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Schools keep CAT proceeds for now

MOUNT VERNON — Public school officials are breathing just a little bit easier with this week’s passage of House Bill 67, the state’s transportation budget.

Steve Hughes, legislative liaison for the Mount Vernon City Board of Education, said school districts and the Ohio School Boards Association had been especially concerned about an amendment regarding the new Commercial Activities Tax. CAT was billed as a school funding source to replace the tangible personal property (inventory) tax that is being phased out. The provision originally contained in HB 67 would have diverted the proceeds from CAT generated from businesses that sell motor fuel, away from the general fund and schools and into highway construction. That provision was removed from the bill before passing both houses.

Hughes said the legislation, however, still includes language regarding school bus drivers. The law prohibits school bus or motor van owners, such as boards of education or contracted bus companies, from permitting any person to drive the van or bus for seven years following any six-point traffic violation. The bill also requires the vehicle owner to obtain a person’s seven-year driving record before allowing him or her to operate a bus or van for the first time, and to obtain annual driving records thereafter. Hughes said the final piece of legislation eliminated the requirement that schools comply with the clause within 30 days after the bill’s effective date.

School districts also avoided another potential hit. Before signing the bill, Hughes said, Gov. Strickland line-item vetoed a provision that would have allowed charter schools, without any agreement with the resident school district, to establish their own transportation system. It also would have required the Ohio Department of Education to pay the community schools the per-pupil amount that would otherwise be paid to the student’s home school district for transportation.

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