No community school shall, on or after the effective date of this section, open for operation in any school year unless the governing authority of the school has posted a surety bond in the amount of fifty thousand dollars with the auditor of state. In lieu of a surety bond, a community school governing authority may deposit with the auditor of state cash in the amount of fifty thousand dollars as a guarantee of payment. The bond or cash guarantee shall be used, in the event the school closes, to pay the auditor of state any moneys owed by the school for the costs of audits conducted by the auditor of state or a public accountant under Chapter 117. of the Revised Code.
Immediately upon the filing of a surety bond or the deposit of cash, the auditor of state shall deliver the bond or cash to the treasurer of state, who shall hold it in trust for the purposes prescribed in this section. The treasurer of state shall be responsible for the safekeeping of all surety bonds filed or cash deposited under this section. The auditor of state shall notify the department of education when the school's governing authority has filed the bond or deposited the cash guarantee.
When the auditor of state finds that a community school has closed and cannot pay for the costs of audits, the auditor of state shall declare the surety bond or cash deposit forfeited. The auditor of state shall certify the amount of forfeiture to the treasurer of state, who shall pay money from the named surety or from the school's cash deposit as needed to reimburse the auditor of state or public accountant for costs incurred in conducting audits of the school.
Added by 130th General Assembly File No. TBD, HB 10, §1, eff. 3/23/2015.
Note: This section is set out twice. See also § 3314.50 , as amended by 131st General Assembly File No. TBD, HB 2, §1, eff. 2/1/2016.
Section: Previous 3314.361 3314.37 3314.38 3314.40 3314.401 3314.402 3314.403 3314.41 3314.44 3314.46 3314.50 3314.50-2 3314.51 3314.99 NextLast modified: October 10, 2016