OHIO LEGISLATIVE SERVICE COMMISSION
Office of Research Legislative Budget
www.lsc.ohio.gov and Drafting Office
H.B. 595 Bill Analysis
135th General Assembly
Click here for H.B. 595’s Fiscal Note
Version: As Introduced
Primary Sponsor: Rep. Robinson
Effective date:
Mariah m. Maldovan, Attorney
SUMMARY
 Beginning on July 1, 2029, requires all school districts to operate a half-day preschool
program, for which tuition may be charged.
 Permits school districts to contract out the district’s preschool program to an existing
preschool program operated by an eligible operator or to offer a joint preschool
program with an eligible operator.
 Requires school districts, eligible nonpublic schools, county boards of developmental
disabilities, and community schools operating a preschool program to pay head teachers
a salary of no less than $35,000 per year.
 Modifies the qualifications and professional development requirements for head
teachers and preschool staff members employed by preschool programs licensed by the
Department of Education and Workforce.
 Beginning on July 1, 2029, requires each public and chartered nonpublic school that
offers a kindergarten program to offer an all-day kindergarten program.
 Establishes a process under which school districts may seek a waiver from the bill’s
preschool and all-day kindergarten requirements for the 2029-2030, 2030-2031, and
2031-2032 school years.
 Declares the General Assembly’s intent to provide one-time funding for school districts
in the main operating and capital budgets of the 136 th General Assembly for the
purposes of implementing preschool programs and all-day kindergarten.
 Requires the Department to, by February 1, 2025, conduct a survey and hold meetings
with school districts and other stakeholders regarding the implementation of preschool
programs and all-day kindergarten on and after July 1, 2029.
 Beginning January 1, 2026, increases the rate of the sports gaming tax on certain
taxpayers, from 20% to 33%.
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Office of Research and Drafting LSC Legislative Budget Office
 Applies the increase only to sports gaming operators whose share of the Ohio sports
gaming market is at least 2.25%.
 Allocates the revenue from this tax increase to fund the bill’s preschool programs.
 Entitles the bill the Universal Preschool Act.
TABLE OF CONTENTS
Effective dates................................................................................................................................. 2
Preschools ....................................................................................................................................... 3
Requirement to offer a half-day preschool program .................................................................. 3
Funding ........................................................................................................................................ 3
Preschool tuition ......................................................................................................................... 4
Contracted preschool programs ................................................................................................. 5
Definitions .............................................................................................................................. 6
Ratings for qualifying preschool programs ............................................................................ 6
Contracts................................................................................................................................. 6
Preschool class sizes .................................................................................................................... 7
Preschool teachers and staff members....................................................................................... 7
Head teacher pay.................................................................................................................... 7
Qualifications .......................................................................................................................... 7
Training and professional development................................................................................. 8
All-day kindergarten ....................................................................................................................... 8
Waivers ........................................................................................................................................... 9
Survey and stakeholder meetings .................................................................................................. 9
One-time funding .......................................................................................................................... 10
Sports gaming tax increase ........................................................................................................... 11
DETAILED ANALYSIS
Effective dates
The bill’s provisions requiring the Department of Education and Workforce to conduct a
school district survey and stakeholder meetings and establishing a waiver process from the
preschool and all-day kindergarten requirements that begin on July 1, 2029, take effect on the
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91st day after the enrollment of the bill. The provisions in the bill modifying the sports gaming
tax take effect on January 1, 2026. All other provisions in the bill take effect on July 1, 2029.1
Preschools
Requirement to offer a half-day preschool program
The bill requires each school district board of education to operate a half-day preschool
program for children four- and five-years-old who are not enrolled in kindergarten. The bill
defines half-day preschool as a program that is in session for no less than half of the number of
clock hours as for students in grades kindergarten through six and all-day preschool as a
program that is in session for the same number of clock hours as those grades. Districts are
required to determine the number of days a preschool program will meet each week to meet
the minimum number of clock hours required for the program. The bill permits districts to
charge tuition for preschool programs.
The bill requires districts to set either August 1 or September 30 of each year as the date
for which enrollment eligibility is determined. The selected date must be displayed on the
district’s website or otherwise provided to parents or guardians seeking to enroll a child in the
district’s preschool program. A child is eligible to enroll in a district’s preschool program if, on
the designated date in the year of enrollment, the child is either four-years-old and the child’s
parent or guardian intends to enroll the child in kindergarten at age five, or the child is five-
years-old and the child’s parent or guardian intends to enroll the child in kindergarten at age
six. Under the bill, if a child enrolls in a preschool program at age four with the intention to
enroll in kindergarten at age five, but the child’s parent or guardian and the school district
determine that the child is not ready to enter kindergarten at age five, then the school district
must permit the child to enroll in a second year of preschool.
The bill permits school districts to offer preschool enrollment to three-year-olds, to offer
multiple years of preschool enrollment to children who are three- or four-years-old, and to
offer an all-day preschool program.2
Funding
The bill provides funding for students enrolled in a school district or community school
preschool program through the school financing system. Specifically, under the bill, the
district’s or school’s preschool students are included in the district’s or school’s enrolled ADM.
Enrolled ADM is the student count used to determine the amount of state core foundation
funding a district or school receives each fiscal year. The bill expressly states that any student
enrolled in the preschool program operated by the student’s resident district is considered
entitled to reside in that district for the purposes of determining the district’s funding. In
1 Section 5.
2 R.C. 3313.646; conforming changes in R.C. 3301.53(A)(4) and R.C. 3302.03.
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addition, for the purposes of computing the teacher base cost for a district or school, the bill
requires the full-time equivalent number of preschool students to be divided by ten.3
Finally, the bill eliminates separate funding for preschool children with disabilities who
are enrolled in a school district, including through interdistrict open enrollment.4 Students with
disabilities who are included in a district’s enrolled ADM receive special education funding
under the school financing system.
Preschool tuition
The bill permits a school district to charge tuition for a student’s participation in its
preschool program until the school financing system established in H.B. 110 of the 134 th
General Assembly is fully implemented. To do so, a district board must adopt a resolution that
establishes the tuition and hold at least one public hearing prior to adopting the resolution.
A district may charge any amount of tuition to a student with a family income above
700% of the federal poverty level (FPL). For a student with a family adjusted gross income at or
below 700% FPL, the amount of tuition cannot exceed a maximum amount calculated according
to a formula established in statute. Under that formula, a student’s maximum amount of tuition
is equal to 40% of the district’s local share of the base cost per pupil multiplied by a family
income multiple. A student is assigned a family income multiple according to the student’s
family’s adjusted gross income, as indicated in the table below.
Family income multiple
Family adjusted gross income Multiple
At or below 250% FPL 0.00
Above 250% FPL, but at or below 270% FPL 0.05
Above 270% FPL, but at or below 290% FPL 0.10
Above 290% FPL, but at or below 310% FPL 0.20
Above 310% FPL, but at or below 330% FPL 0.30
Above 330% FPL, but at or below 350% FPL 0.40
Above 350% FPL, but at or below 370% FPL 0.50
Above 370% FPL, but at or below 390% FPL 0.60
3 R.C. 3314.08, 3317.011, 3317.0110, 3317.02, and 3317.03.
4 R.C. 3313.98, 3313.981, and 3317.0213; conforming change in R.C. 3313.64.
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Family income multiple
Family adjusted gross income Multiple
Above 390% FPL, but at or below 410% FPL 0.70
Above 410% FPL, but at or below 430% FPL 0.80
Above 430% FPL, but at or below 450% FPL 0.90
Above 450% FPL 1.00
A district board must establish multiple payment plans from which a student’s parent
may choose to pay the required amount of tuition. A district board must establish, at the least,
payment plans that permit a parent to pay the tuition in one lump sum payment, nine equal
payments, and equal monthly payments. A district board cannot charge an additional fee or
interest to a student’s parent for electing to pay tuition in multiple equal payments.
Once the Department determines the school financing system has been fully
implemented, it must notify each school district of that fact. A district is then prohibited from
charging tuition, unless it receives a two-year waiver from the Department to continue charging
tuition. A district may request a renewal of that waiver. There is no limit on how many times a
waiver may be renewed.
A district must submit to the Department a request for a waiver, or a renewal of a
waiver, by March 3 prior to the first school year of the waiver’s term. Prior to submitting that
request, the district board must hold a public hearing on the issue and adopt a resolution
requesting the waiver or waiver renewal. Within 30 days of receiving the request, the
Department must approve or disapprove it and notify the district. If the Department
disapproves the request, the district may appeal the decision to the State Board of Education
within 15 days of receiving notice of the Department’s disapproval.
Within 15 days of receiving the appeal, the State Board must conduct a public hearing
regarding it. At the hearing both the district superintendent and Deputy Director of Primary and
Secondary Education must make a presentation regarding the disapproval. The State Board
must vote on whether to approve or disapprove the appeal. If a majority of the State Board
members vote in favor of the appeal, the waiver is approved.5
Contracted preschool programs
Under the bill, in lieu of operating a preschool program, school districts may contract
with an existing qualifying preschool program to offer a preschool program on behalf of the
district or a joint preschool program. Contracted programs must comply with Ohio law and
administrative rules regarding preschool programs. Districts are required to administer the
5 R.C. 3317.083.
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enrollment process for contracted programs. Districts are permitted to charge tuition for
contracted programs in the same manner as a district would charge for a program it operates.6
Definitions
A “qualifying preschool program” under the bill is an existing licensed preschool
program or an existing licensed child care center that is operated by an “eligible operator” and
either (1) is located within the school district and has received a Step Up To Quality rating of at
least three stars or an equivalent rating, or (2) is located within an adjacent school district and
has received a Step Up To Quality rating of at least four stars or an equivalent rating.
“Eligible operators” include all of the following:7
1. The board of education of adjacent school districts;
2. Community schools that are operated by a nonprofit organization and are not under an
exemption or waiver from any Department of Education and Workforce oversight,
ratings, or regulations, or permanent closure criteria;
3. STEM schools;
4. Eligible nonpublic schools that do not have a religious affiliation;
5. Organizations operated by a county, municipal corporation, or subdivision of a
municipal corporation;
6. Child care centers that are operated by a secular nonprofit organization; and
7. Child care centers operated by a secular for-profit organization and have received a Step
Up To Quality rating of at least four stars for the center’s preschool program.
Ratings for qualifying preschool programs
As explained above, the bill requires some existing preschool programs and program
operators to meet specified ratings from the Step Up to Quality rating system or an equivalent
rating to qualify to contract with a school district to operate a preschool program.
The bill requires the Department of Children and Youth to develop a rating system using
identical components and rating standards to the Step Up To Quality Program and administer a
process under which preschool programs and child care centers may request a rating for the
purpose of becoming a qualifying preschool program.8
Contracts
Prior to entering a contract, a district board must hold a public hearing and adopt a
resolution outlining rules for outsourcing a preschool program or forming a joint preschool
6 R.C. 3313.6414(B); see also R.C. 3317.083.
7 R.C. 3313.6414(A).
8 R.C. 3313.6414(D).
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