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Budget Webinar (as passed by the Ohio House). May 23, 2011 OSBA: Michelle Francis, Jay Smith, Damon Asbury OASBO: Barbara Shaner. Am. Sub. HB 153 - Biennial Budget Bill. FY 12-13 Budget The Budget Process/Timeline Executive proposal - March 15 House version - May 5

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budget webinar as passed by the ohio house

Budget Webinar(as passed by the Ohio House)

May 23, 2011

OSBA: Michelle Francis, Jay Smith, Damon Asbury

OASBO: Barbara Shaner

am sub hb 153 biennial budget bill
Am. Sub. HB 153 - Biennial Budget Bill
  • FY 12-13 Budget
  • The Budget Process/Timeline

Executive proposal - March 15

House version - May 5

Senate version - June?

Conference Committee - June?

Signed by Governor?

key changes as introduced vs house version
Key Changes“As Introduced”vs. “House Version”
  • Increase in State Aid Funding*
  • TPP phase-out freeze
  • Charter School expansion
  • Senate Bill 5 like provisions
  • Removes parental takeover and implements pilot program
  • Removes pension language
  • ODE reporting
  • Calamity day provisions
  • Increased funding for ESCs
  • Inserts Gifted funding at 09 level
hb 153 k 12 education funding
HB 153K-12 Education Funding
  • $3 Billion Loss for Schools over Biennium
  • Repeals the OEBM.
  • Creates “Bridge Formula” for FY12.
  • New formula to be developed for FY13.
k 12 education funding
K-12 Education Funding
  • Tangible Personal Property (TPP) Tax Reimbursement

- Reduced 37.2% in FY12

- Reduced additional 34.3% in FY13

  • Accelerates phase-out of the TPP and PUTPP replacement payments just during the biennium.
  • Reductions for both done separately but uses same methodology for both.
hb 153 other funding
HB 153 - Other Funding
  • Supplemental transportation funding is folded into basic aid line item. Not funded as additional payment to qualifying districts.
  • Gifted education funding is moved to basic aid line item. Spending requirements based on FY 2009 levels.
hb 153 other funding1
HB 153 - Other Funding
  • The career-tech foundation funding line item is flat-funded in both years of the budget.
  • ESC funding reduced by 10% in FY 12 and 15% in FY 13.
hb 153 reform
HB 153 - “Reform”
  • Sets new requirements for data collection and district rankings to be performed by ODE.
  • Creates a pilot program in Columbus City Schools for parental take-over.

- Allows parents and teachers to take over school buildings ranked in the bottom 5% for three consecutive years and ranked in AW or AE.

hb 153 reform1
HB 153 - “Reform”

Expands shared services through regional support centers.

Creates new opportunities for districts to select a different ESC to be affiliated with. Establishes a timeline for districts to notify ESC's that they plan to transfer to another ESC.

hb 153 reform2
HB 153 - “Reform”

Two Ohio Education Matters (KnowledgeWorks) studies were cited by the administration as providing ways for school districts to weather the funding reductions.

- OSBA, OASBO and BASA issue ETPI analysis and challenge findings.

hb 153 personnel
HB 153 - Personnel
  • Governor’s proposal changed contribution levels for the two school related state retirement systems to 12% for both employees and employers.

- House removed

- Senate considering adding back in

  • Several “SB 5 like” provisions in HB 153. - Handout
hb 153 personnel1
HB 153 - Personnel

Reductions in force for teachers would focus on evaluation, rather than the current last-in, first-out practice.

Evaluations for teachers would be required every year.

- 50% of evaluation must be from student performance.

hb 153 personnel2
HB 153 - Personnel

Requires each school district and ESC board to annually adopt a teachers' salary schedule, based on:

- Teacher’s level of licensure;

- Whether “highly qualified”;

- Evaluation ratings.

Must determine each teacher’s salary within the appropriate salary schedule range.

hb 153 school choice
HB 153 - School Choice
  • Doubles the number of EdChoice Vouchers in FY12. Quadruples the number to 60,000 in FY13.
  • Eliminates cap on the number of charter schools.
  • Extends right of first refusal on buildings to include leasing.
hb 153 school choice1
HB 153 - School Choice
  • House Changes - Handout
  • House added many provisions favorable to certain operators.

- Students up to age 29 w/o diploma or GED could enroll.

- No sponsor needed for community schools.

- Repeal current law restricting poor performing charters from opening new schools.

hb 153 school choice2
HB 153 - School Choice

The increase in the number of students taking vouchers or attending charter schools would continue to be funded through deductions from school district state funding.

Authorizes “entities” and “groups of individuals” to form community schools and authorizes a community school to be established as a for-profit corporation or LLC.

hb 153 school choice3
HB 153 - School Choice

Removes the governor’s proposal that prohibited a community school sponsor with one or more schools in AW or AE from expanding.

Eliminates caps on the total number of community schools a sponsor can operate.

Give for-profit companies the ability to use tax dollars to open unlimited numbers of community schools without disclosing how public funds are spent and without oversight from sponsors as now required.

hb 153 current status
HB 153 - Current Status
  • House

- Primary & Secondary Education Subcommittee

- Full House Finance Committee

- Sub. Bill accepted 4/28

- House Finance Committee vote 5/3

- Full House vote 5/5

  • Senate

- Full Senate Finance Committee

- Amendments Due Thursday

- Sub Bill next week/first week of June

- Senate Finance Committee vote & Full Senate vote second week of June