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Am. Sub. H.B. 119 (2007) — FY2008-09 Budget; Two Protections Removed

The last budget before the Evidence-Based Model, and the one that took the foundation formula apart from inside: it abolished the cost of doing business factor, abolished the base cost guarantee, and folded parity aid and poverty-based assistance into the base cost.

legislation/hb-119-2007 · 3 nodes point here · 1 correction

The final act of the foundation base cost regime, and the evidence that the regime’s structure was not stable to the end.

The base cost formula amount rises 3.0% a year to $5,565 in FY2008 and $5,732 in FY2009, still built from three components — base classroom teacher cost, and the two others the formula had always carried. verified the greenbook

Three structural changes, two of them removals Contents

The cost of doing business factor is abolished. The CDBF was computed per county from wages in that county and every contiguous one, and it multiplied the formula amount: in FY2005 it raised the highest-cost county’s amount by 7.5%. H.B. 66 had already phased the differential down to 5.0% in FY2006 and 2.5% in FY2007; this act removes it. verified A geographic cost adjustment that took eight years to build and four to dismantle, and Ohio’s formula has had none since.

The base cost guarantee is abolished. Under former law a district’s state base cost funding was guaranteed to be no lower than the lesser of its aggregate or per-pupil base cost funding in FY2005. This act removes the provision outright. verified

Parity aid and poverty-based assistance move inside the base cost. Both were separate state-funded supplements; the act adds them to total base cost before the state share percentage is computed. Because both are wholly state-funded, folding them in raises the state share percentage for most districts — and that percentage then determines the state’s share of special education and career-technical weighted funding. verified A change of accounting position that moves money in a different program.

Other provisions. The poverty index stops using current-year data, so it stabilizes within a year. A new Closing the Achievement Gap program pays on an “academic distress index” — the share of a district’s buildings in academic watch or emergency, divided by the statewide share — for districts above a threshold on both that and poverty. verified

What this repository computed Contents

Not what Ohio publishes. Figures derived here from committed fixtures, each one citing the test that reproduces it.

It settles what foundation-base-cost-formula left open about its own boundary Contents

That regime node records its structure as “stable” across two decades and asks, [open], whether the changes inside it warrant separate regime nodes. On the evidence of this act the structure was not stable at the end: the multiplier was removed, the floor was removed, and two supplements changed which side of the state-share calculation they sat on. Whether that is a new regime or the old one being emptied is a judgment the corpus can now make from a source rather than from silence. inference

Two removals, and only one of them is remembered Contents

The Fair School Funding Plan is routinely described as ending Ohio’s guarantees, and it did not: it has its own, anchored at FY2020 and never re-based. The guarantee that was actually abolished — the FY2005 base cost floor — went in 2007, two regimes earlier, and nothing in this corpus recorded it before. verified

The last formula before the Evidence-Based Model Contents

H.B. 1 of 2009 replaced this with the EBM two years later, and H.B. 153 of 2011 repealed that after one biennium. So the formula this act spent its provisions rebuilding was legislated out of existence within twenty-four months, and the Bridge formula that followed distributed by reference to prior-year amounts — meaning FY2009’s distribution, computed under the rules this act wrote, is inside the chain of anchors that reaches FY2027. inference the chain is in Bridge Formula open how far below FY2013 it reaches

106 budget lines name H.B. 119 in their legal_basis, more than any other act of the pre-2010 era except H.B. 152 of the 120th. verified

Properties Contents

DesignationAm. Sub. H.B. 119
General Assembly127th General Assembly
Signed2007-06-30
Effective2007-09-29
When each part took effectTwo dates, and effective above carries the codified one. Signed 30 June 2007, with the appropriation sections effective then; the codified amendments took effect on 29 September 2007, and some provisions on other dates. verified LSC's enrolled analysis; the legislature's version index
What it didEnacted the FY2008-09 operating budget. Raised the base cost formula amount 3.0% a year to $5,565 and $5,732; abolished the cost of doing business factor and the FY2005 base cost guarantee; moved parity aid and poverty-based assistance inside the base cost calculation, raising most districts' state share percentage; stabilized the poverty index by dropping current-year data; created Closing the Achievement Gap on an academic distress index.
VetoesThree, and the first is a scholarship program that would not exist for another four years. verified the greenbook

The Special Education Scholarship Pilot Program, creating scholarships for children with disabilities to attend alternative public or private special education programs, funded by transferring state aid from the scholarship child's resident district — the deduct mechanism exactly. Vetoed, together with its $50,000 and $250,000 administrative earmarks in 200-421. A materially identical program was enacted later as the Jon Peterson Special Needs Scholarship, which dew-scholarship-reports carries. verified

Also vetoed: a provision barring the department from withholding payment to a community school over a disputed enrollment until the resident district proved the student was not enrolled — a burden-of-proof rule in the community school deduct; and a provision letting the department spend the Reading Recovery earmark on other reading programs and on evaluating Reading Recovery itself.
Effect on accountabilityClosing the Achievement Gap pays on the academic watch and academic emergency building counts, which makes it one of the earliest points where Ohio's accountability ratings determine a funding amount — the first inside the formula, and the mechanism was never recorded.

Closing the Achievement Gap paid 0.0015 × formula amount × poverty index × academic distress index × formula ADM, where the academic distress index is the share of a district's buildings in academic watch or emergency over the state's share. A district qualified only with both that index and its poverty index at 1.0 or above, and 31 districts did; statewide 447 of 3,867 buildings (11.6%) carried one of the two ratings on the 2005-06 report card. verified crates/project, rating_payments, pinned by test

It paid on failure, and in its second year it also paid on improvement. A district that qualified in FY2008 and lowered its academic distress percentage received its FY2008 subsidy times 1.035; one that did not improve received the same amount flat; a district newly qualifying got the formula. So the same program rewarded being rated badly and getting better, which no later Ohio coupling has done. verified

The rate is 0.15 per cent of the formula amount. The bonuses H.B. 64 introduced eight years later paid seven and a half per cent — fifty times as much — and in the opposite direction. See Ohio report card.

Where this appears on the site Contents

The pages outside the corpus that link here, and the section of each the link sits in.

What this node used to say Contents

The corpus is not rewritten to have always been right. Each entry is a claim this node carried, what replaced it, and the thing that settled it.

Correction 1 of 1

It said

effective: 2007-09-28, with no source recorded for it.

It says

effective: 2007-09-29, with the split recorded in effective_note.

Settled by

LSC’s enrolled analysis of H.B. 119 of the 127th and the legislature’s version index, which both give 29 September 2007.

What else it touched

Nothing read the date: no other node, crate or page cites it, and the fiscal period the act funds takes its start from its own definition.