Bill Text: OH SB142 | 2013-2014 | 130th General Assembly | Introduced

Bill Title: To establish a new default formula for determining the share allocated to each subdivision from the Local Government Fund distribution of each county in which the largest city or township has a population of more than 13,435 and to require minimum annual distributions from the Fund to all county funds.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2013-06-12 - To Finance [SB142 Detail]

Download: Ohio-2013-SB142-Introduced.html
As Introduced

130th General Assembly
Regular Session
2013-2014
S. B. No. 142


Senator Seitz 


A BILL
To amend sections 5705.29, 5747.501, 5747.51, 1
5747.52, 5747.53, and 5751.20 and to enact 2
sections 5747.511 and 5747.512 of the Revised Code 3
to establish a new default formula for determining 4
the share allocated to each subdivision from the 5
Local Government Fund distribution of each county 6
in which the largest city or township has a 7
population of more than 13,435 and to require 8
minimum annual distributions from the Fund to all 9
county funds.10


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

       Section 1. That sections 5705.29, 5747.501, 5747.51, 5747.52, 11
5747.53, and 5751.20 be amended and sections 5747.511 and 5747.512 12
of the Revised Code be enacted to read as follows:13

       Sec. 5705.29. This section does not apply to a subdivision or 14
taxing unit for which the county budget commission has waived the 15
requirement to adopt a tax budget pursuant to section 5705.281 of 16
the Revised Code. The tax budget shall present the following 17
information in such detail as is prescribed by the auditor of 18
state:19

       (A)(1) A statement of the necessary current operating 20
expenses for the ensuing fiscal year for each department and 21
division of the subdivision, classified as to personal services 22
and other expenses, and the fund from which such expenditures are 23
to be made. Except in the case of a school district, this estimate 24
may include a contingent expense not designated for any particular 25
purpose, and not to exceed three per cent of the total amount of 26
appropriations for current expenses. In the case of a school 27
district, this estimate may include a contingent expense not 28
designated for any particular purpose and not to exceed thirteen 29
per cent of the total amount of appropriations for current 30
expenses.31

       (2) A statement of the expenditures for the ensuing fiscal 32
year necessary for permanent improvements, exclusive of any 33
expense to be paid from bond issues, classified as to the 34
improvements contemplated by the subdivision and the fund from 35
which such expenditures are to be made;36

       (3) The amounts required for the payment of final judgments;37

       (4) A statement of expenditures for the ensuing fiscal year 38
necessary for any purpose for which a special levy is authorized, 39
and the fund from which such expenditures are to be made;40

       (5) Comparative statements, so far as possible, in parallel 41
columns of corresponding items of expenditures for the current 42
fiscal year and the two preceding fiscal years.43

       (B)(1) An estimate of receipts from other sources than the 44
general property tax during the ensuing fiscal year, which shall 45
include an estimate of unencumbered balances at the end of the 46
current fiscal year, and the funds to which such estimated 47
receipts are credited;48

       (2) The amount each fund requires from the general property 49
tax, which shall be the difference between the contemplated 50
expenditure from the fund and the estimated receipts, as provided 51
in this section. The section of the Revised Code under which the 52
tax is authorized shall be set forth.53

       (3) Comparative statements, so far as possible, in parallel 54
columns of taxes and other revenues for the current fiscal year 55
and the two preceding fiscal years.56

       (C)(1) The amount required for debt charges;57

       (2) The estimated receipts from sources other than the tax 58
levy for payment of such debt charges, including the proceeds of 59
refunding bonds to be issued to refund bonds maturing in the next 60
succeeding fiscal year;61

       (3) The net amount for which a tax levy shall be made, 62
classified as to bonds authorized and issued prior to January 1, 63
1922, and those authorized and issued subsequent to such date, and 64
as to what portion of the levy will be within and what in excess 65
of the ten-mill limitation.66

       (D) An estimate of amounts from taxes authorized to be levied 67
in excess of the ten-mill limitation on the tax rate, and the fund 68
to which such amounts will be credited, together with the sections 69
of the Revised Code under which each such tax is exempted from all 70
limitations on the tax rate.71

       (E)(1) A board of education may include in its budget for the 72
fiscal year in which a levy proposed under section 5705.194, 73
5705.199, 5705.21, 5705.213, or 5705.219, a property tax levy 74
proposed under section 5748.09, or the original levy under section 75
5705.212 of the Revised Code is first extended on the tax list and 76
duplicate an estimate of expenditures to be known as a voluntary 77
contingency reserve balance, which shall not be greater than 78
twenty-five per cent of the total amount of the levy estimated to 79
be available for appropriation in such year.80

       (2) A board of education may include in its budget for the 81
fiscal year following the year in which a levy proposed under 82
section 5705.194, 5705.199, 5705.21, 5705.213, or 5705.219, a 83
property tax levy proposed under section 5748.09, or the original 84
levy under section 5705.212 of the Revised Code is first extended 85
on the tax list and duplicate an estimate of expenditures to be 86
known as a voluntary contingency reserve balance, which shall not 87
be greater than twenty per cent of the amount of the levy 88
estimated to be available for appropriation in such year.89

       (3) Except as provided in division (E)(4) of this section, 90
the full amount of any reserve balance the board includes in its 91
budget shall be retained by the county auditor and county 92
treasurer out of the first semiannual settlement of taxes until 93
the beginning of the next succeeding fiscal year, and thereupon, 94
with the depository interest apportioned thereto, it shall be 95
turned over to the board of education, to be used for the purposes 96
of such fiscal year.97

       (4) A board of education, by a two-thirds vote of all members 98
of the board, may appropriate any amount withheld as a voluntary 99
contingency reserve balance during the fiscal year for any lawful 100
purpose, provided that prior to such appropriation the board of 101
education has authorized the expenditure of all amounts 102
appropriated for contingencies under section 5705.40 of the 103
Revised Code. Upon request by the board of education, the county 104
auditor shall draw a warrant on the district's account in the 105
county treasury payable to the district in the amount requested.106

       (F)(1) A board of education may include a spending reserve in 107
its budget for fiscal years ending on or before June 30, 2002. The 108
spending reserve shall consist of an estimate of expenditures not 109
to exceed the district's spending reserve balance. A district's 110
spending reserve balance is the amount by which the designated 111
percentage of the district's estimated personal property taxes to 112
be settled during the calendar year in which the fiscal year ends 113
exceeds the estimated amount of personal property taxes to be so 114
settled and received by the district during that fiscal year. 115
Moneys from a spending reserve shall be appropriated in accordance 116
with section 133.301 of the Revised Code.117

       (2) For the purposes of computing a school district's 118
spending reserve balance for a fiscal year, the designated 119
percentage shall be as follows:120

Fiscal year ending in: Designated percentage 121
1998 50% 122
1999 40% 123
2000 30% 124
2001 20% 125
2002 10% 126

       (G) Except as otherwise provided in this division, the county 127
budget commission shall not reduce the taxing authority of a 128
subdivision as a result of the creation of a reserve balance 129
account. Except as otherwise provided in this division, the county 130
budget commission shall not consider the amount in a reserve 131
balance account of a township, county, or municipal corporation as 132
an unencumbered balance or as revenue for the purposes of division 133
(E)(3) or (4) of section 5747.515747.512 of the Revised Code. The 134
county budget commission may require documentation of the 135
reasonableness of the reserve balance held in any reserve balance 136
account. The commission shall consider any amount in a reserve 137
balance account that it determines to be unreasonable as 138
unencumbered and as revenue for the purposes of section 5747.51139
5747.512 of the Revised Code and may take such amounts into 140
consideration when determining whether to reduce the taxing 141
authority of a subdivision.142

       Sec. 5747.501.  (A) On or before the twenty-fifth day of July 143
of each year, the tax commissioner shall estimate and certify to 144
each county auditor the amount to be distributed from the local 145
government fund to each undivided local government fund during the 146
following calendar year under section 5747.50 of the Revised Code. 147
The estimate shall equal the sum of the separate amounts computed 148
under divisions (B)(1) and (2) of this section.149

       (B)(1) The product obtained by multiplying the percentage 150
described in division (B)(1)(a) of this section by the amount 151
described in division (B)(1)(b) of this section.152

       (a) Each county's proportionate share of the total amount 153
distributed to the counties from the local government fund and the 154
local government revenue assistance fund during calendar year 155
2007. In fiscal year 2014 and thereafter, the amount distributed 156
to any county undivided local government fund shall be an amount 157
not less than seven hundred fifty thousand dollars or the amount 158
distributed to such fund in fiscal year 2013, whichever amount is 159
smaller. To the extent necessary to implement this minimum 160
distribution requirement, the proportionate shares computed under 161
this division shall be adjusted accordingly.162

       (b) The total amount distributed to counties from the local 163
government fund and the local government revenue assistance fund 164
during calendar year 2007 adjusted downward if, and to the extent 165
that, total local government fund distributions to counties for 166
the following year are projected to be less than what was 167
distributed to counties from the local government fund and local 168
government revenue assistance fund during calendar year 2007.169

       (2) The product obtained by multiplying the percentage 170
described in division (B)(2)(a) of this section by the amount 171
described in division (B)(2)(b) of this section.172

       (a) Each county's proportionate share of the state's 173
population as reflected in the most recent federal decennial 174
census or the federal government's most recent census estimates, 175
whichever represents the most recent year.176

       (b) The amount by which total estimated distributions from 177
the local government fund during the immediately succeeding 178
calendar year, less the total estimated amount to be distributed 179
from the fund to municipal corporations under division (C) of 180
section 5747.50 of the Revised Code during the immediately 181
succeeding calendar year, exceed the total amount distributed to 182
counties from the local government fund and local government 183
revenue assistance fund during calendar year 2007.184

       Sec. 5747.51. (A) On or before the twenty-fifth day of July 185
of each year, the tax commissioner shall make and certify to the 186
county auditor of each county an estimate of the amount of the 187
local government fund to be allocated to the undivided local 188
government fund of each county for the ensuing calendar year.189

       (B) At each annual regular session of the county budget 190
commission convened pursuant to section 5705.27 of the Revised 191
Code, each auditor shall present to the commission the certificate 192
of the commissioner, the annual tax budget and estimates, and the 193
records showing the action of the commission in its last preceding 194
regular session. The commission, after extending to the 195
representatives of each subdivision an opportunity to be heard, 196
under oath administered by any member of the commission, and 197
considering all the facts and information presented to it by the 198
auditor, shall determine the amount of the undivided local 199
government fund needed by and to be apportioned to each 200
subdivision for current operating expenses, as shown in the tax 201
budget of the subdivision. This determination shall be made 202
pursuant to divisions (C) to (I) of this section, unless the 203
commission has provided for a formula pursuant to section 5747.53 204
of the Revised Code.205

       Nothing in this section prevents the budget commission, for 206
the purpose of apportioning the undivided local government fund, 207
from inquiring into the claimed needs of any subdivision as stated 208
in its tax budget, or from adjusting claimed needs to reflect 209
actual needs. For the purposes of this section, "current operating 210
expenses" means the lawful expenditures of a subdivision, except 211
those for permanent improvements and except payments for interest, 212
sinking fund, and retirement of bonds, notes, and certificates of 213
indebtedness of the subdivision.214

       (C) The commission shall determine the combined total of the 215
estimated expenditures, including transfers, from the general fund 216
and any special funds other than special funds established for 217
road and bridge; street construction, maintenance, and repair; 218
state highway improvement; and gas, water, sewer, and electric 219
public utilities operated by a subdivision, as shown in the 220
subdivision's tax budget for the ensuing calendar year.221

       (D) From the combined total of expenditures calculated 222
pursuant to division (C) of this section, the commission shall 223
deduct the following expenditures, if included in these funds in 224
the tax budget:225

       (1) Expenditures for permanent improvements as defined in 226
division (E) of section 5705.01 of the Revised Code;227

       (2) In the case of counties and townships, transfers to the 228
road and bridge fund, and in the case of municipalities, transfers 229
to the street construction, maintenance, and repair fund and the 230
state highway improvement fund;231

       (3) Expenditures for the payment of debt charges;232

       (4) Expenditures for the payment of judgments.233

       (E) In addition to the deductions made pursuant to division 234
(D) of this section, revenues accruing to the general fund and any 235
special fund considered under division (C) of this section from 236
the following sources shall be deducted from the combined total of 237
expenditures calculated pursuant to division (C) of this section:238

       (1) Taxes levied within the ten-mill limitation, as defined 239
in section 5705.02 of the Revised Code;240

       (2) The budget commission allocation of estimated county 241
public library fund revenues to be distributed pursuant to section 242
5747.48 of the Revised Code;243

       (3) Estimated unencumbered balances as shown on the tax 244
budget as of the thirty-first day of December of the current year 245
in the general fund, but not any estimated balance in any special 246
fund considered in division (C) of this section;247

       (4) Revenue, including transfers, shown in the general fund 248
and any special funds other than special funds established for 249
road and bridge; street construction, maintenance, and repair; 250
state highway improvement; and gas, water, sewer, and electric 251
public utilities, from all other sources except those that a 252
subdivision receives from an additional tax or service charge 253
voted by its electorate or receives from special assessment or 254
revenue bond collection. For the purposes of this division, where 255
the charter of a municipal corporation prohibits the levy of an 256
income tax, an income tax levied by the legislative authority of 257
such municipal corporation pursuant to an amendment of the charter 258
of that municipal corporation to authorize such a levy represents 259
an additional tax voted by the electorate of that municipal 260
corporation. For the purposes of this division, any measure 261
adopted by a board of county commissioners pursuant to section 262
322.02, 324.02, 4504.02, or 5739.021 of the Revised Code, 263
including those measures upheld by the electorate in a referendum 264
conducted pursuant to section 322.021, 324.021, 4504.021, or 265
5739.022 of the Revised Code, shall not be considered an 266
additional tax voted by the electorate.267

       Subject to division (G) of section 5705.29 of the Revised 268
Code, money in a reserve balance account established by a county, 269
township, or municipal corporation under section 5705.13 of the 270
Revised Code shall not be considered an unencumbered balance or 271
revenue under division (E)(3) or (4) of this section. Money in a 272
reserve balance account established by a township under section 273
5705.132 of the Revised Code shall not be considered an 274
unencumbered balance or revenue under division (E)(3) or (4) of 275
this section.276

       If a county, township, or municipal corporation has created 277
and maintains a nonexpendable trust fund under section 5705.131 of 278
the Revised Code, the principal of the fund, and any additions to 279
the principal arising from sources other than the reinvestment of 280
investment earnings arising from such a fund, shall not be 281
considered an unencumbered balance or revenue under division 282
(E)(3) or (4) of this section. Only investment earnings arising 283
from investment of the principal or investment of such additions 284
to principal may be considered an unencumbered balance or revenue 285
under those divisions.286

       (F) The total expenditures calculated pursuant to division 287
(C) of this section, less the deductions authorized in divisions 288
(D) and (E) of this section, shall be known as the "relative need" 289
of the subdivision, for the purposes of this section.290

       (G) The budget commission shall total the relative need of 291
all participating subdivisions in the county, and shall compute a 292
relative need factor by dividing the total estimate of the 293
undivided local government fund by the total relative need of all 294
participating subdivisions.295

       (H) The relative need of each subdivision shall be multiplied 296
by the relative need factor to determine the proportionate share 297
of the subdivision in the undivided local government fund of the 298
county; provided, that the maximum proportionate share of a county 299
shall not exceed the following maximum percentages of the total 300
estimate of the undivided local government fund governed by the 301
relationship of the percentage of the population of the county 302
that resides within municipal corporations within the county to 303
the total population of the county as reported in the reports on 304
population in Ohio by the department of development as of the 305
twentieth day of July of the year in which the tax budget is filed 306
with the budget commission:307

Percentage of municipal population within the county: Percentage share of the county shall not exceed: 308
309
Less than forty-one per cent Sixty per cent 310
Forty-one per cent or more but less than eighty-one per cent Fifty per cent 311
Eighty-one per cent or more Thirty per cent 312

       Where the proportionate share of the county exceeds the 313
limitations established in this division, the budget commission 314
shall adjust the proportionate shares determined pursuant to this 315
division so that the proportionate share of the county does not 316
exceed these limitations, and it shall increase the proportionate 317
shares of all other subdivisions on a pro rata basis. In counties 318
having a population of less than one hundred thousand, not less 319
than ten per cent shall be distributed to the townships therein.320

       (I) The proportionate share of each subdivision in the 321
undivided local government fund determined pursuant to division 322
(H) of this section for any calendar year shall not be less than 323
the product of the average of the percentages of the undivided 324
local government fund of the county as apportioned to that 325
subdivision for the calendar years 1968, 1969, and 1970, 326
multiplied by the total amount of the undivided local government 327
fund of the county apportioned pursuant to former section 5735.23 328
of the Revised Code for the calendar year 1970. For the purposes 329
of this division, the total apportioned amount for the calendar 330
year 1970 shall be the amount actually allocated to the county in 331
1970 from the state collected intangible tax as levied by section 332
5707.03 of the Revised Code and distributed pursuant to section 333
5725.24 of the Revised Code, plus the amount received by the 334
county in the calendar year 1970 pursuant to division (B)(1) of 335
former section 5739.21 of the Revised Code, and distributed 336
pursuant to former section 5739.22 of the Revised Code. If the 337
total amount of the undivided local government fund for any 338
calendar year is less than the amount of the undivided local 339
government fund apportioned pursuant to former section 5739.23 of 340
the Revised Code for the calendar year 1970, the minimum amount 341
guaranteed to each subdivision for that calendar year pursuant to 342
this division shall be reduced on a basis proportionate to the 343
amount by which the amount of the undivided local government fund 344
for that calendar year is less than the amount of the undivided 345
local government fund apportioned for the calendar year 1970.346

       (J) OnUpon the auditor's receipt of the estimate, the county 347
budget commission shall determine the amount that shall be 348
distributed from the undivided local government fund to each 349
subdivision under section 5747.511, 5747.512, or 5747.53 of the 350
Revised Code. The commission's determination is final and may not 351
be appealed unless the commission failed to comply with the 352
formula under section 5747.511, 5747.512, or 5747.53 of the 353
Revised Code.354

       On the basis of such apportionmentthe budget commission's 355
determination, the county auditor shall compute the percentage 356
share of each such subdivision in the undivided local government 357
fund and shall at the same time certify to the tax commissioner 358
the percentage share of the county as a subdivision. No payment 359
shall be made from the undivided local government fund, except in 360
accordance with such percentage shares.361

       Within ten days after the budget commission has made its 362
apportionment, whether conducted pursuant to section 5747.51 or 363
5747.53 of the Revised Codedetermination, the auditor shall 364
publish a list of the subdivisions and the amount each is to 365
receive from the undivided local government fund and the 366
percentage share of each subdivision, in a newspaper or newspapers 367
of countywide circulation, and send a copy of such allocationthe 368
list to the tax commissioner.369

       The county auditor shall also send by certified mail, return 370
receipt requested, a copy of such allocationthe list to the 371
fiscal officer of each subdivision entitled to participate in the 372
allocation of the undivided local government fund of the county. 373
This copy shall constitute the official notice of the commission 374
action referred to in section 5705.37 of the Revised Code.375

       All money received into the treasury of a subdivision from 376
the undivided local government fund in a county treasury shall be 377
paid into the general fund and used for the current operating 378
expenses of the subdivision.379

       If a municipal corporation maintains a municipal university, 380
such municipal university, when the board of trustees so requests 381
the legislative authority of the municipal corporation, shall 382
participate in the money apportioned to such municipal corporation 383
from the total local government fund, however created and 384
constituted, in such amount as requested by the board of trustees, 385
provided such sum does not exceed nine per cent of the total 386
amount paid to the municipal corporation.387

       If any public official fails to maintain the records required 388
by sections 5747.50 to 5747.55 of the Revised Code or by the rules 389
issued by the tax commissioner, the auditor of state, or the 390
treasurer of state pursuant to such sections, or fails to comply 391
with any law relating to the enforcement of such sections, the 392
local government fund money allocated to the county may be 393
withheld until such time as the public official has complied with 394
such sections or such law or the rules issued pursuant thereto.395

       Sec. 5747.511.  This section applies to any county in which, 396
according to the 2010 federal decennial census, the population of 397
the largest city in the county or of the unincorporated territory 398
of the largest township in the county exceeds thirteen thousand 399
four hundred thirty-five.400

       (A) For purposes of this section:401

       (1) "Total county allocation" means the estimate certified by 402
the tax commissioner under section 5747.51 of the Revised Code.403

       (2) "Total base allocation" means the sum of the base 404
allocations of the county, metropolitan park district, and each 405
subdivision.406

       (3) "Base allocation" means, in the case of a county, thirty 407
per cent of total county allocation. In the case of a metropolitan 408
park district if one exists in the county, "base allocation" means 409
five and one-half per cent of total county allocation. For all 410
other subdivisions, "base allocation" means the average of a 411
subdivision's current year allocation, first preceding year 412
distribution, and second preceding year distribution.413

       (4) "Current year allocation" means the amount allocated to a 414
subdivision for the current year.415

       (5) "First preceding year distribution" means the amount 416
actually distributed to a subdivision pursuant to this section or 417
section 5747.53 of the Revised Code in the year immediately 418
preceding the current year. 419

       (6) "Second preceding year distribution" means the amount 420
actually distributed to a subdivision pursuant to this section or 421
section 5747.53 of the Revised Code in the second year immediately 422
preceding the current year. 423

       (7) "Adjusted base allocation" means the product of total 424
county allocation multiplied by the quotient of the subdivision's 425
base allocation divided by total base allocation.426

       (8) "Total excess allocation" means the difference of total 427
county allocation minus total base allocation, but not less than 428
zero.429

       (9) "Excess allocation" of a subdivision means the product of 430
total excess allocation multiplied by the subdivision's excess 431
allocation percentage.432

       (10) "Excess allocation percentage" means the average of a 433
subdivision's property wealth ratio, income ratio, and population 434
ratio. 435

       (11) "Property wealth ratio" means the quotient of a 436
subdivision's property wealth factor divided by the sum of the 437
property wealth factors of all subdivisions.438

       (12) "Property wealth factor" means the quotient of a 439
subdivision's population divided by its taxable value per capita.440

       (13) "Income ratio" means the quotient of a subdivision's 441
income factor divided by the sum of the income factors of all 442
subdivisions.443

       (14) "Income factor" means the quotient of a subdivision's 444
population divided by its per capita income.445

       (15) "Population ratio" means the quotient of a subdivision's 446
population factor divided by the sum of the population factors of 447
all subdivisions.448

       (16) "Population density" means the quotient of a 449
subdivision's population divided by the subdivision's geographical 450
size, measured in square miles, as determined by the county 451
engineer. 452

       (17) "Population factor" means the product of a subdivision's 453
population multiplied by its population density.454

       (18) "Population" means the population of a subdivision as 455
determined by a regional or county planning commission or, if no 456
such commission exists, by the county budget commission.457

       (19) "Taxable value" means the taxable value of all taxable 458
property in the subdivision as indicated on the tax list of real 459
and public utility property for the preceding tax year.460

       (20) "Taxable value per capita" means the quotient of a 461
subdivision's taxable value divided by its population.462

       (21) "Per capita income" of a subdivision means the per 463
capita income as published by or derived from information prepared 464
by the United States bureau of the census.465

       (B) If the total county allocation is equal to or greater 466
than the total base allocation, the amount that shall be 467
distributed to a subdivision from the undivided local government 468
fund equals the sum of the subdivision's base allocation plus its 469
excess allocation. If the total county allocation is less than the 470
total base allocation, the amount that shall be distributed to a 471
subdivision from the undivided local government fund equals the 472
subdivision's adjusted base allocation.473

       (C) If the actual amount distributed to the undivided local 474
government fund in a year exceeds the total county allocation for 475
that year, the excess shall be distributed to subdivisions as 476
provided in divisions (C)(1) and (2) of this section.477

       (1) Of the first seven hundred fifty thousand dollars of 478
excess, a subdivision shall receive the product of the excess 479
multiplied by the quotient of the subdivision's allocation under 480
division (B) of this section divided by the total county 481
allocation.482

       (2) Any amount in excess of seven hundred fifty thousand 483
dollars shall be distributed as follows:484

       (a) To the county, thirty per cent;485

       (b) To a metropolitan park district if one exists in the 486
county, five and one-half per cent;487

       (c) The remainder shall be distributed to all other 488
subdivisions in amounts to be determined in the same manner as the 489
subdivisions' excess allocation is determined, except that "total 490
excess allocation" equals the total amount to be distributed under 491
division (C)(2)(c) of this section and that the denominators of a 492
subdivision's property wealth, income, and population ratios shall 493
exclude the corresponding factors of the county and any 494
metropolitan park district.495

       (D)(1) As used in this division:496

       (a) "Total distribution" means the total amount to be 497
distributed to a county or qualifying city for a calendar year 498
under divisions (B) and (C) of this section. 499

       (b) "2013 allocation" means the total amount distributed to a 500
county or qualifying city under section 5747.52 or 5747.53 of the 501
Revised Code in calendar year 2013.502

       (c) "Qualifying city" means a city described in Section 503
6(C)(3)(a) of Article XV, Ohio Constitution.504

       (2) The amounts to be distributed to a county or qualifying 505
city under divisions (B) and (C) of this section shall be subject 506
to adjustment as provided in this division. For any calendar year, 507
if a qualifying city's total distribution would exceed the 508
qualifying city's 2013 allocation, and if the total distribution 509
of the county in which the qualifying city is located would not 510
equal or exceed the county's 2013 allocation, the qualifying 511
city's total distribution for that calendar year shall be reduced 512
by an amount equal to fifty per cent of the difference between the 513
qualifying city's total distribution and its 2013 allocation, and 514
the county's total distribution for that calendar year shall be 515
increased by an identical amount.516

       Sec. 5747.512.  (A) This section applies to any county in 517
which, according to the 2010 federal decennial census, the 518
population of the largest city in the county or of the 519
unincorporated territory of the largest township in the county 520
does not exceed thirteen thousand four hundred thirty-five.521

       (B) At each annual regular session of the county budget 522
commission convened pursuant to section 5705.27 of the Revised 523
Code, each auditor shall present to the commission the certificate 524
provided by the tax commissioner under section 5747.51 of the 525
Revised Code, the annual tax budget and estimates, and the records 526
showing the action of the commission in its last preceding regular 527
session. The commission, after extending to the representatives of 528
each subdivision an opportunity to be heard, under oath 529
administered by any member of the commission, and considering all 530
the facts and information presented to it by the auditor, shall 531
determine the amount of the undivided local government fund needed 532
by and to be apportioned to each subdivision for current operating 533
expenses, as shown in the tax budget of the subdivision. This 534
determination shall be made pursuant to divisions (C) to (I) of 535
this section, unless the commission has provided for a formula 536
pursuant to section 5747.53 of the Revised Code.537

       Nothing in this section prevents the budget commission, for 538
the purpose of apportioning the undivided local government fund, 539
from inquiring into the claimed needs of any subdivision as stated 540
in its tax budget, or from adjusting claimed needs to reflect 541
actual needs. For the purposes of this section, "current operating 542
expenses" means the lawful expenditures of a subdivision, except 543
those for permanent improvements and except payments for interest, 544
sinking fund, and retirement of bonds, notes, and certificates of 545
indebtedness of the subdivision.546

       (C) The commission shall determine the combined total of the 547
estimated expenditures, including transfers, from the general fund 548
and any special funds other than special funds established for 549
road and bridge; street construction, maintenance, and repair; 550
state highway improvement; and gas, water, sewer, and electric 551
public utilities operated by a subdivision, as shown in the 552
subdivision's tax budget for the ensuing calendar year.553

       (D) From the combined total of expenditures calculated 554
pursuant to division (C) of this section, the commission shall 555
deduct the following expenditures, if included in these funds in 556
the tax budget:557

       (1) Expenditures for permanent improvements as defined in 558
division (E) of section 5705.01 of the Revised Code;559

       (2) In the case of counties and townships, transfers to the 560
road and bridge fund, and in the case of municipalities, transfers 561
to the street construction, maintenance, and repair fund and the 562
state highway improvement fund;563

       (3) Expenditures for the payment of debt charges;564

       (4) Expenditures for the payment of judgments.565

       (E) In addition to the deductions made pursuant to division 566
(D) of this section, revenues accruing to the general fund and any 567
special fund considered under division (C) of this section from 568
the following sources shall be deducted from the combined total of 569
expenditures calculated pursuant to division (C) of this section:570

       (1) Taxes levied within the ten-mill limitation, as defined 571
in section 5705.02 of the Revised Code;572

       (2) The budget commission allocation of estimated county 573
public library fund revenues to be distributed pursuant to section 574
5747.48 of the Revised Code;575

       (3) Estimated unencumbered balances as shown on the tax 576
budget as of the thirty-first day of December of the current year 577
in the general fund, but not any estimated balance in any special 578
fund considered in division (C) of this section;579

       (4) Revenue, including transfers, shown in the general fund 580
and any special funds other than special funds established for 581
road and bridge; street construction, maintenance, and repair; 582
state highway improvement; and gas, water, sewer, and electric 583
public utilities, from all other sources except those that a 584
subdivision receives from an additional tax or service charge 585
voted by its electorate or receives from special assessment or 586
revenue bond collection. For the purposes of this division, where 587
the charter of a municipal corporation prohibits the levy of an 588
income tax, an income tax levied by the legislative authority of 589
such municipal corporation pursuant to an amendment of the charter 590
of that municipal corporation to authorize such a levy represents 591
an additional tax voted by the electorate of that municipal 592
corporation. For the purposes of this division, any measure 593
adopted by a board of county commissioners pursuant to section 594
322.02, 324.02, 4504.02, or 5739.021 of the Revised Code, 595
including those measures upheld by the electorate in a referendum 596
conducted pursuant to section 322.021, 324.021, 4504.021, or 597
5739.022 of the Revised Code, shall not be considered an 598
additional tax voted by the electorate.599

       Subject to division (G) of section 5705.29 of the Revised 600
Code, money in a reserve balance account established by a county, 601
township, or municipal corporation under section 5705.13 of the 602
Revised Code shall not be considered an unencumbered balance or 603
revenue under division (E)(3) or (4) of this section. Money in a 604
reserve balance account established by a township under section 605
5705.132 of the Revised Code shall not be considered an 606
unencumbered balance or revenue under division (E)(3) or (4) of 607
this section.608

       If a county, township, or municipal corporation has created 609
and maintains a nonexpendable trust fund under section 5705.131 of 610
the Revised Code, the principal of the fund, and any additions to 611
the principal arising from sources other than the reinvestment of 612
investment earnings arising from such a fund, shall not be 613
considered an unencumbered balance or revenue under division 614
(E)(3) or (4) of this section. Only investment earnings arising 615
from investment of the principal or investment of such additions 616
to principal may be considered an unencumbered balance or revenue 617
under those divisions.618

       (F) The total expenditures calculated pursuant to division 619
(C) of this section, less the deductions authorized in divisions 620
(D) and (E) of this section, shall be known as the "relative need" 621
of the subdivision, for the purposes of this section.622

       (G) The budget commission shall total the relative need of 623
all participating subdivisions in the county, and shall compute a 624
relative need factor by dividing the total estimate of the 625
undivided local government fund by the total relative need of all 626
participating subdivisions.627

       (H) The relative need of each subdivision shall be multiplied 628
by the relative need factor to determine the proportionate share 629
of the subdivision in the undivided local government fund of the 630
county; provided, that the maximum proportionate share of a county 631
shall not exceed the following maximum percentages of the total 632
estimate of the undivided local government fund governed by the 633
relationship of the percentage of the population of the county 634
that resides within municipal corporations within the county to 635
the total population of the county as reported in the reports on 636
population in Ohio by the department of development as of the 637
twentieth day of July of the year in which the tax budget is filed 638
with the budget commission:639

Percentage of municipal population within the county: Percentage share of the county shall not exceed: 640
641
Less than forty-one per cent Sixty per cent 642
Forty-one per cent or more but less than eighty-one per cent Fifty per cent 643
Eighty-one per cent or more Thirty per cent 644

       Where the proportionate share of the county exceeds the 645
limitations established in this division, the budget commission 646
shall adjust the proportionate shares determined pursuant to this 647
division so that the proportionate share of the county does not 648
exceed these limitations, and it shall increase the proportionate 649
shares of all other subdivisions on a pro rata basis. In counties 650
having a population of less than one hundred thousand, not less 651
than ten per cent shall be distributed to the townships therein.652

       (I) The proportionate share of each subdivision in the 653
undivided local government fund determined pursuant to division 654
(H) of this section for any calendar year shall not be less than 655
the product of the average of the percentages of the undivided 656
local government fund of the county as apportioned to that 657
subdivision for the calendar years 1968, 1969, and 1970, 658
multiplied by the total amount of the undivided local government 659
fund of the county apportioned pursuant to former section 5735.23 660
of the Revised Code for the calendar year 1970. For the purposes 661
of this division, the total apportioned amount for the calendar 662
year 1970 shall be the amount actually allocated to the county in 663
1970 from the state collected intangible tax as levied by section 664
5707.03 of the Revised Code and distributed pursuant to section 665
5725.24 of the Revised Code, plus the amount received by the 666
county in the calendar year 1970 pursuant to division (B)(1) of 667
former section 5739.21 of the Revised Code, and distributed 668
pursuant to former section 5739.22 of the Revised Code. If the 669
total amount of the undivided local government fund for any 670
calendar year is less than the amount of the undivided local 671
government fund apportioned pursuant to former section 5739.23 of 672
the Revised Code for the calendar year 1970, the minimum amount 673
guaranteed to each subdivision for that calendar year pursuant to 674
this division shall be reduced on a basis proportionate to the 675
amount by which the amount of the undivided local government fund 676
for that calendar year is less than the amount of the undivided 677
local government fund apportioned for the calendar year 1970.678

       Sec. 5747.52.  The form used by the county budget commission 679
to calculate subdivision shares of the undivided local government 680
fund as apportioned pursuant to section 5747.515747.512 of the 681
Revised Code shall be as follows:682

Calculation of (name of subdivision) share of
683

undivided local government fund for
684

(name of county) county
685

Authorized expenditure for subdivision Total 686
1. Estimated expenditures from general fund ..... 687
2. Estimated expenditures from special funds other than those established for road and bridge, street construction, maintenance, and state highway improvement, and for gas, water, sewer, and electric public utilities ..... 688
3. Total ..... 689
Deductions from authorized expenditures 690
4. Expenditures for permanent improvements ..... 691
5. Transfers to road and bridge fund (counties and townships only) ..... 692
6. Transfers to street construction, maintenance, and repair, and state highway improvements funds ..... 693
7. Expenditures for the payment of debt charges ..... 694
8. Expenditures for the payment of judgments ..... 695
9. Taxes levied inside the "ten-mill limitation" ..... 696
10. Budget commission allocation of estimated county public library fund revenues ..... 697
11. Estimated unemcumbered unencumbered balances as of December 31 of current year in the general funds as stated in the tax budget ..... 698
12. Revenue, including transfers, shown in the general fund or any special funds other than special funds established for road and bridge, street construction, maintenance, and repair, and state highway improvement, and for gas, water, sewer, and electric public utilities, from all other sources except those from additional taxes or service charges voted by electorate as defined in division (E)(4) of section 5747.51 of the Revised Code, and except revenue from special assessment and revenue bond collections ..... 699
13. Total ..... 700
Calculation of subdivision share 701
14. Relative need of subdivision (line 3 less line 13) ..... 702
15. Relative need factor for county (total estimate of undivided local government fund divided by total relative need of all participating subdivisions) ..... 703
16. Proportionate share of subdivision (relative need of subdivision multiplied by relative need factor) ..... 704
17. After any adjustments necessary to comply with statutory maximum share allowable to county ..... 705
18. After any adjustments necessary to comply with statutory minimum share allowable to townships ..... 706
19. After any adjustments necessary to comply with minimum guarantee in division (I) of section 5747.51 of the Revised Code ..... 707
20. Proportionate share of subdivision (line 16, 17, 18, or 19, whichever is appropriate) ..... 708

       Sec. 5747.53.  (A) As used in this section:709

       (1) "City, located wholly or partially in the county, with 710
the greatest population" means the city, located wholly or 711
partially in the county, with the greatest population residing in 712
the county; however, if the county budget commission on or before 713
January 1, 1998, adopted an alternative method of apportionment 714
that was approved by the legislative authority of the city, 715
located partially in the county, with the greatest population but 716
not the greatest population residing in the county, "city, located 717
wholly or partially in the county, with the greatest population" 718
means the city, located wholly or partially in the county, with 719
the greatest population whether residing in the county or not, if 720
this alternative meaning is adopted by action of the board of 721
county commissioners and a majority of the boards of township 722
trustees and legislative authorities of municipal corporations 723
located wholly or partially in the county.724

       (2) "Participating political subdivision" means a municipal 725
corporation or township that satisfies all of the following:726

       (a) It is located wholly or partially in the county.727

       (b) It is not the city, located wholly or partially in the 728
county, with the greatest population.729

       (c) Undivided local government fund moneys are apportioned to 730
it under the county's alternative method or formula of 731
apportionment in the current calendar year.732

       (B) In lieu of the method of apportionment of the undivided 733
local government fund of the county provided by section 5747.51734
5747.511 or 5747.512 of the Revised Code, the county budget 735
commission may provide for the apportionment of the fund under an 736
alternative method or on a formula basis as authorized by this 737
section.738

       Except as otherwise provided in division (C) of this section, 739
the alternative method of apportionment shall have first been 740
approved by all of the following governmental units: the board of 741
county commissioners; the legislative authority of the city, 742
located wholly or partially in the county, with the greatest 743
population; and a majority of the boards of township trustees and 744
legislative authorities of municipal corporations, located wholly 745
or partially in the county, excluding the legislative authority of 746
the city, located wholly or partially in the county, with the 747
greatest population. In granting or denying approval for an 748
alternative method of apportionment, the board of county 749
commissioners, boards of township trustees, and legislative 750
authorities of municipal corporations shall act by motion. A 751
motion to approve shall be passed upon a majority vote of the 752
members of a board of county commissioners, board of township 753
trustees, or legislative authority of a municipal corporation, 754
shall take effect immediately, and need not be published.755

       (B)(1) If the method of apportionment for a county is 756
prescribed in section 5747.511 of the Revised Code, the county 757
budget commission may provide for an alternative formula only upon 758
the approval of seventy-five per cent or more of the subdivisions 759
located wholly or partially in the county acting by motion adopted 760
after July 1, 2013.761

       (2) Except as provided in division (B)(3) of this section, 762
if, for any calendar year, the amount that would be apportioned to 763
a county or to the largest municipal corporation in a county under 764
the apportionment method provided in section 5747.511 of the 765
Revised Code would exceed the amount that would be apportioned to 766
that county or municipal corporation under an alternative 767
apportionment method adopted under this section, the undivided 768
local government fund of the county shall be apportioned among the 769
subdivisions eligible to participate in the fund for that calendar 770
year under the apportionment method provided in section 5747.511 771
of the Revised Code.772

       (3) A county or municipal corporation, acting by motion 773
adopted after July 1, 2013, may waive the application of division 774
(B)(2) of this section with respect to the county or municipal 775
corporation. If both the county and the largest municipal 776
corporation in the county approve such waivers, the county budget 777
commission may provide for the apportionment of the county 778
undivided local government fund under an alternative method 779
adopted under this section for any calendar year regardless of the 780
amount that would be apportioned to the county and municipal 781
corporation in that calendar year under the alternative method.782

       (C)(1) As used in division (C) of this section:783

       (a) "City, located wholly or partially in the county, with 784
the greatest population" means the city, located wholly or 785
partially in the county, with the greatest population residing in 786
the county; however, if the county budget commission on or before 787
January 1, 1998, adopted an alternative method of apportionment 788
that was approved by the legislative authority of the city, 789
located partially in the county, with the greatest population but 790
not the greatest population residing in the county, "city, located 791
wholly or partially in the county, with the greatest population" 792
means the city, located wholly or partially in the county, with 793
the greatest population whether residing in the county or not, if 794
this alternative meaning is adopted by action of the board of 795
county commissioners and a majority of the boards of township 796
trustees and legislative authorities of municipal corporations 797
located wholly or partially in the county.798

       (b) "Participating political subdivision" means a municipal 799
corporation or township that satisfies all of the following:800

       (i) It is located wholly or partially in the county.801

       (ii) It is not the city, located wholly or partially in the 802
county, with the greatest population.803

       (iii) Undivided local government fund moneys are apportioned 804
to it under the county's alternative method or formula of 805
apportionment in the current calendar year.806

       (2) Except as otherwise provided in division (C)(3) of this 807
section, if the method of apportionment for a county is prescribed 808
in section 5747.512 of the Revised Code, any alternative method of 809
apportionment shall first be approved by all of the following 810
governmental units: the board of county commissioners; the 811
legislative authority of the city, located wholly or partially in 812
the county, with the greatest population; and a majority of the 813
boards of township trustees and legislative authorities of 814
municipal corporations, located wholly or partially in the county, 815
excluding the legislative authority of the city, located wholly or 816
partially in the county, with the greatest population. In granting 817
or denying approval for an alternative method of apportionment, 818
the board of county commissioners, boards of township trustees, 819
and legislative authorities of municipal corporations shall act by 820
motion. A motion to approve shall be passed upon a majority vote 821
of the members of a board of county commissioners, board of 822
township trustees, or legislative authority of a municipal 823
corporation, shall take effect immediately, and need not be 824
published.825

       (3) Division (C)(3) of this section applies only in counties 826
in which the method of apportionment is prescribed in section 827
5747.512 of the Revised Code and in which the city, located wholly 828
or partially in the county, with the greatest population has a 829
population of twenty thousand or less and a population that is 830
less than fifteen per cent of the total population of the county. 831
In such a county, the legislative authorities or boards of 832
township trustees of two or more participating political 833
subdivisions, which together have a population residing in the 834
county that is a majority of the total population of the county, 835
each may adopt a resolution to exclude the approval otherwise 836
required of the legislative authority of the city, located wholly 837
or partially in the county, with the greatest population. All of 838
the resolutions to exclude that approval shall be adopted not 839
later than the first Monday of August of the year preceding the 840
calendar year in which distributions are to be made under an 841
alternative method of apportionment.842

       A motion granting or denying approval of an alternative 843
method of apportionment under this division shall be adopted by a 844
majority vote of the members of the board of county commissioners 845
and by a majority vote of a majority of the boards of township 846
trustees and legislative authorities of the municipal corporations 847
located wholly or partially in the county, other than the city, 848
located wholly or partially in the county, with the greatest 849
population, shall take effect immediately, and need not be 850
published. The alternative method of apportionment under this 851
division shall be adopted and approved annually, not later than 852
the first Monday of August of the year preceding the calendar year 853
in which distributions are to be made under it. A motion granting 854
approval of an alternative method of apportionment under this 855
division repeals any existing alternative method of apportionment, 856
effective with distributions to be made from the fund in the 857
ensuing calendar year. An alternative method of apportionment 858
under this division shall not be revised or amended after the 859
first Monday of August of the year preceding the calendar year in 860
which distributions are to be made under it.861

       (D) Any alternative method of apportionment adopted and 862
approved under this divisionsection may be revised, amended, or 863
repealed in the same manner as it may be adopted and approved. If 864
an alternative method of apportionment adopted and approved under 865
this divisionsection is repealed, the undivided local government 866
fund of the county shall be apportioned among the subdivisions 867
eligible to participate in the fund, commencing in the ensuing 868
calendar year, under the apportionment provided in section 5747.52869
5747.511 or 5747.512 of the Revised Code, unless the repeal occurs 870
by operation of division (C) of this section or a new method for 871
apportionment of the fund is provided in the action of repeal.872

       (C) This division applies only in counties in which the city, 873
located wholly or partially in the county, with the greatest 874
population has a population of twenty thousand or less and a 875
population that is less than fifteen per cent of the total 876
population of the county. In such a county, the legislative 877
authorities or boards of township trustees of two or more 878
participating political subdivisions, which together have a 879
population residing in the county that is a majority of the total 880
population of the county, each may adopt a resolution to exclude 881
the approval otherwise required of the legislative authority of 882
the city, located wholly or partially in the county, with the 883
greatest population. All of the resolutions to exclude that 884
approval shall be adopted not later than the first Monday of 885
August of the year preceding the calendar year in which 886
distributions are to be made under an alternative method of 887
apportionment.888

       A motion granting or denying approval of an alternative 889
method of apportionment under this division shall be adopted by a 890
majority vote of the members of the board of county commissioners 891
and by a majority vote of a majority of the boards of township 892
trustees and legislative authorities of the municipal corporations 893
located wholly or partially in the county, other than the city, 894
located wholly or partially in the county, with the greatest 895
population, shall take effect immediately, and need not be 896
published. The alternative method of apportionment under this 897
division shall be adopted and approved annually, not later than 898
the first Monday of August of the year preceding the calendar year 899
in which distributions are to be made under it. A motion granting 900
approval of an alternative method of apportionment under this 901
division repeals any existing alternative method of apportionment, 902
effective with distributions to be made from the fund in the 903
ensuing calendar year. An alternative method of apportionment 904
under this division shall not be revised or amended after the 905
first Monday of August of the year preceding the calendar year in 906
which distributions are to be made under it.907

       (D)(E) In determining an alternative method of apportionment 908
authorized by this section, the county budget commission may 909
include in the method any factor considered to be appropriate and 910
reliable, in the sole discretion of the county budget commission.911

       (E)(F) The limitations set forth in section 5747.515747.512912
of the Revised Code, stating the maximum amount that the county 913
may receive from the undivided local government fund and the 914
minimum amount the townships in counties having a population of 915
less than one hundred thousand may receive from the fund, are 916
applicable to any alternative method of apportionment authorized 917
under this section.918

       (F)(G) On the basis of any alternative method of 919
apportionment adopted and approved as authorized by this section, 920
as certified by the auditor to the county treasurer, the county 921
treasurer shall make distribution of the money in the undivided 922
local government fund to each subdivision eligible to participate 923
in the fund, and the auditor, when the amount of those shares is 924
in the custody of the treasurer in the amounts so computed to be 925
due the respective subdivisions, shall at the same time certify to 926
the tax commissioner the percentage share of the county as a 927
subdivision. All money received into the treasury of a subdivision 928
from the undivided local government fund in a county treasury 929
shall be paid into the general fund and used for the current 930
operating expenses of the subdivision. If a municipal corporation 931
maintains a municipal university, the university, when the board 932
of trustees so requests the legislative authority of the municipal 933
corporation, shall participate in the money apportioned to the 934
municipal corporation from the total local government fund, 935
however created and constituted, in the amount requested by the 936
board of trustees, provided that amount does not exceed nine per 937
cent of the total amount paid to the municipal corporation.938

       (G)(H) The actions of the county budget commission taken 939
pursuant to this section are final and may not be appealed to the 940
board of tax appeals, except on the issues of abuse of discretion 941
and failure to comply with the formula.942

       Sec. 5751.20.  (A) As used in sections 5751.20 to 5751.22 of 943
the Revised Code:944

       (1) "School district," "joint vocational school district," 945
"local taxing unit," "recognized valuation," "fixed-rate levy," 946
and "fixed-sum levy" have the same meanings as used in section 947
5727.84 of the Revised Code.948

       (2) "State education aid" for a school district means the 949
following:950

       (a) For fiscal years prior to fiscal year 2010, the sum of 951
state aid amounts computed for the district under the following 952
provisions, as they existed for the applicable fiscal year: 953
division (A) of section 3317.022 of the Revised Code, including 954
the amounts calculated under sections 3317.029 and 3317.0217 of 955
the Revised Code; divisions (C)(1), (C)(4), (D), (E), and (F) of 956
section 3317.022; divisions (B), (C), and (D) of section 3317.023; 957
divisions (L) and (N) of section 3317.024; section 3317.0216; and 958
any unit payments for gifted student services paid under sections 959
3317.05, 3317.052, and 3317.053 of the Revised Code; except that, 960
for fiscal years 2008 and 2009, the amount computed for the 961
district under Section 269.20.80 of H.B. 119 of the 127th general 962
assembly and as that section subsequently may be amended shall be 963
substituted for the amount computed under division (D) of section 964
3317.022 of the Revised Code, and the amount computed under 965
Section 269.30.80 of H.B. 119 of the 127th general assembly and as 966
that section subsequently may be amended shall be included.967

       (b) For fiscal years 2010 and 2011, the sum of the amounts 968
computed under former sections 3306.052, 3306.12, 3306.13, 969
3306.19, 3306.191, and 3306.192 of the Revised Code;970

       (c) For fiscal years 2012 and 2013, the sum of the amounts 971
paid under Sections 267.30.50, 267.30.53, and 267.30.56 of H.B. 972
153 of the 129th general assembly.973

       (3) "State education aid" for a joint vocational school 974
district means the following:975

       (a) For fiscal years prior to fiscal year 2010, the sum of 976
the state aid computed for the district under division (N) of 977
section 3317.024 and section 3317.16 of the Revised Code, except 978
that, for fiscal years 2008 and 2009, the amount computed under 979
Section 269.30.80 of H.B. 119 of the 127th general assembly and as 980
that section subsequently may be amended shall be included.981

       (b) For fiscal years 2010 and 2011, the amount paid in 982
accordance with Section 265.30.50 of H.B. 1 of the 128th general 983
assembly.984

       (c) For fiscal years 2012 and 2013, the amount paid in 985
accordance with Section 267.30.60 of H.B. 153 of the 129th general 986
assembly.987

        (4) "State education aid offset" means the amount determined 988
for each school district or joint vocational school district under 989
division (A)(1) of section 5751.21 of the Revised Code.990

       (5) "Machinery and equipment property tax value loss" means 991
the amount determined under division (C)(1) of this section.992

       (6) "Inventory property tax value loss" means the amount 993
determined under division (C)(2) of this section.994

       (7) "Furniture and fixtures property tax value loss" means 995
the amount determined under division (C)(3) of this section.996

        (8) "Machinery and equipment fixed-rate levy loss" means the 997
amount determined under division (D)(1) of this section.998

       (9) "Inventory fixed-rate levy loss" means the amount 999
determined under division (D)(2) of this section.1000

       (10) "Furniture and fixtures fixed-rate levy loss" means the 1001
amount determined under division (D)(3) of this section.1002

       (11) "Total fixed-rate levy loss" means the sum of the 1003
machinery and equipment fixed-rate levy loss, the inventory 1004
fixed-rate levy loss, the furniture and fixtures fixed-rate levy 1005
loss, and the telephone company fixed-rate levy loss.1006

       (12) "Fixed-sum levy loss" means the amount determined under 1007
division (E) of this section.1008

       (13) "Machinery and equipment" means personal property 1009
subject to the assessment rate specified in division (F) of 1010
section 5711.22 of the Revised Code.1011

       (14) "Inventory" means personal property subject to the 1012
assessment rate specified in division (E) of section 5711.22 of 1013
the Revised Code.1014

       (15) "Furniture and fixtures" means personal property subject 1015
to the assessment rate specified in division (G) of section 1016
5711.22 of the Revised Code.1017

       (16) "Qualifying levies" are levies in effect for tax year 1018
2004 or applicable to tax year 2005 or approved at an election 1019
conducted before September 1, 2005. For the purpose of determining 1020
the rate of a qualifying levy authorized by section 5705.212 or 1021
5705.213 of the Revised Code, the rate shall be the rate that 1022
would be in effect for tax year 2010.1023

       (17) "Telephone property" means tangible personal property of 1024
a telephone, telegraph, or interexchange telecommunications 1025
company subject to an assessment rate specified in section 1026
5727.111 of the Revised Code in tax year 2004.1027

       (18) "Telephone property tax value loss" means the amount 1028
determined under division (C)(4) of this section.1029

       (19) "Telephone property fixed-rate levy loss" means the 1030
amount determined under division (D)(4) of this section.1031

       (20) "Taxes charged and payable" means taxes charged and 1032
payable after the reduction required by section 319.301 of the 1033
Revised Code but before the reductions required by sections 1034
319.302 and 323.152 of the Revised Code.1035

       (21) "Median estate tax collections" means, in the case of a 1036
municipal corporation to which revenue from the taxes levied in 1037
Chapter 5731. of the Revised Code was distributed in each of 1038
calendar years 2006, 2007, 2008, and 2009, the median of those 1039
distributions. In the case of a municipal corporation to which no 1040
distributions were made in one or more of those years, "median 1041
estate tax collections" means zero. 1042

       (22) "Total resources," in the case of a school district, 1043
means the sum of the amounts in divisions (A)(22)(a) to (h) of 1044
this section less any reduction required under division (A)(32) or 1045
(33) of this section.1046

       (a) The state education aid for fiscal year 2010; 1047

       (b) The sum of the payments received by the school district 1048
in fiscal year 2010 for current expense levy losses pursuant to 1049
division (C)(2) of section 5727.85 and divisions (C)(8) and (9) of 1050
section 5751.21 of the Revised Code, excluding the portion of such 1051
payments attributable to levies for joint vocational school 1052
district purposes; 1053

       (c) The sum of fixed-sum levy loss payments received by the 1054
school district in fiscal year 2010 pursuant to division (E)(1) of 1055
section 5727.85 and division (E)(1) of section 5751.21 of the 1056
Revised Code for fixed-sum levies charged and payable for a 1057
purpose other than paying debt charges; 1058

       (d) Fifty per cent of the school district's taxes charged and 1059
payable against all property on the tax list of real and public 1060
utility property for current expense purposes for tax year 2008, 1061
including taxes charged and payable from emergency levies charged 1062
and payable under section 5709.194 of the Revised Code and 1063
excluding taxes levied for joint vocational school district 1064
purposes;1065

       (e) Fifty per cent of the school district's taxes charged and 1066
payable against all property on the tax list of real and public 1067
utility property for current expenses for tax year 2009, including 1068
taxes charged and payable from emergency levies and excluding 1069
taxes levied for joint vocational school district purposes;1070

       (f) The school district's taxes charged and payable against 1071
all property on the general tax list of personal property for 1072
current expenses for tax year 2009, including taxes charged and 1073
payable from emergency levies;1074

       (g) The amount certified for fiscal year 2010 under division 1075
(A)(2) of section 3317.08 of the Revised Code;1076

       (h) Distributions received during calendar year 2009 from 1077
taxes levied under section 718.09 of the Revised Code.1078

       (23) "Total resources," in the case of a joint vocational 1079
school district, means the sum of amounts in divisions (A)(23)(a) 1080
to (g) of this section less any reduction required under division 1081
(A)(32) of this section.1082

       (a) The state education aid for fiscal year 2010; 1083

       (b) The sum of the payments received by the joint vocational 1084
school district in fiscal year 2010 for current expense levy 1085
losses pursuant to division (C)(2) of section 5727.85 and 1086
divisions (C)(8) and (9) of section 5751.21 of the Revised Code; 1087

       (c) Fifty per cent of the joint vocational school district's 1088
taxes charged and payable against all property on the tax list of 1089
real and public utility property for current expense purposes for 1090
tax year 2008;1091

       (d) Fifty per cent of the joint vocational school district's 1092
taxes charged and payable against all property on the tax list of 1093
real and public utility property for current expenses for tax year 1094
2009;1095

       (e) Fifty per cent of a city, local, or exempted village 1096
school district's taxes charged and payable against all property 1097
on the tax list of real and public utility property for current 1098
expenses of the joint vocational school district for tax year 1099
2008;1100

       (f) Fifty per cent of a city, local, or exempted village 1101
school district's taxes charged and payable against all property 1102
on the tax list of real and public utility property for current 1103
expenses of the joint vocational school district for tax year 1104
2009;1105

       (g) The joint vocational school district's taxes charged and 1106
payable against all property on the general tax list of personal 1107
property for current expenses for tax year 2009.1108

       (24) "Total resources," in the case of county mental health 1109
and disability related functions, means the sum of the amounts in 1110
divisions (A)(24)(a) and (b) of this section less any reduction 1111
required under division (A)(32) of this section.1112

       (a) The sum of the payments received by the county for mental 1113
health and developmental disability related functions in calendar 1114
year 2010 under division (A)(1) of section 5727.86 and divisions 1115
(A)(1) and (2) of section 5751.22 of the Revised Code as they 1116
existed at that time;1117

       (b) With respect to taxes levied by the county for mental 1118
health and developmental disability related purposes, the taxes 1119
charged and payable for such purposes against all property on the 1120
tax list of real and public utility property for tax year 2009.1121

       (25) "Total resources," in the case of county senior services 1122
related functions, means the sum of the amounts in divisions 1123
(A)(25)(a) and (b) of this section less any reduction required 1124
under division (A)(32) of this section. 1125

       (a) The sum of the payments received by the county for senior 1126
services related functions in calendar year 2010 under division 1127
(A)(1) of section 5727.86 and divisions (A)(1) and (2) of section 1128
5751.22 of the Revised Code as they existed at that time; 1129

       (b) With respect to taxes levied by the county for senior 1130
services related purposes, the taxes charged and payable for such 1131
purposes against all property on the tax list of real and public 1132
utility property for tax year 2009. 1133

       (26) "Total resources," in the case of county children's 1134
services related functions, means the sum of the amounts in 1135
divisions (A)(26)(a) and (b) of this section less any reduction 1136
required under division (A)(32) of this section. 1137

       (a) The sum of the payments received by the county for 1138
children's services related functions in calendar year 2010 under 1139
division (A)(1) of section 5727.86 and divisions (A)(1) and (2) of 1140
section 5751.22 of the Revised Code as they existed at that time; 1141

       (b) With respect to taxes levied by the county for children's 1142
services related purposes, the taxes charged and payable for such 1143
purposes against all property on the tax list of real and public 1144
utility property for tax year 2009. 1145

       (27) "Total resources," in the case of county public health 1146
related functions, means the sum of the amounts in divisions 1147
(A)(27)(a) and (b) of this section less any reduction required 1148
under division (A)(32) of this section. 1149

       (a) The sum of the payments received by the county for public 1150
health related functions in calendar year 2010 under division 1151
(A)(1) of section 5727.86 and divisions (A)(1) and (2) of section 1152
5751.22 of the Revised Code as they existed at that time; 1153

       (b) With respect to taxes levied by the county for public 1154
health related purposes, the taxes charged and payable for such 1155
purposes against all property on the tax list of real and public 1156
utility property for tax year 2009. 1157

       (28) "Total resources," in the case of all county functions 1158
not included in divisions (A)(24) to (27) of this section, means 1159
the sum of the amounts in divisions (A)(28)(a) to (d) of this 1160
section less any reduction required under division (A)(32) or (33) 1161
of this section. 1162

       (a) The sum of the payments received by the county for all 1163
other purposes in calendar year 2010 under division (A)(1) of 1164
section 5727.86 and divisions (A)(1) and (2) of section 5751.22 of 1165
the Revised Code as they existed at that time; 1166

       (b) The county's percentage share of county undivided local 1167
government fund allocations as certified to the tax commissioner 1168
for calendar year 2010 by the county auditor under division (J) of 1169
section 5747.51 of the Revised Code or division (F) of section 1170
5747.53 of the Revised Code, as those divisions existed at that 1171
time, multiplied by the total amount actually distributed in 1172
calendar year 2010 from the county undivided local government 1173
fund; 1174

       (c) With respect to taxes levied by the county for all other 1175
purposes, the taxes charged and payable for such purposes against 1176
all property on the tax list of real and public utility property 1177
for tax year 2009, excluding taxes charged and payable for the 1178
purpose of paying debt charges; 1179

       (d) The sum of the amounts distributed to the county in 1180
calendar year 2010 for the taxes levied pursuant to sections 1181
5739.021 and 5741.021 of the Revised Code. 1182

       (29) "Total resources," in the case of a municipal 1183
corporation, means the sum of the amounts in divisions (A)(29)(a) 1184
to (g) of this section less any reduction required under division 1185
(A)(32) or (33) of this section. 1186

       (a) The sum of the payments received by the municipal 1187
corporation in calendar year 2010 for current expense levy losses 1188
under division (A)(1) of section 5727.86 and divisions (A)(1) and 1189
(2) of section 5751.22 of the Revised Code as they existed at that 1190
time; 1191

       (b) The municipal corporation's percentage share of county 1192
undivided local government fund allocations as certified to the 1193
tax commissioner for calendar year 2010 by the county auditor 1194
under division (J) of section 5747.51 of the Revised Code or 1195
division (F) of section 5747.53 of the Revised Code, as those 1196
divisions existed at that time, multiplied by the total amount 1197
actually distributed in calendar year 2010 from the county 1198
undivided local government fund;1199

       (c) The sum of the amounts distributed to the municipal 1200
corporation in calendar year 2010 pursuant to section 5747.50 of 1201
the Revised Code; 1202

       (d) With respect to taxes levied by the municipal 1203
corporation, the taxes charged and payable against all property on 1204
the tax list of real and public utility property for current 1205
expenses, defined in division (A)(35) of this section, for tax 1206
year 2009; 1207

       (e) The amount of admissions tax collected by the municipal 1208
corporation in calendar year 2008, or if such information has not 1209
yet been reported to the tax commissioner, in the most recent year 1210
before 2008 for which the municipal corporation has reported data 1211
to the commissioner; 1212

       (f) The amount of income taxes collected by the municipal 1213
corporation in calendar year 2008, or if such information has not 1214
yet been reported to the tax commissioner, in the most recent year 1215
before 2008 for which the municipal corporation has reported data 1216
to the commissioner;1217

       (g) The municipal corporation's median estate tax 1218
collections.1219

       (30) "Total resources," in the case of a township, means the 1220
sum of the amounts in divisions (A)(30)(a) to (c) of this section 1221
less any reduction required under division (A)(32) or (33) of this 1222
section. 1223

       (a) The sum of the payments received by the township in 1224
calendar year 2010 pursuant to division (A)(1) of section 5727.86 1225
of the Revised Code and divisions (A)(1) and (2) of section 1226
5751.22 of the Revised Code as they existed at that time, 1227
excluding payments received for debt purposes;1228

       (b) The township's percentage share of county undivided local 1229
government fund allocations as certified to the tax commissioner 1230
for calendar year 2010 by the county auditor under division (J) of 1231
section 5747.51 of the Revised Code or division (F) of section 1232
5747.53 of the Revised Code, as those divisions existed at that 1233
time, multiplied by the total amount actually distributed in 1234
calendar year 2010 from the county undivided local government 1235
fund; 1236

       (c) With respect to taxes levied by the township, the taxes 1237
charged and payable against all property on the tax list of real 1238
and public utility property for tax year 2009 excluding taxes 1239
charged and payable for the purpose of paying debt charges.1240

       (31) "Total resources," in the case of a local taxing unit 1241
that is not a county, municipal corporation, or township, means 1242
the sum of the amounts in divisions (A)(31)(a) to (e) of this 1243
section less any reduction required under division (A)(32) of this 1244
section.1245

       (a) The sum of the payments received by the local taxing unit 1246
in calendar year 2010 pursuant to division (A)(1) of section 1247
5727.86 of the Revised Code and divisions (A)(1) and (2) of 1248
section 5751.22 of the Revised Code as they existed at that time;1249

       (b) The local taxing unit's percentage share of county 1250
undivided local government fund allocations as certified to the 1251
tax commissioner for calendar year 2010 by the county auditor 1252
under division (J) of section 5747.51 of the Revised Code or 1253
division (F) of section 5747.53 of the Revised Code, as those 1254
divisions existed at that time, multiplied by the total amount 1255
actually distributed in calendar year 2010 from the county 1256
undivided local government fund; 1257

       (c) With respect to taxes levied by the local taxing unit, 1258
the taxes charged and payable against all property on the tax list 1259
of real and public utility property for tax year 2009 excluding 1260
taxes charged and payable for the purpose of paying debt charges;1261

       (d) The amount received from the tax commissioner during 1262
calendar year 2010 for sales or use taxes authorized under 1263
sections 5739.023 and 5741.022 of the Revised Code;1264

       (e) For institutions of higher education receiving tax 1265
revenue from a local levy, as identified in section 3358.02 of the 1266
Revised Code, the final state share of instruction allocation for 1267
fiscal year 2010 as calculated by the board of regents and 1268
reported to the state controlling board.1269

       (32) If a fixed-rate levy that is a qualifying levy is not 1270
charged and payable in any year after tax year 2010, "total 1271
resources" used to compute payments to be made under division 1272
(C)(12) of section 5751.21 or division (A)(1)(b) or (c) of section 1273
5751.22 of the Revised Code in the tax years following the last 1274
year the levy is charged and payable shall be reduced to the 1275
extent that the payments are attributable to the fixed-rate levy 1276
loss of that levy as would be computed under division (C)(2) of 1277
section 5727.85, division (A)(1) of section 5727.85, divisions 1278
(C)(8) and (9) of section 5751.21, or division (A)(1) of section 1279
5751.22 of the Revised Code.1280

       (33) In the case of a county, municipal corporation, school 1281
district, or township with fixed-rate levy losses attributable to 1282
a tax levied under section 5705.23 of the Revised Code, "total 1283
resources" used to compute payments to be made under division 1284
(C)(3) of section 5727.85, division (A)(1)(d) of section 5727.86, 1285
division (C)(12) of section 5751.21, or division (A)(1)(c) of 1286
section 5751.22 of the Revised Code shall be reduced by the 1287
amounts described in divisions (A)(34)(a) to (c) of this section 1288
to the extent that those amounts were included in calculating the 1289
"total resources" of the school district or local taxing unit 1290
under division (A)(22), (28), (29), or (30) of this section.1291

        (34) "Total library resources," in the case of a county, 1292
municipal corporation, school district, or township public library 1293
that receives the proceeds of a tax levied under section 5705.23 1294
of the Revised Code, means the sum of the amounts in divisions 1295
(A)(34)(a) to (c) of this section less any reduction required 1296
under division (A)(32) of this section.1297

        (a) The sum of the payments received by the county, municipal 1298
corporation, school district, or township public library in 1299
calendar year 2010 pursuant to sections 5727.86 and 5751.22 of the 1300
Revised Code, as they existed at that time, for fixed-rate levy 1301
losses attributable to a tax levied under section 5705.23 of the 1302
Revised Code for the benefit of the public library;1303

        (b) The public library's percentage share of county undivided 1304
local government fund allocations as certified to the tax 1305
commissioner for calendar year 2010 by the county auditor under 1306
division (J) of section 5747.51 of the Revised Code or division 1307
(F) of section 5747.53 of the Revised Code multiplied by the total 1308
amount actually distributed in calendar year 2010 from the county 1309
undivided local government fund;1310

        (c) With respect to a tax levied pursuant to section 5705.23 1311
of the Revised Code for the benefit of the public library, the 1312
amount of such tax that is charged and payable against all 1313
property on the tax list of real and public utility property for 1314
tax year 2009 excluding any tax that is charged and payable for 1315
the purpose of paying debt charges.1316

        (35) "Municipal current expense property tax levies" means 1317
all property tax levies of a municipality, except those with the 1318
following levy names: airport resurfacing; bond or any levy name 1319
including the word "bond"; capital improvement or any levy name 1320
including the word "capital"; debt or any levy name including the 1321
word "debt"; equipment or any levy name including the word 1322
"equipment," unless the levy is for combined operating and 1323
equipment; employee termination fund; fire pension or any levy 1324
containing the word "pension," including police pensions; 1325
fireman's fund or any practically similar name; sinking fund; road 1326
improvements or any levy containing the word "road"; fire truck or 1327
apparatus; flood or any levy containing the word "flood"; 1328
conservancy district; county health; note retirement; sewage, or 1329
any levy containing the words "sewage" or "sewer"; park 1330
improvement; parkland acquisition; storm drain; street or any levy 1331
name containing the word "street"; lighting, or any levy name 1332
containing the word "lighting"; and water.1333

       (36) "Current expense TPP allocation" means, in the case of a 1334
school district or joint vocational school district, the sum of 1335
the payments received by the school district in fiscal year 2011 1336
pursuant to divisions (C)(10) and (11) of section 5751.21 of the 1337
Revised Code to the extent paid for current expense levies. In the 1338
case of a municipal corporation, "current expense TPP allocation" 1339
means the sum of the payments received by the municipal 1340
corporation in calendar year 2010 pursuant to divisions (A)(1) and 1341
(2) of section 5751.22 of the Revised Code to the extent paid for 1342
municipal current expense property tax levies as defined in 1343
division (A)(35) of this section, excluding any such payments 1344
received for current expense levy losses attributable to a tax 1345
levied under section 5705.23 of the Revised Code. If a fixed-rate 1346
levy that is a qualifying levy is not charged and payable in any 1347
year after tax year 2010, "current expense TPP allocation" used to 1348
compute payments to be made under division (C)(12) of section 1349
5751.21 or division (A)(1)(b) or (c) of section 5751.22 of the 1350
Revised Code in the tax years following the last year the levy is 1351
charged and payable shall be reduced to the extent that the 1352
payments are attributable to the fixed-rate levy loss of that levy 1353
as would be computed under divisions (C)(10) and (11) of section 1354
5751.21 or division (A)(1) of section 5751.22 of the Revised Code.1355

       (37) "TPP allocation" means the sum of payments received by a 1356
local taxing unit in calendar year 2010 pursuant to divisions 1357
(A)(1) and (2) of section 5751.22 of the Revised Code, excluding 1358
any such payments received for fixed-rate levy losses attributable 1359
to a tax levied under section 5705.23 of the Revised Code. If a 1360
fixed-rate levy that is a qualifying levy is not charged and 1361
payable in any year after tax year 2010, "TPP allocation" used to 1362
compute payments to be made under division (A)(1)(b) or (c) of 1363
section 5751.22 of the Revised Code in the tax years following the 1364
last year the levy is charged and payable shall be reduced to the 1365
extent that the payments are attributable to the fixed-rate levy 1366
loss of that levy as would be computed under division (A)(1) of 1367
that section.1368

       (38) "Total TPP allocation" means, in the case of a school 1369
district or joint vocational school district, the sum of the 1370
amounts received in fiscal year 2011 pursuant to divisions (C)(10) 1371
and (11) and (D) of section 5751.21 of the Revised Code. In the 1372
case of a local taxing unit, "total TPP allocation" means the sum 1373
of payments received by the unit in calendar year 2010 pursuant to 1374
divisions (A)(1), (2), and (3) of section 5751.22 of the Revised 1375
Code. If a fixed-rate levy that is a qualifying levy is not 1376
charged and payable in any year after tax year 2010, "total TPP 1377
allocation" used to compute payments to be made under division 1378
(C)(12) of section 5751.21 or division (A)(1)(b) or (c) of section 1379
5751.22 of the Revised Code in the tax years following the last 1380
year the levy is charged and payable shall be reduced to the 1381
extent that the payments are attributable to the fixed-rate levy 1382
loss of that levy as would be computed under divisions (C)(10) and 1383
(11) of section 5751.21 or division (A)(1) of section 5751.22 of 1384
the Revised Code.1385

       (39) "Non-current expense TPP allocation" means the 1386
difference of total TPP allocation minus the sum of current 1387
expense TPP allocation and the portion of total TPP allocation 1388
constituting reimbursement for debt levies, pursuant to division 1389
(D) of section 5751.21 of the Revised Code in the case of a school 1390
district or joint vocational school district and pursuant to 1391
division (A)(3) of section 5751.22 of the Revised Code in the case 1392
of a municipal corporation. 1393

       (40) "TPP allocation for library purposes" means the sum of 1394
payments received by a county, municipal corporation, school 1395
district, or township public library in calendar year 2010 1396
pursuant to section 5751.22 of the Revised Code for fixed-rate 1397
levy losses attributable to a tax levied under section 5705.23 of 1398
the Revised Code. If a fixed-rate levy authorized under section 1399
5705.23 of the Revised Code that is a qualifying levy is not 1400
charged and payable in any year after tax year 2010, "TPP 1401
allocation for library purposes" used to compute payments to be 1402
made under division (A)(1)(d) of section 5751.22 of the Revised 1403
Code in the tax years following the last year the levy is charged 1404
and payable shall be reduced to the extent that the payments are 1405
attributable to the fixed-rate levy loss of that levy as would be 1406
computed under division (A)(1) of section 5751.22 of the Revised 1407
Code.1408

        (41) "Threshold per cent" means, in the case of a school 1409
district or joint vocational school district, two per cent for 1410
fiscal year 2012 and four per cent for fiscal years 2013 and 1411
thereafter. In the case of a local taxing unit or public library 1412
that receives the proceeds of a tax levied under section 5705.23 1413
of the Revised Code, "threshold per cent" means two per cent for 1414
tax year 2011, four per cent for tax year 2012, and six per cent 1415
for tax years 2013 and thereafter.1416

       (B)(1) The commercial activities tax receipts fund is hereby 1417
created in the state treasury and shall consist of money arising 1418
from the tax imposed under this chapter. Eighty-five 1419
one-hundredths of one per cent of the money credited to that fund 1420
shall be credited to the revenue enhancement fund and shall be 1421
used to defray the costs incurred by the department of taxation in 1422
administering the tax imposed by this chapter and in implementing 1423
tax reform measures. The remainder of the money in the commercial 1424
activities tax receipts fund shall first be credited to the 1425
commercial activity tax motor fuel receipts fund, pursuant to 1426
division (B)(2) of this section, and the remainder shall be 1427
credited in the following percentages each fiscal year to the 1428
general revenue fund, to the school district tangible property tax 1429
replacement fund, which is hereby created in the state treasury 1430
for the purpose of making the payments described in section 1431
5751.21 of the Revised Code, and to the local government tangible 1432
property tax replacement fund, which is hereby created in the 1433
state treasury for the purpose of making the payments described in 1434
section 5751.22 of the Revised Code, in the following percentages:1435

Fiscal year General Revenue Fund School District Tangible Property Tax Replacement Fund Local Government Tangible Property Tax Replacement Fund 1436
2006 67.7% 22.6% 9.7% 1437
2007 0% 70.0% 30.0% 1438
2008 0% 70.0% 30.0% 1439
2009 0% 70.0% 30.0% 1440
2010 0% 70.0% 30.0% 1441
2011 0% 70.0% 30.0% 1442
2012 25.0% 52.5% 22.5% 1443
2013 and thereafter 50.0% 35.0% 15.0% 1444

       (2) Not later than the twentieth day of February, May, 1445
August, and November of each year, the commissioner shall provide 1446
for payment from the commercial activities tax receipts fund to 1447
the commercial activity tax motor fuel receipts fund an amount 1448
that bears the same ratio to the balance in the commercial 1449
activities tax receipts fund that (a) the taxable gross receipts 1450
attributed to motor fuel used for propelling vehicles on public 1451
highways as indicated by returns filed by the tenth day of that 1452
month for a liability that is due and payable on or after July 1, 1453
2013, bears to (b) all taxable gross receipts as indicated by 1454
those returns for such liabilities.1455

       (C) Not later than September 15, 2005, the tax commissioner 1456
shall determine for each school district, joint vocational school 1457
district, and local taxing unit its machinery and equipment, 1458
inventory property, furniture and fixtures property, and telephone 1459
property tax value losses, which are the applicable amounts 1460
described in divisions (C)(1), (2), (3), and (4) of this section, 1461
except as provided in division (C)(5) of this section:1462

       (1) Machinery and equipment property tax value loss is the 1463
taxable value of machinery and equipment property as reported by 1464
taxpayers for tax year 2004 multiplied by:1465

       (a) For tax year 2006, thirty-three and eight-tenths per 1466
cent;1467

       (b) For tax year 2007, sixty-one and three-tenths per cent;1468

       (c) For tax year 2008, eighty-three per cent;1469

       (d) For tax year 2009 and thereafter, one hundred per cent.1470

       (2) Inventory property tax value loss is the taxable value of 1471
inventory property as reported by taxpayers for tax year 2004 1472
multiplied by:1473

       (a) For tax year 2006, a fraction, the numerator of which is 1474
five and three-fourths and the denominator of which is 1475
twenty-three;1476

        (b) For tax year 2007, a fraction, the numerator of which is 1477
nine and one-half and the denominator of which is twenty-three;1478

        (c) For tax year 2008, a fraction, the numerator of which is 1479
thirteen and one-fourth and the denominator of which is 1480
twenty-three;1481

        (d) For tax year 2009 and thereafter a fraction, the 1482
numerator of which is seventeen and the denominator of which is 1483
twenty-three.1484

        (3) Furniture and fixtures property tax value loss is the 1485
taxable value of furniture and fixture property as reported by 1486
taxpayers for tax year 2004 multiplied by:1487

        (a) For tax year 2006, twenty-five per cent;1488

        (b) For tax year 2007, fifty per cent;1489

        (c) For tax year 2008, seventy-five per cent;1490

        (d) For tax year 2009 and thereafter, one hundred per cent.1491

       The taxable value of property reported by taxpayers used in 1492
divisions (C)(1), (2), and (3) of this section shall be such 1493
values as determined to be final by the tax commissioner as of 1494
August 31, 2005. Such determinations shall be final except for any 1495
correction of a clerical error that was made prior to August 31, 1496
2005, by the tax commissioner.1497

       (4) Telephone property tax value loss is the taxable value of 1498
telephone property as taxpayers would have reported that property 1499
for tax year 2004 if the assessment rate for all telephone 1500
property for that year were twenty-five per cent, multiplied by:1501

       (a) For tax year 2006, zero per cent;1502

       (b) For tax year 2007, zero per cent;1503

       (c) For tax year 2008, zero per cent;1504

       (d) For tax year 2009, sixty per cent;1505

       (e) For tax year 2010, eighty per cent;1506

       (f) For tax year 2011 and thereafter, one hundred per cent.1507

       (5) Division (C)(5) of this section applies to any school 1508
district, joint vocational school district, or local taxing unit 1509
in a county in which is located a facility currently or formerly 1510
devoted to the enrichment or commercialization of uranium or 1511
uranium products, and for which the total taxable value of 1512
property listed on the general tax list of personal property for 1513
any tax year from tax year 2001 to tax year 2004 was fifty per 1514
cent or less of the taxable value of such property listed on the 1515
general tax list of personal property for the next preceding tax 1516
year.1517

       In computing the fixed-rate levy losses under divisions 1518
(D)(1), (2), and (3) of this section for any school district, 1519
joint vocational school district, or local taxing unit to which 1520
division (C)(5) of this section applies, the taxable value of such 1521
property as listed on the general tax list of personal property 1522
for tax year 2000 shall be substituted for the taxable value of 1523
such property as reported by taxpayers for tax year 2004, in the 1524
taxing district containing the uranium facility, if the taxable 1525
value listed for tax year 2000 is greater than the taxable value 1526
reported by taxpayers for tax year 2004. For the purpose of making 1527
the computations under divisions (D)(1), (2), and (3) of this 1528
section, the tax year 2000 valuation is to be allocated to 1529
machinery and equipment, inventory, and furniture and fixtures 1530
property in the same proportions as the tax year 2004 values. For 1531
the purpose of the calculations in division (A) of section 5751.21 1532
of the Revised Code, the tax year 2004 taxable values shall be 1533
used.1534

       To facilitate the calculations required under division (C) of 1535
this section, the county auditor, upon request from the tax 1536
commissioner, shall provide by August 1, 2005, the values of 1537
machinery and equipment, inventory, and furniture and fixtures for 1538
all single-county personal property taxpayers for tax year 2004.1539

       (D) Not later than September 15, 2005, the tax commissioner 1540
shall determine for each tax year from 2006 through 2009 for each 1541
school district, joint vocational school district, and local 1542
taxing unit its machinery and equipment, inventory, and furniture 1543
and fixtures fixed-rate levy losses, and for each tax year from 1544
2006 through 2011 its telephone property fixed-rate levy loss. 1545
Except as provided in division (F) of this section, such losses 1546
are the applicable amounts described in divisions (D)(1), (2), 1547
(3), and (4) of this section:1548

       (1) The machinery and equipment fixed-rate levy loss is the 1549
machinery and equipment property tax value loss multiplied by the 1550
sum of the tax rates of fixed-rate qualifying levies.1551

       (2) The inventory fixed-rate loss is the inventory property 1552
tax value loss multiplied by the sum of the tax rates of 1553
fixed-rate qualifying levies.1554

        (3) The furniture and fixtures fixed-rate levy loss is the 1555
furniture and fixture property tax value loss multiplied by the 1556
sum of the tax rates of fixed-rate qualifying levies.1557

       (4) The telephone property fixed-rate levy loss is the 1558
telephone property tax value loss multiplied by the sum of the tax 1559
rates of fixed-rate qualifying levies.1560

       (E) Not later than September 15, 2005, the tax commissioner 1561
shall determine for each school district, joint vocational school 1562
district, and local taxing unit its fixed-sum levy loss. The 1563
fixed-sum levy loss is the amount obtained by subtracting the 1564
amount described in division (E)(2) of this section from the 1565
amount described in division (E)(1) of this section:1566

       (1) The sum of the machinery and equipment property tax value 1567
loss, the inventory property tax value loss, and the furniture and 1568
fixtures property tax value loss, and, for 2008 through 2010, the 1569
telephone property tax value loss of the district or unit 1570
multiplied by the sum of the fixed-sum tax rates of qualifying 1571
levies. For 2006 through 2010, this computation shall include all 1572
qualifying levies remaining in effect for the current tax year and 1573
any school district levies charged and payable under section 1574
5705.194 or 5705.213 of the Revised Code that are qualifying 1575
levies not remaining in effect for the current year. For 2011 1576
through 2017 in the case of school district levies charged and 1577
payable under section 5705.194 or 5705.213 of the Revised Code and 1578
for all years after 2010 in the case of other fixed-sum levies, 1579
this computation shall include only qualifying levies remaining in 1580
effect for the current year. For purposes of this computation, a 1581
qualifying school district levy charged and payable under section 1582
5705.194 or 5705.213 of the Revised Code remains in effect in a 1583
year after 2010 only if, for that year, the board of education 1584
levies a school district levy charged and payable under section 1585
5705.194, 5705.199, 5705.213, or 5705.219 of the Revised Code for 1586
an annual sum at least equal to the annual sum levied by the board 1587
in tax year 2004 less the amount of the payment certified under 1588
this division for 2006.1589

       (2) The total taxable value in tax year 2004 less the sum of 1590
the machinery and equipment, inventory, furniture and fixtures, 1591
and telephone property tax value losses in each school district, 1592
joint vocational school district, and local taxing unit multiplied 1593
by one-half of one mill per dollar.1594

       (3) For the calculations in divisions (E)(1) and (2) of this 1595
section, the tax value losses are those that would be calculated 1596
for tax year 2009 under divisions (C)(1), (2), and (3) of this 1597
section and for tax year 2011 under division (C)(4) of this 1598
section.1599

       (4) To facilitate the calculation under divisions (D) and (E) 1600
of this section, not later than September 1, 2005, any school 1601
district, joint vocational school district, or local taxing unit 1602
that has a qualifying levy that was approved at an election 1603
conducted during 2005 before September 1, 2005, shall certify to 1604
the tax commissioner a copy of the county auditor's certificate of 1605
estimated property tax millage for such levy as required under 1606
division (B) of section 5705.03 of the Revised Code, which is the 1607
rate that shall be used in the calculations under such divisions.1608

       If the amount determined under division (E) of this section 1609
for any school district, joint vocational school district, or 1610
local taxing unit is greater than zero, that amount shall equal 1611
the reimbursement to be paid pursuant to division (E) of section 1612
5751.21 or division (A)(3) of section 5751.22 of the Revised Code, 1613
and the one-half of one mill that is subtracted under division 1614
(E)(2) of this section shall be apportioned among all contributing 1615
fixed-sum levies in the proportion that each levy bears to the sum 1616
of all fixed-sum levies within each school district, joint 1617
vocational school district, or local taxing unit.1618

       (F) If a school district levies a tax under section 5705.219 1619
of the Revised Code, the fixed-rate levy loss for qualifying 1620
levies, to the extent repealed under that section, shall equal the 1621
sum of the following amounts in lieu of the amounts computed for 1622
such levies under division (D) of this section:1623

       (1) The sum of the rates of qualifying levies to the extent 1624
so repealed multiplied by the sum of the machinery and equipment, 1625
inventory, and furniture and fixtures tax value losses for 2009 as 1626
determined under that division;1627

       (2) The sum of the rates of qualifying levies to the extent 1628
so repealed multiplied by the telephone property tax value loss 1629
for 2011 as determined under that division.1630

       The fixed-rate levy losses for qualifying levies to the 1631
extent not repealed under section 5705.219 of the Revised Code 1632
shall be as determined under division (D) of this section. The 1633
revised fixed-rate levy losses determined under this division and 1634
division (D) of this section first apply in the year following the 1635
first year the district levies the tax under section 5705.219 of 1636
the Revised Code.1637

       (G) Not later than October 1, 2005, the tax commissioner 1638
shall certify to the department of education for every school 1639
district and joint vocational school district the machinery and 1640
equipment, inventory, furniture and fixtures, and telephone 1641
property tax value losses determined under division (C) of this 1642
section, the machinery and equipment, inventory, furniture and 1643
fixtures, and telephone fixed-rate levy losses determined under 1644
division (D) of this section, and the fixed-sum levy losses 1645
calculated under division (E) of this section. The calculations 1646
under divisions (D) and (E) of this section shall separately 1647
display the levy loss for each levy eligible for reimbursement.1648

       (H) Not later than October 1, 2005, the tax commissioner 1649
shall certify the amount of the fixed-sum levy losses to the 1650
county auditor of each county in which a school district, joint 1651
vocational school district, or local taxing unit with a fixed-sum 1652
levy loss reimbursement has territory.1653

       (I) Not later than the twenty-eighth day of February each 1654
year beginning in 2011 and ending in 2014, the tax commissioner 1655
shall certify to the department of education for each school 1656
district first levying a tax under section 5705.219 of the Revised 1657
Code in the preceding year the revised fixed-rate levy losses 1658
determined under divisions (D) and (F) of this section.1659

       (J) There is hereby created in the state treasury the 1660
commercial activity tax motor fuel receipts fund.1661

       Section 2. That existing sections 5705.29, 5747.501, 5747.51, 1662
5747.52, 5747.53, and 5751.20 of the Revised Code are hereby 1663
repealed.1664

       Section 3. The amendment or enactment by this act of sections 1665
5705.29, 5747.51, 5747.511, 5747.512, 5747.52, 5747.53, and 1666
5751.20 of the Revised Code takes effect January 1, 2014.1667

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