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Introduction
The funding of K‐12 public schools in Ohio is a joint effort between the state and the school districts. In
FY 2015 $7,193,214,468
1
in state foundation funding was distributed among the Ohio’s 613 School
districts through the foundation formula. Of this amount, a total of $939,724,171
2
was transferred to
more than 380 community and STEM schools in the form of funding deductions form resident school
districts and a total of $176,844,902
2
was transferred to non‐public entities through various scholarship
programs in the form of school vouchers. School districts also provided $218,578,458
2
to Education
Service Centers from their foundation funding as partial support for services they receive from these
entities. Some $415 million of the foundation money was transferred among school districts to pay for
the education of students who participate in inter‐district open enrollment.
Am. Sub. H. B. 64 of the 131
st
Ohio General Assembly establishes the procedures for calculating the
state foundation funding of public elementary and secondary education delivery systems in fiscal years
2016 and 2017. This document aims at providing a bird’s eye view of the foundation formula in the
context of fiscal year 2016 by providing detailed explanation of the calculation of each component of the
funding formula as they are reflected on the annual payment report referred to as the School Finance
Payment Report (SFPR).
SFPR is a comprehensive document that walks the user through every step of the funding calculation.
There are 2 segments to this document: The first, the Summary Page provides a summary account of the
funding amounts for each component of the formula with all the additional aid items and transfers and
adjustments traditionally included on the district payment report. The second segment, the Detailed
Page is divided into 2 sections: Calculation Factors and Parameters Page which lists all of the data factors
and parameters needed for the calculations and the Detailed Calculation of the Funding Components of
the Formula Page which gives the formulae with references to the data in the first section. A generic
SFPR of a hypothetical school district is provided below as reference point.
1
As of the FY15 June #2 School Finance Payment Report, reflecting $7,031,667,411 in formula funding calculation
plus $106,646,801 and $54,900,257 in preschool education and special education transportation funding
respectively.
2
FY15 June #2 School Finance Payment Report.