Summary:
Ohio Senate Bill 44 seeks to amend sections of the Revised Code to permit students to concurrently receive both a state-funded scholarship (Educational Choice Scholarship, Expansion of Educational Choice Scholarship, or Pilot Project Scholarship) and either an Autism Scholarship or a Jon Peterson Special Needs Scholarship. The bill also includes an appropriation of $42 million for each of fiscal years 2026 and 2027 to support this change. The primary objective of this legislation is to provide more comprehensive financial support for eligible students, particularly those with special needs, by removing the current restriction on receiving these scholarships simultaneously.
Main Themes and Important Ideas/Facts:
1. Permitting Concurrent Scholarship Receipt:
- The central tenet of SB 44 is to allow students eligible for both a general “state scholarship” and either an Autism or Jon Peterson Special Needs Scholarship to receive both in the same school year.
- The bill explicitly states: “Notwithstanding anything in the Revised Code to the contrary, a qualifying student may receive in the same school year both a state scholarship for which the student is eligible and a scholarship under one of the following programs, so long as the student is eligible for that program: (1) The autism scholarship program… (2) The Jon Peterson special needs scholarship program…” (Page 2, Lines 19-27)
- “State scholarship” is defined to include the Educational Choice Scholarship pilot program, its expansion, and the pilot project scholarship program. (Page 2, Lines 9-16)
- “Qualifying student” is defined as a student eligible for a state scholarship. (Page 2, Lines 17-18)
2. Stipulations and Limitations on Concurrent Scholarship Use:
- Total Amount Limitation: The total amount received from both scholarships cannot exceed the total cost of services, tuition, and fees provided to the student under those scholarships. “The amount a student receives under both scholarships shall not exceed the total amount paid for services or tuition and fees provided to a student under those scholarships.” (Page 2, Lines 27-29)
- Specific Use of Jon Peterson Scholarship: If a student receives both a state scholarship and a Jon Peterson scholarship, the Jon Peterson scholarship must be used solely for fees related to the student’s special education program. “If a student receives both a state scholarship and a Jon Peterson special needs scholarship, the student shall only use the Jon Peterson special needs scholarship to pay for fees for the student’s special education program in accordance with section 3310.52 of the Revised Code.” (Page 2, Lines 30-33)
- The Jon Peterson scholarship cannot be used for tuition at the provider operating the student’s special education program when a state scholarship is also received. “Such student shall not use the Jon Peterson special needs scholarship to pay for tuition at the provider that operates the student’s special education program.” (Page 2, Lines 33-35)
3. Eligibility for Educational Choice Scholarship After Special Needs Scholarship Ineligibility:
- The bill includes a provision allowing students who were previously recipients of an Autism or Jon Peterson scholarship but are no longer in need of special education services to be considered “eligible students” for the Educational Choice Scholarship program. This applies regardless of the specific school building enrollment criteria usually associated with the Educational Choice Scholarship. “…a student who is the recipient of an autism scholarship… or a Jon Peterson special needs scholarship… but who is no longer in need of special education and related services… and, therefore, is no longer eligible to receive that scholarship may be considered an “eligible student” for purposes of the educational choice scholarship pilot program… regardless of whether the student is enrolled in a school building described in division (A)(1) or (C) of that section.” (Page 2-3, Lines 37-45)
4. Continuation of State Scholarship Eligibility:
- Students receiving a state scholarship who also receive an Autism or Jon Peterson scholarship, or those who become eligible for a state scholarship after no longer needing special education services, can continue to receive the state scholarship until they complete twelfth grade, as long as they continue to meet the eligibility criteria for the respective scholarships. (Page 3, Lines 46-57)
5. Definition of Jon Peterson Special Needs Scholarship Program Elements:
- The bill reiterates and clarifies definitions related to the Jon Peterson Special Needs Scholarship Program, including:
- “Alternative public provider” (Page 3-4, Lines 63-78)
- “Eligible applicant” (parents, custodians, guardians, grandparents under specific conditions, surrogate parents, and eligible students over 18 without a custodian or guardian) (Page 4-5, Lines 81-111)
- “Qualified special education child” (criteria related to age, disability identification by the school district, IEP development, prior enrollment or eligibility to enter school, and the absence of concurrent approval for other specified scholarships) (Page 5-6, Lines 119-145)
- “Registered private provider” (Page 6, Lines 146-152)
- “Scholarship” (referring specifically to the Jon Peterson Special Needs Scholarship) (Page 6-7, Lines 153-159)
- The purpose of the Jon Peterson scholarship is to pay for fees for the child to attend a special education program operated by an alternative public or registered private provider to implement their IEP, in lieu of the public school program, and potentially for other agreed-upon services related to the child’s education (Page 7-8, Lines 173-186).
- Crucially, the bill amends Section 3310.52 to add an exception: If a child does not receive a state scholarship concurrently, any remaining amount of the Jon Peterson scholarship after paying special education program fees can be used for tuition at the alternative public or registered private provider. “Except as provided in division (E) of this section, the scholarship shall be used only to pay all or part of the fees for the child to attend the special education program… (E) A scholarship awarded under this section to a qualified special education child who does not receive a state scholarship… in accordance with that section may be applied to the child’s tuition… if any amount of the scholarship remains after paying the child’s fees for attending a special education program…” (Page 7-9, Lines 181-220)
6. Appropriation:
- The bill includes a specific appropriation to the Department of Education and Workforce:
- GRF 200550 Foundation Funding – All Students: $42,000,000 for Fiscal Year 2026 and $42,000,000 for Fiscal Year 2027.
- TOTAL GRF General Revenue Fund: $42,000,000 for FY 26 and $42,000,000 for FY 27.
- TOTAL ALL BUDGET FUND GROUPS: $42,000,000 for FY 26 and $42,000,000 for FY 27.
- This appropriation is in addition to any other operating appropriations for these fiscal years. (Page 9, Lines 228-233)
7. Repeal of Existing Language:
- Section 2 of the bill explicitly states that existing sections 3310.034, 3310.51, and 3310.52 of the Revised Code are repealed. This signifies a complete replacement of these sections with the amended versions presented in the bill. (Page 9, Lines 221-223)
Implications:
- Increased Access to Funding: The bill aims to provide greater financial assistance to students with disabilities who also qualify for general state scholarships, potentially enabling them to access a wider range of educational services and providers.
- Targeted Use of Funds: The restrictions on how the concurrently received scholarships can be used suggest an intention to ensure that the Jon Peterson scholarship specifically addresses the costs of special education programming.
- Continuity of Support: The provision regarding Educational Choice Scholarship eligibility after special needs scholarship ineligibility could provide a smoother transition for students as their educational needs evolve.
- Fiscal Impact: The $84 million appropriation over two fiscal years indicates the anticipated cost of implementing this change.
Potential Considerations:
- The specific mechanisms for coordinating the distribution and use of concurrent scholarships will likely need further clarification and administrative procedures.
- The impact on the existing funding structures for both general education and special education programs will need to be monitored.
- The potential for increased demand for special education services from private providers due to increased funding availability should be considered.
This briefing document provides a summary of the key aspects of Ohio Senate Bill 44 as introduced. Further analysis may be required to fully understand the potential implications and effectiveness of this proposed legislation.