Preview
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EXHIBIT A
Ohio}
Department of
Education. freneoe veseeeeee on oa eRe UCL Tey
Community Schools Guidance Letter #2010-3
Effective Date: July 1, 2010
Updated: September 12, 2013
Community School Closing Procedures
Objective
To assure that procedures are in place and are used by a community school governing authority and
sponsor when the school permanently closes and ceases operation, and shall include, at a minimum,
procedures for reporting data to the department, handling student records, distributing assets, and other
matters related to ceasing operation of the school.
Statutory Requirement
Ohio Revised Code Section 3314.015 Oversight of sponsors.
(E) The department shall adopt procedures for use by a community school governing authority and
sponsor when the school permanently closes and ceases operation, which shall include at least
procedures for data reporting to the department, handling of student records, distribution of assets in
accordance with section 3314.074 of the Revised Code, and other matters related to ceasing operation of
the school.
Policy ade
Sponsors must provide and execute a plan for an orderly wrap-up of a community school's affairs upon a
permanent closure of a community school, preferably prior to the school closing its doors. A school is
officially closed when instruction is no longer taking place and the governing authority or sponsor issues
an official notice which states the date of the school’s closure. The sponsor and a representative of the
governing board are required to complete and sign the Assurance to ODE Form attached to this guidance
letter. The role of the sponsor in this process is to assure that the governing authority of the community
school has taken required actions to properly address closing issues and/or to take those actions itself if
the governing authority is no longer able or functioning. Inasmuch as a plan for school closure is a
required part of the school’s contract with the sponsor, final preparations as part of that plan should be in
place prior to the last day students are in attendance.
Guidance
This guidance letter provides an easy-to-use Closing Assurance to ODE Form. By completing this
assurance, sponsors attest that proper notifications have occurred, required data have been submitted (or
a plan is in place if data must be submitted after the close of the school), records have been properly
distributed, assets have been properly disposed with dates recorded in the cells indicated, and a final
FTE review will be scheduled within 7 business days and the final state audit will be scheduled within 30
days of the closure while student original records are on site for the final FTE review and final state audit.
The sponsor shall be in touch with the Auditor of State to request that the final audit is scheduled so that
this timeline can be met.
There are four sections that comprise the community school sponsor Assurance to ODE Form. These
sections, /nitial Notifications, Student Records and School Records; Disposition of Assets; and
Preparation of Itemized Financials, are to be completed as soon as practicable after the closure of the ~
school. In the event that refunds are generated at a later date, the Sponsor shall follow the instructions in
Part IV and complete the section Final Payments and Adjustments.
Expiration date: Ongoing Page 1
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Sponsors collaborate with ODE in assuring that a final FTE review will be scheduled within 7 business
days and the final state audit will be scheduled within 30 days of the closure while student original records
are on site. Sponsors must also sign the assurance form and submit it to the Office of Community
Schools. In those circumstances where certain parts of the assurances cannot be completed due to
conditions that impede the submission of complete assurances, the sponsor shall notify the Office of
Community Schools and arrange for a supplement of the assurances to be turned in at a later date.
Records
As more fully described in this guidance, sponsors are required to secure all school records that are
needed by the Ohio Department of Education, U. S. Department of Education, Ohio Auditor of State and
other interested entities in order to close the school as well as generate a final FTE review and final audit.
Records generally describe particular information that is maintained and kept for the proper administration
of the school, and include student, staff, and administrative/financial information. Please note the
following categories and types of records should not be considered as the entire list of documents which
might be examined during a closing procedure. Other records may be requested during an FTE review or
final audit.
Student records include but are not limited to: documents normally found in permanent record folders that
are necessary for these reviews and audits, include attendance records that detail enrollment and
attendance history; grades and grade levels achieved; transcripts, particularly for students enrolled in
grades 9-12 and for graduates of the school; proof of residency documents that identify a student's home
district; two (2) SOES reports, one with names and SSID numbers, and one with SSID numbers only;
special education folders; and other such information that may be maintained and kept in a student
permanent record folder.
Staff records include but are not limited to: employment agreement or contract; salary and benefits
information; attendance and leave information; employee licenses; LPDC status and record of continuing
education; and other such information that may be maintained in an employee record folder.
Administrative/financial records include but are not limited to: lease or rental agreement; deed if property
is owned; inventories of furniture and equipment, including purchase price, source of funds for payment,
date purchased, and property tag number; bank and financial reports, including all financial statements
created by the fiscal officer; bank statements and checks; schedule of unpaid debt detailing amount,
vendor and date of obligation; invoices, receipts, vouchers, and purchase orders that detail expenditures,
grant records, including detail of federal and state grant awards and final expenditure reports, contracts;
and other such information that may be maintained to serve as the administrative/financial records for the
school.
All such records are to be secured by the sponsor prior to closing and shall be maintained until such time
as detailed under records retention requirements. In the case of student records, see in particular the
procedures detailed in Initial Notifications, Student Records and School Records on the Assurance Form.
References
Ohio Revised Code (ORC) 3314.015 “(E): The department shall adopt procedures for use by a
community school governing authority and sponsor when the school permanently closes and ceases
operation, which shall include at least procedures for data reporting to the department, handling of
student records, distribution of assets in accordance with section 3314.074 of the Revised Code, and
other matters related to ceasing operation of the school.”
Attachments
Assurance to ODE Form
Assurances Documents — Submit To
Office of Community Schools
Expiration date: Ongoing Page 2
Franklin County Ohio Clerk of Courts of the Common Pleas- 2018 Oct 08 2:50 PM-18CV008454
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Ohio Department of Education
25 South Front St., Mail Stop 307
Columbus, Ohio 43215-4183
(614) 466-7058 (Fax) (614) 466-8506
Expiration date: Ongoing Page 3
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Ohio
Department
of Education
Assurance to ODE Form
School Name: Sponsor Name.
|. Initial Notifications, Student Records and School Records
Completion Date Mandatory Task
To the extent that the school governing authority is unable or unwilling to
execute its responsibilities in effecting an orderly closure of the school, the
sponsor shall assume part or all of such tasks as are hereinafter described.
Notify ODE that the school is closing and send the board resolution or an official
sponsor notice from the superintendent or CEO within 24 hours of the action
which includes the date of closing of the school. A school is officially closed
when instruction is no longer taking place and the governing authority or sponsor
issues an official notice which states the date of the school’s closure.
Notify parents that the school is closing through a formal letter from the school
GA and the sponsor superintendent or CEO within 24 hours of the action. The
letter to include but not limited to: the reason for the closing of the school,
options for enrolling in another community school, traditional schools or
nonpublic schools and contact information.
Notify the Ohio State Teachers Retirement System and School Employees
Retirement System.
The sponsor shall take control of and secure all school records, property and
assets immediately when the school closes: Reference the following DAS site
for records retention schedules: http://apps.das.ohio.gov/rims/General/General.asp
1 Student records shall be put into order and transcript materials produced
immediately;
A final FTE review will be scheduled within 7 business days and the
final state audit will be scheduled within 30 days of the closure while
student original records are on site for the final FTE review and final
state audit;
Copies of student records shall be provided by the school’s Chief
Administrative Officer to all resident districts within seven business days
of closure of the school as defined in section 3314.44 of the revised
code; original records shall be sent by the sponsor to resident districts
upon completion of the final state audit. In the interim, sponsors retain
original records until completion of the audit.
Special education records shall be provided directly to receiving school
special education administrators for all students with disabilities,
particularly for students with physical needs or low incidence disabilities.
In concert with the governing authority, notify the school’s staff of the decision to
close the school:
4 Provide a clear written timeline of the closing process;
2. Ensure that STRS and SERS contributions are current,
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Completion Date Initial Notifications, Student Records and School Records
Mandatory Task Continued
Clarify COBRA benefits and when medical benefits end;
Remind the faculty of their obligation to teach up to the date of closing or
otherwise determine that the school is properly staffed up to the time of
closing;
Ensure that each faculty's LPDC information is current and available to
the teachers;
Provide sponsor contact person information to all staff.
Il. Disposition of Assets
Completion Date Mandatory Task
To the extent that the school governing authority is unable or unwilling to
execute its responsibilities in effecting an orderly closure of the school, the
sponsor shall assume part or all of such tasks as are hereinafter described.
If the governing authority does not retain a treasurer to oversee the remaining
financial activity, the sponsor, as may be provided for in the community school
contract with the governing authority, shall act as or appoint a receiver to
oversee the closing of the financial records in the absence of a fiscal officer.
Keep State and Federal assets separated for purposes of disposition.
Federal dollars cannot be used to pay state liabil fies. Account for all school
property throughout the closing process by distinguishing state from federal
dollars: For Federal Title and other consolidated and competitive funds, follow
EDGAR liquidation procedures in 34 CFR 80.32 including disposition for items
valued at $5,000 or greater. Note: Technology equipment received as part of
the Erate program is federal property and cannot be sold as part of the school’s
assets. Specific guidance on donating the equipment can be found at
http:/Avww.usac.org/sl/applicants/before-youre-done/equipment-transfer.asp:
4 Review the financial records of the school;
a. Establish the fair market (initial and amortized) value via fixed
assets policy, for all fixed assets;
Establish check off list of purchasers with proper USAS codes,
state codes, the price of each item and identify the source of
funds;
Identify staff who will have legal authority for payment
processes (e.g. checks, cash, credit cards, etc.);
d. Establish disposition plan for any remaining items;
e. Identify any State Facilities Commission guarantees.
Prepare documentation for disposition of the school's fixed assets:
Ohio Department of Education, Office of Community Schools 20f6
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Completion Date Il. Disposition of Assets, Mandatory Task continued
~-4
4 Consistent with section 3314.051, offer real property acquired from a
public school district to that school district's board first at fair market
value. If the district board does not accept the offer within 60 days,
dispose of the property in another lawful manner below.
For Federal Title and other consolidated and competitive funds, follow
EDGAR liquidation procedures in 34 CFR 80.32 including disposition for
items valued at $5,000 or greater;
Public Charter School Program. PCSP assets must first be offered to
other community schools with either a signed agreement by the
president of the governing authority or a resolution passed by their
respective Governing Board consistent with the purpose of the PCSP. If
there are no takers, then an auction sale must be held to dispose of the
assets along with the state funded assets:
a Notify Office of Community Schools, then public media (print
media, radio) of the date and location of any property disposition
auction;
Follow EDGAR liquidation procedures in 34 CFR 80.32 for items
valued at $5,000 or greater;
Provide board resolutions and minutes of any assets transfered
at no cost to another school;
Provide OCS with a written report of the property, and if
available, a bill of sale;
After the above steps have been taken, any remaining
assets may be offered to any public school district with
documented board resolutions by the community school
and the accepting district.
4. National School Lunch Program. Cafeteria equipment
purchased with funds from the National School Lunch Program
can only be liquidated through written guidance issued by the
Office for Child Nutrition (OCN).
Contact OCN prior to proceeding with any liquidation of Equipment.
5. Technology. Return to eTech (formerly Ohio SchoolNet)
hardware and software acquired with eTech grants.
Utilize only state dollars, auction proceeds, foundation dollars and any other
non-federal dollars to pay the following in order: [See Note Below]
4 The sponsor should consult with its legal counsel prior implementing this
section to determine if there are any outstanding federal or state claims
that may need to be paid first including but not limited to including
federal and state taxes, Medicare, Workers Compensation, and city
wage taxes. If applicable, provide documentation of any Workers
Compensation claims.
2. STRS/SERS/retirement systems and other adjustments
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Completion Date Il. Disposition of Assets, Mandatory Task continued
3. Teachers and staff;
4 Private creditors or those entities that have secured a judgment against
the school, including audit preparation and audit costs (prepared
financials); [See Note 2 Below].
Any remaining funds shall be forwarded to ODE for redistribution to
resident school districts consistent with ORC 3314.074 (A)
If the assets of the school are insufficient to pay all persons or entities to
which compensation is owed, the prioritization of the distribution of the
assets to individual persons or entities within each class of payees may
be determined by decree of a court in accordance section 3314.074 and
Chapter 1702 of the Ohio Revised Code.
NOTE 1: Federal dollars can be used to pay the teacher costs and
STRS/SERS/retirement costs for any employees who were paid from
federal funds when the school was open.
NOTE 2: Audit preparation costs can be paid from federal funds under
certain conditions. Contact the Office of Grants Management for specific
guidance before applying any costs against federal funds to support
audit costs.
lll. Preparation of Itemized Financials
Completion Date Mandatory Task
To the extent that the school fiscal officer is unable or unwilling to perform
his/her responsibilities in effecting an orderly closure of the school, the sponsor
shall assume part or all of such tasks as are hereinafter described.
Review and prepare the following itemized financials:
1 Year-end financial statements, notes to the financial statements and if
applicable schedule of federal awards;
A cash analysis (taking the previous month’s recap and reconciliation of
bank accounts to books) for determination of the cash balance as of the
closing date);
Compile bank statements for the year;
List of investments in paper hard copy format
List of all payables and indicate when a check to pay the liability clears
the bank;
List all unused checks (collect and void all unused checks);
List of any petty cash;
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Completion Date Ill. Preparation of Itemized Financials continued
8. List of bank accounts, closing the accounts once all transactions are
cleared;
List of all payroll reports including taxes, retirement or adjustments on
employee contract.
10 List of all accounts receivable.
11 List of assets and their disposition.
12 FTE review complete and submit a copy of the Certification Form signed
at the FTE review.
13. Arrange for and establish a date for the Auditor of State to perform a
financial closeout audit.
IV. Final Payments and Adjustments
Completion Date Mandatory Task
To the extent that the schoo! fiscal officer is unable or unwilling to perform
his/her responsibilities in effecting an orderly closure of the school, the sponsor
shall assume part or all of such tasks as are hereinafter described.
The sponsor shall continually monitor the condition of the closed school and be
prepared to receive or transmit funds on behalf of the school as directed by an
appropriate agency. Receipt of funds can happen more than a year after a
school's closure, and the sponsor must be agile in serving as the recipient of
such funds and adjustments.
1 Receive any funds or adjustments credited to the account of the closed
school.
Determine if any portion of any funds or adjustments can be applied to
satisfy any remaining debt;
Send all or the remaining portion to the Ohio Department of Education,
Office of Policy and Payments, for final disposition.
The sponsor and school governing authority representative identified below certify that all available IEP,
enrollment and attendance records were made available for the completion for this FTE closure review.
School: GA Representative Date:
Sponsor: Sponsor Representative: Date:_
Area Coordinator identified below certifies all available IEP, enrollment and attendance records were
made available and utilized in the completion for this FTE closing review.
Area Coordinator: Date:
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The School's governing authority and the sponsor execute the Closing Assurance Form and -
maintain it with copies sent to the Office of Community Schools via email to the consultant for the
sponsor. The consultant can be found on the Community School Directory.
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Franklin County Ohio Clerk of Courts of the Common Pleas- 2018 Oct 08 2:50 PM-18CV008454 0E355 - D114 EXHIBIT A Ohio} Department of Education. freneoe veseeeeee on oa eRe UCL Tey Community Schools Guidance Letter #2010-3 Effective Date: July 1, 2010 Updated: September 12, 2013 Community School Closing Procedures Objective To assure that procedures are in place and are used by a community school governing authority and sponsor when the school permanently closes and ceases operation, and shall include, at a minimum, procedures for reporting data to the department, handling student records, distributing assets, and other matters related to ceasing operation of the school. Statutory Requirement Ohio Revised Code Section 3314.015 Oversight of sponsors. (E) The department shall adopt procedures for use by a community school governing authority and sponsor when the school permanently closes and ceases operation, which shall include at least procedures for data reporting to the department, handling of student records, distribution of assets in accordance with section 3314.074 of the Revised Code, and other matters related to ceasing operation of the school. Policy ade Sponsors must provide and execute a plan for an orderly wrap-up of a community school's affairs upon a permanent closure of a community school, preferably prior to the school closing its doors. A school is officially closed when instruction is no longer taking place and the governing authority or sponsor issues an official notice which states the date of the school’s closure. The sponsor and a representative of the governing board are required to complete and sign the Assurance to ODE Form attached to this guidance letter. The role of the sponsor in this process is to assure that the governing authority of the community school has taken required actions to properly address closing issues and/or to take those actions itself if the governing authority is no longer able or functioning. Inasmuch as a plan for school closure is a required part of the school’s contract with the sponsor, final preparations as part of that plan should be in place prior to the last day students are in attendance. Guidance This guidance letter provides an easy-to-use Closing Assurance to ODE Form. By completing this assurance, sponsors attest that proper notifications have occurred, required data have been submitted (or a plan is in place if data must be submitted after the close of the school), records have been properly distributed, assets have been properly disposed with dates recorded in the cells indicated, and a final FTE review will be scheduled within 7 business days and the final state audit will be scheduled within 30 days of the closure while student original records are on site for the final FTE review and final state audit. The sponsor shall be in touch with the Auditor of State to request that the final audit is scheduled so that this timeline can be met. There are four sections that comprise the community school sponsor Assurance to ODE Form. These sections, /nitial Notifications, Student Records and School Records; Disposition of Assets; and Preparation of Itemized Financials, are to be completed as soon as practicable after the closure of the ~ school. In the event that refunds are generated at a later date, the Sponsor shall follow the instructions in Part IV and complete the section Final Payments and Adjustments. Expiration date: Ongoing Page 1 Franklin County Ohio Clerk of Courts of the Common Pleas- 2018 Oct 08 2:50 PM-18CV008454 0E355 - DL Sponsors collaborate with ODE in assuring that a final FTE review will be scheduled within 7 business days and the final state audit will be scheduled within 30 days of the closure while student original records are on site. Sponsors must also sign the assurance form and submit it to the Office of Community Schools. In those circumstances where certain parts of the assurances cannot be completed due to conditions that impede the submission of complete assurances, the sponsor shall notify the Office of Community Schools and arrange for a supplement of the assurances to be turned in at a later date. Records As more fully described in this guidance, sponsors are required to secure all school records that are needed by the Ohio Department of Education, U. S. Department of Education, Ohio Auditor of State and other interested entities in order to close the school as well as generate a final FTE review and final audit. Records generally describe particular information that is maintained and kept for the proper administration of the school, and include student, staff, and administrative/financial information. Please note the following categories and types of records should not be considered as the entire list of documents which might be examined during a closing procedure. Other records may be requested during an FTE review or final audit. Student records include but are not limited to: documents normally found in permanent record folders that are necessary for these reviews and audits, include attendance records that detail enrollment and attendance history; grades and grade levels achieved; transcripts, particularly for students enrolled in grades 9-12 and for graduates of the school; proof of residency documents that identify a student's home district; two (2) SOES reports, one with names and SSID numbers, and one with SSID numbers only; special education folders; and other such information that may be maintained and kept in a student permanent record folder. Staff records include but are not limited to: employment agreement or contract; salary and benefits information; attendance and leave information; employee licenses; LPDC status and record of continuing education; and other such information that may be maintained in an employee record folder. Administrative/financial records include but are not limited to: lease or rental agreement; deed if property is owned; inventories of furniture and equipment, including purchase price, source of funds for payment, date purchased, and property tag number; bank and financial reports, including all financial statements created by the fiscal officer; bank statements and checks; schedule of unpaid debt detailing amount, vendor and date of obligation; invoices, receipts, vouchers, and purchase orders that detail expenditures, grant records, including detail of federal and state grant awards and final expenditure reports, contracts; and other such information that may be maintained to serve as the administrative/financial records for the school. All such records are to be secured by the sponsor prior to closing and shall be maintained until such time as detailed under records retention requirements. In the case of student records, see in particular the procedures detailed in Initial Notifications, Student Records and School Records on the Assurance Form. References Ohio Revised Code (ORC) 3314.015 “(E): The department shall adopt procedures for use by a community school governing authority and sponsor when the school permanently closes and ceases operation, which shall include at least procedures for data reporting to the department, handling of student records, distribution of assets in accordance with section 3314.074 of the Revised Code, and other matters related to ceasing operation of the school.” Attachments Assurance to ODE Form Assurances Documents — Submit To Office of Community Schools Expiration date: Ongoing Page 2 Franklin County Ohio Clerk of Courts of the Common Pleas- 2018 Oct 08 2:50 PM-18CV008454 0E355 - DL Ohio Department of Education 25 South Front St., Mail Stop 307 Columbus, Ohio 43215-4183 (614) 466-7058 (Fax) (614) 466-8506 Expiration date: Ongoing Page 3 Franklin County Ohio Clerk of Courts of the Common Pleas- 2018 Oct 08 2:50 PM-18CV008454 0E355 - D17 Ohio Department of Education Assurance to ODE Form School Name: Sponsor Name. |. Initial Notifications, Student Records and School Records Completion Date Mandatory Task To the extent that the school governing authority is unable or unwilling to execute its responsibilities in effecting an orderly closure of the school, the sponsor shall assume part or all of such tasks as are hereinafter described. Notify ODE that the school is closing and send the board resolution or an official sponsor notice from the superintendent or CEO within 24 hours of the action which includes the date of closing of the school. A school is officially closed when instruction is no longer taking place and the governing authority or sponsor issues an official notice which states the date of the school’s closure. Notify parents that the school is closing through a formal letter from the school GA and the sponsor superintendent or CEO within 24 hours of the action. The letter to include but not limited to: the reason for the closing of the school, options for enrolling in another community school, traditional schools or nonpublic schools and contact information. Notify the Ohio State Teachers Retirement System and School Employees Retirement System. The sponsor shall take control of and secure all school records, property and assets immediately when the school closes: Reference the following DAS site for records retention schedules: http://apps.das.ohio.gov/rims/General/General.asp 1 Student records shall be put into order and transcript materials produced immediately; A final FTE review will be scheduled within 7 business days and the final state audit will be scheduled within 30 days of the closure while student original records are on site for the final FTE review and final state audit; Copies of student records shall be provided by the school’s Chief Administrative Officer to all resident districts within seven business days of closure of the school as defined in section 3314.44 of the revised code; original records shall be sent by the sponsor to resident districts upon completion of the final state audit. In the interim, sponsors retain original records until completion of the audit. Special education records shall be provided directly to receiving school special education administrators for all students with disabilities, particularly for students with physical needs or low incidence disabilities. In concert with the governing authority, notify the school’s staff of the decision to close the school: 4 Provide a clear written timeline of the closing process; 2. Ensure that STRS and SERS contributions are current, Ohio Department of Education, Office of Community Schools 1 of 6 education.ohio.gov Franklin County Ohio Clerk of Courts of the Common Pleas- 2018 Oct 08 2:50 PM-18CV008454 0E355 - Dd18 Completion Date Initial Notifications, Student Records and School Records Mandatory Task Continued Clarify COBRA benefits and when medical benefits end; Remind the faculty of their obligation to teach up to the date of closing or otherwise determine that the school is properly staffed up to the time of closing; Ensure that each faculty's LPDC information is current and available to the teachers; Provide sponsor contact person information to all staff. Il. Disposition of Assets Completion Date Mandatory Task To the extent that the school governing authority is unable or unwilling to execute its responsibilities in effecting an orderly closure of the school, the sponsor shall assume part or all of such tasks as are hereinafter described. If the governing authority does not retain a treasurer to oversee the remaining financial activity, the sponsor, as may be provided for in the community school contract with the governing authority, shall act as or appoint a receiver to oversee the closing of the financial records in the absence of a fiscal officer. Keep State and Federal assets separated for purposes of disposition. Federal dollars cannot be used to pay state liabil fies. Account for all school property throughout the closing process by distinguishing state from federal dollars: For Federal Title and other consolidated and competitive funds, follow EDGAR liquidation procedures in 34 CFR 80.32 including disposition for items valued at $5,000 or greater. Note: Technology equipment received as part of the Erate program is federal property and cannot be sold as part of the school’s assets. Specific guidance on donating the equipment can be found at http:/Avww.usac.org/sl/applicants/before-youre-done/equipment-transfer.asp: 4 Review the financial records of the school; a. Establish the fair market (initial and amortized) value via fixed assets policy, for all fixed assets; Establish check off list of purchasers with proper USAS codes, state codes, the price of each item and identify the source of funds; Identify staff who will have legal authority for payment processes (e.g. checks, cash, credit cards, etc.); d. Establish disposition plan for any remaining items; e. Identify any State Facilities Commission guarantees. Prepare documentation for disposition of the school's fixed assets: Ohio Department of Education, Office of Community Schools 20f6 education.ohio.gov Franklin County Ohio Clerk of Courts of the Common Pleas- 2018 Oct 08 2:50 PM-18CV008454 0E355 - DL Completion Date Il. Disposition of Assets, Mandatory Task continued ~-4 4 Consistent with section 3314.051, offer real property acquired from a public school district to that school district's board first at fair market value. If the district board does not accept the offer within 60 days, dispose of the property in another lawful manner below. For Federal Title and other consolidated and competitive funds, follow EDGAR liquidation procedures in 34 CFR 80.32 including disposition for items valued at $5,000 or greater; Public Charter School Program. PCSP assets must first be offered to other community schools with either a signed agreement by the president of the governing authority or a resolution passed by their respective Governing Board consistent with the purpose of the PCSP. If there are no takers, then an auction sale must be held to dispose of the assets along with the state funded assets: a Notify Office of Community Schools, then public media (print media, radio) of the date and location of any property disposition auction; Follow EDGAR liquidation procedures in 34 CFR 80.32 for items valued at $5,000 or greater; Provide board resolutions and minutes of any assets transfered at no cost to another school; Provide OCS with a written report of the property, and if available, a bill of sale; After the above steps have been taken, any remaining assets may be offered to any public school district with documented board resolutions by the community school and the accepting district. 4. National School Lunch Program. Cafeteria equipment purchased with funds from the National School Lunch Program can only be liquidated through written guidance issued by the Office for Child Nutrition (OCN). Contact OCN prior to proceeding with any liquidation of Equipment. 5. Technology. Return to eTech (formerly Ohio SchoolNet) hardware and software acquired with eTech grants. Utilize only state dollars, auction proceeds, foundation dollars and any other non-federal dollars to pay the following in order: [See Note Below] 4 The sponsor should consult with its legal counsel prior implementing this section to determine if there are any outstanding federal or state claims that may need to be paid first including but not limited to including federal and state taxes, Medicare, Workers Compensation, and city wage taxes. If applicable, provide documentation of any Workers Compensation claims. 2. STRS/SERS/retirement systems and other adjustments Ohio Department of Education, Office of Community Schools of 6 education.ohio.gov Franklin County Ohio Clerk of Courts of the Common Pleas- 2018 Oct 08 2:50 PM-18CV008454 0E355 - D20 Completion Date Il. Disposition of Assets, Mandatory Task continued 3. Teachers and staff; 4 Private creditors or those entities that have secured a judgment against the school, including audit preparation and audit costs (prepared financials); [See Note 2 Below]. Any remaining funds shall be forwarded to ODE for redistribution to resident school districts consistent with ORC 3314.074 (A) If the assets of the school are insufficient to pay all persons or entities to which compensation is owed, the prioritization of the distribution of the assets to individual persons or entities within each class of payees may be determined by decree of a court in accordance section 3314.074 and Chapter 1702 of the Ohio Revised Code. NOTE 1: Federal dollars can be used to pay the teacher costs and STRS/SERS/retirement costs for any employees who were paid from federal funds when the school was open. NOTE 2: Audit preparation costs can be paid from federal funds under certain conditions. Contact the Office of Grants Management for specific guidance before applying any costs against federal funds to support audit costs. lll. Preparation of Itemized Financials Completion Date Mandatory Task To the extent that the school fiscal officer is unable or unwilling to perform his/her responsibilities in effecting an orderly closure of the school, the sponsor shall assume part or all of such tasks as are hereinafter described. Review and prepare the following itemized financials: 1 Year-end financial statements, notes to the financial statements and if applicable schedule of federal awards; A cash analysis (taking the previous month’s recap and reconciliation of bank accounts to books) for determination of the cash balance as of the closing date); Compile bank statements for the year; List of investments in paper hard copy format List of all payables and indicate when a check to pay the liability clears the bank; List all unused checks (collect and void all unused checks); List of any petty cash; Ohio Department of Education, Office of Community Schools 40f6 education.ohio.gov Franklin County Ohio Clerk of Courts of the Common Pleas- 2018 Oct 08 2:50 PM-18CV008454 0E355 - D21l Completion Date Ill. Preparation of Itemized Financials continued 8. List of bank accounts, closing the accounts once all transactions are cleared; List of all payroll reports including taxes, retirement or adjustments on employee contract. 10 List of all accounts receivable. 11 List of assets and their disposition. 12 FTE review complete and submit a copy of the Certification Form signed at the FTE review. 13. Arrange for and establish a date for the Auditor of State to perform a financial closeout audit. IV. Final Payments and Adjustments Completion Date Mandatory Task To the extent that the schoo! fiscal officer is unable or unwilling to perform his/her responsibilities in effecting an orderly closure of the school, the sponsor shall assume part or all of such tasks as are hereinafter described. The sponsor shall continually monitor the condition of the closed school and be prepared to receive or transmit funds on behalf of the school as directed by an appropriate agency. Receipt of funds can happen more than a year after a school's closure, and the sponsor must be agile in serving as the recipient of such funds and adjustments. 1 Receive any funds or adjustments credited to the account of the closed school. Determine if any portion of any funds or adjustments can be applied to satisfy any remaining debt; Send all or the remaining portion to the Ohio Department of Education, Office of Policy and Payments, for final disposition. The sponsor and school governing authority representative identified below certify that all available IEP, enrollment and attendance records were made available for the completion for this FTE closure review. School: GA Representative Date: Sponsor: Sponsor Representative: Date:_ Area Coordinator identified below certifies all available IEP, enrollment and attendance records were made available and utilized in the completion for this FTE closing review. Area Coordinator: Date: Ohio Department of Education, Office of Community Schools 5 of 6 education.ohio.gov Franklin County Ohio Clerk of Courts of the Common Pleas- 2018 Oct 08 2:50 PM-18CV008454 0E355 - D22 The School's governing authority and the sponsor execute the Closing Assurance Form and - maintain it with copies sent to the Office of Community Schools via email to the consultant for the sponsor. The consultant can be found on the Community School Directory. Ohio Department of Education, Office of Community Schools 6 of 6 education.ohio.gov