H. B. No. 598 As Introduced

As Introduced

127th General Assembly

Regular Session

2007-2008

H. B. No. 598

Representative Huffman

Cosponsor: Representative Uecker

A BILL

To amend sections 2921.43, 3313.36, 3314.03,

3315.062, and 3326.11 and to enact section

3313.539 of the Revised Code to prohibit a public

school or an interscholastic athletic

organization from sanctioning or controlling

fund-raising and expenditures by head coaches or

school booster clubs under specified conditions

and to permit school booster clubs to pay

compensation to coaches.

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

Section 1. That sections 2921.43, 3313.36, 3314.03, 3315.062,	10
and 3326.11 be amended and section 3313.539 of the Revised Code be	11
enacted to read as follows:	12

Sec. 2921.43. (A) No public servant shall knowingly solicit	13
or accept, and no person shall knowingly promise or give to a	14
public servant, either of the following:	15

(1) Any compensation, other than as allowed by divisions (G),	16
(H), and (I) of section 102.03, division (C) of section 3313.539	17
of the Revised Code, or other provisions of law, to perform the	18
public servant's official duties, to perform any other act or	19
service in the public servant's public capacity, for the general	20
performance of the duties of the public servant's public office or	21
public employment, or as a supplement to the public servant's	22
public compensation;	23

(2) Additional or greater fees or costs than are allowed by	24
law to perform the public servant's official duties.	25

(B) No public servant for the public servant's own personal	26
or business use, and no person for the person's own personal or	27
business use or for the personal or business use of a public	28
servant or party official, shall solicit or accept anything of	29
value in consideration of either of the following:	30

(1) Appointing or securing, maintaining, or renewing the	31
appointment of any person to any public office, employment, or	32
agency;	33

(2) Preferring, or maintaining the status of, any public	34
employee with respect to compensation, duties, placement,	35
location, promotion, or other material aspects of employment.	36

(C) No person for the benefit of a political party, campaign	37
committee, legislative campaign fund, political action committee,	38
or political contributing entity shall coerce any contribution in	39
consideration of either of the following:	40

(1) Appointing or securing, maintaining, or renewing the	41
appointment of any person to any public office, employment, or	42
agency;	43

(2) Preferring, or maintaining the status of, any public	44
employee with respect to compensation, duties, placement,	45
location, promotion, or other material aspects of employment.	46

(D) Whoever violates this section is guilty of soliciting	47
improper compensation, a misdemeanor of the first degree.	48

(E) A public servant who is convicted of a violation of this	49
section is disqualified from holding any public office,	50
employment, or position of trust in this state for a period of	51
seven years from the date of conviction.	52

(F) Divisions (A), (B), and (C) of this section do not	53
prohibit a person from making voluntary contributions to a	54
political party, campaign committee, legislative campaign fund,	55
political action committee, or political contributing entity or	56
prohibit a political party, campaign committee, legislative	57
campaign fund, political action committee, or political	58
contributing entity from accepting voluntary contributions.	59

Sec. 3313.36. (A) By the adoption of a resolution, a board	60
of education may accept any bequest made to it by will or may	61
accept any gift or endowment upon the conditions and stipulations	62
contained in the will or connected with the gift or endowment. For	63
the purpose of enabling the board to carry out the conditions and	64
limitations upon which a bequest, gift, or endowment is made, it	65
may make all rules required to fully carry them into effect. No	66
~~such~~Except for funds raised and expended under section 3313.539	67
of the Revised Code, no bequest, gift, or endowment shall be	68
accepted by the board if the conditions remove any portion of the	69
public schools from the control of the board.	70

(B) By the adoption of a resolution, a board may direct the	71
school district treasurer to pay the proceeds of any bequest,	72
gift, or endowment given to the district for the education	73
foundation fund or given without conditions or limitations into	74
the education foundation fund established by section 3315.40 of	75
the Revised Code.	76

Sec. 3313.539. (A) Notwithstanding anything in section	77
3313.47 of the Revised Code to the contrary, the board of	78
education of a school district shall not prohibit a school booster	79
organization or a head coach employed or engaged by the board from	80
raising funds for school athletic activities, including conducting	81
or instructing athletic camp fund-raisers and involving student	82
athletes in fund-raising activities, or in any way sanction those	83
fund-raising activities or prohibit or sanction the booster	84
organization's or head coach's maintenance or use of the funds	85
raised to pay for athletic equipment, compensation for coaches, or	86
other items directly benefiting the head coach's athletic program,	87
as long as the following conditions are satisfied:	88

(1) The head coach is not a signatory on an account	89
containing the funds raised and may not issue checks on such	90
account.	91

(2) The funds raised are maintained by any of the following:

(a) The district treasurer;

(b) An attorney licensed to practice law in Ohio, who shall	94
be designated the trustee of the funds;	95

(c) A certified public accountant who has received a	96
certificate under Chapter 4701. of the Revised Code, who shall be	97
designated the trustee of the funds;	98

(d) The treasurer of the booster organization, if that	99
organization is exempt from federal income tax under section	100
501(c)(3) of the Internal Revenue Code.	101

(3) If the funds are maintained by a person described in	102
division (A)(2)(b), (c), or (d) of this section, that person at	103
least annually provides to the district treasurer and the school	104
athletic director a report of the income, sources, and	105
expenditures of the funds.	106

(B) Funds raised in accordance with this section need not be	107
maintained in any district or school account and shall not be	108
subject to audit under Chapter 117. of the Revised Code as long as	109
the conditions prescribed by divisions (A)(1) to (3) of this	110
section are satisfied.	111

(C)(1) Notwithstanding anything to the contrary in section	112
3313.53 of the Revised Code, funds raised and maintained under	113
this section may be used to pay compensation to a licensed	114
individual or a nonlicensed individual to coach an activity, and	115
any individual may accept such compensation, as long as the head	116
coach certifies to the school athletic director all of the	117
following:	118

(a) The particular coaching position is needed.

119

(b) The compensation paid to the coach is equal to or less	120
than compensation that is or would be paid to a licensed	121
individual under a supplemental contract entered into under	122
section 3319.08 of the Revised Code for a similar coaching	123
position.	124

(c) The coaching position has been offered to employees of	125
the district before offered to any individual who is not an	126
employee of the district.	127

(2) If the funds used to pay compensation to a coach under	128
division (C) of this section are not maintained in any district or	129
school account, the compensation is not subject to the provisions	130
of Chapter 3307. or 3309. of the Revised Code or the rules of the	131
board of a retirement system established under either chapter.	132

(3) The funds paid as compensation to an individual under	133
division (C) of this section may be in addition to other amounts	134
paid to the individual by the district or school as an employee of	135
the district or school.	136

(4) Compensation paid to an individual under division (C) of	137
this section shall not be construed as a violation of division (E)	138
or (F) of section 102.03 of the Revised Code.	139

(5) As used in division (C) of this section, "licensed	140
individual" and "nonlicensed individual" have the same meanings as	141
in section 3313.53 of the Revised Code.	142

(D) No school district, school, interscholastic conference,	143
or organization that regulates interscholastic conferences or	144
events shall have a rule, bylaw, or other regulation that	145
conflicts with this section.	146

Sec. 3314.03. A copy of every contract entered into under	147
this section shall be filed with the superintendent of public	148
instruction.	149

(A) Each contract entered into between a sponsor and the	150
governing authority of a community school shall specify the	151
following:	152

(1) That the school shall be established as either of the	153
following:	154

(a) A nonprofit corporation established under Chapter 1702.	155
of the Revised Code, if established prior to April 8, 2003;	156

(b) A public benefit corporation established under Chapter	157
1702. of the Revised Code, if established after April 8, 2003;	158

(2) The education program of the school, including the	159
school's mission, the characteristics of the students the school	160
is expected to attract, the ages and grades of students, and the	161
focus of the curriculum;	162

(3) The academic goals to be achieved and the method of	163
measurement that will be used to determine progress toward those	164
goals, which shall include the statewide achievement tests;	165

(4) Performance standards by which the success of the school	166
will be evaluated by the sponsor;	167

(5) The admission standards of section 3314.06 of the Revised	168
Code and, if applicable, section 3314.061 of the Revised Code;	169

(6)(a) Dismissal procedures;

170

(b) A requirement that the governing authority adopt an	171
attendance policy that includes a procedure for automatically	172
withdrawing a student from the school if the student without a	173
legitimate excuse fails to participate in one hundred five	174
consecutive hours of the learning opportunities offered to the	175
student.	176

(7) The ways by which the school will achieve racial and	177
ethnic balance reflective of the community it serves;	178

(8) Requirements for financial audits by the auditor of	179
state. The contract shall require financial records of the school	180
to be maintained in the same manner as are financial records of	181
school districts, pursuant to rules of the auditor of state, and	182
the audits shall be conducted in accordance with section 117.10 of	183
the Revised Code.	184

(9) The facilities to be used and their locations;

185

(10) Qualifications of teachers, including a requirement that	186
the school's classroom teachers be licensed in accordance with	187
sections 3319.22 to 3319.31 of the Revised Code, except that a	188
community school may engage noncertificated persons to teach up to	189
twelve hours per week pursuant to section 3319.301 of the Revised	190
Code;	191

(11) That the school will comply with the following	192
requirements:	193

(a) The school will provide learning opportunities to a	194
minimum of twenty-five students for a minimum of nine hundred	195
twenty hours per school year;	196

(b) The governing authority will purchase liability	197
insurance, or otherwise provide for the potential liability of the	198
school;	199

(c) The school will be nonsectarian in its programs,	200
admission policies, employment practices, and all other	201
operations, and will not be operated by a sectarian school or	202
religious institution;	203

(d) The school will comply with sections 9.90, 9.91, 109.65,	204
121.22, 149.43, 2151.357, 2151.421, 2313.18, 3301.0710, 3301.0711,	205
3301.0712, 3301.0715, 3313.472, 3313.50, 3313.536, 3313.539,	206
3313.608, 3313.6012, 3313.6013, 3313.6014, 3313.643, 3313.648,	207
3313.66, 3313.661, 3313.662, 3313.666, 3313.667, 3313.67,	208
3313.671, 3313.672, 3313.673, 3313.69, 3313.71, 3313.716,	209
3313.718, 3313.80, 3313.96, 3319.073, 3319.313, 3319.314,	210
3319.315, 3319.321, 3319.39, 3319.391, 3321.01, 3321.13, 3321.14,	211
3321.17, 3321.18, 3321.19, 3321.191, 3327.10, 4111.17, 4113.52,	212
and 5705.391 and Chapters 117., 1347., 2744., 3365., 3742., 4112.,	213
4123., 4141., and 4167. of the Revised Code as if it were a	214
school district and will comply with section 3301.0714 of the	215
Revised Code in the manner specified in section 3314.17 of the	216
Revised Code;	217

(e) The school shall comply with Chapter 102. and section	218
2921.42 of the Revised Code;	219

(f) The school will comply with sections 3313.61, 3313.611,	220
and 3313.614 of the Revised Code, except that for students who	221
enter ninth grade for the first time before July 1, 2010, the	222
requirement in sections 3313.61 and 3313.611 of the Revised Code	223
that a person must successfully complete the curriculum in any	224
high school prior to receiving a high school diploma may be met by	225
completing the curriculum adopted by the governing authority of	226
the community school rather than the curriculum specified in Title	227
XXXIII of the Revised Code or any rules of the state board of	228
education. Beginning with students who enter ninth grade for the	229
first time on or after July 1, 2010, the requirement in sections	230
3313.61 and 3313.611 of the Revised Code that a person must	231
successfully complete the curriculum of a high school prior to	232
receiving a high school diploma shall be met by completing the	233
Ohio core curriculum prescribed in division (C) of section	234
3313.603 of the Revised Code, unless the person qualifies under	235
division (D) or (F) of that section. Each school shall comply with	236
the plan for awarding high school credit based on demonstration of	237
subject area competency, adopted by the state board of education	238
under division (J) of section 3313.603 of the Revised Code.	239

(g) The school governing authority will submit within four	240
months after the end of each school year a report of its	241
activities and progress in meeting the goals and standards of	242
divisions (A)(3) and (4) of this section and its financial status	243
to the sponsor and the parents of all students enrolled in the	244
school.	245

(h) The school, unless it is an internet- or computer-based	246
community school, will comply with section 3313.801 of the Revised	247
Code as if it were a school district.	248

(12) Arrangements for providing health and other benefits to	249
employees;	250

(13) The length of the contract, which shall begin at the	251
beginning of an academic year. No contract shall exceed five years	252
unless such contract has been renewed pursuant to division (E) of	253
this section.	254

(14) The governing authority of the school, which shall be	255
responsible for carrying out the provisions of the contract;	256

(15) A financial plan detailing an estimated school budget	257
for each year of the period of the contract and specifying the	258
total estimated per pupil expenditure amount for each such year.	259
The plan shall specify for each year the base formula amount that	260
will be used for purposes of funding calculations under section	261
3314.08 of the Revised Code. This base formula amount for any year	262
shall not exceed the formula amount defined under section 3317.02	263
of the Revised Code. The plan may also specify for any year a	264
percentage figure to be used for reducing the per pupil amount of	265
the subsidy calculated pursuant to section 3317.029 of the Revised	266
Code the school is to receive that year under section 3314.08 of	267
the Revised Code.	268

(16) Requirements and procedures regarding the disposition of	269
employees of the school in the event the contract is terminated or	270
not renewed pursuant to section 3314.07 of the Revised Code;	271

(17) Whether the school is to be created by converting all or	272
part of an existing public school or is to be a new start-up	273
school, and if it is a converted public school, specification of	274
any duties or responsibilities of an employer that the board of	275
education that operated the school before conversion is delegating	276
to the governing board of the community school with respect to all	277
or any specified group of employees provided the delegation is not	278
prohibited by a collective bargaining agreement applicable to such	279
employees;	280

(18) Provisions establishing procedures for resolving	281
disputes or differences of opinion between the sponsor and the	282
governing authority of the community school;	283

(19) A provision requiring the governing authority to adopt a	284
policy regarding the admission of students who reside outside the	285
district in which the school is located. That policy shall comply	286
with the admissions procedures specified in sections 3314.06 and	287
3314.061 of the Revised Code and, at the sole discretion of the	288
authority, shall do one of the following:	289

(a) Prohibit the enrollment of students who reside outside	290
the district in which the school is located;	291

(b) Permit the enrollment of students who reside in districts	292
adjacent to the district in which the school is located;	293

(c) Permit the enrollment of students who reside in any other	294
district in the state.	295

(20) A provision recognizing the authority of the department	296
of education to take over the sponsorship of the school in	297
accordance with the provisions of division (C) of section 3314.015	298
of the Revised Code;	299

(21) A provision recognizing the sponsor's authority to	300
assume the operation of a school under the conditions specified in	301
division (B) of section 3314.073 of the Revised Code;	302

(22) A provision recognizing both of the following:

303

(a) The authority of public health and safety officials to	304
inspect the facilities of the school and to order the facilities	305
closed if those officials find that the facilities are not in	306
compliance with health and safety laws and regulations;	307

(b) The authority of the department of education as the	308
community school oversight body to suspend the operation of the	309
school under section 3314.072 of the Revised Code if the	310
department has evidence of conditions or violations of law at the	311
school that pose an imminent danger to the health and safety of	312
the school's students and employees and the sponsor refuses to	313
take such action;	314

(23) A description of the learning opportunities that will be	315
offered to students including both classroom-based and	316
non-classroom-based learning opportunities that is in compliance	317
with criteria for student participation established by the	318
department under division (L)(2) of section 3314.08 of the Revised	319
Code;	320

(24) The school will comply with section 3302.04 of the	321
Revised Code, including division (E) of that section to the extent	322
possible, except that any action required to be taken by a school	323
district pursuant to that section shall be taken by the sponsor of	324
the school. However, the sponsor shall not be required to take any	325
action described in division (F) of that section.	326

(25) Beginning in the 2006-2007 school year, the school will	327
open for operation not later than the thirtieth day of September	328
each school year, unless the mission of the school as specified	329
under division (A)(2) of this section is solely to serve dropouts.	330
In its initial year of operation, if the school fails to open by	331
the thirtieth day of September, or within one year after the	332
adoption of the contract pursuant to division (D) of section	333
3314.02 of the Revised Code if the mission of the school is solely	334
to serve dropouts, the contract shall be void.	335

(B) The community school shall also submit to the sponsor a	336
comprehensive plan for the school. The plan shall specify the	337
following:	338

(1) The process by which the governing authority of the	339
school will be selected in the future;	340

(2) The management and administration of the school;

341

(3) If the community school is a currently existing public	342
school, alternative arrangements for current public school	343
students who choose not to attend the school and teachers who	344
choose not to teach in the school after conversion;	345

(4) The instructional program and educational philosophy of	346
the school;	347

(5) Internal financial controls.

348

(C) A contract entered into under section 3314.02 of the	349
Revised Code between a sponsor and the governing authority of a	350
community school may provide for the community school governing	351
authority to make payments to the sponsor, which is hereby	352
authorized to receive such payments as set forth in the contract	353
between the governing authority and the sponsor. The total amount	354
of such payments for oversight and monitoring of the school shall	355
not exceed three per cent of the total amount of payments for	356
operating expenses that the school receives from the state.	357

(D) The contract shall specify the duties of the sponsor	358
which shall be in accordance with the written agreement entered	359
into with the department of education under division (B) of	360
section 3314.015 of the Revised Code and shall include the	361
following:	362

(1) Monitor the community school's compliance with all laws	363
applicable to the school and with the terms of the contract;	364

(2) Monitor and evaluate the academic and fiscal performance	365
and the organization and operation of the community school on at	366
least an annual basis;	367

(3) Report on an annual basis the results of the evaluation	368
conducted under division (D)(2) of this section to the department	369
of education and to the parents of students enrolled in the	370
community school;	371

(4) Provide technical assistance to the community school in	372
complying with laws applicable to the school and terms of the	373
contract;	374

(5) Take steps to intervene in the school's operation to	375
correct problems in the school's overall performance, declare the	376
school to be on probationary status pursuant to section 3314.073	377
of the Revised Code, suspend the operation of the school pursuant	378
to section 3314.072 of the Revised Code, or terminate the contract	379
of the school pursuant to section 3314.07 of the Revised Code as	380
determined necessary by the sponsor;	381

(6) Have in place a plan of action to be undertaken in the	382
event the community school experiences financial difficulties or	383
closes prior to the end of a school year.	384

(E) Upon the expiration of a contract entered into under this	385
section, the sponsor of a community school may, with the approval	386
of the governing authority of the school, renew that contract for	387
a period of time determined by the sponsor, but not ending earlier	388
than the end of any school year, if the sponsor finds that the	389
school's compliance with applicable laws and terms of the contract	390
and the school's progress in meeting the academic goals prescribed	391
in the contract have been satisfactory. Any contract that is	392
renewed under this division remains subject to the provisions of	393
sections 3314.07, 3314.072, and 3314.073 of the Revised Code.	394

(F) If a community school fails to open for operation within	395
one year after the contract entered into under this section is	396
adopted pursuant to division (D) of section 3314.02 of the Revised	397
Code or permanently closes prior to the expiration of the	398
contract, the contract shall be void and the school shall not	399
enter into a contract with any other sponsor. A school shall not	400
be considered permanently closed because the operations of the	401
school have been suspended pursuant to section 3314.072 of the	402
Revised Code. Any contract that becomes void under this division	403
shall not count toward any statewide limit on the number of such	404
contracts prescribed by section 3314.013 of the Revised Code.	405

Sec. 3315.062. (A) The board of education of any school	406
district may expend moneys from its general revenue fund for the	407
operation of such student activity programs included in the	408
program of each school district as authorized by its board of	409
education. Such expenditure shall not exceed five-tenths of one	410
per cent of the board's annual operating budget.	411

(B) If more than fifty dollars a year is received through a	412
student activity program, the moneys from such program shall be	413
paid into an activity fund established by the board of education	414
of the school district. The board shall adopt regulations	415
governing the establishment and maintenance of such fund,	416
including a system of accounting to separate and verify each	417
transaction and to show the sources from which the fund revenue is	418
received, the amount collected from each source, and the amount	419
expended for each purpose. Expenditures from the fund shall be	420
subject to approval of the board.	421

This division does not apply to funds raised or expended in	422
accordance with section 3313.539 of the Revised Code.	423

(C) The board of education of any school district may	424
purchase accident insurance for pupils participating in school	425
athletic programs for which the school district is authorized to	426
expend public money. The board also may, to the extent it	427
considers necessary, establish a self-insurance plan for the	428
protection of such pupils against loss or expense resulting from	429
bodily injury or death by accident, or for the payment of any	430
deductible under a policy of accident insurance procured pursuant	431
to this division.	432

Sec. 3326.11. Each science, technology, engineering, and	433
mathematics school established under this chapter and its	434
governing body shall comply with sections 9.90, 9.91, 109.65,	435
121.22, 149.43, 2151.357, 2151.421, 2313.18, 2921.42, 2921.43,	436
3301.0712, 3301.0714, 3301.0715, 3313.14, 3313.15, 3313.16,	437
3313.18, 3313.201, 3313.26, 3313.472, 3313.48, 3313.481, 3313.482,	438
3313.50, 3313.536, 3313.539, 3313.608, 3313.6012, 3313.6013,	439
3313.6014, 3313.61, 3313.611, 3313.614, 3313.615, 3313.643,	440
3313.648, 3313.66, 3313.661, 3313.662, 3313.666, 3313.667,	441
3313.67, 3313.671, 3313.672, 3313.673, 3313.69, 3313.71, 3313.716,	442
3313.718, 3313.80, 3313.801, 3313.96, 3319.073, 3319.21, 3319.313,	443
3319.314, 3319.315, 3319.32, 3319.321, 3319.35, 3319.39,	444
3319.391, 3319.45, 3321.01, 3321.13, 3321.14, 3321.17, 3321.18,	445
3321.19, 3321.191, 3327.10, 4111.17, 4113.52, and 5705.391 and	446
Chapters 102., 117., 1347., 2744., 3307., 3309., 3365., 3742.,	447
4112., 4123., 4141., and 4167. of the Revised Code as if it were	448
a school district.	449

Section 2. That existing sections 2921.43, 3313.36, 3314.03,	450
3315.062, and 3326.11 of the Revised Code are hereby repealed.	451