization, program transfers, the 51686
creation of new funds, and the consolidation of funds required for 51687
the transfer of the Vehicle Liability Fund Assets to the Risk 51688
Management Reserve Fund. The Director of Budget and Management may 51689
make any transfer of cash balances between funds. At the request 51690
of the Director of Budget and Management, the Director of 51691
Administrative Services shall certify to the Director of Budget 51692
and Management an estimate of the amount of the Vehicle Liability 51693
Fund cash balance to be transferred to the Risk Management Reserve 51694
Fund. The Director of Budget and Management may transfer the 51695
estimated amount when needed to make payments. Not more than 51696
thirty days after certifying the estimated amount, the Director of 51697
Administrative Services shall certify the final amount to the 51698
Director of Budget and Management. The Director of Budget and 51699
Management shall transfer the difference between any amount 51700
previously transferred and the certified final amount. The 51701
Director of Budget and Management may cancel encumbrances and 51702
re-establish encumbrances or parts of encumbrances of the Vehicle 51703
Liability Fund as needed in fiscal year 2008 in the Risk 51704
Management Reserve Fund for the same purposes. The appropriation 51705
authority necessary to re-establish such encumbrances in fiscal 51706
year 2008, as determined by the Director of Budget and Management, 51707
in appropriation item 100-606, Risk Management Reserve, is hereby 51708
appropriated. When re-established encumbrances or parts of 51709
re-established encumbrances of the Vehicle Liability Fund are 51710
canceled, the Director of Budget and Management shall reduce the 51711
appropriation for appropriation item 100-606, Risk Management 51712
Reserve, by the amount of the encumbrances canceled. The amounts 51713
canceled are hereby authorized. Any fiscal year 2007 unencumbered 51714
or unallotted appropriation for appropriation item 100-627, 51715
Vehicle Liability Insurance, may be transferred to appropriation 51716
item 100-606, Risk Management Reserve, to be used for the same 51717
purposes, as determined by the Director of Budget and Management. 51718
The amounts transferred are hereby appropriated.51719

       Section 207.10.90.  COLLECTIVE BARGAINING ARBITRATION 51720
EXPENSES51721

       With approval of the Director of Budget and Management, the51722
Department of Administrative Services may seek reimbursement from51723
state agencies for the actual costs and expenses the department51724
incurs in the collective bargaining arbitration process. The51725
reimbursements shall be processed through intrastate transfer51726
vouchers and placed in the Collective Bargaining Fund (Fund 128).51727

       Section 207.20.10. EQUAL OPPORTUNITY PROGRAM51728

       The Department of Administrative Services, with the approval51729
of the Director of Budget and Management, shall establish charges51730
for recovering the costs of administering the activities supported51731
by the State EEO Fund (Fund 188). These charges shall be deposited 51732
to the credit of the State EEO Fund (Fund 188) upon payment made 51733
by state agencies, state-supported or state-assisted institutions 51734
of higher education, and tax-supported agencies, municipal 51735
corporations, and other political subdivisions of the state, for 51736
services rendered.51737

       Section 207.20.20. MERCHANDISE FOR RESALE51738

       The foregoing appropriation item 100-653, General Services51739
Resale Merchandise, shall be used to account for merchandise for51740
resale, which is administered by the General Services Division. 51741
Deposits to the fund may comprise the cost of merchandise for51742
resale and shipping fees.51743

       Section 207.20.30.  DAS INFORMATION SERVICES51744

       There is hereby established in the State Treasury the DAS 51745
Information Services Fund. The foregoing appropriation item 51746
100-603, DAS Information Services, shall be used to pay the costs 51747
of providing information systems and services in the Department of 51748
Administrative Services.51749

        The Department of Administrative Services shall establish 51750
user charges for all information systems and services that are 51751
allowable in the statewide indirect cost allocation plan submitted 51752
annually to the United States Department of Health and Human 51753
Services. These charges shall comply with federal regulations and 51754
shall be deposited to the credit of the DAS Information Services 51755
Fund (Fund 4P3).51756

       Section 207.20.40. INVESTMENT RECOVERY FUND51757

       Notwithstanding division (B) of section 125.14 of the Revised51758
Code, cash balances in the Investment Recovery Fund (Fund 427) may 51759
be used to support the operating expenses of the Federal Surplus 51760
Operating Program created in sections 125.84 to 125.90 of the 51761
Revised Code.51762

       Notwithstanding division (B) of section 125.14 of the Revised51763
Code, cash balances in the Investment Recovery Fund may be used to51764
support the operating expenses of the Asset Management Services 51765
Program, including, but not limited to, the cost of establishing 51766
and maintaining procedures for inventory records for state 51767
property as described in section 125.16 of the Revised Code.51768

       Of the foregoing appropriation item 100-602, Investment51769
Recovery, up to $2,271,209 in fiscal year 2008 and up to51770
$2,353,372 in fiscal year 2009 shall be used to pay the operating51771
expenses of the State Surplus Property Program, the Surplus51772
Federal Property Program, and the Asset Management Services 51773
Program under Chapter 125. of the Revised Code and this section. 51774
If additional appropriations are necessary for the operations of 51775
these programs, the Director of Administrative Services shall seek 51776
increased appropriations from the Controlling Board under section 51777
131.35 of the Revised Code.51778

       Of the foregoing appropriation item 100-602, Investment51779
Recovery, $3,412,355 in fiscal year 2008 and $3,330,192 in fiscal51780
year 2009 shall be used to transfer proceeds from the sale of51781
surplus property from the Investment Recovery Fund to non-General51782
Revenue Funds under division (A)(2) of section 125.14 of the51783
Revised Code. If it is determined by the Director of51784
Administrative Services that additional appropriations are51785
necessary for the transfer of such sale proceeds, the Director of51786
Administrative Services may request the Director of Budget and51787
Management to increase the amounts. Such amounts are hereby51788
appropriated.51789

       Notwithstanding division (B) of section 125.14 of the Revised 51790
Code, the Director of Budget and Management, at the request of the 51791
Director of Administrative Services, shall transfer up to $500,000 51792
of the amounts held for transfer to the General Revenue Fund from 51793
the Investment Recovery Fund to the State Architect's Fund (Fund 51794
131) to provide operating cash.51795

       Section 207.20.50. MULTI-AGENCY RADIO COMMUNICATIONS SYSTEM51796

       Effective with the implementation of the Multi-Agency Radio51797
Communications System, the State Chief Information Officer shall 51798
collect user fees from participants in the system. The State Chief 51799
Information Officer, with the advice of the Multi-Agency Radio 51800
Communications System Steering Committee and the Director of 51801
Budget and Management, shall determine the amount of the fees and 51802
the manner by which the fees shall be collected. Such user charges 51803
shall comply with the applicable cost principles issued by the 51804
federal Office of Management and Budget. All moneys from user 51805
charges and fees shall be deposited in the state treasury to the 51806
credit of the Multi-Agency Radio Communications System 51807
Administration Fund (Fund 5C2), which is hereby established in the 51808
state treasury. All interest income derived from the investment of 51809
the fund shall accrue to the fund.51810

       Section 207.20.60. WORKFORCE DEVELOPMENT FUND51811

       There is hereby established in the state treasury the51812
Workforce Development Fund (Fund 5D7). The foregoing appropriation 51813
item 100-621, Workforce Development, shall be used to make 51814
payments from the fund. The fund shall be under the supervision of 51815
the Department of Administrative Services, which may adopt rules 51816
with regard to administration of the fund. The fund shall be used 51817
to pay the costs of any remaining obligations of the Workforce 51818
Development Program, in accordance with Article 37 of the contract 51819
between the State of Ohio and OCSEA/AFSCME, Local 11, abolished 51820
effective March 1, 2006. These costs include, but are not limited 51821
to, remaining grant obligations, payments for tuition 51822
reimbursement, contracted services and general overhead, and any 51823
settlement costs associated with the Statewide Cost Allocation 51824
Program (SWCAP). The program shall be administered in accordance 51825
with the contract. Revenues shall accrue to the fund as specified 51826
in the contract. The fund may be used to pay direct and indirect 51827
costs of the program that are attributable to staff, consultants, 51828
and service providers. All income derived from the investment of 51829
the fund shall accrue to the fund.51830

       If it is determined by the Director of Administrative51831
Services that additional appropriation amounts are necessary, the51832
Director of Administrative Services may request that the Director51833
of Budget and Management increase such amounts. Such amounts are 51834
hereby appropriated.51835

       Section 207.20.70. OAKS SUPPORT ORGANIZATION51836

       The foregoing appropriation item 100-635, OAKS Support 51837
Organization, shall be used by the Office of Information 51838
Technology to support the operating costs associated with the 51839
implementation and maintenance of the state's enterprise resource 51840
planning system, OAKS, consistent with its responsibilities under 51841
this section and Chapters 125. and 126. of the Revised Code. The 51842
OAKS Support Organization shall operate and maintain the human 51843
capital management and financial management modules of the state's 51844
enterprise resource planning system to support statewide human 51845
resources and financial management activities administered by the 51846
Department of Administrative Services' human resources division 51847
and the Office of Budget and Management. The OAKS Support 51848
Organization shall recover the costs to establish, operate, and 51849
maintain the OAKS system through intrastate transfer voucher 51850
billings to the Department of Administrative Services and the 51851
Office of Budget and Management. Effective July 1, 2007, the 51852
Department of Administrative Services, with the approval of the 51853
Director of Budget and Management, shall include the recovery of 51854
the costs of administering the human capital management module of 51855
the OAKS System within the human resources services payroll rate. 51856
These revenues shall be deposited to the credit of the Human 51857
Resources Services Fund (Fund 125). Amounts deposited under this 51858
section are hereby appropriated to appropriation item 100-622, 51859
Human Resources Division-Operating. Not less than quarterly, the 51860
Department of Administrative Services shall process the intrastate 51861
transfer billings to transfer cash from the Human Resources 51862
Services Fund (Fund 125) to the OAKS Support Organization Fund 51863
(Fund 5EB) to pay for the OAKS Support Organization costs.51864

       Section 207.20.80. PROFESSIONAL DEVELOPMENT FUND51865

       The foregoing appropriation item 100-610, Professional51866
Development, shall be used to make payments from the Professional51867
Development Fund (Fund 5L7) under section 124.182 of the Revised 51868
Code.51869

       Section  207.20.90.  EMPLOYEE EDUCATIONAL DEVELOPMENT51870

       There is hereby established in the state treasury the 51871
Employee Educational Development Fund (Fund 5V6). The foregoing 51872
appropriation item 100-619, Employee Educational Development, 51873
shall be used to make payments from the fund. The fund shall be 51874
used to pay the costs of the administration of educational 51875
programs per existing collective bargaining agreements with 51876
District 1199, the Health Care and Social Service Union; State 51877
Council of Professional Educators; Ohio Education Association and 51878
National Education Association; the Fraternal Order of Police Ohio 51879
Labor Council, Unit 2; and the Ohio State Troopers Association, 51880
Units 1 and 15. The fund shall be under the supervision of the 51881
Department of Administrative Services, which may adopt rules with 51882
regard to administration of the fund. The fund shall be 51883
administered in accordance with the applicable sections of the 51884
collective bargaining agreements between the State and the 51885
aforementioned unions. The Department of Administrative Services, 51886
with the approval of the Director of Budget and Management, shall 51887
establish charges for recovering the costs of administering the 51888
educational programs. Receipts for these charges shall be 51889
deposited into the Employee Educational Development Fund. All 51890
income derived from the investment of the funds shall accrue to 51891
the fund.51892

       If it is determined by the Director of Administrative 51893
Services that additional appropriation amounts are necessary, the 51894
Director of Administrative Services may request that the Director 51895
of Budget and Management increase such amounts. Such amounts are 51896
hereby appropriated with the approval of the Director of Budget 51897
and Management.51898

       Section 207.30.10. CENTRALIZED GATEWAY ENHANCEMENTS FUND51899

       (A) As used in this section, "Ohio Business Gateway" refers 51900
to the internet-based system operated by the Office of Information 51901
Technology with the advice of the Ohio Business Gateway Steering 51902
Committee established under section 5703.57 of the Revised Code. 51903
The Ohio Business Gateway is established to provide businesses a 51904
central web site where various filings and payments are submitted 51905
on-line to government. The information is then distributed to the 51906
various government entities that interact with the business 51907
community.51908

       (B) As used in this section:51909

       (1) "State Portal" refers to the official web site of the 51910
state, operated by the Office of Information Technology.51911

       (2) "Shared Hosting Environment" refers to the computerized 51912
system operated by the Office of Information Technology for the 51913
purpose of providing capability for state agencies to host web 51914
sites.51915

       (C) There is hereby created in the state treasury the 51916
Centralized Gateway Enhancements Fund (Fund 5X3). The foregoing 51917
appropriation item 100-634, Centralized Gateway Enhancements, 51918
shall be used by the Office of Information Technology to pay the 51919
costs of enhancing, expanding, and operating the infrastructure of 51920
the Ohio Business Gateway, State Portal, and Shared Hosting 51921
Environment. The State Chief Information Officer shall submit 51922
periodic spending plans to the Director of Budget and Management 51923
to justify operating transfers to the fund from the General 51924
Revenue Fund. Upon approval, the Director of Budget and Management 51925
shall transfer approved amounts to the fund, not to exceed the 51926
amount of the annual appropriation in each fiscal year. The 51927
spending plans may be based on the recommendations of the Ohio 51928
Business Gateway Steering Committee or its successor.51929

       Section 207.30.20.  MAJOR IT PURCHASES51930

       The State Chief Information Officer shall compute the amount51931
of revenue attributable to the amortization of all equipment51932
purchases and capitalized systems from appropriation item 100-607, 51933
IT Service Delivery; appropriation item 100-617, Major IT51934
Purchases; and appropriation item CAP-837, Major IT Purchases,51935
which is recovered by the Office of Information Technology as part 51936
of the rates charged by the IT Service Delivery Fund (Fund 133) 51937
created in section 125.15 of the Revised Code. The Director of 51938
Budget and Management may transfer cash in an amount not to exceed 51939
the amount of amortization computed from the IT Service Delivery 51940
Fund (Fund 133) to the Major IT Purchases Fund (Fund 4N6).51941

       Section 207.30.30. INFORMATION TECHNOLOGY ASSESSMENT51942

       The State Chief Information Officer, with the approval of the 51943
Director of Budget and Management, may establish an information51944
technology assessment for the purpose of recovering the cost of51945
selected infrastructure and statewide programs. Such assessment 51946
shall comply with applicable cost principles issued by the federal 51947
Office of Management and Budget. The information technology51948
assessment shall be charged to all organized bodies, offices, or51949
agencies established by the laws of the state for the exercise of51950
any function of state government except for the General Assembly,51951
any legislative agency, the Supreme Court, the other courts of51952
record in Ohio, or any judicial agency, the Adjutant General, the51953
Bureau of Workers' Compensation, and institutions administered by51954
a board of trustees. Any state-entity exempted by this section may51955
utilize the infrastructure or statewide program by participating51956
in the information technology assessment. All charges for the51957
information technology assessment shall be deposited to the credit51958
of the IT Governance Fund (Fund 229).51959

       Section 207.30.40.  MULTI-AGENCY RADIO COMMUNICATION SYSTEM 51960
DEBT SERVICE PAYMENTS51961

       The Director of Administrative Services, in consultation with51962
the Multi-Agency Radio Communication System (MARCS) Steering51963
Committee and the Director of Budget and Management, shall51964
determine the share of debt service payments attributable to51965
spending for MARCS components that are not specific to any one51966
agency and that shall be charged to agencies supported by the51967
motor fuel tax. Such share of debt service payments shall be51968
calculated for MARCS capital disbursements made beginning July 1,51969
1997. Within thirty days of any payment made from appropriation51970
item 100-447, OBA - Building Rent Payments, the Director of51971
Administrative Services shall certify to the Director of Budget51972
and Management the amount of this share. The Director of Budget51973
and Management shall transfer such amounts to the General Revenue51974
Fund from the State Highway Safety Fund (Fund 036) established in51975
section 4501.06 of the Revised Code.51976

       The State Chief Information Officer shall consider renting or 51977
leasing existing tower sites at reasonable or current market 51978
rates, so long as these existing sites are equipped with the 51979
technical capabilities to support the MARCS project.51980

       Section 207.30.50. DIRECTOR'S DECLARATION OF PUBLIC EXIGENCY51981

       Whenever the Director of Administrative Services declares a51982
"public exigency," as provided in division (C) of section 123.1551983
of the Revised Code, the Director shall also notify the members of51984
the Controlling Board.51985

       Section 207.30.60. GENERAL SERVICE CHARGES51986

       The Department of Administrative Services, with the approval51987
of the Director of Budget and Management, shall establish charges51988
for recovering the costs of administering the programs in the51989
General Services Fund (Fund 117) and the State Printing Fund (Fund51990
210).51991

       Section 207.30.70. STATE ENERGY SERVICES PROGRAM51992

       Within 30 days after the effective date of this section, or 51993
as soon possible thereafter, the Director of Administrative 51994
Services shall certify the remaining cash in the Federal Special 51995
Revenue Fund (Fund 307) to the Director of Budget and Management, 51996
who shall transfer that amount to the State Architect's Office 51997
(Fund 131). The cash shall be used to operate the state's energy 51998
services program.51999

       Within thirty days after the effective date of this section, 52000
or as soon as possible thereafter, the Director of Administrative 52001
Services shall certify the remaining cash in the Energy Grants 52002
Fund (Fund 5A8) to the Director of Budget and Management, who 52003
shall transfer that amount to the State Architect's Office (Fund 52004
131). The cash shall be used to operate the state's energy 52005
services program.52006

       Section 207.30.80. FEDERAL GRANTS OGRIP52007

       As soon as possible on or after July 1, 2007, the Director of 52008
Budget and Management may transfer cash in the amount of 52009
$15,072.03 from the Federal Grants OGRIP Fund (Fund 3H6) to the 52010
General Revenue Fund.52011

       Section 209.10.  AAM COMMISSION ON AFRICAN AMERICAN MALES52012

General Revenue Fund52013

GRF 036-100 Personal Services $ 235,091 $ 235,091 52014
GRF 036-200 Maintenance $ 29,000 $ 29,000 52015
GRF 036-300 Equipment $ 1,000 $ 1,000 52016
GRF 036-502 Community Projects $ 516,909 $ 1,016,909 52017
TOTAL GRF General Revenue Fund $ 782,000 $ 1,282,000 52018

State Special Revenue Fund Group52019

4H3 036-601 Commission on African American Males - Gifts/Grants $ 10,000 $ 10,000 52020
TOTAL SSR State Special Revenue Fund Group $ 10,000 $ 10,000 52021
TOTAL ALL BUDGET FUND GROUPS $ 792,000 $ 1,292,000 52022

       CAAM STRATEGIC PLAN52023

       The Commission on African American Males shall develop a 52024
strategic plan to accomplish the tasks put forth in section 52025
4112.13 of the Revised Code.52026

       On January 1, 2008, or as soon as possible thereafter, the 52027
Director of the Commission on African American Males shall submit 52028
a strategic plan for the use of $500,000 in fiscal year 2008 and 52029
$1,000,000 in fiscal year 2009 to the Governor, the President of 52030
the Senate, the Minority Leader of the Senate, the Speaker of the 52031
House of Representatives, and the Minority Leader of the House of 52032
Representatives.52033

       Not later than June 30, 2009, the Commission on African 52034
American Males shall submit a report on the impacts and outcomes 52035
of the strategic plan to the Governor, the President of the 52036
Senate, the Minority Leader of the Senate, the Speaker of the 52037
House of Representatives, and the Minority Leader of the House of 52038
Representatives.52039

       Section 211.10. JCR JOINT COMMITTEE ON AGENCY RULE REVIEW52040

General Revenue Fund52041

GRF 029-321 Operating Expenses $ 397,000 $ 403,000 52042
TOTAL GRF General Revenue Fund $ 397,000 $ 403,000 52043
TOTAL ALL BUDGET FUND GROUPS $ 397,000 $ 403,000 52044

       OPERATING52045

       The Chief Administrative Officer of the House of52046
Representatives and the Clerk of the Senate shall determine, by52047
mutual agreement, which of them shall act as fiscal agent for the52048
Joint Committee on Agency Rule Review.52049

       OPERATING EXPENSES52050

       On July 1, 2007, or as soon as possible thereafter, the 52051
designated fiscal agent shall certify to the Director of Budget 52052
and Management the total fiscal year 2007 unencumbered 52053
appropriations in appropriation item 029-321, Operating Expenses. 52054
The designated fiscal agent may direct the Director of Budget and 52055
Management to transfer an amount not to exceed the total fiscal 52056
year 2007 unencumbered appropriations to fiscal year 2008 for use 52057
in appropriation item 029-321, Operating Expenses. Additional 52058
appropriation authority equal to the amount certified by the 52059
designated fiscal agent is hereby appropriated to appropriation 52060
item 029-321, Operating Expenses, in fiscal year 2008.52061

       On July 1, 2008, or as soon as possible thereafter, the 52062
designated fiscal agent shall certify to the Director of Budget 52063
and Management the total fiscal year 2008 unencumbered 52064
appropriations in appropriation item 029-321, Operating Expenses. 52065
The designated fiscal agent may direct the Director of Budget and 52066
Management to transfer an amount not to exceed the total fiscal 52067
year 2008 unencumbered appropriations to fiscal year 2009 for use 52068
in appropriation item 029-321, Operating Expenses. Additional 52069
appropriation authority equal to the amount certified by the 52070
designated fiscal agent is hereby appropriated to appropriation 52071
item 029-321, Operating Expenses, in fiscal year 2009.52072

       Section 213.10.  AGE DEPARTMENT OF AGING52073

General Revenue Fund52074

GRF 490-321 Operating Expenses $ 2,637,571 $ 2,637,271 52075
GRF 490-403 PASSPORT $ 128,391,189 $ 158,196,465 52076
GRF 490-406 Senior Olympics $ 14,856 $ 14,856 52077
GRF 490-409 Ohio Community Service Council Operations $ 183,792 $ 183,792 52078
GRF 490-410 Long-Term Care Ombudsman $ 654,965 $ 654,965 52079
GRF 490-411 Senior Community Services $ 10,349,439 $ 10,349,439 52080
GRF 490-412 Residential State Supplement $ 9,156,771 $ 9,156,771 52081
GRF 490-414 Alzheimers Respite $ 4,131,594 $ 4,131,594 52082
GRF 490-416 JCFS Community Options $ 250,000 $ 250,000 52083
GRF 490-421 PACE $ 10,214,809 $ 10,214,809 52084
GRF 490-422 Assisted Living Waiver $ 12,554,940 $ 15,213,890 52085
GRF 490-506 National Senior Service Corps $ 335,296 $ 335,296 52086
TOTAL GRF General Revenue Fund $ 178,875,222 $ 211,339,148 52087

General Services Fund Group52088

480 490-606 Senior Community Outreach and Education $ 372,677 $ 372,677 52089
TOTAL GSF General Services Fund 52090
Group $ 372,677 $ 372,677 52091

Federal Special Revenue Fund Group52092

3C4 490-607 PASSPORT $ 301,767,486 $ 301,274,172 52093
3C4 490-621 PACE-Federal $ 14,586,135 $ 14,586,135 52094
3C4 490-622 Assisted Living-Federal $ 14,972,892 $ 21,810,442 52095
3M4 490-612 Federal Independence Services $ 62,406,819 $ 63,655,080 52096
3R7 490-617 Ohio Community Service Council Programs $ 8,870,000 $ 8,870,000 52097
322 490-618 Federal Aging Grants $ 10,000,000 $ 10,200,000 52098
TOTAL FED Federal Special Revenue 52099
Fund Group $ 412,603,332 ` 420,395,829 52100

State Special Revenue Fund Group52101

4C4 490-609 Regional Long-Term Care Ombudsman Program $ 935,000 $ 935,000 52102
4J4 490-610 PASSPORT/Residential State Supplement $ 33,491,930 $ 33,263,984 52103
4U9 490-602 PASSPORT Fund $ 4,424,969 $ 4,424,969 52104
5AA 490-673 Ohio's Best Rx Administration $ 1,184,154 $ 910,801 52105
5BA 490-620 Ombudsman Support $ 600,000 $ 600,000 52106
5K9 490-613 Long Term Care Consumers Guide $ 820,400 $ 820,400 52107
5W1 490-616 Resident Services Coordinator Program $ 330,000 $ 330,000 52108
624 490-604 OCSC Community Support $ 470,000 $ 470,000 52109
TOTAL SSR State Special Revenue 52110
Fund Group $ 42,256,453 $ 41,755,154 52111
TOTAL ALL BUDGET FUND GROUPS $ 634,107,684 $ 673,862,808 52112


       Section 213.20. PRE-ADMISSION REVIEW FOR NURSING FACILITY52114
ADMISSION52115

       Pursuant to an interagency agreement, the Department of Job 52116
and Family Services shall designate the Department of Aging to 52117
perform assessments under sections 173.42 and 5111.204 of the 52118
Revised Code. Of the foregoing appropriation item 490-403,52119
PASSPORT, the Department of Aging may use not more than $2,731,000 52120
in fiscal year 2008 and $2,813,000 in fiscal year 2009 to perform52121
the assessments for persons not eligible for Medicaid under the 52122
department's interagency agreement with the Department of Job and 52123
Family Services and to assist individuals in planning for their 52124
long-term health care needs.52125

        PASSPORT52126

       Appropriation item 490-403, PASSPORT, and the amounts set52127
aside for the PASSPORT Waiver Program in appropriation item52128
490-610, PASSPORT/Residential State Supplement, may be used to52129
assess clients regardless of Medicaid eligibility.52130

       The Director of Aging shall adopt rules under section 111.1552131
of the Revised Code governing the nonwaiver funded PASSPORT52132
program, including client eligibility.52133

       The Department of Aging shall administer the Medicaid52134
waiver-funded PASSPORT Home Care Program as delegated by the52135
Department of Job and Family Services in an interagency agreement. 52136
The foregoing appropriation item 490-403, PASSPORT, and the 52137
amounts set aside for the PASSPORT Waiver Program in appropriation 52138
item 490-610, PASSPORT/Residential State Supplement, shall be used 52139
to provide the required state match for federal Medicaid funds52140
supporting the Medicaid Waiver-funded PASSPORT Home Care Program.52141
Appropriation item 490-403, PASSPORT, and the amounts set aside52142
for the PASSPORT Waiver Program in appropriation item 490-610,52143
PASSPORT/Residential State Supplement, may also be used to support52144
the Department of Aging's administrative costs associated with52145
operating the PASSPORT program.52146

       The foregoing appropriation item 490-607, PASSPORT, shall be52147
used to provide the federal matching share for all PASSPORT52148
program costs determined by the Department of Job and Family52149
Services to be eligible for Medicaid reimbursement.52150

       OHIO COMMUNITY SERVICE COUNCIL52151

       The foregoing appropriation items 490-409, Ohio Community52152
Service Council Operations, and 490-617, Ohio Community Service 52153
Council Programs, shall be used in accordance with section 121.40 52154
of the Revised Code.52155

       LONG-TERM CARE OMBUDSMAN52156

       The foregoing appropriation item 490-410, Long-Term Care52157
Ombudsman, shall be used for a program to fund ombudsman program52158
activities as authorized in sections 173.14 to 173.27 and section 52159
173.99 of the Revised Code.52160

       SENIOR COMMUNITY SERVICES52161

       Appropriation item 490-411, Senior Community Services, shall 52162
be used for services designated by the Department of Aging,52163
including, but not limited to, home-delivered and congregate 52164
meals, transportation services, personal care services, respite 52165
services, adult day services, home repair, care coordination, and 52166
decision support systems. Service priority shall be given to low 52167
income, frail, and cognitively impaired persons 60 years of age 52168
and over. The department shall promote cost sharing by service 52169
recipients for those services funded with senior community 52170
services funds, including, when possible, sliding-fee scale 52171
payment systems based on the income of service recipients.52172

       RESIDENTIAL STATE SUPPLEMENT52173

       Under the Residential State Supplement Program, the amount52174
used to determine whether a resident is eligible for payment and52175
for determining the amount per month the eligible resident will52176
receive shall be as follows:52177

       (A) $900 for a residential care facility, as defined in52178
section 3721.01 of the Revised Code;52179

       (B) $900 for an adult group home, as defined in Chapter 3722. 52180
of the Revised Code;52181

       (C) $800 for an adult foster home, as defined in Chapter 173.52182
of the Revised Code;52183

       (D) $800 for an adult family home, as defined in Chapter52184
3722. of the Revised Code;52185

       (E) $800 for an adult community alternative home, as defined52186
in Chapter 3724. of the Revised Code;52187

       (F) $800 for an adult residential facility, as defined in52188
Chapter 5119. of the Revised Code;52189

       (G) $600 for adult community mental health housing services,52190
as defined in division (B)(5) of section 173.35 of the Revised52191
Code.52192

       The Departments of Aging and Job and Family Services shall52193
reflect these amounts in any applicable rules the departments 52194
adopt under section 173.35 of the Revised Code.52195

       TRANSFER OF RESIDENTIAL STATE SUPPLEMENT APPROPRIATIONS52196

       The Department of Aging may transfer cash by intrastate52197
transfer vouchers from the foregoing appropriation items 490-412,52198
Residential State Supplement, and 490-610, PASSPORT/Residential52199
State Supplement, to the Department of Job and Family Services'52200
Fund 4J5, Home and Community-Based Services for the Aged Fund. The 52201
funds shall be used to make benefit payments to Residential State52202
Supplement recipients.52203

       ALZHEIMERS RESPITE52204

       The foregoing appropriation item 490-414, Alzheimers Respite,52205
shall be used to fund only Alzheimer's disease services under52206
section 173.04 of the Revised Code.52207

       JCFS COMMUNITY OPTIONS52208

       The foregoing appropriation item 490-416, JCFS Community 52209
Options, shall be used for noncapital expenses related to52210
transportation services for the elderly that provide access to52211
such things as healthcare services, congregate meals,52212
socialization programs, and grocery shopping. The funds shall pass 52213
through and shall be administered by the Area Agencies on Aging. 52214
Agencies receiving funding from appropriation item 490-416, JCFS 52215
Community Options, shall coordinate services with other local 52216
service agencies. The appropriation shall be allocated to the 52217
following agencies:52218

        (A) $80,000 in both fiscal years to Cincinnati Jewish 52219
Vocational Services;52220

        (B) $70,000 in both fiscal years to Wexner Heritage Village;52221

        (C) $20,000 in both fiscal years to Yassenoff Jewish 52222
Community Center;52223

        (D) $80,000 in both fiscal years to Cleveland Jewish 52224
Community Center.52225

       ALLOCATION OF PACE SLOTS52226

       In order to effectively administer and manage growth within 52227
the PACE Program, the Director of Aging may, as the director deems 52228
appropriate and to the extent funding is available, allocate funds 52229
for the PACE Program between the PACE sites in Cleveland and 52230
Cincinnati.52231

       OHIO'S BEST RX START-UP COSTS52232

       An amount equal to the unencumbered balance in appropriation 52233
item 490-440, Ohio's Best Rx Start-up Costs, from fiscal year 2007 52234
is hereby appropriated for fiscal year 2008 into appropriation 52235
item 490-440, Ohio's Best Rx Start-up Costs.52236

       An amount equal to the remaining unencumbered balance in 52237
appropriation item 490-440, Ohio's Best Rx Start-Up Costs, from 52238
fiscal year 2008 is hereby appropriated for fiscal year 2009 into 52239
appropriation item 490-440, Ohio's Best Rx Start-Up Costs. The 52240
appropriation item 490-440, Ohio's Best Rx Start-Up Costs, shall 52241
be used by the Department of Aging to pay for the administrative 52242
and operational expenses of the Ohio's Best Rx Program in 52243
accordance with sections 173.71 to 173.91 of the Revised Code, 52244
including costs associated with the duties assigned by the 52245
department to the Ohio's Best Rx Program Administrator and for 52246
making payments to participating terminal distributors until 52247
sufficient cash exists to make payments from the accounts created 52248
in sections 173.85 and 173.86 of the Revised Code. Of 52249
appropriation item 490-440, Ohio's Best Rx Start-Up Costs, not 52250
more than $750,000 in each fiscal year may be used by the 52251
department for administrative and operational costs, excluding 52252
outreach, that are not associated with the Ohio's Best Rx Program 52253
Administrator or the payments to participating terminal 52254
distributors.52255

       EDUCATION AND TRAINING52256

       The foregoing appropriation item 490-606, Senior Community 52257
Outreach and Education, may be used to provide training to workers 52258
in the field of aging pursuant to division (G) of section 173.02 52259
of the Revised Code.52260

       REGIONAL LONG-TERM CARE OMBUDSMAN PROGRAM52261

       The foregoing appropriation item 490-609, Regional Long-Term52262
Care Ombudsman Program, shall be used solely to pay the costs of52263
operating the regional long-term care ombudsman programs 52264
designated by the Long-Term Care Ombudsman.52265

       PASSPORT/RESIDENTIAL STATE SUPPLEMENT52266

       Of the foregoing appropriation item 490-610,52267
PASSPORT/Residential State Supplement, up to $2,835,000 each52268
fiscal year may be used to fund the Residential State Supplement52269
Program. The remaining available funds shall be used to fund the52270
PASSPORT program.52271

       FEDERAL SUPPORTIVE SERVICES FUND52272

       On July 1, 2007, as soon as possible thereafter, the Director 52273
of Budget and Management shall transfer all assets, liabilities, 52274
revenues, and obligations associated with the Federal Aging 52275
Nutrition Fund (Fund 3M3) to the Federal Supportive Services Fund 52276
(Fund 3M4). Upon the transfer, the Federal Aging Nutrition Fund 52277
(Fund 3M3) shall cease to exist. The Director of Budget and 52278
Management shall cancel any existing encumbrances against 52279
appropriation item 490-611, Federal Aging Nutrition Fund (Fund 52280
3M3), and re-establish them against appropriation item 490-612, 52281
Federal Independence Services (Fund 3M4). The amounts of the 52282
re-established encumbrances are hereby appropriated.52283

       TRANSFER OF APPROPRIATIONS - FEDERAL INDEPENDENCE SERVICES 52284
AND FEDERAL AGING GRANTS52285

       Upon written request of the Director of Aging, the Director52286
of Budget and Management may transfer appropriation authority52287
among appropriation items 490-612, Federal Independence Services, 52288
and 490-618, Federal Aging Grants, in amounts not to exceed 30 per52289
cent of the appropriation from which the transfer is made. The52290
Department of Aging shall report a transfer to the Controlling52291
Board at the next regularly scheduled meeting of the board.52292

       TRANSFER OF RESIDENT PROTECTION FUNDS52293

       The Director of Budget and Management shall transfer $600,000 52294
per year in cash from Fund 4E3, Resident Protection Fund, in the 52295
Department of Job and Family Services, to Fund 5BA in the 52296
Department of Aging, to be used for the expansion of ombudsman 52297
services to enhance consumer involvement and person-centered care 52298
planning in nursing homes by the Office of the State Long-Term 52299
Care Ombudsman created by the Department of Aging under division 52300
(M) of section 173.01 of the Revised Code.52301

       OHIO'S BEST RX ADMINISTRATION52302

       The foregoing appropriation item 490-673, Ohio's Best Rx 52303
Administration, shall be used on an ongoing basis to cover 52304
expenses associated with the Ohio's Best Rx Program specified in 52305
section 173.86 of the Revised Code. If receipts to the fund exceed 52306
the appropriated amount, the Director of Aging may seek 52307
Controlling Board approval to increase the appropriation of this 52308
fund. Upon approval from the Controlling Board, the additional 52309
amounts are hereby appropriated.52310

       Section 213.30.  UNIFIED LONG-TERM CARE BUDGET WORKGROUP52311

       (A) There is hereby created the Unified Long-Term Care Budget 52312
Workgroup consisting of the following:52313

       (1) The Director of Aging;52314

       (2) Consumer advocates;52315

       (3) Representatives of the provider community;52316

       (4) State policy makers.52317

       The Director of Aging shall serve as the chairperson of the 52318
Workgroup.52319

       (B) The Workgroup shall develop a unified long-term care 52320
budget that facilitates the following:52321

       (1) Providing a consumer a choice of services that meet the 52322
consumer's health care needs and improve the consumer's quality of 52323
life;52324

       (2) Providing a continuum of services that meet the needs of 52325
a consumer throughout life;52326

       (3) Consolidating policymaking authority and the associated 52327
budgets in a single entity to simplify the consumer's decision 52328
making and maximize the state's flexibility in meeting the 52329
consumer's needs;52330

       (4) Assuring the state has a system that is cost effective 52331
and links disparate services across agencies and jurisdictions.52332

       (C) The Workgroup shall submit a written implementation plan 52333
to the Governor not later than June 1, 2008. The plan shall 52334
incorporate the following:52335

       (1) Recommendations regarding the structure of the unified 52336
long-term care budget;52337

       (2) A plan outlining how funds can be transferred among 52338
involved agencies in a fiscally neutral manner;52339

       (3) Identification of the resources needed to implement the 52340
unified budget in a multiphase approach starting in fiscal year 52341
2009;52342

       (4) Success criteria and tools to measure progress against 52343
the success criteria.52344

       The plan shall consider the recommendations of the Medicaid 52345
Administrative Study Council and the Ohio Commission to Reform 52346
Medicaid.52347

       Section 215.10. AGR DEPARTMENT OF AGRICULTURE52348

General Revenue Fund52349

GRF 700-321 Operating Expenses $ 2,605,330 $ 2,605,330 52350
GRF 700-401 Animal Disease Control $ 3,574,506 $ 3,574,506 52351
GRF 700-403 Dairy Division $ 1,304,504 $ 1,304,504 52352
GRF 700-404 Ohio Proud $ 196,895 $ 196,895 52353
GRF 700-405 Animal Damage Control $ 60,000 $ 60,000 52354
GRF 700-406 Consumer Analytical Lab $ 953,906 $ 953,906 52355
GRF 700-407 Food Safety $ 865,100 $ 865,100 52356
GRF 700-409 Farmland Preservation $ 241,573 $ 241,573 52357
GRF 700-410 Plant Industry $ 150,000 $ 150,000 52358
GRF 700-411 International Trade and Market Development $ 617,524 $ 517,524 52359
GRF 700-412 Weights and Measures $ 1,300,000 $ 1,300,000 52360
GRF 700-413 Gypsy Moth Prevention $ 200,000 $ 200,000 52361
GRF 700-415 Poultry Inspection $ 325,000 $ 325,000 52362
GRF 700-418 Livestock Regulation Program $ 1,428,496 $ 1,428,496 52363
GRF 700-424 Livestock Testing and Inspections $ 115,946 $ 115,946 52364
GRF 700-499 Meat Inspection Program - State Share $ 4,696,889 $ 4,696,889 52365
GRF 700-501 County Agricultural Societies $ 483,226 $ 483,226 52366
GRF 700-503 Livestock Exhibition Fund $ 62,500 $ 62,500 52367
TOTAL GRF General Revenue Fund $ 19,181,395 $ 19,081,395 52368

General Services Fund Group52369

5DA 700-644 Laboratory Administration Support $ 1,100,000 $ 1,100,000 52370
TOTAL GSF General Services Fund Group $ 1,100,000 $ 1,100,000 52371

Federal Special Revenue Fund Group52372

3AB 700-641 Agricultural Easement $ 2,000,000 $ 2,000,000 52373
3J4 700-607 Indirect Cost $ 600,000 $ 600,000 52374
3R2 700-614 Federal Plant Industry $ 4,800,000 $ 4,800,000 52375
326 700-618 Meat Inspection Program - Federal Share $ 4,960,000 $ 4,950,000 52376
336 700-617 Ohio Farm Loan Revolving Fund $ 44,679 $ 44,679 52377
382 700-601 Cooperative Contracts $ 3,700,000 $ 3,700,000 52378
TOTAL FED Federal Special Revenue 52379
Fund Group $ 16,104,679 $ 16,094,679 52380

State Special Revenue Fund Group52381

4C9 700-605 Feed, Fertilizer, Seed, and Lime Inspection $ 1,850,000 $ 1,850,000 52382
4D2 700-609 Auction Education $ 24,601 $ 24,601 52383
4E4 700-606 Utility Radiological Safety $ 73,059 $ 73,059 52384
4P7 700-610 Food Safety Inspection $ 858,096 $ 858,096 52385
4R2 700-637 Dairy Industry Inspection $ 1,500,000 $ 1,500,000 52386
4T6 700-611 Poultry and Meat Inspection $ 47,294 $ 47,294 52387
4T7 700-613 International Trade and Market Development $ 15,000 $ 15,000 52388
494 700-612 Agricultural Commodity Marketing Program $ 250,000 $ 250,000 52389
496 700-626 Ohio Grape Industries $ 850,000 $ 849,999 52390
497 700-627 Commodity Handlers Regulatory Program $ 500,000 $ 500,000 52391
5B8 700-629 Auctioneers $ 365,390 $ 365,390 52392
5H2 700-608 Metrology Lab and Scale Certification $ 427,526 $ 427,526 52393
5L8 700-604 Livestock Management Program $ 30,000 $ 30,000 52394
578 700-620 Ride Inspection Fees $ 1,000,000 $ 1,000,001 52395
652 700-634 Animal and Consumer Analytical Laboratory $ 3,000,000 $ 3,000,000 52396
669 700-635 Pesticide Program $ 2,800,000 $ 2,800,000 52397
TOTAL SSR State Special Revenue 52398
Fund Group $ 13,590,966 $ 13,590,966 52399

Clean Ohio Fund Group52400

057 700-632 Clean Ohio Agricultural Easement $ 149,000 $ 149,000 52401
TOTAL CLR Clean Ohio Fund Group $ 149,000 $ 149,000 52402

TOTAL ALL BUDGET FUND GROUPS $ 50,126,040 $ 50,016,040 52403

       OHIO - ISRAEL AGRICULTURAL INITIATIVE52404

       Of the foregoing General Revenue Fund appropriation item 52405
700-411, International Trade and Market Development, $100,000 52406
shall be used in fiscal year 2008 for the Ohio - Israel 52407
Agricultural Initiative.52408

       COUNTY AGRICULTURAL SOCIETIES52409

       The foregoing appropriation item 700-501, County Agricultural 52410
Societies, shall be used to reimburse county and independent 52411
agricultural societies for expenses related to Junior Fair 52412
activities.52413

       LIVESTOCK EXHIBITION FUND52414

        The foregoing appropriation item 700-503, Livestock 52415
Exhibition Fund, shall be used in accordance with section 901.42 52416
of the Revised Code.52417

       CORRECTIVE CASH TRANSFER TO ANIMAL HEALTH AND FOOD SAFETY 52418
FUND52419

       On the effective date of this section, or as soon as possible 52420
thereafter, the Director of Budget and Management may transfer all 52421
cash from the Animal Industry Laboratory Fund (Fund 4V5) to the 52422
Laboratory Services Fund (Fund 652) to correct deposits that were 52423
mistakenly deposited to the Laboratory Services Fund (Fund 4V5).52424

       Section 217.10. AIR AIR QUALITY DEVELOPMENT AUTHORITY52425

General Revenue Fund52426

GRF 898-402 Coal Development Office $ 565,097 $ 589,092 52427
GRF 898-901 Coal R&D General Obligation Debt Service $ 7,232,400 $ 8,192,500 52428
TOTAL GRF General Revenue Fund $ 7,797,497 $ 8,781,592 52429

General Services Fund Group52430

5EG 898-608 Energy Strategy Development $ 307,000 $ 307,000 52431
TOTAL GSF General Services Fund $ 307,000 $ 307,000 52432

Agency Fund Group52433

4Z9 898-602 Small Business Ombudsman $ 287,146 $ 294,290 52434
5A0 898-603 Small Business Assistance $ 71,087 $ 71,087 52435
570 898-601 Operating Expenses $ 255,000 $ 264,000 52436
TOTAL AGY Agency Fund Group $ 613,233 $ 629,377 52437

Coal Research/Development Fund52438

046 898-604 Coal Research and Development Fund $ 10,000,000 $ 10,000,000 52439
TOTAL 046 Coal Research/Development Fund $ 10,000,000 $ 10,000,000 52440
TOTAL ALL BUDGET FUND GROUPS $ 18,717,730 $ 19,717,969 52441

       COAL DEVELOPMENT OFFICE52442

        The foregoing appropriation item GRF 898-402, Coal 52443
Development Office, shall be used for the administrative costs of 52444
the Coal Development Office.52445

       COAL RESEARCH AND DEVELOPMENT GENERAL OBLIGATION DEBT SERVICE52446

        The foregoing appropriation item GRF 898-901, Coal R & D 52447
General Obligation Debt Service, shall be used to pay all debt 52448
service and related financing costs at the times they are required 52449
to be made during the period from July 1, 2007 to June 30, 2009 52450
for obligations issued under sections 151.01 and 151.07 of the 52451
Revised Code.52452

       SCIENCE AND TECHNOLOGY COLLABORATION52453

        The Air Quality Development Authority shall work in close 52454
collaboration with the Department of Development, the Board of 52455
Regents, and the Third Frontier Commission in relation to 52456
appropriation items and programs referred to as Alignment Programs 52457
in the following paragraph, and other technology-related 52458
appropriations and programs in the Department of Development, Air 52459
Quality Development Authority, and the Board of Regents as those 52460
agencies may designate, to ensure implementation of a coherent 52461
state strategy with respect to science and technology.52462

       To the extent permitted by law, the Air Quality Development 52463
Authority shall assure that coal research and development 52464
programs, proposals, and projects consider or incorporate 52465
appropriate collaborations with Third Frontier Project programs 52466
and grantees and with Alignment Programs and grantees.52467

       "Alignment Programs" means: appropriation items 195-401, 52468
Thomas Edison Program; 898-402, Coal Development Office; 195-422, 52469
Third Frontier Action Fund; 898-604, Coal Research and Development 52470
Fund; 235-433, Economic Growth Challenge; 235-508, Air Force 52471
Institute of Technology; 235-510, Ohio Supercomputer Center; 52472
235-451, Eminent Scholars; 235-527, Ohio Aerospace Institute; 52473
235-535, Ohio Agricultural Research and Development Center; 52474
235-553, Dayton Area Graduate Studies Institute; 235-554, 52475
Priorities in Collaborative Graduate Education; 235-556, Ohio 52476
Academic Resources Network; and 195-435, Biomedical Research and 52477
Technology Transfer Trust.52478

       Consistent with the recommendations of the Governor's 52479
Commission on Higher Education and the Economy, Alignment Programs 52480
shall be managed and administered (1) to build on existing 52481
competitive research strengths, (2) to encourage new and emerging 52482
discoveries and commercialization of ideas and products that will 52483
benefit the Ohio economy, and (3) to assure improved collaboration 52484
among Alignment Programs, with programs administered by the Third 52485
Frontier Commission, and with other state programs that are 52486
intended to improve economic growth and job creation.52487

       As directed by the Third Frontier Commission, Alignment 52488
Program managers shall report to the Commission or to the Third 52489
Frontier Advisory Board on the contributions of their programs to 52490
achieving the objectives stated in the preceding paragraph.52491

       Each alignment program shall be reviewed annually by the 52492
Third Frontier Commission with respect to its development of 52493
complementary relationships within a combined state science and 52494
technology investment portfolio and its overall contribution to 52495
the state's science and technology strategy, including the 52496
adoption of appropriately consistent criteria for: (1) the 52497
scientific merit of activities supported by the program; (2) the 52498
relevance of the program's activities to commercial opportunities 52499
in the private sector; (3) the private sector's involvement in a 52500
process that continually evaluates commercial opportunities to use 52501
the work supported by the program; and (4) the ability of the 52502
program and recipients of grant funding from the program to engage 52503
in activities that are collaborative, complementary, and efficient 52504
with respect to the expenditure of state funds. Each alignment 52505
program shall provide annual reports to the Third Frontier 52506
Commission discussing existing, planned, or possible 52507
collaborations between programs and recipients of grant funding 52508
related to technology, development, commercialization, and 52509
supporting Ohio's economic development. The annual review by the 52510
Third Frontier Commission shall be a comprehensive review of the 52511
entire state science and technology program portfolio rather than 52512
a review of individual programs.52513

       Applicants for Third Frontier and Alignment Program funding 52514
shall identify their requirements for high-performance computing 52515
facilities and services, including both hardware and software, in 52516
all proposals. If an applicant's requirements exceed approximately 52517
$100,000 for a proposal, the Ohio Supercomputer Center shall 52518
convene a panel of experts. The panel shall review the proposal to 52519
determine whether the proposal's requirements can be met through 52520
Ohio Supercomputer Center facilities or through other means and 52521
report its conclusion to the Third Frontier Commission.52522

        To ensure that the state receives the maximum benefit from 52523
its investment in the Third Frontier Project and the Third 52524
Frontier Network, organizations receiving Third Frontier awards 52525
and Alignment Program awards shall, as appropriate, be expected to 52526
have a connection to the Third Frontier Network that enables them 52527
and their collaborators to achieve award objectives through the 52528
Third Frontier Network.52529

       CORRECTIVE CASH TRANSFER52530

       On the effective date of this section, or as soon as possible 52531
thereafter, the Director of Budget and Management may transfer 52532
$35,555.35 in cash from the Coal Research and Development Fund 52533
(Fund 046) into the Coal Research and Development Bond Services 52534
Fund (Fund 076) to correct deposits that were mistakenly deposited 52535
into the Coal Research and Development Fund (Fund 046).52536

       Section 219.10.  ADA DEPARTMENT OF ALCOHOL AND DRUG ADDICTION 52537
SERVICES52538

General Revenue Fund52539

GRF 038-321 Operating Expenses $ 1,071,861 $ 1,071,861 52540
GRF 038-401 Treatment Services $ 31,661,063 $ 34,661,063 52541
GRF 038-404 Prevention Services $ 1,052,127 $ 1,552,127 52542
TOTAL GRF General Revenue Fund $ 33,785,051 $ 37,285,051 52543

General Services Fund52544

5T9 038-616 Problem Gambling Services $ 285,000 $ 285,000 52545
TOTAL GSF General Services Fund Group $ 285,000 $ 285,000 52546

Federal Special Revenue Fund Group52547

3CK 038-625 TANF $ 5,000,000 $ 5,000,000 52548
3G3 038-603 Drug Free Schools $ 3,500,000 $ 3,500,000 52549
3G4 038-614 Substance Abuse Block Grant $ 73,000,000 $ 73,000,000 52550
3H8 038-609 Demonstration Grants $ 7,093,075 $ 7,093,075 52551
3J8 038-610 Medicaid $ 46,000,000 $ 46,000,000 52552
3N8 038-611 Administrative Reimbursement $ 500,000 $ 500,000 52553
TOTAL FED Federal Special Revenue 52554
Fund Group $ 135,093,075 $ 135,093,075 52555

State Special Revenue Fund Group52556

475 038-621 Statewide Treatment and Prevention $ 18,000,000 $ 18,000,000 52557
5BR 038-406 Tobacco Use Prevention and Control Program $ 205,000 $ 205,000 52558
5DH 038-620 Fetal Alcohol Spectrum Disorder $ 327,500 $ 327,500 52559
689 038-604 Education and Conferences $ 350,000 $ 350,000 52560
TOTAL SSR State Special Revenue 52561
Fund Group $ 18,882,500 $ 18,882,500 52562
TOTAL ALL BUDGET FUND GROUPS $ 188,045,626 $ 191,545,626 52563

       TREATMENT SERVICES52564

        Of the foregoing appropriation item 038-401, Treatment 52565
Services, not more than $8,190,000 shall be used by the Department 52566
of Alcohol and Drug Addiction Services for program grants for 52567
priority populations in each year of the biennium.52568

       SUBSTANCE ABUSE SERVICES FOR FAMILIES OF AT RISK CHILDREN52569

       Of the foregoing appropriation item 038-401, Treatment52570
Services, $4 million in each fiscal year shall be used to provide 52571
substance abuse services to families involved in the child welfare 52572
system under the requirements of Am. Sub. H.B. 484 of the 122nd52573
General Assembly.52574

       THERAPEUTIC COMMUNITIES52575

        Of the foregoing appropriation item 038-401, Treatment 52576
Services, $600,000 shall be used in each fiscal year for the 52577
Therapeutic Communities Program in the Department of 52578
Rehabilitation and Correction.52579

        JUVENILE AFTERCARE PROGRAM52580

       Of the foregoing appropriation item 038-401, Treatment 52581
Services, $2,500,000 shall be used in fiscal year 2009 for the 52582
Juvenile Aftercare Program to provide community-based alcohol and 52583
other drug treatment to parolees from the Department of Youth 52584
Services.52585

       SERVICES FOR TANF-ELIGIBLE INDIVIDUALS52586

       Of the foregoing appropriation item 038-625, TANF 52587
Reimbursement, an amount up to $5 million each year shall be used 52588
to reimburse counties for TANF-eligible expenditures for substance 52589
abuse prevention and treatment services to children, or their 52590
families, whose income is at or below 200 per cent of the federal52591
poverty level. The Director of Alcohol and Drug Addiction Services 52592
and the Director of Job and Family Services shall enter into an 52593
interagency agreement that meets federal requirements.52594

       PERFORMANCE REVIEW52595

        The Auditor of State shall complete a performance review of 52596
the Department of Alcohol and Drug Addiction Services. Upon 52597
completing the performance review, the Auditor of State shall 52598
submit a report of the findings of the review to the Governor, the 52599
President of the Senate, the Speaker of the House of 52600
Representatives, and the Director of Alcohol and Drug Addiction 52601
Services.52602

       Section 221.10.  ARC STATE BOARD OF EXAMINERS OF ARCHITECTS52603

General Services Fund Group52604

4K9 891-609 Operating Expenses $ 589,710 $ 527,641 52605
TOTAL GSF General Services Fund 52606
Group $ 589,710 $ 527,641 52607
TOTAL ALL BUDGET FUND GROUPS $ 589,710 $ 527,641 52608


       Section 223.10.  ART OHIO ARTS COUNCIL52610

General Revenue Fund52611

GRF 370-100 Personal Services $ 1,798,235 $ 1,798,235 52612
GRF 370-200 Maintenance $ 459,746 $ 459,746 52613
GRF 370-300 Equipment $ 82,700 $ 82,700 52614
GRF 370-502 State Program Subsidies $ 9,647,480 $ 9,647,480 52615
TOTAL GRF General Revenue Fund $ 11,988,161 $ 11,988,161 52616

General Services Fund Group52617

4B7 370-603 Percent for Art Acquisitions $ 86,366 $ 86,366 52618
460 370-602 Management Expenses and Donations $ 285,000 $ 285,000 52619
TOTAL GSF General Services Fund Group $ 371,366 $ 371,366 52620

Federal Special Revenue Fund Group52621

314 370-601 Federal Support $ 800,000 $ 800,000 52622
TOTAL FED Federal Special Revenue Fund Group $ 800,000 $ 800,000 52623
TOTAL ALL BUDGET FUND GROUPS $ 13,159,527 $ 13,159,527 52624

       PROGRAM SUBSIDIES52625

       A museum is not eligible to receive funds from appropriation52626
item 370-502, State Program Subsidies, if $8,000,000 or more in 52627
capital appropriations were appropriated by the state for the 52628
museum between January 1, 1986, and December 31, 2002.52629

       Section 225.10. ATH ATHLETIC COMMISSION52630

General Services Fund Group52631

4K9 175-609 Operating Expenses $ 255,850 $ 255,850 52632
TOTAL GSF General Services Fund Group $ 255,850 $ 255,850 52633
TOTAL ALL BUDGET FUND GROUPS $ 255,850 $ 255,850 52634


       Section 227.10. AGO ATTORNEY GENERAL52636

General Revenue Fund52637

GRF 055-321 Operating Expenses $ 54,063,833 $ 54,007,332 52638
GRF 055-404 Tobacco Settlement Enforcement $ 0 $ 723,797 52639
GRF 055-411 County Sheriffs' Pay Supplement $ 813,117 $ 842,134 52640
GRF 055-415 County Prosecutors' Pay Supplement $ 896,404 $ 923,888 52641
TOTAL GRF General Revenue Fund $ 55,773,354 $ 56,497,151 52642

General Services Fund Group52643

106 055-612 General Reimbursement $ 29,870,196 $ 29,870,196 52644
195 055-660 Workers' Compensation Section $ 8,002,720 $ 8,002,720 52645
4Y7 055-608 Title Defect Rescission $ 750,000 $ 750,000 52646
4Z2 055-609 BCI Asset Forfeiture and Cost Reimbursement $ 1,000,000 $ 1,000,000 52647
418 055-615 Charitable Foundations $ 6,919,850 $ 7,064,978 52648
420 055-603 Attorney General Antitrust $ 1,500,000 $ 1,500,000 52649
421 055-617 Police Officers' Training Academy Fee $ 2,000,000 $ 2,000,000 52650
5A9 055-618 Telemarketing Fraud Enforcement $ 7,500 $ 7,500 52651
590 055-633 Peace Officer Private Security Fund $ 98,370 $ 98,370 52652
629 055-636 Corrupt Activity Investigation and Prosecution $ 15,000 $ 15,000 52653
631 055-637 Consumer Protection Enforcement $ 2,500,000 $ 2,500,000 52654
TOTAL GSF General Services Fund 52655
Group $ 52,663,636 $ 52,808,764 52656

Federal Special Revenue Fund Group52657

3E5 055-638 Attorney General Pass-Through Funds $ 2,850,000 $ 3,030,000 52658
3R6 055-613 Attorney General Federal Funds $ 4,870,000 $ 5,115,000 52659
306 055-620 Medicaid Fraud Control $ 3,139,500 $ 3,296,500 52660
381 055-611 Civil Rights Legal Service $ 402,540 $ 402,540 52661
383 055-634 Crime Victims Assistance $ 16,000,000 $ 16,000,000 52662
TOTAL FED Federal Special Revenue 52663
Fund Group $ 27,262,040 $ 27,844,040 52664

State Special Revenue Fund Group52665

4L6 055-606 DARE $ 3,927,962 $ 3,927,962 52666
402 055-616 Victims of Crime $ 34,000,000 $ 34,000,000 52667
419 055-623 Claims Section $ 25,000,000 $ 25,000,000 52668
659 055-641 Solid and Hazardous Waste Background Investigations $ 621,159 $ 621,159 52669
TOTAL SSR State Special Revenue 52670
Fund Group $ 63,549,121 $ 63,549,121 52671

Holding Account Redistribution Fund Group52672

R04 055-631 General Holding Account $ 1,000,000 $ 1,000,000 52673
R05 055-632 Antitrust Settlements $ 1,000 $ 1,000 52674
R18 055-630 Consumer Frauds $ 750,000 $ 750,000 52675
R42 055-601 Organized Crime Commission Distributions $ 25,025 $ 25,025 52676
TOTAL 090 Holding Account 52677
Redistribution Fund Group $ 1,776,025 $ 1,776,025 52678
TOTAL ALL BUDGET FUND GROUPS $ 201,024,176 $ 202,475,101 52679

       TOBACCO SETTLEMENT ENFORCEMENT52680

       The foregoing appropriation item 055-404, Tobacco Settlement 52681
Enforcement, shall be used by the Attorney General to pay costs 52682
incurred in the oversight, administration, and enforcement of the 52683
Tobacco Master Settlement Agreement.52684

       COUNTY SHERIFFS' PAY SUPPLEMENT52685

        The foregoing appropriation item 055-411, County Sheriffs' 52686
Pay Supplement, shall be used for the purpose of supplementing the 52687
annual compensation of county sheriffs as required by section 52688
325.06 of the Revised Code.52689

       At the request of the Attorney General, the Director of 52690
Budget and Management may transfer appropriation authority from 52691
appropriation item 055-321, Operating Expenses, to appropriation 52692
item 055-411, County Sheriffs' Pay Supplement. Any appropriation 52693
authority so transferred to appropriation item 055-411, County 52694
Sheriffs' Pay Supplement, shall be used to supplement the annual 52695
compensation of county sheriffs as required by section 325.06 of 52696
the Revised Code.52697

       COUNTY PROSECUTORS' PAY SUPPLEMENT52698

       The foregoing appropriation item 055-415, County Prosecutors' 52699
Pay Supplement, shall be used for the purpose of supplementing the 52700
annual compensation of certain county prosecutors as required by 52701
section 325.111 of the Revised Code.52702

       At the request of the Attorney General, the Director of 52703
Budget and Management may transfer appropriation authority from 52704
appropriation item 055-321, Operating Expenses, to appropriation 52705
item 055-415, County Prosecutors' Pay Supplement. Any 52706
appropriation authority so transferred to appropriation item 52707
055-415, County Prosecutors' Pay Supplement, shall be used to 52708
supplement the annual compensation of county prosecutors as 52709
required by section 325.111 of the Revised Code.52710

       WORKERS' COMPENSATION SECTION52711

       The Workers' Compensation Section Fund (Fund 195) is entitled 52712
to receive payments from the Bureau of Workers' Compensation and 52713
the Ohio Industrial Commission at the beginning of each quarter of52714
each fiscal year to fund legal services to be provided to the52715
Bureau of Workers' Compensation and the Ohio Industrial Commission52716
during the ensuing quarter. The advance payment shall be subject52717
to adjustment.52718

       In addition, the Bureau of Workers' Compensation shall52719
transfer payments at the beginning of each quarter for the support52720
of the Workers' Compensation Fraud Unit.52721

       All amounts shall be mutually agreed upon by the Attorney52722
General, the Bureau of Workers' Compensation, and the Ohio52723
Industrial Commission.52724

       CORRUPT ACTIVITY INVESTIGATION AND PROSECUTION52725

       The foregoing appropriation item 055-636, Corrupt Activity52726
Investigation and Prosecution, shall be used as provided by52727
division (D)(2) of section 2923.35 of the Revised Code to dispose52728
of the proceeds, fines, and penalties credited to the Corrupt52729
Activity Investigation and Prosecution Fund, which is created in52730
division (D)(1)(b) of section 2923.35 of the Revised Code.52731

       GENERAL HOLDING ACCOUNT52732

       The foregoing appropriation item 055-631, General Holding 52733
Account, shall be used to distribute moneys under the terms of 52734
relevant court orders received from settlements in a variety of 52735
cases involving the Office of the Attorney General.52736

       ATTORNEY GENERAL PASS-THROUGH FUNDS52737

        The foregoing appropriation item 055-638, Attorney General 52738
Pass-Through Funds, shall be used to receive federal grant funds 52739
provided to the Attorney General by other state agencies, 52740
including, but not limited to, the Department of Youth Services 52741
and the Department of Public Safety.52742

        ANTITRUST SETTLEMENTS52743

       The foregoing appropriation item 055-632, Antitrust 52744
Settlements, shall be used to distribute court-ordered antitrust 52745
settlements in which the Office of Attorney General represents the 52746
state or a political subdivision under section 109.81 of the 52747
Revised Code.52748

       CONSUMER FRAUDS52749

        The foregoing appropriation item 055-630, Consumer Frauds, 52750
shall be used for distribution of moneys from court-ordered 52751
judgments against sellers in actions brought by the Office of 52752
Attorney General under sections 1334.08 and 4549.48 and division 52753
(B) of section 1345.07 of the Revised Code. These moneys shall be 52754
used to provide restitution to consumers victimized by the fraud 52755
that generated the court-ordered judgments.52756

       ORGANIZED CRIME COMMISSION DISTRIBUTIONS52757

        The foregoing appropriation item 055-601, Organized Crime 52758
Commission Distributions, shall be used by the Organized Crime 52759
Investigations Commission, as provided by section 177.011 of the 52760
Revised Code, to reimburse political subdivisions for the expenses 52761
the political subdivisions incur when their law enforcement 52762
officers participate in an organized crime task force.52763

       FUND ADJUSTMENTS52764

       On July 1, 2007, or as soon as practicable thereafter, the 52765
Director of Budget and Management shall transfer the cash balance 52766
in the Employment Services Fund (Fund 107) to the General 52767
Reimbursement Fund (Fund 106). The Director shall cancel any 52768
existing encumbrances against appropriation item 055-624, 52769
Employment Services, and re-establish them against appropriation 52770
item 055-612, General Reimbursement. The amounts of the 52771
re-established encumbrances are hereby appropriated. Upon 52772
completion of these transfers, the Employment Services Fund (Fund 52773
107) is hereby abolished.52774

       On July 1, 2007, or as soon as practicable thereafter, the 52775
Director of Budget and Management shall transfer the cash balance 52776
in the Crime Victims Compensation Fund (Fund 108) to the 52777
Reparations Fund (Fund 402). Upon completion of this transfer, the 52778
Crime Victims Compensation Fund (Fund 108) is hereby abolished.52779

       Section 229.10. AUD AUDITOR OF STATE52780

General Revenue Fund52781

GRF 070-321 Operating Expenses $ 31,469,552 $ 32,771,482 52782
GRF 070-403 Fiscal Watch/Emergency Technical Assistance $ 600,000 $ 600,000 52783
TOTAL GRF General Revenue Fund $ 32,069,552 $ 33,371,482 52784

Auditor of State Fund Group52785

109 070-601 Public Audit Expense - Intra-State $ 11,000,000 $ 11,000,000 52786
422 070-601 Public Audit Expense - Local Government $ 33,000,000 $ 34,000,000 52787
584 070-603 Training Program $ 181,250 $ 181,250 52788
675 070-605 Uniform Accounting Network $ 3,317,336 $ 3,317,336 52789
TOTAL AUD Auditor of State Fund 52790
Group $ 47,498,586 $ 48,498,586 52791
TOTAL ALL BUDGET FUND GROUPS $ 79,568,138 $ 81,870,068 52792

       FISCAL WATCH/EMERGENCY TECHNICAL ASSISTANCE52793

       The foregoing appropriation item 070-403, Fiscal52794
Watch/Emergency Technical Assistance, shall be used for expenses 52795
incurred by the Office of the Auditor of State in its role 52796
relating to fiscal watch or fiscal emergency activities under52797
Chapters 118. and 3316. of the Revised Code. Expenses include, but 52798
are not limited to, the following: duties related to the 52799
determination or termination of fiscal watch or fiscal emergency 52800
of municipal corporations, counties, or townships as outlined in 52801
Chapter 118. of the Revised Code and of school districts as 52802
outlined in Chapter 3316. of the Revised Code; development of 52803
preliminary accounting reports; performance of annual forecasts; 52804
provision of performance audits; and supervisory, accounting, or 52805
auditing services for the mentioned public entities and school 52806
districts. The unencumbered balance of appropriation item 070-403, 52807
Fiscal Watch/Emergency Technical Assistance, at the end of fiscal 52808
year 2008 is transferred to fiscal year 2009 for use under the 52809
same appropriation item.52810

       UNIFORM ACCOUNTING NETWORK/TECHNOLOGY IMPROVEMENTS FUND 52811
TRANSFER52812

       Upon the request of the Auditor of State, and subject to 52813
approval from the Controlling Board, effective July 1, 2007, or as 52814
soon thereafter as possible, the Director of Budget and Management 52815
shall transfer the appropriation balance in GRF appropriation item 52816
070-406, Uniform Accounting Network/Technology Improvements Fund, 52817
to GRF appropriation item 070-321, Operating Expenses. The 52818
Director shall cancel any existing encumbrances against GRF 52819
appropriation item 070-406, Uniform Accounting Network/Technology 52820
Improvement Fund, and re-establish them against GRF appropriation 52821
item 070-321, Operating Expenses. The amounts of the 52822
re-established encumbrances are hereby appropriated.52823

       Section 231.10. BRB BOARD OF BARBER EXAMINERS52824

General Services Fund Group52825

4K9 877-609 Operating Expenses $ 608,045 $ 628,264 52826
TOTAL GSF General Services Fund 52827
Group $ 608,045 $ 628,264 52828
TOTAL ALL BUDGET FUND GROUPS $ 608,045 $ 628,264 52829


       Section 233.10. OBM OFFICE OF BUDGET AND MANAGEMENT52831

General Revenue Fund52832

GRF 042-321 Budget Development and Implementation $ 2,026,011 $ 2,128,284 52833
GRF 042-410 National Association Dues $ 28,700 $ 29,561 52834
GRF 042-412 Audit of Auditor of State $ 60,460 $ 60,460 52835
GRF 042-413 Payment Issuance $ 1,191,802 $ 1,150,192 52836
GRF 042-416 Medicaid Agency Transition $ 0 $ 1,500,000 52837
TOTAL GRF General Revenue Fund $ 3,306,973 $ 4,868,497 52838

General Services Fund Group52839

105 042-603 State Accounting and Budgeting $ 12,115,134 $ 12,742,551 52840
TOTAL GSF General Services Fund Group $ 12,115,134 $ 12,742,551 52841

Federal Special Revenue Fund Group52842

3CM 042-606 Medicaid Agency Transition $ 0 $ 1,500,000 52843
TOTAL FED Federal Special Revenue Fund Group $ 0 $ 1,500,000 52844

State Special Revenue Fund Group52845

5N4 042-602 OAKS Project Implementation $ 2,200,725 $ 2,132,168 52846
TOTAL SSR State Special Revenue Fund Group $ 2,200,725 $ 2,132,168 52847

Agency Fund Group52848

5EH 042-604 Forgery Recovery $ 35,000 $ 35,000 52849
TOTAL AGY Agency Fund Group $ 35,000 $ 35,000 52850
TOTAL ALL BUDGET FUND GROUPS $ 17,657,832 $ 21,278,216 52851

       AUDIT COSTS52852

       Of the foregoing appropriation item 042-603, State Accounting 52853
and Budgeting, not more than $435,000 in fiscal year 2008 and52854
$445,000 in fiscal year 2009 shall be used to pay for centralized52855
audit costs associated with either Single Audit Schedules or52856
financial statements prepared in conformance with generally52857
accepted accounting principles for the state.52858

       Section 233.20. OAKS SUPPORT ORGANIZATION52859

       The OAKS Support Organization shall operate and maintain the 52860
financial management module of the state's enterprise resource 52861
planning system to support the activities of the Office of Budget 52862
and Management. The OAKS Support Organization shall recover the 52863
costs to establish and maintain the enterprise resource planning 52864
system through billings to the Office of Budget and Management.52865

       Effective July 1, 2007, the Office of Budget Management shall 52866
include the recovery of costs to administer the financial module 52867
of the OAKS System in the accounting and budgeting services 52868
payroll rate. These revenues shall be deposited to the credit of 52869
the Accounting and Budgeting Services Fund (Fund 105). Amounts 52870
deposited under this section are hereby appropriated to 52871
appropriation item 042-603, State Accounting and Budgeting. Not 52872
less than quarterly, the Office of Budget and Management shall 52873
process the intrastate transfer voucher billings to transfer the 52874
Accounting and Budgeting Services Fund (Fund 105) to the OAKS 52875
Support Organization Fund (Fund 5EB), to pay for the OAKS Support 52876
Organization Costs.52877

       TRANSFER BALANCE OF CONTINUOUS RECEIPTS FUND52878

       On or before July 31, 2007, the unencumbered cash balance in 52879
the Continuous Receipts Fund (Fund R06) shall be transferred to 52880
the Forgery Recovery Fund (Fund 5EH).52881

       Section 235.10. CSR CAPITOL SQUARE REVIEW AND ADVISORY BOARD52882

General Revenue Fund52883

GRF 874-100 Personal Services $ 1,957,000 $ 1,957,000 52884
GRF 874-320 Maintenance and Equipment $ 985,837 $ 980,837 52885
TOTAL GRF General Revenue Fund $ 2,942,837 $ 2,937,837 52886

General Services Fund Group52887

4G5 874-603 Capitol Square Education Center and Arts $ 15,000 $ 15,000 52888
4S7 874-602 Statehouse Gift Shop/Events $ 650,484 $ 650,484 52889
TOTAL GSF General Services 52890
Fund Group $ 665,484 $ 665,484 52891

Underground Parking Garage52892

208 874-601 Underground Parking Garage Operations $ 2,706,993 $ 2,706,993 52893
TOTAL UPG Underground Parking 52894
Garage $ 2,706,993 $ 2,706,993 52895
TOTAL ALL BUDGET FUND GROUPS $ 6,315,314 $ 6,310,314 52896


       Section 237.10. SCR STATE BOARD OF CAREER COLLEGES AND 52898
SCHOOLS52899

General Services Fund Group52900

4K9 233-601 Operating Expenses $ 552,300 $ 572,700 52901
TOTAL GSF General Services Fund Group $ 552,300 $ 572,700 52902
TOTAL ALL BUDGET FUND GROUPS $ 552,300 $ 572,700 52903


       Section 239.10. CDP CHEMICAL DEPENDENCY PROFESSIONALS BOARD52905

General Services Fund Group52906

4K9 930-609 Operating Expenses $ 530,864 $ 551,146 52907
TOTAL GSF General Services Fund Group $ 530,864 $ 551,146 52908
TOTAL ALL BUDGET FUND GROUPS $ 530,864 $ 551,146 52909


       Section 241.10. CHR STATE CHIROPRACTIC BOARD52911

General Services Fund Group52912

4K9 878-609 Operating Expenses $ 607,445 $ 621,621 52913
TOTAL GSF General Services Fund Group $ 607,445 $ 621,621 52914
TOTAL ALL BUDGET FUND GROUPS $ 607,445 $ 621,621 52915


       Section 243.10. CIV OHIO CIVIL RIGHTS COMMISSION52917

General Revenue Fund52918

GRF 876-321 Operating Expenses $ 7,097,134 $ 7,097,134 52919
TOTAL GRF General Revenue Fund $ 7,097,134 $ 7,097,134 52920

Federal Special Revenue Fund Group52921

334 876-601 Investigations $ 3,965,507 $ 4,602,185 52922
TOTAL FED Federal Special Revenue 52923
Fund Group $ 3,965,507 $ 4,602,185 52924

State Special Revenue Fund Group52925

217 876-604 Operations Support $ 60,000 $ 60,000 52926
TOTAL SSR State Special 52927
Revenue Fund Group $ 60,000 $ 60,000 52928
TOTAL ALL BUDGET FUND GROUPS $ 11,122,641 $ 11,759,319 52929


       Section 245.10. COM DEPARTMENT OF COMMERCE52931

General Revenue Fund52932

GRF 800-410 Labor and Worker Safety $ 2,032,396 $ 2,032,396 52933
Total GRF General Revenue Fund $ 2,032,396 $ 2,032,396 52934

General Services Fund Group52935

163 800-620 Division of Administration $ 4,323,037 $ 4,413,037 52936
163 800-637 Information Technology $ 6,650,150 $ 6,780,963 52937
5F1 800-635 Small Government Fire Departments $ 300,000 $ 300,000 52938
543 800-602 Unclaimed Funds-Operating $ 7,880,468 $ 8,049,937 52939
543 800-625 Unclaimed Funds-Claims $ 70,000,000 $ 75,000,000 52940
TOTAL GSF General Services Fund 52941
Group $ 89,153,655 $ 94,543,937 52942

Federal Special Revenue Fund Group52943

348 800-622 Underground Storage Tanks $ 195,008 $ 195,008 52944
348 800-624 Leaking Underground Storage Tanks $ 1,850,000 $ 1,850,000 52945
TOTAL FED Federal Special Revenue 52946
Fund Group $ 2,045,008 $ 2,045,008 52947

State Special Revenue Fund Group52948

4B2 800-631 Real Estate Appraisal Recovery $ 35,000 $ 35,000 52949
4H9 800-608 Cemeteries $ 273,465 $ 273,465 52950
4X2 800-619 Financial Institutions $ 2,474,414 $ 2,523,918 52951
5K7 800-621 Penalty Enforcement $ 50,000 $ 50,000 52952
544 800-612 Banks $ 6,516,507 $ 6,703,253 52953
545 800-613 Savings Institutions $ 2,244,370 $ 2,286,616 52954
546 800-610 Fire Marshal $ 13,104,393 $ 13,579,150 52955
546 800-639 Fire Department Grants $ 1,647,140 $ 1,647,140 52956
546 800-640 Homeland Security Grants $ 10,000 $ 10,000 52957
547 800-603 Real Estate Education/Research $ 250,000 $ 250,000 52958
548 800-611 Real Estate Recovery $ 50,000 $ 50,000 52959
549 800-614 Real Estate $ 3,480,038 $ 3,574,171 52960
550 800-617 Securities $ 4,312,453 $ 4,473,094 52961
552 800-604 Credit Union $ 3,521,037 $ 3,627,390 52962
553 800-607 Consumer Finance $ 5,800,445 $ 5,800,445 52963
556 800-615 Industrial Compliance $ 25,033,908 $ 25,570,011 52964
6A4 800-630 Real Estate Appraiser-Operating $ 664,006 $ 664,006 52965
653 800-629 UST Registration/Permit Fee $ 1,512,512 $ 1,467,160 52966
TOTAL SSR State Special Revenue 52967
Fund Group $ 70,979,688 $ 72,584,819 52968

Liquor Control Fund Group52969

043 800-601 Merchandising $ 440,499,979 $ 464,027,015 52970
043 800-627 Liquor Control Operating $ 15,980,724 $ 16,334,583 52971
043 800-633 Development Assistance Debt Service $ 33,678,800 $ 38,616,800 52972
043 800-636 Revitalization Debt Service $ 12,620,900 $ 15,683,300 52973
TOTAL LCF Liquor Control 52974
Fund Group $ 502,780,403 $ 534,661,698 52975
TOTAL ALL BUDGET FUND GROUPS $ 666,991,150 $ 705,867,858 52976

       SMALL GOVERNMENT FIRE DEPARTMENTS52977

       Notwithstanding section 3737.17 of the Revised Code, the52978
foregoing appropriation item 800-635, Small Government Fire52979
Departments, may be used to provide loans to private fire52980
departments.52981

       UNCLAIMED FUNDS PAYMENTS52982

       The foregoing appropriation item 800-625, Unclaimed52983
Funds-Claims, shall be used to pay claims under section 169.08 of 52984
the Revised Code. If it is determined that additional amounts are 52985
necessary, the amounts are hereby appropriated.52986

       UNCLAIMED FUNDS TRANSFERS52987

        Notwithstanding division (A) of section 169.05 of the Revised 52988
Code, prior to June 30, 2008, and upon the request of the Director 52989
of Budget and Management, the Director of Commerce shall transfer 52990
to the General Revenue Fund up to $29,275,000 of unclaimed funds 52991
that have been reported by holders of unclaimed funds under 52992
section 169.05 of the Revised Code, irrespective of the allocation 52993
of the unclaimed funds under that section.52994

        Notwithstanding division (A) of section 169.05 of the Revised 52995
Code, prior to June 30, 2009, and upon the request of the Director 52996
of Budget and Management, the Director of Commerce shall transfer 52997
to the General Revenue Fund up to $29,275,000 of unclaimed funds 52998
that have been reported by holders of unclaimed funds under 52999
section 169.05 of the Revised Code, irrespective of the allocation 53000
of the unclaimed funds under that section.53001

       CASH TRANSFER TO GENERAL REVENUE FUND53002

        Notwithstanding any other law to the contrary, the Director 53003
of Budget and Management shall transfer up to $5,700,000 in cash 53004
in fiscal year 2008 and up to $5,800,000 in cash in fiscal year 53005
2009 from the State Fire Marshal Fund (Fund 546) to the General 53006
Revenue Fund.53007

       FIRE DEPARTMENT GRANTS53008

        Of the foregoing appropriation item 800-639, Fire Department 53009
Grants, up to $760,000 in each fiscal year shall be used to make 53010
annual grants to volunteer fire departments of up to $10,000, or 53011
up to $25,000 if the volunteer fire department provides service 53012
for an area affected by a natural disaster. The grant program 53013
shall be administered by the Fire Marshal under the Department of 53014
Commerce. The Fire Marshal shall adopt rules as are necessary for 53015
the administration and operation of the grant program.53016

        Of the foregoing appropriation item 800-639, Fire Department 53017
Grants, up to $687,140 in each fiscal year shall be used as full 53018
or partial reimbursement to local units of government and fire 53019
departments for the cost of firefighter training and equipment or 53020
gear. Under rules that the department shall adopt, a local unit of 53021
government or fire department may apply to the department for a 53022
grant to cover all documented costs that are incurred to provide 53023
firefighter training and equipment or gear. The department shall 53024
make grants within the limits of the funding provided, with 53025
priority given to fire departments that serve small villages and 53026
townships.53027

        Of the foregoing appropriation item 800-639, Fire Department 53028
Grants, up to $200,000 in each fiscal year shall be used to make 53029
grants to fire departments to assist in the conversion of existing 53030
data systems to the NFIRS 5 electronic fire reporting system. 53031
Under rules that the department shall adopt, awards shall have a 53032
maximum of $50,000 per fire department and shall be based on a 53033
point system that includes factors such as consideration of the 53034
fire department's information technology and operating budgets, 53035
population and area served, number of incidents, data conversion 53036
and implementation methods, and readiness.53037

       CASH TRANSFER TO REAL ESTATE OPERATING FUND53038

        At the request of the Director of Commerce, the Director of 53039
Budget and Management may transfer up to $100,000 in cash from the 53040
Real Estate Recovery Fund (Fund 548) and up to $350,000 in cash 53041
from the Real Estate Appraiser Recovery Fund (Fund 4B2) to the 53042
Real Estate Operating Fund (Fund 549) during fiscal years 53043
2008-2009.53044

       INCREASED APPROPRIATION AUTHORITY - MERCHANDISING53045

       The foregoing appropriation item 800-601, Merchandising, 53046
shall be used under section 4301.12 of the Revised Code. If it is 53047
determined that additional amounts are necessary, the amounts are 53048
hereby appropriated.53049

        DEVELOPMENT ASSISTANCE DEBT SERVICE53050

       The foregoing appropriation item 800-633, Development 53051
Assistance Debt Service, shall be used to pay debt service and 53052
related financing costs at the times they are required to be made 53053
during the period from July 1, 2007, to June 30, 2009, for bond 53054
service charges on obligations issued under Chapter 166. of the 53055
Revised Code. If it is determined that additional appropriations 53056
are necessary for this purpose, such amounts are hereby 53057
appropriated, subject to the limitations set forth in section 53058
166.11 of the Revised Code. An appropriation for this purpose is 53059
not required, but is made in this form and in this act for record 53060
purposes only.53061

       REVITALIZATION DEBT SERVICE53062

       The foregoing appropriation item 800-636, Revitalization Debt53063
Service, shall be used to pay debt service and related financing53064
costs under sections 151.01 and 151.40 of the Revised Code during 53065
the period from July 1, 2007, to June 30, 2009. If it is 53066
determined that additional appropriations are necessary for this 53067
purpose, such amounts are hereby appropriated. The General 53068
Assembly acknowledges the priority of the pledge of a portion of 53069
receipts from that source to obligations issued and to be issued 53070
under Chapter 166. of the Revised Code.53071

       ADMINISTRATIVE ASSESSMENTS53072

       Notwithstanding any other provision of law to the contrary,53073
Fund 163, Division of Administration, is entitled to receive 53074
assessments from all operating funds of the department in 53075
accordance with procedures prescribed by the Director of Commerce 53076
and approved by the Director of Budget and Management.53077

       Section 247.10. OCC OFFICE OF CONSUMERS' COUNSEL53078

General Services Fund Group53079

5F5 053-601 Operating Expenses $ 8,498,070 $ 8,498,070 53080
TOTAL GSF General Services Fund Group $ 8,498,070 $ 8,498,070 53081
TOTAL ALL BUDGET FUND GROUPS $ 8,498,070 $ 8,498,070 53082


       Section 249.10. CEB CONTROLLING BOARD53084

General Revenue Fund53085

GRF 911-404 Mandate Assistance $ 650,000 $ 650,000 53086
GRF 911-441 Ballot Advertising Costs $ 300,000 $ 300,000 53087
TOTAL GRF General Revenue Fund $ 950,000 $ 950,000 53088
TOTAL ALL BUDGET FUND GROUPS $ 950,000 $ 950,000 53089

       BUDGET STABILIZATION FUND TRANSFERS TO THE EMERGENCY 53090
PURPOSES/CONTINGENCIES APPROPRIATION LINE ITEM53091

        Notwithstanding any other provision of law to the contrary, 53092
the Director of Budget and Management may, with Controlling Board 53093
approval, transfer up to $4,000,000 in cash, in each of fiscal 53094
years 2008 and 2009, from the Budget Stabilization Fund to the 53095
General Revenue Fund. Upon completion of the transfer, the 53096
Director of Budget and Management shall appropriate the 53097
transferred amount to appropriation item 911-401, Emergency 53098
Purposes/Contingencies. The Controlling Board may, at the request 53099
of any state agency or the Director of Budget and Management, 53100
transfer all or part of the appropriation in appropriation item 53101
911-401, Emergency Purposes/Contingencies, for the purpose of 53102
providing disaster and emergency situation aid to state agencies 53103
and political subdivisions in the event of disasters and emergency 53104
situations or for the other purposes noted in this section, 53105
including, but not limited to, costs related to the disturbance 53106
that occurred on April 11, 1993, at the Southern Ohio Correctional 53107
Facility in Lucasville, Ohio.53108

       FEDERAL SHARE53109

       In transferring appropriations to or from appropriation items53110
that have federal shares identified in this act, the Controlling53111
Board shall add or subtract corresponding amounts of federal53112
matching funds at the percentages indicated by the state and53113
federal division of the appropriations in this act. Such changes53114
are hereby appropriated.53115

       DISASTER ASSISTANCE53116

       Pursuant to requests submitted by the Department of Public53117
Safety, the Controlling Board may approve transfers from 53118
appropriation item 911-401, Emergency Purposes/Contingencies, to 53119
Department of Public Safety appropriation items to provide funding 53120
for assistance to political subdivisions and individuals made 53121
necessary by natural disasters or emergencies. Such transfers may 53122
be requested and approved prior to or following the occurrence of 53123
any specific natural disasters or emergencies in order to 53124
facilitate the provision of timely assistance.53125

       DISASTER SERVICES53126

        Pursuant to requests submitted by the Department of Public 53127
Safety, the Controlling Board may approve transfers from the 53128
Disaster Services Fund (5E2) to a Department of Public Safety fund 53129
and appropriation item to provide for assistance to political 53130
subdivisions made necessary by natural disasters or emergencies. 53131
These transfers may be requested and approved prior to the 53132
occurrence of any specific natural disasters or emergencies in 53133
order to facilitate the provision of timely assistance. The 53134
Emergency Management Agency of the Department of Public Safety 53135
shall use the funding to fund the State Disaster Relief Program 53136
for disasters that have been declared by the Governor, and the 53137
State Individual Assistance Program for disasters that have been 53138
declared by the Governor and the federal Small Business 53139
Administration. The Ohio Emergency Management Agency shall publish 53140
and make available application packets outlining procedures for 53141
the State Disaster Relief Program and the State Individual 53142
Assistance Program.53143

        The Disaster Services Fund (5E2) shall be used by the 53144
Controlling Board, pursuant to requests submitted by state 53145
agencies, to transfer cash and appropriation authority to any fund 53146
and appropriation item for the payment of state agency disaster 53147
relief program expenses for disasters declared by the Governor, 53148
if the Director of Budget and Management determines that 53149
sufficient funds exist.53150

        The unencumbered balance of the Disaster Services Fund (5E2) 53151
at the end of fiscal year 2008 is transferred to fiscal year 2009 53152
for use for the same purposes as in fiscal year 2009.53153

       SOUTHERN OHIO CORRECTIONAL FACILITY COST53154

       The Division of Criminal Justice Services in the Department 53155
of Public Safety and the Public Defender Commission may each 53156
request, upon approval of the Director of Budget and Management, 53157
additional funds from appropriation item 911-401, Emergency 53158
Purposes/Contingencies, for costs related to the disturbance that53159
occurred on April 11, 1993, at the Southern Ohio Correctional53160
Facility in Lucasville, Ohio.53161

       MANDATE ASSISTANCE53162

       (A) The foregoing appropriation item 911-404, Mandate53163
Assistance, shall be used to provide financial assistance to local53164
units of government and school districts for the cost of the 53165
following two unfunded state mandates:53166

       (1) The cost to county prosecutors for prosecuting certain53167
felonies that occur on the grounds of state institutions operated53168
by the Department of Rehabilitation and Correction and the53169
Department of Youth Services;53170

       (2) The cost to school districts of in-service training for53171
child abuse detection.53172

       (B) The Division of Criminal Justice Services in the 53173
Department of Public Safety and the Department of Education may 53174
prepare and submit to the Controlling Board one or more requests 53175
to transfer appropriations from appropriation item 911-404, 53176
Mandate Assistance. The state agencies charged with this 53177
administrative responsibility are listed below, as well as the 53178
estimated annual amounts that may be used for each program of 53179
state financial assistance.53180

ADMINISTERING ESTIMATED ANNUAL 53181
PROGRAM AGENCY AMOUNT 53182

Prosecution Costs Division of Criminal $150,000 53183
Justice Services 53184
Child Abuse Detection Training Costs Department of Education $500,000 53185

       (C) Subject to the total amount appropriated in each fiscal53186
year for appropriation item 911-404, Mandate Assistance, the 53187
Division of Criminal Justice Services in the Department of Public 53188
Safety and the Department of Education may request from the 53189
Controlling Board that amounts smaller or larger than these 53190
estimated annual amounts be transferred to each program.53191

       (D) In addition to making the initial transfers requested by53192
the Division of Criminal Justice Services in the Department of 53193
Public Safety and the Department of Education, the Controlling 53194
Board may transfer appropriations received by a state agency under 53195
this section back to appropriation item 911-404, Mandate53196
Assistance, or to the other program of state financial assistance53197
identified under this section.53198

       (E) It is expected that not all costs incurred by local units 53199
of government and school districts under each of the two programs 53200
of state financial assistance identified in this section will be 53201
fully reimbursed by the state. Reimbursement levels may vary by 53202
program and shall be based on: the relationship between the 53203
appropriation transfers requested by the Division of Criminal53204
Justice Services in the Department of Public Safety and the 53205
Department of Education and provided by the Controlling Board for 53206
each of the programs; the rules and procedures established for53207
each program by the administering state agency; and the actual 53208
costs incurred by local units of government and school districts.53209

       (F) Each of these programs of state financial assistance53210
shall be carried out as follows:53211

       (1) PROSECUTION COSTS53212

       (a) Appropriations may be transferred to the Division of53213
Criminal Justice Services in the Department of Public Safety to 53214
cover local prosecution costs for aggravated murder, murder, 53215
felonies of the first degree, and felonies of the second degree 53216
that occur on the grounds of institutions operated by the 53217
Department of Rehabilitation and Correction and the Department of 53218
Youth Services.53219

       (b) Upon a delinquency filing in juvenile court or the return 53220
of an indictment for aggravated murder, murder, or any felony of53221
the first or second degree that was committed at a Department of53222
Youth Services or a Department of Rehabilitation and Correction53223
institution, the affected county may, in accordance with rules53224
that the Division of Criminal Justice Services in the Department 53225
of Public Safety shall adopt, apply to the Division of Criminal 53226
Justice Services for a grant to cover all documented costs that 53227
are incurred by the county prosecutor's office.53228

       (c) Twice each year, the Division of Criminal Justice 53229
Services in the Department of Public Safety shall designate53230
counties to receive grants from those counties that have submitted 53231
one or more applications in compliance with the rules that have 53232
been adopted by the Division of Criminal Justice Services for the 53233
receipt of such grants. In each year's first round of grant 53234
awards, if sufficient appropriations have been made, up to a total 53235
of $100,000 may be awarded. In each year's second round of grant53236
awards, the remaining appropriations available for this purpose53237
may be awarded.53238

       (d) If for a given round of grants there are insufficient53239
appropriations to make grant awards to all the eligible counties,53240
the first priority shall be given to counties with cases involving53241
aggravated murder and murder; second priority shall be given to 53242
counties with cases involving a felony of the first degree; and 53243
third priority shall be given to counties with cases involving a53244
felony of the second degree. Within these priorities, the grant53245
awards shall be based on the order in which the applications were 53246
received, except that applications for cases involving a felony of 53247
the first or second degree shall not be considered in more than 53248
two consecutive rounds of grant awards.53249

       (2) CHILD ABUSE DETECTION TRAINING COSTS53250

       Appropriations may be transferred to the Department of53251
Education for disbursement to local school districts as full or53252
partial reimbursement for the cost of providing in-service53253
training for child abuse detection. In accordance with rules that53254
the department shall adopt, a local school district may apply to53255
the department for a grant to cover all documented costs that are53256
incurred to provide in-service training for child abuse detection.53257
The department shall make grants within the limits of the funding53258
provided.53259

       (G) Any moneys allocated within appropriation item 911-404,53260
Mandate Assistance, not fully utilized may, upon application of53261
the Ohio Public Defender Commission, and with the approval of the53262
Controlling Board, be disbursed to boards of county commissioners53263
to provide additional reimbursement for the costs incurred by 53264
counties in providing defense to indigent defendants pursuant to 53265
Chapter 120. of the Revised Code. Application for the unutilized 53266
funds shall be made by the Ohio Public Defender Commission at the 53267
first June meeting of the Controlling Board.53268

       The amount to be disbursed to each county shall be allocated53269
proportionately on the basis of the total amount of reimbursement 53270
paid to each county as a percentage of the amount of reimbursement 53271
paid to all of the counties during the most recent state fiscal 53272
year for which data is available and as calculated by the Ohio 53273
Public Defender Commission.53274

       BALLOT ADVERTISING COSTS53275

       Pursuant to requests submitted by the Ohio Ballot Board, the53276
Controlling Board shall approve transfers from the foregoing53277
appropriation item 911-441, Ballot Advertising Costs, to an Ohio53278
Ballot Board appropriation item in order to reimburse county53279
boards of elections for the cost of public notices associated with53280
statewide ballot initiatives.53281

       Section 251.10. COS STATE BOARD OF COSMETOLOGY53282

General Services Fund Group53283

4K9 879-609 Operating Expenses $ 3,533,679 $ 3,533,679 53284
TOTAL GSF General Services Fund 53285
Group $ 3,533,679 $ 3,533,679 53286
TOTAL ALL BUDGET FUND GROUPS $ 3,533,679 $ 3,533,679 53287


       Section 253.10. CSW COUNSELOR, SOCIAL WORKER, AND MARRIAGE 53289
AND FAMILY THERAPIST BOARD53290

General Services Fund Group53291

4K9 899-609 Operating Expenses $ 1,124,267 $ 1,179,774 53292
TOTAL GSF General Services Fund 53293
Group $ 1,124,267 $ 1,179,774 53294
TOTAL ALL BUDGET FUND GROUPS $ 1,124,267 $ 1,179,774 53295


       Section 255.10. CLA COURT OF CLAIMS53297

General Revenue Fund53298

GRF 015-321 Operating Expenses $ 2,758,681 $ 2,841,441 53299
TOTAL GRF General Revenue Fund $ 2,758,681 $ 2,841,441 53300

State Special Revenue Fund Group53301

5K2 015-603 CLA Victims of Crime $ 1,582,684 $ 1,582,684 53302
TOTAL SSR State Special Revenue 53303
Fund Group $ 1,582,684 $ 1,582,684 53304
TOTAL ALL BUDGET FUND GROUPS $ 4,341,365 $ 4,424,125 53305


       Section 257.10.  AFC OHIO CULTURAL FACILITIES COMMISSION53307

General Revenue Fund53308

GRF 371-321 Operating Expenses $ 176,136 $ 176,136 53309
GRF 371-401 Lease Rental Payments $ 36,604,600 $ 37,455,500 53310
TOTAL GRF General Revenue Fund $ 36,780,736 $ 37,631,636 53311

State Special Revenue Fund Group53312

4T8 371-601 Riffe Theatre Equipment Maintenance $ 81,000 $ 81,000 53313
4T8 371-603 Project Administration Services $ 983,295 $ 983,295 53314
TOTAL SSR State Special Revenue Group $ 1,064,295 $ 1,064,295 53315
TOTAL ALL BUDGET FUND GROUPS $ 37,845,031 $ 38,695,931 53316

       LEASE RENTAL PAYMENTS53317

       The foregoing appropriation item 371-401, Lease Rental 53318
Payments, shall be used to meet all payments from the Ohio 53319
Cultural Facilities Commissions to the Treasurer of State during 53320
the period from July 1, 2007, to June 30, 2009, under the primary 53321
leases and agreements for those arts and sports facilities made 53322
under Chapters 152. and 154. of the Revised Code. This 53323
appropriation is the source of funds pledged for bond service 53324
charges on related obligations issued pursuant to Chapters 152. 53325
and 154. of the Revised Code.53326

       OPERATING EXPENSES53327

       The foregoing appropriation item 371-321, Operating Expenses,53328
shall be used by the Ohio Cultural Facilities Commission to carry 53329
out its responsibilities under this section and Chapter 3383. of 53330
the Revised Code.53331

       By July 10, 2007, or as soon as possible thereafter, the 53332
Director of Budget and Management shall determine the amount of 53333
cash from interest earnings to be transferred from the Cultural 53334
and Sports Facilities Building Fund (Fund 030) to the Cultural 53335
Facilities Commission Administration Fund (Fund 4T8).53336

       By July 10, 2008, or as soon as possible thereafter, the 53337
Director of Budget and Management shall determine the amount of 53338
cash from interest earnings to be transferred from the Cultural 53339
and Sports Facilities Building Fund (Fund 030) to the Cultural 53340
Facilities Commission Administration Fund (Fund 4T8).53341

       As soon as possible after each bond issuance made on behalf 53342
of the Cultural Facilities Commission, the Director of Budget and 53343
Management shall determine the amount of cash from any premium 53344
paid on each issuance that is available to be transferred after 53345
all issuance costs have been paid from the Cultural and Sports 53346
Facilities Building Fund (Fund 030) to the Cultural Facilities 53347
Commission Administration Fund (Fund 4T8).53348

       Section 259.10.  DEN STATE DENTAL BOARD53349

General Services Fund Group53350

4K9 880-609 Operating Expenses $ 1,437,392 $ 1,528,749 53351
TOTAL GSF General Services Fund 53352
Group $ 1,437,392 $ 1,528,749 53353
TOTAL ALL BUDGET FUND GROUPS $ 1,437,392 $ 1,528,749 53354


       Section 261.10.  BDP BOARD OF DEPOSIT53356

General Services Fund Group53357

4M2 974-601 Board of Deposit $ 1,676,000 $ 1,676,000 53358
TOTAL GSF General Services Fund 53359
Group $ 1,676,000 $ 1,676,000 53360
TOTAL ALL BUDGET FUND GROUPS $ 1,676,000 $ 1,676,000 53361

       BOARD OF DEPOSIT EXPENSE FUND53362

       Upon receiving certification of expenses from the Treasurer53363
of State, the Director of Budget and Management shall transfer53364
cash from the Investment Earnings Redistribution Fund (Fund 608)53365
to the Board of Deposit Expense Fund (Fund 4M2). The latter fund53366
shall be used to pay for banking charges and fees required for the53367
operation of the State of Ohio Regular Account.53368

       Section 263.10. DEV DEPARTMENT OF DEVELOPMENT53369

General Revenue Fund53370

GRF 195-401 Thomas Edison Program $ 19,404,838 $ 17,978,483 53371
GRF 195-404 Small Business Development $ 1,740,722 $ 1,792,944 53372
GRF 195-405 Minority Business Development Division $ 1,580,291 $ 1,627,700 53373
GRF 195-407 Travel and Tourism $ 6,782,845 $ 6,762,845 53374
GRF 195-410 Defense Conversion Assistance $ 5,000,000 $ 0 53375
GRF 195-412 Rapid Outreach Grants $ 10,750,000 $ 10,000,000 53376
GRF 195-415 Economic Development Division and Regional Offices $ 5,894,975 $ 6,071,824 53377
GRF 195-416 Governor's Office of Appalachia $ 4,746,043 $ 4,746,043 53378
GRF 195-422 Third Frontier Action Fund $ 18,790,000 $ 16,790,000 53379
GRF 195-426 Clean Ohio Implementation $ 300,000 $ 309,000 53380
GRF 195-432 International Trade $ 4,650,501 $ 4,650,501 53381
GRF 195-434 Investment in Training Grants $ 12,227,500 $ 12,594,325 53382
GRF 195-436 Labor/Management Cooperation $ 836,225 $ 836,225 53383
GRF 195-497 CDBG Operating Match $ 1,072,184 $ 1,072,184 53384
GRF 195-498 State Match Energy $ 96,820 $ 96,820 53385
GRF 195-501 Appalachian Local Development Districts $ 391,482 $ 391,482 53386
GRF 195-502 Appalachian Regional Commission Dues $ 254,208 $ 254,208 53387
GRF 195-507 Travel and Tourism Grants $ 800,000 $ 785,000 53388
GRF 195-520 Ohio Main Street Program $ 250,000 $ 250,000 53389
GRF 195-905 Third Frontier Research & Development General Obligation Debt Service $ 14,349,500 $ 24,523,400 53390
GRF 195-912 Job Ready Site Development General Obligation Debt Service $ 4,359,400 $ 8,232,500 53391
TOTAL GRF General Revenue Fund $ 114,277,534 $ 119,765,484 53392

General Services Fund Group53393

135 195-684 Supportive Services $ 11,699,404 $ 11,321,444 53394
5AD 195-667 Investment in Training Expansion $ 2,000,000 $ 0 53395
5AD 195-668 Workforce Guarantee Program $ 1,000,000 $ 0 53396
5AD 195-677 Economic Development Contingency $ 5,000,000 $ 24,400,000 53397
5W5 195-690 Travel and Tourism Cooperative Projects $ 350,000 $ 350,000 53398
5W6 195-691 International Trade Cooperative Projects $ 300,000 $ 300,000 53399
685 195-636 Direct Cost Recovery Expenditures $ 800,000 $ 800,000 53400
TOTAL GSF General Services Fund 53401
Group $ 21,149,404 $ 37,171,444 53402

Federal Special Revenue Fund Group53403

3AE 195-643 Workforce Development Initiatives $ 5,839,900 $ 5,860,000 53404
3BJ 195-685 TANF Heating Assistance $ 45,000,000 $ 15,000,000 53405
3K8 195-613 Community Development Block Grant $ 65,000,000 $ 65,000,000 53406
3K9 195-611 Home Energy Assistance Block Grant $ 110,000,000 $ 110,000,000 53407
3K9 195-614 HEAP Weatherization $ 22,000,000 $ 22,000,000 53408
3L0 195-612 Community Services Block Grant $ 25,235,000 $ 25,235,000 53409
3V1 195-601 HOME Program $ 40,000,000 $ 40,000,000 53410
308 195-602 Appalachian Regional Commission $ 475,000 $ 475,000 53411
308 195-603 Housing and Urban Development $ 6,000,000 $ 6,000,000 53412
308 195-605 Federal Projects $ 27,000,000 $ 27,000,000 53413
308 195-609 Small Business Administration $ 4,296,381 $ 4,396,381 53414
308 195-618 Energy Federal Grants $ 3,400,000 $ 3,400,000 53415
335 195-610 Energy Conservation and Emerging Technology $ 2,200,000 $ 2,200,000 53416
TOTAL FED Federal Special Revenue 53417
Fund Group $ 356,446,281 $ 326,566,381 53418

State Special Revenue Fund Group53419

4F2 195-639 State Special Projects $ 518,393 $ 518,393 53420
4F2 195-676 Marketing Initiatives $ 5,000,000 $ 1,000,000 53421
4S0 195-630 Tax Incentive Programs $ 650,800 $ 650,800 53422
4W1 195-646 Minority Business Enterprise Loan $ 2,580,597 $ 2,580,597 53423
444 195-607 Water and Sewer Commission Loans $ 523,775 $ 523,775 53424
450 195-624 Minority Business Bonding Program Administration $ 53,967 $ 53,967 53425
451 195-625 Economic Development Financing Operating $ 2,483,311 $ 2,483,311 53426
5AR 195-674 Industrial Site Improvements $ 4,500,000 $ 4,500,000 53427
5CG 195-679 Alternative Fuel Transportation $ 1,500,000 $ 1,000,000 53428
5DU 195-689 Energy Projects $ 840,000 $ 840,000 53429
5M4 195-659 Low Income Energy Assistance $ 245,000,000 $ 245,000,000 53430
5M5 195-660 Advanced Energy Programs $ 17,000,000 $ 17,000,000 53431
5X1 195-651 Exempt Facility Inspection $ 25,000 $ 25,000 53432
611 195-631 Water and Sewer Administration $ 15,713 $ 15,713 53433
617 195-654 Volume Cap Administration $ 200,000 $ 200,000 53434
646 195-638 Low- and Moderate- Income Housing Trust Fund $ 53,000,000 $ 53,000,000 53435
TOTAL SSR State Special Revenue 53436
Fund Group $ 333,891,556 $ 329,391,556 53437

Facilities Establishment Fund Group53438

009 195-664 Innovation Ohio $ 50,000,000 $ 50,000,000 53439
010 195-665 Research and Development $ 50,000,000 $ 50,000,000 53440
037 195-615 Facilities Establishment $ 110,000,000 $ 110,000,000 53441
4Z6 195-647 Rural Industrial Park Loan $ 3,000,000 $ 3,000,000 53442
5D2 195-650 Urban Redevelopment Loans $ 5,475,000 $ 5,475,000 53443
5S8 195-627 Rural Development Initiative $ 3,000,000 $ 3,000,000 53444
5S9 195-628 Capital Access Loan Program $ 3,000,000 $ 3,000,000 53445
TOTAL 037 Facilities 53446
Establishment Fund Group $ 224,475,000 $ 224,475,000 53447

Clean Ohio Revitalization Fund53448

003 195-663 Clean Ohio Operating $ 625,000 $ 550,000 53449
TOTAL 003 Clean Ohio Revitalization Fund $ 625,000 $ 550,000 53450

Third Frontier Research & Development Fund Group53451

011 195-686 Third Frontier Operating $ 1,932,056 $ 1,932,056 53452
011 195-687 Third Frontier Research & Development Projects $ 94,000,000 $ 72,000,000 53453
014 195-692 Research & Development Taxable Bond Projects $ 28,000,000 $ 28,000,000 53454
TOTAL 011 Third Frontier Research & Development Fund Group $ 123,932,056 $ 101,932,056 53455

Job Ready Site Development Fund Group53456

012 195-688 Job Ready Site Operating $ 1,246,155 $ 1,246,155 53457
TOTAL 012 Job Ready Site Development Fund Group $ 1,246,155 $ 1,246,155 53458

TOTAL ALL BUDGET FUND GROUPS $ 1,176,042,986 $ 1,141,098,076 53459


       Section 263.10.10. THOMAS EDISON PROGRAM53461

       The foregoing appropriation item 195-401, Thomas Edison53462
Program, shall be used for the purposes of sections 122.28 to53463
122.38 of the Revised Code in order to provide funds for53464
cooperative public and private efforts in technological innovation53465
to promote the development and transfer of technology by and to53466
Ohio businesses that will lead to the creation of jobs. The 53467
foregoing appropriation item 195-401, Thomas Edison Program, shall 53468
not be used for the operating costs of the Department of 53469
Development.53470

       Of the foregoing appropriation item 195-401, Thomas Edison 53471
Program, $2,000,000 in fiscal year 2008 shall be used by Project 53472
Development, Inc., for technology commercialization.53473

       Section 263.10.20.  SMALL BUSINESS DEVELOPMENT53474

       The foregoing appropriation item 195-404, Small Business53475
Development, shall be used to ensure that the unique needs and53476
concerns of small businesses are addressed.53477

       The foregoing appropriation item 195-404, Small Business 53478
Development, may be used to provide grants to local organizations 53479
to support the operation of Small Business Development Centers and 53480
other local economic development activity promoting small 53481
business, including the 1st Stop Business Connection, and for the 53482
cost of administering the small business development center 53483
program. The centers shall provide technical, financial, and53484
management consultation for small business and shall facilitate53485
access to state and federal programs. These funds shall be used as53486
matching funds for grants from the United States Small Business53487
Administration and other federal agencies, pursuant to Public Law53488
No. 96-302 (1980) as amended by Public Law No. 98-395 (1984), and53489
regulations and policy guidelines for the programs under this law.53490

       MINORITY BUSINESS DEVELOPMENT DIVISION53491

       Of the foregoing appropriation item 195-405, Minority53492
Business Development Division, up to $1,060,000 but not less than 53493
$954,000 in each fiscal year shall be used to fund minority 53494
contractors and business assistance organizations. The Minority53495
Business Development Division shall determine which cities need 53496
minority contractors and business assistance organizations by 53497
utilizing United States Census Bureau data and zip codes to locate 53498
the highest concentrations of minority businesses. The Minority53499
Business Development Division also shall determine the numbers of53500
minority contractors and business assistance organizations53501
necessary and the amount of funding to be provided each. In53502
addition, the Minority Business Development Division shall53503
continue to plan and implement business conferences.53504

       Section 263.10.30. RAPID OUTREACH GRANTS53505

       The foregoing appropriation item 195-412, Rapid Outreach 53506
Grants, shall be used as an incentive for attracting and retaining 53507
business opportunities for the state. Any such business 53508
opportunity, whether new, expanding, or relocating in Ohio, is 53509
eligible for funding. The project must create or retain a 53510
significant number of jobs for Ohioans. Grant awards may be53511
considered only when (1) the project's viability hinges on an53512
award of funds from appropriation item 195-412, Rapid Outreach 53513
Grants; (2) all other public or private sources of financing have53514
been considered; or (3) the funds act as a catalyst for the53515
infusion into the project of other financing sources.53516

       The department's primary goal shall be to award funds to53517
political subdivisions of the state for off-site infrastructure53518
improvements. In order to meet the particular needs of economic53519
development in a region, the department may elect to award funds53520
directly to a business for on-site infrastructure improvements.53521
"Infrastructure improvements" mean improvements to water system53522
facilities, sewer and sewage treatment facilities, electric or gas53523
service facilities, fiber optic facilities, rail facilities, site53524
preparation, and parking facilities. The Director of Development53525
may recommend the funds be used in an alternative manner when53526
considered appropriate to meet an extraordinary economic 53527
development opportunity or need.53528

       The foregoing appropriation item 195-412, Rapid Outreach 53529
Grants, may be expended only after the submission of a request to 53530
the Controlling Board by the Department of Development outlining 53531
the planned use of the funds, and the subsequent approval of the 53532
request by the Controlling Board.53533

       The foregoing appropriation item 195-412, Rapid Outreach 53534
Grants, may be used for, but is not limited to, construction, 53535
rehabilitation, and acquisition projects for rail freight 53536
assistance as requested by the Department of Transportation. The 53537
Director of Transportation shall submit the proposed projects to 53538
the Director of Development for an evaluation of potential 53539
economic benefit.53540

       Section 263.10.40. ECONOMIC DEVELOPMENT DIVISION AND REGIONAL 53541
OFFICES53542

       The foregoing appropriation item 195-415, Economic53543
Development Division and Regional Offices, shall be used for the 53544
operating expenses of the Economic Development Division and the 53545
regional economic development offices and for grants for 53546
cooperative economic development ventures.53547

       Section 263.10.50.  GOVERNOR'S OFFICE OF APPALACHIA53548

       The foregoing appropriation item 195-416, Governor's Office53549
of Appalachia, shall be used for the administrative costs of53550
planning and liaison activities for the Governor's Office of53551
Appalachia, and to provide financial assistance to projects in 53552
Ohio's Appalachian counties.53553

       Of the foregoing appropriation item 195-416, Governor's53554
Office of Appalachia, up to $250,000 each fiscal year shall be53555
used to match federal funds from the Appalachian Regional53556
Commission to provide job training to impact the Appalachian53557
Region.53558

       Of the foregoing appropriation item 195-416, Governor's 53559
Office of Appalachia, up to $4,246,043 in each fiscal year shall 53560
be used in conjunction with other federal and state funds to 53561
provide financial assistance to projects in Ohio's Appalachian 53562
counties in order to further the goals of the Appalachian Regional 53563
Commission. The projects and project sponsors shall meet 53564
Appalachian Regional Commission eligibility requirements. Grants 53565
shall be administered by the Department of Development.53566

       Section 263.10.60. THIRD FRONTIER ACTION FUND53567

       The foregoing appropriation item 195-422, Third Frontier 53568
Action Fund, shall be used to make grants under sections 184.01 53569
and 184.02 of the Revised Code. Prior to the release of funds from 53570
appropriation item 195-422, Third Frontier Action Fund, each grant 53571
award shall be recommended for funding by the Third Frontier 53572
Commission and obtain approval from the Controlling Board.53573

       Of the foregoing appropriation item 195-422, Third Frontier 53574
Action Fund, not more than six per cent in each fiscal year shall 53575
be used for operating expenditures in administering the program.53576

       In addition to the six per cent for operating expenditures,53577
an additional administrative amount, not to exceed $1,500,00053578
within the biennium, shall be available for proposal evaluation, 53579
research and analyses, and marketing efforts considered necessary 53580
to receive and disseminate information about science and 53581
technology-related opportunities in the state.53582

       Of the foregoing appropriation item 195-422, Third Frontier 53583
Action Fund, $2,000,000 in fiscal year 2008 shall be used by 53584
Project Development, Inc., for business and job creation resulting 53585
from Third Frontier investments.53586

       SCIENCE AND TECHNOLOGY COLLABORATION53587

       The Department of Development shall work in close 53588
collaboration with the Board of Regents, the Air Quality 53589
Development Authority, and the Third Frontier Commission in 53590
relation to appropriation items and programs referred to as 53591
Alignment Programs in the following paragraph, and other 53592
technology-related appropriations and programs in the Department 53593
of Development, Air Quality Development Authority, and the Board 53594
of Regents as these agencies may designate, to ensure 53595
implementation of a coherent state strategy with respect to 53596
science and technology.53597

       "Alignment Programs" means appropriation items 195-401, 53598
Thomas Edison Program; 898-402, Coal Development Office; 195-422, 53599
Third Frontier Action Fund; 898-604, Coal Research and Development 53600
Fund; 235-433, Economic Growth Challenge; 235-508, Air Force 53601
Institute of Technology; 235-510, Ohio Supercomputer Center; 53602
235-451, Eminent Scholars; 235-527, Ohio Aerospace Institute; 53603
235-535, Ohio Agricultural Research and Development Center; 53604
235-553, Dayton Area Graduate Studies Institute; 235-554, 53605
Priorities in Collaborative Graduate Education; 235-556, Ohio 53606
Academic Resources Network; 195-435, Biomedical Research and 53607
Technology Transfer Trust; 195-687, Third Frontier Research & 53608
Development Projects; CAP-068, Third Frontier Project; and 53609
195-692, Research & Development Taxable Bond Projects.53610

       Consistent with the recommendations of the Governor's 53611
Commission on Higher Education and the Economy, Alignment Programs 53612
shall be managed and administered in accordance with the following 53613
objectives: (1) to build on existing competitive research 53614
strengths; (2) to encourage new and emerging discoveries and 53615
commercialization of products and ideas that will benefit the Ohio 53616
economy; and (3) to assure improved collaboration among Alignment 53617
Programs with programs administered by the Third Frontier 53618
Commission and with other state programs that are intended to 53619
improve economic growth and job creation. As directed by the Third 53620
Frontier Commission, Alignment Program managers shall report to 53621
the Commission or the Third Frontier Advisory Board regarding the 53622
contributions of their programs to achieving these objectives.53623

       Each Alignment Program shall be reviewed annually by the 53624
Third Frontier Commission with respect to its development of 53625
complementary relationships within a combined state science and 53626
technology investment portfolio, and with respect to its overall 53627
contribution to the state's science and technology strategy, 53628
including the adoption of appropriately consistent criteria for: 53629
(1) the scientific merit of activities supported by the program; 53630
(2) the relevance of the program's activities to commercial 53631
opportunities in the private sector; (3) the private sector's 53632
involvement in a process that continually evaluates commercial 53633
opportunities to use the work supported by the program; and (4) 53634
the ability of the program and recipients of grant funding from 53635
the program to engage in activities that are collaborative, 53636
complementary, and efficient with respect to the expenditures of 53637
state funds. Each Alignment Program shall provide an annual report 53638
to the Third Frontier Commission that discusses existing, planned, 53639
or possible collaborations between programs and between recipients 53640
of grant funding related to technology, development, 53641
commercialization, and the support of Ohio's economic development. 53642
The annual review conducted by the Third Frontier Commission shall 53643
be a comprehensive review of the entire state science and 53644
technology program portfolio rather than a review of individual 53645
programs.53646

       Applicants for Third Frontier and Alignment Programs funding 53647
shall identify their requirements for high-performance computing 53648
facilities and services, including both hardware and software, in 53649
all proposals. If an applicant's requirements exceed approximately 53650
$100,000 for a proposal, the Ohio Supercomputer Center shall 53651
convene a panel of experts. The panel shall review the proposal to 53652
determine whether the proposal's requirements can be met through 53653
Ohio Supercomputer Center facilities or through other means and 53654
report such information to the Third Frontier Commission.53655

       To ensure that the state receives the maximum benefit from 53656
its investment in the Third Frontier Project and the Third 53657
Frontier Network, organizations receiving Third Frontier awards 53658
and Alignment Programs awards shall, as appropriate, be expected 53659
to have a connection to the Third Frontier Network that enables 53660
them and their collaborators to achieve award objectives through 53661
the Third Frontier Network.53662

       Section 263.10.70.  INTERNATIONAL TRADE53663

       The foregoing appropriation item 195-432, International53664
Trade, shall be used to operate and to maintain Ohio's53665
out-of-state trade offices.53666

       The Director of Development may enter into contracts with53667
foreign nationals to staff foreign offices. The contracts may be53668
paid in local currency or United States currency and shall be53669
exempt from section 127.16 of the Revised Code. The director also 53670
may establish foreign currency accounts under section 122.05 of 53671
the Revised Code for the payment of expenses related to the 53672
operation and maintenance of the foreign trade offices.53673

       The foregoing appropriation item 195-432, International53674
Trade, shall be used to fund the International Trade Division and53675
to assist Ohio manufacturers and agricultural producers in53676
exporting to foreign countries in conjunction with the Department53677
of Agriculture.53678

       Of the foregoing appropriation item 195-432, International53679
Trade, up to $35,000 may be used to purchase gifts for53680
representatives of foreign governments or dignitaries of foreign53681
countries.53682

       Section 263.10.80.  OHIO INVESTMENT IN TRAINING PROGRAM53683

       The foregoing appropriation items 195-434, Investment in53684
Training Grants, and 195-667, Investment in Training Expansion, 53685
shall be used to promote training through grants for the 53686
reimbursement of eligible training expenses. The release of grants 53687
for this purpose shall be subject to Controlling Board approval.53688

       Section 263.10.90. CDBG OPERATING MATCH53689

       The foregoing appropriation item 195-497, CDBG Operating 53690
Match, shall be used to provide matching funds as requested by the 53691
United States Department of Housing and Urban Development to 53692
administer the federally funded Community Development Block Grant 53693
(CDBG) program.53694

       STATE OPERATING MATCH53695

       The foregoing appropriation item 195-498, State Match Energy, 53696
shall be used to provide matching funds as required by the United 53697
States Department of Energy to administer the federally funded 53698
State Energy Plan.53699

       Section 263.10.95. DEFENSE CONVERSION ASSISTANCE53700

       Of the foregoing appropriation item 195-410, Defense 53701
Conversion Assistance, $5,000,000 in fiscal year 2008 shall be 53702
used as a state match to federal dollars for the relocation of 53703
jobs at Wright-Patterson Air Force Base and vicinity as a result 53704
of job losses from the base realignment and closure process.53705

       Section 263.20.10. TRAVEL AND TOURISM GRANTS53706

       The foregoing appropriation item 195-507, Travel and Tourism53707
Grants, shall be used to provide grants to local organizations to53708
support various local travel and tourism events in Ohio.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
Cleveland Film Bureau.53712

       Of the foregoing appropriation item 195-507, Travel and 53713
Tourism Grants, $50,000 in each fiscal year shall be used for the 53714
Cincinnati Film Bureau.53715

       Of the foregoing appropriation item 195-507, Travel and 53716
Tourism Grants, $500,000 in each fiscal year shall be used for 53717
grants to The International Center for the Preservation of Wild 53718
Animals.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 Cleveland Sports Commission.53722

        Of the foregoing appropriation item 195-507, Travel and 53723
Tourism Grants, $50,000 in each fiscal year shall be used for the 53724
Greater Columbus Sports Commission.53725

       Of the foregoing appropriation item 195-507, Travel and 53726
Tourism Grants, $50,000 in fiscal year 2008 shall be used for the 53727
Ohio Alliance of Science Centers.53728

       Of the foregoing appropriation item 195-507, Travel and 53729
Tourism Grants, $50,000 in each fiscal year shall be used for the 53730
Harbor Heritage Society/Great Lakes Science Center in support of 53731
operations of the Steamship William G. Mather Maritime Museum.53732

       Of the foregoing appropriation item 195-507, Travel and 53733
Tourism Grants, $35,000 in fiscal year 2009 shall be used for the 53734
Ohio Junior Angus Association to assist with costs associated with 53735
hosting the Eastern Regional Junior Angus Show in June 2009.53736

       Section 263.20.20. THIRD FRONTIER RESEARCH & DEVELOPMENT 53737
GENERAL OBLIGATION DEBT SERVICE53738

       The foregoing appropriation item 195-905, Third Frontier 53739
Research & Development General Obligation Debt Service, shall be 53740
used to pay all debt service and related financing costs during 53741
the period from July 1, 2007, to June 30, 2009, on obligations 53742
issued for research and development purposes under sections 151.01 53743
and 151.10 of the Revised Code.53744

       JOB READY SITE DEVELOPMENT GENERAL OBLIGATION DEBT SERVICE53745

       The foregoing appropriation item 195-912, Job Ready Site 53746
Development General Obligation Debt Service, shall be used to pay 53747
all debt service and related financing costs during the period 53748
from July 1, 2007, to June 30, 2009, on obligations issued for job 53749
ready site development purposes under sections 151.01 and 151.11 53750
of the Revised Code.53751

       Section 263.20.30. SUPPORTIVE SERVICES53752

       The Director of Development may assess divisions of the53753
department for the cost of central service operations. An53754
assessment shall be based on a plan submitted to and approved by53755
the Office of Budget and Management by August 1, 2007, and shall 53756
contain the characteristics of administrative ease and uniform 53757
application.53758

       A division's payments shall be credited to the Supportive53759
Services Fund (Fund 135) using an intrastate transfer voucher.53760

       Of the foregoing appropriation item 195-684, Supportive 53761
Services, $50,000 in fiscal year 2008 and $35,000 in fiscal year 53762
2009 shall be used for Crawford County to hire an employee to act 53763
as a local economic development coordinator.53764

       WORKFORCE GUARANTEE PROGRAM53765

       The foregoing appropriation item 195-668, Workforce Guarantee 53766
Program, shall be used for the Workforce Guarantee Program.53767

        Benefited employers must create at least 20 high-paying, 53768
full-time jobs over a one-year period and must demonstrate prior 53769
to the commitment of state funds that the availability of those 53770
skilled workers is a major factor in the employer's decision to 53771
locate or expand in Ohio. Customized training activities are 53772
eligible for funding through the Workforce Guarantee Program.53773

       The Director of Development, under Chapter 119. of the 53774
Revised Code, shall adopt, and may amend or rescind, rules the 53775
Director finds necessary for the implementation and successful 53776
operation of the Workforce Guarantee Program.53777

       ECONOMIC DEVELOPMENT CONTINGENCY53778

       Of the foregoing appropriation item 195-677, Economic 53779
Development Contingency, up to $19,400,000 shall be used by the 53780
Third Frontier Commission in fiscal year 2009 for biomedical 53781
research and technology transfer purposes under sections 184.01 to 53782
184.03 of the Revised Code.53783

       The foregoing appropriation item 195-677, Economic 53784
Development Contingency, may be expended only after the Department 53785
of Development submits and the Controlling Board approves a 53786
request that outlines the planned use of funds to be expended.53787

       DIRECT COST RECOVERY EXPENDITURES53788

       The foregoing appropriation item 195-636, Direct Cost 53789
Recovery Expenditures, shall be used for conference and 53790
subscription fees and other reimbursable costs. Revenues to the 53791
General Reimbursement Fund (Fund 685) shall consist of fees and 53792
other moneys charged for conferences, subscriptions, and other53793
administrative costs that are not central service costs.53794

       Section 263.20.40. HEAP WEATHERIZATION53795

       Fifteen per cent of the federal funds received by the state53796
for the Home Energy Assistance Block Grant shall be deposited in 53797
appropriation item 195-614, HEAP Weatherization (Fund 3K9), and 53798
shall be used to provide home weatherization services in the 53799
state.53800

       The Department of Development shall seek, and if approved 53801
shall implement, a federal waiver to increase the percentage of 53802
the Home Energy Block Grant that may be used for weatherization to 53803
sixteen and one-half per cent in fiscal year 2008 and seventeen 53804
and one-half per cent in fiscal year 2009. Upon approval of the 53805
federal waiver, the Director of Development shall seek Controlling 53806
Board approval to adjust appropriation items 195-611, Home Energy 53807
Assistance Block Grant, and 195-614, HEAP Weatherization, as 53808
needed to implement the federal waiver.53809

       STATE SPECIAL PROJECTS53810

       The foregoing fund, Fund 4F2, State Special Projects Fund, 53811
shall be used for the deposit of private-sector funds from utility 53812
companies and for the deposit of other miscellaneous state funds. 53813
Private-sector moneys shall be used to (1) pay the expenses of 53814
verifying the income-eligibility of HEAP applicants, (2) market 53815
economic development opportunities in the state, and (3) leverage 53816
additional federal funds. State funds shall be used to match 53817
federal housing grants for the homeless and to market economic 53818
development opportunities in the state.53819

       Section 263.20.50.  TAX INCENTIVE PROGRAMS OPERATING53820

        On July 1, 2007, or as soon thereafter as possible, the 53821
Director of Budget and Management shall transfer the cash balance 53822
in the Job Creation Tax Credit Operating Fund (Fund 4S1) to the 53823
Tax Incentive Programs Operating Fund (Fund 4S0). The Director 53824
shall cancel any existing encumbrances against appropriation item 53825
195-634, Job Creation Tax Credit Operating (Fund 4S1), and 53826
re-establish them against appropriation item 195-630, Tax 53827
Incentive Programs Operating (Fund 4S0). The amounts of the 53828
re-established encumbrances are hereby appropriated.53829

       Section 263.20.60.  MINORITY BUSINESS ENTERPRISE LOAN53830

       All repayments from the Minority Development Financing53831
Advisory Board Loan Program and the Ohio Mini-Loan Guarantee53832
Program shall be deposited in the State Treasury to the credit of53833
the Minority Business Enterprise Loan Fund (Fund 4W1).53834

       All operating costs of administering the Minority Business53835
Enterprise Loan Fund shall be paid from the Minority Business53836
Enterprise Loan Fund (Fund 4WI).53837

       MINORITY BUSINESS BONDING FUND53838

       Notwithstanding Chapters 122., 169., and 175. of the Revised53839
Code and other provisions of Am. Sub. H.B. 283 of the 123rd53840
General Assembly, the Director of Development may, upon the53841
recommendation of the Minority Development Financing Advisory53842
Board, pledge up to $10,000,000 in the FY 2008-2009 biennium of53843
unclaimed funds administered by the Director of Commerce and53844
allocated to the Minority Business Bonding Program under section 53845
169.05 of the Revised Code. The transfer of any cash by the 53846
Director of Budget and Management from the Department of53847
Commerce's Unclaimed Funds Fund (Fund 543) to the Department of53848
Development's Minority Business Bonding Fund (Fund 449) shall53849
occur, if requested by the Director of Development, only if such53850
funds are needed for payment of losses arising from the Minority53851
Business Bonding Program, and only after proceeds of the initial53852
transfer of $2,700,000 by the Controlling Board to the Minority53853
Business Bonding Program has been used for that purpose. Moneys53854
transferred by the Director of Budget and Management from the53855
Department of Commerce for this purpose may be moneys in custodial53856
funds held by the Treasurer of State. If expenditures are required 53857
for payment of losses arising from the Minority Business Bonding 53858
Program, such expenditures shall be made from appropriation item 53859
195-623, Minority Business Bonding Contingency in the Minority 53860
Business Bonding Fund, and such amounts are appropriated.53861

       Section 263.20.70. ECONOMIC DEVELOPMENT FINANCING OPERATING53862

       The foregoing appropriation item 195-625, Economic53863
Development Financing Operating, shall be used for the operating53864
expenses of financial assistance programs authorized under Chapter53865
166. of the Revised Code and under sections 122.43 and 122.45 of53866
the Revised Code.53867

       ALTERNATIVE FUEL TRANSPORTATION53868

       The foregoing appropriation item 195-679, Alternative Fuel 53869
Transportation, shall be used by the Director of Development to 53870
make grants under the Alternative Fuel Transportation Grant Fund 53871
Program in accordance with section 122.075 of the Revised Code, 53872
and for administrative costs associated with the program.53873

       Of the foregoing appropriation item 195-679, Alternative Fuel 53874
Transportation, up to $1,000,000 in each fiscal year shall be used 53875
to encourage retail gas stations to provide E85 and B20 (or 53876
higher) fuel to customers in accordance with section 122.075 of 53877
the Revised Code.53878

       LOW INCOME ENERGY ASSISTANCE53879

       The foregoing appropriation item 195-659, Low Income Energy 53880
Assistance, shall be used to provide payments to regulated 53881
electric utility companies for low-income customers enrolled in53882
Percentage of Income Payment Plan (PIPP) electric accounts, to53883
fund targeted energy efficiency and customer education services to53884
PIPP customers, and to cover the department's administrative costs53885
related to Universal Service Fund Programs. If it is determined 53886
that additional appropriations are necessary to provide payments 53887
to regulated utility companies for low income customers enrolled 53888
in PIPP electric accounts, such appropriations are subject to 53889
approval by the Controlling Board upon the submission of a request 53890
by the Department of Development.53891

       ADVANCED ENERGY FUND53892

       The foregoing appropriation item 195-660, Advanced Energy 53893
Programs, shall be used to provide financial assistance to53894
customers for eligible advanced energy projects for residential,53895
commercial and industrial business, local government, educational53896
institution, nonprofit, and agriculture customers, and to pay for53897
the program's administrative costs as provided in the Revised Code53898
and rules adopted by the Director of Development.53899

       Of the foregoing appropriation item 195-660, Advanced Energy 53900
Programs, up to $1,000,000 over the biennium shall be used for 53901
methane digester projects.53902

       Of the foregoing appropriation item 195-660, Advanced Energy 53903
Programs, up to $250,000 in each fiscal year shall be used for 53904
grants to school districts under section 3327.17 of the Revised 53905
Code.53906

       TRANSFER FROM THE ADVANCED ENERGY FUND TO THE INDUSTRIAL SITE 53907
IMPROVEMENTS FUND53908

        Notwithstanding Chapters 122. and 4928. of the Revised Code 53909
and any other law to the contrary, the Director of Budget and 53910
Management shall transfer $4,500,000 in cash in fiscal year 2008 53911
and $4,500,000 in cash in fiscal year 2009 from the Advanced 53912
Energy Fund (Fund 5M5) to the Industrial Site Improvements Fund 53913
(Fund 5AR).53914

        Moneys in Fund 5AR, Industrial Site Improvements, shall be 53915
used by the Director of Development to make grants to eligible 53916
counties for the improvement of commercial or industrial areas 53917
within those counties under section 122.951 of the Revised Code.53918

       GLOBAL ANALYST SETTLEMENT AGREEMENTS PAYMENTS53919

       All payments received by the state pursuant to a series of 53920
settlements with ten brokerage firms reached with the United 53921
States Securities and Exchange Commission, the National 53922
Association of Securities Dealers, the New York Stock Exchange, 53923
the New York Attorney General, and other state regulators 53924
(henceforth referred to as the "Global Analysts Settlement 53925
Agreements"), shall be deposited into the state treasury to the 53926
credit of the Economic Development Contingency Fund (Fund 5Y6), 53927
which is hereby created in the state treasury. The fund shall be 53928
used by the Director of Development to support economic 53929
development projects for which appropriations would not otherwise 53930
be available, and shall be subject to the submission of a request 53931
to the Controlling Board by the Director outlining the planned use 53932
of the funds, and the subsequent approval of the request by the 53933
Controlling Board.53934

       VOLUME CAP ADMINISTRATION53935

       The foregoing appropriation item 195-654, Volume Cap53936
Administration, shall be used for expenses related to the53937
administration of the Volume Cap Program. Revenues received by the 53938
Volume Cap Administration Fund (Fund 617) shall consist of53939
application fees, forfeited deposits, and interest earned from the53940
custodial account held by the Treasurer of State.53941

        INNOVATION OHIO LOAN FUND53942

        The foregoing appropriation item 195-664, Innovation Ohio, 53943
shall be used to provide for innovation Ohio purposes, including 53944
loan guarantees and loans under Chapter 166. and particularly 53945
sections 166.12 to 166.16 of the Revised Code.53946

       RESEARCH AND DEVELOPMENT53947

       The foregoing appropriation item 195-665, Research and 53948
Development, shall be used to provide for research and development 53949
purposes, including loans, under Chapter 166. and particularly 53950
sections 166.17 to 166.21 of the Revised Code.53951

       Section 263.20.80. FACILITIES ESTABLISHMENT FUND53952

       The foregoing appropriation item 195-615, Facilities53953
Establishment (Fund 037), shall be used for the purposes of the53954
Facilities Establishment Fund under Chapter 166. of the Revised53955
Code.53956

       Notwithstanding Chapter 166. of the Revised Code, an amount 53957
not to exceed $1,800,000 in cash each fiscal year may be53958
transferred from the Facilities Establishment Fund (Fund 037) to 53959
the Economic Development Financing Operating Fund (Fund 451). The 53960
transfer is subject to Controlling Board approval under division 53961
(B) of section 166.03 of the Revised Code.53962

       Notwithstanding Chapter 166. of the Revised Code, an amount 53963
not to exceed $5,475,000 in cash each fiscal year may be 53964
transferred during the biennium from the Facilities Establishment 53965
Fund (Fund 037) to the Urban Redevelopment Loans Fund (Fund 5D2) 53966
for the purpose of removing barriers to urban core redevelopment. 53967
The Director of Development shall develop program guidelines for 53968
the transfer and release of funds, including, but not limited to, 53969
the completion of all appropriate environmental assessments before 53970
state assistance is committed to a project. The transfers shall be 53971
subject to approval by the Controlling Board upon the submission 53972
of a request by the Department of Development.53973

       Notwithstanding Chapter 166. of the Revised Code, an amount 53974
not to exceed $3,000,000 in cash each fiscal year may be53975
transferred from the Facilities Establishment Fund (Fund 037) to 53976
the Rural Industrial Park Loan Fund (Fund 4Z6). The transfer is 53977
subject to Controlling Board approval under section 166.03 of the 53978
Revised Code.53979

       Notwithstanding Chapter 166. of the Revised Code, of the 53980
foregoing appropriation item 195-615, Facilities Establishment, 53981
$1,500,000 in fiscal year 2008 shall be used for business 53982
development by any current or future port authority located in 53983
Clark County.53984

       ALTERNATIVE FUEL TRANSPORTATION GRANT FUND53985

       Notwithstanding Chapter 166. of the Revised Code, an amount 53986
not to exceed $1,000,000 in cash each fiscal year shall be53987
transferred from moneys in the Facilities Establishment Fund (Fund 53988
037) to the Alternative Fuel Transportation Grant Fund (Fund 5CG) 53989
in the Department of Development.53990

       RURAL DEVELOPMENT INITIATIVE FUND53991

       (A)(1) The Rural Development Initiative Fund (Fund 5S8) is 53992
entitled to receive moneys from the Facilities Establishment Fund 53993
(Fund 037). The Director of Development may make grants from the 53994
Rural Development Initiative Fund as specified in division (A)(2) 53995
of this section to eligible applicants in Appalachian counties and 53996
in rural counties in the state that are designated as distressed 53997
under section 122.25 of the Revised Code. Preference shall be 53998
given to eligible applicants located in Appalachian counties 53999
designated as distressed by the federal Appalachian Regional 54000
Commission. The Rural Development Initiative Fund (Fund 5S8) shall 54001
cease to exist after June 30, 2009. All moneys remaining in the 54002
Fund after that date shall revert to the Facilities Establishment 54003
Fund (Fund 037).54004

       (2) The Director of Development shall make grants from the54005
Rural Development Initiative Fund (Fund 5S8) only to eligible 54006
applicants who also qualify for and receive funding under the 54007
Rural Industrial Park Loan Program as specified in sections 122.23 54008
to 122.27 of the Revised Code. Eligible applicants shall use the 54009
grants for the purposes specified in section 122.24 of the Revised 54010
Code. All projects supported by grants from the fund are subject 54011
to Chapter 4115. of the Revised Code as specified in division (E) 54012
of section 166.02 of the Revised Code. The Director shall develop 54013
program guidelines for the transfer and release of funds. The 54014
release of grant moneys to an eligible applicant is subject to 54015
Controlling Board approval.54016

       (B) Notwithstanding Chapter 166. of the Revised Code, the54017
Director of Budget and Management may transfer an amount not to 54018
exceed $3,000,000 in cash each fiscal year on an as-needed basis 54019
at the request of the Director of Development from the Facilities54020
Establishment Fund (Fund 037) to the Rural Development Initiative54021
Fund (Fund 5S8). The transfer is subject to Controlling Board54022
approval under section 166.03 of the Revised Code.54023

       CAPITAL ACCESS LOAN PROGRAM54024

       The foregoing appropriation item 195-628, Capital Access Loan54025
Program, shall be used for operating, program, and administrative54026
expenses of the program. Funds of the Capital Access Loan Program 54027
shall be used to assist participating financial institutions in 54028
making program loans to eligible businesses that face barriers in 54029
accessing working capital and obtaining fixed-asset financing.54030

       Notwithstanding Chapter 166. of the Revised Code, the54031
Director of Budget and Management may transfer an amount not to 54032
exceed $3,000,000 in cash each fiscal year on an as-needed basis 54033
at the request of the Director of Development from the Facilities54034
Establishment Fund (Fund 037) to the Capital Access Loan Program54035
Fund (Fund 5S9). The transfer is subject to Controlling Board54036
approval under section 166.03 of the Revised Code.54037

       Section 263.20.90. CLEAN OHIO OPERATING EXPENSES54038

       The foregoing appropriation item 195-663, Clean Ohio 54039
Operating, shall be used by the Department of Development in 54040
administering sections 122.65 to 122.658 of the Revised Code.54041

       THIRD FRONTIER OPERATING54042

       The foregoing appropriation item 195-686, Third Frontier 54043
Operating, shall be used for operating expenses incurred by the 54044
Department of Development in administering sections 184.10 to 54045
184.20 of the Revised Code.54046

       THIRD FRONTIER RESEARCH & DEVELOPMENT PROJECTS54047

       The foregoing appropriation item 195-687, Third Frontier 54048
Research & Development Projects, shall be used by the Department 54049
of Development to fund selected projects pursuant to sections 54050
184.10 to 184.20 of the Revised Code.54051

       Notwithstanding sections 184.10 to 184.20 of the Revised 54052
Code, of the foregoing appropriation item 195-687, Third Frontier 54053
Research & Development Projects, up to $20,000,000 in fiscal year 54054
2008 shall be used by the Office of Information Technology, in 54055
partnership with the Ohio Supercomputer Center's OSCnet, to 54056
acquire the equipment and services necessary to migrate state 54057
agencies' network to the existing OSCnet network backbone. This 54058
state network shall be known as the NextGen Network.54059

       Notwithstanding sections 184.10 to 184.20 of the Revised 54060
Code, at the direction of the Director of Budget and Management up 54061
to $18,000,000 in each fiscal year from appropriation item 54062
195-687, Third Frontier Research & Development Projects, and 54063
appropriation item 195-692, Research & Development Taxable Bond 54064
Projects, shall be used to fund the Research Incentive Program in 54065
the Board of Regents.54066

       On or before June 30, 2008, any unencumbered balance of the 54067
foregoing appropriation item 195-687, Third Frontier Research & 54068
Development Projects, for fiscal year 2008 is hereby appropriated 54069
for the same purpose for fiscal year 2009.54070

       AUTHORITY TO ISSUE AND SELL ORIGINAL OBLIGATIONS54071

       The Ohio Public Facilities Commission, upon request of the 54072
Department of Development, is hereby authorized to issue and sell, 54073
in accordance with Section 2p of Article VIII, Ohio Constitution, 54074
and particularly sections 151.01 and 151.10 of the Revised Code, 54075
original obligations of the State of Ohio in an aggregate amount 54076
not to exceed $150,000,000. The authorized obligations shall be 54077
issued and sold from time to time and in amounts necessary to 54078
ensure sufficient moneys to the credit of the Third Frontier 54079
Research & Development Fund (Fund 011) to pay costs of research 54080
and development projects.54081

       JOB READY SITE OPERATING54082

       The foregoing appropriation item 195-688, Job Ready Site 54083
Operating, shall be used for operating expenses incurred by the 54084
Department of Development in administering sections 122.085 to 54085
122.0820 of the Revised Code. Operating expenses include, but are 54086
not limited to, certain expenses of the District Public Works 54087
Integrating Committees, audit and accountability activities, and 54088
costs associated with formal certifications verifying that site 54089
infrastructure is in place and is functional.54090

       Section 263.30.10. UNCLAIMED FUNDS TRANSFER54091

       (A) Notwithstanding division (A) of section 169.05 of the 54092
Revised Code, upon the request of the Director of Budget and 54093
Management, the Director of Commerce, prior to June 30, 2008, 54094
shall transfer to the Job Development Initiatives Fund (Fund 5AD) 54095
an amount not to exceed $5,000,000 in cash of the unclaimed funds 54096
that have been reported by the holders of unclaimed funds under 54097
section 169.05 of the Revised Code, regardless of the allocation 54098
of the unclaimed funds described under that section.54099

       Notwithstanding division (A) of section 169.05 of the Revised 54100
Code, upon the request of the Director of Budget and Management, 54101
the Director of Commerce, prior to June 30, 2009, shall transfer 54102
to the Job Development Initiatives Fund (Fund 5AD) an amount not 54103
to exceed $24,400,000 in cash of the unclaimed funds that have 54104
been reported by the holders of unclaimed funds under section 54105
169.05 of the Revised Code, regardless of the allocation of the 54106
unclaimed funds described under that section.54107

       (B) Notwithstanding division (A) of section 169.05 of the 54108
Revised Code, upon the request of the Director of Budget and 54109
Management, the Director of Commerce, prior to June 30, 2008, 54110
shall transfer to the State Special Projects Fund (Fund 4F2) an 54111
amount not to exceed $2,500,000 of the unclaimed funds that have 54112
been reported by the holders of unclaimed funds under section 54113
169.05 of the Revised Code, regardless of the allocation of the 54114
unclaimed funds described under that section.54115

       Notwithstanding division (A) of section 169.05 of the Revised 54116
Code, upon the request of the Director of Budget and Management, 54117
the Director of Commerce, prior to June 30, 2009, shall transfer 54118
to the State Special Projects Fund (Fund 4F2) an amount not to 54119
exceed $2,500,000 in cash of the unclaimed funds that have been 54120
reported by the holders of unclaimed funds under section 169.05 of 54121
the Revised Code, regardless of the allocation of the unclaimed 54122
funds described under that section.54123

       Section 263.30.20. WORKFORCE DEVELOPMENT54124

       The Director of Development and the Director of Job and 54125
Family Services may enter into one or more interagency agreements 54126
between the two departments, hire staff, transfer staff, assign 54127
duties to staff, enter into contracts, transfer assets, and take 54128
other actions the directors consider necessary to provide services 54129
and assistance as necessary to integrate workforce development 54130
into a larger economic development strategy, to implement the 54131
recommendations of the Workforce Policy Board, and to perform 54132
activities related to the transition of the administration of 54133
employment programs identified by the board. Subject to the 54134
approval of the Director of Budget and Management, the Department 54135
of Development and the Department of Job and Family Services may 54136
expend funds to support the recommendations of the Workforce 54137
Policy Board in the area of integration of employment functions as 54138
described in this paragraph and to provide implementation and 54139
transition activities from the appropriations to those 54140
departments.54141

       Section 263.30.30. COMMISSION ON THE FUTURE OF HEALTH CARE 54142
EDUCATION AND PHYSICIAN RETENTION IN NW OH54143

       (A) Whereas, There is a physician shortage, particularly in 54144
certain specialties, that is predicted to worsen within the next 54145
decade; and54146

       Whereas, This shortage may worsen as a result of, among other 54147
factors, fewer than ten per cent of new graduates from the 54148
University of Toledo who choose to continue their training in 54149
northwest Ohio; and54150

       Whereas, Many of the problems confronting physician training 54151
at the graduate medical education level are already manifest in 54152
northwest Ohio; and54153

       Whereas, It is prudent to examine the physician shortage 54154
using northwest Ohio as a microcosm for the entire state of Ohio; 54155
now therefore be it54156

       Resolved by the Ohio General Assembly that there is hereby 54157
created the Commission on the Future of Health Care Education and 54158
Physician Retention in NW OH.54159

       (B) The Commission shall be composed of the following 54160
members:54161

       (1) Six representatives of health care providers in northwest 54162
Ohio, none of whom shall be from the same organization;54163

       (2) Six representatives of the health care profession in 54164
northwest Ohio, composed of the following individuals:54165

       (a) One from the College of Medicine at the University of 54166
Toledo;54167

       (b) One from the northwest Ohio chapter of the Ohio Nurses 54168
Association;54169

       (c) One from the Academy of Medicine of Toledo and Lucas 54170
County;54171

       (d) One from the Northwest Ohio Pediatric Society;54172

       (e) One geriatric medicine physician affiliated with Ohio 54173
University College of Osteopathic Medicine; and54174

       (f) One osteopathic physician affiliated with Ohio University 54175
College of Osteopathic Medicine.54176

       (3) Three representatives from northwest Ohio business and 54177
labor organizations, composed of the following individuals:54178

       (a) One from the Toledo Area Regional Chamber of Commerce;54179

       (b) One from the labor community of northwest Ohio; and54180

       (c) One from the health insurance industry.54181

       (4) Three representatives of health care consumers in 54182
northwest Ohio, none of whom shall be currently employed or 54183
affiliated with a health system or health insurer.54184

       (5) Nine representatives of state and local government, 54185
composed of the following individuals:54186

       (a) Two members of the Ohio House of Representatives, one 54187
from the minority party and one from the majority party;54188

       (b) Two members of the Ohio Senate, one from the minority 54189
party and one from the majority party;54190

       (c) One township trustee of northwest Ohio;54191

       (d) Two representatives of northwest Ohio municipal 54192
corporations, only one of whom shall be from the City of Toledo;54193

       (e) Two representatives of county commissioners, only one of 54194
whom shall be from Lucas County.54195

       (C) Members of the committee shall be appointed as follows:54196

       (1) For those members described in divisions (B)(1) and (2) 54197
of this section, two each by the Governor, the Speaker of the 54198
House of Representatives, and the President of the Senate;54199

       (2) For those members described in divisions (B)(3) and (4) 54200
of this section, one each by the Governor, the Speaker of the 54201
House of Representatives, and the President of the Senate; 54202

       (3) For those members described in division (B)(5), three 54203
each by the Governor, the Speaker of the House of Representatives, 54204
and the President of the Senate.54205

       (D) Members of the Commission shall be appointed not later 54206
than 30 days after the effective date of this section and shall 54207
first meet not later than 30 days after all appointments have been 54208
made. At its first meeting, the commission shall elect from among 54209
its members who are members of the Senate and House of 54210
Representatives a chairperson and vice-chairperson.54211

       Members of the commission shall serve without compensation, 54212
but may solicit on behalf of the Commission public and private 54213
funds to defray any costs of the Commission. The Commission shall 54214
meet at the call of the chairperson to conduct its official 54215
business. A majority of members shall constitute a quorum and a 54216
quorum shall be necessary to conduct any activities of the 54217
Commission.54218

       (E) The Toledo Community Foundation or a similar organization 54219
shall provide meeting space and administrative support for the 54220
Commission. The Ohio Board of Regents shall serve as a resource to 54221
the Commission.54222

       (F) The Commission shall prepare a report that examines and 54223
makes recommendations regarding the graduate medical education 54224
system in northwest Ohio, including:54225

       (1) Ways to increase the number and retention of medical 54226
graduates in northwest Ohio;54227

       (2) The status of the health care workforce in northwest 54228
Ohio;54229

       (3) The role of the University of Toledo in the health care 54230
education of the surrounding region;54231

       (4) Potential changes in federal and state statutes and rules 54232
regarding Medicaid support of graduate medical education; and54233

       (5) Policy initiatives that the Governor and General Assembly 54234
may consider to strengthen graduate medical education 54235
opportunities and physician retention in northwest Ohio.54236

       (G) The Commission shall, not later than nine months after 54237
the effective date of this section, submit to the Governor and 54238
General Assembly the report and recommendations prepared under 54239
division (F) of this section. On submission of the report, the 54240
Commission shall cease to exist.54241

       Section 265.10.  OBD OHIO BOARD OF DIETETICS54242

General Services Fund Group54243

4K9 860-609 Operating Expenses $ 342,501 $ 348,964 54244
TOTAL GSF General Services Fund 54245
Group $ 342,501 $ 348,964 54246
TOTAL ALL BUDGET FUND GROUPS $ 342,501 $ 348,964 54247


       Section 267.10. CDR COMMISSION ON DISPUTE RESOLUTION AND 54249
CONFLICT MANAGEMENT54250

General Revenue Fund54251

GRF 145-401 Commission Operations $ 455,123 $ 460,000 54252
TOTAL GRF General Revenue Fund $ 455,123 $ 460,000 54253

General Services Fund Group54254

4B6 145-601 Dispute Resolution Programs $ 140,000 $ 140,000 54255
TOTAL GSF General Services Fund Group $ 140,000 $ 140,000 54256

TOTAL ALL BUDGET FUND GROUPS $ 595,123 $ 600,000 54257


       Section 269.10. EDU DEPARTMENT OF EDUCATION54259

General Revenue Fund54260

GRF 200-100 Personal Services $ 11,533,494 $ 12,110,169 54261
GRF 200-320 Maintenance and Equipment $ 4,549,479 $ 4,778,203 54262
GRF 200-408 Early Childhood Education $ 34,002,195 $ 36,502,195 54263
GRF 200-410 Educator Training $ 19,628,817 $ 20,628,817 54264
GRF 200-416 Career-Technical Education Match $ 2,233,195 $ 2,233,195 54265
GRF 200-420 Computer/Application/ Network Development $ 5,536,362 $ 5,793,700 54266
GRF 200-421 Alternative Education Programs $ 15,232,665 $ 13,232,665 54267
GRF 200-422 School Management Assistance $ 2,960,572 $ 2,960,572 54268
GRF 200-424 Policy Analysis $ 556,687 $ 556,687 54269
GRF 200-425 Tech Prep Consortia Support $ 2,069,217 $ 2,069,217 54270
GRF 200-426 Ohio Educational Computer Network $ 30,446,197 $ 30,446,197 54271
GRF 200-427 Academic Standards $ 10,514,730 $ 10,514,730 54272
GRF 200-431 School Improvement Initiatives $ 11,600,235 $ 12,350,235 54273
GRF 200-433 Literacy Improvement-Professional Development $ 15,815,000 $ 15,815,000 54274
GRF 200-437 Student Assessment $ 77,150,819 $ 76,387,144 54275
GRF 200-439 Accountability/Report Cards $ 8,096,040 $ 14,223,540 54276
GRF 200-442 Child Care Licensing $ 1,302,495 $ 1,302,495 54277
GRF 200-446 Education Management Information System $ 16,110,510 $ 16,586,082 54278
GRF 200-447 GED Testing $ 1,544,360 $ 1,544,360 54279
GRF 200-448 Educator Preparation $ 1,301,000 $ 1,301,000 54280
GRF 200-455 Community Schools $ 1,533,661 $ 1,533,661 54281
GRF 200-502 Pupil Transportation $ 424,783,117 $ 429,030,948 54282
GRF 200-503 Bus Purchase Allowance $ 14,000,000 $ 14,000,000 54283
GRF 200-505 School Lunch Match $ 8,998,025 $ 8,998,025 54284
GRF 200-509 Adult Literacy Education $ 8,669,738 $ 8,669,738 54285
GRF 200-511 Auxiliary Services $ 131,740,457 $ 135,692,670 54286
GRF 200-514 Postsecondary Adult Career-Technical Education $ 19,481,875 $ 19,481,875 54287
GRF 200-521 Gifted Pupil Program $ 47,608,030 $ 48,008,613 54288
GRF 200-532 Nonpublic Administrative Cost Reimbursement $ 59,810,517 $ 61,604,832 54289
GRF 200-536 Ohio Core Support $ 7,700,000 $ 15,125,000 54290
GRF 200-540 Special Education Enhancements $ 138,619,945 $ 139,756,839 54291
GRF 200-545 Career-Technical Education Enhancements $ 9,298,651 $ 9,373,926 54292
GRF 200-550 Foundation Funding $ 5,761,699,328 $ 6,034,943,246 54293
GRF 200-566 Literacy Improvement-Classroom Grants $ 12,062,336 $ 12,062,336 54294
GRF 200-578 Violence Prevention and School Safety $ 1,218,555 $ 1,218,555 54295
GRF 200-901 Property Tax Allocation - Education $ 794,583,404 $ 850,868,654 54296
GRF 200-906 Tangible Tax Exemption - Education $ 21,415,244 $ 10,707,622 54297
TOTAL GRF General Revenue Fund $ 7,735,406,952 $ 8,082,412,743 54298

General Services Fund Group54299

138 200-606 Computer Services-Operational Support $ 7,600,091 $ 7,600,091 54300
4D1 200-602 Ohio Prevention/Education Resource Center $ 832,000 $ 832,000 54301
4L2 200-681 Teacher Certification and Licensure $ 5,966,032 $ 6,323,994 54302
452 200-638 Miscellaneous Educational Services $ 273,166 $ 279,992 54303
5H3 200-687 School District Solvency Assistance $ 18,000,000 $ 18,000,000 54304
596 200-656 Ohio Career Information System $ 529,761 $ 529,761 54305
TOTAL GSF General Services 54306
Fund Group $ 33,201,050 $ 33,565,838 54307

Federal Special Revenue Fund Group54308

3AF 200-603 Schools Medicaid Administrative Claims $ 486,000 $ 639,000 54309
3BK 200-628 Longitudinal Data Systems $ 1,795,570 $ 307,050 54310
3BV 200-636 Character Education $ 700,000 $ 700,000 54311
3CF 200-644 Foreign Language Assistance $ 85,000 $ 285,000 54312
3CG 200-646 Teacher Incentive Fund $ 6,552,263 $ 3,994,338 54313
3C5 200-661 Early Childhood Education $ 18,989,779 $ 18,989,779 54314
3D1 200-664 Drug Free Schools $ 13,347,966 $ 13,347,966 54315
3D2 200-667 Honors Scholarship Program $ 6,573,968 $ 6,665,000 54316
3H9 200-605 Head Start Collaboration Project $ 275,000 $ 275,000 54317
3L6 200-617 Federal School Lunch $ 244,714,211 $ 249,903,970 54318
3L7 200-618 Federal School Breakfast $ 63,927,606 $ 69,041,814 54319
3L8 200-619 Child/Adult Food Programs $ 69,280,946 $ 70,691,653 54320
3L9 200-621 Career-Technical Education Basic Grant $ 48,029,701 $ 48,029,701 54321
3M0 200-623 ESEA Title 1A $ 415,000,000 $ 420,000,000 54322
3M1 200-678 Innovative Education $ 5,369,100 $ 5,363,706 54323
3M2 200-680 Individuals with Disabilities Education Act $ 500,000,000 $ 405,000,000 54324
3S2 200-641 Education Technology $ 10,000,000 $ 5,000,000 54325
3T4 200-613 Public Charter Schools $ 13,850,827 $ 14,212,922 54326
3Y2 200-688 21st Century Community Learning Centers $ 30,681,554 $ 30,681,554 54327
3Y4 200-632 Reading First $ 35,215,798 $ 31,215,798 54328
3Y6 200-635 Improving Teacher Quality $ 102,692,685 $ 102,698,246 54329
3Y7 200-689 English Language Acquisition $ 8,000,000 $ 8,000,000 54330
3Y8 200-639 Rural and Low Income Technical Assistance $ 1,500,000 $ 1,500,000 54331
3Z2 200-690 State Assessments $ 12,883,799 $ 12,883,799 54332
3Z3 200-645 Consolidated Federal Grant Administration $ 8,500,000 $ 8,500,000 54333
309 200-601 Educationally Disadvantaged Programs $ 12,750,000 $ 8,750,000 54334
366 200-604 Adult Basic Education $ 19,425,000 $ 20,396,250 54335
367 200-607 School Food Services $ 5,849,748 $ 6,088,737 54336
368 200-614 Veterans' Training $ 710,373 $ 745,892 54337
369 200-616 Career-Technical Education Federal Enhancement $ 5,000,000 $ 5,000,000 54338
370 200-624 Education of Exceptional Children $ 1,811,520 $ 575,454 54339
374 200-647 Troops to Teachers $ 100,000 $ 100,000 54340
378 200-660 Learn and Serve $ 1,561,954 $ 1,561,954 54341
TOTAL FED Federal Special 54342
Revenue Fund Group $ 1,665,660,368 $ 1,571,144,583 54343

State Special Revenue Fund Group54344

4R7 200-695 Indirect Operational Support $ 5,449,748 $ 5,810,464 54345
4V7 200-633 Interagency Operational Support $ 392,100 $ 376,423 54346
454 200-610 Guidance and Testing $ 400,000 $ 400,000 54347
455 200-608 Commodity Foods $ 24,000,000 $ 24,000,000 54348
5BB 200-696 State Action for Education Leadership $ 1,250,000 $ 1,250,000 54349
5BJ 200-626 Half-Mill Maintenance Equalization $ 10,700,000 $ 10,700,000 54350
5U2 200-685 National Education Statistics $ 300,000 $ 300,000 54351
5W2 200-663 Early Learning Initiative $ 2,200,000 $ 2,200,000 54352
598 200-659 Auxiliary Services Reimbursement $ 1,328,910 $ 1,328,910 54353
620 200-615 Educational Improvement Grants $ 3,000,000 $ 3,000,000 54354
TOTAL SSR State Special Revenue 54355
Fund Group $ 49,020,758 $ 49,365,797 54356

Lottery Profits Education Fund Group54357

017 200-612 Foundation Funding $ 635,198,000 $ 667,900,000 54358
017 200-682 Lease Rental Payment Reimbursement $ 22,702,000 $ 0 54359
TOTAL LPE Lottery Profits 54360
Education Fund Group $ 657,900,000 $ 667,900,000 54361

Revenue Distribution Fund Group54362

047 200-909 School District Property Tax Replacement-Business $ 611,596,856 $ 763,316,819 54363
053 200-900 School District Property Tax Replacement-Utility $ 91,123,523 $ 91,123,523 54364
TOTAL RDF Revenue Distribution 54365
Fund Group $ 702,720,379 $ 854,440,342 54366
TOTAL ALL BUDGET FUND GROUPS $ 10,843,909,507 $ 11,258,829,303 54367


       Section 269.10.10. PERSONAL SERVICES54369

        The foregoing appropriation item 200-100, Personal Services, 54370
may be used to pay fees for the Department's membership in the 54371
Education Commission of the States, an interstate nonprofit, 54372
nonpartisan organization that supports states with the development 54373
of education policy.54374

        Of the foregoing appropriation item 200-100, Personal 54375
Services, up to $25,000 may be expended in each fiscal year for 54376
the State Board of Education to pay for outside professionals to 54377
help inform the Board on topics of education policy.54378

       Section 269.10.20. EARLY CHILDHOOD EDUCATION54379

       The Department of Education shall distribute the foregoing54380
appropriation item 200-408, Early Childhood Education, to pay the 54381
costs of early childhood education programs. 54382

       (A) As used in this section:54383

       (1) "Provider" means a city, local, exempted village, or 54384
joint vocational school district, or an educational service 54385
center.54386

       (2) In the case of a city, local, or exempted village school 54387
district, "new eligible provider" means a district that is 54388
eligible for poverty-based assistance under section 3317.029 of 54389
the Revised Code.54390

       (3) "Eligible child" means a child who is at least three 54391
years of age, is not of the age to be eligible for kindergarten, 54392
and whose family earns not more than two hundred per cent of the 54393
federal poverty guidelines.54394

       (B) In each fiscal year, up to two per cent of the total54395
appropriation may be used by the Department for program support 54396
and technical assistance. The Department shall distribute the 54397
remainder of the appropriation in each fiscal year to serve 54398
eligible children.54399

       (C) The Department shall provide an annual report to the54400
Governor, the Speaker of the House of Representatives, and the54401
President of the Senate and post the report to the Department's 54402
web site, regarding early childhood education programs operated 54403
under this section and the early learning program guidelines for 54404
school readiness.54405

       (D) After setting aside the amounts to make payments due from 54406
the previous fiscal year, in fiscal year 2008, the Department 54407
shall distribute funds first to recipients of funds for early 54408
childhood education programs under Section 206.09.06 of Am. Sub. 54409
H.B. 66 of the 126th General Assembly in the previous fiscal year 54410
and the balance to new eligible providers of early childhood 54411
education programs under this section. However, the total amount 54412
of funds distributed in fiscal year 2008 to all providers that 54413
received funds for early childhood education programs in fiscal 54414
year 2007 shall not exceed $18,622,151, unless the number of new 54415
eligible providers that notifies the Department of their interest 54416
in establishing early childhood education programs is insufficient 54417
to expend all available funding. In that case, the Department may 54418
direct available funding to providers that received funds for 54419
early childhood education programs in fiscal year 2007 for 54420
purposes of program expansion, improvement, or special projects to 54421
promote quality and innovation.54422

       After setting aside the amounts to make payments due from the 54423
previous fiscal year, in fiscal year 2009, the Department shall 54424
distribute funds first to providers of early childhood education 54425
programs under this section in the previous fiscal year and the 54426
balance to new eligible providers. However, the total amount of 54427
funds distributed in fiscal year 2009 to all providers that 54428
received funds for early childhood education programs in fiscal 54429
year 2007 shall not exceed $18,622,151, unless the number of 54430
providers that received funding in fiscal year 2008 and new 54431
eligible providers that notify the Department of their interest in 54432
establishing early childhood education programs is insufficient to 54433
expend all available funding. In that case, the Department may 54434
direct available funding to providers that received funds for 54435
early childhood education programs in fiscal year 2007 or 2008 for 54436
purposes of program expansion, improvement, or special projects to 54437
promote quality and innovation.54438

       In each of fiscal years 2008 and 2009, if funding is 54439
insufficient to serve all new eligible providers that notify the 54440
Department of their interest in establishing early childhood 54441
education programs, the Department shall determine which of those 54442
providers will receive funds using a selection process that first 54443
gives preference to providers that, as of March 15, 2007, did not 54444
offer early childhood education programs, but that had offered 54445
early childhood education programs or public preschool programs 54446
for some time after June 30, 2000, and second to providers that 54447
demonstrate a need for early childhood education programs, as 54448
determined by the Department. Demonstration of need shall include 54449
having higher rates of eligible children to be served.54450

        Awards under this section shall be distributed on a per-pupil 54451
basis, and in accordance with division (H) of this section. The 54452
Department may adjust the per-pupil amount so that the per-pupil 54453
amount multiplied by the number of eligible children enrolled and 54454
receiving services, as defined by the Department, reported on the 54455
first day of December or the first business day following that 54456
date equals the amount allocated under this section.54457

       (E) Costs for developing and administering an early childhood 54458
education program may not exceed fifteen per cent of the total 54459
approved costs of the program.54460

       All providers shall maintain such fiscal control and54461
accounting procedures as may be necessary to ensure the54462
disbursement of, and accounting for, these funds. The control of54463
funds provided in this program, and title to property obtained54464
therefrom, shall be under the authority of the approved provider54465
for purposes provided in the program unless, as described in 54466
division (J) of this section, the program waives its right for 54467
funding or a program's funding is eliminated or reduced due to its 54468
inability to meet financial or early learning program guidelines 54469
for school readiness. The approved provider shall administer and 54470
use such property and funds for the purposes specified.54471

       (F) The Department may examine a provider's financial and 54472
program records. If the financial practices of the program are not 54473
in accordance with standard accounting principles or do not meet 54474
financial standards outlined under division (E) of this section, 54475
or if the program fails to substantially meet the early learning 54476
program guidelines for school readiness or exhibits below average 54477
performance as measured against the guidelines, the early 54478
childhood education program shall propose and implement a 54479
corrective action plan that has been approved by the Department. 54480
The approved corrective action plan shall be signed by the chief 54481
executive officer and the executive of the official governing body 54482
of the provider. The corrective action plan shall include a 54483
schedule for monitoring by the Department. Such monitoring may 54484
include monthly reports, inspections, a timeline for correction of 54485
deficiencies, and technical assistance to be provided by the 54486
Department or obtained by the early childhood education program. 54487
The Department may withhold funding pending corrective action. If 54488
an early childhood education program fails to satisfactorily 54489
complete a corrective action plan, the Department may deny 54490
expansion funding to the program or withdraw all or part of the 54491
funding to the program and establish a new eligible provider 54492
through a selection process established by the Department.54493

       (G) Each early childhood education program shall do all of 54494
the following:54495

       (1) Meet teacher qualification requirements prescribed by 54496
section 3301.311 of the Revised Code;54497

       (2) Align curriculum to the early learning content standards;54498

       (3) Meet any assessment requirements prescribed by section 54499
3301.0715 of the Revised Code that are applicable to the program;54500

       (4) Require teachers, except teachers enrolled and working to 54501
obtain a degree pursuant to section 3301.311 of the Revised Code, 54502
to attend a minimum of twenty hours every two years of 54503
professional development as prescribed by the Department regarding 54504
the implementation of early learning program guidelines for school 54505
readiness;54506

       (5) Document and report child progress;54507

       (6) Meet and report compliance with the early learning 54508
program guidelines for school readiness;54509

       (7) Participate in early language and literacy classroom 54510
observation evaluation studies.54511

       (H) This division applies only to early childhood education 54512
programs established on or after March 15, 2007.54513

       Per-pupil funding for programs subject to this division shall 54514
be sufficient to provide eligible children with services for 54515
one-half of the statewide average length of the school day, as 54516
determined by the Department, for one hundred eighty-two days each 54517
school year. Nothing in this section shall be construed to 54518
prohibit program providers from utilizing other funds to serve 54519
eligible children in programs that exceed the statewide average 54520
length of the school day or that exceed one hundred eighty-two 54521
days in a school year.54522

       (I) Each provider shall develop a sliding fee scale based on 54523
family incomes and shall charge families who earn more than the54524
federal poverty guidelines for the early childhood education 54525
program.54526

       (J) If an early childhood education program voluntarily 54527
waives its right for funding, or has its funding eliminated for 54528
not meeting financial standards or the early learning program 54529
guidelines for school readiness, the provider shall transfer 54530
control of title to property, equipment, and remaining supplies 54531
obtained through the program to providers designated by the 54532
Department and return any unexpended funds to the Department along 54533
with any reports prescribed by the Department. The funding made 54534
available from a program that waives its right for funding or has 54535
its funding eliminated or reduced may be used by the Department 54536
for new grant awards or expansion grants. The Department may award 54537
new grants or expansion grants to eligible providers who apply. 54538
The eligible providers who apply must do so in accordance with the 54539
selection process established by the Department.54540

       (K) As used in this section, "early learning program 54541
guidelines for school readiness" means the guidelines established 54542
by the Department pursuant to division (C)(3) of Section 206.09.54 54543
of Am. Sub. H.B. 66 of the 126th General Assembly.54544

       Section 269.10.30. EDUCATOR TRAINING54545

       The foregoing appropriation item 200-410, Educator Training, 54546
shall be used to fund professional development programs in Ohio. 54547
The Department of Education shall, when possible, incorporate 54548
cultural competency as a component of professional development and 54549
actively promote the development of cultural competency in the 54550
operation of its professional development programs. As used in 54551
this section, "cultural competency" has the meaning specified by 54552
the Educator Standards Board under section 3319.61 of the Revised 54553
Code.54554

       Of the foregoing appropriation item 200-410, Educator 54555
Training, up to $9,250,000 in fiscal year 2008 and up to 54556
$10,250,000 in fiscal year 2009 shall be used by the Department of 54557
Education to provide grants to pay $2,225 of the application fee 54558
in order to assist teachers from public and chartered nonpublic 54559
schools applying for the first time to the National Board for 54560
Professional Teaching Standards for professional teaching 54561
certificates or licenses that the board offers. These moneys shall 54562
be used to pay up to the first 400 applications in each fiscal 54563
year received by the Department. This set aside shall also be used 54564
to recognize and reward teachers who become certified by the 54565
National Board for Professional Teaching Standards under section 54566
3319.55 of the Revised Code. Up to $300,000 in each fiscal year of 54567
this set aside may be used by the Department to pay for costs 54568
associated with activities to support candidates through the 54569
application and certification process. Up to $39,500 of this set 54570
aside in each fiscal year may be used to support the application 54571
fee for candidates participating in the Take One program for 54572
beginning teachers in years two and three.54573

       Of the foregoing appropriation item 200-410, Educator 54574
Training, up to $9,515,817 in each fiscal year shall be allocated 54575
for entry year teacher and principal programs. These funds shall 54576
be used to support mentoring services and performance assessments 54577
of beginning teachers and principals in school districts and 54578
chartered nonpublic schools.54579

       Of the foregoing appropriation item 200-410, Educator 54580
Training, up to $200,000 in each fiscal year shall be used to 54581
provide technical assistance and grants for districts to develop 54582
local knowledge/skills-based compensation systems. Each district 54583
receiving grants shall issue an annual report to the Department of 54584
Education detailing the use of the funds and the impact of the 54585
system developed by the district.54586

       Of the foregoing appropriation item 200-410, Educator 54587
Training, up to $350,000 in each fiscal year shall be used for 54588
training and professional development of school administrators, 54589
school treasurers, and school business officials.54590

       Of the foregoing appropriation item 200-410, Educator 54591
Training, up to $63,000 in each fiscal year shall be used to 54592
support the Ohio University Leadership Program.54593

       Of the foregoing appropriation item 200-410, Educator 54594
Training, $250,000 in each fiscal year shall be used to support 54595
the Ohio School Leadership Institute.54596

       Section 269.10.40. CAREER-TECHNICAL EDUCATION MATCH54597

       The foregoing appropriation item 200-416, Career-Technical 54598
Education Match, shall be used by the Department of Education to 54599
provide vocational administration matching funds under 20 U.S.C. 54600
2311.54601

       COMPUTER/APPLICATION/NETWORK DEVELOPMENT54602

       The foregoing appropriation item 200-420, 54603
Computer/Application/Network Development, shall be used to support 54604
the development and implementation of information technology 54605
solutions designed to improve the performance and services of the 54606
Department of Education. Funds may be used for personnel, 54607
maintenance, and equipment costs related to the development and 54608
implementation of these technical system projects. Implementation 54609
of these systems shall allow the Department to provide greater 54610
levels of assistance to school districts and to provide more 54611
timely information to the public, including school districts, 54612
administrators, and legislators. Funds may also be used to support 54613
data-driven decision-making and differentiated instruction, as 54614
well as to communicate academic content standards and curriculum 54615
models to schools through web-based applications.54616

       Section 269.10.50. ALTERNATIVE EDUCATION PROGRAMS54617

       There is hereby created the Alternative Education Advisory54618
Council, which shall consist of one representative from each of54619
the following agencies: the Ohio Department of Education; the54620
Department of Youth Services; the Ohio Department of Alcohol and54621
Drug Addiction Services; the Department of Mental Health; the54622
Office of the Governor or, at the Governor's discretion, the54623
Office of the Lieutenant Governor; the Office of the Attorney54624
General; and the Office of the Auditor of State.54625

       Of the foregoing appropriation item 200-421, Alternative54626
Education Programs, up to $6,227,310 in each fiscal year shall be 54627
used for the renewal of successful implementation grants and for54628
competitive matching grants to the 21 urban school districts as54629
defined in division (O) of section 3317.02 of the Revised Code as54630
it existed prior to July 1, 1998, and up to $6,161,074 in each 54631
fiscal year shall be used for the renewal of successful 54632
implementation grants and for competitive matching grants to rural 54633
and suburban school districts for alternative educational programs 54634
for existing and new at-risk and delinquent youth. Programs shall 54635
be focused on youth in one or more of the following categories: 54636
those who have been expelled or suspended, those who have dropped 54637
out of school or who are at risk of dropping out of school, those 54638
who are habitually truant or disruptive, or those on probation or 54639
on parole from a Department of Youth Services facility. Grants 54640
shall be awarded according to the criteria established by the54641
Alternative Education Advisory Council in 1999. Grants shall be54642
awarded only to programs in which the grant will not serve as the54643
program's primary source of funding. These grants shall be54644
administered by the Department of Education.54645

       The Department of Education may waive compliance with any54646
minimum education standard established under section 3301.07 of54647
the Revised Code for any alternative school that receives a grant54648
under this section on the grounds that the waiver will enable the54649
program to more effectively educate students enrolled in the54650
alternative school.54651

       Of the foregoing appropriation item 200-421, Alternative54652
Education Programs, up to $422,281 in each fiscal year may be used54653
for program administration, monitoring, technical assistance,54654
support, research, and evaluation. Any unexpended balance may be54655
used to provide additional matching grants to urban, suburban, or54656
rural school districts as outlined above.54657

       Of the foregoing appropriation item 200-421, Alternative54658
Education Programs, $247,000 in each fiscal year shall be used to54659
contract with the Center for Learning Excellence at The Ohio State54660
University to provide technical support for the project and the54661
completion of formative and summative evaluation of the grants.54662

       Of the foregoing appropriation item 200-421, Alternative 54663
Education Programs, $75,000 in each fiscal year shall be used to 54664
support the Toledo Tech Academy.54665

       Of the foregoing appropriation item 200-421, Alternative 54666
Education Programs, $2,000,000 in fiscal year 2008 shall be used 54667
to support Improved Solutions for Urban Students (ISUS) in 54668
Dayton/Sinclair Youth Initiative.54669

       Of the foregoing appropriation item 200-421, Alternative 54670
Education Programs, $100,000 in each fiscal year shall be provided 54671
to the Cincinnati Arts and Technology Center to increase program 54672
support for high-risk teens and unemployed urban adults.54673

       Section 269.10.60. SCHOOL MANAGEMENT ASSISTANCE54674

       Of the foregoing appropriation item 200-422, School54675
Management Assistance, up to $1,300,000 in each fiscal year may be 54676
used by the Department of Education for expenses incurred by the 54677
Auditor of State in consultation with the Department for the 54678
Auditor of State's role relating to fiscal caution, fiscal watch, 54679
and fiscal emergency activities as defined in Chapter 3316. of the54680
Revised Code and may also be used to conduct performance audits 54681
with priority given to districts in fiscal distress. Expenses 54682
include duties related to the completion of performance audits for 54683
school districts that the Superintendent of Public Instruction 54684
determines are employing fiscal practices or experiencing 54685
budgetary conditions that could produce a state of fiscal watch or 54686
fiscal emergency.54687

       Of the foregoing appropriation item 200-422, School 54688
Management Assistance, up to $250,000 in each fiscal year shall be 54689
used by the Department of Education to work with school districts 54690
and entities that serve school districts to develop and deploy 54691
analytical tools that allow districts and other stakeholders to 54692
analyze more thoroughly district spending patterns in order to 54693
promote more effective and efficient use of resources. Quarterly 54694
updates of the progress for implementation of these tools shall be 54695
provided to the Governor, and the Department shall give due 54696
diligence to implementing these tools in the shortest reasonable 54697
timeline.54698

       The remainder of foregoing appropriation item 200-422, School54699
Management Assistance, shall be used by the Department of54700
Education to provide fiscal technical assistance and inservice54701
education for school district management personnel and to54702
administer, monitor, and implement the fiscal watch and fiscal54703
emergency provisions under Chapter 3316. of the Revised Code.54704

       Section 269.10.70. POLICY ANALYSIS54705

       The foregoing appropriation item 200-424, Policy Analysis,54706
shall be used by the Department of Education to support a system54707
of administrative, statistical, and legislative education54708
information to be used for policy analysis. Staff supported by54709
this appropriation shall administer the development of reports,54710
analyses, and briefings to inform education policymakers of54711
current trends in education practice, efficient and effective use54712
of resources, and evaluation of programs to improve education54713
results. The database shall be kept current at all times. These54714
research efforts shall be used to supply information and analysis54715
of data to the General Assembly and other state policymakers,54716
including the Office of Budget and Management and the Legislative54717
Service Commission.54718

       The Department of Education may use funding from this54719
appropriation item to purchase or contract for the development of54720
software systems or contract for policy studies that will assist54721
in the provision and analysis of policy-related information.54722
Funding from this appropriation item also may be used to monitor54723
and enhance quality assurance for research-based policy analysis54724
and program evaluation to enhance the effective use of education54725
information to inform education policymakers.54726

       TECH PREP CONSORTIA SUPPORT54727

       The foregoing appropriation item 200-425, Tech Prep Consortia 54728
Support, shall be used by the Department of Education to support 54729
state-level activities designed to support, promote, and expand 54730
tech prep programs. Use of these funds shall include, but not be 54731
limited to, administration of grants, program evaluation,54732
professional development, curriculum development, assessment54733
development, program promotion, communications, and statewide54734
coordination of tech prep consortia.54735

       Section 269.10.80. OHIO EDUCATIONAL COMPUTER NETWORK54736

       The foregoing appropriation item 200-426, Ohio Educational54737
Computer Network, shall be used by the Department of Education to54738
maintain a system of information technology throughout Ohio and to54739
provide technical assistance for such a system in support of the54740
State Education Technology Plan under section 3301.07 of the54741
Revised Code.54742

       Of the foregoing appropriation item 200-426, Ohio Educational54743
Computer Network, up to $18,136,691 in each fiscal year shall be 54744
used by the Department of Education to support connection of all 54745
public school buildings and participating chartered nonpublic 54746
schools to the state's education network, to each other, and to 54747
the Internet. In each fiscal year the Department of Education 54748
shall use these funds to assist information technology centers or 54749
school districts with the operational costs associated with this 54750
connectivity. The Department of Education shall develop a formula 54751
and guidelines for the distribution of these funds to information 54752
technology centers or individual school districts. As used in this 54753
section, "public school building" means a school building of any 54754
city, local, exempted village, or joint vocational school 54755
district, any community school established under Chapter 3314. of 54756
the Revised Code, any educational service center building used for54757
instructional purposes, the Ohio School for the Deaf and the Ohio 54758
School for the Blind, or high schools chartered by the Ohio 54759
Department of Youth Services and high schools operated by Ohio 54760
Department of Rehabilitation and Corrections' Ohio Central School 54761
System.54762

       Of the foregoing appropriation item 200-426, Ohio Educational54763
Computer Network, up to $2,469,223 in each fiscal year shall be 54764
used for the Union Catalog and InfOhio Network and to support the 54765
provision of electronic resources with priority given to resources 54766
that support the teaching of state academic content standards in 54767
all public schools. Consideration shall be given by the Department 54768
of Education to coordinating the allocation of these moneys with 54769
the efforts of Libraries Connect Ohio, whose members include 54770
OhioLINK, the Ohio Public Information Network, and the State 54771
Library of Ohio.54772

       Of the foregoing appropriation item 200-426, Ohio Educational 54773
Computer Network, up to $8,338,468 in each fiscal year shall be 54774
used, through a formula and guidelines devised by the Department, 54775
to subsidize the activities of designated information technology 54776
centers, as defined by State Board of Education rules, to provide 54777
school districts and chartered nonpublic schools with 54778
computer-based student and teacher instructional and 54779
administrative information services, including approved 54780
computerized financial accounting, and to ensure the effective 54781
operation of local automated administrative and instructional 54782
systems.54783

       The remainder of appropriation item 200-426, Ohio Educational 54784
Computer Network, shall be used to support development, 54785
maintenance, and operation of a network of uniform and compatible 54786
computer-based information and instructional systems. This 54787
technical assistance shall include, but not be restricted to, 54788
development and maintenance of adequate computer software systems 54789
to support network activities. In order to improve the efficiency 54790
of network activities, the Department and information technology 54791
centers may jointly purchase equipment, materials, and services 54792
from funds provided under this appropriation for use by the 54793
network and, when considered practical by the Department, may 54794
utilize the services of appropriate state purchasing agencies.54795

       Section 269.10.90. ACADEMIC STANDARDS54796

       Of the foregoing appropriation item 200-427, Academic 54797
Standards, $150,000 in each fiscal year shall be used by the 54798
Department in combination with funding earmarked for this purpose 54799
in the Board of Regents' budget under appropriation item 235-321, 54800
Operating Expenses. Such funding shall be used to support Ohio's 54801
Partnership for Continued Learning at the direction of the Office 54802
of the Governor. Ohio's Partnership for Continued Learning 54803
replaces and broadens the former Joint Council of the Department 54804
of Education and the Board of Regents. The Partnership shall 54805
advise and make recommendations to promote collaboration among 54806
relevant state entities in an effort to help local communities 54807
develop coherent and successful "P-16" learning systems. The 54808
Governor, or the Governor's designee, shall serve as the 54809
chairperson.54810

        Of the foregoing appropriation item 200-427, Academic 54811
Standards, $1,000,000 in each fiscal year shall be used for 54812
Project Lead the Way leadership and management oversight and 54813
initial and continuing support of Project Lead the Way workforce 54814
development programs in participating school districts.54815

        Of the foregoing appropriation item 200-427, Academic 54816
Standards, up to $2,600,000 in each fiscal year shall be used for 54817
mathematics initiatives that include, but are not limited to, 54818
intensive teacher professional development institutes that focus 54819
on classroom implementation of the mathematics standards.54820

       Of the foregoing appropriation item 200-427, Academic 54821
Standards, $200,000 in each fiscal year may be used to support the 54822
Ohio Resource Center for Math and Science.54823

       Of the foregoing appropriation item 200-427, Academic 54824
Standards, up to $282,000 in each fiscal year shall be used for 54825
the JASON Expedition project that provides statewide access to 54826
JASON Expedition content. Funds shall be used to provide 54827
professional development training for teachers participating in 54828
the project, statewide management, and a seventy-five per cent 54829
subsidy for statewide licensing of JASON Expedition content with 54830
priority given to content aligned with state academic content 54831
standards for approximately 90,000 middle school students 54832
statewide.54833

       Of the foregoing appropriation item 200-427, Academic 54834
Standards, $285,000 in each fiscal year shall be used for science 54835
initiatives that include, but are not limited to, the Ohio Science 54836
Institute (OSCI).54837

       The remainder of appropriation item 200-427, Academic 54838
Standards, shall be used by the Department of Education to 54839
develop, revise, and communicate to school districts academic 54840
content standards and curriculum models. The Department may also 54841
use the remainder to develop program models that demonstrate how 54842
the academic content standards can be implemented in high school 54843
classrooms and to offer online continuing education courses.54844

       Section 269.20.10. SCHOOL IMPROVEMENT INITIATIVES54845

       Of the foregoing appropriation item 200-431, School 54846
Improvement Initiatives, $450,000 in each fiscal year shall be 54847
used for Ohio's Rural Appalachian Leadership Development 54848
Initiative.54849

       Of the foregoing appropriation item 200-431, School54850
Improvement Initiatives, up to $800,000 in each fiscal year shall 54851
be used to support districts in the development and implementation 54852
of their continuous improvement plans as required in section 54853
3302.04 of the Revised Code and to provide technical assistance 54854
and support in accordance with Title I of the "No Child Left 54855
Behind Act of 2001," 115 Stat. 1425, 20 U.S.C. 6317. This funding 54856
shall serve as a supplement to the funds provided under division 54857
(J) of section 3317.029 of the Revised Code, which represents 54858
state support for school improvement initiatives that assist 54859
school districts in closing the achievement gap.54860

       Of the foregoing appropriation item 200-431, School 54861
Improvement Initiatives, up to $236,250 in each fiscal year shall 54862
be used to reduce the dropout rate by addressing the academic and 54863
social problems of inner-city students through Project GRAD.54864

       Of the foregoing appropriation item 200-431, School 54865
Improvement Initiatives, $3,503,985 in fiscal year 2008 and 54866
$4,253,985 in fiscal year 2009 shall be used in conjunction with 54867
funding provided in the Board of Regents' budget under 54868
appropriation item 235-434, College Readiness and Access, to 54869
create early college high schools, which are small, autonomous 54870
schools that blend high school and college into a coherent 54871
educational program. The funds shall be distributed according to 54872
guidelines established by the Department of Education and the 54873
Board of Regents.54874

        Of the foregoing appropriation item 200-431, School 54875
Improvement Initiatives, up to $4,935,000 in each fiscal year 54876
shall be used in partnership with nonprofit groups with expertise 54877
in converting existing large urban high schools into small, 54878
personalized high schools. Districts eligible for such funding 54879
include the Urban 21 high schools, as defined in division (O) of 54880
section 3317.02 of the Revised Code as it existed prior to July 1, 54881
1998.54882

       Of the foregoing appropriation item 200-431, School 54883
Improvement Initiatives, up to $75,000 in each fiscal year shall 54884
be provided to Southern State Community College for the Pilot 54885
Post-Secondary Enrollment Options Program with Miami Trace High 54886
School.54887

       Of the foregoing appropriation item 200-431, School 54888
Improvement Initiatives, $1,000,000 in each fiscal year shall be 54889
used to support Jobs for Ohio Graduates (JOG). The Department of 54890
Education shall require a two-to-one match of local funding to 54891
state funding before releasing these funds to JOG.54892

       Of the foregoing appropriation item 200-431, School 54893
Improvement Initiatives, up to $600,000 in each fiscal year shall 54894
be used by the Department of Education to support start-up costs 54895
for gaining business and industry credentialing program 54896
accreditation and to support the development of a data collection 54897
system across the numerous industry test providers. Funds shall 54898
also be used to help subsidize the cost of student participation 54899
in industry assessments, provide research on industry assessments 54900
for alignment to industry-established content standards, provide 54901
professional development opportunities for educators, and prepare 54902
schools and adult centers to organize for credential alignment and 54903
delivery.54904

       Section 269.20.20. LITERACY IMPROVEMENT-PROFESSIONAL 54905
DEVELOPMENT54906

       Of the foregoing appropriation item 200-433, Literacy54907
Improvement-Professional Development, up to $9,590,000 in each 54908
fiscal year shall be used for educator training in literacy for 54909
classroom teachers, administrators, and literacy specialists.54910

       Of the foregoing appropriation item 200-433, Literacy 54911
Improvement-Professional Development, up to $5,000,000 in each 54912
fiscal year shall be used to support literacy professional 54913
development partnerships between the Department of Education, 54914
higher education institutions, literacy networks, and school 54915
districts.54916

       Of the foregoing appropriation item 200-433, Literacy 54917
Improvement - Professional Development, $900,000 in each fiscal 54918
year shall be used by the Department of Education to fund the 54919
Reading Recovery Training Network, to cover the cost of release 54920
time for the teacher trainers, and to provide grants to districts 54921
to implement other reading improvement programs on a pilot basis. 54922
Funds from this set-aside also may be used to conduct evaluations 54923
of the impact and effectiveness of Reading Recovery and other 54924
reading improvement programs.54925

       Of the foregoing appropriation item 200-433, Literacy 54926
Improvement-Professional Development, $100,000 in each fiscal year 54927
shall be provided to the Contemporary Arts Center for art 54928
education for children and a children's museum.54929

       The remainder of appropriation item 200-433, Literacy 54930
Improvement-Professional Development, shall be used by the 54931
Department of Education to provide administrative support of 54932
literacy professional development programs. Upon approval of the 54933
Controlling Board, the Department may also use the remainder to 54934
contract with an external evaluator on the effectiveness of 54935
literacy professional development initiatives in the academic 54936
achievement of students.54937

       STUDENT ASSESSMENT54938

       The foregoing appropriation item 200-437, Student Assessment,54939
shall be used to develop, field test, print, distribute, score,54940
report results, and support other associated costs for the tests 54941
required under sections 3301.0710 and 3301.0711 of the Revised 54942
Code and for similar purposes as required by section 3301.27 of 54943
the Revised Code. If funds remain in this appropriation after 54944
these purposes have been fulfilled, the Department may use the 54945
remainder of the appropriation to develop end-of-course exams.54946

       Section 269.20.30. ACCOUNTABILITY/REPORT CARDS54947

       Of the foregoing appropriation item 200-439, 54948
Accountability/Report Cards, up to $3,028,540 in each fiscal year 54949
shall be used to train district and regional specialists and 54950
district educators in the use of the value-added progress 54951
dimension. This funding shall be used in consultation with a 54952
credible nonprofit organization with expertise in value-added 54953
progress dimensions.54954

       Of the foregoing appropriation item, 200-439, 54955
Accountability/Report Cards, up to $6,000,000 in fiscal year 2009 54956
shall be used to make payments to each city, local, or exempted 54957
village school district that was declared to be "excellent" on the 54958
local report card published for the district during that fiscal 54959
year. The amount of the payment in each fiscal year to each 54960
eligible school district shall be equal to the district's average 54961
daily student enrollment reported on the district's local report 54962
card published during that fiscal year multiplied by $10. If the 54963
total calculated payment exceeds this earmark, the Department 54964
shall reduce each district's payment proportionally.54965

       The remainder of appropriation item 200-439, 54966
Accountability/Report Cards, shall be used by the Department to 54967
incorporate a statewide pilot value-added progress dimension into 54968
performance ratings for school districts and for the development 54969
of an accountability system that includes the preparation and 54970
distribution of school report cards under section 3302.03 of the 54971
Revised Code.54972

       CHILD CARE LICENSING54973

       The foregoing appropriation item 200-442, Child Care54974
Licensing, shall be used by the Department of Education to license54975
and to inspect preschool and school-age child care programs under 54976
sections 3301.52 to 3301.59 of the Revised Code.54977

       Section 269.20.40. EDUCATION MANAGEMENT INFORMATION SYSTEM54978

       The foregoing appropriation item 200-446, Education54979
Management Information System, shall be used by the Department of54980
Education to improve the Education Management Information System 54981
(EMIS).54982

       Of the foregoing appropriation item 200-446, Education54983
Management Information System, up to $1,338,620 in fiscal year 54984
2008 and up to $1,372,085 in fiscal year 2009 shall be distributed54985
to designated information technology centers for costs relating to54986
processing, storing, and transferring data for the effective54987
operation of the EMIS. These costs may include, but are not54988
limited to, personnel, hardware, software development,54989
communications connectivity, professional development, and support54990
services, and to provide services to participate in the State54991
Education Technology Plan pursuant to section 3301.07 of the54992
Revised Code.54993

       Of the foregoing appropriation item 200-446, Education54994
Management Information System, up to $8,256,569 in fiscal year 54995
2008 and up to $8,462,984 in fiscal year 2009 shall be distributed 54996
on a per-pupil basis to school districts, community schools 54997
established under Chapter 3314. of the Revised Code, educational 54998
service centers, joint vocational school districts, and any other 54999
education entity that reports data through EMIS. From this55000
funding, each school district or community school established55001
under Chapter 3314. of the Revised Code with enrollment greater55002
than 100 students and each vocational school district shall55003
receive a minimum of $5,000 in each fiscal year. Each school55004
district or community school established under Chapter 3314. of 55005
the Revised Code with enrollment between one and one hundred and 55006
each educational service center and each county board of MR/DD 55007
that submits data through EMIS shall receive $3,000 in each fiscal55008
year. This subsidy shall be used for costs relating to reporting, 55009
processing, storing, transferring, and exchanging data necessary 55010
to meet requirements of the Department of Education's data system.55011

       The remainder of appropriation item 200-446, Education 55012
Management Information System, shall be used to develop and 55013
support a common core of data definitions and standards as adopted 55014
by the Education Data Advisory Council, including the ongoing 55015
development and maintenance of the data dictionary and data 55016
warehouse. In addition, such funds shall be used to support the 55017
development and implementation of data standards and the design, 55018
development, and implementation of a new data exchange system.55019

       Any provider of software meeting the standards approved by 55020
the Education Data Advisory Council shall be designated as an 55021
approved vendor and may enter into contracts with local school 55022
districts, community schools, information technology centers, or 55023
other educational entities for the purpose of collecting and 55024
managing data required under Ohio's education management 55025
information system (EMIS) laws. On an annual basis, the Department 55026
of Education shall convene an advisory group of school districts, 55027
community schools, and other education-related entities to review 55028
the Education Management Information System data definitions and 55029
data format standards. The advisory group shall recommend changes 55030
and enhancements based upon surveys of its members, education 55031
agencies in other states, and current industry practices, to 55032
reflect best practices, align with federal initiatives, and meet 55033
the needs of school districts.55034

       School districts and community schools not implementing a 55035
common and uniform set of data definitions and data format 55036
standards for Education Management Information System purposes 55037
shall have all EMIS funding withheld until they are in compliance.55038

       Section 269.20.50. GED TESTING55039

       The foregoing appropriation item 200-447, GED Testing, shall 55040
be used to provide General Educational Development (GED) testing 55041
at no cost to applicants, under rules adopted by the State Board 55042
of Education. The Department of Education shall reimburse school 55043
districts and community schools, created under Chapter 3314. of 55044
the Revised Code, for a portion of the costs incurred in providing 55045
summer instructional or intervention services to students who have 55046
not graduated because of their inability to pass one or more parts 55047
of the state's Ohio Graduation Test or ninth grade proficiency55048
test. School districts shall also provide such services to 55049
students who are residents of the district under section 3313.64 55050
of the Revised Code, but who are enrolled in chartered, nonpublic 55051
schools. The services shall be provided in the public school, in 55052
nonpublic schools, in public centers, or in mobile units located 55053
on or off the nonpublic school premises. No school district shall 55054
provide summer instructional or intervention services to nonpublic 55055
school students as authorized by this section unless such services55056
are available to students attending the public schools within the 55057
district. No school district shall provide services for use in 55058
religious courses, devotional exercises, religious training, or 55059
any other religious activity. Chartered, nonpublic schools shall 55060
pay for any unreimbursed costs incurred by school districts for 55061
providing summer instruction or intervention services to students 55062
enrolled in chartered, nonpublic schools. School districts may 55063
provide these services to students directly or contract with 55064
postsecondary or nonprofit community-based institutions in55065
providing instruction.55066

       Section 269.20.60. EDUCATOR PREPARATION55067

        The foregoing appropriation item 200-448, Educator 55068
Preparation, may be used by the Department to support the Educator 55069
Standards Board under section 3319.61 of the Revised Code as it 55070
develops and recommends to the State Board of Education standards 55071
for educator training and standards for teacher and other school 55072
leadership positions. Any remaining funds may be used by the 55073
Department to develop alternative preparation programs for school 55074
leaders.55075

       Section 269.20.70. COMMUNITY SCHOOLS55076

       Of the foregoing appropriation item 200-455, Community55077
Schools, up to $1,308,661 in each fiscal year may be used by the 55078
Department of Education for additional services and 55079
responsibilities under section 3314.11 of the Revised Code.55080

       Of the foregoing appropriation item 200-455, Community 55081
Schools, up to $225,000 in each fiscal year may be used by the 55082
Department of Education for developing and conducting training 55083
sessions for sponsors and prospective sponsors of community 55084
schools as prescribed in division (A)(1) of section 3314.015 of 55085
the Revised Code. In developing the training sessions, the 55086
Department shall collect and disseminate examples of best 55087
practices used by sponsors of independent charter schools in Ohio 55088
and other states.55089

       Section 269.20.80. PUPIL TRANSPORTATION55090

       Of the foregoing appropriation item 200-502, Pupil55091
Transportation, up to $830,624 in fiscal year 2008 and up to 55092
$838,930 in fiscal year 2009 may be used by the Department of55093
Education for training prospective and experienced school bus55094
drivers in accordance with training programs prescribed by the55095
Department. Up to $59,870,514 in fiscal year 2008 and up to 55096
$60,469,220 in fiscal year 2009 may be used by the Department of 55097
Education for special education transportation reimbursements to 55098
school districts and county MR/DD boards for transportation 55099
operating costs as provided in division (J) of section 3317.024 of 55100
the Revised Code. The remainder of appropriation item 200-502,55101
Pupil Transportation, shall be used for the state reimbursement of55102
public school districts' costs in transporting pupils to and from55103
the school they attend in accordance with the district's policy,55104
State Board of Education standards, and the Revised Code.55105

       Notwithstanding the distribution formula outlined in division 55106
(D) of section 3317.022 of the Revised Code, each school district 55107
shall receive an additional one per cent in state funding for 55108
transportation in fiscal year 2008 over what was received in 55109
fiscal year 2007, and the local share of transportation costs that 55110
is used in the calculation of the charge-off supplement and excess 55111
cost supplement for each school district in fiscal year 2008 shall 55112
be increased by one per cent from that used in calculations in 55113
fiscal year 2007.55114

        Notwithstanding the distribution formula outlined in division 55115
(D) of section 3317.022 of the Revised Code, each school district 55116
shall receive an additional one per cent in state funding for 55117
transportation in fiscal year 2009 over what was received in 55118
fiscal year 2008, and the local share of transportation costs that 55119
is used in the calculation of the charge-off supplement and excess 55120
cost supplement for each school district in fiscal year 2009 shall 55121
be increased by one per cent from that used in calculations in 55122
fiscal year 2008.55123

        School districts not receiving state funding for 55124
transportation in fiscal year 2005 under division (D) of section 55125
3317.022 of the Revised Code shall not receive state funding for 55126
transportation in fiscal year 2008 or fiscal year 2009.55127

       Section 269.20.90. BUS PURCHASE ALLOWANCE55128

       The foregoing appropriation item 200-503, Bus Purchase55129
Allowance, shall be distributed to school districts, educational 55130
service centers, and county MR/DD boards pursuant to rules adopted 55131
under section 3317.07 of the Revised Code. Up to 28 per cent of 55132
the amount appropriated may be used to reimburse school districts 55133
and educational service centers for the purchase of buses to55134
transport handicapped and nonpublic school students and to county 55135
MR/DD boards, the Ohio School for the Deaf, and the Ohio School 55136
for the Blind for the purchase of buses to transport handicapped 55137
students.55138

       SCHOOL LUNCH MATCH55139

       The foregoing appropriation item 200-505, School Lunch Match,55140
shall be used to provide matching funds to obtain federal funds55141
for the school lunch program.55142

       Section 269.30.10.  ADULT LITERACY EDUCATION55143

       The foregoing appropriation item 200-509, Adult Literacy55144
Education, shall be used to support adult basic and literacy55145
education instructional programs and the State Literacy Resource55146
Center Program.55147

       Of the foregoing appropriation item 200-509, Adult Literacy55148
Education, up to $488,037 in each fiscal year shall be used for 55149
the support and operation of the State Literacy Resource Center.55150

       Of the foregoing appropriation item 200-509, Adult Literacy 55151
Education, up to $175,000 in each fiscal year shall be used for 55152
state reimbursement to school districts for adult high school 55153
continuing education programs under section 3313.531 of the 55154
Revised Code or for costs associated with awarding adult high 55155
school diplomas under section 3313.611 of the Revised Code.55156

       Of the foregoing appropriation item 200-509, Adult Literacy 55157
Education, $130,000 in each fiscal year shall be used to support 55158
initiatives for English as a Second Language programs. Funding 55159
shall be distributed as follows: $60,000 in each fiscal year for 55160
Jewish Community Federation of Cleveland, $25,000 in each fiscal 55161
year for Yassenoff Jewish Community Center of Columbus, $30,000 in 55162
each fiscal year for Jewish Family Services of Cincinnati, and 55163
$15,000 in each fiscal year for Jewish Family Services of Dayton.55164

       The remainder of the appropriation shall be used to continue 55165
to satisfy the state match and maintenance of effort requirements 55166
for the support and operation of the Department of 55167
Education-administered instructional grant program for adult basic 55168
and literacy education in accordance with the Department's state 55169
plan for adult basic and literacy education as approved by the 55170
State Board of Education and the Secretary of the United States 55171
Department of Education.55172

       Section 269.30.20. AUXILIARY SERVICES55173

       The foregoing appropriation item 200-511, Auxiliary Services,55174
shall be used by the Department of Education for the purpose of55175
implementing section 3317.06 of the Revised Code. Of the55176
appropriation, up to $2,060,000 in fiscal year 2008 and up to 55177
$2,121,800 in fiscal year 2009 may be used for payment of the55178
Post-Secondary Enrollment Options Program for nonpublic students. 55179
Notwithstanding section 3365.10 of the Revised Code, the 55180
Department, in accordance with Chapter 119. of the Revised Code, 55181
shall adopt rules governing the distribution method for these 55182
funds.55183

       POSTSECONDARY ADULT CAREER-TECHNICAL EDUCATION55184

       Of the foregoing appropriation item 200-514, Postsecondary 55185
Adult Career-Technical Education, $40,000 in each fiscal year 55186
shall be used for statewide coordination of the activities of the 55187
Ohio Young Farmers.55188

       The remainder of appropriation item 200-514, Postsecondary 55189
Adult Career-Technical Education, shall be used by the State Board 55190
of Education to provide postsecondary adult career-technical 55191
education under sections 3313.52 and 3313.53 of the Revised Code.55192

       Section 269.30.30. GIFTED PUPIL PROGRAM55193

       The foregoing appropriation item 200-521, Gifted Pupil55194
Program, shall be used for gifted education units not to exceed 55195
1,110 in each fiscal year under division (L) of section 3317.024 55196
and division (F) of section 3317.05 of the Revised Code.55197

       Of the foregoing appropriation item 200-521, Gifted Pupil55198
Program, up to $4,747,000 in fiscal year 2008 and up to $4,794,470 55199
in fiscal year 2009 may be used as an additional supplement for 55200
identifying gifted students under Chapter 3324. of the Revised 55201
Code.55202

       Of the foregoing appropriation item 200-521, Gifted Pupil55203
Program, the Department of Education may expend up to $1,015,85855204
in fiscal year 2008 and up to $1,026,017 in fiscal year 2009 for 55205
the Summer Honors Institute, including funding for the Martin 55206
Essex Program, which shall be awarded through a request for 55207
proposals process.55208

       NONPUBLIC ADMINISTRATIVE COST REIMBURSEMENT55209

       The foregoing appropriation item 200-532, Nonpublic55210
Administrative Cost Reimbursement, shall be used by the Department 55211
of Education for the purpose of implementing section 3317.063 of 55212
the Revised Code.55213

       Section 269.30.40. OHIO CORE SUPPORT55214

       The foregoing appropriation item 200-536, Ohio Core Support, 55215
shall be used to support implementation of the Ohio Core Program, 55216
which requires establishment of a rigorous high school curriculum 55217
for Ohio's high school students. The Department of Education and 55218
the Board of Regents shall jointly plan and work collaboratively 55219
to guide implementation of the Ohio Core Program and to administer 55220
funding to eligible school districts, fiscal agents, individuals, 55221
and programs as determined under this section. The Department of 55222
Education and the Board of Regents shall jointly agree to the 55223
awarding and expenditure of funds appropriated in this section.55224

        Of the foregoing appropriation item 200-536, Ohio Core 55225
Support, up to $2,600,000 in fiscal year 2008 and up to $3,000,000 55226
in fiscal year 2009 shall be used to support the participation of 55227
teachers licensed in Ohio and mid-career professionals not 55228
currently employed by a school district or chartered nonpublic 55229
school or licensed to teach at the primary or secondary education 55230
levels in a twelve-month intensive training program that leads to 55231
teacher licensure in a laboratory-based science, advanced 55232
mathematics, or foreign language field at the secondary education 55233
level and employment with an Ohio school district school 55234
designated by the Department of Education as a hard to staff 55235
school.55236

        Of the foregoing appropriation item 200-536, Ohio Core 55237
Support, up to $1,500,000 in fiscal year 2008 and up to $2,100,000 55238
in fiscal year 2009 shall be used to support alternative teacher 55239
licensure programs developed by educational service centers in 55240
partnership with institutions of higher education. Participants 55241
shall be teachers licensed in Ohio and mid-career professionals 55242
not currently employed by a school district or chartered nonpublic 55243
school or licensed to teach at the primary or secondary education 55244
levels. Programs shall support teacher licensure in a 55245
laboratory-based science, advanced mathematics, or foreign 55246
language field at the secondary education level and employment 55247
with an Ohio school district school designated by the Department 55248
of Education as a hard to staff school. The programs shall be 55249
consistent with the State Board of Education's alternative 55250
licensure requirements.55251

        Of the foregoing appropriation item 200-536, Ohio Core 55252
Support, up to $3,600,000 in each fiscal year shall be distributed 55253
to school districts, and to public fiscal agents on behalf of 55254
chartered nonpublic schools, to be used to obtain contracted 55255
instruction with institutions of higher education in advanced 55256
mathematics, laboratory-based science, or foreign language for 55257
public and chartered nonpublic high school students that results 55258
in dual high school and college credit. Costs shall be based upon 55259
reasonable expenses that institutions of higher education could 55260
incur for faculty, supplies, and other associated costs.55261

        Of the foregoing appropriation item 200-536, Ohio Core 55262
Support, up to $6,425,000 in fiscal year 2009 shall be distributed 55263
to public school districts for supplemental post-secondary 55264
enrollment option participation. The Partnership for Continued 55265
Learning shall make program recommendations by October 31, 2007, 55266
to the Department of Education and the Board of Regents to remove 55267
school district barriers to participation and improve the quality 55268
of course offerings, ensuring that credit earned at institutions 55269
of higher education will apply toward high school graduation 55270
requirements and associate or baccalaureate degree requirements. 55271
Eligibility requirements and grant amounts awarded to school 55272
districts in fiscal year 2009 for the program shall be determined 55273
by criteria established by the Department of Education in 55274
collaboration with the Board of Regents and the Partnership for 55275
Continued Learning.55276

       Section 269.30.50. SPECIAL EDUCATION ENHANCEMENTS55277

       Of the foregoing appropriation item 200-540, Special55278
Education Enhancements, up to $2,906,875 in each fiscal year shall 55279
be used for home instruction for children with disabilities; up to55280
$1,462,500 in each fiscal year shall be used for parent mentoring 55281
programs; and up to $2,783,396 in each fiscal year may be used for 55282
school psychology interns.55283

       Of the foregoing appropriation item 200-540, Special 55284
Education Enhancements, $750,000 in each fiscal year shall be used 55285
for the Out of School Initiative of Sinclair Community College.55286

       Of the foregoing appropriation item 200-540, Special 55287
Education Enhancements, $200,000 shall be used for a preschool 55288
special education pilot program in Bowling Green City School 55289
District.55290

       Of the foregoing appropriation item 200-540, Special 55291
Education Enhancements, $200,000 in each fiscal year shall be used 55292
to support the Bellefaire Jewish Children's Bureau.55293

        Of the foregoing appropriation item 200-540, Special55294
Education Enhancements, up to $82,707,558 in fiscal year 2008 and55295
up to $83,371,505 in fiscal year 2009 shall be distributed by the55296
Department of Education to county boards of mental retardation and55297
developmental disabilities, educational service centers, and55298
school districts for preschool special education units and55299
preschool supervisory units under section 3317.052 of the Revised 55300
Code. The Department may reimburse county boards of mental 55301
retardation and developmental disabilities, educational service 55302
centers, and school districts for related services as defined in 55303
rule 3301-51-11 of the Administrative Code, for preschool55304
occupational and physical therapy services provided by a physical55305
therapy assistant and certified occupational therapy assistant,55306
and for an instructional assistant. To the greatest extent 55307
possible, the Department of Education shall allocate these units 55308
to school districts and educational service centers.55309

       No physical therapy assistant who provides services under 55310
this section shall fail to practice in accordance with the 55311
requirements of Chapter 4755. of the Revised Code and rules 55312
4755-27-02 and 4755-27-03 of the Administrative Code. No 55313
occupational therapy assistant who provides services under this 55314
section shall fail to practice in accordance with the requirements 55315
of Chapter 4755. of the Revised Code and rules 4755-7-01 and 55316
4755-7-03 of the Administrative Code.55317

       The Department of Education shall require school districts,55318
educational service centers, and county MR/DD boards serving55319
preschool children with disabilities to document child progress55320
using research-based indicators prescribed by the Department and 55321
report results annually. The reporting dates and method shall be55322
determined by the Department.55323

       Of the foregoing appropriation item 200-540, Special 55324
Education Enhancements, up to $405,000 in each fiscal year shall 55325
be used for the Collaborative Language and Literacy Instruction 55326
Project.55327

       Of the foregoing appropriation item 200-540, Special 55328
Education Enhancements, $325,000 in each fiscal year shall be used 55329
by the Ohio Center for Autism and Low Incidence to contract with 55330
the Delaware-Union Educational Service Center for the provision of 55331
autism transition services.55332

       Of the foregoing appropriation item 200-540, Special 55333
Education Enhancements, $75,000 in each fiscal year shall be used 55334
for Leaf Lake/Geauga Educational Assistance Funding.55335

       The remainder of appropriation item 200-540, Special55336
Education Enhancements, shall be used to fund special education 55337
and related services at county boards of mental retardation and 55338
developmental disabilities for eligible students under section 55339
3317.20 of the Revised Code and at institutions for eligible 55340
students under section 3317.201 of the Revised Code.55341

       Section 269.30.60. CAREER-TECHNICAL EDUCATION ENHANCEMENTS55342

       Of the foregoing appropriation item 200-545, Career-Technical55343
Education Enhancements, up to $2,509,152 in fiscal year 2008 and 55344
up to $2,584,427 in fiscal year 2009 shall be used to fund 55345
career-technical education units at institutions.55346

       Of the foregoing appropriation item 200-545, Career-Technical55347
Education Enhancements, up to $2,621,507 in each fiscal year shall 55348
be used by the Department of Education to fund competitive grants 55349
to tech prep consortia that expand the number of students enrolled 55350
in tech prep programs. These grant funds shall be used to directly55351
support expanded tech prep programs, including equipment, provided55352
to students enrolled in school districts, including joint55353
vocational school districts, and affiliated higher education55354
institutions.55355

       Of the foregoing appropriation item 200-545, Career-Technical55356
Education Enhancements, up to $3,401,000 in each fiscal year shall55357
be used by the Department of Education to support existing High 55358
Schools That Work (HSTW) sites, develop and support new sites,55359
fund technical assistance, and support regional centers and middle55360
school programs. The purpose of HSTW is to combine challenging55361
academic courses and modern career-technical studies to raise the 55362
academic achievement of students. HSTW provides intensive55363
technical assistance, focused staff development, targeted55364
assessment services, and ongoing communications and networking55365
opportunities.55366

       Of the foregoing appropriation item 200-545, Career-Technical 55367
Education Enhancements, up to $466,992 in each fiscal year shall 55368
be allocated for the Ohio Career Information System (OCIS) and 55369
used for the dissemination of career information data to public 55370
schools, libraries, rehabilitation centers, two- and four-year 55371
colleges and universities, and other governmental units.55372

       Of the foregoing appropriation item 200-545, Career-Technical55373
Educational Enhancements, up to $300,000 in each fiscal year shall 55374
be used by the Department of Education to enable students in55375
agricultural programs to enroll in a fifth quarter of instruction 55376
based on the agricultural education model of delivering work-based55377
learning through supervised agricultural experience. The55378
Department of Education shall determine eligibility criteria and 55379
the reporting process for the Agriculture 5th Quarter Project and 55380
shall fund as many programs as possible given the set aside.55381

       Section 269.30.70. FOUNDATION FUNDING55382

       The foregoing appropriation item 200-550, Foundation Funding,55383
includes $75,000,000 in each fiscal year for the state education55384
aid offset due to the change in public utility valuation as a55385
result of Am. Sub. S.B. 3 and Am. Sub. S.B. 287, both of the 123rd55386
General Assembly. This amount represents the total state education 55387
aid offset due to the valuation change for school districts and 55388
joint vocational school districts from all relevant appropriation55389
line item sources. Upon certification by the Department of 55390
Education, in consultation with the Department of Taxation, to the 55391
Director of Budget and Management of the actual state aid offset, 55392
the cash transfer from Fund 053, appropriation item 200-900, 55393
School District Property Tax Replacement - Utility, shall be 55394
decreased or increased by the Director of Budget and Management to 55395
match the certification in accordance with section 5727.84 of the 55396
Revised Code.55397

       The foregoing appropriation item 200-550, Foundation Funding, 55398
includes $58,000,000 in fiscal year 2008 and $145,000,000 in 55399
fiscal year 2009 for the state education aid offset because of the 55400
changes in tangible personal property valuation as a result of Am. 55401
Sub. H.B. 66 of the 126th General Assembly. This amount represents 55402
the total state education aid offset because of the valuation 55403
change for school districts and joint vocational school districts 55404
from all relevant appropriation item sources. Upon certification 55405
by the Department of Education of the actual state education aid 55406
offset to the Director of Budget and Management, the cash transfer 55407
from Fund 047, appropriation item 200-909, School District 55408
Property Tax Replacement - Business, shall be decreased or 55409
increased by the Director of Budget and Management to match the 55410
certification in accordance with section 5751.21 of the Revised 55411
Code.55412

       Of the foregoing appropriation item 200-550, Foundation55413
Funding, up to $425,000 shall be expended in each fiscal year for55414
court payments under section 2151.357 of the Revised Code; an 55415
amount shall be available in each fiscal year to fund up to 225 55416
full-time equivalent approved GRADS teacher grants under division 55417
(N) of section 3317.024 of the Revised Code; an amount shall be55418
available in each fiscal year to make payments to school districts 55419
under division (A)(3) of section 3317.022 of the Revised Code; an 55420
amount shall be available in each fiscal year to make payments to 55421
school districts under division (F) of section 3317.022 of the 55422
Revised Code; and up to $30,000,000 in each fiscal year shall be55423
reserved for payments under sections 3317.026, 3317.027, and 55424
3317.028 of the Revised Code except that the Controlling Board may 55425
increase the $30,000,000 amount if presented with such a request 55426
from the Department of Education.55427

        Of the foregoing appropriation item 200-550, Foundation55428
Funding, up to $19,770,000 in fiscal year 2008 and up to 55429
$20,545,200 in fiscal year 2009 shall be used to provide55430
additional state aid to school districts for special education55431
students under division (C)(3) of section 3317.022 of the Revised 55432
Code, except that the Controlling Board may increase these amounts 55433
if presented with such a request from the Department of Education 55434
at the final meeting of the fiscal year; up to $2,000,000 in each 55435
fiscal year shall be reserved for Youth Services tuition payments55436
under section 3317.024 of the Revised Code; and up to $52,000,000 55437
in each fiscal year shall be reserved to fund the state 55438
reimbursement of educational service centers under section 3317.11 55439
of the Revised Code and the section of this act entitled 55440
"EDUCATIONAL SERVICE CENTERS FUNDING." An amount shall be 55441
available for special education weighted funding under division 55442
(C)(1) of section 3317.022 and division (D)(1) of section 3317.16 55443
of the Revised Code.55444

       Of the foregoing appropriation item 200-550, Foundation 55445
Funding, an amount shall be available in each fiscal year to be 55446
used by the Department of Education for transitional aid for 55447
school districts and joint vocational school districts. Funds 55448
shall be distributed under the sections of this act entitled 55449
"TRANSITIONAL AID FOR CITY, LOCAL, AND EXEMPTED VILLAGE SCHOOL 55450
DISTRICTS" and "TRANSITIONAL AID FOR JOINT VOCATIONAL SCHOOL 55451
DISTRICTS."55452

       Of the foregoing appropriation item 200-550, Foundation55453
Funding, up to $1,000,000 in each fiscal year shall be used by the55454
Department of Education for a program to pay for educational55455
services for youth who have been assigned by a juvenile court or55456
other authorized agency to any of the facilities described in55457
division (A) of the section of this act entitled "PRIVATE 55458
TREATMENT FACILITY PROJECT."55459

       Of the foregoing appropriation item 200-550, Foundation55460
Funding, up to $3,700,000 in each fiscal year shall be used for 55461
school breakfast programs. Of this amount, up to $900,000 shall be 55462
used in each fiscal year by the Department of Education to 55463
contract with the Children's Hunger Alliance to expand access to 55464
child nutrition programs consistent with the organization's 55465
continued ability to meet specified performance measures as 55466
detailed in the contract. Of this amount, the Children's Hunger 55467
Alliance shall use at least $150,000 in each fiscal year to 55468
subcontract with an appropriate organization or organizations to 55469
expand summer food participation in underserved areas of the 55470
state, consistent with those organizations' continued ability to 55471
meet specified performance measures as detailed in the 55472
subcontracts. The remainder of the appropriation shall be used to 55473
partially reimburse school buildings within school districts that 55474
are required to have a school breakfast program under section 55475
3313.813 of the Revised Code, at a rate decided by the Department.55476

       Of the foregoing appropriation item 200-550, Foundation 55477
Funding, up to $8,686,000 in fiscal year 2008 and up to $8,722,860 55478
in fiscal year 2009 shall be used to operate the school choice 55479
program in the Cleveland Municipal School District under sections 55480
3313.974 to 3313.979 of the Revised Code.55481

       Of the portion of the funds distributed to the Cleveland 55482
Municipal School District under this section, up to $11,901,887 in 55483
each fiscal year shall be used to operate the school choice 55484
program in the Cleveland Municipal School District under sections55485
3313.974 to 3313.979 of the Revised Code.55486

       Of the foregoing appropriation item 200-550, Foundation 55487
Funding, $2,400,000 in fiscal year 2008 and $2,700,000 in fiscal 55488
year 2009 shall be used in conjunction with funding appropriated 55489
under appropriation item 200-408, Early Childhood Education, to 55490
pay the costs of early childhood education programs under Section 55491
269.10.20 of this act.55492

       The remaining portion of appropriation item 200-550, 55493
Foundation Funding, shall be expended for the public schools of 55494
city, local, exempted village, and joint vocational school 55495
districts, including base-cost funding, special education speech 55496
service enhancement funding, career-technical education weight55497
funding, career-technical education associated service funding,55498
teacher training and experience funding, charge-off supplement, 55499
and excess cost supplement under sections 3317.022, 3317.023, 55500
3317.0216, and 3317.16 of the Revised Code.55501

       Appropriation items 200-502, Pupil Transportation, 200-521, 55502
Gifted Pupil Program, 200-540, Special Education Enhancements, and 55503
200-550, Foundation Funding, other than specific set-asides, are 55504
collectively used in each fiscal year to pay state formula aid 55505
obligations for school districts and joint vocational school 55506
districts under Chapter 3317. of the Revised Code. The first 55507
priority of these appropriation items, with the exception of 55508
specific set-asides, is to fund state formula aid obligations 55509
under Chapter 3317. of the Revised Code. It may be necessary to 55510
reallocate funds among these appropriation items or use excess 55511
funds from other general revenue fund appropriation items in the 55512
Department of Education's budget in each fiscal year, in order to 55513
meet state formula aid obligations. If it is determined that it is 55514
necessary to transfer funds among these appropriation items or to 55515
transfer funds from other General Revenue Fund appropriations in 55516
the Department of Education's budget to meet state formula aid 55517
obligations, the Department of Education shall seek approval from 55518
the Controlling Board to transfer funds as needed.55519

       Section 269.30.80. TRANSITIONAL AID FOR CITY, LOCAL, AND 55520
EXEMPTED VILLAGE SCHOOL DISTRICTS55521

       (A) The Department of Education shall distribute funds within 55522
appropriation item 200-550, Foundation Funding, for transitional 55523
aid in each fiscal year to each qualifying city, local, and 55524
exempted village school district.55525

        For fiscal years 2008 and 2009, the Department shall pay 55526
transitional aid to each city, local, or exempted village school 55527
district that experiences any decrease in its SF-3 funding for the 55528
current fiscal year from its transitional aid guarantee base for 55529
the current fiscal year. The amount of the transitional aid 55530
payment shall equal the difference between the district's SF-3 55531
funding for the current fiscal year and its transitional aid 55532
guarantee base for the current fiscal year.55533

        (B)(1) Subject to divisions (B)(3) and (4) of this section, 55534
the transitional aid guarantee base for each city, local, and 55535
exempted village school district for fiscal year 2008 equals the 55536
sum of the following as computed for fiscal year 2007, as 55537
determined based on the final reconciliation of data by the 55538
Department:55539

        (a) Base-cost funding under division (A) of section 3317.022 55540
of the Revised Code;55541

        (b) Special education and related services additional 55542
weighted funding under division (C)(1) of section 3317.022 of the 55543
Revised Code;55544

        (c) Speech services funding under division (C)(4) of section 55545
3317.022 of the Revised Code;55546

        (d) Vocational education additional weighted funding under 55547
division (E) of section 3317.022 of the Revised Code;55548

        (e) GRADS funding under division (N) of section 3317.024 of 55549
the Revised Code;55550

        (f) Adjustments for classroom teachers and educational 55551
service personnel under divisions (B), (C), and (D) of section 55552
3317.023 of the Revised Code;55553

        (g) Poverty-Based Assistance under section 3317.029 of the 55554
Revised Code;55555

        (h) Gifted education units under division (L) of section 55556
3317.024 and section 3317.05 of the Revised Code;55557

        (i) Transportation under Section 206.09.21 of Am. Sub. H.B. 55558
66 of the 126th General Assembly, as subsequently amended;55559

        (j) The excess cost supplement under division (F) of section 55560
3317.022 of the Revised Code;55561

        (k) Parity aid under section 3317.0217 of the Revised Code;55562

        (l) The reappraisal guarantee under division (C) of section 55563
3317.04 of the Revised Code;55564

        (m) The charge-off supplement under section 3317.0216 of the 55565
Revised Code;55566

       (n) Transitional aid under Section 206.09.39 of Am. Sub. H.B. 55567
66 of the 126th General Assembly, as subsequently amended.55568

        (2) Subject to divisions (B)(3) and (4) of this section, the 55569
transitional aid guarantee base for each city, local, and exempted 55570
village school district for fiscal year 2009 equals the sum of the 55571
following as computed for fiscal year 2008, as determined based on 55572
the final reconciliation of data by the Department:55573

        (a) Base-cost funding under division (A) of section 3317.022 55574
of the Revised Code;55575

        (b) Special education and related services additional 55576
weighted funding under division (C)(1) of section 3317.022 of the 55577
Revised Code;55578

        (c) Speech services funding under division (C)(4) of section 55579
3317.022 of the Revised Code;55580

        (d) Vocational education additional weighted funding under 55581
division (E) of section 3317.022 of the Revised Code;55582

        (e) GRADS funding under division (N) of section 3317.024 of 55583
the Revised Code;55584

        (f) Adjustments for classroom teachers and educational 55585
service personnel under divisions (B), (C), and (D) of section 55586
3317.023 of the Revised Code;55587

        (g) Gifted education units under division (L) of section 55588
3317.024 and section 3317.05 of the Revised Code;55589

        (h) Transportation under the section of this act entitled 55590
"PUPIL TRANSPORTATION";55591

        (i) The excess cost supplement under division (F) of section 55592
3317.022 of the Revised Code;55593

        (j) The charge-off supplement under section 3317.0216 of the 55594
Revised Code;55595

       (k) Transitional aid under this section.55596

        (3) The SF-3 funding for each fiscal year for each district 55597
is the sum of the amounts specified in divisions (B)(2)(a) to (k) 55598
of this section less any general revenue fund spending reductions 55599
ordered by the Governor under section 126.05 of the Revised Code.55600

       (4) Notwithstanding divisions (B)(1) and (2) of this section, 55601
if the Superintendent of Public Instruction determines that the 55602
transitional aid guarantee base for a given fiscal year reflects 55603
an error in formula ADM, the Superintendent may consult with the 55604
Director of Budget and Management, and then adjust the 55605
transitional aid guarantee base for that fiscal year.55606

       Section 269.30.90. TRANSITIONAL AID FOR JOINT VOCATIONAL 55607
SCHOOL DISTRICTS55608

        (A) The Department of Education shall distribute funds within 55609
appropriation item 200-550, Foundation Funding, for transitional 55610
aid in each fiscal year to each joint vocational school district 55611
that experiences a decrease in its joint vocational funding for 55612
the current fiscal year from the previous fiscal year. The 55613
Department shall distribute to each such district transitional aid 55614
in an amount equal to the decrease in the district's joint 55615
vocational funding from the previous fiscal year.55616

        (B)(1) Subject to divisions (B)(2) and (3) of this section, a 55617
district's joint vocational funding equals the sum of the 55618
following:55619

        (a) Base-cost funding under division (B) of section 3317.16 55620
of the Revised Code;55621

        (b) Special education and related services additional 55622
weighted funding under division (D)(1) of section 3317.16 of the 55623
Revised Code;55624

        (c) Speech services funding under division (D)(2) of section 55625
3317.16 of the Revised Code;55626

        (d) Vocational education additional weighted funding under 55627
division (C) of section 3317.16 of the Revised Code;55628

        (e) GRADS funding under division (N) of section 3317.024 of 55629
the Revised Code.55630

        (2) For purposes of calculating transitional aid for fiscal 55631
year 2008, a district's fiscal year 2007 joint vocational funding 55632
is the sum of the amounts described in divisions (B)(1)(a) to (e) 55633
of this section, plus any transitional aid paid to the district 55634
under Section 206.09.42 of Am. Sub. H.B. 66 of the 126th General 55635
Assembly, as subsequently amended, that the district actually 55636
received for fiscal year 2007, as determined based on the final 55637
reconciliation of data by the Department. For purposes of 55638
calculating transitional aid for fiscal year 2009, a district's 55639
fiscal year 2008 joint vocational funding is the sum of the 55640
amounts described in divisions (B)(1)(a) to (e) of this section, 55641
plus any transitional aid paid to the district under this section, 55642
that the district actually received for fiscal year 2008, as 55643
determined based on the final reconciliation of data by the 55644
Department.55645

        (3) The joint vocational funding for each fiscal year for 55646
each district is the sum of the amounts specified in divisions 55647
(B)(1)(a) to (e) and (B)(2) of this section less any general 55648
revenue fund spending reductions ordered by the Governor under 55649
section 126.05 of the Revised Code.55650

       Section 269.40.10. LITERACY IMPROVEMENT-CLASSROOM GRANTS55651

        The foregoing appropriation item 200-566, Literacy 55652
Improvement-Classroom Grants, shall be disbursed by the Department 55653
of Education to provide reading improvement grants to public 55654
schools in city, local, and exempted village school districts;55655
community schools; and educational service centers serving 55656
kindergarten through twelfth grade students to help struggling 55657
students improve their reading skills, improve reading outcomes in 55658
low-performing schools, and help close achievement gaps.55659

       VIOLENCE PREVENTION AND SCHOOL SAFETY55660

       Of the foregoing appropriation item 200-578, Violence 55661
Prevention and School Safety, up to $224,250 in each fiscal year 55662
shall be used to fund a safe school center to provide resources 55663
for parents and for school and law enforcement personnel.55664

       The remainder of the appropriation shall be distributed based 55665
on guidelines developed by the Department of Education to enhance 55666
school safety. The guidelines shall provide a list of 55667
research-based best practices and programs from which local 55668
grantees shall select based on local needs. These practices shall 55669
include, but not be limited to, school resource officers and safe 55670
and drug free school coordinators and social-emotional development 55671
programs.55672

       Section 269.40.20. PROPERTY TAX ALLOCATION - EDUCATION55673

       The Superintendent of Public Instruction shall not request,55674
and the Controlling Board shall not approve, the transfer of funds55675
from appropriation item 200-901, Property Tax Allocation - 55676
Education, to any other appropriation item.55677

       The appropriation item 200-901, Property Tax Allocation -55678
Education, is appropriated to pay for the state's costs incurred55679
because of the homestead exemption and the property tax rollback. 55680
In cooperation with the Department of Taxation, the Department of55681
Education shall distribute these funds directly to the appropriate55682
school districts of the state, notwithstanding sections 321.24 and55683
323.156 of the Revised Code, which provide for payment of the55684
homestead exemption and property tax rollback by the Tax55685
Commissioner to the appropriate county treasurer and the55686
subsequent redistribution of these funds to the appropriate local55687
taxing districts by the county auditor.55688

       Appropriation item 200-906, Tangible Tax Exemption -55689
Education, is appropriated to pay for the state's costs incurred 55690
because of the tangible personal property tax exemption required 55691
by division (C)(3) of section 5709.01 of the Revised Code. In55692
cooperation with the Department of Taxation, the Department of55693
Education shall distribute to each county treasurer the total55694
amount appearing in the notification from the county treasurer55695
under division (G) of section 321.24 of the Revised Code, for all55696
school districts located in the county, notwithstanding section 55697
321.24 of the Revised Code insofar as it provides for payment of 55698
the $10,000 tangible personal property tax exemption by the Tax55699
Commissioner to the appropriate county treasurer for all local 55700
taxing districts located in the county. Pursuant to division (G) 55701
of section 321.24 of the Revised Code, the county auditor shall 55702
distribute the amount paid by the Department of Education among 55703
the appropriate school districts.55704

       Upon receipt of these amounts, each school district shall55705
distribute the amount among the proper funds as if it had been55706
paid as real or tangible personal property taxes. Payments for the 55707
costs of administration shall continue to be paid to the county 55708
treasurer and county auditor as provided for in sections 319.54, 55709
321.26, and 323.156 of the Revised Code.55710

       Any sums, in addition to the amounts specifically55711
appropriated in appropriation items 200-901, Property Tax55712
Allocation - Education, for the homestead exemption and the55713
property tax rollback payments, and 200-906, Tangible Tax55714
Exemption - Education, for the $10,000 tangible personal property55715
tax exemption payments, which are determined to be necessary for55716
these purposes, are hereby appropriated.55717

       Section 269.40.30.  TEACHER CERTIFICATION AND LICENSURE55718

       The foregoing appropriation item 200-681, Teacher55719
Certification and Licensure, shall be used by the Department of55720
Education in each year of the biennium to administer and support 55721
teacher certification and licensure activities.55722

       SCHOOL DISTRICT SOLVENCY ASSISTANCE55723

       Of the foregoing appropriation item 200-687, School District55724
Solvency Assistance, $9,000,000 in each fiscal year shall be55725
allocated to the School District Shared Resource Account and55726
$9,000,000 in each fiscal year shall be allocated to the55727
Catastrophic Expenditures Account. These funds shall be used to55728
provide assistance and grants to school districts to enable them55729
to remain solvent under section 3316.20 of the Revised Code.55730
Assistance and grants shall be subject to approval by the55731
Controlling Board. Any required reimbursements from school55732
districts for solvency assistance shall be made to the appropriate55733
account in the School District Solvency Assistance Fund (Fund 55734
5H3).55735

       Notwithstanding any provision of law to the contrary, upon 55736
the request of the Superintendent of Public Instruction, the 55737
Director of Budget and Management may make transfers to the School 55738
District Solvency Assistance Fund (Fund 5H3) from any Department 55739
of Education-administered fund or the General Revenue Fund to 55740
maintain sufficient cash balances in the School District Solvency 55741
Assistance Fund (Fund 5H3) in fiscal years 2008 and 2009. Any 55742
funds transferred are hereby appropriated. The transferred funds 55743
may be used by the Department of Education to provide assistance 55744
and grants to school districts to enable them to remain solvent 55745
and to pay unforeseeable expenses of a temporary or emergency 55746
nature that the school district is unable to pay from existing 55747
resources. The Director of Budget and Management shall notify the 55748
members of the Controlling Board of any such transfers.55749

       Section 269.40.40.  READING FIRST55750

        The foregoing appropriation item 200-632, Reading First, 55751
shall be used by school districts to administer federal diagnostic 55752
tests as well as other functions permitted by federal statute. 55753
Notwithstanding section 3301.079 of the Revised Code, federal 55754
diagnostic tests may be recognized as meeting the state diagnostic 55755
testing requirements outlined in section 3301.079 of the Revised 55756
Code.55757

       IMPROVING TEACHER QUALITY55758

       For fiscal years 2008 and 2009, the Department of Education 55759
shall provide funding to the Ohio Wyami Appalachian Teacher 55760
Cohorts Program under the Columbiana County Educational Service 55761
Center to provide teacher professional development in Ohio's 55762
Appalachian counties. The program shall provide professional 55763
development that is based on a review of scientifically based 55764
research and is expected to improve student academic achievement 55765
as required by Title II of the "No Child Left Behind Act of 2001," 55766
115 Stat. 1425, 20 U.S.C. 6612 et seq., for approximately eighty 55767
public and charter nonpublic teachers from Ohio's Appalachian 55768
counties each year. The Department of Education shall provide 55769
$900,000 in federal grant funds from the State Grants for55770
Improving Teacher Quality Program to the Columbiana County55771
Educational Service Center for this purpose. The Center shall not 55772
expend these funds outside of Ohio.55773

        HALF-MILL MAINTENANCE EQUALIZATION55774

        The foregoing appropriation item 200-626, Half-Mill 55775
Maintenance Equalization, shall be used to make payments pursuant 55776
to section 3318.18 of the Revised Code.55777

       Section 269.40.50. START-UP FUNDS55778

        Funds appropriated for the purpose of providing start-up 55779
grants to Title IV-A Head Start and Title IV-A Head Start Plus 55780
agencies in fiscal year 2004 and fiscal year 2005 for the 55781
provision of services to children eligible for Title IV-A services 55782
under the Title IV-A Head Start or Title IV-A Head Start Plus 55783
programs shall be reimbursed to the General Revenue Fund as 55784
follows:55785

        (A) If, for fiscal year 2008, an entity that was a Title IV-A 55786
Head Start or Title IV-A Head Start Plus agency will not be an 55787
early learning agency or early learning provider, the entity shall 55788
repay the entire amount of the start-up grant it received in 55789
fiscal year 2004 and fiscal year 2005 not later than June 30, 55790
2009, in accordance with a payment schedule agreed to by the 55791
Department of Education.55792

        (B) If an entity that was a Title IV-A Head Start or Title 55793
IV-A Head Start Plus agency in fiscal year 2004 or fiscal year 55794
2005 will be an early learning agency or early learning provider 55795
in fiscal year 2008 and fiscal year 2009, the entity shall be 55796
allowed to retain any amount of the start-up grant it received.55797

        (C) Within ninety days after the effective date of this 55798
section, the Title IV-A Head Start agencies, Title IV-A Head Start 55799
Plus agencies, and the Department of Education shall determine the 55800
repayment schedule for amounts owed under division (A) of this 55801
section. These amounts shall be paid to the state not later than 55802
June 30, 2009.55803

       (D) If an entity that was a Title IV-A Head Start or Title 55804
IV-A Head Start Plus agency in fiscal year 2004 or fiscal year 55805
2005 owed the state any portion of the start-up grant amount 55806
during fiscal year 2006 or fiscal year 2007 but failed to repay 55807
the entire amount of the obligation by June 30, 2007, the entity 55808
shall be given an extension for repayment through June 30, 2009, 55809
before any amounts remaining due and payable to the state are 55810
referred to the Attorney General for collection under section 55811
131.02 of the Revised Code.55812

        (E) Any Title IV-A Head Start or Title IV-A Head Start Plus 55813
start-up grants that are retained by early learning agencies or 55814
early learning providers pursuant to this section shall be 55815
reimbursed to the General Revenue Fund when the early learning 55816
program ceases or is no longer funded from Title IV-A or if an 55817
early learning agency's or early learning provider's participation 55818
in the early learning program ceases or is terminated.55819

       Section 269.40.60. AUXILIARY SERVICES REIMBURSEMENT55820

       Notwithstanding section 3317.064 of the Revised Code, if the55821
unobligated cash balance is sufficient, the Treasurer of State55822
shall transfer $1,500,000 in fiscal year 2008 within thirty days55823
after the effective date of this section, and $1,500,000 in fiscal55824
year 2009 by August 1, 2008, from the Auxiliary Services Personnel55825
Unemployment Compensation Fund to the Department of Education's55826
Auxiliary Services Reimbursement Fund (Fund 598).55827

       Section 269.40.70.  LOTTERY PROFITS EDUCATION FUND55828

       Appropriation item 200-612, Foundation Funding (Fund 017),55829
shall be used in conjunction with appropriation item 200-550, 55830
Foundation Funding (GRF), to provide payments to school districts55831
under Chapter 3317. of the Revised Code.55832

       The Department of Education, with the approval of the55833
Director of Budget and Management, shall determine the monthly55834
distribution schedules of appropriation item 200-550, Foundation55835
Funding (GRF), and appropriation item 200-612, Foundation Funding55836
(Fund 017). If adjustments to the monthly distribution schedule55837
are necessary, the Department of Education shall make such55838
adjustments with the approval of the Director of Budget and55839
Management.55840

       The Director of Budget and Management shall transfer via55841
intrastate transfer voucher the amount appropriated under the55842
Lottery Profits Education Fund for appropriation item 200-682,55843
Lease Rental Payment Reimbursement, to the General Revenue Fund on55844
a schedule determined by the director. These funds shall support55845
the appropriation item 230-428, Lease Rental Payments (GRF), of55846
the School Facilities Commission.55847

       Section 269.40.80.  LOTTERY PROFITS EDUCATION RESERVE FUND55848

       (A) There is hereby created the Lottery Profits Education55849
Reserve Fund (Fund 018) in the State Treasury. Investment earnings55850
of the Lottery Profits Education Reserve Fund shall be credited to55851
the fund. The Superintendent of Public Instruction may certify 55852
cash balances exceeding $75,000,000 in the Lottery Profits 55853
Education Reserve Fund (Fund 018) to the Director of Budget and 55854
Management in June of any given fiscal year. Prior to making the 55855
certification, the Superintendent of Public Instruction shall 55856
determine whether the funds above the $75,000,000 threshold are 55857
needed to help pay for foundation program obligations for that 55858
fiscal year under Chapter 3317. of the Revised Code. If those 55859
funds are needed for the foundation program, the Superintendent of 55860
Public Instruction shall notify and consult with the Director of 55861
Budget and Management to determine the amount that may be 55862
transferred to the Public School Building Fund (Fund 021). Upon 55863
this determination, the Director of Budget and Management shall 55864
transfer the amount from the Lottery Profits Education Reserve 55865
Fund (Fund 018) to the Public School Building Fund (Fund 021). The 55866
amount transferred is hereby appropriated to appropriation item 55867
CAP-622, Public School Buildings.55868

        For fiscal years 2008 and 2009, notwithstanding any 55869
provisions of law to the contrary, amounts necessary to make loans55870
authorized by sections 3317.0210, 3317.0211, and 3317.62 of the55871
Revised Code are hereby appropriated to the Lottery Profits55872
Education Reserve Fund (Fund 018). Loan repayments from loans made 55873
in previous years shall be deposited to the fund.55874

       (B) On July 15, 2007, or as soon as possible thereafter, the 55875
Director of the Ohio Lottery Commission shall certify to the 55876
Director of Budget and Management the amount by which lottery 55877
profit transfers received by the Lottery Profits Education Fund 55878
(Fund 017) exceeded $637,900,000 in fiscal year 2007. The 55879
Director of Budget and Management shall transfer the amount so 55880
certified, plus the cash balance in Fund 017, to the General 55881
Revenue Fund to support appropriation item 200-550, Foundation 55882
Funding.55883

       (C) On July 15, 2008, or as soon as possible thereafter, the 55884
Director of the Ohio Lottery Commission shall certify to the 55885
Director of Budget and Management the amount by which lottery 55886
profit transfers received by the Lottery Profits Education Fund 55887
(Fund 017) exceeded $657,900,000 in fiscal year 2008. The Director 55888
of Budget and Management may transfer the amount so certified, 55889
plus the cash balance in Fund 017, to the Lottery Profits 55890
Education Reserve Fund (Fund 018) or to the General Revenue Fund 55891
to support appropriation item 200-550, Foundation Funding.55892

       (D) Any amounts transferred under division (B) or (C) of this 55893
section may be made available by the Controlling Board in fiscal 55894
years 2008 or 2009, at the request of the Superintendent of Public 55895
Instruction, to provide assistance and grants to school districts 55896
to enable them to remain solvent and to pay unforeseeable expenses 55897
of a temporary or emergency nature that they are unable to pay 55898
from existing resources under section 3316.20 of the Revised Code, 55899
and to provide payments to school districts under Chapter 3317. of 55900
the Revised Code.55901

       Section 269.40.90. GENERAL REVENUE FUND TRANSFERS TO SCHOOL 55902
DISTRICT PROPERTY TAX REPLACEMENT - BUSINESS (FUND 047)55903

       Notwithstanding any provision of law to the contrary, in 55904
fiscal year 2008 and fiscal year 2009 the Director of Budget and 55905
Management may make temporary transfers between the General 55906
Revenue Fund and the School District Property Tax Replacement – 55907
Business Fund (Fund 047) in the Department of Education to ensure 55908
sufficient balances in the School District Property Tax 55909
Replacement - Business Fund (Fund 047) and to replenish the 55910
General Revenue Fund for such transfers.55911

       Section 269.50.10. SCHOOL DISTRICT PROPERTY TAX REPLACEMENT - 55912
BUSINESS55913

       The foregoing appropriation item, 200-909, School District 55914
Property Tax Replacement – Business, in Fund 047, shall be used by 55915
the Department of Education, in consultation with the Department 55916
of Taxation, to make payments to school districts and joint 55917
vocational school districts under section 5751.21 of the Revised 55918
Code. If it is determined by the Director of Budget and Management 55919
that additional appropriations are necessary for this purpose, 55920
such amounts are hereby appropriated.55921

       SCHOOL DISTRICT PROPERTY TAX REPLACEMENT - UTILITY55922

       The foregoing appropriation item 200-900, School District55923
Property Tax Replacement-Utility, in Fund 053, shall be used by 55924
the Department of Education, in consultation with the Department 55925
of Taxation, to make payments to school districts and joint 55926
vocational school districts under section 5727.85 of the Revised 55927
Code.55928

       *       Section 269.50.20. DISTRIBUTION FORMULAS55929

       The Department of Education shall report the following to the55930
Director of Budget and Management and the Legislative Service 55931
Commission:55932

       (A) Changes in formulas for distributing state55933
appropriations, including administratively defined formula55934
factors;55935

       (B) Discretionary changes in formulas for distributing55936
federal appropriations;55937

       (C) Federally mandated changes in formulas for distributing55938
federal appropriations.55939

       Any such changes shall be reported two weeks prior to the55940
effective date of the change.55941

       Section 269.50.30.  EDUCATIONAL SERVICE CENTERS FUNDING55942

       (A) As used in this section:55943

       (1) "Internet- or computer-based community school" has the 55944
same meaning as in section 3314.02 of the Revised Code.55945

       (2) "Service center ADM" has the same meaning as in section 55946
3317.11 of the Revised Code.55947

        (B) Notwithstanding division (F) of section 3317.11 of the55948
Revised Code, no funds shall be provided under that division to an 55949
educational service center in either fiscal year for any pupils of 55950
a city or exempted village school district unless an agreement to 55951
provide services under section 3313.843 of the Revised Code was 55952
entered into by January 1, 1997, except that funds shall be 55953
provided to an educational service center for any pupils of a city 55954
school district if the agreement to provide services was entered 55955
into within one year of the date upon which such district changed 55956
from a local school district to a city school district.55957

       (C) Notwithstanding any provision of the Revised Code to the 55958
contrary, an educational service center that sponsors a community 55959
school under Chapter 3314. of the Revised Code in either fiscal 55960
year may include the students of that community school in its 55961
service center ADM for purposes of state funding under division 55962
(F) of section 3317.11 of the Revised Code, unless the community 55963
school is an Internet- or computer-based community school. A 55964
service center shall include the community school students in its 55965
service center ADM only to the extent that the students are not 55966
already so included, and only in accordance with guidelines issued 55967
by the Department of Education. If the students of a community 55968
school sponsored by an educational service center are included in 55969
the service center ADM of another educational service center, 55970
those students shall be removed from the service center ADM of the 55971
other educational service center and added to the service center 55972
ADM of the community school's sponsoring service center. The 55973
General Assembly authorizes this procedure as an incentive for 55974
educational service centers to take over sponsorship of community 55975
schools from the State Board of Education as the State Board's 55976
sponsorship is phased out in accordance with Sub. H.B. 364 of the 55977
124th General Assembly. No student of an Internet- or 55978
computer-based community school shall be counted in the service 55979
center ADM of any educational service center. The Department shall 55980
pay educational service centers under division (F) of section 55981
3317.11 of the Revised Code for community school students included 55982
in their service center ADMs under this division only if 55983
sufficient funds earmarked within appropriation item 200-550, 55984
Foundation Funding, for payments under that division remain after 55985
first paying for students attributable to their local and client 55986
school districts, in accordance with divisions (B) and (D) of this 55987
section.55988

       (D) If insufficient funds are earmarked within appropriation 55989
item 200-550, Foundation Funding, for payments under division (F) 55990
of section 3317.11 of the Revised Code and division (C) of this 55991
section in fiscal year 2008 or fiscal year 2009, the Department 55992
shall prioritize the distribution of the earmarked funds as 55993
follows:55994

       (1) The Department shall first distribute to each educational 55995
service center the per-student amount specified in division (F) of 55996
section 3317.11 of the Revised Code for each student in its55997
service center ADM attributable to the local school districts 55998
within the service center's territory.55999

       (2) The Department shall distribute the remaining funds in 56000
each fiscal year to each educational service center for the 56001
students in its service center ADM attributable to each city and56002
exempted village school district that had entered into an56003
agreement with an educational service center for that fiscal year56004
under section 3313.843 of the Revised Code by January 1, 1997, up 56005
to the per-student amount specified in division (F) of section 56006
3317.11 of the Revised Code. If insufficient funds remain to pay 56007
each service center the full amount specified in division (F) of 56008
that section for each such student, the Department shall 56009
distribute the remaining funds to each service center 56010
proportionally, on a per-student basis for each such student, 56011
unless that proportional per-student amount exceeds the amount 56012
specified in division (F)(1) of that section. In that case, the 56013
Department shall distribute the per-student amount specified in 56014
division (F)(1) of that section to each service center for each 56015
such student and shall distribute the remainder proportionally, on 56016
a per-student basis for each such student, to the multi-county 56017
service centers described in division (F)(2) of that section.56018

       (3) If the Department has paid each service center under 56019
divisions (D)(1) and (2) of this section, the full amount 56020
specified in division (F) of section 3317.11 of the Revised Code 56021
for each student attributable to its local school districts and 56022
its client school districts described in division (D)(2) of this 56023
section the Department shall distribute any remaining funds 56024
proportionally, on a per-student basis, to each service center 56025
that sponsors a community school, other than an Internet- or 56026
computer-based community school, for the students included in the 56027
service center ADM under division (C) of this section. These 56028
payments shall not exceed per student the amount specified in 56029
division (F) of section 3317.11 of the Revised Code.56030

       *       Section 269.50.40. For the school year commencing July 1,56031
2007, or the school year commencing July 1, 2008, or both, the56032
Superintendent of Public Instruction may waive for the board of56033
education of any school district the ratio of teachers to pupils56034
in kindergarten through fourth grade required under paragraph56035
(A)(3) of rule 3301-35-05 of the Administrative Code if the56036
following conditions apply:56037

       (A) The board of education requests the waiver.56038

       (B) After the Department of Education conducts an on-site56039
evaluation of the district related to meeting the required ratio,56040
the board of education demonstrates to the satisfaction of the56041
Superintendent of Public Instruction that providing the facilities56042
necessary to meet the required ratio during the district's regular56043
school hours with pupils in attendance would impose an extreme56044
hardship on the district.56045

       (C) The board of education provides assurances that are56046
satisfactory to the Superintendent of Public Instruction that the56047
board will act in good faith to meet the required ratio as soon as56048
possible.56049

       Section 269.50.50.  PRIVATE TREATMENT FACILITY PROJECT56050

       (A) As used in this section:56051

       (1) The following are "participating residential treatment56052
centers":56053

       (a) Private residential treatment facilities that have56054
entered into a contract with the Department of Youth Services to56055
provide services to children placed at the facility by the56056
Department and which, in fiscal year 2008 or fiscal year 2009 or 56057
both, the Department pays through appropriation item 470-401, Care 56058
and Custody;56059

       (b) Abraxas, in Shelby;56060

       (c) Paint Creek, in Bainbridge;56061

       (d) Act One, in Akron;56062

       (e) Friars Club, in Cincinnati.56063

       (2) "Education program" means an elementary or secondary56064
education program or a special education program and related56065
services.56066

       (3) "Served child" means any child receiving an education56067
program pursuant to division (B) of this section.56068

       (4) "School district responsible for tuition" means a city,56069
exempted village, or local school district that, if tuition56070
payment for a child by a school district is required under law56071
that existed in fiscal year 1998, is the school district required56072
to pay that tuition.56073

       (5) "Residential child" means a child who resides in a56074
participating residential treatment center and who is receiving an56075
educational program under division (B) of this section.56076

       (B) A youth who is a resident of the state and has been56077
assigned by a juvenile court or other authorized agency to a56078
residential treatment facility specified in division (A) of this56079
section shall be enrolled in an approved educational program56080
located in or near the facility. Approval of the educational56081
program shall be contingent upon compliance with the criteria56082
established for such programs by the Department of Education. The56083
educational program shall be provided by a school district or56084
educational service center, or by the residential facility itself.56085
Maximum flexibility shall be given to the residential treatment56086
facility to determine the provider. In the event that a voluntary56087
agreement cannot be reached and the residential facility does not56088
choose to provide the educational program, the educational service56089
center in the county in which the facility is located shall56090
provide the educational program at the treatment center to56091
children under twenty-two years of age residing in the treatment56092
center.56093

       (C) Any school district responsible for tuition for a56094
residential child shall, notwithstanding any conflicting provision56095
of the Revised Code regarding tuition payment, pay tuition for the56096
child for fiscal year 2008 and fiscal year 2009 to the education 56097
program provider and in the amount specified in this division. If 56098
there is no school district responsible for tuition for a 56099
residential child and if the participating residential treatment 56100
center to which the child is assigned is located in the city, 56101
exempted village, or local school district that, if the child were 56102
not a resident of that treatment center, would be the school 56103
district where the child is entitled to attend school under 56104
sections 3313.64 and 3313.65 of the Revised Code, that school 56105
district, notwithstanding any conflicting provision of the Revised56106
Code, shall pay tuition for the child for fiscal year 2008 and 56107
fiscal year 2009 under this division unless that school district 56108
is providing the educational program to the child under division 56109
(B) of this section.56110

       A tuition payment under this division shall be made to the56111
school district, educational service center, or residential56112
treatment facility providing the educational program to the child.56113

       The amount of tuition paid shall be:56114

       (1) The amount of tuition determined for the district under56115
division (A) of section 3317.08 of the Revised Code;56116

       (2) In addition, for any student receiving special education56117
pursuant to an individualized education program as defined in56118
section 3323.01 of the Revised Code, a payment for excess costs.56119
This payment shall equal the actual cost to the school district,56120
educational service center, or residential treatment facility of56121
providing special education and related services to the student56122
pursuant to the student's individualized education program, minus56123
the tuition paid for the child under division (C)(1) of this56124
section.56125

       A school district paying tuition under this division shall56126
not include the child for whom tuition is paid in the district's56127
average daily membership certified under division (A) of section56128
3317.03 of the Revised Code.56129

       (D) In each of fiscal years 2008 and 2009, the Department of56130
Education shall reimburse, from appropriations made for the56131
purpose, a school district, educational service center, or56132
residential treatment facility, whichever is providing the56133
service, that has demonstrated that it is in compliance with the56134
funding criteria for each served child for whom a school district56135
must pay tuition under division (C) of this section. The amount of56136
the reimbursement shall be the formula amount specified in section56137
3317.022 of the Revised Code, except that the department shall56138
proportionately reduce this reimbursement if sufficient funds are 56139
not available to pay this amount to all qualified providers.56140

       (E) Funds provided to a school district, educational service56141
center, or residential treatment facility under this section shall56142
be used to supplement, not supplant, funds from other public56143
sources for which the school district, service center, or56144
residential treatment facility is entitled or eligible.56145

       (F) The Department of Education shall track the utilization56146
of funds provided to school districts, educational service56147
centers, and residential treatment facilities under this section56148
and monitor the effect of the funding on the educational programs56149
they provide in participating residential treatment facilities.56150
The department shall monitor the programs for educational56151
accountability.56152

       Section 269.50.60.  SCHOOL DISTRICT PARTICIPATION IN NATIONAL56153
ASSESSMENT OF EDUCATION PROGRESS56154

       The General Assembly intends for the Superintendent of Public56155
Instruction to provide for school district participation in the56156
administration of the National Assessment of Education Progress in 56157
accordance with section 3301.27 of the Revised Code. Each school 56158
and school district selected for participation by the 56159
Superintendent of Public Instruction shall participate.56160

       Section 269.50.70. DEPARTMENT OF EDUCATION APPROPRIATION 56161
TRANSFERS FOR STUDENT ASSESSMENT56162

       In fiscal year 2008 and fiscal year 2009, if the 56163
Superintendent of Public Instruction determines that additional 56164
funds are needed to fully fund the requirements of Am. Sub. H.B. 3 56165
of the 125th General Assembly and this act for assessments of 56166
student performance, the Superintendent of Public Instruction may 56167
recommend the reallocation of unspent and unencumbered 56168
appropriations within the Department of Education to the General 56169
Revenue Fund appropriation item 200-437, Student Assessment, to 56170
the Director of Budget and Management. If the Director of Budget 56171
and Management determines that such a reallocation is required, 56172
the Director of Budget and Management may transfer unspent and 56173
unencumbered funds within the Department of Education as necessary 56174
to appropriation item 200-437, Student Assessment. If these 56175
unspent and unencumbered funds are not sufficient to fully fund 56176
the assessment requirements in fiscal year 2008 or fiscal year 56177
2009, the Superintendent of Public Instruction may request that 56178
the Controlling Board transfer up to $9,000,000 cash from the 56179
Lottery Profits Education Reserve Fund (Fund 018) to the General 56180
Revenue Fund and appropriate these transferred funds to 56181
appropriation item 200-437, Student Assessment.56182

       Section 269.50.80.  (A) As used in this section:56183

       (1) "IEP" has the same meaning as in section 3314.08 of the 56184
Revised Code.56185

       (2) "SBH student" means a student receiving special education 56186
and related services for severe behavior handicap conditions 56187
pursuant to an IEP.56188

       (B) This section applies only to a community school 56189
established under Chapter 3314. of the Revised Code that in each 56190
of fiscal years 2008 and 2009 enrolls a number of SBH students 56191
equal to at least fifty per cent of the total number of students 56192
enrolled in the school in the applicable fiscal year.56193

       (C) In addition to any payments made under section 3314.08 of 56194
the Revised Code, in each of fiscal years 2008 and 2009, the 56195
Department of Education shall pay to a community school to which 56196
this section applies a subsidy equal to the difference between the 56197
aggregate amount calculated and paid in that fiscal year to the 56198
community school for special education and related services 56199
additional weighted costs for the SBH students enrolled in the 56200
school and the aggregate amount that would have been calculated 56201
for the school for special education and related services 56202
additional weighted costs for those same students in fiscal year 56203
2001. If the difference is a negative number, the amount of the 56204
subsidy shall be zero.56205

       (D) The amount of any subsidy paid to a community school 56206
under this section shall not be deducted from the school district 56207
in which any of the students enrolled in the community school are 56208
entitled to attend school under section 3313.64 or 3313.65 of the 56209
Revised Code. The amount of any subsidy paid to a community school 56210
under this section shall be paid from funds appropriated to the 56211
Department of Education in appropriation item 200-550, Foundation 56212
Funding.56213

       Section 269.50.90. EARMARK ACCOUNTABILITY56214

       At the request of the Superintendent of Public Instruction, 56215
any entity that receives a budget earmark under the Department of 56216
Education shall submit annually to the chairpersons of the 56217
committees of the House of Representatives and the Senate 56218
primarily concerned with education and to the Department of 56219
Education a report that includes a description of the services 56220
supported by the funds, a description of the results achieved by 56221
those services, an analysis of the effectiveness of the program, 56222
and an opinion as to the program's applicability to other school 56223
districts. For an earmarked entity that received state funds from 56224
an earmark in the prior fiscal year, no funds shall be provided by 56225
the Department of Education to an earmarked entity for a fiscal 56226
year until its report for the prior fiscal year has been 56227
submitted.56228

       Section 269.60.10.  No community school established under 56229
Chapter 3314. of the Revised Code that was not open for operation 56230
as of May 1, 2005, shall operate from a home, as defined in 56231
section 3313.64 of the Revised Code.56232

       Section 269.60.30. PLAN TO MOVE ADULT EDUCATION PROGRAMS TO 56233
BOARD OF REGENTS56234

       The Department of Education shall work collaboratively with 56235
the Board of Regents to identify adult and career-technical 56236
education programs, except for adult basic and literacy education 56237
programs, that shall be transferred to the Board of Regents by 56238
July 1, 2008. The purpose of this programmatic transfer is to 56239
better align and maximize the strength and flexibility of the full 56240
array of Ohio adult workforce education assets to improve the 56241
overall quality of adult education and training program course and 56242
training offerings in order to increase the skills and improve the 56243
employment prospects of adults.56244

        On or after July 1, 2008, notwithstanding any provision of 56245
law to the contrary, the Director of Budget and Management may 56246
take the actions described in this section made necessary by the 56247
movement of adult education and career programs from the 56248
Department of Education to the Board of Regents. These actions may 56249
include budget changes made necessary by administrative 56250
reorganization, program transfers, the creation of new funds, the 56251
creation of new appropriation items, and the consolidation of 56252
funds. The Director may transfer cash balances between funds as 56253
needed. At the request of the Director, the Superintendent of 56254
Public Instruction shall certify to the Director an estimate of 56255
the amount of the cash balance to be transferred to the receiving 56256
fund. The Director may transfer the estimated amount to the Board 56257
of Regents when needed to make payments. Not more than thirty days 56258
after certifying the estimated amount, the Superintendent of 56259
Public Instruction shall certify the final amount to the Director. 56260
The Director then shall transfer the difference between any amount 56261
previously transferred and the certified final amount. The 56262
Director may cancel encumbrances and re-establish encumbrances or 56263
parts of encumbrances as needed in the appropriate fund and 56264
appropriation item for the same purpose and to the same vendor. 56265
The funds necessary to re-establish those encumbrances in a 56266
different fund or appropriation item within or between the Board 56267
of Regents and the Department of Education are hereby 56268
appropriated. The Director shall reduce each year's appropriation 56269
balances by the amount of the encumbrances canceled in their 56270
respective funds and appropriation items. Any fiscal year 2008 56271
unencumbered or unallocated appropriation balances may be 56272
transferred to the appropriate item to be used for the same 56273
purposes, as determined by the Director.56274

       Adult basic and literacy programs shall remain under the 56275
Department of Education.56276

       Section 269.60.40. SPECIAL EDUCATION SCHOLARSHIP PILOT 56277
PROGRAM56278

       The State Board of Education shall initiate rulemaking 56279
procedures for the rules required under section 3310.63 of the 56280
Revised Code, as enacted by this act, so that those rules are in 56281
effect and the Special Education Scholarship Pilot Program is in 56282
operation by July 1, 2007.56283

       The Department of Education shall conduct a formative 56284
evaluation of the Special Education Scholarship Pilot Program 56285
established under sections 3310.51 to 3310.63 of the Revised Code, 56286
using both quantitative and qualitative analyses, and shall report 56287
its findings to the General Assembly not later than December 31, 56288
2009. In conducting the evaluation, the Department shall to the 56289
extent possible gather comments from parents who have been awarded 56290
scholarships under the program, school district officials, 56291
representatives of registered private providers, educators, and 56292
representatives of educational organizations for inclusion in the 56293
report required under this section.56294

       Section 269.60.60. UNAUDITABLE COMMUNITY SCHOOL56295

       (A) If the Auditor of State or a public accountant, pursuant 56296
to section 117.41 of the Revised Code, declares a community school 56297
established under Chapter 3314. of the Revised Code to be 56298
unauditable, the Auditor of State shall provide written 56299
notification of that declaration to the school, the school's 56300
sponsor, and the Department of Education. The Auditor of State 56301
also shall post the notification on the Auditor of State's web 56302
site.56303

       (B) Notwithstanding any provision to the contrary in Chapter 56304
3314. of the Revised Code or any other provision of law, a sponsor 56305
of a community school that is notified by the Auditor of State 56306
under division (A) of this section that a community school it 56307
sponsors is unauditable shall not enter into contracts with any 56308
additional community schools under section 3314.03 of the Revised 56309
Code until the Auditor of State or a public accountant has 56310
completed a financial audit of that school.56311

       (C) Not later than forty-five days after receiving 56312
notification by the Auditor of State under division (A) of this 56313
section that a community school is unauditable, the sponsor of the 56314
school shall provide a written response to the Auditor of State. 56315
The response shall include the following:56316

       (1) An overview of the process the sponsor will use to review 56317
and understand the circumstances that led to the community school 56318
becoming unauditable;56319

       (2) A plan for providing the Auditor of State with the 56320
documentation necessary to complete an audit of the community 56321
school and for ensuring that all financial documents are available 56322
in the future;56323

       (3) The actions the sponsor will take to ensure that the plan 56324
described in division (C)(2) of this section is implemented.56325

       (D) If a community school fails to make reasonable efforts 56326
and continuing progress to bring its accounts, records, files, or 56327
reports into an auditable condition within ninety days after being 56328
declared unauditable, the Auditor of State, in addition to 56329
requesting legal action under sections 117.41 and 117.42 of the 56330
Revised Code, shall notify the Department of the school's failure. 56331
If the Auditor of State or a public accountant subsequently is 56332
able to complete a financial audit of the school, the Auditor of 56333
State shall notify the Department that the audit has been 56334
completed.56335

       (E) Notwithstanding any provision to the contrary in Chapter 56336
3314. of the Revised Code or any other provision of law, upon 56337
notification by the Auditor of State under division (D) of this 56338
section that a community school has failed to make reasonable 56339
efforts and continuing progress to bring its accounts, records, 56340
files, or reports into an auditable condition following a 56341
declaration that the school is unauditable, the Department shall 56342
immediately cease all payments to the school under Chapter 3314. 56343
of the Revised Code and any other provision of law. Upon 56344
subsequent notification from the Auditor of State under that 56345
division that the Auditor of State or a public accountant was able 56346
to complete a financial audit of the community school, the 56347
Department shall release all funds withheld from the school under 56348
this section.56349

       Section 271.10.  ELC OHIO ELECTIONS COMMISSION56350

General Revenue Fund56351

GRF 051-321 Operating Expenses $ 411,623 $ 423,975 56352
TOTAL GRF General Revenue Fund $ 411,623 $ 423,975 56353

General Services Fund Group56354

4P2 051-601 Ohio Elections 56355
Commission Fund $ 255,000 $ 255,000 56356
TOTAL GSF General Services Fund Group $ 255,000 $ 255,000 56357
TOTAL ALL BUDGET FUND GROUPS $ 666,623 $ 678,975 56358


       Section 273.10. FUN STATE BOARD OF EMBALMERS AND FUNERAL56360
DIRECTORS56361

General Services Fund Group56362

4K9 881-609 Operating Expenses $ 628,641 $ 646,602 56363
TOTAL GSF General Services 56364
Fund Group $ 628,641 $ 646,602 56365
TOTAL ALL BUDGET FUND GROUPS $ 628,641 $ 646,602 56366


       Section 275.10.  PAY EMPLOYEE BENEFITS FUNDS56368

Accrued Leave Liability Fund Group56369

806 995-666 Accrued Leave Fund $ 69,584,560 $ 76,038,787 56370
807 995-667 Disability Fund $ 40,104,713 $ 39,309,838 56371
TOTAL ALF Accrued Leave Liability 56372
Fund Group $ 109,689,273 $ 115,348,625 56373

Agency Fund Group56374

124 995-673 Payroll Deductions $ 2,125,000,000 $ 2,175,000,000 56375
808 995-668 State Employee Health Benefit Fund $ 499,240,000 $ 550,922,742 56376
809 995-669 Dependent Care Spending Account $ 2,969,635 $ 2,969,635 56377
810 995-670 Life Insurance Investment Fund $ 2,113,589 $ 2,229,834 56378
811 995-671 Parental Leave Benefit Fund $ 3,994,806 $ 4,234,495 56379
813 995-672 Health Care Spending Account $ 12,000,000 $ 12,000,000 56380
TOTAL AGY Agency Fund Group $ 2,645,318,030 $ 2,747,356,706 56381

TOTAL ALL BUDGET FUND GROUPS $ 2,755,007,303 $ 2,862,705,331 56382

       ACCRUED LEAVE LIABILITY FUND56383

       The foregoing appropriation item 995-666, Accrued Leave Fund,56384
shall be used to make payments from the Accrued Leave Liability56385
Fund (Fund 806), pursuant to section 125.211 of the Revised Code.56386
If it is determined by the Director of Budget and Management that56387
additional amounts are necessary, the amounts are appropriated.56388

       STATE EMPLOYEE DISABILITY LEAVE BENEFIT FUND56389

       The foregoing appropriation item 995-667, Disability Fund,56390
shall be used to make payments from the State Employee Disability56391
Leave Benefit Fund (Fund 807), pursuant to section 124.83 of the56392
Revised Code. If it is determined by the Director of Budget and56393
Management that additional amounts are necessary, the amounts are56394
appropriated.56395

       PAYROLL WITHHOLDING FUND56396

       The foregoing appropriation item 995-673, Payroll Deductions, 56397
shall be used to make payments from the Payroll Withholding Fund 56398
(Fund 124). If it is determined by the Director of Budget and 56399
Management that additional appropriation amounts are necessary, 56400
such amounts are hereby appropriated.56401

       STATE EMPLOYEE HEALTH BENEFIT FUND56402

       The foregoing appropriation item 995-668, State Employee56403
Health Benefit Fund, shall be used to make payments from the State56404
Employee Health Benefit Fund (Fund 808), pursuant to section56405
124.87 of the Revised Code. If it is determined by the Director of 56406
Budget and Management that additional amounts are necessary, the 56407
amounts are appropriated.56408

       DEPENDENT CARE SPENDING ACCOUNT56409

       The foregoing appropriation item 995-669, Dependent Care56410
Spending Account, shall be used to make payments from the56411
Dependent Care Spending Account (Fund 809) to employees eligible56412
for dependent care expenses. If it is determined by the Director56413
of Budget and Management that additional amounts are necessary,56414
the amounts are appropriated.56415

       LIFE INSURANCE INVESTMENT FUND56416

       The foregoing appropriation item 995-670, Life Insurance56417
Investment Fund, shall be used to make payments from the Life56418
Insurance Investment Fund (Fund 810) for the costs and expenses of56419
the state's life insurance benefit program pursuant to section56420
125.212 of the Revised Code. If it is determined by the Director56421
of Budget and Management that additional amounts are necessary,56422
the amounts are appropriated.56423

       PARENTAL LEAVE BENEFIT FUND56424

       The foregoing appropriation item 995-671, Parental Leave56425
Benefit Fund, shall be used to make payments from the Parental56426
Leave Benefit Fund (Fund 811) to employees eligible for parental56427
leave benefits pursuant to section 124.137 of the Revised Code. If56428
it is determined by the Director of Budget and Management that56429
additional amounts are necessary, the amounts are appropriated.56430

       HEALTH CARE SPENDING ACCOUNT56431

       There is hereby established in the State Treasury the Health 56432
Care Spending Account Fund (Fund 813). The foregoing appropriation 56433
item 995-672, Health Care Spending Account, shall be used to make 56434
payments from the fund. The fund shall be under the supervision of 56435
the Department of Administrative Services and shall be used to 56436
make payments pursuant to state employees' participation in a 56437
flexible spending account for non-reimbursed health care expenses 56438
and pursuant to Section 125 of the Internal Revenue Code. All 56439
income derived from the investment of the fund shall accrue to the 56440
fund. If it is determined by the Director of Administrative 56441
Services that additional appropriation amounts are necessary, the 56442
Director of Administrative Services may request that the Director 56443
of Budget and Management increase such amounts. Such amounts are 56444
hereby appropriated. 56445

       At the request of the Director of Administrative Services, 56446
the Director of Budget and Management shall transfer up to 56447
$145,000 from the General Revenue Fund to the Health Care Spending 56448
Account Fund during fiscal years 2008 and 2009. This cash shall be 56449
transferred as needed to provide adequate cash flow for the Health 56450
Care Spending Account Fund during fiscal year 2008 and fiscal year 56451
2009. If funds are available at the end of fiscal years 2008 and 56452
2009, the Director of Budget and Management shall transfer cash up 56453
to the amount previously transferred in the respective year, plus 56454
interest income, back from the Health Care Spending Account (Fund 56455
813) to the General Revenue Fund. 56456

       Section 277.10.  ERB STATE EMPLOYMENT RELATIONS BOARD56457

General Revenue Fund56458

GRF 125-321 Operating Expenses $ 3,218,803 $ 3,355,602 56459
TOTAL GRF General Revenue Fund $ 3,218,803 $ 3,355,602 56460

General Services Fund Group56461

572 125-603 Training and Publications $ 75,541 $ 75,541 56462
TOTAL GSF General Services 56463
Fund Group $ 75,541 $ 75,541 56464
TOTAL ALL BUDGET FUND GROUPS $ 3,294,344 $ 3,431,143 56465


       Section 279.10. ENG STATE BOARD OF ENGINEERS AND SURVEYORS56467

General Services Fund Group56468

4K9 892-609 Operating Expenses $ 1,058,881 $ 1,058,881 56469
TOTAL GSF General Services 56470
Fund Group $ 1,058,881 $ 1,058,881 56471
TOTAL ALL BUDGET FUND GROUPS $ 1,058,881 $ 1,058,881 56472


       Section 281.10. EPA ENVIRONMENTAL PROTECTION AGENCY56474

General Services Fund Group56475

199 715-602 Laboratory Services $ 1,158,574 $ 1,173,574 56476
219 715-604 Central Support Indirect $ 16,474,276 $ 17,000,962 56477
4A1 715-640 Operating Expenses $ 3,369,731 $ 3,369,731 56478
TOTAL GSF General Services 56479
Fund Group $ 21,002,581 $ 21,544,267 56480

Federal Special Revenue Fund Group56481

3BU 715-684 Water Quality Protection $ 6,515,000 $ 6,310,000 56482
3F2 715-630 Revolving Loan Fund - Operating $ 563,536 $ 775,600 56483
3F3 715-632 Federally Supported Cleanup and Response $ 2,550,000 $ 2,550,000 56484
3F5 715-641 Nonpoint Source Pollution Management $ 7,550,000 $ 7,595,000 56485
3K4 715-634 DOD Monitoring and Oversight $ 858,250 $ 898,825 56486
3N4 715-657 DOE Monitoring and Oversight $ 1,071,678 $ 1,110,270 56487
3T3 715-669 Drinking Water SRF $ 2,843,923 $ 2,977,998 56488
3V7 715-606 Agencywide Grants $ 500,000 $ 500,000 56489
353 715-612 Public Water Supply $ 3,388,619 $ 3,388,618 56490
354 715-614 Hazardous Waste Management - Federal $ 4,203,891 $ 4,203,891 56491
357 715-619 Air Pollution Control - Federal $ 6,823,949 $ 6,823,950 56492
362 715-605 Underground Injection Control - Federal $ 111,874 $ 111,874 56493
TOTAL FED Federal Special Revenue 56494
Fund Group $ 36,980,720 $ 37,246,026 56495

State Special Revenue Fund Group56496

4J0 715-638 Underground Injection Control $ 458,418 $ 458,418 56497
4K2 715-648 Clean Air - Non Title V $ 3,690,821 $ 4,066,558 56498
4K3 715-649 Solid Waste $ 13,932,845 $ 14,282,845 56499
4K4 715-650 Surface Water Protection $ 12,685,000 $ 13,815,000 56500
4K5 715-651 Drinking Water Protection $ 8,169,553 $ 8,867,732 56501
4P5 715-654 Cozart Landfill $ 149,728 $ 149,728 56502
4R5 715-656 Scrap Tire Management $ 6,000,000 $ 6,000,000 56503
4R9 715-658 Voluntary Action Program $ 1,032,098 $ 1,032,098 56504
4T3 715-659 Clean Air - Title V Permit Program $ 18,924,098 $ 18,833,584 56505
4U7 715-660 Construction & Demolition Debris $ 881,561 $ 881,561 56506
5BC 715-617 Clean Ohio $ 741,646 $ 741,646 56507
5BC 715-622 Local Air Pollution Control $ 1,026,369 $ 1,026,369 56508
5BC 715-624 Surface Water $ 8,797,413 $ 8,797,413 56509
5BC 715-667 Groundwater $ 1,093,741 $ 1,093,741 56510
5BC 715-672 Air Pollution Control $ 5,199,290 $ 5,199,290 56511
5BC 715-673 Drinking Water $ 2,550,250 $ 2,550,250 56512
5BC 715-675 Hazardous Waste $ 100,847 $ 100,847 56513
5BC 715-676 Assistance and Prevention $ 700,302 $ 700,302 56514
5BC 715-677 Laboratory $ 1,216,333 $ 1,216,333 56515
5BC 715-678 Corrective Actions $ 1,179,775 $ 1,179,775 56516
5BT 715-679 C&DD Groundwater Monitoring $ 571,560 $ 693,267 56517
5BY 715-681 Auto Emissions Test $ 14,817,105 $ 15,057,814 56518
5CD 715-682 Clean Diesel School Buses $ 600,000 $ 600,000 56519
5DW 715-683 Automotive Mercury Switch Program $ 60,000 $ 60,000 56520
5H4 715-664 Groundwater Support $ 2,503,933 $ 2,715,340 56521
5N2 715-613 Dredge and Fill $ 30,000 $ 30,000 56522
500 715-608 Immediate Removal Special Account $ 557,257 $ 573,903 56523
503 715-621 Hazardous Waste Facility Management $ 11,711,473 $ 12,200,240 56524
505 715-623 Hazardous Waste Cleanup $ 13,333,179 $ 14,147,498 56525
505 715-674 Clean Ohio Environmental Review $ 109,725 $ 109,725 56526
541 715-670 Site Specific Cleanup $ 34,650 $ 34,650 56527
542 715-671 Risk Management Reporting $ 146,188 $ 146,188 56528
592 715-627 Anti Tampering Settlement $ 9,707 $ 9,707 56529
6A1 715-645 Environmental Education $ 1,500,000 $ 1,500,000 56530
602 715-626 Motor Vehicle Inspection and Maintenance $ 157,697 $ 128,876 56531
644 715-631 ER Radiological Safety $ 286,114 $ 286,114 56532
660 715-629 Infectious Waste Management $ 100,000 $ 100,000 56533
676 715-642 Water Pollution Control Loan Administration $ 4,964,625 $ 4,964,625 56534
678 715-635 Air Toxic Release $ 210,622 $ 210,622 56535
679 715-636 Emergency Planning $ 2,628,647 $ 2,628,647 56536
696 715-643 Air Pollution Control Administration $ 750,000 $ 750,000 56537
699 715-644 Water Pollution Control Administration $ 750,000 $ 750,000 56538
TOTAL SSR State Special Revenue Fund Group $ 144,362,570 $ 148,690,706 56539

Clean Ohio Revitalization Fund Group56540

5S1 715-607 Clean Ohio - Operating $ 208,174 $ 208,174 56541
TOTAL CLF Clean Ohio Revitalization Fund Group $ 208,174 $ 208,174 56542
TOTAL ALL BUDGET FUND GROUPS $ 202,554,045 $ 207,689,173 56543

       AUTOMOBILE EMISSIONS TESTING PROGRAM OPERATION AND OVERSIGHT56544

       On the first day of July of each fiscal year or as soon as 56545
possible thereafter, the Director of Budget and Management shall 56546
transfer $14,817,105 for use in fiscal year 2008 and $15,057,814 56547
for use in fiscal year 2009 from the General Revenue Fund (GRF) to 56548
the Auto Emissions Test Fund (Fund 5BY).56549

        The Ohio Environmental Protection Agency (EPA) shall use the 56550
foregoing appropriation item 715-681, Auto Emissions Test, in the 56551
Auto Emissions Test Fund (Fund 5BY), for the operation, and Ohio 56552
EPA's costs for oversight, of the auto emissions testing program. 56553
For purposes of continuing testing beyond December 31, 2007, the 56554
Director of Environmental Protection may extend an existing 56555
contract with the contractor who is implementing the testing 56556
program pursuant to section 3704.14 of the Revised Code for a 56557
period of two years.56558

       The funds identified in this section shall not be used (1) to 56559
pay for the testing costs of any dealers to provide certificates 56560
for vehicles being purchased by individuals who reside in areas 56561
where the E-Check program is operated or (2) to pay for more than 56562
one passing or three total free tests for any vehicle in a 56563
three-hundred-sixty-five-day period. When state funds may not be 56564
used to pay for testing costs, the cost of testing and retesting 56565
paid by an individual or a business for any vehicle shall cover 56566
the cost of the test. Testing and other fees charged by the 56567
contractor shall be submitted to and approved by the Director of 56568
Environmental Protection.56569

       WATER QUALITY PROTECTION FUND56570

        On July 1, 2007, or as soon thereafter as possible, the 56571
Director of Environmental Protection shall certify to the Director 56572
of Budget and Management the cash balance in Fund 3F4, Water 56573
Quality Management. The Director of Budget and Management shall 56574
transfer the amount certified from Fund 3F4 to Fund 3BU, Water 56575
Quality Protection. Any existing encumbrances in appropriation 56576
item 715-633, Water Quality Management (Fund 3F4), shall be 56577
cancelled and re-established against appropriation item 715-684, 56578
Water Quality Protection (Fund 3BU). The amounts of the 56579
re-established encumbrances are hereby appropriated, and Fund 3F4 56580
is abolished.56581

        On July 1, 2007, or as soon thereafter as possible, the 56582
Director of Environmental Protection shall certify to the Director 56583
of Budget and Management the cash balance in Fund 3J1, Urban 56584
Stormwater. The Director of Budget and Management shall transfer 56585
the amount certified from Fund 3J1 to Fund 3BU, Water Quality 56586
Protection. Any existing encumbrances in appropriation item 56587
715-620, Urban Stormwater (Fund 3J1), shall be cancelled and 56588
re-established against appropriation item 715-684, Water Quality 56589
Protection (Fund 3BU). The amounts of the re-established 56590
encumbrances are hereby appropriated, and Fund 3J1 is abolished.56591

        On July 1, 2007, or as soon thereafter as possible, the 56592
Director of Environmental Protection shall certify to the Director 56593
of Budget and Management the cash balance in Fund 3J5, Maumee 56594
River. The Director of Budget and Management shall transfer the 56595
amount certified from Fund 3J5 to Fund 3BU, Water Quality 56596
Protection. Any existing encumbrances in appropriation item 56597
715-615, Maumee River (Fund 3J5), shall be cancelled and 56598
re-established against appropriation item 715-684, Water Quality 56599
Protection (Fund 3BU). The amounts of the re-established 56600
encumbrances are hereby appropriated, and Fund 3J5 is abolished.56601

        On July 1, 2007, or as soon thereafter as possible, the 56602
Director of Environmental Protection shall certify to the Director 56603
of Budget and Management the cash balance in Fund 3K2, Clean Water 56604
Act 106 (Fund 3K2). The Director of Budget and Management shall 56605
transfer the amount certified from Fund 3K2 to Fund 3BU, Water 56606
Quality Protection. Any existing encumbrances in appropriation 56607
item 715-628, Clean Water Act 106, shall be cancelled and 56608
re-established against appropriation item 715-684, Water Quality 56609
Protection (Fund 3BU). The amounts of the re-established 56610
encumbrances are hereby appropriated, and Fund 3K2 is abolished.56611

        On July 1, 2007, or as soon thereafter as possible, the 56612
Director of Environmental Protection shall certify to the Director 56613
of Budget and Management the cash balance in Fund 3K6, Remedial 56614
Action Plan. The Director of Budget and Management shall transfer 56615
the amount certified from Fund 3K6 to Fund 3BU, Water Quality 56616
Protection. Any existing encumbrances in appropriation item 56617
715-639, Remedial Action Plan (Fund 3K6), shall be cancelled and 56618
re-established against appropriation item 715-684, Water Quality 56619
Protection (Fund 3BU). The amounts of the re-established 56620
encumbrances are hereby appropriated, and Fund 3K6 is abolished.56621

        On July 1, 2007, or as soon thereafter as possible, the 56622
Director of Environmental Protection shall certify to the Director 56623
of Budget and Management the cash balance in Fund 352, Wastewater 56624
Pollution. The Director of Budget and Management shall transfer 56625
the amount certified from Fund 352 to Fund 3BU, Water Quality 56626
Protection. Any existing encumbrances in appropriation item 56627
715-611, Wastewater Pollution (Fund 352), shall be cancelled and 56628
re-established against appropriation item 715-684, Water Quality 56629
Protection (Fund 3BU). The amounts of the re-established 56630
encumbrances are hereby appropriated, and Fund 352 is abolished.56631

        On July 1, 2007, or as soon thereafter as possible, the 56632
Director of Environmental Protection shall certify to the Director 56633
of Budget and Management the cash balance in Fund 358, 205-J 56634
Federal Planning. The Director of Budget and Management shall 56635
transfer the amount certified from Fund 358 to Fund 3BU, Water 56636
Quality Protection. Any existing encumbrances in appropriation 56637
item 715-625, 205-J Federal Planning (Fund 358), shall be 56638
cancelled and re-established against appropriation item 715-684, 56639
Water Quality Protection (Fund 3BU). The amounts of the 56640
re-established encumbrances are hereby appropriated, and Fund 358 56641
is abolished.56642

       AREAWIDE PLANNING AGENCIES56643

        The Director of the Environmental Protection Agency shall use 56644
the foregoing appropriation item 715-624, Surface Water, to 56645
contract with areawide planning agencies in an amount not to 56646
exceed $75,000 per agency per fiscal year for areawide water 56647
quality management and planning activities in accordance with 56648
Section 208 of the Federal Clean Water Act, 33 U.S.C. 1288.56649

       CASH TRANSFER FOR AUTOMOTIVE MERCURY SWITCH PROGRAM56650

       Upon the request of the Director of Environmental Protection, 56651
the Director of Budget and Management shall transfer up to $60,000 56652
in cash from the Environmental Protection Fund (Fund 5BC) to the 56653
Automotive Mercury Switch Program Fund (Fund 5DW), in each year of 56654
the fiscal years 2008-2009 biennium.56655

       Section 283.10. EBR ENVIRONMENTAL REVIEW APPEALS COMMISSION56656

General Revenue Fund56657

GRF 172-321 Operating Expenses $ 483,859 $ 487,000 56658
TOTAL GRF General Revenue Fund $ 483,859 $ 487,000 56659
TOTAL ALL BUDGET FUND GROUPS $ 483,859 $ 487,000 56660


       Section 285.10. ETC ETECH OHIO56662

General Revenue Fund56663

GRF 935-321 Operations $ 6,830,918 $ 6,830,921 56664
GRF 935-401 Statehouse News Bureau $ 244,400 $ 244,400 56665
GRF 935-402 Ohio Government Telecommunications Services $ 716,417 $ 716,417 56666
GRF 935-403 Technical Operations $ 3,597,390 $ 3,597,389 56667
GRF 935-404 Telecommunications Operating Subsidy $ 3,632,413 $ 3,632,413 56668
GRF 935-406 Technical and Instructional Professional Development $ 7,285,351 $ 7,272,351 56669
GRF 935-539 Educational Technology $ 4,139,551 $ 4,139,551 56670
TOTAL GRF General Revenue Fund $ 26,446,440 $ 26,433,442 56671

General Services Fund Group56672

4F3 935-603 Affiliate Services $ 1,000,000 $ 1,000,000 56673
4T2 935-605 Government Television/Telecommunications Operating $ 25,000 $ 25,000 56674
5D4 935-640 Conference/Special Purposes $ 1,821,817 $ 1,821,817 56675
TOTAL GSF General Services Fund Group $ 2,846,817 $ 2,846,817 56676

Federal Special Revenue Fund Group56677

3S3 935-606 Enhancing Education Technology $ 589,363 $ 589,363 56678
TOTAL FED Federal Special Revenue Fund Group $ 589,363 $ 589,363 56679

State Special Revenue Fund Group56680

4W9 935-630 Telecommunity $ 25,000 $ 25,000 56681
4X1 935-634 Distance Learning $ 50,000 $ 50,000 56682
5T3 935-607 Gates Foundation Grants $ 200,000 $ 200,000 56683
TOTAL SSR State Special Revenue Fund Group $ 275,000 $ 275,000 56684
TOTAL ALL BUDGET FUND GROUPS $ 30,157,620 $ 30,144,622 56685


       Section 285.20. TOWERS56687

       (A) eTech Ohio currently owns eighteen towers and owns or 56688
leases an interest in the land upon which the towers are located 56689
at the following sites: Akron/Nimisila, Butler, Carey, Carmel 56690
Church, Celina College, Corner/Oxford, Conneaut/Ashtabula, 56691
Fairborn/Wright State, Lancaster, London, Loudonville, Mansfield, 56692
Maplewood, Millersburg, Thompson, Warrensville Heights, 56693
Wilberforce/Central State University, and Wooster. All rights, 56694
privileges, ownership, and control of the towers shall be 56695
transferred to the Office of Information Technology by July 1, 56696
2007, or as soon as possible thereafter. Where the land upon which 56697
the towers are located is leased by eTech Ohio, eTech Ohio hereby 56698
relinquishes its right on any such lease and the Office of 56699
Information Technology shall be substituted as the lessee of the 56700
premises by July 1, 2007, or as soon as possible thereafter, under 56701
the same terms, provisions, and conditions as specified in each 56702
lease agreement, subject to the lessor's consent. Where the land 56703
upon which the towers are located is owned by eTech Ohio, all 56704
rights, privileges, ownership, and control of the land shall be 56705
transferred to the Office of Information Technology by July 1, 56706
2007, or as soon as possible thereafter. The transfers and 56707
assignments of the eighteen tower site designations are subject to 56708
eTech Ohio's continued right to use the towers for transmission 56709
and broadcasting purposes and subject to the completion of any 56710
legal surveys of the premises on which the towers are located as 56711
deemed necessary by the Office of Real Estate Services.56712

       (B) The Governor is hereby authorized to execute deeds or 56713
leases in the name of the state, granting or leasing all of the 56714
state's right, title, and interest in the parcels described 56715
herein, and as necessary to implement division (A) of this 56716
section.56717

        (C) Renewable leases and deeds to implement division (A) of 56718
this section shall be prepared by the Auditor of State with the 56719
assistance of the Attorney General, executed by the Governor, 56720
countersigned by the Secretary of State, sealed with the Great 56721
Seal of the State, and presented for recording in the Office of 56722
the Auditor of State. Each deed or lease shall be delivered to the 56723
original grantor or lessor of each property for recording in the 56724
office of the appropriate county recorder.56725

       Section 285.30. TELECOMMUNICATIONS56726

       STATEHOUSE NEWS BUREAU56727

       The foregoing appropriation item 935-401, Statehouse News 56728
Bureau, shall be used solely to support the operations of the Ohio 56729
Statehouse News Bureau.56730

       OHIO GOVERNMENT TELECOMMUNICATIONS STUDIO56731

       The foregoing appropriation item 935-402, Ohio Government 56732
Telecommunications Services, shall be used solely to support the 56733
operations of Ohio Government Telecommunications Services.56734

       TECHNICAL OPERATIONS56735

       The foregoing appropriation item 935-403, Technical 56736
Operations, shall be used by eTech Ohio to pay expenses of eTech 56737
Ohio's network infrastructure, which includes the television and 56738
radio transmission infrastructure and infrastructure that shall 56739
link all public K-12 classrooms to each other and the Internet, 56740
and provide access to voice, video, and data educational resources 56741
for students and teachers.56742

       TELECOMMUNICATIONS OPERATING SUBSIDY56743

       Of the foregoing appropriation item 935-404, 56744
Telecommunications Operating Subsidy, $45,000 in each fiscal year 56745
shall be used to contract for dial-up newspaper reading services 56746
for the blind and physically handicapped. The contract shall be 56747
awarded through a competitive bidding process.56748

       The remainder of appropriation item 935-404, 56749
Telecommunications Operating Subsidy, shall be distributed by 56750
eTech Ohio to Ohio's qualified public educational television 56751
stations, radio reading services, and educational radio stations 56752
to support their operations. The funds shall be distributed 56753
pursuant to an allocation formula used by the Ohio Educational 56754
Telecommunications Network Commission unless and until a 56755
substitute formula is developed by eTech Ohio in consultation with 56756
Ohio's qualified public educational television stations, radio 56757
reading services, and educational radio stations.56758

       Section 285.40. TECHNICAL AND INSTRUCTIONAL PROFESSIONAL 56759
DEVELOPMENT56760

       The foregoing appropriation item 935-406, Technical and 56761
Instructional Professional Development, shall be used by eTech 56762
Ohio to make grants or provide services to qualifying public 56763
schools, including the State School for the Blind, the State 56764
School for the Deaf, and the Department of Youth Services, for the 56765
provision of hardware, software, telecommunications services, and 56766
staff development to support educational uses of technology in the 56767
classroom.56768

       Of the foregoing appropriation item 935-406, Technical and 56769
Instructional Professional Development, up to $1,000,000 in each 56770
fiscal year shall be used to implement and support the Ohio 56771
Students Choosing On-line Resources for Educational Success (Ohio 56772
SCORES) initiative that increases the educational options 56773
available to students in mathematics, advanced laboratory-based 56774
science, and foreign language. eTech Ohio shall work 56775
collaboratively with the Department of Education and the Board of 56776
Regents on this initiative.56777

       Of the foregoing appropriation item 935-406, Technical and 56778
Instructional Professional Development, up to $200,000 in each 56779
fiscal year shall be used by eTech Ohio to provide competitive 56780
professional development grants to school districts. Grant 56781
proposals shall focus on developing innovative programs that 56782
enhance the abilities of teachers to use innovative methods for 56783
integrating technology to implement state academic content 56784
standards in classroom lessons. Grant requirements and awards 56785
shall be approved by eTech Ohio, with priority given to school 56786
districts designated in academic emergency, academic watch, or 56787
continuous improvement. eTech Ohio shall develop a web site to 56788
share information learned through these programs with school 56789
districts statewide. The web site shall be linked with the Ohio 56790
Department of Education's Instructional Management System.56791

       Of the foregoing appropriation item 935-406, Technical and 56792
Instructional Professional Development, up to $1,260,000 in each 56793
fiscal year shall be allocated equally among the 12 Ohio 56794
educational television stations and used with the advice and 56795
approval of eTech Ohio. Funds shall be used for the production of 56796
interactive instructional programming series with priority given 56797
to resources aligned with state academic content standards in 56798
consultation with the Ohio Department of Education and for 56799
teleconferences to support eTech Ohio. The programming shall be 56800
targeted to the needs of the poorest two hundred school districts 56801
as determined by the district's adjusted valuation per pupil as 56802
defined in former section 3317.0213 of the Revised Code as that 56803
section existed prior to June 30, 2005.56804

       The remainder of appropriation item 935-406, Technical and 56805
Instructional Professional Development, shall be used by eTech 56806
Ohio for professional development for teachers and administrators 56807
for the use of educational technology. eTech Ohio may make grants 56808
to provide technical assistance and professional development on 56809
the use of educational technology to school districts.56810

       Eligible recipients of grants include regional training 56811
centers, educational service centers, information technology 56812
centers, educational technology centers, institutions of higher 56813
education, public television stations, special education resource 56814
centers, area media centers, or other nonprofit educational 56815
organizations. In addition, services provided through these grants 56816
may include use of private entities subcontracting through the 56817
grant recipient.56818

       Grants shall be made to entities on a contractual basis with 56819
eTech Ohio. Contracts shall include provisions that demonstrate 56820
how services will benefit technology use in the public schools, 56821
and in particular how services will support eTech Ohio's efforts 56822
to integrate technology in the public schools. Contracts shall 56823
specify the scope of assistance being offered and the potential 56824
number of professionals who will be served. Contracting entities 56825
may be awarded more than one grant at a time. Grants shall be 56826
awarded in a manner consistent with the goals and priorities of 56827
eTech Ohio. Special emphasis in the award of grants shall be 56828
placed on collaborative efforts among service providers.56829

       Application for grants from appropriation item 935-406, 56830
Technical and Instructional Professional Development, shall be 56831
consistent with a school district's technology plan that shall 56832
meet the minimum specifications for school district technology 56833
plans as prescribed by eTech Ohio. Funds allocated through these 56834
grants may be combined with funds received through other state or 56835
federal grants for technology so long as the school district's 56836
technology plan specifies the use of these funds.56837

       Section 285.50. EDUCATION TECHNOLOGY56838

       The foregoing appropriation item 935-539, Education 56839
Technology, shall be used to provide funding to suppliers of 56840
information services to school districts for the provision of 56841
hardware, software, and staff development in support of 56842
educational uses of technology in the classroom as prescribed by 56843
the State Plan for Technology pursuant to section 3301.07 of the 56844
Revised Code, and to support assistive technology for children and 56845
youth with disabilities.56846

       Of the foregoing appropriation item 935-539, Education 56847
Technology, up to $4,139,551 in each fiscal year shall be used by 56848
eTech Ohio to contract with educational television to provide Ohio 56849
public schools with instructional resources and services with 56850
priority given to resources and services aligned with state 56851
academic content standards and such resources and services shall 56852
be based upon the advice and approval of eTech Ohio, based on a 56853
formula used by the Ohio SchoolNet Commission unless and until a 56854
substitute formula is developed by eTech Ohio in consultation with 56855
Ohio's educational technology agencies and noncommercial 56856
educational television stations.56857

       Resources may include, but not be limited to, the following: 56858
prerecorded video materials (including videotape, laser discs, and 56859
CD-ROM discs); computer software for student use or student access 56860
to electronic communication, databases, spreadsheet, and word 56861
processing capability; live student courses or courses delivered 56862
electronically; automated media systems; and instructional and 56863
professional development materials for teachers. eTech Ohio shall 56864
collaborate with public television stations and cooperate with 56865
education technology agencies in the acquisition, development, and 56866
delivery of these educational resources to ensure high-quality and 56867
educational soundness at the lowest possible cost. Delivery of 56868
these resources may utilize a variety of technologies, with a 56869
preference given to a high speed integrated information network 56870
that can transport video, voice, data, and graphics 56871
simultaneously.56872

       Services shall include presentations and technical assistance 56873
that will help students and teachers integrate educational 56874
materials that support curriculum objectives, match specific 56875
learning styles, and are appropriate for individual interests and 56876
ability levels.56877

       The instructional resources and services shall be made 56878
available for purchase by chartered nonpublic schools or by school 56879
districts for the benefit of pupils attending chartered nonpublic 56880
schools.56881

       eTech Ohio shall monitor the developments of technology, 56882
coordinate with the Office of Information Technology, and assure 56883
the most effective and highest quality operation of eTech Ohio 56884
networks. All efforts may be aligned with the State's ongoing 56885
efforts to coordinate appropriate network operations through the 56886
Office of Information Technology and through the Third Frontier 56887
Network.56888

       Section 285.60. TELECOMMUNITY56889

       The foregoing appropriation item 935-630, Telecommunity, 56890
shall be distributed by eTech Ohio on a grant basis to eligible 56891
school districts to establish "distance learning" through 56892
interactive video technologies in the school district. Per 56893
agreements with eight Ohio local telephone companies ALLTEL Ohio, 56894
CENTURY Telephone of Ohio, Chillicothe Telephone Company, 56895
Cincinnati Bell Telephone Company, Orwell Telephone Company, 56896
Sprint North Central Telephone, VERIZON, and Western Reserve 56897
Telephone Company, school districts are eligible for funds if they 56898
are within one of the listed telephone company service areas. 56899
Funds to administer the program shall be expended by eTech Ohio up 56900
to the amount specified in agreements with the listed telephone 56901
companies.56902

       Within thirty days after the effective date of this section, 56903
the Director of Budget and Management shall transfer to Fund 4W9 56904
in the State Special Revenue Fund Group any investment earnings 56905
from moneys paid by any telephone company as part of any 56906
settlement agreement between the listed companies and the Public 56907
Utilities Commission in fiscal years 1996 and beyond.56908

       DISTANCE LEARNING56909

       The foregoing appropriation item 935-634, Distance Learning, 56910
shall be distributed by eTech Ohio on a grant basis to eligible 56911
school districts to establish "distance learning" in the school 56912
district. Per the agreement with Ameritech, school districts are 56913
eligible for funds if they are within an Ameritech service area. 56914
Funds to administer the program shall be expended by eTech Ohio up 56915
to the amount specified in the agreement with Ameritech.56916

       Within thirty days after the effective date of this section, 56917
the Director of Budget and Management shall transfer to Fund 4X1 56918
in the State Special Revenue Fund Group any investment earnings 56919
from moneys paid by any telephone company as part of a settlement 56920
agreement between the company and the Public Utilities Commission 56921
in fiscal year 1995.56922

       GATES FOUNDATION GRANTS56923

       The foregoing appropriation item 935-607, Gates Foundation 56924
Grants, shall be used by eTech Ohio to provide professional 56925
development to school district principals, superintendents, and 56926
other administrative staff for the use of education technology.56927

       Section 287.10. ETH OHIO ETHICS COMMISSION56928

General Revenue Fund56929

GRF 146-321 Operating Expenses $ 1,863,028 $ 1,902,275 56930
TOTAL GRF General Revenue Fund $ 1,863,028 $ 1,902,275 56931

General Services Fund Group56932

4M6 146-601 Operating Expenses $ 432,543 $ 432,543 56933
TOTAL GSF General Services 56934
Fund Group $ 432,543 $ 432,543 56935
TOTAL ALL BUDGET FUND GROUPS $ 2,295,571 $ 2,334,818 56936


       Section 289.10. EXP OHIO EXPOSITIONS COMMISSION56938

General Revenue Fund56939

GRF 723-403 Junior Fair Subsidy $ 400,000 $ 400,000 56940
TOTAL GRF General Revenue Fund $ 400,000 $ 400,000 56941

State Special Revenue Fund Group56942

4N2 723-602 Ohio State Fair Harness Racing $ 520,000 $ 520,000 56943
506 723-601 Operating Expenses $ 13,643,315 $ 13,643,315 56944
640 723-603 State Fair Reserve $ 125,337 $ 0 56945
TOTAL SSR State Special Revenue 56946
Fund Group $ 14,288,652 $ 14,163,315 56947
TOTAL ALL BUDGET FUND GROUPS $ 14,688,652 $ 14,563,315 56948

       STATE FAIR RESERVE56949

       The foregoing appropriation item 723-603, State Fair Reserve, 56950
shall serve as a budget reserve fund for the Ohio Expositions 56951
Commission in the event of a significant decline in attendance 56952
because of inclement weather or extraordinary circumstances during 56953
the Ohio State Fair resulting in a loss of revenue. The State Fair 56954
Reserve Fund (Fund 640) may be used by the Ohio Expositions 56955
Commission to pay bills resulting from the Ohio State Fair only if 56956
all the following criteria are met:56957

       (A) Admission revenues for the 2007 Ohio State Fair are less 56958
than $2,025,000 or the admission revenues for the 2008 Ohio State 56959
Fair are less than $2,065,000 because of inclement weather or 56960
extraordinary circumstances. These amounts are ninety per cent of 56961
the projected revenues for each year.56962

       (B) The Ohio Expositions Commission declares a state of 56963
fiscal exigency and requests release of funds from the Director of 56964
Budget and Management.56965

       (C) The Director of Budget and Management releases the funds. 56966
The Director of Budget and Management may approve or disapprove 56967
the request for release of funds, may increase or decrease the 56968
amount of release, and may place conditions as the Director 56969
considers necessary on the use of the released funds. The Director 56970
of Budget and Management may transfer the appropriation from 56971
fiscal year 2008 to fiscal year 2009 as needed.56972

       In the event that the Ohio Expositions Commission faces a 56973
temporary cash shortage that will preclude it from meeting current 56974
obligations, the Commission may request the Director of Budget and 56975
Management to approve use of the State Fair Reserve Fund (Fund 56976
640) to meet those obligations. The request shall include a plan 56977
describing how the Commission will eliminate the cash shortage. If 56978
the Director of Budget and Management approves the expenditures, 56979
the Commission shall reimburse the State Fair Reserve Fund (Fund 56980
640) by the thirtieth day of June of that same fiscal year through 56981
an intrastate transfer voucher. The amount reimbursed is hereby 56982
appropriated.56983

       Section 291.10.  GOV OFFICE OF THE GOVERNOR56984

General Revenue Fund56985

GRF 040-321 Operating Expenses $ 3,754,045 $ 3,754,045 56986
GRF 040-403 Federal Relations $ 435,443 $ 435,443 56987
GRF 040-408 Office of Veterans' Affairs $ 287,000 $ 298,000 56988
TOTAL GRF General Revenue Fund $ 4,476,488 $ 4,487,488 56989

General Services Fund Group56990

5AK 040-607 Federal Relations $ 365,149 $ 365,149 56991
TOTAL GSF General Services Fund Group $ 365,149 $ 365,149 56992

TOTAL ALL BUDGET FUND GROUPS $ 4,841,637 $ 4,852,637 56993

       APPOINTMENT OF LEGAL COUNSEL FOR THE GOVERNOR56994

       The Governor may expend a portion of the foregoing56995
appropriation item 040-321, Operating Expenses, to hire or appoint56996
legal counsel to be used in proceedings involving the Governor in56997
the Governor's official capacity or the Governor's office only,56998
without the approval of the Attorney General, notwithstanding56999
sections 109.02 and 109.07 of the Revised Code.57000

       FEDERAL RELATIONS57001

       A portion of the foregoing appropriation items 040-403, 57002
Federal Relations, and 040-607, Federal Relations, may be used to 57003
support Ohio's membership in national or regional associations.57004

       The Office of the Governor may charge any state agency of the 57005
executive branch using an intrastate transfer voucher such amounts 57006
necessary to defray the costs incurred for the conduct of federal 57007
relations associated with issues that can be attributed to the 57008
agency. Amounts collected shall be deposited to the Office of the 57009
Governor Federal Relations Fund (Fund 5AK).57010

       Section 293.10. DOH DEPARTMENT OF HEALTH57011

General Revenue Fund57012

GRF 440-407 Animal Borne Disease and Prevention $ 2,327,101 $ 2,327,101 57013
GRF 440-412 Cancer Incidence Surveillance System $ 1,002,619 $ 1,002,619 57014
GRF 440-413 Local Health Department Support $ 3,786,794 $ 3,786,794 57015
GRF 440-416 Child and Family Health Services $ 10,047,874 $ 10,147,874 57016
GRF 440-418 Immunizations $ 9,400,615 $ 9,400,615 57017
GRF 440-431 Free Clinic Liability Insurance $ 125,000 $ 125,000 57018
GRF 440-437 Healthy Ohio $ 1,502,618 $ 2,855,553 57019
GRF 440-444 AIDS Prevention and Treatment $ 7,158,127 $ 7,158,127 57020
GRF 440-446 Infectious Disease Prevention $ 200,000 $ 200,000 57021
GRF 440-451 Lab and Public Health Prevention Programs $ 6,085,250 $ 6,085,250 57022
GRF 440-452 Child and Family Health Services Match $ 1,024,017 $ 1,024,017 57023
GRF 440-453 Health Care Quality Assurance $ 10,253,728 $ 10,253,728 57024
GRF 440-454 Local Environmental Health $ 889,752 $ 889,752 57025
GRF 440-459 Help Me Grow $ 10,923,397 $ 14,041,847 57026
GRF 440-505 Medically Handicapped Children $ 10,791,784 $ 10,791,784 57027
GRF 440-507 Targeted Health Care Services Over 21 $ 1,681,023 $ 1,681,023 57028
GRF 440-511 Uncompensated Care and Emergency Medical Assistance $ 0 $ 3,500,000 57029
TOTAL GRF General Revenue Fund $ 77,199,699 $ 85,271,084 57030

General Services Fund Group57031

142 440-646 Agency Health Services $ 3,461,915 $ 3,461,915 57032
211 440-613 Central Support Indirect Costs $ 28,884,707 $ 28,884,707 57033
473 440-622 Lab Operating Expenses $ 4,954,045 $ 4,954,045 57034
683 440-633 Employee Assistance Program $ 1,208,214 $ 1,208,214 57035
698 440-634 Nurse Aide Training $ 170,000 $ 170,000 57036
TOTAL GSF General Services 57037
Fund Group $ 38,678,881 $ 38,678,881 57038

Federal Special Revenue Fund Group57039

320 440-601 Maternal Child Health Block Grant $ 30,666,635 $ 30,666,635 57040
387 440-602 Preventive Health Block Grant $ 7,826,659 $ 7,826,659 57041
389 440-604 Women, Infants, and Children $ 230,077,451 $ 230,077,451 57042
391 440-606 Medicaid/Medicare $ 24,850,959 $ 24,850,959 57043
392 440-618 Federal Public Health Programs $ 136,778,215 $ 136,778,215 57044
TOTAL FED Federal Special Revenue 57045
Fund Group $ 430,199,919 $ 430,199,919 57046

State Special Revenue Fund Group57047

4D6 440-608 Genetics Services $ 3,317,000 $ 3,317,000 57048
4F9 440-610 Sickle Cell Disease Control $ 1,035,344 $ 1,035,344 57049
4G0 440-636 Heirloom Birth Certificate $ 5,000 $ 5,000 57050
4G0 440-637 Birth Certificate Surcharge $ 5,000 $ 5,000 57051
4L3 440-609 Miscellaneous Expenses $ 446,468 $ 446,468 57052
4T4 440-603 Child Highway Safety $ 233,894 $ 233,894 57053
4V6 440-641 Save Our Sight $ 1,767,994 $ 1,767,994 57054
470 440-647 Fee Supported Programs $ 27,946,243 $ 25,905,140 57055
471 440-619 Certificate of Need $ 869,000 $ 898,000 57056
477 440-627 Medically Handicapped Children Audit $ 3,693,016 $ 3,693,016 57057
5B5 440-616 Quality, Monitoring, and Inspection $ 838,479 $ 838,479 57058
5CB 440-640 Poison Control Centers $ 150,000 $ 150,000 57059
5CN 440-645 Choose Life $ 75,000 $ 75,000 57060
5C0 440-615 Alcohol Testing and Permit $ 1,455,405 $ 1,455,405 57061
5D6 440-620 Second Chance Trust $ 1,054,951 $ 1,054,951 57062
5EC 440-650 Health Emergency $ 15,312,500 $ 0 57063
5ED 440-651 Smoke Free Indoor Air $ 800,000 $ 800,000 57064
5G4 440-639 Adoption Services $ 20,000 $ 20,000 57065
5L1 440-623 Nursing Facility Technical Assistance Program $ 664,282 $ 698,595 57066
610 440-626 Radiation Emergency Response $ 850,000 $ 850,000 57067
666 440-607 Medically Handicapped Children - County Assessments $ 14,320,687 $ 14,320,687 57068
TOTAL SSR State Special Revenue 57069
Fund Group $ 74,860,263 $ 57,569,973 57070

Holding Account Redistribution Fund Group57071

R14 440-631 Vital Statistics $ 70,000 $ 70,000 57072
R48 440-625 Refunds, Grants Reconciliation, and Audit Settlements $ 20,000 $ 20,000 57073
TOTAL 090 Holding Account 57074
Redistribution Fund Group $ 90,000 $ 90,000 57075
TOTAL ALL BUDGET FUND GROUPS $ 621,028,762 $ 611,809,857 57076


       Section 293.20. CHILD AND FAMILY HEALTH SERVICES57078

       Of the foregoing appropriation item 440-416, Child and Family57079
Health Services, not more than $1,700,000 in each fiscal year 57080
shall be used for women's health services.57081

       Of the foregoing appropriation item 440-416, Child and Family57082
Health Services, not more than $270,000 shall be used in each 57083
fiscal year for the OPTIONS dental care access program.57084

       Of the foregoing appropriation item 440-416, Child and Family57085
Health Services, not more than $1,900,000 in fiscal year 2008 and 57086
$2,150,000 in fiscal year 2009 shall be used by federally 57087
qualified health centers and federally designated look-alikes to 57088
provide services to uninsured low-income persons.57089

       Of the foregoing appropriation item 440-416, Child and Family 57090
Health Services, not more than $500,000 in each fiscal year shall 57091
be used for abstinence and adoption education. The Director of 57092
Health shall develop guidelines for the establishment of 57093
abstinence and adoption education programs for teenagers with the 57094
purpose of decreasing unplanned pregnancies and abortion. The 57095
guidelines shall be developed pursuant to Title V of the "Social 57096
Security Act," 42 U.S.C. 510, and shall include, but are not 57097
limited to, advertising campaigns and direct training in schools 57098
and other locations.57099

       Of the foregoing appropriation item 440-416, Child and Family 57100
Health Services, $10,000 in each fiscal year shall be allocated to 57101
the Jewish Family Services in Cleveland, $10,000 in each fiscal 57102
year shall be allocated to the Jewish Family Services in 57103
Cincinnati, $10,000 shall be allocated in each fiscal year to the 57104
Jewish Family Services in Columbus, and $10,000 in each fiscal 57105
year shall be allocated to the Wexner Heritage Village in Columbus 57106
for interpreters for health care.57107

       Of the foregoing appropriation item 440-416, Child and Family 57108
Health Services, $10,000 in each fiscal year shall be provided to 57109
the Jewish Family Services in Dayton, $5,000 in each fiscal year 57110
shall be provided to the Jewish Community Center in Akron, $5,000 57111
in each fiscal year shall be provided to the Jewish Community 57112
Center in Sylvania, $2,500 in each fiscal year shall be provided 57113
to the Jewish Community Center in Youngstown, and $2,500 in each 57114
fiscal year shall be provided to the Jewish Community Center in 57115
Canton.57116

       Of the foregoing appropriation item 440-416, Child and Family 57117
Health Services, $16,667 in each fiscal year shall be allocated to 57118
the Yassenoff Jewish Community Center, $16,667 in each fiscal year 57119
shall be allocated to the Jewish Community Center in Cincinnati, 57120
and $16,666 in each fiscal year shall be allocated to the Jewish 57121
Community Center in Cleveland for children's health and nutrition 57122
camp programs.57123

       Of the foregoing appropriation item 440-416, Child and Family 57124
Health Services, $16,666 in each fiscal year shall be allocated to 57125
the Athens Community Center.57126

       Of the foregoing appropriation item 440-416, Child and Family 57127
Health Services, $500,000 in fiscal year 2008 and $300,000 in 57128
fiscal year 2009 shall be used for the establishment of the Autism 57129
Diagnosis Education Pilot Program. Not later than December 31, 57130
2008, the Director of Health shall compile and submit to the 57131
Governor and the General Assembly a written report describing the 57132
action taken under the Autism Diagnosis Education Pilot Program 57133
since the effective date of this section. Not later than December 57134
31, 2009, the Director shall compile and submit to the Governor 57135
and the General Assembly a written report describing the action 57136
taken under the Pilot Program since December 31, 2008.57137

       Of the foregoing appropriation item 440-416, Child and Family 57138
Health Services, $100,000 in each fiscal year shall be allocated 57139
to the Compdrug Teen Dating Violence Prevention Project in 57140
Franklin County.57141

       Of the foregoing appropriation item, 440-416, Child and 57142
Family Health Services, $2,500,000 in each fiscal year shall be 57143
used for breast and cervical cancer treatments.57144

       Section 293.25. COLLEGE PREGNANCY AND PARENTING OFFICES PILOT 57145
PROGRAM57146

        (A) As used in this section, "institution of higher 57147
education" means a public or private university or college in this 57148
state, including a community college or state community college.57149

        (B) The Director of Health shall conduct a pilot program in 57150
fiscal year 2009 for the purpose of awarding grants to up to four 57151
institutions of higher education to establish and operate on a 57152
selected institution's campus an office that provides support to 57153
students who are pregnant or who are the parents or legal 57154
guardians of one or more minors. Planning for the pilot program 57155
shall commence in fiscal year 2008.57156

        (C) An institution of higher education may apply for a grant 57157
by completing and submitting an application form supplied by the 57158
Director. The Director may require the institution to submit 57159
additional information after the Director has reviewed the 57160
application.57161

        (D) Before awarding a grant, the Director shall secure a 57162
written agreement in which the proposed grantee commits to doing 57163
all of the following:57164

        (1) Locating the office described in division (B) of this 57165
section on the campus of the institution.57166

        (2) Assessing the institution's performance in both of the 57167
following areas:57168

        (a) Offering health insurance plans to students that include 57169
coverage for prenatal and postpartum care and riders for the 57170
coverage of additional family members;57171

        (b) Providing services or items that meet the needs of 57172
students who are pregnant or who are the parents or legal 57173
guardians of one or more minors, including family housing, child 57174
care, flexible or alternative academic scheduling, education 57175
concerning responsible parenting and healthy marriages, maternity 57176
and infant clothing, formula and baby food, and baby furniture.57177

        (3) Identifying and establishing programs with public and 57178
private service providers located on campus and in the local 57179
community that are qualified to meet the needs described in 57180
division (D)(2)(b) of this section.57181

        (4) Assisting students in locating and obtaining services 57182
that meet the needs described in division (D)(2)(b) of this 57183
section.57184

        (5) Providing, on the request of an individual student, 57185
referrals for prenatal care and delivery, infant or foster care, 57186
or adoption. The office shall make referrals only to persons or 57187
governmental entities that primarily serve parents, prospective 57188
parents awaiting adoption, pregnant women who plan to parent or 57189
place a child for adoption, or married couples or couples that 57190
plan on marrying in order to provide a supportive environment for 57191
each other and one or more minors.57192

        (6) Providing, by a date determined by the Director, a 57193
written report to the Director that itemizes the office's 57194
expenditures during the fiscal year and meets the format or form 57195
established by the Director under division (E) of this section.57196

        (7) Providing, after the Director's review of the report 57197
described in division (D)(6) of this section, any additional 57198
information requested by the Director.57199

        (E) The Director shall establish a format or form for the 57200
written report that must be provided by an institution under 57201
division (D)(6) of this section. In establishing the format or 57202
form, the Director shall identify specific performance criteria 57203
the institution must address in the report.57204

        (F) The Director may adopt any rules necessary to implement 57205
this section. The rules shall be adopted in accordance with 57206
Chapter 119. of the Revised Code.57207

        (G) Of the foregoing appropriation item 440-416, Child and 57208
Family Health Services, $50,000 in fiscal year 2009 shall be used 57209
to make grants for the pilot program described in this section.57210

       Section 293.30. HEALTHY OHIO57211

       The Department of Health may use appropriation item 440-437, 57212
Healthy Ohio, to complete an inventory of prevention programs so 57213
that it may better target prevention funding, to fund programs to 57214
decrease minority health disparities, and to fund care 57215
coordination models to improve health outcomes for individuals 57216
with catastrophic health conditions.57217

       HIV/AIDS PREVENTION/TREATMENT57218

       Of the foregoing appropriation item 440-444, AIDS Prevention57219
and Treatment, not more than $6.7 million in each fiscal year57220
shall be used to assist persons with HIV/AIDS in acquiring57221
HIV-related medications.57222

       INFECTIOUS DISEASE PREVENTION57223

       The foregoing appropriation item 440-446, Infectious Disease 57224
Prevention, shall be used for the purchase of drugs for sexually 57225
transmitted diseases.57226

       HELP ME GROW57227

       The foregoing appropriation item 440-459, Help Me Grow, shall57228
be used by the Department of Health to distribute subsidies to57229
counties to implement the Help Me Grow Program. Appropriation item 57230
440-459, Help Me Grow, may be used in conjunction with Temporary 57231
Assistance for Needy Families from the Department of Job and 57232
Family Services, Early Intervention funding from the Department of 57233
Mental Retardation and Developmental Disabilities, and in 57234
conjunction with other early childhood funds and services to 57235
promote the optimal development of young children. Local contracts 57236
shall be developed between local departments of job and family 57237
services and family and children first councils for the57238
administration of TANF funding for the Help Me Grow Program. The57239
Department of Health shall enter into an interagency agreement57240
with the Department of Education, Department of Mental Retardation 57241
and Developmental Disabilities, Department of Job and Family 57242
Services, and Department of Mental Health to ensure that all early 57243
childhood programs and initiatives are coordinated and school 57244
linked.57245

       TARGETED HEALTH CARE SERVICES OVER 2157246

       In each fiscal year, of the foregoing appropriation item 57247
440-507, Targeted Health Care Services Over 21, $731,023 shall be 57248
used to administer the cystic fibrosis program and implement the 57249
Hemophilia Insurance Premium Payment Program.57250

       Of the foregoing appropriation item 440-507, Targeted Health 57251
Care Services Over 21, $900,000 in each fiscal year shall be used 57252
to provide essential medications and to pay the copayments for 57253
drugs approved by the Department of Health and covered by Medicare 57254
Part D that are dispensed to Bureau for Children with Medical 57255
Handicaps (BCMH) participants for the cystic fibrosis program. 57256
These funds also may be used, to the extent that funding is 57257
available, to provide up to 18 in-patient hospital days for 57258
participants in the cystic fibrosis program. The Department shall 57259
expend all of these earmarked funds.57260

       UNCOMPENSATED CARE AND EMERGENCY MEDICAL57261

       The foregoing appropriation item 440-511, Uncompensated Care 57262
and Emergency Medical Assistance, shall be used to fund programs 57263
that provide health care without ability to pay. This is not an 57264
entitlement program and services are offered only to the extent 57265
that funding is available.57266

       MATERNAL CHILD HEALTH BLOCK GRANT57267

        Of the foregoing appropriation item 440-601, Maternal Child 57268
Health Block Grant (Fund 320), $2,091,299 shall be used in each 57269
fiscal year for the purposes of abstinence and adoption education. 57270
The Director of Health shall develop guidelines for the 57271
establishment of abstinence and adoption education programs for 57272
teenagers with the purpose of decreasing unplanned pregnancies and 57273
abortion. The guidelines shall be developed under Title V of the 57274
"Social Security Act," 42 U.S.C. 510, and shall include, but are 57275
not limited to, advertising campaigns and direct training in 57276
schools and other locations.57277

       GENETICS SERVICES57278

       The foregoing appropriation item 440-608, Genetics Services57279
(Fund 4D6), shall be used by the Department of Health to57280
administer programs authorized by sections 3701.501 and 3701.50257281
of the Revised Code. None of these funds shall be used to counsel57282
or refer for abortion, except in the case of a medical emergency.57283

       MEDICALLY HANDICAPPED CHILDREN AUDIT57284

       The Medically Handicapped Children Audit Fund (Fund 477)57285
shall receive revenue from audits of hospitals and recoveries from57286
third-party payers. Moneys may be expended for payment of audit57287
settlements and for costs directly related to obtaining recoveries57288
from third-party payers and for encouraging Medically Handicapped57289
Children's Program recipients to apply for third-party benefits.57290
Moneys also may be expended for payments for diagnostic and57291
treatment services on behalf of medically handicapped children, as57292
defined in division (A) of section 3701.022 of the Revised Code,57293
and Ohio residents who are twenty-one or more years of age and who57294
are suffering from cystic fibrosis or hemophilia. Moneys may also 57295
be expended for administrative expenses incurred in operating the 57296
Medically Handicapped Children's Program.57297

       TRANSFER FROM STATE FIRE MARSHAL'S FUND (FUND 546) TO THE 57298
POISON CONTROL FUND (FUND 5CB) IN THE DEPARTMENT OF HEALTH57299

        Notwithstanding section 3737.71 of the Revised Code, on July 57300
1, 2007, or as soon as possible thereafter, the Director of Budget 57301
and Management shall transfer $150,000 cash from the State Fire 57302
Marshal's Fund (Fund 546) in the Department of Commerce to the 57303
Poison Control Fund (Fund 5CB) in the Department of Health, which 57304
is hereby created. Notwithstanding section 3737.71 of the Revised 57305
Code, on July 1, 2008, or as soon as possible thereafter, the 57306
Director of Budget and Management shall transfer $150,000 cash 57307
from the State Fire Marshal's Fund (Fund 546) in the Department of 57308
Commerce to the Poison Control Fund (Fund 5CB) in the Department 57309
of Health.57310

        POISON CONTROL CENTERS57311

        Of the foregoing appropriation item 440-640, Poison Control 57312
Centers, in each fiscal year, the poison control centers in the 57313
municipal corporations of Cleveland, Cincinnati, and Columbus 57314
shall each receive an allocation of $50,000.57315

       Of the foregoing appropriation item 440-620, Second Chance 57316
Trust (Fund 5D6), $52,000 in fiscal year 2008 shall be earmarked 57317
for the Central Ohio Lions Eye Bank.57318

       CASH TRANSFER FROM LIQUOR CONTROL FUND TO ALCOHOL TESTING AND57319
PERMIT FUND57320

       The Director of Budget and Management, pursuant to a plan57321
submitted by the Department of Health, or as otherwise determined57322
by the Director of Budget and Management, shall set a schedule to57323
transfer cash from the Liquor Control Fund (Fund 043) to the57324
Alcohol Testing and Permit Fund (Fund 5C0) to meet the operating57325
needs of the Alcohol Testing and Permit program.57326

       The Director of Budget and Management shall transfer to the57327
Alcohol Testing and Permit Fund (Fund 5C0) from the Liquor Control57328
Fund (Fund 043) created in section 4301.12 of the Revised Code57329
such amounts at such times as determined by the transfer schedule.57330

       MEDICALLY HANDICAPPED CHILDREN - COUNTY ASSESSMENTS57331

       The foregoing appropriation item 440-607, Medically57332
Handicapped Children - County Assessments (Fund 666), shall be57333
used to make payments under division (E) of section 3701.023 of 57334
the Revised Code.57335

       Section 293.40. NURSING FACILITY TECHNICAL ASSISTANCE PROGRAM57336

       The Director of Budget and Management shall transfer, on July 57337
1, 2007, or as soon as possible thereafter, cash from Fund 4E3, 57338
Resident Protection Fund, in the Ohio Department of Job and Family 57339
Services, to Fund 5L1, Nursing Facility Technical Assistance 57340
Program Fund, in the Ohio Department of Health, to be used under 57341
section 3721.026 of the Revised Code. The transfers shall equal 57342
$410,111 in fiscal year 2008 and $698,595 in fiscal year 2009.57343

       CASH TRANSFER FROM FEDERAL PUBLIC HEALTH PROGRAMS FUND TO 57344
AGENCY HEALTH SERVICES FUND57345

       As soon as possible on or after July 1, 2007, the Director of 57346
Health shall certify to the Director of Budget and Management the 57347
amount of cash to be transferred from the Federal Public Health 57348
Programs Fund (Fund 392) to the Agency Health Services Fund (Fund 57349
142) to meet the operating needs of the Vital Statistics Program. 57350
The Director of Budget and Management shall transfer the amount 57351
certified.57352

       Section 295.10. HEF HIGHER EDUCATIONAL FACILITY COMMISSION57353

Agency Fund Group57354

461 372-601 Operating Expenses $ 16,819 $ 16,819 57355
TOTAL AGY Agency Fund Group $ 16,819 $ 16,819 57356
TOTAL ALL BUDGET FUND GROUPS $ 16,819 $ 16,819 57357


       Section 297.10. SPA COMMISSION ON HISPANIC/LATINO AFFAIRS57359

General Revenue Fund57360

GRF 148-100 Personal Services $ 160,121 $ 167,156 57361
GRF 148-200 Maintenance $ 40,000 $ 40,000 57362
GRF 148-402 Community Projects $ 500,000 $ 500,000 57363
TOTAL GRF General Revenue Fund $ 700,121 $ 707,156 57364

General Services Fund Group57365

601 148-602 Gifts and Miscellaneous $ 20,000 $ 20,000 57366
TOTAL GSF General Services 57367
Fund Group $ 20,000 $ 20,000 57368
TOTAL ALL BUDGET FUND GROUPS $ 720,121 $ 727,156 57369


       Section 299.10. OHS OHIO HISTORICAL SOCIETY57371

General Revenue Fund57372

GRF 360-501 Operating Subsidy $ 3,349,244 $ 3,349,252 57373
GRF 360-502 Site and Museum Operations $ 8,401,781 $ 8,401,788 57374
GRF 360-504 Ohio Preservation Office $ 417,516 $ 415,381 57375
GRF 360-505 National Afro-American Museum $ 754,884 $ 754,884 57376
GRF 360-506 Hayes Presidential Center $ 509,231 $ 509,231 57377
GRF 360-508 State Historical Grants $ 175,000 $ 175,000 57378
TOTAL GRF General Revenue Fund $ 13,607,656 $ 13,605,536 57379
TOTAL ALL BUDGET FUND GROUPS $ 13,607,656 $ 13,605,536 57380

       SUBSIDY APPROPRIATION57381

       Upon approval by the Director of Budget and Management, the57382
foregoing appropriation items shall be released to the Ohio57383
Historical Society in quarterly amounts that in total do not57384
exceed the annual appropriations. The funds and fiscal records of57385
the society for fiscal years 2008 and 2009 shall be examined by57386
independent certified public accountants approved by the Auditor57387
of State, and a copy of the audited financial statements shall be57388
filed with the Office of Budget and Management. The society shall57389
prepare and submit to the Office of Budget and Management the57390
following:57391

       (A) An estimated operating budget for each fiscal year of the 57392
biennium. The operating budget shall be submitted at or near the 57393
beginning of each calendar year.57394

       (B) Financial reports, indicating actual receipts and57395
expenditures for the fiscal year to date. These reports shall be57396
filed at least semiannually during the fiscal biennium.57397

       The foregoing appropriations shall be considered to be the57398
contractual consideration provided by the state to support the57399
state's offer to contract with the Ohio Historical Society under57400
section 149.30 of the Revised Code.57401

       HAYES PRESIDENTIAL CENTER57402

       If a United States government agency, including, but not57403
limited to, the National Park Service, chooses to take over the57404
operations or maintenance of the Hayes Presidential Center, in57405
whole or in part, the Ohio Historical Society shall make57406
arrangements with the National Park Service or other United States57407
government agency for the efficient transfer of operations or57408
maintenance.57409

       HISTORICAL GRANTS57410

        Of the foregoing appropriation item 360-508, State Historical 57411
Grants, $75,000 in each fiscal year shall be distributed to the 57412
Center for Holocaust and Humanity Education located at the Hebrew 57413
Union College-Jewish Institute of Religion in Cincinnati, $50,000 57414
in each fiscal year shall be distributed to the Western Reserve 57415
Historical Society, and $50,000 in each fiscal year shall be 57416
distributed to the Cincinnati Museum Center.57417

       PROCESSING FEES 57418

       The Ohio Historical Society shall not charge or retain an 57419
administrative, service, or processing fee for distributing money 57420
that the General Assembly appropriates to the Society for grants 57421
or subsidies that the Society provides to other entities for their 57422
site-related programs.57423

       Section 301.10.  REP OHIO HOUSE OF REPRESENTATIVES57424

General Revenue Fund57425

GRF 025-321 Operating Expenses $ 20,574,568 $ 20,574,568 57426
TOTAL GRF General Revenue Fund $ 20,574,568 $ 20,574,568 57427

General Services Fund Group57428

103 025-601 House Reimbursement $ 1,433,664 $ 1,433,664 57429
4A4 025-602 Miscellaneous Sales $ 37,849 $ 37,849 57430
TOTAL GSF General Services 57431
Fund Group $ 1,471,513 $ 1,471,513 57432
TOTAL ALL BUDGET FUND GROUPS $ 22,046,081 $ 22,046,081 57433

        OPERATING EXPENSES57434

       On July 1, 2007, or as soon as possible thereafter, the Chief 57435
Administrative Officer of the House of Representatives shall 57436
certify to the Director of Budget and Management the total fiscal 57437
year 2007 unencumbered appropriations in appropriation item 57438
025-321, Operating Expenses. The Chief Administrative Officer may 57439
direct the Director of Budget and Management to transfer an amount 57440
not to exceed the total fiscal year 2007 unencumbered 57441
appropriations to fiscal year 2008 for use within appropriation 57442
item 025-321, Operating Expenses. Additional appropriation 57443
authority equal to the amount certified by the Chief 57444
Administrative Officer is hereby appropriated to appropriation 57445
item 025-321, Operating Expenses, in fiscal year 2008.57446

        On July 1, 2008, or as soon as possible thereafter, the Chief 57447
Administrative Officer of the House of Representatives shall 57448
certify to the Director of Budget and Management the total fiscal 57449
year 2008 unencumbered appropriations in appropriation item 57450
025-321, Operating Expenses. The Chief Administrative Officer may 57451
direct the Director of Budget and Management to transfer an amount 57452
not to exceed the total fiscal year 2008 unencumbered 57453
appropriations to fiscal year 2009 for use within appropriation 57454
item 025-321, Operating Expenses. Additional appropriation 57455
authority equal to the amount certified by the Chief 57456
Administrative Officer is hereby appropriated to appropriation 57457
item 025-321, Operating Expenses, in fiscal year 2009.57458

       Section 303.10. HFA OHIO HOUSING FINANCE AGENCY57459

Agency Fund Group57460

5AZ 997-601 Housing Finance Agency Personal Services $ 9,750,953 $ 10,237,491 57461
TOTAL AGY Agency Fund Group $ 9,750,953 $ 10,237,491 57462
TOTAL ALL BUDGET FUND GROUPS $ 9,750,953 $ 10,237,491 57463


       Section 305.10. IGO OFFICE OF THE INSPECTOR GENERAL57465

General Revenue Fund57466

GRF 965-321 Operating Expenses $ 1,367,372 $ 1,437,901 57467
TOTAL GRF General Revenue Fund $ 1,367,372 $ 1,437,901 57468

General Services Fund Group57469

4Z3 965-602 Special Investigations $ 425,000 $ 425,000 57470
TOTAL GSF General Services Fund Group $ 425,000 $ 425,000 57471
TOTAL ALL BUDGET FUND GROUPS $ 1,792,372 $ 1,862,901 57472


       Section 307.10.  INS DEPARTMENT OF INSURANCE57474

Federal Special Revenue Fund Group57475

3U5 820-602 OSHIIP Operating Grant $ 1,100,000 $ 1,100,000 57476
TOTAL FED Federal Special 57477
Revenue Fund Group $ 1,100,000 $ 1,100,000 57478

State Special Revenue Fund Group57479

554 820-601 Operating Expenses - OSHIIP $ 553,750 $ 569,269 57480
554 820-606 Operating Expenses $ 23,350,236 $ 23,802,797 57481
555 820-605 Examination $ 7,639,581 $ 7,868,768 57482
TOTAL SSR State Special Revenue 57483
Fund Group $ 31,543,567 $ 32,240,834 57484
TOTAL ALL BUDGET FUND GROUPS $ 32,643,567 $ 33,340,834 57485

       MARKET CONDUCT EXAMINATION57486

       When conducting a market conduct examination of any insurer57487
doing business in this state, the Superintendent of Insurance may57488
assess the costs of the examination against the insurer. The57489
superintendent may enter into consent agreements to impose57490
administrative assessments or fines for conduct discovered that57491
may be violations of statutes or rules administered by the57492
superintendent. All costs, assessments, or fines collected shall57493
be deposited to the credit of the Department of Insurance57494
Operating Fund (Fund 554).57495

       EXAMINATIONS OF DOMESTIC FRATERNAL BENEFIT SOCIETIES57496

       The Director of Budget and Management, at the request of the 57497
Superintendent of Insurance, may transfer funds from the57498
Department of Insurance Operating Fund (Fund 554), established by57499
section 3901.021 of the Revised Code, to the Superintendent's57500
Examination Fund (Fund 555), established by section 3901.071 of57501
the Revised Code, only for expenses incurred in examining domestic57502
fraternal benefit societies as required by section 3921.28 of the57503
Revised Code.57504

       TRANSFER FROM FUND 554 TO GENERAL REVENUE FUND57505

        Not later than the thirty-first day of July each fiscal year, 57506
the Director of Budget and Management shall transfer $5,000,000 57507
from the Department of Insurance Operating Fund to the General 57508
Revenue Fund.57509

       Section 309.10. JFS DEPARTMENT OF JOB AND FAMILY SERVICES57510

General Revenue Fund57511

GRF 600-321 Support Services 57512
State $ 50,710,978 $ 52,496,413 57513
Federal $ 10,460,286 $ 11,290,237 57514
Support Services Total $ 61,171,264 $ 63,786,650 57515
GRF 600-410 TANF State $ 272,619,061 $ 272,619,061 57516
GRF 600-413 Child Care Match/Maintenance of Effort $ 84,120,596 $ 84,120,596 57517
GRF 600-416 Computer Projects 57518
State $ 115,701,181 $ 116,419,033 57519
Federal $ 21,548,144 $ 21,192,117 57520
Computer Projects Total $ 137,249,325 $ 137,611,150 57521
GRF 600-420 Child Support Administration $ 8,541,446 $ 10,641,446 57522
GRF 600-421 Office of Family Stability $ 4,614,932 $ 4,614,932 57523
GRF 600-423 Office of Children and Families $ 5,650,000 $ 5,900,000 57524
GRF 600-425 Office of Ohio Health Plans 57525
State $ 22,500,000 $ 22,500,000 57526
Federal $ 23,324,848 $ 23,418,368 57527
Office of Ohio Health Plans Total $ 45,824,848 $ 45,918,368 57528
GRF 600-502 Administration - Local $ 34,014,103 $ 34,014,103 57529
GRF 600-511 Disability Financial Assistance $ 24,028,480 $ 25,335,908 57530
GRF 600-512 Non-TANF Disaster Assistance $ 1,000,000 $ 1,000,000 57531
GRF 600-521 Entitlement Administration - Local $ 130,000,000 $ 130,000,000 57532
GRF 600-523 Children and Families Services $ 78,515,135 $ 78,515,135 57533
GRF 600-525 Health Care/Medicaid 57534
State $ 3,428,852,719 $ 3,558,124,242 57535
Federal $ 5,205,558,695 $ 5,707,943,410 57536
Health Care Total $ 8,634,411,414 $ 9,266,067,652 57537
GRF 600-526 Medicare Part D $ 254,397,401 $ 271,854,640 57538
GRF 600-528 Adoption Services 57539
State $ 40,043,266 $ 43,978,301 57540
Federal $ 44,081,243 $ 49,196,065 57541
Adoption Services Total $ 84,124,509 $ 93,174,366 57542
TOTAL GRF General Revenue Fund 57543
State $ 4,555,309,298 $ 4,712,133,810 57544
Federal $ 5,304,973,216 $ 5,813,040,197 57545
GRF Total $ 9,860,282,514 $ 10,525,174,007 57546

General Services Fund Group57547

4A8 600-658 Child Support Collections $ 26,680,794 $ 26,680,794 57548
4R4 600-665 BCII Services/Fees $ 36,974 $ 36,974 57549
5BG 600-653 Managed Care Assessment $ 210,655,034 $ 222,667,304 57550
5C9 600-671 Medicaid Program Support $ 80,120,048 $ 80,120,048 57551
5DL 600-639 Medicaid Revenue and Collections $ 51,966,785 $ 56,296,844 57552
5N1 600-677 County Technologies $ 1,000,000 $ 1,000,000 57553
5P5 600-692 Health Care Services $ 93,000,000 $ 62,000,000 57554
613 600-645 Training Activities $ 135,000 $ 135,000 57555
TOTAL GSF General Services 57556
Fund Group $ 463,594,635 $ 448,936,964 57557

Federal Special Revenue Fund Group57558

3AW 600-675 Faith Based Initiatives $ 1,000,000 $ 1,000,000 57559
3A2 600-641 Emergency Food Distribution $ 2,900,000 $ 3,500,000 57560
3D3 600-648 Children's Trust Fund Federal $ 2,040,524 $ 2,040,524 57561
3F0 600-623 Health Care Federal $ 1,209,188,383 $ 1,211,196,561 57562
3F0 600-650 Hospital Care Assurance Match $ 343,239,047 $ 343,239,047 57563
3G5 600-655 Interagency Reimbursement $ 1,469,763,073 $ 1,513,855,965 57564
3H7 600-617 Child Care Federal $ 207,269,463 $ 200,167,593 57565
3N0 600-628 IV-E Foster Care Maintenance $ 153,963,142 $ 153,963,142 57566
3S5 600-622 Child Support Projects $ 534,050 $ 534,050 57567
3V0 600-688 Workforce Investment Act $ 232,568,453 $ 233,082,144 57568
3V4 600-678 Federal Unemployment Programs $ 147,411,858 $ 152,843,414 57569
3V4 600-679 Unemployment Compensation Review Commission - Federal $ 3,092,890 $ 3,191,862 57570
3V6 600-689 TANF Block Grant $ 1,037,739,200 $ 1,085,861,099 57571
3W3 600-659 TANF/Title XX Transfer $ 9,782,101 $ 6,200,000 57572
327 600-606 Child Welfare $ 48,514,502 $ 47,947,309 57573
331 600-686 Federal Operating $ 53,963,318 $ 56,263,225 57574
384 600-610 Food Stamps and State Administration $ 160,237,060 $ 153,147,118 57575
385 600-614 Refugee Services $ 10,196,547 $ 11,057,826 57576
395 600-616 Special Activities/Child and Family Services $ 5,723,131 $ 5,717,151 57577
396 600-620 Social Services Block Grant $ 114,479,464 $ 114,474,085 57578
396 600-651 Second Harvest Food Banks $ 5,500,000 $ 5,500,000 57579
397 600-626 Child Support $ 303,661,307 $ 303,538,962 57580
398 600-627 Adoption Maintenance/ Administration $ 318,172,168 $ 317,483,676 57581
TOTAL FED Federal Special Revenue 57582
Fund Group $ 5,840,939,681 $ 5,925,804,753 57583

State Special Revenue Fund Group57584

198 600-647 Children's Trust Fund $ 6,788,522 $ 6,788,522 57585
4A9 600-607 Unemployment Compensation Administration Fund $ 12,273,062 $ 12,188,996 57586
4A9 600-694 Unemployment Compensation Review Commission $ 1,726,938 $ 1,811,004 57587
4E3 600-605 Nursing Home Assessments $ 4,759,914 $ 4,759,914 57588
4E7 600-604 Child and Family Services Collections $ 300,000 $ 300,000 57589
4J5 600-613 Nursing Facility Bed Assessments $ 34,613,984 $ 34,613,984 57590
4J5 600-618 Residential State Supplement Payments $ 15,700,000 $ 15,700,000 57591
4K1 600-621 ICF/MR Bed Assessments $ 19,332,437 $ 19,332,437 57592
4R3 600-687 Banking Fees $ 800,000 $ 800,000 57593
4Z1 600-625 HealthCare Compliance $ 10,000,000 $ 10,000,000 57594
5DB 600-637 Military Injury Grants $ 2,000,000 $ 2,000,000 57595
5ES 600-630 Food Assistance $ 500,000 $ 500,000 57596
5F2 600-667 Building Consolidation $ 250,000 $ 250,000 57597
5F3 600-668 Building Consolidation $ 1,000,000 $ 1,000,000 57598
5Q9 600-619 Supplemental Inpatient Hospital Payments $ 56,125,998 $ 56,125,998 57599
5R2 600-608 Medicaid-Nursing Facilities $ 175,000,000 $ 175,000,000 57600
5S3 600-629 MR/DD Medicaid Administration and Oversight $ 1,620,960 $ 1,620,960 57601
5U3 600-654 Health Care Services Administration $ 9,867,284 $ 12,000,349 57602
5U6 600-663 Children and Family Support $ 4,928,718 $ 4,928,718 57603
5Z9 600-672 TANF Quality Control Reinvestments $ 520,971 $ 546,254 57604
651 600-649 Hospital Care Assurance Program Fund $ 231,893,404 $ 231,893,404 57605
TOTAL SSR State Special Revenue 57606
Fund Group $ 590,002,192 $ 592,160,540 57607

Agency Fund Group57608

192 600-646 Support Intercept - Federal $ 110,000,000 $ 110,000,000 57609
5B6 600-601 Food Stamp Intercept $ 2,000,000 $ 2,000,000 57610
583 600-642 Support Intercept - State $ 16,000,000 $ 16,000,000 57611
TOTAL AGY Agency Fund Group $ 128,000,000 $ 128,000,000 57612

Holding Account Redistribution Fund Group57613

R12 600-643 Refunds and Audit Settlements $ 3,600,000 $ 3,600,000 57614
R13 600-644 Forgery Collections $ 10,000 $ 10,000 57615
TOTAL 090 Holding Account Redistribution Fund Group $ 3,610,000 $ 3,610,000 57616
TOTAL ALL BUDGET FUND GROUPS $ 16,886,429,022 $ 17,623,686,264 57617


       Section 309.20. SUPPORT SERVICES57619

       Section 309.20.10. GOVERNOR'S OFFICE OF FAITH-BASED AND 57620
COMMUNITY INITIATIVES57621

       Of the foregoing appropriation item 600-321, Support 57622
Services, up to $312,500 per fiscal year may be used to support 57623
the activities of the Governor's Office of Faith-Based and 57624
Community Initiatives.57625

       Section 309.20.30. AGENCY FUND GROUP57626

       The Agency Fund Group and Holding Account Redistribution Fund 57627
Group shall be used to hold revenues until the appropriate fund is 57628
determined or until the revenues are directed to the appropriate57629
governmental agency other than the Department of Job and Family 57630
Services. If it is determined that additional appropriation 57631
authority is necessary, such amounts are hereby appropriated.57632

       Section 309.30. MEDICAID57633

       Section 309.30.10. HEALTH CARE/MEDICAID57634

       The foregoing appropriation item 600-525, Health 57635
Care/Medicaid, shall not be limited by section 131.33 of the 57636
Revised Code.57637

       Section 309.30.13. CHILDREN'S HOSPITALS57638

        The Department of Job and Family Services shall submit to the 57639
United States Secretary of Health and Human Services an amendment 57640
to the State Medicaid Plan for the purpose of requesting federal 57641
approval to create a program under which the Department makes 57642
supplemental Medicaid payments to children's hospitals for 57643
inpatient services based on federal upper payment limits for 57644
children's hospitals. On receipt of federal approval, the 57645
Department shall implement the program. Under the program, the 57646
Department shall pay children's hospitals the federally allowable 57647
supplemental payment for hospital discharges qualifying for the 57648
program and occurring in fiscal year 2008 and fiscal year 2009.57649

        Of the foregoing appropriation item, 600-525, Health 57650
Care/Medicaid, up to $6 million (state share) in each fiscal year 57651
plus the corresponding federal match, if available, shall be used 57652
by the Department to pay the expenses of the program created under 57653
this section.57654

       Section 309.30.16. MEDICAID RESERVE FUND57655

        The Medicaid Reserve Fund is hereby created in the state 57656
treasury.57657

        Not later than July 31, 2007, or as soon as possible 57658
thereafter, the Director of Budget and Management shall transfer, 57659
for fiscal year 2008, $100,000,000 in cash from the General 57660
Revenue Fund to the Medicaid Reserve Fund.57661

        If at any time during fiscal year 2008 the Director of Budget 57662
and Management determines that additional appropriations are 57663
needed in appropriation item 600-525, Health Care/Medicaid, to 57664
fund the Medicaid Program, the Director of Budget and Management 57665
may submit a request to the Controlling Board to transfer cash 57666
from the Medicaid Reserve Fund. The request shall state the 57667
reasons for the transfer and the additional amounts being 57668
requested. The request shall be submitted at a regularly scheduled 57669
meeting of the Controlling Board. If the Controlling Board 57670
approves the transfer, the Director of Budget and Management shall 57671
transfer the approved amount of cash from the Medicaid Reserve 57672
Fund to the General Revenue Fund and increase the state share of 57673
appropriations in appropriation item 600-525, Health 57674
Care/Medicaid, and adjust the federal share accordingly. Any such 57675
transfers and adjustments are hereby appropriated.57676

        At the end of fiscal year 2008, the Director of Budget and 57677
Management shall transfer from the Medicaid Reserve Fund all the 57678
cash balance, including any interest earnings, in excess of any 57679
transfers approved by the Controlling Board to the credit of the 57680
General Revenue Fund. The Director of Budget and Management shall 57681
make transfers to the Budget Stabilization Fund or the Income Tax 57682
Reduction Fund in accordance with section 131.44 of the Revised 57683
Code.57684

        Not later than July 31, 2008, or as soon as possible 57685
thereafter, the Director of Budget and Management shall transfer, 57686
for fiscal year 2009, $185,000,000 in cash from the General 57687
Revenue Fund to the Medicaid Reserve Fund.57688

        If at any time during fiscal year 2009 the Director of Budget 57689
and Management determines that additional appropriations are 57690
needed in appropriation item 600-525, Health Care/Medicaid, to 57691
fund the Medicaid Program, the Director of Budget and Management 57692
may submit a request to the Controlling Board to transfer cash 57693
from the Medicaid Reserve Fund. The request shall state the 57694
reasons for the transfer and the additional amounts being 57695
requested. The request shall be submitted at a regularly scheduled 57696
meeting of the Controlling Board. If the Controlling Board 57697
approves the transfer, the Director of Budget and Management shall 57698
transfer the approved amount of cash from the Medicaid Reserve 57699
Fund to the General Revenue Fund and increase the state share of 57700
appropriations in appropriation item 600-525, Health 57701
Care/Medicaid, and adjust the federal share accordingly. Any such 57702
transfers and adjustments are hereby appropriated.57703

        At the end of fiscal year 2009, the Director of Budget and 57704
Management shall transfer from the Medicaid Reserve Fund all the 57705
cash balance, including any interest earnings, in excess of any 57706
transfers approved by the Controlling Board to the credit of the 57707
General Revenue Fund. The Director of Budget and Management shall 57708
make transfers to the Budget Stabilization Fund and the Income Tax 57709
Reduction Fund in accordance with section 131.44 of the Revised 57710
Code.57711

       Section 309.30.20. FISCAL YEAR 2008 MEDICAID REIMBURSEMENT 57712
SYSTEM FOR NURSING FACILITIES57713

       (A) As used in this section:57714

       "Franchise permit fee," "Medicaid days," "nursing facility," 57715
and "provider" have the same meanings as in section 5111.20 of the 57716
Revised Code.57717

       "Nursing facility services" means nursing facility services 57718
covered by the Medicaid program that a nursing facility provides 57719
to a resident of the nursing facility who is a Medicaid recipient 57720
eligible for Medicaid-covered nursing facility services.57721

       (B) Except as otherwise provided by this section, the 57722
provider of a nursing facility that has a valid Medicaid provider 57723
agreement on June 30, 2007, and a valid Medicaid provider 57724
agreement during fiscal year 2008 shall be paid, for nursing 57725
facility services the nursing facility provides during fiscal year 57726
2008, the rate calculated for the nursing facility under sections 57727
5111.20 to 5111.33 of the Revised Code with the following 57728
adjustments:57729

       (1) The cost per case mix-unit calculated under section 57730
5111.231 of the Revised Code, the rate for ancillary and support 57731
costs calculated under section 5111.24 of the Revised Code, the 57732
rate for capital costs calculated under section 5111.25 of the 57733
Revised Code, and the rate for tax costs calculated under section 57734
5111.242 of the Revised Code shall each be adjusted as follows:57735

       (a) Increase the cost and rates so calculated by two per 57736
cent;57737

       (b) Increase the cost and rates determined under division 57738
(B)(1)(a) of this section by two per cent;57739

       (c) Increase the cost and rates determined under division 57740
(B)(1)(b) of this section by two and eight-tenths per cent.57741

       (2) The mean payment used in the calculation of the quality 57742
incentive payment made under section 5111.244 of the Revised Code 57743
shall be, weighted by Medicaid days, three dollars and six cents 57744
per Medicaid day.57745

       (C) If the rate determined for a nursing facility under 57746
division (B) of this section for nursing facility services 57747
provided during fiscal year 2008 is more than one hundred three 57748
and fifty-five one-hundredths per cent of the rate the provider is 57749
paid for nursing facility services the nursing facility provides 57750
on June 30, 2007, the Department of Job and Family Services shall 57751
reduce the nursing facility's fiscal year 2008 rate so that the 57752
rate is not more than one hundred three and fifty-five hundredths 57753
per cent of the nursing facility's rate for June 30, 2007. If the 57754
rate determined for a nursing facility under division (B) of this 57755
section for nursing facility services provided during fiscal year 57756
2008 is less than the rate the provider is paid for nursing 57757
facility services the nursing facility provides on June 30, 2007, 57758
the Department shall increase the nursing facility's fiscal year 57759
2008 rate so that the rate is not less than the nursing facility's 57760
rate for June 30, 2007.57761

       (D) If the United States Centers for Medicare and Medicaid 57762
Services requires that the franchise permit fee be reduced or 57763
eliminated, the Department of Job and Family Services shall reduce 57764
the amount it pays providers of nursing facility services under 57765
this section as necessary to reflect the loss to the state of the 57766
revenue and federal financial participation generated from the 57767
franchise permit fee.57768

       (E) The Department of Job and Family Services shall follow 57769
this section in determining the rate to be paid to the provider of 57770
a nursing facility that has a valid Medicaid provider agreement on 57771
June 30, 2007, and a valid Medicaid provider agreement during 57772
fiscal year 2008 notwithstanding anything to the contrary in 57773
sections 5111.20 to 5111.33 of the Revised Code.57774

       Section 309.30.30.  FISCAL YEAR 2009 MEDICAID REIMBURSEMENT 57775
SYSTEM FOR NURSING FACILITIES57776

       (A) As used in this section:57777

       "Franchise permit fee," "Medicaid days," "nursing facility," 57778
and "provider" have the same meanings as in section 5111.20 of the 57779
Revised Code.57780

       "Nursing facility services" means nursing facility services 57781
covered by the Medicaid program that a nursing facility provides 57782
to a resident of the nursing facility who is a Medicaid recipient 57783
eligible for Medicaid-covered nursing facility services.57784

       (B) Except as otherwise provided by this section, the 57785
provider of a nursing facility that has a valid Medicaid provider 57786
agreement on June 30, 2008, and a valid Medicaid provider 57787
agreement during fiscal year 2009 shall be paid, for nursing 57788
facility services the nursing facility provides during fiscal year 57789
2009, the rate calculated for the nursing facility under sections 57790
5111.20 to 5111.33 of the Revised Code with the following 57791
adjustments:57792

       (1) The cost per case mix-unit calculated under section 57793
5111.231 of the Revised Code, the rate for ancillary and support 57794
costs calculated under section 5111.24 of the Revised Code, the 57795
rate for capital costs calculated under section 5111.25 of the 57796
Revised Code, and the rate for tax costs calculated under section 57797
5111.242 of the Revised Code shall each be adjusted as follows:57798

       (a) Increase the cost and rates so calculated by two per 57799
cent;57800

       (b) Increase the cost and rates determined under division 57801
(B)(1)(a) of this section by two per cent;57802

       (c) Increase the cost and rates determined under division 57803
(B)(1)(b) of this section by two and eight-tenths per cent;57804

       (d) Increase the cost and rates determined under division 57805
(B)(1)(c) of this section by one half of a per cent.57806

       (2) The mean payment used in the calculation of the quality 57807
incentive payment made under section 5111.244 of the Revised Code 57808
shall be, weighted by Medicaid days, three dollars and twelve 57809
cents per Medicaid day.57810

       (C) If the rate determined for a nursing facility under 57811
division (B) of this section for nursing facility services 57812
provided during fiscal year 2009 is more than the rate the 57813
provider is paid for nursing facility services the nursing 57814
facility provides on June 30, 2008, the Department of Job and 57815
Family Services shall reduce the nursing facility's fiscal year 57816
2009 rate so that the rate is not more than the nursing facility's 57817
rate for June 30, 2008. If the rate determined for a nursing 57818
facility under division (B) of this section for nursing facility 57819
services provided during fiscal year 2009 is less than the rate 57820
the provider is paid for nursing facility services the nursing 57821
facility provides on June 30, 2008, the Department shall increase 57822
the nursing facility's fiscal year 2009 rate so that the rate is 57823
not less than the nursing facility's rate for June 30, 2008.57824

       (D) If the United States Centers for Medicare and Medicaid 57825
Services requires that the franchise permit fee be reduced or 57826
eliminated, the Department of Job and Family Services shall reduce 57827
the amount it pays providers of nursing facility services under 57828
this section as necessary to reflect the loss to the state of the 57829
revenue and federal financial participation generated from the 57830
franchise permit fee.57831

       (E) The Department of Job and Family Services shall follow 57832
this section in determining the rate to be paid to the provider of 57833
a nursing facility that has a valid Medicaid provider agreement on 57834
June 30, 2008, and a valid Medicaid provider agreement during 57835
fiscal year 2009 notwithstanding anything to the contrary in 57836
sections 5111.20 to 5111.33 of the Revised Code.57837

       Section 309.30.40. FISCAL YEARS 2008 AND 2009 MEDICAID 57838
REIMBURSEMENT SYSTEM FOR ICFs/MR57839

       (A) As used in this section:57840

       "Intermediate care facility for the mentally retarded" has 57841
the same meaning as in section 5111.20 of the Revised Code.57842

       "Medicaid days" means all days during which a resident who is 57843
a Medicaid recipient occupies a bed in an intermediate care 57844
facility for the mentally retarded that is included in the 57845
facility's Medicaid-certified capacity. Therapeutic or hospital 57846
leave days for which payment is made under section 5111.33 of the 57847
Revised Code are considered Medicaid days proportionate to the 57848
percentage of the intermediate care facility for the mentally 57849
retarded's per resident per day rate paid for those days.57850

       "Per diem rate" means the per diem rate calculated pursuant 57851
to sections 5111.20 to 5111.33 of the Revised Code.57852

       (B) Notwithstanding sections 5111.20 to 5111.33 of the 57853
Revised Code, rates paid to intermediate care facilities for the 57854
mentally retarded under the Medicaid program shall be subject to 57855
the following limitations:57856

       (1) For fiscal year 2008, the mean total per diem rate for 57857
all intermediate care facilities for the mentally retarded in the 57858
state, weighted by May 2007 Medicaid days and calculated as of 57859
July 1, 2007, shall not exceed $266.14.57860

       (2) For fiscal year 2009, the mean total per diem rate for 57861
all intermediate care facilities for the mentally retarded in the 57862
state, weighted by May 2008 Medicaid days and calculated as of 57863
July 1, 2008, shall not exceed $271.46.57864

       (3) If the mean total per diem rate for all intermediate care 57865
facilities for the mentally retarded in the state for fiscal year 57866
2008 or 2009, weighted by Medicaid days as specified in division 57867
(B)(1) or (2) of this section, as appropriate, and calculated as 57868
of the first day of July of the calendar year in which the fiscal 57869
year begins, exceeds the amount specified in division (B)(1) or 57870
(2) of this section, as applicable, the Department of Job and 57871
Family Services shall reduce the total per diem rate for each 57872
intermediate care facility for the mentally retarded in the state 57873
by a percentage that is equal to the percentage by which the mean 57874
total per diem rate exceeds the amount specified in division 57875
(B)(1) or (2) of this section for that fiscal year.57876

       (4) Subsequent to any reduction required by division (B)(3) 57877
of this section, the rate of an intermediate care facility for the 57878
mentally retarded shall not be subject to any adjustments 57879
authorized by sections 5111.20 to 5111.33 of the Revised Code 57880
during the remainder of the year.57881

       Section 309.30.45. INCREASE IN MEDICAID RATES FOR PASSPORT 57882
SERVICES57883

        As used in this section, "PASSPORT program" means the program 57884
created under section 173.40 of the Revised Code.57885

        The Director of Job and Family Services shall amend the rules 57886
adopted under section 5111.85 of the Revised Code as necessary to 57887
accomplish the following:57888

        (A) Increase, for fiscal year 2008, the Medicaid 57889
reimbursement rates for services provided under the PASSPORT 57890
program to rates that result in an amount that is three per cent 57891
higher than the amount resulting from the rates in effect June 30, 57892
2007.57893

        (B) Increase, for fiscal year 2009, the Medicaid 57894
reimbursement rates for services provided under the PASSPORT 57895
program to rates that result in an amount that is three per cent 57896
higher than the amount resulting from the rates in effect June 30, 57897
2008.57898

       Section 309.30.50. HOME FIRST PROGRAM57899

       (A) As used in this section:57900

       (1) "Area agency on aging" has the same meaning as in section 57901
173.14 of the Revised Code.57902

       (2) "Long-Term Care Consultation Program" means the program 57903
the Department of Aging is required to develop under section 57904
173.42 of the Revised Code.57905

       (3) "Long-Term Care Consultation Program administrator" or 57906
"administrator" means the Department of Aging or, if the 57907
Department contracts with an area agency on aging or other entity 57908
to administer the Long-Term Care Consultation Program for a 57909
particular area, that agency or entity.57910

       (4) "Nursing facility" has the same meaning as in section 57911
5111.20 of the Revised Code.57912

       (5) "PASSPORT program" means the program created under 57913
section 173.40 of the Revised Code.57914

       (B) Each month during fiscal years 2008 and 2009, each area 57915
agency on aging shall determine whether individuals who reside in 57916
the area that the area agency on aging serves and are on a waiting 57917
list for the PASSPORT program have been admitted to a nursing 57918
facility. If an area agency on aging determines that such an 57919
individual has been admitted to a nursing facility, the agency 57920
shall notify the Long-Term Care Consultation Program administrator 57921
serving the area in which the individual resides about the 57922
determination. The administrator shall determine whether the 57923
PASSPORT program is appropriate for the individual and whether the 57924
individual would rather participate in the PASSPORT program than 57925
continue residing in the nursing facility. If the administrator 57926
determines that the PASSPORT program is appropriate for the 57927
individual and the individual would rather participate in the 57928
PASSPORT program than continue residing in the nursing facility, 57929
the administrator shall so notify the Department of Aging. On 57930
receipt of the notice from the administrator, the Department of 57931
Aging shall approve the enrollment of the individual in the 57932
PASSPORT program regardless of whether other individuals who are 57933
not in a nursing facility are ahead of the individual on the 57934
PASSPORT program's waiting list. Each quarter, the Department of 57935
Aging shall certify to the Director of Budget and Management the 57936
increase in costs of the PASSPORT program based on the total 57937
expenditures made for the individuals enrolled in the PASSPORT 57938
program pursuant to this section.57939

       (C) On a quarterly basis, on receipt of the certified 57940
expenditures, the Director of Budget and Management may do all of 57941
the following:57942

       (1) Transfer the state share of the amount of the actual 57943
expenditures from GRF appropriation item 600-525, Health 57944
Care/Medicaid, to GRF appropriation item 490-403, PASSPORT;57945

       (2) Increase the appropriation in Ohio Department of Aging 57946
Fund 3C4, appropriation item 490-607, PASSPORT, by the federal 57947
share of the amount of the actual expenditures;57948

       (3) Increase the appropriation in JFS Fund 3G5, appropriation 57949
item 600-655, Interagency Reimbursement, by the federal share of 57950
the amount of the actual expenditures.57951

       The funds that the Director of Budget and Management 57952
transfers and increases under this division are hereby 57953
appropriated.57954

       (D) The individuals placed in the PASSPORT program pursuant 57955
to this section shall be in addition to the individuals placed in 57956
the PASSPORT program during fiscal years 2008 and 2009 based on 57957
the amount of money that is in GRF appropriation item 490-403, 57958
PASSPORT; Fund 4J4, appropriation item 490-610, 57959
PASSPORT/Residential State Supplement; Fund 4U9, appropriation 57960
item 490-602, PASSPORT Fund; and Fund 3C4, appropriation item 57961
490-607, PASSPORT, before any transfers to GRF appropriation item 57962
490-403, PASSPORT, and Fund 3C4, appropriation item 490-607, 57963
PASSPORT, are made under this section.57964

       Section 309.30.60. MEDICAID COVERAGE OF CHIROPRACTIC SERVICES57965

        (A) As used in this section, "adult Medicaid recipient" means 57966
a Medicaid recipient twenty-two years of age or older.57967

        (B) For the period beginning January 1, 2009, and ending June 57968
30, 2009, and subject to division (C) of this section, the 57969
Medicaid Program shall cover chiropractic services for adult 57970
Medicaid recipients in an amount, duration, and scope specified in 57971
rules that the Director of Job and Family Services shall adopt 57972
under section 5111.02 of the Revised Code.57973

        (C) The Medicaid Program's coverage of chiropractic services 57974
under this section shall be limited as follows:57975

        (1) Fifteen visits per adult Medicaid recipient per fiscal 57976
year;57977

       (2) The total costs of coverage under this section may not 57978
exceed $5,000,000 per fiscal year.57979

       Section 309.30.70. MONEY FOLLOWS THE PERSON57980

        (A) Subject to division (B) of this section, the Director of 57981
Budget and Management may do any of the following in support of 57982
any home and community-based services waiver program:57983

       (1) Create new funds and account appropriation items to 57984
support and track funds associated with a unified long-term care 57985
budget;57986

       (2) Transfer funds among affected agencies and adjust 57987
corresponding appropriation levels;57988

       (3) Develop a reporting mechanism to show clearly how the 57989
funds are being transferred and expended.57990

       (B) Before an action may be taken under division (A) of this 57991
section, the Director shall present the proposed action to the 57992
Controlling Board. The Controlling Board shall review the proposed 57993
action and either approve or disapprove the action. The Director 57994
shall not implement the proposed action unless the action is 57995
approved by the Controlling Board.57996

       Section 309.30.90. MEDICAID ELIGIBILITY FOR PREGNANT WOMEN57997

       The Director of Job and Family Services shall, not later than 57998
ninety days after the effective date of this section, submit to 57999
the United States Secretary of Health and Human Services an 58000
amendment to the state Medicaid plan to increase to two hundred 58001
per cent of the federal poverty guidelines the income limit 58002
specified in division (A)(2) of section 5111.014 of the Revised 58003
Code. The increase shall be implemented not earlier than January 58004
1, 2008.58005

       Section 309.31.10. MEDICARE PART D58006

       The foregoing appropriation item 600-526, Medicare Part D, 58007
may be used by the Department of Job and Family Services for the 58008
implementation and operation of the Medicare Part D requirements 58009
contained in the "Medicare Prescription Drug, Improvement, and 58010
Modernization Act of 2003," Pub. L. No. 108-173, as amended. Upon 58011
the request of the Department of Job and Family Services, the 58012
Director of Budget and Management may increase the state share of 58013
appropriations in either appropriation item 600-525, Health 58014
Care/Medicaid, or appropriation item 600-526, Medicare Part D, 58015
with a corresponding decrease in the state share of the other 58016
appropriation item to allow the Department of Job and Family 58017
Services to implement and operate the new Medicare Part D 58018
requirements. If the state share of appropriation item 600-525, 58019
Health Care/Medicaid, is adjusted, the Director of Budget and 58020
Management shall adjust the federal share accordingly.58021

       Section 309.31.20. RESIDENT PROTECTION FUND58022

       If the Director of Budget and Management determines that the 58023
Resident Protection Fund created in section 5111.62 of the Revised 58024
Code has a cash balance, less encumbrances and appropriations, of 58025
more than $2,000,000, the Department of Job and Family Services or 58026
its designee may issue a competitive request for grant proposals 58027
to support projects that will benefit the residents of nursing 58028
facilities that have been found to have deficiencies. The 58029
directors of Job and Family Services, Health, and Aging or their 58030
designees shall determine priority categories for funding, make 58031
awards, and determine which of the three agencies should 58032
administer each grant. Based on these determinations, the Director 58033
of Budget and Management may transfer cash and appropriations 58034
matching the amount of each award to the appropriate agency. Any 58035
such transfers are hereby appropriated.58036

       Section 309.31.30. OHIO ACCESS SUCCESS PROJECT58037

       Notwithstanding any limitations in sections 3721.51 and58038
3721.56 of the Revised Code, in each fiscal year, cash from Fund 58039
4J5, Home and Community-Based Services for the Aged, in excess of 58040
the amounts needed for the transfers may be used by the Department 58041
of Job and Family Services for the following purposes: (A) up to 58042
$1.0 million in each fiscal year to fund the state share of audits 58043
of nursing facilities and intermediate care facilities for the 58044
mentally retarded; and (B) up to $350,000 in each fiscal year to 58045
provide one-time transitional benefits under the Ohio Access 58046
Success Project that the Director of Job and Family Services may 58047
establish under section 5111.88 of the Revised Code.58048

       Section 309.31.40.  TRANSFER OF FUNDS TO THE DEPARTMENT OF 58049
AGING58050

       The Department of Job and Family Services shall transfer,58051
through intrastate transfer vouchers, cash from Fund 4J5, Home and 58052
Community-Based Services for the Aged, to Fund 4J4, PASSPORT, in 58053
the Department of Aging. The sum of the transfers shall be 58054
$33,263,984 in each fiscal year. The transfer may occur on a58055
quarterly basis or on a schedule developed and agreed to by both58056
departments.58057

       Section 309.31.50. PROVIDER FRANCHISE FEE OFFSETS58058

       (A) At least quarterly, the Director of Job and Family 58059
Services shall certify to the Director of Budget and Management 58060
both of the following:58061

       (1) The amount of offsets withheld under section 3721.541 of 58062
the Revised Code from payments made from the General Revenue Fund. 58063

       (2) The amount of offsets withheld under section 5112.341 of 58064
the Revised Code from payments made from the General Revenue Fund.58065

       (B) The Director of Budget and Management may transfer cash 58066
from the General Revenue Fund to all of the following:58067

       (1) Fund 4J5, Home and Community Based Services/Aged Fund, or 58068
Fund 5R2, Nursing Facility Stabilization Fund, in accordance with 58069
sections 3721.56 and 3721.561 of the Revised Code;58070

       (2) Fund 4K1, ICF/MR Bed Assessments.58071

       (C) Amounts transferred pursuant to this section are hereby 58072
appropriated.58073

       Section 309.31.60. TRANSFER OF FUNDS TO THE DEPARTMENT OF 58074
MENTAL RETARDATION AND DEVELOPMENTAL DISABILITIES58075

       The Department of Job and Family Services shall transfer,58076
through intrastate transfer vouchers, cash from Fund 4K1, ICF/MR58077
Bed Assessments, to Fund 4K8, Home and Community-Based Services, 58078
in the Department of Mental Retardation and Developmental58079
Disabilities. The amount transferred shall equal $12,000,000 in 58080
each fiscal year. The transfer may occur on a quarterly basis or 58081
on a schedule developed and agreed to by both departments.58082

       Section 309.31.70. FUNDING FOR TRANSITION WAIVER SERVICES58083

       Notwithstanding any limitations contained in sections 5112.3158084
and 5112.37 of the Revised Code, in each fiscal year, cash from 58085
Fund 4K1, ICF/MR Bed Assessments, in excess of the amounts needed 58086
for transfers to Fund 4K8, Home and Community-Based Services, in 58087
the Department of Mental Retardation and Developmental 58088
Disabilities, may be used by the Department of Job and Family 58089
Services to cover costs of care provided to participants in a58090
waiver with an ICF/MR level of care requirement administered by 58091
the Department of Job and Family Services.58092

       Section 309.31.80. PAYMENTS FROM THE DEPARTMENT OF EDUCATION 58093
FOR MEDICAID SERVICES58094

       At the request of the Director of Job and Family Services, 58095
the Director of Budget and Management may increase the 58096
appropriation in appropriation item 600-639, Medicaid Revenue and 58097
Collections, by the amounts paid to the department pursuant to 58098
section 3317.023 of the Revised Code.58099

       Section 309.31.90. HOSPITAL CARE ASSURANCE MATCH58100

       Appropriation item 600-650, Hospital Care Assurance Match,58101
shall be used by the Department of Job and Family Services solely 58102
for distributing funds to hospitals under section 5112.08 of the 58103
Revised Code.58104

       Section 309.32.10. HEALTH CARE SERVICES ADMINISTRATION FUND58105

       Of the amount received by the Department of Job and Family58106
Services during fiscal year 2008 and fiscal year 2009 from the 58107
first installment of assessments paid under section 5112.06 of the 58108
Revised Code and intergovernmental transfers made under section 58109
5112.07 of the Revised Code, the Director of Job and Family 58110
Services shall deposit $350,000 in each fiscal year into the state 58111
treasury to the credit of the Health Care Services Administration 58112
Fund (Fund 5U3).58113

       Section 309.32.20. MEDICAID PROGRAM SUPPORT FUND - STATE58114

       The foregoing appropriation item 600-671, Medicaid Program58115
Support, shall be used by the Department of Job and Family58116
Services to pay for Medicaid services and contracts. The 58117
Department may also deposit to Fund 5C9 revenues received from 58118
other state agencies for Medicaid services under the terms of 58119
interagency agreements between the Department and other state 58120
agencies, and all funds the Department recovers because the 58121
benefits a person received under the disability medical assistance 58122
program established in section 5115.10 of the Revised Code were 58123
determined to be covered by the Medicaid Program established under 58124
Chapter 5111. of the Revised Code.58125

       Section 309.32.30. TRANSFERS OF IMD/DSH CASH TO THE 58126
DEPARTMENT OF MENTAL HEALTH58127

       The Department of Job and Family Services shall transfer,58128
through intrastate transfer voucher, cash from Fund 5C9, Medicaid58129
Program Support, to the Department of Mental Health's Fund 4X5,58130
OhioCare, in accordance with an interagency agreement that58131
delegates authority from the Department of Job and Family Services58132
to the Department of Mental Health to administer specified58133
Medicaid services.58134

       Section 309.32.40. PRESCRIPTION DRUG REBATE FUND58135

       The foregoing appropriation item 600-692, Health Care 58136
Services, shall be used by the Department of Job and Family58137
Services to pay for Medicaid services and contracts.58138

       Section 309.32.50. DISABILITY DETERMINATION PROCESS58139

       Based on the recommendations made by the Disability 58140
Determination Consolidation Study Council, the Rehabilitation 58141
Services Commission and the Department of Job and Family Services 58142
shall work together to reduce the duplication of activities 58143
performed by each agency and develop a systems interface so that 58144
medical information for mutual clients may be transferred between 58145
the agencies.58146

       Section 309.40. FAMILY STABILITY58147

       Section 309.40.10. WAIVER OF FOOD STAMP WORK REQUIREMENTS58148

        Pursuant to 7 U.S.C. 2015(o)(4)(A)(i), the Department of Job 58149
and Family Services shall request that the United States Secretary 58150
of Agriculture waive the applicability of the work requirement of 58151
7 U.S.C. 2015(o)(2) during fiscal years 2008 and 2009 to food 58152
stamp benefit recipients who reside in a county of this state that 58153
the Department determines has an unemployment rate of over 10 per 58154
cent or does not have a sufficient number of jobs to provide 58155
employment for the recipients.58156

       Section 309.40.20. FOOD STAMPS TRANSFER58157

       On July 1, 2007, or as soon as possible thereafter, the 58158
Director of Budget and Management may transfer up to $1,000,000 in 58159
cash from Fund 384, Food Stamp Program, to Fund 5ES, Food 58160
Assistance.58161

       Section 309.40.30. OHIO ASSOCIATION OF SECOND HARVEST FOOD 58162
BANKS58163

       As used in this section, "federal poverty guidelines" has the 58164
same meaning as in section 5101.46 of the Revised Code.58165

       Notwithstanding section 5101.46 of the Revised Code, the 58166
Department of Job and Family Services shall provide $5,500,000 in 58167
each fiscal year from the foregoing appropriation item 600-651, 58168
Second Harvest Food Banks, to the Ohio Association of Second 58169
Harvest Food Banks. The Department shall enter into a grant 58170
agreement with the Ohio Association of Second Harvest Food Banks 58171
to allow for the purchase of food products and the distribution of 58172
those food products to agencies participating in the emergency 58173
food distribution program. Notwithstanding section 5101.46 of the 58174
Revised Code, the grant may permit the Ohio Association of Second 58175
Harvest Food Banks to use up to 5 per cent of the annual funding 58176
for administrative costs. As soon as possible after entering into 58177
a grant agreement at the beginning of each fiscal year, the 58178
Department may advance grant funds to the grantee under section 58179
5101.10 of the Revised Code and in accordance with federal law.58180

       Prior to entering into the grant agreement, the Ohio 58181
Association of Second Harvest Food Banks shall submit to the 58182
Department for approval a plan for the distribution of the food 58183
products to local food distribution agencies. If the plan meets 58184
the requirements and conditions established by the Department, the 58185
plan shall be incorporated into the grant agreement. The grant 58186
agreement shall also require the Ohio Association of Second 58187
Harvest Food Banks to ensure that local agencies will limit 58188
participation of individuals and families who receive any of the 58189
food products purchased with these funds to those who have an 58190
income at or below 200 per cent of the federal poverty guidelines. 58191
The Department and the Ohio Association of Second Harvest Food 58192
Banks shall agree on reporting requirements to be incorporated 58193
into the grant agreement, including a statement of expected 58194
performance outcomes from the Ohio Association of Second Harvest 58195
Food Banks and a requirement for their evaluation of their success 58196
in achieving those outcomes.58197

       Section 309.40.33. CHILD SUPPORT COLLECTIONS/TANF MOE58198

       The foregoing appropriation item 600-658, Child Support58199
Collections, shall be used by the Department of Job and Family58200
Services to meet the TANF maintenance of effort requirements of 42 58201
U.S.C. 609(a)(7). When the state is assured that it will meet the58202
maintenance of effort requirement, the Department of Job and 58203
Family Services may use funds from appropriation item 600-658, 58204
Child Support Collections, to support child support activities.58205

       Section 309.40.40. TANF INITIATIVES58206

       The Department of Job and Family Services, in accordance with 58207
sections 5101.80 and 5101.801 of the Revised Code, shall take the 58208
steps necessary, through interagency agreement, adoption of rules, 58209
or otherwise as determined by the Department, to implement and 58210
administer the Title IV-A programs identified in this section.58211

       KINSHIP PERMANENCY INCENTIVE PROGRAM58212

       Of the foregoing appropriation item 600-689, TANF Block Grant 58213
(Fund 3V6), up to $10 million per fiscal year shall be used to 58214
support the activities of the Kinship Permanency Incentive Program 58215
created under section 5101.802 of the Revised Code.58216

       The Department of Job and Family Services shall prepare 58217
reports concerning both of the following:58218

        (A) Stability and permanency outcomes for children for whom 58219
incentive payments are made under the Kinship Permanency Incentive 58220
Program;58221

        (B) The total amount of payments made under the Program, 58222
patterns of expenditures made per child under the Program, and 58223
cost savings realized through the Program from placement with 58224
kinship caregivers rather than other out-of-home placements.58225

        The Department shall submit a report to the Governor, the 58226
Speaker and Minority Leader of the House of Representatives, and 58227
the President and Minority Leader of the Senate not later than 58228
December 31, 2008, and December 31, 2010.58229

       The amendments made by this act to section 5101.802 of the 58230
Revised Code shall not affect the eligibility of any kinship 58231
caregiver whose eligibility was established before the effective 58232
date of this section.58233

        OHIO ALLIANCE OF BOYS AND GIRLS CLUBS58234

        Of the foregoing appropriation item 600-689, TANF Block Grant 58235
(Fund 3V6), the Department of Job and Family Services shall use up 58236
to $600,000 in each fiscal year to support expenditures of the 58237
Ohio Alliance of Boys and Girls Clubs pursuant to section 5101.801 58238
of the Revised Code to provide after-school programs that protect 58239
at-risk children and enable youth to become responsible adults. 58240
The Ohio Alliance of Boys and Girls Clubs shall provide 58241
nutritional meals, snacks, and educational, youth development, and 58242
career development services to TANF eligible children 58243
participating in programs and activities operated by eligible Boys 58244
and Girls Clubs.58245

        The Department of Job and Family Services and the Ohio 58246
Alliance of Boys and Girls Clubs shall agree on reporting 58247
requirements to be incorporated into the grant agreement.58248

       CHILDREN'S HUNGER ALLIANCE58249

       Of the foregoing appropriation item 600-689, TANF Block Grant 58250
(Fund 3V6), up to $1,000,000 in each fiscal year shall be 58251
reimbursed to the Children's Hunger Alliance pursuant to section 58252
5101.801 of the Revised Code for Child Nutrition Program outreach 58253
efforts.58254

       SCHOOL READINESS ENRICHMENT58255

       Of the foregoing appropriation item 600-689, TANF Block Grant 58256
(Fund 3V6), up to $6,500,000 in each fiscal year shall be used for 58257
TANF eligible activities pursuant to section 5101.801 of the 58258
Revised Code to provide intervention services to prepare children 58259
for kindergarten.58260

       FOOD BANKS58261

       Of the foregoing appropriation item 600-689, TANF Block Grant 58262
(Fund 3V6), up to $1,500,000 in each fiscal year shall be used to 58263
reimburse the Ohio network of food banks pursuant to section 58264
5101.801 of the Revised Code for purchases and distribution of 58265
food products.58266

       GOVERNOR'S OFFICE OF FAITH-BASED AND COMMUNITY INITIATIVES58267

       Of the foregoing appropriation item 600-689, TANF Block Grant 58268
(Fund 3V6), up to $13,000,000 in each fiscal year shall be used to 58269
reimburse the Governor's Office for Faith-Based and Community 58270
Initiatives pursuant to section 5101.801 of the Revised Code for 58271
projects designed to serve the state's most vulnerable citizens.58272

       ADOPTION PROMOTION58273

       Of the foregoing appropriation item 600-689, TANF Block Grant 58274
(Fund 3V6), up to $5,000,000 in each fiscal year shall be used for 58275
TANF eligible activities pursuant to section 5101.801 of the 58276
Revised Code to provide additional support for initiatives aimed 58277
at increasing the number of adoptions including recruiting, 58278
promoting, and supporting adoptive families.58279

       INDEPENDENT LIVING INITIATIVES58280

       Of the foregoing appropriation item 600-689, TANF Block Grant 58281
(Fund 3V6), up to $2,500,000 in each fiscal year shall be used for 58282
TANF eligible activities pursuant to section 5101.801 of the 58283
Revised Code to support the independent living initiative, 58284
including life skills training and work supports for older 58285
children in foster care and those who have recently aged out of 58286
foster care.58287

       CLOSING THE ACHIEVEMENT GAP58288

       Of the foregoing appropriation item 600-689, TANF Block Grant 58289
(Fund 3V6), up to $10,000,000 in each fiscal year shall be used 58290
for TANF eligible activities pursuant to section 5101.801 of the 58291
Revised Code to provide intervention services aimed at improving 58292
the African-American male graduation rate.58293

       FAMILY SERVICE OF THE CINCINNATI AREA58294

       Of the foregoing appropriation item 600-689, TANF Block Grant 58295
(Fund 3V6), up to $25,000 in each fiscal year shall be used to 58296
reimburse, in accordance with section 5101.801 of the Revised 58297
Code, Family Service of the Cincinnati Area for the International 58298
Family Resource Center program.58299

       PARENT MENTORS58300

       Of the foregoing appropriation item 600-689, TANF Block Grant 58301
(Fund 3V6), up to $250,000 in fiscal year 2008 shall be used to 58302
reimburse the Department of Education pursuant to section 5101.801 58303
of the Revised Code for providing funding for an additional ten 58304
parent mentors. This additional support for parent mentors shall 58305
be aimed at increasing support for parents with children who have 58306
special needs, thereby reducing stress on the family and 58307
encouraging the maintenance of two parent families. Such funding 58308
shall be in addition to that which is provided for parent 58309
mentoring programs in GRF appropriation item 200-540, Special 58310
Education Enhancements, in the Department of Education.58311

       ACCOUNTABILITY AND CREDIBILITY TOGETHER58312

       Of the foregoing appropriation item 600-689, TANF Block 58313
Grant, up to $1,000,000 in each fiscal year shall be reimbursed to 58314
Accountability and Credibility Together (ACT) to continue its 58315
welfare diversion program to TANF eligible individuals pursuant to 58316
section 5101.801 of the Revised Code.58317

       AMERICAN ACADEMY OF PEDIATRICS58318

       Of the foregoing appropriation item 600-689, TANF Block Grant 58319
(Fund 3V6), up to $100,000 in fiscal year 2008 shall be used to 58320
reimburse, in accordance with section 5101.801 of the Revised 58321
Code, the American Academy of Pediatrics for the Reach Out and 58322
Read program.58323

       HOME WEATHERIZATION58324

       Of the foregoing appropriation item 600-689, TANF Block Grant 58325
(Fund 3V6), up to $500,000 in each fiscal year shall be used to 58326
reimburse, in accordance with section 5101.801 of the Revised 58327
Code, the Corporation for Ohio Appalachian Development for home 58328
weatherization.58329

       PROVIDENCE HOUSE58330

       Of the foregoing appropriation item 600-689, TANF Block Grant 58331
(Fund 3V6), up to $100,000 in fiscal year 2008 shall be used to 58332
reimburse, in accordance with section 5101.801 of the Revised 58333
Code, the Providence House for providing crisis intervention 58334
services for children who are at risk of abuse and neglect.58335

       BUTLER COUNTY SUCCESS PLAN58336

       Of the foregoing appropriation item 600-689, TANF Block Grant 58337
(Fund 3V6), up to $100,000 in fiscal year 2008 shall be used to 58338
provide reimbursement, in accordance with section 5101.801 of the 58339
Revised Code, for the Butler County Success Plan.58340

       AMERICAN RED CROSS-GREATER CLEVELAND CHAPTER AND THE BEREA 58341
CHILDREN'S HOME AND FAMILY SERVICES58342

        Of the foregoing appropriation item 600-689, TANF Block 58343
Grant, up to $2,063,000 in fiscal year 2008 shall be used to 58344
reimburse the American Red Cross-Greater Cleveland Chapter and the 58345
Berea Children's Home and Family Services in accordance with 58346
section 5101.801 of the Revised Code, for enrolling TANF eligible 58347
individuals in the Northeast Ohio Nurse Assistant Training 58348
Program, which will lead to employment opportunities in the 58349
healthcare field in a ten-county region.58350

        CENTER FOR FAMILIES AND CHILDREN RAPART YOUTH FELLOWSHIP 58351
PROGRAM58352

        Of the foregoing appropriation item 600-689, TANF Block 58353
Grant, up to $100,000 in fiscal year 2008 shall be used to 58354
reimburse the Center for Families and Children RapArt Youth 58355
Fellowship Program in accordance with section 5101.801 of the 58356
Revised Code for providing an after-school program that supports 58357
at-risk young adults and enables youth to become responsible 58358
adults.58359

        TALBERT HOUSE58360

        Of the foregoing appropriation item 600-689, TANF Block Grant 58361
(Fund 3V6), up to $50,000 in each fiscal year shall be used to 58362
reimburse, in accordance with section 5101.801 of the Revised 58363
Code, the Talbert House for providing TANF eligible non-medical 58364
behavioral health services.58365

        TANF EDUCATIONAL AWARDS PROGRAM58366

        Of the foregoing appropriation item 600-689, TANF Block Grant 58367
(Fund 3V6), up to $2,000,000 in each fiscal year shall be used to 58368
reimburse the Ohio Board of Regents pursuant to section 5101.801 58369
of the Revised Code for initiatives addressing postsecondary 58370
tuition and educational expenses not covered by other grant 58371
programs that target low-income students.58372

       HOME ENERGY ASSISTANCE PROGRAM58373

       The Department of Job and Family Services shall transfer, 58374
through intrastate transfer voucher, $45,000,000 in cash in fiscal 58375
year 2008 and $15,000,000 in fiscal year 2009 from Fund 3V6, TANF 58376
Block Grant, to Fund 3BJ, TANF Heating Assistance, in the 58377
Department of Development, in accordance with an interagency 58378
agreement. The Departments of Job and Family Services and 58379
Development shall enter into an interagency agreement for 58380
providing reimbursement to the Department of Development to 58381
administer the Title IV-A funded Home Energy Assistance Program 58382
(HEAP), which provides assistance with home energy fuel costs to 58383
needy families with children.58384

       If the Department of Development receives approval for a 58385
federal waiver to increase the percentage of the Home Energy Block 58386
Grant that may be used for weatherization to sixteen and one-half 58387
per cent in fiscal year 2008 and seventeen and one-half per cent 58388
in fiscal year 2009, the Department of Job and Family Services 58389
shall increase the amount of reimbursement to the Department of 58390
Development from Fund 3V6, TANF Block Grant, for the Title IV-A 58391
funded Home Energy Assistance Program by an amount equal to the 58392
additional amounts used for weatherization under the federal 58393
waiver.58394

        The directors of Job and Family Services and Development 58395
shall seek Controlling Board approval to adjust the appropriations 58396
for appropriation item 600-689, TANF Block Grant, in the 58397
Department of Job and Family Services and appropriation item 58398
195-685, TANF Heating Assistance, in the Department of 58399
Development, as needed to carry out the purposes described in the 58400
preceding paragraph.58401

       Section 309.40.60. EARLY LEARNING INITIATIVE58402

       (A) As used in this section:58403

       (1) "Title IV-A services" means benefits and services that 58404
are allowable under Title IV-A of the "Social Security Act," as 58405
specified in 42 U.S.C. 604(a), except that they shall not be 58406
benefits and services included in the term "assistance" as defined 58407
in 45 C.F.R. 260.31(a) and shall be benefits and services that are 58408
excluded from the definition of the term "assistance" under 45 58409
C.F.R. 260.31(b).58410

       (2) "Title IV-A funds" means funds provided under the 58411
temporary assistance for needy families block grant established by 58412
Title IV-A of the "Social Security Act," 110 Stat. 2113 (1996), 42 58413
U.S.C. 601, as amended.58414

       (3) "Eligible child" means a child who is at least three 58415
years of age but not of compulsory school age or enrolled in 58416
kindergarten, is eligible for Title IV-A services, and whose 58417
family income at the time of application does not exceed one 58418
hundred eighty-five per cent of the federal poverty line in fiscal 58419
year 2008 or two hundred per cent of the federal poverty line in 58420
fiscal year 2009.58421

       (4) "Early learning program" means a program for eligible 58422
children that is funded with Title IV-A funds and provides Title 58423
IV-A services, according to the purposes listed in 45 C.F.R. 58424
260.20(c), that are early learning services, as defined by 58425
pursuant to division (D)(1) of this section.58426

       (5) "Early learning provider" means an entity that is 58427
receiving Title IV-A funds to operate an early learning program.58428

       (6) "Early learning agency" means an early learning provider 58429
or an entity that has entered into an agreement with an early 58430
learning provider requiring the early learning provider to operate 58431
an early learning program on behalf of the entity.58432

       (7) "Federal poverty line" has the same meaning as in section 58433
5104.01 of the Revised Code.58434

       (8) "Of compulsory school age" has the same meaning as in 58435
section 3321.01 of the Revised Code.58436

       (B) The Early Learning Initiative is hereby established. The 58437
Department of Education and the Department of Job and Family 58438
Services shall administer the Initiative in accordance with 58439
sections 5101.80 and 5101.801 of the Revised Code. The Initiative 58440
shall provide early learning services to eligible children. Early 58441
learning programs may provide early learning services on a 58442
full-day basis, a part-day basis, or both a full-day and part-day 58443
basis.58444

       (C) The Department of Job and Family Services shall do both 58445
of the following:58446

       (1) Reimburse early learning agencies for Title IV-A services 58447
provided to eligible children according to the terms of the 58448
contract and the rules adopted under division (C)(2) of this 58449
section;58450

       (2) In consultation with the Department of Education, adopt 58451
rules in accordance with Chapter 119. of the Revised Code to 58452
implement the Early Learning Initiative. The rules shall include 58453
all of the following:58454

       (a) Provisions regarding the establishment of co-payments for 58455
families of eligible children whose family income is more than one 58456
hundred sixty-five per cent of the federal poverty line but equal 58457
to or less than the maximum amount of family income authorized for 58458
an eligible child as defined in division (A)(3) of this section;58459

       (b) An exemption from co-payment requirements for families 58460
whose family income is equal to or less than one hundred 58461
sixty-five per cent of the federal poverty line;58462

       (c) A definition of "enrollment" for the purpose of 58463
compensating early learning agencies;58464

       (d) Provisions that establish compensation rates for early 58465
learning agencies based on the enrollment of eligible children;58466

       (e) Caretaker employment eligibility requirements for 58467
participation in the Early Learning Initiative. These requirements 58468
shall specify the minimum number of hours that the caretaker of 58469
the eligible child must be employed and the time period over which 58470
the minimum number of hours is to be measured. These minimum hours 58471
may overlap the period during the day or week in which the child 58472
participates in the early learning program. These requirements 58473
shall permit the child to be determined to be, and remain, an 58474
eligible child for up to thirty days if the county department of 58475
job and family services determines that the caretaker is expected 58476
to begin engaging in an approved activity within that thirty-day 58477
period. These rules shall require the county department of job and 58478
family services to inform both the early learning agency and the 58479
Department of Job and Family Services of this determination. These 58480
rules shall require the Department of Job and Family Services to 58481
designate the activities that constitute approved activities for 58482
purposes of this requirement and to periodically review the 58483
requirement described in this division to ensure that it complies 58484
with federal law and regulations.58485

       (D) The Department of Education shall do all of the 58486
following:58487

       (1) Define the early learning services that will be provided 58488
to eligible children through the Early Learning Initiative;58489

       (2) In consultation with the Department of Job and Family 58490
Services, develop an application form and criteria for the 58491
selection of early learning agencies. The criteria shall require 58492
an early learning agency, or each early learning provider with 58493
which the agency has entered into an agreement for the operation 58494
of an early learning program on the agency's behalf, to be 58495
licensed or certified by the Department of Education under 58496
sections 3301.52 to 3301.59 of the Revised Code or by the 58497
Department of Job and Family Services under Chapter 5104. of the 58498
Revised Code;58499

       (3) Establish early learning program guidelines for school 58500
readiness to assess the operation of early learning programs.58501

       (E) Any entity that seeks to be an early learning agency 58502
shall apply to the Department of Education by a deadline 58503
established by the Department. The Department of Education shall 58504
select entities that meet the criteria established under division 58505
(D)(2) of this section to be early learning agencies. Upon 58506
selection of an entity to be an early learning agency, the 58507
Department of Education shall designate the number of eligible 58508
children the agency may enroll. The Department of Education shall 58509
notify the Department of Job and Family Services of the number so 58510
designated.58511

       (F) The Department of Education and the Department of Job and 58512
Family Services shall enter into a contract with each early 58513
learning agency selected under division (E) of this section. The 58514
requirements of section 127.16 of the Revised Code do not apply to 58515
contracts entered into under this section. The contract shall 58516
outline the terms and conditions applicable to the provision of 58517
Title IV-A services for eligible children and shall include at 58518
least the following:58519

       (1) The respective duties of the early learning agency, the 58520
Department of Education, and the Department of Job and Family 58521
Services;58522

       (2) Requirements applicable to the allowable use of and 58523
accountability for Title IV-A compensation paid under the 58524
contract;58525

       (3) Reporting requirements, including a requirement that the 58526
early learning provider inform the Department of Education when 58527
the provider learns that a kindergarten eligible child will not be 58528
enrolled in kindergarten;58529

       (4) The compensation schedule payable under the contract;58530

       (5) Audit requirements;58531

       (6) Provisions for suspending, modifying, or terminating the 58532
contract.58533

       (G) If an early learning agency, or an early learning 58534
provider operating an early learning program on the agency's 58535
behalf, substantially fails to meet the early learning program 58536
guidelines for school readiness or exhibits below average 58537
performance, as determined by the Department of Education, the 58538
agency shall develop and implement a corrective action plan. The 58539
Department of Education shall approve the corrective action plan 58540
prior to implementation.58541

       (H) If an early learning agency fails to implement a 58542
corrective action plan under division (G) of this section, the 58543
Department of Education may direct the Department of Job and 58544
Family Services to either withhold funding or request that the 58545
Department of Job and Family Services suspend or terminate the 58546
contract with the agency.58547

       (I) Each early learning program shall do all of the 58548
following:58549

       (1) Meet teacher qualification requirements prescribed by 58550
section 3301.311 of the Revised Code;58551

       (2) Align curriculum to the early learning content standards;58552

       (3) Meet any assessment requirements prescribed by section 58553
3301.0715 of the Revised Code that apply to the program;58554

       (4) Require teachers, except teachers enrolled and working to 58555
obtain a degree pursuant to section 3301.311 of the Revised Code, 58556
to attend a minimum of twenty hours per biennium of professional 58557
development as prescribed by the Department of Education regarding 58558
the implementation of early learning program guidelines for school 58559
readiness;58560

       (5) Document and report child progress;58561

       (6) Meet and report compliance with the early learning 58562
program guidelines for school success;58563

       (7) Participate in early language and literacy classroom 58564
observation evaluation studies.58565

       (J) Each county Department of Job and Family Services shall 58566
determine eligibility for Title IV-A services for children seeking 58567
to enroll in an early learning program within fifteen days after 58568
receipt of a completed application in accordance with rules 58569
adopted under this section.58570

       (K) The provision of early learning services in an early 58571
learning program shall not prohibit or otherwise prevent an 58572
individual from obtaining certificates for payment under division 58573
(C) of section 5104.32 of the Revised Code.58574

       (L) Notwithstanding section 126.07 of the Revised Code:58575

        (1) Any fiscal year 2008 contract executed prior to July 1, 58576
2007, between the Departments of Job and Family Services and 58577
Education and an early learning agency that was not an early 58578
learning agency as of June 30, 2007, shall be deemed to be 58579
effective as of July 1, 2007, upon issuance of a state purchase 58580
order, even if the purchase order is approved at some later date.58581

        (2) Any fiscal year 2008 contract executed between the 58582
Departments of Job and Family Services and Education and an early 58583
learning agency that had a valid contract for early learning 58584
services on June 30, 2007, shall be deemed to be effective as of 58585
July 1, 2007, upon the issuance of a state purchase order, even if 58586
the purchase order is approved at some later date.58587

        (3) Any fiscal year 2009 contract executed prior to July 1, 58588
2008, between the Departments of Job and Family Services and 58589
Education and an early learning agency that was not an early 58590
learning agency as of June 30, 2008, shall be deemed to be 58591
effective as of July 1, 2008, upon issuance of a state purchase 58592
order, even if the purchase order is approved at some later date.58593

       (4) Any fiscal year 2009 contract executed between the 58594
Departments of Job and Family Services and Education and an early 58595
learning agency that had a valid contract for early learning 58596
services on June 30, 2008, shall be deemed to be effective as of 58597
July 1, 2008, upon the issuance of a state purchase order, even if 58598
the purchase order is approved at some later date.58599

        (M) Of the foregoing appropriation item 600-689, TANF Block 58600
Grant (Fund 3V6), up to $125,256,000 shall be used in each fiscal 58601
year to compensate early learning agencies under this section. The 58602
Departments of Job and Family Services and Education shall 58603
contract for up to 12,000 enrollment slots for eligible children 58604
in each fiscal year through the Early Learning Initiative.58605

       (N) Of the foregoing appropriation item 600-689, TANF Block 58606
Grant (Fund 3V6), up to $800,000 in each fiscal year may be used 58607
by the Department of Job and Family Services for administration of 58608
the Early Learning Initiative.58609

       (O) Up to $2,200,000 in each fiscal year may be used by the 58610
Department of Education to perform administrative functions for 58611
the Early Learning Initiative. The Department of Job and Family 58612
Services shall transfer, through intrastate transfer vouchers, 58613
cash from Fund 3V6, TANF Block Grant, to Fund 5W2, Early Learning 58614
Initiative, in the Department of Education. The amount transferred 58615
shall not exceed $2,200,000 in fiscal year 2008 and $2,200,000 in 58616
fiscal year 2009. The transfer shall occur on a reimbursement 58617
basis on a schedule developed and agreed to by both departments.58618

       Section 309.50. CHILDREN AND FAMILIES58619

       Section 309.50.10. CHILD WELFARE TRAINING INITIATIVE58620

        In each fiscal year, the Department of Job and Family 58621
Services shall grant $50,000 from appropriation item 600-528, 58622
Adoption Services, and $150,000 from appropriation item 600-606, 58623
Child Welfare (Fund 327), to the National Center for Adoption Law 58624
and Policy to fund a multi-disciplinary child welfare training 58625
initiative. The Department of Job and Family Services shall 58626
coordinate with the National Center for Adoption Law and Policy to 58627
determine the focus of the training provided each year.58628

       ADOPTION LAWSITE INITIATIVE58629

       In each fiscal year, the Department of Job and Family 58630
Services shall grant $37,500 from appropriation item 600-528, 58631
Adoption Services, and $112,500 from appropriation item 600-606, 58632
Child Welfare (Fund 327), to the National Center for Adoption Law 58633
and Policy to fund expansion of the Adoption LawSite Initiative.58634

       Section 309.50.20. CHILDREN'S TRUST FUND58635

       Notwithstanding sections 3109.13 to 3109.18 of the Revised 58636
Code, in each fiscal year, the Director of Budget and Management 58637
shall transfer $1,500,000 cash from the Children's Trust Fund 58638
(Fund 198) in the Department of Job and Family Services to the 58639
Partnerships for Success Fund (Fund 5BH) in the Department of 58640
Youth Services.58641

       Section 309.50.30. A child day-care center or type A or B 58642
family day-care home participating in the voluntary child care 58643
quality-rating program established pursuant to section 5104.30 of 58644
the Revised Code and providing publicly funded child care is 58645
eligible to receive a reimbursement rate for the publicly funded 58646
child care up to the sixty-fifth percentile of the 2006 Ohio Child 58647
Care Market Rate Survey if the center or home participates in the 58648
program in fiscal year 2008 and maintains a two-star program 58649
rating in fiscal year 2009, according to the program rating system 58650
established in rules adopted pursuant to section 5104.30 of the 58651
Revised Code.58652

       Section 309.70. WORKFORCE DEVELOPMENT58653

       Section 309.70.10. TRANSFER TO THE MILITARY INJURY RELIEF 58654
FUND58655

       In each year of the biennium, the Director of Job and Family 58656
Services shall certify to the Director of Budget and Management 58657
the total amount of incentive grants deposited into Fund 331, 58658
Federal Operating, on behalf of state and county employees and 58659
other individuals, entities, and persons with exemplary service to 58660
veterans under an approved employment service delivery program 58661
defined in the "Jobs for Veterans Act," 116 Stat. 2033 (2002), as 58662
approved by the United States Department of Labor. The Director of 58663
Budget and Management shall transfer cash equal to the amount 58664
certified by the Director of Job and Family Services from Fund 331 58665
to Fund 5DB, Military Injury Grants. The transferred funds shall 58666
be used to support grants to eligible individuals under section 58667
5101.98 of the Revised Code and rules adopted in accordance with 58668
that section.58669

       Section 309.70.20. WORKFORCE DEVELOPMENT GRANT AGREEMENT58670

       The Department of Job and Family Services may use 58671
appropriations from appropriation item 600-688, Workforce 58672
Investment Act, to provide financial assistance for workforce 58673
development activities included in a grant agreement entered into 58674
by the department in accordance with section 5101.20 of the 58675
Revised Code.58676

       OHIO STATE APPRENTICESHIP COUNCIL58677

       Of the foregoing appropriation item 600-688, Workforce 58678
Investment Act, up to $1,900,000 in fiscal year 2008 and up to 58679
$2,200,000 in fiscal year 2009 may be used to support the 58680
activities of the Ohio State Apprenticeship Council.58681

       YOUTH EMPLOYMENT PROGRAMS58682

       Of the foregoing appropriation item 600-688, Workforce 58683
Investment Act, up to $6,000,000 over the biennium shall be used 58684
for competitive grants to eight major urban centers and four other 58685
locations, at least two of which are rural, to provide strategies 58686
and programs that meet the needs of at-risk youth. The program 58687
shall target youth who have disengaged from the education system 58688
and youthful offenders who will be returning to their communities. 58689
Eligible grant applications include governmental units, workforce 58690
investment boards, and not-for-profit and for-profit entities. 58691
Grant funds may be used for youth wages and benefits, supervisory 58692
costs, training and support costs, and infrastructure expenses. 58693
Grant funds may not be used for construction or renovation of 58694
facilities.58695

       THIRD FRONTIER INTERNSHIP PROGRAM58696

       Of the foregoing appropriation item 600-688, Workforce 58697
Investment Act, $1,500,000 in each fiscal year shall be used to 58698
support the Third Frontier Internship program.58699

       NURSE EDUCATION ASSISTANCE58700

       Of the foregoing appropriation item 600-688, Workforce 58701
Investment Act, $700,000 in each fiscal year shall be used to 58702
support the Nurse Education Assistance program described in 58703
division (C)(1)(a) of section 3333.28 of the Revised Code.58704

       Section 309.80. UNEMPLOYMENT COMPENSATION58705

       Section 309.80.10. EMPLOYER SURCHARGE58706

       The surcharge and the interest on the surcharge amounts due58707
for calendar years 1988, 1989, and 1990 as required by Am. Sub.58708
H.B. 171 of the 117th General Assembly, Am. Sub. H.B. 111 of the58709
118th General Assembly, and section 4141.251 of the Revised Code58710
as it existed prior to its repeal by Sub. H.B. 478 of the 122nd58711
General Assembly, again shall be assessed and collected by, 58712
accounted for, and made available to the Department of Job and58713
Family Services in the same manner as set forth in section 58714
4141.251 of the Revised Code as it existed prior to its repeal by 58715
Sub. H.B. 478 of the 122nd General Assembly, notwithstanding the 58716
repeal of the surcharge for calendar years after 1990, pursuant to 58717
Sub. H.B. 478 of the 122nd General Assembly, except that amounts 58718
received by the Director on or after July 1, 2001, shall be 58719
deposited into the Unemployment Compensation Special 58720
Administrative Fund (Fund 4A9) established pursuant to section 58721
4141.11 of the Revised Code.58722

       Section 309.80.20.  FEDERAL UNEMPLOYMENT PROGRAMS58723

       All unexpended funds remaining at the end of fiscal year 2007 58724
that were appropriated and made available to the state under 58725
section 903(d) of the Social Security Act, as amended, in the 58726
foregoing appropriation item 600-678, Federal Unemployment 58727
Programs (Fund 3V4), are hereby appropriated to the Department of 58728
Job and Family Services. Upon the request of the Director of Job 58729
and Family Services, the Director of Budget and Management may 58730
increase the appropriation for fiscal year 2008 by the amount 58731
remaining unspent from the fiscal year 2007 appropriation and may 58732
increase the appropriation for fiscal year 2009 by the amount 58733
remaining unspent from the fiscal year 2008 appropriation. The 58734
appropriation shall be used under the direction of the Department 58735
of Job and Family Services to pay for administrative activities 58736
for the Unemployment Insurance Program, employment services, and 58737
other allowable expenditures under section 903(d) of the Social 58738
Security Act, as amended.58739

       The amounts obligated pursuant to this section shall not 58740
exceed at any time the amount by which the aggregate of the 58741
amounts transferred to the account of the state under section 58742
903(d) of the Social Security Act, as amended, exceeds the 58743
aggregate of the amounts obligated for administration and paid out 58744
for benefits and required by law to be charged against the amounts 58745
transferred to the account of the state.58746

       Section 309.80.30. TIME-LIMITED MEDICAID PROVIDER AGREEMENTS58747

       Each Medicaid provider agreement that is not time-limited on 58748
the effective date of section 5111.028 of the Revised Code, as 58749
enacted by this act, shall be converted by the Department of Job 58750
and Family Services into a time-limited provider agreement. The 58751
converted provider agreement shall expire three years from 58752
effective date of the conversion. The Department shall notify the 58753
provider in writing that provider agreement has been converted 58754
into a time-limited provider agreement.58755

       Notwithstanding division (B) of section 5111.06 of the 58756
Revised Code, the Department is not required to issue an order 58757
pursuant to an adjudication conducted in accordance with Chapter 58758
119. of the Revised Code when converting a provider agreement 58759
under this section.58760

       Section 311.10.  JCO JUDICIAL CONFERENCE OF OHIO58761

General Revenue Fund58762

GRF 018-321 Operating Expenses $ 985,710 $ 1,015,281 58763
TOTAL GRF General Revenue Fund $ 985,710 $ 1,015,281 58764

General Services Fund Group58765

403 018-601 Ohio Jury Instructions $ 350,000 $ 350,000 58766
TOTAL GSF General Services Fund Group $ 350,000 $ 350,000 58767
TOTAL ALL BUDGET FUND GROUPS $ 1,335,710 $ 1,365,281 58768

       STATE COUNCIL OF UNIFORM STATE LAWS58769

       Notwithstanding section 105.26 of the Revised Code, of the58770
foregoing appropriation item 018-321, Operating Expenses, up to58771
$71,000 in fiscal year 2008 and up to $73,000 in fiscal year 200958772
may be used to pay the expenses of the State Council of Uniform58773
State Laws, including membership dues to the National Conference58774
of Commissioners on Uniform State Laws.58775

       OHIO JURY INSTRUCTIONS FUND58776

       The Ohio Jury Instructions Fund (Fund 403) shall consist of58777
grants, royalties, dues, conference fees, bequests, devises, and58778
other gifts received for the purpose of supporting costs incurred58779
by the Judicial Conference of Ohio in dispensing educational and58780
informational data to the state's judicial system. Fund 403 shall58781
be used by the Judicial Conference of Ohio to pay expenses58782
incurred in dispensing educational and informational data to the58783
state's judicial system. All moneys accruing to Fund 403 in excess 58784
of $350,000 in fiscal year 2008 and in excess of $350,000 in 58785
fiscal year 2009 are hereby appropriated for the purposes58786
authorized.58787

       No money in the Ohio Jury Instructions Fund shall be58788
transferred to any other fund by the Director of Budget and58789
Management or the Controlling Board.58790

       Section 313.10.  JSC THE JUDICIARY/SUPREME COURT58791

General Revenue Fund58792

GRF 005-321 Operating Expenses - Judiciary/Supreme Court $ 127,778,192 $ 133,144,970 58793
GRF 005-401 State Criminal Sentencing Council $ 331,500 $ 336,770 58794
GRF 005-406 Law-Related Education $ 229,290 $ 236,172 58795
GRF 005-409 Ohio Courts Technology Initiative $ 4,000,000 $ 6,500,000 58796
GRF 005-502 Commission for Legal Education Opportunity $ 250,000 $ 350,000 58797
TOTAL GRF General Revenue Fund $ 132,588,982 $ 140,567,912 58798

General Services Fund Group58799

672 005-601 Continuing Judicial Education $ 136,000 $ 140,000 58800
TOTAL GSF General Services Fund Group $ 136,000 $ 140,000 58801

Federal Special Revenue Fund Group58802

3J0 005-603 Federal Grants $ 1,518,491 $ 1,467,693 58803
TOTAL FED Federal Special Revenue Fund Group $ 1,518,491 $ 1,467,693 58804

State Special Revenue Fund Group58805

4C8 005-605 Attorney Services $ 3,841,416 $ 3,936,058 58806
5T8 005-609 Grants and Awards $ 100,000 $ 100,000 58807
6A8 005-606 Supreme Court Admissions $ 1,496,633 $ 1,541,532 58808
TOTAL SSR State Special Revenue Fund Group $ 5,438,049 $ 5,577,590 58809
TOTAL ALL BUDGET FUND GROUPS $ 139,681,522 $ 147,753,195 58810

       LAW-RELATED EDUCATION58811

        The foregoing appropriation item 005-406, Law-Related 58812
Education, shall be distributed directly to the Ohio Center for 58813
Law-Related Education for the purposes of providing continuing 58814
citizenship education activities to primary and secondary 58815
students, expanding delinquency prevention programs, increasing 58816
activities for at-risk youth, and accessing additional public and 58817
private money for new programs.58818

       OHIO COURTS TECHNOLOGY INITIATIVE58819

       The foregoing appropriation item 005-409, Ohio Courts 58820
Technology Initiative, shall be used to fund an initiative by the 58821
Supreme Court to facilitate the exchange of information and 58822
warehousing of data by and between Ohio courts and other justice 58823
system partners through the creation of an Ohio Courts Network, 58824
the delivery of technology services to courts throughout the 58825
state, including the provision of hardware, software, and the 58826
development and implementation of educational and training 58827
programs for judges and court personnel, and the creation and 58828
operation of the Commission on Technology and the Courts by the 58829
Supreme Court for the promulgation of statewide rules, policies, 58830
and uniform standards, and to aid in the orderly adoption and 58831
comprehensive use of technology in Ohio courts.58832

       COMMISSION FOR LEGAL EDUCATION OPPORTUNITY58833

        The foregoing appropriation item 005-502, Commission for 58834
Legal Education Opportunity, shall be used to fund activities of 58835
the Commission for Legal Education Opportunity created by the 58836
Chief Justice of the Supreme Court of Ohio for purposes of 58837
assisting minority, low-income, and educationally disadvantaged 58838
college graduates in transition to legal education. Moneys 58839
appropriated to the Commission for Legal Education Opportunity may 58840
be used to establish and provide intensive course study designed 58841
to prepare eligible college graduates for law education, provide 58842
annual stipends for students who successfully complete the course 58843
of study and are admitted to and maintain satisfactory academic 58844
standing in an Ohio law school, and pay the administrative costs 58845
associated with the program.58846

       CONTINUING JUDICIAL EDUCATION58847

       The Continuing Judicial Education Fund (Fund 672) shall58848
consist of fees paid by judges and court personnel for attending58849
continuing education courses and other gifts and grants received58850
for the purpose of continuing judicial education. The foregoing58851
appropriation item 005-601, Continuing Judicial Education, shall58852
be used to pay expenses for continuing education courses for58853
judges and court personnel. If it is determined by the58854
Administrative Director of the Supreme Court that additional58855
appropriations are necessary, the amounts are hereby appropriated.58856

       No money in the Continuing Judicial Education Fund shall be58857
transferred to any other fund by the Director of Budget and58858
Management or the Controlling Board. Interest earned on moneys in58859
the Continuing Judicial Education Fund shall be credited to the58860
fund.58861

       FEDERAL GRANTS58862

       The Federal Grants Fund (Fund 3J0) shall consist of grants58863
and other moneys awarded to the Supreme Court (The Judiciary) by 58864
the United States Government or other entities that receive the58865
moneys directly from the United States Government and distribute 58866
those moneys to the Supreme Court (The Judiciary). The foregoing 58867
appropriation item 005-603, Federal Grants, shall be used in a 58868
manner consistent with the purpose of the grant or award. If it is 58869
determined by the Administrative Director of the Supreme Court 58870
that additional appropriations are necessary, the amounts are 58871
hereby appropriated.58872

       No money in the Federal Grants Fund shall be transferred to 58873
any other fund by the Director of Budget and Management or the 58874
Controlling Board. However, interest earned on moneys in the 58875
Federal Grants Fund shall be credited or transferred to the 58876
General Revenue Fund.58877

       ATTORNEY SERVICES58878

       The Attorney Services Fund (Fund 4C8), formerly known as the 58879
Attorney Registration Fund, shall consist of moneys received by 58880
the Supreme Court (The Judiciary) pursuant to the Rules for the 58881
Government of the Bar of Ohio. In addition to funding other 58882
activities considered appropriate by the Supreme Court, the 58883
foregoing appropriation item 005-605, Attorney Services, may be 58884
used to compensate employees and to fund appropriate activities of 58885
the following offices established by the Supreme Court: the Office 58886
of Disciplinary Counsel, the Board of Commissioners on Grievances 58887
and Discipline, the Clients' Security Fund, and the Attorney 58888
Services Division. If it is determined by the Administrative 58889
Director of the Supreme Court that additional appropriations are 58890
necessary, the amounts are hereby appropriated.58891

       No moneys in the Attorney Services Fund shall be transferred 58892
to any other fund by the Director of Budget and Management or the 58893
Controlling Board. Interest earned on moneys in the Attorney 58894
Services Fund shall be credited to the fund.58895

       GRANTS AND AWARDS58896

       The Grants and Awards Fund (Fund 5T8) shall consist of grants 58897
and other moneys awarded to the Supreme Court (The Judiciary) by 58898
the State Justice Institute, the Division of Criminal Justice 58899
Services, or other entities. The foregoing appropriation item 58900
005-609, Grants and Awards, shall be used in a manner consistent 58901
with the purpose of the grant or award. If it is determined by the 58902
Administrative Director of the Supreme Court that additional 58903
appropriations are necessary, the amounts are hereby appropriated.58904

       No moneys in the Grants and Awards Fund shall be transferred 58905
to any other fund by the Director of Budget and Management or the 58906
Controlling Board. However, interest earned on moneys in the 58907
Grants and Awards Fund shall be credited or transferred to the 58908
General Revenue Fund.58909

       SUPREME COURT ADMISSIONS58910

       The foregoing appropriation item 005-606, Supreme Court58911
Admissions, shall be used to compensate Supreme Court employees58912
who are primarily responsible for administering the attorney58913
admissions program under the Rules for the Government of the Bar 58914
of Ohio, and to fund any other activities considered appropriate 58915
by the court. Moneys shall be deposited into the Supreme Court58916
Admissions Fund (Fund 6A8) under the Supreme Court Rules for the58917
Government of the Bar of Ohio. If it is determined by the 58918
Administrative Director of the Supreme Court that additional 58919
appropriations are necessary, the amounts are hereby appropriated.58920

       No moneys in the Supreme Court Admissions Fund shall be58921
transferred to any other fund by the Director of Budget and58922
Management or the Controlling Board. Interest earned on moneys in58923
the Supreme Court Admissions Fund shall be credited to the fund.58924

       FUND ELIMINATION58925

       Effective July 1, 2007, or as soon as practicable thereafter, 58926
the Director of Budget and Management shall transfer the cash 58927
balance in the Commission on Continuing Legal Education Fund (Fund 58928
643) to the Attorney Services Fund (Fund 4C8). The director shall 58929
cancel any existing encumbrances against appropriation item 58930
005-607, Commission on Continuing Legal Education, and 58931
re-establish them against appropriation item 005-605, Attorney 58932
Services. The amounts of the re-established encumbrances are 58933
hereby appropriated. Upon completion of these transfers, the 58934
Commission on Continuing Legal Education Fund (Fund 643) is hereby 58935
abolished.58936

       Section 315.10.  LEC LAKE ERIE COMMISSION58937

State Special Revenue Fund Group58938

4C0 780-601 Lake Erie Protection Fund $ 450,000 $ 450,000 58939
5D8 780-602 Lake Erie Resources Fund $ 387,000 $ 388,000 58940
TOTAL SSR State Special Revenue 58941
Fund Group $ 837,000 $ 838,000 58942
TOTAL ALL BUDGET FUND GROUPS $ 837,000 $ 838,000 58943

       CASH TRANSFER58944

       Not later than the thirtieth day of November of each fiscal58945
year, the Executive Director of the Ohio Lake Erie Office, with58946
the approval of the Lake Erie Commission, shall certify to the58947
Director of Budget and Management the cash balance in the Lake58948
Erie Resources Fund (Fund 5D8) in excess of amounts needed to meet58949
operating expenses of the Lake Erie Office. The Lake Erie Office 58950
may request the Director of Budget and Management to transfer up 58951
to the certified amount from the Lake Erie Resources Fund (Fund 58952
5D8) to the Lake Erie Protection Fund (Fund 4C0). The Director of 58953
Budget and Management may transfer the requested amount, or the 58954
Director may transfer a different amount up to the certified 58955
amount. Cash transferred shall be used for the purposes described 58956
in division (A) of section 1506.23 of the Revised Code. The amount 58957
transferred by the director is hereby appropriated to the58958
foregoing appropriation item 780-601, Lake Erie Protection Fund,58959
which shall be increased by the amount transferred.58960

       Section 317.10.  LRS LEGAL RIGHTS SERVICE58961

General Revenue Fund58962

GRF 054-321 Support Services $ 198,075 $ 198,075 58963
GRF 054-401 Ombudsman $ 291,247 $ 291,247 58964
TOTAL GRF General Revenue Fund $ 489,322 $ 489,322 58965

General Services Fund Group58966

5M0 054-610 Program Support $ 81,352 $ 81,352 58967
TOTAL GSF General Services 58968
Fund Group $ 81,352 $ 81,352 58969

Federal Special Revenue Fund Group58970

3AG 054-613 Protection and Advocacy - Voter Accessibility $ 115,000 $ 115,000 58971
3B8 054-603 Protection and Advocacy - Mentally Ill $ 1,089,999 $ 1,089,999 58972
3CA 054-615 Work Incentives Planning and Assistance $ 355,000 $ 355,000 58973
3N3 054-606 Protection and Advocacy - Individual Rights $ 560,000 $ 560,000 58974
3N9 054-607 Assistive Technology $ 160,000 $ 160,000 58975
3R9 054-604 Family Support Collaborative $ 55,000 $ 55,000 58976
3R9 054-616 Developmental Disability Publications $ 130,000 $ 130,000 58977
3T2 054-609 Client Assistance Program $ 435,000 $ 435,000 58978
3X1 054-611 Protection and Advocacy for Beneficiaries of Social Security $ 235,001 $ 235,001 58979
3Z6 054-612 Traumatic Brain Injury $ 70,000 $ 70,000 58980
305 054-602 Protection and Advocacy - Developmentally Disabled $ 1,500,000 $ 1,500,000 58981
TOTAL FED Federal Special Revenue 58982
Fund Group $ 4,705,000 $ 4,705,000 58983

State Special Revenue Fund Group58984

5AE 054-614 Grants and Contracts $ 100,000 $ 100,000 58985
TOTAL SSR State Special Revenue Fund Group $ 100,000 $ 100,000 58986
TOTAL ALL BUDGET FUND GROUPS $ 5,375,674 $ 5,375,674 58987


       Section 319.10.  JLE JOINT LEGISLATIVE ETHICS COMMITTEE58989

General Revenue Fund58990

GRF 028-321 Legislative Ethics Committee $ 550,000 $ 550,000 58991
TOTAL GRF General Revenue Fund $ 550,000 $ 550,000 58992

General Services Fund Group58993

4G7 028-601 Joint Legislative Ethics Committee $ 100,000 $ 100,000 58994
TOTAL GSF General Services Fund Group $ 100,000 $ 100,000 58995
TOTAL ALL BUDGET FUND GROUPS $ 650,000 $ 650,000 58996

       Section 321.10. LSC LEGISLATIVE SERVICE COMMISSION58997

General Revenue Fund58998

GRF 035-321 Operating Expenses $ 15,167,700 $ 15,167,700 58999
GRF 035-402 Legislative Interns $ 1,022,120 $ 1,022,120 59000
GRF 035-405 Correctional Institution Inspection Committee $ 393,900 $ 393,900 59001
GRF 035-409 National Associations $ 460,560 $ 460,560 59002
GRF 035-410 Legislative Information Systems $ 3,661,250 $ 3,661,250 59003
TOTAL GRF General Revenue Fund $ 20,705,530 $ 20,705,530 59004

General Services Fund Group59005

4F6 035-603 Legislative Budget Services $ 154,025 $ 154,025 59006
410 035-601 Sale of Publications $ 25,250 $ 25,250 59007
5EF 035-607 House and Senate Telephone Usage $ 30,000 $ 30,000 59008
TOTAL GSF General Services 59009
Fund Group $ 209,275 $ 209,275 59010
TOTAL ALL BUDGET FUND GROUPS $ 20,914,805 $ 20,914,805 59011

       JOINT LEGISLATIVE COMMITTEE ON MEDICAID TECHNOLOGY AND REFORM59012

        Of the foregoing appropriation item 035-321, Operating 59013
Expenses, $100,000 in each fiscal year shall be used for costs 59014
associated with employing an executive director for the Joint 59015
Legislative Committee on Medicaid Technology and Reform as 59016
authorized by division (C) of section 101.391 of the Revised Code.59017

       OHIO ECONOMIC ANALYSIS59018

       Of the foregoing appropriation item 035-321, Operating 59019
Expenses, up to $250,000 in each fiscal year shall be used to 59020
contract with a person, business, or other entity to provide the 59021
General Assembly with additional revenue forecasting and analysis 59022
of the Ohio economy.59023

       Section 323.10.  LIB STATE LIBRARY BOARD59024

General Revenue Fund59025

GRF 350-321 Operating Expenses $ 6,298,677 $ 6,298,677 59026
GRF 350-400 Ohio Public Library Information Network $ 4,330,000 $ 4,330,000 59027
GRF 350-401 Ohioana Rental Payments $ 124,816 $ 124,816 59028
GRF 350-501 Library for the Blind-Cincinnati $ 535,615 $ 535,615 59029
GRF 350-502 Regional Library Systems $ 1,010,441 $ 1,010,441 59030
GRF 350-503 Library for the Blind-Cleveland $ 805,642 $ 805,642 59031
TOTAL GRF General Revenue Fund $ 13,105,191 $ 13,105,191 59032

General Services Fund Group59033

139 350-602 Intra-Agency Service Charges $ 9,000 $ 9,000 59034
4S4 350-604 Ohio Public Library Information Network Technology $ 3,000,000 $ 3,000,000 59035
459 350-602 Library Service Charges $ 2,708,092 $ 2,708,092 59036
TOTAL GSF General Services 59037
Fund Group $ 5,717,092 $ 5,717,092 59038

Federal Special Revenue Fund Group59039

313 350-601 LSTA Federal $ 5,691,792 $ 5,691,792 59040
TOTAL FED Federal Special Revenue 59041
Fund Group $ 5,691,792 $ 5,691,792 59042
TOTAL ALL BUDGET FUND GROUPS $ 24,514,075 $ 24,514,075 59043

       OHIOANA RENTAL PAYMENTS59044

       The foregoing appropriation item 350-401, Ohioana Rental59045
Payments, shall be used to pay the rental expenses of the Martha59046
Kinney Cooper Ohioana Library Association pursuant to section59047
3375.61 of the Revised Code.59048

       LIBRARY FOR THE BLIND-CINCINNATI59049

        The foregoing appropriation item 350-501, Library for the 59050
Blind-Cincinnati, shall be used for the Talking Book program, 59051
which assists the blind and disabled.59052

       REGIONAL LIBRARY SYSTEMS59053

       The foregoing appropriation item 350-502, Regional Library59054
Systems, shall be used to support regional library systems59055
eligible for funding under sections 3375.83 and 3375.90 of the 59056
Revised Code.59057

       LIBRARY FOR THE BLIND-CLEVELAND59058

        The foregoing appropriation item 350-503, Library for the 59059
Blind-Cleveland, shall be used for the Talking Book program, which 59060
assists the blind and disabled.59061

       OHIO PUBLIC LIBRARY INFORMATION NETWORK59062

       The foregoing appropriation items 350-604, Ohio Public 59063
Library Information Network Technology, and 350-400, Ohio Public 59064
Library Information Network, shall be used for an information59065
telecommunications network linking public libraries in the state59066
and such others as may be certified as participants by the Ohio59067
Public Library Information Network Board.59068

       The Ohio Public Library Information Network Board shall59069
consist of eleven members appointed by the State Library Board59070
from among the staff of public libraries and past and present59071
members of boards of trustees of public libraries, based on the59072
recommendations of the Ohio library community. The Ohio Public59073
Library Information Network Board, in consultation with the State59074
Library, shall develop a plan of operations for the network. The59075
board may make decisions regarding use of the foregoing 59076
appropriation items 350-400, Ohio Public Library Information 59077
Network, and 350-604, Ohio Public Library Information Network 59078
Technology, may receive and expend grants to carry out the59079
operations of the network in accordance with state law and the 59080
authority to appoint and fix the compensation of a director and59081
necessary staff. The State Library shall be the fiscal agent for59082
the network and shall have fiscal accountability for the59083
expenditure of funds. The Ohio Public Library Information Network59084
Board members shall be reimbursed for actual travel and necessary59085
expenses incurred in carrying out their responsibilities.59086

       In order to limit access to obscene and illegal materials59087
through internet use at Ohio Public Library Information Network59088
(OPLIN) terminals, local libraries with OPLIN computer terminals59089
shall adopt policies that control access to obscene and illegal59090
materials. These policies may include use of technological systems 59091
to select or block certain internet access. The OPLIN shall 59092
condition provision of its funds, goods, and services on59093
compliance with these policies. The OPLIN Board shall also adopt59094
and communicate specific recommendations to local libraries on59095
methods to control such improper usage. These methods may include59096
each library implementing a written policy controlling such59097
improper use of library terminals and requirements for parental59098
involvement or written authorization for juvenile internet usage.59099

       Of the foregoing appropriation item 350-400, Ohio Public 59100
Library Information Network, up to $100,000 in each fiscal year 59101
shall be used to help local libraries purchase or maintain filters 59102
to screen out obscene and illegal internet materials.59103

       The OPLIN Board shall research and assist or advise local59104
libraries with regard to emerging technologies and methods that 59105
may be effective means to control access to obscene and illegal59106
materials. The OPLIN Executive Director shall biannually provide59107
written reports to the Governor, the Speaker and Minority Leader59108
of the House of Representatives, and the President and Minority59109
Leader of the Senate on any steps being taken by OPLIN and public59110
libraries in the state to limit and control such improper usage as59111
well as information on technological, legal, and law enforcement 59112
trends nationally and internationally affecting this area of 59113
public access and service.59114

       The Ohio Public Library Information Network, INFOhio, and59115
OhioLINK shall, to the extent feasible, coordinate and cooperate59116
in their purchase or other acquisition of the use of electronic59117
databases for their respective users and shall contribute funds in59118
an equitable manner to such effort.59119

       Section 325.10.  LCO LIQUOR CONTROL COMMISSION59120

Liquor Control Fund Group59121

043 970-321 Operating Expenses $ 743,093 $ 772,524 59122
TOTAL LCF Liquor Control Fund Group $ 743,093 $ 772,524 59123
TOTAL ALL BUDGET FUND GROUPS $ 743,093 $ 772,524 59124


       Section 327.10.  LOT STATE LOTTERY COMMISSION59126

General Services Fund Group59127

231 950-604 Charitable Gaming Oversight $ 2,253,000 $ 2,378,000 59128
TOTAL GSF General Services Fund Group $ 2,253,000 $ 2,378,000 59129

State Lottery Fund Group59130

044 950-100 Personal Services $ 25,945,116 $ 27,085,265 59131
044 950-200 Maintenance $ 18,748,274 $ 18,693,328 59132
044 950-300 Equipment $ 2,554,500 $ 2,446,500 59133
044 950-402 Advertising Contracts $ 21,250,000 $ 21,250,000 59134
044 950-403 Gaming Contracts $ 50,419,360 $ 51,250,704 59135
044 950-500 Problem Gambling Subsidy $ 335,000 $ 335,000 59136
044 950-601 Direct Prize Payments $ 147,716,286 $ 147,716,286 59137
871 950-602 Annuity Prizes $ 151,724,305 $ 151,724,305 59138
TOTAL SLF State Lottery Fund 59139
Group $ 418,692,841 $ 420,501,388 59140
TOTAL ALL BUDGET FUND GROUPS $ 420,945,841 $ 422,879,388 59141

       OPERATING EXPENSES59142

       Notwithstanding sections 127.14 and 131.35 of the Revised 59143
Code, the Controlling Board may, at the request of the State 59144
Lottery Commission, authorize additional appropriations for 59145
operating expenses of the State Lottery Commission from the State 59146
Lottery Fund up to a maximum of 15 per cent of anticipated total 59147
revenue accruing from the sale of lottery tickets.59148

       DIRECT PRIZE PAYMENTS59149

       Any amounts, in addition to the amounts appropriated in59150
appropriation item 950-601, Direct Prize Payments, that the 59151
Director of the State Lottery Commission determines to be 59152
necessary to fund prizes, bonuses, and commissions are hereby 59153
appropriated.59154

       ANNUITY PRIZES59155

       With the approval of the Office of Budget and Management, the59156
State Lottery Commission shall transfer cash from the State59157
Lottery Fund Group (Fund 044) to the Deferred Prizes Trust Fund59158
(Fund 871) in an amount sufficient to fund deferred prizes. The59159
Treasurer of State, from time to time, shall credit the Deferred59160
Prizes Trust Fund (Fund 871) the pro rata share of interest earned59161
by the Treasurer of State on invested balances.59162

       Any amounts, in addition to the amounts appropriated in59163
appropriation item 950-602, Annuity Prizes, that the Director of 59164
the State Lottery Commission determines to be necessary to fund 59165
deferred prizes and interest earnings are hereby appropriated.59166

       TRANSFERS TO THE LOTTERY PROFITS EDUCATION FUND59167

       The Ohio Lottery Commission shall transfer an amount greater59168
than or equal to $657,900,000 in fiscal year 2008 and $667,900,00059169
in fiscal year 2009 to the Lottery Profits Education Fund.59170
Transfers from the Commission to the Lottery Profits Education59171
Fund shall represent the estimated net income from operations for59172
the Commission in fiscal year 2008 and fiscal year 2009. Transfers 59173
by the Commission to the Lottery Profits Education Fund shall be 59174
administered as the statutes direct.59175

       Section 329.10. MHC MANUFACTURED HOMES COMMISSION59176

General Services Fund Group59177

4K9 996-609 Operating Expenses $ 418,122 $ 434,671 59178
TOTAL GSF General Services 59179
Fund Group $ 418,122 $ 434,671 59180
TOTAL ALL BUDGET FUND GROUPS $ 418,122 $ 434,671 59181


       Section 331.10. MED STATE MEDICAL BOARD59183

General Services Fund Group59184

5C6 883-609 Operating Expenses $ 7,883,145 $ 8,225,945 59185
TOTAL GSF General Services 59186
Fund Group $ 7,883,145 $ 8,225,945 59187
TOTAL ALL BUDGET FUND GROUPS $ 7,883,145 $ 8,225,945 59188


       Section 333.10. AMB MEDICAL TRANSPORTATION BOARD59190

General Services Fund Group59191

4K9 915-604 Operating Expenses $ 471,450 $ 473,450 59192
TOTAL GSF General Services 59193
Fund Group $ 471,450 $ 473,450 59194
TOTAL ALL BUDGET FUND GROUPS $ 471,450 $ 473,450 59195

       CASH TRANSFER TO OCCUPATIONAL LICENSING AND REGULATORY FUND 59196
(FUND 4K9)59197

       Effective July 1, 2007, or as soon as practicable thereafter, 59198
the Director of Budget and Management may transfer the cash 59199
balance in the Ohio Medical Transportation Trust Fund (Fund 4N1), 59200
created in division (B) of section 4766.05 of the Revised Code, to 59201
the Occupational Licensing and Regulatory Fund (Fund 4K9), created 59202
in section 4743.05 of the Revised Code. The director shall cancel 59203
any existing encumbrances against appropriation item 915-601, 59204
Operating Expenses, and re-establish them against appropriation 59205
item 915-604, Operating Expenses. The amounts of the 59206
re-established encumbrances are hereby appropriated. Upon 59207
completion of these transfers, the Ohio Medical Transportation 59208
Trust Fund (Fund 4N1) is hereby abolished.59209

       Section 335.10.  DMH DEPARTMENT OF MENTAL HEALTH59210

General Services Fund Group59211

151 336-601 Office of Support Services $ 134,060,000 $ 148,998,000 59212
TOTAL General Services Fund Group $ 134,060,000 $ 148,998,000 59213

Division of Mental Health--
59214

Psychiatric Services to Correctional Facilities
59215

General Revenue Fund59216

GRF 332-401 Forensic Services $ 4,338,858 $ 4,338,858 59217
TOTAL GRF General Revenue Fund $ 4,338,858 $ 4,338,858 59218


       Section 335.10.10. FORENSIC SERVICES59220

       The foregoing appropriation item 332-401, Forensic Services,59221
shall be used to provide psychiatric services to courts of common59222
pleas. The appropriation shall be allocated through community59223
mental health boards to certified community agencies and shall be59224
distributed according to the criteria delineated in rule59225
5122:32-01 of the Administrative Code. These community forensic59226
funds may also be used to provide forensic training to community59227
mental health boards and to forensic psychiatry residency programs59228
in hospitals operated by the Department of Mental Health and to59229
provide evaluations of patients of forensic status in facilities59230
operated by the Department of Mental Health prior to conditional59231
release to the community.59232

       In addition, appropriation item 332-401, Forensic Services,59233
may be used to support projects involving mental health, substance59234
abuse, courts, and law enforcement to identify and develop59235
appropriate alternative services to incarceration for nonviolent59236
mentally ill offenders, and to provide specialized re-entry 59237
services to offenders leaving prisons and jails. Funds may also be59238
utilized to provide forensic monitoring and tracking in addition 59239
to community programs serving persons of forensic status on 59240
conditional release or probation.59241

       Section 335.20. Division of Mental Health--59242

Administration and Statewide Programs
59243

General Revenue Fund59244

GRF 333-321 Central Administration $ 23,750,000 $ 23,750,000 59245
GRF 333-402 Resident Trainees $ 1,364,919 $ 1,364,919 59246
GRF 333-403 Pre-Admission Screening Expenses $ 650,135 $ 650,135 59247
GRF 333-415 Lease-Rental Payments $ 23,767,400 $ 20,504,500 59248
GRF 333-416 Research Program Evaluation $ 1,001,551 $ 1,001,551 59249
TOTAL GRF General Revenue Fund $ 50,534,005 $ 47,271,105 59250

General Services Fund Group59251

149 333-609 Central Office Operating $ 1,200,000 $ 1,200,000 59252
TOTAL General Services Fund Group $ 1,200,000 $ 1,200,000 59253

Federal Special Revenue Fund Group59254

3A6 333-608 Community & Hospital Services $ 140,000 $ 140,000 59255
3A7 333-612 Social Services Block Grant $ 25,000 $ 25,000 59256
3A8 333-613 Federal Grant - Administration $ 4,888,105 $ 4,888,105 59257
3A9 333-614 Mental Health Block Grant - Administration $ 748,470 $ 748,470 59258
3B1 333-635 Community Medicaid Expansion $ 13,691,682 $ 13,691,682 59259
324 333-605 Medicaid/Medicare $ 154,500 $ 154,500 59260
TOTAL Federal Special Revenue 59261
Fund Group $ 19,647,757 $ 19,647,757 59262

State Special Revenue Fund Group59263

232 333-621 Family and Children First Administration $ 625,000 $ 625,000 59264
4X5 333-607 Behavioral Health Medicaid Services $ 3,000,634 $ 3,000,634 59265
485 333-632 Mental Health Operating $ 134,233 $ 134,233 59266
5V2 333-611 Non-Federal Miscellaneous $ 580,000 $ 560,000 59267
TOTAL State Special Revenue 59268
Fund Group $ 4,339,867 $ 4,319,867 59269
TOTAL ALL BUDGET FUND GROUPS $ 75,721,629 $ 72,438,729 59270


       Section 335.20.10. RESIDENCY TRAINEESHIP PROGRAMS59272

       The foregoing appropriation item 333-402, Resident Trainees,59273
shall be used to fund training agreements entered into by the59274
Department of Mental Health for the development of curricula and59275
the provision of training programs to support public mental health59276
services.59277

       Section 335.20.20. PRE-ADMISSION SCREENING EXPENSES59278

       The foregoing appropriation item 333-403, Pre-Admission59279
Screening Expenses, shall be used to pay for costs to ensure that59280
uniform statewide methods for pre-admission screening are in place59281
to perform assessments for persons who have severe mental illness 59282
and are referred for long-term Medicaid certified nursing facility 59283
placement. Pre-admission screening includes the following59284
activities: pre-admission assessment, consideration of continued 59285
stay requests, discharge planning and referral, and adjudication 59286
of appeals and grievance procedures.59287

       Section 335.20.30. LEASE-RENTAL PAYMENTS59288

       The foregoing appropriation item 333-415, Lease-Rental59289
Payments, shall be used to meet all payments during the period 59290
from July 1, 2007, to June 30, 2009, by the Department of Mental 59291
Health under leases and agreements made under section 154.20 of 59292
the Revised Code. These appropriations are the source of funds 59293
pledged for bond service charges on obligations issued pursuant to 59294
Chapter 154. of the Revised Code.59295

       Section 335.20.40. BEHAVIORAL HEALTH MEDICAID SERVICES59296

       The Department of Mental Health shall administer specified59297
Medicaid Services as delegated by the Department of Job and Family59298
Services in an interagency agreement. The foregoing appropriation59299
item 333-607, Behavioral Health Medicaid Services, may be used to59300
make payments for free-standing psychiatric hospital inpatient59301
services as defined in an interagency agreement with the59302
Department of Job and Family Services.59303

       Section 335.20.50. PERFORMANCE REVIEW59304

       The Auditor of State shall complete a performance review of 59305
the Department of Mental Health. Upon completing the performance 59306
review, the Auditor of State shall submit a report of the findings 59307
of the review to the Governor, the President of the Senate, the 59308
Speaker of the House of Representatives, and the Director of 59309
Mental Health.59310

       Section 335.30. DIVISION OF MENTAL HEALTH - HOSPITALS59311

General Revenue Fund59312

GRF 334-408 Community and Hospital Mental Health Services $ 400,324,545 $ 400,324,545 59313
GRF 334-506 Court Costs $ 976,652 $ 976,652 59314
TOTAL GRF General Revenue Fund $ 401,301,197 $ 401,301,197 59315

General Services Fund Group59316

149 334-609 Hospital - Operating Expenses $ 33,800,000 $ 33,800,000 59317
150 334-620 Special Education $ 120,930 $ 120,930 59318
TOTAL GSF General Services 59319
Fund Group $ 33,920,930 $ 33,920,930 59320

Federal Special Revenue Fund Group59321

3A6 334-608 Subsidy for Federal Grants $ 586,224 $ 586,224 59322
3A8 334-613 Federal Letter of Credit $ 200,000 $ 200,000 59323
3B0 334-617 Adult Basic and Literary Education $ 182,334 $ 182,334 59324
3B1 334-635 Hospital Medicaid Expansion $ 2,000,000 $ 2,000,000 59325
324 334-605 Medicaid/Medicare $ 34,500,000 $ 50,500,000 59326
TOTAL FED Federal Special Revenue 59327
Fund Group $ 37,468,558 $ 53,468,558 59328

State Special Revenue Fund Group59329

485 334-632 Mental Health Operating $ 3,100,000 $ 3,100,000 59330
692 334-636 Community Mental Health Board Risk Fund $ 80,000 $ 80,000 59331
TOTAL SSR State Special Revenue 59332
Fund Group $ 3,180,000 $ 3,180,000 59333
TOTAL ALL BUDGET FUND GROUPS $ 475,870,685 $ 496,870,685 59334


       Section 335.30.20. COMMUNITY MENTAL HEALTH BOARD RISK FUND59336

       The foregoing appropriation item 334-636, Community Mental59337
Health Board Risk Fund, shall be used to make payments under59338
section 5119.62 of the Revised Code.59339

       Section 335.40. DIVISION OF MENTAL HEALTH - COMMUNITY SUPPORT59340
SERVICES59341

General Revenue Fund59342

GRF 335-404 Behavioral Health Services-Children $ 8,076,153 $ 8,711,153 59343
GRF 335-405 Family & Children First $ 2,260,000 $ 2,260,000 59344
GRF 335-419 Community Medication Subsidy $ 7,959,798 $ 7,959,798 59345
GRF 335-505 Local Mental Health Systems of Care $ 101,937,868 $ 101,937,868 59346
TOTAL GRF General Revenue Fund $ 120,233,819 $ 120,868,819 59347

General Services Fund Group59348

4P9 335-604 Community Mental Health Projects $ 250,000 $ 250,000 59349
TOTAL GSF General Services 59350
Fund Group $ 250,000 $ 250,000 59351

Federal Special Revenue Fund Group59352

3A6 335-608 Federal Miscellaneous $ 2,178,699 $ 2,178,699 59353
3A7 335-612 Social Services Block Grant $ 8,657,288 $ 8,657,288 59354
3A8 335-613 Federal Grant - Community Mental Health Board Subsidy $ 2,595,040 $ 2,595,040 59355
3A9 335-614 Mental Health Block Grant $ 14,969,400 $ 14,969,400 59356
3B1 335-635 Community Medicaid Expansion $ 299,614,455 $ 316,699,716 59357
TOTAL FED Federal Special Revenue Fund Group $ 328,014,882 $ 345,100,143 59358

State Special Revenue Fund Group59359

5AU 335-615 Behavioral Healthcare $ 6,690,000 $ 6,690,000 59360
632 335-616 Community Capital Replacement $ 350,000 $ 350,000 59361
TOTAL SSR State Special Revenue Fund Group $ 7,040,000 $ 7,040,000 59362

TOTAL ALL BUDGET FUND GROUPS $ 455,538,701 $ 473,258,962 59363
DEPARTMENT TOTAL 59364
GENERAL REVENUE FUND $ 576,407,879 $ 573,779,979 59365
DEPARTMENT TOTAL 59366
GENERAL SERVICES FUND GROUP $ 169,430,930 $ 184,368,930 59367
DEPARTMENT TOTAL 59368
FEDERAL SPECIAL REVENUE 59369
FUND GROUP $ 385,131,197 $ 418,216,458 59370
DEPARTMENT TOTAL 59371
STATE SPECIAL REVENUE FUND GROUP $ 14,559,867 $ 14,539,867 59372
DEPARTMENT TOTAL 59373
TOTAL DEPARTMENT OF MENTAL HEALTH $ 1,145,529,873 $ 1,190,905,234 59374


       Section 335.40.10. BEHAVIORAL HEALTH SERVICES - CHILDREN59376

       The foregoing appropriation item 335-404, Behavioral Health 59377
Services-Children, shall be used to provide behavioral health 59378
services for children and their families. Behavioral health 59379
services include mental health and alcohol and other drug 59380
treatment services and other necessary supports.59381

       Of the foregoing appropriation item 335-404, Behavioral 59382
Health Services-Children, an amount up to $4.5 million in fiscal 59383
year 2008 and $5.5 million in fiscal year 2009 shall be 59384
distributed to local Alcohol, Drug Addiction, and Mental Health 59385
Boards; Community Mental Health Boards; and Alcohol and Drug 59386
Addiction Boards, based upon a distribution formula and guidance 59387
defined by a team of state and local stakeholders appointed by the 59388
Ohio Family and Children First Cabinet Council. This team shall 59389
include, but not be limited to, all of the following:59390

       (A) At least one representative from each of the Departments 59391
of Alcohol and Drug Addiction Services, Mental Health, Education, 59392
Health, Job and Family Services, Mental Retardation and 59393
Developmental Disabilities, and the Department of Youth Services;59394

       (B) At least one person representing local public children's 59395
services agencies;59396

       (C) At least one person representing juvenile courts;59397

       (D) At least one person representing local Alcohol, Drug 59398
Addiction, and Mental Health Boards; Community Mental Health 59399
Boards; and Alcohol and Drug Addiction Boards;59400

       (E) At least one person representing local Family and 59401
Children First Council Coordinators;59402

       (F) At least one family representative.59403

       Funds may be used to support the following services and 59404
activities as determined by local Alcohol, Drug Addiction, and 59405
Mental Health Boards; Community Mental Health Boards; and Alcohol 59406
and Drug Addiction Boards and local family and children first 59407
councils and aligned with county service coordination mechanism as 59408
described in division (C) of section 121.37 of the Revised Code:59409

       (A) Mental health services provided by the Ohio Department of 59410
Mental Health certified agencies and alcohol and other drug 59411
services provided by Department of Alcohol and Drug Addiction 59412
Services certified agencies;59413

       (B) Services and supports for children and their families 59414
that further the implementation of their individual service plans;59415

       (C) Treatment services in out-of-home settings, including 59416
residential facilities, when other alternatives are not available 59417
or feasible;59418

       (D) Administrative support for efforts associated with this 59419
initiative;59420

       (E) These funds shall not be used to supplant existing 59421
efforts.59422

       Of the foregoing appropriation item 335-404, Behavioral 59423
Health Services-Children, an amount up to $1.0 million in fiscal 59424
year 2008 and $1.0 million in fiscal year 2009 shall be used to 59425
support projects, as determined by the Ohio Family and Children 59426
First Cabinet Council, in select areas around the state to focus 59427
on improving behavioral health juvenile justice services.59428

       Of the foregoing appropriation item 335-405, Family & 59429
Children First, an amount up to $500,000 in fiscal year 2008 and 59430
$500,000 in fiscal year 2009 shall be used for children for whom 59431
the primary focus of treatment is not a mental health or alcohol 59432
or drug addiction disorder and require services or supports to 59433
assist those needs through the County Family and Children First 59434
Council.59435

       Section 335.40.20. COMMUNITY MEDICATION SUBSIDY59436

       The foregoing appropriation item 335-419, Community59437
Medication Subsidy, shall be used to provide subsidized support59438
for psychotropic medication needs of indigent citizens in the59439
community to reduce unnecessary hospitalization because of lack of59440
medication and to provide subsidized support for methadone costs.59441

       Section 335.40.30. LOCAL MENTAL HEALTH SYSTEMS OF CARE59442

       The foregoing appropriation item 335-505, Local Mental Health 59443
Systems of Care, shall be used for mental health services provided 59444
by community mental health boards in accordance with a community 59445
mental health plan submitted under section 340.03 of the Revised 59446
Code and as approved by the Department of Mental Health.59447

       Of the foregoing appropriation item 334-505, Local Mental 59448
Health Systems of Care, not less than $37,058,917 in fiscal year 59449
2008 and not less than $37,058,917 in fiscal year 2009 shall be 59450
distributed by the Department of Mental Health on a per capita 59451
basis to community mental health boards.59452

       Of the foregoing appropriation item 335-505, Local Mental 59453
Health Systems of Care, $10,000 in each fiscal year shall be 59454
allocated to The Gathering Place in Athens.59455

       Section 337.10.  DMR DEPARTMENT OF MENTAL RETARDATION AND59456
DEVELOPMENTAL DISABILITIES59457

       Section 337.20.  GENERAL ADMINISTRATION AND STATEWIDE 59458
SERVICES59459

General Revenue Fund59460

GRF 320-321 Central Administration $ 9,638,610 $ 9,638,610 59461
GRF 320-412 Protective Services $ 2,792,322 $ 2,792,322 59462
GRF 320-415 Lease-Rental Payments $ 23,767,400 $ 20,504,500 59463
TOTAL GRF General Revenue Fund $ 36,198,332 $ 32,935,432 59464

General Services Fund Group59465

4B5 320-640 Training and Service Development $ 100,000 $ 100,000 59466
TOTAL GSF General Services 59467
Fund Group $ 100,000 $ 100,000 59468

Federal Special Revenue Fund Group59469

3A5 320-613 DD Council $ 2,705,004 $ 2,743,630 59470
TOTAL FED Federal Special Revenue 59471
Fund Group $ 2,705,004 $ 2,743,630 59472

State Special Revenue Fund Group 59473
5S2 590-622 Medicaid Administration & Oversight $ 11,003,855 $ 11,472,335 59474
TOTAL SSR State Special Revenue 59475
Fund Group $ 11,003,855 $ 11,472,335 59476
TOTAL ALL GENERAL ADMINISTRATION 59477
AND STATEWIDE SERVICES 59478
BUDGET FUND GROUPS $ 50,007,191 $ 47,251,397 59479

       Section 337.20.10. LEASE-RENTAL PAYMENTS59480

       The foregoing appropriation item 320-415, Lease-Rental59481
Payments, shall be used to meet all payments at the time they are 59482
required to be made during the period from July 1, 2007, to June59483
30, 2009, by the Department of Mental Retardation and59484
Developmental Disabilities under leases and agreements made under 59485
section 154.20 of the Revised Code. These appropriations are the 59486
source of funds pledged for bond service charges or obligations 59487
issued pursuant to Chapter 154. of the Revised Code.59488

       Section 337.20.20. MR/DD FUTURES STUDY COMMITTEE59489

       (A) There is hereby created the MR/DD Futures Study 59490
Committee. The Committee shall consist of the following:59491

       (1) One member who is an individual eligible to receive 59492
services from a county board of mental retardation and 59493
developmental disabilities, appointed by the Governor;59494

       (2) One member who is an immediate family member of an 59495
individual eligible to receive services from a county board of 59496
mental retardation and developmental disabilities, appointed by 59497
the Governor;59498

       (3) Two members who are members of the House of 59499
Representatives, appointed by the Speaker of the House of 59500
Representatives as follows:59501

       (a) One member from the majority party;59502

       (b) One member from the minority party.59503

       (4) Two members who are members of the Senate, appointed by 59504
the President of the Senate as follows:59505

       (a) One member from the majority party;59506

       (b) One member from the minority party.59507

       (5) Four members of statewide advocacy organizations for 59508
individuals with mental retardation or other developmental 59509
disabilities, appointed as follows:59510

       (a) One member by the Board of Trustees of the Arc of Ohio;59511

       (b) One member by the Board of Directors of the Ohio League 59512
for the Mentally Retarded;59513

       (c) One member by the Board of People First of Ohio;59514

       (d) One member by the governing board of an organization 59515
designated by the Director of Mental Retardation and Developmental 59516
Disabilities;59517

       (6) One member appointed by the Board of Directors of the 59518
Ohio Self-Determination Association;59519

       (7) One member appointed by the governing authority of the 59520
Ohio Superintendents of County Boards of Mental Retardation and 59521
Developmental Disabilities Association;59522

       (8) Two members appointed by the Board of Trustees of the 59523
Ohio Association of County Boards of Mental Retardation and 59524
Developmental Disabilities;59525

       (9) One member appointed by the Board of Trustees of the 59526
County Commissioners' Association of Ohio;59527

       (10) Two members appointed by the Board of Trustees of the 59528
Ohio Provider Resource Association;59529

       (11) One member appointed by the Board of Directors of the 59530
Ohio Health Care Association;59531

       (12) The Director of Job and Family Services or the 59532
Director's designee;59533

       (13) Two members appointed by the Governor who are 59534
representatives of statewide labor organizations representing 59535
public employees;59536

       (14) The Director of Mental Retardation and Developmental 59537
Disabilities, who shall serve as the committee's chairperson.59538

       (B) The Governor shall not appoint an individual under 59539
division (A)(1) or (2) of this section if the individual is an 59540
employee of the state, an employee or member of a county board of 59541
mental retardation and developmental disabilities, or an employee 59542
or a governing board member of a provider of services to an 59543
individual with mental retardation and developmental disabilities.59544

       (C) Members of the Committee shall be appointed not later 59545
than thirty days after the effective date of this section. Members 59546
of the Committee shall serve without compensation, except to the 59547
extent that serving on the committee is considered part of their 59548
regular employment duties. The Department of Mental Retardation 59549
and Developmental Disabilities may reimburse members of the 59550
Committee for their reasonable travel expenses.59551

       (D) The Committee shall meet at times and locations 59552
determined by the chairperson to do all of the following:59553

       (1) Review the effectiveness, efficiency, and sustainability 59554
of current uses of funding for the state's mental retardation and 59555
developmental disabilities system;59556

       (2) Propose alternatives for effectively funding the 59557
nonfederal share of Medicaid expenditures for home and 59558
community-based services for individuals with mental retardation 59559
and other developmental disabilities, including the amendments by 59560
this act to sections 5123.047, 5123.048, 5123.0414, 5126.059, 59561
5126.0510, 5126.0511, and 5126.0512 of the Revised Code.59562

       (3) Identify the potential for reducing administrative costs 59563
in the state's mental retardation and developmental disabilities 59564
system;59565

       (4) Propose alternatives for effectively balancing revenues 59566
available to the state and the county boards of mental retardation 59567
and developmental disabilities to fulfill their responsibilities 59568
for funding, planning, and monitoring the delivery of mental 59569
retardation and developmental disability services;59570

       (5) Examine the efficiency and effectiveness of the current 59571
system of separate and concurrent mental retardation and 59572
developmental disabilities accreditation, licensure, 59573
certification, quality assurance, and quality improvement 59574
activities and propose changes to improve that system;59575

       (6) Recommend steps necessary to assure the long term 59576
financial sustainability of mental retardation and developmental 59577
disability services to meet current and future needs while 59578
affording counties the ability to make local decisions about the 59579
priority uses of local tax levy funding;59580

       (7) Determine the feasibility and potential benefits of 59581
regional planning approaches to meet specialized and intensive 59582
service needs;59583

       (8) Propose improvements needed and action steps to fully 59584
realize the principle of self-determination by individuals with 59585
mental retardation and other developmental disabilities;59586

       (9) Evaluate the effectiveness and equity of the state's 59587
mental retardation and developmental disabilities systems' uses of 59588
waiting and service substitution lists, priority populations, and 59589
having separate acuity instruments that vary by service setting;59590

       (10) Review other matters the Director of Mental Retardation 59591
and Developmental Disabilities considers appropriate for 59592
evaluations.59593

       (E) The Committee shall not transact business unless a quorum 59594
is present. A majority of the Committee members constitutes a 59595
quorum.59596

       (F) Not later than March 30, 2008, the Committee shall submit 59597
a report on its actions and recommendations to the Governor and 59598
General Assembly. The Committee shall cease to exist on submission 59599
of the report.59600

       Section 337.30. COMMUNITY SERVICES59601

General Revenue Fund59602

GRF 322-413 Residential and Support Services $ 6,753,881 $ 6,753,881 59603
GRF 322-416 Medicaid Waiver - State Match $ 113,692,413 $ 113,692,413 59604
GRF 322-501 County Boards Subsidies $ 90,067,913 $ 90,067,913 59605
GRF 322-503 Tax Equity $ 14,000,000 $ 14,000,000 59606
GRF 322-504 Martin Settlement $ 6,159,766 $ 29,036,451 59607
TOTAL GRF General Revenue Fund $ 230,673,973 $ 253,550,658 59608

General Services Fund Group59609

488 322-603 Provider Audit Refunds $ 10,000 $ 10,000 59610
5MO 322-628 Martin Settlement $ 150,000 $ 0 59611
TOTAL GSF General Services 59612
Fund Group $ 160,000 $ 10,000 59613

Federal Special Revenue Fund Group59614

3G6 322-639 Medicaid Waiver - Federal $ 456,311,171 $ 506,618,829 59615
3M7 322-650 CAFS Medicaid $ 4,278,713 $ 0 59616
325 322-612 Community Social Service Programs $ 11,186,114 $ 11,164,639 59617
TOTAL FED Federal Special Revenue 59618
Fund Group $ 471,775,998 $ 517,783,468 59619

State Special Revenue Fund Group59620

4K8 322-604 Medicaid Waiver - State Match $ 12,000,000 $ 12,000,000 59621
5DJ 322-625 Targeted Case Management Match $ 11,082,857 $ 11,470,757 59622
5DJ 322-626 Targeted Case Management Services $ 27,548,737 $ 28,512,943 59623
5EV 322-627 Program Fees $ 20,000 $ 20,000 59624
5H0 322-619 Medicaid Repayment $ 10,000 $ 10,000 59625
5Z1 322-624 County Board Waiver Match $ 116,000,000 $ 126,000,000 59626
TOTAL SSR State Special Revenue 59627
Fund Group $ 166,661,594 $ 178,013,700 59628
TOTAL ALL COMMUNITY SERVICES 59629
BUDGET FUND GROUPS $ 869,271,565 $ 949,357,826 59630


       Section 337.30.10. RESIDENTIAL AND SUPPORT SERVICES59632

       The Department of Mental Retardation and Developmental 59633
Disabilities may designate a portion of appropriation item 59634
322-413, Residential and Support Services, for Sermak Class 59635
Services used to implement the requirements of the agreement 59636
settling the condecree in Sermak v. Manuel, Case No. c-2-80-220,59637
United States District Court for the Southern District of Ohio,59638
Eastern Division.59639

       Section 337.30.20. OTHER RESIDENTIAL AND SUPPORT SERVICE 59640
PROGRAMS59641

       Notwithstanding Chapters 5123. and 5126. of the Revised Code, 59642
the Department of Mental Retardation and Developmental 59643
Disabilities may develop residential and support service programs 59644
funded by appropriation item 322-413, Residential and Support 59645
Services; and appropriation item 322-416, Medicaid Waiver - State 59646
Match, and the appropriation for supported living in appropriation 59647
item 322-501, County Board Subsidy, that enable persons with 59648
mental retardation and developmental disabilities to live in the 59649
community. Notwithstanding Chapter 5121. and section 5123.122 of 59650
the Revised Code, the Department may waive the support collection 59651
requirements of those statutes for persons in community programs 59652
developed by the Department under this section. The Department 59653
shall adopt rules under Chapter 119. of the Revised Code or may 59654
use existing rules for the implementation of these programs.59655

       Section 337.30.30. MEDICAID WAIVER - STATE MATCH (GRF)59656

       The purposes for which the foregoing appropriation item 59657
322-416, Medicaid Waiver - State Match, shall be used include the 59658
following:59659

       (A) Home and community-based waiver services under Title XIX 59660
of the "Social Security Act," 49 Stat. 620 (1935), 42 U.S.C. 301, 59661
as amended.59662

       (B) Services contracted by county boards of mental 59663
retardation and developmental disabilities.59664

       (C) To pay the nonfederal share of the cost of one or more 59665
new intermediate care facility for the mentally retarded certified 59666
beds in a county where the county board of mental retardation and 59667
developmental disabilities does not initiate or support the 59668
development or certification of such beds, if the Director of 59669
Mental Retardation and Developmental Disabilities is required by 59670
this act to transfer to the Director of Job and Family Services 59671
funds to pay such nonfederal share.59672

       The Department of Mental Retardation and Developmental 59673
Disabilities may designate a portion of appropriation item 59674
322-416, Medicaid Waiver - State Match, to county boards of mental 59675
retardation and developmental disabilities that have greater need 59676
for various residential and support services because of a low 59677
percentage of residential and support services development in 59678
comparison to the number of individuals with mental retardation or 59679
developmental disabilities in the county.59680

       Section 337.30.40. STATE SUBSIDY TO COUNTY MR/DD BOARDS59681

       The Department of Mental Retardation and Developmental 59682
Disabilities shall use the foregoing appropriation item 322-501, 59683
County Boards Subsidy, to pay each county board of mental 59684
retardation and developmental disabilities in each fiscal year of 59685
the biennium an amount that is equal to the amount such board 59686
received in fiscal year 2007 from former appropriation items 59687
322-417, Supported Living; 322-451, Family Support Services; 59688
322-452, Service and Support Administration; and 322-501, County 59689
Boards Subsidies.59690

        County boards shall use the subsidy for early childhood 59691
services and adult services provided under section 5126.05 of the 59692
Revised Code, family support services provided under section 59693
5126.11 of the Revised Code, service and support administration 59694
provided under section 5126.15 of the Revised Code, and supported 59695
living services provided under sections 5126.40 to 5126.47 of the 59696
Revised Code.59697

       In the event that the appropriation in appropriation item 59698
322-501, County Board Subsidy, for fiscal year 2008 or fiscal year 59699
2009 is greater than the subsidy paid by the Department for fiscal 59700
year 2007, the Department and county boards shall develop a 59701
formula for allocating the additional appropriation to each county 59702
board to support priorities determined by the Department and 59703
county boards.59704

       The Department shall distribute this subsidy to county boards 59705
in quarterly installments of equal amounts. The installments shall 59706
be made not later than the thirtieth day of September, the 59707
thirty-first day of December, the thirty-first day of March, and 59708
thirtieth day of June.59709

       The Department also may use the foregoing appropriation item 59710
322-501, County Boards Subsidy, to pay the nonfederal share of the 59711
cost of one or more new intermediate care facility for the 59712
mentally retarded certified beds in a county where the county 59713
board of mental retardation and developmental disabilities 59714
initiates or supports the development or certification of such 59715
beds, if the Director of Mental Retardation and Developmental 59716
Disabilities is required by this act to transfer to the Director 59717
of Job and Family Services funds to pay such nonfederal share.59718

       Section 337.30.45. MARTIN CONSENT ORDER COMPLIANCE59719

        To comply with the Martin Consent Order, on July 1, 2007, or 59720
as soon as possible thereafter, the Director of Budget and 59721
Management shall transfer $150,000 in cash from the General 59722
Revenue Fund to the Program Income Fund (FUND 5MO).59723

       Section 337.30.50. MEDICAID WAIVER - STATE MATCH (FUND 4K8)59724

       The foregoing appropriation item 322-604, Medicaid Waiver - 59725
State Match (Fund 4K8), shall be used as state matching funds for 59726
the home and community-based waivers.59727

       Section 337.30.60. TARGETED CASE MANAGEMENT SERVICES59728

       County boards of mental retardation and developmental 59729
disabilities shall pay the nonfederal portion of targeted case 59730
management costs to the Department of Mental Retardation and 59731
Developmental Disabilities. The Director of Mental Retardation and 59732
Developmental Disabilities shall withhold any amount owed to the 59733
Department from subsequent disbursements from any appropriation 59734
item or money otherwise due to a nonpaying county.59735

       The Departments of Mental Retardation and Developmental 59736
Disabilities and Job and Family Services may enter into an 59737
interagency agreement under which the Department of Mental 59738
Retardation and Developmental Disabilities shall pay the 59739
Department of Job and Family Services the nonfederal portion of 59740
the cost of targeted case management services paid by county 59741
boards and the Department of Job and Family Services shall pay the 59742
total cost of targeted case management claims.59743

       Section 337.30.70.  TRANSFER TO PROGRAM FEE FUND59744

       On July 1, 2007, or as soon as possible thereafter, the 59745
Director of Mental Retardation and Developmental Disabilities 59746
shall certify to the Director of Budget and Management the amount 59747
of cash that has been deposited into Fund 4B5, 59748
Conference/Training, pursuant to sections 5123.19 and 5126.25 of 59749
the Revised Code, less the amount that has been expended from Fund 59750
4B5 to operate the Certification and Registration Program 59751
established under section 5126.25 of the Revised Code and to 59752
license and inspect residential facilities as outlined in section 59753
5123.19 of the Revised Code. The certified amount shall not 59754
include amounts deposited into Fund 4B5 for training and 59755
conferences conducted by the Department of Mental Retardation and 59756
Developmental Disabilities. Upon receipt of the certification, the 59757
Director of Budget and Management shall transfer cash equal to the 59758
amount certified and all associated liabilities and obligations to 59759
Fund 5EV, Program Fee Fund, in the Department of Mental 59760
Retardation and Developmental Disabilities. 59761

       Section 337.30.80.  DEVELOPMENTAL CENTER BILLING FOR SERVICES 59762

       Developmental centers of the Department of Mental Retardation59763
and Developmental Disabilities may provide services to persons59764
with mental retardation or developmental disabilities living in59765
the community or to providers of services to these persons. The59766
Department may develop a method for recovery of all costs59767
associated with the provisions of these services.59768

       Section 337.40. RESIDENTIAL FACILITIES59769

General Revenue Fund59770

GRF 323-321 Developmental Center and Residential Facilities Operation Expenses $ 102,796,851 $ 102,796,851 59771
TOTAL GRF General Revenue Fund $ 102,796,851 $ 102,796,851 59772

General Services Fund Group59773

152 323-609 Developmental Center and Residential Operating Services $ 912,177 $ 912,177 59774
TOTAL GSF General Services 59775
Fund Group $ 912,177 $ 912,177 59776

Federal Special Revenue Fund Group59777

3A4 323-605 Developmental Center and Residential Facility Services and Support $ 136,299,536 $ 137,555,308 59778
TOTAL FED Federal Special Revenue 59779
Fund Group $ 136,299,536 $ 137,555,308 59780

State Special Revenue Fund Group59781

221 322-620 Supplement Service Trust $ 150,000 $ 150,000 59782
489 323-632 Developmental Center Direct Care Support $ 14,543,764 $ 14,671,616 59783
TOTAL SSR State Special Revenue 59784
Fund Group $ 14,693,764 $ 14,821,616 59785
TOTAL ALL RESIDENTIAL FACILITIES 59786
BUDGET FUND GROUPS $ 254,702,328 $ 256,085,952 59787

DEPARTMENT TOTAL 59788
GENERAL REVENUE FUND $ 369,669,156 $ 389,282,941 59789
DEPARTMENT TOTAL 59790
GENERAL SERVICES FUND GROUP $ 1,172,177 $ 1,022,177 59791
DEPARTMENT TOTAL 59792
FEDERAL SPECIAL REVENUE FUND GROUP $ 610,780,538 $ 658,082,406 59793
DEPARTMENT TOTAL 59794
STATE SPECIAL REVENUE FUND GROUP $ 192,359,213 $ 204,307,651 59795
TOTAL DEPARTMENT OF MENTAL 59796
RETARDATION AND DEVELOPMENTAL 59797
DISABILITIES $ 1,173,981,084 $ 1,252,695,175 59798


       Section 337.40.10. TRANSFER OF FUNDS FOR DEVELOPMENTAL CENTER 59800
PHARMACY PROGRAMS59801

       The Department of Mental Retardation and Developmental 59802
Disabilities shall pay the Department of Job and Family Services 59803
quarterly, through intrastate transfer voucher, the nonfederal 59804
share of Medicaid prescription drug claim costs for all 59805
developmental centers paid by the Department of Job and Family 59806
Services.59807

       Section 337.40.20. NONFEDERAL MATCH FOR ACTIVE TREATMENT 59808
SERVICES59809

        Any county funds received by the Department from county 59810
boards for active treatment shall be deposited in Fund 489, Mental 59811
Retardation Operating.59812

       Section 337.40.30. NONFEDERAL SHARE OF NEW ICF/MR BEDS59813

       (A) As used in this section:59814

       (1) "Family support services," "home and community-based 59815
services," "service and support administration," and "supported 59816
living" have the same meaning as in section 5126.01 of the Revised 59817
Code.59818

       (2) "Intermediate care facility for the mentally retarded" 59819
has the same meaning as in section 5111.20 of the Revised Code.59820

       (B) If one or more new beds obtain certification as an 59821
intermediate care facility for the mentally retarded bed on or 59822
after July 1, 2007, the Director of Mental Retardation and 59823
Developmental Disabilities shall transfer funds to the Department 59824
of Job and Family Services to pay the nonfederal share of the cost 59825
under the Medicaid Program for those beds. The Director shall use 59826
only the following funds for the transfer:59827

       (1) If the beds are located in a county served by a county 59828
board of mental retardation and developmental disabilities that 59829
does not initiate or support the beds' certification, funds 59830
appropriated to the Department of Mental Retardation and 59831
Developmental Disabilities for home and community-based services 59832
and supported living for which the Director is authorized to make 59833
allocations to county boards;59834

       (2) If the beds are located in a county served by a county 59835
board that initiates or supports the beds' certification, funds 59836
appropriated to the Department for family support services, 59837
service and support administration, and other services for which 59838
the Director is authorized to make allocations to counties.59839

       (C) The funds that the Director transfers under division 59840
(B)(2) of this section shall be funds that the Director has 59841
allocated to the county board serving the county in which the beds 59842
are located unless the amount of the allocation is insufficient to 59843
pay the entire nonfederal share of the cost under the Medicaid 59844
Program for those beds. If the allocation is insufficient, the 59845
Director shall use as much of such funds allocated to other 59846
counties as is needed to make up the difference.59847

       Section 339.10.  MIH COMMISSION ON MINORITY HEALTH59848

General Revenue Fund59849

GRF 149-321 Operating Expenses $ 550,211 $ 561,216 59850
GRF 149-501 Minority Health Grants $ 670,965 $ 1,670,965 59851
GRF 149-502 Lupus Program $ 136,126 $ 136,126 59852
TOTAL GRF General Revenue Fund $ 1,357,302 $ 2,368,307 59853

Federal Special Revenue Fund Group59854

3J9 149-602 Federal Grants $ 457,486 $ 320,297 59855
TOTAL FED Federal Special Revenue 59856
Fund Group $ 457,486 $ 320,297 59857

State Special Revenue Fund Group59858

4C2 149-601 Minority Health Conference $ 150,000 $ 150,000 59859
TOTAL SSR State Special Revenue 59860
Fund Group $ 150,000 $ 150,000 59861
TOTAL ALL BUDGET FUND GROUPS $ 1,964,788 $ 2,838,604 59862


       Section 341.10. CRB MOTOR VEHICLE COLLISION REPAIR59864
REGISTRATION BOARD59865

General Service Fund Group59866

4K9 865-601 Operating Expenses $ 334,995 $ 334,995 59867
TOTAL GSF General Services 59868
Fund Group $ 334,995 $ 334,995 59869
TOTAL ALL BUDGET FUND GROUPS $ 334,995 $ 334,995 59870

       CASH TRANSFER TO OCCUPATIONAL LICENSING AND REGULATORY FUND 59871
(FUND 4K9)59872

       Effective July 1, 2007, or as soon as possible thereafter, 59873
the Director of Budget and Management may transfer the cash 59874
balance in the Motor Vehicle Collision Repair Registration Fund 59875
(Fund 5H9), created in division (A) of section 4775.08 of the 59876
Revised Code, to the Occupational Licensing and Regulatory Fund 59877
(Fund 4K9), created in section 4743.05 of the Revised Code. The 59878
Director may cancel any existing encumbrances against 59879
appropriation item 865-609, Operating Expenses – CRB, in Fund 5H9, 59880
and re-establish them against appropriation item 865-601, 59881
Operating Expenses, in Fund 4K9. The amounts of the re-established 59882
encumbrances are hereby appropriated. The Motor Vehicle Collision 59883
Repair Registration Fund (Fund 5H9), created in division (A) of 59884
section 4775.08 of the Revised Code, is hereby abolished.59885

       Section 343.10. DNR DEPARTMENT OF NATURAL RESOURCES59886

General Revenue Fund59887

GRF 725-401 Wildlife-GRF Central Support $ 2,705,950 $ 2,800,930 59888
GRF 725-404 Fountain Square Rental Payments - OBA $ 1,094,900 $ 1,081,200 59889
GRF 725-407 Conservation Reserve Enhancement Program $ 1,000,000 $ 1,000,000 59890
GRF 725-413 Lease Rental Payments $ 19,589,400 $ 18,316,200 59891
GRF 725-423 Stream and Ground Water Gauging $ 311,910 $ 311,910 59892
GRF 725-425 Wildlife License Reimbursement $ 500,000 $ 400,000 59893
GRF 725-456 Canal Lands $ 332,859 $ 332,859 59894
GRF 725-502 Soil and Water Districts $ 12,222,420 $ 12,880,791 59895
GRF 725-903 Natural Resources General Obligation Debt Service $ 24,713,800 $ 25,723,000 59896
GRF 727-321 Division of Forestry $ 8,541,511 $ 8,541,511 59897
GRF 728-321 Division of Geological Survey $ 1,799,222 $ 1,825,150 59898
GRF 729-321 Office of Information Technology $ 440,895 $ 440,895 59899
GRF 730-321 Division of Parks and Recreation $ 39,874,841 $ 39,874,841 59900
GRF 733-321 Division of Water $ 3,207,619 $ 3,257,619 59901
GRF 736-321 Division of Engineering $ 3,118,703 $ 3,118,703 59902
GRF 737-321 Division of Soil and Water $ 4,074,788 $ 4,074,788 59903
GRF 738-321 Division of Real Estate and Land Management $ 2,291,874 $ 2,291,874 59904
GRF 741-321 Division of Natural Areas and Preserves $ 3,050,000 $ 3,050,000 59905
GRF 744-321 Division of Mineral Resources Management $ 3,068,167 $ 3,068,167 59906
TOTAL GRF General Revenue Fund $ 131,938,859 $ 132,390,438 59907

General Services Fund Group59908

155 725-601 Departmental Projects $ 2,259,402 $ 2,260,021 59909
157 725-651 Central Support Indirect $ 6,228,950 $ 6,528,675 59910
204 725-687 Information Services $ 4,676,627 $ 4,676,627 59911
207 725-690 Real Estate Services $ 64,000 $ 64,000 59912
223 725-665 Law Enforcement Administration $ 2,230,485 $ 2,358,307 59913
227 725-406 Parks Projects Personnel $ 110,000 $ 110,000 59914
4D5 725-618 Recycled Materials $ 50,000 $ 50,000 59915
4S9 725-622 NatureWorks Personnel $ 525,000 $ 525,000 59916
4X8 725-662 Water Resources Council $ 125,000 $ 125,000 59917
430 725-671 Canal Lands $ 1,150,082 $ 1,150,082 59918
508 725-684 Natural Resources Publications $ 148,527 $ 148,280 59919
510 725-631 Maintenance - State-owned Residences $ 353,611 $ 303,611 59920
516 725-620 Water Management $ 2,913,618 $ 2,931,513 59921
635 725-664 Fountain Square Facilities Management $ 3,609,835 $ 3,640,398 59922
697 725-670 Submerged Lands $ 751,342 $ 772,011 59923
TOTAL GSF General Services 59924
Fund Group $ 25,196,479 $ 25,643,525 59925

Federal Special Revenue Fund Group59926

3B3 725-640 Federal Forest Pass-Thru $ 225,000 $ 225,000 59927
3B4 725-641 Federal Flood Pass-Thru $ 490,000 $ 490,000 59928
3B5 725-645 Federal Abandoned Mine Lands $ 14,307,664 $ 14,307,667 59929
3B6 725-653 Federal Land and Water Conservation Grants $ 2,000,000 $ 2,000,000 59930
3B7 725-654 Reclamation - Regulatory $ 2,107,291 $ 2,107,292 59931
3P0 725-630 Natural Areas and Preserves - Federal $ 215,000 $ 215,000 59932
3P1 725-632 Geological Survey - Federal $ 655,000 $ 720,000 59933
3P2 725-642 Oil and Gas-Federal $ 226,961 $ 234,509 59934
3P3 725-650 Coastal Management - Federal $ 2,643,323 $ 1,691,237 59935
3P4 725-660 Water - Federal $ 316,304 $ 316,734 59936
3R5 725-673 Acid Mine Drainage Abatement/Treatment $ 1,999,998 $ 2,025,001 59937
3Z5 725-657 REALM-Federal $ 1,850,000 $ 1,850,000 59938
332 725-669 Federal Mine Safety Grant $ 258,102 $ 258,102 59939
TOTAL FED Federal Special Revenue 59940
Fund Group $ 27,294,643 $ 26,440,542 59941

State Special Revenue Fund Group59942

4J2 725-628 Injection Well Review $ 67,578 $ 68,933 59943
4M7 725-631 Wildfire Suppression $ 70,000 $ 0 59944
4M7 725-686 Wildfire Suppression $ 100,000 $ 100,000 59945
4U6 725-668 Scenic Rivers Protection $ 407,100 $ 407,100 59946
5BV 725-683 Soil and Water Districts $ 1,850,000 $ 1,850,000 59947
5B3 725-674 Mining Regulation $ 28,850 $ 28,850 59948
5K1 725-626 Urban Forestry Grant $ 10,000 $ 12,000 59949
5P2 725-634 Wildlife Boater Angler Administration $ 3,500,000 $ 3,500,000 59950
509 725-602 State Forest $ 5,070,946 $ 5,211,924 59951
511 725-646 Ohio Geological Mapping $ 815,179 $ 724,310 59952
512 725-605 State Parks Operations $ 27,314,288 $ 27,314,288 59953
512 725-680 Parks Facilities Maintenance $ 2,576,240 $ 2,576,240 59954
514 725-606 Lake Erie Shoreline $ 917,113 $ 757,113 59955
518 725-643 Oil and Gas Permit Fees $ 2,574,378 $ 2,586,568 59956
518 725-677 Oil and Gas Well Plugging $ 800,000 $ 800,000 59957
521 725-627 Off-Road Vehicle Trails $ 198,490 $ 143,490 59958
522 725-656 Natural Areas and Preserves $ 1,550,670 $ 1,550,670 59959
526 725-610 Strip Mining Administration Fee $ 1,932,491 $ 1,903,871 59960
527 725-637 Surface Mining Administration $ 1,852,842 $ 1,946,591 59961
529 725-639 Unreclaimed Land Fund $ 2,892,516 $ 2,024,257 59962
531 725-648 Reclamation Forfeiture $ 2,062,234 $ 2,062,237 59963
532 725-644 Litter Control and Recycling $ 6,280,681 $ 6,280,681 59964
586 725-633 Scrap Tire Program $ 1,000,000 $ 1,000,000 59965
615 725-661 Dam Safety $ 548,223 $ 595,416 59966
TOTAL SSR State Special Revenue 59967
Fund Group $ 64,419,819 $ 63,444,539 59968

Clean Ohio Fund Group59969

061 725-405 Clean Ohio Operating $ 155,000 $ 155,000 59970
TOTAL CLF Clean Ohio Fund Group $ 155,000 $ 155,000 59971

Wildlife Fund Group59972

015 740-401 Division of Wildlife Conservation $ 53,706,000 $ 54,906,000 59973
815 725-636 Cooperative Management Projects $ 120,449 $ 120,449 59974
816 725-649 Wetlands Habitat $ 966,885 $ 966,885 59975
817 725-655 Wildlife Conservation Checkoff Fund $ 5,000,000 $ 5,000,000 59976
818 725-629 Cooperative Fisheries Research $ 1,500,000 $ 1,500,000 59977
819 725-685 Ohio River Management $ 128,584 $ 128,584 59978
TOTAL WLF Wildlife Fund Group $ 61,421,918 $ 62,621,918 59979

Waterways Safety Fund Group59980

086 725-414 Waterways Improvement $ 3,925,075 $ 4,062,452 59981
086 725-418 Buoy Placement $ 52,182 $ 52,182 59982
086 725-501 Waterway Safety Grants $ 137,867 $ 137,867 59983
086 725-506 Watercraft Marine Patrol $ 576,153 $ 576,153 59984
086 725-513 Watercraft Educational Grants $ 366,643 $ 366,643 59985
086 739-401 Division of Watercraft $ 19,626,681 $ 20,166,681 59986
5AW 725-682 Watercraft Revolving Loans $ 1,000,000 $ 1,000,000 59987
TOTAL WSF Waterways Safety Fund 59988
Group $ 25,684,601 $ 26,361,978 59989

Holding Account Redistribution Fund Group59990

R17 725-659 Performance Cash Bond Refunds $ 279,263 $ 279,263 59991
R43 725-624 Forestry $ 1,950,188 $ 2,007,977 59992
TOTAL 090 Holding Account 59993
Redistribution Fund Group $ 2,229,451 $ 2,287,240 59994

Accrued Leave Liability Fund Group59995

4M8 725-675 FOP Contract $ 20,844 $ 20,844 59996
TOTAL ALF Accrued Leave 59997
Liability Fund Group $ 20,844 $ 20,844 59998
TOTAL ALL BUDGET FUND GROUPS $ 338,361,614 $ 339,366,024 59999


       Section 343.20. CENTRAL SUPPORT INDIRECT60001

        With the exception of the Division of Wildlife, whose direct 60002
and indirect central support charges shall be paid out of the 60003
General Revenue Fund from the foregoing appropriation item 60004
725-401, Wildlife-GRF Central Support, the Department of Natural 60005
Resources, with approval of the Director of Budget and Management, 60006
shall utilize a methodology for determining each division's 60007
payments into the Central Support Indirect Fund (Fund 157). The 60008
methodology used shall contain the characteristics of 60009
administrative ease and uniform application in compliance with 60010
federal grant requirements. It may include direct cost charges for 60011
specific services provided. Payments to the Central Support 60012
Indirect Fund (Fund 157) shall be made using an intrastate 60013
transfer voucher.60014

       Section 343.30. FOUNTAIN SQUARE60015

       The foregoing appropriation item 725-404, Fountain Square60016
Rental Payments - OBA, shall be used by the Department of Natural60017
Resources to meet all payments required to be made to the Ohio60018
Building Authority during the period from July 1, 2007, to June60019
30, 2009, pursuant to leases and agreements with the Ohio Building60020
Authority under section 152.42 of the Revised Code. These 60021
appropriations are the source of funds pledged for bond service 60022
charges on obligations issued pursuant to Chapter 152. of the 60023
Revised Code.60024

       The Director of Natural Resources, using intrastate transfer60025
vouchers, shall make payments to the General Revenue Fund from60026
funds other than the General Revenue Fund to reimburse the General60027
Revenue Fund for the other funds' shares of the lease rental60028
payments to the Ohio Building Authority. The transfers from the60029
non-General Revenue funds shall be made within 10 days of the60030
payment to the Ohio Building Authority for the actual amounts60031
necessary to fulfill the leases and agreements pursuant to section60032
152.241 of the Revised Code.60033

       The foregoing appropriation item 725-664, Fountain Square60034
Facilities Management (Fund 635), shall be used for payment of60035
repairs, renovation, utilities, property management, and building60036
maintenance expenses for the Fountain Square Complex. Cash60037
transferred by intrastate transfer vouchers from various60038
department funds and rental income received by the Department of60039
Natural Resources shall be deposited into the Fountain Square60040
Facilities Management Fund (Fund 635).60041

       LEASE RENTAL PAYMENTS60042

       The foregoing appropriation item 725-413, Lease Rental60043
Payments, shall be used to meet all payments at the times they are60044
required to be made during the period from July 1, 2007, to June60045
30, 2009, by the Department of Natural Resources pursuant to60046
leases and agreements made under section 154.22 of the Revised60047
Code. These appropriations are the source of funds pledged for 60048
bond service charges or obligations issued pursuant to Chapter 60049
154. of the Revised Code.60050

       NATURAL RESOURCES GENERAL OBLIGATION DEBT SERVICE60051

       The foregoing appropriation item 725-903, Natural Resources60052
General Obligation Debt Service, shall be used to pay all debt60053
service and related financing costs during the period July 1, 60054
2007, to June 30, 2009, on obligations issued under sections 60055
151.01 and 151.05 of the Revised Code.60056

       Section 343.40. WILDLIFE LICENSE REIMBURSEMENT60057

       Notwithstanding the limits of the transfer from the General60058
Revenue Fund to the Wildlife Fund, as adopted in section 1533.1560059
of the Revised Code, up to the amount available in appropriation60060
item 725-425, Wildlife License Reimbursement, may be transferred60061
from the General Revenue Fund to the Wildlife Fund (Fund 015).60062
Pursuant to the certification of the Director of Budget and60063
Management of the amount of foregone revenue in accordance with60064
section 1533.15 of the Revised Code, the foregoing appropriation60065
item in the General Revenue Fund, appropriation item 725-425,60066
Wildlife License Reimbursement, shall be used to reimburse the60067
Wildlife Fund (Fund 015) for the cost of hunting and fishing60068
licenses and permits issued after June 30, 1990, to individuals60069
who are exempted under the Revised Code from license, permit, and60070
stamp fees.60071

       WILDLIFE CONSERVATION CHECKOFF FUND60072

        Of the foregoing appropriation item 725-655, Wildlife 60073
Conservation Checkoff Fund, up to $75,000 in each fiscal year 60074
shall be used by the Ohio Wildlife Center for wildlife 60075
preservation, wildlife protection, and wildlife education efforts.60076

       CANAL LANDS60077

       The foregoing appropriation item 725-456, Canal Lands, shall60078
be used to transfer funds to the Canal Lands Fund (Fund 430) to60079
provide operating expenses for the State Canal Lands Program. The60080
transfer shall be made using an intrastate transfer voucher and60081
shall be subject to the approval of the Director of Budget and60082
Management.60083

       SOIL AND WATER DISTRICTS60084

       In addition to state payments to soil and water conservation60085
districts authorized by section 1515.10 of the Revised Code, the60086
Department of Natural Resources may pay to any soil and water60087
conservation district, from authority in appropriation item60088
725-502, Soil and Water Districts, an annual amount not to exceed60089
$30,000, upon receipt of a request and justification from the60090
district and approval by the Ohio Soil and Water Conservation60091
Commission. The county auditor shall credit the payments to the60092
special fund established under section 1515.10 of the Revised Code60093
for the local soil and water conservation district. Moneys60094
received by each district shall be expended for the purposes of60095
the district. The foregoing appropriation item 725-683, Soil and 60096
Water Districts, shall be expended for the purposes described 60097
above, except that the funding source for this appropriation shall 60098
be a fee applied on the disposal of construction and demolition 60099
debris as provided in section 1515.14 of the Revised Code, as 60100
amended by this act.60101

       Of the foregoing appropriation item 725-683, Soil and Water 60102
Districts, $220,000 in each fiscal year shall be used to support 60103
the Heidelberg College Water Quality Laboratory.60104

       Of the foregoing appropriation item 725-683, Soil and Water 60105
Districts, $125,000 in each fiscal year shall be used for the 60106
Indian Lake Watershed in Logan County.60107

       Of the foregoing appropriation item 725-502, Soil and Water 60108
Districts, $35,000 in each fiscal year shall be used for the 60109
Conservation Action Project.60110

       STATE PARK DEPRECIATION RESERVE60111

        The foregoing appropriation item 725-680, Parks Facilities 60112
Maintenance, shall be used by the Division of Parks and Recreation 60113
to maintain state park revenue-producing facilities in the best 60114
economic operating condition and to repair and replace equipment 60115
used in the operation of state park revenue producing facilities.60116

       OIL AND GAS WELL PLUGGING60117

       The foregoing appropriation item 725-677, Oil and Gas Well60118
Plugging, shall be used exclusively for the purposes of plugging60119
wells and to properly restore the land surface of idle and orphan60120
oil and gas wells pursuant to section 1509.071 of the Revised60121
Code. No funds from the appropriation item shall be used for60122
salaries, maintenance, equipment, or other administrative60123
purposes, except for those costs directly attributed to the60124
plugging of an idle or orphan well. Appropriation authority from60125
this appropriation item shall not be transferred to any other fund 60126
or line item.60127

       LITTER CONTROL AND RECYCLING60128

       Of the foregoing appropriation item, 725-644, Litter Control 60129
and Recycling, not more than $1,500,000 may be used in each fiscal 60130
year for the administration of the Recycling and Litter Prevention 60131
program.60132

       CLEAN OHIO OPERATING EXPENSES60133

       The foregoing appropriation item 725-405, Clean Ohio 60134
Operating, shall be used by the Department of Natural Resources in 60135
administering section 1519.05 of the Revised Code.60136

       WATERWAYS IMPROVEMENTS60137

        Of the foregoing appropriation item 725-414, Waterways 60138
Improvement, $50,000 in each fiscal year shall be used for 60139
dredging operations at Fairport Harbor.60140

       WATERCRAFT MARINE PATROL60141

       Of the foregoing appropriation item 739-401, Division of60142
Watercraft, not more than $200,000 in each fiscal year shall be60143
expended for the purchase of equipment for marine patrols60144
qualifying for funding from the Department of Natural Resources60145
pursuant to section 1547.67 of the Revised Code. Proposals for60146
equipment shall accompany the submission of documentation for60147
receipt of a marine patrol subsidy pursuant to section 1547.67 of60148
the Revised Code and shall be loaned to eligible marine patrols60149
pursuant to a cooperative agreement between the Department of60150
Natural Resources and the eligible marine patrol.60151

       WATERCRAFT REVOLVING LOAN PROGRAM60152

        Upon certification by the Director of Natural Resources, the 60153
Director of Budget and Management shall transfer an amount not to 60154
exceed $1,000,000 in fiscal year 2008 and not to exceed $1,000,000 60155
in fiscal year 2009 so certified from the Waterways Safety Fund 60156
(Fund 086) to the Watercraft Revolving Loans Fund (Fund 5AW). The 60157
moneys shall be used pursuant to sections 1547.721 to 1547.726 of 60158
the Revised Code.60159

       PARKS CAPITAL EXPENSES FUND60160

        The Director of Natural Resources shall submit to the 60161
Director of Budget and Management the estimated design, 60162
engineering, and planning costs of capital-related work to be done 60163
by Department of Natural Resources staff for parks projects. If 60164
the Director of Budget and Management approves the estimated 60165
costs, the Director may release appropriations from appropriation 60166
item 725-406, Parks Projects Personnel, for those purposes. Upon 60167
release of the appropriations, the Department of Natural Resources 60168
shall pay for these expenses from the Parks Capital Expenses Fund 60169
(Fund 227). Expenses paid from Fund 227 shall be reimbursed by the 60170
Parks and Recreation Improvement Fund (Fund 035) using an 60171
intrastate transfer voucher.60172

       CAPITAL EXPENSES FUND60173

        The Department of Natural Resources shall periodically 60174
prepare and submit to the Director of Budget and Management the 60175
estimated design, planning, and engineering costs of 60176
capital-related work to be done by the Department of Natural 60177
Resources for each project. Based on the estimates, the Director 60178
of Budget and Management may release appropriations from 60179
appropriation item CAP-753, Project Planning, within the Ohio 60180
Parks and Natural Resources Fund (Fund 031) to pay for design, 60181
planning, and engineering costs incurred by the Department of 60182
Natural Resources for the projects. Upon release of the 60183
appropriations by the Director of Budget and Management, the 60184
Department of Natural Resources shall pay for these expenses from 60185
the Capital Expenses Fund (Fund 4S9), and shall be reimbursed by 60186
the Ohio Parks and Natural Resources Fund (Fund 031) using an 60187
intrastate voucher.60188

       FUND CONSOLIDATION60189

       On July 1, 2007, or as soon thereafter as possible, the 60190
Director of Budget and Management shall transfer the cash balance 60191
as certified by the Director of Natural Resources from the Federal 60192
Forestry Fund (Fund 328) to the State Forest Fund (Fund 509). The 60193
Director shall cancel any remaining outstanding encumbrances 60194
against appropriation item 725-603, Forestry-Federal, and 60195
re-establish them against appropriation item 725-602, State 60196
Forest. The amounts of any encumbrances canceled and 60197
re-established are hereby appropriated.60198

       On July 1, 2007, or as soon thereafter as possible, the 60199
Director of Budget and Management shall transfer the cash balance 60200
as certified by the Director of Natural Resources from the REALM 60201
Support Services Fund (Fund 206) to the Fountain Square Facilities 60202
Management Fund (Fund 635). The Director shall cancel any 60203
remaining outstanding encumbrances against appropriation item 60204
725-689, REALM Support Services, and re-establish them against 60205
appropriation item 725-664, Fountain Square Facilities Management. 60206
The amounts of any encumbrances canceled and re-established are 60207
hereby appropriated.60208

       STATE PARK OPERATING60209

       All proceeds from insurance companies and any other sources 60210
for the replacement and construction of the Lake Hope Lodge and 60211
its appurtenances shall be deposited into the State Park Operating 60212
Fund (Fund 512).60213

       Section 345.10.  NUR STATE BOARD OF NURSING60214

General Services Fund Group60215

4K9 884-609 Operating Expenses $ 5,661,280 $ 5,661,280 60216
5P8 884-601 Nursing Special Issues $ 5,000 $ 5,000 60217
5AC 884-602 Nurse Education Grant Program $ 1,450,000 $ 1,450,000 60218
TOTAL GSF General Services 60219
Fund Group $ 7,116,280 $ 7,116,280 60220
TOTAL ALL BUDGET FUND GROUPS $ 7,116,280 $ 7,116,280 60221

       NURSING SPECIAL ISSUES60222

       The foregoing appropriation item 884-601, Nursing Special60223
Issues (Fund 5P8), shall be used to pay the costs the Board of60224
Nursing incurs in implementing section 4723.062 of the Revised60225
Code.60226

       Section 347.10. PYT OCCUPATIONAL THERAPY, PHYSICAL THERAPY, 60227
AND ATHLETIC TRAINERS BOARD60228

General Services Fund Group60229

4K9 890-609 Operating Expenses $ 892,241 $ 963,984 60230
TOTAL GSF General Services Fund Group $ 892,241 $ 963,984 60231
TOTAL ALL BUDGET FUND GROUPS $ 892,241 $ 963,984 60232


       Section 349.10. OLA OHIOANA LIBRARY ASSOCIATION60234

General Revenue Fund60235

GRF 355-501 Library Subsidy $ 200,000 $ 200,000 60236
TOTAL GRF General Revenue Fund $ 200,000 $ 200,000 60237
TOTAL ALL BUDGET FUND GROUPS $ 200,000 $ 200,000 60238


       Section 351.10. ODB OHIO OPTICAL DISPENSERS BOARD60240

General Services Fund Group60241

4K9 894-609 Operating Expenses $ 333,656 $ 345,324 60242
TOTAL GSF General Services 60243
Fund Group $ 333,656 $ 345,324 60244
TOTAL ALL BUDGET FUND GROUPS $ 333,656 $ 345,324 60245


       Section 353.10. OPT STATE BOARD OF OPTOMETRY60247

General Services Fund Group60248

4K9 885-609 Operating Expenses $ 344,571 $ 351,071 60249
TOTAL GSF General Services 60250
Fund Group $ 344,571 $ 351,071 60251
TOTAL ALL BUDGET FUND GROUPS $ 344,571 $ 351,071 60252


       Section 355.10. OPP STATE BOARD OF ORTHOTICS, PROSTHETICS, 60254
AND PEDORTHICS60255

General Services Fund Group60256

4K9 973-609 Operating Expenses $ 111,300 $ 116,260 60257
TOTAL GSF General Services 60258
Fund Group $ 111,300 $ 116,260 60259
TOTAL ALL BUDGET FUND GROUPS $ 111,300 $ 116,260 60260

       Section 357.10.  PBR STATE PERSONNEL BOARD OF REVIEW60261

General Revenue Fund60262

GRF 124-321 Operating $ 1,137,181 $ 1,179,825 60263
TOTAL GRF General Revenue Fund $ 1,137,181 $ 1,179,825 60264

General Services Fund Group60265

636 124-601 Records and Reporting Support $ 15,000 $ 15,000 60266
TOTAL GSF General Services 60267
Fund Group $ 15,000 $ 15,000 60268
TOTAL ALL BUDGET FUND GROUPS $ 1,152,181 $ 1,194,825 60269


       Section 359.10.  UST PETROLEUM UNDERGROUND STORAGE TANK60271

Agency Fund Group60272

691 810-632 PUSTRCB Staff $ 1,116,658 $ 1,169,181 60273
TOTAL AGY Agency Fund Group $ 1,116,658 $ 1,169,181 60274
TOTAL ALL BUDGET FUND GROUPS $ 1,116,658 $ 1,169,181 60275


       Section 361.10.  PRX STATE BOARD OF PHARMACY60277

General Services Fund Group60278

4A5 887-605 Drug Law Enforcement $ 75,550 $ 75,550 60279
4K9 887-609 Operating Expenses $ 4,874,572 $ 5,251,032 60280
TOTAL GSF General Services Fund Group $ 4,950,122 $ 5,326,582 60281

Federal Special Revenue Fund Group60282

3BC 887-604 Dangerous Drugs Database $ 558,531 $ 491,405 60283
TOTAL FED Federal Special Revenue Fund Group $ 558,531 $ 491,405 60284
TOTAL ALL BUDGET FUND GROUPS $ 5,508,653 $ 5,817,987 60285


       Section 363.10. PSY STATE BOARD OF PSYCHOLOGY60287

General Services Fund Group60288

4K9 882-609 Operating Expenses $ 586,565 $ 586,565 60289
TOTAL GSF General Services 60290
Fund Group $ 586,565 $ 586,565 60291
TOTAL ALL BUDGET FUND GROUPS $ 586,565 $ 586,565 60292


       Section 365.10.  PUB OHIO PUBLIC DEFENDER COMMISSION60294

General Revenue Fund60295

GRF 019-321 Public Defender Administration $ 1,287,404 $ 1,315,150 60296
GRF 019-401 State Legal Defense Services $ 5,914,023 $ 6,120,592 60297
GRF 019-403 Multi-County: State Share $ 766,402 $ 762,727 60298
GRF 019-404 Trumbull County - State Share $ 244,816 $ 243,650 60299
GRF 019-405 Training Account $ 31,324 $ 31,324 60300
GRF 019-501 County Reimbursement $ 29,834,251 $ 29,572,857 60301
TOTAL GRF General Revenue Fund $ 38,078,220 $ 38,046,300 60302

General Services Fund Group60303

101 019-602 Inmate Legal Assistance $ 33,338 $ 34,638 60304
407 019-604 County Representation $ 219,800 $ 227,500 60305
408 019-605 Client Payments $ 611,537 $ 476,760 60306
5CX 019-617 Civil Case Filing Fee $ 409,237 $ 598,400 60307
TOTAL GSF General Services 60308
Fund Group $ 1,273,912 $ 1,337,298 60309

Federal Special Revenue Fund Group60310

3S8 019-608 Federal Representation $ 350,948 $ 364,917 60311
TOTAL FED Federal Special Revenue 60312
Fund Group $ 350,948 $ 364,917 60313

State Special Revenue Fund Group60314

4C7 019-601 Multi-County: County Share $ 2,181,300 $ 2,288,200 60315
4X7 019-610 Trumbull County - County Share $ 696,800 $ 731,000 60316
574 019-606 Civil Legal Aid $ 40,000,000 $ 40,000,000 60317
TOTAL SSR State Special Revenue 60318
Fund Group $ 42,878,100 $ 43,019,200 60319
TOTAL ALL BUDGET FUND GROUPS $ 82,581,180 $ 82,767,715 60320

       INDIGENT DEFENSE OFFICE60321

       The foregoing appropriation items 019-404, Trumbull County -60322
State Share, and 019-610, Trumbull County - County Share, shall be60323
used to support an indigent defense office for Trumbull County.60324

       MULTI-COUNTY OFFICE60325

       The foregoing appropriation items 019-403, Multi-County:60326
State Share, and 019-601, Multi-County: County Share, shall be60327
used to support the Office of the Ohio Public Defender's60328
Multi-County Branch Office Program.60329

       TRAINING ACCOUNT60330

       The foregoing appropriation item 019-405, Training Account,60331
shall be used by the Ohio Public Defender to provide legal60332
training programs at no cost for private appointed counsel who60333
represent at least one indigent defendant at no cost and for state 60334
and county public defenders and attorneys who contract with the 60335
Ohio Public Defender to provide indigent defense services.60336

       FEDERAL REPRESENTATION60337

       The foregoing appropriation item 019-608, Federal60338
Representation, shall be used to receive reimbursements from the60339
federal courts when the Ohio Public Defender provides60340
representation in federal court cases and to support 60341
representation in such cases.60342

       Section 367.10. DHS DEPARTMENT OF PUBLIC SAFETY60343

General Revenue Fund60344

GRF 763-403 Operating Expenses - EMA $ 4,164,697 $ 4,164,697 60345
GRF 768-424 Operating Expenses - CJS $ 814,478 $ 814,478 60346
GRF 769-321 Food Stamp Trafficking Enforcement Operations $ 752,000 $ 752,000 60347
TOTAL GRF General Revenue Fund $ 5,731,175 $ 5,731,175 60348

State Special Revenue Fund Group60349

5EX 768-690 Disaster Preparedness $ 350,000 $ 350,000 60350
TOTAL SSR State Special Revenue Fund Group $ 350,000 $ 350,000 60351

TOTAL ALL BUDGET FUND GROUPS $ 6,081,175 $ 6,081,175 60352

       OHIO TASK FORCE ONE - URBAN SEARCH AND RESCUE UNIT60353

       Of the foregoing appropriation item 763-403, Operating60354
Expenses - EMA, $200,000 in each fiscal year shall be used to fund60355
the Ohio Task Force One - Urban Search and Rescue Unit and other60356
urban search and rescue programs around the state to create a60357
stronger search and rescue capability statewide.60358

       EMA DISASTER PREPAREDNESS AND RESPONSE GRANT60359

       Of the foregoing appropriation item 768-690, Disaster 60360
Preparedness, $275,000 in fiscal year 2008 and $350,000 in fiscal 60361
year 2009 shall be used for a grant to the American Red Cross 60362
Greater Columbus Chapter for implementation of programs to assist 60363
in disaster preparedness and response throughout Ohio. The 60364
American Red Cross Greater Columbus Chapter shall develop a 60365
funding plan that includes programmatic, infrastructure, and 60366
administrative costs. Moneys shall be released to the American Red 60367
Cross Greater Columbus Chapter not more than 45 days after 60368
submission of the plan to the Ohio Emergency Management Agency. Of 60369
the foregoing appropriation item 768-690, Disaster Preparedness, 60370
$75,000 in fiscal year 2008 shall be used for the Fire and 60371
Emergency Services Regionalization Project of Berea and Olmstead 60372
Falls.60373

       Section 369.10. PUC PUBLIC UTILITIES COMMISSION OF OHIO60374

General Services Fund Group60375

5F6 870-622 Utility and Railroad Regulation $ 32,820,027 $ 33,804,627 60376
5F6 870-624 NARUC/NRRI Subsidy $ 158,000 $ 158,000 60377
5F6 870-625 Motor Transportation Regulation $ 4,635,413 $ 4,772,765 60378
TOTAL GSF General Services 60379
Fund Group $ 37,613,440 $ 38,735,392 60380

Federal Special Revenue Fund Group60381

3V3 870-604 Commercial Vehicle Information Systems/Networks $ 300,000 $ 300,000 60382
333 870-601 Gas Pipeline Safety $ 597,957 $ 597,959 60383
350 870-608 Motor Carrier Safety $ 7,137,534 $ 7,351,660 60384
TOTAL FED Federal Special Revenue 60385
Fund Group $ 8,035,491 $ 8,249,619 60386

State Special Revenue Fund Group60387

4A3 870-614 Grade Crossing Protection Devices-State $ 1,349,757 $ 1,349,757 60388
4L8 870-617 Pipeline Safety-State $ 187,621 $ 187,621 60389
4S6 870-618 Hazardous Material Registration $ 464,325 $ 464,325 60390
4S6 870-621 Hazardous Materials Base State Registration $ 373,346 $ 373,346 60391
4U8 870-620 Civil Forfeitures $ 284,986 $ 284,986 60392
5BP 870-623 Wireless 9-1-1 Administration $ 26,875,000 $ 13,375,000 60393
559 870-605 Public Utilities Territorial Administration $ 4,000 $ 4,000 60394
560 870-607 Public Utilities Investigations $ 100,000 $ 100,000 60395
561 870-606 Power Siting Board $ 404,651 $ 404,652 60396
638 870-611 Biomass Energy Program $ 40,000 $ 40,000 60397
661 870-612 Hazardous Materials Transportation $ 900,000 $ 900,000 60398
TOTAL SSR State Special Revenue 60399
Fund Group $ 30,983,686 $ 17,483,687 60400

Agency Fund Group60401

4G4 870-616 Base State Registration Program $ 2,000,000 $ 0 60402
TOTAL AGY Agency Fund Group $ 2,000,000 $ 0 60403
TOTAL ALL BUDGET FUND GROUPS $ 78,632,617 $ 64,468,698 60404

       COMMERCIAL VEHICLE INFORMATION SYSTEMS AND NETWORKS PROJECT60405

       The fund created by section 4923.26 of the Revised Code is 60406
the same fund, with a new name, as the Commercial Vehicle 60407
Information Systems and Networks Fund (Fund 3V3).60408

       ENHANCED AND WIRELESS ENHANCED 9-1-160409

       The foregoing appropriation item 870-623, Wireless 9-1-1 60410
Administration, shall be used pursuant to section 4931.63 of the 60411
Revised Code.60412

       Section 371.10. PWC PUBLIC WORKS COMMISSION60413

General Revenue Fund60414

GRF 150-904 Conservation General Obligation Debt Service $ 14,698,728 $ 19,037,480 60415
GRF 150-907 State Capital Improvements $ 175,738,464 $ 181,620,189 60416
General Obligation Debt Service 60417
TOTAL GRF General Revenue Fund $ 190,437,192 $ 200,657,669 60418

Clean Ohio Fund Group60419

056 150-403 Clean Ohio Operating Expenses $ 301,537 $ 311,509 60420
TOTAL 056 Clean Ohio Fund Group $ 301,537 $ 311,509 60421
TOTAL ALL BUDGET FUND GROUPS $ 190,738,729 $ 200,969,178 60422

       CONSERVATION GENERAL OBLIGATION DEBT SERVICE60423

       The foregoing appropriation item 150-904, Conservation60424
General Obligation Debt Service, shall be used to pay all debt60425
service and related financing costs during the period from July 1, 60426
2007, through June 30, 2009, at the times they are required to be 60427
made for obligations issued under sections 151.01 and 151.09 of 60428
the Revised Code.60429

       STATE CAPITAL IMPROVEMENTS GENERAL OBLIGATION DEBT SERVICE60430

       The foregoing appropriation item 150-907, State Capital60431
Improvements General Obligation Debt Service, shall be used to pay60432
all debt service and related financing costs during the period 60433
from July 1, 2007, to June 30, 2009, at the times they are 60434
required to be made for obligations issued under sections 151.01 60435
and 151.08 of the Revised Code.60436

       REIMBURSEMENT TO THE GENERAL REVENUE FUND60437

        (A) On or before July 15, 2009, the Director of the Public 60438
Works Commission shall certify to the Director of Budget and 60439
Management the following:60440

        (1) The total amount disbursed from appropriation item 60441
700-409, Farmland Preservation, during the fiscal year 2008-2009 60442
biennium; and60443

        (2) The amount of interest earnings that have been credited 60444
to the Clean Ohio Conservation Fund (Fund 056) that are in excess 60445
of the amount needed for other purposes as calculated by the 60446
Director of the Public Works Commission.60447

        (B) If the Director of Budget and Management determines under 60448
division (A)(2) of this section that there are excess interest 60449
earnings, the Director of Budget and Management shall, on or 60450
before July 15, 2009, transfer the excess interest earnings to the 60451
General Revenue Fund in an amount equal to the total amount 60452
disbursed under division (A)(1) of this section from the Clean 60453
Ohio Conservation Fund.60454

       CLEAN OHIO OPERATING EXPENSES60455

       The foregoing appropriation item 150-403, Clean Ohio 60456
Operating Expenses, shall be used by the Ohio Public Works 60457
Commission in administering sections 164.20 to 164.27 of the 60458
Revised Code.60459

       Section 373.10.  RAC STATE RACING COMMISSION60460

State Special Revenue Fund Group60461

5C4 875-607 Simulcast Horse Racing Purse $ 16,000,000 $ 16,000,000 60462
562 875-601 Thoroughbred Race Fund $ 3,100,000 $ 3,100,000 60463
563 875-602 Standardbred Development Fund $ 2,600,000 $ 2,600,000 60464
564 875-603 Quarterhorse Development Fund $ 1,000 $ 1,000 60465
565 875-604 Racing Commission Operating $ 4,487,599 $ 4,487,599 60466
TOTAL SSR State Special Revenue 60467
Fund Group $ 26,188,599 $ 26,188,599 60468

Holding Account Redistribution Fund Group60469

R21 875-605 Bond Reimbursements $ 212,900 $ 212,900 60470
TOTAL 090 Holding Account Redistribution 60471
Fund Group $ 212,900 $ 212,900 60472
TOTAL ALL BUDGET FUND GROUPS $ 26,401,499 $ 26,401,499 60473


       Section 375.10. BOR BOARD OF REGENTS60475

General Revenue Fund60476

GRF 235-321 Operating Expenses $ 3,141,351 $ 3,141,351 60477
GRF 235-401 Lease Rental Payments $ 203,177,900 $ 136,017,500 60478
GRF 235-402 Sea Grants $ 300,000 $ 300,000 60479
GRF 235-406 Articulation and Transfer $ 2,900,000 $ 2,900,000 60480
GRF 235-408 Midwest Higher Education Compact $ 95,000 $ 95,000 60481
GRF 235-409 Information System $ 1,175,172 $ 1,175,172 60482
GRF 235-414 State Grants and Scholarship Administration $ 1,707,881 $ 1,707,881 60483
GRF 235-415 Jobs Challenge $ 9,348,300 $ 9,348,300 60484
GRF 235-417 Ohio Learning Network $ 3,119,496 $ 3,119,496 60485
GRF 235-418 Access Challenge $ 66,585,769 $ 66,585,769 60486
GRF 235-420 Success Challenge $ 53,653,973 $ 53,653,973 60487
GRF 235-428 Appalachian New Economy Partnership $ 1,176,068 $ 1,176,068 60488
GRF 235-433 Economic Growth Challenge $ 17,186,194 $ 17,186,194 60489
GRF 235-434 College Readiness and Access $ 12,655,425 $ 12,655,425 60490
GRF 235-435 Teacher Improvement Initiatives $ 4,797,506 $ 11,297,506 60491
GRF 235-436 AccelerateOhio $ 2,500,000 $ 5,000,000 60492
GRF 235-437 STEM Initiatives $ 10,000,000 $ 10,000,000 60493
GRF 235-451 Eminent Scholars $ 0 $ 1,000,000 60494
GRF 235-455 EnterpriseOhio Network $ 1,373,941 $ 1,373,941 60495
GRF 235-474 Area Health Education Centers Program Support $ 1,571,756 $ 1,571,756 60496
GRF 235-501 State Share of Instruction $ 1,620,877,952 $ 1,782,965,747 60497
GRF 235-502 Student Support Services $ 795,790 $ 795,790 60498
GRF 235-503 Ohio Instructional Grants $ 42,533,966 $ 18,315,568 60499
GRF 235-504 War Orphans Scholarships $ 4,812,321 $ 4,812,321 60500
GRF 235-507 OhioLINK $ 7,387,824 $ 7,387,824 60501
GRF 235-508 Air Force Institute of Technology $ 1,925,345 $ 1,925,345 60502
GRF 235-510 Ohio Supercomputer Center $ 4,271,195 $ 4,271,195 60503
GRF 235-511 Cooperative Extension Service $ 26,157,760 $ 26,157,760 60504
GRF 235-513 Ohio University Voinovich Center $ 336,082 $ 336,082 60505
GRF 235-514 Central State Supplement $ 11,413,995 $ 11,413,995 60506
GRF 235-515 Case Western Reserve University School of Medicine $ 3,011,271 $ 3,011,271 60507
GRF 235-518 Capitol Scholarship Program $ 125,000 $ 125,000 60508
GRF 235-519 Family Practice $ 4,548,470 $ 4,548,470 60509
GRF 235-520 Shawnee State Supplement $ 2,056,986 $ 2,056,986 60510
GRF 235-521 The Ohio State University Glenn Institute $ 286,082 $ 286,082 60511
GRF 235-524 Police and Fire Protection $ 171,959 $ 171,959 60512
GRF 235-525 Geriatric Medicine $ 750,110 $ 750,110 60513
GRF 235-526 Primary Care Residencies $ 2,245,688 $ 2,245,688 60514
GRF 235-527 Ohio Aerospace Institute $ 1,764,957 $ 1,764,957 60515
GRF 235-530 Academic Scholarships $ 7,800,000 $ 7,800,000 60516
GRF 235-531 Student Choice Grants $ 38,485,376 $ 38,485,376 60517
GRF 235-535 Ohio Agricultural Research and Development Center $ 36,674,292 $ 36,674,292 60518
GRF 235-536 The Ohio State University Clinical Teaching $ 13,565,885 $ 13,565,885 60519
GRF 235-537 University of Cincinnati Clinical Teaching $ 11,157,756 $ 11,157,756 60520
GRF 235-538 University of Toledo Clinical Teaching $ 8,696,866 $ 8,696,866 60521
GRF 235-539 Wright State University Clinical Teaching $ 4,225,107 $ 4,225,107 60522
GRF 235-540 Ohio University Clinical Teaching $ 4,084,540 $ 4,084,540 60523
GRF 235-541 Northeastern Ohio Universities College of Medicine Clinical Teaching $ 4,200,945 $ 4,200,945 60524
GRF 235-547 School of International Business $ 450,000 $ 450,000 60525
GRF 235-552 Capital Component $ 19,306,442 $ 19,306,442 60526
GRF 235-553 Dayton Area Graduate Studies Institute $ 2,806,599 $ 2,806,599 60527
GRF 235-554 Priorities in Collaborative Graduate Education $ 2,355,548 $ 2,355,548 60528
GRF 235-555 Library Depositories $ 1,696,458 $ 1,696,458 60529
GRF 235-556 Ohio Academic Resources Network $ 3,727,223 $ 3,727,223 60530
GRF 235-558 Long-term Care Research $ 311,047 $ 311,047 60531
GRF 235-561 Bowling Green State University Canadian Studies Center $ 100,015 $ 100,015 60532
GRF 235-563 Ohio College Opportunity Grant $ 139,974,954 $ 151,113,781 60533
GRF 235-567 Central State University Speed to Scale $ 4,400,000 $ 3,800,000 60534
GRF 235-569 Choose Ohio First Scholarship $ 50,000,000 $ 50,000,000 60535
GRF 235-572 The Ohio State University Clinic Support $ 1,277,019 $ 1,277,019 60536
GRF 235-583 Urban University Program $ 5,142,937 $ 5,142,937 60537
GRF 235-587 Rural University Projects $ 1,047,889 $ 1,047,889 60538
GRF 235-596 Hazardous Materials Program $ 360,435 $ 360,435 60539
GRF 235-599 National Guard Scholarship Program $ 16,611,063 $ 16,611,063 60540
GRF 235-909 Higher Education General Obligation Debt Service $ 163,222,668 $ 198,309,840 60541
TOTAL GRF General Revenue Fund $ 2,673,619,549 $ 2,799,954,545 60542

General Services Fund Group60543

220 235-614 Program Approval and Reauthorization $ 800,000 $ 800,000 60544
456 235-603 Sales and Services $ 700,000 $ 700,000 60545
TOTAL GSF General Services 60546
Fund Group $ 1,500,000 $ 1,500,000 60547

Federal Special Revenue Fund Group60548

3BG 235-626 Star Schools $ 2,980,865 $ 2,990,746 60549
3H2 235-608 Human Services Project $ 3,000,000 $ 3,000,000 60550
3H2 235-622 Medical Collaboration Network $ 3,346,144 $ 3,346,144 60551
3N6 235-605 State Student Incentive Grants $ 2,196,680 $ 2,196,680 60552
3T0 235-610 National Health Service Corps - Ohio Loan Repayment $ 250,000 $ 250,000 60553
312 235-609 Tech Prep $ 183,850 $ 183,850 60554
312 235-611 Gear-up Grant $ 3,300,000 $ 3,300,000 60555
312 235-612 Carl D. Perkins Grant/Plan Administration $ 112,960 $ 112,960 60556
312 235-617 Improving Teacher Quality Grant $ 3,200,000 $ 3,200,000 60557
312 235-621 Science Education Network $ 1,686,970 $ 1,686,970 60558
TOTAL FED Federal Special Revenue 60559
Fund Group $ 20,257,469 $ 20,267,350 60560

State Special Revenue Fund Group60561

4E8 235-602 Higher Educational Facility Commission Administration $ 50,000 $ 45,000 60562
4P4 235-604 Physician Loan Repayment $ 476,870 $ 476,870 60563
649 235-607 The Ohio State University Highway/Transportation Research $ 760,000 $ 760,000 60564
682 235-606 Nursing Loan Program $ 893,000 $ 893,000 60565
5DT 235-627 American Diploma Project $ 250,000 $ 0 60566
TOTAL SSR State Special Revenue 60567
Fund Group $ 2,429,870 $ 2,174,870 60568
TOTAL ALL BUDGET FUND GROUPS $ 2,697,806,888 $ 2,823,896,765 60569


       Section 375.10.10. OPERATING EXPENSES60571

       Of the foregoing appropriation item 235-321, Operating 60572
Expenses, up to $150,000 in each fiscal year shall be used in 60573
conjunction with funding provided in the Department of Education 60574
budget under appropriation item 200-427, Academic Standards, to 60575
fund the operations of Ohio's Partnership for Continued Learning. 60576
The Partnership shall advise and make recommendations to promote 60577
collaboration among relevant state entities in an effort to help 60578
local communities develop coherent and successful "P-16" learning 60579
systems. Upon requesting and receiving approval from the 60580
Controlling Board, the Director of Budget and Management may 60581
transfer any unencumbered fiscal year 2008 balance to fiscal year 60582
2009 to support the activities of the Partnership.60583

       Section 375.10.20. LEASE RENTAL PAYMENTS60584

       The foregoing appropriation item 235-401, Lease Rental60585
Payments, shall be used to meet all payments at the times they are 60586
required to be made during the period from July 1, 2007, to June60587
30, 2009, by the Board of Regents under leases and agreements made 60588
under section 154.21 of the Revised Code. These appropriations are 60589
the source of funds pledged for bond service charges or 60590
obligations issued pursuant to Chapter 154. of the Revised Code.60591

       Section 375.10.30. SEA GRANTS60592

       The foregoing appropriation item 235-402, Sea Grants, shall60593
be disbursed to the Ohio State University and shall be used to60594
conduct research on fish in Lake Erie.60595

       Section 375.10.40. ARTICULATION AND TRANSFER60596

       The foregoing appropriation item 235-406, Articulation and 60597
Transfer, shall be used by the Board of Regents to maintain and 60598
expand the work of the Articulation and Transfer Council to 60599
develop a system of transfer policies to ensure that students at 60600
state institutions of higher education can transfer and have 60601
coursework apply to their majors and degrees at any other state 60602
institution of higher education without unnecessary duplication or 60603
institutional barriers under sections 3333.16, 3333.161, and 60604
3333.162 of the Revised Code. The Board of Regents shall, in 60605
consultation with the Governor and the Department of Education, 60606
convene a work group to establish coursework for content knowledge 60607
and teacher competencies for early care and education degrees to 60608
support articulation and transfer of coursework, certifications, 60609
and credit earned across state-supported institutions of higher 60610
education.60611

       Of the foregoing appropriation item 235-406, Articulation and 60612
Transfer, $200,000 in each fiscal year shall be used to support 60613
the work of the Articulation and Transfer Council under division 60614
(B) of section 3333.162 of the Revised Code.60615

       Section 375.10.50. MIDWEST HIGHER EDUCATION COMPACT60616

       The foregoing appropriation item 235-408, Midwest Higher60617
Education Compact, shall be distributed by the Board of Regents60618
under section 3333.40 of the Revised Code.60619

       Section 375.10.60. INFORMATION SYSTEM60620

       The foregoing appropriation item 235-409, Information System,60621
shall be used by the Board of Regents to operate the higher60622
education information data system known as the Higher Education60623
Information System.60624

       Section 375.10.70. STATE GRANTS AND SCHOLARSHIP 60625
ADMINISTRATION60626

       The foregoing appropriation item 235-414, State Grants and 60627
Scholarship Administration, shall be used by the Board of Regents 60628
to administer the following student financial aid programs: Ohio 60629
Instructional Grant, Ohio College Opportunity Grant, Ohio Student 60630
Choice Grant, Ohio Academic Scholarship, Ohio War Orphans' 60631
Scholarship, Nurse Education Assistance Loan Program, Regents 60632
Graduate/Professional Fellowship, Ohio Safety Officers College 60633
Memorial Fund, Capitol Scholarship Program, and any other student 60634
financial aid programs created by the General Assembly. The 60635
appropriation item also shall be used to administer the federal 60636
Leveraging Educational Assistance Partnership (LEAP) and Special 60637
Leveraging Educational Assistance Partnership (SLEAP) programs and 60638
other student financial aid programs created by Congress and to 60639
provide fiscal services for the Ohio National Guard Scholarship 60640
Program, the Physician Loan Repayment Program, and the Dentist 60641
Loan Repayment Program.60642

       Section 375.10.80. JOBS CHALLENGE60643

       Funds appropriated to the foregoing appropriation item 60644
235-415, Jobs Challenge, shall be distributed to state-assisted 60645
community and technical colleges, regional campuses of 60646
state-assisted universities, and other organizationally distinct 60647
and identifiable member campuses of the EnterpriseOhio Network in 60648
support of noncredit job-related training. In fiscal year 2008, 60649
$2,770,773 shall be distributed as performance grants to 60650
EnterpriseOhio Network campuses based upon each campus's 60651
documented performance according to criteria established by the 60652
Board of Regents for assessment, training, and related services to 60653
businesses, industries, and public sector organizations.60654

       Of the foregoing appropriation item 235-415, Jobs Challenge,60655
$2,819,345 in fiscal year 2008 shall be allocated to the Targeted60656
Industries Training Grant Program to attract, develop, and retain60657
business and industry strategically important to the state's60658
economy and regional priorities.60659

       Of the foregoing appropriation item 235-415, Jobs Challenge, 60660
$3,758,182 in fiscal year 2008 shall be allocated to the Higher 60661
Skills Incentives Program to promote and deliver coordinated 60662
assessment and comprehensive training to local employers and to 60663
reward EnterpriseOhio Network campuses for the amount of 60664
non-credit skill upgrading services provided to Ohio employers and 60665
employees. The funds shall be distributed to campuses in 60666
proportion to each campus's share of noncredit job-related 60667
training revenues received by all campuses for the previous fiscal 60668
year.60669

       Section 375.10.90. OHIO LEARNING NETWORK60670

       The foregoing appropriation item 235-417, Ohio Learning 60671
Network, shall be used by the Board of Regents to support the 60672
continued implementation of the Ohio Learning Network, a statewide60673
collaborative that delivers adult education including degree 60674
completion, workforce training, and professional development using 60675
online and distance education initiatives. The funds shall be used 60676
by the Ohio Learning Network to develop and promote learning and 60677
assessment through the use of technology, to test and provide 60678
advice on emerging learning-directed technologies, and to 60679
facilitate cost-effectiveness through shared educational 60680
technology investments.60681

       Section 375.20.10. ACCESS CHALLENGE60682

       The foregoing appropriation item 235-418, Access Challenge, 60683
shall be distributed to Ohio's state-assisted access colleges and60684
universities. For the purposes of this allocation, "access 60685
campuses" includes state-assisted community colleges, state 60686
community colleges, technical colleges, Shawnee State University,60687
Central State University, Cleveland State University, the regional 60688
campuses of state-assisted universities, and, where they are60689
organizationally distinct and identifiable, the 60690
community-technical colleges located at the University of60691
Cincinnati, Youngstown State University, and the University of60692
Akron.60693

       The purpose of Access Challenge is to reduce the student 60694
share of costs for resident undergraduates enrolled in lower 60695
division undergraduate courses at Ohio's access campuses. The 60696
long-term goal is to make the student share of costs for these 60697
students equivalent to the student share of costs for resident 60698
undergraduate students enrolled throughout Ohio's public colleges 60699
and universities. Access Challenge appropriations shall be used to 60700
sustain, as much as possible, the tuition restraint or tuition 60701
reduction that was achieved with Access Challenge allocations in 60702
prior years. Access campuses shall disclose, in their tuition 60703
billing statements to students, the amount of tuition subsidized 60704
by state Access Challenge subsidies.60705

       In fiscal year 2008, Access Challenge subsidies shall be 60706
distributed by the Board of Regents to eligible access campuses on 60707
the basis of the average of each campus's share of fiscal year 60708
2005 and 2006 all-terms subsidy-eligible General Studies FTEs.60709

       For purposes of this calculation, Cleveland State60710
University's enrollments shall be adjusted by the ratio of the sum60711
of subsidy-eligible lower-division FTE student enrollments60712
eligible for access funding to the sum of subsidy-eligible General60713
Studies FTE student enrollments at Central State University and60714
Shawnee State University, and for the following universities and60715
their regional campuses: the Ohio State University, Ohio 60716
University, Kent State University, Bowling Green State University, 60717
Miami University, the University of Cincinnati, the University of 60718
Akron, and Wright State University.60719

       Section 375.20.20. SUCCESS CHALLENGE60720

       The foregoing appropriation item 235-420, Success Challenge,60721
shall be used by the Board of Regents to promote degree completion 60722
by students enrolled at a main campus of a state-assisted60723
university.60724

       Of the foregoing appropriation item 235-420, Success 60725
Challenge, 66.67 per cent of the appropriation in fiscal year 2008 60726
shall be distributed to state-assisted university main campuses in60727
proportion to each campus's share of the total statewide60728
bachelor's degrees granted by university main campuses to60729
"at-risk" students. In fiscal year 2008, an "at-risk" student 60730
means any undergraduate student who was eligible to receive an60731
Ohio need-based financial aid award during the past ten years. An 60732
eligible institution shall not receive its share of this60733
distribution until it has submitted a plan that addresses how the60734
subsidy will be used to better serve at-risk students and increase60735
their likelihood of successful completion of a bachelor's degree60736
program. The Board of Regents shall disseminate to all60737
state-supported institutions of higher education all such plans60738
submitted by institutions that received Success Challenge funds.60739

       Of the foregoing appropriation item 235-420, Success 60740
Challenge, 33.33 per cent of the appropriation in fiscal year 2008 60741
shall be distributed to university main campuses in proportion to 60742
each campus's share of the total bachelor's degrees granted by60743
university main campuses to undergraduate students who completed60744
their bachelor's degrees in a "timely manner" in the previous60745
fiscal year. For purposes of this section, "timely manner" means 60746
the normal time it would take for a full-time degree-seeking60747
undergraduate student to complete the student's degree. Generally,60748
for such students pursuing a bachelor's degree, "timely manner"60749
means four years. Exceptions to this general rule shall be60750
permitted for students enrolled in programs specifically designed60751
to be completed in a longer time period. The Board of Regents60752
shall collect data to assess the timely completion statistics by60753
university main campuses.60754

       Section 375.20.30. APPALACHIAN NEW ECONOMY PARTNERSHIP60755

       The foregoing appropriation item 235-428, Appalachian New60756
Economy Partnership, shall be distributed to Ohio University to60757
continue a multi-campus and multi-agency coordinated effort to 60758
link Appalachia to the new economy. Ohio University shall use 60759
these funds to provide leadership in the development and 60760
implementation of initiatives in the areas of entrepreneurship, 60761
management, education, and technology.60762

       Section 375.20.40. ECONOMIC GROWTH CHALLENGE60763

       The foregoing appropriation item 235-433, Economic Growth 60764
Challenge, shall be used to enhance the basic research 60765
capabilities of Ohio's public and private institutions of higher 60766
education, support improved graduate programs throughout the 60767
state, and promote the transfer of technology developed by 60768
colleges and universities to private industry to further the 60769
economic goals of the state.60770

       Of the foregoing appropriation item 235-433, Economic Growth60771
Challenge, $12,000,000 in fiscal year 2008 shall be used for the 60772
Research Incentive Program to enhance the basic research60773
capabilities of public colleges and universities and accredited60774
Ohio institutions of higher education holding certificates of60775
authorization issued under section 1713.02 of the Revised Code, in 60776
order to strengthen academic research for pursuing Ohio's economic60777
development goals. The Board of Regents, in consultation with the 60778
colleges and universities, shall administer the Research Incentive 60779
Program and utilize a means of matching, on a fractional basis, 60780
external funds attracted in the previous year by institutions for 60781
basic research. The program may include incentives for increasing 60782
the amount of external research funds coming to eligible 60783
institutions and for focusing research efforts upon critical state 60784
needs. Colleges and universities shall submit for review and 60785
approval to the Board of Regents plans for the institutional 60786
allocation of state dollars received through the program. The 60787
institutional plans shall provide the rationale for the allocation 60788
in terms of the strategic targeting of funds for academic and 60789
state purposes, for strengthening research programs, for 60790
increasing the amount of external research funds, and shall 60791
include an evaluation process to provide results of the increased 60792
support. Institutional plans for the use of Research Incentive 60793
funding must demonstrate a significant investment in Third 60794
Frontier activities funded at the institution. For a college or 60795
university with multiple Third Frontier grants, as much as ten per 60796
cent of that institution's Research Incentive funding may be 60797
invested in Third Frontier Project-related activities. Each 60798
institutional plan for the investment of Research Incentive moneys 60799
shall report on existing, planned, or possible relationships with 60800
other state science and technology programs and funding recipients 60801
in order to further ongoing statewide science and technology 60802
collaboration objectives. The Board of Regents shall submit a 60803
biennial report of progress to the General Assembly.60804

       In fiscal year 2008, both those state-assisted doctoral 60805
degree-granting universities and those accredited Ohio 60806
institutions of higher education holding certificates of 60807
authorization under section 1713.02 of the Revised Code may elect 60808
to participate in the Innovation Incentive Plan designed to 60809
enhance doctoral programs and areas of research that have the 60810
greatest potential to attract preeminent researchers and build 60811
research capacity; enhance regional or state economic growth by 60812
creating new products and services to be commercialized; and 60813
complement Ohio's Third Frontier Project.60814

       In fiscal year 2008, funding for the Innovation Incentive 60815
Program shall be generated from those state-assisted doctoral 60816
degree-granting universities electing to set aside a portion of 60817
their allocations as provided in appropriation item 235-501, State 60818
Share of Instruction, and state matching funds provided in 60819
appropriation item 235-433, Economic Growth Challenge. In fiscal 60820
year 2008, the Board of Regents shall withhold each participating 60821
state-assisted university's required matching share from its 60822
allocation as provided in appropriation item 235-501, State Share 60823
of Instruction. Additionally, those accredited Ohio institutions 60824
of higher education holding certificates of authorization under 60825
section 1713.02 of the Revised Code electing to participate in the 60826
Innovation Incentive Program shall be required to set aside an 60827
amount comparable to the state-assisted doctoral degree-granting 60828
universities. The criteria for the determination of this amount 60829
shall be developed by the Board of Regents.60830

       Of the foregoing appropriation item 235-433, Economic Growth 60831
Challenge, $4,686,194 in fiscal year 2008 shall match funds set 60832
aside by the participating universities under the Innovation 60833
Incentive Program.60834

       The Board of Regents shall use the combined amount of each 60835
participating state-assisted university's set aside of the 60836
doctoral reserve that has been withheld, the state matching funds 60837
earmarked under appropriation item 235-433, Economic Growth 60838
Challenge, and the amount set aside by each accredited Ohio 60839
institution of higher education holding a certificate of 60840
authorization under section 1713.02 of the Revised Code electing 60841
to participate in the Innovation Incentive Program to make awards 60842
through a competitive process under the Innovation Incentive 60843
Program. Only universities electing to set aside the prescribed 60844
amount shall be eligible to compete for and receive Innovation 60845
Incentive awards. The participating universities shall use these 60846
awards to restructure their array of doctoral programs.60847

       Of the foregoing appropriation item 235-433, Economic Growth 60848
Challenge, $500,000 in fiscal year 2008 shall be distributed for 60849
the Technology Commercialization Incentive. The purpose of the 60850
Technology Commercialization Incentive is to reward public and 60851
private colleges and universities for successful technology 60852
transfer to Ohio-based business and industry resulting in the 60853
commercialization of new products, processes, and services and the 60854
establishment of new business start-ups within the state. The 60855
Third Frontier Commission, with counsel from the Third Frontier 60856
Advisory Board, shall establish the eligibility criteria for 60857
public and private colleges and universities interested in 60858
applying for Technology Commercialization Incentive funding. To 60859
qualify for the funds, public and private colleges and 60860
universities must maintain a significant investment in their own 60861
technology-transfer and commercialization operation and 60862
capabilities, and possess a significant history of successful 60863
research partnerships with Ohio-based business and industry.60864

       Section 375.20.45. DISTRIBUTION OF CHALLENGE FUNDS60865

       The Chancellor of the Board of Regents shall study the 60866
effectiveness and appropriateness of the programs funded in GRF 60867
appropriation items 235-415, Jobs Challenge, 235-418, Access 60868
Challenge, 235-420, Success Challenge, and 235-433, Economic 60869
Growth Challenge, in the context of today's knowledge-based 60870
economy with a focus on student-based funding, the workforce 60871
development needs of the state in the Twenty-first Century, and 60872
incentives for student success. Based on the findings of the 60873
study, the Chancellor of the Board of Regents shall make 60874
recommendations for the distribution of the funds provided for 60875
fiscal year 2009. Not later than May 1, 2008, the Chancellor of 60876
the Board of Regents shall seek the Controlling Board's approval 60877
of the recommended distribution of the funds provided for fiscal 60878
year 2009 in GRF appropriation items 235-415, Jobs Challenge, 60879
235-418, Access Challenge, 235-420, Success Challenge, and 60880
235-433, Economic Growth Challenge.60881

       Section 375.20.50. COLLEGE READINESS AND ACCESS60882

       Appropriation item 235-434, College Readiness and Access,60883
shall be used by the Board of Regents to support programs designed 60884
to improve the academic preparation and increase the number of 60885
students that enroll and succeed in higher education such as the 60886
Ohio College Access Network, the state match for the federal 60887
Gaining Early Awareness and Readiness for Undergraduate Program, 60888
and early awareness initiatives. The appropriation item shall also 60889
be used to support innovative statewide strategies to increase 60890
student access and retention for specialized populations, and to 60891
provide for pilot projects that will contribute to improving 60892
access to higher education by specialized populations. The funds 60893
also may be used for projects that improve access for nonpublic 60894
secondary students.60895

        Of the foregoing appropriation item 235-434, College 60896
Readiness and Access, $798,684 in fiscal year 2008 and $822,645 in 60897
fiscal year 2009 shall be distributed to the Ohio Appalachian 60898
Center for Higher Education at Shawnee State University. The board 60899
of directors of the Center shall consist of the presidents of 60900
Shawnee State University, Belmont Technical College, Hocking 60901
College, Jefferson Community College, Zane State College, Rio 60902
Grande Community College, Southern State Community College, and 60903
Washington State Community College; the president of Ohio 60904
University or a designee of the president; the dean of one of the 60905
Salem, Tuscarawas, and East Liverpool regional campuses of Kent 60906
State University, as designated by the president of Kent State 60907
University; and a representative of the Board of Regents 60908
designated by the Chancellor.60909

        Of the foregoing appropriation item 235-434, College 60910
Readiness and Access, $169,553 in fiscal year 2008 and $174,640 in 60911
fiscal year 2009 shall be distributed to Miami University for the 60912
Student Achievement in Research and Scholarship (STARS) Program.60913

        Of the foregoing appropriation item 235-434, College 60914
Readiness and Access, $3,503,985 in each fiscal year shall be used 60915
in conjunction with funding provided in the Ohio Department of 60916
Education budget under appropriation item 200-431, School 60917
Improvement Initiatives, to support the Early College High School 60918
Program. The funds shall be distributed according to guidelines 60919
established by the Department of Education and the Board of 60920
Regents.60921

       Section 375.20.60.  TEACHER IMPROVEMENT INITIATIVES60922

       Appropriation item 235-435, Teacher Improvement Initiatives, 60923
shall be used by the Board of Regents to support programs such as 60924
OSI - Discovery and the Centers of Excellence in Mathematics and 60925
Science designed to raise the quality of mathematics and science60926
teaching in primary, secondary, and post-secondary education.60927

       Of the foregoing appropriation item 235-435, Teacher 60928
Improvement Initiatives, $204,049 in each fiscal year shall be 60929
distributed to the Mathematics and Science Center in Lake County.60930

       Of the foregoing appropriation item 235-435, Teacher 60931
Improvement Initiatives, $106,619 in each fiscal year shall be 60932
distributed to the Ohio Mathematics and Science Coalition.60933

       Of the foregoing appropriation item 234-435, Teacher 60934
Improvement Initiatives, $100,000 in each fiscal year shall be 60935
distributed to the Teacher Quality Partnerships study.60936

       Of the foregoing appropriation item 235-435, Teacher 60937
Improvement Initiatives, $100,000 in each fiscal year shall be 60938
distributed to the Sinclair Community College Distance Learning 60939
STEM Partnership.60940

        Of the foregoing appropriation item 235-435, Teacher 60941
Improvement Initiatives, $874,871 in each fiscal year shall be 60942
distributed to the Ohio Resource Center for Mathematics, Science, 60943
and Reading. The funds shall be used to support a resource center 60944
for mathematics, science, and reading to be located at a 60945
state-assisted university for the purpose of identifying best 60946
educational practices in primary and secondary schools and 60947
establishing methods for communicating them to colleges of 60948
education and school districts. The Ohio Resource Center for 60949
Mathematics, Science, and Reading shall not make available 60950
resources that are inconsistent with the K-12 science standards 60951
and policies as adopted by the State Board of Education.60952

       Of the foregoing appropriation item 235-435, Teacher 60953
Improvement Initiatives, up to $2,000,000 in each fiscal year 60954
shall be used to support up to ten regional summer academies that 60955
focus on foreign language, science, mathematics, engineering, and 60956
technology and prepare eleventh and twelfth grade students 60957
enrolled in public or chartered nonpublic schools to pursue 60958
college-level foreign language, mathematics, science, technology, 60959
and engineering, with a focus on secondary teaching in these 60960
disciplines. Successful completion of these academics shall result 60961
in dual high school and college credits. Costs shall be based upon 60962
reasonable expenses, as determined by the Board of Regents, that 60963
institutions of higher education may incur for faculty, supplies, 60964
and other associated costs.60965

       Of the foregoing appropriation item 235-435, Teacher 60966
Improvement Initiatives, up to $4,000,000 in fiscal year 2009 60967
shall be used to fund teacher-signing bonuses for individuals that 60968
enter the teaching profession in a public school district or 60969
school district building that has been designated a hard-to-staff 60970
school by the Department of Education. To qualify for the signing 60971
bonus, an individual must: (a) be licensed to teach; (b) be 60972
assigned to teach in foreign language, science, or mathematics; 60973
and (c) agree to teach in a hard-to-staff school for a minimum of 60974
five years. An individual may qualify for up to $20,000 in 60975
state-funded bonuses if all obligations are met. The Board of 60976
Regents shall develop this program jointly with the Department of 60977
Education and the Partnership for Continued Learning. An 60978
individual may participate in either the teacher-signing bonus 60979
program or the teacher loan-forgiveness program, but may not 60980
receive benefits from both programs. The Board of Regents shall 60981
recoup funds received by any program participant who has not 60982
fulfilled the five-year teaching obligation as described in this 60983
section.60984

       Of the foregoing appropriation item 235-435, Teacher 60985
Improvement Initiatives, up to $2,500,000 in fiscal year 2009 60986
shall be used to fund teacher loan-forgiveness for individuals 60987
that enter the teaching profession in a school district or school 60988
district building that has been designated as a hard-to-staff 60989
school by the Department of Education. To qualify for the loan 60990
forgiveness, an individual must: (a) be licensed to teach; (b) be 60991
assigned to teach in foreign language, science, or mathematics; 60992
and (c) agree to teach in a hard-to-staff school for a minimum of 60993
five years. An individual may qualify for up to $20,000 in state 60994
funded loan forgiveness if all obligations are met. The Board of 60995
Regents shall develop this program jointly with the Department of 60996
Education and the Partnership for Continued Learning. An 60997
individual may participate in either the teacher-signing bonus 60998
program or the teacher loan-forgiveness program, but may not 60999
receive benefits from both programs. The Board of Regents shall 61000
recoup funds received by any program participant who has not 61001
fulfilled the five-year teaching obligation as described in this 61002
section.61003

       Section 375.20.70. ACCELERATEOHIO61004

       Of the foregoing appropriation item 235-436 AccelerateOhio, 61005
$2,000,000 in fiscal year 2008 and $5,000,000 in fiscal 2009 shall 61006
be used by the Board of Regents, in collaboration with Ohio's 61007
public two-year campuses, to develop and implement a statewide 61008
program designed to improve the education and skills of Ohio's 61009
workforce by assisting low-income working adults in Ohio to 61010
improve their education and training. AccelerateOhio shall consist 61011
of competency-based, low-cost, noncredit, and credit-bearing 61012
modules and courses in communications, mathematics, and 61013
information technology, and other fields selected by the Board of 61014
Regents. The program shall be designed to culminate in a 61015
certificate and provide recipients with a foundation for 61016
additional post-secondary education.61017

       Of the foregoing appropriation item 235-436, AccelerateOhio, 61018
$500,000 in fiscal year 2008 shall be used to support the Health 61019
Information and Imaging Technology Workforce Development Pilot 61020
Project pursuant to section 3333.55 of the Revised Code.61021

       Section 375.20.75. STEM INITIATIVES61022

       The foregoing appropriation item 235-437, STEM Initiatives, 61023
shall be used for STEM Academies.61024

       Section 375.20.80. EMINENT SCHOLARS61025

       The foregoing appropriation item 235-451, Eminent Scholars,61026
shall be used by the Ohio Board of Regents to continue the Ohio61027
Eminent Scholars Program, the purpose of which is to invest61028
educational resources to address problems that are of vital61029
statewide significance while fostering the growth in eminence of61030
Ohio's academic programs. Ohio Eminent Scholars endowed chairs 61031
shall allow Ohio universities to recruit senior faculty members 61032
from outside Ohio who are nationally and internationally 61033
recognized scholars in areas of science and technology that 61034
provide the basic research platforms on which the state's 61035
technology and commercialization efforts are built. Endowment 61036
grants of approximately $685,494 to state colleges and 61037
universities and nonprofit Ohio institutions of higher education 61038
holding certificates of authorization issued under section 1713.02 61039
of the Revised Code to match endowment gifts from nonstate sources 61040
may be made in accordance with a plan established by the Ohio 61041
Board of Regents. Matching nonstate endowment gifts shall be equal 61042
to the state's endowment grant of approximately $685,494. The 61043
grants shall have as their purpose attracting and sustaining in 61044
Ohio scholar-leaders of national or international prominence; each 61045
grant shall assist in accelerating state economic growth through 61046
research that provides an essential basic science platform for 61047
commercialization efforts. Such scholar-leaders shall, among their 61048
duties, share broadly the benefits and knowledge unique to their 61049
fields of scholarship to the betterment of Ohio and its people and 61050
collaborate with other state technology programs and program 61051
recipients.61052

       All new Eminent Scholar awards made by the Board of Regents 61053
shall be associated with a Wright Center of Innovation, a 61054
Partnership Award from the Biomedical Research and Technology 61055
Transfer Trust Fund, or a Wright Capital Project.61056

       Section 375.20.90. ENTERPRISEOHIO NETWORK61057

       The foregoing appropriation item 235-455, EnterpriseOhio 61058
Network, shall be allocated by the Board of Regents to continue 61059
increasing the capabilities of the EnterpriseOhio Network to meet 61060
the ongoing training needs of Ohio employers. Funds shall support 61061
multicampus collaboration, best practice dissemination, and 61062
capacity building projects. The Regents Advisory Committee for 61063
Workforce Development, in its advisory role, shall advise in the 61064
development of plans and activities.61065

       Section 375.30.10. AREA HEALTH EDUCATION CENTERS61066

       The foregoing appropriation item 235-474, Area Health61067
Education Centers Program Support, shall be used by the Board of61068
Regents to support the medical school regional area health61069
education centers' educational programs for the continued support61070
of medical and other health professions education and for support61071
of the Area Health Education Center Program.61072

       Of the foregoing appropriation item 235-474, Area Health61073
Education Centers Program Support, $159,158 in each fiscal year 61074
shall be disbursed to the Ohio University College of Osteopathic61075
Medicine to operate a mobile health care unit to serve the61076
southeastern area of the state.61077

        Of the foregoing appropriation item 235-474, Area Health 61078
Education Centers Program Support, $119,369 in each fiscal year 61079
shall be used to support the Ohio Valley Community Health61080
Information Network (OVCHIN) project.61081

       Section 375.30.20. STATE SHARE OF INSTRUCTION61082

       The Board of Regents shall establish procedures to allocate 61083
the foregoing appropriation item 235-501, State Share of 61084
Instruction, based on the formulas and enrollment in the 61085
instructional models set out in this section.61086

       (A) FULL-TIME EQUIVALENT (FTE) ENROLLMENTS61087

       (1) As soon as practicable during each fiscal year of the61088
biennium ending June 30, 2009, in accordance with instructions of 61089
the Board of Regents, each state-assisted institution of higher61090
education shall report its actual enrollment to the Board of61091
Regents.61092

       (2) In defining the number of full-time equivalent students61093
for state subsidy purposes, the Board of Regents shall exclude all 61094
undergraduate students who are not residents of Ohio, except those 61095
charged in-state fees in accordance with reciprocity agreements 61096
made under section 3333.17 of the Revised Code or employer 61097
contracts entered into under section 3333.32 of the Revised Code.61098

       (3) In calculating the core subsidy entitlements for Medical61099
II models only, the Board of Regents shall use the following count61100
of FTE students:61101

       (a) For those medical schools whose current year enrollment, 61102
including students repeating terms, is below the base enrollment, 61103
the Medical II FTE enrollment shall equal: 65 per cent of the base61104
enrollment plus 35 per cent of the current year enrollment 61105
including students repeating terms, where the base enrollment is:61106

The Ohio State University 1010 61107
University of Cincinnati 833 61108
University of Toledo 650 61109
Wright State University 433 61110
Ohio University 433 61111
Northeastern Ohio Universities College of Medicine 433 61112

       (b) For those medical schools whose current year enrollment, 61113
excluding students repeating terms, is equal to or greater than 61114
the base enrollment, the Medical II FTE enrollment shall equal the61115
base enrollment plus the FTE for repeating students.61116

       (c) Students repeating terms may be no more than five per 61117
cent of current year enrollment.61118

       (4) The state share of instruction to state-supported61119
universities for students enrolled in law schools in fiscal year61120
2008 and fiscal year 2009 shall be calculated by using the number61121
of subsidy-eligible FTE law school students funded by state61122
subsidy in fiscal year 1995 or the actual number of61123
subsidy-eligible FTE law school students at the institution in the61124
fiscal year, whichever is less.61125

       (B) TOTAL COSTS PER FULL-TIME EQUIVALENT STUDENT61126

       For purposes of calculating state share of instruction 61127
allocations, the total instructional costs per full-time 61128
equivalent student shall be:61129

Model Fiscal Year 2008 Fiscal Year 2009 61130
ARTS AND HUMANITIES 1 $7,220 $7,494 61131
ARTS AND HUMANITIES 2 9,431 9,790 61132
ARTS AND HUMANITIES 3 12,186 12,649 61133
ARTS AND HUMANITIES 4 17,836 18,514 61134
ARTS AND HUMANITIES 5 27,829 28,887 61135
ARTS AND HUMANITIES 6 34,540 35,852 61136
BUSINESS, EDUCATION & SOCIAL SCIENCES 1 6,352 6,594 61137
BUSINESS, EDUCATION & SOCIAL SCIENCES 2 7,389 7,670 61138
BUSINESS, EDUCATION & SOCIAL SCIENCES 3 8,911 9,249 61139
BUSINESS, EDUCATION & SOCIAL SCIENCES 4 10,744 11,152 61140
BUSINESS, EDUCATION & SOCIAL SCIENCES 5 17,070 17,719 61141
BUSINESS, EDUCATION & SOCIAL SCIENCES 6 21,908 22,740 61142
BUSINESS, EDUCATION & SOCIAL SCIENCES 7 26,019 27,008 61143
MEDICAL 1 43,190 44,831 61144
MEDICAL 2 47,635 49,445 61145
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 1 6,552 6,801 61146
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 2 9,196 9,545 61147
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 3 11,610 12,051 61148
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 4 14,789 15,351 61149
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 5 18,420 19,119 61150
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 6 19,990 20,750 61151
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 7 27,676 28,728 61152
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 8 35,308 36,650 61153
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 9 48,150 49,979 61154

       Doctoral I and Doctoral II models shall be allocated in 61155
accordance with division (D)(1) of this section.61156

       (C) SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICAL, 61157
AND GRADUATE WEIGHTS61158

       For the purpose of implementing the recommendations of the 61159
State Share of Instruction Consultation and the Higher Education 61160
Funding Study Council that priority be given to maintaining state 61161
support for science, technology, engineering, mathematics, 61162
medicine, and graduate programs, the costs in division (B) of this 61163
section shall be weighted by the amounts provided below:61164

Model Fiscal Year 2008 Fiscal Year 2009 61165
ARTS AND HUMANITIES 1 1.000 1.000 61166
ARTS AND HUMANITIES 2 1.000 1.000 61167
ARTS AND HUMANITIES 3 1.000 1.000 61168
ARTS AND HUMANITIES 4 1.000 1.000 61169
ARTS AND HUMANITIES 5 1.250 1.250 61170
ARTS AND HUMANITIES 6 1.250 1.250 61171
BUSINESS, EDUCATION & SOCIAL SCIENCES 1 1.000 1.000 61172
BUSINESS, EDUCATION & SOCIAL SCIENCES 2 1.000 1.000 61173
BUSINESS, EDUCATION & SOCIAL SCIENCES 3 1.000 1.000 61174
BUSINESS, EDUCATION & SOCIAL SCIENCES 4 1.000 1.000 61175
BUSINESS, EDUCATION & SOCIAL SCIENCES 5 1.250 1.250 61176
BUSINESS, EDUCATION & SOCIAL SCIENCES 6 1.250 1.250 61177
BUSINESS, EDUCATION & SOCIAL SCIENCES 7 1.250 1.250 61178
MEDICAL 1 1.500 1.500 61179
MEDICAL 2 1.728 1.728 61180
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 1 1.000 1.000 61181
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 2 1.002 1.002 61182
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 3 1.613 1.613 61183
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 4 1.690 1.690 61184
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 5 1.420 1.420 61185
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 6 2.081 2.081 61186
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 7 1.702 1.702 61187
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 8 1.808 1.808 61188
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 9 1.341 1.341 61189

       (D) CALCULATION OF STATE SHARE OF INSTRUCTION FORMULA 61190
ENTITLEMENTS AND ADJUSTMENTS61191

       (1) Of the foregoing appropriation item 235-501, State Share 61192
of Instruction, up to 10.44 per cent of the appropriation in each 61193
fiscal year shall be reserved for support of doctoral programs to 61194
implement the recommendations of the Graduate Funding Commission. 61195
The amount so reserved shall be referred to as the doctoral 61196
set-aside.61197

       The doctoral set-aside shall be allocated to universities in61198
proportion to their share of the total number of Doctoral I61199
equivalent FTEs as calculated on an institutional basis using the61200
greater of the two-year or five-year FTEs for the period fiscal61201
year 1994 through fiscal year 1998 with annualized FTEs for fiscal61202
years 1994 through 1997 and all-term FTEs for fiscal year 1998 as61203
adjusted to reflect the effects of doctoral review and subsequent 61204
changes in Doctoral I equivalent enrollments. For the purposes of 61205
this calculation, Doctoral I equivalent FTEs shall equal the sum 61206
of Doctoral I FTEs plus 1.5 times the sum of Doctoral II FTEs.61207

       If a university participates in the Innovation Incentive 61208
Program outlined in appropriation item 235-433, Economic Growth 61209
Challenge, in fiscal year 2008 the Board of Regents shall withhold 61210
the university's increasing matching share required by the 61211
Innovation Incentive Program from its allocation of the doctoral 61212
set-aside.61213

       The Board of Regents shall use the combined amount of each 61214
participating state-assisted university's set aside of the 61215
doctoral reserve that has been withheld, the state matching funds 61216
earmarked under appropriation item 235-433, Economic Growth 61217
Challenge, and the amount set aside by each accredited Ohio 61218
institution of higher education holding a certificate of 61219
authorization under section 1713.02 of the Revised Code electing 61220
to participate in the Innovation Incentive Program to make awards 61221
through a competitive process under the Innovation Incentive 61222
Program. Only universities electing to set aside the prescribed 61223
amount shall be eligible to compete for and receive Innovation 61224
Incentive awards. The participating universities shall use these 61225
awards to restructure their array of doctoral programs.61226

       (2) Each campus's state share of instruction base formula 61227
earnings shall be determined as follows:61228

       (a) For each campus in each fiscal year, the instructional 61229
costs shall be determined by multiplying the amounts listed above 61230
in divisions (B) and (C) of this section by (i) average61231
subsidy-eligible FTEs for the two-year period ending in the prior61232
year for all models except Doctoral I and Doctoral II; and (ii)61233
average subsidy-eligible FTEs for the five-year period ending in61234
the prior year for all models except Doctoral I and Doctoral II.61235

       (b) The Board of Regents shall compute the two calculations 61236
listed in division (D)(2)(a) of this section and use the greater 61237
amount as each campus's instructional costs.61238

       (c) The Board of Regents shall compute a uniform state share 61239
of instructional costs by dividing the appropriations for 235-501, 61240
State Share of Instruction, less the doctoral set-aside calculated 61241
in division (D)(1) of this section, by the sum of all campuses' 61242
instructional costs as calculated in division (D)(2)(b) of this 61243
section.61244

       (d) The formula entitlement for each campus shall be 61245
determined by multiplying the uniform state share of costs 61246
calculated in division (D)(2)(c) of this section by the campus's 61247
instructional cost determined in division (D)(2)(b) of this 61248
section.61249

       (3) In addition to the doctoral set-aside allocation 61250
determined in division (D)(1) of this section and the formula 61251
entitlement determined in division (D)(2) of this section, an 61252
allocation based on fiscal year 2007 facility-based plant 61253
operations and maintenance (POM) subsidy shall be made. No campus 61254
shall be eligible for a POM allocation if the campus did not 61255
receive a net-assignable-square-foot-based (NASF) POM allocation 61256
in fiscal year 2007 and the amount of state share of instruction 61257
subsidy the campus would have received in fiscal year 2007 had the 61258
campus's calculation been based on the state share of instruction 61259
method described in this section, but using relevant fiscal year 61260
2007 data, is less than 98.5% of the campus's actual final fiscal 61261
year 2007 state share of instruction earnings.61262

       For each eligible campus, the amount of the POM allocation in 61263
each fiscal year shall be the lesser of:61264

       (a) 98.5% of the campus's actual final fiscal year 2007 state 61265
share of instruction earnings, minus the amount the campus would 61266
have received in fiscal year 2007 had the campus's calculation 61267
been based on the state share of instruction method described in 61268
this section, but using relevant fiscal year 2007 data; or61269

        (b) The actual final fiscal year 2007 61270
net-assignable-square-foot-based (NASF) POM allocation that was 61271
provided to the campus.61272

       Any POM allocations required by this division shall be funded 61273
by proportionately reducing formula entitlement earnings, 61274
including the POM allocations, for all campuses.61275

       The Board of Regents, in consultation with representatives of 61276
state-assisted colleges and universities, shall study the need for 61277
the facility-based POM allocations and make recommendations for 61278
changes by June 30, 2008.61279

       (4) ANNUAL STATE SHARE OF INSTRUCTION FUNDING GUARANTEE61280

       In addition to and after the other adjustment noted above, in 61281
each fiscal year, no campus shall receive a state share of 61282
instruction allocation that is less than 100 per cent of the prior 61283
year's state share of instruction amount. Funds shall be made 61284
available to fund this guarantee provision by recalculating the 61285
uniform state share as described in division (D)(2)(c) of this 61286
section by subtracting guarantee funds and the doctoral set-aside 61287
from the total appropriations for appropriation item 235-501, 61288
State Share of Instruction.61289

       (5) CAPITAL COMPONENT DEDUCTION61290

       After all other adjustments have been made, state share of 61291
instruction earnings shall be reduced for each campus by the 61292
amount, if any, by which debt service charged in Am. H.B. 748 of 61293
the 121st General Assembly, Am. Sub. H.B. 850 of the 122nd General61294
Assembly, Am. Sub. H.B. 640 of the 123rd General Assembly, H.B. 61295
675 of the 124th General Assembly, Am. Sub. H.B. 16 of the 126th 61296
General Assembly, and Am. Sub. H.B. 699 of the 126th General 61297
Assembly for that campus exceeds that campus's capital component 61298
earnings. The sum of the amounts deducted shall be transferred to 61299
appropriation item 235-552, Capital Component, in each fiscal 61300
year.61301

       (E) EXCEPTIONAL CIRCUMSTANCES61302

       Adjustments may be made to the state share of instruction61303
payments and other subsidies distributed by the Board of Regents61304
to state-assisted colleges and universities for exceptional61305
circumstances. No adjustments for exceptional circumstances may be 61306
made without the recommendation of the Chancellor and the approval 61307
of the Controlling Board.61308

       (F) APPROPRIATION REDUCTIONS TO THE STATE SHARE OF 61309
INSTRUCTION61310

       The standard provisions of the state share of instruction 61311
calculation as described in the preceding sections of temporary 61312
law shall apply to any reductions made to appropriation item 61313
235-501, State Share of Instruction, before the Board of Regents 61314
has formally approved the final allocation of the state share of 61315
instruction funds for any fiscal year.61316

       Any reductions made to appropriation item 235-501, State 61317
Share of Instruction, after the Board of Regents has formally 61318
approved the final allocation of the state share of instruction 61319
funds for any fiscal year, shall be uniformly applied to each 61320
campus in proportion to its share of the final allocation.61321

       (G) DISTRIBUTION OF STATE SHARE OF INSTRUCTION61322

       The state share of instruction payments to the institutions61323
shall be in substantially equal monthly amounts during the fiscal61324
year, unless otherwise determined by the Director of Budget and61325
Management pursuant to section 126.09 of the Revised Code.61326
Payments during the first six months of the fiscal year shall be61327
based upon the state share of instruction appropriation estimates61328
made for the various institutions of higher education according to61329
Board of Regents enrollment estimates. Payments during the last61330
six months of the fiscal year shall be distributed after approval61331
of the Controlling Board upon the request of the Board of Regents.61332

       Section 375.30.25.  STATE SHARE OF INSTRUCTION FOR FISCAL 61333
YEARS 2008 AND 200961334

       (A) The boards of trustees of institutions of state-supported 61335
higher education shall restrain increases in in-state 61336
undergraduate instructional and general fees. For the 2007-2008 61337
academic year, each state-supported institution shall not increase 61338
its in-state undergraduate instructional and general fees by more 61339
than three per cent over what the institution charged for the 61340
2006-2007 academic year. For the 2008-2009 academic year, each 61341
state-supported institution shall not increase its in-state 61342
undergraduate instructional and general fees over what the 61343
institution charged for the 2007-2008 academic year.61344

       These limitations shall not apply to increases required to 61345
comply with institutional covenants related to their obligations 61346
or to meet unfunded legal mandates or legally binding obligations 61347
incurred or commitments made prior to the effective date of this 61348
section with respect to which the institution had identified such 61349
fee increases as the source of funds. Any increase required by 61350
such covenants and any such mandates, obligations, or commitments 61351
shall be reported by the Board of Regents to the Controlling 61352
Board. These limitations may also be modified by the Board of 61353
Regents, with the approval of the Controlling Board, to respond to 61354
exceptional circumstances as identified by the Board of Regents.61355

       (B)(1) Notwithstanding the distribution formulas outlined in 61356
Section 375.30.20 of this act, in fiscal year 2008 each 61357
state-supported institution shall receive what was received in 61358
fiscal year 2007. In addition, each institution shall receive a 61359
proportional share of the total appropriation increase from fiscal 61360
year 2007 to fiscal year 2008 in appropriation item 235-501, State 61361
Share of Instruction, if the institution demonstrates one per cent 61362
savings through identified internal efficiencies in fiscal year 61363
2008, as certified by the Chancellor of the Board of Regents.61364

       Notwithstanding the distribution formulas outlined in Section 61365
375.30.20 of this act, in fiscal year 2009 each state-supported 61366
institution shall receive what was received in fiscal year 2008. 61367
In addition, each institution shall receive a proportional share 61368
of the total appropriation increase from fiscal year 2008 to 61369
fiscal year 2009 in appropriation item 235-501, State Share of 61370
Instruction, if the institution demonstrates three per cent 61371
savings through identified internal efficiencies in fiscal year 61372
2009, as certified by the Chancellor of the Board of Regents.61373

       (2) In each fiscal year, state share of instruction earnings61374
shall be reduced for each campus by the amount, if any, by which 61375
debt service charged in Am. H.B. 748 of the 121st General 61376
Assembly, Am. Sub. H.B. 850 of the 122nd General Assembly, Am. 61377
Sub. H.B. 640 of the 123rd General Assembly, H.B. 675 of the 124th 61378
General Assembly, Am. Sub. H.B. 16 of the 126th General Assembly, 61379
and Am. Sub. H.B. 699 of the 126th General Assembly for that 61380
campus exceeds that campus's capital component earnings. The sum 61381
of the amounts deducted shall be transferred to appropriation item 61382
235-552, Capital Component, in each fiscal year.61383

       Adjustments may be made to the state share of instruction61384
payments and other subsidies distributed by the Board of Regents61385
to state-assisted colleges and universities for exceptional61386
circumstances. No adjustments for exceptional circumstances may be 61387
made without the recommendation of the Board of Regents and the61388
approval of the Controlling Board.61389

       Any reductions made to appropriation item 235-501, State 61390
Share of Instruction, shall be uniformly applied to each campus in 61391
proportion to its share of the allocation.61392

       The state share of instruction payments to the institutions61393
shall be in substantially equal monthly amounts during the fiscal61394
year, unless otherwise determined by the Director of Budget and61395
Management pursuant to section 126.09 of the Revised Code.61396
Payments during the last six months of the fiscal year shall be61397
distributed after approval of the Controlling Board upon the61398
request of the Board of Regents.61399

       (C) In consultation with the Department of Development, the 61400
Chancellor of the Board of Regents shall commission a study on the 61401
needs of the business community relative to higher education in 61402
the state. The study shall include all of the following:61403

       (1) Determine the needs of Ohio's business community;61404

       (2) Determine whether state-supported institutions of higher 61405
education are meeting those needs;61406

       (3) Identify how state-supported institutions of higher 61407
education can improve to meet those needs;61408

       (4) Identify the necessary skills and talents required by the 61409
business community that Ohio's college graduates must have in 61410
order to perform in the workplace; and61411

       (5) Make any necessary recommendations as to how 61412
state-supported institutions of higher education can better meet 61413
the needs of the business community.61414

       Not later than December 31, 2007, the Chancellor of the Board 61415
of Regents shall report the findings of the study to the Governor, 61416
the Speaker and the Minority Leader of the House of 61417
Representatives, and the President and the Minority Leader of the 61418
Senate.61419

       (D) In consultation with state-supported institutions of 61420
higher education, the Chancellor of the Board of Regents shall 61421
develop a plan that includes all of the following:61422

       (1) A plan to achieve the access goal of increasing the 61423
number of Ohioans with a college degree by 230,000 by 2017;61424

       (2) A plan to achieve the success goal of increasing the 61425
graduation rate of those who first enroll in college on or after 61426
the effective date of this section by twenty per cent by 2017;61427

       (3) A plan to achieve affordability through tuition restraint 61428
and additional state support for higher education; such a plan 61429
shall include goals for establishing and implementing funding 61430
policies that provide for sufficient state funding support to 61431
reach tuition that matches or is lower than the national average 61432
and state support that matches or exceeds the national average;61433

       (4) A plan to enhance the state's competitiveness for 61434
attracting federal and other support for research and development 61435
at public research universities; such a plan shall include goals 61436
for reaching or exceeding the national average level of support, 61437
on a per capita basis, for research and development;61438

       (5) A plan to promote higher education throughout the state 61439
through the coordinated leadership efforts of the Governor, the 61440
Chancellor of the Board of Regents, and other stakeholders; such a 61441
plan shall include goals for using various media and other 61442
partnerships to raise awareness of college opportunities, to 61443
increase public awareness about the value of a college education, 61444
and to create a shared vision that a higher education is 61445
attainable by all Ohioans.61446

       Each of these plans shall include key outcome measures and 61447
other appropriate indicators to allow for monitoring of progress 61448
made in meeting the established goals. Each state-supported 61449
institution of higher education shall provide any student and 61450
institutional outcome data in any program areas requested by the 61451
Chancellor of the Board of Regents, including program efficiency 61452
and utilization of state resources. Each state-supported 61453
institution of higher education shall also commit to increasing 61454
inter-institution collaborations and partnerships and enhancing 61455
efficiencies with the goal of achieving measurable increases in 61456
savings.61457

       In consultation with state-supported institutions of higher 61458
education, the Chancellor of the Board of Regents shall study the 61459
feasibility of establishing and implementing a tuition flexibility 61460
plan that may allow state-supported institutions of higher 61461
education to charge per-credit-hour-based tuition or differential 61462
tuition.61463

       Not later than December 31, 2007, the Chancellor of the Board 61464
of Regents shall report the plan and the tuition flexibility 61465
feasibility study to the Governor, the Speaker and the Minority 61466
Leader of the House of Representatives, and the President and the 61467
Minority Leader of the Senate.61468

       Section 375.30.30.  HIGHER EDUCATION - BOARD OF TRUSTEES61469

       Funds appropriated for instructional subsidies at colleges61470
and universities may be used to provide such branch or other61471
off-campus undergraduate courses of study and such master's degree61472
courses of study as may be approved by the Board of Regents.61473

       In providing instructional and other services to students,61474
boards of trustees of state-assisted institutions of higher61475
education shall supplement state subsidies by income from charges61476
to students. Each board shall establish the fees to be charged to61477
all students, including an instructional fee for educational and61478
associated operational support of the institution and a general61479
fee for noninstructional services, including locally financed61480
student services facilities used for the benefit of enrolled61481
students. The instructional fee and the general fee shall61482
encompass all charges for services assessed uniformly to all61483
enrolled students. Each board may also establish special purpose61484
fees, service charges, and fines as required; such special purpose61485
fees and service charges shall be for services or benefits61486
furnished individual students or specific categories of students61487
and shall not be applied uniformly to all enrolled students. 61488
Except for the board of trustees of Miami University, in 61489
implementing the pilot tuition restructuring plan recognized in 61490
Section 89.05 of Am. Sub. H.B. 95 of the 125th General Assembly 61491
and again recognized by this act, a tuition surcharge shall be 61492
paid by all students who are not residents of Ohio.61493

       The board of trustees of a state-assisted institution of61494
higher education shall not authorize a waiver or nonpayment of61495
instructional fees or general fees for any particular student or61496
any class of students other than waivers specifically authorized61497
by law or approved by the Chancellor. This prohibition is not61498
intended to limit the authority of boards of trustees to provide61499
for payments to students for services rendered the institution,61500
nor to prohibit the budgeting of income for staff benefits or for61501
student assistance in the form of payment of such instructional61502
and general fees. This prohibition is not intended to limit the 61503
authority of the board of trustees of Miami University in 61504
providing financial assistance to students in implementing the 61505
pilot tuition restructuring plan recognized in Section 89.05 of 61506
Am. Sub. H.B. 95 of the 125th General Assembly and again 61507
recognized by this act.61508

       Except for Miami University, in implementing the pilot 61509
tuition restructuring plan recognized in Section 89.05 of Am. Sub. 61510
H.B. 95 of the 125th General Assembly and again recognized by this 61511
act, each state-assisted institution of higher education in its61512
statement of charges to students shall separately identify the61513
instructional fee, the general fee, the tuition charge, and the61514
tuition surcharge. Fee charges to students for instruction shall61515
not be considered to be a price of service but shall be considered61516
to be an integral part of the state government financing program61517
in support of higher educational opportunity for students.61518

       The board of trustees of state-assisted institutions of 61519
higher education shall ensure that faculty members devote a proper 61520
and judicious part of their work week to the actual instruction of61521
students. Total class credit hours of production per quarter per61522
full-time faculty member is expected to meet the standards set61523
forth in the budget data submitted by the Board of Regents.61524

       The authority of government vested by law in the boards of61525
trustees of state-assisted institutions of higher education shall61526
in fact be exercised by those boards. Boards of trustees may61527
consult extensively with appropriate student and faculty groups.61528
Administrative decisions about the utilization of available61529
resources, about organizational structure, about disciplinary61530
procedure, about the operation and staffing of all auxiliary61531
facilities, and about administrative personnel shall be the61532
exclusive prerogative of boards of trustees. Any delegation of61533
authority by a board of trustees in other areas of responsibility61534
shall be accompanied by appropriate standards of guidance61535
concerning expected objectives in the exercise of such delegated61536
authority and shall be accompanied by periodic review of the61537
exercise of this delegated authority to the end that the public61538
interest, in contrast to any institutional or special interest,61539
shall be served.61540

       Section 375.30.40. STUDENT SUPPORT SERVICES61541

       The foregoing appropriation item 235-502, Student Support61542
Services, shall be distributed by the Board of Regents to Ohio's61543
state-assisted colleges and universities that incur61544
disproportionate costs in the provision of support services to61545
disabled students.61546

       Section 375.30.50. OHIO INSTRUCTIONAL GRANTS61547

       In each fiscal year, instructional grants for all eligible 61548
full-time students who have attended a college, university, or 61549
proprietary school and have completed coursework for college 61550
credit, excluding early college high school and post-secondary 61551
enrollment option students, prior to academic year 2006-2007, 61552
shall be made using the tables under section 3333.12 of the 61553
Revised Code.61554

       Of the foregoing appropriation item 235-503, Ohio 61555
Instructional Grants, an amount in each fiscal year shall be used 61556
to make the payments authorized by division (C) of section 3333.26 61557
of the Revised Code to the institutions described in that 61558
division. In addition, an amount in each fiscal year shall be used 61559
to reimburse the institutions described in division (B) of section 61560
3333.26 of the Revised Code for the cost of the waivers required 61561
by that division.61562

       The unencumbered balance of appropriation item 235-503, Ohio 61563
Instructional Grants, at the end of fiscal year 2008 shall be 61564
transferred to fiscal year 2009 for use under the same 61565
appropriation item. The amounts transferred are hereby 61566
appropriated.61567

       Section 375.30.60.  WAR ORPHANS SCHOLARSHIPS61568

       The foregoing appropriation item 235-504, War Orphans61569
Scholarships, shall be used to reimburse state-assisted61570
institutions of higher education for waivers of instructional fees61571
and general fees provided by them, to provide grants to61572
institutions that have received a certificate of authorization61573
from the Ohio Board of Regents under Chapter 1713. of the Revised61574
Code, in accordance with the provisions of section 5910.04 of the61575
Revised Code, and to fund additional scholarship benefits provided61576
by section 5910.032 of the Revised Code.61577

       Section 375.30.70. OHIOLINK61578

       The foregoing appropriation item 235-507, OhioLINK, shall be 61579
used by the Board of Regents to support OhioLINK, the state's 61580
electronic library information and retrieval system, which 61581
provides access statewide to an extensive set of electronic 61582
databases and resources and the library holdings of all of Ohio's 61583
public colleges and universities, 44 private colleges, and the 61584
State Library of Ohio.61585

       Section 375.30.80. AIR FORCE INSTITUTE OF TECHNOLOGY61586

       The foregoing appropriation item 235-508, Air Force Institute 61587
of Technology, shall be used to strengthen the research and 61588
educational linkages between the Wright Patterson Air Force Base 61589
and institutions of higher education in Ohio. Of the foregoing 61590
appropriation item 235-508, Air Force Institute of Technology, 61591
$1,233,588 in each fiscal year shall be used for research projects 61592
that connect the Air Force Research Laboratories with university 61593
partners. The institute shall provide annual reports to the Third 61594
Frontier Commission, that discuss existing, planned, or possible 61595
collaborations between programs and funding recipients related to 61596
technology, research development, commercialization, and support 61597
for Ohio's economic development.61598

       Of the foregoing appropriation item 235-508, Air Force 61599
Institute of Technology, $691,757 in each fiscal year shall be 61600
used to match federal dollars to support technology 61601
commercialization and job creation. The Development Research 61602
Corporation shall use the funds to create or expand Ohio-based 61603
technology and commercial development collaborations in areas that 61604
are a priority in Ohio's third frontier initiative between 61605
industry, academia, and government.61606

       Section 375.30.90.  OHIO SUPERCOMPUTER CENTER61607

       The foregoing appropriation item 235-510, Ohio Supercomputer61608
Center, shall be used by the Board of Regents to support the61609
operation of the Ohio Super Computer Center, located at The Ohio 61610
State University, as a statewide resource available to Ohio 61611
research universities both public and private. It is also intended 61612
that the center be made accessible to private industry as 61613
appropriate. Policies of the center shall be established by a61614
governance committee, representative of Ohio's research61615
universities and private industry, to be appointed by the61616
Chancellor of the Board of Regents and established for this61617
purpose.61618

       Funds shall be used, in part, to support the Ohio 61619
Supercomputer Center's Computational Science Initiative which 61620
includes its industrial outreach program, Blue Collar Computing, 61621
and its School of Computational Science. These collaborations 61622
between the Ohio Supercomputer Center and Ohio's colleges and 61623
universities shall be aimed at making Ohio a leader in using 61624
computer modeling to promote economic development.61625

       Of the foregoing appropriation item 235-510, Ohio 61626
Supercomputer Center, $250,000 in each fiscal year shall be used 61627
to support the Super Computer Center's activities in Beavercreek.61628

       Section 375.40.10.  COOPERATIVE EXTENSION SERVICE61629

       The foregoing appropriation item 235-511, Cooperative 61630
Extension Service, shall be disbursed through the Board of Regents 61631
to The Ohio State University in monthly payments, unless otherwise 61632
determined by the Director of Budget and Management under section 61633
126.09 of the Revised Code.61634

       Of the foregoing appropriation item 235-511, Cooperative61635
Extension Service, $178,271 in each fiscal year shall be used for61636
additional staffing for county agents for expanded 4-H activities.61637
Of the foregoing appropriation item 235-511, Cooperative Extension61638
Service, $178,271 in each fiscal year shall be used by the61639
Cooperative Extension Service, through the Enterprise Center for61640
Economic Development in cooperation with other agencies, for a61641
public-private effort to create and operate a small business61642
economic development program to enhance the development of61643
alternatives to the growing of tobacco, and implement, through61644
applied research and demonstration, the production and marketing61645
of other high-value crops and value-added products. Of the61646
foregoing appropriation item 235-511, Cooperative Extension61647
Service, $55,179 in each fiscal year shall be used for farm labor61648
mediation and education programs, $182,515 in each fiscal year 61649
shall be used to support the Ohio State University Marion 61650
Enterprise Center, and $772,931 in each fiscal year shall be used 61651
to support the Ohio Watersheds Initiative.61652

       Section 375.40.20.  OHIO UNIVERSITY VOINOVICH CENTER61653

       The foregoing appropriation item 235-513, Ohio University 61654
Voinovich Center, shall be used by the Board of Regents to support 61655
the operations of Ohio University's Voinovich Center.61656

       Section 375.40.30. PERFORMANCE STANDARDS FOR MEDICAL 61657
EDUCATION61658

       The Board of Regents, in consultation with the state-assisted 61659
medical colleges, shall develop performance standards for medical61660
education. Special emphasis in the standards shall be placed on 61661
attempting to ensure that at least 50 per cent of the aggregate 61662
number of students enrolled in state-assisted medical colleges 61663
continue to enter residency as primary care physicians. Primary 61664
care physicians are general family practice physicians, general 61665
internal medicine practitioners, and general pediatric care61666
physicians. The Board of Regents shall monitor medical school61667
performance in relation to their plans for reaching the 50 per61668
cent systemwide standard for primary care physicians.61669

       Section 375.40.35.  CENTRAL STATE SUPPLEMENT61670

       The foregoing appropriation item 235-514, Central State 61671
Supplement, shall be used by Central State University to keep 61672
undergraduate fees below the statewide average, consistent with 61673
its mission of service to many first-generation college students 61674
from groups historically underrepresented in higher education and 61675
from families with limited incomes.61676

       Section 375.40.40. CASE WESTERN RESERVE UNIVERSITY SCHOOL OF 61677
MEDICINE61678

       The foregoing appropriation item 235-515, Case Western61679
Reserve University School of Medicine, shall be disbursed to Case61680
Western Reserve University through the Board of Regents in61681
accordance with agreements entered into under section 3333.10 of 61682
the Revised Code, provided that the state support per full-time 61683
medical student shall not exceed that provided to full-time 61684
medical students at state universities.61685

       Section 375.40.50.  CAPITOL SCHOLARSHIP PROGRAM61686

        The foregoing appropriation item 235-518, Capitol Scholarship 61687
Program, shall be used by the Board of Regents to provide 61688
scholarships to undergraduates of Ohio's four-year public and 61689
private institutions of higher education participating in the 61690
Washington Center Internship Program. A scholarship of $1,800 61691
shall be awarded to students enrolled in an institution operating 61692
on a quarter system, and a scholarship of $2,300 shall be awarded 61693
to students enrolled in an institution operating on a semester 61694
system. The number of scholarships awarded shall be limited by the 61695
amounts appropriated in fiscal years 2008 and 2009. The Washington 61696
Center shall provide a minimum of $1,300 per student in matching 61697
scholarships.61698

       Section 375.40.60. FAMILY PRACTICE61699

       The Board of Regents shall develop plans consistent with 61700
existing criteria and guidelines as may be required for the 61701
distribution of appropriation item 235-519, Family Practice.61702

       Section 375.40.70. SHAWNEE STATE SUPPLEMENT61703

       The foregoing appropriation item 235-520, Shawnee State61704
Supplement, shall be used by Shawnee State University as detailed61705
by both of the following:61706

       (A) To allow Shawnee State University to keep its61707
undergraduate fees below the statewide average, consistent with61708
its mission of service to an economically depressed Appalachian61709
region;61710

       (B) To allow Shawnee State University to employ new faculty61711
to develop and teach in new degree programs that meet the needs of61712
Appalachians.61713

       Shawnee State University shall produce a projection of 61714
in-state undergraduate tuition costs for a four-year period of 61715
study not later than June 30, 2008. In fiscal year 2009, the 61716
disbursement of these funds shall be contingent upon Shawnee State 61717
University producing the required tuition cost projection. Shawnee 61718
State University shall make every effort to restrain future 61719
in-state undergraduate tuition increases to stay within those 61720
projected amounts.61721

       Section 375.40.80.  OSU GLENN INSTITUTE61722

       The foregoing appropriation item 235-521, The Ohio State 61723
University Glenn Institute, shall be used by the Board of Regents 61724
to support the operations of the Ohio State University's Glenn 61725
Institute.61726

       Section 375.40.90. POLICE AND FIRE PROTECTION61727

       The foregoing appropriation item 235-524, Police and Fire61728
Protection, shall be used for police and fire services in the61729
municipalities of Kent, Athens, Oxford, Fairborn, Bowling Green,61730
Portsmouth, Xenia Township (Greene County), Rootstown Township, 61731
and the City of Nelsonville that may be used to assist these local 61732
governments in providing police and fire protection for the 61733
central campus of the state-affiliated university located therein. 61734
Each participating municipality and township shall receive at 61735
least $5,000 in each fiscal year. Funds shall be distributed 61736
according to the method employed by the Board of Regents in the 61737
previous biennium.61738

       Section 375.50.10.  GERIATRIC MEDICINE61739

       The Board of Regents shall develop plans consistent with61740
existing criteria and guidelines as may be required for the61741
distribution of appropriation item 235-525, Geriatric Medicine.61742

       Section 375.50.20.  PRIMARY CARE RESIDENCIES61743

       The Board of Regents shall develop plans consistent with 61744
existing criteria and guidelines as may be required for the 61745
distribution of appropriation item 235-526, Primary Care 61746
Residencies.61747

       The foregoing appropriation item 235-526, Primary Care 61748
Residencies, shall be distributed in each fiscal year of the 61749
biennium, based on whether or not the institution has submitted 61750
and gained approval for a plan. If the institution does not have 61751
an approved plan, it shall receive five per cent less funding per 61752
student than it would have received from its annual allocation. 61753
The remaining funding shall be distributed among those 61754
institutions that meet or exceed their targets.61755

       Section 375.50.30. OHIO AEROSPACE INSTITUTE61756

       The foregoing appropriation item 235-527, Ohio Aerospace61757
Institute, shall be distributed by the Board of Regents under61758
section 3333.042 of the Revised Code.61759

       The Board of Regents, in consultation with the Third Frontier 61760
Commission, shall develop a plan for providing for appropriate, 61761
value-added participation of the Ohio Aerospace Institute in Third 61762
Frontier Project proposals and grants.61763

       Section 375.50.40. ACADEMIC SCHOLARSHIPS61764

       The foregoing appropriation item 235-530, Academic61765
Scholarships, shall be used to provide academic scholarships to61766
students under section 3333.22 of the Revised Code.61767

       Section 375.50.50. STUDENT CHOICE GRANTS61768

       The foregoing appropriation item 235-531, Student Choice61769
Grants, shall be used to provide Student Choice Grants under 61770
section 3333.27 of the Revised Code, except that in each fiscal 61771
year, the Board of Regents shall make a Student Choice Grant under 61772
that section only to a student who has a family income, as defined 61773
by the Board for purposes of section 3333.122 of the Revised Code, 61774
of $95,000 or less.61775

       Section 375.50.60. OHIO AGRICULTURAL RESEARCH AND DEVELOPMENT 61776
CENTER61777

       The foregoing appropriation item 235-535, Ohio Agricultural 61778
Research and Development Center, shall be disbursed through the 61779
Board of Regents to The Ohio State University in monthly payments, 61780
unless otherwise determined by the Director of Budget and 61781
Management under section 126.09 of the Revised Code. The Ohio 61782
Agricultural Research and Development Center shall not be required 61783
to remit payment to The Ohio State University during the biennium 61784
ending June 30, 2009, for cost reallocation assessments. The cost 61785
reallocation assessments include, but are not limited to, any 61786
assessment on state appropriations to the Center.61787

       The Ohio Agricultural Research and Development Center, an 61788
entity of the College of Food, Agricultural, and Environmental 61789
Sciences of The Ohio State University, shall further its mission 61790
of enhancing Ohio's economic development and job creation by 61791
continuing to internally allocate on a competitive basis 61792
appropriated funding of programs based on demonstrated 61793
performance. Academic units, faculty, and faculty-driven programs 61794
shall be evaluated and rewarded consistent with agreed-upon 61795
performance expectations as called for in the College's 61796
Expectations and Criteria for Performance Assessment.61797

       Of the foregoing appropriation item 235-535, Ohio 61798
Agricultural Research and Development Center, $467,578 in each 61799
fiscal year shall be used to purchase equipment.61800

       Of the foregoing appropriation item 235-535, Ohio61801
Agricultural Research and Development Center, $822,592 in each 61802
fiscal year shall be distributed to the Piketon Agricultural61803
Research and Extension Center.61804

       Of the foregoing appropriation item 235-535, Ohio61805
Agricultural Research and Development Center, $216,471 in each 61806
fiscal year shall be distributed to the61807
Raspberry/Strawberry-Ellagic Acid Research program at The Ohio61808
State University Medical College in cooperation with The Ohio61809
State University College of Agriculture.61810

       Of the foregoing appropriation item 235-535, Ohio61811
Agricultural Research and Development Center, $43,294 in each 61812
fiscal year shall be used to support the Ohio Berry Administrator.61813

       Of the foregoing appropriation item 235-535, Ohio61814
Agricultural Research and Development Center, $86,588 in each 61815
fiscal year shall be used for the development of agricultural61816
crops and products not currently in widespread production in Ohio,61817
in order to increase the income and viability of family farmers.61818

       Of the foregoing appropriation item 235-535, Ohio 61819
Agricultural Research and Development Center, $127,500 in each 61820
fiscal year shall be distributed to Wilmington College for the 61821
commercialization of agricultural products.61822

       Section 375.50.70. STATE UNIVERSITY CLINICAL TEACHING61823

       The foregoing appropriation items 235-536, The Ohio State 61824
University Clinical Teaching; 235-537, University of Cincinnati 61825
Clinical Teaching; 235-538, University of Toledo Clinical 61826
Teaching; 235-539, Wright State University Clinical Teaching; 61827
235-540, Ohio University Clinical Teaching; and 235-541, 61828
Northeastern Ohio Universities College of Medicine Clinical 61829
Teaching, shall be distributed through the Board of Regents.61830

       Of the foregoing appropriation item 235-539, Wright State 61831
University Clinical Teaching, $124,644 in each fiscal year of the 61832
biennium shall be for the use of Wright State University's Ellis 61833
Institute for Clinical Teaching Studies to operate the clinical 61834
facility to serve the Greater Dayton area.61835

       Section 375.50.80. SCHOOL OF INTERNATIONAL BUSINESS61836

       Of the foregoing appropriation item 235-547, School of61837
International Business, $250,000 in each fiscal year shall be used 61838
for the continued development and support of the School of61839
International Business of the state universities of northeast61840
Ohio. The money shall go to The University of Akron. These funds61841
shall be used by the university to establish a School of61842
International Business located at The University of Akron. It may61843
confer with Kent State University, Youngstown State University,61844
and Cleveland State University as to the curriculum and other61845
matters regarding the school.61846

       Of the foregoing appropriation item 235-547, School of61847
International Business, $100,000 in each fiscal year shall be used61848
by the University of Toledo College of Business for expansion of61849
its international business programs.61850

       Of the foregoing appropriation item 235-547, School of61851
International Business, $100,000 in each fiscal year shall be used 61852
to support the Ohio State University BioMEMS program.61853

       Section 375.50.90. CAPITAL COMPONENT61854

       The foregoing appropriation item 235-552, Capital Component,61855
shall be used by the Board of Regents to implement the capital61856
funding policy for state-assisted colleges and universities61857
established in Am. H.B. 748 of the 121st General Assembly.61858
Appropriations from this item shall be distributed to all campuses61859
for which the estimated campus debt service attributable to new61860
qualifying capital projects is less than the campus's61861
formula-determined capital component allocation. Campus61862
allocations shall be determined by subtracting the estimated61863
campus debt service attributable to new qualifying capital61864
projects from the campus's formula-determined capital component61865
allocation. Moneys distributed from this appropriation item shall61866
be restricted to capital-related purposes.61867

       Any campus for which the estimated campus debt service 61868
attributable to qualifying capital projects is greater than the 61869
campus's formula-determined capital component allocation shall 61870
have the difference subtracted from its State Share of Instruction 61871
allocation in each fiscal year. The sum of all such amounts shall 61872
be transferred from appropriation item 235-501, State Share of 61873
Instruction, to appropriation item 235-552, Capital Component.61874

       Section 375.60.10. DAYTON AREA GRADUATE STUDIES INSTITUTE61875

       The foregoing appropriation item 235-553, Dayton Area61876
Graduate Studies Institute, shall be used by the Board of Regents61877
to support the Dayton Area Graduate Studies Institute, an61878
engineering graduate consortium of three universities in the61879
Dayton area: Wright State University, the University of Dayton,61880
and the Air Force Institute of Technology, with the participation61881
of the University of Cincinnati and The Ohio State University.61882

       Of the foregoing appropriation item 235-553, Dayton Area 61883
Graduate Studies Institute, $350,000 in each fiscal year shall be 61884
used by the Development Research Corporation to support 61885
collaborative research and technology commercialization 61886
initiatives in Ohio.61887

       Section 375.60.20. PRIORITIES IN COLLABORATIVE GRADUATE 61888
EDUCATION61889

       The foregoing appropriation item 235-554, Priorities in 61890
Collaborative Graduate Education, shall be used to support 61891
improvements in graduate fields of study at state-assisted 61892
universities identified by the Board of Regents, in consultation 61893
with the Department of Development and the Department of Job and 61894
Family Services, as vital to the state's economic strategy or 61895
related to an area of workforce shortage. Each fiscal year, 61896
participating institutions shall collectively submit for Board of 61897
Regents approval a plan describing how they will work 61898
collaboratively to improve the quality of their graduate programs 61899
and how the funds are to be used for this purpose. The 61900
collaborative effort for Ph.D. computer science programs shall be 61901
coordinated by the Ohio Supercomputer Center as part of its School 61902
of Computational Science.61903

       Section 375.60.30. LIBRARY DEPOSITORIES61904

       The foregoing appropriation item, 235-555, Library 61905
Depositories, shall be distributed to the state's five regional 61906
depository libraries for the cost-effective storage of and access 61907
to lesser-used materials in university library collections. The 61908
distribution of funds shall be coordinated by the Board of 61909
Regents.61910

       Section 375.60.40. OHIO ACADEMIC RESOURCES NETWORK (OARNET)61911

       The foregoing appropriation item 235-556, Ohio Academic61912
Resources Network, shall be used to support the operations of the61913
Ohio Academic Resources Network, which shall include support for61914
Ohio's state-assisted colleges and universities in maintaining and61915
enhancing network connections and in using new network 61916
technologies to improve research, education, and economic 61917
development programs. The network shall give priority to 61918
supporting the Third Frontier Network and allocating bandwidth to 61919
programs directly supporting Ohio's economic development.61920

       Section 375.60.50. LONG-TERM CARE RESEARCH61921

       Of the foregoing appropriation item 235-558, Long-term Care61922
Research, $211,047 in each fiscal year shall be disbursed to Miami 61923
University for long-term care research.61924

       Of the foregoing appropriation item, 235-558, Long-term Care 61925
Research, $100,000 in each fiscal year shall be used to support 61926
research on best practices for long-term care in rural areas.61927

       Section 375.60.60. BOWLING GREEN STATE UNIVERSITY CANADIAN 61928
STUDIES CENTER61929

       The foregoing appropriation item 235-561, Bowling Green State61930
University Canadian Studies Center, shall be used by the Canadian61931
Studies Center at Bowling Green State University to study61932
opportunities for Ohio and Ohio businesses to benefit from the61933
Free Trade Agreement between the United States and Canada.61934

       Section 375.60.70.  OHIO COLLEGE OPPORTUNITY GRANT PHASE-IN61935

       The foregoing appropriation item 235-563, Ohio College 61936
Opportunity Grant, shall be used by the Board of Regents to begin 61937
to award needs-based financial aid to students based on the United 61938
States Department of Education's method of determining financial 61939
need. Students who enrolled in a public, private, or proprietary 61940
post-secondary institution of higher education for the first time 61941
in academic year 2006-2007, excluding early college high school 61942
and post-secondary enrollment option participants, shall be 61943
eligible to receive aid based on their expected family 61944
contributions as calculated by the United States Department of 61945
Education, according to section 3333.122 of the Revised Code.61946

       Eligible expenditures from the foregoing appropriation item 61947
235-563, Ohio College Opportunity Grant, shall be claimed each 61948
fiscal year to help meet the state's TANF maintenance of effort 61949
requirement. The Chancellor of the Board of Regents and the 61950
Director of Job and Family Services shall enter into an 61951
interagency agreement to carry out this paragraph, which shall 61952
include, but not be limited to, developing reporting guidelines 61953
for these expenditures.61954

       Section 375.60.80. CENTRAL STATE UNIVERSITY SPEED TO SCALE61955

       The foregoing appropriation 235-567, Central State University 61956
Speed to Scale, shall be used to achieve the goals of the Speed to 61957
Scale Plan, which include increasing student enrollment through 61958
freshman recruitment and transferred students, increasing the 61959
proportion of in-state students to 80 per cent of the total 61960
student population, and increasing the student retention rates 61961
between the first and second year of college by two per cent each 61962
year. The goals shall be accomplished by targeting student 61963
retention, improved articulation agreements with two-year 61964
campuses, increased use of alternative course options, including 61965
online coursework and Ohio Learning Network resources, College 61966
Tech Prep, Post Secondary Enrollment Options, and other 61967
dual-credit programs, and strategic partnerships with research 61968
institutions to improve the quality of Central State University's 61969
offering of science, technology, engineering, mathematics, and 61970
medical instruction. In fiscal year 2009, the disbursement of 61971
these funds shall be contingent upon Central State University 61972
meeting the annual goals for the student enrollment and 61973
first-to-second-year retention rate increases.61974

       There is hereby created the Speed to Scale Task Force that 61975
shall meet not less than quarterly to discuss progress of the 61976
plan, including performance on accountability metrics, issues 61977
experienced in planned efforts, and to monitor and support the 61978
creation of partnerships with other state institutions of higher 61979
education. The Task Force shall consist of the president of 61980
Central State University or the president's designee, the 61981
president of Sinclair Community College or the president's 61982
designee, the president of Cincinnati State Technical and 61983
Community College or the president's designee, the president of 61984
Cuyahoga Community College or the president's designee, The Ohio 61985
State University or the president's designee, the president of the 61986
University of Cincinnati or the president's designee, one 61987
representative from the Board of Regents, one member of the House 61988
of Representatives appointed by the Speaker of the House of 61989
Representatives, one member of the Senate appointed by the 61990
President of the Senate, the Director of Budget and Management or 61991
the director's designee, and a representative of the Governor's 61992
Office as appointed by the Governor.61993

       On the thirtieth day of June of each fiscal year, Central 61994
State University and the Speed to Scale Task Force shall jointly 61995
submit to the Governor, the Director of Budget and Management, the 61996
Speaker of the House of Representatives, the President of the 61997
Senate, and the Board of Regents a report describing the status of 61998
their progress on the accountability metrics included in the Speed 61999
to Scale plan.62000

       Section 375.60.91. CHOOSE OHIO FIRST SCHOLARSHIP62001

       It is the intent of the House of Representatives to work with 62002
the Senate and the Governor to design the criteria for the Choose 62003
Ohio First Scholarship to promote the pursuit of STEM degrees.62004

       Section 375.70.10. THE OHIO STATE UNIVERSITY CLINIC SUPPORT62005

       The foregoing appropriation item 235-572, The Ohio State62006
University Clinic Support, shall be distributed through the Board62007
of Regents to The Ohio State University for support of dental and62008
veterinary medicine clinics.62009

       Section 375.70.20. URBAN UNIVERSITY PROGRAM62010

       Universities receiving funds from the foregoing appropriation 62011
item 235-583, Urban University Program, that are used to support62012
an ongoing university unit shall certify periodically in a manner62013
approved by the Board of Regents that program funds are being62014
matched on a one-to-one basis with equivalent resources. Overhead62015
support may not be used to meet this requirement. Where Urban62016
University Program funds are being used to support an ongoing62017
university unit, matching funds shall come from continuing rather62018
than one-time sources. At each participating state-assisted62019
institution of higher education, matching funds shall be within 62020
the substantial control of the individual designated by the62021
institution's president as the Urban University Program62022
representative.62023

       Of the foregoing appropriation item 235-583, Urban University62024
Program, $117,215 in each fiscal year shall be used to support the 62025
Center for the Interdisciplinary Study of Education and the Urban 62026
Child at Cleveland State University. These funds shall be62027
distributed according to rules adopted by the Board of Regents and62028
shall be used by the center for interdisciplinary activities62029
targeted toward increasing the chance of lifetime success of the62030
urban child, including interventions beginning with the prenatal62031
period. The primary purpose of the center is to study issues in62032
urban education and to systematically map directions for new62033
approaches and new solutions by bringing together a cadre of62034
researchers, scholars, and professionals representing the social,62035
behavioral, education, and health disciplines.62036

       Of the foregoing appropriation item 235-583, Urban University62037
Program, $1,433,037 in each fiscal year shall be distributed by62038
the Board of Regents to Cleveland State University in support of62039
the Maxine Goodman Levin College of Urban Affairs.62040

       Of the foregoing appropriation item 235-583, Urban University62041
Program, $1,433,037 in each fiscal year shall be distributed to62042
the Northeast Ohio Research Consortium, the Urban Linkages62043
Program, and the Urban Research Technical Assistance Grant62044
Program. The distribution among the three programs shall be62045
determined by the chair of the Urban University Program.62046

       Of the foregoing appropriation item 235-583, Urban University62047
Program, $247,453 in each fiscal year shall be used to support a62048
public communication outreach program (WCPN). The primary purpose62049
of the program shall be to develop a relationship between62050
Cleveland State University and nonprofit communications entities.62051

       Of the foregoing appropriation item 235-583, Urban University62052
Program, $169,310 in each fiscal year shall be used to support the 62053
Kent State University Learning and Technology Project. This62054
project is a kindergarten through university collaboration between62055
schools surrounding Kent State University's eight campuses in 62056
northeast Ohio and corporate partners who will assist in 62057
development and delivery.62058

       The Kent State University Project shall provide a faculty62059
member who has a full-time role in the development of62060
collaborative activities and teacher instructional programming62061
between Kent State University and the K-12th grade schools that 62062
surround its eight campuses; appropriate student support staff to 62063
facilitate these programs and joint activities; and hardware and 62064
software to schools that will make possible the delivery of 62065
instruction to pre-service and in-service teachers, and their 62066
students, in their own classrooms or school buildings. This shall 62067
involve the delivery of low-bandwidth streaming video and 62068
web-based technologies in a distributed instructional model.62069

       Of the foregoing appropriation item 235-583, Urban University62070
Program, $65,119 in each fiscal year shall be used to support the62071
Ameritech Classroom/Center for Research at Kent State University.62072

       Of the foregoing appropriation item 235-583, Urban University62073
Program, $723,547 in each fiscal year shall be used to support the 62074
Polymer Distance Learning Project at the University of Akron.62075

       Of the foregoing appropriation item 235-583, Urban University62076
Program, $32,560 in each fiscal year shall be distributed to the62077
Kent State University/Cleveland Design Center program.62078

       Of the foregoing appropriation item 235-583, Urban University62079
Program, $180,886 in each fiscal year shall be used to support the 62080
Bliss Institute of Applied Politics at the University of Akron.62081

       Of the foregoing appropriation item 235-583, Urban University62082
Program, $10,851 in each fiscal year shall be used for the62083
Advancing-Up Program at the University of Akron.62084

       Of the foregoing appropriation item 235-583, Urban University 62085
Program, $139,777 in each fiscal year shall be used to support the 62086
Strategic Economic Research Collaborative at the University of 62087
Toledo Urban Affairs Center.62088

        Of the foregoing appropriation item 235-583, Urban University 62089
Program, $139,777 in each fiscal year shall be used to support the 62090
Institute for Collaborative Research and Public Humanities at The 62091
Ohio State University.62092

       Of the foregoing appropriation item 235-583, Urban University 62093
Program, $300,368 in each fiscal year shall be used to support the 62094
Medina County University Center.62095

       Of the foregoing appropriation item 235-583, Urban University 62096
Program, $150,000 in each fiscal year shall be used to support the 62097
Ohio State University African American and African Studies 62098
Community Extension Center.62099

       Section 375.70.30. RURAL UNIVERSITY PROJECTS62100

       Of the foregoing appropriation item 235-587, Rural University62101
Projects, Bowling Green State University shall receive $263,783 in 62102
each fiscal year, Miami University shall receive $145,320 in each 62103
fiscal year, and Ohio University shall receive $575,015 in each 62104
fiscal year. These funds shall be used to support the Institute62105
for Local Government Administration and Rural Development at Ohio62106
University, the Center for Public Management and Regional Affairs62107
at Miami University, and the Center for Regional Development at62108
Bowling Green State University.62109

       A small portion of the funds provided to Ohio University62110
shall also be used for the Institute for Local Government62111
Administration and Rural Development State and Rural Policy62112
Partnership with the Governor's Office of Appalachia and the62113
Appalachian delegation of the General Assembly.62114

       Of the foregoing appropriation item 235-587, Rural University 62115
Projects, $15,942 in each fiscal year shall be used to support the 62116
Washington State Community College day care center.62117

        Of the foregoing appropriation item 235-587, Rural University 62118
Projects, $47,829 in each fiscal year shall be used to support the 62119
COAD/ILGARD/GOA Appalachian Leadership Initiative.62120

       Section 375.70.40. HAZARDOUS MATERIALS PROGRAM62121

       The foregoing appropriation item 235-596, Hazardous Materials62122
Program, shall be disbursed to Cleveland State University for the62123
operation of a program to certify firefighters for the handling of62124
hazardous materials. Training shall be available to all Ohio62125
firefighters.62126

       Of the foregoing appropriation item 235-596, Hazardous62127
Materials Program, $177,337 in each fiscal year shall be used to62128
support the Center for the Interdisciplinary Study of Education62129
and Leadership in Public Service at Cleveland State University.62130
These funds shall be distributed by the Board of Regents and shall62131
be used by the center targeted toward increasing the role of62132
special populations in public service and not-for-profit62133
organizations. The primary purpose of the center is to study62134
issues in public service and to guide strategies for attracting62135
new communities into public service occupations by bringing62136
together a cadre of researchers, scholars, and professionals62137
representing the public administration, social behavioral, and62138
education disciplines.62139

       Section 375.70.50. NATIONAL GUARD SCHOLARSHIP PROGRAM62140

       The Board of Regents shall disburse funds from appropriation62141
item 235-599, National Guard Scholarship Program, at the direction62142
of the Adjutant General. During each fiscal year, the Board of 62143
Regents, within ten days of cancellation, may certify to the 62144
Director of Budget and Management the amount of canceled 62145
prior-year encumbrances in appropriation item 235-599, National 62146
Guard Scholarship Program. Upon receipt of the certification, the 62147
Director of Budget and Management may transfer an amount up to the 62148
certified amount from the General Revenue Fund to the National 62149
Guard Scholarship Reserve Fund (Fund 5BM). Upon the request of the 62150
Adjutant General, the Board of Regents shall seek Controlling 62151
Board approval to establish appropriations in item 235-623, 62152
National Guard Scholarship Reserve Fund. The Board of Regents 62153
shall disburse funds from appropriation item 235-623, National 62154
Guard Scholarship Reserve Fund, at the direction of the Adjutant 62155
General.62156

       *       Section 375.70.60. PLEDGE OF FEES62157

       Any new pledge of fees, or new agreement for adjustment of62158
fees, made in the biennium ending June 30, 2009, to secure bonds 62159
or notes of a state-assisted institution of higher education for a 62160
project for which bonds or notes were not outstanding on the 62161
effective date of this section shall be effective only after 62162
approval by the Board of Regents, unless approved in a previous 62163
biennium.62164

       Section 375.70.70. HIGHER EDUCATION GENERAL OBLIGATION DEBT 62165
SERVICE62166

       The foregoing appropriation item 235-909, Higher Education62167
General Obligation Debt Service, shall be used to pay all debt62168
service and related financing costs at the times they are required 62169
to be made for obligations issued during the period from July 1, 62170
2007, to June 30, 2009, under sections 151.01 and 151.04 of the 62171
Revised Code.62172

       Section 375.70.80. SALES AND SERVICES62173

        The Board of Regents is authorized to charge and accept 62174
payment for the provision of goods and services. Such charges 62175
shall be reasonably related to the cost of producing the goods and 62176
services. No charges may be levied for goods or services that are 62177
produced as part of the routine responsibilities or duties of the 62178
Board. All revenues received by the Board of Regents shall be 62179
deposited into Fund 456, and may be used by the Board of Regents 62180
to pay for the costs of producing the goods and services.62181

       Section 375.70.90.  OHIO HIGHER EDUCATIONAL FACILITY 62182
COMMISSION SUPPORT62183

       The foregoing appropriation item 235-602, Higher Educational 62184
Facility Commission Administration, shall be used by the Board of 62185
Regents for operating expenses related to the Board of Regents' 62186
support of the activities of the Ohio Higher Educational Facility62187
Commission. Upon the request of the chancellor, the Director of62188
Budget and Management shall transfer up to $50,000 cash in fiscal 62189
year 2008 and up to $45,000 cash in fiscal year 2009 from Fund 461 62190
to Fund 4E8.62191

       Section 375.80.10. PHYSICIAN LOAN REPAYMENT62192

       The foregoing appropriation item 235-604, Physician Loan62193
Repayment, shall be used in accordance with sections 3702.71 to62194
3702.81 of the Revised Code.62195

       Section 375.80.20. NURSING LOAN PROGRAM62196

       The foregoing appropriation item 235-606, Nursing Loan62197
Program, shall be used to administer the nurse education62198
assistance program. Up to $159,600 in fiscal year 2008 and62199
$167,580 in fiscal year 2009 may be used for operating expenses62200
associated with the program. Any additional funds needed for the62201
administration of the program are subject to Controlling Board62202
approval.62203

       Section 375.80.30. REPAYMENT OF RESEARCH FACILITY INVESTMENT62204
FUND MONEYS62205

       Notwithstanding any provision of law to the contrary, all62206
repayments of Research Facility Investment Fund loans shall be62207
made to the Bond Service Trust Fund. All Research Facility62208
Investment Fund loan repayments made prior to the effective date62209
of this section shall be transferred by the Director of Budget and62210
Management to the Bond Service Trust Fund within sixty days after 62211
the effective date of this section.62212

       Campuses shall make timely repayments of Research Facility62213
Investment Fund loans, according to the schedule established by62214
the Board of Regents. In the case of late payments, the Board of62215
Regents may deduct from an institution's periodic subsidy62216
distribution an amount equal to the amount of the overdue payment62217
for that institution, transfer such amount to the Bond Service62218
Trust Fund, and credit the appropriate institution for the62219
repayment.62220

       Section 375.80.40. VETERANS' PREFERENCES62221

       The Board of Regents shall work with the Governor's Office of62222
Veterans' Affairs to develop specific veterans' preference62223
guidelines for higher education institutions. These guidelines62224
shall ensure that the institutions' hiring practices are in62225
accordance with the intent of Ohio's veterans' preference laws.62226

       Section 375.80.50. STATE NEED-BASED FINANCIAL AID 62227
RECONCILIATION62228

       By the first day of August in each fiscal year, or as soon 62229
thereafter as possible, the Ohio Board of Regents shall certify to 62230
the Director of Budget and Management the amount necessary to pay 62231
any outstanding prior year obligations to higher education 62232
institutions for the state's need-based financial aid programs. 62233
The amounts certified are hereby appropriated to appropriation 62234
item 235-618, State Need-based Financial Aid Reconciliation, from 62235
revenues received in the State Need-based Financial Aid 62236
Reconciliation Fund (Fund 5Y5).62237

       Section 375.80.60. TRANSFERS TO STATE NEED-BASED FINANCIAL 62238
AID PROGRAMS62239

       In each fiscal year of the biennium, if the Chancellor of the 62240
Board of Regents determines that additional funds are needed to 62241
support the distribution of state need-based financial aid in 62242
accordance with sections 3333.12 and 3333.122 of the Revised Code, 62243
the Chancellor shall recommend the reallocation of unencumbered 62244
and unobligated appropriation balances of General Revenue Fund 62245
appropriation items in the Board of Regents to GRF appropriation 62246
items 235-503, Ohio Instructional Grants, and 235-563, Ohio 62247
College Opportunity Grant. If the Director of Budget and 62248
Management determines that such a reallocation is required, the 62249
Director may transfer those identified unencumbered and 62250
unobligated funds in the Board of Regents as necessary to GRF 62251
appropriation items 235-503, Ohio Instructional Grants, and 62252
235-563, Ohio College Opportunity Grant. The amounts transferred 62253
to appropriation items 235-503, Ohio Instructional Grants, and 62254
235-563, Ohio College Opportunity Grant, are hereby appropriated. 62255
If those unencumbered and unobligated funds are not sufficient to 62256
support the distribution of state need-based financial aid in 62257
accordance with sections 3333.12 and 3333.122 of the Revised Code 62258
in each fiscal year, the Director of Budget and Management may 62259
increase the appropriation from the General Revenue Fund of 62260
appropriation items 235-503, Ohio Instructional Grants, and 62261
235-563, Ohio College Opportunity Grant, in each fiscal year. The 62262
combined increase to appropriation items 235-503, Ohio 62263
Instructional Grants, and 235-563, Ohio College Opportunity Grant, 62264
authorized under this section shall not exceed $5,000,000 in total 62265
for the purpose of need-based financial aid in each fiscal year of 62266
the biennium.62267

       Section 377.10.  DRC DEPARTMENT OF REHABILITATION AND62268
CORRECTION62269

General Revenue Fund 62270
GRF 501-321 Institutional Operations $ 892,162,864 $ 928,980,197 62271
GRF 501-403 Prisoner Compensation $ 8,599,255 $ 8,599,255 62272
GRF 501-405 Halfway House $ 41,214,205 $ 41,214,205 62273
GRF 501-406 Lease Rental Payments $ 106,531,029 $ 105,948,153 62274
GRF 501-407 Community Nonresidential Programs $ 16,514,626 $ 16,547,367 62275
GRF 501-408 Community Misdemeanor Programs $ 9,313,076 $ 9,313,076 62276
GRF 501-501 Community Residential Programs - CBCF $ 57,104,132 $ 57,104,132 62277
GRF 502-321 Mental Health Services $ 75,112,063 $ 78,405,363 62278
GRF 503-321 Parole and Community Operations $ 79,296,672 $ 82,739,767 62279
GRF 504-321 Administrative Operations $ 27,599,198 $ 28,703,273 62280
GRF 505-321 Institution Medical Services $ 199,073,620 $ 198,337,805 62281
GRF 506-321 Institution Education Services $ 23,784,868 $ 24,847,502 62282
GRF 507-321 Institution Recovery Services $ 7,319,028 $ 7,664,520 62283
TOTAL GRF General Revenue Fund $ 1,543,624,636 $ 1,588,404,615 62284

General Services Fund Group62285

148 501-602 Services and Agricultural $ 104,485,807 $ 108,290,058 62286
200 501-607 Ohio Penal Industries $ 39,395,391 $ 40,845,414 62287
4B0 501-601 Sewer Treatment Services $ 2,331,003 $ 2,407,018 62288
4D4 501-603 Prisoner Programs $ 20,967,703 $ 20,967,703 62289
4L4 501-604 Transitional Control $ 2,051,451 $ 2,051,451 62290
4S5 501-608 Education Services $ 4,564,072 $ 4,564,072 62291
483 501-605 Property Receipts $ 393,491 $ 393,491 62292
5AF 501-609 State and Non-Federal Awards $ 262,718 $ 262,718 62293
5H8 501-617 Offender Financial Responsibility $ 2,500,000 $ 2,500,000 62294
5L6 501-611 Information Technology Services $ 3,741,980 $ 3,741,980 62295
571 501-606 Training Academy Receipts $ 75,190 $ 75,190 62296
593 501-618 Laboratory Services $ 5,799,999 $ 5,799,999 62297
TOTAL GSF General Services Fund Group $ 186,568,805 $ 191,899,094 62298

Federal Special Revenue Fund Group62299

3S1 501-615 Truth-In-Sentencing Grants $ 8,709,142 $ 8,709,142 62300
323 501-619 Federal Grants $ 12,198,353 $ 12,198,353 62301
3CJ 501-621 Medicaid Inpatient Services $ 11,600,000 $ 15,500,000 62302
TOTAL FED Federal Special Revenue 62303
Fund Group $ 32,507,495 $ 36,407,495 62304

TOTAL ALL BUDGET FUND GROUPS $ 1,762,700,936 $ 1,816,711,204 62305

       OHIO BUILDING AUTHORITY LEASE PAYMENTS62306

       The foregoing appropriation item 501-406, Lease Rental62307
Payments, shall be used to meet all payments during the period 62308
from July 1, 2007, to June 30, 2009, under the primary leases and 62309
agreements for those buildings made under Chapter 152. of the 62310
Revised Code. These appropriations are the source of funds pledged 62311
for bond service charges or obligations issued pursuant to Chapter 62312
152. of the Revised Code.62313

       PRISONER COMPENSATION62314

       Money from the foregoing appropriation item 501-403, Prisoner62315
Compensation, shall be transferred on a quarterly basis by62316
intrastate transfer voucher to the Services and Agricultural Fund 62317
(Fund 148) for the purposes of paying prisoner compensation.62318

       HIV/AIDS TESTING REENTRY PILOT PROGRAM62319

        Of the foregoing appropriation item 505-321, Institution 62320
Medical Services, up to $250,000 in each fiscal year shall be used 62321
for the HIV/AIDS testing re-entry pilot program at the Mansfield 62322
Correctional Institution. Prior to a prisoner's release from 62323
custody at the Mansfield Correctional Institution under the 62324
control of the Department of Rehabilitation and Correction, the 62325
department shall examine and test a prisoner for HIV infection and 62326
any sexually transmitted disease. The department may examine and 62327
test involuntarily a prisoner who refuses to be tested.62328

       Section 377.20. LIMA CORRECTIONAL INSTITUTION STUDY COMMITTEE62329

        (A) There is hereby created the Lima Correctional Institution 62330
Study Committee, effective July 1, 2007. The Committee shall 62331
consist of the following nine members:62332

        (1) The Director of Rehabilitation and Correction or the 62333
Director's designee;62334

        (2) The eight members of the Correctional Institution 62335
Inspection Committee.62336

        (B) The Director of Rehabilitation and Correction shall be 62337
the chairperson of the Lima Correctional Institution Study 62338
Committee.62339

        (C) The Lima Correctional Institution Study Committee shall 62340
procure an independent feasibility study, performed by a 62341
consultant, through the Department of Rehabilitation and 62342
Correction. The study shall examine the highest and best use for 62343
the Lima Correctional Institution and shall examine, at a minimum, 62344
all of the following:62345

        (1) State and local correctional needs and the utilization of 62346
state and local facilities to service those needs;62347

        (2) The current condition and value of the Lima Correctional 62348
Institution;62349

        (3) The cost to reopen the Lima Correctional Institution in 62350
part or in whole for a correctional purpose;62351

        (4) Alternative uses for the Lima Correctional Institution;62352

        (5) The funding options to utilize the Lima Correctional 62353
Institution;62354

        (6) The economic impact of the Lima Correctional Institution 62355
on the Lima region and the potential non-prison economic 62356
development opportunities for a closed prison facility.62357

        (D) The Lima Correctional Institution Study Committee and the 62358
consultant selected shall utilize the staff of the Department of 62359
Rehabilitation and Correction for research and other support 62360
functions as much as feasible.62361

        (E) Of the foregoing appropriation item 501-321, 62362
Institutional Operations, $50,000 in fiscal year 2008 shall be 62363
used to fund the feasibility study.62364

        (F) The Lima Correctional Institution Study Committee shall 62365
submit a report of the Committee's findings not later than April 62366
1, 2008, to the Governor, the President of the Senate, and the 62367
Speaker of the House of Representatives. The Committee shall cease 62368
to exist after submitting the report.62369

       Section 377.30. DEPARTMENT OF REHABILITATION AND CORRECTION 62370
BLUE RIBBON COMMISSION62371

       (A) There is hereby created the Blue Ribbon Commission of the 62372
Department of Rehabilitation and Correction composed of the 62373
following members:62374

        (1) The Director of Rehabilitation and Correction or the 62375
Director's designee;62376

        (2) One member of the Criminal Sentencing Commission, 62377
appointed by the Governor;62378

        (3) A representative of the Ohio Civil Service Employees' 62379
Association, appointed by the Governor;62380

        (4) One county sheriff, appointed by the Governor;62381

        (5) One retired judge, appointed by the Governor;62382

        (6) One individual with expertise in corrections from an 62383
accredited college or university, appointed by the Governor;62384

        (7) One individual representing community corrections 62385
facilities, appointed by the Governor;62386

        (8) Two individuals, appointed by the President of the 62387
Senate;62388

        (9) Two individuals, appointed by the Speaker of the House of 62389
Representatives.62390

        (B) All appointments to the Blue Ribbon Commission shall be 62391
made on or after January 1, 2008.62392

        (C) The Blue Ribbon Commission shall conduct a comprehensive 62393
review of county, multicounty, municipal, municipal-county, and 62394
multicounty-municipal jails and workhouses, prisons, 62395
community-based correctional institutions, and other correctional 62396
institutions within the state, and of the offenders confined at 62397
these facilities. The review shall include, but is not limited to, 62398
a review of staffing levels at these facilities, projected needs 62399
and costs related to the operation of these facilities, the health 62400
and safety of the staff and inmates, and per diem costs of 62401
incarceration at each type of facility. The Blue Ribbon Commission 62402
shall develop recommendations based on its review. The 62403
recommendations shall include, but are not limited to, 62404
recommendations for sentencing reform, cost savings, and a means 62405
of better anticipating the fiscal and security impacts of 62406
sentencing legislation.62407

        (D) The members of the Blue Ribbon Commission shall elect a 62408
chairperson and vice-chairperson at the first meeting of the 62409
Commission. Meetings of the Commission shall be open to the 62410
public, and the Commission shall accept public testimony at 62411
Commission meetings. The Commission shall meet as often as 62412
necessary and shall submit its final report and recommendations by 62413
January 1, 2009, to the Governor and the Director of 62414
Rehabilitation and Correction. The Blue Ribbon Commission shall 62415
cease to exist after submitting its final report and 62416
recommendations. Member vacancies shall be filled in the same 62417
manner as for original members of the Commission.62418

        (E) Members of the Blue Ribbon Commission shall serve without 62419
compensation.62420

       Section 379.10. RSC REHABILITATION SERVICES COMMISSION62421

General Revenue Fund62422

GRF 415-100 Personal Services $ 8,851,468 $ 8,851,468 62423
GRF 415-402 Independent Living Council $ 400,000 $ 400,000 62424
GRF 415-406 Assistive Technology $ 47,531 $ 47,531 62425
GRF 415-431 Office for People with Brain Injury $ 226,012 $ 226,012 62426
GRF 415-506 Services for People with Disabilities $ 16,059,541 $ 16,059,541 62427
GRF 415-508 Services for the Deaf $ 50,000 $ 50,000 62428
TOTAL GRF General Revenue Fund $ 25,634,552 $ 25,634,552 62429

General Services Fund Group62430

4W5 415-606 Program Management Expenses $ 18,123,188 $ 18,557,040 62431
467 415-609 Business Enterprise Operating Expenses $ 1,632,082 $ 1,632,082 62432
TOTAL GSF General Services 62433
Fund Group $ 19,755,270 $ 20,189,122 62434

Federal Special Revenue Fund Group62435

3L1 415-601 Social Security Personal Care Assistance $ 3,743,740 $ 3,743,740 62436
3L1 415-608 Social Security Vocational Rehabilitation $ 2,256,260 $ 2,256,260 62437
3L4 415-612 Federal Independent Living Centers or Services $ 648,908 $ 648,908 62438
3L4 415-615 Federal - Supported Employment $ 884,451 $ 796,006 62439
3L4 415-617 Independent Living/Vocational Rehabilitation Programs $ 1,490,944 $ 1,490,944 62440
317 415-620 Disability Determination $ 82,808,006 $ 87,546,215 62441
379 415-616 Federal - Vocational Rehabilitation $ 122,484,545 $ 123,638,578 62442
TOTAL FED Federal Special 62443
Revenue Fund Group $ 214,316,854 $ 220,120,651 62444

State Special Revenue Fund Group62445

4L1 415-619 Services for Rehabilitation $ 3,765,337 $ 4,500,000 62446
468 415-618 Third Party Funding $ 906,910 $ 906,910 62447
TOTAL SSR State Special 62448
Revenue Fund Group $ 4,672,247 $ 5,406,910 62449
TOTAL ALL BUDGET FUND GROUPS $ 264,378,923 $ 271,351,235 62450

       INDEPENDENT LIVING COUNCIL62451

       The foregoing appropriation item 415-402, Independent Living62452
Council, shall be used to fund the operations of the State62453
Independent Living Council and shall be used to support state 62454
independent living centers and independent living services under 62455
Title VII of the Independent Living Services and Centers for 62456
Independent Living of the Rehabilitation Act Amendments of 1992, 62457
106 Stat. 4344, 29 U.S.C. 796d.62458

       OFFICE FOR PEOPLE WITH BRAIN INJURY62459

       Of the foregoing appropriation item 415-431, Office for62460
People with Brain Injury, up to $50,000 in each fiscal year shall 62461
be used for the state match for a federal grant awarded through 62462
the Traumatic Brain Injury Act, Pub. L. No. 104-166, and up to 62463
$50,000 in each fiscal year shall be provided to the Brain Injury 62464
Trust Fund. The remaining appropriation shall be used to plan and62465
coordinate head-injury-related services provided by state agencies 62466
and other government or private entities, to assess the needs for 62467
such services, and to set priorities in this area.62468

       VOCATIONAL REHABILITATION SERVICES62469

       The foregoing appropriation item 415-506, Services for People 62470
with Disabilities, shall be used as state matching funds to 62471
provide vocational rehabilitation services to eligible consumers.62472

       PROGRAM MANAGEMENT EXPENSES62473

       The foregoing appropriation item 415-606, Program Management62474
Expenses, shall be used to support the administrative functions of62475
the commission related to the provision of vocational62476
rehabilitation, disability determination services, and ancillary62477
programs.62478

       INDEPENDENT LIVING/VOCATIONAL REHABILITATION PROGRAMS62479

       The foregoing appropriation item 415-617, Independent62480
Living/Vocational Rehabilitation Programs, shall be used to62481
support vocational rehabilitation programs.62482

       SOCIAL SECURITY REIMBURSEMENT FUNDS62483

       Reimbursement funds received from the Social Security62484
Administration, United States Department of Health and Human62485
Services, for the costs of providing services and training to62486
return disability recipients to gainful employment shall be used62487
in the Social Security Reimbursement Fund (Fund 3L1), to the 62488
extent funds are available, as follows:62489

       (A) Appropriation item 415-601, Social Security Personal Care 62490
Assistance, to provide personal care services in accordance with 62491
section 3304.41 of the Revised Code;62492

       (B) Appropriation item 415-608, Social Security Vocational 62493
Rehabilitation, to provide vocational rehabilitation services to 62494
individuals with severe disabilities who are Social Security62495
beneficiaries, to enable them to achieve competitive employment. 62496
This appropriation item also includes funds to assist the Personal 62497
Care Assistance Program to pay its share of indirect costs as 62498
mandated by federal OMB Circular A-87.62499

       PERFORMANCE REVIEW62500

        The Auditor of State shall complete a performance review of 62501
the Rehabilitation Services Commission. Upon completing the 62502
performance review, the Auditor of State shall submit a report of 62503
the findings of the review to the Governor, the President of the 62504
Senate, the Speaker of the House of Representatives, and the Board 62505
of Rehabilitation Services Commission.62506

       Section 381.10. RCB RESPIRATORY CARE BOARD62507

General Services Fund Group62508

4K9 872-609 Operating Expenses $ 491,628 $ 481,768 62509
TOTAL GSF General Services 62510
Fund Group $ 491,628 $ 481,768 62511
TOTAL ALL BUDGET FUND GROUPS $ 491,628 $ 481,768 62512


       Section 383.10. RDF REVENUE DISTRIBUTION FUNDS62514

Volunteer Firefighters' Dependents Fund62515

085 800-900 Volunteer Firefighters' Dependents Fund $ 300,000 $ 300,000 62516
TOTAL 085 Volunteer Firefighters' 62517
Dependents Fund $ 300,000 $ 300,000 62518
Agency Fund Group 62519
062 110-962 Resort Area Excise Tax $ 1,000,000 $ 1,000,000 62520
063 110-963 Permissive Tax Distribution $ 1,778,662,000 $ 1,849,000,000 62521
067 110-967 School District Income Tax $ 325,000,000 $ 350,000,000 62522
4P8 001-698 Cash Management Improvement Fund $ 3,050,000 $ 3,100,000 62523
608 001-699 Investment Earnings $ 250,000,000 $ 250,000,000 62524
TOTAL AGY Agency Fund Group $ 2,357,712,000 $ 2,453,100,000 62525

Holding Account Redistribution62526

R45 110-617 International Fuel Tax Distribution $ 50,000,000 $ 50,000,000 62527
TOTAL 090 Holding Account Redistribution Fund $ 50,000,000 $ 50,000,000 62528
Revenue Distribution Fund Group 62529
049 038-900 Indigent Drivers Alcohol Treatment $ 1,797,000 $ 1,832,000 62530
050 762-900 International Registration Plan Distribution $ 54,475,631 $ 55,565,143 62531
051 762-901 Auto Registration Distribution $ 500,000,000 $ 539,000,000 62532
054 110-954 Local Government Property Tax Replacement - Utility $ 93,250,000 $ 95,125,000 62533
060 110-960 Gasoline Excise Tax Fund $ 375,000,000 $ 375,000,000 62534
064 110-964 Local Government Revenue Assistance $ 42,400,000 $ 0 62535
065 110-965 Library/Local Government Support Fund $ 207,200,000 $ 0 62536
066 800-900 Undivided Liquor Permits $ 13,500,000 $ 13,500,000 62537
068 110-968 State and Local Government Highway Distribution $ 240,250,000 $ 242,500,000 62538
069 110-969 Local Government Fund $ 298,700,000 $ 0 62539
081 110-981 Local Government Property Tax Replacement-Business $ 262,500,000 $ 366,800,000 62540
082 110-982 Horse Racing Tax $ 125,000 $ 130,000 62541
083 700-900 Ohio Fairs Fund $ 2,277,000 $ 2,325,000 62542
088 110-900 Local Government Services Collaboration $ 1,000,000 $ 0 62543
091 110-991 Local Communities $ 430,600,000 $ 782,800,000 62544
092 110-992 Local Libraries $ 251,700,000 $ 462,800,000 62545
TOTAL RDF Revenue Distribution 62546
Fund Group $ 2,774,774,631 $ 2,937,377,143 62547
TOTAL ALL BUDGET FUND GROUPS $ 5,182,786,631 $ 5,440,777,143 62548

       ADDITIONAL APPROPRIATIONS62549

       Appropriation items in this section shall be used for the62550
purpose of administering and distributing the designated revenue62551
distribution funds according to the Revised Code. If it is62552
determined that additional appropriations are necessary for this 62553
purpose, such amounts are appropriated.62554

       GENERAL REVENUE FUND TRANSFERS TO LOCAL GOVERNMENT PROPERTY 62555
TAX REPLACEMENT – BUSINESS (FUND 081)62556

        Notwithstanding any provision of law to the contrary, in 62557
fiscal year 2008 and fiscal year 2009, the Director of Budget and 62558
Management may transfer from the General Revenue Fund to the Local 62559
Government Property Tax Replacement – Business (Fund 081) in the 62560
Revenue Distribution Fund, those amounts necessary to reimburse 62561
local taxing units under section 5751.22 of the Revised Code. 62562
Also, in fiscal year 2008 and fiscal year 2009, the Director of 62563
Budget and Management may make temporary transfers from the 62564
General Revenue Fund to ensure sufficient balances in the Local 62565
Government Property Tax Replacement - Business Fund (Fund 081) and 62566
to replenish the General Revenue Fund for such transfers.62567

       Section 383.20.  LOCAL GOVERNMENT SERVICES COLLABORATION 62568
GRANT PROGRAM62569

       (A) The Director of Development shall administer a Local 62570
Government Services Collaboration Grant Program. The Director may 62571
adopt rules under section 111.15 of the Revised Code and do all 62572
things necessary for that purpose.62573

       (B) There is hereby created in the State Treasury the Local 62574
Government Services Collaboration Grant Fund (Fund 088). The fund 62575
shall consist of all cash deposited into it pursuant to Section 62576
757.03 of this act. The fund shall be used by the Director of 62577
Development in administering the Local Government Services 62578
Collaboration Grant Program.62579

       On July 1, 2007, or as soon as possible thereafter, the 62580
Director of Budget and Management shall transfer $1,000,000 cash 62581
from the General Revenue Fund to the Local Government Services 62582
Collaboration Grant Fund established in this section. The amount 62583
transferred is hereby appropriated.62584

       (C) The foregoing appropriation item 110-900, Local 62585
Government Services Collaboration, shall be used by the Director 62586
of Development to administer the Local Government Services 62587
Collaboration Grant Program. Moneys shall be used to provide 62588
grants to counties, municipal corporations, and townships that are 62589
interested in combining the provision of local government services 62590
with those of other counties, municipal corporations, or 62591
townships. Individual grant awards shall be used solely for the 62592
cost of conducting a feasibility study that addresses whether, and 62593
in what manner, counties, municipal corporations, and townships 62594
may combine their respective provision of local government 62595
services.62596

       Individual grants shall be available on a competitive basis 62597
to a county, municipal corporation, or township that proposes to 62598
combine its provision of local government services with those of 62599
at least two other counties, municipal corporations, or townships, 62600
or with any combination of at least two other counties, municipal 62601
corporations, or townships. Grants shall be awarded according to 62602
the following formula:62603

       (1) For a total of, or for any combination of, three 62604
counties, municipal corporations, or townships, the grant shall be 62605
equal to fifty per cent of the total cost of the feasibility 62606
study, or not more than $30,000;62607

       (2) For a total of, or for any combination of, four counties, 62608
municipal corporations, or townships, the grant shall be equal to 62609
sixty per cent of the total cost of the feasibility study, or not 62610
more than $40,000; 62611

       (3) For a total of, or for any combination of, five counties, 62612
municipal corporations, or townships, the grant shall be equal to 62613
seventy per cent of the total cost of the feasibility study, or 62614
not more than $50,000; 62615

       (4) For a total of, or for any combination of, six counties, 62616
municipal corporations, or townships, the grant shall be equal to 62617
eighty per cent of the total cost of the feasibility study, or not 62618
more than $60,000; 62619

       (5) For a total of, or for any combination of, seven 62620
counties, municipal corporations, or townships, the grant shall be 62621
equal to ninety per cent of the total cost of the feasibility 62622
study, or not more than $70,000; 62623

       (6) For a total of, or for any combination of, eight or more 62624
counties, municipal corporations, or townships, the grant shall be 62625
equal to the total cost of the feasibility study, or not more than 62626
$80,000.62627

       (D) Of the foregoing appropriation 110-900, Local Government 62628
Services Collaboration, not more than $100,000 over the biennium 62629
may be used by the Department of Development for operating 62630
expenditures in administering the Local Government Services 62631
Collaboration Grant Program.62632

       (E) Applicants for funding under the Local Government 62633
Services Collaboration Grant Program are encouraged to utilize the 62634
services of state-funded colleges and universities to conduct the 62635
feasibility studies referenced under this section.62636

       (F) As used in this section, "local government services" 62637
means services typically provided by a county, municipal 62638
corporation, or township for the health, safety, and well-being of 62639
community residents and includes, but is not limited to, police 62640
and fire protection, 9-1-1 emergency service, trash collection, 62641
snow removal, road repair, and the provision of public utilities 62642
such as water and sewer services.62643

       (G) On or before June 30, 2008, the unencumbered balance of 62644
the foregoing appropriation item 110-900, Local Government 62645
Services Collaboration, for fiscal year 2008 is hereby 62646
appropriated for the same purpose for fiscal year 2009.62647

       Section 385.10. SAN BOARD OF SANITARIAN REGISTRATION62648

General Services Fund Group62649

4K9 893-609 Operating Expenses $ 138,551 $ 138,551 62650
TOTAL GSF General Services 62651
Fund Group $ 138,551 $ 138,551 62652
TOTAL ALL BUDGET FUND GROUPS $ 138,551 $ 138,551 62653


       Section 387.10.  OSB OHIO STATE SCHOOL FOR THE BLIND62655

General Revenue Fund62656

GRF 226-100 Personal Services $ 7,093,127 $ 7,519,318 62657
GRF 226-200 Maintenance $ 704,154 $ 704,154 62658
GRF 226-300 Equipment $ 113,288 $ 113,288 62659
TOTAL GRF General Revenue Fund $ 7,910,569 $ 8,336,760 62660

General Services Fund Group62661

4H8 226-602 School Improvement Grants $ 37,514 $ 37,514 62662
TOTAL GSF General Services 62663
Fund Group $ 37,514 $ 37,514 62664

Federal Special Revenue Fund Group62665

3P5 226-643 Medicaid Services Reimbursement $ 50,000 $ 50,000 62666
310 226-626 Multi-Handicapped Student Support $ 2,527,105 $ 2,527,105 62667
TOTAL FED Federal Special 62668
Revenue Fund Group $ 2,577,105 $ 2,577,105 62669

State Special Revenue Fund Group62670

4M5 226-601 Work Study and Donations $ 217,397 $ 217,397 62671
TOTAL SSR State Special Revenue 62672
Fund Group $ 217,397 $ 217,397 62673
TOTAL ALL BUDGET FUND GROUPS $ 10,742,585 $ 11,168,776 62674


       Section 389.10.  OSD OHIO SCHOOL FOR THE DEAF62676

General Revenue Fund62677

GRF 221-100 Personal Services $ 8,775,363 $ 9,263,862 62678
GRF 221-200 Maintenance $ 1,033,092 $ 1,033,092 62679
GRF 221-300 Equipment $ 222,500 $ 222,500 62680
TOTAL GRF General Revenue Fund $ 10,030,955 $ 10,519,454 62681

General Services Fund Group62682

4M1 221-602 School Improvement Grants $ 38,000 $ 38,000 62683
TOTAL GSF General Services 62684
Fund Group $ 38,000 $ 38,000 62685

Federal Special Revenue Fund Group62686

3AD 221-604 VREAL Ohio $ 25,000 $ 25,000 62687
3R0 221-684 Medicaid Services $ 34,999 $ 34,999 62688
Reimbursement 62689
3Y1 221-686 Federal Early Childhood Grant $ 250,000 $ 250,000 62690
311 221-625 Statewide Outreach $ 2,470,135 $ 2,470,135 62691
TOTAL FED Federal Special 62692
Revenue Fund Group $ 2,780,134 $ 2,780,134 62693

State Special Revenue Fund Group62694

4M0 221-601 Work Study and Donations $ 95,000 $ 95,000 62695
5H6 221-609 Preschool Program Support $ 127,832 $ 125,358 62696
TOTAL SSR State Special Revenue 62697
Fund Group $ 222,832 $ 220,358 62698
TOTAL ALL BUDGET FUND GROUPS $ 13,071,921 $ 13,557,946 62699


       Section 391.10.  SFC SCHOOL FACILITIES COMMISSION62701

General Revenue Fund62702

GRF 230-428 Lease Rental Payments $ 22,702,000 $ 0 62703
GRF 230-908 Common Schools General Obligation Debt Service $ 270,529,980 $ 322,665,885 62704
TOTAL GRF General Revenue Fund $ 293,231,980 $ 322,665,885 62705

State Special Revenue Fund Group62706

5E3 230-644 Operating Expenses $ 7,749,813 $ 7,786,197 62707
TOTAL SSR State Special Revenue 62708
Fund Group $ 7,749,813 $ 7,786,197 62709
TOTAL ALL BUDGET FUND GROUPS $ 300,981,793 $ 330,452,082 62710


       Section 391.20. LEASE RENTAL PAYMENTS62712

       The foregoing appropriation item 230-428, Lease Rental62713
Payments, shall be used to meet all payments at the times they are 62714
required to be made during the period from July 1, 2007, to June62715
30, 2009, by the Ohio School Facilities Commission under leases62716
and agreements made under section 3318.26 of the Revised Code.62717

       COMMON SCHOOLS GENERAL OBLIGATION DEBT SERVICE62718

       The foregoing appropriation item 230-908, Common Schools62719
General Obligation Debt Service, shall be used to pay all debt62720
service and related financing costs at the times they are required 62721
to be made for obligations issued during the period from July 1, 62722
2007, through June 30, 2009, under sections 151.01 and 151.03 of 62723
the Revised Code.62724

       OPERATING EXPENSES62725

       The foregoing appropriation item 230-644, Operating Expenses,62726
shall be used by the Ohio School Facilities Commission to carry62727
out its responsibilities under this section and Chapter 3318. of 62728
the Revised Code.62729

       In both fiscal years 2008 and 2009, the Executive Director of 62730
the Ohio School Facilities Commission shall certify on a quarterly 62731
basis to the Director of Budget and Management the amount of cash 62732
from interest earnings to be transferred from the School Building 62733
Assistance Fund (Fund 032), the Public School Building Fund (Fund 62734
021), and the Educational Facilities Trust Fund (Fund N87) to the 62735
Ohio School Facilities Commission Fund (Fund 5E3). The amount 62736
transferred from the School Building Assistance Fund (Fund 032) 62737
may not exceed investment earnings credited to the fund, less any 62738
amount required to be paid for federal arbitrage rebate purposes.62739

       SCHOOL FACILITIES ENCUMBRANCES AND REAPPROPRIATION62740

       At the request of the Executive Director of the Ohio School62741
Facilities Commission, the Director of Budget and Management may62742
cancel encumbrances for school district projects from a previous62743
biennium if the district has not raised its local share of project62744
costs within one year of receiving Controlling Board approval 62745
under section 3318.05 of the Revised Code. The Executive Director 62746
of the Ohio School Facilities Commission shall certify the amounts 62747
of the canceled encumbrances to the Director of Budget and 62748
Management on a quarterly basis. The amounts of the canceled 62749
encumbrances are hereby appropriated.62750

       Section 391.30. EXTREME ENVIRONMENTAL CONTAMINATION OF SCHOOL62751
FACILITIES62752

       Notwithstanding any other provision of law to the contrary,62753
the Ohio School Facilities Commission may provide assistance under 62754
the Exceptional Needs School Facilities Program established in 62755
section 3318.37 of the Revised Code to any school district, and 62756
not exclusively to a school district in the lowest seventy-five 62757
per cent of adjusted valuation per pupil on the current ranking of62758
school districts established under section 3317.02 of the Revised 62759
Code, for the purpose of the relocation or replacement of school 62760
facilities required as a result of extreme environmental62761
contamination.62762

       The Ohio School Facilities Commission shall contract with an62763
independent environmental consultant to conduct a study and to62764
report to the commission as to the seriousness of the62765
environmental contamination, whether the contamination violates62766
applicable state and federal standards, and whether the facilities62767
are no longer suitable for use as school facilities. The62768
commission then shall make a determination regarding funding for62769
the relocation or replacement of the school facilities. If the62770
federal government or other public or private entity provides62771
funds for restitution of costs incurred by the state or school62772
district in the relocation or replacement of the school62773
facilities, the school district shall use such funds in excess of62774
the school district's share to refund the state for the state's62775
contribution to the environmental contamination portion of the62776
project. The school district may apply an amount of such62777
restitution funds up to an amount equal to the school district's62778
portion of the project, as defined by the commission, toward62779
paying its portion of that project to reduce the amount of bonds62780
the school district otherwise must issue to receive state62781
assistance under sections 3318.01 to 3318.20 of the Revised Code.62782

       Section 391.40.  CANTON CITY SCHOOL DISTRICT PROJECT62783

       (A) The Ohio School Facilities Commission may commit up to62784
thirty-five million dollars to the Canton City School District for62785
construction of a facility described in this section, in lieu of a 62786
high school that would otherwise be authorized under Chapter 3318. 62787
of the Revised Code. The Commission shall not commit funds under 62788
this section unless all of the following conditions are met:62789

       (1) The District has entered into a cooperative agreement62790
with a state-assisted technical college.62791

       (2) The District has received an irrevocable commitment of62792
additional funding from nonpublic sources.62793

       (3) The facility is intended to serve both secondary and62794
postsecondary instructional purposes.62795

       (B) The Commission shall enter into an agreement with the62796
District for the construction of the facility authorized under62797
this section that is separate from and in addition to the62798
agreement required for the District's participation in the62799
Classroom Facilities Assistance Program under section 3318.08 of62800
the Revised Code. Notwithstanding that section and sections62801
3318.03, 3318.04, and 3318.083 of the Revised Code, the additional62802
agreement shall provide, but not be limited to, the following:62803

       (1) The Commission shall not have any oversight62804
responsibilities over the construction of the facility.62805

       (2) The facility need not comply with the specifications for62806
plans and materials for high schools adopted by the Commission.62807

       (3) The Commission may decrease the basic project cost that62808
would otherwise be calculated for a high school under Chapter62809
3318. of the Revised Code.62810

       (4) The state shall not share in any increases in the basic62811
project cost for the facility above the amount authorized under62812
this section.62813

       All other provisions of Chapter 3318. of the Revised Code62814
apply to the approval and construction of a facility authorized62815
under this section.62816

       The state funds committed to the facility authorized by this62817
section shall be part of the total amount the state commits to the62818
Canton City School District under Chapter 3318. of the Revised62819
Code. All additional state funds committed to the Canton City62820
School District for classroom facilities assistance shall be62821
subject to all provisions of Chapter 3318. of the Revised Code.62822

       Section 391.50. CAREER-TECHNICAL LOAN PROGRAM62823

        Within thirty days after the effective date of this section, 62824
or as soon as possible thereafter, the Executive Director of the 62825
Ohio School Facilities Commission shall certify the cash balance 62826
in the Career-Technical School Building Assistance Fund (Fund 020) 62827
to the Director of Budget and Management, who shall transfer that 62828
amount to the Public School Building Fund (Fund 021) and abolish 62829
the Career-Technical School Building Assistance Fund (Fund 020).62830

       All repayments of current loans approved under section 62831
3318.48 of the Revised Code, which is repealed by this act, shall 62832
be deposited to the credit of the Public School Building Fund 62833
(Fund 021). Should a district fail to submit the annual 62834
installment of the loan repayment within sixty days after the due 62835
date, the Department of Education, upon the request of the 62836
Executive Director of the Ohio School Facilities Commission, shall 62837
deduct the amount of the installment from payments due to a 62838
district under Chapter 3317. of the Revised Code or from any other 62839
funds appropriated to the district by the General Assembly, and 62840
shall transfer that amount to the Commission to the credit of the 62841
Public School Building Fund (Fund 021).62842

       Section 393.10. SOS SECRETARY OF STATE62843

General Revenue Fund62844

GRF 050-321 Operating Expenses $ 2,585,000 $ 2,585,000 62845
GRF 050-403 Election Statistics $ 103,936 $ 103,936 62846
GRF 050-407 Pollworkers Training $ 277,997 $ 277,997 62847
GRF 050-409 Litigation Expenditures $ 4,652 $ 4,652 62848
TOTAL GRF General Revenue Fund $ 2,971,585 $ 2,971,585 62849

General Services Fund Group62850

4S8 050-610 Board of Voting Machine Examiners $ 7,200 $ 7,200 62851
412 050-609 Notary Commission $ 685,249 $ 685,249 62852
413 050-601 Information Systems $ 119,955 $ 119,955 62853
414 050-602 Citizen Education Fund $ 55,712 $ 55,712 62854
TOTAL General Services Fund Group $ 868,116 $ 868,116 62855

Federal Special Revenue Fund Group62856

3AH 050-614 Election Reform/Health and Human Services $ 1,000,000 $ 1,000,000 62857
3AS 050-616 2005 HAVA Voting Machines $ 3,750,000 $ 3,750,000 62858
3X4 050-612 Ohio Center/Law Related Educational Grant $ 41,000 $ 41,000 62859
TOTAL FED Federal Special Revenue 62860
Fund Group $ 4,791,000 $ 4,791,000 62861

State Special Revenue Fund Group62862

5N9 050-607 Technology Improvements $ 129,565 $ 129,565 62863
599 050-603 Business Services Operating Expenses $ 13,761,734 $ 13,761,734 62864
TOTAL SSR State Special Revenue 62865
Fund Group $ 13,891,299 $ 13,891,299 62866

Holding Account Redistribution Fund Group62867

R01 050-605 Uniform Commercial Code Refunds $ 30,000 $ 30,000 62868
R02 050-606 Corporate/Business Filing Refunds $ 85,000 $ 85,000 62869
TOTAL 090 Holding Account 62870
Redistribution Fund Group $ 115,000 $ 115,000 62871
TOTAL ALL BUDGET FUND GROUPS $ 22,637,000 $ 22,637,000 62872

       BOARD OF VOTING MACHINE EXAMINERS62873

       The foregoing appropriation item 050-610, Board of Voting62874
Machine Examiners, shall be used to pay for the services and62875
expenses of the members of the Board of Voting Machine Examiners,62876
and for other expenses that are authorized to be paid from the62877
Board of Voting Machine Examiners Fund, which is created in62878
section 3506.05 of the Revised Code. Moneys not used shall be62879
returned to the person or entity submitting the equipment for62880
examination. If it is determined that additional appropriations62881
are necessary, such amounts are appropriated.62882

       2005 HAVA VOTING MACHINES62883

       On July 1, 2008, or as soon as possible thereafter, the 62884
Director of Budget and Management shall transfer any remaining 62885
unexpended, unencumbered appropriations in Fund 3AS, appropriation 62886
item 050-616, 2005 HAVA Voting Machines, for use in fiscal year 62887
2009. The transferred amount is hereby appropriated.62888

       On July 1, 2008, or as soon as possible thereafter, the 62889
Director of Budget and Management shall transfer any remaining 62890
unexpended, unencumbered appropriations in Fund 3AH, appropriation 62891
item 050-614, Election Reform/Health and Human Services Fund, for 62892
use in fiscal year 2009. The transferred amount is hereby 62893
appropriated.62894

       Ongoing interest earnings from the federal Election 62895
Reform/Health and Human Services Fund (Fund 3AH) and the 2005 HAVA 62896
Voting Machines Fund (Fund 3AS) shall be credited to the 62897
respective funds and distributed in accordance with the terms of 62898
the grant under which the money is received.62899

       HOLDING ACCOUNT REDISTRIBUTION GROUP62900

       The foregoing appropriation items 050-605 and 050-606,62901
Holding Account Redistribution Fund Group, shall be used to hold62902
revenues until they are directed to the appropriate accounts or62903
until they are refunded. If it is determined that additional62904
appropriations are necessary, such amounts are appropriated.62905

       Section 395.10.  SEN THE OHIO SENATE62906

General Revenue Fund62907

GRF 020-321 Operating Expenses $ 11,778,439 $ 11,778,439 62908
TOTAL GRF General Revenue Fund $ 11,778,439 $ 11,778,439 62909

General Services Fund Group62910

102 020-602 Senate Reimbursement $ 448,465 $ 448,465 62911
409 020-601 Miscellaneous Sales $ 34,497 $ 34,497 62912
TOTAL GSF General Services 62913
Fund Group $ 482,962 $ 482,962 62914
TOTAL ALL BUDGET FUND GROUPS $ 12,261,401 $ 12,261,401 62915

       OPERATING EXPENSES62916

       On July 1, 2007, or as soon as possible thereafter, the Clerk 62917
of the Senate shall certify to the Director of Budget and 62918
Management the total fiscal year 2007 unencumbered appropriations 62919
in appropriation item 020-321, Operating Expenses. The Clerk may 62920
direct the Director of Budget and Management to transfer an amount 62921
not to exceed the total fiscal year 2007 unencumbered 62922
appropriations to fiscal year 2008 for use within appropriation 62923
item 020-321, Operating Expenses. Additional appropriation 62924
authority equal to the amount certified by the Clerk is hereby 62925
appropriated to appropriation item 020-321, Operating Expenses, in 62926
fiscal year 2008.62927

        On July 1, 2008, or as soon as possible thereafter, the Clerk 62928
of the Senate shall certify to the Director of Budget and 62929
Management the total fiscal year 2008 unencumbered appropriations 62930
in appropriation item 020-321, Operating Expenses. The Clerk may 62931
direct the Director of Budget and Management to transfer an amount 62932
not to exceed the total fiscal year 2008 unencumbered 62933
appropriations to fiscal year 2009 for use within appropriation 62934
item 020-321, Operating Expenses. Additional appropriation 62935
authority equal to the amount certified by the Clerk is hereby 62936
appropriated to appropriation item 020-321, Operating Expenses, in 62937
fiscal year 2009.62938

       Section 397.10. CSF COMMISSIONERS OF THE SINKING FUND62939

Debt Service Fund Group62940

070 155-905 Third Frontier Research & Development Bond Retirement Fund $ 14,349,500 $ 25,023,400 62941
072 155-902 Highway Capital Improvement Bond Retirement Fund $ 202,694,900 $ 205,139,500 62942
073 155-903 Natural Resources Bond Retirement Fund $ 24,713,800 $ 25,723,000 62943
074 155-904 Conservation Projects Bond Service Fund $ 14,847,200 $ 19,779,200 62944
076 155-906 Coal Research and Development Bond Retirement Fund $ 7,232,400 $ 8,192,500 62945
077 155-907 State Capital Improvement Bond Retirement Fund $ 178,713,600 $ 189,296,300 62946
078 155-908 Common Schools Bond Retirement Fund $ 292,268,400 $ 342,148,300 62947
079 155-909 Higher Education Bond Retirement Fund $ 175,972,400 $ 210,372,200 62948
090 155-912 Job Ready Site Development Bond Retirement Fund $ 4,359,400 $ 8,232,500 62949
TOTAL DSF Debt Service Fund Group $ 915,151,600 $ 1,033,906,900 62950
TOTAL ALL BUDGET FUND GROUPS $ 915,151,600 $ 1,033,906,900 62951

       ADDITIONAL APPROPRIATIONS62952

       Appropriation items in this section are for the purpose of62953
paying debt service and financing costs on bonds or notes of the62954
state issued under the Ohio Constitution and acts of the General 62955
Assembly. If it is determined that additional appropriations are 62956
necessary for this purpose, such amounts are hereby appropriated.62957

       Section 399.10. SOA SOUTHERN OHIO AGRICULTURAL AND COMMUNITY 62958
DEVELOPMENT FOUNDATION62959

General Revenue Fund62960

GRF 945-321 Operating Expenses $ 0 $ 475,220 62961
GRF 945-501 Southern Ohio Agricultural and Community Development Foundation $ 0 $ 7,513,251 62962
TOTAL GRF General Revenue Fund $ 0 $ 7,988,471 62963
TOTAL ALL BUDGET FUND GROUPS $ 0 $ 7,988,471 62964

       SOUTHERN OHIO AGRICULTURAL AND COMMUNITY DEVELOPMENT 62965
FOUNDATION62966

       The foregoing appropriation item 945-321, Operating Expenses, 62967
shall be used for the operating expenses of the Southern Ohio 62968
Agricultural and Community Development Foundation in administering 62969
programs under section 183.15 of the Revised Code. 62970

       The foregoing appropriation item 945-501, Southern Ohio 62971
Agricultural and Community Development Foundation, shall be used 62972
by the Southern Ohio Agricultural and Community Development 62973
Foundation for programs administered under section 183.15 of the 62974
Revised Code.62975

       Section 401.10. SPE BOARD OF SPEECH-LANGUAGE PATHOLOGY & 62976
AUDIOLOGY62977

General Services Fund Group62978

4K9 886-609 Operating Expenses $ 430,600 $ 453,000 62979
TOTAL GSF General Services 62980
Fund Group $ 430,600 $ 453,000 62981
TOTAL ALL BUDGET FUND GROUPS $ 430,600 $ 453,000 62982


       Section 403.10. BTA BOARD OF TAX APPEALS62984

General Revenue Fund62985

GRF 116-321 Operating Expenses $ 2,247,476 $ 2,281,188 62986
TOTAL GRF General Revenue Fund $ 2,247,476 $ 2,281,188 62987
TOTAL ALL BUDGET FUND GROUPS $ 2,247,476 $ 2,281,188 62988


       Section 405.10. TAX DEPARTMENT OF TAXATION62990

General Revenue Fund62991

GRF 110-321 Operating Expenses $ 92,040,062 $ 92,440,062 62992
GRF 110-404 Tobacco Settlement Enforcement $ 0 $ 328,034 62993
GRF 110-412 Child Support Administration $ 71,680 $ 71,680 62994
GRF 110-901 Property Tax Allocation - Taxation $ 446,953,165 $ 478,613,618 62995
GRF 110-906 Tangible Tax Exemption - Taxation $ 9,177,962 $ 4,588,981 62996
TOTAL GRF General Revenue Fund $ 548,242,869 $ 576,042,375 62997

General Services Fund Group62998

433 110-602 Tape File Account $ 125,000 $ 140,000 62999
5BQ 110-629 Commercial Activity Tax Administration $ 6,000,000 $ 6,000,000 63000
5W4 110-625 Centralized Tax Filing and Payment $ 400,000 $ 200,000 63001
5W7 110-627 Exempt Facility Administration $ 100,000 $ 150,000 63002
5CZ 110-631 Vendor's License Application $ 1,000,000 $ 1,000,000 63003
TOTAL GSF General Services 63004
Fund Group $ 7,625,000 $ 7,490,000 63005

State Special Revenue Fund Group63006

4C6 110-616 International Registration Plan $ 706,855 $ 706,855 63007
4R6 110-610 Tire Tax Administration $ 125,000 $ 150,000 63008
435 110-607 Local Tax Administration $ 17,250,000 $ 17,250,000 63009
436 110-608 Motor Vehicle Audit $ 1,200,000 $ 1,200,000 63010
437 110-606 Litter Tax and Natural Resource Tax Administration $ 675,000 $ 800,000 63011
438 110-609 School District Income Tax $ 3,600,000 $ 3,600,000 63012
5N5 110-605 Municipal Income Tax Administration $ 500,000 $ 500,000 63013
5N6 110-618 Kilowatt Hour Tax Administration $ 125,000 $ 175,000 63014
5V7 110-622 Motor Fuel Tax Administration $ 4,700,000 $ 5,000,000 63015
5V8 110-623 Property Tax Administration $ 13,500,000 $ 13,500,000 63016
639 110-614 Cigarette Tax Enforcement $ 100,000 $ 100,000 63017
642 110-613 Ohio Political Party Distributions $ 600,000 $ 600,000 63018
688 110-615 Local Excise Tax Administration $ 210,000 $ 180,000 63019
TOTAL SSR State Special Revenue 63020
Fund Group $ 43,291,855 $ 43,761,855 63021

Agency Fund Group63022

095 110-995 Municipal Income Tax $ 21,000,000 $ 21,000,000 63023
425 110-635 Tax Refunds $ 1,565,900,000 $ 1,546,800,000 63024
TOTAL AGY Agency Fund Group $ 1,586,900,000 $ 1,567,800,000 63025

Holding Account Redistribution Fund Group63026

R10 110-611 Tax Distributions $ 50,000 $ 50,000 63027
R11 110-612 Miscellaneous Income Tax Receipts $ 50,000 $ 50,000 63028
TOTAL 090 Holding Account 63029
Redistribution Fund Group $ 100,000 $ 100,000 63030
TOTAL ALL BUDGET FUND GROUPS $ 2,186,159,724 $ 2,195,194,230 63031

       HOMESTEAD EXEMPTION, PROPERTY TAX ROLLBACK, AND TANGIBLE TAX63032
EXEMPTION63033

       The foregoing appropriation item 110-901, Property Tax63034
Allocation - Taxation, is hereby appropriated to pay for the 63035
state's costs incurred because of the Homestead Exemption, the 63036
Manufactured Home Property Tax Rollback, and the Property Tax 63037
Rollback. The Tax Commissioner shall distribute these funds 63038
directly to the appropriate local taxing districts, except for 63039
school districts, notwithstanding the provisions in sections 63040
321.24 and 323.156 of the Revised Code, which provide for payment 63041
of the Homestead Exemption, the Manufactured Home Property Tax 63042
Rollback, and Property Tax Rollback by the Tax Commissioner to the63043
appropriate county treasurer and the subsequent redistribution of63044
these funds to the appropriate local taxing districts by the63045
county auditor.63046

       The foregoing appropriation item 110-906, Tangible Tax63047
Exemption - Taxation, is hereby appropriated to pay for the 63048
state's costs incurred because of the tangible personal property 63049
tax exemption required by division (C)(3) of section 5709.01 of 63050
the Revised Code. The Tax Commissioner shall distribute to each 63051
county treasurer the total amount appearing in the notification 63052
from the county treasurer under division (G) of section 321.24 of 63053
the Revised Code for all local taxing districts located in the 63054
county except for school districts, notwithstanding the provision 63055
in section 321.24 of the Revised Code which provides for payment 63056
of the $10,000 tangible personal property tax exemption by the Tax63057
Commissioner to the appropriate county treasurer for all local63058
taxing districts located in the county including school districts. 63059
The county auditor shall distribute the amount paid by the Tax63060
Commissioner among the appropriate local taxing districts except63061
for school districts under division (G) of section 321.24 of the 63062
Revised Code.63063

       Upon receipt of these amounts, each local taxing district63064
shall distribute the amount among the proper funds as if it had63065
been paid as real or tangible personal property taxes. Payments63066
for the costs of administration shall continue to be paid to the63067
county treasurer and county auditor as provided for in sections63068
319.54, 321.26, and 323.156 of the Revised Code.63069

       Any sums, in addition to the amounts specifically63070
appropriated in appropriation items 110-901, Property Tax63071
Allocation - Taxation, for the Homestead Exemption, the63072
Manufactured Home Property Tax Rollback, and the Property Tax63073
Rollback payments, and 110-906, Tangible Tax Exemption - Taxation,63074
for the $10,000 tangible personal property tax exemption payments,63075
which are determined to be necessary for these purposes, are63076
hereby appropriated.63077

       MUNICIPAL INCOME TAX63078

       The foregoing appropriation item 110-995, Municipal Income 63079
Tax, shall be used to make payments to municipal corporations 63080
under section 5745.05 of the Revised Code. If it is determined 63081
that additional appropriations are necessary to make these 63082
payments, such amounts are hereby appropriated.63083

       TAX REFUNDS63084

       The foregoing appropriation item 110-635, Tax Refunds, shall63085
be used to pay refunds under section 5703.052 of the Revised Code. 63086
If it is determined that additional appropriations are necessary 63087
for this purpose, such amounts are hereby appropriated.63088

       INTERNATIONAL REGISTRATION PLAN AUDIT63089

       The foregoing appropriation item 110-616, International63090
Registration Plan, shall be used under section 5703.12 of the 63091
Revised Code for audits of persons with vehicles registered under 63092
the International Registration Plan.63093

       TRAVEL EXPENSES FOR THE STREAMLINED SALES TAX PROJECT63094

        Of the foregoing appropriation item 110-607, Local Tax 63095
Administration, the Tax Commissioner may disburse funds, if 63096
available, for the purposes of paying travel expenses incurred by 63097
members of Ohio's delegation to the Streamlined Sales Tax Project, 63098
as appointed under section 5740.02 of the Revised Code. Any travel 63099
expense reimbursement paid for by the Department of Taxation shall 63100
be done in accordance with applicable state laws and guidelines.63101

       LITTER CONTROL TAX ADMINISTRATION FUND63102

       Notwithstanding section 5733.12 of the Revised Code, during63103
the period from July 1, 2007, to June 30, 2008, the amount of63104
$675,000, and during the period from July 1, 2008, to June 30,63105
2009, the amount of $800,000, received by the Tax Commissioner63106
under Chapter 5733. of the Revised Code, shall be credited to the63107
Litter Control Tax Administration Fund (Fund 437).63108

       CENTRALIZED TAX FILING AND PAYMENT FUND63109

       The Director of Budget and Management, under a plan submitted 63110
by the Tax Commissioner, or as otherwise determined by the 63111
Director of Budget and Management, shall set a schedule to 63112
transfer cash from the General Revenue Fund to the credit of the 63113
Centralized Tax Filing and Payment Fund (Fund 5W4). The transfers 63114
of cash shall not exceed $600,000 in the biennium.63115

       COMMERCIAL ACTIVITY TAX ADMINISTRATION FUND63116

        The foregoing appropriation item 110-629, Commercial Activity 63117
Tax Administration Fund (Fund 5BQ), shall be used to pay expenses 63118
incurred by the Department of Taxation to implement and administer 63119
the Commercial Activity Tax under Chapter 5751. of the Revised 63120
Code.63121

       Notwithstanding section 3734.9010, division (B)(2)(c) of 63122
section 4505.09, division (B) of section 5703.12, section 5703.80, 63123
division (C)(6) of section 5727.81, sections 5733.122 and 63124
5735.053, division (C) of section 5739.21, section 5745.03, 63125
section 5743.024, section 5743.15, division (C) of section 63126
5747.03, and section 5747.113 of the Revised Code or any other 63127
provisions to the contrary, any residual cash balances determined 63128
and certified by the Tax Commissioner to the Director of Budget 63129
and Management shall be transferred on July 1, 2007, or as soon as 63130
possible thereafter, to the Commercial Activities Tax 63131
Administration Fund (Fund 5BQ).63132

       TOBACCO SETTLEMENT ENFORCEMENT63133

       The foregoing appropriation item 110-404, Tobacco Settlement 63134
Enforcement, shall be used by the Tax Commissioner to pay costs 63135
incurred in the enforcement of divisions (F) and (G) of section 63136
5743.03 of the Revised Code.63137

       Section 407.10.  DOT DEPARTMENT OF TRANSPORTATION63138

Transportation Modes
63139

General Revenue Fund63140

GRF 775-451 Public Transportation - State $ 16,700,000 $ 17,000,000 63141
GRF 776-465 Ohio Rail Development Commission $ 2,700,000 $ 2,700,000 63142
GRF 776-466 Railroad Crossing/Grade Separation $ 789,600 $ 789,600 63143
GRF 777-471 Airport Improvements - State $ 3,293,985 $ 1,794,003 63144
TOTAL GRF General Revenue Fund $ 23,483,585 $ 22,283,603 63145
TOTAL ALL BUDGET FUND GROUPS $ 23,483,585 $ 22,283,603 63146

       PUBLIC TRANSPORTATION - STATE63147

        Of the foregoing GRF appropriation item 775-451, Public 63148
Transportation - State, $200,000 in fiscal year 2008 shall be used 63149
for the Cleveland Metropolitan Park District West Creek Project.63150

       TRANSPORTATION STUDY63151

        Of the foregoing appropriation item 775-451, Public 63152
Transportation-State, $50,000 in fiscal year 2008 shall be used 63153
for a Franklin County school transportation study to determine the 63154
feasibility of a countywide pupil transportation system.63155

       AIRPORT IMPROVEMENTS63156

       Of the foregoing appropriation item 777-471, Airport 63157
Improvements - State, $1,500,000 in fiscal year 2008 shall be used 63158
for air travel and support and economic development of statewide 63159
airports. The Directors of Development and Transportation may 63160
enter into one or more interagency agreements between their two 63161
departments as necessary to implement a statewide strategy to 63162
enhance Ohio's airports as centers of regional economic 63163
development.63164

       Of the foregoing appropriation item 777-471, Airport 63165
Improvements-State, $1,500,000 in fiscal year 2008 shall be used 63166
for Cleveland Hopkins Airport projects to support increased 63167
service and expand the existing hub, as defined in 49 U.S.C. 63168
40102, Infrastructure.63169

       Section 409.10.  TOS TREASURER OF STATE63170

General Revenue Fund63171

GRF 090-321 Operating Expenses $ 9,313,195 $ 9,313,195 63172
GRF 090-401 Office of the Sinking $ 537,223 $ 537,223 63173
Fund 63174
GRF 090-402 Continuing Education $ 448,843 $ 448,843 63175
GRF 090-524 Police and Fire $ 14,000 $ 12,000 63176
Disability Pension Fund 63177
GRF 090-534 Police & Fire Ad Hoc Cost $ 140,000 $ 130,000 63178
of Living 63179
GRF 090-554 Police and Fire Survivor $ 910,000 $ 865,000 63180
Benefits 63181
GRF 090-575 Police and Fire Death $ 20,000,000 $ 20,000,000 63182
Benefits 63183
TOTAL GRF General Revenue Fund $ 31,363,261 $ 31,306,261 63184

General Services Fund Group63185

4E9 090-603 Securities Lending Income $ 3,164,000 $ 3,314,000 63186
577 090-605 Investment Pool $ 550,000 $ 550,000 63187
Reimbursement 63188
605 090-609 Treasurer of State $ 350,000 $ 350,000 63189
Administrative Fund 63190
TOTAL GSF General Services 63191
Fund Group $ 4,064,000 $ 4,214,000 63192

State Special Revenue Fund Group63193

5C5 090-602 County Treasurer Education $ 135,000 $ 135,000 63194
TOTAL SSR State Special Revenue 63195
Fund Group $ 135,000 $ 135,000 63196

Agency Fund Group63197

425 090-635 Tax Refunds $ 31,000,000 $ 31,000,000 63198
TOTAL Agency Fund Group $ 31,000,000 $ 31,000,000 63199
TOTAL ALL BUDGET FUND GROUPS $ 66,562,261 $ 66,655,261 63200


       Section 409.10.10.  OFFICE OF THE SINKING FUND63202

       The foregoing appropriation item 090-401, Office of the63203
Sinking Fund, shall be used for financing and other costs incurred63204
by or on behalf of the Commissioners of the Sinking Fund, the Ohio63205
Public Facilities Commission or its secretary, or the Treasurer of63206
State, with respect to State of Ohio general obligation bonds or63207
notes, including, but not limited to, printing, advertising,63208
delivery, rating fees and the procurement of ratings, professional63209
publications, membership in professional organizations, and63210
services referred to in division (D) of section 151.01 of the63211
Revised Code. The General Revenue Fund shall be reimbursed for63212
such costs by intrastate transfer voucher pursuant to a63213
certification by the Office of the Sinking Fund of the actual63214
amounts used. The amounts necessary to make such reimbursements63215
are appropriated from the general obligation bond retirement funds63216
created by the Constitution and laws to the extent such costs are63217
incurred.63218

       POLICE AND FIRE DEATH BENEFIT FUND63219

       The foregoing appropriation item 090-575, Police and Fire63220
Death Benefits, shall be disbursed quarterly by the Treasurer of63221
State at the beginning of each quarter of each fiscal year to the 63222
Board of Trustees of the Ohio Police and Fire Pension Fund. The 63223
Treasurer of State shall certify such amounts quarterly to the 63224
Director of Budget and Management. By the twentieth day of June of 63225
each fiscal year, the Board of Trustees of the Ohio Police and 63226
Fire Pension Fund shall certify to the Treasurer of State the63227
amount disbursed in the current fiscal year to make the payments63228
required by section 742.63 of the Revised Code and shall return to63229
the Treasurer of State moneys received from this appropriation63230
item but not disbursed.63231

       TAX REFUNDS63232

       The foregoing appropriation item 090-635, Tax Refunds, shall 63233
be used to pay refunds under section 5703.052 of the Revised Code. 63234
If the Director of Budget and Management determines that 63235
additional amounts are necessary for this purpose, such amounts 63236
are hereby appropriated.63237

       Section 411.10.  TTA OHIO TUITION TRUST AUTHORITY63238

State Special Revenue Fund Group63239

5AM 095-603 Index Savings Plan $ 2,376,852 $ 2,425,777 63240
5DC 095-604 Banking Products $ 1,631,283 $ 1,648,123 63241
5P3 095-602 Variable College Savings Fund $ 2,031,354 $ 2,063,596 63242
645 095-601 Operating Expenses $ 872,086 $ 881,169 63243
TOTAL SSR State Special Revenue 63244
Fund Group $ 6,911,575 $ 7,018,665 63245
TOTAL ALL BUDGET FUND GROUPS $ 6,911,575 $ 7,018,665 63246


       Section 413.10. OVH OHIO VETERANS' HOME63248

General Revenue Fund63249

GRF 430-100 Personal Services $ 23,085,261 $ 24,403,903 63250
GRF 430-200 Maintenance $ 7,835,544 $ 8,458,613 63251
GRF 430-402 Hall of Fame $ 125,000 $ 125,000 63252
TOTAL GRF General Revenue Fund $ 31,045,805 $ 32,987,516 63253

General Services Fund Group63254

484 430-603 Veterans Home Services $ 375,880 $ 375,880 63255
TOTAL GSF General Services Fund Group $ 375,880 $ 375,880 63256

Federal Special Revenue Fund Group63257

3BX 430-609 Medicare Services $ 1,446,807 1,446,807 63258
3L2 430-601 Veterans Home Operations - Federal $ 15,290,320 $ 15,410,471 63259
TOTAL FED Federal Special Revenue 63260
Fund Group $ 16,737,127 $ 16,857,278 63261

State Special Revenue Fund Group63262

4E2 430-602 Veterans Home Operating $ 8,530,800 $ 8,530,800 63263
604 430-604 Veterans Home Improvement $ 770,096 $ 770,096 63264
TOTAL SSR State Special Revenue 63265
Fund Group $ 9,300,896 $ 9,300,896 63266
TOTAL ALL BUDGET FUND GROUPS $ 57,459,708 $ 59,521,570 63267

       CORNERSTONE OF HOPE63268

        Of the foregoing appropriation item 430-100, Personal 63269
Services, $100,000 in each fiscal year shall be distributed to 63270
Cornerstone of Hope to be used to provide professional counseling 63271
services for individuals who have recently lost family members, 63272
including the loss of service men and service women in the United 63273
States Armed Forces.63274

       Section 415.10. VET VETERANS' ORGANIZATIONS63275

General Revenue Fund63276

VAP AMERICAN EX-PRISONERS OF WAR
63277

GRF 743-501 State Support $ 25,030 $ 25,030 63278

VAN ARMY AND NAVY UNION, USA, INC.
63279

GRF 746-501 State Support $ 55,012 $ 55,012 63280

VKW KOREAN WAR VETERANS
63281

GRF 747-501 State Support $ 49,453 $ 49,453 63282

VJW JEWISH WAR VETERANS
63283

GRF 748-501 State Support $ 29,715 $ 29,715 63284

VCW CATHOLIC WAR VETERANS
63285

GRF 749-501 State Support $ 57,990 $ 57,990 63286

VPH MILITARY ORDER OF THE PURPLE HEART
63287

GRF 750-501 State Support $ 56,377 $ 56,377 63288

VVV VIETNAM VETERANS OF AMERICA
63289

GRF 751-501 State Support $ 185,954 $ 185,954 63290

VAL AMERICAN LEGION OF OHIO
63291

GRF 752-501 State Support $ 302,328 $ 302,328 63292

VII AMVETS
63293

GRF 753-501 State Support $ 287,919 $ 287,919 63294

VAV DISABLED AMERICAN VETERANS
63295

GRF 754-501 State Support $ 216,308 $ 216,308 63296

VMC MARINE CORPS LEAGUE
63297

GRF 756-501 State Support $ 115,972 $ 115,972 63298

V37 37TH DIVISION AEF VETERANS' ASSOCIATION
63299

GRF 757-501 State Support $ 5,946 $ 5,946 63300

VFW VETERANS OF FOREIGN WARS
63301

GRF 758-501 State Support $ 246,615 $ 246,615 63302

TOTAL GRF General Revenue Fund $ 1,634,619 $ 1,634,619 63303
TOTAL ALL BUDGET FUND GROUPS $ 1,634,619 $ 1,634,619 63304

       RELEASE OF FUNDS63305

       The foregoing appropriation items 743-501, 746-501, 747-501,63306
748-501, 749-501, 750-501, 751-501, 752-501, 753-501, 754-501,63307
756-501, 757-501, and 758-501, State Support, shall be released63308
upon approval by the Director of Budget and Management.63309

       CENTRAL OHIO UNITED SERVICES ORGANIZATION63310

       Of the foregoing appropriation item 751-501, State Support,63311
Vietnam Veterans of America, $50,000 in each fiscal year shall be63312
used to support the activities of the Central Ohio USO.63313

       VAL AMERICAN LEGION OF OHIO63314

       Of the foregoing appropriation item 752-501, State Support, 63315
VAL American Legion, at least $50,000 in each fiscal year shall be 63316
used to fund service officer expenses.63317

       VETERANS SERVICE COMMISSION EDUCATION63318

       Of the foregoing appropriation item 753-501, State Support,63319
AMVETS, up to $20,000 in each fiscal year may be used to provide 63320
moneys to the Association of County Veterans Service Commissioners 63321
to reimburse its member county veterans service commissions for 63322
costs incurred in carrying out educational and outreach duties 63323
required under divisions (E) and (F) of section 5901.03 of the 63324
Revised Code. The Director of Budget and Management shall release 63325
these funds upon the presentation of an itemized receipt, approved 63326
by the Governor's Office of Veterans Affairs, from the association 63327
for reasonable and appropriate expenses incurred while performing 63328
these duties. The association shall establish uniform procedures 63329
for reimbursing member commissions.63330

       VII AMVETS63331

       Of the foregoing appropriation item 753-501, State Support, 63332
AMVETS, at least $50,000 shall be used in each fiscal year to fund 63333
service officer expenses.63334

       VAV DISABLED AMERICAN VETERANS63335

       Of the foregoing appropriation item 754-501, State Support, 63336
VAV Disabled American Veterans, at least $50,000 in each fiscal 63337
year shall be used to fund service officer expenses.63338

       VMC MARINE CORPS LEAGUE63339

       Of the foregoing appropriation item 756-501, State Support, 63340
VMC Marine Corps League, at least $30,000 in each fiscal year 63341
shall be used to fund service officer expenses.63342

       VFW VETERANS OF FOREIGN WARS63343

       Of the foregoing appropriation item 758-501, State Support, 63344
VFW Veterans of Foreign Wars, at least $50,000 in each fiscal year 63345
shall be used to fund service officer expenses.63346

       Section 417.10. DVM STATE VETERINARY MEDICAL BOARD63347

General Services Fund Group63348

4K9 888-609 Operating Expenses $ 322,740 $ 327,312 63349
5BU 888-602 Veterinary Student Loan Program $ 60,000 $ 0 63350
TOTAL GSF General Services 63351
Fund Group $ 382,740 $ 327,312 63352
TOTAL ALL BUDGET FUND GROUPS $ 382,740 $ 327,312 63353


       Section 419.10. DYS DEPARTMENT OF YOUTH SERVICES63355

General Revenue Fund63356

GRF 470-401 RECLAIM Ohio $ 186,338,297 $ 190,599,131 63357
GRF 470-412 Lease Rental Payments $ 23,832,700 $ 23,483,700 63358
GRF 470-510 Youth Services $ 18,558,587 $ 18,558,587 63359
GRF 472-321 Parole Operations $ 15,356,904 $ 15,764,729 63360
GRF 477-321 Administrative Operations $ 14,754,420 $ 14,754,419 63361
TOTAL GRF General Revenue Fund $ 258,840,908 $ 263,160,566 63362

General Services Fund Group63363

175 470-613 Education Reimbursement $ 9,985,035 $ 10,550,725 63364
4A2 470-602 Child Support $ 328,657 $ 328,657 63365
4G6 470-605 General Operational Funds $ 49,713 $ 50,955 63366
4G6 470-631 SCALE Program $ 100,000 $ 100,000 63367
479 470-609 Employee Food Service $ 137,666 $ 137,666 63368
5BN 470-629 E-Rate Program $ 200,000 $ 200,000 63369
TOTAL GSF General Services 63370
Fund Group $ 10,801,071 $ 11,368,003 63371

Federal Special Revenue Fund Group63372

3BH 470-630 Federal Juvenile Programs FFY 06 $ 100,000 $ 50,000 63373
3BT 470-634 Federal Juvenile Programs $ 300,000 $ 50,000 63374
3BY 470-635 Federal Juvenile Programs FFY 07 $ 903,350 $ 350,000 63375
3BZ 470-636 Federal Juvenile Programs FFY 08 $ 0 $ 653,350 63376
3V5 470-604 Juvenile Justice/Delinquency Prevention $ 2,750,000 $ 2,750,000 63377
3Z9 470-626 Federal Juvenile Programs FFY 05 $ 142,253 $ 0 63378
321 470-601 Education $ 5,202,160 $ 5,473,109 63379
321 470-603 Juvenile Justice Prevention $ 51,000 $ 30,000 63380
321 470-606 Nutrition $ 2,908,369 $ 2,981,078 63381
321 470-610 Rehabilitation Programs $ 36,000 $ 36,000 63382
321 470-614 Title IV-E Reimbursements $ 6,162,670 $ 6,316,737 63383
321 470-617 Americorps Programs $ 463,700 $ 463,700 63384
321 470-633 Project Re-entry $ 1,017,843 $ 1,017,843 63385
TOTAL FED Federal Special Revenue 63386
Fund Group $ 20,037,345 $ 20,171,817 63387

State Special Revenue Fund Group63388

147 470-612 Vocational Education $ 2,074,710 $ 2,141,823 63389
5BH 470-628 Partnerships for Success $ 1,500,000 $ 1,500,000 63390
TOTAL SSR State Special Revenue 63391
Fund Group $ 3,574,710 $ 3,641,823 63392
TOTAL ALL BUDGET FUND GROUPS $ 293,254,034 $ 298,342,209 63393

       RECLAIM OHIO63394

        Of the foregoing appropriation item 470-401, RECLAIM Ohio, 63395
$25,000 in each fiscal year shall be distributed directly to the 63396
Lighthouse Youth Services Wrap-Around Program.63397

       OHIO BUILDING AUTHORITY LEASE PAYMENTS63398

       The foregoing appropriation item 470-412, Lease Rental63399
Payments, in the Department of Youth Services, shall be used to 63400
meet all payments to the Ohio Building Authority for the period 63401
from July 1, 2007, to June 30, 2009, under the leases and 63402
agreements for facilities made under Chapter 152. of the Revised 63403
Code. This appropriation is the source of funds pledged for bond 63404
service charges on related obligations issued pursuant to Chapter 63405
152. of the Revised Code.63406

       EDUCATION REIMBURSEMENT63407

       The foregoing appropriation item 470-613, Education63408
Reimbursement, shall be used to fund the operating expenses of63409
providing educational services to youth supervised by the63410
Department of Youth Services. Operating expenses include, but are63411
not limited to, teachers' salaries, maintenance costs, and63412
educational equipment. This appropriation item may be used for63413
capital expenses related to the education program.63414

       EMPLOYEE FOOD SERVICE AND EQUIPMENT63415

       Notwithstanding section 125.14 of the Revised Code, the63416
foregoing appropriation item 470-609, Employee Food Service, may63417
be used to purchase any food operational items with funds received63418
into the fund from reimbursement for state surplus property.63419

       Section 503.03. PERSONAL SERVICE EXPENSES63420

       Unless otherwise prohibited by law, any appropriation from63421
which personal service expenses are paid shall bear the employer's63422
share of public employees' retirement, workers' compensation,63423
disabled workers' relief, and all group insurance programs; the63424
costs of centralized accounting, centralized payroll processing,63425
and related personnel reports and services; the cost of the Office63426
of Collective Bargaining; the cost of the Employee Assistance63427
Program; the cost of the affirmative action and equal employment 63428
opportunity programs administered by the Department of 63429
Administrative Services; the costs of interagency information63430
management infrastructure; and the cost of administering the state63431
employee merit system as required by section 124.07 of the Revised63432
Code. These costs shall be determined in conformity with the 63433
appropriate sections of law and paid in accordance with procedures63434
specified by the Office of Budget and Management. Expenditures63435
from appropriation item 070-601, Public Audit Expense - Local63436
Government, in Fund 422 may be exempted from the requirements of63437
this section.63438

       Section 503.06. SATISFACTION OF JUDGMENTS AND SETTLEMENTS 63439
AGAINST THE STATE63440

       Except as otherwise provided in this section, an 63441
appropriation in this act or any other act may be used for the 63442
purpose of satisfying judgments, settlements, or administrative 63443
awards ordered or approved by the Court of Claims or by any other 63444
court of competent jurisdiction in connection with civil actions 63445
against the state. This authorization does not apply to 63446
appropriations to be applied to or used for payment of guarantees 63447
by or on behalf of the state, or for payments under lease 63448
agreements relating to, or debt service on, bonds, notes, or other 63449
obligations of the state. Notwithstanding any other statute to the 63450
contrary, this authorization includes appropriations from funds 63451
into which proceeds of direct obligations of the state are 63452
deposited only to the extent that the judgment, settlement, or 63453
administrative award is for, or represents, capital costs for 63454
which the appropriation may otherwise be used and is consistent 63455
with the purpose for which any related obligations were issued or 63456
entered into. Nothing contained in this section is intended to 63457
subject the state to suit in any forum in which it is not 63458
otherwise subject to suit, and is not intended to waive or 63459
compromise any defense or right available to the state in any suit 63460
against it.63461

       Section 503.09. CAPITAL PROJECT SETTLEMENTS63462

       This section specifies an additional and supplemental63463
procedure to provide for payments of judgments and settlements if63464
the Director of Budget and Management determines, pursuant to63465
division (C)(4) of section 2743.19 of the Revised Code, that63466
sufficient unencumbered moneys do not exist in the particular63467
appropriation to pay the amount of a final judgment rendered63468
against the state or a state agency, including the settlement of a63469
claim approved by a court, in an action upon and arising out of a63470
contractual obligation for the construction or improvement of a63471
capital facility if the costs under the contract were payable in63472
whole or in part from a state capital projects appropriation. In63473
such a case, the director may either proceed pursuant to division63474
(C)(4) of section 2743.19 of the Revised Code or apply to the63475
Controlling Board to increase an appropriation or create an63476
appropriation out of any unencumbered moneys in the state treasury63477
to the credit of the capital projects fund from which the initial63478
state appropriation was made. The Controlling Board may approve or 63479
disapprove the application as submitted or modified. The amount of 63480
an increase in appropriation or new appropriation specified in an 63481
application approved by the Controlling Board is hereby 63482
appropriated from the applicable capital projects fund and made 63483
available for the payment of the judgment or settlement.63484

       If the director does not make the application authorized by63485
this section or the Controlling Board disapproves the application,63486
and the director does not make application under division (C)(4) 63487
of section 2743.19 of the Revised Code, the director shall for the 63488
purpose of making that payment make a request to the General63489
Assembly as provided for in division (C)(5) of that section.63490

       Section 503.12. RE-ISSUANCE OF VOIDED WARRANTS63491

       In order to provide funds for the reissuance of voided63492
warrants under section 117.47 of the Revised Code, there is hereby 63493
appropriated, out of moneys in the state treasury from the fund63494
credited as provided in section 117.47 of the Revised Code, that63495
amount sufficient to pay such warrants when approved by the Office63496
of Budget and Management.63497

       Section 503.15.  REAPPROPRIATION OF UNEXPENDED ENCUMBERED63498
BALANCES OF OPERATING APPROPRIATIONS63499

       Except for amounts of $1,000,000 or more that are encumbered 63500
for program subsidy payments, which the Director of Budget and 63501
Management must submit to the Controlling Board for approval, an 63502
unexpended balance of an operating appropriation or63503
reappropriation that a state agency lawfully encumbered prior to63504
the close of a fiscal year is reappropriated on the first day of63505
July of the following fiscal year from the fund from which it was63506
originally appropriated or reappropriated for the following period63507
and shall remain available only for the purpose of discharging the63508
encumbrance:63509

       (A) For an encumbrance for personal services, maintenance,63510
equipment, or items for resale, other than an encumbrance for an63511
item of special order manufacture not available on term contract63512
or in the open market or for reclamation of land or oil and gas63513
wells for a period of not more than five months from the end of63514
the fiscal year;63515

       (B) For an encumbrance for an item of special order63516
manufacture not available on term contract or in the open market,63517
for a period of not more than five months from the end of the63518
fiscal year or, with the written approval of the Director of63519
Budget and Management, for a period of not more than twelve months63520
from the end of the fiscal year;63521

       (C) For an encumbrance for reclamation of land or oil and gas 63522
wells, for a period ending when the encumbered appropriation is 63523
expended or for a period of two years, whichever is less;63524

       (D) For an encumbrance for any other expense, for such period 63525
as the director approves, provided such period does not exceed two 63526
years.63527

       Any operating appropriations for which unexpended balances63528
are reappropriated beyond a five-month period from the end of the63529
fiscal year by division (B) of this section shall be reported to 63530
the Controlling Board by the Director of Budget and Management by 63531
the thirty-first day of December of each year. The report on each 63532
such item shall include the item, the cost of the item, and the 63533
name of the vendor. The report shall be updated on a quarterly 63534
basis for encumbrances remaining open.63535

       Upon the expiration of the reappropriation period set out in63536
divisions (A), (B), (C), or (D) of this section, a reappropriation63537
made by this section lapses, and the Director of Budget and 63538
Management shall cancel the encumbrance of the unexpended63539
reappropriation not later than the end of the weekend following 63540
the expiration of the reappropriation period.63541

       Notwithstanding the preceding paragraph, with the approval of63542
the Director of Budget and Management, an unexpended balance of an63543
encumbrance that was reappropriated on the first day of July by 63544
this section for a period specified in division (C) or (D) of this 63545
section and that remains encumbered at the close of the fiscal 63546
biennium is hereby reappropriated on the first day of July of the 63547
following fiscal biennium from the fund from which it was 63548
originally appropriated or reappropriated for the applicable 63549
period specified in division (C) or (D) of this section and shall 63550
remain available only for the purpose of discharging the 63551
encumbrance.63552

       The Director of Budget and Management may correct accounting 63553
errors committed by the staff of the Office of Budget and 63554
Management, such as re-establishing encumbrances or appropriations 63555
cancelled in error, during the cancellation of operating 63556
encumbrances in November and of nonoperating encumbrances in 63557
December.63558

       If the Controlling Board approved a purchase, that approval63559
remains in effect so long as the appropriation used to make that63560
purchase remains encumbered.63561

       Section 503.18. APPROPRIATIONS RELATED TO CASH TRANSFERS AND63562
RE-ESTABLISHMENT OF ENCUMBRANCES63563

       Any cash transferred by the Director of Budget and Management63564
under section 126.15 of the Revised Code is hereby appropriated.63565
Any amounts necessary to re-establish appropriations or63566
encumbrances under section 126.15 of the Revised Code are hereby 63567
appropriated.63568

       Section 503.21. INCOME TAX DISTRIBUTION TO COUNTIES63569

       There are hereby appropriated out of any moneys in the state63570
treasury to the credit of the General Revenue Fund, which are not63571
otherwise appropriated, funds sufficient to make any payment63572
required by division (B)(2) of section 5747.03 of the Revised63573
Code.63574

       Section 503.24. EXPENDITURES AND APPROPRIATION INCREASES63575
APPROVED BY THE CONTROLLING BOARD63576

       Any money that the Controlling Board approves for expenditure63577
or any increase in appropriation authority that the Controlling63578
Board approves under sections 127.14, 131.35, and 131.39 of the 63579
Revised Code or any other provision of law is hereby appropriated 63580
for the period ending June 30, 2009.63581

       Section 503.27. FUNDS RECEIVED FOR USE OF GOVERNOR'S 63582
RESIDENCE63583

       If the Governor's Residence Fund (Fund 4H2) receives payment 63584
for use of the residence pursuant to section 107.40 of the Revised 63585
Code, the amounts so received are hereby appropriated to 63586
appropriation item 100-604, Governor's Residence Gift.63587

       Section 506.03. UTILITY RADIOLOGICAL SAFETY BOARD ASSESSMENTS63588

       The maximum amounts that may be assessed against nuclear63589
electric utilities under division (B)(2) of section 4937.05 of the 63590
Revised Code are as follows:63591

FY 2008 FY 2009 63592
Department of Agriculture 63593
Fund 4E4 Utility Radiological Safety $73,059 $73,059 63594
Department of Health 63595
Fund 610 Radiation Emergency Response $850,000 $850,000 63596
Environmental Protection Agency 63597
Fund 644 ER Radiological Safety $286,114 $286,114 63598
Emergency Management Agency 63599
Fund 657 Utility Radiological Safety $1,260,000 $1,260,000 63600

       Section 512.03. TRANSFERS TO THE GENERAL REVENUE FUND FROM 63601
NON-GRF FUNDS63602

        Notwithstanding any other provision of law to the contrary, 63603
during fiscal years 2008 and 2009, the Director of Budget and 63604
Management is hereby authorized to transfer cash from non-General 63605
Revenue Fund funds that are not constitutionally restricted to the 63606
General Revenue Fund. The total amount of cash transfers made 63607
pursuant to this section to the General Revenue Fund during fiscal 63608
years 2008 and 2009 shall not exceed $70,000,000.63609

       Section 512.06. TRANSFERS TO THE GENERAL REVENUE FUND OF 63610
INTEREST EARNED63611

       Notwithstanding any provision of Ohio law to the contrary, 63612
the Director of Budget and Management, through June 30, 2009, may 63613
transfer interest earned by any fund in the Central Accounting 63614
System to the General Revenue Fund. Subsequent to the making of 63615
such transfers, the Director of Budget and Management shall 63616
provide a report to the Controlling Board at its next regularly 63617
scheduled meeting detailing the funds from which the interest 63618
earned was transferred to the General Revenue Fund and the amount 63619
of interest earnings transferred from each of those funds. This 63620
section does not apply to funds whose source of revenue is 63621
restricted or protected by the Constitution of this state, federal 63622
tax law, or the "Cash Management Improvement Act of 1990" 104 63623
Stat. 1058 (1990), 31 U.S.C. 6501 et seq., as amended.63624

       Section 512.07.  CASH TRANSFERS FROM REPARATIONS FUND (Fund 63625
402) TO DISASTER PREPAREDNESS FUND (Fund 5EX)63626

        Notwithstanding any other provision of law to the contrary, 63627
on the first day of July in each of years 2007 and 2008, or as 63628
soon as practicable thereafter in each of those years, the 63629
Director of Budget and Management shall transfer $350,000 in cash 63630
from the Reparations Fund (Fund 402) to the Disaster Preparedness 63631
Fund (Fund 5EX).63632

       Section 512.09. CORPORATE AND UCC FILING FUND TRANSFER TO GRF63633

       Not later than the first day of June in each year of the63634
biennium, the Director of Budget and Management shall transfer63635
$500,000 from the Corporate and Uniform Commercial Code Filing63636
Fund to the General Revenue Fund.63637

       Section 512.21. GRF TRANSFER TO FUND 5N4, OAKS PROJECT63638
IMPLEMENTATION63639

       On July 1, 2007, or as soon thereafter as possible, the63640
Director of Budget and Management shall transfer an amount not to 63641
exceed $2,200,725 in cash from the General Revenue Fund to Fund 63642
5N4, OAKS Project Implementation. On July 1, 2008, or as soon 63643
thereafter as possible, the Director of Budget and Management 63644
shall transfer an amount not to exceed $2,092,779 in cash from the 63645
General Revenue Fund to Fund 5N4, OAKS Project Implementation.63646

       Section 512.31. TEMPORARY TRANSFER TO THE OAKS SUPPORT 63647
ORGANIZATION FUND63648

       Notwithstanding any provision of law to the contrary, in 63649
fiscal year 2008, the Director of Budget and Management may 63650
transfer an amount not to exceed $1,000,000 in cash from the Human 63651
Resources Services Fund (Fund 125) to the OAKS Support 63652
Organization Fund (Fund 5EB). These amounts shall support the 63653
establishment of the OAKS Support Organization. Amounts 63654
transferred to the OAKS Support Organization Fund and interest 63655
earnings on these amounts transferred during fiscal year 2008 63656
shall be returned to the Human Resources Services Fund not later 63657
than January 1, 2008. Upon certification of the total amount 63658
transferred from Fund 125 to Fund 5EB, the Director of Budget and 63659
Management shall transfer cash in the amount certified from Fund 63660
5EB to Fund 125.63661

       Section 512.34. TRANSFER FROM EDUCATION FACILITIES ENDOWMENT 63662
FUND63663

        Notwithstanding division (G) of section 183.27 of the Revised 63664
Code, the Director of Budget and Management shall transfer 63665
$40,000,000 cash in fiscal year 2008 from the Education Facilities 63666
Endowment Fund (Fund P87) to the Public School Building Fund (Fund 63667
021). The amounts transferred are hereby appropriated to the Ohio 63668
School Facilities Commission for the purposes of appropriation 63669
item CAP-622, Public School Buildings.63670

       Section 512.37. TRANSFER TO ENERGY STRATEGY DEVELOPMENT FUND63671

       On July 1, 2007, and on July 1, 2008, or as soon thereafter 63672
as possible, the Director of Budget and Management may transfer 63673
cash from the funds specified below, in the amount specified 63674
below, to the Energy Strategy Development Fund, which is hereby 63675
created in the state treasury. The fund may accept contributions 63676
and transfers made to the fund. The funds shall be used to develop 63677
energy initiatives, projects, and policy.63678

Agency Fund FY 2008 FY 2009 63679
Department of Administrative Services 117 $35,000 $35,000 63680
Department of Agriculture 3J4 $35,000 $35,000 63681
Department of Development 4H4 $32,447 $0 63682
Department of Development 135 $0 $35,000 63683
Environmental Protection Agency 219 $35,000 $35,000 63684
Department of Natural Resources 157 $35,000 $35,000 63685
Department of Transportation 002 $50,000 $50,000 63686

       Section 512.38. CASH TRANSFER FROM AUTOMATED TITLE PROCESSING 63687
FUND TO TITLE DEFECT RESCISSION FUND63688

       Notwithstanding any other provision of law to the contrary, 63689
on July 1, 2007, or as soon as practicable thereafter, the 63690
Director of Budget and Management shall transfer $1,000,000 in 63691
cash from the Automated Title Processing Fund (Fund 849) to the 63692
Title Defect Rescission Fund (Fund 4Y7).63693

       Section 512.41. For purposes of sections 109.93, 111.18, and 63694
173.85 of the Revised Code, as amended by this act, the Director 63695
of Budget and Management, in collaboration with the Treasurer of 63696
State, may take any action necessary to establish funds in the 63697
state treasury that were previously held in the custody of the 63698
Treasurer of State, including, but not limited to, the transfer of 63699
cash from the custodial funds to the state treasury and the 63700
establishment of appropriations and encumbrances to support 63701
outstanding obligations. The amounts necessary to support 63702
outstanding obligations are hereby appropriated. Agencies may 63703
request additional appropriation authority, but it shall be 63704
subject to approval by the Controlling Board.63705

       Section 515.06. TRANSFER OF PRINTING SERVICES FROM THE OFFICE 63706
OF INFORMATION TECHNOLOGY63707

       Effective July 1, 2007, or the earliest date thereafter 63708
agreed to by the Director of Budget and Management and the 63709
Director of Administrative Services, the Office of Information 63710
Technology printing office currently located on Integrity Drive in 63711
Columbus shall become part of the Department of Administrative 63712
Services. The functions, assets, and liabilities, including, but 63713
not limited to, records, regardless of form or medium, leases, and 63714
contracts, of the printing office are transferred to the 63715
Department of Administrative Services. The Department of 63716
Administrative Services is thereupon and thereafter successor to, 63717
assumes the obligations of, and otherwise constitutes the 63718
continuation of the printing office. The functions of the printing 63719
office are thereupon and thereafter transferred to the Department 63720
of Administrative Services.63721

       Any business commenced but not completed by the printing 63722
office by the date of the transfer shall be completed by the 63723
Department of Administrative Services, in the same manner, and 63724
with the same effect, as if completed by the printing office. No 63725
validation, cure, right, privilege, remedy, obligation, or 63726
liability is lost or impaired by reason of the transfer and shall 63727
be administered by the Department of Administrative Services. All 63728
the printing office's rules, orders, and determinations continue 63729
in effect as rules, orders, and determinations of the Department 63730
of Administrative Services, until modified or rescinded by the 63731
Department of Administrative Services. If necessary to ensure the 63732
integrity of the Administrative Code rule numbering system, the 63733
Director of the Legislative Service Commission shall renumber the 63734
printing office's rules to reflect their transfer to the 63735
Department of Administrative Services.63736

       Employees of the Office of Information Technology designated 63737
as staff in the printing office shall be transferred to the 63738
Department of Administrative Services. Subject to the layoff 63739
provisions of sections 124.321 to 124.328 of the Revised Code, the 63740
layoff provisions of the contract between the state and all 63741
bargaining units affected, the employees transferred to the 63742
Department of Administrative Services retain their positions and 63743
all benefits accruing thereto.63744

       No judicial or administrative action or proceeding to which 63745
the printing office is a party that is pending on July 1, 2007, or 63746
such later date as may be established by the Director of the 63747
Office of Information Technology and the Director of 63748
Administrative Services, is affected by the transfer of functions. 63749
The action or proceeding shall be prosecuted or defended in the 63750
name of the Director of Administrative Services. On application to 63751
the court or agency, the Director of Administrative Services shall 63752
be substituted for the Director of the Office of Information 63753
Technology as a party to the action or proceeding.63754

       On and after July 1, 2007, notwithstanding any provision of 63755
law to the contrary, the Director of Budget and Management shall 63756
take the actions with respect to budget changes made necessary by 63757
the transfer, including administrative reorganization, program 63758
transfers, the creation of new funds, and the consolidation of 63759
funds as authorized by this section. The Director of Budget and 63760
Management may cancel encumbrances and re-establish encumbrances 63761
or parts of encumbrances as needed in fiscal year 2008 in the 63762
appropriate fund and appropriation item for the same purpose and 63763
for payment to the same vendor. The Director of Budget and 63764
Management as determined necessary, may re-establish encumbrances 63765
in fiscal year 2008 in a different fund or appropriation item in 63766
an agency or between agencies. The re-established encumbrances are 63767
hereby appropriated. The Director of Budget and Management shall 63768
reduce each year's appropriation balances by the amount of the 63769
encumbrance canceled in their respective funds and appropriation 63770
items.63771

       Not later than sixty days after the transfer of the printing 63772
office to the Department of Administrative Services, the Director 63773
of the Office of Information Technology shall certify to the 63774
Director of Budget and Management the amount of cash associated 63775
with printing services supported by Fund 133, IT Services Delivery 63776
Fund. Upon receipt of the certification, the Director of Budget 63777
and Management shall transfer cash from Fund 133, IT Services 63778
Delivery Fund, to Fund 210, State Printing Fund. This amount is 63779
hereby appropriated.63780

       Section 515.09. TRANSFER OF MAIL AND FULFILLMENT SERVICES 63781
FROM THE DEPARTMENT OF JOB AND FAMILY SERVICES63782

       Effective July 1, 2007, or the earliest date thereafter 63783
agreed to by the Director of Job and Family Services and the 63784
Director of Administrative Services, the Department of Job and 63785
Family Services mail and fulfillment office, currently located on 63786
Integrity Drive in Columbus shall become part of the Department of 63787
Administrative Services. The functions, assets, and liabilities, 63788
including, but not limited to, records, regardless of form or 63789
medium, leases, and contracts, of the mail and fulfillment office 63790
is transferred to the Department of Administrative Services. The 63791
Department of Administrative Services is thereupon and thereafter 63792
successor to, assumes the obligations of, and otherwise 63793
constitutes the continuation of the mail and fulfillment office. 63794
The functions of the mail and fulfillment office are thereupon and 63795
thereafter transferred to the Department of Administrative 63796
Services.63797

       Any business commenced but not completed by the mail and 63798
fulfillment office by the date of transfer shall be completed by 63799
the Department of Administrative Services, in the same manner, and 63800
with the same effect, as if completed by the mail and fulfillment 63801
office. No validation, cure, right, privilege, remedy, obligation, 63802
or liability is lost or impaired by reason of the transfer and 63803
shall be administered by the Department of Administrative 63804
Services. All of the mail and fulfillment office's rules, orders, 63805
and determinations continue in effect as rules, orders, and 63806
determinations of the Department of Administrative Services, until 63807
modified or rescinded by the Department of Administrative 63808
Services. If necessary to ensure the integrity of the 63809
Administrative Code rule numbering system, the Director of the 63810
Legislative Service Commission shall renumber the mail and 63811
fulfillment office's rules to reflect their transfer to the 63812
Department of Administrative Services.63813

       Employees of the Department of Job and Family Services 63814
designated as staff in the mail and fulfillment office shall be 63815
transferred to the Department of Administrative Services. Subject 63816
to the layoff provisions of sections 124.321 to 124.328 of the 63817
Revised Code, and to provisions of the contract between the state 63818
and all bargaining units affected, the employees transferred to 63819
the Department of Administrative Services retain their positions 63820
and all benefits accruing thereto.63821

       No judicial or administrative action or proceeding to which 63822
the mail and fulfillment office is a party that is pending on July 63823
1, 2007, or such later date as may be established by the Director 63824
of Job and Family Services and the Director of Administrative 63825
Services, is affected by the transfer of functions. The action or 63826
proceeding shall be prosecuted or defended in the name of the 63827
Director of Administrative Services. On application to the court 63828
or agency, the Director of Administrative Services shall be 63829
substituted for the Director of Job and Family Services as a party 63830
to the action or proceeding.63831

       On and after July 1, 2007, notwithstanding any provision of 63832
law to the contrary, the Director of Budget and Management shall 63833
take the actions with respect to budget changes made necessary by 63834
the transfer, including administrative reorganization, program 63835
transfers, the creation of new funds, and the consolidation of 63836
funds as authorized by this section. The Director of Budget and 63837
Management may cancel encumbrances and re-establish encumbrances 63838
or parts of encumbrances as needed in fiscal year 2008 in the 63839
appropriate fund and appropriation item for the same purpose and 63840
for payment to the same vendor. The Director of Budget and 63841
Management, as determined necessary, may re-establish encumbrances 63842
in fiscal year 2008 in a different fund or appropriation item in 63843
an agency or between agencies. The re-established encumbrances are 63844
hereby appropriated. The Director of Budget and Management shall 63845
reduce each year's appropriation balances by the amount of the 63846
encumbrance canceled in their respective funds and appropriation 63847
items.63848

       The Director of Job and Family Services and the Director of 63849
Administrative Services shall enter into an interagency agreement 63850
establishing terms and timetables for the implementation of this 63851
section. The interagency agreement shall include provisions for 63852
credits to the Department of Job and Family Services for prepaid 63853
postage, agreements for the credit, transfer, or reimbursement of 63854
funds to the Department of Job and Family Services to comply with 63855
terms and conditions applicable to federal funds expended by the 63856
department for the purchase, maintenance, and operation of 63857
equipment, agreements for ongoing operations in compliance with 63858
federal requirements applicable to Department of Job and Family 63859
Services programs that utilize the mail and fulfillment services, 63860
transfer of or sharing of lease agreements, and any other 63861
agreements that the Director of Job and Family Services and the 63862
Director of Administrative Services determine to be necessary for 63863
the successful implementation of this section.63864

       Not later than sixty days after the transfer of the mail and 63865
fulfillment office to the Department of Administrative Services, 63866
the Director of Job and Family Services shall certify to the 63867
Director of Budget and Management the amount of any unexpended 63868
balance of appropriations made to the department to support the 63869
office. Upon receipt of the certification, the Director of Budget 63870
and Management shall transfer the appropriations and cash to Fund 63871
210, State Printing Fund.63872

       Section 518.03. BUDGET ADJUSTMENTS TO REFLECT TOBACCO 63873
SECURITIZATION63874

        (A) Notwithstanding any other provision of law to the 63875
contrary, the Director of Budget and Management, periodically on 63876
any date following the issuance of the tobacco obligations 63877
authorized in section 183.51 of the Revised Code and through June 63878
30, 2009, may:63879

       (1) Determine the amount of appropriation items 235-909, 63880
Higher Education General Obligation Debt Service, and 230-908, 63881
Common Schools General Obligation Debt Service, that are in excess 63882
of the amounts needed to pay all debt service and financing costs 63883
on those obligations payable from each of those items and transfer 63884
all or any portion of that excess appropriation to appropriation 63885
item 200-901, Property Tax Allocation-Education, or 110-901, 63886
Property Tax Allocation-Taxation, or both together as needed for 63887
the purposes of making the state's property tax relief payments to 63888
school districts and counties.63889

       (2) Determine the amount by which interest earnings credited 63890
to Fund 034, Higher Education Improvement Fund, and Fund 032, 63891
School Building Program Assistance Fund, from the investment of 63892
the net proceeds of those tobacco obligations exceed the amount 63893
needed to satisfy appropriations from those funds, transfer all or 63894
part of that excess cash balance to the General Revenue Fund, and 63895
increase appropriation item 200-901, Property Tax 63896
Allocation-Education, or 110-901, Property Tax 63897
Allocation-Taxation, or both together, by up to the amount of cash 63898
so transferred to the General Revenue Fund.63899

       (3) Determine the amount of capital appropriation in CAP-770, 63900
School Building Assistance Program, transfer cash to Fund 5E3, 63901
School Facilities Commission, an amount that is necessary to fully 63902
expend the amount of net proceeds deposited into Fund 032, School 63903
Building Program Assistance Fund, from the issuance of those 63904
tobacco obligations and increase the appropriations for CAP-770 63905
and appropriation item 230-644, Operating Expenses-School 63906
Facilities Commission, by the necessary amount.63907

        (4) Determine the amount of additional capital appropriations 63908
necessary to fully expend the amount of net proceeds deposited 63909
from the issuance of those tobacco obligations into Fund 034, 63910
Higher Education Improvement Fund.63911

        (5) Reduce the amount of authorization to issue and sell 63912
general obligations to pay the costs of capital facilities for a 63913
system of common schools throughout the state granted to the Ohio 63914
Public Facilities Commission by prior acts of the General Assembly 63915
to reflect the amount of net proceeds of those tobacco obligations 63916
deposited into Fund 034, Higher Education Improvement Fund, that 63917
are intended to replace general obligations for the purpose.63918

       (6) Reduce the amount of authorization to issue and sell 63919
general obligations to pay the costs of capital facilities for 63920
state-supported and state-assisted institutions of higher 63921
education granted to the Ohio Public Facilities Commission by 63922
prior acts of the General Assembly to reflect the amount of net 63923
proceeds of those tobacco obligations deposited into Fund 034, 63924
Higher Education Improvement Fund, that are intended to replace 63925
general obligations for the purpose.63926

        (B) When any of the determinations, transfers, and increases 63927
or decreases in appropriations and authorizations described in 63928
division (A) of this section have been completed, the Office of 63929
Budget and Management shall make a report to the Controlling Board 63930
at its next regularly scheduled meeting.63931

       Section 518.06. GENERAL OBLIGATION DEBT SERVICE PAYMENTS63932

       Certain appropriations are in this act for the purpose of63933
paying debt service and financing costs on general obligation63934
bonds or notes of the state issued pursuant to the Ohio63935
Constitution and acts of the General Assembly. If it is determined 63936
that additional appropriations are necessary for this purpose, 63937
such amounts are hereby appropriated.63938

       Section 518.09.  LEASE PAYMENTS TO OPFC, OBA, AND TREASURER 63939
OF STATE63940

       Certain appropriations are in this act for the purpose of63941
making lease rental payments pursuant to leases and agreements 63942
relating to bonds or notes issued by the Ohio Building Authority 63943
or the Treasurer of State or, previously, by the Ohio Public 63944
Facilities Commission, pursuant to the Ohio Constitution and acts 63945
of the General Assembly. If it is determined that additional63946
appropriations are necessary for this purpose, such amounts are63947
hereby appropriated.63948

       Section 518.12. AUTHORIZATION FOR TREASURER OF STATE AND OBM 63949
TO EFFECTUATE CERTAIN DEBT SERVICE PAYMENTS63950

       The Office of Budget and Management shall initiate and63951
process disbursements from general obligation and lease rental 63952
payment appropriation items during the period from July 1, 2007, 63953
to June 30, 2009, relating to bonds or notes issued under Sections 63954
2i, 2k, 2l, 2m, 2n, 2o, 2p and 15 of Article VIII, Ohio 63955
Constitution, and Chapters 151. and 154. of the Revised Code. 63956
Disbursements shall be made upon certification by the Treasurer of 63957
State, Office of the Sinking Fund, of the dates and the amounts63958
due on those dates.63959

       Section 521.03.  STATE AND LOCAL REBATE AUTHORIZATION63960

       There is hereby appropriated, from those funds designated by63961
or pursuant to the applicable proceedings authorizing the issuance63962
of state obligations, amounts computed at the time to represent63963
the portion of investment income to be rebated or amounts in lieu63964
of or in addition to any rebate amount to be paid to the federal63965
government in order to maintain the exclusion from gross income63966
for federal income tax purposes of interest on those state63967
obligations under section 148(f) of the Internal Revenue Code.63968

       Rebate payments shall be approved and vouchered by the Office63969
of Budget and Management.63970

       Section 521.06. STATEWIDE INDIRECT COST RECOVERY63971

       Whenever the Director of Budget and Management determines63972
that an appropriation made to a state agency from a fund of the63973
state is insufficient to provide for the recovery of statewide63974
indirect costs under section 126.12 of the Revised Code, the63975
amount required for such purpose is hereby appropriated from the63976
available receipts of such fund.63977

       Section 521.07.  GRF TRANSFERS ON BEHALF OF THE STATEWIDE63978
INDIRECT COST ALLOCATION PLAN63979

       The total transfers made from the General Revenue Fund by the63980
Director of Budget and Management under this section shall not 63981
exceed the amounts transferred into the General Revenue Fund under 63982
division (B) of section 126.12 of the Revised Code.63983

       The director of an agency may certify to the Director of 63984
Budget and Management the amount of expenses not allowed to be 63985
included in the Statewide Indirect Cost Allocation Plan under 63986
federal regulations, from any fund included in the Statewide 63987
Indirect Cost Allocation Plan, prepared as required by section 63988
126.12 of the Revised Code.63989

       Upon determining that no alternative source of funding is63990
available to pay for such expenses, the Director of Budget and63991
Management may transfer from the General Revenue Fund into the63992
fund for which the certification is made, up to the amount of the63993
certification. The director of the agency receiving such funds63994
shall include, as part of the next budget submission prepared63995
under section 126.02 of the Revised Code, a request for funding 63996
for such activities from an alternative source such that further 63997
federal disallowances would not be required.63998

       Section 521.12.  FEDERAL CASH MANAGEMENT IMPROVEMENT ACT63999

       Pursuant to the plan for compliance with the Federal Cash64000
Management Improvement Act required by section 131.36 of the64001
Revised Code, the Director of Budget and Management may cancel and 64002
re-establish all or part of encumbrances in like amounts within 64003
the funds identified by the plan. The amounts necessary to 64004
re-establish all or part of encumbrances are hereby appropriated.64005

       *       Section 603.05. That Section 310.10 of Am. Sub. H.B. 67 of 64006
the 127th General Assembly be amended to read as follows:64007

       Sec. 310.10. In proceeding with the construction project 64008
involving United States Route 68 in Champaign County, the Director 64009
of Transportation shall credit the proceeds from any sale of land 64010
previously acquired for the project to the local matching funds 64011
required for the project.64012

       The Director of Transportation shall make available 64013
$1,000,000 over the fiscal year 2008-2009 biennium for 64014
improvements to the State Route 33 Avery Muirfield Interchange. 64015
The Director shall determine how to fund the project with either 64016
state or federal moneys.64017

       *       Section 603.06. That existing Section 310.10 of Am. Sub. 64018
H.B. 67 of the 127th General Assembly is hereby repealed.64019

       Section 605.05. That Section 252.70 of Am. Sub. H.B. 530 of 64020
the 126th General Assembly be amended to read as follows:64021

Reappropriations

       Sec. 252.70. OSU OHIO STATE UNIVERSITY64022

CAP-074 Basic Renovations $ 19,255,664 64023
CAP-149 Basic Renovations - Regional Campuses $ 2,083,163 64024
CAP-198 Brown Hall Annex Replacement $ 6,213 64025
CAP-254 Basic Renovations - ATI $ 127,444 64026
CAP-255 Supplemental Renovations - OARDC $ 2,826,343 64027
CAP-256 Supplemental Renovations - Regional $ 191,955 64028
CAP-258 Dreese Lab Addition $ 12,340 64029
CAP-261 Bioscience/Parks Hall Addition $ 12,584 64030
CAP-269 Greenhouse Modernization $ 40,982 64031
CAP-271 Horticulture/Entomology Greenhouse - OARDC $ 15,344 64032
CAP-292 Life Sciences Research Building $ 202,898 64033
CAP-302 Food Science & Technology Building $ 89,990 64034
CAP-306 Heart & Lung Institute $ 32,437 64035
CAP-311 Superconducting Radiation $ 65,094 64036
CAP-313 Brain Tumor Research Center $ 6,001 64037
CAP-314 Engineering Center Net Shape Manufacturing $ 20,730 64038
CAP-315 Membrane Protein Typology $ 8,835 64039
CAP-316 Instructional and Data Processing Equipment $ 198,844 64040
CAP-321 Fine Particle Technologies $ 157,936 64041
CAP-323 Advanced Plasma Engineering $ 22,379 64042
CAP-324 Plasma Ramparts $ 1,150 64043
CAP-326 IN-SITU AL-BE Composites $ 1,733 64044
CAP-335 Jay Cooke Residence - Roof and Windows $ 86,668 64045
CAP-347 Asbestos Abatement $ 5,325 64046
CAP-349 Materials Network $ 91,983 64047
CAP-350 Bio-Technology Consortium $ 42,378 64048
CAP-352 Analytical Electron Microscope $ 375,000 64049
CAP-353 High Temp Alloys & Alluminoids $ 220,000 64050
CAP-357 Supplemental Renovations - ATI $ 33,969 64051
CAP-361 Maintenance, Receiving, and Storage Facility - Marion $ 58,646 64052
CAP-362 McPherson Lab Rehabilitation $ 10,278 64053
CAP-368 Heart and Lung Institute $ 101,808 64054
CAP-374 ADA Modifications $ 178,870 64055
CAP-375 ADA Modifications - ATI $ 41,936 64056
CAP-376 ADA Modifications - Lima $ 95,538 64057
CAP-377 ADA Modifications - Mansfield $ 15,253 64058
CAP-387 Titanium Alloys $ 54,912 64059
CAP-394 ATI/OARDC Roof Replacements $ 13,913 64060
CAP-398 Advanced Manufacturing $ 38,579 64061
CAP-399 Manufacturing Processes/Materials $ 62,574 64062
CAP-401 Terhertz Studies $ 35,294 64063
CAP-406 Marion Park/Road/Sidewalk/Lights $ 2,750 64064
CAP-413 Pomerene Lighting/Wiring $ 249,584 64065
CAP-419 NMR Consortium $ 75,116 64066
CAP-420 Versatile Film Facility $ 62,872 64067
CAP-421 OCARNET $ 5,916 64068
CAP-422 Bioprocessing Research $ 1,905 64069
CAP-423 Localized Corrosion Research $ 6,128 64070
CAP-424 ATM Testbed $ 3,633 64071
CAP-425 Physical Sciences Building $ 27,748 64072
CAP-427 Morrill Hall Remodeling - Vacated Library Space - Marion $ 1,347,191 64073
CAP-431 Sisson Hall Replacement $ 5,571 64074
CAP-436 Machinery Acoustics $ 3,804 64075
CAP-439 Sensors and Measurements $ 15,115 64076
CAP-440 Polymer Magnets $ 1,099 64077
CAP-458 A1 Alloy Corrosion $ 14,292 64078
CAP-484 Page Hall Planning $ 7,210 64079
CAP-485 Botany & Zoology Building Planning $ 207,932 64080
CAP-486 Larkins Hall Addition/Renovation Planning $ 26,206 64081
CAP-487 Robinson Laboratory Planning $ 149,100 64082
CAP-488 Don Scott Field Replacement Barns $ 1,495,619 64083
CAP-489 Galvin Hall 3rd Floor Renovation - Lima $ 22,135 64084
CAP-491 Horticultural Operations Center - ATI $ 1,474,400 64085
CAP-492 OARDC Feed Mill $ 5,598,644 64086
CAP-499 Biological Sciences Cooling Tower $ 6,930 64087
CAP-509 Mount Hall HVAC Modifications $ 40,982 64088
CAP-519 Ohio Biomedical Consortium on Medical Therapeutic Micro Devices $ 49,275 64089
CAP-520 Plant and Microbe Functional Genomics Facilities $ 16,259 64090
CAP-523 Consortium for Novem Microfabrications Methods of Medical Devices in Non-Silicon Materials $ 193,886 64091
CAP-524 Bone & Mineral Metabolism Research Lab $ 5,845 64092
CAP-531 Animal & Plant Biology Level 3 $ 8,133,780 64093
CAP-534 Main Library Rehabilitation $ 9,320,846 64094
CAP-535 Psychology Building $ 2,128,529 64095
CAP-536 Thorne Hall and Gowley Hall Renovations - Phase 3 $ 199,799 64096
CAP-539 Nanosecond Infrared Measurement $ 2,588 64097
CAP-550 Millimeter/Submillimeter Instrument $ 5,919 64098
CAP-552 X-Ray Powder Diffractometer $ 558 64099
CAP-554 Deconvolution Microscope $ 1,101 64100
CAP-556 Heart/Lung Institute Animal Facility $ 13,140 64101
CAP-564 Denney Hall Renovation - Phase I $ 18,495 64102
CAP-565 Ion Mass Spectrometry $ 6,594 64103
CAP-568 Role of Molecular Interfaces $ 17,554 64104
CAP-572 New Millimeter Spectrometer $ 714 64105
CAP-574 Noncredit Job Training - Marion $ 2,933 64106
CAP-576 1224 Kinnear Road - Bale $ 11,722 64107
CAP-577 Non-Silicon Micromachining $ 73,991 64108
CAP-579 Veterinary Hospital Auditorium Renovation $ 7,736 64109
CAP-586 Electroscience Lab Renovation $ 5,853 64110
CAP-587 OARDC Boiler Replacement $ 622,757 64111
CAP-590 Supercomputer Center Expansion $ 6,804,275 64112
CAP-596 Information Literacy $ 135,574 64113
CAP-597 Online Business Major $ 5,768 64114
CAP-599 Renovation of Graves Hall $ 68,196 64115
CAP-602 OARDC Wooster Phone System Replacement $ 467,398 64116
CAP-605 Utility - North Tunnel Steamline Upgrade $ 111,981 64117
CAP-608 Dual Beam Characterization $ 150,000 64118
CAP-616 Environmental Technology Consortium $ 11,297 64119
CAP-617 Campbell, University, and Evans Hall $ 87,439 64120
CAP-620 School of Music - Planning $ 1,500 64121
CAP-622 Western Branch Headquarters & Machinery Building $ 779,525 64122
CAP-624 Muck Crops Branch/Shop Building Replacement $ 756,336 64123
CAP-625 Hazardous Waste Handling/Storage Building $ 1,103,062 64124
CAP-626 Agriculture/Engineering Building Renovation & Addition $ 200,000 64125
CAP-628 Wood County Center for Agriculture $ 1,000,000 64126
CAP-629 Community Heritage Art Gallery - Lima $ 100,000 64127
CAP-631 Health Psychology $ 250,000 64128
CAP-632 Nanotechnology Molecular Assembly $ 500,000 64129
CAP-633 Networking and Communication $ 500,000 64130
CAP-634 Planetary Gear $ 125,000 64131
CAP-635 X-Ray Fluorenscence Spectrometer $ 2,283 64132
CAP-636 Precision Navigation $ 85,000 64133
CAP-637 Welding & Metal Working $ 200,000 64134
CAP-638 Spin Driven Electronics $ 6,436 64135
CAP-639 Inductively Coupled Plasma Etching $ 126,729 64136
CAP-641 Accelerated Metals $ 1,020,331 64137
CAP-642 Mathematical Biosciences Institute $ 54,863 64138
CAP-646 Mershon Auditorium HVAC System Improvements $ 2,098 64139
CAP-647 Molecular Microdevices $ 14,033 64140
CAP-648 Research Center HVAC System Improvements $ 17,088 64141
CAP-649 Infrared Absorption Measurements $ 2,899 64142
CAP-650 Dark Fiber $ 3,983,440 64143
CAP-651 Shared Data Backup System $ 20,922 64144
CAP-653 Third Frontier Network Testbed $ 280,564 64145
CAP-654 Distributed Learning Workshop $ 270,000 64146
CAP-656 Accelerated Maturation of Materials $ 209,702 64147
CAP-657 Nanoscale Polymers Manufacturing $ 629,699 64148
CAP-658 Hydrogen Production and Storage $ 32,396 64149
CAP-659 Ohio Organic Semiconductor $ 367,587 64150
CAP-663 Comprehensive Cancer - Chiller Replacement $ 42,687 64151
CAP-664 Kottman Hall - 103 Central Classroom $ 19,285 64152
CAP-668 West Campus Chilled Water & Scott Hall $ 16,139 64153
CAP-669 McCracken Power Plant Spill Control $ 268,508 64154
CAP-670 Glacial Assessment $ 22,764 64155
CAP-672 Chemical Vapor Deposition $ 13,500 64156
CAP-674 Parks Hall Chiller Replacement $ 135,360 64157
CAP-675 Hybrid Electric Vehicle Modeling $ 504,536 64158
CAP-676 Computational Nanotechnology $ 500,000 64159
CAP-677 Townshend Hall - Roof Replacement $ 328,772 64160
CAP-678 Center For Materials Design $ 1,037 64161
CAP-681 Vet Hospital Roof Replacement Phase II $ 85,645 64162
CAP-682 Hopkins Hall Phase II Priorities I, II $ 108,052 64163
CAP-683 Bioscience 6th Floor Renovation - Priority $ 983,186 64164
CAP-684 Ohio Commons For Digital Education $ 118,924 64165
CAP-685 Postle Hall Fire Alarm Replacement $ 116,441 64166
CAP-686 NonCredit Job Education & Training $ 21,104 64167
CAP-687 Campus South Dorms Renovation/Improvements $ 950,000 64168
CAP-688 Bricker Hall Roof Replacement $ 23,123 64169
CAP-694 Neuroscience Center Core $ 193,991 64170
CAP-696 Campus Grounds-Exterior Lighting - Phase VIII $ 33,814 64171
CAP-697 930 Kinnear Road Renovations $ 773,303 64172
CAP-698 Waterman Lab & Don Scott Field $ 652,752 64173
CAP-699 Lincoln Tower Renovations - Phase 1 $ 477,626 64174
CAP-700 Coe Corrosion Coop $ 58,750 64175
CAP-701 OSU Cancer Program Expansion $ 2,000,000 64176
CAP-702 Smith Laboratory Rehabilitation $ 2,800,000 64177
CAP-704 Warner Library and Student Center $ 1,789,324 64178
CAP-705 Hopewell Hall Science Suite $ 508,408 64179
CAP-706 Atomic Force Microscopy $ 180,000 64180
CAP-707 Interactive Applications $ 463,018 64181
CAP-712 OSU Mansfield - Third Street Project $ 234,000 64182
CAP-714 Health Psychology $ 150,000 64183
CAP-716 Ohio Bioproducts Innovation Center $ 9,689,847 64184
CAP-717 Center for Materials Design $ 602,615 64185
CAP-718 Specialized Planetary Gears $ 150,000 64186
CAP-719 OSU Agricultural Building $ 1,500,000 64187
CAP-720 Automated Afm System $ 180,000 64188
CAP-721 Integrated Wireless Communication $ 141,000 64189
Total Ohio State University $ 105,955,671 64190

       BASIC RENOVATIONS64191

       The amount reappropriated for the foregoing appropriation 64192
item CAP-074, Basic Renovations, is the sum of the unencumbered 64193
and unallotted balance as of June 30, 2006, in appropriation item 64194
CAP-074, Basic Renovations, plus $6,927.64195

       OARDC THORNE & GOURLEY HALL64196

       The amount reappropriated for the foregoing appropriation 64197
item CAP-274, OARDC Thorne & Gourley Hall shall be $1,007.64198

       WOOD COUNTY CENTER FOR AGRICULTURE64199

        Of the foregoing appropriation item CAP-628, Wood County 64200
Center for Agriculture, up to $300,000 shall be used for building 64201
renovations to the OSU Extension Office/Ag Business Enhancement 64202
Center.64203

       The remainder of appropriation item CAP-628, Wood County 64204
Center for Agriculture, shall be used for an alternative energy 64205
generation project at the East Gypsy Lane Complex in Wood County 64206
or an agricultural energy facility recommended by the Wood County 64207
commissioners.64208

       Section 605.06. That existing Section 252.70 of Am. Sub. H.B. 64209
530 of the 126th General Assembly is hereby repealed.64210

       Section 621.05. That Section 153 of Am. Sub. H.B. 117 of the 64211
121st General Assembly, as most recently amended by Am. Sub. H.B. 64212
66 of the 126th General Assembly, be amended to read as follows:64213

       Sec. 153.  (A) Sections 5112.01, 5112.03, 5112.04, 5112.05,64214
5112.06, 5112.07, 5112.08, 5112.09, 5112.10, 5112.11, 5112.18, 64215
5112.19, 5112.21, and 5112.99 of the Revised Code are hereby64216
repealed, effective October 16, 20072009.64217

       (B) Any money remaining in the Legislative Budget Services64218
Fund on October 16, 20072009, the date that section 5112.19 of 64219
the Revised Code is repealed by division (A) of this section, 64220
shall be used solely for the purposes stated in then former 64221
section 5112.19 of the Revised Code. When all money in the64222
Legislative Budget Services Fund has been spent after then former64223
section 5112.19 of the Revised Code is repealed under division (A)64224
of this section, the fund shall cease to exist.64225

       Section 621.06. That existing Section 153 of Am. Sub. H.B. 64226
117 of the 121st General Assembly, as most recently amended by Am. 64227
Sub. H.B. 66 of the 126th General Assembly, is hereby repealed.64228

       Section 703.10. The Governor's Office of Faith-Based and 64229
Community Initiatives, with the assistance of the Advisory Board 64230
of the Governor's Office of Faith-Based and Community Initiatives, 64231
shall conduct a study of the feasibility and advisability of the 64232
Office becoming a private nonprofit entity rather than a part of 64233
the Governor's office. The study and any resulting recommendations 64234
shall be submitted, not later than July 1, 2008, to the Governor, 64235
the Speaker of the House of Representatives, the President of the 64236
Senate, and the Minority Leaders of the House of Representatives 64237
and the Senate.64238

       Section 706.03. (A) As used in this section, "appointing 64239
authority" has the same meaning as in section 124.01 of the 64240
Revised Code, and "exempt employee" has the same meaning as in 64241
section 124.152 of the Revised Code.64242

       (B) Notwithstanding section 124.181 of the Revised Code, both 64243
of the following apply:64244

        (1) In cases where no vacancy exists, an appointing authority 64245
may, with the written consent of an exempt employee, assign duties 64246
of a higher classification to that exempt employee for a period of 64247
time not to exceed two years, and that exempt employee shall 64248
receive compensation at a rate commensurate with the duties of the 64249
higher classification.64250

        (2) If necessary, exempt employees who are assigned to duties 64251
within their agency to maintain operations during the Ohio 64252
Administrative Knowledge System (OAKS) implementation may agree to 64253
a temporary assignment that exceeds the two-year limit.64254

       Section 737.10.  (A) Notwithstanding any provision of law to 64255
the contrary, the Public Health Council shall rescind rules 64256
adopted by the Council under section 3718.02 of the Revised Code, 64257
as it existed prior to its repeal by this act, that took effect on 64258
January 1, 2007. At the same time as those rules are rescinded, 64259
the Council shall adopt rules that are identical to the rules 64260
adopted by the Council that were in effect prior to January 1, 64261
2007, and were codified in Chapter 3701-29 of the Administrative 64262
Code.64263

       (B) The rescission and adoption of rules under division (A) 64264
of this section are not subject to section 119.03 of the Revised 64265
Code. However, the Public Health Council shall file the rules in 64266
accordance with section 119.04 of the Revised Code. Upon that 64267
filing, the rules take immediate effect.64268

       Section 739.10. Section 3905.36 of the Revised Code is 64269
amended by this act for the purpose of clarifying the intent of 64270
the 126th General Assembly when it amended division (B)(4) of 64271
section 3905.36 of the Revised Code. Notwithstanding any provision 64272
of section 3905.36 of the Revised Code to the contrary, all 64273
agencies and departments of the state or any political subdivision 64274
shall apply the legislative intent from this amendment as of 64275
January 1, 2007.64276

       Section 753.10. The duties of an owner of residential rental 64277
property to comply with and of a county auditor to accept 64278
compliance with sections 5323.01, 5323.02, 5323.03, 5323.04, and 64279
5323.99 of the Revised Code in a county are tolled until the board 64280
of county commissioners adopts a resolution under the first 64281
paragraph of section 5323.011 of the Revised Code.64282

       Section 753.20.  (A) The staff of the Legislative Service 64283
Commission shall study the feasibility and potential results of 64284
the state's offering incentives for local entities, including 64285
municipal corporations, counties, townships, local historical 64286
societies, and regional authorities, to assume control of state 64287
historical sites. The incentives to be studied shall include the 64288
establishment of tax credits, the contribution of capital dollars, 64289
and the creation of an endowment-matching program.64290

       The study shall focus on the cost and funding aspects of the 64291
incentives that are studied. In addition, the study shall attempt 64292
to determine the potential results of providing each incentive at 64293
varying levels.64294

        (B) Not later than six months after the effective date of 64295
this section, the staff of the Commission shall report its 64296
findings to the Commission.64297

       *       Section 755.03. The Director of Transportation may conduct a 64298
twelve-month pilot project to be completed not later than June 30, 64299
2009, for energy price risk management by entering into a contract 64300
with a qualified provider of energy risk management services. The 64301
contract may include rate analysis, negotiation services, market 64302
and regulatory analysis, budget and financial analysis, and 64303
mitigation strategies for volatile energy sources, including 64304
natural gas, gasoline, oil, and diesel fuel, but shall not include 64305
energy procurement and shall not subject more than thirty per cent 64306
of the Department's annual energy needs to the risk management 64307
services. The Director shall select the energy risk management 64308
services provider through a qualifications-based selection 64309
process, subject to Controlling Board approval. The contract shall 64310
specify that the Department may share the analysis and services of 64311
the energy risk management services provider with all state 64312
agencies and operations. The Director may use revenues from the 64313
state motor vehicle fuel tax or other funds appropriated by the 64314
General Assembly for the pilot project to pay amounts due under 64315
the contract and shall deposit any amounts received under the 64316
contract into the Highway Operating Fund created under section 64317
5735.291 of the Revised Code.64318

       Section 757.01. Every two years during biennial budget 64319
deliberations, the Tax Commissioner shall review the percentage of 64320
the total price of electricity that is indicated under division 64321
(C)(2) of section 5727.81 of the Revised Code, as amended by this 64322
act. Such review shall include a consideration of the fluctuations 64323
in the price of electricity that have occurred in the most recent 64324
two fiscal years and other factors influencing the economy of the 64325
state.64326

       Section 757.03. (A) Beginning in July 2007 and ending in 64327
November 2007, on or before the seventh day of each month, the Tax 64328
Commissioner shall determine and certify to the Director of Budget 64329
and Management the amount to be credited from each tax source 64330
under divisions (B), (C), and (D) of this section to the Local 64331
Government Fund, the Library and Local Government Support Fund, 64332
and the Local Government Revenue Assistance Fund.64333

       (B) Notwithstanding sections 5727.45, 5727.84, 5733.12, 64334
5739.21, 5741.03, and 5747.03 of the Revised Code or any other 64335
provision of law to the contrary, for each month in the period 64336
beginning July 1, 2007, and ending November 30, 2007, tax revenues 64337
credited to the Local Government Fund, the Library and Local 64338
Government Support Fund, and the Local Government Revenue 64339
Assistance Fund under those sections shall instead be credited as 64340
follows:64341

       (1) An amount shall first be credited to the Local Government 64342
Fund as prescribed under division (C) of this section;64343

       (2) An amount shall next be credited to the Local Government 64344
Revenue Assistance Fund as prescribed under division (C) of this 64345
section;64346

       (3) An amount shall next be credited to the Library and Local 64347
Government Support Fund as prescribed under division (D) of this 64348
section.64349

       (C) Receipts from the corporation franchise, sales and use, 64350
public utility excise, kilowatt-hour, and personal income taxes 64351
shall be credited to the Local Government Fund and the Local 64352
Government Revenue Assistance Fund as follows:64353

       (1) In July 2007, the amount that was credited in July 2006;64354

       (2) In August 2007, the amount that was credited in August 64355
2006;64356

       (3) In September 2007, the amount that was credited in 64357
September 2006;64358

       (4) In October 2007, the amount that was credited in October 64359
2006;64360

       (5) In November 2007, the amount that was credited in 64361
November 2006.64362

       (D) Receipts from the personal income tax shall be credited 64363
to the Library and Local Government Support Fund as follows:64364

       (1) In July 2007, the amount that was credited in July 2006;64365

       (2) In August 2007, the amount that was credited in August 64366
2006;64367

       (3) In September 2007, the amount that was credited in 64368
September 2006;64369

       (4) In October 2007, the amount that was credited in October 64370
2006;64371

       (5) In November 2007, the amount that was credited in 64372
November 2006.64373

       (E)(1) To the extent the amounts required to be credited to 64374
the Local Government Fund, the Library and Local Government 64375
Support Fund, and the Local Government Revenue Assistance Fund 64376
under divisions (C) and (D) of this section exceed the amounts 64377
that otherwise would have been credited to those funds under 64378
sections 5727.45, 5727.84, 5733.12, 5739.21, 5741.03, and 5747.03 64379
of the Revised Code, amounts required to be credited to the 64380
General Revenue Fund under those sections shall be reduced 64381
accordingly.64382

       (2) To the extent the amounts required to be credited to the 64383
Local Government Fund, the Library and Local Government Support 64384
Fund, and the Local Government Revenue Assistance Fund under 64385
divisions (C) and (D) of this section are less than the amounts 64386
that otherwise would have been credited to those funds under 64387
sections 5727.45, 5727.84, 5733.12, 5739.21, 5741.03, and 5747.03 64388
of the Revised Code, amounts required to be credited to the 64389
General Revenue Fund under those sections shall be increased 64390
accordingly.64391

       (F) The total amount credited each month under this section 64392
to the Local Government Fund, the Library and Local Government 64393
Support Fund, and the Local Government Revenue Assistance Fund 64394
shall be distributed on or before the tenth day of the immediately 64395
succeeding month as follows:64396

       (1) Each county undivided Local Government Fund shall receive 64397
a distribution from the Local Government Fund that is based upon 64398
its proportionate share of the total amount received by it from 64399
the fund in the same month during the preceding calendar year.64400

       (2) Each municipal corporation receiving a direct 64401
distribution from the Local Government Fund shall receive a 64402
distribution that is based upon its proportionate share of the 64403
total amount received by it from the fund in the same month during 64404
the preceding calendar year.64405

       (3) Each county undivided Local Government Revenue Assistance 64406
Fund shall receive a distribution from the Local Government 64407
Revenue Assistance Fund that is based upon its proportionate share 64408
of the total amount received by it from the fund in the same month 64409
during the preceding calendar year.64410

       (4) Each county undivided Library and Local Government 64411
Support Fund shall receive a distribution from the Library and 64412
Local Government Support Fund that is based upon its proportionate 64413
share of the total amount received by it from the fund in the same 64414
month during the preceding calendar year.64415

       (G) Distributions shall not be made in accordance with 64416
sections 5747.47 and 5747.50 of the Revised Code until January 1, 64417
2008.64418

       (H) Notwithstanding section 5747.47 of the Revised Code, the 64419
Tax Commissioner is not required to issue the certification 64420
required by that section to be made in December 2007 for calendar 64421
year 2007. The Tax Commissioner may, as the Commissioner considers 64422
appropriate, provide to each county auditor additional revised 64423
estimates or other information relating to distributions in 2007, 64424
2008, or 2009 at any time during the period beginning July 1, 64425
2007, and ending June 30, 2009.64426

       (I)(1) Notwithstanding division (A) of section 131.51 of the 64427
Revised Code, on or before January 5, 2008, the Director of Budget 64428
and Management shall credit to the Local Communities Fund an 64429
amount equal to three and sixty-eight one-hundredths per cent of 64430
total tax revenues credited to the General Revenue Fund during 64431
December 2007. In determining the total tax revenues credited to 64432
the General Revenue Fund during that month, transfers made from 64433
the General Revenue Fund during that month to the Local Government 64434
Fund, the Local Government Revenue Assistance Fund, and the 64435
Library and Local Government Support Fund shall be disregarded. 64436
Moneys credited to the Local Communities Fund under division 64437
(I)(1) of this section shall be distributed in January 2008 in 64438
accordance with section 5747.50 of the Revised Code.64439

       (2) Notwithstanding division (B) of section 131.51 of the 64440
Revised Code, on or before January 5, 2008, the Director of Budget 64441
and Management shall credit to the Local Libraries Fund an amount 64442
equal to two and twenty-two one-hundredths per cent of total tax 64443
revenues credited to the General Revenue Fund during December 64444
2007. In determining the total tax revenues credited to the 64445
General Revenue Fund during that month, transfers made from the 64446
General Revenue Fund during that month to the Local Government 64447
Fund, the Local Government Revenue Assistance Fund, and the 64448
Library and Local Government Support Fund shall be disregarded. 64449
Moneys credited to the Local Libraries Fund under division (I)(2) 64450
of this section shall be distributed in January 2008 in accordance 64451
with section 5747.47 of the Revised Code.64452

       Section 757.04. Notwithstanding sections 5747.46 and 5747.47 64453
of the Revised Code or any other provision of law to the contrary, 64454
a county's actual Library and Local Government Support Fund total 64455
entitlement for the 2007 distribution year shall equal the amount 64456
that was distributed to the county's Library and Local Government 64457
Support Fund from the Library and Local Government Support Fund 64458
during the 2007 calendar year. Each county's resulting calendar 64459
year 2007 Library and Local Government Support Fund entitlement 64460
shall be used by the Tax Commissioner for purposes of determining 64461
the guaranteed share of the Local Libraries Fund in section 64462
5747.46 of the Revised Code for the 2008 distribution year and 64463
shall be used by the Commissioner in making:64464

       (A) The calendar year 2008 estimated entitlements of the 64465
Local Libraries Fund required by section 5747.47 of the Revised 64466
Code to be certified to county auditors in July 2007, December 64467
2007, and June 2008; and64468

       (B) The calendar year 2008 actual Local Libraries Fund 64469
entitlement computations required by section 5747.47 of the 64470
Revised Code to be certified to county auditors in December 2008.64471

       Section 757.05. The General Assembly recognizes that some 64472
qualifying taxpayers are authorized to claim the credit against 64473
the commercial activity tax under section 5751.53 of the Revised 64474
Code for disallowed Ohio net operating loss deductions, and that 64475
some qualifying taxpayers are not authorized to claim that credit 64476
as that section currently exists, depending on whether the 64477
taxpayer was able to record deferred tax items on its books and 64478
records and comply with the requirements of division (D) of that 64479
section. The General Assembly further recognizes that the credits 64480
authorized under section 5751.53 of the Revised Code may not be 64481
claimed until 2010. Therefore, the General Assembly declares that 64482
it intends to consider, in consultation with the Governor, whether 64483
eligibility to claim the credit by qualifying taxpayers shall be 64484
modified before the initial credit may be claimed in 2010, with a 64485
view to extending eligibility to qualifying taxpayers not able to 64486
claim the credits under the terms of that section as it currently 64487
exists.64488

        Any term used in this section has the same meaning as in 64489
section 5751.53 of the Revised Code.64490

       Section 757.07. For tax years 2007 and thereafter, telephone, 64491
telegraph, and interexchange telecommunications companies, as 64492
defined in section 5727.01 of the Revised Code, shall list taxable 64493
property at the percentage of true value required in Chapter 5711. 64494
of the Revised Code. For purposes of assigning taxable valuation 64495
to each taxing district for those years, the Tax Commissioner 64496
shall continue to use the apportionment provisions of Chapter 64497
5727. of the Revised Code. However, such property shall be listed 64498
by the county auditor and certified to the county treasurer for 64499
collection under the provisions applicable to the general tax list 64500
of personal property and not upon the tax list and duplicate of 64501
real and public utility personal property.64502

       Section 757.08. Resolutions adopted by a board of township 64503
trustees of a limited home rule township pursuant to Chapter 504. 64504
and section 5709.73 of the Revised Code in December 2005 are 64505
hereby deemed to have had an immediate effective date if the board 64506
unanimously adopts a resolution so declaring.64507

       Section 757.10. The Department of Administrative Services, in 64508
conjunction with the Department of Taxation, may acquire the State 64509
Taxation Revenue and Accounting System (STARS) pursuant to Chapter 64510
125. of the Revised Code, including, but not limited to, the 64511
application software and installation and implementation thereof, 64512
for the use of the Department of Taxation. STARS is an integrated 64513
tax collection and audit system that will replace all of the 64514
state's existing separate tax software and administration systems 64515
for the various taxes collected by the state. Any lease-purchase 64516
arrangement used under Chapter 125. of the Revised Code to acquire 64517
STARS, including any fractionalized interests therein as defined 64518
in division (N) of section 133.01 of the Revised Code, must 64519
provide that at the end of the lease period, STARS becomes the 64520
property of the state.64521

       Section 757.20.  (A)(1) The county auditor of each county 64522
that is included in whole or in part in the Muskingum Watershed 64523
Conservancy District shall include with the second half tax bill 64524
that is required to be mailed in 2007 in accordance with section 64525
323.13 of the Revised Code the notice that is required to be 64526
prepared under division (A)(2) of this section. The notice shall 64527
be included in the second half tax bill of each person on the tax 64528
duplicate whose property is located in the Muskingum Watershed 64529
Conservancy District and subject to the maintenance assessment 64530
referred to in division (A)(2) of this section. The notice shall 64531
be included with the second half tax bill notwithstanding division 64532
(D) of section 323.131 of the Revised Code.64533

       (2) The board of directors of the Muskingum Watershed 64534
Conservancy District shall prepare written notification of the 64535
maintenance assessment to be levied by the District under section 64536
6111.53 of the Revised Code that is scheduled to begin collection 64537
in calendar year 2008. The notification shall be prepared for 64538
inclusion in the 2007 second half tax bill of each person that is 64539
required to receive the notification under division (A)(1) of this 64540
section. For each person receiving a second half tax bill in 2007 64541
and required to receive the notification under that division, the 64542
notification shall include a statement that the District intends 64543
to levy the maintenance assessment and shall include an indication 64544
of the amount of the assessment that is applicable to that person. 64545
The board of directors shall take whatever actions are necessary 64546
and work with each applicable county auditor to ensure that the 64547
notifications are included with the second half tax bills as 64548
required by this section.64549

       (B) With respect to persons that will be subject to the 64550
maintenance assessment to be levied by the Muskingum Watershed 64551
Conservancy District under section 6111.53 of the Revised Code 64552
that is scheduled to begin collection in calendar year 2008, but 64553
that do not receive a second half tax bill in 2007 or that do not 64554
otherwise receive the notification that is required to be included 64555
in the tax bill under division (A) of this section, the board of 64556
directors of the District shall cause to be sent by United States 64557
mail a notification of the assessment. The contents of the 64558
notification shall be the same as those that are specified for the 64559
notification that is required under division (A) of this section. 64560
The notification shall be sent not later than one hundred twenty 64561
days prior to the date on which the maintenance assessment is 64562
effective.64563

       (C) If the board of directors of the Muskingum Watershed 64564
Conservancy District fails to comply with divisions (A) and (B) of 64565
this section, the maintenance assessment that is scheduled to 64566
begin collection in calendar year 2008 shall not be collected. 64567
However, the board of directors subsequently may collect the 64568
maintenance assessment if the board gives notification of the 64569
maintenance assessment to every person that is required to receive 64570
the notification under divisions (A) and (B) of this section. The 64571
notification shall include the information that is required to be 64572
included under division (A)(2) of this section.64573

       Section 803.03. The amendment by this act of sections 64574
3119.022, 3119.023, 3119.29, and 3119.30 of the Revised Code first 64575
applies on February 1, 2008, or on the effective date of 64576
regulations defining "reasonable cost" issued by the United States 64577
Secretary of Health and Human Services, whichever is later.64578

       Section 803.06. (A) The amendment by this act of sections 64579
323.151, 323.152, 323.153, and 323.154 of the Revised Code does 64580
not take effect until the tax year that includes the day the 64581
Director of Budget and Management certifies to the Governor, the 64582
Speaker of the House of Representatives, the Minority Leader of 64583
the House of Representatives, the President of the Senate, and the 64584
Minority Leader of the Senate, either of the following:64585

        (1) That there is sufficient revenue to the credit of one or 64586
more funds in the state treasury, not otherwise appropriated or 64587
encumbered, to make the additional property tax reimbursements 64588
required by the amendment by this act of those sections and 64589
sections 4503.064, 4503.065, 4503.066, and 4503.067 of the Revised 64590
Code.64591

        (2) That, at the time such additional property tax 64592
reimbursements are required to be made under section 323.156 or 64593
4503.068 of the Revised Code, there will be sufficient revenue, 64594
currently in the process of collection and not otherwise 64595
appropriated or encumbered, to the credit of one or more funds of 64596
the state treasury and available to make such additional 64597
reimbursements.64598

        (B) The amendment by this act of sections 4503.064, 4503.065, 64599
4503.066, and 4503.067 of the Revised Code does not apply until 64600
the tax year next ensuing the tax year the amendment of sections 64601
323.151, 323.152, 323.153, and 323.154 of the Revised Code applies 64602
in accordance with division (A) of this section.64603

        (C) For any tax years before the first tax year the 64604
amendments referred to in divisions (A) and (B) of this section 64605
apply, the sections as they existed before the effective date of 64606
those amendments shall apply.64607

       Section 803.09. The amendment or enactment by this act of 64608
section 4505.06, division (B)(23) of section 5739.02, and sections 64609
5739.029, 5739.033, and 5739.213 of the Revised Code apply to 64610
sales described in division (A) of section 5739.029 of the Revised 64611
Code on or after August 1, 2007.64612

       Section 806.03. The sections and items of law contained in 64613
this act, and their applications, are severable. If any section or 64614
item of law contained in this act, or if any application of any 64615
section or item of law contained in this act, is held invalid, the 64616
invalidity does not affect other sections or items of law 64617
contained in this act and their applications that can be given 64618
effect without the invalid section or item of law or application.64619

       Section 809.03. An item of law, other than an amending, 64620
enacting, or repealing clause, that composes the whole or part of 64621
an uncodified section contained in this act has no effect after 64622
June 30, 2009, unless its context clearly indicates otherwise.64623

       Section 812.03. Except as otherwise specifically provided in 64624
this act, the codified sections of law amended or enacted in this 64625
act, and the items of law of which the codified sections of law 64626
amended or enacted in this act are composed, are subject to the 64627
referendum. Therefore, under Ohio Constitution, Article II, 64628
Section 1c and section 1.471 of the Revised Code, the codified 64629
sections of law amended or enacted by this act, and the items of 64630
law of which the codified sections of law as amended or enacted by 64631
this act are composed, take effect on the ninety-first day after 64632
this act is filed with the Secretary of State. If, however, a 64633
referendum petition is filed against any such codified section of 64634
law as amended or enacted by this act, or against any item of law 64635
of which any such codified section of law as amended or enacted by 64636
this act is composed, the codified section of law as amended or 64637
enacted, or item of law, unless rejected at the referendum, takes 64638
effect at the earliest time permitted by law.64639

       Section 812.06. Except as otherwise specifically provided in 64640
this act, the repeal by this act of a codified section of law is 64641
subject to the referendum. Therefore, under Ohio Constitution, 64642
Article II, Section 1c and section 1.471 of the Revised Code, the 64643
repeal by this act of a codified section of law takes effect on 64644
the ninety-first day after this act is filed with the Secretary of 64645
State. If, however, a referendum petition is filed against any 64646
such repeal, the repeal, unless rejected at the referendum, takes 64647
effect at the earliest time permitted by law.64648

       Section 812.09. The sections of law amended, enacted, or 64649
repealed by this act that are listed in this section are subject 64650
to the referendum. Therefore, under Ohio Constitution, Article II, 64651
Section 1c and section 1.471 of the Revised Code, the sections, 64652
and the items of law of which they are composed, take effect as 64653
specified in this section. If, however, a referendum petition is 64654
filed against any such section as amended, enacted, or repealed, 64655
or against any item of law of which any such section as amended or 64656
enacted is composed, the section as amended, enacted, or repealed 64657
goes into effect at the earliest time permitted by law that is on 64658
or after the effective date specified in this section.64659

       Section 5111.014 of the Revised Code takes effect January 1, 64660
2008.64661

       Section 812.12. Uncodified sections of law amended or enacted 64662
in this act, and items of law contained within the uncodified 64663
sections of law amended or enacted in this act, that are marked 64664
with an asterisk are subject to the referendum. Therefore, under 64665
Ohio Constitution, Article II, Section 1c and section 1.471 of the 64666
Revised Code, the uncodified sections and items of law marked with 64667
an asterisk take effect on the ninety-first day after this act is 64668
filed with the Secretary of State. If, however, a referendum 64669
petition is filed against an uncodified section or item of law 64670
marked with an asterisk, the uncodified section or item of law 64671
marked with an asterisk, unless rejected at the referendum, takes 64672
effect at the earliest time permitted by law.64673

       If the amending and existing repeal clauses commanding the 64674
amendment of an uncodified section of law are both marked with 64675
asterisks, the uncodified section as amended is deemed also to 64676
have been marked with an asterisk.64677

       An asterisk marking an uncodified section or item of law has 64678
the form*.64679

       This section defines the meaning and form of, but is not 64680
itself to be considered marked with, an asterisk.64681

       Section 815.03. The sections of law amended or enacted by 64682
this act that are listed in this section, and the items of law of 64683
which such sections as amended or enacted by this act are 64684
composed, are not subject to the referendum. Therefore, under Ohio 64685
Constitution, Article II, Section 1d and section 1.471 of the 64686
Revised Code, such sections as amended or enacted by this act, and 64687
the items of law of which such sections as amended or enacted by 64688
this act are composed, go into immediate effect when this act 64689
becomes law.64690

       Sections 109.57, 122.051, 122.071, 122.076, 122.17, 122.171, 64691
122.174, 122.602, 124.152, 126.16, 126.24, 126.40, 127.16, 173.35, 64692
183.01, 183.021, 183.17, 183.33, 183.34, 183.35, 183.51, 183.52, 64693
1503.05, 1713.031, 2927.023, 3109.04, 3109.041, 3119.022, 64694
3119.023, 3119.29, 3119.30, 3301.0711, 3310.51, 3310.52, 3310.53, 64695
3310.54, 3310.55, 3310.56, 3310.57, 3310.58, 3310.59, 3310.60, 64696
3310.61, 3310.62, 3310.63, 3313.615, 3313.98, 3314.015, 3314.016, 64697
3314.02, 3314.074, 3314.08, 3314.087, 3314.19, 3314.26, 3317.01, 64698
3317.012, 3317.013, 3317.014, 3317.015, 3317.016, 3317.017, 64699
3317.021, 3317.022, 3317.023, 3317.024, 3317.025, 3317.029, 64700
3317.0216, 3317.0217, 3317.03, 3317.04, 3317.08, 3317.16, 3317.20, 64701
3317.201, 3318.12, 3323.052, 3333.55, 3365.01, 3701.135, 3702.68 64702
(3702.59), 3704.03, 3704.14, 3721.51, 3721.541, 3721.56, 3735.672, 64703
4301.43, 4503.10, 4513.263, 4723.621, 4723.63, 4723.64, 4723.65, 64704
4723.66, 4743.05, 4766.05, 4775.08, 5101.802, 5101.98, 5104.30, 64705
5111.871, 5111.8814, 5112.341, 5123.01, 5123.033, 5123.045, 64706
5123.0414, 5123.0415, 5123.051, 5123.16, 5123.161, 5123.162, 64707
5123.163, 5123.164, 5123.165, 5123.166, 5123.167, 5123.168, 64708
5123.169, 5123.19, 5123.196, 5123.198, 5123.20, 5123.211, 5123.38, 64709
5123.41, 5123.51, 5123.605, 5123.99, 5126.11, 5126.12, 5126.15, 64710
5126.19, 5126.25, 5126.40, 5126.42, 5126.43, 5126.45, 5126.47, 64711
5709.68, 5747.46, 5747.47, 5747.50, 5747.501, 5747.51, 5747.52, 64712
5747.53, 5747.54, 5747.55, 5751.21, 5907.15, 5907.16, and 64713
6111.0381 of the Revised Code.64714

       Section 815.06. The repeal by this act of the sections of law 64715
listed in this section is not subject to the referendum. 64716
Therefore, under Ohio Constitution, Article II, Section 1d and 64717
section 1.471 of the Revised Code, the repeals go into immediate 64718
effect when this act becomes law.64719

       Sections 183.02, 183.27, 183.32, 5123.16, 5123.182, 5123.199, 64720
5126.053, 5126.431, 5126.44, 5126.451, 5747.61, 5747.62, and 64721
5747.63 of the Revised Code.64722

       The version of section 3702.68 of the Revised Code that was 64723
scheduled to take effect July 1, 2007.64724

       Section 815.09. The sections of law amended, enacted, or 64725
repealed by this act that are listed in this section are not 64726
subject to the referendum. Therefore, under Ohio Constitution, 64727
Article II, Section 1d and section 1.471 of the Revised Code, the 64728
sections as amended, enacted, or repealed, and the items of law of 64729
which as amended or enacted they are composed, go into effect as 64730
specified in this section.64731

       Sections 126.04, 5123.047, 5123.048, 5123.049, 5123.0411, 64732
5123.0416, 5126.054, 5126.056, 5126.059, 5126.0510, 5126.0512, and 64733
5705.44 of the Revised Code take effect July 1, 2007.64734

       The version of section 127.16 of the Revised Code that is 64735
scheduled to take effect July 1, 2007, takes effect July 1, 2007.64736

       Sections 340.03 and 5119.611 of the Revised Code take effect 64737
July 1, 2007.64738

       Sections 5727.45, 5727.84, 5733.12, 5739.21, 5741.03, and 64739
5747.03 of the Revised Code take effect December 1, 2007.64740

       Sections 118.01, 118.08, 118.17, 118.20, 118.23, 127.14, 64741
131.44, 131.51, 133.10, 133.25, 135.35, 135.352, 152.31, 164.05, 64742
164.051, 307.021, 307.6910, 321.08, 709.191, 742.301, 3375.05, 64743
3375.121, 3375.40, 3375.85, 4123.35, 5139.27, 5139.271, 5705.28, 64744
5705.281, 5705.29, 5705.30, 5705.31, 5705.32, 5705.321, 5705.37, 64745
5709.882, 5715.36, 5719.041, 5725.151, 5725.24, 5747.48, and 64746
6121.043 of the Revised Code take effect January 1, 2008.64747

       Section 815.12. Except as otherwise specifically provided in 64748
this act, the uncodified sections of law amended or enacted in 64749
this act, and the items of law of which the uncodified sections of 64750
law amended or enacted in this act are composed, are not subject 64751
to the referendum. Therefore, under Ohio Constitution, Article II, 64752
Section 1d and section 1.471 of the Revised Code, the uncodified 64753
sections of law amended or enacted in this act, and the items of 64754
law of which the uncodified sections of laws amended or enacted in 64755
this act are composed, go into immediate effect when this act 64756
becomes law.64757

       Section 818.03. The amendment or enactment by this act of the 64758
sections of law listed in this section provides for or is 64759
essential to implementation of a tax levy. Therefore, under Ohio 64760
Constitution, Article II, Section 1d, the amendments and 64761
enactments, and the items of which they are composed, are not 64762
subject to the referendum and go into immediate effect when this 64763
act becomes law.64764

       Sections 133.01, 319.202, 319.54, 322.01, 323.151, 323.152, 64765
323.153, 323.154, 325.31, 1548.06, 4503.06, 4503.061, 4503.064, 64766
4503.065, 4503.066, 4503.067, 4505.06, 4519.55, 5739.02, 5739.029, 64767
5739.033, 5739.12, 5739.213, 5741.02, 5743.01, 5743.20, 5743.331, 64768
5745.02, 5745.05, 5745.13, 5748.01, 5748.02, 5748.021, 5748.022, 64769
5748.04, 5748.08, and 5751.23 of the Revised Code.64770

       Section 821.06. (A) Except as otherwise provided in division 64771
(B) of this section, the amendments by this act to section 3317.02 64772
of the Revised Code are not subject to the referendum. Therefore, 64773
under Ohio Constitution, Article II, Section 1d and section 1.471 64774
of the Revised Code, the amendments go into immediate effect.64775

       (B) The amendment to section 3317.02 of the Revised Code that 64776
substitutes the term "state education aid" for the term "SF-3 64777
payment" is subject to the referendum. Therefore, under Ohio 64778
Constitution, Article II, Section 1c and section 1.471 of the 64779
Revised Code, the amendment takes effect on the ninety-first day 64780
after this act is filed with the Secretary of State. If, however, 64781
a referendum petition is filed against the amendment, the 64782
amendment, unless rejected at the referendum, takes effect at the 64783
earliest time permitted by law.64784

       Section 821.12. (A) Except as otherwise provided in division 64785
(B) of this section, the amendments by this act to section 5111.20 64786
of the Revised Code are subject to the referendum. Therefore, 64787
under Ohio Constitution, Article II, Section 1c and section 1.471 64788
of the Revised Code, the amendments take effect on the 64789
ninety-first day after this act is filed with the Secretary of 64790
State. If, however, a referendum petition is filed against the 64791
amendments, the amendments, unless rejected at the referendum, 64792
take effect at the earliest time permitted by law.64793

       (B) The amendment to division (H)(3)(a) of section 5111.20 of 64794
the Revised Code is not subject to the referendum. Therefore, 64795
under Ohio Constitution, Article II, Section 1d and section 1.471 64796
of the Revised Code, the amendment goes into immediate effect.64797

       Section 821.13. (A) Except as otherwise provided in division 64798
(B) of this section, the amendments by this act to section 64799
5126.046 of the Revised Code are not subject to the referendum. 64800
Therefore, under Ohio Constitution, Article II, Section 1d and 64801
section 1.471 of the Revised Code, the amendments go into 64802
immediate effect.64803

       (B) The amendments to division (A) and the third paragraph of 64804
division (B) of section 5126.046 of the Revised Code are not 64805
subject to the referendum. Therefore, under Ohio Constitution, 64806
Article II, Section 1d and section 1.471 of the Revised Code, the 64807
amendments take effect July 1, 2007.64808

       Section 821.15. (A) Except as otherwise provided in division 64809
(B) of this section, the amendments by this act to section 64810
5126.055 of the Revised Code are subject to the referendum. 64811
Therefore, under Ohio Constitution, Article II, Section 1c and 64812
section 1.471 of the Revised Code, the amendments take effect on 64813
the ninety-first day after this act is filed with the Secretary of 64814
State. If, however, a referendum petition is filed against the 64815
amendments, the amendments, unless rejected at the referendum, 64816
take effect at the earliest time permitted by law.64817

       (B) The amendment to section 5126.055 of the Revised Code 64818
that strikes through "5123.16" and inserts "5123.161" is not 64819
subject to the referendum. Therefore, under Ohio Constitution, 64820
Article II, Section 1d and section 1.471 of the Revised Code, the 64821
amendment goes into immediate effect.64822

       Section 821.16. (A) Except as otherwise provided in division 64823
(B) of this section, the amendments by this act to section 64824
5126.057 (5126.0511) of the Revised Code are not subject to the 64825
referendum. Therefore, under Ohio Constitution, Article II, 64826
Section 1d and section 1.471 of the Revised Code, the amendments 64827
take effect July 1, 2007.64828

       (B) The amendments to relettered division (A)(2) and (A)(4) 64829
of section 5126.057 of the Revised Code are not subject to the 64830
referendum. Therefore, under Ohio Constitution, Article II, 64831
Section 1d and section 1.471 of the Revised Code, the amendments 64832
go into immediate effect.64833

       Section 821.17.  (A) Except as otherwise provided in division 64834
(B) of this section, the amendments by this act to section 5126.18 64835
of the Revised Code are not subject to the referendum. Therefore, 64836
under Ohio Constitution, Article II, Section 1d and section 1.471 64837
of the Revised Code, the amendments go into immediate effect.64838

       (B) The amendments to division (H) of section 5126.18 of the 64839
Revised Code are not subject to the referendum. Therefore, under 64840
Ohio Constitution, Article II, Section 1d and section 1.471 of the 64841
Revised Code, the amendments take effect July 1, 2007.64842

       Section 821.18. (A) Except as otherwise provided in division 64843
(B) of this section, the amendments by this act to section 5727.87 64844
of the Revised Code provide for or are essential to implementation 64845
of a tax levy. Therefore, under Ohio Constitution, Article II, 64846
Section 1d, the amendments are not subject to the referendum and 64847
go into immediate effect when this act becomes law.64848

       (B) The amendment to division (A)(2)(b) of section 5727.87 of 64849
the Revised Code is subject to the referendum. Therefore, under 64850
Ohio Constitution, Article II, Section 1c and section 1.471 of the 64851
Revised Code, the amendment takes effect on the ninety-first day 64852
after this act is filed with the Secretary of State. If, however, 64853
a referendum petition is filed against the amendment, the 64854
amendment, unless rejected at the referendum, takes effect at the 64855
earliest time permitted by law.64856

       Section 821.21. If the amendment or enactment in this act of 64857
a codified or uncodified section of law is subject to the 64858
referendum, the corresponding indications in the amending, 64859
enacting, or existing repeal clauses commanding the amendment or 64860
enactment also are subject to the referendum, along with the 64861
amendment or enactment. If the amendment or enactment by this act 64862
of a codified or uncodified section of law is not subject to the 64863
referendum, the corresponding indications in the amending, 64864
enacting, or existing repeal clauses commanding the amendment or 64865
enactment also are not subject to the referendum, the same as the 64866
amendment or enactment.64867

       Section 824.03. The General Assembly, applying the principle 64868
stated in division (B) of section 1.52 of the Revised Code that 64869
amendments are to be harmonized if reasonably capable of 64870
simultaneous operation, finds that the following sections, 64871
presented in this act as composites of the sections as amended by 64872
the acts indicated, are the resulting versions of the sections in 64873
effect prior to the effective date of the sections as presented in 64874
this act:64875

       Section 109.572 of the Revised Code as amended by both Am. 64876
Sub. S.B. 185 and Am. Sub. S.B. 238 of the 126th General Assembly.64877

        Section 111.18 of the Revised Code as amended by both Am. 64878
Sub. H.B. 94 and Am. Sub. S.B. 74 of the 124th General Assembly.64879

        Section 323.153 of the Revised Code as amended by both Am. 64880
H.B. 595 and Am. Sub. H.B. 672 of the 123rd General Assembly.64881

        Section 711.131 of the Revised Code as amended by both Sub. 64882
H.B. 231 and Sub. S.B. 115 of the 125th General Assembly.64883

       Section 2921.42 of the Revised Code as amended by both Sub. 64884
H.B. 150 and Am. Sub. H.B. 285 of the 120th General Assembly.64885

        Section 3301.0714 of the Revised Code as amended by Am. Sub. 64886
H.B. 79, Am. Sub. H.B. 137, Am. Sub. H.B. 276, and Am. Sub. H.B. 64887
530 of the 126th General Assembly.64888

        Section 3313.64 of the Revised Code as amended Am. Sub. H.B. 64889
137, Am. Sub. H.B. 530, Sub. S.B. 164, and Am. Sub. S.B. 238 of64890
the 126th General Assembly.64891

        Section 3317.03 of the Revised Code as amended by both Am. 64892
Sub. H.B. 79 and Am. Sub. H.B. 699 of the 126th General Assembly.64893

        Section 5107.05 of the Revised Code as amended by Am. Sub. 64894
H.B. 283, H.B. 471, and Sub. S.B. 245, all of the 123rd General 64895
Assembly, and Am. Sub. H.B. 66 of the 126th General Assembly.64896

        Section 5705.31 of the Revised Code as amended by both Sub. 64897
H.B. 129 and Am. Sub. S.B. 5 of the 124th General Assembly.64898

        Section 5748.01 of the Revised Code as amended by both Sub. 64899
H.B. 73 and Am. Sub. H.B. 699 of the 126th General Assembly.64900

        Section 5748.02 of the Revised Code as amended by both Am. 64901
Sub. H.B. 3 and Am. Sub. H.B. 530 of the 126th General Assembly.64902

       The finding in this section takes effect at the same time as 64903
the section referenced in the finding takes effect.64904