As Passed by the Senate

129th General Assembly
Regular Session
2011-2012
Sub. H. B. No. 157


Representatives Schuring, Letson 

Cosponsors: Representatives Derickson, Hall, Combs, Stebelton, Yuko, Hollington, Fende, Antonio, Adams, J., Adams, R., Anielski, Barnes, Beck, Boose, Brenner, Bubp, Buchy, Budish, Carney, Celeste, Dovilla, Driehaus, Fedor, Gardner, Garland, Gentile, Gerberry, Goyal, Hackett, Hagan, C., Hagan, R., Heard, Henne, Hottinger, Kozlowski, Luckie, Lundy, Mallory, McClain, Mecklenborg, Milkovich, Murray, Newbold, O'Brien, Okey, Patmon, Peterson, Pillich, Ramos, Reece, Roegner, Ruhl, Slaby, Slesnick, Stinziano, Weddington, Williams, Winburn, Young Speaker Batchelder 

Senators Hite, Brown, Coley, Gentile, Hughes, Jones, Kearney, Obhof, Patton, Sawyer, Schiavoni, Seitz, Turner, Wagoner 



A BILL
To amend sections 3311.05, 3311.0510, 3313.376, 1
3313.843, 3317.11, 3318.60, 3319.07, 3326.45, 2
3328.01, 3328.02, 3328.12, 3328.13, 3328.14, 3
3328.15, 3328.23, 3328.24, 3328.34, 3328.36, and 4
3328.41 and to enact sections 3318.61 and 3319.80 5
of the Revised Code to authorize educational 6
service centers to provide teacher professional 7
development on dyslexia, to make changes regarding 8
the relationship between educational service 9
centers and their client school districts, to make 10
changes to the operation of public 11
college-preparatory boarding schools and the 12
College-Preparatory Boarding School Facilities 13
Program, and to declare an emergency.14


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

       Section 1.  That sections 3311.05, 3311.0510, 3313.376, 15
3313.843, 3317.11, 3318.60, 3319.07, 3326.45, 3328.01, 3328.02, 16
3328.12, 3328.13, 3328.14, 3328.15, 3328.23, 3328.24, 3328.34, 17
3328.36, and 3328.41 be amended and sections 3318.61 and 3319.80 18
of the Revised Code be enacted to read as follows:19

       Sec. 3311.05.  (A) The territory within the territorial 20
limits of a county, or the territory included in a district formed 21
under section 3311.053 of the Revised Code, exclusive of the 22
territory embraced in any city school district or exempted village 23
school district, and excluding the territory detached therefrom 24
for school purposes and including the territory attached thereto 25
for school purposes constitutes an educational service center. If 26
the educational service center in which the territory of a local 27
school district is located is dissolved under section 3311.0510 of 28
the Revised Code, the territory of that local school district 29
shall not constitute part of any educational service center.30

       (B) A county school financing district created under section 31
3311.50 of the Revised Code is not the school district described 32
in division (A) of this section or any other school district but 33
is a taxing district.34

       Sec. 3311.0510.  (A) If all of the localclient school 35
districts that make up the territory of an educational service 36
center have severed from the territory of thatterminated their 37
agreements with the service center under division (D) of section 38
3313.843 of the Revised Code, upon the latest effective date of 39
the severance of the last remaining local school district to make 40
up the territory of the service centerterminations, the governing 41
board of that service center shall be abolished and such service 42
center shall be dissolved by order of the superintendent of public 43
instruction. The superintendent's order shall provide for the 44
equitable division and disposition of the assets, property, debts, 45
and obligations of the service center among the local school 46
districts, of which the territory of the service center is or 47
previously was made up, and the city and exempted village school 48
districts with which the service center had agreements under 49
section 3313.843 of the Revised Codethat were client school 50
districts of the service center for the service center's last 51
fiscal year of operation. The superintendent's order shall provide 52
that the tax duplicate of each of those school districts shall be 53
bound for and assume the district's equitable share of the 54
outstanding indebtedness of the service center. The 55
superintendent's order is final and is not appealable.56

       Immediately upon the abolishment of the service center 57
governing board pursuant to this section, the superintendent of 58
public instruction shall appoint a qualified individual to 59
administer the dissolution of the service center and to implement 60
the terms of the superintendent's dissolution order.61

        Prior to distributing assets to any school district under 62
this section, but after paying in full other debts and obligations 63
of the service center under this section, the superintendent of 64
public instruction may assess against the remaining assets of the 65
service center the amount of the costs incurred by the department 66
of education in performing the superintendent's duties under this 67
division, including the fees, if any, owed to the individual 68
appointed to administer the superintendent's dissolution order. 69
Any excess cost incurred by the department under this division 70
shall be divided equitably among the local school districts, of 71
which the territory of the service center is or previously was 72
made up, and the city and exempted village school districts with 73
which the service center had agreements under section 3313.843 of 74
the Revised Codethat were client school districts of the service 75
center for the service center's last fiscal year of operation. 76
Each district's share of that excess cost shall be bound against 77
the tax duplicate of that district.78

       (B) A final audit of the former service center shall be 79
performed in accordance with procedures established by the auditor 80
of state.81

       (C) The public records of an educational service center that 82
is dissolved under this section shall be transferred in accordance 83
with this division. Public records maintained by the service 84
center in connection with services provided by the service center 85
to local school districts of which the territory of the service 86
center is or previously was made up shall be transferred to each 87
of the respective local school districts. Public records 88
maintained by the service center in connection with services 89
provided under an agreement with a city or exempted village school 90
district pursuant to section 3313.843 of the Revised Codeto 91
client school districts shall be transferred to each of the 92
respective city or exempted villageclient school districts. All 93
other public records maintained by the service center at the time 94
the service center ceases operations shall be transferred to the 95
Ohio historical society for analysis and disposition by the 96
society in its capacity as archives administrator for the state 97
and its political subdivisions pursuant to division (C) of section 98
149.30 and section 149.31 of the Revised Code.99

       (D) As used in this section, "client school district" has the 100
same meaning as in section 3317.11 of the Revised Code.101

       Sec. 3313.376.  As used in this section, "client school102
district" means a city or exempted village school district that 103
has entered into an agreement with an educational service center 104
pursuant tohas the same meaning as in section 3313.8433317.11 of 105
the Revised Code.106

       For the purpose of obtaining quantity discounts in purchasing 107
textbooks; computer equipment, including computer software; school 108
buses; and natural gas, electricity, and other utility services, 109
the governing boards of two or more educational service centers 110
may enter into agreements, including installment purchase and 111
lease-purchase contracts, to jointly purchase such commodities to 112
be utilized by local school districts, or by client school113
districts, being served byof the educational service centers.114

       Sec. 3313.843.  (A) Notwithstanding division (D) of section 115
3311.52 of the Revised Code, this section does not apply to any 116
cooperative education school district.117

       (B)(1) The board of education of each city, exempted village, 118
or local school district with an average daily student enrollment 119
of sixteen thousand or less, reported for the district on the most 120
recent report card issued under section 3302.03 of the Revised 121
Code, shall enter into an agreement with the governing board of an 122
educational service center, under which the educational service 123
center governing board will provide services to the district.124

       (2) The board of education of a city, exempted village, or 125
local school district with an average daily student enrollment of 126
more than sixteen thousand may enter into an agreement with the 127
governing board of an educational service center, under which the 128
educational service center governing board will provide services 129
to the district.130

       (3) Services provided under an agreement entered into under 131
division (B)(1) or (2) of this section shall be specified in the 132
agreement, and may include any of the following: supervisory 133
teachers; in-service and continuing education programs for 134
district personnel; curriculum services; research and development 135
programs; academic instruction for which the governing board 136
employs teachers pursuant to section 3319.02 of the Revised Code; 137
assistance in the provision of special accommodations and classes 138
for students with disabilities; or any other services the district 139
board and service center governing board agree can be better 140
provided by the service center and are not provided under an 141
agreement entered into under section 3313.845 of the Revised Code. 142
Services included in the agreement shall be provided to the 143
district in the manner specified in the agreement. The district 144
board of education shall reimburse the educational service center 145
governing board pursuant to section 3317.11 of the Revised Code.146

       (C) Any agreement entered into pursuant to this section shall 147
be filed with the department of education by the first day of July 148
of the school year for which the agreement is in effect.149

       (D)(1) An agreement for services from an educational service 150
center entered into under this section may be terminated by the 151
school district board of education, at its option, by notifying 152
the governing board of the service center by JanuaryMarch 1, 153
2012, or by the first day of January of any odd-numbered year 154
thereafter, that the district board intends to terminate the 155
agreement in that year, and that termination shall be effective on 156
the thirtieth day of June of that year. The failure of a district 157
board to notify an educational service center of its intent to 158
terminate an agreement by March 1, 2012, shall result in renewal 159
of the existing agreement for the following school year. 160
Thereafter, the failure of a district board to notify an 161
educational service center of its intent to terminate an agreement 162
by the first day of January of an odd-numbered year shall result 163
in renewal of the existing agreement for the following two school 164
years.165

       (2) If the school district that terminates an agreement for 166
services under division (D)(1) of this section is also subject to 167
the requirement of division (B)(1) of this section, the district 168
board shall enter into a new agreement with a different 169
educational service center so that the new agreement is effective 170
on the first day of July of that same year.171

       Sec. 3317.11.  (A) As used in this section:172

       (1) "Client school district" means a city or, exempted 173
village, or local school district that has entered into an 174
agreement under section 3313.843 of the Revised Code to receive 175
any services from an educational service center.176

       (2) "Service center ADM" means the sum of the total student 177
counts of all local school districts withinof an educational 178
service center's territory and all of the service center's client 179
school districts.180

       (3) "STEM school" means a science, technology, engineering, 181
and mathematics school established under Chapter 3326. of the 182
Revised Code.183

       (4) "Total student count" has the same meaning as in section 184
3301.011 of the Revised Code.185

       (B)(1) The governing board of each educational service center 186
shall provide supervisory services to each localof its client187
school district within the service center's territory. Each city 188
or exempted village school district that enters into an agreement 189
under section 3313.843 of the Revised Code for a governing board 190
to provide any services also is considered to be provided 191
supervisory services by the governing boarddistricts. Except as 192
provided in division (B)(2) of this section, the supervisory 193
services shall not exceed one supervisory teacher for the first 194
fifty classroom teachers required to be employed in the districts, 195
as calculated in the manner prescribed under former division (B) 196
of section 3317.023 of the Revised Code, as that division existed 197
prior to the effective date of this amendmentJune 30, 2011, and 198
one for each additional one hundred required classroom teachers, 199
as so calculated.200

       The supervisory services shall be financed annually through 201
supervisory units. Except as provided in division (B)(2) of this 202
section, the number of supervisory units assigned to each district 203
shall not exceed one unit for the first fifty classroom teachers 204
required to be employed in the district, as calculated in the 205
manner prescribed under former division (B) of section 3317.023 of 206
the Revised Code, as that division existed prior to the effective 207
date of this amendmentJune 30, 2011, and one for each additional 208
one hundred required classroom teachers, as so calculated. The 209
cost of each supervisory unit shall be the sum of:210

       (a) The minimum salary prescribed by section 3317.13 of the 211
Revised Code for the licensed supervisory employee of the 212
governing board;213

       (b) An amount equal to fifteen per cent of that salary;214

       (c) An allowance for necessary travel expenses, limited to 215
the lesser of two hundred twenty-three dollars and sixteen cents 216
per month or two thousand six hundred seventy-eight dollars per 217
year.218

       (2) If a majority of the boards of education, or 219
superintendents acting on behalf of the boards, of the local and220
client school districts receiving services from the educational 221
service center agree to receive additional supervisory services 222
and to pay the cost of a corresponding number of supervisory units 223
in excess of the services and units specified in division (B)(1) 224
of this section, the service center shall provide the additional 225
services as agreed to by the majority of districts to, and the 226
department of education shall apportion the cost of the 227
corresponding number of additional supervisory units pursuant to 228
division (B)(3) of this section among, all of the service center's 229
local and client school districts.230

       (3) The department shall apportion the total cost for all 231
supervisory units among the service center's local and client 232
school districts based on each district's total student count. The 233
department shall deduct each district's apportioned share pursuant 234
to division (B) of section 3317.023 of the Revised Code and pay 235
the apportioned share to the service center.236

       (C) The department annually shall deduct from each local and237
client school district of each educational service center, 238
pursuant to division (B) of section 3317.023 of the Revised Code, 239
and pay to the service center an amount equal to six dollars and 240
fifty cents times the school district's total student count. The 241
board of education, or the superintendent acting on behalf of the 242
board, of any local or client school district may agree to pay an 243
amount in excess of six dollars and fifty cents per student in 244
total student count. If a majority of the boards of education, or 245
superintendents acting on behalf of the boards, of the local246
service center's client school districts within a service center's 247
territory approve an amount in excess of six dollars and fifty 248
cents per student in total student count, the department shall 249
deduct the approved excess per student amount from all of the 250
localservice center's client school districts within the service 251
center's territory and pay the excess amount to the service 252
center.253

       (D) The department shall pay each educational service center 254
the amounts due to it from school districts pursuant to contracts, 255
compacts, or agreements under which the service center furnishes 256
services to the districts or their students. In order to receive 257
payment under this division, an educational service center shall 258
furnish either a copy of the contract, compact, or agreement 259
clearly indicating the amounts of the payments, or a written 260
statement that clearly indicates the payments owed and is signed 261
by the superintendent or treasurer of the responsible school 262
district. The amounts paid to service centers under this division 263
shall be deducted from payments to school districts pursuant to 264
division (H)(3) of section 3317.023 of the Revised Code.265

       (E) Each school district's deduction under this section and 266
divisions (B) and (H)(3) of section 3317.023 of the Revised Code 267
shall be made from the total payment computed for the district 268
under this chapter, after making any other adjustments in that 269
payment required by law.270

       (F)(1) Except as provided in division (F)(2) of this section, 271
the department annually shall pay the governing board of each 272
educational service center state funds equal to thirty-seven 273
dollars times its service center ADM.274

       (2) The department annually shall pay state funds equal to 275
forty dollars and fifty-two cents times the service center ADM to 276
each educational service center comprising territory that was 277
included in the territory of at least three former service centers 278
or county school districts, which former centers or districts 279
engaged in one or more mergers under section 3311.053 of the 280
Revised Code to form the present center.281

       (G) Each city, exempted village, local, joint vocational, or 282
cooperative education school district shall pay to the governing 283
board of an educational service center any amounts agreed to for 284
each child enrolled in the district who receives special education 285
and related services or career-technical education from the 286
educational service center, unless these educational services are 287
provided pursuant to a contract, compact, or agreement for which 288
the department deducts and transfers payments under division (D) 289
of this section and division (H)(3) of section 3317.023 of the 290
Revised Code. 291

       (H) The department annually shall pay the governing board of 292
each educational service center that has entered into a contract 293
with a STEM school for the provision of services described in 294
division (B) of section 3326.45 of the Revised Code state funds 295
equal to the per-pupil amount specified in the contract for the 296
provision of those services times the number of students enrolled 297
in the STEM school.298

       (I) An educational service center:299

       (1) May provide special education and career-technical 300
education to students in its local or client school districts;301

       (2) Is eligible for transportation funding under division (C) 302
of section 3317.024 of the Revised Code; 303

       (3) May apply for and receive gifted education units and 304
provide gifted education services to students in its local or305
client school districts; 306

       (4) May conduct driver education for high school students in 307
accordance with Chapter 4508. of the Revised Code.308

       Sec. 3318.60. (A) As used in this section and section 3318.61 309
of the Revised Code:310

        (1) "Acquisition of classroom facilities" means constructing, 311
reconstructing, repairing, or making additions to classroom 312
facilities.313

        (2) "Ohio school facilities commission" and "classroom 314
facilities" have the same meanings as in section 3318.01 of the 315
Revised Code.316

        (B) There is hereby established the college-preparatory 317
boarding school facilities program. Under the program, the Ohio 318
school facilities commission shall provide assistance to the 319
boards of trustees of college-preparatory boarding schools 320
established under Chapter 3328. of the Revised Code for the 321
acquisition of classroom facilities.322

        (C) To be eligible for assistance under this program, a board 323
of trustees shall secure at least twenty million dollars of 324
private money to satisfy its share of facilities acquisition. A 325
board of trustees that receives assistance under the program shall 326
fund the acquisition of residential facilities and any other 327
facilities other than classroom facilities through private means.328

       (D) The lease payments made by the boards of trustees of 329
college-preparatory boarding schools receiving assistance under 330
the program shall be deposited into the state treasury and 331
credited to the common schools capital facilities bond service 332
fund created in section 151.03 of the Revised Code.333

       (E) The acquisition of classroom facilities with assistance 334
provided under theThe program shall not be subject tocomply with335
sections 3318.01 to 3318.20 of the Revised Code, except as 336
follows:337

       (1) The commission, in consultation with the board of 338
trustees of a college-preparatory boarding school, shall determine 339
the basic project cost based on all campus facilities needed for 340
the school's programs and operations and shall take into account 341
any unique spaces or square footages needed for such facilities 342
when calculating the basic project cost. Regardless of the 343
inclusion of nonclassroom facilities in the calculation of the 344
basic project cost, state funds provided under the program shall 345
be used only to pay for the acquisition of classroom facilities 346
that do not exceed the construction and design standards 347
established by the commission.348

       (2) To be eligible for assistance under the program, the 349
board of trustees of a college-preparatory boarding school shall 350
secure at least twenty million dollars of private money to satisfy 351
its share of the basic project cost. Funds provided by the board 352
may be used for any type of facility.353

       (3) A college-preparatory boarding school shall not be 354
included in the ranking required by section 3318.011 of the 355
Revised Code. The commission shall initiate procedures for the 356
school's project when the contract required by section 3328.12 of 357
the Revised Code has been executed.358

       (4) No requirement related to the issuance of bonds or 359
securities or the levying of taxes by a school district shall 360
apply to a college-preparatory boarding school or its board of 361
trustees.362

       (5) The agreement entered into by the commission with the 363
board of trustees of a college-preparatory boarding school under 364
section 3318.08 of the Revised Code shall provide for termination 365
of the contract and release of the funds encumbered at the time of 366
the project's conditional approval, if the board fails to secure 367
the amount specified in division (C)(2) of this section within 368
such period after the execution of the agreement as may be fixed 369
by the commission.370

        (F)(D) Within the ninety-day period immediately following the 371
effective date of this section, the commission shall adopt rules 372
necessary for the implementation and administration of the 373
program.374

       Sec. 3318.61.  (A) In lieu of participating in the 375
college-preparatory boarding school facilities program under 376
section 3318.60 of the Revised Code, if the board of trustees of a 377
college-preparatory boarding school established under Chapter 378
3328. of the Revised Code has leased, purchased, or otherwise 379
acquired a site for the school, the board of trustees may request 380
approval from the Ohio school facilities commission for the board 381
of trustees and the commission to enter into an agreement with a 382
person or entity for the development of the site, under which 383
agreement all of the following shall occur:384

       (1) The board of trustees will lease the site and any 385
facilities located on that site to the person or entity for the 386
purpose of enabling the person or entity to provide the campus 387
facilities needed for the school's programs and operations by 388
constructing new facilities on the site; reconstructing, 389
repairing, or making additions to the existing facilities on the 390
site; or both.391

       (2) The person or entity will lease the site and any new or 392
existing facilities located on that site back to the board of 393
trustees for use by the school.394

       (3) The commission will pay the board of trustees state funds 395
for the cost of acquisition of classroom facilities on the site 396
and the board of trustees will use those funds to make rent 397
payments on the lease provided by the person or entity. As agreed 398
to by the commission and the board of trustees, the commission may 399
pay the state funds to the board of trustees in periodic 400
installments or as one lump sum in an amount equal to the 401
outstanding balance on the lease for classroom facilities.402

       (B) The commission shall approve the request of the board of 403
trustees under division (A) of this section only if the following 404
conditions are satisfied:405

       (1) The person or entity that would be party to the agreement 406
submits to the board of trustees and the commission a plan for 407
developing the site that includes the following:408

       (a) Provision for installation of site utilities that meet 409
the requirements of all applicable laws;410

       (b) A description of the facilities that will be constructed, 411
reconstructed, repaired, or added to and their total square 412
footage;413

       (c) A description of how the facilities will enable the board 414
of trustees to provide the educational program described in 415
section 3328.22 of the Revised Code;416

       (d) Provision for securing property and liability insurance 417
for the facilities;418

       (e) A description of how the development of the site will be 419
financed by the person or entity;420

       (f) The length of the lease that the person or entity will 421
offer the board of trustees, which shall not exceed forty years, 422
and the monthly rent that will be owed to the person or entity for 423
that lease.424

       (2) The commission determines that the plan submitted under 425
division (B)(1) of this section is satisfactory and will meet the 426
needs of the students enrolled in the school and that the 427
classroom facilities described in the plan do not exceed the 428
construction and design standards established by the commission.429

       (3) The person or entity that would be party to the agreement 430
has demonstrated financial responsibility to the satisfaction of 431
the commission.432

       (4) The commission, in consultation with the board of 433
trustees, determines that it is in the best interest of the school 434
for the board of trustees and the commission to enter into the 435
agreement.436

       (C) Upon approval of the commission, the board of trustees 437
and the commission may enter into an agreement with the person or 438
entity for development of the site in accordance with this 439
section. The agreement shall include the following:440

       (1) A requirement that development of the site begin not 441
later than eighteen months after the agreement is executed and 442
proceed according to a schedule specified in the agreement;443

       (2) A stipulation that failure of the person or entity 444
developing the site to comply with the schedule shall be grounds 445
for termination of the agreement;446

       (3) A provision specifying which party to the agreement owns 447
the facilities located on the site if the school closes prior to 448
the expiration of the agreement and a provision indicating the 449
period of time after the school's closure, if any, during which 450
rent payments will continue to be paid to the person or entity 451
developing the site.452

       Sec. 3319.07.  (A) The board of education of each city, 453
exempted village, local, and joint vocational school district 454
shall employ the teachers of the public schools of their 455
respective districts.456

       The governing board of each educational service center may 457
employ special instruction teachers, special education teachers, 458
and teachers of academic courses in which there are too few 459
students in each of the constituent local school districts or in 460
city or exempted village school districts entering into agreements 461
pursuant to section 3313.843 of the Revised Code to warrant each 462
district's employing teachers for those courses.463

       When any board makes appointments of teachers, the teachers 464
in the employ of the board shall be considered before new teachers 465
are chosen in their stead. In all school districts and in service 466
centers no teacher shall be employed unless such person is 467
nominated by the superintendent of such district or center. Such 468
board, by a three-fourths vote of its full membership, may 469
re-employ any teacher whom the superintendent refuses to appoint.470

       (B) The board of education of any school district may 471
contract with the governing board of the educational service 472
center from which it otherwise receives services to conduct 473
searches and recruitment of candidates for teacher positions. 474

       Sec. 3319.80. (A) The governing board of any educational 475
service center may engage the services of a dyslexia specialist to 476
provide training for teachers of grades kindergarten to four on 477
the indicators of dyslexia and the types of instruction that 478
children with dyslexia need to learn, read, write, and spell. If a 479
service center provides this training, it shall make the training 480
available to local school districts within the service center's 481
territory and to other school districts, community schools, and 482
STEM schools that have contracted for the training from the 483
service center under section 3313.843, 3313.844, 3313.845, or 484
3326.45 of the Revised Code.485

       If a governing board of any educational service center does 486
not provide the training, a group of local school districts within 487
the service center's territory may engage the services of a 488
dyslexia specialist to provide training for teachers 489
independently.490

        A school district or school may require the training 491
authorized under this section for its teachers as part of the 492
district's or school's regular in-service training programs.493

       (B) As used in this section:494

       (1) "Dyslexia" means a specific learning disorder that is 495
neurological in origin and that is characterized by unexpected 496
difficulties with accurate or fluent word recognition and by poor 497
spelling and decoding abilities not consistent with the person's 498
intelligence, motivation, and sensory capabilities, which 499
difficulties typically result from a deficit in the phonological 500
component of language.501

       (2) "Dyslexia specialist" means a person who is trained and 502
certified in a multisensory structured language program that meets 503
the level II specialist criteria set by the international dyslexia 504
association's knowledge and practice standards or standards from 505
any other nationally recognized organization that specializes in 506
issues surrounding dyslexia, or any subsequently adopted 507
standards.508

       Sec. 3326.45. (A) The governing body of a science, 509
technology, engineering, and mathematics school may contract with 510
the governing board of an educational service center or the board 511
of education of a joint vocational school district for the 512
provision of services to the STEM school or to any student 513
enrolled in the school. Services provided under the contract and 514
the amount to be paid for those services shall be mutually agreed 515
to by the parties to the contract, and shall be specified in the 516
contract.517

       (B) A contract entered into under this section may require an 518
educational service center to provide any one or a combination of 519
the following services to a STEM school:520

       (1) Supervisory teachers;521

       (2) In-service and continuing education programs for 522
personnel of the STEM school;523

       (3) Curriculum services as provided to the localclient524
school districts under the supervision of the service center;525

       (4) Research and development programs;526

       (5) Academic instruction for which the service center 527
governing board employs teachers;528

       (6) Assistance in the provision of special accommodations and 529
classes for students with disabilities.530

       Services described in division (B) of this section shall be 531
provided to the STEM school in the same manner they are provided 532
to localclient school districts underof the service center's 533
supervisioncenter, unless otherwise specified in the contract. 534
The contract shall specify whether the service center will receive 535
a per-pupil payment from the department of education for the 536
provision of these services and, if so, the amount of the 537
per-pupil payment, which shall not exceed the per-pupil amount 538
paid to the service center under division (F) of section 3317.11 539
of the Revised Code for each student in the service center ADM.540

       (C) For each contract entered into under this section, the 541
department shall deduct the amount owed by the STEM school from 542
the state funds due to the STEM school under this chapter and 543
shall pay that amount to the educational service center or joint 544
vocational school district that is party to the contract. In the 545
case of a contract with an educational service center that 546
specifies per-pupil payments for the provision of services 547
described in division (B) of this section, the department also 548
shall pay the service center the amount calculated under division 549
(H) of section 3317.11 of the Revised Code.550

       (D) No contract entered into under this section shall be 551
valid unless a copy is filed with the department by the first day 552
of the school year for which the contract is in effect.553

       (E) As used in this section, "client school district" has the 554
same meaning as in section 3317.11 of the Revised Code.555

       Sec. 3328.01.  As used in this chapter:556

       (A) "Board of trustees" means the board of trustees 557
established for a college-preparatory boarding school in 558
accordance with section 3328.15 of the Revised Code.559

        (B) "Child with a disability," "IEP," and "school district of 560
residence" have the same meanings as in section 3323.01 of the 561
Revised Code.562

       (B)(C) "Eligible student" means a student who is entitled to 563
attend school in a participating school district; is at risk of 564
academic failure; is from a family whose income is below two 565
hundred per cent of the federal poverty guidelines, as defined in 566
section 5101.46 of the Revised Code; meets any additional criteria 567
prescribed by agreement between the state board of education and 568
the operator of the college-preparatory boarding school in which 569
the student seeks enrollment; and meets at least two of the 570
following additional conditions:571

       (1) The student has a record of in-school disciplinary 572
actions, suspensions, expulsions, or truancy.573

       (2) The student has not attained at least a proficient score 574
on the state achievement assessments in English language arts, 575
reading, or mathematics prescribed under section 3301.0710 of the 576
Revised Code, after those assessments have been administered to 577
the student at least once, or the student has not attained at 578
least a score designated by the board of trustees of the 579
college-preparatory boarding school in which the student seeks 580
enrollment under this chapter on an end-of-course examination in 581
English language arts or mathematics prescribed under section 582
3301.0712 of the Revised Code.583

       (3) The student is a child with a disability.584

       (4) The student has been referred for academic intervention 585
services.586

       (5) The student's head of household is a single parent. As 587
used in this division and in division (B)(C)(6) of this section, 588
"head of household" means a person who occupies the same household 589
as the student and who is financially responsible for the student.590

       (6) The student's head of household is not the student's 591
custodial parent.592

       (7) A member of the student's family has been imprisoned, as 593
defined in section 1.05 of the Revised Code.594

       (C)(D) "Entitled to attend school" means entitled to attend 595
school in a school district under section 3313.64 or 3313.65 of 596
the Revised Code.597

       (D)(E) "Formula ADM," and "category one through six special 598
education ADM," and "state education aid" have the same meanings 599
as in section 3306.023317.02 of the Revised Code.600

       (E)(F) "Operator" means the operator of a college-preparatory 601
boarding school selected under section 3328.11 of the Revised 602
Code.603

       (F)(G) "Participating school district" means either of the 604
following: 605

       (1) The school district in which a college-preparatory 606
boarding school established under this chapter is located;607

       (2) A school district other than one described in division 608
(F)(G)(1) of this section that, pursuant to procedures adopted by 609
the state board of education under section 3328.04 of the Revised 610
Code, agrees to be a participating school district so that 611
eligible students entitled to attend school in that district may 612
enroll in a college-preparatory boarding school established under 613
this chapter.614

       (G) "State education aid" has the same meaning as in section 615
3317.02 of the Revised Code.616

       Sec. 3328.02. (A) Each college-preparatory boarding school 617
established under this chapter is a public school and is part of 618
the state's program of education, subject to a charter granted by 619
the state board of education under section 3301.16 of the Revised 620
Code.621

        (B) Acting through its board of trustees, the school may sue 622
and be sued, acquire facilities as needed, contract for any 623
services necessary for the operation of the school, and enter into 624
contracts with the department of education pursuant to this 625
chapter. The board of trustees may carry out any act and ensure 626
the performance of any function that is in compliance with the 627
Ohio Constitution, this chapter, other statutes applicable to 628
college-preparatory boarding schools, and the contract entered 629
into under this chapter establishing the school.630

       Sec. 3328.12.  The state board of education shall enter into 631
a contract with the operator of each college-preparatory boarding 632
school established under this chapter. The contract shall 633
stipulate the following:634

       (A) The school may operate only if and to the extent the 635
school holds a valid charter granted by the state board under 636
section 3301.16 of the Revised Code.637

       (B) The operatorschool's board of trustees shall oversee the 638
acquisition of a facility for the school.639

       (C)(B) The operator shall operate the school in accordance 640
with the terms of the proposal accepted by the state board under 641
section 3328.11 of the Revised Code, including the plan for 642
increasing the grade levels offered by the school.643

       (D)(C) The school shall comply with the provisions of this 644
chapter.645

       (E)(D) The school shall comply with any other provisions of 646
law specified in the contract, the charter granted by the state 647
board, and the rules adopted by the state board under section 648
3328.50 of the Revised Code.649

       (F)(E) The school shall comply with the bylaws adopted by the 650
operatorboard of trustees under section 3328.13 of the Revised 651
Code.652

       (G)(F) The school shall meet the academic goals and other 653
performance standards specified in the contract. 654

       (H)(G) The school shall have a fiscal officer who meets 655
standards established for the purposes of this division by the 656
state board.657

        (H) In accordance with procedures specified in the contract, 658
the department of education shall monitor the operation, programs, 659
and facilities of the school, including conducting on-site visits 660
of the school.661

        (I) The department may take actions, as specified in the 662
contract, to resolve issues of noncompliance by the school of the 663
provisions of this chapter, the contract, the bylaws adopted by 664
the board of trustees, or rules adopted by the state board. Such 665
specified actions shall include procedures for notice of 666
noncompliance and appeal to the state board of the decisions of 667
the department.668

        (J) The state board or the operator may terminate the 669
contract in accordance with the procedures specified in the 670
contract, which shall include at least a requirement that the 671
party seeking termination give prior notice of the intent to 672
terminate the contract and a requirement that the party receiving 673
such notice be granted an opportunity to redress any grievances 674
cited in the notice prior to the termination.675

       (I)(K) If the school closes for any reason, the school's 676
board of trustees shall execute the closing in the manner 677
specified in the contract.678

       Sec. 3328.13. Each operatorThe board of trustees of aeach679
college-preparatory boarding school established under this chapter 680
shall adopt bylaws for the oversight and operation of the school 681
that are consistent with the provisions of this chapter, the rules 682
adopted under section 3328.50 of the Revised Code, and the 683
contract between the operator and the state board of education, 684
and the charter granted to the school by the state board. The 685
bylaws shall include procedures for the appointment of future686
members of the school's board of trustees upon expiration of the 687
terms of the initial members, whose terms of office shall be as 688
prescribed inwhich procedures shall comply with section 3328.15 689
of the Revised Code. The bylaws also shall include standards for 690
the admission of students to the school and their dismissal from 691
the school. The bylaws shall be subject to the approval of the 692
state board.693

       Sec. 3328.14. Each operatorThe board of trustees of a 694
college-preparatory boarding school established under this chapter 695
shall adopt a program of outreach to inform every city, local, and 696
exempted village school district about the school and the 697
procedures for admission to the school and for becoming a 698
participating school district.699

       Sec. 3328.15.  (A) Each college-preparatory boarding school 700
established under this chapter shall be governed by a board of 701
trustees consisting of up to twenty-five members. Five of those 702
members shall be appointed by the governor, with the advice and 703
consent of the senate. The governor's appointments may be based on 704
nonbinding recommendations made by the superintendent of public 705
instruction. TheOf the remaining members, initial members shall 706
be appointed by the school's operator and future members shall be 707
appointed pursuant to the bylaws adopted under section 3328.13 of 708
the Revised Code.709

       (B) The terms of office of the initial members shall be as 710
follows:711

       (1) Two members appointed by the governor shall serve for an 712
initial term of three years.713

       (2) Two members appointed by the governor shall serve for an 714
initial term of two years.715

       (3) One member appointed by the governor shall serve for an 716
initial term of one year.717

       (4) One-third of the members appointed pursuant toby the 718
bylawsoperator, rounded down to the nearest whole number, shall 719
serve for an initial term of three years.720

       (5) One-third of the members appointed pursuant toby the 721
bylawsoperator, rounded down to the nearest whole number, shall 722
serve for an initial term of two years.723

       (6) One-third of the members appointed pursuant toby the 724
bylawsoperator, rounded down to the nearest whole number, shall 725
serve for an initial term of one year.726

       (7) Any remaining members appointed pursuant toby the bylaws727
operator shall serve for an initial term of one year.728

       Thereafter the terms of office of all members shall be for 729
three years.730

       The beginning date and ending date of terms of office shall 731
be as prescribed by the school's operator, unless modified in the 732
bylaws adopted under section 3328.13 of the Revised Code.733

       (C) Vacancies on the board shall be filled in the same manner 734
as the initial appointments. A member appointed to an unexpired 735
term shall serve for the remainder of that term and may be 736
reappointed subject to division (D) of this section.737

       (D) No member may serve for more than three consecutive 738
three-year terms.739

       (E) The officers of the board shall be selected by and from 740
among the members of the board.741

       (F) Compensation for the members of the board, if any, shall 742
be as prescribed in the bylaws adopted under section 3328.13 of 743
the Revised Code.744

       Sec. 3328.23.  (A) A college-preparatory boarding school 745
established under this chapter and the school's operator shall 746
comply with Chapter 3323. of the Revised Code as if the school 747
were a school district. For each child with a disability enrolled 748
in the school for whom an IEP has been developed, the school and 749
its operator shall verify in the manner prescribed by the 750
department of education that the school is providing the services 751
required under the child's IEP.752

       (B) The school district in which a child with a disability 753
enrolled in the college-preparatory boarding school is entitled to 754
attend school and the child's school district of residence, if 755
different, are not obligated to provide the student with a free 756
appropriate public education under Chapter 3323. of the Revised 757
Code for as long as the child is enrolled in the 758
college-preparatory boarding school.759

       Sec. 3328.24. A college-preparatory boarding school 760
established under this chapter, its operator, and its board of 761
trustees shall comply with sections 3301.0710, 3301.0711, 762
3301.0712, 3301.0714, 3319.39, and 3319.391 of the Revised Code as 763
if the school and the operator were a school district and the 764
school's board of trustees were a district board of education.765

       Sec. 3328.34.  (A) For each child enrolled in a 766
college-preparatory boarding school, as reported under section 767
3328.31 of the Revised Code, the department of education shall pay 768
to the school the sum of the amount deducted from a participating 769
school district's account for that child under section 3328.33 of 770
the Revised Code plus the per-pupil boarding amount specified in 771
division (B) of this section.772

       (B) For the first fiscal year in which a college-preparatory 773
boarding school may be established under this chapter, the 774
"per-pupil boarding amount" is twenty-five thousand dollars. For 775
each fiscal year thereafter, that amount shall be adjusted by the 776
rate of inflation, as measured by the consumer price index (all 777
urban consumers, all items) prepared by the bureau of labor 778
statistics of the United States department of labor, for the 779
previous twelve-month period.780

       (C) The state board of education may accept funds from 781
federal and state noneducation support services programs for the 782
purpose of funding the per pupil boarding amount prescribed in 783
division (B) of this section. Notwithstanding any other provision 784
of the Revised Code, the state board shall coordinate and 785
streamline any noneducation program requirements in order to 786
eliminate redundant or conflicting requirements, licensing 787
provisions, and oversight by government programs or agencies. The 788
applicable regulatory entities shall, to the maximum extent 789
possible, use independent reports and financial audits provided by 790
the operatorauditor of state and coordinated by the department of 791
education to eliminate or reduce contract and administrative 792
reviews. Regulatory entities other than the state board may 793
suggest reasonable additional items to be included in such 794
independent reports and financial audits to meet any requirements 795
of federal law. Reporting paperwork prepared for the state board 796
shall be shared with and accepted by other state and local 797
entities to the maximum extent feasible.798

       (D)(1) Notwithstanding division (A) of this section, if, in 799
any fiscal year, the operator of a college-preparatory boarding 800
school receives federal funds for the purpose of supporting the 801
school's operations, the amount of those federal funds shall be 802
deducted from the total per-pupil boarding amount for all enrolled 803
students paid by the department to the school for that fiscal 804
year, unless the operatorschool's board of trustees and the 805
department determine otherwise in a written agreement. Any portion 806
of the total per-pupil boarding amount for all enrolled students 807
remaining after the deduction of the federal funds shall be paid 808
by the department to the school from state funds appropriated to 809
the department.810

       (2) Notwithstanding division (A) of this section, if, in any 811
fiscal year, the department receives federal funds for the purpose 812
of supporting the operations of a college-preparatory boarding 813
school, the department shall use those federal funds first, not 814
including any portion of those funds designated for 815
administration, to pay the school the total per-pupil boarding 816
amount for all enrolled students for that fiscal year. Any portion 817
of the total per-pupil boarding amount for all enrolled students 818
remaining after the use of the federal funds shall be paid by the 819
department to the school from state funds appropriated to the 820
department.821

       (3) If any federal funds are used for the purpose prescribed 822
in division (D)(1) or (2) of this section, the department shall 823
comply with all requirements upon which the acceptance of the 824
federal funds is conditioned, including any requirements set forth 825
in the funding application submitted by the operatorschool or the 826
department and, to the extent sufficient funds are appropriated by 827
the general assembly, any requirements regarding maintenance of 828
effort in expenditures.829

       Sec. 3328.36.  A college-preparatory boarding school 830
established under this chapter shall be considered a school 831
district and its board of trustees, on behalf of the school's 832
operator, shall be considered a board of education for the purpose 833
of applying to any state or federal agency for grants that a 834
school district or public school may receive under federal or 835
state law or any appropriations act of the general assembly. The 836
college-preparatory boarding school and its operator may apply to 837
any private entity to receive and accept funds.838

       Sec. 3328.41. (A) Each participating school district shall 839
be responsible for providing transportation on a weekly basis for 840
each student enrolled in a college-preparatory boarding school 841
established under this chapter who is entitled to attend school in 842
the district to and from that college-preparatory boarding school.843

       The district may provide the transportation itself, contract 844
with another entity to provide the transportation, or enter into 845
an agreement with the board of trustees of the college-preparatory 846
boarding school under which the board will provide the 847
transportation and the district will pay the board an amount 848
specified in the agreement for that provision.849

       (B) Transportation provided under this section is subject to 850
all provisions of the Revised Code, and all rules adopted under 851
the Revised Code, pertaining to the construction, design, 852
equipment, and operation of school buses and other vehicles 853
transporting students to and from school. The drivers and 854
mechanics of the vehicles are subject to all provisions of the 855
Revised Code, and all rules adopted under the Revised Code, 856
pertaining to drivers and mechanics of such vehicles.857

       Section 2.  That existing sections 3311.05, 3311.0510, 858
3313.376, 3313.843, 3317.11, 3318.60, 3319.07, 3326.45, 3328.01, 859
3328.02, 3328.12, 3328.13, 3328.14, 3328.15, 3328.23, 3328.24, 860
3328.34, 3328.36, and 3328.41 of the Revised Code are hereby 861
repealed.862

       Section 3. (A) The board of education of each local school 863
district that is required to enter into an agreement with the 864
governing board of an educational service center under division 865
(B)(1) of section 3313.843 of the Revised Code shall enter into 866
such an agreement in accordance with that section by June 30, 867
2012, regardless of whether the district has previously received 868
services from that service center without an agreement. The board 869
of education of each local school district that elects to enter 870
into an agreement with the governing board of an educational 871
service center under division (B)(2) of section 3313.843 of the 872
Revised Code shall enter into such an agreement in accordance with 873
that section by June 30, 2012, regardless of whether the district 874
has previously received services from that service center without 875
an agreement.876

        (B) If the board of education of a local school district 877
intends to change the educational service center to which payments 878
are made under divisions (B) and (C) of section 3317.11 of the 879
Revised Code for the 2012-2013 school year, the district board, by 880
March 1, 2012, shall notify the governing board of the service 881
center to which payments are currently made that the district will 882
stop receiving services from that service center effective June 883
30, 2012. This requirement applies regardless of whether the 884
district board had entered into an agreement with the service 885
center governing board under section 3313.843 of the Revised Code 886
for the services it received in the 2011-2012 school year.887

       Section 4.  Notwithstanding the amendments to section 3317.11 888
of the Revised Code by this act, the Department of Education, 889
through June 30, 2012, shall make payments to educational service 890
centers in accordance with that section as it existed prior to the 891
effective date of this section. 892

       Section 5.  This act is hereby declared to be an emergency 893
measure necessary for the immediate preservation of the public 894
peace, health, and safety. The reason for such necessity is that 895
finalization of service agreements between educational service 896
centers and school districts will enable the service centers to 897
plan their resource levels and avoid interruptions in funding. 898
Therefore, this act shall go into immediate effect.899