Read the full stored bill text
As Introduced
136th
General Assembly
Regular
Session
H. B. No. 671
2025-2026
Representative Callender
To
enact section 3317.50 of the Revised Code
regarding
school districts that bring a legal action against the state
challenging the calculation and distribution of foundation funding
and to make an appropriation.
BE
IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:
Section
1.
That
section 3317.50 of the Revised Code be enacted to read as follows:
Sec.
3317.50.
The
department of education and workforce shall withhold state foundation
funding calculated under this chapter for any school district that is
a complainant or a member of a complainant in a legal action against
the state that challenges or otherwise seeks to change, invalidate,
or declare void the calculation or distribution, or both, of
foundation funding under this chapter, including funding for state
scholarship programs as defined in section 3301.0711 of the Revised
Code. The department shall certify the amount of withheld funds to
the director of budget and management. The director of budget and
management shall transfer the amount certified into the state
foundation funding escrow fund established under this section. The
department of education and workforce shall release withheld funds to
the school district only upon the termination of the legal action or
the district's withdrawal from the action.
The
state foundation funding escrow fund is created in the state
treasury, to consist of such amounts withheld from school districts
by the department of education and workforce under this section. The
fund shall be administered by the department of education and
workforce.
Section
2.
During
fiscal years 2026 and 2027, if the Director of Education and
Workforce is required to release withheld funds under section 3317.50
of the Revised Code, the Director shall certify to the Director of
Budget and Management the amounts necessary to make payments under
that section from the State Foundation Funding Escrow Fund. The
amounts certified are hereby appropriated.
Section
3.
Within
the limits set forth in this act, the Director of Budget and
Management shall establish accounts indicating the source and amount
of funds for each appropriation made in this act, and shall determine
the manner in which appropriation accounts shall be maintained.
Expenditures from operating appropriations contained in this act
shall be accounted for as though made in, and are subject to all
applicable provisions of, H.B. 96 of the 136th General Assembly.