FY2011 Set asides

Sections 3315.17 and 3315.18 of the Ohio Revised Code (ORC) require districts to set aside portions of their operating budget each year for the purchase of textbook and instructional materials and for capital improvements and maintenance. After passage of Am. Sub. S.B. 345 of the 123rd General Assembly, the amount of the set aside has been defined as 3% of the formula amount for the prior fiscal year.

In addition, this statute allowed districts to continue to use the method originally adopted in Sub. H.B. 412 of the 121st General Assembly.  Under the original statute, the amount to be set aside was 3% of the prior year’s base revenue where base revenue consisted of the prior year property taxes, income taxes, and state foundation aid for the regular student population.
 
Each fiscal year districts may choose between the two methods for calculating its set aside requirement. If a district chooses to use the original H.B. 412 method, the local board of education must pass a resolution by September 30th and keep it on file for audit purposes. The board of education does not have to take any action if it chooses to use the S.B. 345 method.

Districts should consult Auditor of State Bulletin 2001-06 for more details on the S.B. 345 calculations and Auditor of State Bulletin 98-014 for more details on the H.B. 412 calculations and the local property and income taxes to be included in the base revenue.

To assist city, local and exempted village districts with the set aside calculations, the department has developed a report of the S.B. 345 set aside amount and H.B. 412 state funds to be included in the base revenue totals. Please click here to see this report.

To assist joint vocational districts with the set aside calculations, the department has developed a report of the S.B. 345 set aside amount and H.B. 412 state funds to be included in the base revenue totals. Please click here to see this report.

Last Modified: 5/17/2013 2:43:24 PM