Ohio Autism Scholarship Program Bonds
Ohio Autism Scholarship Program Bond Information
The Autism Scholarship Program Bond is required for entities making application to the Ohio Department of Education to conduct business provided for in Section 3310.41 of The Revised Code of Ohio and Chapter 3301-103 of the Ohio Administrative Code.
A surety bond is one of three options available to them to fulfill one of the capacity requirements. The amount of the bond is based on 1/12th of the funds the provider received from the scholarship for the prior year with a minimum of $10,000 and a maximum of $250,000. Providers that own multiple locations can choose to get a bond for each location or a single bond covering all of their locations.
What does an Autism Program Bond Protect Against?
The bond protects the Ohio Department of Education from damages associated with bond violations. The surety bond also ensures that all owners, members, directors, officers, agents or employees comply with all requirements outlined in the Code.
Other Helpful Information and Links
Here is the specific bond language from the regulations (3301-103 A.7.f.i):
a bond in favor of the department for financial loss to the department caused by the provider or one of the provider's employees related to the provider's participation in the autism scholarship program for an amount equal to one-twelfth of the scholarship funds received for that prior school year or ten thousand dollars, whichever is greater, up to a cap of two hundred and fifty thousand dollars. The bond must be maintained in effect for at least one year after the date on which the provider ceases to participate in the autism scholarship program or until resolution of all outstanding claims. The bond shall be continuous. The bond shall, however, include a provision for cancellation, subject to a notice period of 30 days with notice provided to the provider and to the department. Regardless of the amount of claims made against the bond and the number of periods the bond covers, the maximum liability under the bond is the penal sum;