Bill Summary – FastDemocracy

OHIO LEGISLATIVE SERVICE COMMISSION
                                             Office of Research                              Legislative Budget
         www.lsc.ohio.gov                      and Drafting                                        Office
                              S.B. 11                             Bill Analysis
                  135th   General Assembly
                                                                    Click here for S.B. 11’s Fiscal Note
Version: As Introduced
Primary Sponsor: Sen. O’Brien
Effective Date:
Mariah M. Maldovan, Attorney
                                                        SUMMARY
                    Expands eligibility for Educational Choice scholarships to all students beginning with
                          scholarships sought for the 2023-2024 school year.
                    Ceases operation of the Pilot Project (Cleveland) Scholarship Program on July 1, 2023.
                    Increases the amount of homeschooling expenses that a taxpayer can claim as an
                          income tax credit each year, from $250 to $2,000.
                    Entitles the act the “Parent Educational Freedom Act.”
                                               DETAILED ANALYSIS
Ed Choice scholarship eligibility
       Beginning with Educational Choice (Ed Choice) scholarships sought for the 2023-2024
school year, the bill qualifies for a first-time scholarship all students entering any of grades K-12
statewide. To conform current Ed Choice law to the bill’s changes, the bill does the following:
                   1. Ceases qualification for a first-time scholarship under the performance- or income-
                      based or other eligibility criteria;
                   2. Eliminates a prohibition against a Cleveland resident receiving an Ed Choice scholarship;
                      and
                   3. Eliminates a requirement that any student eligible for both a performance-based and
                      income-based scholarship take a performance-based scholarship.1
1 R.C. 3310.03 and 3310.032(A)(2); R.C. 3310.035 and 3310.05, both repealed; and conforming changes
in R.C. 3310.031, 3310.033, 3310.034, 3310.036, and 3310.07.
                                                                                                           January 20, 2023
Office of Research and Drafting               LSC                          Legislative Budget Office
       Finally, the bill permits a student who received a performance-based scholarship for the
2022-2023 school year to renew that scholarship until the student completes grade 12 without
meeting the current law renewal requirement to remain in the same resident school district or
to transfer to a new district and be assigned to an Ed Choice designated, district-operated
school. That student still must, however, meet state testing and absences criteria under
continuing law.2
Cleveland Scholarship Program sunset
       The bill requires the Superintendent of Public Instruction to cease operating the Pilot
Project (Cleveland) Scholarship Program on July 1, 2023, and relieves the Department of
Education of any duty regarding that program on and after that date.3
       The bill further requires the Department to award an Ed Choice scholarship for the
2023-2024 school year to each student who received a Cleveland scholarship for the 2022-2023
school year.4
Background on scholarship programs
        The Ed Choice Scholarship Program operates statewide in every school district except
Cleveland to provide scholarships for students who (1) are assigned or would be assigned to
district school buildings that have persistently low academic achievement (known as
“traditional” or “performance-based” Ed Choice), (2) are from low-income families (known as
“income-based” Ed Choice Expansion), or (3) meet one of the other prescribed eligibility
criteria. Students may use their scholarships to enroll in participating chartered nonpublic
schools.
       The Pilot Project (Cleveland) Scholarship Program allows students who are residents of
the Cleveland Municipal School District to obtain scholarships to attend participating nonpublic
schools or public schools in adjacent districts.
Homeschool expense tax credit
      The bill makes two changes to an existing income tax credit for homeschooling
expenses. The nonrefundable credit allows taxpayers who homeschool one or more of their
dependents to claim a credit for expenses like books, supplies, and computer software.
       First, the bill increases the amount of credit that a taxpayer can claim per year, from
$250 to $2,000. Second, the bill specifies that this cap applies to the total expenses paid by
both the taxpayer and the taxpayer’s spouse, if the two file a joint return. Both changes apply
to taxable years ending on or after the bill’s 90-day effective date.5
2   R.C. 3310.03.
3   R.C. 3313.975.
4   R.C. 3313.975.
5   R.C. 5747.72 and Section 4.
P a g e |2                                                                                   S.B. 11
                                                                                     As Introduced
Office of Research and Drafting         LSC                 Legislative Budget Office
                                      HISTORY
                             Action                        Date
Introduced                                      01-11-23
ANSB0011IN-135/ks
P a g e |3                                                                    S.B. 11
                                                                      As Introduced