(A) Moneys paid to chartered nonpublic schools under division (E)(2) of section 3317.024 of the Revised Code shall be used for one or more of the following purposes:

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(1) To purchase secular textbooks or digital texts, as defined in divisions (A)(1) and (2) of section 3317.06 of the Revised Code, as have been approved by the department of education and workforce for use in public schools in the state. Textbooks purchased in accordance with this division may be disposed of four years after the date of purchase;

(2) To provide the services described in divisions (B), (C), (D), and (Q) of section 3317.06 of the Revised Code;

(3) To provide the services described in divisions (E), (F), (G), and (I) of section 3317.06 of the Revised Code. If such services are provided in public schools or in public centers, transportation to and from such facilities shall be provided by the nonpublic school.

(4) To supply for use by pupils attending the school such standardized tests and scoring services as are in use in the public schools of the state;

(5) To hire clerical personnel to assist in the administration of divisions (A)(2), (3), and (4) of this section and to hire supervisory personnel to supervise the providing of services and textbooks pursuant to this section. These personnel shall perform their services in the public schools, in nonpublic schools, public centers, or mobile units where the services are provided to the nonpublic school pupil, except that such personnel may accompany pupils to and from the service sites when necessary to ensure the safety of the children receiving the services. All services provided pursuant to this section may be provided under contract with school districts, educational service centers, the department of health, city or general health districts, or private agencies whose personnel are properly licensed by an appropriate state board or agency.

(6) To purchase any of the materials described in division (K) of section 3317.06 of the Revised Code;

(7) To purchase any of the equipment described in division (L) of section 3317.06 of the Revised Code;

(8) To purchase mobile units to be used for the provision of services pursuant to division (A)(3) of this section and to pay for necessary repairs and operating costs associated with these units;

(9) To purchase the equipment described in division (O) of section 3317.06 of the Revised Code;

(10) To procure and pay for security services described in division (P) of section 3317.06 of the Revised Code.

(B) Materials, equipment, computer hardware and software, textbooks, digital texts, and health and remedial services provided pursuant to this section and the admission of pupils to nonpublic schools shall be provided without distinction as to race, creed, color, or national origin of such pupils or of their teachers.

(C) Any interest earned by a chartered nonpublic school on moneys paid to it under division (E)(2) of section 3317.024 of the Revised Code shall be used by the school for the same purposes and in the same manner as the payments may be used under this section.

(D) The department shall adopt guidelines and procedures regarding both of the following:

(1) The expenditure of moneys under this section;

(2) The audit of nonpublic schools receiving funds under this section to ensure the appropriate use of funds.

(E) The department shall adopt a rule specifying the party that owns any property purchased by a chartered nonpublic school with moneys paid under division (E)(2) of section 3317.024 of the Revised Code. The rule shall include procedures for disposal of the property by the designated owner when appropriate.

(F) Within thirty days after the end of each biennium, each chartered nonpublic school shall remit to the department all moneys paid to it under division (E)(2) of section 3317.024 of the Revised Code and any interest earned on those moneys that are not required to pay expenses incurred under this section during the biennium for which the moneys were appropriated and during which the interest was earned. If a school subsequently determines that the remittal of moneys leaves the school with insufficient money to pay all valid expenses incurred under this section during the biennium for which the remitted moneys were appropriated, the school may apply to the department for a refund of money, not to exceed the amount of the insufficiency. If the department determines the expenses were lawfully incurred and would have been lawful expenditures of the refunded money, the department shall make a refund in the necessary amount.

(G) All services provided and purchases made pursuant to this section may be acquired under contract with school districts, educational service centers, the department of health, city or general health districts, or private entities.

(H) When a chartered nonpublic school has materials or equipment purchased in accordance with division (A)(6) or (7) of this section that are no longer needed for school use, are obsolete, are unfit for the use for which they were acquired, or have been in the school’s possession for at least four years, the school may dispose of that property in accordance with the school’s disposal procedures, which may include donation, sale, trade, or permanent disposal. The school shall remit to the state treasury the proceeds from any sale made in accordance with this division.