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| To amend section 3318.011 of the Revised Code to | 1 |
| revise the method for calculating the annual | 2 |
| school district equity rankings for classroom | 3 |
| facilities assistance and to declare an emergency. | 4 |
| Section 1. That section 3318.011 of the Revised Code be | 5 |
| amended to read as follows: | 6 |
| Sec. 3318.011. For purposes of providing assistance under | 7 |
| sections 3318.01 to 3318.20 of the Revised Code, the department of | 8 |
| education shall annually do all of the following: | 9 |
| (A) Calculate the adjusted valuation per pupil of each city, | 10 |
| local, and exempted village school district according to the | 11 |
| following formula: | 12 |
| 13 | |
| 14 | |
| For purposes of this calculation: | 15 |
| (1) Except for a district with an open enrollment net gain | 16 |
| that is ten per cent or more of its formula ADM, "valuation per | 17 |
| pupil" for a district means its average taxable value, divided by | 18 |
| its formula ADM for the previous fiscal year. "Valuation per | 19 |
| pupil," for a district with an open enrollment net gain that is | 20 |
| ten per cent or more of its formula ADM, means its average taxable | 21 |
| value, divided by the sum of its formula ADM for the previous | 22 |
| fiscal year plus its open enrollment net gain for the previous | 23 |
| fiscal year. | 24 |
| (2) | 25 |
| phase-out impacted district, "average taxable value" means the | 26 |
| average of the sum of the amounts certified for a district under | 27 |
| divisions (A)(1) and (2) of section 3317.021 of the Revised Code | 28 |
|
in the second,
third, and fourth
preceding
fiscal years | 29 |
| 30 | |
| 31 | |
| district, "average taxable value" means the average of the sum of | 32 |
| the amounts certified for the district under division (A)(1) and | 33 |
| as public utility personal property under division (A)(2) of | 34 |
| section 3317.021 of the Revised Code in the second, third, and | 35 |
| fourth preceding fiscal years. | 36 |
| (3) "Entitled to attend school" means entitled to attend | 37 |
| school in a city, local, or exempted village school district | 38 |
| under section 3313.64 or 3313.65 of the Revised Code. | 39 |
| (4) "Formula ADM" and "income factor" have the same meanings | 40 |
| as in section 3317.02 of the Revised Code. | 41 |
| (5) "Native student" has the same meaning as in section | 42 |
| 3313.98 of the Revised Code. | 43 |
| (6) "Open enrollment net gain" for a district means (a) the | 44 |
| number of the students entitled to attend school in another | 45 |
| district but who are enrolled in the schools of the district under | 46 |
| its open enrollment policy minus (b) the number of the district's | 47 |
| native students who are enrolled in the schools of another | 48 |
| district under the other district's open enrollment policy, both | 49 |
| numbers as certified to the department under section 3313.981 of | 50 |
| the Revised Code. If the difference is a negative number, the | 51 |
| district's "open enrollment net gain" is zero. | 52 |
| (7) "Open enrollment policy" means an interdistrict open | 53 |
| enrollment policy adopted under section 3313.98 of the Revised | 54 |
| Code. | 55 |
| (8) "Tangible personal property phase-out impacted district" | 56 |
| means a school district for which the taxable value of its | 57 |
| tangible personal property certified under division (A)(2) of | 58 |
| section 3317.021 of the Revised Code for tax year 2005, excluding | 59 |
| the taxable value of public utility personal property, made up | 60 |
| twenty per cent or more of its total taxable value for tax year | 61 |
| 2005 as certified under that section. | 62 |
| (B) Calculate for each district the three-year average of the | 63 |
| adjusted valuations per pupil calculated for the district for the | 64 |
| current and two preceding fiscal years; | 65 |
| (C) Rank all such districts in order of adjusted valuation | 66 |
| per pupil from the district with the lowest three-year average | 67 |
| adjusted valuation per pupil to the district with the highest | 68 |
| three-year average adjusted valuation per pupil; | 69 |
| (D) Divide such ranking into percentiles with the first | 70 |
| percentile containing the one per cent of school districts having | 71 |
| the lowest three-year average adjusted valuations per pupil and | 72 |
| the one-hundredth percentile containing the one per cent of school | 73 |
| districts having the highest three-year average adjusted | 74 |
| valuations per pupil; | 75 |
| (E) Determine the school districts that have three-year | 76 |
| average adjusted valuations per pupil that are greater than the | 77 |
| median three-year average adjusted valuation per pupil for all | 78 |
| school districts in the state; | 79 |
| (F) On or before the first day of September, certify the | 80 |
| information described in divisions (A) to (E) of this section to | 81 |
| the Ohio school facilities commission. | 82 |
| Section 2. That existing section 3318.011 of the Revised | 83 |
| Code is hereby repealed. | 84 |
| Section 3. (A) As used in this section, "equity list" means | 85 |
| the school district percentile rankings calculated under section | 86 |
| 3318.011 of the Revised Code. | 87 |
| (B) Not later than thirty days after the effective date of | 88 |
| this section, the Department of Education shall create an | 89 |
| alternate equity list for fiscal year 2010, for use in funding | 90 |
| projects for fiscal year 2011, by recalculating each school | 91 |
| district's percentile ranking under section 3318.011 of the | 92 |
| Revised Code and shall certify the alternate equity list to the | 93 |
| Ohio School Facilities Commission. For this purpose, the | 94 |
| Department shall recalculate each school district's percentile | 95 |
| ranking using the district's "average taxable value" as that term | 96 |
| is defined in the version of section 3318.011 of the Revised Code, | 97 |
| as it results from the amendments to that section enacted by this | 98 |
| act. | 99 |
| (C) The Commission shall use the alternate equity list | 100 |
| certified under division (B) of this section to determine the | 101 |
| priority for assistance under sections 3318.01 to 3318.20 of the | 102 |
| Revised Code for fiscal year 2011 for each school district that | 103 |
| has not previously been offered funding under those sections. | 104 |
| However, no district that already has been offered assistance | 105 |
| under those sections for fiscal year 2011 prior to the | 106 |
| Commission's receipt of the alternate equity list shall be denied | 107 |
| the opportunity for assistance under those sections for that | 108 |
| fiscal year. | 109 |
| (D) Notwithstanding any provision of Chapter 3318. of the | 110 |
| Revised Code to the contrary, for each school district that | 111 |
| receives the Commission's conditional approval of the district's | 112 |
| project under sections 3318.01 to 3318.20 of the Revised Code for | 113 |
| fiscal year 2011, the district's portion of the basic project cost | 114 |
| shall be the lesser of the following: | 115 |
| (1) The amount required under section 3318.032 of the Revised | 116 |
| Code calculated using the percentile in which the district ranks | 117 |
| on the alternate equity list certified under division (B) of this | 118 |
| section; | 119 |
| (2) The amount required under section 3318.032 of the Revised | 120 |
| Code calculated using the percentile in which the district ranks | 121 |
| on the original equity list for fiscal year 2010. | 122 |
| Section 4. This act is hereby declared to be an emergency | 123 |
| measure necessary for the immediate preservation of the public | 124 |
| peace, health, and safety. The reason for such necessity is to | 125 |
| prevent delays in classroom construction projects by school | 126 |
| districts that have substantial amounts of declining tangible | 127 |
| personal property valuation. Therefore, this act shall go into | 128 |
| immediate effect. | 129 |