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| To enact sections 3302.033 and 3317.60 of the Revised | 1 |
| Code to establish a bipartisan committee to | 2 |
| recommend a system that pays one hundred per cent | 3 |
| of the actual cost of a thorough and efficient | 4 |
| education and to require the Department of | 5 |
| Education to report certain school funding | 6 |
| information to parents and taxpayers. | 7 |
| Section 1. That sections 3302.033 and 3317.60 of the Revised | 8 |
| Code be enacted to read as follows: | 9 |
| Sec. 3302.033. As a component of the funding and expenditure | 10 |
| accountability report required under division (A) of section | 11 |
| 3302.031 of the Revised Code, the department of education shall | 12 |
| include the following information about the state's performance on | 13 |
| public education funding: | 14 |
| (A) The current and five-year projected cost of a thorough | 15 |
| and efficient education for every student and the added cost of | 16 |
| providing services for special education, career-technical | 17 |
| education, gifted students, and economically disadvantaged | 18 |
| students as determined by the committee established under section | 19 |
| 3317.60 of the Revised Code; | 20 |
| (B) By district and building, expenditures for operation and | 21 |
| facilities construction and maintenance; | 22 |
| (C) The amount of operations funding disparity among school | 23 |
| districts in the state using all of the following methods of | 24 |
| measurement: | 25 |
| (1) Ratio of revenue of the highest-funded district to the | 26 |
| revenue of the lowest-funded district; | 27 |
| (2) Federal range ratio; | 28 |
| (3) Gini coefficient; | 29 |
| (4) McLoone index. | 30 |
| At the time the information prescribed under this section is | 31 |
| published, the department also shall report the items described in | 32 |
| divisions (B) and (C) of this section to the committee established | 33 |
| under section 3317.60 of the Revised Code. | 34 |
| Sec. 3317.60. (A) Within sixty days after the effective date | 35 |
| of this section, the president of the senate and the speaker of | 36 |
| the house of representatives shall appoint a joint bipartisan | 37 |
| committee to study and determine the current and five-year | 38 |
| projected cost of providing a thorough and efficient education to | 39 |
| each public school student and to recommend legislative changes | 40 |
| necessary to establish a system to provide state funding to each | 41 |
| public school in the state in an amount equal to one hundred per | 42 |
| cent of the actual cost as determined by the committee. The | 43 |
| committee shall make its recommendations to the general assembly | 44 |
| not later than eighteen months after the effective date of this | 45 |
| section. | 46 |
| (B) The school funding system recommended by the committee | 47 |
| shall provide for all of the following: | 48 |
| (1) State funding for one hundred per cent of the actual base | 49 |
| cost of a thorough and efficient education for each student in a | 50 |
| public school and one hundred per cent of the actual cost of all | 51 |
| special education, career-technical education, gifted education, | 52 |
| poverty-based assistance, and transportation costs attributable on | 53 |
| a per pupil basis; | 54 |
| (2) Calculation of actual costs without the use of an | 55 |
| inferential method; | 56 |
| (3) Recalculation of actual costs once every two years; | 57 |
| (4) Authority for a school district to levy additional taxes | 58 |
| with the approval of the district's electors for funding of | 59 |
| operating costs of providing services not paid for with state | 60 |
| funds. The system shall specify the services for which state | 61 |
| funding will and will not be provided. | 62 |
| (5) Guarantee to each school district that for the first ten | 63 |
| years following the enactment of the new system the district will | 64 |
| not receive in state funding an amount less than the district | 65 |
| received under Chapter 3317. of the Revised Code, as it existed on | 66 |
| June 30, 2010. After the end of the ten-year period, the guarantee | 67 |
| shall be phased out in annual increments of three percentage | 68 |
| points on a district-by-district basis until the amount of state | 69 |
| funding received by a district equals the amount calculated for | 70 |
| the district under the system described in division (B)(1) of this | 71 |
| section. The goal of the system shall be that by the end of the | 72 |
| ten-year period, the disparity between the highest-funded school | 73 |
| district and the lowest-funded school district in base-cost per | 74 |
| pupil funding is not more than twenty percentage points. | 75 |
| (6) Uniform statewide accounting and auditing procedures for | 76 |
| all school districts. | 77 |
| Section 2. Notwithstanding anything to the contrary in | 78 |
| section 3302.033 of the Revised Code, until the committee | 79 |
| established under section 3317.60 of the Revised Code has | 80 |
| determined the actual cost of a thorough and efficient education | 81 |
| for primary and secondary students, the Department of Education is | 82 |
| not required to include in the report prescribed under section | 83 |
| 3302.033 of the Revised Code the information described in division | 84 |
| (A) of that section. The Department shall include in that report | 85 |
| all other information described in that section. | 86 |