Chapter 3301-12 State Superintendent Spending Orders

3301-12-01 Purpose.

The purpose of these rules is to implement section 3317.017 of the Revised Code and make provision for the authority of the superintendent of public instruction to issue orders that could affect both the expenditure and reporting of certain components of state funding.

R.C. 119.032 review dates: 02/02/2011 and 02/02/2016
Promulgated Under: 119.03
Statutory Authority: 3301.07 , 3317.017
Rule Amplifies: 3317.017
Prior Effective Dates: 5/19/2006

3301-12-02 Districts and prioritization.

(A) Districts that are subject to the provisions of this chapter are those that have been declared to be in academic watch or academic emergency pursuant to section 3302.03 of the Revised Code.

(B) The superintendent of public instruction may gather information from such sources as the superintendent of public instruction determines to be relevant in order to prioritize the school districts subject to this rule. Such prioritization shall be undertaken to identify those districts that are likely to benefit from orders authorized under this rule. Such information may include, but shall not be limited to:

(1) Information regarding previous spending reviews conducted and previous orders issued pursuant to this rule, including information regarding the actions taken by the district to implement recommendations from such reviews or the actions taken to implement issued orders;

(2) Information regarding the academic performance of students enrolled in the school district including historic trend information and building-level information;

(3) Information about the district improvement plan prepared pursuant to rule 3301-35-03 of the Administrative Code, or other such plans as may be submitted in compliance with state or federal grant application requirements;

(4) Information about school district activities as they may relate to district efforts to improve academic achievement;

(5) Information about participation in professional development activity by district teachers, principals, administrators, and other employees;

(6) Information about the financial condition of the district including the district five year forecast, any recovery plans submitted by the district, and any financial or related analyses conducted by divisions or offices of the department of education;

(7) Information about the financial management practices of the district, including the district's budget, the district's reported expenditures, and information about district grants management practices. District expenditure information may be categorized by broad categories such as instruction, administration, pupil support services, etc.;

(8) Any other analyses or reviews conducted by any division or office within the department of education;

(9) Information relating to compliance by the district with school operating standards as specified in Chapter 3301-35 of the Administrative Code;

(10) Any performance audit of the district conducted by the auditor of state pursuant to section 3316.042 of the Revised Code or any financial audit of the district conducted by the auditor of state pursuant to section 117.11 of the Revised Code; and

(11) Information submitted by the school district for the superintendent of public instruction's consideration in the process of implementing this chapter of the Administrative Code.

(C) Based on the information gathered under paragraph (B) the superintendent of public instruction may determine whether a spending practice review should be undertaken pursuant to rule 3301-12-03 of the Administrative Code.

R.C. 119.032 review dates: 02/02/2011 and 02/02/2016
Promulgated Under: 119.03
Statutory Authority: 3301.07 , 3317.017
Rule Amplifies: 3317.017
Prior Effective Dates: 5/19/2006

3301-12-03 Review of spending practices.

(A) For any of the districts subject to the provisions of this chapter, the superintendent of public instruction may authorize a review of the district's spending practices. If such a review is authorized, notification shall be made to the school district superintendent, treasurer, members of the district board of education, and the president of the organization representing classroom teachers. Each school district that will be subject to a review shall cooperate with the review.

(B) A spending practice review shall be of such scope as shall be defined by the superintendent of public instruction and may include any or all of the district spending practices in the following areas for which state funds are provided to the district:

(1) Compensation of base classroom teachers;

(2) Intervention services;

(3) Professional development;

(4) Data-based decision making;

(5) All-day kindergarten;

(6) Class-size reduction;

(7) Services for limited english proficient students;

(8) Dropout prevention;

(9) Community outreach;

The scope of the review may also include the district's practices with regard to the allocation of financial resources among and between buildings within the district, and any other spending practice that the superintendent of public instruction determines to be important to making a determination as to whether orders should be issued pursuant to this rule.

(C) Commensurate with the scope of the review, the superintendent of public instruction may appoint one or more individuals to conduct the review. Those appointed to conduct the reviews may be employees of the department of education, current or former school district superintendents, treasurers, and business managers or other individuals that, in the opinion of the superintendent of public instruction, possess the ability to review district spending practices. Reviewers shall collect information relevant to evaluating a district's spending practices consistent with the scope of the review as defined by the superintendent of public instruction. Reviewers may conduct such financial or other analyses as they deem appropriate to making recommendations, including comparative analyses with other school districts.

(D) The person or persons designated to conduct the review shall make a report and recommendation to the superintendent of public instruction. The report shall include but not be limited to the following:

(1) Information regarding the district's academic performance and whether the district is improving and whether buildings in the district are improving.

(2) Information regarding the content and quality of the district's improvement plan. Such information shall include, but not be limited to, the following:

(a) The quality of the needs assessment conducted by the district;

(b) The degree to which goals are clearly stated and focused; and

(c) The degree to which the district has aligned its financial resources around the strategies of the plan.

(3) Information regarding the quality of professional development services funded by the district, and the extent to which such professional development is aligned with the standards adopted by the state board of education pursuant to section 3319.61 of the Revised Code is aligned with student academic needs based on student performance on state assessments and is impacting achievement test results and student learning;

(4) Information regarding the quality of intervention services funded by the district, the extent to which such intervention services are aligned with research-based intervention services, and the impact such intervention is having on achievement test results and student learning;

(5) Information regarding the type of data analysis used in the district and the extent to which such data analysis drives decision making regarding academic improvement;

(6) Information regarding the budgeting and financial management practices of the district, including information regarding building level resource allocation decisions, and the manner in which allocated funds are ultimately used at the district and building level; and

(7) Any other information that the reviewers may determine are significant to their report and recommendations.

Upon the issuance of report and recommendations of a review conducted pursuant to this rule, a copy shall be provided to the school district superintendent, treasurer, president of the school district board of education, and president of the organization representing classroom teachers, each of whom shall be given an opportunity to comment. Such comments shall be submitted within the number of days specified by the superintendent of public instruction

R.C. 119.032 review dates: 02/02/2011 and 02/02/2016
Promulgated Under: 119.03
Statutory Authority: 3301.07 , 3317.017
Rule Amplifies: 3317.017
Prior Effective Dates: 5/19/2006

3301-12-04 Funds subject to orders.

The funds that may be the subject of the orders specified in this rule are the following:

(A) State funds for compensation of base classroom teachers as described in division (B)(1) of section 3317.012 of the Revised Code;

(B) State funds for academic intervention services under division (C)(1) of section 3317.012 and division (C) of section 3317.019 of the Revised Code;

(C) State funds for professional development under divisions (I)(2) and (I)(4) of section 3317.012 and division (G) of section 3317.019 of the Revised Code;

(D) State funds for data-based decision making under division (I)(3) of section 3317.012 of the Revised Code;

(E) The poverty-based assistance guarantee payment under division (B) of section 3317.029 of the Revised Code;

(F) State funds for all day kindergarten services under division (D) of section 3317.029 of the Revised Code;

(G) State funds for class size reduction under division (E) of section 3317.029 of the Revised Code;

(H) State funds for services to limited english proficient students under division (F) of section 3317.029 of the Revised Code;

(I) State funds for dropout prevention under division (H) of section 3317.029 of the Revised Code; and

(J) State funds for community outreach under division (I) of section 3317.029 of the Revised Code.

R.C. 119.032 review dates: 02/02/2011 and 02/02/2016
Promulgated Under: 119.03
Statutory Authority: 3301.07 , 3317.017
Rule Amplifies: 3317.017
Prior Effective Dates: 5/19/2006

3301-12-05 Superintendent's orders.

Upon receipt of the report and recommendations of the spending practice review and the comments, if submitted, of the school district, the superintendent of public instruction may issue, for any one or more of the funding sources specified in divisions (A) through (J) of rule 3301-12-04 , any one or more of the following:

(A) An order to report either or both the budget plan for the use of such funds or the actual manner in which such funds have been used with such periodicity as the superintendent of public instruction shall specify. If the superintendent of public instruction orders the reporting of budget plans, such reports may be required to be submitted through information systems operated by the department of education for the purpose of facilitating the application for and receipt of state and federal grants;

(B) An order to establish separate accounts for such funds; and

(C) An order that directs the expenditure of such funds. An order that directs the expenditure of funds may specify the expenses that may be paid from such funds, the specific goods and services the cost of which may be paid from such funds, the school buildings for which such funds shall be expended, and any other specifications as are necessary to ensure that expenditures are made in the manner the superintendent of public instruction desires.

The superintendent of public instruction may also issue orders pursuant to this rule without receiving the report and recommendations of a spending practice review if, in the opinion of the superintendent of public instruction, available information exists that provides sufficient reason to issue such orders. Copies of any orders issued pursuant to this rule shall be provided to the district superintendent, the district treasurer, members of the district board of education, the president of the organization representing classroom teachers, and the auditor of state.

R.C. 119.032 review dates: 02/02/2011 and 02/02/2016
Promulgated Under: 119.03
Statutory Authority: 3301.07 , 3317.017
Rule Amplifies: 3317.017
Prior Effective Dates: 5/19/06

3301-12-06 Coordination with commissions.

In the case where a district designated as being in a status of academic watch or academic emergency also has in place a financial planning and supervision commission established pursuant to section 3316.05 of the Revised Code or an academic distress commission established pursuant to section 3302.10 of the Revised Code, the superintendent of public instruction shall consult with the chairperson of any such commission prior to the issuance of any order pursuant to rule 3301-12-05 of the Administrative Code.

R.C. 119.032 review dates: 02/02/2011 and 02/02/2016
Promulgated Under: 119.03
Statutory Authority: 3301.07 , 3317.017
Rule Amplifies: 3317.017
Prior Effective Dates: 5/19/2006